The Securities and Exchange Commission has not necessarily reviewed the information in this filing and has not determined if it is accurate and complete.
The reader should not assume that the information is accurate and complete.

UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 13F

FORM 13F INFORMATION TABLE
OMB APPROVAL
OMB Number: 3235-0006
Estimated average burden
hours per response: 23.8
COLUMN 1 COLUMN 2 COLUMN 3 COLUMN 4 COLUMN 5 COLUMN 6 COLUMN 7 COLUMN 8
VALUE SHRS OR SH/ PUT/ INVESTMENT OTHER VOTING AUTHORITY
NAME OF ISSUER TITLE OF CLASS CUSIP (x$1000) PRN AMT PRN CALL DISCRETION MANAGER SOLE SHARED NONE
ABBOTT LABS COM 002824100 109,131 2,224,900 SH   SOLE   549,900 0 1,675,000
APACHE CORP COM 037411105 143,911 1,099,228 SH   SOLE   261,928 0 837,300
BANCO SANTANDER SA ADR 05964H105 165 14,100 SH   SOLE   14,100 0 0
BARCLAYS PLC ADR 06738E204 3,936 217,000 SH   SOLE   217,000 0 0
BP PLC SPONSORED 055622104 177,728 4,026,466 SH   SOLE   1,078,296 0 2,948,170
CHESAPEAKE ENERGY CORP PFD CONV 165167842 2,344 24,168 SH   SOLE   24,168 0 0
CHEVRON CORP NEW COM 166764100 111,716 1,039,900 SH   SOLE   325,000 0 714,900
CHINA PETE & CHEM CORP SPON ADR 16941R108 111 1,100 SH   SOLE   1,100 0 0
CHUBB CORP COM 171232101 39,031 636,615 SH   SOLE   91,140 0 545,475
CISCO SYS INC COM 17275R102 1,818 106,000 SH   SOLE   106,000 0 0
CORNING INC COM 219350105 132,331 6,414,500 SH   SOLE   1,741,000 0 4,673,500
DELL INC COM 24702R101 25,443 1,753,500 SH   SOLE   229,500 0 1,524,000
EDISON INTL COM 281020107 55,397 1,514,000 SH   SOLE   207,000 0 1,307,000
EXXON MOBIL CORP COM 30231G102 150,273 1,786,200 SH   SOLE   485,300 0 1,300,900
GENERAL DYNAMICS CORP COM 369550108 93,732 1,224,300 SH   SOLE   360,300 0 864,000
GENERAL ELECTRIC CO COM 369604103 74,157 3,698,600 SH   SOLE   521,800 0 3,176,800
GENUINE PARTS CO COM 372460105 83,450 1,555,748 SH   SOLE   163,300 0 1,392,448
GLAXOSMITHKLINE PLC SPONSORED 37733W105 119 3,100 SH   SOLE   3,100 0 0
GOLDMAN SACHS GROUP INC COM 38141G104 130,421 823,000 SH   SOLE   193,100 0 629,900
HEWLETT PACKARD CO COM 428236103 93,485 2,281,800 SH   SOLE   549,100 0 1,732,700
HONDA MOTOR LTD AMERN SHS 438128308 2,262 60,300 SH   SOLE   60,300 0 0
INTEL CORP COM 458140100 120,078 5,953,318 SH   SOLE   1,535,000 0 4,418,318
INTERNATIONAL BUSINESS MACHS COM 459200101 224,711 1,378,005 SH   SOLE   378,050 0 999,955
JOHNSON & JOHNSON COM 478160104 110,780 1,869,700 SH   SOLE   447,800 0 1,421,900
JPMORGAN CHASE & CO COM 46625H100 100,724 2,184,900 SH   SOLE   280,300 0 1,904,600
KRAFT FOODS INC CL A 50075N104 64,702 2,063,200 SH   SOLE   217,400 0 1,845,800
LINCOLN NATL CORP IND COM 534187109 72,389 2,409,761 SH   SOLE   359,500 0 2,050,261
LOCKHEED MARTIN CORP COM 539830109 59,006 733,900 SH   SOLE   139,800 0 594,100
MEDTRONIC INC COM 585055106 62,755 1,594,800 SH   SOLE   258,500 0 1,336,300
MERCK & CO INC NEW COM 58933Y105 139,999 4,241,100 SH   SOLE   1,028,900 0 3,212,200
METLIFE INC COM 59156R108 102,669 2,295,300 SH   SOLE   322,100 0 1,973,200
MICROSOFT CORP COM 594918104 161,125 6,353,500 SH   SOLE   1,826,900 0 4,526,600
NOBLE CORPORATION BAAR NAMEN -AK H5833N103 97,873 2,145,400 SH   SOLE   538,222 0 1,607,178
NOVARTIS A G SPONSORED 66987V109 239 4,400 SH   SOLE   4,400 0 0
OMNICOM GROUP INC COM 681919106 132,560 2,702,000 SH   SOLE   364,800 0 2,337,200
PARTNERRE LTD COM G6852T105 51,379 648,400 SH   SOLE   229,300 0 419,100
PFIZER INC COM 717081103 181,132 8,918,389 SH   SOLE   2,402,300 0 6,516,089
RAYTHEON CO COM NEW 755111507 84,579 1,662,648 SH   SOLE   478,060 0 1,184,588
ROYAL DUTCH SHELL PLC SPON ADR 780259107 112,071 1,530,191 SH   SOLE   568,901 0 961,290
SANOFI AVENTIS SPONSORED 80105N105 3,571 101,400 SH   SOLE   101,400 0 0
SEMPRA ENERGY COM 816851109 52,077 973,400 SH   SOLE   129,700 0 843,700
SPDR S&P 500 ETF TR TR UNIT 78462F103 2,809 21,200 SH   SOLE   21,200 0 0
TOTAL S A SPONSORED 89151E109 4,109 67,400 SH   SOLE   67,400 0 0
TRANSOCEAN LTD REG SHS H8817H100 60,759 779,466 SH   SOLE   138,669 0 640,797
TRAVELERS COMPANIES INC COM 89417E109 66,986 1,126,200 SH   SOLE   182,700 0 943,500
UNITEDHEALTH GROUP INC COM 91324P102 96,981 2,145,600 SH   SOLE   621,900 0 1,523,700
UNUM GROUP COM 91529Y106 45,657 1,739,300 SH   SOLE   231,800 0 1,507,500
VALERO ENERGY CORP NEW COM 91913Y100 39,765 1,333,500 SH   SOLE   184,700 0 1,148,800
VODAFONE GROUP PLC NEW SPONS ADR 92857W209 56,198 1,954,700 SH   SOLE   839,300 0 1,115,400
WAL MART STORES INC COM 931142103 103,043 1,979,700 SH   SOLE   275,900 0 1,703,800
WELLPOINT INC COM 94973V107 102,462 1,468,150 SH   SOLE   414,690 0 1,053,460
WELLS FARGO & CO NEW PERP PFD 949746804 15,725 15,190 SH   SOLE   15,190 0 0
WESTERN DIGITAL CORP COM 958102105 43,838 1,175,600 SH   SOLE   217,900 0 957,700