Ticker	Issuer	Shares	Value	%	Share Price	Est. Cost/Share	Unrealized @ Report Date	Class	CUSIP
PGR	Progressive Corp.-Ohio	632,908	$17.23M	16.6%	$27.23 *	$17.04	+7.7%	COM	743315103
SYK	Stryker Corp.	85,100	$5.752M	5.5%	$67.59 *	$56.92	+2.6%	COM	863667101
—	E. I. duPont de Nemours & Co.	81,070	$4.747M	4.6%	$58.55	$52.50	—	COM	263534109
—	General Electric Co.	193,889	$4.632M	4.4%	$23.89	$23.19	—	COM	369604103
JNJ	Johnson & Johnson	49,238	$4.268M	4.1%	$86.68 *	$59.66	+3.4%	COM	478160104
EMR	Emerson Electric Co.	58,000	$3.753M	3.6%	$64.71 *	$40.02	+16.2%	COM	291011104
BMY	Bristol Myers Co.	73,220	$3.389M	3.3%	$46.29 *	$28.67	+7.5%	COM	110122108
—	Unilever PLC	84,780	$3.271M	3.1%	$38.58	$40.44	—	COM	904767704
IBM	IBM	15,564	$2.882M	2.8%	$185.17 *	$118.94	-8.5%	COM	459200101
MRK	Merck & Co., Inc.	58,100	$2.766M	2.7%	$47.61 *	$30.02	+3.4%	COM	58933Y105
PFE	Pfizer, Inc.	91,608	$2.632M	2.5%	$28.73 *	$16.46	-0.2%	COM	717081103
KLAC	KLA Tencor Corp.	40,700	$2.477M	2.4%	$60.86 *	$33.95	+12.7%	COM	482480100
INTC	Intel Corp.	107,760	$2.47M	2.4%	$22.92 *	$17.18	-1.7%	COM	458140100
NUE	Nucor Corp.	48,850	$2.395M	2.3%	$49.03 *	$32.41	+12.2%	COM	670346105
XOM	Exxon Mobil	26,756	$2.302M	2.2%	$86.04 *	$53.69	-3.4%	COM	30231G102
MSFT	Microsoft Corp.	68,800	$2.289M	2.2%	$33.27 *	$26.71	+2.6%	COM	594918104
—	Plum Creek Timber	47,700	$2.234M	2.1%	$46.83	$46.66	—	COM	729251108
CSCO	Cisco Systems	93,000	$2.179M	2.1%	$23.43 *	$15.24	+4.9%	COM	17275R102
ABBV	AbbVie Inc.	41,600	$1.861M	1.8%	$44.74 *	$26.55	+3.3%	COM	00287Y109
—	Vodafone Group ADR	49,400	$1.738M	1.7%	$35.18	$28.74	—	COM	92857T107
UPS	United Parcel Service, Inc.	18,550	$1.695M	1.6%	$91.37 *	$55.38	+7.6%	COM	911312106
KO	Coca Cola Co.	42,600	$1.613M	1.5%	$37.86 *	$27.85	-7.3%	COM	191216100
—	EMC Corp.	62,100	$1.587M	1.5%	$25.56	$23.61	—	COM	268648102
VZ	Verizon Communications	33,080	$1.544M	1.5%	$46.67 *	$27.04	-7.6%	COM	92343V104
MRSH	Marsh & McLennan Companies Inc	34,800	$1.516M	1.5%	$43.56 *	$31.19	+12.3%	COM	571748102
—	Hewlett Packard	70,600	$1.482M	1.4%	$20.99	$24.80	—	COM	428236103
PHG	Koninklijke Philips NV	45,691	$1.473M	1.4%	$32.24	$28.45	+13.4%	COM	500472303
ABT	Abbott Laboratories	41,600	$1.38M	1.3%	$33.17 *	$28.85	-9.1%	COM	002824100
MAS	Masco Corp.	64,800	$1.379M	1.3%	$21.28 *	$14.92	+4.3%	COM	574599106
PG	Procter & Gamble Company	17,500	$1.323M	1.3%	$75.60 *	$55.00	-2.8%	COM	742718109
—	GlaxoSmithKline	23,700	$1.189M	1.1%	$50.17	$49.96	—	COM	37733W105
TMO	Thermo Fisher Scientific	12,500	$1.152M	1.1%	$92.16 *	$79.76	+11.0%	COM	883556102
ING	ING Groep NV	98,000	$1.112M	1.1%	$11.35	$8.55	+32.7%	COM	456837103
TAP	Molson Coors Brewery	21,900	$1.098M	1.1%	$50.14 *	$37.25	+0.1%	COM	60871R209
A	Agilent Technologies	21,400	$1.097M	1.1%	$51.26 *	$27.97	+18.6%	COM	00846U101
—	Symantec Corp.	42,500	$1.052M	1.0%	$24.75	$22.47	—	COM	871503108
AAPL	Apple Computer	2,105	$1.004M	1.0%	$476.96 *	$13.18	+11.5%	COM	037833100
WLY	John Wiley & Sons Inc. A	20,000	$954K	0.9%	$47.70 *	$27.09	+24.2%	COM	968223206
—	Staples Inc.	64,000	$938K	0.9%	$14.66	$15.88	—	COM	855030102
NTRS	Northern Trust Corporation	14,700	$799K	0.8%	$54.35 *	$40.35	-1.8%	COM	665859104
AMAT	Applied Materials Inc.	40,000	$701K	0.7%	$17.52 *	$12.22	+22.0%	COM	038222105
—	Deutsche Bank Capital Funding	28,000	$690K	0.7%	$24.64	$25.04	—	PFD	25153Y206
PCRIX	Pimco Commodity Real Return -	120,000	$685K	0.7%	$5.71	$5.53	—	-	722005667
—	Embraer-EmpresaBrasileira	12,000	$390K	0.4%	$32.50	$36.92	—	COM	29081M102
CVX	Chevron Corp.	3,050	$371K	0.4%	$121.64 *	$71.30	+1.8%	COM	166764100
—	Royal Dutch Shell	5,500	$361K	0.3%	$65.64	$63.77	—	COM	780259206
BP	BP Amoco PLC	5,760	$242K	0.2%	$42.01	$42.56	-1.2%	COM	055622104