| 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- 05908 |
| John Hancock Patriot Premium Dividend
Fund II (Exact name of registrant as specified in charter) |
| 601 Congress Street, Boston,
Massachusetts 02210 (Address of principal executive offices) (Zip code) |
| Alfred P. Ouellette, Senior Attorney
& Assistant Secretary |
| 601 Congress Street
|
| Boston, Massachusetts
02210 (Name and address of agent for service) |
| Registrant's telephone number, including area code: 617-663-4324 | |
|Date of fiscal year end: |
October 31 |
| Date of reporting period: | July 31, 2006 |
| ITEM 1. SCHEDULE OF INVESTMENTS
|
| John Hancock Patriot Premium Dividend Fund II Securities owned by the Fund on July 31, 2006 (unaudited) |
| Issuer | Shares | Value |
| Common stocks 39.30% | $111,566,429 | |
|
| ||
| (Cost $94,733,877) | ||
| Electric Utilities 3.05% | 8,664,400 | |
|
| ||
| FPL Group, Inc. | 20,000 | 862,800 |
| Pinnacle West Capital Corp. | 80,000 | 3,440,800 |
| Progress Energy, Inc. | 99,000 | 4,311,450 |
| Progress Energy, Inc. (Contingent Value Obligation) (B)(I) | 176,250 | 49,350 |
| Gas Utilities 2.17% | 6,157,182 | |
|
| ||
| National Fuel Gas Co. | 86,000 | 3,194,040 |
| Peoples Energy Corp. | 70,200 | 2,963,142 |
| Integrated Telecommunication Services 1.56% | 4,422,277 | |
|
| ||
| AT&T, Inc. | 102,350 | 3,069,477 |
| Verizon Communications, Inc. | 40,000 | 1,352,800 |
| Multi-Utilities 31.98% | 90,792,570 | |
|
| ||
| Alliant Energy Corp. | 182,900 | 6,617,322 |
| Ameren Corp. | 80,000 | 4,120,000 |
| CH Energy Group, Inc. | 198,800 | 9,858,492 |
| Consolidated Edison, Inc. | 78,000 | 3,655,860 |
| Dominion Resources, Inc. | 79,700 | 6,254,856 |
| DTE Energy Co. | 193,500 | 8,188,920 |
| Duke Energy Corp. | 165,200 | 5,008,864 |
| Energy East Corp. | 320,000 | 7,785,600 |
| KeySpan Corp. | 205,700 | 8,283,539 |
| NiSource, Inc. | 158,050 | 3,595,637 |
| NSTAR | 276,000 | 8,602,920 |
| OGE Energy Corp. | 137,632 | 5,209,371 |
| Public Service Enterprise Group, Inc. | 16,000 | 1,078,880 |
| SCANA Corp. | 28,400 | 1,135,716 |
| TECO Energy, Inc. | 196,750 | 3,136,195 |
| Vectren Corp. | 30,000 | 834,300 |
| WPS Resources Corp. | 55,400 | 2,856,978 |
| Xcel Energy, Inc. | 228,000 | 4,569,120 |
| Oil & Gas Storage & Transportation 0.54% | 1,530,000 | |
|
| ||
| Kinder Morgan, Inc. | 15,000 | 1,530,000 |
Page 1
| John Hancock Patriot Premium Dividend Fund II Securities owned by the Fund on July 31, 2006 (unaudited) |
| Credit | ||||
| Issuer, description | rating (A) | Shares | Value | |
| Preferred stocks 55.88% | $158,625,737 | |||
|
| ||||
| (Cost $154,101,020) | ||||
| Agricultural Products 1.22% | 3,462,563 | |||
|
| ||||
| Ocean Spray Cranberries, Inc., 6.25%, Ser A (S) | BB+ | 44,250 | 3,462,563 | |
| Consumer Finance 3.31% | 9,411,670 | |||
|
| ||||
| HSBC USA, Inc., $2.8575 (G) | AA- | 95,900 | 4,540,270 | |
| SLM Corp., 6.97%, Ser A | BBB+ | 92,000 | 4,871,400 | |
| Diversified Banks 1.11% | 3,154,200 | |||
|
| ||||
| Royal Bank of Scotland Group Plc, 5.75%, Ser L (United Kingdom) | A | 140,000 | 3,154,200 | |
| Electric Utilities 20.43% | 58,001,598 | |||
|
| ||||
| Alabama Power Co., 5.20% | BBB+ | 262,475 | 5,924,061 | |
| Boston Edison Co., 4.78% | A- | 67,342 | 5,798,146 | |
| Carolina Power & Light Co., $4.20 | Baa3 | 41,151 | 3,090,185 | |
| Carolina Power & Light Co., $5.44 | BB+ | 11,382 | 1,052,835 | |
| Delmarva Power & Light Co., 3.70% | BB+ | 13,109 | 839,386 | |
| Duquesne Light Co., 6.50% | BB+ | 107,000 | 5,376,750 | |
| Entergy Arkansas, Inc., 6.45% | BB+ | 50,000 | 1,257,815 | |
| Entergy Mississippi, Inc., 6.25% | BB+ | 153,000 | 3,762,851 | |
| Georgia Power Co., 6.00%, Ser R | A | 54,900 | 1,301,130 | |
| Interstate Power & Light Co., 7.10%, Ser C | BBB- | 76,500 | 2,005,738 | |
| Interstate Power & Light Co., 8.375%, Ser B | Baa3 | 25,000 | 777,500 | |
| Monongahela Power Co., $6.28, Ser D | B+ | 24,931 | 2,501,671 | |
| PPL Electric Utilities Corp., 4.40% | BBB | 29,790 | 2,421,927 | |
| PPL Electric Utilities Corp., 6.25%, Depositary Shares | BBB | 200,000 | 4,881,260 | |
| PPL Energy Supply, LLC, 7.00% | BBB | 50,000 | 1,256,000 | |
| Southern California Edison Co., 6.00%, Ser C | BBB- | 18,000 | 1,704,375 | |
| Southern California Edison Co., 6.125% | BBB- | 35,000 | 3,425,625 | |
| Virginia Electric & Power Co., $6.98 | BB+ | 35,000 | 3,658,595 | |
| Virginia Electric & Power Co., $7.05 | BB+ | 10,000 | 1,045,625 | |
| Wisconsin Public Service Corp., 6.76% | A- | 35,883 | 3,708,286 | |
| Xcel Energy, Inc., $4.08, Ser B | BB+ | 8,610 | 757,680 | |
| Xcel Energy, Inc., $4.11, Ser D | BB+ | 8,770 | 730,716 | |
| Xcel Energy, Inc., $4.16, Ser E | BB+ | 9,410 | 723,441 | |
| Gas Utilities 2.18% | 6,179,466 | |||
|
| ||||
| Southern Union Co., 7.55%, Ser A | BB+ | 239,700 | 6,179,466 | |
| Investment Banking & Brokerage 7.25% | 20,578,497 | |||
|
| ||||
| Bear Stearns Cos., Inc. (The), 5.49%, Depositary Shares, Ser G | BBB | 50,650 | 2,257,977 | |
| Bear Stearns Cos., Inc. (The), 5.72%, Depositary Shares, Ser F | BBB | 95,300 | 4,498,160 | |
| Bear Stearns Cos., Inc. (The), 6.15%, Depositary Shares, Ser E | BBB | 84,000 | 4,267,200 | |
| Goldman Sachs Group, Inc., 6.20%, Ser B | A- | 20,000 | 498,200 | |
| Lehman Brothers Holdings, Inc., 5.67%, Depositary Shares, Ser D | A- | 124,800 | 5,803,200 | |
Page 2
| John Hancock Patriot Premium Dividend Fund II Securities owned by the Fund on July 31, 2006 (unaudited) |
| Lehman Brothers Holdings, Inc., 5.94%, Depositary Shares, Ser C | A- | 53,000 | 2,570,500 |
| Merrill Lynch & Co., Inc., 6.375%, Depositary Shares, Ser 3 | A- | 26,900 | 683,260 |
Life & Health Insurance 1.91% |
5,415,850 | ||
|
| |||
| MetLife, Inc., 6.50%, Ser B | BBB | 215,000 | 5,415,850 |
Multi-Utilities 9.55% |
27,097,647 | ||
|
| |||
| Baltimore Gas & Electric Co., 6.70%, Ser 1993 | BBB- | 20,250 | 2,107,266 |
| Baltimore Gas & Electric Co., 6.99%, Ser 1995 | Ba1 | 30,000 | 3,130,314 |
| BGE Capital Trust II, 6.20% | BBB- | 205,300 | 4,662,363 |
| PNM Resources, Inc., 6.75%, Conv | BBB- | 67,896 | 3,345,915 |
| Public Service Electric & Gas Co., 4.08%, Ser A | BB+ | 5,000 | 408,750 |
| Public Service Electric & Gas Co., 4.18%, Ser B | BB+ | 13,677 | 1,063,387 |
| Public Service Electric & Gas Co., 6.92% | BB+ | 47,998 | 4,796,800 |
| SEMPRA Energy, $4.36 | BBB+ | 19,250 | 1,529,605 |
| SEMPRA Energy, $4.75, Ser 53 | BBB+ | 6,305 | 515,434 |
| South Carolina Electric & Gas Co., 6.52% | Baa1 | 55,000 | 5,537,813 |
Oil & Gas Exploration & Production 4.98% |
14,140,999 | ||
|
| |||
| Anadarko Petroleum Corp., 5.46%, Depositary Shares, Ser B | BBB- | 20,000 | 1,875,000 |
| Apache Corp., 5.68%, Depositary Shares, Ser B | BBB | 51,500 | 5,014,813 |
| Devon Energy Corp., 6.49%, Ser A | BB+ | 50,645 | 5,129,391 |
| Nexen, Inc., 7.35% (Canada) | BB+ | 84,500 | 2,121,795 |
Other Diversified Financial Services 3.08% |
8,755,371 | ||
|
| |||
| Citigroup, Inc., 6.213%, Depositary Shares, Ser G | A | 96,000 | 4,900,800 |
| Citigroup, Inc., 6.231%, Depositary Shares, Ser H | A | 56,400 | 2,893,884 |
| Citigroup, Inc., 6.365%, Depositary Shares, Ser F | A | 18,900 | 960,687 |
Specialized Finance 0.18% |
504,000 | ||
|
| |||
| CIT Group, Inc., 6.35%, Ser A | BBB+ | 20,000 | 504,000 |
Thrifts & Mortgage Finance 0.19% |
526,876 | ||
|
| |||
| Sovereign Bancorp, Inc., 7.30%, Depositary Shares, Ser C | BB+ | 20,000 | 526,876 |
Trucking 0.49% |
1,397,000 | ||
|
| |||
| AMERCO, 8.50%, Ser A | CCC+ | 55,000 | 1,397,000 |
| Interest | Par value | ||
| Issuer, description, maturity date | rate (%) | ($000) | Value |
| Short-term investments 4.82% | $13,688,000 | ||
|
| |||
| (Cost $13,688,000) | |||
| Commercial Paper 4.82% | 13,688,000 | ||
|
| |||
| Chevron Funding Corp., 8-1-06 | 5.150 | 13,688 | 13,688,000 |
|
| |||
| Total investments 100.00% | $283,880,166 | ||
Page 3
| John Hancock Patriot Premium Dividend Fund II Footnotes to Schedule of Investments July 31, 2006 (unaudited) |
(A) Credit ratings are unaudited and are rated by Moody's Investors Service where Standard & Poor's ratings are not available [unless indicated otherwise].
(B) This security is fair valued in good faith under procedures established by the Board of Trustees.
(G) Security rated internally by John Hancock Advisers, LLC.
(I) Non-income-producing security.
(S) This security is exempt from registration under Rule 144A of the Securities Act of 1933. Such security may be resold, normally to qualified institutional buyers, in transactions exempt from registration. Rule 144A securities amounted to $3,462,563 or 1.22% of the Fund's total investments as of July 31, 2006.
Parenthetical disclosure of a foreign country in the security description represents country of a foreign issuer.
The percentage shown for each investment category is the total value of that category as a percentage of the total investments of the Fund.
The cost of investments owned on July 31, 2006, including short-term investments, was $262,522,897. Gross unrealized appreciation and depreciation of investments aggregated $26,553,794 and $5,196,525, respectively, resulting in net unrealized appreciation of $21,357,269.
Footnotes to Schedule of Investments - Page 1
|
ITEM 2. CONTROLS AND PROCEDURES. |
(a) Based upon their evaluation of the registrant's disclosure controls and procedures as conducted within 90 days of the filing date of this Form N-Q, the registrant's principal executive officer and principal financial officer have concluded that those disclosure controls and procedures provide reasonable assurance that the material information required to be disclosed by the registrant on this report is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission's rules and forms.
(b) There were no changes in the registrant's internal control over financial reporting that occurred during the registrant's last fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting.
| ITEM 3.
EXHIBITS. |
Separate certifications for the registrant's principal executive officer and principal financial officer, as required by Rule 30a-2(a) under the Investment Company Act of 1940, are attached.
| 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.
| John Hancock Patriot Premium
Dividend Fund II |
| By: /s/ Keith F. Hartstein
------------------------------------- Keith F. Hartstein President and Chief Executive Officer Date: September 26, 2006 |
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/ Keith F. Hartstein
------------------------------------- Keith F. Hartstein President and Chief Executive Officer Date: September 26, 2006 |
By: /s/ John G. Vrysen
-------------------------------------
John G. Vrysen
Executive Vice President and Chief Financial
Officer
| Date: September 26,
2006 |