UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM N-Q
QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED
MANAGEMENT INVESTMENT COMPANY
Investment Company Act file number 811-1537
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Sterling Capital Corporation
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(Exact name of registrant as specified in charter)
635 Madison Avenue, New York, New York 10022
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(Address of principal executive offices)
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(Name and address of agent for service)
Registrant's telephone number, including area code: (212) 980-3360
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Date of fiscal year end: December 31
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Date of reporting period: September 30, 2004
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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 (s.s. 239.24 and s.s. 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, 450 Fifth Street,
NW, Washington, DC 20549-0609. The OMB has reviewed this collection of
information under the clearance requirements of 44 U.S.C. s.s. 3507.
Item 1. Schedule of Investments.
STERLING CAPITAL CORPORATION
SCHEDULE OF INVESTMENTS
September 30, 2004
(Unaudited)
Number of Market
Shares Value
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Common Stocks - 52.57% of net assets
Technology - 14.49%
Falconstor Software Inc. * ......... 271,350 $2,021,557
Advanced Micro Devices, Inc. * ..... 15,000 195,000
Check Point Software Technologies * 10,000 169,700
Cisco Systems Inc. * ............... 6,000 108,600
Intel Corp. ........................ 3,000 60,180
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$2,555,037
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Financial Services - 11.81%
J.P. Morgan Chase & Co ............. 10,000 $ 397,300
MetLife Inc. ....................... 10,000 386,500
KeyCorp ............................ 10,000 316,000
Allstate Corp. ..................... 6,000 287,940
The St Paul Travelers Cos. Inc. .... 8,668 286,564
Wilmington Trust Corp .............. 5,000 181,050
Mellon Financial Corp. ............. 5,000 138,450
Citigroup Inc. ..................... 2,000 88,240
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$2,082,044
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Real Estate and
Real Estate Investment Trusts - 7.00%
Camden Property Trust .............. 10,000 $ 462,000
Equity Residential ................. 10,950 339,450
Amli Residential Properties Trust .. 5,000 152,750
St. Joe Co. ........................ 3,000 143,310
Equity Office Properties Trust ..... 5,000 136,250
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$1,233,760
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Consumer Goods - 4.77%
Conagra Inc. ...................... 10,000 $ 257,100
Sara Lee Corp. .................... 10,000 228,600
Newell Rubbermaid Inc. ............ 10,000 200,400
Black & Decker Corp. .............. 2,000 154,880
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$ 840,980
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Number of Market
Shares Value
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Energy - 3.68%
Marathon Oil Corp ......................... 10,000 $ 412,800
ConocoPhillips ............................ 2,000 165,700
Boots & Coots Int'l Well Control Inc * .... 88,400 69,836
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$ 648,336
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Telecommunication and Media - 3.26%
Viacom Inc Cl A ........................... 6,000 $ 204,000
Verizon Communications .................... 5,060 199,263
Nokia Corp ADR ............................ 12,500 171,500
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$ 574,763
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Industrial and Business Services - 2.53%
Koninklijke Philips Electronics NV Holdings 10,838 $ 248,299
Honeywell International Inc. ............... 5,500 197,230
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$ 445,529
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Healthcare - 2.49%
Pfizer Inc. ............................... 10,000 $ 306,000
Merck & Co. ............................... 4,000 132,000
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$ 438,000
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Automotive & Transportation Services - 1.33%
Ryder System Inc. ......................... 5,000 $ 235,200
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Materials - 1.21%
Du Pont E I De Nemours & Co. ............... 5,000 $ 214,000
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Total common stocks (cost $7,201,702) ..... $ 9,267,649
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Total Investments (cost $7,201,702) - 52.57% $ 9,267,649
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Other Assets less Liabilities - 47.43% ..... $ 8,359,755
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Net Assets - 100% .......................... $17,627,404
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* Non-income producing security
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 this report that includes the disclosure
required by this paragraph, based on their evaluation of the controls
and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR
270.30a-3(b)) and Rule 13a-15(b) or 15d-15(b) under the Securities
Exchange Act of 1934 ( the "Exchange Act") (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 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 of Principal Executive Officer and Principal Financial
Officer of the Registrant as required by Rule 30a-2(a) under the 1940 Act (17
CFR 270.30a-2(a) are attached as Exhibit 99.CERT.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, the Registrant has duly caused this report to be
signed on its behalf by the undersigned, thereunto duly authorized.
Registrant STERLING CAPITAL CORPORATION
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BY (SIGNATURE AND TITLE)* /s/ Wayne S. Reisner
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Wayne S. Reisner, Principal Executive Officer
(Principal Executive Officer)
Date: December 29, 2004
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/ Wayne S. Reisner
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Wayne S. Reisner, Principal Executive Officer
(Principal Executive Officer)
Date: December 29, 2004
BY (SIGNATURE AND TITLE)* /s/ Michael J. Carey
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Michael J. Carey, Principal Financial Officer
(Principal Financial Officer)
Date: December 29, 2004
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* Print the name and title of each signing officer under his or her
signature.