Edgar Filing: LMP CORPORATE LOAN FUND INC.

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED
MANAGEMENT INVESTMENT COMPANY

Investment Company Act file number		811-8985

LMP Corporate Loan Fund Inc.
(Exact name of registrant as specified in charter)

55 Water Street, New York, NY			10041
(Address of principal executive offices)			(Zip code)

Robert I. Frenkel, Esq. Legg Mason & Co., LLC 100 First Stamford Place Stamford, CT 06902
(Name and address of agent for service)

Registrant’s telephone number, including area code:		(888) 777-0102

Date of fiscal year end:	September 30

Date of reporting period:	June 30, 2009

ITEM 1. SCHEDULE OF INVESTMENTS

LMP CORPORATE LOAN FUND INC.

FORM N-Q

JUNE 30, 2009

LMP Corporate Loan Fund Inc.

Schedule of Investments (unaudited)		June 30, 2009

Face Amount		Security	Value
COLLATERALIZED SENIOR LOANS(a)(b) — 96.0%
Aerospace/Defense — 3.1%
$	905,135	Be Aerospace Inc., New Term Loan B, 5.000% due 9/30/09	$	900,609
1,325,536		CACI International Inc., Term Loan, 1.820% to 2.120% due 9/17/09	1,280,800
1,161,161		ILC Industries Inc., First Lien Term Loan, 2.310% due 7/31/09	1,019,886
500,000		McKechnie Aerospace Holdings Inc., Term Loan B, 2.310% due 7/31/09	426,500
1,536,757		Transdigm Inc., Term Loan B, 2.317% to 2.612% due 9/23/09	1,457,998
		Total Aerospace/Defense	5,085,793
Automotive — 1.8%
1,172,464		Kar Holdings, Term Loan B, 2.560% due 7/30/09	1,038,803
516,544		Keystone Automotive Industries Inc., Term Loan B, 3.818% to 5.750% due 9/30/09	245,358
		Mark IV Industries Inc.:
438,516		First Lien Term Loan, 6.060% to 6.750% due 9/30/09 (c)	106,560
247,045		Second Lien Term Loan, 9.020% to 10.350% due 9/29/09 (c)	5,327
1,777,131		Tire Rack Inc., Term Loan B, 2.060% due 7/29/09	1,590,532
		Total Automotive	2,986,580
Broadcast Radio and Television — 3.6%
1,660,715		Citadel Communication Group, Term Loan B, 2.350% to 2.930% due 9/30/09	873,259
2,785,659		National Cinemedia Inc., Term Loan B, 2.380% due 9/14/09	2,573,949
1,250,000		Univision Communications, Term Loan B, 2.560% due 7/31/09	937,946
1,620,066		Weather Channel, Term Loan, 6.250% due 9/30/09	1,626,648
		Total Broadcast Radio and Television	6,011,802
Building and Development — 5.9%
1,166,812		Beacon Sales Acquisition Inc., Term Loan B, 2.311% to 4.250% due 9/30/09	1,067,633
1,621,371		Building Materials Holding Corp., First Lien Term Loan, 3.063% due 7/23/09	1,421,132
1,627,960		Capital Automotive REIT, Term Loan, 2.070% due 7/1/09	1,264,383
597,179		Contech Construction Products Inc., Term Loan, 2.330% due 7/13/09	480,729
424,543		Custom Building Products Inc., Term Loan B, 8.000% due 9/30/09	382,089
1,112,046		Infrastrux Group Inc., Term Loan B, 4.560% due 7/31/09 (d)	986,014
989,452		Macerich Partnership L.P., Term Loan, 1.813% due 7/31/09	902,875
1,306,029		Panolam Industries International, Term Loan, 5.000% due 7/31/09	1,018,703
		Pike Electric Inc.:
906,996		Term Loan B, 1.875% due 7/13/09	807,226
1,072,688		Term Loan C, 1.875% due 7/20/09	954,693
2,500,000		South Edge LLC, Term Loan C, 5.500% due 9/30/09 (c)	500,000
		Total Building and Development	9,785,477
Business Equipment and Services — 9.0%
2,209,821		Asurion Corp., First Lien Term Loan, 3.321% to 4.016% due 8/3/09	2,077,691
1,642,434		Belfor U.S.A., Term Loan B, 3.320% to 5.250% due 9/30/09	1,564,419
1,518,440		Bright Horizons Family Solutions, Term Loan B, 6.250% to 7.500% due 9/30/09	1,383,679
		Deluxe Entertainment Service Group Inc.:
131,407		Canadian Term Loan, 2.848% due 9/30/09	107,754
74,486		Letter of Credit, 0.498% due 9/30/09	61,078
100,000		Second Lien Term Loan, 6.598% due 9/30/09	54,000
1,298,714		Term Loan, 2.560% to 2.848% due 9/30/09	1,064,946
805,185		Intralinks Inc., Term Loan, 3.060% due 7/30/09	599,863
452,572		Lender Processing Services Inc., Term Loan, 2.810% due 7/31/09	446,349
1,687,823		Metavante Corp., Term Loan B, 2.778% due 8/3/09	1,634,023
1,759,680		N.E.W. Customer Services Cos. Inc., First Lien Term Loan, 2.810% to 3.639% due 7/31/09	1,601,309
761,565		NCO Group, Term Loan, 6.500% to 7.500% due 9/30/09	677,792

See Notes to Schedule of Investments.

LMP Corporate Loan Fund Inc.

Schedule of Investments (unaudited) (continued)		June 30, 2009

Face Amount		Security	Value
Business Equipment and Services — 9.0% (continued)
$	1,687,500	Neff Corp., Second Lien Term Loan, 3.821% due 7/13/09	$	329,062
2,130,077		Riskmetrics Group Holdings LLC, Term Loan B, 2.598% due 9/30/09	1,994,284
1,097,801		U.S. Investigations Services LLC, Term Loan, 3.359% due 9/21/09	968,810
367,661		Verifone Inc., Term Loan, 3.060% due 7/31/09	334,572
		Total Business Equipment and Services	14,899,631
Cable and Satellite Television — 2.5%
1,726,041		Bragg Communications Inc., Term Loan B Tranche Two, 3.168% due 9/1/09	1,605,219
1,700,000		Insight Midwest Holdings LLC, Term Loan B, 2.320% due 7/2/09	1,586,666
995,304		Virgin Media Investment Holdings Ltd., Term loan B10, 4.600% due 7/23/09	958,602
		Total Cable and Satellite Television	4,150,487
Chemicals/Plastics — 4.8%
		Hexion Specialty Chemicals Inc.:
1,669,469		Term Loan C4, 3.313% due 8/3/09	1,136,630
786,445		Term Loan C5, 2.875% due 9/30/09	503,325
		Kik Custom Products:
94,010		Canadian Term Loan, 2.570% due 7/27/09	65,337
1,583,334		Second Lien Term Loan, 5.311% due 7/27/09	672,917
548,393		Term Loan B, 2.570% due 7/27/09	381,133
900,000		Nalco Co., Term Loan, 6.500% due 9/15/09	906,187
1,116,403		Polypore Inc., Term Loan B, 2.590% due 7/2/09	1,029,882
1,129,838		Rockwood Specialties Group Inc., Tranche E Term Loan, 4.500% due 7/31/09	1,129,838
		Texas Petrochemicals Corp.:
375,527		Letter of Credit, 2.875% due 7/1/09	236,582
1,112,571		Term Loan B, 2.875% due 7/1/09	700,920
1,434,159		Unifrax Corp., Term Loan B, 2.563% due 7/31/09	1,089,961
		Total Chemicals/Plastics	7,852,712
Clothing/Textiles — 0.5%
1,000,000		Levi Strauss & Co., Term Loan, 2.568% due 7/20/09	822,500
Conglomerates — 0.8%
		TriMas Corp.:
281,250		Letter of Credit, 2.569% due 7/1/09	247,500
1,185,234		Term Loan B, 2.558% to 3.323% due 7/28/09	1,043,006
		Total Conglomerates	1,290,506
Containers and Glass Products — 2.4%
		Crown Americas LLC:
970,000		Term Loan, 2.069% due 7/15/09	940,900
970,000		Term Loan B, 2.069% due 7/15/09	940,900
2,261,315		Graphic Packaging International Inc., First Lien Term Loan, 2.319% to 3.208% due 7/27/09	2,112,446
		Total Containers and Glass Products	3,994,246
Cosmetics/Personal Care — 0.7%
1,243,947		Vi-Jon, Term Loan B, 2.563% due 7/20/09	1,122,662
Drugs — 2.4%
1,106,694		Cardinal Health Inc., Dollar Term Loan, 2.560% due 7/31/09	923,168
3,240,340		Royalty Pharma Finance Trust, Term Loan, 2.848% due 9/30/09	3,103,639
		Total Drugs	4,026,807
Electronics/Electric — 6.0%
		Bridge Information Systems Inc.:
401,726		Multi-Draw Term Loan, 6.000% due 9/30/09 (c)(e)	12,855
745,037		Term Loan B, 6.250% due 9/30/09 (c)(e)	23,841

See Notes to Schedule of Investments.

LMP Corporate Loan Fund Inc.

Schedule of Investments (unaudited) (continued)		June 30, 2009

Face Amount		Security	Value
Electronics/Electric — 6.0% (continued)
		Dealer Computer Services:
$	1,000,000	Second Lien Term Loan, 5.810% due 7/31/09	$	560,000
1,820,688		Term Loan, 2.310% due 7/31/09	1,520,274
2,250,106		Intergraph Corp., First Lien Term Loan, 2.664% due 8/28/09	2,094,005
1,832,460		Macrovision Solutions Corp., Term Loan, 6.000% due 9/30/09	1,827,879
1,602,956		Sabre Inc., Term Loan B, 2.568% to 3.289% due 7/30/09	1,155,273
		Travelport:
1,706,272		Delayed Draw Term Loan, 2.810% due 7/31/09	1,349,288
300,000		Term Loan C, 10.500% due 9/30/09	291,937
1,214,424		Vertafore Inc., First Lien Term Loan, 3.161% due 8/25/09	1,114,234
		Total Electronics/Electric	9,949,586
Equipment Leasing — 0.6%
964,814		Rent-a-Center Inc., Term Loan B, 2.070% to 2.080% due 7/24/09	926,222
Finance — 0.1%
259,175		CB Richard Ellis Group Inc., Term Loan B, 6.000% to 6.250% due 9/30/09	234,813
Food Products — 4.3%
		American Seafoods Group LLC:
541,017		Term Loan B1, 2.060% due 7/31/09	494,354
816,871		Term Loan B2, 2.060% due 7/31/09	746,416
850,784		Birds Eye Foods Inc., Term Loan, 2.060% to 2.350% due 9/30/09	816,753
1,052,632		Michael Foods Inc., Term Loan B, 6.500% due 7/31/09	1,061,185
1,642,717		NPC International, Term Loan B, 2.070% to 2.920% due 9/30/09	1,515,406
1,332,997		Pinnacle Foods Group Inc., Term Loan B, 3.066% due 7/2/09	1,195,532
1,272,343		Wrigley Jr. Co., Tranche B, 6.500% due 9/30/09	1,278,636
		Total Food Products	7,108,282
Food/Drug Retailers — 1.3%
1,419,453		General Nutrition Centers, Term Loan B, 2.560% to 3.450% due 9/30/09	1,261,894
		Smart & Final:
379,255		Delayed Draw Term Loan, 3.310% to 4.100% due 7/31/09	345,122
545,203		First Lien Term Loan, 3.310% to 3.674% due 8/28/09	496,135
		Total Food/Drug Retailers	2,103,151
Forest Products — 0.5%
869,544		Domtar Inc., Term Loan, 1.696% due 7/13/09	821,719
Healthcare — 11.0%
1,225,280		AMN Healthcare, Term Loan B, 2.348% due 9/30/09	1,145,637
621,835		Biomet Inc., Term Loan B, 3.308% to 3.608% due 9/25/09	582,723
2,300,000		Carestream Health Inc., Second Lien Term Loan, 5.560% due 7/31/09	1,554,800
2,250,000		Davita Inc., Term Loan B1, 1.810% to 2.710% due 9/30/09	2,138,906
1,688,233		DJO Finance LLC, Term Loan B, 3.310% to 3.598% due 9/30/09	1,531,017
1,694,683		Education Management Corp., Term Loan B, 2.375% due 9/30/09	1,567,582
		Fresenius Se:
1,504,037		Term Loan B, 6.750% due 12/10/09	1,514,942
903,219		Term Loan B2, 6.750% due 12/10/09	909,767
382,223		Hologic, Tranche B Term Loan, 3.625% due 7/15/09	369,801
1,289,227		Life Technologies Corp., Term Loan B, 5.250% due 9/30/09	1,291,877
2,100,893		Medassets Inc., Term Loan B, 4.348% due 9/30/09	1,940,700
		Talecris Biotherepeutics Inc.:
472,709		First Lien Term Loan, 4.420% to 5.500% due 9/30/09	430,165
2,430,851		Second Lien Term Loan, 7.420% due 8/13/09	2,187,766
1,033,088		Vicar Operating Inc., Term Loan, 1.813% due 7/31/09	976,268
		Total Healthcare	18,141,951

See Notes to Schedule of Investments.

LMP Corporate Loan Fund Inc.

Schedule of Investments (unaudited) (continued)		June 30, 2009

Face Amount		Security	Value
Home Furnishings — 0.1%
$	415,155	Sleep Innovations Inc., Second Lien Term Loan, 11.500% due 9/30/09 (d)	$	134,925
Hotels/Motels/Inns and Casinos — 2.9%
1,817,907		Ameristar Casinos Inc., Initial Term Loan, 3.755% due 7/20/09	1,755,794
		Isle of Capri Casinos Inc.:
160,244		New Delayed Draw Term Loan A, 2.348% due 9/30/09	145,341
182,206		New Delayed Draw Term Loan B, 2.060% due 7/31/09	165,261
455,516		New Term Loan B, 2.348% due 9/30/09	413,153
1,165,915		Penn National Gaming Inc., Term Loan B, 2.060% to 2.720% due 8/10/09	1,122,436
		Seminole Tribe of Florida:
164,134		Term Loan, 2.125% due 9/30/09	154,902
591,284		Term Loan B2, 2.125% due 9/30/09	558,024
487,811		Term Loan B3, 2.125% due 9/30/09	460,372
		Total Hotels/Motels/Inns and Casinos	4,775,283
Industrial Equipment — 2.1%
1,392,005		Manitowoc Company Inc., Term Loan B, 7.500% to 8.000% due 9/30/09	1,262,085
1,215,145		Oshkosh Truck Corp., Term Loan B, 6.610% to 8.250% due 9/30/09	1,118,693
		Veyance Technologies Inc.:
216,009		Delayed Draw Term Loan, 2.580% due 7/13/09	144,906
1,508,224		Term Loan B, 2.580% due 7/13/09	1,011,766
		Total Industrial Equipment	3,537,450
Leisure — 5.1%
		AE Europe Holdings Inc.:
381,418		First Lien Term Loan, 3.060% due 7/31/09	314,670
1,000,000		Second Lien Term Loan, 6.810% due 7/31/09	725,000
678,595		Amscan Holdings Inc., Term Loan B, 2.759% to 3.381% due 9/28/09	597,164
1,820,869		Lodgenet Entertainment Corp., Term Loan B, 2.310% to 4.250% due 9/30/09	1,541,669
1,895,883		Regal Cinemas Inc., Term Loan, 4.348% due 9/30/09	1,852,040
782,609		Ticketmaster, Term Loan B, 3.840% due 7/21/09	743,479
1,352,069		Universal City Development Partners L.P., Term Loan B, 6.000% due 8/18/09	1,333,478
1,530,584		Zuffa, Term Loan B, 2.375% due 7/30/09	1,320,129
		Total Leisure	8,427,629
Non-Ferrous Metals/Materials — 2.6%
1,031,533		Compass Minerals Group Inc., Term Loan, 1.810% to 2.100% due 9/30/09	1,004,455
		Novelis Inc.:
391,176		CA Term Loan, 2.310% due 7/31/09	343,420
860,605		US Term Loan, 2.310% to 2.600% due 9/30/09	755,540
		Oxbow Carbon and Minerals Holdings LLC:
71,174		Delayed Draw Term Loan B, 2.310% due 7/31/09	64,709
746,321		Term Loan, 2.310% to 2.598% due 9/30/09	678,531
1,665,269		Walter Industries Inc., Term Loan B, 2.561% to 2.848% due 9/30/09	1,523,721
		Total Non-Ferrous Metals/Materials	4,370,376
Oil & Gas — 6.9%
575,289		Alon Krotz, Term Loan, 11.750% due 8/5/09	533,148
		Alon USA Inc.:
315,283		Edgington Term Loan, 2.560% to 2.924% due 8/28/09	200,205
2,522,263		Paramount Term Loan, 2.560% to 2.924% due 8/28/09	1,601,637
852,783		Astoria Generating Co. Acquisitions LLC, Term Loan B, 2.070% to 2.080% due 7/23/09	806,590
		Coffeyville Resources LLC:
138,165		Letter of Credit, 8.750% due 7/1/09	126,594
1,109,718		Tranche D Term Loan, 8.750% due 7/1/09	1,016,779

See Notes to Schedule of Investments.

LMP Corporate Loan Fund Inc.

Schedule of Investments (unaudited) (continued)		June 30, 2009

Face Amount		Security	Value
Oil & Gas — 6.9% (continued)
$	1,218,218	Dresser Inc., Term Loan B, 3.104% due 8/18/09	$	1,107,360
1,302,769		Helix Energy Solutions Group Inc., Term Loan B, 2.310% to 3.139% due 7/31/09	1,206,147
1,557,965		Hercules Offshore Inc., Term Loan B, 2.960% due 7/1/09	1,378,799
1,247,763		Semgroup L.P., Term Loan, 8.250% due 9/30/09 (c)	720,583
		Targa Resources:
378,682		Synthetic Letter of Credit, 3.345% due 7/1/09	364,616
651,238		Term Loan B, 2.310% to 2.598% due 9/30/09	627,049
1,035,631		Volnay Acquisition Co. I, Term Loan B, 4.095% to 4.631% due 12/31/09	1,007,151
671,977		Western Refining Co. L.P., Term Loan, 8.250% due 9/30/09	647,617
		Total Oil & Gas	11,344,275
Publishing — 3.8%
1,880,619		Dex Media East LLC, Delayed Draw Term Loan B, 2.600% to 3.040% due 9/30/09	1,457,480
1,363,779		Getty Images, Term Loan B, 6.250% due 9/30/09	1,357,173
		Lamar Media Corp.:
997,500		Series F, 5.500% due 7/31/09	982,537
493,243		Term Loan B, 5.500% due 7/6/09	488,311
		Valassis Communications Inc.:
201,606		Delayed Draw Term Loan, 2.060% due 7/31/09	185,981
607,997		Term Loan, 2.060% due 7/31/09	560,878
1,416,075		Wenner Media LLC, Term Loan B, 2.060% due 7/30/09	1,217,825
		Total Publishing	6,250,185
Retailers — 2.0%
262,481		J Crew Group, Term Loan B, 2.125% due 7/1/09	225,734
1,113,537		Michaels Stores Inc., Term Loan B, 2.625% to 2.750% due 7/20/09	887,118
1,468,354		Neiman-Marcus Group Inc., Term Loan, 2.318% to 2.629% due 9/8/09	1,112,483
1,218,750		Petco Animal Supplies Inc., Term Loan, 2.560% to 3.289% due 9/30/09	1,145,190
		Total Retailers	3,370,525
Steel — 0.4%
		Tube City IMS Corp.:
81,081		Letter of Credit, 0.498% due 9/30/09	64,189
653,868		Term Loan, 2.598% due 9/30/09	517,646
		Total Steel	581,835
Surface Transport — 0.5%
		Coach America Holdings Inc.:
903,723		First Lien Term Loan B, 3.060% due 7/29/09	741,053
190,153		Synthetic Letter of Credit, 3.870% due 7/2/09	155,926
		Total Surface Transport	896,979
Telecommunications/Cellular Communications — 4.4%
2,390,833		Centennial Communications Corp., New Term Loan, 2.598% to 2.674% due 9/30/09	2,379,403
473,864		Crown Castle Operating Co., Term Loan B, 1.810% due 7/31/09	441,434
1,935,202		Metropcs Wireless Inc., Term Loan B, 2.563% to 3.313% due 8/3/09	1,845,940
2,690,936		Ntelos Inc., First Lien Term Loan, 2.560% due 7/31/09	2,633,754
		Total Telecommunications/Cellular Communications	7,300,531
Utilities — 3.9%
1,722,528		Calpine Corp., First Priority Term Loan, 3.475% due 9/30/09	1,529,223
		Covanta Holding Corp.:
164,948		Letter of Credit, 2.592% due 7/1/09	155,052
327,513		Term Loan B, 1.813% to 1.875% due 7/31/09	307,862

See Notes to Schedule of Investments.

LMP Corporate Loan Fund Inc.

Schedule of Investments (unaudited) (continued)		June 30, 2009

Face Amount		Security	Value
Utilities — 3.9% (continued)
		Firstlight Power Resources Inc.:
$	163,652	Letter of Credit, 3.125% due 9/30/09	$	147,696
250,000		Second Lien Term Loan, 5.125% due 9/30/09	190,625
1,262,328		Term Loan B, 3.125% due 9/23/09	1,139,251
846,338		Mirant North America LLC, Term Loan B, 2.060% due 7/31/09	797,356
466,667		Reliant Energy Inc., Letter of Credit, 0.300% due 7/1/09	416,334
		TPF Generation Holdings LLC:
154,214		Letter of Credit, 3.220% due 7/1/09	145,604
48,343		Revolver, 3.452% due 7/1/09	45,644
439,055		Term Loan B, 2.310% due 7/31/09	414,541
1,182,114		USPF Holdings LLC, Term Loan, 2.068% due 7/20/09	1,093,456
		Total Utilities	6,382,644
		TOTAL COLLATERALIZED SENIOR LOANS (Cost — $177,899,086)	158,687,564
CORPORATE BONDS & NOTES — 1.5%
TELECOMMUNICATION SERVICES — 1.5%
Diversified Telecommunication Services — 1.5%
2,659,000		Qwest Corp., Senior Notes (Cost - $2,307,628)	2,389,776

Shares
COMMON STOCK — 0.0%
CONSUMER DISCRETIONARY — 0.0%
Textiles, Apparel & Luxury Goods — 0.0%
3,411		Comfort Co. Inc. (e)(f) (Cost - $0)	0
		TOTAL INVESTMENTS BEFORE SHORT-TERM INVESTMENT (Cost — $180,206,714)	161,077,340

Face Amount
SHORT-TERM INVESTMENT — 2.5%
U.S. Government Agency — 2.5%
$	4,165,000	Federal Home Loan Bank (FHLB), Discount Notes, 0.010% due 7/1/09 (g) (Cost - $4,165,000)	4,165,000
		TOTAL INVESTMENTS — 100.0% (Cost — $184,371,714#)	$	165,242,340

(a)	The date shown represents the last in range of interest rate reset dates.
(b)	Interest rates disclosed represent the effective rates on loans and debt securities. Ranges in interest rates are attributable to multiple contracts under the same loan.
(c)	Security is currently in default.
(d)	Payment-in-kind security for which part of the income earned may be paid as additional principal.
(e)	Security is valued in good faith at fair value by or under the direction of the Board of Directors (See Note 1).
(f)	Illiquid security.
(g)	Rate shown represents yield-to-maturity.
#	Aggregate cost for federal income tax purposes is substantially the same.

	Abbreviations used in this schedule:
	Term	-	Term Loan typically with a First Lien on specified assets.
	Second Lien	-	Subordinate Loan to First Lien.
	REIT	-	Real Estate Investment Trust.

See Notes to Schedule of Investments.

Notes to Schedule of Investments (unaudited)

1. Organization and Significant Accounting Policies

LMP Corporate Loan Fund Inc. (the “Fund”) was incorporated in Maryland and is registered as a non-diversified, closed-end management investment company under the Investment Company Act of 1940, as amended, (the “1940 Act”). The Fund’s investment objective is to maximize current income consistent with prudent efforts to preserve capital.

The following are significant accounting policies consistently followed by the Fund and are in conformity with U.S. generally accepted accounting principles (“GAAP”).

(a) Investment Valuation. Collateralized senior loans are valued at readily ascertainable market values provided by an independent pricing service. Securities for which market quotations are not available are valued in good faith at fair value by or under the direction of the Board of Directors. In fair valuing a loan, Legg Mason Partners Fund Advisor, LLC (“LMPFA”), with the assistance of Citigroup Alternative Investments LLC, the Fund’s sub-adviser, will consider among other factors: (1) the creditworthiness of the borrower and any party interpositioned between the Fund and the borrower; (2) the current interest rate, period until next interest rate reset and maturity date of the collateralized senior loan; (3) recent market prices for similar loans, if any; and (4) recent prices in the market for instruments with similar quality, rate, period until next interest rate reset, maturity, terms and conditions. LMPFA may also consider prices or quotations, if any, provided by banks, dealers or pricing services which may represent the prices at which secondary market transactions in the collateralized senior loans held by the Fund have or could have occurred. U.S. government agency obligations are valued at the mean between the quoted bid and asked prices. Securities traded on national securities markets are valued at the closing price on such markets. Securities traded in the over-the-counter market and listed securities for which no sales prices were reported are valued at the mean between the quoted bid and asked prices. Securities listed on the NASDAQ National Market System for which market quotations are available are valued at the official closing price or, if there is no official closing price on that day, at the last sale price. Short-term obligations maturing within 60 days are valued at amortized cost, which approximates fair value.

The Fund adopted Statement of Financial Accounting Standards No. 157 (“FAS 157”). FAS 157 establishes a single definition of fair value, creates a three-tier hierarchy as a framework for measuring fair value based on inputs used to value the Fund’s investments, and requires additional disclosure about fair value. The hierarchy of inputs is summarized below.

· Level 1 – quoted prices in active markets for identical investments

· Level 2 – other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.)

· Level 3 – significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

The following is a summary of the inputs used in valuing the Fund’s assets carried at fair value:

Description	Quoted Prices (Level 1)	Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)	Total
Collateralized Senior Loans	—	$	158,650,868	$36,696	$158,687,564
Corporate Bonds & Notes	—	2,389,776		—	2,389,776
Common Stock	—	—		0	0
Short-Term Investment	—	4,165,000		—	4,165,000
Total	—	$	165,205,644	$36,696	$165,242,340

Notes to Schedule of Investments (unaudited) (continued)

Following is a reconciliation of investments in which significant unobservable inputs (Level 3) were used in determining fair value:

	Investments in Securities
Balance as of September 30, 2008	$	36,696
Accrued premiums/discounts	—
Realized gain (loss)	—
Change in unrealized appreciation (depreciation)	—
Net purchases (sales)	—
Transfers in and/or out of Level 3	—
Balance as of June 30, 3009	$	36,696
Net unrealized appreciation (depreciation) for investments in securities still held at 6/30/09	$	(254,880	)

(b) Security Transactions. Security transactions are accounted for on a trade date basis.

2. Investments

At June 30, 2009, the aggregate gross unrealized appreciation and depreciation of investments for federal income tax purposes were substantially as follows:

Gross unrealized appreciation	$	1,188,868
Gross unrealized depreciation	(20,318,242		)
Net unrealized depreciation	$	(19,129,374	)

3. Derivative Instruments and Hedging Activities

Financial Accounting Standards Board (“FASB”) of Financial Accounting Standards No. 161, “Disclosures about Derivative Instruments and Hedging Activities,” requires enhanced disclosure about an entity’s derivative and hedging activities.

At June 30, 2009, the Fund did not hold any derivative instruments.

ITEM 2. CONTROLS AND PROCEDURES.

(a) The registrant’s principal executive officer and principal financial officer have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a- 3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”)) are effective as of a date within 90 days of the filing date of this report that includes the disclosure required by this paragraph, based on their evaluation of the disclosure controls and procedures required by Rule 30a-3(b) under the 1940 Act and 15d-15(b) under the Securities Exchange Act of 1934.

(b) There were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act) that occurred during the registrant’s last fiscal quarter that have materially affected, or are likely to materially affect the registrant’s internal control over financial reporting.

ITEM 3. EXHIBITS.

Certifications pursuant to Rule 30a-2(a) under the Investment Company Act of 1940, as amended, are attached hereto.

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.

LMP Corporate Loan Fund Inc.

By	/s/ R. Jay Gerken
	R. Jay Gerken
	Chief Executive Officer


Date:		August 26, 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/ R. Jay Gerken
	R. Jay Gerken
	Chief Executive Officer


Date:		August 26, 2009

By	/s/ Kaprel Ozsolak
	Kaprel Ozsolak
	Chief Financial Officer


Date:		August 26, 2009