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 811-21529
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The Gabelli Global Utility & Income Trust
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(Exact name of registrant as specified in charter)
One Corporate Center
Rye, New York 10580-1422
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(Address of principal executive offices) (Zip code)
Bruce N. Alpert
Gabelli Funds, LLC
One Corporate Center
Rye, New York 10580-1422
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(Name and address of agent for service)
Registrant's telephone number, including area code: 1-800-422-3554
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Date of fiscal year end: December 31
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Date of reporting period: March 31, 2008
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Form N-Q is to be used by management investment companies, other than small
business investment companies registered on Form N-5 (ss.ss. 239.24 and 274.5 of
this chapter), to file reports with the Commission, not later than 60 days after
the close of the first and third fiscal quarters, pursuant to rule 30b1-5 under
the Investment Company Act of 1940 (17 CFR 270.30b1-5). The Commission may use
the information provided on Form N-Q in its regulatory, disclosure review,
inspection, and policymaking roles.
A registrant is required to disclose the information specified by Form N-Q, and
the Commission will make this information public. A registrant is not required
to respond to the collection of information contained in Form N-Q unless the
Form displays a currently valid Office of Management and Budget ("OMB") control
number. Please direct comments concerning the accuracy of the information
collection burden estimate and any suggestions for reducing the burden to the
Secretary, Securities and Exchange Commission, 100 F Street, NE, Washington, DC
20549. The OMB has reviewed this collection of information under the clearance
requirements of 44 U.S.C. ss. 3507.
ITEM 1. SCHEDULE OF INVESTMENTS.
The Schedule(s) of Investments is attached herewith.
[LOGO]
THE GABELLI
GLOBAL UTILITY
& INCOME TRUST
THE GABELLI GLOBAL UTILITY & INCOME TRUST
First Quarter Report
March 31, 2008
TO OUR SHAREHOLDERS,
The Gabelli Global Utility & Income Trust's (the "Fund") net asset value
("NAV") total return was (9.6)% during the first quarter of 2008, compared with
declines of 9.9% and 10.2% for the Standard & Poor's ("S&P") 500 Utilities Index
and the Lipper Utility Fund Average, respectively. The total return for the
Fund's publicly traded shares was (10.6)% during the first quarter. On March 31,
2008, the Fund's NAV per share was $22.75, while the price of the publicly
traded shares closed at $20.32 on the American Stock Exchange.
Enclosed is the investment portfolio as of March 31, 2008.
COMPARATIVE RESULTS
--------------------------------------------------------------------------------
AVERAGE ANNUAL RETURNS THROUGH MARCH 31, 2008 (a)
-------------------------------------------------
Since
Inception
Quarter 1 Year 3 Year (05/28/04)
-------- ------- ------ ----------
GABELLI GLOBAL UTILITY & INCOME TRUST
NAV TOTAL RETURN (b) ................... (9.59)% (4.12)% 9.81% 11.08%
INVESTMENT TOTAL RETURN (c) ............ (10.58) (3.15) 10.36 7.21
S&P 500 Utilities Index ................... (9.94) (1.62) 12.97 17.33
Lipper Utility Fund Average ............... (10.24) (0.42) 14.04 17.20
(a) RETURNS REPRESENT PAST PERFORMANCE AND DO NOT GUARANTEE FUTURE RESULTS.
INVESTMENT RETURNS AND THE PRINCIPAL VALUE OF AN INVESTMENT WILL
FLUCTUATE. WHEN SHARES ARE SOLD, THEY MAY BE WORTH MORE OR LESS THAN THEIR
ORIGINAL COST. CURRENT PERFORMANCE MAY BE LOWER OR HIGHER THAN THE
PERFORMANCE DATA PRESENTED. VISIT WWW.GABELLI.COM FOR PERFORMANCE
INFORMATION AS OF THE MOST RECENT MONTH END. PERFORMANCE RETURNS FOR
PERIODS LESS THAN ONE YEAR ARE NOT ANNUALIZED. INVESTORS SHOULD CAREFULLY
CONSIDER THE INVESTMENT OBJECTIVES, RISKS, CHARGES, AND EXPENSES OF THE
FUND BEFORE INVESTING. THE S&P 500 UTILITIES INDEX IS AN UNMANAGED
INDICATOR OF ELECTRIC AND GAS UTILITY STOCK PERFORMANCE. THE LIPPER
UTILITY FUND AVERAGE REFLECTS THE AVERAGE PERFORMANCE OF OPEN-END MUTUAL
FUNDS CLASSIFIED IN THIS PARTICULAR CATEGORY. DIVIDENDS ARE CONSIDERED
REINVESTED. YOU CANNOT INVEST DIRECTLY IN AN INDEX.
(b) TOTAL RETURNS AND AVERAGE ANNUAL RETURNS REFLECT CHANGES IN THE NAV PER
SHARE AND REINVESTMENT OF DISTRIBUTIONS AT NAV ON THE EX-DIVIDEND DATE AND
ARE NET OF EXPENSES. SINCE INCEPTION RETURN IS BASED ON AN INITIAL NAV OF
$19.06.
(c) TOTAL RETURNS AND AVERAGE ANNUAL RETURNS REFLECT CHANGES IN CLOSING MARKET
VALUES ON THE AMERICAN STOCK EXCHANGE AND REINVESTMENT OF DISTRIBUTIONS.
SINCE INCEPTION RETURN IS BASED ON AN INITIAL OFFERING PRICE OF $20.00.
--------------------------------------------------------------------------------
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We have separated the portfolio manager's commentary from the financial
statements and investment portfolio due to corporate governance regulations
stipulated by the Sarbanes-Oxley Act of 2002. We have done this to ensure that
the content of the portfolio manager's commentary is unrestricted. The financial
statements and investment portfolio are mailed separately from the commentary.
Both the commentary and the financial statements, including the portfolio of
investments, will be available on our website at www.gabelli.com.
--------------------------------------------------------------------------------
THE GABELLI GLOBAL UTILITY & INCOME TRUST
SCHEDULE OF INVESTMENTS
MARCH 31, 2008 (UNAUDITED)
MARKET
SHARES VALUE
------------ ---------------
COMMON STOCKS -- 90.7%
ENERGY AND UTILITIES -- 68.4%
ENERGY AND UTILITIES: ALTERNATIVE ENERGY -- 0.1%
U.S. COMPANIES
1,000 Ormat Technologies Inc. ......................................................................... $ 43,010
---------------
ENERGY AND UTILITIES: ELECTRIC TRANSMISSION AND DISTRIBUTION -- 5.8%
NON U.S. COMPANIES
8,775 National Grid plc, ADR .......................................................................... 613,636
1,000 Red Electrica de Espana ......................................................................... 61,224
U.S. COMPANIES
4,900 CH Energy Group Inc. ............................................................................ 190,610
1,000 Consolidated Edison Inc. ........................................................................ 39,700
20,000 Energy East Corp. ............................................................................... 482,400
5,000 Northeast Utilities ............................................................................. 122,700
50,000 NSTAR ........................................................................................... 1,521,500
40,000 Pepco Holdings Inc. ............................................................................. 988,800
1,666 UIL Holdings Corp. .............................................................................. 50,197
---------------
4,070,767
---------------
ENERGY AND UTILITIES: INTEGRATED -- 44.3%
NON U.S. COMPANIES
150,000 AEM SpA ......................................................................................... 551,183
500 Areva SA ........................................................................................ 543,881
8,000 Chubu Electric Power Co. Inc. ................................................................... 199,839
152,000 Datang International Power Generation Co. Ltd., Cl. H ........................................... 80,661
1,000 E.ON AG ......................................................................................... 185,125
9,000 E.ON AG, ADR .................................................................................... 561,323
8,400 Electric Power Development Co. Ltd. ............................................................. 302,528
45,000 Enel SpA ........................................................................................ 477,416
9,760 Energias de Portugal SA, ADR .................................................................... 593,868
29,000 Enersis SA, ADR ................................................................................. 512,720
142,000 Hera SpA ........................................................................................ 572,789
10,000 Hokkaido Electric Power Co. Inc. ................................................................ 232,243
10,000 Hokuriku Electric Power Co. ..................................................................... 235,754
4,000 Huaneng Power International Inc., ADR ........................................................... 122,160
75,000 Iberdrola SA .................................................................................... 1,162,754
12,000 Iberdrola SA, ADR ............................................................................... 746,898
2,000 International Power plc ......................................................................... 15,798
5,000 Korea Electric Power Corp., ADR ................................................................. 75,200
10,000 Kyushu Electric Power Co. Inc. .................................................................. 244,282
4,500 Oesterreichische Elektrizitaetswirtschafts AG, Cl. A ............................................ 320,337
10,000 Shikoku Electric Power Co. Inc. ................................................................. 297,452
10,000 The Chugoku Electric Power Co. Inc. ............................................................. 222,713
16,000 The Kansai Electric Power Co. Inc. .............................................................. 398,074
10,000 The Tokyo Electric Power Co. Inc. ............................................................... 267,356
10,000 Tohoku Electric Power Co. Inc. .................................................................. 244,282
U.S. COMPANIES
1,000 Allegheny Energy Inc. ........................................................................... 50,500
MARKET
SHARES VALUE
------------ ---------------
7,000 ALLETE Inc. ..................................................................................... $ 270,340
19,000 Ameren Corp. .................................................................................... 836,760
30,000 American Electric Power Co. Inc. ................................................................ 1,248,900
276,100 Aquila Inc.+ .................................................................................... 886,281
1,000 Avista Corp. .................................................................................... 19,560
6,000 Black Hills Corp. ............................................................................... 214,680
500 Cleco Corp. ..................................................................................... 11,090
500 CMS Energy Corp. ................................................................................ 6,770
60,000 DPL Inc. ........................................................................................ 1,538,400
40,000 Duke Energy Corp. ............................................................................... 714,000
1,000 El Paso Electric Co.+ ........................................................................... 21,370
7,000 Florida Public Utilities Co. .................................................................... 78,050
14,000 FPL Group Inc. .................................................................................. 878,360
35,000 Great Plains Energy Inc. ........................................................................ 862,750
26,000 Hawaiian Electric Industries Inc. ............................................................... 620,620
29,500 Integrys Energy Group Inc. ...................................................................... 1,375,880
6,500 Maine & Maritimes Corp.+ ........................................................................ 180,700
15,000 MGE Energy Inc. ................................................................................. 510,900
44,000 NiSource Inc. ................................................................................... 758,560
14,000 NorthWestern Corp. .............................................................................. 341,180
19,500 OGE Energy Corp. ................................................................................ 607,815
6,000 Otter Tail Corp. ................................................................................ 212,340
1,000 PG&E Corp. ...................................................................................... 36,820
15,000 Pinnacle West Capital Corp. ..................................................................... 526,200
4,200 PPL Corp. ....................................................................................... 192,864
33,000 Progress Energy Inc. ............................................................................ 1,376,100
32,000 Public Service Enterprise Group Inc. ............................................................ 1,286,080
25,000 Puget Energy Inc. ............................................................................... 646,750
18,000 SCANA Corp. ..................................................................................... 658,440
45,000 Southern Co. .................................................................................... 1,602,450
1,000 TECO Energy Inc. ................................................................................ 15,950
1,000 The Empire District Electric Co. ................................................................ 20,250
17,000 Unisource Energy Corp. .......................................................................... 378,420
17,000 Vectren Corp. ................................................................................... 456,110
41,000 Westar Energy Inc. .............................................................................. 933,570
5,000 Wisconsin Energy Corp. .......................................................................... 219,950
45,000 Xcel Energy Inc. ................................................................................ 897,750
---------------
30,660,146
---------------
ENERGY AND UTILITIES: NATURAL GAS INTEGRATED -- 4.1%
NON U.S. COMPANIES
80,000 Snam Rete Gas SpA ............................................................................... 508,675
U.S. COMPANIES
25,000 El Paso Corp. ................................................................................... 416,000
1,000 Energen Corp. ................................................................................... 62,300
16,000 National Fuel Gas Co. ........................................................................... 755,360
2,000 ONEOK Inc. ...................................................................................... 89,260
15,000 Southern Union Co. .............................................................................. 349,050
30,000 Spectra Energy Corp. ............................................................................ 682,500
---------------
2,863,145
---------------
See accompanying notes to schedule of investments.
2
THE GABELLI GLOBAL UTILITY & INCOME TRUST
SCHEDULE OF INVESTMENTS (CONTINUED)
MARCH 31, 2008 (UNAUDITED)
MARKET
SHARES VALUE
------------ ---------------
COMMON STOCKS (CONTINUED)
ENERGY AND UTILITIES (CONTINUED)
ENERGY AND UTILITIES: NATURAL GAS UTILITIES -- 3.1%
NON U.S. COMPANIES
1,000 Enagas .......................................................................................... $ 29,886
U.S. COMPANIES
20,000 Atmos Energy Corp. .............................................................................. 510,000
2,000 Chesapeake Utilities Corp. ...................................................................... 59,280
2,000 EnergySouth Inc. ................................................................................ 104,380
20,000 Nicor Inc. ...................................................................................... 670,200
5,000 Piedmont Natural Gas Co. Inc. ................................................................... 131,300
10,000 Southwest Gas Corp. ............................................................................. 279,600
10,000 The Laclede Group Inc. .......................................................................... 356,300
---------------
2,140,946
---------------
ENERGY AND UTILITIES: OIL -- 2.1%
NON U.S. COMPANIES
500 Niko Resources Ltd. ............................................................................. 40,552
10,000 Royal Dutch Shell plc, Cl. A, ADR ............................................................... 689,800
U.S. COMPANIES
3,000 Chevron Corp. ................................................................................... 256,080
2,000 ConocoPhillips .................................................................................. 152,420
2,000 Devon Energy Corp. .............................................................................. 208,660
1,000 Exxon Mobil Corp. ............................................................................... 84,580
---------------
1,432,092
---------------
ENERGY AND UTILITIES: SERVICES -- 0.2%
NON U.S. COMPANIES
5,000 ABB Ltd., ADR ................................................................................... 134,600
---------------
ENERGY AND UTILITIES: WATER -- 5.5%
NON U.S. COMPANIES
1,000 Consolidated Water Co. Ltd. ..................................................................... 22,030
50,000 Severn Trent plc ................................................................................ 1,408,101
2,000 Suez SA ......................................................................................... 131,226
12,000 Suez SA, ADR .................................................................................... 790,442
7,200 Suez SA, Strips+ ................................................................................ 114
48,000 United Utilities plc ............................................................................ 657,789
U.S. COMPANIES
8,666 Aqua America Inc. ............................................................................... 162,748
3,000 California Water Service Group .................................................................. 114,450
4,000 Middlesex Water Co. ............................................................................. 72,640
17,000 SJW Corp. ....................................................................................... 486,030
---------------
3,845,570
---------------
DIVERSIFIED INDUSTRIAL -- 1.4%
NON U.S. COMPANIES
13,000 Bouygues SA ..................................................................................... 825,879
U.S. COMPANIES
4,800 Woodward Governor Co. ........................................................................... 128,256
---------------
954,135
---------------
SHARES/ MARKET
UNITS VALUE
------------ ---------------
ENVIRONMENTAL SERVICES -- 1.8%
NON U.S. COMPANIES
75,000 Biffa plc ....................................................................................... $ 519,107
10,000 Veolia Environnement ............................................................................ 697,179
---------------
1,216,286
---------------
TOTAL ENERGY AND UTILITIES ...................................................................... 47,360,697
---------------
COMMUNICATIONS -- 19.4%
CABLE AND SATELLITE -- 6.7%
NON U.S. COMPANIES
10,000 Cogeco Inc. ..................................................................................... 297,141
2,500 Rogers Communications Inc., Cl. B ............................................................... 89,800
4,929 Zon Multimedia Servicos de Telecomunicacoes e Multimedia SGPS SA ................................ 58,440
U.S. COMPANIES
38,000 Cablevision Systems Corp., Cl. A+ ............................................................... 814,340
18,000 DISH Network Corp., Cl. A+ ...................................................................... 517,140
3,600 EchoStar Corp., Cl. A+ .......................................................................... 106,344
4,580 Liberty Global Inc., Cl. A+ ..................................................................... 156,086
4,000 Liberty Global Inc., Cl. C+ ..................................................................... 129,920
100,000 The DIRECTV Group Inc.+ ......................................................................... 2,479,000
---------------
4,648,211
---------------
TELECOMMUNICATIONS -- 11.6%
NON U.S. COMPANIES
28,000 BCE Inc. ........................................................................................ 944,440
2,102 Bell Aliant Regional Communications Income Fund (a) ............................................. 63,039
26,000 BT Group plc, ADR ............................................................................... 1,120,600
30,000 Deutsche Telekom AG, ADR ........................................................................ 497,400
6,000 France Telecom SA, ADR .......................................................................... 201,480
3,000 Manitoba Telecom Services Inc. .................................................................. 114,453
2,000 Neuf Cegetel .................................................................................... 111,365
35,000 Portugal Telecom SGPS SA ........................................................................ 406,688
15,000 Royal KPN NV, ADR ............................................................................... 253,650
1,500 Swisscom AG ..................................................................................... 513,921
24,062 Telecom Italia SpA .............................................................................. 50,334
16,000 Telefonica SA, ADR .............................................................................. 1,384,160
14,000 Telefonos de Mexico SAB de CV, Cl. L, ADR ....................................................... 526,400
U.S. COMPANIES
20,000 AT&T Inc. ....................................................................................... 766,000
1,000 Embarq Corp. .................................................................................... 40,100
20,000 Sprint Nextel Corp. ............................................................................. 133,800
25,000 Verizon Communications Inc. ..................................................................... 911,250
---------------
8,039,080
---------------
See accompanying notes to schedule of investments.
3
THE GABELLI GLOBAL UTILITY & INCOME TRUST
SCHEDULE OF INVESTMENTS (CONTINUED)
MARCH 31, 2008 (UNAUDITED)
MARKET
SHARES VALUE
------------ ---------------
COMMON STOCKS (CONTINUED)
COMMUNICATIONS (CONTINUED)
WIRELESS COMMUNICATIONS -- 1.1%
NON U.S. COMPANIES
1,000 America Movil SAB de CV, Cl. L, ADR ............................................................. $ 63,690
2,500 Millicom International Cellular SA+ ............................................................. 236,375
1,600 Mobile TeleSystems OJSC, ADR .................................................................... 121,360
7,000 Vimpel-Communications, ADR ...................................................................... 209,230
2,000 Vodafone Group plc, ADR ......................................................................... 59,020
U.S. COMPANIES
1,200 United States Cellular Corp.+ ................................................................... 66,000
---------------
755,675
---------------
TOTAL COMMUNICATIONS ............................................................................ 13,442,966
---------------
OTHER -- 2.9%
AEROSPACE -- 0.8%
NON U.S. COMPANIES
68,000 Rolls-Royce Group plc+ .......................................................................... 543,871
6,092,800 Rolls-Royce Group plc, Cl. B .................................................................... 12,092
---------------
555,963
---------------
BUILDING AND CONSTRUCTION -- 0.8%
NON U.S. COMPANIES
2,000 Acciona SA ...................................................................................... 535,672
---------------
BUSINESS SERVICES -- 0.2%
NON U.S. COMPANIES
3,700 Sistema JSFC, GDR ............................................................................... 118,770
---------------
ENTERTAINMENT -- 0.5%
NON U.S. COMPANIES
10,000 Vivendi ......................................................................................... 390,742
---------------
METALS AND MINING -- 0.5%
NON U.S. COMPANIES
5,000 Compania de Minas Buenaventura SA, ADR .......................................................... 342,500
---------------
PUBLISHING -- 0.0%
U.S. COMPANIES
1,200 Idearc Inc. ..................................................................................... 4,368
---------------
TRANSPORTATION -- 0.1%
U.S. COMPANIES
2,000 GATX Corp. ...................................................................................... 78,140
---------------
TOTAL OTHER ..................................................................................... 2,026,155
---------------
TOTAL COMMON STOCKS ............................................................................. 62,829,818
---------------
CONVERTIBLE PREFERRED STOCKS -- 0.1%
COMMUNICATIONS -- 0.0%
TELECOMMUNICATIONS -- 0.0%
U.S. COMPANIES
500 Cincinnati Bell Inc., 6.750% Cv. Pfd., Ser. B ................................................... 21,200
---------------
MARKET
SHARES VALUE
------------ ---------------
OTHER -- 0.1%
TRANSPORTATION -- 0.1%
U.S. COMPANIES
200 GATX Corp., $2.50 Cv. Pfd. ...................................................................... $ 38,732
---------------
TOTAL CONVERTIBLE PREFERRED STOCKS .............................................................. 59,932
---------------
PRINCIPAL
AMOUNT
------------
CONVERTIBLE CORPORATE BONDS -- 0.6%
COMMUNICATIONS -- 0.3%
COMMUNICATIONS EQUIPMENT -- 0.1%
U.S. COMPANIES
$ 100,000 Agere Systems Inc., Sub. Deb. Cv., 6.500%, 12/15/09 ............................................. 101,500
---------------
TELECOMMUNICATIONS -- 0.2%
NON U.S. COMPANIES
112,000 Nortel Networks Corp., Cv., 4.250%, 09/01/08 .................................................... 111,160
---------------
TOTAL COMMUNICATIONS ............................................................................ 212,660
---------------
OTHER -- 0.3%
REAL ESTATE -- 0.3%
U.S. COMPANIES
350,000 Palm Harbor Homes Inc., Cv., 3.250%, 05/15/24 ................................................... 183,312
---------------
TOTAL CONVERTIBLE CORPORATE BONDS ............................................................... 395,972
---------------
U.S. GOVERNMENT OBLIGATIONS -- 8.6%
6,016,000 U.S. Treasury Bills, 1.132% to 2.828%++, 04/03/08 to 09/18/08 ................................... 5,996,992
---------------
TOTAL INVESTMENTS -- 100.0%
(Cost $56,977,550) .......................................................................................... $ 69,282,714
===============
Aggregate book cost ................................................................................ $ 56,977,550
===============
Gross unrealized appreciation ...................................................................... $ 14,033,613
Gross unrealized depreciation ...................................................................... (1,728,449)
---------------
Net unrealized appreciation/depreciation ......................................................... $ 12,305,164
===============
----------
(a) Security exempt from registration under Rule 144A of the Securities Act of
1933, as amended. This security may be resold in transactions exempt from
registration, normally to qualified institutional buyers. At March 31,
2008, the market value of Rule 144A securities amounted to $63,039 or
0.09% of total investments.
+ Non-income producing security.
++ Represents annualized yield at date of purchase.
ADR American Depositary Receipt
GDR Global Depositary Receipt
See accompanying notes to schedule of investments.
4
THE GABELLI GLOBAL UTILITY & INCOME TRUST
NOTES TO SCHEDULE OF INVESTMENTS (UNAUDITED)
1. SECURITY VALUATION. Portfolio securities listed or traded on a nationally
recognized securities exchange or traded in the U.S. over-the-counter market for
which market quotations are readily available are valued at the last quoted sale
price or a market's official closing price as of the close of business on the
day the securities are being valued. If there were no sales that day, the
security is valued at the average of the closing bid and asked prices or, if
there were no asked prices quoted on that day, then the security is valued at
the closing bid price on that day. If no bid or asked prices are quoted on such
day, the security is valued at the most recently available price or, if the
Board of Trustees (the "Board") so determines, by such other method as the Board
shall determine in good faith to reflect its fair market value. Portfolio
securities traded on more than one national securities exchange or market are
valued according to the broadest and most representative market, as determined
by Gabelli Funds, LLC, the Adviser.
Portfolio securities primarily traded on a foreign market are generally valued
at the preceding closing values of such securities on the relevant market, but
may be fair valued pursuant to procedures established by the Board if market
conditions change significantly after the close of the foreign market but prior
to the close of business on the day the securities are being valued. Debt
instruments with remaining maturities of 60 days or less that are not credit
impaired are valued at amortized cost, unless the Board determines such amount
does not reflect the securities' fair value, in which case these securities will
be fair valued as determined by the Board. Debt instruments having a maturity
greater than 60 days for which market quotations are readily available are
valued at the average of the latest bid and asked prices. If there were no asked
prices quoted on such day, the security is valued using the closing bid price.
Futures contracts are valued at the closing settlement price of the exchange or
board of trade on which the applicable contract is traded.
Securities and assets for which market quotations are not readily available are
fair valued as determined by the Board.
ADOPTION OF STATEMENT OF FINANCIAL ACCOUNTING STANDARDS NO. 157 "FAIR VALUE
MEASUREMENTS" ("SFAS 157")
On January 1, 2008, the Fund adopted SFAS 157 that clarifies the definition of
fair value for financial reporting, establishes a framework for measuring fair
value, and requires additional disclosures about the use of fair value
measurements. The three levels of the fair value hierarchy under SFAS 157 are
described below:
o Level 1 - quoted prices in active markets for identical securities;
o Level 2 - other significant observable inputs (including quoted
prices for similar securities, interest rates, prepayment speeds,
credit risk, etc.); and
o Level 3 - significant unobservable inputs (including the Fund's
determinations as to the fair value of investments).
The inputs or methodology used for valuing securities are not necessarily an
indication of the risk associated with investing in those securities. The
summary of inputs used to value the Fund's net assets as of March 31, 2008 is as
follows:
INVESTMENTS IN OTHER FINANCIAL INSTRUMENTS
SECURITIES (UNREALIZED
VALUATION INPUTS (MARKET VALUE) DEPRECIATION)*
---------------- --------------- ---------------------------
Level 1 - Quoted Prices $62,889,750 --
Level 2 - Other Significant Observable Inputs 6,392,964 $(16,727)
----------- --------
Total $69,282,714 $(16,727)
=========== ========
----------
* Other financial instruments are derivative instruments not reflected in
the Schedule of Investments, such as futures, forwards and swaps which are
valued at the unrealized appreciation/depreciation on the investment.
5
THE GABELLI GLOBAL UTILITY & INCOME TRUST
NOTES TO SCHEDULE OF INVESTMENTS (CONTINUED) (UNAUDITED)
2. SWAP AGREEMENTS. The Fund may enter into equity and contract for difference
swap transactions. The use of swaps is a highly specialized activity that
involves investment techniques and risks different from those associated with
ordinary portfolio security transactions. In a swap, a set of future cash flows
are exchanged between two counterparties. One of these cash flow streams will
typically be based on a reference interest rate combined with the performance of
a notional value of shares of a stock. The other will be based on the
performance of the shares of a stock. There is no assurance that the swap
contract counterparties will be able to meet their obligations pursuant to the
swap contracts, or that, in the event of default, the Fund will succeed in
pursuing contractual remedies. The Fund thus assumes the risk that it may be
delayed in or prevented from obtaining payments owed to it pursuant to the swap
contracts. The creditworthiness of the swap contract counterparties is closely
monitored in order to minimize the risk. Depending on the general state of
short-term interest rates and the returns of the Fund's portfolio securities at
that point in time, such a default could negatively affect the Fund's ability to
make dividend payments. In addition, at the time a swap transaction reaches its
scheduled termination date, there is a risk that the Fund will not be able to
obtain a replacement transaction or that the terms of the replacement will not
be as favorable as on the expiring transaction.
The use of derivative instruments may involve, to varying degrees, elements of
market and counterparty risk in excess of the amount recognized below.
The Fund has entered into a contract for difference swap agreement with Bear,
Stearns International Limited. Details of the swap at March 31, 2008 is as
follows:
NET
NOTIONAL EQUITY SECURITY INTEREST RATE/ TERMINATION UNREALIZED
AMOUNT RECEIVED EQUITY SECURITY PAID DATE DEPRECIATION
------------------------ --------------------- -------------------------------- ----------- ------------
Market Value Overnight LIBOR plus 40 bps plus
Appreciation on: Market Value Depreciation on:
$304,233 (36,000 shares) Rolls-Royce Group plc Rolls-Royce Group plc 03/17/09 $(16,727)
3. TAX INFORMATION. Under the current tax law, capital and currency losses
realized after October 31 and prior to the Fund's fiscal year end may be
deferred as occurring on the first day of the following fiscal year. Post
October capital losses at the fiscal year ended December 31, 2007 were $10,785.
% OF
MARKET MARKET
GEOGRAPHIC DIVERSIFICATION VALUE VALUE
-------------------------- ------ ------------
North America ................... 65.4% $ 45,268,630
Europe .......................... 28.3 19,624,201
Japan ........................... 3.8 2,644,522
Latin America ................... 2.1 1,467,340
Asia/Pacific .................... 0.4 278,021
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Total Investments ............... 100.0% $ 69,282,714
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6
[FLAGS]
TRUSTEES AND OFFICERS
THE GABELLI GLOBAL UTILITY & INCOME TRUST
ONE CORPORATE CENTER, RYE, NY 10580-1422
TRUSTEES OFFICERS
Anthony J. Colavita Bruce N. Alpert
ATTORNEY-AT-LAW, PRESIDENT
ANTHONY J. COLAVITA, P.C.
Peter D. Goldstein
James P. Conn CHIEF COMPLIANCE OFFICER
FORMER MANAGING DIRECTOR &
CHIEF INVESTMENT OFFICER, Agnes Mullady
FINANCIAL SECURITY ASSURANCE HOLDINGS LTD. TREASURER AND SECRETARY
Mario d'Urso David I. Schachter
CHAIRMAN, MITTEL CAPITAL MARKETS SPA VICE PRESIDENT
Vincent D. Enright INVESTMENT ADVISER
FORMER SENIOR VICE PRESIDENT & Gabelli Funds, LLC
CHIEF FINANCIAL OFFICER, One Corporate Center
KEYSPAN CORP. Rye, New York 10580-1422
Michael J. Melarkey CUSTODIAN
ATTORNEY-AT-LAW, State Street Bank and Trust Company
AVANSINO, MELARKEY, KNOBEL & MULLIGAN
COUNSEL
Salvatore M. Salibello Skadden, Arps, Slate, Meagher & Flom, LLP
CERTIFIED PUBLIC ACCOUNTANT,
SALIBELLO & BRODER LLP TRANSFER AGENT AND REGISTRAR
Computershare Trust Company, N.A.
Salvatore J. Zizza
CHAIRMAN, ZIZZA & CO., LTD. STOCK EXCHANGE LISTING
Common
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Amex-Symbol: GLU
Shares Outstanding: 3,050,236
The Net Asset Value per share appears in the Publicly Traded Funds column, under
the heading "Specialized Equity Funds," in Monday's The Wall Street Journal. It
is also listed in Barron's Mutual Funds/Closed End Funds section under the
heading "Specialized Equity Funds."
The Net Asset Value per share may be obtained each day by calling (914) 921-5070
or visiting www.gabelli.com.
--------------------------------------------------------------------------------
For general information about the Gabelli Funds, call 800-GABELLI
(800-422-3554), fax us at 914-921-5118, visit Gabelli Funds' Internet homepage
at: WWW.GABELLI.COM, or e-mail us at: closedend@gabelli.com
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Notice is hereby given in accordance with Section 23(c) of the Investment
Company Act of 1940, as amended, that the Fund may, from time to time, purchase
its shares in the open market when the Fund's shares are trading at a discount
of 10% or more from the net asset value of the shares.
--------------------------------------------------------------------------------
THE GABELLI GLOBAL UTILITY & INCOME TRUST
ONE CORPORATE CENTER
RYE, NY 10580-1422
(914) 921-5070
WWW.GABELLI.COM
FIRST QUARTER REPORT
MARCH 31, 2008
GLU 1Q/2008
ITEM 2. CONTROLS AND PROCEDURES.
(a) The registrant's principal executive and principal financial officers,
or persons performing similar functions, have concluded that the
registrant's disclosure controls and procedures (as defined in Rule
30a-3(c) under the Investment Company Act of 1940, as amended (the
"1940 Act") (17 CFR 270.30a-3(c))) are effective, as of a date within
90 days of the filing date of the report that includes the disclosure
required by this paragraph, based on their evaluation of these controls
and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR
270.30a-3(b)) and Rules 13a-15(b) or 15d-15(b) under the Securities
Exchange Act of 1934, as amended (17 CFR 240.13a-15(b) or
240.15d-15(b)).
(b) There were no changes in the registrant's internal control over
financial reporting (as defined in Rule 30a-3(d) under the 1940 Act (17
CFR 270.30a-3(d)) that occurred during the registrant's last fiscal
quarter that have 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 1940 Act and Section 302 of
the Sarbanes-Oxley Act of 2002 are attached hereto.
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) The Gabelli Global Utility & Income Trust
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By (Signature and Title)* /s/ Bruce N. Alpert
-------------------------------------------------------
Bruce N. Alpert, Principal Executive Officer
Date May 27, 2008
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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/ Bruce N. Alpert
-------------------------------------------------------
Bruce N. Alpert, Principal Executive Officer
Date May 27, 2008
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By (Signature and Title)* /s/ Agnes Mullady
-------------------------------------------------------
Agnes Mullady,
Principal Financial Officer and Treasurer
Date May 27, 2008
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* Print the name and title of each signing officer under his or her signature.