Frederic Block

COMMON STOCK

ALLIED CAPITALCORP. — Int/Div

AMERICA MOVIL SER L ADR(1) — Int/Div — buy

CITIGROUP INC.(D) — Interest — buy

FLEETBOSTON FINL CORP — Int/Div — sell

DNP SELECT INCOME FD INC — Int/Div

DOW CHEMICAL — Int/Div

DOWCHEMICAL(]) — Int/Div

GEORGIA PACIFIC CORP.(1) — Int/Div — buy

INTERNET HOLDERS DEP RCPT(1) — Int/Div — buy

ITTINDS INC INDIANA(1) — Int/Div — buy

LYONDELL CHEMICAL PV(1) — Int/Div — buy

NORTHFORK BANCORP (1) — Int/Div

PRUDENTIAL FINANCIAL INC — Int/Div

GENERAL ELECTRIC (1) — Int/Div

CHEVRONTEXACO CORP.(I) — Int/Div

HOME DEPOT — Int/Div

DNP SELECT INCOME FD INC.(1 — Int/Div

WAL-MART STORES — Int/Div

PROCTOR & GAMBLE — Int/Div

EXXON MOBIL CORP. — Int/Div

MICROSOFT CORP. — Int/Div

NORTH FORK BANCORP. — Int/Div

WASHINGTON MUTUAL INC.(1 — Int/Div — buy

MUTUAL FUNDS

BLACKROCK INCM TR INC.(1) — Int/Div

VAN KMPN SENIOR TR(1) — Int/Div — sell

BLACKROCK INCM TR INC — Int/Div

BLACKROCK NY MN I TR SBI — Int/Div

EATON VANCE TAX ADVANTAGE DIV. INC FD. — Int/Div — buy

VAN KMPN SENIOR INCM TR — Int/Div — sell

CORPORATE BONDS

ACE LIMITED DEP SHR REP 1/10 CUM RED 7.8% SER C(1) — Interest

KIMCO REALTY CORP. DEP SHR REP 1/10 CUM RD 6.65% PFD SHR(1) — Interest

CITIGROUP CAPITAL VIII DEF INT TRUST PFD STK 6.950% 09/15/31 — Interest

GENERAL MOTORS ACEP CORP.PUBLIC INC NOTES 7.35% 08/08/32 — Interest

GENERAL ELECTRIC CAPTL SENIOR NOTES PFD 5.875% 2/18/33 — Interest

GENERAL ELECTRIC CAPTL SENIOR NOTES PFD 5.875% 2/18/33 (1) — Interest

VIRGINIA POWER CAP TR IGTD TR PFD SECS 7.375% 07/30/42 — Int/Div

CITIGP CAPITAL VIII DEF INT TRUST PFD STK 6.950% 09/15/31(1) — Interest

GENERAL MOTORS ACEP CORP. PUBLIC INC NTS 7.35% 08/08/32(1) — Interest

VIRGINIA POWER CAP TR 1 GTD TR PFD SECS 7.375% 07/30/42(1) — Int/Div

MUNICIPAL BONDS

METRO TRANSIT 5.75 7/13 — Interest

NYC IND DEV 6.0 1/15 — Interest

NYCNY SER H 5.00 03/15/29(1) — Interest

NYS URBAN DEV. 5.37501/01/25(1) — Interest

ANNUITIES

HARTFORD DIRECTOR(1) — None

PRU DISC SELECT — None

MONEY MARKET

MERRILL LYNCH BANK USA(1) — Interest

MERRILL LYNCH BANK & TRUST(1) — Interest

MERRILL LYNCH BANK USA — Interest

MERRILL LYNCH BANK & TRUST — None

ALGER CAPITAL APPRECIATION CI.B (4) — None

SELIGMAN COMM. & INF.FDCL A (4) — None

IRA -F. BLOCK

COMMON STOCK

ALLIED CAPITAL CORP. NEW — Int/Div

BELL SOUTH CORP. — Int/Div — buy

CITIGROUP INC — Int/Div — buy

DOW CHEMICAL — Int/Div — part.sell

EASTMAN KODAK — Int/Div — buy

EATON VANCE TAX ADVT DIV. INC. FD — Distribution — buy

ENTERGY CORP. NEW — Int/Div — sell

DNP SELECT INCOME FD INC — Int/Div

COHEN & STEERS PREMIUM RPF INCOME . REALTY FD INC. — Int/Div — sell

ISHARES TRUST DOW JONES SELECT DIVID nh INDEX FD Lo . — Int/Div

ISHARES IBB — None — buy

ISHARES IYC — None — buy

ISHARES [YK — None — buy

ISHARES IYE — None — buy

ISHARES IYH — None — buy

LYONDELL CHEMICAL PV — Int/Div — buy

NEWCASTLE INVESTMENT CRP REITS DIVERS. — Int/Div — buy

NICHOLAS APPLEGATE CONV. AND INC. FD — None — buy

OIL SVC HLDRS DEP RCPT — Int/Div — buy

RYDEX ETF TRUST INDEX FD. — Int/Div — buy

SOUTHERN CO. — Int/Div — sell

WORTINGTON INDUSTRIES OHIO — Int/Div — buy

CORPORATE BONDS

ALABAMA POWER CO. CUM PERP & CALL PFD 5.2% — Interest

GEORGIA PWR CAP TRUST V DEF INT TR PFD 7.125% 03/31/42 — Interest

GENERAL ELECTRIC CAPTL SENIOR NOTES PFD STK 5.875% 2/18/33 — Interest

MERRILL LYNCH & CO SRUS SER MLNP 4.15 -” 10/4/11 — Interest — buy

MORGAN STANLEY CAP TR V DEF INT TR .. PFDS5.75% 7/15/33 — Interest

NEWSCORP OVERSEAS LTD PFR SHR PFD CUM GTD SER A 8.625% — Interest — redeemed

AT&T CORP. BONDS — Interest — sell

ENCANA CORP. PFD STK 9.5% — Interest — sell

LEHMAN BROS CAP TRUST I DEF INT TR ORIG PFD 8.00% 03/31/48 : — Interest — redeemed

NM GENERAL MTRS ACCPT BE 11DEC02 15DEC05 — None — sell

HERTZ CORP. NOTES 7.4% 03/0111 — Interest

BEAR STEARNS CO. PRD STK 5.490% — Int/Div

FREDDIEMAC PFD NON-CUM STOCK 5.00% — Int/Div

INTL PAPER CAP TST II DEF INT QTR INC CAP SEC 7.875% 12/38 — Interest — sell

AETNA INC. SR NOTES 8.5% 08/31/41 — Interest

PENNELEC CAPITAL TR DEF INT RE ORIG ©" PFD SECS 7.34% 09/01/39 — Interest — sell

VIACOM INC SR RETAIL DEB 7.25% 06/30/51 — Interest

CITIGROUP CAPITAL VIII DEF INT TR PFD STK 6.95% 09/15/31 — Interest

WELLS FARGO TR VITRUST PFD SEC 6.95% 04/15/32 — Interest — part.sell

GENERAL MOTORS ACEP CORP. PUBLIC INC NOTES 7.35% 08/08/32 : — Interest — sell

VERIZON NEW ENGLAND SR NOTES 7% 5/15/42 — Interest — buy

VIRGINIA POWER CAP TR II GTD TR PFD SECS 7.375% 07/30/42 3 — Interest

VORNADO REALTY TRUST SER.F CUM PFD . SHS 6.75% PERP. — None — buy

MUTUAL FUNDS

BLACKROCK INCM TR INC — Int/Div

EVERGREEN MANAGED INCOME FUND — Int/Div

FRANKLIN RISING DIV. FD CL C — Int/Div — buy

HANCOCK JOHN INC. ST SBI — Int/Div

MLGLOBAL ALLOCATION C — Int/Div — buy

MFS GOVT MKTS INC. TR SBI — Int/Div

MFS INTER INCM TR SBI — Int/Div

VAN KMPN SENIOR INCM TR — Int/Div — sell

MONEY MARKETS

MERRILL LYNCH BANK USA RASP — Interest

MISCELLANEOUS

BANK OF SMITHOWN — Interest

WASHINGTON MUTUAL — Interest

Officer, Frederic Block, P.C

Agreement — o ORE Ted ARETE BRANT “3 - Ged = [=] =4 [3]

Income — 1. — JOM, IL O92 1. Jes

Spouse's income — 2004 — NEW YORK TEACHERS' RETIREMENT

(Indicate part of Report.)