Merrill Lynch International Investment Funds Audited Annual Report ...

US Focused Value Fund
Portfolio of Investments 31 December 2006
Transferable Securities Admitted to an Official Stock Exchange
Listing or Dealt in on Another Regulated Market
Holding Description Value (US$) %
COMMON STOCKS (SHARES)
Bermuda
864,000 Tyco International
___________
26,576,640
______
2.52
Canada
63,700 Nortel Networks
___________
1,726,907
______
0.16
Cayman Islands
460,500 GlobalSantaFe 27,266,205 2.59
212,000 XL Capital 'A'
___________
15,329,720
______
1.45
___________
42,595,925
______
4.04
Netherlands
818,700 Unilever (NY Shares)
___________
22,432,380
______
2.13
United Kingdom
352,000 GlaxoSmithKline ADR
___________
18,532,800
______
1.76
United States
483,700 Alcoa 14,443,282 1.37
528,300 American International Group 37,873,827 3.59
456,900 Analog Devices 15,114,252 1.43
755,100 AT&T 27,153,396 2.58
405,200 Bank of America 21,755,188 2.06
654,700 Bank of New York 26,043,966 2.47
406,900 Baxter International 18,912,712 1.79
3,402,830 Borland Software 17,558,263 1.67
437,600 Chevron 32,347,392 3.07
674,400 Citigroup 37,692,216 3.57
21,623 Coca-Cola Enterprises 442,190 0.04
626,600 Comcast 'A' 26,580,372 2.52
97,400 Computer Sciences 5,207,978 0.49
60,300 Consol Energy 1,951,911 0.18
485,100 EI Du Pont de Nemours & Co 23,687,433 2.25
401,900 Exxon Mobil 30,982,471 2.94
399,900 Foot Locker 8,717,820 0.83
296,500 Gannett 18,065,745 1.71
Transferable Securities Admitted to an Official Stock Exchange
Listing or Dealt in on Another Regulated Market
Holding Description Value (US$) %
405,100 Gap 7,992,623 0.76
557,300 General Electric 20,865,312 1.98
341,100 General Mills 19,691,703 1.87
421,100 Genworth Financial 'A' 14,519,528 1.38
287,500 IBM – International Business Machines 28,025,500 2.66
32,370 Idearc 919,632 0.09
824,500 Interpublic Group of Companies 10,108,370 0.96
158,200 Johnson & Johnson 10,471,258 0.99
790,724 JPMorgan Chase & Co 38,555,702 3.66
867,500 Kroger 19,961,175 1.89
2,175,300 LSI Logic 20,143,278 1.91
335,900 Morgan Stanley 27,416,158 2.60
274,300 Motorola 5,697,211 0.54
224,892 Northrop Grumman 15,339,883 1.45
986,200 Packaging of America 22,090,880 2.09
1,302,271 Parametric Technology 23,610,173 2.24
253,700 Peabody Energy 10,366,182 0.98
826,800 Pfizer 21,538,140 2.04
401,100 Raytheon 21,282,366 2.02
791,400 Sprint Nextel 15,155,310 1.44
582,385 St Paul Travelers 31,507,029 2.99
1,645,719 Sun Microsystems 9,051,454 0.86
1,084,500 Time Warner 23,837,310 2.26
1,994,481 Topps 17,930,384 1.70
339,791 UAP Holding 8,623,896 0.82
4,350,600 Unisys 33,847,668 3.21
439,600 Verizon Communications 16,537,752 1.57
380,600 Wachovia 21,804,574 2.07
431,800 Waste Management 15,881,604 1.51
1,529,000 Xerox
___________
26,145,900
______
2.48
___________
923,448,369
______
87.58
Total Portfolio 1,035,313,021 98.19
Other Net Assets
___________
19,048,414
______
1.81
Total Net Assets (US$) 1,054,361,435
___________ ______
100.00
Sector Breakdown as at 31 December 2006
% of net
assets
Finance 25.8
Information technology 17.7
Industrials 10.3
Energy 9.8
Consumer discretionary 9.1
Consumer staples 7.6
Healthcare 6.6
Materials 5.7
Telecommunication services 5.6
Other net assets
___________
1.8
___________
100.0
EUR Hedged Share Class
Open Forward Foreign Exchange Transactions
as at 31 December 2006
Purchases
Sales Value date
Unrealised
loss
€
€57,649,000 US$76,905,864 15/3/2007 (504,158)
US$409,101 €310,000 15/3/2007
________
(654)
Net unrealised loss
________
(504,812)
Note: The US$ equivalent – US$665,452 of the net unrealised loss attributed to these transactions
is included in the Statement of Net Assets (see Note 2c). As at the 29 December 2006, the
exchange rate used to convert from € is the year-end exchange rate of: 1 US$ = 0.7586 €
(see Note 2e).
188 Merrill Lynch International Investment Funds