N-Q 1 final.htm BLACKROCK HIGH INCOME FUND high income -- Converted by SEC Publisher, created by BCL Technologies Inc., for SEC Filing
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 811-02857 
Name of Fund: BlackRock High Income Fund of BlackRock Bond Fund, Inc. 
Fund Address: 100 Bellevue Parkway, Wilmington, DE 19809 
Name and address of agent for service: Donald C. Burke, Chief Executive Officer, BlackRock High 

Income Fund of BlackRock Bond Fund, Inc., 800 Scudders Mill Road, Plainsboro, NJ, 08536.

Mailing address: P.O. Box 9011, Princeton, NJ, 08543-9011 Registrant’s telephone number, including area code: (800) 441-7762

Date of fiscal year end: 09/30/2008

Date of reporting period: 10/01/2007 – 12/31/2007

Item 1 – Schedule of Investments

BlackRock Bond Fund, Inc. - BlackRock High Income Fund     
Schedule of Investments as of December 31, 2007 (Unaudited)    (in U.S. dollars) 
 
        Face         
Industry             Amount Corporate Bonds    Value 
 
 
 
Aerospace & Defense - 0.4%    USD    875,000    DRS Technologies, Inc., 6.625% due 2/01/2016    $ 864,062 
        690,000    Hawker Beechcraft Acquisition Co. LLC, 8.50% due     
            4/01/2015 (e)    690,000 
        1,170,000    Hawker Beechcraft Acquisition Co. LLC, 8.875% due     
            4/01/2015 (e)(g)    1,131,888 
        1,865,000    L-3 Communications Corp., 5.875% due 1/15/2015    1,799,725 
        1,550,000    TransDigm, Inc., 7.75% due 7/15/2014    1,573,250 
               
                6,058,925 
 
 
 
 
Airlines - 0.0%        138,820    Continental Airlines, Inc. Series 1998-1-C, 6.541% due     
            9/15/2009 (n)    137,779 
 
 
 
 
Auto Components - 2.3%        1,460,000    Allison Transmission, 11% due 11/01/2015 (e)    1,328,600 
        2,990,000    Allison Transmission, 11.25% due 11/01/2015 (e)(g)    2,537,924 
        2,800,000    ArvinMeritor, Inc., 8.125% due 9/15/2015    2,422,000 
        1,090,000    The Goodyear Tire & Rubber Co., 8.663% due     
            12/01/2009 (a)    1,098,175 
        1,960,000    The Goodyear Tire & Rubber Co., 7.857% due 8/15/2011    1,984,500 
        5,862,000    The Goodyear Tire & Rubber Co., 8.625% due 12/01/2011    6,111,135 
        1,550,000    The Goodyear Tire & Rubber Co., 4% due 6/15/2034 (c)    3,665,750 
        4,065,000    Lear Corp., 8.75% due 12/01/2016    3,699,150 
        2,190,000    Metaldyne Corp., 10% due 11/01/2013    1,806,750 
        6,375,000    Tenneco Automotive, Inc., 8.625% due 11/15/2014    6,263,438 
               
                30,917,422 
 
 
 
 
Automobiles - 0.3%        4,500,000    Ford Motor Co., 8.90% due 1/15/2032    3,487,500 
 
 
 
 
Biotechnology - 0.5%        7,770,000    Angiotech Pharmaceuticals, Inc., 8.874% due     
            12/01/2013 (a)    7,381,500 
 
 
 
 
Building Products - 1.3%        3,975,000    Goodman Global Holding Co., Inc., 7.875% due 12/15/2012    4,094,250 
        300,000    Momentive Performance Materials, Inc., 9.75% due     
            12/01/2014 (e)    276,000 
        14,525,000    Momentive Performance Materials, Inc., 11.50% due     
            12/01/2016 (e)    12,564,125 
               
                16,934,375 
 
 
 
 
Capital Markets - 0.4%        6,430,000    E*Trade Financial Corp., 12.50% due 11/30/2017 (e)    6,108,500 
 
 
 
 
Chemicals - 2.3%        3,100,000    American Pacific Corp., 9% due 2/01/2015    3,107,750 
        3,240,000    CII Carbon LLC, 11.125% due 11/15/2015 (e)    3,191,400 
        1,300,000    Hexion U.S. Finance Corp., 9.369% due 11/15/2014 (a)    1,326,000 
        3,785,000    Hexion U.S. Finance Corp., 9.75% due 11/15/2014    4,087,800 
        3,750,000    Huntsman International LLC, 7.875% due 11/15/2014    3,975,000 
        5,965,000    Ineos Group Holdings Plc, 8.50% due 2/15/2016 (e)    5,308,850 
        3,055,000    Innophos, Inc., 8.875% due 8/15/2014    3,039,725 
        3,325,000    MacDermid, Inc., 9.50% due 4/15/2017 (e)    3,125,500 
        260,000    NOVA Chemicals Corp., 7.863% due 11/15/2013 (a)    243,100 
    EUR    1,125,000    Rockwood Specialties Group, Inc., 7.625% due 11/15/2014    1,603,689 
    USD    2,100,000    Terra Capital, Inc. Series B, 7% due 2/01/2017    2,052,750 
               
                31,061,564 
 
 
 
 
Commercial Services &        4,000,000    Ashtead Capital, Inc., 9% due 8/15/2016 (e)    3,540,000 
Supplies - 2.1%        2,025,000    Corrections Corp. of America, 6.75% due 1/31/2014    2,032,594 
        3,690,000    DI Finance Series B, 9.50% due 2/15/2013    3,860,662 
        550,000    FTI Consulting, Inc., 7.75% due 10/01/2016    572,000 

1

BlackRock Bond Fund, Inc. - BlackRock High Income Fund     
Schedule of Investments as of December 31, 2007 (Unaudited)    (in U.S. dollars) 
 
    Face         
Industry     Amount Corporate Bonds    Value 
 
 
                                                                               USD    2,750,000    Mobile Services Group, Inc., 9.75% due 8/01/2014    $ 2,530,000 
    1,600,000    PNA Intermediate Holding Corp., 11.869% due     
        2/15/2013 (a)(e)(g)    1,448,000 
    6,225,000    Quebecor World Capital Corp., 8.75% due 3/15/2016 (e)    4,583,156 
    2,550,000    Quebecor World, Inc., 9.75% due 1/15/2015 (e)    1,915,688 
    1,003,000    Sally Holdings LLC, 10.50% due 11/15/2016    987,955 
    2,800,000    US Investigations Services, Inc., 10.50% due     
        11/01/2015 (e)    2,562,000 
    2,505,000    West Corp., 11% due 10/15/2016    2,486,213 
    1,605,000    The Yankee Candle Company, Inc., 9.75% due 2/15/2017    1,468,575 
           
            27,986,843 
 
 
 
Communications Equipment - 0.8%    4,005,000    Dycom Industries, Inc., 8.125% due 10/15/2015    3,964,950 
    7,280,000    Nortel Networks Ltd., 8.508% due 7/15/2011 (a)(e)    7,098,000 
           
            11,062,950 
 
 
 
Construction Materials - 0.7%    6,675,000    Caue Finance Ltd., 8.875% due 8/01/2015 (e)    7,158,937 
    2,175,000    Nortek, Inc., 8.50% due 9/01/2014    1,740,000 
    680,000    Texas Industries, Inc., 7.25% due 7/15/2013    666,400 
           
            9,565,337 
 
 
 
Containers & Packaging - 2.1%    4,140,000    Berry Plastics Holding Corp., 8.866% due 9/15/2014 (a)    3,870,900 
    7,890,000    Berry Plastics Holding Corp., 8.875% due 9/15/2014    7,495,500 
    3,906,000    Graphic Packaging International Corp., 9.50% due     
        8/15/2013    3,857,175 
    1,930,000    Impress Holdings BV, 7.383% due 9/15/2013 (a)(e)    1,872,100 
    625,000    Owens-Illinois, Inc., 7.35% due 5/15/2008    626,563 
    2,550,000    Packaging Dynamics Finance Corp., 10% due 5/01/2016 (e)    2,244,000 
    4,485,000    Pregis Corp., 12.375% due 10/15/2013    4,754,100 
    3,910,000    Smurfit-Stone Container Enterprises, Inc., 8%     
        due 3/15/2017    3,778,038 
           
            28,498,376 
 
 
 
Distributors - 0.7%    7,675,000    American Tire Distributors, Inc., 11.08% due     
        4/01/2012 (a)    7,444,750 
    1,900,000    Buhrmann US, Inc., 8.25% due 7/01/2014    1,814,500 
           
            9,259,250 
 
 
 
Diversified Financial Services - 1.9%    5,000,000    Citigroup, Inc., 8.30% due 12/21/2077 (a)    5,220,955 
    5,290,000    Ford Motor Credit Co. LLC, 5.80% due 1/12/2009    5,021,242 
    1,540,000    Ford Motor Credit Co. LLC, 5.70% due 1/15/2010    1,387,506 
    3,815,000    Ford Motor Credit Co. LLC, 7.127% due 1/13/2012 (a)    3,204,455 
    1,725,000    GMAC LLC, 6% due 12/15/2011    1,446,723 
    1,500,000    GMAC LLC, 6.75% due 12/01/2014    1,209,823 
    2,760,000    GMAC LLC, 8% due 11/01/2031    2,315,295 
    6,200,000    Leucadia National Corp., 8.125% due 9/15/2015    6,200,000 
           
            26,005,999 
 
 
 
Diversified Telecommunication    3,400,000    Cincinnati Bell, Inc., 7.25% due 7/15/2013    3,408,500 
Services - 2.8%    935,000    Citizens Communications Co., 6.25% due 1/15/2013    905,781 
    9,300,000    Qwest Corp., 7.50% due 10/01/2014    9,439,500 
    8,500,000    Qwest Corp. Series WI, 6.50% due 6/01/2017    8,138,750 
    2,250,000    Time Warner Telecom Holdings, Inc., 9.25% due     
        2/15/2014    2,300,625 

2

BlackRock Bond Fund, Inc. - BlackRock High Income Fund     
Schedule of Investments as of December 31, 2007 (Unaudited)    (in U.S. dollars) 
 
    Face         
Industry         Amount Corporate Bonds    Value 
 
 
                                                                               EUR    1,000,000    Wind Acquisition Finance SA, 9.75% due 12/01/2015 (e)    $ 1,564,396 
                                                                               USD    11,800,000    Windstream Corp., 8.125% due 8/01/2013    12,213,000 
           
            37,970,552 
 
 
 
Electric Utilities - 1.8%    3,375,000    Edison Mission Energy, 7.75% due 6/15/2016    3,476,250 
    8,250,000    Edison Mission Energy, 7% due 5/15/2017    8,105,625 
    4,000,000    NSG Holdings LLC, 7.75% due 12/15/2025 (e)(n)    4,010,000 
    3,900,000    Sierra Pacific Resources, 8.625% due 3/15/2014    4,167,275 
    4,390,497    Tenaska Alabama Partners LP, 7% due 6/30/2021 (e)(n)    4,381,988 
           
            24,141,138 
 
 
 
Electrical Equipment - 1.2%    910,000    Belden, Inc., 7% due 3/15/2017    887,250 
    15,325,000    Superior Essex Communications LLC, 9% due 4/15/2012    14,712,000 
           
            15,599,250 
 
 
 
Electronic Equipment &    2,915,000    NXP BV, 7.008% due 10/15/2013 (a)    2,681,800 
Instruments - 0.7%    1,321,000    NXP BV, 9.50% due 10/15/2015    1,210,366 
    615,000    Sanmina-SCI Corp., 6.75% due 3/01/2013    535,050 
    4,975,000    Sanmina-SCI Corp., 8.125% due 3/01/2016    4,409,094 
           
            8,836,310 
 
 
 
Energy Equipment & Services -    735,000    Compagnie Generale de Geophysique-Veritas, 7.50%     
1.5%        due 5/15/2015    744,187 
    5,335,000    Compagnie Generale de Geophysique-Veritas, 7.75%     
        due 5/15/2017    5,388,350 
    3,300,000    North American Energy Partners, Inc., 8.75% due     
        12/01/2011    3,258,750 
    10,700,000    SemGroup LP, 8.75% due 11/15/2015 (e)    10,165,000 
           
            19,556,287 
 
 
 
Food & Staples Retailing - 0.6%    3,200,000    AmeriQual Group LLC, 9.50% due 4/01/2012 (e)    2,240,000 
    6,175,000    Rite Aid Corp., 7.50% due 3/01/2017    5,441,719 
           
            7,681,719 
 
 
 
Food Products - 0.1%    20,000,000    DGS International Finance Co., 10% due 6/01/2007 (e)(i)    100,000 
    750,000    Smithfield Foods, Inc., 7.75% due 7/01/2017    725,625 
           
            825,625 
 
 
 
Gas Utilities - 0.2%    3,005,000    Transcontinental Gas Pipe Line Corp. Series B, 8.875%     
        due 7/15/2012    3,395,650 
 
 
 
Health Care Equipment & Supplies -    5,000,000    The Cooper Cos., Inc., 7.125% due 2/15/2015    4,862,500 
1.5%    16,000,000    ReAble Therapeutics Finance LLC, 10.875% due     
        11/15/2014 (e)    15,720,000 
           
            20,582,500 
 
 
 
Health Care Providers &    5,452,000    Accellent, Inc., 10.50% due 12/01/2013    4,579,680 
Services - 2.9%    275,000    Community Health Systems, Inc. Series WI, 8.875% due     
        7/15/2015    280,156 
    3,650,000    Omnicare, Inc. Series OCR, 3.25% due 12/15/2035 (c)    2,659,938 
    12,790,000    Tenet Healthcare Corp., 6.50% due 6/01/2012    11,383,100 
    6,775,000    Tenet Healthcare Corp., 9.875% due 7/01/2014    6,453,188 
    1,085,000    Tenet Healthcare Corp., 9.25% due 2/01/2015    1,003,625 
    1,265,000    US Oncology, Inc., 9% due 8/15/2012    1,247,606 
    6,175,000    US Oncology, Inc., 10.75% due 8/15/2014    6,097,813 
    3,400,000    United Surgical Partners International, Inc., 8.875% due     
        5/01/2017    3,357,500 

3

BlackRock Bond Fund, Inc. - BlackRock High Income Fund     
Schedule of Investments as of December 31, 2007 (Unaudited)    (in U.S. dollars) 
 
    Face         
Industry         Amount Corporate Bonds    Value 
 
 
                                                                               USD    930,000    Universal Hospital Services, Inc., 8.288% due     
        6/01/2015 (a)    $ 930,000 
    1,000,000    Universal Hospital Services, Inc., 8.50% due 6/01/2015 (g)    1,008,612 
           
            39,001,218 
 
 
 
Hotels, Restaurants & Leisure -    4,190,000    American Real Estate Partners LP, 7.125% due 2/15/2013    3,938,600 
4.9%    8,290,000    American Real Estate Partners LP, 7.125% due     
        2/15/2013 (e)    7,792,600 
    6,850,000    Boyd Gaming Corp., 7.125% due 2/01/2016    6,473,250 
    2,525,000    CCM Merger, Inc., 8% due 8/01/2013 (e)    2,379,812 
    250,000    Fontainebleau Las Vegas Holdings LLC, 10.25% due     
        6/15/2015 (e)    216,875 
    1,425,000    Galaxy Entertainment Finance Co. Ltd., 9.829% due     
        12/15/2010 (a)(e)    1,457,062 
    1,800,000    Galaxy Entertainment Finance Co. Ltd., 9.875% due     
        12/15/2012 (e)    1,899,000 
    2,340,000    Great Canadian Gaming Corp., 7.25% due 2/15/2015 (e)    2,316,600 
    3,560,000    Greektown Holdings, LLC, 10.75% due 12/01/2013 (e)    3,462,100 
    2,800,000    Indianapolis Downs LLC, 11% due 11/01/2012 (e)    2,751,000 
    5,965,000    Little Traverse Bay Bands of Odawa Indians, 10.25% due     
        2/15/2014 (e)    5,994,825 
    4,040,000    Pinnacle Entertainment, Inc., 7.50% due 6/15/2015 (e)    3,666,300 
    2,060,000    Shingle Springs Tribal Gaming Authority, 9.375% due     
        6/15/2015 (e)    1,998,200 
    1,175,000    Snoqualmie Entertainment Authority, 9.063% due     
        2/01/2014 (a)(e)    1,110,375 
    4,625,000    Station Casinos, Inc., 7.75% due 8/15/2016    4,174,063 
    611,000    Station Casinos, Inc., 6.625% due 3/15/2018    418,535 
    1,545,000    Travelport LLC, 9.749% due 9/01/2014 (a)    1,494,788 
    1,855,000    Tropicana Entertainment LLC Series WI, 9.625% due     
        12/15/2014    1,177,925 
    3,100,000    Universal City Florida Holding Co. I, 9.661% due     
        5/01/2010 (a)    3,100,000 
    3,696,000    Waterford Gaming LLC, 8.625% due 9/15/2014 (e)    3,696,000 
    6,125,000    Wynn Las Vegas LLC, 6.625% due 12/01/2014    6,017,813 
           
            65,535,723 
 
 
 
Household Durables - 1.5%    3,365,000    American Greetings Corp., 7.375% due 6/01/2016    3,272,462 
    8,115,000    Ashton Woods USA LLC, 9.50% due 10/01/2015    5,193,600 
    3,575,000    Jarden Corp., 7.50% due 5/01/2017    3,074,500 
    14,000,000    Stanley-Martin Communities LLC, 9.75% due 8/15/2015    8,400,000 
           
            19,940,562 
 
 
 
IT Services - 1.1%    5,900,000    First Data Corp., 9.875% due 9/24/2015 (e)    5,487,000 
    407,906    iPayment Investors LP, 12.75% due 7/15/2014 (e)(g)    428,301 
    8,105,000    SunGard Data Systems, Inc., 9.125% due 8/15/2013    8,246,838 
    400,000    SunGard Data Systems, Inc., 10.25% due 8/15/2015    409,000 
           
            14,571,139 
 
 
 
Independent Power Producers &    4,670,000    The AES Corp., 7.75% due 10/15/2015 (e)    4,740,050 
Energy Traders - 5.2%    10,690,000    The AES Corp., 8% due 10/15/2017 (e)    10,930,525 
    9,625,000    Dynegy Holdings, Inc., 7.75% due 6/01/2019    8,879,062 

4

BlackRock Bond Fund, Inc. - BlackRock High Income Fund     
Schedule of Investments as of December 31, 2007 (Unaudited)    (in U.S. dollars) 
 
    Face         
Industry         Amount Corporate Bonds    Value 
 
 
                                                                               USD    7,500,000    Energy Future Holding Corp., 11.25% due     
        11/01/2017 (e)(g)    $ 7,448,514 
    2,635,000    NRG Energy, Inc., 7.25% due 2/01/2014    2,569,125 
    12,650,000    NRG Energy, Inc., 7.375% due 2/01/2016    12,333,750 
    13,600,000    Texas Competitive Electric Holdings Co. LLC, 10.25%     
        due 11/01/2015 (e)    13,464,000 
    9,575,000    Texas Competitive Electric Holdings Co. LLC, 10.50%     
        due 11/01/2016 (e)(g)    9,455,313 
           
            69,820,339 
 
 
 
Insurance - 0.1%    1,530,000    USI Holdings Corp., 8.744% due 11/15/2014 (a)(e)    1,308,150 
 
 
 
Machinery - 2.5%    900,000    Ahern Rentals, Inc., 9.25% due 8/15/2013    758,250 
    4,000,000    Ashtead Holdings Plc, 8.625% due 8/01/2015 (e)    3,500,000 
    2,810,000    Esco Corp., 8.625% due 12/15/2013 (e)    2,810,000 
    1,110,000    Esco Corp., 8.866% due 12/15/2013 (a)(e)    1,087,800 
    8,158,000    Invensys Plc, 9.875% due 3/15/2011 (e)    8,616,414 
    1,090,000    RBS Global, Inc., 9.50% due 8/01/2014    1,079,100 
    4,755,000    RBS Global, Inc., 11.75% due 8/01/2016    4,648,013 
    1,505,000    RBS Global, Inc., 8.875% due 9/01/2016    1,429,750 
    8,145,000    Terex Corp., 8% due 11/15/2017    8,246,813 
    2,100,000    Titan International, Inc., 8% due 1/15/2012    2,026,500 
           
            34,202,640 
 
 
 
Marine - 0.3%    3,434,000    Navios Maritime Holdings, Inc., 9.50% due 12/15/2014    3,511,265 
 
 
 
Media - 14.3%    1,230,000    Affinion Group, Inc., 10.125% due 10/15/2013    1,243,838 
    4,660,000    Affinion Group, Inc., 11.50% due 10/15/2015    4,572,625 
    6,255,000    Barrington Broadcasting Group LLC, 10.50% due 8/15/2014    6,450,469 
    1,530,000    Bonten Media Acquisition Co., 9% due 6/01/2015 (e)(g)    1,320,007 
    5,810,000    Cablevision Systems Corp. Series B, 9.644% due     
        4/01/2009 (a)    5,875,362 
    2,875,000    Cablevision Systems Corp. Series B, 8% due 4/15/2012    2,788,750 
    18,425,000    Charter Communications Holdings I, LLC, 11% due     
        10/01/2015    14,976,375 
    6,655,000    Charter Communications Holdings II, LLC, 10.25% due     
        9/15/2010    6,517,600 
    4,700,000    Dex Media, Inc., 8% due 11/15/2013    4,418,000 
    4,150,000    Dex Media West LLC, 9.875% due 8/15/2013    4,316,000 
    1,920,000    DirecTV Holdings LLC, 8.375% due 3/15/2013    1,996,800 
    9,200,000    Echostar DBS Corp., 7.125% due 2/01/2016    9,384,000 
    1,180,000    Harland Clarke Holdings Corp., 9.50% due 5/15/2015    1,020,700 
    980,000    Harland Clarke Holdings Corp., 9.619% due 5/15/2015 (a)    820,750 
    6,805,000    Idearc, Inc., 8% due 11/15/2016    6,243,587 
    1,030,000    Intelsat Bermuda Ltd., 10.829% due 6/15/2013 (a)    1,055,750 
    4,575,000    Intelsat Bermuda Ltd., 7.581% due 1/15/2015 (a)    4,586,437 
    5,500,000    Intelsat Corp., 9% due 6/15/2016    5,541,250 
    9,475,000    Intelsat Subsidiary Holding Co. Ltd., 8.625% due 1/15/2015    9,522,375 
    10,525,000    Liberty Media Corp., 0.75% due 3/30/2023 (c)    10,959,156 
    355,000    NTL Cable Plc, 8.75% due 4/15/2014    352,337 
    11,225,000    NTL Cable Plc, 9.125% due 8/15/2016    11,112,750 
    1,350,000    Network Communications, Inc., 10.75% due 12/01/2013    1,323,000 

5

BlackRock Bond Fund, Inc. - BlackRock High Income Fund     
Schedule of Investments as of December 31, 2007 (Unaudited)    (in U.S. dollars) 
 
    Face         
Industry         Amount Corporate Bonds    Value 
 
 
                                                                               USD    11,300,000    Nielsen Finance LLC, 10% due 8/01/2014    $ 11,554,250 
    4,737,000    PanAmSat Corp., 9% due 8/15/2014    4,760,685 
    16,520,000    Paxson Communications Corp., 7.508% due     
        1/15/2012 (a)(e)    16,086,350 
    3,738,341    ProtoStar I Ltd., 12.50% due 10/15/2012 (a)(c)(e)    3,925,258 
    2,050,000    R.H. Donnelley Corp., 6.875% due 1/15/2013    1,834,750 
    7,150,000    R.H. Donnelley Corp., 8.875% due 10/15/2017 (e)    6,613,750 
    3,900,000    R.H. Donnelley Corp. Series A-2, 6.875% due 1/15/2013    3,490,500 
    1,150,000    R.H. Donnelley Corp. Series A-3, 8.875% due 1/15/2016    1,075,250 
    2,123,000    Rainbow National Services LLC, 10.375% due 9/01/2014 (e)    2,300,801 
    19,215,000    TL Acquisitions, Inc., 10.50% due 1/15/2015 (e)    18,470,419 
    2,020,000    TL Acquisitions, Inc., 10.92% due 7/15/2015 (e)(l)    1,598,325 
    1,393,000    Windstream Regatta Holdings, Inc., 11% due     
        12/01/2017 (e)    1,379,070 
    2,695,000    Young Broadcasting, Inc., 10% due 3/01/2011    2,105,469 
           
            191,592,795 
 
 
 
Metals & Mining - 6.4%    1,945,000    AK Steel Corp., 7.75% due 6/15/2012    1,954,725 
    7,390,000    Aleris International, Inc., 9% due 12/15/2014 (g)    6,137,827 
    910,000    Blaze Recycling & Metals LLC, 10.875% due 7/15/2012 (e)    837,200 
    9,000,000    CSN Islands VIII Corp., 9.75% due 12/16/2013 (e)    10,080,000 
    2,410,000    FMG Finance Pty Ltd., 10.625% due 9/01/2016 (e)    2,759,450 
    14,200,000    Freeport-McMoRan Copper & Gold, Inc., 8.394% due     
        4/01/2015 (a)    14,413,000 
    11,605,000    Freeport-McMoRan Copper & Gold, Inc., 8.375% due     
        4/01/2017    12,446,362 
    4,023,000    Indalex Holding Corp. Series B, 11.50% due 2/01/2014    3,540,240 
    7,475,000    Novelis, Inc., 7.25% due 2/15/2015    7,026,500 
    6,900,000    RathGibson, Inc., 11.25% due 2/15/2014    6,900,000 
    1,670,000    Ryerson, Inc., 12.574% due 11/01/2014 (a)(e)    1,603,200 
    2,280,000    Ryerson, Inc., 12% due 11/01/2015 (e)    2,251,500 
    7,720,000    Southern Copper Corp., 6.375% due 7/27/2015    7,765,965 
    7,800,000    Steel Dynamics, Inc., 7.375% due 11/01/2012 (e)    7,839,000 
           
            85,554,969 
 
 
 
Multi-Utilities - 0.2%    1,895,000    CenterPoint Energy, Inc. Series B, 3.75% due 5/15/2023 (c)    2,904,088 
 
 
 
Multiline Retail - 0.4%    5,175,000    Neiman Marcus Group, Inc., 9% due 10/15/2015 (g)    5,330,250 
 
 
 
Oil, Gas & Consumable Fuels -    2,625,000    Berry Petroleum Co., 8.25% due 11/01/2016    2,684,062 
3.0%    3,275,000    Chaparral Energy, Inc., 8.50% due 12/01/2015    2,947,500 
    2,745,000    Cimarex Energy Co., 7.125% due 5/01/2017    2,696,962 
    4,430,000    Compton Petroleum Finance Corp., 7.625% due 12/01/2013    4,119,900 
    350,000    Copano Energy LLC, 8.125% due 3/01/2016    352,625 
    4,026,842    Corral Finans AB, 5.758% due 4/15/2010 (e)(g)    4,120,031 
    1,750,000    Denbury Resources, Inc., 7.50% due 12/15/2015    1,767,500 
    5,500,000    Forest Oil Corp., 7.25% due 6/15/2019 (e)    5,527,500 
    3,431,000    KCS Energy, Inc., 7.125% due 4/01/2012    3,302,337 
    4,215,000    OPTI Canada, Inc., 8.25% due 12/15/2014 (e)    4,172,850 
    5,840,000    Sabine Pass LNG LP, 7.50% due 11/30/2016    5,577,200 
    3,425,000    Swift Energy Co., 7.125% due 6/01/2017    3,253,750 
           
            40,522,217 
 
 
 

6

BlackRock Bond Fund, Inc. - BlackRock High Income Fund     
Schedule of Investments as of December 31, 2007 (Unaudited)    (in U.S. dollars) 
 
        Face         
Industry             Amount Corporate Bonds    Value 
 
 
 
Paper & Forest Products -    USD    21,000,000    APP Finance II Mauritius Ltd., 12% (c)(d)(i)    $ 105,000 
3.3%        320,000    Abitibi-Consolidated, Inc., 8.55% due 8/01/2010    280,000 
        1,285,000    Abitibi-Consolidated, Inc., 6% due 6/20/2013    875,406 
        435,000    Abitibi-Consolidated, Inc., 8.85% due 8/01/2030    297,975 
        11,025,000    Ainsworth Lumber Co. Ltd., 7.25% due 10/01/2012    6,642,562 
        3,325,000    Boise Cascade LLC, 7.125% due 10/15/2014    3,216,937 
        4,830,000    Bowater Canada Finance Corp., 7.95% due 11/15/2011    3,900,225 
        6,550,000    Domtar Corp., 7.125% due 8/15/2015    6,419,000 
        6,180,000    NewPage Corp., 10% due 5/01/2012 (e)    6,210,900 
        6,475,000    NewPage Corp., 11.161% due 5/01/2012 (a)    6,677,344 
        6,000,000    NewPage Corp., 12% due 5/01/2013    6,195,000 
        3,945,000    Verso Paper Holdings LLC Series B, 8.661% due     
            8/01/2014 (a)    3,846,375 
               
                44,666,724 
 
 
 
 
Pharmaceuticals - 0.2%        3,180,000    PTS Acquisition Corp., 9.50% due 4/15/2015 (e)(g)    2,949,450 
 
 
 
 
Real Estate Investment Trusts    4,000,000    Ventas Realty, LP, 9% due 5/01/2012    4,300,000 
(REITs) - 0.3%                 
 
 
 
 
Real Estate Management &        5,370,000    Realogy Corp., 10.50% due 4/15/2014 (e)    4,014,075 
Development - 0.8%        8,500,000    Realogy Corp., 11% due 4/15/2014 (e)(g)    5,907,500 
        2,260,000    Realogy Corp., 12.375% due 4/15/2015 (e)    1,423,800 
               
                11,345,375 
 
 
 
 
Road & Rail - 0.3%        250,000    Avis Budget Car Rental LLC, 7.369% due 5/15/2014 (a)    230,000 
        2,400,000    Avis Budget Car Rental LLC, 7.625% due 5/15/2014    2,292,000 
        590,000    Britannia Bulk Plc, 11% due 12/01/2011    609,912 
        1,140,000    St. Acquisition Corp., 12.50% due 5/15/2017 (e)    588,525 
               
                3,720,437 
 
 
 
 
Semiconductors & Semiconductor    1,730,000    Amkor Technology, Inc., 7.75% due 5/15/2013    1,630,525 
Equipment - 2.0%        8,725,000    Amkor Technology, Inc., 9.25% due 6/01/2016    8,746,812 
        12,680,000    Freescale Semiconductor, Inc., 9.125% due 12/15/2014 (g)    10,778,000 
        2,400,000    Hynix Semiconductor, Inc., 7.875% due 6/27/2017 (e)    2,166,000 
        3,425,000    Spansion, Inc., 8.249% due 6/01/2013 (a)(e)    3,082,500 
               
                26,403,837 
 
 
 
 
Software - 0.3%        3,665,088    BMS Holdings, Inc., 12.40% due 2/15/2012 (a)(e)(g)    3,382,978 
 
 
 
 
Specialty Retail - 3.3%        8,100,000    Asbury Automotive Group, Inc., 8% due 3/15/2014    7,654,500 
        1,660,000    Asbury Automotive Group, Inc., 7.625% due 3/15/2017    1,469,100 
        5,150,000    Autonation, Inc., 6.258% due 4/15/2013 (a)    4,750,875 
        2,045,000    Buffets, Inc., 12.50% due 11/01/2014    777,100 
        8,340,000    General Nutrition Centers, Inc., 10.009% due     
            3/15/2014 (g)    7,881,300 
        6,740,000    General Nutrition Centers, Inc., 10.75% due 3/15/2015    6,268,200 
        2,040,000    Group 1 Automotive, Inc., 2.25% due 6/15/2036 (c)(q)    1,351,500 
        950,000    Michaels Stores, Inc., 10% due 11/01/2014    902,500 
        7,840,000    Michaels Stores, Inc., 11.375% due 11/01/2016    7,193,200 
        5,255,000    United Auto Group, Inc., 7.75% due 12/15/2016    4,913,425 
               
                43,161,700 
 
 
 
 
Textiles, Apparel & Luxury        9,275,000    Levi Strauss & Co., 8.875% due 4/01/2016    8,973,562 
Goods - 0.7%                 
 
 
 
 
Tobacco - 0.4%        5,500,000    Vector Group Ltd., 11% due 8/15/2015 (e)    5,582,500 
 
 
 
 

7

BlackRock Bond Fund, Inc. - BlackRock High Income Fund     
Schedule of Investments as of December 31, 2007 (Unaudited)    (in U.S. dollars) 
 
        Face         
Industry        Amount    Corporate Bonds    Value 
 
 
 
 
Wireless    EUR    1,420,000    BCM Ireland Finance Ltd., 9.506% due 8/15/2016 (a)(p)    $ 2,050,163 
Telecommunication        3,375,081    BCM Ireland Preferred Equity Ltd., 10.597% due     
Services - 4.5%            2/15/2017 (e)(g)    4,613,800 
    USD    3,210,000    Centennial Communications Corp., 10.479% due     
            1/01/2013 (a)    3,282,225 
        2,260,000    Centennial Communications Corp., 8.125% due 2/01/2014    2,226,100 
        965,000    Cricket Communications, Inc., 9.375% due 11/01/2014    904,687 
        7,010,000    Cricket Communications, Inc., 9.375% due 11/01/2014 (e)    6,571,875 
        4,240,000    Digicel Group Ltd., 8.875% due 1/15/2015 (e)    3,879,600 
        6,818,000    Digicel Group Ltd., 9.125% due 1/15/2015 (e)(g)    6,221,425 
        3,110,000    FiberTower Corp., 9% due 11/15/2012 (c)(e)    2,857,313 
        4,410,000    iPCS, Inc., 7.036% due 5/01/2013 (a)    4,156,425 
        12,510,000    MetroPCS Wireless, Inc., 9.25% due 11/01/2014    11,759,400 
        920,000    Orascom Telecom Finance SCA, 7.875% due 2/08/2014    869,400 
        3,100,000    Orascom Telecom Finance SCA, 7.875% due 2/08/2014 (e)    2,929,500 
        7,560,000    Rural Cellular Corp., 8.25% due 3/15/2012    7,843,500 
               
                60,165,413 
 
 
 
 
            Total Corporate Bonds     
            (Cost - $1,235,496,268) - 85.1%    1,141,502,682 
 
 
 
 
        Shares         
        Held    Common Stocks     
 
 
 
 
Airlines - 0.3%        325,536    Northwest Airlines Corp. (h)    4,723,527 
 
 
 
 
Capital Markets - 0.1%        311,240    E*Trade Financial Corp. (h)    1,104,902 
 
 
 
 
Communications Equipment - 0.7%    257,872    Loral Space & Communications Ltd.    8,832,116 
 
 
 
Diversified Telecommunication    2    PTV, Inc.    1,000 
Services - 0.0%                 
 
 
 
 
Electrical Equipment - 1.0%        852,625    Medis Technologies Ltd. (h)    13,156,004 
 
 
 
 
Paper & Forest Products - 0.2%    1,610,897    Western Forest Products, Inc. (h)    2,529,906 
 
 
 
Semiconductors & Semiconductor    149,223    Cypress Semiconductor Corp. (h)    5,376,505 
Equipment - 0.4%                 
 
 
 
 
            Total Common Stocks (Cost - $75,404,211) - 2.7%    35,723,960 
 
 
 
 
        Face         
        Amount    Floating Rate Loan Interests (m)     
 
 
 
 
Aerospace & Defense -    USD    109,472    Hawker Beechcraft Acquisition Co. LLC Letter of     
0.1%            Credit, 5.098% due 3/31/2014    103,862 
        1,284,059    Hawker Beechcraft Acquisition Co. LLC Term Loan B,     
            6.83% - 7.198% due 3/31/2014    1,218,251 
               
                1,322,113 
 
 
 
 
Containers & Packaging - 0.2%    3,254,132    Berry Plastics Corp. Term Loan B, 12.244% due 6/15/2014    2,766,012 
 
 
 
Diversified Financial        1,500,000    Marsco Term Loan B, 7.375% due 11/14/2014    1,440,000 
Services - 0.1%                 
 
 
 
 
Diversified Telecommunication    2,250,000    Wind Telecomunicazione SpA Second Lien Term Loan,     
Services - 0.8%            10.79% due 12/17/2014    2,288,437 

8

BlackRock Bond Fund, Inc. - BlackRock High Income Fund     
Schedule of Investments as of December 31, 2007 (Unaudited)    (in U.S. dollars) 
 
        Face         
Industry        Amount    Floating Rate Loan Interests (m)    Value 
 
 
 
 
    EUR    6,164,871    Wind Telecomunicazione SpA Term Loan, 10.465% due     
            12/17/2014    $ 9,182,365 
               
                11,470,802 
 
 
 
 
Health Care Equipment &    USD    2,200,000    Bausch & Lomb, Inc. Term Loan B, 8.143% due     
Supplies - 0.2%            4/26/2015    2,189,000 
 
 
 
 
Health Care Providers &        5,425,242    Community Health Systems, Inc. Term Loan B, 7.331%     
Services - 0.4%            due 6/18/2014    5,214,450 
 
 
 
 
Hotels, Restaurants & Leisure -    8,175,832    Travelport, Inc. Term Loan, 12.198% due 3/22/2012    7,630,774 
0.6%                 
 
 
 
 
Household Products - 0.2%        117,197    Spectrum Brands, Inc. Letter of Credit, 4.566% due     
            4/15/2013    113,154 
        2,332,826    Spectrum Brands, Inc. Term Loan B-1, 9.249% - 9.53%     
            due 4/15/2013    2,252,343 
               
                2,365,497 
 
 
 
 
IT Services - 0.6%        8,500,000    Alliance Data Systems Term Loan, 8.058% due 12/15/2014    7,905,000 
 
 
 
 
Independent Power Producers    11,970,000    TXU Corp. Term Loan 3, 8.622% due 10/10/2014    11,757,126 
& Energy Traders - 1.0%        1,496,250    TXU Corp. Term Loan B 2, 8.622% due 10/14/2029    1,468,197 
               
                13,225,323 
 
 
 
 
Media - 3.2%        12,125,000    Catalina Marketing Group Bridge Loan, 8.981% due     
            10/09/2017    11,336,875 
        5,822,546    Easton-Bell Sports Inc. Term Loan B, 10.72% - 10.82% due     
            5/01/2012    5,560,531 
        1,000,000    Education Media and Publishing First Lien Term Loan,     
            9.141% due 5/15/2009    956,250 
        7,250,000    Education Media and Publishing First Lien Term Loan B,     
            9.141% due 11/14/2014    6,932,813 
        16,500,000    Education Media and Publishing Second Lien Term     
            Loan, 13.641% due 11/14/2014    15,675,000 
        3,000,000    PanAmSat Corp. Term Loan B, 7.225% due 1/19/2014    2,938,392 
               
                43,399,861 
 
 
 
 
Oil, Gas & Consumable Fuels - 0.3%    2,400,000    SandRidge Energy, Inc. Term Loan, 8.625% due     
            3/01/2015    2,388,000 
        2,250,000    SandRidge Energy, Inc. Term Loan B, 8.854% due     
            3/01/2014    2,216,250 
               
                4,604,250 
 
 
 
 
Paper & Forest Products - 1.1%    4,000,000    Cenveo, Inc. Bridge Loan, 9.319% due 9/17/2015    4,000,000 
        4,000,000    NewPage Corp. Tem Loan B, 8.688% due 12/07/2014    3,973,124 
        7,180,000    Verso Paper Holdings LLC Term Loan B, 11.161% due     
            2/01/2013    6,852,413 
               
                14,825,537 
 
 
 
 
            Total Floating Rate Loan Interests     
            (Cost - $119,029,558) - 8.8%    118,358,619 
 
 
 
 
        Shares         
        Held    Preferred Stocks     
 
 
 
 
Diversified Telecommunication    130    PTV, Inc. Series A, 10%    176 
Services - 0.0%                 
 
 
 
 

9

BlackRock Bond Fund, Inc. - BlackRock High Income Fund     
Schedule of Investments as of December 31, 2007 (Unaudited)    (in U.S. dollars) 
 
        Shares             
Industry        Held    Preferred Stocks    Value 
 
 
 
 
Oil, Gas & Consumable Fuels - 0.8%    201    EXCO Resources, Inc., 7% (c)    $ 2,160,750 
        831    EXCO Resources, Inc., 11%    8,933,250 
               
                    11,094,000 
 
 
 
 
 
            Total Preferred Stocks (Cost - $10,323,320) - 0.8%    11,094,176 
 
 
 
 
            Warrants (b)         
 
 
 
 
 
Health Care Providers &        201,408    HealthSouth Corp. (expires 1/16/2014)    50,352 
Services - 0.0%                     
 
 
 
 
 
Media - 0.0%        117,980    Virgin Media, Inc. (expires 1/10/2011)    34,214 
 
 
 
 
Wireless Telecommunication        3,600    American Tower Corp. (expires 8/01/2008)    2,151,900 
Services - 0.2%                     
 
 
 
 
 
            Total Warrants (Cost - $352,197) - 0.2%    2,236,466 
 
 
 
 
            Rights         
 
 
 
 
 
Electrical Equipment - 0.0%        85,262    Medis Technologies Ltd. (h)(o)    1 
 
 
 
 
            Total Rights (Cost - $0) - 0.0%    1 
 
 
 
 
        Beneficial             
        Interest    Other Interests (f)     
 
 
 
 
Media - 0.0%    USD    25,500,000    Adelphia Escrow    2,550 
        31,980,466    Adelphia Recovery Trust    127,922 
 
 
 
 
            Total Other Interests (Cost - $104,550) - 0.0%    130,472 
 
 
 
 
            Short-Term Securities     
 
 
 
 
    USD    43,367,291    BlackRock Liquidity Series, LLC     
            Cash Sweep Series, 5.04% (j)(k)    43,367,291 
 
 
 
 
Total Short-Term Securities
            (Cost - $43,367,291) - 3.2%    43,367,291 
 
 
 
 
            Total Investments (Cost - $1,484,077,395*) - 100.8%    1,352,413,667 
            Liabilities in Excess of Other Assets - (0.8%)    (10,588,123) 
               
            Net Assets - 100.0%    $ 1,341,825,544 
               
 
* The cost and unrealized appreciation (depreciation) of investments as of December 31,     
                 2007, as computed for federal income tax purposes, were as follows:     
                 Aggregate cost            $ 1,484,281,363     
           
   
                 Gross unrealized appreciation        $ 19,647,157     
                 Gross unrealized depreciation            (151,514,853)     
       
 
   
                 Net unrealized depreciation        $ (131,867,696)     
       
   

(a)      Floating rate security.
 
(b)      Warrants entitle the Fund to purchase a predetermined number of shares of common stock and are non-income producing. The purchase price and number of shares are subject to adjustment under certain conditions until the expiration date.
 
(c)      Convertible security.
 
(d)      The security is a perpetual bond and has no stated maturity date.
 
(e)      The security may be offered and sold to "qualified institutional buyers" under Rule 144A of the Securities Act of 1933.
 
(f)      Other interests represent beneficial interest in liquidation trusts and other reorganization entities and are non-income producing.
 
(g)      Represents a pay-in-kind security which may pay interest/dividends in additional face/shares.
 
(h)      Non-income producing security.
 
(i)      Non-income producing security; issuer filed for bankruptcy or is in default of interest payments.
 

10

BlackRock Bond Fund, Inc. - BlackRock High Income Fund

Schedule of Investments as of December 31, 2007 (Unaudited)

(in U.S. dollars)

(j)      Investments in companies considered to be an affiliate of the Fund, for purposes of Section 2(a)(3) of the Investment Company Act of 1940, were as follows:
 
Affiliate    Net Activity    Interest Income 
 
 
BlackRock Liquidity Series, LLC Cash Sweep Series    $ (72,395,611)    $ 843,686 
 
 

(k)      Represents the current yield as of December 31, 2007.
 
(l)      Represents a step bond; the interest rate shown reflects the effective yield at the time of purchase.
 
(m)      Floating rate loan interests in which the Fund invests generally pay interest at rates that are periodically by reference to a base lending rate plus a premium. The base lending rates are generally (i) the lending rate offered by one or more European banks, such as LIBOR (London InterBank Offered Rate), (ii) the prime rate offered by one or more U.S. banks or (iii) the certificate of deposit rate.
 
(n)      Subject to principal paydowns.
 
(o)      The rights may be exercised until January 7, 2008.
 
(p)      Restricted security as to resale, representing 0.2% of net assets were as follows:
 
    Issue    Acquisition Date    Cost    Value 
   
 
 
 
    BCM Ireland Finance Ltd., 9.506% due 8/15/2016    9/18/2007    $ 1,955,005    $ 2,050,163 
   
 
 
 
(q)    Represents a step bond.             

  • For Fund compliance purposes, the Fund's industry classifications refer to any one or more of the industry sub-classifications used by one or more widely recognized market indexes or ratings group indexes, and/or as defined by Fund management. This definition may not apply for purposes of this report, which may combine industry sub-classifications for reporting ease. Industries are shown as a percent of net assets.
  • Swap contracts outstanding as of December 31, 2007 were as follows:
            Unrealized 
        Notional    Appreciation 
        Amount    (Depreciation) 
 
 
 
         Sold credit default protection on Novelis Inc. and receive 1.40%         
         Broker, JPMorgan Chase         
         Expires January 2008    $ 3,750,000    $ 607 
 
         Sold credit default protection on Ford Motor Company and receive 3.80%         
         Broker, JPMorgan Chase         
         Expires March 2010    $ 6,000,000    (264,564) 
 
         Sold credit default protection on Ford Motor Company and receive 4.20%         
         Broker, Deutsche Bank AG London         
         Expires March 2010    $ 6,000,000    (217,458) 
 
         Sold credit default protection on Ford Motor Company and receive 4.70%         
         Broker, UBS Warburg         
         Expires June 2010    $ 7,000,000    (241,325) 
 
 
         Total            $ (722,740) 
           
 
• Currency Abbreviations:         
         EUR    Euro         
         USD    U.S. Dollar         

11

Item 2 – Controls and Procedures

2(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”)) are effective as of a date within 90 
    days of the filing of this report based on the evaluation of these controls and procedures required by Rule 
    30a-3(b) under the 1940 Act and Rule 15d-15(b) under the Securities Exchange Act of 1934, as amended. 

2(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) 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 – Attached hereto

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.

BlackRock High Income Fund of BlackRock Bond Fund, Inc.

By: /s/ Donald C. Burke

Donald C. Burke

Chief Executive Officer (principal executive officer) of BlackRock High Income Fund of BlackRock Bond Fund, Inc.

Date: February 21, 2008

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: /s/ Donald C. Burke

Donald C. Burke

Chief Executive Officer (principal executive officer) of BlackRock High Income Fund of BlackRock Bond Fund, Inc.

  Date: February 21, 2008

By:    /s/ Neal J. Andrews 
    Neal J. Andrews 
    Chief Financial Officer (principal financial officer) of 
    BlackRock High Income Fund of BlackRock Bond Fund, Inc. 

Date: February 21, 2008