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 811-04700
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The Gabelli Equity Trust Inc.
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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: September 30, 2006
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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.
THE GABELLI EQUITY TRUST INC.
SCHEDULE OF INVESTMENTS
SEPTEMBER 30, 2006 (UNAUDITED)
MARKET
SHARES VALUE*
------ ------
COMMON STOCKS -- 91.2%
FINANCIAL SERVICES -- 9.3%
7,000 Allianz AG .................. $ 1,211,448
575,000 American Express Co. ........ 32,246,000
10,000 American International
Group Inc. 662,600
100,000 Ameriprise Financial Inc. ... 4,690,000
30,000 Argonaut Group Inc.+ ........ 930,900
95,000 Aviva plc ................... 1,392,743
90,000 Banco Santander Central
Hispano SA, ADR 1,421,100
100,000 Bank of Ireland ............. 1,955,339
55,000 Barclays plc ................ 694,078
260 Berkshire Hathaway Inc.,
Cl. A+ .................... 24,908,000
7,500 Calamos Asset Management
Inc., Cl. A ............... 219,900
30,000 Capitalia SpA ............... 248,412
250,000 Citigroup Inc. .............. 12,417,500
185,000 Commerzbank AG, ADR ......... 6,261,806
150,000 Deutsche Bank AG ............ 18,105,000
20,000 H&R Block Inc. .............. 434,800
65,000 Irish Life & Permanent plc .. 1,628,688
184,000 Janus Capital Group Inc. .... 3,628,480
55,000 JPMorgan Chase & Co. ........ 2,582,800
275,000 Landesbank Berlin Holding AG+ 2,074,853
2,000 Legg Mason Inc. ............. 201,720
135,000 Leucadia National Corp. ..... 3,532,950
45,000 Mediobanca SpA .............. 981,474
100,000 Mellon Financial Corp. ...... 3,910,000
65,000 Moody's Corp. ............... 4,249,700
108,750 Nikko Cordial Corp. ......... 1,261,270
2,500 Prudential Financial Inc. ... 190,625
50,000 Standard Chartered plc ...... 1,280,683
80,000 State Street Corp. .......... 4,992,000
20,000 SunTrust Banks Inc. ......... 1,545,600
150,000 T. Rowe Price Group Inc. .... 7,177,500
5,000 The Allstate Corp. .......... 313,650
80,000 The Bank of New York Co. Inc. 2,820,800
45,000 The Charles Schwab Corp...... 805,500
18,000 The Dun & Bradstreet Corp.+ 1,349,820
189,000 The Midland Co. ............. 8,187,480
140,000 The Phoenix Companies Inc. .. 1,960,000
80,000 The Shizuoka Bank Ltd ....... 869,587
3,000 The St. Paul Travelers
Companies Inc. ............ 140,670
40,000 UBS AG ...................... 2,392,739
120,000 UniCredito Italiano SpA ..... 995,930
100,000 Waddell & Reed Financial
Inc., Cl. A ............... 2,475,000
53,000 Westpac Banking Corp. ....... 897,067
--------------
170,246,212
--------------
FOOD AND BEVERAGE -- 8.7%
85,000 Ajinomoto Co. Inc. .......... 915,302
40,000 Anheuser-Busch Companies Inc. 1,900,400
MARKET
SHARES VALUE*
------ ------
36,000 ARIAKE JAPAN Co. Ltd. ....... $ 725,333
110,000 Cadbury Schweppes plc ....... 1,170,870
60,000 Cadbury Schweppes plc, ADR .. 2,566,200
80,000 Campbell Soup Co. ........... 2,920,000
20,000 Coca-Cola Enterprises Inc. .. 416,600
40,000 Coca-Cola Hellenic Bottling
Co. SA .................... 1,378,628
93,000 Corn Products International
Inc. ...................... 3,026,220
60,000 Del Monte Foods Co. ......... 627,000
10,108 Denny's Corp.+ .............. 34,468
80,000 Diageo plc .................. 1,413,245
224,000 Diageo plc, ADR ............. 15,912,960
75,000 Flowers Foods Inc. .......... 2,016,000
36,000 Fomento Economico Mexicano
SA de CV, ADR ............. 3,489,840
180,000 General Mills Inc. .......... 10,188,000
50,000 Gold Kist Inc.+ ............. 1,042,000
200,000 Groupe Danone ............... 28,074,714
1,000,000 Grupo Bimbo SA de CV, Cl. A.. 3,511,006
110,000 H.J. Heinz Co. .............. 4,612,300
20,000 Hain Celestial Group Inc.+... 511,200
5,000 Heineken NV.................. 228,694
130,000 Kellogg Co. ................. 6,437,600
75,000 Kerry Group plc, Cl. A ...... 1,773,199
12,100 LVMH Moet Hennessy Louis
Vuitton SA ................ 1,246,655
2,500 Nestle SA ................... 871,686
465,000 PepsiAmericas Inc. .......... 9,923,100
355,000 PepsiCo Inc. ................ 23,167,300
6,750 Pernod-Ricard SA ............ 1,404,592
68,200 Ralcorp Holdings Inc.+ ...... 3,289,286
100,000 Sara Lee Corp. .............. 1,607,000
190,000 The Coca-Cola Co. ........... 8,489,200
45,000 The Hershey Co. ............. 2,405,250
2,000 The J.M. Smucker Co. ........ 95,900
115,360 Tootsie Roll Industries Inc. 3,381,202
170,000 Wm. Wrigley Jr. Co. ......... 7,830,200
42,500 Wm. Wrigley Jr. Co., Cl. B .. 1,955,000
--------------
160,558,150
--------------
ENERGY AND UTILITIES -- 7.6%
10,000 AGL Resources Inc. .......... 365,000
120,000 Allegheny Energy Inc.+ ...... 4,820,400
70,000 Apache Corp. ................ 4,424,000
10,000 Aquila Inc.+ ................ 43,300
247,000 BP plc, ADR ................. 16,198,260
115,000 CH Energy Group Inc. ........ 5,919,050
80,000 CMS Energy Corp.+ ........... 1,155,200
322,739 ConocoPhillips .............. 19,212,653
8,000 Constellation Energy Group .. 473,600
60,000 DPL Inc. .................... 1,627,200
14,000 DTE Energy Co. .............. 581,140
280,000 Duke Energy Corp. ........... 8,456,000
100,000 Duquesne Light Holdings Inc. 1,966,000
4
THE GABELLI EQUITY TRUST INC.
SCHEDULE OF INVESTMENTS (CONTINUED)
SEPTEMBER 30, 2006 (UNAUDITED)
MARKET
SHARES VALUE*
------ ------
COMMON STOCKS (CONTINUED)
ENERGY AND UTILITIES (CONTINUED)
270,000 El Paso Corp. ............... $ 3,682,800
340,000 El Paso Electric Co.+ ....... 7,595,600
50,000 Energy East Corp. ........... 1,186,000
80,000 Eni SpA ..................... 2,370,753
80,000 Exxon Mobil Corp. ........... 5,368,000
20,000 FPL Group Inc. .............. 900,000
10,000 Giant Industries Inc.+ ...... 812,000
160,000 Halliburton Co. ............. 4,552,000
27,000 Imperial Oil Ltd. ........... 905,113
150,000 Kinder Morgan Inc. .......... 15,727,500
10,000 Marathon Oil Corp. .......... 769,000
10,000 Mirant Corp.+ ............... 273,100
3,000 Niko Resources Ltd .......... 178,483
10,000 NiSource Inc. ............... 217,400
300,000 Northeast Utilities ......... 6,981,000
20,000 Oceaneering International
Inc.+ ..................... 616,000
2,000 PetroChina Co. Ltd., ADR .... 215,300
16,000 Petroleo Brasileiro SA, ADR 1,341,280
100,000 Progress Energy Inc., CVO+ .. 33,000
60,000 Saipem SpA .................. 1,304,067
13,000 Sasol Ltd. .................. 427,283
60,000 SJW Corp. ................... 1,794,600
20,000 Southwest Gas Corp. ......... 666,400
70,000 The AES Corp.+ .............. 1,427,300
32,628 Total SA .................... 2,141,108
12,000 Transocean Inc.+ ............ 878,760
84,000 TXU Corp. ................... 5,251,680
290,000 Westar Energy Inc. .......... 6,817,900
--------------
139,675,230
--------------
TELECOMMUNICATIONS -- 6.7%
5,000 ALLTEL Corp. ................ 277,500
450,000 AT&T Inc. ................... 14,652,000
220,000 BCE Inc. .................... 5,959,800
30,000 Brasil Telecom Participacoes
SA, ADR ................... 901,800
1,700,000 BT Group plc................. 8,530,399
4,440,836 Cable & Wireless Jamaica
Ltd.+ ..................... 50,499
820,000 Cincinnati Bell Inc.+........ 3,952,400
60,000 Citizens Communications Co. 842,400
170,000 Commonwealth Telephone
Enterprises Inc. .......... 7,009,100
110,000 Compania de Telecomunicaciones
de Chile SA, ADR .......... 777,700
170,000 Deutsche Telekom AG, ADR .... 2,697,900
26,619 Embarq Corp. ................ 1,287,561
15,000 Embratel Participacoes SA,
ADR ....................... 237,600
5,000 France Telecom SA, ADR ...... 116,550
100,000 KPN NV ...................... 1,275,662
800,000 Qwest Communications
International Inc.+ ....... 6,976,000
MARKET
SHARES VALUE*
------ ------
550,000 Sprint Nextel Corp. ......... $ 9,432,500
186,554 Tele Norte Leste
Participacoes SA, ADR ..... 2,557,656
48,000 Telecom Argentina SA,
Cl. B, ADR+ ............... 660,000
1,488,075 Telecom Italia SpA .......... 4,226,789
248,000 Telefonica SA, ADR .......... 12,848,880
62,000 Telefonos de Mexico
SA de CV, Cl. L, ADR ...... 1,585,960
310,000 Telephone & Data Systems Inc. 13,051,000
370,000 Telephone & Data Systems Inc.,
Special ................... 15,114,500
25,000 TELUS Corp., ADR ............ 1,409,492
190,000 Verizon Communications Inc. 7,054,700
5,169 Windstream Corp. ............ 68,179
--------------
123,554,527
--------------
DIVERSIFIED INDUSTRIAL -- 5.8%
145,000 Acuity Brands Inc. .......... 6,583,000
55,000 Amano Corp. ................. 704,931
195,000 Ampco-Pittsburgh Corp. ...... 6,031,350
26,000 Bayer AG .................... 1,325,370
25,000 Bouygues SA.................. 1,337,163
185,000 Cooper Industries Ltd., Cl. A 15,765,700
260,000 Crane Co. ................... 10,868,000
77,500 CRH plc ..................... 2,617,041
228,000 Greif Inc., Cl. A ........... 18,265,080
5,000 Greif Inc., Cl. B ........... 368,700
455,500 Honeywell International Inc.. 18,629,950
260,000 ITT Corp. ................... 13,330,200
101,000 Park-Ohio Holdings Corp.+ ... 1,392,790
4,000 Sulzer AG ................... 3,187,653
30,000 Technip SA .................. 1,705,025
74,000 The Lamson & Sessions Co.+ .. 1,762,680
75,000 Trinity Industries Inc. ..... 2,412,750
--------------
106,287,383
--------------
CONSUMER PRODUCTS -- 4.7%
24,000 Altadis SA .................. 1,139,423
90,000 Avon Products Inc. .......... 2,759,400
43,000 Christian Dior SA ........... 4,476,611
15,000 Church & Dwight Co. Inc. .... 586,650
33,000 Clorox Co. .................. 2,079,000
10,000 Colgate-Palmolive Co. ....... 621,000
69,000 Compagnie Financiere
Richemont AG, Cl. A ....... 3,321,844
115,000 Energizer Holdings Inc.+ .... 8,278,850
50,000 Fortune Brands Inc. ......... 3,755,500
60,000 Gallaher Group plc .......... 981,857
232,000 Gallaher Group plc, ADR ..... 15,165,840
2,000 Givaudan SA ................. 1,601,024
25,000 Hanesbrands Inc.+ ........... 562,750
36,000 Harley-Davidson Inc. ........ 2,259,000
5
THE GABELLI EQUITY TRUST INC.
SCHEDULE OF INVESTMENTS (CONTINUED)
SEPTEMBER 30, 2006 (UNAUDITED)
MARKET
SHARES VALUE*
------ ------
COMMON STOCKS (CONTINUED)
CONSUMER PRODUCTS (CONTINUED)
40,000 Lenox Group Inc.+ ........... $ 242,000
15,000 Matsushita Electric Industrial
Co. Ltd., ADR ............. 316,950
15,000 Mattel Inc. ................. 295,500
25,000 National Presto Industries
Inc. ...................... 1,381,750
300,000 Procter & Gamble Co. ........ 18,594,000
60,000 Reckitt Benckiser plc ....... 2,487,222
7,500 Swatch Group AG ............. 1,449,078
890,000 Swedish Match AB ............ 14,482,850
--------------
86,838,099
--------------
ENTERTAINMENT -- 4.6%
32,000 Canal+ Groupe ............... 323,810
2,002 Chestnut Hill Ventures+ (a).. 42,991
220,000 Discovery Holding Co., Cl. A+ 3,181,200
3,000 DreamWorks Animation SKG
Inc., Cl. A+ .............. 74,730
110,000 EMI Group plc ............... 547,848
79,500 EMI Group plc, ADR........... 790,023
630,000 Gemstar-TV Guide
International Inc.+ ....... 2,091,600
675,000 Grupo Televisa SA, ADR....... 14,350,500
125 Live Nation Inc.+............ 2,552
17,500 Oriental Land Co. Ltd. ..... 982,222
160,000 Publishing & Broadcasting
Ltd. ...................... 2,222,786
1,629,500 Rank Group plc............... 7,162,186
12,000 Regal Entertainment Group,
Cl. A ..................... 237,840
75,000 Six Flags Inc.+ ............. 392,250
260,000 The Walt Disney Co. ......... 8,036,600
810,000 Time Warner Inc. ............ 14,766,300
19,750 Triple Crown Media Inc.+ .... 143,780
460,000 Viacom Inc., Cl. A+ ......... 17,158,000
353,900 Vivendi ..................... 12,758,369
--------------
85,265,587
--------------
PUBLISHING -- 4.4%
50,000 Dow Jones & Co. Inc. ........ 1,677,000
348,266 Independent News & Media plc. 1,051,056
14,212 McClatchy Co., Cl. A......... 599,604
320,000 Media General Inc., Cl. A.... 12,070,400
122,000 Meredith Corp................ 6,018,260
21,000 Metro International SA, SDR,
Cl. A+ .................... 23,928
42,000 Metro International SA, SDR,
Cl. B+ .................... 51,009
80,000 New York Times Co., Cl. A ... 1,838,400
1,744,800 News Corp., Cl. A ........... 34,285,320
20,000 News Corp., Cl. B ........... 412,800
200,000 Penton Media Inc.+ .......... 112,000
382,000 PRIMEDIA Inc.+ .............. 580,640
261,319 SCMP Group Ltd. ............. 92,578
66,585 Seat Pagine Gialle SpA ...... 33,309
150,000 The E.W. Scripps Co., Cl. A.. 7,189,500
MARKET
SHARES VALUE*
------ ------
200,000 The McGraw-Hill Companies
Inc. ...................... $ 11,606,000
175,000 The Reader's Digest
Association Inc. ......... 2,268,000
45,000 Tribune Co................... 1,472,400
--------------
81,382,204
--------------
CABLE AND SATELLITE -- 4.4%
1,590,000 Cablevision Systems Corp.,
Cl. A+ .................... 36,108,900
160,000 Comcast Corp., Cl. A+........ 5,896,000
85,000 Comcast Corp., Cl. A, Special+ 3,128,850
55,000 EchoStar Communications Corp.,
Cl. A+ .................... 1,800,700
156,770 Liberty Global Inc., Cl. A+.. 4,035,260
139,001 Liberty Global Inc., Cl. C+.. 3,483,365
365,345 Rogers Communications Inc.,
Cl. B, New York ........... 20,046,480
9,655 Rogers Communications Inc.,
Cl. B, Toronto ............ 528,639
80,000 Shaw Communications Inc.,
Cl. B, New York ........... 2,401,600
20,000 Shaw Communications Inc.,
Cl. B, Toronto ............ 598,881
153,444 The DIRECTV Group Inc.+...... 3,019,778
--------------
81,048,453
--------------
HEALTH CARE -- 3.7%
10,000 Abbott Laboratories ......... 485,600
7,023 Allergan Inc. ............... 790,860
52,000 Amgen Inc.+ ................. 3,719,560
19,146 AstraZeneca plc ............. 1,192,682
27,000 Biogen Idec Inc.+. ........... 1,206,360
135,000 Bristol-Myers Squibb Co. .... 3,364,200
7,000 Cochlear Ltd. ............... 276,507
65,036 GlaxoSmithKline plc ......... 1,731,566
4,000 GlaxoSmithKline plc, ADR .... 212,920
30,000 Henry Schein Inc.+ .......... 1,504,200
38,300 Hisamitsu Pharmaceutical
Co. Inc. .................. 1,060,241
25,000 Hospira Inc.+ ............... 956,750
40,000 Invitrogen Corp.+ ........... 2,536,400
15,000 Johnson & Johnson ........... 974,100
100,000 Merck & Co. Inc. ............ 4,190,000
2,000 Nobel Biocare Holding AG .... 492,223
39,000 Novartis AG. ................ 2,276,780
105,000 Novartis AG, ADR ............ 6,136,200
400,000 Pfizer Inc. ................. 11,344,000
16,400 Roche Holding AG ............ 2,835,523
15,108 Sanofi-Aventis .............. 1,344,875
100,000 Schering-Plough Corp. ....... 2,209,000
80,000 Smith & Nephew plc .......... 735,831
5,250 Straumann Holding AG ........ 1,130,443
10,000 Synthes Inc. ................ 1,111,600
23,000 Takeda Pharmaceutical Co.
Ltd. ...................... 1,435,005
20,000 UnitedHealth Group Inc. ..... 984,000
6
THE GABELLI EQUITY TRUST INC.
SCHEDULE OF INVESTMENTS (CONTINUED)
SEPTEMBER 30, 2006 (UNAUDITED)
MARKET
SHARES VALUE*
------ ------
COMMON STOCKS (CONTINUED)
HEALTH CARE (CONTINUED)
82,000 William Demant Holding A/S+.. $ 6,296,589
100,000 Wyeth ....................... 5,084,000
3,500 Zimmer Holdings Inc.+ ....... 236,250
--------------
67,854,265
--------------
EQUIPMENT AND SUPPLIES -- 2.9%
185,000 AMETEK Inc. ................. 8,056,750
2,000 Amphenol Corp., Cl. A ....... 123,860
42,000 Assa Abloy AB, Cl. B ........ 780,893
94,000 CIRCOR International Inc. ... 2,871,700
200,000 Donaldson Co. Inc. .......... 7,380,000
70,000 Fedders Corp.+ .............. 87,500
110,000 Flowserve Corp.+ ............ 5,564,900
24,000 Franklin Electric Co. Inc. .. 1,275,360
100,000 Gerber Scientific Inc.+ ..... 1,498,000
75,000 GrafTech International Ltd.+ 438,000
210,000 IDEX Corp. .................. 9,040,500
40,000 Ingersoll-Rand Co. Ltd.,
Cl. A ..................... 1,519,200
105,000 Lufkin Industries Inc. ...... 5,556,600
11,000 Mueller Industries Inc. ..... 386,870
1,000 Sealed Air Corp. ............ 54,120
2,000 The Manitowoc Co. Inc. ...... 89,580
100,000 The Weir Group plc .......... 900,129
230,000 Watts Water Technologies Inc.,
Cl. A ..................... 7,304,800
--------------
52,928,762
--------------
AUTOMOTIVE: PARTS AND ACCESSORIES -- 2.5%
48,000 BorgWarner Inc. ............. 2,744,160
197,300 CLARCOR Inc. ................ 6,015,677
430,000 Dana Corp. .................. 447,200
80,500 Earl Scheib Inc.+ ........... 289,800
350,000 Genuine Parts Co. ........... 15,095,500
112,000 Johnson Controls Inc. ....... 8,034,880
116,000 Midas Inc.+ ................. 2,398,880
317,500 Modine Manufacturing Co. .... 7,724,775
180,000 Proliance International Inc.+ 822,600
160,000 Standard Motor Products Inc. 1,918,400
35,000 Superior Industries
International Inc. ........ 587,650
--------------
46,079,522
--------------
HOTELS AND GAMING -- 2.4%
38,000 Aztar Corp.+ ................ 2,014,380
190,000 Gaylord Entertainment Co.+ .. 8,331,500
28,000 Greek Organization of
Football Prognostics SA ... 940,896
6,000 Harrah's Entertainment Inc... 398,580
550,000 Hilton Hotels Corp. ......... 15,317,500
1,344,116 Ladbrokes plc ............... 9,789,759
6,000 Las Vegas Sands Corp.+ ...... 410,100
MARKET
SHARES VALUE*
------ ------
118,000 MGM Mirage+ ................. $ 4,659,820
38,000 Starwood Hotels & Resorts
Worldwide Inc. ............ 2,173,220
16,000 Wyndham Worldwide Corp.+ .... 447,520
--------------
44,483,275
--------------
AVIATION: PARTS AND SERVICES -- 2.3%
396,000 Curtiss-Wright Corp. ........ 12,018,600
200,000 GenCorp Inc.+ ............... 2,568,000
180,000 Precision Castparts Corp. ... 11,368,800
88,230 Sequa Corp., Cl. A+ ......... 8,281,268
74,600 Sequa Corp., Cl. B+ ......... 7,028,812
200,100 The Fairchild Corp., Cl. A+ 520,260
------------
41,785,740
------------
SPECIALTY CHEMICALS -- 2.1%
815 Arkema+ ..................... 38,455
300,000 Ashland Inc. ................ 19,134,000
5,400 Ciba Specialty Chemicals AG,
ADR ....................... 163,134
20,000 E.I. du Pont de Nemours and
Co. ....................... 856,800
325,000 Ferro Corp. ................. 5,778,500
1,000 FMC Corp. ................... 64,070
50,000 H.B. Fuller Co. ............. 1,172,000
190,000 Hercules Inc.+ .............. 2,996,300
232,300 Omnova Solutions Inc.+ ...... 971,014
300,000 Sensient Technologies Corp. 5,871,000
10,000 Syngenta AG, ADR ............ 301,800
165,000 Tokai Carbon Co. Ltd. ....... 1,050,413
4,032 Tronox Inc., Cl. B .......... 51,489
--------------
38,448,975
--------------
CONSUMER SERVICES -- 1.9%
230,000 IAC/InterActiveCorp+ ........ 6,614,800
550,000 Liberty Media Holding Corp.
- Interactive, Cl. A+ ..... 11,209,000
810,000 Rollins Inc. ................ 17,099,100
--------------
34,922,900
--------------
METALS AND MINING -- 1.7%
10,000 Alcoa Inc. .................. 280,400
33,000 Anglo American plc .......... 1,379,711
89,148 Barrick Gold Corp. .......... 2,738,626
72,500 Harmony Gold Mining Co. Ltd.+ 936,322
35,000 Harmony Gold Mining Co. Ltd.,
ADR+ ...................... 452,550
200,000 Inco Ltd. ................... 15,246,701
75,000 Ivanhoe Mines Ltd.+ ......... 469,500
105,000 Newmont Mining Corp. ........ 4,488,750
110,000 Novelis Inc. ................ 2,814,900
50,000 Xstrata plc ................. 2,066,132
--------------
30,873,592
--------------
7
THE GABELLI EQUITY TRUST INC.
SCHEDULE OF INVESTMENTS (CONTINUED)
SEPTEMBER 30, 2006 (UNAUDITED)
MARKET
SHARES VALUE*
------ ------
COMMON STOCKS (CONTINUED)
COMMUNICATIONS EQUIPMENT -- 1.6%
48,000 Agere Systems Inc.+ ......... $ 716,640
10,000 Andrew Corp.+ ............... 92,300
480,000 Corning Inc.+ ............... 11,716,800
180,000 Lucent Technologies Inc.+ ... 421,200
100,000 Motorola Inc. ............... 2,500,000
150,000 Nortel Networks Corp.+ ...... 345,000
290,000 Thomas & Betts Corp.+ ....... 13,835,900
--------------
29,627,840
--------------
BROADCASTING -- 1.6%
422,500 CBS Corp., Cl. A ............ 11,922,950
1,000 Clear Channel Communications
Inc. ...................... 28,850
2,000 Cogeco Inc................... 42,049
16,666 Corus Entertainment Inc.,
Cl. B ..................... 635,477
120,000 Gray Television Inc. ........ 769,200
27,000 Gray Television Inc., Cl. A.. 186,570
200,000 ION Media Networks Inc.+..... 162,000
120,000 Liberty Media Holding Corp. -
Capital, Cl. A+ ........... 10,028,400
85,000 Lin TV Corp., Cl. A+ ........ 661,300
120,000 Mediaset SpA ................ 1,289,611
30,000 Modern Times Group AB,
Cl. B+ .................... 1,551,551
100,000 Television Broadcasts Ltd. .. 539,108
10,000 Univision Communications
Inc., Cl. A+ .............. 343,400
125,000 Young Broadcasting Inc.,
Cl. A+ .................... 287,500
--------------
28,447,966
--------------
AEROSPACE -- 1.3%
105,000 Boeing Co. .................. 8,279,250
10,000 Lockheed Martin Corp. ...... 860,600
95,000 Northrop Grumman Corp. ...... 6,466,650
1,000,000 Rolls-Royce Group plc+ ...... 8,481,718
--------------
24,088,218
--------------
AGRICULTURE -- 1.3%
550,000 Archer-Daniels-Midland Co. .. 20,834,000
50,000 Delta & Pine Land Co. ....... 2,025,000
8,000 Monsanto Co. ................ 376,080
10,000 The Mosaic Co.+ ............. 169,000
------------
23,404,080
------------
ELECTRONICS -- 1.2%
10,000 Advanced Micro Devices Inc.+ 248,500
5,000 Hitachi Ltd., ADR............ 291,350
60,000 Intel Corp................... 1,234,200
4,920 Keyence Corp................. 1,132,902
20,000 Molex Inc., Cl. A............ 658,200
7,500 NEC Corp., ADR............... 40,875
38,000 Royal Philips Electronics
NV, ADR ................... 1,330,380
MARKET
SHARES VALUE*
------ ------
500,000 Symbol Technologies Inc...... $ 7,430,000
265,000 Texas Instruments Inc. ...... 8,811,250
--------------
21,177,657
--------------
MACHINERY -- 1.1%
20,000 Caterpillar Inc. ............ 1,316,000
235,000 Deere & Co. ................. 19,718,850
--------------
21,034,850
--------------
ENVIRONMENTAL SERVICES -- 1.1%
65,000 Republic Services Inc. ...... 2,613,650
470,000 Waste Management Inc. ....... 17,239,600
--------------
19,853,250
--------------
BUSINESS SERVICES -- 1.1%
7,050 ACCO Brands Corp.+ .......... 156,933
60,000 ANC Rental Corp.+ ........... 6
40,000 Avis Budget Group Inc. ...... 731,600
22,500 Canon Inc. .................. 1,173,333
1,000 CheckFree Corp.+ ............ 41,320
95,800 Clear Channel Outdoor Holdings
Inc., Cl. A+ .............. 1,954,320
186,554 Contax Participacoes SA, ADR 160,698
200,000 Group 4 Securicor plc ....... 632,852
94,000 Landauer Inc. ............... 4,770,500
119,000 MasterCard Inc., Cl. A ...... 8,371,650
72,500 Nashua Corp.+ ............... 506,775
25,000 Secom Co. Ltd ............... 1,238,095
--------------
19,738,082
--------------
WIRELESS COMMUNICATIONS -- 1.0%
190,000 America Movil SA de CV,
Cl. L, ADR ................ 7,480,300
1,500 NTT DoCoMo Inc. ............. 2,311,111
3,340 Tele Norte Celular
Participacoes SA, ADR ..... 29,392
8,350 Telemig Celular Participacoes
SA, ADR ................... 308,115
32,165 Tim Participacoes SA, ADR. .. 895,795
100,000 United States Cellular Corp.+ 5,970,000
270 Vivo Participacoes SA+ ...... 1,465
174,122 Vivo Participacoes SA, ADR .. 543,261
5,845 Vivo Participacoes SA, Pfd.+ 18,011
70,000 Vodafone Group plc, ADR ..... 1,600,200
--------------
19,157,650
--------------
REAL ESTATE -- 0.9%
70,000 Cheung Kong (Holdings) Ltd. 751,606
98,000 Florida East Coast Industries
Inc. ...................... 5,593,840
55,000 Griffin Land & Nurseries
Inc.+ ..................... 1,664,850
20,000 Realogy Corp.+ .............. 453,600
154,000 The St. Joe Co. ............. 8,449,980
--------------
16,913,876
--------------
8
THE GABELLI EQUITY TRUST INC.
SCHEDULE OF INVESTMENTS (CONTINUED)
SEPTEMBER 30, 2006 (UNAUDITED)
MARKET
SHARES VALUE*
------ ------
COMMON STOCKS (CONTINUED)
AUTOMOTIVE -- 0.8%
35,000 General Motors Corp. ........ $ 1,164,100
360,000 Navistar International Corp.+ 9,295,200
64,500 PACCAR Inc. ................. 3,677,790
--------------
14,137,090
--------------
RETAIL -- 0.8%
169,252 AutoNation Inc.+ ............ 3,537,367
4,000 AutoZone Inc.+ .............. 413,200
35,000 Coldwater Creek Inc.+ ....... 1,006,600
40,000 Costco Wholesale Corp. ...... 1,987,200
17,500 Hennes & Mauritz AB, Cl. B .. 731,938
50,000 Matsumotokiyoshi Co. Ltd. ... 1,202,116
30,000 Next plc .................... 1,064,989
39,800 Seven & I Holdings Co. Ltd... 1,280,339
50,960 SUPERVALU Inc. .............. 1,510,964
10,000 The Home Depot Inc. ......... 362,700
63,000 Woolworths Ltd. ............. 951,287
--------------
14,048,700
--------------
COMPUTER SOFTWARE AND SERVICES -- 0.5%
146 CA Inc. ..................... 3,459
10,000 Check Point Software
Technologies Ltd.+ ........ 190,500
830 NIWS Co. HQ Ltd. ............ 599,356
24,100 Square Enix Co. Ltd. ........ 584,521
25,256 Telecom Italia Media SpA .... 11,641
120,000 The Reynolds & Reynolds Co.,
Cl. A ..................... 4,741,200
140,000 Yahoo! Inc.+................. 3,539,200
--------------
9,669,877
--------------
SHARES/
UNITS
------
CLOSED-END FUNDS -- 0.4%
17,762 Bell Aliant Regional
Communications Income Fund 555,385
31,500 Royce Value Trust Inc........ 643,860
107,785 The Central Europe and Russia
Fund Inc. ................. 4,995,835
70,000 The New Germany Fund Inc. ... 890,400
--------------
7,085,480
--------------
SHARES
------
TRANSPORTATION -- 0.4%
100,000 AMR Corp.+ .................. 2,314,000
110,000 GATX Corp. .................. 4,550,700
15,000 Grupo TMM SA, Cl. A, ADR+ ... 43,500
--------------
6,908,200
--------------
PAPER AND FOREST PRODUCTS -- 0.2%
115,000 Pactiv Corp.+ ............... 3,268,300
10,000 Svenska Cellulosa AB,
Cl. B ..................... 458,506
--------------
3,726,806
--------------
MARKET
SHARES VALUE*
------ ------
MANUFACTURED HOUSING AND
RECREATIONAL VEHICLES -- 0.1%
70,000 Champion Enterprises Inc.+ .. $ 483,000
35,000 Fleetwood Enterprises Inc.+.. 235,550
31,000 Huttig Building Products Inc.+ 171,430
7,000 Martin Marietta Materials Inc. 592,340
10,000 Nobility Homes Inc. ......... 268,100
22,000 Skyline Corp. ............... 840,620
4,600 Southern Energy Homes Inc.+.. 38,732
--------------
2,629,772
--------------
REAL ESTATE INVESTMENT TRUSTS -- 0.1%
5,000 Camden Property Trust. ...... 380,050
1,500 Equity Residential .......... 75,870
15,000 Host Hotels & Resorts Inc. .. 343,950
2,187 Prosperity REIT+ ............ 553
24,984 Rayonier Inc. ............... 944,395
--------------
1,744,818
--------------
TOTAL COMMON STOCKS ......... 1,675,627,088
--------------
CONVERTIBLE PREFERRED STOCKS -- 0.2%
AEROSPACE -- 0.1%
13,500 Northrop Grumman Corp.,
7.000% Cv. Pfd., Ser. B ... 1,795,500
--------------
TELECOMMUNICATIONS -- 0.1%
26,000 Cincinnati Bell Inc.,
6.750% Cv. Pfd., Ser. B ... 1,144,000
--------------
BROADCASTING -- 0.0%
90 Gray Television Inc.,
8.000% Cv. Pfd.,
Ser. C (a)(b)(c) .......... 900,000
--------------
TOTAL CONVERTIBLE
PREFERRED STOCKS .......... 3,839,500
--------------
PRINCIPAL
AMOUNT
--------
CONVERTIBLE CORPORATE BONDS -- 0.1%
AUTOMOTIVE: PARTS AND ACCESSORIES -- 0.1%
$ 1,000,000 Standard Motor Products Inc.,
Sub. Deb. Cv.,
6.750%, 07/15/09 ........... 950,000
500,000 The Pep Boys -
Manny, Moe & Jack,
Cv.,4.250%, 06/01/07 ...... 499,375
--------------
1,449,375
--------------
AEROSPACE -- 0.0%
669,000 Kaman Corp., Sub. Deb. Cv.,
6.000%, 03/15/12 .......... 652,275
--------------
TOTAL CONVERTIBLE
CORPORATE BONDS ........... 2,101,650
--------------
9
THE GABELLI EQUITY TRUST INC.
SCHEDULE OF INVESTMENTS (CONTINUED)
SEPTEMBER 30, 2006 (UNAUDITED)
MARKET
SHARES VALUE*
------ ------
WARRANTS -- 0.0%
ENERGY AND UTILITIES -- 0.0%
12,183 Mirant Corp.,
Ser. A, expire 01/03/11+ .. $ 124,267
--------------
PRINCIPAL
AMOUNT
--------
SHORT-TERM OBLIGATIONS -- 8.5%
REPURCHASE AGREEMENTS -- 8.4%
$100,000,000 ABN Amro, 4.850%,
dated 09/29/2006,
due 10/02/06, proceeds at
maturity, $100,040,417 (d) 100,000,000
54,685,000 Barclays Capital Inc., 4.950%,
dated 09/29/2006,
due 10/02/06 proceeds at
maturity, $54,707,558 (e) 54,685,000
--------------
154,685,000
--------------
U.S. TREASURY BILLS -- 0.1%
1,000,000 U.S. Treasury Bill,
5.100%++, 03/08/07 ........ 979,014
--------------
U.S. TREASURY NOTES -- 0.0%
300,000 U.S. Treasury Notes,
3.500%, 11/15/06 .......... 300,141
--------------
TOTAL SHORT-TERM OBLIGATIONS 155,964,155
--------------
TOTAL INVESTMENTS -- 100.0%
(Cost $1,441,910,341) ................. $1,837,656,660
==============
--------------
Aggregate book cost............. $1,441,910,341
==============
Gross unrealized appreciation... $ 469,257,015
Gross unrealized depreciation... (73,510,696)
--------------
Net unrealized appreciation
(depreciation) ............... $ 395,746,319
==============
--------------
INTEREST RATE SWAP
FLOATING
NOTIONAL RATE RECEIVED+++ TERMINATION UNREALIZED
AMOUNT FIXED RATE PAID (RATE RESET MONTHLY) DATE APPRECIATION
------ --------------- -------------------- ---- ------------
$130,000,000 4.494% 5.33000% July 2, 2007 $906,399
(a) Security fair valued under procedures established by the Board of
Directors. The procedures may include reviewing available financial
information about the company and reviewing valuation of comparable
securities and other factors on a regular basis. At September 30, 2006, the
market value of fair valued securities amounted to $942,991 or 0.05% of
total investments.
(b) 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 September 30,
2006,the market value of the Rule 144A security amounted to $900,000 or
0.05% of total investments.
(c) At September 30, 2006, the Fund held an investment in a restricted and
illiquid security amounting to $900,000 or 0.05% of total investments,
which was valued under methods approved by the Board as follows:
09/30/06
ACQUISITION ACQUISITION ACQUISITION CARRYING VALUE
SHARES ISSUER DATE COST PER UNIT
------ ------- ------- -------- --------
90 Gray Television Inc.,
8.000% Cv. Pfd.,
Ser. C ............... 04/23/02 $900,000 $10,000.0000
(d) Collateralized by $88,495,000 U.S. Treasury Bond, 4.850%, due 02/15/26,
market value $102,000,000.
(e) Collateralized by $41,915,000 U.S. Treasury Bond, 8.125%, due 08/15/19,
market value $55,778,700.
+ Non-income producing security.
++ Represents annualized yield at date of purchase.
+++ Based on Libor (London Interbank Offered Rate).
ADR American Depository Receipt
CVO Contingent Value Obligation
SDR Special Drawing Rights
* Portfolio securities are valued at the last quoted sale price or closing
values. If these are unavailable, then the average of the closing bid and
asked prices is used. If there is no asked price, the security is valued at
the closing bid price on that day. Debt instruments are valued at the
average of the closing bid and asked prices. If the security matures in 60
days or less and is not credit impaired, it is valued at amortized cost.
All securities and assets for which market quotations are not readily
available or any security that the Board determines does not reflect its
fair market value are valued in good faith under procedures established by
the Board.
% OF
MARKET MARKET
VALUE VALUE
------ ------
GEOGRAPHIC DIVERSIFICATION
North America ................ 79.9% $1,468,548,969
Europe ....................... 15.5 284,506,071
Latin America ................ 3.1 57,200,614
Japan ........................ 1.0 19,175,806
Asia/Pacific ................. 0.4 6,409,045
South Africa ................. 0.1 1,816,155
------ --------------
Total Investments ............ 100.0% $1,837,656,660
====== ==============
10
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 Equity Trust Inc.
--------------------------------------------------------------------
By (Signature and Title)* /s/ Bruce N. Alpert
-------------------------------------------------------
Bruce N. Alpert, Principal Executive Officer
Date 11/03/06
----------------------------------------------------------------------------
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 11/03/06
----------------------------------------------------------------------------
By (Signature and Title)* /s/ Agnes Mullady
-------------------------------------------------------
Agnes Mullady,
Principal Financial Officer & Treasurer
Date 11/03/06
----------------------------------------------------------------------------
* Print the name and title of each signing officer under his or her signature.