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CENTRAL SECURITIES CORPORATION
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INTERIM REPORT TO STOCKHOLDERS
AS OF SEPTEMBER 30, 2005
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To the Stockholders of
CENTRAL SECURITIES CORPORATION:
Financial data for the quarter ended September 30, 2005 prepared by
management without audit by independent auditors and other pertinent information
are submitted herewith.
Comparative market values of net assets are as follows:
Sept. 30, 2005 June 30, 2005 Dec. 31, 2004
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Net assets ....................................... $576,016,570 $567,123,767 $529,468,675
Net assets per share of Common Stock ............. 28.91 28.40 26.44
Shares of Common Stock outstanding ............. 19,924,209 19,966,909 20,023,209
Comparative operating results are as follows:
Nine months ended September 30,
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2005 2004
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Net investment income ............................................ $ 5,218,175 $ 2,139,984
Per share of Common Stock .................................. .26* .11*
Net realized gain on sale of investments ......................... 33,854,099 21,786,174
Increase in net unrealized appreciation of investments ........... 13,866,084 10,135,449
Increase in net assets resulting from operations ................. 52,938,358 34,061,607
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* Per-share data are based on the average number of Common shares
outstanding during the nine-month period.
In the quarter ended September 30, 2005 the Corporation repurchased 42,700
shares of its Common Stock at an average price of $25.42. The Corporation may
from time to time purchase Common Stock in such amounts and at such prices as
the Board of Directors may deem advisable in the best interests of stockholders.
Purchases may be made on the American Stock Exchange or in transactions directly
with stockholders.
Stockholders' inquiries are welcome.
CENTRAL SECURITIES CORPORATION
WILMOT H. KIDD, President
630 Fifth Avenue
New York, NY 10111
October 20, 2005
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PRINCIPAL PORTFOLIO CHANGES
July 1 to September 30, 2005
(Common Stock unless specified otherwise)
Number of Shares
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Held
September 30,
Purchased Sold 2005
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aQuantive, Inc .................... 10,000 --
Chevron Corporation ............... 234,328(a) 234,328
Cincinnati Bell Inc. .............. 100,000 800,000
Convergys Corporation ............. 180,000 1,550,000
Fifth Third Bancorp ............... 300,000 --
PolyOne Corporation ............... 75,000 1,200,000
Roper Industries, Inc. ............ 205,000(b) 410,000
Solectron Corporation ............. 500,000 500,000 2,000,000
The TriZetto Group, Inc. .......... 217,600 1,025,400
Unisys Corporation ................ 100,000 1,000,000
Vical Incorporated ................ 10,000 140,000
Virage Logic Corp. ................ 20,100 20,100
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(a) Received shares and cash in exchange for 400,000 shares of Unocal
Corporation.
(b) Stock split.
TEN LARGEST INVESTMENTS
September 30, 2005
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% of Year First
Cost Value Net Assets Acquired
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(millions)
The Plymouth Rock Company, Inc. ............... $ 2.2 $108.5 18.8% 1982
Murphy Oil Corporation ........................ 3.7 29.9 5.2 1974
Brady Corporation ............................. 1.9 26.9 4.7 1984
Capital One Financial Corporation ............. 1.5 24.7 4.3 1994
Intel Corporation ............................. 0.4 24.2 4.2 1986
Convergys Corporation ......................... 24.1 22.3 3.9 1998
Agilent Technologies Inc. ..................... 13.4 19.7 3.4 2005
Roper Industries, Inc. ........................ 9.0 16.1 2.8 2003
Analog Devices, Inc. .......................... 0.5 16.0 2.8 1987
TransMontaigne Inc. ........................... 14.4 15.4 2.7 2005
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BOARD OF DIRECTORS
Jay R. Inglis, Chairman
Simms C. Browning
Donald G. Calder
Dudley D. Johnson
Wilmot H. Kidd
C. Carter Walker, Jr.
OFFICERS
Wilmot H. Kidd, President
Charles N. Edgerton, Vice President and Treasurer
Marlene A. Krumholz, Secretary
OFFICE
630 Fifth Avenue
Suite 820
New York, NY 10111
212-698-2020
866-593-2507 (toll free)
www.centralsecurities.com
CUSTODIAN
UMB Bank, N.A.
Kansas City, MO
TRANSFER AGENT AND REGISTRAR
Computershare Investor Services (formerly EquiServe Trust Company)
P. O. Box 43069, Providence, RI 02940-3069
781-575-2754
www.equiserve.com
INDEPENDENT AUDITORS
KPMG LLP, New York
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