U.S. SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM N-17F-2
CERTIFICATE OF ACCOUNTING OF SECURITIES AND SIMILAR INVESTMENTS IN THE
CUSTODY OF MANAGEMENT INVESTMENT COMPANIES
PURSUANT TO RULE N-17F-2
1. Investment Company Act File Number: Date Examination completed:
811-07866 July 5, 2006
2. State Identification Number:
AL AK AZ AR CA CO
CT DE DC FL GA HI
ID IL IN IA KS KY
LA ME MD MA MI MN
MS MO MT NE NV NH
NJ NM NY NC ND OH
OK OR PA RI SC SD
TN TX UT VT VA WA
WV WI WY PUERTO RICO
3. Exact name of investment company as specified in registration statement:
TEMPLETON EMERGING MARKETS INCOME FUND
4. Address of principal executive office: (number, street, city, state, zip
code)
500 EAST BROWARD BLVD., SUITE 2100, FORT LAUDERDALE, FL 33394-3091
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
To the Board of Trustees of
Franklin Global Trust
Franklin Strategic Series
Franklin Templeton Fund Allocator Series
Franklin Universal Trust
Franklin Strategic Mortgage Portfolio
Franklin Gold and Precious Metals Fund
Franklin Floating Rate Trust
Franklin Capital Growth Fund
Institutional Fiduciary Trust
Franklin High Income Trust
Franklin Real Estate Securities Trust
Franklin Investors Securities Trust
Franklin Value Investors Trust
Franklin Templeton Money Fund Trust
Franklin Multi-Income Trust
Franklin Templeton Limited Duration Income Trust
Templeton Russia and East European Fund, Inc.
Templeton Global Income Fund
Templeton Emerging Markets Fund
Templeton Emerging Markets Income Fund
Templeton Capital Accumulator Fund
and the Board of Directors of
Franklin Money Fund
Franklin Federal Money Fund
Franklin Custodian Funds, Inc.
Templeton Dragon Fund, Inc.
Templeton Institutional Funds, Inc.
We have examined management's assertion, included in the accompanying Management
Statement Regarding Compliance with Certain Provisions of the Investment Company
Act of 1940, about the funds' (hereafter referred to as the "Funds") compliance
(see Attachment I) with the requirements of subsections (b) and (c) of Rule
17f-2 under the Investment Company Act of 1940 ("the Act") as of October 31,
2004. Management is responsible for the Funds' compliance with those
requirements. Our responsibility is to express an opinion on management's
assertion about the Funds' compliance based on our examination.
Our examination was conducted in accordance with the standards of the Public
Company Accounting Oversight Board (United States) and, accordingly, included
examining, on a test basis, evidence about the Funds' compliance with those
requirements and performing such other procedures as we considered necessary in
the circumstances. Included among our procedures were the following tests
performed as of October 31, 2004, and with respect to agreement of security
purchases and sales, for the periods indicated in Attachment I:
o Inspection of the records of Franklin Templeton Investors Services,
Inc. as they pertain to the security positions owned by the Funds and held
in book entry form.
o Reconciliation of such security positions to the books and records
of the Funds.
o Agreement of a sample of security purchases and sales since our last
report to the books and records of the Funds.
We believe that our examination provides a reasonable basis for our opinion. Our
examination does not provide a legal determination on the Funds' compliance with
specified requirements.
In our opinion, management's assertion that the Funds were in compliance with
the requirements of subsections (b) and (c) of Rule 17f-2 of the Investment
Company Act of 1940 as of October 31, 2004 with respect to securities reflected
in the investment accounts of the Funds is fairly stated, in all material
respects.
This report is intended solely for the information and use of the Board of
Trustees and Board of Directors, management, and the Securities and Exchange
Commission and is not intended to be and should not be used by anyone other than
these specified parties.
/s/PricewaterhouseCoopers LLP
San Francisco, California
July 5, 2006
MANAGEMENT STATEMENT REGARDING COMPLIANCE WITH CERTAIN
PROVISIONS OF THE INVESTMENT COMPANY ACT OF 1940
We, as members of management of the Franklin Templeton Funds indicated in
Attachment I (the "Funds"), are responsible for complying with the requirements
of subsections (b) and (c) of Rule 17f-2, "Custody of Investments by Registered
Management Investment Companies," of the Investment Company Act of 1940. We are
also responsible for establishing and maintaining effective internal controls
over compliance with those requirements. We have performed an evaluation of the
Funds' compliance with the requirements of subsection (b) of Rule 17f-2, as
interpreted in Franklin Investors Securities Trust SEC No-Action Letter
(publicly available September 24, 1992), and subsection (c) of Rule 17f-2 of the
Investment Company Act of 1940, as of October 31, 2004, and for the periods
indicated in Attachment I.
Based on this evaluation, we assert that the Funds were in compliance with the
requirements of subsection (b) of Rule 17f-2, as interpreted in Franklin
Investors Securities Trust SEC No-Action Letter (publicly available September
24, 1992), and subsection (c) of Rule 17f-2 of the Investment Company Act of
1940, as of October 31, 2004, and for the periods indicated in Attachment I,
with respect to securities reflected in the investment accounts of the Funds.
By:
/s/ Galen G. Vetter
---------------------------------
GALEN G. VETTER
CHIEF FINANCIAL OFFICER
6/21/06
---------------------------------
Date
/s/ Jimmy D. Gambill
-----------------------------------
JIMMY D. GAMBILL
SENIOR VICE PRESIDENT AND CHIEF EXECUTIVE
OFFICER-FINANCE AND ADMINISTRATION
6/26/06
----------------------------------
Date
ATTACHMENT I
FUND PERIODS COVERED
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FRANKLIN GLOBAL TRUST:
Fiduciary High Income Fund July 31, 2004 - October 31, 2004
Fiduciary Core Fixed Income Fund July 31, 2004 - October 31, 2004
Fiduciary Small Capitalization Equity Fund July 31, 2004 - October 31, 2004
Fiduciary Large Capitalization Growth and Income Fund July 31, 2004 - October 31, 2004
Fiduciary European Smaller Companies Fund July 31, 2004 - October 31, 2004
Fiduciary Core Plus Fixed Income Fund July 31, 2004 - October 31, 2004
FRANKLIN STRATEGIC SERIES:
Franklin Aggressive Growth Fund April 30, 2004 - October 31, 2004
Franklin U.S. Long-Short Fund April 30, 2004 - October 31, 2004
Franklin Natural Resources Fund April 30, 2004 - October 31, 2004
Franklin Biotechnology Discovery Fund April 30, 2004 - October 31, 2004
Franklin Blue Chip Fund April 30, 2004 - October 31, 2004
Franklin Global Health Care Fund April 30, 2004 - October 31, 2004
Franklin Global Communications Fund April 30, 2004 - October 31, 2004
Franklin Strategic Income Fund April 30, 2004 - October 31,
Franklin Flex Cap Growth Fund April 30, 2004 - October 31, 2004
Franklin Technology Fund April 30, 2004 - October 31, 2004
Franklin Small Cap Growth Fund II April 30, 2004 - October 31, 2004
Franklin Small-Mip Cap Growth Fund April 30, 2004 - October 31, 2004
FRANKLIN TEMPLETON FUND ALLOCATOR SERIES:
Franklin Templeton Conservative Target Fund July 31, 2004 - October 31, 2004
Franklin Templeton Moderate Target Fund July 31, 2004 - October 31, 2004
Franklin Templeton Growth Target Fund July 31, 2004 - October 31, 2004
Franklin Templeton Corefolio Allocation Fund July 31, 2004 - October 31, 2004
Franklin Templeton Perspectives Allocation Fund August 2, 2004 - October 31, 2004
Franklin Templeton Founding Funds Allocation Fund July 31, 2004 - October 31, 2004
FRANKLIN UNIVERSAL TRUST July 31, 2004 - October 31, 2004
FRANKLIN STRATEGIC MORTGAGE PORTFOLIO Septermber 30, 2004 - October 31, 2004
FRANKLIN GOLD AND PRECIOUS METALS FUND July 31, 2004 - October 31, 2004
FRANKLIN FLOATING RATE TRUST July 31, 2004 - October 31, 2004
FRANKLIN CAPITAL GROWTH FUND May 31, 2004 - October 31, 2004
INSTITUTIONAL FIDUCIARY TRUST:
Money Market Portfolio June 30, 2004 - October 31, 2004
Franklin Cash Reserves Fund June 30, 2004 - October 31, 2004
Franklin Structured Large Cap Growth Equity Fund May 31, 2004 - October 31, 2004
Franklin Structured Large Cap Core Equity Fund May 31, 2004 - October 31, 2004
FRANKLIN HIGH INCOME TRUST:
Franklin AGE High Income Fund May 31, 2004 - October 31, 2004
FRANKLIN REAL ESTATE SECURITIES TRUST:
Franklin Real Estate Securities Fund April 30, 2004 - October 31, 2004
FRANKLIN INVESTORS SECURITIES TRUST:
Franklin Floating Rate Daily Access Fund Septermber 30, 2004 - October 31, 2004
Franklin Total Return Fund Septermber 30, 2004 - October 31, 2004
Franklin Limited Maturity U.S. Government Securities Fund Septermber 30, 2004 - October 31, 2004
Franklin Convertible Securities Fund Septermber 30, 2004 - October 31, 2004
Franklin Equity Income Fund Septermber 30, 2004 - October 31, 2004
Franklin Adjustable U.S. Government Securities Fund June 30, 2004 - October 31, 2004
FRANKLIN VALUE INVESTORS TRUST:
Franklin Balance Sheet Investment Fund Septermber 30, 2004 - October 31, 2004
Franklin MicroCap Value Fund Septermber 30, 2004 - October 31, 2004
Franklin Small Cap Value Fund Septermber 30, 2004 - October 31, 2004
Franklin Large Cap Value Fund Septermber 30, 2004 - October 31, 2004
FRANKLIN TEMPLETON MONEY FUND TRUST:
Franklin Templeton Money Fund June 30, 2004 - October 31, 2004
FRANKLIN MULTI-INCOME TRUST July 31, 2004 - October 31, 2004
FRANKLIN TEMPLETON LIMITED DURATION INCOME TRUST July 31, 2004 - October 31, 2004
TEMPLETON RUSSIA AND EAST EUROPEAN FUND, INC. July 31, 2004 - October 31, 2004
TEMPLETON GLOBAL INCOME FUND July 31, 2004 - October 31, 2004
TEMPLETON EMERGING MARKETS FUND July 31, 2004 - October 31, 2004
TEMPLETON EMERGING MARKETS INCOME FUND July 31, 2004 - October 31, 2004
TEMPLETON CAPITAL ACCUMULATOR FUND July 31, 2004 - October 31, 2004
FRANKLIN MONEY FUND June 30, 2004 - October 31, 2004
FRANKLIN FEDERAL MONEY FUND June 30, 2004 - October 31, 2004
FRANKLIN CUSTODIAN FUNDS, INC.:
Franklin Growth Fund Septermber 30, 2004 - October 31, 2004
Franklin Utilities Fund Septermber 30, 2004 - October 31, 2004
Franklin DynaTech Fund Septermber 30, 2004 - October 31, 2004
Franklin Income Fund Septermber 30, 2004 - October 31, 2004
Franklin U.S. Government Securities Fund Septermber 30, 2004 - October 31, 2004
TEMPLETON DRAGON FUND, INC. July 31, 2004 - October 31, 2004
TEMPLETON INSTITUTIONAL FUNDS, INC.:
Foreign Equity Series July 31, 2004 - October 31, 2004
Emerging Fixed Income Series July 31, 2004 - October 31, 2004