FORM N-Q
QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF
REGISTERED MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number 811-05459
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TEMPLETON GLOBAL INCOME FUND
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(Exact name of registrant as specified in charter)
500 EAST BROWARD BLVD., SUITE 2100, FORT LAUDERDALE, FL 33394-3091
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(Address of principal executive offices) (Zip code)
MURRAY L. SIMPSON, ONE FRANKLIN PARKWAY, SAN MATEO, CA 94403-1906
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(Name and address of agent for service)
Registrant's telephone number, including area code: (954) 527-7500
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Date of fiscal year end: 08/31
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Date of reporting period: 05/31/05
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ITEM 1. SCHEDULE OF INVESTMENTS.
TEMPLETON GLOBAL INCOME FUND
QUARTERLY STATEMENT OF INVESTMENTS
MAY 31, 2005
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CONTENTS
Statement of Investments ................................................... 3
Notes to Statement of Investments .......................................... 8
[LOGO](R)
FRANKLIN TEMPLETON
INVESTMENTS
Franklin o TEMPLETON o Mutual Series
Quarterly Statement of Investments | 1
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TEMPLETON GLOBAL INCOME FUND
STATEMENT OF INVESTMENTS, MAY 31, 2005 (UNAUDITED)
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PRINCIPAL AMOUNT(a) VALUE
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LONG TERM INVESTMENTS 96.2%
ARGENTINA 1.3%
Republic of Argentina, FRN, 3.01%, 8/03/12 ............................. $ 16,750,000 $ 15,010,194
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AUSTRALIA 5.1%
New South Wales Treasury Corp.,
8.00%, 3/01/08 ...................................................... 6,200,000 AUD 4,993,850
6.00%, 5/01/12 ...................................................... 10,200,000 AUD 7,973,567
Queensland Treasury Corp.,
6.00%, 7/14/09 ...................................................... 4,100,000 AUD 3,181,075
6.00%, 8/14/13 ...................................................... 56,500,000 AUD 44,620,723
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60,769,215
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AUSTRIA 1.7%
Republic of Austria,
5.50%, 10/20/07 ..................................................... 10,720,000 EUR 14,181,891
5.00%, 7/15/12 ...................................................... 4,580,000 EUR 6,364,137
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20,546,028
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BELGIUM 2.8%
Kingdom of Belgium,
8.50%, 10/01/07 ..................................................... 19,718,000 EUR 27,680,091
5.00%, 9/28/12 ...................................................... 3,840,000 EUR 5,336,944
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33,017,035
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BRAZIL 0.6%
Republic of Brazil, DCB, L, FRN, 3.125%, 4/15/12 ....................... 7,604,568 7,307,534
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CANADA 5.6%
Government of Canada,
8.75%, 12/01/05 ..................................................... 5,290,000 CAD 4,344,542
6.00%, 6/01/11 ...................................................... 26,263,000 CAD 23,591,378
Province of Alberta,
7.50%, 12/01/05 ..................................................... 9,470,000 CAD 7,729,914
5.00%, 12/16/08 ..................................................... 28,530,000 CAD 24,063,169
Province of British Columbia, 6.00%, 6/09/08 ........................... 7,000,000 CAD 6,032,649
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65,761,652
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DENMARK 1.7%
Kingdom of Denmark,
6.00%, 11/15/11 ..................................................... 15,500,000 DKK 3,038,025
5.00%, 11/15/13 ..................................................... 92,320,000 DKK 17,417,053
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20,455,078
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FINLAND 1.5%
Government of Finland, 5.00%, 7/04/07 .................................. 13,200,000 EUR 17,166,271
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FRANCE 1.3%
Government of France,
4.00%, 4/25/09 ...................................................... 9,750,000 EUR 12,670,920
4.25%, 4/25/19 ...................................................... 2,250,000 EUR 2,990,361
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15,661,281
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Quarterly Statement of Investments | 3
TEMPLETON GLOBAL INCOME FUND
STATEMENT OF INVESTMENTS, MAY 31, 2005 (UNAUDITED) (CONTINUED)
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PRINCIPAL AMOUNT(a) VALUE
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LONG TERM INVESTMENTS (CONT.)
GERMANY 2.7%
Kfw Bankengruppe, senior note, 6.375%, 2/17/15 ......................... 45,550,000 NZD $ 32,205,969
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GREECE 0.5%
Hellenic Republic, 4.60%, 5/20/13 ...................................... 4,560,000 EUR 6,134,177
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HUNGARY 1.4%
Government of Hungary,
8.50%, 10/12/05 ..................................................... 3,342,000,000 HUF 16,211,513
7.00%, 4/12/06 ...................................................... 110,000,000 HUF 530,241
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16,741,754
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INDONESIA 5.7%
Government of Indonesia, 11.00%, 10/15/14 .............................. 24,400,000,000 IDR 2,534,084
Indonesia Recapital Bonds,
14.00%, 6/15/09 ..................................................... 49,141,000,000 IDR 5,751,531
13.15%, 3/15/10 ..................................................... 188,975,000,000 IDR 21,728,459
14.25%, 6/15/13 ..................................................... 50,150,000,000 IDR 6,140,978
14.275%, 12/15/13 ................................................... 254,836,000,000 IDR 31,359,175
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67,514,227
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IRELAND 0.8%
Republic of Ireland, 4.25%, 10/18/07 ................................... 7,000,000 EUR 9,014,993
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MALAYSIA 2.2%
Government of Malaysia,
4.305%, 2/27/09 ..................................................... 75,200,000 MYR 20,427,090
4.032%, 9/15/09 ..................................................... 21,400,000 MYR 5,758,380
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26,185,470
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MEXICO 1.1%
United Mexican States, 144A, 7.50%, 3/08/10 ............................ 8,800,000 EUR 12,682,675
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NETHERLANDS 0.5%
Government of Netherlands, 5.75%, 2/15/07 .............................. 4,800,000 EUR 6,263,258
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NEW ZEALAND 4.5%
Government of New Zealand,
7.00%, 7/15/09 ...................................................... 41,630,000 NZD 30,595,419
6.00%, 11/15/11 ..................................................... 31,373,000 NZD 22,436,959
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53,032,378
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NORWAY 2.0%
Kingdom of Norway, 6.75%, 1/15/07 ...................................... 142,000,000 NOK 23,471,425
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PERU 0.2%
Republic of Peru,
9.875%, 2/06/15 ..................................................... 1,800,000 2,209,500
FRN, 4.50%, 3/07/17 ................................................. 297,000 281,779
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2,491,279
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4 | Quarterly Statement of Investments
TEMPLETON GLOBAL INCOME FUND
STATEMENT OF INVESTMENTS, MAY 31, 2005 (UNAUDITED) (CONTINUED)
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PRINCIPAL AMOUNT(a) VALUE
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LONG TERM INVESTMENTS (CONT.)
PHILIPPINES 1.9%
Republic of Philippines,
9.00%, 2/15/13 ...................................................... $ 5,500,000 $ 5,816,250
Reg S, 9.125%, 2/22/10 .............................................. 12,170,000 EUR 16,644,611
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22,460,861
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POLAND 6.5%
Republic of Poland,
8.50%, 11/12/06 ..................................................... 100,860,000 PLN 31,117,650
8.50%, 5/12/07 ...................................................... 68,700,000 PLN 21,561,853
6.00%, 5/24/09 ...................................................... 65,250,000 PLN 19,843,248
6.25%, 10/24/15 ..................................................... 12,550,000 PLN 4,035,119
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76,557,870
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SINGAPORE 1.9%
Republic of Singapore,
4.00%, 3/01/07 ...................................................... 8,500,000 SGD 5,271,448
2.625%, 10/01/07 .................................................... 28,470,000 SGD 17,311,222
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22,582,670
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SLOVAK REPUBLIC 4.6%
Republic of Slovakia,
4.95%, 3/05/08 ...................................................... 66,600,000 SKK 2,228,887
4.80%, 4/14/09 ...................................................... 333,500,000 SKK 11,221,104
7.50%, 3/13/12 ...................................................... 84,000,000 SKK 3,330,873
Strip, 1/14/07 ...................................................... 1,264,000,000 SKK 38,287,050
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55,067,914
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SOUTH AFRICA 0.2%
Republic of South Africa, 5.25%, 5/16/13 ............................... 2,000,000 EUR 2,690,059
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SOUTH KOREA 14.8%
Korea Treasury Bond,
4.50%, 3/05/06 ...................................................... 19,500,000,000 KRW 19,488,427
4.50%, 9/03/06 ...................................................... 29,790,000,000 KRW 29,888,906
6.90%, 1/16/07 ...................................................... 41,010,000,000 KRW 42,773,204
3.75%, 9/10/07 ...................................................... 6,200,000,000 KRW 6,114,105
5.77%, 10/09/07 ..................................................... 39,640,000,000 KRW 41,244,841
4.75%, 3/12/08 ...................................................... 8,075,000,000 KRW 8,246,262
4.50%, 9/09/08 ...................................................... 12,000,000,000 KRW 12,204,554
Republic of Korea,
6.15%, 7/10/07 ...................................................... 10,000,000,000 KRW 10,437,102
5.00%, 3/26/13 ...................................................... 5,000,000,000 KRW 5,199,191
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175,596,592
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SPAIN 2.0%
Government of Spain,
8.80%, 4/30/06 ...................................................... 13,342,000 EUR 17,409,495
5.00%, 7/30/12 ...................................................... 4,850,000 EUR 6,736,194
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24,145,689
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Quarterly Statement of Investments | 5
TEMPLETON GLOBAL INCOME FUND
STATEMENT OF INVESTMENTS, MAY 31, 2005 (UNAUDITED) (CONTINUED)
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PRINCIPAL AMOUNT(a) VALUE
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LONG TERM INVESTMENTS (CONT.)
SWEDEN 9.2%
Kingdom of Sweden,
5.25%, 03/15/11 ......................................................... 273,300,000 SEK $ 41,511,506
3.50%, 4/20/06 .......................................................... 85,955,000 SEK 11,723,552
8.00%, 8/15/07 .......................................................... 59,250,000 SEK 8,959,655
6.50%, 5/05/08 .......................................................... 100,400,000 SEK 15,078,354
5.50%, 10/08/12 ......................................................... 62,060,000 SEK 9,706,572
Index Linked, 3.50%, 12/01/15 ........................................... 129,800,000 SEK 22,473,706
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109,453,345
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THAILAND 5.6%
Thailand Government Bond,
8.50%, 10/14/05 ......................................................... 396,215,000 THB 9,961,009
8.00%, 12/08/06 ......................................................... 1,453,680,000 THB 38,439,264
5.60%, 07/07/07 ......................................................... 499,730,000 THB 12,895,752
4.125%, 2/12/08 ......................................................... 178,700,000 THB 4,494,549
8.50%, 12/08/08 ......................................................... 31,000,000 THB 893,150
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66,683,724
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UKRAINE 3.0%
Republic of Ukraine,
144A, 6.875%, 3/04/11 ................................................... 6,020,000 6,295,716
144A, 7.65%, 6/11/13 .................................................... 21,700,000 23,653,000
FRN, 5.36%, 8/05/09 ..................................................... 5,300,000 5,685,310
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35,634,026
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UNITED KINGDOM 0.1%
United Kingdom, 8.50%, 7/16/07 ............................................. 811,000 GBP 1,599,632
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VENEZUELA 3.2%
Republic of Venezuela,
9.25%, 9/15/27 .......................................................... 32,955,000 32,880,851
FRN, 3.09%, 4/20/11 ..................................................... 5,550,000 4,973,078
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37,853,929
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TOTAL LONG TERM INVESTMENTS (COST $1,011,649,225) .......................... 1,141,758,204
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SHARES/PRINCIPAL
AMOUNT(a)
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SHORT TERM INVESTMENTS 2.0%
NORWAY 1.9%
(b)Norwegian Treasury Bills, 6/15/05 - 9/21/05 ............................... 147,800,000 NOK 22,833,613
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UNITED STATES 0.1%
(c)Franklin Institutional Fiduciary Trust Money Market Portfolio ............ 1,114,520 1,114,520
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TOTAL SHORT TERM INVESTMENTS (COST $23,822,430) ............................ 23,948,133
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TOTAL INVESTMENTS (COST $1,035,471,655) 98.2% .............................. 1,165,706,337
OTHER ASSETS, LESS LIABILITIES 1.8% ........................................ 21,956,382
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NET ASSETS 100.0% .......................................................... $1,187,662,719
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6 | Quarterly Statement of Investments
TEMPLETON GLOBAL INCOME FUND
STATEMENT OF INVESTMENTS, MAY 31, 2005 (UNAUDITED) (CONTINUED)
CURRENCY ABBREVIATIONS:
AUD - Australian Dollar
CAD - Canadian Dollar
DKK - Danish Krone
EUR - Euro
GBP - British Pound
HUF - Hungarian Forint
IDR - Indonesian Rupiah
KRW - Korean Won
MYR - Malaysian Ringgit
NOK - Norwegian Krone
NZD - New Zealand Dollar
PLN - Polish Zloty
SEK - Swedish Krona
SGD - Singapore Dollar
SKK - Slovak Koruna
THB - Thai Baht
SELECTED PORTFOLIO ABBREVIATIONS
FRN - Floating Rate Notes
(a) The principal amount is stated in U.S. dollars unless otherwise indicated.
(b) A portion or all of the security is traded on a discount basis with no
stated coupon rate.
(c) The Franklin Institutional Fiduciary Trust Money Market Portfolio is
managed by the Fund's investment manager.
Quarterly Statement of Investments | See Notes to Statement of Investments. | 7
TEMPLETON GLOBAL INCOME FUND
NOTES TO STATEMENT OF INVESTMENTS (UNAUDITED)
Templeton Global Income Fund (the Fund) is registered under the Investment
Company Act of 1940 as a non-diversified, closed-end investment company.
1. INCOME TAXES
At May 31, 2005 the net unrealized appreciation (depreciation) based on the cost
of investments for income tax purposes was as follows:
Cost of investments ................................... $ 1,054,377,282
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Unrealized appreciation ............................... $ 122,929,885
Unrealized depreciation ............................... (11,600,830)
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Net unrealized appreciation (depreciation) ............ $ 111,329,055
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For information on the Fund's policy regarding valuation of investments and
other significant accounting policies, please refer to the Fund's most recent
semiannual or annual shareholder report.
8 | Quarterly Statement of Investments
ITEM 2. CONTROLS AND PROCEDURES.
(a) EVALUATION OF DISCLOSURE CONTROLS AND PROCEDURES. The Registrant maintains
disclosure controls and procedures that are designed to ensure that information
required to be disclosed in the Registrant's filings under the Securities
Exchange Act of 1934 and the Investment Company Act of 1940 is recorded,
processed, summarized and reported within the periods specified in the rules and
forms of the Securities and Exchange Commission. Such information is accumulated
and communicated to the Registrant's management, including its principal
executive officer and principal financial officer, as appropriate, to allow
timely decisions regarding required disclosure. The Registrant's management,
including the principal executive officer and the principal financial officer,
recognizes that any set of controls and procedures, no matter how well designed
and operated, can provide only reasonable assurance of achieving the desired
control objectives.
Within 90 days prior to the filing date of this Quarterly Schedule of Portfolio
Holdings on Form N-Q, the Registrant had carried out an evaluation, under the
supervision and with the participation of the Registrant's management, including
the Registrant's principal executive officer and the Registrant's principal
financial officer, of the effectiveness of the design and operation of the
Registrant's disclosure controls and procedures. Based on such evaluation, the
Registrant's principal executive officer and principal financial officer
concluded that the Registrant's disclosure controls and procedures are
effective.
(b) CHANGES IN INTERNAL CONTROLS. There have been no significant changes
in the Registrant's internal controls or in other factors that could
significantly affect the internal controls subsequent to the date of their
evaluation in connection with the preparation of this Quarterly Schedule of
Portfolio Holdings on Form N-Q.
ITEM 3. EXHIBITS.
(a) Certifications pursuant to Section 30a-2 of the Investment Company Act of
1940 of Jimmy D. Gambill, Chief Executive Officer - Finance and Administration,
and Galen G. Vetter, Chief Financial Officer.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, the registrant has duly caused this report to be
signed on its behalf by the undersigned, thereunto duly authorized.
TEMPLETON GLOBAL INCOME FUND
By /s/JIMMY D. GAMBILL
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Jimmy D. Gambill
Chief Executive Officer -
Finance and Administration
Date July 22, 2005
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, this report has been signed below by the
following persons on behalf of the registrant and in the capacities and on the
dates indicated.
By /s/JIMMY D. GAMBILL
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Jimmy D. Gambill
Chief Executive Officer -
Finance and Administration
Date July 22, 2005
By /s/GALEN G. VETTER
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Galen G. Vetter
Chief Financial Officer
Date July 22, 2005