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 811-568
The Value Line Fund, Inc.
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(Exact name of registrant as specified in charter)
220 East 42nd Street, New York, NY 10017
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David T. Henigson
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(Name and address of agent for service)
Registrant's telephone number, including area code: 212-907-1500
Date of fiscal year end: December 31, 2006
Date of reporting period: September 30, 2006
Item 1: Schedule of Investments.
A copy of Schedule of Investments for the period ended 9/30/06 is included
with this Form.
The Value Line Fund, Inc.
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Schedule of Investments (unaudited) September 30, 2006
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Shares Value
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COMMON STOCKS (97.2%)
AEROSPACE/DEFENSE (0.8%)
18,000 Lockheed Martin Corp. $ 1,549,080
AIR TRANSPORT (2.4%)
61,000 Continental Airlines, Inc. Class B* 1,726,910
183,000 Midwest Air Group, Inc. * 1,442,040
89,000 Southwest Airlines Co. 1,482,740
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4,651,690
APPAREL (0.9%)
37,000 Guess?, Inc. * 1,795,610
BANK (1.7%)
37,000 JPMorgan Chase & Co. 1,737,520
53,000 Synovus Financial Corp. 1,556,610
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3,294,130
BANK - MIDWEST (0.7%)
27,000 Hancock Holding Co. 1,445,850
BEVERAGE - SOFT DRINK (0.8%)
50,000 Hansen Natural Corp. * 1,624,000
BIOTECHNOLOGY (0.8%)
22,000 Amgen, Inc. * 1,573,660
CABLE TV (2.3%)
31,000 Comcast Corp. Class A* 1,141,110
166,000 DIRECTV Group, Inc. (The) * 3,266,880
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4,407,990
CHEMICAL - SPECIALTY (1.6%)
100,000 Hercules, Inc. * 1,577,000
28,000 Sherwin-Williams Co. (The) 1,561,840
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3,138,840
COMPUTER & PERIPHERALS (1.1%)
61,000 Hewlett-Packard Co. 2,238,090
COMPUTER SOFTWARE & SERVICES (6.7%)
58,000 BMC Software, Inc. * 1,578,760
26,000 Cognizant Technology Solutions Corp. Class A * 1,925,560
36,000 Infosys Technologies Ltd. ADR 1,718,280
76,000 Jack Henry & Associates, Inc. 1,654,520
152,000 Oracle Corp. * 2,696,480
46,000 Paychex, Inc. 1,695,100
32,000 SEI Investments Co. 1,798,080
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13,066,780
DIVERSIFIED COMPANIES (4.2%)
37,000 Acuity Brands, Inc. 1,679,800
39,000 Honeywell International, Inc. 1,595,100
105,000 Kadant, Inc. * 2,578,800
58,000 McDermott International, Inc. * 2,424,400
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8,278,100
DRUG (3.9%)
23,000 Covance, Inc. * 1,526,740
65,000 Immucor, Inc. * 1,456,650
111,000 LifeCell Corp. * 3,576,420
50,000 Schering-Plough Corp. 1,104,500
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7,664,310
E-COMMERCE (2.4%)
93,000 Akamai Technologies, Inc. * 4,649,070
EDUCATIONAL SERVICES (0.7%)
40,000 PAREXEL International Corp. * 1,323,600
ELECTRICAL EQUIPMENT (3.1%)
43,000 Belden CDT, Inc. 1,643,890
32,000 Garmin Ltd. 1,560,960
47,000 General Cable Corp. * 1,795,870
23,000 Trimble Navigation Ltd. * 1,082,840
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6,083,560
ELECTRICAL UTILITY - CENTRAL (0.8%)
25,000 TXU Corp. 1,563,000
ELECTRICAL UTILITY - EAST (0.5%)
25,000 Allegheny Energy, Inc. * 1,004,250
ELECTRONICS (4.4%)
76,500 Benchmark Electronics, Inc. * 2,056,320
160,000 KEMET Corp. * 1,291,200
45,000 Molex, Inc. 1,753,650
115,000 Technitrol, Inc. 3,432,750
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8,533,920
ENTERTAINMENT (1.6%)
100,000 Walt Disney Co. (The) 3,091,000
FINANCIAL SERVICES - DIVERSIFIED (0.8%)
42,000 CNA Financial Corp. * 1,512,840
FOOD PROCESSING (1.3%)
68,000 Archer-Daniels-Midland Co. 2,575,840
FURNITURE/HOME FURNISHINGS (2.5%)
155,000 Kimball International, Inc. Class B 2,991,500
114,000 Tempur-Pedic International, Inc. * 1,957,380
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4,948,880
HEALTH CARE INFORMATION SYSTEMS (0.8%)
133,000 Emdeon Corp. * 1,557,430
HUMAN RESOURCES (1.5%)
107,000 Kelly Services, Inc. Class A 2,932,870
INDUSTRIAL SERVICES (2.8%)
54,000 Amdocs Ltd. * 2,138,400
100,000 Quanta Services, Inc. * 1,686,000
100,000 TeleTech Holdings, Inc. * 1,563,000
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5,387,400
INFORMATION SERVICES (2.2%)
119,000 Gartner, Inc. * 2,093,210
55,000 Thomson Corp. (The) 2,216,500
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4,309,710
The Value Line Fund, Inc.
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September 30, 2006
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Shares Value
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MACHINERY (1.9%)
64,000 Gardner Denver, Inc. * $ 2,117,120
34,000 Manitowoc Company, Inc. (The) 1,522,860
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3,639,980
MEDICAL SERVICES (0.8%)
23,000 Humana, Inc. * 1,520,070
MEDICAL SUPPLIES (3.0%)
31,000 Digene Corp. * 1,337,650
90,000 Illumina, Inc. * 2,973,600
32,000 Stryker Corp. 1,586,880
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5,898,130
METALS & MINING DIVERSIFIED (2.7%)
31,000 Alcan, Inc. 1,235,970
17,000 Allegheny Technologies, Inc. 1,057,230
120,000 Brush Engineered Materials, Inc. * 2,984,400
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5,277,600
NATURAL GAS - DISTRIBUTION (0.7%)
55,000 Southern Union Co. 1,452,550
NATURAL GAS - DIVERSIFIED (0.7%)
100,000 El Paso Corp. 1,364,000
NEWSPAPER (1.1%)
105,000 News Corp. Class B 2,167,200
OFFICE EQUIPMENT & SUPPLIES (0.6%)
79,000 Xerox Corp. * 1,229,240
OILFIELD SERVICES/EQUIPMENT (3.9%)
37,000 Core Laboratories N.V. * 2,360,600
144,000 Global Industries Ltd. * 2,240,640
128,000 TETRA Technologies, Inc. * 3,092,480
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7,693,720
PETROLEUM - PRODUCING (0.8%)
33,000 Noble Energy, Inc. 1,504,470
PHARMACY SERVICES (0.7%)
32,000 Walgreen Co. 1,420,480
PRECIOUS METALS (0.8%)
51,000 Agnico-Eagle Mines Ltd. 1,587,630
PRECISION INSTRUMENT (2.4%)
60,000 II-VI, Inc. * 1,495,200
80,000 Newport Corp. * 1,304,000
95,000 Veeco Instruments, Inc. * 1,914,250
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4,713,450
RECREATION (0.8%)
24,000 Harley-Davidson, Inc. 1,506,000
RETAIL - SPECIAL LINES (7.7%)
53,000 American Eagle Outfitters, Inc. $ 2,322,990
40,000 AnnTaylor Stores Corp. * 1,674,400
64,000 bebe stores, inc. 1,585,920
95,000 Christopher & Banks Corp. 2,800,600
60,000 Gymboree Corp. (The) * 2,530,800
45,000 NBTY, Inc. * 1,317,150
110,000 PC Connection, Inc. * 1,270,500
48,000 Sotheby's 1,547,520
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15,049,880
RETAIL STORE (5.3%)
163,000 Big Lots, Inc. * 3,229,030
67,000 Dillard's, Inc. Class A 2,192,910
27,000 J.C. Penney Company, Inc. 1,846,530
48,000 Kohl's Corp. * 3,116,160
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10,384,630
SECURITIES BROKERAGE (1.6%)
43,000 Morgan Stanley 3,135,130
SEMICONDUCTOR (1.7%)
120,000 Integrated Device Technology, Inc. * 1,927,200
250,000 TriQuint Semiconductor, Inc. * 1,300,000
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3,227,200
SEMICONDUCTOR - EQUIPMENT (0.8%)
51,000 ATMI, Inc. * 1,482,570
SHOE (1.2%)
58,000 Steven Madden Ltd. 2,275,920
TELECOMMUNICATION SERVICES (2.9%)
83,000 AT&T, Inc. 2,702,480
30,000 BT Group PLC ADR 1,517,100
175,000 Qwest Communications International, Inc. * 1,526,000
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5,745,580
TELECOMMUNICATIONS EQUIPMENT (0.8%)
80,000 Nokia Corp. ADR 1,575,200
WIRELESS NETWORKING (1.0%)
18,000 Research In Motion Ltd. * 1,847,880
TOTAL COMMON STOCK AND TOTAL INVESTMENT
SECURITIES (97.2%)
(Cost $179,810,295) 189,900,010
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Principal
Amount Value
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REPURCHASE AGREEMENTS (1) (3.1%)
$ 3,000,000 With Morgan Stanley & Co., 4.90%, dated
9/29/06, due 10/2/06, delivery value
$3,001,225 (collateralized by $3,040,000
U.S. Treasury Notes 4.25%, due 10/15/10,
with a value of $3,061,902) 3,000,000
The Value Line Fund, Inc.
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Schedule of Investments (unaudited)
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Principal
Amount Value
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$ 3,100,000 With UBS Securities, LLC, 4.95%, dated 9/29/06,
due 10/2/06, delivery value $3,101,279
(collateralized by $2,709,000 U.S. Treasury
Notes 6.25%, due 8/15/23, with a value of
$3,167,377) $ 3,100,000
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TOTAL REPURCHASE AGREEMENTS
(Cost $6,100,000) 6,100,000
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EXCESS OF LIABILITIES OVER CASH AND OTHER ASSETS (-0.3%) (527,365)
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NET ASSETS (100%) $195,472,645
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NET ASSET VALUE OFFERING AND REDEMPTION PRICE,
PER OUTSTANDING SHARE
($195,472,645 / 15,224,376 shares outstanding) $ 12.84
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* Non-income producing.
(1) The Fund's custodian takes possession of the underlying collateral
securities, the value of which exceeds the principal amount of the
repurchase transaction, including accrued interest.
ADR American Depositary Receipt
The Fund's unrealized appreciation/(depreciation) as of September 30, 2006 was
as follows:
Total Net
Unrealized
Total Cost Appreciation Depreciation Appreciation
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$185,910,295 $14,906,125 $(4,816,410) $10,089,715
Item 2. Controls and Procedures.
(a) The registrant's principal executive officer and principal financial
officer have concluded that the registrant's disclosure controls and
procedures (as defined in rule 30a-2(c) under the Act (17 CFR 270.30a-2(c)
) based on their evaluation of these controls and procedures as of the
date within 90 days of filing date of this report, are approximately
designed to ensure that material information relating to the registrant is
made known to such officers and are operating effectively.
(b) The registrant's principal executive officer and principal financial
officer have determined that there have been no significant changes in the
registrant's internal controls or in other factors that could
significantly affect these controls subsequent to the date of their
evaluation, including corrective actions with regard to significant
deficiencies and material weaknesses.
Item 3. Exhibits:
(a) Certifications of principal executive officer and principal financial
officer of the registrant.
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.
By: /s/ Jean B. Buttner
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Jean B. Buttner, President
Date: November 27, 2006
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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/ Jean B. Buttner
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Jean B. Buttner, President, Principal Executive Officer
By: /s/ Stephen R. Anastasio
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Stephen R. Anastasio, Treasurer, Principal Financial Officer
Date: November 27, 2006
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