UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

 

FORM N-Q

 

 

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES

 

Investment Company Act File Number

 

811-21676

 

 

 

 

 

 

Eaton Vance Tax-Managed Buy-Write Income Fund

(Exact Name of Registrant as Specified in Charter)

 

 

 

The Eaton Vance Building,
255 State Street, Boston, Massachusetts

 

02109

(Address of Principal Executive Offices)

 

(Zip code)

 

 

 

Maureen A. Gemma

Eaton Vance Management, 255 State Street, Boston, Massachusetts 02109

(Name and Address of Agent for Service)

 

Registrant’s Telephone Number, Including Area Code:

 

(617) 482-8260

 

 

 

Date of Fiscal Year End:

 

December 31

 

 

 

Date of Reporting Period:

 

March 31, 2008

 

 


 

Item 1. Schedule of Investments

 


 

Eaton Vance Tax-Managed Buy-Write Income Fund

 

as of March 31, 2008

 

 

 

PORTFOLIO OF INVESTMENTS (Unaudited)

 

 

 

Common Stocks — 101.4%

 

Security

 

Shares

 

Value

 

Aerospace & Defense — 2.7%

 

 

 

 

 

Boeing Co. (The)

 

34,365

 

$

2,555,725

 

Honeywell International, Inc.

 

66,929

 

3,776,134

 

Lockheed Martin Corp.

 

3,574

 

354,898

 

Northrop Grumman Corp.

 

20,111

 

1,564,837

 

Rockwell Collins, Inc.

 

8,785

 

502,063

 

United Technologies Corp.

 

48,521

 

3,339,215

 

 

 

 

 

$

12,092,872

 

Air Freight & Logistics — 0.9%

 

 

 

 

 

CH Robinson Worldwide, Inc.

 

6,745

 

$

366,928

 

United Parcel Service, Inc., Class B

 

50,076

 

3,656,550

 

 

 

 

 

$

4,023,478

 

Beverages — 3.7%

 

 

 

 

 

Anheuser-Busch Cos., Inc.

 

74,053

 

$

3,513,815

 

Brown-Forman Corp., Class B

 

3,398

 

225,016

 

Coca-Cola Co. (The)

 

112,729

 

6,861,814

 

PepsiCo, Inc.

 

82,053

 

5,924,227

 

 

 

 

 

$

16,524,872

 

Biotechnology — 0.9%

 

 

 

 

 

Biogen Idec, Inc. (1)

 

35,276

 

$

2,176,176

 

Celgene Corp. (1)

 

26,648

 

1,633,256

 

Enzon Pharmaceuticals, Inc. (1)

 

27,239

 

250,871

 

 

 

 

 

$

4,060,303

 

Building Products — 0.1%

 

 

 

 

 

Masco Corp.

 

24,884

 

$

493,450

 

 

 

 

 

$

493,450

 

Capital Markets — 3.1%

 

 

 

 

 

American Capital Strategies, Ltd.

 

72,175

 

$

2,465,498

 

Bank of New York Mellon Corp. (The)

 

82,529

 

3,443,935

 

Federated Investors, Inc., Class B

 

32,602

 

1,276,694

 

Franklin Resources, Inc.

 

23,936

 

2,321,553

 

Goldman Sachs Group, Inc.

 

4,860

 

803,795

 

Invesco PLC ADR

 

54,842

 

1,335,951

 

Morgan Stanley

 

49,306

 

2,253,284

 

 

 

 

 

$

13,900,710

 

Chemicals — 2.3%

 

 

 

 

 

Dow Chemical Co. (The)

 

22,941

 

$

845,376

 

E.I. Du Pont de Nemours & Co.

 

77,067

 

3,603,653

 

Eastman Chemical Co.

 

31,031

 

1,937,886

 

Monsanto Co.

 

17,320

 

1,931,180

 

Rohm and Haas Co.

 

35,884

 

1,940,607

 

 

 

 

 

$

10,258,702

 

Commercial Banks — 3.6%

 

 

 

 

 

BB&T Corp.

 

77,748

 

$

2,492,601

 

First Horizon National Corp.

 

56,132

 

786,409

 

KeyCorp

 

98,415

 

2,160,209

 

Marshall & Ilsley Corp.

 

8,458

 

196,226

 

Popular, Inc.

 

10,223

 

119,200

 

U.S. Bancorp

 

110,781

 

3,584,873

 

Wachovia Corp.

 

158,257

 

4,272,939

 

Wells Fargo & Co.

 

82,804

 

2,409,596

 

 

 

 

 

$

16,022,053

 

Commercial Services & Supplies — 1.7%

 

 

 

 

 

Avery Dennison Corp.

 

47,685

 

$

2,348,486

 

Pitney Bowes, Inc.

 

55,579

 

1,946,377

 

RR Donnelley & Sons Co.

 

55,489

 

1,681,872

 

Waste Management, Inc.

 

51,616

 

1,732,233

 

 

 

 

 

$

7,708,968

 

 

1


 

Communications Equipment — 3.4%

 

 

 

 

 

Cisco Systems, Inc. (1)

 

237,947

 

$

5,732,143

 

Corning, Inc.

 

105,686

 

2,540,691

 

Harris Corp.

 

30,013

 

1,456,531

 

Juniper Networks, Inc. (1)

 

32,078

 

801,950

 

Nokia Oyj ADR

 

29,005

 

923,229

 

QUALCOMM, Inc.

 

87,526

 

3,588,566

 

Research In Motion, Ltd. (1)

 

948

 

106,394

 

 

 

 

 

$

15,149,504

 

Computer Peripherals — 3.9%

 

 

 

 

 

Apple, Inc. (1)

 

37,291

 

$

5,351,259

 

Hewlett-Packard Co.

 

53,280

 

2,432,765

 

International Business Machines Corp.

 

70,301

 

8,094,457

 

Palm, Inc.

 

18,656

 

93,280

 

Seagate Technology

 

66,365

 

1,389,683

 

 

 

 

 

$

17,361,444

 

Construction Materials — 0.4%

 

 

 

 

 

Vulcan Materials Co.

 

28,398

 

$

1,885,627

 

 

 

 

 

$

1,885,627

 

Consumer Finance — 0.5%

 

 

 

 

 

American Express Co.

 

47,841

 

$

2,091,609

 

Student Loan Corp.

 

633

 

62,604

 

 

 

 

 

$

2,154,213

 

Distributors — 0.3%

 

 

 

 

 

Genuine Parts Co.

 

38,043

 

$

1,530,089

 

 

 

 

 

$

1,530,089

 

Diversified Consumer Services — 0.1%

 

 

 

 

 

H&R Block, Inc.

 

28,930

 

$

600,587

 

 

 

 

 

$

600,587

 

Diversified Financial Services — 3.8%

 

 

 

 

 

Bank of America Corp.

 

174,213

 

$

6,604,415

 

Citigroup, Inc.

 

85,205

 

1,825,091

 

IntercontinentalExchange, Inc. (1)

 

5,967

 

778,694

 

JPMorgan Chase & Co.

 

157,459

 

6,762,864

 

Moody’s Corp.

 

25,547

 

889,802

 

 

 

 

 

$

16,860,866

 

Diversified Telecommunication Services — 3.6%

 

 

 

 

 

AT&T, Inc.

 

186,704

 

$

7,150,763

 

Citizens Communications Co.

 

129,474

 

1,358,182

 

Verizon Communications, Inc.

 

161,788

 

5,897,173

 

Windstream Corp.

 

142,907

 

1,707,739

 

 

 

 

 

$

16,113,857

 

Electric Utilities — 0.5%

 

 

 

 

 

Duke Energy Corp.

 

123,997

 

$

2,213,346

 

Pinnacle West Capital Corp.

 

1,491

 

52,304

 

Progress Energy, Inc.

 

2,830

 

118,011

 

 

 

 

 

$

2,383,661

 

Electrical Equipment — 0.8%

 

 

 

 

 

Emerson Electric Co.

 

72,907

 

$

3,751,794

 

 

 

 

 

$

3,751,794

 

Energy Equipment & Services — 2.7%

 

 

 

 

 

BJ Services Co.

 

286

 

$

8,154

 

Diamond Offshore Drilling, Inc.

 

17,338

 

2,018,143

 

Halliburton Co.

 

93,317

 

3,670,158

 

Noble Corp.

 

55,841

 

2,773,622

 

Schlumberger, Ltd.

 

34,158

 

2,971,746

 

Transocean, Inc. (1)

 

3,212

 

434,262

 

 

 

 

 

$

11,876,085

 

Food & Staples Retailing — 2.3%

 

 

 

 

 

CVS Caremark Corp.

 

94,587

 

$

3,831,719

 

SUPERVALU, Inc.

 

8,915

 

267,272

 

Wal-Mart Stores, Inc.

 

116,937

 

6,160,241

 

 

 

 

 

$

10,259,232

 

 

2


 

Food Products — 1.1%

 

 

 

 

 

ConAgra Foods, Inc.

 

27,892

 

$

668,013

 

Hershey Co. (The)

 

65,103

 

2,452,430

 

Kraft Foods, Inc., Class A

 

50,448

 

1,564,392

 

 

 

 

 

$

4,684,835

 

Gas Utilities — 0.1%

 

 

 

 

 

Nicor, Inc.

 

14,401

 

$

482,578

 

 

 

 

 

$

482,578

 

Health Care Equipment & Supplies — 1.7%

 

 

 

 

 

Baxter International, Inc.

 

61,364

 

$

3,548,066

 

Boston Scientific Corp. (1)

 

25,674

 

330,424

 

Medtronic, Inc.

 

54,884

 

2,654,739

 

St. Jude Medical, Inc. (1)

 

21,128

 

912,518

 

Zimmer Holdings, Inc. (1)

 

4,483

 

349,046

 

 

 

 

 

$

7,794,793

 

Health Care Providers & Services — 1.4%

 

 

 

 

 

Express Scripts, Inc. (1)

 

14,298

 

$

919,647

 

Laboratory Corp. of America Holdings (1)

 

9,283

 

683,971

 

McKesson Corp.

 

39,374

 

2,062,016

 

Medco Health Solutions, Inc. (1)

 

43,228

 

1,892,954

 

Quest Diagnostics, Inc.

 

11,070

 

501,139

 

 

 

 

 

$

6,059,727

 

Hotels, Restaurants & Leisure — 1.5%

 

 

 

 

 

Carnival Corp., Unit

 

38,610

 

$

1,562,933

 

International Game Technology

 

26,759

 

1,075,979

 

McDonald’s Corp.

 

35,972

 

2,006,158

 

Starwood Hotels & Resorts Worldwide, Inc.

 

17,410

 

900,968

 

Yum! Brands, Inc.

 

35,271

 

1,312,434

 

 

 

 

 

$

6,858,472

 

Household Durables — 0.4%

 

 

 

 

 

D.R. Horton, Inc.

 

89,029

 

$

1,402,207

 

KB HOME

 

14,126

 

349,336

 

 

 

 

 

$

1,751,543

 

Household Products — 2.4%

 

 

 

 

 

Procter & Gamble Co.

 

149,558

 

$

10,479,529

 

 

 

 

 

$

10,479,529

 

Industrial Conglomerates — 3.7%

 

 

 

 

 

General Electric Co.

 

447,598

 

$

16,565,602

 

 

 

 

 

$

16,565,602

 

Insurance — 4.7%

 

 

 

 

 

ACE, Ltd.

 

2,587

 

$

142,440

 

Allstate Corp. (The)

 

25,486

 

1,224,857

 

American International Group, Inc.

 

106,169

 

4,591,809

 

AON Corp.

 

26,775

 

1,076,355

 

Cincinnati Financial Corp.

 

59,526

 

2,264,369

 

Lincoln National Corp.

 

45,328

 

2,357,056

 

MBIA Inc.

 

85,314

 

1,042,537

 

MetLife, Inc.

 

18,232

 

1,098,660

 

PartnerRe, Ltd.

 

5,273

 

402,330

 

Principal Financial Group, Inc.

 

21,531

 

1,199,707

 

Prudential Financial, Inc.

 

35,186

 

2,753,305

 

Travelers Companies, Inc. (The)

 

37,065

 

1,773,560

 

XL Capital Ltd., Class A

 

30,415

 

898,763

 

 

 

 

 

$

20,825,748

 

Internet Software & Services — 2.4%

 

 

 

 

 

Akamai Technologies, Inc. (1)

 

25,563

 

$

719,854

 

eBay, Inc. (1)

 

30,623

 

913,790

 

Google, Inc., Class A (1)

 

13,680

 

6,025,630

 

VeriSign, Inc. (1)

 

54,603

 

1,815,004

 

Yahoo!, Inc. (1)

 

40,435

 

1,169,785

 

 

 

 

 

$

10,644,063

 

 

3


 

IT Services — 0.9%

 

 

 

 

 

Automatic Data Processing, Inc.

 

37,355

 

$

1,583,478

 

Broadridge Financial Solutions, Inc.

 

2,175

 

38,280

 

Cognizant Technology Solutions Corp. (1)

 

23,682

 

 

682,752

 

MasterCard, Inc., Class A

 

1,189

 

265,135

 

Metavante Technologies, Inc. (1)

 

2,819

 

56,352

 

Paychex, Inc.

 

41,638

 

1,426,518

 

 

 

 

 

$

4,052,515

 

Leisure Equipment & Products — 0.6%

 

 

 

 

 

Mattel, Inc.

 

127,796

 

$

2,543,140

 

 

 

 

 

$

2,543,140

 

Life Sciences Tools & Services — 0.1%

 

 

 

 

 

Applera Corp.- Applied Biosystems Group

 

4,920

 

$

161,671

 

Thermo Fisher Scientific, Inc. (1)

 

8,409

 

477,968

 

 

 

 

 

$

639,639

 

Machinery — 1.5%

 

 

 

 

 

AGCO Corp. (1)

 

7,735

 

$

463,172

 

Caterpillar, Inc.

 

29,204

 

2,286,381

 

Deere & Co.

 

13,402

 

1,078,057

 

Eaton Corp.

 

24,497

 

1,951,676

 

Parker Hannifin Corp.

 

13,525

 

936,877

 

 

 

 

 

$

6,716,163

 

Media — 1.6%

 

 

 

 

 

Central European Media Enterprises, Ltd., Class A (1)

 

1,062

 

$

90,514

 

Clear Channel Communications, Inc.

 

24,942

 

728,805

 

Comcast Corp., Class A

 

29,170

 

564,148

 

DIRECTV Group (The), Inc. (1)

 

23,697

 

587,449

 

Interpublic Group of Cos., Inc. (1)

 

54,079

 

454,804

 

Meredith Corp.

 

4,689

 

179,354

 

Walt Disney Co.

 

146,301

 

4,590,925

 

 

 

 

 

$

7,195,999

 

Metals & Mining — 1.3%

 

 

 

 

 

Alcoa, Inc.

 

86,678

 

$

3,125,609

 

Freeport-McMoRan Copper & Gold, Inc., Class B

 

11,502

 

1,106,722

 

Nucor Corp.

 

22,525

 

1,525,844

 

 

 

 

 

$

5,758,175

 

Multiline Retail — 0.7%

 

 

 

 

 

Big Lots, Inc. (1)

 

42,909

 

$

956,871

 

Macy’s, Inc.

 

35,255

 

812,980

 

Nordstrom, Inc.

 

30,006

 

978,196

 

Saks, Inc. (1)

 

30,588

 

381,432

 

 

 

 

 

$

3,129,479

 

Multi-Utilities — 3.3%

 

 

 

 

 

Ameren Corp.

 

46,293

 

$

2,038,744

 

CenterPoint Energy, Inc.

 

17,504

 

249,782

 

CMS Energy Corp.

 

104,738

 

1,418,153

 

Consolidated Edison, Inc.

 

29,149

 

1,157,215

 

Dominion Resources, Inc.

 

72,440

 

2,958,450

 

DTE Energy Co.

 

4,649

 

180,800

 

Integrys Energy Group, Inc.

 

10,554

 

492,239

 

NiSource, Inc.

 

33,475

 

577,109

 

NorthWestern Corp.

 

35,741

 

871,008

 

Public Service Enterprise Group, Inc.

 

67,968

 

2,731,634

 

TECO Energy, Inc.

 

110,189

 

1,757,515

 

Xcel Energy, Inc.

 

12,009

 

239,580

 

 

 

 

 

$

14,672,229

 

Oil, Gas & Consumable Fuels — 10.6%

 

 

 

 

 

Chevron Corp.

 

109,133

 

$

9,315,593

 

ConocoPhillips

 

71,691

 

5,463,571

 

EOG Resources, Inc.

 

28,080

 

3,369,600

 

Exxon Mobil Corp.

 

229,610

 

19,420,414

 

Hess Corp.

 

21,226

 

1,871,709

 

Occidental Petroleum Corp.

 

26,147

 

1,913,176

 

Valero Energy Corp.

 

30,355

 

1,490,734

 

Williams Cos., Inc.

 

91,699

 

3,024,233

 

XTO Energy, Inc.

 

21,701

 

1,342,424

 

 

 

 

 

$

47,211,454

 

 

4


 

Paper and Forest Products — 0.3%

 

 

 

 

 

Louisiana-Pacific Corp.

 

51,977

 

$

477,149

 

MeadWestvaco Corp.

 

33,483

 

911,407

 

 

 

 

 

$

1,388,556

 

Personal Products — 0.4%

 

 

 

 

 

Alberto-Culver Co.

 

43,605

 

$

1,195,213

 

Estee Lauder Cos., Inc., Class A

 

8,436

 

386,791

 

 

 

 

 

$

1,582,004

 

Pharmaceuticals — 6.9%

 

 

 

 

 

Abbott Laboratories

 

98,684

 

$

5,442,423

 

Bristol-Myers Squibb Co.

 

151,729

 

3,231,828

 

Eli Lilly & Co.

 

30,507

 

1,573,856

 

Johnson & Johnson

 

122,696

 

7,959,290

 

Merck & Co., Inc.

 

113,745

 

4,316,623

 

Pfizer, Inc.

 

372,437

 

7,795,106

 

Schering-Plough Corp.

 

35,270

 

508,241

 

 

 

 

 

$

30,827,367

 

Real Estate Investment Trusts (REITs) — 0.8%

 

 

 

 

 

Developers Diversified Realty Corp.

 

4,582

 

$

191,894

 

Plum Creek Timber Co., Inc.

 

15,428

 

627,920

 

Simon Property Group, Inc.

 

29,775

 

2,766,395

 

 

 

 

 

$

3,586,209

 

Real Estate Management & Development — 0.0%

 

 

 

 

 

Forestar Real Estate Group, Inc. (1)

 

6,935

 

$

172,751

 

 

 

 

 

$

172,751

 

Road & Rail — 0.6%

 

 

 

 

 

CSX Corp.

 

22,133

 

$

1,240,997

 

Norfolk Southern Corp.

 

17,421

 

946,309

 

Union Pacific Corp.

 

5,580

 

699,620

 

 

 

 

 

$

2,886,926

 

Semiconductors & Semiconductor Equipment — 2.9%

 

 

 

 

 

Analog Devices, Inc.

 

44,223

 

$

1,305,463

 

Applied Materials, Inc.

 

128,413

 

2,505,338

 

Broadcom Corp., Class A (1)

 

6,766

 

130,381

 

Intel Corp.

 

143,522

 

3,039,796

 

KLA-Tencor Corp.

 

32,861

 

1,219,143

 

Linear Technology Corp.

 

5,661

 

173,736

 

MEMC Electronic Materials, Inc. (1)

 

27,234

 

1,930,891

 

Microchip Technology, Inc.

 

74,956

 

2,453,310

 

 

 

 

 

$

12,758,058

 

Software — 3.2%

 

 

 

 

 

Adobe Systems, Inc. (1)

 

32,525

 

$

1,157,565

 

Microsoft Corp.

 

371,433

 

10,541,269

 

Oracle Corp. (1)

 

121,046

 

2,367,660

 

Quest Software, Inc. (1)

 

17,700

 

231,339

 

 

 

 

 

$

14,297,833

 

Specialty Retail — 1.3%

 

 

 

 

 

Best Buy Co., Inc.

 

15,110

 

$

626,461

 

Home Depot, Inc.

 

90,394

 

2,528,320

 

OfficeMax, Inc.

 

67,396

 

1,289,959

 

Sherwin-Williams Co. (The)

 

13,337

 

680,720

 

Tiffany & Co.

 

14,641

 

612,579

 

 

 

 

 

$

5,738,039

 

Textiles, Apparel & Luxury Goods — 0.9%

 

 

 

 

 

Nike, Inc., Class B

 

51,570

 

$

3,506,760

 

VF Corp.

 

4,266

 

330,658

 

 

 

 

 

$

3,837,418

 

Thrifts & Mortgage Finance — 0.7%

 

 

 

 

 

Federal National Mortgage Association

 

83,316

 

$

2,192,877

 

Guaranty Financial Group, Inc. (1)

 

6,935

 

73,650

 

Sovereign Bancorp, Inc.

 

95,547

 

890,498

 

 

 

 

 

$

3,157,025

 

 

5


 

Tobacco — 2.1%

 

 

 

 

 

Altria Group, Inc.

 

67,621

 

$

1,501,186

 

Philip Morris International, Inc. (1)

 

67,621

 

3,420,270

 

Reynolds American, Inc.

 

41,500

 

2,449,745

 

UST, Inc.

 

32,881

 

1,792,672

 

 

 

 

 

$

9,163,873

 

Total Common Stocks
(identified cost $397,580,412)

 

 

 

$

452,474,109

 

Total Investments — 101.4%
(identified cost $397,580,412)

 

 

 

$

452,474,109

 

 

Covered Call Options Written — (1.6%)

 

 

 

Number

 

Strike

 

Expiration

 

 

 

Description

 

of Contracts

 

Price

 

Date

 

Value

 

S&P 500 Index

 

467

 

$

1,315

 

4/19/08

 

$

 (1,681,200

)

S&P 500 Index

 

613

 

1,325

 

4/19/08

 

(1,569,280

)

S&P 500 Index

 

1,063

 

1,340

 

4/19/08

 

(2,126,000

)

S&P 500 Index

 

687

 

1,345

 

4/19/08

 

(1,396,671

)

S&P 500 Index

 

525

 

1,385

 

4/19/08

 

(250,950

)

 

 

 

 

 

 

 

 

 

 

Total Covered Call Options Written
(premiums received $7,301,585)

 

 

 

 

 

 

 

$

(7,024,101

)

 

 

 

 

 

 

 

 

 

 

Other Assets, Less Liabilities — 0.2%

 

 

 

 

 

 

 

$

881,391

 

 

 

 

 

 

 

 

 

 

 

Net Assets — 100.0%

 

 

 

 

 

 

 

$

446,331,399

 

 

ADR

—

American Depository Receipt

 

 

 

(1)

 

Non-income producing security.

 

The cost and unrealized appreciation (depreciation) of investments of the Fund at March 31, 2008, as determined on a federal income tax basis, were as follows:

 

Aggregate cost

 

$

397,548,537

 

Gross unrealized appreciation

 

$

68,853,265

 

Gross unrealized depreciation

 

(13,927,693

)

Net unrealized appreciation

 

$

54,925,572

 

 

Written call options activity for the period ended March 31, 2008 was as follows:

 

 

 

Number of
Contracts

 

Premiums
Received

 

Outstanding, beginning of period

 

3,239

 

$

7,157,841

 

Options written

 

9,904

 

21,355,924

 

Options terminated in closing purchase transactions

 

(9,788

)

(21,212,180

)

Outstanding, end of period

 

3,355

 

$

7,301,585

 

 

All of the assets of the Fund are subject to segregation to satisfy the requirements of the escrow agent. At March 31, 2008, the Fund had sufficient cash and/or securities to cover commitments under these contracts.

 

The Fund adopted Financial Accounting Standards Board Statement of Financial Accounting Standards No. 157 (FAS 157), “Fair Value Measurements”, effective January 1, 2008.  FAS 157 established a three-tier hierarchy to prioritize the assumptions, referred to as inputs, used in valuation techniques to measure fair value. The three-tier hierarchy of inputs is summarized in the three broad levels listed below.

 

·

Level 1 – quoted prices in active markets for identical investments

·

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

·

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

 

6


 

At March 31, 2008, the inputs used in valuing the Fund’s investments, which are carried at value, were as follows:

 

 

 

Valuation Inputs

 

Investments in
Securities

 

Other Financial
Instruments*

 

Level 1

 

Quoted Prices

 

$

452,474,109

 

$

(7,024,101

)

Level 2

 

Other Significant Observable Inputs

 

—

 

—

 

Level 3

 

Significant Unobservable Inputs

 

—

 

—

 

Total

 

 

 

$

452,474,109

 

$

(7,024,101

)

 

*Other financial instruments include written call options, which are valued at the unrealized appreciation (depreciation) on the instrument.

 

The Fund held no investments or other financial instruments as of December 31, 2007 whose fair value was determined using Level 3 inputs.

 

Equity securities listed on a U.S. securities exchange generally are valued at the last sale price on the day of valuation or, if no sales took place on such date, at the mean between the closing bid and asked prices therefore on the exchange where such securities are principally traded. Equity securities listed on the NASDAQ Global or Global Select Market generally are valued at the NASDAQ official closing price. Unlisted or listed securities for which closing sales prices or closing quotations are not available are valued at the mean between the latest available bid and asked prices or, in the case of preferred equity securities that are not listed or traded in the over-the-counter market, by an independent pricing service. Exchange-traded options are valued at the last sale price for the day of valuation as quoted on the principal exchange or board of trade on which the options are traded or, in the absence of sales on such date, at the mean between the latest bid and asked prices therefore. Over-the-counter options are valued based on broker quotations. Short-term debt securities with a remaining maturity of sixty days or less are valued at amortized cost, which approximates market value. If short-term debt securities are acquired with a remaining maturity of more than sixty days, they will be valued by a pricing service. Other fixed income and debt securities, including listed securities and securities for which price quotations are available, will normally be valued on the basis of valuations furnished by a pricing service. Valuations for debt obligations are derived from the pricing vendors’ proprietary pricing models. Inputs to the models may include, but are not limited to, reported trades, executable bid and asked prices, broker/dealer quotations, benchmark curves or information pertaining to the issuer. The pricing vendor may use a matrix approach which considers information regarding securities with similar characteristics in order to determine the valuation for a security. Foreign securities and currencies are valued in U.S. dollars, based on foreign currency exchange rate quotations supplied by an independent quotation service. The independent service uses a proprietary model to determine the exchange rate.  Inputs to the model include reported trades and implied bid/ask spreads. The daily valuation of exchange-traded foreign securities generally is determined as of the close of trading on the principal exchange on which such securities trade. Events occurring after the close of trading on foreign exchanges may result in adjustments to the valuation of foreign securities to more accurately reflect their fair value as of the close of regular trading on the New York Stock Exchange. When valuing foreign equity securities that meet certain criteria, the Trustees have approved the use of a fair value service that values such securities to reflect market trading that occurs after the close of the applicable foreign markets of comparable securities or other instruments that have a strong correlation to the fair valued securities. Investments for which valuations or market quotations are not readily available are valued at fair value using methods determined in good faith by or at the direction of the Trustees of the Fund considering relevant factors, data and information including the market value of freely tradable securities of the same class in the principal market on which such securities are normally traded.

 

7


 

Item 2. Controls and Procedures

 

(a) It is the conclusion of the registrant’s principal executive officer and principal financial officer that the effectiveness of the registrant’s current disclosure controls and procedures (such disclosure controls and procedures having been evaluated within 90 days of the date of this filing) provide reasonable assurance that the information required to be disclosed by the registrant on this Form N-Q has been recorded, processed, summarized and reported within the time period specified in the Commission’s rules and forms and that the information required to be disclosed by the registrant on this Form N-Q has been accumulated and communicated to the registrant’s principal executive officer and principal financial officer in order to allow timely decisions regarding required disclosure.

 

(b) There have been no changes in the registrant’s internal controls over financial reporting during the fiscal quarter for which the report is being filed that have materially affected, or are reasonably likely to materially affect the registrant’s internal control over financial reporting.

 


 

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.

 

Eaton Vance Tax-Managed Buy-Write Income Fund

 

By:

 

/s/ Duncan W. Richardson

 

 

Duncan W. Richardson

 

 

President

 

 

 

Date:

 

May 21, 2008

 

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

 

By:

 

/s/ Duncan W. Richardson

 

 

Duncan W. Richardson

 

 

President

 

 

 

Date:

 

May 21, 2008

 

By:

 

/s/ Barbara E. Campbell

 

 

Barbara E. Campbell

 

 

Treasurer

 

 

 

Date:

 

May 21, 2008