| UNITED STATES
SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM N-Q QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED MANAGEMENT INVESTMENT COMPANIES Investment Company Act file number 811- 4186 John Hancock Income Securities Trust (Exact name of registrant as specified in charter) 601 Congress Street, Boston, Massachusetts 02210 (Address of principal executive offices) (Zip code) Alfred E. Ouellette, Senior Attorney and Assistant Secretary 601 Congress Street Boston, Massachusetts 02210 (Name and address of agent for service) Registrant's telephone number, including area code: 617-663-4324 Date of fiscal year end: December 31 Date of reporting period: September 30, 2005 |
ITEM 1. SCHEDULE OF INVESTMENTS
| John Hancock | |||||||
| Income Securities Trust | |||||||
| Securities owned by the Fund on | |||||||
| September 30, 2005 (unaudited) | |||||||
| Interest | Maturity | Credit | Par value | ||||
| Issuer, description | rate (%) | date | rating (A) | ($000) | Value | ||
| Bonds 56.34% | $146,252,478 | ||||||
| (Cost $146,620,370) | |||||||
| Aerospace & Defense 0.44% | 1,134,603 | ||||||
|
| |||||||
| Raytheon Co., | |||||||
| Note | 8.300 | 03-01-10 | BBB- | 1,000 | 1,134,603 | ||
Agricultural Products 0.36% |
931,137 | ||||||
|
| |||||||
| Corn Products International, Inc., | |||||||
| Sr Note | 8.450 | 08-15-09 | BBB- | 835 | 931,137 | ||
Airlines 0.67% |
1,750,326 | ||||||
|
| |||||||
| Continental Airlines, Inc., | |||||||
| Pass Thru Ctf Ser 1999-1 Class A | 6.545 | 02-02-19 | A- | 626 | 613,340 | ||
| Pass Thru Ctf Ser 2000-2 Class A-1 | 7.707 | 04-02-21 | BBB | 449 | 445,173 | ||
| Pass Thru Ctf Ser 2000-2 Class B (L) | 8.307 | 10-02-19 | BB- | 438 | 386,761 | ||
| Pass Thru Ctf Ser 2001-1 Class C | 7.033 | 06-15-11 | B+ | 338 | 302,302 | ||
| Jet Equipment Trust, | |||||||
| Equip Trust Ctf Ser 1995-B2 (B)(H)(S) | 10.910 | 08-15-14 | D | 550 | 2,750 | ||
Apparel Retail 0.22% |
579,525 | ||||||
|
| |||||||
| Gap, Inc. (The), | |||||||
| Note (P) | 9.550 | 12-15-08 | BBB- | 515 | 579,525 | ||
Asset Management & Custody Banks 0.80% |
2,070,772 | ||||||
|
| |||||||
| Rabobank Capital Fund II, | |||||||
| Perpetual Bond (5.260% to 12-31-13 then | |||||||
| variable) (S) | 5.260 | 12-29-49 | AA | 2,065 | 2,070,772 | ||
Auto Parts & Equipment 0.16% |
425,625 | ||||||
|
| |||||||
| American Axle & Manufacturing, Inc., | |||||||
| Sr Note (L) | 5.250 | 02-11-14 | BBB | 500 | 425,625 | ||
Brewers 0.08% |
203,393 | ||||||
|
| |||||||
| Molson Coors Capital Finance Corp., | |||||||
| Note (Canada) (S) | 4.850 | 09-22-10 | BBB | 205 | 203,393 | ||
Broadcasting & Cable TV 1.48% |
3,848,122 | ||||||
|
| |||||||
| AT&T Broadband Corp., | |||||||
| Gtd Note | 8.375 | 03-15-13 | BBB | 1,020 | 1,206,831 | ||
| British Sky Broadcasting Group Plc, | |||||||
| Gtd Sr Note (United Kingdom) | 8.200 | 07-15-09 | BBB- | 945 | 1,048,708 | ||
| TCI Communications, Inc., | |||||||
| Sr Deb | 9.800 | 02-01-12 | BBB+ | 860 | 1,057,670 | ||
Page 1
| John Hancock | |||||||
| Income Securities Trust | |||||||
| Securities owned by the Fund on | |||||||
| September 30, 2005 (unaudited) | |||||||
| XM Satellite Radio, Inc., | |||||||
| Sr Sec Note, Step Coupon (Zero to 12-31-05 then | |||||||
| 14.000%) (O) | Zero | 12-31-09 | CCC+ | 509 | 534,913 | ||
| Building Products 0.81% | 2,105,384 | ||||||
|
| |||||||
| Pulte Homes, Inc., | |||||||
| Sr Note | 6.250 | 02-15-13 | BBB- | 1,000 | 1,031,294 | ||
| Toll Brothers, Inc., | |||||||
| Gtd Sr Note | 6.875 | 11-15-12 | BBB- | 1,000 | 1,074,090 | ||
Casinos & Gaming 1.20% |
3,113,535 | ||||||
|
| |||||||
| Chukchansi Economic Development Auth., | |||||||
| Sr Note (G)(S) | 14.500 | 06-15-09 | CCC+ | 500 | 602,500 | ||
| Harrah's Operating Co., Inc., | |||||||
| Gtd Sr Note | 8.000 | 02-01-11 | BBB- | 765 | 855,350 | ||
| Gtd Sr Note | 5.500 | 07-01-10 | BBB- | 755 | 762,132 | ||
| Mashantucket West Pequot, | |||||||
| Note (S) | 5.912 | 09-01-21 | BBB- | 285 | 284,373 | ||
| Waterford Gaming LLC, | |||||||
| Sr Note (S) | 8.625 | 09-15-12 | B+ | 572 | 609,180 | ||
Commodity Chemicals 0.52% |
1,343,581 | ||||||
|
| |||||||
| RPM International, Inc., | |||||||
| Sr Note | 6.250 | 12-15-13 | BBB | 1,300 | 1,343,581 | ||
Construction Materials 0.15% |
390,000 | ||||||
|
| |||||||
| Votorantim Overseas IV, | |||||||
| Gtd Note (Cayman Islands) (S) | 7.750 | 06-24-20 | BBB- | 390 | 390,000 | ||
Consumer Finance 1.72% |
4,464,142 | ||||||
|
| |||||||
| Ford Motor Credit Co., | |||||||
| Note | 7.375 | 10-28-09 | BBB- | 1,625 | 1,569,664 | ||
| General Motors Acceptance Corp., | |||||||
| Note | 7.250 | 03-02-11 | BBB- | 745 | 692,764 | ||
| Household Finance Corp., | |||||||
| Note | 6.375 | 10-15-11 | A | 645 | 689,922 | ||
| HSBC Finance Corp., | |||||||
| Sr Note | 6.750 | 05-15-11 | A | 1,390 | 1,511,792 | ||
Diversified Banks 1.94% |
5,025,450 | ||||||
|
| |||||||
| Bank of New York, | |||||||
| Cap Security (S) | 7.780 | 12-01-26 | A- | 650 | 694,000 | ||
| Barclays Bank Plc, | |||||||
| Perpetual Bond (6.278% to 12-15-34 then variable) | |||||||
| (United Kingdom) | 6.278 | 12-29-49 | A+ | 1,650 | 1,622,461 | ||
| Chuo Mitsui Trust & Banking Co., | |||||||
| Perpetual Sub Note (5.506% to 04-15-15 then | |||||||
| variable) (Japan) (S) | 5.506 | 12-01-49 | Baa2 | 940 | 904,782 | ||
| Royal Bank of Scotland Group Plc, | |||||||
| Perpetual Bond (7.648% to 09-30-31 then variable) | |||||||
| (United Kingdom) | 7.648 | 08-29-49 | A | 650 | 790,185 | ||
| Wachovia Corp., | |||||||
| Sub Note | 5.250 | 08-01-14 | A- | 1,000 | 1,014,022 | ||
Page 2
| John Hancock | |||||
| Income Securities Trust | |||||
| Securities owned by the Fund on | |||||
| September 30, 2005 (unaudited) | |||||
| Diversified Chemicals 1.44% | 3,733,452 | ||||
|
| |||||
| Lyondell Chemical Co., | |||||
| Gtd Sr Sub Note | 10.875 | 05-01-09 | B | 500 | 515,000 |
| NOVA Chemicals Corp., | |||||
| Med Term Note (Canada) | 7.400 | 04-01-09 | BB+ | 2,045 | 2,080,788 |
| Potash Corp. of Saskatchewan, Inc., | |||||
| Note (Canada) | 7.750 | 05-31-11 | BBB+ | 1,000 | 1,137,664 |
Diversified Commercial Services 0.76% |
1,974,595 | ||||
|
| |||||
| Hutchison Whampoa International Ltd., | |||||
| Gtd Sr Note (Cayman Islands) (S) | 6.500 | 02-13-13 | A- | 750 | 801,441 |
| Noble Group Ltd., | |||||
| Sr Note (Bermuda) (S) | 6.625 | 03-17-15 | BB+ | 1,000 | 923,154 |
| Sotheby's Holdings, Inc., | |||||
| Note | 6.875 | 02-01-09 | BB- | 250 | 250,000 |
Diversified Financial Services 0.93% |
2,419,890 | ||||
|
| |||||
| Beaver Valley Funding Corp., | |||||
| Sec Lease Obligation Bond | 9.000 | 06-01-17 | BB+ | 513 | 609,362 |
| Glencore Funding LLC, | |||||
| Gtd Note (S) | 6.000 | 04-15-14 | BBB- | 905 | 857,319 |
| St. George Funding Co., | |||||
| Perpetual Bond (8.485% to 06-30-17 then variable) | |||||
| (Australia) (S) | 8.485 | 12-31-49 | Baa1 | 870 | 953,209 |
Electric Utilities 5.16% |
13,407,337 | ||||
|
| |||||
| AES Eastern Energy, L.P., | |||||
| Pass Thru Ctf Ser 1999-A | 9.000 | 01-02-17 | BB+ | 1,085 | 1,264,068 |
| BVPS II Funding Corp., | |||||
| Collateralized Lease Bond | 8.890 | 06-01-17 | BB+ | 700 | 826,021 |
| Empresa Electrica Guacolda S.A., | |||||
| Sr Sec Note (Chile) (S) | 8.625 | 04-30-13 | BBB- | 830 | 914,902 |
| FPL Energy National Wind, | |||||
| Sr Sec Note (S) | 5.608 | 03-10-24 | BBB- | 391 | 388,568 |
| HQI Transelect Chile S.A., | |||||
| Sr Note (Chile) | 7.875 | 04-15-11 | A- | 1,230 | 1,384,535 |
| Indiantown Cogeneration, L.P., | |||||
| 1st Mtg Note Ser A-9 | 9.260 | 12-15-10 | BB+ | 480 | 522,568 |
| IPALCO Enterprises, Inc., | |||||
| Sr Sec Note | 8.625 | 11-14-11 | BB- | 325 | 360,750 |
| Kansas Gas & Electric Co., | |||||
| Bond (S) | 5.647 | 03-29-21 | BB- | 440 | 435,442 |
| Midland Funding Corp. II, | |||||
| Deb Ser B | 13.250 | 07-23-06 | BB- | 1,643 | 1,732,973 |
| Monterrey Power S.A. de C.V., | |||||
| Sr Sec Bond (Mexico) (S) | 9.625 | 11-15-09 | BBB | 514 | 595,328 |
| PNPP II Funding Corp., | |||||
| Deb | 9.120 | 05-30-16 | BB+ | 491 | 572,197 |
| System Energy Resources, Inc., | |||||
| Sec Bond (S) | 5.129 | 01-15-14 | BBB | 449 | 439,785 |
| TransAlta Corp., | |||||
| Note (Canada) | 5.750 | 12-15-13 | BBB- | 2,000 | 2,045,946 |
Page 3
| John Hancock | ||||||
| Income Securities Trust | ||||||
| Securities owned by the Fund on | ||||||
| September 30, 2005 (unaudited) | ||||||
| TXU Corp., | ||||||
| Sec Bond | 7.460 | 01-01-15 | BBB | 638 | 679,877 | |
| Waterford 3 Funding Corp., | ||||||
| Sec Lease Obligation Bond | 8.090 | 01-02-17 | BBB- | 1,150 | 1,244,377 | |
| Electrical Components & Equipment 1.09% | 2,828,777 | |||||
|
| ||||||
| AMETEK, Inc., | ||||||
| Sr Note | 7.200 | 07-15-08 | BBB | 1,500 | 1,579,107 | |
| Jabil Circuit, Inc., | ||||||
| Sr Note | 5.875 | 07-15-10 | BB+ | 1,220 | 1,249,670 | |
| Electronic Equipment Manufacturers 0.32% | 828,267 | |||||
|
| ||||||
| Thomas & Betts Corp., | ||||||
| Sr Note | 7.250 | 06-01-13 | BBB- | 775 | 828,267 | |
| Food Retail 1.47% | 3,815,719 | |||||
|
| ||||||
| Ahold Lease USA, Inc., | ||||||
| Gtd Pass Thru Ctf Ser 2001A-1 | 7.820 | 01-02-20 | BB | 1,360 | 1,476,073 | |
| Albertson's, Inc., | ||||||
| Deb | 7.450 | 08-01-29 | BBB- | 705 | 608,135 | |
| Delhaize America, Inc., | ||||||
| Gtd Note | 9.000 | 04-15-31 | BB+ | 1,500 | 1,731,511 | |
| Foreign Government 0.35% | 903,750 | |||||
|
| ||||||
| Colombia, Republic of, | ||||||
| Note (Colombia) | 10.000 | 01-23-12 | BB | 750 | 903,750 | |
| Gas Utilities 0.73% | 1,891,890 | |||||
|
| ||||||
| Energy Transfer Partners, | ||||||
| Gtd Sr Note (G) | 5.950 | 02-01-15 | BBB- | 500 | 497,480 | |
| Sr Note (G)(S) | 5.650 | 08-01-12 | BBB- | 865 | 851,800 | |
| NorAm Energy Corp., | ||||||
| Deb | 6.500 | 02-01-08 | BBB | 525 | 542,610 | |
| Health Care Facilities 0.74% | 1,909,710 | |||||
|
| ||||||
| HCA, Inc., | ||||||
| Note | 8.750 | 09-01-10 | BB+ | 900 | 993,960 | |
| Manor Care, Inc., | ||||||
| Gtd Note | 6.250 | 05-01-13 | BBB | 875 | 915,750 | |
| Hotels, Resorts & Cruise Lines 0.42% | 1,080,584 | |||||
|
| ||||||
| Hyatt Equities LLC, | ||||||
| Note (S) | 6.875 | 06-15-07 | BBB | 1,060 | 1,080,584 | |
| Industrial Conglomerates 0.19% | 504,458 | |||||
|
| ||||||
| Vedanta Resources Plc, | ||||||
| Sr Note (United Kingdom) (S) | 6.625 | 02-22-10 | BB+ | 510 | 504,458 | |
| Industrial Machinery 1.10% | 2,866,622 | |||||
|
| ||||||
| Kennametal, Inc., | ||||||
| Sr Note | 7.200 | 06-15-12 | BBB | 1,405 | 1,536,419 | |
| Page 4 | ||||||
| John Hancock | |||||
| Income Securities Trust | |||||
| Securities owned by the Fund on | |||||
| September 30, 2005 (unaudited) | |||||
| Manitowoc Co., Inc., (The) | |||||
| Sr Note | 7.125 | 11-01-13 | B+ | 500 | 517,500 |
| Trinity Industries Leasing Co., | |||||
| Pass Thru Ctf (S) | 7.755 | 02-15-09 | Ba1 | 781 | 812,703 |
| Insurance Brokers 0.74% | 1,921,947 | ||||
|
| |||||
| Marsh & McLennan Cos., Inc., | |||||
| Sr Note | 5.375 | 03-15-07 | BBB | 1,530 | 1,533,345 |
| Willis Group North America, | |||||
| Gtd Note | 5.625 | 07-15-15 | BBB- | 195 | 193,746 |
| Gtd Note | 5.125 | 07-15-10 | BBB- | 195 | 194,856 |
| Integrated Oil & Gas 1.02% | 2,648,850 | ||||
|
| |||||
| Pemex Project Funding Master Trust, | |||||
| Gtd Note | 9.125 | 10-13-10 | BBB | 1,115 | 1,304,550 |
| Petro-Canada, | |||||
| Deb (Canada) | 9.250 | 10-15-21 | BBB | 1,000 | 1,344,300 |
| Integrated Telecommunication Services 3.63% | 9,425,177 | ||||
|
| |||||
| AT&T Corp., | |||||
| Med Term Note | 8.350 | 05-15-25 | BB+ | 500 | 511,250 |
| Sr Note (P) | 9.750 | 11-15-31 | BB+ | 510 | 645,787 |
| Bellsouth Corp., | |||||
| Deb | 6.300 | 12-15-15 | A | 1,118 | 1,165,921 |
| France Telecom S.A., | |||||
| Note (France) (P) | 7.750 | 03-01-11 | A- | 910 | 1,033,277 |
| Qwest Capital Funding, Inc., | |||||
| Gtd Note (L) | 7.000 | 08-03-09 | B | 1,000 | 977,500 |
| SBC Communications, Inc., | |||||
| Note | 5.100 | 09-15-14 | A | 870 | 862,096 |
| Sprint Capital Corp., | |||||
| Gtd Sr Note | 6.900 | 05-01-19 | A- | 1,000 | 1,119,544 |
| Gtd Sr Note | 6.875 | 11-15-28 | A- | 820 | 905,834 |
| Telecom Italia Capital, | |||||
| Gtd Note (Luxembourg) (S) | 4.950 | 09-30-14 | BBB+ | 1,500 | 1,451,598 |
| Telefonos de Mexico, S.A. de C.V., | |||||
| Note (Mexico) | 5.500 | 01-27-15 | BBB | 765 | 752,370 |
| Investment Banking & Brokerage 0.48% | 1,239,544 | ||||
|
| |||||
| Merrill Lynch & Co., | |||||
| Med Term Note Ser C | 5.000 | 01-15-15 | A+ | 430 | 427,669 |
| Mizuho Financial Group Cayman Ltd., | |||||
| Gtd Note (Cayman Islands) | 8.375 | 12-29-49 | A2 | 750 | 811,875 |
| IT Consulting & Other Services 0.16% | 413,477 | ||||
|
| |||||
| NCR Corp., | |||||
| Note | 7.125 | 06-15-09 | BBB- | 390 | 413,477 |
| Metal & Glass Containers 0.20% | 520,000 | ||||
|
| |||||
| Owens-Brockway Glass Container, Inc., | |||||
| Gtd Sr Note | 8.250 | 05-15-13 | B | 500 | 520,000 |
Page 5
| John Hancock | |||||
| Income Securities Trust | |||||
| Securities owned by the Fund on | |||||
| September 30, 2005 (unaudited) | |||||
| Multi-Line Insurance 0.85% | 2,201,690 | ||||
|
| |||||
| American International Group, | |||||
| Note (S) | 5.050 | 10-01-15 | AA | 800 | 795,035 |
| Assurant, Inc., | |||||
| Sr Note | 6.750 | 02-15-34 | BBB+ | 510 | 548,615 |
| Massachusetts Mutual Life Insurance Co., | |||||
| Surplus Note (S) | 7.625 | 11-15-23 | AA | 485 | 600,282 |
| Phoenix Life Insurance, | |||||
| Surplus Note (S) | 7.150 | 12-15-34 | BBB+ | 260 | 257,758 |
| Multi-Media 0.65% | 1,693,904 | ||||
|
| |||||
| News America Holdings, Inc., | |||||
| Gtd Sr Deb | 7.750 | 01-20-24 | BBB | 1,020 | 1,170,075 |
| Time Warner, Inc., | |||||
| Deb | 9.125 | 01-15-13 | BBB+ | 429 | 523,829 |
| Multi-Utilities & Unregulated Power 1.01% | 2,621,656 | ||||
|
| |||||
| CalEnergy Co., Inc., | |||||
| Sr Bond | 8.480 | 09-15-28 | BBB- | 550 | 708,948 |
| Salton Sea Funding Corp., | |||||
| Sr Sec Note Ser C | 7.840 | 05-30-10 | BB+ | 1,825 | 1,912,708 |
| Office Services & Supplies 0.40% | 1,025,166 | ||||
|
| |||||
| Steelcase, Inc., | |||||
| Sr Note | 6.375 | 11-15-06 | BBB- | 1,020 | 1,025,166 |
| Oil & Gas Drilling 0.52% | 1,352,827 | ||||
|
| |||||
| Alberta Energy Co., Ltd., | |||||
| Note (Canada) | 8.125 | 09-15-30 | A- | 725 | 956,426 |
| Delek & Avner-Yam Tethys, | |||||
| Sr Sec Note (Israel) (S) | 5.326 | 08-01-13 | BBB- | 403 | 396,401 |
| Oil & Gas Refining, Marketing & Transportation 0.38% | 996,481 | ||||
|
| |||||
| Enterprise Products Operations, L.P., | |||||
| Gtd Sr Note Ser B | 5.600 | 10-15-14 | BB+ | 1,000 | 996,481 |
| Paper Packaging 0.48% | 1,239,275 | ||||
|
| |||||
| Stone Container Corp., | |||||
| Sr Note | 9.750 | 02-01-11 | B | 285 | 289,275 |
| Sr Note | 8.375 | 07-01-12 | B | 1,000 | 950,000 |
| Paper Products 0.78% | 2,022,500 | ||||
|
| |||||
| Abitibi-Consolidated Co., | |||||
| Gtd Sr Note (Canada) | 6.950 | 12-15-06 | BB- | 1,250 | 1,268,750 |
| MDP Acquisitions Plc, | |||||
| Sr Note (Ireland) | 9.625 | 10-01-12 | B- | 750 | 753,750 |
| Pharmaceuticals 1.25% | 3,246,580 | ||||
|
| |||||
| Medco Health Solutions, Inc., | |||||
| Sr Note | 7.250 | 08-15-13 | BBB | 1,550 | 1,708,240 |
Page 6
| John Hancock | ||||||
| Income Securities Trust | ||||||
| Securities owned by the Fund on | ||||||
| September 30, 2005 (unaudited) | ||||||
| Wyeth, | ||||||
| Note | 5.500 | 03-15-13 | A | 1,500 | 1,538,340 | |
| Property & Casualty Insurance 0.61% | 1,596,388 | |||||
|
| ||||||
| Markel Corp., | ||||||
| Sr Note | 7.350 | 08-15-34 | BBB- | 535 | 574,131 | |
| Ohio Casualty Corp., | ||||||
| Note | 7.300 | 06-15-14 | BB | 750 | 808,367 | |
| URC Holdings Corp., | ||||||
| Sr Note (S) | 7.875 | 06-30-06 | AA- | 210 | 213,890 | |
| Real Estate Investment Trusts 1.29% | 3,348,799 | |||||
|
| ||||||
| Healthcare Realty Trust, Inc., | ||||||
| Sr Note | 8.125 | 05-01-11 | BBB- | 175 | 195,774 | |
| iStar Financial, Inc., | ||||||
| Sr Note | 7.000 | 03-15-08 | BBB- | 820 | 855,439 | |
| ProLogis, | ||||||
| Note | 5.500 | 03-01-13 | BBB+ | 1,020 | 1,041,642 | |
| Simon Property Group, L.P., | ||||||
| Note | 5.100 | 06-15-15 | BBB+ | 1,025 | 1,004,694 | |
| Ventas Realty, L.P./Capital Corp., | ||||||
| Sr Note | 6.625 | 10-15-14 | BB | 250 | 251,250 | |
| Real Estate Management & Development 0.54% | 1,413,259 | |||||
|
| ||||||
| Post Apartment Homes, | ||||||
| Sr Note | 5.125 | 10-12-11 | BBB | 870 | 871,158 | |
| Socgen Real Estate Co., LLC, | ||||||
| Perpetual Bond Ser A (7.640% to 09-30-07 then | ||||||
| variable) (S) | 7.640 | 12-29-49 | A | 515 | 542,101 | |
| Regional Banks 1.73% | 4,486,914 | |||||
|
| ||||||
| Colonial Capital II, | ||||||
| Gtd Cap Security Ser A | 8.920 | 01-15-27 | BB | 1,085 | 1,149,305 | |
| Crestar Capital Trust I, | ||||||
| Gtd Cap Security | 8.160 | 12-15-26 | A- | 910 | 976,091 | |
| First Chicago NDB Institutional Capital, | ||||||
| Gtd Cap Bond Ser A (S) | 7.950 | 12-01-26 | A1 | 500 | 533,423 | |
| Greater Bay Bancorp, | ||||||
| Sr Note (S) | 5.125 | 04-15-10 | BBB- | 565 | 563,212 | |
| NB Capital Trust IV, | ||||||
| Gtd Cap Security | 8.250 | 04-15-27 | A | 1,170 | 1,264,883 | |
| Soft Drinks 0.42% | 1,080,000 | |||||
|
| ||||||
| Panamerican Beverages, Inc., | ||||||
| Sr Note (Panama) | 7.250 | 07-01-09 | BBB | 1,000 | 1,080,000 | |
| Specialized Finance 0.96% | 2,484,881 | |||||
|
| ||||||
| Astoria Depositor Corp., | ||||||
| Pass Thru Ctf Ser B (G)(S) | 8.144 | 05-01-21 | BB | 750 | 750,000 | |
| Bosphorous Financial Services, | ||||||
| Sr Sec Floating Rate Note (P)(S) | 5.590 | 02-15-12 | Baa3 | 500 | 485,058 | |
| ESI Tractebel Acquistion Corp., | ||||||
| Gtd Sec Bond Ser B | 7.990 | 12-30-11 | BB | 1,008 | 1,057,194 | |
Page 7
| John Hancock | |||||
| Income Securities Trust | |||||
| Securities owned by the Fund on | |||||
| September 30, 2005 (unaudited) | |||||
| Humpuss Funding Corp., | |||||
| Gtd Note (S) | 7.720 | 12-15-09 | B2 | 197 | 192,629 |
| Telecommunication Services 0.62% | 1,595,940 | ||||
|
| |||||
| Telus Corp., | |||||
| Note (Canada) | 8.000 | 06-01-11 | BBB | 1,395 | 1,595,940 |
| Telecommunications Equipment 0.76% | 1,964,296 | ||||
|
| |||||
| Corning, Inc., | |||||
| Med Term Note | 8.300 | 04-04-25 | Ba2 | 1,150 | 1,193,779 |
| Note | 6.050 | 06-15-15 | BBB- | 775 | 770,517 |
| Thrifts & Mortgage Finance 9.06% | 23,527,586 | ||||
|
| |||||
| Bear Stearns Alt-A Trust, | |||||
| Collateralized Mtg Obligation Ser 2005-3 Class B2 | |||||
| (P) | 5.407 | 04-25-35 | AA+ | 460 | 457,417 |
| Bear Stearns Commercial Mortgage Securities, | |||||
| Inc., | |||||
| Commercial Sub Bond Ser 2004-ESA Class C (S) | 4.937 | 05-14-16 | AA | 1,000 | 1,003,799 |
| Centex Home Equity Loan Trust, | |||||
| Home Equity Ln Asset Backed Ctf Ser 2004-A | |||||
| Class AF-4 | 4.510 | 08-25-32 | AAA | 2,000 | 1,990,810 |
| Chaseflex Trust, | |||||
| Pass Thru Ctf Ser 2005-2 Class 4A1 | 5.000 | 05-25-20 | AAA | 1,234 | 1,227,428 |
| ContiMortgage Home Equity Loan Trust, | |||||
| Pass Thru Ctf Ser 1995-2 Class A-5 | 8.100 | 08-15-25 | AAA | 161 | 168,010 |
| Countrywide Alternative Loan Trust, | |||||
| Mtg Asset Backed Pass Thru Ctf Ser 2004-24CB | |||||
| Class 1A1 | 6.000 | 11-25-34 | AAA | 1,054 | 1,064,416 |
| Mtg Asset Backed Pass Thru Ctf Ser 2005-J1 | |||||
| Class 3A1 | 6.500 | 08-25-32 | AAA | 609 | 617,728 |
| Countrywide Home Loans Servicing, L.P., | |||||
| Mtg Asset Backed Pass Thru Ctf Ser 2005-21 Class A1 | 5.500 | 10-25-35 | Aaa | 4,442 | 4,440,272 |
| Mtg Asset Backed Pass Thru Ctf Ser 2005-6 Class 2A1 | 5.500 | 04-25-35 | Aaa | 725 | 721,820 |
| DLJ Mortgage Acceptance Corp., | |||||
| Commercial Mtg Pass Thru Ctf Ser 1996-CF1 | |||||
| Class B1 (S) | 8.356 | 03-13-28 | AAA | 1,511 | 1,524,474 |
| First Horizon Alternative Mortgage Securities, | |||||
| Mtg Pass Thru Ctf Ser 2004-AA5 Class B1 (P) | 5.261 | 12-25-34 | AA | 319 | 317,021 |
| Global Signal Trust, | |||||
| Sub Bond Ser 2004-1A Class D (S) | 5.098 | 01-15-34 | BBB | 2,000 | 1,975,138 |
| Sub Bond Ser 2004-2A Class D (S) | 5.093 | 12-15-14 | Baa2 | 405 | 394,052 |
| GSR Mortgage Loan Trust, | |||||
| Mtg Pass Thru Ctf Ser 2004-9 Class B1 (G)(P) | 4.445 | 08-25-34 | AA | 720 | 711,604 |
| Indymac Index Mortgage Loan Trust, | |||||
| Asset Backed Ctf Ser 2004-AR13 Class B1 | 5.296 | 01-25-35 | AA | 484 | 481,997 |
| Asset Backed Ctf Ser 2005-AR5 Class B1 (P) | 5.448 | 05-25-35 | AA | 523 | 523,178 |
| JP Morgan Chase Commercial Mortgage Security | |||||
| Corp., | |||||
| Mtg Pass Thru Ctf Ser 2005-LDP4 Class B | 5.129 | 10-15-42 | Aa2 | 2,035 | 2,023,685 |
| Provident Funding Mortgage Loan Trust, | |||||
| Mtg Pass Thru Ctf Ser 2005-1 Class B1 (P) | 4.381 | 05-25-35 | AAA | 324 | 319,438 |
| Sovereign Capital Trust I, | |||||
| Gtd Cap Security | 9.000 | 04-01-27 | BB | 1,000 | 1,076,777 |
Page 8
| John Hancock | ||||||
| Income Securities Trust | ||||||
| Securities owned by the Fund on | ||||||
| September 30, 2005 (unaudited) | ||||||
| Washington Mutual, Inc., | ||||||
| Mtg Ln Pass Thru Ctf Ser 2005-AR4 Class B1 | 4.684 | 04-25-35 | AA | 1,514 | 1,479,448 | |
| Mtg Ln Pass Thru Ctf Ser 2005-6 Class 1CB | 6.500 | 08-25-35 | AAA | 983 | 1,009,074 | |
Utilities Other 0.20% |
529,495 | |||||
|
| ||||||
| Magellan Midstream Partners, L.P., | ||||||
| Note | 6.450 | 06-01-14 | BBB | 500 | 529,495 | |
Wireless Telecommunication Services 2.35% |
6,105,200 | |||||
|
| ||||||
| America Movil S.A. de C.V., | ||||||
| Sr Note (Mexico) | 5.750 | 01-15-15 | BBB | 1,275 | 1,279,418 | |
| AT&T Wireless Services, Inc., | ||||||
| Sr Note | 8.750 | 03-01-31 | A | 1,525 | 2,058,442 | |
| Crown Castle Towers LLC, | ||||||
| Sub Bond Ser 2005-1A Class D | 5.612 | 06-15-35 | Baa2 | 685 | 680,077 | |
| Mobile Telesystems Finance S.A., | ||||||
| Gtd Sr Note (Luxembourg) (L)(S) | 9.750 | 01-30-08 | BB- | 400 | 432,000 | |
| Motorola, Inc., | ||||||
| Deb | 6.500 | 11-15-28 | BBB+ | 1,020 | 1,119,980 | |
| Nextel Communications, Inc., | ||||||
| Sr Note Ser D | 7.375 | 08-01-15 | A- | 500 | 535,283 | |
| Credit | ||||||
| Issuer, description | rating (A) | Shares | Value | |||
| Preferred stocks 5.09% | $13,222,761 | |||||
| (Cost $13,398,216) | ||||||
Agricultural Products 0.40% |
1,044,141 | |||||
|
| ||||||
| Ocean Spray Cranberries, Inc., 6.25%, Ser A (S) | BB+ | 12,500 | 1,044,141 | |||
Broadcasting & Cable TV 0.39% |
1,011,200 | |||||
|
| ||||||
| Viacom, Inc., 7.25% | A- | 40,000 | 1,011,200 | |||
Diversified Banks 1.90% |
4,936,178 | |||||
|
| ||||||
| Abbey National Plc, 7.375% (United Kingdom) | A- | 41,300 | 1,076,278 | |||
| Bank One Capital Trust VI, 7.20% | A- | 55,000 | 1,423,400 | |||
| Fleet Capital Trust VII, 7.20% | A | 55,000 | 1,402,500 | |||
| USB Capital IV, 7.35% | A- | 40,000 | 1,034,000 | |||
Diversified Financial Services 0.78% |
2,019,600 | |||||
|
| ||||||
| ABN AMRO Capital Funding Trust VII, 6.08% | A | 40,000 | 997,200 | |||
| Citigroup Capital VII, 7.125% | A | 40,000 | 1,022,400 | |||
Integrated Telecommunication Services 0.39% |
1,022,000 | |||||
|
| ||||||
| Telephone & Data Systems, Inc., 7.60%, Ser A | A- | 40,000 | 1,022,000 | |||
Multi-Utilities & Unregulated Power 0.62% |
1,609,967 | |||||
|
| ||||||
| Dominion CNG Capital Trust I, 7.80% | BBB- | 21,100 | 547,967 | |||
| PSEG Funding Trust II, 8.75% | BB+ | 40,000 | 1,062,000 | |||
Page 9
| John Hancock | ||||||
| Income Securities Trust | ||||||
| Securities owned by the Fund on | ||||||
| September 30, 2005 (unaudited) | ||||||
| Real Estate Investment Trusts 0.61% | 1,579,675 | |||||
|
| ||||||
| Apartment Investment & Management Co., 8.00%, Ser T | B+ | 55,000 | 1,391,500 | |||
| Public Storage, Inc., 6.50%, Depositary Shares, | ||||||
| Ser W | BBB+ | 7,500 | 188,175 | |||
| Interest | Maturity | Credit | Par value | |||
| Issuer, description | rate (%) | date | rating (A) | ($000) | Value | |
| U.S. government and agencies securities 37.79% | $98,101,178 | |||||
| (Cost $98,516,464) | ||||||
| Government U.S. 12.95% | 33,618,690 | |||||
|
| ||||||
| United States Treasury, | ||||||
| Bond (L) | 10.625 | 08-15-15 | AAA | 7,000 | 10,475,115 | |
| Bond (L) | 9.125 | 05-15-18 | AAA | 495 | 714,018 | |
| Bond (L) | 8.875 | 08-15-17 | AAA | 1,215 | 1,703,562 | |
| Bond | 6.875 | 08-15-25 | AAA | 3,420 | 4,408,862 | |
| Bond (L) | 5.375 | 02-15-31 | AAA | 6,280 | 7,035,559 | |
| Note (L) | 7.000 | 07-15-06 | AAA | 1,500 | 1,532,813 | |
| Note (L) | 4.250 | 08-15-15 | AAA | 2,885 | 2,866,969 | |
| Note (L) | 4.000 | 02-15-15 | AAA | 5,015 | 4,881,792 | |
| Government U.S. Agency 24.84% | 64,482,488 | |||||
|
| ||||||
| Federal Home Loan Bank, | ||||||
| Bond | 4.600 | 04-11-08 | AAA | 2,530 | 2,521,719 | |
| Bond | 4.500 | 04-11-08 | AAA | 3,000 | 2,991,876 | |
| Bond | 4.430 | 04-07-08 | AAA | 2,550 | 2,535,513 | |
| Federal Home Loan Mortgage Corp., | ||||||
| 20 Yr Pass Thru Ctf | 11.250 | 01-01-16 | AAA | 33 | 35,337 | |
| 30 Yr Pass Thru Ctf | 6.000 | 08-01-34 | AAA | 7,929 | 8,068,836 | |
| 30 Yr Pass Thru Ctf | 5.500 | 04-01-33 | AAA | 2,027 | 2,028,816 | |
| CMO REMIC 2901-UB | 5.000 | 03-15-33 | AAA | 4,345 | 4,279,511 | |
| CMO REMIC 2978-CL | 5.500 | 01-15-31 | AAA | 2,695 | 2,707,985 | |
| CMO REMIC 2979-JD | 5.500 | 08-15-31 | AAA | 2,640 | 2,653,862 | |
| Federal National Mortgage Assn., | ||||||
| 15 Yr Pass Thru Ctf | 7.500 | 02-01-08 | AAA | 1 | 588 | |
| 15 Yr Pass Thru Ctf | 7.000 | 09-01-10 | AAA | 38 | 39,453 | |
| 15 Yr Pass Thru Ctf | 7.000 | 09-01-12 | AAA | 7 | 7,223 | |
| 15 Yr Pass Thru Ctf | 7.000 | 04-01-17 | AAA | 61 | 63,513 | |
| 15 Yr Pass Thru Ctf | 5.000 | 10-01-19 | AAA | 964 | 961,411 | |
| 30 Yr Pass Thru Ctf | 6.000 | 05-01-35 | AAA | 4,954 | 5,038,243 | |
| 30 Yr Pass Thru Ctf (M) | 6.000 | 10-01-35 | AAA | 3,226 | 3,280,784 | |
| 30 Yr Pass Thru Ctf | 5.500 | 05-01-34 | AAA | 1,070 | 1,069,830 | |
| 30 Yr Pass Thru Ctf | 5.500 | 11-01-34 | AAA | 2,494 | 2,493,705 | |
| 30 Yr Pass Thru Ctf | 5.500 | 04-01-35 | AAA | 2,480 | 2,479,865 | |
| 30 Yr Pass Thru Ctf | 5.500 | 06-01-35 | AAA | 736 | 735,411 | |
| 30 Yr Pass Thru Ctf | 5.500 | 07-01-35 | AAA | 12,040 | 12,038,510 | |
| CMO REMIC 2003-17-QT | 5.000 | 08-25-27 | AAA | 1,675 | 1,670,575 | |
| Note | 6.000 | 05-30-25 | AAA | 1,720 | 1,698,115 | |
| Note (L) | 5.000 | 04-19-10 | AAA | 2,530 | 2,529,755 | |
| Note (L) | 4.450 | 04-11-08 | AAA | 2,550 | 2,527,346 | |
Page 10
| John Hancock | ||||||
| Income Securities Trust | ||||||
| Securities owned by the Fund on | ||||||
| September 30, 2005 (unaudited) | ||||||
| Government National Mortgage Assn., | ||||||
| 30 Yr Pass Thru Ctf | 10.000 | 11-15-20 | AAA | 5 | 5,166 | |
| 30 Yr Pass Thru Ctf | 9.500 | 01-15-21 | AAA | 5 | 5,009 | |
| 30 Yr Pass Thru Ctf | 9.500 | 02-15-25 | AAA | 13 | 14,531 | |
| |
Interest | Credit | Par value | |||
| Issuer, description, maturity date | rate (%) | rating (A) | ($000) | Value | ||
| Short-term investments 0.78% | $2,017,000 | |||||
| (Cost $2,016,647) | ||||||
| Government U.S. Agency 0.77% | 2,000,000 | |||||
|
| ||||||
| Federal Home Loan Bank, | ||||||
| Disc Note 10-03-05 | Zero | AAA | 2,000 | 2,000,000 | ||
Joint Repurchase Agreement 0.01% |
17,000 | |||||
|
| ||||||
| Investment in a joint repurchase agreement | ||||||
| transaction with Morgan Stanley - Dated 9-30-05, | ||||||
| due 10-3-05 (Secured by U.S. Treasury Inflation | ||||||
| Indexed Bond 3.375%, due 4-15-32) | 3.250 | 17 | 17,000 | |||
| Total investments 100.00% | $259,593,417 | |||||
Page 11
|
John Hancock Income Securities Trust Financial futures contracts September 30, 2005 (unaudited) |
| Number of | ||||
| Open contracts | contracts | Position | Expiration | Appreciation |
|
|
||||
| U.S. 10-Year Treasury Note | 462 | Short | Dec 05 | $352,450 |
| U.S. 10-Year Treasury Note | 25 | Short | Dec 05 | $27,169 |
| $379,619 | ||||
| Financial futures contracts | ||||
|
John Hancock Income Securities Trust Footnotes to Schedule of Investments September 30, 2005 (unaudited) |
(A) Credit ratings are unaudited and are rated by Moody's Investors Service where Standard & Poor's ratings are not available, unless indicated otherwise.
(B) This security is fair valued in good faith under procedures established by the Board of Trustees.
(G) Security rated internally by John Hancock Advisers, LLC.
(H) Non-income-producing issuer filed for protection under the Federal Bankruptcy Code or is in default of interest payment.
(L) All or a portion of this security is on loan as of September 30, 2005.
(M) This security having an aggregate value of $3,280,784, or 1.26% of the Fund's total investments, has been purchased as a forward commitment--that is, the Fund has agreed on trade date to take delivery of and to make payment for this securitiy on a delayed basis subsequent to the date of this schedule. The purchase price and interest rate of this security is fixed at trade date, although the Fund does not earn any interest on this until settlement date. The fund has segregated assets with a current value at least equal to the amount of the forward commitment.
Accordingly, the market value of $3,366,065 of Federal National Mortgage Assn., 6.000%, 5-1-35 has been segregated to cover the forward commitment.
(O) Cash interest will be paid on this obligation at the stated rate beginning on the stated date.
(P) Represents rate in effect on September, 30, 2005.
(S) These securities are exempt from registration under Rule 144A of the Securities Act of 1933. Such securities may be resold, normally to qualified institutional buyers, in transactions exempt from registration. Rule 144A securities amounted to $28,475,434 or 10.97% of the Fund's total investments as of September 30, 2005.
Parenthetical disclosure of a foreign country in the security description represents country of a foreign issuer; however, security is U.S. dollar-denominated.
The percentage shown for each investment category is the total value of that category as a percentage of the total investments of the Fund.
The cost of investments owned on September 30, 2005, including short-term investments, was $260,551,697. Gross unrealized appreciation and depreciation of investments aggregated $3,354,329 and $4,312,609, respectively, resulting in net unrealized depreciation of $958,280.
Footnotes to Schedule of Investments - Page 1
|
ITEM 2. CONTROLS AND PROCEDURES. |
(a) Based upon their evaluation of the registrant's disclosure controls and procedures as conducted within 90 days of the filing date of this Form N-Q, the registrant's principal executive officer and principal accounting officer have concluded that those disclosure controls and procedures provide reasonable assurance that the material information required to be disclosed by the registrant on this report is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission's rules and forms.
(b) There were no changes in the registrant's internal control over financial reporting that occurred during the registrant's last fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting.
ITEM 3. EXHIBITS.
Separate certifications for the registrant's principal executive officer and principal accounting officer, as required by Rule 30a-2(a) under the Investment Company Act of 1940, are attached.
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.
| John Hancock Income Securities Trust By: /s/ Keith F. Hartstein ------------------------------------- Keith F. Hartstein President and Chief Executive Officer Date: November 28, 2005 |
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/ Keith F. Hartstein ------------------------------------- Keith F. Hartstein President and Chief Executive Officer Date: November 28, 2005 By: /s/ John G. Vrysen ------------------------------------- John G. Vrysen Executive Vice President and Chief Financial Officer Date: November 28, 2005 |