Portfolio Holdings for Franklin Income Fund as of March 31, 2010

The following portfolio data for the Franklin Templeton funds is made available to the public under our Portfolio
Holdings Release Policy and is "as of" the date indicated. This portfolio data should not be relied upon as a complete
listing of a fund's holdings (or of a fund's top holdings) as information on particular holdings may be withheld if it is in the
fund's interest to do so.
Shares/ Coupon Maturity
Security Name Positions Market Value Rate Date
ABBOTT LABORATORIES 739,800 $38,972,664 N/A N/A
ABX 12.5% YES NOTES ISSUED BY 5,000,000 $194,020,000 N/A 04/02/10
ADVANCED MICRO DEVICES INC 36,025,000 $34,719,093 6% 05/01/15
ADVANCED MICRO DEVICES INC 47,550,000 $47,609,437 5.75% 08/15/12
ADVANCED MICRO DEVICES INC 66,700,000 $69,034,500 8.125% 12/15/17
AES CORP 90,000,000 $91,800,000 8% 10/15/17
AGL RESOURCES INC 3,000,000 $115,950,000 N/A N/A
ALLIANT ENERGY CORP 1,000,000 $33,260,000 N/A N/A
ALLISON TRANSMISSION INC 172,716,861 $164,697,790 FLOATER 08/07/14
ALON REFINING KROTZ SPRINGS IN 30,000,000 $29,100,000 13.5% 10/15/14
ALTEGRITY INC 97,268,748 $90,095,178 FLOATER 02/21/15
AMEREN CORP 8,250,000 $215,160,000 N/A N/A
AMERICAN AIRLINES INC 57,500,000 $61,668,750 10.5% 10/15/12
AMERICAN ELECTRIC POWER CO INC 10,000,000 $341,800,000 N/A N/A
AMERICAN WATER WORKS CO INC 1,388,400 $30,211,584 N/A N/A
ANTERO RESOURCES FINANCE 106,200,000 $109,917,000 9.375% 12/01/17
AT&T INC 18,250,000 $471,580,000 N/A N/A
AU 10% ELN'S ISSUED BY JPMORGA 2,683,000 $103,014,053 N/A 08/25/10
BAC 10% ELN'S ISSUED BY CREDIT 6,310,000 $115,984,110 N/A 06/03/10
BAC 11.10% ELN'S ISSUED BY CRE 8,850,000 $161,357,625 N/A 04/16/10
BANK OF AMERICA CORP 100,000,000 $102,158,000 8.125% 05/15/18
BANK OF AMERICA CORP 600,408 $585,397,800 N/A 12/31/49
BANK OF AMERICA CORP 41,071,000 $733,117,350 N/A N/A
BARCLAYS PLC 15,000,000 $82,056,519 N/A N/A
BILL BARRETT CORP 8,800,000 $9,526,000 9.875% 07/15/16
BNY MONEY FUND NEW SERIES 451,667 $361,334 N/A N/A
BOISE CASCADE LLC 15,000,000 $13,950,000 7.125% 10/15/14
BOMBARDIER INC 60,000,000 $62,850,000 7.5% 03/15/18
BOMBARDIER INC 85,000,000 $88,825,000 7.75% 03/15/20
C 10% YES NOTES ISSUED BY GOLD 22,000,000 $90,257,860 N/A 09/16/10
CABLEVISION SYSTEMS CORP 100,000,000 $106,250,000 8.625% 09/15/17
CABLEVISION SYSTEMS CORP 450,000,000 $483,187,500 8% 04/15/12
CALIFORNIA ST GO 180,000,000 $184,559,400 7.95% 03/01/36
CALLON PETROLEUM CO 4,181,258 $22,411,542 N/A N/A
CALLON PETROLEUM CO 83,625,000 $71,499,375 13% 09/15/16
CALPINE CONSTRUCTION FINANCE 100,000,000 $102,750,000 8% 06/01/16
CALPINE CORP 125,000,000 $0 N/A N/A
CANADIAN OIL SANDS TRUST 26,000,000 $779,807,929 N/A N/A
CAPITALSOURCE INC 12,676,000 $12,121,425 7.25% 07/15/37
CAPITALSOURCE INC 118,925,000 $114,465,312 4% 07/15/34

Page 1 of 10
Portfolio Holdings for Franklin Income Fund as of March 31, 2010
Shares/ Coupon Maturity
Security Name Positions Market Value Rate Date
CASE NEW HOLLAND INC 201,050,000 $209,594,625 7.75% 09/01/13
CCH II LLC/CCH II CAPITAL CORP 227,347,163 $272,248,227 13.5% 11/30/16
CCO HLDGS LLC / CCO HLDGS CAP 80,000,000 $82,400,000 8.75% 11/15/13
CEMEX FINANCE LLC 50,000,000 $52,000,000 9.5% 12/14/16
CENTERPOINT ENERGY INC 6,000,000 $86,160,000 N/A N/A
CEQUEL COMMUNICATIONS HOLDINGS 65,000,000 $67,112,500 8.625% 11/15/17
CERIDIAN CORP 75,000,000 $72,187,500 11.25% 11/15/15
CEVA GROUP PLC 13,684,210 $12,486,842 FLOATER 08/01/12
CEVA GROUP PLC 11,800,000 $12,655,500 11.625% 10/01/16
CEVA GROUP PLC 113,117,105 $102,512,376 FLOATER 08/01/12
CEVA GROUP PLC 212,525,000 $221,557,312 11.5% 04/01/18
CHARTER COMMUNICATIONS INC 2,112,650 $11,725,207 N/A 11/30/14
CHARTER COMMUNICATIONS INC 4,084,845 $140,927,152 N/A N/A
CHARTER COMMUNICATIONS INC 11,871,333 $409,560,988 N/A N/A
CHESAPEAKE ENERGY CORP 55,000,000 $57,612,500 7.625% 07/15/13
CHESAPEAKE ENERGY CORP 158,000,000 $154,445,000 6.875% 11/15/20
CHESAPEAKE ENERGY CORP 165,000,000 $157,987,500 6.25% 01/15/18
CHESAPEAKE ENERGY CORP 183,000,000 $177,967,500 6.5% 08/15/17
CHESAPEAKE ENERGY CORP 188,065,000 $189,005,325 7.25% 12/15/18
CHESAPEAKE ENERGY CORP 220,000,000 $240,350,000 9.5% 02/15/15
CHK 12% ELN'S ISSUED BY DEUTSC 6,200,000 $157,572,380 N/A 11/04/10
CITIGROUP INC 46,506,000 $188,349,300 N/A N/A
CLEAR CHANNEL COMMUNICATIONS I 537,786,282 $438,715,831 FLOATER 11/13/15
CLEAR CHANNEL WORLDWIDE HLDGS 28,700,000 $29,955,625 9.25% 12/15/17
CLEAR CHANNEL WORLDWIDE HLDGS 116,050,000 $121,852,500 9.25% 12/15/17
CLEARWIRE COMMUNICATIONS LLC/F 50,000,000 $51,125,000 12% 12/01/15
CLEARWIRE CORPORATION 145,000,000 $148,625,000 12% 12/01/15
CMCSA 8% ELN'S ISSUED BY JP MO 5,000,000 $95,006,500 N/A 12/14/10
CMS ENERGY CORP 11,850,000 $13,438,966 8.75% 06/15/19
COLONY FINANCIAL INC 1,250,000 $25,000,000 N/A N/A
COMMUNITY HEALTH SYSTEMS INC 375,000,000 $389,062,500 8.875% 07/15/15
CONOCOPHILLIPS 11,200,000 $573,104,000 N/A N/A
CONSOL ENERGY INC 42,450,000 $43,829,625 8% 04/01/17
CONSOL ENERGY INC 80,850,000 $83,477,625 8.25% 04/01/20
CONSOLIDATED EDISON INC 5,300,000 $236,062,000 N/A N/A
CPN 8% ELN'S ISSUED BY BARCLAY 7,500,000 $87,687,750 N/A 09/10/10
CPN 8% ELN'S ISSUED BY CREDIT 8,000,000 $97,941,600 N/A 02/10/11
CRICKET COMMUNICATIONS INC 30,000,000 $31,275,000 7.75% 05/15/16
CRICKET COMMUNICATIONS INC 65,000,000 $66,462,500 9.375% 11/01/14
CROWN CASTLE INTERNATIONAL COR 31,200,000 $31,746,000 7.125% 11/01/19
CROWN CASTLE INTERNATIONAL COR 35,000,000 $38,062,500 9% 01/15/15
CRTX ENRG/CRTX ENRG FINC 32,800,000 $33,989,000 8.875% 02/15/18
CSC HOLDINGS INC 67,300,000 $72,011,000 8.5% 04/15/14
DAVITA INC 40,000,000 $40,450,000 6.625% 03/15/13

Page 2 of 10
Portfolio Holdings for Franklin Income Fund as of March 31, 2010
Shares/ Coupon Maturity
Security Name Positions Market Value Rate Date
DAVITA INC 70,000,000 $71,750,000 7.25% 03/15/15
DELTA AIR LINES INC 83,150,000 $88,139,000 9.5% 09/15/14
DELTA AIR LINES INC 110,000,000 $118,525,000 12.25% 03/15/15
DENBURY RESOURCES INC 77,700,000 $82,750,500 8.25% 02/15/20
DEX MEDIA WEST 7,235,086 $6,919,679 FLOATER 10/24/14
DEX ONE CORP 81,136,340 $83,164,748 12% 01/29/17
DEX ONE CORP 10,242,757 $285,977,775 N/A N/A
DIAGEO PLC 10,000,000 $167,923,970 N/A N/A
DIGICEL GROUP LTD 65,000,000 $63,943,750 8.875% 01/15/15
DISH DBS CORP 140,000,000 $146,300,000 7.875% 09/01/19
DIVERSEY INC 40,000,000 $40,525,000 FLOATER 11/24/15
DOLLAR GENERAL CORP 55,000,000 $64,350,000 11.875% 07/15/17
DOLLAR GENERAL CORP 326,698,000 $360,184,545 10.625% 07/15/15
DOMINION RESOURCES INC 10,500,000 $431,655,000 N/A N/A
DTE ENERGY COMPANY 4,250,000 $189,550,000 N/A N/A
DUKE ENERGY CORP 34,000,000 $554,880,000 N/A N/A
DUKE REALTY LP 24,400,000 $27,258,289 8.25% 08/15/19
DUKE REALTY LP 35,500,000 $35,547,463 6.5% 01/15/18
DUKE REALTY LP 37,500,000 $36,899,025 5.95% 02/15/17
DVN 10.55% YES NOTES ISSUED BY 1,600,000 $96,456,320 N/A 07/21/10
DYNEGY HOLDINGS INC 105,000,000 $79,800,000 7.75% 06/01/19
DYNEGY HOLDINGS INC 115,000,000 $95,450,000 7.5% 06/01/15
DYNEGY HOLDINGS INC 170,000,000 $141,950,000 7.5% 06/01/15
DYNEGY HOLDINGS INC 250,000,000 $208,750,000 8.375% 05/01/16
DYNEGY ROSETON DANSKAMMER PASS 64,500,000 $62,686,260 7.67% 11/08/16
ECHOSTAR DBS CORP 130,000,000 $136,500,000 7.75% 05/31/15
ECHOSTAR DBS CORP 245,000,000 $250,818,750 7.125% 02/01/16
EL PASO CORP 50,000,000 $51,845,350 7.25% 06/01/18
EL PASO CORP 161,600,000 $189,880,000 12% 12/12/13
EL PASO CORP 250,000,000 $246,902,500 7.75% 01/15/32
ENERGY FUTURE HOLDINGS CORP 190,000,000 $142,025,000 10.875% 11/01/17
ENERGY FUTURE HOLDINGS CORP 344,500,000 $235,982,500 12% 11/01/17
ENERGY FUTURE HOLDINGS CORP 406,220,000 $298,508,329 5.55% 11/15/14
EXPRO FINANCE LUXEMBOURG 56,800,000 $57,651,318 8.5% 12/15/16
EXXON MOBIL CORP 13,000,000 $870,740,000 N/A N/A
FANNIE MAE 2,399,400 $2,639,340 N/A N/A
FANNIE MAE 3,000,000 $2,790,000 N/A N/A
FANNIE MAE 3,239,000 $5,263,375 N/A 05/13/11
FCX 9% PERQS ISSUED BY MORGAN 1,250,000 $103,277,375 N/A 03/31/11
FEDERAL HOME LOAN MORTGAGE COR 16,608,000 $21,092,160 N/A N/A
FEDERAL NATIONAL MORTGAGE ASSO 11,784,000 $14,965,680 N/A N/A
FEDERAL NATIONAL MORTGAGE ASSO 4,700 $16,215,000 N/A 12/31/49
FELCOR LODGING LP 157,450,000 $162,960,750 10% 10/01/14
FELCOR LODGING TRUST INC 3,000,000 $54,300,000 N/A 12/31/49

Page 3 of 10
Portfolio Holdings for Franklin Income Fund as of March 31, 2010
Shares/ Coupon Maturity
Security Name Positions Market Value Rate Date
FIRST DATA CORP 80,000,000 $68,600,000 9.875% 09/24/15
FIRST DATA CORP 243,749,999 $216,203,568 FLOATER 09/24/14
FIRST DATA CORP 273,000,000 $236,827,500 9.875% 09/24/15
FIRST DATA CORP 326,771,615 $289,192,880 FLOATER 09/24/14
FIRSTENERGY CORP 2,800,000 $109,452,000 N/A N/A
FORD MOTOR CREDIT CO LLC 20,000,000 $21,650,000 8.7% 10/01/14
FORD MOTOR CREDIT CO LLC 25,000,000 $25,888,275 7% 10/01/13
FORD MOTOR CREDIT CO LLC 47,700,000 $50,120,536 8.125% 01/15/20
FORD MOTOR CREDIT CO LLC 75,000,000 $79,568,850 9.875% 08/10/11
FORD MOTOR CREDIT CO LLC 120,000,000 $143,497,560 12% 05/15/15
FORD MOTOR CREDIT CO LLC 185,000,000 $191,339,765 7.25% 10/25/11
FORD MOTOR CREDIT CO LLC 190,000,000 $193,127,253 5.507% 06/15/11
FORD MOTOR CREDIT CO LLC 200,000,000 $206,000,000 7.375% 02/01/11
FORD MOTOR CREDIT CO LLC 243,000,000 $235,996,300 3.0013% 01/13/12
FORD MOTOR CREDIT CO LLC 395,000,000 $409,231,455 7.5% 08/01/12
FORD MOTOR CREDIT CO LLC 400,000,000 $421,473,200 8% 06/01/14
FOREST CITY ENTERPRISES INC 42,250,000 $39,503,750 7.625% 06/01/15
FOREST CITY ENTERPRISES INC 1,000,000 $56,180,000 N/A 12/31/49
FOREST OIL CORP 47,875,000 $48,353,750 7.25% 06/15/19
FOREST OIL CORP 115,000,000 $121,900,000 8.5% 02/15/14
FPL GROUP INC 900,000 $45,634,500 N/A 06/01/12
FPL GROUP INC 7,375,000 $356,433,750 N/A N/A
FREESCALE SEMICONDUCTOR INC 62,244,671 $58,899,020 FLOATER 12/01/13
FREESCALE SEMICONDUCTOR INC 100,000,000 $107,500,000 10.125% 03/15/18
FREESCALE SEMICONDUCTOR INC 176,000,000 $156,640,000 10.125% 12/15/16
FREESCALE SEMICONDUCTOR INC 380,000,000 $364,800,000 8.875% 12/15/14
FREESCALE SEMICONDUCTOR INC 353,531,239 $365,021,004 FLOATER 12/15/14
FSLR 10% ELN'S ISSUED BY JPMOR 687,800 $84,776,164 N/A 02/16/11
GMAC INC 160,000,000 $163,000,000 6.875% 08/28/12
GMAC INC 267,636 $204,022,268 N/A N/A
GMAC INC 300,000,000 $308,250,000 8% 03/15/20
GREENBRIER COMPANIES INC 31,706,000 $29,010,990 8.375% 05/15/15
HAL 12% ELN'S ISSUED BY CREDIT 4,000,000 $94,922,000 N/A 07/22/10
HARRAHS OPERATING CO INC 100,000,000 $103,659,700 FLOATER 10/01/16
HARRAHS OPERATING CO INC 150,000,000 $162,375,000 11.25% 06/01/17
HCA INC 36,898,996 $35,932,907 FLOATER 11/19/12
HCA INC 51,700,000 $52,540,125 7.25% 09/15/20
HCA INC 79,320,000 $79,716,600 6.75% 07/15/13
HCA INC 169,455,000 $161,829,525 6.375% 01/15/15
HCA INC 165,000,000 $173,146,875 7.875% 02/15/20
HCA INC 195,000,000 $185,981,250 6.5% 02/15/16
HCA INC 190,000,000 $205,318,750 8.5% 04/15/19
HCA INC 300,000,000 $319,687,500 9.25% 11/15/16
HCP INC 10,500,000 $10,716,132 6.7% 01/30/18

Page 4 of 10
Portfolio Holdings for Franklin Income Fund as of March 31, 2010
Shares/ Coupon Maturity
Security Name Positions Market Value Rate Date
HCP INC 15,040,000 $14,680,483 5.625% 05/01/17
HCP INC 33,325,000 $33,221,359 6% 01/30/17
HERTZ CORP 140,000,000 $151,025,000 10.5% 01/01/16
HERTZ CORP 445,000,000 $459,462,500 8.875% 01/01/14
HEXION FIN/HEXION ESCROW 35,000,000 $34,650,000 8.875% 02/01/18
HOLLY CORP 35,000,000 $36,225,000 9.875% 06/15/17
HOST HOTELS & RESORTS LP 85,500,000 $87,423,750 7.125% 11/01/13
HOST HOTELS & RESORTS LP 110,000,000 $111,650,000 6.875% 11/01/14
HOST HOTELS & RESORTS LP 120,956,000 $116,420,150 2.625% 04/15/27
HOST HOTELS & RESORTS LP 125,750,000 $136,438,750 9% 05/15/17
HOST HOTELS & RESORTS LP 190,000,000 $191,425,000 6.75% 06/01/16
HOST HOTELS & RESORTS LP 240,000,000 $239,400,000 6.375% 03/15/15
HSBC HOLDINGS PLC 35,000,000 $355,031,661 N/A N/A
HUNTSMAN INTL LLC 15,000,000 $14,962,500 7.375% 01/01/15
HUNTSMAN INTL LLC 35,000,000 $35,525,000 7.875% 11/15/14
HUNTSMAN INTL LLC 105,000,000 $95,287,500 5.5% 06/30/16
ICAHN ENTERPRISES/FIN 105,000,000 $101,587,500 8% 01/15/18
ICAHN ENTERPRISES/FIN 120,000,000 $116,025,000 7.75% 01/15/16
IMS HEALTH INC 40,000,000 $46,750,000 12.5% 03/01/18
INEOS GROUP HLDGS PLC 190,000,000 $201,985,156 7.875% 02/15/16
INTC 10% YES NOTES ISSUED BY G 7,500,000 $144,037,500 N/A 06/03/10
INTC 8% YEELDS ISSUED BY BARCL 9,653,000 $216,215,616 N/A 03/02/11
INTERGEN NV 80,000,000 $82,800,000 9% 06/30/17
INTERNATIONAL LEASE FINANCE CO 58,300,000 $59,738,202 8.625% 09/15/15
INTERNATIONAL LEASE FINANCE CO 171,500,000 $175,806,536 8.75% 03/15/17
ISTAR FINANCIAL INC 6,142,000 $6,149,677 8% 03/15/11
ISTAR FINANCIAL INC 5,213,500 $23,929,965 N/A N/A
ISTAR FINANCIAL INC 117,350,000 $117,936,750 10% 06/15/14
ISTAR FINANCIAL INC 174,100,000 $150,596,500 8.625% 06/01/13
ISTAR FINANCIAL INC 250,000,000 $190,125,000 0.7909% 10/01/12
JARDEN CORP 10,600,000 $11,156,500 8% 05/01/16
JARDEN CORP 61,651,580 $61,747,633 FLOATER 01/24/12
JBS USA LLC 134,500,000 $154,002,500 11.625% 05/01/14
JOHNSON & JOHNSON 5,000,000 $326,000,000 N/A N/A
JOHNSONDIVERSEY HOLDINGS INC 49,200,000 $53,874,000 10.5% 05/15/20
JOHNSONDIVERSEY INC 30,000,000 $31,162,500 8.25% 11/15/19
JPMORGAN CHASE & CO 10,250,000 $458,687,500 N/A N/A
JPMORGAN CHASE & CO 865,000,000 $925,293,960 7.9% 04/30/18
KB HOME 49,000,000 $51,940,000 9.1% 09/15/17
KB HOME 70,500,000 $67,856,250 7.25% 06/15/18
KB HOME 75,000,000 $73,125,000 5.75% 02/01/14
KB HOME 90,000,000 $86,850,000 6.25% 06/15/15
KERLING PLC 53,700,000 $76,270,364 10.625% 01/28/17
LBI ESCROW CORP 88,000,000 $91,410,000 8% 11/01/17

Page 5 of 10
Portfolio Holdings for Franklin Income Fund as of March 31, 2010
Shares/ Coupon Maturity
Security Name Positions Market Value Rate Date
LEHMAN BROTHERS HOLDINGS INC 550,000 $1,210,000 N/A 07/01/11
LEHMAN BROTHERS HOLDINGS INC 1,000,650 $2,491,618 N/A 12/31/49
LIBERTY GLOBAL INC 103,900,000 $134,031,000 4.5% 11/15/16
LIBERTY MUTUAL GROUP 100,000,000 $113,000,000 10.75% 06/15/2088
LIFEPOINT HOSPITALS INC 75,941,000 $76,422,465 3.5% 05/15/14
LIMITED BRANDS INC 21,400,000 $23,968,000 8.5% 06/15/19
LINN ENERGY CORP 100,000,000 $100,375,000 8.625% 04/15/20
LUCENT TECHNOLOGIES INC 140,900,000 $100,039,000 6.45% 03/15/29
MANITOWOC CO INC 63,800,000 $66,830,500 9.5% 02/15/18
MARINER ENERGY INC 11,300,000 $12,740,750 11.75% 06/30/16
MARINER ENERGY INC 46,500,000 $47,081,250 7.5% 04/15/13
MARINER ENERGY INC 48,900,000 $48,288,750 8% 05/15/17
MERCK & CO INC 23,000,000 $859,050,000 N/A N/A
MGM MIRAGE 25,000,000 $24,250,000 11.375% 03/01/18
MGM MIRAGE 35,375,000 $36,613,125 9% 03/15/20
MGM MIRAGE 40,000,000 $40,450,000 8.5% 09/15/10
MGM MIRAGE 70,000,000 $63,700,000 6.75% 04/01/13
MICHAELS STORES INC 48,235,000 $51,129,100 10% 11/01/14
MOTORS LIQUIDATION CO 11,000,000 $95,148,900 N/A 07/15/33
MOTORS LIQUIDATION CO 510,000,000 $193,800,000 8.375% 07/15/33
NALCO CO 29,650,000 $31,651,375 8.25% 05/15/17
NALCO FINANCE HOLDINGS 380,000,000 $393,300,000 9% 02/01/14
NAVISTAR INTERNATIONAL CORP 33,300,000 $34,132,500 8.25% 11/01/21
NEM 10% ELN'S ISSUED BY DEUTSC 2,108,000 $107,109,588 N/A 08/20/10
NEM 8.5% ELN'S ISSUED BY BARCL 3,044,000 $158,697,418 N/A 01/21/11
NEW COMMUNICATIONS HLDGS 47,900,000 $49,456,750 7.875% 04/15/15
NEW COMMUNICATIONS HLDGS 57,975,000 $59,279,437 8.25% 04/15/17
NEW COMMUNICATIONS HLDGS 63,900,000 $64,219,500 8.75% 04/15/22
NEW COMMUNICATIONS HLDGS 64,150,000 $64,951,875 8.5% 04/15/20
NEWFIELD EXPLORATION COMPANY 7,600,000 $7,752,000 7.125% 05/15/18
NEWFIELD EXPLORATION COMPANY 120,000,000 $121,500,000 6.875% 02/01/20
NEWFIELD EXPLORATION COMPANY 128,000,000 $130,880,000 6.625% 04/15/16
NEWPAGE CORP 52,800,000 $36,894,000 10% 05/01/12
NEWPAGE CORP 50,000,000 $50,000,000 11.375% 12/31/14
NISKA GAS STORAGE US/CAN 75,000,000 $77,062,500 8.875% 03/15/18
NISOURCE INC 2,800,000 $44,240,000 N/A N/A
NORTEK INC 40,000 $1,620,000 N/A N/A
NORTEK INC 40,177,777 $43,291,554 11% 12/01/13
NOVELIS CORPORATION (US) 97,924,671 $95,039,418 FLOATER 07/07/14
NUCOR CORP 3,000,000 $136,140,000 N/A N/A
OPTI CANADA INC 70,000,000 $65,800,000 7.875% 12/15/14
OWENS-BROCKWAY GLASS CONTAINER 43,850,000 $46,261,750 7.375% 05/15/16
PEPSICO INC 2,500,000 $165,400,000 N/A N/A
PETROHAWK ENERGY CORP 85,000,000 $89,143,750 9.125% 07/15/13

Page 6 of 10
Portfolio Holdings for Franklin Income Fund as of March 31, 2010
Shares/ Coupon Maturity
Security Name Positions Market Value Rate Date
PETROHAWK ENERGY CORP 129,050,000 $143,084,187 10.5% 08/01/14
PETROHAWK ENERGY CORP 141,000,000 $144,348,750 7.875% 06/01/15
PETROPLUS FINANCE LTD 92,050,000 $79,623,250 7% 05/01/17
PETROPLUS FINANCE LTD 94,930,000 $86,860,950 9.375% 09/15/19
PETROPLUS FINANCE LTD 120,000,000 $108,600,000 6.75% 05/01/14
PG&E CORP 11,500,000 $487,830,000 N/A N/A
PINNACLE WEST CAPITAL CORP 4,500,000 $169,785,000 N/A N/A
PIONEER NATURAL RESOURCES CO 15,000,000 $15,071,700 6.65% 03/15/17
PIONEER NATURAL RESOURCES CO 110,000,000 $110,488,510 6.875% 05/01/18
PLAINS EXPLORATION & PRODUCTIO 50,000,000 $53,250,000 8.625% 10/15/19
PLAINS EXPLORATION & PRODUCTIO 80,000,000 $88,800,000 10% 03/01/16
PLAINS EXPLORATION & PRODUCTIO 95,500,000 $97,290,625 7.75% 06/15/15
PORTLAND GENERAL ELECTRIC CO 2,400,000 $46,344,000 N/A N/A
PPL CORP 2,000,000 $55,420,000 N/A N/A
PROGRESS ENERGY INC 9,400,000 $369,984,000 N/A N/A
PUBLIC SERVICE CO OF NEW MEXIC 55,000,000 $57,466,585 7.95% 05/15/18
PUBLIC SERVICE ENTERPRISE GROU 15,000,000 $442,800,000 N/A N/A
QUICKSILVER RESOURCES INC 26,800,000 $30,820,000 11.75% 01/01/16
QUICKSILVER RESOURCES INC 90,000,000 $94,950,000 9.125% 08/15/19
QUINTILES TRANSNATIONAL CORP 100,000,000 $102,250,000 9.5% 12/30/14
QWEST COMMUNICATIONS INTERNATI 36,500,000 $37,868,750 7.125% 04/01/18
QWEST CORP 17,350,000 $19,605,500 8.375% 05/01/16
R H DONNELLEY INC 40,369,176 $39,632,439 FLOATER 10/24/14
RBS GLOBAL & REXNORD CORP 98,206,000 $102,625,270 9.5% 08/01/14
RBS GLOBAL & REXNORD CORP 97,000,000 $104,517,500 11.75% 08/01/16
RBS GLOBAL & REXNORD CORP 173,274,000 $181,071,330 9.5% 08/01/14
REYNOLDS GROUP ESCROW 20,000,000 $20,650,000 7.75% 10/15/16
RRI ENERGY INC 150,000,000 $141,000,000 7.625% 06/15/14
RRI ENERGY INC 180,000,000 $162,450,000 7.875% 06/15/17
RSC EQUIP RENT/RSC HLDGS 58,000,000 $58,435,000 10.25% 11/15/19
RSC EQUIPMENT RENTAL INC 30,000,000 $31,950,000 10% 07/15/17
SABINE PASS LNG LP 100,000,000 $94,500,000 7.25% 11/30/13
SABINE PASS LNG LP 275,000,000 $244,062,500 7.5% 11/30/16
SANDRIDGE ENERGY INC 37,995,000 $37,140,112 8.625% 04/01/15
SANDRIDGE ENERGY INC 68,925,000 $63,235,448 3.9159% 04/01/14
SANDRIDGE ENERGY INC 85,150,000 $83,447,000 8.75% 01/15/20
SANDRIDGE ENERGY INC 106,300,000 $109,754,750 9.875% 05/15/16
SANDRIDGE ENERGY INC 232,500,000 $222,037,500 8% 06/01/18
SANMINA-SCI CORP 100,000,000 $101,125,000 8.125% 03/01/16
SANMINA-SCI CORP 150,000,000 $150,750,000 6.75% 03/01/13
SEACOR HOLDINGS INC 25,000,000 $25,777,575 7.375% 10/01/19
SEMPRA ENERGY 6,500,000 $324,350,000 N/A N/A
SESI LLC 117,000,000 $115,245,000 6.875% 06/01/14
SEVERSTAL COLUMBUS LLC 25,000,000 $26,000,000 10.25% 02/15/18

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Portfolio Holdings for Franklin Income Fund as of March 31, 2010
Shares/ Coupon Maturity
Security Name Positions Market Value Rate Date
SOUTHERN CO 21,000,000 $696,360,000 N/A N/A
SPECTRA ENERGY CORPORATION 11,500,000 $259,095,000 N/A N/A
SPRINT NEXTEL CORP 90,200,000 $91,102,000 8.375% 08/15/17
SUNGARD DATA SYSTEMS INC 35,000,000 $36,050,000 9.125% 08/15/13
SUNGARD DATA SYSTEMS INC 55,000,000 $60,225,000 10.625% 05/15/15
SUNGARD DATA SYSTEMS INC 85,000,000 $89,781,250 10.25% 08/15/15
SUPERMEDIA INC 30,326,100 $341,168 N/A N/A
SUPERMEDIA INC 127,517 $5,215,445 N/A N/A
SUPERMEDIA INC 27,503,637 $25,879,217 FLOATER 12/31/15
SUPERVALU INC 108,500,000 $110,398,750 8% 05/01/16
SWEEP MONEYMARKET PORTFOLIO 270,739,846 $270,739,846 N/A N/A
TALECRIS BIOTHERAPEUTICS HOLDI 36,250,000 $36,612,500 7.75% 11/15/16
TARGET CORP 2,500,000 $131,500,000 N/A N/A
TECO ENERGY INC 10,000,000 $158,900,000 N/A N/A
TENET HEALTHCARE CORP 30,000,000 $32,025,000 9.875% 07/01/14
TENET HEALTHCARE CORP 30,000,000 $32,625,000 8.875% 07/01/19
TENET HEALTHCARE CORP 115,000,000 $121,181,250 9.25% 02/01/15
TENET HEALTHCARE CORP 250,000 $258,137,500 N/A 10/01/12
TENET HEALTHCARE CORP 300,000,000 $324,750,000 9% 05/01/15
TENET HEALTHCARE CORP 300,000,000 $337,500,000 10% 05/01/18
TENET HEALTHCARE CORP 446,365,000 $453,060,475 7.375% 02/01/13
TEREX CORP 185,000,000 $180,837,500 8% 11/15/17
TESORO CORPORATION 37,000,000 $34,225,000 6.5% 06/01/17
TESORO CORPORATION 41,400,000 $43,470,000 9.75% 06/01/19
TESORO CORPORATION 100,000,000 $92,407,100 7.5% 07/17/12
TEXAS COMPETITIVE ELECTRIC HOL 100,428,556 $82,721,094 FLOATER 10/10/14
TEXAS COMPETITIVE ELECTRIC HOL 171,676,824 $141,365,221 FLOATER 10/10/14
TEXAS COMPETITIVE ELECTRIC HOL 209,737,500 $168,911,466 FLOATER 10/10/14
TEXAS COMPETITIVE ELECTRIC HOL 290,000,000 $203,000,000 10.25% 11/01/15
TEXAS COMPETITIVE ELECTRIC HOL 268,812,499 $218,949,931 FLOATER 10/10/14
TEXAS COMPETITIVE ELECTRIC HOL 425,000,000 $293,250,000 11.25% 11/01/16
TEXAS COMPETITIVE ELECTRIC HOL 740,000,000 $518,000,000 10.25% 11/01/15
TRANSDIGM INC 50,000,000 $51,500,000 7.75% 07/15/14
UNITED RENTALS NORTH AMERICA I 59,820,000 $57,875,850 7.75% 11/15/13
UNITED STATES STEEL CORP 40,000,000 $40,300,000 7.375% 04/01/20
UNIVISION COMMUNICATIONS INC 20,000,000 $17,864,940 FLOATER 09/29/14
UNIVISION COMMUNICATIONS INC 26,500,000 $29,150,000 12% 07/01/14
UNIVISION COMMUNICATIONS INC 293,555,406 $254,659,314 10.5% 03/15/15
UPC GERMANY GMBH 23,100,000 $33,081,808 9.625% 12/01/19
UPC GERMANY GMBH 52,700,000 $54,676,250 8.125% 12/01/17
UPC GERMANY GMBH 43,900,000 $61,683,535 8.125% 12/01/17
US ONCOLOGY HOLDINGS INC 90,093,895 $85,814,434 6.6434% 03/15/12
US ONCOLOGY INC 15,000,000 $15,675,000 10.75% 08/15/14
US ONCOLOGY INC 40,000,000 $42,000,000 9.125% 08/15/17

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Portfolio Holdings for Franklin Income Fund as of March 31, 2010
Shares/ Coupon Maturity
Security Name Positions Market Value Rate Date
VANGUARD HEALTH HOLDING COMPAN 151,000,000 $147,602,500 8% 02/01/18
VERIZON COMMUNICATIONS INC 9,000,000 $279,180,000 N/A N/A
VIASAT INC 49,250,000 $50,789,062 8.875% 09/15/16
VIRGIN MEDIA FINANCE PLC 74,800,000 $82,093,000 9.5% 08/15/16
VIRGIN MEDIA SECURED FINANCE 70,000,000 $108,673,698 7% 01/15/18
VISANT HOLDING CORP 50,000,000 $51,500,000 8.75% 12/01/13
VODAFONE GROUP PLC 175,000,000 $404,000,629 N/A N/A
W&T OFFSHORE INC 192,500,000 $181,912,500 8.25% 06/15/14
WELLS FARGO & CO 490,000 $478,730,000 N/A 12/31/49
WELLS FARGO & CO 21,575,000 $671,414,000 N/A N/A
WELLS FARGO CAPITAL XIII 44,500,000 $46,168,750 7.7% 03/26/13
WELLS FARGO CAPITAL XV 449,600,000 $505,800,000 9.75% 09/26/13
WESTERN REFINING INC 25,000,000 $22,625,000 11.25% 06/15/17
WESTERN REFINING INC 25,000,000 $22,625,000 10.75% 06/15/14
WFC 8% PERQS ISSUED BY MORGAN 3,000,000 $90,260,100 N/A 09/08/10
WFT 11% ELN'S ISSUED BY CREDIT 6,315,000 $105,749,727 N/A 09/03/10
WFT 12% YEELDS ISSUED BY BARCL 7,350,000 $129,617,250 N/A N/A
WIND ACQUISITION FIN SA 30,200,000 $33,673,000 11.75% 07/15/17
WINDSTREAM CORP 70,750,000 $70,042,500 7.875% 11/01/17
WMG ACQUISITION CORP (WARNER M 12,700,000 $13,636,625 9.5% 06/15/16
WYNDHAM WORLDWIDE CORP 21,727,000 $21,541,190 6% 12/01/16
WYNDHAM WORLDWIDE CORP 25,000,000 $28,416,425 9.875% 05/01/14
XCEL ENERGY INC 18,500,000 $392,200,000 N/A N/A
XLNX 8% PERQS ISSUED BY MORGAN 4,000,000 $101,810,400 N/A 03/02/11
XRX 12% ELN'S ISSUED BY GOLDMA 13,400,000 $123,417,752 N/A 11/19/10
XTO 9% YES NOTES ISSUED BY GOL 3,600,000 $166,793,760 N/A 08/20/10

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Portfolio Holdings for Franklin Income Fund as of March 31, 2010
Shares/ Coupon Maturity
Security Name Positions Market Value Rate Date

Important Legal Information

• Portfolio holdings are subject to change without notice and may not represent current or future portfolio
composition. The portfolio data is “as of” the date indicated and we disclaim any responsibility to update the
information.
• Unlike the fund’s regulatory filings, the portfolio data and its presentation in this document are not required to
conform to Generally Accepted Accounting Principles (GAAP) and Securities and Exchange Commission (SEC)
presentation requirements. Therefore, it differs from that in the complete statement of investments in the annual and
semiannual report to shareholders filed with the SEC on Form N-CSR, and the complete statement of investments
provided in the first and third quarter SEC Form N-Q filings for each fiscal year.
• The portfolio data is for information only. It does not constitute a recommendation or an offer for a particular security
or fund, nor should it be taken as a solicitation or a recommendation to buy or sell securities or other
investments.
• Investors should carefully consider a fund's investment goals, risks, charges and expenses before
investing. To obtain a prospectus, which contains this and other information, talk to your financial advisor,
call us at 1-800/DIAL BEN (1-800/342-5236) or visit our website at franklintempleton.com. Please read the
prospectus carefully before investing. Franklin Templeton Distributors Inc., One Franklin Parkway, San

Copyright © 2004. Franklin Templeton Investments ©. All rights reserved.

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