13F-HR 1 form_13f-perrycorp.txt ----------------------------------- OMB APPROVAL ----------------------------------- OMB Number: 3235-0006 Expires: December 31, 2006 Estimated average burden hours per response..........22.8 ----------------------------------- UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 13F FORM 13F COVER PAGE Report for the Calendar Year or Quarter Ended: September 30, 2006 Check here if Amendment [ ]; Amendment Number: This Amendment (Check only one.): [ ] is a restatement. [ ] adds new holdings entries. Institutional Investment Manager Filing this Report: Name: Perry Corp. 767 Fifth Avenue New York, NY 10153 Form 13F File Number: 028-4106 The institutional investment manager filing this report and the person by whom it is signed hereby represent that the person signing the report is authorized to submit it, that all information contained herein is true, correct and complete, and that it is understood that all required items, statements, schedules, lists, and tables, are considered integral parts of this form. Person Signing this Report on Behalf of Reporting Manager: Name: Michael C. Neus Title: General Counsel Phone: 212-583-4000 Signature, Place, and Date of Signing:
/s/ Michael C. Neus New York, New York November 13, 2006 -------------------- ----------------------- ----------------- [Signature] [City, State] [Date]
Report Type (Check only one.):- [ ] 13F HOLDINGS REPORT.(Check here if all holdings of this reporting manager are reported in this report.) [ ] 13F NOTICE. (Check here if no holdings reported are in this report, and all holdings are reported by other reporting manager(s).) [X] 13F COMBINATION REPORT. (Check here if a portion of the holdings for this reporting manager are reported in this report and a portion are reported by other reporting manager(s).) Form 13F Summary Page Report Summary: Number of Other Included Managers: 1 ------------------ Form 13F Information Table Entry Total: 191 ------------------ Form 13F Information Table Value Total: $8,903,304 ------------------ (thousands) List of Other Included Managers: Provide a numbered list of the name(s) and Form 13F file number(s) of all institutional investment managers with respect to which this report is filed, other than the manager filing this report. NO. NAME ---------- -------------------------------- 1. Richard C. Perry.
Perry Corp Form 13F Information Table Quarter ended September 30, 2006 INVESTMENT DISCRETION VOTING AUTHORITY FAIR MARKET SHARES OR VALUE PRINCIPAL SH/ PUT/ SHARED SHARED OTHER ISSUER TITLE OF CUSIP (IN AMOUNT PRN CALL SOLE DEFINED OTHER MANAGERS SOLE SHARED NONE CLASS NUMBER THOUSANDS) ----------------------------------------------------------------------------------------------------------------------------------- 1-800 Contacts Inc. COMMON 681977104 $23,094 1,540,658 SH Shared 1 1,540,658 ----------------------------------------------------------------------------------------------------------------------------------- ABX Air Inc. COMMON 00080S101 $16,003 2,847,443 SH Shared 1 2,847,443 ----------------------------------------------------------------------------------------------------------------------------------- Accredited Home Lenders COMMON 00437P107 $10,782 300,000 SH Shared 1 300,000 ----------------------------------------------------------------------------------------------------------------------------------- Advance America Cash COMMON 00739W107 $30,869 2,140,700 SH Shared 1 2,140,700 Advance Centers Inc ----------------------------------------------------------------------------------------------------------------------------------- Advance Auto Parts COMMON 00751Y106 $91,270 2,770,810 SH Shared 1 2,770,810 ----------------------------------------------------------------------------------------------------------------------------------- Advo Inc. COMMON 007585102 $700 25,000 SH Shared 1 25,000 ----------------------------------------------------------------------------------------------------------------------------------- Aetna Inc. COMMON 00817Y108 $86,464 2,186,200 SH Shared 1 2,186,200 ----------------------------------------------------------------------------------------------------------------------------------- Affordable Residential Communities COMMON 008273104 $38,191 3,941,246 SH Shared 1 3,941,246 ----------------------------------------------------------------------------------------------------------------------------------- Agile Software Corp. COMMON 00846X105 $22,342 3,421,500 SH Shared 1 3,421,500 ----------------------------------------------------------------------------------------------------------------------------------- Aleris International Inc. COMMON 014477103 $14,146 279,900 SH Shared 1 279,900 ----------------------------------------------------------------------------------------------------------------------------------- Allegheny Energy Inc. COMMON 017361106 $15,590 388,100 SH Shared 1 388,100 ----------------------------------------------------------------------------------------------------------------------------------- Allegheny Technologies Inc. COMMON 01741R102 $138,445 2,226,165 SH Shared 1 2,226,165 ----------------------------------------------------------------------------------------------------------------------------------- Allied Healthcare International Inc. COMMON 01923A109 $2,686 1,349,510 SH Shared 1 1,349,510 ----------------------------------------------------------------------------------------------------------------------------------- Allied World Assurance Holdings SHS G0219G203 $15,441 382,200 SH Shared 1 382,200 ----------------------------------------------------------------------------------------------------------------------------------- Allstate Corp. COMMON 020002101 $19,446 310,000 SH Shared 1 310,000 ----------------------------------------------------------------------------------------------------------------------------------- Alphatec Holdings Inc. COMMON 02081G102 $1,408 250,000 SH Shared 1 250,000 ----------------------------------------------------------------------------------------------------------------------------------- Altiris Inc. COMMON 02148M100 $8,752 415,000 SH Shared 1 415,000 ----------------------------------------------------------------------------------------------------------------------------------- Altria Group Inc. COMMON 02209S103 $26,027 340,000 SH Shared 1 340,000 ----------------------------------------------------------------------------------------------------------------------------------- Amcomp Inc. COMMON 02342J101 $3,817 392,697 SH Shared 1 392,697 ----------------------------------------------------------------------------------------------------------------------------------- Amer Intl Group COMMON 026874107 $32,020 483,252 SH Shared 1 483,252 ----------------------------------------------------------------------------------------------------------------------------------- American Express COMMON 025816109 $3,457 61,637 SH Shared 1 61,637 ----------------------------------------------------------------------------------------------------------------------------------- Americredit Corp. COMMON 03060R101 $22,361 894,800 SH Shared 1 894,800 ----------------------------------------------------------------------------------------------------------------------------------- Ameriprise Financial Inc. COMMON 03076C106 $578 12,327 SH Shared 1 12,327 ----------------------------------------------------------------------------------------------------------------------------------- Andrx Corp. COMMON 034553107 $28,705 1,175,000 SH Shared 1 1,175,000 ----------------------------------------------------------------------------------------------------------------------------------- INVESTMENT DISCRETION VOTING AUTHORITY FAIR MARKET SHARES OR VALUE PRINCIPAL SH/ PUT/ SHARED SHARED OTHER ISSUER TITLE OF CUSIP (IN AMOUNT PRN CALL SOLE DEFINED OTHER MANAGERS SOLE SHARED NONE CLASS NUMBER THOUSANDS) ----------------------------------------------------------------------------------------------------------------------------------- Apollo Group Inc. COMMON 037604105 $6,395 130,000 SH Shared 1 130,000 ----------------------------------------------------------------------------------------------------------------------------------- Aspen Insurance Holdings Ltd SHS G05384105 $50,405 1,951,400 SH Shared 1 1,951,400 ----------------------------------------------------------------------------------------------------------------------------------- ATI Technologies COMMON 001941103 $12,924 602,500 SH Shared 1 602,500 ----------------------------------------------------------------------------------------------------------------------------------- Atmel Corp. COMMON 049513104 $16,203 2,682,613 SH Shared 1 2,682,613 ----------------------------------------------------------------------------------------------------------------------------------- Bio-Imaging Technologies Inc. COMMON 09056N103 $6,605 1,561,491 SH Shared 1 1,561,491 ----------------------------------------------------------------------------------------------------------------------------------- Bisys Group COMMON 055472104 $1,303 120,000 SH Shared 1 120,000 ----------------------------------------------------------------------------------------------------------------------------------- Borg-warner Automotive COMMON 099724106 $11,948 208,990 SH Shared 1 208,990 ----------------------------------------------------------------------------------------------------------------------------------- Borland Software COMMON 099849101 $2,860 500,000 SH Shared 1 500,000 ----------------------------------------------------------------------------------------------------------------------------------- BP PLC SPONSORED ADR 055622104 $12,914 196,914 SH Shared 1 196,914 ----------------------------------------------------------------------------------------------------------------------------------- Brookfield Homes Corp. COMMON 112723101 $7,581 269,200 SH Shared 1 269,200 ----------------------------------------------------------------------------------------------------------------------------------- Burlington Northern Santa Fe Corp. COMMON 12189T104 $5,809 79,100 SH Shared 1 79,100 ----------------------------------------------------------------------------------------------------------------------------------- Cameron International Corp. COMMON 13342B105 $1,006 20,818 SH Shared 1 20,818 ----------------------------------------------------------------------------------------------------------------------------------- Capital One Financial COMMON 14040H105 $107,450 1,366,000 SH Shared 1 1,366,000 ----------------------------------------------------------------------------------------------------------------------------------- Career Education Corp. COMMON 141665109 $6,525 290,000 SH Shared 1 290,000 ----------------------------------------------------------------------------------------------------------------------------------- Carpenter Technology COMMON 144285103 $156,277 1,453,600 SH Shared 1 1,453,600 ----------------------------------------------------------------------------------------------------------------------------------- Catapult Communications COMMON 149016107 $393 47,049 SH Shared 1 47,049 ----------------------------------------------------------------------------------------------------------------------------------- Cemex SAB De CV SPONSORED ADR 151290889 $32,010 1,064,168 SH Shared 1 1,064,168 ----------------------------------------------------------------------------------------------------------------------------------- Central Euro Distribution COMMON 153435102 $51,666 2,207,000 SH Shared 1 2,207,000 ----------------------------------------------------------------------------------------------------------------------------------- Chemed Corp. COMMON 16359R103 $38,970 1,208,000 SH Shared 1 1,208,000 ----------------------------------------------------------------------------------------------------------------------------------- Cheniere Energy Inc. COMMON 16411R208 $106,062 3,569,904 SH Shared 1 3,569,904 ----------------------------------------------------------------------------------------------------------------------------------- China Medical Med Technologies Inc. SPONSORED ADR 169483104 $67,476 2,916,000 SH Shared 1 2,916,000 ----------------------------------------------------------------------------------------------------------------------------------- Circuit City Store Inc. COMMON 172737108 $43,563 1,734,897 SH Shared 1 1,734,897 ----------------------------------------------------------------------------------------------------------------------------------- Cirrus Logic Inc. COMMON 172755100 $9,610 1,321,900 SH Shared 1 1,321,900 ----------------------------------------------------------------------------------------------------------------------------------- CKX Inc. COMMON 12562M106 $37,350 3,000,000 SH Shared 1 3,000,000 ----------------------------------------------------------------------------------------------------------------------------------- Clear Channel Communications COMMON 184502102 $122,747 4,254,655 SH Shared 1 4,254,655 ----------------------------------------------------------------------------------------------------------------------------------- CNET Networks Inc. COMMON 12613R104 $16,294 1,704,346 SH Shared 1 1,704,346 ----------------------------------------------------------------------------------------------------------------------------------- CNX Gas Corp. COMMON 12618H309 $6,349 274,000 SH Shared 1 274,000 ----------------------------------------------------------------------------------------------------------------------------------- Columbia Labs COMMON 197779101 $13,208 3,817,365 SH Shared 1 3,817,365 ----------------------------------------------------------------------------------------------------------------------------------- INVESTMENT DISCRETION VOTING AUTHORITY FAIR MARKET SHARES OR VALUE PRINCIPAL SH/ PUT/ SHARED SHARED OTHER ISSUER TITLE OF CUSIP (IN AMOUNT PRN CALL SOLE DEFINED OTHER MANAGERS SOLE SHARED NONE CLASS NUMBER THOUSANDS) ----------------------------------------------------------------------------------------------------------------------------------- Complete Production Services COMMON 20453E109 $14,069 712,700 SH Shared 1 712,700 ----------------------------------------------------------------------------------------------------------------------------------- ConocoPhillips COMMON 20825C104 $276,532 4,645,255 SH Shared 1 4,645,255 ----------------------------------------------------------------------------------------------------------------------------------- Conocophillips COMMON 20825C104 $47,624 800,000 SH CALL Shared 1 800,000 ----------------------------------------------------------------------------------------------------------------------------------- Constellation Energy Group COMMON 210371100 $120,484 2,035,200 SH Shared 1 2,035,200 ----------------------------------------------------------------------------------------------------------------------------------- Cowen Group Inc. COMMON 223621103 $13,201 835,000 SH Shared 1 835,000 ----------------------------------------------------------------------------------------------------------------------------------- Diamond Offshore Drilling Inc. COMMON 25271C102 $20,987 290,000 SH Shared 1 290,000 ----------------------------------------------------------------------------------------------------------------------------------- Digirad Corporation COMMON 253827109 $4,401 1,179,950 SH Shared 1 1,179,950 ----------------------------------------------------------------------------------------------------------------------------------- Digitas Inc. COMMON 25388K104 $30,771 3,198,700 SH Shared 1 3,198,700 ----------------------------------------------------------------------------------------------------------------------------------- DirecTV Group Inc. COMMON 25459L106 $1,734 88,100 SH PUT Shared 1 88,100 ----------------------------------------------------------------------------------------------------------------------------------- Double Hull Tankers Inc. COMMON Y21110104 $20,089 1,460,986 SH Shared 1 1,460,986 ----------------------------------------------------------------------------------------------------------------------------------- Dynamic Materials Corp. COMMON 267888105 $11,331 349,500 SH Shared 1 349,500 ----------------------------------------------------------------------------------------------------------------------------------- Emdeon Corp. COMMON 290849108 $104,789 8,948,653 SH Shared 1 8,948,653 ----------------------------------------------------------------------------------------------------------------------------------- Endurance Specialty Holdings Ltd SHS G30397106 $251,508 7,132,944 SH Shared 1 7,132,944 ----------------------------------------------------------------------------------------------------------------------------------- Energy Partners Ltd COMMON 29270U105 $6,254 253,700 SH Shared 1 253,700 ----------------------------------------------------------------------------------------------------------------------------------- Epiq Systems Inc. COMMON 26882D109 $662 45,000 SH Shared 1 45,000 ----------------------------------------------------------------------------------------------------------------------------------- Everest Re Group Ltd COMMON G3223R108 $4,877 50,000 SH Shared 1 50,000 ----------------------------------------------------------------------------------------------------------------------------------- Fidelity National Financial Inc. COMMON 316326107 $237,941 5,712,875 SH Shared 1 5,712,875 ----------------------------------------------------------------------------------------------------------------------------------- Fidelity National Information Services COMMON 31620M106 $46,198 1,248,600 SH Shared 1 1,248,600 ----------------------------------------------------------------------------------------------------------------------------------- Fieldstone Investment Corp. COMMON 31659U300 $4,972 569,507 SH Shared 1 569,507 ----------------------------------------------------------------------------------------------------------------------------------- First Data Corp. COMMON 319963104 $22,147 527,300 SH Shared 1 527,300 ----------------------------------------------------------------------------------------------------------------------------------- Foundation Coal Holdings Inc. COMMON 35039W100 $22,361 690,800 SH Shared 1 690,800 ----------------------------------------------------------------------------------------------------------------------------------- General Dynamics COMMON 369550108 $28,428 396,655 SH Shared 1 396,655 ----------------------------------------------------------------------------------------------------------------------------------- GMarket Inc. SPONSORED ADR 38012G100 $1,091 75,000 SH Shared 1 75,000 ----------------------------------------------------------------------------------------------------------------------------------- Gold Kist Inc. COMMON 380614107 $18,679 896,300 SH Shared 1 896,300 ----------------------------------------------------------------------------------------------------------------------------------- Grubb & Ellis Co. COMMON 400095204 $9,187 950,000 SH Shared 1 950,000 ----------------------------------------------------------------------------------------------------------------------------------- GSI Commerce Inc. COMMON 36238G102 $11,568 779,500 SH Shared 1 779,500 ----------------------------------------------------------------------------------------------------------------------------------- Harbor Global COMMON G4285W100 $3,061 277,979 SH Shared 1 277,979 ----------------------------------------------------------------------------------------------------------------------------------- HCA Inc. COMMON 404119109 $48,643 975,000 SH Shared 1 975,000 ----------------------------------------------------------------------------------------------------------------------------------- INVESTMENT DISCRETION VOTING AUTHORITY FAIR MARKET SHARES OR VALUE PRINCIPAL SH/ PUT/ SHARED SHARED OTHER ISSUER TITLE OF CUSIP (IN AMOUNT PRN CALL SOLE DEFINED OTHER MANAGERS SOLE SHARED NONE CLASS NUMBER THOUSANDS) ----------------------------------------------------------------------------------------------------------------------------------- Healthspring COMMON 42224N101 $94,806 4,925,000 SH Shared 1 4,925,000 ----------------------------------------------------------------------------------------------------------------------------------- Healthtronics Inc. COMMON 42222L107 $7,791 1,262,717 SH Shared 1 1,262,717 ----------------------------------------------------------------------------------------------------------------------------------- Helix Energy Solutions Group COMMON 42330P107 $58,450 1,750,000 SH Shared 1 1,750,000 ----------------------------------------------------------------------------------------------------------------------------------- Hexcel Corp. COMMON 428291108 $27,055 1,912,042 SH Shared 1 1,912,042 ----------------------------------------------------------------------------------------------------------------------------------- Holly Energy Partners COM UT LTN 435763107 $6,600 174,800 SH Shared 1 174,800 PTN ----------------------------------------------------------------------------------------------------------------------------------- Hospira Inc. COMMON 441060100 $131,075 3,425,000 SH Shared 1 3,425,000 ----------------------------------------------------------------------------------------------------------------------------------- Hot Topic Inc. COMMON 441339108 $5,013 450,000 SH Shared 1 450,000 ----------------------------------------------------------------------------------------------------------------------------------- Hudson Highland Group COMMON 443792106 $22,183 2,263,532 SH Shared 1 2,263,532 ----------------------------------------------------------------------------------------------------------------------------------- Hypercom Corp. COMMON 44913M105 $21,991 3,243,459 SH Shared 1 3,243,459 ----------------------------------------------------------------------------------------------------------------------------------- ICO Global Comm Holdings COMMON 44930K108 $9,469 1,618,629 SH Shared 1 1,618,629 ----------------------------------------------------------------------------------------------------------------------------------- Inco Ltd COMMON 453258402 $99,077 1,300,000 SH Shared 1 1,300,000 ----------------------------------------------------------------------------------------------------------------------------------- Infrasource Services Inc. COMMON 45684P102 $4,865 277,200 SH Shared 1 277,200 ----------------------------------------------------------------------------------------------------------------------------------- Integrated Device Technology COMMON 458118106 $172,941 10,768,453 SH Shared 1 10,768,453 ----------------------------------------------------------------------------------------------------------------------------------- Inverness Medical Innovations Inc. COMMON 46126P106 $25,685 738,924 SH Shared 1 738,924 ----------------------------------------------------------------------------------------------------------------------------------- Invitrogen Corp. COMMON 46185R100 $336,073 5,300,000 SH Shared 1 5,300,000 ----------------------------------------------------------------------------------------------------------------------------------- Ionatron Inc. COMMON 462070103 $2,006 417,100 SH Shared 1 417,100 ----------------------------------------------------------------------------------------------------------------------------------- IPC Holdings Ltd ORD G4933P101 $64,117 2,107,734 SH Shared 1 2,107,734 ----------------------------------------------------------------------------------------------------------------------------------- Ishares TR RUSSELL 2000 464287655 $351,360 4,880,000 SH PUT Shared 1 4,880,000 ----------------------------------------------------------------------------------------------------------------------------------- I-trax Inc. COMMON 45069D203 $3,845 1,368,374 SH Shared 1 1,368,374 ----------------------------------------------------------------------------------------------------------------------------------- Ixia COMMON 45071R109 $9,788 1,098,500 SH Shared 1 1,098,500 ----------------------------------------------------------------------------------------------------------------------------------- Johnson & Johnson COMMON 478160104 $94,904 1,461,412 SH Shared 1 1,461,412 ----------------------------------------------------------------------------------------------------------------------------------- Jupitermedia Corp. COMMON 48207D101 $3,031 350,000 SH Shared 1 350,000 ----------------------------------------------------------------------------------------------------------------------------------- Legg Mason, Inc. COMMON 524901105 $60,203 596,900 SH Shared 1 596,900 ----------------------------------------------------------------------------------------------------------------------------------- Lionbridge Technologies COMMON 536252109 $32,639 4,277,700 SH Shared 1 4,277,700 ----------------------------------------------------------------------------------------------------------------------------------- M/I Homes Inc. COMMON 55305B101 $27,078 766,000 SH Shared 1 766,000 ----------------------------------------------------------------------------------------------------------------------------------- Magma Design Automation, Inc COMMON 559181102 $8,644 949,865 SH Shared 1 949,865 ----------------------------------------------------------------------------------------------------------------------------------- Marchex Inc. CL B 56624R108 $16,497 1,075,425 SH Shared 1 1,075,425 ----------------------------------------------------------------------------------------------------------------------------------- Martin Marietta Materials Inc. COMMON 573284106 $24,540 290,000 SH Shared 1 290,000 ----------------------------------------------------------------------------------------------------------------------------------- INVESTMENT DISCRETION VOTING AUTHORITY FAIR MARKET SHARES OR VALUE PRINCIPAL SH/ PUT/ SHARED SHARED OTHER ISSUER TITLE OF CUSIP (IN AMOUNT PRN CALL SOLE DEFINED OTHER MANAGERS SOLE SHARED NONE CLASS NUMBER THOUSANDS) ----------------------------------------------------------------------------------------------------------------------------------- Marvell Technology Group Ltd. ORD G5876H105 $3,235 167,000 SH Shared 1 167,000 ----------------------------------------------------------------------------------------------------------------------------------- MasterCard Inc. COMMON 57636Q104 $37,637 535,000 SH PUT Shared 1 535,000 ----------------------------------------------------------------------------------------------------------------------------------- McAfee Inc. COMMON 579064106 $23,362 955,100 SH Shared 1 955,100 ----------------------------------------------------------------------------------------------------------------------------------- McData Corp. CL A 580031201 $9,155 1,820,000 SH Shared 1 1,820,000 ----------------------------------------------------------------------------------------------------------------------------------- McData Corp. CL B 580031102 $9,065 1,850,000 SH Shared 1 1,850,000 ----------------------------------------------------------------------------------------------------------------------------------- Mercury Interactive COMMON 589405109 $184,942 3,592,500 SH Shared 1 3,592,500 ----------------------------------------------------------------------------------------------------------------------------------- Michaels Stores Inc. COMMON 594087108 $21,770 500,000 SH Shared 1 500,000 ----------------------------------------------------------------------------------------------------------------------------------- Microsoft Corp. COMMON 594918104 $323,860 11,850,000 SH Shared 1 11,850,000 ----------------------------------------------------------------------------------------------------------------------------------- Mindray Medical SPONSORE International D ADR 602675100 $2,504 150,000 SH Shared 1 150,000 ----------------------------------------------------------------------------------------------------------------------------------- Monogram Biosciences Inc. COMMON 60975U108 $37,091 24,242,516 SH Shared 1 24,242,516 ----------------------------------------------------------------------------------------------------------------------------------- Montpelier Re Holdings Ltd SHS G62185106 $22,417 1,156,100 SH Shared 1 1,156,100 ----------------------------------------------------------------------------------------------------------------------------------- Move Inc. COMMON 62458M108 $10,017 2,040,200 SH Shared 1 2,040,200 ----------------------------------------------------------------------------------------------------------------------------------- MSC. Software Corp. COMMON 553531104 $18,988 1,233,000 SH Shared 1 1,233,000 ----------------------------------------------------------------------------------------------------------------------------------- M-Systems Ltd SHS M7061C100 $11,267 280,000 SH Shared 1 280,000 ----------------------------------------------------------------------------------------------------------------------------------- Nasdaq Stock Market Inc. COMMON 631103108 $196,560 6,500,000 SH Shared 1 6,500,000 ----------------------------------------------------------------------------------------------------------------------------------- NationsHealth *W EXP 63860C118 $751 397,200 SH Shared 1 397,200 08/24/2007 ----------------------------------------------------------------------------------------------------------------------------------- NCO Group COMMON 628858102 $18,244 695,000 SH Shared 1 695,000 ----------------------------------------------------------------------------------------------------------------------------------- News Corp. CL A 65248E104 $566,114 28,809,861 SH Shared 1 28,809,861 ----------------------------------------------------------------------------------------------------------------------------------- NRG Energy Inc. COMMON 629377508 $50,614 1,117,300 SH Shared 1 1,117,300 ----------------------------------------------------------------------------------------------------------------------------------- NTL Inc. COMMON 62941W101 $38,145 1,500,000 SH Shared 1 1,500,000 ----------------------------------------------------------------------------------------------------------------------------------- NTL Inc. *W EXP 62941W119 $1,300 51,118 SH Shared 1 51,118 01/10/2011 ----------------------------------------------------------------------------------------------------------------------------------- Ocwen Financial Corp. COMMON 675746309 $53,847 3,613,888 SH Shared 1 3,613,888 ----------------------------------------------------------------------------------------------------------------------------------- Office Depot COMMON 676220106 $59,054 1,487,504 SH Shared 1 1,487,504 ----------------------------------------------------------------------------------------------------------------------------------- Omnicell Inc COMMON 68213N109 $23,339 1,304,606 SH Shared 1 1,304,606 ----------------------------------------------------------------------------------------------------------------------------------- Omniture Inc. COMMON 68212S109 $6,597 836,100 SH Shared 1 836,100 ----------------------------------------------------------------------------------------------------------------------------------- Orient Express Hotels CL A G67743107 $46,725 1,250,000 SH Shared 1 1,250,000 ----------------------------------------------------------------------------------------------------------------------------------- Origen Financial Inc. COMMON 68619E208 $1,621 285,907 SH Shared 1 285,907 ----------------------------------------------------------------------------------------------------------------------------------- Partner Re LTD COMMON G6852T105 $43,468 643,300 SH Shared 1 643,300 ----------------------------------------------------------------------------------------------------------------------------------- Pegasystems Inc. COMMON 705573103 $22,382 2,563,775 SH Shared 1 2,563,775 ----------------------------------------------------------------------------------------------------------------------------------- Perkinelmer Inc. COMMON 714046109 $64,731 3,419,500 SH Shared 1 3,419,500 ----------------------------------------------------------------------------------------------------------------------------------- INVESTMENT DISCRETION VOTING AUTHORITY FAIR MARKET SHARES OR VALUE PRINCIPAL SH/ PUT/ SHARED SHARED OTHER ISSUER TITLE OF CUSIP (IN AMOUNT PRN CALL SOLE DEFINED OTHER MANAGERS SOLE SHARED NONE CLASS NUMBER THOUSANDS) ----------------------------------------------------------------------------------------------------------------------------------- Plains Exploration & Production Co. COMMON 726505100 $21,455 500,000 SH Shared 1 500,000 ----------------------------------------------------------------------------------------------------------------------------------- Platinum Underwriters HLDGS COMMON G7127P100 $146,170 4,741,148 SH Shared 1 4,741,148 ----------------------------------------------------------------------------------------------------------------------------------- PXRE Group Ltd COMMON G73018106 $10,533 2,556,500 SH Shared 1 2,556,500 ----------------------------------------------------------------------------------------------------------------------------------- Quest Software Inc. COMMON 74834T103 $17,838 1,250,000 SH Shared 1 1,250,000 ----------------------------------------------------------------------------------------------------------------------------------- Questar Corp. COMMON 748356102 $27,802 340,000 SH Shared 1 340,000 ----------------------------------------------------------------------------------------------------------------------------------- Range Resources Corp. COMMON 75281A109 $6,232 246,900 SH Shared 1 246,900 ----------------------------------------------------------------------------------------------------------------------------------- Rite Aid Corp. COMMON 767754104 $26,629 5,865,451 SH Shared 1 5,865,451 ----------------------------------------------------------------------------------------------------------------------------------- Scottish Re Group Limited SHS G73537410 $40,062 3,685,600 SH Shared 1 3,685,600 ----------------------------------------------------------------------------------------------------------------------------------- Sears Holdings Corp. COMMON 812350106 $420,828 2,661,952 SH Shared 1 2,661,952 ----------------------------------------------------------------------------------------------------------------------------------- Security Capital Assurance COMMON G8018D107 $20,183 842,700 SH Shared 1 842,700 ----------------------------------------------------------------------------------------------------------------------------------- Shaw Group Inc. COMMON 820280105 $30,732 1,300,000 SH Shared 1 1,300,000 ----------------------------------------------------------------------------------------------------------------------------------- Sirna Therapeutics Inc. COMMON 829669100 $2,582 463,500 SH Shared 1 463,500 ----------------------------------------------------------------------------------------------------------------------------------- Sprint Nextel Corp. COMMON 852061100 $28,262 1,647,913 SH Shared 1 1,647,913 ----------------------------------------------------------------------------------------------------------------------------------- Station Casinos Inc. COMMON 857689103 $62,260 1,076,600 SH Shared 1 1,076,600 ----------------------------------------------------------------------------------------------------------------------------------- Stone Energy Corp. COMMON 861642106 $21,252 525,000 SH Shared 1 525,000 ----------------------------------------------------------------------------------------------------------------------------------- Sun-Times Media Group Inc. COMMON 86688Q100 $8,346 1,268,407 SH Shared 1 1,268,407 ----------------------------------------------------------------------------------------------------------------------------------- Supportsoft Inc. COMMON 868587106 $857 196,966 SH Shared 1 196,966 ----------------------------------------------------------------------------------------------------------------------------------- Symantec Corp. COMMON 871503108 $16,558 778,101 SH Shared 1 778,101 ----------------------------------------------------------------------------------------------------------------------------------- Synaptics Inc. COMMON 87157D109 $244 10,000 SH Shared 1 10,000 ----------------------------------------------------------------------------------------------------------------------------------- Tekelec COMMON 879101103 $10,906 842,800 SH Shared 1 842,800 ----------------------------------------------------------------------------------------------------------------------------------- Terra Industries Inc. COMMON 880915103 $12,519 1,623,700 SH Shared 1 1,623,700 ----------------------------------------------------------------------------------------------------------------------------------- Threshold Pharmaceuticals Inc. COMMON 885807107 $7,875 3,064,306 SH Shared 1 3,064,306 ----------------------------------------------------------------------------------------------------------------------------------- Tibco Software Inc. COMMON 88632Q103 $134 15,000 SH Shared 1 15,000 ----------------------------------------------------------------------------------------------------------------------------------- Time Warner Inc. COMMON 887317105 $4,291 235,400 SH Shared 1 235,400 ----------------------------------------------------------------------------------------------------------------------------------- Trident Microsystems COMMON 895919108 $9,352 402,057 SH Shared 1 402,057 ----------------------------------------------------------------------------------------------------------------------------------- Trimeris Inc. COMMON 896263100 $19,373 2,201,442 SH Shared 1 2,201,442 ----------------------------------------------------------------------------------------------------------------------------------- TXU Corp. COMMON 873168108 $28,659 458,400 SH Shared 1 458,400 ----------------------------------------------------------------------------------------------------------------------------------- Union Pacific Inc. COMMON 907818108 $36,743 417,536 SH Shared 1 417,536 ----------------------------------------------------------------------------------------------------------------------------------- Unisys Corp. COMMON 909214108 $6,226 1,100,000 SH Shared 1 1,100,000 ----------------------------------------------------------------------------------------------------------------------------------- United States Steel Corp. COMMON 912909108 $51,912 900,000 SH CALL Shared 1 900,000 ----------------------------------------------------------------------------------------------------------------------------------- INVESTMENT DISCRETION VOTING AUTHORITY FAIR MARKET SHARES OR VALUE PRINCIPAL SH/ PUT/ SHARED SHARED OTHER ISSUER TITLE OF CUSIP (IN AMOUNT PRN CALL SOLE DEFINED OTHER MANAGERS SOLE SHARED NONE CLASS NUMBER THOUSANDS) ----------------------------------------------------------------------------------------------------------------------------------- Unitedhealth Group Inc. COMMON 91324P102 $322,511 6,555,100 SH Shared 1 6,555,100 ----------------------------------------------------------------------------------------------------------------------------------- Universal American Financial Corp. COMMON 913377107 $93,535 5,820,500 SH Shared 1 5,820,500 ----------------------------------------------------------------------------------------------------------------------------------- Univision Communications CL A 914906102 $43,107 1,255,300 SH Shared 1 1,255,300 ----------------------------------------------------------------------------------------------------------------------------------- US Airways Group, Inc. COMMON 90341W108 $66,495 1,500,000 SH Shared 1 1,500,000 ----------------------------------------------------------------------------------------------------------------------------------- USI Holdings Corp. COMMON 90333H101 $4,895 362,300 SH Shared 1 362,300 ----------------------------------------------------------------------------------------------------------------------------------- Verigy Ltd SHS Y93691106 $4,309 265,000 SH Shared 1 265,000 ----------------------------------------------------------------------------------------------------------------------------------- Verint Systems Inc. COMMON 92343X100 $9,460 314,810 SH Shared 1 314,810 ----------------------------------------------------------------------------------------------------------------------------------- Verisign Inc. COMMON 92343E102 $79,386 3,930,000 SH Shared 1 3,930,000 ----------------------------------------------------------------------------------------------------------------------------------- Verisign Inc. COMMON 92343E102 $36,360 1,800,000 SH PUT Shared 1 1,800,000 ----------------------------------------------------------------------------------------------------------------------------------- Viropharma Inc. COMMON 928241108 $13,458 1,105,840 SH Shared 1 1,105,840 ----------------------------------------------------------------------------------------------------------------------------------- Vistacare Inc. CL A 92839Y109 $21,853 2,101,209 SH Shared 1 2,101,209 ----------------------------------------------------------------------------------------------------------------------------------- Volcano Corp. COMMON 928645100 $4,478 389,690 SH Shared 1 389,690 ----------------------------------------------------------------------------------------------------------------------------------- Warner Chilcott Ltd COMMON G9435N108 $47,880 3,600,000 SH Shared 1 3,600,000 ----------------------------------------------------------------------------------------------------------------------------------- WCI Communities Inc. COMMON 92923C104 $21,402 1,227,200 SH Shared 1 1,227,200 ----------------------------------------------------------------------------------------------------------------------------------- Weatherford International COMMON G95089101 $29,413 705,000 SH Shared 1 705,000 ----------------------------------------------------------------------------------------------------------------------------------- Wellcare Health Plans Inc. COMMON 94946T106 $56,330 994,700 SH Shared 1 994,700 ----------------------------------------------------------------------------------------------------------------------------------- Wells Fargo & Co COMMON 949746101 $65,720 1,816,480 SH Shared 1 1,816,480 ----------------------------------------------------------------------------------------------------------------------------------- Wells Fargo & Co. COMMON 949746101 $54,270 1,500,000 SH PUT Shared 1 1,500,000 ----------------------------------------------------------------------------------------------------------------------------------- Whirlpool Corp. COMMON 963320106 $19,345 230,000 SH Shared 1 230,000 ----------------------------------------------------------------------------------------------------------------------------------- Williams Cos Inc. COMMON 969457100 $93,052 3,898,300 SH Shared 1 3,898,300 ----------------------------------------------------------------------------------------------------------------------------------- Williams Partners LP COM UNIT LP 96950F104 $10,827 300,000 SH Shared 1 300,000 ----------------------------------------------------------------------------------------------------------------------------------- XL Capital Ltd CL A G98255105 $36,753 534,972 SH Shared 1 534,972 ----------------------------------------------------------------------------------------------------------------------------------- Yahoo Inc. COMMON 984332106 $53,036 2,096,300 SH Shared 1 2,096,300 ----------------------------------------------------------------------------------------------------------------------------------- Total Fair Market Value $8,903,304 (in thousands)