**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**Washington, DC  20549**

**FORM N-Q**

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED MANANGEMENT INVESTMENT COMPANY

 

**Investment Company Act file number 811-02679**

**DAVIS SERIES, INC.**

(Exact name of registrant as specified in charter)

2949 East Elvira Road, Suite 101

Tucson, AZ  85706

(Address of principal executive offices)

 

Thomas D. Tays

Davis Selected Advisers, L.P.

2949 East Elvira Road, Suite 101

Tucson, AZ  85706

(Name and address of agent for service)

 

Registrant’s telephone number, including area code: 520-806-7600

**Date of fiscal year end: December 31, 2008**

 

**Date of reporting period: March 31, 2008**

 

 

**ITEM 1.  SCHEDULE OF INVESTMENTS**

 

 

 

 

 

**DAVIS SERIES, INC.**

SCHEDULE OF INVESTMENTS AT MARCH 31, 2008*(Unaudited)*

**DAVIS OPPORTUNITY FUND**

 

 

 

 

 

**Shares**

 

**Security**

**Value**

 

**COMMON STOCK – (97.33%)**

 
 

**AUTOMOBILES & COMPONENTS – (1.30%)**

 

 

 

 

151,800

 

Johnson Controls, Inc. 

$

5,130,840

 

 

137,626

 

WABCO Holdings Inc. 

 

6,278,498

 

 

 

 

 

 

11,409,338

 

**CAPITAL GOODS – (4.76%)**

 

 

 

 

1,513,910

 

Blount International, Inc.*

 

18,727,067

 

 

93,050

 

Franklin Electric Co., Inc. 

 

3,177,192

 

 

201,470

 

Shaw Group Inc.* 

 

9,497,296

 

 

228,490

 

Trane, Inc. 

 

10,487,691

 

 

 

 

 

 

41,889,246

 

**CAPITAL MARKETS – (3.58%)**

 

 

 

 

1,089,795

 

E*TRADE Financial Corp.*

 

4,190,262

 

 

85,452

 

Julius Baer Holding, Ltd. AG (Switzerland)

 

6,298,546

 

 

159,280

 

Legg Mason, Inc. 

 

8,916,494

 

 

298,000

 

Merrill Lynch & Co., Inc.

 

12,140,520

 

 

 

 

 

 

31,545,822

 

**COMMERCIAL SERVICES & SUPPLIES – (0.44%)**

 

 

 

 

47,500

 

D&B Corp. 

 

3,865,550

 

**CONSUMER DURABLES & APPAREL – (7.77%)**

 

 

 

 

766,410

 

Garmin Ltd. 

 

41,351,652

 

 

399,884

 

Hunter Douglas NV (Netherlands)

 

27,051,907

 

 

 

 

 

 

68,403,559

 

**CONSUMER FINANCE – (1.29%)**

 

 

 

 

694,230

 

Discover Financial Services

 

11,364,545

 

**CONSUMER SERVICES – (2.51%)**

 

 

 

 

367,630

 

H&R Block, Inc. 

 

7,631,999

 

 

387,750

 

Yum! Brands, Inc. 

 

14,428,177

 

 

 

 

 

 

22,060,176

 

**DIVERSIFIED FINANCIAL SERVICES – (3.55%)**

 

 

 

 

10,600

 

Nymex Holdings Inc. 

 

960,678

 

 

224,500

 

Oaktree Capital Group LLC, Class A (b)

 

6,061,500

 

 

217,161

 

Pargesa Holding S.A., Bearer Shares (Switzerland)

 

24,206,749

 

 

 

 

 

 

31,228,927

 

**ENERGY – (4.25%)**

 

 

 

 

224,110

 

Tenaris S.A., ADR (Argentina)

 

11,171,884

 

 

194,159

 

Transocean Inc.*

 

26,250,297

 

 

 

 

 

 

37,422,181

 

**FOOD & STAPLES RETAILING – (1.42%)**

 

 

 

 

112,000

 

Costco Wholesale Corp. 

 

7,269,920

 

 

159,420

 

Whole Foods Market, Inc. 

 

5,258,469

 

 

 

 

 

 

12,528,389

 

 

**DAVIS SERIES, INC.**

SCHEDULE OF INVESTMENTS AT MARCH 31, 2008 *(Unaudited)*

**DAVIS OPPORTUNITY FUND – (Continued)**

 

 

 

 

 

**Shares**

 

**Security**

**Value**

 

**COMMON STOCK – (Continued)**

 
 

**FOOD, BEVERAGE & TOBACCO – (1.00%)**

 

 

 

 

174,455

 

Heineken Holding NV (Netherlands)

$

8,772,147

 

**HEALTH CARE EQUIPMENT & SERVICES – (3.47%)**

 

 

 

 

100,245

 

Cardinal Health, Inc. 

 

5,263,865

 

 

235,190

 

IDEXX Laboratories, Inc.*

 

11,584,283

 

 

397,220

 

UnitedHealth Group Inc. 

 

13,648,479

 

 

 

 

 

 

30,496,627

 

**INSURANCE BROKERS – (0.66%)**

 

 

 

 

336,633

 

Brown & Brown, Inc. 

 

5,850,682

 

**LIFE & HEALTH INSURANCE – (3.14%)**

 

 

 

 

111,690

 

AFLAC Inc. 

 

7,254,265

 

 

614,330

 

Power Corp. of Canada (Canada)

 

20,348,989

 

 

 

 

 

 

27,603,254

 

**MATERIALS – (4.14%)**

 

 

 

 

257,050

 

Sealed Air Corp. 

 

6,490,512

 

 

324,530

 

Sigma-Aldrich Corp. 

 

19,346,856

 

 

679,600

 

Sino-Forest Corp.* (Canada)

 

10,593,404

 

 

 

 

 

 

36,430,772

 

**MEDIA – (13.26%)**

 

 

 

 

1,500,700

 

Comcast Corp., Special Class A* 

 

28,438,265

 

 

1,270,070

 

Grupo Televisa S.A., ADR (Mexico) 

 

30,786,497

 

 

72,816

 

Lagardere S.C.A. (France)

 

5,444,419

 

 

728,180

 

News Corp., Class A

 

13,653,375

 

 

704,770

 

Virgin Media Inc. 

 

9,916,114

 

 

297,000

 

Walt Disney Co. 

 

9,319,860

 

 

1,607,150

 

WPP Group PLC (United Kingdom)

 

19,169,685

 

 

 

 

 

 

116,728,215

 

**PHARMACEUTICALS, BIOTECHNOLOGY & LIFE SCIENCES – (2.91%)**

 

 

 

 

395,160

 

Johnson & Johnson 

 

25,634,029

 

**PROPERTY & CASUALTY INSURANCE – (5.03%)**

 

 

 

 

961,470

 

Ambac Financial Group, Inc. 

 

5,528,452

 

 

51,000

 

FPIC Insurance Group, Inc.*

 

2,407,710

 

 

78,455

 

Markel Corp.*

 

34,517,846

 

 

150,690

 

MBIA Inc.* 

 

1,841,432

 

 

 

 

 

 

44,295,440

 

**REAL ESTATE – (2.53%)**

 

 

 

 

612,901

 

Redwood Trust, Inc. 

 

22,278,935

 

 

 

 

2

 

**DAVIS SERIES, INC.**

SCHEDULE OF INVESTMENTS AT MARCH 31, 2008 *(Unaudited)***

**DAVIS OPPORTUNITY FUND – (Continued)**

 

 

 

 

 

**Shares**

 

**Security**

**Value**

 

**COMMON STOCK – (Continued)**

 

 

**REINSURANCE – (2.70%)**

 

 

 

 

55,690

 

Everest Re Group, Ltd. 

$

4,985,926

 

 

132,410

 

RenaissanceRe Holdings Ltd. 

 

6,873,403

 

 

179,545

 

Transatlantic Holdings, Inc. 

 

11,912,811

 

 

 

 

 

 

23,772,140

 

**RETAILING – (7.79%)**

 

 

 

 

206,050

 

Bed Bath & Beyond Inc.*

 

6,077,445

 

 

1,123,800

 

CarMax, Inc.*

 

21,824,196

 

 

1,174,300

 

Netflix Inc.*

 

40,619,037

 

 

 

 

 

 

68,520,678

 

**SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT – (2.75%)**

 

 

 

 

856,490

 

Texas Instruments Inc. 

 

24,212,972

 

**SOFTWARE & SERVICES – (9.42%)**

 

 

 

 

1,330,752

 

Convera Corp., Class A*

 

2,248,971

 

 

91,770

 

Google Inc., Class A*

 

40,471,947

 

 

456,840

 

Iron Mountain Inc.*

 

12,078,850

 

 

992,990

 

Microsoft Corp. 

 

28,111,547

 

 

 

 

 

 

82,911,315

 

**TECHNOLOGY HARDWARE & EQUIPMENT – (4.96%)**

 

 

 

 

672,210

 

Agilent Technologies, Inc.*

 

20,052,024

 

 

196,900

 

Cisco Systems, Inc.*

 

4,746,274

 

 

837,820

 

Dell Inc.*

 

16,706,131

 

 

98,170

 

Molex Inc., Class A

 

2,146,487

 

 

 

 

 

 

43,650,916

 

**TELECOMMUNICATION SERVICES – (1.68%)**

 

 

 

 

158,800

 

American Tower Corp., Class A*

 

6,226,548

 

 

186,790

 

SK Telecom Co., Ltd., ADR (South Korea)

 

4,036,532

 

 

679,020

 

Sprint Nextel Corp.* 

 

4,542,644

 

 

 

 

 

 

14,805,724

 

 

3

 

**DAVIS SERIES, INC.**

SCHEDULE OF INVESTMENTS AT MARCH 31, 2008*(Unaudited)***

**DAVIS OPPORTUNITY FUND – (Continued)**

 

 

 

 

 

**Shares/Principal**

 

**Security**

**Value**

 

**COMMON STOCK – (Continued)**

 
 

**TRANSPORTATION – (1.02%)**

 

 

 

 

978,700

 

Clark Holdings, Inc.* (c)

$

3,856,078

 

 

51,410

 

Kuehne & Nagel International AG, Registered (Switzerland)

 

5,143,071

 

 

 

 

 

 

8,999,149

 

 

 

 

 

Total Common Stock – (identified cost $814,977,412)

 

856,680,728

 

 

**CONVERTIBLE BONDS – (0.60%)**

 

**TELECOMMUNICATION SERVICES – (0.60%)**

 

 

 

$

5,600,000

 

Level 3 Communications, Inc., Conv. Sr. Notes, 10.00%, 05/01/11

 

 

 

 

 

 

(identified cost $5,600,000)

 

5,257,000

 

 

**SHORT TERM INVESTMENTS – (2.18%)**

 

 

 

 

 

 

 

 

 

7,382,000

 

ABN AMRO Inc. Joint Repurchase Agreement, 2.60%,

 

 

 

 

 

 

04/01/08, dated 03/31/08, repurchase value of $7,382,533

 

 

 

 

 

 

(collateralized by: U.S. Government agency mortgages and obligations

 

 

 

 

 

 

in a pooled cash account, 0.00%-6.00%, 05/25/11-08/01/37,

 

 

 

 

 

 

total market value $7,529,640) 

 

7,382,000

 

 

7,382,000

 

Goldman, Sachs & Co. Joint Repurchase Agreement, 2.75%,

 

 

 

 

 

 

04/01/08, dated 03/31/08, repurchase value of $7,382,564

 

 

 

 

 

 

(collateralized by: U.S. Government agency mortgages 

 

 

 

 

 

 

in a pooled cash account, 4.50%-6.00%, 10/01/14-02/01/38,

 

 

 

 

 

 

total market value $7,529,640) 

 

7,382,000

 

 

4,386,000

 

UBS Securities LLC Joint Repurchase Agreement, 2.50%,

 

 

 

 

 

 

04/01/08, dated 03/31/08, repurchase value of $4,386,305

 

 

 

 

 

 

(collateralized by: U.S. Government agency mortgage

 

 

 

 

 

 

in a pooled cash account, 5.50%, 05/01/34, 

 

 

 

 

 

 

total market value $4,473,720)

 

4,386,000

 

 

 

 

 

 

 

 

 

 

 

Total Short Term Investments – (identified cost $19,150,000)

 

19,150,000

 

 

 

 

 

Total Investments – (100.11%) – (identified cost $839,727,412)

 

881,087,728

 

 

 

 

Liabilities Less Other Assets – (0.11%)

 

(935,910

)

 

 

 

Net Assets – (100.00%)

$

880,151,818

 

 

*Non-Income Producing Security.

 

ADR:  American Depositary Receipt

 

4

 

**DAVIS SERIES, INC.**

SCHEDULE OF INVESTMENTS AT MARCH 31, 2008*(Unaudited)***

**DAVIS OPPORTUNITY FUND – (Continued)**

 

 

 

 

 

 

(a)     Aggregate cost for Federal Income Tax purposes is $850,211,742. At March 31, 2008, unrealized appreciation (depreciation) of securities for Federal Income Tax purposes is as follows:

 

 

 

 

Unrealized appreciation

$

160,287,595

 

 

 

 

Unrealized depreciation

 

(129,411,609

)

 

 

 

Net unrealized appreciation

$

30,875,986

 

 

(b)  Illiquid security – Securities may be considered illiquid if they lack a readily available market or if valuation has not changed for a certain period of time.The aggregate value of illiquid securities amounted to $6,061,500, or 0.69% of the Fund’s net assets as of March 31, 2008. 

(c)  Affiliated company.  Represents ownership of at least 5% of the voting securities of the issuer and is an affiliate, as defined in the Investment Company Act of 1940, at or during the three months ended March 31, 2008.  The aggregate fair value of the securities of affiliated companies held by the Fund as of March 31, 2008 amounts to $3,856,078.  Transactions during the period in which the issuers were affiliates are as follows:

Security

 

Shares

December 31, 2007

 

Gross

Additions

 

Gross

Reductions

 

Shares

March 31, 2008

 

Dividend

Income

Clark Holdings, Inc.

 

–

 

978,700

 

–

 

978,700

$

–

 

Please refer to “Notes to Schedule of Investments” on page 25 for the Fund’s policy regarding valuation of investments. 

For information regarding the Fund’s other significant accounting policies, please refer to the Fund’s most recent Semi-Annual or Annual Shareholder Report.

 

5

 

**DAVIS SERIES, INC.**

SCHEDULE OF INVESTMENTS AT MARCH 31, 2008 (*Unaudited*)

**DAVIS GOVERNMENT BOND FUND**

 

 

 

 

 

**Principal**

 

**Security**

**Value**

 

**MORTGAGES – (69.00%)**

 
 

 

 

 

**COLLATERALIZED MORTGAGE OBLIGATIONS – (19.57%)**

 

 

 

$

1,105,537

 

Fannie Mae, 4.10%, 01/25/10

$

1,093,937

 

 

125,000

 

Fannie Mae, 5.00%, 07/25/15

 

126,788

 

 

1,659,229

 

Fannie Mae, 5.50%, 11/25/23

 

1,691,449

 

 

4,957,867

 

Fannie Mae, 4.00%, 09/25/31

 

4,965,414

 

 

938,225

 

Freddie Mac, 4.00%, 09/15/10

 

941,793

 

 

1,301,394

 

Freddie Mac, 5.00%, 08/15/14

 

1,310,581

 

 

1,151,279

 

Freddie Mac, 5.00%, 08/15/16

 

1,173,261

 

 

2,096,464

 

Freddie Mac, 6.00%, 05/15/35

 

2,141,455

 

 

621,312

 

Ginnie Mae, 6.00%, 03/20/14

 

626,091

 

 

1,726,613

 

Ginnie Mae, 6.00%, 05/16/30

 

1,754,436

 

 

 

 

 

 

15,825,205

 

**FANNIE MAE POOLS – (19.67%)**

 

 

 

 

392,018

 

6.12%, 10/01/08 Pool No. 380999

 

393,555

 

 

727,051

 

4.50%, 01/01/13 Pool No. 254646

 

738,995

 

 

3,995,465

 

6.00%, 09/01/17 Pool No. 665776

 

4,146,169

 

 

2,935,688

 

4.50%, 08/01/18 Pool No. 254833

 

2,944,465

 

 

199,140

 

6.50%, 07/01/32 Pool No. 635069

 

207,242

 

 

2,800,827

 

6.636%, 10/01/32 Pool No. 648917 (b)

 

2,832,204

 

 

175,241

 

7.31%, 01/01/33 Pool No. 681153 (b)

 

177,102

 

 

1,095,458

 

4.696%, 05/01/35 Pool No. 826242 (b)

 

1,102,093

 

 

1,450,717

 

5.065%, 01/01/36 Pool No. 848973 (b)

 

1,460,395

 

 

405,120

 

5.584%, 03/01/36 Pool No. 843396 (b)

 

402,106

 

 

1,497,683

 

5.626%, 04/01/36 Pool No. 851605 (b)

 

1,506,571

 

 

 

 

 

 

15,910,897

 

**FREDDIE MAC POOLS – (28.91%)**

 

 

 

 

110,758

 

4.00%, 07/01/08 Pool No. M90826

 

110,777

 

 

931,143

 

3.50%, 08/01/08 Pool No. M90830

 

951,358

 

 

1,577,644

 

4.50%, 07/01/09 Pool No. M90934

 

1,574,954

 

 

549,307

 

4.50%, 10/01/09 Pool No. M80778

 

554,436

 

 

1,517,805

 

5.00%, 02/01/10 Pool No. M90972

 

1,526,390

 

 

973,654

 

4.50%, 03/01/10 Pool No. M80807

 

984,013

 

 

6,949,303

 

4.50%, 05/01/10 Pool No. M80818

 

7,032,284

 

 

708,644

 

3.00%, 10/01/10 Pool No. M91001

 

688,957

 

 

929,277

 

4.00%, 11/01/10 Pool No. M80864

 

933,501

 

 

874,986

 

3.50%, 04/01/12 Pool No. M80974

 

858,608

 

 

1,394,260

 

4.00%, 12/01/12 Pool No. M81008

 

1,388,203

 

 

2,263,945

 

5.50%, 06/01/22 Pool No. G12688

 

2,311,040

 

 

6

 

**DAVIS SERIES, INC.**

SCHEDULE OF INVESTMENTS AT MARCH 31, 2008 (*Unaudited*)

**DAVIS GOVERNMENT BOND FUND – (Continued)**

 

 

 

 

 

**Principal**

 

**Security**

**Value**

 

**FREDDIE MAC POOLS – (Continued)**

 

 

 

$

1,933,838

 

5.50%, 10/01/22 Pool No. G13024

$

1,974,066

 

 

833,409

 

4.54%, 12/01/34 Pool No. 1H1238 (b)

 

838,682

 

 

1,654,182

 

4.742%, 04/01/35 Pool No. 782528 (b)

 

1,647,936

 

 

 

 

 

 

23,375,205

 

**GINNIE MAE POOLS – (0.85%)**

 

 

 

 

698,653

 

4.00%, 08/20/20 Pool No. 003811

 

686,252

 

 

 

 

 

 

 

 

 

 

 

Total Mortgages – (identified cost $55,590,094)

 

55,797,559

 

 

 

 

 

**GOVERNMENT AGENCY NOTES – (25.90%)**

 

 

 

 

2,000,000

 

Fannie Mae, 6.00%, 05/15/08

 

2,009,172

 

 

5,950,000

 

Fannie Mae, 6.02%, 08/08/25

 

5,968,314

 

 

46,818

 

Federal Farm Credit Bank, 3.41%, 06/24/10

 

46,819

 

 

1,000,000

 

Federal Farm Credit Bank, 4.75%, 01/22/14

 

1,001,245

 

 

1,000,000

 

Federal Home Loan Bank, 4.00%, 06/13/08

 

1,003,620

 

 

1,000,000

 

Federal Home Loan Bank, 5.125%, 11/23/09

 

1,004,081

 

 

1,000,000

 

Federal Home Loan Bank, 4.875%, 03/12/10

 

1,048,313

 

 

2,600,000

 

Federal Home Loan Bank, 3.40%, 09/17/10

 

2,611,065

 

 

3,000,000

 

Federal Home Loan Bank, 5.60%, 04/25/11

 

3,005,926

 

 

2,000,000

 

Federal Home Loan Bank, 4.75%, 02/06/15

 

2,007,830

 

 

230,000

 

Freddie Mac, 3.00%, 06/30/09

 

230,029

 

 

1,000,000

 

Freddie Mac, 3.50%, 07/28/09

 

1,003,852

 

 

 

 

 

 

 

 

 

 

 

Total Government Agency Notes – (identified cost $20,848,488)

 

20,940,266

 

 

**SHORT TERM INVESTMENTS – (2.01%)**

 

626,000

 

ABN AMRO Inc. Joint Repurchase Agreement, 2.60%,

 

 

 

 

 

 

04/01/08, dated 03/31/08, repurchase value of $626,045

 

 

 

 

 

 

(collateralized by: U.S. Government agency mortgages and obligations

 

 

 

 

 

 

in a pooled cash account, 0.00%-6.00%, 05/25/11-08/01/37,

 

 

 

 

 

 

total market value $638,520)

 

626,000

 

 

626,000

 

Goldman, Sachs & Co. Joint Repurchase Agreement, 2.75%,

 

 

 

 

 

 

04/01/08, dated 03/31/08, repurchase value of $626,048

 

 

 

 

 

 

(collateralized by: U.S. Government agency mortgages 

 

 

 

 

 

 

in a pooled cash account, 4.50%-6.00%, 10/01/14-02/01/38,

 

 

 

 

 

 

total market value $638,520)

 

626,000

 

 

373,000

 

UBS Securities LLC Joint Repurchase Agreement, 2.50%,

 

 

 

 

 

 

04/01/08, dated 03/31/08, repurchase value of $373,026

 

 

 

 

 

 

(collateralized by: U.S. Government agency mortgage in a pooled

 

 

 

 

 

 

cash account, 5.50%, 05/01/34, total market value $380,460)

 

373,000

 

 

 

 

 

 

 

 

 

 

 

Total Short Term Investments – (identified cost $1,625,000)

 

1,625,000

 

 

 

 

 

 

 

 

 

7

 

**DAVIS SERIES, INC.**

SCHEDULE OF INVESTMENTS AT MARCH 31, 2008 (*Unaudited*)

**DAVIS GOVERNMENT BOND FUND – (Continued)**

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Investments – (96.91%) – (identified cost $78,063,582) – (a)

$

78,362,825

 

 

 

 

Other Assets Less Liabilities – (3.09%)

 

2,500,258

 

 

 

 

Net Assets – (100.00%)

$

80,863,083

 

 

(a)  Aggregate cost for Federal Income Tax purposes is $78,063,582. At March 31, 2008 unrealized appreciation (depreciation) of securities for Federal Income Tax purposes is as follows:

 

 

 

 

Unrealized appreciation

$

438,998

 

 

 

 

Unrealized depreciation

 

(139,755

)

 

 

 

Net unrealized appreciation

$

299,243

 

 

(b)  The interest rates on adjustable rate securities, shown as of March 31, 2008, may change daily or less frequently and are based on indices of market interest rates.

Please refer to “Notes to Schedule of Investments” on page 25****for the Fund’s policy regarding valuation of investments. 

For information regarding the Fund’s other significant accounting policies, please refer to the Fund’s most recent Semi-Annual or Annual Shareholder Report.

 

8

 

**DAVIS SERIES, INC.**

SCHEDULE OF INVESTMENTS AT MARCH 31, 2008 (*Unaudited*)

**DAVIS GOVERNMENT MONEY MARKET FUND**

 
 

 

 

 

 

 
**Principal**

 

**Security**

**Value**

 

 
**FANNIE MAE – (14.13%)**

 
 
$

2,000,000

 

2.875%, 05/19/08

$

1,995,743

 

 
 

4,100,000

 

3.25%, 06/04/08

 

4,085,337

 

 
 

2,000,000

 

3.01%, 06/09/08

 

1,993,950

 

 
 

2,000,000

 

3.80%, 06/30/08

 

1,997,650

 

 
 

4,000,000

 

3.10%, 07/02/08

 

4,002,351

 

 
 

14,000,000

 

5.00%, 07/25/08

 

14,033,106

 

 
 

3,000,000

 

4.00%, 08/08/08

 

2,997,224

 

 
 

880,000

 

3.25%, 08/15/08

 

876,144

 

 
 

10,000,000

 

5.125%, 09/02/08

 

10,102,773

 

 
 

2,590,000

 

3.75%, 09/15/08

 

2,603,585

 

 
 

19,675,000

 

5.00%, 09/15/08

 

19,861,712

 

 
 

360,000

 

4.50%, 10/15/08

 

364,625

 

 
 

 

 

 

 

 

 

 
 

 

 

Total Fannie Mae – (identified cost $64,914,200)

 

64,914,200

 

 
**FEDERAL FARM CREDIT BANK – (0.22%)**

 

 

 

 

 

 

 
 

1,000,000

 

4.03%, 06/30/08 (identified cost $997,466)

 

997,466

 

**FEDERAL HOME LOAN BANK – (30.50%)**

 
 

1,000,000

 

4.27%, 04/11/08

 

999,717

 

 

1,000,000

 

5.25%, 04/11/08

 

1,000,565

 

 

2,000,000

 

4.00%, 04/18/08

 

1,999,705

 

 

3,370,000

 

4.125%, 04/18/08

 

3,371,172

 

 

1,500,000

 

4.44%, 04/21/08

 

1,500,083

 

 

13,000,000

 

4.32%, 04/23/08

 

12,999,040

 

 

1,130,000

 

4.30%, 05/21/08

 

1,129,960

 

 

2,000,000

 

5.00%, 06/10/08

 

2,002,568

 

 

1,000,000

 

3.75%, 06/16/08

 

996,898

 

 

1,000,000

 

4.25%, 06/18/08

 

1,002,794

 

 

2,150,000

 

5.125%, 06/18/08

 

2,153,812

 

 

10,000,000

 

2.85%, 07/07/08

 

10,000,000

 

 

1,000,000

 

4.04%, 07/14/08

 

997,127

 

 

2,000,000

 

4.28%, 07/14/08

 

2,011,074

 

 

5,025,000

 

2.625%, 07/15/08

 

5,001,916

 

 

810,000

 

4.25%, 07/16/08

 

808,087

 

 

8,515,000

 

5.125%, 07/16/08

 

8,535,792

 

 

2,000,000

 

4.03%, 07/21/08

 

2,002,046

 

 

500,000

 

3.10%, 07/22/08

 

497,065

 

 
 

1,000,000

 

3.32%, 07/28/08

 

994,402

 

 
 

5,000,000

 

5.125%, 07/30/08

 

5,005,980

 

 
 

1,000,000

 

5.125%, 08/08/08

 

1,008,349

 

 

 

9

 

**DAVIS SERIES, INC.**

SCHEDULE OF INVESTMENTS AT MARCH 31, 2008 (*Unaudited*)

**DAVIS GOVERNMENT MONEY MARKET FUND – (Continued)**

 
 

 

 

 

 

 
**Principal**

 

**Security**

**Value**

 

 
**FEDERAL HOME LOAN BANK – (Continued)**

 
 
$

13,000,000

 

5.25%, 08/14/08

$

13,047,686

 

 
 

3,000,000

 

5.50%, 08/15/08

 

3,032,620

 

 
 

600,000

 

5.00%, 09/12/08

 

607,740

 

 
 

1,400,000

 

5.10%, 09/19/08

 

1,415,700

 

 
 

2,500,000

 

4.50%, 09/26/08

 

2,522,020

 

 
 

860,000

 

4.375%, 10/03/08

 

869,818

 

 

350,000

 

4.50%, 10/14/08

 

354,472

 

 

12,000,000

 

4.625%, 10/24/08

 

12,134,609

 

 

1,000,000

 

4.75%, 10/27/08

 

1,012,373

 

 

4,600,000

 

4.125%, 11/17/08

 

4,594,248

 

 

500,000

 

5.00%, 11/17/08

 

507,606

 

 
 

5,000,000

 

2.846%, 12/01/08 (b)

 

5,000,000

 

 
 

1,000,000

 

4.70%, 12/26/08

 

1,007,051

 

 
 

6,000,000

 

2.76%, 02/12/09

 

6,000,000

 

 
 

17,000,000

 

2.72%, 03/20/09 (b)

 

17,000,000

 

 
 

5,000,000

 

2.66%, 04/03/09 (b)

 

5,000,000

 

 
 

 

 

 

 

 

 

 
 

 

 

Total Federal Home Loan Bank – (identified cost $140,124,095)

 

140,124,095

 

 

**FREDDIE MAC – (6.08%)**

 
 

1,000,000

 

3.125%, 04/04/08

 

999,868

 

 

625,000

 

5.75%, 04/15/08

 

625,119

 

 

2,000,000

 

3.50%, 04/28/08

 

1,998,621

 

 

3,750,000

 

3.75%, 05/12/08

 

3,744,092

 

 

500,000

 

3.25%, 05/14/08

 

498,816

 

 

500,000

 

2.70%, 06/25/08

 

497,745

 

 

700,000

 

3.08%, 07/09/08

 

695,894

 

 

1,529,000

 

4.875%, 09/12/08

 

1,544,487

 

 

557,000

 

3.625%, 09/15/08

 

560,891

 

 

560,000

 

5.00%, 09/16/08

 

567,414

 

 

4,139,000

 

4.48%, 09/19/08

 

4,174,389

 

 

395,000

 

4.30%, 09/24/08

 

399,179

 

 

500,000

 

4.90%, 11/03/08

 

506,874

 

 

3,525,000

 

4.75%, 11/26/08

 

3,587,531

 

 

7,500,000

 

4.10%, 01/14/09

 

7,535,726

 

 

 

 

 

 

 

 

 

 

 

Total Freddie Mac – (identified cost $27,936,646)

 

27,936,646

 

**FREDDIE MAC MORTGAGE POOL – (2.97%)**

 
 

1,683,789

 

3.50%, 04/01/08 Pool No. M90820

 

1,683,789

 

 

1,341,152

 

4.00%, 04/01/08 Pool No. M90808

 

1,341,152

 

 

371,401

 

4.00%, 05/01/08 Pool No. M90814

 

370,989

 

 

341,173

 

4.50%, 05/01/08 Pool No. M90815

 

341,015

 

 

1,098,394

 

3.50%, 06/01/08 Pool No. M90825

 

1,095,072

 

 

10

 

**DAVIS SERIES, INC.**

SCHEDULE OF INVESTMENTS AT MARCH 31, 2008 (*Unaudited*)  

**DAVIS GOVERNMENT MONEY MARKET FUND – (Continued)**

 

 

 

 

 

**Principal**

 

**Security**

**Value**

 

**FREDDIE MAC MORTGAGE POOL – (Continued)**

 
$

1,698,531

 

4.00%, 06/01/08 Pool No. M90818

$

1,695,829

 

 

3,810,071

 

4.00%, 07/01/08 Pool No. M90826

 

3,801,006

 

 

644,077

 

4.50%, 03/01/09 Pool No. M90904

 

649,200

 

 

2,666,385

 

3.50%, 04/01/09 Pool No. M90913

 

2,674,538

 

 

 

 

 

 

 

 

 

 

 

Total Freddie Mac Mortgage Pools –  

 

 

 

 

 

 

(identified cost $13,652,590)

 

13,652,590

 

 

 
**REPURCHASE AGREEMENTS – (47.06%)**

 
 

83,331,000

 

ABN AMRO Inc. Joint Repurchase Agreement, 2.60%,

 

 

 

 

 

 

04/01/08, dated 03/31/08, repurchase value of $83,337,018

 

 

 

 

 

 

(collateralized by: U.S. Government agency mortgages and obligations 

 

 

 

 

 

 

in a pooled cash account, 0.00%-6.00%, 05/25/11-08/01/37,

 

 

 

 

 

 

total market value $84,997,620)

 

83,331,000

 

 

83,331,000

 

Goldman, Sachs & Co. Joint Repurchase Agreement, 2.75%,

 

 

 

 

 

 

04/01/08, dated 03/31/08, repurchase value of $85,337,366

 

 

 

 

 

 

(collateralized by: U.S. Government agency mortgages 

 

 

 

 

 

 

in a pooled cash account, 4.50%-6.00%, 10/01/14-02/01/38,

 

 

 

 

 

 

total market value $84,997,620)

 

83,331,000

 

 

49,505,000

 

UBS Securities LLC Joint Repurchase Agreement, 2.50%,

 

 

 

 

 

 

04/01/08, dated 03/31/08, repurchase value of $49,508,438

 

 

 

 

 

 

(collateralized by: U.S. Government agency mortgage in a

 

 

 

 

 

 

pooled cash account, 5.50%, 05/01/34, 

 

 

 

 

 

 

total market value $50,495,100)

 

49,505,000

 

 

 

 

 

 

 

 

 

 

 

Total Repurchase Agreements – (identified cost $216,167,000)

 

216,167,000

 

 

 

 

 

Total Investments – (100.96%) – (identified cost $463,791,997) – (a)

 

463,791,997

 

 

 

 

Liabilities Less Other Assets – (0.96%)

 

(4,391,332

)

 

 

 

Net Assets – (100.00%)

$

459,400,665

 

(a)

Aggregate cost for Federal Income Tax Purposes is $463,791,997.

 (b)  The interest rates on floating rate securities, shown as of March 31, 2008, may change daily or less frequently and are based on indices of market interest rates. For purposes of amortized cost valuation, the maturity dates of these securities are considered to be the effective maturities, based on the reset dates of the securities’ variable rates.

Please refer to “Notes to Schedule of Investments” on page 25 for the Fund’s policy regarding valuation of investments. 

For information regarding the Fund’s other significant accounting policies, please refer to the Fund’s most recent Semi-Annual or Annual Shareholder Report.

 

11

 

**DAVIS SERIES, INC.**  

SCHEDULE OF INVESTMENTS AT MARCH 31, 2008 (*Unaudited*)

**DAVIS FINANCIAL FUND**

 

 

 

 

 

**Shares**

 

**Security**

**Value**

 

**COMMON STOCK – (98.70%)**

 
 

**CAPITAL MARKETS – (12.28%)**

 

 

 

 

393,500

 

Ameriprise Financial, Inc. 

$

20,402,975

 

 

1,020,000

 

Bank of New York Mellon Corp. 

 

42,564,600

 

 

46,000

 

Merrill Lynch & Co., Inc.  

 

1,874,040

 

 

833,400

 

Merrill Lynch & Co., Inc., Private Placement (c)(d)

 

31,745,789

 

 

 

 

 

 

96,587,404

 

**COMMERCIAL BANKS – (4.89%)**

 

 

 

 

75,700

 

ICICI Bank Ltd., ADR (India)

 

2,890,983

 

 

402,350

 

State Bank of India, GDR (India)

 

35,607,975

 

 

 

 

 

 

38,498,958

 

**COMMERCIAL SERVICES & SUPPLIES – (7.35%)**

 

 

 

 

710,650

 

D&B Corp. 

 

57,832,697

 

**CONSUMER FINANCE – (12.11%)**

 

 

 

 

1,949,000

 

American Express Co. 

 

85,210,280

 

 

1,351,000

 

First Marblehead Corp. * 

 

10,078,460

 

 

 

 

 

 

95,288,740

 

**CONSUMER SERVICES – (2.09%)**

 

 

 

 

791,000

 

H&R Block, Inc. 

 

16,421,160

 

**DIVERSIFIED FINANCIAL SERVICES – (12.40%)**

 

 

 

 

1,019,560

 

JPMorgan Chase & Co. 

 

43,790,102

 

 

872,600

 

Moody’s Corp. 

 

30,392,658

 

 

274,000

 

Oaktree Capital Group LLC, Class A (c)

 

7,398,000

 

 

13,900

 

RHJ International* (Belgium) 

 

157,124

 

 

396,550

 

RHJ International, 144A* (Belgium) (b)(d)

 

4,499,018

 

 

182,000

 

Visa Inc., Class A* 

 

11,349,520

 

 

 

97,586,422

 

**ENERGY – (5.37%)**

 

 

 

 

618,700

 

Canadian Natural Resources Ltd. (Canada)

 

42,232,462

 

**LIFE & HEALTH INSURANCE – (2.21%)**

 

 

 

 

334,733

 

China Life Insurance Co., Ltd., ADR (China)

 

17,426,200

 

**MATERIALS – (2.95%)**

 

 

 

 

918,000

 

Sealed Air Corp. 

 

23,179,500

 

**MULTI-LINE INSURANCE – (12.28%)**

 

 

 

 

866,796

 

American International Group, Inc. 

 

37,488,927

 

 

1,470,600

 

Loews Corp. 

 

59,147,532

 

 

 

 

 

 

96,636,459

 

 

12

 

**DAVIS SERIES, INC.**

SCHEDULE OF INVESTMENTS AT MARCH 31, 2008 (*Unaudited*)  

**DAVIS FINANCIAL FUND – (Continued)**

 

 

 

 

 

**Shares/Principal**

 

**Security**

**Value**

 

**COMMON STOCK – (Continued)**

 
 

**PROPERTY & CASUALTY INSURANCE – (10.45%)**

 

 

 

 

169,800

 

Ambac Financial Group, Inc. 

$

976,350

 

 

337,300

 

FPIC Insurance Group, Inc.*

 

15,923,933

 

 

88,200

 

Markel Corp.*

 

38,805,354

 

 

534,000

 

MBIA Inc.* 

 

6,525,480

 

 

1,244,000

 

Progressive Corp. (Ohio)

 

19,991,080

 

 

 

 

 

 

82,222,197

 

**REINSURANCE – (14.32%)**

 

 

 

 

225,000

 

Everest Re Group, Ltd. 

 

20,144,250

 

 

1,394,187

 

Transatlantic Holdings, Inc. 

 

92,504,308

 

 

 

 

 

 

112,648,558

 

 

 

 

 

 

 

 

 

 

 

Total Common Stock – (identified cost $523,000,947)

 

776,560,757

 

 

**SHORT TERM INVESTMENTS – (1.22%)**

 

 

 

 

 

 

 

 

$

3,711,000

 

ABN AMRO Inc. Joint Repurchase Agreement, 2.60%,

 

 

 

 

 

 

04/01/08, dated 03/31/08, repurchase value of $3,711,268

 

 

 

 

 

 

(collateralized by: U.S. Government agency mortgages and obligations

 

 

 

 

 

 

in a pooled cash account, 0.00%-6.00%, 05/25/11-08/01/37,

 

 

 

 

 

 

total market value $3,785,220) 

 

3,711,000

 

 

3,711,000

 

Goldman, Sachs & Co. Joint Repurchase Agreement, 2.75%,

 

 

 

 

 

 

04/01/08, dated 03/31/08,repurchase value of $3,711,283

 

 

 

 

 

 

(collateralized by: U.S. Government agency mortgages 

 

 

 

 

 

 

in a pooled cash account, 4.50%-6.00%, 10/01/14-02/01/38,

 

 

 

 

 

 

total market value $3,785,220) 

 

3,711,000

 

 

2,205,000

 

UBS Securities LLC Joint Repurchase Agreement, 2.50%,

 

 

 

 

 

 

04/01/08, dated 03/31/08, repurchase value of $2,205,153

 

 

 

 

 

 

(collateralized by: U.S. Government agency mortgage

 

 

 

 

 

 

in a pooled cash account, 5.50%, 05/01/34,

 

 

 

 

 

 

total market value $2,249,100)

 

2,205,000

 

 

 

 

 

 

 

 

 

 

 

 

Total Short Term Investments – (identified cost $9,627,000)

 

9,627,000

 

 

 

 

 

Total Investments – (99.92%) – (identified cost $532,627,947) – (a)

 

786,187,757

 

 

 

 

Other Assets Less Liabilities – (0.08%)

 

637,232

 

 

 

 

Net Assets – (100.00%)

$

786,824,989

 

 

13

 

**DAVIS SERIES, INC.**

SCHEDULE OF INVESTMENTS AT MARCH 31, 2008 (*Unaudited*)  

**DAVIS FINANCIAL FUND – (Continued)**

 

 

 

 

 

 

 

 

 

 

 

 
*Non-Income Producing Security.

ADR: American Depositary Receipt

GDR: Global Depositary Receipt

(a)  Aggregate cost for Federal Income Tax purposes is $532,627,947.  At March 31, 2008 unrealized appreciation (depreciation) of securities for Federal Income Tax purposes is as follows:

 

 

 

Unrealized appreciation

$

299,366,239

 

 

 

 

Unrealized depreciation

 

(45,806,429

)

 

 

 

Net unrealized appreciation

$

253,559,810

 

 

(b)  These securities are subject to Rule 144A.  The Board of Directors of the Fund has determined that there is sufficient liquidity in these securities to realize current valuations.  These securities amounted to $4,499,018 or 0.57% of the Fund’s net assets as of March 31, 2008.

(c)  Illiquid Security – Securities may be considered illiquid if they lack a readily available market or if valuation has not changed for a certain period of time. The aggregate value of illiquid securities amounted to $39,143,789 or 4.97% of the Fund’s net assets as of March 31, 2008.

(d)   Restricted Security – Restricted securities are not registered under the Securities Act of 1933 and may have contractual restrictions on resale. They are valued under methods approved by the Board of Directors as reflecting fair value. The aggregate value of restricted securities amounted to $36,244,807 or 4.61% of the Fund’s net assets as of March 31, 2008.

Please refer to “Notes to Schedule of Investments” on page25 for the Fund’s policy regarding valuation of investments. 

For information regarding the Fund’s other significant accounting policies, please refer to the Fund’s most recent Semi-Annual or Annual Shareholder Report.

 

14

 

**DAVIS SERIES, INC.**  

SCHEDULE OF INVESTMENTS AT MARCH 31, 2008 *(Unaudited)*

**DAVIS APPRECIATION & INCOME FUND**

 

 

 

 

**Shares/Principal**

**Security**

**Value**

 

**CONVERTIBLE PREFERRED STOCK – (7.23%)**

 
 

**CAPITAL GOODS – (0.45%)**

 

 

 

 

109,741

 

United Rentals Trust I, 6.50%, 08/01/28, Conv. Pfd. 

$

3,462,109

 

**DIVERSIFIED FINANCIAL SERVICES – (2.46%)**

 

 

 

 

400,000

 

Citigroup Inc., 6.50%, 12/31/49, Conv. Pfd.

 

18,992,000

 

**REAL ESTATE – (2.02%)**

 

 

 

 

650,000

 

Digital Realty Trust L.P., 5.50%, 12/31/49, Cum. Conv. Pfd. 

 

15,539,030

 

**TRANSPORTATION – (0.56%)**

 

 

 

 

161,300

 

Continental Airlines Finance Trust II, 6.00%, 11/15/30, Cum. Conv. Pfd. 

 

4,321,388

 

**UTILITIES – (1.74%)**

 

 

 

 

288,810

 

AES Trust III, 6.75%, 10/15/29, Conv. Pfd. 

 

13,429,665

 

 

 

 

 

 

 

 

 

 

 

Total Convertible Preferred Stock –

 

 

 

 

 

 

(identified cost $54,879,026)

 

55,744,192

 

 

**CONVERTIBLE BONDS – (41.67%)**

 

**CAPITAL GOODS – (2.81%)**

 

 

 

$

8,500,000

 

Quanta Services, Inc., Conv. Sub. Deb., 4.50%, 10/01/23

 

17,903,125

 

 

3,720,000

 

United Rentals North America Inc., Conv. Sr. Sub., 1.875%, 10/15/23

 

3,766,500

 

 

 

 

 

 

21,669,625

 

**COMMERCIAL SERVICES & SUPPLIES – (5.20%)**

 

 

 

 

8,500,000

 

School Specialty, Inc., Conv. Sub. Deb., 3.75%, 11/30/26

 

7,788,125

 

 

22,101,000

 

School Specialty, Inc., Conv. Sub. Notes, 3.75%/Zero Cpn., 08/01/23 (e)

 

21,161,708

 

 

10,000,000

 

Waste Connections, Inc., Conv. Sr. Notes, 3.75%, 04/01/26

 

11,112,500

 

 

 

 

 

 

40,062,333

 

**ENERGY – (9.52%)**

 

 

 

 

12,400,000

 

Lehman Brothers Holdings Inc., Conv. Notes (Convertible into

 

 

 

 

 

 

Devon Energy Corp.), 0.25%, 08/23/11 (f)

 

33,370,880

 

 

39,000,000

 

Nabors Industries, Inc., Conv. Sr. Notes, 0.94%, 05/15/11

 

40,072,500

 

 

 

 

 

 

73,443,380

 

**MATERIALS – (1.15%)**

 

 

 

 

9,000,000

 

Sealed Air Corp., Ser. 144A, Conv. Sr. Notes, 3.00%, 06/30/33 (b)

 

8,842,500

 

**MEDIA – (1.23%)**

 

 

 

 

16,050,000

 

News America Inc., Conv. Notes, Zero Cpn., 3.38%, 02/28/21 (c)(d)(f)

 

9,484,828

 

**PHARMACEUTICALS, BIOTECHNOLOGY & LIFE SCIENCES – (0.42%)**

 

 

 

 

3,900,000

 

Valeant Pharmaceuticals International, Conv. Sub. Notes,

 

 

 

 

 

 

4.00%, 11/15/13

 

3,261,375

 

 

 

 

 

 

 

 

 

15

 

**DAVIS SERIES, INC.**

SCHEDULE OF INVESTMENTS AT MARCH 31, 2008 *(Unaudited)*

**DAVIS APPRECIATION & INCOME FUND – (Continued)**

 

 

 

 

**Principal**

**Security**

**Value**

 

**CONVERTIBLE BONDS – (Continued)**

 
 

**REAL ESTATE – (13.72%)**

 

 

 

$

23,000,000

 

Forest City Enterprises, Inc., Class A, Conv. Sr. Notes, 3.625%, 10/15/11

$

19,506,300

 

 

7,750,000

 

Digital Realty Trust L.P., 144A Conv. Sr. Notes, 4.125%, 08/15/26 (b) 

 

9,354,250

 

 

21,000,000

 

General Growth Properties, Inc., 144A Conv. Sr. Notes, 3.98%, 

 

 

 

 

 

 

04/15/27 (b)

 

16,695,000

 

 

17,400,000

 

ProLogis, 144A Conv. Sr. Notes, 2.25%, 04/01/37 (b)

 

16,595,250

 

 

18,000,000

 

Reckson Operating Partnership, L.P., Conv. Sr. Notes

 

 

 

 

 

 

(Convertible into SL Green Realty Corp.), 4.00%, 06/15/25

 

16,762,500

 

 

24,000,000

 

Vornado Realty L.P., Conv. Sr. Deb., 3.875%, 04/15/25

 

26,850,000

 

 

 

 

 

 

105,763,300

 

**RETAILING – (2.33%)**

 

 

 

 

17,000,000

 

Amazon.com, Inc., Conv. Sub. Notes, 4.75%, 02/01/09

 

17,977,500

 

**SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT – (5.29%)**

 

 

 

 

5,260,000

 

Fairchild Semiconductor Corp., Conv. Sr. Sub., 5.00%, 11/01/08

 

5,266,575

 

 

36,000,000

 

Intel Corp., Conv. Sub. Deb., 2.95%, 12/15/35

 

35,505,000

 

 

 

 

 

 

40,771,575

 

 

 

 

 

 

 

 

 

 

 

Total Convertible Bonds – (identified cost $301,855,135)

 

321,276,416

 

 

**CORPORATE BONDS – (6.59%)**

 

**CAPITAL GOODS – (1.37%)**

 

 

 

 

12,000,000

 

Masco Corp., 6.125%, 10/03/16

 

10,594,464

 

**FOOD, BEVERAGE & TOBACCO – (1.98%)**

 

 

 

 

4,000,000

 

Coca-Cola Co., Sr. Notes, 5.35%, 11/15/17

 

4,181,720

 

 

11,000,000

 

Tyson Foods, Inc., Sr. Notes, 6.85%, 04/01/16

 

11,068,310

 

 

 

 

 

 

15,250,030

 

**HOUSEHOLD & PERSONAL PRODUCTS – (0.70%)**

 

 

 

 

6,000,000

 

Avon Products, Inc., Sr. Notes, 4.20%, 07/15/18

 

5,412,876

 

**REAL ESTATE – (1.06%)**

 

 

 

 

14,000,000

 

Thornburg Mortgage, Inc., Sr. Notes, 8.00%, 05/15/13

 

8,190,000

 

**RETAILING – (1.48%)**

 

 

 

 

1,900,000

 

AutoZone, Inc., Sr. Notes, 5.50%, 11/15/15

 

1,829,556

 

 

10,000,000

 

Kohl’s Corp., Sr. Notes, 6.25%, 12/15/17

 

9,539,360

 

 

 

 

 

 

11,368,916

 

 

 

 

 

 

 

 

 

 

 

Total Corporate Bonds  – (identified cost $56,294,597)

 

50,816,286

 

 

 

16

 

**DAVIS SERIES, INC.**  

SCHEDULE OF INVESTMENTS AT MARCH 31, 2008 *(Unaudited)*

**DAVIS APPRECIATION & INCOME FUND – (Continued)**

 

 

 

 

**Shares**

**Security**

**Value**

 

 

 
**COMMON STOCK – (43.88%)**

 
 

**CAPITAL GOODS – (4.44%)**

 

 

 

 

432,000

 

General Electric Co. 

$

15,988,320

 

 

673,400

 

Masco Corp. 

 

13,353,522

 

 

47,700

 

Quanta Services, Inc.*

 

1,105,209

 

 

200,000

 

United Rentals, Inc.*

 

3,768,000

 

 

 

 

 

 

34,215,051

 

**CAPITAL MARKETS – (2.47%)**

 

 

 

 

500,000

 

Merrill Lynch & Co., Inc., Private Placement (f)(g)

 

19,045,950

 

**COMMERCIAL SERVICES & SUPPLIES – (2.01%)**

 

 

 

 

120,000

 

School Specialty, Inc.*

 

3,780,600

 

 

382,000

 

Waste Connections, Inc.*

 

11,742,680

 

 

 

 

 

 

15,523,280

 

**CONSUMER FINANCE – (1.73%)**

 

 

 

 

305,000

 

American Express Co. 

 

13,334,600

 

**ENERGY – (0.53%)**

 

 

 

 

120,000

 

Nabors Industries Ltd.*

 

4,052,400

 

**FOOD & STAPLES RETAILING – (4.03%)**

 

 

 

 

23,485

 

Costco Wholesale Corp. 

 

1,524,411

 

 

895,000

 

Whole Foods Market, Inc. 

 

29,521,575

 

 

 

 

 

 

31,045,986

 

**FOOD, BEVERAGE & TOBACCO – (3.72%)**

 

 

 

 

165,000

 

Coca-Cola Co. 

 

10,043,550

 

 

1,167,300

 

Tyson Foods, Inc., Class A

 

18,618,435

 

 

 

 

 

 

28,661,985

 

**HEALTH CARE EQUIPMENT & SERVICES – (2.91%)**

 

 

 

 

418,600

 

Universal Health Services, Inc., Class B

 

22,474,634

 

**HOUSEHOLD & PERSONAL PRODUCTS – (2.99%)**

 

 

 

 

582,200

 

Avon Products, Inc. 

 

23,020,188

 

**MATERIALS – (1.70%)**

 

 

 

 

520,000

 

Sealed Air Corp. 

 

13,130,000

 

**MEDIA – (1.56%)**

 

 

 

 

525,000

 

News Corp., Class A

 

9,843,750

 

 

115,000

 

News Corp., Class B

 

2,189,600

 

 

 

 

 

 

12,033,350

 

 

17

 

**DAVIS SERIES, INC.**

SCHEDULE OF INVESTMENTS AT MARCH 31, 2008 *(Unaudited)*

**DAVIS APPRECIATION & INCOME FUND – (Continued)**

 

 

 

 

**Shares**

**Security**

**Value**

 

**COMMON STOCK – (Continued)**

 
 

**MULTI-LINE INSURANCE – (1.89%)**

 

 

 

 

337,400

 

American International Group, Inc. 

$

14,592,550

 

**PROPERTY & CASUALTY INSURANCE – (0.58%)**

 

 

 

 

772,300

 

Ambac Financial Group, Inc. 

 

4,440,725

 

**REAL ESTATE – (3.55%)**

 

 

 

 

345,940

 

Forest City Enterprises, Inc., Class A

 

12,730,592

 

 

335,000

 

General Growth Properties, Inc. 

 

12,786,950

 

 

32,000

 

Prologis 

 

1,883,520

 

 

 

 

 

 

27,401,062

 

**RETAILING – (6.03%)**

 

 

 

 

82,900

 

AutoZone, Inc.*

 

9,436,507

 

 

250,450

 

J. C. Penney Co., Inc. 

 

9,444,469

 

 

643,400

 

Kohl’s Corp.*

 

27,595,426

 

 

 

 

 

 

46,476,402

 

**SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT – (1.53%)**

 

 

 

 

457,900

 

Fairchild Semiconductor International, Inc.*

 

5,458,168

 

 

296,700

 

International Rectifier Corp.*

 

6,379,050

 

 

 

 

 

 

11,837,218

 

**SOFTWARE & SERVICES – (0.95%)**

 

 

 

 

148,000

 

SAP AG, ADR (Germany)

 

7,336,360

 

**UTILITIES – (1.26%)**

 

 

 

 

580,700

 

AES Corp.*

 

9,680,269

 

 

 

 

 

 

 

 

 

 

 

Total Common Stock – (identified cost $387,449,344)

 

338,302,010

 

 

18

 

**DAVIS SERIES, INC.**

SCHEDULE OF INVESTMENTS AT MARCH 31, 2008 *(Unaudited)*

**DAVIS APPRECIATION & INCOME FUND – (Continued)**

 

 

 

 

**Principal**

**Security**

**Value**

 

**SHORT TERM INVESTMENTS – (0.13%)**

 
 

 

 

 

 

 

 

 

$

399,000

 

ABN AMRO Inc. Joint Repurchase Agreement, 2.60%,

 

 

 

 

 

 

04/01/08, dated 03/31/08, repurchase value of $399,029

 

 

 

 

 

 

(collateralized by: U.S. Government agency mortgages and obligations

 

 

 

 

 

 

in a pooled cash account, 0.00%-6.00%, 05/25/11-08/01/37,

 

 

 

 

 

 

total market value $406,980) 

$

399,000

 

 

399,000

 

Goldman, Sachs & Co. Joint Repurchase Agreement, 2.75%,

 

 

 

 

 

 

04/01/08, dated 03/31/08,repurchase value of $399,030

 

 

 

 

 

 

(collateralized by: U.S. Government agency mortgages 

 

 

 

 

 

 

in a pooled cash account, 4.50%-6.00%, 10/01/14-02/01/38,

 

 

 

 

 

 

total market value $406,980) 

 

399,000

 

 

238,000

 

UBS Securities LLC Joint Repurchase Agreement, 2.50%,

 

 

 

 

 

 

04/01/08, dated 03/31/08, repurchase value of $238,017

 

 

 

 

 

 

(collateralized by: U.S. Government agency mortgage

 

 

 

 

 

 

in a pooled cash account, 5.50%, 05/01/34,

 

 

 

 

 

 

total market value $242,760)

 

238,000

 

 

 

 

 

 

 

 

 

 

 

 

Total Short Term Investments – (identified cost $1,036,000)

 

1,036,000

 

 

 

 

 

Total Investments – (99.50%) – (identified cost $801,514,102) – (a)

 

767,174,904

 

 

 

 

Other Assets Less Liabilities – (0.50%)

 

3,877,020

 

 

 

 

Net Assets – (100.00%)

$

771,051,924

 

*Non-Income Producing Security.

ADR:  American Depositary Receipt

 

19

 

**DAVIS SERIES, INC.**  

SCHEDULE OF INVESTMENTS AT MARCH 31, 2008 *(Unaudited)*

**DAVIS APPRECIATION & INCOME FUND – (Continued)**

 

 

 

 

 

 

 

 

 

 
(a)  Aggregate cost for Federal Income Tax purposes is $801,660,162.  At March 31, 2008 unrealized appreciation (depreciation) of securities for Federal Income Tax purposes is as follows:

 

 

 

Unrealized appreciation

$

57,412,494

 

 

 

 

Unrealized depreciation

 

(91,897,752

)

 

 

 

Net unrealized depreciation

$

(34,485,258

)

 

(b)  

These securities are subject to Rule 144A.  The Board of Directors of the Fund has determined that there

is sufficient liquidity in these securities to realize current valuations.  These securities amounted to $51,487,000

or6.68% of the Fund’s net assets, as of March 31, 2008.

(c)  As of March 31, 2008 zero coupon bonds represented $9,484,828 or 1.23% of the Fund’s net assets. Because zero coupon bonds pay no interest their value is generally more volatile than the value of other debt securities.

(d)  

Zero coupon bonds reflect effective yield on the date of purchase.

 (e)   Represents a step-down bond: a bond that pays one coupon rate for an initial period followed by a lower coupon rate.

(f)   Illiquid Security – Securities may be considered illiquid if they lack a readily available market or if valuation has not changed for a certain period of time.The aggregate value of illiquid securities amounted to $61,901,658 or 8.03% of the Fund’s net assets as of March 31, 2008.

(g)   Restricted Security – Restricted Securities are not registered under the Securities Act of 1933 and may have contractual restrictions on resale. They are valued under methods approved by the Board of Directors as reflecting fair value. The aggregate value of restricted securities amounted to $19,045,950 or 2.47% of the Fund’s net assets as of March 31, 2008.

Please refer to “Notes to Schedule of Investments” on page 25 for the Fund’s policy regarding valuation of investments. 

For information regarding the Fund’s other significant accounting policies, please refer to the Fund’s most recent Semi-Annual or Annual Shareholder Report.

 

20

 

**DAVIS SERIES, INC.**

SCHEDULE OF INVESTMENTS AT MARCH 31, 2008 (*Unaudited*)

**DAVIS REAL ESTATE FUND**

 

 

 

 

**Shares**

**Security**

**Value**

 

**COMMON STOCK – (92.60%)**

 
 

**DIVERSIFIED REITS – (7.44%)**

 

 

 

 

1,158,300

 

Cousins Properties, Inc. 

$

28,621,593

 

 

668,300

 

Gramercy Capital Corp. 

 

13,987,519

 

 

 

 

 

 

42,609,112

 

**INDUSTRIAL REITS – (6.97%)**

 

 

 

 

232,000

 

AMB Property Corp. 

 

12,625,440

 

 

967,500

 

Brixton PLC (United Kingdom)

 

6,336,494

 

 

1,291,200

 

DCT Industrial Trust Inc. 

 

12,860,352

 

 

524,500

 

First Potomac Realty Trust

 

8,061,565

 

 

 

 

 

 

39,883,851

 

**OFFICE REITS – (27.05%)**

 

 

 

 

462,513

 

Alexandria Real Estate Equities, Inc. 

 

42,884,205

 

 

306,242

 

Boston Properties, Inc. 

 

28,195,701

 

 

729,238

 

Corporate Office Properties Trust

 

24,509,689

 

 

849,419

 

Derwent London PLC (United Kingdom)

 

25,590,444

 

 

947,800

 

Digital Realty Trust, Inc. 

 

33,646,900

 

 

 

 

 

 

154,826,939

 

**PROPERTY & CASUALTY INSURANCE – (0.71%)**

 

 

 

 

707,300

 

Ambac Financial Group, Inc. 

 

4,066,975

 

**REAL ESTATE MANAGEMENT & DEVELOPMENT – (11.31%)**

 

 

 

 

1,260,384

 

Forest City Enterprises, Inc., Class A

 

46,382,131

 

 

3,326,500

 

Minerva PLC* (United Kingdom)

 

6,337,863

 

 

259,200

 

Mitsubishi Estate Co. Ltd. (Japan)

 

6,292,777

 

 

288,000

 

Mitsui Fudosan Co., Ltd. (Japan)

 

5,717,817

 

 

 

 

 

 

64,730,588

 

**RESIDENTIAL REITS – (10.26%)**

 

 

 

 

769,100

 

American Campus Communities, Inc. 

 

21,042,576

 

 

156,400

 

AvalonBay Communities, Inc. 

 

15,095,728

 

 

198,100

 

Essex Property Trust, Inc. 

 

22,579,438

 

 

 

 

 

 

58,717,742

 

**RETAIL REITS – (15.02%)**

 

 

 

 

130,700

 

Federal Realty Investment Trust

 

10,188,065

 

 

808,757

 

General Growth Properties, Inc. 

 

30,870,255

 

 

320,118

 

Kimco Realty Corp. 

 

12,539,022

 

 

162,778

 

Regency Centers Corp. 

 

10,541,503

 

 

419,600

 

Taubman Centers, Inc. 

 

21,861,160

 

 

 

 

 

 

86,000,005

 

 

21

 

**DAVIS SERIES, INC.**

SCHEDULE OF INVESTMENTS AT MARCH 31, 2008 (*Unaudited*)

**DAVIS REAL ESTATE FUND – (Continued)**

 

 

 

 

**Shares/Principal**

**Security**

**Value**

 

**COMMON STOCK – (Continued)**

 
 

**SPECIALIZED REITS – (11.09%)**

 

 

 

 

1,146,847

 

Cogdell Spencer Inc., Private Placement (c)(d) 

$

16,946,729

 

 

360,200

 

U-Store-It Trust

 

4,081,066

 

 

944,600

 

Ventas, Inc. 

 

42,421,986

 

 

 

 

 

 

63,449,781

 

**TRANSPORTATION – (2.75%)**

 

 

 

 

214,400

 

Alexander & Baldwin, Inc. 

 

9,232,064

 

 

70,300

 

Burlington Northern Santa Fe Corp. 

 

6,483,066

 

 

 

 

 

 

15,715,130

 

 

 

 

 

 

 

 

 

 

 

Total Common Stock – (identified cost $520,037,093)

 

530,000,123

 

 

**PREFERRED STOCK – (0.36%)**

 

**RESIDENTIAL REITS – (0.36%)**

 

 

 

 

43,700

 

Equity Residential, 7.00%, Series E, Cum. Conv. Pfd. 

 

 

 

 

 

 

(identified cost $1,079,517)

 

2,039,042

 

 

**CONVERTIBLE BONDS – (3.62%)**

 

 

 

 

 

 

 

**INDUSTRIAL REITS – (3.45%)**

 

 

 

$

20,690,000

 

ProLogis, Ser. 144A Conv. Sr. Notes, 2.25%, 04/01/37 (b)

 

19,733,087

 

**OFFICE REITS – (0.17%)**

 

 

 

 

1,230,000

 

SL Green Realty Corp., Ser. 144A Conv. Sr. Notes, 3.00%, 03/30/27 (b)

 

1,000,913

 

 

 

 

 

 

 

 

 

 

 

Total Convertible Bonds – (identified cost $21,626,017)

 

20,734,000

 

 

 

22

 

**DAVIS SERIES, INC.**

SCHEDULE OF INVESTMENTS AT MARCH 31, 2008 (*Unaudited*)

**DAVIS REAL ESTATE FUND – (Continued)**

 

 

 

 

**Principal**

**Security**

**Value**

 

**SHORT TERM INVESTMENTS – (3.22%)**

 
 

$

7,110,000

 

ABN AMRO Inc. Joint Repurchase Agreement, 2.60%,

 

 

 

 

 

 

04/01/08, dated 03/31/08, repurchase value of $7,110,514

 

 

 

 

 

 

(collateralized by: U.S. Government agency mortgages and obligations

 

 

 

 

 

 

in a pooled cash account, 0.00%-6.00%, 05/25/11-08/01/37,

 

 

 

 

 

 

total market value $7,252,200)

$

7,110,000

 

 

7,110,000

 

Goldman, Sachs & Co. Joint Repurchase Agreement, 2.75%,

 

 

 

 

 

 

04/01/08, dated 03/31/08, repurchase value of $7,110,543

 

 

 

 

 

 

(collateralized by: U.S. Government agency mortgages 

 

 

 

 

 

 

in a pooled cash account, 4.50%-6.00%, 10/01/14-02/01/38,

 

 

 

 

 

 

total market value $7,252,200)

 

7,110,000

 

 

4,224,000

 

UBS Securities LLC Joint Repurchase Agreement, 2.50%, 

 

 

 

 

 

 

04/01/08, dated 03/31/08, repurchase value of $4,224,293

 

 

 

 

 

 

(collateralized by: U.S. Government agency mortgage in a pooled

 

 

 

 

 

 

cash account, 5.50%, 05/01/34, total market value $4,308,480)

 

4,224,000

 

 

 

 

 

 

 

 

 

 

 

Total Short Term Investments – (identified cost $18,444,000)

 

18,444,000

 

 

 

 

 

 

 

 

 

 

 

Total Investments – (99.80%) – (identified cost $561,186,627) – (a)

 

571,217,165

 

 

 

 

Other Assets Less Liabilities – (0.20%)

 

1,172,995

 

 

 

 

Net Assets – (100.00%)

$

572,390,160

 

*Non-Income Producing Security.

(a)  Aggregate cost for Federal Income Tax purposes is $563,035,579.  At March 31, 2008 unrealized appreciation (depreciation) of securities for Federal Income Tax purposes is as follows:

 

 

 

Unrealized appreciation

$

61,821,542

 

 

 

 

Unrealized depreciation

 

(53,639,956

)

 

 

 

Net unrealized appreciation

$

8,181,586

 

(b)  These securities are subject to Rule 144A. The Board of Directors of the Fund has determined that there is sufficient liquidity in these securities to realize current valuations. These securities amounted to $20,734,000, or 3.62% of the Fund’s net assets, as of March 31, 2008.

(c)  Illiquid and Restricted Security – Securities may be considered illiquid if they lack a readily available market or if valuation has not changed for a certain period of time.Restricted securities are not registered under the Securities Act of 1933 and may have contractual restrictions on resale. They are valued under methods approved by the Board of Directors as reflecting fair value. The aggregate value of illiquid and restricted securities in the Fund amounted to $16,946,729 or 2.96% of the Fund’s net assets as of March 31, 2008.

 

23

 

**DAVIS SERIES, INC.**

SCHEDULE OF INVESTMENTS AT MARCH 31, 2008 (*Unaudited*)

**DAVIS REAL ESTATE FUND – (Continued)**

 

 

 

 

 

 

 

 

 

 
 (d) Affiliated company.  Represents ownership of at least 5% of the voting securities of the issuer and is an affiliate, as defined in the Investment Company Act of 1940, at or during the three months ended March 31, 2008.  The aggregate fair value of the securities of affiliated companies held by the Fund as of March 31, 2008, amounts to $16,946,729.  Transactions during the period in which the issuers were affiliates are as follows:

Security

 

Shares

December

31, 2007

 

Gross

Additions

 

Gross

Reductions

 

Shares

March

31, 2008

 

Dividend

Income

Cogdell Spencer Inc., Private 

 

 

 

 

 

 

 

 

 

 

Placement

 

–

 

1,146,847

 

–

 

1,146,847

$

401,396

 

Please refer to “Notes to Schedule of Investments” on page 25****for the Fund’s policy regarding valuation of investments. 

For information regarding the Fund’s other significant accounting policies, please refer to the Fund’s most recent Semi-Annual or Annual Shareholder Report.

 

24

 

**DAVIS SERIES, INC.**

NOTES TO SCHEDULE OF INVESTMENTS

March 31, 2008 *(Unaudited)*

 

 

 

 

 

 

**Security Valuation** – The Funds calculate the net asset value of their shares as of the close of the New York Stock Exchange (“Exchange”), normally 4:00 P.M. Eastern time, on each day the Exchange is open for business. Securities listed on the Exchange (and other national exchanges) are valued at the last reported sales price on the day of valuation. Securities traded in the over-the-counter market (e.g. NASDAQ) and listed securities for which no sale was reported on that date are stated at the average of closing bid and asked prices. Securities traded on foreign exchanges are valued based upon the last sales price on the principal exchange on which the security is traded prior to the time when the Funds’ assets are valued. Securities (including restricted securities) for which market quotations are not readily available are valued at their fair value. Foreignand domestic securities whose values have been materially affected by what Davis Advisors (“Adviser”), the Funds’ investment adviser, identifies as a significant event occurring before the Funds’ assets are valued but after the close of their respective exchanges will be fair valued. Fair value is determined in good faith using consistently applied procedures under the supervision of the Board of Directors. Short-term securities purchased within 60 days to maturity are valued at amortized cost, which approximates market value. The value of short-term securities originally purchased with maturities greater than 60 days are valued at market value.  For Davis Government Money Market Fund, in compliance with Rule 2a-7 of the Investment Company Act of 1940, securities are valued at amortized cost, which approximates market value.  These valuation procedures are reviewed and subject to approval by the Board of Directors.

 

**Fair Value Measurements** – The Funds adopted Financial Accounting Standards Board Statement of Financial Accounting Standards No. 157, Fair Value Measurements (“FAS 157”), effective January 1, 2008. In accordance with FAS 157, fair value is defined as the price that the Funds would receive upon selling an investment in a timely transaction to an independent buyer in the principal or most advantageous market of the investment. FAS 157 established a three-tier hierarchy to maximize the use of observable market data and minimize the use of unobservable inputs and to establish classification of fair value measurements for disclosure purposes. 

 

Inputs refer broadly to the assumptions that market participants would use in pricing the asset or liability, including assumptions about risk, for example, the risk inherent in a particular valuation technique used to measure fair value including such a pricing model and/or the risk inherent in the inputs to the valuation technique. Inputs may be observable or unobservable. Observable inputs are inputs that reflect the assumptions market participants would use in pricing the asset or liability developed based on market data obtained from sources independent of the reporting entity. Unobservable inputs are inputs that reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. The three-tier hierarchy of inputs is summarized in the three broad levels listed below.

 

 

§

Level 1 – quoted prices in active markets for identical securities

 

§

Level 2 – other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.)

 

§

Level 3 – significant unobservable inputs (including Fund’s own assumptions in determining the fair value of investments)

 

25

 

**DAVIS SERIES, INC.**

NOTES TO SCHEDULE OF INVESTMENTS – (Continued)

March 31, 2008 *(Unaudited)*

 

 

 

 

 

 

**Fair Value Measurements** – (Continued)

 

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.  Money Market Securities are valued using amortized cost, in accordance with rules under the Investment Company Act of 1940.  Generally, amortized cost approximates the current fair value of a security, but since the value is not obtained from a quoted price in an active market, such securities are reflected as Level 2.

 

The following is a summary of the inputs used as of March 31, 2008 in valuing each Fund’s investments carried at value:

 

**Davis Opportunity Fund**

 

 

 

 

 

 

Investments in

 

Other Financial

Valuation inputs

 

Securities at Value

 

Instruments*

Level 1 – Quoted prices

 

$

850,619,228

 

$

–

Level 2 – Other Significant Observable Inputs

 

 

30,468,500

 

 

–

Level 3 – Significant Unobservable Inputs

 

 

–

 

 

–

Total

 

$

881,087,728

 

$

–

 

 

 

 

 

**Davis Government Bond Fund**

 

 

 

 

 

 

Investments in

 

Other Financial

Valuation inputs

 

Securities at Value

 

Instruments*

Level 1 – Quoted prices

 

$

–

 

$

–

Level 2 – Other Significant Observable Inputs

 

 

78,362,825

 

 

–

Level 3 – Significant Unobservable Inputs

 

 

–

 

 

–

Total

 

$

78,362,825

 

$

–

 

 

 

 

 

**Davis Government Money Market Fund**

 

 

 

 

 

 

Investments in

 

Other Financial

Valuation inputs

 

Securities at Value

 

Instruments*

Level 1 – Quoted prices

 

$

–

 

$

–

Level 2 – Other Significant Observable Inputs

 

 

463,791,997

 

 

–

Level 3 – Significant Unobservable Inputs

 

 

–

 

 

–

Total

 

$

463,791,997

 

$

–

 

 

 

 

 

**Davis Financial Fund**

 

 

 

 

 

 

Investments in

 

Other Financial

Valuation inputs

 

Securities at Value

 

Instruments*

Level 1 – Quoted prices

 

$

737,416,968

 

$

–

Level 2 – Other Significant Observable Inputs

 

 

48,770,789

 

 

–

Level 3 – Significant Unobservable Inputs

 

 

–

 

 

–

Total

 

$

786,187,757

 

$

–

 

 

26

 

**DAVIS SERIES, INC.**

NOTES TO SCHEDULE OF INVESTMENTS – (Continued)

March 31, 2008 *(Unaudited)*

 

 

 

 

 

 

**Fair Value Measurements** – (Continued)

 

**Davis Appreciation & Income Fund**

 

 

 

 

 

 

Investments in

 

Other Financial

Valuation inputs

 

Securities at Value

 

Instruments*

Level 1 – Quoted prices

 

$

351,677,725

 

$

–

Level 2 – Other Significant Observable Inputs

 

 

415,497,179

 

 

–

Level 3 – Significant Unobservable Inputs

 

 

–

 

 

–

Total

 

$

767,174,904

 

$

–

 

 

 

 

 

**Davis Real Estate Fund**

 

 

 

 

 

 

Investments in

 

Other Financial

Valuation inputs

 

Securities at Value

 

Instruments*

Level 1 – Quoted prices

 

$

513,053,394

 

$

–

Level 2 – Other Significant Observable Inputs

 

 

58,163,771

 

 

–

Level 3 – Significant Unobservable Inputs

 

 

–

 

 

–

Total

 

$

571,217,165

 

$

–

 

*Other financial instruments are derivative instruments not reflected in the Schedule of Investments, such as futures, forwards, and swap contracts, which are valued at the unrealized appreciation/depreciation on the instrument.

 

 

27

 

 

**ITEM 2.  CONTROLS AND PROCEDURES**

 

 

(a)

The registrant's principal executive officer and principal financial officer have concluded that the registrant's disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended) are effective as of a date within 90 days of the filing date of this report.

 

 

(b)

There have been no significant changes in the registrant's internal controls or in other factors that could significantly affect these controls.

 

**ITEM 3.  EXHIBITS**

 

 

EX-99.CERT - Section 302 Certification

 

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.

 

DAVIS SERIES, INC.

 

By /s/ Kenneth C. Eich

Kenneth C. Eich

Principal Executive Officer

 

Date:  May 29, 2008

 

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/ Kenneth C. Eich

Kenneth C. Eich

Principal Executive Officer

 

Date:  May 29, 2008

 

By /s/ Douglas A. Haines

Douglas A. Haines

Principal Financial officer

 

Date:  May 29, 2008