UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES

RIVERSOURCE LASALLE INTERNATIONAL REAL ESTATE FUND, INC.

 

(Exact name of registrant as specified in charter)

50606 Ameriprise Financial Center, Minneapolis, Minnesota		55474
(Address of principal executive offices)		(Zip code)

Scott R. Plummer - 5228 Ameriprise Financial Center, Minneapolis, MN 55474

(Name and address of agent for service)

Registrant’s telephone number, including area code: (612) 671-1947

Date of fiscal year end: 12/31

Date of reporting period: 9/30

 

 

Portfolio of Investments
RiverSource LaSalle International Real Estate Fund
(formerly Seligman LaSalle International Real Estate Fund)
Sept. 30, 2009 (Unaudited)

(Percentages represent value of investments compared to net assets)

Investments in Securities

Common Stocks (97.3%)(c)

Issuer		Shares				Value(a)
Australia (20.9%)
Abacus Property Group			940,974			$	365,177
Dexus Property Group			3,538,882				2,637,523
GPT Group			3,705,444				2,238,743
Stockland			1,342,920				4,832,633
Westfield Group			685,861				8,408,614
Total							18,482,690
Belgium (0.5%)
Cofinimmo			2,879				402,355
Bermuda (1.5%)
Hongkong Land Holdings			316,128				1,375,157
Canada (3.0%)
Canadian Real Estate Investment Trust			79,700				1,921,022
RioCan Real Estate Investment Trust			45,600				766,817
Total							2,687,839
Finland (0.7%)
Citycon			35,752	(d)			151,695
Sponda			101,407	(b)			402,078
Technopolis			17,169	(d)			90,181
Total							643,954
France (9.9%)
Klepierre			31,189	(d)			1,236,871
Mercialys			18,005				715,215
Unibail-Rodamco			33,135	(d)			6,881,703
Total							8,833,789
Germany (0.7%)
Deutsche Euroshop			18,478				647,491
Hong Kong (5.3%)
Great Eagle Holdings			40,000				98,787
Hysan Development			555,368				1,390,212
Link REIT			1,472,115				3,240,553
Total							4,729,552
Japan (12.9%)
Frontier Real Estate Investment			85				658,151
Japan Logistics Fund			137				1,114,206
Japan Real Estate Investment			300	(d)			2,453,236
Japan Retail Fund Investment			418	(d)			2,267,917
Mitsui Fudosan			98,000				1,658,463

Issuer		Shares				Value(a)
Nippon Building Fund			175				1,561,682
NTT Urban Development			1,918	(d)			1,760,750
Total							11,474,405
Netherlands (7.5%)
Corio			41,765				2,879,941
Eurocommercial Properties			28,979				1,147,320
VastNed Retail			7,717				496,679
Wereldhave			21,938				2,160,159
Total							6,684,099
Singapore (2.3%)
CapitaLand			214,000	(d)			565,283
CapitaMall Trust			1,128,066				1,481,889
Total							2,047,172
Sweden (1.8%)
Castellum			46,795	(d)			453,260
Hufvudstaden Cl A			139,911				1,124,305
Total							1,577,565
Switzerland (1.2%)
PSP Swiss Property			18,546	(b,d)			1,073,949
United Kingdom (10.9%)
British Land			295,955				2,247,372
Development Securities			8,187	(b)			43,936
Development Securities			34,906				188,813
Great Portland Estates			168,684				713,511
Hammerson			255,282				1,608,495
Helical Bar			31,087				186,337
Land Securities Group			271,083				2,707,417
Segro			187,551				1,101,411
Shaftesbury			150,995				862,121
Total							9,659,413
United States (18.2%)
Acadia Realty Trust			49,400				744,458
AMB Property			28,300				649,485
AvalonBay Communities			13,900	(d)			1,010,947
BioMed Realty Trust			94,000				1,297,200
Camden Property Trust			27,000				1,088,100
DCT Industrial Trust			128,000				654,080
Essex Property Trust			13,177	(d)			1,048,626
Federal Realty Investment Trust			22,597	(d)			1,386,778
Host Hotels & Resorts			77,784				915,518
Macerich			1,245	(d)			37,761
Mack-Cali Realty			37,000				1,196,210
Public Storage			10,130				762,181
Senior Housing Properties Trust			53,000	(d)			1,012,830
Simon Property Group			14,875	(d)			1,032,771
SL Green Realty			26,000	(d)			1,140,100
Taubman Centers			25,479	(d)			919,282
Ventas			32,792				1,262,492
Vornado Realty Trust			—				31
Total							16,158,850
Total Common Stocks (Cost: $88,383,380)						$	86,478,280

Closed-End Funds (0.9%)(c)

Issuer		Shares				Value(a)
Luxembourg
ProLogis European Properties			121,996	(b)		$	759,663
Total Closed-End Funds (Cost: $1,454,524)						$	759,663
Money Market Fund (0.2%)

		Shares				Value(a)
RiverSource Short-Term Cash Fund, 0.28%			188,787	(e)		$	188,787
Total Money Market Fund (Cost: $188,787)						$	188,787

Investments of Cash Collateral Received for Securities on Loan (18.5%)

		Shares				Value(a)
Cash Collateral Reinvestment Fund
JPMorgan Prime Money Market Fund			16,482,284			$	16,482,284
Total Investments of Cash Collateral Received for Securities on Loan (Cost: $16,482,284)						$	16,482,284
Total Investments in Securities (Cost: $106,508,975)(f)						$	103,909,014

Summary of Investments in Securities by Industry

The following table represents the portfolio investments of the Fund by industry classifications as a percentage of total net assets at Sept. 30, 2009:

		Percentage of net
Industry		assets				Value
Real Estate Investment Trust (REITs)			84.6	%		$	75,267,583
Real Estate Management & Development			13.5				11,970,360
Other(1)			18.7				16,671,071
Total						$	103,909,014

Notes to Portfolio of Investments

(a)		Securities are valued by using policies described in Note 2 to the financial statements in the most recent Semiannual Report dated June 30, 2009.
(b)		Non-income producing.
(c)		Foreign security values are stated in U.S. dollars.
(d)		At Sept. 30, 2009, security was partially or fully on loan.
(e)		Affiliated Money Market Fund — The Fund may invest its daily cash balance in RiverSource Short-Term Cash Fund, a money market fund established for the exclusive use of the RiverSource funds and other institutional clients of RiverSource Investments. The rate shown is the seven-day current annualized yield at Sept. 30, 2009.
(f)		At Sept. 30, 2009, the cost of securities for federal income tax purposes was approximately $106,509,000 and the approximate aggregate gross unrealized appreciation and depreciation based on that cost was:

Unrealized appreciation		$	6,319,000
Unrealized depreciation			(8,919,000	)
Net unrealized depreciation		$	(2,600,000	)

The industries identified above are based on the Global Industry Classification Standard (GICS), which was developed by and is the exclusive property of Morgan Stanley Capital International Inc. and Standard & Poor’s, a division of The McGraw-Hill Companies, Inc.

Fair Value Measurements

Generally accepted accounting principles (GAAP) require disclosure regarding the inputs and valuation techniques used to measure fair value and any changes in valuation inputs or techniques. In addition, investments shall be disclosed by major category.

The Fund categorizes its fair value measurements according to a three-level hierarchy that maximizes the use of observable inputs and minimizes the use of unobservable inputs by prioritizing that the most observable input be used when available. Observable inputs are those that market participants would use in pricing an investment based on market data obtained from sources independent of the reporting entity. Unobservable inputs are those that reflect the Fund’s assumptions about the information market participants would use in pricing an investment. An investment’s level within the fair value hierarchy is based on the lowest level of any input that is deemed significant to the asset or liability’s fair value measurement. The input levels are not necessarily an indication of the risk or liquidity associated with investments at that level. For example, certain U.S. government securities are generally high quality and liquid, however, they are reflected as Level 2 because the inputs used to determine fair value may not always be quoted prices in an active market.

Fair value inputs are summarized in the three broad levels listed below:

	•		Level 1 — Valuations based on quoted prices for investments in active markets that the Fund has the ability to access at the measurement date. Valuation adjustments are not applied to Level 1 investments.
	•		Level 2 — Valuations based on other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risks, etc.).
	•		Level 3 — Valuations based on significant unobservable inputs (including the Fund’s own assumptions and judgment in determining the fair value of investments).

Inputs that are used in determining fair value of an investment may include price information, credit data, volatility statistics, and other factors. These inputs can be either observable or unobservable. The availability of observable inputs can vary between investments, and is affected by various factors such as the type of investment, and the volume and level of activity for that investment or similar investments in the marketplace. The inputs will be considered by the Fund Administrator, along with any other relevant factors in the calculation of an investment’s fair value. The Fund uses prices and inputs that are current as of the measurement date, which may include periods of market dislocations. During these periods, the availability of prices and inputs may be reduced for many investments. This condition could cause an investment to be reclassified between the various levels within the hierarchy.

Non-U.S. equity securities actively traded in foreign markets may be reflected in Level 2 despite the availability of closing prices, because the Fund evaluates and determines whether those closing prices reflect fair value at the close of the New York Stock Exchange (NYSE) or require adjustment, as described in Note 2 to the financial statements — Valuation of securities in the most recent Semiannual Report dated June 30, 2009.

Investments falling into the Level 3 category are primarily supported by quoted prices from brokers and dealers participating in the market for those investments. However, these may be classified as Level 3 investments due to lack of market transparency and corroboration to support these quoted prices. Additionally, valuation models may be used as the pricing source for any remaining investments classified as Level 3. These models rely on one or more significant unobservable inputs and/or significant assumptions by the Fund Administrator. Inputs used in a valuation model may include, but are not limited to, financial statement analysis, discount rates and estimated cash flows, and comparable company data.

The following table is a summary of the inputs used to value the Fund’s investments as of Sept. 30, 2009:

		Fair value at Sept. 30, 2009
		Level 1				Level 2
		quoted prices				other				Level 3
		in active				significant				significant
		markets for				observable				unobservable
Description		identical assets				inputs				inputs				Total
Equity Securities
Common Stocks
Real Estate Management & Development		$	11,926,424			$	43,936			$	—			$	11,970,360
All Other Industries (a)			74,507,920				—				—				74,507,920
Total Equity Securities			86,434,344				43,936				—				86,478,280
Other
Closed-End Funds			759,663				—				—				759,663
Affiliated Money Market Fund (b)			188,787				—				—				188,787
Investments of Cash Collateral Received for Securities on Loan			16,482,284				—				—				16,482,284
Total Other			17,430,734				—				—				17,430,734
Total		$	103,865,078			$	43,936			$	—			$	103,909,014

(a)		All industry classifications are identified in the Portfolio of Investments.
(b)		Money market fund that is a sweep investment for cash balances in the Fund at Sept. 30, 2009.

Item 2. Control 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 report, the registrant’s principal financial officer and principal executive 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 certification 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.

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.

(Registrant) RiverSource LaSalle International Real Estate Fund, Inc.

By		/s/ Patrick T. Bannigan
		Patrick T. Bannigan
		President and Principal Executive Officer

Date November 25, 2009

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/ Patrick T. Bannigan
		Patrick T. Bannigan
		President and Principal Executive Officer

Date November 25, 2009

By		/s/ Jeffrey P. Fox
		Jeffrey P. Fox
		Treasurer and Principal Financial Officer

Date November 25, 2009