----

----

| [X] | QUARTERLY      REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF      1934 |
|-----|---------------------------------------------------------------------------------------------------|

| [      ] | TRANSITION      REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF      1934 |
|----------|----------------------------------------------------------------------------------------------------|

| GAMCO      INVESTORS, INC.                                          |
|---------------------------------------------------------------------|
| (Exact      name of Registrant as specified in its charter)         |
|                                                                |   |   |   |
| New      York                                                       |   |   | 13-4007862 |
| (State      of other jurisdiction of incorporation or organization) |   |   | (I.R.S.      Employer Identification No.) |
|                                                           |   |   |   |
| One      Corporate Center, Rye, NY                                  |   |   | 10580-1422 |
| (Address      of principle executive offices)                       |   |   | (Zip      Code) |
|                                                                |   |   |   |
| (914)      921-5100                                                 |
| Registrant’s      telephone number, including areacode        |

| Yes | x | No | o |
|-----|---|----|---|

| Indicate      by check mark whether the registrant is a large accelerated filer, an      accelerated filer, a non-accelerated filer, or a smaller reporting      company.  See the definitions of “large accelerated filer",      "accelerated filer", and "smaller reporting company” in Rule 12b-2 of the      Exchange Act. (Check one): |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                                                                                                                              |
| Large      accelerated filer  ̈                                                                                                                                                                                                                                                                                                                               |   | Accelerated      filer x |   |
|                                                                                                                                                                                                                                                                                                                                                              |   |   |   |
| Non-accelerated      filer o                                                                                                                                                                                                                                                                                                                                      |   | Smaller      reporting company o |   |

| Yes | o | No | x |
|-----|---|----|---|

| Class                                     |   | Outstanding      at July 31, 2009 |   |
|-------------------------------------------|--------|-----------------------------------|--------|
| Class      A Common Stock, .001 par value |   | 7,444,729                         |   |
| Class      B Common Stock, .001 par value |   | 20,301,435                        |   |

----

| INDEX                                       |
|---------------------------------------------|
|                                        |
| GAMCO      INVESTORS, INC. AND SUBSIDIARIES |
|                                        |   |
|                                        |   |
| PART      I.                                | FINANCIAL      INFORMATION |   |
|                                        |   |
|                                        |   |
| Item      1.                                | Unaudited      Condensed Consolidated Financial Statements |
|                                        |   |
|                                        | Condensed      Consolidated Statements of Income: |
|                                        | -    Three months ended June 30, 2009 and      2008 |
|                                        | -    Six months ended June 30, 2009 and      2008 |
|                                        |   |
|                                        | Condensed      Consolidated Statements of Financial Condition: |
|                                        | -    June 30, 2009 |
|                                        | -    December 31, 2008 |
|                                        | -    June 30, 2008 |
|                                        |   |
|                                        | Condensed      Consolidated Statements of Stockholders’ Equity and Comprehensive      Income: |
|                                        | -         Six months ended June 30, 2009 and      2008 |
|                                        |   |
|                                        | Condensed      Consolidated Statements of Cash Flows: |
|                                        | -    Six months ended June 30, 2009 and    2008 |
|                                        |   |
|                                        | Notes to Unaudited Condensed Consolidated      Financial Statements |
|                                        |   |
| Item      2.                                | Management’s Discussion and Analysis of Financial Condition      and Results of Operations |
|                                        | (Including      Quantitative and Qualitative Disclosure about Market  Risk) |
|                                        |   |
| Item      3.                                | Quantitative and Qualitative Disclosures About Market      Risk |
|                                        |   |
| Item      4.                                | Controls and Procedures |
|                                        |   |
| PART      II.                               | OTHER INFORMATION |   |
|                                        |   |
| Item      1.                                | Legal Proceedings |
|                                        |   |
| Item      2.                                | Unregistered Sales of Equity Securities and Use of      Proceeds |
|                                        |   |
| Item      4.                                | Submission of Matters to a Vote of Security      Holders |
|                                        |   |
| Item      6.                                | Exhibits |
|                                        |   |
|                                        |   |
| SIGNATURES                                  |   |
|                                        |   |

----

| GAMCO      INVESTORS, INC. AND SUBSIDIARIES      |
|--------------------------------------------------|
| CONDENSED      CONSOLIDATED STATEMENTS OF INCOME |
| UNAUDITED                                        |
| (In      thousands, except per share data)       |
|                                             |

|                                                                      |   | Three      Months Ended                                                                                     |   |   | Six      Months Ended                                                                                             |   |
|---------------------------------------------------------------------------|--------|-------------------------------------------------------------------------------------------------------------|--------|--------|-------------------------------------------------------------------------------------------------------------------|--------|
|                                                                      |   | June      30,                                                                                               |   |   | June      30,                                                                                                     |   |
|                                                                      |   | 2009                                                                                                        |   |   | 2008                                                                                                              |   |   | 2009 |   |   | 2008 |   |
|                                                                      |   |                                                                                                        |   |   |                                                                                                              |   |   |   |   |   |   |   |
| Revenues                                                                  |   |                                                                                                        |   |   |                                                                                                              |   |   |   |   |   |   |   |
| Investment      advisory and incentive fees                               |   | $                  35,989                       |   |   | $             55,131                             |   |   | $                  71,188 |   |   | $                111,972 |   |
| Commission      revenue                                                   |   |                                                                                                        | 3,949  |   |                                                                                                              |   | 3,664 |   |   |   | 7,599 |   |   |   | 6,920 |   |
| Distribution      fees and other income                                   |   | 5,233                                                                                                       |   |   | 6,629                                                                                                             |   |   | 9,743 |   |   | 13,080 |   |
| Total      revenues                                                       |   | 45,171                                                                                                      |   |   | 65,424                                                                                                            |   |   | 88,530 |   |   | 131,972 |   |
| Expenses                                                                  |   |                                                                                                        |   |   |                                                                                                              |   |   |   |   |   |   |   |   |   |   |   |
| Compensation                                                              |   |                                                                                                        | 19,681 |   |                                                                                                              |   | 27,857 |   |   |   | 40,466 |   |   |   | 56,780 |   |
| Management      fee                                                       |   |                                                                                                        | 2,304  |   |                                                                                                              |   | 2,586 |   |   |   | 3,653 |   |   |   | 4,567 |   |
| Distribution      costs                                                   |   |                                                                                                        | 5,583  |   |                                                                                                              |   | 6,700 |   |   |   | 11,005 |   |   |   | 13,033 |   |
| Other      operating expenses                                             |   | 4,942                                                                                                       |   |   | 7,074                                                                                                             |   |   | 9,243 |   |   | 13,128 |   |
| Total      expenses                                                       |   |                                                                                                        | 32,510 |   |                                                                                                              |   | 44,217 |   |   |   | 64,367 |   |   |   | 87,508 |   |
|                                                                      |   |                                                                                                        |   |   |                                                                                                              |   |   |   |   |   |   |   |   |   |   |   |
| Operating      income                                                     |   |                                                                                                        | 12,661 |   |                                                                                                              |   | 21,207 |   |   |   | 24,163 |   |   |   | 44,464 |   |
| Other      (expense) income                                               |   |                                                                                                        |   |   |                                                                                                              |   |   |   |   |   |   |   |   |   |   |   |
| Net      gain (loss) from investments                                |   |                                                                                                        | 10,730 |   |                                                                                                              |   | 10 |   |   |   | 13,322 |   |   |   | (8,379 | ) |
| Interest      and dividend income                                         |   |                                                                                                        | 801    |   |                                                                                                              |   | 4,196 |   |   |   | 2,079 |   |   |   | 8,970 |   |
| Interest      expense                                                     |   | (3,435                                                                                                      | )      |   | (2,187                                                                                                            | )      |   | (6,669 | ) |   | (4,204 | ) |
| Total      other income (expense), net                                    |   | 8,096                                                                                                       |   |   | 2,019                                                                                                             |   |   | 8,732 |   |   | (3,613 | ) |
| Income      before income taxes                                           |   |                                                                                                        | 20,757 |   |                                                                                                              |   | 23,226 |   |   |   | 32,895 |   |   |   | 40,851 |   |
| Income      tax provision                                                 |   | 7,133                                                                                                       |   |   | 8,719                                                                                                             |   |   | 11,121 |   |   | 16,045 |   |
| Net      income                                                           |   | 13,624                                                                                                      |   |   | 14,507                                                                                                            |   |   | 21,774 |   |   | 24,806 |   |
| Net      income (loss) attributable to noncontrolling interests           |   |                                                                                                        | 308    |   |                                                                                                              | 48     |   |   | 246 |   |   | (139 | ) |
| Net      income attributable to GAMCO Investors, Inc.’sshareholders |   | $                  13,316                       |   |   | $                   14,459                       |   |   | $                  21,528 |   |   | $                  24,945 |   |
|                                                                      |   |                                                                                                        |   |   |                                                                                                              |   |   |   |   |   |   |   |   |   |   |   |
| Net      income attributable to GAMCO Investors, Inc.’sshareholders |   |                                                                                                        |   |   |                                                                                                              |   |   |   |   |   |   |   |   |   |   |   |
|   per      share:                                               |   |                                                                                                        |   |   |                                                                                                              |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                                                     |   | $                      0.49 |   |   | $                       0.52 |   |   | $                      0.79 |   |   | $                      0.89 |   |
|                                                                      |   |                                                                                                        |   |   |                                                                                                              |   |   |   |   |   |   |   |   |   |   |   |
| Diluted                                                                   |   | $                      0.48 |   |   | $                       0.51 |   |   | $                      0.78 |   |   | $                      0.89 |   |
|                                                                      |   |                                                                                                        |   |   |                                                                                                              |   |   |   |   |   |   |   |   |   |   |   |
| Weighted      average shares outstanding:                                 |   |                                                                                                        |   |   |                                                                                                              |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                                                     |   | 27,384                                                                                                      |   |   | 27,948                                                                                                            |   |   | 27,381 |   |   | 28,070 |   |
|                                                                      |   |                                                                                                        |   |   |                                                                                                              |   |   |   |   |   |   |   |   |   |   |   |
| Diluted                                                                   |   | 27,508                                                                                                      |   |   | 28,743                                                                                                            |   |   | 27,446 |   |   | 28,116 |   |
|                                                                      |   |                                                                                                        |   |   |                                                                                                              |   |   |   |   |   |   |   |   |   |   |   |
| Dividends      declared:                                                  |   | $                      0.03 |   |   | $                       0.03 |   |   | $                      0.06 |   |   | $                     0.06 |   |
|                                                                      |   |                                                                                                        |   |   |                                                                                                              |   |   |   |   |   |   |   |   |   |   |   |
| See      accompanying notes.                                              |   |                                                                                                        |   |   |                                                                                                              |   |   |   |   |   |   |   |   |   |   |   |

----

| GAMCO      INVESTORS, INC. AND SUBSIDIARIES                                                                                                                                                                                       |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| CONDENSED      CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION                                                                                                                                                                     |
| UNAUDITED                                                                                                                                                                                                                         |
| (In      thousands, except share data)                                                                                                                                                                                            |
|                                                                                                                                                                                                                              |   | June      30, |   |   | December      31, |   |   June      30, |   |
|                                                                                                                                                                                                                              |   | 2009 |   |   | 2008 |   | 2008 |   |
| ASSETS                                                                                                                                                                                                                       |   |   |   |   |   |   |   |   |   |
| Cash      and cash equivalents, including restricted cash of $222, $2,158, and      $0                                                                                                                                            |   | $             410,552 |   |   | $                  333,332 |   | $             266,344 |   |
| Investments      in securities, including restricted securities of $61,991, $59,892, and      $0                                                                                                                                  |   |   | 204,121 |   |   |   | 231,492 |   |   | 319,833 |   |
| Investments      in partnerships and affiliates                                                                                                                                                                                   |   |   | 59,996 |   |   |   | 60,707 |   |   | 77,955 |   |
| Receivable      from brokers                                                                                                                                                                                                      |   |   | 15,226 |   |   |   | 16,460 |   |   | 21,936 |   |
| Investment      advisory fees receivable                                                                                                                                                                                          |   |   | 12,249 |   |   |   | 11,261 |   |   | 17,434 |   |
| Income      tax receivable and deferred tax assets                                                                                                                                                                                |   |   | 9,303 |   |   |   | 23,952 |   |   | 3,648 |   |
| Other      assets                                                                                                                                                                                                                 |   | 18,577 |   |   | 20,430 |   | 20,643 |   |
| Total      assets                                                                                                                                                                                                                 |   | $             730,024 |   |   | $                  697,634 |   | $             727,793 |   |
|                                                                                                                                                                                                                              |   |   |   |   |   |   |   |   |   |   |   |
| LIABILITIES      AND STOCKHOLDERS' EQUITY                                                                                                                                                                                         |   |   |   |   |   |   |   |   |   |   |   |
| Payable      to brokers                                                                                                                                                                                                           |   | $                 4,914 |   |   | $                     1,857 |   | $                 4,888 |   |
| Compensation      payable                                                                                                                                                                                                         |   |   | 13,539 |   |   |   | 15,862 |   |   | 29,162 |   |
| Capital      lease obligation                                                                                                                                                                                                     |   |   | 5,296 |   |   |   | 5,329 |   |   | 2,377 |   |
| Securities      sold, not yet purchased                                                                                                                                                                                           |   |   | 7,037 |   |   |   | 1,677 |   |   | 2,105 |   |
| Mandatorily      redeemable noncontrolling interests                                                                                                                                                                              |   |   | 1,518 |   |   |   | 1,396 |   |   | 1,567 |   |
| Accrued      expenses and other liabilities                                                                                                                                                                                       |   | 22,698 |   |   | 23,605 |   | 27,288 |   |
| Sub-total                                                                                                                                                                                                                         |   | 55,002 |   |   | 49,726 |   | 67,387 |   |
|                                                                                                                                                                                                                              |   |   |   |   |   |   |   |   |   |   |   |
| 5.5%      Senior notes (due May 15, 2013)                                                                                                                                                                                         |   |   | 99,000 |   |   |   | 99,000 |   |   | 100,000 |   |
| 6%      Convertible notes (due August 14, 2011)                                                                                                                                                                                   |   |   | 39,808 |   |   |   | 39,766 |   |   | 39,726 |   |
| 6.5%      Convertible note (due October 2, 2018)                                                                                                                                                                                  |   | 60,000 |   |   | 60,000 |   | - |   |
| Total      liabilities                                                                                                                                                                                                            |   |   | 253,810 |   |   |   | 248,492 |   |   | 207,113 |   |
|                                                                                                                                                                                                                              |   |   |   |   |   |   |   |   |   |   |   |
| Redeemable      noncontrolling interests                                                                                                                                                                                          |   |   | 1,326 |   |   |   | 4,201 |   |   | 4,503 |   |
|                                                                                                                                                                                                                              |   |   |   |   |   |   |   |   |   |   |   |
| Commitments      and contingencies (Note J)                                                                                                                                                                                       |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                                                                                                                                                              |   |   |   |   |   |   |   |   |   |   |   |
| Stockholders’      equity                                                                                                                                                                                                   |   |   |   |   |   |   |   |   |   |   |   |
|    GAMCO      Investors, Inc. stockholders’ equity                                                                                                                                                           |   |   |   |   |   |   |   |   |   |   |   |
|       Class      A Common Stock, $0.001 par value; 100,000,000                                                                                                                                      |   |   |   |   |   |   |   |   |   |   |   |
|         shares      authorized; 13,101,808, 13,018,869, 12,757,024                                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |
|         issued,      respectively; 7,446,529, 7,367,090, and 7,549,145        outstanding,      respectively                                 |   |   |  13 |   |   |   | 13 |   |   | 12 |   |
|       Class      B Common Stock, $0.001 par value; 100,000,000                                                                                                                                      |   |   |   |   |   |   |   |   |   |   |   |
|         shares      authorized; 24,000,000 shares issued,        20,301,435,      20,378,699, 20,626,644 shares outstanding,    respectively |   |   | 20 |   |   |   | 20 |   |   | 21 |   |
|       Additional      paid-in capital                                                                                                                                                               |   |   | 248,606 |   |   |   | 245,973 |   |   | 243,449 |   |
|       Retained      earnings                                                                                                                                                                        |   |   | 433,324 |   |   |   | 413,761 |   |   | 468,365 |   |
|       Accumulated      other comprehensive income                                                                                                                                                   |   |   | 23,844 |   |   |   | 14,923 |   |   | 17,445 |   |
|       Treasury      stock, at cost (5,655,279, 5,651,779, and 5,207,879 shares,      respectively)                                                                                             |   | (234,706 | ) |   | (234,537 | ) | (218,363 | ) |
|    Total      GAMCO Investors, Inc. stockholders’ equity                                                                                                                                                     |   | 471,101 |   |   | 440,153 |   | 510,929 |   |
| Noncontrolling      interests                                                                                                                                                                                                     |   | 3,787 |   |   | 4,788 |   | 5,248 |   |
| Total      stockholders’ equity                                                                                                                                                                                             |   | 474,888 |   |   | 444,941 |   | 516,177 |   |
|                                                                                                                                                                                                                              |   |   |   |   |   |   |   |   |   |   |   |
| Total      liabilities and stockholders' equity                                                                                                                                                                                   |   | $             730,024 |   |   | $                  697,634 |   | $             727,793 |   |

----

| GAMCO      INVESTORS, INC. AND SUBSIDIARIES                                                        |
|----------------------------------------------------------------------------------------------------|
| CONDENSED      CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY AND COMPREHENSIVE      INCOME |
| UNAUDITED                                                                                          |
|  (In      thousands)                                                                          |

| For      the six months ended June 30, 2009 |   |                                                                                             |   |
|---------------------------------------------|--------|--------------------------------------------------------------------------------------------------|--------|
|                                        |   |                                                                                             |   |   |   |   |   |
|                                        |   |                                                                                             |   |   | GAMCO      Investors, Inc. shareholders |   |   |
|                                        |   |                                                                                             |   |   |   |   |   |   |   |   |   |   |   | Accumulated |   |   |   |   |   |   |   |
|                                        |   |                                                                                             |   |   |   |   |   | Additional |   |   |   |   | Other |   |   |   |   |   |   |   |
|                                        |   | Noncontrolling                                                                                   |   | Common |   | Paid-in |   | Retained |   | Comprehensive |   | Treasury |   |   |   |   |
|                                        |   | Interests                                                                                        |   | Stock |   | Capital |   | Earnings |   | Income |   | Stock |   | Total |   |
| Balance      at December 31, 2008           |   | $               4,788 |   | $                      33 |   | $             245,973 |   | $             413,761 |   | $                    14,923 |   | $            (234,537 | ) | $              444,941 |   |
| Purchase      of subsidiary shares          |   |                                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  from      noncontrolling interest     |   |                                                                                             | (747   | ) |   | - |   |   | - |   |   | - |   |   | - |   |   | - |   |   | (747 | ) |
| Spin-off      of subsidiary shares          |   |                                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  to      noncontrolling interests      |   |                                                                                             | (412   | ) |   | - |   |   | - |   |   | - |   |   | - |   |   | - |   |   | (412 | ) |
| Comprehensive      income:                  |   |                                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      income                             |   |                                                                                             | 158    |   |   | - |   |   | - |   |   | 21,528 |   |   | - |   |   | - |   |   | 21,686 |   |
| Net      unrealized gains on                |   |                                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  securities      available for sale,   |   |                                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  net      of income tax                |   |                                                                                             | -      |   |   | - |   |   | - |   |   | - |   |   | 8,861 |   |   | - |   |   | 8,861 |   |
| Foreign      currency translation           |   |                                                                                             | -      |   |   | - |   |   | - |   |   | - |   |   | 60 |   |   | - |   | 60 |   |
| Total      comprehensive income             |   |                                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 30,607 |   |
| Dividends      declared                     |   |                                                                                             | -      |   |   | - |   |   | - |   |   | (1,965 | ) |   | - |   |   | - |   |   | (1,965 | ) |
| Income      tax effect of transaction       |   |                                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    with      shareholders    |   |                                                                                             | -      |   |   | - |   |   | (243 | ) |   | - |   |   | - |   |   | - |   |   | (243 | ) |
| Stock      based compensation               |   |                                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  expense                               |   |                                                                                             | -      |   |   | - |   |   | 2,538 |   |   | - |   |   | - |   |   | - |   |   | 2,538 |   |
| Exercise      of stock options              |   |                                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  including      tax benefit            |   | -                                                                                                |   | - |   | 338 |   | - |   | - |   | - |   | 338 |   |
| Purchase      of treasury stock             |   | -                                                                                                |   | - |   | - |   | - |   | - |   | (169 | ) | (169 | ) |
| Balance      at June 30, 2009               |   | $               3,787 |   | $                      33 |   | $             248,606 |   | $             433,324 |   | $                     23,844 |   | $            (234,706 | ) | $              474,888 |   |
|                                        |   |                                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |

----

| GAMCO      INVESTORS, INC. AND SUBSIDIARIES                                                        |   |
|----------------------------------------------------------------------------------------------------|--------|
| CONDENSED      CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY AND COMPREHENSIVE      INCOME |   |
| UNAUDITED (Continued)                                                                              |   |
|  (In      thousands)                                                                          |   |
| For      the six months ended June 30, 2008                                                        |   |
|                                                                                               |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                               |   |   |   |   | GAMCO      Investors, Inc. shareholders |   |
|                                                                                               |   |   |   |   |   |   |   |   |   |   |   |   |   | Accumulated |   |   |   |   |   |   |   |
|                                                                                               |   |   |   |   |   |   |   | Additional |   |   |   |   | Other |   |   |   |   |   |   |   |
|                                                                                               |   | Noncontrolling |   | Common |   | Paid-in |   | Retained |   | Comprehensive |   | Treasury |   |   |   |   |
|                                                                                               |   | Interests |   | Stock |   | Capital |   | Earnings |   | Income |   | Stock |   | Total |   |
| Balance      at December 31, 2007                                                                  |   | $               5,791 |   | $                      33 |   | $               230,483 |   | $            445,121 |   | $                    20,815 |   | $            (195,137 | ) | $                   507,106 |   |
| Payment      of subsidiary dividend                                                                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  to      noncontrolling interests                                                             |   |   | (604 | ) |   | - |   |   | - |   |   | - |   |   | - |   |   | - |   |   | (604 | ) |
| Comprehensive      income:                                                                         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      income                                                                                    |   |   |        61 |   |   | - |   |   | - |   |   | 24,945 |   |   | - |   |   | - |   |   | 25,006 |   |
| Net      unrealized gains on                                                                       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  securities      available for sale, net                                                      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  of      income tax                                                                           |   |   | - |   |   | - |   |   | - |   |   | - |   |   | (3,370 | ) |   | - |   |   | (3,370 | ) |
| Foreign      currency translation                                                                  |   |   | - |   |   | - |   |   | - |   |   | - |   |   | - |   |   | - |   | - |   |
| Total      comprehensive income                                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 21,636 |   |
| Dividends      declared                                                                            |   |   | - |   |   | - |   |   | - |   |   | (1,701 | ) |   | - |   |   | - |   |   | (1,701 | ) |
| Stock      based compensation                                                                      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  expense                                                                                      |   |   | - |   |   | - |   |   | 2,402 |   |   | - |   |   | - |   |   | - |   |   | 2,402 |   |
| Conversion      of 6% convertible                                                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  note                                                                                         |   |   | - |   |   | - |   |   | 10,000 |   |   | - |   |   | - |   |   | - |   |   | 10,000 |   |
| Exercise      of stock options                                                                     |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  including      tax benefit                                                                   |   |   | - |   |   | - |   |   | 564 |   |   | - |   |   | - |   |   | - |   |   | 564 |   |
| Purchase      of treasury stock                                                                    |   | - |   | - |   | - |   | - |   | - |   | (23,226 | ) | (23,226 | ) |
| Balance      at June 30, 2008                                                                      |   | $                5,248 |   | $                      33 |   | $          243,449 |   | $            468,365 |   | $                    17,445 |   | $            (218,363 | ) | $                   516,177 |   |
|                                                                                               |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |

----

|  GAMCO      INVESTORS, INC. AND SUBSIDIARIES    |
|------------------------------------------------------|
| CONDENSED      CONSOLIDATED STATEMENTS OF CASH FLOWS |
|  UNAUDITED                                      |
|  (In      thousands)                            |

|                                                                                                                                 |   | Six      Months Ended                                                                 |     |
|--------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------------------|----------|
|                                                                                                                                 |   | June      30,                                                                         |     |
|                                                                                                                                 |   | 2009                                                                                  |     |   | 2008 |   |
| Operating      activities                                                                                                       |   |                                                                                  |     |   |   |   |
| Net      income                                                                                                                      |   | $                  21,774 |     |   | $                 24,806 |   |
|  Adjustments      to reconcile net income                                                                                       |   |                                                                                  |     |   |   |   |   |   |
|     to      net cash provided by operating activities:                                                      |   |                                                                                  |     |   |   |   |   |   |
|   Equity      in net (gains) losses from partnerships and affiliates                                                       |   |                                                                                  | (6,462   | ) |   |   | 1,498 |   |
|   Depreciation      and amortization                                                                                       |   |                                                                                  | 327      |   |   |   |        483 |   |
|   Stock      based compensation expense                                                                                    |   |                                                                                  | 2,538    |   |   |   |        2,402 |   |
|   Deferred      income taxes                                                                                               |   |                                                                                  | 1,674    |   |   |   | 858 |   |
|   Tax benefit      (expense) from exercise of stock options                                                           |   |                                                                                  | 113      |   |   |   |        (6 | ) |
|   Foreign      currency (gain) loss                                                                              |   |                                                                                  | 60       |   |   |   |        - |   |
|   Other-than-temporary      loss on available for sale securities                                                          |   |                                                                                  | -        |   |   |   |        262 |   |
|        Acquisition of intangible asset                                                                                          |   |                                                                                  | -        |   |   |   |        (3,479 | ) |
|   Fair      value of donated securities                                                                                    |   |                                                                                  | 370      |   |   |   |        157 |   |
|   Realized      gains on sales of available for sale securities                                                            |   |                                                                                  | (1,965   | )  |   |   |        (415 | )  |
|   Realized      gains on sales of trading investments in securities, net                                                   |   |                                                                                  | (1,057   | )  |   |   |        (3,209 | )  |
|   Change      in unrealized value of trading investments in securities and securities      sold, not yet purchased, net    |   |                                                                                  | (4,359   | ) |   |   |        9,249 |   |
|        Realized losses (gains) on covers of securities sold, not yet purchased,      net                                        |   |                                                                                  | 353      |   |   |   | (378 | ) |
|   Amortization      on discount on debt                                                                               |   |                                                                                  | 42       |   |   |   | 118 |   |
| (Increase)      decrease in operating assets:                                                                                        |   |                                                                                  |     |   |   |   |   |   |
|    Purchases      of trading investments in securities                                                                |   |                                                                                  | (179,471 | )  |   |   |        (221,966 | )  |
|    Proceeds      from sales of trading investments in securities                                                      |   |                                                                                  | 227,170  |   |   |   |        282,645 |   |
|         Cost of covers on securities sold, not yet purchased                                                               |   |                                                                                  | (19,246  | )  |   |   |        (18,481 | )  |
|         Proceeds from sales of securities sold, not yet purchased                                                          |   |                                                                                  | 23,015   |   |   |   |        19,015 |   |
|    Investments      in partnerships and affiliates                                                               |   |                                                                                  | (932     | )  |   |   |        (182 | )  |
|    Distributions      from partnerships and affiliates                                                           |   |                                                                                  | 2,482    |   |   |   |        20,626 |   |
|    Receivable      from brokers                                                                                       |   |                                                                                  | (1,887   | ) |   |   |        15,738 |   |
|    Investment      advisory fees receivable                                                                      |   |                                                                                  | (948     | ) |   |   | 16,367 |   |
|    Other      receivables from affiliates                                                                        |   |                                                                                  | (51      | ) |   |   | 2,950 |   |
|    Income      tax receivable and deferred tax assets                                                                 |   |                                                                                  | 12,708   |   |   |   | - |   |
|    Other      assets                                                                                                  |   |                                                                                  | 988      |   |   |   |        (194 | )  |
| Increase      (decrease) in operating liabilities:                                                                                   |   |                                                                                  |     |   |   |   |   |   |
|    Payable      to brokers                                                                                       |   |                                                                                  | 3,056    |   |   |   |        (3,443 | ) |
|    Income      taxes payable                                                                                     |   |                                                                                  | (5,140   | )  |   |   |  (9,541 | ) |
|    Compensation      payable                                                                                          |   |                                                                                  | (1,069   | ) |   |   |        4,567 |   |
|    Mandatorily      redeemable noncontrolling interests                                                               |   |                                                                                  | 122      |   |   |   | (85 | ) |
|    Accrued      expenses and other liabilities                                                                        |   |                                                                                  | (655     | )  |   |   |        (20,822 | )  |
| Effects      of consolidation of investment partnerships and offshore funds      consolidated under EITF 04-5:                       |   |                                                                                  |     |   |   |   |   |   |
|    Realized gains      on sales of investments in securities and securities sold, not yet      purchased, net    |   |                                                                                  | (22      | )  |   |   |        (17 | ) |
|    Change      in unrealized value of investments in securities and securities sold, not      yet purchased, net      |   |                                                                                  | (619     | ) |   |   |        511 |   |
|    Equity      in net losses from partnerships and affiliates                                                         |   |                                                                                  | 249      |   |   |   |        761 |   |
|    Purchases      and covers of trading investments in securities                                                     |   |                                                                                  | (5,314   | )  |   |   |        (6,859 | ) |
|    Proceeds      from sales of trading investments in securities and securities sold, not      yet purchased, net     |   |                                                                                  | 7,649    |   |   |   |        7,105 |   |
|    Distributions      from partnerships and affiliates                                                                |   |                                                                                  | 4,229    |   |   |   |        - |   |
|    Increase      in investment advisory fees receivable                                                               |   |                                                                                  | (40      | )  |   |   |        (100 | ) |
|    Decrease in      receivable from brokers                                                                      |   |                                                                                  | 3,121    |   |   |   |        2,471 |   |
|    Decrease      in other assets                                                                                      |   |                                                                                  | 607      |   |   |   |        5 |   |
|    Increase      in payable to brokers                                                                                |   |                                                                                  | 1        |   |   |   |        769 |   |
|    Decrease      in accrued expenses, income tax receivable and other      liabilities                           |   |                                                                                  | (656     | )  |   |   | (48 | ) |
|    Gain      (loss) related to investment partnerships and offshore      funds consolidated under EITF 04-5, net |   | 558                                                                                   |     |   | (823 | ) |
| Total      adjustments                                                                                                          |   | 61,539                                                                                |     |   | 98,509 |   |
| Net      cash provided by operating activities                                                                             |   |                                                                                  | 83,313   |   |   |   | 123,315 |   |

----

| GAMCO      INVESTORS, INC. AND SUBSIDIARIES                |
|------------------------------------------------------------|
|  CONDENSED      CONSOLIDATED STATEMENTS OF CASH FLOWS |
|  UNAUDITED  (continued)                     |
|  (In      thousands)                                  |

|                                                                                                                                                                                                                                              |   | Six      Months Ended                                                                            |    |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------------------------------------------|---------|
|                                                                                                                                                                                                                                              |   | June      30,                                                                                    |    |
|                                                                                                                                                                                                                                              |   | 2009                                                                                             |    |  2008 |   |
|                                                                                                                                                                                                                                              |   |                                                                                             |    |   |   |
| Investing      activities                                                                                                                                                                                                                         |   |                                                                                             |    |   |   |
| Purchases      of available for sale securities                                                                                                                                                                                                   |   | $                   (6,174      | )  | $                      (777 | )  |
| Proceeds      from sales of available for sale securities                                                                                                                                                                                         |   | 5,340                                                                                            |    | 618 |   |
| Change      in restricted cash                                                                                                                                                                                                                    |   | 1,936                                                                                            |    | -  |   |
| Net      cash used in investing activities                                                                                                                                                                                                        |   | 1,102                                                                                            |    | (159 | )  |
|                                                                                                                                                                                                                                              |   |                                                                                             |    |   |   |   |   |
| Financing      activities                                                                                                                                                                                                                         |   |                                                                                             |    |   |   |   |   |
| Contributions      related to investment partnerships and offshore funds      consolidated                                                                                                                                                        |   |                                                                                             |    |   |   |   |   |
|    under      EITF 04-5, net                                                                                                                                                                                                       |   |                                                                                             | (2,309  | ) |   | (169 | ) |
| Proceeds      from exercise of stock options                                                                                                                                                                                                      |   |                                                                                             | 225     |   |   | 570 |   |
| Dividends      paid                                                                                                                                                                                                                               |   |                                                                                             | (1,965  | )  |   |        (1,701 | )  |
| Subsidiary      dividends to noncontrolling interests                                                                                                                                                                                             |   |                                                                                             | (1,159  | )  |   |        (604 | )  |
| Purchase      of treasury stock                                                                                                                                                                                                                   |   | (169                                                                                             | )  | (23,226 | )  |
| Net      cash used in financing activities                                                                                                                                                                                                        |   | (5,377                                                                                           | )  | (25,130 | )  |
| Net      increase in cash and cash equivalents                                                                                                                                                                                                    |   |                                                                                             | 79,038  |   |   | 98,026 |   |
| Effect      of exchange rates on cash and cash equivalents                                                                                                                                                                                        |   |                                                                                             | 118     |   |   |        (1 | ) |
| Cash      and cash equivalents, excluding restricted cash at beginning of      period                                                                                                                                                             |   | 331,174                                                                                          |    | 168,319 |   |
| Cash      and cash equivalents, excluding restricted cash at end of      period                                                                                                                                                                   |   | $                410,330                       |    | $           266,344 |   |
| Supplemental      disclosures of cash flow information:                                                                                                                                                                                           |   |                                                                                             |    |   |   |   |   |
| Cash      paid for interest                                                                                                                                                                                                                       |   | $                    6,460 |    | $              4,330 |   |
| Cash      paid for taxes                                                                                                                                                                                                                          |   | $                12,664                        |    | $             24,891 |   |
|                                                                                                                                                                                                                                              |
| Non-cash      activity:                                                                                                                                                                                                                           |
|  -      On January 22, 2008, Cascade Investment, L.L.C. elected to convert $10      million of its $50 million convertible note paying interest of      6% into 188,679 shares of GAMCO Investors, Inc. Class A Common      stock. |
|                                                                                                                                                                                                                                              |   |                                                                                             |    |   |   |   |   |

----

CONSOLIDATED 

----

----

----

|                                     |   | 2009                                                          |   | 2008                                                          |
|------------------------------------------|--------|---------------------------------------------------------------|--------|---------------------------------------------------------------|
|                                     |   | Cost                                                          |   | Fair      Value                                               |   | Cost |   | Fair      Value |
|                                     |   | (In      thousands)                                           |
| Trading      securities:                 |   |                                                          |   |                                                          |   |   |   |   |
| U.S.      Government obligations         |   | $         61,951 |   | $         61,991 |   | $         59,502 |   | $               59,923 |
| Common      stocks                  |   |                                                          | 48,625 |                                                          |   | 49,665 |   |   | 74,405 |   |   | 68,510 |
| Mutual      funds                        |   |                                                          | 1,115  |                                                          |   | 972 |   |   | 66,543 |   |   | 63,527 |
| Preferred      stocks               |   |                                                          | -      |                                                          |   | 14 |   |   | 52 |   |   | 56 |
| Other investments              |   | 306                                                           |   | 185                                                           |   | 581 |   | 691 |
| Total      trading securities            |   | 111,997                                                       |   | 112,827                                                       |   | 201,083 |   | 192,707 |
|                                     |   |                                                          |   |                                                          |   |   |   |   |   |   |   |   |
| Available      for sale securities:      |   |                                                          |   |                                                          |   |   |   |   |   |   |   |   |
| Common      stocks                  |   |                                                          | 17,211 |                                                          |   | 39,707 |   |   | 20,807 |   |   | 46,693 |
| Mutual      funds                        |   | 49,839                                                        |   | 51,587                                                        |   | 80,203 |   | 80,433 |
| Total      available for sale securities |   | 67,050                                                        |   | 91,294                                                        |   | 101,010 |   | 127,126 |
|                                     |   |                                                          |   |                                                          |   |   |   |   |   |   |   |   |
| Total      investments in securities     |   | $            179,047            |   | $            204,121            |   | $             302,093 |   | $             319,833 |

|                                                |   | 2009                                                                     |   | 2008                                                                     |
|-----------------------------------------------------|--------|--------------------------------------------------------------------------|--------|--------------------------------------------------------------------------|
|                                                |   | Cost                                                                     |   | Fair      Value                                                          |   | Cost |   | Fair      Value |
|                                                |   | (In      thousands)                                                      |
|  Common      stocks                            |   | $                6,564 |   | $                7,037 |   | $                2,103 |   | $                1,781 |
|  Mutual      funds                             |   | -                                                                        |   | -                                                                        |   | 524 |   | 324 |
|  Total      securities sold, not yet purchased |   | $                6,564 |   | $                7,037 |   | $                2,627 |   | $                2,105 |

----

----

| -   | Level      1 inputs utilize quoted prices (unadjusted) in active markets for      identical assets or liabilities.                                                                                                                                                                                                                                                                                                                                                              |
|---------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| -   | Level      2 inputs utilize inputs other than quoted prices included in Level 1 that      are observable for the asset or liability, either directly or      indirectly.  Level 2 inputs include quoted prices for similar      assets and liabilities in active markets and inputs other than quoted      prices that are observable for the asset or liability, such as interest      rates and yield curves that are observable at commonly-quoted      intervals. |
| -   | Level      3 inputs are unobservable inputs for the asset or liability, and include      situations where there is little, if any, market activity for the asset or      liability.                                                                                                                                                                                                                                                                                        |

----

|                                                           |   | Quoted      Prices in Active                                                                                                                                                                     |   | Significant      Other                                                                                                                                                                             |   | Significant                                                                                                                                                                                        |   |                                                                                                                                                   |
|----------------------------------------------------------------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                           |   | Markets      for Identical                                                                                                                                                                       |   | Observable                                                                                                                                                                                         |   | Unobservable                                                                                                                                                                                       |   | Balance      as of                                                                                                                                     |
| Assets                                                         |   | Assets      (Level 1)                                                                                                                                                                            |   | Inputs      (Level 2)                                                                                                                                                                              |   | Inputs      (Level 3)                                                                                                                                                                              |   | June      30, 2009                                                                                                                                     |
| Cash      equivalents                                          |   | $                                 410,145                 |   | $                                     - |   | $                                    -       |   | $                         410,145                       |
| Investments      in securities:                                |   |                                                                                                                                                                                             |   |                                                                                                                                                                                               |   |                                                                                                                                                                                               |   |                                                                                                                                                   |   |   |   |   |
|         AFS – Common stocks                    |   |                                                                                                                                                                                             | 39,707 |                                                                                                                                                                                               |   | -                                                                                                                                                                                                  |   |                                                                                                                                                   | - |   |   | 39,707 |
|         AFS – Mutual funds                     |   |                                                                                                                                                                                             | 51,587 |                                                                                                                                                                                               |   | -                                                                                                                                                                                                  |   |                                                                                                                                                   | - |   |   | 51,587 |
|         Trading – U.S. Gov’t obligations |   |                                                                                                                                                                                             | 61,991 |                                                                                                                                                                                               |   | -                                                                                                                                                                                                  |   |                                                                                                                                                   | - |   |   | 61,991 |
|         Trading – Common stocks                |   |                                                                                                                                                                                             | 47,772 |                                                                                                                                                                                               |   | 1,651                                                                                                                                                                                              |   |                                                                                                                                                   | 242 |   |   | 49,665 |
|         Trading – Mutual funds                 |   |                                                                                                                                                                                             | 972    |                                                                                                                                                                                               |   | -                                                                                                                                                                                                  |   |                                                                                                                                                   | - |   |   | 972 |
|         Trading – Preferred stocks             |   |                                                                                                                                                                                             | -      |                                                                                                                                                                                               |   | -                                                                                                                                                                                                  |   |                                                                                                                                                   | 14 |   |   | 14 |
|         Trading – Other                        |   | 13                                                                                                                                                                                               |   | -                                                                                                                                                                                                  |   | 172                                                                                                                                                                                                |   | 185                                                                                                                                                    |
| Total      investments in securities                           |   | 202,042                                                                                                                                                                                          |   | 1,651                                                                                                                                                                                              |   | 428                                                                                                                                                                                                |   | 204,121                                                                                                                                                |
| Total      assets at fair value                                |   | $                           612,187                       |   | $                             1,651                                             |   | $                                428                             |   | $                         614,266                       |
| Liabilities                                                    |   |                                                                                                                                                                                             |   |                                                                                                                                                                                               |   |                                                                                                                                                                                               |   |                                                                                                                                                   |   |   |   |   |
|         Trading – Common stocks                |   | $                               7,037 |   | $                                    -       |   | $                                     - |   | $                             7,037 |
| Securities      sold, not yet purchased                        |   | $                               7,037 |   | $                                    -       |   | $                                          - |   | $                             7,037 |

----

|                                                           |   | Quoted      Prices in Active                                                                                                                                                                           |   | Significant      Other                                                                                                                                                                             |   | Significant                                                                                                                                                                                  |   |                                                                                                                                                   |
|----------------------------------------------------------------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                           |   | Markets      for Identical                                                                                                                                                                             |   | Observable                                                                                                                                                                                         |   | Unobservable                                                                                                                                                                                 |   | Balance      as of                                                                                                                                     |
| Assets                                                         |   | Assets      (Level 1)                                                                                                                                                                                  |   | Inputs      (Level 2)                                                                                                                                                                              |   | Inputs      (Level 3)                                                                                                                                                                        |   | June      30, 2008                                                                                                                                     |
| Cash      equivalents                                          |   | $                           266,021                             |   | $                                     - |   | $                                    - |   | $                         266,021                       |
| Investments      in securities:                                |   |                                                                                                                                                                                                   |   |                                                                                                                                                                                               |   |                                                                                                                                                                                         |   |                                                                                                                                                   |   |   |   |   |
|         AFS – Common stocks                    |   |                                                                                                                                                                                                   | 46,693 |                                                                                                                                                                                               |   | -                                                                                                                                                                                            |   |                                                                                                                                                   | - |   |   | 46,693 |
|         AFS – Mutual funds                     |   |                                                                                                                                                                                                   | 80,433 |                                                                                                                                                                                               |   | -                                                                                                                                                                                            |   |                                                                                                                                                   | - |   |   | 80,433 |
|         Trading – U.S. Gov’t obligations |   |                                                                                                                                                                                                   | 59,923 |                                                                                                                                                                                               |   | -                                                                                                                                                                                            |   |                                                                                                                                                   | - |   |   | 59,923 |
|         Trading – Common stocks                |   |                                                                                                                                                                                                   | 66,948 |                                                                                                                                                                                               |   | 183                                                                                                                                                                                          |   |                                                                                                                                                   | 1,379 |   |   | 68,510 |
|         Trading – Mutual funds                 |   |                                                                                                                                                                                                   | 63,527 |                                                                                                                                                                                               |   | -                                                                                                                                                                                            |   |                                                                                                                                                   | - |   |   | 63,527 |
|         Trading – Preferred stocks             |   |                                                                                                                                                                                                   | 19     |                                                                                                                                                                                               |   | -                                                                                                                                                                                            |   |                                                                                                                                                   | 37 |   |   | 56 |
|         Trading – Other                        |   | 95                                                                                                                                                                                                     |   | -                                                                                                                                                                                                  |   | 596                                                                                                                                                                                          |   | 691                                                                                                                                                    |
| Total      investments in securities                           |   | 317,638                                                                                                                                                                                                |   | 183                                                                                                                                                                                                |   | 2,012                                                                                                                                                                                        |   | 319,833                                                                                                                                                |
| Total      assets at fair value                                |   | $                                 583,659                       |   | $                           183                             |   | $                             2,012                                       |   | $                         585,854                       |
| Liabilities                                                    |   |                                                                                                                                                                                                   |   |                                                                                                                                                                                               |   |                                                                                                                                                                                         |   |                                                                                                                                                   |
|         Trading – Common stocks                |   | $                                     1,781 |   | $                                     - |   | $                                    - |   | $                             1,781 |
|         Trading – Mutual funds                 |   | 324                                                                                                                                                                                                    |   | -                                                                                                                                                                                                  |   | -                                                                                                                                                                                            |   | 324                                                                                                                                                    |
| Securities      sold, not yet purchased                        |   | $                                     2,105 |   | $                                     - |   | $                                    - |   | $                             2,105 |

|                                                   |   |                                                                                                             |   |   |                                                                                         |   |   | Total                                                                                                                                                          |   |   |                                                                                                                                                                                                                       |   |   |                                                                                                                                                     |   |   |                                                                                                                                         |   |   |                                                                                                                  |
|--------------------------------------------------------|--------|------------------------------------------------------------------------------------------------------------------|--------|--------|----------------------------------------------------------------------------------------------|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|-----------------------------------------------------------------------------------------------------------------------|
|                                                   |   |                                                                                                             |   |   |                                                                                         |   |   | Unrealized                                                                                                                                                     |   |   |                                                                                                                                                                                                                       |   |   |                                                                                                                                                     |   |   |                                                                                                                                         |   |   |                                                                                                                  |
|                                                   |   |                                                                                                             |   |   |                                                                                         |   |   | Gains      or                                                                                                                                                  |   |   | Total                                                                                                                                                                                                                      |   |   |                                                                                                                                                     |   |   |                                                                                                                                         |   |   |                                                                                                                  |
|                                                   |   |                                                                                                             |   |   |                                                                                         |   |   | (Losses)                                                                                                                                                       |   |   | Realized                                                                                                                                                                                                                   |   |   |                                                                                                                                                     |   |   | Net                                                                                                                                          |   |   |                                                                                                                  |
|                                                   |   | March                                                                                                            |   |   | Total      Realized and                                                                      |   |   | Included      in                                                                                                                                               |   |   | and                                                                                                                                                                                                                        |   |   |                                                                                                                                                     |   |   | Transfers                                                                                                                                    |   |   |                                                                                                                  |
|                                                   |   | 31,      2009                                                                                                    |   |   | Unrealized      Gains or                                                                     |   |   | Other                                                                                                                                                          |   |   | Unrealized                                                                                                                                                                                                                 |   |   | Purchases                                                                                                                                                |   |   | In      and/or                                                                                                                               |   |   |                                                                                                                  |
|                                                   |   | Beginning                                                                                                        |   |   | (Losses)      in Income                                                                      |   |   | Comprehensive                                                                                                                                                  |   |   | Gains      or                                                                                                                                                                                                              |   |   | and      Sales,                                                                                                                                          |   |   | (Out)      of                                                                                                                                |   |   | Ending                                                                                                                |
| Asset                                                  |   | Balance                                                                                                          |   |   | Trading                                                                                      |   |   | Investments                                                                                                                                                    |   |   | Income                                                                                                                                                                                                                     |   |   | (Losses)                                                                                                                                                 |   |   | net                                                                                                                                          |   |   | Level      3                                                                                                          |   |   | Balance |
| Financial      instruments owned:                      |   |                                                                                                             |   |   |                                                                                         |   |   |                                                                                                                                                           |   |   |                                                                                                                                                                                                                       |   |   |                                                                                                                                                     |   |   |                                                                                                                                         |   |   |                                                                                                                  |   |   |   |   |   |   |   |   |   |   |   |
| Trading      – Common   stocks    |   | $                       151 |   |   | $                    5 |   |   | $                               - |   |   | $                                    - |   |   | $                              5 |   |   | $                            - |   |   | $                        86 |   |   | $           242 |
| Trading      – Preferred   stocks |   |                                                                                                             | 14     |   |                                                                                         |   | -      |                                                                                                                                                           |   |   | -                                                                                                                                                                                                                          |   |   |                                                                                                                                                     | -      |   |                                                                                                                                         |   | -      |                                                                                                                  |   |   | - |   |   |   | - |   |   |   | 14 |
| Trading      – Other                             |   | 302                                                                                                              |   |   | (130                                                                                         | )      |   | -                                                                                                                                                              |   |   | -                                                                                                                                                                                                                          |   |   | (130                                                                                                                                                     | )      |   | -                                                                                                                                            |   |   | -                                                                                                                     |   |   | 172 |
| Total                                                  |   | $                       467 |   |   | $               (125                            | )      |   | $                               - |   |   | $                                         - |   |   | $                         (125                            | )      |   | $                            - |   |   | $                        86 |   |   | $                428 |

----

|                                                   |   |                                                                                             |   |   |                                                                                         |   |   | Total                                                                                                                                                          |   |   |                                                                                                                                                                                                                       |   |   |                                                                                                                                                     |    |   |                                                                                                                              |    |   |                                                                                                  |
|--------------------------------------------------------|--------|--------------------------------------------------------------------------------------------------|--------|--------|----------------------------------------------------------------------------------------------|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------|---------|--------|-----------------------------------------------------------------------------------------------------------------------------------|---------|--------|-------------------------------------------------------------------------------------------------------|
|                                                   |   |                                                                                             |   |   |                                                                                         |   |   | Unrealized                                                                                                                                                     |   |   |                                                                                                                                                                                                                       |   |   |                                                                                                                                                     |    |   |                                                                                                                              |    |   |                                                                                                  |
|                                                   |   |                                                                                             |   |   |                                                                                         |   |   | Gains      or                                                                                                                                                  |   |   | Total                                                                                                                                                                                                                      |   |   |                                                                                                                                                     |    |   |                                                                                                                              |    |   |                                                                                                  |
|                                                   |   |                                                                                             |   |   |                                                                                         |   |   | (Losses)                                                                                                                                                       |   |   | Realized                                                                                                                                                                                                                   |   |   |                                                                                                                                                     |    |   | Net                                                                                                                               |    |   |                                                                                                  |
|                                                   |   | December                                                                                         |   |   | Total      Realized and                                                                      |   |   | Included      in                                                                                                                                               |   |   | and                                                                                                                                                                                                                        |   |   |                                                                                                                                                     |    |   | Transfers                                                                                                                         |    |   |                                                                                                  |
|                                                   |   | 31,      2008                                                                                    |   |   | Unrealized      Gains or                                                                     |   |   | Other                                                                                                                                                          |   |   | Unrealized                                                                                                                                                                                                                 |   |   | Purchases                                                                                                                                                |    |   | In      and/or                                                                                                                    |    |   |                                                                                                  |
|                                                   |   | Beginning                                                                                        |   |   |  (Losses)      in Income                                                                |   |   | Comprehensive                                                                                                                                                  |   |   | Gains      or                                                                                                                                                                                                              |   |   | and      Sales,                                                                                                                                          |    |   | (Out)      of                                                                                                                     |    |   | Ending                                                                                                |
| Asset                                                  |   | Balance                                                                                          |   |   | Trading                                                                                      |   |   | Investments                                                                                                                                                    |   |   | Income                                                                                                                                                                                                                     |   |   | (Losses)                                                                                                                                                 |    |   | net                                                                                                                               |    |   | Level      3                                                                                          |   |   | Balance |
| Financial      instruments owned:                      |   |                                                                                             |   |   |                                                                                         |   |   |                                                                                                                                                           |   |   |                                                                                                                                                                                                                       |   |   |                                                                                                                                                     |    |   |                                                                                                                              |    |   |                                                                                                  |   |   |   |   |   |   |   |   |   |   |   |
| Trading      – Common   stocks    |   | $                    1,114 |   |   | $                    6 |   |   | $                               - |   |   | $                                         - |   |   | $                              6 |    |   | $                          (1 | )       |   | $                     (877 | ) |   | $                242 |
| Trading      – Preferred   stocks |   |                                                                                             | 96     |   |                                                                                         |   | (82    | )                                                                                                                                                              |   |   | -                                                                                                                                                                                                                          |   |   |                                                                                                                                                     |  - |   |                                                                                                                              |    | (82    | )                                                                                                     |   |   | - |   |   |   | - |   |   |   | 14 |
| Trading      – Other                             |   | 331                                                                                              |   |   | (131                                                                                         | )      |   | -                                                                                                                                                              |   |   | -                                                                                                                                                                                                                          |   |   | (131                                                                                                                                                     | )       |   | (28                                                                                                                               | )  |   | -                                                                                                     |   |   | 172 |
| Total                                                  |   | $                    1,541 |   |   | $               (207                            | )      |   | $                               - |   |   | $                                         - |   |   | $                         (207                            | )       |   | $                        (29            | )  |   | $                     (877 | )  |   | $                428 |

|                                                   |   |                                                                                                             |   |   |                                                              |   |   | Total                                                                                                                                                          |   |   |                                                                                                                                                                                                                       |   |   |                                                                                                                          |   |   |                                                                                                             |   |   |                                                                                                             |
|--------------------------------------------------------|--------|------------------------------------------------------------------------------------------------------------------|--------|--------|-------------------------------------------------------------------|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|-------------------------------------------------------------------------------------------------------------------------------|--------|--------|------------------------------------------------------------------------------------------------------------------|--------|--------|------------------------------------------------------------------------------------------------------------------|
|                                                   |   |                                                                                                             |   |   |                                                              |   |   | Unrealized                                                                                                                                                     |   |   |                                                                                                                                                                                                                       |   |   |                                                                                                                          |   |   |                                                                                                             |   |   |                                                                                                             |
|                                                   |   |                                                                                                             |   |   |                                                              |   |   | Gains      or                                                                                                                                                  |   |   | Total                                                                                                                                                                                                                      |   |   |                                                                                                                          |   |   |                                                                                                             |   |   |                                                                                                             |
|                                                   |   |                                                                                                             |   |   |                                                              |   |   | (Losses)                                                                                                                                                       |   |   | Realized                                                                                                                                                                                                                   |   |   |                                                                                                                          |   |   | Net                                                                                                              |   |   |                                                                                                             |
|                                                   |   | March                                                                                                            |   |   | Total      Realized and                                           |   |   | Included      in                                                                                                                                               |   |   | and                                                                                                                                                                                                                        |   |   |                                                                                                                          |   |   | Transfers                                                                                                        |   |   |                                                                                                             |
|                                                   |   | 31,      2008                                                                                                    |   |   | Unrealized      Gains or                                          |   |   | Other                                                                                                                                                          |   |   | Unrealized                                                                                                                                                                                                                 |   |   | Purchases                                                                                                                     |   |   | In      and/or                                                                                                   |   |   |                                                                                                             |
|                                                   |   | Beginning                                                                                                        |   |   |  (Losses)      in Income                                     |   |   | Comprehensive                                                                                                                                                  |   |   | Gains      or                                                                                                                                                                                                              |   |   | and      Sales,                                                                                                               |   |   | (Out)      of                                                                                                    |   |   | Ending                                                                                                           |
| Asset                                                  |   | Balance                                                                                                          |   |   | Trading                                                           |   |   | Investments                                                                                                                                                    |   |   | Income                                                                                                                                                                                                                     |   |   | (Losses)                                                                                                                      |   |   | net                                                                                                              |   |   | Level      3                                                                                                     |   |   | Balance |
| Financial      instruments owned:                      |   |                                                                                                             |   |   |                                                              |   |   |                                                                                                                                                           |   |   |                                                                                                                                                                                                                       |   |   |                                                                                                                          |   |   |                                                                                                             |   |   |                                                                                                             |   |   |   |   |   |   |   |   |   |   |   |
| Trading      – Common   stocks    |   | $                       613 |   |   | $               (310 | )      |   | $                               - |   |   | $                                         - |   |   | $                         (310 | )      |   | $                  735 |   |   | $                       341 |   |   | $             1,379 |
| Trading      – Preferred   stocks |   |                                                                                                             | -      |   |                                                              |   | 8      |                                                                                                                                                           |   |   | -                                                                                                                                                                                                                          |   |   |                                                                                                                          | -      |   |                                                                                                             |   | 8      |                                                                                                             |   |   | - |   |   |   | 29 |   |   |   | 37 |
| Trading      – Other                             |   | 575                                                                                                              |   |   | -                                                                 |   |   | -                                                                                                                                                              |   |   | -                                                                                                                                                                                                                          |   |   | -                                                                                                                             |   |   | -                                                                                                                |   |   | 21                                                                                                               |   |   | 596 |
| Total                                                  |   | $                    1,188                 |   |   | $          (302 | )      |   | $                               - |   |   | $                                         - |   |   | $                         (302 | )      |   | $                       735 |   |   | $                       391 |   |   | $             2,012 |

----

|                                                   |   |                                                                                                             |   |   |                                                              |   |   | Total                                                                                                                                                          |   |   |                                                                                                                                                                                                                       |   |   |                                                                                                                          |   |   |                                                                                                             |   |   |                                                                                                             |
|--------------------------------------------------------|--------|------------------------------------------------------------------------------------------------------------------|--------|--------|-------------------------------------------------------------------|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|-------------------------------------------------------------------------------------------------------------------------------|--------|--------|------------------------------------------------------------------------------------------------------------------|--------|--------|------------------------------------------------------------------------------------------------------------------|
|                                                   |   |                                                                                                             |   |   |                                                              |   |   | Unrealized                                                                                                                                                     |   |   |                                                                                                                                                                                                                       |   |   |                                                                                                                          |   |   |                                                                                                             |   |   |                                                                                                             |
|                                                   |   |                                                                                                             |   |   |                                                              |   |   | Gains      or                                                                                                                                                  |   |   | Total                                                                                                                                                                                                                      |   |   |                                                                                                                          |   |   |                                                                                                             |   |   |                                                                                                             |
|                                                   |   |                                                                                                             |   |   |                                                              |   |   | (Losses)                                                                                                                                                       |   |   | Realized                                                                                                                                                                                                                   |   |   |                                                                                                                          |   |   | Net                                                                                                              |   |   |                                                                                                             |
|                                                   |   | December                                                                                                         |   |   | Total      Realized and                                           |   |   | Included      in                                                                                                                                               |   |   | and                                                                                                                                                                                                                        |   |   |                                                                                                                          |   |   | Transfers                                                                                                        |   |   |                                                                                                             |
|                                                   |   | 31,      2007                                                                                                    |   |   | Unrealized      Gains or                                          |   |   | Other                                                                                                                                                          |   |   | Unrealized                                                                                                                                                                                                                 |   |   | Purchases                                                                                                                     |   |   | In      and/or                                                                                                   |   |   |                                                                                                             |
|                                                   |   | Beginning                                                                                                        |   |   | (Losses)      in Income                                           |   |   | Comprehensive                                                                                                                                                  |   |   | Gains      or                                                                                                                                                                                                              |   |   | and      Sales,                                                                                                               |   |   | (Out)      of                                                                                                    |   |   | Ending                                                                                                           |
| Asset                                                  |   | Balance                                                                                                          |   |   | Trading                                                           |   |   | Investments                                                                                                                                                    |   |   | Income                                                                                                                                                                                                                     |   |   | (Losses)                                                                                                                      |   |   | net                                                                                                              |   |   | Level      3                                                                                                     |   |   | Balance |
| Financial      instruments owned:                      |   |                                                                                                             |   |   |                                                              |   |   |                                                                                                                                                           |   |   |                                                                                                                                                                                                                       |   |   |                                                                                                                          |   |   |                                                                                                             |   |   |                                                                                                             |   |   |   |   |   |   |   |   |   |   |   |
| Trading      – Common   stocks    |   | $                       856 |   |   | $               (553 | )      |   | $                               - |   |   | $                                         - |   |   | $                         (553 | )      |   | $                       735 |   |   | $                       341 |   |   | $             1,379 |
| Trading      – Preferred   stocks |   |                                                                                                             | -      |   |                                                              |   | 8      |                                                                                                                                                           |   |   | -                                                                                                                                                                                                                          |   |   |                                                                                                                          | -      |   |                                                                                                             |   | 8      |                                                                                                             |   |   | - |   |   |   | 29 |   |   |   | 37 |
| Trading      – Other                             |   | 567                                                                                                              |   |   | 8                                                                 |   |   | -                                                                                                                                                              |   |   | -                                                                                                                                                                                                                          |   |   | 8                                                                                                                             |   |   | -                                                                                                                |   |   | 21                                                                                                               |   |   | 596 |
| Total                                                  |   | $                    1,423                 |   |   | $          (537 | )      |   | $                               - |   |   | $                                         - |   |   | $                         (537 | )      |   | $                       735 |   |   | $                       391 |   |   | $             2,012 |

----

|                                                                                     |   | Three                                                             |   | Three                                                             |   | Six                                                               |   | Six                                                   |   |
|------------------------------------------------------------------------------------------|--------|-------------------------------------------------------------------|--------|-------------------------------------------------------------------|--------|-------------------------------------------------------------------|--------|-------------------------------------------------------|--------|
|                                                                                     |   | Months                                                            |   | Months                                                            |   | Months                                                            |   | Months                                                |   |
|                                                                                     |   | Ended                                                             |   | Ended                                                             |   | Ended                                                             |   | Ended                                                 |   |
|                                                                                     |   | June      30,                                                     |   | June      30,                                                     |   | June      30,                                                     |   | June      30,                                         |   |
| (in thousands,      except per share amounts)                                       |   | 2009                                                              |   | 2008                                                              |   | 2009                                                              |   | 2008                                                  |   |
| Basic:                                                                                   |   |                                                              |   |                                                              |   |                                                              |   |                                                  |   |   |   |
| Net      income attributable to GAMCO Investors, Inc.                                    |   | $      13,316                       |   | $      14,459                       |   | $      21,528                       |   | $    24,945                       |   |
| Weighted      average shares outstanding                                                 |   | 27,384                                                            |   | 27,948                                                            |   | 27,381                                                            |   | 28,070                                                |   |
| Basic      net income attributable to GAMCO Investors, Inc. per share                    |   | $          0.49 |   | $          0.52 |   | $          0.79 |   | $        0.89 |   |
|                                                                                     |   |                                                              |   |                                                              |   |                                                              |   |                                                  |   |   |   |   |   |
| Diluted:                                                                                 |   |                                                              |   |                                                              |   |                                                              |   |                                                  |   |   |   |   |   |
| Net      income attributable to GAMCO Investors, Inc.                                    |   | $      13,316                       |   | $      14,459                       |   | $      21,528                       |   | $    24,945                       |   |
| Add      interest expense on convertible note, net of management fee      and taxes |   | -                                                                 |   | 343                                                               |   | -                                                                 |   | -                                                     |   |
| Total                                                                                    |   | $      13,316                       |   | $      14,802                       |   | $      21,528                       |   | $    24,945                       |   |
|                                                                                     |   |                                                              |   |                                                              |   |                                                              |   |                                                  |   |   |   |   |   |
| Weighted      average shares outstanding                                                 |   |                                                              | 27,384 |                                                              |   | 27,948                                                            |   |                                                  | 27,381 |   |   | 28,070 |   |
| Assumed      conversion of convertible note                                              |   | -                                                                 |   | 755                                                               |   | -                                                                 |   | -                                                     |   |
| Dilutive      stock options & RSAs                                                   |   | 124                                                               |   | 40                                                                |   | 65                                                                |   | 46                                                    |   |
| Total                                                                                    |   | 27,508                                                            |   | 28,743                                                            |   | 27,446                                                            |   | 28,116                                                |   |
| Diluted      net income attributable to GAMCO Investors, Inc. per share                  |   | $          0.48 |   | $          0.51 |   | $          0.78 |   | $        0.89 |   |

----

|           |   | 2008                                                               |                                                               | 2009                                                               |                                                               | 2010                                                               |                                                               | 2011                                                               |                                                                               | 2012                                                         |                                                                         |  2013                                                                         |
|----------------|--------|--------------------------------------------------------------------|--------------------------------------------------------------------|--------------------------------------------------------------------|--------------------------------------------------------------------|--------------------------------------------------------------------|--------------------------------------------------------------------|--------------------------------------------------------------------|------------------------------------------------------------------------------------|--------------------------------------------------------------|------------------------------------------------------------------------------|------------------------------------------------------------------------------------|
|           | Q1     |                                                               | $          1,198 |                                                               | $          1,271 |                                                               | $          1,260 |                                                               | $             766 |                                                         | $            730 |                                                                               | $               44 |
|           | Q2     |                                                               |                                                               | 1,204                                                              |                                                               |                                                               | 1,267                                                              |                                                               |                                                                               | 1,257                                                        |                                                                         |                                                                               | 763 |   |   | 729 |   |   |  44 |
|           | Q3     |                                                               |                                                               | 1,237                                                              |                                                               |                                                               | 1,265                                                              |                                                               |                                                                               | 1,256                                                        |                                                                         |                                                                               | 746 |   |   | 729 |   |   |  23 |
|           | Q4     |                                                               | 1,252                                                              |                                                               | 1,264                                                              |                                                               | 1,093                                                              |                                                               | 739                                                                                |                                                         | 501                                                                          |                                                                               | 12 |
| Full      Year |   | $          4,891 |                                                               | $          5,067 |                                                               | $          4,866 |                                                               | $          3,014 |                                                                               | $         2,689 |                                                                         | $             123 |

----

----

ITEM 

----

| -   | Our      institutional and private wealth management business ended the quarter      with $8.8 billion in separately managed accounts, up 17.3% from the March      31, 2009 level of $7.5 billion but 24.1% lower than the $11.6 billion on      June 30, 2008. |
|---------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| -   | Our      closed-end equity funds had AUM of $3.8 billion on June 30, 2009, rising      11.8% from the $3.4 billion on March 31, 2009 but 33.3% below the $5.7      billion on June 30, 2008. |
|---------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| -   | Our      open-end equity funds AUM were $6.7 billion on June 30, 2009, 19.6% more      than the $5.6 billion on March 31, 2009 but 26.4% below the $9.1 billion      on June 30, 2008. |
|---------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| -   | We      have the opportunity to earn base fees and incentive fees for certain      institutional client assets, assets attributable to preferred issues for      our closed-end funds, assets of the Gabelli Global Deal Fund (NYSE: GDL)      and Investment Partnership assets.  As of June 30, 2009, assets      with incentive based fees were $2.6 billion, up 4.0% from the $2.5 billion      on March 31, 2009 and 18.8% below the $3.2 billion on June 30,      2008.  At June 30, 2009, we have unearned incentive fee revenues      of $3.1 million on these assets representing $.03 per diluted share after      direct expenses and taxes.  These fees, which vary with the      market value of the related AUM, are not recorded as revenues until the      contract period has ended, which for the majority of these arrangements is      December 31, 2009. |
|---------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| -   | Our      Investment Partnerships AUM were $266 million on June 30, 2009 versus $265      million on March 31, 2009 and $354 million on June 30,    2008. |
|---------------|----------------------------------------------------------------------------------------------------------------------------------------------------------|

| -   | AUM      in The Gabelli U.S. Treasury Fund, our 100% U.S. Treasury money market      fund, was unchanged at $1.8 billion on June 30, 2009 versus March 31, 2009      and higher by 50.0% from the June 30, 2008 AUM of $1.2      billion. |
|---------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| Table      I: Fund Flows – 2nd      Quarter 2009 (millions) |   |                                                                                                                      |              |                                                                                                                                                                         |   |                                                                                                                                                      |   |                                                                                                                                       |   |                                                                                                                            |   |   |   |
|-------------------------------------------------------------------|--------|---------------------------------------------------------------------------------------------------------------------------|-------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------------------------------------------------------------|--------|--------|--------|
|                                                              |   |    March      31, 2009                                                                                     |              | Closed-end      Funddistributions,net      of reinvestments                                                                                                                  |   |  Net      Cash Flows                                                                                                                                 |   |   Market      Appreciation                                                                                                       |   |   June      30, 2009                                                                                                  |   |
| Equities:                                                         |   |                                                                                                                      |              |                                                                                                                                                                         |   |                                                                                                                                                      |   |                                                                                                                                       |   |                                                                                                                            |   |   |   |   |   |   |
| Open-end      Funds                                               |   | $                                                                                                                         |        5,627 |                                                                                                                                                                         | $      | -                                                                                                                                                         |   | $                                                                                                                                          | 130    |                                                                                                                            | $      | 927    |   | $ | 6,684 |   |
| Closed-end      Funds                                             |   | 3,359                                                                                                                     |              | (84                                                                                                                                                                          | )      | 39                                                                                                                                                        |   | 508                                                                                                                                        |   | 3,822                                                                                                                           |   |
| Institutional      & PWM - direct                             |   |          6,227                                                                                                  |              | -                                                                                                                                                                            |   |  (42                                                                                                                                                 | )      | 1,147                                                                                                                                      |   | 7,332                                                                                                                           |   |
| Institutional      & PWM – sub-advisory                 |   |        1,202                                                                                                         |              | -                                                                                                                                                                            |   |        (3                                                                                                                                            | )      | 277                                                                                                                                        |   | 1,476                                                                                                                           |   |
| Investment      Partnerships                                      |   | 265                                                                                                                       |              | -                                                                                                                                                                            |   | (11                                                                                                                                                       | )      | 12                                                                                                                                         |   |        266                                                                                                                 |   |
| Total      Equities                                               |   | 16,680                                                                                                                    |              | -                                                                                                                                                                            |   | 113                                                                                                                                                       |   | 2,871                                                                                                                                      |   | 19,580                                                                                                                          |   |
| Fixed      Income:                                                |   |                                                                                                                      |              |                                                                                                                                                                         |   |                                                                                                                                                      |   |                                                                                                                                       |   |                                                                                                                            |   |   |   |   |   |   |
| Money-Market      Fund                                            |   | 1,794                                                                                                                     |              | -                                                                                                                                                                            |   |  (30                                                                                                                                                 | )      | 1                                                                                                                                          |   |  1,765                                                                                                                     |   |
| Institutional      & PWM                                      |   |         21                                                                                                      |              | -                                                                                                                                                                            |   |  -                                                                                                                                                   |   | -                                                                                                                                          |   |  21                                                                                                                        |   |
| Total      Fixed Income                                           |   |         1,815                                                                                                   |              | -                                                                                                                                                                            |   |        (30                                                                                                                                           | )      | 1                                                                                                                                          |   |  1,786                                                                                                                     |   |
| Total      Assets Under Management                                |   | $                        18,495 |              | $                            (84 | )      | $                         83 |   | $                           2,872 |   | $                         21,366 |   |

| Table      II:                                    |  June 30,                                                                                                                                               |   |        June      30,                                                                                                            |   | %                 |    |
|---------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------------------------------------------------------------------------------|--------|-------------------|---------|
| Equities:                                         | 2008                                                                                                                                                         |   |  2009                                                                                                                           |   |  Inc.(Dec.)  |    |
| Open-end      Funds                               | $                              9,063 |   | $                          6,684 |   | (26.2             | )       |
| Closed-end      Funds                             |                                                                                                                                                         | 5,704  |                                                                                                                                 |   |        3,822 |    | (33.0 | ) |
| Institutional      & PWM - direct             | 9,564                                                                                                                                                        |   |        7,332                                                                                                                    |   | (23.3             | )       |
| Institutional      & PWM – sub-advisory | 2,043                                                                                                                                                        |   |  1,476                                                                                                                          |   | (27.8             | )       |
| Investment      Partnerships                      |  354                                                                                                                                                    |   |  266                                                                                                                            |   |        (24.9 | )  |
| Total      Equities                               | 26,728                                                                                                                                                       |   |  19,580                                                                                                                         |   | (26.7             | )       |
| Fixed      Income:                                |                                                                                                                                                         |   |                                                                                                                                 |   |              |    |   |   |
| Money-Market      Fund                            | 1,153                                                                                                                                                        |   |        1,765                                                                                                                    |   | 53.1              |    |
| Institutional      & PWM                      | 17                                                                                                                                                           |   | 21                                                                                                                                   |   | 23.5              |    |
| Total      Fixed Income                           | 1,170                                                                                                                                                        |   | 1,786                                                                                                                                |   | 52.6              |    |
| Total      Assets Under Management                | $                            27,898            |   | $                        21,366            |   | (23.4             | )       |

|  Table    III:                               |   | Assets      Under Management By Quarter (millions)     |   |
|---------------------------------------------------|--------|--------------------------------------------------------|--------|
|                                              |   |                                                   |   |   |   |   |   |   |   |   |   | %      Increase/(decrease) from |
| Equities:                                         |   | 6/08                                                   |   | 9/08 |   | 12/08 |   | 3/09 |   | 6/09 |   | 6/08 |   |   | 3/09 |   |
| Open-end      Funds                               |   | $             9,063 |   | $             8,015 |   | $             6,139 |   | $             5,627 |   | $             6,684 |   | (26.2 | ) |   | 18.8 |   |
| Closed-end      Funds                             |   |                                                   | 5,704  |   |   | 4,869 |   |   | 3,792 |   |   | 3,359 |   |   | 3,822 |   | (33.0 | ) |   | 13.8 |   |
| Institutional      & PWM - direct             |   | 9,564                                                  |   | 8,964 |   | 6,861 |   | 6,227 |   | 7,332 |   | (23.3 | ) |   | 17.7 |   |
| Institutional      & PWM – sub-advisory |   | 2,043                                                  |   | 1,964 |   | 1,585 |   | 1,202 |   | 1,476 |   | (27.8 | ) |   | 22.8 |   |
| Investment      Partnerships                      |   |  354                                              |   |  340 |   |  295 |   |        265 |   |  266 |   |  (24.9 | )  |   |  0.4 |   |
| Total      Equities                               |   | 26,728                                                 |   | 24,152 |   | 18,672 |   | 16,680 |   | 19,580 |   | (26.7 | ) |   | 17.4 |   |
| Fixed      Income:                                |   |                                                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Money-Market      Fund                            |   | 1,153                                                  |   | 1,003 |   | 1,507 |   | 1,794 |   | 1,765 |   | 53.1 |   |   | (1.6 | ) |
| Institutional      & PWM                      |   | 17                                                     |   | 19 |   | 22 |   | 21 |   | 21 |   | 23.5 |   |   | - |   |
| Total      Fixed Income                           |   | 1,170                                                  |   | 1,022 |   | 1,529 |   | 1,815 |   | 1,786 |   | 52.6 |   |   | (1.6 | ) |
| Total      Assets Under Management                |   | $           27,898            |   | $      25,174 |   | $           20,201 |   | $           18,495 |   | $           21,366 |   | (23.4 | ) |   | 15.5 |   |

----

| Gabelli      Funds Morningstar Ratings Based on Risk Adjusted returns as of June 30,      2009 |
|------------------------------------------------------------------------------------------------|
|                                                                                           |   | Overall      Rating | 3      Year Rating | 5      Year Rating | 10      Year Rating |
|  FUND                                                                                     | MorningstarCategory |  Stars | #      of Funds |  Stars | #      of Funds |  Stars | #      of Funds |  Stars | #      of Funds |
| Gabelli      ABC AAA                                                                           | Mid-Cap      Blend | êêêêê | 382 | êêêêê | 382 | êêêêê | 293 | êêêêê | 144 |
| Gabelli      Asset AAA                                                                         | Mid-Cap      Blend | êêêê | 382 | êêêê | 382 | êêêê | 293 | êêê | 144 |
| Gabelli      Blue Chip Value AAA                                                               | Large      Value | êêêê | 1154 | êêêê | 1154 | êêêê | 951 | n/a | 452 |
| Gabelli      Equity Income AAA                                                                 | Large      Value | êêêê | 1154 | êêêê | 1154 | êêêê | 951 | êêêêê | 452 |
| Gabelli      Small Cap Growth AAA                                                              | Small      Blend | êêêêê | 570 | êêêêê | 570 | êêêêê | 465 | êêêê | 231 |
| Gabelli      SRI Green AAA                                                                     | Mid-Cap      Blend | n/a | n/a | n/a | n/a | n/a | n/a | n/a | n/a |
| Gabelli      Utilities AAA                                                                     | Specialty      – Utilities | êêê | 93 | êêêê | 93 | êêê | 78 | n/a | 50 |
| Gabelli      Value A                                                                           | Mid-Cap      Blend | êê | 382 | êê | 382 | êê | 293 | êê | 144 |
| Gabelli      Woodland Small Cap Value AAA                                                      | Small      Blend | êêê | 570 | êêêê | 570 | êêê | 465 | n/a | 231 |
| GAMCO      Global Convertible Secs AAA                                                         | Convertibles | ê | 72 | ê | 72 | ê | 67 | ê | 48 |
| GAMCO      Global Growth AAA                                                                   | World      Stock | êêê | 544 | êêê | 544 | êêê | 446 | êê | 253 |
| GAMCO      Global Opportunity AAA                                                              | World      Stock | êêê | 544 | êêê | 544 | êêêê | 446 | êêê | 253 |
| GAMCO      Global Telecommunications AAA                                                       | Specialty      – Communications | êêêê | 38 | êêêê | 38 | êêêê | 35 | êêê | 13 |
| GAMCO      Gold AAA                                                                            | Specialty      – Precious Metals | êêêê | 61 | êêê | 61 | êêê | 58 | êêêê | 36 |
| GAMCO      Growth AAA                                                                          | Large      Growth | êêê | 1565 | êêê | 1565 | êêê | 1294 | êê | 663 |
| GAMCO      International Growth AAA                                                            | Foreign      Large Growth | êêê | 226 | êêê | 226 | êêê | 172 | êêê | 89 |
| GAMCO      Mathers                                                                             | Conservative      Allocation | êêê | 485 | êêêêê | 485 | êêê | 315 | êê | 134 |
| GAMCO      Westwood Balanced AAA                                                               | Moderate      Allocation | êêêê | 960 | êêêê | 960 | êêêêê | 793 | êêêê | 453 |
| GAMCO      Westwood Equity AAA                                                                 | Large      Value | êêêê | 1154 | êêêê | 1154 | êêêêê | 951 | êêêê | 452 |
| GAMCO      Westwood Income AAA                                                                 | Moderate      Allocation | êêê | 960 | ê | 960 | êêê | 793 | êêêêê | 453 |
| GAMCO      Westwood Intermediate AAA                                                           | Intermediate-Term      Bond | êêê | 983 | êêêê | 983 | êêê | 860 | êêê | 476 |
| GAMCO      Westwood Mighty Mites AAA                                                           | Small      Blend | êêêêê | 570 | êêêêê | 570 | êêêêê | 465 | êêêêê | 231 |
| GAMCO      Westwood SmallCap Equity AAA                                                        | Small      Blend | êê | 570 | êêê | 570 | êêêê | 465 | ê | 231 |
| Gabelli      Enterprise Mergers & Acquisitions Y                                           | Mid-Cap      Blend | êêêêê | 382 | êêêêê | 382 | êêêêê | 293 | n/a | 144 |
| Comstock      Capital Value AAA                                                                | Bear      Market | n/a | n/a | n/a | n/a | n/a | n/a | n/a | n/a |
| Percent      of Rated funds rated 4 or 5 stars                                                 |   | 47.83% |   | 60.87% |   | 52.17% |   | 42.11% |   |

----

| GABELLI/GAMCO      FUNDS         | Gabelli      Funds Lipper Rankings as of June 30, 2009 |
|----------------------------------|--------------------------------------------------------|
|                             |                                                   | 1      Yr – 06/30/08-06/30/09 | 3      Yrs – 06/30/06-06/30/09 | 5      Yrs – 06/30/04-06/30/09 | 10      Yrs – 06/30/99-06/30/09 |
| Fund      Name                   | Lipper      Category                                   | PercentileRank | Rank      /Total      Funds | PercentileRank | Rank      /Total      Funds | PercentileRank | Rank      /Total      Funds | PercentileRank | Rank      /Total      Funds |
| Gabelli      Asset; AAA          | Multi-Cap      Core Funds                              | 43 | 320/759 | 17 | 99/614 | 9 | 40/463 | 22 | 39/178 |
| Gabelli      Value Fund; A       | Multi-Cap      Core Funds                              | 67 | 506/759 | 82 | 504/614 | 80 | 368/463 | 47 | 83/178 |
| Gabelli      SRI; AAA            | Multi-Cap      Core Funds                              | 1 | 7/759 | - | - | - | - | - | - |
| Gabelli      Eq:Eq Inc; AAA      | Equity      Income Funds                               | 52 | 151/294 | 32 | 75/234 | 28 | 52/186 | 10 | 10/104 |
| GAMCO      Ww:Income; AAA        | Equity      Income Funds                               | 43 | 125/294 | 62 | 145/234 | - | - | - | - |
| GAMCO      Growth; AAA           | Large-Cap      Growth Funds                            | 68 | 569/841 | 55 | 392/717 | 33 | 195/602 | 61 | 189/313 |
| GAMCO      Ww:SmCp Eq; AAA       | Small-Cap      Core Funds                              | 63 | 483/766 | 47 | 287/617 | 18 | 89/503 | 98 | 237/242 |
| Gabelli      Eq:SC Gro; AAA      | Small-Cap      Core Funds                              | 11 | 81/766 | 9 | 52/617 | 12 | 56/503 | 19 | 46/242 |
| GAMCO      Ww:Mhty M; AAA        | Small-Cap      Core Funds                              | 4 | 30/766 | 2 | 9/617 | 5 | 24/503 | 15 | 36/242 |
| Gabelli      Eq:Wd SCV; AAA      | Small-Cap      Core Funds                              | 26 | 197/766 | 17 | 100/617 | 31 | 155/503 | - | - |
| GAMCO      Gl:Oppty; AAA         | Global      Multi-Cap Growth                           | 39 | 34/87 | 50 | 28/56 | 18 | 8/46 | 19 | 5/26 |
| GAMCO      Gl:Growth; AAA        | Global      Large-Cap Core                             | 72 | 70/97 | 46 | 39/85 | 35 | 25/71 | 73 | 27/36 |
| GAMCO      Gold; AAA             | Gold      Oriented Funds                               | 62 | 42/67 | 39 | 21/53 | 39 | 19/48 | 20 | 6/29 |
| GAMCO      Intl Gro; AAA         | International      Large-Cap Growth                    | 38 | 60/160 | 65 | 84/129 | 76 | 74/97 | 47 | 26/55 |
| GAMCO      Ww:Eqty; AAA          | Large-Cap      Value Funds                             | 85 | 475/564 | 13 | 62/485 | 3 | 9/410 | 12 | 23/191 |
| Gabelli      Bl Chp Val; AAA     | Large-Cap      Core Funds                              | 10 | 86/932 | 23 | 185/805 | 15 | 96/669 | - | - |
| Gabelli      Inv:ABC; AAA        | Specialty      Diversified Equity Funds                | 21 | 9/42 | 26 | 8/30 | 20 | 3/14 | 40 | 4/9 |
| GAMCO      Mathers; AAA          | Specialty      Diversified Equity Funds                | 26 | 11/42 | 33 | 10/30 | 40 | 6/14 | 70 | 7/9 |
| Comstock      Cap Val; A         | Specialty      Diversified Equity Funds                | 3 | 1/42 | 13 | 4/30 | 54 | 8/14 | 60 | 6/9 |
| GAMCO      Gl:Telecom; AAA       | Telecommunications      Funds                          | 58 | 24/41 | 18 | 6/33 | 17 | 5/29 | 20 | 2/9 |
| GAMCO      Gl:Convert; AAA       | Convertible      Securities Funds                      | 94 | 70/74 | 96 | 61/63 | 94 | 57/60 | 98 | 44/44 |
| Gabelli      Utilities; AAA      | Utility      Funds                                     | 3 | 3/101 | 19 | 16/87 | 67 | 49/73 | - | - |
| GAMCO      Ww:Bal – AAA    | Mixed-Asset      Target Alloc. Moderate Funds          | 66 | 335/513 | 31 | 116/383 | 7 | 20/293 | 18 | 25/146 |
| 787:Gabelli      Merg&Acq; Y | Mid-Cap      Core Funds                                | 1 | 3/382 | 10 | 29/305 | 18 | 42/241 | - | - |
| Gabelli      Capital Asset Fund  | Distributed      through Insurance Channel             | 35 | 130/371 | 48 | 148/311 | 50 | 119/238 | 18 | 15/86 |
| %      of funds in top half      |                                                   | 60.0% |   | 79.2% |   | 78.3% |   | 68.4% |   |

----

|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | 2009                                                                                |   |   | 2008                                                                                |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-------------------------------------------------------------------------------------|--------|--------|-------------------------------------------------------------------------------------|
| Revenues                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |   |                                                                                |   |   |                                                                                |
|   Investment      advisory and incentive fees                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   | $              35,989                       |   |   | $              55,131                       |   |
|   Commission      revenue                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |   |                                                                                | 3,949  |   |                                                                                |   | 3,664 |   |
|   Distribution      fees and other income                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |   | 5,233                                                                               |   |   | 6,629                                                                               |   |
|      Total      revenues                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |                                                                                | 45,171 |   |                                                                                |   | 65,424 |   |
| Expenses                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |   |                                                                                |   |   |                                                                                |   |   |   |
|   Compensation      and related costs                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |                                                                                | 19,681 |   |                                                                                |   | 27,857 |   |
|   Management      fee                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |                                                                                | 2,304  |   |                                                                                |   | 2,586 |   |
|   Distribution      costs                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |   |                                                                                | 5,583  |   |                                                                                |   | 6,700 |   |
|   Other      operating expenses                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   | 4,942                                                                               |   |   | 7,074                                                                               |   |
|      Total      expenses                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   | 32,510                                                                              |   |   | 44,217                                                                              |   |
| Operating      income                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   |                                                                                | 12,661 |   |                                                                                |   | 21,207 |   |
| Other      income                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |                                                                                |   |   |                                                                                |   |   |   |
|   Net      gain from investments                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |   |                                                                                | 10,730 |   |                                                                                |   | 10 |   |
|   Interest      and dividend income                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |                                                                                | 801    |   |                                                                                |   | 4,196 |   |
|   Interest      expense                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   | (3,435                                                                              | )      |   | (2,187                                                                              | ) |
| Total      other income, net                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   | 8,096                                                                               |   |   | 2,019                                                                               |   |
| Income      before taxes                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |   |                                                                                | 20,757 |   |                                                                                |   | 23,226 |   |
| Income      tax provision                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   | 7,133                                                                               |   |   | 8,719                                                                               |   |
| Net      income                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   | 13,624                                                                              |   |   | 14,507                                                                              |   |
| Net      income attributable to noncontrolling interests                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |   | 308                                                                                 |   |   | 48                                                                                  |   |
| Net      income attributable to GAMCO Investors, Inc.’sshareholders                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   | $              13,316                       |   |   | $              14,459                       |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   |                                                                                |   |   |                                                                                |   |   |   |
| Net      income attributable to GAMCO Investors, Inc.’s shareholders per      share:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |   |                                                                                |   |   |                                                                                |   |   |   |
|    Basic                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   | $                  0.49 |   |   | $                  0.52 |   |
|    Diluted                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   | $                  0.48 |   |   | $                  0.51 |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   |                                                                                |   |   |                                                                                |   |   |   |
| Reconciliation      of net income attributable to GAMCO Investors, Inc.’s      shareholders   to      Adjusted EBITDA:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |                                                                                |   |   |                                                                                |   |   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   |                                                                                |   |   |                                                                                |   |   |   |
| Net      income attributable to GAMCO Investors, Inc.’sshareholders                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   | $                                                                                   | 13,316 |   |                                                                                | $ | 14,459 |   |
| Interest      expense                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   |                                                                                | 3,435  |   |                                                                                |   | 2,187 |   |
| Income      tax provision and net income attributable to noncontrolling      interests                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |   |                                                                                | 7,441  |   |                                                                                |   | 8,767 |   |
| Depreciation      and amortization                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |   | 161                                                                                 |   |   | 254                                                                                 |   |
| Adjusted      EBITDA (a)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |   | $              24,353                       |   |   | $              25,667                       |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   |                                                                                |   |   |                                                                                |   |   |   |
| (a)      Adjusted EBITDA is defined as earnings before interest, taxes,      depreciation and amortization, and noncontrolling      interests.  Adjusted EBITDA is a non-GAAP measure and should not      be considered as an alternative to any measure of performance as      promulgated under accounting principles generally accepted in the United      States nor should it be considered as an indicator of our overall      financial performance.  We use Adjusted EBITDA as a supplemental      measure of performance as we believe it gives investors a more complete      understanding of our operating results before the impact of financing      activities as a tool for determining the private market value of an      enterprise. |

----

----

|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | 2009                                                                                |   |   | 2008                                                                                |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-------------------------------------------------------------------------------------|--------|--------|-------------------------------------------------------------------------------------|
| Revenues                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |   |                                                                                |   |   |                                                                                |
|   Investment      advisory and incentive fees                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   | $              71,188                       |   |   | $            111,972                                  |   |
|   Commission      revenue                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |   |                                                                                | 7,599  |   |                                                                                |   | 6,920 |   |
|   Distribution      fees and other income                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |   | 9,743                                                                               |   |   | 13,080                                                                              |   |
|      Total      revenues                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |                                                                                | 88,530 |   |                                                                                |   | 131,972 |   |
| Expenses                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |   |                                                                                |   |   |                                                                                |   |   |   |
|   Compensation      and related costs                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |                                                                                | 40,466 |   |                                                                                |   | 56,780 |   |
|   Management      fee                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |                                                                                | 3,653  |   |                                                                                |   | 4,567 |   |
|   Distribution      costs                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |   |                                                                                | 11,005 |   |                                                                                |   | 13,033 |   |
|   Other      operating expenses                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   | 9,243                                                                               |   |   | 13,128                                                                              |   |
|      Total      expenses                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   | 64,367                                                                              |   |   | 87,508                                                                              |   |
| Operating      income                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   |                                                                                | 24,163 |   |                                                                                |   | 44,464 |   |
| Other      income (expense)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |                                                                                |   |   |                                                                                |   |   |   |
|   Net      gain (loss) from investments                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |                                                                                | 13,322 |   |                                                                                |   |  (8,379 | ) |
|   Interest      and dividend income                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |                                                                                | 2,079  |   |                                                                                |   | 8,970 |   |
|   Interest      expense                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   | (6,669                                                                              | )      |   | (4,204                                                                              | ) |
| Total      other income (expense), net                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |   | 8,732                                                                               |   |   | (3,613                                                                              | ) |
| Income      before taxes                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |   |                                                                                | 32,895 |   |                                                                                |   | 40,851 |   |
| Income      tax provision                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   | 11,121                                                                              |   |   | 16,045                                                                              |   |
| Net      income                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   | 21,774                                                                              |   |   | 24,806                                                                              |   |
| Net      income (loss) attributable to noncontrolling interests                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   | 246                                                                                 |   |   | (139                                                                                | ) |
| Net      income attributable to GAMCO Investors, Inc.’sshareholders                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   | $              21,528                       |   |   | $              24,945                       |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   |                                                                                |   |   |                                                                                |   |   |   |
| Net      income attributable to GAMCO Investors, Inc.’s shareholders per      share:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |   |                                                                                |   |   |                                                                                |   |   |   |
|    Basic                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   | $                  0.79 |   |   | $                  0.89 |   |
|    Diluted                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   | $                  0.78 |   |   | $                  0.89 |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   |                                                                                |   |   |                                                                                |   |   |   |
| Reconciliation      of net income attributable to GAMCO Investors, Inc.’s      shareholders   to      Adjusted EBITDA:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |                                                                                |   |   |                                                                                |   |   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   |                                                                                |   |   |                                                                                |   |   |   |
| Net      income attributable to GAMCO Investors, Inc.’sshareholders                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   | $              21,528                       |   |   | $              24,945                       |   |
| Interest      expense                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   |                                                                                | 6,669  |   |                                                                                |   | 4,204 |   |
| Income      tax provision and net income attributable to noncontrolling      interests                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |   |                                                                                | 11,367 |   |                                                                                |   | 15,906 |   |
| Depreciation      and amortization                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |   | 325                                                                                 |   |   | 483                                                                                 |   |
| Adjusted      EBITDA (a)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |   | $              39,889                       |   |   | $              45,538                       |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   |                                                                                |   |   |                                                                                |   |   |   |
| (a)      Adjusted EBITDA is defined as earnings before interest, taxes,      depreciation and amortization, and noncontrolling      interests.  Adjusted EBITDA is a non-GAAP measure and should not      be considered as an alternative to any measure of performance as      promulgated under accounting principles generally accepted in the United      States nor should it be considered as an indicator of our overall      financial performance.  We use Adjusted EBITDA as a supplemental      measure of performance as we believe it gives investors a more complete      understanding of our operating results before the impact of financing      activities as a tool for determining the private market value of an      enterprise. |

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|                                                                         |   | Six      Months Ended June 30,                          |      |
|------------------------------------------------------------------------------|--------|---------------------------------------------------------|-----------|
|                                                                         |   | 2009                                                    |      |   | 2008 |   |
| Cash      flows (used in) provided by:                                       |   | (in      thousands)                                     |      |
|    Operating      activities                                  |   | $             83,313 |      |   | $           123,315 |   |
|    Investing      activities                                  |   |                                                    | 1,102     |   |   |   | (159 | ) |
|    Financing      activities                                  |   |  (5,377                                            | )         |   | (25,130 | ) |
|    Net      increase                                     |   |                                                    | 79,038    |   |   |   | 98,026 |   |
|    Effect      of exchange rates on cash and cash equivalents |   |                                                    |  118 |   |   |   | (1 | ) |
|    Cash      and cash equivalents at beginning of period      |   | 331,174                                                 |      |   | 168,319 |   |
|    Cash      and cash equivalents at end of period            |   | $           410,330            |      |   | $           266,344 |   |

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Item 

Item 

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Part 

|  Item      1.  | Legal      Proceedings |
|--------------------------|------------------------|
|                     |                   |

|  Item      2.                                                                                                                                                   | Unregistered      Sales of Equity Securities and Use of Proceeds |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------|------------------------------------------------------------------|
|                                                                                                                                                                 |                                                             |
| The      following table provides information with respect to the repurchase of      Class A Common Stock of GAMCO during the three months ended June 30,      2009: |

| Period                       |   | (a)      Total Number of Shares Repurchased |   | (b)      Average Price Paid Per Share, net of Commissions |                                                                                                                                                               | (c)      Total Number of Shares Repurchased as Part of Publicly Announced Plans or      Programs |   | (d)      Maximum Number of Shares That May Yet Be Purchased Under the Plans or      Programs |    |   |
|------------------------------|--------|---------------------------------------------|--------|-----------------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------|--------|----------------------------------------------------------------------------------------------|---------|--------|
| 4/01/09      – 4/30/09 |   |                                        | -      |                                                      | -                                                                                                                                                                  |                                                                                             | -      |                                                                                         | 864,836 |   |   |
| 5/01/09      – 5/31/09 |   |                                        | -      |                                                      | -                                                                                                                                                                  |                                                                                             | -      |                                                                                         | 864,836 |   |   |
| 6/01/09      – 6/30/09 |   |                                        | 3,500  |                                                      | $                               48.38 |                                                                                             | 3,500  |                                                                                         | 861,336 |   |   |
| Totals                       |   |                                        | 3,500  |                                                      |                                                                                                                                                               |                                                                                             | 3,500  |                                                                                         |    |   |   |
|                         |   |                                        |   |                                                      |                                                                                                                                                               |                                                                                             |   |                                                                                         |    |   |   |

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| Item      4.                                                                                                                                                                                                                                                                                                                 | Submission of Matters to a Vote      of Security Holders |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------|
|                                                                                                                                                                                                                                                                                                                              |                                                     |
| GAMCO      held its annual meeting of shareholders in Greenwich, Connecticut on May      5, 2009.  At that meeting, the shareholders considered and acted      upon the following matters:                                                                                                                              |
|                                                                                                                                                                                                                                                                                                                              |                                                     |
| THE      ELECTION OF DIRECTORS.  The stockholders elected the following      individuals to serve as directors until the 2010 annual meeting of      stockholders and until their respective successors are duly elected and      qualified.  All of the nominees were elected with the following votes      cast: |

| Nominees                           |   | For         |   | Withheld  |
|------------------------------------|--------|-------------|--------|-----------|
| Mario      J. Gabelli              |   | 205,007,054 |   | 1,968,067 |
| Edwin      L. Artzt                |   | 206,883,651 |   | 91,470    |
| Raymond      C. Avansino, Jr. |   | 205,757,067 |   | 1,218,054 |
| Richard      L. Bready             |   | 206,000,175 |   | 974,946   |
| Eugene      R. McGrath             |   | 206,738,525 |   | 236,596   |
| Robert      S. Prather, Jr.        |   | 205,812,860 |   | 1,162,261 |
| Elisa      M. Wilson               |   | 206,208,554 |   | 766,567   |

| For         |   | Against      |   | Abstain     |
|-------------|--------|--------------|--------|-------------|
| 206,951,961 |   | 19,980  |   | 3,180  |

|  Item      6.  |   (a) Exhibits |
|--------------------------|-------------------------------|
|                     |                          |

|   | 31.1 | Certification      of CEO pursuant to Rule 13a-14(a). |
|--------|------|-------------------------------------------------------|

|   | 31.2 | Certification      of CFO pursuant to Rule 13a-14(a). |
|--------|------|-------------------------------------------------------|

|   | 32.1 | Certification      of CEO pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section      906 of the Sarbanes-Oxley Act of2002. |
|--------|------|-----------------------------------------------------------------------------------------------------------------------------------------|

|   | 32.2 | Certification      of CFO pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section      906 of the Sarbanes- Oxley Act of2002. |
|--------|------|------------------------------------------------------------------------------------------------------------------------------------------|

SIGNATURES

| By:/s/ Kieran Caterina                 |                                        | By:/s/ Diane M.    LaPointe |   |
|---------------------------------------------|---------------------------------------------|----------------------------------|--------|
| Name: Kieran      Caterina             | Name:  Diane      M. LaPointe     |
| Title:      Co-Principal Accounting Officer | Title:      Co-Principal Accounting Officer |
|                                        |                                        |
| Date:      August 6, 2009                   | Date:      August 6, 2009                   |

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