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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 811-05531
MassMutual Participation Investors
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(Exact name of registrant as specified in charter)
1500 Main Street, Springfield, MA 01115
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(Address of principal executive offices) (Zip code)
Patricia J. Walsh, Vice President and Secretary,
1500 Main Street, Suite 2800, Springfield, MA 01115
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(Name and address of agent for service)
Registrant's telephone number, including area code: 413-226-1000
___________________
Date of fiscal year end: 12/31
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Date of reporting period: 03/31/09
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ITEM 1. SCHEDULE OF INVESTMENTS.
MassMutual Participation Investors
CONSOLIDATED SCHEDULE OF INVESTMENTS
March 31, 2009
(Unaudited)
Principal Amount
Shares, Units
or Ownership Acquisition
CORPORATE RESTRICTED SECURITIES - 90.13%:(A) Percentage Date Cost Fair Value
------------ -------- ------------ ------------
PRIVATE PLACEMENT INVESTMENTS - 86.98%
A H C HOLDING COMPANY, INC.
A designer and manufacturer of boilers and water heaters for the commercial sector.
15% Senior Subordinated Note due 2015 $ 1,282,746 11/21/07 $ 1,255,239 $ 1,191,908
Limited Partnership Interest (B) 12.26% int. 11/21/07 119,009 102,266
------------ ------------
1,374,248 1,294,174
------------ ------------
A S A P INDUSTRIES LLC
A designer and manufacturer of components used on oil and natural gas wells.
12.5% Senior Subordinated Note due 2015 $ 600,667 12/31/08 521,754 594,268
Limited Liability Company Unit Class A-2 (B) 677 uts. 12/31/08 74,333 70,616
Limited Liability Company Unit Class A-3 (B) 608 uts. 12/31/08 66,899 6
------------ ------------
662,986 664,890
------------ ------------
A T I ACQUISITION COMPANY
A for-profit post-secondary school serving students in Texas, Florida and Arizona.
12% Senior Subordinated Note due 2012 $ 1,125,000 04/08/04 1,125,000 1,125,000
Warrant, exercisable until 2012, to purchase
preferred stock at $.01 per share (B) 7 shs. 11/16/07 -- 11,189
Warrant, exercisable until 2012, to purchase
common stock at $.02 per share (B) 1,230 shs. 04/08/04 -- 747,895
------------ ------------
1,125,000 1,884,084
------------ ------------
A W X HOLDINGS CORPORATION
A provider of aerial equipment rental, sales and repair services to non-residential construction and maintenance contractors
operating in the State of Indiana.
10.5% Senior Secured Term Note due 2014 $ 420,000 05/15/08 411,600 387,433
13% Senior Subordinated Note due 2015 $ 420,000 05/15/08 378,800 377,045
Common Stock (B) 60,000 shs. 05/15/08 60,000 48,000
Warrant, exercisable until 2015, to purchase
common stock at $.01 per share (B) 21,099 shs. 05/15/08 35,654 211
------------ ------------
886,054 812,689
------------ ------------
ADVANCED TECHNOLOGIES HOLDINGS
A provider of factory maintenance services to industrial companies.
15% Senior Subordinated Note due 2013 $ 1,121,483 12/27/07 1,098,522 1,079,460
Preferred Stock (B) 546 shs. 12/27/07 270,000 301,205
------------ ------------
1,368,522 1,380,665
------------ ------------
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7
CONSOLIDATED SCHEDULE OF INVESTMENTS (CONTINUED)
March 31, 2009
(Unaudited)
Principal Amount
Shares, Units
or Ownership Acquisition
CORPORATE RESTRICTED SECURITIES:(A)(Continued) Percentage Date Cost Fair Value
------------ -------- ------------ ------------
AERO HOLDINGS, INC.
A provider of geospatial services to corporate and government clients.
10.5% Senior Secured Term Note due 2014 $ 930,000 03/09/07 $ 916,050 $ 909,261
14% Senior Subordinated Note due 2015 $ 720,000 03/09/07 653,041 699,234
Common Stock (B) 150,000 shs. 03/09/07 150,000 295,478
Warrant, exercisable until 2015, to purchase
common stock at $.01 per share (B) 37,780 shs. 03/09/07 63,730 74,421
------------ ------------
1,782,821 1,978,394
------------ ------------
ALL CURRENT HOLDING COMPANY
A specialty re-seller of essential electrical parts and components primarily serving wholesale distributors.
12% Senior Subordinated Note due 2015 $ 603,697 09/26/08 550,146 564,134
Common Stock (B) 713 shs. 09/26/08 71,303 67,735
Warrant, exercisable until 2018, to purchase
common stock at $.01 per share (B) 507 shs. 09/26/08 46,584 5
------------ ------------
668,033 631,874
------------ ------------
AMERICAN HOSPICE MANAGEMENT HOLDING LLC
A for-profit hospice care provider in the United States.
12% Senior Subordinated Note due 2013 $ 1,687,503 * 1,606,040 1,642,268
Preferred Class A Unit (B) 1,706 uts. ** 170,600 136,480
Preferred Class B Unit (B) 808 uts. 06/09/08 80,789 76,750
Common Class B Unit (B) 16,100 uts. 01/22/04 1 --
Common Class D Unit (B) 3,690 uts. 09/12/06 -- --
------------ ------------
1,857,430 1,855,498
------------ ------------
ARROW TRU-LINE HOLDINGS, INC.
A manufacturer of hardware for residential and commercial overhead garage doors in North America.
12% Senior Subordinated Note due 2012 $ 861,702 05/18/05 828,347 778,887
Common Stock (B) 263 shs. 05/18/05 263,298 --
Warrant, exercisable until 2012, to purchase
common stock at $.01 per share (B) 69 shs. 05/18/05 59,362 --
------------ ------------
1,151,007 778,887
------------ ------------
BRAVO SPORTS HOLDING CORPORATION
A designer and marketer of niche branded consumer products including canopies, trampolines, in-line skates, skateboards, and
urethane wheels.
12.5% Senior Subordinated Note due 2014 $ 1,207,902 06/30/06 1,146,315 1,065,595
Preferred Stock Class A (B) 465 shs. 06/30/06 141,946 21,829
Common Stock (B) 1 sh. 06/30/06 152 --
Warrant, exercisable until 2014, to purchase
common stock at $.01 per share (B) 164 shs. 06/30/06 48,760 7,671
------------ ------------
1,337,173 1,095,095
------------ ------------
* 01/22/04 and 06/09/08.
** 01/22/04 and 09/12/06.
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8
MassMutual Participation Investors
CONSOLIDATED SCHEDULE OF INVESTMENTS (CONTINUED)
March 31, 2009
(Unaudited)
Principal Amount
Shares, Units
or Ownership Acquisition
CORPORATE RESTRICTED SECURITIES:(A)(Continued) Percentage Date Cost Fair Value
------------ -------- ------------ ------------
C D N T, INC.
A value-added converter and distributor of specialty pressure sensitive adhesives, foams, films, and foils.
10.5% Senior Secured Term Note due 2014 $ 429,070 08/07/08 $ 420,489 $ 388,321
12.5% Senior Subordinated Note due 2015 $ 429,070 08/07/08 389,674 371,884
Common Stock (B) 41,860 shs. 08/07/08 41,860 20,930
Warrant, exercisable until 2018, to purchase
common stock at $.01 per share (B) 32,914 shs. 08/07/08 32,965 329
------------ ------------
884,988 781,464
------------ ------------
CAPITAL SPECIALTY PLASTICS, INC.
A producer of desiccant strips used for packaging pharmaceutical products.
Common Stock (B) 55 shs. * 252 139,733
------------ ------------
CLOUGH, HARBOUR AND ASSOCIATES
An engineering service firm that is located in Albany, NY.
12.25% Senior Subordinated Note due 2015 $ 1,270,588 12/02/08 1,177,994 1,244,812
Preferred Stock (B) 147 shs. 12/02/08 146,594 139,261
------------ ------------
1,324,588 1,384,073
------------ ------------
COEUR, INC.
A producer of proprietary, disposable power injection syringes.
12% Senior Subordinated Note due 2016 $ 642,857 10/10/08 581,786 607,321
Common Stock (B) 321 shs. 10/10/08 32,143 30,536
Warrant, exercisable until 2018, to purchase
common stock at $.01 per share (B) 495 shs. 10/10/08 48,214 5
------------ ------------
662,143 637,862
------------ ------------
CONNECTICUT ELECTRIC, INC.
A supplier and distributor of electrical products sold into the retail and wholesale markets.
12% Senior Subordinated Note due 2014 $ 1,267,387 01/12/07 1,182,283 1,037,329
Limited Liability Company Unit Class A (B) 82,613 uts. 01/12/07 82,613 42,556
Limited Liability Company Unit Class C (B) 59,756 uts. 01/12/07 59,756 30,782
------------ ------------
1,324,652 1,110,667
------------ ------------
CONNOR SPORT COURT INTERNATIONAL, INC.
A designer and manufacturer of outdoor and indoor synthetic sports flooring and other temporary flooring products.
Preferred Stock Series B-2 (B) 9,081 shs. 07/05/07 370,796 908,072
Preferred Stock Series C (B) 4,757 shs. 07/05/07 158,912 340,131
Common Stock (B) 380 shs. 07/05/07 4 4
Limited Partnership Interest (B) 6.88% int. ** 103,135 --
------------ ------------
632,847 1,248,207
------------ ------------
* 12/30/97 and 05/29/99.
** 08/12/04 and 01/14/05.
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9
CONSOLIDATED SCHEDULE OF INVESTMENTS (CONTINUED)
March 31, 2009
(Unaudited)
Principal Amount
Shares, Units
or Ownership Acquisition
CORPORATE RESTRICTED SECURITIES:(A)(Continued) Percentage Date Cost Fair Value
------------ -------- ------------ ------------
COREPHARMA LLC
A manufacturer of oral dose generic pharmaceuticals targeted at niche applications.
12% Senior Subordinated Note due 2013 $ 1,350,000 08/04/05 $ 1,299,282 $ 1,263,635
Warrant, exercisable until 2013, to purchase
common stock at $.001 per share (B) 10 shs. 08/04/05 72,617 78,027
------------ ------------
1,371,899 1,341,662
------------ ------------
CRANE RENTAL CORPORATION
A crane rental company.
13% Senior Subordinated Note due 2015 $ 1,215,000 08/21/08 1,093,333 1,166,853
Common Stock (B) 135,000 shs. 08/21/08 135,000 128,250
Warrant, exercisable until 2016, to purchase
common stock at $.01 per share (B) 72,037 shs. 08/21/08 103,143 720
------------ ------------
1,331,476 1,295,823
------------ ------------
DAVIS-STANDARD LLC
A manufacturer, assembler, and installer of a broad range of capital equipment that is used in the extrusion, conversion, and
processing of plastic materials.
12% Senior Subordinated Note due 2014 $ 978,261 10/30/06 924,202 927,777
Limited Partnership Interest (B) 0.97% int. 10/30/06 371,739 677,791
Warrant, exercisable until 2014, to purchase
preferred stock at $.01 per share (B) 26 shs. 10/30/06 26,380 32,831
Warrant, exercisable until 2014, to purchase
common stock at $.01 per share (B) 18 shs. 10/30/06 18,000 64,920
------------ ------------
1,340,321 1,703,319
------------ ------------
DIVERSCO, INC./DHI HOLDINGS, INC.
A contract provider of janitorial and equipment maintenance services and temporary production labor to industrial customers.
Membership Interests of MM/Lincap
Diversco Investments Ltd. LLC (B) 13.57% int. 08/27/98 366,495 --
Preferred Stock (B) 1,639 shs. 12/14/01 1,392,067 659,713
Warrants, exercisable until 2011, to purchase
common stock of DHI Holdings, Inc. at $.01 per share (B) 6,676 shs. * 201,655 --
------------ ------------
1,960,217 659,713
------------ ------------
DUNCAN SYSTEMS, INC.
A distributor of windshields and side glass for the recreational vehicle market.
10% Senior Secured Term Note due 2013 $ 308,571 11/01/06 303,942 285,218
13% Senior Subordinated Note due 2014 $ 488,572 11/01/06 443,275 437,931
Common Stock (B) 102,857 shs. 11/01/06 102,857 73,867
Warrant, exercisable until 2014, to purchase
common stock at $.01 per share (B) 32,294 shs. 11/01/06 44,663 23,192
------------ ------------
894,737 820,208
------------ ------------
* 10/24/96 and 08/28/98.
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10
MassMutual Participation Investors
CONSOLIDATED SCHEDULE OF INVESTMENTS (CONTINUED)
March 31, 2009
(Unaudited)
Principal Amount
Shares, Units
or Ownership Acquisition
CORPORATE RESTRICTED SECURITIES:(A)(Continued) Percentage Date Cost Fair Value
------------ -------- ------------ ------------
DWYER GROUP, INC.
A franchiser of a variety of home repair services.
Common Stock (B) 3,656 shs. * $ 365,600 $ 605,922
Warrant, exercisable until 2011, to purchase
common stock at $.01 per share (B) 1,077 shs. 10/30/03 98,719 178,431
------------ ------------
464,319 784,353
------------ ------------
E S P HOLDCO, INC.
A manufacturer of power protection technology for commercial office equipment, primarily supplying the office equipment dealer
network.
14% Senior Subordinated Note due 2015 $ 1,204,577 01/08/08 1,182,535 1,098,607
Common Stock (B) 349 shs. 01/08/08 174,701 88,754
------------ ------------
1,357,236 1,187,361
------------ ------------
E X C ACQUISITION CORPORATION
A manufacturer of pre-filled syringes and pump systems used for intravenous drug delivery.
Warrant, exercisable until 2014, to purchase
common stock at $.01 per share (B) 11 shs. 06/28/04 40,875 111,970
------------ ------------
ELECTRA BICYCLE COMPANY LLC
A designer and marketer of branded leisure bicycles.
Limited Liability Company Unit Series F 36,913 uts. 04/12/07 36,913 56,890
Limited Liability Company Unit Series G 2,852 uts. 04/12/07 2,852 4,396
------------ ------------
39,765 61,286
------------ ------------
EVANS CONSOLES, INC.
A designer and manufacturer of consoles and control center systems.
Common Stock (B) 45,000 shs. 05/06/04 6 635,574
------------ ------------
F C X HOLDINGS CORPORATION
A distributor of specialty/technical valves, actuators, accessories, and process instrumentation supplying a number of industrial,
high purity, and energy end markets in North America.
15% Senior Subordinated Note due 2015 $ 1,134,943 10/06/08 1,111,567 1,058,773
Preferred Stock (B) 2,298 shs. 10/06/08 229,804 218,310
Common Stock (B) 1,625 shs. 10/06/08 1,625 1,544
------------ ------------
1,342,996 1,278,627
------------ ------------
F H S HOLDINGS LLC
A national provider of customized disease management services to large self-insured employers.
12% Senior Subordinated Note due 2014 $ 1,265,625 06/01/06 1,192,592 949,219
Limited Liability Company Units of
Linden/FHS Holdings LLC (B) 84 uts. 06/01/06 84,368 --
Common Unit Class B (B) 734 shs. 06/01/06 64,779 --
------------ ------------
1,341,739 949,219
------------ ------------
* 10/30/03 and 01/02/04.
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11
CONSOLIDATED SCHEDULE OF INVESTMENTS (CONTINUED)
March 31, 2009
(Unaudited)
Principal Amount
Shares, Units
or Ownership Acquisition
CORPORATE RESTRICTED SECURITIES:(A)(Continued) Percentage Date Cost Fair Value
------------ -------- ------------ ------------
FLUTES, INC.
An independent manufacturer of micro fluted corrugated sheet material for the food and consumer products packaging industries.
10% Senior Secured Term Note due 2013 $ 524,791 04/13/06 $ 516,919 $ 393,593
14% Senior Subordinated Note due 2014 $ 317,177 04/13/06 289,892 --
Common Stock (B) 62,535 shs. 04/13/06 62,535 --
Warrant, exercisable until 2014, to purchase
common stock at $.01 per share (B) 17,680 shs. 04/13/06 27,676 --
------------ ------------
897,022 393,593
------------ ------------
FOWLER HOLDING, INC.
A provider of site development services to residential homebuilders and developers in the Raleigh/Durham region of North Carolina.
12% Senior Subordinated Note due 2013 (D) $ 1,252,174 02/03/06 1,123,044 --
Common Stock (B) 98 shs. 02/03/06 97,826 --
Warrant, exercisable until 2013, to purchase
common stock at $.01 per share (B) 135 shs. 02/03/06 110,348 --
------------ ------------
1,331,218 --
------------ ------------
FUEL SYSTEMS HOLDING CORPORATION
An independent North American supplier of fuel tanks for a wide variety of commercial vehicles.
12% Senior Subordinated Note due 2014 (D) $ 1,237,500 01/31/06 1,149,638 --
Preferred Stock (B) 16,792 shs. 06/12/08 16,792 --
Common Stock (B) 112,500 shs. 01/31/06 112,500 --
Warrant, exercisable until 2016, to purchase
common stock at $.01 per share (B) 73,275 shs. 01/31/06 63,113 --
------------ ------------
1,342,043 --
------------ ------------
GOLDEN COUNTY FOODS HOLDING, INC.
A manufacturer of frozen appetizers and snacks.
12% Senior Subordinated Note due 2015 $ 1,012,500 11/01/07 914,607 810,000
16% PIK Note due 2015 $ 72,115 * 61,236 57,692
8% Series A Convertible Preferred Stock, convertible into
4.25% of the fully diluted common shares (B) 77,643 shs. 11/01/07 77,643 --
------------ ------------
1,053,486 867,692
------------ ------------
GQ HOLDINGS LLC
A developer and distributor of tools, equipment, and supplies to the natural and engineered stone industry.
15% Senior Subordinated Note due 2015 (D) $ 1,245,060 06/27/08 1,210,058 --
Common Stock (B) 3,867 shs. 06/27/08 132,841 --
------------ ------------
1,342,899 --
------------ ------------
* 09/30/08, 12/31/08 and 03/31/09.
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12
MassMutual Participation Investors
CONSOLIDATED SCHEDULE OF INVESTMENTS (CONTINUED)
March 31, 2009
(Unaudited)
Principal Amount
Shares, Units
or Ownership Acquisition
CORPORATE RESTRICTED SECURITIES:(A)(Continued) Percentage Date Cost Fair Value
------------ -------- ------------ ------------
H M HOLDING COMPANY
A designer, manufacturer, and importer of promotional and wood furniture.
12% Senior Subordinated Note due 2013 (D) $ 1,170,000 02/10/06 $ 1,084,725 $ --
Preferred Stock (B) 21 shs. * 21,428 --
Common Stock (B) 180 shs. 02/10/06 180,000 --
Warrant, exercisable until 2013, to purchase
common stock at $.02 per share (B) 67 shs. 02/10/06 61,875 --
------------ ------------
1,348,028 --
------------ ------------
HIGHGATE CAPITAL LLC
An acquirer of controlling or substantial interests in manufacturing and marketing entities.
Series A Preferred Units (B) 0.30% int. 07/21/94 91,867 --
------------ ------------
HOME DECOR HOLDING COMPANY
A designer, manufacturer and marketer of framed art and wall decor products.
12.5% Senior Subordinated Note due 2012 $ 1,081,731 ** 1,016,220 1,006,625
Common Stock (B) 33 shs. ** 33,216 22,780
Warrant, exercisable until 2012, to purchase
common stock at $.02 per share (B) 106 shs. ** 105,618 72,425
------------ ------------
1,155,054 1,101,830
------------ ------------
HOSPITALITY MINTS HOLDING COMPANY
A manufacturer of individually-wrapped imprinted promotional mints.
12% Senior Subordinated Note due 2016 $ 1,098,837 08/19/08 1,016,628 1,008,999
Common Stock (B) 251 shs. 08/19/08 251,163 238,602
Warrant, exercisable until 2016, to purchase
common stock at $.01 per share (B) 65 shs. 08/19/08 60,233 1
------------ ------------
1,328,024 1,247,602
------------ ------------
INSURANCE CLAIMS MANAGEMENT, INC.
A third party administrator providing auto and property claim administration services for insurance companies.
Common Stock (B) 37 shs. 02/27/07 1,100 53,880
Warrant, exercisable until 2011, to purchase
common stock at $.01 per share (B) 11 shs. 02/27/07 324 15,872
------------ ------------
1,424 69,752
------------ ------------
INTEGRATION TECHNOLOGY SYSTEMS, INC.
A manufacturer of steel protective computer and network systems for the industrial and office environments.
12% Senior Subordinated Note due on demand $ 25,055 03/01/04 1 --
Common Stock (B) 130 shs. 06/01/00 149,500 --
------------ ------------
149,501 --
------------ ------------
* 09/18/07 and 06/27/08.
** 06/30/04 and 08/19/04.
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13
CONSOLIDATED SCHEDULE OF INVESTMENTS (CONTINUED)
March 31, 2009
(Unaudited)
Principal Amount
Shares, Units
or Ownership Acquisition
CORPORATE RESTRICTED SECURITIES:(A)(Continued) Percentage Date Cost Fair Value
------------ -------- ------------ ------------
JASON, INC.
A diversified manufacturing company serving various industrial markets.
13% Senior Subordinated Note due 2010 $ 510,187 08/04/00 $ 493,701 $ 483,351
Limited Partnership Interest of
Saw Mill Capital Fund II, L.P. (B) 1.30% int. 08/03/00 469,312 12,341
Warrant, exercisable until 2010, to purchase
common stock at $.01 per share (B) 26,931 shs. 08/04/00 61,101 2,478
------------ ------------
1,024,114 498,170
------------ ------------
JUSTRITE MANUFACTURING ACQUISITION CO.
A manufacturer of safety products such as storage cabinets and containers.
12% Senior Subordinated Note due 2011 $ 843,750 12/15/04 815,356 819,528
Warrant, exercisable until 2011, to purchase
common stock at $.01 per share (B) 594 shs. 12/15/04 53,528 124,250
------------ ------------
868,884 943,778
------------ ------------
K H O F HOLDINGS, INC.
A manufacturer of premium disposable tableware products serving both the foodservice and consumer channels.
14% Senior Subordinated Note due 2014 $ 1,269,650 10/15/07 1,244,033 1,198,412
Common Stock (B) 116,827 shs. 10/15/07 116,827 78,926
------------ ------------
1,360,860 1,277,338
------------ ------------
K N B HOLDINGS CORPORATION
A designer, manufacturer and marketer of products for the custom framing market.
13.5% Senior Subordinated Note due 2013 $ 1,334,703 05/25/06 1,281,637 1,201,233
Common Stock (B) 71,053 shs. 05/25/06 71,053 14,537
Warrant, exercisable until 2013, to purchase
common stock at $.01 per share (B) 43,600 shs. 05/25/06 37,871 8,920
------------ ------------
1,390,561 1,224,690
------------ ------------
K P I HOLDINGS, INC.
Pace Industries is the largest player in the U.S. non-automotive, non-ferrous die casting segment.
13% Senior Subordinated Note due 2014 $ 1,115,217 07/16/08 1,042,077 947,934
Common Stock (B) 235 shs. 07/15/08 234,783 176,085
Warrant, exercisable until 2018, to purchase
common stock at $.01 per share (B) 51 shs. 07/16/08 50,836 1
------------ ------------
1,327,696 1,124,020
------------ ------------
K W P I HOLDINGS CORPORATION
A manufacturer and distributor of vinyl windows and patio doors throughout the northwestern United States.
12.75% Senior Subordinated Note due 2014 $ 1,231,606 03/14/07 1,137,989 985,284
Common Stock (B) 123 shs. 03/13/07 123,000 --
Warrant, exercisable until 2017, to purchase
common stock at $.01 per share (B) 89 shs. 03/14/07 85,890 --
------------ ------------
1,346,879 985,284
------------ ------------
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14
MassMutual Participation Investors
CONSOLIDATED SCHEDULE OF INVESTMENTS (CONTINUED)
March 31, 2009
(Unaudited)
Principal Amount
Shares, Units
or Ownership Acquisition
CORPORATE RESTRICTED SECURITIES:(A)(Continued) Percentage Date Cost Fair Value
------------ -------- ------------ ------------
K-TEK HOLDING CORPORATION
A manufacturer of instrumentation for liquid and bulk solids level detection for process and storage tanks.
14% Senior Subordinated Note due 2015 $ 1,187,084 12/20/07 $ 1,164,874 $ 1,110,891
Preferred Stock (B) 192,314 shs. 12/20/07 192,314 185,538
Common Stock (B) 54,326 shs. 12/20/07 543 --
------------ ------------
1,357,731 1,296,429
------------ ------------
M V I HOLDING, INC.
A manufacturer of large precision machined metal components used in equipment which services a variety of industries, including
the oil & gas, mining, and defense markets.
13% Senior Subordinated Note due 2016 $ 646,398 09/12/08 598,585 610,869
Common Stock (B) 32 shs. 09/12/08 32,143 30,533
Warrant, exercisable until 2018, to purchase
common stock at $.01 per share (B) 35 shs. 09/12/08 34,714 --
------------ ------------
665,442 641,402
------------ ------------
MAIL COMMUNICATIONS GROUP, INC.
A provider of mail processing and handling services, lettershop services, and commercial printing services.
12.5% Senior Subordinated Note due 2014 $ 516,177 05/04/07 483,072 488,098
Limited Liability Company Unit (B) 12,763 uts. * 166,481 200,272
Warrant, exercisable until 2014, to purchase
common stock at $.01 per share (B) 1,787 shs. 05/04/07 22,781 28,040
------------ ------------
672,334 716,410
------------ ------------
MAVERICK ACQUISITION COMPANY
A manufacturer of capsules that cover the cork and neck of wine bottles.
8.26% Senior Secured Tranche A Note due 2010 (C) $ 183,481 09/03/04 183,481 180,673
12% Senior Secured Tranche B Note due 2011 $ 179,104 09/03/04 168,368 162,486
Limited Partnership Interest (B) 4.48% int. 09/03/04 33,582 9,159
Warrant, exercisable until 2011, to purchase
common stock at $.01 per share (B) 243 shs. 09/03/04 22,556 6,618
------------ ------------
407,987 358,936
------------ ------------
MEDSYSTEMS HOLDINGS LLC
A manufacturer of enteral feeding products, such as feeding tubes and other products related to assisted feeding.
13% Senior Subordinated Note due 2015 $ 611,447 08/29/08 538,554 585,862
Preferred Unit (B) 66 uts. 08/29/08 66,451 63,128
Common Unit Class A (B) 671 uts. 08/29/08 671 637
Common Unit Class B (B) 250 uts. 08/29/08 63,564 3
------------ ------------
669,240 649,630
------------ ------------
* 05/04/07 and 01/02/08.
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15
MassMutual Participation Investors
CONSOLIDATED SCHEDULE OF INVESTMENTS (CONTINUED)
March 31, 2009
(Unaudited)
Principal Amount
Shares, Units
or Ownership Acquisition
CORPORATE RESTRICTED SECURITIES:(A)(Continued) Percentage Date Cost Fair Value
------------ -------- ------------ ------------
MEGTEC HOLDINGS, INC.
A supplier of industrial and environmental products and services to a broad array of industries.
12% Senior Subordinated Note due 2016 $ 1,144,068 09/24/08 $ 1,048,910 $ 1,048,334
Preferred Stock (B) 56 shs. 09/24/08 54,040 1
Limited Partnership Interest (B) 205,932 int. 09/16/08 205,932 195,635
Warrant, exercisable until 2018, to purchase
common stock at $.01 per share (B) 18 shs. 09/24/08 18,237 --
------------ ------------
1,327,119 1,243,970
------------ ------------
MICROGROUP, INC.
A manufacturer of precision parts and assemblies, and a value-added supplier of metal tubing and bars.
12% Senior Subordinated Note due 2013 $ 1,421,795 * 1,357,054 1,379,574
Common Stock (B) 238 shs. * 238,000 445,385
Warrant, exercisable until 2013, to purchase
common stock at $.02 per share (B) 87 shs. * 86,281 162,453
------------ ------------
1,681,335 1,987,412
------------ ------------
MILWAUKEE GEAR COMPANY
A manufacturer of high-precision custom gears and gear drives used by original equipment manufacturers operating in a number of
industries.
13% Senior Subordinated Note due 2014 $ 1,246,154 07/21/08 1,174,254 1,183,786
Preferred Stock (B) 139 shs. 07/21/08 138,374 131,459
Common Stock (B) 9 shs. 07/21/08 10,000 9,500
Warrant, exercisable until 2014, to purchase
common stock at $.01 per share (B) 6 shs. 07/21/08 5,510 --
------------ ------------
1,328,138 1,324,745
------------ ------------
MOMENTUM HOLDING CO.
A designer and supplier of upholstery fabric to commercial furniture manufacturers and architectural and design firms.
Limited Partnership Interest (B) 11.24% int. 08/04/06 56,198 131,531
Warrant, exercisable until 2014, to purchase
common stock at $.02 per share (B) 586 shs. 08/04/06 56,705 137,106
------------ ------------
112,903 268,637
------------ ------------
MONESSEN HOLDING CORPORATION
A designer and manufacturer of a broad line of gas, wood, and electric hearth products and accessories.
14% Senior Subordinated Note due 2014 $ 1,350,000 07/25/08 1,267,600 1,215,000
14% PIK Note due 2014 $ 246,180 ** 221,562 221,562
Warrant, exercisable until 2014, to purchase
common stock at $.02 per share (B) 81 shs. 03/31/06 73,125 --
------------ ------------
1,562,287 1,436,562
------------ ------------
* 08/12/05 and 09/11/06.
** 07/25/08, 09/30/08, 12/31/08 and 03/31/09.
--------------------------------------------------------------------------------------------------------------------------------
16
MassMutual Participation Investors
CONSOLIDATED SCHEDULE OF INVESTMENTS (CONTINUED)
March 31, 2009
(Unaudited)
Principal Amount
Shares, Units
or Ownership Acquisition
CORPORATE RESTRICTED SECURITIES:(A)(Continued) Percentage Date Cost Fair Value
------------ -------- ------------ ------------
MORTON INDUSTRIAL GROUP, INC.
A manufacturer of highly engineered metal fabricated components.
12% Senior Subordinated Note due 2014 (D) $ 1,292,246 08/25/06 $ 1,187,021 $ 129,225
30% Convertible Preferred Stock (B) 41,289 shs. 07/28/08 19,708 --
------------ ------------
1,206,729 129,225
------------ ------------
NABCO, INC.
A producer of explosive containment vessels in the United States.
14% Senior Subordinated Note due 2014 $ 431,692 02/24/06 369,043 215,846
Limited Liability Company Unit (B) 437 uts. * 436,984 --
Warrant, exercisable until 2016, to purchase
common stock at $.01 per share (B) 68 shs. 02/24/06 19,687 --
------------ ------------
825,714 215,846
------------ ------------
NAVIS GLOBAL
A designer, manufacturer, seller and servicer of finishing machinery for the knit and woven segments of the global textile industry.
12% Senior Secured Term Note Series A due 2009 $ 96,308 11/14/08 96,308 96,086
14% Senior Subordinated Note due 2014 (D) $ 764,921 05/28/04 660,453 --
10.75% Senior Secured Note due 2011 (D) $ 348,118 05/28/04 347,086 87,030
Warrant, exercisable until 2012, to purchase
common stock at $.01 per share (B) 116,521 shs. 05/28/04 74,736 --
------------ ------------
1,178,583 183,116
------------ ------------
NESCO HOLDINGS CORPORATION
A sales and leasing company that provides equipment to the electric utility, telecommunications, and various other industries.
12% Senior Secured Subordinated Note due 2015 $ 1,125,000 08/02/07 999,658 1,098,015
Common Stock (B) 225,000 shs. 08/02/07 225,000 311,472
Warrant, exercisable until 2015, to purchase
common stock at $.01 per share (B) 63,191 shs. 08/02/07 102,842 87,476
------------ ------------
1,327,500 1,496,963
------------ ------------
NETSHAPE TECHNOLOGIES, INC.
A manufacturer of powder metal and metal injection molded precision components used in industrial, consumer, and other applications.
12% Senior Subordinated Note due 2014 $ 810,000 02/02/07 745,713 677,375
Limited Partnership Interest of
Saw Mill PCG Partners LLC (B) 1.38% int. 02/01/07 539,978 --
Limited Liability Company Unit Class D of
Saw Mill PCG Partners LLC (B) 8 uts. 12/18/08 8,147 6,520
Preferred Stock Class A (B) 1 sh. 12/18/08 726 576
Warrant, exercisable until 2014, to purchase
common stock at $.01 per share (B) 48 shs. 02/02/07 48,087 --
------------ ------------
1,342,651 684,471
------------ ------------
* 02/24/06 and 06/22/07.
--------------------------------------------------------------------------------------------------------------------------------
17
CONSOLIDATED SCHEDULE OF INVESTMENTS (CONTINUED)
March 31, 2009
(Unaudited)
Principal Amount
Shares, Units
or Ownership Acquisition
CORPORATE RESTRICTED SECURITIES:(A)(Continued) Percentage Date Cost Fair Value
------------ -------- ------------ ------------
NYLONCRAFT, INC.
A supplier of engineered plastic components for the automotive industry.
9% Senior Secured Note due 2009 $ 464,286 01/28/02 $ 464,286 $ 348,215
11.5% Senior Subordinated Note due 2012 (D) $ 857,143 01/28/02 820,159 --
Common Stock (B) 178,571 shs. 01/28/02 178,571 --
Warrant, exercisable until 2012, to purchase
common stock at $.01 per share (B) 138,928 shs. 01/28/02 92,597 --
------------ ------------
1,555,613 348,215
------------ ------------
OAKRIVER TECHNOLOGY, INC.
Designs, engineers and assembles high precision automated process equipment for the medical device industry, with a focus on
defibrillators and stents.
10% Senior Secured Note due 2012 $ 257,249 01/03/06 253,391 241,568
13% Senior Subordinated Note due 2013 $ 392,709 01/03/06 359,592 355,259
Common Stock (B) 184,176 shs. 01/03/06 184,176 --
Warrant, exercisable until 2013, to purchase
common stock at $.01 per share (B) 43,073 shs. 01/03/06 35,900 --
------------ ------------
833,059 596,827
------------ ------------
OLYMPIC SALES, INC.
A boat retailer in Washington state, Oregon, California and British Columbia.
12% Senior Subordinated Note due 2009 (D) $ 511,000 08/07/98 511,000 102,200
12% Senior Subordinated Note due 2009 (D) $ 244,154 02/09/00 213,313 48,831
------------ ------------
724,313 151,031
------------ ------------
ONTARIO DRIVE & GEAR LTD.
A manufacturer of all-wheel drive, off-road amphibious vehicles and related accessories.
Limited Liability Company Unit (B) 1,942 uts. 01/17/06 302,885 740,522
Warrant, exercisable until 2013, to purchase
common stock at $.01 per share (B) 328 shs. 01/17/06 90,424 125,027
------------ ------------
393,309 865,549
------------ ------------
P A S HOLDCO LLC
An independent provider of maintenance, repair and overhaul services to the aerospace gas turbine engine and airframe markets.
14% Senior Subordinated Note due 2014 $ 1,212,208 07/03/06 1,159,713 1,143,974
Preferred Unit (B) 202 uts. 07/03/06 202,320 265,517
Preferred Unit (B) 36 uts. 07/03/06 36,420 47,796
Common Unit Class I (B) 78 uts. 07/03/06 -- 2,505
Common Unit Class L (B) 17 uts. 07/03/06 -- 529
------------ ------------
1,398,453 1,460,321
------------ ------------
--------------------------------------------------------------------------------------------------------------------------------
18
MassMutual Participation Investors
CONSOLIDATED SCHEDULE OF INVESTMENTS (CONTINUED)
March 31, 2009
(Unaudited)
Principal Amount
Shares, Units
or Ownership Acquisition
CORPORATE RESTRICTED SECURITIES:(A)(Continued) Percentage Date Cost Fair Value
------------ -------- ------------ ------------
P I I HOLDING CORPORATION
A manufacturer of plastic film and bags for the general industrial, medical, and food industries.
12% Senior Subordinated Note due 2013 $ 1,215,000 03/31/06 $ 1,151,413 $ 1,177,246
Preferred Stock (B) 19 shs. 03/31/06 174,492 224,927
Common Stock (B) 12 shs. 03/31/06 13,500 12,425
Warrant, exercisable until 2013, to purchase
common stock at $.01 per share (B) 7 shs. 03/31/06 5,888 7,230
------------ ------------
1,345,293 1,421,828
------------ ------------
PACIFIC CONSOLIDATED HOLDINGS LLC
A manufacturer of rugged, mobile liquid and gaseous oxygen and nitrogen generating systems used in the global defense, oil & gas,
and medical sectors.
14% Senior Subordinated Note due 2012 $ 704,935 04/27/07 655,744 654,706
Limited Liability Company Unit (B) 928,962 uts. 04/27/07 33,477 --
------------ ------------
689,221 654,706
------------ ------------
PARADIGM PACKAGING, INC.
A manufacturer of plastic bottles and closures for the nutritional, pharmaceutical, personal care, and food packaging markets.
12% Senior Subordinated Note due 2011 $ 1,125,000 12/19/00 1,072,468 1,061,049
Membership Interests of MM/Lincap
PPI Investments, Inc., LLC (B) 1.28% int. 12/21/00 140,625 --
------------ ------------
1,213,093 1,061,049
------------ ------------
POSTLE ALUMINUM COMPANY LLC
A manufacturer and distributor of aluminum extruded products.
12% Senior Subordinated Note due 2014 $ 1,164,961 10/02/06 1,066,387 291,240
Limited Liability Company Unit 733 uts. 10/02/06 270,000 --
Warrant, exercisable until 2016, to purchase
common stock at $.01 per share (B) 4,550 uts. 10/02/06 65,988 --
------------ ------------
1,402,375 291,240
------------ ------------
POWER SERVICES HOLDING COMPANY
A provider of industrial motor repair services, predictive and preventative maintenance, and performance improvement consulting,
serving the petrochemical, mining, power generation, metals, and paper industries.
12% Senior Subordinated Note due 2016 $ 1,255,814 02/11/08 1,149,368 1,210,270
Limited Partnership Interest (B) 94,092 int. 02/11/08 94,092 49,335
Warrant, exercisable until 2016, to purchase
common stock at $.01 per share (B) 700 shs. 02/11/08 88,723 123,158
------------ ------------
1,332,183 1,382,763
------------ ------------
PROTEIN GENETICS, INC.
A producer of bovine artificial insemination products, related breeding and healthcare products and specialty genetics sold to the
dairy and beef industries.
9.8% Redeemable Exchangeable Preferred Stock (B) 332 shs. 08/12/94 33,217 --
Common Stock (B) 867 shs. * 42,365 --
------------ ------------
75,582 --
------------ ------------
* 08/12/94 and 11/14/01.
--------------------------------------------------------------------------------------------------------------------------------
19
CONSOLIDATED SCHEDULE OF INVESTMENTS (CONTINUED)
March 31, 2009
(Unaudited)
Principal Amount
Shares, Units
or Ownership Acquisition
CORPORATE RESTRICTED SECURITIES:(A)(Continued) Percentage Date Cost Fair Value
------------ -------- ------------ ------------
QUALIS AUTOMOTIVE LLC
A distributor of aftermarket automotive brake and chassis products.
12% Senior Subordinated Note due 2012 $ 937,500 05/28/04 $ 847,005 $ 897,733
Common Stock (B) 187,500 shs. 05/28/04 187,500 --
Warrant, exercisable until 2012, to purchase
common stock at $.01 per share (B) 199,969 shs. 05/28/04 199,969 --
------------ ------------
1,234,474 897,733
------------ ------------
R A J MANUFACTURING HOLDINGS LLC
A designer and manufacturer of women's swimwear sold under a variety of licensed brand names.
12.5% Senior Subordinated Note due 2014 $ 1,200,277 12/15/06 1,106,663 1,119,556
Limited Liability Company Unit (B) 1,497 uts. 12/15/06 149,723 114,103
Warrant, exercisable until 2014, to purchase
common stock at $.01 per share (B) 2 shs. 12/15/06 69,609 53,845
------------ ------------
1,325,995 1,287,504
------------ ------------
R E I DELAWARE HOLDING, INC.
An engineer and manufacturer of highly complex, close tolerance components, assemblies, tooling and custom automation
equipment primarily for aerospace, medical and defense/radar markets.
12% Senior Subordinated Note due 2016 $ 1,350,000 01/18/08 1,306,541 1,207,202
Warrant, exercisable until 2018, to purchase
common stock at $.01 per share (B) 3 shs. 01/18/08 16,459 23,314
------------ ------------
1,323,000 1,230,516
------------ ------------
RADIAC ABRASIVES, INC.
A manufacturer of bonded abrasive and super abrasive grinding wheels in the United States.
12% Senior Subordinated Note due 2014 $ 1,196,809 02/10/06 1,126,521 1,177,599
Common Stock (B) 153,191 shs. 02/10/06 153,191 271,682
Warrant, exercisable until 2016, to purchase
common stock at $.01 per share (B) 69,647 shs. 02/10/06 63,421 123,518
------------ ------------
1,343,133 1,572,799
------------ ------------
ROYAL BATHS MANUFACTURING COMPANY
A manufacturer and distributor of acrylic and cultured marble bathroom products.
12.5% Senior Subordinated Note due 2011 $ 562,500 11/14/03 533,299 511,689
Warrant, exercisable until 2011, to purchase
common stock at $.01 per share (B) 74 shs. 11/14/03 65,089 13,552
------------ ------------
598,388 525,241
------------ ------------
SAFETY SPEED CUT MANUFACTURING COMPANY, INC.
A manufacturer of vertical panel saws and routers for the wood working industry.
Class B Common Stock (B) 846 shs. 06/02/99 146,456 423,335
------------ ------------
--------------------------------------------------------------------------------------------------------------------------------
20
MassMutual Participation Investors
CONSOLIDATED SCHEDULE OF INVESTMENTS (CONTINUED)
March 31, 2009
(Unaudited)
Principal Amount
Shares, Units
or Ownership Acquisition
CORPORATE RESTRICTED SECURITIES:(A)(Continued) Percentage Date Cost Fair Value
------------ -------- ------------ ------------
SAVAGE SPORTS HOLDING, INC.
A manufacturer of sporting firearms.
12% Senior Subordinated Note due 2012 $ 814,655 09/10/04 $ 779,523 $ 752,952
Common Stock (B) 324 shs. * 340,378 361,315
Warrant, exercisable until 2012, to purchase
common stock at $.01 per share (B) 71 shs. 09/10/04 60,129 78,887
------------ ------------
1,180,030 1,193,154
------------ ------------
SENCORE HOLDING COMPANY
A designer, manufacturer, and marketer of decoders, receivers and modulators sold to broadcasters, satellite, cable and telecom
operators for encoding/decoding analog and digital transmission video signals.
12.5% Senior Subordinated Note due 2014 $ 1,280,769 01/15/09 1,109,469 1,250,669
Common Stock (B) 69 shs. 01/15/09 69,231 65,769
Warrant, exercisable until 2019, to purchase
common stock at $.01 per share (B) 149 shs. 01/15/09 149,084 1
------------ ------------
1,327,784 1,316,439
------------ ------------
SMART SOURCE HOLDINGS LLC
A short-term computer rental company.
12% Senior Subordinated Note due 2015 $ 1,176,924 ** 1,076,225 1,090,479
Limited Liability Company Unit (B) 328 uts. ** 337,762 377,079
Warrant, exercisable until 2015, to purchase
common stock at $.01 per share (B) 83 shs. ** 87,231 95,514
------------ ------------
1,501,218 1,563,072
------------ ------------
SPECIALTY COMMODITIES, INC.
A distributor of specialty food ingredients.
13.25% Senior Subordinated Note due 2016 $ 1,197,678 10/23/08 1,121,564 1,161,401
Common Stock (B) 15,882 shs. 10/23/08 158,824 150,879
Warrant, exercisable until 2018, to purchase
common stock at $.01 per share (B) 5,852 shs. 10/23/08 53,285 59
------------ ------------
1,333,673 1,312,339
------------ ------------
STANTON CARPET HOLDING CO.
A designer and marketer of high and mid-priced decorative carpets and rugs.
12.13% Senior Subordinated Note due 2014 $ 1,185,366 08/01/06 1,123,146 1,021,029
Common Stock (B) 165 shs. 08/01/06 164,634 109,164
Warrant, exercisable until 2014, to purchase
common stock at $.02 per share (B) 55 shs. 08/01/06 49,390 36,357
------------ ------------
1,337,170 1,166,550
------------ ------------
* 09/10/04 and 10/05/07.
** 08/31/07 and 03/06/08.
--------------------------------------------------------------------------------------------------------------------------------
21
CONSOLIDATED SCHEDULE OF INVESTMENTS (CONTINUED)
March 31, 2009
(Unaudited)
Principal Amount
Shares, Units
or Ownership Acquisition
CORPORATE RESTRICTED SECURITIES:(A)(Continued) Percentage Date Cost Fair Value
------------ -------- ------------ ------------
SYNTERACT HOLDINGS CORPORATION
A provider of outsourced clinical trial management services to pharmaceutical and biotechnology companies.
14% Senior Subordinated Note due 2016 $ 1,357,889 09/02/08 $ 1,266,659 $ 1,274,362
Series A Preferred Stock (B) 678 shs. 09/02/08 6,629 7
Warrant, exercisable until 2018, to purchase
common stock at $.01 per share (B) 6,778 shs. 09/02/08 59,661 68
------------ ------------
1,332,949 1,274,437
------------ ------------
T H I ACQUISITION, INC.
A machine servicing company providing value-added steel services to long steel products.
12% Senior Subordinated Note due 2016 $ 1,350,000 01/14/08 1,276,383 1,233,558
Warrant, exercisable until 2016, to purchase
common stock at $.01 per share (B) 5 shs. 01/14/08 46,617 26,428
------------ ------------
1,323,000 1,259,986
------------ ------------
TANGENT RAIL CORPORATION
A manufacturer of rail ties and provider of specialty services to the North American railroad industry.
13% Senior Subordinated Note due 2015 $ 1,173,909 10/14/05 1,033,473 1,166,755
Common Stock (B) 1,167 shs. 10/14/05 1,167 367,598
Warrant, exercisable until 2015, to purchase
common stock at $.01 per share (B) 631 shs. 09/30/08 300,683 198,761
------------ ------------
1,335,323 1,733,114
------------ ------------
TERRA RENEWAL LLC
A provider of wastewater residual management and required environmental reporting, permitting, nutrient management planning and
record keeping to companies involved in poultry and food processing.
12% Senior Subordinated Note due 2014 $ 664,062 * 636,363 628,855
5.53%Term Note due 2012 (C) $ 403,931 ** 403,103 393,972
4.76% Term Note due 2012 (C) $ 403,931 ** 401,669 393,972
4.7% Term Note due 2012 (C) $ 55,644 ** 55,525 54,272
Limited Partnership Interest of
Saw Mill Capital Fund V, LLC (B) 2.27% int. *** 85,292 210,924
Warrant, exercisable until 2016, to purchase
common stock at $.01 per share (B) 41 shs. 04/28/06 33,738 34,078
------------ ------------
1,615,690 1,716,073
------------ ------------
TORRENT GROUP HOLDINGS, INC.
A contractor specializing in the sales and installation of engineered drywells for the retention and filtration of stormwater and
nuisance water flow.
12.5% Senior Subordinated Note due 2013 $ 1,185,366 10/26/07 1,113,016 1,067,672
Series A Preferred Stock (B) 219 shs. 10/26/07 219,203 23,061
------------ ------------
1,332,219 1,090,733
------------ ------------
* 04/28/06 and 09/13/06.
** 04/28/06 and 12/21/06.
*** 03/01/05 and 10/10/08
--------------------------------------------------------------------------------------------------------------------------------
22
MassMutual Participation Investors
CONSOLIDATED SCHEDULE OF INVESTMENTS (CONTINUED)
March 31, 2009
(Unaudited)
Principal Amount
Shares, Units
or Ownership Acquisition
CORPORATE RESTRICTED SECURITIES:(A)(Continued) Percentage Date Cost Fair Value
------------ -------- ------------ ------------
TOTAL E & S, INC.
A manufacturer of a wide variety of equipment used in the oil and gas industry.
10.5% Senior Secured Term Note due 2013 $ 486,487 03/02/07 $ 479,190 $ 466,871
13% Senior Subordinated Note due 2014 $ 341,971 03/02/07 280,347 320,529
Common Stock (B) 71,542 shs. 03/02/07 71,542 89,465
Warrant, exercisable until 2014 to purchase
common stock at $.01 per share (B) 19,733 shs. 03/02/07 54,784 24,677
------------ ------------
885,863 901,542
------------ ------------
TRANSPAC HOLDING COMPANY
A designer, importer, and wholesaler of home decor and seasonal gift products.
12% Senior Subordinated Note due 2015 $ 938,651 10/31/07 878,486 797,853
Common Stock (B) 110 shs. 10/31/07 110,430 --
Warrant, exercisable until 2015, to purchase
common stock at $.01 per share (B) 50 shs. 10/31/07 46,380 --
------------ ------------
1,035,296 797,853
------------ ------------
TRANSTAR HOLDING COMPANY
A distributor of aftermarket automotive transmission parts.
12% Senior Subordinated Note due 2014 $ 918,000 08/31/05 887,685 847,403
Common Stock (B) 571 shs. * 570,944 276,698
Warrant, exercisable until 2013, to purchase
common stock at $.02 per share (B) 46 shs. 08/31/05 41,021 22,051
------------ ------------
1,499,650 1,146,152
------------ ------------
TRANZONIC COMPANIES (THE)
A producer of commercial and industrial supplies, such as safety products, janitorial supplies, work apparel, washroom and restroom
supplies and sanitary care products.
13% Senior Subordinated Note due 2010 $ 1,356,000 02/05/98 1,313,737 1,337,840
Common Stock (B) 315 shs. 02/04/98 315,000 228,768
Warrant, exercisable until 2009, to purchase
common stock at $.01 per share (B) 222 shs. 02/05/98 184,416 161,227
------------ ------------
1,813,153 1,727,835
------------ ------------
* 08/31/05 and 04/30/07.
--------------------------------------------------------------------------------------------------------------------------------
23
MassMutual Participation Investors
CONSOLIDATED SCHEDULE OF INVESTMENTS (CONTINUED)
March 31, 2009
(Unaudited)
Principal Amount
Shares, Units
or Ownership Acquisition
CORPORATE RESTRICTED SECURITIES:(A)(Continued) Percentage Date Cost Fair Value
------------ -------- ------------ ------------
TRUCK BODIES & EQUIPMENT INTERNATIONAL
A designer and manufacturer of accessories for heavy and medium duty trucks, primarily dump bodies, hoists, various forms of flatbed
bodies, landscape bodies and other accessories.
16% Senior Subordinated Note due 2010 (D) $ 1,222,698 * $ 1,133,973 $ 305,675
16% PIK Note due 2010 $ 220,754 12/30/08 83,673 55,189
Preferred Stock Series B (B) 128 shs. 10/20/08 127,677 --
Common Stock (B) 393 shs. * 423,985 --
Warrant, exercisable until 2013, to purchase
common stock at $.02 per share (B) 81 shs. * 84,650 --
Warrant, exercisable until 2018, to purchase
common stock at $.01 per share (B) 558 shs. 10/20/08 -- --
------------ ------------
1,853,958 360,864
------------ ------------
TRUSTILE DOORS, INC.
A manufacturer and distributor of interior doors.
Warrant, exercisable until 2010, to purchase
common stock at $.01 per share (B) 3,060 shs. 04/11/03 36,032 147,927
------------ ------------
U M A ENTERPRISES, INC.
An importer and wholesaler of home decor products.
15% Senior Subordinated Note due 2015 $ 911,153 02/08/08 891,613 817,034
Convertible Preferred Stock (B) 470 shs. 02/08/08 469,565 95,493
------------ ------------
1,361,178 912,527
------------ ------------
U-LINE CORPORATION
A manufacturer of high-end, built-in, undercounter ice making, wine storage and refrigeration appliances.
12.5% Senior Subordinated Note due 2012 $ 996,500 04/30/04 935,798 928,007
Common Stock (B) 96 shs. 04/30/04 96,400 44,053
Warrant, exercisable until 2012, to purchase
common stock at $.01 per share (B) 122 shs. 04/30/04 112,106 55,752
------------ ------------
1,144,304 1,027,812
------------ ------------
VISIONEERING, INC.
A designer and manufacturer of tooling and fixtures for the aerospace industry.
10.5% Senior Secured Term Loan due 2013 $ 458,824 05/17/07 451,941 450,265
13% Senior Subordinated Note due 2014 $ 370,588 05/17/07 336,960 359,100
18% PIK Convertable Preferred Stock (B) 21,361 shs. 03/13/09 41,440 39,368
Common Stock (B) 70,588 shs. 05/17/07 70,588 68,581
Warrant, exercisable until 2014, to purchase
common stock at $.01 per share (B) 20,003 shs. 05/17/07 31,460 19,434
------------ ------------
932,389 936,748
------------ ------------
* 07/19/05 and 12/22/05.
--------------------------------------------------------------------------------------------------------------------------------
24
MassMutual Participation Investors
CONSOLIDATED SCHEDULE OF INVESTMENTS (CONTINUED)
March 31, 2009
(Unaudited)
Principal Amount
Shares, Units
or Ownership Acquisition
CORPORATE RESTRICTED SECURITIES:(A)(Continued) Percentage Date Cost Fair Value
------------ -------- ------------ ------------
VITALITY FOODSERVICE, INC.
A non-carbonated beverage dispensing company focused on the foodservice industry.
13% Senior Subordinated Note due 2011 $ 999,153 09/24/04 $ 951,649 $ 924,899
Common Stock (B) 14,006 shs. * 140,064 119,998
Warrant, exercisable until 2011, to purchase
common stock at $.01 per share (B) 12,593 shs. 09/24/04 98,938 107,892
------------ ------------
1,190,651 1,152,789
------------ ------------
VITEX PACKAGING GROUP, INC.
A manufacturer of specialty packaging, primarily envelopes and tags used on tea bags.
12.5% Senior Subordinated Note due 2012 (D) $ 900,000 07/19/04 785,152 --
14.5% PIK Note due 2010 $ 289,188 06/30/07 198,477 --
Limited Liability Company Unit Class A (B) 219,375 uts. 07/19/04 219,375 --
Limited Liability Company Unit Class B (B) 96,848 uts. 07/19/04 96,848 --
------------ ------------
1,299,852 --
------------ ------------
WAGGIN' TRAIN HOLDINGS LLC
A producer of premium quality meat dog treats.
14% Senior Subordinated Note due 2014 $ 1,157,633 11/15/07 1,133,199 1,041,028
Limited Liability Company Unit Class B (B) 224 uts. 11/15/07 223,757 192,719
Limited Liability Company Unit Class C (B) 224 uts. 11/15/07 -- 192,720
------------ ------------
1,356,956 1,426,467
------------ ------------
WALLS INDUSTRIES, INC.
A provider of branded workwear and sporting goods apparel.
Limited Partnership Interest (B) 0.20% int. 07/12/04 1,974 --
Common Stock (B) 2,133 shs. 12/21/07 -- --
------------ ------------
1,974 --
------------ ------------
WELLBORN FOREST HOLDING CO.
A manufacturer of semi-custom kitchen and bath cabinetry.
12.13% Senior Subordinated Note due 2014 $ 911,250 11/30/06 856,018 774,563
Common Stock (B) 101 shs. 11/30/06 101,250 20,299
Warrant, exercisable until 2014, to purchase
common stock at $.01 per share (B) 51 shs. 11/30/06 45,790 10,135
------------ ------------
1,003,058 804,997
------------ ------------
WORKPLACE MEDIA HOLDING CO.
A direct marketer specializing in providing advertisers with access to consumers in the workplace.
13% Senior Subordinated Note due 2015 $ 613,692 05/14/07 563,349 516,189
Limited Partnership Interest (B) 12.26% int. 05/14/07 61,308 --
Warrant, exercisable until 2015, to purchase
common stock at $.02 per share (B) 47 shs. 05/14/07 44,186 --
------------ ------------
668,843 516,189
------------ ------------
* 09/24/04 and 12/22/06.
--------------------------------------------------------------------------------------------------------------------------------
25
CONSOLIDATED SCHEDULE OF INVESTMENTS (CONTINUED)
March 31, 2009
(Unaudited)
Principal Amount
Shares, Units
or Ownership Acquisition
CORPORATE RESTRICTED SECURITIES:(A)(Continued) Percentage Date Cost Fair Value
------------ -------- ------------ ------------
XALOY SUPERIOR HOLDINGS, INC.
A provider of melt processing components and ancillary equipment for both plastic injection molding and extrusion applications.
15% Senior Subordinated Note due 2015 $ 1,220,486 09/08/08 $ 1,194,714 $ 1,068,372
Common Stock (B) 150 shs. 09/08/08 150,000 120,000
------------ ------------
1,344,714 1,188,372
------------ ------------
TOTAL PRIVATE PLACEMENT INVESTMENTS (E) 109,534,450 91,719,502
------------ ------------
--------------------------------------------------------------------------------------------------------------------------------
26
MassMutual Participation Investors
CONSOLIDATED SCHEDULE OF INVESTMENTS (CONTINUED)
March 31, 2009
(Unaudited)
Shares or
Interest Due Principal
CORPORATE RESTRICTED SECURITIES: (A) (Continued) Rate Date Amount Cost Fair Value
------- -------- ------------ ------------ ------------
RULE 144A SECURITIES - 3.15%:
BONDS - 3.15%
Anheuser-Busch Inbev 7.750% 01/15/19 $ 500,000 $ 499,615 $ 498,550
Cenveo Corporation 10.500 08/15/16 45,000 45,000 25,256
Charter Communications Op LLC 8.000 04/30/12 750,000 736,875 686,250
Compucom Systems, Inc. 12.500 10/01/15 670,000 649,802 408,700
Douglas Dynamics LLC 7.750 01/15/12 485,000 461,963 315,250
Forest Oil Corporation 8.500 02/15/14 50,000 47,621 46,375
G F S I, Inc. (C) 10.500 06/01/11 358,000 343,948 264,025
H C A, Inc. 9.875 02/15/17 15,000 14,506 14,175
Packaging Dynamics Corporation of America 10.000 05/01/16 975,000 969,748 411,938
Tennessee Gas Pipeline Company 8.000 02/01/16 10,000 9,497 10,000
Ticketmaster Entertainment, Inc. 10.750 08/01/16 250,000 250,000 170,000
Tunica-Biloxi Gaming Authority 9.000 11/15/15 540,000 556,211 437,400
Tyson Foods, Inc. 10.500 03/01/14 35,000 32,487 35,700
------------ ------------
TOTAL BONDS 4,617,273 3,323,619
------------ ------------
CONVERTIBLE PREFERRED STOCK - 0.00%
ETEX Corporation (B) 194 179 --
------------ ------------
TOTAL CONVERTIBLE PREFERRED STOCK 179 --
------------ ------------
PREFERRED STOCK - 0.00%
TherOX, Inc. (B) 26 1,032 --
------------ ------------
TOTAL PREFERRED STOCK 1,032 --
------------ ------------
COMMON STOCK - 0.00%
Touchstone Health Partnership (B) 292 1,062 --
------------ ------------
TOTAL COMMON STOCK 1,062 --
------------ ------------
TOTAL RULE 144A SECURITIES 4,619,546 3,323,619
------------ ------------
TOTAL CORPORATE RESTRICTED SECURITIES $114,153,996 $ 95,043,121
------------ ------------
----------------------------------------------------------------------------------------------------------------
27
CONSOLIDATED SCHEDULE OF INVESTMENTS (CONTINUED)
March 31, 2009
(Unaudited)
Interest Due Principal Market
CORPORATE PUBLIC SECURITIES - 15.96%:(A) Rate Date Amount Cost Value
------- -------- ------------ ------------ ------------
BONDS - 14.56%
Ahold Finance U S A, Inc. 6.250% 05/01/09 $ 500,000 $ 497,250 $ 498,750
Appleton Papers, Inc. 8.125 06/15/11 250,000 250,000 150,625
Aramark Corporation (C) 4.670 02/01/15 100,000 100,000 76,250
B E Aerospace, Inc. 8.500 07/01/18 500,000 473,125 416,875
C R H America, Inc. 5.300 10/15/13 500,000 418,430 380,627
C V S Caremark Corporation 5.750 06/01/17 500,000 407,380 487,581
Cincinnati Bell, Inc. 7.000 02/15/15 550,000 394,625 506,000
Citigroup, Inc. 5.500 04/11/13 500,000 437,890 439,286
Comcast Corporation 6.500 01/15/15 500,000 443,545 497,185
Denbury Resources, Inc. 9.750 03/01/16 25,000 23,225 24,125
Duke Energy Corporation 6.300 02/01/14 450,000 449,154 460,679
El Paso Corporation 12.000 12/12/13 25,000 22,345 26,500
Electronic Data Systems Corp. 7.125 10/15/09 500,000 500,810 515,016
Enterprise Products Operating Co. 9.750 01/31/14 375,000 375,000 412,051
Ford Motor Credit Co. 7.375 10/28/09 250,000 249,375 224,213
Gencorp, Inc. 9.500 08/15/13 130,000 130,000 93,600
Goldman Sachs Group, Inc. 4.750 07/15/13 500,000 418,645 459,269
Inergy LP/Inergy Fin 8.250 03/01/16 75,000 75,000 71,250
Intelsat Bermuda Ltd. 9.250 06/15/16 690,000 715,348 558,900
Interline Brands, Inc. 8.125 06/15/14 830,000 824,237 742,850
Iron Mountain, Inc. 8.750 07/15/18 500,000 513,639 496,250
Johnson Controls, Inc. 5.500 01/15/16 500,000 398,125 370,144
Lubrizol Corporation 8.875 02/01/19 500,000 496,280 514,218
Manitowoc Company, Inc. 7.125 11/01/13 100,000 100,000 70,000
Mediacom Broadband LLC 9.500 01/15/13 750,000 585,000 701,250
Nortek, Inc. 10.000 12/01/13 100,000 98,957 41,750
O E D Corp/Diamond Jo Company Guarantee 8.750 04/15/12 500,000 492,980 400,000
Pepsico, Inc. 7.900 11/01/18 500,000 517,601 614,329
Pliant Corporation (C) 11.850 06/15/09 857,441 835,202 344,048
Quicksilver Resources, Inc. 7.125 04/01/16 350,000 334,250 166,250
Rental Service Corportation 9.500 12/01/14 175,000 175,789 85,750
Rogers Wireless, Inc. 7.500 03/15/15 560,000 589,839 580,383
Sheridan Acquisition Corportation 10.250 08/15/11 225,000 222,000 131,625
Stewart & Stevenson LLC 10.000 07/15/14 735,000 755,176 554,925
Tenneco, Inc. 8.125 11/15/15 550,000 270,000 110,000
Texas Industries, Inc. 7.250 07/15/13 35,000 35,000 26,425
----------------------------------------------------------------------------------------------------------------
28
MassMutual Participation Investors
CONSOLIDATED SCHEDULE OF INVESTMENTS (CONTINUED)
March 31, 2009
(Unaudited)
Interest Due Principal Market
CORPORATE PUBLIC SECURITIES: (A) (Continued) Rate Date Amount Cost Value
------- -------- ------------ ------------ ------------
Titan International, Inc. 8.000% 01/15/12 $ 70,000 $ 70,000 $ 54,600
Transdigm, Inc. 7.750 07/15/14 150,000 151,171 139,875
Tube City IMS Corporation 9.750 02/01/15 1,000,000 990,675 152,500
Tyco International Group SA 8.500 01/15/19 125,000 124,996 129,062
Tyco International Group SA 6.000 11/15/13 625,000 545,312 588,037
United Components, Inc. 9.375 06/15/13 535,000 535,607 208,650
United Rentals, Inc. 6.500 02/15/12 325,000 235,625 260,000
Verizon Communications, Inc. 8.750 11/01/18 500,000 497,190 572,090
Virgin Media Finance PLC 8.750 04/15/14 790,000 592,500 746,550
Vought Aircraft Industries 8.000 07/15/11 650,000 647,771 253,500
------------ ------------
TOTAL BONDS 18,016,069 15,353,843
------------ ------------
COMMON STOCK - 0.29%
CKX, Inc. (B) 52,500 422,625 215,250
Directed Electronics, Inc. (B) 195,118 982,868 19,512
ITC^DeltaCom, Inc. (B) 94,588 827,645 64,320
Intrepid Potash, Inc. (B) 185 5,920 3,412
------------ ------------
TOTAL COMMON STOCK 2,239,058 302,494
------------ ------------
CONVERTIBLE BONDS - 1.11%
Citadel Broadcasting Corporation 4.000% 02/15/11 250,000 194,063 98,125
Nabors Industries Ltd. 0.940 05/15/11 750,000 660,625 663,750
Transocean, Inc. 1.500 12/15/37 500,000 411,093 409,375
------------ ------------
TOTAL CONVERTIBLE BONDS 1,265,781 1,171,250
------------ ------------
TOTAL CORPORATE PUBLIC SECURITIES $ 21,520,908 $ 16,827,587
------------ ------------
----------------------------------------------------------------------------------------------------------------
29
CONSOLIDATED SCHEDULE OF INVESTMENTS (CONTINUED)
March 31, 2009
(Unaudited)
Interest Due Principal Market
SHORT-TERM SECURITIES: Rate/Yield^ Date Amount Cost Value
------- -------- ------------ ------------ ------------
COMMERCIAL PAPER - 1.88%
Avery Dennison Corporation 0.850% 04/01/09 $ 1,980,000 $ 1,980,000 $ 1,980,000
------------ ------------
TOTAL SHORT-TERM SECURITIES $ 1,980,000 $ 1,980,000
------------ ------------
TOTAL INVESTMENTS 107.97 % $137,654,904 $113,850,708
============ ------------
Other Assets 4.07 4,286,824
Liabilities (12.04) (12,692,443)
------ ------------
TOTAL NET ASSETS 100.00 % $105,445,089
======= ============
(A) In each of the convertible note, warrant, and common stock investments, the issuer has agreed to provide
certain registration rights.
(B) Non-income producing security.
(C) Variable rate security; rate indicated is as of 03/31/09.
(D) Defaulted security; interest not accrued.
(E) Illiquid security. At March 31, 2009, the values of these securities amounted to $91,719,502 or 86.98% of
net assets.
^ Effective yield at purchase
PIK - Payment-in-kind
----------------------------------------------------------------------------------------------------------------
30
MassMutual Participation Investors
CONSOLIDATED SCHEDULE OF INVESTMENTS (CONTINUED)
March 31, 2009
(Unaudited)
Fair Value/ Fair Value/
INDUSTRY CLASSIFICATION: Market Value Market Value
-------------- --------------
AEROSPACE - 3.13% BUILDINGS & REAL ESTATE - 1.10%
B E Aerospace, Inc. $ 416,875 K W P I Holdings Corporation $ 985,284
Gencorp, Inc. 93,600 Texas Industries, Inc. 26,425
P A S Holdco LLC 1,460,321 TruStile Doors, Inc. 147,927
Transdigm, Inc. 139,875 --------------
Visioneering, Inc. 936,748 1,159,636
Vought Aircraft Industries 253,500 --------------
-------------- CHEMICAL, PLASTICS & RUBBER - 0.13%
3,300,919 Capital Specialty Plastics, Inc. 139,733
-------------- --------------
AUTOMOBILE - 4.27% CONSUMER PRODUCTS - 7.97%
Fuel Systems Holding Corporation -- Aero Holdings, Inc. 1,978,394
Jason, Inc. 498,170 Bravo Sports Holding Corporation 1,095,095
Johnson Controls, Inc. 370,144 G F S I, Inc. 264,025
Nyloncraft, Inc. 348,215 K N B Holdings Corporation 1,224,690
Ontario Drive & Gear Ltd. 865,549 Momentum Holding Co. 268,637
Qualis Automotive LLC 897,733 R A J Manufacturing Holdings LLC 1,287,504
Tenneco, Inc. 110,000 Royal Baths Manufacturing Company 525,241
Titan International, Inc. 54,600 The Tranzonic Companies 1,727,835
Transtar Holding Company 1,146,152 Tyson Foods, Inc. 35,700
United Components, Inc. 208,650 Walls Industries, Inc. --
-------------- --------------
4,499,213 8,407,121
-------------- --------------
BEVERAGE, DRUG & FOOD - 5.47% CONTAINERS, PACKAGING & GLASS - 3.79%
Anheuser-Busch Inbev 498,550 Flutes, Inc. 393,593
Aramark Corporation 76,250 Maverick Acquisition Company 358,936
Golden County Foods Holding, Inc. 867,692 P I I Holding Corporation 1,421,828
Hospitality Mints Holding Company 1,247,602 Packaging Dynamics Corporation of America 411,938
Pepsico, Inc. 614,329 Paradigm Packaging, Inc. 1,061,049
Specialty Commodities, Inc. 1,312,339 Pliant Corporation 344,048
Vitality Foodservice, Inc. 1,152,789 Vitex Packaging Group, Inc. --
-------------- --------------
5,769,551 3,991,392
-------------- --------------
BROADCASTING & ENTERTAINMENT - 3.28% DISTRIBUTION - 1.99%
Charter Communications Op LLC 686,250 Duncan Systems, Inc. 820,208
Citadel Broadcasting Corporation 98,125 FCX Holdings Corporation 1,278,627
CKX, Inc. 215,250 QualServ Corporation --
Comcast Corporation 497,185 --------------
Mediacom Broadband LLC 701,250 2,098,835
Virgin Media Finance PLC 746,550 --------------
Workplace Media Holding Co. 516,189
--------------
3,460,799
--------------
------------------------------------------------------------------------------------------------------------------------------------
31
CONSOLIDATED SCHEDULE OF INVESTMENTS (CONTINUED)
March 31, 2009
(Unaudited)
Fair Value/ Fair Value/
INDUSTRY CLASSIFICATION:(Continued) Market Value Market Value
-------------- --------------
DIVERSIFIED/CONGLOMERATE, FARMING & AGRICULTURE - 1.35%
MANUFACTURING - 10.39% Protein Genetics, Inc. $ --
A H C Holdings Company, Inc. $ 1,294,174 Waggin' Train Holdings LLC 1,426,467
Arrow Tru-Line Holdings, Inc. 778,887 --------------
C D N T, Inc. 781,464 1,426,467
Douglas Dynamics LLC 315,250 --------------
Evans Consoles, Inc. 635,574 FINANCIAL SERVICES - 1.06%
K P I Holdings, Inc. 1,124,020 Citigroup, Inc. 439,286
MEGTEC Holdings, Inc. 1,243,970 Ford Motor Credit Co. 224,213
Milwaukee Gear Company 1,324,745 Goldman Sachs Group, Inc. 459,269
Nortek, Inc. 41,750 Highgate Capital LLC --
Postle Aluminum Company LLC 291,240 --------------
Radiac Abrasives, Inc. 1,572,799 1,122,768
Truck Bodies & Equipment International 360,864 --------------
Xaloy Superior Holdings, Inc. 1,188,372 HEALTHCARE, EDUCATION & CHILDCARE - 5.67%
-------------- A T I Acquisition Company 1,884,084
10,953,109 American Hospice Management Holding LLC 1,855,498
-------------- F H S Holdings LLC 949,219
DIVERSIFIED/CONGLOMERATE, SERVICE - 10.37% HCA, Inc. 14,175
A W X Holdings Corporation 812,689 Synteract Holdings Corporation 1,274,437
Advanced Technologies Holdings 1,380,665 Touchstone Health Partnership --
C R H America, Inc. 380,627 --------------
Clough, Harbour and Associates 1,384,073 5,977,413
Crane Rental Corporation 1,295,823 --------------
Diversco, Inc./DHI Holdings, Inc. 659,713 HOME & OFFICE FURNISHINGS, HOUSEWARES,
Dwyer Group, Inc. 784,353 AND DURABLE CONSUMER PRODUCTS - 10.16%
Fowler Holding, Inc. -- Connor Sport Court International, Inc. 1,248,207
GQ Holdings LLC -- H M Holding Company --
Insurance Claims Management, Inc. 69,752 Home Decor Holding Company 1,101,830
Interline Brands, Inc. 742,850 Justrite Manufacturing Acquisition Co. 943,778
Iron Mountain, Inc. 496,250 K H O F Holdings, Inc. 1,277,338
Mail Communications Group, Inc. 716,410 Monessen Holding Corporation 1,436,562
Nesco Holdings Corporation 1,496,963 Stanton Carpet Holding Co. 1,166,550
Tyco International Group 129,062 Transpac Holdings Company 797,853
Tyco International Group 588,037 U M A Enterprises, Inc. 912,527
-------------- U-Line Corporation 1,027,812
10,937,267 Wellborn Forest Holding Co. 804,997
-------------- --------------
ELECTRONICS - 1.56% 10,717,454
Connecticut Electric, Inc. 1,110,667 --------------
Directed Electronics, Inc. 19,512
Electronic Data Systems Corporation 515,016
--------------
1,645,195
--------------
------------------------------------------------------------------------------------------------------------------------------------
32
CONSOLIDATED SCHEDULE OF INVESTMENTS (CONTINUED)
March 31, 2009
(Unaudited)
Fair Value/ Fair Value/
INDUSTRY CLASSIFICATION:(Continued) Market Value Market Value
-------------- --------------
LEISURE, AMUSEMENT, ENTERTAINMENT - 2.15% NATURAL RESOURCES - 0.66%
Electra Bicycle Company LLC $ 61,286 Appleton Papers, Inc. $ 150,625
O E D Corp/Diamond Jo Company Guarantee 400,000 Cenveo Corporation 25,256
Savage Sports Holding, Inc. 1,193,154 Intrepid Potash, Inc. 3,412
Ticketmaster Entertainment, Inc. 170,000 Lubrizol Corporation 514,218
Tunica-Biloxi Gaming Authority 437,400 --------------
-------------- 693,511
2,261,840 --------------
-------------- OIL & GAS - 2.50%
MACHINERY - 10.25% Enterprise Products Operating Co. 412,051
A S A P Industries LLC 664,890 Denbury Resources, Inc. 24,125
Davis-Standard LLC 1,703,319 Forest Oil Corporation 46,375
E S P Holdco, Inc. 1,187,361 Nabors Industries LTD 663,750
Integration Technology Systems, Inc. -- Quicksilver Resources, Inc. 166,250
K-Tek Holdings Corporation 1,296,429 Tennessee Gas Pipeline Company 10,000
M V I Holding, Inc. 641,402 Transocean, Inc. 409,375
Manitowoc Company, Inc. 70,000 Total E & S, Inc. 901,542
Morton Industrial Group, Inc. 129,225 --------------
Navis Global 183,116 2,633,468
NetShape Technologies, Inc. 684,471 --------------
Pacific Consolidated Holdings LLC 654,706 PHARMACEUTICALS - 1.27%
Power Services Holding Company 1,382,763 CorePharma LLC 1,341,662
R E I Delaware Holding, Inc. 1,230,516 --------------
Safety Speed Cut Manufacturing Company, Inc. 423,335 PUBLISHING/PRINTING - 0.12%
Stewart & Stevenson LLC 554,925 Sheridan Acquisition Corporation 131,625
-------------- --------------
10,806,458 RETAIL STORES - 1.41%
-------------- Ahold Finance USA, Inc. 498,750
MEDICAL DEVICES/BIOTECH - 3.78% CVS Caremark Corporation 487,581
Coeur, Inc. 637,862 Olympic Sales, Inc. 151,031
E X C Acquisition Corporation 111,970 Rental Service Corporation 85,750
ETEX Corporation - United Rentals, Inc. 260,000
MedSystems Holdings LLC 649,630 --------------
MicroGroup, Inc. 1,987,412 1,483,112
OakRiver Technology, Inc. 596,827 --------------
TherOX, Inc. -- TECHNOLOGY - 3.12%
-------------- Compucom Systems, Inc. 408,700
3,983,701 Sencore Holding Company 1,316,439
-------------- Smart Source Holdings LLC 1,563,072
MINING, STEEL, IRON & NON PRECIOUS --------------
METALS - 1.34% 3,288,211
T H I Acquisition, Inc. 1,259,986 --------------
Tube City IMS Corporation 152,500
--------------
1,412,486
--------------
------------------------------------------------------------------------------------------------------------------------------------
33
CONSOLIDATED SCHEDULE OF INVESTMENTS (CONTINUED)
March 31, 2009
(Unaudited)
Fair Value/ Fair Value/
INDUSTRY CLASSIFICATION:(Continued) Market Value Market Value
-------------- --------------
TELECOMMUNICATIONS - 2.76% UTILITIES - 0.53%
All Current Holding Company $ 631,874 El Paso Corporation $ 26,500
Cincinnati Bell, Inc. 506,000 Duke Energy Corporation 460,679
Intelsat Bermuda Ltd. 558,900 Inergy LP 71,250
ITC^DeltaCom, Inc. 64,320 --------------
Rogers Wireless, Inc. 580,383 558,429
Verizon Communications 572,090 --------------
-------------- WASTE MANAGEMENT / POLLUTION - 2.66%
2,913,567 Terra Renewal LLC 1,716,073
-------------- Torrent Group Holdings, Inc. 1,090,733
TRANSPORTATION - 1.85% --------------
NABCO, Inc. 215,846 2,806,806
Tangent Rail Corporation 1,733,114 --------------
-------------- TOTAL CORPORATE RESTRICTED AND
1,948,960 PUBLIC SECURITIES - 106.09% $ 111,870,708
-------------- ==============
See Notes to Consolidated Financial Statements
------------------------------------------------------------------------------------------------------------------------------------
34
INCOME TAX INFORMATION
The aggregate cost of investments is substantially the same for financial
reporting and federal income tax purposes as of March 31, 2009. The net
unrealized depreciation of investments for financial reporting and federal
tax purposes as of March 31, 2009 is $23,804,196 and consists of $7,987,072
appreciation and $31,791,268 depreciation.
FAIR VALUE MEASUREMENTS
Effective January 1, 2008, the Trust adopted FASB Statement of Financial
Accounting Standards No. 157, "Fair Value Measurements" ("FAS 157"). FAS 157
clarifies the definition of fair value, establishes a framework for measuring
fair values and requires additional disclosures about the use of fair value
measurements. FAS 157 requires companies to provide expanded information
about the assets and liabilities measured at fair value and the potential
effect of these fair valuations on an entity's financial performance.
Various inputs are used in determining the value of the Trust's investments.
Using the hierarchy established under FAS 157, these inputs are summarized in
the three broad levels listed below:
Level 1: quoted prices in active markets for identical securities
Level 2: other significant observable inputs (including quoted prices for
similar securities, interest rates, prepayments speeds, credit risk,
etc.)
Level 3: significant unobservable inputs (including the Trust's own
assumptions in determining the fair value of investments)
The inputs and methodology used for valuing securities are not necessarily an
indication of the risk associated with investing in those securities.
The following is a summary of the inputs used to value the Trust's net assets
as of March 31, 2009:
ASSETS TOTAL LEVEL 1 LEVEL 2 LEVEL 3
-----------------------------------------------------------------------------
Restricted Securities $95,043,121 $ -- $ 3,323,619 $91,719,502
Public Securities 16,827,587 302,494 16,525,093 --
Short-term Securities 1,980,000 -- 1,980,000 --
-----------------------------------------------------------------------------
TOTAL $113,850,708 $302,494 $21,828,712 $91,719,502
Following is a reconciliation of Level 3 assets for which significant
unobservable inputs were used to determine fair value:
RESTRICTED PUBLIC SHORT-TERM
ASSETS SECURITIES SECURITIES SECURITIES TOTAL
-----------------------------------------------------------------------------
Beginning balance
at 12/31/2008 $97,424,749 $ -- $ -- $97,424,749
Total gains or losses
(realized/unrealized)
included in earnings* (7,547,321) -- -- (7,547,321)
Purchases, sales,
issuances &
settlements (net) 1,842,074 -- -- 1,842,074
Transfers in and /
or out of Level 3 -- -- -- --
-----------------------------------------------------------------------------
ENDING BALANCE
at 3/31/09 $91,719,502 $ -- $ -- $91,719,502
*The amount of net losses for the period included in earnings attributable to
the change in unrealized gains or losses relating to Level 3 assets still
held at 03/31/09 is $(7,819,842).
ITEM 2. CONTROLS AND PROCEDURES.
(a) The principal executive officer and principal financial officer of
the Registrant evaluated the effectiveness of the Registrant's disclosure
controls and procedures (as defined in Rule 30a-3(c) under the Investment
Company Act of 1940 (the "Act") as of a date within 90 days of the filing date
of this report and based on that evaluation have concluded that such disclosure
controls and procedures are effective to provide reasonable assurance that
material information required to be disclosed by the Registrant on Form N-Q is
recorded, processed, summarized and reported within the time periods specified
in the Securities and Exchange Commission's rules and forms.
(b) There were no changes in the Registrant's internal control over
financial reporting (as defined in Rule 30a-3(d) under the Act) that occurred
during the Registrant's last fiscal quarter that has materially affected, or are
reasonably likely to materially affect, the Registrant's internal control over
financial reporting.
ITEM 3. EXHIBITS.
Certifications pursuant to Rule 30a-2(a) under the Investment Company
Act of 1940 (17 CFR 270.30a-2(a)) are attached hereto as an exhibit.
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) MassMutual Participation Investors
----------------------------------
By (Signature and Title)* /s/ Michael L. Klofas
---------------------------------------------
Michael L. Klofas, President
Date May 29, 2009
------------------------------------------------------------------
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/ Michael L. Klofas
---------------------------------------------
Michael L. Klofas, President
Date May 29, 2009
------------------------------------------------------------------
By (Signature and Title)* /s/ James M. Roy
---------------------------------------------
James M. Roy, Vice President and
Chief Financial Officer
Date May 29, 2009
------------------------------------------------------------------
* PRINT THE NAME AND TITLE OF EACH SIGNING OFFICER UNDER HIS OR HER SIGNATURE.