13F-HR 1 hwcm4q10.txt HOTCHKIS & WILEY CAPITAL MANAGEMENT LLC UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 13F Form 13F COVER PAGE Report for the Calendar Year or Quarter Ended: December 31, 2010 Check here if Amendment [ ]; Amendment Number: This Amendment (Check only one.): [ ] is a restatement. [ ] adds new holdings entries. Institutional Investment Manager Filing this Report: Name: Hotchkis and Wiley Capital Management, LLC Address: 725 South Figueroa Street, 39th Floor Los Angeles, CA 90017-5439 13F File Number: 028-10068 The institutional investment manager filing this report and the person by whom it is signed hereby represent that the person signing the report is authorized to submit it, that all information contained herein is true, correct and complete, and that it is understood that all required items, statements, schedules, lists, and tables, are considered integral parts of this form. Person Signing this Report on Behalf of Reporting Manager: Name: Tina H. Kodama Title: Chief Compliance Officer Phone: 213-430-1897 Signature, Place, and Date of Signing: /s/ Tina H. Kodama Los Angeles, CA January 28, 2011 Report Type (Check only one.): [ X] 13F HOLDINGS REPORT. [ ] 13F NOTICE. [ ] 13F COMBINATION REPORT. FORM 13F SUMMARY PAGE Report Summary: Number of Other Included Managers: 0 Form 13F Information Table Entry Total: 150 Form 13F Information Table Value Total: $17,452,688 (thousands) List of Other Included Managers: Provide a numbered list of the name(s) and Form 13F file number(s) of all institutional managers with respect to which this report is filed, other than the manager filing this report. NONE FORM 13F INFORMATION TABLE VALUE SHARES/ SH/ PUT/ INVSTMT OTHER VOTING AUTHORITY NAME OF ISSUER TITLE OF CLASS CUSIP (x$1000) PRN AMT PRN CALL DSCRETN MANAGERS SOLE SHARED NONE ------------------------------ ---------------- --------- -------- -------- --- ---- ------- ------------ -------- -------- -------- ACCENTURE PLC IRELAND SHS CLASS A G1151C101 20232 417245 SH SOLE 47700 0 369545 ADVANCED MICRO DEVICES INC NOTE 6.000% 5/0 007903AL1 2002 1977000 PRN SOLE 1977000 0 0 AIR T INC COM 009207101 338 34800 SH SOLE 34800 0 0 ALLIANT TECHSYSTEMS INC COM 018804104 25902 348000 SH SOLE 164700 0 183300 ALLSTATE CORP COM 020002101 376379 11806127 SH SOLE 5671910 0 6134217 ARRIS GROUP INC COM 04269Q100 74076 6602118 SH SOLE 3812600 0 2789518 ARVINMERITOR INC FRNT 4.000% 2/1 043353AH4 2918 2650000 PRN SOLE 2650000 0 0 ASSOCIATED BANC CORP COM 045487105 12157 802474 SH SOLE 256800 0 545674 BANK OF AMERICA CORPORATION COM 060505104 350985 26310718 SH SOLE 11510130 0 14800588 BOEING CO COM 097023105 33946 520167 SH SOLE 123100 0 397067 BRISTOW GROUP INC COM 110394103 16681 352300 SH SOLE 95300 0 257000 CA INC COM 12673P105 629094 25740325 SH SOLE 13008804 0 12731521 CAPITAL ONE FINL CORP COM 14040H105 240224 5644357 SH SOLE 2882400 0 2761957 CAPLEASE INC COM 140288101 11183 1921400 SH SOLE 624900 0 1296500 CARNIVAL CORP PAIRED CTF 143658300 19179 415947 SH SOLE 42200 0 373747 CELANESE CORP DEL COM SER A 150870103 301503 7323361 SH SOLE 4635900 0 2687461 CHESAPEAKE ENERGY CORP NOTE 2.250%12/1 165167CB1 3527 4500000 PRN SOLE 4500000 0 0 CIRCOR INTL INC COM 17273K109 4431 104800 SH SOLE 24800 0 80000 CITIGROUP INC COM 172967101 378630 80048596 SH SOLE 36320771 0 43727825 CITIGROUP INC UNIT 99/99/9999 172967416 4880 35700 PRN SOLE 35700 0 0 CNO FINL GROUP INC COM 12621E103 82013 12096323 SH SOLE 7587100 0 4509223 COBALT INTL ENERGY INC COM 19075F106 90026 7373100 SH SOLE 4928600 0 2444500 COMCAST CORP NEW CL A SPL 20030N200 270926 13019036 SH SOLE 6238600 0 6780436 CONOCOPHILLIPS COM 20825C104 601258 8829048 SH SOLE 3910835 0 4918213 CON-WAY INC COM 205944101 144161 3942051 SH SOLE 2489100 0 1452951 COVIDIEN PLC SHS G2554F105 82181 1799840 SH SOLE 258300 0 1541540 CUMMINS INC COM 231021106 54297 493560 SH SOLE 66500 0 427060 CVS CAREMARK CORPORATION COM 126650100 196509 5651678 SH SOLE 2292800 0 3358878 DIAMOND HILL FINL TRNDS FD I COM 25264C101 845 86100 SH SOLE 86100 0 0 DISCOVER FINL SVCS COM 254709108 58105 3135700 SH SOLE 2374600 0 761100 EDISON INTL COM 281020107 297508 7707450 SH SOLE 4072311 0 3635139 EMBRAER S A SP ADR REP 4 COM 29082A107 138653 4716104 SH SOLE 2832100 0 1884004 EMPLOYERS HOLDINGS INC COM 292218104 14088 805926 SH SOLE 248000 0 557926 EXELON CORP COM 30161N101 467084 11217191 SH SOLE 5301500 0 5915691 EXXON MOBIL CORP COM 30231G102 475 6500 SH SOLE 6500 0 0 FEDEX CORP COM 31428X106 97320 1046341 SH SOLE 153100 0 893241 FIFTH THIRD BANCORP COM 316773100 47008 3202200 SH SOLE 2423800 0 778400 FIRST FINL HLDGS INC COM 320239106 3587 311599 SH SOLE 105000 0 206599 FIRST HORIZON NATL CORP COM 320517105 35049 2975292 SH SOLE 1569772 0 1405519 FIRST INTST BANCSYSTEM INC COM CL A 32055Y201 12587 825927 SH SOLE 272100 0 553827 FURNITURE BRANDS INTL INC COM 360921100 10347 2013000 SH SOLE 702300 0 1310700 GAP INC DEL COM 364760108 368179 16629599 SH SOLE 8749000 0 7880599 GENERAL MTRS CO COM 37045V100 72295 1961343 SH SOLE 284300 0 1677043 GENWORTH FINL INC COM CL A 37247D106 266460 20278501 SH SOLE 10166100 0 10112401 GLOBAL INDEMNITY PLC SHS G39319101 33288 1627762 SH SOLE 565896 0 1061866 GLOBAL PMTS INC COM 37940X102 13549 293200 SH SOLE 100300 0 192900 GOODYEAR TIRE & RUBR CO COM 382550101 69374 5854329 SH SOLE 3390500 0 2463829 GREAT PLAINS ENERGY INC COM 391164100 109588 5651805 SH SOLE 3250700 0 2401105 HANOVER INS GROUP INC COM 410867105 4831 103400 SH SOLE 33800 0 69600 HARLEY DAVIDSON INC COM 412822108 114113 3291400 SH SOLE 2303000 0 988400 HARTFORD FINL SVCS GROUP INC COM 416515104 75835 2862765 SH SOLE 1339400 0 1523365 HARTFORD FINL SVCS GROUP INC DEP CONV PFD 416515708 4740 185100 PRN SOLE 185100 0 0 HAYNES INTERNATIONAL INC COM NEW 420877201 15327 366400 SH SOLE 133300 0 233100 HEIDRICK & STRUGGLES INTL IN COM 422819102 20597 718916 SH SOLE 220300 0 498616 HERITAGE FINL GROUP INC COM 42726X102 322 25900 SH SOLE 25900 0 0 HEWLETT PACKARD CO COM 428236103 575390 13667224 SH SOLE 6159100 0 7508124 HOME DEPOT INC COM 437076102 245788 7010488 SH SOLE 2956134 0 4054354 HOME FED BANCORP INC MD COM 43710G105 2098 171000 SH SOLE 0 0 171000 HONEYWELL INTL INC COM 438516106 18085 340200 SH SOLE 340200 0 0 HORIZON LINES INC NOTE 4.250% 8/1 44044KAB7 5349 5775000 PRN SOLE 5775000 0 0 HUDSON HIGHLAND GROUP INC COM 443792106 28100 4819855 SH SOLE 2575100 0 2244755 INTERNATIONAL BUSINESS MACHS COM 459200101 276757 1885778 SH SOLE 878574 0 1007204 INTERPUBLIC GROUP COS INC COM 460690100 90941 8563155 SH SOLE 2650172 0 5912983 ISHARES TR RUSL 2000 VALU 464287630 2474 34800 SH SOLE 34800 0 0 ISHARES TR RUSSELL 2000 464287655 3129 40000 SH SOLE 40000 0 0 JACK IN THE BOX INC COM 466367109 1837 86928 SH SOLE 0 0 86928 JOHNSON & JOHNSON COM 478160104 154325 2495143 SH SOLE 899439 0 1595704 JOHNSON CTLS INC COM 478366107 63749 1668828 SH SOLE 241500 0 1427328 JONES GROUP INC COM 48020T101 119017 7658761 SH SOLE 4855800 0 2802961 JPMORGAN CHASE & CO COM 46625H100 632358 14907075 SH SOLE 6646477 0 8260598 KAISER ALUMINUM CORP COM PAR $0.01 483007704 7534 150400 SH SOLE 52200 0 98200 KEYCORP NEW COM 493267108 109136 12331784 SH SOLE 5993541 0 6338243 KINETIC CONCEPTS INC COM NEW 49460W208 104968 2506400 SH SOLE 1596400 0 910000 KING PHARMACEUTICALS INC COM 495582108 66197 4711500 SH SOLE 3301400 0 1410100 KRAFT FOODS INC CL A 50075N104 35901 1139360 SH SOLE 163621 0 975739 KSW INC COM 48268R106 198 54300 SH SOLE 54300 0 0 LAKES ENTMNT INC COM 51206P109 1951 684500 SH SOLE 381500 0 303000 LIFEPOINT HOSPITALS INC COM 53219L109 10742 292300 SH SOLE 214800 0 77500 LILLY ELI & CO COM 532457108 329635 9407399 SH SOLE 4345516 0 5061883 LOCKHEED MARTIN CORP COM 539830109 543754 7777918 SH SOLE 3656144 0 4121774 LORILLARD INC COM 544147101 52457 639253 SH SOLE 235600 0 403653 MAGNA INTL INC COM 559222401 19412 373300 SH SOLE 282400 0 90900 MANPOWER INC COM 56418H100 72224 1150800 SH SOLE 836700 0 314100 MARATHON OIL CORP COM 565849106 215498 5819554 SH SOLE 2521800 0 3297754 MAXIM INTEGRATED PRODS INC COM 57772K101 2683 113600 SH SOLE 113600 0 0 MCDONALDS CORP COM 580135101 1881 24500 SH SOLE 0 0 24500 MERCK & CO INC NEW COM 58933Y105 154850 4296604 SH SOLE 1990184 0 2306420 METLIFE INC COM 59156R108 221366 4981223 SH SOLE 2509782 0 2471441 MI DEVS INC CL A SUB VTG 55304X104 130739 4824300 SH SOLE 3220300 0 1604000 MICROSOFT CORP COM 594918104 300278 10754952 SH SOLE 4878228 0 5876724 MILLER INDS INC TENN COM NEW 600551204 25166 1768490 SH SOLE 814398 0 954092 NATIONAL SEMICONDUCTOR CORP COM 637640103 24275 1764200 SH SOLE 1332800 0 431400 NESS TECHNOLOGIES INC COM 64104X108 12745 2145639 SH SOLE 719600 0 1426039 NEXTERA ENERGY INC COM 65339F101 499 9600 SH SOLE 9600 0 0 NORANDA ALUM HLDG CORP COM 65542W107 49257 3373800 SH SOLE 1275900 0 2097900 NORTHROP GRUMMAN CORP COM 666807102 233273 3601000 SH SOLE 1603364 0 1997636 NOVARTIS A G SPONSORED ADR 66987V109 87373 1482148 SH SOLE 588700 0 893448 NOVELL INC COM 670006105 23859 4030200 SH SOLE 2363500 0 1666700 NXP SEMICONDUCTORS N V COM N6596X109 57687 2756200 SH SOLE 2088200 0 668000 ON SEMICONDUCTOR CORP COM 682189105 70024 7087400 SH SOLE 4336300 0 2751100 ORACLE CORP COM 68389X105 68775 2197278 SH SOLE 323600 0 1873678 OVERHILL FARMS INC COM 690212105 15732 2721752 SH SOLE 1302400 0 1419352 PACCAR INC COM 693718108 188724 3286728 SH SOLE 1350500 0 1936228 PENNEY J C INC COM 708160106 365663 11317318 SH SOLE 5691293 0 5626025 PEPSICO INC COM 713448108 37668 576580 SH SOLE 109480 0 467100 PETROQUEST ENERGY INC COM 716748108 3049 404900 SH SOLE 128700 0 276200 PFIZER INC COM 717081103 280784 16035618 SH SOLE 7217723 0 8817895 PHH CORP COM NEW 693320202 83400 3602600 SH SOLE 2101200 0 1501400 PHILIP MORRIS INTL INC COM 718172109 183396 3133370 SH SOLE 1673258 0 1460112 PNC FINL SVCS GROUP INC COM 693475105 272106 4481317 SH SOLE 2047284 0 2434033 PORTLAND GEN ELEC CO COM NEW 736508847 79988 3686100 SH SOLE 2290300 0 1395800 PPG INDS INC COM 693506107 224844 2674491 SH SOLE 1197135 0 1477356 PPL CORP COM 69351T106 13152 499700 SH SOLE 378400 0 121300 PRIMERICA INC COM 74164M108 211 8700 SH SOLE 0 0 8700 PRUDENTIAL FINL INC COM 744320102 52799 899311 SH SOLE 131600 0 767711 PUBLIC SVC ENTERPRISE GROUP COM 744573106 206187 6481821 SH SOLE 2796003 0 3685818 QUIKSILVER INC COM 74838C106 16708 3295400 SH SOLE 1071700 0 2223700 REGIONS FINANCIAL CORP NEW COM 7591EP100 127154 18164800 SH SOLE 13232600 0 4932200 RENT A CTR INC NEW COM 76009N100 78978 2446642 SH SOLE 1541600 0 905042 ROYAL DUTCH SHELL PLC SPON ADR B 780259107 518392 7775496 SH SOLE 3228284 0 4547212 RPM INTL INC COM 749685103 14358 649697 SH SOLE 398397 0 251300 SAFEWAY INC COM NEW 786514208 250636 11144349 SH SOLE 5971100 0 5173249 SAIA INC COM 78709Y105 3656 220349 SH SOLE 8200 0 212149 STONE ENERGY CORP COM 861642106 81209 3643306 SH SOLE 2156200 0 1487106 SUNTRUST BKS INC COM 867914103 93121 3155564 SH SOLE 1603000 0 1552564 SUPERVALU INC COM 868536103 56467 5863626 SH SOLE 4434900 0 1428726 SYMANTEC CORP COM 871503108 12254 732000 SH SOLE 550500 0 181500 SYMETRA FINL CORP COM 87151Q106 42629 3111610 SH SOLE 1057000 0 2054610 SYNOVUS FINL CORP COM 87161C105 28891 10943466 SH SOLE 7297200 0 3646266 TEREX CORP NEW COM 880779103 41643 1341600 SH SOLE 642100 0 699500 TERRITORIAL BANCORP INC COM 88145X108 328 16479 SH SOLE 5700 0 10779 TIME WARNER CABLE INC COM 88732J207 66065 1000532 SH SOLE 144700 0 855832 TRAVELERS COMPANIES INC COM 89417E109 2200 39491 SH SOLE 39491 0 0 TREE COM INC COM 894675107 2340 247900 SH SOLE 247900 0 0 TYCO ELECTRONICS LTD SWITZER SHS H8912P106 304766 8609217 SH SOLE 4222825 0 4386392 TYCO INTERNATIONAL LTD SHS H89128104 173106 4177267 SH SOLE 1619200 0 2558067 UNIVERSAL STAINLESS & ALLOY COM 913837100 9510 304035 SH SOLE 112900 0 191135 UNUM GROUP COM 91529Y106 35343 1459250 SH SOLE 1010550 0 448700 VALASSIS COMMUNICATIONS INC COM 918866104 171549 5302891 SH SOLE 3387500 0 1915391 VODAFONE GROUP PLC NEW SPONS ADR NEW 92857W209 464280 17566399 SH SOLE 7978001 0 9588398 WAL MART STORES INC COM 931142103 223295 4140461 SH SOLE 1623286 0 2517175 WALTER INVT MGMT CORP COM 93317W102 6632 369700 SH SOLE 122300 0 247400 WEBSTER FINL CORP CONN COM 947890109 20133 1021982 SH SOLE 303800 0 718182 WEIGHT WATCHERS INTL INC NEW COM 948626106 1781 47500 SH SOLE 0 0 47500 WELLS FARGO & CO NEW COM 949746101 594998 19199679 SH SOLE 8625766 0 10573913 WESTAR ENERGY INC COM 95709T100 20732 824000 SH SOLE 299000 0 525000 WESTWOOD ONE INC COM NEW 961815305 195 21319 SH SOLE 11418 0 9901 WILMINGTON TRUST CORP COM 971807102 1293 297908 SH SOLE 94800 0 203108 XL GROUP PLC SHS G98290102 332810 15252517 SH SOLE 7624800 0 7627717 ZIMMER HLDGS INC COM 98956P102 13007 242300 SH SOLE 183300 0 59000