----

----

| [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 area code       |

| 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 October 31, 2009 |   |
|--------------------------------------|--------|---------------------------------|--------|
| Class A Common Stock, .001 par value |   | 7,327,847                       |   |
| Class B Common Stock, .001 par value |   | 20,292,917                      |   |

----

| 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 September 30, 2009 and 2008 |
|                                   | -    Nine months ended September 30, 2009 and 2008 |
|                                   |   |
|                                   | Condensed Consolidated Statements of Financial Condition: |
|                                   | -    September 30, 2009 |
|                                   | -    December 31, 2008 |
|                                   | -    September 30, 2008 |
|                                   |   |
|                                   | Condensed Consolidated Statements of Stockholders’ Equity and Other Comprehensive Income: |
|                                   | -    Nine months ended September 30, 2009 and 2008 |
|                                   |   |
|                                   | Condensed Consolidated Statements of Cash Flows: |
|                                   | -    Nine months ended September 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 6.                                | Exhibits |
|                                   |   |
|                                   |   |
| SIGNATURES                             |   |
|                                   |   |

----

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

|                                                                  |   | Three months Ended                                                                                     |   |   | Nine months ended                                                                                           |   |
|-----------------------------------------------------------------------|--------|--------------------------------------------------------------------------------------------------------|--------|--------|-------------------------------------------------------------------------------------------------------------|--------|
|                                                                  |   | September 30,                                                                                          |   |   | September 30,                                                                                               |   |
|                                                                  |   | 2009                                                                                                   |   |   | 2008                                                                                                        |   |   | 2009 |   |   | 2008 |   |
|                                                                  |   |                                                                                                   |   |   |                                                                                                        |   |   |   |   |   |   |   |
| Revenues                                                              |   |                                                                                                   |   |   |                                                                                                        |   |   |   |   |   |   |   |
| Investment advisory and incentive fees                                |   | $             40,957                       |   |   | $             52,297                            |   |   | $           112,145 |   |   | $          164,269 |   |
| Institutional research services                                       |   |                                                                                                   | 4,588  |   |                                                                                                        |   | 4,098 |   |   |   | 12,187 |   |   |   | 11,018 |   |
| Distribution fees and other income                                    |   | 6,037                                                                                                  |   |   | 6,585                                                                                                       |   |   | 15,780 |   |   | 19,665 |   |
| Total revenues                                                        |   | 51,582                                                                                                 |   |   | 62,980                                                                                                      |   |   | 140,112 |   |   | 194,952 |   |
| Expenses                                                              |   |                                                                                                   |   |   |                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |
| Compensation                                                          |   |                                                                                                   | 21,590 |   |                                                                                                        |   | 26,233 |   |   |   | 62,056 |   |   |   | 83,013 |   |
| Management fee                                                        |   |                                                                                                   | 2,638  |   |                                                                                                        |   | 1,740 |   |   |   | 6,291 |   |   |   | 6,307 |   |
| Distribution costs                                                    |   |                                                                                                   | 6,089  |   |                                                                                                        |   | 6,658 |   |   |   | 17,094 |   |   |   | 19,691 |   |
| Other operating expenses                                              |   | 4,405                                                                                                  |   |   | 7,076                                                                                                       |   |   | 13,648 |   |   | 20,204 |   |
| Total expenses                                                        |   |                                                                                                   | 34,722 |   |                                                                                                        |   | 41,707 |   |   |   | 99,089 |   |   |   | 129,215 |   |
|                                                                  |   |                                                                                                   |   |   |                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |
| Operating income                                                      |   |                                                                                                   | 16,860 |   |                                                                                                        |   | 21,273 |   |   |   | 41,023 |   |   |   | 65,737 |   |
| Other income (expense)                                                |   |                                                                                                   |   |   |                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |
| Net gain (loss) from investments                                 |   |                                                                                                   | 9,659  |   |                                                                                                        |   | (4,786 | ) |   |   | 22,981 |   |   |   | (13,165 | ) |
| Interest and dividend income                                          |   |                                                                                                   | 598    |   |                                                                                                        |   | 1,340 |   |   |   | 2,677 |   |   |   | 10,310 |   |
| Interest expense                                                      |   | (3,296                                                                                                 | )      |   | (2,091                                                                                                      | )      |   | (9,965 | ) |   | (6,295 | ) |
| Total other income (expense), net                                     |   | 6,961                                                                                                  |   |   | (5,537                                                                                                      | )      |   | 15,693 |   |   | (9,150 | ) |
| Income before income taxes                                            |   |                                                                                                   | 23,821 |   |                                                                                                        |   | 15,736 |   |   |   | 56,716 |   |   |   | 56,587 |   |
| Income tax provision                                                  |   | 8,913                                                                                                  |   |   | 3,837                                                                                                       |   |   | 20,034 |   |   | 19,882 |   |
| Net income                                                            |   | 14,908                                                                                                 |   |   | 11,899                                                                                                      |   |   | 36,682 |   |   | 36,705 |   |
| Net income (loss) attributable to noncontrolling interests            |   |                                                                                                   | 257    |   |                                                                                                        | (86    | ) |   | 503 |   |   | (225 | ) |
| Net income attributable to GAMCO Investors, Inc.’s shareholders |   | $             14,651                       |   |   | $             11,985                            |   |   | $             36,179 |   |   | $             36,930 |   |
|                                                                  |   |                                                                                                   |   |   |                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |
| Net income attributable to GAMCO Investors, Inc.’s shareholders |   |                                                                                                   |   |   |                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |
|   per share:                                                |   |                                                                                                   |   |   |                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                                                 |   | $                 0.54 |   |   | $                 0.43      |   |   | $                 1.32 |   |   | $                 1.32 |   |
|                                                                  |   |                                                                                                   |   |   |                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |
| Diluted                                                               |   | $                 0.53 |   |   | $                 0.43      |   |   | $                 1.32 |   |   | $                 1.32 |   |
|                                                                  |   |                                                                                                   |   |   |                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |
| Weighted average shares outstanding:                                  |   |                                                                                                   |   |   |                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                                                 |   | 27,366                                                                                                 |   |   | 27,602                                                                                                      |   |   | 27,376 |   |   | 27,930 |   |
|                                                                  |   |                                                                                                   |   |   |                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |
| Diluted                                                               |   | 27,505                                                                                                 |   |   | 27,647                                                                                                      |   |   | 27,464 |   |   | 27,973 |   |
|                                                                  |   |                                                                                                   |   |   |                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |
| Dividends declared:                                                   |   | $                 0.03 |   |   | $                 1.03 |   |   | $                0.09 |   |   | $                 1.09 |   |
|                                                                  |   |                                                                                                   |   |   |                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |
| See accompanying notes.                                               |   |                                                                                                   |   |   |                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |

----

| GAMCO INVESTORS, INC. AND SUBSIDIARIES                                                                                      |
|-----------------------------------------------------------------------------------------------------------------------------|
| CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION                                                                    |
| UNAUDITED                                                                                                                   |
| (In thousands, except share data)                                                                                           |
|                                                                                                                        |   | September 30, |   |   | December 31, |   |   September 30, |   |
|                                                                                                                        |   | 2009 |   |   | 2008 |   | 2008 |   |
| ASSETS                                                                                                                      |   |   |   |   |   |   |   |   |   |
| Cash and cash equivalents, including restricted cash of $62,246, $7,156, and $0                                             |   | $                   463,361 |   |   | $                 338,330 |   | $                  165,098 |   |
| Investments in securities, including restricted securities of $0, $54,894, and $0                                           |   |   | 172,571 |   |   |   | 226,494 |   |   | 379,072 |   |
| Investments in partnerships and affiliates                                                                                  |   |   | 63,997 |   |   |   | 60,707 |   |   | 73,234 |   |
| Receivable from brokers                                                                                                     |   |   | 21,991 |   |   |   | 16,460 |   |   | 37,929 |   |
| Investment advisory fees receivable                                                                                         |   |   | 13,313 |   |   |   | 11,261 |   |   | 16,392 |   |
| Income tax receivable and deferred tax assets                                                                               |   |   | 4,536 |   |   |   | 23,952 |   |   | 4,388 |   |
| Other assets                                                                                                                |   | 18,682 |   |   | 20,430 |   | 23,086 |   |
| Total assets                                                                                                                |   | $                   758,451 |   |   | $                 697,634 |   | $                  699,199 |   |
|                                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |
| LIABILITIES AND STOCKHOLDERS' EQUITY                                                                                        |   |   |   |   |   |   |   |   |   |   |   |
| Payable to brokers                                                                                                          |   | $                   10,006 |   |   | $                     1,857 |   | $                       2,492 |   |
| Compensation payable                                                                                                        |   |   | 20,974 |   |   |   | 15,862 |   |   | 28,253 |   |
| Capital lease obligation                                                                                                    |   |   | 5,278 |   |   |   | 5,329 |   |   | 5,300 |   |
| Securities sold, not yet purchased                                                                                          |   |   | 9,738 |   |   |   | 1,677 |   |   | 6,620 |   |
| Mandatorily redeemable noncontrolling interests                                                                             |   |   | 1,586 |   |   |   | 1,396 |   |   | 1,519 |   |
| Accrued expenses and other liabilities                                                                                      |   | 24,670 |   |   | 23,605 |   | 24,066 |   |
| Sub-total                                                                                                                   |   | 72,252 |   |   | 49,726 |   | 68,250 |   |
|                                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |
| 5.5% Senior notes (due May 15, 2013)                                                                                        |   |   | 99,000 |   |   |   | 99,000 |   |   | 100,000 |   |
| 6% Convertible notes (due August 14, 2011)                                                                                  |   |   | 39,829 |   |   |   | 39,766 |   |   | 39,746 |   |
| 6.5% Convertible note (due October 2, 2018)                                                                                 |   | 60,000 |   |   | 60,000 |   | - |   |
| Total liabilities                                                                                                           |   |   | 271,081 |   |   |   | 248,492 |   |   | 207,996 |   |
|                                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |
| Redeemable noncontrolling interests                                                                                         |   |   | 1,424 |   |   |   | 4,201 |   |   | 4,333 |   |
|                                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |
| 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; 13,108,526, 13,018,869, 12,850,162                       |   |   |   |   |   |   |   |   |   |   |   |
|         issued, respectively; 7,337,347, 7,367,090, and 7,395,483              |   |   |   |   |   |   |   |   |   |   |   |
|         outstanding, respectively                                                   |   |   | 13 |   |   |   | 13 |   |   | 12 |   |
|       Class B Common Stock, $0.001 par value; 100,000,000                                     |   |   |   |   |   |   |   |   |   |   |   |
|         shares authorized; 24,000,000 shares issued,                                |   |   |   |   |   |   |   |   |   |   |   |
|         20,292,917, 20,378,699, 20,550,006 shares outstanding, respectively    |   |   | 20 |   |   |   | 20 |   |   | 21 |   |
|       Additional paid-in capital                                                              |   |   | 249,889 |   |   |   | 245,973 |   |   | 244,674 |   |
|       Retained earnings                                                                       |   |   | 447,145 |   |   |   | 413,761 |   |   | 451,635 |   |
|       Accumulated other comprehensive income                                                  |   |   | 24,870 |   |   |   | 14,923 |   |   | 14,515 |   |
|       Treasury stock, at cost (5,771,179, 5,651,779, and 5,454,679 shares, respectively) |   | (239,939 | ) |   | (234,537 | ) | (229,129 | ) |
|    Total GAMCO Investors, Inc. stockholders’ equity                                                    |   | 481,998 |   |   | 440,153 |   | 481,728 |   |
| Noncontrolling interests                                                                                                    |   | 3,948 |   |   | 4,788 |   | 5,142 |   |
| Total stockholders’ equity                                                                                            |   | 485,946 |   |   | 444,941 |   | 486,870 |   |
|                                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |
| Total liabilities and stockholders' equity                                                                                  |   | $                  758,451 |   |   | $                697,634 |   | $                699,199 |   |

----

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

| For the nine months ended September 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                                   |   |                                                                                             | 319    |   |   | - |   |   | - |   |   | 36,179 |   |   | - |   |   | - |   |   | 36,498 |   |
| Net unrealized gains on                      |   |                                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  securities available for sale,         |   |                                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  net of income tax                      |   |                                                                                             | -      |   |   | - |   |   | - |   |   | - |   |   | 9,898 |   |   | - |   |   | 9,898 |   |
| Foreign currency translation                 |   |                                                                                             | -      |   |   | - |   |   | - |   |   | - |   |   | 49 |   |   | - |   | 49 |   |
| Total comprehensive income                   |   |                                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 46,445 |   |
| Dividends declared                           |   |                                                                                             | -      |   |   | - |   |   | - |   |   | (2,795 | ) |   | - |   |   | - |   |   | (2,795 | ) |
| Income tax effect of transaction             |   |                                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    with shareholders          |   |                                                                                             | -      |   |   | - |   |   | (243 | ) |   | - |   |   | - |   |   | - |   |   | (243 | ) |
| Stock based compensation                     |   |                                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  expense                                |   |                                                                                             | -      |   |   | - |   |   | 3,821 |   |   | - |   |   | - |   |   | - |   |   | 3,821 |   |
| Exercise of stock options                    |   |                                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  including tax benefit                  |   | -                                                                                                |   | - |   | 338 |   | - |   | - |   | - |   | 338 |   |
| Purchase of treasury stock                   |   | -                                                                                                |   | - |   | - |   | - |   | - |   | (5,402 | ) | (5,402 | ) |
| Balance at September 30, 2009                |   | $               3,948 |   | $                 33 |   | $       249,889 |   | $        447,145 |   | $               24,870 |   | $      (239,939 | ) | $        485,946 |   |
|                                         |   |                                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |

----

| GAMCO INVESTORS, INC. AND SUBSIDIARIES                                                         |   |
|------------------------------------------------------------------------------------------------|--------|
| CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY AND OTHER COMPREHENSIVE INCOME |   |
| UNAUDITED (continued)                                                                          |   |
|  (In thousands)                                                                           |   |
| For the nine months ended September 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                                                                                     |   |   | (45 | ) |   | - |   |   | - |   |   | 36,930 |   |   | - |   |   | - |   |   | 36,885 |   |
| Net unrealized losses on                                                                       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  securities available for sale, net                                                       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  of income tax                                                                            |   |   | - |   |   | - |   |   | - |   |   | - |   |   | (6,246 | ) |   | - |   |   | (6,246 | ) |
| Foreign currency translation                                                                   |   |   | - |   |   | - |   |   | - |   |   | - |   |   | (54 | ) |   | - |   | (54 | ) |
| Total comprehensive income                                                                     |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 30,585 |   |
| Dividends declared                                                                             |   |   | - |   |   | - |   |   | - |   |   | (30,416 | ) |   | - |   |   | - |   |   | (30,416 | ) |
| Stock based compensation                                                                       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  expense                                                                                  |   |   | - |   |   | - |   |   | 3,639 |   |   | - |   |   | - |   |   | - |   |   | 3,639 |   |
| Conversion of 6% convertible                                                                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  note                                                                                     |   |   | - |   |   | - |   |   | 9,923 |   |   | - |   |   | - |   |   | - |   |   | 9,923 |   |
| Exercise of stock options                                                                      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  including tax benefit                                                                    |   |   | - |   |   | - |   |   | 629 |   |   | - |   |   | - |   |   | - |   |   | 629 |   |
| Purchase of treasury stock                                                                     |   | - |   | - |   | - |   | - |   | - |   | (33,992 | ) | (33,992 | ) |
| Balance at September 30, 2008                                                                  |   | $                5,142 |   | $                33 |   | $       244,674 |   | $       451,635 |   | $              14,515 |   | $      (229,129 | ) | $             486,870 |   |
|                                                                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |

----

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

|                                                                                                                 |   | Nine months ended                                 |    |
|----------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------|---------|
|                                                                                                                 |   | September 30,                                     |    |
|                                                                                                                 |   | 2009                                              |    | 2008 |   |
| Operating activities                                                                                                 |   |                                              |    |   |   |
| Net income                                                                                                           |   | $       36,682 |    | $     36,705 |   |
|  Adjustments to reconcile net income to net cash provided by operating activities:                         |   |                                              |    |   |   |
|   Equity in net (gains) losses from partnerships and affiliates                                            |   | (10,791                                           | )       | 7,370 |   |
|   Depreciation and amortization                                                                            |   | 487                                               |    |   747 |   |
|   Stock based compensation expense                                                                         |   | 3,821                                             |    |   3,639 |   |
|   Deferred income taxes                                                                                    |   | 2,644                                             |    | (2,503 | ) |
|   Tax benefit from exercise of stock options                                                          |   | 113                                               |    |   2 |   |
|   Foreign currency (gain) loss                                                                   |   | 49                                                |    |   (54 | ) |
|   Other-than-temporary loss on available for sale securities                                               |   | -                                                 |    |   713 |   |
|   Acquisition of intangible asset                                                                               |   | -                                                 |    |   (3,370 | ) |
|   Fair value of donated securities                                                                         |   | 370                                               |    |   507 |   |
|   (Gains) losses on investments in securities                                                              |   | (13,588                                           | )  | 6,377 |   |
|   Gain (loss) related to investment partnerships and offshore funds consolidated under EITF 04-5, net |   | 1,387                                             |    | (1,824 | ) |
|   Amortization of discount on debt                                                                    |   | 63                                                |    | 138 |   |
| (Increase) decrease in operating assets:                                                                             |   |                                              |    |   |   |
|    Trading investments in securities                                                                  |   | 88,883                                            |    |   (7,789 | )  |
|    Investments in partnerships and affiliates                                                    |   | 5,669                                             |    |   21,039 |   |
|    Receivable from brokers                                                                            |   | (5,531                                            | )       |   2,216 |   |
|    Investment advisory fees receivable                                                           |   | (2,052                                            | )       | 17,309 |   |
|    Other receivables from affiliates                                                             |   | 144                                               |    | 3,303 |   |
|    Income tax receivable and deferred tax assets                                                      |   | 16,450                                            |    | - |   |
|    Other assets                                                                                       |   | 1,128                                             |    |   (397 | )  |
| Increase (decrease) in operating liabilities:                                                                        |   |                                              |    |   |   |
|    Payable to brokers                                                                            |   | 8,149                                             |    |   (5,070 | ) |
|    Income taxes payable                                                                          |   | (5,817                                            | )  |  (6,617 | ) |
|    Compensation payable                                                                               |   | 6,366                                             |    |   4,232 |   |
|    Mandatorily redeemable noncontrolling interests                                                    |   | 190                                               |    | (133 | ) |
|    Accrued expenses and other liabilities                                                             |   | 678                                               |    | (22,364 | )  |
| Total adjustments                                                                                               |   | 98,812                                            |    | 17,471 |   |
| Net cash provided by operating activities                                                                  |   | 135,494                                           |    | 54,176 |   |

----

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

|                                                                                                                                                                                                                                                                                                                                   |   | Nine months ended                                                               |    |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------------|---------|
|                                                                                                                                                                                                                                                                                                                                   |   | September 30,                                                                   |    |
|                                                                                                                                                                                                                                                                                                                                   |   | 2009                                                                            |    |  2008 |   |
|                                                                                                                                                                                                                                                                                                                                   |   |                                                                            |    |   |   |
| Investing activities                                                                                                                                                                                                                                                                                                                   |   |                                                                            |    |   |   |
| Purchases of available for sale securities                                                                                                                                                                                                                                                                                             |   | $            (6,183      | )  | $          (1,022 | )  |
| Proceeds from sales of available for sale securities                                                                                                                                                                                                                                                                                   |   | 7,077                                                                           |    | 8,451 |   |
| Change in restricted cash                                                                                                                                                                                                                                                                                                              |   | (55,090                                                                         | )       | - |   |
| Net cash (used in) provided by investing activities                                                                                                                                                                                                                                                                                    |   | (54,196                                                                         | )  | 7,429 |   |
|                                                                                                                                                                                                                                                                                                                                   |   |                                                                            |    |   |   |
| Financing activities                                                                                                                                                                                                                                                                                                                   |   |                                                                            |    |   |   |
| Contributions related to investment partnerships and offshore funds consolidated                                                                                                                                                                                                                                                       |   |                                                                            |    |   |   |
|    under EITF 04-5, net                                                                                                                                                                                                                                                                                                 |   | (2,309                                                                          | )       | (346 | ) |
| Proceeds from exercise of stock options                                                                                                                                                                                                                                                                                                |   | 225                                                                             |    | 630 |   |
| Dividends paid                                                                                                                                                                                                                                                                                                                         |   | (2,795                                                                          | )  |   (30,416 | )  |
| Subsidiary dividends to noncontrolling interests                                                                                                                                                                                                                                                                                       |   | (1,159                                                                          | )  |   (604 | )  |
| Purchase of treasury stock                                                                                                                                                                                                                                                                                                             |   | (5,402                                                                          | )  | (33,992 | )  |
| Net cash used in financing activities                                                                                                                                                                                                                                                                                                  |   | (11,440                                                                         | )  | (64,728 | )  |
| Net increase (decrease) in cash and cash equivalents                                                                                                                                                                                                                                                                                   |   | 69,858                                                                          |    | (3,123 | )  |
| Effect of exchange rates on cash and cash equivalents                                                                                                                                                                                                                                                                                  |   | 83                                                                              |    |   (98 | ) |
| 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                                                                                                                                                                                                                                                                  |   | $         401,115                       |    | $       165,098 |   |
| Supplemental disclosures of cash flow information:                                                                                                                                                                                                                                                                                     |   |                                                                            |    |   |   |
| Cash paid for interest                                                                                                                                                                                                                                                                                                                 |   | $             9,859 |    | $           5,726 |   |
| Cash paid for taxes                                                                                                                                                                                                                                                                                                                    |   | $           17,356            |    | $         29,145 |   |
|                                                                                                                                                                                                                                                                                                                                   |
| 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.                                                                                                          |
|  - On September 15, 2008, GAMCO Investors, Inc. modified and extended its lease with M4E, LLC, the Company’s landlord at 401 Theodore Fremd Ave, Rye, NY. The lease term was extended to December 31, 2023. This resulted in an increase to the capital lease obligation and corresponding asset of $3.0 million each. |
|                                                                                                                                                                                                                                                                                                                                   |   |                                                                            |    |   |   |   |   |

----

GAMCO 

----

----

----

|                                |   | 2009                                                                                                                  |   | 2008                                                                                                            |
|-------------------------------------|--------|-----------------------------------------------------------------------------------------------------------------------|--------|-----------------------------------------------------------------------------------------------------------------|
|                                |   | Cost                                                                                                                  |   | Fair Value                                                                                                      |   | Cost |   | Fair Value |
|                                |   | (In thousands)                                                                                                        |
| Trading securities:                 |   |                                                                                                                  |   |                                                                                                            |   |   |   |   |
| U.S. Government obligations         |   | $                    - |   | $                   - |   | $           69,898 |   | $            70,261 |
| Common stocks                  |   |                                                                                                                  | 74,618 |                                                                                                            |   | 79,680 |   |   | 142,753 |   |   | 132,647 |
| Mutual funds                        |   |                                                                                                                  | 1,215  |                                                                                                            |   | 1,254 |   |   | 62,057 |   |   | 58,501 |
| Preferred stocks               |   |                                                                                                                  | 10     |                                                                                                            |   | 18 |   |   | 31 |   |   | 69 |
| Other investments         |   | 355                                                                                                                   |   | 151                                                                                                             |   | 594 |   | 729 |
| Total trading securities            |   | 76,198                                                                                                                |   | 81,103                                                                                                          |   | 275,333 |   | 262,207 |
|                                |   |                                                                                                                  |   |                                                                                                            |   |   |   |   |   |   |   |   |
| Available for sale securities:      |   |                                                                                                                  |   |                                                                                                            |   |   |   |   |   |   |   |   |
| Common stocks                  |   |                                                                                                                  | 17,100 |                                                                                                            |   | 32,746 |   |   | 19,314 |   |   | 50,381 |
| Mutual funds                        |   | 48,412                                                                                                                |   | 58,722                                                                                                          |   | 77,179 |   | 66,484 |
| Total available for sale securities |   | 65,512                                                                                                                |   | 91,468                                                                                                          |   | 96,493 |   | 116,865 |
|                                |   |                                                                                                                  |   |                                                                                                            |   |   |   |   |   |   |   |   |
| Total investments in securities     |   | $        141,710                                                                   |   | $        172,571                                                             |   | $         371,826 |   | $          379,072 |

|                                           |   | 2009                                                                                  |   | 2008                                                                      |
|------------------------------------------------|--------|---------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------|
|                                           |   | Cost                                                                                  |   | Fair Value                                                                |   | Cost |   | Fair Value |
|                                           |   | (In thousands)                                                                        |
|  Common stocks                            |   | $              9,037 |   | $            9,738 |   | $              2,399 |   | $              2,257 |
|  Mutual funds                             |   | -                                                                                     |   | -                                                                         |   | 67 |   | 28 |
|  Other investments                        |   | -                                                                                     |   | -                                                                         |   | 4,634 |   | 4,335 |
|  Total securities sold, not yet purchased |   | $              9,037 |   | $            9,738 |   | $              7,100 |   | $              6,620 |

----

----

| -   | 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, suchas 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                                                                                                                                                                       |   | Balance as of                                                                                                                         |
|-----------------------------------------------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------------------------------------------------------------------|
|                                          |   | Markets for Identical                                                                                                                                                                            |   | Observable                                                                                                                                                                              |   | Unobservable                                                                                                                                                                      |   | September 30,                                                                                                                         |
| Assets                                        |   | Assets (Level 1)                                                                                                                                                                                 |   | Inputs (Level 2)                                                                                                                                                                        |   | Inputs (Level 3)                                                                                                                                                                  |   | 2009                                                                                                                                  |
| Cash equivalents                              |   | $                           462,913                       |   | $                               - |   | $                              - |   | $                  462,913                       |
| Investments in securities:                    |   |                                                                                                                                                                                             |   |                                                                                                                                                                                    |   |                                                                                                                                                                              |   |                                                                                                                                  |   |   |   |   |
|    AFS – Common stocks        |   |                                                                                                                                                                                             | 32,746 |                                                                                                                                                                                    |   | -                                                                                                                                                                                 |   |                                                                                                                                  | - |   |   | 32,746 |
|    AFS – Mutual funds         |   |                                                                                                                                                                                             | 58,722 |                                                                                                                                                                                    |   | -                                                                                                                                                                                 |   |                                                                                                                                  | - |   |   | 58,722 |
|    Trading – Common stocks    |   |                                                                                                                                                                                             | 79,346 |                                                                                                                                                                                    |   | 102                                                                                                                                                                               |   |                                                                                                                                  | 232 |   |   | 79,680 |
|    Trading – Mutual funds     |   |                                                                                                                                                                                             | 1,254  |                                                                                                                                                                                    |   | -                                                                                                                                                                                 |   |                                                                                                                                  | - |   |   | 1,254 |
|    Trading – Preferred stocks |   |                                                                                                                                                                                             | 9      |                                                                                                                                                                                    |   | -                                                                                                                                                                                 |   |                                                                                                                                  | 9 |   |   | 18 |
|    Trading – Other            |   | 67                                                                                                                                                                                               |   | -                                                                                                                                                                                       |   | 84                                                                                                                                                                                |   | 151                                                                                                                                   |
| Total investments in securities               |   | 172,144                                                                                                                                                                                          |   | 102                                                                                                                                                                                     |   | 325                                                                                                                                                                               |   | 172,571                                                                                                                               |
| Total assets at fair value                    |   | $                           635,057                       |   | $                          102                             |   | $                         325                                  |   | $                  635,484                       |
| Liabilities                                   |   |                                                                                                                                                                                             |   |                                                                                                                                                                                    |   |                                                                                                                                                                              |   |                                                                                                                                  |   |   |   |   |
|    Trading – Common stocks    |   | $                               9,738 |   | $                               - |   | $                              -      |   | $                      9,738 |
| Securities sold, not yet purchased            |   | $                               9,738 |   | $                               - |   | $                              -      |   | $                      9,738 |

----

|                                                      |   | Quoted Prices in Active                                                                                                                                                                          |    | Significant Other                                                                                                                                                                       |   | Significant                                                                                                                                                                       |   |  Balance as of                                                                                                                         |
|-----------------------------------------------------------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------------------------------------------------------------------------|
|                                                      |   | Markets for Identical                                                                                                                                                                            |    | Observable                                                                                                                                                                              |   | Unobservable                                                                                                                                                                      |   | September 30,                                                                                                                               |
| Assets                                                    |   | Assets (Level 1)                                                                                                                                                                                 |    | Inputs (Level 2)                                                                                                                                                                        |   | Inputs (Level 3)                                                                                                                                                                  |   | 2008                                                                                                                                        |
| Cash equivalents                                          |   | $                           164,751                       |    | $                               - |   | $                              - |   | $                   164,751                            |
| Investments in securities:                                |   |                                                                                                                                                                                             |    |                                                                                                                                                                                    |   |                                                                                                                                                                              |   |                                                                                                                                        |   |   |   |   |
|    AFS – Common stocks                    |   |                                                                                                                                                                                             | 50,381  |                                                                                                                                                                                    |   | -                                                                                                                                                                                 |   |                                                                                                                                        | - |   |   | 50,381 |
|    AFS – Mutual funds                     |   |                                                                                                                                                                                             | 66,484  |                                                                                                                                                                                    |   | -                                                                                                                                                                                 |   |                                                                                                                                        | - |   |   | 66,484 |
|    Trading – U.S. Gov’t obligations |   |                                                                                                                                                                                             | 70,261  |                                                                                                                                                                                    |   | -                                                                                                                                                                                 |   |                                                                                                                                        | - |   |   | 70,261 |
|    Trading – Common stocks                |   |                                                                                                                                                                                             | 131,647 |                                                                                                                                                                                    |   | 22                                                                                                                                                                                |   |                                                                                                                                        | 978 |   |   | 132,647 |
|    Trading – Mutual funds                 |   |                                                                                                                                                                                             | 58,501  |                                                                                                                                                                                    |   | -                                                                                                                                                                                 |   |                                                                                                                                        | - |   |   | 58,501 |
|    Trading – Preferred stocks             |   |                                                                                                                                                                                             | -       |                                                                                                                                                                                    |   | -                                                                                                                                                                                 |   |                                                                                                                                        | 69 |   |   | 69 |
|    Trading – Other                        |   | 198                                                                                                                                                                                              |    | (4                                                                                                                                                                                      | )      | 535                                                                                                                                                                               |   | 729                                                                                                                                         |
| Total investments in securities                           |   | 377,472                                                                                                                                                                                          |    | 18                                                                                                                                                                                      |   | 1,582                                                                                                                                                                             |   | 379,072                                                                                                                                     |
| Total assets at fair value                                |   | $                           542,223                       |    | $                            18                  |   | $                      1,582                                             |   | $                   543,823                            |
| Liabilities                                               |   |                                                                                                                                                                                             |    |                                                                                                                                                                                    |   |                                                                                                                                                                              |   |                                                                                                                                        |
|    Trading – Common stocks                |   | $                               2,257 |    | $                               - |   | $                              - |   | $                       2,257      |
|    Trading – Mutual funds                 |   | 28                                                                                                                                                                                               |    | -                                                                                                                                                                                       |   | -                                                                                                                                                                                 |   | 28                                                                                                                                          |
|    Trading – Other                   |   | 4,335                                                                                                                                                                                            |    | -                                                                                                                                                                                       |   | -                                                                                                                                                                                 |   | 4,335                                                                                                                                       |
| Securities sold, not yet purchased                        |   | $                               6,620 |    | $                               - |   | $                              - |   | $                       6,620 |

|                                              |   |                                                                                                  |   |   |                                                              |   |   | Total                                                                                                                                               |   |   |                                                                                                                                                                                                            |   |   |                                                                                                                          |   |   |                                                                                                                              |    |   |                                                                                                                        |
|---------------------------------------------------|--------|-------------------------------------------------------------------------------------------------------|--------|--------|-------------------------------------------------------------------|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|-------------------------------------------------------------------------------------------------------------------------------|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------|---------|--------|-----------------------------------------------------------------------------------------------------------------------------|
|                                              |   |                                                                                                  |   |   |                                                              |   |   | Unrealized                                                                                                                                          |   |   |                                                                                                                                                                                                            |   |   |                                                                                                                          |   |   |                                                                                                                              |    |   |                                                                                                                        |
|                                              |   |                                                                                                  |   |   |                                                              |   |   | Gains or                                                                                                                                            |   |   | Total                                                                                                                                                                                                           |   |   |                                                                                                                          |   |   |                                                                                                                              |    |   |                                                                                                                        |
|                                              |   |                                                                                                  |   |   |                                                              |   |   | (Losses)                                                                                                                                            |   |   | Realized                                                                                                                                                                                                        |   |   |                                                                                                                          |   |   | Net                                                                                                                               |    |   |                                                                                                                        |
|                                              |   | June                                                                                                  |   |   | Total Realized and                                                |   |   | Included in                                                                                                                                         |   |   | and                                                                                                                                                                                                             |   |   |                                                                                                                          |   |   | Transfers                                                                                                                         |    |   |                                                                                                                        |
|                                              |   | 30, 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    |   | $                 242 |   |   | $           (10 | )      |   | $                         - |   |   | $                                   - |   |   | $                     (10 | )      |   | $                      - |    |   | $                     - |   |   | $          232 |
| Trading – Preferred   stocks |   |                                                                                                  | 14     |   |                                                              |   | (5     | )                                                                                                                                                   |   |   | -                                                                                                                                                                                                               |   |   |                                                                                                                          | -      |   |                                                                                                                              |    | (5     | )                                                                                                                           |   |   | - |   |   |   | - |   |   |   | 9 |
| Trading – Other                             |   | 172                                                                                                   |   |   | (62                                                               | )      |   | -                                                                                                                                                   |   |   | -                                                                                                                                                                                                               |   |   | (62                                                                                                                           | )      |   | (26                                                                                                                               | )  |   | -                                                                                                                           |   |   | 84 |
| Total                                             |   | $                 428 |   |   | $           (77 | )      |   | $                         - |   |   | $                                   - |   |   | $                     (77 | )      |   | $                  (26                       | )  |   | $                     - |   |   | $         325 |

----

|                                              |   |                                                                                  |   |   |                                                                              |   |   | 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 |   |   | $             (4 | )      |   | $                         - |   |   | $                                   - |   |   | $                       (4 | )      |   | $                    (1 | )       |   | $               (877 | ) |   | $          232 |
| Trading – Preferred   stocks |   |                                                                                  | 96     |   |                                                                              |   | (87    | )                                                                                                                                                   |   |   | -                                                                                                                                                                                                               |   |   |                                                                                                                                     | -      |   |                                                                                                                   |    | (87    | )                                                                                          |   |   | - |   |   |   | - |   |   |   | 9 |
| Trading – Other                             |   | 331                                                                                   |   |   | (193                                                                              | )      |   | -                                                                                                                                                   |   |   | -                                                                                                                                                                                                               |   |   | (193                                                                                                                                     | )      |   | (54                                                                                                                    | )  |   | -                                                                                          |   |   | 84 |
| Total                                             |   | $              1,541 |   |   | $         (284                            | )      |   | $                         - |   |   | $                                   - |   |   | $                  (284                             | )      |   | $                  (55            | )  |   | $               (877 | )  |   | $         325 |

|                                              |   |                                                                                  |   |   |                                                              |   |   | Total                                                                                                                                               |   |   |                                                                                                                                                                                                            |   |   |                                                                                                                          |   |   |                                                                                             |    |   |                                                                                       |
|---------------------------------------------------|--------|---------------------------------------------------------------------------------------|--------|--------|-------------------------------------------------------------------|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|-------------------------------------------------------------------------------------------------------------------------------|--------|--------|--------------------------------------------------------------------------------------------------|---------|--------|--------------------------------------------------------------------------------------------|
|                                              |   |                                                                                  |   |   |                                                              |   |   | Unrealized                                                                                                                                          |   |   |                                                                                                                                                                                                            |   |   |                                                                                                                          |   |   |                                                                                             |    |   |                                                                                       |
|                                              |   |                                                                                  |   |   |                                                              |   |   | Gains or                                                                                                                                            |   |   | Total                                                                                                                                                                                                           |   |   |                                                                                                                          |   |   |                                                                                             |    |   |                                                                                       |
|                                              |   |                                                                                  |   |   |                                                              |   |   | (Losses)                                                                                                                                            |   |   | Realized                                                                                                                                                                                                        |   |   |                                                                                                                          |   |   | Net                                                                                              |    |   |                                                                                       |
|                                              |   | June                                                                                  |   |   | Total Realized and                                                |   |   | Included in                                                                                                                                         |   |   | and                                                                                                                                                                                                             |   |   |                                                                                                                          |   |   | Transfers                                                                                        |    |   |                                                                                       |
|                                              |   | 30, 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    |   | $              1,379 |   |   | $           (71 | )      |   | $                         - |   |   | $                                   - |   |   | $                     (71 | )      |   | $                (205 | )       |   | $               (125 | ) |   | $          978 |
| Trading – Preferred   stocks |   |                                                                                  | 37     |   |                                                              |   | 32     |                                                                                                                                                |   |   | -                                                                                                                                                                                                               |   |   |                                                                                                                          | -      |   |                                                                                             |    | 32     |                                                                                       |   |   | - |   |   |   | - |   |   |   | 69 |
| Trading – Other                             |   | 596                                                                                   |   |   | (61                                                               | )      |   | -                                                                                                                                                   |   |   | -                                                                                                                                                                                                               |   |   | (61                                                                                                                           | )      |   | -                                                                                                |    |   | -                                                                                          |   |   | 535 |
| Total                                             |   | $              2,012 |   |   | $         (100            | )      |   | $                         - |   |   | $                                   - |   |   | $                   (100            | )      |   | $                (205 | )  |   | $               (125 | )  |   | $       1,582 |

----

|                                              |   |                                                                                                  |   |   |                                                   |   |   | 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 |   |   | $         (624 | )      |   | $                         - |   |   | $                                   - |   |   | $                   (624 | )      |   | $                 530 |   |   | $                 216 |   |   | $          978 |
| Trading – Preferred   stocks |   |                                                                                                  | -      |   |                                                   |   | 40     |                                                                                                                                                |   |   | -                                                                                                                                                                                                               |   |   |                                                                                                               | -      |   |                                                                                                  |   | 40     |                                                                                                  |   |   | - |   |   |   | 29 |   |   |   |  69 |
| Trading – Other                             |   | 567                                                                                                   |   |   | (53                                                    | )      |   | -                                                                                                                                                   |   |   | -                                                                                                                                                                                                               |   |   | (53                                                                                                                | )      |   | -                                                                                                     |   |   | 21                                                                                                    |   |   | 535 |
| Total                                             |   | $              1,423                 |   |   | $         (637 | )      |   | $                         - |   |   | $                                   - |   |   | $                  (637       | )      |   | $                 530 |   |   | $                266       |   |   | $       1,582 |

----

|                                                                                     |   | Three                                                                                                        |   | Three                                                                                                        |   | Nine                                                                                                         |   | Nine                                                                                                         |   |
|------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------------------------------------------------------|--------|
|                                                                                     |   | Months                                                                                                       |   | Months                                                                                                       |   | Months                                                                                                       |   | Months                                                                                                       |   |
|                                                                                     |   | Ended                                                                                                        |   | Ended                                                                                                        |   | Ended                                                                                                        |   | Ended                                                                                                        |   |
|                                                                                     |   | September 30,                                                                                                |   | September 30,                                                                                                |   | September 30,                                                                                                |   | September 30,                                                                                                |   |
| (in thousands, except per share amounts)                                            |   | 2009                                                                                                         |   | 2008                                                                                                         |   | 2009                                                                                                         |   | 2008                                                                                                         |   |
| Basic:                                                                                   |   |                                                                                                         |   |                                                                                                         |   |                                                                                                         |   |                                                                                                         |   |
| Net income attributable to GAMCO Investors, Inc.’s shareholders                    |   | $              14,651                       |   | $              11,985                       |   | $              36,179                       |   | $              36,930                       |   |
| Weighted average shares outstanding                                                      |   | 27,366                                                                                                       |   | 27,602                                                                                                       |   | 27,376                                                                                                       |   | 27,930                                                                                                       |   |
| Basic net income attributable to GAMCO Investors, Inc. ’s shareholders per share   |   | $                  0.54 |   | $                  0.43 |   | $                  1.32 |   | $                  1.32 |   |
|                                                                                     |   |                                                                                                         |   |                                                                                                    |   |                                                                                                         |   |                                                                                                         |   |
| Diluted:                                                                                 |   |                                                                                                         |   |                                                                                                         |   |                                                                                                         |   |                                                                                                         |   |
| Net income attributable to GAMCO Investors, Inc. ’s shareholders                   |   | $              14,651                       |   | $              11,985                       |   | $              36,179                       |   | $              36,930                       |   |
|                                                                                     |   |                                                                                                         |   |                                                                                                         |   |                                                                                                         |   |                                                                                                         |   |
| Weighted average shares outstanding                                                      |   | 27,366                                                                                                       |   |   27,602                                                                                                |   |  27,376                                                                                                 |   |   27,930                                                                                                |   |
| Dilutive stock options & RSAs                                                        |   | 139                                                                                                          |   | 45                                                                                                           |   | 88                                                                                                           |   | 43                                                                                                           |   |
| Total                                                                                    |   | 27,505                                                                                                       |   | 27,647                                                                                                       |   | 27,464                                                                                                       |   | 27,973                                                                                                       |   |
| Diluted net income attributable to GAMCO Investors, Inc. ’s shareholders per share |   | $                  0.53 |   | $                  0.43 |   | $                  1.32 |   | $                  1.32 |   |

----

|      |   | 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                                                              |                                                               |                                                               | 1,283                                                              |                                                               |                                                                               | 1,256                                                        |                                                                         |                                                                               | 746 |   |   | 729 |   |   |  23 |
|      | Q4     |                                                               | 1,252                                                              |                                                               | 1,264                                                              |                                                               | 1,093                                                              |                                                               | 739                                                                                |                                                         | 501                                                                          |                                                                               | 12 |
| Full Year |   | $          4,891 |                                                               | $          5,085 |                                                               | $          4,866 |                                                               | $          3,014 |                                                                               | $         2,689 |                                                                         | $             123 |

----

----

ITEM 2:

----

| -   | Our institutional and private wealth management business ended the quarter with $10.3 billion in separately managed accounts, up 17.0% from the June 30, 2009 level of $8.8 billion but 5.5% lower than the $10.9 billion on September 30, 2008. |
|---------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| -   | Our closed-end equity funds had AUM of $4.4 billion on September 30, 2009, rising 15.8% from the $3.8 billion on June 30, 2009 but 10.2% below the $4.9 billion on September 30, 2008. |
|---------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| -   | Our open-end equity funds AUM were $7.9 billion on September 30, 2009, 17.9% more than the $6.7 billion on June 30, 2009 nearly matching the $8.0 billion on September 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 September 30, 2009, assets with incentive based fees were $2.7 billion,in line with the $2.7 billion on June 30, 2009 and 12.9% below the $3.1 billion on September 30, 2008.  At September 30, 2009, we have unearned incentive fee revenues of $16.7 million on these assets representing approximately $0.20 per diluted share after direct expenses (compensation) 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 $291 million on September 30, 2009 versus $266 million on June 30, 2009 and $340 million on September 30, 2008. |
|---------------|------------------------------------------------------------------------------------------------------------------------------------------------------|

| -   | AUM in The Gabelli U.S. Treasury Money Market Fund, our 100% U.S. Treasury money market fund, was down slightly at $1.6 billion on September 30, 2009 from $1.8 billion on June 30, 2009 and higher than the September 30, 2008 AUM of $1.0 billion. |
|---------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| Table I: Fund Flows – 3rd Quarter 2009 (in millions) |   |                                                                                             |   |                                                                                                                                            |   |                                                                                                                                                      |                                                                                                                                |                                                                                                                |                                                                                                                |                                                                                    |                                                                                                    |   |   |
|------------------------------------------------------------|--------|--------------------------------------------------------------------------------------------------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------|--------|--------|
|                                                       |   |                                                                                             |   | Closed-end fund                                                                                                                                 |   |                                                                                                                                                      |                                                                                                                                |                                                                                                                |                                                                                                                |                                                                                    |                                                                                                    |
|                                                       |   |                                                                                             |   | distributions,                                                                                                                                  |   |                                                                                                                                                      |                                                                                                                                |                                                                                                                |                                                                                                                |                                                                                    |                                                                                                    |
|                                                       |   | June 30,                                                                                         |   | net of                                                                                                                                          |   | Net Cash                                                                                                                                                  |                                                                                                                                |  Market                                                                                                        |                                                                                                                | September 30,                                                                           |                                                                                                    |
|                                                       |   |  2009                                                                                       |   | reinvestments                                                                                                                                   |   |   Flows (a)                                                                                                                                          |                                                                                                                                | Appreciation                                                                                                        |                                                                                                                |  2009                                                                              |                                                                                                    |
| Equities:                                                  |   |                                                                                             |   |                                                                                                                                            |   |                                                                                                                                                      |                                                                                                                                |                                                                                                                |                                                                                                                |                                                                                    |                                                                                                    |   |
| Open-end Funds                                             |   | $               6,684 |   | $                                                                                                                                               | -      |                                                                                                                                                      | $                      188 |                                                                                                                | $                   1,034 |                                                                                    | $                 7,906 |   |
| Closed-end Funds                                           |   |                3,822  |   | (70                                                                                                                                             | )      |                  66                                                  |                                                                                                                                |                  551           |                                                                                                                |             4,369                |                                                                                                    |
| Institutional & PWM - direct                           |   | 7,332                                                                                            |   | -                                                                                                                                               |   | (107                                                                                                                                                      | )                                                                                                                                   | 1,266                                                                                                               |                                                                                                                | 8,491                                                                                   |                                                                                                    |
| Institutional & PWM – sub-advisory               |   |   1,476                                                                                     |   | -                                                                                                                                               |   |   (7                                                                                                                                                 | )                                                                                                                                   |   308                                                                                                          |                                                                                                                | 1,777                                                                                   |                                                                                                    |
| Investment Partnerships                                    |   |  266                                                                                        |   | -                                                                                                                                               |   | 13                                                                                                                                                        |                                                                                                                                |  12                                                                                                            |                                                                                                                |  291                                                                               |                                                                                                    |
| Total Equities                                             |   |   19,580                                                                                    |   | (70                                                                                                                                             | )      |   153                                                                                                                                                |                                                                                                                                |   3,171                                                                                                        |                                                                                                                |   22,834                                                                           |                                                                                                    |
| Fixed Income:                                              |   |                                                                                             |   |                                                                                                                                            |   |                                                                                                                                                      |                                                                                                                                |                                                                                                                |                                                                                                                |                                                                                    |                                                                                                    |
| Money-Market Fund                                          |   | 1,765                                                                                            |   | -                                                                                                                                               |   |   (150                                                                                                                                               | )                                                                                                                                   | 1                                                                                                                   |                                                                                                                | 1,616                                                                                   |                                                                                                    |
| Institutional & PWM                                    |   |   21                                                                                        |   | -                                                                                                                                               |   | 5                                                                                                                                                         |                                                                                                                                | -                                                                                                                   |                                                                                                                | 26                                                                                      |                                                                                                    |
| Total Fixed Income                                         |   | 1,786                                                                                            |   | -                                                                                                                                               |   | (145                                                                                                                                                      | )                                                                                                                                   | 1                                                                                                                   |                                                                                                                | 1,642                                                                                   |                                                                                                    |
| Total Assets Under Management                              |   | $             21,366                 |   | $                        (70 | )      | $                          8 |                                                                                                                                | $                   3,172 |                                                                                                                | $               24,476 |                                                                                                    |

| Table II:                                    |  September 30,                                                                                                                               |   |   September 30,                                                                                                      |   | %                |   |
|----------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------------------------------------------------------|--------|------------------|--------|
| Equities:                                    | 2008                                                                                                                                              |   |  2009                                                                                                                |   |  Inc.(Dec.) |   |
| Open-end Funds                               | $                        8,015 |   | $                    7,906 |   | (1.4             | %)     |
| Closed-end Funds                             |                                                                                                                                              | 4,869  |                                                                                                                      |   |   4,369     |   | (10.3 | ) |
| Institutional & PWM - direct             | 8,964                                                                                                                                             |   |   8,491                                                                                                              |   | (5.3             | )      |
| Institutional & PWM – sub-advisory | 1,964                                                                                                                                             |   |  1,777                                                                                                               |   | (9.5             | )      |
| Investment Partnerships                      |  340                                                                                                                                         |   |  291                                                                                                                 |   |   (14.4     | )      |
| Total Equities                               | 24,152                                                                                                                                            |   |  22,834                                                                                                              |   | (5.5             | )      |
| Fixed Income:                                |                                                                                                                                              |   |                                                                                                                      |   |             |   |   |   |
| Money-Market Fund                            | 1,003                                                                                                                                             |   |   1,616                                                                                                              |   | 61.1             |   |
| Institutional & PWM                      | 19                                                                                                                                                |   | 26                                                                                                                        |   | 36.8             |   |
| Total Fixed Income                           | 1,022                                                                                                                                             |   | 1,642                                                                                                                     |   | 60.7             |   |
| Total Assets Under Management                | $                      25,174            |   | $                  24,476            |   | (2.8             | %)     |

|  Table III:                             |   | Assets Under Management By Quarter (millions)                             |   |
|----------------------------------------------|--------|---------------------------------------------------------------------------|--------|
|                                         |   |                                                                      |   |   |   |   |   |   |   |   |   | % Increase/ |
|                                         |   |                                                                      |   |   |   |   |   |   |   |   |   | (decrease) from |
| Equities:                                    |   | 9/08                                                                      |   | 12/08 |   | 3/09 |   | 6/09 |   | 9/09 |   | 9/08 |   |   | 6/09 |   |
| Open-end Funds                               |   | $            8,015 |   | $          6,139 |   | $          5,627 |   | $          6,684 |   | $          7,906 |   | (1.4 | %) |   | 18.3 | %  |
| Closed-end Funds                             |   |                                                                      | 4,869  |   |   | 3,792 |   |   | 3,359 |   |   | 3,822 |   |   | 4,369 |   | (10.3 | ) |   | 14.3 |   |
| Institutional & PWM - direct             |   | 8,964                                                                     |   | 6,861 |   | 6,227 |   | 7,332 |   | 8,491 |   | (5.3 | ) |   | 15.8 |   |
| Institutional & PWM – sub-advisory |   | 1,964                                                                     |   | 1,585 |   | 1,202 |   | 1,476 |   | 1,777 |   | (9.5 | ) |   | 20.4 |   |
| Investment Partnerships                      |   |  340                                                                 |   |  295 |   |  265 |   |   266 |   |  291 |   |  (14.4 | ) |   |  9.4 |   |
| Total Equities                               |   | 24,152                                                                    |   | 18,672 |   | 16,680 |   | 19,580 |   | 22,834 |   | (5.5 | ) |   | 16.6 |   |
| Fixed Income:                                |   |                                                                      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Money-Market Fund                            |   | 1,003                                                                     |   | 1,507 |   | 1,794 |   | 1,765 |   | 1,616 |   | 61.1 |   |   | (8.4 | ) |
| Institutional & PWM                      |   | 19                                                                        |   | 22 |   | 21 |   | 21 |   | 26 |   | 36.8 |   |   | 23.8 |   |
| Total Fixed Income                           |   | 1,022                                                                     |   | 1,529 |   | 1,815 |   | 1,786 |   | 1,642 |   | 60.7 |   |   | (8.1 | ) |
| Total Assets Under Management                |   | $          25,174            |   | $        20,201 |   | $        18,495 |   | $        21,366 |   | $        24,476 |   | (2.8 | %) |   | 14.6 | %  |

----

| Gabelli Funds Morningstar Ratings Based on Risk Adjusted returns as of September 30, 2009 for funds that we distribute |
|------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                   |   | 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 | 387 | êêêêê | 387 | êêêêê | 306 | êêêê | 146 |
| Gabelli Asset AAA                                                                                                      | Mid-Cap Blend | êêêê | 387 | êêêê | 387 | êêêê | 306 | êêê | 146 |
| Gabelli Blue Chip Value AAA                                                                                            | Large Value | êêê | 1133 | êêêê | 1133 | êêêê | 933 | êê | 453 |
| Gabelli Equity Income AAA                                                                                              | Large Value | êêêêê | 1133 | êêêêê | 1133 | êêêêê | 933 | êêêêê | 453 |
| Gabelli Small Cap Growth AAA                                                                                           | Small Blend | êêêêê | 560 | êêêêê | 560 | êêêêê | 452 | êêêê | 234 |
| 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 | êêêêê | 95 | êêêê | 95 | êêêê | 80 | êêêêê | 52 |
| Gabelli Value A                                                                                                        | Mid-Cap Blend | êê | 387 | êê | 387 | êê | 306 | êê | 146 |
| Gabelli Woodland Small Cap Value AAA                                                                                   | Small Blend | êêê | 560 | êêêê | 560 | êêê | 452 | n/a | 234 |
| GAMCO Global Convertible Secs AAA                                                                                      | Convertibles | ê | 66 | ê | 66 | ê | 61 | ê | 44 |
| GAMCO Global Growth AAA                                                                                                | World Stock | êê | 536 | êêê | 536 | êêê | 440 | ê | 253 |
| GAMCO Global Opportunity AAA                                                                                           | World Stock | êêê | 536 | êêê | 536 | êêê | 440 | êêê | 253 |
| GAMCO Global Telecommunications AAA                                                                                    | Specialty – Communications | êêêê | 33 | êêêê | 33 | êêêê | 32 | êêê | 13 |
| GAMCO Gold AAA                                                                                                         | Specialty – Precious Metals | êêê | 61 | êêê | 61 | êêê | 61 | êêê | 36 |
| GAMCO Growth AAA                                                                                                       | Large Growth | êêê | 1515 | êêê | 1515 | êêê | 1255 | êê | 653 |
| GAMCO International Growth AAA                                                                                         | Foreign Large Growth | êêê | 202 | êêê | 202 | êêê | 153 | êêê | 81 |
| GAMCO Mathers                                                                                                          | Conservative Allocation | êê | 499 | êêêê | 499 | êê | 332 | ê | 139 |
| GAMCO Westwood Balanced AAA (a)                                                                                        | Moderate Allocation | êêêê | 956 | êêêê | 956 | êêêê | 795 | êêêê | 455 |
| GAMCO Westwood Equity AAA (a)                                                                                          | Large Value | êêêê | 1133 | êêêê | 1133 | êêêê | 933 | êêêê | 453 |
| GAMCO Westwood Income AAA (a)                                                                                          | Moderate Allocation | êê | 956 | ê | 956 | êê | 795 | êêêêê | 455 |
| GAMCO Westwood Intermediate AAA (a)                                                                                    | Intermediate-Term Bond | êêê | 954 | êêê | 954 | êêê | 836 | êêê | 480 |
| GAMCO Westwood Mighty Mites AAA (a)                                                                                    | Small Blend | êêêêê | 560 | êêêêê | 560 | êêêêê | 452 | êêêêê | 234 |
| GAMCO Westwood SmallCap Equity AAA (a)                                                                                 | Small Blend | êê | 560 | êêê | 560 | êêêê | 452 | ê | 234 |
| Gabelli Enterprise Mergers & Acquisitions Y                                                                        | Mid-Cap Blend | êêêê | 387 | êêêê | 387 | êêêê | 306 | n/a | 146 |
| 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                                                                              |   | 43.48% |   | 56.52% |   | 52.17% |   | 38.10% |   |

----

| GABELLI/GAMCO FUNDS         | Gabelli Funds Lipper Rankings as of September 30, 2009 |
|-----------------------------|--------------------------------------------------------|
|                        |                                                   | 1 Yr – 09/30/08-09/30/09 | 3 Yrs – 09/30/06-09/30/09 | 5 Yrs – 09/30/04-09/30/09 | 10 Yrs – 09/30/99-09/30/09 |
| 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                                   | 47 | 366/785 | 12 | 76/641 | 9 | 42/489 | 21 | 41/197 |
| Gabelli Value Fund; A       | Multi-Cap Core Funds                                   | 41 | 315/785 | 65 | 412/641 | 62 | 303/489 | 44 | 87/197 |
| Gabelli SRI; AAA            | Multi-Cap Core Funds                                   | 2 | 12/785 | - | - | - | - | - | - |
| Gabelli Eq:Eq Inc; AAA      | Equity Income Funds                                    | 18 | 52/303 | 17 | 39/233 | 13 | 24/184 | 11 | 11/104 |
| GAMCO Ww:Income; AAA        | Equity Income Funds                                    | 61 | 183/303 | 66 | 153/233 | - | - | - | - |
| GAMCO Growth; AAA           | Large-Cap Growth Funds                                 | 31 | 254/830 | 41 | 293/717 | 32 | 190/598 | 71 | 217/307 |
| GAMCO Ww:SmCp Eq; AAA       | Small-Cap Core Funds                                   | 28 | 207/742 | 22 | 134/614 | 16 | 79/496 | 99 | 254/256 |
| Gabelli Eq:SC Gro; AAA      | Small-Cap Core Funds                                   | 25 | 180/742 | 9 | 51/614 | 10 | 49/496 | 21 | 53/256 |
| GAMCO Ww:Mhty M; AAA        | Small-Cap Core Funds                                   | 11 | 75/742 | 2 | 12/614 | 2 | 9/496 | 19 | 48/256 |
| Gabelli Eq:Wd SCV; AAA      | Small-Cap Core Funds                                   | 59 | 438/742 | 18 | 107/614 | 41 | 203/496 | - | - |
| GAMCO Gl:Oppty; AAA         | Global Multi-Cap Growth                                | 9 | 8/95 | 26 | 17/65 | 37 | 19/51 | 31 | 11/35 |
| GAMCO Gl:Growth; AAA        | Global Large-Cap Core                                  | 32 | 30/95 | 11 | 7/65 | 27 | 14/51 | 84 | 30/35 |
| GAMCO Gold; AAA             | Gold Oriented Funds                                    | 39 | 27/69 | 38 | 20/53 | 36 | 18/50 | 24 | 7/29 |
| GAMCO Intl Gro; AAA         | International Large-Cap Growth                         | 14 | 22/160 | 50 | 64/127 | 78 | 70/89 | 48 | 25/52 |
| GAMCO Ww:Eqty; AAA          | Large-Cap Value Funds                                  | 97 | 524/542 | 22 | 101/472 | 10 | 36/388 | 25 | 45/185 |
| Gabelli Bl Chp Val; AAA     | Large-Cap Core Funds                                   | 16 | 145/907 | 33 | 245/761 | 21 | 126/628 | 8 | 26/368 |
| Gabelli Inv:ABC; AAA        | Specialty Diversified Equity Funds                     | 40 | 16/40 | 16 | 5/32 | 14 | 2/14 | 30 | 3/9 |
| GAMCO Mathers; AAA          | Specialty Diversified Equity Funds                     | 52 | 21/40 | 40 | 13/32 | 40 | 6/14 | 50 | 5/9 |
| Comstock Cap Val; A         | Specialty Diversified Equity Funds                     | 57 | 23/40 | 19 | 6/32 | 80 | 12/14 | 70 | 7/9 |
| GAMCO Gl:Telecom; AAA       | Telecommunications Funds                               | 59 | 23/38 | 20 | 6/29 | 22 | 6/27 | 20 | 2/9 |
| GAMCO Gl:Convert; AAA       | Convertible Securities Funds                           | 90 | 63/69 | 95 | 56/58 | 93 | 52/55 | 98 | 41/41 |
| Gabelli Utilities; AAA      | Utility Funds                                          | 20 | 19/98 | 12 | 10/85 | 53 | 37/70 | 11 | 5/45 |
| GAMCO Ww:Bal – AAA    | Mixed-Asset Target Alloc. Moderate Funds               | 96 | 487/511 | 49 | 191/396 | 19 | 58/305 | 20 | 29/147 |
| 787:Gabelli Merg&Acq; Y | Mid-Cap Core Funds                                     | 18 | 69/386 | 18 | 53/307 | 39 | 97/249 | - | - |
| Gabelli Capital Asset Fund  | Distributed through Insurance Channel                  | 44 | 155/354 | 41 | 117/289 | 28 | 60/216 | 15 | 12/80 |
| % of funds in top half      |                                                   | 68.0% |   | 87.5% |   | 78.3% |   | 76.2% |   |

----

|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   | 2009                                                                           |   |   | 2008                                                                           |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------------------------|--------|--------|--------------------------------------------------------------------------------|
| Revenues                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |   |                                                                           |   |   |                                                                           |
|   Investment advisory and incentive fees                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |   | $         40,957                       |   |   | $         52,297                       |   |
|   Institutional research services                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |   |                                                                           | 4,588  |   |                                                                           |   | 4,098 |   |
|   Distribution fees and other income                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |   | 6,037                                                                          |   |   | 6,585                                                                          |   |
|      Total revenues                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   |                                                                           | 51,582 |   |                                                                           |   | 62,980 |   |
| Expenses                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |   |                                                                           |   |   |                                                                           |   |   |   |
|   Compensation and related costs                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |   |                                                                           | 21,590 |   |                                                                           |   | 26,233 |   |
|   Management fee                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |   |                                                                           | 2,638  |   |                                                                           |   | 1,740 |   |
|   Distribution costs                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |   |                                                                           | 6,089  |   |                                                                           |   | 6,658 |   |
|   Other operating expenses                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   | 4,405                                                                          |   |   | 7,076                                                                          |   |
|      Total expenses                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | 34,722                                                                         |   |   | 41,707                                                                         |   |
| Operating income                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |   |                                                                           | 16,860 |   |                                                                           |   | 21,273 |   |
| Other income (expense)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |   |                                                                           |   |   |                                                                           |   |   |   |
|   Net gain from investments                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |                                                                           | 9,659  |   |                                                                           |   | (4,786 | ) |
|   Interest and dividend income                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |   |                                                                           | 598    |   |                                                                           |   | 1,340 |   |
|   Interest expense                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | (3,296                                                                         | )      |   | (2,091                                                                         | ) |
| Total other income / (expense), net                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   | 6,961                                                                          |   |   | (5,537                                                                         | ) |
| Income before taxes                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |                                                                           | 23,821 |   |                                                                           |   | 15,736 |   |
| Income tax provision                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   | 8,913                                                                          |   |   | 3,837                                                                          |   |
| Net income                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |   | 14,908                                                                         |   |   | 11,899                                                                         |   |
| Net income / (loss) attributable to noncontrolling interests                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | 257                                                                            |   |   | (86                                                                            | ) |
| Net income attributable to GAMCO Investors, Inc.’s shareholders                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   | $         14,651                       |   |   | $         11,985                       |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |                                                                           |   |   |                                                                           |   |   |   |
| Net income attributable to GAMCO Investors, Inc.’s shareholders per share:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |   |                                                                           |   |   |                                                                           |   |   |   |
|    Basic                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   | $             0.54 |   |   | $             0.43 |   |
|    Diluted                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   | $             0.53 |   |   | $             0.43 |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |                                                                           |   |   |                                                                           |   |   |   |
| Reconciliation of net income attributable to GAMCO Investors, Inc.’s shareholders   to Adjusted EBITDA:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   |                                                                           |   |   |                                                                           |   |   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |                                                                           |   |   |                                                                           |   |   |   |
| Net income attributable to GAMCO Investors, Inc.’s shareholders                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   | $                                                                              | 14,651 |   |                                                                           | $ | 11,985 |   |
| Interest expense                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |   |                                                                           | 3,296  |   |                                                                           |   | 2,091 |   |
| Income tax provision and net income attributable to noncontrolling interests                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   |                                                                           | 9,170  |   |                                                                           |   | 3,751 |   |
| Depreciation and amortization                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   | 160                                                                            |   |   | 263                                                                            |   |
| Adjusted EBITDA (a)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   | $         27,277                       |   |   | $         18,090                       |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |                                                                           |   |   |                                                                           |   |   |   |
| (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 norshould 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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|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   | 2009                                                                          |   |   | 2008                                                                          |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-------------------------------------------------------------------------------|--------|--------|-------------------------------------------------------------------------------|
| Revenues                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |   |                                                                          |   |   |                                                                          |
|   Investment advisory and incentive fees                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |   | $      112,145                                  |   |   | $      164,269                                  |   |
|   Institutional research services                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |   | 12,187                                                                        |   |   | 11,018                                                                        |   |
|   Distribution fees and other income                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |   | 15,780                                                                        |   |   | 19,665                                                                        |   |
|      Total revenues                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | 140,112                                                                       |   |   | 194,952                                                                       |   |
| Expenses                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |   |                                                                          |   |   |                                                                          |   |
|   Compensation and related costs                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |   | 62,056                                                                        |   |   | 83,013                                                                        |   |
|   Management fee                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |   | 6,291                                                                         |   |   | 6,307                                                                         |   |
|   Distribution costs                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |   | 17,094                                                                        |   |   | 19,691                                                                        |   |
|   Other operating expenses                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   | 13,648                                                                        |   |   | 20,204                                                                        |   |
|      Total expenses                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | 99,089                                                                        |   |   | 129,215                                                                       |   |
| Operating income                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |   | 41,023                                                                        |   |   | 65,737                                                                        |   |
| Other income (expense)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |   |                                                                          |   |   |                                                                          |   |
|   Net gain (loss) from investments                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | 22,981                                                                        |   |   |  (13,165                                                                 | ) |
|   Interest and dividend income                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |   | 2,677                                                                         |   |   | 10,310                                                                        |   |
|   Interest expense                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | (9,965                                                                        | )      |   | (6,295                                                                        | ) |
| Total other income (expense), net                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   | 15,693                                                                        |   |   | (9,150                                                                        | ) |
| Income before taxes                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   | 56,716                                                                        |   |   | 56,587                                                                        |   |
| Income tax provision                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   | 20,034                                                                        |   |   | 19,882                                                                        |   |
| Net income                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |   | 36,682                                                                        |   |   | 36,705                                                                        |   |
| Net income (loss) attributable to noncontrolling interests                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |   | 503                                                                           |   |   | (225                                                                          | ) |
| Net income attributable to GAMCO Investors, Inc.’s shareholders                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   | $        36,179                       |   |   | $        36,930                       |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |                                                                          |   |   |                                                                          |   |
| Net income attributable to GAMCO Investors, Inc.’s shareholders per share:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |   |                                                                          |   |   |                                                                          |   |
|    Basic                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   | $            1.32 |   |   | $            1.32 |   |
|    Diluted                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   | $            1.32 |   |   | $            1.32 |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |                                                                          |   |   |                                                                          |   |
| Reconciliation of net income attributable to GAMCO Investors, Inc.’s shareholders   to Adjusted EBITDA:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   |                                                                          |   |   |                                                                          |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |                                                                          |   |   |                                                                          |   |
| Net income attributable to GAMCO Investors, Inc.’s shareholders                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   | $        36,179                       |   |   | $        36,930                       |   |
| Interest expense                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |   | 9,965                                                                         |   |   | 6,295                                                                         |   |
| Income tax provision and net income attributable to noncontrolling interests                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | 20,537                                                                        |   |   | 19,657                                                                        |   |
| Depreciation and amortization                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   | 487                                                                           |   |   | 747                                                                           |   |
| Adjusted EBITDA (a)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   | $        67,168                       |   |   | $        63,629                       |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |                                                                          |   |   |                                                                          |   |
| (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 norshould 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. |

----

----

|                                                                    |   |  Nine months ended                 |     |
|-------------------------------------------------------------------------|--------|-----------------------------------------|----------|
|                                                                    |   |  September 30,                     |     |
|                                                                    |   | 2009                                    |     |   | 2008 |   |
| Cash flows (used in) provided by:                                       |   | (in thousands)                          |     |
|    Operating activities                                  |   | $      135,494 |     |   | $        54,176 |   |
|    Investing activities                                  |   |                                    | (54,196  | )  |   |   | 7,429 |   |
|    Financing activities                                  |   |  (11,440                           | )        |   | (64,728 | ) |
|    Net increase (decrease)                          |   |                                    | 69,858   |   |   |   | (3,123 | )  |
|    Effect of exchange rates on cash and cash equivalents |   |                                    |  83 |   |   |   | (98 | ) |
|    Cash and cash equivalents at beginning of period      |   | 331,174                                 |     |   | 168,319 |   |
|    Cash and cash equivalents at end of period            |   | $      401,115 |     |   | $      165,098 |   |

----

----

Item 3

Item 4.

----

|  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 September 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 |    |   |
|-------------------------|--------|----------------------------------------|---------|------------------------------------------------------------|--------|----------------------------------------------------------------------------------------------|---------|------------------------------------------------------------------------------------|---------|--------|
| 7/01/09 – 7/31/09 |   |                                   | -       |                                                       | -      |                                                                                         | -       |                                                                               | 861,336 |   |   |
| 8/01/09 – 8/31/09 |   |                                   | 18,000  |                                                       | $45.19 |                                                                                         | 18,000  |                                                                               | 843,336 |   |   |
| 9/01/09 – 9/30/09 |   |                                   | 97,900  |                                                       | $45.13 |                                                                                         | 97,900  |                                                                               | 745,436 |   |   |
| Totals                  |   |                                   | 115,900 |                                                       |   |                                                                                         | 115,900 |                                                                               |    |   |   |
|                    |   |                                   |    |                                                       |   |                                                                                         |    |                                                                               |    |   |   |

----

|  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 of 2002. |
|--------|------|--------------------------------------------------------------------------------------------------------------------------------|

|   | 32.2 | Certification of CFO pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes- Oxley Act of 2002. |
|--------|------|---------------------------------------------------------------------------------------------------------------------------------|

| 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: November 6, 2009                 | Date: November 6, 2009                 |

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