Semi-Annual Report (Unaudited)

Legg Mason Global Funds Plc

An umbrella fund with segregated liability between sub-funds For the six months ended 31 August 2011

Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Table of Contents General Information 3 Letter to Shareholders 9 Portfolio of Investments – Legg Mason Western Asset US Money Market Fund 10 Portfolio of Investments – Legg Mason Western Asset US Core Bond Fund 12 Portfolio of Investments – Legg Mason Western Asset US Core Plus Bond Fund 20 Portfolio of Investments – Legg Mason Western Asset Euro Core Plus Bond Fund 33 Portfolio of Investments – Legg Mason Western Asset Diversified Strategic Income Fund 37 Portfolio of Investments – Legg Mason Western Asset Global Multi Strategy Fund 43 Portfolio of Investments – Legg Mason Western Asset US High Yield Fund 54 Portfolio of Investments – Legg Mason Western Asset Emerging Markets Bond Fund 62 Portfolio of Investments – Legg Mason Western Asset Global High Yield Fund 67 Portfolio of Investments – Legg Mason Western Asset US Short-Term Government Fund 76 Portfolio of Investments – Legg Mason Western Asset US Adjustable Rate Fund 78 Portfolio of Investments – Legg Mason Western Asset Inflation Management Fund 81 Portfolio of Investments – Legg Mason Western Asset Asian Opportunities Fund 83 Portfolio of Investments – Legg Mason Western Asset Global Blue Chip Bond Fund 91 Portfolio of Investments – Legg Mason Western Asset Brazil Bond Fund ^ 94 Portfolio of Investments – Legg Mason Western Asset Global Credit Absolute Return Fund ^ 95 Portfolio of Investments – Legg Mason Western Asset UK£ Core Plus Bond Fund ^ 98 Portfolio of Investments – Legg Mason Western Asset Global Core Plus Bond Fund^ 103 Portfolio of Investments – Legg Mason Western Asset Global Inflation-Linked Fund 110 Portfolio of Investments – Legg Mason Western Asset UK£ Inflation-Linked Plus Fund^ 113 Portfolio of Investments – Legg Mason Western Asset UK£ Long Duration Fund^ 115 Portfolio of Investments – Legg Mason Western Asset Global Credit Fund 119 Portfolio of Investments – Legg Mason Western Asset Euro High Yield Fund^ 126 Portfolio of Investments – Legg Mason Brandywine Global Fixed Income Fund 129 Portfolio of Investments – Legg Mason Brandywine Global Opportunistic Fixed Income Fund ^ 133 Portfolio of Investments – Legg Mason Western Asset Brazil Equity Fund ^ 136 Portfolio of Investments – Legg Mason Capital Management Value Fund 137 Portfolio of Investments – Legg Mason Capital Management Growth Fund 138 Portfolio of Investments – Legg Mason Capital Management Opportunity Fund 139 Portfolio of Investments – Legg Mason ClearBridge US Appreciation Fund 141 Portfolio of Investments – Legg Mason ClearBridge US Fundamental Value Fund 143 Portfolio of Investments – Legg Mason ClearBridge US Large Cap Growth Fund 145 Portfolio of Investments – Legg Mason ClearBridge US Aggressive Growth Fund 146 Portfolio of Investments – Legg Mason Royce US Small Cap Opportunity Fund 148 Portfolio of Investments – Legg Mason Royce Smaller Companies Fund 152 Portfolio of Investments – Legg Mason Royce Smaller Companies Fund II ^ 154 Portfolio of Investments – Legg Mason Royce European Smaller Companies Fund ^ 156 Portfolio of Investments – Legg Mason Royce Global Smaller Companies Fund 158 Portfolio of Investments – Legg Mason Permal Global Absolute Fund 160 Portfolio of Investments – Legg Mason GC Global Equity Fund 163 Portfolio of Investments – Legg Mason Batterymarch European Equity Fund 165 Portfolio of Investments – Legg Mason Batterymarch Asia Pacific Equity Fund 167 Portfolio of Investments – Legg Mason Batterymarch International Large Cap Fund 170 Portfolio of Investments – Legg Mason Batterymarch Emerging Markets Equity Fund 173 Portfolio of Investments – Legg Mason Batterymarch Global Equity Fund 177 Portfolio of Investments – Legg Mason LMHK China Fund 179 Portfolio of Investments – Legg Mason Esemplia Emerging Markets Select Equity Fund 180

Balance Sheet – Legg Mason Global Funds Plc 182 Profit and Loss Account – Legg Mason Global Funds Plc 294 Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – Legg Mason Global Funds Plc 316

Notes to Financial Statements – Legg Mason Global Funds Plc 356 Financial Information – Total Expense Ratios (TER) – Legg Mason Global Funds Plc 371 Financial Information – Portfolio Turnover Rate (PTR) – Legg Mason Global Funds Plc 378

Statement of Major Portfolio Changes – Legg Mason Western Asset US Money Market Fund 379 Statement of Major Portfolio Changes – Legg Mason Western Asset US Core Bond Fund 379 Statement of Major Portfolio Changes – Legg Mason Western Asset US Core Plus Bond Fund 380 Statement of Major Portfolio Changes – Legg Mason Western Asset Euro Core Plus Bond Fund 380 Statement of Major Portfolio Changes – Legg Mason Western Asset Diversified Strategic Income Fund 381 Statement of Major Portfolio Changes – Legg Mason Western Asset Global Multi Strategy Fund 381 Statement of Major Portfolio Changes – Legg Mason Western Asset US High Yield Fund 381

^ Not authorised in Hong Kong and not available to Hong Kong residents.

1 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Major Portfolio Changes – Legg Mason Western Asset Emerging Markets Bond Fund 382 Statement of Major Portfolio Changes – Legg Mason Western Asset Global High Yield Fund 383 Statement of Major Portfolio Changes – Legg Mason Western Asset US Short-Term Government Fund 383 Statement of Major Portfolio Changes – Legg Mason Western Asset US Adjustable Rate Fund 384 Statement of Major Portfolio Changes – Legg Mason Western Asset Inflation Management Fund 384 Statement of Major Portfolio Changes – Legg Mason Western Asset Asian Opportunities Fund 385 Statement of Major Portfolio Changes – Legg Mason Western Asset Global Blue Chip Bond Fund 385 Statement of Major Portfolio Changes – Legg Mason Western Asset Brazil Bond Fund^ 386 Statement of Major Portfolio Changes – Legg Mason Western Asset Global Credit Absolute Return Fund^ 386 Statement of Major Portfolio Changes – Legg Mason Western Asset UK£ Core Plus Bond Fund^ 387 Statement of Major Portfolio Changes – Legg Mason Western Asset Global Core Plus Bond Fund^ 387 Statement of Major Portfolio Changes – Legg Mason Western Asset Global Inflation-Linked Fund 387 Statement of Major Portfolio Changes – Legg Mason Western Asset UK£ Inflation-Linked Plus Fund^ 388 Statement of Major Portfolio Changes – Legg Mason Western Asset UK£ Long Duration Fund^ 389 Statement of Major Portfolio Changes – Legg Mason Western Asset Global Credit Fund 389 Statement of Major Portfolio Changes – Legg Mason Western Asset Euro High Yield Fund^ 389 Statement of Major Portfolio Changes – Legg Mason Brandywine Global Fixed Income Fund 390 Statement of Major Portfolio Changes – Legg Mason Brandywine Global Opportunistic Fixed Income Fund^ 390 Statement of Major Portfolio Changes – Legg Mason Western Asset Brazil Equity Fund^ 391 Statement of Major Portfolio Changes – Legg Mason Capital Management Value Fund 391 Statement of Major Portfolio Changes – Legg Mason Capital Management Growth Fund 392 Statement of Major Portfolio Changes – Legg Mason Capital Management Opportunity Fund 392 Statement of Major Portfolio Changes – Legg Mason ClearBridge US Appreciation Fund 393 Statement of Major Portfolio Changes – Legg Mason ClearBridge US Fundamental Value Fund 394 Statement of Major Portfolio Changes – Legg Mason ClearBridge US Large Cap Growth Fund 394 Statement of Major Portfolio Changes – Legg Mason ClearBridge US Aggressive Growth Fund 394 Statement of Major Portfolio Changes – Legg Mason Royce US Small Cap Opportunity Fund 395 Statement of Major Portfolio Changes – Legg Mason Royce Smaller Companies Fund 395 Statement of Major Portfolio Changes – Legg Mason Royce Smaller Companies Fund II^ 396 Statement of Major Portfolio Changes – Legg Mason Royce European Smaller Companies Fund^ 397 Statement of Major Portfolio Changes – Legg Mason Royce Global Smaller Companies Fund 397 Statement of Major Portfolio Changes – Legg Mason Permal Global Absolute Fund 398 Statement of Major Portfolio Changes – Legg Mason GC Global Equity Fund 398 Statement of Major Portfolio Changes – Legg Mason Batterymarch European Equity Fund 399 Statement of Major Portfolio Changes – Legg Mason Batterymarch Asia Pacific Equity Fund 400 Statement of Major Portfolio Changes – Legg Mason Batterymarch International Large Cap Fund 400 Statement of Major Portfolio Changes – Legg Mason Batterymarch Emerging Markets Equity Fund 401 Statement of Major Portfolio Changes – Legg Mason Batterymarch Global Equity Fund 401 Statement of Major Portfolio Changes – Legg Mason LMHK China Fund 402 Statement of Major Portfolio Changes – Legg Mason Esemplia Emerging Markets Select Equity Fund 402

^ Not authorised in Hong Kong and not available to Hong Kong residents.

2 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 General Information

Board of Directors Distributors and Shareholder Servicing Agents

John Alldis (Luxembourg) Legg Mason Investor Services, LLC Brian Collins 100 International Drive Joseph Keane Baltimore, Maryland 21202 Joseph LaRocque (U.S.) U.S.A.

Registered Office Legg Mason Investments (Europe) Limited Riverside Two 201 Bishopsgate Sir John Rogerson’s Quay London EC2M 3AB Grand Canal Dock United Kingdom Dublin 2, Ireland Legg Mason Asset Management Hong Kong Limited Secretary 12/F, York House Bradwell Limited The Landmark Arthur Cox Building 15 Queen’s Road, Central Earlsfort Terrace Hong Kong Dublin 2, Ireland Legg Mason Asset Management Singapore Pte. Limited 1 George Street, # 23-02 Singapore 049145

Legg Mason Investments (Taiwan) Limited 55 Floor — 1, Taipei 101 Tower Xin Yi Road Section 5, Taipei, 110 Taiwan

Reporting Fund Status and Distributor Funds (relevant to U.K. Shareholders only) UK shareholders can identify which share classes of the Company have been accepted into the UK reporting fund regime, and which share classes have been granted UK distributor status, by checking the HM Revenue and Customs’ Reporting Fund list at the website http://www. hmrc.gov.uk/collective/cis-centre.htm. This list is updated on a monthly basis by the HM Revenue and Customs. For more information see the supplemental prospectus for investors from the United Kingdom, or contact Legg Mason Investments (Europe) Limited.

3 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 General Information – (continued)

Swiss Representative and Paying Agent Investment All Funds except Legg Mason Capital Manager: Management Value Fund Banque Genevoise de Gestion SA Rue Rodolphe-Toepffer 15 Legg Mason Investments (Europe) Limited CH-1211 Geneva 3 201 Bishopsgate Switzerland London EC2M 3AB United Kingdom Banque Genevoise de Gestion SA is acting as the Company’s Swiss representative and paying agent for shares distributed in or from Sub-Investment Manager Legg Mason Western Asset Switzerland. US Money Market Fund Legg Mason Western Asset The prospectus, the simplified prospectus, the memorandum and US Limited Duration Fund †^ articles of association of the Company, the annual and semi-annual Legg Mason Western Asset reports and the breakdown of the purchase and sale transaction of US Core Bond Fund the Funds, may be obtained free of charge at the office of the Swiss Legg Mason Western Asset representative. US Core Plus Bond Fund Legg Mason Western Asset Euro Irish Legal Adviser Core Plus Bond Fund Arthur Cox Legg Mason Western Asset Euro Earlsfort Centre Absolute Return Bond Fund † Earlsfort Terrace Legg Mason Western Asset Dublin 2, Ireland Diversified Strategic Income Fund Legg Mason Western Asset Global Custodian Multi Strategy Fund BNY Mellon Trust Company (Ireland) Limited* Legg Mason Western Asset 2nd Floor, The Harcourt Building US High Yield Fund Harcourt Street Legg Mason Western Asset Dublin 2, Ireland Emerging Markets Bond Fund Legg Mason Western Asset Global Independent Auditors High Yield Fund Legg Mason Western Asset PricewaterhouseCoopers US Short-Term Government Fund Chartered Accountants & Registered Auditors Legg Mason Western Asset One Spencer Dock US Adjustable Rate Fund North Wall Quay Legg Mason Western Asset Dublin 1, Ireland Inflation Management Fund Administrator Legg Mason Western Asset Asian Bond Fund † BNY Mellon Investment Servicing (International) Limited Legg Mason Western Asset Asian Riverside Two Opportunities Fund Sir John Rogerson’s Quay Legg Mason Western Asset Global Grand Canal Dock Blue Chip Bond Fund Dublin 2, Ireland Legg Mason Western Asset Euro Sponsoring Broker High Yield Fund ^ Legg Mason Western Asset UK£ Davy Stockbrokers Limited Limited Duration Fund †^ Davy House Legg Mason Western Asset UK£ 49 Dawson Street Core Plus Bond Fund ^ Dublin 2, Ireland Legg Mason Western Asset UK£ Investment Legg Mason Capital Management Value Fund Long Duration Fund ^ Manager: Legg Mason Western Asset UK£ Credit Plus Fund †^ Legg Mason Capital Management, LLC Legg Mason Western Asset UK£ 100 International Drive Inflation-Linked Plus Fund ^ Baltimore, Maryland 21202 Legg Mason Western Asset Euro U.S.A. Core Bond Fund †^ Legg Mason Western Asset Global Sovereign Fund †^ Legg Mason Western Asset Global Credit Fund Legg Mason Western Asset Global Core Plus Bond Fund ^

^ Not authorised in Hong Kong and not available to Hong Kong residents.

4 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 General Information – (continued)

Legg Mason Western Asset Global Legg Mason Western Asset Global Inflation-Linked Fund Core Plus Bond Fund ^ Legg Mason Western Asset Brazil Legg Mason Western Asset Global Bond Fund ^ Inflation-Linked Fund Legg Mason Western Asset Legg Mason Western Asset Global Emerging Domestic Debt Fund †^ Credit Absolute Return Fund ^ Legg Mason Western Asset Global Legg Mason Western Asset Credit Absolute Return Fund ^ Emerging Markets Corporate Bond Legg Mason Western Asset Fund†^ Emerging Markets Corporate Bond Western Asset Management Company Pte. Limited Fund †^ 1 George Street, 23-01 Western Asset Management Company Ltd Singapore 049145 10 Exchange Square Primrose Street Sub-Investment Manager Legg Mason Brandywine Global London EC2A 2EN Fixed Income Fund United Kingdom Legg Mason Brandywine Global Opportunistic Fixed Income Fund ^ Western Asset Management Company Legg Mason Brandywine Global 385 East Colorado Boulevard Fixed Income Absolute Return Pasadena, California 91101 Fund †^ U.S.A. Brandywine Global Investment Management, LLC 2929 Arch Street Sub-Investment Manager Legg Mason Western Asset Global Suite 800 Blue Chip Bond Fund Philadelphia, Pennsylvania 19104 Legg Mason Western Asset Global U.S.A. Credit Absolute Return Fund ^ Legg Mason Western Asset Sub-Investment Manager Legg Mason GC Global Equity Fund Emerging Markets Corporate Bond Legg Mason GC Global Equity Fund†^ Income Fund †^ Western Asset Management Company Ltd Legg Mason GC Global SRI Equity Shin-Marunouchi Building Fund †^ 5-1 Marunouchi Global Currents Investment Management, LLC 1-Chome, Chiyoda-ku Delaware Corporate Centre II Tokyo 100-6536 2 Righter Parkway Japan Wilmington, Delaware 19803 U.S.A. Sub-Investment Manager Legg Mason Western Asset Asian Bond Fund † Sub-Investment Manager Legg Mason Capital Management Legg Mason Western Asset Asian Growth Fund Opportunities Fund Legg Mason Western Asset Global Legg Mason Capital Management, Inc. Blue Chip Bond Fund 100 International Drive Legg Mason Western Asset Euro Baltimore, Maryland 21202 High Yield Fund ^ U.S.A. Legg Mason Western Asset UK£ Limited Duration Fund †^ Sub-Investment Manager Legg Mason Capital Management Legg Mason Western Asset UK£ Opportunity Fund Core Plus Bond Fund ^ LMM LLC Legg Mason Western Asset UK£ 100 International Drive Long Duration Fund ^ Baltimore, Maryland 21202 Legg Mason Western Asset UK£ U.S.A. Credit Plus Fund †^ Legg Mason Western Asset UK£ Inflation-Linked Plus Fund ^ Legg Mason Western Asset US Limited Duration Fund †^ Legg Mason Western Asset Global Sovereign Fund †^ Legg Mason Western Asset Global Credit Fund

^ Not authorised in Hong Kong and not available to Hong Kong residents.

5 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 General Information – (continued)

Sub-Investment Manager Legg Mason ClearBridge Sub-Investment Manager Legg Mason Congruix Pacific Rim US Appreciation Fund Fund†^ Legg Mason ClearBridge Congruix Investment Management (a registered business of Legg US Fundamental Value Fund Mason International Asset Management Singapore Pte. Limited) Legg Mason ClearBridge US Large 1 George Street 23-02 Cap Growth Fund Singapore 049145 Legg Mason ClearBridge US Aggressive Growth Fund Sub-Investment Advisor Legg Mason Permal Global Absolute ClearBridge Advisors, LLC Fund th th 620 8 Avenue., 48 Floor Permal Investment Management Services Limited New York, New York 10018 12 St. James’s Square U.S.A. London SW1Y 4LB United Kingdom Sub-Investment Manager Legg Mason Royce US Small Cap Opportunity Fund Legg Mason Global Asset Allocation, LLC Legg Mason Royce Smaller 620 8th Avenue Companies Fund New York, New York 10018 Legg Mason Royce Smaller U.S.A. Companies Fund II ‡^ Legg Mason Royce European Sub-Investment Manager Legg Mason Esemplia Emerging Smaller Companies Fund^ Markets Select Equity Fund Legg Mason Royce Global Smaller Companies Fund Legg Mason International Equities Limited (trading under the name "Esemplia Emerging Markets") Royce & Associates, LLC 9th Floor, 10 Exchange Square th 745 5 Avenue Primrose Street New York, New York 10151 London EC2A 2EN U.S.A. United Kingdom

Sub-Investment Manager Legg Mason Batterymarch Sub-Investment Manager Legg Mason Western Asset Brazil European Equity Fund Bond Fund ^ Legg Mason Batterymarch Asia Legg Mason Western Asset Brazil Pacific Equity Fund Equity Fund ^ Legg Mason Batterymarch Legg Mason Western Asset Global Emerging Markets Equity Fund Credit Absolute Return Fund ^ Legg Mason Batterymarch Legg Mason Western Asset International Large Cap Fund Emerging Markets Corporate Bond Legg Mason Batterymarch Global Fund ^ Equity Fund Legg Mason Batterymarch Western Asset Management Company US Large Cap Fund † Distribuidora de Titulos e Valores Mobilia˜rios Limitada Av. Pres. Juscelino Kubitschek Batterymarch Financial Management, Inc. No. 1455 – 15th Floor – 04543011 200 Clarendon Street Sa˜o Paulo – Brazil Boston, Massachusetts 02116 U.S.A.

Sub-Investment Manager Legg Mason LMHK Greater China Fund † Legg Mason LMHK China Fund Legg Mason LMHK Hong Kong Equity Fund † Legg Mason Asset Management Hong Kong Limited 12/F, York House The Landmark 15 Queen’s Road Central Hong Kong

^ Not authorised in Hong Kong and not available to Hong Kong residents.

6 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 General Information – (continued)

Fund Launch Dates Legg Mason Brandywine Global Opportunistic Fixed Income Fund: June 25, 2010^ Legg Mason Western Asset US Money Market Fund: Legg Mason Western Asset Brazil Equity Fund: October 1, 2010^ February 27, 2004 Legg Mason Capital Management Value Fund: March 20, 1998 Legg Mason Western Asset US Core Bond Fund: August 31, 2002 Legg Mason Capital Management Growth Fund: February 25, 2004 Legg Mason Western US Core Plus Bond Fund: April 20, 2007 Legg Mason Capital Management Opportunity Fund: Legg Mason Western Asset Euro Core Plus Bond Fund: February 4, 2009 October 1, 2003 Legg Mason ClearBridge US Appreciation Fund: April 20, 2007 Legg Mason Western Asset Diversified Strategic Income Fund: Legg Mason ClearBridge US Fundamental Value Fund: April 20, 2007 February 24, 2004 Legg Mason ClearBridge US Large Cap Growth Fund: April 20, 2007 Legg Mason Western Asset Global Multi Strategy Fund: Legg Mason ClearBridge US Aggressive Growth Fund: April 20, 2007 August 29, 2002 Legg Mason Royce US Small Cap Opportunity Fund: Legg Mason Western Asset US High Yield Fund: February 27, 2004 November 8, 2002 Legg Mason Western Asset Emerging Markets Bond Fund: Legg Mason Royce Smaller Companies Fund: March 1, 2004 February 24, 2004 Legg Mason Royce Smaller Companies Fund II: May 13, 2011‡^ Legg Mason Western Asset Global High Yield Fund: April 20, 2007 Legg Mason Royce European Smaller Companies Fund: Legg Mason Western Asset US Short-Term Government Fund: December 31, 2009^ April 20, 2007 Legg Mason Royce Global Smaller Companies Fund: Legg Mason Western Asset US Adjustable Rate Fund: April 20, 2007 December 31, 2009 Legg Mason Western Asset Inflation Management Fund: Legg Mason Permal Global Absolute Fund: September 24, 2009 April 20, 2007 Legg Mason GC Global Equity Fund: September 1, 2006 Legg Mason Western Asset Asian Opportunities Fund: June 12, 2008 Legg Mason Batterymarch European Equity Fund: August 31, 2002 Legg Mason Western Asset Global Blue Chip Bond Fund: Legg Mason Batterymarch Asia Pacific Equity Fund: June 3, 2009 February 25, 2004 Legg Mason Western Asset Brazil Bond Fund: March 25, 2010^ Legg Mason Batterymarch International Large Cap Fund: Legg Mason Western Asset Global Credit Absolute Return Fund: April 20, 2007 May 20, 2010^ Legg Mason Batterymarch Emerging Markets Equity Fund: Legg Mason Western Asset UK£ Core Plus Bond Fund: April 28, 2008 November 19, 2010^ Legg Mason Batterymarch Global Equity Fund: December 29, 2010 Legg Mason Western Asset Global Core Plus Bond Fund: Legg Mason LMHK China Fund: November 30, 2009 December 3, 2010^ Legg Mason Esemplia Emerging Markets Select Equity Fund: Legg Mason Western Asset Global Inflation-Linked Fund: August 2, 2010 November 19, 2010 Legg Mason Western Asset UK£ Inflation-Linked Plus Fund: † As at August 31, 2011 these Funds have not commenced trading. November 19, 2010^ Legg Mason Western Asset UK£ Long Duration Fund: ‡ Commenced trading during the period. November 19, 2010^ Legg Mason Western Asset Global Credit Fund: November 19, 2010 * Effective 30 June 2011, a novation agreement was effected with Legg Mason Western Euro High Yield Fund: December 3, 2010^ the result that BNY Mellon Trust Company (Ireland) Limited Legg Mason Brandywine Global Fixed Income Fund: October 1, 2003 replaced BNY Mellon International Bank Limited as Custodian.

^ Not authorised in Hong Kong and not available to Hong Kong residents.

7 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 General Information – (continued)

For More Information

For further information on the range of Funds within Legg Mason Global Funds Plc, contact:

For professional investors in the U.K. and Europe For authorised dealers in the Americas

Legg Mason Investments (Europe) Limited Legg Mason Investments 201 Bishopsgate 1395 Brickell Avenue London EC2M 3AB Suite 1550 United Kingdom Miami, Florida 33131, U.S.A. Tel: + 44 (0) 207 070 7444 Tel: + 305 529 4400

www.leggmason.co.uk www.leggmasonamericas.com

Go to the relevant website for information on: . Daily prices . Literature, including fact sheets providing the latest information on each Fund . More information about Legg Mason’s asset management affiliates managing the Funds

8 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Letter to Shareholders

Dear Shareholder, We are pleased to provide you with the semi-annual report for Legg prominent in the headlines. Sentiment was more positive towards the Mason Global Funds Plc (the ‘‘Company’’) for the six months ending German equity market, however, as the weak euro was expected to August 31, 2011. In this report we highlight the key drivers behind benefit its big exports sector. But as the eurozone crisis deepened, the performance of bond and equity markets over the period. global equity markets experienced high volatility in July. Confidence was further hit in the first week of August when ratings agency S&P Fixed Income Markets downgraded its credit rating on US government debt, with sharp market falls even extending to German equities. Global bond markets experienced further volatility over the period under review, as investors switched from periods of risk taking to Against this backdrop, sentiment in global equity markets remained periods of reduced risk appetite. While the general economic nervous as the period under review ended. In the US, the headwinds backdrop continued to improve early in the period, there were signs of high unemployment and a weak housing market continued to be later of weaker data and economic growth forecasts began to be key concerns, although generally at the corporate level earnings revised downwards. In addition, financial markets once again results held up well and balance sheets were widely seen as being in experienced a number of setbacks, including uprisings in parts of good health. On the monetary front, the Federal Reserve (Fed) North Africa and the Middle East, a devastating earthquake and indicated that it will keep interest rates at their historically low rates tsunami in Japan, and deepening strains in the European monetary for some time but allowed its second programme of stimulus via so- union. The period ended with heightened volatility when ratings called quantitative easing (‘‘QE2’’) to expire as planned at the end of agency S&P downgraded its credit rating on US government debt in June. the first week of August. The contrast between deteriorating The ECB, meanwhile, raised interest rates in the region by 0.25% to government finances in the developed world and the balance sheet 1.50% in April in a move aimed at dampening inflationary pressures. strength of corporates remained a feature over the period. However, UK interest rates remained unchanged at historically low levels, in August the favourable fundamental backdrop for corporates was although the Bank of England was also under pressure to raise rates overwhelmed by investor panic, leading to broad-based weakness in as inflation remained above its targets. In Europe’s equity markets, the corporate bond sectors. the backdrop of fiscal troubles in the region’s peripheral countries With various concerns impacting market sentiment and reducing was inevitably a main driver of negative performance over the period. investors’ appetite for risk, government bond markets benefited over Looking at emerging markets, investors weighed the implications of the six month period, outperforming the riskier sectors of the bond monetary tightening and interest rate increases by several central market. At the same time, high yield corporate bonds suffered the banks. The moves were generally aimed at combating inflationary most during bouts of risk aversion, but particularly during August. pressures in emerging countries, including in the important Chinese Emerging market debt held up better than global high yield, as market where interest rates were repeatedly increased and led to emerging market sovereigns benefited from the global move out of worries that its economic growth rate would slow down more than risk assets towards government bonds. The stronger fiscal situation in previously expected. Such considerations weighed on sentiment emerging markets stands out relative to the major advanced towards Asian equity markets although they held up relatively well economies and continues to attract investors to emerging market relative to their developed market counterparts. bonds. In Europe, comments by the European Central Bank (ECB) that suggested it intended to raise interest rates led markets to price in a series of rate hikes in the eurozone, while expectations changed little Yours sincerely, in the US and Japan. The market widely anticipated the increase in the ECB’s main policy rate at its April meeting, when the bank raised its key policy rate by 0.25% to 1.25%. This was followed by another Legg Mason Investments Europe Limited increase of 0.25% in July that left eurozone interest rates at 1.50% Past performance is no guarantee of future results. The information is not when the period under review closed. In the US, the Federal Reserve intended to be a forecast of future events, a guarantee of future results or (Fed) concluded its stimulus programme, known as quantitative investment advice. easing, as planned at the end of June. Unemployment and continued weakness in the US housing market remained key areas of concern for the economy, however. The Fed left interest rates on hold throughout the period and indicated that rates would stay at low levels for some time. In the UK, despite rising inflation, the Bank of England also left interest unchanged at historically low levels as economic indicators in the country remained sluggish. Equities

After a generally positive start to the year, global equity markets faced a number of concerns as the period under review got underway. Serious civil unrest spread across several North African and Middle Eastern countries, and higher oil prices led to worries that increased energy costs could dampen global economic growth. A massive earthquake and tsunami in Japan in March also unsettled markets. In Europe, renewed sovereign debt problems in peripheral economies dominated the attention of global investors over the summer. In addition to the ongoing problems in Greece, Ireland and Portugal, the worsening situations of Spain and Italy also became increasingly

9 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US Money Market Fund

Portfolio of Investments as at August 31, 2011

% of % of Coupon Value Net Coupon Value Net Face Value Rate/Yield Maturity (000’s) Asset Face Value Rate/Yield Maturity (000’s) Asset (000’s) % Date $ Value (000’s) % Date $ Value

U.S. Corporate Bond and Notes — 0.98% 25,000 Deutsche Bank AG 0.360 1/17/2012 25,000 0.61 25,000 American Honda Finance Corp., 25,000 DnB NOR Bank ASA 0.300 10/6/2011 25,000 0.60 144A * 0.302 12/8/2011 25,000 0.61 35,000 HSBC Bank PLC 0.350 2/13/2012 35,001 0.84 15,394 General Electric Capital Corp. * 0.386 8/2/2012 15,376 0.37 350 National Australia Bank Ltd. 0.390 10/19/2011 350 0.01 36,575 Royal Bank of Canada 0.260 1/13/2012 36,575 0.88 Total U.S. Corporate Bond and Notes (Cost $40,376) 40,376 0.98 35,000 Royal Bank of Canada 0.350 2/12/2012 35,000 0.85 U.S. Denominated Bonds and Notes — 1.83% 20,100 Royal Bank of Scotland 0.530 9/9/2011 20,100 0.49 10,497 Cooperatieve Centrale 22,000 Royal Bank of Scotland 0.590 3/1/2012 22,000 0.53 Raiffeisen-Boerenleenbank BA, 4,250 Skandinav Enskilda Banken AG 0.330 9/7/2011 4,250 0.10 144A * 0.453 1/26/2012 10,504 0.25 13,350 Skandinav Enskilda Banken AG 0.330 10/13/2011 13,350 0.32 20,000 ING Bank NV, 144A * 1.046 3/30/2012 20,045 0.49 2,695 Skandinav Enskilda Banken AG 0.380 12/7/2011 2,695 0.06 10,000 Nordea Bank AB, 144A * 0.393 8/17/2012 10,000 0.24 25,000 Societe Generale North 10,000 Westpac Banking Corp. * 0.403 8/28/2012 9,999 0.24 America * 0.672 5/9/2012 25,000 0.61 25,000 Westpac Banking Corp., 144A * 0.286 9/6/2012 24,999 0.61 10,000 Standard Chartered Bank 0.385 10/11/2011 10,000 0.24 15,000 Standard Chartered Bank 0.280 1/11/2012 15,000 0.36 Total U.S. Denominated Bonds and Notes (Cost $75,547) 75,547 1.83 25,000 Standard Chartered Bank 0.390 1/27/2012 25,000 0.61 14,000 Standard Chartered Bank * 0.446 4/6/2012 14,000 0.34 U.S. Government Agency Discount Notes — 3.69% 85,000 State Street Bank 0.140 10/3/2011 85,000 2.06 55,000 Federal Farm Credit Branch 60,000 Sumitomo Mitsui Banking Corp. 0.130 9/1/2011 60,000 1.45 Discount Note 0.130 9/13/2011 54,998 1.33 74,425 Sumitomo Mitsui Banking Corp. 0.150 9/7/2011 74,425 1.80 40,000 FMNA Discount Note 0.150 10/17/2011 39,992 0.97 20,000 Svenska Handelsbanken 0.380 2/3/2012 20,000 0.48 57,645 FNMA Discount Note 0.135 12/21/2011 57,621 1.39 27,650 Toronto Dominion Bank 0.330 9/6/2011 27,650 0.67 Total U.S. Government Agency Discount Notes (Cost $152,611) 152,611 3.69 22,000 Toronto Dominion Bank 0.235 11/10/2011 22,000 0.53 25,000 Toronto Dominion Bank 0.280 1/20/2012 25,000 0.61 U.S. Government Agency Obligations — 1.78% 25,000 UBS AG 0.500 9/30/2011 25,002 0.60 25,000 Federal Farm Credit Bank * 0.205 10/7/2011 25,000 0.61 10,000 UBS AG 0.310 11/18/2011 10,000 0.24 10,250 FHLB Corp. * 0.216 10/13/2011 10,250 0.24 10,000 UBS AG 0.280 12/12/2011 10,000 0.24 38,435 FHLB Corp. 0.140 6/6/2012 38,422 0.93 25,000 UBS AG 0.265 12/16/2011 24,997 0.60 28,800 UBS AG 0.325 1/26/2012 28,800 0.70 Total U.S. Government Agency Obligations (Cost $73,672) 73,672 1.78 8,950 Westpac Banking Corp. 0.230 12/9/2011 8,949 0.21 U.S. Treasury Obligations — 3.64% Total Certificates of Deposit (Cost $1,202,654) 1,202,654 29.11 100,000 U.S. Treasury Note 4.500 9/30/2011 100,334 2.43 25,000 U.S. Treasury Note 0.875 1/31/2012 25,072 0.60 Commercial Paper — 35.39% 25,000 U.S. Treasury Note 0.875 2/29/2012 25,085 0.61 30,000 Abbott Laboratories 0.060 9/6/2011 30,000 0.73 18,000 ANZ International Ltd. 0.260 12/7/2011 17,987 0.44 Total U.S. Treasury Obligations (Cost $150,491) 150,491 3.64 19,625 ASB Finance Ltd., 144A * 0.363 1/20/2012 19,625 0.47 Certificates of Deposit — 29.11% 15,250 ASB Finance Ltd., 144A * 0.348 3/15/2012 15,250 0.37 25,000 Bank of America Corp. 0.310 10/5/2011 25,000 0.61 21,975 Australia & New Zealand 48,700 Bank of Montreal 0.170 10/7/2011 48,700 1.18 Banking Group Ltd. 0.240 12/16/2011 21,959 0.53 45,000 Bank of Montreal 0.250 11/22/2011 45,000 1.09 23,000 Australia & New Zealand 25,000 Bank of Nova Scotia 0.270 10/7/2011 25,001 0.60 Banking Group Ltd. 0.300 1/23/2012 22,972 0.56 25,000 Bank of Nova Scotia 0.300 2/10/2012 25,000 0.61 3,400 Bank of Nova Scotia 0.180 9/6/2011 3,400 0.08 40,000 Bank of Nova Scotia * 0.450 6/11/2012 40,059 0.97 50,000 Barclays U.S. Funding LLC 0.100 9/1/2011 50,000 1.21 25,000 Bank of Tokyo Mitsubishi 0.280 11/23/2011 25,000 0.61 46,000 Barclays U.S. Funding LLC 0.350 11/21/2011 45,964 1.11 11,000 Barclays Bank PLC 0.550 2/24/2012 11,000 0.27 50,000 BHP Billiton Finance USA Ltd. 0.150 10/11/2011 49,992 1.21 9,800 Barclays Bank PLC 0.420 3/12/2012 9,800 0.24 22,000 BNZ International Finance Ltd. 0.200 9/6/2011 21,999 0.53 25,000 Barclays Bank PLC * 0.607 3/15/2012 25,000 0.61 15,000 BNZ International Finance Ltd. 0.371 1/13/2012 14,979 0.36 25,000 BNP Paribas 0.430 9/6/2011 25,000 0.61 20,000 BNZ International Finance Ltd., 5,000 BNP Paribas 0.530 9/28/2011 5,000 0.12 144A * 0.346 4/17/2012 19,999 0.48 10,000 BNP Paribas * 0.557 11/15/2011 10,000 0.24 15,000 Caisse d’amortissement de la 40,000 Canadian Imperial Bank of Dette Sociale 0.341 9/19/2011 14,997 0.36 Commerce * 0.310 2/17/2012 40,000 0.97 18,000 Caisse d’amortissement de la 4,150 Commonwealth Bank of Dette Sociale 0.250 10/24/2011 17,993 0.44 Australia 0.230 12/6/2011 4,150 0.10 25,000 Caisse d’amortissement de la 21,850 Credit Suisse AG 0.250 1/6/2012 21,850 0.53 Dette Sociale 0.270 1/13/2012 24,975 0.61 26,000 Credit Suisse AG 0.420 2/21/2012 26,000 0.63 23,775 Canadian Imperial Bank 0.300 2/10/2012 23,743 0.58 25,000 Credit Suisse AG * 0.296 3/30/2012 25,000 0.61 14,000 Commerzbank U.S. Finance, Inc. 0.421 10/26/2011 13,991 0.34 25,000 Deutsche Bank AG 0.230 9/16/2011 25,000 0.60 11,742 Commerzbank U.S. Finance, Inc. 0.361 12/5/2011 11,731 0.28 10,950 Deutsche Bank AG 0.370 9/20/2011 10,950 0.27

The accompanying notes are an integral part of the Financial Statements

10 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US Money Market Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Coupon Value Net Coupon Value Net Face Value Rate/Yield Maturity (000’s) Asset Face Value Rate/Yield Maturity (000’s) Asset (000’s) % Date $ Value (000’s) % Date $ Value

Commercial Paper — (continued) Repurchase Agreements — 9.08% 15,000 Commonwealth Bank of 250,000 Deutsche Bank Securities, Inc., Australia 0.200 9/12/2011 14,999 0.36 Repurchase Agreement 0.03% 20,000 Commonwealth Bank of to be repurchased at Australia 0.321 1/17/2012 19,975 0.48 $250,000,208 (collateralised 25,000 Commonwealth Bank of by U.S. Treasury Bond, 2.625% Australia 0.376 2/6/2012 24,959 0.60 due 12/31/2014 and U.S. 15,000 Credit Agricole S.A. North Treasury Bond, 1.250% due America 0.491 9/23/2011 14,996 0.36 9/30/2015, market value 24,440 Credit Agricole S.A. North $250,000,012) 0.030 9/1/2011 250,000 6.05 America 0.381 11/7/2011 24,423 0.59 125,000 Goldman Sachs Group, Inc., 47,000 DnB NOR Bank ASA 0.290 11/21/2011 46,969 1.14 Repurchase Agreement 0.03% 25,000 General Electric Capital Corp. 0.080 9/9/2011 25,000 0.61 to be repurchased at 50,000 General Electric Capital Corp. 0.150 10/18/2011 49,990 1.21 $125,000,104 (collateralised by 45,000 HSBC USA, Inc. 0.080 9/2/2011 45,000 1.09 FNMA, 7.125% due 1/15/2030, 13,000 HSBC USA, Inc. 0.175 9/6/2011 13,000 0.32 market value $127,506,275) 0.030 9/1/2011 125,000 3.03 750 ING (U.S.) Funding LLC 0.200 10/6/2011 750 0.02 Total Repurchase Agreements (Cost $375,000) 375,000 9.08 39,250 Lloyds TSB Bank PLC 0.451 9/16/2011 39,243 0.95 30,275 Natixis U.S. Finance Co. 0.582 9/2/2011 30,275 0.73 Time Deposits — 14.47% 30,000 Nestle Capital Corp. 0.200 12/6/2011 29,984 0.73 50,000 Bank of Nova Scotia 0.070 9/1/2011 50,000 1.21 1,304 Nestle Finance International Ltd. 0.140 10/3/2011 1,304 0.03 60,000 Bank of Tokyo Mitsubishi 0.080 9/1/2011 60,000 1.45 2,500 Nordea North America, Inc. 0.205 10/19/2011 2,499 0.06 65,000 DnB NOR Bank ASA 0.090 9/1/2011 65,000 1.57 20,000 Nordea North America, Inc. 0.250 12/1/2011 19,987 0.48 105,000 Lloyds TSB Bank PLC 0.090 9/1/2011 105,000 2.54 40,000 Nordea North America, Inc. 0.310 1/20/2012 39,951 0.97 80,000 National Australia Bank Ltd. 0.060 9/1/2011 80,000 1.94 10,000 Nordea North America, Inc. 0.316 1/20/2012 9,988 0.24 75,000 Royal Bank of Canada 0.040 9/1/2011 75,000 1.82 3,725 Novartis Securities Investment 48,107 Royal Bank of Scotland 0.100 9/1/2011 48,107 1.16 Ltd. 0.200 11/18/2011 3,723 0.09 60,000 Svenska Handelsbanken 0.090 9/1/2011 60,000 1.45 55,000 NRW Bank 0.190 9/12/2011 54,997 1.33 55,000 Swedbank 0.100 9/1/2011 55,000 1.33 16,025 NRW Bank 0.240 10/11/2011 16,021 0.39 1,154 Procter & Gamble Co. 0.100 10/14/2011 1,154 0.03 Total Time Deposits (Cost $598,107) 598,107 14.47 29,862 Rabobank USA Financial Corp. 0.250 9/8/2011 29,861 0.72 Total Investments (Cost $4,130,741) 4,130,741 99.97 1,772 Rabobank USA Financial Corp. 0.260 1/6/2012 1,770 0.04 20,000 RBS Finance NV 0.481 11/3/2011 19,983 0.48 Other Assets Less Liabilities 1,322 0.03 4,025 Reckitt Benckiser, Inc. 0.421 9/19/2011 4,024 0.10 12,155 Reckitt Benckiser, Inc. 0.441 10/3/2011 12,150 0.29 Total Net Assets $4,132,063 100.00 15,000 Reckitt Benckiser, Inc. 0.441 11/18/2011 14,986 0.36 144A Securities exempt from registration under Rule 144A of the Securities Act of 1933, 1,350 Reckitt Benckiser, Inc. 0.401 2/6/2012 1,348 0.03 as amended. These securities may only be resold, in transactions exempt from 29,250 Royal Bank of Scotland 0.531 2/6/2012 29,182 0.71 registration, to qualified institutional buyers. As at August 31, 2011, these securities 50,000 Sanofi-Aventis S.A. 0.341 9/16/2011 49,993 1.21 amounted to $145,421,745 or 3.52% of net assets. 25,000 Skandinav Enskilda Banken AG 0.310 11/18/2011 24,983 0.61 * Variable rate security. The interest rate shown reflects the rate in effect at August 31, 2011. 18,000 Skandinav Enskilda Banken AG 0.360 11/22/2011 17,985 0.44 25,000 Skandinav Enskilda Banken AG 0.431 1/6/2012 24,962 0.60 ? Security is valued in good faith at fair value by or at the discretion of the Investment Manager. 20,000 Societe Generale North America 0.521 9/1/2011 20,000 0.48 25,000 Societe Generale North America 0.451 10/6/2011 24,989 0.61 ALL SECURITIES ARE TRANSFERABLE SECURITIES OR MONEY MARKET 15,000 Standard Chartered Bank 0.522 11/10/2011 14,985 0.36 INSTRUMENTS ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR TRADED ON A 25,000 Svenska Handelsbank 0.260 10/18/2011 24,992 0.61 REGULATED MARKET EXCEPT FOR TIME DEPOSITS WHICH ARE DEPOSITS WITH CREDIT INSTITUTIONS. 10,000 Svenska Handelsbank 0.280 11/9/2011 9,995 0.24 32,035 Svenska Handelsbank 0.300 1/13/2012 31,999 0.77 % of Total 13,100 Swedbank 0.501 9/6/2011 13,099 0.32 Analysis of Total Assets Assets 5,000 Swedbank 0.491 9/23/2011 4,998 0.12 23,875 Swedbank 0.491 9/26/2011 23,867 0.58 Transferable securities and money market instruments admitted to an official 25,000 Swedbank 0.370 11/22/2011 24,979 0.61 exchange listing or traded on a regulated market 85.46 1,500 Swedbank 0.380 11/28/2011 1,499 0.04 Deposits with credit institutions 14.47 20,000 Swedbank 0.421 1/6/2012 19,970 0.48 Other assets 0.07 20,000 Westpac Banking Corp. 0.280 1/6/2012 19,980 0.48 25,000 Westpac Banking Corp. 0.361 2/3/2012 24,961 0.60 Total Assets 100.00

Total Commercial Paper (Cost $1,462,283) 1,462,283 35.39

The accompanying notes are an integral part of the Financial Statements

11 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US Core Bond Fund

Portfolio of Investments as at August 31, 2011

% of % of Face Value Net Face Value Net Value Coupon Maturity (000’s) Asset Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

Asset-Backed Securities — 2.68% 203 Credit Suisse First Boston 11 Asset Backed Securities Corp. Mortgage Securities Corp., Home Equity, Series HE3 * 0.747 11/15/2031 9 0.04 Series 9 6.000 10/25/2035 116 0.54 83 Citigroup Mortgage Loan Trust, 150 Credit Suisse Mortgage Capital Inc., Series SHL1, 144A * 0.418 11/25/2045 58 0.27 Certificates, Series 2007-C4, 16 Countrywide Home Equity Loan Class A3 * 5.993 9/15/2039 158 0.74 Trust, Series 2002-F, Class A * 0.557 11/15/2028 15 0.07 60 Credit Suisse Mortgage Capital 50 Education Funding Capital Trust Certificates, Series 2007-C5, I, Series 3 * ? 2.430 12/15/2042 47 0.22 Class A3 5.694 9/15/2040 62 0.29 25 Greenpoint Manufactured 40 DBUBS Mortgage Trust, Housing, Series 2 * 3.186 2/20/2032 16 0.07 Series LC3A * 3.642 8/10/2044 41 0.19 25 Greenpoint Manufactured 88 Greenpoint Mortgage Funding Housing, Series 2 * 3.187 3/13/2032 16 0.08 Trust, Series 2005-AR1, 157 GSRPM Mortgage Loan Trust, Class A2A * 0.438 6/25/2045 57 0.26 Series 2, 144A * 0.518 9/25/2036 122 0.57 30 Greenwich Capital Commercial 100 Northstar Education Finance, Funding Corp., Series GG7 6.074 7/10/2038 33 0.15 Inc., Series 1 * 0.000 10/30/2045 62 0.29 506 Harborview Mortgage Loan 97 Option One Mortgage Loan Trust, Series 2006-14, Trust, Series 1 * 1.058 2/25/2033 76 0.35 Class 2A1B * 0.412 1/25/2047 96 0.45 65 RAAC Series, Series 2006-RP1, 263 LB-UBS Commercial Mortgage Class A3, 144A * 0.518 10/25/2045 54 0.25 Trust, Series 2001-C3, Class X, 14 Residential Asset Securities 144A † 0.885 6/15/2036 – – Corp., Series 2001-KS2I, 120 Morgan Stanley Capital I, Class AII * 0.678 6/25/2031 10 0.05 Series 2005-HQ6, Class A4A 4.989 8/13/2042 129 0.60 100 SLM Student Loan Trust, 30 Morgan Stanley Capital I, Series 5 * 0.677 9/16/2024 90 0.42 Series IQ11 * 5.898 10/15/2042 33 0.16 11 Structured Adjustable Rate Total Asset-Backed Securities (Cost $623) 575 2.68 Mortgage Loan Trust, Collateralised Mortgage-Backed Obligations — 8.86% Series 2004-10, Class 1A1 * 2.464 8/25/2034 9 0.04 162 American Home Mortgage 181 Structured Asset Mortgage Assets, Series 2006-3, Investments, Inc., Series AR8 * 0.552 5/19/2035 148 0.69 Class 3A12 * 0.408 10/25/2046 85 0.40 83 Structured Asset Securities 33 American Home Mortgage Corp., Series 11A * 2.748 6/25/2032 25 0.12 Investment Trust, Series 2004-1, 59 Structured Asset Securities Class 1A * 0.918 4/25/2044 27 0.13 Corp., Series 7H * 2.204 3/25/2033 41 0.19 30 Banc of America Merrill Lynch 34 Structured Asset Securities Commercial Mortgage, Inc., Corp., Series RF1, 144A * 0.568 3/25/2035 28 0.13 Series 2 * 5.921 5/10/2045 33 0.15 135 Voyager CNTYW Delaware 483 Banc of America Mortgage Trust, Series 1, 144A * † 0.458 3/16/2030 53 0.25 Securities, Inc., Series C * 2.857 4/25/2033 150 0.70 76 Wells Fargo Mortgage Backed 93 Bear Stearns Alt-A Trust, Securities Trust, Series I * 2.798 7/25/2034 34 0.16 Series 2004-11, Class 2A2 * 3.076 11/25/2034 64 0.30 Total Collateralised Mortgage-Backed Obligations 113 Bear Stearns Alt-A Trust, (Cost $2,687) 1,901 8.86 Series 2004-11, Class 2A6A * 5.128 11/25/2034 99 0.46 133 Countrywide Alternative Loan Corporate Bonds and Notes — 25.60% Trust, Series 2005-17, Aerospace/Defense — 0.15% Class 1A1 * 0.478 7/25/2035 84 0.39 20 The Boeing Co. 4.875 2/15/2020 22 0.10 213 Countrywide Alternative Loan 10 Raytheon Co. 3.125 10/15/2020 10 0.05 Trust, Series 2005-38, 32 0.15 Class A3 * 0.568 9/25/2035 129 0.60 44 Countrywide Home Loan Agriculture — 0.46% Mortgage Pass Through Trust, 10 Altria Group, Inc. 8.500 11/10/2013 12 0.06 Series 2003-HYB1, Class 1A1 * 2.772 5/19/2033 39 0.18 10 Altria Group, Inc. 9.250 8/6/2019 13 0.06 78 Countrywide Home Loan 50 Altria Group, Inc. 4.750 5/5/2021 52 0.24 Mortgage Pass Through Trust, 20 Reynolds American, Inc. 7.250 6/1/2012 21 0.10 Series 2005-11, Class 6A1 * 0.518 3/25/2035 48 0.22 133 Countrywide Home Loan 98 0.46 Mortgage Pass Through Trust, Series 2005-3, Class 1A2 * 0.508 4/25/2035 80 0.37

The accompanying notes are an integral part of the Financial Statements

12 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US Core Bond Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Face Value Net Face Value Net Value Coupon Maturity (000’s) Asset Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

Corporate Bonds and Notes — (continued) 70 The Goldman Sachs Group, Inc. 5.950 1/18/2018 75 0.35 Airlines — 1.13% 50 The Goldman Sachs Group, Inc. 5.375 3/15/2020 51 0.24 133 Continental Airlines, Inc., 60 The Goldman Sachs Group, Inc. 6.250 2/1/2041 59 0.28 Series 071A 5.983 4/19/2022 135 0.63 70 JPMorgan Chase & Co. 3.150 7/5/2016 71 0.33 76 Delta Air Lines, Inc., Series 071A 6.821 8/10/2022 77 0.36 50 JPMorgan Chase & Co. 6.125 6/27/2017 56 0.26 30 Northwest Airlines, Inc., 150 Wachovia Capital Trust III * 5.570 Perpetual 131 0.61 Series 992A 7.575 3/1/2019 31 0.14 40 Wachovia Corp. 5.625 10/15/2016 44 0.20 5 Wells Fargo & Co. 5.000 11/15/2014 5 0.02 243 1.13 20 Wells Fargo Capital X 5.950 12/15/2036 20 0.09 Beverages — 0.38% 1,018 4.75 60 Anheuser-Busch InBev Worldwide, Inc. 5.375 1/15/2020 70 0.33 Financials – Capital Markets — 0.19% 9 PepsiCo, Inc. 7.900 11/1/2018 12 0.05 140 Lehman Brothers Holdings zero Capital Trust VII e coupon Perpetual – – 82 0.38 280 Lehman Brothers Holdings, zero Chemicals — 0.16% Inc. e coupon Perpetual – – 30 CF Industries, Inc. 6.875 5/1/2018 34 0.16 270 Lehman Brothers Holdings, zero 1 CF Industries, Inc. 7.125 5/1/2020 1 – Inc. e coupon 12/28/2017 – – 213 Lehman Escrow Receipt ? zero 35 0.16 coupon Perpetual 1 – 104 Lehman Swap Receipt ? zero Electric — 0.47% coupon Perpetual 42 0.19 20 The Cleveland Electric Illuminating Co. 5.650 12/15/2013 22 0.10 43 0.19 30 FirstEnergy Corp., Series C 7.375 11/15/2031 35 0.16 40 FirstEnergy Solutions Corp. 4.800 2/15/2015 44 0.21 Financials – Diversified — 4.89% 90 American Express Co. * 6.800 9/1/2066 90 0.42 101 0.47 80 The Bear Stearns Cos, Inc. 5.550 1/22/2017 86 0.40 10 Boeing Capital Corp. 4.700 10/27/2019 11 0.05 Energy — 2.91% 40 Caterpillar Financial Services 30 Anadarko Petroleum Corp. 6.375 9/15/2017 35 0.16 Corp. 1.900 12/17/2012 41 0.19 60 Anadarko Petroleum Corp. 8.700 3/15/2019 77 0.36 80 Countrywide Financial Corp. 6.250 5/15/2016 81 0.38 20 Apache Corp. 6.250 4/15/2012 21 0.10 150 Ford Motor Credit Co. LLC 12.000 5/15/2015 181 0.85 20 Apache Corp. 5.100 9/1/2040 21 0.10 20 General Electric Capital Corp. 5.900 5/13/2014 22 0.10 30 Baker Hughes, Inc. 5.125 9/15/2040 32 0.15 110 General Electric Capital Corp. 4.625 1/7/2021 114 0.53 10 Chesapeake Energy Corp. 6.625 8/15/2020 10 0.05 110 General Electric Capital Corp. * 6.375 11/15/2067 109 0.51 40 ConocoPhillips Holding Co. 6.950 4/15/2029 51 0.24 60 Goldman Sachs Capital II * 5.793 Perpetual 43 0.20 40 Devon Energy Corp. 5.600 7/15/2041 43 0.20 60 Morgan Stanley 5.625 1/9/2012 61 0.28 20 Energy Transfer Partners LP 6.700 7/1/2018 23 0.11 30 Morgan Stanley 4.750 4/1/2014 30 0.14 80 Enterprise Products Operating 30 Morgan Stanley * 0.700 10/18/2016 26 0.12 LLC 4.050 2/15/2022 81 0.38 60 Private Export Funding Corp. 2.125 7/15/2016 62 0.29 40 Enterprise Products Operating 60 SLM Corp. 5.625 8/1/2033 50 0.23 LLC 5.700 2/15/2042 40 0.18 40 State Street Corp. 4.956 3/15/2018 43 0.20 10 Kerr-McGee Corp. 6.950 7/1/2024 12 0.05 30 Occidental Petroleum Corp. 3.125 2/15/2022 30 0.14 1,050 4.89 90 Pemex Project Funding Master Trust 6.625 6/15/2035 100 0.46 Food — 0.53% 39 The Williams Cos., Inc. 7.875 9/1/2021 49 0.23 60 Kraft Foods, Inc. 5.375 2/10/2020 68 0.32 20 The Kroger Co. 3.900 10/1/2015 21 0.10 625 2.91 10 The Kroger Co. 6.400 8/15/2017 12 0.06 10 The Kroger Co. 6.150 1/15/2020 12 0.05 Financials – Banks — 4.75% 10 Bank of America Corp. 4.500 4/1/2015 10 0.05 113 0.53 150 Bank of America Corp. 5.420 3/15/2017 146 0.68 30 Bank of America Corp. 5.000 5/13/2021 29 0.14 Healthcare – Products — 0.05% 30 Citigroup, Inc. 5.500 10/15/2014 32 0.15 10 Medtronic, Inc. 4.450 3/15/2020 11 0.05 30 Citigroup, Inc. 3.953 6/15/2016 31 0.14 Healthcare – Services — 0.77% 170 Citigroup, Inc. 6.125 11/21/2017 186 0.87 20 Roche Holdings, Inc., 144A 6.000 3/1/2019 24 0.11 10 Citigroup, Inc. 5.375 8/9/2020 11 0.05 20 UnitedHealth Group, Inc. 3.875 10/15/2020 21 0.10 20 Citigroup, Inc. 5.875 5/29/2037 19 0.09 20 UnitedHealth Group, Inc. 5.800 3/15/2036 21 0.10 40 The Goldman Sachs Group, Inc. 5.625 1/15/2017 42 0.20 10 UnitedHealth Group, Inc. 5.700 10/15/2040 11 0.05

The accompanying notes are an integral part of the Financial Statements

13 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US Core Bond Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Face Value Net Face Value Net Value Coupon Maturity (000’s) Asset Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

Corporate Bonds and Notes — (continued) 20 Santa Clara Valley Healthcare – Services — (continued) Transportation Authority 5.876 4/1/2032 23 0.11 43 WellPoint Health Networks, Inc. 6.375 1/15/2012 44 0.20 266 1.25 30 WellPoint, Inc. 6.000 2/15/2014 33 0.15 10 WellPoint, Inc. 5.875 6/15/2017 12 0.06 Pharmaceuticals — 0.16% 30 Wyeth 5.950 4/1/2037 35 0.16 166 0.77 Retail — 0.76% Industrial — 0.50% 133 CVS Pass-Through Trust, 144A 5.789 1/10/2026 142 0.66 20 Caterpillar, Inc. 3.900 5/27/2021 21 0.10 9 CVS Pass-Through Trust 5.880 1/10/2028 9 0.04 32 RailAmerica, Inc. 9.250 7/1/2017 35 0.16 10 Wal-Mart Stores, Inc. 6.200 4/15/2038 12 0.06 10 Thermo Fisher Scientific, Inc. 3.600 8/15/2021 10 0.05 40 United Parcel Service, Inc. 3.125 1/15/2021 41 0.19 163 0.76

107 0.50 Telecommunications — 1.70% 20 AT&T, Inc. 3.875 8/15/2021 21 0.10 Insurance — 1.49% 40 AT&T, Inc. 6.300 1/15/2038 45 0.21 30 American International Group, 60 AT&T, Inc. 5.550 8/15/2041 63 0.30 Inc. 5.850 1/16/2018 30 0.14 10 Cellco Partnership / Verizon 10 American International Group, Wireless Capital LLC 8.500 11/15/2018 13 0.06 Inc. 6.400 12/15/2020 10 0.04 100 Sprint Capital Corp. 6.900 5/1/2019 98 0.46 130 American International Group, 40 Verizon Communications, Inc. 6.100 4/15/2018 48 0.22 Inc. 6.250 3/15/2037 105 0.49 20 Verizon Communications, Inc. 4.600 4/1/2021 22 0.10 85 MetLife, Inc. 6.400 12/15/2036 77 0.36 10 Verizon Communications, Inc. 6.000 4/1/2041 11 0.05 50 Prudential Financial, Inc. 2.750 1/14/2013 51 0.24 40 Verizon Global Funding Corp. 7.375 9/1/2012 43 0.20 40 Teachers Insurance & Annuity Association of America 6.850 12/16/2039 48 0.22 364 1.70

321 1.49 Utilities — 0.63% 66 Energy Future Intermediate Media — 2.27% Holding Co. LLC / EFIH Finance, 85 Charter Communications Inc. 10.000 12/1/2020 67 0.31 Operating LLC / Charter 30 Kinder Morgan Energy Partners Communications Operating LP 6.000 2/1/2017 34 0.16 Capital, 144A 10.875 9/15/2014 92 0.43 30 Pacific Gas & Electric Co. 6.050 3/1/2034 34 0.16 50 Comcast Cable Holdings LLC 9.800 2/1/2012 52 0.24 130 Comcast Corp. 6.500 1/15/2015 149 0.69 135 0.63 10 News America, Inc. 6.650 11/15/2037 11 0.05 70 Time Warner Cable, Inc. 8.250 2/14/2014 81 0.38 Total Corporate Bonds and Notes (Cost $5,910) 5,495 25.60 10 Time Warner Cable, Inc. 8.750 2/14/2019 13 0.06 U.S. Denominated Bonds and Notes — 12.17% 30 Time Warner Cable, Inc. 8.250 4/1/2019 38 0.18 Australia — 0.57% 10 Time Warner Cable, Inc. 4.125 2/15/2021 10 0.05 20 Commonwealth Bank of 30 Time Warner Cable, Inc. 5.875 11/15/2040 31 0.14 Australia, 144A 3.750 10/15/2014 21 0.10 10 Time Warner, Inc. 4.700 1/15/2021 10 0.05 10 Commonwealth Bank of 487 2.27 Australia, 144A 5.000 10/15/2019 11 0.05 80 Rio Tinto Finance USA Ltd. 3.500 11/2/2020 80 0.37 Municipal — 1.25% 10 Rio Tinto Finance USA Ltd. 4.125 5/20/2021 10 0.05 10 City of Chicago Il 5.500 1/1/2031 11 0.05 20 Illinois St 5.665 3/1/2018 21 0.10 122 0.57 20 Illinois St 5.877 3/1/2019 21 0.10 Belgium — 0.22% 10 Liberty N Y Dev Corp. Rev 5.250 10/1/2035 10 0.05 40 Delhaize Group S.A. 6.500 6/15/2017 47 0.22 20 Los Angeles California Department of Airports 5.000 5/15/2035 21 0.10 Canada — 2.09% 20 Los Angeles Department of 116 Canadian National Railway Co. Water & Power 6.574 7/1/2045 24 0.11 Financing Pass Through Trusts, 50 Northstar Education Finance, Series 97A2 7.195 1/2/2016 139 0.65 Inc. ? 0.364 1/29/2046 41 0.19 10 Potash Corp. of Saskatchewan, 100 Pennsylvania Higher Education Inc. 4.875 3/30/2020 11 0.05 Assistance Agency 0.248 6/1/2047 94 0.44 200 Province of Quebec Canada 2.750 8/25/2021 196 0.91

The accompanying notes are an integral part of the Financial Statements

14 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US Core Bond Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Face Value Net Face Value Net Value Coupon Maturity (000’s) Asset Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Denominated Bonds and Notes — (continued) Switzerland — 0.09% Canada — (continued) 20 UBS AG 4.875 8/4/2020 20 0.09 100 The Toronto-Dominion Bank 2.200 7/29/2015 104 0.48 United Kingdom — 1.52% 450 2.09 20 BP Capital Markets PLC 5.250 11/7/2013 22 0.10 40 BP Capital Markets PLC 3.125 10/1/2015 42 0.20 Cayman Islands — 1.22% 70 Diageo Capital PLC 4.828 7/15/2020 78 0.36 37 Petrobras International 40 HSBC Capital Funding LP, Finance Co. 5.750 1/20/2020 40 0.19 144A * 4.610 Perpetual 38 0.18 50 Petrobras International 150 Royal Bank of Scotland PLC 3.950 9/21/2015 146 0.68 Finance Co. 5.375 1/27/2021 54 0.25 105 Resona Preferred Global 326 1.52 Securities Cayman Ltd., 144A * 7.191 Perpetual 102 0.48 Total U.S. Denominated Bonds and Notes (Cost $3,018) 2,611 12.17 40 Transocean, Inc. 5.250 3/15/2013 42 0.19 20 Vale Overseas Ltd. 6.250 1/23/2017 23 0.11 U.S. Denominated Debt Obligations — 0.54% (Cost $105) Russia — 0.54% 261 1.22 97 Russian Government France — 1.65% International Bond 7.500 3/31/2030 116 0.54 100 Cie de Financement Foncier 2.250 3/7/2014 102 0.48 U.S. Government Agency Discount Notes — 1.16% 250 Dexia Credit Local S.A. 2.750 4/29/2014 251 1.17 150 FHLB Discount Notes zero 353 1.65 coupon 2/10/2012 150 0.70 100 FHLMC Corp. Discount Notes, zero Iceland — 1.04% Series RB coupon 12/1/2011 100 0.46 100 Glitnir Banki HF, 144A † e 6.375 9/25/2012 26 0.12 100 Glitnir Banki HF, 144A ? e 6.693 6/15/2016 – – Total U.S. Government Agency Discount Notes (Cost $250) 250 1.16 800 Kaupthing Bank HF, 144A † e 7.625 2/28/2015 196 0.92 U.S. Government Agency Mortgage-Backed Securities — 42.46% 830 Kaupthing Bank HF, 144A ? e 7.125 5/19/2016 – – Federal Home Loan Mortgage Corporation (FHLMC) — 5.65% 222 1.04 221 FHLMC Corp. 5.000 3/1/2038 238 1.11 159 FHLMC Corp. 5.500 12/1/2038 174 0.81 Japan — 0.50% 363 FHLMC Corp. 6.000 11/1/2039 403 1.88 100 Japan Finance Corp., Series DTC 2.875 2/2/2015 107 0.50 100 FHLMC Corp. Remics, Series 3738 4.000 12/15/2038 106 0.49 Kyrgystan — 0.16% 100 FHLMC Multifamily Structured 30 Vale Overseas Ltd. 6.875 11/21/2036 34 0.16 Pass Through Certificates, Luxembourg — 0.94% Series K702 1.734 2/25/2018 8 0.04 200 European Investment Bank 3.250 10/14/2011 201 0.94 317 FHLMC Multifamily Structured Pass Through Certificates, Mexico — 0.05% Series K006 1.229 1/25/2020 20 0.09 10 America Movil SAB de CV 5.625 11/15/2017 12 0.05 99 FHLMC Multifamily Structured Netherlands — 1.32% Pass Through Certificates, 120 Bank Nederlandse Gemeenten 4.375 2/16/2021 134 0.62 Series K007 * 1.412 4/25/2020 8 0.04 75 Deutsche Telekom International 119 FHLMC Multifamily Structured Finance BV 5.750 3/23/2016 85 0.40 Pass Through Certificates, 60 Shell International Finance BV 4.375 3/25/2020 65 0.30 Series K008 * 1.841 6/25/2020 12 0.06 300 FHLMC Multifamily Structured 284 1.32 Pass Through Certificates, Series K014 1.455 4/25/2021 26 0.12 South Korea — 0.17% 216 FHLMC Structured Pass Through 35 Export-Import Bank of Korea, Securities, Series 56 * 0.618 5/25/2043 216 1.01 144A 5.250 2/10/2014 37 0.17 1,211 5.65 Spain — 0.14% 10 Telefonica Emisiones SAU 5.877 7/15/2019 10 0.05 Federal National Mortgage Association (FNMA) — 20.80% 20 Telefonica Emisiones SAU 5.462 2/16/2021 19 0.09 100 FNMA, 15 Year September TBA± 3.500 9/15/2026 104 0.49 29 0.14 41 FNMA, Pool #888795 5.500 11/1/2036 45 0.21 Sweden — 0.49% 17 FNMA, Pool #950385 * 5.780 8/1/2037 18 0.08 100 Nordea Bank AB 4.875 1/27/2020 106 0.49 478 FNMA 5.500 5/1/2040 524 2.44 282 FNMA 5.500 7/1/2041 310 1.45

The accompanying notes are an integral part of the Financial Statements

15 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US Core Bond Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Face Value Net Face Value Net Value Coupon Maturity (000’s) Asset Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Government Agency Mortgage-Backed Securities — (continued) 190 FNMA zero Federal National Mortgage Association (FNMA) — (continued) coupon 10/9/2019 141 0.66 100 FNMA, 30 Year September 130 FNMA 5.625 7/15/2037 164 0.76 TBA± 5.500 9/15/2041 109 0.51 200 Tennessee Valley Authority 3.875 2/15/2021 221 1.03 300 FNMA, 30 Year September 80 Tennessee Valley Authority, TBA± 6.000 9/15/2041 332 1.55 Series ELEC 5.250 9/15/2039 94 0.44 200 FNMA, 30 Year September Total U.S. Government Agency Obligations (Cost $970) 1,069 4.98 TBA± 6.500 9/15/2041 223 1.04 900 FNMA, 30 Year October TBA± 4.000 10/15/2041 930 4.33 U.S. Treasury Obligations — 7.07% 950 FNMA, 30 Year October TBA± 4.500 10/15/2041 1,001 4.66 60 U.S. Treasury Bond 4.375 11/15/2039 69 0.32 200 FNMA, 30 Year October TBA± 5.000 10/15/2041 215 1.00 350 U.S. Treasury Bond 3.875 8/15/2040 368 1.72 400 FNMA, 30 Year October TBA± 6.000 10/15/2041 442 2.06 100 U.S. Treasury Bond 4.750 2/15/2041 122 0.57 43 FNMA Interest Strip zero 180 U.S. Treasury Bond 4.375 5/15/2041 206 0.96 coupon 7/25/2038 8 0.04 22 U.S. Treasury Inflationary Index 179 FNMA Remics, Series 81 6.000 1/25/2032 202 0.94 Bond‡ I 1.750 1/15/2028 27 0.13 190 U.S. Treasury Inflationary Index 4,463 20.80 Bond‡ I 2.500 1/15/2029 255 1.19 Government National Mortgage Association (GNMA) — 16.01% 50 U.S. Treasury Note 1.500 6/30/2016 51 0.24 3 GNMA, Pool #464051 7.000 7/15/2028 4 0.02 200 U.S. Treasury Note 2.250 7/31/2018 209 0.97 103 GNMA, Pool #557522 7.000 7/15/2031 120 0.56 30 U.S. Treasury Note 1.375 8/31/2018 30 0.14 51 GNMA, Pool #565347 7.000 8/15/2031 60 0.28 120 U.S. Treasury Note 2.125 8/15/2021 119 0.55 79 GNMA, Pool #584344 7.000 4/15/2032 92 0.43 90 U.S. Treasury Strip Principal zero 846 GNMA, Series 26 * 6.537 10/20/2033 94 0.44 coupon 11/15/2024 61 0.28 20 GNMA, Pool #633717 7.000 9/15/2034 24 0.11 Total U.S. Treasury Obligations (Cost $1,392) 1,517 7.07 100 GNMA, Series 39 * 6.337 11/20/2038 16 0.07 137 GNMA, Series 3 * 6.337 11/20/2038 22 0.10 Repurchase Agreements — 17.71% 93 GNMA, Series 85 * 6.437 1/20/2040 16 0.07 1,900 Goldman Sachs Group, Inc., 87 GNMA, Series 57 * 6.287 5/20/2040 16 0.07 Repurchase Agreement 0.03% 87 GNMA, Series 91 * 6.357 7/20/2040 13 0.06 to be repurchased at 91 GNMA, Pool #4772 5.000 8/20/2040 101 0.47 $1,900,002 (collateralised by 90 GNMA, Series 113 * 5.837 9/20/2040 14 0.07 FHLB, 0.33% due 7/16/2012, 94 GNMA, Series 4 * 5.967 9/20/2040 16 0.07 market value $1,940,000) 0.030 9/1/2011 1,900 8.85 196 GNMA, Pool #4837 6.000 10/20/2040 221 1.03 1,900 Deutsche Bank Securities, Inc., 158 GNMA, Series 151 * 5.837 11/20/2040 26 0.12 Repurchase Agreement 0.05% 97 GNMA, Pool #4923 4.500 1/20/2041 105 0.49 to be repurchased at 95 GNMA, Pool #4961 6.000 2/20/2041 106 0.49 $1,900,003 (collateralised by 393 GNMA, Pool #4978 4.500 3/20/2041 426 1.99 FHLMC 4.125% due 200 GNMA, 30 Year September 12/21/2012, market value TBA± 4.000 9/15/2041 211 0.98 $1,938,000) 0.050 9/1/2011 1,900 8.86 500 GNMA, 30 Year September TBA± 4.500 9/15/2041 541 2.52 Total Repurchase Agreements (Cost $3,800) 3,800 17.71 400 GNMA, 30 Year September Shares/Units (000’s) TBA± 5.500 9/15/2041 447 2.08 200 GNMA, 30 Year September Preferred Stock — 0.00% (Cost $16) TBA± 6.000 9/15/2041 225 1.05 – FNMA 1 – 5,768 GNMA, Series 91 * 0.854 4/16/2044 202 0.94 Total Investments Excluding Options (Cost $27,970) 26,448 123.23 97 GNMA, Series H26 * 0.535 8/20/2058 96 0.45 108 GNMA, Series H01 * ? 1.336 11/20/2059 109 0.51 % of Value Net 117 GNMA, Series H01 * 0.635 11/20/2060 116 0.54 (000’s) Asset Contracts (000’s) $ Value 3,439 16.01 Options — (0.03%) Total U.S. Government Agency Mortgage-Backed Securities Written Options — (0.03%) (Cost $9,199) 9,113 42.46 – Euro$ December 2011, Put 98.25 – – U.S. Government Agency Obligations — 4.98% – Euro$ March 2012, Call 99.50 (3) (0.01) 110 FHLMC Corp. 5.000 2/16/2017 130 0.61 – Euro$ March 2012, Put 99.50 (3) (0.01) 90 FHLMC Corp. 5.625 11/23/2035 99 0.46 – U.S. 10 Year Note October 2011, Call 131.00 (1) (0.01) 210 FNMA 5.250 8/1/2012 220 1.02 – U.S. 10 Year Note October 2011, Call 133.00 – –

The accompanying notes are an integral part of the Financial Statements

16 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US Core Bond Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of Value Net (000’s) Asset Contracts (000’s) $ Value

Options — (continued) Written Options — (continued) – U.S. 10 Year Note October 2011, Put 127.00 – –

(7) (0.03)

Purchased Options — 0.00% – Euro$ December 2011, Put 98.50 – – – Euro$ December 2011, Put 98.75 – – – Euro$ September 2011, Put 99.00 – – – U.S. 10 Year Note October 2011, Call 132.00 – –

––

Total Options (Cost $(6)) (7) (0.03)

Total Investments (Cost $27,964) 26,441 123.20

Liabilities in Excess of Other Assets (4,979) (23.20)

Total Net Assets $21,462 100.00

– Amounts designated as "-" are either $0, less than $1,000 or less than 1,000 shares. 144A Securities exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These securities may only be resold, in transactions exempt from registration, to qualified institutional buyers. As at August 31, 2011, these securities amounted to $1,004,223 or 4.69% of net assets. * Variable rate security. The interest rate shown reflects the rate in effect at August 31, 2011. ? Security is valued in good faith at fair value by or at the discretion of the Investment Manager. † Illiquid. e Security is in default as at August 31, 2011. ± Securities purchased on a to-be-announced basis. ‡ Security held as collateral for future contracts trading as at August 31, 2011. I The rate of interest on this type of security is tied to the Consumer Price Index (CPI). The coupon rate is the rate as of August 31, 2011.

ABBREVIATIONS: TBA – To Be Announced Perpetual – A bond with no maturity date. Perpetual bonds are not redeemable but pay a steady stream of interest.

ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR TRADED ON A REGULATED MARKET EXCEPT FOR FUTURES, OPTIONS AND SWAPS WHICH ARE FINANCIAL DERIVATIVE INSTRUMENTS DEALT IN ON A REGULATED MARKET AND REPURCHASE AGREEMENTS WHICH ARE MONEY MARKET INSTRUMENTS. % of Total Analysis of Total Assets Assets

Transferable securities admitted to an official exchange listing or traded on a regulated market 70.63 Money market instruments 11.85 Financial derivative instruments 0.12 Other assets 17.40

Total Assets 100.00

The accompanying notes are an integral part of the Financial Statements

17 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US Core Bond Fund

Portfolio of Investments as at August 31, 2011 – (continued)

Schedule of Futures Contracts Net Unrealised Nominal Notional Notional Unrealised Unrealised Gain/ (Loss) Value Cost (000’s) Value (000’s) Gains (000’s) Losses (000’s) (000’s)

90 Day Euro$ March 2012 1 $249 $249 – – – 90 Day Euro$ March 2013 (1) (248) (249) – $(1) $(1) 90 Day Euro$ September 2012 2 497 498 $1 – 1 90 Day Euro$ September 2013 (3) (740) (745) – (5) (5) U.S. 10 Year Note December 2011 6 774 774 – – – U.S. 2 Year Note (CBT) December 2011 (4) (882) (882) – – – U.S. 5 Year Note (CBT) December 2011 (18) (2,204) (2,206) – (2) (2) U.S. Long Bond (CBT) December 2011 (1) (135) (136) – (1) (1) U.S. Ultra Bond (CBT) December 2011 3 (423) (429) – (6) (6)

Total Market Value of Future Contracts (15) $(3,112) $(3,126) $1 $(15) $(14)

Schedule of Credit Default Swaps Notional Buy/Sell Expiration Amount Value Counterparty Reference Entity Protection Pay/Receive Date (000’s) (000’s)

Barclays Capital, Inc. CMBX NA, 0.50%, due 2/17/51 Buy 0.50% 2/17/51 30 $8 Citigroup, Inc. CMBX NA, 0.35%, due 2/17/51 Buy 0.35% 2/17/11 15 2 Credit Suisse First Boston, Inc CMBX NA, 0.07%, due 3/15/49 Buy 0.07% 3/15/49 15 1 Credit Suisse First Boston, Inc CMBX NA, 0.10%, due 10/12/52 Buy 0.10% 10/12/52 31 2 Credit Suisse First Boston, Inc CMBX NA, 0.50%, due 10/12/52 Sell 0.50% 10/12/52 20 (2) Credit Suisse First Boston, Inc CMBX NA, 0.50%, due 10/12/52 Sell 0.50% 10/12/52 13 (2) Credit Suisse First Boston, Inc CMBX NA, 0.50%, due 10/12/52 Sell 0.50% 10/12/52 80 (10) Credit Suisse First Boston, Inc. CMBX NA, 0.50%, due 12/13/49 Sell 0.50% 12/13/49 60 (13) Deutsche Bank Securities, Inc. CMBX NA, 0.50%, due 2/17/51 Buy 0.50% 2/17/51 10 3 Deutsche Bank Securities, Inc. Metlife, Inc., 1.00%, due 6/15/15 Sell 1.00% 6/15/15 50 (5) Goldman Sachs Group, Inc. CMBX NA, 0.07%, due 3/15/49 Buy 0.07% 3/15/49 5 – Goldman Sachs Group, Inc. CMBX NA, 0.08%, due 12/13/49 Sell 0.08% 12/13/49 17 (2) Goldman Sachs Group, Inc. CMBX NA, 0.10%, due 10/12/52 Buy 0.10% 10/12/52 77 4 Goldman Sachs Group, Inc. CMBX NA, 0.10%, due 10/12/52 Buy 0.10% 10/12/52 26 1 Goldman Sachs Group, Inc. CMBX NA, 0.35%, due 2/17/51 Buy 0.35% 2/17/51 13 1 Goldman Sachs Group, Inc. CMBX NA, 0.50%, due 10/12/52 Sell 0.50% 10/12/52 12 (1) Goldman Sachs Group, Inc. CMBX NA, 0.50%, due 10/12/52 Sell 0.50% 10/12/52 11 (1) Goldman Sachs Group, Inc. CMBX NA, 0.50%, due 2/17/51 Buy 0.50% 2/17/51 17 4 JP Morgan Securities Inc. CMBX NA, 0.07%, due 3/15/49 Buy 0.50% 3/15/49 20 2 JP Morgan Securities Inc. CMBX NA, 0.35%, due 2/17/51 Buy 0.35% 2/17/51 28 3 JP Morgan Securities Inc. CMBX NA, 0.50%, due 10/12/52 Sell 0.50% 10/12/52 30 (4) Morgan Stanley & Co., Inc. CMBX NA, 0.10%, due 10/12/52 Buy 0.10% 10/12/52 42 2 Morgan Stanley & Co., Inc. CMBX NA, 0.50%, due 2/17/51 Buy 0.50% 2/17/51 20 5 RBS Securities, Inc. CMBX NA, 0.10%, due 10/12/52 Sell 0.10% 10/12/52 28 (1)

$(3)

Credit Default Swaps – Total Financial Assets at Fair Value 38 Credit Default Swaps – Total Financial Liabilities at Fair Value (41)

Credit Default Swaps – Total Financial Assets and Liabilities at Fair Value $(3)

The accompanying notes are an integral part of the Financial Statements

18 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US Core Bond Fund

Portfolio of Investments as at August 31, 2011 – (continued)

Schedule of Total Return Swaps Notional Amount Value Counterparty Reference Entity Expiration Date (000’s) (000’s)

Morgan Stanley & Co., Inc. TRX CMBS 1/1/12 30 – Barclays Capital Inc. USD 1 Month LIBOR/ Markit IOS Index 1/12/41 87 – Goldman Sachs Group Inc. USD 1 Month LIBOR/ Markit IOS Index 1/12/39 74 – Morgan Stanley & Co., Inc. USD 1 Month LIBOR/ Markit IOS Index 1/12/39 41 – BA Securities, Inc. USD 1 Month LIBOR/ Markit IOS Index 1/12/40 79 – Deustche Bank 1M-LIBOR-BBA 1/13/41 90 (1)

$(1)

Total Return Swaps – Total Financial Assets at Fair Value – Total Return Swaps – Total Financial Liabilities at Fair Value (1)

Total Return Swaps – Total Financial Assets and Liabilities at Fair Value $(1)

The accompanying notes are an integral part of the Financial Statements

19 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US Core Plus Bond Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

Asset-Backed Securities — 5.24% 134 Morgan Stanley ABS Capital I, USD 30 Bear Stearns Second Lien Trust, Series NC10 * 1.238 10/25/2033 103 0.05 Series SV1A, 144A * 0.438 12/25/2036 28 0.01 37 MSDWCC Heloc Trust, 163 CDC Mortgage Capital Trust, Series 1 * 0.408 7/25/2017 30 0.01 Series HE1 M1 * 1.568 8/25/2033 121 0.05 200 Nelnet Education Loan Funding, 116 Citigroup Mortgage Loan Trust, Inc., Series 2A * 1.090 2/25/2039 184 0.08 Inc., Series HE2, 144A * 0.618 5/25/2035 108 0.05 137 Origen Manufactured Housing, 7 Conseco Financial Corp., Series B 6.480 1/15/2037 145 0.06 Series 2 9.150 1/15/2018 3 – 1,600 Origen Manufactured Housing, 123 Contimortgage Home Equity Series A * 3.708 4/15/2037 1,008 0.45 Trust, Series 1 9.000 4/25/2030 83 0.04 750 Origen Manufactured Housing, 100 Countryplace Manufactured Series A * 3.708 10/15/2037 484 0.22 Housing Contract Trust, 5 Ownit Mortgage Loan Asset Series 1, 144A ? 5.846 7/15/2037 90 0.04 Backed Certificates, Series 2 * 0.893 3/25/2036 5 – 13 Countrywide Asset-Backed 170 Pegasus Aviation Lease Certificates, Series BC3 * 0.698 12/25/2031 6 – Securitization, Series 1, 144A 8.370 3/25/2030 79 0.04 7 Countrywide Asset-Backed 29 Provident Bank Home Equity Certificates, Series 3 * 0.958 5/25/2032 6 – Loan Trust, Series 3 * 0.998 1/25/2031 14 0.01 95 Countrywide Asset-Backed 13 Renaissance Home Equity Loan Certificates, Series 5 * 0.888 7/25/2034 54 0.03 Trust, Series 1 * 1.078 6/25/2033 10 – 244 Countrywide Asset-Backed 28 Residential Asset Mortgage Certificates, Series 13 5.071 4/25/2035 95 0.04 Products, Inc., Series 2003-RS2, 328 Countrywide Home Equity Loan Class AII * 0.898 3/25/2033 19 0.01 Trust, Series HW * 0.337 11/15/2036 247 0.11 13 Residential Asset Securities 250 Education Funding Capital Trust Corp., Series 2001-KS2I, I, Series 3 * ? 2.430 12/15/2042 236 0.10 Class AII * 0.678 6/25/2031 9 – 800 Education Funding Capital Trust 71 Residential Asset Securities I, Series 1 * 1.450 6/15/2043 740 0.33 Corp., Series KS3, Class AI4 3.770 1/25/2032 64 0.03 176 Finance America Mortgage Loan 109 Residential Asset Securities Trust, Series 1 * 1.268 9/25/2033 139 0.06 Corp., Series KS1 6.349 3/25/2032 98 0.04 630 GMAC Mortgage Corp. Loan 306 SACO I, Inc., Series 7 * 0.478 7/25/2036 94 0.04 Trust, Series VF1, 144A * 0.968 2/25/2031 522 0.23 395 Settlement Fee Finance LLC, 97 GMAC Mortgage Corp. Loan Series 1A, 144A 9.100 7/25/2034 409 0.18 Trust, Series HE1, Class A * 0.428 11/25/2036 60 0.03 100 SLM Student Loan Trust, 200 Greenpoint Manufactured Series 5 * 0.677 9/16/2024 90 0.04 Housing, Series 2 * 3.104 3/18/2029 160 0.07 137 Structured Asset Securities 125 Greenpoint Manufactured Corp., Series AL1 3.450 2/25/2032 125 0.06 Housing, Series 3 * 3.713 6/19/2029 100 0.04 878 Truman Capital Mortgage Loan 75 Greenpoint Manufactured Trust, Series 2006-1, Class A, Housing, Series 4 * 3.686 2/20/2030 60 0.03 144A * 0.478 3/25/2036 612 0.27 150 Greenpoint Manufactured 335 Washington Mutual Asset- Housing, Series 6 * 2.187 11/22/2031 124 0.06 Backed Certificates, Series HE3 * 0.308 5/25/2047 329 0.15 175 Greenpoint Manufactured 3,300 Washington Mutual Asset- Housing, Series 2 * 3.186 2/20/2032 114 0.05 Backed Certificates, Series HE3 * 0.388 5/25/2047 2,291 1.01 225 Greenpoint Manufactured Total Asset-Backed Securities (Cost $11,817) 11,827 5.24 Housing, Series 2 * 3.187 3/13/2032 143 0.06 280 Greenpoint Mortgage Funding Collateralised Mortgage-Backed Obligations — 6.59% Trust, Series HE1 * 0.818 9/25/2034 247 0.11 USD 200 Americold LLC Trust, 277 GSAA Trust, Series 4 * 0.518 3/25/2037 136 0.06 Series ARTA, 144A 4.954 1/14/2029 204 0.09 250 Hertz Vehicle Financing LLC, 100 Asset Securitization Corp., Series 2A, 144A * 5.290 3/25/2016 273 0.12 Series D5 7.130 2/14/2043 103 0.05 600 Illinois Student Assistance 289 Countrywide Alternative Loan Commission, Series 1 * 1.153 7/25/2045 577 0.26 Trust, Series 14 * 0.468 5/25/2035 109 0.05 591 KeyCorp Student Loan Trust, 843 Countrywide Alternative Loan Series A * 0.509 8/27/2031 540 0.24 Trust, Series 56 * 0.528 11/25/2035 511 0.23 181 KeyCorp Student Loan Trust, 152 Countrywide Alternative Loan Series A * 0.513 10/25/2032 169 0.07 Trust, Series OA10, Class 4A1 * 0.408 8/25/2046 81 0.04 850 Lehman XS Trust, Series 2N * 0.478 2/25/2046 444 0.20

The accompanying notes are an integral part of the Financial Statements

20 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US Core Plus Bond Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

Collateralised Mortgage-Backed Obligations — (continued) 92 Harborview Mortgage Loan 111 Countrywide Home Loan Trust, Series 7 * 1.218 11/25/2047 62 0.03 Mortgage Pass Through Trust, 69 Homestar Mortgage Acceptance Series 4 * 0.508 2/25/2035 71 0.03 Corp., Series 3 * 0.668 7/25/2034 58 0.03 1,961 Countrywide Home Loan 58 Impac Secured Assets CMN Mortgage Pass Through Trust, Owner Trust, Series 1 * 0.418 5/25/2036 31 0.01 Series 2004-25, Class 1A1 * 0.548 2/25/2035 1,387 0.61 7 IndyMac Index Mortgage Loan 58 Countrywide Home Loan Trust, Series AR12 * 0.608 12/25/2034 4 – Mortgage Pass Through Trust, 1,349 IndyMac Index Mortgage Loan Series 2004-25, Class 2A1 * 0.558 2/25/2035 40 0.02 Trust, Series AR27 * 0.348 10/25/2036 814 0.36 386 Countrywide Home Loan 160 JP Morgan Chase Commercial Mortgage Pass Through Trust, Mortgage Securities Corp., Series HYB1 * 0.518 3/25/2035 251 0.11 Series LDP5 * 5.373 12/15/2044 176 0.08 212 Countrywide Home Loan 3,500 JP Morgan Chase Commercial Mortgage Pass Through Trust, Mortgage Securities Corp., Series 7 * 0.528 3/25/2035 129 0.06 Series C4, 144A 1.813 7/15/2046 283 0.12 310 Countrywide Home Loan 100 JP Morgan Chase Commercial Mortgage Pass Through Trust, Mortgage Securities Corp., Series 2005-3, Class 1A2 * 0.508 4/25/2035 188 0.08 Series LDP9 5.336 5/15/2047 105 0.05 304 Countrywide Home Loan 330 LB-UBS Commercial Mortgage Mortgage Pass Through Trust, Trust, Series C3 5.661 3/15/2039 361 0.16 Series 2005-9, Class 1A1 * 0.518 5/25/2035 198 0.09 80 LB-UBS Commercial Mortgage 160 Credit Suisse First Boston Trust, Series C1 5.424 2/15/2040 85 0.04 Mortgage Securities Corp., 200 MASTR Adjustable Rate Series C5 5.100 8/1/2038 174 0.08 Mortgages Trust, Series 13 * 2.729 11/21/2034 182 0.08 310 Credit Suisse Mortgage Capital 178 MASTR Adjustable Rate Certificates, Series C1 * 5.598 2/15/2039 337 0.15 Mortgages Trust, Series R5, 1,000 Credit Suisse Mortgage Capital 144A * 2.655 11/25/2035 91 0.04 Certificates, Series 2007-C4, 493 MASTR Adjustable Rate Class A3 * 5.993 9/15/2039 1,052 0.47 Mortgages Trust, Series 2006-2, 410 Credit Suisse Mortgage Capital Class 3A1 * 2.867 1/25/2036 379 0.17 Certificates, Series 2007-C5, 239 MASTR Adjustable Rate Class A3 5.694 9/15/2040 427 0.19 Mortgages Trust, Series 3, 38 Deutsche Alt-A Securities, Inc. Class 12A1 * 0.418 5/25/2047 120 0.05 Alternate Loan Trust, Series 1 * 0.718 2/25/2035 29 0.01 173 MASTR Reperforming Loan 130 Deutsche Mortgage Securities, Trust, Series 2, 144A * 0.568 5/25/2035 138 0.06 Inc., Series WF1, 144A * 5.238 6/26/2035 121 0.05 200 Merrill Lynch Mortgage Trust, 817 Downey Savings & Loan Series CKI1 5.392 11/12/2037 220 0.10 Association Mortgage Loan 10 Merrill Lynch/Countrywide Trust, Series AR1 * 1.172 3/19/2046 418 0.19 Commercial Mortgage Trust, 51 First Horizon Alternative Series 2007-5, Class A4 5.378 8/12/2048 10 – Mortgage Securities, 20 Merrill Lynch/Countrywide Series FA8 * 0.588 2/25/2037 31 0.01 Commercial Mortgage Trust, 100 GMAC Commercial Mortgage Series 8 6.165 8/12/2049 21 0.01 Securities, Inc., Series C1 5.238 11/10/2045 107 0.05 70 Morgan Stanley Capital I, 697 GMAC Mortgage Corp. Loan Series IQ11 * 5.898 10/15/2042 77 0.03 Trust, Series AR1 * 5.055 6/25/2034 621 0.28 290 Morgan Stanley Capital I, 132 Greenpoint Mortgage Funding Series IQ14 5.692 4/15/2049 301 0.13 Trust, Series AR4 * 0.478 10/25/2045 81 0.04 136 Residential Asset Securitization 180 Greenwich Capital Commercial Trust, Series A7 6.000 7/25/2037 96 0.04 Funding Corp., Series GG7 6.074 7/10/2038 196 0.09 139 Residential Asset Securitization 160 Greenwich Capital Commercial Trust, Series A9 6.250 9/25/2037 86 0.04 Funding Corp., Series GG11 5.736 12/10/2049 168 0.07 36 Sequoia Mortgage Trust, 352 GS Mortgage Securities Corp. II, Series 10 * 0.523 11/20/2034 31 0.01 Series GG4 4.680 7/10/2039 363 0.16 368 Structured Asset Mortgage 3,186 GS Mortgage Securities Corp. II, Investments, Inc., Series AR4 * 0.528 12/25/2035 203 0.09 Series GC3, 144A 1.338 3/10/2044 190 0.08 159 Structured Asset Mortgage 280 Harborview Mortgage Loan Investments, Inc., Series AR1 * 0.448 2/25/2036 96 0.04 Trust, Series 9 * 0.553 6/20/2035 216 0.10

The accompanying notes are an integral part of the Financial Statements

21 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US Core Plus Bond Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

Collateralised Mortgage-Backed Obligations — (continued) Agriculture — 0.46% 78 Wachovia Bank Commercial 20 Altria Group, Inc. 8.500 11/10/2013 23 0.01 Mortgage Trust, Series C29 5.308 11/15/2048 84 0.04 120 Altria Group, Inc. 9.250 8/6/2019 159 0.07 208 Washington Mutual Mortgage 520 Altria Group, Inc. 4.750 5/5/2021 540 0.24 Pass Through Certificates, 110 Reynolds American, Inc. 7.250 6/1/2012 115 0.05 Series 2004-AR13, Class A1A * 0.548 11/25/2034 163 0.07 165 Reynolds American, Inc. 6.750 6/15/2017 194 0.09 250 Washington Mutual Mortgage 1,031 0.46 Pass Through Certificates, Series AR14 * 5.507 11/25/2036 171 0.08 Airlines — 0.41% 180 Washington Mutual Mortgage 568 Continental Airlines, Inc., Pass Through Certificates, Series 071A 5.983 4/19/2022 577 0.25 Series AR2 * 0.528 1/25/2045 139 0.06 303 Delta Air Lines, Inc., Series 071A 6.821 8/10/2022 309 0.14 329 Washington Mutual Mortgage 36 United Air Lines, Inc., Pass Through Certificates, Series 09-2 9.750 1/15/2017 40 0.02 Series AR1 * 0.538 1/25/2045 255 0.11 228 Washington Mutual Mortgage 926 0.41 Pass Through Certificates, Basic Materials — 0.47% Series 2005-AR6, Class 2A1A * 0.448 4/25/2045 176 0.08 20 CF Industries, Inc. 7.125 5/1/2020 23 0.01 477 Washington Mutual Mortgage 725 Freeport-McMoRan Copper & Pass Through Certificates, Gold, Inc. 8.375 4/1/2017 782 0.35 Series AR8, Class 1A1A * 0.488 7/25/2045 366 0.16 155 Steel Dynamics, Inc. 6.750 4/1/2015 155 0.07 280 Washington Mutual Mortgage 100 Steel Dynamics, Inc. 7.625 3/15/2020 106 0.04 Pass Through Certificates, Series AR9 * 0.538 7/25/2045 222 0.10 1,066 0.47 1,023 Washington Mutual Mortgage Pass Through Certificates, Beverages — 0.45% Series AR11 * 0.538 8/25/2045 797 0.35 560 Anheuser-Busch InBev 443 Washington Mutual Mortgage Worldwide, Inc. 5.375 1/15/2020 656 0.29 Pass Through Certificates, 60 Anheuser-Busch InBev Series 2005-AR13, Class A1A1 * 0.508 10/25/2045 347 0.15 Worldwide, Inc. 5.000 4/15/2020 69 0.03 79 Washington Mutual MSC 300 PepsiCo, Inc. 3.125 11/1/2020 302 0.13 Mortgage Pass Through 1,027 0.45 Certificates, Series RA2 7.000 7/25/2033 82 0.04 100 Wells Fargo Mortgage Backed Commercial Services — 0.06% Securities Trust, Series AR8 * 2.771 4/25/2036 78 0.03 145 Service Corp. International 7.500 4/1/2027 136 0.06 160 WF-RBS Commercial Mortgage Energy — 4.76% Trust, Series C4, 144A * 4.902 6/15/2044 163 0.07 230 Anadarko Petroleum Corp. 6.375 9/15/2017 266 0.12 Total Collateralised Mortgage-Backed Obligations 350 Apache Corp. 5.100 9/1/2040 375 0.17 (Cost $15,887) 14,876 6.59 290 Arch Coal, Inc., 144A 7.000 6/15/2019 286 0.13 290 Baker Hughes, Inc., 144A 3.200 8/15/2021 289 0.13 Foreign Government Bonds and Notes — 0.99% 170 Barrick North America Finance Malaysia Government Bonds — 0.30% LLC, 144A 4.400 5/30/2021 178 0.08 MYR 1,530 Malaysia Government Bond, 380 Calpine Corp., 144A 7.500 2/15/2021 384 0.17 Series 0110 3.835 8/12/2015 523 0.23 140 Calpine Corp., 144A 7.875 1/15/2023 143 0.07 480 Malaysia Government Bond, 10 Chesapeake Energy Corp. 6.875 8/15/2018 10 0.01 Series 0106 4.262 9/15/2016 167 0.07 200 Chesapeake Energy Corp. 6.625 8/15/2020 209 0.09 690 0.30 40 Chesapeake Energy Corp. 6.875 11/15/2020 42 0.02 185 Complete Production Services, Mexican Government Bonds — 0.69% Inc. 8.000 12/15/2016 187 0.08 MXN 16,743 Mexican Bonos, Series M 8.000 6/11/2020 1,551 0.69 109 Concho Resources, Inc. 6.500 1/15/2022 110 0.05 375 ConocoPhillips Holding Co. 6.950 4/15/2029 478 0.21 Total Foreign Government Bonds and Notes (Cost $2,219) 2,241 0.99 30 Consol Energy, Inc. 8.250 4/1/2020 32 0.01 U.S. Corporate Bonds and Notes — 23.32% 140 Consol Energy, Inc., 144A 6.375 3/1/2021 139 0.06 Aerospace/Defense — 0.13% 50 Devon Energy Corp. 6.300 1/15/2019 61 0.03 250 The Boeing Co. 4.875 2/15/2020 282 0.12 250 Devon Energy Corp. 7.950 4/15/2032 340 0.15 20 Raytheon Co. 3.125 10/15/2020 20 0.01 260 Dominion Resources, Inc. 5.200 8/15/2019 298 0.13 460 Duke Energy Carolinas LLC 5.625 11/30/2012 487 0.22 302 0.13 782 El Paso Corp. 7.800 8/1/2031 878 0.39 36 El Paso Natural Gas Co. 8.375 6/15/2032 47 0.02

The accompanying notes are an integral part of the Financial Statements

22 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US Core Plus Bond Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Corporate Bonds and Notes — (continued) 10 The Goldman Sachs Group, Inc. 6.000 6/15/2020 11 0.01 Energy — (continued) 530 The Goldman Sachs Group, Inc. 6.250 2/1/2041 521 0.23 100 Enterprise Products Operating 280 JP Morgan Chase & Co. 4.250 10/15/2020 286 0.13 LLC, Series N 6.500 1/31/2019 117 0.05 130 JP Morgan Chase Capital XVIII, 450 Enterprise Products Operating Series R 6.950 8/17/2036 128 0.06 LLC 5.200 9/1/2020 492 0.22 850 JPMorgan Chase & Co. 3.150 7/5/2016 868 0.38 710 Enterprise Products Operating 520 Morgan Stanley 5.625 1/9/2012 527 0.23 LLC, Series B * 7.034 1/15/2068 717 0.32 150 Morgan Stanley 4.750 4/1/2014 152 0.07 210 Hess Corp. 8.125 2/15/2019 274 0.12 210 Morgan Stanley * 0.700 10/18/2016 184 0.08 260 Hess Corp. 7.300 8/15/2031 322 0.14 110 Morgan Stanley 6.625 4/1/2018 118 0.05 10 Hess Corp. 5.600 2/15/2041 10 – 340 State Street Corp. 4.956 3/15/2018 368 0.16 180 Kerr-McGee Corp. 6.950 7/1/2024 212 0.09 58 SunTrust Preferred Capital I * 5.853 Perpetual 43 0.02 370 Kerr-McGee Corp. 7.875 9/15/2031 447 0.20 410 Wachovia Capital Trust III * 5.570 Perpetual 359 0.16 140 Key Energy Services, Inc. 6.750 3/1/2021 137 0.06 460 Wachovia Corp. 5.250 8/1/2014 492 0.22 290 Occidental Petroleum Corp. 3.125 2/15/2022 289 0.13 190 Wells Fargo & Co. 3.676 6/15/2016 201 0.09 200 Peabody Energy Corp. 6.500 9/15/2020 206 0.09 750 Wells Fargo Capital X 5.950 12/15/2036 733 0.33 175 Pemex Project Funding Master 10,500 4.65 Trust 6.625 6/15/2035 193 0.09 300 Progress Energy, Inc. 4.400 1/15/2021 319 0.14 Financials – Capital Markets — 0.03% 270 QEP Resources, Inc. 6.875 3/1/2021 283 0.12 960 Lehman Brothers Holdings zero 170 Regency Energy Partners LP / Capital Trust VII e coupon Perpetual – – Regency Energy Finance Corp. 6.500 7/15/2021 170 0.07 170 Lehman Brothers Holdings, zero 80 Southern Natural Gas Co. 8.000 3/1/2032 102 0.05 Inc. e coupon Perpetual – – 210 Southwestern Electric Power Co. 6.200 3/15/2040 232 0.10 1,110 Lehman Brothers Holdings, zero 250 Tennessee Gas Pipeline Co. 7.625 4/1/2037 315 0.14 Inc. e coupon 12/28/2017 1 – 10 The Williams Cos., Inc. 7.875 9/1/2021 13 0.01 160 Lehman Brothers Holdings, zero 452 The Williams Cos., Inc., Series A 7.500 1/15/2031 528 0.23 Inc. e coupon 5/3/2032 – – 93 The Williams Cos., Inc. 8.750 3/15/2032 121 0.05 352 Lehman Escrow Receipt ? zero coupon Perpetual 2 – 10,738 4.76 158 Lehman Swap Receipt ? zero Environmental Control — 0.05% coupon Perpetual 63 0.03 50 Allied Waste North America, Inc. 6.875 6/1/2017 54 0.02 66 0.03 50 Republic Services, Inc. 5.000 3/1/2020 55 0.03 Financials – Diversified — 2.87% 109 0.05 530 American Express Co. * 6.800 9/1/2066 528 0.23 Financials – Banks — 4.65% 260 American Express Credit Corp. 5.125 8/25/2014 285 0.13 20 Ally Financial, Inc. 8.300 2/12/2015 21 0.01 60 Boeing Capital Corp. 4.700 10/27/2019 68 0.03 510 Ally Financial, Inc. 7.500 9/15/2020 501 0.22 140 Capital One Capital IV * 6.745 2/17/2037 136 0.06 30 BAC Capital Trust XIV * 5.630 Perpetual 20 0.01 90 Citigroup, Inc. 5.000 9/15/2014 92 0.04 150 Bank of America Corp. 4.875 9/15/2012 152 0.07 50 Countrywide Financial Corp. 5.800 6/7/2012 51 0.02 530 Bank of America Corp. 5.750 12/1/2017 551 0.24 510 Countrywide Financial Corp. 6.250 5/15/2016 515 0.23 30 Bank of America Corp. 5.625 7/1/2020 30 0.01 540 Ford Motor Credit Co. LLC 5.000 5/15/2018 524 0.23 500 Bank of America Corp. 5.000 5/13/2021 490 0.22 100 Ford Motor Credit Co. LLC 8.125 1/15/2020 112 0.05 430 Citigroup, Inc. 6.000 12/13/2013 456 0.20 260 General Electric Capital Corp. 6.000 8/7/2019 292 0.13 130 Citigroup, Inc. 6.375 8/12/2014 142 0.06 50 General Electric Capital Corp. 4.375 9/16/2020 51 0.02 60 Citigroup, Inc. 6.010 1/15/2015 64 0.03 330 General Electric Capital Corp. 4.625 1/7/2021 340 0.15 290 Citigroup, Inc. 3.953 6/15/2016 296 0.13 1,520 General Electric Capital Corp. * 6.375 11/15/2067 1,505 0.67 880 Citigroup, Inc. 5.500 2/15/2017 897 0.40 50 Goldman Sachs Capital II * 5.793 Perpetual 36 0.01 170 Citigroup, Inc. 6.125 11/21/2017 186 0.08 410 HSBC Finance Corp., 144A 6.676 1/15/2021 396 0.18 270 Citigroup, Inc. 5.375 8/9/2020 287 0.13 50 ILFC E-Capital Trust II, 144A * 6.250 12/21/2065 39 0.02 270 Citigroup, Inc. 6.875 3/5/2038 287 0.13 100 International Lease Finance 30 The Goldman Sachs Group, Inc. 6.600 1/15/2012 31 0.01 Corp., 144A 6.500 9/1/2014 102 0.05 10 The Goldman Sachs Group, Inc. 5.300 2/14/2012 10 – 290 International Lease Finance 50 The Goldman Sachs Group, Inc. 3.625 8/1/2012 51 0.02 Corp., 144A 6.750 9/1/2016 293 0.13 70 The Goldman Sachs Group, Inc. 5.450 11/1/2012 73 0.03 90 MBNA Capital A, Series A 8.278 12/1/2026 90 0.04 10 The Goldman Sachs Group, Inc. 4.750 7/15/2013 10 0.01 120 McGuire Air Force Base/Fort Dix 60 The Goldman Sachs Group, Inc. 5.250 10/15/2013 62 0.03 Privatized Military Housing 300 The Goldman Sachs Group, Inc. 7.500 2/15/2019 343 0.15 Project, 144A 5.611 9/15/2051 112 0.05 540 The Goldman Sachs Group, Inc. 5.375 3/15/2020 549 0.24 250 Merrill Lynch & Co., Inc. 6.050 5/16/2016 252 0.11

The accompanying notes are an integral part of the Financial Statements

23 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US Core Plus Bond Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Corporate Bonds and Notes — (continued) 500 MetLife, Inc. 6.400 12/15/2036 455 0.20 Financials – Diversified — (continued) 180 Teachers Insurance & Annuity 100 Merrill Lynch & Co., Inc. 6.875 4/25/2018 104 0.05 Association of America 6.850 12/16/2039 214 0.09 120 SLM Corp. 5.050 11/14/2014 119 0.05 310 Teachers Insurance & Annuity 20 SLM Corp. 5.000 4/15/2015 20 0.01 Association of America, 144A 6.850 12/16/2039 368 0.16 20 SLM Corp. 8.000 3/25/2020 21 0.01 2,282 1.01 460 SLM Corp. 5.625 8/1/2033 380 0.17 Leisure & Lodgings — 0.09% 6,463 2.87 30 Boyd Gaming Corp. 7.125 2/1/2016 25 0.01 Food — 0.32% 110 CityCenter Holdings LLC / 60 Cadbury Schweppes US Finance CityCenter Finance Corp., 144A 7.625 1/15/2016 107 0.05 LLC, 144A 5.125 10/1/2013 65 0.03 27 Inn of The Mountain Gods 510 Kraft Foods, Inc. 5.375 2/10/2020 579 0.26 Resort & Casino * ? 1.250 11/30/2020 15 0.01 80 Safeway, Inc. 3.950 8/15/2020 79 0.03 12 Inn of The Mountain Gods Resort & Casino ? 8.750 11/30/2020 12 0.01 723 0.32 5 MGM Resorts International 10.375 5/15/2014 6 – 10 MGM Resorts International 6.625 7/15/2015 9 – Healthcare – Products — 0.06% 10 MGM Resorts International 11.125 11/15/2017 11 0.01 120 Medtronic, Inc. 4.450 3/15/2020 134 0.06 20 Station Casinos, Inc. † e 6.875 3/1/2016 – – Healthcare – Services — 0.73% 200 Station Casinos, Inc. † e 7.750 8/15/2016 – – 110 HCA, Inc. 6.950 5/1/2012 112 0.05 185 0.09 150 HCA, Inc. 6.500 2/15/2020 152 0.07 50 HCA, Inc. 7.690 6/15/2025 45 0.02 Media — 1.84% 200 Roche Holdings, Inc., 144A 6.000 3/1/2019 241 0.11 800 CCO Holdings LLC / CCO 93 Tenet Healthcare Corp. 10.000 5/1/2018 102 0.04 Holdings Capital Corp., 144A 7.000 1/15/2019 802 0.36 190 Tenet Healthcare Corp. 8.875 7/1/2019 201 0.09 310 Comcast Corp. 6.500 1/15/2015 356 0.16 110 UnitedHealth Group, Inc. 4.875 2/15/2013 116 0.05 220 Comcast Corp. 6.500 1/15/2017 261 0.12 30 UnitedHealth Group, Inc. 4.875 4/1/2013 32 0.02 60 Comcast Corp. 5.650 6/15/2035 62 0.03 30 UnitedHealth Group, Inc. 3.875 10/15/2020 31 0.01 10 Comcast Corp. 6.450 3/15/2037 11 – 60 UnitedHealth Group, Inc. 5.800 3/15/2036 64 0.03 265 Comcast Corp. 6.950 8/15/2037 310 0.14 90 UnitedHealth Group, Inc. 5.700 10/15/2040 99 0.04 120 Comcast Corp. 6.400 3/1/2040 136 0.06 110 WellPoint, Inc. 5.875 6/15/2017 128 0.05 10 CSC Holdings LLC 8.625 2/15/2019 11 0.01 340 WellPoint, Inc., Series A 3.700 8/15/2021 340 0.15 60 DISH DBS Corp. 7.000 10/1/2013 63 0.03 10 DISH DBS Corp. 6.625 10/1/2014 10 – 1,663 0.73 115 DISH DBS Corp. 7.750 5/31/2015 121 0.05 Household Products/Wares — 0.12% 160 DISH DBS Corp., 144A 6.750 6/1/2021 161 0.07 300 Reynolds Group Issuer, Inc. / 210 Reed Elsevier Capital, Inc. 8.625 1/15/2019 273 0.12 Reynolds Group Issuer LLC, 80 Time Warner Cable, Inc. 6.750 7/1/2018 94 0.04 144A 6.875 2/15/2021 279 0.12 90 Time Warner Cable, Inc. 8.750 2/14/2019 117 0.05 390 Time Warner Cable, Inc. 8.250 4/1/2019 494 0.22 Industrial — 0.21% 220 Time Warner Cable, Inc. 4.125 2/15/2021 221 0.10 170 Caterpillar, Inc. 3.900 5/27/2021 181 0.08 100 Time Warner Cable, Inc. 6.750 6/15/2039 112 0.05 160 RailAmerica, Inc. 9.250 7/1/2017 173 0.08 100 Time Warner Cable, Inc. 5.875 11/15/2040 105 0.05 110 Thermo Fisher Scientific, Inc. 3.600 8/15/2021 112 0.05 115 Time Warner Entertainment Co. 466 0.21 LP 8.375 7/15/2033 148 0.07 90 Time Warner, Inc. 4.700 1/15/2021 96 0.04 Insurance — 1.01% 110 Time Warner, Inc. 4.750 3/29/2021 118 0.05 100 American International Group, 30 Time Warner, Inc. 6.100 7/15/2040 32 0.01 Inc., 144A 3.750 11/30/2013 101 0.05 30 Time Warner, Inc. 6.250 3/29/2041 33 0.01 70 American International Group, Inc. 5.850 1/16/2018 71 0.03 4,147 1.84 420 American International Group, Municipal — 1.16% Inc. 6.400 12/15/2020 442 0.20 20 Birmingham Commercial 670 American International Group, Development Authority 5.500 4/1/2041 21 0.01 Inc. 6.250 3/15/2037 539 0.24 60 City of Chicago Il 5.500 1/1/2031 63 0.03 60 ASIF Global Financing XIX, 144A 4.900 1/17/2013 62 0.03 30 City of Chicago Il 5.625 1/1/2035 32 0.01 20 Berkshire Hathaway, Inc. 3.200 2/11/2015 21 0.01 30 County of Clark NV 5.250 7/1/2039 30 0.01 10 ING Capital Funding Trust III, 190 Illinois St 5.665 3/1/2018 204 0.09 Series 9 * 3.846 Perpetual 9 – 200 Illinois St 5.877 3/1/2019 214 0.10

The accompanying notes are an integral part of the Financial Statements

24 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US Core Plus Bond Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Corporate Bonds and Notes — (continued) 20 AT&T, Inc. 6.300 1/15/2038 22 0.01 Municipal — (continued) 10 AT&T, Inc. 5.350 9/1/2040 10 – 70 Liberty N Y Dev Corp. Rev 5.250 10/1/2035 69 0.03 540 AT&T, Inc. 5.550 8/15/2041 569 0.25 40 Los Angeles California 20 BellSouth Corp. 4.750 11/15/2012 21 0.01 Department of Airports 5.000 5/15/2035 41 0.02 40 Cellco Partnership / Verizon 30 Los Angeles California Wireless Capital LLC 8.500 11/15/2018 54 0.02 Department of Airports 5.250 5/15/2039 32 0.01 140 Sprint Capital Corp. 6.875 11/15/2028 125 0.06 130 Los Angeles Department of 325 Sprint Capital Corp. 8.750 3/15/2032 333 0.15 Water & Power 6.574 7/1/2045 157 0.07 680 Verizon Communications, Inc. 6.100 4/15/2018 809 0.36 30 Metropolitan Atlanta Rapid 110 Verizon Communications, Inc. 6.350 4/1/2019 134 0.06 Transit Authority 5.000 7/1/2039 30 0.01 60 Verizon Communications, Inc. 4.600 4/1/2021 65 0.03 100 Municipal Electric Authority of 250 Verizon Global Funding Corp. 7.375 9/1/2012 266 0.12 Georgia 6.637 4/1/2057 101 0.05 60 Verizon Global Funding Corp. 7.750 12/1/2030 79 0.03 50 Municipal Electric Authority of 3,144 1.39 Georgia 6.655 4/1/2057 50 0.02 93 North Carolina State Education Utilities — 1.13% Assistance Authority * 1.153 7/25/2041 90 0.04 280 The AES Corp. 8.000 6/1/2020 294 0.13 150 Northstar Education Finance, 345 Dominion Resources, Inc. 5.700 9/17/2012 362 0.16 Inc., Class A5 ? 0.271 1/29/2046 123 0.05 472 Energy Future Intermediate 100 Northstar Education Finance, Holding Co. LLC / EFIH Finance, Inc., Class A7 0.346 1/29/2046 81 0.04 Inc. 10.000 12/1/2020 476 0.21 700 Pennsylvania Higher Education 595 FirstEnergy Corp., Series C 7.375 11/15/2031 692 0.31 Assistance Agency 0.146 6/1/2047 656 0.29 405 Kinder Morgan Energy Partners 200 Pennsylvania Higher Education LP 7.125 3/15/2012 418 0.18 Assistance Agency 0.248 6/1/2047 188 0.08 280 Pacific Gas & Electric Co. 6.050 3/1/2034 323 0.14 40 Premier Entertainment Biloxi zero LLC † ? coupon 2/1/2012 – – 2,565 1.13 20 San Mateo County Community Total U.S. Corporate Bonds and Notes (Cost $52,079) 52,679 23.32 College District 5.000 9/1/2038 21 0.01 220 Santa Clara Valley U.S. Denominated Bonds and Notes — 8.24% Transportation Authority 5.876 4/1/2032 252 0.11 Australia — 1.30% 160 State of California 7.300 10/1/2039 186 0.08 460 BHP Billiton Finance USA Ltd. 6.500 4/1/2019 567 0.25 170 Commonwealth Bank of 2,641 1.16 Australia, 144A 3.750 10/15/2014 179 0.08 Packaging & Containers — 0.04% 70 Commonwealth Bank of 90 Ball Corp. 5.750 5/15/2021 89 0.04 Australia, 144A 5.000 10/15/2019 75 0.03 40 FMG Resources August 2006 Pty Pharmaceuticals — 0.36% Ltd., 144A 6.375 2/1/2016 39 0.02 50 Giant Funding Corp., 144A 8.250 2/1/2018 50 0.02 630 Macquarie Bank Ltd., 144A 2.600 1/20/2012 635 0.28 260 GlaxoSmithKline Capital, Inc. 5.650 5/15/2018 312 0.14 260 Rio Tinto Finance USA Ltd. 2.500 5/20/2016 265 0.12 10 Pfizer, Inc. 7.200 3/15/2039 13 – 80 Rio Tinto Finance USA Ltd. 6.500 7/15/2018 97 0.04 390 Wyeth 5.950 4/1/2037 450 0.20 320 Rio Tinto Finance USA Ltd. 9.000 5/1/2019 437 0.20 140 Rio Tinto Finance USA Ltd. 3.500 11/2/2020 139 0.06 825 0.36 90 Rio Tinto Finance USA Ltd. 4.125 5/20/2021 95 0.04 Retail — 0.50% 390 Westpac Banking Corp., 144A 2.900 9/10/2014 414 0.18 260 CVS Caremark Corp. 6.600 3/15/2019 315 0.14 2,942 1.30 40 CVS Pass-Through Trust, 144A 5.298 1/11/2027 41 0.02 176 CVS Pass-Through Trust 6.036 12/10/2028 192 0.08 Bermuda — 0.01% 55 CVS Pass-Through Trust 6.943 1/10/2030 64 0.03 20 Intelsat Jackson Holdings S.A. 9.500 6/15/2016 21 0.01 460 Wal-Mart Stores, Inc. 5.625 4/15/2041 523 0.23 Canada — 0.22% 1,135 0.50 160 Barrick Gold Corp. 6.950 4/1/2019 197 0.09 150 Novelis, Inc. 8.750 12/15/2020 158 0.07 Semiconductors — 0.02% 10 Potash Corp. of Saskatchewan, 30 National Semiconductor Corp. 6.600 6/15/2017 37 0.02 Inc. 4.875 3/30/2020 11 – Telecommunications — 1.39% 60 Rogers Communications, Inc. 6.250 6/15/2013 65 0.03 290 AT&T, Inc. 5.100 9/15/2014 321 0.14 40 Rogers Communications, Inc. 6.750 3/15/2015 47 0.02 140 AT&T, Inc. 5.500 2/1/2018 161 0.07 30 Rogers Communications, Inc. 6.800 8/15/2018 37 0.01 170 AT&T, Inc. 3.875 8/15/2021 175 0.08

The accompanying notes are an integral part of the Financial Statements

25 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US Core Plus Bond Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Denominated Bonds and Notes — (continued) Jersey Channel Islands — 0.05% Canada — (continued) 180 HBOS Capital Funding LP, 2 Teck Resources Ltd. 9.750 5/15/2014 2 – 144A * 6.071 Perpetual 122 0.05

517 0.22 Kyrgystan — 0.14% 276 Vale Overseas Ltd. 6.875 11/21/2036 316 0.14 Cayman Islands — 0.73% 130 MUFG Capital Finance 1 Ltd. * 6.346 Perpetual 133 0.06 Luxembourg — 0.91% 200 Petrobras International 1,910 European Investment Bank 3.250 10/14/2011 1,916 0.85 Finance Co. 3.875 1/27/2016 205 0.09 130 Intelsat Jackson Holdings S.A., 90 Petrobras International 144A 7.250 4/1/2019 125 0.06 Finance Co. 6.125 10/6/2016 100 0.04 2,041 0.91 87 Petrobras International Finance Co. 5.750 1/20/2020 94 0.04 Mexico — 0.19% 530 Petrobras International 110 America Movil SAB de CV 5.625 11/15/2017 126 0.05 Finance Co. 5.375 1/27/2021 568 0.25 100 America Movil SAB de CV 5.000 3/30/2020 109 0.05 420 Resona Preferred Global 20 America Movil SAB de CV 6.375 3/1/2035 23 0.01 Securities Cayman Ltd., 144A * 7.191 Perpetual 407 0.18 20 America Movil SAB de CV 6.125 11/15/2037 22 0.01 150 UPCB Finance III Ltd., 144A 6.625 7/1/2020 148 0.07 160 Kansas City Southern de Mexico SA de CV, 144A 6.125 6/15/2021 159 0.07 1,655 0.73 439 0.19 France — 1.17% 145 Cie Generale de Geophysique – Netherlands — 0.41% Veritas 7.750 5/15/2017 146 0.07 140 Cooperatieve Centrale 200 Credit Agricole S.A., 144A 2.625 1/21/2014 197 0.09 Raiffeisen-Boerenleenbank, 420 Credit Agricole S.A., 144A * 8.375 Perpetual 387 0.17 144A * 11.000 Perpetual 176 0.08 1,220 Dexia Credit Local, 144A 2.000 3/5/2013 1,221 0.54 275 Deutsche Telekom International 270 Dexia Credit Local 2.000 3/5/2013 270 0.12 Finance BV 5.750 3/23/2016 312 0.14 370 Total Capital S.A. 4.450 6/24/2020 404 0.18 20 Koninklijke KPN NV 8.375 10/1/2030 26 0.01 300 Shell International Finance BV 4.375 3/25/2020 328 0.15 2,625 1.17 50 Shell International Finance BV 5.500 3/25/2040 58 0.03 Iceland — 0.39% 900 0.41 300 Glitnir Banki HF, 144A † e 6.330 7/28/2012 78 0.03 590 Glitnir Banki HF, 144A † e 0.000 9/25/2012 153 0.07 Russia — 0.05% 770 Glitnir Banki HF, 144A ? e 6.693 6/15/2016 – – 100 Russian Agricultural Bank OJSC 230 Glitnir Banki HF, 144A ? e 7.451 Perpetual – – Via RSHB Capital S.A. 6.299 5/15/2017 106 0.05 200 Kaupthing Bank HF, 144A † e 0.000 10/4/2011 49 0.02 2,300 Kaupthing Bank HF, 144A † e 7.625 2/28/2015 563 0.25 Spain — 0.48% 310 Kaupthing Bank HF, 144A ? e 7.125 5/19/2016 – – 400 BBVA US Senior SAU 3.250 5/16/2014 390 0.17 820 Landsbanki Islands HF * † e 6.100 8/25/2012 57 0.02 400 Santander U.S. Debt S.A. 100 Landsbanki Islands HF, 144A † e 6.100 8/25/2012 7 – Unipersonal, 144A 3.724 1/20/2015 377 0.17 170 Landsbanki Islands HF, 144A 80 Telefonica Emisiones SAU 5.855 2/4/2013 83 0.04 ? e 0.000 Perpetual – – 150 Telefonica Emisiones SAU 5.877 7/15/2019 150 0.07 80 Telefonica Emisiones SAU 5.462 2/16/2021 77 0.03 907 0.39 1,077 0.48 India — 0.06% 134 ICICI Bank Ltd. * 6.375 4/30/2022 125 0.06 Sweden — 0.32% 210 Nordea Bank AB, 144A 3.700 11/13/2014 219 0.10 Italy — 0.07% 100 Nordea Bank AB 4.875 1/27/2020 106 0.05 160 Intesa Sanpaolo S.p.A., 144A 3.625 8/12/2015 147 0.07 430 Nordea Bank AB, 144A 4.875 5/13/2021 392 0.17

Japan — 0.16% 717 0.32 240 Sumitomo Mitsui Banking Corp., 144A 3.150 7/22/2015 250 0.11 Switzerland — 0.27% 100 Sumitomo Mitsui Banking Corp. 3.150 7/22/2015 104 0.05 300 Credit Suisse AG * 5.860 Perpetual 260 0.11 260 UBS AG 3.875 1/15/2015 270 0.12 354 0.16 90 UBS AG 4.875 8/4/2020 90 0.04

620 0.27

The accompanying notes are an integral part of the Financial Statements

26 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US Core Plus Bond Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Denominated Bonds and Notes — (continued) 100 FHLMC Corp., 30 Year United Kingdom — 1.31% September TBA± 5.500 9/15/2041 109 0.05 100 Barclays Bank PLC, 144A 6.050 12/4/2017 99 0.04 336 FHLMC Corp. Non Gold, Pool 160 Barclays Bank PLC * 6.278 Perpetual 110 0.05 #1L0236 * 2.502 10/1/2035 349 0.15 830 BP Capital Markets PLC 3.125 10/1/2015 868 0.38 342 FHLMC Corp. Non Gold, Pool 60 Diageo Capital PLC 5.750 10/23/2017 70 0.03 #1G2341 * 5.523 12/1/2037 366 0.16 550 Diageo Capital PLC 4.828 7/15/2020 614 0.27 100 FHLMC Corp. Remics, 20 HSBC Capital Funding LP, Series 3738 4.000 12/15/2038 106 0.05 144A * 4.610 Perpetual 19 0.01 200 FHLMC Corp. Remics, 160 Lloyds TSB Bank PLC 5.800 1/13/2020 160 0.07 Series 3754 4.000 1/15/2039 212 0.09 80 Lloyds TSB Bank PLC 6.375 1/21/2021 84 0.04 400 FHLMC Corp. Remics, 10 Royal Bank of Scotland Group Series 3871 5.500 6/15/2041 452 0.20 PLC 5.000 11/12/2013 10 – 900 FHLMC Gold, 15 Year 20 Royal Bank of Scotland Group September TBA± 5.000 9/15/2026 967 0.43 PLC 5.000 10/1/2014 19 0.01 2,531 FHLMC Multifamily Structured 30 Royal Bank of Scotland Group Pass Through Certificates, PLC 5.050 1/8/2015 29 0.01 Series K006 1.229 1/25/2020 163 0.07 310 Royal Bank of Scotland Group 702 FHLMC Multifamily Structured PLC 6.400 10/21/2019 313 0.14 Pass Through Certificates, 50 Royal Bank of Scotland Group Series K007 * 1.412 4/25/2020 53 0.02 PLC * 7.648 Perpetual 38 0.02 764 FHLMC Multifamily Structured 200 Royal Bank of Scotland Group Pass Through Certificates, PLC, Series U 7.640 Perpetual 120 0.05 Series K008 * 1.841 6/25/2020 77 0.03 440 Royal Bank of Scotland PLC 3.950 9/21/2015 429 0.19 834 FHLMC Multifamily Structured Pass Through Certificates, 2,982 1.31 Series K009 1.684 8/25/2020 77 0.03 Total U.S. Denominated Bonds and Notes (Cost $19,708) 18,613 8.24 3,010 FHLMC Multifamily Structured Pass Through Certificates, U.S. Denominated Debt Obligations — 0.15% Series K014 1.455 4/25/2021 261 0.12 Mexico — 0.15% 1,550 FHLMC Multifamily Structured 150 Mexico Government Pass Through Certificates, International Bond 11.500 5/15/2026 288 0.13 Series KAIV * 1.415 6/25/2021 139 0.06 38 Mexico Government 582 FHLMC Non Gold, Pool International Bond 6.750 9/27/2034 48 0.02 #1N1454 * 5.854 4/1/2037 622 0.28 10 Mexico Government International Bond 6.050 1/11/2040 11 – 14,214 6.28

347 0.15 Federal National Mortgage Association (FNMA) — 20.14% USD 300 FNMA, 15 Year September Total U.S. Denominated Debt Obligations (Cost $310) 347 0.15 TBA± 6.000 9/15/2026 325 0.14 56 FNMA, Pool #745000 6.000 10/1/2035 62 0.03 U.S. Government Agency Discount Notes — 4.98% 91 FNMA * 2.221 11/1/2035 94 0.04 USD 205 FHLMC Corp. Discount Notes‡ zero 81 FNMA * 2.241 11/1/2035 84 0.04 coupon 1/10/2012 205 0.09 74 FNMA * 2.262 11/1/2035 76 0.03 400 FNMA Discount Notes zero 88 FNMA * 2.264 11/1/2035 91 0.04 coupon 9/6/2011 400 0.18 77 FNMA * 2.269 11/1/2035 80 0.04 10,650 FNMA Discount Notes zero 61 FNMA 6.500 2/1/2036 69 0.03 coupon 2/1/2012 10,647 4.71 105 FNMA * 2.249 3/1/2036 109 0.05 Total U.S. Government Agency Discount Notes (Cost $11,251) 11,252 4.98 57 FNMA 6.500 5/1/2036 65 0.03 139 FNMA 6.500 5/1/2036 157 0.07 U.S. Government Agency Mortgage-Backed Securities — 40.05% 256 FNMA 6.500 8/1/2036 289 0.13 Federal Home Loan Mortgage Corporation (FHLMC) — 6.28% 162 FNMA 6.500 8/1/2036 183 0.08 USD 69 FHLMC Corp. 5.000 12/1/2034 75 0.03 81 FNMA 6.500 2/1/2037 92 0.04 2,981 FHLMC Corp. 5.000 3/1/2038 3,210 1.42 380 FNMA 5.500 8/1/2038 418 0.18 227 FHLMC Corp. 5.500 4/1/2038 249 0.11 5,253 FNMA 5.500 5/1/2040 5,758 2.55 716 FHLMC Corp. 5.500 12/1/2038 784 0.35 3,105 FNMA 5.500 7/1/2041 3,403 1.51 4,532 FHLMC Corp. 6.000 11/1/2039 5,038 2.23 1,400 FNMA, 30 Year September 900 FHLMC Corp., 30 Year TBA± 5.500 9/15/2041 1,530 0.68 September TBA± 3.500 9/15/2041 905 0.40 2,500 FNMA, 30 Year September TBA± 6.000 9/15/2041 2,767 1.22

The accompanying notes are an integral part of the Financial Statements

27 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US Core Plus Bond Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Government Agency Mortgage-Backed Securities — (continued) 96 GNMA 4.500 11/20/2040 104 0.05 Federal National Mortgage Association (FNMA) — (continued) 265 GNMA, Series 151 * 5.837 11/20/2040 44 0.02 1,200 FNMA, 30 Year September 96 GNMA 6.000 11/20/2040 108 0.05 TBA± 6.500 9/15/2041 1,340 0.59 285 GNMA, Series 147 6.437 11/20/2040 67 0.03 200 FNMA, 30 Year October TBA± 3.500 10/15/2041 201 0.09 193 GNMA 4.500 12/20/2040 210 0.09 9,400 FNMA, 30 Year October TBA± 4.000 10/15/2041 9,711 4.30 376 GNMA 6.000 12/20/2040 423 0.19 9,850 FNMA, 30 Year October TBA± 4.500 10/15/2041 10,382 4.60 859 GNMA, Series 11 * 5.787 1/20/2041 133 0.06 3,100 FNMA, 30 Year October TBA± 5.000 10/15/2041 3,332 1.48 96 GNMA 6.000 1/20/2041 108 0.05 3,400 FNMA, 30 Year October TBA± 6.000 10/15/2041 3,756 1.66 292 GNMA, Pool #4946 4.500 2/20/2041 317 0.14 286 FNMA Interest Strip, Series 407 5.000 1/25/2038 36 0.02 296 GNMA, Pool #4961 6.000 2/20/2041 333 0.15 383 FNMA Interest Strip zero 96 GNMA, Series 32 * 5.792 3/16/2041 17 0.01 coupon 7/25/2038 69 0.03 3,928 GNMA, Pool #4978 4.500 3/20/2041 4,259 1.88 281 FNMA Interest Strip, Series 407 5.000 1/25/2039 38 0.02 198 GNMA 4.500 4/20/2041 214 0.09 92 FNMA Interest Strip, Series 407 5.500 1/25/2039 11 0.01 394 GNMA, Series 81 5.187 6/20/2041 67 0.03 560 FNMA Remics, Series 118 * 6.282 10/25/2040 92 0.04 1,800 GNMA, 30 Year September 606 FNMA Remics, Series 59 5.500 7/25/2041 712 0.32 TBA± 4.000 9/15/2041 1,903 0.84 764 FNMA Remics, Series 63 * 6.462 7/25/2041 106 0.05 6,700 GNMA, 30 Year September TBA± 4.500 9/15/2041 7,251 3.21 45,438 20.14 2,200 GNMA, 30 Year September TBA± 5.000 9/15/2041 2,427 1.08 Government National Mortgage Association (GNMA) — 13.63% 2,000 GNMA, 30 Year September USD 1,693 GNMA, Series 26 * 6.537 10/20/2033 188 0.08 TBA± 5.500 9/15/2041 2,235 0.99 164 GNMA, Series 81 6.087 12/20/2034 20 0.01 500 GNMA, 30 Year September 1,172 GNMA, Series 28 5.987 3/20/2035 152 0.06 TBA± 6.000 9/15/2041 563 0.25 490 GNMA, Series 70 * 6.492 12/16/2036 99 0.04 97 GNMA, Series H26 * 0.535 8/20/2058 96 0.04 394 GNMA, Series 106 * 5.987 5/20/2037 62 0.03 100 GNMA, Series H22 * 0.535 5/20/2059 99 0.04 266 GNMA, Pool #4040 6.500 10/20/2037 300 0.13 912 GNMA, Series H01 * 1.336 11/20/2059 924 0.41 188 GNMA, Series 107 * 5.937 2/20/2038 31 0.01 ? 461 GNMA, Series H11 * 1.213 6/20/2060 470 0.21 300 GNMA, Series 69 * 6.437 6/20/2038 54 0.02 1,058 GNMA, Series H20 * 0.515 10/20/2060 1,039 0.46 289 GNMA, Series 160 * 6.337 10/20/2038 46 0.02 812 GNMA, Series H24 * 0.535 10/20/2060 801 0.35 230 GNMA, Series 3 * 6.337 11/20/2038 37 0.02 634 GNMA, Series H01 * 0.635 11/20/2060 627 0.28 100 GNMA, Series 39 * 6.337 11/20/2038 16 0.01 197 GNMA, Series H09 * 0.685 3/20/2061 196 0.09 842 GNMA, Series 50 * 6.337 12/20/2038 138 0.06 271 GNMA, Series 31 * 6.287 3/20/2039 46 0.02 30,799 13.63 216 GNMA, Series 45 5.752 4/16/2039 28 0.01 116 GNMA, Series 68 * 6.542 4/16/2039 17 0.01 Total U.S. Government Agency Mortgage-Backed Securities 383 GNMA, Series 146 * 5.887 6/20/2039 70 0.03 (Cost $89,763) 90,451 40.05 602 GNMA, Series 61 * 6.487 8/20/2039 89 0.04 U.S. Government Agency Obligations — 4.72% 1,387 GNMA, Series 117 * 5.787 10/20/2039 242 0.11 USD 1,150 Federal Agricultural Mortgage 157 GNMA, Series 85 * 6.437 1/20/2040 27 0.01 Corp., Series 2007-1, 144A 5.125 4/19/2017 1,345 0.60 371 GNMA 5.000 4/15/2040 410 0.18 600 FHLB 5.000 10/13/2011 603 0.27 168 GNMA, Series 47 * 6.227 4/20/2040 30 0.01 1,910 FHLB 0.320 11/30/2011 1,911 0.85 84 GNMA, Series 42 6.267 4/20/2040 15 0.01 900 FHLMC Corp. 5.000 2/16/2017 1,067 0.47 85 GNMA, Series 85 6.357 4/20/2040 16 0.01 80 Financing Corp., Series 11P zero 657 GNMA 5.000 5/15/2040 726 0.32 coupon 2/8/2018 71 0.03 348 GNMA, Series 57 * 6.287 5/20/2040 65 0.03 240 Financing Corp., Series B-P zero 433 GNMA, Series 60 6.287 5/20/2040 83 0.04 coupon 4/6/2018 213 0.09 86 GNMA, Series 76 * 6.287 5/20/2040 16 0.01 290 Financing Corp., Series 1P zero 352 GNMA, Series 68 5.637 6/20/2040 53 0.02 coupon 5/11/2018 256 0.11 1,018 GNMA, Series 68 * 6.367 6/20/2040 180 0.08 130 Financing Corp., Series 6P zero 323 GNMA, Series 87 6.292 7/16/2040 49 0.02 coupon 8/3/2018 114 0.05 91 GNMA 5.000 7/20/2040 100 0.04 280 Financing Corp., Series D-P zero 130 GNMA, Series 91 * 6.357 7/20/2040 20 0.01 coupon 8/3/2018 245 0.11 1,733 GNMA, Pool #4772 5.000 8/20/2040 1,915 0.85 110 Financing Corp., Series 8P zero 94 GNMA, Series 109 6.387 8/20/2040 21 0.01 coupon 8/3/2018 96 0.04 178 GNMA 5.000 9/20/2040 197 0.09 220 Financing Corp., Series 7P zero 535 GNMA, Series 115 5.187 9/20/2040 71 0.03 coupon 8/3/2018 192 0.09 259 GNMA, Series 113 * 5.837 9/20/2040 39 0.02 270 Financing Corp., Series E-P zero 243 GNMA, Series 4 * 5.967 9/20/2040 41 0.02 coupon 11/2/2018 234 0.10 287 GNMA, Series 151 * 5.872 11/16/2040 55 0.02

The accompanying notes are an integral part of the Financial Statements

28 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US Core Plus Bond Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset (000’s) Asset (000’s) Rate % Date $ Value Shares/Units (000’s) $ Value

U.S. Government Agency Obligations — (continued) Common Stock — 0.00% 120 Financing Corp., Series 15P zero – Charter Communications, Inc., Class A – – coupon 3/7/2019 103 0.05 – SemGroup Corp., Class A 5 – 40 Financing Corp., Series 19P zero Total Common Stock (Cost $42) 5 – coupon 6/6/2019 34 0.02 10 Financing Corp., Series D-P zero Shares/Units (000’s) coupon 9/26/2019 8 – Collective Investment Schemes — 0.23% 370 FNMA 5.250 8/1/2012 387 0.17 339 Western Asset Liquidity Funds PLC – Western Asset 1,600 FNMA 4.750 2/21/2013 1,704 0.75 Euro Liquidity Fund, Class WA 488 0.22 380 FNMA zero 13 Western Asset Liquidity Funds PLC – Western Asset coupon 10/9/2019 283 0.13 Sterling Liquidity Fund, Class WA 22 0.01 1,280 FNMA 5.625 7/15/2037 1,611 0.71 150 Tennessee Valley Authority, Total Collective Investment Schemes (Cost $510) 510 0.23 Series ELEC 5.250 9/15/2039 176 0.08 Shares/Units (000’s) Total U.S. Government Agency Obligations (Cost $10,166) 10,653 4.72 Preferred Stock — 0.06% U.S. Treasury Obligations — 14.49% 5 Citigroup Capital XII 139 0.06 USD 240 U.S. Treasury Bill zero 2 FNMA 5 – coupon 4/5/2012 240 0.11 Total Preferred Stock (Cost $146) 144 0.06 824 U.S. Treasury Bond 4.375 11/15/2039 943 0.42 130 U.S. Treasury Bond 4.375 5/15/2040 149 0.07 Shares/Units (000’s) 4,200 U.S. Treasury Bond 4.750 2/15/2041 5,108 2.26 Warrants — 0.00% (Cost $1) 2,895 U.S. Treasury Bond 4.375 5/15/2041 3,318 1.47 – SemGroup Corp., Series CW14 † 1 – 80 U.S. Treasury Inflationary Index BondI 2.375 1/15/2027 112 0.05 Total Investments Excluding Options (Cost $278,417) 280,715 124.29 1,670 U.S. Treasury Inflationary Index Contracts Bond‡ I 1.750 1/15/2028 2,074 0.92 (000’s) 50 U.S. Treasury Inflationary Index BondI 3.875 4/15/2029 103 0.05 Options — (0.03%) 620 U.S. Treasury Inflationary Index Written Options — (0.03%) BondI 2.125 2/15/2040 796 0.35 – Euro$ December 2011, Put 98.25 (1) – 310 U.S. Treasury Note 0.750 6/15/2014 314 0.14 – Euro$ March 2012, Call 99.50 (31) (0.01) 3,830 U.S. Treasury Note 1.750 5/31/2016 3,987 1.76 – Euro$ March 2012, Put 99.50 (33) (0.02) 6,110 U.S. Treasury Note 2.250 7/31/2018 6,401 2.83 – U.S. 10 Year Note October 2011, Call 131.00 (4) – 2,150 U.S. Treasury Note 1.375 8/31/2018 2,142 0.95 – U.S. 10 Year Note October 2011, Call 133.00 (2) – 4,980 U.S. Treasury Note 3.625 2/15/2021 5,622 2.49 – U.S. 10 Year Note October 2011, Put 127.00 (3) – 820 U.S. Treasury Note 3.125 5/15/2021 888 0.39 – U.S. Bond October 2011, Call 140.00 (3) – 770 U.S. Treasury Strip Principal zero – U.S. Bond October 2011, Call 141.00 (1) – coupon 11/15/2024 519 0.23 – U.S. Bond October 2011, Put 131.00 (2) – – U.S. Bond October 2011, Put 132.00 (1) – Total U.S. Treasury Obligations (Cost $30,118) 32,716 14.49 (81) (0.03) Repurchase Agreements — 15.23% 17,200 Bank of America Securities LLC, Purchased Options — 0.00% Repurchase Agreement 0.02% – Euro$ December 2011, Put 98.50 2 – to be repurchased at – Euro$ December 2011, Put 98.75 2 – $17,200,010 (collateralised – Euro$ September 2011, Put 99.00 – – by U.S Treasury Note, 1.75% – U.S. 10 Year Note October 2011, Call 132.00 3 – due 1/31/2014, market value 7 – $17,543,991) 0.020 9/1/2011 17,200 7.62 17,200 RBS Securities, Inc. Repurchases Total Options (Cost $(76)) (74) (0.03) Agreement 0.02% to be repurchased at $17,200,010 Total Investments (Cost $278,341) 280,641 124.26 (collateralised by FHLB, 1.75%, Liabilities in Excess of Other Assets (54,791) (24.26) due 8/22/2012, market value $17,554,425) 0.020 9/1/2011 17,200 7.61 Total Net Assets $225,850 100.00

Total Repurchase Agreements (Cost $34,400) 34,400 15.23

The accompanying notes are an integral part of the Financial Statements

29 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US Core Plus Bond Fund

Portfolio of Investments as at August 31, 2011 – (continued)

– Amounts designated as "-" are either $0, less than $1,000 or less than 1,000 shares. 144A Securities exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These securities may only be resold, in transactions exempt from registration, to qualified institutional buyers. As at August 31, 2011, these securities amounted to $15,931,534 or 7.08% of net assets. * Variable rate security. The interest rate shown reflects the rate in effect at August 31, 2011. ? Security is valued in good faith at fair value by or at the discretion of the Investment Manager. e Security is in default as at August 31, 2011. † Illiquid. ‡ Security held as collateral for future contracts trading as at August 31, 2011. ± Securities purchased on a to-be-announced basis. I The rate of interest on this type of security is tied to the Consumer Price Index (CPI). The coupon rate is the rate as of August 31, 2011.

ABBREVIATIONS: TBA – To Be Announced Perpetual – A bond with no maturity date. Perpetual bonds are not redeemable but pay a steady stream of interest.

ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR TRADED ON A REGULATED MARKET EXCEPT FOR FUTURES, FORWARDS, OPTIONS, SWAPTIONS AND SWAPS WHICH ARE FINANCIAL DERIVATIVE INSTRUMENTS DEALT IN ON A REGULATED MARKET AND REPURCHASE AGREEMENTS WHICH ARE MONEY MARKET INSTRUMENTS. % of Total Analysis of Total Assets Assets

Transferable securities admitted to an official exchange listing or traded on a regulated market 73.58 Money market instruments 10.30 Financial derivative instruments 0.21 Collective investment schemes 0.15 Other assets 15.76

Total Assets 100.00

Schedule of Futures Contracts Net Unrealised Nominal Notional Notional Unrealised Unrealised Gain/ (Loss) Value Cost (000’s) Value (000’s) Gains (000’s) Losses (000’s) (000’s)

90 Day Euro$ March 2012 15 $3,730 $3,731 $1 – $1 90 Day Euro$ March 2013 (15) (3,710) (3,731) – $(21) (21) 90 Day Euro$ September 2012 16 3,972 3,981 9 – 9 90 Day Euro$ September 2013 (31) (7,640) (7,695) – (55) (55) U.S. 10 Year Note December 2011 (114) (14,716) (14,710) 6 – 6 U.S. 2 Year Note (CBT) December 2011 (113) (24,904) (24,916) – (12) (12) U.S. 5 Year Note (CBT) December 2011 (8) (979) (980) – (1) (1) U.S. Long Bond (CBT) December 2011 (29) (3,951) (3,945) 6 – 6 U.S. Ultra Bond (CBT) December 2011 15 2,194 2,147 – (47) (47)

Total Market Value of Future Contracts (264) $(46,004) $(46,118) $22 $(136) $(114)

The accompanying notes are an integral part of the Financial Statements

30 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US Core Plus Bond Fund

Portfolio of Investments as at August 31, 2011 – (continued)

Schedule of Credit Default Swaps Notional Buy/Sell Expiration Amount Value Counterparty Reference Entity Protection Pay/Receive Date (000’s) (000’s)

Barclays Capital, Inc. CMBX NA, 0.50%, due 2/17/51 Buy 0.50% 2/17/51 230 $59 Citigroup, Inc. CMBX NA, 0.35%, due 2/17/51 Buy 0.35% 2/17/51 158 18 Credit Suisse First Boston, Inc CDX.NA.HY16, 5.00%, due 6/20/16 Buy 5.00% 6/20/16 2,310 122 Credit Suisse First Boston, Inc CMBX NA, 0.07%, due 3/15/49 Buy 0.07% 3/15/49 200 15 Credit Suisse First Boston, Inc CMBX NA, 0.10%, due 10/12/52 Buy 0.10% 10/12/52 315 17 Credit Suisse First Boston, Inc CMBX NA, 0.50%, due 10/12/52 Sell 0.50% 10/12/52 127 (15) Credit Suisse First Boston, Inc CMBX NA, 0.50%, due 10/12/52 Sell 0.50% 10/12/52 430 (52) Credit Suisse First Boston, Inc CMBX NA, 0.50%, due 10/12/52 Sell 0.50% 10/12/52 240 (29) Credit Suisse First Boston, Inc. CMBX NA, 0.50%, due 12/13/49 Sell 0.50% 12/13/49 460 (100) Deutsche Bank Securities, Inc. CMBX NA, 0.50%, due 2/17/51 Buy 0.50% 2/17/51 140 36 Deutsche Bank Securities, Inc. Metlife, Inc., 1.00%, due 6/15/15 Sell 0.50% 6/20/18 470 (45) Goldman Sachs Group, Inc. CMBX NA, 0.07%, due 3/15/49 Buy 0.70% 3/15/49 30 2 Goldman Sachs Group, Inc. CMBX NA, 0.08%, due 12/13/49 Sell 0.08% 12/13/49 182 (19) Goldman Sachs Group, Inc. CMBX NA, 0.10%, due 10/12/52 Buy 0.10% 10/12/52 751 40 Goldman Sachs Group, Inc. CMBX NA, 0.10%, due 10/12/52 Buy 0.10% 10/12/52 271 14 Goldman Sachs Group, Inc. CMBX NA, 0.35%, due 2/17/51 Buy 0.35% 2/17/51 150 17 Goldman Sachs Group, Inc. CMBX NA, 0.50%, due 10/12/52 Sell 0.50% 10/12/52 370 (45) Goldman Sachs Group, Inc. CMBX NA, 0.50%, due 10/12/52 Sell 0.50% 10/12/52 112 (14) Goldman Sachs Group, Inc. CMBX NA, 0.50%, due 10/12/52 Sell 0.50% 10/12/52 121 (15) Goldman Sachs Group, Inc. CMBX NA, 0.50%, due 2/17/51 Buy 0.70% 2/17/51 167 42 Goldman Sachs Group, Inc. CMBX NA, 0.50%, due 2/17/51 Buy 0.50% 2/17/51 110 28 JP Morgan Securities Inc. CMBX NA, 0.07%, due 3/15/49 Buy 0.07% 3/15/49 200 15 JP Morgan Securities Inc. CMBX NA, 0.35%, due 2/17/51 Buy 0.35% 2/17/51 293 33 JP Morgan Securities Inc. CMBX NA, 0.50%, due 10/12/52 Sell 0.50% 10/12/52 290 (35) Morgan Stanley & Co., Inc. CMBX NA, 0.10%, due 10/12/52 Buy 0.10% 10/12/52 411 22 Morgan Stanley & Co., Inc. CMBX NA, 0.50%, due 12/13/49 Sell 0.50% 12/13/49 121 (26) Morgan Stanley & Co., Inc. CMBX NA, 0.50%, due 2/17/51 Buy 0.50% 2/17/51 190 48 RBS Securities, Inc. CMBX NA, 0.10%, due 10/12/52 Sell 0.10% 10/12/52 284 (15)

$118

Credit Default Swaps – Total Financial Assets at Fair Value 528 Credit Default Swaps – Total Financial Liabilities at Fair Value (410)

Credit Default Swaps – Total Financial Assets and Liabilities at Fair Value $118

Schedule of Total Return Swaps Notional Amount Value Counterparty Reference Entity Expiration Date (000’s) (000’s)

Morgan Stanley & Co., Inc. TRX CMBS 1/1/12 220 $3 Bank of America Securities LLC USD 1 Month LIBOR/ Markit IOS Index 1/12/41 350 (3) Barclays Capital Inc. USD 1 Month LIBOR/ Markit IOS Index 1/12/40 472 (1) Barclays Capital Inc. USD 1 Month LIBOR/ Markit IOS Index 1/12/39 41 – Barclays Capital Inc. USD 1 Month LIBOR/ Markit IOS Index 1/12/40 158 (1) Citigroup, Inc. USD 1 Month LIBOR/ Markit IOS Index 1/12/40 236 (1) Goldman Sachs Group, Inc. USD 1 Month LIBOR/ Markit IOS Index 1/12/40 55 – Morgan Stanley & Co., Inc. USD 1 Month LIBOR/ Markit IOS Index 1/12/41 350 (3) Morgan Stanley & Co, Inc. TRX CMBS 10/1/11 180 4 JP Morgan Securities, Inc. TRX CMBS 1/1/12 110 2 Barclays Capital Inc. USD 1 Month LIBOR/ Markit IOS Index 1/12/41 525 (5) Morgan Stanley & Co., Inc. TRX CMBS 1/1/12 120 2 Goldman Sachs Group Inc. USD 1 Month LIBOR/ Markit IOS Index 1/12/39 447 (2) Morgan Stanley & Co., Inc. USD 1 Month LIBOR/ Markit IOS Index 1/12/39 284 – BA Securities, Inc. USD 1 Month LIBOR/ Markit IOS Index 1/12/40 473 (2)

($7)

The accompanying notes are an integral part of the Financial Statements

31 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US Core Plus Bond Fund

Portfolio of Investments as at August 31, 2011 – (continued)

Notional Amount Value Counterparty Reference Entity Expiration Date (000’s) (000’s)

Total Return Swaps – Total Financial Assets at Fair Value 11 Total Return Swaps – Total Financial Liabilities at Fair Value (18)

Total Return Swaps – Total Financial Assets and Liabilities at Fair Value ($7)

Schedule of Swaptions Nominal Value Counterparty Description Expiration Date (in 000’s) (in 000’s)

BNP Paribas Swaption Payer, Credit Event, Markit CDX.NA.HY., Strike 0.94% 12/22/2011 1,510 $(59) BNP Paribas Swaption Payer, Credit Event, Markit CDX.NA.HY., Strike 0.94% 12/22/2011 800 (31) BNP Paribas Swaption Receiver, Credit Event, Markit CDX.NA.HY., Strike 0.99% 12/22/2011 800 8 BNP Paribas Swaption Receiver, Credit Event, Markit CDX.NA.HY., Strike 0.99% 12/22/2011 1,510 15 Credit Suisse First Boston, Inc. Swaption Receiver, Credit Event, Markit CDX.NA.HY., Strike 0.93% 12/22/2011 2,310 88 Credit Suisse First Boston, Inc. Swaption Payer, Credit Event, Markit CDX.NA.HY., Strike 0.88% 12/22/2011 2,310 (58)

Swaptions – Total Financial Assets at Fair Value $111 Swaptions – Total Financial Liabilities at Fair Value $(148)

Swaptions – Total Financial Assets and Financial Liabilities at Fair Value $(37)

Schedule of Forward Contracts

Contracts to Receive Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/30/2011 Barclays Capital GBP 5 $ 7 $ 7 – 9/30/2011 Citicorp Securities London Ltd GBP 211 342 345 (3) 9/30/2011 Citicorp Securities London Ltd GBP 340 552 557 (5) 9/30/2011 Deutsche Bank GBP 207 336 339 (3) 9/30/2011 Goldman Sachs GBP 622 1,009 1,018 (9) 9/30/2011 JPMorgan Chase GBP 226 367 370 (3) 11/16/2011 JPMorgan Chase BRL 1,629 1,010 1,014 (4) 11/16/2011 Citicorp Securities London Ltd CAD 2,227 2,270 2,250 20 $ (7)

Contracts to Deliver Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/30/2011 Barclays Capital GBP (51) $ (83) $ (84) $ 1 11/16/2011 Citicorp Securities London Ltd EUR (2,935) (4,212) (4,180) (32) 11/16/2011 Morgan Stanley EUR (1,568) (2,250) (2,223) (27) 11/16/2011 Citicorp Securities London Ltd JPY (73,324) (958) (948) (10) $ (68) Unrealised Appreciation of Forward Foreign Currency Contracts 21 Unrealised Depreciation of Forward Foreign Currency Contracts (96) Net Unrealised Depreciation of Forward Foreign Currency Contracts $ (75)

The accompanying notes are an integral part of the Financial Statements

32 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Euro Core Plus Bond Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date E Value (000’s) Rate % Date E Value

Asset-Backed Securities — 1.26% United Kingdom — 5.03% EUR 590 Globaldrive BV, Series 2, Class A 4.000 10/20/2016 596 0.70 720 Anglian Water Services 513 ItalFinance Securitisation Financing PLC 4.625 10/7/2013 754 0.89 Vehicle S.r.l., Series 1 * 1.719 1/14/2026 478 0.56 60 British Telecommunications PLC 5.250 1/22/2013 62 0.07 200 British Telecommunications PLC 5.250 6/23/2014 214 0.25 Total Asset-Backed Securities (Cost E1,073) 1,074 1.26 201 British Telecommunications PLC 6.125 7/11/2014 220 0.26 Collateralised Mortgage-Backed Obligations — 3.15% 160 Imperial Tobacco Finance PLC 7.250 9/15/2014 180 0.21 EUR 495 Eurosail PLC, Series NL2X * 2.356 10/17/2040 454 0.53 311 Imperial Tobacco Finance PLC 8.375 2/17/2016 370 0.44 254 Granite Master Issuer PLC, 810 Lloyds TSB Bank PLC 4.125 4/6/2016 845 0.99 Series 1 * 1.528 12/20/2054 239 0.28 550 Lloyds TSB Bank PLC 6.375 6/17/2016 571 0.67 232 Granite Master Issuer PLC, 560 The Royal Bank of Scotland PLC 5.375 9/30/2019 520 0.61 Series 4 * 1.458 12/20/2054 219 0.26 250 The Royal Bank of Scotland PLC 5.500 3/23/2020 234 0.28 360 Permanent Financing PLC, 300 Standard Chartered Bank 5.875 9/26/2017 308 0.36 Series 9X * 1.562 6/10/2033 360 0.42 4,278 5.03 1,094 TDA CAM, Series 3 * 1.838 4/26/2033 937 1.10 562 Union de Creditos Inmobiliarios, United States — 1.89% Series 11 * 1.611 9/15/2041 471 0.56 550 Bank of America Corp. 4.625 8/7/2017 513 0.60 370 Citigroup, Inc. 7.375 9/4/2019 412 0.49 Total Collateralised Mortgage-Backed Obligations (Cost E2,726) 2,680 3.15 710 Pemex Project Funding Master EUR Denominated Bonds and Notes — 11.27% Trust 5.500 2/24/2025 682 0.80 Belgium — 0.74% 1,607 1.89 50 Fortis Bank S.A./NV * 4.625 Perpetual 38 0.05 600 Fortis Bank S.A./NV * 6.500 Perpetual 582 0.69 Total EUR Denominated Bonds and Notes (Cost E9,806) 9,577 11.27

620 0.74 Foreign Corporate Bonds and Notes — 0.97% United Kingdom — 0.97% Canada — 0.30% 550 Annington Finance No. 4 PLC, 250 Xstrata Finance Canada Ltd. 5.250 6/13/2017 257 0.30 Series C1 8.070 1/10/2023 734 0.87 Cayman Islands — 0.83% 60 Dignity Finance PLC, Series B 8.151 12/31/2030 88 0.10 670 Thames Water Utilities Cayman 822 0.97 Finance Ltd. 6.125 2/4/2013 706 0.83 Total Foreign Corporate Bonds and Notes (Cost E852) 822 0.97 Denmark — 0.24% 200 TDC A/S 4.375 2/23/2018 207 0.24 Government Securities — 78.49% EUR 2,590 Belgium Government Bond, France — 0.45% Series 61 4.250 9/28/2021 2,636 3.10 170 GDF Suez 5.950 3/16/2111 164 0.19 4,100 Bundesobligation, Series 150 4.000 4/13/2012 4,183 4.92 59 Korreden S.A. * 11.000 8/1/2014 18 0.02 120 Bundesobligation, Series 159 2.000 2/26/2016 124 0.15 200 Vivendi S.A. 4.750 7/13/2021 203 0.24 21 Bundesrepublik Deutschland 5.500 1/4/2031 28 0.03 385 0.45 5,260 Bundesrepublik Deutschland 3.250 7/4/2042 5,433 6.39 10 Bundesrepublik Deutschland, Germany — 0.39% Series 03 4.750 7/4/2034 13 0.02 580 HT1 Funding GmbH * 5.351 Perpetual 334 0.39 440 Bundesrepublik Deutschland, Series 04 3.750 1/4/2015 480 0.56 Italy — 0.16% 214 Bundesrepublik Deutschland, 200 Telecom Italia S.p.A. 5.250 3/17/2055 138 0.16 Series 05 4.000 1/4/2037 247 0.29 Luxembourg — 0.41% 1,050 Bundesrepublik Deutschland, 400 Hannover Finance Series 06 4.000 7/4/2016 1,181 1.39 Luxembourg S.A. * 5.750 9/14/2040 343 0.41 1,260 Bundesrepublik Deutschland, Series 07 4.250 7/4/2039 1,525 1.79 Netherlands — 0.83% 2,210 Bundesrepublik Deutschland, 400 Allianz Finance II BV * 5.750 7/8/2041 340 0.40 Series 08 3.750 1/4/2019 2,503 2.95 162 Hollandwide Parent BV zero 180 Bundesrepublik Deutschland, coupon 8/1/2014 1 – Series 08 4.750 7/4/2040 237 0.28 175 Koninklijke KPN NV 5.000 11/13/2012 181 0.22 7,258 Bundesrepublik Deutschland, 170 Tennet Holding BV 4.625 2/21/2023 180 0.21 Series 09 3.250 1/4/2020 7,976 9.39 260 Bundesrepublik Deutschland, 702 0.83 Series 98 4.750 7/4/2028 322 0.38 2,290 France Government Bond OAT 4.000 4/25/2018 2,522 2.97

The accompanying notes are an integral part of the Financial Statements

33 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Euro Core Plus Bond Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of – Amounts designated as "-" are either E0, less than E1,000 or less than 1,000 Value Net shares. Face Value Coupon Maturity (000’s) Asset 144A Securities exempt from registration under Rule 144A of the Securities Act of 1933, (000’s) Rate % Date E Value as amended. These securities may only be resold, in transactions exempt from registration, to qualified institutional buyers. As at August 31, 2011, these securities Government Securities — (continued) amounted to E416,152 or 0.49% of net assets. 5,350 France Government Bond OAT 3.500 4/25/2020 5,678 6.68 * Variable rate security. The interest rate shown reflects the rate in effect at 3,120 France Government Bond OAT 3.250 10/25/2021 3,218 3.79 August 31, 2011. 270 France Government Bond OAT 5.750 10/25/2032 352 0.41 † Illiquid. 982 France Government Bond OAT 4.750 4/25/2035 1,144 1.35 e Security is in default as at August 31, 2011. 510 France Government Bond OAT 4.000 4/25/2060 534 0.63 5,720 French Treasury Note BTAN 2.250 2/25/2016 5,824 6.85 ABBREVIATIONS: 2,980 German Treasury Bill zero Perpetual – A bond with no maturity date. Perpetual bonds are not redeemable but pay a coupon 12/7/2011 2,969 3.49 steady stream of interest. 5,760 Italy Buoni Poliennali Del Tesoro 5.000 9/1/2040 4,896 5.76 EUR – Euro 12,000 Netherlands Government Bond 3.250 7/15/2021 12,676 14.92 GBP – British Pound USD – United States Dollar Total Government Securities (Cost E65,047) 66,701 78.49 ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL U.S. Denominated Bonds and Notes — 1.12% EXCHANGE LISTING OR TRADED ON A REGULATED MARKET EXCEPT FOR FUTURES, Iceland — 0.49% FORWARDS AND SWAPS WHICH ARE FINANCIAL DERIVATIVE INSTRUMENTS DEALT 2,440 Kaupthing Bank HF, 144A † e 7.625 2/28/2015 416 0.49 ON A REGULATED MARKET AND COLLECTIVE INVESTMENT SCHEMES. % of Mexico — 0.00% Total 3 Kansas City Southern de Analysis of Total Assets Assets Mexico S.A. de CV 12.500 4/1/2016 3 – Transferable securities admitted to an official exchange listing or traded on a United States — 0.63% regulated market 94.46 360 Freeport-McMoRan Copper & Financial derivative instruments 0.36 Gold, Inc. 8.375 4/1/2017 270 0.32 Collective investment schemes 0.62 150 Qwest Corp. 6.875 9/15/2033 100 0.12 Other assets 4.56 195 Reynolds American, Inc. 6.750 6/15/2017 160 0.19 170 Station Casinos, Inc. † e 7.750 8/15/2016 – – Total Assets 100.00 530 0.63

Total U.S. Denominated Bonds and Notes (Cost E1,112) 949 1.12

Shares/Units (000’s)

Common Stock — 0.00% (Cost E7) – SemGroup Corp., Class A – –

Shares/Units (000’s)

Collective Investment Schemes — 0.63% 520 Western Asset Liquidity Funds PLC – Western Asset Euro Liquidity Fund, Class WA 520 0.61 13 Western Asset Liquidity Funds PLC – Western Asset Sterling Liquidity Fund, Class WA 15 0.02

Total Collective Investment Schemes (Cost E535) 535 0.63

Shares/Units (000’s)

Warrants — 0.00% (Cost E0) – SemGroup Corp., Series CW14 † – –

Total Investments (Cost E81,158) 82,338 96.89

Other Assets in Excess of Liabilities 2,647 3.11

Total Net Assets E84,985 100.00

The accompanying notes are an integral part of the Financial Statements

34 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Euro Core Plus Bond Fund

Portfolio of Investments as at August 31, 2011 – (continued)

Schedule of Futures Contracts Net Unrealised Nominal Notional Notional Unrealised Unrealised Gain/ (Loss) Value Cost (000’s) Value (000’s) Gains (000’s) Losses (000’s) (000’s)

Euro-Bobl September 2011 (57) E (6,716) E (6,939) – E (223) E (223) Euro-Bund September 2011 (215) (27,992) (28,931) – (939) (939) Long Gilt December 2011 (9) (1,291) (1,286) E 5 – 5

Total Market Value of Future Contracts (281) E (35,999) E (37,156) E 5 E (1,162) E (1,157)

Schedule of Credit Default Swaps Notional Buy/Sell Expiration Amount Value Counterparty Reference Entity Protection Pay/Receive Date (000’s) (000’s)

HSBC Midland Markit iTraxx Europe, 1.00%, due 6/20/16 Sell 1.00% 6/20/11 4,340 E (102) HSBC Midland Markit iTraxx Europe, 1.00%, due 6/20/16 Sell 1.00% 6/20/11 4,340 (101)

E (203)

Credit Default Swaps – Total Financial Assets at Fair Value – Credit Default Swaps – Total Financial Liabilities at Fair Value (203)

Credit Default Swaps – Total Financial Assets and Liabilities at Fair Value E (203)

Schedule of Forward Contracts

Contracts to Receive Unrealised Appreciation/ In Exchange (Depreciation) of Expiration Date Counterparty Local Currency Value in Euro for Euro Contracts 11/16/2011 Citicorp Securities London Ltd. GBP 1,498 E 1,693 E 1,716 E (23) 11/16/2011 JPMorgan Chase Bank London GBP 3,480 3,933 3,939 (6) 11/16/2011 Citicorp Securities London Ltd. NOK 1,867 241 237 4 11/16/2011 Citicorp Securities London Ltd. PLN 379 91 92 (1) 11/16/2011 Deutsche Bank London SEK 10,632 1,163 1,151 12 11/16/2011 UBS (FX) SEK 6,491 710 696 14 11/16/2011 Barclays USD 500 348 348 – 11/16/2011 Credit Suisse First Boston London USD 3,070 2,139 2,153 (14) 11/16/2011 Goldman Sachs London FX USD 13,311 9,275 9,348 (73) 11/16/2011 JPMorgan Chase Bank London USD 5,064 3,529 3,531 (2) 11/16/2011 Morgan Stanley Foreign Exchange USD 1,068 744 753 (9) 11/16/2011 UBS (FX) USD 5,083 3,541 3,600 (59) E (157)

Contracts to Deliver Unrealised Appreciation/ In Exchange (Depreciation) of Expiration Date Counterparty Local Currency Value in Euro for Euro Contracts 11/16/2011 Credit Suisse First Boston London GBP (847) E (957) E (970) E 13 11/16/2011 Deutsche Bank London GBP (165) (187) (191) 4 11/16/2011 Deutsche Bank London GBP (14) (16) (16) – 11/16/2011 Goldman Sachs London FX GBP (1,057) (1,195) (1,218) 23 11/16/2011 JPMorgan Chase Bank London GBP (50) (57) (58) 1 11/16/2011 JPMorgan Chase Bank London GBP (3) (3) (3) – 11/16/2011 Morgan Stanley Foreign Exchange GBP (286) (324) (326) 2 11/16/2011 UBS (FX) GBP (3,329) (3,762) (3,804) 42 11/16/2011 Morgan Stanley Foreign Exchange NOK (1,348) (174) (171) (3) 11/16/2011 Deutsche Bank London PLN (380) (91) (93) 2 11/16/2011 Citicorp Securities London Ltd. SEK (1,213) (133) (131) (2)

The accompanying notes are an integral part of the Financial Statements

35 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Euro Core Plus Bond Fund

Portfolio of Investments as at August 31, 2011 – (continued)

Contracts to Deliver Unrealised Appreciation/ In Exchange (Depreciation) of Expiration Date Counterparty Local Currency Value in Euro for Euro Contracts 11/16/2011 Citicorp Securities London Ltd. USD (24,495) (17,067) (17,200) 133 11/16/2011 Deutsche Bank London USD (5,872) (4,092) (4,146) 54 E 269 Unrealised Appreciation of Forward Foreign Currency Contracts 304 Unrealised Depreciation of Forward Foreign Currency Contracts (192) Net Unrealised Appreciation of Forward Foreign Currency Contracts E 112

The accompanying notes are an integral part of the Financial Statements

36 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Diversified Strategic Income Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

Asset-Backed Securities — 0.00% 86 Seat Pagine Gialle S.p.A. 10.500 1/31/2017 102 0.22 8 Sail Net Interest Margin Notes, 4,220 9.00 Series 2003-3, Class A, 144A † 7.750 4/27/2033 – – Total Foreign Corporate Bonds and Notes (Cost $7,274) 6,343 13.53 Total Asset-Backed Securities (Cost $1) –– Foreign Government Bonds and Notes — 13.21% Collateralised Mortgage-Backed Obligations — 0.08% Euro Bonds — 9.96% 40 Drexel Burnham Lambert CMO zero EUR 2,800 Bundesobligation, Series 159 2.000 2/26/2016 4,157 8.87 Trust, Series X, Class 3 † coupon 12/1/2018 39 0.08 200 Bundesrepublik Deutschland, Total Collateralised Mortgage-Backed Obligations (Cost $40) 39 0.08 Series 08 3.750 1/4/2019 325 0.69 330 Hellenic Republic Government Foreign Corporate Bonds and Notes — 13.53% BondI 2.300 7/25/2030 188 0.40 British Pound Sterling Bonds — 4.53% GBP 110 Anglian Water/Osprey Financing 4,670 9.96 PLC 7.000 1/31/2018 170 0.36 Mexican Peso Bonds — 1.21% 102 BAA SH PLC 7.125 3/1/2017 158 0.33 MXN 6,126 Mexican Bonos, Series M 8.000 6/11/2020 567 1.21 63 DFS Furniture Holdings PLC 9.750 7/15/2017 88 0.19 110 Enterprise Inns PLC 6.500 12/6/2018 136 0.29 Polish Zloty Bonds — 2.04% 200 The Great Rolling Stock Co. Ltd. 6.250 7/27/2020 347 0.74 PLN 2,740 Poland Government Bond, 177 Greene King Finance PLC, Series 0922 5.750 9/23/2022 959 2.04 Series B2 * 1.654 3/15/2036 196 0.42 220 HSBC Capital Funding LP * 8.208 Perpetual 372 0.79 Total Foreign Government Bonds and Notes (Cost $5,969) 6,196 13.21 71 Marstons Issuer PLC, Series B1 * 5.641 7/15/2035 97 0.21 U.S. Corporate Bonds and Notes — 19.28% 100 Phones4u Finance PLC 9.500 4/1/2018 125 0.27 25 ACCO Brands Corp. 10.625 3/15/2015 27 0.06 80 Swedbank AB * 5.750 Perpetual 113 0.24 10 Alliance One International, Inc. 10.000 7/15/2016 9 0.02 100 Thames Water Kemble Finance 130 Ally Financial, Inc. 8.300 2/12/2015 137 0.29 PLC 7.750 4/1/2019 154 0.33 70 Altegrity, Inc., 144A 10.500 11/1/2015 67 0.14 98 Thames Water Utilities Cayman 120 Altria Group, Inc. 9.250 8/6/2019 159 0.34 Finance Ltd. * 5.375 7/21/2025 167 0.36 130 American Express Credit Corp. 5.125 8/25/2014 143 0.30 2,123 4.53 110 Appleton Papers, Inc. 11.250 12/15/2015 107 0.23 41 Ashtead Capital, Inc., 144A 9.000 8/15/2016 42 0.09 Euro Bonds — 9.00% 13 Ashton Woods USA LLC/Ashton zero EUR 100 Barclays Bank PLC 6.000 1/23/2018 133 0.29 Woods Finance Co., 144A † coupon 6/30/2015 9 0.02 370 Barclays Bank PLC 6.000 1/14/2021 456 0.97 90 AT&T, Inc. 3.875 8/15/2021 93 0.20 57 Codere Finance 130 AT&T, Inc. 6.550 2/15/2039 150 0.32 Luxembourg S.A. 8.250 6/15/2015 76 0.16 200 Bank of America Corp. 5.420 3/15/2017 195 0.42 300 Commerzbank AG 7.750 3/16/2021 380 0.81 EUR 250 Bank of America Corp. 4.625 8/7/2017 335 0.71 100 ConvaTec Healthcare e S.A. 10.875 12/15/2018 128 0.27 20 Berry Petroleum Co. 10.250 6/1/2014 22 0.05 150 Edcon Proprietary Ltd. * 4.721 6/15/2014 165 0.35 35 Buffets Restaurants Holdings, 150 ELM BV for Swiss Reinsurance Inc. Escrow † ? e 0.000 11/1/2014 – – Co. * 5.252 Perpetual 179 0.38 30 Caesars Entertainment 100 Europcar Groupe S.A. 9.375 4/15/2018 118 0.25 Operating Co., Inc. 10.750 2/1/2016 26 0.06 100 Fiat Finance & Trade S.A. 6.125 7/8/2014 136 0.29 40 Caesars Entertainment 100 Greif Luxembourg Finance SCA 7.375 7/15/2021 141 0.30 Operating Co., Inc. 11.250 6/1/2017 43 0.09 50 Hannover Finance 19 CCH II LLC / CCH II Capital Corp. 13.500 11/30/2016 22 0.05 Luxembourg S.A. * 5.750 9/14/2040 62 0.13 55 CCM Merger, Inc., 144A 8.000 8/1/2013 53 0.11 173 HBOS PLC * 1.730 9/1/2016 197 0.42 32 Ceridian Corp. 12.250 11/15/2015 29 0.06 19 HeidelbergCement Finance BV 8.000 1/31/2017 27 0.06 20 Chesapeake Energy Corp. 7.250 12/15/2018 21 0.04 271 Hollandwide Parent BV zero 190 Citigroup, Inc. 6.375 8/12/2014 207 0.44 coupon 8/1/2014 2 – EUR 220 Citigroup, Inc. 7.375 9/4/2019 352 0.75 170 HSBC Holdings PLC * 3.625 6/29/2020 236 0.50 110 The Cleveland Electric 150 Ineos Group Holdings PLC 7.875 2/15/2016 177 0.38 Illuminating Co. 5.650 12/15/2013 120 0.26 99 Korreden S.A. * 11.000 8/1/2014 42 0.09 100 Comcast Corp. 6.500 1/15/2017 119 0.25 382 Lloyds TSB Bank PLC 6.500 3/24/2020 454 0.97 45 Complete Production Services, 150 Muenchener Inc. 8.000 12/15/2016 45 0.10 Rueckversicherungs AG * 5.767 Perpetual 181 0.39 35 Cricket Communications, Inc. 7.750 5/15/2016 36 0.07 75 Polish Television Holding BV 11.250 5/15/2017 108 0.23 100 CSC Holdings, Inc. 6.750 4/15/2012 102 0.22 530 The Royal Bank of Scotland PLC 4.875 1/20/2017 720 1.54 9 Delta Air Lines, Inc., 144A 9.500 9/15/2014 9 0.02 22 Delta Air Lines, Inc., Series 071B 8.021 8/10/2022 22 0.04

The accompanying notes are an integral part of the Financial Statements

37 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Diversified Strategic Income Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Corporate Bonds and Notes — (continued) 24 RailAmerica, Inc. 9.250 7/1/2017 26 0.06 EUR 50 Deutsche Postbank Funding 180 Reynolds American, Inc. 7.250 6/1/2012 188 0.40 Trust IV * 5.983 Perpetual 50 0.11 10 RSC Equipment Rental, Inc., 160 Devon Energy Corp. 7.950 4/15/2032 218 0.46 144A 10.000 7/15/2017 11 0.03 40 DISH DBS Corp. 7.750 5/31/2015 42 0.09 160 SLM Corp. 5.050 11/14/2014 159 0.34 20 DISH DBS Corp. 7.875 9/1/2019 21 0.04 50 SLM Corp. 5.625 8/1/2033 41 0.09 150 Dole Food Co., Inc. 8.750 7/15/2013 161 0.34 15 Snoqualmie Entertainment 70 Echostar DBS Corp. 7.125 2/1/2016 72 0.15 Authority, 144A * 4.179 2/1/2014 13 0.03 90 Edison Mission Energy 7.750 6/15/2016 68 0.14 445 Sprint Capital Corp. 8.375 3/15/2012 458 0.98 39 El Paso Corp. 7.375 12/15/2012 41 0.09 60 Teachers Insurance & Annuity 495 El Paso Corp. 7.750 1/15/2032 554 1.18 Association of America 6.850 12/16/2039 71 0.15 97 Energy Future Intermediate 50 Tenet Healthcare Corp. 6.875 11/15/2031 40 0.08 Holding Co. LLC / EFIH Finance, 140 Time Warner Cable, Inc. 8.250 4/1/2019 177 0.38 Inc. 10.000 12/1/2020 98 0.21 20 Vanguard Health Holding Co 50 Enterprise Products Operating II LLC / Vanguard Holding Co. II, LLC, Series A * 8.375 8/1/2066 52 0.11 Inc. 8.000 2/1/2018 19 0.04 205 FirstEnergy Corp., Series C 7.375 11/15/2031 239 0.51 240 Wachovia Corp. 5.250 8/1/2014 257 0.55 20 Ford Motor Credit Co. LLC * 2.996 1/13/2012 20 0.04 60 WellPoint, Inc. 7.000 2/15/2019 74 0.16 30 Ford Motor Credit Co. LLC 7.000 10/1/2013 32 0.07 25 Whiting Petroleum Corp. 7.000 2/1/2014 27 0.06 30 Ford Motor Credit Co. LLC 8.000 12/15/2016 33 0.07 315 The Williams Cos., Inc. 8.750 3/15/2032 409 0.87 10 Freescale Semiconductor, Inc. 10.125 12/15/2016 11 0.02 Total U.S. Corporate Bonds and Notes (Cost $8,700) 9,041 19.28 40 Frontier Communications Corp. 8.750 4/15/2022 41 0.09 100 General Motors Co. Escrow † zero U.S. Denominated Bonds and Notes — 4.87% coupon Perpetual 1 – Australia — 1.30% 320 The Goldman Sachs Group, Inc. 7.500 2/15/2019 365 0.78 140 BHP Billiton Finance USA Ltd. 6.500 4/1/2019 172 0.37 EUR 200 The Goldman Sachs Group, Inc. 5.125 10/23/2019 276 0.59 150 Rio Tinto Finance USA Ltd. 9.000 5/1/2019 205 0.44 EUR 50 The Goldman Sachs Group, Inc. 4.750 10/12/2021 61 0.13 220 Westpac Banking Corp. 4.875 11/19/2019 232 0.49 170 H&E Equipment Services, Inc. 8.375 7/15/2016 169 0.36 20 Hercules Offshore, Inc., 144A 10.500 10/15/2017 20 0.04 609 1.30 50 Inn of The Mountain Gods Bermuda — 0.06% Resort & Casino * ? 1.250 11/30/2020 28 0.06 5 Intelsat Jackson Holdings S.A. 9.500 6/15/2016 5 0.01 22 Inn of The Mountain Gods 20 NCL Corp. Ltd. 11.750 11/15/2016 22 0.05 Resort & Casino ? 8.750 11/30/2020 22 0.05 250 JPMorgan Chase & Co. 5.125 9/15/2014 265 0.56 27 0.06 30 JPMorgan Chase & Co. 5.150 10/1/2015 32 0.07 EUR 200 JPMorgan Chase Bank N.A. * 4.375 11/30/2021 270 0.58 Canada — 0.02% 230 Kerr-McGee Corp. 6.950 7/1/2024 270 0.58 6 Teck Resources Ltd. 9.750 5/15/2014 7 0.01 10 Landry’s Restaurants, Inc. 11.625 12/1/2015 10 0.02 6 Teck Resources Ltd. 10.250 5/15/2016 7 0.01 69 Lehman Escrow Receipt zero ? 14 0.02 coupon Perpetual – – 25 Mandalay Resort Group 7.625 7/15/2013 24 0.05 Cayman Islands — 0.21% 20 Mead Johnson Nutrition Co. 5.900 11/1/2039 22 0.05 100 Resona Preferred Global 20 Mohegan Tribal Gaming Securities Cayman Ltd., 144A * 7.191 Perpetual 97 0.21 Authority, 144A 11.500 11/1/2017 20 0.04 France — 0.37% 30 The Neiman Marcus Group, Inc. 7.125 6/1/2028 27 0.06 160 Credit Agricole S.A., 144A * 8.375 Perpetual 147 0.31 100 NetFlix, Inc. 8.500 11/15/2017 110 0.24 30 Societe Generale S.A. 8.750 Perpetual 28 0.06 55 NewPage Corp. 11.375 12/31/2014 48 0.10 140 Nielsen Finance LLC / Nielsen 175 0.37 Finance Co. 11.500 5/1/2016 159 0.34 40 Oncology Escrow Bond zero Iceland — 0.32% coupon Perpetual – – 140 Glitnir Banki HF, 144A † e 6.330 7/28/2012 36 0.08 30 Oxford Industries, Inc. 11.375 7/15/2015 33 0.07 420 Glitnir Banki HF, 144A ? e 6.693 6/15/2016 – – 20 Plains Exploration & 380 Kaupthing Bank HF, 144A † e 7.625 2/28/2015 93 0.20 Production Co. 10.000 3/1/2016 22 0.05 280 Landsbanki Islands HF, 144A † e 6.100 8/25/2012 20 0.04 10 Plains Exploration & 149 0.32 Production Co. 8.625 10/15/2019 11 0.02 25 Quicksilver Resources, Inc. 11.750 1/1/2016 28 0.06 India — 0.28% 320 Qwest Communications 140 ICICI Bank Ltd. * 6.375 4/30/2022 130 0.28 International, Inc., Series B 7.500 2/15/2014 324 0.69

The accompanying notes are an integral part of the Financial Statements

38 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Diversified Strategic Income Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Denominated Bonds and Notes — (continued) 17 GNMA, Pool #583599 8.000 5/15/2032 20 0.04 Kyrgystan — 1.24% 35 0.08 506 Vale Overseas Ltd. 6.875 11/21/2036 580 1.24 Total U.S. Government Agency Mortgage-Backed Securities Luxembourg — 0.38% (Cost $1,844) 1,920 4.10 10 Telecom Italia Capital S.A. 5.250 10/1/2015 10 0.02 150 TNK-BP Finance S.A., 144A 7.500 7/18/2016 168 0.36 U.S. Treasury Obligations — 17.03% USD 50 U.S. Treasury Bond 4.750 2/15/2037 61 0.13 178 0.38 840 U.S. Treasury Bond 3.500 2/15/2039 829 1.77 Mali — 0.06% 80 U.S. Treasury Bond 4.250 5/15/2039 90 0.19 30 Teekay Corp. 8.500 1/15/2020 29 0.06 1,430 U.S. Treasury Bond 4.625 2/15/2040 1,704 3.63 260 U.S. Treasury Bond 4.250 11/15/2040 292 0.62 Mexico — 0.11% 30 U.S. Treasury Note 2.625 7/31/2014 32 0.07 43 Kansas City Southern de 100 U.S. Treasury Note 1.250 8/31/2015 103 0.22 Mexico S.A. de CV 12.500 4/1/2016 50 0.11 100 U.S. Treasury Note 1.250 9/30/2015 102 0.22 Russia — 0.34% 260 U.S. Treasury Note 2.000 1/31/2016 274 0.59 160 Russian Agricultural Bank OJSC 30 U.S. Treasury Note 1.875 10/31/2017 31 0.07 Via RSHB Capital S.A. * 6.970 9/21/2016 160 0.34 1,650 U.S. Treasury Note 2.750 2/15/2019 1,780 3.80 90 U.S. Treasury Note 3.125 5/15/2019 99 0.21 Sweden — 0.18% 10 U.S. Treasury Note 3.625 8/15/2019 11 0.02 80 Nordea Bank AB 4.875 1/27/2020 85 0.18 50 U.S. Treasury Note 3.375 11/15/2019 56 0.12 20 U.S. Treasury Note 2.625 8/15/2020 21 0.05 Total U.S. Denominated Bonds and Notes (Cost $3,197) 2,283 4.87 630 U.S. Treasury Note 2.625 11/15/2020 658 1.40 U.S. Government Agency Mortgage-Backed Securities — 4.10% 1,630 U.S. Treasury Note 3.625 2/15/2021 1,840 3.92 Federal Home Loan Mortgage Corporation (FHLMC) — 0.53% Total U.S. Treasury Obligations (Cost $7,279) 7,983 17.03 USD 1 FHLMC Corp., Pool #E00870 7.000 8/1/2015 1 – 1 FHLMC Corp., Pool #E82313 7.000 1/1/2016 1 – Repurchase Agreements — 4.48% 5 FHLMC Corp., Pool #E00968 7.000 3/1/2016 5 0.01 1,232 Bank of America Securities LLC, 203 FHLMC Corp., Pool #C61643 6.500 12/1/2031 232 0.50 Repurchase Agreement 0.02% 40 FHLMC Corp. Strips, Series 140, to be repurchased at Class B 9.500 9/1/2021 8 0.02 $1,232,001 (collateralised by U.S. Treasury Note, 1.75% 247 0.53 due 1/31/2014, market value Federal National Mortgage Association (FNMA) — 3.49% $1,256,640) 0.020 9/1/2011 1,232 2.63 USD 400 FNMA, Pool #366094 6.000 9/1/2025 440 0.94 868 Credit Suisse First Boston, 6 FNMA, Pool #527250 7.000 11/1/2029 7 0.01 Repurchase Agreement 0.01% 3 FNMA, Pool #535159 7.000 2/1/2030 3 0.01 to be repurchased at $868,000 1 FNMA, Pool #568866 7.500 1/1/2031 1 – (collateralised by U.S. Treasury 1 FNMA, Pool #582665 7.500 6/1/2031 1 – Note, 1.00% due 4/30/2012, 5 FNMA, Pool #581961 7.000 7/1/2031 6 0.01 market value $882,481) 0.010 9/1/2011 868 1.85 2 FNMA, Pool #605525 7.000 7/1/2031 2 – Total Repurchase Agreements (Cost $2,100) 2,100 4.48 34 FNMA, Pool #587907 7.500 7/1/2031 40 0.09 11 FNMA, Pool #598230 7.000 9/1/2031 13 0.03 Shares/Units (000’s) 25 FNMA, Pool #601140 7.000 9/1/2031 29 0.06 Common Stock — 0.08% 3 FNMA, Pool #254008 7.000 10/1/2031 4 0.01 – Ashton Woods USA LLC/Ashton Woods Finance Co. † ? 3 0.01 100 FNMA, 30 Year September – Charter Communications, Inc., Class A – – TBA± 5.500 9/15/2041 109 0.23 1 Deep Ocean Group Holdings A/S ? 12 0.02 500 FNMA, 30 Year September – General Motors Co. 2 0.01 TBA± 6.000 9/15/2041 553 1.18 1 Georgia Gulf Corp. 15 0.03 400 FNMA, 30 Year October TBA± 5.000 10/15/2041 430 0.92 – Nortek, Inc. 1 – 1,638 3.49 – SemGroup Corp., Class A 6 0.01

Government National Mortgage Association (GNMA) — 0.08% Total Common Stock (Cost $138) 39 0.08 USD 1 GNMA, Pool #1849 8.500 8/20/2024 2 0.01 11 GNMA, Pool #781001 7.500 3/15/2029 13 0.03

The accompanying notes are an integral part of the Financial Statements

39 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Diversified Strategic Income Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL Value Net EXCHANGE LISTING OR TRADED ON A REGULATED MARKET EXCEPT FOR FUTURES (000’s) Asset AND FORWARDS WHICH ARE FINANCIAL DERIVATIVE INSTRUMENTS DEALT IN ON Shares/Units (000’s) $ Value A REGULATED MARKET, REPURCHASE AGREEMENTS WHICH ARE MONEY MARKET INSTRUMENTS AND COLLECTIVE INVESTMENT SCHEMES. Collective Investment Schemes — 17.58% % of 25 Legg Mason Global Funds PLC – Legg Mason Western Total Asset Euro High Yield Bond Fund ? 3,317 7.07 Analysis of Total Assets Assets 56 Legg Mason Global Funds PLC – Legg Mason Western Transferable securities admitted to an official exchange listing or traded on a Asset U.S. High Yield Fund ? 4,926 10.51 regulated market 69.02 Total Collective Investment Schemes (Cost $8,658) 8,243 17.58 Money market instruments 4.26 Shares/Units (000’s) Financial derivative instruments 1.61 Collective investment schemes 16.70 Preferred Stock — 0.46% (Cost $210) 8 Citigroup Capital XII 215 0.46 Other assets 8.41

Shares/Units (000’s) Total Assets 100.00

Warrants — 0.01% – Charter Communications, Inc., Series CW14 1 – – General Motors Co., Series CW16 1 – – General Motors Co., Series CW19 1 0.01 – Nortek, Inc., Series CW14 † ? –– – SemGroup Corp., Series CW14 † 1 –

Total Warrants (Cost $2) 4 0.01

Total Investments (Cost $45,412) 44,406 94.71

Other Assets in Excess of Liabilities 2,482 5.29

Total Net Assets $46,888 100.00

– Amounts designated as "-" are either $0, less than $1,000 or less than 1,000 shares. 144A Securities exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These securities may only be resold, in transactions exempt from registration, to qualified institutional buyers. As at August 31, 2011, these securities amounted to $805,531 or 1.72% of net assets. † Illiquid. * Variable rate security. The interest rate shown reflects the rate in effect at August 31, 2011. I The rate of interest on this type of security is tied to the Consumer Price Index (CPI). The coupon rate is the rate as of August 31, 2011. ? Security is valued in good faith at fair value by or at the discretion of the Investment Manager. e Security is in default as at August 31, 2011. ± Securities purchased on a to-be-announced basis.

ABBREVIATIONS: TBA – To Be Announced Perpetual – A bond with no maturity date. Perpetual bonds are not redeemable but pay a steady stream of interest. EUR – Euro GBP – British Pound MXN – Mexican Peso PLN – Polish Zloty USD – United States Dollar

The accompanying notes are an integral part of the Financial Statements

40 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Diversified Strategic Income Fund

Portfolio of Investments as at August 31, 2011 – (continued)

Schedule of Futures Contracts Net Unrealised Nominal Notional Notional Unrealised Unrealised Gain/ (Loss) Value Cost (000’s) Value (000’s) Gains (000’s) Losses (000’s) (000’s)

Euro-Bobl September 2011 (13) $(2,180) $(2,273) – $(93) $(93) Euro-Bund September 2011 (10) (1,844) (1,933) – (89) (89) U.S. 10 Year Note December 2011 (26) (3,359) (3,355) $4 – 4 U.S. 5 Year Note (CBT) December 2011 (22) (2,695) (2,696) – (1) (1) U.S. Long Bond (CBT) December 2011 (1) (135) (136) – (1) (1)

Total Market Value of Future Contracts (72) $(10,213) $(10,393) $4 $(184) $(180)

Schedule of Forward Contracts

Contracts to Receive Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/30/2011 Barclays EUR 471 $ 677 $ 680 $ (3) 9/30/2011 Citicorp Securities London Ltd. EUR 1,212 1,741 1,749 (8) 11/16/2011 Citicorp Securities London Ltd. AUD 800 847 807 40 11/16/2011 JPMorgan Chase Bank London AUD 1,348 1,428 1,380 48 11/16/2011 Morgan Stanley Foreign Exchange AUD 1,149 1,216 1,164 52 11/16/2011 Credit Suisse First Boston London CAD 2,467 2,515 2,473 42 11/16/2011 UBS (FX) CAD 8,000 8,155 8,040 115 11/16/2011 Deutsche Bank London DKK 45,449 8,757 8,631 126 11/16/2011 BNP Paribas Paris (LDN) EUR 239 343 341 2 11/16/2011 Deutsche Bank London EUR 1,947 2,794 2,757 37 11/16/2011 Goldman Sachs London FX EUR 3,480 4,995 4,956 39 11/16/2011 JPMorgan Chase Bank London EUR 3,366 4,831 4,828 3 11/16/2011 Credit Suisse First Boston London GBP 752 1,219 1,227 (8) 11/16/2011 JPMorgan Chase Bank London GBP 585 949 949 – 11/16/2011 UBS (FX) GBP 113 184 183 1 11/16/2011 Morgan Stanley Foreign Exchange HUF 67,841 356 347 9 11/16/2011 Citicorp Securities London Ltd. JPY 225,887 2,952 2,922 30 11/16/2011 Deutsche Bank London JPY 1,030,580 13,469 13,283 186 11/16/2011 JPMorgan Chase Bank London MXN 8,436 679 687 (8) $ 703

Contracts to Deliver Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/30/2011 Citicorp Securities London Ltd. EUR (26) $ (37) $ (37) $ – 11/16/2011 Credit Suisse First Boston London AUD (478) (506) (481) (25) 11/16/2011 UBS (FX) AUD (2,729) (2,890) (2,765) (125) 11/16/2011 Citicorp Securities London Ltd. CAD (3,208) (3,271) (3,231) (40) 11/16/2011 Deutsche Bank London CAD (700) (714) (708) (6) 11/16/2011 JPMorgan Chase Bank London CAD (6,567) (6,694) (6,668) (26) 11/16/2011 Credit Suisse First Boston London DKK (10,220) (1,969) (1,956) (13) 11/16/2011 JPMorgan Chase Bank London DKK (15,593) (3,004) (2,989) (15) 11/16/2011 Morgan Stanley Foreign Exchange DKK (4,286) (826) (816) (10) 11/16/2011 UBS (FX) DKK (15,203) (2,929) (2,896) (33) 11/16/2011 Citicorp Securities London Ltd. EUR (4,534) (6,506) (6,456) (50) 11/16/2011 Credit Suisse First Boston London EUR (7,312) (10,494) (10,424) (70) 11/16/2011 JPMorgan Chase Bank London EUR (850) (1,220) (1,221) 1 11/16/2011 Morgan Stanley Foreign Exchange EUR (670) (962) (951) (11) 11/16/2011 UBS (FX) EUR (5,886) (8,447) (8,309) (138) 11/16/2011 Barclays GBP (345) (560) (560) – 11/16/2011 Citicorp Securities London Ltd. GBP (312) (505) (508) 3 11/16/2011 Deutsche Bank London GBP (299) (486) (489) 3 11/16/2011 Goldman Sachs London FX GBP (731) (1,185) (1,198) 13 11/16/2011 Morgan Stanley Foreign Exchange GBP (1,056) (1,713) (1,702) (11) 11/16/2011 JPMorgan Chase Bank London HUF (79,307) (417) (411) (6)

The accompanying notes are an integral part of the Financial Statements

41 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Diversified Strategic Income Fund

Portfolio of Investments as at August 31, 2011 – (continued)

Contracts to Deliver Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 11/16/2011 JPMorgan Chase Bank London JPY (1,256,715) (16,424) (16,458) 34 11/16/2011 Goldman Sachs London FX MXN (6,780) (546) (550) 4 11/16/2011 Citicorp Securities London Ltd. PLN (2,837) (978) (978) – $ (521) Unrealised Appreciation of Forward Foreign Currency Contracts 788 Unrealised Depreciation of Forward Foreign Currency Contracts (606) Net Unrealised Appreciation of Forward Foreign Currency Contracts $ 182

The accompanying notes are an integral part of the Financial Statements

42 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Multi Strategy Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

Asset-Backed Securities — 0.01% 433 The Unique Pub Finance Co. 165 Business Loan Express, PLC, Series A4 5.659 6/30/2027 448 0.03 Series AA, 144A * 1.157 5/15/2029 106 0.01 487 Zurich Finance UK PLC * 6.625 Perpetual 711 0.04 94 Morgan Stanley Mortgage Loan 73,839 4.25 Trust, Series 17XS * 0.338 10/25/2046 34 – Euro Bonds — 8.07% Total Asset-Backed Securities (Cost $161) 140 0.01 EUR 254 Ardagh Glass Finance PLC 7.125 6/15/2017 308 0.01 Collateralised Mortgage-Backed Obligations — 0.01% 1,225 Ardagh Packaging Finance PLC 9.250 10/15/2020 1,549 0.09 224 American Home Mortgage 641 AXA S.A. * 6.211 Perpetual 679 0.04 Assets, Series 2006-4, 300 Banca Italease S.p.A. * 1.719 3/14/2012 426 0.02 Class 1A12 * 0.428 10/25/2046 115 0.01 4,370 Barclays Bank PLC 6.000 1/23/2018 5,824 0.34 5,010 Barclays Bank PLC 6.000 1/14/2021 6,181 0.35 Total Collateralised Mortgage-Backed Obligations (Cost $123) 115 0.01 668 Beverage Packaging Holdings Foreign Corporate Bonds and Notes — 12.37% Luxembourg II S.A. 8.000 12/15/2016 748 0.04 British Pound Sterling Bonds — 4.25% 3,110 BMW Finance NV 3.625 1/29/2018 4,544 0.26 GBP 3,370 Anglian Water/Osprey Financing 1,075 Clondalkin Industries BV 8.000 3/15/2014 1,359 0.08 PLC 7.000 1/31/2018 5,219 0.30 805 Codere Finance 610 Annington Finance No. 4 PLC, Luxembourg S.A. 8.250 6/15/2015 1,076 0.06 Series C1 8.070 1/10/2023 1,169 0.07 278 Codere Finance 2,904 BAA SH PLC 7.125 3/1/2017 4,491 0.26 Luxembourg S.A. Senior 800 Barclays Bank PLC * 5.330 Perpetual 812 0.05 Secured 8.250 6/15/2015 371 0.02 645 Barclays SLCSM Funding BV * 6.140 Perpetual 911 0.05 10,100 Commerzbank AG 7.750 3/16/2021 12,796 0.74 1,450 BNP Paribas S.A. * 5.954 Perpetual 1,849 0.11 2,500 ConvaTec Healthcare e S.A. 10.875 12/15/2018 3,196 0.18 2,300 Boparan Finance PLC 9.875 4/30/2018 2,912 0.17 1,746 Corral Petroleum Holdings AB, 900 Credit Agricole S.A. * 5.136 Perpetual 993 0.06 144A † ? 15.000 9/18/2011 2,408 0.14 2,700 Crown Newco 3 PLC 8.875 2/15/2019 4,076 0.23 35 Eco-Bat Finance PLC 10.125 1/31/2013 50 – 1,350 Danske Bank A/S * 5.684 Perpetual 1,656 0.10 3,744 Edcon Proprietary Ltd. * 4.721 6/15/2014 4,114 0.24 803 DFS Furniture Holdings PLC 9.750 7/15/2017 1,128 0.06 575 Edcon Proprietary Ltd. 9.500 3/1/2018 648 0.04 20 Dignity Finance PLC, Series B 8.151 12/31/2030 42 – 5,350 ELM BV for Swiss Reinsurance 2,200 Enterprise Inns PLC 6.500 12/6/2018 2,714 0.15 Co. * 5.252 Perpetual 6,383 0.37 3,000 Gala Group Finance Ltd. 8.875 9/1/2018 4,042 0.23 68 Europcar Groupe S.A. * 5.035 5/15/2013 90 0.01 4,240 The Great Rolling Stock Co. Ltd. 6.250 7/27/2020 7,351 0.42 2,650 Europcar Groupe S.A. 9.375 4/15/2018 3,122 0.18 140 Greene King Finance PLC, 2,600 Fiat Finance & Trade S.A. 6.125 7/8/2014 3,530 0.20 Series B1 5.702 12/15/2034 193 0.01 3,200 Greif Luxembourg Finance SCA 7.375 7/15/2021 4,505 0.26 1,459 Greene King Finance PLC, 100 Hannover Finance Series B2 * 1.654 3/15/2036 1,619 0.09 Luxembourg S.A. * 5.750 9/14/2040 123 0.01 399 HBOS Capital Funding LP * 6.461 Perpetual 402 0.02 5,087 HBOS PLC * 1.730 9/1/2016 5,779 0.33 1,170 HSBC Bank Capital Funding 522 HeidelbergCement Finance BV 8.000 1/31/2017 754 0.05 Sterling LP * 5.844 Perpetual 1,491 0.09 1,614 Hollandwide Parent BV zero 1,980 ING Groep NV * 5.140 Perpetual 2,346 0.14 coupon 8/1/2014 12 – 400 Intesa Sanpaolo S.p.A. * 6.375 11/12/2017 603 0.03 2,030 HSBC Holdings PLC * 3.625 6/29/2020 2,822 0.16 1,340 ITV PLC 7.375 1/5/2017 2,164 0.12 2,828 HT1 Funding GmbH * 5.351 Perpetual 2,338 0.13 211 Lloyds TSB Bank PLC 7.500 4/15/2024 349 0.02 3,210 Ineos Group Holdings PLC 7.875 2/15/2016 3,781 0.22 2,545 Marstons Issuer PLC, Series B1 * 5.641 7/15/2035 3,470 0.20 1,629 ISS Financing PLC 11.000 6/15/2014 2,422 0.14 248 Nordea Bank Finland PLC * 6.250 Perpetual 398 0.02 430 ITV PLC 10.000 6/30/2014 687 0.04 2,900 Odeon & UCI Finco PLC 9.000 8/1/2018 4,307 0.25 3,260 Kabel Deutschland Vertrieb und 2,750 Phones4u Finance PLC 9.500 4/1/2018 3,437 0.20 Service GmbH & Co. KG 6.500 6/29/2018 4,624 0.26 218 RSA Insurance Group PLC * 8.500 Perpetual 356 0.02 587 Korreden S.A. * 11.000 8/1/2014 253 0.01 900 Scottish Widows PLC * 5.125 Perpetual 1,074 0.06 1,190 Labco SAS 8.500 1/15/2018 1,487 0.09 18 Spirit Issuer PLC, Series A4 * 6.582 12/28/2018 25 – 11,595 Lloyds TSB Bank PLC 6.500 3/24/2020 13,792 0.79 1,664 Swedbank AB * 5.750 Perpetual 2,350 0.14 960 M-Real Oyj * 8.750 4/1/2013 1,365 0.08 500 Telereal Securitisation PLC, 3,050 Muenchener Series B4 6.165 12/10/2031 791 0.05 Rueckversicherungs AG * 5.767 Perpetual 3,680 0.21 3,350 Thames Water Kemble Finance 1,650 Musketeer GmbH 9.500 3/15/2021 2,370 0.14 PLC 7.750 4/1/2019 5,166 0.30 961 New World Resources NV 7.875 5/1/2018 1,318 0.07 1,074 Thames Water Utilities Cayman 1,500 Ono Finance II PLC 11.125 7/15/2019 1,875 0.11 Finance Ltd. * 5.375 7/21/2025 1,833 0.10 2,900 Ontex IV S.A. 9.000 4/15/2019 3,249 0.19 770 Thomas Cook Group PLC 7.750 6/22/2017 941 0.06 1,700 Polish Television Holding BV 11.250 5/15/2017 2,442 0.14 1,200 Rhodia S.A. 7.000 5/15/2018 1,905 0.11

The accompanying notes are an integral part of the Financial Statements

43 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Multi Strategy Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

Foreign Corporate Bonds and Notes — (continued) Malaysia Government Bonds — 1.48% Euro Bonds — (continued) MYR 71,925 Malaysia Government Bond, 3,200 Royal Bank of Scotland Group Series 0110 3.835 8/12/2015 24,575 1.41 PLC * 7.092 Perpetual 2,622 0.15 3,255 Malaysia Government Bond, 7,100 The Royal Bank of Scotland PLC 4.875 1/20/2017 9,645 0.55 Series 0106 4.262 9/15/2016 1,135 0.07 1,280 Sappi Papier Holding GmbH 6.625 4/15/2018 1,590 0.09 25,710 1.48 500 Savcio Holdings Pty Ltd. 8.000 2/15/2013 695 0.04 979 Seat Pagine Gialle S.p.A. 10.500 1/31/2017 1,153 0.07 Mexican Peso Bonds — 2.16% 556 Sunrise Communications MXN 405,166 Mexican Bonos, Series M 8.000 6/11/2020 37,523 2.16 Holdings S.A. 8.500 12/31/2018 767 0.04 468 Sunrise Communications Peru Bonds — 0.75% International S.A. 7.000 12/31/2017 649 0.04 PEN 30,750 Peru Government Bond 7.840 8/12/2020 13,030 0.75 600 TVN Finance Corp. III AB 7.875 11/15/2018 819 0.05 Poland Government Issue — 1.29% 1,013 UPC Holding BV 9.750 4/15/2018 1,441 0.08 PLN 64,060 Poland Government Bond, 104 Wind Acquisition Holdings Series 0922 5.750 9/23/2022 22,430 1.29 Finance S.A. 12.250 7/15/2017 147 0.01 Total Foreign Government Bonds and Notes (Cost $253,923) 272,120 15.64 140,513 8.07 U.S. Corporate Bonds and Notes — 19.51% Swiss Franc Bonds — 0.05% 1,350 ACCO Brands Corp. 10.625 3/15/2015 1,477 0.09 CHF 714 Aguila 3 S.A. 7.875 1/31/2018 842 0.05 635 The AES Corp. 9.750 4/15/2016 702 0.04 Total Foreign Corporate Bonds and Notes (Cost $233,386) 215,194 12.37 4,770 The AES Corp. 8.000 10/15/2017 5,009 0.29 10 The AES Corp. 8.000 6/1/2020 11 – Foreign Government Bonds and Notes — 15.64% 1,020 Alliance One International, Inc. 10.000 7/15/2016 922 0.05 Brazil Bonds — 1.90% 818 Ally Financial, Inc. 7.500 12/31/2013 843 0.05 BRL 27,803 Brazil Notas do Tesouro 2,640 Ally Financial, Inc. 8.300 2/12/2015 2,772 0.16 Nacional, Series F 10.000 1/1/2012 17,336 1.00 660 Ally Financial, Inc. 8.000 12/31/2018 643 0.04 2,211 Brazil Notas do Tesouro 5,290 Ally Financial, Inc. 8.000 3/15/2020 5,343 0.31 Nacional, Series F 10.000 1/1/2014 1,352 0.08 1,260 Ally Financial, Inc. 7.500 9/15/2020 1,238 0.07 24,168 Brazil Notas do Tesouro 1,090 Altegrity, Inc., 144A 10.500 11/1/2015 1,052 0.06 Nacional, Series F 10.000 1/1/2017 14,270 0.82 110 Altegrity, Inc., 144A 11.750 5/1/2016 106 0.01 1,280 Altria Group, Inc. 9.250 8/6/2019 1,691 0.10 32,958 1.90 3,790 American Express Credit Corp. 5.125 8/25/2014 4,151 0.24 British Pound Sterling Bonds — 0.05% 1,260 American Tower Corp. 4.625 4/1/2015 1,360 0.08 GBP 109 United Kingdom Gilt 5.000 3/7/2012 181 0.01 50 Anadarko Petroleum Corp. 5.950 9/15/2016 56 – 219 United Kingdom Gilt 5.000 9/7/2014 398 0.02 1,350 Anadarko Petroleum Corp. 6.375 9/15/2017 1,559 0.09 126 United Kingdom Gilt 4.750 9/7/2015 233 0.01 40 Anadarko Petroleum Corp. 6.450 9/15/2036 43 – 88 United Kingdom Gilt 4.000 9/7/2016 160 0.01 30 Anheuser-Busch Cos., Inc. 6.500 5/1/2042 37 – 829 Appleton Papers, Inc. 11.250 12/15/2015 808 0.05 972 0.05 700 Arch Coal, Inc., 144A 7.000 6/15/2019 690 0.04 1,837 Ashtead Capital, Inc., 144A 9.000 8/15/2016 1,865 0.11 Canada Government Issues — 0.02% 148 Ashton Woods USA LLC/Ashton zero CAD 160 Canadian Government BondI 4.000 12/1/2031 343 0.02 Woods Finance Co., 144A † coupon 6/30/2015 106 0.01 Euro Bonds — 7.99% 6,750 AT&T, Inc. 3.875 8/15/2021 6,932 0.40 EUR 27,850 Bundesobligation, Series 159 2.000 2/26/2016 41,346 2.38 1,890 AT&T, Inc. 6.550 2/15/2039 2,186 0.12 7 Bundesrepublik Deutschland, GBP 1,300 BAC Capital Trust VII 5.250 8/10/2035 1,414 0.08 Series 02 5.000 1/4/2012 10 – 3,410 Ball Corp. 5.750 5/15/2021 3,384 0.19 31 Bundesrepublik Deutschland, 2,100 Bank of America Corp. 4.500 4/1/2015 2,120 0.12 Series 06 4.000 7/4/2016 50 – EUR 2,600 Bank of America Corp. 4.625 8/7/2017 3,487 0.20 23,000 Bundesrepublik Deutschland, 850 The Bear Stearns Cos, Inc. 5.550 1/22/2017 919 0.05 Series 08 3.750 1/4/2019 37,412 2.15 390 Berry Petroleum Co. 10.250 6/1/2014 437 0.03 34,760 Bundesrepublik Deutschland, 30 Biomet, Inc. 10.000 10/15/2017 31 – Series 09 3.250 1/4/2020 54,873 3.15 1,355 Biomet, Inc. 10.375 10/15/2017 1,430 0.08 121 Bundesrepublik Deutschland 5.500 1/4/2031 235 0.01 125 Boyd Gaming Corp. 7.125 2/1/2016 105 0.01 147 France Government Bond OAT 5.000 10/25/2011 212 0.01 740 Buffets Restaurants Holdings, 8,830 Hellenic Republic Government Inc. Escrow † ? e 0.000 11/1/2014 – – BondI 2.300 7/25/2030 5,016 0.29 1,230 Burlington Northern Santa Fe LLC 5.750 5/1/2040 1,349 0.08 139,154 7.99 3,860 Cablevision Systems Corp. 7.750 4/15/2018 3,995 0.23

The accompanying notes are an integral part of the Financial Statements

44 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Multi Strategy Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Corporate Bonds and Notes — (continued) 1,520 DAE Aviation Holdings, Inc., 1,960 Caesars Entertainment 144A 11.250 8/1/2015 1,554 0.09 Operating Co., Inc. 10.750 2/1/2016 1,671 0.10 345 Delta Air Lines, Inc., Series 011B 7.711 9/18/2011 345 0.02 1,795 Caesars Entertainment 39 Delta Air Lines, Inc., Series 071C 8.954 8/10/2014 39 – Operating Co., Inc. 11.250 6/1/2017 1,934 0.11 422 Delta Air Lines, Inc., 144A 9.500 9/15/2014 432 0.03 200 Calpine Construction Finance 1,076 Delta Air Lines, Inc., Series 071B 8.021 8/10/2022 1,076 0.06 Co. LP and CCFC Finance Corp., EUR 3,950 Deutsche Postbank Funding 144A 8.000 6/1/2016 211 0.01 Trust IV * 5.983 Perpetual 3,915 0.23 1,485 Calpine Corp., 144A 7.875 7/31/2020 1,522 0.09 3,360 Devon Energy Corp. 7.950 4/15/2032 4,576 0.26 5,960 Calpine Corp., 144A 7.500 2/15/2021 6,020 0.35 10 DirecTV Holdings LLC / DirecTV 250 Calpine Corp., 144A 7.875 1/15/2023 255 0.01 Financing Co., Inc. 7.625 5/15/2016 11 – 764 CCH II LLC / CCH II Capital Corp. 13.500 11/30/2016 882 0.05 1,765 DISH DBS Corp. 7.000 10/1/2013 1,851 0.11 745 CCM Merger, Inc., 144A 8.000 8/1/2013 723 0.04 30 DISH DBS Corp. 6.625 10/1/2014 31 – 1,860 Cellco Partnership / Verizon 810 DISH DBS Corp. 7.875 9/1/2019 861 0.05 Wireless Capital LLC 8.500 11/15/2018 2,500 0.14 1,500 DISH DBS Corp., 144A 6.750 6/1/2021 1,511 0.09 1,570 Cengage Learning Acquisitions, 820 Dynegy Roseton/Danskammer Inc., 144A 10.500 1/15/2015 1,209 0.07 Trust, Series B 7.670 11/8/2016 554 0.03 35 Cengage Learning Acquisitions, 3,105 Echostar DBS Corp. 7.125 2/1/2016 3,167 0.18 Inc., 144A 13.250 7/15/2015 25 – 60 Edison Mission Energy 7.500 6/15/2013 58 – 282 Ceridian Corp. 12.250 11/15/2015 261 0.01 445 Edison Mission Energy 7.750 6/15/2016 338 0.02 1,500 Charter Communications 1,545 Edison Mission Energy 7.625 5/15/2027 973 0.05 Operating Holdings LLC / 50 El Paso Corp. 7.000 6/15/2017 56 – Charter Communications 550 El Paso Corp. 8.050 10/15/2030 621 0.03 Operating Holdings Capital 1,735 El Paso Corp. 7.800 8/1/2031 1,949 0.11 Corp. 6.500 4/30/2021 1,466 0.08 565 El Paso Corp. 7.750 1/15/2032 632 0.04 3,305 Charter Communications 200 El Paso Natural Gas Co. 8.375 6/15/2032 262 0.01 Operating LLC / Charter 2,090 El Pollo Loco, Inc., 144A 17.000 1/1/2018 2,027 0.12 Communications Operating 603 Energy Future Holdings Corp. 10.875 11/1/2017 494 0.03 Capital, 144A 10.875 9/15/2014 3,565 0.20 4,423 Energy Future Intermediate EUR 1,650 Chesapeake Energy Corp. 6.250 1/15/2017 2,370 0.14 Holding Co. LLC / EFIH Finance, 2,085 Chesapeake Energy Corp. 7.250 12/15/2018 2,241 0.13 Inc. 10.000 12/1/2020 4,462 0.26 2,110 Chesapeake Energy Corp. 6.625 8/15/2020 2,205 0.13 1,730 Enterprise Products Operating 50 Choctaw Resort Development LLC, Series O 9.750 1/31/2014 2,034 0.12 Enterprise, 144A 7.250 11/15/2019 34 – 690 Enterprise Products Operating 501 Cincinnati Bell Telephone Co. LLC, Series N 6.500 1/31/2019 809 0.05 LLC 6.300 12/1/2028 401 0.02 865 Enterprise Products Operating 3,190 Cincinnati Bell, Inc. 8.375 10/15/2020 3,142 0.18 LLC, Series A * 8.375 8/1/2066 905 0.05 5,730 Citigroup, Inc. 6.375 8/12/2014 6,249 0.36 1,065 Enterprise Products Operating EUR 5,990 Citigroup, Inc. 7.375 9/4/2019 9,573 0.55 LLC, Series B * 7.034 1/15/2068 1,076 0.06 45 CMP Susquehanna Notes, 3,330 EXCO Resources, Inc. 7.500 9/15/2018 3,130 0.18 144A † 3.531 5/15/2014 45 – 3,515 First Data Corp. 9.875 9/24/2015 3,216 0.19 260 Colorado Interstate Gas Co. 6.800 11/15/2015 305 0.02 4,150 FirstEnergy Corp., Series C 7.375 11/15/2031 4,827 0.28 320 Comcast Corp. 6.500 1/15/2017 380 0.02 50 Fontainebleau Las Vegas 2,280 Comcast Corp. 5.150 3/1/2020 2,599 0.15 Holdings LLC/Fontainebleau Las 830 Community Health Systems, Inc. 8.875 7/15/2015 841 0.05 Vegas Capital Corp., 144A e 10.250 6/15/2015 – – 885 Complete Production Services, 1,180 Ford Motor Credit Co. LLC 7.500 8/1/2012 1,227 0.07 Inc. 8.000 12/15/2016 894 0.05 1,385 Ford Motor Credit Co. LLC 12.000 5/15/2015 1,672 0.10 1,120 ConocoPhillips 6.500 2/1/2039 1,414 0.08 1,165 Freeport-McMoRan Copper & 910 Consol Energy, Inc. 8.000 4/1/2017 968 0.06 Gold, Inc. 8.375 4/1/2017 1,257 0.07 2,790 Consol Energy, Inc. 8.250 4/1/2020 2,999 0.17 135 Freescale Semiconductor, Inc. 10.125 12/15/2016 141 0.01 26 Continental Airlines, Inc., 2,200 Freescale Semiconductor, Inc., Series 2007-1 7.339 4/19/2014 26 – 144A 9.250 4/15/2018 2,316 0.13 2,960 Continental Airlines, Inc., 144A 6.750 9/15/2015 2,886 0.17 1,140 Fresenius Medical Care 195 CRC Health Corp. 10.750 2/1/2016 195 0.01 US Finance, Inc. 6.875 7/15/2017 1,188 0.07 1,165 Cricket Communications, Inc. 7.750 5/15/2016 1,179 0.07 276 Frontier Communications Corp. 8.750 4/15/2022 283 0.02 875 CSC Holdings LLC 8.625 2/15/2019 965 0.06 960 General Electric Capital Corp. 5.250 10/19/2012 1,005 0.06 459 CSC Holdings, Inc. 6.750 4/15/2012 468 0.03 50 General Electric Capital Corp. 6.750 3/15/2032 56 – 85 CSC Holdings, Inc. 8.500 6/15/2015 91 – 2,260 General Electric Capital Corp. 6.875 1/10/2039 2,600 0.15 EUR 606 General Electric Capital Corp. * 4.625 9/15/2066 738 0.04

The accompanying notes are an integral part of the Financial Statements

45 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Multi Strategy Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Corporate Bonds and Notes — (continued) 11,415 Pemex Project Funding Master 1,060 General Electric Capital Corp. * 6.375 11/15/2067 1,049 0.06 Trust 6.625 6/15/2035 12,616 0.72 980 General Motors Co. Escrow † zero 855 Plains Exploration & coupon Perpetual 7 – Production Co. 10.000 3/1/2016 945 0.05 660 General Motors Co. Escrow † zero 610 Plains Exploration & coupon Perpetual 5 – Production Co. 8.625 10/15/2019 662 0.04 EUR 3,700 The Goldman Sachs Group, Inc. 5.125 10/23/2019 5,105 0.29 848 Premier Entertainment Biloxi zero EUR 4,908 The Goldman Sachs Group, Inc. 4.750 10/12/2021 5,950 0.34 LLC † ? coupon 2/1/2012 – – 1,540 Gulfmark Offshore, Inc. 7.750 7/15/2014 1,552 0.09 1,050 Quicksilver Resources, Inc. 11.750 1/1/2016 1,158 0.07 3,195 H&E Equipment Services, Inc. 8.375 7/15/2016 3,171 0.18 1,149 Qwest Communications 1,500 HCA, Inc. 6.500 2/15/2020 1,517 0.09 International, Inc., Series B 7.500 2/15/2014 1,163 0.07 380 Hercules Offshore, Inc., 144A 10.500 10/15/2017 374 0.02 1,000 Qwest Corp. 8.875 3/15/2012 1,034 0.06 85 Horizon Lines, Inc. † 4.250 8/15/2012 60 – 310 Qwest Corp. * 3.497 6/15/2013 308 0.02 368 Inn of the Mountain Gods 200 Qwest Corp. 7.500 10/1/2014 221 0.01 Resort & Casino, 144A 8.750 11/30/2020 361 0.02 1,216 RailAmerica, Inc. 9.250 7/1/2017 1,313 0.07 8,150 International Lease Finance 1,170 Range Resources Corp. 6.750 8/1/2020 1,225 0.07 Corp. 8.750 3/15/2017 8,374 0.48 500 Regency Energy Partners LP / 240 JPMorgan Chase & Co. 5.750 1/2/2013 253 0.01 Regency Energy Finance Corp. 6.500 7/15/2021 501 0.03 95 JPMorgan Chase & Co., 4,250 Reliance Holdings USA, Inc. 4.500 10/19/2020 4,060 0.23 Series 1 * 7.900 Perpetual 101 0.01 4,300 Republic Services, Inc. 4.750 5/15/2023 4,570 0.26 EUR 3,200 JPMorgan Chase Bank N.A. * 4.375 11/30/2021 4,317 0.25 1,100 Reynolds Group Issuer, Inc. / 10 Kansas City Southern Railway 13.000 12/15/2013 11 – Reynolds Group Issuer LLC, 650 Kansas City Southern Railway 8.000 6/1/2015 691 0.04 144A 8.500 10/15/2016 1,125 0.06 860 Kerr-McGee Corp. 6.950 7/1/2024 1,011 0.06 500 Reynolds Group Issuer, Inc. / 750 Key Energy Services, Inc. 6.750 3/1/2021 735 0.04 Reynolds Group Issuer LLC, 2,340 L-3 Communications Corp., 144A 7.125 4/15/2019 474 0.03 Series B 6.375 10/15/2015 2,381 0.14 2,500 Reynolds Group Issuer, Inc. / 700 Landry’s Restaurants, Inc. 11.625 12/1/2015 737 0.04 Reynolds Group Issuer LLC, 541 Lehman Escrow Receipt ? zero 144A 9.000 4/15/2019 2,250 0.13 coupon Perpetual 3 – 915 Reynolds Group Issuer, Inc. / 810 Leucadia National Corp. 8.125 9/15/2015 870 0.05 Reynolds Group Issuer LLC, 280 Leucadia National Corp. 7.125 3/15/2017 285 0.02 144A 6.875 2/15/2021 851 0.05 25 MarkWest Energy Partners LP / 30 Rock-Tenn Co. 9.250 3/15/2016 32 – MarkWest Energy Finance 1,272 RSC Equipment Rental, Inc., Corp., Series B 8.750 4/15/2018 26 – 144A 10.000 7/15/2017 1,367 0.08 EUR 610 Merrill Lynch & Co., Inc. 4.625 9/14/2018 718 0.04 35 Service Corp. International 7.625 10/1/2018 37 – GBP 700 Merrill Lynch & Co., Inc. 5.500 11/22/2021 911 0.05 55 Service Corp. International 7.500 4/1/2027 51 – 525 MGM Resorts International 10.375 5/15/2014 576 0.03 690 SLM Corp. 5.050 11/14/2014 684 0.04 395 MGM Resorts International 7.625 1/15/2017 359 0.02 170 SLM Corp. 5.625 8/1/2033 141 0.01 1,255 MGM Resorts International 11.125 11/15/2017 1,399 0.08 495 Snoqualmie Entertainment 1,290 Mirant Americas Generation LLC 9.125 5/1/2031 1,213 0.07 Authority, 144A * 4.179 2/1/2014 438 0.02 1,759 Mirant Mid Atlantic Trust, 25 Solo Cup Co. / Solo Cup Series C 10.060 12/30/2028 1,917 0.11 Operating Corp. 10.500 11/1/2013 25 – 1,020 Mohegan Tribal Gaming 2,070 Solutia, Inc. 7.875 3/15/2020 2,204 0.13 Authority, 144A 11.500 11/1/2017 997 0.06 870 Southern Copper Corp. 5.375 4/16/2020 932 0.05 EUR 3,840 Morgan Stanley 4.375 10/12/2016 5,275 0.30 1,310 Southern Copper Corp. 6.750 4/16/2040 1,383 0.08 4,250 Morgan Stanley 6.625 4/1/2018 4,554 0.26 355 Southern Natural Gas Co. 8.000 3/1/2032 454 0.03 EUR 1,500 Nalco Co. 6.875 1/15/2019 2,333 0.13 135 Sprint Capital Corp. 8.375 3/15/2012 139 0.01 1,465 The Neiman Marcus Group, Inc. 7.125 6/1/2028 1,318 0.08 630 Sprint Capital Corp. 6.875 11/15/2028 564 0.03 3,860 NetFlix, Inc. 8.500 11/15/2017 4,246 0.25 7,910 Sprint Capital Corp. 8.750 3/15/2032 8,108 0.47 3,395 NewPage Corp. 11.375 12/31/2014 2,988 0.17 55 Station Casinos, Inc. † e 6.000 4/1/2012 – – 360 NV Energy, Inc. 6.750 8/15/2017 372 0.02 1,750 Station Casinos, Inc. † e 7.750 8/15/2016 – – 200 Oncology Escrow Bond zero 180 Station Casinos, Inc. † e 6.625 3/15/2018 – – coupon Perpetual 2 – 1,165 Steel Dynamics, Inc. 7.375 11/1/2012 1,191 0.07 960 Overseas Shipholding Group, 1,240 Teachers Insurance & Annuity Inc. 8.125 3/30/2018 816 0.05 Association of America 6.850 12/16/2039 1,474 0.09 1,610 Oxford Industries, Inc. 11.375 7/15/2015 1,787 0.10 1,250 Tenet Healthcare Corp. 10.000 5/1/2018 1,375 0.08 GBP 200 Pemex Project Funding Master 6,261 Tenet Healthcare Corp. 8.875 7/1/2019 6,637 0.38 Trust 7.500 12/18/2013 353 0.02 15 Tennessee Gas Pipeline Co. 8.000 2/1/2016 18 –

The accompanying notes are an integral part of the Financial Statements

46 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Multi Strategy Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Corporate Bonds and Notes — (continued) British Virgin Islands — 0.16% 1,740 Time Warner Cable, Inc. 8.750 2/14/2019 2,252 0.13 2,585 GTL Trade Finance, Inc. 7.250 10/20/2017 2,860 0.16 1,060 Time Warner Cable, Inc. 8.250 4/1/2019 1,342 0.08 Canada — 0.10% 280 Time Warner Cable, Inc. 4.125 2/15/2021 281 0.02 800 Bowater Canada Finance 230 Universal Hospital Services, Inc. 8.500 6/1/2015 228 0.02 Corp. * 7.950 11/15/2011 168 0.01 3,040 Univision Communications, Inc., e 30 Rogers Communications, Inc. 6.750 3/15/2015 35 – 144A 7.875 11/1/2020 2,919 0.17 2,700 Sino-Forest Corp. 10.250 7/28/2014 823 0.05 1,580 Vanguard Health Holding Co 220 Teck Resources Ltd. 9.750 5/15/2014 266 0.02 II LLC / Vanguard Holding Co. II, 288 Teck Resources Ltd. 10.250 5/15/2016 338 0.02 Inc. 8.000 2/1/2018 1,505 0.08 245 Ventas Realty LP / Ventas Capital 1,630 0.10 Corp., Series 1 6.500 6/1/2016 253 0.01 1,060 Verizon Communications, Inc. 6.900 4/15/2038 1,293 0.07 Cayman Islands — 2.38% 5 Verizon Global Funding Corp. 7.750 12/1/2030 7 – 3,203 Braskem Finance Ltd. 7.000 5/7/2020 3,435 0.19 25 Verizon New York, Inc., Series B 7.375 4/1/2032 29 – 1,168 Braskem Finance Ltd. 5.750 4/15/2021 1,174 0.07 1,020 WellPoint, Inc. 5.875 6/15/2017 1,186 0.07 1,083 EEB International Ltd. 8.750 10/31/2014 1,132 0.07 290 WellPoint, Inc. 7.000 2/15/2019 360 0.02 3,890 Fibria Overseas Finance Ltd. 7.500 5/4/2020 4,006 0.23 GBP 1,250 Wells Fargo & Co 4.875 11/29/2035 1,575 0.09 3,350 Fibria Overseas Finance Ltd. 6.750 3/3/2021 3,350 0.19 1,610 Whiting Petroleum Corp. 7.000 2/1/2014 1,706 0.10 3,750 Lonking Holdings Ltd. 8.500 6/3/2016 3,563 0.20 730 The Williams Cos., Inc., Series A 7.500 1/15/2031 852 0.05 2,810 Odebrecht Finance Ltd. 7.000 4/21/2020 3,063 0.18 1,704 The Williams Cos., Inc. 8.750 3/15/2032 2,211 0.13 3,700 Odebrecht Finance Ltd. 6.000 4/5/2023 3,682 0.21 3,000 Windstream Corp. 7.500 4/1/2023 2,903 0.17 3,085 Petrobras International 500 Wyle Services Corp. 10.500 4/1/2018 496 0.03 Finance Co. 6.875 1/20/2040 3,538 0.20 5,530 Petrobras International Total U.S. Corporate Bonds and Notes (Cost $333,915) 339,470 19.51 Finance Co. 6.750 1/27/2041 6,249 0.36 140 Resona Preferred Global U.S. Denominated Bonds and Notes — 12.28% Securities Cayman Ltd., 144A * 7.191 Perpetual 136 0.01 Argentina — 0.36% 4,990 Suzano Trading Ltd. 5.875 1/23/2021 4,828 0.28 5,991 Pan American Energy LLC 7.875 5/7/2021 6,201 0.36 2,780 TGI International Ltd. 9.500 10/3/2017 3,030 0.17 Australia — 0.42% 320 UPCB Finance III Ltd., 144A 6.625 7/1/2020 315 0.02 1,740 BHP Billiton Finance USA Ltd. 6.500 4/1/2019 2,143 0.12 41,501 2.38 670 FMG Resources August 2006 Pty Ltd., 144A 7.000 11/1/2015 668 0.04 Chile — 0.82% 3,380 Rio Tinto Finance USA Ltd. 9.000 5/1/2019 4,613 0.26 2,440 AES Gener S.A. 5.250 8/15/2021 2,463 0.14 2,802 Celulosa Arauco y 7,424 0.42 Constitucion S.A. 7.250 7/29/2019 3,275 0.19 Belgium — 0.05% 3,890 Colbun S.A. 6.000 1/21/2020 4,094 0.24 806 Delhaize Group S.A. 5.700 10/1/2040 794 0.05 360 E.CL S.A. 5.625 1/15/2021 385 0.02 3,930 Inversiones CMPC S.A. 4.750 1/19/2018 4,016 0.23 Bermuda — 0.37% 490 Intelsat Jackson Holdings S.A. 9.500 6/15/2016 508 0.03 14,233 0.82 1,085 Intelsat Jackson Holdings S.A. 11.250 6/15/2016 1,134 0.07 Colombia — 0.51% 1,040 NCL Corp. Ltd. 11.750 11/15/2016 1,165 0.07 5,780 Ecopetrol S.A. 7.625 7/23/2019 7,037 0.40 680 Petroplus Finance Ltd., 144A 7.000 5/1/2017 592 0.03 1,690 Empresas Publicas de Medellin 2,820 Qtel International Finance Ltd. 4.750 2/16/2021 2,873 0.17 ESP 7.625 7/29/2019 1,998 0.11 6,272 0.37 9,035 0.51 Brazil — 0.46% France — 0.31% 661 Centrais Eletricas Brasileiras S.A. 6.875 7/30/2019 763 0.04 400 Cie Generale de Geophysique – 194 Gerdau Holdings, Inc. 7.000 1/20/2020 210 0.01 Veritas 7.750 5/15/2017 402 0.02 1,495 Globo Comunicacao e 2,000 Cie Generale de Geophysique – Participacoes S.A. 7.250 4/26/2022 1,570 0.09 Veritas, 144A 6.500 6/1/2021 1,880 0.11 2,160 Hypermarcas S.A. 6.500 4/20/2021 2,097 0.12 2,730 Credit Agricole S.A., 144A * 8.375 Perpetual 2,511 0.14 1,625 Net Servicos de 720 Societe Generale S.A. 8.750 Perpetual 669 0.04 Comunicacao S.A. 7.500 1/27/2020 1,889 0.11 1,560 Telemar Norte Leste S.A. 5.500 10/23/2020 1,541 0.09 5,462 0.31

8,070 0.46 Germany — 0.16% 2,080 Rearden G Holdings Eins GmbH 7.875 3/30/2020 2,153 0.12

The accompanying notes are an integral part of the Financial Statements

47 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Multi Strategy Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Denominated Bonds and Notes — (continued) Mali — 0.11% Germany — (continued) 1,920 Teekay Corp. 8.500 1/15/2020 1,867 0.11 600 UPC Germany GmbH, 144A 8.125 12/1/2017 612 0.04 Mexico — 0.71% 2,765 0.16 1,531 America Movil SAB de CV 5.625 11/15/2017 1,750 0.10 1,070 Axtel SAB de CV, 144A 7.625 2/1/2017 1,006 0.06 Iceland — 0.00% 2,620 Axtel SAB de CV 7.625 2/1/2017 2,463 0.14 895 Glitnir Banki HF, 144A ? e 6.693 6/15/2016 – – 1,241 Axtel SAB de CV 9.000 9/22/2019 1,182 0.07 820 Kaupthing Bank HF, 144A ? e 7.125 5/19/2016 – – 250 Banco Mercantil del Norte S.A., 840 Landsbanki Islands HF, 144A † e 6.100 8/25/2012 59 – 144A * 6.135 10/13/2016 246 0.01 1,460 Grupo Televisa S.A. 6.625 3/18/2025 1,673 0.10 59 – 2,440 Grupo Televisa S.A. 6.625 1/15/2040 2,617 0.15 India — 0.15% 1,184 Kansas City Southern de 1,476 ICICI Bank Ltd., 144A * 6.375 4/30/2022 1,373 0.08 Mexico S.A. de CV 12.500 4/1/2016 1,375 0.08 1,240 ICICI Bank Ltd. * 6.375 4/30/2022 1,153 0.07 12,312 0.71 2,526 0.15 Netherlands — 0.07% Indonesia — 0.35% 702 Indosat Palapa Co. BV 7.375 7/29/2020 784 0.04 773 Indosat Palapa Co. BV 7.375 7/29/2020 864 0.05 450 Lukoil International Finance BV 7.250 11/5/2019 495 0.03 5,120 Pertamina Persero PT 5.250 5/23/2021 5,294 0.30 1,279 0.07 6,158 0.35 Panama — 0.05% Ireland — 0.35% 810 AES El Salvador Trust 6.750 2/1/2016 810 0.05 250 Smurfit Kappa Treasury Funding Russia — 0.25% Ltd. 7.500 11/20/2025 241 0.01 3,760 Novatek Finance Ltd. 6.604 2/3/2021 3,948 0.23 1,860 Vimpel Communications Via VIP 440 Russian Agricultural Bank OJSC Finance Ireland Ltd. OJSC, 144A 8.375 4/30/2013 1,967 0.11 Via RSHB Capital S.A. * 6.970 9/21/2016 440 0.02 490 Vimpel Communications Via VIP Finance Ireland Ltd. OJSC 8.375 4/30/2013 518 0.03 4,388 0.25 980 Vimpel Communications Via VIP Finance Ireland Ltd. OJSC 6.493 2/2/2016 966 0.06 Sweden — 0.13% 2,270 Vimpel Communications Via VIP 83 Corral Petroleum Holdings AB, Finance Ireland Ltd. OJSC 9.125 4/30/2018 2,454 0.14 144A † 15.000 9/18/2011 80 0.01 1,900 Nordea Bank AB 4.875 1/27/2020 2,015 0.12 6,146 0.35 2,095 0.13 Kyrgystan — 0.57% 1,057 Vale Overseas Ltd. 8.250 1/17/2034 1,375 0.08 Thailand — 0.48% 7,434 Vale Overseas Ltd. 6.875 11/21/2036 8,514 0.49 4,300 True Move Co. Ltd., 144A 10.750 12/16/2013 4,515 0.26 3,630 True Move Co. Ltd. 10.750 12/16/2013 3,812 0.22 9,889 0.57 8,327 0.48 Luxembourg — 1.82% 4,524 CSN Resources S.A. 6.500 7/21/2020 4,801 0.28 Trinidad And Tobago — 0.23% 550 Evraz Group S.A. 8.250 11/10/2015 582 0.03 3,330 Petroleum Co. of Trinidad & 100 Evraz Group S.A., 144A 9.500 4/24/2018 111 0.01 Tobago Ltd. 9.750 8/14/2019 4,029 0.23 2,660 Evraz Group S.A. 9.500 4/24/2018 2,948 0.17 United Arab Emirates — 0.04% 5,540 Evraz Group S.A. 6.750 4/27/2018 5,360 0.31 601 Dolphin Energy Ltd. 5.888 6/15/2019 657 0.04 2,010 Intelsat Jackson Holdings S.A., 144A 7.250 10/15/2020 1,930 0.11 United Kingdom — 0.87% 6,560 TNK-BP Finance S.A. 7.875 3/13/2018 7,486 0.43 4,455 Inmarsat Finance PLC, 144A 7.375 12/1/2017 4,633 0.27 1,579 TNK-BP Finance S.A., 144A 7.875 3/13/2018 1,802 0.10 2,060 Vedanta Resources PLC 8.750 1/15/2014 2,081 0.12 2,870 Vimpel Communications OJSC 1,670 Vedanta Resources PLC, 144A 8.750 1/15/2014 1,687 0.10 Via UBS Luxembourg S.A. 8.250 5/23/2016 3,006 0.17 4,990 Vedanta Resources PLC 6.750 6/7/2016 4,739 0.27 1,380 Wind Acquisition Finance S.A. 7.250 2/15/2018 1,294 0.07 240 Vedanta Resources PLC 9.500 7/18/2018 246 0.01 2,590 Wind Acquisition Finance S.A., 144A 7.250 2/15/2018 2,428 0.14

31,748 1.82

The accompanying notes are an integral part of the Financial Statements

48 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Multi Strategy Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Denominated Bonds and Notes — (continued) 151 Peruvian Government United Kingdom — (continued) International Bond 6.550 3/14/2037 185 0.01 1,520 WPP Finance UK 8.000 9/15/2014 1,766 0.10 3,002 0.17 15,152 0.87 Russia — 1.23% Total U.S. Denominated Bonds and Notes (Cost $214,408) 213,689 12.28 17,866 Russian Government International Bond 7.500 3/31/2030 21,373 1.23 U.S. Denominated Debt Obligations — 5.19% Argentina — 0.35% Turkey — 0.37% 2,396 Argentina Bonos 7.000 10/3/2015 2,261 0.13 4,840 Turkey Government 2,635 Argentina Bonos, Series VII 7.000 9/12/2013 2,667 0.15 International Bond 7.500 7/14/2017 5,711 0.33 1,239 Argentina Government 610 Turkey Government International Bond, Series 1 8.750 6/2/2017 1,239 0.07 International Bond 7.000 3/11/2019 704 0.04

6,167 0.35 6,415 0.37

Brazil — 0.38% Venezuela — 1.47% 22 Brazilian Government 197 Venezuela Government International Bond 5.875 1/15/2019 26 – International Bond, 144A 10.750 9/19/2013 196 0.01 2,930 Brazilian Government 443 Venezuela Government International Bond 4.875 1/22/2021 3,245 0.19 International Bond 8.500 10/8/2014 400 0.02 2,723 Brazilian Government 21,193 Venezuela Government International Bond, Series A 8.000 1/15/2018 3,308 0.19 International Bond 5.750 2/26/2016 16,160 0.93 340 Venezuela Government 6,579 0.38 International Bond 7.000 12/1/2018 233 0.01 6,160 Venezuela Government Colombia — 0.61% International Bond 7.750 10/13/2019 4,250 0.24 2,495 Colombia Government 3,060 Venezuela Government International Bond 7.375 3/18/2019 3,175 0.18 International Bond 9.250 9/15/2027 2,157 0.12 4,641 Colombia Government 2,214 Venezuela Government International Bond 7.375 9/18/2037 6,254 0.36 International Bond 9.375 1/13/2034 1,517 0.09 1,010 Colombia Government 1,413 Venezuela Government International Bond 6.125 1/18/2041 1,184 0.07 International Bond 7.000 3/31/2038 791 0.05 10,613 0.61 25,704 1.47 Indonesia — 0.10% Total U.S. Denominated Debt Obligations (Cost $87,153) 90,310 5.19 1,465 Indonesia Government International Bond 6.625 2/17/2037 1,751 0.10 U.S. Government Agency Mortgage-Backed Securities — 3.46% Federal National Mortgage Association (FNMA) — 3.46% Mexico — 0.04% USD 37,530 FNMA 5.500 7/1/2038 41,196 2.36 40 Mexico Government 18,055 FNMA 4.500 10/1/2040 19,106 1.10 International Bond 5.950 3/19/2019 47 – 624 Mexico Government Total U.S. Government Agency Mortgage-Backed Securities International Bond 6.050 1/11/2040 715 0.04 (Cost $59,240) 60,302 3.46

762 0.04 U.S. Treasury Obligations — 12.31% USD 20,000 U.S. Treasury Bill zero Panama — 0.47% coupon 9/1/2011 20,000 1.15 515 Panama Government 42,640 U.S. Treasury Bond 3.500 2/15/2039 42,080 2.42 International Bond 7.250 3/15/2015 602 0.04 1,200 U.S. Treasury Bond 4.250 5/15/2039 1,347 0.08 64 Panama Government 70 U.S. Treasury Bond 4.500 8/15/2039 82 0.01 International Bond 9.375 4/1/2029 99 0.01 21,230 U.S. Treasury Bond 4.625 2/15/2040 25,297 1.45 5,853 Panama Government 1,440 U.S. Treasury Bond 3.875 8/15/2040 1,514 0.09 International Bond 6.700 1/26/2036 7,243 0.42 550 U.S. Treasury Bond 4.250 11/15/2040 616 0.04 7,944 0.47 400 U.S. Treasury Note 4.500 4/30/2012 412 0.02 9,540 U.S. Treasury Note 1.750 1/31/2014 9,888 0.57 Peru — 0.17% 17,570 U.S. Treasury Note 1.875 4/30/2014 18,315 1.05 1,897 Peruvian Government 240 U.S. Treasury Note 1.000 5/15/2014 245 0.02 International Bond 8.750 11/21/2033 2,817 0.16 540 U.S. Treasury Note 2.625 7/31/2014 576 0.03 30 U.S. Treasury Note 4.250 8/15/2014 33 – 1,720 U.S. Treasury Note 1.750 7/31/2015 1,797 0.10

The accompanying notes are an integral part of the Financial Statements

49 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Multi Strategy Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset (000’s) Asset (000’s) Rate % Date $ Value Shares/Units (000’s) $ Value

U.S. Treasury Obligations — (continued) Preferred Stock — 0.15% 180 U.S. Treasury Note 1.250 8/31/2015 185 0.01 – Bank of America Corp. 116 0.01 740 U.S. Treasury Note 1.250 9/30/2015 758 0.04 99 Citigroup Capital XII 2,527 0.14 4,190 U.S. Treasury Note 2.000 1/31/2016 4,416 0.25 11 CMP Susquehanna Radio Holdings Corp., 144A † 1 – 367 U.S. Treasury Note 5.125 5/15/2016 440 0.03 Total Preferred Stock (Cost $2,651) 2,644 0.15 4,360 U.S. Treasury Note 2.750 2/15/2019 4,704 0.27 30,150 U.S. Treasury Note 3.125 5/15/2019 33,297 1.91 Shares/Units (000’s) 10,250 U.S. Treasury Note 3.375 11/15/2019 11,470 0.66 Warrants — 0.00% 190 U.S. Treasury Note 3.625 2/15/2020 216 0.01 1 Charter Communications, Inc., Series CW14 9 – 4,330 U.S. Treasury Note 2.625 8/15/2020 4,541 0.26 12 CMP Susquehanna Radio Holdings Corp., 144A † –– 21,820 U.S. Treasury Note 2.625 11/15/2020 22,797 1.31 ? – General Motors Co., Series CW16 7 – 8,180 U.S. Treasury Note 3.625 2/15/2021 9,235 0.53 – General Motors Co., Series CW19 5 – Total U.S. Treasury Obligations (Cost $200,170) 214,261 12.31 2 Nortek, Inc., Series CW14 † ? 3 – 5 SemGroup Corp., Series CW14 † 28 – Repurchase Agreements — 0.31% 5,400 Bank of America Securities LLC, Total Warrants (Cost $32) 52 – Repurchase Agreement 0.02% Total Investments Excluding Options (Cost $1,633,710) 1,647,798 94.69 to be repurchased at $5,400,003 (collateralised Contracts (000’s) by U.S. Treasury Note, 1.75% Options — 0.00% due 1/31/2014, market value Purchased Options — 0.00% $5,567,998) 0.020 9/1/2011 5,400 0.31 75,900 USD/EUR Put 1.35 45 – Total Repurchase Agreements (Cost $5,400) 5,400 0.31 Total Investments (Cost $1,634,858) 1,647,843 94.69 Time Deposits — 5.35% Other Assets in Excess of Liabilities 92,347 5.31 35,003 Barclays Capital 0.100 9/1/2011 35,003 2.01 36,024 ING Bank NV 0.080 9/1/2011 36,024 2.07 Total Net Assets $1,740,190 100.00 22,020 UBS AG 0.040 9/1/2011 22,020 1.27 – Amounts designated as "-" are either $0, less than $1,000 or less than 1,000 Total Time Deposits (Cost $93,047) 93,047 5.35 shares. 144A Securities exempt from registration under Rule 144A of the Securities Act of 1933, Shares/Units (000’s) as amended. These securities may only be resold, in transactions exempt from registration, to qualified institutional buyers. As at August 31, 2011, these securities Common Stock — 0.20% amounted to $70,570,282 or 4.08% of net assets. 12 AbitibiBowater, Inc. 201 0.01 * Variable rate security. The interest rate shown reflects the rate in effect at – Ashton Woods USA LLC/Ashton Woods Finance August 31, 2011. Co. † 29 – ? † Illiquid. 24 Charter Communications, Inc., Class A 1,219 0.07 ? Security is valued in good faith at fair value by or at the discretion of the Investment 52 Deep Ocean Group Holdings A/S ? 725 0.04 Manager. – Dex One Corp. – – I The rate of interest on this type of security is tied to the Consumer Price Index (CPI). 1 General Motors Co. 13 – The coupon rate is the rate as of August 31, 2011. 54 Georgia Gulf Corp. 1,147 0.07 e Security is in default as at August 31, 2011. 3 Nortek, Inc. 77 – 5 SemGroup Corp., Class A 110 0.01 ABBREVIATIONS: Perpetual – A bond with no maturity date. Perpetual bonds are not redeemable but pay a Total Common Stock (Cost $4,488) 3,521 0.20 steady stream of interest. Shares/Units (000’s) BRL – Brazilian Real Collective Investment Schemes — 7.90% CAD – Canadian Dollar 174 Legg Mason Global Funds PLC – Legg Mason Western CHF – Swiss Franc EUR – Euro Asset Euro High Yield Bond Fund ? 22,884 1.31 1,216 Legg Mason Global Funds PLC – Legg Mason Western GBP – British Pound MXN – Mexican Peso Asset U.S. High Yield Fund ? 107,397 6.17 721 Legg Mason Western Asset China Bond Fund Class M 7,252 0.42 MYR – Malaysian Ringgit PEN – Peruvian New Sol Total Collective Investment Schemes (Cost $145,613) 137,533 7.90 PLN – Polish Zloty USD – United States Dollar

The accompanying notes are an integral part of the Financial Statements

50 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Multi Strategy Fund

Portfolio of Investments as at August 31, 2011 – (continued)

ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR TRADED ON A REGULATED MARKET EXCEPT FOR FUTURES, FORWARDS AND OPTIONS WHICH ARE FINANCIAL DERIVATIVE INSTRUMENTS DEALT IN ON A REGULATED MARKET, TIME DEPOSITS WHICH ARE DEPOSITS WITH CREDIT INSTITUTIONS, REPURCHASE AGREEMENTS WHICH ARE MONEY MARKET INSTRUMENTS AND COLLECTIVE INVESTMENT SCHEMES. % of Total Analysis of Total Assets Assets

Transferable securities admitted to an official exchange listing or traded on a regulated market 79.84 Money market instruments 0.31 Financial derivative instruments 0.32 Deposits with credit institutions 5.26 Collective investment schemes 7.78 Other assets 6.49

Total Assets 100.00

Schedule of Futures Contracts Net Unrealised Nominal Notional Notional Unrealised Unrealised Gain/ (Loss) Value Cost (000’s) Value (000’s) Gains (000’s) Losses (000’s) (000’s)

Euro-Bund September 2011 (398) $(73,351) $(76,931) – $(3,580) $(3,580) U.S. 10 Year Note December 2011 451 58,188 58,193 $5 – 5 U.S. 5 Year Note (CBT) December 2011 (2,704) (331,054) (331,367) – (313) (313) U.S. Long Bond (CBT) December 2011 (16) (2,181) (2,177) 4 – 4

Total Market Value of Future Contracts (2,667) $(348,398) $(352,282) $9 $(3,893) $(3,884)

Schedule of Forward Contracts

Contracts to Receive Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 8/31/2011 Citicorp Securities London Ltd. JPY 357,601 $ 4,671 $ 4,639 $ 32 9/15/2011 JPMorgan Chase Bank London RUB 493,067 17,047 17,584 (537) 9/30/2011 Barclays AUD 7,005 7,457 7,286 171 9/30/2011 Citicorp Securities London Ltd. AUD 63,333 67,425 65,966 1,459 9/30/2011 Barclays EUR 68 97 97 – 9/30/2011 Barclays EUR 33 48 48 – 9/30/2011 Barclays EUR 625 898 902 (4) 9/30/2011 Barclays EUR 34 49 49 – 9/30/2011 Barclays EUR 35,402 50,835 51,038 (203) 9/30/2011 Barclays EUR 5 7 7 – 9/30/2011 Barclays EUR 23,025 33,063 33,195 (132) 9/30/2011 Barclays EUR 7,883 11,320 11,365 (45) 9/30/2011 Citicorp Securities London Ltd. EUR 30,627 43,979 44,170 (191) 9/30/2011 Citicorp Securities London Ltd. EUR 7,584 10,891 10,938 (47) 9/30/2011 Citicorp Securities London Ltd. EUR 1,003 1,440 1,446 (6) 9/30/2011 Citicorp Securities London Ltd. EUR 3,194 4,586 4,606 (20) 9/30/2011 Credit Suisse First Boston London EUR 4,428 6,358 6,385 (27) 9/30/2011 Credit Suisse First Boston London EUR 351 504 506 (2) 9/30/2011 Deutsche Bank London EUR 3,620 5,198 5,229 (31) 9/30/2011 Deutsche Bank London EUR 1,462 2,100 2,112 (12) 9/30/2011 Goldman Sachs London FX EUR 2,425 3,482 3,502 (20) 9/30/2011 Goldman Sachs London FX EUR 654 939 944 (5) 9/30/2011 JPMorgan Chase Bank London EUR 256 368 370 (2) 9/30/2011 JPMorgan Chase London EUR 385 552 555 (3) 9/30/2011 JPMorgan Chase London EUR 4,727 6,788 6,823 (35) 9/30/2011 Morgan Stanley Foreign Exchange EUR 268 385 387 (2) 9/30/2011 Royal Bank of Scotland EUR 30,184 43,342 43,496 (154) 9/30/2011 Royal Bank of Scotland EUR 522 750 753 (3)

The accompanying notes are an integral part of the Financial Statements

51 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Multi Strategy Fund

Portfolio of Investments as at August 31, 2011 – (continued)

Contracts to Receive Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/30/2011 Royal Bank of Scotland EUR 3,486 5,005 5,023 (18) 9/30/2011 UBS (FX) EUR 3,610 5,184 5,201 (17) 9/30/2011 UBS (FX) EUR 3,156 4,531 4,546 (15) 9/30/2011 UBS (FX) EUR 1,133 1,627 1,632 (5) 9/30/2011 UBS (FX) EUR 2,094 3,007 3,026 (19) 9/30/2011 Barclays GBP 21,840 35,440 35,723 (283) 9/30/2011 Barclays GBP 12,776 20,733 20,899 (166) 9/30/2011 Barclays GBP 97 158 159 (1) 9/30/2011 Barclays GBP 64 103 104 (1) 9/30/2011 Barclays GBP 729 1,182 1,187 (5) 9/30/2011 Barclays GBP 1 2 2 – 9/30/2011 Barclays GBP 2 3 3 – 9/30/2011 BNP Paribas Paris (LDN) GBP 27,580 44,756 45,102 (346) 9/30/2011 Citicorp Securities London Ltd. GBP 1,046 1,698 1,713 (15) 9/30/2011 Citicorp Securities London Ltd. GBP 149 242 243 (1) 9/30/2011 Citicorp Securities London Ltd. GBP 32,719 53,095 53,558 (463) 9/30/2011 Citicorp Securities London Ltd. GBP 40,246 65,308 65,878 (570) 9/30/2011 Citicorp Securities London Ltd. GBP 73,351 119,030 120,068 (1,038) 9/30/2011 Citicorp Securities London Ltd. GBP 11,384 18,473 18,634 (161) 9/30/2011 Deutsche Bank London GBP 31,037 50,366 50,833 (467) 9/30/2011 Deutsche Bank London GBP 1,594 2,587 2,611 (24) 9/30/2011 Goldman Sachs London FX GBP 25,839 41,931 42,292 (361) 9/30/2011 Goldman Sachs London FX GBP 24,691 40,068 40,413 (345) 9/30/2011 Goldman Sachs London FX GBP 44,623 72,412 73,035 (623) 9/30/2011 Goldman Sachs London FX GBP 62,438 101,321 102,192 (871) 9/30/2011 JPMorgan Chase London GBP 18,584 30,157 30,427 (270) 9/30/2011 JPMorgan Chase London GBP 35,366 57,390 57,905 (515) 9/30/2011 Morgan Stanley Foreign Exchange GBP 24,767 40,190 40,526 (336) 9/30/2011 Royal Bank of Scotland GBP 900 1,460 1,472 (12) 9/30/2011 Royal Bank of Scotland GBP 3,581 5,810 5,858 (48) 9/30/2011 Royal Bank of Scotland GBP 486 788 795 (7) 9/30/2011 Royal Bank of Scotland GBP 8,072 13,098 13,206 (108) 9/30/2011 Societe Generale GBP 36,891 59,865 60,420 (555) 9/30/2011 UBS (FX) GBP 2,201 3,572 3,601 (29) 9/30/2011 UBS (FX) GBP 359 582 587 (5) 9/30/2011 Barclays JPY 15,584 204 203 1 9/30/2011 Citicorp Securities London Ltd. SEK 123,636 19,463 19,529 (66) 9/30/2011 JPMorgan Chase London SEK 70,802 11,146 11,202 (56) 9/30/2011 Citicorp Securities London Ltd. SGD 2,071 1,720 1,715 5 9/30/2011 Royal Bank of Scotland SGD 188 156 156 – 9/30/2011 UBS (FX) SGD 483 401 400 1 11/16/2011 Barclays AUD 33,720 35,702 34,467 1,235 11/16/2011 Deutsche Bank London AUD 3,487 3,692 3,561 131 11/16/2011 JPMorgan Chase London AUD 10,570 11,191 10,817 374 11/16/2011 UBS (FX) AUD 1,800 1,906 1,824 82 11/16/2011 JPMorgan Chase Bank London CAD 24,667 25,144 25,046 98 11/16/2011 JPMorgan Chase London CAD 17,343 17,679 17,500 179 11/16/2011 BNP Paribas Paris (LDN) EUR 3,930 5,640 5,601 39 11/16/2011 Goldman Sachs London FX EUR 2,500 3,588 3,560 28 11/16/2011 JPMorgan Chase London EUR 365 524 526 (2) 11/16/2011 Deutsche Bank London GBP 3,715 6,025 6,063 (38) 11/16/2011 Goldman Sachs London FX GBP 2,000 3,244 3,256 (12) 11/16/2011 JPMorgan Chase London GBP 9,147 14,836 14,834 2 11/16/2011 Societe Generale GBP 7,962 12,914 12,922 (8) 11/16/2011 Credit Suisse First Boston London JPY 2,915,397 38,102 37,914 188 11/16/2011 Goldman Sachs London FX JPY 2,910,812 38,042 37,539 503 11/16/2011 Morgan Stanley Foreign Exchange JPY 1,892,090 24,728 24,746 (18) 11/16/2011 Societe Generale JPY 1,691,209 22,103 22,121 (18) 11/16/2011 Barclays SEK 4,100 644 639 5 11/16/2011 UBS (FX) SEK 110,825 17,403 17,500 (97)

The accompanying notes are an integral part of the Financial Statements

52 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Multi Strategy Fund

Portfolio of Investments as at August 31, 2011 – (continued)

Contracts to Receive Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 11/22/2011 Deutsche Bank London KRW 5,020,651 4,684 4,652 32 11/22/2011 JPMorgan Chase London KRW 3,285,000 3,064 3,041 23 $ (4,908)

Contracts to Deliver Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/30/2011 Barclays EUR (4) $ (6) $ (6) – 9/30/2011 Barclays EUR (289) (415) (417) 2 9/30/2011 Citicorp Securities London Ltd. EUR (146) (209) (210) 1 9/30/2011 Citicorp Securities London Ltd. EUR (3) (4) (4) – 9/30/2011 Citicorp Securities London Ltd. EUR (1,118) (1,605) (1,610) 5 9/30/2011 Deutsche Bank London EUR (17) (24) (24) – 9/30/2011 Morgan Stanley Foreign Exchange EUR (871) (1,250) (1,255) 5 9/30/2011 Barclays GBP (3,033) (4,922) (4,961) 39 9/30/2011 Barclays GBP (4,100) (6,653) (6,684) 31 9/30/2011 Barclays GBP (9) (15) (15) – 9/30/2011 Barclays GBP (1,822) (2,957) (2,981) 24 9/30/2011 Barclays GBP (802) (1,302) (1,312) 10 9/30/2011 Citicorp Securities London Ltd. GBP (6) (10) (10) – 9/30/2011 UBS (FX) GBP (1,286) (2,086) (2,090) 4 9/30/2011 UBS (FX) GBP (1,630) (2,646) (2,650) 4 9/30/2011 UBS (FX) GBP (455) (739) (740) 1 9/30/2011 Barclays SEK (6,345) (999) (1,002) 3 9/30/2011 Citicorp Securities London Ltd. SGD (31) (26) (26) – 9/30/2011 Citicorp Securities London Ltd. SGD (26) (21) (21) – 9/30/2011 UBS (FX) SGD (36) (30) (30) – 11/16/2011 Barclays AUD (30,545) (32,340) (31,260) (1,080) 11/16/2011 Citicorp Securities London Ltd. AUD (700) (741) (717) (24) 11/16/2011 Credit Suisse First Boston London AUD (8,571) (9,075) (8,621) (454) 11/16/2011 Deutsche Bank London CAD (4,530) (4,617) (4,575) (42) 11/16/2011 Barclays EUR (28,500) (40,902) (40,932) 30 11/16/2011 Citicorp Securities London Ltd. EUR (20,809) (29,865) (29,634) (231) 11/16/2011 Credit Suisse First Boston London EUR (16,652) (23,898) (23,738) (160) 11/16/2011 Deutsche Bank London EUR (7,491) (10,751) (10,610) (141) 11/16/2011 JPMorgan Chase London EUR (26,017) (37,339) (37,319) (20) 11/16/2011 Morgan Stanley Foreign Exchange EUR (7,550) (10,836) (10,708) (128) 11/16/2011 Societe Generale EUR (34,843) (50,006) (50,030) 24 11/16/2011 UBS (FX) EUR (1,000) (1,435) (1,431) (4) 11/16/2011 UBS (FX) EUR (25,390) (36,439) (35,844) (595) 11/16/2011 Barclays GBP (2,522) (4,090) (4,091) 1 11/16/2011 Citicorp Securities London Ltd. GBP (8,249) (13,378) (13,460) 82 11/16/2011 Goldman Sachs London FX GBP (35,284) (57,226) (57,847) 621 11/16/2011 UBS (FX) GBP (4,964) (8,051) (8,008) (43) 11/16/2011 Citicorp Securities London Ltd. JPY (2,497,209) (32,637) (32,308) (329) 11/16/2011 Deutsche Bank London JPY (514,732) (6,727) (6,634) (93) 11/16/2011 UBS (FX) JPY (1,872,759) (24,476) (24,418) (58) 11/16/2011 JPMorgan Chase London PLN (57,794) (19,926) (20,074) 148 11/16/2011 Barclays SGD (31) (25) (25) – 11/16/2011 Citicorp Securities London Ltd. SGD (34) (28) (28) – $ (2,367) Unrealised Appreciation of Forward Foreign Currency Contracts 5,623 Unrealised Depreciation of Forward Foreign Currency Contracts (12,898) Net Unrealised Depreciation of Forward Foreign Currency Contracts $ (7,275)

The accompanying notes are an integral part of the Financial Statements

53 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US High Yield Fund

Portfolio of Investments as at August 31, 2011

% of % of Face Value Net Face Value Net Value Coupon Maturity (000’s) Asset Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Corporate Bonds and Notes — 71.60% 880 Verso Paper Holdings LLC / Advertising — 0.51% Verso Paper, Inc., Series B 11.375 8/1/2016 686 0.14 1,270 Good Sam Enterprises LLC 11.500 12/1/2016 1,245 0.26 1,410 Verso Paper Holdings LLC / 1,330 inVentiv Health, Inc., 144A 10.000 8/15/2018 1,200 0.25 Verso Paper, Inc. 8.750 2/1/2019 1,125 0.23

2,445 0.51 18,496 3.84

Aerospace/Defense — 0.98% Building Materials — 0.42% 910 Ducommun, Inc., 144A 9.750 7/15/2018 915 0.19 360 Building Materials Corp. of 2,340 Kratos Defense & Security America, 144A 6.875 8/15/2018 353 0.07 Solutions, Inc. 10.000 6/1/2017 2,404 0.50 1,770 Building Materials Corp. of 1,330 Triumph Group, Inc. 8.625 7/15/2018 1,416 0.29 America, 144A 6.750 5/1/2021 1,695 0.35

4,735 0.98 2,048 0.42

Agriculture — 0.69% Commercial Services — 4.48% 3,715 Alliance One International, Inc. 10.000 7/15/2016 3,357 0.69 1,705 Altegrity, Inc., 144A 11.750 5/1/2016 1,637 0.34 1,630 American Reprographics Co. 10.500 12/15/2016 1,516 0.31 Airlines — 2.02% 589 Ashtead Capital, Inc., 144A 9.000 8/15/2016 598 0.12 1,331 American Airlines Pass Through 2,823 Bankrate, Inc. 11.750 7/15/2015 3,190 0.66 Trust, Series 2011-1, Class B, 1,017 Ceridian Corp. 12.250 11/15/2015 941 0.19 144A 7.000 1/31/2018 1,145 0.24 870 ExamWorks Group, Inc., 144A 9.000 7/15/2019 820 0.17 49 Continental Airlines Pass 1,465 The Geo Group, Inc. 7.750 10/15/2017 1,538 0.32 Through Trust, Series 2009-2, 100 The Geo Group, Inc. 6.625 2/15/2021 99 0.02 Class B 9.250 5/10/2017 49 0.01 250 NES Rentals Holdings, Inc. 12.250 4/15/2015 231 0.05 1,192 Continental Airlines, Inc., 1,680 NES Rentals Holdings, Inc., 144A 12.250 4/15/2015 1,545 0.32 Series 2007-1 7.339 4/19/2014 1,162 0.24 370 RSC Equipment Rental, Inc. / 166 Continental Airlines, Inc., RSC Holdings III LLC 8.250 2/1/2021 345 0.07 Series 2001-1, Class B 7.370 12/15/2015 166 0.04 1,660 Service Corp. International 7.500 4/1/2027 1,552 0.32 1,000 DAE Aviation Holdings, Inc., 1,780 Sotheby’s 7.750 6/15/2015 1,887 0.39 144A 11.250 8/1/2015 1,023 0.21 330 Stewart Enterprises, Inc. 6.500 4/15/2019 321 0.07 270 Delta Air Lines, Inc., Series 071C 8.954 8/10/2014 273 0.06 445 Stonemor Operating LLC / 320 Delta Air Lines, Inc., Series B 9.750 12/17/2016 328 0.07 Cornerstone Family Services of 3,790 Delta Air Lines, Inc., Series 071B 8.021 8/10/2022 3,790 0.78 WV / Osiris Holding 10.250 12/1/2017 429 0.09 334 United Air Lines, Inc. 9.875 8/1/2013 344 0.07 250 Wyle Services Corp. 10.500 4/1/2018 248 0.05 1,413 United Air Lines, Inc., 144A 9.875 8/1/2013 1,455 0.30 4,805 Wyle Services Corp., 144A 10.500 4/1/2018 4,763 0.99 9,735 2.02 21,660 4.48 Apparel — 0.43% Consumer, Cyclical — 0.01% 1,895 Oxford Industries, Inc. 11.375 7/15/2015 2,103 0.43 3,820 General Motors Co. Escrow † zero Basic Materials — 3.84% coupon Perpetual 29 0.01 250 Appleton Papers, Inc. 10.500 6/15/2015 251 0.05 2,530 General Motors Co. Escrow † zero 1,662 Appleton Papers, Inc. 11.250 12/15/2015 1,620 0.34 coupon Perpetual 19 – 160 CF Industries, Inc. 6.875 5/1/2018 182 0.04 48 0.01 75 Clearwater Paper Corp. 10.625 6/15/2016 82 0.02 500 Georgia Gulf Corp. 9.000 1/15/2017 511 0.11 Cosmetics & Personal Care — 0.03% 1,320 Hercules, Inc. 6.500 6/30/2029 1,026 0.21 150 Revlon Consumer Products 200 Huntsman International LLC 8.625 3/15/2020 208 0.04 Corp. 9.750 11/15/2015 160 0.03 1,900 Longview Fibre Paper & Diversified — 0.13% Packaging, Inc., 144A 8.000 6/1/2016 1,881 0.39 610 Leucadia National Corp. 8.125 9/15/2015 655 0.13 300 Lyondell Chemical Co 8.000 11/1/2017 332 0.07 1,888 Lyondell Chemical Co., 144A 8.000 11/1/2017 2,091 0.43 Energy — 11.67% 2,500 Lyondell Chemical Co. 11.000 5/1/2018 2,791 0.58 600 Arch Coal, Inc., 144A 7.000 6/15/2019 591 0.12 1,370 NewPage Corp. 11.375 12/31/2014 1,206 0.25 1,090 Berry Petroleum Co. 10.250 6/1/2014 1,221 0.25 2,580 Ryerson Holding Corp. zero 370 Berry Petroleum Co. 6.750 11/1/2020 359 0.08 coupon 2/1/2015 1,290 0.27 920 Calumet Specialty Products 715 Solutia, Inc. 8.750 11/1/2017 760 0.16 Partners LP/Calumet Finance 1,020 Solutia, Inc. 7.875 3/15/2020 1,086 0.22 Corp., 144A 9.375 5/1/2019 888 0.18 500 Steel Dynamics, Inc. 7.625 3/15/2020 528 0.11 3,370 Chesapeake Energy Corp. 6.625 8/15/2020 3,522 0.73 820 TPC Group LLC, 144A 8.250 10/1/2017 840 0.18 265 Colorado Interstate Gas Co. 6.800 11/15/2015 311 0.06

The accompanying notes are an integral part of the Financial Statements

54 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US High Yield Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Face Value Net Face Value Net Value Coupon Maturity (000’s) Asset Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Corporate Bonds and Notes — (continued) 825 Snoqualmie Entertainment Energy — (continued) Authority, 144A * 4.179 2/1/2014 730 0.15 1,500 Concho Resources, Inc. 7.000 1/15/2021 1,537 0.32 340 Snoqualmie Entertainment 1,080 Consol Energy, Inc. 8.250 4/1/2020 1,161 0.24 Authority, 144A 9.125 2/1/2015 329 0.07 650 Crosstex Energy LP / Crosstex 6,344 1.31 Energy Finance Corp. 8.875 2/15/2018 673 0.14 850 Denbury Resources, Inc. 9.750 3/1/2016 933 0.19 Financials – Banks — 1.92% 1,469 Denbury Resources, Inc. 8.250 2/15/2020 1,548 0.32 510 Ally Financial, Inc. 6.250 12/1/2017 491 0.10 1,560 Dynegy Roseton/Danskammer 1,300 Ally Financial, Inc. 8.000 3/15/2020 1,313 0.27 Trust, Series B 7.670 11/8/2016 1,053 0.22 1,190 Ally Financial, Inc. 8.000 11/1/2031 1,163 0.24 350 El Paso Corp. 8.050 10/15/2030 395 0.08 410 BAC Capital Trust VI 5.625 3/8/2035 325 0.07 2,030 El Paso Corp. 7.800 8/1/2031 2,280 0.47 3,695 Bank of America Corp., 1,440 Energy Transfer Equity LP 7.500 10/15/2020 1,476 0.31 Series K * 8.000 Perpetual 3,494 0.72 1,330 Enterprise Products Operating 560 Bank of America Corp., LLC, Series A * 8.375 8/1/2066 1,391 0.29 Series M * 8.125 Perpetual 529 0.11 1,130 Enterprise Products Operating 250 BankAmerica Institutional LLC, Series B * 7.034 1/15/2068 1,141 0.24 Capital A, 144A 8.070 12/31/2026 249 0.05 3,230 EXCO Resources, Inc. 7.500 9/15/2018 3,036 0.63 1,130 NB Capital Trust II 7.830 12/15/2026 1,107 0.23 2,220 First Wind Capital LLC, 144A 10.250 6/1/2018 2,120 0.44 640 NB Capital Trust IV 8.250 4/15/2027 640 0.13 2,715 Hercules Offshore, Inc., 144A 10.500 10/15/2017 2,674 0.55 130 James River Coal Co., 144A 3.125 3/15/2018 97 0.02 9,311 1.92 1,450 Key Energy Services, Inc. 6.750 3/1/2021 1,421 0.29 Financials – Diversified — 5.50% 2,470 MarkWest Energy Partners LP / 1,430 AES Ironwood LLC 8.857 11/30/2025 1,466 0.30 MarkWest Energy Finance Corp. 6.500 8/15/2021 2,520 0.52 3,460 Astoria Depositor Corp., 144A 8.144 5/1/2021 3,218 0.67 2,060 Milagro Oil & Gas, 144A 10.500 5/15/2016 1,761 0.36 810 Capital One Capital V 10.250 8/15/2039 841 0.17 1,440 Oil States International, Inc., 70 Countrywide Capital III, Series B 8.050 6/15/2027 70 0.01 144A 6.500 6/1/2019 1,440 0.30 200 Ford Motor Credit Co. LLC 7.000 4/15/2015 213 0.04 1,570 Parker Drilling Co. 9.125 4/1/2018 1,633 0.34 1,470 Ford Motor Credit Co. LLC 12.000 5/15/2015 1,774 0.37 1,805 Peabody Energy Corp. 7.875 11/1/2026 1,972 0.41 2,750 Ford Motor Credit Co. LLC 5.875 8/2/2021 2,759 0.57 850 Pioneer Natural Resources Co. 6.650 3/15/2017 917 0.19 390 Fresenius US Finance II, Inc., 2,465 Plains Exploration & 144A 9.000 7/15/2015 435 0.09 Production Co. 10.000 3/1/2016 2,724 0.56 1,150 General Motors Financial Co., 570 Plains Exploration & Inc., 144A 6.750 6/1/2018 1,144 0.24 Production Co. 8.625 10/15/2019 618 0.13 420 International Lease Finance 4,125 Quicksilver Resources, Inc. 11.750 1/1/2016 4,548 0.94 Corp. 8.625 9/15/2015 428 0.09 240 Quicksilver Resources, Inc. 9.125 8/15/2019 246 0.05 5,530 International Lease Finance 1,110 Regency Energy Partners LP / Corp. 8.750 3/15/2017 5,682 1.17 Regency Energy Finance Corp. 6.875 12/1/2018 1,132 0.23 1,830 International Lease Finance 765 Regency Energy Partners LP / Corp. 8.875 9/1/2017 1,871 0.39 Regency Energy Finance Corp. 6.500 7/15/2021 767 0.16 1,700 Landry’s Holdings, Inc., 144A 11.500 6/1/2014 1,670 0.34 960 SandRidge Energy, Inc., 144A 7.500 3/15/2021 936 0.19 710 MBNA Capital A, Series A 8.278 12/1/2026 710 0.15 400 Southern Natural Gas Co. 8.000 3/1/2032 512 0.11 2,580 Residential Capital LLC 9.625 5/15/2015 2,287 0.47 45 Tennessee Gas Pipeline Co. 8.000 2/1/2016 54 0.01 2,020 SLM Corp. 8.000 3/25/2020 2,076 0.43 80 Tennessee Gas Pipeline Co. 8.375 6/15/2032 105 0.02 1,360 Unit Corp. 6.625 5/15/2021 1,333 0.28 26,644 5.50 930 Whiting Petroleum Corp. 6.500 10/1/2018 930 0.19 Financials – Real Estate — 1.18% 2,590 Xinergy Corp., 144A 9.250 5/15/2019 2,434 0.51 629 Ashton Woods USA LLC/Ashton zero 56,410 11.67 Woods Finance Co., 144A † coupon 6/30/2015 452 0.10 6,300 Realogy Corp., Series A, 144A 11.000 4/15/2014 5,229 1.08 Entertainment — 1.31% 46 CMP Susquehanna Notes, 5,681 1.18 144A † 3.531 5/15/2014 46 0.01 Food — 1.82% 5,088 Mohegan Tribal Gaming 1,255 Buffets Restaurants Holdings, Authority 8.000 4/1/2012 3,689 0.76 Inc. Escrow † 0.000 11/1/2014 – – 270 Pinnacle Entertainment, Inc. 7.500 6/15/2015 269 0.06 ? e 520 Bumble Bee Acquisition Corp., 1,045 Pinnacle Entertainment, Inc. 8.625 8/1/2017 1,090 0.22 144A 9.000 12/15/2017 504 0.10 190 Pinnacle Entertainment, Inc. 8.750 5/15/2020 191 0.04 2,450 Del Monte Foods Co., 144A 7.625 2/15/2019 2,432 0.50 1,061 Premier Entertainment Biloxi zero 780 Harmony Foods Corp., 144A 10.000 5/1/2016 774 0.16 LLC † ? coupon 2/1/2012 – –

The accompanying notes are an integral part of the Financial Statements

55 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US High Yield Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Face Value Net Face Value Net Value Coupon Maturity (000’s) Asset Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Corporate Bonds and Notes — (continued) 2,231 FGI Operating Co., Inc. 10.250 8/1/2015 2,365 0.49 Food — (continued) 3,138 Florida East Coast Holdings 2,900 Simmons Foods, Inc., 144A 10.500 11/1/2017 2,646 0.55 Corp., 144A 10.500 8/1/2017 3,001 0.62 1,040 Viskase Cos., Inc., 144A 9.875 1/15/2018 1,050 0.22 2,300 Florida East Coast Railway 1,390 Viskase Cos., Inc. Fungible, Corp., 144A 8.125 2/1/2017 2,288 0.47 144A 9.875 1/15/2018 1,404 0.29 3,020 Horizon Lines, Inc. † 4.250 8/15/2012 2,129 0.44 910 Huntington Ingalls Industries, 8,810 1.82 Inc., 144A 6.875 3/15/2018 855 0.17 910 Huntington Ingalls Industries, Healthcare – Products — 0.19% Inc., 144A 7.125 3/15/2021 856 0.18 885 Biomet, Inc. 10.375 10/15/2017 934 0.19 2,650 Overseas Shipholding Group, Healthcare – Services — 2.57% Inc. 8.125 3/30/2018 2,252 0.47 2,240 American Renal Associates 2,398 RailAmerica, Inc. 9.250 7/1/2017 2,590 0.53 Holdings, Inc., 144A 9.750 3/1/2016 2,121 0.44 5,850 Syncreon Global Ireland Ltd. / 870 American Renal Holdings Co., Syncreon Global Finance US, Inc. 8.375 5/15/2018 868 0.18 Inc., 144A 9.500 5/1/2018 5,514 1.14 2,615 CRC Health Corp. 10.750 2/1/2016 2,615 0.54 810 Tempel Steel Co., 144A 12.000 8/15/2016 808 0.17 1,300 HCA Holdings, Inc., 144A 7.750 5/15/2021 1,280 0.26 1,010 WCA Waste Corp., 144A 7.500 6/15/2019 1,010 0.21 1,230 HCA, Inc. 6.500 2/15/2020 1,244 0.26 24,394 5.04 670 INC Research LLC, 144A 11.500 7/15/2019 620 0.13 1,070 Oncology Escrow Bond zero Insurance — 0.11% coupon Perpetual 8 – 480 ING Capital Funding Trust III, 1,137 Tenet Healthcare Corp. 10.000 5/1/2018 1,251 0.26 Series 9 * 3.846 Perpetual 413 0.09 1,264 Tenet Healthcare Corp. 8.875 7/1/2019 1,340 0.27 90 Metlife Capital Trust IV, 144A 7.875 12/15/2037 92 0.02 1,145 Vanguard Health Holding Co II LLC / Vanguard Holding Co. II, 505 0.11 Inc. 8.000 2/1/2018 1,091 0.23 Internet — 1.03% 12,438 2.57 1,830 Cogent Communications Group, Inc., 144A 8.375 2/15/2018 1,910 0.39 Home Builders — 0.34% 2,825 NetFlix, Inc. 8.500 11/15/2017 3,108 0.64 830 Shea Homes LP / Shea Homes Funding Corp., 144A 8.625 5/15/2019 702 0.14 5,018 1.03 1,120 Standard Pacific Corp. 8.375 1/15/2021 963 0.20 Investment Companies — 0.18% 1,665 0.34 910 Spencer Spirit Holdings, Inc. / Spencer Gifts LLC / Spirit Household Products — 1.13% Halloween Superstores, 144A 11.000 5/1/2017 894 0.18 555 ACCO Brands Corp. 10.625 3/15/2015 607 0.12 175 American Greetings Corp., Leisure & Lodgings — 2.54% Series 2 7.375 6/1/2016 172 0.04 370 Boyd Gaming Corp. 7.125 2/1/2016 309 0.06 90 American Greetings Corp., 1,570 Caesars Entertainment Series 1 7.375 6/1/2016 88 0.02 Operating Co., Inc. 10.750 2/1/2016 1,338 0.28 2,600 Reynolds Group Issuer, Inc. / 2,020 Caesars Entertainment Reynolds Group Issuer LLC, Operating Co., Inc. 11.250 6/1/2017 2,177 0.45 144A 8.500 10/15/2016 2,658 0.55 2,660 CityCenter Holdings LLC / 250 Reynolds Group Issuer, Inc. / CityCenter Finance Corp., 144A 10.750 1/15/2017 2,516 0.52 Reynolds Group Issuer LLC, 1,270 Downstream Development 144A 9.000 4/15/2019 225 0.05 Authority of the Quapaw Tribe 100 Reynolds Group Issuer, Inc. / of Oklahoma, 144A 10.500 7/1/2019 1,219 0.25 Reynolds Group Issuer LLC, 440 Fontainebleau Las Vegas 144A 7.875 8/15/2019 99 0.02 Holdings LLC/Fontainebleau Las 1,930 Reynolds Group Issuer, Inc. / Vegas Capital Corp., 144A e 10.250 6/15/2015 – – Reynolds Group Issuer LLC, 1,240 Harrah’s Operating Co., Inc. 10.000 12/15/2015 1,163 0.24 144A 8.250 2/15/2021 1,626 0.33 1,036 Inn of the Mountain Gods Resort & Casino, 144A 8.750 11/30/2020 1,015 0.21 5,475 1.13 105 MGM Resorts International 10.375 5/15/2014 115 0.02 410 MGM Resorts International 6.625 7/15/2015 369 0.08 Industrial — 5.04% 1,000 MGM Resorts International 9.000 3/15/2020 1,068 0.22 250 Amsted Industries, Inc. 8.125 3/15/2018 259 0.05 815 Station Casinos, Inc. † 6.000 4/1/2012 – – 60 Berry Plastics Corp. 9.750 1/15/2021 56 0.01 e 1,815 Station Casinos, Inc. † 7.750 8/15/2016 – – 450 Berry Plastics Holding Corp. 10.250 3/1/2016 411 0.09 e

The accompanying notes are an integral part of the Financial Statements

56 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US High Yield Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Face Value Net Face Value Net Value Coupon Maturity (000’s) Asset Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Corporate Bonds and Notes — (continued) 1,100 Suburban Propane Partners LP / Leisure & Lodgings — (continued) Suburban Energy Finance Corp. 7.375 3/15/2020 1,119 0.23 50 Station Casinos, Inc. † e 6.625 3/15/2018 – – 15,394 3.19 1,010 Sugarhouse HSP Gaming Prop Mezz LP / Sugarhouse HSP Technology — 1.53% Gaming Finance Corp., 144A 8.625 4/15/2016 1,005 0.21 840 CDW LLC / CDW Finance Corp. 11.000 10/12/2015 857 0.18 48 First Data Corp. 10.550 9/24/2015 43 0.01 12,294 2.54 4,750 First Data Corp. 11.250 3/31/2016 3,990 0.82 Media — 5.91% 500 Freescale Semiconductor, Inc. 9.250 4/15/2018 526 0.11 130 Cablevision Systems Corp. 8.000 4/15/2020 136 0.03 590 Freescale Semiconductor, Inc., 2,910 CCO Holdings LLC / CCO 144A 9.250 4/15/2018 621 0.13 Holdings Capital Corp. 7.875 4/30/2018 3,026 0.63 194 Freescale Semiconductor, Inc. 10.750 8/1/2020 203 0.04 5,170 CCO Holdings LLC / CCO 1,220 Sterling Merger, Inc., 144A 11.000 10/1/2019 1,191 0.24 Holdings Capital Corp. 8.125 4/30/2020 5,467 1.13 7,431 1.53 4,760 Cengage Learning Acquisitions, Inc., 144A 10.500 1/15/2015 3,665 0.76 Telecommunications — 4.45% 1,240 Cengage Learning Acquisitions, 1,465 Buccaneer Merger Sub, Inc., Inc., 144A 13.250 7/15/2015 905 0.19 144A 9.125 1/15/2019 1,465 0.30 2,710 Charter Communications 655 Cincinnati Bell Telephone Co. Operating Holdings LLC / LLC 6.300 12/1/2028 524 0.11 Charter Communications 690 Cincinnati Bell, Inc. 8.375 10/15/2020 680 0.14 Operating Holdings Capital 110 Cricket Communications, Inc. 7.750 5/15/2016 112 0.02 Corp. 6.500 4/30/2021 2,649 0.55 1,780 EH Holding Corp., 144A 6.500 6/15/2019 1,780 0.37 720 Clear Channel Communications, 370 Frontier Communications Corp. 8.750 4/15/2022 379 0.08 Inc. 5.750 1/15/2013 666 0.14 1,140 MetroPCS Wireless, Inc. 7.875 9/1/2018 1,156 0.24 277 CSC Holdings, Inc. 6.750 4/15/2012 282 0.06 400 Primus Telecommunications 810 CSC Holdings, Inc. 8.500 6/15/2015 867 0.18 Holding, Inc., 144A 10.000 4/15/2017 383 0.08 50 DISH DBS Corp. 6.625 10/1/2014 52 0.01 20 Qwest Corp. 8.375 5/1/2016 23 – 1,700 DISH DBS Corp., 144A 6.750 6/1/2021 1,713 0.35 810 Sprint Capital Corp. 6.875 11/15/2028 725 0.15 20 Echostar DBS Corp. 7.125 2/1/2016 20 – 7,370 Sprint Capital Corp. 8.750 3/15/2032 7,554 1.56 1,530 LBI Media, Inc., 144A 9.250 4/15/2019 1,379 0.28 2,230 TW Telecom Holdings, Inc. 8.000 3/1/2018 2,297 0.48 230 Nielsen Finance LLC / Nielsen 1,380 West Corp. 8.625 10/1/2018 1,345 0.28 Finance Co. 11.500 5/1/2016 262 0.05 2,080 West Corp. 7.875 1/15/2019 1,986 0.41 3,930 Nielsen Finance LLC / Nielsen 1,180 Windstream Corp. 7.500 4/1/2023 1,142 0.23 Finance Co., 144A 7.750 10/15/2018 4,058 0.84 1,650 Univision Communications, Inc., 21,551 4.45 144A 7.875 11/1/2020 1,584 0.33 Textiles — 0.14% 2,140 Univision Communications, Inc., 720 Empire Today LLC / Empire 144A 8.500 5/15/2021 1,830 0.38 Today Finance Corp., 144A 11.375 2/1/2017 673 0.14 28,561 5.91 Transportation — 0.71% Pharmaceuticals — 0.14% 510 Marquette Transportation Co. / 680 Giant Funding Corp., 144A 8.250 2/1/2018 680 0.14 Marquette Transportation Finance Corp. 10.875 1/15/2017 499 0.11 Retail — 3.19% 2,910 Quality Distribution LLC/QD 1,950 Burlington Coat Factory Capital Corp. 9.875 11/1/2018 2,906 0.60 Warehouse Corp., 144A 10.000 2/15/2019 1,818 0.37 1,930 El Pollo Loco, Inc., 144A 17.000 1/1/2018 1,872 0.39 3,405 0.71 690 Fiesta Restaurant Group, 144A 8.875 8/15/2016 685 0.14 Utilities — 5.46% 3,060 Gymboree Corp. 9.125 12/1/2018 2,647 0.55 1,200 The AES Corp. 7.750 10/15/2015 1,260 0.26 1,040 HOA Restaurant Group LLC / 970 The AES Corp., 144A 7.375 7/1/2021 979 0.20 HOA Finance Corp., 144A 11.250 4/1/2017 1,004 0.21 140 Calpine Corp., 144A 7.875 7/31/2020 143 0.03 540 Landry’s Restaurants, Inc., 144A 11.625 12/1/2015 568 0.12 400 Calpine Corp., 144A 7.500 2/15/2021 404 0.08 915 Landry’s Restaurants, Inc. 11.625 12/1/2015 963 0.20 2,050 Calpine Corp., 144A 7.875 1/15/2023 2,091 0.43 291 Macy’s Retail Holdings, Inc. 9.500 4/15/2021 322 0.07 650 Edison Mission Energy 7.625 5/15/2027 409 0.08 2,460 The Neiman Marcus Group, Inc. 7.125 6/1/2028 2,214 0.46 1,910 Energy Future Intermediate 2,030 QVC, Inc., 144A 7.375 10/15/2020 2,182 0.45 Holding Co. LLC 9.750 10/15/2019 1,861 0.39

The accompanying notes are an integral part of the Financial Statements

57 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US High Yield Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Face Value Net Face Value Net Value Coupon Maturity (000’s) Asset Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Corporate Bonds and Notes — (continued) France — 0.72% Utilities — (continued) 1,000 Cie Generale de Geophysique – 6,502 Energy Future Intermediate Veritas 9.500 5/15/2016 1,052 0.22 Holding Co. LLC / EFIH Finance, 3,390 CMA CGM S.A., 144A 8.500 4/15/2017 1,542 0.32 Inc. 10.000 12/1/2020 6,560 1.36 820 Credit Agricole S.A., 144A * 8.375 Perpetual 754 0.16 3,430 Foresight Energy LLC / Foresight 130 Societe Generale S.A. 8.750 Perpetual 121 0.02 Energy Corp., 144A 9.625 8/15/2017 3,447 0.71 3,469 0.72 429 Midwest Generation LLC, Series B 8.560 1/2/2016 423 0.09 Germany — 0.48% 1,800 Mirant Americas Generation LLC 9.125 5/1/2031 1,692 0.35 2,830 Hapag-Lloyd AG, 144A 9.750 10/15/2017 2,306 0.48 3,391 Mirant Mid Atlantic Trust, Series C 10.060 12/30/2028 3,696 0.76 Ireland — 0.56% 2,810 Reliant Energy Mid-Atlantic 2,690 Ardagh Packaging Finance PLC, Power Holdings LLC, Series C 9.681 7/2/2026 2,824 0.59 144A 9.125 10/15/2020 2,596 0.54 750 Texas Competitive Electric 120 Smurfit Kappa Funding PLC 7.750 4/1/2015 119 0.02 Holdings Co. LLC / TCEH 2,715 0.56 Finance, Inc., 144A 11.500 10/1/2020 634 0.13 Japan — 0.12% 26,423 5.46 590 The Dai-ichi Life Insurance Co. Total U.S. Corporate Bonds and Notes (Cost $360,780) 346,377 71.60 Ltd., 144A * 7.250 Perpetual 601 0.12

U.S. Denominated Bonds and Notes — 14.58% Luxembourg — 1.66% Australia — 1.29% 650 Aguila 3 S.A., 144A 7.875 1/31/2018 611 0.13 850 FMG Resources August 2006 Pty 430 Ard Finance S.A., 144A 11.125 6/1/2018 356 0.07 Ltd., 144A 7.000 11/1/2015 848 0.18 3,110 Dematic S.A., 144A 8.750 5/1/2016 2,970 0.61 4,570 Midwest Vanadium Pty Ltd., 3,810 Wind Acquisition Finance S.A., 144A 11.500 2/15/2018 4,319 0.89 144A 7.250 2/15/2018 3,572 0.74 1,140 Mirabela Nickel Ltd., 144A 8.750 4/15/2018 1,060 0.22 561 Wind Acquisition Holdings Finance S.A., 144A 12.250 7/15/2017 552 0.11 6,227 1.29 8,061 1.66 Bermuda — 2.70% 3,100 Intelsat Jackson Holdings S.A. 11.250 6/15/2016 3,239 0.67 Mali — 0.66% 1,220 Intelsat Jackson Holdings S.A. 8.500 11/1/2019 1,266 0.26 170 Navios Maritime Acquisition 1,930 NCL Corp. Ltd. 11.750 11/15/2016 2,162 0.45 Corp. / Navios Acquisition 2,550 NCL Corp. Ltd., 144A 9.500 11/15/2018 2,639 0.54 Finance US, Inc., 144A 8.625 11/1/2017 142 0.03 1,510 Petroplus Finance Ltd., 144A 6.750 5/1/2014 1,359 0.28 2,820 Navios Maritime Acquisition 670 Petroplus Finance Ltd., 144A 7.000 5/1/2017 583 0.12 Corp. / Navios Acquisition 1,910 Teekay Corp. 8.500 1/15/2020 1,858 0.38 Finance US, Inc. 8.625 11/1/2017 2,351 0.48 900 Navios Maritime Holdings, Inc. / 13,106 2.70 Navios Maritime Finance II US, Inc., 144A 8.125 2/15/2019 734 0.15 Canada — 1.57% 150 Garda World Security Corp. 9.750 3/15/2017 154 0.03 3,227 0.66 1,970 MEG Energy Corp., 144A 6.500 3/15/2021 1,970 0.41 2,400 Novelis, Inc. 8.750 12/15/2020 2,526 0.52 Mexico — 1.68% 250 Patheon, Inc. 8.625 4/15/2017 237 0.05 1,710 Kansas City Southern de 1,190 Precision Drilling Corp. 6.625 11/15/2020 1,205 0.25 Mexico S.A. de CV 12.500 4/1/2016 1,986 0.41 1,650 Thompson Creek Metals Co., 4,800 Kansas City Southern de Inc., 144A 7.375 6/1/2018 1,506 0.31 Mexico S.A. de CV 8.000 2/1/2018 5,160 1.07 990 Satmex Escrow S.A. de CV, 7,598 1.57 144A 9.500 5/15/2017 971 0.20

Cayman Islands — 1.12% 8,117 1.68 570 Offshore Group Investments Ltd., 144A 11.500 8/1/2015 607 0.12 Netherlands — 0.97% 2,850 Offshore Group Investments Ltd. 11.500 8/1/2015 3,035 0.63 3,210 NXP BV / NXP Funding LLC, 1,800 UPCB Finance III Ltd., 144A 6.625 7/1/2020 1,773 0.37 144A 9.750 8/1/2018 3,378 0.70 1,200 Sensata Technologies BV, 144A 6.500 5/15/2019 1,155 0.24 5,415 1.12 110 UPC Holding BV, 144A 9.875 4/15/2018 115 0.03

4,648 0.97

The accompanying notes are an integral part of the Financial Statements

58 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US High Yield Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Face Value Net Value Net Value Coupon Maturity (000’s) Asset (000’s) Asset (000’s) Rate % Date $ Value Shares/Units (000’s) $ Value

U.S. Denominated Bonds and Notes — (continued) Preferred Stock — 2.81% Spain — 0.27% 75 Banesto Holdings Ltd., Series A, 144A 1,912 0.39 1,420 Abengoa Finance SAU, 144A 8.875 11/1/2017 1,303 0.27 2 Bank of America Corp., Series L 2,085 0.43 86 Citigroup Capital XII 2,202 0.45 United Kingdom — 0.78% 73 Citigroup Capital XIII 1,913 0.40 930 Ineos Finance PLC, 144A 9.000 5/15/2015 942 0.20 11 CMP Susquehanna Radio Holdings Corp., 144A † 1 – 1,990 Inmarsat Finance PLC, 144A 7.375 12/1/2017 2,070 0.43 20 FHLMC Corp. 44 0.01 940 Royal Bank of Scotland Group 230 GMAC Capital Trust I 4,913 1.02 PLC * 7.648 Perpetual 705 0.15 510 Santander Finance Preferred S.A. Unipersonal, Series 11 515 0.11 3,717 0.78 Total Preferred Stock (Cost $14,787) 13,585 2.81

Total U.S. Denominated Bonds and Notes (Cost $75,778) 70,510 14.58 Shares/Units (000’s)

U.S. Government Agency Discount Notes — 0.00% Warrants — 0.13% 30 FHLMC Corp. Discount Notes‡ zero 1 Charter Communications, Inc., Series CW14 6 – coupon 1/10/2012 30 – 23 General Motors Co., Series CW16 353 0.08 23 General Motors Co., Series CW19 243 0.05 Total U.S. Government Agency Discount Notes (Cost $30) 30 – 1 Nortek, Inc., Series CW14 † ? 1 – Repurchase Agreements — 6.43% 2 SemGroup Corp., Series CW14 † 11 – 15,259 Credit Suisse First Boston, Total Warrants (Cost $862) 614 0.13 Repurchase Agreement 0.01% to be repurchased at Total Investments (Cost $487,722) 464,769 96.08 $15,259,004 (collateralised by U.S. Treasury Note, 1.00% Other Assets in Excess of Liabilities 18,957 3.92 due 4/30/2012, market value Total Net Assets $483,726 100.00 $15,513,356) 0.010 9/1/2011 15,259 3.15 15,841 Bank of America Securities LLC, – Amounts designated as "-" are either $0, less than $1,000 or less than 1,000 Repurchase Agreement 0.02% shares. to be repurchased at 144A Securities exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These securities may only be resold, in transactions exempt from $15,841,009 (collateralised registration, to qualified institutional buyers. As at August 31, 2011, these securities by U.S. Treasury Note, 1.75% amounted to $172,532,691 or 35.65% of net assets. due 1/31/2014, market value † Illiquid. $16,157,826) 0.020 9/1/2011 15,841 3.28 * Variable rate security. The interest rate shown reflects the rate in effect at August 31, 2011. Total Repurchase Agreements (Cost $31,100) 31,100 6.43 ? Security is valued in good faith at fair value by or at the discretion of the Investment Shares/Units (000’s) Manager. e Security is in default as at August 31, 2011. Common Stock — 0.51% ‡ Security held as collateral for future contracts trading as at August 31, 2011. – Ashton Woods USA LLC † ? 125 0.02 6 Charter Communications, Inc., Class A 309 0.07 ABBREVIATIONS: – Crown Castle International Corp. – – Perpetual – A bond with no maturity date. Perpetual bonds are not redeemable but pay a 89 Deep Ocean Group Holdings A/S ? 1,247 0.26 steady stream of interest. – Dex One Corp. – – 21 General Motors Co. 494 0.10 11 Georgia Gulf Corp. 234 0.05 – Nortek, Inc.? 9 – 2 SemGroup Corp., Class A 44 0.01 – SuperMedia, Inc. – –

Total Common Stock (Cost $4,295) 2,462 0.51

Shares/Units (000’s)

Collective Investment Schemes — 0.02% 41 Western Asset Liquidity Funds PLC – Western Asset Euro Liquidity Fund, Class WA 58 0.01 20 Western Asset Liquidity Funds PLC – Western Asset Sterling Liquidity Fund, Class WA 33 0.01

Total Collective Investment Schemes (Cost $90) 91 0.02

The accompanying notes are an integral part of the Financial Statements

59 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US High Yield Fund

Portfolio of Investments as at August 31, 2011 – (continued)

ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR TRADED ON A REGULATED MARKET EXCEPT FOR FUTURES, FORWARDS, OPTIONS, SWAPTIONS AND SWAPS WHICH ARE FINANCIAL DERIVATIVE INSTRUMENTS DEALT IN ON A REGULATED MARKET, REPURCHASE AGREEMENTS WHICH ARE MONEY MARKET INSTRUMENTS AND COLLECTIVE INVESTMENT SCHEMES. % of Total Analysis of Total Assets Assets

Transferable securities admitted to an official exchange listing or traded on a regulated market 88.41 Money market instruments 6.34 Financial derivative instruments 0.01 Collective investment schemes 0.02 Other assets 5.22

Total Assets 100.00

Schedule of Futures Contracts Net Unrealised Nominal Notional Notional Unrealised Unrealised Gain/ (Loss) Value Cost (000’s) Value (000’s) Gains (000’s) Losses (000’s) (000’s)

U.S. 5 Year Note (CBT) December 2011 (30) $(3,672) $(3,676) – $(4) $(4) U.S. Ultra Bond (CBT) December 2011 8 1,160 1,145 – (15) (15)

Total Market Value of Future Contracts (22) $(2,512) $(2,531) – $(19) $(19)

Schedule of Credit Default Swaps Notional Buy/Sell Expiration Amount Value Counterparty Reference Entity Protection Pay/Receive Date (000’s) (000’s)

Citigroup, Inc. Markit iTraxx Europe, 5.00%, due 6/20/16 Sell 5.00% 6/20/16 15,000 $(795)

$(795)

Credit Default Swaps – Total Financial Assets at Fair Value – Credit Default Swaps – Total Financial Liabilities at Fair Value (795)

Credit Default Swaps – Total Financial Assets and Liabilities at Fair Value $(795)

Schedule of Swaptions Notional Amount Value Counterparty Description Expiration Date (000’s) (000’s)

BNP Paribas Swaption Receiver, Credit Event, Markit iTraxx Europe, Strike 0.990% 9/22/2011 69,490 $(201) BNP Paribas Swaption Receiver, Credit Event, Markit iTraxx Europe, Strike 1.025% 9/22/2011 91,490 27 BNP Paribas Swaption Receiver, Credit Event, Markit iTraxx Europe, Strike 1.035% 9/22/2011 91,490 (12)

Swaptions – Total Financial Assets at Fair Value $27 Swaptions – Total Financial Liabilities at Fair Value $(213)

Swaptions – Total Financial Assets and Financial Liabilities at Fair Value $(186)

The accompanying notes are an integral part of the Financial Statements

60 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US High Yield Fund

Portfolio of Investments as at August 31, 2011 – (continued)

Schedule of Forward Contracts

Contracts to Receive Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/30/2011 Citicorp Securities London Ltd GBP 557 904 912 (8) 9/30/2011 Goldman Sachs GBP 537 872 880 (8) 9/30/2011 JPMorgan Chase GBP 229 372 375 (3) $ (35)

Contracts to Deliver Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/30/2011 Barclays Capital GBP (83) $ (135) $ (136) $ 1 9/30/2011 Citicorp Securities London Ltd GBP (8) (13) (13) – 9/30/2011 Citicorp Securities London Ltd GBP (1,105) (1,793) (1,801) 8 9/30/2011 UBS (FX) GBP (15) (25) (25) – 9/30/2011 UBS AG GBP (12) (20) (20) – $ 9 Unrealised Appreciation of Forward Foreign Currency Contracts 9 Unrealised Depreciation of Forward Foreign Currency Contracts (35) Net Unrealised Depreciation of Forward Foreign Currency Contracts $ (26)

The accompanying notes are an integral part of the Financial Statements

61 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Emerging Markets Bond Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

Foreign Government Bonds and Notes — 15.95% Mining — 1.50% Argentina Government Issues — 0.27% 1,300 Southern Copper Corp. 5.375 4/16/2020 1,393 0.66 EUR 379 Argentina Government 1,680 Southern Copper Corp. 6.750 4/16/2040 1,774 0.84 International Bond * 7.820 12/31/2033 364 0.17 3,167 1.50 898 Argentina Government International Bond * 0.000 12/15/2035 178 0.09 Total U.S. Corporate Bonds and Notes (Cost $9,232) 9,397 4.47 32 Argentina Government International Bond 2.260 12/31/2038 15 0.01 U.S. Denominated Bonds and Notes — 34.08% Argentina — 0.75% 557 0.27 1,520 Pan American Energy LLC 7.875 5/7/2021 1,573 0.75

Brazil Government Issues — 4.33% Bermuda — 0.29% BRL 3,450 Brazil Notas do Tesouro 600 Qtel International Finance Ltd. 4.750 2/16/2021 611 0.29 Nacional, Series F 10.000 1/1/2014 2,109 1.00 11,861 Brazil Notas do Tesouro Brazil — 1.71% Nacional, Series F 10.000 1/1/2017 7,003 3.33 577 Centrais Eletricas Brasileiras S.A. 6.875 7/30/2019 666 0.32 290 Gerdau Holdings, Inc. 7.000 1/20/2020 314 0.15 9,112 4.33 480 Hypermarcas S.A. 6.500 4/20/2021 466 0.22 1,170 Net Servicos de Indonesia Government Issues — 1.43% Comunicacao S.A. 7.500 1/27/2020 1,360 0.65 IDR 2,978,000 Indonesia Treasury Bond, 780 Telemar Norte Leste S.A. 5.500 10/23/2020 770 0.37 Series FR43 10.250 7/15/2022 428 0.20 1,229,000 Indonesia Treasury Bond, 3,576 1.71 Series FR40 11.000 9/15/2025 186 0.09 7,799,000 Indonesia Treasury Bond, British Virgin Islands — 0.29% Series FR42 10.250 7/15/2027 1,117 0.53 440 GTL Trade Finance, Inc. 7.250 10/20/2017 487 0.23 9,317,000 Indonesia Treasury Bond, 104 GTL Trade Finance, Inc., 144A 7.250 10/20/2017 115 0.06 Series FR45 9.750 5/15/2037 1,272 0.61 602 0.29 3,003 1.43 Cayman Islands — 3.45% Malaysia Government Bonds — 2.01% 950 Braskem Finance Ltd. 7.000 5/7/2020 1,019 0.48 MYR 9,900 Malaysia Government Bond, 640 Fibria Overseas Finance Ltd. 7.500 5/4/2020 659 0.31 Series 0110 3.835 8/12/2015 3,383 1.61 390 Fibria Overseas Finance Ltd. 6.750 3/3/2021 390 0.19 2,425 Malaysia Government Bond, 1,000 Odebrecht Finance Ltd. 7.000 4/21/2020 1,090 0.52 Series 0106 4.262 9/15/2016 846 0.40 590 Odebrecht Finance Ltd. 6.000 4/5/2023 587 0.28 1,805 Petrobras International 4,229 2.01 Finance Co. 6.875 1/20/2040 2,070 0.98 320 Petrobras International Mexico Government Issues — 4.44% Finance Co. 6.750 1/27/2041 361 0.17 MXN 89,292 Mexican Bonos, Series M 8.000 6/11/2020 8,269 3.93 1,130 Suzano Trading Ltd. 5.875 1/23/2021 1,094 0.52 10,100 Mexican Bonos, Series M 20 10.000 12/5/2024 1,082 0.51 7,270 3.45 9,351 4.44 Chile — 1.48% Peru Government Issues — 0.96% 490 AES Gener S.A. 5.250 8/15/2021 495 0.24 PEN 4,775 Peru Government Bond 7.840 8/12/2020 2,023 0.96 925 Celulosa Arauco y Poland Government Issues — 2.51% Constitucion S.A. 7.250 7/29/2019 1,081 0.51 PLN 14,880 Poland Government Bond, 1,005 Colbun S.A. 6.000 1/21/2020 1,058 0.50 Series 0415 5.500 4/25/2015 5,279 2.51 470 Inversiones CMPC S.A. 4.750 1/19/2018 480 0.23

Total Foreign Government Bonds and Notes (Cost $31,523) 33,554 15.95 3,114 1.48

U.S. Corporate Bonds and Notes — 4.47% Colombia — 1.11% Energy — 1.38% 1,500 Ecopetrol S.A. 7.625 7/23/2019 1,826 0.87 2,615 Pemex Project Funding Master 420 Empresas Publicas de Medellin Trust 6.625 6/15/2035 2,890 1.38 ESP 7.625 7/29/2019 497 0.24

Financials – Banks — 1.13% 2,323 1.11 IDR 18,500,000 JPMorgan Chase Bank NA 8.250 7/17/2021 2,385 1.13 Germany — 0.32% Financials – Diversified — 0.46% 650 Rearden G Holdings Eins GmbH 7.875 3/30/2020 673 0.32 1,000 Reliance Holdings USA, Inc. 4.500 10/19/2020 955 0.46

The accompanying notes are an integral part of the Financial Statements

62 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Emerging Markets Bond Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Denominated Bonds and Notes — (continued) Russia — 1.05% India — 0.21% 1,080 Lukoil International Finance BV 6.656 6/7/2022 1,120 0.53 480 ICICI Bank Ltd. * 6.375 4/30/2022 447 0.21 1,030 Novatek Finance Ltd. 6.604 2/3/2021 1,081 0.52

Indonesia — 0.52% 2,201 1.05 670 Pertamina Persero PT 5.250 5/23/2021 693 0.33 Thailand — 1.98% 390 Pertamina Persero PT, 144A 5.250 5/23/2021 406 0.19 380 True Move Co. Ltd., 144A 10.750 12/16/2013 399 0.19 1,099 0.52 2,909 True Move Co. Ltd. 10.750 12/16/2013 3,054 1.45 680 True Move Co. Ltd. 10.375 8/1/2014 711 0.34 Ireland — 0.51% 837 Vimpel Communications Via VIP 4,164 1.98 Finance Ireland Ltd. OJSC 8.375 4/30/2013 884 0.42 Trinidad And Tobago — 0.45% 200 Vimpel Communications Via VIP 780 Petroleum Co. of Trinidad & Finance Ireland Ltd. OJSC 6.493 2/2/2016 197 0.09 Tobago Ltd. 9.750 8/14/2019 944 0.45 1,081 0.51 United Arab Emirates — 0.57% Kyrgystan — 2.35% 1,105 Dolphin Energy Ltd. 5.888 6/15/2019 1,208 0.57 2,129 Vale Overseas Ltd. 8.250 1/17/2034 2,770 1.32 United Kingdom — 1.38% 1,885 Vale Overseas Ltd. 6.875 11/21/2036 2,159 1.03 1,338 Vedanta Resources PLC 8.750 1/15/2014 1,352 0.64 4,929 2.35 830 Vedanta Resources PLC 6.750 6/7/2016 788 0.37 770 Vedanta Resources PLC 9.500 7/18/2018 789 0.37 Luxembourg — 4.90% 975 CSN Resources S.A. 6.500 7/21/2020 1,035 0.49 2,929 1.38 220 Evraz Group S.A. 8.250 11/10/2015 233 0.11 Venezuela — 2.35% 610 Evraz Group S.A. 9.500 4/24/2018 676 0.32 7,175 Venezuela Government 3,310 Evraz Group S.A. 6.750 4/27/2018 3,202 1.52 International Bond 7.750 10/13/2019 4,951 2.35 353 TNK-BP Finance S.A. 6.625 3/20/2017 380 0.18 2,130 TNK-BP Finance S.A. 7.875 3/13/2018 2,431 1.16 Total U.S. Denominated Bonds and Notes (Cost $69,486) 71,674 34.08 270 TNK-BP Finance S.A., 144A 7.875 3/13/2018 308 0.15 1,939 Vimpel Communications OJSC U.S. Denominated Debt Obligations — 41.09% Via UBS Luxembourg S.A. 8.250 5/23/2016 2,031 0.97 Argentina — 3.58% 2,917 Argentina Bonos 7.000 10/3/2015 2,753 1.31 10,296 4.90 474 Argentina Bonos, Series VII 7.000 9/12/2013 479 0.23 3,264 Argentina Government Malaysia — 1.21% International Bond 8.280 12/31/2033 2,677 1.27 2,286 Petronas Capital Ltd. 5.250 8/12/2019 2,553 1.21 620 Argentina Government Mexico — 5.03% International Bond * 0.000 12/15/2035 108 0.05 3 America Movil SAB de CV 5.625 11/15/2017 3 – 1,510 Argentina Government 670 America Movil SAB de CV 6.125 3/30/2040 748 0.36 International Bond, Series 1 8.750 6/2/2017 1,510 0.72 2,529 Axtel SAB de CV 7.625 2/1/2017 2,377 1.13 7,527 3.58 56 Axtel SAB de CV, 144A 7.625 2/1/2017 53 0.02 2,664 Axtel SAB de CV 9.000 9/22/2019 2,538 1.21 Brazil — 1.27% 2,600 Grupo Televisa S.A. 6.625 1/15/2040 2,789 1.33 37 Brazilian Government 1,083 Petroleos Mexicanos 8.000 5/3/2019 1,366 0.65 International Bond 5.875 1/15/2019 44 0.02 640 Petroleos Mexicanos 5.500 1/21/2021 697 0.33 1,690 Brazilian Government International Bond 4.875 1/22/2021 1,872 0.89 10,571 5.03 512 Brazilian Government Netherlands — 1.51% International Bond 8.750 2/4/2025 749 0.36 630 Indosat Palapa Co. BV 7.375 7/29/2020 704 0.33 1 Brazilian Government 1,080 Lukoil International Finance BV 7.250 11/5/2019 1,188 0.57 International Bond, Series A 8.000 1/15/2018 1 – 430 Majapahit Holding BV 7.750 1/20/2020 524 0.25 2,666 1.27 800 VimpelCom Holdings 7.504 3/1/2022 763 0.36 Colombia — 4.47% 3,179 1.51 2,067 Colombia Government Qatar — 0.66% International Bond 7.375 3/18/2019 2,630 1.25 1,150 Ras Laffan Liquefied Natural Gas 400 Colombia Government Co. Ltd. III 6.750 9/30/2019 1,380 0.66 International Bond 4.375 7/12/2021 422 0.20 2,675 Colombia Government International Bond 7.375 9/18/2037 3,605 1.71

The accompanying notes are an integral part of the Financial Statements

63 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Emerging Markets Bond Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Denominated Debt Obligations — (continued) 4,480 Turkey Government Colombia — (continued) International Bond 6.750 5/30/2040 4,928 2.34 2,350 Colombia Government 19,411 9.22 International Bond 6.125 1/18/2041 2,755 1.31 Venezuela — 5.75% 9,412 4.47 2,158 Venezuela Government Indonesia — 1.56% International Bond 8.500 10/8/2014 1,948 0.93 910 Indonesia Government 8,971 Venezuela Government International Bond 5.875 3/13/2020 1,049 0.50 International Bond 5.750 2/26/2016 6,840 3.25 1,860 Indonesia Government 154 Venezuela Government International Bond 6.625 2/17/2037 2,223 1.06 International Bond 7.000 12/1/2018 105 0.05 3,400 Venezuela Government 3,272 1.56 International Bond 9.250 9/15/2027 2,397 1.14 1,155 Venezuela Government Mexico — 1.33% International Bond 9.375 1/13/2034 791 0.38 800 Mexico Government International Bond 5.125 1/15/2020 898 0.43 12,081 5.75 1,652 Mexico Government International Bond 6.050 1/11/2040 1,894 0.90 Total U.S. Denominated Debt Obligations (Cost $83,341) 86,419 41.09

2,792 1.33 U.S. Government Agency Discount Notes — 0.10% USD 210 FHLMC Corp. Discount Notes‡ zero Panama — 2.88% coupon 1/10/2012 210 0.10 646 Panama Government International Bond 7.250 3/15/2015 756 0.36 Total U.S. Government Agency Discount Notes (Cost $210) 210 0.10 4,275 Panama Government U.S. Treasury Obligations — 0.01% International Bond 6.700 1/26/2036 5,290 2.52 USD 15 U.S. Treasury Note 5.125 5/15/2016 18 0.01 6,046 2.88 Total U.S. Treasury Obligations (Cost $15) 18 0.01 Peru — 3.95% Repurchase Agreements — 2.38% 910 Peruvian Government 2,048 Credit Suisse First Boston, International Bond 7.125 3/30/2019 1,133 0.54 Repurchase Agreement 0.01% 1,050 Peruvian Government to be repurchased at International Bond 7.350 7/21/2025 1,370 0.65 $2,048,001 (collateralised 3,475 Peruvian Government by U.S. Treasury Note, 1.00% International Bond 8.750 11/21/2033 5,160 2.45 due 4/30/2012, market value 537 Peruvian Government $2,082,938) 0.010 9/1/2011 2,048 0.98 International Bond 6.550 3/14/2037 656 0.31 2,952 Bank of America Securities LLC, 8,319 3.95 Repurchase Agreement 0.02% to be repurchased at Poland — 1.01% $2,952,002 (collateralised 2,050 Poland Government by U.S. Treasury Note, 1.75% International Bond 5.125 4/21/2021 2,132 1.01 due 1/31/2014, market value $3,011,040) 0.020 9/1/2011 2,952 1.40 Russia — 6.07% 10,667 Russian Government Total Repurchase Agreements (Cost $5,000) 5,000 2.38 International Bond 7.500 3/31/2030 12,761 6.07 Total Investments (Cost $198,807) 206,272 98.08 Turkey — 9.22% 161 Turkey Government Other Assets in Excess of Liabilities 4,044 1.92 International Bond 7.250 3/15/2015 182 0.09 Total Net Assets $210,316 100.00 950 Turkey Government International Bond 7.500 7/14/2017 1,121 0.53 – Amounts designated as "-" are either $0, less than $1,000 or less than 1,000 1,030 Turkey Government shares. International Bond 7.000 3/11/2019 1,188 0.56 144A Securities exempt from registration under Rule 144A of the Securities Act of 1933, 2,030 Turkey Government as amended. These securities may only be resold, in transactions exempt from registration, to qualified institutional buyers. As at August 31, 2011, these securities International Bond 7.500 11/7/2019 2,426 1.15 amounted to $1,280,414 or 0.61% of net assets. 4,990 Turkey Government * Variable rate security. The interest rate shown reflects the rate in effect at International Bond 5.625 3/30/2021 5,332 2.54 August 31, 2011. 3,789 Turkey Government ‡ Security held as collateral for future contracts trading as at August 31, 2011. International Bond 6.875 3/17/2036 4,234 2.01

The accompanying notes are an integral part of the Financial Statements

64 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Emerging Markets Bond Fund

Portfolio of Investments as at August 31, 2011 – (continued)

ABBREVIATIONS: BRL – Brazilian Real EUR – Euro IDR – Indonesian Rupiah MXN – Mexican Peso MYR – Malaysian Ringgit PEN – Peruvian New Sol PLN – Polish Zloty USD – United States Dollar

ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR TRADED ON A REGULATED MARKET EXCEPT FOR FUTURES, FORWARDS AND SWAPS WHICH ARE FINANCIAL DERIVATIVE INSTRUMENTS DEALT IN ON A REGULATED MARKET AND REPURCHASE AGREEMENTS WHICH ARE MONEY MARKET INSTRUMENTS. % of Total Analysis of Total Assets Assets

Transferable securities admitted to an official exchange listing or traded on a regulated market 94.40 Money market instruments 2.35 Financial derivative instruments 0.00 Other assets 3.25

Total Assets 100.00

Schedule of Futures Contracts Net Unrealised Nominal Notional Notional Unrealised Unrealised Gain/ (Loss) Value Cost (000’s) Value (000’s) Gains (000’s) Losses (000’s) (000’s)

U.S. 10 Year Note December 2011 60 $7,741 $7,742 $1 – $1 U.S. 5 Year Note (CBT) December 2011 33 (4,043) (4,044) – $(1) (1)

Total Market Value of Future Contracts 93 $3,698 $3,698 $1 $(1) –

Schedule of Interest Rate Swaps Notional Amount Value Counterparty Rate Pay/Receive Rate % Expiration Date (000’s) (000’s)

Credit Suisse First Boston, Inc. Fixed (BRL) Receive 10.51% 1/2/12 2,520 $1,593 Credit Suisse First Boston, Inc. BRL – CDI Pay 12.13% 1/2/12 (2,520) (1,602) Credit Suisse First Boston, Inc. Fixed (BRL) Receive 10.56% 1/2/12 1,767 1,122 Credit Suisse First Boston, Inc. BRL – BBA Libor 3 Month Pay 8.62% 1/2/12 (1,767) (1,168)

($55)

Interest Rate Swaps – Total Financial Assets at Fair Value – Interest Rate Swaps – Total Financial Liabilities at Fair Value (55)

Interest Rate Swaps – Total Financial Assets and Liabilities at Fair Value ($55)

Schedule of Forward Contracts

Contracts to Receive Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/30/2011 Barclays EUR 98 141 142 (1) 9/30/2011 Barclays EUR 150 215 216 (1) 9/30/2011 Citicorp Securities London Ltd. EUR 3,681 5,286 5,309 (23) 9/30/2011 Citicorp Securities London Ltd. EUR 1,376 1,976 1,985 (9) 9/30/2011 JPMorgan Chase Bank London EUR 185 265 266 (1) 9/30/2011 Morgan Stanley EUR 144 207 208 (1) 9/30/2011 UBS (FX) EUR 29 41 41 –

The accompanying notes are an integral part of the Financial Statements

65 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Emerging Markets Bond Fund

Portfolio of Investments as at August 31, 2011 – (continued)

Contracts to Receive Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/30/2011 UBS (FX) EUR 542 779 782 (3) 9/30/2011 Barclays GBP 918 1,489 1,501 (12) 9/30/2011 Barclays GBP 470 762 766 (4) 9/30/2011 Citicorp Securities London Ltd. GBP 9,619 15,608 15,744 (136) 9/30/2011 Citicorp Securities London Ltd. GBP 26 41 41 – 9/30/2011 Credit Suisse First Boston London GBP 1,081 1,754 1,769 (15) 9/30/2011 Societe Generale GBP 1,922 3,119 3,145 (26) 9/30/2011 Citicorp Securities London Ltd. SGD 715 594 592 2 11/16/2011 JPMorgan Chase Bank London BRL 1,767 1,096 1,100 (4) $ (354)

Contracts to Deliver Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/15/2011 JPMorgan Chase Bank London EUR (5,619) $ (8,070) $ (7,951) $ (119) 9/30/2011 Barclays EUR (561) (806) (809) 3 9/30/2011 Barclays GBP (2) (3) (3) – 9/30/2011 Citicorp Securities London Ltd. GBP (12) (19) (19) – 9/30/2011 Citicorp Securities London Ltd. SGD (25) (21) (21) – $ (116) Unrealised Appreciation of Forward Foreign Currency Contracts 5 Unrealised Depreciation of Forward Foreign Currency Contracts (475) Net Unrealised Depreciation of Forward Foreign Currency Contracts $ (470)

The accompanying notes are an integral part of the Financial Statements

66 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global High Yield Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

Foreign Corporate Bonds and Notes — 5.57% 1,303,000 Indonesia Treasury Bond, British Pound Sterling Bonds — 2.00% Series FR40 11.000 9/15/2025 197 0.05 GBP 600 Anglian Water/Osprey Financing 1,591,000 Indonesia Treasury Bond, PLC 7.000 1/31/2018 929 0.24 Series FR42 10.250 7/15/2027 228 0.06 519 BAA SH PLC 7.125 3/1/2017 803 0.21 1,922,000 Indonesia Treasury Bond, 500 Boparan Finance PLC 9.875 4/30/2018 633 0.16 Series FR45 9.750 5/15/2037 262 0.07 390 DFS Furniture Holdings PLC 9.750 7/15/2017 547 0.14 1,052 0.27 769 Enterprise Inns PLC 6.500 12/6/2018 949 0.24 1,000 Gala Group Finance Ltd. 8.875 9/1/2018 1,347 0.34 Peru Government Issues — 0.14% 1,230 ING Groep NV * 5.140 Perpetual 1,458 0.37 PEN 1,330 Peru Government Bond 7.840 8/12/2020 564 0.14 600 Odeon & UCI Finco PLC 9.000 8/1/2018 891 0.22 273 Thomas Cook Group PLC 7.750 6/22/2017 333 0.08 Total Foreign Government Bonds and Notes (Cost $4,654) 5,171 1.31

7,890 2.00 U.S. Corporate Bonds and Notes — 53.17% Advertising — 0.31% Euro Bonds — 3.57% 1,240 Good Sam Enterprises LLC 11.500 12/1/2016 1,215 0.31 EUR 230 ALBA Group PLC & Co. KG 8.000 5/15/2018 322 0.08 238 Beverage Packaging Holdings Aerospace/Defense — 0.77% Luxembourg II S.A. 8.000 12/15/2016 267 0.07 640 Ducommun, Inc., 144A 9.750 7/15/2018 643 0.16 850 Boardriders S.A. 8.875 12/15/2017 1,209 0.31 390 Kratos Defense & Security 1,504 Boats Investments BV 9.031 12/15/2015 1,491 0.38 Solutions, Inc., 144A 10.000 6/1/2017 397 0.10 1,234 Boats Investments BV 11.000 3/31/2017 1,228 0.31 950 Kratos Defense & Security 382 Clondalkin Industries BV 8.000 3/15/2014 483 0.12 Solutions, Inc. 10.000 6/1/2017 976 0.25 800 CMA CGM S.A. 8.875 4/15/2019 517 0.13 960 Triumph Group, Inc. 8.625 7/15/2018 1,022 0.26 950 Edcon Proprietary Ltd. * 4.721 6/15/2014 1,044 0.27 3,038 0.77 100 Edcon Proprietary Ltd. 9.500 3/1/2018 113 0.03 800 ELM BV for Swiss Reinsurance Agriculture — 0.15% Co. * 5.252 Perpetual 954 0.24 650 Alliance One International, Inc. 10.000 7/15/2016 587 0.15 575 Europcar Groupe S.A. 9.375 4/15/2018 677 0.17 800 Fiat Finance & Trade S.A. 6.125 7/8/2014 1,086 0.27 Airlines — 1.25% 1,296 HBOS PLC * 1.730 9/1/2016 1,472 0.37 755 American Airlines Pass Through 50 Intesa Sanpaolo S.p.A. * 8.375 Perpetual 59 0.02 Trust, Series 2011-1, Class B, 200 Intesa Sanpaolo S.p.A. * 9.500 Perpetual 239 0.06 144A 7.000 1/31/2018 649 0.16 280 Labco SAS 8.500 1/15/2018 350 0.09 86 Continental Airlines Pass 500 Ontex IV S.A. 9.000 4/15/2019 560 0.14 Through Trust, Series 2007-1, 400 Polish Television Holding BV 11.250 5/15/2017 575 0.15 Class C 7.339 4/19/2014 83 0.02 150 Seat Pagine Gialle S.p.A. 10.500 1/31/2017 177 0.04 94 Continental Airlines Pass 235 Sunrise Communications Through Trust, Series 2001-1, Holdings S.A. 8.500 12/31/2018 324 0.08 Class B 7.370 12/15/2015 94 0.02 198 Sunrise Communications 165 Continental Airlines Pass International S.A. 7.000 12/31/2017 275 0.07 Through Trust, Series 2009-2, 125 TVN Finance Corp. III AB 7.875 11/15/2018 171 0.04 Class B 9.250 5/10/2017 165 0.04 350 UCB SA * 7.750 Perpetual 506 0.13 690 Continental Airlines, Inc., 144A 6.750 9/15/2015 673 0.17 1,424 Delta Air Lines, Inc., Series 071C 8.954 8/10/2014 1,438 0.37 14,099 3.57 193 Delta Air Lines, Inc., 144A 9.500 9/15/2014 198 0.05 181 Delta Air Lines, Inc., Series B 9.750 12/17/2016 185 0.05 Total Foreign Corporate Bonds and Notes (Cost $24,592) 21,989 5.57 409 Delta Air Lines, Inc., Series 071B 8.021 8/10/2022 409 0.10 Foreign Government Bonds and Notes — 1.31% 1,026 United Air Lines, Inc., 144A 9.875 8/1/2013 1,057 0.27 Argentina Government Issues — 0.03% 4,951 1.25 ARS 2,352 Argentina Government International Bond * 2.458 12/15/2035 95 0.03 Apparel — 0.50% 1,770 Oxford Industries, Inc. 11.375 7/15/2015 1,965 0.50 Brazil Government Issues — 0.87% BRL 660 Brazil Notas do Tesouro Auto Manufacturers — 0.00% Nacional, Series F 10.000 1/1/2014 403 0.10 1,590 General Motors Co. Escrow † zero 5,177 Brazil Notas do Tesouro coupon Perpetual 12 – Nacional, Series F 10.000 1/1/2017 3,057 0.77 265 General Motors Co. Escrow † zero coupon Perpetual 2 – Indonesia Government Issues — 0.27% IDR 2,541,000 Indonesia Treasury Bond, 14 – Series FR43 10.250 7/15/2022 365 0.09

The accompanying notes are an integral part of the Financial Statements

67 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global High Yield Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Corporate Bonds and Notes — (continued) 340 Crosstex Energy LP / Crosstex Basic Materials — 2.23% Energy Finance Corp. 8.875 2/15/2018 352 0.09 240 Appleton Papers, Inc., 144A 10.500 6/15/2015 241 0.06 962 Denbury Resources, Inc. 8.250 2/15/2020 1,014 0.26 1,081 Appleton Papers, Inc. 11.250 12/15/2015 1,054 0.27 790 Energy Transfer Equity LP 7.500 10/15/2020 810 0.20 500 Georgia Gulf Corp. 9.000 1/15/2017 511 0.13 1,440 EXCO Resources, Inc. 7.500 9/15/2018 1,354 0.34 380 Hercules, Inc. 6.500 6/30/2029 296 0.08 100 First Wind Capital LLC, 144A 10.250 6/1/2018 96 0.02 1,130 Longview Fibre Paper & 500 Forest Oil Corp. 8.500 2/15/2014 535 0.14 Packaging, Inc., 144A 8.000 6/1/2016 1,119 0.28 2,165 Hercules Offshore, Inc., 144A 10.500 10/15/2017 2,132 0.54 623 Lyondell Chemical Co., 144A 8.000 11/1/2017 690 0.17 100 James River Coal Co., 144A 3.125 3/15/2018 75 0.02 1,920 Lyondell Chemical Co. 11.000 5/1/2018 2,143 0.54 2,210 Key Energy Services, Inc. 6.750 3/1/2021 2,166 0.55 480 NewPage Corp. 11.375 12/31/2014 422 0.11 420 MarkWest Energy Partners LP / 2,110 Ryerson Holding Corp. zero MarkWest Energy Finance coupon 2/1/2015 1,055 0.27 Corp., Series B 8.750 4/15/2018 442 0.11 335 Solutia, Inc. 8.750 11/1/2017 356 0.09 440 MarkWest Energy Partners LP / 390 Solutia, Inc. 7.875 3/15/2020 416 0.11 MarkWest Energy Finance Corp. 6.750 11/1/2020 451 0.11 150 Southern Copper Corp. 6.750 4/16/2040 158 0.04 1,390 MarkWest Energy Partners LP / 370 Verso Paper Holdings LLC / MarkWest Energy Finance Corp. 6.500 8/15/2021 1,418 0.36 Verso Paper, Inc. 8.750 2/1/2019 295 0.08 1,530 Milagro Oil & Gas, 144A 10.500 5/15/2016 1,308 0.33 1,150 Oil States International, Inc., 8,756 2.23 144A 6.500 6/1/2019 1,150 0.29 Building Materials — 0.20% 660 Parker Drilling Co. 9.125 4/1/2018 687 0.17 840 Building Materials Corp. of 280 Peabody Energy Corp. 7.875 11/1/2026 306 0.08 America, 144A 6.750 5/1/2021 804 0.20 430 Plains Exploration & Production Co. 10.000 3/1/2016 475 0.12 Commercial Services — 3.55% 1,230 Plains Exploration & 1,000 Altegrity, Inc., 144A 10.500 11/1/2015 965 0.24 Production Co. 8.625 10/15/2019 1,335 0.34 1,550 American Reprographics Co. 10.500 12/15/2016 1,442 0.37 3,240 Quicksilver Resources, Inc. 11.750 1/1/2016 3,572 0.90 240 Ashtead Capital, Inc., 144A 9.000 8/15/2016 244 0.06 120 Quicksilver Resources, Inc. 9.125 8/15/2019 123 0.03 1,897 Bankrate, Inc. 11.750 7/15/2015 2,144 0.54 360 Range Resources Corp. 8.000 5/15/2019 391 0.10 618 Ceridian Corp. 12.250 11/15/2015 571 0.14 950 Regency Energy Partners LP / 850 ExamWorks Group, Inc., 144A 9.000 7/15/2019 801 0.20 Regency Energy Finance Corp. 6.875 12/1/2018 969 0.25 970 The Geo Group, Inc. 7.750 10/15/2017 1,018 0.26 300 Regency Energy Partners LP / 1,460 NES Rentals Holdings, Inc., 144A 12.250 4/15/2015 1,343 0.34 Regency Energy Finance Corp. 6.500 7/15/2021 300 0.08 650 RSC Equipment Rental, Inc. / 2,550 Texas Competitive Electric RSC Holdings III LLC 8.250 2/1/2021 606 0.15 Holdings Co. LLC / TCEH 1,100 Service Corp. International 7.500 4/1/2027 1,029 0.26 Finance, Inc., 144A 11.500 10/1/2020 2,155 0.55 1,510 Sotheby’s 7.750 6/15/2015 1,601 0.41 970 Unit Corp. 6.625 5/15/2021 951 0.24 480 Stewart Enterprises, Inc. 6.500 4/15/2019 467 0.12 100 Whiting Petroleum Corp. 6.500 10/1/2018 100 0.03 285 Stonemor Operating LLC / 1,310 Xinergy Corp., 144A 9.250 5/15/2019 1,231 0.31 Cornerstone Family Services of WV / Osiris Holding 10.250 12/1/2017 275 0.07 34,089 8.63 1,545 Wyle Services Corp., 144A 10.500 4/1/2018 1,531 0.39 Entertainment — 0.64% 14,037 3.55 3,050 Mohegan Tribal Gaming Authority 8.000 4/1/2012 2,211 0.56 Diversified — 0.16% 300 Mohegan Tribal Gaming 600 Leucadia National Corp. 8.125 9/15/2015 644 0.16 Authority, 144A 11.500 11/1/2017 293 0.07 20 Pinnacle Entertainment, Inc. 8.750 5/15/2020 20 0.01 Energy — 8.63% 500 Arch Coal, Inc., 144A 7.000 6/15/2019 493 0.12 2,524 0.64 260 Berry Petroleum Co. 10.250 6/1/2014 291 0.07 1,060 Berry Petroleum Co. 6.750 11/1/2020 1,028 0.26 Financials – Banks — 0.82% 960 Calumet Specialty Products 760 Ally Financial, Inc. 6.250 12/1/2017 731 0.19 Partners LP/Calumet Finance 1,070 Ally Financial, Inc. 8.000 3/15/2020 1,081 0.27 Corp., 144A 9.375 5/1/2019 926 0.24 600 Bank of America Corp., 1,545 Chesapeake Energy Corp. 7.250 12/15/2018 1,661 0.42 Series K * 8.000 Perpetual 567 0.14 2,110 Complete Production Services, 870 NB Capital Trust II 7.830 12/15/2026 853 0.22 Inc. 8.000 12/15/2016 2,131 0.54 3,232 0.82 1,170 Concho Resources, Inc. 7.000 1/15/2021 1,199 0.30 430 Consol Energy, Inc. 8.250 4/1/2020 462 0.12

The accompanying notes are an integral part of the Financial Statements

68 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global High Yield Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Corporate Bonds and Notes — (continued) 1,850 Tenet Healthcare Corp. 6.875 11/15/2031 1,466 0.37 Financials – Diversified — 4.44% 11,740 2.97 1,156 AES Ironwood LLC 8.857 11/30/2025 1,185 0.30 640 Astoria Depositor Corp., 144A 8.144 5/1/2021 595 0.15 Home Builders — 0.35% 260 Capital One Capital V 10.250 8/15/2039 270 0.07 770 Shea Homes LP / Shea Homes EUR 1,450 Deutsche Postbank Funding Funding Corp., 144A 8.625 5/15/2019 650 0.17 Trust IV * 5.983 Perpetual 1,437 0.36 830 Standard Pacific Corp. 8.375 1/15/2021 714 0.18 125 Ford Motor Credit Co. LLC 7.500 8/1/2012 130 0.03 1,120 Ford Motor Credit Co. LLC 8.125 1/15/2020 1,252 0.32 1,364 0.35 2,430 Ford Motor Credit Co. LLC 5.875 8/2/2021 2,438 0.62 Household Products — 0.71% 1,260 Fresenius US Finance II, Inc., 170 American Greetings Corp., 144A 9.000 7/15/2015 1,405 0.36 Series 1 7.375 6/1/2016 167 0.04 1,100 General Motors Financial Co., 200 American Greetings Corp., Inc., 144A 6.750 6/1/2018 1,094 0.28 Series 2 7.375 6/1/2016 197 0.05 1,340 International Lease Finance 500 Reynolds Group Issuer, Inc. / Corp. 8.625 9/15/2015 1,367 0.34 Reynolds Group Issuer LLC, 1,220 International Lease Finance 144A 8.500 10/15/2016 511 0.13 Corp. 8.750 3/15/2017 1,254 0.32 420 Reynolds Group Issuer, Inc. / 560 International Lease Finance Reynolds Group Issuer LLC, Corp. 8.875 9/1/2017 573 0.15 144A 9.000 4/15/2019 378 0.09 1,680 International Lease Finance 430 Reynolds Group Issuer, Inc. / Corp. 8.250 12/15/2020 1,709 0.43 Reynolds Group Issuer LLC, 760 Landry’s Holdings, Inc., 144A 11.500 6/1/2014 747 0.19 144A 7.875 8/15/2019 426 0.11 80 MBNA Capital A, Series A 8.278 12/1/2026 80 0.02 1,360 Reynolds Group Issuer, Inc. / 1,630 SLM Corp. 8.000 3/25/2020 1,675 0.42 Reynolds Group Issuer LLC, 345 Snoqualmie Entertainment 144A 8.250 2/15/2021 1,146 0.29 Authority, 144A * 4.179 2/1/2014 306 0.08 2,825 0.71 17,517 4.44 Industrial — 4.67% Food — 1.48% 400 Berry Plastics Corp. 9.750 1/15/2021 371 0.09 925 Buffets Restaurants Holdings, 630 Enterprise Products Operating Inc. Escrow † ? e 0.000 11/1/2014 – – LLC, Series A * 8.375 8/1/2066 659 0.17 150 Bumble Bee Acquisition Corp., 395 Enterprise Products Operating 144A 9.000 12/15/2017 145 0.04 LLC, Series B * 7.034 1/15/2068 399 0.10 850 Del Monte Foods Co., 144A 7.625 2/15/2019 844 0.21 1,341 FGI Operating Co., Inc. 10.250 8/1/2015 1,422 0.36 560 Harmony Foods Corp., 144A 10.000 5/1/2016 556 0.14 2,770 Florida East Coast Holdings 2,585 Simmons Foods, Inc., 144A 10.500 11/1/2017 2,359 0.60 Corp., 144A 10.500 8/1/2017 2,648 0.67 1,030 Viskase Cos., Inc., 144A 9.875 1/15/2018 1,040 0.26 480 Florida East Coast Railway 890 Viskase Cos., Inc. Fungible, Corp., 144A 8.125 2/1/2017 478 0.12 144A 9.875 1/15/2018 899 0.23 2,480 Horizon Lines, Inc. † 4.250 8/15/2012 1,748 0.44 5,843 1.48 820 Huntington Ingalls Industries, Inc., 144A 6.875 3/15/2018 771 0.20 Healthcare – Products — 0.32% 2,720 Overseas Shipholding Group, 935 Biomet, Inc. 10.375 10/15/2017 987 0.25 Inc. 8.125 3/30/2018 2,312 0.58 260 Universal Hospital Services, Inc. 8.500 6/1/2015 258 0.07 1,710 Quality Distribution LLC/QD Capital Corp. 9.875 11/1/2018 1,708 0.43 1,245 0.32 1,821 RailAmerica, Inc. 9.250 7/1/2017 1,967 0.50 Healthcare – Services — 2.97% 225 Rock-Tenn Co. 9.250 3/15/2016 236 0.06 2,170 American Renal Associates 70 Southern Natural Gas Co. 8.000 3/1/2032 90 0.02 Holdings, Inc., 144A 9.750 3/1/2016 2,055 0.52 2,940 Syncreon Global Ireland Ltd. / 100 Community Health Systems, Inc. 8.875 7/15/2015 101 0.03 Syncreon Global Finance US, 4,586 CRC Health Corp. 10.750 2/1/2016 4,586 1.16 Inc., 144A 9.500 5/1/2018 2,771 0.70 100 Fresenius Medical Care 910 Tempel Steel Co., 144A 12.000 8/15/2016 908 0.23 US Finance, Inc. 6.875 7/15/2017 104 0.03 18,488 4.67 450 HCA, Inc. 9.875 2/15/2017 493 0.12 1,710 HCA, Inc. 6.500 2/15/2020 1,729 0.44 Insurance — 0.29% 640 INC Research LLC, 144A 11.500 7/15/2019 592 0.15 1,130 ING Capital Funding Trust III, 579 Tenet Healthcare Corp. 8.875 7/1/2019 614 0.15 Series 9 * 3.846 Perpetual 972 0.25

The accompanying notes are an integral part of the Financial Statements

69 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global High Yield Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Corporate Bonds and Notes — (continued) 120 Nielsen Finance LLC / Nielsen Insurance — (continued) Finance Co. 11.500 5/1/2016 136 0.03 140 Metlife Capital Trust IV, 144A 7.875 12/15/2037 143 0.04 2,000 Nielsen Finance LLC / Nielsen Finance Co., 144A 7.750 10/15/2018 2,065 0.52 1,115 0.29 1,340 Univision Communications, Inc., 144A 6.875 5/15/2019 1,240 0.31 Internet — 0.45% 1,800 Univision Communications, Inc., 1,400 Cogent Communications 144A 7.875 11/1/2020 1,728 0.44 Group, Inc., 144A 8.375 2/15/2018 1,461 0.37 295 NetFlix, Inc. 8.500 11/15/2017 325 0.08 19,175 4.85

1,786 0.45 Pharmaceuticals — 0.12% 490 Giant Funding Corp., 144A 8.250 2/1/2018 490 0.12 Leisure & Lodgings — 1.59% 240 Boyd Gaming Corp. 7.125 2/1/2016 200 0.05 Real Estate — 0.82% 1,610 Caesars Entertainment 296 Ashton Woods USA LLC/Ashton zero Operating Co., Inc. 10.750 2/1/2016 1,372 0.35 Woods Finance Co., 144A † coupon 6/30/2015 212 0.05 420 Caesars Entertainment 3,640 Realogy Corp., Series A, 144A 11.000 4/15/2014 3,021 0.77 Operating Co., Inc. 11.250 6/1/2017 453 0.11 1,847 CityCenter Holdings LLC / 3,233 0.82 CityCenter Finance Corp., 144A 10.750 1/15/2017 1,747 0.44 Retail — 2.27% 1,170 Downstream Development 920 Burlington Coat Factory Authority of the Quapaw Tribe Warehouse Corp., 144A 10.000 2/15/2019 858 0.22 of Oklahoma, 144A 10.500 7/1/2019 1,123 0.28 910 El Pollo Loco, Inc., 144A 17.000 1/1/2018 883 0.22 445 Inn of the Mountain Gods 670 Fiesta Restaurant Group, 144A 8.875 8/15/2016 665 0.17 Resort & Casino, 144A 8.750 11/30/2020 436 0.11 1,240 Gymboree Corp. 9.125 12/1/2018 1,073 0.27 40 MGM Resorts International 10.375 5/15/2014 44 0.01 350 Landry’s Restaurants, Inc., 144A 11.625 12/1/2015 368 0.09 970 MGM Resorts International 6.625 7/15/2015 873 0.22 1,260 Landry’s Restaurants, Inc. 11.625 12/1/2015 1,326 0.34 355 Station Casinos, Inc. † e 6.000 4/1/2012 – – 2,100 The Neiman Marcus Group, Inc. 7.125 6/1/2028 1,890 0.48 500 Station Casinos, Inc. † e 6.500 2/1/2014 – – 1,270 QVC, Inc., 144A 7.375 10/15/2020 1,365 0.34 455 Station Casinos, Inc. † e 7.750 8/15/2016 – – 530 Suburban Propane Partners LP / 190 Station Casinos, Inc. † e 6.625 3/15/2018 – – Suburban Energy Finance Corp. 7.375 3/15/2020 540 0.14 68 Sugarhouse HSP Gaming Prop Mezz LP / Sugarhouse HSP 8,968 2.27 Gaming Finance Corp., 144A 8.625 4/15/2016 68 0.02 Technology — 1.22% 6,316 1.59 15 First Data Corp. 10.550 9/24/2015 13 – 1,030 First Data Corp. 11.250 3/31/2016 865 0.22 Media — 4.85% 1,620 First Data Corp., 144A 7.375 6/15/2019 1,523 0.38 250 CCO Holdings LLC / CCO 780 Freescale Semiconductor, Inc., Holdings Capital Corp. 7.875 4/30/2018 260 0.07 144A 9.250 4/15/2018 821 0.21 2,150 CCO Holdings LLC / CCO 382 Freescale Semiconductor, Inc. 10.750 8/1/2020 400 0.10 Holdings Capital Corp. 8.125 4/30/2020 2,274 0.58 1,270 Sterling Merger, Inc., 144A 11.000 10/1/2019 1,240 0.31 4,255 Cengage Learning Acquisitions, Inc., 144A 10.500 1/15/2015 3,276 0.83 4,862 1.22 460 Cengage Learning Acquisitions, Inc., 144A 13.250 7/15/2015 336 0.09 Telecommunications — 4.45% 1,270 Charter Communications 820 Buccaneer Merger Sub, Inc., Operating Holdings LLC / 144A 9.125 1/15/2019 820 0.21 Charter Communications 195 Cincinnati Bell Telephone Co. Operating Holdings Capital LLC 6.300 12/1/2028 156 0.04 Corp. 6.500 4/30/2021 1,241 0.31 455 Cincinnati Bell, Inc. 8.250 10/15/2017 454 0.11 2,095 Charter Communications 630 MetroPCS Wireless, Inc. 7.875 9/1/2018 639 0.16 Operating LLC / Charter 248 Primus Telecommunications Communications Operating Holding, Inc., 144A 10.000 4/15/2017 237 0.06 Capital, 144A 10.875 9/15/2014 2,260 0.57 1,120 Sprint Capital Corp. 6.875 11/15/2028 1,002 0.25 300 CSC Holdings LLC 8.625 2/15/2019 331 0.08 5,270 Sprint Capital Corp. 8.750 3/15/2032 5,402 1.37 1,180 DISH DBS Corp. 7.875 9/1/2019 1,254 0.32 1,330 TW Telecom Holdings, Inc. 8.000 3/1/2018 1,370 0.35 330 DISH DBS Corp., 144A 6.750 6/1/2021 332 0.08 1,560 West Corp. 11.000 10/15/2016 1,595 0.40 2,710 LBI Media, Inc., 144A 9.250 4/15/2019 2,442 0.62 1,530 West Corp. 8.625 10/1/2018 1,492 0.38 1,740 West Corp. 7.875 1/15/2019 1,662 0.42

The accompanying notes are an integral part of the Financial Statements

70 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global High Yield Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Corporate Bonds and Notes — (continued) 520 Net Servicos de Telecommunications — (continued) Comunicacao S.A. 7.500 1/27/2020 605 0.15 2,850 Windstream Corp. 7.500 4/1/2023 2,757 0.70 3,583 0.90 17,586 4.45 British Virgin Islands — 0.10% Textiles — 0.14% 362 GTL Trade Finance, Inc. 7.250 10/20/2017 401 0.10 590 Empire Today LLC / Empire Canada — 1.35% Today Finance Corp., 144A 11.375 2/1/2017 552 0.14 810 MEG Energy Corp., 144A 6.500 3/15/2021 810 0.21 Utilities — 2.82% 2,020 Novelis, Inc. 8.750 12/15/2020 2,126 0.54 375 The AES Corp. 9.750 4/15/2016 414 0.10 1,020 Precision Drilling Corp. 6.625 11/15/2020 1,033 0.26 50 The AES Corp. 8.000 10/15/2017 53 0.01 1,480 Thompson Creek Metals Co., 260 Calpine Corp., 144A 7.500 2/15/2021 262 0.07 Inc., 144A 7.375 6/1/2018 1,350 0.34 960 Calpine Corp., 144A 7.875 1/15/2023 979 0.25 5,319 1.35 670 Energy Future Intermediate Holding Co. LLC 9.750 10/15/2019 653 0.16 Cayman Islands — 2.98% 1,940 Energy Future Intermediate 1,052 China Forestry Holdings Co. Holding Co. LLC / EFIH Finance, Ltd., 144A † 10.250 11/17/2015 810 0.20 Inc. 10.000 12/1/2020 1,957 0.50 1,290 Fibria Overseas Finance Ltd. 7.500 5/4/2020 1,329 0.34 900 Foresight Energy LLC / Foresight 970 Fibria Overseas Finance Ltd. 6.750 3/3/2021 970 0.25 Energy Corp., 144A 9.625 8/15/2017 905 0.23 1,120 Lonking Holdings Ltd., 144A 8.500 6/3/2016 1,064 0.27 452 Midwest Generation LLC, 1,500 Odebrecht Finance Ltd. 7.000 4/21/2020 1,635 0.41 Series B 8.560 1/2/2016 445 0.11 270 Odebrecht Finance Ltd. 6.000 4/5/2023 269 0.07 2,225 Mirant Americas Generation LLC 9.125 5/1/2031 2,092 0.53 2,070 Offshore Group Investments Ltd. 11.500 8/1/2015 2,205 0.56 1,257 Mirant Mid Atlantic Trust, 560 Offshore Group Investments Series C 10.060 12/30/2028 1,370 0.35 Ltd., 144A 11.500 8/1/2015 596 0.15 1,810 Reliant Energy Mid-Atlantic 505 Petrobras International Power Holdings LLC, Series C 9.681 7/2/2026 1,819 0.46 Finance Co. 6.875 1/20/2040 579 0.15 164 Sithe/Independence Funding 2,320 UPCB Finance III Ltd., 144A 6.625 7/1/2020 2,285 0.58 Corp., Series A 9.000 12/30/2013 182 0.05 11,742 2.98 11,131 2.82 Chile — 0.21% Total U.S. Corporate Bonds and Notes (Cost $216,961) 210,092 53.17 780 Colbun S.A. 6.000 1/21/2020 821 0.21

U.S. Denominated Bonds and Notes — 23.51% Colombia — 0.31% Argentina — 0.19% 720 Ecopetrol S.A. 7.625 7/23/2019 877 0.22 710 Pan American Energy LLC 7.875 5/7/2021 735 0.19 320 Empresas Publicas de Medellin ESP, 144A 7.625 7/29/2019 378 0.09 Australia — 1.11% 720 FMG Resources August 2006 Pty 1,255 0.31 Ltd., 144A 7.000 11/1/2015 718 0.18 2,680 Midwest Vanadium Pty Ltd., France — 0.48% 144A 11.500 2/15/2018 2,533 0.64 600 Cie Generale de Geophysique – 1,220 Mirabela Nickel Ltd., 144A 8.750 4/15/2018 1,135 0.29 Veritas 9.500 5/15/2016 631 0.16 330 Cie Generale de Geophysique – 4,386 1.11 Veritas 7.750 5/15/2017 332 0.08 1,500 CMA CGM S.A., 144A 8.500 4/15/2017 683 0.17 Bermuda — 1.83% 200 Credit Agricole S.A., 144A * 8.375 Perpetual 184 0.05 1,120 China Oriental Group Co. Ltd., 110 Societe Generale S.A. 8.750 Perpetual 102 0.02 144A 7.000 11/17/2017 1,008 0.26 1,180 Intelsat Jackson Holdings S.A. 9.500 6/15/2016 1,224 0.31 1,932 0.48 1,730 NCL Corp. Ltd. 11.750 11/15/2016 1,938 0.49 2,400 NCL Corp. Ltd., 144A 9.500 11/15/2018 2,484 0.63 Germany — 0.65% 590 Petroplus Finance Ltd., 144A 6.750 5/1/2014 531 0.14 2,340 Hapag-Lloyd AG, 144A 9.750 10/15/2017 1,907 0.48 650 Rearden G Holdings Eins GmbH 7.875 3/30/2020 673 0.17 7,185 1.83 2,580 0.65 Brazil — 0.90% 579 Gerdau Holdings, Inc. 7.000 1/20/2020 628 0.16 India — 0.43% 2,420 Hypermarcas S.A. 6.500 4/20/2021 2,350 0.59 1,814 ICICI Bank Ltd. * 6.375 4/30/2022 1,687 0.43

The accompanying notes are an integral part of the Financial Statements

71 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global High Yield Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Denominated Bonds and Notes — (continued) 1,010 Satmex Escrow S.A. de CV, Indonesia — 0.21% 144A 9.500 5/15/2017 991 0.25 740 Adaro Indonesia PT 7.625 10/22/2019 818 0.21 8,189 2.07 Ireland — 0.32% Netherlands — 0.98% 1,265 Vimpel Communications Via VIP 1,580 Indo Integrated Energy II BV 9.750 11/5/2016 1,746 0.44 Finance Ireland Ltd. OJSC 6.493 2/2/2016 1,247 0.32 380 Lukoil International Finance BV 7.250 11/5/2019 418 0.10 Japan — 0.13% 200 NXP BV / NXP Funding LLC, 510 The Dai-ichi Life Insurance Co. 144A 9.750 8/1/2018 210 0.05 Ltd., 144A * 7.250 Perpetual 519 0.13 1,590 VimpelCom Holdings 7.504 3/1/2022 1,516 0.39

Jersey — 0.33% 3,890 0.98 1,425 West China Cement Ltd., 144A 7.500 1/25/2016 1,297 0.33 Panama — 0.44% Kyrgystan — 0.30% 380 AES El Salvador Trust 6.750 2/1/2016 380 0.10 924 Vale Overseas Ltd. 8.250 1/17/2034 1,202 0.30 1,360 Seven Seas Cruises S de RL LLC, 144A 9.125 5/15/2019 1,346 0.34 Luxembourg — 3.49% 440 Ard Finance S.A., 144A 11.125 6/1/2018 364 0.09 1,726 0.44 1,291 CSN Resources S.A. 6.500 7/21/2020 1,370 0.35 Russia — 0.63% 2,000 Dematic S.A., 144A 8.750 5/1/2016 1,910 0.48 509 Lukoil International Finance BV 6.656 6/7/2022 528 0.13 710 Evraz Group S.A. 9.500 4/24/2018 787 0.20 1,900 Novatek Finance Ltd. 6.604 2/3/2021 1,995 0.50 3,940 Evraz Group S.A. 6.750 4/27/2018 3,812 0.96 100 Gazprom Via Gaz Capital S.A., 2,523 0.63 144A 6.510 3/7/2022 109 0.03 30 TNK-BP Finance S.A., 144A 6.625 3/20/2017 33 0.01 Spain — 0.14% 1,330 TNK-BP Finance S.A. 7.875 3/13/2018 1,518 0.38 630 Abengoa Finance SAU, 144A 8.875 11/1/2017 578 0.14 1,878 Vimpel Communications OJSC Sweden — 0.12% Via UBS Luxembourg S.A. 8.250 5/23/2016 1,967 0.50 499 Corral Petroleum Holdings AB, 120 Wind Acquisition Finance S.A., 144A † 15.000 9/18/2011 479 0.12 144A 11.750 7/15/2017 124 0.03 1,220 Wind Acquisition Finance S.A., Thailand — 0.58% 144A 7.250 2/15/2018 1,144 0.29 1,610 True Move Co. Ltd., 144A 10.750 12/16/2013 1,691 0.43 685 Wind Acquisition Holdings 540 True Move Co. Ltd. 10.750 12/16/2013 567 0.15 Finance S.A., 144A 12.250 7/15/2017 674 0.17 2,258 0.58 13,812 3.49 Trinidad And Tobago — 0.35% Mali — 0.79% 1,140 Petroleum Co. of Trinidad & 1,550 Navios Maritime Acquisition Tobago Ltd. 9.750 8/14/2019 1,379 0.35 Corp. / Navios Acquisition Finance US, Inc. 8.625 11/1/2017 1,292 0.33 United Kingdom — 2.09% 100 Navios Maritime Acquisition 860 Ineos Finance PLC, 144A 9.000 5/15/2015 871 0.22 Corp. / Navios Acquisition 1,330 Inmarsat Finance PLC, 144A 7.375 12/1/2017 1,383 0.35 Finance US, Inc., 144A 8.625 11/1/2017 83 0.02 1,560 Royal Bank of Scotland Group 730 Navios Maritime Holdings, Inc. / PLC * 7.648 Perpetual 1,170 0.30 Navios Maritime Finance II US, 2,050 Vedanta Resources PLC 8.750 1/15/2014 2,070 0.52 Inc., 144A 8.125 2/15/2019 595 0.15 2,110 Vedanta Resources PLC 6.750 6/7/2016 2,004 0.51 1,175 Teekay Corp. 8.500 1/15/2020 1,143 0.29 710 Vedanta Resources PLC 9.500 7/18/2018 728 0.19

3,113 0.79 8,226 2.09

Mexico — 2.07% Total U.S. Denominated Bonds and Notes (Cost $94,922) 92,882 23.51 1,650 Axtel SAB de CV 7.625 2/1/2017 1,551 0.39 U.S. Denominated Debt Obligations — 3.37% 1,460 Axtel SAB de CV 9.000 9/22/2019 1,391 0.35 Argentina — 0.78% 2,276 Kansas City Southern de 2,078 Argentina Bonos 7.000 10/3/2015 1,961 0.50 Mexico S.A. de CV 12.500 4/1/2016 2,643 0.67 67 Argentina Bonos, Series VII 7.000 9/12/2013 68 0.02 1,500 Kansas City Southern de 1,034 Argentina Government Mexico S.A. de CV 8.000 2/1/2018 1,613 0.41 International Bond 8.280 12/31/2033 848 0.21

The accompanying notes are an integral part of the Financial Statements

72 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global High Yield Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset (000’s) Asset (000’s) Rate % Date $ Value Shares/Units (000’s) $ Value

U.S. Denominated Debt Obligations — (continued) 50 Citigroup Capital XII 1,281 0.33 Argentina — (continued) 67 Citigroup Capital XIII 1,752 0.44 204 Argentina Government 299 GMAC Capital Trust I 6,392 1.62 International Bond, Series 1 8.750 6/2/2017 204 0.05 310 Santander Finance Preferred S.A. Unipersonal 313 0.08

3,081 0.78 Total Preferred Stock (Cost $13,829) 12,454 3.15

Indonesia — 0.07% Shares/Units (000’s) 215 Indonesia Government Warrants — 0.05% International Bond 6.625 2/17/2037 257 0.07 1 Charter Communications, Inc., Series CW14 14 – 7 General Motors Co., Series CW16 103 0.03 Peru — 0.00% 7 General Motors Co., Series CW19 71 0.02 12 Peruvian Government 2 Nortek, Inc., Series CW14 † 3 – International Bond 7.350 7/21/2025 16 – ? 4 SemGroup Corp., Series CW14 † 23 – Uruguay — 0.00% Total Warrants (Cost $273) 214 0.05 2 Uruguay Government International Bond 7.875 1/15/2033 3 – Total Investments (Cost $400,870) 382,377 96.78

Venezuela — 2.52% Other Assets in Excess of Liabilities 12,730 3.22 8,558 Venezuela Government International Bond 5.750 2/26/2016 6,525 1.65 Total Net Assets $395,107 100.00 2,750 Venezuela Government – Amounts designated as "-" are either $0, less than $1,000 or less than 1,000 International Bond 7.750 10/13/2019 1,898 0.48 shares. 2,100 Venezuela Government 144A Securities exempt from registration under Rule 144A of the Securities Act of 1933, International Bond 9.250 9/15/2027 1,480 0.37 as amended. These securities may only be resold, in transactions exempt from 3 Venezuela Government registration, to qualified institutional buyers. As at August 31, 2011, these securities International Bond, Oil-Linked zero amounted to $112,815,839 or 28.52% of net assets. Payment Obligation coupon 4/15/2020 69 0.02 * Variable rate security. The interest rate shown reflects the rate in effect at August 31, 2011. 9,972 2.52 † Illiquid. ? Security is valued in good faith at fair value by or at the discretion of the Investment Total U.S. Denominated Debt Obligations (Cost $14,070) 13,329 3.37 Manager. U.S. Government Agency Discount Notes — 0.02% e Security is in default as at August 31, 2011. USD 60 FHLMC Corp. Discount Notes‡ zero ‡ Security held as collateral for future contracts trading as at August 31, 2011. coupon 1/10/2012 60 0.02 ABBREVIATIONS: Total U.S. Government Agency Discount Notes (Cost $60) 60 0.02 Perpetual – A bond with no maturity date. Perpetual bonds are not redeemable but pay a Shares/Units (000’s) steady stream of interest. ARS – Argentine Peso Common Stock — 0.81% BRL – Brazilian Real – Ashton Woods USA LLC † ? 59 0.02 EUR – Euro 35 Charter Communications, Inc., Class A 1,749 0.44 GBP – British Pound 51 Deep Ocean Group Holdings A/S ? 713 0.18 IDR – Indonesian Rupiah 7 General Motors Co. 178 0.05 PEN – Peruvian New Sol 17 Georgia Gulf Corp. 358 0.09 USD – United States Dollar 2 Nortek, Inc. 41 0.01 4 SemGroup Corp., Class A 90 0.02 ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR TRADED ON A REGULATED MARKET EXCEPT FOR FUTURES, Total Common Stock (Cost $6,248) 3,188 0.81 FORWARDS AND SWAPTIONS WHICH ARE FINANCIAL DERIVATIVE INSTRUMENTS DEALT IN ON A REGULATED MARKET AND COLLECTIVE INVESTMENT SCHEMES. Shares/Units (000’s) % of Collective Investment Schemes — 5.82% (Cost $25,261) Total Analysis of Total Assets Assets 252 Legg Mason Global Funds PLC – Legg Mason Western Asset Euro High Yield Bond Fund ? 22,998 5.82 Transferable securities admitted to an official exchange listing or traded on a regulated market 90.54 % of Value Net Financial derivative instruments 0.08 (000’s) Asset Collective investment schemes 5.79 Shares/Units (000’s) $ Value Other assets 3.59 Preferred Stock — 3.15% 60 Banesto Holdings Ltd., 144A 1,540 0.39 Total Assets 100.00 1 Bank of America Corp. 1,176 0.29

The accompanying notes are an integral part of the Financial Statements

73 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global High Yield Fund

Portfolio of Investments as at August 31, 2011 – (continued)

Schedule of Futures Contracts Net Unrealised Nominal Notional Notional Unrealised Unrealised Gain/ (Loss) Value Cost (000’s) Value (000’s) Gains (000’s) Losses (000’s) (000’s)

U.S. 5 Year Note (CBT) December 2011 (97) $(11,875) $(11,887) – $(12) $(12) U.S. Ultra Bond (CBT) December 2011 24 3,476 3,436 – (40) (40)

Total Market Value of Future Contracts (73) $(8,399) $(8,451) – $(52) $(52)

Schedule of Swaptions Notional Amount Value Counterparty Description Expiration Date (000’s) (000’s)

BNP Paribas Swaption Receiver, Credit Event, Markit iTraxx Europe, Strike 0.990% 9/22/2011 71,310 $(207) BNP Paribas Swaption Receiver, Credit Event, Markit iTraxx Europe, Strike 1.025% 9/22/2011 93,710 28 BNP Paribas Swaption Receiver, Credit Event, Markit iTraxx Europe, Strike 1.035% 9/22/2011 93,710 (12)

Swaptions – Total Financial Assets at Fair Value $28 Swaptions – Total Financial Liabilities at Fair Value $(219)

Swaptions – Total Financial Assets and Financial Liabilities at Fair Value $(191)

Schedule of Forward Contracts

Contracts to Receive Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/30/2011 Barclays AUD 40 42 41 1 9/30/2011 Citicorp Securities London Ltd. AUD 3,074 3,272 3,201 71 9/30/2011 Citicorp Securities London Ltd. AUD 178 190 186 4 9/30/2011 Credit Suisse First Boston London AUD 200 213 212 1 9/30/2011 Credit Suisse First Boston London AUD 925 984 963 21 9/30/2011 Morgan Stanley Foreign Exchange AUD 671 715 702 13 9/30/2011 UBS (FX) AUD 20 21 21 – 9/30/2011 UBS (FX) AUD 809 861 844 17 9/30/2011 Citicorp Securities London Ltd. GBP 309 501 503 (2) 9/30/2011 Citicorp Securities London Ltd. SGD 670 557 556 1 11/16/2011 Barclays AUD 76 80 77 3 11/16/2011 Citicorp Securities London Ltd. EUR 2,922 4,194 4,162 32 11/16/2011 UBS (FX) EUR 3,122 4,480 4,432 48 11/16/2011 UBS (FX) EUR 1,305 1,873 1,858 15 11/16/2011 UBS (FX) GBP 1,097 1,779 1,774 5 $ 273

Contracts to Deliver Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/30/2011 Barclays SGD (13) $ (10) $ (10) – 9/30/2011 Citicorp Securities London Ltd. SGD (10) (8) (8) – 11/16/2011 Citicorp Securities London Ltd. AUD (72) (76) (73) (3) 11/16/2011 Credit Suisse First Boston London EUR (800) (1,148) (1,140) (8) 11/16/2011 Deutsche Bank London EUR (1,119) (1,606) (1,585) (21) 11/16/2011 JPMorgan Chase Bank London EUR (3,832) (5,500) (5,497) (3) 11/16/2011 Royal Bank of Scotland EUR (2,500) (3,588) (3,537) (51) 11/16/2011 UBS (FX) EUR (11,129) (15,972) (15,711) (261) 11/16/2011 BNP Paribas GBP (1,100) (1,784) (1,796) 12

The accompanying notes are an integral part of the Financial Statements

74 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global High Yield Fund

Portfolio of Investments as at August 31, 2011 – (continued)

Contracts to Deliver Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 11/16/2011 Citicorp Securities London Ltd. GBP (400) (649) (653) 4 11/16/2011 UBS (FX) GBP (4,715) (7,647) (7,606) (41) $ (372) Unrealised Appreciation of Forward Foreign Currency Contracts 291 Unrealised Depreciation of Forward Foreign Currency Contracts (390) Net Unrealised Depreciation of Forward Foreign Currency Contracts $ (99)

The accompanying notes are an integral part of the Financial Statements

75 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US Short-Term Government Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

Collateralised Mortgage-Backed Obligations — 0.01% 191 FNMA Remics, Series 63 * 6.462 7/25/2041 27 0.08 2 Morgan Stanley Capital I, 4,744 13.41 Series LIFE * 7.054 4/15/2033 2 0.01 Government National Mortgage Association (GNMA) — 6.89% Total Collateralised Mortgage-Backed Obligations (Cost $2) 2 0.01 USD 52 GNMA, Pool #385981 9.000 11/15/2024 63 0.18 Corporate Bonds and Notes — 3.96% 399 GNMA, Pool #780162 8.500 6/15/2025 478 1.35 Financials – Banks — 3.96% 40 GNMA, Pool #405539 8.500 12/15/2025 48 0.14 USD 75 Lehman Escrow Receipt ? zero 98 GNMA, Series 70 * 6.492 12/16/2036 20 0.06 coupon Perpetual – – 94 GNMA, Series 107 * 5.937 2/20/2038 15 0.04 700 State Street Bank and Trust 96 GNMA, Series 160 * 6.337 10/20/2038 15 0.04 Co. * 0.447 9/15/2011 700 1.98 138 GNMA, Series 3 * 6.337 11/20/2038 22 0.06 700 Wells Fargo & Co. * 1.102 12/9/2011 702 1.98 100 GNMA, Series 39 * 6.337 11/20/2038 16 0.05 104 GNMA, Series 31 * 6.287 3/20/2039 18 0.05 Total Corporate Bonds and Notes (Cost $1,402) 1,402 3.96 96 GNMA, Series 146 * 5.887 6/20/2039 18 0.05 U.S. Government Agency Discount Notes — 21.76% 60 GNMA, Series 61 * 6.487 8/20/2039 9 0.03 USD 2,600 FHLMC Corp. Discount Notes, zero 533 GNMA, Series 117 * 5.787 10/20/2039 93 0.26 Series RB coupon 1/12/2012 2,600 7.35 94 GNMA, Series 85 * 6.437 1/20/2040 16 0.05 2,600 FNMA Discount Notes zero 88 GNMA, Series 68 5.637 6/20/2040 13 0.04 coupon 12/7/2011 2,600 7.34 87 GNMA, Series 91 * 6.357 7/20/2040 13 0.04 2,505 FNMA Discount Notes zero 178 GNMA, Series 113 * 5.787 9/20/2040 30 0.08 coupon 2/1/2012 2,504 7.07 90 GNMA, Series 113 * 5.837 9/20/2040 14 0.04 158 GNMA, Series 151 * 5.837 11/20/2040 26 0.07 Total U.S. Government Agency Discount Notes (Cost $7,702) 7,704 21.76 95 GNMA, Series 147 6.437 11/20/2040 22 0.06 97 GNMA, Pool #4923 4.500 1/20/2041 105 0.30 U.S. Government Agency Mortgage-Backed Securities — 29.38% 393 GNMA, Pool #4978 4.500 3/20/2041 426 1.20 Federal Home Loan Mortgage Corporation (FHLMC) — 9.08% 98 GNMA, Series 81 5.187 6/20/2041 17 0.05 USD 3 FHLMC Corp., Pool #G11169 7.500 10/1/2014 4 0.01 400 GNMA, 30 Year September 255 FHLMC Corp., Pool #G80176 8.000 12/17/2023 300 0.85 TBA± 4.500 9/15/2041 433 1.22 414 FHLMC Corp., Pool #G00767 7.500 8/1/2027 481 1.36 195 GNMA, Series H26 * 0.535 8/20/2058 192 0.54 191 FHLMC Corp., Pool #G80210 8.000 8/20/2027 225 0.63 130 GNMA, Series H22 * 0.535 5/20/2059 129 0.36 349 FHLMC Corp., Pool #G80204 8.500 10/20/2027 422 1.19 186 GNMA, Series H10 * 1.187 5/20/2060 189 0.53 165 FHLMC Corp., Pool #G00921 7.500 4/1/2028 192 0.54 247 FHLMC Corp., Pool #C14619 7.500 9/1/2028 287 0.81 2,440 6.89 30 FHLMC Corp., Pool #N30699 7.000 8/1/2030 34 0.10 530 FHLMC Non Gold, Pool Total U.S. Government Agency Mortgage-Backed Securities #555537 9.500 1/1/2021 599 1.69 (Cost $9,644) 10,400 29.38 643 FHLMC Non Gold, Pool U.S. Government Agency Obligation — 0.06% (Cost $20) #789586 * 2.378 7/1/2032 672 1.90 Federal National Mortgage Association (FNMA) — 0.06% 3,216 9.08 USD 20 FNMA, Series 1 4.750 11/19/2012 21 0.06

Federal National Mortgage Association (FNMA) — 13.41% U.S. Treasury Obligations — 44.14% USD 289 FNMA, Pool #545816 8.000 3/1/2017 320 0.90 USD 540 U.S. Treasury Bond 4.625 2/15/2040 643 1.81 200 FNMA, Pool #545854 8.500 3/1/2017 222 0.63 20 U.S. Treasury Bond 4.250 11/15/2040 22 0.06 84 FNMA, Pool #555210 6.500 10/1/2017 87 0.25 20 U.S. Treasury Bond 4.750 2/15/2041 24 0.07 250 FNMA, Pool #705794 7.000 1/1/2018 264 0.74 140 U.S. Treasury Inflationary Index 66 FNMA, Pool #698486 7.000 1/1/2018 70 0.20 Bond‡ I 2.375 1/15/2027 195 0.55 97 FNMA, Pool #633510 8.000 6/1/2018 115 0.32 80 U.S. Treasury Inflationary Index 326 FNMA, Pool #516216 8.000 8/1/2019 372 1.05 BondI 2.125 2/15/2040 103 0.29 129 FNMA, Pool #516217 8.500 8/1/2019 148 0.42 80 U.S. Treasury Inflationary Index 728 FNMA, Pool #555319 7.500 3/1/2021 842 2.38 BondI 2.125 2/15/2041 102 0.29 471 FNMA, Pool #545746 8.000 10/1/2021 545 1.54 90 U.S. Treasury Note 4.875 2/15/2012 92 0.26 88 FNMA, Pool #612040 9.500 10/1/2024 104 0.29 3,970 U.S. Treasury Note 2.250 1/31/2015 4,212 11.90 201 FNMA, Pool #547542 8.500 10/1/2026 236 0.67 380 U.S. Treasury Note 1.875 6/30/2015 399 1.13 142 FNMA, Pool #595463 8.500 4/1/2027 166 0.47 550 U.S. Treasury Note 2.125 2/29/2016 583 1.65 434 FNMA, Pool #555318 7.000 4/1/2032 509 1.44 1,970 U.S. Treasury Note 3.125 1/31/2017 2,181 6.16 129 FNMA, Pool #555194 8.000 5/1/2032 152 0.43 170 U.S. Treasury Note 2.750 5/31/2017 185 0.52 500 FNMA, 30 Year October TBA± 6.000 10/15/2041 552 1.56 90 U.S. Treasury Note 1.875 8/31/2017 93 0.26 80 FNMA Remics, Series 118 * 6.282 10/25/2040 13 0.04 520 U.S. Treasury Note 2.750 12/31/2017 564 1.59 290 U.S. Treasury Note 2.625 1/31/2018 312 0.88 300 U.S. Treasury Note 2.875 3/31/2018 328 0.92

The accompanying notes are an integral part of the Financial Statements

76 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US Short-Term Government Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of Value Net Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value

U.S. Treasury Obligations — (continued) 30 U.S. Treasury Note 2.625 4/30/2018 32 0.09 310 U.S. Treasury Note 3.625 8/15/2019 353 1.00 810 U.S. Treasury Note 3.375 11/15/2019 906 2.56 2,380 U.S. Treasury Note 3.500 5/15/2020 2,679 7.57 400 U.S. Treasury Note 3.625 2/15/2021 452 1.28 930 U.S. Treasury Note 3.125 5/15/2021 1,007 2.84 240 U.S. Treasury Strip Principal zero coupon 11/15/2024 162 0.46

Total U.S. Treasury Obligations (Cost $14,494) 15,629 44.14

Total Investments (Cost $33,264) 35,158 99.31

Other Assets in Excess of Liabilities 246 0.69

Total Net Assets $35,404 100.00

– Amounts designated as "-" are either $0, less than $1,000 or less than 1,000 shares. * Variable rate security. The interest rate shown reflects the rate in effect at August 31, 2011. ? Security is valued in good faith at fair value by or at the discretion of the Investment Manager. ± Securities purchased on a to-be-announced basis. ‡ Security held as collateral for future contracts trading as at August 31, 2011. I The rate of interest on this type of security is tied to the Consumer Price Index (CPI). The coupon rate is the rate as of August 31, 2011.

ABBREVIATIONS: TBA – To Be Announced Perpetual – A bond with no maturity date. Perpetual bonds are not redeemable but pay a steady stream of interest. USD – United States Dollar

ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR TRADED ON A REGULATED MARKET EXCEPT FOR FUTURES WHICH ARE FINANCIAL DERIVATIVE INSTRUMENTS DEALT IN ON A REGULATED MARKET. % of Total Analysis of Total Assets Assets

Transferable securities admitted to an official exchange listing or traded on a regulated market 94.18 Financial derivative instruments 0.04 Other assets 5.78

Total Assets 100.00

Schedule of Futures Contracts Net Unrealised Nominal Notional Notional Unrealised Unrealised Gain/ (Loss) Value Cost (000’s) Value (000’s) Gains (000’s) Losses (000’s) (000’s)

U.S. 10 Year Note December 2011 (77) $(9,949) $(9,935) $14 – $14 U.S. 2 Year Note (CBT) December 2011 (9) (1,984) (1,985) – $(1) (1) U.S. 5 Year Note (CBT) December 2011 (11) (1,347) (1,348) – (1) (1) U.S. Long Bond (CBT) December 2011 3 411 408 – (3) (3)

Total Market Value of Future Contracts (94) $(12,869) $(12,860) $14 $(5) $9

The accompanying notes are an integral part of the Financial Statements

77 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US Adjustable Rate Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

Asset-Backed Securities — 22.04% 354 Countrywide Home Loan USD 12 Ameriquest Mortgage Mortgages Pass Through Trust, Securities, Inc., Series 2003-8, Series 2005-3, Class 1A2 * 0.508 4/25/2035 214 0.89 Class AV2 * 1.078 10/25/2033 12 0.05 462 Countrywide Home Loan 133 Argent Securities, Inc., Mortgages Pass Through Trust, Series 2004-W10, Class A2 * 0.608 10/25/2034 117 0.49 Series 3, Class 2A1 * 0.468 3/25/2036 280 1.17 588 Bear Stearns Asset Backed 203 First Horizon Asset Securities, Securities Trust, Inc., Series 2005-AR2, Series 2004-B01, Class 2A2 * 0.618 9/25/2034 550 2.30 Class 1A1 * 2.661 5/25/2035 172 0.72 410 Bear Stearns Asset Backed 120 FNMA Grantor Trust, Series T2 2.500 8/25/2051 120 0.50 Securities Trust, Series 2003-1, 151 GSR Mortgage Loan Trust, Class A1 * 1.218 11/25/2042 351 1.47 Series 2004-11, Class 1A1 * 2.778 9/25/2034 121 0.51 204 Business Loan Express, 181 Impac CMB Trust, Series 8, Series 2002-AA, Class A, 144A * 0.868 6/25/2028 104 0.43 Class 1A2 * 1.218 10/25/2033 157 0.66 498 Business Loan Express, 181 Impac Secured Assets CMN Series 2003-2A, Class A, 144A * 1.018 1/25/2032 365 1.53 Owner Trust, Series 3, 260 Chase Issuance Trust, Class 1A4 * 1.018 11/25/2034 164 0.68 Series A5 * 0.227 11/15/2013 260 1.09 293 New York Mortgage Trust, Inc., 276 Countrywide Asset-Backed Series 2, Class A * 0.548 8/25/2035 245 1.02 Certificates, Series 2004-6, 74 Residential Asset Securitization Class 2A4 * 0.668 11/25/2034 237 0.99 Trust, Series A5, Class A5 * 0.718 6/25/2033 71 0.30 160 GMAC Mortgage Servicer 709 Residential Asset Securitization Advance Funding Co. Ltd., Trust, Series A2, Class 1A3 * 0.618 5/25/2034 677 2.83 Series 1X ? 3.720 3/15/2023 161 0.67 123 Structured Adjustable Rate 494 GSAMP Trust, Mortgage Loan Trust, Series 1, Series 2006-SEA1, Class A, Class 2A * 0.528 2/25/2034 92 0.38 144A * 0.518 5/25/2036 401 1.68 472 Structured Adjustable Rate 320 Honda Auto Receivables Owner Mortgage Loan Trust, Series 7, Trust, Series 2 0.570 7/18/2013 320 1.34 Class A1 * 0.623 6/25/2034 345 1.44 94 Option One Mortgage Loan 319 Structured Adjustable Rate Trust, Series 3, Class A1 * 0.718 8/25/2032 70 0.29 Mortgage Loan Trust, Series 17, 173 Option One Mortgage Loan Class A1 * 2.136 11/25/2034 267 1.12 Trust, Series 3, Class A2 * 0.758 8/25/2032 128 0.53 540 Structured Asset Investment 767 Renaissance Home Equity Loan Loan Trust, Series BC1, Trust, Series 2, Class A * 0.658 8/25/2033 683 2.85 Class A2 * 0.898 1/25/2033 448 1.87 1,526 Renaissance Home Equity Loan 410 Structured Asset Mortgage Trust, Series 3, Class A * 0.718 12/25/2033 1,235 5.16 Investments, Inc., 6 Saxon Asset Securities Trust, Series 2003-CL1, Class 1F2 * 0.818 7/25/2032 388 1.62 Series 2002-1, Class AV1 * 0.718 3/25/2032 4 0.02 450 Structured Asset Securities 14 SLC Student Loan Trust, Corp., Series 3, Class 2A9 * 1.218 3/25/2028 396 1.65 Series 2 * 0.247 3/15/2018 14 0.06 1,011 Structured Asset Securities 170 SLM Student Loan Trust, Corp., Series 8, Class M1 * 1.158 8/25/2028 772 3.23 Series 4 * 0.383 1/25/2019 169 0.70 122 Structured Asset Securities 123 Specialty Underwriting & Corp., Series 2003-8, Residential Finance, Class 2A9 * 0.718 4/25/2033 118 0.49 Series 2003-BC1, Class A * 0.898 1/25/2034 93 0.39 606 Structured Asset Securities Corp., Series NP1, Class A, Total Asset-Backed Securities (Cost $6,242) 5,274 22.04 144A * 0.618 9/25/2033 526 2.20 Collateralised Mortgage-Backed Obligations — 29.24% 229 Thornburg Mortgage Securities USD 258 Bear Stearns Alt-A Trust, Trust, Series 1, Class I2A * 1.118 3/25/2044 196 0.82 Series 2005-2, Class 1A1 * 0.718 3/25/2035 203 0.85 148 Washington Mutual Mortgage 429 Countrywide Home Loan Pass Through Certificates, Mortgages Pass Through Trust, Series S4, Class 2A9 * 1.368 6/25/2033 145 0.61 Series 2003-26, Class 2A4 * 0.618 8/25/2033 400 1.67 Total Collateralised Mortgage-Backed Obligations (Cost $8,394) 6,997 29.24 543 Countrywide Home Loan Mortgages Pass Through Trust, U.S. Corporate Bonds and Notes — 23.45% Series 2003-37, Class 2A1 * 2.789 9/25/2033 480 2.01 Consumer, Non-cyclical — 2.24% 335 The Coca-Cola Co. * 0.336 5/15/2012 335 1.40 100 Johnson & Johnson * 0.376 5/15/2014 100 0.42

The accompanying notes are an integral part of the Financial Statements

78 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US Adjustable Rate Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Corporate Bonds and Notes — (continued) 280 Sanofi * 0.556 3/28/2014 281 1.18 Consumer, Non-cyclical — (continued) 846 3.54 100 PepsiCo, Inc. * 0.355 5/10/2013 100 0.42 Germany — 1.71% 535 2.24 250 Deutsche Bank AG * 0.550 1/19/2012 250 1.04 Financials – Banks — 12.54% 160 Kreditanstalt fuer 300 Ally Financial, Inc. * 0.247 12/19/2012 300 1.25 Wiederaufbau * 0.245 3/17/2014 160 0.67 275 Citibank N.A. * 0.286 11/15/2012 275 1.15 410 1.71 275 The Goldman Sachs Group, Inc. * 0.522 11/9/2011 275 1.15 Iceland — 0.82% 290 JPMorgan Chase & Co. * 0.372 12/21/2011 290 1.21 300 Glitnir Banki HF, 144A † e 0.000 1/18/2012 78 0.32 600 Morgan Stanley * 0.597 6/20/2012 602 2.52 400 Kaupthing Bank HF, 144A † e 0.000 10/4/2011 98 0.41 275 PNC Funding Corp. * 0.446 4/1/2012 275 1.15 300 Landsbanki Islands HF, 144A † e 0.000 8/25/2012 21 0.09 300 U.S. Central Federal Credit Union * 0.250 10/19/2011 300 1.25 197 0.82 250 Wachovia Corp. * 0.383 4/23/2012 250 1.05 Switzerland — 1.28% 160 Wachovia Corp. * 0.444 8/1/2013 159 0.66 305 UBS AG * 1.403 2/23/2012 306 1.28 275 Wells Fargo & Co. * 0.343 1/24/2012 275 1.15 Total U.S. Denominated Bonds and Notes (Cost $3,053) 2,238 9.35 3,001 12.54 U.S. Government Agency Mortgage-Backed Securities — 15.17% Financials – Capital Markets — 0.00% Federal Farm Credit Bank (FFCB) — 6.12% 25 Lehman Escrow Receipt zero ? USD 300 Federal Farm Credit Bank * 0.173 7/20/2012 300 1.25 coupon Perpetual – – 500 Federal Farm Credit Bank, Financials – Diversified — 6.17% Series 1 * 0.117 8/27/2012 500 2.09 300 Citigroup Funding, Inc. * 0.546 3/30/2012 301 1.26 500 Federal Farm Credit Bank * 0.171 11/29/2012 500 2.09 250 General Electric Capital Corp. * 0.596 9/28/2011 250 1.04 165 Federal Farm Credit Bank, 250 General Electric Capital Corp. * 0.422 7/27/2012 250 1.04 Series 1 * 0.198 1/25/2013 165 0.69 300 General Electric Capital Corp. * 0.247 12/21/2012 300 1.25 1,465 6.12 300 General Electric Capital Corp. * 0.419 5/8/2013 298 1.25 80 NCUA Guaranteed Notes, Federal Home Loan Bank (FHLB) — 1.25% Series A1 * 0.227 6/12/2013 80 0.33 USD 300 FHLB * 0.190 1/19/2012 300 1.25

1,479 6.17 Federal Home Loan Mortgage Corporation (FHLMC) — 3.41% USD 250 FHLMC Corp., Series 1 * 0.171 12/29/2011 250 1.05 Insurance — 1.92% 500 FHLMC Corp. * 0.155 5/6/2013 500 2.09 110 Berkshire Hathaway Finance 57 FHLMC Non Gold, Pool Corp. * 0.371 1/13/2012 110 0.46 #555464 10.500 12/1/2020 66 0.27 300 Berkshire Hathaway Finance Corp. * 0.576 1/10/2014 298 1.25 816 3.41 50 Berkshire Hathaway, Inc. * 0.455 2/10/2012 50 0.21 Federal National Mortgage Association (FNMA) — 4.39% 458 1.92 USD 500 FNMA * 0.235 11/23/2012 500 2.09 500 FNMA * 0.290 12/3/2012 500 2.09 Technology — 0.58% 50 FNMA 0.375 12/28/2012 50 0.21 140 International Business Machines Corp. * 0.277 6/15/2012 140 0.58 1,050 4.39

Total U.S. Corporate Bonds and Notes (Cost $5,617) 5,613 23.45 Total U.S. Government Agency Mortgage-Backed Securities (Cost $3,625) 3,631 15.17 U.S. Denominated Bonds and Notes — 9.35% Australia — 0.75% Total Investments (Cost $26,931) 23,753 99.25 179 Westpac Banking Corp. * 0.280 11/8/2011 179 0.75 Other Assets in Excess of Liabilities 179 0.75 Finland — 1.25% Total Net Assets $23,932 100.00 300 Nordea Bank Finland PLC * 0.486 11/13/2012 300 1.25

France — 3.54% 120 BNP Paribas S.A. * 1.146 1/10/2014 117 0.49 200 Credit Agricole Home Loan SFH * 1.002 7/21/2014 199 0.83 250 Dexia Credit Local * 0.652 3/5/2013 249 1.04

The accompanying notes are an integral part of the Financial Statements

79 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset US Adjustable Rate Fund

Portfolio of Investments as at August 31, 2011 – (continued)

– Amounts designated as "-" are either $0, less than $1,000 or less than 1,000 shares. 144A Securities exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These securities may only be resold, in transactions exempt from registration, to qualified institutional buyers. As at August 31, 2011, these securities amounted to $1,593,433 or 6.66% of net assets. * Variable rate security. The interest rate shown reflects the rate in effect at August 31, 2011. ? Security is valued in good faith at fair value by or at the discretion of the Investment Manager. † Illiquid. e Security is in default as at August 31, 2011.

ABBREVIATIONS: Perpetual – A bond with no maturity date. Perpetual bonds are not redeemable but pay a steady stream of interest. USD – United States Dollar

ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR TRADED ON A REGULATED MARKET EXCEPT FOR FUTURES WHICH ARE FINANCIAL DERIVATIVE INSTRUMENTS DEALT IN ON A REGULATED MARKET. % of Total Analysis of Total Assets Assets

Transferable securities admitted to an official exchange listing or traded on a regulated market 98.71 Financial derivative instruments 0.06 Other assets 1.23

Total Assets 100.00

Schedule of Futures Contracts Net Unrealised Nominal Notional Notional Unrealised Unrealised Gain/ (Loss) Value Cost (000’s) Value (000’s) Gains (000’s) Losses (000’s) (000’s)

90 Day Euro$ March 2012 9 $2,226 $2,239 $13 – $13 90 Day Euro$ September 2011 6 1,493 1,494 1 – 1 U.S. 10 Year Note December 2011 6 774 774 – – – U.S. 2 Year Note (CBT) December 11 7 1,543 1,544 1 – 1 U.S. 5 Year Note (CBT) December 2011 4 490 490 – – –

Total Market Value of Future Contracts 32 $6,526 $6,541 $15 – $15

The accompanying notes are an integral part of the Financial Statements

80 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Inflation Management Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

Asset-Backed Securities — 0.65% 585 U.S. Treasury Inflationary Index USD 113 GSAMP Trust, Series 2004-OPT, BondI 2.375 1/15/2025 866 6.66 Class M3 * 1.368 11/25/2034 44 0.34 650 U.S. Treasury Inflationary Index 97 Renaissance Home Equity Loan BondI 2.000 1/15/2026 877 6.74 Trust, Series 2003-4, Class M3 * 2.118 3/25/2034 40 0.31 510 U.S. Treasury Inflationary Index 3 SACO I, Inc., Series 2005-2, BondI 1.750 1/15/2028 633 4.87 Class A, 144A * 0.618 4/25/2035 1 – 200 U.S. Treasury Inflationary Index BondI 3.625 4/15/2028 400 3.08 Total Asset-Backed Securities (Cost $215) 85 0.65 90 U.S. Treasury Inflationary Index Collateralised Mortgage-Backed Obligations — 0.21% BondI 2.500 1/15/2029 121 0.93 USD 31 Structured Asset Securities 390 U.S. Treasury Inflationary Index Corp., Series 3, Class 2A9 * 1.218 3/25/2028 27 0.21 BondI 3.875 4/15/2029 801 6.16 370 U.S. Treasury Inflationary Index Total Collateralised Mortgage-Backed Obligations (Cost $31) 27 0.21 Bond‡ I 2.125 2/15/2040 475 3.65 80 U.S. Treasury Inflationary Index Foreign Government Bonds and Notes — 5.14% BondI 2.125 2/15/2041 102 0.78 Australia Government Issues — 1.05% 130 U.S. Treasury Inflationary Index AUD 45 Australia Government Bond, NoteI 3.375 1/15/2012 167 1.28 Series 20CII 5.992 8/20/2020 85 0.66 520 U.S. Treasury Inflationary Index 40 Australia Government Bond, NoteI 0.625 4/15/2013 568 4.37 Series 25CII 3.167 9/20/2025 51 0.39 70 U.S. Treasury Inflationary Index 136 1.05 NoteI 1.875 7/15/2013 91 0.70 795 U.S. Treasury Inflationary Index France Government Issues — 4.09% NoteI 2.000 1/15/2014 1,040 8.00 EUR 360 French Treasury Note BTANI 0.450 7/25/2016 532 4.09 505 U.S. Treasury Inflationary Index NoteI 1.250 4/15/2014 569 4.38 Total Foreign Government Bonds and Notes (Cost $632) 668 5.14 300 U.S. Treasury Inflationary Index U.S. Corporate Bonds and Notes — 0.49% NoteI 2.000 7/15/2014 390 3.00 Financials – Banks — 0.16% 540 U.S. Treasury Inflationary Index 10 Bank of America Corp. 4.500 4/1/2015 10 0.08 NoteI 1.625 1/15/2015 693 5.33 10 The Goldman Sachs Group, Inc. 4.750 7/15/2013 10 0.08 20 U.S. Treasury Inflationary Index NoteI 0.500 4/15/2015 22 0.17 20 0.16 315 U.S. Treasury Inflationary Index Financials – Diversified — 0.08% NoteI 1.875 7/15/2015 405 3.11 5 Ally Financial, Inc. 7.500 12/31/2013 5 0.04 164 U.S. Treasury Inflationary Index 6 Ally Financial, Inc. 8.000 12/31/2018 6 0.04 NoteI 2.500 7/15/2016 213 1.64 350 U.S. Treasury Inflationary Index 11 0.08 NoteI 2.375 1/15/2017 455 3.50 410 U.S. Treasury Inflationary Index Food — 0.17% NoteI 1.625 1/15/2018 499 3.84 20 Kraft Foods, Inc. 4.125 2/9/2016 22 0.17 515 U.S. Treasury Inflationary Index Insurance — 0.08% NoteI 1.375 7/15/2018 604 4.64 10 Berkshire Hathaway, Inc. 3.200 2/11/2015 11 0.08 130 U.S. Treasury Inflationary Index NoteI 2.125 1/15/2019 161 1.24 Total U.S. Corporate Bonds and Notes (Cost $59) 64 0.49 250 U.S. Treasury Inflationary Index Note 1.875 7/15/2019 307 2.36 U.S. Denominated Bonds and Notes — 0.00% I 365 U.S. Treasury Inflationary Index Iceland — 0.00% NoteI 1.250 7/15/2020 419 3.22 100 Glitnir Banki HF, 144A ? e 6.693 6/15/2016 – – 630 U.S. Treasury Inflationary Index 100 Kaupthing Bank HF, 144A ? e 7.125 5/19/2016 – – NoteI 1.125 1/15/2021 712 5.47 –– Total U.S. Treasury Obligations (Cost $11,309) 12,075 92.85 Total U.S. Denominated Bonds and Notes (Cost $209) –– Total Investments (Cost $12,455) 12,919 99.34 U.S. Treasury Obligations — 92.85% USD 130 U.S. Treasury Inflationary Index Other Assets in Excess of Liabilities 86 0.66 BondI 0.125 4/15/2016 139 1.07 Total Net Assets $13,005 100.00 330 U.S. Treasury Inflationary Index BondI 0.625 7/15/2021 346 2.66

The accompanying notes are an integral part of the Financial Statements

81 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Inflation Management Fund

Portfolio of Investments as at August 31, 2011 – (continued)

– Amounts designated as "-" are either $0, less than $1,000 or less than 1,000 shares. 144A Securities exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These securities may only be resold, in transactions exempt from registration, to qualified institutional buyers. As at August 31, 2011, these securities amounted to $1,108 or –% of net assets. * Variable rate security. The interest rate shown reflects the rate in effect at August 31, 2011. I The rate of interest on this type of security is tied to the Consumer Price Index (CPI). The coupon rate is the rate as of August 31, 2011. ? Security is valued in good faith at fair value by or at the discretion of the Investment Manager. e Security is in default as at August 31, 2011. ‡ Security held as collateral for future contracts trading as at August 31, 2011.

ABBREVIATIONS: AUD – Australian Dollar USD – United States Dollar

ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR TRADED ON A REGULATED MARKET EXCEPT FOR FUTURES AND FORWARDS WHICH ARE FINANCIAL DERIVATIVE INSTRUMENTS DEALT IN ON A REGULATED MARKET. % of Total Analysis of Total Assets Assets

Transferable securities admitted to an official exchange listing or traded on a regulated market 98.89 Financial derivative instruments 0.01 Other assets 1.10

Total Assets 100.00

Schedule of Futures Contracts Net Unrealised Nominal Notional Notional Unrealised Unrealised Gain/ (Loss) Value Cost (000’s) Value (000’s) Gains (000’s) Losses (000’s) (000’s)

U.S. 10 Year Note December 2011 4 $515 $516 $1 – $1

Total Market Value of Future Contracts 4 $515 $516 $1 – $1

Schedule of Forward Contracts

Contracts to Receive Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 11/16/2011 Citicorp Securities London Ltd. EUR 42 $ 60 $ 59 $ 1 $ 1

Contracts to Deliver Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 11/16/2011 Credit Suisse First Boston London AUD (108) $ (115) $ (109) $ (6) 11/16/2011 Credit Suisse First Boston London EUR (408) (585) (581) (4) $ (10) Unrealised Appreciation of Forward Foreign Currency Contracts 1 Unrealised Depreciation of Forward Foreign Currency Contracts (10) Net Unrealised Depreciation of Forward Foreign Currency Contracts $ (9)

The accompanying notes are an integral part of the Financial Statements

82 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Asian Opportunities Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net Coupon Maturity (000’s) Asset Coupon Maturity (000’s) Asset Face Value (000’s) Rate % Date $ Value Face Value (000’s) Rate % Date $ Value

Agency Obligations — 0.98% Foreign Government Bonds and Notes — 43.04% China Bonds — 0.53% China Government Issues — 2.27% CNY 17,910 China Development Bank 97,000 China Government Bond 0.600 8/18/2014 15,140 1.92 Corp. 2.700 11/11/2013 2,888 0.37 17,000 China Government Bond 1.800 12/1/2015 2,727 0.35 8,000 Export-Import Bank of China 1.950 12/2/2012 1,271 0.16 17,867 2.27 4,159 0.53 Hong Kong Government Issues — 0.18% Malaysia Government Issues — 0.22% HKD 10,000 Hong Kong Government MYR 5,000 National Agricultural Bond 2.950 2/24/2025 1,444 0.18 Cooperative Federation 5.700 7/1/2013 1,727 0.22 Indian Government Issues — 3.98% Supernational — 0.23% INR 250,000 India Government Bond 7.990 7/9/2017 5,345 0.68 CNY 11,000 Asian Development Bank 2.850 10/21/2020 1,802 0.23 250,000 India Government Bond * 8.230 12/21/2020 5,201 0.66 490,000 India Government Bond 7.800 4/11/2021 10,281 1.31 Total Agency Obligations (Cost $7,223) 7,688 0.98 240,000 India Treasury Bill, Series 91 zero Foreign Corporate Bonds and Notes — 6.87% coupon 11/4/2011 5,136 0.65 Chinese Renminbi Bonds — 3.14% 250,000 India Treasury Bill, Series 91 zero CNY 9,500 Agricultural Bank of China coupon 11/11/2011 5,341 0.68 Ltd. 1.200 12/23/2011 1,497 0.19 31,304 3.98 23,500 Agricultural Bank of China Ltd. 1.400 12/24/2012 3,681 0.47 Indonesia Government Issues — 0.31% 50,000 Bank of Communications Co. IDR 20,000,000 Indonesia Retail Bond, Ltd. 1.350 4/1/2014 7,735 0.98 Series ORI6 9.350 8/15/2012 2,453 0.31 10,000 Barclays Bank PLC 1.150 3/15/2012 1,571 0.20 Korea Government Issues — 6.42% 14,000 Caterpillar Financial Services KRW 4,000,000 Korea Treasury Bond, Corp. 2.000 12/1/2012 2,219 0.28 Series 1409 5.000 9/10/2014 3,900 0.50 14,500 China Windpower Group 6,000,000 Korea Treasury Bond, Ltd. 6.375 4/4/2014 2,272 0.29 Series 1509 4.000 9/10/2015 5,702 0.72 18,000 Galaxy Entertainment Group 21,000,000 Korea Treasury Bond, Ltd. 4.625 12/16/2013 2,835 0.36 Series 1809 5.750 9/10/2018 22,044 2.80 18,500 PCD Stores Group Ltd. 5.250 2/1/2014 2,925 0.37 7,500,000 Korea Treasury Bond, 24,735 3.14 Series 2006 5.000 6/10/2020 7,636 0.97 1,000,000 Korea Treasury Bond, Hong Kong Dollar Bonds — 0.38% Series 2803 5.500 3/10/2028 1,117 0.14 HKD 15,000 China Development Bank 9,000,000 Korea Treasury Bond, Corp. 4.270 3/3/2025 2,104 0.27 Series 2912 5.500 12/10/2029 10,142 1.29 6,000 Westpac Banking Corp. † 4.550 1/22/2020 852 0.11 50,541 6.42 2,956 0.38 Malaysia Government Issues — 9.67% Malaysian Ringgit Bonds — 0.10% USD 2,600 1Malaysia Sukuk Global Bhd 3.928 6/4/2015 2,781 0.35 MYR 2,500 Bank Negara Malaysia zero MYR 23,000 Malaysia Government Bond, Monetary Notes, Series 0911 coupon 2/21/2012 826 0.10 Series 0110 3.835 8/12/2015 7,859 1.00 Singapore Dollar Bonds — 3.25% 28,000 Malaysia Government Bond, SGD 7,750 Bank of China Ltd. ? 0.970 8/27/2012 6,433 0.82 Series 0106 4.262 9/15/2016 9,763 1.24 2,250 Hongkong Land Treasury 78,000 Malaysia Government Bond, Services Singapore Pte Ltd. 3.430 5/14/2020 1,952 0.25 Series 0210 4.012 9/15/2017 26,798 3.40 7,000 Morgan Stanley 3.800 1/29/2016 5,985 0.76 41,800 Malaysia Government Bond, 2,000 PSA Corp. Ltd. 3.385 4/28/2020 1,763 0.22 Series 0902 4.378 11/29/2019 14,743 1.87 5,000 Singapore Airlines Ltd. 2.150 9/30/2015 4,275 0.54 19,500 Malaysia Government Bond, 1,000 Singapore Post Ltd. 3.500 3/30/2020 885 0.11 Series 0311 4.392 4/15/2026 6,889 0.87 3,750 SingTel Group Treasury Pte 1,200 Malaysia Government Bond, Ltd. 3.488 4/8/2020 3,378 0.43 Series 0308 5.248 9/15/2028 465 0.06 1,000 Temasek Financial I Ltd. 4.048 3/5/2035 914 0.12 19,500 Malaysia Government Bond, Series 0310 4.498 4/15/2030 6,932 0.88 25,585 3.25 76,230 9.67 Total Foreign Corporate Bonds and Notes (Cost $50,306) 54,102 6.87

The accompanying notes are an integral part of the Financial Statements

83 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Asian Opportunities Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Coupon Maturity (000’s) Asset Coupon Maturity (000’s) Asset Face Value (000’s) Rate % Date $ Value Face Value (000’s) Rate % Date $ Value

Foreign Government Bonds and Notes — (continued) 170,000,000 Indonesia Government Philippine Government Issues — 2.30% Bond ? 11.000 12/15/2012 21,823 2.77 PHP 163,000 Philippine Government Bond, 20,000,000 Indonesia Government Series 5-67 6.250 1/27/2014 4,141 0.53 Bond ? 12.500 3/15/2013 2,604 0.33 165,000 Philippine Government Bond, 20,000,000 Indonesia Government Series 7-46 6.500 10/4/2014 4,232 0.54 Bond ? 12.500 3/15/2013 2,604 0.33 419,000 Philippine Government 30,000,000 Indonesia Government International Bond 6.250 1/14/2036 9,649 1.23 Bond ? 11.250 5/15/2014 3,998 0.51 110,000,000 Indonesia Government 18,022 2.30 Bond ? 11.250 5/17/2014 14,657 1.86 Singapore Government Issues — 8.87% 21,000,000 Indonesia Government SGD 3,200 Singapore Government Bond 2.375 4/1/2017 2,892 0.37 Bond ? 9.500 6/17/2015 2,732 0.35 41,540 Singapore Government Bond 2.250 6/1/2021 36,397 4.62 28,000,000 Indonesia Government 6,400 Singapore Government Bond 3.000 9/1/2024 5,888 0.75 Bond ? 10.750 5/15/2016 3,880 0.49 10,000 Singapore Government Bond 3.500 3/1/2027 9,661 1.23 17,000,000 Indonesia Government 12,850 Singapore Government Bond 2.875 9/1/2030 11,565 1.47 Bond ? 9.000 9/15/2018 2,247 0.29 2,000 Singapore Treasury Bill zero 10,000,000 Indonesia Government coupon 9/2/2011 1,661 0.21 Bond ? 9.000 9/15/2018 1,322 0.17 300 Singapore Treasury Bill zero 30,000,000 Indonesia Government coupon 9/8/2011 249 0.03 Bond ? 11.000 11/15/2020 4,502 0.57 1,000 Singapore Treasury Bill, zero 7,000,000 Indonesia Government Series 91 coupon 10/13/2011 830 0.11 Bond ? 9.500 7/15/2023 956 0.12 800 Singapore Treasury Bill, zero 10,000,000 Indonesia Government Series 91 coupon 11/3/2011 664 0.08 Bond ? 9.500 7/19/2023 1,365 0.17 40,000,000 Indonesia Government 69,807 8.87 Bond ? 10.500 8/15/2030 5,861 0.74 45,000,000 Indonesia Government Taiwan Government Issues — 4.50% Bond ? 10.500 8/15/2030 6,593 0.84 TWD 100,000 Taiwan Government Bond, 15,000,000 Indonesia Government Series 99-3 0.250 2/10/2012 3,443 0.44 Bond ? 10.500 8/15/2030 2,198 0.28 150,000 Taiwan Government Bond, 45,000,000 Indonesia Government Series 974A 2.000 7/20/2013 5,286 0.67 Bond ? 10.500 8/15/2030 6,593 0.84 400,000 Taiwan Government Bond, 20,000,000 Indonesia Government Series 99-6 2.000 7/20/2015 14,314 1.82 Bond ? 10.500 8/15/2030 2,930 0.37 100,000 Taiwan Government Bond, 15,000,000 Indonesia Government Series 98-6 1.375 9/9/2019 3,447 0.44 Bond ? 10.500 8/15/2030 2,198 0.28 100,000 Taiwan Government Bond, 60,000,000 Indonesia Government Series 99-5 1.375 3/10/2020 3,434 0.44 Bond ? 9.500 7/15/2031 8,161 1.04 100,000 Taiwan Government Bond 2.375 2/25/2025 3,706 0.47 60,000,000 Indonesia Government 50,000 Taiwan Government Bond, Bond ? 9.500 7/15/2031 8,161 1.04 Series 99-4 1.875 2/22/2030 1,743 0.22 37,000,000 Indonesia Government 35,373 4.50 Bond ? 9.500 7/17/2031 5,033 0.64

Thailand Government Issues — 4.54% 111,595 14.18 THB 35,600 Thailand Government Bond 4.250 3/13/2013 1,200 0.15 Malaysia Bonds — 0.89% 640,000 Thailand Government Bond 3.625 5/22/2015 21,487 2.73 USD 7,000 Bank Negara Malyasia ? 1.790 11/22/2011 7,000 0.89 110,000 Thailand Government Bond 3.125 12/11/2015 3,623 0.46 32,000 Thailand Government Bond 5.125 3/13/2018 1,168 0.15 Total Total Return Swaps (Cost $103,806) 118,595 15.07 169,000 Thailand Government Bond 3.875 6/13/2019 5,822 0.74 33,000 Thailand Government Bond 5.670 3/13/2028 1,360 0.17 U.S. Denominated Bonds and Notes — 21.11% 28,000 Thailand Government Bond 4.875 6/22/2029 1,066 0.14 Australia — 0.50% 740 FMG Resources August 2006 35,726 4.54 Pty Ltd. 7.000 11/1/2015 738 0.09 3,200 NCIG Holdings Pty Ltd. ? 12.500 8/26/2031 3,200 0.41 Total Foreign Government Bonds and Notes (Cost $317,017) 338,767 43.04 3,938 0.50 Total Return Swaps — 15.07% Indonesia Government Issues — 14.18% China — 1.48% IDR 10,000,000 Indonesia Government Bond 3,220 China Automation Group ? 12.000 9/15/2011 1,177 0.15 Ltd. 7.750 4/20/2016 2,561 0.33

The accompanying notes are an integral part of the Financial Statements

84 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Asian Opportunities Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Coupon Maturity (000’s) Asset Coupon Maturity (000’s) Asset Face Value (000’s) Rate % Date $ Value Face Value (000’s) Rate % Date $ Value

U.S. Denominated Bonds and Notes — (continued) Singapore — 0.14% China — (continued) 1,100 UOB Cayman Ltd. * 5.796 12/31/2049 1,085 0.14 952 China Forestry Holdings Co. South Korea — 6.29% Ltd. 10.250 11/17/2015 733 0.09 900 Busan Bank * 6.000 10/30/2017 913 0.11 2,220 Lonking Holdings Ltd. 8.500 6/3/2016 2,109 0.27 10,300 Hana Bank 4.000 11/3/2016 10,384 1.32 870 Sino-Forest Corp. 6.250 10/21/2017 252 0.03 3,200 Korea Development Bank 4.000 9/9/2016 3,299 0.42 2,250 Texhong Textile Group Ltd. 7.625 1/19/2016 1,913 0.24 1,190 Korea Hydro & Nuclear 2,020 West China Cement Ltd. 7.500 1/25/2016 1,838 0.23 Power Co. Ltd. 6.250 6/17/2014 1,305 0.17 2,500 Winsway Coking Coal 11,500 Korea Hydro & Nuclear Holding Ltd. 8.500 4/8/2016 2,275 0.29 Power Co. Ltd. 4.750 7/13/2021 11,481 1.46 11,681 1.48 1,040 Korea National Oil Corp. 5.375 7/30/2014 1,115 0.14 6,650 Korea South Eastpower Co. Hong Kong — 7.44% Ltd. 3.625 1/29/2017 6,769 0.86 9,050 Chong Hing Bank Ltd. 6.000 11/4/2020 9,105 1.16 5,100 Lotte Shopping Co. Ltd. 3.875 4/7/2016 5,137 0.65 2,800 CLP Power Hong Kong 4.750 7/12/2021 2,950 0.37 5,700 National Agricultural 1,300 CNPC HK Overseas Capital Cooperative Federation 3.500 2/8/2017 5,602 0.71 Ltd. 5.950 Perpetual 1,395 0.18 2,025 Shinhan Bank 4.125 10/4/2016 2,071 0.26 5,000 ENN Energy Holdings Ltd. 6.000 5/13/2021 5,095 0.65 1,000 Shinhan Bank * 6.819 9/20/2036 998 0.13 12,200 Hongkong Electric Finance 400 Woori Bank 7.630 4/14/2015 445 0.06 Ltd. 4.250 12/14/2020 12,370 1.57 2,800 Hongkong Land Finance 49,519 6.29 Cayman Island Co. Ltd. 4.500 10/7/2025 2,596 0.33 Thailand — 1.11% 3,920 Li & Fung Ltd. 5.250 5/13/2020 3,980 0.51 8,300 PTTEP Canada International 2,170 Longfor Properties Co. Ltd. 9.500 4/7/2016 2,148 0.27 Finance Ltd. 5.692 4/5/2021 8,748 1.11 8,200 Mega Advance Investments Ltd. 6.375 5/12/2041 8,115 1.03 United Arab Emirates — 0.73% 3,760 PCCW-HKT Capital No 4 Ltd. 4.250 2/24/2016 3,922 0.50 5,800 ICICI Bank Ltd. 4.750 11/25/2016 5,707 0.73 7,000 Sun Hung Kai Properties Capital Market Ltd. 4.000 11/2/2020 6,863 0.87 Total U.S. Denominated Bonds and Notes (Cost $165,979) 166,177 21.11

58,539 7.44 U.S. Denominated Debt Obligations — 0.30% South Korea — 0.03% India — 1.49% 250 Republic of Korea 5.750 4/16/2014 274 0.03 2,000 Bank of Baroda 4.750 10/7/2015 2,016 0.25 3,770 Canara Bank 5.125 9/9/2016 3,815 0.49 Sri Lanka — 0.07% 2,065 Indian Railway Finance Corp. 480 Sri Lanka Government Ltd. 4.406 3/30/2016 2,101 0.27 International Bond 7.400 1/22/2015 523 0.07 3,800 NTPC Ltd. 5.625 7/14/2021 3,783 0.48 Supranational — 0.07% 11,715 1.49 520 Asian Development Bank 2.125 3/15/2012 525 0.07

Indonesia — 0.67% Vietnam — 0.13% 1,000 Indo Integrated Energy II BV 9.750 11/5/2016 1,105 0.14 1,000 Vietnam Government 1,065 Indosat Palapa Co. BV 7.375 7/29/2020 1,190 0.15 International Bond 6.875 1/15/2016 1,054 0.13 1,000 Listrindo Capital BV 9.250 1/29/2015 1,064 0.13 Total U.S. Denominated Debt Obligations (Cost $2,276) 2,376 0.30 1,820 Star Energy Geothermal Wayang Windu Ltd. 11.500 2/12/2015 1,970 0.25 % of Value Net 5,329 0.67 (000’s) Asset Shares/Units (000’s) $ Value Malaysia — 0.71% Credit Linked Note — 0.65% 5,000 Petronas Capital Ltd. 5.250 8/12/2019 5,583 0.71 INR 250,000 Standard Chartered Bank zero Netherlands — 0.17% (Hong Kong) Ltd. ? coupon 12/30/2011 5,087 0.65 1,400 Hyva Global BV 8.625 3/24/2016 1,309 0.17 Total Credit Linked Note (Cost $5,321) 5,087 0.65 Philippines — 0.38% Collective Investment Schemes — 4.98% 2,100 Alliance Global Group, Inc. 6.500 8/18/2017 2,107 0.27 4,962 Legg Mason Asian Bond Trust ? 5,525 0.70 920 FPT Finance Ltd. 6.375 9/28/2020 917 0.11 1,000 Legg Mason Western Asset China Bond Fund 3,024 0.38 Class M 10,060 1.28

The accompanying notes are an integral part of the Financial Statements

85 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Asian Opportunities Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of Value Net (000’s) Asset Shares/Units (000’s) $ Value

Collective Investment Schemes — (continued) 23,622 Western Asset Liquidity Funds PLC- Western Asset US Dollar Liquidity Fund, Class WA 23,622 3.00

Total Collective Investment Schemes (Cost $38,609) 39,207 4.98

Total Investments (Cost $690,537) 731,999 93.00

Other Assets in Excess of Liabilities 55,077 7.00

Total Net Assets $787,076 100.00

† Illiquid. ? Security is valued in good faith at fair value by or at the discretion of the Investment Manager. * Variable rate security. The interest rate shown reflects the rate in effect at August 31, 2011.

ABBREVIATIONS: Perpetual – A bond with no maturity date. Perpetual bonds are not redeemable but pay a steady stream of interest. CNY – Chinese Renminbi HKD – Hong Kong Dollar IDR – Indonesian Rupiah INR – India Rupee KRW – South Korean Won MYR – Malaysian Ringgit PHP – Philippine Peso SGD – Singapore Dollar THB – Thai Baht TWD – Taiwanese Dollar USD – United States Dollar

ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR TRADED ON A REGULATED MARKET EXCEPT FOR FUTURES, FORWARDS, OPTIONS AND SWAPS WHICH ARE FINANCIAL DERIVATIVE INSTRUMENTS DEALT ON A REGULATED MARKET AND COLLECTIVE INVESTMENT SCHEMES. % of Total Analysis of Total Assets Assets

Transferable securities admitted to an official exchange listing or traded on a regulated market 70.70 Financial derivative instruments 0.93 Collective investment schemes 4.83 Other assets 23.54

Total Assets 100.00

Schedule of Futures Contracts Net Unrealised Nominal Notional Notional Unrealised Unrealised Gain/ (Loss) Value Cost (000’s) Value (000’s) Gains (000’s) Losses (000’s) (000’s)

Korea Treasury 3 Year Bond September 2011 1,301 $126,112 $127,033 $921 – $921 U.S. 10 Year Note September 2011 (324) (41,074) (42,130) – $(1,056) (1,056) U.S. 5 Year Note (CBT) September 2011 (594) (70,955) (73,359) – (2,404) (2,404) U.S. Ultra Bond (CBT) September 2011 (61) (8,226) (8,822) – (596) (596)

Total Market Value of Future Contracts 322 $5,857 $2,722 $921 $(4,056) $(3,135)

The accompanying notes are an integral part of the Financial Statements

86 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Asian Opportunities Fund

Portfolio of Investments as at August 31, 2011 – (continued)

Schedule of Currency Swaps Notional Expiration Amount Value Counterparty Floating Rate Index Currency Pay/Receive Fixed Rate % Date (000’s) (000’s)

Barclays Bank PLC Fixed (PHP) PHP Receive 5.80% 4/20/15 120,000 $3,190 Barclays Bank PLC 6 Month USD – LIBOR USD Pay 0.42% 4/20/15 (2,687) (2,694) Deutsche Bank Securities, Inc. Fixed (PHP) PHP Receive 6.00% 3/16/15 60,000 1,605 Deutsche Bank Securities, Inc. 6 Month USD – LIBOR USD Pay 0.46% 3/16/15 (1,312) (1,316) Deutsche Bank Securities, Inc. Fixed (PHP) PHP Receive 5.05% 6/9/14 14,199 368 Deutsche Bank Securities, Inc. 6 Month USD – LIBOR USD Pay 0.40% 6/9/14 (300) (300) HSBC Securities (USA) Inc. Fixed (PHP) PHP Receive 8.00% 7/31/13 66,195 1,768 HSBC Securities (USA) Inc. 6 Month USD – LIBOR USD Pay 0.43% 7/31/13 (1,500) (1,500) HSBC Securities (USA), Inc. Fixed (CNY) CNY Receive 3.02% 6/17/13 13,811 2,320 HSBC Securities (USA), Inc. 6 Month USD – LIBOR USD Pay 0.39% 6/17/13 (2,022) (2,022) UBS Ltd. Fixed (PHP) PHP Receive 5.10% 9/9/15 280,035 7,249 UBS Ltd. 6 Month USD – LIBOR USD Pay 0.46% 9/9/15 (6,300) (6,317)

$2,351

Currency Swaps – Total Financial Assets at Fair Value 2,351 Currency Swaps – Total Financial Liabilities at Fair Value –

Currency Swaps – Total Financial Assets and Liabilities at Fair Value $2,351

Schedule of Interest Rate Swaps Notional Amount Value Counterparty Rate Pay/Receive Rate % Expiration Date (000’s) (000’s)

Barclays Bank PLC 3 Month KRW – CD Receive 3.59% 5/18/13 22,000,000 $20,621 Barclays Bank PLC Fixed (KRW) Pay 3.73% 5/18/13 (22,000,000) (20,685) Barclays Bank PLC Fixed (CNY) Receive 3.65% 10/30/14 12,000 1,860 Barclays Bank PLC CNY – 7 Day Pay 4.49% 10/30/14 (12,000) (1,881) Barclays Bank PLC Fixed (INR) Receive 6.88% 4/26/15 100,000 2,137 Barclays Bank PLC O/N INR MIBOR Pay 8.06% 4/26/15 (100,000) (2,172) Barclays Bank PLC Fixed (HKD) Receive 1.78% 7/21/15 20,000 2,658 Barclays Bank PLC 3 Month HKD – HIBOR Pay 0.26% 7/21/15 (20,000) (2,569) Barclays Bank PLC Fixed (INR) Receive 8.43% 5/9/16 250,000 5,652 Barclays Bank PLC 6 Month INR MIBOR Pay 8.06% 5/9/16 (250,000) (5,429) Barclays Bank PLC 3 Month KRW Receive 3.46% 12/1/18 3,000,000 2,812 Barclays Bank PLC Fixed (KRW) Pay 4.37% 12/1/18 (3,000,000) (2,953) Barclays Bank PLC 3 Month KRW – CD Receive 3.46% 6/5/19 2,500,000 2,343 Barclays Bank PLC Fixed (KRW) Pay 3.99% 6/5/19 (2,500,000) (2,405) Barclays Bank PLC 3 Month KRW Receive 3.58% 10/6/19 1,000,000 937 Barclays Bank PLC Fixed (KRW) Pay 4.54% 10/6/19 (1,000,000) (998) Barclays Bank PLC Fixed (INR) Receive 7.52% 1/22/20 60,000 1,313 Barclays Bank PLC O/N INR MIBOR Pay 8.06% 1/22/20 (60,000) (1,303) Barclays Bank PLC Fixed (INR) Receive 7.68% 3/18/20 70,000 1,547 Barclays Bank PLC O/N INR MIBOR Pay 8.06% 3/18/20 (70,000) (1,520) Barclays Bank PLC Fixed (HKD) Receive 3.29% 4/26/20 15,000 2,122 Barclays Bank PLC 3 Month HKD – HIBOR Pay 0.26% 4/26/20 (15,000) (1,927) Barclays Bank PLC Fixed (HKD) Receive 2.32% 9/9/20 35,000 4,580 Barclays Bank PLC HKD 3 Month HIBOR Pay 0.26% 9/9/20 (35,000) (4,496) Barclays Bank PLC Fixed (INR) Receive 7.20% 9/30/20 550,000 11,784 Barclays Bank PLC O/N INR MIBOR Pay 8.06% 9/30/20 (550,000) (11,944) Citigroup Global Markets Fixed (INR) Receive 8.29% 6/13/13 130,000 2,859 Citigroup Global Markets O/N INR MIBOR Pay 8.06% 6/13/13 (130,000) (2,823) Citigroup Global Markets Fixed (CNY) Receive 2.87% 7/30/15 28,000 4,218 Citigroup Global Markets CNY – 7 Day Pay 4.49% 7/30/15 (28,000) (4,390) Deutsche Bank Securities, Inc. Fixed (CNY) Receive 3.02% 7/6/15 70,000 10,607 Deutsche Bank Securities, Inc. CNY – 7 Day Pay 5.00% 7/6/15 (70,000) (10,975) Deutsche Bank Securities, Inc. Fixed (INR) Receive 7.55% 4/8/20 100,000 2,192 Deutsche Bank Securities, Inc. O/N INR MIBOR Pay 8.06% 4/8/20 (100,000) (2,172) Deutsche Bank Securities, Inc. 3 Month KRW – CD Receive 3.59% 5/11/20 2,800,000 2,625

The accompanying notes are an integral part of the Financial Statements

87 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Asian Opportunities Fund

Portfolio of Investments as at August 31, 2011 – (continued)

Notional Amount Value Counterparty Rate Pay/Receive Rate % Expiration Date (000’s) (000’s)

Deutsche Bank Securities, Inc. Fixed (KRW) Pay 4.39% 5/11/20 (2,800,000) (2,771) Deutsche Bank Securities, Inc. Fixed (SGD) Receive 2.80% 11/22/20 5,000 4,478 Deutsche Bank Securities, Inc. 6 Month SGD Pay 0.38% 11/22/20 (5,000) (4,152) Deutsche Bank Securities, Inc. USD 3 Month LIBOR Receive 0.25% 4/20/21 52,000 52,002 Deutsche Bank Securities, Inc. Fixed (USD) Pay 3.45% 4/20/21 (52,000) (57,253) JP Morgan Securities, Inc Fixed (SGD) Receive 1.76% 7/27/15 7,000 6,042 JP Morgan Securities, Inc 6 Month SGD Pay 0.29% 7/27/15 (7,000) (5,810) JP Morgan Securities, Inc. Fixed (HKD) Receive 4.20% 7/31/13 23,000 3,167 JP Morgan Securities, Inc. 3 Month HKD – HIBOR Pay 0.27% 7/31/13 (23,000) (2,954) JP Morgan Securities, Inc. Fixed (INR) Receive 7.56% 4/6/20 90,000 1,974 JP Morgan Securities, Inc. O/N INR MIBOR Pay 8.06% 4/6/20 (90,000) (1,954) UBS Ltd. Fixed (CNY) Receive 3.01% 7/9/14 13,000 1,981 UBS Ltd. CNY – 7 Day Pay 4.95% 7/9/14 (13,000) (2,041) UBS Ltd. Fixed (HKD) Receive 1.48% 8/26/15 20,000 2,627 UBS Ltd. 3 Month HKD – HIBOR Pay 0.26% 8/26/15 (20,000) (2,569) UBS Ltd. Fixed (CNY) Receive 2.66% 8/26/15 30,000 4,481 UBS Ltd. CNY – 7 Day Pay 4.08% 8/26/15 (30,000) (4,703) UBS Ltd. Fixed (HKD) Receive 1.56% 9/27/15 60,000 7,900 UBS Ltd. HKD 3 Month HIBOR Pay 0.26% 9/27/15 (60,000) (7,707) UBS Ltd. Fixed (CNY) Receive 2.91% 10/8/15 30,000 4,519 UBS Ltd. CNY – 7 Day Pay 4.49% 10/8/15 (30,000) (4,703) UBS Ltd. Fixed (CNY) Receive 3.01% 10/14/15 120,000 18,145 UBS Ltd. CNY – 7 Day Pay 4.95% 10/14/15 (120,000) (18,814) UBS Ltd. Fixed (HKD) Receive 1.42% 11/2/15 100,000 13,085 UBS Ltd. HKD 3 Month HIBOR Pay 0.27% 11/2/15 (100,000) (12,845) UBS Ltd. Fixed (INR) Receive 6.00% 3/20/19 62,120 1,242 UBS Ltd. O/N INR MIBOR Pay 8.06% 3/20/19 (62,120) (1,349) UBS Ltd. Fixed (HKD) Receive 3.62% 1/22/20 10,000 1,449 UBS Ltd. 3 Month HKD – HIBOR Pay 0.26% 1/22/20 (10,000) (1,284) UBS Ltd. Fixed (INR) Receive 7.48% 1/29/20 60,000 1,309 UBS Ltd. O/N INR MIBOR Pay 8.06% 1/29/20 (60,000) (1,303) UBS Ltd. Fixed (INR) Receive 7.45% 2/2/20 60,000 1,307 UBS Ltd. O/N INR MIBOR Pay 8.06% 2/2/20 (60,000) (1,303) UBS Ltd. Fixed (HKD) Receive 2.73% 7/16/20 10,000 1,354 UBS Ltd. 3 Month HKD – HIBOR Pay 0.26% 7/16/20 (10,000) (1,284)

($5,512)

Interest Rate Swaps – Total Financial Assets at Fair Value 2,211 Interest Rate Swaps – Total Financial Liabilities at Fair Value (7,723)

Interest Rate Swaps – Total Financial Assets and Liabilities at Fair Value ($5,512)

Schedule of Forward Contracts

Contracts to Receive Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/1/2011 Deutsche Bank SGD 2,050 $ 1,702 $ 1,697 $ 5 9/6/2011 Statestreet EUR 807 1,159 1,160 (1) 9/6/2011 Citibank IDR 36,225,000 4,243 4,223 20 9/6/2011 UBS Ltd. IDR 50,025,000 5,859 5,832 27 9/6/2011 Deutsche Bank INR 360,400 7,824 8,000 (176) 9/6/2011 UBS Ltd. INR 247,940 5,382 5,500 (118) 9/13/2011 Deutsche Bank MYR 17,507 5,864 5,800 64 9/14/2011 BNP Paribas KRW 3,959,000 3,707 3,700 7 9/15/2011 Bank of New York EUR 5,540 7,957 7,930 27 9/15/2011 UBS Ltd. EUR 5,500 7,899 7,873 26 9/15/2011 Westpac Banking Corp. EUR 5,600 8,043 8,014 29 9/15/2011 UBS Ltd. KRW 7,469,280 6,994 6,840 154 9/16/2011 Deutsche Bank INR 145,248 3,151 3,200 (49)

The accompanying notes are an integral part of the Financial Statements

88 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Asian Opportunities Fund

Portfolio of Investments as at August 31, 2011 – (continued)

Contracts to Receive Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/16/2011 Citibank KRW 5,658,120 5,298 5,200 98 9/19/2011 UBS AG CNY 46,585 7,305 7,000 305 9/21/2011 Bank of New York SGD 202 168 168 – 9/21/2011 Bank of New York SGD 111 92 92 – 9/21/2011 Bank of New York SGD 173 143 139 4 9/21/2011 Bank of New York SGD 662 550 549 1 9/21/2011 Bank of New York SGD 487 404 404 – 9/21/2011 Bank of New York SGD 242 201 201 – 9/21/2011 Bank of New York SGD 1,100 913 908 5 9/21/2011 Bank of New York SGD 237 197 194 3 9/21/2011 Bank of New York SGD 1,560 1,295 1,259 36 9/21/2011 Bank of New York SGD 336 279 277 2 9/21/2011 Bank of New York SGD 110 91 91 – 9/21/2011 Bank of New York SGD 510 424 413 11 9/21/2011 Bank of New York SGD 666 553 546 7 9/21/2011 Bank of New York SGD 124 103 102 1 9/21/2011 Bank of New York SGD 563 468 469 (1) 9/21/2011 Bank of New York SGD 692 575 577 (2) 9/21/2011 Westpac Banking Corp. SGD 58 48 48 – 9/21/2011 Westpac Banking Corp. SGD 296 246 245 1 9/29/2011 BNP Paribas KRW 5,468,916 5,116 5,010 106 9/29/2011 UBS Ltd. KRW 9,169,440 8,577 8,400 177 9/30/2011 Deutsche Bank IDR 25,515,000 2,982 3,000 (18) 10/7/2011 Bank of New York SGD 5,350 4,443 4,359 84 10/7/2011 Westpac Banking Corp. SGD 7,250 6,021 5,906 115 10/11/2011 Bank of New York EUR 1,210 1,737 1,726 11 10/11/2011 Westpac Banking Corp. EUR 1,615 2,319 2,303 16 10/11/2011 Westpac Banking Corp. EUR 422 606 595 11 10/18/2011 UBS Ltd. HKD 560,657 72,045 72,000 45 10/18/2011 Bank of New York SGD 4,400 3,654 3,612 42 10/18/2011 Bank of New York SGD 235 195 195 – 10/18/2011 Bank of New York SGD 8,800 7,309 7,266 43 10/18/2011 Bank of New York SGD 60 50 50 – 10/18/2011 Bank of New York SGD 4,400 3,654 3,612 42 10/18/2011 Bank of New York SGD 2,650 2,201 2,176 25 10/18/2011 Bank of New York SGD 570 473 474 (1) 10/18/2011 Bank of New York SGD 200 166 164 2 10/18/2011 Westpac Banking Corp. SGD 2,345 1,948 1,926 22 10/18/2011 Westpac Banking Corp. SGD 520 432 431 1 10/18/2011 Westpac Banking Corp. SGD 970 806 797 9 10/24/2011 Deutsche Bank INR 182,480 3,948 4,000 (52) 10/24/2011 Citibank MYR 18,061 6,034 6,000 34 10/25/2011 Westpac Banking Corp CNY 32,125 5,043 5,000 43 10/25/2011 BNP Paribas KRW 7,008,540 6,547 6,600 (53) 10/25/2011 Bank of New York SGD 8,248 6,851 6,800 51 10/25/2011 Bank of New York THB 184,000 6,109 6,131 (22) 10/25/2011 Westpac Banking Corp. THB 201,267 6,682 6,706 (24) 10/26/2011 Citibank KRW 9,519,570 8,892 9,000 (108) 10/27/2011 Barclays Bank PLC KRW 6,366,300 5,946 6,000 (54) 10/28/2011 Bank of New York EUR 52 75 74 1 10/28/2011 Bank of New York EUR 100 144 144 – 10/28/2011 Statestreet EUR 130 187 188 (1) 10/28/2011 Statestreet EUR 41 59 59 – 10/28/2011 Statestreet EUR 59 85 85 – 10/28/2011 Deutsche Bank KRW 6,357,000 5,937 6,000 (63) 10/28/2011 Deutsche Bank KRW 6,357,000 5,937 6,000 (63) 10/31/2011 Barclays Bank PLC KRW 6,358,500 5,938 6,000 (62) 10/31/2011 Deutsche Bank KRW 10,574,000 9,874 10,000 (126) 10/31/2011 Bank of New York SGD 880 731 731 – 10/31/2011 Bank of New York SGD 990 822 819 3 10/31/2011 Bank of New York SGD 1,060 880 880 – 10/31/2011 Bank of New York SGD 147 122 121 1

The accompanying notes are an integral part of the Financial Statements

89 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Asian Opportunities Fund

Portfolio of Investments as at August 31, 2011 – (continued)

Contracts to Receive Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 10/31/2011 Bank of New York SGD 1,700 1,412 1,416 (4) 10/31/2011 Westpac Banking Corp. SGD 812 674 672 2 10/31/2011 Westpac Banking Corp. SGD 572 475 472 3 10/31/2011 Westpac Banking Corp. SGD 2,035 1,690 1,678 12 11/9/2011 HSBC Bank THB 65,000 2,155 2,156 (1) 11/14/2011 Bank of New York EUR 1,700 2,440 2,435 5 11/14/2011 Westpac Banking Corp. EUR 535 768 766 2 11/14/2011 Westpac Banking Corp. EUR 2,767 3,971 3,990 (19) 11/21/2011 Westpac Banking Corp. KRW 8,180,640 7,632 7,600 32 11/23/2011 Westpac Banking Corp. MYR 12,277 4,095 4,100 (5) 11/23/2011 Bank of New York SGD 2,490 2,069 2,065 4 11/23/2011 Bank of New York SGD 3,283 2,728 2,723 5 11/23/2011 Bank of New York SGD 4,951 4,114 4,092 22 11/23/2011 Westpac Banking Corp. SGD 10,400 8,642 8,598 44 $ 825

Contracts to Deliver Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/6/2011 Citibank IDR (36,225,000) $ (4,243) $ (4,200) $ (43) 9/6/2011 UBS Ltd. IDR (50,025,000) (5,859) (5,800) (59) 9/6/2011 Citibank INR (523,020) (11,354) (11,500) 146 9/7/2011 Deutsche Bank TWD (71,650) (2,470) (2,500) 30 9/15/2011 Deutsche Bank EUR (2,390) (3,432) (3,420) (12) 9/15/2011 Westpac Banking Corp. EUR (6,131) (8,805) (8,793) (12) 9/16/2011 Citibank EUR (1,166) (1,675) (1,680) 5 9/16/2011 State Street EUR (2,446) (3,513) (3,520) 7 9/21/2011 Bank of New York SGD (382) (317) (308) (9) 9/21/2011 Bank of New York SGD (53) (44) (43) (1) 9/30/2011 Deutsche Bank IDR (25,515,000) (2,982) (2,977) (5) 10/5/2011 Citibank IDR (88,332,000) (10,317) (10,200) (117) 10/18/2011 HSBC Bank SGD (16,700) (13,870) (13,779) (91) 11/23/2011 Statestreet MYR (18,831) (6,281) (6,300) 19 11/25/2011 Statestreet IDR (86,200,000) (10,019) (10,001) (18) 2/24/2012 BNP Paribas PHP (97,520) (2,298) (2,300) 2 2/24/2012 Statestreet PHP (86,052) (2,027) (2,030) 3 $ (155) Unrealised Appreciation of Forward Foreign Currency Contracts 2,060 Unrealised Depreciation of Forward Foreign Currency Contracts (1,390) Net Unrealised Appreciation of Forward Foreign Currency Contracts $ 670

The accompanying notes are an integral part of the Financial Statements

90 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Blue Chip Bond Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

Foreign Corporate Bonds and Notes — 12.48% 1,410 United Technologies Corp. 6.125 2/1/2019 1,750 0.75 British Pound Sterling Bonds — 2.45% 3,065 Wachovia Corp. 5.750 2/1/2018 3,507 1.50 GBP 350 BG Energy Capital PLC 5.125 12/7/2017 627 0.27 570 Walgreen Co. 5.250 1/15/2019 668 0.29 1,360 BP Capital Markets PLC 4.325 12/10/2018 2,245 0.96 Total U.S. Corporate Bonds and Notes (Cost $84,628) 90,323 38.71 920 Centrica PLC 5.125 12/10/2014 1,622 0.69 700 Scottish & Southern Energy PLC 5.750 2/5/2014 1,231 0.53 U.S. Denominated Bonds and Notes — 24.64% Australia — 0.26% 5,725 2.45 480 BHP Billiton Finance USA Ltd. 6.500 4/1/2019 591 0.26 Euro Bonds — 10.03% Bermuda — 0.47% EUR 2,960 DnB NOR Bank ASA 4.375 2/24/2021 4,291 1.84 944 Novartis Securities Investment 360 Lloyds TSB Bank PLC 6.375 6/17/2016 537 0.23 Ltd. 5.125 2/10/2019 1,102 0.47 3,800 Lloyds TSB Bank PLC 5.375 9/3/2019 5,283 2.26 4,150 The Royal Bank of Scotland PLC 4.750 5/18/2016 5,665 2.43 Denmark — 1.02% 4,800 UBS AG 6.000 4/18/2018 7,621 3.27 2,440 Danske Bank A/S 3.875 4/14/2016 2,377 1.02

23,397 10.03 France — 0.21% 500 Credit Agricole S.A. 3.500 4/13/2015 480 0.21 Total Foreign Corporate Bonds and Notes (Cost $28,305) 29,122 12.48 Luxembourg — 5.20% U.S. Corporate Bonds and Notes — 38.71% 12,000 European Investment Bank 3.875 12/15/2011 12,128 5.20 1,295 Apache Corp. 6.900 9/15/2018 1,641 0.70 1,110 AT&T, Inc. 3.875 8/15/2021 1,140 0.49 Multi-International — 9.02% 1,630 Baker Hughes, Inc. 7.500 11/15/2018 2,145 0.92 20,840 International Bank for EUR 3,500 Bank of America Corp. 4.625 8/7/2017 4,694 2.01 Reconstruction & Development 2.000 4/2/2012 21,051 9.02 1,955 Bank of America Corp. 7.625 6/1/2019 2,208 0.95 1,400 The Boeing Co. 6.000 3/15/2019 1,698 0.73 Philippines — 4.38% 1,090 Bristol-Myers Squibb Co. 5.450 5/1/2018 1,292 0.55 10,000 Asian Development Bank 1.625 7/15/2013 10,228 4.38 1,110 Carolina Power & Light Co. 5.300 1/15/2019 1,308 0.56 Spain — 0.24% 1,010 Caterpillar Financial Services 600 Santander U.S. Debt S.A. Corp. 5.450 4/15/2018 1,182 0.51 Unipersonal, 144A 3.724 1/20/2015 565 0.24 1,140 Caterpillar, Inc. 3.900 5/27/2021 1,216 0.52 1,590 Cellco Partnership / Verizon United Kingdom — 3.84% Wireless Capital LLC 8.500 11/15/2018 2,137 0.92 4,000 Barclays Bank PLC 5.125 1/8/2020 4,028 1.73 1,210 Cisco Systems, Inc. 4.950 2/15/2019 1,369 0.59 1,310 Diageo Capital PLC 5.750 10/23/2017 1,540 0.66 210 Citigroup, Inc. 6.375 8/12/2014 229 0.10 500 HSBC Bank PLC 4.125 8/12/2020 501 0.21 140 Citigroup, Inc. 6.010 1/15/2015 150 0.06 500 Lloyds TSB Bank PLC 5.800 1/13/2020 501 0.21 EUR 1,000 Citigroup, Inc. 4.000 11/26/2015 1,391 0.60 480 The Royal Bank of Scotland PLC 4.875 8/25/2014 491 0.21 1,000 Citigroup, Inc. 8.500 5/22/2019 1,222 0.52 1,900 The Royal Bank of Scotland PLC 5.625 8/24/2020 1,911 0.82 EUR 3,250 Citigroup, Inc. 7.375 9/4/2019 5,194 2.23 2,200 The Coca-Cola Co. 3.150 11/15/2020 2,237 0.96 8,972 3.84 1,438 ConocoPhillips 5.750 2/1/2019 1,715 0.73 Total U.S. Denominated Bonds and Notes (Cost $57,060) 57,494 24.64 1,070 EI du Pont de Nemours & Co. 6.000 7/15/2018 1,292 0.55 1,440 EOG Resources, Inc. 5.625 6/1/2019 1,681 0.72 U.S. Treasury Obligations — 5.55% 3,300 General Electric Capital Corp. 4.625 1/7/2021 3,402 1.46 USD 11,960 U.S. Treasury Note 3.125 5/15/2021 12,954 5.55 1,740 GlaxoSmithKline Capital, Inc. 5.650 5/15/2018 2,085 0.90 Total U.S. Treasury Obligations (Cost $12,125) 12,954 5.55 3,968 The Goldman Sachs Group, Inc. 7.500 2/15/2019 4,533 1.94 EUR 1,500 The Goldman Sachs Group, Inc. 5.125 10/23/2019 2,070 0.89 Time Deposits — 9.66% 20,000 Inter-American Development 4,400 Barclays Capital 0.100 9/1/2011 4,400 1.88 Bank 1.750 10/22/2012 20,318 8.71 4,550 Commerzbank 0.120 9/1/2011 4,550 1.95 1,260 International Business Machines 4,502 ING Bank NV 0.080 9/1/2011 4,503 1.93 Corp. 7.625 10/15/2018 1,667 0.71 4,500 Royal Bank of Scotland 0.100 9/1/2011 4,500 1.93 650 Kimberly-Clark Corp. 7.500 11/1/2018 845 0.36 4,600 UBS London 0.040 9/1/2011 4,600 1.97 1,760 MetLife, Inc. 6.750 6/1/2016 2,063 0.88 EUR 1,350 Morgan Stanley 5.500 10/2/2017 1,918 0.82 Total Time Deposits (Cost $22,553) 22,553 9.66 1,200 Morgan Stanley 7.300 5/13/2019 1,340 0.57 Total Investments (Cost $204,671) 212,446 91.04 1,210 Occidental Petroleum Corp. 3.125 2/15/2022 1,205 0.52 1,360 PepsiCo., Inc. 5.000 6/1/2018 1,581 0.68 Other Assets in Excess of Liabilities 20,911 8.96 822 Pfizer, Inc. 6.200 3/15/2019 1,011 0.43 1,840 Philip Morris International, Inc. 5.650 5/16/2018 2,170 0.93 Total Net Assets $233,357 100.00 870 Roche Holdings, Inc., 144A 6.000 3/1/2019 1,049 0.45

The accompanying notes are an integral part of the Financial Statements

91 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Blue Chip Bond Fund

Portfolio of Investments as at August 31, 2011 – (continued)

144A Securities exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These securities may only be resold, in transactions exempt from registration, to qualified institutional buyers. As at August 31, 2011, these securities amounted to $1,613,899 or 0.69% of net assets.

ABBREVIATIONS: EUR – Euro GBP – British Pound USD – United States Dollar

ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR TRADED ON A REGULATED MARKET EXCEPT FOR FUTURES, FORWARDS AND SWAPS WHICH ARE FINANCIAL DERIVATIVE INSTRUMENTS DEALT IN ON A REGULATED MARKET AND TIME DEPOSITS WHICH ARE DEPOSITS WITH CREDIT INSTITUTIONS. % of Total Analysis of Total Assets Assets

Transferable securities admitted to an official exchange listing or traded on a regulated market 80.28 Financial derivative instruments 0.10 Deposits with credit institutions 9.53 Other assets 10.09

Total Assets 100.00

Schedule of Futures Contracts Net Unrealised Nominal Notional Notional Unrealised Unrealised Gain/ (Loss) Value Cost (000’s) Value (000’s) Gains (000’s) Losses (000’s) (000’s)

Euro-Bund September 2011 (131) $(24,980) $(25,322) – $(342) $(342) Long Gilt December 2011 (14) (2,884) (2,874) $10 – 10

Total Market Value of Future Contracts (145) $(27,864) $(28,196) $10 $(342) $(332)

Schedule of Credit Default Swaps Notional Buy/Sell Expiration Amount Value Counterparty Reference Entity Protection Pay/Receive Date (000’s) (000’s)

HSBC Midland Markit iTraxx Europe, 1.00%, due 6/20/16 Sell 1.00% 6/20/16 15,200 $(511)

$(511)

Credit Default Swaps – Total Financial Assets at Fair Value – Credit Default Swaps – Total Financial Liabilities at Fair Value (511)

Credit Default Swaps – Total Financial Assets and Liabilities at Fair Value $(511)

Schedule of Forward Contracts

Contracts to Receive Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/30/2011 Barclays EUR 151 $ 217 $ 218 $ (1) 9/30/2011 Barclays EUR 328 471 473 (2) 9/30/2011 Barclays EUR 17,898 25,701 25,804 (103) 9/30/2011 Citicorp Securities London Ltd. EUR 8,665 12,443 12,497 (54) 9/30/2011 Citicorp Securities London Ltd. EUR 208 298 299 (1) 9/30/2011 Citicorp Securities London Ltd. EUR 954 1,370 1,376 (6) 9/30/2011 Citicorp Securities London Ltd. EUR 879 1,262 1,267 (5) 9/30/2011 Deutsche Bank London EUR 12,044 17,294 17,365 (71) 9/30/2011 Royal Bank of Scotland EUR 8,981 12,896 12,942 (46) 9/30/2011 UBS (FX) EUR 550 790 793 (3)

The accompanying notes are an integral part of the Financial Statements

92 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Blue Chip Bond Fund

Portfolio of Investments as at August 31, 2011 – (continued)

Contracts to Receive Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/30/2011 UBS (FX) EUR 8,080 11,602 11,641 (39) 9/30/2011 UBS (FX) EUR 58 84 84 – 9/30/2011 UBS (FX) EUR 2 3 3 – 9/30/2011 Barclays GBP 15,785 25,615 25,820 (205) 9/30/2011 Citicorp Securities London Ltd. GBP 5,098 8,273 8,345 (72) 9/30/2011 Citicorp Securities London Ltd. GBP 261 424 428 (4) 9/30/2011 Citicorp Securities London Ltd. GBP 7 11 11 – 9/30/2011 Citicorp Securities London Ltd. GBP 22,289 36,169 36,484 (315) 9/30/2011 Deutsche Bank London GBP 12,069 19,586 19,768 (182) 9/30/2011 Royal Bank of Scotland GBP 569 923 930 (7) 9/30/2011 Societe Generale GBP 663 1,076 1,085 (9) 9/30/2011 UBS (FX) GBP 18,672 30,300 30,546 (246) 11/16/2011 Citicorp Securities London Ltd. EUR 738 1,059 1,061 (2) 11/16/2011 Citicorp Securities London Ltd. EUR 784 1,125 1,110 15 11/16/2011 Deutsche Bank London EUR 6,544 9,392 9,269 123 11/16/2011 UBS (FX) EUR 210 301 298 3 11/16/2011 Citicorp Securities London Ltd. GBP 24 39 39 – 11/16/2011 Deutsche Bank London GBP 1,000 1,622 1,632 (10) 11/16/2011 UBS (FX) GBP 84 136 135 1 $ (1,241)

Contracts to Deliver Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/30/2011 Citicorp Securities London Ltd. EUR (611) $ (877) $ (880) $ 3 9/30/2011 Citicorp Securities London Ltd. EUR (20) (29) (29) – 9/30/2011 Citicorp Securities London Ltd. EUR (5) (7) (7) – 9/30/2011 Citicorp Securities London Ltd. EUR (330) (474) (476) 2 9/30/2011 JPMorgan Chase Bank London EUR (8) (11) (11) – 9/30/2011 Royal Bank of Scotland EUR (19) (27) (27) – 9/30/2011 Barclays GBP (1,364) (2,213) (2,231) 18 9/30/2011 Barclays GBP (5) (8) (8) – 9/30/2011 Barclays GBP (69) (112) (113) 1 9/30/2011 Barclays GBP (15) (24) (24) – 9/30/2011 Citicorp Securities London Ltd. GBP (28) (46) (46) – 9/30/2011 Citicorp Securities London Ltd. GBP (47) (76) (77) 1 9/30/2011 Citicorp Securities London Ltd. GBP (23) (37) (37) – 9/30/2011 Citicorp Securities London Ltd. GBP (134) (218) (220) 2 9/30/2011 Deutsche Bank London GBP (25) (41) (41) – 9/30/2011 UBS (FX) GBP (806) (1,308) (1,310) 2 11/16/2011 Barclays EUR (7,427) (10,659) (10,588) (71) 11/16/2011 Barclays EUR (2,601) (3,732) (3,735) 3 11/16/2011 Citicorp Securities London Ltd. EUR (10,056) (14,432) (14,320) (112) 11/16/2011 Credit Suisse First Boston London EUR (200) (287) (286) (1) 11/16/2011 Credit Suisse First Boston London EUR (200) (287) (288) 1 11/16/2011 UBS (FX) EUR (600) (861) (858) (3) 11/16/2011 UBS (FX) EUR (16,550) (23,752) (23,364) (388) 11/16/2011 Citicorp Securities London Ltd. GBP (4,633) (7,514) (7,560) 46 11/16/2011 UBS (FX) GBP (183) (297) (298) 1 $ (495) Unrealised Appreciation of Forward Foreign Currency Contracts 222 Unrealised Depreciation of Forward Foreign Currency Contracts (1,958) Net Unrealised Depreciation of Forward Foreign Currency Contracts $ (1,736)

The accompanying notes are an integral part of the Financial Statements

93 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Brazil Bond Fund ^

Portfolio of Investments as at August 31, 2011

% of Value Net Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value

Foreign Bonds and Notes — 98.79% Brazil Government Issues — 98.79% BRL 6,527 Brazil Letras do Tesouro zero Nacional, Series LTN coupon 7/1/2012 3,746 29.83 380 Brazil Notas do Tesouro Nacional, Series F 10.000 1/1/2014 232 1.85 7,545 Brazil Notas do Tesouro Nacional, Series F 10.000 1/1/2017 4,455 35.47 650 Brazil Notas Do Tesouro Nacional Serie F, Series NTNF 10.000 1/1/2013 402 3.20 6,200 Brazil Notas Do Tesouro Nacional Serie F, Series NTNF 10.000 1/1/2021 3,571 28.44

Total Foreign Bonds and Notes (Cost $11,364) 12,406 98.79

Total Investments (Cost $11,364) 12,406 98.79

Other Assets in Excess of Liabilities 152 1.21

Total Net Assets $12,558 100.00

ABBREVIATIONS: BRL – Brazilian Real

ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR TRADED ON A REGULATED MARKET. % of Total Analysis of Total Assets Assets

Transferable securities admitted to an official exchange listing or traded on a regulated exchange 98.67 Other assets 1.33

Total Assets 100.00

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

94 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Credit Absolute Return Fund ^

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset (000’s) Asset (000’s) Rate % Date $ Value Shares/Units (000’s) $ Value

U.S. Corporate Bonds and Notes — 11.03% Collective Investment Schemes — 0.16% 1,500 Ally Financial, Inc. 7.500 9/15/2020 1,474 1.02 53 Western Asset Liquidity Funds PLC – Western Asset 1,500 Calpine Corp., 144A 7.875 1/15/2023 1,530 1.06 Euro Liquidity Fund, Class WA 76 0.05 1,000 CCO Holdings LLC / CCO 93 Western Asset Liquidity Funds PLC – Western Asset Holdings Capital Corp. 8.125 4/30/2020 1,058 0.73 Sterling Liquidity Fund, Class WA 152 0.11 1,000 Ford Motor Credit Co. LLC 8.125 1/15/2020 1,118 0.78 Total Collective Investment Schemes (Cost $230) 228 0.16 1,500 General Electric Capital Corp. * 6.375 11/15/2067 1,485 1.03 1,500 The Goldman Sachs Group, Inc. 6.000 6/15/2020 1,601 1.11 Shares/Units (000’s) 1,000 HCA, Inc. 6.500 2/15/2020 1,011 0.70 Preferred Stock — 0.90% (Cost $1,270) 1,000 HSBC Finance Corp., 144A 6.676 1/15/2021 966 0.67 50 Citigroup Capital XIII 1,302 0.90 1,000 MetroPCS Wireless, Inc. 6.625 11/15/2020 935 0.65 1,000 Range Resources Corp. 6.750 8/1/2020 1,048 0.73 Total Investments Excluding Options (Cost $143,570) 144,012 99.87 1,500 Sprint Capital Corp. 8.750 3/15/2032 1,537 1.06 1,000 Steel Dynamics, Inc. 7.750 4/15/2016 1,021 0.71 Contracts (000’s) 1,285 Wachovia Capital Trust III * 5.570 Perpetual 1,124 0.78 Options — 0.00% Written Options — (0.07%) Total U.S. Corporate Bonds and Notes (Cost $15,548) 15,908 11.03 (10,000) September 2011, Put 1.01 (99) (0.07) U.S. Denominated Bonds and Notes — 1.79% Purchased Options — 0.07% Australia — 0.69% 10,000 September 2011, Call 1.09 98 0.07 1,000 FMG Resources August 2006 Pty Ltd., 144A 7.000 11/1/2015 997 0.69 Total Options (Cost $(5)) (1) –

Canada — 1.10% Total Investments (Cost $143,565) 144,011 99.87 1,500 Novelis, Inc. 8.750 12/15/2020 1,579 1.10 Other Assets in Excess of Liabilities 187 0.13 Total U.S. Denominated Bonds and Notes (Cost $2,523) 2,576 1.79 Total Net Assets $144,198 100.00 U.S. Treasury Obligations — 85.99% USD 10,000 U.S. Treasury Bill zero – Amounts designated as "-" are either $0, less than $1,000 or less than 1,000 shares. coupon 9/1/2011 10,000 6.94 144A Securities exempt from registration under Rule 144A of the Securities Act of 1933, 10,000 U.S. Treasury Bill zero as amended. These securities may only be resold, in transactions exempt from coupon 9/8/2011 10,000 6.94 registration, to qualified institutional buyers. As at August 31, 2011, these securities 10,000 U.S. Treasury Bill zero amounted to $3,494,120 or 2.42% of net assets. coupon 9/15/2011 10,000 6.94 * Variable rate security. The interest rate shown reflects the rate in effect at 10,000 U.S. Treasury Bill zero August 31, 2011. coupon 9/22/2011 10,000 6.94 4,000 U.S. Treasury Bill zero ABBREVIATIONS: coupon 9/29/2011 4,000 2.77 Perpetual – A bond with no maturity date. Perpetual bonds are not redeemable but pay a 10,000 U.S. Treasury Bill zero steady stream of interest. coupon 10/6/2011 10,000 6.93 USD – United States Dollar 10,000 U.S. Treasury Bill zero ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL coupon 10/13/2011 10,000 6.93 EXCHANGE LISTING OR TRADED ON A REGULATED MARKET EXCEPT FOR FUTURES, 10,000 U.S. Treasury Bill zero FORWARDS, SWAPTIONS, SWAPS AND OPTIONS WHICH ARE FINANCIAL coupon 10/20/2011 10,000 6.94 DERIVATIVE INSTRUMENTS DEALT ON A REGULATED MARKET AND COLLECTIVE 10,000 U.S. Treasury Bill zero INVESTMENT SCHEMES. coupon 10/27/2011 10,000 6.93 % of 10,000 U.S. Treasury Bill zero Total Analysis of Total Assets Assets coupon 11/3/2011 10,000 6.93 10,000 U.S. Treasury Bill zero Transferable securities admitted to an official exchange listing or traded on a coupon 11/17/2011 9,999 6.93 regulated market 89.22 10,000 U.S. Treasury Bill zero Financial derivative instruments 1.87 coupon 11/25/2011 9,999 6.93 Collective investment schemes 0.14 10,000 U.S. Treasury Bill zero Other assets 8.77 coupon 12/1/2011 10,000 6.94

Total U.S. Treasury Obligations (Cost $123,999) 123,998 85.99 Total Assets 100.00

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

95 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Credit Absolute Return Fund ^

Portfolio of Investments as at August 31, 2011 – (continued)

Schedule of Credit Default Swaps Notional Buy/Sell Expiration Amount Value Counterparty Reference Entity Protection Pay/Receive Date (000’s) (000’s)

Morgan Stanley & Co., Inc. Citigroup, Inc., 6.13%, due 5/15/18 Sell 1.00% 9/20/16 4,000 $(177) Morgan Stanley & Co., Inc. Wells Fargo Co., 4.53%, due 10/28/15 Buy 1.00% 9/20/16 4,000 27

$(150)

Credit Default Swaps – Total Financial Assets at Fair Value 27 Credit Default Swaps – Total Financial Liabilities at Fair Value (177)

Credit Default Swaps – Total Financial Assets and Liabilities at Fair Value $(150)

Schedule of Swaptions Notional Amount Value Counterparty Description Expiration Date (000’s) (000’s)

BNP Paribas Swaption Receiver, Credit Event, Markit iTraxx Europe, Strike 2.25% 10/20/2011 50,000 $(718) BNP Paribas Swaption Receiver, Credit Event, Markit iTraxx Europe, Strike 2.50% 10/20/2011 50,000 1,137 BNP Paribas Swaption Receiver, Credit Event, Markit iTraxx Europe, Strike 1.55% 10/20/2011 100,000 1,014 BNP Paribas Swaption Payer, Credit Event, Markit iTraxx Europe, Strike 1.90% 10/20/2011 100,000 (585) BNP Paribas Swaption Receiver, Credit Event, Markit iTraxx Europe, Strike 2.00% 10/20/2011 50,000 (392)

Swaptions – Total Financial Assets at Fair Value $2,151 Swaptions – Total Financial Liabilities at Fair Value $(1,695)

Swaptions – Total Financial Assets and Financial Liabilities at Fair Value $456

Schedule of Forward Contracts

Contracts to Receive Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/30/2011 Barclays EUR 427 $ 613 $ 615 $ (2) 9/30/2011 UBS (FX) EUR 926 1,330 1,334 (4) 9/30/2011 Barclays GBP 15 24 24 – 9/30/2011 Barclays GBP 122 198 200 (2) 9/30/2011 Barclays GBP 4,928 7,997 8,061 (64) 9/30/2011 Citicorp Securities London Ltd. GBP 28,594 46,401 46,806 (405) 9/30/2011 Citicorp Securities London Ltd. GBP 9 15 15 – 9/30/2011 Citicorp Securities London Ltd. GBP 10,912 17,707 17,862 (155) 9/30/2011 Citicorp Securities London Ltd. GBP 1,907 3,095 3,122 (27) 9/30/2011 Citicorp Securities London Ltd. GBP 17,433 28,290 28,537 (247) 9/30/2011 Credit Suisse First Boston London GBP 352 571 576 (5) 9/30/2011 Royal Bank of Scotland GBP 2,795 4,536 4,573 (37) 9/30/2011 UBS (FX) GBP 1,988 3,226 3,252 (26) 11/16/2011 Credit Suisse First Boston London AUD 7,038 7,452 7,277 175 11/16/2011 Credit Suisse First Boston London AUD 2,948 3,121 3,000 121 11/16/2011 Credit Suisse First Boston London AUD 1,173 1,242 1,200 42 11/16/2011 Credit Suisse First Boston London AUD 79 84 82 2 11/16/2011 Credit Suisse First Boston London AUD 5,600 5,929 5,801 128 11/16/2011 JPMorgan Chase Bank London AUD 745 788 749 39 11/16/2011 Barclays EUR 50 72 72 – 11/16/2011 Credit Suisse First Boston London EUR 2,102 3,017 3,000 17 11/16/2011 Credit Suisse First Boston London EUR 3,320 4,765 4,776 (11) 11/16/2011 Credit Suisse First Boston London EUR 197 283 284 (1) 11/16/2011 Credit Suisse First Boston London EUR 3,313 4,755 4,735 20 11/16/2011 Deutsche Bank London EUR 5,112 7,337 7,325 12

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

96 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Credit Absolute Return Fund ^

Portfolio of Investments as at August 31, 2011 – (continued)

Contracts to Receive Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 11/16/2011 JPMorgan Chase Bank London EUR 2,648 3,800 3,798 2 11/16/2011 JPMorgan Chase Bank London EUR 500 718 721 (3) 11/16/2011 Morgan Stanley Foreign Exchange EUR 4,000 5,741 5,752 (11) 11/16/2011 Credit Suisse First Boston London GBP 489 793 796 (3) 11/16/2011 Credit Suisse First Boston London GBP 3,000 4,866 4,948 (82) 11/16/2011 Credit Suisse First Boston London GBP 14,000 22,706 22,800 (94) 11/16/2011 UBS (FX) GBP 400 649 646 3 $ (618)

Contracts to Deliver Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/30/2011 Citicorp Securities London Ltd. EUR (157) $ (226) $ (227) $ 1 9/30/2011 Barclays GBP (3) (6) (6) – 9/30/2011 Barclays GBP (58) (95) (95) – 9/30/2011 Barclays GBP (223) (361) (363) 2 9/30/2011 Citicorp Securities London Ltd. GBP (13) (22) (22) – 9/30/2011 Citicorp Securities London Ltd. GBP (3) (5) (5) – 11/16/2011 Credit Suisse First Boston London AUD (3,875) (4,103) (4,003) (100) 11/16/2011 Credit Suisse First Boston London AUD (13,743) (14,550) (13,822) (728) 11/16/2011 JPMorgan Chase Bank London AUD (18,916) (20,028) (20,000) (28) 11/16/2011 Citicorp Securities London Ltd. EUR (2,760) (3,961) (3,930) (31) 11/16/2011 Credit Suisse First Boston London EUR (1,200) (1,722) (1,708) (14) 11/16/2011 Credit Suisse First Boston London EUR (3,000) (4,306) (4,294) (12) 11/16/2011 Credit Suisse First Boston London EUR (400) (574) (572) (2) 11/16/2011 Credit Suisse First Boston London EUR (6,071) (8,714) (8,656) (58) 11/16/2011 Deutsche Bank London EUR (2,050) (2,942) (2,903) (39) 11/16/2011 Deutsche Bank London EUR (900) (1,292) (1,294) 2 11/16/2011 JPMorgan Chase Bank London EUR (800) (1,148) (1,138) (10) 11/16/2011 Morgan Stanley Foreign Exchange EUR (3,600) (5,167) (5,106) (61) 11/16/2011 UBS (FX) EUR (1,753) (2,516) (2,475) (41) 11/16/2011 Barclays GBP (2,800) (4,541) (4,543) 2 11/16/2011 Barclays GBP (100) (162) (164) 2 11/16/2011 Barclays GBP (100) (162) (162) – 11/16/2011 Citicorp Securities London Ltd. GBP (6,532) (10,594) (10,659) 65 11/16/2011 Credit Suisse First Boston London GBP (6,191) (10,041) (10,109) 68 11/16/2011 Credit Suisse First Boston London GBP (110) (178) (181) 3 11/16/2011 Deutsche Bank London GBP (1,860) (3,017) (3,036) 19 11/16/2011 JPMorgan Chase Bank London GBP (300) (487) (489) 2 11/16/2011 UBS (FX) GBP (200) (324) (329) 5 $ (953) Unrealised Appreciation of Forward Foreign Currency Contracts 732 Unrealised Depreciation of Forward Foreign Currency Contracts (2,303) Net Unrealised Depreciation of Forward Foreign Currency Contracts $ (1,571)

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

97 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset UK£ Core Plus Bond Fund ^

Portfolio of Investments as at August 31, 2011

% of % of Coupon Value Net Coupon Value Net Face Value Rate Maturity (000’s) Asset Face Value Rate Maturity (000’s) Asset (000’s) % Date £ Value (000’s) % Date £ Value

Corporate Bonds and Notes — 20.28% 250 Scotland Gas Networks PLC 4.875 12/21/2034 232 0.27 GBP Bonds — 20.28% 300 Scottish Widows PLC * 5.125 Perpetual 221 0.26 240 Abbey National Treasury 180 Society of Lloyd’s * 7.421 Perpetual 148 0.17 Services PLC 4.125 9/14/2017 228 0.27 60 South Eastern Power Networks 420 Abbey National Treasury PLC 6.375 11/12/2031 67 0.08 Services PLC 5.125 4/14/2021 446 0.53 97 Southern Water Services Finance 235 Abbey National Treasury Ltd. 6.640 3/31/2026 114 0.13 Services PLC 5.750 3/2/2026 250 0.29 117 Southern Water Services Finance 260 Anglian Water/Osprey Financing Ltd. 6.192 3/31/2029 132 0.15 PLC 7.000 1/31/2018 248 0.29 316 Spirit Issuer PLC 5.860 12/28/2014 272 0.32 270 Annington Finance No. 4 PLC, 44 Spirit Issuer PLC, Series A4 * 6.582 12/28/2018 38 0.04 Series C1 8.070 1/10/2023 319 0.37 200 Standard Chartered Bank 7.750 4/3/2018 225 0.26 54 Arsenal Securities PLC 5.142 9/1/2029 52 0.06 127 Standard Chartered Bank * 5.375 Perpetual 109 0.13 90 Aviva PLC * 6.125 Perpetual 69 0.08 35 Standard Chartered Bank * 8.103 Perpetual 36 0.04 260 BAA SH PLC 7.125 3/1/2017 247 0.29 140 Standard Life PLC * 6.750 Perpetual 117 0.14 285 Barclays Bank PLC 10.000 5/21/2021 309 0.36 416 Telereal Securitisation PLC, 170 Barclays Bank PLC * 6.369 Perpetual 129 0.15 Series B4 6.165 12/10/2031 405 0.48 170 Barclays Bank PLC * 5.330 Perpetual 106 0.13 243 Tesco Property Finance 3 PLC 5.744 4/13/2040 249 0.29 161 British Telecommunications PLC 8.750 12/7/2016 196 0.23 499 Tesco Property Finance 4 PLC 5.801 10/13/2040 513 0.60 300 British Telecommunications PLC 6.625 6/23/2017 340 0.40 255 Thames Water Kemble Finance 70 British Telecommunications PLC 6.375 6/23/2037 72 0.09 PLC 7.750 4/1/2019 242 0.28 41 Connect M77/GSO PLC 5.404 3/31/2034 36 0.04 154 The Unique Pub Finance Co. 430 Co-Operative Group Ltd. 5.625 7/8/2020 441 0.52 PLC, Series A4 5.659 6/30/2027 98 0.12 490 Coventry Building Society 4.625 4/19/2018 510 0.60 540 Virgin Media Secured Finance 164 Daily Mail & General Trust PLC 5.750 12/7/2018 161 0.19 PLC 5.500 1/15/2021 533 0.63 10 Daily Mail & General Trust PLC 10.000 4/9/2021 13 0.01 440 Western Power Distribution East 179 Dignity Finance PLC 6.310 12/31/2023 211 0.25 Midlands PLC 5.250 1/17/2023 460 0.54 390 Dignity Finance PLC, Series B 8.151 12/31/2030 507 0.60 350 Yorkshire Building Society 4.750 4/12/2018 368 0.43 190 Eastern Power Networks PLC 6.250 11/12/2036 205 0.24 146 Zurich Finance UK PLC * 6.625 Perpetual 131 0.15 18 EDF Energy Networks EPN PLC 5.750 3/8/2024 19 0.02 Total Corporate Bonds and Notes (Cost £17,400) 17,260 20.28 242 Equity Release Funding No. 3 PLC 5.880 5/26/2032 263 0.31 Foreign Corporate Bonds and Notes — 1.62% 200 Eversholt Funding PLC 5.831 12/2/2020 210 0.25 Bermuda — 0.04% 220 Eversholt Funding PLC 6.359 12/2/2025 229 0.27 10 Intelsat Jackson Holdings S.A. 9.500 6/15/2016 6 0.01 140 Firstgroup PLC 8.125 9/19/2018 169 0.20 37 Intelsat Jackson Holdings S.A. 8.500 11/1/2019 24 0.03 360 The Great Rolling Stock Co. Ltd. 6.250 7/27/2020 384 0.45 110 The Great Rolling Stock Co. Ltd. 6.875 7/27/2035 118 0.14 30 0.04 200 The Great Rolling Stock Co. PLC 6.500 4/5/2031 209 0.25 Canada — 0.02% 205 Greene King Finance PLC 5.318 9/15/2031 203 0.24 19 Rogers Communications, Inc. 6.375 3/1/2014 13 0.01 260 Greene King Finance PLC, 8 Rogers Communications, Inc. 6.750 3/15/2015 6 0.01 Series B1 5.702 12/15/2034 220 0.26 318 HSBC Holdings PLC 5.750 12/20/2027 292 0.34 19 0.02 490 HSBC Holdings PLC 6.000 3/29/2040 440 0.52 170 Imperial Tobacco Finance PLC 9.000 2/17/2022 225 0.26 France — 0.03% 130 Imperial Tobacco Finance PLC 8.125 3/15/2024 162 0.19 38 Cie Generale de Geophysique – 556 Lloyds TSB Bank PLC 7.625 4/22/2025 479 0.56 Veritas 7.750 5/15/2017 23 0.02 400 Lloyds TSB Bank PLC 6.000 2/8/2029 433 0.51 20 Korreden S.A. * 11.000 8/1/2014 5 0.01 451 Marstons Issuer PLC, Series B1 * 5.641 7/15/2035 379 0.45 28 0.03 63 Mitchells & Butlers Finance PLC 5.574 12/15/2028 68 0.08 565 Mitchells & Butlers Finance PLC 6.013 12/15/2028 599 0.70 Italy — 0.07% 160 Nationwide Building Society * 5.769 Perpetual 106 0.13 19 Banca Italease S.p.A. * 1.902 2/8/2012 17 0.02 80 Northern Gas Networks Finance 50 Banca Italease S.p.A. * 1.719 3/14/2012 44 0.05 PLC 5.875 7/8/2019 89 0.10 61 0.07 550 Porterbrook Rail Finance Ltd. 5.500 4/20/2019 566 0.66 150 Porterbrook Rail Finance Ltd. 7.125 10/20/2026 167 0.20 Luxembourg — 0.17% 340 Punch Taverns Finance PLC 7.274 4/15/2022 311 0.37 117 Gaz Capital S.A. 6.212 11/22/2016 79 0.09 416 The Royal Bank of Scotland PLC 7.500 4/29/2024 424 0.50 100 TNK-BP Finance S.A. 7.500 7/18/2016 69 0.08 650 The Royal Bank of Scotland PLC 6.875 5/17/2025 617 0.73 62 RSA Insurance Group PLC * 9.375 5/20/2039 74 0.09 148 0.17

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

98 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset UK£ Core Plus Bond Fund ^

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Coupon Value Net Coupon Value Net Face Value Rate Maturity (000’s) Asset Face Value Rate Maturity (000’s) Asset (000’s) % Date £ Value (000’s) % Date £ Value

Foreign Corporate Bonds and Notes — (continued) 54 Steel Dynamics, Inc. 6.750 4/1/2015 33 0.04 Mexico — 0.07% 40 Steel Dynamics, Inc. 7.625 3/15/2020 26 0.03 82 Kansas City Southern de 59 Tenet Healthcare Corp. 10.000 5/1/2018 40 0.05 Mexico S.A. de CV 12.500 4/1/2016 59 0.07 56 Tenet Healthcare Corp. 8.875 7/1/2019 36 0.04

Netherlands — 0.06% 987 1.16 57 Deutsche Telekom International Total Foreign Corporate Bonds and Notes (Cost £1,422) 1,380 1.62 Finance BV 8.750 6/15/2030 48 0.06 55 Hollandwide Parent BV zero GBP Denominated Bonds and Notes — 15.31% coupon 8/1/2014 – – Australia — 0.28% 100 Insurance Australia Group Ltd. * 5.625 12/21/2026 84 0.10 48 0.06 150 National Australia Bank Ltd. 5.125 12/9/2021 153 0.18 United States — 1.16% 237 0.28 63 The AES Corp. 7.750 3/1/2014 41 0.05 70 The AES Corp. 9.750 4/15/2016 48 0.06 Cayman Islands — 0.49% 38 Boyd Gaming Corp. 7.125 2/1/2016 20 0.02 148 Dwr Cymru Financing Ltd. 6.015 3/31/2028 165 0.19 92 Calpine Construction Finance 160 MUFG Capital Finance 5 Ltd. * 6.299 Perpetual 148 0.17 Co. LP and CCFC Finance Corp., 105 Thames Water Utilities Cayman 144A 8.000 6/1/2016 60 0.07 Finance Ltd. * 5.375 7/21/2025 110 0.13 30 Cengage Learning Acquisitions, Inc., 144A 10.500 1/15/2015 14 0.02 423 0.49 9 Chesapeake Energy Corp. 6.500 8/15/2017 6 0.01 Denmark — 0.29% 55 Chesapeake Energy Corp. 7.250 12/15/2018 36 0.04 120 Danske Bank A/S * 5.684 Perpetual 91 0.11 70 Community Health Systems, Inc. 8.875 7/15/2015 44 0.05 140 TDC A/S 5.625 2/23/2023 150 0.18 31 CSC Holdings LLC 8.625 2/15/2019 21 0.02 15 DISH DBS Corp. 7.000 10/1/2013 10 0.01 241 0.29 29 DISH DBS Corp. 7.750 5/31/2015 19 0.02 61 DISH DBS Corp. 7.875 9/1/2019 40 0.05 France — 1.07% 67 El Paso Corp. 7.000 6/15/2017 46 0.06 50 AXA S.A. * 6.667 Perpetual 39 0.05 102 Energy Future Intermediate 300 BNP Paribas S.A. * 5.954 Perpetual 236 0.28 Holding Co. LLC / EFIH Finance, 100 BNP Paribas S.A. * 7.436 Perpetual 84 0.10 Inc. 10.000 12/1/2020 63 0.07 300 CNP Assurances * 7.375 9/30/2041 289 0.34 15 Freescale Semiconductor, Inc. 10.125 12/15/2016 10 0.01 150 Credit Agricole S.A. * 5.136 Perpetual 102 0.12 13 HCA, Inc. 6.250 2/15/2013 8 0.01 211 Credit Agricole S.A., 23 HCA, Inc. 7.690 6/15/2025 13 0.02 Series TSDI * 5.000 Perpetual 154 0.18 41 HCA, Inc. 7.500 11/15/2095 19 0.02 904 1.07 3 The Hertz Corp. 8.875 1/1/2014 2 – 6 Inn of the Mountain Gods Germany — 2.97% Resort & Casino, 144A 8.750 11/30/2020 4 0.01 839 Kreditanstalt fuer Wiederaufbau 5.500 12/7/2015 963 1.13 60 Key Energy Services, Inc. 6.750 3/1/2021 36 0.04 1,300 Kreditanstalt fuer Wiederaufbau 5.550 6/7/2021 1,564 1.84 17 Lehman Escrow Receipt ? zero 2,527 2.97 coupon Perpetual – – 3 MGM Resorts International 10.375 5/15/2014 2 – Iceland — 0.13% 2 MGM Resorts International 6.625 7/15/2015 1 – 473 Glitnir Banki HF † e 6.000 3/5/2012 109 0.13 82 MGM Resorts International 7.625 1/15/2017 46 0.06 9 MGM Resorts International 11.125 11/15/2017 6 0.01 Ireland — 1.25% 20 Premier Entertainment Biloxi zero 448 GE Capital UK Funding 5.875 11/1/2012 466 0.55 LLC † ? coupon 2/1/2012 – – 560 GE Capital UK Funding 5.875 11/4/2020 594 0.70 32 Qwest Communications 1,060 1.25 International, Inc., Series B 7.500 2/15/2014 20 0.02 19 Qwest Corp. 6.875 9/15/2033 11 0.01 Italy — 0.34% 80 Reynolds American, Inc. 6.750 6/15/2017 58 0.07 250 Telecom Italia S.p.A. 6.375 6/24/2019 244 0.29 140 Reynolds Group Issuer, Inc. / 50 Telecom Italia S.p.A. 5.875 5/19/2023 44 0.05 Reynolds Group Issuer LLC, 144A 8.500 10/15/2016 88 0.10 288 0.34 57 Service Corp. International 7.500 4/1/2027 33 0.04 Jersey Channel Islands — 2.39% 16 SLM Corp. 8.000 3/25/2020 10 0.01 130 Annington Repackaging No. 1 28 SLM Corp. 5.625 8/1/2033 14 0.02 Ltd. 5.324 1/10/2023 134 0.16 4 Southern Natural Gas Co. 8.000 3/1/2032 3 – 370 BAA Funding Ltd. 6.450 12/10/2031 394 0.46

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

99 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset UK£ Core Plus Bond Fund ^

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Coupon Value Net Coupon Value Net Face Value Rate Maturity (000’s) Asset Face Value Rate Maturity (000’s) Asset (000’s) % Date £ Value (000’s) % Date £ Value

GBP Denominated Bonds and Notes — (continued) 1,976 European Investment Bank 4.125 12/7/2017 2,158 2.54 Jersey Channel Islands — (continued) 850 United Kingdom Gilt 3.250 12/7/2011 856 1.01 310 BAA Funding Ltd. 5.875 5/13/2041 301 0.36 12,100 United Kingdom Gilt 3.750 9/7/2021 13,121 15.42 200 Gatwick Funding Ltd. 6.125 3/2/2026 206 0.24 2,379 United Kingdom Gilt 4.250 3/7/2036 2,556 3.00 267 HSBC Bank Capital Funding 6,980 United Kingdom Gilt 4.250 9/7/2039 7,492 8.80 Sterling LP * 5.862 Perpetual 227 0.27 9,360 United Kingdom Gilt 4.250 12/7/2040 10,013 11.77 273 HSBC Bank Capital Funding 500 United Kingdom Gilt 4.250 12/7/2049 539 0.63 Sterling LP * 5.844 Perpetual 214 0.25 IDR 3,706,000 Indonesia Treasury Bond, 300 QBE Capital Funding II LP 7.500 5/24/2041 288 0.34 Series FR42 10.250 7/15/2027 327 0.39 241 WPP PLC 6.000 4/4/2017 266 0.31 PLN 8,400 Poland Government Bond, Series 0922 5.750 9/23/2022 1,812 2.13 2,030 2.39 Total Government Securities (Cost £37,705) 39,404 46.31 Netherlands — 1.53% 160 Barclays SLCSM Funding BV * 6.140 Perpetual 139 0.16 U.S. Government Agency Discount Notes — 0.11% 26 Deutsche Telekom International USD 150 FHLMC Corp. Discount Notes‡ zero Finance BV 6.500 4/8/2022 30 0.04 coupon 1/10/2012 93 0.11 550 ELM BV for Swiss Reinsurance Total U.S. Government Agency Discount Notes (Cost £91) 93 0.11 Co. * 6.302 Perpetual 435 0.51 350 Generali Finance BV * 6.214 Perpetual 259 0.30 U.S. Treasury Obligations — 2.57% 250 ING Bank NV * 6.875 5/29/2023 250 0.29 USD 3,380 U.S. Treasury Bond 3.875 8/15/2040 2,189 2.57 261 ING Groep NV * 5.140 Perpetual 191 0.23 Total U.S. Treasury Obligations (Cost £2,029) 2,189 2.57 1,304 1.53 Shares/Units New Zealand — 0.12% (000’s) 94 TCNZ Finance Ltd. 5.625 5/14/2018 102 0.12 Common Stock — 0.01% (Cost £6) Spain — 0.63% – Charter Communications, Inc., 150 Santander Finance Class A 8 0.01 Preferred S.A. Unipersonal, Shares/Units Series 8 * 11.300 Perpetual 149 0.18 (000’s) 450 Telefonica Emisiones SAU 5.445 10/8/2029 387 0.45 Collective Investment Schemes — 9.04% 536 0.63 2 Legg Mason Global Funds PLC – Legg Mason Western Asset Euro Sweden — 0.30% High Yield ? 196 0.23 249 Investor AB 5.500 5/5/2037 257 0.30 14 Legg Mason Global Funds PLC – Legg Mason Western Asset U.S. Switzerland — 0.50% High Yield 888 1.05 400 Credit Suisse * 6.750 1/16/2023 424 0.50 ? 337 Western Asset Liquidity Funds United States — 3.02% PLC – Western Asset Euro 65 BA Credit Card Trust * 6.100 10/17/2015 67 0.08 Liquidity Fund, Class WA 299 0.35 400 BAC Capital Trust VII 5.250 8/10/2035 268 0.31 6,307 Western Asset Liquidity Funds 50 Capital One Multi-Asset PLC – Western Asset Sterling Execution Trust * 6.625 6/17/2014 53 0.06 Liquidity Fund, Class WA 6,307 7.41 630 Citigroup, Inc. 7.375 9/1/2039 668 0.78 Total Collective Investment Schemes (Cost £7,715) 7,690 9.04 311 The Goldman Sachs Group, Inc. 5.500 10/12/2021 273 0.32 280 Merrill Lynch & Co., Inc. 5.500 11/22/2021 224 0.26 Total Investments (Cost £79,831) 81,053 95.25 140 National Capital Trust I * 5.620 Perpetual 116 0.14 65 Pemex Project Funding Master Other Assets in Excess of Liabilities 4,045 4.75 Trust 7.500 12/18/2013 70 0.08 Total Net Assets £85,098 100.00 190 Rabobank Capital Funding Trust IV * 5.556 Perpetual 160 0.19 450 Time Warner Cable, Inc. 5.750 6/2/2031 455 0.53 300 Wells Fargo & Co 4.875 11/29/2035 233 0.27

2,587 3.02

Total GBP Denominated Bonds and Notes (Cost £13,463) 13,029 15.31

Government Securities — 46.31% GBP 483 European Investment Bank 4.375 7/8/2015 530 0.62 ^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

100 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset UK£ Core Plus Bond Fund ^

Portfolio of Investments as at August 31, 2011 – (continued)

– Amounts designated as "-" are either £0, less than £1,000 or less than 1,000 shares. 144A Securities exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These securities may only be resold, in transactions exempt from registration, to qualified institutional buyers. As at August 31, 2011, these securities amounted to £165,971 or 0.20% of net assets. * Variable rate security. The interest rate shown reflects the rate in effect at August 31, 2011. ? Security is valued in good faith at fair value by or at the discretion of the Investment Manager. † Illiquid. e Security is in default as at August 31, 2011. ‡ Security held as collateral for future contracts trading as at August 31, 2011.

ABBREVIATIONS: Perpetual – A bond with no maturity date. Perpetual bonds are not redeemable but pay a steady stream of interest. EUR – Euro GBP – British Pound IDR – Indonesian Rupiah PLN – Polish Zloty USD – United States Dollar

ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR TRADED ON A REGULATED MARKET EXCEPT FOR FUTURES, FORWARDS AND SWAPS WHICH ARE FINANCIAL DERIVATIVE INSTRUMENTS DEALT IN ON A REGULATED MARKET AND COLLECTIVE INVESTMENT SCHEMES. % of Total Analysis of Total Assets Assets

Transferable securities admitted to an official exchange listing or traded on a regulated market 86.08 Financial derivative instruments 0.42 Collective investment schemes 9.02 Other assets 4.48

Total Assets 100.00

Schedule of Futures Contracts Net Notional Unrealised Unrealised Unrealised Nominal Notional Cost Value Gains Losses Gain/ (Loss) Value (000’s) (000’s) (000’s) (000’s) (000’s)

Long Gilt December 2011 (146) £(18,538) £(18,464) £74 – £74 U.S. 10 Year Note December 2011 (29) (2,308) (2,305) 3 – 3 U.S. Ultra Bond (CBT) December 2011 (16) (1,426) (1,411) 15 – 15

Total Market Value of Future Contracts (191) £(22,272) £(22,180) £92 – £92

Schedule of Credit Default Swaps Notional Buy/Sell Expiration Amount Value Counterparty Reference Entity Protection Pay/Receive Date (000’s) (000’s)

Barclays Capital, Inc. Markit iTraxx Europe Xover, 5.00%, due 6/20/16 Buy 5.00% 6/20/16 2,830 £134 BNP Paribas Markit iTraxx Europe Xover, 5.00%, due 6/20/16 Buy 5.00% 6/20/16 950 45

£179

Credit Default Swaps – Total Financial Assets at Fair Value 179 Credit Default Swaps – Total Financial Liabilities at Fair Value –

Credit Default Swaps – Total Financial Assets and Liabilities at Fair Value £179

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

101 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset UK£ Core Plus Bond Fund ^

Portfolio of Investments as at August 31, 2011 – (continued)

Schedule of Forward Contracts

Contracts to Receive Unrealised In Exchange Appreciation/ Value in for British (Depreciation) of Expiration Date Counterparty Local Currency British Pound Pound Contracts 11/16/2011 Deutsche Bank London CAD 1,370 £ 861 £ 855 £ 6 11/16/2011 Barclays EUR 106 94 93 1 11/16/2011 Citicorp Securities London Ltd. EUR 1,050 929 916 13 11/16/2011 JPMorgan Chase Bank London EUR 1,100 973 972 1 11/16/2011 UBS (FX) EUR 176 156 154 2 11/16/2011 Deutsche Bank London NOK 4,839 554 537 17 11/16/2011 Barclays USD 2,100 1,295 1,280 15 11/16/2011 Deutsche Bank London USD 7,992 4,927 4,896 31 11/16/2011 Deutsche Bank London USD 600 370 368 2 11/16/2011 Societe Generale USD 1,000 617 617 – £ 88

Contracts to Deliver Unrealised In Exchange Appreciation/ Value in for British (Depreciation) of Expiration Date Counterparty Local Currency British Pound Pound Contracts 11/16/2011 Barclays EUR (1,720) £ (1,522) £ (1,524) £ 2 11/16/2011 Deutsche Bank London EUR (2,273) (2,012) (1,971) (41) 11/16/2011 JPMorgan Chase Bank London NOK (4,777) (547) (536) (11) 11/16/2011 Citicorp Securities London Ltd. PLN (615) (131) (130) (1) 11/16/2011 Deutsche Bank London PLN (4,180) (889) (889) – 11/16/2011 Barclays USD (10,597) (6,534) (6,532) (2) 11/16/2011 Barclays USD (150) (92) (92) – 11/16/2011 Barclays USD (150) (92) (92) – 11/16/2011 Citicorp Securities London Ltd. USD (557) (344) (342) (2) 11/16/2011 Citicorp Securities London Ltd. USD (325) (201) (200) (1) 11/16/2011 Goldman Sachs London FX USD (1,700) (1,048) (1,037) (11) 11/16/2011 JPMorgan Chase Bank London USD (4,908) (3,026) (3,026) – £ (67) Unrealised Appreciation of Forward Foreign Currency Contracts 90 Unrealised Depreciation of Forward Foreign Currency Contracts (69) Net Unrealised Appreciation of Forward Foreign Currency Contracts £ 21

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

102 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Core Plus Bond Fund^

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

Asset-Backed Securities — 0.94% 300 Hannover Finance USD 265 Access Group, Inc., Luxembourg S.A. * 5.750 9/14/2040 369 0.41 Series 2001 * 0.482 5/25/2029 244 0.27 169 Hollandwide Parent BV zero 12 CDC Mortgage Capital Trust, coupon 8/1/2014 1 – Series HE1 * 0.838 1/25/2033 9 0.01 160 HSBC Capital Funding LP * 5.369 Perpetual 213 0.24 24 Countrywide Asset-Backed 300 HT1 Funding GmbH * 5.351 Perpetual 248 0.28 Certificates, Series BC3 * 0.698 12/25/2031 12 0.01 130 Imperial Tobacco Finance PLC 8.375 2/17/2016 222 0.25 43 EMC Mortgage Loan Trust, 150 Intesa Sanpaolo S.p.A. * 9.500 Perpetual 179 0.20 Series B, 144A * 0.868 2/25/2041 35 0.04 61 Korreden S.A. * 11.000 8/1/2014 26 0.03 671 Morgan Stanley Mortgage Loan 1,150 Lloyds TSB Bank PLC 6.500 3/24/2020 1,368 1.53 Trust, Series 2AX * 0.308 12/25/2036 242 0.27 150 Muenchener 19 Option One Mortgage Loan Rueckversicherungs AG * 5.767 Perpetual 181 0.20 Trust, Series 6 * 1.018 11/25/2032 15 0.02 400 Royal Bank of Scotland Group 3 Residential Asset Securities PLC * 7.092 Perpetual 328 0.37 Corp., Series 2001-KS2I, 411 The Royal Bank of Scotland PLC 4.875 1/20/2017 558 0.62 Class AII * 0.678 6/25/2031 2 – 840 The Royal Bank of Scotland PLC 6.934 4/9/2018 1,054 1.18 300 SLM Student Loan Trust, 650 Standard Chartered Bank 5.875 9/26/2017 960 1.07 Series 11, 144A * 0.537 12/15/2025 284 0.32 300 Telecom Italia S.p.A. 5.250 3/17/2055 297 0.33 610 Thames Water Utilities Cayman Total Asset-Backed Securities (Cost $960) 843 0.94 Finance Ltd. 6.125 2/4/2013 924 1.03 Collateralised Mortgage-Backed Obligations — 0.87% 416 UBS AG 6.000 4/18/2018 660 0.74 USD 870 Countrywide Alternative Loan 150 Xstrata Finance Canada Ltd. 5.250 6/13/2017 222 0.25 Trust, Series 36T2 6.000 12/25/2036 532 0.60 11,677 13.05 438 Harborview Mortgage Loan Trust, Series 13 * 0.392 11/19/2046 217 0.24 Total Foreign Corporate Bonds and Notes (Cost $14,749) 14,457 16.16 56 Harborview Mortgage Loan Foreign Government Bonds and Notes — 32.92% Trust, Series 2006-14, Canada Government Issues — 4.88% Class 2A1A * 0.362 1/25/2047 31 0.03 CAD 3,090 Canadian Government Bond 4.250 6/1/2018 3,602 4.03 Total Collateralised Mortgage-Backed Obligations (Cost $830) 780 0.87 356 Canadian Government BondI 4.000 12/1/2031 762 0.85

Foreign Corporate Bonds and Notes — 16.16% 4,364 4.88 Australian Dollar Bonds — 1.10% Euro Bonds — 12.93% AUD 900 Westpac Banking Corp. 7.250 2/11/2020 982 1.10 EUR 620 Bundesrepublik Deutschland, British Pound Sterling Bonds — 2.01% Series 02 5.000 7/4/2012 923 1.03 GBP 180 Annington Finance No. 4 PLC, 510 Bundesrepublik Deutschland, Series C1 8.070 1/10/2023 345 0.38 Series 07 4.250 7/4/2039 886 0.99 230 British Telecommunications PLC 8.750 12/7/2016 455 0.51 1,770 Hellenic Republic Government 70 Dignity Finance PLC, Series B 8.151 12/31/2030 148 0.17 BondI 2.300 7/25/2030 1,005 1.12 102 Glitnir Banki HF † e 6.000 3/5/2012 38 0.04 270 Hellenic Republic Government 160 QBE Insurance Group Ltd. 10.000 3/14/2014 297 0.33 Bond 4.600 9/20/2040 155 0.17 150 Society of Lloyd’s * 7.421 Perpetual 201 0.23 2,151 Italy Buoni Poliennali Del Tesoro 4.500 2/1/2020 3,041 3.40 196 Telefonica Emisiones SAU 5.375 2/2/2018 314 0.35 1,070 Italy Buoni Poliennali Del Tesoro 5.250 11/1/2029 1,411 1.58 1,152 Italy Buoni Poliennali Del Tesoro 5.000 9/1/2040 1,407 1.57 1,798 2.01 1,850 Spain Government Bond 5.500 4/30/2021 2,745 3.07 Euro Bonds — 13.05% 11,573 12.93 EUR 131 Banca Italease S.p.A. * 1.902 2/8/2012 185 0.21 150 Banca Italease S.p.A. * 1.719 3/14/2012 213 0.24 Japanese Government Issues — 9.93% 245 Barclays Bank PLC 4.250 10/27/2011 353 0.39 JPY 40,000 Japan Government Fifteen Year 876 Barclays Bank PLC 6.000 1/23/2018 1,168 1.30 Bond, Series 35 * 0.220 7/20/2020 514 0.58 440 Barclays Bank PLC 6.000 1/14/2021 543 0.61 53,000 Japan Government Ten Year 190 Barclays Bank PLC 6.625 3/30/2022 237 0.27 Bond, Series 296 1.500 9/20/2018 735 0.82 300 Commerzbank AG 7.750 3/16/2021 380 0.42 178,000 Japan Government Ten Year 150 DONG Energy A/S 4.875 12/16/2021 232 0.26 Bond, Series 310 1.000 9/20/2020 2,349 2.63 200 ELM BV for Swiss Reinsurance 15,000 Japan Government Thirty Year Co. * 5.252 Perpetual 239 0.27 Bond, Series 25 2.300 12/20/2036 209 0.23 250 Fortis Bank S.A./NV * 4.625 Perpetual 277 0.31 89,000 Japan Government Thirty Year 26 GE Capital European Funding 5.375 1/23/2020 40 0.04 Bond, Series 32 2.300 3/20/2040 1,236 1.38

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

103 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Core Plus Bond Fund^

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

Foreign Government Bonds and Notes — (continued) Financials – Banks — 7.29% Japanese Government Issues — (continued) 200 Bank of America Corp. 4.500 4/1/2015 202 0.23 150,000 Japan Government Twenty Year EUR 450 Bank of America Corp. * 4.000 3/28/2018 517 0.58 Bond, Series 128 1.900 Perpetual 1,977 2.21 200 Bank of America Corp. 7.625 6/1/2019 226 0.25 139,000 Japanese Government Bond, EUR 541 Citigroup, Inc. 7.375 9/4/2019 865 0.97 Series 13I 1.300 9/10/2017 1,864 2.08 180 Citigroup, Inc. 5.875 5/29/2037 172 0.19 640 Citigroup, Inc. 8.125 7/15/2039 771 0.86 8,884 9.93 100 The Goldman Sachs Group, Inc. 5.375 3/15/2020 102 0.11 GBP 890 The Goldman Sachs Group, Inc. 5.500 10/12/2021 1,267 1.42 Mexican Government Bonds — 0.48% 240 The Goldman Sachs Group, Inc. 6.250 2/1/2041 236 0.26 MXN 4,640 Mexican Bonos, Series M 8.000 6/11/2020 430 0.48 410 JPMorgan Chase & Co. 5.150 10/1/2015 436 0.49 Poland Government Issues — 2.93% EUR 150 JPMorgan Chase Bank N.A. * 4.375 11/30/2021 202 0.23 PLN 7,490 Poland Government Bond, 450 NB Capital Trust II 7.830 12/15/2026 441 0.49 Series 0922 5.750 9/23/2022 2,622 2.93 1,110 Wachovia Capital Trust III * 5.570 Perpetual 971 1.08 110 Wachovia Corp. 5.250 8/1/2014 118 0.13 United Kingdom Government Issues — 1.77% GBP 910 United Kingdom Gilt 4.250 12/7/2040 1,580 1.77 6,526 7.29

Total Foreign Government Bonds and Notes (Cost $28,350) 29,453 32.92 Financials – Capital Markets — 0.00% 960 Lehman Brothers Holdings zero U.S. Corporate Bonds and Notes — 16.26% Capital Trust VII e coupon Perpetual – – Agriculture — 0.14% 301 Lehman Escrow Receipt ? zero 105 Reynolds American, Inc. 6.750 6/15/2017 124 0.14 coupon Perpetual 2 – Basic Materials — 0.01% 2 – 10 CF Industries, Inc. 7.125 5/1/2020 11 0.01 Financials – Diversified — 1.16% Beverages — 0.51% 80 American Express Co. 8.125 5/20/2019 103 0.11 290 Anheuser-Busch InBev 190 Ford Motor Credit Co. LLC 8.125 1/15/2020 212 0.24 Worldwide, Inc. 5.375 1/15/2020 340 0.38 220 General Electric Capital Corp. 5.400 2/15/2017 243 0.27 22 PepsiCo, Inc. 7.900 11/1/2018 29 0.03 165 General Electric Capital Corp. 6.750 3/15/2032 186 0.21 80 PepsiCo, Inc. 4.875 11/1/2040 85 0.10 240 SLM Corp. 8.000 3/25/2020 247 0.28 454 0.51 50 SLM Corp. 5.625 8/1/2033 41 0.05

Commercial Services — 0.07% 1,032 1.16 31 Ashtead Capital, Inc., 144A 9.000 8/15/2016 31 0.04 Financials – Insurance — 0.71% 30 Service Corp. International 7.500 4/1/2027 28 0.03 210 American International Group, 59 0.07 Inc. 5.850 1/16/2018 213 0.24 170 American International Group, Electric — 0.92% Inc. 6.250 3/15/2037 137 0.15 45 The AES Corp. 9.750 4/15/2016 50 0.06 180 MetLife, Inc. 6.400 12/15/2036 164 0.19 110 Calpine Corp., 144A 7.500 2/15/2021 111 0.12 100 Teachers Insurance & Annuity 100 Dominion Resources, Inc. 5.700 9/17/2012 105 0.12 Association of America 6.850 12/16/2039 119 0.13 60 Dominion Resources, Inc. 5.200 8/15/2019 69 0.08 40 Edison Mission Energy 7.625 5/15/2027 25 0.03 633 0.71 50 Energy Future Intermediate Food — 0.19% Holding Co. LLC / EFIH Finance, 150 Kraft Foods, Inc. 5.375 2/10/2020 170 0.19 Inc. 10.000 12/1/2020 50 0.05 100 Exelon Corp. 5.625 6/15/2035 102 0.11 Healthcare – Services — 0.07% 22 FirstEnergy Corp., Series B 6.450 11/15/2011 22 0.02 60 Tenet Healthcare Corp. 9.250 2/1/2015 64 0.07 105 FirstEnergy Corp., Series C 7.375 11/15/2031 122 0.14 Household Products — 0.25% 150 Pacific Gas & Electric Co. 6.050 3/1/2034 173 0.19 250 Reynolds Group Issuer, Inc. / 829 0.92 Reynolds Group Issuer LLC, 144A 9.000 4/15/2019 225 0.25 Energy — 0.19% 50 Arch Coal, Inc., 144A 7.000 6/15/2019 49 0.06 Iron & Steel — 0.07% 110 Consol Energy, Inc. 8.000 4/1/2017 117 0.13 60 Steel Dynamics, Inc. 6.750 4/1/2015 60 0.07

166 0.19 Leisure & Lodgings — 0.04% 5 Inn of the Mountain Gods Resort & Casino, 144A 8.750 11/30/2020 5 0.01 ^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

104 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Core Plus Bond Fund^

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Corporate Bonds and Notes — (continued) U.S. Denominated Bonds and Notes — 3.77% Leisure & Lodgings — (continued) Australia — 0.38% 30 MGM Resorts International 6.625 7/15/2015 27 0.03 80 FMG Resources August 2006 Pty 30 Station Casinos, Inc. † e 6.000 4/1/2012 – – Ltd., 144A 7.000 11/1/2015 80 0.09 5 Station Casinos, Inc. † e 6.875 3/1/2016 – – 210 Rio Tinto Finance USA Ltd. 6.500 7/15/2018 256 0.29 175 Station Casinos, Inc. † e 7.750 8/15/2016 – – 336 0.38 32 0.04 Bermuda — 0.25% Media — 0.61% 35 Intelsat Jackson Holdings S.A. 8.500 11/1/2019 36 0.04 190 Comcast Corp. 5.875 2/15/2018 223 0.25 160 Novartis Securities Investment 60 Time Warner Cable, Inc. 6.200 7/1/2013 65 0.08 Ltd. 5.125 2/10/2019 186 0.21 130 Time Warner Cable, Inc. 7.300 7/1/2038 154 0.17 222 0.25 50 Time Warner Cable, Inc. 6.750 6/15/2039 56 0.06 50 Univision Communications, Inc., Canada — 0.34% 144A 7.875 11/1/2020 48 0.05 100 Anadarko Finance Co. 7.500 5/1/2031 117 0.13 50 Barrick Gold Corp. 6.950 4/1/2019 61 0.07 546 0.61 60 Novelis, Inc. 8.750 12/15/2020 63 0.07 Mining — 0.18% 10 Rogers Communications, Inc. 6.375 3/1/2014 11 0.01 150 Freeport-McMoRan Copper & 30 Rogers Communications, Inc. 6.750 3/15/2015 35 0.04 Gold, Inc. 8.375 4/1/2017 162 0.18 6 Teck Resources Ltd. 9.750 5/15/2014 7 0.01 9 Teck Resources Ltd. 10.250 5/15/2016 11 0.01 Oil, Gas & Consumable Fuels — 1.57% 20 Anadarko Petroleum Corp. 6.450 9/15/2036 21 0.02 305 0.34 70 Apache Corp. 5.100 9/1/2040 75 0.08 France — 0.25% 55 Chesapeake Energy Corp. 7.250 12/15/2018 59 0.07 240 Credit Agricole S.A., 144A * 8.375 Perpetual 221 0.25 40 Chesapeake Energy Corp. 6.875 11/15/2020 42 0.05 100 ConocoPhillips 4.750 10/15/2012 104 0.12 Iceland — 0.52% 60 ConocoPhillips 6.500 2/1/2039 76 0.08 660 Glitnir Banki HF, 144A ? e 6.693 6/15/2016 – – 110 ConocoPhillips Holding Co. 6.950 4/15/2029 140 0.16 1,900 Kaupthing Bank HF, 144A † e 7.625 2/28/2015 466 0.52 70 Hess Corp. 7.300 8/15/2031 87 0.10 40 Hess Corp. 6.000 1/15/2040 44 0.05 466 0.52 250 Kerr-McGee Corp. 6.950 7/1/2024 294 0.33 Japan — 0.37% 90 Kerr-McGee Corp. 7.875 9/15/2031 109 0.12 320 Sumitomo Mitsui Banking Corp., 50 Key Energy Services, Inc. 6.750 3/1/2021 49 0.05 144A 3.150 7/22/2015 333 0.37 120 Noble Energy, Inc. 8.250 3/1/2019 157 0.18 130 Pemex Project Funding Master Kyrgystan — 0.21% Trust 6.625 6/15/2035 144 0.16 161 Vale Overseas Ltd. 6.875 11/21/2036 184 0.21

1,401 1.57 Malaysia — 0.47% 390 Sarawak International, Inc. 5.500 8/3/2015 421 0.47 Pipelines — 0.65% 34 El Paso Corp. 7.800 8/1/2031 38 0.04 Mexico — 0.10% 101 El Paso Natural Gas Co. 8.375 6/15/2032 132 0.15 78 Kansas City Southern de 80 Energy Transfer Partners LP 6.700 7/1/2018 91 0.10 Mexico S.A. de CV 12.500 4/1/2016 91 0.10 100 Enterprise Products Operating Netherlands — 0.21% LLC 6.300 9/15/2017 117 0.13 100 Deutsche Telekom International 148 The Williams Cos., Inc., Series A 7.500 1/15/2031 173 0.19 Finance BV 5.250 7/22/2013 107 0.12 30 Williams Partners LP 5.250 3/15/2020 33 0.04 60 Koninklijke KPN NV 8.375 10/1/2030 78 0.09 584 0.65 185 0.21 Telecommunications — 1.63% United Kingdom — 0.67% 210 AT&T, Inc. 5.600 5/15/2018 243 0.27 80 BP Capital Markets PLC 4.500 10/1/2020 87 0.10 440 AT&T, Inc. 3.875 8/15/2021 452 0.50 50 Diageo Capital PLC 4.828 7/15/2020 56 0.06 50 Sprint Capital Corp. 8.375 3/15/2012 51 0.06 600 Royal Bank of Scotland Group 320 Verizon Communications, Inc. 6.100 4/15/2018 381 0.42 PLC, Series U 7.640 Perpetual 360 0.40 350 Windstream Corp. 7.500 4/1/2023 339 0.38

1,466 1.63

Total U.S. Corporate Bonds and Notes (Cost $14,455) 14,546 16.26

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

105 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Core Plus Bond Fund^

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset (000’s) Asset (000’s) Rate % Date $ Value Shares/Units (000’s) $ Value

U.S. Denominated Bonds and Notes — (continued) Collective Investment Schemes — 3.63% United Kingdom — (continued) 12 Legg Mason Global Funds PLC – Legg Mason Western 100 Vedanta Resources PLC, 144A 8.750 1/15/2014 101 0.11 Asset Euro High Yield Bond Fund ? 1,644 1.84 1,067 Western Asset Liquidity Funds PLC – Western Asset 604 0.67 Euro Liquidity Fund, Class WA 1,532 1.71 44 Western Asset Liquidity Funds PLC – Western Asset Total U.S. Denominated Bonds and Notes (Cost $3,445) 3,368 3.77 Sterling Liquidity Fund, Class WA 71 0.08 U.S. Denominated Debt Obligations — 0.84% Total Collective Investment Schemes (Cost $3,284) 3,247 3.63 China — 0.21% 172 Export-Import Bank of China 4.875 7/21/2015 190 0.21 Shares/Units (000’s)

Mexico — 0.06% Preferred Stock — 0.18% (Cost $171) 39 Mexico Government 6 Citigroup Capital XII 164 0.18 International Bond 6.750 9/27/2034 49 0.06 Total Investments Excluding Options (Cost $89,225) 91,930 102.76 Russia — 0.57% Contracts (000’s) 140 Russian Agricultural Bank OJSC Via RSHB Capital S.A. * 6.970 9/21/2016 140 0.16 Options — (0.43%) 310 Russian Government Written Options — (0.49%) International Bond 7.500 3/31/2030 370 0.41 – Bobl September 2011, Call 118.50 (145) (0.16) – Bund September 2011, Call 128.00 (229) (0.26) 510 0.57 – December 2011, Put 132.00 (34) (0.04) Total U.S. Denominated Debt Obligations (Cost $731) 749 0.84 – Euribor 3 Month March 2012, Put 95.75 (1) – – Euribor 3 Month March 2012, Put 95.875 (1) – U.S. Government Agency Mortgage-Backed Securities — 6.57% – U.S. 10 Year October 2011, Put 128.00 (25) (0.03) Federal National Mortgage Association (FNMA) — 6.57% USD 600 FNMA, 30 Year September (435) (0.49) TBA± 6.000 9/15/2041 664 0.74 Purchased Options — 0.06% 2,400 FNMA, 30 Year October TBA± 4.500 10/15/2041 2,529 2.83 – Bund September 2011, Put 126.00 15 0.02 2,500 FNMA, 30 Year October TBA± 5.000 10/15/2041 2,687 3.00 2,710 USD Call/EUR Put 1.40 32 0.04

Total U.S. Government Agency Mortgage-Backed Securities 47 0.06 (Cost $5,879) 5,880 6.57 Total Options (Cost $(30)) (388) (0.43) U.S. Government Agency Obligations — 8.06% USD 9,670 FNMA zero Total Investments (Cost $89,195) 91,542 102.33 coupon 10/9/2019 7,207 8.06 Liabilities in Excess of Other Assets (2,086) (2.33) Total U.S. Government Agency Obligations (Cost $6,574) 7,207 8.06 Total Net Assets $89,456 100.00 U.S. Treasury Obligations — 12.56% – Amounts designated as "-" are either $0, less than $1,000 or less than 1,000 USD 980 U.S. Treasury Bond 4.375 5/15/2040 1,122 1.25 shares. 6,600 U.S. Treasury Bond 3.875 8/15/2040 6,939 7.76 144A Securities exempt from registration under Rule 144A of the Securities Act of 1933, 140 U.S. Treasury Bond 4.250 11/15/2040 157 0.18 as amended. These securities may only be resold, in transactions exempt from 7,090 U.S. Treasury Strip Principal zero registration, to qualified institutional buyers. As at August 31, 2011, these securities coupon 5/15/2040 2,293 2.56 amounted to $1,988,987 or 2.23% of net assets. 2,290 U.S. Treasury Strip Principal zero * Variable rate security. The interest rate shown reflects the rate in effect at coupon 11/15/2040 725 0.81 August 31, 2011. † Illiquid. Total U.S. Treasury Obligations (Cost $9,797) 11,236 12.56 e Security is in default as at August 31, 2011. I The rate of interest on this type of security is tied to the Consumer Price Index (CPI). The coupon rate is the rate as of August 31, 2011. ? Security is valued in good faith at fair value by or at the discretion of the Investment Manager. ± Securities purchased on a to-be-announced basis.

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

106 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Core Plus Bond Fund^

Portfolio of Investments as at August 31, 2011 – (continued)

ABBREVIATIONS: TBA – To Be Announced Perpetual – A bond with no maturity date. Perpetual bonds are not redeemable but pay a steady stream of interest. AUD – Australian Dollar CAD – Canadian Dollar EUR – Euro GBP – British Pound JPY – Japanese Yen MXN – Mexican Peso PLN – Polish Zloty USD – United States Dollar

ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR TRADED ON A REGULATED MARKET EXCEPT FOR FUTURES, FORWARDS AND OPTIONS WHICH ARE FINANCIAL DERIVATIVE INSTRUMENTS DEALT IN ON A REGULATED MARKET AND COLLECTIVE INVESTMENT SCHEMES. % of Total Analysis of Total Assets Assets

Transferable securities admitted to an official exchange listing or traded on a regulated market 83.89 Financial derivative instruments 1.26 Collective investment schemes 3.07 Other assets 11.78

Total Assets 100.00

Schedule of Futures Contracts Net Unrealised Nominal Notional Cost Notional Unrealised Unrealised Gain/ (Loss) Value (000’s) Value (000’s) Gains (000’s) Losses (000’s) (000’s)

Euro-Bobl September 2011 47 $8,044 $8,219 $175 – $175 Euro-Bund September 2011 23 4,332 4,446 114 – 114 U.S. 10 Year Note December 2011 (194) (25,033) (25,032) 1 – 1 U.S. 5 Year Note (CBT) December 2011 26 3,187 3,186 – $(1) (1) U.S. Long Bond (CBT) December 2011 (117) (15,942) (15,916) 26 – 26 U.S. Ultra Bond (CBT) December 2011 8 1,160 1,145 – (15) (15)

Total Market Value of Future Contracts (207) $(24,252) $(23,952) $316 $(16) $300

Schedule of Forward Contracts

Contracts to Receive Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/30/2011 Barclays EUR 1,755 $ 2,520 $ 2,530 $ (10) 9/30/2011 Citicorp Securities London Ltd. EUR 8,209 11,787 11,838 (51) 9/30/2011 Citicorp Securities London Ltd. EUR 4,095 5,881 5,907 (26) 9/30/2011 Deutsche Bank London EUR 1,692 2,430 2,444 (14) 9/30/2011 JPMorgan Chase Bank London EUR 1,511 2,169 2,180 (11) 9/30/2011 Morgan Stanley Foreign Exchange EUR 14,258 20,473 20,562 (89) 9/30/2011 UBS (FX) EUR 2,580 3,705 3,718 (13) 9/30/2011 Citicorp Securities London Ltd. JPY 1,214,004 15,859 15,749 110 9/30/2011 JPMorgan Chase London JPY 32,342 422 419 3 11/16/2011 Barclays AUD 840 889 859 30 11/16/2011 Citicorp Securities London Ltd. AUD 4,468 4,731 4,508 223 11/16/2011 Goldman Sachs London FX AUD 704 746 720 26 11/16/2011 Citicorp Securities London Ltd. CAD 277 282 280 2 11/16/2011 Credit Suisse First Boston London CAD 4,336 4,419 4,346 73 11/16/2011 JPMorgan Chase Bank London CAD 750 765 762 3 11/16/2011 JPMorgan Chase London CAD 910 928 917 11

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

107 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Core Plus Bond Fund^

Portfolio of Investments as at August 31, 2011 – (continued)

Contracts to Receive Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 11/16/2011 Morgan Stanley Foreign Exchange CAD 488 497 491 6 11/16/2011 BNP Paribas Paris (LDN) EUR 1,100 1,579 1,568 11 11/16/2011 Citicorp Securities London Ltd. EUR 2,357 3,383 3,357 26 11/16/2011 Credit Suisse First Boston London EUR 6,866 9,854 9,788 66 11/16/2011 Deutsche Bank London EUR 100 144 143 1 11/16/2011 Deutsche Bank London EUR 353 507 500 7 11/16/2011 JPMorgan Chase London EUR 70 101 100 1 11/16/2011 Morgan Stanley Foreign Exchange EUR 3,931 5,642 5,575 67 11/16/2011 Societe Generale EUR 770 1,105 1,106 (1) 11/16/2011 Barclays GBP 74 120 120 – 11/16/2011 Barclays GBP 61 99 100 (1) 11/16/2011 BNP Paribas Paris (LDN) GBP 300 487 490 (3) 11/16/2011 BNP Paribas Paris (LDN) GBP 300 487 488 (1) 11/16/2011 Goldman Sachs London FX GBP 565 916 926 (10) 11/16/2011 JPMorgan Chase Bank London GBP 6,164 9,997 9,996 1 11/16/2011 Deutsche Bank London JPY 349,021 4,561 4,498 63 11/16/2011 Goldman Sachs London FX JPY 323,502 4,228 4,172 56 11/16/2011 JPMorgan Chase London JPY 19,758 258 259 (1) 11/16/2011 Deutsche Bank London NOK 2,453 455 443 12 11/16/2011 Citicorp Securities London Ltd. PLN 1,646 568 558 10 11/16/2011 Deutsche Bank London SEK 5,940 933 924 9 11/16/2011 Goldman Sachs London FX SEK 11,205 1,760 1,720 40 11/22/2011 Citicorp Securities London Ltd. BRL 1,825 1,131 1,121 10 11/22/2011 Deutsche Bank London KRW 1,995,179 1,861 1,848 13 11/22/2011 JPMorgan Chase London MYR 1,553 518 519 (1) $ 648

Contracts to Deliver Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/30/2011 Barclays EUR (56) $ (80) $ (80) – 9/30/2011 Citicorp Securities London Ltd. EUR (326) (468) (470) 2 9/30/2011 Citicorp Securities London Ltd. EUR (42) (60) (60) – 9/30/2011 JPMorgan Chase London EUR (17) (24) (24) – 9/30/2011 UBS (FX) EUR (12) (17) (17) – 9/30/2011 Citicorp Securities London Ltd. GBP (2,271) (3,686) (3,718) 32 9/30/2011 Barclays JPY (24,446) (319) (317) (2) 9/30/2011 Citicorp Securities London Ltd. JPY (16,857) (220) (220) – 11/16/2011 Credit Suisse First Boston London AUD (849) (898) (853) (45) 11/16/2011 Deutsche Bank London AUD (4,494) (4,758) (4,589) (169) 11/16/2011 JPMorgan Chase London AUD (249) (264) (255) (9) 11/16/2011 Morgan Stanley Foreign Exchange AUD (1,450) (1,535) (1,469) (66) 11/16/2011 Citicorp Securities London Ltd. CAD (970) (989) (977) (12) 11/16/2011 Deutsche Bank London CAD (3,112) (3,173) (3,144) (29) 11/16/2011 Goldman Sachs London FX CAD (1,819) (1,854) (1,842) (12) 11/16/2011 UBS (FX) CAD (2,185) (2,228) (2,197) (31) 11/16/2011 Barclays EUR (750) (1,076) (1,077) 1 11/16/2011 Citicorp Securities London Ltd. EUR (619) (889) (890) 1 11/16/2011 Deutsche Bank London EUR (7,554) (10,841) (10,699) (142) 11/16/2011 Deutsche Bank London EUR (500) (718) (716) (2) 11/16/2011 Deutsche Bank London EUR (640) (919) (924) 5 11/16/2011 Goldman Sachs London FX EUR (13,578) (19,486) (19,333) (153) 11/16/2011 JPMorgan Chase London EUR (4,636) (6,653) (6,649) (4) 11/16/2011 JPMorgan Chase London EUR (300) (431) (433) 2 11/16/2011 Royal Bank of Scotland EUR (630) (904) (891) (13) 11/16/2011 UBS (FX) EUR (14,248) (20,449) (20,115) (334) 11/16/2011 Citicorp Securities London Ltd. GBP (1,389) (2,252) (2,266) 14 11/16/2011 Credit Suisse First Boston London GBP (2,080) (3,374) (3,397) 23 11/16/2011 Deutsche Bank London GBP (633) (1,027) (1,033) 6 11/16/2011 Morgan Stanley Foreign Exchange GBP (1,898) (3,078) (3,058) (20) ^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

108 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Core Plus Bond Fund^

Portfolio of Investments as at August 31, 2011 – (continued)

Contracts to Deliver Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 11/16/2011 Societe Generale GBP (735) (1,193) (1,194) 1 11/16/2011 UBS (FX) GBP (1,875) (3,041) (3,025) (16) 11/16/2011 Barclays JPY (367,724) (4,806) (4,804) (2) 11/16/2011 Citicorp Securities London Ltd. JPY (295,076) (3,856) (3,817) (39) 11/16/2011 Morgan Stanley Foreign Exchange JPY (391,212) (5,113) (5,117) 4 11/16/2011 Societe Generale JPY (213,883) (2,795) (2,797) 2 11/16/2011 UBS (FX) JPY (327,282) (4,277) (4,267) (10) 11/16/2011 Deutsche Bank London NOK (2,563) (476) (465) (11) 11/16/2011 Citicorp Securities London Ltd. PLN (1,449) (500) (500) – 11/16/2011 Citicorp Securities London Ltd. SEK (7,614) (1,196) (1,173) (23) 11/16/2011 Deutsche Bank London SEK (3,600) (565) (552) (13) $ (1,064) Unrealised Appreciation of Forward Foreign Currency Contracts 973 Unrealised Depreciation of Forward Foreign Currency Contracts (1,389) Net Unrealised Depreciation of Forward Foreign Currency Contracts $ (416)

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

109 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Inflation-Linked Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

Foreign Government Bonds and Notes — 65.37% 813 United Kingdom Gilt, Australia Government Issues — 1.07% Series 3MOI 1.250 11/22/2055 2,165 2.99 AUD 660 Australia Government Bond, 18,346 25.36 Series 30CII 2.575 9/20/2030 777 1.07 Total Foreign Government Bonds and Notes (Cost $45,902) 47,303 65.37 Canada Government Issues — 2.82% CAD 90 Canadian Government Bond, U.S. Government Agency Discount Notes — 0.18% Series L256I 4.250 12/1/2021 183 0.25 USD 130 FHLMC Corp. Discount Notes‡ zero 410 Canadian Government BondI 4.000 12/1/2031 878 1.21 coupon 1/10/2012 130 0.18 400 Canadian Government BondI 3.000 12/1/2036 704 0.97 200 Canadian Government BondI 2.000 12/1/2041 285 0.39 Total U.S. Government Agency Discount Notes (Cost $130) 130 0.18

2,050 2.82 U.S. Treasury Obligations — 26.40% USD 5,540 U.S. Treasury Inflationary Index France Government Issues — 11.96% BondI 0.125 4/15/2016 5,916 8.18 EUR 210 France Government Bond OATI 2.500 7/25/2013 368 0.51 3,305 U.S. Treasury Inflationary Index 2,610 France Government Bond OATI 2.250 7/25/2020 4,883 6.75 Bond‡ I 2.375 1/15/2025 4,893 6.76 850 France Government Bond OATI 2.100 7/25/2023 1,455 2.01 2,748 U.S. Treasury Inflationary Index 780 France Government Bond OATI 4.000 10/25/2038 1,179 1.63 BondI 3.875 4/15/2029 5,648 7.81 450 France Government Bond OATI 1.800 7/25/2040 769 1.06 1,703 U.S. Treasury Inflationary Index BondI 2.125 2/15/2040 2,186 3.02 8,654 11.96 360 U.S. Treasury Inflationary Index Germany Government Issues — 11.99% BondI 2.125 2/15/2041 458 0.63 EUR 1,750 Bundesrepublik DeutschlandI 2.250 4/15/2013 2,861 3.96 Total U.S. Treasury Obligations (Cost $18,255) 19,101 26.40 3,400 Bundesrepublik DeutschlandI 1.500 4/15/2016 5,813 8.03 Shares/Units (000’s) 8,674 11.99 Collective Investment Schemes — 0.21% Italian Government Issues — 7.01% 49 Western Asset Liquidity Funds PLC – Western Asset Euro USD 3,600 Italy Buoni Poliennali Del Liquidity Fund, Class WA 70 0.10 TesoroI 2.100 9/15/2016 5,030 6.95 50 Western Asset Liquidity Funds PLC – Western Asset 30 Italy Buoni Poliennali Del Sterling Liquidity Fund, Class WA 81 0.11 TesoroI 2.350 9/15/2019 42 0.06 Total Collective Investment Schemes (Cost $152) 151 0.21 5,072 7.01 Total Investments (Cost $64,439) 66,685 92.16 Japanese Yen Bonds — 2.84% JPY 61,900 Japanese Government Bond, Other Assets in Excess of Liabilities 5,671 7.84 Series 10I 1.100 12/10/2016 819 1.13 Total Net Assets $72,356 100.00 93,200 Japanese Government Bond, Series 16I 1.400 6/10/2018 1,235 1.71 I The rate of interest on this type of security is tied to the Consumer Price Index (CPI). The coupon rate is the rate as of August 31, 2011. 2,054 2.84 ‡ Security held as collateral for future contracts trading as at August 31, 2011. Sweden Government Issues — 2.32% SEK 2,720 Sweden Government Bond, ABBREVIATIONS: Series 3102I 4.000 12/1/2020 720 1.00 Perpetual – A bond with no maturity date. Perpetual bonds are not redeemable but pay a 3,410 Sweden Government Bond, steady stream of interest. Series 3104I 3.500 12/1/2028 956 1.32 AUD – Australian Dollar CAD – Canadian Dollar 1,676 2.32 EUR – Euro GBP – British Pound United Kingdom Government Issues — 25.36% JPY – Japanese Yen GBP 610 United Kingdom Gilt, SEK – Swedish Krona Series 8MOI 6.592 8/16/2013 2,821 3.90 USD – United States Dollar 2,310 United Kingdom Gilt, Series 3MOI 1.875 11/22/2022 5,121 7.08 2,100 United Kingdom Gilt, Series 3MOI 1.250 11/22/2027 4,714 6.52 1,920 United Kingdom Gilt, Series 3MOI 0.625 3/22/2040 3,525 4.87

The accompanying notes are an integral part of the Financial Statements

110 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Inflation-Linked Fund

Portfolio of Investments as at August 31, 2011 – (continued)

ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING OR TRADED ON A REGULATED MARKET EXCEPT FOR FUTURES AND FORWARDS WHICH ARE FINANCIAL DERIVATIVE INSTRUMENTS DEALT ON A REGULATED MARKET AND COLLECTIVE INVESTMENT SCHEMES. % of Total Analysis of Total Assets Assets

Transferable securities admitted to an official exchange listing or traded on a regulated market 91.30 Financial derivative instruments 0.46 Collective investment schemes 0.21 Other assets 8.03

Total Assets 100.00

Schedule of Futures Contracts Net Unrealised Nominal Notional Cost Notional Unrealised Unrealised Gain/ (Loss) Value (000’s) Value (000’s) Gains (000’s) Losses (000’s) (000’s)

Long Gilt December 2011 (24) $(4,945) $(4,927) $18 – $18

Total Market Value of Future Contracts (24) $(4,945) $(4,927) $18 – $18

Schedule of Forward Contracts

Contracts to Receive Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/30/2011 Citicorp Securities London Ltd. GBP 179 $ 290 $ 293 $ (3) 9/30/2011 Citicorp Securities London Ltd. GBP 180 292 295 (3) 9/30/2011 Deutsche Bank London GBP 537 872 880 (8) 9/30/2011 JPMorgan Chase London GBP 542 879 887 (8) 9/30/2011 Royal Bank of Scotland GBP 9 14 14 – 9/30/2011 UBS (FX) GBP 116 188 189 (1) 9/30/2011 Barclays SGD 1,243 1,032 1,028 4 9/30/2011 Citicorp Securities London Ltd. SGD 4,037 3,353 3,344 9 9/30/2011 Deutsche Bank London SGD 31,436 26,107 26,019 88 9/30/2011 UBS (FX) SGD 2,453 2,037 2,030 7 11/16/2011 JPMorgan Chase London AUD 289 306 296 10 11/16/2011 Societe Generale AUD 177 187 181 6 11/16/2011 UBS (FX) AUD 482 510 488 22 11/16/2011 UBS (FX) CAD 553 564 556 8 11/16/2011 BNP Paribas Paris (Ldn) EUR 660 947 941 6 11/16/2011 Royal Bank of Scotland EUR 1,690 2,425 2,390 35 11/16/2011 BNP Paribas Paris (Ldn) GBP 1,447 2,347 2,362 (15) 11/16/2011 Deutsche Bank London GBP 423 687 691 (4) 11/16/2011 Societe Generale GBP 350 568 568 – 11/16/2011 Deutsche Bank London JPY 18,388 240 237 3 11/16/2011 JPMorgan Chase Bank London JPY 252,415 3,299 3,306 (7) 11/16/2011 Credit Suisse First Boston London SEK 2,790 438 429 9 $ 158

Contracts to Deliver Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/30/2011 Barclays GBP (119) $ (194) $ (195) $ 1 9/30/2011 Barclays SGD (43) (36) (36) – 11/16/2011 Barclays AUD (1,300) (1,376) (1,330) (46) 11/16/2011 Credit Suisse First Boston London AUD (587) (621) (590) (31) 11/16/2011 Credit Suisse First Boston London CAD (1,365) (1,392) (1,369) (23) 11/16/2011 Deutsche Bank London CAD (350) (357) (354) (3)

The accompanying notes are an integral part of the Financial Statements

111 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Inflation-Linked Fund

Portfolio of Investments as at August 31, 2011 – (continued)

Contracts to Deliver Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 11/16/2011 JPMorgan Chase Bank London CAD (1,016) (1,035) (1,031) (4) 11/16/2011 JPMorgan Chase London CAD (103) (105) (107) 2 11/16/2011 Citicorp Securities London Ltd. EUR (3,751) (5,384) (5,342) (42) 11/16/2011 Credit Suisse First Boston London EUR (3,728) (5,351) (5,315) (36) 11/16/2011 Credit Suisse First Boston London EUR (50) (72) (72) – 11/16/2011 Credit Suisse First Boston London EUR (166) (238) (239) 1 11/16/2011 Deutsche Bank London EUR (2,832) (4,064) (4,011) (53) 11/16/2011 Goldman Sachs London FX EUR (2,256) (3,238) (3,213) (25) 11/16/2011 JPMorgan Chase London EUR (100) (144) (145) 1 11/16/2011 JPMorgan Chase London EUR (3,712) (5,327) (5,324) (3) 11/16/2011 Morgan Stanley Foreign Exchange EUR (95) (136) (134) (2) 11/16/2011 UBS (FX) EUR (2,080) (2,985) (2,936) (49) 11/16/2011 Barclays GBP (340) (551) (551) – 11/16/2011 Citicorp Securities London Ltd. GBP (1,030) (1,671) (1,681) 10 11/16/2011 Credit Suisse First Boston London GBP (50) (81) (82) 1 11/16/2011 Credit Suisse First Boston London GBP (1,850) (3,000) (3,013) 13 11/16/2011 Credit Suisse First Boston London GBP (50) (81) (81) – 11/16/2011 Credit Suisse First Boston London GBP (1,693) (2,745) (2,764) 19 11/16/2011 Goldman Sachs London FX GBP (2,958) (4,798) (4,850) 52 11/16/2011 JPMorgan Chase London GBP (1,160) (1,881) (1,888) 7 11/16/2011 JPMorgan Chase London GBP (2,135) (3,463) (3,463) – 11/16/2011 JPMorgan Chase London GBP (106) (172) (173) 1 11/16/2011 UBS (FX) GBP (2,618) (4,246) (4,223) (23) 11/16/2011 BNP Paribas Paris (Ldn) JPY (86,858) (1,135) (1,126) (9) 11/16/2011 Credit Suisse First Boston London JPY (58,341) (762) (758) (4) 11/16/2011 UBS (FX) JPY (284,752) (3,721) (3,712) (9) 11/16/2011 Citicorp Securities London Ltd. SEK (2,228) (350) (343) (7) 11/16/2011 Deutsche Bank London SEK (9,766) (1,533) (1,498) (35) 11/16/2011 JPMorgan Chase London SEK (498) (78) (77) (1) 11/16/2011 UBS (FX) SEK (1,136) (178) (173) (5) $ (302) Unrealised Appreciation of Forward Foreign Currency Contracts 315 Unrealised Depreciation of Forward Foreign Currency Contracts (459) Net Unrealised Depreciation of Forward Foreign Currency Contracts $ (144)

The accompanying notes are an integral part of the Financial Statements

112 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset UK£ Inflation-Linked Plus Fund^

Portfolio of Investments as at August 31, 2011

% of ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL Coupon Value Net EXCHANGE LISTING OR TRADED ON A REGULATED MARKET EXCEPT FOR FUTURES Face Value Rate Maturity (000’s) Asset AND FORWARDS WHICH ARE FINANCIAL DERIVATIVE INSTRUMENTS DEALT IN ON (000’s) % Date £ Value A REGULATED MARKET AND COLLECTIVE INVESTMENT SCHEMES

Corporate Bonds and Notes — 3.85% % of Total GBP Bonds — 3.85% Analysis of Total Assets Assets 550 Artesian Finance PLCI 4.763 9/30/2032 888 2.69 140 British Telecommunications Transferable securities admitted to an official exchange listing or traded on a PLCI 4.892 4/25/2025 219 0.66 regulated market 95.36 171 Catalyst Healthcare Manchester Financial derivative instruments 0.23 Financing PLCI 2.973 9/30/2040 165 0.50 Collective investment schemes 3.07 Other assets 1.34 Total Corporate Bonds and Notes (Cost £1,178) 1,272 3.85

Government Securities — 91.79% Total Assets 100.00 GBP 20 United Kingdom Gilt, Series 3MOI 1.250 11/22/2017 27 0.08 6,320 United Kingdom Gilt, Series 3MOI 1.875 11/22/2022 8,631 26.14 6,965 United Kingdom Gilt, Series 3MOI 1.250 11/22/2027 9,631 29.16 6,210 United Kingdom Gilt, Series 3MOI 0.625 3/22/2040 7,024 21.27 3,027 United Kingdom Gilt, Series 3MOI 1.250 11/22/2055 4,966 15.04 10 United Kingdom Gilt, Series 8MOI 6.970 4/16/2020 34 0.10

Total Government Securities (Cost £29,836) 30,313 91.79

U.S. Government Agency Discount Notes — 0.02% USD 10 FHLMC Corp. Discount Notes‡ zero coupon 1/10/2012 6 0.02

Total U.S. Government Agency Discount Notes (Cost £6) 6 0.02

Shares/Units (000’s)

Collective Investment Schemes — 3.07% 63 Western Asset Liquidity Funds PLC – Western Asset Euro Liquidity Fund, Class WA 55 0.16 960 Western Asset Liquidity Funds PLC – Western Asset Sterling Liquidity Fund, Class WA 960 2.91

Total Collective Investment Schemes (Cost £1,015) 1,015 3.07

Total Investments (Cost £32,035) 32,606 98.73

Other Assets in Excess of Liabilities 419 1.27

Total Net Assets £33,025 100.00

I The rate of interest on this type of security is tied to the Consumer Price Index (CPI). The coupon rate is the rate as of August 31, 2011. ‡ Security held as collateral for future contracts trading as at August 31, 2011.

ABBREVIATIONS: Perpetual – A bond with no maturity date. Perpetual bonds are not redeemable but pay a steady stream of interest. GBP – British Pound USD – United States Dollar

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

113 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset UK£ Inflation-Linked Plus Fund^

Portfolio of Investments as at August 31, 2011 – (continued)

Schedule of Futures Contracts Net Notional Unrealised Unrealised Unrealised Nominal Notional Cost Value Gains Losses Gain/ (Loss) Value (000’s) (000’s) (000’s) (000’s) (000’s)

Long Gilt December 2011 (26) £(3,300) £(3,288) £12 – £12

Total Market Value of Future Contracts (26) £(3,300) £(3,288) £12 – £12

Schedule of Forward Contracts

Contracts to Receive Unrealised In Exchange Appreciation/ Value in for British (Depreciation) of Expiration Date Counterparty Local Currency British Pound Pound Contracts 11/16/2011 Citicorp Securities London Ltd. AUD 323 £ 211 £ 200 £ 11 11/16/2011 JPMorgan Chase Bank London AUD 490 320 308 12 11/16/2011 UBS (FX) CAD 572 360 355 5 11/16/2011 Barclays EUR 451 399 399 – 11/16/2011 BNP Paribas Paris (LDN) EUR 330 292 288 4 11/16/2011 Citicorp Securities London Ltd. EUR 335 296 292 4 11/16/2011 Credit Suisse First Boston London EUR 218 193 191 2 11/16/2011 Royal Bank of Scotland EUR 220 195 191 4 11/16/2011 JPMorgan Chase Bank London JPY 122,207 985 989 (4) 11/16/2011 Morgan Stanley Foreign Exchange JPY 64,197 517 521 (4) 11/16/2011 UBS (FX) SEK 1,178 114 111 3 11/16/2011 Citicorp Securities London Ltd. USD 847 522 519 3 11/16/2011 Credit Suisse First Boston London USD 2,246 1,385 1,376 9 11/16/2011 Goldman Sachs London FX USD 250 154 152 2 11/16/2011 JPMorgan Chase Bank London USD 25 16 16 – 11/16/2011 JPMorgan Chase Bank London USD 43 26 26 – 11/16/2011 UBS (FX) USD 1,641 1,012 1,017 (5) £ 46

Contracts to Deliver Unrealised In Exchange Appreciation/ Value in for British (Depreciation) of Expiration Date Counterparty Local Currency British Pound Pound Contracts 11/16/2011 Credit Suisse First Boston London AUD (135) £ (88) £ (83) £ (5) 11/16/2011 Goldman Sachs London FX AUD (232) (152) (145) (7) 11/16/2011 Morgan Stanley Foreign Exchange AUD (160) (104) (100) (4) 11/16/2011 UBS (FX) AUD (298) (195) (187) (8) 11/16/2011 Credit Suisse First Boston London CAD (586) (368) (359) (9) 11/16/2011 Deutsche Bank London EUR (45) (40) (39) (1) 11/16/2011 JPMorgan Chase Bank London EUR (30) (27) (27) – 11/16/2011 JPMorgan Chase Bank London EUR (839) (742) (741) (1) 11/16/2011 Morgan Stanley Foreign Exchange EUR (650) (576) (573) (3) 11/16/2011 UBS (FX) EUR (432) (382) (378) (4) 11/16/2011 BNP Paribas Paris (LDN) JPY (43,429) (350) (345) (5) 11/16/2011 Credit Suisse First Boston London JPY (104,623) (843) (833) (10) 11/16/2011 UBS (FX) JPY (38,352) (309) (309) – 11/16/2011 Citicorp Securities London Ltd. SEK (1,014) (98) (96) (2) 11/16/2011 JPMorgan Chase Bank London SEK (165) (16) (16) – 11/16/2011 Barclays USD (408) (252) (252) – 11/16/2011 Credit Suisse First Boston London USD (132) (82) (81) (1) 11/16/2011 Deutsche Bank London USD (1,795) (1,107) (1,100) (7) 11/16/2011 JPMorgan Chase Bank London USD (1,531) (944) (944) – 11/16/2011 Morgan Stanley Foreign Exchange USD (618) (381) (384) 3 11/16/2011 Royal Bank of Scotland USD (288) (178) (177) (1) £ (65) Unrealised Appreciation of Forward Foreign Currency Contracts 62 Unrealised Depreciation of Forward Foreign Currency Contracts (81) Net Unrealised Depreciation of Forward Foreign Currency Contracts £ (19)

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

114 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset UK£ Long Duration Fund^

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date £ Value (000’s) Rate % Date £ Value

Corporate Bonds and Notes — 14.01% 440 Time Warner Cable, Inc. 6.750 6/15/2039 304 0.37 GBP Bonds — 14.01% 304 0.37 150 Annington Finance No. 4 PLC, Series C1 8.070 1/10/2023 177 0.22 Total Foreign Corporate Bonds and Notes (Cost £302) 304 0.37 150 Aspire Defence Finance PLC 4.674 3/31/2040 133 0.16 130 Aviva PLC * 6.125 Perpetual 100 0.12 GBP Denominated Bonds and Notes — 7.74% 450 Barclays Bank PLC 5.750 9/14/2026 361 0.45 Australia — 0.10% 940 Barclays Bank PLC * 5.330 Perpetual 588 0.73 100 Insurance Australia Group Ltd. * 5.625 12/21/2026 84 0.10 250 BAT International Finance PLC 7.250 3/12/2024 301 0.37 Cayman Islands — 0.70% 70 BAT International Finance PLC 6.000 11/24/2034 75 0.09 205 Dwr Cymru Financing Ltd. 6.015 3/31/2028 229 0.28 70 BAT International Finance PLC 5.750 7/5/2040 71 0.09 285 Yorkshire Water Services Odsal 139 British Telecommunications PLC 8.750 12/7/2016 169 0.21 Finance Ltd. 6.454 5/28/2027 337 0.42 220 British Telecommunications PLC 6.625 6/23/2017 250 0.31 200 British Telecommunications PLC 6.375 6/23/2037 204 0.25 566 0.70 195 Broadgate Financing PLC 4.999 10/5/2031 183 0.23 131 Connect M77/GSO PLC 5.404 3/31/2034 114 0.14 Denmark — 0.32% 580 Co-Operative Group Ltd. 6.250 7/8/2026 591 0.73 240 TDC A/S 5.625 2/23/2023 258 0.32 225 Derby Healthcare PLC 5.564 6/30/2041 218 0.27 France — 0.59% 135 Dignity Finance PLC, Series B 8.151 12/31/2030 175 0.22 150 BNP Paribas S.A. * 5.954 Perpetual 118 0.15 400 Eversholt Funding PLC 6.359 12/2/2025 417 0.51 250 BNP Paribas S.A. * 7.436 Perpetual 210 0.26 460 Eversholt Funding PLC 6.697 2/22/2035 486 0.60 202 Credit Agricole S.A., 280 The Great Rolling Stock Co. Ltd. 6.875 7/27/2035 300 0.37 Series TSDI * 5.000 Perpetual 148 0.18 300 The Great Rolling Stock Co. PLC 6.500 4/5/2031 313 0.39 255 Greene King Finance PLC 5.106 3/15/2034 228 0.28 476 0.59 70 Greene King Finance PLC, Jersey Channel Islands — 1.93% Series B1 5.702 12/15/2034 59 0.07 210 Annington Repackaging No. 1 140 Imperial Tobacco Finance PLC 8.125 3/15/2024 175 0.21 Ltd. 5.324 1/10/2023 216 0.27 380 Lloyds TSB Bank PLC 7.625 4/22/2025 328 0.40 680 BAA Funding Ltd. 5.875 5/13/2041 660 0.81 500 Lloyds TSB Bank PLC * 5.750 7/9/2025 407 0.50 310 Gatwick Funding Ltd. 6.500 3/2/2041 311 0.38 149 Marstons Issuer PLC * 5.177 7/15/2032 141 0.18 486 HSBC Bank Capital Funding 50 Marstons Issuer PLC, Series B1 * 5.641 7/15/2035 42 0.05 Sterling LP * 5.844 Perpetual 381 0.47 418 Mitchells & Butlers Finance PLC 6.013 12/15/2028 443 0.55 138 Northern Gas Networks Ltd. 4.875 11/15/2035 126 0.16 1,568 1.93 170 Porterbrook Rail Finance Ltd. 7.125 10/20/2026 190 0.24 365 RMPA Services PLC 5.337 9/30/2038 368 0.45 Netherlands — 0.35% 450 The Royal Bank of Scotland PLC 6.625 9/17/2018 459 0.57 250 ELM BV for Swiss Reinsurance 376 The Royal Bank of Scotland PLC 7.500 4/29/2024 383 0.47 Co. * 6.302 Perpetual 198 0.24 250 The Royal Bank of Scotland PLC 6.875 5/17/2025 237 0.29 118 ING Groep NV * 5.140 Perpetual 86 0.11 131 Scotland Gas Networks PLC 4.875 12/21/2034 121 0.15 284 0.35 367 Southern Gas Networks PLC 6.375 5/15/2040 409 0.50 182 Southern Water Services Finance New Zealand — 0.03% Ltd. 6.640 3/31/2026 214 0.26 22 TCNZ Finance Ltd. 5.625 5/14/2018 24 0.03 70 Standard Chartered Bank * 5.375 Perpetual 60 0.07 134 Standard Life PLC * 6.750 Perpetual 112 0.14 Spain — 0.28% 491 Telereal Securitisation PLC, 250 Telefonica Emisiones SAU 5.289 12/9/2022 224 0.28 Series B4 6.165 12/10/2031 479 0.59 Switzerland — 0.67% 255 Tesco Property Finance 3 PLC 5.744 4/13/2040 261 0.32 510 Credit Suisse * 6.750 1/16/2023 541 0.67 370 The Unique Pub Finance Co. PLC, Series A4 5.659 6/30/2027 236 0.29 United States — 2.77% 500 Western Power Distribution 400 BAC Capital Trust VII 5.250 8/10/2035 268 0.33 West Midlands PLC 5.750 4/16/2032 512 0.63 280 Citigroup, Inc. 6.800 6/25/2038 274 0.34 164 Zurich Finance UK PLC * 6.625 Perpetual 148 0.18 430 Citigroup, Inc. 7.375 9/1/2039 456 0.56 624 The Goldman Sachs Group, Inc. 5.500 10/12/2021 547 0.67 11,364 14.01 Total Corporate Bonds and Notes (Cost £11,622) 510 Time Warner Cable, Inc. 5.750 6/2/2031 515 0.64 Foreign Corporate Bonds and Notes — 0.37% 220 Wells Fargo & Co. 4.625 11/2/2035 188 0.23 United States — 0.37% 2,248 2.77 9 Lehman Escrow Receipt ? zero coupon Perpetual – – Total GBP Denominated Bonds and Notes (Cost £6,532) 6,273 7.74

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

115 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset UK£ Long Duration Fund^

Portfolio of Investments as at August 31, 2011 – (continued)

% of ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL Value Net EXCHANGE LISTING OR TRADED ON A REGULATED MARKET EXCEPT FOR FUTURES, Face Value Coupon Maturity (000’s) Asset FORWARDS AND SWAPS WHICH ARE FINANCIAL DERIVATIVE INSTRUMENTS DEALT (000’s) Rate % Date £ Value IN ON A REGULATED MARKET AND COLLECTIVE INVESTMENT SCHEMES.

Government Securities — 65.50% % of Total GBP 1 United Kingdom Gilt 3.250 12/7/2011 1 – Analysis of Total Assets Assets 1 United Kingdom Gilt 5.000 3/7/2012 1 – 12,000 United Kingdom GiltK 3.750 9/7/2021 13,013 16.05 Transferable securities admitted to an official exchange listing or traded on a 10,150 United Kingdom Gilt 4.250 3/7/2036 10,905 13.45 regulated market 86.85 21,350 United Kingdom Gilt 4.250 12/7/2040 22,838 28.16 Financial derivative instruments 0.29 6,150 United Kingdom Gilt 4.000 1/22/2060 6,360 7.84 Collective investment schemes 8.93 Other assets 3.93 Total Government Securities (Cost £51,779) 53,118 65.50

U.S. Government Agency Discount Notes — 0.23% Total Assets 100.00 USD 100 FHLMC Corp. Discount Notes‡ zero coupon 1/10/2012 62 0.07 116 FNMA Discount Notes‡ zero coupon 1/9/2012 71 0.09 93 FNMA Discount Notes‡ zero coupon 1/10/2012 57 0.07

Total U.S. Government Agency Discount Notes (Cost £188) 190 0.23

Shares/Units (000’s)

Collective Investment Schemes — 9.04% 310 Western Asset Liquidity Funds PLC – Western Asset Euro Liquidity Fund, Class WA 275 0.34 7,053 Western Asset Liquidity Funds PLC – Western Asset Sterling Liquidity Fund, Class WA 7,053 8.70

Total Collective Investment Schemes (Cost £7,324) 7,328 9.04

Total Investments (Cost £77,747) 78,577 96.89

Other Assets in Excess of Liabilities 2,519 3.11

Total Net Assets £81,096 100.00

– Amounts designated as "-" are either £0, less than £1,000 or less than 1,000 shares. * Variable rate security. The interest rate shown reflects the rate in effect at August 31, 2011. ? Security is valued in good faith at fair value by or at the discretion of the Investment Manager. K Security (in whole or part) held as collateral for swaps trading as at August 31, 2011. ‡ Security held as collateral for future contracts trading as at August 31, 2011.

ABBREVIATIONS: Perpetual – A bond with no maturity date. Perpetual bonds are not redeemable but pay a steady stream of interest. EUR – Euro GBP – British Pound USD – United States Dollar

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

116 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset UK£ Long Duration Fund^

Portfolio of Investments as at August 31, 2011 – (continued)

Schedule of Futures Contracts Net Notional Unrealised Unrealised Unrealised Nominal Notional Cost Value Gains Losses Gain/ (Loss) Value (000’s) (000’s) (000’s) (000’s) (000’s)

Long Gilt December 2011 (202) £(25,654) £(25,547) £107 – £107

Total Market Value of Future Contracts (202) £(25,654) £(25,547) £107 – £107

Schedule of Credit Default Swaps Notional Buy/Sell Expiration Amount Value Counterparty Reference Entity Protection Pay/Receive Date (000’s) (000’s)

HSBC Midland Markit iTraxx Europe, 1.00%, due 6/20/16 Sell 1.00% 6/20/16 4,770 £(99) HSBC Midland Markit iTraxx Europe, 1.00%, due 6/20/16 Sell 1.00% 6/20/16 4,770 (99)

£(198)

Credit Default Swaps – Total Financial Assets at Fair Value – Credit Default Swaps – Total Financial Liabilities at Fair Value (198)

Credit Default Swaps – Total Financial Assets and Liabilities at Fair Value £(198)

Schedule of Interest Rate Swaps Notional Amount Value Counterparty Rate Pay/Receive Rate % Expiration Date (000’s) (000’s)

HSBC Midland 6 Month LIBOR Receive 1.12% 4/12/41 4,600 £ 4,603 HSBC Midland Fixed Pay 4.21% 4/12/41 (4,600) (5,031)

(£428)

Interest Rate Swaps – Total Financial Assets at Fair Value – Interest Rate Swaps – Total Financial Liabilities at Fair Value (428)

Interest Rate Swaps – Total Financial Assets and Liabilities at Fair Value (£428)

Schedule of Forward Contracts

Contracts to Receive Unrealised In Exchange Appreciation/ Value in for British (Depreciation) of Expiration Date Counterparty Local Currency British Pound Pound Contracts 11/16/2011 Deutsche Bank London CAD 1,300 £ 817 £ 811 £ 6 11/16/2011 Barclays EUR 200 177 175 2 11/16/2011 Goldman Sachs London FX EUR 597 528 518 10 11/16/2011 JPMorgan Chase Bank London EUR 6,500 5,752 5,668 84 11/16/2011 JPMorgan Chase Bank London EUR 1,276 1,129 1,127 2 11/16/2011 JPMorgan Chase Bank London EUR 500 442 436 6 11/16/2011 JPMorgan Chase Bank London EUR 11,100 9,822 9,830 (8) 11/16/2011 UBS (FX) EUR 300 265 263 2 11/16/2011 Citicorp Securities London Ltd. USD 1,680 1,036 1,030 6 11/16/2011 Morgan Stanley Foreign Exchange USD 1,414 872 878 (6) 11/16/2011 Societe Generale USD 432 267 267 – 11/16/2011 UBS (FX) USD 4,000 2,466 2,468 (2) £ 102

Contracts to Deliver Unrealised In Exchange Appreciation/ Value in for British (Depreciation) of Expiration Date Counterparty Local Currency British Pound Pound Contracts 11/16/2011 Barclays EUR (2,380) £ (2,106) £ (2,108) £ 2 11/16/2011 Barclays EUR (300) (265) (260) (5) 11/16/2011 BNP Paribas Paris (LDN) EUR (100) (88) (87) (1) 11/16/2011 Citicorp Securities London Ltd. EUR (853) (755) (745) (10) ^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

117 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset UK£ Long Duration Fund^

Portfolio of Investments as at August 31, 2011 – (continued)

Contracts to Deliver Unrealised In Exchange Appreciation/ Value in for British (Depreciation) of Expiration Date Counterparty Local Currency British Pound Pound Contracts 11/16/2011 Deutsche Bank London EUR (1,194) (1,056) (1,034) (22) 11/16/2011 Goldman Sachs London FX EUR (350) (310) (309) (1) 11/16/2011 JPMorgan Chase Bank London EUR (11,000) (9,734) (9,602) (132) 11/16/2011 Morgan Stanley Foreign Exchange EUR (1,591) (1,408) (1,401) (7) 11/16/2011 Royal Bank of Scotland EUR (1,850) (1,637) (1,604) (33) 11/16/2011 UBS (FX) EUR (1,655) (1,464) (1,448) (16) 11/16/2011 Barclays USD (1,080) (666) (666) – 11/16/2011 Deutsche Bank London USD (1,220) (752) (747) (5) 11/16/2011 Goldman Sachs London FX USD (1,598) (985) (974) (11) 11/16/2011 JPMorgan Chase Bank London USD (1,552) (957) (957) – 11/16/2011 Royal Bank of Scotland USD (150) (92) (92) – 11/16/2011 UBS (FX) USD (2,244) (1,383) (1,390) 7 £ (234) Unrealised Appreciation of Forward Foreign Currency Contracts 127 Unrealised Depreciation of Forward Foreign Currency Contracts (259) Net Unrealised Depreciation of Forward Foreign Currency Contracts £ (132)

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

118 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Credit Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

Asset-Backed Securities — 0.62% 530 DnB NOR Bank ASA 4.375 2/24/2021 768 0.88 EUR 222 Globaldrive BV, Series 2, Class A 4.000 10/20/2016 322 0.37 70 DONG Energy A/S 4.000 12/16/2016 106 0.12 162 ItalFinance Securitisation 80 DONG Energy A/S 4.875 12/16/2021 124 0.15 Vehicle S.r.l., Series 1 * 1.719 1/14/2026 217 0.25 300 ELM BV for Swiss Reinsurance Co. * 5.252 Perpetual 358 0.41 Total Asset-Backed Securities (Cost $513) 539 0.62 250 Fortis Bank S.A./NV * 4.625 Perpetual 277 0.32 Collateralised Mortgage-Backed Obligations — 0.91% 200 Fortis Bank S.A./NV * 6.500 Perpetual 279 0.32 EUR 180 E-Mac NL BV, Series I * 3.868 7/25/2036 218 0.25 400 GDF Suez 5.950 3/16/2111 556 0.64 171 Eurosail PLC, Series NL2X * 2.356 10/17/2040 226 0.26 80 GE Capital European Funding 5.375 1/23/2020 122 0.14 97 Paragon Secured Finance PLC, 200 Hannover Finance Series 1 * 1.252 11/15/2035 141 0.16 Luxembourg S.A. * 5.750 9/14/2040 246 0.28 150 Permanent Financing PLC, 129 HBOS PLC * 1.730 9/1/2016 147 0.17 Series 9X * 1.562 6/10/2033 215 0.24 200 HIT Finance BV 5.750 3/9/2018 289 0.33 239 HT1 Funding GmbH * 5.351 Perpetual 198 0.22 Total Collateralised Mortgage-Backed Obligations (Cost $780) 800 0.91 400 Hutchison Whampoa Finance 03/13 Ltd. 5.875 7/8/2013 606 0.69 Foreign Corporate Bonds and Notes — 27.52% 50 Imperial Tobacco Finance PLC 7.250 9/15/2014 81 0.09 British Pound Sterling Bonds — 11.22% 300 Imperial Tobacco Finance PLC 4.500 7/5/2018 439 0.50 GBP 90 Annington Finance No. 4 PLC, 50 Koninklijke KPN NV 5.000 11/13/2012 74 0.09 Series C1 8.070 1/10/2023 172 0.20 300 Lloyds TSB Bank PLC 5.375 9/3/2019 417 0.48 90 AXA S.A. * 6.686 Perpetual 105 0.12 450 Muenchener 350 BNP Paribas S.A. * 5.954 Perpetual 446 0.51 Rueckversicherungs AG * 5.767 Perpetual 543 0.62 610 BP Capital Markets PLC 4.325 12/10/2018 1,007 1.15 150 National Grid Electricity 290 Co-Operative Group Ltd. 5.625 7/8/2020 483 0.55 Transmission PLC 6.625 1/28/2014 237 0.27 630 Coventry Building Society 4.625 4/19/2018 1,065 1.22 300 Pirelli & C S.p.A. 5.125 2/22/2016 420 0.48 40 Dignity Finance PLC, Series B 8.151 12/31/2030 84 0.09 150 Royal Bank of Scotland Group 380 Eversholt Funding PLC 6.697 2/22/2035 651 0.74 PLC * 7.092 Perpetual 123 0.14 300 The Great Rolling Stock Co. PLC 6.500 4/5/2031 508 0.58 120 The Royal Bank of Scotland PLC 4.875 1/20/2017 163 0.18 94 HSBC Bank Capital Funding 350 Societe Generale S.A. 5.250 3/28/2013 517 0.59 Sterling LP * 5.862 Perpetual 130 0.15 420 SRLEV NV * 9.000 4/15/2041 459 0.52 146 HSBC Capital Funding LP * 8.208 Perpetual 246 0.28 600 Standard Chartered Bank 5.875 9/26/2017 886 1.01 100 ING Groep NV * 5.140 Perpetual 119 0.13 500 Svenska Handelsbanken AB 3.625 2/16/2016 738 0.84 310 Mitchells & Butlers Finance PLC 6.013 12/15/2028 533 0.61 500 TDC A/S 4.375 2/23/2018 742 0.85 72 Punch Taverns Finance B Ltd. * 1.106 6/30/2033 84 0.10 50 Telecom Italia S.p.A. 5.125 1/25/2016 71 0.08 140 QBE Insurance Group Ltd. 10.000 3/14/2014 260 0.30 190 Tennet Holding BV 4.625 2/21/2023 289 0.33 186 RSA Insurance Group PLC * 8.500 Perpetual 303 0.35 250 Thames Water Utilities Cayman 176 Scottish Widows PLC * 5.125 Perpetual 210 0.24 Finance Ltd. 6.125 2/4/2013 379 0.43 400 Telecom Italia S.p.A. 6.375 6/24/2019 634 0.72 100 Total Infrastructures Gaz 240 Telefonica Emisiones SAU 5.375 2/2/2018 384 0.44 France S.A. 4.339 7/7/2021 149 0.17 150 Telefonica Emisiones SAU 5.445 10/8/2029 209 0.24 200 Vivendi S.A. 4.750 7/13/2021 292 0.33 410 Virgin Media Secured Finance 90 Xstrata Finance Canada Ltd. 5.250 6/13/2017 133 0.15 PLC 5.500 1/15/2021 657 0.75 310 Western Power Distribution East 14,261 16.30 Midlands PLC 5.250 1/17/2023 526 0.60 140 WPP PLC 6.000 4/4/2017 251 0.28 Total Foreign Corporate Bonds and Notes (Cost $24,165) 24,095 27.52 450 Yorkshire Building Society 4.750 4/12/2018 767 0.87 Foreign Government Bonds and Notes — 7.37% 9,834 11.22 Germany Government Issues — 6.99% EUR 210 Bundesrepublik Deutschland, Euro Bonds — 16.30% Series 04 3.750 1/4/2015 329 0.38 EUR 700 Allianz Finance II BV * 5.750 7/8/2041 854 0.98 4,000 European Investment Bank 2.500 4/15/2012 5,783 6.61 350 Amcor Ltd. 4.625 4/16/2019 526 0.60 90 Anglian Water Services 6,112 6.99 Financing PLC 6.250 6/27/2016 149 0.17 United Kingdom Government Issues — 0.38% 300 AXA S.A. * 5.777 Perpetual 317 0.36 GBP 179 United Kingdom Gilt 4.500 3/7/2019 337 0.38 50 Banca Italease S.p.A. * 1.902 2/8/2012 71 0.08 50 Banca Italease S.p.A. * 1.719 3/14/2012 71 0.08 Total Foreign Government Bonds and Notes (Cost $6,103) 6,449 7.37 270 Barclays Bank PLC 6.625 3/30/2022 336 0.39 250 BAT International Finance PLC 5.375 6/29/2017 399 0.46 160 BMW Finance NV 3.625 1/29/2018 234 0.27 150 Dexia Credit Local S.A. * 4.300 Perpetual 76 0.09

The accompanying notes are an integral part of the Financial Statements

119 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Credit Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Corporate Bonds and Notes — 32.87% 355 Wells Fargo & Co. 5.000 11/15/2014 374 0.43 Advertising — 0.05% 6,451 7.36 40 Omnicom Group, Inc. 6.250 7/15/2019 48 0.05 Financials – Capital Markets — 0.21% Aerospace/Defense — 0.31% 170 The Bear Stearns Cos, Inc. 5.550 1/22/2017 184 0.21 80 The Boeing Co. 4.875 2/15/2020 90 0.10 320 Lehman Brothers Holdings zero 60 Northrop Grumman Corp. 5.050 8/1/2019 68 0.08 Capital Trust VII coupon Perpetual – – 100 United Technologies Corp. 5.400 5/1/2035 114 0.13 e 210 Lehman Brothers Holdings, zero 272 0.31 Inc. e coupon 12/28/2017 – –

Agriculture — 0.62% 184 0.21 450 Altria Group, Inc. 4.750 5/5/2021 468 0.53 Financials – Diversified — 5.72% 70 Reynolds American, Inc. 7.625 6/1/2016 84 0.09 100 American Express Co. 8.125 5/20/2019 128 0.15 552 0.62 80 American Express Credit Corp. 5.125 8/25/2014 87 0.10 130 American Express Travel Related Biotechnology — 0.15% Services Co., Inc., 144A 5.250 11/21/2011 131 0.15 120 Life Technologies Corp. 6.000 3/1/2020 131 0.15 180 Boeing Capital Corp. 4.700 10/27/2019 203 0.23 Chemicals — 1.22% 200 Capital One Capital IV * 6.745 2/17/2037 195 0.22 140 The Dow Chemical Co. 6.000 10/1/2012 148 0.17 180 Capital One Capital VI 8.875 5/15/2040 182 0.21 330 EI du Pont de Nemours & Co. 4.625 1/15/2020 366 0.42 70 Countrywide Financial Corp. 5.800 6/7/2012 71 0.08 500 PPG Industries, Inc. 5.500 11/15/2040 550 0.63 260 General Electric Capital Corp. 5.000 4/10/2012 266 0.30 150 General Electric Capital Corp. 6.000 8/7/2019 169 0.19 1,064 1.22 250 General Electric Capital Corp. 5.550 5/4/2020 271 0.31 520 General Electric Capital Corp. 6.750 3/15/2032 585 0.67 Electric — 1.58% 340 Goldman Sachs Capital II * 5.793 Perpetual 245 0.28 230 Commonwealth Edison Co. 6.150 3/15/2012 236 0.27 640 HSBC Finance Corp. 4.750 7/15/2013 666 0.76 325 Dominion Resources, Inc. 5.700 9/17/2012 341 0.39 880 HSBC Finance Corp. 6.676 1/15/2021 850 0.97 180 Duke Energy Corp. 6.300 2/1/2014 201 0.23 100 ILFC E-Capital Trust II, 144A * 6.250 12/21/2065 78 0.09 5 FirstEnergy Corp., Series B 6.450 11/15/2011 5 – 30 Merrill Lynch & Co., Inc. 6.050 8/15/2012 31 0.04 520 FirstEnergy Corp., Series C 7.375 11/15/2031 605 0.69 450 Merrill Lynch & Co., Inc. 5.700 5/2/2017 440 0.50 1,388 1.58 150 Merrill Lynch & Co., Inc. 6.400 8/28/2017 154 0.18 180 Merrill Lynch & Co., Inc. 6.875 4/25/2018 187 0.21 Environmental Control — 0.38% GBP 50 Merrill Lynch & Co., Inc. 5.500 11/22/2021 65 0.08 80 Republic Services, Inc. 5.500 9/15/2019 92 0.10 230 Waste Management, Inc. 6.375 11/15/2012 245 0.28 5,004 5.72

337 0.38 Financials – Insurance — 2.19% 50 ACE INA Holdings, Inc. 5.700 2/15/2017 57 0.06 Financials – Banks — 7.36% 720 American International Group, 23 Ally Financial, Inc. 8.000 12/31/2018 22 0.03 Inc. 6.400 12/15/2020 757 0.87 30 Bank of America Corp. 4.875 9/15/2012 30 0.03 400 American International Group, 200 Bank of America Corp. 5.420 3/15/2017 195 0.22 Inc. 6.250 3/15/2037 322 0.37 EUR 300 Bank of America Corp. 4.625 8/7/2017 402 0.46 300 MetLife, Inc. 6.400 12/15/2036 273 0.31 370 Bank of America Corp. 5.750 12/1/2017 385 0.44 80 Prudential Financial, Inc. * 8.875 6/15/2038 87 0.10 90 Citigroup, Inc. 6.010 1/15/2015 97 0.11 80 Teachers Insurance & Annuity 100 Citigroup, Inc. 8.500 5/22/2019 122 0.14 Association of America 6.850 12/16/2039 95 0.11 EUR 260 Citigroup, Inc. 7.375 9/4/2019 416 0.47 40 The Travelers Cos., Inc. 6.250 6/15/2037 45 0.05 290 Citigroup, Inc. 5.875 2/22/2033 259 0.30 110 Willis North America, Inc. 5.625 7/15/2015 121 0.14 470 Citigroup, Inc. 6.125 8/25/2036 447 0.51 EUR 100 Zurich Finance USA, Inc. 6.500 10/14/2015 161 0.18 250 Citigroup, Inc. 6.875 3/5/2038 266 0.30 EUR 450 Credit Suisse Group Finance US, 1,918 2.19 Inc. * 3.625 9/14/2020 597 0.68 Financials – Real Estate — 0.30% EUR 120 The Goldman Sachs Group, Inc. 4.500 5/9/2016 169 0.19 230 WEA Finance LLC, 144A 6.750 9/2/2019 261 0.30 EUR 900 The Goldman Sachs Group, Inc. 5.125 10/23/2019 1,242 1.42 EUR 300 JPMorgan Chase & Co. 3.875 9/23/2020 411 0.47 Food — 1.21% GBP 142 National Capital Trust I * 5.620 Perpetual 191 0.22 EUR 240 Kraft Foods, Inc. 6.250 3/20/2015 383 0.44 380 Wachovia Capital Trust III * 5.570 Perpetual 332 0.38 160 Kraft Foods, Inc. 5.375 2/10/2020 182 0.21 EUR 250 Wachovia Corp. 4.375 8/1/2016 368 0.42 80 The Kroger Co. 3.900 10/1/2015 86 0.10 110 Wachovia Corp. 5.750 2/1/2018 126 0.14 150 Safeway, Inc. 5.800 8/15/2012 157 0.18 20 Safeway, Inc. 6.350 8/15/2017 23 0.02

The accompanying notes are an integral part of the Financial Statements

120 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Credit Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Corporate Bonds and Notes — (continued) 190 Wyeth 5.950 4/1/2037 219 0.25 Food — (continued) 711 0.81 200 Unilever Capital Corp. 4.800 2/15/2019 229 0.26 Pipelines — 0.44% 1,060 1.21 100 Energy Transfer Partners LP 9.700 3/15/2019 126 0.15 Healthcare – Products — 0.32% 150 Enterprise Products Operating 130 Baxter International, Inc. 5.900 9/1/2016 155 0.18 LLC, Series O 9.750 1/31/2014 176 0.20 70 Baxter International, Inc. 4.500 8/15/2019 77 0.09 70 Southern Natural Gas Co., 144A 5.900 4/1/2017 81 0.09 40 Hospira, Inc. 6.050 3/30/2017 47 0.05 383 0.44 279 0.32 Retail — 1.65% Healthcare – Services — 0.40% 340 CVS Caremark Corp. 5.750 6/1/2017 391 0.45 50 Humana, Inc. 6.450 6/1/2016 57 0.07 80 Macy’s Retail Holdings, Inc. 5.350 3/15/2012 82 0.09 250 WellPoint, Inc. 5.875 6/15/2017 291 0.33 80 Macy’s Retail Holdings, Inc. 5.875 1/15/2013 83 0.10 60 Macy’s Retail Holdings, Inc. 5.750 7/15/2014 65 0.07 348 0.40 110 Macy’s Retail Holdings, Inc. 6.650 7/15/2024 127 0.15 367 Target Corp. 5.875 3/1/2012 377 0.43 Industrials — 0.05% 260 Wal-Mart Stores, Inc. 6.200 4/15/2038 313 0.36 40 General Electric Co. 5.000 2/1/2013 42 0.05 1,438 1.65 Media — 2.11% 230 Comcast Corp. 6.500 1/15/2015 264 0.30 Telecommunications — 2.31% 120 Comcast Corp. 6.500 1/15/2017 143 0.16 170 American Tower Corp. 4.625 4/1/2015 183 0.21 205 Comcast Corp. 7.050 3/15/2033 243 0.28 100 AT&T Mobility LLC 6.500 12/15/2011 102 0.12 255 News America, Inc. 7.280 6/30/2028 288 0.33 470 AT&T, Inc. 3.875 8/15/2021 483 0.55 90 News America, Inc. 6.150 3/1/2037 94 0.11 90 AT&T, Inc. 6.550 2/15/2039 104 0.12 110 Time Warner Cable, Inc. 6.200 7/1/2013 120 0.14 60 Embarq Corp. 7.082 6/1/2016 65 0.07 450 Time Warner Cable, Inc. 8.750 2/14/2019 582 0.66 230 New Cingular Wireless Services, 90 Time Warner Cable, Inc. 8.250 4/1/2019 114 0.13 Inc. 8.125 5/1/2012 241 0.28 260 Verizon Communications, Inc. 4.600 4/1/2021 283 0.33 1,848 2.11 520 Verizon Global Funding Corp. 7.375 9/1/2012 553 0.63 Mining — 0.82% 2,014 2.31 420 Barrick North America Finance LLC 4.400 5/30/2021 440 0.50 Transportation — 0.81% 260 Freeport-McMoRan Copper & 190 Norfolk Southern Corp. 5.257 9/17/2014 212 0.24 Gold, Inc. 8.375 4/1/2017 280 0.32 57 Norfolk Southern Corp. 5.590 5/17/2025 65 0.08 63 Norfolk Southern Corp. 7.250 2/15/2031 84 0.10 720 0.82 147 Union Pacific Corp. 6.500 4/15/2012 152 0.17 Oil & Gas — 1.85% 180 United Parcel Service, Inc. 3.875 4/1/2014 194 0.22 10 Anadarko Petroleum Corp. 5.950 9/15/2016 11 0.01 707 0.81 130 Anadarko Petroleum Corp. 6.375 9/15/2017 150 0.17 50 Apache Corp. 6.000 1/15/2037 60 0.07 Total U.S. Corporate Bonds and Notes (Cost $28,371) 28,783 32.87 20 ConocoPhillips 6.000 1/15/2020 25 0.03 80 ConocoPhillips 6.500 2/1/2039 101 0.11 U.S. Denominated Bonds and Notes — 10.41% 265 ConocoPhillips Holding Co. 6.950 4/15/2029 338 0.39 Australia — 1.34% 130 EOG Resources, Inc. 5.875 9/15/2017 154 0.17 230 BHP Billiton Finance USA Ltd. 6.500 4/1/2019 283 0.32 60 EOG Resources, Inc. 5.625 6/1/2019 70 0.08 270 Rio Tinto Finance USA Ltd. 6.500 7/15/2018 329 0.38 40 Hess Corp. 8.125 2/15/2019 52 0.06 60 Rio Tinto Finance USA Ltd. 9.000 5/1/2019 82 0.09 260 Hess Corp. 7.300 8/15/2031 322 0.37 450 Westpac Banking Corp. 4.200 2/27/2015 478 0.55 30 Kerr-McGee Corp. 6.950 7/1/2024 35 0.04 1,172 1.34 276 Pemex Project Funding Master Trust 6.625 6/15/2035 305 0.35 Canada — 1.26% 165 Anadarko Finance Co. 7.500 5/1/2031 193 0.22 1,623 1.85 200 Canadian Pacific Railway Co. 7.125 10/15/2031 247 0.28 Pharmaceuticals — 0.81% 15 Cenovus Energy, Inc. 6.750 11/15/2039 18 0.02 20 Mead Johnson Nutrition Co. 4.900 11/1/2019 22 0.02 150 Devon Financing Corp. ULC 7.875 9/30/2031 202 0.23 290 Medco Health Solutions, Inc. 2.750 9/15/2015 297 0.34 250 Potash Corp. of Saskatchewan, 140 Pfizer, Inc. 6.200 3/15/2019 173 0.20 Inc. 6.500 5/15/2019 306 0.35

The accompanying notes are an integral part of the Financial Statements

121 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Credit Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

U.S. Denominated Bonds and Notes — (continued) 150 Lloyds TSB Bank PLC 6.375 1/21/2021 157 0.18 Canada — (continued) 100 Royal Bank of Scotland Group 130 Rogers Communications, Inc. 6.250 6/15/2013 142 0.16 PLC, Series U 7.640 Perpetual 60 0.07 230 The Royal Bank of Scotland PLC 5.625 8/24/2020 231 0.26 1,108 1.26 500 The Royal Bank of Scotland PLC 6.125 1/11/2021 522 0.60 130 WPP Finance UK 8.000 9/15/2014 151 0.17 Cayman Islands — 0.29% 128 Petrobras International 2,370 2.70 Finance Co. 5.875 3/1/2018 139 0.16 106 Petrobras International Total U.S. Denominated Bonds and Notes (Cost $9,066) 9,117 10.41 Finance Co. 5.750 1/20/2020 115 0.13 U.S. Denominated Debt Obligations — 0.18% 254 0.29 Mexico — 0.02% 19 Mexico Government Denmark — 1.14% International Bond 6.750 9/27/2034 24 0.02 1,030 Danske Bank A/S 3.875 4/14/2016 1,003 1.14 Russia — 0.16% France — 0.27% 130 Russian Agricultural Bank OJSC 130 Credit Agricole S.A., 144A * 8.375 Perpetual 120 0.14 Via RSHB Capital S.A., 144A 7.125 1/14/2014 138 0.16 60 France Telecom S.A. 8.500 3/1/2031 80 0.09 40 Societe Generale S.A. 8.750 Perpetual 37 0.04 Total U.S. Denominated Debt Obligations (Cost $159) 162 0.18

237 0.27 U.S. Government Agency Discount Notes — 0.29% USD 250 FHLMC Corp. Discount Notes‡ zero Iceland — 0.14% coupon 1/10/2012 250 0.29 260 Glitnir Banki HF, 144A † e 6.330 7/28/2012 68 0.08 60 Glitnir Banki HF, 144A ? e 7.451 Perpetual – – Total U.S. Government Agency Discount Notes (Cost $250) 250 0.29 180 Kaupthing Bank HF, 144A † e 7.625 2/28/2015 44 0.05 U.S. Treasury Obligations — 9.23% 300 Kaupthing Bank HF, 144A ? e 7.125 5/19/2016 – – USD 370 U.S. Treasury Bond 4.250 5/15/2039 415 0.47 100 Landsbanki Islands HF, 144A † e 6.100 8/25/2012 7 0.01 160 U.S. Treasury Bond 4.250 11/15/2040 179 0.20 119 0.14 6,200 U.S. Treasury Note 2.250 11/30/2017 6,537 7.47 130 U.S. Treasury Note 2.625 8/15/2020 136 0.16 Kyrgystan — 0.60% 160 U.S. Treasury Note 2.625 11/15/2020 167 0.19 456 Vale Overseas Ltd. 6.875 11/21/2036 522 0.60 330 U.S. Treasury Note 3.625 2/15/2021 373 0.43 250 U.S. Treasury Note 3.125 5/15/2021 271 0.31 Luxembourg — 0.42% 330 Tyco International Finance S.A. 6.000 11/15/2013 365 0.42 Total U.S. Treasury Obligations (Cost $7,407) 8,078 9.23

Mexico — 0.55% Shares/Units (000’s) 420 America Movil SAB de CV 5.625 11/15/2017 480 0.55 Collective Investment Schemes — 1.65% Netherlands — 1.21% 864 Western Asset Liquidity Funds PLC – Western Asset Euro 280 Cooperatieve Centrale Liquidity Fund, Class WA 1,241 1.42 Raiffeisen-Boerenleenbank, 127 Western Asset Liquidity Funds PLC – Western Asset 144A * 11.000 Perpetual 352 0.40 Sterling Liquidity Fund, Class WA 206 0.23 490 Scotland International Finance Total Collective Investment Schemes (Cost $1,453) 1,447 1.65 No 2 BV 4.250 5/23/2013 482 0.55 180 Shell International Finance BV 6.375 12/15/2038 230 0.26 Time Deposits — 7.08% USD 1,800 Commerzbank AG 0.120 9/1/2011 1,800 2.05 1,064 1.21 1,801 ING Bank NV 0.080 9/1/2011 1,801 2.06 Russia — 0.23% 1,800 Royal Bank of Scotland 0.100 9/1/2011 1,800 2.06 190 Lukoil International Finance BV 6.356 6/7/2017 203 0.23 800 UBS AG 0.040 9/1/2011 800 0.91

Spain — 0.21% Total Time Deposits (Cost $6,201) 6,201 7.08 180 Telefonica Emisiones SAU 5.877 7/15/2019 180 0.21 Total Investments (Cost $84,468) 85,921 98.13 Switzerland — 0.05% Other Assets in Excess of Liabilities 1,639 1.87 40 Credit Suisse AG 5.400 1/14/2020 40 0.05 Total Net Assets $87,560 100.00 United Kingdom — 2.70% 680 Abbey National Treasury Services PLC 4.000 4/27/2016 650 0.74 350 Barclays Bank PLC 5.125 1/8/2020 352 0.40 230 HSBC Holdings PLC 5.100 4/5/2021 247 0.28

The accompanying notes are an integral part of the Financial Statements

122 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Credit Fund

Portfolio of Investments as at August 31, 2011 – (continued)

– Amounts designated as "-" are either $0, less than $1,000 or less than 1,000 shares. 144A Securities exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These securities may only be resold, in transactions exempt from registration, to qualified institutional buyers. As at August 31, 2011, these securities amounted to $1,279,334 or 1.47% of net assets. * Variable rate security. The interest rate shown reflects the rate in effect at August 31, 2011. e Security is in default as at August 31, 2011. † Illiquid. ? Security is valued in good faith at fair value by or at the discretion of the Investment Manager. ‡ Security held as collateral for future contracts trading as at August 31, 2011.

ABBREVIATIONS: Perpetual – A bond with no maturity date. Perpetual bonds are not redeemable but pay a steady stream of interest. EUR – Euro GBP – British Pound USD – United States Dollar

ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR TRADED ON A REGULATED MARKET EXCEPT FOR FUTURES, FORWARDS AND SWAPS WHICH ARE FINANCIAL DERIVATIVE INSTRUMENTS DEALT IN ON A REGULATED MARKET, TIME DEPOSITS WHICH ARE DEPOSITS WITH CREDIT INSTITUTIONS AND COLLECTIVE INVESTMENT SCHEMES. % of Total Analysis of Total Assets Assets

Transferable securities admitted to an official exchange listing or traded on a regulated market 88.17 Financial derivative instruments 0.12 Deposits with credit institutions 6.99 Collective investment schemes 1.63 Other assets 3.09

Total Assets 100.00

Schedule of Futures Contracts Net Unrealised Nominal Notional Cost Notional Unrealised Unrealised Gain/ (Loss) Value (000’s) Value (000’s) Gains (000’s) Losses (000’s) (000’s)

Euro-Bund September 2011 1 $192 $193 $1 – $1 Long Gilt December 2011 (21) (4,327) (4,311) 16 – 16 U.S. 10 Year Note December 2011 32 4,134 4,129 – $(5) (5) U.S. 2 Year Note (CBT) December 2011 (89) (19,614) (19,624) – (10) (10) U.S. 5 Year Note (CBT) December 2011 (43) (5,265) (5,270) – (5) (5) U.S. Ultra Bond (CBT) December 2011 40 5,794 5,726 – (68) (68) U.S. Ultra Bond (CBT) September 2011 1 130 145 15 – 15

Total Market Value of Future Contracts (79) $(18,956) $(19,012) $32 $(88) $(56)

Schedule of Credit Default Swaps Notional Buy/Sell Expiration Amount Value Counterparty Reference Entity Protection Pay/Receive Date (000’s) (000’s)

BNP Paribas Markit iTraxx Europe Sub Financials, 1.00%, due 6/20/16 Sell 1.00% 6/20/16 1,700 $(328) BNP Paribas Markit iTraxx Europe, 1.00%, due 6/20/16 Sell 1.00% 6/20/16 1,700 (57) RBS Securities, Inc. Markit iTraxx Europe, 1.00%, due 6/20/16 Sell 1.00% 6/20/16 3,400 (115)

$(500)

The accompanying notes are an integral part of the Financial Statements

123 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Credit Fund

Portfolio of Investments as at August 31, 2011 – (continued)

Notional Buy/Sell Expiration Amount Value Counterparty Reference Entity Protection Pay/Receive Date (000’s) (000’s)

Credit Default Swaps – Total Financial Assets at Fair Value $– Credit Default Swaps – Total Financial Liabilities at Fair Value (500)

Credit Default Swaps – Total Financial Assets and Liabilities at Fair Value $(500)

Schedule of Forward Contracts

Contracts to Receive Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/30/2011 JPMorgan Chase Bank London GBP 69 $ 112 $ 112 – 11/16/2011 JPMorgan Chase Bank London AUD 552 585 565 20 11/16/2011 Credit Suisse First Boston London CAD 321 327 322 5 11/16/2011 Goldman Sachs London FX CAD 867 884 878 6 11/16/2011 Barclays EUR 600 861 864 (3) 11/16/2011 Citicorp Securities London Ltd. EUR 230 329 330 (1) 11/16/2011 Citicorp Securities London Ltd. EUR 100 144 143 1 11/16/2011 Citicorp Securities London Ltd. EUR 100 144 142 2 11/16/2011 Citicorp Securities London Ltd. EUR 302 434 435 (1) 11/16/2011 JPMorgan Chase Bank London EUR 3,404 4,886 4,883 3 11/16/2011 JPMorgan Chase Bank London EUR 300 431 427 4 11/16/2011 UBS (FX) EUR 264 379 380 (1) 11/16/2011 Barclays GBP 200 324 322 2 11/16/2011 Credit Suisse First Boston London GBP 1,493 2,421 2,437 (16) 11/16/2011 Deutsche Bank London GBP 363 590 594 (4) 11/16/2011 JPMorgan Chase Bank London GBP 750 1,216 1,228 (12) 11/16/2011 JPMorgan Chase Bank London GBP 27 43 43 – 11/16/2011 UBS (FX) GBP 85 138 140 (2) 11/16/2011 JPMorgan Chase Bank London JPY 80,767 1,056 1,058 (2) 11/16/2011 Morgan Stanley Foreign Exchange JPY 72,480 947 948 (1) 11/16/2011 UBS (FX) JPY 38,148 499 498 1 $ 1

Contracts to Deliver Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 11/16/2011 Goldman Sachs London FX AUD (1,791) $ (1,896) $ (1,829) $ (67) 11/16/2011 UBS (FX) AUD (741) (784) (750) (34) 11/16/2011 Deutsche Bank London CAD (247) (252) (250) (2) 11/16/2011 Morgan Stanley Foreign Exchange CAD (790) (805) (796) (9) 11/16/2011 UBS (FX) CAD (153) (156) (154) (2) 11/16/2011 Barclays EUR (77) (111) (111) – 11/16/2011 BNP Paribas Paris (LDN) EUR (150) (215) (214) (1) 11/16/2011 Citicorp Securities London Ltd. EUR (9,503) (13,638) (13,533) (105) 11/16/2011 Credit Suisse First Boston London EUR (8,473) (12,160) (12,079) (81) 11/16/2011 Credit Suisse First Boston London EUR (100) (144) (144) – 11/16/2011 Goldman Sachs London FX EUR (2,422) (3,476) (3,449) (27) 11/16/2011 Morgan Stanley Foreign Exchange EUR (3,271) (4,694) (4,638) (56) 11/16/2011 Royal Bank of Scotland EUR (290) (417) (411) (6) 11/16/2011 UBS (FX) EUR (925) (1,328) (1,306) (22) 11/16/2011 Barclays GBP (430) (697) (697) – 11/16/2011 Citicorp Securities London Ltd. GBP (2,899) (4,701) (4,730) 29 11/16/2011 Goldman Sachs London FX GBP (58) (95) (96) 1 11/16/2011 JPMorgan Chase Bank London GBP (6,126) (9,935) (9,933) (2) 11/16/2011 UBS (FX) GBP (346) (561) (558) (3) 11/16/2011 Citicorp Securities London Ltd. JPY (20,660) (270) (267) (3)

The accompanying notes are an integral part of the Financial Statements

124 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Global Credit Fund

Portfolio of Investments as at August 31, 2011 – (continued)

Contracts to Deliver Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 11/16/2011 Deutsche Bank London JPY (10,704) (140) (138) (2) 11/16/2011 Goldman Sachs London FX JPY (160,300) (2,095) (2,067) (28) $ (420) Unrealised Appreciation of Forward Foreign Currency Contracts 74 Unrealised Depreciation of Forward Foreign Currency Contracts (493) Net Unrealised Depreciation of Forward Foreign Currency Contracts $ (419)

The accompanying notes are an integral part of the Financial Statements

125 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Euro High Yield Fund^

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date E Value (000’s) Rate % Date E Value

EUR Denominated Bonds and Notes — 71.36% 1,700 Wind Acquisition Finance S.A. 7.375 2/15/2018 1,564 2.42 Austria — 1.97% 65 Wind Acquisition Holdings 1,470 Sappi Papier Holding GmbH 6.625 4/15/2018 1,272 1.97 Finance S.A. 12.250 7/15/2017 64 0.10

Belgium — 3.77% 10,073 15.58 1,830 Ontex IV S.A. 9.000 4/15/2019 1,427 2.21 Netherlands — 13.04% 1,000 UCB SA * 7.750 Perpetual 1,007 1.56 1,225 Boats Investments BV 9.031 12/15/2015 845 1.31 2,434 3.77 1,157 Boats Investments BV 11.000 3/31/2017 802 1.24 486 Clondalkin Industries BV 8.000 3/15/2014 428 0.66 Canada — 1.06% 1,000 Conti-Gummi Finance BV 7.500 9/15/2017 980 1.51 750 Bombardier, Inc. 6.125 5/15/2021 682 1.06 207 HeidelbergCement Finance BV 8.000 1/31/2017 208 0.32 Finland — 2.32% 500 HeidelbergCement Finance BV 7.500 4/3/2020 477 0.74 1,515 M-Real Oyj * 8.750 4/1/2013 1,500 2.32 805 Hertz Holdings Netherlands BV 8.500 7/31/2015 789 1.22 342 New World Resources NV 7.875 5/1/2018 327 0.51 France — 6.24% 750 OI European Group BV 6.875 3/31/2017 713 1.10 2,200 CMA CGM S.A. 8.875 4/15/2019 990 1.53 750 Polish Television Holding BV 11.250 5/15/2017 750 1.16 750 Europcar Groupe S.A. 9.375 4/15/2018 615 0.95 794 UPC Holding BV 9.750 4/15/2018 786 1.22 810 Labco SAS 8.500 1/15/2018 705 1.09 1,350 Ziggo Bond Co. BV 8.000 5/15/2018 1,323 2.05 800 Pagesjaunes Finance & Co. 8.875 6/1/2018 592 0.92 1,020 Rhodia S.A. 7.000 5/15/2018 1,127 1.75 8,428 13.04

4,029 6.24 South Africa — 4.08% 1,528 Edcon Proprietary Ltd. * 4.721 6/15/2014 1,169 1.81 Germany — 6.70% 1,000 Foodcorp Pty Ltd. 8.750 3/1/2018 870 1.35 620 ALBA Group PLC & Co. KG 8.000 5/15/2018 605 0.94 610 Savcio Holdings Pty Ltd. 8.000 2/15/2013 590 0.92 1,070 Kabel Deutschland Vertrieb und Service GmbH & Co. KG 6.500 6/29/2018 1,057 1.64 2,629 4.08 1,340 Musketeer GmbH 9.500 3/15/2021 1,340 2.07 Spain — 0.99% 1,317 Unitymedia GmbH 9.625 12/1/2019 1,327 2.05 700 Campofrio Food Group S.A. 8.250 10/31/2016 641 0.99 4,329 6.70 Sweden — 2.65% Ireland — 3.62% 1,416 Corral Petroleum Holdings AB 15.000 9/18/2011 1,359 2.10 590 Ardagh Glass Finance PLC 8.750 2/1/2020 507 0.79 375 TVN Finance Corp. III AB 7.875 11/15/2018 356 0.55 225 Ardagh Packaging Finance PLC 9.250 10/15/2020 198 0.31 1,715 2.65 1,050 Ono Finance II PLC 11.125 7/15/2019 913 1.41 750 Smurfit Kappa Acquisitions 7.750 11/15/2019 716 1.11 United Kingdom — 4.16% 1,650 Ineos Group Holdings PLC 7.875 2/15/2016 1,353 2.09 2,334 3.62 750 ISS Financing PLC 11.000 6/15/2014 776 1.20 Italy — 0.40% 505 ITV PLC 10.000 6/30/2014 562 0.87 316 Seat Pagine Gialle S.p.A. 10.500 1/31/2017 259 0.40 2,691 4.16 Luxembourg — 15.58% United States — 4.78% 304 Beverage Packaging Holdings 2,011 Chesapeake Energy Corp. 6.250 1/15/2017 2,011 3.11 Luxembourg II S.A. 8.000 12/15/2016 237 0.37 1,000 Nalco Co. 6.875 1/15/2019 1,082 1.67 975 Beverage Packaging Holdings Luxembourg II S.A. 9.500 6/15/2017 775 1.20 3,093 4.78 1,100 Boardriders S.A. 8.875 12/15/2017 1,089 1.68 Total EUR Denominated Bonds and Notes (Cost E50,853) 46,109 71.36 500 Cirsa Funding Luxembourg S.A. 8.750 5/15/2018 435 0.67 116 Codere Finance Foreign Corporate Bonds and Notes — 16.82% Luxembourg S.A. 8.250 6/15/2015 108 0.17 Luxembourg — 0.39% 1,080 ConvaTec Healthcare e S.A. 10.875 12/15/2018 961 1.49 308 Aguila 3 S.A. 7.875 1/31/2018 253 0.39 600 Fiat Finance & Trade S.A. 6.125 7/8/2014 567 0.88 750 Fiat Industrial Finance United Kingdom — 16.43% Europe S.A. 6.250 3/9/2018 653 1.01 1,510 Anglian Water/Osprey Financing 1,050 Greif Luxembourg Finance SCA 7.375 7/15/2021 1,029 1.59 PLC 7.000 1/31/2018 1,628 2.52 1,500 Lecta S.A. * 5.535 2/15/2014 1,403 2.17 876 BAA SH PLC 7.125 3/1/2017 943 1.46 500 Sunrise Communications 1,200 Boparan Finance PLC 9.875 4/30/2018 1,058 1.64 Holdings S.A. 8.500 12/31/2018 480 0.74 690 Crown Newco 3 PLC 8.875 2/15/2019 725 1.12 770 Telenet Finance III 836 DFS Furniture Holdings PLC 9.750 7/15/2017 817 1.26 Luxembourg S.C.A. 6.625 2/15/2021 708 1.09 1,997 Enterprise Inns PLC 6.500 12/6/2018 1,715 2.66 ^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

126 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Euro High Yield Fund^

Portfolio of Investments as at August 31, 2011 – (continued)

% of ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL Value Net EXCHANGE LISTING OR TRADED ON A REGULATED MARKET EXCEPT FOR SWAPS Face Value Coupon Maturity (000’s) Asset AND FORWARDS WHICH ARE FINANCIAL DERIVATIVE INSTRUMENTS DEALT IN ON (000’s) Rate % Date E Value A REGULATED MARKET AND TIME DEPOSITS WHICH ARE DEPOSITS WITH CREDIT INSTITUTIONS. Foreign Corporate Bonds and Notes — (continued) % of United Kingdom — (continued) Total 750 Gala Group Finance Ltd. 8.875 9/1/2018 703 1.09 Analysis of Total Assets Assets 656 ITV PLC 7.375 1/5/2017 737 1.14 Transferable securities admitted to an official exchange listing or traded on a 1,000 Odeon & UCI Finco PLC 9.000 8/1/2018 1,034 1.60 regulated market 81.73 750 Phones4u Finance PLC 9.500 4/1/2018 653 1.01 Financial derivative instruments 0.44 500 Virgin Media Finance PLC 8.875 10/15/2019 602 0.93 Deposits with credit institutions 13.49 10,615 16.43 Other assets 4.34 Total Foreign Corporate Bonds and Notes (Cost E12,382) 10,868 16.82 Total Assets 100.00 Shares/Units (000’s)

Common Stock — 0.01% (Cost E-) – General Motors Co. 5 0.01

Shares/Units (000’s)

Warrants — 0.01% – General Motors Co., Series CW16 3 0.01 – General Motors Co., Series CW19 2 –

Total Warrants (Cost E–) 5 0.01

Time Deposits — 14.55% EUR 1,301 Commerzbank AG 0.720 9/1/2011 1,301 2.01 1,301 Commerzbank AG 0.700 9/2/2011 1,301 2.01 1,300 ING Bank NV 0.750 9/1/2011 1,300 2.01 1,300 ING Bank NV 0.750 9/2/2011 1,301 2.01 300 Rabobank 0.650 9/1/2011 300 0.46 300 Rabobank 0.650 9/2/2011 300 0.47 1,200 Royal Bank of Scotland 0.680 9/2/2011 1,200 1.86 1,200 RSCB 0.730 9/1/2011 1,200 1.86 600 UBS AG 0.500 9/1/2011 600 0.93 600 UBS AG 0.630 9/2/2011 600 0.93

Total Time Deposits (Cost E9,403) 9,403 14.55

Total Investments (Cost E72,638) 66,390 102.75

Liabilities in Excess of Other Assets (1,777) (2.75)

Total Net Assets E64,613 100.00

– Amounts designated as "-" are either E0, less than E1,000 or less than 1,000 shares. * Variable rate security. The interest rate shown reflects the rate in effect at August 31, 2011.

ABBREVIATIONS: Perpetual – A bond with no maturity date. Perpetual bonds are not redeemable but pay a steady stream of interest. EUR – Euro

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

127 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Euro High Yield Fund^

Portfolio of Investments as at August 31, 2011 – (continued)

Schedule of Credit Default Swaps Notional Buy/Sell Expiration Amount Value Counterparty Reference Entity Protection Pay/Receive Date (000’s) (000’s)

Goldman Sachs Group, Inc. Grohe Holding GMBH, 8.63%, due 1/10/14 Sell 5.00% 6/20/16 500 E (74) JPMorgan Chase TUI AG, 5.13%, due 10/12/12 Sell 5.00% 3/20/16 1,000 (236)

E (310)

Credit Default Swaps – Total Financial Assets at Fair Value – Credit Default Swaps – Total Financial Liabilities at Fair Value (310)

Credit Default Swaps – Total Financial Assets and Liabilities at Fair Value E (310)

Schedule of Forward Contracts

Contracts to Receive Unrealised Appreciation/ In Exchange (Depreciation) of Expiration Date Counterparty Local Currency Value in Euro for Euro Contracts 9/30/2011 Barclays USD 197 E 137 E 137 – 9/30/2011 Citicorp Securities London Ltd. USD 12,291 8,559 8,522 37 9/30/2011 Goldman Sachs London FX USD 1,975 1,376 1,368 8 9/30/2011 JPMorgan Chase Bank London USD 474 330 328 2 9/30/2011 UBS (FX) USD 8,387 5,841 5,822 19 11/16/2011 Barclays GBP 628 709 720 (11) 11/16/2011 Barclays USD 326 227 229 (2) 11/16/2011 JPMorgan Chase Bank London USD 1,339 933 934 (1) 11/16/2011 UBS (FX) USD 1,002 698 700 (2) E 50

Contracts to Deliver Unrealised Appreciation/ In Exchange (Depreciation) of Expiration Date Counterparty Local Currency Value in Euro for Euro Contracts 9/30/2011 JPMorgan Chase Bank London USD (293) E (204) E (203) E (1) 11/16/2011 Barclays CHF (1,150) (997) (1,106) 109 11/16/2011 Barclays GBP (81) (92) (92) – 11/16/2011 BNP Paribas Paris (LDN) GBP (881) (996) (1,009) 13 11/16/2011 Citicorp Securities London Ltd. GBP (637) (720) (730) 10 11/16/2011 Deutsche Bank London GBP (1,151) (1,301) (1,328) 27 11/16/2011 JPMorgan Chase Bank London GBP (6,529) (7,379) (7,391) 12 11/16/2011 Societe Generale GBP (324) (366) (366) – 11/16/2011 The Bank of New York Mellon GBP (1,500) (1,695) (1,723) 28 11/16/2011 UBS (FX) GBP (828) (936) (947) 11 11/16/2011 UBS (FX) USD (2,693) (1,876) (1,907) 31 E 240 Unrealised Appreciation of Forward Foreign Currency Contracts 307 Unrealised Depreciation of Forward Foreign Currency Contracts (17) Net Unrealised Appreciation of Forward Foreign Currency Contracts E 290

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

128 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Brandywine Global Fixed Income Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

Foreign Government Bonds and Notes — 62.07% 12,015 United Kingdom Gilt 4.250 12/7/2040 20,863 4.58 Australia Government Issues — 10.46% 36,295 7.97 AUD 29,445 New South Wales Treasury Corp., Series 16 6.000 4/1/2016 33,316 7.32 Total Foreign Government Bonds and Notes (Cost $261,951) 282,489 62.07 6,815 New South Wales Treasury Corp., Series 19 6.000 4/1/2019 7,882 1.73 U.S. Treasury Obligations — 27.53% 5,598 Queensland Treasury Corp., USD 41,360 U.S. Treasury Bill zero Series 20 6.250 2/21/2020 6,406 1.41 coupon 7/26/2012 41,328 9.08 74,920 U.S. Treasury Bond 4.250 11/15/2040 83,980 18.45 47,604 10.46 Total U.S. Treasury Obligations (Cost $121,408) 125,308 27.53 Canada Government Issues — 5.58% CAD 24,625 Canadian Government Bond 2.000 9/1/2012 25,398 5.58 Total Investments (Cost $383,359) 407,797 89.60

Germany Government Issues — 1.92% Other Assets in Excess of Liabilities 47,351 10.40 AUD 7,702 Kreditanstalt Fuer Wiederaufbau 6.250 12/4/2019 8,724 1.92 Total Net Assets $455,148 100.00 Hungary Government Issues — 1.74% HUF 1,577,100 Hungary Government Bond, ABBREVIATIONS: Series 16/C 5.500 2/12/2016 7,936 1.74 AUD – Australian Dollar CAD – Canadian Dollar Italy Government Issues — 4.40% EUR – Euro EUR 16,365 Italy Buoni Poliennali Del Tesoro 5.000 8/1/2039 20,008 4.40 GBP – British Pound Korea Government Issues — 4.75% HUF – Hungarian Forint KRW 5,833,300 Korea Treasury Bond, KRW – South Korean Won Series 1312 3.000 12/10/2013 5,410 1.19 MXN – Mexican Peso 15,452,700 Korea Treasury Bond, MYR – Malaysian Ringgit Series 1809 5.750 9/10/2018 16,221 3.56 NOK – Norwegian Krone NZD – New Zealand Dollar 21,631 4.75 PLN – Polish Zloty USD – United States Dollar Malaysia Government Issues — 3.43% ZAR – South Africa Rand MYR 46,280 Malaysia Government Bond, Series 5/06 3.718 6/15/2012 15,631 3.43 ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR TRADED ON A REGULATED MARKET EXCEPT FOR Mexico Government Issues — 3.70% FORWARDS WHICH ARE FINANCIAL DERIVATIVE INSTRUMENTS DEALT ON A MXN 179,530 Mexican Bonos, Series M 20 8.500 5/31/2029 16,827 3.70 REGULATED MARKET. % of New Zealand Government Issues — 4.27% Total NZD 20,550 New Zealand Government Analysis of Total Assets Assets Bond, Series 521 6.000 5/15/2021 19,451 4.27 Transferable securities admitted to an official exchange listing or traded on a Norway Government Issues — 4.46% regulated market 88.59 NOK 101,275 Norway Government Bond, Financial derivative instruments 0.32 Series 470 6.500 5/15/2013 20,294 4.46 Other assets 11.09 Poland Government Issues — 7.06% Total Assets 100.00 PLN 31,220 Poland Government Bond, Series 1020 5.250 10/25/2020 10,625 2.34 61,345 Poland Government Bond, Series 0922 5.750 9/23/2022 21,479 4.72

32,104 7.06

South Africa Government Issues — 2.33% ZAR 79,745 South Africa Government Bond, Series R208 6.750 3/31/2021 10,586 2.33

United Kingdom Government Issues — 7.97% GBP 8,975 United Kingdom Gilt 4.500 3/7/2013 15,432 3.39

The accompanying notes are an integral part of the Financial Statements

129 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Brandywine Global Fixed Income Fund

Portfolio of Investments as at August 31, 2011 – (continued)

Schedule of Forward Contracts

Contracts to Receive Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/6/2011 Morgan Stanley CAD 92 $ 94 $ 97 $ (3) 9/6/2011 Citigroup GBP 194 316 320 (4) 9/6/2011 HSBC GBP 7,167 11,633 11,747 (114) 9/6/2011 Morgan Stanley GBP 305 495 493 2 9/6/2011 UBS GBP 587 953 962 (9) 9/6/2011 UBS GBP 243 394 395 (1) 9/6/2011 UBS GBP 8,690 14,105 14,280 (175) 9/6/2011 Morgan Stanley JPY 41,700 545 516 29 9/7/2011 UBS JPY 27,102 354 335 19 9/8/2011 Barclays Capital GBP 174 283 286 (3) 9/8/2011 Barclays Capital JPY 339,072 4,429 4,194 235 9/12/2011 Barclays Capital JPY 5,359 70 67 3 9/14/2011 Barclays Capital EUR 16 24 24 – 9/14/2011 Barclays Capital EUR 109 157 160 (3) 9/14/2011 Barclays Capital EUR 34 48 49 (1) 9/14/2011 UBS GBP 124 201 204 (3) 9/26/2011 HSBC SGD 10,849 9,010 8,963 47 10/5/2011 Morgan Stanley EUR 237 340 338 2 10/5/2011 UBS EUR 382 548 550 (2) 10/5/2011 HSBC GBP 266 431 429 2 10/5/2011 UBS GBP 8,694 14,107 13,929 178 10/5/2011 Morgan Stanley JPY 16,892 221 215 6 10/5/2011 UBS JPY 396,140 5,175 4,903 272 10/11/2011 Morgan Stanley EUR 23 34 34 – 10/11/2011 Morgan Stanley EUR 43 62 61 1 10/11/2011 Morgan Stanley EUR 6 8 8 – 10/11/2011 UBS EUR 152 218 218 – 10/11/2011 UBS EUR 81 116 116 – 10/11/2011 UBS EUR 606 870 871 (1) 10/13/2011 Barclays Capital EUR 28 41 41 – 10/13/2011 Barclays Capital EUR 198 284 282 2 10/13/2011 Barclays Capital EUR 54 77 76 1 10/13/2011 HSBC EUR 333 478 479 (1) 10/13/2011 HSBC EUR 62 90 90 – 10/13/2011 HSBC EUR 484 696 697 (1) 10/13/2011 UBS EUR 1,277 1,834 1,820 14 10/13/2011 UBS EUR 9,556 13,719 13,612 107 10/13/2011 UBS EUR 2,389 3,430 3,403 27 10/13/2011 HSBC JPY 8,262 108 102 6 10/13/2011 Morgan Stanley JPY 48,710 636 618 18 10/13/2011 Morgan Stanley JPY 12,300 161 157 4 10/13/2011 Morgan Stanley JPY 6,500 85 83 2 10/17/2011 HSBC EUR 199 286 277 9 10/17/2011 HSBC EUR 54 77 75 2 10/17/2011 HSBC EUR 28 41 40 1 10/17/2011 UBS EUR 38 54 52 2 10/17/2011 UBS EUR 71 101 98 3 10/17/2011 UBS EUR 260 373 362 11 10/17/2011 HSBC GBP 194 315 307 8 10/17/2011 UBS GBP 252 410 400 10 10/17/2011 HSBC JPY 7,932 104 100 4 10/17/2011 UBS JPY 10,382 136 131 5 11/8/2011 Morgan Stanley GBP 41 67 67 – 11/8/2011 UBS JPY 70,400 920 913 7 11/10/2011 Barclays Capital JPY 8,243 108 108 – 11/14/2011 Morgan Stanley EUR 2,130 3,058 3,054 4 11/14/2011 Morgan Stanley EUR 7,858 11,279 11,266 13 11/14/2011 Morgan Stanley EUR 1,048 1,505 1,503 2 11/14/2011 UBS EUR 462 663 664 (1) 11/14/2011 UBS EUR 59 84 84 –

The accompanying notes are an integral part of the Financial Statements

130 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Brandywine Global Fixed Income Fund

Portfolio of Investments as at August 31, 2011 – (continued)

Contracts to Receive Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 11/14/2011 UBS EUR 227 325 326 (1) 11/14/2011 UBS EUR 1,702 2,443 2,448 (5) 11/14/2011 UBS EUR 216 310 311 (1) 11/14/2011 UBS EUR 29 41 41 – 12/1/2011 HSBC GBP 22,060 35,772 36,035 (263) 1/11/2012 Barclays Capital CNY 67,240 10,596 10,546 50 1/13/2012 UBS CNY 53,596 8,447 8,344 103 $ 619

Contracts to Deliver Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/6/2011 UBS CAD (940) $ (960) $ (963) $ 3 9/6/2011 HSBC GBP (315) (511) (504) (7) 9/6/2011 Morgan Stanley GBP (323) (525) (517) (8) 9/6/2011 Morgan Stanley GBP (60) (98) (97) (1) 9/6/2011 UBS JPY (1,151,500) (15,039) (14,280) (759) 9/6/2011 UBS JPY (30,200) (394) (395) 1 9/6/2011 Citigroup SEK (1,991) (314) (320) 6 9/7/2011 UBS CAD (328) (335) (335) – 9/8/2011 Morgan Stanley JPY (17,997) (235) (223) (12) 9/8/2011 Barclays Capital PLN (784) (272) (286) 14 9/12/2011 Barclays Capital CHF (56) (70) (67) (3) 9/12/2011 Citigroup NZD (20,358) (17,329) (16,510) (819) 9/14/2011 Barclays Capital CHF (41) (51) (49) (2) 9/14/2011 Barclays Capital CHF (20) (25) (24) (1) 9/14/2011 Barclays Capital CHF (133) (165) (160) (5) 9/14/2011 UBS CHF (170) (211) (203) (8) 10/5/2011 HSBC EUR (302) (434) (429) (5) 10/5/2011 Morgan Stanley EUR (151) (217) (215) (2) 10/5/2011 UBS EUR (3,397) (4,878) (4,904) 26 10/5/2011 UBS EUR (9,620) (13,813) (13,929) 116 10/5/2011 Morgan Stanley GBP (208) (337) (338) 1 10/5/2011 UBS JPY (42,271) (552) (551) (1) 10/11/2011 Morgan Stanley CAD (61) (62) (61) (1) 10/11/2011 Morgan Stanley CAD (33) (34) (34) – 10/11/2011 Morgan Stanley CAD (8) (8) (8) – 10/11/2011 UBS CAD (112) (114) (116) 2 10/11/2011 UBS CAD (837) (854) (871) 17 10/11/2011 UBS CAD (210) (214) (218) 4 10/11/2011 Citigroup NOK (66,711) (12,407) (12,014) (393) 10/11/2011 UBS NOK (38,736) (7,204) (7,105) (99) 10/12/2011 HSBC AUD (2,947) (3,133) (3,024) (109) 10/12/2011 HSBC AUD (50,165) (53,330) (53,004) (326) 10/13/2011 Morgan Stanley EUR (435) (625) (619) (6) 10/13/2011 Morgan Stanley EUR (58) (83) (82) (1) 10/13/2011 Morgan Stanley EUR (110) (158) (156) (2) 10/13/2011 HSBC JPY (36,500) (477) (479) 2 10/13/2011 HSBC JPY (53,100) (694) (697) 3 10/13/2011 HSBC JPY (6,850) (89) (89) – 10/13/2011 UBS JPY (273,800) (3,577) (3,404) (173) 10/13/2011 UBS JPY (146,350) (1,912) (1,819) (93) 10/13/2011 UBS JPY (1,095,010) (14,306) (13,613) (693) 10/13/2011 Barclays Capital PLN (113) (39) (40) 1 10/13/2011 Barclays Capital PLN (789) (273) (282) 9 10/13/2011 Barclays Capital PLN (214) (74) (77) 3 10/13/2011 HSBC PLN (287) (99) (101) 2 10/17/2011 UBS AUD (94) (100) (98) (2) 10/17/2011 UBS AUD (125) (133) (131) (2) 10/17/2011 UBS AUD (50) (53) (52) (1)

The accompanying notes are an integral part of the Financial Statements

131 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Brandywine Global Fixed Income Fund

Portfolio of Investments as at August 31, 2011 – (continued)

Contracts to Deliver Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 10/17/2011 UBS AUD (346) (368) (363) (5) 10/17/2011 UBS AUD (383) (407) (399) (8) 10/17/2011 HSBC MXN (1,189) (96) (100) 4 10/17/2011 HSBC MXN (470) (38) (40) 2 10/17/2011 HSBC MXN (3,296) (266) (277) 11 10/17/2011 HSBC MXN (3,672) (296) (307) 11 10/17/2011 HSBC MXN (887) (72) (75) 3 11/3/2011 Citigroup EUR (13,704) (19,670) (19,674) 4 11/8/2011 UBS GBP (558) (905) (913) 8 11/8/2011 Morgan Stanley JPY (5,131) (67) (67) – 11/10/2011 Barclays Capital SEK (710) (112) (108) (4) 11/14/2011 UBS GBP (1,503) (2,438) (2,448) 10 11/14/2011 UBS GBP (408) (662) (665) 3 11/14/2011 UBS GBP (200) (324) (325) 1 11/14/2011 UBS SEK (1,997) (314) (311) (3) 11/14/2011 UBS SEK (545) (86) (85) (1) 11/14/2011 UBS SEK (266) (42) (42) – 11/15/2011 HSBC CAD (7,378) (7,521) (7,426) (95) $ (3,383) Unrealised Appreciation of Forward Foreign Currency Contracts 1,478 Unrealised Depreciation of Forward Foreign Currency Contracts (4,242) Net Unrealised Depreciation of Forward Foreign Currency Contracts $ (2,764)

The accompanying notes are an integral part of the Financial Statements

132 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Brandywine Global Opportunistic Fixed Income Fund ^

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net Face Value Coupon Maturity (000’s) Asset Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value (000’s) Rate % Date $ Value

Collateralised Mortgage-Backed Obligations — 1.62% 2,420 Poland Government Bond, USD 92 Countrywide Alternative Loan Series 0922 5.750 9/23/2022 847 3.74 Trust, Series 21CB 6.000 6/25/2035 82 0.36 1,291 5.70 65 Countrywide Home Loan Mortgage Pass Through Trust, South Africa Government Issues — 2.74% Series 9 5.750 7/25/2037 59 0.26 ZAR 4,660 South Africa Government Bond, 245 JP Morgan Mortgage Trust, Series R208 6.750 3/31/2021 619 2.74 Series A8 5.387 11/25/2035 225 1.00 South Korea Government Issues — 4.35% Total Collateralised Mortgage-Backed Obligations (Cost $369) 366 1.62 KRW 873,000 Korea Treasury Bond, Series 1312 3.000 12/10/2013 810 3.58 Foreign Government Bonds and Notes — 57.96% 167,080 Korea Treasury Bond, Australia Government Issues — 8.81% Series 1809 5.750 9/10/2018 175 0.77 AUD 1,035 New South Wales Treasury Corp., Series 16 6.000 4/1/2016 1,171 5.17 985 4.35 415 New South Wales Treasury Corp., Series 19 6.000 4/1/2019 480 2.12 United Kingdom Government Issues — 7.30% 300 Queensland Treasury Corp., GBP 410 United Kingdom Gilt 4.500 3/7/2013 705 3.12 Series 20 6.250 2/21/2020 343 1.52 545 United Kingdom Gilt 4.250 12/7/2040 946 4.18

1,994 8.81 1,651 7.30

Canada Government Issues — 3.85% Total Foreign Government Bonds and Notes (Cost $12,743) 13,118 57.96 CAD 845 Canadian Government Bond 2.000 9/1/2012 872 3.85 U.S. Corporate Bonds and Notes — 13.11% Germany Government Issues — 1.15% Biotechnology — 0.14% AUD 230 Kreditanstalt Fuer Wiederaufbau 6.250 12/4/2019 260 1.15 25 Amgen, Inc. 6.900 6/1/2038 32 0.14

Hungary Government Issues — 2.31% Financials – Banks — 3.78% HUF 104,000 Hungary Government Bond, 40 Bank of America Corp. 4.500 4/1/2015 41 0.18 Series 16/C 5.500 2/12/2016 523 2.31 325 Fifth Third Bancorp. 8.250 3/1/2038 368 1.63 396 The Goldman Sachs Group, Inc. 6.750 10/1/2037 376 1.66 Indonesia Government Issues — 3.12% 70 JP Morgan Chase & Co. * 1.053 1/24/2014 70 0.31 IDR 4,990,000 Indonesia Treasury Bond, Series FR44 10.000 9/15/2024 705 3.12 855 3.78

Malaysia Government Issues — 4.57% Financials – Diversified — 1.56% MYR 705 Malaysia Government Bond, 360 General Electric Capital Corp. * 0.883 6/2/2014 354 1.56 Series 5/06 3.718 6/15/2012 238 1.05 Healthcare – Services — 0.20% 2,355 Malaysia Government Bond, 38 UnitedHealth Group, Inc. 6.625 11/15/2037 45 0.20 Series 3/03 3.702 2/25/2013 797 3.52 Media — 3.61% 1,035 4.57 60 Comcast Corp. 6.950 8/15/2037 70 0.31 Mexico Government Issues — 6.50% 15 Comcast Corp. 6.550 7/1/2039 17 0.08 MXN 15,700 Mexican Bonos, Series M 20 8.500 5/31/2029 1,472 6.50 315 Time Warner Cable, Inc. 7.300 7/1/2038 373 1.65 300 Viacom, Inc. 6.875 4/30/2036 356 1.57 New Zealand Government Issues — 3.41% NZD 255 New Zealand Government 816 3.61 Bond, Series 521 6.000 5/15/2021 241 1.06 Municipal — 1.86% 580 New Zealand Government 380 Municipal Electric Authority of Bond, Series 423 5.500 4/15/2023 531 2.35 Georgia 6.637 4/1/2057 386 1.71 772 3.41 35 Municipal Electric Authority of Georgia 6.655 4/1/2057 35 0.15 Norway Government Issues — 4.15% NOK 4,685 Norway Government Bond, 421 1.86 Series 470 6.500 5/15/2013 939 4.15 Software — 0.21% Poland Government Issues — 5.70% 38 Oracle Corp. 6.500 4/15/2038 47 0.21 PLN 1,305 Poland Government Bond, Telecommunications — 1.75% Series 1020 5.250 10/25/2020 444 1.96 350 Cisco Systems, Inc. 5.900 2/15/2039 397 1.75

Total U.S. Corporate Bonds and Notes (Cost $2,952) 2,967 13.11

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

133 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Brandywine Global Opportunistic Fixed Income Fund ^

Portfolio of Investments as at August 31, 2011 – (continued)

% of Value Net Face Value Coupon Maturity (000’s) Asset (000’s) Rate % Date $ Value

U.S. Treasury Obligations — 17.18% USD 950 U.S. Treasury Bill zero coupon 5/3/2012 950 4.20 2,620 U.S. Treasury Bond 4.250 11/15/2040 2,937 12.98

Total U.S. Treasury Obligations (Cost $3,548) 3,887 17.18

Total Investments (Cost $19,612) 20,338 89.87

Other Assets in Excess of Liabilities 2,293 10.13

Total Net Assets $22,631 100.00

* Variable rate security. The interest rate shown reflects the rate in effect at August 31, 2011.

ABBREVIATIONS: AUD – Australian Dollar CAD – Canadian Dollar GBP – British Pound HUF – Hungarian Forint IDR – Indonesian Rupiah KRW – South Korean Won MXN – Mexican Peso MYR – Malaysian Ringgit NOK – Norwegian Krone NZD – New Zealand Dollar PLN – Polish Zloty USD – United States Dollar ZAR – South Africa Rand

ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR TRADED ON A REGULATED MARKET EXCEPT FOR FORWARDS WHICH ARE FINANCIAL DERIVATIVE INSTRUMENTS DEALT ON A REGULATED MARKET . % of Total Analysis of Total Assets Assets

Transferable securities admitted to an official exchange listing or traded on a regulated market 89.29 Financial derivative instruments 0.10 Other assets 10.61

Total Assets 100.00

Schedule of Forward Contracts

Contracts to Receive Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/26/2011 HSBC SGD 545 $ 453 $ 450 $ 3 11/10/2011 Barclays Capital TRY 1,429 823 810 13 12/1/2011 HSBC GBP 1,095 1,776 1,789 (13) 1/11/2012 Barclays Capital CNY 673 106 105 1 1/11/2012 Barclays Capital CNY 974 153 152 1 1/11/2012 Barclays Capital CNY 2,989 471 467 4 1/13/2012 UBS AG CNY 397 63 62 1 1/13/2012 UBS AG CNY 632 100 99 1 $ 11

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

134 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Brandywine Global Opportunistic Fixed Income Fund ^

Portfolio of Investments as at August 31, 2011 – (continued)

Contracts to Deliver Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/12/2011 Citigroup NZD (841) $ (716) $ (682) $ (34) 10/11/2011 Citigroup NOK (3,331) (619) (599) (20) 10/11/2011 UBS AG NOK (1,537) (286) (282) (4) 10/12/2011 HSBC AUD (121) (129) (125) (4) 10/12/2011 HSBC AUD (1,997) (2,123) (2,110) (13) $ (75) Unrealised Appreciation of Forward Foreign Currency Contracts 24 Unrealised Depreciation of Forward Foreign Currency Contracts (88) Net Unrealised Depreciation of Forward Foreign Currency Contracts $ (64)

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

135 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Western Asset Brazil Equity Fund ^

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) $ Value Shares (000’s) $ Value

Common Stock — 89.15% Telecommunications — 0.00% Apparel — 4.74% – Tim Participacoes S.A. – – 32 Sao Paulo Alpargatas S.A. 218 4.74 Transportation — 0.00% Auto Parts & Equipment — 4.50% – Tegma Gestao Logistica – – 18 Iochpe-Maxion S.A. 207 4.50 Total Common Stock (Cost $4,695) 4,099 89.15 Banks — 20.18% Preferred Stock — 8.61% 28 Banco ABC Brasil S.A. 183 3.98 Investment Companies — 4.22% 26 Banco do Brasil S.A. 428 9.31 9 Bradespar S.A. 194 4.22 18 Itau Unibanco Holding S.A. 317 6.89 Media — 4.39% 928 20.18 12 Saraiva S.A. Livreiros Editores 202 4.39 Building Materials — 4.00% Total Preferred Stock (Cost $466) 396 8.61 48 Magnesita Refratarios S.A. 184 4.00 Total Investments (Cost $5,161) 4,495 97.76 Chemicals — 4.63% 18 Braskem S.A., Class A 213 4.63 Other Assets in Excess of Liabilities 103 2.24

Commercial Services — 3.13% Total Net Assets $4,598 100.00 – Cielo S.A. – – 12 Valid Solucoes E Servicos de – Amounts designated as "-" are either $0, less than $1,000 or less than 1,000 shares. Seguranca Em Meios de Pagamento E Identificacao S.A. 144 3.13 ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR TRADED ON A REGULATED MARKET. 144 3.13 % of Electric — 0.02% Total – AES Tiete S.A. 1 0.02 Analysis of Total Assets Assets

Food — 2.31% Transferable securities admitted to an official exchange listing or traded on a regulated market 97.42 7 Cosan S.A. Industria E Comercio 106 2.31 Other assets 2.58 Home Builders — 11.66% 46 Brookfield Incorporacoes S.A. 203 4.42 Total Assets 100.00 77 Even Construtora E Incorporadora S.A. 333 7.24

536 11.66

Iron & Steel — 3.41% 25 Cia Ferro Ligas da Bahia – Ferbasa 157 3.41

Machinery-Diversified — 3.63% 43 Industrias Romi S.A. 167 3.63

Metal Fabrication & Distribution — 4.66% 70 Confab Industrial S.A. 214 4.66

Mining — 7.92% 14 Vale S.A., Class A 364 7.92

Oil & Gas — 8.27% – HRT Participacoes Em Petroleo S.A. 193 4.20 14 Petroleo Brasileiro S.A. 187 4.07

380 8.27

Real Estate — 6.09% 58 PDG Realty S.A. Empreendimentos E Participacoes 280 6.09

Software — 0.00% – Bematech S.A. – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

136 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Capital Management Value Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) $ Value Shares (000’s) $ Value

Common Stock — 99.06% 40 United Technologies Corp. 2,963 1.23 Communications — 12.01% 12,975 5.37 31 Amazon.com, Inc. 6,686 2.77 351 Cisco Systems, Inc. 5,509 2.28 Technology — 15.51% 207 eBay, Inc. 6,400 2.65 22 Apple, Inc. 8,591 3.56 104 Qualcomm, Inc. 5,347 2.22 232 EMC Corp. 5,230 2.16 160 Time Warner, Inc. 5,058 2.09 273 Intel Corp. 5,486 2.27 32 International Business Machines 29,000 12.01 Corp. 5,484 2.27 Consumer, Cyclical — 12.92% 303 Microsoft Corp. 8,054 3.34 145 Best Buy Co., Inc. 3,711 1.54 176 Texas Instruments, Inc. 4,605 1.91 143 CVS Caremark Corp. 5,150 2.13 37,450 15.51 355 Ford Motor Co. 3,946 1.64 80 General Motors Co. 3,170 1.31 Total Common Stock (Cost $243,967) 239,196 99.06 112 Target Corp. 5,782 2.39 263 United Continental Holdings, Inc. 4,884 2.02 Total Investments (Cost $243,967) 239,196 99.06 84 Yum! Brands, Inc. 4,553 1.89 Other Assets in Excess of Liabilities 2,270 0.94 31,196 12.92 Total Net Assets $241,466 100.00 Consumer, Non-cyclical — 23.81% 80 Abbott Laboratories 4,196 1.74 ABBREVIATIONS: 136 Aetna, Inc. 5,433 2.25 ADR – American Depositary Receipt 64 Celgene Corp. 3,788 1.57 ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL 72 Johnson & Johnson 4,738 1.96 EXCHANGE LISTING OR TRADED ON A REGULATED MARKET. 136 Medtronic, Inc. 4,755 1.97 % of 88 PepsiCo, Inc. 5,651 2.34 Total 303 Pfizer, Inc. 5,745 2.38 Analysis of Total Assets Assets 88 Philip Morris International, Inc. 6,072 2.51 108 The Procter & Gamble Co. 6,865 2.84 Transferable securities admitted to an official exchange listing or traded on a 120 Teva Pharmaceutical Industries regulated market 90.91 Ltd., ADR 4,952 2.05 Other assets 9.09 112 UnitedHealth Group, Inc. 5,301 2.20 Total Assets 100.00 57,496 23.81

Energy — 7.36% 135 BP PLC, ADR 5,333 2.21 60 Chevron Corp. 5,925 2.45 96 ConocoPhillips 6,513 2.70

17,771 7.36

Financial — 22.08% 119 Aflac, Inc. 4,505 1.87 120 American Express Co. 5,955 2.46 319 Annaly Capital Management, Inc. 5,783 2.40 36 BlackRock, Inc. 5,907 2.45 175 Citigroup, Inc. 5,439 2.25 176 JPMorgan Chase & Co. 6,592 2.73 144 MetLife, Inc. 4,828 2.00 173 Morgan Stanley 3,023 1.25 92 PNC Financial Services Group, Inc. 4,623 1.91 255 Wells Fargo & Co. 6,653 2.76

53,308 22.08

Industrial — 5.37% 399 General Electric Co. 6,499 2.69 52 Norfolk Southern Corp. 3,513 1.45

The accompanying notes are an integral part of the Financial Statements

137 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Capital Management Growth Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) $ Value Shares (000’s) $ Value

Common Stock — 97.56% 20 Red Hat, Inc. 795 1.31 Basic Materials — 2.14% 13,231 21.74 19 Monsanto Co. 1,303 2.14 Total Common Stock (Cost $58,238) 59,364 97.56 Communications — 17.09% 7 Amazon.com, Inc. 1,486 2.44 Total Investments (Cost $58,238) 59,364 97.56 130 Cisco Systems, Inc. 2,040 3.35 75 eBay, Inc. 2,328 3.83 Other Assets in Excess of Liabilities 1,483 2.44 22 F5 Networks, Inc. 1,787 2.94 Total Net Assets $60,847 100.00 35 Qualcomm, Inc. 1,780 2.93 27 Rackspace Hosting, Inc. 976 1.60 ABBREVIATIONS: 10,397 17.09 ADR – American Depositary Receipt

Consumer, Cyclical — 6.65% ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL 88 Lowe’s Cos., Inc. 1,752 2.88 EXCHANGE LISTING OR TRADED ON A REGULATED MARKET. 14 NIKE, Inc., Class B 1,248 2.05 % of 122 Southwest Airlines Co. 1,049 1.72 Total Analysis of Total Assets Assets 4,049 6.65 Transferable securities admitted to an official exchange listing or traded on a Consumer, Non-cyclical — 27.41% regulated market 97.17 42 Abbott Laboratories 2,195 3.61 Other assets 2.83 44 Celgene Corp. 2,641 4.34 24 Diageo PLC, ADR 1,934 3.18 Total Assets 100.00 31 Johnson & Johnson 2,020 3.32 61 Medtronic, Inc. 2,122 3.49 53 Myriad Genetics, Inc. 1,055 1.73 27 PepsiCo, Inc. 1,711 2.81 27 The Procter & Gamble Co. 1,713 2.82 67 Quanta Services, Inc. 1,285 2.11

16,676 27.41

Energy — 9.81% 52 Consol Energy, Inc. 2,379 3.91 6 First Solar, Inc. 630 1.03 93 Nabors Industries Ltd. 1,705 2.80 16 Schlumberger Ltd. 1,258 2.07

5,972 9.81

Financial — 5.88% 14 BlackRock, Inc. 2,356 3.87 99 The Charles Schwab Corp. 1,219 2.01

3,575 5.88

Industrial — 6.84% 15 3M Co. 1,203 1.98 14 Goodrich Corp. 1,213 1.99 24 United Technologies Corp. 1,745 2.87

4,161 6.84

Technology — 21.74% 99 Adobe Systems, Inc. 2,504 4.11 8 Apple, Inc. 2,954 4.85 34 Autodesk, Inc. 950 1.56 109 EMC Corp. 2,453 4.03 93 Microsoft Corp. 2,482 4.08 59 Nuance Communications, Inc. 1,093 1.80

The accompanying notes are an integral part of the Financial Statements

138 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Capital Management Opportunity Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) $ Value Shares (000’s) $ Value

Common Stock — 87.42% Technology — 15.39% Closed-end Funds — 2.26% 254 Integrated Device Technology, Inc. 1,436 2.05 154 AP Alternative Assets LP 1,580 2.26 92 Intel Corp. 1,844 2.63 274 Market Leader, Inc. 565 0.81 Communication — 16.13% 85 Microsoft Corp. 2,272 3.24 11 Amazon.com, Inc. 2,340 3.34 49 Research In Motion Ltd. 1,590 2.27 385 Clearwire Corp., Class A 1,237 1.77 127 Seagate Technology PLC 1,473 2.10 45 DG FastChannel, Inc. 987 1.41 73 Teradyne, Inc. 886 1.27 79 Expedia, Inc. 2,407 3.44 86 Xerox Corp. 713 1.02 55 NII Holdings, Inc. 2,111 3.01 589 Sprint Nextel Corp. 2,215 3.16 10,779 15.39

11,297 16.13 Utilities — 1.61% 104 The AES Corp. 1,127 1.61 Consumer, Cyclical — 16.81% 225 Boyd Gaming Corp. 1,407 2.01 Total Common Stock (Cost $75,978) 61,239 87.42 183 Delta Air Lines, Inc. 1,380 1.97 Corporate Bond — 0.55% 29 General Motors Co. 1,136 1.62 Real Estate — 0.55% 78 KB Home 516 0.74 – Realogy Corp. 11.00% 15/4/2018, 132 Lennar Corp., Class A 1,942 2.77 Series C, 144A 386 0.55 283 Pulte Group, Inc. 1,361 1.94 153 United Continental Holdings, Inc. 2,838 4.05 Total Corporate Bond (Cost $349) 386 0.55 214 US Airways Group, Inc. 1,197 1.71 Equity Swap — 0.49% 11,777 16.81 Financial — 0.49% 80 Apollo Investment Corp. 79 0.11 Consumer, Non-cyclical — 6.27% 107 Ares Capital Corp. 148 0.21 44 BG Medicine, Inc. 264 0.38 54 Solar Capital Ltd. 116 0.17 33 CIGNA Corp. 1,554 2.22 145 Monster Worldwide, Inc. 1,368 1.95 343 0.49 112 Supervalu, Inc. 893 1.27 8 Teva Pharmaceutical Industries Ltd., Total Equity Swap (Cost $–) 343 0.49 ADR 314 0.45 Warrants — 4.56% 4,393 6.27 Financial — 4.56% 376 Bank of America Corp., Energy — 2.09% Series CW19 1,493 2.13 45 Chesapeake Energy Corp. 1,468 2.09 133 JPMorgan Chase & Co., Series CW18 1,699 2.43 Financial — 21.52% 24 American Capital Agency Corp. 696 0.99 3,192 4.56 31 American Capital Mortgage Investment Corp. 564 0.81 Total Warrants (Cost $4,833) 3,192 4.56 37 Annaly Capital Management, Inc. 664 0.95 Total Financial Assets at Fair Value 65,160 93.02 49 Apollo Global Management LLC 633 0.90 24 Ares Capital Corp. 370 0.53 Equity Swap — (0.12%) 210 Assured Guaranty Ltd. 2,834 4.04 Financial — (0.12)% 70 Citigroup, Inc. 2,160 3.08 169 Ellington Financial LLC (86) (0.12) 344 Genworth Financial, Inc., Class A 2,379 3.40 110 Hartford Financial Services Group, Total Equity Swap (Cost $–) (86) (0.12) Inc. 2,104 3.00 479 MGIC Investment Corp. 1,245 1.78 12 New York Community Bancorp, Inc. 158 0.23 876 Synovus Financial Corp. 1,269 1.81

15,076 21.52

Industrial — 4.27% 940 Eastman Kodak Co. 2,989 4.27

Real Estate Investment Trusts — 1.07% 43 Invesco Mortgage Capital, Inc. 753 1.07

The accompanying notes are an integral part of the Financial Statements

139 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Capital Management Opportunity Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of Value Net Contracts (000’s) Asset (000’s) $ Value

Options — (0.10%) Written Options — (0.10)% (3) Sprint, June 2012, Call 5.00, Series C5 (66) (0.10)

Total Options (Cost $(102)) (66) (0.10)

Total Financial Liabilities at Fair Value (152) (0.22)

Total Investments (Cost $81,058) 65,008 92.80

Other Assets in Excess of Liabilities 5,040 7.20

Total Net Assets $70,048 100.00

– Amounts designated as "-" are either $0, less than $1,000 or less than 1,000 shares. 144A Securities exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These securities may only be resold, in transactions exempt from registration, to qualified institutional buyers. As August 31, 2011, these securities amounted to $385,950 or 0.55% of net assets.

ABBREVIATIONS: ADR – American Depositary Receipt

ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR TRADED ON A REGULATED MARKET EXCEPT FOR SWAPS AND OPTIONS WHICH ARE FINANCIAL DERIVATIVE INSTRUMENTS DEALT ON A REGULATED MARKET. % of Total Analysis of Total Assets Assets

Transferable securities admitted to an official exchange listing or traded on a regulated market 92.32 Financial derivative instruments 0.49 Other assets 7.19

Total Assets 100.00

The accompanying notes are an integral part of the Financial Statements

140 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason ClearBridge US Appreciation Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) $ Value Shares (000’s) $ Value

Common Stock — 95.47% 47 US Bancorp 1,098 0.52 Air Freight & Logistics — 1.80% 29 Visa, Inc., Class A 2,512 1.20 56 United Parcel Service, Inc., Class B 3,769 1.80 4,242 2.02 Beverages — 1.93% Food & Staples Retailing — 2.86% 36 The Coca-Cola Co. 2,526 1.21 44 CVS Caremark Corp. 1,588 0.76 23 PepsiCo, Inc. 1,510 0.72 83 Wal-Mart Stores, Inc. 4,398 2.10 4,036 1.93 5,986 2.86 Biotechnology — 1.11% Food Products — 3.15% 35 Amgen, Inc. 1,928 0.92 44 General Mills, Inc. 1,681 0.80 32 Human Genome Sciences, Inc. 407 0.19 42 HJ Heinz Co. 2,231 1.07 2,335 1.11 6 Kellogg Co. 300 0.14 68 Kraft Foods, Inc., Class A 2,397 1.14 Chemicals — 6.30% 71 Celanese Corp., Series A 3,353 1.60 6,609 3.15 32 Ecolab, Inc. 1,726 0.82 Forest Products & Paper — 0.82% 32 EI du Pont de Nemours & Co. 1,565 0.75 63 International Paper Co. 1,709 0.82 15 Monsanto Co. 1,068 0.51 30 Potash Corp. of Saskatchewan, Healthcare-Services — 0.74% Inc. 1,729 0.82 39 Aetna, Inc. 1,553 0.74 49 PPG Industries, Inc. 3,770 1.80 Hotels, Restaurants & Leisure — 1.33% 13,211 6.30 31 McDonald’s Corp. 2,790 1.33

Communications Equipment — 0.80% Household Products — 3.44% 106 Cisco Systems, Inc. 1,669 0.80 36 Kimberly-Clark Corp. 2,466 1.18 75 The Procter & Gamble Co. 4,747 2.26 Computers & Peripherals — 2.49% 63 EMC Corp. 1,431 0.68 7,213 3.44 22 International Business Machines Corp. 3,782 1.81 Industrial Conglomerates — 7.89% 36 3M Co. 3,016 1.44 5,213 2.49 1 Cummins, Inc. 124 0.06 7 Deere & Co. 562 0.27 Diversified Telecommunication Services — 1.87% 40 Eaton Corp. 1,720 0.82 138 AT&T, Inc. 3,930 1.87 204 General Electric Co. 3,327 1.59 Electric Utilities — 0.90% 42 Honeywell International, Inc. 1,985 0.94 8 American Electric Power Co., Inc. 307 0.15 28 Raytheon Co. 1,195 0.57 18 PPL Corp. 521 0.25 18 Tyco International Ltd. 757 0.36 33 Wisconsin Energy Corp. 1,050 0.50 52 United Technologies Corp. 3,863 1.84

1,878 0.90 16,549 7.89

Energy — 0.71% Insurance — 5.90% 22 ConocoPhillips 1,492 0.71 – Berkshire Hathaway, Inc., Class A 2,525 1.20 38 Lincoln National Corp. 788 0.38 Energy Equipment & Services — 0.62% 69 MetLife, Inc. 2,317 1.11 29 Halliburton Co. 1,298 0.62 133 The Travelers Cos., Inc. 6,733 3.21 Environmental Control — 0.90% 12,363 5.90 57 Waste Management, Inc. 1,898 0.90 Internet Software & Services — 3.58% Financials – Banks — 3.11% 8 Amazon.com, Inc. 1,678 0.80 25 Citigroup, Inc. 773 0.37 78 eBay, Inc. 2,417 1.15 82 JPMorgan Chase & Co. 3,096 1.48 6 Google, Inc., Class A 3,410 1.63 101 Wells Fargo & Co. 2,639 1.26 7,505 3.58 6,508 3.11 Media — 4.65% Financials – Diversified — 2.02% 203 Comcast Corp., Class A 4,359 2.08 4 American Express Co. 184 0.09 42 News Corp., Class A 729 0.35 36 The Charles Schwab Corp. 448 0.21

The accompanying notes are an integral part of the Financial Statements

141 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason ClearBridge US Appreciation Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) $ Value Shares (000’s) $ Value

Common Stock — (continued) 21 Target Corp. 1,105 0.53 Media — (continued) 26 TJX Cos., Inc. 1,426 0.68 137 The Walt Disney Co. 4,650 2.22 22 Yum! Brands, Inc. 1,183 0.56

9,738 4.65 6,493 3.10

Mining — 0.31% Telecommunications — 3.08% 10 Newmont Mining Corp. 654 0.31 30 American Tower Corp., Class A 1,622 0.77 24 Motorola Solutions, Inc. 1,011 0.48 Oil, Gas & Consumable Fuels — 9.80% 30 Qualcomm, Inc. 1,524 0.73 6 Anadarko Petroleum Corp. 429 0.20 55 Verizon Communications, Inc. 2,003 0.96 17 Apache Corp. 1,772 0.85 11 Vodafone Group PLC, ADR 290 0.14 40 Chevron Corp. 3,931 1.88 75 El Paso Corp. 1,441 0.69 6,450 3.08 95 Exxon Mobil Corp. 7,003 3.34 Transportation — 0.47% 10 National Grid PLC, ADR 509 0.24 14 Norfolk Southern Corp. 980 0.47 3 National Oilwell Varco, Inc. 211 0.10 27 Newfield Exploration Co. 1,378 0.66 Total Common Stock (Cost $192,333) 200,096 95.47 15 Schlumberger Ltd. 1,182 0.56 62 Spectra Energy Corp. 1,619 0.77 Total Investments (Cost $192,333) 200,096 95.47 62 Weatherford International Ltd. 1,068 0.51 Other Assets in Excess of Liabilities 9,494 4.53 20,543 9.80 Total Net Assets $209,590 100.00

Paper & Packaging — 0.35% – Amounts designated as "-" are either $0, less than $1,000 or less than 1,000 shares. 30 Temple-Inland, Inc. 726 0.35

Pharmaceuticals — 8.43% ABBREVIATIONS: 27 Abbott Laboratories 1,421 0.68 ADR – American Depositary Receipt 28 AmerisourceBergen Corp. 1,122 0.54 ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL 59 Bristol-Myers Squibb Co. 1,744 0.83 EXCHANGE LISTING OR TRADED ON A REGULATED MARKET. 31 GlaxoSmithKline PLC, ADR 1,329 0.64 % of 60 Johnson & Johnson 3,978 1.90 Total 60 Merck & Co., Inc. 1,998 0.95 Analysis of Total Assets Assets 49 Novartis AG, ADR 2,850 1.36 Transferable securities admitted to an official exchange listing or traded on a 169 Pfizer, Inc. 3,213 1.53 regulated market 95.11 17,655 8.43 Other assets 4.89

Real Estate Investment Trusts — 0.19% Total Assets 100.00 130 Chimera Investment Corp. 394 0.19

Real Estate Management & Development — 1.64% 120 Annaly Capital Management, Inc. 2,173 1.03 96 Forest City Enterprises, Inc., Class A 1,278 0.61

3,451 1.64

Semiconductors & Equipment — 0.43% 34 Texas Instruments, Inc. 903 0.43

Software — 8.75% 16 Apple, Inc. 6,066 2.90 48 Automatic Data Processing, Inc. 2,425 1.15 21 Citrix Systems, Inc. 1,268 0.60 207 Microsoft Corp. 5,512 2.63 12 NetApp, Inc. 468 0.22 93 Oracle Corp. 2,614 1.25

18,353 8.75

Speciality Retail — 3.10% 83 Home Depot, Inc. 2,779 1.33

The accompanying notes are an integral part of the Financial Statements

142 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason ClearBridge US Fundamental Value Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) $ Value Shares (000’s) $ Value

Common Stock — 98.65% 56 Unilever PLC, ADR 1,903 1.60 Aerospace & Defense — 5.80% 2,658 2.24 37 The Boeing Co. 2,492 2.10 47 Honeywell International, Inc. 2,236 1.88 Hotels, Restaurants & Leisure — 1.29% 39 Northrop Grumman Corp. 2,152 1.82 46 Carnival Corp. 1,524 1.29 – Marriott International, Inc., 6,880 5.80 Class A – – Building Materials — 0.20% 1,524 1.29 27 Masco Corp. 240 0.20 Household Durables — 0.26% Capital Markets — 5.04% 18 Toll Brothers, Inc. 310 0.26 8 BlackRock, Inc. 1,300 1.10 16 Franklin Resources, Inc. 1,938 1.63 Insurance — 5.06% 14 Greenhill & Co., Inc. 501 0.42 57 Allied World Assurance Co. 128 Morgan Stanley 2,242 1.89 Holdings Ltd. 2,934 2.47 50 Chubb Corp. 3,072 2.59 5,981 5.04 6,006 5.06 Commercial Banks — 3.74% 21 First Republic Bank/San Francisco Internet Software & Services — 3.45% CA 535 0.45 133 eBay, Inc. 4,096 3.45 168 KeyCorp. 1,113 0.94 120 US Bancorp 2,788 2.35 Leisure Equipment & Products — 1.72% 76 Mattel, Inc. 2,038 1.72 4,436 3.74 Life Sciences & Tools — 0.38% Communications Equipment — 4.40% 153 Enzo Biochem, Inc. 448 0.38 177 Cisco Systems, Inc. 2,771 2.33 9 Plantronics, Inc. 283 0.24 Machinery — 4.89% 193 Telefonaktiebolaget LM Ericsson, 40 Deere & Co. 3,230 2.72 ADR 2,168 1.83 29 Dover Corp. 1,684 1.42 45 Oshkosh Corp. 895 0.75 5,222 4.40 5,809 4.89 Diversified Telecommunication Services — 1.46% 61 AT&T, Inc. 1,731 1.46 Media — 2.53% 88 The Walt Disney Co. 3,002 2.53 Electrical Equipment — 0.15% 145 Valence Technology, Inc. 175 0.15 Metals & Mining — 3.06% 16 BHP Billiton Ltd., ADR 1,386 1.17 Energy Equipment & Services — 5.35% 27 Nucor Corp. 966 0.82 35 Baker Hughes, Inc. 2,142 1.81 42 United States Steel Corp. 1,272 1.07 36 Halliburton Co. 1,613 1.36 33 Schlumberger Ltd. 2,591 2.18 3,624 3.06

6,346 5.35 Oil, Gas & Consumable Fuels — 9.22% 3 Apache Corp. 268 0.22 Engineering & Construction — 1.70% 1,275 Berkley Resources, Inc. ? 33 0.03 10 EMCOR Group, Inc. 237 0.20 41 ConocoPhillips 2,808 2.37 24 Fluor Corp. 1,429 1.20 34 Devon Energy Corp. 2,321 1.95 9 Jacobs Engineering Group, Inc. 353 0.30 51 Hess Corp. 3,010 2.54 18 Noble Energy, Inc. 1,600 1.35 2,019 1.70 24 Southwestern Energy Co. 908 0.76 Financials – Diversified — 4.41% 10,948 9.22 17 Citigroup, Inc. 514 0.43 126 JPMorgan Chase & Co. 4,725 3.98 Pharmaceuticals — 8.19% 30 GlaxoSmithKline PLC, ADR 1,296 1.09 5,239 4.41 37 Johnson & Johnson 2,427 2.04 Food & Staples Retailing — 2.45% 87 Merck & Co., Inc. 2,874 2.42 158 Safeway, Inc. 2,904 2.45 54 Novartis AG, ADR 3,131 2.64

Food Products — 2.24% 9,728 8.19 23 Unilever PLC 755 0.64

The accompanying notes are an integral part of the Financial Statements

143 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason ClearBridge US Fundamental Value Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of Value Net (000’s) Asset Shares (000’s) $ Value

Common Stock — (continued) Real Estate Management & Development — 4.49% 79 Annaly Capital Management, Inc. 1,432 1.21 24 Jones Lang LaSalle, Inc. 1,584 1.34 49 Pebblebrook Hotel Trust 781 0.66 85 Weyerhaeuser Co. 1,524 1.28

5,321 4.49

Semiconductors & Equipment — 7.02% 234 Applied Materials, Inc. 2,653 2.24 7 Samsung Electronics Co. Ltd., GDR 2,457 2.07 123 Texas Instruments, Inc. 3,220 2.71

8,330 7.02

Software — 4.01% 133 Microsoft Corp. 3,539 2.98 71 Symantec Corp. 1,223 1.03

4,762 4.01

Speciality Retail — 3.92% 69 The Gap, Inc. 1,138 0.96 105 Home Depot, Inc. 3,513 2.96

4,651 3.92

Wireless Telecommunication Services — 2.22% 100 Vodafone Group PLC, ADR 2,632 2.22

Total Common Stock (Cost $116,470) 117,060 98.65

Total Investments (Cost $116,470) 117,060 98.65

Other Assets in Excess of Liabilities 1,607 1.35

Total Net Assets $118,667 100.00

– Amounts designated as "-" are either $0, less than $1,000 or less than 1,000 shares. ? Security is valued in good faith at fair value by or at the discretion of the Investment Manager.

ABBREVIATIONS: ADR – American Depositary Receipt GDR – Global Depositary Receipt

ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR TRADED ON A REGULATED MARKET. % of Total Analysis of Total Assets Assets

Transferable securities admitted to an official exchange listing or traded on a regulated market 98.46 Other assets 1.54

Total Assets 100.00

The accompanying notes are an integral part of the Financial Statements

144 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason ClearBridge US Large Cap Growth Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) $ Value Shares (000’s) $ Value

Common Stock — 100.98% 7 Amazon.com, Inc. 1,544 4.73 Air Freight & Logistics — 2.11% 37 eBay, Inc. 1,157 3.55 10 United Parcel Service, Inc., Class B 687 2.11 2 Google, Inc., Class A 1,209 3.70

Apparel — 1.60% 4,294 13.16 6 NIKE, Inc., Class B 521 1.60 Media — 4.96% Beverages — 8.25% 38 Comcast Corp., Special Class A 811 2.49 15 Anheuser-Busch InBev NV, ADR 823 2.53 24 The Walt Disney Co. 807 2.47 15 The Coca-Cola Co. 1,051 3.22 1,618 4.96 13 PepsiCo, Inc. 816 2.50 Oil, Gas & Consumable Fuels — 2.86% 2,690 8.25 9 Apache Corp. 934 2.86 Biotechnology — 8.94% Pharmaceuticals — 3.26% 13 Amgen, Inc. 714 2.19 16 Johnson & Johnson 1,065 3.26 10 Biogen Idec, Inc. 985 3.02 18 Celgene Corp. 1,049 3.21 Semiconductors & Equipment — 3.71% 13 Human Genome Sciences, Inc. 171 0.52 13 Broadcom Corp., Class A 469 1.44 28 Texas Instruments, Inc. 742 2.27 2,919 8.94 1,211 3.71 Chemicals — 2.81% 13 Monsanto Co. 917 2.81 Software — 8.70% 1 Apple, Inc. 335 1.03 Communications Equipment — 5.30% 11 Intuit, Inc. 566 1.74 48 Cisco Systems, Inc. 755 2.32 34 Microsoft Corp. 911 2.79 27 Juniper Networks, Inc. 559 1.71 10 NetApp, Inc. 375 1.15 8 Qualcomm, Inc. 415 1.27 23 Oracle Corp. 650 1.99 1,729 5.30 2,837 8.70 Electronics — 2.64% Speciality Retail — 5.52% 16 Thermo Fisher Scientific, Inc. 862 2.64 15 Bed Bath & Beyond, Inc. 879 2.70 Energy Equipment & Services — 5.42% 28 Home Depot, Inc. 920 2.82 10 Cameron International Corp. 521 1.60 1,799 5.52 8 Halliburton Co. 335 1.03 12 Schlumberger Ltd. 912 2.79 Total Common Stock (Cost $31,203) 32,943 100.98

1,768 5.42 Total Investments (Cost $31,203) 32,943 100.98

Financials – Diversified — 11.10% Liabilities in Excess of Other Assets (320) (0.98) 6 BlackRock, Inc. 917 2.81 43 The Charles Schwab Corp. 532 1.63 Total Net Assets $32,623 100.00 2 CME Group, Inc. 526 1.62 – Amounts designated as "-" are either $0, less than $1,000 or less than 1,000 shares. 22 The Nasdaq OMX Group 526 1.61 13 Visa, Inc., Class A 1,120 3.43 ABBREVIATIONS: 3,621 11.10 ADR – American Depositary Receipt

Food & Staples Retailing — 2.96% ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR TRADED ON A REGULATED MARKET. 27 CVS Caremark Corp. 967 2.96 % of Household Products — 1.88% Total 10 The Procter & Gamble Co. 612 1.88 Analysis of Total Assets Assets

Industrial Conglomerates — 5.80% Transferable securities admitted to an official exchange listing or traded on a regulated market 99.88 4 Deere & Co. 354 1.09 15 Eaton Corp. 642 1.97 Other assets 0.12 55 General Electric Co. 896 2.74 Total Assets 100.00 1,892 5.80

Internet Software & Services — 13.16% 18 Akamai Technologies, Inc. 384 1.18

The accompanying notes are an integral part of the Financial Statements

145 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason ClearBridge US Aggressive Growth Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) $ Value Shares (000’s) $ Value

Common Stock — 95.45% Industrial Conglomerates — 1.82% Aerospace & Defense — 2.23% 89 Tyco International Ltd. 3,708 1.82 67 L-3 Communications Holdings, Inc. 4,525 2.23 Internet Software & Services — 1.29% Biotechnology — 17.21% 166 Liberty Media Corp. – Interactive, 42 Alkermes, Inc. 720 0.35 Class A 2,625 1.29 201 Amgen, Inc. 11,154 5.48 Machinery — 2.28% 136 Biogen Idec, Inc. 12,818 6.30 91 Pall Corp. 4,633 2.28 182 Human Genome Sciences, Inc. 2,340 1.15 56 Immunogen, Inc. 607 0.30 Media — 14.52% 60 Isis Pharmaceuticals, Inc. 449 0.22 71 AMC Networks, Inc. 2,637 1.30 153 Vertex Pharmaceuticals, Inc. 6,936 3.41 335 Cablevision Systems Corp., Class A 6,052 2.97 25 CBS Corp., Class B 633 0.31 35,024 17.21 12 Comcast Corp., Class A 255 0.13 Communications Equipment — 0.31% 450 Comcast Corp., Special Class A 9,524 4.68 100 Nokia Oyj, ADR 642 0.31 94 DirecTV, Class A 4,141 2.04 19 Discovery Communications, Inc., Computers & Peripherals — 3.87% Class A 809 0.40 182 SanDisk Corp. 6,667 3.28 19 Discovery Communications, Inc., 104 Seagate Technology PLC 1,199 0.59 Class C 756 0.37 7,866 3.87 20 Liberty Global, Inc., Series C 777 0.38 20 Liberty Global, Inc., Class A 798 0.39 Consumer, Non-cyclical — 0.28% 18 Liberty Media Corp. – Capital, 14 Teva Pharmaceutical Industries Series A 1,273 0.63 Ltd., ADR 563 0.28 9 Liberty Media Corp. – Starz, Series A 596 0.29 Electronics — 2.52% 21 Viacom, Inc., Class B 997 0.49 65 Dolby Laboratories, Inc., Class A 2,191 1.08 31 World Wrestling Entertainment, 96 TE Connectivity Ltd. 2,943 1.44 Inc., Class A 293 0.14 5,134 2.52 29,541 14.52 Energy Equipment & Services — 9.54% Metals & Mining — 3.09% 53 Core Laboratories NV 5,936 2.92 73 Freeport-McMoRan Copper & 102 National Oilwell Varco, Inc. 6,722 3.30 Gold, Inc., Class B 3,427 1.68 394 Weatherford International Ltd. 6,751 3.32 79 Nucor Corp. 2,864 1.41 19,409 9.54 6,291 3.09 Engineering & Construction — 2.98% Oil, Gas & Consumable Fuels — 7.46% 100 Fluor Corp. 6,067 2.98 206 Anadarko Petroleum Corp. 15,183 7.46 Entertainment — 0.66% Pharmaceuticals — 5.53% – Ascent Media Corp., Class A 15 0.01 58 BioMimetic Therapeutics, Inc. 192 0.09 55 Madison Square Garden, Inc., 275 Forest Laboratories, Inc. 9,428 4.63 Class A 1,336 0.65 37 Valeant Pharmaceuticals 1,351 0.66 International, Inc. 1,648 0.81

Financials – Diversified — 1.43% 11,268 5.53 51 Astoria Financial Corp. 523 0.26 Semiconductors & Equipment — 6.34% 34 Cohen & Steers, Inc. 1,330 0.65 200 Broadcom Corp., Class A 7,136 3.51 82 New York Community Bancorp, 112 Cree, Inc. 3,620 1.78 Inc. 1,056 0.52 79 Intel Corp. 1,594 0.78 2,909 1.43 27 Standard Microsystems Corp. 562 0.27

Healthcare Providers & Services — 7.70% 12,912 6.34 72 Covidien PLC 3,766 1.85 Software — 4.15% 250 UnitedHealth Group, Inc. 11,901 5.85 50 Advent Software, Inc. 1,163 0.57 15,667 7.70 124 Autodesk, Inc. 3,505 1.72

The accompanying notes are an integral part of the Financial Statements

146 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason ClearBridge US Aggressive Growth Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of Value Net (000’s) Asset Shares (000’s) $ Value

Common Stock — (continued) Software — (continued) 63 Citrix Systems, Inc. 3,777 1.86

8,445 4.15

Speciality Retail — 0.11% 71 Charming Shoppes, Inc. 224 0.11

Telecommunications — 0.13% 24 Arris Group, Inc. 259 0.13

Total Common Stock (Cost $195,238) 194,246 95.45

Total Investments (Cost $195,238) 194,246 95.45

Other Assets in Excess of Liabilities 9,264 4.55

Total Net Assets $203,510 100.00

– Amounts designated as "-" are either $0, less than $1,000 or less than 1,000 shares.

ABBREVIATIONS: ADR – American Depositary Receipt

ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR TRADED ON A REGULATED MARKET. % of Total Analysis of Total Assets Assets

Transferable securities admitted to an official exchange listing or traded on a regulated market 94.54 Other assets 5.46

Total Assets 100.00

The accompanying notes are an integral part of the Financial Statements

147 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Royce US Small Cap Opportunity Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net Shares (000’s) Asset Shares (000’s) Asset (000’s) $ Value (000’s) $ Value

Common Stock — 92.14% 170 PGT, Inc. 303 0.11 Advertising & Publishing — 0.54% 1,477 0.52 208 Harris Interactive, Inc. 134 0.05 163 Interpublic Group of Cos., Inc. 1,402 0.49 Chemicals — 2.06% 90 Chemtura Corp. 1,191 0.42 1,536 0.54 208 Ferro Corp. 1,741 0.61 Aerospace & Defense — 2.09% 32 Minerals Technologies, Inc. 1,827 0.64 170 GenCorp, Inc. 756 0.26 126 Zoltek Cos., Inc. 1,109 0.39 74 Hexcel Corp. 1,700 0.60 5,868 2.06 64 Kaman Corp. 2,186 0.77 33 Moog, Inc., Class A 1,316 0.46 Commercial Services — 2.77% 100 Albany Molecular Research, Inc. 349 0.12 5,958 2.09 106 AMN Healthcare Services, Inc. 584 0.20 Airlines — 0.06% 32 CTPartners Executive Search, Inc. 167 0.06 53 Republic Airways Holdings, Inc. 168 0.06 111 Hill International, Inc. 605 0.21 88 Hudson Highland Group, Inc. 463 0.16 Apparel, Shoes & Accessories — 3.74% 33 ICF International, Inc. 737 0.26 54 Bernard Chaus, Inc. 1 – 71 Korn/Ferry International 1,155 0.41 115 Delta Apparel, Inc. 1,914 0.67 87 PHH Corp. 1,650 0.58 21 Hanesbrands, Inc. 585 0.21 118 RSC Holdings, Inc. 936 0.33 190 The Jones Group, Inc. 2,233 0.78 76 United Rentals, Inc. 1,259 0.44 282 Liz Claiborne, Inc. 1,472 0.52 190 Quiksilver, Inc. 794 0.28 7,905 2.77 125 Skechers U.S.A., Inc., Class A 2,008 0.70 Components & Systems — 1.23% 148 Unifi, Inc. 1,659 0.58 102 Benchmark Electronics, Inc. 1,375 0.48 10,666 3.74 205 Furmanite Corp. 1,250 0.44 13 Mentor Graphics Corp. 145 0.05 Auto Parts & Equipment — 2.01% 65 Planar Systems, Inc. 130 0.05 50 Cooper Tire & Rubber Co. 600 0.21 53 Vishay Intertechnology, Inc. 599 0.21 67 Dana Holding Corp. 848 0.30 117 Meritor, Inc. 984 0.34 3,499 1.23 88 Tower International, Inc. 1,223 0.43 Construction Materials — 0.53% 22 Visteon Corp. 1,124 0.39 83 Trex Co., Inc. 1,514 0.53 170 Wabash National Corp. 967 0.34 Cosmetics & Personal Care — 0.52% 5,746 2.01 22 Elizabeth Arden, Inc. 709 0.25 Banking — 2.77% 222 Physicians Formula Holdings, Inc. 757 0.27 17 Berkshire Hills Bancorp, Inc. 366 0.13 1,466 0.52 192 Boston Private Financial Holdings, Inc. 1,196 0.42 22 Peapack Gladstone Financial Corp. 238 0.08 Distribution — 0.47% 68 Sterling Bancorp. 584 0.21 57 Ingram Micro, Inc., Class A 1,017 0.36 20 SVB Financial Group 922 0.32 25 Wesco Aircraft Holdings, Inc. 308 0.11 31 Texas Capital Bancshares, Inc. 796 0.28 125 Umpqua Holdings Corp. 1,221 0.43 1,325 0.47 60 Valley National Bancorp 713 0.25 Drugs & Biotech — 0.21% 124 Washington Federal, Inc. 1,864 0.65 122 Cambrex Corp. 608 0.21 7,900 2.77 Electrical Components & Equipment — 1.04% Building Materials — 1.59% 130 Advanced Energy Industries, Inc. 1,299 0.46 155 NCI Building Systems, Inc. 1,499 0.53 138 Ameresco, Inc. 1,540 0.54 87 Quanex Building Products Corp. 1,123 0.39 83 Magnetek, Inc. 116 0.04 52 Texas Industries, Inc. 1,834 0.64 2,955 1.04 19 US Home Systems, Inc. 94 0.03 Electronics — 1.17% 4,550 1.59 8 Analogic Corp. 396 0.14 Building Systems & Components — 0.52% 176 Identive Group, Inc. 329 0.11 125 Apogee Enterprises, Inc. 1,174 0.41 155 Kemet Corp. 1,429 0.50 110 Sanmina-SCI Corp. 849 0.30

The accompanying notes are an integral part of the Financial Statements

148 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Royce US Small Cap Opportunity Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Shares (000’s) Asset Shares (000’s) Asset (000’s) $ Value (000’s) $ Value

Common Stock — (continued) Home Builders — 0.64% Electronics — (continued) 43 Hovnanian Enterprises, Inc. 457 0.16 30 TTM Technologies, Inc. 335 0.12 363 Standard Pacific Corp. 932 0.32 58 Winnebago Industries, Inc. 451 0.16 3,338 1.17 1,840 0.64 Engineering & Construction — 2.21% 178 Comstock Homebuilding Cos., Inc., Class A 190 0.07 Home Furnishing & Appliances — 2.05% 65 Hovnanian Enterprises, Inc., Class A 107 0.04 63 American Woodmark Corp. 1,002 0.35 26 Insituform Technologies, Inc., Class A 430 0.15 74 Audiovox Corp., Class A 471 0.17 98 Lime Energy Co. 355 0.13 63 Ethan Allen Interiors, Inc. 1,075 0.38 66 MasTec, Inc. 1,465 0.51 245 Furniture Brands International, Inc. 689 0.24 92 MDC Holdings, Inc. 1,799 0.63 65 Harman International Industries, Inc. 2,352 0.82 113 Toll Brothers, Inc. 1,934 0.68 30 La-Z-Boy, Inc. 264 0.09

6,280 2.21 5,853 2.05

Equity Fund — 0.38% Hotels, Restaurants & Leisure — 1.56% 107 iShares Dow Jones US Home Construction Index Fund 1,090 0.38 87 Gaylord Entertainment Co., Class A 2,174 0.76 181 Jamba, Inc. 318 0.11 Financials – Diversified — 2.23% 40 Krispy Kreme Doughnuts, Inc. 364 0.13 44 Evercore Partners, Inc., Class A 1,154 0.40 204 Orient-Express Hotels Ltd., Class A 1,602 0.56 105 FBR & Co. 268 0.09 201 GFI Group, Inc. 878 0.31 4,458 1.56 120 Janus Capital Group, Inc. 876 0.31 Household Products/Wares — 0.08% 22 KBW, Inc. 322 0.11 65 Kid Brands, Inc. 242 0.08 215 MGIC Investment Corp. 559 0.19 77 SeaCube Container Leasing Ltd. 1,023 0.36 Industrial Components — 1.02% 43 Stifel Financial Corp. 1,307 0.46 113 Eastman Kodak Co. 358 0.12 71 GrafTech International Ltd. 1,107 0.39 6,387 2.23 112 Newport Corp. 1,443 0.51 Food — 1.44% 2,908 1.02 35 Inventure Foods, Inc. 143 0.05 245 Smart Balance, Inc. 1,235 0.43 Insurance — 3.58% 203 Supervalu, Inc. 1,614 0.57 32 Argo Group International Holdings Ltd. 867 0.30 145 Winn-Dixie Stores, Inc. 1,118 0.39 62 Fidelity National Financial, Inc., Class A 1,045 0.37 25 Hilltop Holdings, Inc. 195 0.07 4,110 1.44 60 Kemper Corp. 1,538 0.54 Forest Products & Paper — 1.18% 155 MBIA, Inc. 1,203 0.42 250 Boise, Inc. 1,553 0.54 24 Navigators Group, Inc. 1,083 0.38 275 Louisiana-Pacific Corp. 1,834 0.64 120 Old Republic International Corp. 1,193 0.42 75 Presidential Life Corp. 721 0.25 3,387 1.18 340 Radian Group, Inc. 1,132 0.40 51 Tower Group, Inc. 1,225 0.43 Healthcare – Products — 1.82% 28 Angiodynamics, Inc. 396 0.14 10,202 3.58 96 Exactech, Inc. 1,426 0.50 35 Greatbatch, Inc. 782 0.27 Internet Software & Services — 1.31% 13 Synergetics USA, Inc. 68 0.02 54 AOL, Inc. 841 0.29 60 Trinity Biotech PLC, ADR 624 0.22 54 Boingo Wireless, Inc. 471 0.17 125 Wright Medical Group, Inc. 1,916 0.67 90 Cinedigm Digital Cinema Corp., Class A 128 0.05 163 Online Resources Corp. 456 0.16 5,212 1.82 94 Support.Com, Inc. 233 0.08 96 ValueClick, Inc. 1,469 0.51 Healthcare – Services — 1.76% 170 WebMediaBrands, Inc. 153 0.05 62 Almost Family, Inc. 1,224 0.43 84 Kindred Healthcare, Inc. 1,087 0.38 3,751 1.31 227 Select Medical Holdings Corp. 1,645 0.58 195 Skilled Healthcare Group, Inc., Class A 1,059 0.37 Investment Companies — 0.08% 52 Harris & Harris Group, Inc. 216 0.08 5,015 1.76

The accompanying notes are an integral part of the Financial Statements

149 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Royce US Small Cap Opportunity Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Shares (000’s) Asset Shares (000’s) Asset (000’s) $ Value (000’s) $ Value

Common Stock — (continued) 67 Penn Virginia Corp. 547 0.19 Leisure & Entertainment — 0.45% 22 Petroleum Development Corp. 512 0.18 228 Callaway Golf Co. 1,281 0.45 77 Pioneer Drilling Co. 973 0.34 23 Rowan Cos., Inc. 830 0.29 Machinery — 2.22% 63 Stone Energy Corp. 1,664 0.58 89 Albany International Corp., Class A 1,924 0.67 38 Swift Energy Co. 1,172 0.41 17 Chart Industries, Inc. 804 0.28 42 Tesoro Corp. 998 0.35 265 Flow International Corp. 676 0.24 83 Union Drilling, Inc. 708 0.25 77 Hardinge, Inc. 749 0.26 16 Hurco Cos., Inc. 440 0.16 14,581 5.11 121 Intermec, Inc. 892 0.31 Paper & Packaging — 0.16% 35 Intevac, Inc. 287 0.10 19 Temple-Inland, Inc. 460 0.16 250 Mueller Water Products, Inc., Class A 580 0.20 Real Estate Management & Development — 2.85% 6,352 2.22 102 LaSalle Hotel Properties 1,917 0.67 Media & Broadcasting — 0.66% 72 Mack-Cali Realty Corp. 2,243 0.79 175 Martha Stewart Living Omnimedia, Class A 585 0.21 94 PennyMac Mortgage Investment Trust 1,602 0.56 50 Meredith Corp. 1,290 0.45 141 RAIT Financial Trust 550 0.19 45 WP Carey & Co. LLC 1,841 0.64 1,875 0.66 8,153 2.85 Medical Products & Devices — 0.11% 125 Digirad Corp. 316 0.11 Retail — 4.46% 115 Central Garden and Pet Co. 902 0.32 Metal Fabrication & Distribution — 5.68% 153 Conn’s, Inc. 874 0.31 39 Carpenter Technology Corp. 1,968 0.69 67 Einstein Noah Restaurant Group, Inc. 996 0.35 37 CIRCOR International, Inc. 1,260 0.44 126 Gaiam, Inc., Class A 471 0.16 102 Commercial Metals Co. 1,202 0.42 62 Haverty Furniture Cos., Inc. 731 0.26 40 Dynamic Materials Corp. 809 0.28 49 Kona Grill, Inc. 283 0.10 36 Haynes International, Inc. 2,089 0.73 93 Lithia Motors, Inc., Class A 1,755 0.61 24 Insteel Industries, Inc. 248 0.09 35 Lumber Liquidators Holdings, Inc. 530 0.19 49 Mueller Industries, Inc. 2,310 0.81 193 MarineMax, Inc. 1,310 0.46 112 NN, Inc. 863 0.30 150 O’Charleys, Inc. 844 0.30 97 Northwest Pipe Co. 2,644 0.93 115 The Pantry, Inc. 1,438 0.50 67 RTI International Metals, Inc. 1,772 0.62 72 Penske Automotive Group, Inc. 1,313 0.46 27 Timken Co. 1,043 0.37 19 Red Robin Gourmet Burgers, Inc. 593 0.21 16,208 5.68 133 The Wet Seal, Inc., Class A 670 0.23

Mining — 1.45% 12,710 4.46 171 Century Aluminum Co. 2,075 0.73 Retail Stores — 3.41% 40 Kaiser Aluminum Corp. 2,054 0.72 188 Bebe Stores, Inc. 1,290 0.45 4,129 1.45 133 Brown Shoe Co., Inc. 1,095 0.38 91 Collective Brands, Inc. 1,221 0.43 Miscellaneous Manufacturing — 2.21% 214 Cost Plus, Inc. 1,663 0.58 75 Barnes Group, Inc. 1,717 0.60 228 dELiA*s, Inc. 351 0.12 162 Federal Signal Corp. 883 0.31 33 Dillard’s, Inc., Class A 1,504 0.53 21 Koppers Holdings, Inc. 681 0.24 128 Ruby Tuesday, Inc. 1,063 0.37 136 Lydall, Inc. 1,478 0.52 50 Saks, Inc. 484 0.17 56 Trinity Industries, Inc. 1,543 0.54 195 Talbots, Inc. 573 0.20 54 West Marine, Inc. 510 0.18 6,302 2.21 9,754 3.41 Office Furnishings — 0.27% 52 Interface, Inc., Class A 784 0.27 Semiconductors & Equipment — 7.76% 194 Alpha & Omega Semiconductor Ltd. 1,714 0.60 Oil & Gas — 5.11% 180 Anadigics, Inc. 499 0.17 113 Goodrich Petroleum Corp. 1,810 0.64 83 ATMI, Inc. 1,422 0.50 114 Key Energy Services, Inc. 1,642 0.58 58 AXT, Inc. 447 0.16 85 Matrix Service Co. 924 0.32 90 Brooks Automation, Inc. 851 0.30 142 McMoRan Exploration Co. 1,828 0.64 91 BTU International, Inc. 519 0.18 118 Newpark Resources, Inc. 973 0.34 70 Fairchild Semiconductor International, Inc. 928 0.32

The accompanying notes are an integral part of the Financial Statements

150 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Royce US Small Cap Opportunity Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net Shares (000’s) Asset Shares (000’s) Asset (000’s) $ Value (000’s) $ Value

Common Stock — (continued) 60 Westell Technologies, Inc., Class A 149 0.05 Semiconductors & Equipment — (continued) 7,183 2.51 12 FEI Co. 384 0.13 150 Formfactor, Inc. 1,180 0.41 Textiles — 0.18% 235 Integrated Silicon Solution, Inc. 1,934 0.68 140 Dixie Group, Inc. 516 0.18 25 International Rectifier Corp. 570 0.20 80 Kulicke & Soffa Industries, Inc. 696 0.24 Transportation & Logistics — 2.43% 59 LeCroy Corp. 534 0.19 90 Arkansas Best Corp. 1,858 0.65 – LTX-Credence Corp. – – 13 Atlas Air Worldwide Holdings, Inc. 613 0.22 230 MEMC Electronic Materials, Inc. 1,605 0.56 57 Diana Containerships, Inc. 287 0.10 117 Mindspeed Technologies, Inc. 679 0.24 107 Diana Shipping, Inc. 976 0.34 100 Nanometrics, Inc. 1,589 0.56 74 Overseas Shipholding Group, Inc. 1,311 0.46 40 Novellus Systems, Inc. 1,119 0.39 132 StealthGas, Inc. 562 0.20 164 Pericom Semiconductor Corp. 1,274 0.45 153 Swift Transporation Co. 1,319 0.46 323 PLX Technology, Inc. 1,021 0.36 6,926 2.43 104 Rudolph Technologies, Inc. 708 0.25 12 Standard Microsystems Corp. 252 0.09 Total Common Stock (Cost $293,214) 263,002 92.14 107 Ultra Clean Holdings 601 0.21 % of 199 Vitesse Semiconductor Corp. 681 0.24 Face Value Net 71 Zygo Corp. 934 0.33 Value Coupon Rate Maturity (000’s) Asset (000’s) % Date $ Value 22,141 7.76 Corporate Bonds and Notes — 0.00% Software — 1.83% Paper & Packaging — 0.00% 132 Actuate Corp. 841 0.30 – Jefferson Smurfit (Escrow Bond) zero 70 American Software, Inc./Georgia, Class A 569 0.20 coupon 10/1/2012 5 – 82 Aspen Technology, Inc. 1,380 0.48 – Smurfit Stone Container zero 76 Bottomline Technologies, Inc. 1,746 0.61 Enterprises, Inc. (Escrow Bond) coupon 7/1/2012 3 – 29 Ciber, Inc. 94 0.03 318 Smith Micro Software, Inc. 600 0.21 8 –

5,230 1.83 Total Corporate Bonds and Notes (Cost $–) 8 –

Speciality Chemicals & Materials — 3.73% Total Investments (Cost $293,214) 263,010 92.14 23 Cytec Industries, Inc. 1,044 0.37 Other Assets in Excess of Liabilities 22,439 7.86 86 HB Fuller Co. 1,907 0.67 85 Material Sciences Corp. 596 0.21 Total Net Assets $285,449 100.00 71 OM Group, Inc. 2,252 0.79 – Amounts designated as "-" are either $0, less than $1,000 or less than 1,000 shares. 32 Park Electrochemical Corp. 782 0.27 42 Quaker Chemical Corp. 1,384 0.48 ABBREVIATIONS: 91 Solutia, Inc. 1,581 0.55 ADR – American Depositary Receipt 256 Spartech Corp. 1,125 0.39 ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL 10,671 3.73 EXCHANGE LISTING OR TRADED ON A REGULATED MARKET. Telecommunications — 2.51% % of 240 Aviat Networks, Inc. 625 0.22 Total Analysis of Total Assets Assets 100 Dialogic, Inc. 279 0.10 49 General Communication, Inc., Class A 431 0.15 Transferable securities admitted to an official exchange listing or traded on a 136 Harmonic, Inc. 646 0.22 regulated market 91.29 174 Iridium Communications, Inc. 1,282 0.45 Other assets 8.71 19 Loral Space & Communications, Inc. 1,075 0.38 15 Network Equipment Technologies, Inc. 38 0.01 Total Assets 100.00 15 Oclaro, Inc. 64 0.02 21 Oplink Communications, Inc. 351 0.12 306 Opnext, Inc. 489 0.17 373 Powerwave Technologies, Inc. 656 0.23 40 Symmetricom, Inc. 220 0.08 122 Tekelec 878 0.31

The accompanying notes are an integral part of the Financial Statements

151 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Royce Smaller Companies Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) $ Value Shares (000’s) $ Value

Common Stock — 97.12% 8,082 Value Partners Group Ltd. 4,567 0.64 Aerospace & Defense — 2.93% 79,540 11.07 280 HEICO Corp., Class A 10,821 1.51 187 Teledyne Technologies, Inc. 10,181 1.42 Food & Tobacco Processors — 3.53% 172 Cal-Maine Foods, Inc. 5,593 0.78 21,002 2.93 128 Industrias Bachoco SAB de CV 2,795 0.39 Apparel, Shoes & Accessories — 3.89% 343 Intrepid Potash, Inc. 11,733 1.64 153 Columbia Sportswear Co. 8,083 1.13 132 Sanderson Farms, Inc. 5,179 0.72 288 The Warnaco Group, Inc. 15,370 2.14 25,300 3.53 123 Wolverine World Wide, Inc. 4,479 0.62 Healthcare – Services — 1.92% 27,932 3.89 294 ICON PLC, ADR 6,265 0.87 Building Systems & Components — 1.52% 408 VCA Antech, Inc. 7,550 1.05 339 Drew Industries, Inc. 6,755 0.94 13,815 1.92 147 Simpson Manufacturing Co., Inc. 4,186 0.58 Industrial Components — 3.50% 10,941 1.52 93 AZZ, Inc. 4,397 0.61 Chemicals — 0.52% 270 LSB Industries, Inc. 10,802 1.50 82 Westlake Chemical Corp. 3,752 0.52 433 Rofin-Sinar Technologies, Inc. 9,998 1.39

Commercial Services — 6.00% 25,197 3.50 257 Cintas Corp. 8,212 1.14 Industrial Distribution — 1.15% 164 CRA International, Inc. 3,874 0.54 134 MSC Industrial Direct Co., Class A 8,249 1.15 304 Korn/Ferry International 4,941 0.69 552 Robert Half International, Inc. 13,197 1.84 Insurance — 3.51% 33 Strayer Education, Inc. 3,123 0.43 335 Alterra Capital Holdings Ltd. 6,843 0.95 469 TrueBlue, Inc. 6,584 0.91 491 Brown & Brown, Inc. 10,308 1.43 222 Universal Technical Institute, Inc. 3,228 0.45 10 Markel Corp. 4,050 0.56 157 Validus Holdings Ltd. 4,061 0.57 43,159 6.00 25,262 3.51 Electronics — 0.64% 138 Dolby Laboratories, Inc., Class A 4,620 0.64 IT Services — 1.94% 76 ManTech International Corp., Energy Services — 7.19% Class A 2,831 0.39 105 Helmerich & Payne, Inc. 5,981 0.83 612 Total System Services, Inc. 11,117 1.55 103 Oil States International, Inc. 6,795 0.95 372 Pason Systems, Inc. 4,967 0.69 13,948 1.94 328 Shawcor Ltd. 8,427 1.17 301 Tesco Corp. 5,033 0.70 Machinery — 6.32% 507 Trican Well Service Ltd. 11,706 1.63 124 Coherent, Inc. 5,478 0.76 183 Unit Corp. 8,750 1.22 653 Columbus McKinnon Corp. 9,418 1.31 205 Kennametal, Inc. 7,546 1.05 51,659 7.19 201 Lincoln Electric Holdings, Inc. 6,844 0.95 117 Regal-Beloit Corp. 6,878 0.96 Engineering & Construction — 1.05% 152 Wabtec Corp. 9,275 1.29 202 Jacobs Engineering Group, Inc. 7,528 1.05 45,439 6.32 Financials – Diversified — 11.07% 67 Affiliated Managers Group, Inc. 5,840 0.81 Metal Fabrication & Distribution — 7.57% 588 Artio Global Investors, Inc. 5,340 0.74 192 AM Castle & Co. 2,333 0.32 2,231 Ashmore Group PLC 14,644 2.04 744 GrafTech International Ltd. 11,682 1.63 656 Federated Investors, Inc., Class B 11,610 1.62 341 Reliance Steel & Aluminum Co. 14,133 1.97 844 Knight Capital Group, Inc., 68 Schnitzer Steel Industries, Inc., Class A 10,891 1.52 Class A 3,105 0.43 166 Lazard Ltd., Class A 4,842 0.67 767 Sims Metal Management Ltd., 17 Partners Group Holding AG 2,805 0.39 ADR 12,682 1.76 484 SEI Investments Co. 8,277 1.15 113 Valmont Industries, Inc. 10,456 1.46 1,276 Sprott, Inc. 10,724 1.49 54,391 7.57

The accompanying notes are an integral part of the Financial Statements

152 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Royce Smaller Companies Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) $ Value Shares (000’s) $ Value

Common Stock — (continued) 92 Kirby Corp. 5,069 0.71 Mining — 7.46% 15,451 2.15 344 Allied Nevada Gold Corp. 14,274 1.98 58 Cliffs Natural Resources, Inc. 4,764 0.66 Total Common Stock (Cost $736,269) 697,968 97.12 259 Major Drilling Group International 3,436 0.48 406 Pan American Silver Corp. 13,282 1.85 Total Investments (Cost $736,269) 697,968 97.12 186 Seabridge Gold, Inc. 5,438 0.76 Other Assets in Excess of Liabilities 20,734 2.88 238 Silver Standard Resources, Inc. 6,755 0.94 654 Silvercorp Metals, Inc. 5,709 0.79 Total Net Assets $718,702 100.00

53,658 7.46 ABBREVIATIONS: Pharmaceuticals — 1.23% ADR – American Depositary Receipt 56 Bio-Rad Laboratories, Inc., Class A 5,649 0.79 ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL 106 Questcor Pharmaceuticals, Inc. 3,194 0.44 EXCHANGE LISTING OR TRADED ON A REGULATED MARKET. 8,843 1.23 % of Total Real Estate — 1.09% Analysis of Total Assets Assets 332 Pico Holdings, Inc. 7,819 1.09 Transferable securities admitted to an official exchange listing or traded on a Retail — 6.73% regulated market 96.73 213 The Buckle, Inc. 8,392 1.17 Other assets 3.27 116 Copart, Inc. 4,997 0.70 448 GameStop Corp., Class A 10,716 1.49 Total Assets 100.00 178 JoS. A. Bank Clothiers, Inc. 9,133 1.27 182 The Men’s Wearhouse, Inc. 5,259 0.73 234 Nu Skin Enterprises, Inc., Class A 9,875 1.37

48,372 6.73

Semiconductors & Equipment — 9.49% 377 Aixtron SE, ADR 8,526 1.19 312 ATMI, Inc. 5,341 0.74 150 Cabot Microelectronics Corp. 5,944 0.83 156 Cymer, Inc. 6,320 0.88 367 Fairchild Semiconductor International, Inc. 4,862 0.68 298 FEI Co. 9,539 1.33 185 International Rectifier Corp. 4,207 0.59 117 Lam Research Corp. 4,349 0.60 239 MKS Instruments, Inc. 5,543 0.77 311 Novellus Systems, Inc. 8,702 1.21 133 Veeco Instruments, Inc. 4,850 0.67

68,183 9.49

Sports & Recreation — 1.20% 390 Thor Industries, Inc. 8,668 1.20

Technology — 1.26% 747 Teradyne, Inc. 9,040 1.26

Telecommunications — 2.26% 258 Adtran, Inc. 8,021 1.12 593 Netscout Systems, Inc. 8,179 1.14

16,200 2.26

Transportation & Logistics — 2.15% 503 Arkansas Best Corp. 10,382 1.44

The accompanying notes are an integral part of the Financial Statements

153 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Royce Smaller Companies Fund II ^

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) $ Value Shares (000’s) $ Value

Common Stock — 96.93% Healthcare – Services — 1.98% Aerospace & Defense — 3.23% 31 ICON PLC, ADR 676 0.96 31 HEICO Corp., Class A 1,210 1.72 38 VCA Antech, Inc. 718 1.02 20 Teledyne Technologies, Inc. 1,067 1.51 1,394 1.98 2,277 3.23 Industrial Components — 2.36% Apparel, Shoes & Accessories — 4.30% 10 AZZ, Inc. 453 0.64 17 Columbia Sportswear Co. 865 1.23 53 Rofin-Sinar Technologies, Inc. 1,214 1.72 33 The Warnaco Group, Inc. 1,774 2.51 1,667 2.36 11 Wolverine World Wide, Inc. 396 0.56 Industrial Conglomerates — 2.03% 3,035 4.30 37 LSB Industries, Inc. 1,432 2.03 Building Systems & Components — 1.10% Insurance — 3.11% 38 Drew Industries, Inc. 774 1.10 34 Alterra Capital Holdings Ltd. 683 0.97 Chemicals — 0.83% 51 Brown & Brown, Inc. 1,064 1.51 13 Westlake Chemical Corp. 586 0.83 18 Validus Holdings Ltd. 449 0.63

Commercial Services — 8.23% 2,196 3.11 24 Cintas Corp. 781 1.11 IT Services — 1.82% 47 Korn/Ferry International 758 1.08 71 Total System Services, Inc. 1,283 1.82 71 Robert Half International, Inc. 1,692 2.40 45 SEI Investments Co. 763 1.08 Machinery — 7.73% 4 Strayer Education, Inc. 405 0.57 17 Coherent, Inc. 731 1.04 74 TrueBlue, Inc. 1,049 1.49 66 Columbus McKinnon Corp. 959 1.36 24 Universal Technical Institute, Inc. 352 0.50 21 Kennametal, Inc. 779 1.10 26 Lincoln Electric Holdings, Inc. 865 1.23 5,800 8.23 16 Regal-Beloit Corp. 911 1.29 Electronics — 0.55% 20 Wabtec Corp. 1,205 1.71 12 Dolby Laboratories, Inc., Class A 386 0.55 5,450 7.73 Energy Services — 6.78% Metal Fabrication & Distribution — 8.55% 9 Oil States International, Inc. 581 0.82 95 GrafTech International Ltd. 1,511 2.14 41 Pason Systems, Inc. 533 0.76 40 Reliance Steel & Aluminum Co. 1,681 2.39 34 Shawcor Ltd. 852 1.21 92 Sims Metal Management Ltd., ADR 1,517 2.15 30 Tesco Corp. 493 0.70 14 Valmont Industries, Inc. 1,316 1.87 58 Trican Well Service Ltd. 1,322 1.87 21 Unit Corp. 1,001 1.42 6,025 8.55

4,782 6.78 Mining — 5.55% 34 Allied Nevada Gold Corp. 1,392 1.97 Engineering & Construction — 1.27% 43 Pan American Silver Corp. 1,403 1.99 24 Jacobs Engineering Group, Inc. 896 1.27 23 Silver Standard Resources, Inc. 634 0.90 Financials – Diversified — 10.18% 55 Silvercorp Metals, Inc. 489 0.69 7 Affiliated Managers Group, Inc. 640 0.91 3,918 5.55 62 Artio Global Investors, Inc. 570 0.81 245 Ashmore Group PLC 1,610 2.28 Pharmaceuticals — 0.79% 70 Federated Investors, Inc., Class B 1,265 1.80 6 Bio-Rad Laboratories, Inc., Class A 554 0.79 75 Knight Capital Group, Inc., Class A 982 1.39 17 Lazard Ltd., Class A 487 0.69 Real Estate — 1.14% 157 Sprott, Inc. 1,283 1.82 34 Pico Holdings, Inc. 802 1.14 600 Value Partners Group Ltd. 339 0.48 Retail — 6.05% 7,176 10.18 13 Copart, Inc. 543 0.77 46 GameStop Corp., Class A 1,088 1.55 Food & Tobacco Processors — 2.50% 19 The Men’s Wearhouse, Inc. 538 0.76 20 Cal-Maine Foods, Inc. 631 0.89 16 MSC Industrial Direct Co., Class A 994 1.41 33 Intrepid Potash, Inc. 1,130 1.61 26 Nu Skin Enterprises, Inc., Class A 1,102 1.56

1,761 2.50 4,265 6.05

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

154 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Royce Smaller Companies Fund II ^

Portfolio of Investments as at August 31, 2011 – (continued)

% of Value Net (000’s) Asset Shares (000’s) $ Value

Common Stock — (continued) Semiconductors & Equipment — 9.02% 37 Aixtron SE, ADR 840 1.19 33 ATMI, Inc. 569 0.81 18 Cabot Microelectronics Corp. 698 0.99 15 Cymer, Inc. 620 0.88 50 Fairchild Semiconductor International, Inc. 670 0.95 29 FEI Co. 933 1.32 26 International Rectifier Corp. 589 0.83 30 Novellus Systems, Inc. 840 1.19 17 Veeco Instruments, Inc. 605 0.86

6,364 9.02

Sports & Recreation — 1.37% 43 Thor Industries, Inc. 964 1.37

Technology — 1.32% 77 Teradyne, Inc. 930 1.32

Telecommunications — 2.72% 33 Adtran, Inc. 1,023 1.45 65 Netscout Systems, Inc. 896 1.27

1,919 2.72

Transportation & Logistics — 2.42% 58 Arkansas Best Corp. 1,193 1.70 9 Kirby Corp. 509 0.72

1,702 2.42

Total Common Stock (Cost $76,106) 68,338 96.93

Total Investments (Cost $76,106) 68,338 96.93

Other Assets in Excess of Liabilities 2,167 3.07

Total Net Assets $70,505 100.00

ABBREVIATIONS: ADR – American Depositary Receipt

ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR TRADED ON A REGULATED MARKET. % of Total Analysis of Total Assets Assets

Transferable securities admitted to an official exchange listing or traded on a regulated market 96.70 Other assets 3.30

Total Assets 100.00

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

155 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Royce European Smaller Companies Fund ^

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) E Value Shares (000’s) E Value

Common Stock — 93.78% 1 SMA Solar Technology AG 36 1.73 Australia — 1.44% 4 Takkt AG 32 1.54 25 Centamin Egypt Ltd. 30 1.44 349 16.79 Austria — 5.68% Greece — 1.73% 1 Mayr Melnhof Karton AG 60 2.89 5 Hellenic Exchanges S.A. Holding 2 Semperit AG Holding 58 2.79 Clearing Settlement and Registry 21 1.01 118 5.68 4 Jumbo S.A. 15 0.72

Belgium — 3.99% 36 1.73 1 EVS Broadcast Equipment S.A. 32 1.54 Italy — 2.36% 1 Gimv NV 20 0.96 1 Azimut Holding S.p.A. 6 0.29 1 Sipef S.A. 31 1.49 3 Geox S.p.A. 9 0.43 83 3.99 5 Recordati S.p.A. 34 1.64

Bermuda — 1.06% 49 2.36 8 Aquarius Platinum Ltd. 22 1.06 Netherlands — 1.69% Canada — 0.00% 1 ASM International NV 13 0.63 – Etrion Corp. – – 1 Fugro NV 22 1.06

Denmark — 1.26% 35 1.69 1 H Lundbeck A/S 8 0.39 Norway — 4.24% – SimCorp A/S 18 0.87 2 Ekornes ASA 31 1.49 26 1.26 1 Fred Olsen Energy ASA 35 1.69 13 Marine Harvest ASA 5 0.24 Egypt — 1.30% 1 TGS Nopec Geophysical Co. ASA 17 0.82 39 Citadel Capital SAE 17 0.82 5 Egyptian Financial Group-Hermes 88 4.24 Holding Co. 10 0.48 Russia — 1.73% 27 1.30 10 Lamprell PLC 36 1.73

Finland — 1.44% South Africa — 7.48% 2 Vaisala Oyj, Class A 30 1.44 6 Adcock Ingram Holdings Ltd. 33 1.59 30 Advtech Ltd. 17 0.82 France — 12.97% 5 Discovery Holdings Ltd. 19 0.92 3 Altamir Amboise 21 1.01 5 Lewis Group Ltd. 35 1.69 1 Audika S.A. 20 0.96 8 Northam Platinum Ltd. 27 1.30 2 Beneteau S.A. 23 1.11 19 Raubex Group Ltd. 24 1.16 – BioMerieux 7 0.34 1 Boiron S.A. 38 1.83 155 7.48 1 Ipsen S.A. 24 1.16 Spain — 0.92% 1 Manutan International 22 1.06 3 Almirall S.A. 19 0.92 2 Parrot S.A. 33 1.59 2 Piscines Desjoyaux S.A. 11 0.53 Switzerland — 10.37% – Societe Internationale de Plantations 1 Bank Sarasin & Cie AG, Class B 16 0.77 D’heveas S.A. 18 0.87 – Burckhardt Compression Holding 1 Vetoquinol S.A. 29 1.40 AG 45 2.17 – Virbac S.A. 23 1.11 – Inficon Holding AG 18 0.87 3 Logitech International S.A. 22 1.06 269 12.97 – Partners Group Holding AG 30 1.44 Germany — 16.79% – Sika AG 24 1.16 2 Aixtron AG 25 1.20 – Sonova Holding AG 24 1.16 3 Carl Zeiss Meditec AG 43 2.07 – Sulzer AG 23 1.11 1 Fuchs Petrolub AG 43 2.07 – VZ Holding AG 13 0.63 – KWS Saat AG 30 1.44 215 10.37 1 Nemetschek AG 22 1.06 1 Pfeiffer Vacuum Technology AG 53 2.55 – Puma AG Rudolf Dassler Sport 39 1.88 – Rational AG 26 1.25 ^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

156 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Royce European Smaller Companies Fund ^

Portfolio of Investments as at August 31, 2011 – (continued)

% of ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL Value Net EXCHANGE LISTING OR TRADED ON A REGULATED MARKET EXCEPT FOR (000’s) Asset COLLECTIVE INVESTMENT SCHEMES. Shares (000’s) E Value % of Common Stock — (continued) Total Analysis of Total Assets Assets Turkey — 1.25% 11 Mardin Cimento Sanayii Ve Ticaret Transferable securities admitted to an official exchange listing or traded on a A/S 26 1.25 regulated market 93.40 Collective investment schemes 4.57 United Arab Emirates — 0.67% Other assets 2.03 30 Abu Dhabi National Hotels † 14 0.67

United Kingdom — 15.41% Total Assets 100.00 10 Ashmore Group PLC 46 2.22 3 Charter International PLC 26 1.25 9 Diploma PLC 30 1.44 16 EnQuest PLC 21 1.01 9 Hochschild Mining PLC 49 2.36 8 JKX Oil & Gas PLC 16 0.77 19 Jupiter Fund Management PLC 41 1.97 3 Keller Group PLC 13 0.63 1 Michael Page International PLC 5 0.24 – Randgold Resources Ltd. 7 0.34 1 Rotork PLC 14 0.67 11 Severfield-Rowen PLC 23 1.11 1 Spirax-Sarco Engineering PLC 29 1.40

320 15.41

Total Common Stock (Cost E1,940) 1,947 93.78

Rights — 0.00% Egypt — 0.00% 12 Citadel Capital SAE ? ––

Collective Investment Schemes — 4.58% 95 Western Asset Liquidity Funds PLC – Western Asset Euro Liquidity Fund, Class WA 95 4.58

Total Collective Investment Schemes (Cost E95) 95 4.58

Total Investments (Cost E2,035) 2,042 98.36

Other Assets in Excess of Liabilities 34 1.64

Total Net Assets E2,076 100.00

– Amounts designated as "-" are either E0, less than E1,000 or less than 1,000 shares. ? Security is valued in good faith at fair value by or at the discretion of the Investment Manager. † Illiquid.

ABBREVIATIONS: Perpetual – A bond with no maturity date. Perpetual bonds are not redeemable but pay a steady stream of interest.

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

157 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Royce Global Smaller Companies Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) $ Value Shares (000’s) $ Value

Common Stock — 85.24% 5 Carl Zeiss Meditec AG 110 1.21 Australia — 3.99% 2 Fuchs Petrolub AG 102 1.13 70 Centamin Egypt Ltd. 119 1.31 2 Pfeiffer Vacuum Technology AG 183 2.02 19 Medusa Mining Ltd. 159 1.76 1 SMA Solar Technology AG 146 1.61 5 Sims Metal Management Ltd., ADR 83 0.92 631 6.96 361 3.99 Italy — 0.88% Austria — 5.20% 8 Recordati S.p.A. 80 0.88 2 Mayr Melnhof Karton AG 233 2.57 Japan — 12.32% 5 Semperit AG Holding 238 2.63 4 Benesse Holdings, Inc. 153 1.69 471 5.20 – EPS Co. Ltd. 144 1.59 4 FamilyMart Co. Ltd. 155 1.71 Belgium — 2.51% 6 Moshi Moshi Hotline, Inc. 108 1.19 1 EVS Broadcast Equipment S.A. 91 1.00 4 Nomura Research Institute Ltd. 95 1.05 1 Gimv NV 34 0.38 5 Santen Pharmaceutical Co. Ltd. 206 2.27 1 Sipef S.A. 102 1.13 2 Shimano, Inc. 82 0.91 227 2.51 2 USS Co. Ltd. 173 1.91

Bermuda — 3.20% 1,116 12.32 22 Aquarius Platinum Ltd. 86 0.95 Mexico — 0.29% 115 Asian Citrus Holdings Ltd. 83 0.92 1 Industrias Bachoco SAB de CV 26 0.29 23 Luk Fook Holdings International Ltd. 120 1.33 Norway — 1.42% 289 3.20 3 Ekornes ASA 51 0.56 Brazil — 1.07% 3 TGS Nopec Geophysical Co. ASA 78 0.86 7 Tegma Gestao Logistica 97 1.07 129 1.42 Canada — 7.20% Russia — 1.53% 6 Major Drilling Group International 73 0.81 27 Lamprell PLC 139 1.53 5 Pan American Silver Corp. 160 1.77 4 Pason Systems, Inc. 54 0.60 South Africa — 4.46% 4 Seabridge Gold, Inc. 111 1.23 13 Adcock Ingram Holdings Ltd. 113 1.25 15 Sprott, Inc. 126 1.39 8 Lewis Group Ltd. 88 0.97 6 Trican Well Service Ltd. 127 1.40 18 Northam Platinum Ltd. 91 1.00 60 Raubex Group Ltd. 112 1.24 651 7.20 404 4.46 Cayman Islands — 1.84% 151 China Forestry Holdings Ltd. † ? 29 0.32 South Korea — 2.57% 244 Value Partners Group Ltd. 138 1.52 1 MegaStudy Co. Ltd. 120 1.33 6 Sung Kwang Bend Co. Ltd. 112 1.24 167 1.84 232 2.57 China — 1.35% 18 E-House China Holdings Ltd. 122 1.35 Switzerland — 3.94% 1 Burckhardt Compression Holding Denmark — 0.52% AG 153 1.69 2 H Lundbeck A/S 47 0.52 – Lem Holding S.A. 101 1.12 Egypt — 0.57% 1 Partners Group Holding AG 102 1.13 19 Egyptian Financial Group-Hermes 356 3.94 Holding Co. 52 0.57 Turkey — 0.94% France — 1.47% 24 Mardin Cimento Sanayii Ve Ticaret 2 Boiron S.A. 67 0.74 A/S 85 0.94 1 Societe Internationale de Plantations D’heveas S.A. 66 0.73 United Kingdom — 7.18% 28 Ashmore Group PLC 181 2.00 133 1.47 2 Ensco PLC, ADR 82 0.91 Germany — 6.96% 19 Hochschild Mining PLC 156 1.72 4 Aixtron AG 90 0.99 55 Jupiter Fund Management PLC 171 1.89

The accompanying notes are an integral part of the Financial Statements

158 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Royce Global Smaller Companies Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of Value Net (000’s) Asset Shares (000’s) $ Value

Common Stock — (continued) United Kingdom — (continued) 2 Spirax-Sarco Engineering PLC 60 0.66

650 7.18

United States — 13.83% 6 Allied Nevada Gold Corp. 228 2.52 3 Analog Devices, Inc. 89 0.98 1 Autoliv, Inc. 56 0.62 1 GrafTech International Ltd. 22 0.24 2 Helmerich & Payne, Inc. 108 1.19 1 Jacobs Engineering Group, Inc. 41 0.45 2 Lam Research Corp. 82 0.91 1 Lincoln Electric Holdings, Inc. 20 0.22 4 Nu Skin Enterprises, Inc., Class A 165 1.82 3 Sanderson Farms, Inc. 102 1.13 14 Teradyne, Inc. 167 1.84 2 Veeco Instruments, Inc. 76 0.84 3 Western Digital Corp. 97 1.07

1,253 13.83

Total Common Stock (Cost $7,657) 7,718 85.24

Total Investments (Cost $7,657) 7,718 85.24

Other Assets in Excess of Liabilities 1,336 14.76

Total Net Assets $9,054 100.00

– Amounts designated as "-" are either $0, less than $1,000 or less than 1,000 shares. ? Security is valued in good faith at fair value by or at the discretion of the Investment Manager. † Illiquid.

ABBREVIATIONS: ADR – American Depositary Receipt

ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR TRADED ON A REGULATED MARKET. % of Total Analysis of Total Assets Assets

Transferable securities admitted to an official exchange listing or traded on a regulated market 85.10 Other assets 14.90

Total Assets 100.00

The accompanying notes are an integral part of the Financial Statements

159 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Permal Global Absolute Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) $ Value Shares (000’s) $ Value

Closed-end Funds — 9.74% 2,500 U.S. Treasury Bill 2,500 1.87 407 Brevan Howard Macro Ltd. 7,764 5.80 5,000 U.S. Treasury Bill 5,000 3.73 214 Morgan Stanley China A Share 2,500 U.S. Treasury Bill 2,500 1.87 Fund, Inc., Class A 5,285 3.94 2,500 U.S. Treasury Bill 2,500 1.87 2,500 U.S. Treasury Bill 2,500 1.86 13,049 9.74 5,000 U.S. Treasury Bill 5,000 3.73 Collective Investment Schemes — 12.13% 5,000 U.S. Treasury Bill 5,000 3.73 341 Calamos Global Funds plc – 39,997 29.85 Global Convertible Opportunities Fund ? 3,975 2.97 Total Financial Assets at Fair Value 87,098 65.00 15 Merrill Lynch Investment Solutions Total Return Swaps — (0.12%) – York Event Driven UCITS 4,798 Japan Reconstruction Index, Fund † ? 1,530 1.14 Morgan Stanley (166) (0.12) 30 DB Platinum IV DBX Systematic Alpha Index Fund † ? 3,445 2.57 Total Financial Liabilities at Fair Value (166) (0.12) 199 Franklin Templeton Investment Funds – Templeton Frontier Total Investments (Cost $85,206) 86,932 64.88 Markets Fund, Class A ? 3,037 2.27 Other Assets in Excess of Liabilities 47,047 35.12 32 Merrill Lynch Investment Solutions – Graham Capital Systematic Total Net Assets $133,979 100.00 Macro UCITS Fund † ? 2,932 2.19 – Amounts designated as "-" are either $0, less than $1,000 or less than 1,000 shares. 15 Merrill Lynch Investment Solutions – Graham Capital Systematic ? Security is valued in good faith at fair value by or at the discretion of the Investment Manager. Macro UCITS Fund, Class B ? 1,329 0.99 † Illiquid. 16,248 12.13 ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL Common Stock — 12.25% EXCHANGE LISTING OR TRADED ON A REGULATED MARKET EXCEPT FOR SWAPS AND FORWARDS WHICH ARE FINANCIAL DERIVATIVE INSTRUMENTS DEALT ON A Real Estate Investment Trusts — 4.36% REGULATED MARKET AND COLLECTIVE INVESTMENT SCHEMES. 968 Chimera Investment Corp. 2,933 2.19 % of 59 Invesco Mortgage Capital, Inc. 1,032 0.77 Total 251 MFA Financial, Inc. 1,879 1.40 Analysis of Total Assets Assets

5,844 4.36 Transferable securities admitted to an official exchange listing or traded on a regulated market 41.22 Exchange Traded Funds — 7.89% Financial derivative instruments 0.77 39 Gold Bullion Securities Ltd. 6,887 5.14 Collective investment schemes 21.41 20 Physical Platinum 3,690 2.75 Other assets 36.60 10,577 7.89 Total Assets 100.00 16,421 12.25

Total Return Swaps — 1.03% 23 Financial Select Sector, Goldman Sachs 119 0.09 33 MSCI Daily TR World Net Consumer Series, Goldman Sachs ? 191 0.14 44 MSCI Daily TR World Net Health, Goldman Sachs ? 254 0.19 2 NYSE Arca Gold Miners Index, Goldman Sachs 182 0.14 18 Realtime S&P 500 TR Utilities index, Morgan Stanley ? 637 0.47

1,383 1.03

U.S. Treasury Obligations — 29.85% 5,000 U.S. Treasury Bill 4,999 3.73 5,000 U.S. Treasury Bill 4,999 3.73 5,000 U.S. Treasury Bill 4,999 3.73

The accompanying notes are an integral part of the Financial Statements

160 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Permal Global Absolute Fund

Portfolio of Investments as at August 31, 2011 – (continued)

Schedule of Credit Default Swaps Notional Buy/Sell Expiration Amount Value Counterparty Reference Entity Protection Pay/Receive Date (000’s) (000’s)

Goldman Sachs Group, Inc. Kingdom of Belgium, 4.25%, due 3/20/16 Sell 1.00% 3/20/16 10,000 $533 Morgan Stanley & Co. International Markit LCDX.NA.15, 2.50%, due 12/20/15 Buy 2.50% 12/20/15 5,000 (188)

$345

Credit Default Swaps – Total Financial Assets at Fair Value 533 Credit Default Swaps – Total Financial Liabilities at Fair Value (188)

Credit Default Swaps – Total Financial Assets and Liabilities at Fair Value $345

Schedule of Forward Contracts

Contracts to Receive Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/21/2011 Morgan Stanley & Co International AUD 6,593 $ 7,028 $ 7,107 $ (79) 9/21/2011 Morgan Stanley & Co International AUD 6,510 6,939 6,806 133 9/21/2011 Morgan Stanley & Co International EUR 235 337 334 3 9/21/2011 Morgan Stanley & Co International EUR 270 388 385 3 9/21/2011 Morgan Stanley & Co International EUR 1,000 1,436 1,450 (14) 9/21/2011 Morgan Stanley & Co International EUR 37 53 52 1 9/21/2011 Morgan Stanley & Co International EUR 32 47 47 – 9/21/2011 Morgan Stanley & Co International EUR 350 503 492 11 9/21/2011 Morgan Stanley & Co International EUR 1,145 1,644 1,643 1 9/21/2011 Morgan Stanley & Co International EUR 350 503 506 (3) 9/21/2011 Morgan Stanley & Co International EUR 12,200 17,520 17,508 12 9/21/2011 Morgan Stanley & Co International EUR 4,906 7,045 7,009 36 9/21/2011 Morgan Stanley & Co International EUR 5,059 7,265 7,260 5 9/21/2011 Morgan Stanley & Co International EUR 2,726 3,915 3,863 52 9/21/2011 Morgan Stanley & Co International EUR 534 767 767 – 9/21/2011 Morgan Stanley & Co International GBP 400 649 646 3 9/21/2011 Morgan Stanley & Co International GBP 5,163 8,379 8,411 (32) 9/21/2011 Morgan Stanley & Co International GBP 2,351 3,815 3,829 (14) 9/21/2011 Morgan Stanley & Co International GBP 174 283 284 (1) 9/21/2011 Morgan Stanley & Co International GBP 21 34 34 – 9/21/2011 Morgan Stanley & Co International GBP 750 1,217 1,203 14 9/21/2011 Morgan Stanley & Co International JPY 101,700 1,328 1,328 – 9/21/2011 Morgan Stanley & Co International JPY 202,187 2,641 2,516 125 9/21/2011 Morgan Stanley & Co International JPY 463,000 6,048 6,046 2 9/21/2011 Morgan Stanley & Co International SGD 3,767 3,128 3,044 84 $ 342

Contracts to Deliver Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/21/2011 Morgan Stanley & Co International AUD (384) $ (409) $ (406) $ (3) 9/21/2011 Morgan Stanley & Co International AUD (240) (256) (243) (13) 9/21/2011 Morgan Stanley & Co International AUD (228) (243) (237) (6) 9/21/2011 Morgan Stanley & Co International AUD (97) (103) (105) 2 9/21/2011 Morgan Stanley & Co International AUD (6,209) (6,618) (6,492) (126) 9/21/2011 Morgan Stanley & Co International CHF (5,760) (7,152) (7,009) (143) 9/21/2011 Morgan Stanley & Co International EUR (4,568) (6,560) (6,548) (12) 9/21/2011 Morgan Stanley & Co International EUR (4,230) (6,075) (6,101) 26 9/21/2011 Morgan Stanley & Co International EUR (222) (319) (316) (3) 9/21/2011 Morgan Stanley & Co International EUR (1,060) (1,522) (1,500) (22) 9/21/2011 Morgan Stanley & Co International EUR (1) (2) (2) – 9/21/2011 Morgan Stanley & Co International EUR (473) (679) (673) (6) 9/21/2011 Morgan Stanley & Co International EUR (93) (134) (133) (1) 9/21/2011 Morgan Stanley & Co International GBP (1) (2) (2) –

The accompanying notes are an integral part of the Financial Statements

161 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Permal Global Absolute Fund

Portfolio of Investments as at August 31, 2011 – (continued)

Contracts to Deliver Unrealised Value in In Exchange Appreciation/ United States for United (Depreciation) of Expiration Date Counterparty Local Currency Dollar States Dollar Contracts 9/21/2011 Morgan Stanley & Co International GBP (256) (415) (417) 2 9/21/2011 Morgan Stanley & Co International GBP (8) (13) (13) – 9/21/2011 Morgan Stanley & Co International GBP (145) (236) (237) 1 9/21/2011 Morgan Stanley & Co International JPY (24,744) (323) (321) (2) 9/21/2011 Morgan Stanley & Co International JPY (527,700) (6,893) (6,559) (334) 9/21/2011 Morgan Stanley & Co International JPY (500,000) (6,531) (6,158) (373) 9/21/2011 Morgan Stanley & Co International JPY (8,900) (116) (115) (1) 9/21/2011 Morgan Stanley & Co International SGD (64) (53) (52) (1) 9/21/2011 Morgan Stanley & Co International SGD (80) (66) (64) (2) 9/21/2011 Morgan Stanley & Co International SGD (76) (63) (61) (2) 9/21/2011 Morgan Stanley & Co International SGD (50) (42) (41) (1) 9/21/2011 Morgan Stanley & Co International SGD (179) (149) (148) (1) 9/21/2011 Morgan Stanley & Co International SGD (100) (83) (82) (1) 9/21/2011 Morgan Stanley & Co International SGD (42) (35) (35) – 9/21/2011 Morgan Stanley & Co International SGD (34) (29) (29) – 9/21/2011 Morgan Stanley & Co International SGD (60) (50) (49) (1) 9/21/2011 Morgan Stanley & Co International SGD (146) (121) (117) (4) 9/21/2011 Morgan Stanley & Co International SGD (120) (100) (97) (3) 9/21/2011 Morgan Stanley & Co International SGD (57) (47) (46) (1) 9/21/2011 Morgan Stanley & Co International SGD (126) (105) (103) (2) 9/21/2011 Morgan Stanley & Co International SGD (72) (60) (59) (1) 9/21/2011 Morgan Stanley & Co International SGD (64) (53) (53) – 9/21/2011 Morgan Stanley & Co International SGD (98) (82) (82) – 9/21/2011 Morgan Stanley & Co International SGD (85) (71) (71) – 9/21/2011 Morgan Stanley & Co International SGD (164) (136) (136) – 9/21/2011 Morgan Stanley & Co International SGD (38) (32) (32) – 9/21/2011 Morgan Stanley & Co International SGD (47) (39) (39) – 9/21/2011 Morgan Stanley & Co International SGD (51) (42) (42) – 9/21/2011 Morgan Stanley & Co International SGD (134) (111) (111) – 9/21/2011 Morgan Stanley & Co International SGD (34) (28) (28) – 9/21/2011 Morgan Stanley & Co International SGD (40) (33) (33) – 9/21/2011 Morgan Stanley & Co International SGD (42) (35) (35) – 9/21/2011 Morgan Stanley & Co International SGD (140) (116) (116) – $ (1,034) Unrealised Appreciation of Forward Foreign Currency Contracts 516 Unrealised Depreciation of Forward Foreign Currency Contracts (1,208) Net Unrealised Depreciation of Forward Foreign Currency Contracts $ (692)

The accompanying notes are an integral part of the Financial Statements

162 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason GC Global Equity Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) $ Value Shares (000’s) $ Value

Common Stock — 93.79% 2 National Grid PLC 25 1.85 Australia — 2.52% 4 Rexam PLC 22 1.63 4 Myer Holdings Ltd. 9 0.67 12 Vodafone Group PLC 30 2.22 8 Primary Health Care Ltd. 25 1.85 – Willis Group Holdings PLC 16 1.18

34 2.52 153 11.32

Brazil — 1.92% United States — 46.29% 1 Cielo S.A. 26 1.92 – American Express Co. 7 0.52 – Amgen, Inc. 15 1.11 Canada — 5.10% 1 Annaly Capital Management, Inc. 15 1.11 1 BCE, Inc. 36 2.66 – Apache Corp. 26 1.92 – Canadian Natural Resources Ltd. 13 0.96 1 Cardinal Health, Inc. 34 2.51 2 Viterra, Inc. 20 1.48 – Chevron Corp. 15 1.11 69 5.10 2 Cisco Systems, Inc. 25 1.85 – ConocoPhillips 33 2.44 France — 3.33% – Crown Holdings, Inc. 16 1.18 – Publicis Groupe S.A. 21 1.55 1 CSX Corp. 15 1.11 – Vallourec S.A. 12 0.89 – CVS Caremark Corp. 15 1.11 – Vivendi S.A. 12 0.89 – Diamond Offshore Drilling, Inc. 13 0.96 – DirecTV, Class A 14 1.04 45 3.33 – Endo Pharmaceuticals Holdings, Inc. 13 0.96 Germany — 5.62% 1 Fifth Third Bancorp. 13 0.96 – Allianz SE 21 1.55 1 Ford Motor Co. 11 0.81 – Bayer AG 13 0.96 – Halliburton Co. 22 1.63 – Daimler AG 22 1.63 1 Intel Corp. 28 2.07 – Siemens AG 20 1.48 – International Business Machines Corp. 33 2.44 76 5.62 1 International Paper Co. 16 1.18 – Johnson & Johnson 26 1.92 Ireland — 1.41% 1 JPMorgan Chase & Co. 29 2.14 – Accenture PLC, Class A 19 1.41 – Kimberly-Clark Corp. 15 1.11 Israel — 1.63% – Merck & Co., Inc. 14 1.04 1 Teva Pharmaceutical Industries Ltd., 1 MetLife, Inc. 21 1.55 ADR 22 1.63 1 Microsoft Corp. 30 2.22 1 NII Holdings, Inc. 25 1.85 Japan — 9.10% – PepsiCo, Inc. 29 2.15 1 Advantest Corp. 15 1.11 1 Pfizer, Inc. 14 1.04 1 Bridgestone Corp. 31 2.29 – PNC Financial Services Group, Inc. 5 0.37 – Denso Corp. 14 1.04 1 RadioShack Corp. 13 0.96 1 Mitsubishi Corp. 26 1.92 – Target Corp. 16 1.18 1 Sumitomo Mitsui Financial Group, – UnitedHealth Group, Inc. 10 0.74 Inc. 15 1.11 1 Toyota Motor Corp. 22 1.63 626 46.29

123 9.10 Total Common Stock (Cost $1,257) 1,268 93.79

Netherlands — 2.44% Total Investments (Cost $1,257) 1,268 93.79 1 Unilever NV 33 2.44 Other Assets in Excess of Liabilities 84 6.21 Russia — 0.74% Total Net Assets $1,352 100.00 1 Gazprom OAO, ADR 10 0.74 – Amounts designated as "-" are either $0, less than $1,000 or less than 1,000 shares. Singapore — 1.04% 4 SembCorp Industries Ltd. 14 1.04

Spain — 1.33% ABBREVIATIONS: 2 Banco Santander S.A. 18 1.33 ADR – American Depositary Receipt

United Kingdom — 11.32% – Anglo American PLC 20 1.48 4 Barclays PLC 12 0.89 1 British American Tobacco PLC 28 2.07

The accompanying notes are an integral part of the Financial Statements

163 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason GC Global Equity Fund

Portfolio of Investments as at August 31, 2011 – (continued)

ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR TRADED ON A REGULATED MARKET. % of Total Analysis of Total Assets Assets

Transferable securities admitted to an official exchange listing or traded on a regulated market 90.80 Other assets 9.20

Total Assets 100.00

The accompanying notes are an integral part of the Financial Statements

164 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Batterymarch European Equity Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) E Value Shares (000’s) E Value

Common Stock — 97.97% 4 K+S AG 206 0.30 Austria — 0.51% 9 Lanxess AG 397 0.57 13 Voestalpine AG 355 0.51 5 Merck KGaA 319 0.46 8 MTU Aero Engines Holding AG 372 0.54 Belgium — 0.64% 3 Muenchener Rueckversicherungs 7 Anheuser-Busch InBev NV 281 0.41 AG 240 0.35 3 Delhaize Group S.A. 162 0.23 10 Rheinmetall AG 452 0.65 443 0.64 9 SAP AG 343 0.50 13 Siemens AG 920 1.33 Denmark — 1.54% 7 Software AG 201 0.29 12 H Lundbeck A/S 192 0.28 6 Stada Arzneimittel AG 159 0.23 7 Novo Nordisk A/S, Class B 485 0.70 11 Suedzucker AG 260 0.38 64 TDC A/S 389 0.56 9,440 13.65 1,066 1.54 Greece — 0.21% Finland — 2.65% 34 Hellenic Telecommunications 12 Elisa Oyj 172 0.25 Organization S.A. 146 0.21 6 Metso Oyj 152 0.22 11 Nokian Renkaat Oyj 282 0.41 Ireland — 1.38% 14 Orion Oyj, Class B 213 0.31 19 CRH PLC 242 0.35 16 Sampo Oyj, Class A 324 0.47 26 DCC PLC 488 0.71 62 Stora Enso Oyj, Class R 315 0.46 38 Dragon Oil PLC 218 0.32 20 UPM-Kymmene Oyj 180 0.26 948 1.38 10 Wartsila Oyj 188 0.27 Italy — 3.28% 1,826 2.65 129 Enel S.p.A. 439 0.63 France — 11.85% 50 ENI S.p.A. 701 1.01 7 Arkema S.A. 403 0.58 69 Pirelli & C S.p.A. 401 0.58 24 AXA S.A. 272 0.39 82 Snam Rete Gas S.p.A. 274 0.40 18 BNP Paribas S.A. 662 0.96 219 Telecom Italia S.p.A. 185 0.27 5 Christian Dior S.A. 513 0.74 108 Terna Rete Elettrica Nazionale 4 Fonciere Des Regions 252 0.36 S.p.A. 273 0.39 15 France Telecom S.A. 193 0.28 2,273 3.28 35 GDF Suez S.A. 759 1.10 13 Groupe Danone S.A. 609 0.88 Luxembourg — 0.38% 10 JC Decaux S.A. 180 0.26 17 ArcelorMittal 261 0.38 9 Legrand S.A. 250 0.36 Netherlands — 7.19% 10 Renault S.A. 275 0.40 12 ASML Holding NV 297 0.43 20 Sanofi-Aventis S.A. 1,033 1.49 48 Koninklijke Ahold NV 389 0.56 20 SCOR SE 325 0.47 8 Koninklijke Boskalis Westminster 6 Societe BIC S.A. 381 0.55 NV 193 0.28 33 Total S.A. 1,127 1.63 65 Koninklijke KPN NV 638 0.92 34 Vivendi S.A. 579 0.84 62 Royal Dutch Shell PLC, Class A 1,442 2.08 7 Zodiac Aerospace 385 0.56 49 Royal Dutch Shell PLC, Class B 1,140 1.65 8,198 11.85 24 SBM Offshore NV 349 0.50 23 Unilever NV 535 0.77 Germany — 13.65% 5 Allianz SE 345 0.50 4,983 7.19 18 BASF SE 883 1.28 Norway — 3.45% 19 Bayer AG 870 1.26 30 DnB NOR ASA 255 0.37 9 Bayerische Motoren Werke AG 482 0.70 25 Gjensidige Forsikring ASA 207 0.30 5 Continental AG 237 0.34 13 Schibsted ASA 249 0.36 19 Daimler AG 699 1.01 46 Statoil Fuel & Retail ASA 264 0.38 14 Deutsche Bank AG 402 0.58 13 StatoilHydro ASA 224 0.32 38 Deutsche Telekom AG 335 0.48 49 Telenor ASA 570 0.82 37 E.ON AG 560 0.81 16 TGS Nopec Geophysical Co. ASA 275 0.40 5 Hannover Rueckversicherung AG 173 0.25 6 HeidelbergCement AG 188 0.27 67 Infineon Technologies AG 397 0.57

The accompanying notes are an integral part of the Financial Statements

165 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Batterymarch European Equity Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) E Value Shares (000’s) E Value

Common Stock — (continued) 144 Centrica PLC 488 0.71 Norway — (continued) 27 Daily Mail & General Trust PLC 122 0.18 9 Yara International ASA 344 0.50 11 Diageo PLC 154 0.22 74 Firstgroup PLC 306 0.44 2,388 3.45 60 GlaxoSmithKline PLC 895 1.29 325 HSBC Holdings PLC 1,970 2.85 Portugal — 0.46% 46 ICAP PLC 245 0.35 25 Jeronimo Martins SGPS S.A. 319 0.46 59 IG Group Holdings PLC 300 0.43 Spain — 3.29% 30 IMI PLC 302 0.44 26 Banco Bilbao Vizcaya 30 Imperial Tobacco Group PLC 695 1.00 Argentaria S.A. 167 0.24 31 Inmarsat PLC 166 0.24 97 Banco Santander S.A. 621 0.90 320 ITV PLC 222 0.32 119 Distribuidora Internacional de 124 Kingfisher PLC 332 0.48 Alimentacion S.A. 356 0.51 390 Legal & General Group PLC 463 0.67 6 Inditex S.A. 383 0.55 61 Melrose PLC 217 0.31 80 Mapfre S.A. 190 0.27 22 Mondi PLC 137 0.20 39 Telefonica S.A. 565 0.82 74 National Grid PLC 520 0.75 43 Persimmon PLC 221 0.32 2,282 3.29 29 Rio Tinto PLC 1,260 1.82 Sweden — 4.23% 22 SABMiller PLC 547 0.79 4 Atlas Copco AB, Class A 67 0.10 21 Scottish & Southern Energy PLC 311 0.45 79 Nordea Bank AB 505 0.73 11 Signet Jewelers Ltd. 297 0.43 22 Scania AB, Class B 281 0.41 36 Standard Chartered PLC 563 0.81 38 Skandinaviska Enskilda Banken AB, 151 Tesco PLC 647 0.94 Class A 158 0.23 24 Unilever PLC 553 0.80 15 SKF AB, Class B 240 0.35 964 Vodafone Group PLC 1,753 2.53 28 Swedbank AB, Class A 265 0.38 31 Xstrata PLC 377 0.55 14 Swedish Match AB 351 0.51 22,496 32.52 69 Telefonaktiebolaget LM Ericsson, Class B 543 0.79 Total Common Stock (Cost E72,186) 67,765 97.97 35 Trelleborg AB, Class B 206 0.30 Preferred Stock — 0.41% 34 Volvo AB, Class B 294 0.43 Germany — 0.41% 2,910 4.23 2 Volkswagen AG 282 0.41

Switzerland — 10.74% Total Investments (Cost E72,465) 68,047 98.38 29 ABB Ltd. 432 0.62 Other Assets in Excess of Liabilities 1,118 1.62 5 Baloise Holding AG 290 0.42 12 Credit Suisse Group AG 244 0.35 Total Net Assets E69,165 100.00 48 Nestle S.A. 2,073 3.00 42 Novartis AG 1,711 2.47 ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL 11 Roche Holding AG 1,396 2.02 EXCHANGE LISTING OR TRADED ON A REGULATED MARKET. 1 Swisscom AG 344 0.50 % of 68 UBS AG 684 0.99 Total Analysis of Total Assets Assets 2 Zurich Financial Services AG 257 0.37 Transferable securities admitted to an official exchange listing or traded on a 7,431 10.74 regulated market 98.21 United Kingdom — 32.52% Other assets 1.79 88 Aberdeen Asset Management PLC 199 0.29 28 Anglo American PLC 806 1.17 Total Assets 100.00 83 Ashmore Group PLC 379 0.55 33 AstraZeneca PLC 1,090 1.58 41 Atkins WS PLC 249 0.36 97 Aviva PLC 372 0.54 210 Barclays PLC 406 0.59 63 BG Group PLC 950 1.37 40 BHP Billiton PLC 962 1.39 344 BP PLC 1,565 2.26 28 British American Tobacco PLC 879 1.27 297 BT Group PLC 576 0.83

The accompanying notes are an integral part of the Financial Statements

166 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Batterymarch Asia Pacific Equity Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) $ Value Shares (000’s) $ Value

Common Stock — 98.17% 437 China Power International Cayman Islands — 2.22% Development Ltd. 96 0.08 524 Agile Property Holdings Ltd. 709 0.57 991 China State Construction 2,494 Anton Oilfield Services Group 343 0.27 International Holdings Ltd. 789 0.63 6 Baidu, Inc., ADR 831 0.66 224 China Unicom Hong Kong Ltd. 475 0.38 477 Evergrande Real Estate Group Ltd. 295 0.24 1,303 CNOOC Ltd. 2,661 2.13 684 Soho China Ltd. 604 0.48 60 Hang Seng Bank Ltd. 882 0.71 117 Hongkong Land Holdings Ltd. 679 0.54 2,782 2.22 105 Hutchison Whampoa Ltd. 1,007 0.80 China — 15.63% 952 iShares FTSE/XINHUA A50 CHINA 2,051 Agricultural Bank of China Ltd., Index Exchange Traded Fund 1,447 1.16 Class H 988 0.79 594 IT Ltd. 546 0.44 4,072 Bank of China Ltd., Class H 1,684 1.35 242 New World Development Ltd. 309 0.25 3,012 China Construction Bank Corp., 43 Orient Overseas International Ltd. 210 0.17 Class H 2,236 1.79 888 Shun Tak Holdings Ltd. 490 0.39 234 China Life Insurance Co. Ltd., 624 SITC International Holdings Co. Class H 588 0.47 Ltd. 202 0.16 76 China National Building Material 58 Sun Hung Kai Properties Ltd. 817 0.65 Co. Ltd., Class H 128 0.10 107 Swire Pacific Ltd., Class A 1,428 1.14 272 China Oilfield Services Ltd., 69 Tencent Holdings Ltd. 1,630 1.30 Class H 427 0.34 74 VTech Holdings Ltd. 852 0.68 251 China Shenhua Energy Co. Ltd., 139 Wheelock & Co. Ltd. 487 0.39 Class H 1,164 0.93 22,316 17.83 207 CSR Corp. Ltd., Class H 120 0.10 280 Dongfeng Motor Group Co. Ltd., India — 10.02% Class H 447 0.36 27 Axis Bank Ltd. 636 0.51 19 E-House China Holdings Ltd. 128 0.10 19 Bank of Baroda 298 0.24 300 Golden Eagle Retail Group Ltd., 81 Canara Bank 747 0.60 Class H 753 0.60 54 Gujarat State Fertilisers 457 0.37 152 Harbin Power Equipment Co. Ltd., 125 HDFC Bank Ltd. 1,277 1.02 Class H 193 0.15 31 Hero Honda Motors Ltd. 1,395 1.11 35 Hengan International Group Co. 71 Hindustan Unilever Ltd. 492 0.39 Ltd. 299 0.24 14 ICICI Bank Ltd. 272 0.22 4,311 Industrial & Commercial Bank of 6 Infosys Technologies Ltd. 307 0.25 China, Class H 2,835 2.26 21 Jammu & Kashmir Bank Ltd. † 361 0.29 1,132 Intime Department Store Group 159 Mahindra & Mahindra Ltd. 2,547 2.03 Co. Ltd., Class H 1,788 1.43 87 Opto Circuits India Ltd. 505 0.40 170 Jiangxi Copper Co. Ltd., Class H 487 0.39 43 Reliance Industries Ltd. 729 0.58 696 Maanshan Iron And Steel Co. Ltd., 20 State Bank of India Ltd. 843 0.67 Class H 245 0.20 207 Sterlite Industries India Ltd. 577 0.46 266 Minth Group Ltd. 295 0.24 360 Tv18 Broadcast Ltd. † 318 0.25 922 PetroChina Co. Ltd., Class H 1,189 0.95 130 Yes Bank Ltd. 785 0.63 536 PICC Property & Casualty Co. Ltd., 12,546 10.02 Class H 942 0.75 7 SINA Corp. 698 0.56 Indonesia — 6.30% 107 Weichai Power Co. Ltd., Class H 533 0.43 135 Astra International Tbk PT 1,087 0.87 474 Yanzhou Coal Mining Co. Ltd., 70 Bank Central Asia Tbk PT 67 0.05 Class H 1,379 1.10 281 Bank Mandiri Tbk PT 232 0.19 2,980 Bank Negara Indonesia Persero 19,546 15.63 Tbk PT 1,487 1.19 Hong Kong — 17.83% 820 Bank Rakyat Indonesia Persero 178 Ajisen China Holdings Ltd. 268 0.21 Tbk PT 656 0.52 527 BOC Hong Kong Holdings Ltd. 1,445 1.15 3,814 Borneo Lumbung Energi & Metal 89 Cheung Kong Holdings Ltd. 1,242 0.99 Tbk PT 541 0.43 299 China ITS Holdings Co. Ltd. 63 0.05 4,639 Charoen Pokphand Indonesia Tbk 290 China Mobile Ltd. 2,943 2.35 PT 1,558 1.24 634 China Overseas Land & 793 United Tractors Tbk PT 2,262 1.81 Investment Ltd. 1,348 1.08 7,890 6.30

The accompanying notes are an integral part of the Financial Statements

167 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Batterymarch Asia Pacific Equity Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) $ Value Shares (000’s) $ Value

Common Stock — (continued) 404 Hatton National Bank PLC † 789 0.63 Malaysia — 3.03% 2,018 1.61 357 AirAsia Bhd 402 0.32 380 Genting Bhd 1,210 0.97 Taiwan — 12.85% 242 Hong Leong Bank Bhd 1,004 0.80 767 Advanced Semiconductor 77 Hong Leong Financial Group Bhd 305 0.24 Engineering, Inc. 687 0.55 147 Petronas Dagangan Bhd 874 0.70 126 Catcher Technology Co. Ltd. 988 0.79 1,447 China Life Insurance Co. Ltd. 1,845 1.47 3,795 3.03 981 Chinatrust Financial Holding Co. Pakistan — 1.15% Ltd. 801 0.64 182 Engro Corp. Ltd. 251 0.20 510 E.Sun Financial Holding Co. Ltd. 298 0.24 342 Fauji Fertilizer Co. Ltd. 609 0.49 674 First Financial Holding Co. Ltd. 518 0.41 1,274 HUB Power Co. Ltd. 572 0.46 107 Formosa Chemicals & Fibre Corp. 325 0.26 508 Formosa Plastics Corp. 1,578 1.26 1,432 1.15 148 Hon Hai Precision Industry Co. Singapore — 5.32% Ltd. 375 0.30 976 Ascendas Real Estate Investment 57 HTC Corp. 1,478 1.18 Trust 1,718 1.37 243 Nan Ya Plastics Corp. 579 0.46 94 DBS Group Holdings Ltd. 1,029 0.82 208 President Chain Store Corp. 1,326 1.06 88 Keppel Corp. Ltd. 680 0.54 92 Simplo Technology Co. Ltd. 652 0.52 113 Oversea-Chinese Banking Corp. 431 Taiwan Cement Corp. 576 0.46 Ltd. 821 0.66 290 Taiwan Mobile Co. Ltd. 786 0.63 159 SembCorp Marine Ltd. 537 0.43 822 Taiwan Semiconductor 800 Suntec Real Estate Investment Manufacturing Co. Ltd. 1,965 1.57 Trust 897 0.72 109 Taiwan Semiconductor 63 United Overseas Bank Ltd. 970 0.78 Manufacturing Co. Ltd., ADR 1,308 1.05

6,652 5.32 16,085 12.85

South Korea — 19.09% Thailand — 2.97% 5 BS Financial Group, Inc. 66 0.05 190 Advanced Info Service PCL ? 719 0.57 10 Daelim Industrial Co. Ltd. 1,083 0.87 48 Bangkok Bank PCL ? 259 0.21 24 Dongbu Insurance Co. Ltd. 1,180 0.94 5 Bangkok Bank PCL, NVDR ? 26 0.02 57 Eugene Technology Co. Ltd. 768 0.61 241 Charoen Pokphand Foods PCL ? 254 0.20 3 Hyundai Department Store Co. 3,246 Italian-Thai Development PCL ? 490 0.39 Ltd. 506 0.40 146 Kasikornbank PCL, NVDR ? 619 0.49 2 Hyundai Heavy Industries Co. Ltd. 617 0.49 449 Krung Thai Bank PCL, Class F ? 286 0.23 5 Hyundai Mobis Co. Ltd. 1,453 1.16 950 LPN Development PCL ? 355 0.28 23 Industrial Bank of Korea 337 0.27 36 PTT PCL ? 394 0.32 49 Kia Motors Corp. 3,218 2.57 29 Siam Cement PCL, NVDR ? 319 0.26 6 Korea Zinc Co. Ltd. 2,382 1.90 3,721 2.97 23 KP Chemical Corp. 428 0.34 4 KT&G Corp. 256 0.20 Vietnam — 0.15% 4 LG Chem Ltd. 1,288 1.03 110 HAGL JSC, GDR ? 190 0.15 1 LG Fashion Corp. 46 0.04 Total Common Stock (Cost $112,234) 122,903 98.17 2 Samsung Card Co. 77 0.06 6 Samsung Electronics Co. Ltd. 4,274 3.41 Convertible Preference Shares — 0.39% 5 Samsung Engineering Co. Ltd. 1,062 0.85 India — 0.39% 20 Seah Besteel Corp. 1,254 1.00 45 Ipo Ybrant Digital Ltd. † ? 484 0.39 1 SFA Engineering Corp. 41 0.03 30 Shinhan Financial Group Co. Ltd. 1,274 1.02 Preferred Stock — 0.90% 6 SK Innovation Co. Ltd. 966 0.77 South Korea — 0.90% 1 SK Telecom Co. Ltd. 125 0.10 19 Hyundai Motor Co. 1,126 0.90 111 Woori Finance Holdings Co. Ltd. 1,229 0.98

23,930 19.09

Sri Lanka — 1.61% 1,088 Asian Hotels & Properties PLC † 906 0.72 205 Distilleries Co. of Sri Lanka PLC 323 0.26

The accompanying notes are an integral part of the Financial Statements

168 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Batterymarch Asia Pacific Equity Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of Value Net (000’s) Asset Shares (000’s) $ Value

Rights — 0.00% Taiwan — 0.00% 59 First Financial Holding Co. Ltd. ? 4 –

Total Investments (Cost $113,738) 124,517 99.46

Other Assets in Excess of Liabilities 680 0.54

Total Net Assets $125,197 100.00

– Amounts designated as "-" are either $0, less than $1,000 or less than 1,000 shares. † Illiquid. ? Security is valued in good faith at fair value by or at the discretion of the Investment Manager.

ABBREVIATIONS: ADR – American Depositary Receipt GDR – Global Depositary Receipt NVDR – Non Voting Depository Receipt

ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR TRADED ON A REGULATED MARKET. % of Total Analysis of Total Assets Assets

Transferable securities admitted to an official exchange listing or traded on a regulated market 96.70 Other assets 3.30

Total Assets 100.00

The accompanying notes are an integral part of the Financial Statements

169 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Batterymarch International Large Cap Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) $ Value Shares (000’s) $ Value

Common Stock — 96.56% – Fonciere Des Regions 32 0.23 Australia — 6.60% 2 GDF Suez S.A. 71 0.52 5 Australia & New Zealand Banking 1 Groupe Danone S.A. 55 0.40 Group Ltd. 115 0.84 1 JC Decaux S.A. 31 0.23 6 BHP Billiton Ltd. 251 1.84 1 Legrand S.A. 53 0.39 2 Commonwealth Bank of Australia 97 0.71 1 Renault S.A. 23 0.17 2 Leighton Holdings Ltd. 36 0.26 2 Sanofi-Aventis S.A. 177 1.30 5 National Australia Bank Ltd. 121 0.89 – Societe BIC S.A. 43 0.32 1 Rio Tinto Ltd. 57 0.42 3 Total S.A. 141 1.03 4 Suncorp Group Ltd. 33 0.24 4 Vivendi S.A. 98 0.72 10 Telstra Corp. Ltd. 32 0.23 944 6.92 7 Westpac Banking Corp. 160 1.17 Germany — 8.62% 902 6.60 – Allianz SE 34 0.25 Brazil — 1.44% 2 BASF SE 115 0.84 4 Banco Bradesco S.A. 69 0.51 2 Bayer AG 115 0.84 3 Itau Unibanco Holding S.A. 61 0.45 1 Bayerische Motoren Werke AG 70 0.51 2 Tim Participacoes S.A., ADR 65 0.48 1 Continental AG 45 0.33 2 Daimler AG 101 0.74 195 1.44 1 Deutsche Bank AG 58 0.43 Canada — 0.76% 4 E.ON AG 78 0.57 2 Alimentation Couche Tard, Inc., 1 Hannover Rueckversicherung AG 31 0.23 Class B 70 0.51 1 HeidelbergCement AG 25 0.18 1 Pacific Rubiales Energy Corp. 34 0.25 8 Infineon Technologies AG 65 0.48 1 K+S AG 46 0.34 104 0.76 1 Lanxess AG 56 0.41 – Merck KGaA 36 0.26 Chile — 0.44% 1 Muenchener Rueckversicherungs 3 Enersis S.A., ADR 60 0.44 AG 65 0.48 China — 1.45% 1 Siemens AG 141 1.03 99 Bank of China Ltd., Class H 41 0.30 1 Software AG 43 0.32 68 Industrial & Commercial Bank of 1 Suedzucker AG 52 0.38 China, Class H 45 0.33 1,176 8.62 44 PICC Property & Casualty Co. Ltd., Class H 77 0.56 Hong Kong — 1.93% 12 Yanzhou Coal Mining Co. Ltd., 27 Cathay Pacific Airways Ltd. 54 0.40 Class H 35 0.26 28 China Overseas Land & Investment Ltd. 59 0.43 198 1.45 5 Power Assets Holdings Ltd. 39 0.29 Denmark — 1.44% 28 SJM Holdings Ltd. 64 0.47 2 H Lundbeck A/S 53 0.39 13 Wheelock & Co. Ltd. 46 0.34 1 Novo Nordisk A/S, Class B 67 0.49 262 1.93 9 TDC A/S 77 0.56 Ireland — 0.93% 197 1.44 2 CRH PLC 38 0.28 Finland — 2.03% 2 DCC PLC 51 0.37 1 Metso Oyj 42 0.31 5 Dragon Oil PLC 38 0.28 3 Pohjola Bank PLC, Class A 38 0.28 127 0.93 2 Sampo Oyj, Class A 60 0.44 6 Stora Enso Oyj, Class R 45 0.33 Italy — 2.28% 3 UPM-Kymmene Oyj 45 0.33 12 Enel S.p.A. 59 0.43 2 Wartsila Oyj 46 0.34 4 ENI S.p.A. 71 0.52 6 Pirelli & C S.p.A. 50 0.37 276 2.03 10 Snam Rete Gas S.p.A. 49 0.36 France — 6.92% 30 Telecom Italia S.p.A. 36 0.26 1 Arkema S.A. 56 0.41 2 BNP Paribas S.A. 116 0.85 – Christian Dior S.A. 48 0.35

The accompanying notes are an integral part of the Financial Statements

170 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Batterymarch International Large Cap Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) $ Value Shares (000’s) $ Value

Common Stock — (continued) 1 Yamada Denki Co. Ltd. 69 0.51 Italy — (continued) 2,842 20.86 13 Terna Rete Elettrica Nazionale S.p. A. 46 0.34 Luxembourg — 0.88% 2 ArcelorMittal 33 0.24 311 2.28 1 Evraz Group S.A., GDR 31 0.23 Japan — 20.86% 1 Millicom International Cellular S.A. 56 0.41 6 Aeon Co. Ltd. 69 0.51 120 0.88 2 Canon, Inc. 80 0.59 – Central Japan Railway Co. 91 0.67 Mexico — 0.58% – Daito Trust Construction Co. Ltd. 37 0.27 2 America Movil SAB de CV, Series L, 1 Dena Co. Ltd. 57 0.42 ADR 41 0.30 7 Denki Kagaku Kogyo KK 30 0.22 7 Cemex SAB de CV, ADR 38 0.28 2 Eisai Co. Ltd. 68 0.50 1 FamilyMart Co. Ltd. 40 0.29 79 0.58 7 Fuji Heavy Industries Ltd. 44 0.32 Netherlands — 4.59% 11 The Gunma Bank Ltd. 57 0.42 1 ASML Holding NV 41 0.30 19 Hitachi Ltd. 102 0.75 5 Koninklijke Ahold NV 60 0.44 1 Ibiden Co. Ltd. 27 0.20 5 Koninklijke KPN NV 70 0.51 1 Idemitsu Kosan Co. Ltd. 62 0.45 6 Royal Dutch Shell PLC, Class A 209 1.53 8 ITOCHU Corp. 86 0.63 5 Royal Dutch Shell PLC, Class B 152 1.12 4 JSR Corp. 75 0.55 2 SBM Offshore NV 36 0.26 10 JX Holdings, Inc. 64 0.47 2 Unilever NV 59 0.43 15 Kajima Corp. 47 0.34 3 The Kansai Electric Power Co., Inc. 49 0.36 627 4.59 3 Kao Corp. 79 0.58 Norway — 1.78% – KDDI Corp. 67 0.49 4 DnB NOR ASA 54 0.40 3 Kirin Holdings Co. Ltd. 40 0.29 2 Schibsted ASA 54 0.40 6 Marubeni Corp. 38 0.28 4 Telenor ASA 68 0.50 8 Mitsubishi Gas Chemical Co., Inc. 56 0.41 1 TGS Nopec Geophysical Co. ASA 33 0.24 23 Mitsubishi UFJ Financial Group, Inc. 105 0.77 1 Yara International ASA 33 0.24 5 Mitsui & Co. Ltd. 92 0.67 10 Mitsui Chemicals, Inc. 34 0.25 242 1.78 2 Nikon Corp. 42 0.31 4 Nippon Meat Packers, Inc. 50 0.37 Singapore — 0.73% 1 Nippon Telegraph & Telephone 7 Fraser and Neave Ltd. 34 0.25 Corp. 60 0.44 7 SembCorp Industries Ltd. 25 0.18 23 The Nishi-Nippon City Bank Ltd. 66 0.48 12 SembCorp Marine Ltd. 41 0.30 6 Nissan Motor Co. Ltd. 55 0.40 100 0.73 8 NTN Corp. 40 0.29 – NTT Data Corp. 54 0.40 South Korea — 1.62% 1 ORIX Corp. 61 0.45 – Hyundai Mobis Co. Ltd. 43 0.32 5 Sekisui Chemical Co. Ltd. 43 0.32 – Hyundai Motor Co. 48 0.35 1 Seven & I Holdings Co. Ltd. 29 0.21 1 Kia Motors Corp. 71 0.52 3 Shionogi & Co. Ltd. 42 0.31 – Samsung Engineering Co. Ltd. 58 0.43 34 Sojitz Corp. 64 0.47 2 Sony Financial Holdings, Inc. 31 0.23 220 1.62 5 Sumitomo Corp. 67 0.49 Spain — 1.96% 1 Sumitomo Mitsui Financial Group, 12 Banco Santander S.A. 110 0.81 Inc. 32 0.23 1 Distribuidora Internacional de 9 Teijin Ltd. 34 0.25 Alimentacion S.A. 5 0.04 2 Tokio Marine Holdings, Inc. 43 0.32 1 Inditex S.A. 61 0.45 5 TonenGeneral Sekiyu KK 57 0.42 2 Repsol YPF S.A. 43 0.32 7 Toshiba Corp. 30 0.22 2 Telefonica S.A. 47 0.34 1 Toyota Industries Corp. 37 0.27 5 Toyota Motor Corp. 182 1.34 266 1.96 2 Toyota Tsusho Corp. 27 0.20 2 Ushio, Inc. 31 0.23 Sweden — 3.01% 3 Atlas Copco AB, Class A 72 0.53

The accompanying notes are an integral part of the Financial Statements

171 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Batterymarch International Large Cap Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) $ Value Shares (000’s) $ Value

Common Stock — (continued) Preferred Stock — 0.42% Sweden — (continued) Germany — 0.42% 6 Nordea Bank AB 52 0.38 – Volkswagen AG 58 0.42 4 Scania AB, Class B 68 0.50 Total Investments (Cost $13,338) 13,220 96.98 2 Swedbank AB, Class A 32 0.23 2 Swedish Match AB 56 0.41 Other Assets in Excess of Liabilities 411 3.02 3 Telefonaktiebolaget LM Ericsson, Class B 33 0.24 Total Net Assets $13,631 100.00 5 Trelleborg AB, Class B 40 0.29 – Amounts designated as "-" are either $0, less than $1,000 or less than 1,000 shares. 5 Volvo AB, Class B 58 0.43

411 3.01 ABBREVIATIONS: ADR – American Depositary Receipt Switzerland — 6.62% GDR – Global Depositary Receipt 2 ABB Ltd. 43 0.32 ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL 1 Baloise Holding AG 62 0.45 EXCHANGE LISTING OR TRADED ON A REGULATED MARKET. 4 Nestle S.A. 237 1.74 % of 4 Novartis AG 217 1.59 Total 1 Roche Holding AG 203 1.49 Analysis of Total Assets Assets – Swisscom AG 32 0.23 8 UBS AG 109 0.80 Transferable securities admitted to an official exchange listing or traded on a regulated market 96.29 903 6.62 Other assets 3.71

United Kingdom — 19.09% Total Assets 100.00 3 Anglo American PLC 113 0.83 3 AstraZeneca PLC 151 1.11 11 Aviva PLC 63 0.46 7 BG Group PLC 145 1.06 3 BHP Billiton PLC 118 0.87 30 BP PLC 199 1.46 3 British American Tobacco PLC 122 0.90 25 BT Group PLC 69 0.51 20 Centrica PLC 99 0.73 14 GKN PLC 47 0.34 6 GlaxoSmithKline PLC 120 0.88 29 HSBC Holdings PLC 250 1.83 8 IG Group Holdings PLC 60 0.44 4 IMI PLC 64 0.47 2 Imperial Tobacco Group PLC 73 0.54 45 ITV PLC 44 0.32 33 Legal & General Group PLC 56 0.41 6 Melrose PLC 31 0.23 5 National Grid PLC 48 0.35 5 Persimmon PLC 39 0.29 3 Rio Tinto PLC 182 1.34 2 Scottish & Southern Energy PLC 35 0.26 5 Standard Chartered PLC 106 0.78 18 Tesco PLC 108 0.79 80 Vodafone Group PLC 209 1.53 3 Xstrata PLC 49 0.36

2,600 19.09

Total Common Stock (Cost $13,282) 13,162 96.56

The accompanying notes are an integral part of the Financial Statements

172 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Batterymarch Emerging Markets Equity Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) $ Value Shares (000’s) $ Value

Common Stock — 90.74% Chile — 1.16% Argentina — 0.22% 2 Cia Cervecerias Unidas S.A., ADR 132 0.54 2 Grupo Financiero Galicia S.A., ADR 27 0.11 4 Enersis S.A., ADR 89 0.36 1 Telecom Argentina S.A., ADR 28 0.11 1 Sociedad Quimica Y Minera De Chile S.A., ADR 64 0.26 55 0.22 285 1.16 Brazil — 12.06% 14 Banco Bradesco S.A., ADR 246 1.01 China — 10.37% 8 Banco do Brasil S.A. 138 0.57 411 Agricultural Bank of China Ltd., 5 Banco do Estado do Rio Grande do Class H 198 0.81 Sul 54 0.22 486 Bank of China Ltd., Class H 201 0.82 2 Braskem S.A., ADR 50 0.20 303 China Construction Bank Corp., 5 BRF – Brasil Foods S.A., ADR 99 0.41 Class H 225 0.92 3 Cia Energetica de Minas Gerais, 42 China Life Insurance Co. Ltd., ADR 49 0.20 Class H 106 0.43 2 Cielo S.A. 46 0.19 14 China National Building Material 2 EDP – Energias do Brasil S.A. 36 0.15 Co. Ltd., Class H 24 0.10 2 Embraer S.A., ADR 51 0.21 44 China Oilfield Services Ltd., Class H 69 0.28 18 Even Construtora E 22 China Shenhua Energy Co. Ltd., Incorporadora S.A. 77 0.32 Class H 102 0.42 1 EZ Tec Empreendimentos E 88 CSR Corp. Ltd., Class H 51 0.21 Participacoes S.A. 13 0.05 36 Dongfeng Motor Group Co. Ltd., 1 Gafisa S.A., ADR 12 0.05 Class H 57 0.23 5 Gerdau S.A., ADR 41 0.17 54 Golden Eagle Retail Group Ltd., 3 Iguatemi Empresa de Shopping Class H 136 0.56 Centers S.A. 59 0.24 26 Harbin Power Equipment Co. Ltd., 21 Itausa – Investimentos Itau S.A. 128 0.52 Class H 33 0.14 6 Localiza Rent a Car S.A. 96 0.39 614 Industrial & Commercial Bank of 1 Lojas Renner SA 26 0.11 China, Class H 403 1.65 1 M Dias Branco S.A. 29 0.12 77 Intime Department Store Group 20 Metalfrio Solutions S.A. 95 0.39 Co. Ltd., Class H 122 0.50 12 PDG Realty S.A. Empreendimentos 23 Jiangxi Copper Co. Ltd., Class H 66 0.27 E Participacoes 56 0.23 182 Maanshan Iron And Steel Co. Ltd., 10 Petroleo Brasileiro S.A., ADR 299 1.23 Class H 64 0.26 21 Petroleo Brasileiro S.A., Sponsored 48 Minth Group Ltd. 53 0.22 ADR 554 2.27 128 PetroChina Co. Ltd., Class H 165 0.68 6 Rossi Residencial S.A. 44 0.18 1 SINA Corp. 140 0.57 4 Suzano Papel e Celulose S.A. 25 0.10 17 Weichai Power Co. Ltd., Class H 85 0.35 1 TAM S.A., ADR 27 0.11 80 Yanzhou Coal Mining Co. Ltd., 7 Telecomunicacoes de Sao Class H 233 0.95 Paulo S.A., ADR 216 0.89 2,533 10.37 6 Tim Participacoes S.A., ADR 178 0.73 7 Vale S.A., ADR 195 0.80 Cyprus — 0.11% 2 Global Ports Investment Ltd. 27 0.11 2,939 12.06 Czech Republic — 0.16% Canada — 0.55% 2 Telefonica O2 Czech Republic A/S 38 0.16 4 Pacific Rubiales Energy Corp. 101 0.41 1 Petrominerales Ltd. 34 0.14 Hong Kong — 5.81% 84 China ITS Holdings Co. Ltd. 18 0.07 135 0.55 30 China Mobile Ltd. 304 1.25 Cayman Islands — 1.33% 134 China Overseas Land & Investment 44 Agile Property Holdings Ltd. 60 0.25 Ltd. 285 1.17 – Baidu, Inc., ADR 58 0.24 80 China Power International 193 Country Garden Holdings Co. 85 0.35 Development Ltd. 18 0.07 79 Evergrande Real Estate Group Ltd. 49 0.20 40 China Unicom Hong Kong Ltd. 85 0.35 80 Soho China Ltd. 71 0.29 208 CNOOC Ltd. 425 1.74 52 Franshion Properties China Ltd. 12 0.05 323 1.33 169 SITC International Holdings Co. Ltd. 55 0.23

The accompanying notes are an integral part of the Financial Statements

173 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Batterymarch Emerging Markets Equity Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) $ Value Shares (000’s) $ Value

Common Stock — (continued) – Desarrolladora Homex SAB de CV, Hong Kong — (continued) ADR 6 0.02 9 Tencent Holdings Ltd. 214 0.88 4 El Puerto de Liverpool SAB de CV 29 0.12 5 Embotelladoras Arca SAB de CV 25 0.10 1,416 5.81 2 Fomento Economico Mexicano SAB de CV, ADR 124 0.51 Hungary — 0.41% 18 Genomma Lab Internacional S.A. – MOL Hungarian Oil and Gas PLC 28 0.11 de CV, Class B 38 0.16 3 OTP Bank PLC 72 0.30 34 Grupo Financiero Banorte SAB de 100 0.41 CV, Class O 138 0.57 26 Grupo Mexico SAB de CV, Series B 88 0.36 India — 4.79% 9 Grupo Modelo SAB de CV, Series C 50 0.20 6 Axis Bank Ltd. 130 0.53 22 OHL Mexico SAB de CV 42 0.17 12 HDFC Bank Ltd. 125 0.51 5 Hero Honda Motors Ltd. 208 0.85 1,225 5.01 7 Hindustan Unilever Ltd. 50 0.20 Netherlands — 0.34% 1 ICICI Bank Ltd. 22 0.09 3 Yandex NV 84 0.34 2 Infosys Technologies Ltd. 113 0.46 2 Jammu & Kashmir Bank Ltd. 37 0.15 Pakistan — 1.22% 12 Mahindra & Mahindra Ltd. 185 0.76 168 Fauji Fertilizer Co. Ltd. 298 1.22 3 Opto Circuits India Ltd. 15 0.06 2 State Bank of India Ltd. 80 0.33 Peru — 0.25% 21 Sterlite Industries India Ltd. 58 0.24 1 Cia de Minas Buenaventura S.A., 25 Yes Bank Ltd. 149 0.61 ADR 61 0.25

1,172 4.79 Philippines — 0.21% 37 Banco de Oro Unibank, Inc. 51 0.21 Indonesia — 2.92% 15 Bank Central Asia Tbk PT 14 0.06 Poland — 0.48% 49 Bank Mandiri Tbk PT 40 0.16 – Powszechny Zaklad 220 Bank Negara Indonesia Persero Tbk Ubezpieczen S.A. 37 0.15 PT 110 0.45 14 Telekomunikacja Polska S.A. 81 0.33 102 Bank Rakyat Indonesia Persero Tbk 118 0.48 PT 81 0.33 214 Charoen Pokphand Indonesia Tbk Russia — 7.86% PT 72 0.30 3 CTC Media, Inc. 43 0.18 263 Indofood Sukses Makmur Tbk PT 193 0.79 32 Gazprom OAO, ADR 395 1.62 71 United Tractors Tbk PT 202 0.83 5 Lukoil OAO, ADR 313 1.28 1 Magnit OJSC, GDR 21 0.09 712 2.92 1 MMC Norilsk Nickel OJSC, ADR 26 0.11 Luxembourg — 0.58% 3 Nomos-Bank, GDR 38 0.16 3 Evraz Group S.A., GDR 70 0.29 1 NovaTek OAO, GDR 164 0.67 1 Kernel Holding S.A. 20 0.08 1 Novolipetsk Steel OJSC, GDR 34 0.14 2 Ternium S.A., ADR 51 0.21 – Pharmstandard OJSC, GDR 4 0.02 1 Polymetal OOO, GDR 28 0.11 141 0.58 24 Rosneft Oil Co., GDR 187 0.77 112 Sberbank of Russia 325 1.33 Malaysia — 1.78% 3 Severstal OAO, GDR 44 0.18 42 AirAsia Bhd 48 0.20 2 TMK OAO, GDR 24 0.10 84 Genting Bhd 266 1.09 4 Uralkali, GDR 197 0.81 17 Hong Leong Bank Bhd 71 0.29 5 VTB Bank OJSC, GDR 25 0.10 12 Hong Leong Financial Group Bhd 48 0.20 1 X5 Retail Group NV 47 0.19 433 1.78 1,915 7.86 Mexico — 5.01% South Africa — 7.57% 25 Alsea SAB de CV 23 0.09 13 African Bank Investments Ltd. 65 0.27 21 America Movil SAB de CV, Series L, 4 AVI Ltd. 19 0.08 ADR 542 2.22 6 Barloworld Ltd. 50 0.20 11 Cemex SAB de CV, ADR 61 0.25 15 Clicks Group Ltd. 89 0.36 1 Coca-Cola Femsa SAB de CV, ADR 59 0.24 9 FirstRand Ltd. 25 0.10

The accompanying notes are an integral part of the Financial Statements

174 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Batterymarch Emerging Markets Equity Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) $ Value Shares (000’s) $ Value

Common Stock — (continued) 152 China Life Insurance Co. Ltd. 194 0.80 South Africa — (continued) 45 E.Sun Financial Holding Co. Ltd. 26 0.11 8 Foschini Ltd. 103 0.42 6 First Financial Holding Co. Ltd. 5 0.02 4 Imperial Holdings Ltd. 70 0.29 19 Formosa Chemicals & Fibre Corp. 58 0.24 1 Kumba Iron Ore Ltd. 42 0.17 79 Formosa Plastics Corp. 245 1.00 2 Liberty Holdings Ltd. 25 0.10 14 HON HAI Precision Industry Co. Ltd. 35 0.14 24 Life Healthcare Group Holdings Ltd. 59 0.24 8 HTC Corp. 219 0.90 1 Massmart Holdings Ltd. 27 0.11 29 Nan Ya Plastics Corp. 69 0.28 8 Mr Price Group Ltd. 80 0.33 29 President Chain Store Corp. 185 0.76 16 MTN Group Ltd. 328 1.34 10 Simplo Technology Co. Ltd. 71 0.29 2 Naspers Ltd., Class N 126 0.52 58 Taiwan Cement Corp. 77 0.32 4 Nedbank Group Ltd. 73 0.30 29 Taiwan Mobile Co. Ltd. 79 0.32 1 Sanlam Ltd. 2 0.01 42 Taiwan Semiconductor 4 Sasol Ltd. 174 0.71 Manufacturing Co. Ltd., ADR 509 2.09 5 Shoprite Holdings Ltd. 76 0.31 1,979 8.12 5 The Spar Group Ltd. 67 0.27 2 Standard Bank Group Ltd. 26 0.11 Thailand — 2.33% 6 Truworths International Ltd. 69 0.28 24 Advanced Info Service PCL ? 91 0.37 9 Vodacom Group Ltd. 112 0.46 9 Bangkok Bank PCL ? 46 0.19 27 Woolworths Holdings Ltd. 143 0.59 8 Bangkok Bank PCL, NVDR ? 43 0.18 14 Charoen Pokphand Foods PCL ? 15 0.06 1,850 7.57 430 Italian-Thai Development PCL ? 65 0.27 South Korea — 13.95% 23 Kasikornbank PCL, NVDR ? 99 0.41 2 BS Financial Group, Inc. 30 0.12 48 Krung Thai Bank PCL, Class F ? 31 0.13 – Daelim Industrial Co. Ltd. 32 0.13 12 PTT PCL ? 132 0.54 4 Dongbu Insurance Co. Ltd. 189 0.77 3 Siam Cement PCL, NVDR ? 33 0.14 2 Dongkuk Steel Mill Co. Ltd. 49 0.20 12 Thai Airways International PCL ? 10 0.04 3 Doosan Infracore Co. Ltd. 53 0.22 565 2.33 2 Eugene Technology Co. Ltd. 31 0.13 – Fila Korea Ltd. 16 0.07 Turkey — 1.06% 1 Hanwha Chem Corp. 21 0.09 7 Koza Altin Isletmeleri A/S 92 0.38 4 Hynix Semiconductor, Inc. 77 0.32 7 Sinpas Gayrimenkul Yatirim 1 Hyundai Department Store Co. Ltd. 84 0.34 Ortakligi AS 6 0.02 – Hyundai Heavy Industries Co. Ltd. 84 0.34 2 Tupras Turkiye Petrol Rafinerileri A/ 2 Hyundai Hysco Co. Ltd. 67 0.27 S 38 0.16 – Hyundai Mobis Co. Ltd. 126 0.52 11 Turk Telekomunikasyon A/S 51 0.21 1 Hyundai Motor Co. 160 0.66 1 Turk Traktor Ve Ziraat Makineleri A/ 5 Industrial Bank of Korea 76 0.31 S 29 0.12 6 Kia Motors Corp. 377 1.54 2 Turkiye Garanti Bankasi A/S 6 0.02 1 Korea Zinc Co. Ltd. 268 1.10 5 Turkiye Hlak Bankasi A/S 30 0.12 1 KT&G Corp. 47 0.19 3 Yapi Ve Kredi Bankasi A/S 7 0.03 1 LG Chem Ltd. 202 0.83 – LG Fashion Corp. 9 0.04 259 1.06 – Samsung Card Co. 14 0.06 United Kingdom — 0.09% 1 Samsung Electronics Co. Ltd. 500 2.05 1 Eurasia Drilling Co. Ltd., GDR 22 0.09 1 Samsung Engineering Co. Ltd. 316 1.29 – SFA Engineering Corp. 6 0.02 Total Common Stock (Cost $22,232) 22,142 90.74 1 Shinhan Financial Group Co. Ltd. 46 0.19 Convertible Preference Shares — 1.49% 1 SK C&C Co. Ltd. 80 0.33 India — 1.49% 1 SK Innovation Co. Ltd. 174 0.71 33 Ipo Ybrant Digital Ltd. † 363 1.49 – SK Telecom Co. Ltd. 23 0.09 ? 4 Sungwoo Hitech Co. Ltd. 64 0.26 Preferred Stock — 5.83% 17 Woori Finance Holdings Co. Ltd. 185 0.76 Brazil — 5.25% 5 Bradespar S.A. 104 0.43 3,406 13.95 3 Cia de Bebidas das Americas, ADR 114 0.47 Taiwan — 8.12% 20 Itau Unibanco Holding S.A., ADR 364 1.49 91 Advanced Semiconductor 3 Klabin S.A. 11 0.04 Engineering, Inc. 82 0.34 15 Marcopolo S.A. 59 0.24 16 Catcher Technology Co. Ltd. 125 0.51 5 Metalurgica Gerdau S.A. 51 0.21

The accompanying notes are an integral part of the Financial Statements

175 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Batterymarch Emerging Markets Equity Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of Value Net (000’s) Asset Shares (000’s) $ Value

Preferred Stock — (continued) Brazil — (continued) 22 Vale S.A., ADR 579 2.37

1,282 5.25

South Korea — 0.58% 2 Hyundai Motor Co. 141 0.58

Total Preferred Stock (Cost $1,527) 1,423 5.83

Rights — 0.00% Taiwan — 0.00% 1 First Financial Holding Co. Ltd. ? ––

Total Investments (Cost $24,129) 23,928 98.06

Other Assets in Excess of Liabilities 473 1.94

Total Net Assets $24,401 100.00

– Amounts designated as "-" are either $0, less than $1,000 or less than 1,000 shares. † Illiquid. ? Security is valued in good faith at fair value by or at the discretion of the Investment Manager.

ABBREVIATIONS: ADR – American Depositary Receipt GDR – Global Depositary Receipt NVDR – Non Voting Depository Receipt

ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR TRADED ON A REGULATED MARKET. % of Total Analysis of Total Assets Assets

Transferable securities admitted to an official exchange listing or traded on a regulated market 96.86 Other assets 3.14

Total Assets 100.00

The accompanying notes are an integral part of the Financial Statements

176 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Batterymarch Global Equity Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) $ Value Shares (000’s) $ Value

Common Stock — 94.42% 8 Infineon Technologies AG 67 0.34 Argentina — 0.21% 3 Kloeckner & Co. SE 55 0.28 2 Telecom Argentina S.A., ADR 42 0.21 – Lanxess AG 30 0.15 1 Muenchener Rueckversicherungs Australia — 4.59% AG 77 0.39 9 Australia & New Zealand Banking 1 Siemens AG 115 0.59 Group Ltd. 194 0.99 6 Suedzucker AG 197 1.01 2 Commonwealth Bank of Australia 79 0.40 7 Leighton Holdings Ltd. 144 0.73 979 4.99 8 National Australia Bank Ltd. 209 1.07 Hong Kong — 0.97% 1 Newcrest Mining Ltd. 40 0.20 38 China Overseas Land & Investment 11 St Barbara Ltd. 24 0.12 Ltd. 81 0.41 10 Westpac Banking Corp. 211 1.08 31 Wheelock & Co. Ltd. 109 0.56 901 4.59 190 0.97 Austria — 0.71% Ireland — 0.45% 4 Voestalpine AG 139 0.71 5 CRH PLC 88 0.45 Brazil — 1.10% Japan — 11.54% 2 Itau Unibanco Holding S.A. 29 0.15 25 Fuji Heavy Industries Ltd. 155 0.79 6 Telecomunicacoes de Sao 27 The Gunma Bank Ltd. 140 0.71 Paulo S.A., ADR 186 0.95 34 Hitachi Ltd. 183 0.93 215 1.10 15 ITOCHU Corp. 161 0.82 4 JTEKT Corp. 53 0.27 Canada — 2.02% 26 JX Holdings, Inc. 162 0.83 4 Alimentation Couche Tard, Inc., 11 The Kansai Electric Power Co., Inc. 192 0.98 Class B 111 0.57 41 Marubeni Corp. 258 1.32 2 Barrick Gold Corp. 81 0.41 6 Mitsui & Co. Ltd. 109 0.56 1 National Bank of Canada 89 0.45 6 Nippon Telegraph & Telephone 50 Sandvine Corp. 87 0.44 Corp. 260 1.33 1 Trican Well Service Ltd. 30 0.15 1 ORIX Corp. 92 0.47 398 2.02 8 TonenGeneral Sekiyu KK 91 0.46 7 Toyota Motor Corp. 257 1.31 China — 2.38% 9 Ushio, Inc. 148 0.76 64 China Oilfield Services Ltd., Class H 100 0.51 13 China Shenhua Energy Co. Ltd., 2,261 11.54 Class H 58 0.30 Mexico — 0.85% 218 Industrial & Commercial Bank of 7 America Movil SAB de CV, Series L, China, Class H 143 0.73 ADR 166 0.85 94 PICC Property & Casualty Co. Ltd., Class H 165 0.84 Netherlands — 1.65% 9 Royal Dutch Shell PLC, Class A 284 1.45 466 2.38 2 SBM Offshore NV 39 0.20 Denmark — 0.45% 323 1.65 4 H Lundbeck A/S 88 0.45 Norway — 0.67% France — 2.03% 4 Statoil Fuel & Retail ASA 33 0.17 1 Arkema S.A. 108 0.55 2 StatoilHydro ASA 54 0.28 4 GDF Suez S.A. 141 0.72 2 TGS Nopec Geophysical Co. ASA 44 0.22 6 Vivendi S.A. 148 0.76 131 0.67 397 2.03 South Africa — 3.12% Germany — 4.99% 11 Mr Price Group Ltd. 117 0.60 1 BASF SE 56 0.29 9 The Spar Group Ltd. 118 0.60 1 Bayerische Motoren Werke AG 104 0.53 17 Vodacom Group Ltd. 223 1.14 7 Deutsche Post AG 106 0.54 29 Woolworths Holdings Ltd. 152 0.78 1 Gerresheimer AG 28 0.14 2 Hannover Rueckversicherung AG 118 0.60 610 3.12 1 HeidelbergCement AG 26 0.13

The accompanying notes are an integral part of the Financial Statements

177 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Batterymarch Global Equity Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) $ Value Shares (000’s) $ Value

Common Stock — (continued) 2 JPMorgan Chase & Co. 87 0.44 South Korea — 3.97% 7 The Kroger Co. 156 0.80 1 Hyundai Mobis Co. Ltd. 279 1.42 4 LifePoint Hospitals, Inc. 154 0.79 3 Kia Motors Corp. 221 1.13 2 Lockheed Martin Corp. 163 0.83 1 Samsung Engineering Co. Ltd. 279 1.42 1 Lorillard, Inc. 134 0.68 2 M&T Bank Corp. 183 0.93 779 3.97 4 Macy’s, Inc. 96 0.49 Spain — 2.45% 1 Marathon Petroleum Corp. 50 0.26 2 Inditex S.A. 173 0.88 29 Micron Technology, Inc. 174 0.89 42 Mapfre S.A. 145 0.74 17 Microsoft Corp. 453 2.31 6 Repsol YPF S.A. 163 0.83 2 Murphy Oil Corp. 80 0.41 3 The Nasdaq OMX Group 73 0.37 481 2.45 2 Northrop Grumman Corp. 126 0.64 5 Patterson-UTI Energy, Inc. 125 0.64 Sweden — 0.71% 3 Ryder System, Inc. 118 0.60 11 Volvo AB, Class B 139 0.71 2 Signature Bank 100 0.51 United Kingdom — 8.80% 5 Smithfield Foods, Inc. 103 0.53 27 Aberdeen Asset Management PLC 88 0.45 3 TJX Cos., Inc. 164 0.84 6 AstraZeneca PLC 262 1.34 7 UnitedHealth Group, Inc. 342 1.75 3 BG Group PLC 66 0.34 4 Valero Energy Corp. 99 0.51 7 BHP Billiton PLC 230 1.17 5 Verizon Communications, Inc. 184 0.94 26 BP PLC 167 0.85 4 Walgreen Co. 130 0.66 52 BT Group PLC 146 0.75 4 Wal-Mart Stores, Inc. 211 1.08 7 Imperial Tobacco Group PLC 235 1.20 7,984 40.76 76 Legal & General Group PLC 130 0.66 4 Rio Tinto PLC 247 1.26 Total Common Stock (Cost $19,394) 18,501 94.42 25 Tesco PLC 153 0.78 Preferred Stock — 1.92% 1,724 8.80 Brazil — 1.55% 7 Itau Unibanco Holding S.A., ADR 125 0.64 United States — 40.76% 7 Vale S.A., ADR 178 0.91 2 Aflac, Inc. 83 0.42 2 American Express Co. 80 0.41 303 1.55 1 Apple, Inc. 423 2.16 1 Assurant, Inc. 46 0.23 Germany — 0.37% 7 Avon Products, Inc. 151 0.77 – Volkswagen AG 73 0.37 1 BlackRock, Inc. 99 0.51 Total Preferred Stock (Cost $421) 376 1.92 6 Brinker International, Inc. 138 0.70 4 CA, Inc. 88 0.45 Total Investments (Cost $19,815) 18,877 96.34 3 Cardinal Health, Inc. 140 0.71 Other Assets in Excess of Liabilities 718 3.66 3 Celanese Corp., Series A 127 0.65 3 Chevron Corp. 291 1.49 Total Net Assets $19,595 100.00 2 CIGNA Corp. 115 0.59 15 Cisco Systems, Inc. 227 1.16 – Amounts designated as "-" are either $0, less than $1,000 or less than 1,000 shares. 8 Comcast Corp., Class A 170 0.87 1 Complete Production Services, Inc. 35 0.18 ABBREVIATIONS: 3 ConocoPhillips 204 1.04 ADR – American Depositary Receipt 12 Dell, Inc. 173 0.88 ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL 3 DirecTV, Class A 145 0.74 EXCHANGE LISTING OR TRADED ON A REGULATED MARKET. 4 DISH Network Corp., Class A 107 0.55 % of 6 Eli Lilly & Co. 206 1.05 Total 4 Endo Pharmaceuticals Holdings, Analysis of Total Assets Assets Inc. 112 0.57 Transferable securities admitted to an official exchange listing or traded on a 3 Exelon Corp. 129 0.66 regulated market 96.12 6 Exxon Mobil Corp. 459 2.34 Other assets 3.88 2 Freeport-McMoRan Copper & Gold, Inc., Class B 75 0.38 Total Assets 100.00 6 General Electric Co. 100 0.51 – Google, Inc., Class A 216 1.10 17 Intel Corp. 340 1.74

The accompanying notes are an integral part of the Financial Statements

178 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason LMHK China Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) $ Value Shares (000’s) $ Value

Common Stock — 98.19% Oil, Gas & Consumable Fuels — 18.89% Auto Manufacturers — 2.82% 96 China Petroleum & Chemical Corp., 112 Dongfeng Motor Group Co. Ltd., Class H 95 1.50 Class H 179 2.82 77 China Shenhua Energy Co. Ltd., Class H 357 5.63 Building Materials — 5.83% 228 CNOOC Ltd. 465 7.33 51 Anhui Conch Cement Co. Ltd., 114 PetroChina Co. Ltd., Class H 147 2.32 Class H 212 3.34 46 Yanzhou Coal Mining Co. Ltd., 94 China National Building Material Class H 134 2.11 Co. Ltd., Class H 158 2.49 1,198 18.89 370 5.83 Pharmaceuticals — 0.52% Electrical Components & Equipment — 3.99% 85 Sihuan Pharmaceutical Holdings 96 AAC Technologies Holdings, Inc. 201 3.17 Group Ltd. 33 0.52 15 Dongfang Electric Corp. Ltd., Class H 52 0.82 Real Estate — 8.53% 164 China Vanke Co. Ltd., Class B 210 3.31 253 3.99 345 Evergrande Real Estate Group Ltd. 214 3.37 Equity Fund — 2.10% 81 Longfor Properties Co. Ltd. 117 1.85 88 iShares FTSE/XINHUA A50 CHINA 541 8.53 Index Exchange Traded Fund 133 2.10 Retail — 7.80% Financials – Banks — 20.23% 75 Belle International Holdings Ltd. 154 2.43 945 Bank of China Ltd., Class H 391 6.16 264 Boshiwa International Holding Ltd. 68 1.07 609 China Construction Bank Corp., 192 Springland International Holdings Class H 452 7.13 Ltd. 158 2.49 52 China Merchants Bank Co. Ltd., 68 Zhongsheng Group Holdings Ltd. 115 1.81 Class H 111 1.75 327 Chongqing Rural Commercial Bank 157 2.48 495 7.80 261 Industrial & Commercial Bank of Telecommunications — 12.74% China, Class H 172 2.71 34 China Mobile Ltd. 345 5.44 1,283 20.23 254 China Telecom Corp. Ltd., Class H 166 2.62 140 China Unicom Hong Kong Ltd. 297 4.68 Food — 3.33% 59 China Mengniu Dairy Co. Ltd. 211 3.33 808 12.74

Industrial Conglomerates — 2.02% Total Common Stock (Cost $6,368) 6,228 98.19 30 China Merchants Holdings Total Investments (Cost $6,368) 6,228 98.19 International Co. Ltd. 90 1.42 77 Top Spring International Holdings Other Assets in Excess of Liabilities 115 1.81 Ltd. 38 0.60 Total Net Assets $6,343 100.00 128 2.02 ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL Insurance — 4.84% EXCHANGE LISTING OR TRADED ON A REGULATED MARKET. 31 AIA Group Ltd. 108 1.70 % of 41 China Life Insurance Co. Ltd., Total Class H 103 1.63 Analysis of Total Assets Assets 12 Ping An Insurance Group Co. of Transferable securities admitted to an official exchange listing or traded on a China Ltd., Class H 96 1.51 regulated market 97.94 307 4.84 Other assets 2.06

Internet Software & Services — 2.06% Total Assets 100.00 6 Tencent Holdings Ltd. 131 2.06

Mining — 2.49% 48 Angang Steel Co. Ltd., Class H 38 0.60 42 Jiangxi Copper Co. Ltd., Class H 120 1.89

158 2.49

The accompanying notes are an integral part of the Financial Statements

179 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Esemplia Emerging Markets Select Equity Fund

Portfolio of Investments as at August 31, 2011

% of % of Value Net Value Net (000’s) Asset (000’s) Asset Shares (000’s) $ Value Shares (000’s) $ Value

Common Stock — 86.72% Malaysia — 3.85% Bermuda — 1.47% 90 AirAsia Bhd 101 2.09 9 African Minerals Ltd. 71 1.47 27 Genting Bhd 85 1.76

Brazil — 15.41% 186 3.85 5 Banco do Brasil S.A. 90 1.86 Mexico — 1.76% 10 Gafisa S.A., ADR 96 1.99 21 Mexichem SAB de CV 85 1.76 1 Gerdau S.A. 9 0.19 3 Gerdau S.A., ADR 23 0.48 Russia — 9.13% 26 JBS S.A. 70 1.45 10 Gazprom OAO, ADR 119 2.46 1 Natura Cosmeticos S.A. 19 0.39 3 Mail.Ru Group Ltd. 97 2.01 18 PDG Realty S.A. Empreendimentos 3 Mechel, ADR 52 1.08 E Participacoes 86 1.78 5 Nomos-Bank, GDR 70 1.45 3 Tim Participacoes S.A., ADR 100 2.07 9 Rosneft Oil Co., GDR 72 1.49 7 Vale S.A., ADR 182 3.77 1 X5 Retail Group NV 31 0.64 6 Weg S.A. 69 1.43 441 9.13 744 15.41 South Africa — 7.98% Cayman Islands — 2.85% 5 ABSA Group Ltd. 94 1.94 30 AAC Technologies Holdings, Inc. 63 1.30 12 Aveng Ltd. 58 1.20 121 Evergrande Real Estate Group Ltd. 75 1.55 6 MTN Group Ltd. 127 2.63 2 Sasol Ltd. 107 2.21 138 2.85 386 7.98 China — 18.77% 161 Agricultural Bank of China Ltd., South Korea — 8.69% Class H 78 1.61 1 GS Engineering & Construction 1 Baidu, Inc. 87 1.80 Corp. 61 1.26 219 China Construction Bank Corp., 13 Korea Life Insurance Co. Ltd. 74 1.53 Class H 163 3.37 – Samsung Electronics Co. Ltd. 188 3.89 25 China Mengniu Dairy Co. Ltd. 89 1.84 2 Shinhan Financial Group Co. Ltd. 97 2.01 41 China Yurun Food Group Ltd., Class H 93 1.92 420 8.69 58 CNOOC Ltd. 118 2.44 Taiwan — 3.05% 230 Industrial & Commercial Bank of 17 Advanced Semiconductor China, Class H 151 3.12 Engineering, Inc., ADR 77 1.59 18 Shanghai Industrial Holdings Ltd. 59 1.22 – AU Optronics Corp. – – 24 Yanzhou Coal Mining Co. Ltd., 1 Hon Hai Precision Industry Co. Ltd., Class H 70 1.45 GDR 7 0.14 908 18.77 1 HTC Corp., GDR 64 1.32

Colombia — 2.30% 148 3.05 5 Pacific Rubiales Energy Corp. 111 2.30 United States — 3.33% India — 5.02% 2 NII Holdings, Inc. 72 1.49 2 Dr Reddy’s Laboratories Ltd., ADR 70 1.45 3 Southern Copper Corp. 89 1.84 1 Larsen & Toubro Ltd., GDR 53 1.10 161 3.33 6 Sterlite Industries India Ltd., ADR 66 1.37 3 Tata Motors Ltd., ADR 53 1.10 Total Common Stock (Cost $4,347) 4,191 86.72

242 5.02 Participatory Notes — 8.23% India — 4.55% Indonesia — 2.80% 13 Bank of India P-Note Merrill Lynch 87 1.80 662 Delta Dunia Makmur Tbk PT 69 1.43 11 Cairn India Ltd. P-Note JP Morgan 64 1.32 109 XL Axiata Tbk PT 66 1.37 59 JSW Energy Ltd. P-Note JP Morgan 69 1.43 135 2.80 220 4.55 Jersey Channel Islands — 0.31% 29 Bellzone Mining PLC 15 0.31

The accompanying notes are an integral part of the Financial Statements

180 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Legg Mason Esemplia Emerging Markets Select Equity Fund

Portfolio of Investments as at August 31, 2011 – (continued)

% of Value Net (000’s) Asset Shares (000’s) $ Value

Participatory Notes — (continued) Netherlands — 3.68% 17 Housing Development and Infrastructure Ltd. P-Note JP Morgan 37 0.76 30 Nan Ya Plastics Corp. P-Note JP Morgan 71 1.47 1 Pegatron Corp. P-Note JP Morgan – – 3 Punjab National Bank Ltd. P-Note Merrill Lynch 56 1.16 1 Punjab National Bank P-Note JP Morgan 14 0.29

178 3.68

Total Participatory Notes (Cost $645) 398 8.23

Preferred Stock — 2.98% Brazil — 2.98% 7 Itau Unibanco Holding S.A., ADR 122 2.52 2 Metalurgica Gerdau S.A. 22 0.46

144 2.98

Total Preferred Stock (Cost $184) 144 2.98

Total Investments (Cost $5,176) 4,733 97.93

Other Assets in Excess of Liabilities 100 2.07

Total Net Assets $4,833 100.00

– Amounts designated as "-" are either $0, less than $1,000 or less than 1,000 shares.

ABBREVIATIONS: ADR – American Depositary Receipt GDR – Global Depositary Receipt

ALL SECURITIES ARE TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR TRADED ON A REGULATED MARKET. % of Total Analysis of Total Assets Assets

Transferable securities admitted to an official exchange listing or traded on a regulated market 97.05 Other assets 2.95

Total Assets 100.00

The accompanying notes are an integral part of the Financial Statements

181 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Western Asset Western Asset Western Asset Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Western Asset Western Asset Western Asset Legg Mason Western US Short-Term Legg Mason Western Inflation Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Strategic Income Global Multi US High Yield Emerging Markets Asset Global High Government Asset US Adjustable Management Opportunities Global Blue Chip Fund as at Fund as at Bond Fund as at Bond Fund as at Fund as at Strategy Fund as Fund as at Bond Fund as at Yield Fund as at Fund as at Rate Fund as at Fund as at Fund as at Bond Fund as at August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 at August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) CURRENT ASSETS: Cash (Note 7) $ 1 $ 324 $ 520 E 408 $ 725 $ 14,777 $ 1,846 $ 1,131 $ 5,269 $ 1,243 $ 240 $ 107 $ 46,441 $ 18,551 Cash collateral (Note 7) – – – 2,267 421 8,732 1,050 – 150 – 40 – 12,973 1,783 Amounts due from broker – 33 143 – – 572 12 – 33 15 – – – – Financial assets at fair value through profit or loss: Investments 4,130,741 26,448 280,715 82,338 44,406 1,647,798 464,769 206,272 382,377 35,158 23,753 12,919 731,999 212,446 Options at fair value – – 7 – – 45 – – – – – – – – Swap contracts at fair value – 38 539 – – – – – – – – – 4,562 – Swaptions at fair value – – 111 – – – 27 – 28 – – – – – Unrealised appreciation on forward foreign currency contracts – – 21 304 788 5,623 9 5 291 – – 1 2,060 222 Unrealised appreciation on future contracts – 1 22 5 4 9 – 1 – 14 15 1 921 10 Receivable for investments sold – 5,063 50,458 – 2,481 60,350 236 1,813 397 769 1 – – – Receivable for redeemable participating shares sold – – 85 35 – 4,137 12,348 334 472 – – – 4,445 561 Interest receivable 2,658 153 1,422 1,244 522 26,268 10,108 3,647 7,894 132 12 36 8,748 2,967 Dividend receivable – – – – – – – – – – – – – – Receivable from investment manager 177 – – – – – – – – – – – – – Other assets 175 3 8 4 4 68 23 8 19 1 3 – 22 9 Total Current Assets 4,133,752 32,063 334,051 86,605 49,351 1,768,379 490,428 213,211 396,930 37,332 24,064 13,064 812,171 236,549

CURRENT LIABILITIES: Cash overdraft – – 110 – – – – – – – – – – – Amounts due to broker – 22 – – – – – 17 – – 16 1 – – Payable for investments purchased – 10,443 107,058 – 1,516 2,163 5,129 1,795 392 1,743 – – 9,820 – Financial liabilities at fair value through profit or loss: Investments – – – – – – – – – – – – – – Options at fair value – 7 81 – – – – – – – – – – – Swap contracts at fair value – 42 428 203 – – 795 55 – – – – 7,723 511 Swaptions at fair value – – 148 – – – 213 – 219 – – – – – Unrealised depreciation on forward foreign currency contracts – – 96 192 606 12,898 35 475 390 – – 10 1,390 1,958 Unrealised depreciation on futures contracts – 15 136 1,162 184 3,893 19 1 52 5 – – 4,056 342 Distributions payable to holders of redeemable participating shares 1 8 8 4 29 329 185 102 158 9 – – 98 – Investment management fees payable (Note 3) – 8 57 21 26 600 84 157 250 18 13 5 313 65 Performance fee payable (Note 3) – – – – – – – – – – – – – – Administrator and custodian fees payable (Note 3) 335 1 17 7 4 137 35 16 34 3 2 1 57 17 Shareholder service fees payable (Note 3) – 2 1 1 3 100 9 17 34 1 – – 59 3 Distribution fees payable 363 11 17 8 27 423 58 84 164 22 14 8 241 14 Payable for redeemable participating shares sold – – – – 4 7,025 21 80 – 92 56 – 664 203 Interest payable – – – – – – – – – – – – 383 – Accrued expenses and other liabilities 990 42 44 22 64 621 119 96 130 35 31 34 291 79 Liabilities (excluding Net Assets attributable to Holders of Redeemable Participating Shares) 1,689 10,601 108,201 1,620 2,463 28,189 6,702 2,895 1,823 1,928 132 59 25,095 3,192

Total Net Assets Attributable to Holders of Redeemable Participating Shares at fair value $ 4,132,063 $ 21,462 $ 225,850 E 84,985 $ 46,888 $ 1,740,190 $ 483,726 $ 210,316 $ 395,107 $ 35,404 $ 23,932 $ 13,005 $ 787,076 $ 233,357

Amounts designated as "-" are either $0/E0/¥0/£0 or less than $1,000/E1,000/¥1,000/£1,000. The Euro figures for Legg Mason Western Asset Euro Core Plus Bond Fund, Legg Mason Western Asset Euro High Yield Fund^, Legg Mason Royce European Smaller Companies Fund^ and Legg Mason Batterymarch European Equity Fund have been converted into US Dollars in the total figure for Legg Mason Global Funds Plc for the period ended August 31, 2011 using the USD/EUR rate of 0.6961. The Yen figures for the Legg Mason Congruix Japan Equity Fund have been converted into US Dollars in the total figure for the Legg Mason Global Funds Plc for the period ended August 31, 2011 using the USD/JPY rate of 76.6577. The Sterling figures for Legg Mason Western Asset UK£ Core Plus Bond Fund^, Legg Mason Western Asset UK£ Inflation-Linked Plus Fund^ and Legg Mason Western Asset UK£ Long Duration Fund^ have been converted into US Dollars in the total figure for Legg Mason Global Funds Plc for the period ended August 31, 2011, using the USD/GBP rate of 0.6160. G Effective May 13, 2011, the Fund commenced trading.

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

182 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Western Asset Western Asset Western Asset Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Western Asset Western Asset Western Asset Legg Mason Western US Short-Term Legg Mason Western Inflation Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Strategic Income Global Multi US High Yield Emerging Markets Asset Global High Government Asset US Adjustable Management Opportunities Global Blue Chip Fund as at Fund as at Bond Fund as at Bond Fund as at Fund as at Strategy Fund as Fund as at Bond Fund as at Yield Fund as at Fund as at Rate Fund as at Fund as at Fund as at Bond Fund as at August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 at August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) CURRENT ASSETS: Cash (Note 7) $ 1 $ 324 $ 520 E 408 $ 725 $ 14,777 $ 1,846 $ 1,131 $ 5,269 $ 1,243 $ 240 $ 107 $ 46,441 $ 18,551 Cash collateral (Note 7) – – – 2,267 421 8,732 1,050 – 150 – 40 – 12,973 1,783 Amounts due from broker – 33 143 – – 572 12 – 33 15 – – – – Financial assets at fair value through profit or loss: Investments 4,130,741 26,448 280,715 82,338 44,406 1,647,798 464,769 206,272 382,377 35,158 23,753 12,919 731,999 212,446 Options at fair value – – 7 – – 45 – – – – – – – – Swap contracts at fair value – 38 539 – – – – – – – – – 4,562 – Swaptions at fair value – – 111 – – – 27 – 28 – – – – – Unrealised appreciation on forward foreign currency contracts – – 21 304 788 5,623 9 5 291 – – 1 2,060 222 Unrealised appreciation on future contracts – 1 22 5 4 9 – 1 – 14 15 1 921 10 Receivable for investments sold – 5,063 50,458 – 2,481 60,350 236 1,813 397 769 1 – – – Receivable for redeemable participating shares sold – – 85 35 – 4,137 12,348 334 472 – – – 4,445 561 Interest receivable 2,658 153 1,422 1,244 522 26,268 10,108 3,647 7,894 132 12 36 8,748 2,967 Dividend receivable – – – – – – – – – – – – – – Receivable from investment manager 177 – – – – – – – – – – – – – Other assets 175 3 8 4 4 68 23 8 19 1 3 – 22 9 Total Current Assets 4,133,752 32,063 334,051 86,605 49,351 1,768,379 490,428 213,211 396,930 37,332 24,064 13,064 812,171 236,549

CURRENT LIABILITIES: Cash overdraft – – 110 – – – – – – – – – – – Amounts due to broker – 22 – – – – – 17 – – 16 1 – – Payable for investments purchased – 10,443 107,058 – 1,516 2,163 5,129 1,795 392 1,743 – – 9,820 – Financial liabilities at fair value through profit or loss: Investments – – – – – – – – – – – – – – Options at fair value – 7 81 – – – – – – – – – – – Swap contracts at fair value – 42 428 203 – – 795 55 – – – – 7,723 511 Swaptions at fair value – – 148 – – – 213 – 219 – – – – – Unrealised depreciation on forward foreign currency contracts – – 96 192 606 12,898 35 475 390 – – 10 1,390 1,958 Unrealised depreciation on futures contracts – 15 136 1,162 184 3,893 19 1 52 5 – – 4,056 342 Distributions payable to holders of redeemable participating shares 1 8 8 4 29 329 185 102 158 9 – – 98 – Investment management fees payable (Note 3) – 8 57 21 26 600 84 157 250 18 13 5 313 65 Performance fee payable (Note 3) – – – – – – – – – – – – – – Administrator and custodian fees payable (Note 3) 335 1 17 7 4 137 35 16 34 3 2 1 57 17 Shareholder service fees payable (Note 3) – 2 1 1 3 100 9 17 34 1 – – 59 3 Distribution fees payable 363 11 17 8 27 423 58 84 164 22 14 8 241 14 Payable for redeemable participating shares sold – – – – 4 7,025 21 80 – 92 56 – 664 203 Interest payable – – – – – – – – – – – – 383 – Accrued expenses and other liabilities 990 42 44 22 64 621 119 96 130 35 31 34 291 79 Liabilities (excluding Net Assets attributable to Holders of Redeemable Participating Shares) 1,689 10,601 108,201 1,620 2,463 28,189 6,702 2,895 1,823 1,928 132 59 25,095 3,192

Total Net Assets Attributable to Holders of Redeemable Participating Shares at fair value $ 4,132,063 $ 21,462 $ 225,850 E 84,985 $ 46,888 $ 1,740,190 $ 483,726 $ 210,316 $ 395,107 $ 35,404 $ 23,932 $ 13,005 $ 787,076 $ 233,357

Amounts designated as "-" are either $0/E0/¥0/£0 or less than $1,000/E1,000/¥1,000/£1,000. The Euro figures for Legg Mason Western Asset Euro Core Plus Bond Fund, Legg Mason Western Asset Euro High Yield Fund^, Legg Mason Royce European Smaller Companies Fund^ and Legg Mason Batterymarch European Equity Fund have been converted into US Dollars in the total figure for Legg Mason Global Funds Plc for the period ended August 31, 2011 using the USD/EUR rate of 0.6961. The Yen figures for the Legg Mason Congruix Japan Equity Fund have been converted into US Dollars in the total figure for the Legg Mason Global Funds Plc for the period ended August 31, 2011 using the USD/JPY rate of 76.6577. The Sterling figures for Legg Mason Western Asset UK£ Core Plus Bond Fund^, Legg Mason Western Asset UK£ Inflation-Linked Plus Fund^ and Legg Mason Western Asset UK£ Long Duration Fund^ have been converted into US Dollars in the total figure for Legg Mason Global Funds Plc for the period ended August 31, 2011, using the USD/GBP rate of 0.6160. G Effective May 13, 2011, the Fund commenced trading.

The accompanying notes are an integral part of the Financial Statements

183 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Global Credit Legg Mason Western Legg Mason Western Western Asset UK£ Inflation- Western Asset UK£ Western Asset Legg Mason Western Brandywine Global Brandywine Global Western Asset Capital Capital Brazil Bond Absolute Return Asset UK£ Core Plus Asset Global Core Global Inflation- Linked Plus Long Duration Global Credit Asset Euro High Yield Fixed Income Opportunistic Fixed Brazil Equity Management Management Fund^ as at Fund^ as at Bond Fund^ as at Plus Bond Fund^ as Linked Fund as at Fund^ as at Fund^ as at Fund as at Fund^ as at Fund as at Income Fund^ as at Fund^ as at Value Fund as at Growth Fund as at August 31, 2011 August 31, 2011 August 31, 2011 at August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) CURRENT ASSETS: Cash (Note 7) $ 10 $ 1,758 £ 1,548 $ 674 $ 5,297 £ 177 £ 925 $ 418 E 1,581 $ 44,355 $ 2,060 $ 60 $ 1,854 $ 1,494 Cash collateral (Note 7) – 2,379 862 2,560 212 153 1,202 845 – – – – – – Amounts due from broker – – 7 89 – – – 8 – – – – – – Financial assets at fair value through profit or loss: Investments 12,406 144,012 81,053 91,930 66,685 32,606 78,577 85,921 66,390 407,797 20,338 4,495 239,196 59,364 Options at fair value – – – 47 – – – – – – – – – – Swap contracts at fair value – 27 179 – – – – – – – – – – – Swaptions at fair value – 2,151 – – – – – – – – – – – – Unrealised appreciation on forward foreign currency contracts – 732 90 973 315 62 127 74 307 1,478 24 – – – Unrealised appreciation on future contracts – – 92 316 18 12 107 32 – – – – – – Receivable for investments sold – 9,711 – 7,839 – – – 124 – – – 24 21,377 159 Receivable for redeemable participating shares sold – 33 – – – – – – – 67 – – 58 1 Interest receivable 151 352 1,387 1,277 344 116 1,092 1,348 1,447 6,613 355 – – – Dividend receivable – – – – – – – – – – – 35 609 75 Receivable from investment manager – – – – – – – – – – – – – – Other assets 6 7 3 5 4 1 3 3 2 17 – – 20 2 Total Current Assets 12,573 161,162 85,221 105,710 72,875 33,127 82,033 88,773 69,727 460,327 22,777 4,614 263,114 61,095

CURRENT LIABILITIES: Cash overdraft – – – – – – – 91 – – – 5 – – Amounts due to broker – – – – – – – – – – – – – – Payable for investments purchased – 9,674 – 14,332 – – – – 4,754 – – – – 146 Financial liabilities at fair value through profit or loss: Investments – – – – – – – – – – – – – – Options at fair value – – – 435 – – – – – – – – – – Swap contracts at fair value – 177 – – – – 626 500 310 – – – – – Swaptions at fair value – 1,695 – – – – – – – – – – – – Unrealised depreciation on forward foreign currency contracts – 2,303 69 1,389 459 81 259 493 17 4,242 88 – – – Unrealised depreciation on futures contracts – – – 16 – – – 88 – – – – – – Distributions payable to holders of redeemable participating shares – – – – – – – – – – – – – – Investment management fees payable (Note 3) 3 104 1 15 18 1 – – – 207 13 – 189 34 Performance fee payable (Note 3) – 3 – – – – – – – – – – – – Administrator and custodian fees payable (Note 3) 1 12 7 7 6 3 6 7 5 33 2 1 14 4 Shareholder service fees payable (Note 3) – 3 – – – – – – – 46 1 – 57 3 Distribution fees payable – 9 – – – – – – – 162 10 – 86 5 Payable for redeemable participating shares sold – 2,949 – – – – – – – 46 – – 21,103 28 Interest payable – – – – – – 21 – – – – – – – Accrued expenses and other liabilities 11 35 46 60 36 17 25 34 28 443 32 10 199 28 Liabilities (excluding Net Assets attributable to Holders of Redeemable Participating Shares) 15 16,964 123 16,254 519 102 937 1,213 5,114 5,179 146 16 21,648 248

Total Net Assets Attributable to Holders of Redeemable Participating Shares at fair value $ 12,558 $ 144,198 £ 85,098 $ 89,456 $ 72,356 £ 33,025 £ 81,096 $ 87,560 E 64,613 $ 455,148 $ 22,631 $ 4,598 $ 241,466 $ 60,847

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

184 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Global Credit Legg Mason Western Legg Mason Western Western Asset UK£ Inflation- Western Asset UK£ Western Asset Legg Mason Western Brandywine Global Brandywine Global Western Asset Capital Capital Brazil Bond Absolute Return Asset UK£ Core Plus Asset Global Core Global Inflation- Linked Plus Long Duration Global Credit Asset Euro High Yield Fixed Income Opportunistic Fixed Brazil Equity Management Management Fund^ as at Fund^ as at Bond Fund^ as at Plus Bond Fund^ as Linked Fund as at Fund^ as at Fund^ as at Fund as at Fund^ as at Fund as at Income Fund^ as at Fund^ as at Value Fund as at Growth Fund as at August 31, 2011 August 31, 2011 August 31, 2011 at August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) CURRENT ASSETS: Cash (Note 7) $ 10 $ 1,758 £ 1,548 $ 674 $ 5,297 £ 177 £ 925 $ 418 E 1,581 $ 44,355 $ 2,060 $ 60 $ 1,854 $ 1,494 Cash collateral (Note 7) – 2,379 862 2,560 212 153 1,202 845 – – – – – – Amounts due from broker – – 7 89 – – – 8 – – – – – – Financial assets at fair value through profit or loss: Investments 12,406 144,012 81,053 91,930 66,685 32,606 78,577 85,921 66,390 407,797 20,338 4,495 239,196 59,364 Options at fair value – – – 47 – – – – – – – – – – Swap contracts at fair value – 27 179 – – – – – – – – – – – Swaptions at fair value – 2,151 – – – – – – – – – – – – Unrealised appreciation on forward foreign currency contracts – 732 90 973 315 62 127 74 307 1,478 24 – – – Unrealised appreciation on future contracts – – 92 316 18 12 107 32 – – – – – – Receivable for investments sold – 9,711 – 7,839 – – – 124 – – – 24 21,377 159 Receivable for redeemable participating shares sold – 33 – – – – – – – 67 – – 58 1 Interest receivable 151 352 1,387 1,277 344 116 1,092 1,348 1,447 6,613 355 – – – Dividend receivable – – – – – – – – – – – 35 609 75 Receivable from investment manager – – – – – – – – – – – – – – Other assets 6 7 3 5 4 1 3 3 2 17 – – 20 2 Total Current Assets 12,573 161,162 85,221 105,710 72,875 33,127 82,033 88,773 69,727 460,327 22,777 4,614 263,114 61,095

CURRENT LIABILITIES: Cash overdraft – – – – – – – 91 – – – 5 – – Amounts due to broker – – – – – – – – – – – – – – Payable for investments purchased – 9,674 – 14,332 – – – – 4,754 – – – – 146 Financial liabilities at fair value through profit or loss: Investments – – – – – – – – – – – – – – Options at fair value – – – 435 – – – – – – – – – – Swap contracts at fair value – 177 – – – – 626 500 310 – – – – – Swaptions at fair value – 1,695 – – – – – – – – – – – – Unrealised depreciation on forward foreign currency contracts – 2,303 69 1,389 459 81 259 493 17 4,242 88 – – – Unrealised depreciation on futures contracts – – – 16 – – – 88 – – – – – – Distributions payable to holders of redeemable participating shares – – – – – – – – – – – – – – Investment management fees payable (Note 3) 3 104 1 15 18 1 – – – 207 13 – 189 34 Performance fee payable (Note 3) – 3 – – – – – – – – – – – – Administrator and custodian fees payable (Note 3) 1 12 7 7 6 3 6 7 5 33 2 1 14 4 Shareholder service fees payable (Note 3) – 3 – – – – – – – 46 1 – 57 3 Distribution fees payable – 9 – – – – – – – 162 10 – 86 5 Payable for redeemable participating shares sold – 2,949 – – – – – – – 46 – – 21,103 28 Interest payable – – – – – – 21 – – – – – – – Accrued expenses and other liabilities 11 35 46 60 36 17 25 34 28 443 32 10 199 28 Liabilities (excluding Net Assets attributable to Holders of Redeemable Participating Shares) 15 16,964 123 16,254 519 102 937 1,213 5,114 5,179 146 16 21,648 248

Total Net Assets Attributable to Holders of Redeemable Participating Shares at fair value $ 12,558 $ 144,198 £ 85,098 $ 89,456 $ 72,356 £ 33,025 £ 81,096 $ 87,560 E 64,613 $ 455,148 $ 22,631 $ 4,598 $ 241,466 $ 60,847

The accompanying notes are an integral part of the Financial Statements

185 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Capital Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Management ClearBridge ClearBridge Legg Mason ClearBridge Royce US Small Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Permal Legg Mason Batterymarch Opportunity US Appreciation US Fundamental ClearBridge US Large US Aggressive Cap Opportunity Smaller Companies Smaller Companies European Smaller Global Smaller Legg Mason PCM US Global Absolute GC Global Equity European Equity Fund as at Fund as at Value Fund as at Cap Growth Fund as Growth Fund as at Fund as at Fund as at Fund II^GG as at Companies Fund^ as Companies Fund as Equity Fund as at Fund as at Fund as at Fund as at August 31, 2011 August 31, 2011 August 31, 2011 at August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 at August 31, 2011 at August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) CURRENT ASSETS: Cash (Note 7) $ 4,543 $ 9,594 $ 1,605 $ – $ 10,399 $ 19,214 $ 17,235 $ 1,938 E 18 $ 1,068 $ 9 $ 46,086 $ 114 E 888 Cash collateral (Note 7) – – – – – – – – – – – 2,580 – – Amounts due from broker – – – – – – – – – – – – – – Financial assets at fair value through profit or loss: Investments 65,074 200,096 117,060 32,943 194,246 263,010 697,968 68,338 2,042 7,718 – 87,098 1,268 68,047 Options at fair value – – – – – – – – – – – – – – Swap contracts at fair value – – – – – – – – – – – 533 – – Swaptions at fair value – – – – – – – – – – – – – – Unrealised appreciation on forward foreign currency contracts – – – – – – – – – – – 516 – – Unrealised appreciation on future contracts – – – – – – – – – – – – – – Receivable for investments sold 451 – – – – 582 3,728 297 – – – – – – Receivable for redeemable participating shares sold 5 319 – – 664 5,211 2,376 70 – 251 – 16 – 21 Interest receivable 20 1 – – 1 4 9 1 – – – 13 – – Dividend receivable 114 375 223 39 156 86 237 24 1 8 – 2 3 191 Receivable from investment manager – – – – – – – – 5 – – – 2 – Other assets 5 7 6 2 6 11 13 – 18 24 2 23 10 137 Total Current Assets 70,212 210,392 118,894 32,984 205,472 288,118 721,566 70,668 2,084 9,069 11 136,867 1,397 69,284

CURRENT LIABILITIES: Cash overdraft – – – 231 – – – – – – – – – – Amounts due to broker – – – – – – – – – – – – – – Payable for investments purchased 1 – – – 1,268 856 30 – – – – 4 – – Financial liabilities at fair value through profit or loss: Investments – – – – – – – – – – – 166 – – Options at fair value 66 – – – – – – – – – – – – – Swap contracts at fair value – – – – – – – – – – – 188 – – Swaptions at fair value – – – – – – – – – – – – – – Unrealised depreciation on forward foreign currency contracts – – – – – – – – – – – 1,208 – – Unrealised depreciation on futures contracts – – – – – – – – – – – – – – Distributions payable to holders of redeemable participating shares – – 1 – – – – – – – – – – – Investment management fees payable (Note 3) 49 116 67 21 134 239 594 72 – 2 – 69 – 33 Performance fee payable (Note 3) – – – – – – – – – – – – – – Administrator and custodian fees payable (Note 3) 5 16 9 3 16 22 56 7 – 1 – 11 – 9 Shareholder service fees payable (Note 3) 1 31 6 2 24 74 178 26 – – – 23 – 3 Distribution fees payable 1 70 61 22 89 118 273 36 – – – 43 1 32 Payable for redeemable participating shares sold – 511 40 57 382 1,280 1,616 11 – – – 1,143 – 18 Interest payable – – – – – – – – – – – – – – Accrued expenses and other liabilities 41 58 43 25 49 80 117 11 8 12 11 33 44 24 Liabilities (excluding Net Assets attributable to Holders of Redeemable Participating Shares) 164 802 227 361 1,962 2,669 2,864 163 8 15 11 2,888 45 119

Total Net Assets Attributable to Holders of Redeemable Participating Shares at fair value $ 70,048 $ 209,590 $ 118,667 $ 32,623 $ 203,510 $ 285,449 $ 718,702 $ 70,505 E 2,076 $ 9,054 $ – $ 133,979 $ 1,352 E 69,165

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

186 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Capital Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Management ClearBridge ClearBridge Legg Mason ClearBridge Royce US Small Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Permal Legg Mason Batterymarch Opportunity US Appreciation US Fundamental ClearBridge US Large US Aggressive Cap Opportunity Smaller Companies Smaller Companies European Smaller Global Smaller Legg Mason PCM US Global Absolute GC Global Equity European Equity Fund as at Fund as at Value Fund as at Cap Growth Fund as Growth Fund as at Fund as at Fund as at Fund II^GG as at Companies Fund^ as Companies Fund as Equity Fund as at Fund as at Fund as at Fund as at August 31, 2011 August 31, 2011 August 31, 2011 at August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 at August 31, 2011 at August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) CURRENT ASSETS: Cash (Note 7) $ 4,543 $ 9,594 $ 1,605 $ – $ 10,399 $ 19,214 $ 17,235 $ 1,938 E 18 $ 1,068 $ 9 $ 46,086 $ 114 E 888 Cash collateral (Note 7) – – – – – – – – – – – 2,580 – – Amounts due from broker – – – – – – – – – – – – – – Financial assets at fair value through profit or loss: Investments 65,074 200,096 117,060 32,943 194,246 263,010 697,968 68,338 2,042 7,718 – 87,098 1,268 68,047 Options at fair value – – – – – – – – – – – – – – Swap contracts at fair value – – – – – – – – – – – 533 – – Swaptions at fair value – – – – – – – – – – – – – – Unrealised appreciation on forward foreign currency contracts – – – – – – – – – – – 516 – – Unrealised appreciation on future contracts – – – – – – – – – – – – – – Receivable for investments sold 451 – – – – 582 3,728 297 – – – – – – Receivable for redeemable participating shares sold 5 319 – – 664 5,211 2,376 70 – 251 – 16 – 21 Interest receivable 20 1 – – 1 4 9 1 – – – 13 – – Dividend receivable 114 375 223 39 156 86 237 24 1 8 – 2 3 191 Receivable from investment manager – – – – – – – – 5 – – – 2 – Other assets 5 7 6 2 6 11 13 – 18 24 2 23 10 137 Total Current Assets 70,212 210,392 118,894 32,984 205,472 288,118 721,566 70,668 2,084 9,069 11 136,867 1,397 69,284

CURRENT LIABILITIES: Cash overdraft – – – 231 – – – – – – – – – – Amounts due to broker – – – – – – – – – – – – – – Payable for investments purchased 1 – – – 1,268 856 30 – – – – 4 – – Financial liabilities at fair value through profit or loss: Investments – – – – – – – – – – – 166 – – Options at fair value 66 – – – – – – – – – – – – – Swap contracts at fair value – – – – – – – – – – – 188 – – Swaptions at fair value – – – – – – – – – – – – – – Unrealised depreciation on forward foreign currency contracts – – – – – – – – – – – 1,208 – – Unrealised depreciation on futures contracts – – – – – – – – – – – – – – Distributions payable to holders of redeemable participating shares – – 1 – – – – – – – – – – – Investment management fees payable (Note 3) 49 116 67 21 134 239 594 72 – 2 – 69 – 33 Performance fee payable (Note 3) – – – – – – – – – – – – – – Administrator and custodian fees payable (Note 3) 5 16 9 3 16 22 56 7 – 1 – 11 – 9 Shareholder service fees payable (Note 3) 1 31 6 2 24 74 178 26 – – – 23 – 3 Distribution fees payable 1 70 61 22 89 118 273 36 – – – 43 1 32 Payable for redeemable participating shares sold – 511 40 57 382 1,280 1,616 11 – – – 1,143 – 18 Interest payable – – – – – – – – – – – – – – Accrued expenses and other liabilities 41 58 43 25 49 80 117 11 8 12 11 33 44 24 Liabilities (excluding Net Assets attributable to Holders of Redeemable Participating Shares) 164 802 227 361 1,962 2,669 2,864 163 8 15 11 2,888 45 119

Total Net Assets Attributable to Holders of Redeemable Participating Shares at fair value $ 70,048 $ 209,590 $ 118,667 $ 32,623 $ 203,510 $ 285,449 $ 718,702 $ 70,505 E 2,076 $ 9,054 $ – $ 133,979 $ 1,352 E 69,165

The accompanying notes are an integral part of the Financial Statements

187 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch Asia Batterymarch 130/ Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Emerging Pacific Equity 30 Global Equity International Large Emerging Markets Global Equity Congruix Asia Congruix Japan Legg Mason LMHK Markets Select Legg Mason Global Fund as at Fund^ as at Cap Fund as at Equity Fund as at Fund as at Pacific Fund^ as at Equity Fund as at China Fund as at Equity Fund as at Funds Plc as at August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) CURRENT ASSETS: Cash (Note 7) $ 1,672 $ 44 $ 416 $ 521 $ 692 $ 35 ¥ 1,969 $ 129 $ 122 $ 273,077 Cash collateral (Note 7) – – – – – – – – – 40,580 Amounts due from broker – – – – – – – – – 916 Financial assets at fair value through profit or loss: Investments 124,517 – 13,220 23,928 18,877 – – 6,228 4,733 11,719,726 Options at fair value – – – – – – – – – 99 Swap contracts at fair value – – – – – – – – – 5,990 Swaptions at fair value – – – – – – – – – 2,317 Unrealised appreciation on forward foreign currency contracts – – – – – – – – – 14,463 Unrealised appreciation on future contracts – – – – – – – – – 1,714 Receivable for investments sold 2,401 – 12 153 – – – – 11 168,437 Receivable for redeemable participating shares sold 2 – 10 43 – – – – – 31,589 Interest receivable – – – – – – – – – 83,134 Dividend receivable 163 – 36 53 69 – – 2 11 2,596 Receivable from investment manager – – – – – – – – – 186 Other assets 7 1 35 5 2 3 515 – – 818 Total Current Assets 128,762 45 13,729 24,703 19,640 38 2,484 6,359 4,877 12,345,642

CURRENT LIABILITIES: Cash overdraft 1,221 – – – – – – – – 1,658 Amounts due to broker – – – – – – – – – 56 Payable for investments purchased 124 – 42 199 – – – – 32 173,596 Financial liabilities at fair value through profit or loss: Investments – – – – – – – – – 166 Options at fair value – – – – – – – – – 589 Swap contracts at fair value – – – – – – – – – 12,172 Swaptions at fair value – – – – – – – – – 2,275 Unrealised depreciation on forward foreign currency contracts – – – – – – – – – 29,004 Unrealised depreciation on futures contracts – – – – – – – – – 10,476 Distributions payable to holders of redeemable participating shares – – – – – – – – – 934 Investment management fees payable (Note 3) 108 – 10 19 11 – – – – 3,771 Performance fee payable (Note 3) – – – – – – – – – 3 Administrator and custodian fees payable (Note 3) 11 – 1 1 2 – – 1 1 965 Shareholder service fees payable (Note 3) 31 – 1 4 – – – – – 746 Distribution fees payable 72 – 10 13 10 – – – – 2,595 Payable for redeemable participating shares sold 1,904 – 10 17 – 9 – – – 39,277 Interest payable – – – – – – – – – 417 Accrued expenses and other liabilities 94 45 24 49 22 29 2,484 15 11 4,570 Liabilities (excluding Net Assets attributable to Holders of Redeemable Participating Shares) 3,565 45 98 302 45 38 2,484 16 44 283,270

Total Net Assets Attributable to Holders of Redeemable Participating Shares at fair value $ 125,197 $ – $ 13,631 $ 24,401 $ 19,595 $ – ¥ – $ 6,343 $ 4,833 $ 12,062,372

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

188 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch Asia Batterymarch 130/ Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Emerging Pacific Equity 30 Global Equity International Large Emerging Markets Global Equity Congruix Asia Congruix Japan Legg Mason LMHK Markets Select Legg Mason Global Fund as at Fund^ as at Cap Fund as at Equity Fund as at Fund as at Pacific Fund^ as at Equity Fund as at China Fund as at Equity Fund as at Funds Plc as at August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) CURRENT ASSETS: Cash (Note 7) $ 1,672 $ 44 $ 416 $ 521 $ 692 $ 35 ¥ 1,969 $ 129 $ 122 $ 273,077 Cash collateral (Note 7) – – – – – – – – – 40,580 Amounts due from broker – – – – – – – – – 916 Financial assets at fair value through profit or loss: Investments 124,517 – 13,220 23,928 18,877 – – 6,228 4,733 11,719,726 Options at fair value – – – – – – – – – 99 Swap contracts at fair value – – – – – – – – – 5,990 Swaptions at fair value – – – – – – – – – 2,317 Unrealised appreciation on forward foreign currency contracts – – – – – – – – – 14,463 Unrealised appreciation on future contracts – – – – – – – – – 1,714 Receivable for investments sold 2,401 – 12 153 – – – – 11 168,437 Receivable for redeemable participating shares sold 2 – 10 43 – – – – – 31,589 Interest receivable – – – – – – – – – 83,134 Dividend receivable 163 – 36 53 69 – – 2 11 2,596 Receivable from investment manager – – – – – – – – – 186 Other assets 7 1 35 5 2 3 515 – – 818 Total Current Assets 128,762 45 13,729 24,703 19,640 38 2,484 6,359 4,877 12,345,642

CURRENT LIABILITIES: Cash overdraft 1,221 – – – – – – – – 1,658 Amounts due to broker – – – – – – – – – 56 Payable for investments purchased 124 – 42 199 – – – – 32 173,596 Financial liabilities at fair value through profit or loss: Investments – – – – – – – – – 166 Options at fair value – – – – – – – – – 589 Swap contracts at fair value – – – – – – – – – 12,172 Swaptions at fair value – – – – – – – – – 2,275 Unrealised depreciation on forward foreign currency contracts – – – – – – – – – 29,004 Unrealised depreciation on futures contracts – – – – – – – – – 10,476 Distributions payable to holders of redeemable participating shares – – – – – – – – – 934 Investment management fees payable (Note 3) 108 – 10 19 11 – – – – 3,771 Performance fee payable (Note 3) – – – – – – – – – 3 Administrator and custodian fees payable (Note 3) 11 – 1 1 2 – – 1 1 965 Shareholder service fees payable (Note 3) 31 – 1 4 – – – – – 746 Distribution fees payable 72 – 10 13 10 – – – – 2,595 Payable for redeemable participating shares sold 1,904 – 10 17 – 9 – – – 39,277 Interest payable – – – – – – – – – 417 Accrued expenses and other liabilities 94 45 24 49 22 29 2,484 15 11 4,570 Liabilities (excluding Net Assets attributable to Holders of Redeemable Participating Shares) 3,565 45 98 302 45 38 2,484 16 44 283,270

Total Net Assets Attributable to Holders of Redeemable Participating Shares at fair value $ 125,197 $ – $ 13,631 $ 24,401 $ 19,595 $ – ¥ – $ 6,343 $ 4,833 $ 12,062,372

The accompanying notes are an integral part of the Financial Statements

189 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Western Asset Legg Mason Legg Mason Western Asset Western Asset Western Asset Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Global Multi Western Asset Western Asset Legg Mason Western US Short-Term Legg Mason Western Inflation Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Strategic Income Strategy Fund as US High Yield Emerging Markets Asset Global High Government Asset US Adjustable Management Opportunities Global Blue Chip Fund as at Fund as at Bond Fund as at Bond Fund as at Fund as at at Fund as at Bond Fund as at Yield Fund as at Fund as at Rate Fund as at Fund as at Fund as at Bond Fund as at February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) CURRENT ASSETS: Cash (Note 7) $ – $ 406 $ 858 E 2,940 $ 1,688 $ 45,993 $ 2,674 $ 1,426 $ 1,726 $ 504 $ 420 $ 1,519 $ 27,547 $ 2,934 Cash collateral (Note 7) – – 133 524 704 2,831 – – – – 105 – 4,034 984 Amounts due from broker – – – – – 272 – – – 82 – – – – Financial assets at fair value through profit or loss: Investments 4,223,205 28,351 249,005 87,305 49,959 1,645,458 559,834 177,032 471,934 50,145 30,060 8,603 474,471 221,502 Options at fair value – – 4 – – – – – – – – 2 – – Swap contracts at fair value – 4 68 18 8 288 – – – – – – 2,694 – Unrealised appreciation on forward foreign currency contracts – – 12 160 490 8,262 16 167 37 – – – 1,569 1,000 Unrealised appreciation on future contracts – 60 250 23 18 2,075 30 81 91 7 21 1 – 279 Receivable for investments sold – 2,776 23,241 – 847 28,367 726 1,489 11,924 1,165 – – 4,509 – Receivable for redeemable participating shares sold 176,028 3 210 – 50 2,280 830 49 915 – – 169 30,529 219 Interest receivable 3,071 163 1,223 1,619 471 19,633 10,835 3,499 9,083 120 19 23 6,241 2,181 Dividend receivable – – – – – – – – – – – – – – Receivable from investment manager – – – – – – – – – – – 2 – – Other assets 376 2 16 19 3 141 48 19 40 2 2 – 51 20 Total Current Assets 4,402,680 31,765 275,020 92,608 54,238 1,755,600 574,993 183,762 495,750 52,025 30,627 10,319 551,645 229,119

CURRENT LIABILITIES: Cash overdraft – – – – – – – – 11,349 – – – – – Amounts due to broker – 30 105 – – – 7 66 20 – 16 – – – Payable for investments purchased – 9,516 79,521 – 2,570 3,171 1,346 245 1,192 4,292 – – – – Financial liabilities at fair value through profit or loss: Options at fair value – 1 14 – – – – – – – – 1 722 – Swap contracts at fair value – 5 41 99 63 1,958 – 67 – – – – 5,352 308 Swaptions at fair value – – – – – – – – – – – – – – Unrealised depreciation on forward foreign currency contracts – – 24 161 462 2,830 7 11 208 – – 1 1,082 723 Unrealised depreciation on futures contracts – 29 154 66 104 363 24 – 76 98 – – 121 9 Distributions payable to holders of redeemable participating shares 1 8 7 4 25 262 255 83 98 9 – – 74 – Investment management fees payable (Note 3) 143 7 45 23 25 469 73 126 255 20 14 – 191 61 Performance fees payable (Note 3) – – – – – – – – – – – – – – Administrator and custodian fees payable (Note 3) 306 1 14 6 4 117 40 12 35 3 2 1 37 16 Shareholder service fees payable (Note 3) – 2 2 1 3 78 8 15 32 2 1 – 32 4 Distribution fees payable 326 11 16 8 28 335 49 70 154 25 15 5 135 17 Payable for redeemable participating shares sold 139,668 – 71 18 120 2,163 421 2,910 3,219 78 – – 4,238 2,251 Interest payable – – – – – – – – – – – – – – Accrued expenses and other liabilities 1,151 69 58 44 95 444 121 129 152 60 57 58 207 89 Liabilities (excluding Net Assets attributable to Holders of Redeemable Participating Shares) 141,595 9,679 80,072 430 3,499 12,190 2,351 3,734 16,790 4,587 105 66 12,191 3,478

Total Net Assets Attributable to Holders of Redeemable Participating Shares at fair value $ 4,261,085 $ 22,086 $ 194,948 E 92,178 $ 50,739 $ 1,743,410 $ 572,642 $ 180,028 $ 478,960 $ 47,438 $ 30,522 $ 10,253 $ 539,454 $ 225,641

Amounts designated as "-" are either $0/E0/¥0/£0 or less than $1,000/E1,000/¥1,000/£1,000. The Euro figures for Legg Mason Western Asset Euro Core Plus Bond Fund, Legg Mason Western Asset Euro High Yield Fund^, Legg Mason Royce European Smaller Companies Fund^ and Legg Mason Batterymarch European Equity Fund have been converted into US Dollars in the total figure for Legg Mason Global Funds Plc for the year ended February 28, 2011, using the USD/EUR rate of 0.7246. The Yen figures for the Legg Mason Congruix Japan Equity Fund have been converted into US Dollars in the total figure for the Legg Mason Global Funds Plc for the year ended February 28, 2011 using the USD/JPY rate of 81.8331. The Sterling figures for Legg Mason Western Asset UK£ Core Plus Bond Fund^, Legg Mason Western Asset UK£ Inflation-Linked Plus Fund^ and Legg Mason Western Asset UK£ Long Duration Fund^ have been converted into US Dollars in the total figure for Legg Mason Global Funds Plc as at February 28, 2011, using the USD/GBP rate of 0.6152. 6 Effective January 20, 2010, the Fund ceased trading. G Effective March 25, 2010, the Fund commenced trading. I Effective May 20, 2010, the Fund commenced trading. V Effective June 25, 2010, the Fund commenced trading. ‡ Effective August 2, 2010, the Fund commenced trading. ? Effective August 24, 2010, the Fund ceased trading. o¨ Effective October 1, 2010, the Fund commenced trading. ± Effective November 19, 2010, the Fund commenced trading. Y´ Effective November 30, 2010, the Fund ceased trading. µ Effective December 3, 2010, the Fund commenced trading. =/ Effective December 29, 2010, the Fund commenced trading. Þ Effective February 28, 2011, the Fund ceased trading. ^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

190 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Western Asset Legg Mason Legg Mason Western Asset Western Asset Western Asset Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Global Multi Western Asset Western Asset Legg Mason Western US Short-Term Legg Mason Western Inflation Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Strategic Income Strategy Fund as US High Yield Emerging Markets Asset Global High Government Asset US Adjustable Management Opportunities Global Blue Chip Fund as at Fund as at Bond Fund as at Bond Fund as at Fund as at at Fund as at Bond Fund as at Yield Fund as at Fund as at Rate Fund as at Fund as at Fund as at Bond Fund as at February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) CURRENT ASSETS: Cash (Note 7) $ – $ 406 $ 858 E 2,940 $ 1,688 $ 45,993 $ 2,674 $ 1,426 $ 1,726 $ 504 $ 420 $ 1,519 $ 27,547 $ 2,934 Cash collateral (Note 7) – – 133 524 704 2,831 – – – – 105 – 4,034 984 Amounts due from broker – – – – – 272 – – – 82 – – – – Financial assets at fair value through profit or loss: Investments 4,223,205 28,351 249,005 87,305 49,959 1,645,458 559,834 177,032 471,934 50,145 30,060 8,603 474,471 221,502 Options at fair value – – 4 – – – – – – – – 2 – – Swap contracts at fair value – 4 68 18 8 288 – – – – – – 2,694 – Unrealised appreciation on forward foreign currency contracts – – 12 160 490 8,262 16 167 37 – – – 1,569 1,000 Unrealised appreciation on future contracts – 60 250 23 18 2,075 30 81 91 7 21 1 – 279 Receivable for investments sold – 2,776 23,241 – 847 28,367 726 1,489 11,924 1,165 – – 4,509 – Receivable for redeemable participating shares sold 176,028 3 210 – 50 2,280 830 49 915 – – 169 30,529 219 Interest receivable 3,071 163 1,223 1,619 471 19,633 10,835 3,499 9,083 120 19 23 6,241 2,181 Dividend receivable – – – – – – – – – – – – – – Receivable from investment manager – – – – – – – – – – – 2 – – Other assets 376 2 16 19 3 141 48 19 40 2 2 – 51 20 Total Current Assets 4,402,680 31,765 275,020 92,608 54,238 1,755,600 574,993 183,762 495,750 52,025 30,627 10,319 551,645 229,119

CURRENT LIABILITIES: Cash overdraft – – – – – – – – 11,349 – – – – – Amounts due to broker – 30 105 – – – 7 66 20 – 16 – – – Payable for investments purchased – 9,516 79,521 – 2,570 3,171 1,346 245 1,192 4,292 – – – – Financial liabilities at fair value through profit or loss: Options at fair value – 1 14 – – – – – – – – 1 722 – Swap contracts at fair value – 5 41 99 63 1,958 – 67 – – – – 5,352 308 Swaptions at fair value – – – – – – – – – – – – – – Unrealised depreciation on forward foreign currency contracts – – 24 161 462 2,830 7 11 208 – – 1 1,082 723 Unrealised depreciation on futures contracts – 29 154 66 104 363 24 – 76 98 – – 121 9 Distributions payable to holders of redeemable participating shares 1 8 7 4 25 262 255 83 98 9 – – 74 – Investment management fees payable (Note 3) 143 7 45 23 25 469 73 126 255 20 14 – 191 61 Performance fees payable (Note 3) – – – – – – – – – – – – – – Administrator and custodian fees payable (Note 3) 306 1 14 6 4 117 40 12 35 3 2 1 37 16 Shareholder service fees payable (Note 3) – 2 2 1 3 78 8 15 32 2 1 – 32 4 Distribution fees payable 326 11 16 8 28 335 49 70 154 25 15 5 135 17 Payable for redeemable participating shares sold 139,668 – 71 18 120 2,163 421 2,910 3,219 78 – – 4,238 2,251 Interest payable – – – – – – – – – – – – – – Accrued expenses and other liabilities 1,151 69 58 44 95 444 121 129 152 60 57 58 207 89 Liabilities (excluding Net Assets attributable to Holders of Redeemable Participating Shares) 141,595 9,679 80,072 430 3,499 12,190 2,351 3,734 16,790 4,587 105 66 12,191 3,478

Total Net Assets Attributable to Holders of Redeemable Participating Shares at fair value $ 4,261,085 $ 22,086 $ 194,948 E 92,178 $ 50,739 $ 1,743,410 $ 572,642 $ 180,028 $ 478,960 $ 47,438 $ 30,522 $ 10,253 $ 539,454 $ 225,641

Amounts designated as "-" are either $0/E0/¥0/£0 or less than $1,000/E1,000/¥1,000/£1,000. The Euro figures for Legg Mason Western Asset Euro Core Plus Bond Fund, Legg Mason Western Asset Euro High Yield Fund^, Legg Mason Royce European Smaller Companies Fund^ and Legg Mason Batterymarch European Equity Fund have been converted into US Dollars in the total figure for Legg Mason Global Funds Plc for the year ended February 28, 2011, using the USD/EUR rate of 0.7246. The Yen figures for the Legg Mason Congruix Japan Equity Fund have been converted into US Dollars in the total figure for the Legg Mason Global Funds Plc for the year ended February 28, 2011 using the USD/JPY rate of 81.8331. The Sterling figures for Legg Mason Western Asset UK£ Core Plus Bond Fund^, Legg Mason Western Asset UK£ Inflation-Linked Plus Fund^ and Legg Mason Western Asset UK£ Long Duration Fund^ have been converted into US Dollars in the total figure for Legg Mason Global Funds Plc as at February 28, 2011, using the USD/GBP rate of 0.6152. 6 Effective January 20, 2010, the Fund ceased trading. G Effective March 25, 2010, the Fund commenced trading. I Effective May 20, 2010, the Fund commenced trading. V Effective June 25, 2010, the Fund commenced trading. ‡ Effective August 2, 2010, the Fund commenced trading. ? Effective August 24, 2010, the Fund ceased trading. o¨ Effective October 1, 2010, the Fund commenced trading. ± Effective November 19, 2010, the Fund commenced trading. Y´ Effective November 30, 2010, the Fund ceased trading. µ Effective December 3, 2010, the Fund commenced trading. =/ Effective December 29, 2010, the Fund commenced trading. Þ Effective February 28, 2011, the Fund ceased trading.

The accompanying notes are an integral part of the Financial Statements

191 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Western Asset Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Global Credit Legg Mason Western Legg Mason Western Global Inflation- UK£ Inflation- Western Asset UK£ Western Asset Legg Mason Western Brandywine Global Brandywine Global Western Asset Capital Capital Brazil Bond Absolute Return Asset UK£ Core Plus Asset Global Core Linked Fund± as Linked Plus Long Duration Global Credit Asset Euro High Yield Fixed Income Opportunistic Fixed Brazil Equity Management Management Fund^GG as at Fund^I as at Bond Fund^± as at Plus Bond Fund^µ as at Fund^± as at Fund^± as at Fund± as at Fund^µ as at Fund as at Income Fund^V as at Fund^o¨as at Value Fund as at Growth Fund as at February 28, 2011 February 28, 2011 February 28, 2011 at February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) CURRENT ASSETS: Cash (Note 7) $ 13 $ 14,843 £ 2,843 $ 4,352 $ 6,587 £ 475 £ 6,111 $ 1,916 E 106 $ 27,890 $ 185 $ 73 $ 17,584 $ 1,262 Cash collateral (Note 7) – 2,381 46 1,034 224 67 78 782 – – – – – – Amounts due from broker – 38 36 – 46 18 – – – – – – – – Financial assets at fair value through profit or loss: Investments 10,880 138,770 77,291 90,272 83,591 31,573 69,633 97,272 76,099 411,863 4,561 4,786 524,992 56,138 Options at fair value – – – – 1 1 – – – – – – – – Swap contracts at fair value – 3,434 14 – – – 8 25 61 – – – – – Unrealised appreciation on forward foreign currency contracts – 411 112 1,335 579 65 98 195 31 7,753 43 – – – Unrealised appreciation on future contracts – 147 15 229 – – 11 240 – – – – – – Receivable for investments sold – 218,837 – 5,856 – – – 37 1,902 – 89 3 – 4,733 Receivable for redeemable participating shares sold – 1,136 – – – – – – – 59 – – 1,042 133 Interest receivable 131 404 1,378 1,206 471 110 1,227 1,596 1,250 5,590 76 – 1 – Dividend receivable – – – – – – – – – – – 8 727 57 Receivable from investment manager – – 10 – – 11 10 – 14 – 2 – – – Other assets 1 22 11 10 7 1 8 7 5 39 – – 48 3 Total Current Assets 11,025 380,423 81,756 104,294 91,506 32,321 77,184 102,070 79,468 453,194 4,956 4,870 544,394 62,326

CURRENT LIABILITIES: Cash overdraft – – 13 4 – – – – 4,111 869 – – – – Amounts due to broker – – – 78 – – 1 189 – – – – – – Payable for investments purchased – 221,446 733 11,679 – – 309 657 1,000 2,327 – 3 4,579 3,889 Financial liabilities at fair value through profit or loss: Options at fair value – – – 472 6 2 – – – – – – – – Swap contracts at fair value – 3,268 62 – – – 29 54 159 – – – – – Swaptions at fair value – 2,965 – 15 – – – 18 – – – – – – Unrealised depreciation on forward foreign currency contracts – 336 72 527 358 54 60 349 360 4,456 31 – – – Unrealised depreciation on futures contracts – 205 54 146 127 40 – 37 – – – – – – Distributions payable to holders of redeemable participating shares – – – – – – – – – – – – – – Investment management fees payable (Note 3) 2 86 – 11 13 – – – – 177 – – 330 31 Performance fees payable (Note 3) – 25 – – – – – – – – – – – – Administrator and custodian fees payable (Note 3) 1 10 6 6 6 2 6 7 5 28 – – 29 4 Shareholder service fees payable (Note 3) – 2 – – – – – – – 43 – – 108 4 Distribution fees payable – 6 – – – – – – – 148 2 – 161 6 Payable for redeemable participating shares sold – 39 – 88 – – – – – 1,861 – – 1,150 68 Interest payable – 722 – – – – – – – – – – – – Accrued expenses and other liabilities 19 45 23 61 46 20 24 49 29 259 32 21 241 43 Liabilities (excluding Net Assets attributable to Holders of Redeemable Participating Shares) 22 229,155 963 13,087 556 118 429 1,360 5,664 10,168 65 24 6,598 4,045

Total Net Assets Attributable to Holders of Redeemable Participating Shares at fair value $ 11,003 $ 151,268 £ 80,793 $ 91,207 $ 90,950 £ 32,203 £ 76,755 $ 100,710 E 73,804 $ 443,026 $ 4,891 $ 4,846 $ 537,796 $ 58,281

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

192 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Western Asset Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Global Credit Legg Mason Western Legg Mason Western Global Inflation- UK£ Inflation- Western Asset UK£ Western Asset Legg Mason Western Brandywine Global Brandywine Global Western Asset Capital Capital Brazil Bond Absolute Return Asset UK£ Core Plus Asset Global Core Linked Fund± as Linked Plus Long Duration Global Credit Asset Euro High Yield Fixed Income Opportunistic Fixed Brazil Equity Management Management Fund^GG as at Fund^I as at Bond Fund^± as at Plus Bond Fund^µ as at Fund^± as at Fund^± as at Fund± as at Fund^µ as at Fund as at Income Fund^V as at Fund^o¨as at Value Fund as at Growth Fund as at February 28, 2011 February 28, 2011 February 28, 2011 at February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) CURRENT ASSETS: Cash (Note 7) $ 13 $ 14,843 £ 2,843 $ 4,352 $ 6,587 £ 475 £ 6,111 $ 1,916 E 106 $ 27,890 $ 185 $ 73 $ 17,584 $ 1,262 Cash collateral (Note 7) – 2,381 46 1,034 224 67 78 782 – – – – – – Amounts due from broker – 38 36 – 46 18 – – – – – – – – Financial assets at fair value through profit or loss: Investments 10,880 138,770 77,291 90,272 83,591 31,573 69,633 97,272 76,099 411,863 4,561 4,786 524,992 56,138 Options at fair value – – – – 1 1 – – – – – – – – Swap contracts at fair value – 3,434 14 – – – 8 25 61 – – – – – Unrealised appreciation on forward foreign currency contracts – 411 112 1,335 579 65 98 195 31 7,753 43 – – – Unrealised appreciation on future contracts – 147 15 229 – – 11 240 – – – – – – Receivable for investments sold – 218,837 – 5,856 – – – 37 1,902 – 89 3 – 4,733 Receivable for redeemable participating shares sold – 1,136 – – – – – – – 59 – – 1,042 133 Interest receivable 131 404 1,378 1,206 471 110 1,227 1,596 1,250 5,590 76 – 1 – Dividend receivable – – – – – – – – – – – 8 727 57 Receivable from investment manager – – 10 – – 11 10 – 14 – 2 – – – Other assets 1 22 11 10 7 1 8 7 5 39 – – 48 3 Total Current Assets 11,025 380,423 81,756 104,294 91,506 32,321 77,184 102,070 79,468 453,194 4,956 4,870 544,394 62,326

CURRENT LIABILITIES: Cash overdraft – – 13 4 – – – – 4,111 869 – – – – Amounts due to broker – – – 78 – – 1 189 – – – – – – Payable for investments purchased – 221,446 733 11,679 – – 309 657 1,000 2,327 – 3 4,579 3,889 Financial liabilities at fair value through profit or loss: Options at fair value – – – 472 6 2 – – – – – – – – Swap contracts at fair value – 3,268 62 – – – 29 54 159 – – – – – Swaptions at fair value – 2,965 – 15 – – – 18 – – – – – – Unrealised depreciation on forward foreign currency contracts – 336 72 527 358 54 60 349 360 4,456 31 – – – Unrealised depreciation on futures contracts – 205 54 146 127 40 – 37 – – – – – – Distributions payable to holders of redeemable participating shares – – – – – – – – – – – – – – Investment management fees payable (Note 3) 2 86 – 11 13 – – – – 177 – – 330 31 Performance fees payable (Note 3) – 25 – – – – – – – – – – – – Administrator and custodian fees payable (Note 3) 1 10 6 6 6 2 6 7 5 28 – – 29 4 Shareholder service fees payable (Note 3) – 2 – – – – – – – 43 – – 108 4 Distribution fees payable – 6 – – – – – – – 148 2 – 161 6 Payable for redeemable participating shares sold – 39 – 88 – – – – – 1,861 – – 1,150 68 Interest payable – 722 – – – – – – – – – – – – Accrued expenses and other liabilities 19 45 23 61 46 20 24 49 29 259 32 21 241 43 Liabilities (excluding Net Assets attributable to Holders of Redeemable Participating Shares) 22 229,155 963 13,087 556 118 429 1,360 5,664 10,168 65 24 6,598 4,045

Total Net Assets Attributable to Holders of Redeemable Participating Shares at fair value $ 11,003 $ 151,268 £ 80,793 $ 91,207 $ 90,950 £ 32,203 £ 76,755 $ 100,710 E 73,804 $ 443,026 $ 4,891 $ 4,846 $ 537,796 $ 58,281

The accompanying notes are an integral part of the Financial Statements

193 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Capital Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Royce Legg Mason Legg Mason Management ClearBridge ClearBridge Legg Mason ClearBridge Royce US Small Legg Mason Royce European Smaller Legg Mason Royce Legg Mason PCM Legg Mason Permal Legg Mason Batterymarch Batterymarch Asia Opportunity US Appreciation US Fundamental ClearBridge US Large US Aggressive Cap Opportunity Smaller Companies Companies Global Smaller US Equity Global Absolute GC Global Equity European Equity Pacific Equity Fund as at Fund as at Value Fund as at Cap Growth Fund as Growth Fund as at Fund as at Fund as at Fund^ as at Companies Fund as Fund? as at Fund as at Fund as at Fund as at Fund as at February 28, 2011 February 28, 2011 February 28, 2011 at February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 at February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) CURRENT ASSETS: Cash (Note 7) $ 4,943 $ 16,556 $ 3,017 $ 98 $ 28,618 $ 31,101 $ 34,320 E 133 $ 266 $ 23 $ 38,670 $ 64 E 398 $ 1,741 Cash collateral (Note 7) – – – – – – – – – – 1,580 – – – Amounts due from broker – – – – – – – – – – – – – – Financial assets at fair value through profit or loss: Investments 114,725 184,870 148,570 40,289 164,681 301,682 377,165 2,223 7,924 – 60,127 1,441 86,607 152,628 Options at fair value – – – – – – – – – – – – – – Swap contracts at fair value – – – – – – – – – – 203 – – – Unrealised appreciation on forward foreign currency contracts – – – – – – – – – – 1,646 – – – Unrealised appreciation on future contracts – – – – – – – – – – – – – – Receivable for investments sold 564 – – 483 – 2,966 – – 9 – – – 946 614 Receivable for redeemable participating shares sold 335 811 24 4,500 1,596 13,279 7,208 – 4 – 4,881 26 21 130 Interest receivable 21 1 – – 1 – 1 – – – 57 – – – Dividend receivable 39 314 279 22 68 88 91 – 3 – 99 2 159 247 Receivable from investment manager – – – – – – – – – – – 5 – – Other assets 10 18 17 3 17 27 28 6 6 1 17 9 61 19 Total Current Assets 120,637 202,570 151,907 45,395 194,981 349,143 418,813 2,362 8,212 24 107,280 1,547 88,192 155,379

CURRENT LIABILITIES: Cash overdraft – – – – – – – 5 6 – – – – 821 Amounts due to broker – – – – – – – – – – – – – – Payable for investments purchased 1,335 332 – 408 2,395 1,858 2,184 17 68 – 194 – 454 669 Financial liabilities at fair value through profit or loss: Options at fair value 197 – – – – – – – – – – – – – Swap contracts at fair value 116 – – – – – – – – – – – – – Swaptions at fair value – – – – – – – – – – – – – – Unrealised depreciation on forward foreign currency contracts 454 – – – – – – – – – 878 – – – Unrealised depreciation on futures contracts – – – – – – – – – – – – – – Distributions payable to holders of redeemable participating shares – – – – – – – – – – – – – – Investment management fees payable (Note 3) 77 97 79 24 113 239 285 – 3 – 52 – 38 118 Performance fees payable (Note 3) – – – – – – – – – – – – – – Administrator and custodian fees payable (Note 3) 9 14 11 3 13 22 27 – 1 – 7 – 10 12 Shareholder service fees payable (Note 3) 5 27 8 3 18 80 87 – 1 – 15 – 2 35 Distribution fees payable 8 56 74 23 77 123 143 – 2 – 30 1 38 80 Payable for redeemable participating shares sold 1,983 132 146 197 59 3,702 14,522 – – – 83 – 55 551 Interest payable – – – – – – – – – – – – – – Accrued expenses and other liabilities 56 70 61 44 62 83 90 12 22 24 45 60 35 619 Liabilities (excluding Net Assets attributable to Holders of Redeemable Participating Shares) 4,240 728 379 702 2,737 6,107 17,338 34 103 24 1,304 61 632 2,905

Total Net Assets Attributable to Holders of Redeemable Participating Shares at fair value $ 116,397 $ 201,842 $ 151,528 $ 44,693 $ 192,244 $ 343,036 $ 401,475 E 2,328 $ 8,109 $ – $ 105,976 $ 1,486 E 87,560 $ 152,474

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

194 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Capital Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Royce Legg Mason Legg Mason Management ClearBridge ClearBridge Legg Mason ClearBridge Royce US Small Legg Mason Royce European Smaller Legg Mason Royce Legg Mason PCM Legg Mason Permal Legg Mason Batterymarch Batterymarch Asia Opportunity US Appreciation US Fundamental ClearBridge US Large US Aggressive Cap Opportunity Smaller Companies Companies Global Smaller US Equity Global Absolute GC Global Equity European Equity Pacific Equity Fund as at Fund as at Value Fund as at Cap Growth Fund as Growth Fund as at Fund as at Fund as at Fund^ as at Companies Fund as Fund? as at Fund as at Fund as at Fund as at Fund as at February 28, 2011 February 28, 2011 February 28, 2011 at February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 at February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) CURRENT ASSETS: Cash (Note 7) $ 4,943 $ 16,556 $ 3,017 $ 98 $ 28,618 $ 31,101 $ 34,320 E 133 $ 266 $ 23 $ 38,670 $ 64 E 398 $ 1,741 Cash collateral (Note 7) – – – – – – – – – – 1,580 – – – Amounts due from broker – – – – – – – – – – – – – – Financial assets at fair value through profit or loss: Investments 114,725 184,870 148,570 40,289 164,681 301,682 377,165 2,223 7,924 – 60,127 1,441 86,607 152,628 Options at fair value – – – – – – – – – – – – – – Swap contracts at fair value – – – – – – – – – – 203 – – – Unrealised appreciation on forward foreign currency contracts – – – – – – – – – – 1,646 – – – Unrealised appreciation on future contracts – – – – – – – – – – – – – – Receivable for investments sold 564 – – 483 – 2,966 – – 9 – – – 946 614 Receivable for redeemable participating shares sold 335 811 24 4,500 1,596 13,279 7,208 – 4 – 4,881 26 21 130 Interest receivable 21 1 – – 1 – 1 – – – 57 – – – Dividend receivable 39 314 279 22 68 88 91 – 3 – 99 2 159 247 Receivable from investment manager – – – – – – – – – – – 5 – – Other assets 10 18 17 3 17 27 28 6 6 1 17 9 61 19 Total Current Assets 120,637 202,570 151,907 45,395 194,981 349,143 418,813 2,362 8,212 24 107,280 1,547 88,192 155,379

CURRENT LIABILITIES: Cash overdraft – – – – – – – 5 6 – – – – 821 Amounts due to broker – – – – – – – – – – – – – – Payable for investments purchased 1,335 332 – 408 2,395 1,858 2,184 17 68 – 194 – 454 669 Financial liabilities at fair value through profit or loss: Options at fair value 197 – – – – – – – – – – – – – Swap contracts at fair value 116 – – – – – – – – – – – – – Swaptions at fair value – – – – – – – – – – – – – – Unrealised depreciation on forward foreign currency contracts 454 – – – – – – – – – 878 – – – Unrealised depreciation on futures contracts – – – – – – – – – – – – – – Distributions payable to holders of redeemable participating shares – – – – – – – – – – – – – – Investment management fees payable (Note 3) 77 97 79 24 113 239 285 – 3 – 52 – 38 118 Performance fees payable (Note 3) – – – – – – – – – – – – – – Administrator and custodian fees payable (Note 3) 9 14 11 3 13 22 27 – 1 – 7 – 10 12 Shareholder service fees payable (Note 3) 5 27 8 3 18 80 87 – 1 – 15 – 2 35 Distribution fees payable 8 56 74 23 77 123 143 – 2 – 30 1 38 80 Payable for redeemable participating shares sold 1,983 132 146 197 59 3,702 14,522 – – – 83 – 55 551 Interest payable – – – – – – – – – – – – – – Accrued expenses and other liabilities 56 70 61 44 62 83 90 12 22 24 45 60 35 619 Liabilities (excluding Net Assets attributable to Holders of Redeemable Participating Shares) 4,240 728 379 702 2,737 6,107 17,338 34 103 24 1,304 61 632 2,905

Total Net Assets Attributable to Holders of Redeemable Participating Shares at fair value $ 116,397 $ 201,842 $ 151,528 $ 44,693 $ 192,244 $ 343,036 $ 401,475 E 2,328 $ 8,109 $ – $ 105,976 $ 1,486 E 87,560 $ 152,474

The accompanying notes are an integral part of the Financial Statements

195 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch 130/ Batterymarch Batterymarch Batterymarch Congruix Asia Legg Mason Esemplia Emerging 30 Global Equity International Large Emerging Markets Global Equity Pacific Fund^Þ as Congruix Japan Legg Mason LMHK Markets Select Legg Mason Global Fund^6 as at Cap Fund as at Equity Fund as at Fund=/ as at at Equity FundY´ as at China Fund as at Equity Fund‡ as at Funds Plc as at February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) CURRENT ASSETS: Cash (Note 7) $ 44 $ 97 $ 504 $ 88 $ – ¥ 3,198 $ 32 $ 47 $ 342,932 Cash collateral (Note 7) – – – – – – – – 15,816 Amounts due from broker – – – – – – – – 535 Financial assets at fair value through profit or loss: Investments – 16,169 66,516 5,159 – – 6,244 5,328 11,757,844 Options at fair value – – – – – – – – 9 Swap contracts at fair value – – – – – – – – 6,869 Unrealised appreciation on forward foreign currency contracts – – – – – – – – 24,226 Unrealised appreciation on future contracts – – – – – – – – 3,603 Receivable for investments sold – – 486 72 – – – – 313,723 Receivable for redeemable participating shares sold – – 5 – – – – – 246,480 Interest receivable – – – – – – – – 74,491 Dividend receivable – 31 173 5 183 – – 5 2,660 Receivable from investment manager – – – – – – – – 79 Other assets 3 28 15 – – 127 – – 1,234 Total Current Assets 47 16,325 67,699 5,324 183 3,325 6,276 5,380 12,790,501

CURRENT LIABILITIES: Cash overdraft – – 64 – 123 – – – 18,937 Amounts due to broker – – – – – – – – 513 Payable for investments purchased – 71 468 136 – – – 38 360,313 Financial liabilities at fair value through profit or loss: Options at fair value – – – – – – – – 1,416 Swap contracts at fair value – – – – – – – – 11,736 Swaptions at fair value – – – – – – – – 2,998 Unrealised depreciation on forward foreign currency contracts – – – – – – – – 13,758 Unrealised depreciation on futures contracts – – – – – – – – 1,737 Distributions payable to holders of redeemable participating shares – – – – – – – – 828 Investment management fees payable (Note 3) – 11 60 – – – – – 3,321 Performance fees payable (Note 3) – – – – – – – – 25 Administrator and custodian fees payable (Note 3) – 1 5 1 9 – 1 – 867 Shareholder service fees payable (Note 3) – 1 16 – – – – – 636 Distribution fees payable – 11 31 – – – – – 2,231 Payable for redeemable participating shares sold – 4 27 – – – – – 179,852 Interest payable – – – – – – – – 722 Accrued expenses and other liabilities 47 43 259 28 51 3,325 23 22 5,530 Liabilities (excluding Net Assets attributable to Holders of Redeemable Participating Shares) 47 142 930 165 183 3,325 24 60 605,420

Total Net Assets Attributable to Holders of Redeemable Participating Shares at fair value $ – $ 16,183 $ 66,769 $ 5,159 $ – ¥ – $ 6,252 $ 5,320 $ 12,185,081

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

196 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch 130/ Batterymarch Batterymarch Batterymarch Congruix Asia Legg Mason Esemplia Emerging 30 Global Equity International Large Emerging Markets Global Equity Pacific Fund^Þ as Congruix Japan Legg Mason LMHK Markets Select Legg Mason Global Fund^6 as at Cap Fund as at Equity Fund as at Fund=/ as at at Equity FundY´ as at China Fund as at Equity Fund‡ as at Funds Plc as at February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) CURRENT ASSETS: Cash (Note 7) $ 44 $ 97 $ 504 $ 88 $ – ¥ 3,198 $ 32 $ 47 $ 342,932 Cash collateral (Note 7) – – – – – – – – 15,816 Amounts due from broker – – – – – – – – 535 Financial assets at fair value through profit or loss: Investments – 16,169 66,516 5,159 – – 6,244 5,328 11,757,844 Options at fair value – – – – – – – – 9 Swap contracts at fair value – – – – – – – – 6,869 Unrealised appreciation on forward foreign currency contracts – – – – – – – – 24,226 Unrealised appreciation on future contracts – – – – – – – – 3,603 Receivable for investments sold – – 486 72 – – – – 313,723 Receivable for redeemable participating shares sold – – 5 – – – – – 246,480 Interest receivable – – – – – – – – 74,491 Dividend receivable – 31 173 5 183 – – 5 2,660 Receivable from investment manager – – – – – – – – 79 Other assets 3 28 15 – – 127 – – 1,234 Total Current Assets 47 16,325 67,699 5,324 183 3,325 6,276 5,380 12,790,501

CURRENT LIABILITIES: Cash overdraft – – 64 – 123 – – – 18,937 Amounts due to broker – – – – – – – – 513 Payable for investments purchased – 71 468 136 – – – 38 360,313 Financial liabilities at fair value through profit or loss: Options at fair value – – – – – – – – 1,416 Swap contracts at fair value – – – – – – – – 11,736 Swaptions at fair value – – – – – – – – 2,998 Unrealised depreciation on forward foreign currency contracts – – – – – – – – 13,758 Unrealised depreciation on futures contracts – – – – – – – – 1,737 Distributions payable to holders of redeemable participating shares – – – – – – – – 828 Investment management fees payable (Note 3) – 11 60 – – – – – 3,321 Performance fees payable (Note 3) – – – – – – – – 25 Administrator and custodian fees payable (Note 3) – 1 5 1 9 – 1 – 867 Shareholder service fees payable (Note 3) – 1 16 – – – – – 636 Distribution fees payable – 11 31 – – – – – 2,231 Payable for redeemable participating shares sold – 4 27 – – – – – 179,852 Interest payable – – – – – – – – 722 Accrued expenses and other liabilities 47 43 259 28 51 3,325 23 22 5,530 Liabilities (excluding Net Assets attributable to Holders of Redeemable Participating Shares) 47 142 930 165 183 3,325 24 60 605,420

Total Net Assets Attributable to Holders of Redeemable Participating Shares at fair value $ – $ 16,183 $ 66,769 $ 5,159 $ – ¥ – $ 6,252 $ 5,320 $ 12,185,081

The accompanying notes are an integral part of the Financial Statements

197 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Western Asset Legg Mason Western Asset Legg Mason Western Western Asset Legg Mason Western Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Strategic Income Global Multi Western Asset Emerging Markets Asset Global High US Short-Term Asset US Adjustable Inflation Opportunities Global Blue Chip Fund Fund Bond Fund Bond Fund Fund Strategy Fund US High Yield Fund Bond Fund Yield Fund Government Fund Rate Fund Management Fund Fund Bond Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Total Net Asset Value: (in 000’s) Class A US$ Accumulating $ 20,577 $ 2,234 $ 4,095 E 26 $ 1,896 $ 80,469 $ 3,656 $ 74,583 $ 167,447 $ 2,750 $ 11,189 $ 2,845 $ 202,229 $ 2,635 Class A US$ Distributing (A) – – – – – – – – – – – 1,109 – – Class A US$ Distributing (D) 4,087,965 7,989 3,177 1,863 11,886 123,927 45,543 14,060 34,328 3,405 – – 84,864 – Class A US$ Distributing (M) – – – – 150 45,095 145 17,849 43,890 – – – 24,801 3,456 Class A US$ Distributing (S) – – – – – – – – – – – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – 8,654 – – – – – Class A Euro Accumulating – – – 4 – – – – – – – – 38,266 – Class A Euro Accumulating (Hedged) – – – – 2,392 106,708 – 6,006 – – – – 1,782 558 Class A Euro Distributing (A) – – – – – – – – – – – – 111 – Class A Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (D) – – – 3,346 – – – – – – – – – – Class A Euro Distributing (M) (Hedged) – – – – 12 19,022 – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A GBP Accumulating (Hedged) – – – – – – – – – – – – – 400 Class A GBP Distributing (A) – – – – – – – – – – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (D) – – – – – – – – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – 23,068 – – – – – – Class A GBP Distributing (M) – – – – – – – – – – – – 7,231 – Class A GBP Distributing (M) (Hedged) – – – – – 203,953 1,700 – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A (PF) US$ Accumulating – – – – – – – – – – – – – – Class A (PF) US$ Distributing (M) – – – – – – – – – – – – – – Class A SGD Accumulating – – – – – – – – – – – – – – Class A SGD Accumulating (Hedged) – – – – – – – – – – – – 17,149 – Class A SGD Distributing (Q) – – – – – – – – – – – – 8,544 – Class A SGD Distributing (Q) (Hedged) – – – – – 2,161 – 578 545 – – – 8,072 – Class B US$ Accumulating 13 88 334 – 41 677 1,035 462 524 278 – 1,084 3,075 – Class B US$ Distributing (A) – – – – – – – – – – – 110 – – Class B US$ Distributing (D) 569 1,031 352 711 3,581 14,666 5,652 1,486 1,317 397 136 – 2,207 – Class B US$ Distributing (M) – – – – – – – – – – – – – 285 Class B US$ Distributing (S) – – – – – – – – – – – – – – Class C US$ Accumulating 263 135 850 20 733 27,782 2,080 324 1,876 925 – – 45,036 2,986 Class C US$ Distributing (A) – – – – – – – – – – – 5,394 – – Class C US$ Distributing (D) 16,298 3,326 5,002 1,405 6,704 136,457 10,659 9,424 11,728 7,286 81 – 44,838 – Class C US$ Distributing (M) – – – – – – – – – – – – – 7,992 Class C US$ Distributing (S) – – – – – – – – – – – – – – Class E US$ Accumulating – – – – – 17,713 5,212 – 6,021 – – – 15,073 1,059 Class E US$ Distributing (A) – – – – – – – – – – – – – – Class E US$ Distributing (D) – – – – – 4,358 997 100 725 – – – 2,958 254 Class E US$ Distributing (M) – – – – – – – – – – – – – – Class E Euro Accumulating – – – – – – – – – – – – – – Class E Euro Accumulating (Hedged) – – – – – 498 – – – – – – – – Class F US$ Accumulating – – – – – 1,346 1 4,615 38 – – – 793 1 Class F US$ Distributing (A) – – – – – – – – – – – – – – Class F US$ Distributing (D) – – – – – 840 1 – 43 – – – 86 1 Class F US$ Distributing (M) – – – – – – – – – – – – – – Class F Euro Accumulating – – – – – 2 – – – – – – – – Class F Euro Distributing (Q) – – – 57 – – – – – – – – – – Class F (PF) US$ Accumulating – – – – – – – – – – – – – – Class F (PF) US$ Distributing (M) – – – – – – – – – – – – – – Premier Class US$ Accumulating – – 167,464 – – 19,299 120,446 28,353 66,277 – – – 43,863 4,566 Premier Class US$ Distributing (A) – – – – – – – – – – – – – – Premier Class US$ Distributing (D) – – – – – 42 – – – – – – – – Premier Class US$ Distributing (M) – – – – – 7,798 – – – – – – – 7,944 Premier Class AUD Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Accumulating – – – 69,598 – – – – – – – – 57,109 – Premier Class Euro Accumulating (Hedged) – – – – – 118,137 – 2,177 – – – – 26,986 79,457 Premier Class Euro Distributing (A) – – – – – – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) – – – – – – – – – – – – 1,077 – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – – – – – – 2,610 Premier Class Euro Distributing (Q) (Hedged) – – – – – – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

198 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Western Asset Legg Mason Western Asset Legg Mason Western Western Asset Legg Mason Western Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Strategic Income Global Multi Western Asset Emerging Markets Asset Global High US Short-Term Asset US Adjustable Inflation Opportunities Global Blue Chip Fund Fund Bond Fund Bond Fund Fund Strategy Fund US High Yield Fund Bond Fund Yield Fund Government Fund Rate Fund Management Fund Fund Bond Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Total Net Asset Value: (in 000’s) Class A US$ Accumulating $ 20,577 $ 2,234 $ 4,095 E 26 $ 1,896 $ 80,469 $ 3,656 $ 74,583 $ 167,447 $ 2,750 $ 11,189 $ 2,845 $ 202,229 $ 2,635 Class A US$ Distributing (A) – – – – – – – – – – – 1,109 – – Class A US$ Distributing (D) 4,087,965 7,989 3,177 1,863 11,886 123,927 45,543 14,060 34,328 3,405 – – 84,864 – Class A US$ Distributing (M) – – – – 150 45,095 145 17,849 43,890 – – – 24,801 3,456 Class A US$ Distributing (S) – – – – – – – – – – – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – 8,654 – – – – – Class A Euro Accumulating – – – 4 – – – – – – – – 38,266 – Class A Euro Accumulating (Hedged) – – – – 2,392 106,708 – 6,006 – – – – 1,782 558 Class A Euro Distributing (A) – – – – – – – – – – – – 111 – Class A Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (D) – – – 3,346 – – – – – – – – – – Class A Euro Distributing (M) (Hedged) – – – – 12 19,022 – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A GBP Accumulating (Hedged) – – – – – – – – – – – – – 400 Class A GBP Distributing (A) – – – – – – – – – – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (D) – – – – – – – – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – 23,068 – – – – – – Class A GBP Distributing (M) – – – – – – – – – – – – 7,231 – Class A GBP Distributing (M) (Hedged) – – – – – 203,953 1,700 – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A (PF) US$ Accumulating – – – – – – – – – – – – – – Class A (PF) US$ Distributing (M) – – – – – – – – – – – – – – Class A SGD Accumulating – – – – – – – – – – – – – – Class A SGD Accumulating (Hedged) – – – – – – – – – – – – 17,149 – Class A SGD Distributing (Q) – – – – – – – – – – – – 8,544 – Class A SGD Distributing (Q) (Hedged) – – – – – 2,161 – 578 545 – – – 8,072 – Class B US$ Accumulating 13 88 334 – 41 677 1,035 462 524 278 – 1,084 3,075 – Class B US$ Distributing (A) – – – – – – – – – – – 110 – – Class B US$ Distributing (D) 569 1,031 352 711 3,581 14,666 5,652 1,486 1,317 397 136 – 2,207 – Class B US$ Distributing (M) – – – – – – – – – – – – – 285 Class B US$ Distributing (S) – – – – – – – – – – – – – – Class C US$ Accumulating 263 135 850 20 733 27,782 2,080 324 1,876 925 – – 45,036 2,986 Class C US$ Distributing (A) – – – – – – – – – – – 5,394 – – Class C US$ Distributing (D) 16,298 3,326 5,002 1,405 6,704 136,457 10,659 9,424 11,728 7,286 81 – 44,838 – Class C US$ Distributing (M) – – – – – – – – – – – – – 7,992 Class C US$ Distributing (S) – – – – – – – – – – – – – – Class E US$ Accumulating – – – – – 17,713 5,212 – 6,021 – – – 15,073 1,059 Class E US$ Distributing (A) – – – – – – – – – – – – – – Class E US$ Distributing (D) – – – – – 4,358 997 100 725 – – – 2,958 254 Class E US$ Distributing (M) – – – – – – – – – – – – – – Class E Euro Accumulating – – – – – – – – – – – – – – Class E Euro Accumulating (Hedged) – – – – – 498 – – – – – – – – Class F US$ Accumulating – – – – – 1,346 1 4,615 38 – – – 793 1 Class F US$ Distributing (A) – – – – – – – – – – – – – – Class F US$ Distributing (D) – – – – – 840 1 – 43 – – – 86 1 Class F US$ Distributing (M) – – – – – – – – – – – – – – Class F Euro Accumulating – – – – – 2 – – – – – – – – Class F Euro Distributing (Q) – – – 57 – – – – – – – – – – Class F (PF) US$ Accumulating – – – – – – – – – – – – – – Class F (PF) US$ Distributing (M) – – – – – – – – – – – – – – Premier Class US$ Accumulating – – 167,464 – – 19,299 120,446 28,353 66,277 – – – 43,863 4,566 Premier Class US$ Distributing (A) – – – – – – – – – – – – – – Premier Class US$ Distributing (D) – – – – – 42 – – – – – – – – Premier Class US$ Distributing (M) – – – – – 7,798 – – – – – – – 7,944 Premier Class AUD Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Accumulating – – – 69,598 – – – – – – – – 57,109 – Premier Class Euro Accumulating (Hedged) – – – – – 118,137 – 2,177 – – – – 26,986 79,457 Premier Class Euro Distributing (A) – – – – – – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) – – – – – – – – – – – – 1,077 – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – – – – – – 2,610 Premier Class Euro Distributing (Q) (Hedged) – – – – – – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

199 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Western Asset Legg Mason Western Asset Legg Mason Western Western Asset Legg Mason Western Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Strategic Income Global Multi Western Asset Emerging Markets Asset Global High US Short-Term Asset US Adjustable Inflation Opportunities Global Blue Chip Fund Fund Bond Fund Bond Fund Fund Strategy Fund US High Yield Fund Bond Fund Yield Fund Government Fund Rate Fund Management Fund Fund Bond Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Total Net Asset Value: (in 000’s) Premier Class GBP Accumulating – – – – – – – – – – – – – – Premier Class GBP Accumulating (Hedged) – – 558 – – 255,980 – – – – – – – 5,973 Premier Class GBP Distributing (A) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (D) (Hedged) – – – – – – – – 503 – – – – – Premier Class GBP Distributing (M) – – – – – – – – – – – – 41,085 – Premier Class GBP Distributing (M) (Hedged) – – – – – 72,706 – – – – – – – 113,180 Premier Class GBP Distributing (Q) (Hedged) – – – – – 17,922 – – – – – – – – Premier Class JPY Accumulating – – – – – 35,922 – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – 30,327 – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class US$ Accumulating – – – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) – – – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class US$ Accumulating – – – – – 8,243 76,886 2,470 – – – – 109,841 – LM Class US$ Distributing (M) – – 29,343 – – – 181,794 – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – – – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – 74,264 – – – – – – – – LM Class Euro Accumulating – – – – – – – – – – – – – – LM Class Euro Accumulating (Hedged) – – – – – 2,037 – – – – – – – – LM Class Euro Distributing (Q) – – – – – – – – – – – – – – LM Class GBP Accumulating – – – – – – – – – – – – – – LM Class GBP Accumulating (Hedged) – – 1,975 – – 306,968 2,023 – – – – – – – LM Class GBP Distributing (M) – – – – – – – – – – – – – – LM Class JPY Accumulating – – – – – – – – – – – – – – LM Class JPY Accumulating (Hedged) – – – – – 4,871 – – – – – – – – Class A (G) US$ Accumulating 1,682 – 1,897 – 1,184 – 3,644 6,296 24,890 2,730 2,373 1,046 – – Class A (G) US$ Distributing (A) – – – – – – – – – – – 116 – – Class A (G) US$ Distributing (D) 1,934 – 4,022 – 10,790 – 7,278 5,357 12,283 13,317 3,146 – – – Class B (G) US$ Accumulating 386 – 1,325 – 2,132 – 749 1,998 3,200 234 689 304 – – Class B (G) US$ Distributing (A) – – – – – – – – – – – 383 – – Class B (G) US$ Distributing (D) 320 – 1,009 – 2,615 – 1,368 1,666 3,953 694 1,918 – – – Class L (G) US$ Accumulating – – 1,119 – 818 – 208 2,207 873 290 566 191 – – Class L (G) US$ Distributing (A) – – – – – – – – – – – 423 – – Class L (G) US$ Distributing (D) 2,056 – 3,328 – 1,954 – 8,120 7,237 5,992 3,098 3,834 – – – Class GA US$ Accumulating – 5,880 – – – – – – – – – – – – Class GA Euro Accumulating – – – 5,835 – – – – – – – – – – Class GA Euro Distributing (A) – – – 829 – – – – – – – – – – Class GE US$ Accumulating – 779 – – – – – – – – – – – – Class GE US$ Distributing (A) – – – – – – – – – – – – – – Class GE Euro Accumulating – – – 1,267 – – – – – – – – – – Class GF US$ Accumulating – – – – – – 4,529 – – – – – – – Class GF Euro Accumulating – – – 24 – – – – – – – – – – Class GP US$ Accumulating – – – – – – – – – – – – – – Galleon Class – – – – – – – – – – – – – –

Amounts designated as "-" are either $0/E0/¥0/£0 or less than $1,000/E1,000/¥1,000/£1,000. NAV per share information represents Redeemable Participating Shares G Effective May 13, 2011, the Fund commenced trading.

The accompanying notes are an integral part of the Financial Statements

200 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Western Asset Legg Mason Western Asset Legg Mason Western Western Asset Legg Mason Western Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Strategic Income Global Multi Western Asset Emerging Markets Asset Global High US Short-Term Asset US Adjustable Inflation Opportunities Global Blue Chip Fund Fund Bond Fund Bond Fund Fund Strategy Fund US High Yield Fund Bond Fund Yield Fund Government Fund Rate Fund Management Fund Fund Bond Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Total Net Asset Value: (in 000’s) Premier Class GBP Accumulating – – – – – – – – – – – – – – Premier Class GBP Accumulating (Hedged) – – 558 – – 255,980 – – – – – – – 5,973 Premier Class GBP Distributing (A) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (D) (Hedged) – – – – – – – – 503 – – – – – Premier Class GBP Distributing (M) – – – – – – – – – – – – 41,085 – Premier Class GBP Distributing (M) (Hedged) – – – – – 72,706 – – – – – – – 113,180 Premier Class GBP Distributing (Q) (Hedged) – – – – – 17,922 – – – – – – – – Premier Class JPY Accumulating – – – – – 35,922 – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – 30,327 – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class US$ Accumulating – – – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) – – – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class US$ Accumulating – – – – – 8,243 76,886 2,470 – – – – 109,841 – LM Class US$ Distributing (M) – – 29,343 – – – 181,794 – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – – – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – 74,264 – – – – – – – – LM Class Euro Accumulating – – – – – – – – – – – – – – LM Class Euro Accumulating (Hedged) – – – – – 2,037 – – – – – – – – LM Class Euro Distributing (Q) – – – – – – – – – – – – – – LM Class GBP Accumulating – – – – – – – – – – – – – – LM Class GBP Accumulating (Hedged) – – 1,975 – – 306,968 2,023 – – – – – – – LM Class GBP Distributing (M) – – – – – – – – – – – – – – LM Class JPY Accumulating – – – – – – – – – – – – – – LM Class JPY Accumulating (Hedged) – – – – – 4,871 – – – – – – – – Class A (G) US$ Accumulating 1,682 – 1,897 – 1,184 – 3,644 6,296 24,890 2,730 2,373 1,046 – – Class A (G) US$ Distributing (A) – – – – – – – – – – – 116 – – Class A (G) US$ Distributing (D) 1,934 – 4,022 – 10,790 – 7,278 5,357 12,283 13,317 3,146 – – – Class B (G) US$ Accumulating 386 – 1,325 – 2,132 – 749 1,998 3,200 234 689 304 – – Class B (G) US$ Distributing (A) – – – – – – – – – – – 383 – – Class B (G) US$ Distributing (D) 320 – 1,009 – 2,615 – 1,368 1,666 3,953 694 1,918 – – – Class L (G) US$ Accumulating – – 1,119 – 818 – 208 2,207 873 290 566 191 – – Class L (G) US$ Distributing (A) – – – – – – – – – – – 423 – – Class L (G) US$ Distributing (D) 2,056 – 3,328 – 1,954 – 8,120 7,237 5,992 3,098 3,834 – – – Class GA US$ Accumulating – 5,880 – – – – – – – – – – – – Class GA Euro Accumulating – – – 5,835 – – – – – – – – – – Class GA Euro Distributing (A) – – – 829 – – – – – – – – – – Class GE US$ Accumulating – 779 – – – – – – – – – – – – Class GE US$ Distributing (A) – – – – – – – – – – – – – – Class GE Euro Accumulating – – – 1,267 – – – – – – – – – – Class GF US$ Accumulating – – – – – – 4,529 – – – – – – – Class GF Euro Accumulating – – – 24 – – – – – – – – – – Class GP US$ Accumulating – – – – – – – – – – – – – – Galleon Class – – – – – – – – – – – – – –

Amounts designated as "-" are either $0/E0/¥0/£0 or less than $1,000/E1,000/¥1,000/£1,000. NAV per share information represents Redeemable Participating Shares G Effective May 13, 2011, the Fund commenced trading.

The accompanying notes are an integral part of the Financial Statements

201 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Global Credit Legg Mason Western Legg Mason Western Western Asset Western Asset Western Asset UK£ Legg Mason Legg Mason Western Legg Mason Brandywine Global Western Asset Capital Capital Western Asset Absolute Return Asset UK£ Core Plus Asset Global Core Global Inflation- UK£ Inflation- Long Duration Western Asset Asset Euro High Brandywine Global Opportunistic Fixed Brazil Equity Management Management Brazil Bond Fund^ Fund^ Bond Fund^ Plus Bond Fund^ Linked Fund Linked Plus Fund^ Fund^ Global Credit Fund Yield Fund^ Fixed Income Fund Income Fund^ Fund^ Value Fund Growth Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Total Net Asset Value: (in 000’s) Class A US$ Accumulating – $ 1 – – – – – – – $ 37,493 $ 17,473 – $ 25,107 $ 1,806 Class A US$ Distributing (A) – – – – – – – – – – – $ 1 120,381 5,069 Class A US$ Distributing (D) – – – $ 1 $ 1 – – $ 1 – – – – – – Class A US$ Distributing (M) – 104 – – – – – – – 494 5,158 – – – Class A US$ Distributing (S) – – – – – – – – – 205,000 – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Accumulating – – – – – – – – – – – – 225 498 Class A Euro Accumulating (Hedged) – – – – – – – – – 12,037 – – – – Class A Euro Distributing (A) – – – – – – – – – – – – – – Class A Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (D) – – – – – – – – E 1 – – – – – Class A Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – – 44,415 – – – – Class A GBP Accumulating (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (A) – – – – – – – – – – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (D) – – £ 1 – – £ 1 £ 1 – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (M) – – – – – – – – – – – – – – Class A GBP Distributing (M) (Hedged) – 13,880 – – – – – – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – – 45,992 – – – – Class A (PF) US$ Accumulating – 5,604 – – – – – – – – – – – – Class A (PF) US$ Distributing (M) – 109 – – – – – – – – – – – – Class A SGD Accumulating – – – – – – – – – – – – 9,607 – Class A SGD Accumulating (Hedged) – – – – – – – – – – – – – – Class A SGD Distributing (Q) – – – – – – – – – – – – – – Class A SGD Distributing (Q) (Hedged) – – – – – – – – – – – – – – Class B US$ Accumulating – 1 – – – – – – – 1,103 – – 142 5 Class B US$ Distributing (A) – – – – – – – – – – – – 1,766 572 Class B US$ Distributing (D) – – – – – – – – – – – – – – Class B US$ Distributing (M) – 1 – – – – – – – – – – – – Class B US$ Distributing (S) – – – – – – – – – 3,616 – – – – Class C US$ Accumulating – 1 – – – – – – – 1,083 – – 167 144 Class C US$ Distributing (A) – – – – – – – – – – – – 7,809 1,553 Class C US$ Distributing (D) – – – – – – – – – – – – – – Class C US$ Distributing (M) – 1 – – – – – – – – – – – – Class C US$ Distributing (S) – – – – – – – – – 14,186 – – – – Class E US$ Accumulating – 1 – – – – – – – – – – – – Class E US$ Distributing (A) – – – – – – – – – – – – – – Class E US$ Distributing (D) – – – – – – – – – – – – – – Class E US$ Distributing (M) – 1 – – – – – – – – – – – – Class E Euro Accumulating – – – – – – – – – – – – – – Class E Euro Accumulating (Hedged) – – – – – – – – – – – – – – Class F US$ Accumulating – 1 – – – – – – – – – – 1 – Class F US$ Distributing (A) – – – – – – – – – – – – 1 – Class F US$ Distributing (D) – – – – – – – – – – – – – – Class F US$ Distributing (M) – 1 – – – – – – – – – – – – Class F Euro Accumulating – – – – – – – – – – – – – – Class F Euro Distributing (Q) – – – – – – – – – – – – – – Class F (PF) US$ Accumulating – 1 – – – – – – – – – – – – Class F (PF) US$ Distributing (M) – 1 – – – – – – – – – – – – Premier Class US$ Accumulating $ 5,964 – – 1,131 38,124 – – – – 33,025 – – 65,226 51,200 Premier Class US$ Distributing (A) – – – – – – – – – – – – – – Premier Class US$ Distributing (D) – – – – – – – – – – – – – – Premier Class US$ Distributing (M) – – – – – – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Accumulating – – – – – – – – – 10,878 – – – – Premier Class Euro Accumulating (Hedged) – 1,732 – – – – – – – – – – – – Premier Class Euro Distributing (A) – – – – – – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) – – – 42,704 – – – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

202 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Global Credit Legg Mason Western Legg Mason Western Western Asset Western Asset Western Asset UK£ Legg Mason Legg Mason Western Legg Mason Brandywine Global Western Asset Capital Capital Western Asset Absolute Return Asset UK£ Core Plus Asset Global Core Global Inflation- UK£ Inflation- Long Duration Western Asset Asset Euro High Brandywine Global Opportunistic Fixed Brazil Equity Management Management Brazil Bond Fund^ Fund^ Bond Fund^ Plus Bond Fund^ Linked Fund Linked Plus Fund^ Fund^ Global Credit Fund Yield Fund^ Fixed Income Fund Income Fund^ Fund^ Value Fund Growth Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Total Net Asset Value: (in 000’s) Class A US$ Accumulating – $ 1 – – – – – – – $ 37,493 $ 17,473 – $ 25,107 $ 1,806 Class A US$ Distributing (A) – – – – – – – – – – – $ 1 120,381 5,069 Class A US$ Distributing (D) – – – $ 1 $ 1 – – $ 1 – – – – – – Class A US$ Distributing (M) – 104 – – – – – – – 494 5,158 – – – Class A US$ Distributing (S) – – – – – – – – – 205,000 – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Accumulating – – – – – – – – – – – – 225 498 Class A Euro Accumulating (Hedged) – – – – – – – – – 12,037 – – – – Class A Euro Distributing (A) – – – – – – – – – – – – – – Class A Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (D) – – – – – – – – E 1 – – – – – Class A Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – – 44,415 – – – – Class A GBP Accumulating (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (A) – – – – – – – – – – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (D) – – £ 1 – – £ 1 £ 1 – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (M) – – – – – – – – – – – – – – Class A GBP Distributing (M) (Hedged) – 13,880 – – – – – – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – – 45,992 – – – – Class A (PF) US$ Accumulating – 5,604 – – – – – – – – – – – – Class A (PF) US$ Distributing (M) – 109 – – – – – – – – – – – – Class A SGD Accumulating – – – – – – – – – – – – 9,607 – Class A SGD Accumulating (Hedged) – – – – – – – – – – – – – – Class A SGD Distributing (Q) – – – – – – – – – – – – – – Class A SGD Distributing (Q) (Hedged) – – – – – – – – – – – – – – Class B US$ Accumulating – 1 – – – – – – – 1,103 – – 142 5 Class B US$ Distributing (A) – – – – – – – – – – – – 1,766 572 Class B US$ Distributing (D) – – – – – – – – – – – – – – Class B US$ Distributing (M) – 1 – – – – – – – – – – – – Class B US$ Distributing (S) – – – – – – – – – 3,616 – – – – Class C US$ Accumulating – 1 – – – – – – – 1,083 – – 167 144 Class C US$ Distributing (A) – – – – – – – – – – – – 7,809 1,553 Class C US$ Distributing (D) – – – – – – – – – – – – – – Class C US$ Distributing (M) – 1 – – – – – – – – – – – – Class C US$ Distributing (S) – – – – – – – – – 14,186 – – – – Class E US$ Accumulating – 1 – – – – – – – – – – – – Class E US$ Distributing (A) – – – – – – – – – – – – – – Class E US$ Distributing (D) – – – – – – – – – – – – – – Class E US$ Distributing (M) – 1 – – – – – – – – – – – – Class E Euro Accumulating – – – – – – – – – – – – – – Class E Euro Accumulating (Hedged) – – – – – – – – – – – – – – Class F US$ Accumulating – 1 – – – – – – – – – – 1 – Class F US$ Distributing (A) – – – – – – – – – – – – 1 – Class F US$ Distributing (D) – – – – – – – – – – – – – – Class F US$ Distributing (M) – 1 – – – – – – – – – – – – Class F Euro Accumulating – – – – – – – – – – – – – – Class F Euro Distributing (Q) – – – – – – – – – – – – – – Class F (PF) US$ Accumulating – 1 – – – – – – – – – – – – Class F (PF) US$ Distributing (M) – 1 – – – – – – – – – – – – Premier Class US$ Accumulating $ 5,964 – – 1,131 38,124 – – – – 33,025 – – 65,226 51,200 Premier Class US$ Distributing (A) – – – – – – – – – – – – – – Premier Class US$ Distributing (D) – – – – – – – – – – – – – – Premier Class US$ Distributing (M) – – – – – – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Accumulating – – – – – – – – – 10,878 – – – – Premier Class Euro Accumulating (Hedged) – 1,732 – – – – – – – – – – – – Premier Class Euro Distributing (A) – – – – – – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) – – – 42,704 – – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

203 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Global Credit Legg Mason Western Legg Mason Western Western Asset Western Asset Western Asset UK£ Legg Mason Legg Mason Western Legg Mason Brandywine Global Western Asset Capital Capital Western Asset Absolute Return Asset UK£ Core Plus Asset Global Core Global Inflation- UK£ Inflation- Long Duration Western Asset Asset Euro High Brandywine Global Opportunistic Fixed Brazil Equity Management Management Brazil Bond Fund^ Fund^ Bond Fund^ Plus Bond Fund^ Linked Fund Linked Plus Fund^ Fund^ Global Credit Fund Yield Fund^ Fixed Income Fund Income Fund^ Fund^ Value Fund Growth Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Total Net Asset Value: (in 000’s) Premier Class GBP Accumulating – – 5,145 – – 5,609 – – – – – – – – Premier Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (D) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) – 28,788 – – – – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – – – – – – – – Premier Class JPY Accumulating – – – – – – – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – 32,199 – – – – – – – – – Premier (PF) Class US$ Accumulating – 10,032 – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) – 17,250 – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – 22,432 – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – 44,256 – – – – – – – – – – – – LM Class US$ Accumulating 6,594 – – 24,142 – – – 87,559 – 25,009 – 4,597 5,195 – LM Class US$ Distributing (M) – – – – – – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – 16,181 – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class Euro Accumulating – – – – – – – – 10,944 – – – 1,111 – LM Class Euro Accumulating (Hedged) – – – 5,708 – – – – – 5,544 – – – – LM Class Euro Distributing (Q) – – – – – – – – 37,487 – – – – – LM Class GBP Accumulating – – 79,952 – – 13,519 67,299 – – – – – – – LM Class GBP Accumulating (Hedged) – – – – 2,032 – – – – – – – – – LM Class GBP Distributing (M) – – – – – 13,896 13,796 – – – – – – – LM Class JPY Accumulating – – – – – – – – – – – – 4,715 – LM Class JPY Accumulating (Hedged) – – – 15,770 – – – – – 15,273 – – – – Class A (G) US$ Accumulating – – – – – – – – – – – – – – Class A (G) US$ Distributing (A) – – – – – – – – – – – – – – Class A (G) US$ Distributing (D) – – – – – – – – – – – – – – Class B (G) US$ Accumulating – – – – – – – – – – – – – – Class B (G) US$ Distributing (A) – – – – – – – – – – – – – – Class B (G) US$ Distributing (D) – – – – – – – – – – – – – – Class L (G) US$ Accumulating – – – – – – – – – – – – – – Class L (G) US$ Distributing (A) – – – – – – – – – – – – – – Class L (G) US$ Distributing (D) – – – – – – – – – – – – – – Class GA US$ Accumulating – – – – – – – – – – – – – – Class GA Euro Accumulating – – – – – – – – – – – – – – Class GA Euro Distributing (A) – – – – – – – – – – – – – – Class GE US$ Accumulating – – – – – – – – – – – – – – Class GE US$ Distributing (A) – – – – – – – – – – – – – – Class GE Euro Accumulating – – – – – – – – – – – – – – Class GF US$ Accumulating – – – – – – – – – – – – – – Class GF Euro Accumulating – – – – – – – – – – – – – – Class GP US$ Accumulating – – – – – – – – – – – – – – Galleon Class – – – – – – – – – – – – 13 –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

204 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Global Credit Legg Mason Western Legg Mason Western Western Asset Western Asset Western Asset UK£ Legg Mason Legg Mason Western Legg Mason Brandywine Global Western Asset Capital Capital Western Asset Absolute Return Asset UK£ Core Plus Asset Global Core Global Inflation- UK£ Inflation- Long Duration Western Asset Asset Euro High Brandywine Global Opportunistic Fixed Brazil Equity Management Management Brazil Bond Fund^ Fund^ Bond Fund^ Plus Bond Fund^ Linked Fund Linked Plus Fund^ Fund^ Global Credit Fund Yield Fund^ Fixed Income Fund Income Fund^ Fund^ Value Fund Growth Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Total Net Asset Value: (in 000’s) Premier Class GBP Accumulating – – 5,145 – – 5,609 – – – – – – – – Premier Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (D) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) – 28,788 – – – – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – – – – – – – – Premier Class JPY Accumulating – – – – – – – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – 32,199 – – – – – – – – – Premier (PF) Class US$ Accumulating – 10,032 – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) – 17,250 – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – 22,432 – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – 44,256 – – – – – – – – – – – – LM Class US$ Accumulating 6,594 – – 24,142 – – – 87,559 – 25,009 – 4,597 5,195 – LM Class US$ Distributing (M) – – – – – – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – 16,181 – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class Euro Accumulating – – – – – – – – 10,944 – – – 1,111 – LM Class Euro Accumulating (Hedged) – – – 5,708 – – – – – 5,544 – – – – LM Class Euro Distributing (Q) – – – – – – – – 37,487 – – – – – LM Class GBP Accumulating – – 79,952 – – 13,519 67,299 – – – – – – – LM Class GBP Accumulating (Hedged) – – – – 2,032 – – – – – – – – – LM Class GBP Distributing (M) – – – – – 13,896 13,796 – – – – – – – LM Class JPY Accumulating – – – – – – – – – – – – 4,715 – LM Class JPY Accumulating (Hedged) – – – 15,770 – – – – – 15,273 – – – – Class A (G) US$ Accumulating – – – – – – – – – – – – – – Class A (G) US$ Distributing (A) – – – – – – – – – – – – – – Class A (G) US$ Distributing (D) – – – – – – – – – – – – – – Class B (G) US$ Accumulating – – – – – – – – – – – – – – Class B (G) US$ Distributing (A) – – – – – – – – – – – – – – Class B (G) US$ Distributing (D) – – – – – – – – – – – – – – Class L (G) US$ Accumulating – – – – – – – – – – – – – – Class L (G) US$ Distributing (A) – – – – – – – – – – – – – – Class L (G) US$ Distributing (D) – – – – – – – – – – – – – – Class GA US$ Accumulating – – – – – – – – – – – – – – Class GA Euro Accumulating – – – – – – – – – – – – – – Class GA Euro Distributing (A) – – – – – – – – – – – – – – Class GE US$ Accumulating – – – – – – – – – – – – – – Class GE US$ Distributing (A) – – – – – – – – – – – – – – Class GE Euro Accumulating – – – – – – – – – – – – – – Class GF US$ Accumulating – – – – – – – – – – – – – – Class GF Euro Accumulating – – – – – – – – – – – – – – Class GP US$ Accumulating – – – – – – – – – – – – – – Galleon Class – – – – – – – – – – – – 13 –

The accompanying notes are an integral part of the Financial Statements

205 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Capital ClearBridge ClearBridge Legg Mason ClearBridge Royce US Small Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Legg Mason Batterymarch Management US Appreciation US Fundamental ClearBridge US Large US Aggressive Cap Opportunity Smaller Companies Smaller Companies European Smaller Global Smaller Legg Mason PCM US Permal Global GC Global Equity European Equity Opportunity Fund Fund Value Fund Cap Growth Fund Growth Fund Fund Fund Fund II^GG Companies Fund^ Companies Fund Equity Fund Absolute Fund Fund Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Total Net Asset Value: (in 000’s) Class A US$ Accumulating $ 1,520 $ 45,467 $ 18,171 $ 3,546 $ 50,386 $ 147,817 $ 410,897 $ 70,505 – $ 1,273 – $ 19,953 $ 61 E 3,338 Class A US$ Distributing (A) 1,140 39,468 1,216 706 14,392 65,327 168,393 – – 6 – 11,615 1,151 1,701 Class A US$ Distributing (D) – – – – – – – – – – – – – – Class A US$ Distributing (M) – – – – – – – – – – – – – – Class A US$ Distributing (S) – – – – – – – – – – – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Accumulating – 10,818 52 156 1,063 15,976 4,430 – – – – – – 193 Class A Euro Accumulating (Hedged) – – – – – – – – – – – 19,420 – – Class A Euro Distributing (A) – – – – – – 4 – E 81 – – – – 25 Class A Euro Distributing (A) (Hedged) – – – – – – – – – – – 45 – – Class A Euro Distributing (D) – – – – – – – – – – – – – – Class A Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A GBP Accumulating (Hedged) – – – – – – – – – – – 33 – – Class A GBP Distributing (A) – – – – – 3,623 197 – – – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – – – – 276 – – Class A GBP Distributing (D) – – – – – – – – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (M) – – – – – – – – – – – – – – Class A GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A (PF) US$ Accumulating – – – – – – – – – – – – – – Class A (PF) US$ Distributing (M) – – – – – – – – – – – – – – Class A SGD Accumulating – – – – – 3,419 – – – – – – – – Class A SGD Accumulating (Hedged) – – – – – – – – – – – 1,291 – – Class A SGD Distributing (Q) – – – – – – – – – – – – – – Class A SGD Distributing (Q) (Hedged) – – – – – – – – – – – – – – Class B US$ Accumulating – 688 310 689 1,228 940 1,883 – – 1 – 1 29 42 Class B US$ Distributing (A) – 946 966 621 1,489 1,444 2,834 – – – – 89 83 748 Class B US$ Distributing (D) – – – – – – – – – – – – – – Class B US$ Distributing (M) – – – – – – – – – – – – – – Class B US$ Distributing (S) – – – – – – – – – – – – – – Class C US$ Accumulating – 6,375 784 601 4,924 1,771 5,660 – – 1 – 16,961 1 2,182 Class C US$ Distributing (A) – 3,317 1,247 4,107 9,541 15,825 11,855 – – – – 6,004 27 1,960 Class C US$ Distributing (D) – – – – – – – – – – – – – – Class C US$ Distributing (M) – – – – – – – – – – – – – – Class C US$ Distributing (S) – – – – – – – – – – – – – – Class E US$ Accumulating – 5,275 – – 5,817 436 5,032 – – 127 – 613 – – Class E US$ Distributing (A) – 277 – – 23 43 137 – – – – 48 – – Class E US$ Distributing (D) – – – – – – – – – – – – – – Class E US$ Distributing (M) – – – – – – – – – – – – – – Class E Euro Accumulating – – – – – 199 384 – – – – – – – Class E Euro Accumulating (Hedged) – – – – – – – – – – – – – – Class F US$ Accumulating – 410 – – 1 1 2,526 – – – – 491 – – Class F US$ Distributing (A) – 1 – – 1 1 698 – – – – 142 – – Class F US$ Distributing (D) – – – – – – – – – – – – – – Class F US$ Distributing (M) – – – – – – – – – – – – – – Class F Euro Accumulating – – – – – – – – – – – – – – Class F Euro Distributing (Q) – – – – – – – – – – – – – – Class F (PF) US$ Accumulating – – – – – – – – – – – – – – Class F (PF) US$ Distributing (M) – – – – – – – – – – – – – – Premier Class US$ Accumulating 11,257 41,588 – – 34,336 6,601 65,409 – – 4,997 – 1,272 – – Premier Class US$ Distributing (A) – 1,891 – – – – 11,219 – – – – – – – Premier Class US$ Distributing (D) – – – – – – – – – – – – – – Premier Class US$ Distributing (M) – – – – – – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) – – – – – – – – – – – 6,442 – – Premier Class Euro Accumulating – 5,247 – – 3,736 22,026 – – – – – – – – Premier Class Euro Accumulating (Hedged) – – – – – – – – – – – 3,068 – – Premier Class Euro Distributing (A) – – – – 156 – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) – – – – – – – – – – – 7,105 – – Premier Class Euro Distributing (M) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) – – – – – – – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

206 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Capital ClearBridge ClearBridge Legg Mason ClearBridge Royce US Small Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Legg Mason Batterymarch Management US Appreciation US Fundamental ClearBridge US Large US Aggressive Cap Opportunity Smaller Companies Smaller Companies European Smaller Global Smaller Legg Mason PCM US Permal Global GC Global Equity European Equity Opportunity Fund Fund Value Fund Cap Growth Fund Growth Fund Fund Fund Fund II^GG Companies Fund^ Companies Fund Equity Fund Absolute Fund Fund Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Total Net Asset Value: (in 000’s) Class A US$ Accumulating $ 1,520 $ 45,467 $ 18,171 $ 3,546 $ 50,386 $ 147,817 $ 410,897 $ 70,505 – $ 1,273 – $ 19,953 $ 61 E 3,338 Class A US$ Distributing (A) 1,140 39,468 1,216 706 14,392 65,327 168,393 – – 6 – 11,615 1,151 1,701 Class A US$ Distributing (D) – – – – – – – – – – – – – – Class A US$ Distributing (M) – – – – – – – – – – – – – – Class A US$ Distributing (S) – – – – – – – – – – – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Accumulating – 10,818 52 156 1,063 15,976 4,430 – – – – – – 193 Class A Euro Accumulating (Hedged) – – – – – – – – – – – 19,420 – – Class A Euro Distributing (A) – – – – – – 4 – E 81 – – – – 25 Class A Euro Distributing (A) (Hedged) – – – – – – – – – – – 45 – – Class A Euro Distributing (D) – – – – – – – – – – – – – – Class A Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A GBP Accumulating (Hedged) – – – – – – – – – – – 33 – – Class A GBP Distributing (A) – – – – – 3,623 197 – – – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – – – – 276 – – Class A GBP Distributing (D) – – – – – – – – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (M) – – – – – – – – – – – – – – Class A GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A (PF) US$ Accumulating – – – – – – – – – – – – – – Class A (PF) US$ Distributing (M) – – – – – – – – – – – – – – Class A SGD Accumulating – – – – – 3,419 – – – – – – – – Class A SGD Accumulating (Hedged) – – – – – – – – – – – 1,291 – – Class A SGD Distributing (Q) – – – – – – – – – – – – – – Class A SGD Distributing (Q) (Hedged) – – – – – – – – – – – – – – Class B US$ Accumulating – 688 310 689 1,228 940 1,883 – – 1 – 1 29 42 Class B US$ Distributing (A) – 946 966 621 1,489 1,444 2,834 – – – – 89 83 748 Class B US$ Distributing (D) – – – – – – – – – – – – – – Class B US$ Distributing (M) – – – – – – – – – – – – – – Class B US$ Distributing (S) – – – – – – – – – – – – – – Class C US$ Accumulating – 6,375 784 601 4,924 1,771 5,660 – – 1 – 16,961 1 2,182 Class C US$ Distributing (A) – 3,317 1,247 4,107 9,541 15,825 11,855 – – – – 6,004 27 1,960 Class C US$ Distributing (D) – – – – – – – – – – – – – – Class C US$ Distributing (M) – – – – – – – – – – – – – – Class C US$ Distributing (S) – – – – – – – – – – – – – – Class E US$ Accumulating – 5,275 – – 5,817 436 5,032 – – 127 – 613 – – Class E US$ Distributing (A) – 277 – – 23 43 137 – – – – 48 – – Class E US$ Distributing (D) – – – – – – – – – – – – – – Class E US$ Distributing (M) – – – – – – – – – – – – – – Class E Euro Accumulating – – – – – 199 384 – – – – – – – Class E Euro Accumulating (Hedged) – – – – – – – – – – – – – – Class F US$ Accumulating – 410 – – 1 1 2,526 – – – – 491 – – Class F US$ Distributing (A) – 1 – – 1 1 698 – – – – 142 – – Class F US$ Distributing (D) – – – – – – – – – – – – – – Class F US$ Distributing (M) – – – – – – – – – – – – – – Class F Euro Accumulating – – – – – – – – – – – – – – Class F Euro Distributing (Q) – – – – – – – – – – – – – – Class F (PF) US$ Accumulating – – – – – – – – – – – – – – Class F (PF) US$ Distributing (M) – – – – – – – – – – – – – – Premier Class US$ Accumulating 11,257 41,588 – – 34,336 6,601 65,409 – – 4,997 – 1,272 – – Premier Class US$ Distributing (A) – 1,891 – – – – 11,219 – – – – – – – Premier Class US$ Distributing (D) – – – – – – – – – – – – – – Premier Class US$ Distributing (M) – – – – – – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) – – – – – – – – – – – 6,442 – – Premier Class Euro Accumulating – 5,247 – – 3,736 22,026 – – – – – – – – Premier Class Euro Accumulating (Hedged) – – – – – – – – – – – 3,068 – – Premier Class Euro Distributing (A) – – – – 156 – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) – – – – – – – – – – – 7,105 – – Premier Class Euro Distributing (M) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) – – – – – – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

207 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Capital ClearBridge ClearBridge Legg Mason ClearBridge Royce US Small Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Legg Mason Batterymarch Management US Appreciation US Fundamental ClearBridge US Large US Aggressive Cap Opportunity Smaller Companies Smaller Companies European Smaller Global Smaller Legg Mason PCM US Permal Global GC Global Equity European Equity Opportunity Fund Fund Value Fund Cap Growth Fund Growth Fund Fund Fund Fund II^GG Companies Fund^ Companies Fund Equity Fund Absolute Fund Fund Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Total Net Asset Value: (in 000’s) Premier Class GBP Accumulating – – – – – – – – – – – – – – Premier Class GBP Accumulating (Hedged) – – – – – – – – – – – 5,569 – – Premier Class GBP Distributing (A) 55,722 – – – – – 13,576 – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – – – – 8,139 – – Premier Class GBP Distributing (D) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – – – – – – – – Premier Class JPY Accumulating – – – – – – – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class US$ Accumulating – – – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) – – – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class US$ Accumulating 409 10,858 10,562 – – – 3,396 – – 2,649 – 23,154 – 8,230 LM Class US$ Distributing (M) – – – – – – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – – – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class Euro Accumulating – 2,299 – – – – 706 – 1,995 – – – – 1,747 LM Class Euro Accumulating (Hedged) – – – – – – – – – – – – – – LM Class Euro Distributing (Q) – – – – – – – – – – – – – – LM Class GBP Accumulating – – – – – – – – – – – – – – LM Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – LM Class GBP Distributing (M) – – – – – – – – – – – – – – LM Class JPY Accumulating – 9,872 – – – – 3,043 – – – – – – 7,490 LM Class JPY Accumulating (Hedged) – – – – – – – – – – – 2,248 – – Class A (G) US$ Accumulating – 7,397 38,324 7,857 52,287 – 3,566 – – – – – – 3,288 Class A (G) US$ Distributing (A) – – – – – – – – – – – – – – Class A (G) US$ Distributing (D) – – – – – – – – – – – – – – Class B (G) US$ Accumulating – 1,561 8,779 2,544 7,052 – 722 – – – – – – 669 Class B (G) US$ Distributing (A) – – – – – – – – – – – – – – Class B (G) US$ Distributing (D) – – – – – – – – – – – – – – Class L (G) US$ Accumulating – 5,329 15,137 7,752 15,335 – 2,135 – – – – – – 799 Class L (G) US$ Distributing (A) – – – – – – – – – – – – – – Class L (G) US$ Distributing (D) – – – – – – – – – – – – – – Class GA US$ Accumulating – 7,843 21,836 3,402 – – – – – – – – – 1,531 Class GA Euro Accumulating – 1,071 440 449 1,218 – – – – – – – – 34,881 Class GA Euro Distributing (A) – 539 66 20 237 – – – – – – – – 77 Class GE US$ Accumulating – 445 216 – 89 – – – – – – – – 264 Class GE US$ Distributing (A) – – – 75 – – – – – – – – – – Class GE Euro Accumulating – 357 561 98 199 – – – – – – – – – Class GF US$ Accumulating – – – – – – – – – – – – – – Class GF Euro Accumulating – – – – – – – – – – – – – – Class GP US$ Accumulating – 251 – – – – – – – – – – – – Galleon Class – – – – – – – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

208 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Capital ClearBridge ClearBridge Legg Mason ClearBridge Royce US Small Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Legg Mason Batterymarch Management US Appreciation US Fundamental ClearBridge US Large US Aggressive Cap Opportunity Smaller Companies Smaller Companies European Smaller Global Smaller Legg Mason PCM US Permal Global GC Global Equity European Equity Opportunity Fund Fund Value Fund Cap Growth Fund Growth Fund Fund Fund Fund II^GG Companies Fund^ Companies Fund Equity Fund Absolute Fund Fund Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Total Net Asset Value: (in 000’s) Premier Class GBP Accumulating – – – – – – – – – – – – – – Premier Class GBP Accumulating (Hedged) – – – – – – – – – – – 5,569 – – Premier Class GBP Distributing (A) 55,722 – – – – – 13,576 – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – – – – 8,139 – – Premier Class GBP Distributing (D) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – – – – – – – – Premier Class JPY Accumulating – – – – – – – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class US$ Accumulating – – – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) – – – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class US$ Accumulating 409 10,858 10,562 – – – 3,396 – – 2,649 – 23,154 – 8,230 LM Class US$ Distributing (M) – – – – – – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – – – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class Euro Accumulating – 2,299 – – – – 706 – 1,995 – – – – 1,747 LM Class Euro Accumulating (Hedged) – – – – – – – – – – – – – – LM Class Euro Distributing (Q) – – – – – – – – – – – – – – LM Class GBP Accumulating – – – – – – – – – – – – – – LM Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – LM Class GBP Distributing (M) – – – – – – – – – – – – – – LM Class JPY Accumulating – 9,872 – – – – 3,043 – – – – – – 7,490 LM Class JPY Accumulating (Hedged) – – – – – – – – – – – 2,248 – – Class A (G) US$ Accumulating – 7,397 38,324 7,857 52,287 – 3,566 – – – – – – 3,288 Class A (G) US$ Distributing (A) – – – – – – – – – – – – – – Class A (G) US$ Distributing (D) – – – – – – – – – – – – – – Class B (G) US$ Accumulating – 1,561 8,779 2,544 7,052 – 722 – – – – – – 669 Class B (G) US$ Distributing (A) – – – – – – – – – – – – – – Class B (G) US$ Distributing (D) – – – – – – – – – – – – – – Class L (G) US$ Accumulating – 5,329 15,137 7,752 15,335 – 2,135 – – – – – – 799 Class L (G) US$ Distributing (A) – – – – – – – – – – – – – – Class L (G) US$ Distributing (D) – – – – – – – – – – – – – – Class GA US$ Accumulating – 7,843 21,836 3,402 – – – – – – – – – 1,531 Class GA Euro Accumulating – 1,071 440 449 1,218 – – – – – – – – 34,881 Class GA Euro Distributing (A) – 539 66 20 237 – – – – – – – – 77 Class GE US$ Accumulating – 445 216 – 89 – – – – – – – – 264 Class GE US$ Distributing (A) – – – 75 – – – – – – – – – – Class GE Euro Accumulating – 357 561 98 199 – – – – – – – – – Class GF US$ Accumulating – – – – – – – – – – – – – – Class GF Euro Accumulating – – – – – – – – – – – – – – Class GP US$ Accumulating – 251 – – – – – – – – – – – – Galleon Class – – – – – – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

209 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch 130/ Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Emerging Batterymarch Asia 30 Global Equity International Emerging Markets Global Equity Congruix Asia Congruix Japan Legg Mason LMHK Markets Select Pacific Equity Fund Fund^ Large Cap Fund Equity Fund Fund Pacific Fund^ Equity Fund China Fund Equity Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Total Net Asset Value: (in 000’s) Class A US$ Accumulating $ 31,412 – $ 710 $ 10,469 – – – – – Class A US$ Distributing (A) 49,168 – 254 3,541 $ 1 – – $ 341 $ 1 Class A US$ Distributing (D) – – – – – – – – – Class A US$ Distributing (M) – – – – – – – – – Class A US$ Distributing (S) – – – – – – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – – Class A Euro Accumulating 1,297 – 107 2,433 – – – – – Class A Euro Accumulating (Hedged) – – – – – – – – – Class A Euro Distributing (A) – – – – – – – – – Class A Euro Distributing (A) (Hedged) – – – – – – – – – Class A Euro Distributing (D) – – – – – – – – – Class A Euro Distributing (M) (Hedged) – – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – – Class A GBP Accumulating (Hedged) – – – – – – – – – Class A GBP Distributing (A) – – – 584 – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – – Class A GBP Distributing (D) – – – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – – – Class A GBP Distributing (M) – – – – – – – – – Class A GBP Distributing (M) (Hedged) – – – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – – Class A (PF) US$ Accumulating – – – – – – – – – Class A (PF) US$ Distributing (M) – – – – – – – – – Class A SGD Accumulating – – – – – – – – – Class A SGD Accumulating (Hedged) – – – – – – – – – Class A SGD Distributing (Q) – – – – – – – – – Class A SGD Distributing (Q) (Hedged) – – – – – – – – – Class B US$ Accumulating 379 – 99 910 – – – – – Class B US$ Distributing (A) 4,301 – 873 339 – – – – – Class B US$ Distributing (D) – – – – – – – – – Class B US$ Distributing (M) – – – – – – – – – Class B US$ Distributing (S) – – – – – – – – – Class C US$ Accumulating 416 – 64 2,140 – – – – – Class C US$ Distributing (A) 16,960 – 1,104 1,025 – – – – – Class C US$ Distributing (D) – – – – – – – – – Class C US$ Distributing (M) – – – – – – – – – Class C US$ Distributing (S) – – – – – – – – – Class E US$ Accumulating 339 – – 1,784 – – – – – Class E US$ Distributing (A) 1 – – 15 – – – – – Class E US$ Distributing (D) – – – – – – – – – Class E US$ Distributing (M) – – – – – – – – – Class E Euro Accumulating 59 – – – – – – – – Class E Euro Accumulating (Hedged) – – – – – – – – – Class F US$ Accumulating 1 – – 55 – – – – – Class F US$ Distributing (A) 1 – – 1 – – – – – Class F US$ Distributing (D) – – – – – – – – – Class F US$ Distributing (M) – – – – – – – – – Class F Euro Accumulating – – – – – – – – – Class F Euro Distributing (Q) – – – – – – – – – Class F (PF) US$ Accumulating – – – – – – – – – Class F (PF) US$ Distributing (M) – – – – – – – – – Premier Class US$ Accumulating – – – – – – – – – Premier Class US$ Distributing (A) – – – – – – – – – Premier Class US$ Distributing (D) – – – – – – – – – Premier Class US$ Distributing (M) – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) – – – – – – – – – Premier Class Euro Accumulating – – – 1,105 – – – – – Premier Class Euro Accumulating (Hedged) – – – – – – – – – Premier Class Euro Distributing (A) – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) – – – – – – – – – Premier Class Euro Distributing (M) – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) – – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

210 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch 130/ Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Emerging Batterymarch Asia 30 Global Equity International Emerging Markets Global Equity Congruix Asia Congruix Japan Legg Mason LMHK Markets Select Pacific Equity Fund Fund^ Large Cap Fund Equity Fund Fund Pacific Fund^ Equity Fund China Fund Equity Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Total Net Asset Value: (in 000’s) Class A US$ Accumulating $ 31,412 – $ 710 $ 10,469 – – – – – Class A US$ Distributing (A) 49,168 – 254 3,541 $ 1 – – $ 341 $ 1 Class A US$ Distributing (D) – – – – – – – – – Class A US$ Distributing (M) – – – – – – – – – Class A US$ Distributing (S) – – – – – – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – – Class A Euro Accumulating 1,297 – 107 2,433 – – – – – Class A Euro Accumulating (Hedged) – – – – – – – – – Class A Euro Distributing (A) – – – – – – – – – Class A Euro Distributing (A) (Hedged) – – – – – – – – – Class A Euro Distributing (D) – – – – – – – – – Class A Euro Distributing (M) (Hedged) – – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – – Class A GBP Accumulating (Hedged) – – – – – – – – – Class A GBP Distributing (A) – – – 584 – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – – Class A GBP Distributing (D) – – – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – – – Class A GBP Distributing (M) – – – – – – – – – Class A GBP Distributing (M) (Hedged) – – – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – – Class A (PF) US$ Accumulating – – – – – – – – – Class A (PF) US$ Distributing (M) – – – – – – – – – Class A SGD Accumulating – – – – – – – – – Class A SGD Accumulating (Hedged) – – – – – – – – – Class A SGD Distributing (Q) – – – – – – – – – Class A SGD Distributing (Q) (Hedged) – – – – – – – – – Class B US$ Accumulating 379 – 99 910 – – – – – Class B US$ Distributing (A) 4,301 – 873 339 – – – – – Class B US$ Distributing (D) – – – – – – – – – Class B US$ Distributing (M) – – – – – – – – – Class B US$ Distributing (S) – – – – – – – – – Class C US$ Accumulating 416 – 64 2,140 – – – – – Class C US$ Distributing (A) 16,960 – 1,104 1,025 – – – – – Class C US$ Distributing (D) – – – – – – – – – Class C US$ Distributing (M) – – – – – – – – – Class C US$ Distributing (S) – – – – – – – – – Class E US$ Accumulating 339 – – 1,784 – – – – – Class E US$ Distributing (A) 1 – – 15 – – – – – Class E US$ Distributing (D) – – – – – – – – – Class E US$ Distributing (M) – – – – – – – – – Class E Euro Accumulating 59 – – – – – – – – Class E Euro Accumulating (Hedged) – – – – – – – – – Class F US$ Accumulating 1 – – 55 – – – – – Class F US$ Distributing (A) 1 – – 1 – – – – – Class F US$ Distributing (D) – – – – – – – – – Class F US$ Distributing (M) – – – – – – – – – Class F Euro Accumulating – – – – – – – – – Class F Euro Distributing (Q) – – – – – – – – – Class F (PF) US$ Accumulating – – – – – – – – – Class F (PF) US$ Distributing (M) – – – – – – – – – Premier Class US$ Accumulating – – – – – – – – – Premier Class US$ Distributing (A) – – – – – – – – – Premier Class US$ Distributing (D) – – – – – – – – – Premier Class US$ Distributing (M) – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) – – – – – – – – – Premier Class Euro Accumulating – – – 1,105 – – – – – Premier Class Euro Accumulating (Hedged) – – – – – – – – – Premier Class Euro Distributing (A) – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) – – – – – – – – – Premier Class Euro Distributing (M) – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

211 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch 130/ Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Emerging Batterymarch Asia 30 Global Equity International Emerging Markets Global Equity Congruix Asia Congruix Japan Legg Mason LMHK Markets Select Pacific Equity Fund Fund^ Large Cap Fund Equity Fund Fund Pacific Fund^ Equity Fund China Fund Equity Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Total Net Asset Value: (in 000’s) Premier Class GBP Accumulating – – – – – – – – – Premier Class GBP Accumulating (Hedged) – – – – – – – – – Premier Class GBP Distributing (A) – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – – Premier Class GBP Distributing (D) (Hedged) – – – – – – – – – Premier Class GBP Distributing (M) – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – – – Premier Class JPY Accumulating – – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – – – – – – Premier (PF) Class US$ Accumulating – – – – – – – – – Premier (PF) Class US$ Distributing (M) – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – – – – – – – – – LM Class US$ Accumulating – – – – 2,903 – – 6,002 4,832 LM Class US$ Distributing (M) – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – – – – – LM Class Euro Accumulating – – – – – – – – – LM Class Euro Accumulating (Hedged) – – – – – – – – – LM Class Euro Distributing (Q) – – – – – – – – – LM Class GBP Accumulating – – – – – – – – – LM Class GBP Accumulating (Hedged) – – – – – – – – – LM Class GBP Distributing (M) – – – – – – – – – LM Class JPY Accumulating – – – – – – – – – LM Class JPY Accumulating (Hedged) – – – – – – – – – Class A (G) US$ Accumulating – – 3,712 – – – – – – Class A (G) US$ Distributing (A) – – – – – – – – – Class A (G) US$ Distributing (D) – – – – – – – – – Class B (G) US$ Accumulating – – 3,452 – – – – – – Class B (G) US$ Distributing (A) – – – – – – – – – Class B (G) US$ Distributing (D) – – – – – – – – – Class L (G) US$ Accumulating – – 3,256 – – – – – – Class L (G) US$ Distributing (A) – – – – – – – – – Class L (G) US$ Distributing (D) – – – – – – – – – Class GA US$ Accumulating 17,891 – – – 9,268 – – – – Class GA Euro Accumulating 1,238 – – – 5,459 – – – – Class GA Euro Distributing (A) 170 – – – 468 – – – – Class GE US$ Accumulating 668 – – – 247 – – – – Class GE US$ Distributing (A) – – – – – – – – – Class GE Euro Accumulating 885 – – – 1,249 – – – – Class GF US$ Accumulating – – – – – – – – – Class GF Euro Accumulating – – – – – – – – – Class GP US$ Accumulating 11 – – – – – – – – Galleon Class – – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

212 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch 130/ Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Emerging Batterymarch Asia 30 Global Equity International Emerging Markets Global Equity Congruix Asia Congruix Japan Legg Mason LMHK Markets Select Pacific Equity Fund Fund^ Large Cap Fund Equity Fund Fund Pacific Fund^ Equity Fund China Fund Equity Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Total Net Asset Value: (in 000’s) Premier Class GBP Accumulating – – – – – – – – – Premier Class GBP Accumulating (Hedged) – – – – – – – – – Premier Class GBP Distributing (A) – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – – Premier Class GBP Distributing (D) (Hedged) – – – – – – – – – Premier Class GBP Distributing (M) – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – – – Premier Class JPY Accumulating – – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – – – – – – Premier (PF) Class US$ Accumulating – – – – – – – – – Premier (PF) Class US$ Distributing (M) – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – – – – – – – – – LM Class US$ Accumulating – – – – 2,903 – – 6,002 4,832 LM Class US$ Distributing (M) – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – – – – – LM Class Euro Accumulating – – – – – – – – – LM Class Euro Accumulating (Hedged) – – – – – – – – – LM Class Euro Distributing (Q) – – – – – – – – – LM Class GBP Accumulating – – – – – – – – – LM Class GBP Accumulating (Hedged) – – – – – – – – – LM Class GBP Distributing (M) – – – – – – – – – LM Class JPY Accumulating – – – – – – – – – LM Class JPY Accumulating (Hedged) – – – – – – – – – Class A (G) US$ Accumulating – – 3,712 – – – – – – Class A (G) US$ Distributing (A) – – – – – – – – – Class A (G) US$ Distributing (D) – – – – – – – – – Class B (G) US$ Accumulating – – 3,452 – – – – – – Class B (G) US$ Distributing (A) – – – – – – – – – Class B (G) US$ Distributing (D) – – – – – – – – – Class L (G) US$ Accumulating – – 3,256 – – – – – – Class L (G) US$ Distributing (A) – – – – – – – – – Class L (G) US$ Distributing (D) – – – – – – – – – Class GA US$ Accumulating 17,891 – – – 9,268 – – – – Class GA Euro Accumulating 1,238 – – – 5,459 – – – – Class GA Euro Distributing (A) 170 – – – 468 – – – – Class GE US$ Accumulating 668 – – – 247 – – – – Class GE US$ Distributing (A) – – – – – – – – – Class GE Euro Accumulating 885 – – – 1,249 – – – – Class GF US$ Accumulating – – – – – – – – – Class GF Euro Accumulating – – – – – – – – – Class GP US$ Accumulating 11 – – – – – – – – Galleon Class – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

213 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Western Asset Legg Mason Western Asset Legg Mason Western Western Asset Legg Mason Western Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Strategic Income Global Multi Western Asset Emerging Markets Asset Global High US Short-Term Asset US Adjustable Inflation Opportunities Global Blue Chip Fund Fund Bond Fund Bond Fund Fund Strategy Fund US High Yield Fund Bond Fund Yield Fund Government Fund Rate Fund Management Fund Fund Bond Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Class A US$ Accumulating 195 20 33 – 17 634 31 537 1,401 24 117 23 1,477 24 Class A US$ Distributing (A) – – – – – – – – – – – 10 – – Class A US$ Distributing (D) 4,087,764 84 30 21 132 1,010 566 117 419 33 – – 689 – Class A US$ Distributing (M) – – – – 2 433 1 164 483 – – – 219 33 Class A US$ Distributing (S) – – – – – – – – – – – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – 76 – – – – – Class A Euro Accumulating – – – – – – – – – – – – 177 – Class A Euro Accumulating (Hedged) – – – – 15 596 – 35 – – – – 12 4 Class A Euro Distributing (A) – – – – – – – – – – – – 1 – Class A Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (D) – – – 38 – – – – – – – – – – Class A Euro Distributing (M) (Hedged) – – – – – 131 – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A GBP Accumulating (Hedged) – – – – – – – – – – – – – 2 Class A GBP Distributing (A) – – – – – – – – – – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (D) – – – – – – – – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – 132 – – – – – – Class A GBP Distributing (M) – – – – – – – – – – – – 41 – Class A GBP Distributing (M) (Hedged) – – – – – 1,157 11 – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A (PF) US$ Accumulating – – – – – – – – – – – – – – Class A (PF) US$ Distributing (M) – – – – – – – – – – – – – – Class A SGD Accumulating – – – – – – – – – – – – – – Class A SGD Accumulating (Hedged) – – – – – – – – – – – – 15,748 – Class A SGD Distributing (Q) – – – – – – – – – – – – 10,538 – Class A SGD Distributing (Q) (Hedged) – – – – – 2,248 – 668 684 – – – 9,101 – Class B US$ Accumulating – 1 3 – – 6 9 3 4 3 – 9 23 – Class B US$ Distributing (A) – – – – – – – – – – – 1 – – Class B US$ Distributing (D) 568 11 3 8 40 120 70 12 16 4 2 – 18 – Class B US$ Distributing (M) – – – – – – – – – – – – – 3 Class B US$ Distributing (S) – – – – – – – – – – – – – – Class C US$ Accumulating 3 1 7 – 7 230 18 2 16 9 – – 335 28 Class C US$ Distributing (A) – – – – – – – – – – – 47 – – Class C US$ Distributing (D) 16,298 35 47 16 74 1,112 132 78 144 71 1 – 364 – Class C US$ Distributing (M) – – – – – – – – – – – – – 76 Class C US$ Distributing (S) – – – – – – – – – – – – – – Class E US$ Accumulating – – – – – 165 47 – 54 – – – 129 10 Class E US$ Distributing (A) – – – – – – – – – – – – – – Class E US$ Distributing (D) – – – – – 43 10 1 7 – – – 26 3 Class E US$ Distributing (M) – – – – – – – – – – – – – – Class E Euro Accumulating – – – – – – – – – – – – – – Class E Euro Accumulating (Hedged) – – – – – 4 – – – – – – – – Class F US$ Accumulating – – – – – 12 – 40 – – – – 7 – Class F US$ Distributing (A) – – – – – – – – – – – – – – Class F US$ Distributing (D) – – – – – 8 – – – – – – 1 – Class F US$ Distributing (M) – – – – – – – – – – – – – – Class F Euro Accumulating – – – – – – – – – – – – – – Class F Euro Distributing (Q) – – – 1 – – – – – – – – – – Class F (PF) US$ Accumulating – – – – – – – – – – – – – – Class F (PF) US$ Distributing (M) – – – – – – – – – – – – – – Premier Class US$ Accumulating – – 1,594 – – 148 1,191 155 514 – – – 314 41 Premier Class US$ Distributing (A) – – – – – – – – – – – – – – Premier Class US$ Distributing (D) – – – – – – – – – – – – – – Premier Class US$ Distributing (M) – – – – – 61 – – – – – – – 76 Premier Class AUD Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Accumulating – – – 682 – – – – – – – – 406 – Premier Class Euro Accumulating (Hedged) – – – – – 731 – 13 – – – – 175 490 Premier Class Euro Distributing (A) – – – – – – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) – – – – – – – – – – – – 8 – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – – – – – – 17 Premier Class Euro Distributing (Q) (Hedged) – – – – – – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

214 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Western Asset Legg Mason Western Asset Legg Mason Western Western Asset Legg Mason Western Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Strategic Income Global Multi Western Asset Emerging Markets Asset Global High US Short-Term Asset US Adjustable Inflation Opportunities Global Blue Chip Fund Fund Bond Fund Bond Fund Fund Strategy Fund US High Yield Fund Bond Fund Yield Fund Government Fund Rate Fund Management Fund Fund Bond Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Class A US$ Accumulating 195 20 33 – 17 634 31 537 1,401 24 117 23 1,477 24 Class A US$ Distributing (A) – – – – – – – – – – – 10 – – Class A US$ Distributing (D) 4,087,764 84 30 21 132 1,010 566 117 419 33 – – 689 – Class A US$ Distributing (M) – – – – 2 433 1 164 483 – – – 219 33 Class A US$ Distributing (S) – – – – – – – – – – – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – 76 – – – – – Class A Euro Accumulating – – – – – – – – – – – – 177 – Class A Euro Accumulating (Hedged) – – – – 15 596 – 35 – – – – 12 4 Class A Euro Distributing (A) – – – – – – – – – – – – 1 – Class A Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (D) – – – 38 – – – – – – – – – – Class A Euro Distributing (M) (Hedged) – – – – – 131 – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A GBP Accumulating (Hedged) – – – – – – – – – – – – – 2 Class A GBP Distributing (A) – – – – – – – – – – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (D) – – – – – – – – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – 132 – – – – – – Class A GBP Distributing (M) – – – – – – – – – – – – 41 – Class A GBP Distributing (M) (Hedged) – – – – – 1,157 11 – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A (PF) US$ Accumulating – – – – – – – – – – – – – – Class A (PF) US$ Distributing (M) – – – – – – – – – – – – – – Class A SGD Accumulating – – – – – – – – – – – – – – Class A SGD Accumulating (Hedged) – – – – – – – – – – – – 15,748 – Class A SGD Distributing (Q) – – – – – – – – – – – – 10,538 – Class A SGD Distributing (Q) (Hedged) – – – – – 2,248 – 668 684 – – – 9,101 – Class B US$ Accumulating – 1 3 – – 6 9 3 4 3 – 9 23 – Class B US$ Distributing (A) – – – – – – – – – – – 1 – – Class B US$ Distributing (D) 568 11 3 8 40 120 70 12 16 4 2 – 18 – Class B US$ Distributing (M) – – – – – – – – – – – – – 3 Class B US$ Distributing (S) – – – – – – – – – – – – – – Class C US$ Accumulating 3 1 7 – 7 230 18 2 16 9 – – 335 28 Class C US$ Distributing (A) – – – – – – – – – – – 47 – – Class C US$ Distributing (D) 16,298 35 47 16 74 1,112 132 78 144 71 1 – 364 – Class C US$ Distributing (M) – – – – – – – – – – – – – 76 Class C US$ Distributing (S) – – – – – – – – – – – – – – Class E US$ Accumulating – – – – – 165 47 – 54 – – – 129 10 Class E US$ Distributing (A) – – – – – – – – – – – – – – Class E US$ Distributing (D) – – – – – 43 10 1 7 – – – 26 3 Class E US$ Distributing (M) – – – – – – – – – – – – – – Class E Euro Accumulating – – – – – – – – – – – – – – Class E Euro Accumulating (Hedged) – – – – – 4 – – – – – – – – Class F US$ Accumulating – – – – – 12 – 40 – – – – 7 – Class F US$ Distributing (A) – – – – – – – – – – – – – – Class F US$ Distributing (D) – – – – – 8 – – – – – – 1 – Class F US$ Distributing (M) – – – – – – – – – – – – – – Class F Euro Accumulating – – – – – – – – – – – – – – Class F Euro Distributing (Q) – – – 1 – – – – – – – – – – Class F (PF) US$ Accumulating – – – – – – – – – – – – – – Class F (PF) US$ Distributing (M) – – – – – – – – – – – – – – Premier Class US$ Accumulating – – 1,594 – – 148 1,191 155 514 – – – 314 41 Premier Class US$ Distributing (A) – – – – – – – – – – – – – – Premier Class US$ Distributing (D) – – – – – – – – – – – – – – Premier Class US$ Distributing (M) – – – – – 61 – – – – – – – 76 Premier Class AUD Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Accumulating – – – 682 – – – – – – – – 406 – Premier Class Euro Accumulating (Hedged) – – – – – 731 – 13 – – – – 175 490 Premier Class Euro Distributing (A) – – – – – – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) – – – – – – – – – – – – 8 – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – – – – – – 17 Premier Class Euro Distributing (Q) (Hedged) – – – – – – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

215 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Western Asset Legg Mason Western Asset Legg Mason Western Western Asset Legg Mason Western Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Strategic Income Global Multi Western Asset Emerging Markets Asset Global High US Short-Term Asset US Adjustable Inflation Opportunities Global Blue Chip Fund Fund Bond Fund Bond Fund Fund Strategy Fund US High Yield Fund Bond Fund Yield Fund Government Fund Rate Fund Management Fund Fund Bond Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Premier Class GBP Accumulating – – – – – – – – – – – – – – Premier Class GBP Accumulating (Hedged) – – 3 – – 1,525 – – – – – – – 33 Premier Class GBP Distributing (A) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (D) (Hedged) – – – – – – – – 3 – – – – – Premier Class GBP Distributing (M) – – – – – – – – – – – – 242 – Premier Class GBP Distributing (M) (Hedged) – – – – – 425 – – – – – – – 661 Premier Class GBP Distributing (Q) (Hedged) – – – – – 109 – – – – – – – – Premier Class JPY Accumulating – – – – – 288 – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – 1,840 – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class US$ Accumulating – – – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) – – – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class US$ Accumulating – – – – – 81 747 24 – – – – 780 – LM Class US$ Distributing (M) – – 285 – – – 2,043 – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – – – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – 671 – – – – – – – – LM Class Euro Accumulating – – – – – – – – – – – – – – LM Class Euro Accumulating (Hedged) – – – – – 14 – – – – – – – – LM Class Euro Distributing (Q) – – – – – – – – – – – – – – LM Class GBP Accumulating – – – – – – – – – – – – – – LM Class GBP Accumulating (Hedged) – – 12 – – 1,823 12 – – – – – – – LM Class GBP Distributing (M) – – – – – – – – – – – – – – LM Class JPY Accumulating – – – – – – – – – – – – – – LM Class JPY Accumulating (Hedged) – – – – – 37 – – – – – – – – Class A (G) US$ Accumulating 16 – 15 – 11 – 31 45 207 24 25 8 – – Class A (G) US$ Distributing (A) – – – – – – – – – – – 1 – – Class A (G) US$ Distributing (D) 1,934 – 38 – 118 – 91 50 150 130 35 – – – Class B (G) US$ Accumulating 4 – 11 – 19 – 7 14 27 2 7 2 – – Class B (G) US$ Distributing (A) – – – – – – – – – – – 4 – – Class B (G) US$ Distributing (D) 320 – 9 – 29 – 17 15 48 7 22 – – – Class L (G) US$ Accumulating – – 9 – 7 – 2 16 7 3 6 2 – – Class L (G) US$ Distributing (A) – – – – – – – – – – – 4 – – Class L (G) US$ Distributing (D) 2,056 – 31 – 21 – 102 67 73 30 43 – – – Class GA US$ Accumulating – 56 – – – – – – – – – – – – Class GA Euro Accumulating – – – 59 – – – – – – – – – – Class GA Euro Distributing (A) – – – 9 – – – – – – – – – – Class GE US$ Accumulating – 7 – – – – – – – – – – – – Class GE US$ Distributing (A) – – – – – – – – – – – – – – Class GE Euro Accumulating – – – 13 – – – – – – – – – – Class GF US$ Accumulating – – – – – – 44 – – – – – – – Class GF Euro Accumulating – – – – – – – – – – – – – – Class GP US$ Accumulating – – – – – – – – – – – – – – Galleon Class – – – – – – – – – – – – – –

Amounts designated as "-" are either $0/E0/¥0/£0 or less than $1,000/E1,000/¥1,000/£1,000. NAV per share information represents Redeemable Participating Shares G Effective May 13, 2011, the Fund commenced trading.

The accompanying notes are an integral part of the Financial Statements

216 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Western Asset Legg Mason Western Asset Legg Mason Western Western Asset Legg Mason Western Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Strategic Income Global Multi Western Asset Emerging Markets Asset Global High US Short-Term Asset US Adjustable Inflation Opportunities Global Blue Chip Fund Fund Bond Fund Bond Fund Fund Strategy Fund US High Yield Fund Bond Fund Yield Fund Government Fund Rate Fund Management Fund Fund Bond Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Premier Class GBP Accumulating – – – – – – – – – – – – – – Premier Class GBP Accumulating (Hedged) – – 3 – – 1,525 – – – – – – – 33 Premier Class GBP Distributing (A) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (D) (Hedged) – – – – – – – – 3 – – – – – Premier Class GBP Distributing (M) – – – – – – – – – – – – 242 – Premier Class GBP Distributing (M) (Hedged) – – – – – 425 – – – – – – – 661 Premier Class GBP Distributing (Q) (Hedged) – – – – – 109 – – – – – – – – Premier Class JPY Accumulating – – – – – 288 – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – 1,840 – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class US$ Accumulating – – – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) – – – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class US$ Accumulating – – – – – 81 747 24 – – – – 780 – LM Class US$ Distributing (M) – – 285 – – – 2,043 – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – – – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – 671 – – – – – – – – LM Class Euro Accumulating – – – – – – – – – – – – – – LM Class Euro Accumulating (Hedged) – – – – – 14 – – – – – – – – LM Class Euro Distributing (Q) – – – – – – – – – – – – – – LM Class GBP Accumulating – – – – – – – – – – – – – – LM Class GBP Accumulating (Hedged) – – 12 – – 1,823 12 – – – – – – – LM Class GBP Distributing (M) – – – – – – – – – – – – – – LM Class JPY Accumulating – – – – – – – – – – – – – – LM Class JPY Accumulating (Hedged) – – – – – 37 – – – – – – – – Class A (G) US$ Accumulating 16 – 15 – 11 – 31 45 207 24 25 8 – – Class A (G) US$ Distributing (A) – – – – – – – – – – – 1 – – Class A (G) US$ Distributing (D) 1,934 – 38 – 118 – 91 50 150 130 35 – – – Class B (G) US$ Accumulating 4 – 11 – 19 – 7 14 27 2 7 2 – – Class B (G) US$ Distributing (A) – – – – – – – – – – – 4 – – Class B (G) US$ Distributing (D) 320 – 9 – 29 – 17 15 48 7 22 – – – Class L (G) US$ Accumulating – – 9 – 7 – 2 16 7 3 6 2 – – Class L (G) US$ Distributing (A) – – – – – – – – – – – 4 – – Class L (G) US$ Distributing (D) 2,056 – 31 – 21 – 102 67 73 30 43 – – – Class GA US$ Accumulating – 56 – – – – – – – – – – – – Class GA Euro Accumulating – – – 59 – – – – – – – – – – Class GA Euro Distributing (A) – – – 9 – – – – – – – – – – Class GE US$ Accumulating – 7 – – – – – – – – – – – – Class GE US$ Distributing (A) – – – – – – – – – – – – – – Class GE Euro Accumulating – – – 13 – – – – – – – – – – Class GF US$ Accumulating – – – – – – 44 – – – – – – – Class GF Euro Accumulating – – – – – – – – – – – – – – Class GP US$ Accumulating – – – – – – – – – – – – – – Galleon Class – – – – – – – – – – – – – –

Amounts designated as "-" are either $0/E0/¥0/£0 or less than $1,000/E1,000/¥1,000/£1,000. NAV per share information represents Redeemable Participating Shares G Effective May 13, 2011, the Fund commenced trading.

The accompanying notes are an integral part of the Financial Statements

217 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Global Credit Legg Mason Western Legg Mason Western Western Asset Western Asset Western Asset UK£ Legg Mason Legg Mason Western Legg Mason Brandywine Global Western Asset Capital Capital Western Asset Absolute Return Asset UK£ Core Plus Asset Global Core Global Inflation- UK£ Inflation- Long Duration Western Asset Asset Euro High Brandywine Global Opportunistic Fixed Brazil Equity Management Management Brazil Bond Fund^ Fund^ Bond Fund^ Plus Bond Fund^ Linked Fund Linked Plus Fund^ Fund^ Global Credit Fund Yield Fund^ Fixed Income Fund Income Fund^ Fund^ Value Fund Growth Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Class A US$ Accumulating – – – – – – – – – 268 168 – 478 30 Class A US$ Distributing (A) – – – – – – – – – – – – 1,205 68 Class A US$ Distributing (D) – – – – – – – – – – – – – – Class A US$ Distributing (M) – 1 – – – – – – – 5 45 – – – Class A US$ Distributing (S) – – – – – – – – – 1,548 – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Accumulating – – – – – – – – – – – – 3 6 Class A Euro Accumulating (Hedged) – – – – – – – – – 69 – – – – Class A Euro Distributing (A) – – – – – – – – – – – – – – Class A Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (D) – – – – – – – – – – – – – – Class A Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – – 308 – – – – Class A GBP Accumulating (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (A) – – – – – – – – – – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (D) – – – – – – – – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (M) – – – – – – – – – – – – – – Class A GBP Distributing (M) (Hedged) – 86 – – – – – – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – – 274 – – – – Class A (PF) US$ Accumulating – 56 – – – – – – – – – – – – Class A (PF) US$ Distributing (M) – 1 – – – – – – – – – – – – Class A SGD Accumulating – – – – – – – – – – – – 29,347 – Class A SGD Accumulating (Hedged) – – – – – – – – – – – – – – Class A SGD Distributing (Q) – – – – – – – – – – – – – – Class A SGD Distributing (Q) (Hedged) – – – – – – – – – – – – – – Class B US$ Accumulating – – – – – – – – – 8 – – 3 – Class B US$ Distributing (A) – – – – – – – – – – – – 18 8 Class B US$ Distributing (D) – – – – – – – – – – – – – – Class B US$ Distributing (M) – – – – – – – – – – – – – – Class B US$ Distributing (S) – – – – – – – – – 27 – – – – Class C US$ Accumulating – – – – – – – – – 8 – – 3 3 Class C US$ Distributing (A) – – – – – – – – – – – – 82 22 Class C US$ Distributing (D) – – – – – – – – – – – – – – Class C US$ Distributing (M) – – – – – – – – – – – – – – Class C US$ Distributing (S) – – – – – – – – – 108 – – – – Class E US$ Accumulating – – – – – – – – – – – – – – Class E US$ Distributing (A) – – – – – – – – – – – – – – Class E US$ Distributing (D) – – – – – – – – – – – – – – Class E US$ Distributing (M) – – – – – – – – – – – – – – Class E Euro Accumulating – – – – – – – – – – – – – – Class E Euro Accumulating (Hedged) – – – – – – – – – – – – – – Class F US$ Accumulating – – – – – – – – – – – – – – Class F US$ Distributing (A) – – – – – – – – – – – – – – Class F US$ Distributing (D) – – – – – – – – – – – – – – Class F US$ Distributing (M) – – – – – – – – – – – – – – Class F Euro Accumulating – – – – – – – – – – – – – – Class F Euro Distributing (Q) – – – – – – – – – – – – – – Class F (PF) US$ Accumulating – – – – – – – – – – – – – – Class F (PF) US$ Distributing (M) – – – – – – – – – – – – – – Premier Class US$ Accumulating 45 – – 11 361 – – – – 305 – – 769 670 Premier Class US$ Distributing (A) – – – – – – – – – – – – – – Premier Class US$ Distributing (D) – – – – – – – – – – – – – – Premier Class US$ Distributing (M) – – – – – – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Accumulating – – – – – – – – – 73 – – – – Premier Class Euro Accumulating (Hedged) – 12 – – – – – – – – – – – – Premier Class Euro Distributing (A) – – – – – – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) – – – 297 – – – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

218 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Global Credit Legg Mason Western Legg Mason Western Western Asset Western Asset Western Asset UK£ Legg Mason Legg Mason Western Legg Mason Brandywine Global Western Asset Capital Capital Western Asset Absolute Return Asset UK£ Core Plus Asset Global Core Global Inflation- UK£ Inflation- Long Duration Western Asset Asset Euro High Brandywine Global Opportunistic Fixed Brazil Equity Management Management Brazil Bond Fund^ Fund^ Bond Fund^ Plus Bond Fund^ Linked Fund Linked Plus Fund^ Fund^ Global Credit Fund Yield Fund^ Fixed Income Fund Income Fund^ Fund^ Value Fund Growth Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Class A US$ Accumulating – – – – – – – – – 268 168 – 478 30 Class A US$ Distributing (A) – – – – – – – – – – – – 1,205 68 Class A US$ Distributing (D) – – – – – – – – – – – – – – Class A US$ Distributing (M) – 1 – – – – – – – 5 45 – – – Class A US$ Distributing (S) – – – – – – – – – 1,548 – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Accumulating – – – – – – – – – – – – 3 6 Class A Euro Accumulating (Hedged) – – – – – – – – – 69 – – – – Class A Euro Distributing (A) – – – – – – – – – – – – – – Class A Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (D) – – – – – – – – – – – – – – Class A Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – – 308 – – – – Class A GBP Accumulating (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (A) – – – – – – – – – – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (D) – – – – – – – – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (M) – – – – – – – – – – – – – – Class A GBP Distributing (M) (Hedged) – 86 – – – – – – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – – 274 – – – – Class A (PF) US$ Accumulating – 56 – – – – – – – – – – – – Class A (PF) US$ Distributing (M) – 1 – – – – – – – – – – – – Class A SGD Accumulating – – – – – – – – – – – – 29,347 – Class A SGD Accumulating (Hedged) – – – – – – – – – – – – – – Class A SGD Distributing (Q) – – – – – – – – – – – – – – Class A SGD Distributing (Q) (Hedged) – – – – – – – – – – – – – – Class B US$ Accumulating – – – – – – – – – 8 – – 3 – Class B US$ Distributing (A) – – – – – – – – – – – – 18 8 Class B US$ Distributing (D) – – – – – – – – – – – – – – Class B US$ Distributing (M) – – – – – – – – – – – – – – Class B US$ Distributing (S) – – – – – – – – – 27 – – – – Class C US$ Accumulating – – – – – – – – – 8 – – 3 3 Class C US$ Distributing (A) – – – – – – – – – – – – 82 22 Class C US$ Distributing (D) – – – – – – – – – – – – – – Class C US$ Distributing (M) – – – – – – – – – – – – – – Class C US$ Distributing (S) – – – – – – – – – 108 – – – – Class E US$ Accumulating – – – – – – – – – – – – – – Class E US$ Distributing (A) – – – – – – – – – – – – – – Class E US$ Distributing (D) – – – – – – – – – – – – – – Class E US$ Distributing (M) – – – – – – – – – – – – – – Class E Euro Accumulating – – – – – – – – – – – – – – Class E Euro Accumulating (Hedged) – – – – – – – – – – – – – – Class F US$ Accumulating – – – – – – – – – – – – – – Class F US$ Distributing (A) – – – – – – – – – – – – – – Class F US$ Distributing (D) – – – – – – – – – – – – – – Class F US$ Distributing (M) – – – – – – – – – – – – – – Class F Euro Accumulating – – – – – – – – – – – – – – Class F Euro Distributing (Q) – – – – – – – – – – – – – – Class F (PF) US$ Accumulating – – – – – – – – – – – – – – Class F (PF) US$ Distributing (M) – – – – – – – – – – – – – – Premier Class US$ Accumulating 45 – – 11 361 – – – – 305 – – 769 670 Premier Class US$ Distributing (A) – – – – – – – – – – – – – – Premier Class US$ Distributing (D) – – – – – – – – – – – – – – Premier Class US$ Distributing (M) – – – – – – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Accumulating – – – – – – – – – 73 – – – – Premier Class Euro Accumulating (Hedged) – 12 – – – – – – – – – – – – Premier Class Euro Distributing (A) – – – – – – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) – – – 297 – – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

219 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Global Credit Legg Mason Western Legg Mason Western Western Asset Western Asset Western Asset UK£ Legg Mason Legg Mason Western Legg Mason Brandywine Global Western Asset Capital Capital Western Asset Absolute Return Asset UK£ Core Plus Asset Global Core Global Inflation- UK£ Inflation- Long Duration Western Asset Asset Euro High Brandywine Global Opportunistic Fixed Brazil Equity Management Management Brazil Bond Fund^ Fund^ Bond Fund^ Plus Bond Fund^ Linked Fund Linked Plus Fund^ Fund^ Global Credit Fund Yield Fund^ Fixed Income Fund Income Fund^ Fund^ Value Fund Growth Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Premier Class GBP Accumulating – – 49 – – 51 – – – – – – – – Premier Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (D) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) – 181 – – – – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – – – – – – – – Premier Class JPY Accumulating – – – – – – – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – 36,790 – – – – – – – – – Premier (PF) Class US$ Accumulating – 100 – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) – 171 – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – 137 – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – 270 – – – – – – – – – – – – LM Class US$ Accumulating 50 – – 243 – – – 846 – 225 – 50 51 – LM Class US$ Distributing (M) – – – – – – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – 252 – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class Euro Accumulating – – – – – – – – 113 – – – 8 – LM Class Euro Accumulating (Hedged) – – – 40 – – – – – 37 – – – – LM Class Euro Distributing (Q) – – – – – – – – 405 – – – – – LM Class GBP Accumulating – – 763 – – 122 638 – – – – – – – LM Class GBP Accumulating (Hedged) – – – – 12 – – – – – – – – – LM Class GBP Distributing (M) – – – – – 128 135 – – – – – – – LM Class JPY Accumulating – – – – – – – – – – – – 39 – LM Class JPY Accumulating (Hedged) – – – 122 – – – – – 115 – – – – Class A (G) US$ Accumulating – – – – – – – – – – – – – – Class A (G) US$ Distributing (A) – – – – – – – – – – – – – – Class A (G) US$ Distributing (D) – – – – – – – – – – – – – – Class B (G) US$ Accumulating – – – – – – – – – – – – – – Class B (G) US$ Distributing (A) – – – – – – – – – – – – – – Class B (G) US$ Distributing (D) – – – – – – – – – – – – – – Class L (G) US$ Accumulating – – – – – – – – – – – – – – Class L (G) US$ Distributing (A) – – – – – – – – – – – – – – Class L (G) US$ Distributing (D) – – – – – – – – – – – – – – Class GA US$ Accumulating – – – – – – – – – – – – – – Class GA Euro Accumulating – – – – – – – – – – – – – – Class GA Euro Distributing (A) – – – – – – – – – – – – – – Class GE US$ Accumulating – – – – – – – – – – – – – – Class GE US$ Distributing (A) – – – – – – – – – – – – – – Class GE Euro Accumulating – – – – – – – – – – – – – – Class GF US$ Accumulating – – – – – – – – – – – – – – Class GF Euro Accumulating – – – – – – – – – – – – – – Class GP US$ Accumulating – – – – – – – – – – – – – – Galleon Class – – – – – – – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

220 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Global Credit Legg Mason Western Legg Mason Western Western Asset Western Asset Western Asset UK£ Legg Mason Legg Mason Western Legg Mason Brandywine Global Western Asset Capital Capital Western Asset Absolute Return Asset UK£ Core Plus Asset Global Core Global Inflation- UK£ Inflation- Long Duration Western Asset Asset Euro High Brandywine Global Opportunistic Fixed Brazil Equity Management Management Brazil Bond Fund^ Fund^ Bond Fund^ Plus Bond Fund^ Linked Fund Linked Plus Fund^ Fund^ Global Credit Fund Yield Fund^ Fixed Income Fund Income Fund^ Fund^ Value Fund Growth Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Premier Class GBP Accumulating – – 49 – – 51 – – – – – – – – Premier Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (D) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) – 181 – – – – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – – – – – – – – Premier Class JPY Accumulating – – – – – – – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – 36,790 – – – – – – – – – Premier (PF) Class US$ Accumulating – 100 – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) – 171 – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – 137 – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – 270 – – – – – – – – – – – – LM Class US$ Accumulating 50 – – 243 – – – 846 – 225 – 50 51 – LM Class US$ Distributing (M) – – – – – – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – 252 – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class Euro Accumulating – – – – – – – – 113 – – – 8 – LM Class Euro Accumulating (Hedged) – – – 40 – – – – – 37 – – – – LM Class Euro Distributing (Q) – – – – – – – – 405 – – – – – LM Class GBP Accumulating – – 763 – – 122 638 – – – – – – – LM Class GBP Accumulating (Hedged) – – – – 12 – – – – – – – – – LM Class GBP Distributing (M) – – – – – 128 135 – – – – – – – LM Class JPY Accumulating – – – – – – – – – – – – 39 – LM Class JPY Accumulating (Hedged) – – – 122 – – – – – 115 – – – – Class A (G) US$ Accumulating – – – – – – – – – – – – – – Class A (G) US$ Distributing (A) – – – – – – – – – – – – – – Class A (G) US$ Distributing (D) – – – – – – – – – – – – – – Class B (G) US$ Accumulating – – – – – – – – – – – – – – Class B (G) US$ Distributing (A) – – – – – – – – – – – – – – Class B (G) US$ Distributing (D) – – – – – – – – – – – – – – Class L (G) US$ Accumulating – – – – – – – – – – – – – – Class L (G) US$ Distributing (A) – – – – – – – – – – – – – – Class L (G) US$ Distributing (D) – – – – – – – – – – – – – – Class GA US$ Accumulating – – – – – – – – – – – – – – Class GA Euro Accumulating – – – – – – – – – – – – – – Class GA Euro Distributing (A) – – – – – – – – – – – – – – Class GE US$ Accumulating – – – – – – – – – – – – – – Class GE US$ Distributing (A) – – – – – – – – – – – – – – Class GE Euro Accumulating – – – – – – – – – – – – – – Class GF US$ Accumulating – – – – – – – – – – – – – – Class GF Euro Accumulating – – – – – – – – – – – – – – Class GP US$ Accumulating – – – – – – – – – – – – – – Galleon Class – – – – – – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

221 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Capital ClearBridge ClearBridge Legg Mason ClearBridge Royce US Small Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Legg Mason Batterymarch Management US Appreciation US Fundamental ClearBridge US Large US Aggressive Cap Opportunity Smaller Companies Smaller Companies European Smaller Global Smaller Legg Mason PCM US Permal Global GC Global Equity European Equity Opportunity Fund Fund Value Fund Cap Growth Fund Growth Fund Fund Fund Fund II^GG Companies Fund^ Companies Fund Equity Fund Absolute Fund Fund Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Class A US$ Accumulating 18 490 233 38 545 1,732 3,975 804 – 10 – 198 1 75 Class A US$ Distributing (A) 7 426 16 8 156 252 961 – – – – 115 14 17 Class A US$ Distributing (D) – – – – – – – – – – – – – – Class A US$ Distributing (M) – – – – – – – – – – – – – – Class A US$ Distributing (S) – – – – – – – – – – – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Accumulating – 79 – 1 7 143 24 – – – – – – 2 Class A Euro Accumulating (Hedged) – – – – – – – – – – – 138 – – Class A Euro Distributing (A) – – – – – – – – 1 – – – – – Class A Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (D) – – – – – – – – – – – – – – Class A Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A GBP Accumulating (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (A) – – – – – 27 1 – – – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – – – – 2 – – Class A GBP Distributing (D) – – – – – – – – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (M) – – – – – – – – – – – – – – Class A GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A (PF) US$ Accumulating – – – – – – – – – – – – – – Class A (PF) US$ Distributing (M) – – – – – – – – – – – – – – Class A SGD Accumulating – – – – – 5,430 – – – – – – – – Class A SGD Accumulating (Hedged) – – – – – – – – – – – 1,593 – – Class A SGD Distributing (Q) – – – – – – – – – – – – – – Class A SGD Distributing (Q) (Hedged) – – – – – – – – – – – – – – Class B US$ Accumulating – 8 4 8 13 10 18 – – – – – – 1 Class B US$ Distributing (A) – 10 13 7 16 6 17 – – – – 1 1 7 Class B US$ Distributing (D) – – – – – – – – – – – – – – Class B US$ Distributing (M) – – – – – – – – – – – – – – Class B US$ Distributing (S) – – – – – – – – – – – – – – Class C US$ Accumulating – 72 10 7 52 19 53 – – – – 170 – 49 Class C US$ Distributing (A) – 37 16 45 105 64 71 – – – – 60 – 20 Class C US$ Distributing (D) – – – – – – – – – – – – – – Class C US$ Distributing (M) – – – – – – – – – – – – – – Class C US$ Distributing (S) – – – – – – – – – – – – – – Class E US$ Accumulating – 50 – – 60 5 43 – – 1 – 6 – – Class E US$ Distributing (A) – 3 – – – 1 1 – – – – – – – Class E US$ Distributing (D) – – – – – – – – – – – – – – Class E US$ Distributing (M) – – – – – – – – – – – – – – Class E Euro Accumulating – – – – – 2 3 – – – – – – – Class E Euro Accumulating (Hedged) – – – – – – – – – – – – – – Class F US$ Accumulating – 4 – – – – 21 – – – – 5 – – Class F US$ Distributing (A) – – – – – – 5 – – – – 1 – – Class F US$ Distributing (D) – – – – – – – – – – – – – – Class F US$ Distributing (M) – – – – – – – – – – – – – – Class F Euro Accumulating – – – – – – – – – – – – – – Class F Euro Distributing (Q) – – – – – – – – – – – – – – Class F (PF) US$ Accumulating – – – – – – – – – – – – – – Class F (PF) US$ Distributing (M) – – – – – – – – – – – – – – Premier Class US$ Accumulating 141 386 – – 308 69 525 – – 56 – 12 – – Premier Class US$ Distributing (A) – 14 – – – – 125 – – – – – – – Premier Class US$ Distributing (D) – – – – – – – – – – – – – – Premier Class US$ Distributing (M) – – – – – – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) – – – – – – – – – – – 57 – – Premier Class Euro Accumulating – 39 – – 29 159 – – – – – – – – Premier Class Euro Accumulating (Hedged) – – – – – – – – – – – 21 – – Premier Class Euro Distributing (A) – – – – 1 – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) – – – – – – – – – – – 48 – – Premier Class Euro Distributing (M) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) – – – – – – – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

222 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Capital ClearBridge ClearBridge Legg Mason ClearBridge Royce US Small Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Legg Mason Batterymarch Management US Appreciation US Fundamental ClearBridge US Large US Aggressive Cap Opportunity Smaller Companies Smaller Companies European Smaller Global Smaller Legg Mason PCM US Permal Global GC Global Equity European Equity Opportunity Fund Fund Value Fund Cap Growth Fund Growth Fund Fund Fund Fund II^GG Companies Fund^ Companies Fund Equity Fund Absolute Fund Fund Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Class A US$ Accumulating 18 490 233 38 545 1,732 3,975 804 – 10 – 198 1 75 Class A US$ Distributing (A) 7 426 16 8 156 252 961 – – – – 115 14 17 Class A US$ Distributing (D) – – – – – – – – – – – – – – Class A US$ Distributing (M) – – – – – – – – – – – – – – Class A US$ Distributing (S) – – – – – – – – – – – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Accumulating – 79 – 1 7 143 24 – – – – – – 2 Class A Euro Accumulating (Hedged) – – – – – – – – – – – 138 – – Class A Euro Distributing (A) – – – – – – – – 1 – – – – – Class A Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (D) – – – – – – – – – – – – – – Class A Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A GBP Accumulating (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (A) – – – – – 27 1 – – – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – – – – 2 – – Class A GBP Distributing (D) – – – – – – – – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (M) – – – – – – – – – – – – – – Class A GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A (PF) US$ Accumulating – – – – – – – – – – – – – – Class A (PF) US$ Distributing (M) – – – – – – – – – – – – – – Class A SGD Accumulating – – – – – 5,430 – – – – – – – – Class A SGD Accumulating (Hedged) – – – – – – – – – – – 1,593 – – Class A SGD Distributing (Q) – – – – – – – – – – – – – – Class A SGD Distributing (Q) (Hedged) – – – – – – – – – – – – – – Class B US$ Accumulating – 8 4 8 13 10 18 – – – – – – 1 Class B US$ Distributing (A) – 10 13 7 16 6 17 – – – – 1 1 7 Class B US$ Distributing (D) – – – – – – – – – – – – – – Class B US$ Distributing (M) – – – – – – – – – – – – – – Class B US$ Distributing (S) – – – – – – – – – – – – – – Class C US$ Accumulating – 72 10 7 52 19 53 – – – – 170 – 49 Class C US$ Distributing (A) – 37 16 45 105 64 71 – – – – 60 – 20 Class C US$ Distributing (D) – – – – – – – – – – – – – – Class C US$ Distributing (M) – – – – – – – – – – – – – – Class C US$ Distributing (S) – – – – – – – – – – – – – – Class E US$ Accumulating – 50 – – 60 5 43 – – 1 – 6 – – Class E US$ Distributing (A) – 3 – – – 1 1 – – – – – – – Class E US$ Distributing (D) – – – – – – – – – – – – – – Class E US$ Distributing (M) – – – – – – – – – – – – – – Class E Euro Accumulating – – – – – 2 3 – – – – – – – Class E Euro Accumulating (Hedged) – – – – – – – – – – – – – – Class F US$ Accumulating – 4 – – – – 21 – – – – 5 – – Class F US$ Distributing (A) – – – – – – 5 – – – – 1 – – Class F US$ Distributing (D) – – – – – – – – – – – – – – Class F US$ Distributing (M) – – – – – – – – – – – – – – Class F Euro Accumulating – – – – – – – – – – – – – – Class F Euro Distributing (Q) – – – – – – – – – – – – – – Class F (PF) US$ Accumulating – – – – – – – – – – – – – – Class F (PF) US$ Distributing (M) – – – – – – – – – – – – – – Premier Class US$ Accumulating 141 386 – – 308 69 525 – – 56 – 12 – – Premier Class US$ Distributing (A) – 14 – – – – 125 – – – – – – – Premier Class US$ Distributing (D) – – – – – – – – – – – – – – Premier Class US$ Distributing (M) – – – – – – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) – – – – – – – – – – – 57 – – Premier Class Euro Accumulating – 39 – – 29 159 – – – – – – – – Premier Class Euro Accumulating (Hedged) – – – – – – – – – – – 21 – – Premier Class Euro Distributing (A) – – – – 1 – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) – – – – – – – – – – – 48 – – Premier Class Euro Distributing (M) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) – – – – – – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

223 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Capital ClearBridge ClearBridge Legg Mason ClearBridge Royce US Small Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Legg Mason Batterymarch Management US Appreciation US Fundamental ClearBridge US Large US Aggressive Cap Opportunity Smaller Companies Smaller Companies European Smaller Global Smaller Legg Mason PCM US Permal Global GC Global Equity European Equity Opportunity Fund Fund Value Fund Cap Growth Fund Growth Fund Fund Fund Fund II^GG Companies Fund^ Companies Fund Equity Fund Absolute Fund Fund Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Premier Class GBP Accumulating – – – – – – – – – – – – – – Premier Class GBP Accumulating (Hedged) – – – – – – – – – – – 34 – – Premier Class GBP Distributing (A) 364 – – – – – 94 – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – – – – 49 – – Premier Class GBP Distributing (D) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – – – – – – – – Premier Class JPY Accumulating – – – – – – – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class US$ Accumulating – – – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) – – – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class US$ Accumulating 2 104 95 – – – 30 – – 20 – 222 – 122 LM Class US$ Distributing (M) – – – – – – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – – – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class Euro Accumulating – 16 – – – – 5 – 17 – – – – 19 LM Class Euro Accumulating (Hedged) – – – – – – – – – – – – – – LM Class Euro Distributing (Q) – – – – – – – – – – – – – – LM Class GBP Accumulating – – – – – – – – – – – – – – LM Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – LM Class GBP Distributing (M) – – – – – – – – – – – – – – LM Class JPY Accumulating – 78 – – – – 22 – – – – – – 91 LM Class JPY Accumulating (Hedged) – – – – – – – – – – – 18 – – Class A (G) US$ Accumulating – 79 485 84 559 – 33 – – – – – – 74 Class A (G) US$ Distributing (A) – – – – – – – – – – – – – – Class A (G) US$ Distributing (D) – – – – – – – – – – – – – – Class B (G) US$ Accumulating – 17 114 28 77 – 7 – – – – – – 15 Class B (G) US$ Distributing (A) – – – – – – – – – – – – – – Class B (G) US$ Distributing (D) – – – – – – – – – – – – – – Class L (G) US$ Accumulating – 58 196 84 168 – 20 – – – – – – 18 Class L (G) US$ Distributing (A) – – – – – – – – – – – – – – Class L (G) US$ Distributing (D) – – – – – – – – – – – – – – Class GA US$ Accumulating – 82 199 30 – – – – – – – – – 20 Class GA Euro Accumulating – 8 3 3 8 – – – – – – – – 358 Class GA Euro Distributing (A) – 4 – – 2 – – – – – – – – 1 Class GE US$ Accumulating – 5 2 – 1 – – – – – – – – 3 Class GE US$ Distributing (A) – – – 1 – – – – – – – – – – Class GE Euro Accumulating – 3 4 1 1 – – – – – – – – – Class GF US$ Accumulating – – – – – – – – – – – – – – Class GF Euro Accumulating – – – – – – – – – – – – – – Class GP US$ Accumulating – 3 – – – – – – – – – – – – Galleon Class – – – – – – – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

224 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Capital ClearBridge ClearBridge Legg Mason ClearBridge Royce US Small Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Legg Mason Batterymarch Management US Appreciation US Fundamental ClearBridge US Large US Aggressive Cap Opportunity Smaller Companies Smaller Companies European Smaller Global Smaller Legg Mason PCM US Permal Global GC Global Equity European Equity Opportunity Fund Fund Value Fund Cap Growth Fund Growth Fund Fund Fund Fund II^GG Companies Fund^ Companies Fund Equity Fund Absolute Fund Fund Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Premier Class GBP Accumulating – – – – – – – – – – – – – – Premier Class GBP Accumulating (Hedged) – – – – – – – – – – – 34 – – Premier Class GBP Distributing (A) 364 – – – – – 94 – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – – – – 49 – – Premier Class GBP Distributing (D) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – – – – – – – – Premier Class JPY Accumulating – – – – – – – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class US$ Accumulating – – – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) – – – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class US$ Accumulating 2 104 95 – – – 30 – – 20 – 222 – 122 LM Class US$ Distributing (M) – – – – – – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – – – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class Euro Accumulating – 16 – – – – 5 – 17 – – – – 19 LM Class Euro Accumulating (Hedged) – – – – – – – – – – – – – – LM Class Euro Distributing (Q) – – – – – – – – – – – – – – LM Class GBP Accumulating – – – – – – – – – – – – – – LM Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – LM Class GBP Distributing (M) – – – – – – – – – – – – – – LM Class JPY Accumulating – 78 – – – – 22 – – – – – – 91 LM Class JPY Accumulating (Hedged) – – – – – – – – – – – 18 – – Class A (G) US$ Accumulating – 79 485 84 559 – 33 – – – – – – 74 Class A (G) US$ Distributing (A) – – – – – – – – – – – – – – Class A (G) US$ Distributing (D) – – – – – – – – – – – – – – Class B (G) US$ Accumulating – 17 114 28 77 – 7 – – – – – – 15 Class B (G) US$ Distributing (A) – – – – – – – – – – – – – – Class B (G) US$ Distributing (D) – – – – – – – – – – – – – – Class L (G) US$ Accumulating – 58 196 84 168 – 20 – – – – – – 18 Class L (G) US$ Distributing (A) – – – – – – – – – – – – – – Class L (G) US$ Distributing (D) – – – – – – – – – – – – – – Class GA US$ Accumulating – 82 199 30 – – – – – – – – – 20 Class GA Euro Accumulating – 8 3 3 8 – – – – – – – – 358 Class GA Euro Distributing (A) – 4 – – 2 – – – – – – – – 1 Class GE US$ Accumulating – 5 2 – 1 – – – – – – – – 3 Class GE US$ Distributing (A) – – – 1 – – – – – – – – – – Class GE Euro Accumulating – 3 4 1 1 – – – – – – – – – Class GF US$ Accumulating – – – – – – – – – – – – – – Class GF Euro Accumulating – – – – – – – – – – – – – – Class GP US$ Accumulating – 3 – – – – – – – – – – – – Galleon Class – – – – – – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

225 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch 130/ Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Emerging Batterymarch Asia 30 Global Equity International Emerging Markets Global Equity Congruix Asia Congruix Japan Legg Mason LMHK Markets Select Pacific Equity Fund Fund^ Large Cap Fund Equity Fund Fund Pacific Fund^ Equity Fund China Fund Equity Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Class A US$ Accumulating 297 – 10 129 – – – – – Class A US$ Distributing (A) 240 – 4 39 – – – 3 – Class A US$ Distributing (D) – – – – – – – – – Class A US$ Distributing (M) – – – – – – – – – Class A US$ Distributing (S) – – – – – – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – – Class A Euro Accumulating 12 – 1 17 – – – – – Class A Euro Accumulating (Hedged) – – – – – – – – – Class A Euro Distributing (A) – – – – – – – – – Class A Euro Distributing (A) (Hedged) – – – – – – – – – Class A Euro Distributing (D) – – – – – – – – – Class A Euro Distributing (M) (Hedged) – – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – – Class A GBP Accumulating (Hedged) – – – – – – – – – Class A GBP Distributing (A) – – – 4 – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – – Class A GBP Distributing (D) – – – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – – – Class A GBP Distributing (M) – – – – – – – – – Class A GBP Distributing (M) (Hedged) – – – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – – Class A (PF) US$ Accumulating – – – – – – – – – Class A (PF) US$ Distributing (M) – – – – – – – – – Class A SGD Accumulating – – – – – – – – – Class A SGD Accumulating (Hedged) – – – – – – – – – Class A SGD Distributing (Q) – – – – – – – – – Class A SGD Distributing (Q) (Hedged) – – – – – – – – – Class B US$ Accumulating 5 – 1 10 – – – – – Class B US$ Distributing (A) 22 – 13 4 – – – – – Class B US$ Distributing (D) – – – – – – – – – Class B US$ Distributing (M) – – – – – – – – – Class B US$ Distributing (S) – – – – – – – – – Class C US$ Accumulating 5 – 1 24 – – – – – Class C US$ Distributing (A) 85 – 17 11 – – – – – Class C US$ Distributing (D) – – – – – – – – – Class C US$ Distributing (M) – – – – – – – – – Class C US$ Distributing (S) – – – – – – – – – Class E US$ Accumulating 3 – – 17 – – – – – Class E US$ Distributing (A) – – – – – – – – – Class E US$ Distributing (D) – – – – – – – – – Class E US$ Distributing (M) – – – – – – – – – Class E Euro Accumulating 1 – – – – – – – – Class E Euro Accumulating (Hedged) – – – – – – – – – Class F US$ Accumulating – – – 1 – – – – – Class F US$ Distributing (A) – – – – – – – – – Class F US$ Distributing (D) – – – – – – – – – Class F US$ Distributing (M) – – – – – – – – – Class F Euro Accumulating – – – – – – – – – Class F Euro Distributing (Q) – – – – – – – – – Class F (PF) US$ Accumulating – – – – – – – – – Class F (PF) US$ Distributing (M) – – – – – – – – – Premier Class US$ Accumulating – – – – – – – – – Premier Class US$ Distributing (A) – – – – – – – – – Premier Class US$ Distributing (D) – – – – – – – – – Premier Class US$ Distributing (M) – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) – – – – – – – – – Premier Class Euro Accumulating – – – 8 – – – – – Premier Class Euro Accumulating (Hedged) – – – – – – – – – Premier Class Euro Distributing (A) – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) – – – – – – – – – Premier Class Euro Distributing (M) – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) – – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

226 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch 130/ Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Emerging Batterymarch Asia 30 Global Equity International Emerging Markets Global Equity Congruix Asia Congruix Japan Legg Mason LMHK Markets Select Pacific Equity Fund Fund^ Large Cap Fund Equity Fund Fund Pacific Fund^ Equity Fund China Fund Equity Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Class A US$ Accumulating 297 – 10 129 – – – – – Class A US$ Distributing (A) 240 – 4 39 – – – 3 – Class A US$ Distributing (D) – – – – – – – – – Class A US$ Distributing (M) – – – – – – – – – Class A US$ Distributing (S) – – – – – – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – – Class A Euro Accumulating 12 – 1 17 – – – – – Class A Euro Accumulating (Hedged) – – – – – – – – – Class A Euro Distributing (A) – – – – – – – – – Class A Euro Distributing (A) (Hedged) – – – – – – – – – Class A Euro Distributing (D) – – – – – – – – – Class A Euro Distributing (M) (Hedged) – – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – – Class A GBP Accumulating (Hedged) – – – – – – – – – Class A GBP Distributing (A) – – – 4 – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – – Class A GBP Distributing (D) – – – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – – – Class A GBP Distributing (M) – – – – – – – – – Class A GBP Distributing (M) (Hedged) – – – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – – Class A (PF) US$ Accumulating – – – – – – – – – Class A (PF) US$ Distributing (M) – – – – – – – – – Class A SGD Accumulating – – – – – – – – – Class A SGD Accumulating (Hedged) – – – – – – – – – Class A SGD Distributing (Q) – – – – – – – – – Class A SGD Distributing (Q) (Hedged) – – – – – – – – – Class B US$ Accumulating 5 – 1 10 – – – – – Class B US$ Distributing (A) 22 – 13 4 – – – – – Class B US$ Distributing (D) – – – – – – – – – Class B US$ Distributing (M) – – – – – – – – – Class B US$ Distributing (S) – – – – – – – – – Class C US$ Accumulating 5 – 1 24 – – – – – Class C US$ Distributing (A) 85 – 17 11 – – – – – Class C US$ Distributing (D) – – – – – – – – – Class C US$ Distributing (M) – – – – – – – – – Class C US$ Distributing (S) – – – – – – – – – Class E US$ Accumulating 3 – – 17 – – – – – Class E US$ Distributing (A) – – – – – – – – – Class E US$ Distributing (D) – – – – – – – – – Class E US$ Distributing (M) – – – – – – – – – Class E Euro Accumulating 1 – – – – – – – – Class E Euro Accumulating (Hedged) – – – – – – – – – Class F US$ Accumulating – – – 1 – – – – – Class F US$ Distributing (A) – – – – – – – – – Class F US$ Distributing (D) – – – – – – – – – Class F US$ Distributing (M) – – – – – – – – – Class F Euro Accumulating – – – – – – – – – Class F Euro Distributing (Q) – – – – – – – – – Class F (PF) US$ Accumulating – – – – – – – – – Class F (PF) US$ Distributing (M) – – – – – – – – – Premier Class US$ Accumulating – – – – – – – – – Premier Class US$ Distributing (A) – – – – – – – – – Premier Class US$ Distributing (D) – – – – – – – – – Premier Class US$ Distributing (M) – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) – – – – – – – – – Premier Class Euro Accumulating – – – 8 – – – – – Premier Class Euro Accumulating (Hedged) – – – – – – – – – Premier Class Euro Distributing (A) – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) – – – – – – – – – Premier Class Euro Distributing (M) – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

227 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch 130/ Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Emerging Batterymarch Asia 30 Global Equity International Emerging Markets Global Equity Congruix Asia Congruix Japan Legg Mason LMHK Markets Select Pacific Equity Fund Fund^ Large Cap Fund Equity Fund Fund Pacific Fund^ Equity Fund China Fund Equity Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Premier Class GBP Accumulating – – – – – – – – – Premier Class GBP Accumulating (Hedged) – – – – – – – – – Premier Class GBP Distributing (A) – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – – Premier Class GBP Distributing (D) (Hedged) – – – – – – – – – Premier Class GBP Distributing (M) – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – – – Premier Class JPY Accumulating – – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – – – – – – Premier (PF) Class US$ Accumulating – – – – – – – – – Premier (PF) Class US$ Distributing (M) – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – – – – – – – – – LM Class US$ Accumulating – – – – 31 – – 58 50 LM Class US$ Distributing (M) – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – – – – – LM Class Euro Accumulating – – – – – – – – – LM Class Euro Accumulating (Hedged) – – – – – – – – – LM Class Euro Distributing (Q) – – – – – – – – – LM Class GBP Accumulating – – – – – – – – – LM Class GBP Accumulating (Hedged) – – – – – – – – – LM Class GBP Distributing (M) – – – – – – – – – LM Class JPY Accumulating – – – – – – – – – LM Class JPY Accumulating (Hedged) – – – – – – – – – Class A (G) US$ Accumulating – – 53 – – – – – – Class A (G) US$ Distributing (A) – – – – – – – – – Class A (G) US$ Distributing (D) – – – – – – – – – Class B (G) US$ Accumulating – – 51 – – – – – – Class B (G) US$ Distributing (A) – – – – – – – – – Class B (G) US$ Distributing (D) – – – – – – – – – Class L (G) US$ Accumulating – – 48 – – – – – – Class L (G) US$ Distributing (A) – – – – – – – – – Class L (G) US$ Distributing (D) – – – – – – – – – Class GA US$ Accumulating 169 – – – 98 – – – – Class GA Euro Accumulating 9 – – – 40 – – – – Class GA Euro Distributing (A) 1 – – – 3 – – – – Class GE US$ Accumulating 6 – – – 3 – – – – Class GE US$ Distributing (A) – – – – – – – – – Class GE Euro Accumulating 7 – – – 9 – – – – Class GF US$ Accumulating – – – – – – – – – Class GF Euro Accumulating – – – – – – – – – Class GP US$ Accumulating – – – – – – – – – Galleon Class – – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

228 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch 130/ Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Emerging Batterymarch Asia 30 Global Equity International Emerging Markets Global Equity Congruix Asia Congruix Japan Legg Mason LMHK Markets Select Pacific Equity Fund Fund^ Large Cap Fund Equity Fund Fund Pacific Fund^ Equity Fund China Fund Equity Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) August 31, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Premier Class GBP Accumulating – – – – – – – – – Premier Class GBP Accumulating (Hedged) – – – – – – – – – Premier Class GBP Distributing (A) – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – – Premier Class GBP Distributing (D) (Hedged) – – – – – – – – – Premier Class GBP Distributing (M) – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – – – Premier Class JPY Accumulating – – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – – – – – – Premier (PF) Class US$ Accumulating – – – – – – – – – Premier (PF) Class US$ Distributing (M) – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – – – – – – – – – LM Class US$ Accumulating – – – – 31 – – 58 50 LM Class US$ Distributing (M) – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – – – – – LM Class Euro Accumulating – – – – – – – – – LM Class Euro Accumulating (Hedged) – – – – – – – – – LM Class Euro Distributing (Q) – – – – – – – – – LM Class GBP Accumulating – – – – – – – – – LM Class GBP Accumulating (Hedged) – – – – – – – – – LM Class GBP Distributing (M) – – – – – – – – – LM Class JPY Accumulating – – – – – – – – – LM Class JPY Accumulating (Hedged) – – – – – – – – – Class A (G) US$ Accumulating – – 53 – – – – – – Class A (G) US$ Distributing (A) – – – – – – – – – Class A (G) US$ Distributing (D) – – – – – – – – – Class B (G) US$ Accumulating – – 51 – – – – – – Class B (G) US$ Distributing (A) – – – – – – – – – Class B (G) US$ Distributing (D) – – – – – – – – – Class L (G) US$ Accumulating – – 48 – – – – – – Class L (G) US$ Distributing (A) – – – – – – – – – Class L (G) US$ Distributing (D) – – – – – – – – – Class GA US$ Accumulating 169 – – – 98 – – – – Class GA Euro Accumulating 9 – – – 40 – – – – Class GA Euro Distributing (A) 1 – – – 3 – – – – Class GE US$ Accumulating 6 – – – 3 – – – – Class GE US$ Distributing (A) – – – – – – – – – Class GE Euro Accumulating 7 – – – 9 – – – – Class GF US$ Accumulating – – – – – – – – – Class GF Euro Accumulating – – – – – – – – – Class GP US$ Accumulating – – – – – – – – – Galleon Class – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

229 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Western Asset Legg Mason Western Asset Legg Mason Western Western Asset Legg Mason Western Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Strategic Income Global Multi Western Asset Emerging Markets Asset Global High US Short-Term Asset US Adjustable Inflation Opportunities Global Blue Chip Fund Fund Bond Fund Bond Fund Fund Strategy Fund US High Yield Fund Bond Fund Yield Fund Government Fund Rate Fund Management Fund Fund Bond Fund August 31, 2011 Net Asset Value Per Share: Class A US$ Accumulating (USD) 105.63 109.65 123.26 98.10 112.65 126.94 116.31 138.96 119.55 113.90 95.43 125.94 136.94 109.05 Class A US$ Distributing (A) (USD) – – – – – – – – – – – 113.86 – – Class A US$ Distributing (D) (USD) 1.00 95.38 105.74 125.43 90.02 122.71 80.53 120.47 81.98 102.12 – – 123.10 – Class A US$ Distributing (M) (USD) – – – – 95.12 104.13 97.27 109.08 90.94 – – – 113.37 105.02 Class A US$ Distributing (S) (USD) – – – – – – – – – – – – – – Class A AUD Distributing (M) (Hedged) (AUD) – – – – – – – – 106.23 – – – – – Class A Euro Accumulating (EUR) – – – 99.87 – – – – – – – – 150.71 – Class A Euro Accumulating (Hedged) (EUR) – – – – 112.75 124.56 – 118.63 – – – – 103.31 108.16 Class A Euro Distributing (A) (EUR) – – – – – – – – – – – – 103.11 – Class A Euro Distributing (A) (Hedged) (EUR) – – – – – – – – – – – – – – Class A Euro Distributing (D) (EUR) – – – 88.04 – – – – – – – – – – Class A Euro Distributing (M) (Hedged) (EUR) – – – – 110.09 100.71 – – – – – – – – Class A Euro Distributing (S) (Hedged) (EUR) – – – – – – – – – – – – – – Class A GBP Accumulating (Hedged) (GBP) – – – – – – – – – – – – – 106.80 Class A GBP Distributing (A) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (A) (Hedged) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (D) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (D) (Hedged) (GBP) – – – – – – – 107.94 – – – – – – Class A GBP Distributing (M) (GBP) – – – – – – – – – – – – 107.54 – Class A GBP Distributing (M) (Hedged) (GBP) – – – – – 108.61 96.92 – – – – – – – Class A GBP Distributing (S) (Hedged) (GBP) – – – – – – – – – – – – – – Class A (PF) US$ Accumulating (USD) – – – – – – – – – – – – – – Class A (PF) US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class A SGD Accumulating (Hedged) (SGD) – – – – – – – – – – – – 1.31 – Class A SGD Accumulating (SGD) – – – – – – – – – – – – – – Class A SGD Distributing (Q) (SGD) – – – – – – – – – – – – 0.98 – Class A SGD Distributing (Q) (Hedged) (SGD) – – – – – 1.16 – 1.04 0.96 – – – 1.07 – Class B US$ Accumulating (USD) 102.49 107.88 119.15 – 110.87 121.92 118.14 134.92 120.52 109.48 – 118.74 135.79 – Class B US$ Distributing (A) (USD) – – – – – – – – – – – 118.03 – – Class B US$ Distributing (D) (USD) 1.00 95.39 105.59 124.84 90.02 122.72 80.56 120.44 81.85 102.18 88.88 – 123.05 – Class B US$ Distributing (M) (USD) – – – – – – – – – – – – – 104.85 Class B US$ Distributing (S) (USD) – – – – – – – – – – – – – – Class C US$ Accumulating (USD) 101.97 107.09 117.98 100.79 110.14 121.01 117.00 132.98 120.01 108.27 – – 134.38 107.85 Class C US$ Distributing (A) (USD) – – – – – – – – – – – 113.83 – – Class C US$ Distributing (D) (USD) 1.00 95.41 106.48 124.30 90.01 122.72 80.57 120.40 81.62 102.11 88.21 – 123.14 – Class C US$ Distributing (M) (USD) – – – – – – – – – – – – – 104.81 Class C US$ Distributing (S) (USD) – – – – – – – – – – – – – – Class E US$ Accumulating (USD) – – – – – 107.47 111.75 – 111.22 – – – 117.24 102.58 Class E US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class E US$ Distributing (D) (USD) – – – – – 102.20 100.68 102.93 100.50 – – – 113.18 100.97 Class E US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class E Euro Accumulating (EUR) – – – – – – – – – – – – – – Class E Euro Accumulating (Hedged) (EUR) – – – – – 98.87 – – – – – – – – Class F US$ Accumulating (USD) – – – – – 110.43 100.36 114.72 100.03 – – – 119.89 104.44 Class F US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class F US$ Distributing (D) (USD) – – – – – 102.20 96.06 – 95.64 – – – 113.18 100.72 Class F US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class F Euro Accumulating (EUR) – – – – – 106.69 – – – – – – – – Class F Euro Distributing (Q) (EUR) – – – 100.35 – – – – – – – – – – Class F (PF) US$ Accumulating (USD) – – – – – – – – – – – – – – Class F (PF) US$ Distributing (M) (USD) – – – – – – – – – – – – – – Premier Class US$ Accumulating (USD) – – 105.08 – – 130.10 101.15 183.42 128.91 – – – 139.48 110.95 Premier Class US$ Distributing (A) (USD) – – – – – – – – – – – – – – Premier Class US$ Distributing (D) (USD) – – – – – 103.22 – – – – – – – – Premier Class US$ Distributing (M) (USD) – – – – – 127.26 – – – – – – – 105.05 Premier Class AUD Distributing (A) (Hedged) (AUD) – – – – – – – – – – – – – – Premier Class Euro Accumulating (EUR) – – – 102.08 – – – – – – – – 97.98 – Premier Class Euro Accumulating (Hedged) (EUR) – – – – – 112.54 – 116.05 – – – – 107.34 112.95 Premier Class Euro Distributing (A) (EUR) – – – – – – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) (EUR) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (EUR) – – – – – – – – – – – – 95.47 – Premier Class Euro Distributing (M) (Hedged) (EUR) – – – – – – – – – – – – – 105.34 Premier Class Euro Distributing (Q) (Hedged) (EUR) – – – – – – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

230 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Western Asset Legg Mason Western Asset Legg Mason Western Western Asset Legg Mason Western Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Strategic Income Global Multi Western Asset Emerging Markets Asset Global High US Short-Term Asset US Adjustable Inflation Opportunities Global Blue Chip Fund Fund Bond Fund Bond Fund Fund Strategy Fund US High Yield Fund Bond Fund Yield Fund Government Fund Rate Fund Management Fund Fund Bond Fund August 31, 2011 Net Asset Value Per Share: Class A US$ Accumulating (USD) 105.63 109.65 123.26 98.10 112.65 126.94 116.31 138.96 119.55 113.90 95.43 125.94 136.94 109.05 Class A US$ Distributing (A) (USD) – – – – – – – – – – – 113.86 – – Class A US$ Distributing (D) (USD) 1.00 95.38 105.74 125.43 90.02 122.71 80.53 120.47 81.98 102.12 – – 123.10 – Class A US$ Distributing (M) (USD) – – – – 95.12 104.13 97.27 109.08 90.94 – – – 113.37 105.02 Class A US$ Distributing (S) (USD) – – – – – – – – – – – – – – Class A AUD Distributing (M) (Hedged) (AUD) – – – – – – – – 106.23 – – – – – Class A Euro Accumulating (EUR) – – – 99.87 – – – – – – – – 150.71 – Class A Euro Accumulating (Hedged) (EUR) – – – – 112.75 124.56 – 118.63 – – – – 103.31 108.16 Class A Euro Distributing (A) (EUR) – – – – – – – – – – – – 103.11 – Class A Euro Distributing (A) (Hedged) (EUR) – – – – – – – – – – – – – – Class A Euro Distributing (D) (EUR) – – – 88.04 – – – – – – – – – – Class A Euro Distributing (M) (Hedged) (EUR) – – – – 110.09 100.71 – – – – – – – – Class A Euro Distributing (S) (Hedged) (EUR) – – – – – – – – – – – – – – Class A GBP Accumulating (Hedged) (GBP) – – – – – – – – – – – – – 106.80 Class A GBP Distributing (A) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (A) (Hedged) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (D) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (D) (Hedged) (GBP) – – – – – – – 107.94 – – – – – – Class A GBP Distributing (M) (GBP) – – – – – – – – – – – – 107.54 – Class A GBP Distributing (M) (Hedged) (GBP) – – – – – 108.61 96.92 – – – – – – – Class A GBP Distributing (S) (Hedged) (GBP) – – – – – – – – – – – – – – Class A (PF) US$ Accumulating (USD) – – – – – – – – – – – – – – Class A (PF) US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class A SGD Accumulating (Hedged) (SGD) – – – – – – – – – – – – 1.31 – Class A SGD Accumulating (SGD) – – – – – – – – – – – – – – Class A SGD Distributing (Q) (SGD) – – – – – – – – – – – – 0.98 – Class A SGD Distributing (Q) (Hedged) (SGD) – – – – – 1.16 – 1.04 0.96 – – – 1.07 – Class B US$ Accumulating (USD) 102.49 107.88 119.15 – 110.87 121.92 118.14 134.92 120.52 109.48 – 118.74 135.79 – Class B US$ Distributing (A) (USD) – – – – – – – – – – – 118.03 – – Class B US$ Distributing (D) (USD) 1.00 95.39 105.59 124.84 90.02 122.72 80.56 120.44 81.85 102.18 88.88 – 123.05 – Class B US$ Distributing (M) (USD) – – – – – – – – – – – – – 104.85 Class B US$ Distributing (S) (USD) – – – – – – – – – – – – – – Class C US$ Accumulating (USD) 101.97 107.09 117.98 100.79 110.14 121.01 117.00 132.98 120.01 108.27 – – 134.38 107.85 Class C US$ Distributing (A) (USD) – – – – – – – – – – – 113.83 – – Class C US$ Distributing (D) (USD) 1.00 95.41 106.48 124.30 90.01 122.72 80.57 120.40 81.62 102.11 88.21 – 123.14 – Class C US$ Distributing (M) (USD) – – – – – – – – – – – – – 104.81 Class C US$ Distributing (S) (USD) – – – – – – – – – – – – – – Class E US$ Accumulating (USD) – – – – – 107.47 111.75 – 111.22 – – – 117.24 102.58 Class E US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class E US$ Distributing (D) (USD) – – – – – 102.20 100.68 102.93 100.50 – – – 113.18 100.97 Class E US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class E Euro Accumulating (EUR) – – – – – – – – – – – – – – Class E Euro Accumulating (Hedged) (EUR) – – – – – 98.87 – – – – – – – – Class F US$ Accumulating (USD) – – – – – 110.43 100.36 114.72 100.03 – – – 119.89 104.44 Class F US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class F US$ Distributing (D) (USD) – – – – – 102.20 96.06 – 95.64 – – – 113.18 100.72 Class F US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class F Euro Accumulating (EUR) – – – – – 106.69 – – – – – – – – Class F Euro Distributing (Q) (EUR) – – – 100.35 – – – – – – – – – – Class F (PF) US$ Accumulating (USD) – – – – – – – – – – – – – – Class F (PF) US$ Distributing (M) (USD) – – – – – – – – – – – – – – Premier Class US$ Accumulating (USD) – – 105.08 – – 130.10 101.15 183.42 128.91 – – – 139.48 110.95 Premier Class US$ Distributing (A) (USD) – – – – – – – – – – – – – – Premier Class US$ Distributing (D) (USD) – – – – – 103.22 – – – – – – – – Premier Class US$ Distributing (M) (USD) – – – – – 127.26 – – – – – – – 105.05 Premier Class AUD Distributing (A) (Hedged) (AUD) – – – – – – – – – – – – – – Premier Class Euro Accumulating (EUR) – – – 102.08 – – – – – – – – 97.98 – Premier Class Euro Accumulating (Hedged) (EUR) – – – – – 112.54 – 116.05 – – – – 107.34 112.95 Premier Class Euro Distributing (A) (EUR) – – – – – – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) (EUR) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (EUR) – – – – – – – – – – – – 95.47 – Premier Class Euro Distributing (M) (Hedged) (EUR) – – – – – – – – – – – – – 105.34 Premier Class Euro Distributing (Q) (Hedged) (EUR) – – – – – – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

231 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Western Asset Legg Mason Western Asset Legg Mason Western Western Asset Legg Mason Western Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Strategic Income Global Multi Western Asset Emerging Markets Asset Global High US Short-Term Asset US Adjustable Inflation Opportunities Global Blue Chip Fund Fund Bond Fund Bond Fund Fund Strategy Fund US High Yield Fund Bond Fund Yield Fund Government Fund Rate Fund Management Fund Fund Bond Fund August 31, 2011 Net Asset Value Per Share: Premier Class GBP Accumulating (GBP) – – – – – – – – – – – – – – Premier Class GBP Accumulating (Hedged) (GBP) – – 101.11 – – 103.43 – – – – – – – 110.82 Premier Class GBP Distributing (A) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (D) (Hedged) (GBP) – – – – – – – – 100.41 – – – – – Premier Class GBP Distributing (M) (GBP) – – – – – – – – – – – – 104.46 – Premier Class GBP Distributing (M) (Hedged) (GBP) – – – – – 105.37 – – – – – – – 105.45 Premier Class GBP Distributing (Q) (Hedged) (GBP) – – – – – 101.09 – – – – – – – – Premier Class JPY Accumulating (JPY) – – – – – 9,557.42 – – – – – – – – Premier Class SEK Accumulating (Hedged) (SEK) – – – – – 104.51 – – – – – – – – Premier Class SGD Accumulating (Hedged) (SGD) – – – – – – – – – – – – – – Premier (PF) Class US$ Accumulating (USD) – – – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) (USD) – – – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) (GBP) – – – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) (GBP) – – – – – – – – – – – – – – LM Class US$ Accumulating (USD) – – – – – 101.85 102.88 104.39 – – – – 140.87 – LM Class US$ Distributing (M) (USD) – – 102.89 – – – 88.96 – – – – – – – LM Class US$ Distributing (Q) (Hedged) (USD) – – – – – – – – – – – – – – LM Class AUD Distributing (M) (Hedged) (AUD) – – – – – 103.52 – – – – – – – – LM Class Euro Accumulating (EUR) – – – – – – – – – – – – – – LM Class Euro Accumulating (Hedged) (EUR) – – – – – 102.65 – – – – – – – – LM Class Euro Distributing (Q) (EUR) – – – – – – – – – – – – – – LM Class GBP Accumulating (GBP) – – – – – – – – – – – – – – LM Class GBP Accumulating (Hedged) (GBP) – – 105.24 – – 103.74 103.06 – – – – – – – LM Class GBP Distributing (M) (GBP) – – – – – – – – – – – – – – LM Class JPY Accumulating (Hedged) (JPY) – – – – – 10,146.21 – – – – – – – – LM Class JPY Accumulating (JPY) – – – – – – – – – – – – – – Class A (G) US$ Accumulating (USD) 105.85 – 123.32 – 112.44 – 117.28 140.96 120.10 114.05 95.26 128.52 – – Class A (G) US$ Distributing (A) (USD) – – – – – – – – – – – 109.96 – – Class A (G) US$ Distributing (D) (USD) 1.00 – 106.58 – 91.64 – 79.91 107.97 82.00 102.16 89.26 – – – Class B (G) US$ Accumulating (USD) 105.84 – 120.66 – 110.08 – 114.75 137.91 117.48 111.57 93.22 125.76 – – Class B (G) US$ Distributing (A) (USD) – – – – – – – – – – – 107.50 – – Class B (G) US$ Distributing (D) (USD) 1.00 – 106.56 – 91.74 – 79.91 107.97 81.98 102.15 88.29 – – – Class L (G) US$ Accumulating (USD) – – 120.65 – 110.09 – 114.73 137.90 117.51 111.57 93.24 125.50 – – Class L (G) US$ Distributing (A) (USD) – – – – – – – – – – – 103.55 – – Class L (G) US$ Distributing (D) (USD) 1.00 – 106.56 – 91.67 – 79.91 107.96 81.98 102.15 88.32 – – – Class GA US$ Accumulating (USD) – 105.80 – – – – – – – – – – – – Class GA Euro Accumulating (EUR) – – – 98.84 – – – – – – – – – – Class GA Euro Distributing (A) (EUR) – – – 97.42 – – – – – – – – – – Class GE US$ Accumulating (USD) – 105.16 – – – – – – – – – – – – Class GE US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class GE Euro Accumulating (EUR) – – – 98.24 – – – – – – – – – – Class GF US$ Accumulating (USD) – – – – – – 102.13 – – – – – – – Class GF Euro Accumulating (EUR) – – – 101.56 – – – – – – – – – – Class GP US$ Accumulating (USD) – – – – – – – – – – – – – – Galleon Class (USD) – – – – – – – – – – – – – –

Amounts designated as "-" are either $0/E0/¥0/£0 or less than $1,000/E1,000/¥1,000/£1,000. NAV per share information represents Redeemable Participating Shares G Effective May 13, 2011, the Fund commenced trading.

The accompanying notes are an integral part of the Financial Statements

232 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Western Asset Legg Mason Western Asset Legg Mason Western Western Asset Legg Mason Western Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Strategic Income Global Multi Western Asset Emerging Markets Asset Global High US Short-Term Asset US Adjustable Inflation Opportunities Global Blue Chip Fund Fund Bond Fund Bond Fund Fund Strategy Fund US High Yield Fund Bond Fund Yield Fund Government Fund Rate Fund Management Fund Fund Bond Fund August 31, 2011 Net Asset Value Per Share: Premier Class GBP Accumulating (GBP) – – – – – – – – – – – – – – Premier Class GBP Accumulating (Hedged) (GBP) – – 101.11 – – 103.43 – – – – – – – 110.82 Premier Class GBP Distributing (A) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (D) (Hedged) (GBP) – – – – – – – – 100.41 – – – – – Premier Class GBP Distributing (M) (GBP) – – – – – – – – – – – – 104.46 – Premier Class GBP Distributing (M) (Hedged) (GBP) – – – – – 105.37 – – – – – – – 105.45 Premier Class GBP Distributing (Q) (Hedged) (GBP) – – – – – 101.09 – – – – – – – – Premier Class JPY Accumulating (JPY) – – – – – 9,557.42 – – – – – – – – Premier Class SEK Accumulating (Hedged) (SEK) – – – – – 104.51 – – – – – – – – Premier Class SGD Accumulating (Hedged) (SGD) – – – – – – – – – – – – – – Premier (PF) Class US$ Accumulating (USD) – – – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) (USD) – – – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) (GBP) – – – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) (GBP) – – – – – – – – – – – – – – LM Class US$ Accumulating (USD) – – – – – 101.85 102.88 104.39 – – – – 140.87 – LM Class US$ Distributing (M) (USD) – – 102.89 – – – 88.96 – – – – – – – LM Class US$ Distributing (Q) (Hedged) (USD) – – – – – – – – – – – – – – LM Class AUD Distributing (M) (Hedged) (AUD) – – – – – 103.52 – – – – – – – – LM Class Euro Accumulating (EUR) – – – – – – – – – – – – – – LM Class Euro Accumulating (Hedged) (EUR) – – – – – 102.65 – – – – – – – – LM Class Euro Distributing (Q) (EUR) – – – – – – – – – – – – – – LM Class GBP Accumulating (GBP) – – – – – – – – – – – – – – LM Class GBP Accumulating (Hedged) (GBP) – – 105.24 – – 103.74 103.06 – – – – – – – LM Class GBP Distributing (M) (GBP) – – – – – – – – – – – – – – LM Class JPY Accumulating (Hedged) (JPY) – – – – – 10,146.21 – – – – – – – – LM Class JPY Accumulating (JPY) – – – – – – – – – – – – – – Class A (G) US$ Accumulating (USD) 105.85 – 123.32 – 112.44 – 117.28 140.96 120.10 114.05 95.26 128.52 – – Class A (G) US$ Distributing (A) (USD) – – – – – – – – – – – 109.96 – – Class A (G) US$ Distributing (D) (USD) 1.00 – 106.58 – 91.64 – 79.91 107.97 82.00 102.16 89.26 – – – Class B (G) US$ Accumulating (USD) 105.84 – 120.66 – 110.08 – 114.75 137.91 117.48 111.57 93.22 125.76 – – Class B (G) US$ Distributing (A) (USD) – – – – – – – – – – – 107.50 – – Class B (G) US$ Distributing (D) (USD) 1.00 – 106.56 – 91.74 – 79.91 107.97 81.98 102.15 88.29 – – – Class L (G) US$ Accumulating (USD) – – 120.65 – 110.09 – 114.73 137.90 117.51 111.57 93.24 125.50 – – Class L (G) US$ Distributing (A) (USD) – – – – – – – – – – – 103.55 – – Class L (G) US$ Distributing (D) (USD) 1.00 – 106.56 – 91.67 – 79.91 107.96 81.98 102.15 88.32 – – – Class GA US$ Accumulating (USD) – 105.80 – – – – – – – – – – – – Class GA Euro Accumulating (EUR) – – – 98.84 – – – – – – – – – – Class GA Euro Distributing (A) (EUR) – – – 97.42 – – – – – – – – – – Class GE US$ Accumulating (USD) – 105.16 – – – – – – – – – – – – Class GE US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class GE Euro Accumulating (EUR) – – – 98.24 – – – – – – – – – – Class GF US$ Accumulating (USD) – – – – – – 102.13 – – – – – – – Class GF Euro Accumulating (EUR) – – – 101.56 – – – – – – – – – – Class GP US$ Accumulating (USD) – – – – – – – – – – – – – – Galleon Class (USD) – – – – – – – – – – – – – –

Amounts designated as "-" are either $0/E0/¥0/£0 or less than $1,000/E1,000/¥1,000/£1,000. NAV per share information represents Redeemable Participating Shares G Effective May 13, 2011, the Fund commenced trading.

The accompanying notes are an integral part of the Financial Statements

233 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Global Credit Legg Mason Western Legg Mason Western Western Asset Western Asset Western Asset UK£ Legg Mason Legg Mason Western Legg Mason Brandywine Global Western Asset Capital Capital Western Asset Absolute Return Asset UK£ Core Plus Asset Global Core Global Inflation- UK£ Inflation- Long Duration Western Asset Asset Euro High Brandywine Global Opportunistic Fixed Brazil Equity Management Management Brazil Bond Fund^ Fund^ Bond Fund^ Plus Bond Fund^ Linked Fund Linked Plus Fund^ Fund^ Global Credit Fund Yield Fund^ Fixed Income Fund Income Fund^ Fund^ Value Fund Growth Fund August 31, 2011 Net Asset Value Per Share: Class A US$ Accumulating (USD) – 99.63 – – – – – – – 140.01 104.14 – 52.57 59.62 Class A US$ Distributing (A) (USD) – – – – – – – – – – – 90.72 99.89 74.25 Class A US$ Distributing (D) (USD) – – – 98.72 102.61 – – 99.33 – – – – – – Class A US$ Distributing (M) (USD) – 99.51 – – – – – – – 107.48 114.91 – – – Class A US$ Distributing (S) (USD) – – – – – – – – – 132.43 – – – – Class A AUD Distributing (M) (Hedged) (AUD) – – – – – – – – – – – – – – Class A Euro Accumulating (EUR) – – – – – – – – – – – – 45.82 61.45 Class A Euro Accumulating (Hedged) (EUR) – – – – – – – – – 122.31 – – – – Class A Euro Distributing (A) (EUR) – – – – – – – – – – – – – – Class A Euro Distributing (A) (Hedged) (EUR) – – – – – – – – – – – – – – Class A Euro Distributing (D) (EUR) – – – – – – – – 91.10 – – – – – Class A Euro Distributing (M) (Hedged) (EUR) – – – – – – – – – – – – – – Class A Euro Distributing (S) (Hedged) (EUR) – – – – – – – – – 100.50 – – – – Class A GBP Accumulating (Hedged) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (A) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (A) (Hedged) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (D) (GBP) – – 101.50 – – 108.14 102.13 – – – – – – – Class A GBP Distributing (D) (Hedged) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (M) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (M) (Hedged) (GBP) – 99.87 – – – – – – – – – – – – Class A GBP Distributing (S) (Hedged) (GBP) – – – – – – – – – 103.44 – – – – Class A (PF) US$ Accumulating (USD) – 99.89 – – – – – – – – – – – – Class A (PF) US$ Distributing (M) (USD) – 99.73 – – – – – – – – – – – – Class A SGD Accumulating (Hedged) (SGD) – – – – – – – – – – – – – – Class A SGD Accumulating (SGD) – – – – – – – – – – – – 0.39 – Class A SGD Distributing (Q) (SGD) – – – – – – – – – – – – – – Class A SGD Distributing (Q) (Hedged) (SGD) – – – – – – – – – – – – – – Class B US$ Accumulating (USD) – 98.83 – – – – – – – 130.53 – – 56.08 57.50 Class B US$ Distributing (A) (USD) – – – – – – – – – – – – 96.24 71.47 Class B US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class B US$ Distributing (M) (USD) – 98.83 – – – – – – – – – – – – Class B US$ Distributing (S) (USD) – – – – – – – – – 132.43 – – – – Class C US$ Accumulating (USD) – 98.31 – – – – – – – 129.40 – – 56.09 51.40 Class C US$ Distributing (A) (USD) – – – – – – – – – – – – 95.48 70.89 Class C US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class C US$ Distributing (M) (USD) – 98.31 – – – – – – – – – – – – Class C US$ Distributing (S) (USD) – – – – – – – – – 131.82 – – – – Class E US$ Accumulating (USD) – 98.31 – – – – – – – – – – – – Class E US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class E US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class E US$ Distributing (M) (USD) – 98.22 – – – – – – – – – – – – Class E Euro Accumulating (EUR) – – – – – – – – – – – – – – Class E Euro Accumulating (Hedged) (EUR) – – – – – – – – – – – – – – Class F US$ Accumulating (USD) – 99.31 – – – – – – – – – – 97.20 – Class F US$ Distributing (A) (USD) – – – – – – – – – – – – 103.10 – Class F US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class F US$ Distributing (M) (USD) – 99.31 – – – – – – – – – – – – Class F Euro Accumulating (EUR) – – – – – – – – – – – – – – Class F Euro Distributing (Q) (EUR) – – – – – – – – – – – – – – Class F (PF) US$ Accumulating (USD) – 99.76 – – – – – – – – – – – – Class F (PF) US$ Distributing (M) (USD) – 99.76 – – – – – – – – – – – – Premier Class US$ Accumulating (USD) 131.70 – – 101.57 105.53 – – – – 102.79 – – 84.87 76.45 Premier Class US$ Distributing (A) (USD) – – – – – – – – – – – – – – Premier Class US$ Distributing (D) (USD) – – – – – – – – – – – – – – Premier Class US$ Distributing (M) (USD) – – – – – – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) (AUD) – – – – – – – – – – – – – – Premier Class Euro Accumulating (EUR) – – – – – – – – – 103.93 – – – – Premier Class Euro Accumulating (Hedged) (EUR) – 99.24 – – – – – – – – – – – – Premier Class Euro Distributing (A) (EUR) – – – – – – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) (EUR) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (EUR) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) (EUR) – – – – – – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) (EUR) – – – 100.01 – – – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

234 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Global Credit Legg Mason Western Legg Mason Western Western Asset Western Asset Western Asset UK£ Legg Mason Legg Mason Western Legg Mason Brandywine Global Western Asset Capital Capital Western Asset Absolute Return Asset UK£ Core Plus Asset Global Core Global Inflation- UK£ Inflation- Long Duration Western Asset Asset Euro High Brandywine Global Opportunistic Fixed Brazil Equity Management Management Brazil Bond Fund^ Fund^ Bond Fund^ Plus Bond Fund^ Linked Fund Linked Plus Fund^ Fund^ Global Credit Fund Yield Fund^ Fixed Income Fund Income Fund^ Fund^ Value Fund Growth Fund August 31, 2011 Net Asset Value Per Share: Class A US$ Accumulating (USD) – 99.63 – – – – – – – 140.01 104.14 – 52.57 59.62 Class A US$ Distributing (A) (USD) – – – – – – – – – – – 90.72 99.89 74.25 Class A US$ Distributing (D) (USD) – – – 98.72 102.61 – – 99.33 – – – – – – Class A US$ Distributing (M) (USD) – 99.51 – – – – – – – 107.48 114.91 – – – Class A US$ Distributing (S) (USD) – – – – – – – – – 132.43 – – – – Class A AUD Distributing (M) (Hedged) (AUD) – – – – – – – – – – – – – – Class A Euro Accumulating (EUR) – – – – – – – – – – – – 45.82 61.45 Class A Euro Accumulating (Hedged) (EUR) – – – – – – – – – 122.31 – – – – Class A Euro Distributing (A) (EUR) – – – – – – – – – – – – – – Class A Euro Distributing (A) (Hedged) (EUR) – – – – – – – – – – – – – – Class A Euro Distributing (D) (EUR) – – – – – – – – 91.10 – – – – – Class A Euro Distributing (M) (Hedged) (EUR) – – – – – – – – – – – – – – Class A Euro Distributing (S) (Hedged) (EUR) – – – – – – – – – 100.50 – – – – Class A GBP Accumulating (Hedged) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (A) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (A) (Hedged) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (D) (GBP) – – 101.50 – – 108.14 102.13 – – – – – – – Class A GBP Distributing (D) (Hedged) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (M) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (M) (Hedged) (GBP) – 99.87 – – – – – – – – – – – – Class A GBP Distributing (S) (Hedged) (GBP) – – – – – – – – – 103.44 – – – – Class A (PF) US$ Accumulating (USD) – 99.89 – – – – – – – – – – – – Class A (PF) US$ Distributing (M) (USD) – 99.73 – – – – – – – – – – – – Class A SGD Accumulating (Hedged) (SGD) – – – – – – – – – – – – – – Class A SGD Accumulating (SGD) – – – – – – – – – – – – 0.39 – Class A SGD Distributing (Q) (SGD) – – – – – – – – – – – – – – Class A SGD Distributing (Q) (Hedged) (SGD) – – – – – – – – – – – – – – Class B US$ Accumulating (USD) – 98.83 – – – – – – – 130.53 – – 56.08 57.50 Class B US$ Distributing (A) (USD) – – – – – – – – – – – – 96.24 71.47 Class B US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class B US$ Distributing (M) (USD) – 98.83 – – – – – – – – – – – – Class B US$ Distributing (S) (USD) – – – – – – – – – 132.43 – – – – Class C US$ Accumulating (USD) – 98.31 – – – – – – – 129.40 – – 56.09 51.40 Class C US$ Distributing (A) (USD) – – – – – – – – – – – – 95.48 70.89 Class C US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class C US$ Distributing (M) (USD) – 98.31 – – – – – – – – – – – – Class C US$ Distributing (S) (USD) – – – – – – – – – 131.82 – – – – Class E US$ Accumulating (USD) – 98.31 – – – – – – – – – – – – Class E US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class E US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class E US$ Distributing (M) (USD) – 98.22 – – – – – – – – – – – – Class E Euro Accumulating (EUR) – – – – – – – – – – – – – – Class E Euro Accumulating (Hedged) (EUR) – – – – – – – – – – – – – – Class F US$ Accumulating (USD) – 99.31 – – – – – – – – – – 97.20 – Class F US$ Distributing (A) (USD) – – – – – – – – – – – – 103.10 – Class F US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class F US$ Distributing (M) (USD) – 99.31 – – – – – – – – – – – – Class F Euro Accumulating (EUR) – – – – – – – – – – – – – – Class F Euro Distributing (Q) (EUR) – – – – – – – – – – – – – – Class F (PF) US$ Accumulating (USD) – 99.76 – – – – – – – – – – – – Class F (PF) US$ Distributing (M) (USD) – 99.76 – – – – – – – – – – – – Premier Class US$ Accumulating (USD) 131.70 – – 101.57 105.53 – – – – 102.79 – – 84.87 76.45 Premier Class US$ Distributing (A) (USD) – – – – – – – – – – – – – – Premier Class US$ Distributing (D) (USD) – – – – – – – – – – – – – – Premier Class US$ Distributing (M) (USD) – – – – – – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) (AUD) – – – – – – – – – – – – – – Premier Class Euro Accumulating (EUR) – – – – – – – – – 103.93 – – – – Premier Class Euro Accumulating (Hedged) (EUR) – 99.24 – – – – – – – – – – – – Premier Class Euro Distributing (A) (EUR) – – – – – – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) (EUR) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (EUR) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) (EUR) – – – – – – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) (EUR) – – – 100.01 – – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

235 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Global Credit Legg Mason Western Legg Mason Western Western Asset Western Asset Western Asset UK£ Legg Mason Legg Mason Western Legg Mason Brandywine Global Western Asset Capital Capital Western Asset Absolute Return Asset UK£ Core Plus Asset Global Core Global Inflation- UK£ Inflation- Long Duration Western Asset Asset Euro High Brandywine Global Opportunistic Fixed Brazil Equity Management Management Brazil Bond Fund^ Fund^ Bond Fund^ Plus Bond Fund^ Linked Fund Linked Plus Fund^ Fund^ Global Credit Fund Yield Fund^ Fixed Income Fund Income Fund^ Fund^ Value Fund Growth Fund August 31, 2011 Net Asset Value Per Share: Premier Class GBP Accumulating (GBP) – – 104.52 – – 110.44 – – – – – – – – Premier Class GBP Accumulating (Hedged) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (D) (Hedged) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) (GBP) – 98.16 – – – – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) (GBP) – – – – – – – – – – – – – – Premier Class JPY Accumulating (JPY) – – – – – – – – – – – – – – Premier Class SEK Accumulating (Hedged) (SEK) – – – – – – – – – – – – – – Premier Class SGD Accumulating (Hedged) (SGD) – – – – 1.05 – – – – – – – – – Premier (PF) Class US$ Accumulating (USD) – 100.67 – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) (USD) – 100.64 – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) (GBP) – 100.97 – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) (GBP) – 101.06 – – – – – – – – – – – – LM Class US$ Accumulating (USD) 131.88 – – 99.28 – – – 103.55 – 111.25 – 91.97 102.79 – LM Class US$ Distributing (M) (USD) – – – – – – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) (USD) – – – – – – – – 92.07 – – – – – LM Class AUD Distributing (M) (Hedged) (AUD) – – – – – – – – – – – – – – LM Class Euro Accumulating (EUR) – – – – – – – – 96.79 – – – 95.42 – LM Class Euro Accumulating (Hedged) (EUR) – – – 99.68 – – – – – 103.27 – – – – LM Class Euro Distributing (Q) (EUR) – – – – – – – – 92.56 – – – – – LM Class GBP Accumulating (GBP) – – 104.77 – – 110.67 105.48 – – – – – – – LM Class GBP Accumulating (Hedged) (GBP) – – – – 106.06 – – – – – – – – – LM Class GBP Distributing (M) (GBP) – – – – – 108.22 102.28 – – – – – – – LM Class JPY Accumulating (Hedged) (JPY) – – – 9,898.65 – – – – – 10,129.42 – – – – LM Class JPY Accumulating (JPY) – – – – – – – – – – – – 9,152.91 – Class A (G) US$ Accumulating (USD) – – – – – – – – – – – – – – Class A (G) US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class A (G) US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class B (G) US$ Accumulating (USD) – – – – – – – – – – – – – – Class B (G) US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class B (G) US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class L (G) US$ Accumulating (USD) – – – – – – – – – – – – – – Class L (G) US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class L (G) US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class GA US$ Accumulating (USD) – – – – – – – – – – – – – – Class GA Euro Accumulating (EUR) – – – – – – – – – – – – – – Class GA Euro Distributing (A) (EUR) – – – – – – – – – – – – – – Class GE US$ Accumulating (USD) – – – – – – – – – – – – – – Class GE US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class GE Euro Accumulating (EUR) – – – – – – – – – – – – – – Class GF US$ Accumulating (USD) – – – – – – – – – – – – – – Class GF Euro Accumulating (EUR) – – – – – – – – – – – – – – Class GP US$ Accumulating (USD) – – – – – – – – – – – – – – Galleon Class (USD) – – – – – – – – – – – – 64.99 –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

236 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Global Credit Legg Mason Western Legg Mason Western Western Asset Western Asset Western Asset UK£ Legg Mason Legg Mason Western Legg Mason Brandywine Global Western Asset Capital Capital Western Asset Absolute Return Asset UK£ Core Plus Asset Global Core Global Inflation- UK£ Inflation- Long Duration Western Asset Asset Euro High Brandywine Global Opportunistic Fixed Brazil Equity Management Management Brazil Bond Fund^ Fund^ Bond Fund^ Plus Bond Fund^ Linked Fund Linked Plus Fund^ Fund^ Global Credit Fund Yield Fund^ Fixed Income Fund Income Fund^ Fund^ Value Fund Growth Fund August 31, 2011 Net Asset Value Per Share: Premier Class GBP Accumulating (GBP) – – 104.52 – – 110.44 – – – – – – – – Premier Class GBP Accumulating (Hedged) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (D) (Hedged) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) (GBP) – 98.16 – – – – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) (GBP) – – – – – – – – – – – – – – Premier Class JPY Accumulating (JPY) – – – – – – – – – – – – – – Premier Class SEK Accumulating (Hedged) (SEK) – – – – – – – – – – – – – – Premier Class SGD Accumulating (Hedged) (SGD) – – – – 1.05 – – – – – – – – – Premier (PF) Class US$ Accumulating (USD) – 100.67 – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) (USD) – 100.64 – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) (GBP) – 100.97 – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) (GBP) – 101.06 – – – – – – – – – – – – LM Class US$ Accumulating (USD) 131.88 – – 99.28 – – – 103.55 – 111.25 – 91.97 102.79 – LM Class US$ Distributing (M) (USD) – – – – – – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) (USD) – – – – – – – – 92.07 – – – – – LM Class AUD Distributing (M) (Hedged) (AUD) – – – – – – – – – – – – – – LM Class Euro Accumulating (EUR) – – – – – – – – 96.79 – – – 95.42 – LM Class Euro Accumulating (Hedged) (EUR) – – – 99.68 – – – – – 103.27 – – – – LM Class Euro Distributing (Q) (EUR) – – – – – – – – 92.56 – – – – – LM Class GBP Accumulating (GBP) – – 104.77 – – 110.67 105.48 – – – – – – – LM Class GBP Accumulating (Hedged) (GBP) – – – – 106.06 – – – – – – – – – LM Class GBP Distributing (M) (GBP) – – – – – 108.22 102.28 – – – – – – – LM Class JPY Accumulating (Hedged) (JPY) – – – 9,898.65 – – – – – 10,129.42 – – – – LM Class JPY Accumulating (JPY) – – – – – – – – – – – – 9,152.91 – Class A (G) US$ Accumulating (USD) – – – – – – – – – – – – – – Class A (G) US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class A (G) US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class B (G) US$ Accumulating (USD) – – – – – – – – – – – – – – Class B (G) US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class B (G) US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class L (G) US$ Accumulating (USD) – – – – – – – – – – – – – – Class L (G) US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class L (G) US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class GA US$ Accumulating (USD) – – – – – – – – – – – – – – Class GA Euro Accumulating (EUR) – – – – – – – – – – – – – – Class GA Euro Distributing (A) (EUR) – – – – – – – – – – – – – – Class GE US$ Accumulating (USD) – – – – – – – – – – – – – – Class GE US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class GE Euro Accumulating (EUR) – – – – – – – – – – – – – – Class GF US$ Accumulating (USD) – – – – – – – – – – – – – – Class GF Euro Accumulating (EUR) – – – – – – – – – – – – – – Class GP US$ Accumulating (USD) – – – – – – – – – – – – – – Galleon Class (USD) – – – – – – – – – – – – 64.99 –

The accompanying notes are an integral part of the Financial Statements

237 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Capital ClearBridge ClearBridge Legg Mason ClearBridge Royce US Small Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Legg Mason Batterymarch Management US Appreciation US Fundamental ClearBridge US Large US Aggressive Cap Opportunity Smaller Companies Smaller Companies European Smaller Global Smaller Legg Mason PCM US Permal Global GC Global Equity European Equity Opportunity Fund Fund Value Fund Cap Growth Fund Growth Fund Fund Fund Fund II^GG Companies Fund^ Companies Fund Equity Fund Absolute Fund Fund Fund August 31, 2011 Net Asset Value Per Share: Class A US$ Accumulating (USD) 82.27 92.82 78.03 93.22 92.41 85.37 103.36 87.72 – 128.44 – 101.00 71.95 63.99 Class A US$ Distributing (A) (USD) 157.27 92.74 77.73 93.26 92.44 259.35 175.26 – – 125.90 – 100.89 82.14 144.35 Class A US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class A US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class A US$ Distributing (S) (USD) – – – – – – – – – – – – – – Class A AUD Distributing (M) (Hedged) (AUD) – – – – – – – – – – – – – – Class A Euro Accumulating (EUR) – 95.07 83.13 104.50 104.24 77.92 126.01 – – – – – – 97.25 Class A Euro Accumulating (Hedged) (EUR) – – – – – – – – – – – 97.68 – – Class A Euro Distributing (A) (EUR) – – – – – – 87.93 – 116.44 – – – – 102.38 Class A Euro Distributing (A) (Hedged) (EUR) – – – – – – – – – – – 100.82 – – Class A Euro Distributing (D) (EUR) – – – – – – – – – – – – – – Class A Euro Distributing (M) (Hedged) (EUR) – – – – – – – – – – – – – – Class A Euro Distributing (S) (Hedged) (EUR) – – – – – – – – – – – – – – Class A GBP Accumulating (Hedged) (GBP) – – – – – – – – – – – 101.29 – – Class A GBP Distributing (A) (GBP) – – – – – 82.34 127.71 – – – – – – – Class A GBP Distributing (A) (Hedged) (GBP) – – – – – – – – – – – 101.60 – – Class A GBP Distributing (D) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (D) (Hedged) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (M) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (M) (Hedged) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (S) (Hedged) (GBP) – – – – – – – – – – – – – – Class A (PF) US$ Accumulating (USD) – – – – – – – – – – – – – – Class A (PF) US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class A SGD Accumulating (Hedged) (SGD) – – – – – – – – – – – 0.98 – – Class A SGD Accumulating (SGD) – – – – – 0.76 – – – – – – – – Class A SGD Distributing (Q) (SGD) – – – – – – – – – – – – – – Class A SGD Distributing (Q) (Hedged) (SGD) – – – – – – – – – – – – – – Class B US$ Accumulating (USD) – 88.65 81.50 89.89 94.33 93.38 106.26 – – 124.69 – 100.16 72.11 62.27 Class B US$ Distributing (A) (USD) – 90.81 76.35 91.24 90.45 250.06 168.93 – – – – 100.00 80.66 144.31 Class B US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class B US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class B US$ Distributing (S) (USD) – – – – – – – – – – – – – – Class C US$ Accumulating (USD) – 88.68 81.52 89.90 94.36 93.54 106.23 – – 124.69 – 100.06 72.80 63.60 Class C US$ Distributing (A) (USD) – 90.80 76.36 91.25 90.45 248.20 168.08 – – – – 99.86 80.68 142.76 Class C US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class C US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class C US$ Distributing (S) (USD) – – – – – – – – – – – – – – Class E US$ Accumulating (USD) – 105.89 – – 96.16 86.04 117.27 – – 126.88 – 99.59 – – Class E US$ Distributing (A) (USD) – 105.96 – – 96.17 86.03 117.25 – – – – 99.74 – – Class E US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class E US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class E Euro Accumulating (EUR) – – – – – 85.60 88.30 – – – – – – – Class E Euro Accumulating (Hedged) (EUR) – – – – – – – – – – – – – – Class F US$ Accumulating (USD) – 108.15 – – 97.02 86.74 119.74 – – – – 100.37 – – Class F US$ Distributing (A) (USD) – 111.46 – – 97.02 86.74 128.50 – – – – 101.78 – – Class F US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class F US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class F Euro Accumulating (EUR) – – – – – – – – – – – – – – Class F Euro Distributing (Q) (EUR) – – – – – – – – – – – – – – Class F (PF) US$ Accumulating (USD) – – – – – – – – – – – – – – Class F (PF) US$ Distributing (M) (USD) – – – – – – – – – – – – – – Premier Class US$ Accumulating (USD) 79.77 107.84 – – 111.47 96.04 124.55 – – 90.02 – 102.60 – – Premier Class US$ Distributing (A) (USD) – 134.17 – – – – 89.66 – – – – – – – Premier Class US$ Distributing (D) (USD) – – – – – – – – – – – – – – Premier Class US$ Distributing (M) (USD) – – – – – – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) (AUD) – – – – – – – – – – – 105.65 – – Premier Class Euro Accumulating (EUR) – 94.14 – – 91.15 96.28 – – – – – – – – Premier Class Euro Accumulating (Hedged) (EUR) – – – – – – – – – – – 101.80 – – Premier Class Euro Distributing (A) (EUR) – – – – 87.54 – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) (EUR) – – – – – – – – – – – 102.32 – – Premier Class Euro Distributing (M) (EUR) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) (EUR) – – – – – – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) (EUR) – – – – – – – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

238 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Capital ClearBridge ClearBridge Legg Mason ClearBridge Royce US Small Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Legg Mason Batterymarch Management US Appreciation US Fundamental ClearBridge US Large US Aggressive Cap Opportunity Smaller Companies Smaller Companies European Smaller Global Smaller Legg Mason PCM US Permal Global GC Global Equity European Equity Opportunity Fund Fund Value Fund Cap Growth Fund Growth Fund Fund Fund Fund II^GG Companies Fund^ Companies Fund Equity Fund Absolute Fund Fund Fund August 31, 2011 Net Asset Value Per Share: Class A US$ Accumulating (USD) 82.27 92.82 78.03 93.22 92.41 85.37 103.36 87.72 – 128.44 – 101.00 71.95 63.99 Class A US$ Distributing (A) (USD) 157.27 92.74 77.73 93.26 92.44 259.35 175.26 – – 125.90 – 100.89 82.14 144.35 Class A US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class A US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class A US$ Distributing (S) (USD) – – – – – – – – – – – – – – Class A AUD Distributing (M) (Hedged) (AUD) – – – – – – – – – – – – – – Class A Euro Accumulating (EUR) – 95.07 83.13 104.50 104.24 77.92 126.01 – – – – – – 97.25 Class A Euro Accumulating (Hedged) (EUR) – – – – – – – – – – – 97.68 – – Class A Euro Distributing (A) (EUR) – – – – – – 87.93 – 116.44 – – – – 102.38 Class A Euro Distributing (A) (Hedged) (EUR) – – – – – – – – – – – 100.82 – – Class A Euro Distributing (D) (EUR) – – – – – – – – – – – – – – Class A Euro Distributing (M) (Hedged) (EUR) – – – – – – – – – – – – – – Class A Euro Distributing (S) (Hedged) (EUR) – – – – – – – – – – – – – – Class A GBP Accumulating (Hedged) (GBP) – – – – – – – – – – – 101.29 – – Class A GBP Distributing (A) (GBP) – – – – – 82.34 127.71 – – – – – – – Class A GBP Distributing (A) (Hedged) (GBP) – – – – – – – – – – – 101.60 – – Class A GBP Distributing (D) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (D) (Hedged) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (M) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (M) (Hedged) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (S) (Hedged) (GBP) – – – – – – – – – – – – – – Class A (PF) US$ Accumulating (USD) – – – – – – – – – – – – – – Class A (PF) US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class A SGD Accumulating (Hedged) (SGD) – – – – – – – – – – – 0.98 – – Class A SGD Accumulating (SGD) – – – – – 0.76 – – – – – – – – Class A SGD Distributing (Q) (SGD) – – – – – – – – – – – – – – Class A SGD Distributing (Q) (Hedged) (SGD) – – – – – – – – – – – – – – Class B US$ Accumulating (USD) – 88.65 81.50 89.89 94.33 93.38 106.26 – – 124.69 – 100.16 72.11 62.27 Class B US$ Distributing (A) (USD) – 90.81 76.35 91.24 90.45 250.06 168.93 – – – – 100.00 80.66 144.31 Class B US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class B US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class B US$ Distributing (S) (USD) – – – – – – – – – – – – – – Class C US$ Accumulating (USD) – 88.68 81.52 89.90 94.36 93.54 106.23 – – 124.69 – 100.06 72.80 63.60 Class C US$ Distributing (A) (USD) – 90.80 76.36 91.25 90.45 248.20 168.08 – – – – 99.86 80.68 142.76 Class C US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class C US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class C US$ Distributing (S) (USD) – – – – – – – – – – – – – – Class E US$ Accumulating (USD) – 105.89 – – 96.16 86.04 117.27 – – 126.88 – 99.59 – – Class E US$ Distributing (A) (USD) – 105.96 – – 96.17 86.03 117.25 – – – – 99.74 – – Class E US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class E US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class E Euro Accumulating (EUR) – – – – – 85.60 88.30 – – – – – – – Class E Euro Accumulating (Hedged) (EUR) – – – – – – – – – – – – – – Class F US$ Accumulating (USD) – 108.15 – – 97.02 86.74 119.74 – – – – 100.37 – – Class F US$ Distributing (A) (USD) – 111.46 – – 97.02 86.74 128.50 – – – – 101.78 – – Class F US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class F US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class F Euro Accumulating (EUR) – – – – – – – – – – – – – – Class F Euro Distributing (Q) (EUR) – – – – – – – – – – – – – – Class F (PF) US$ Accumulating (USD) – – – – – – – – – – – – – – Class F (PF) US$ Distributing (M) (USD) – – – – – – – – – – – – – – Premier Class US$ Accumulating (USD) 79.77 107.84 – – 111.47 96.04 124.55 – – 90.02 – 102.60 – – Premier Class US$ Distributing (A) (USD) – 134.17 – – – – 89.66 – – – – – – – Premier Class US$ Distributing (D) (USD) – – – – – – – – – – – – – – Premier Class US$ Distributing (M) (USD) – – – – – – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) (AUD) – – – – – – – – – – – 105.65 – – Premier Class Euro Accumulating (EUR) – 94.14 – – 91.15 96.28 – – – – – – – – Premier Class Euro Accumulating (Hedged) (EUR) – – – – – – – – – – – 101.80 – – Premier Class Euro Distributing (A) (EUR) – – – – 87.54 – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) (EUR) – – – – – – – – – – – 102.32 – – Premier Class Euro Distributing (M) (EUR) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) (EUR) – – – – – – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) (EUR) – – – – – – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

239 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Capital ClearBridge ClearBridge Legg Mason ClearBridge Royce US Small Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Legg Mason Batterymarch Management US Appreciation US Fundamental ClearBridge US Large US Aggressive Cap Opportunity Smaller Companies Smaller Companies European Smaller Global Smaller Legg Mason PCM US Permal Global GC Global Equity European Equity Opportunity Fund Fund Value Fund Cap Growth Fund Growth Fund Fund Fund Fund II^GG Companies Fund^ Companies Fund Equity Fund Absolute Fund Fund Fund August 31, 2011 Net Asset Value Per Share: Premier Class GBP Accumulating (GBP) – – – – – – – – – – – – – – Premier Class GBP Accumulating (Hedged) (GBP) – – – – – – – – – – – 101.23 – – Premier Class GBP Distributing (A) (GBP) 94.20 – – – – – 8,363,471.27 – – – – – – – Premier Class GBP Distributing (A) (Hedged) (GBP) – – – – – – – – – – – 103.07 – – Premier Class GBP Distributing (D) (Hedged) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) (GBP) – – – – – – – – – – – – – – Premier Class JPY Accumulating (JPY) – – – – – – – – – – – – – – Premier Class SEK Accumulating (Hedged) (SEK) – – – – – – – – – – – – – – Premier Class SGD Accumulating (Hedged) (SGD) – – – – – – – – – – – – – – Premier (PF) Class US$ Accumulating (USD) – – – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) (USD) – – – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) (GBP) – – – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) (GBP) – – – – – – – – – – – – – – LM Class US$ Accumulating (USD) 164.46 104.59 111.29 – – – 112.73 – – 132.46 – 104.08 – 96.70 LM Class US$ Distributing (M) (USD) – – – – – – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) (USD) – – – – – – – – – – – – – – LM Class AUD Distributing (M) (Hedged) (AUD) – – – – – – – – – – – – – – LM Class Euro Accumulating (EUR) – 101.25 – – – – 108.55 – 120.10 – – – – 94.29 LM Class Euro Accumulating (Hedged) (EUR) – – – – – – – – – – – – – – LM Class Euro Distributing (Q) (EUR) – – – – – – – – – – – – – – LM Class GBP Accumulating (GBP) – – – – – – – – – – – – – – LM Class GBP Accumulating (Hedged) (GBP) – – – – – – – – – – – – – – LM Class GBP Distributing (M) (GBP) – – – – – – – – – – – – – – LM Class JPY Accumulating (Hedged) (JPY) – – – – – – – – – – – 9,654.99 – – LM Class JPY Accumulating (JPY) – 9,737.80 – – – – 10,579.36 – – – – – – 9,054.33 Class A (G) US$ Accumulating (USD) – 93.76 79.02 94.06 93.56 – 108.39 – – – – – – 64.25 Class A (G) US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class A (G) US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class B (G) US$ Accumulating (USD) – 91.73 77.31 92.03 91.54 – 106.07 – – – – – – 62.85 Class B (G) US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class B (G) US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class L (G) US$ Accumulating (USD) – 91.75 77.31 92.03 91.55 – 106.00 – – – – – – 62.98 Class L (G) US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class L (G) US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class GA US$ Accumulating (USD) – 95.88 109.72 113.49 – – – – – – – – – 109.92 Class GA Euro Accumulating (EUR) – 95.68 95.61 100.53 106.85 – – – – – – – – 97.46 Class GA Euro Distributing (A) (EUR) – 95.66 97.13 100.60 106.80 – – – – – – – – 97.35 Class GE US$ Accumulating (USD) – 95.72 108.90 – 119.52 – – – – – – – – 109.22 Class GE US$ Distributing (A) (USD) – – – 112.64 – – – – – – – – – – Class GE Euro Accumulating (EUR) – 95.51 96.56 99.93 106.28 – – – – – – – – – Class GF US$ Accumulating (USD) – – – – – – – – – – – – – – Class GF Euro Accumulating (EUR) – – – – – – – – – – – – – – Class GP US$ Accumulating (USD) – 96.18 – – – – – – – – – – – – Galleon Class (USD) – – – – – – – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

240 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Capital ClearBridge ClearBridge Legg Mason ClearBridge Royce US Small Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Legg Mason Batterymarch Management US Appreciation US Fundamental ClearBridge US Large US Aggressive Cap Opportunity Smaller Companies Smaller Companies European Smaller Global Smaller Legg Mason PCM US Permal Global GC Global Equity European Equity Opportunity Fund Fund Value Fund Cap Growth Fund Growth Fund Fund Fund Fund II^GG Companies Fund^ Companies Fund Equity Fund Absolute Fund Fund Fund August 31, 2011 Net Asset Value Per Share: Premier Class GBP Accumulating (GBP) – – – – – – – – – – – – – – Premier Class GBP Accumulating (Hedged) (GBP) – – – – – – – – – – – 101.23 – – Premier Class GBP Distributing (A) (GBP) 94.20 – – – – – 8,363,471.27 – – – – – – – Premier Class GBP Distributing (A) (Hedged) (GBP) – – – – – – – – – – – 103.07 – – Premier Class GBP Distributing (D) (Hedged) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) (GBP) – – – – – – – – – – – – – – Premier Class JPY Accumulating (JPY) – – – – – – – – – – – – – – Premier Class SEK Accumulating (Hedged) (SEK) – – – – – – – – – – – – – – Premier Class SGD Accumulating (Hedged) (SGD) – – – – – – – – – – – – – – Premier (PF) Class US$ Accumulating (USD) – – – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) (USD) – – – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) (GBP) – – – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) (GBP) – – – – – – – – – – – – – – LM Class US$ Accumulating (USD) 164.46 104.59 111.29 – – – 112.73 – – 132.46 – 104.08 – 96.70 LM Class US$ Distributing (M) (USD) – – – – – – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) (USD) – – – – – – – – – – – – – – LM Class AUD Distributing (M) (Hedged) (AUD) – – – – – – – – – – – – – – LM Class Euro Accumulating (EUR) – 101.25 – – – – 108.55 – 120.10 – – – – 94.29 LM Class Euro Accumulating (Hedged) (EUR) – – – – – – – – – – – – – – LM Class Euro Distributing (Q) (EUR) – – – – – – – – – – – – – – LM Class GBP Accumulating (GBP) – – – – – – – – – – – – – – LM Class GBP Accumulating (Hedged) (GBP) – – – – – – – – – – – – – – LM Class GBP Distributing (M) (GBP) – – – – – – – – – – – – – – LM Class JPY Accumulating (Hedged) (JPY) – – – – – – – – – – – 9,654.99 – – LM Class JPY Accumulating (JPY) – 9,737.80 – – – – 10,579.36 – – – – – – 9,054.33 Class A (G) US$ Accumulating (USD) – 93.76 79.02 94.06 93.56 – 108.39 – – – – – – 64.25 Class A (G) US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class A (G) US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class B (G) US$ Accumulating (USD) – 91.73 77.31 92.03 91.54 – 106.07 – – – – – – 62.85 Class B (G) US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class B (G) US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class L (G) US$ Accumulating (USD) – 91.75 77.31 92.03 91.55 – 106.00 – – – – – – 62.98 Class L (G) US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class L (G) US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class GA US$ Accumulating (USD) – 95.88 109.72 113.49 – – – – – – – – – 109.92 Class GA Euro Accumulating (EUR) – 95.68 95.61 100.53 106.85 – – – – – – – – 97.46 Class GA Euro Distributing (A) (EUR) – 95.66 97.13 100.60 106.80 – – – – – – – – 97.35 Class GE US$ Accumulating (USD) – 95.72 108.90 – 119.52 – – – – – – – – 109.22 Class GE US$ Distributing (A) (USD) – – – 112.64 – – – – – – – – – – Class GE Euro Accumulating (EUR) – 95.51 96.56 99.93 106.28 – – – – – – – – – Class GF US$ Accumulating (USD) – – – – – – – – – – – – – – Class GF Euro Accumulating (EUR) – – – – – – – – – – – – – – Class GP US$ Accumulating (USD) – 96.18 – – – – – – – – – – – – Galleon Class (USD) – – – – – – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

241 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch 130/ Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Emerging Batterymarch Asia 30 Global Equity International Emerging Markets Global Equity Congruix Asia Congruix Japan Legg Mason LMHK Markets Select Pacific Equity Fund Fund^ Large Cap Fund Equity Fund Fund Pacific Fund^ Equity Fund China Fund Equity Fund August 31, 2011 Net Asset Value Per Share: Class A US$ Accumulating (USD) 105.90 – 69.37 81.04 – – – – – Class A US$ Distributing (A) (USD) 205.01 – 65.88 90.62 93.61 – – 101.35 95.10 Class A US$ Distributing (D) (USD) – – – – – – – – – Class A US$ Distributing (M) (USD) – – – – – – – – – Class A US$ Distributing (S) (USD) – – – – – – – – – Class A AUD Distributing (M) (Hedged) (AUD) – – – – – – – – – Class A Euro Accumulating (EUR) 74.85 – 103.35 98.21 – – – – – Class A Euro Accumulating (Hedged) (EUR) – – – – – – – – – Class A Euro Distributing (A) (EUR) – – – – – – – – – Class A Euro Distributing (A) (Hedged) (EUR) – – – – – – – – – Class A Euro Distributing (D) (EUR) – – – – – – – – – Class A Euro Distributing (M) (Hedged) (EUR) – – – – – – – – – Class A Euro Distributing (S) (Hedged) (EUR) – – – – – – – – – Class A GBP Accumulating (Hedged) (GBP) – – – – – – – – – Class A GBP Distributing (A) (GBP) – – – 97.94 – – – – – Class A GBP Distributing (A) (Hedged) (GBP) – – – – – – – – – Class A GBP Distributing (D) (GBP) – – – – – – – – – Class A GBP Distributing (D) (Hedged) (GBP) – – – – – – – – – Class A GBP Distributing (M) (GBP) – – – – – – – – – Class A GBP Distributing (M) (Hedged) (GBP) – – – – – – – – – Class A GBP Distributing (S) (Hedged) (GBP) – – – – – – – – – Class A (PF) US$ Accumulating (USD) – – – – – – – – – Class A (PF) US$ Distributing (M) (USD) – – – – – – – – – Class A SGD Accumulating (Hedged) (SGD) – – – – – – – – – Class A SGD Accumulating (SGD) – – – – – – – – – Class A SGD Distributing (Q) (SGD) – – – – – – – – – Class A SGD Distributing (Q) (Hedged) (SGD) – – – – – – – – – Class B US$ Accumulating (USD) 76.85 – 66.34 89.97 – – – – – Class B US$ Distributing (A) (USD) 199.52 – 65.58 89.63 – – – – – Class B US$ Distributing (D) (USD) – – – – – – – – – Class B US$ Distributing (M) (USD) – – – – – – – – – Class B US$ Distributing (S) (USD) – – – – – – – – – Class C US$ Accumulating (USD) 76.82 – 66.34 90.01 – – – – – Class C US$ Distributing (A) (USD) 198.45 – 65.58 89.59 – – – – – Class C US$ Distributing (D) (USD) – – – – – – – – – Class C US$ Distributing (M) (USD) – – – – – – – – – Class C US$ Distributing (S) (USD) – – – – – – – – – Class E US$ Accumulating (USD) 108.70 – – 103.98 – – – – – Class E US$ Distributing (A) (USD) 108.96 – – 103.94 – – – – – Class E US$ Distributing (D) (USD) – – – – – – – – – Class E US$ Distributing (M) (USD) – – – – – – – – – Class E Euro Accumulating (EUR) 82.31 – – – – – – – – Class E Euro Accumulating (Hedged) (EUR) – – – – – – – – – Class F US$ Accumulating (USD) 89.29 – – 106.34 – – – – – Class F US$ Distributing (A) (USD) 89.29 – – 112.31 – – – – – Class F US$ Distributing (D) (USD) – – – – – – – – – Class F US$ Distributing (M) (USD) – – – – – – – – – Class F Euro Accumulating (EUR) – – – – – – – – – Class F Euro Distributing (Q) (EUR) – – – – – – – – – Class F (PF) US$ Accumulating (USD) – – – – – – – – – Class F (PF) US$ Distributing (M) (USD) – – – – – – – – – Premier Class US$ Accumulating (USD) – – – – – – – – – Premier Class US$ Distributing (A) (USD) – – – – – – – – – Premier Class US$ Distributing (D) (USD) – – – – – – – – – Premier Class US$ Distributing (M) (USD) – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) (AUD) – – – – – – – – – Premier Class Euro Accumulating (EUR) – – – 101.65 – – – – – Premier Class Euro Accumulating (Hedged) (EUR) – – – – – – – – – Premier Class Euro Distributing (A) (EUR) – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) (EUR) – – – – – – – – – Premier Class Euro Distributing (M) (EUR) – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) (EUR) – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) (EUR) – – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

242 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch 130/ Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Emerging Batterymarch Asia 30 Global Equity International Emerging Markets Global Equity Congruix Asia Congruix Japan Legg Mason LMHK Markets Select Pacific Equity Fund Fund^ Large Cap Fund Equity Fund Fund Pacific Fund^ Equity Fund China Fund Equity Fund August 31, 2011 Net Asset Value Per Share: Class A US$ Accumulating (USD) 105.90 – 69.37 81.04 – – – – – Class A US$ Distributing (A) (USD) 205.01 – 65.88 90.62 93.61 – – 101.35 95.10 Class A US$ Distributing (D) (USD) – – – – – – – – – Class A US$ Distributing (M) (USD) – – – – – – – – – Class A US$ Distributing (S) (USD) – – – – – – – – – Class A AUD Distributing (M) (Hedged) (AUD) – – – – – – – – – Class A Euro Accumulating (EUR) 74.85 – 103.35 98.21 – – – – – Class A Euro Accumulating (Hedged) (EUR) – – – – – – – – – Class A Euro Distributing (A) (EUR) – – – – – – – – – Class A Euro Distributing (A) (Hedged) (EUR) – – – – – – – – – Class A Euro Distributing (D) (EUR) – – – – – – – – – Class A Euro Distributing (M) (Hedged) (EUR) – – – – – – – – – Class A Euro Distributing (S) (Hedged) (EUR) – – – – – – – – – Class A GBP Accumulating (Hedged) (GBP) – – – – – – – – – Class A GBP Distributing (A) (GBP) – – – 97.94 – – – – – Class A GBP Distributing (A) (Hedged) (GBP) – – – – – – – – – Class A GBP Distributing (D) (GBP) – – – – – – – – – Class A GBP Distributing (D) (Hedged) (GBP) – – – – – – – – – Class A GBP Distributing (M) (GBP) – – – – – – – – – Class A GBP Distributing (M) (Hedged) (GBP) – – – – – – – – – Class A GBP Distributing (S) (Hedged) (GBP) – – – – – – – – – Class A (PF) US$ Accumulating (USD) – – – – – – – – – Class A (PF) US$ Distributing (M) (USD) – – – – – – – – – Class A SGD Accumulating (Hedged) (SGD) – – – – – – – – – Class A SGD Accumulating (SGD) – – – – – – – – – Class A SGD Distributing (Q) (SGD) – – – – – – – – – Class A SGD Distributing (Q) (Hedged) (SGD) – – – – – – – – – Class B US$ Accumulating (USD) 76.85 – 66.34 89.97 – – – – – Class B US$ Distributing (A) (USD) 199.52 – 65.58 89.63 – – – – – Class B US$ Distributing (D) (USD) – – – – – – – – – Class B US$ Distributing (M) (USD) – – – – – – – – – Class B US$ Distributing (S) (USD) – – – – – – – – – Class C US$ Accumulating (USD) 76.82 – 66.34 90.01 – – – – – Class C US$ Distributing (A) (USD) 198.45 – 65.58 89.59 – – – – – Class C US$ Distributing (D) (USD) – – – – – – – – – Class C US$ Distributing (M) (USD) – – – – – – – – – Class C US$ Distributing (S) (USD) – – – – – – – – – Class E US$ Accumulating (USD) 108.70 – – 103.98 – – – – – Class E US$ Distributing (A) (USD) 108.96 – – 103.94 – – – – – Class E US$ Distributing (D) (USD) – – – – – – – – – Class E US$ Distributing (M) (USD) – – – – – – – – – Class E Euro Accumulating (EUR) 82.31 – – – – – – – – Class E Euro Accumulating (Hedged) (EUR) – – – – – – – – – Class F US$ Accumulating (USD) 89.29 – – 106.34 – – – – – Class F US$ Distributing (A) (USD) 89.29 – – 112.31 – – – – – Class F US$ Distributing (D) (USD) – – – – – – – – – Class F US$ Distributing (M) (USD) – – – – – – – – – Class F Euro Accumulating (EUR) – – – – – – – – – Class F Euro Distributing (Q) (EUR) – – – – – – – – – Class F (PF) US$ Accumulating (USD) – – – – – – – – – Class F (PF) US$ Distributing (M) (USD) – – – – – – – – – Premier Class US$ Accumulating (USD) – – – – – – – – – Premier Class US$ Distributing (A) (USD) – – – – – – – – – Premier Class US$ Distributing (D) (USD) – – – – – – – – – Premier Class US$ Distributing (M) (USD) – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) (AUD) – – – – – – – – – Premier Class Euro Accumulating (EUR) – – – 101.65 – – – – – Premier Class Euro Accumulating (Hedged) (EUR) – – – – – – – – – Premier Class Euro Distributing (A) (EUR) – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) (EUR) – – – – – – – – – Premier Class Euro Distributing (M) (EUR) – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) (EUR) – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) (EUR) – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

243 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch 130/ Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Emerging Batterymarch Asia 30 Global Equity International Emerging Markets Global Equity Congruix Asia Congruix Japan Legg Mason LMHK Markets Select Pacific Equity Fund Fund^ Large Cap Fund Equity Fund Fund Pacific Fund^ Equity Fund China Fund Equity Fund August 31, 2011 Net Asset Value Per Share: Premier Class GBP Accumulating (GBP) – – – – – – – – – Premier Class GBP Accumulating (Hedged) (GBP) – – – – – – – – – Premier Class GBP Distributing (A) (GBP) – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) (GBP) – – – – – – – – – Premier Class GBP Distributing (D) (Hedged) (GBP) – – – – – – – – – Premier Class GBP Distributing (M) (GBP) – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) (GBP) – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) (GBP) – – – – – – – – – Premier Class JPY Accumulating (JPY) – – – – – – – – – Premier Class SEK Accumulating (Hedged) (SEK) – – – – – – – – – Premier Class SGD Accumulating (Hedged) (SGD) – – – – – – – – – Premier (PF) Class US$ Accumulating (USD) – – – – – – – – – Premier (PF) Class US$ Distributing (M) (USD) – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) (GBP) – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) (GBP) – – – – – – – – – LM Class US$ Accumulating (USD) – – – – 94.11 – – 103.96 96.67 LM Class US$ Distributing (M) (USD) – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) (USD) – – – – – – – – – LM Class AUD Distributing (M) (Hedged) (AUD) – – – – – – – – – LM Class Euro Accumulating (EUR) – – – – – – – – – LM Class Euro Accumulating (Hedged) (EUR) – – – – – – – – – LM Class Euro Distributing (Q) (EUR) – – – – – – – – – LM Class GBP Accumulating (GBP) – – – – – – – – – LM Class GBP Accumulating (Hedged) (GBP) – – – – – – – – – LM Class GBP Distributing (M) (GBP) – – – – – – – – – LM Class JPY Accumulating (Hedged) (JPY) – – – – – – – – – LM Class JPY Accumulating (JPY) – – – – – – – – – Class A (G) US$ Accumulating (USD) – – 69.70 – – – – – – Class A (G) US$ Distributing (A) (USD) – – – – – – – – – Class A (G) US$ Distributing (D) (USD) – – – – – – – – – Class B (G) US$ Accumulating (USD) – – 68.19 – – – – – – Class B (G) US$ Distributing (A) (USD) – – – – – – – – – Class B (G) US$ Distributing (D) (USD) – – – – – – – – – Class L (G) US$ Accumulating (USD) – – 68.19 – – – – – – Class L (G) US$ Distributing (A) (USD) – – – – – – – – – Class L (G) US$ Distributing (D) (USD) – – – – – – – – – Class GA US$ Accumulating (USD) 105.70 – – – 94.87 – – – – Class GA Euro Accumulating (EUR) 93.58 – – – 94.67 – – – – Class GA Euro Distributing (A) (EUR) 93.68 – – – 94.77 – – – – Class GE US$ Accumulating (USD) 104.91 – – – 94.72 – – – – Class GE US$ Distributing (A) (USD) – – – – – – – – – Class GE Euro Accumulating (EUR) 92.82 – – – 94.48 – – – – Class GF US$ Accumulating (USD) – – – – – – – – – Class GF Euro Accumulating (EUR) – – – – – – – – – Class GP US$ Accumulating (USD) 106.91 – – – – – – – – Galleon Class (USD) – – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

244 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch 130/ Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Emerging Batterymarch Asia 30 Global Equity International Emerging Markets Global Equity Congruix Asia Congruix Japan Legg Mason LMHK Markets Select Pacific Equity Fund Fund^ Large Cap Fund Equity Fund Fund Pacific Fund^ Equity Fund China Fund Equity Fund August 31, 2011 Net Asset Value Per Share: Premier Class GBP Accumulating (GBP) – – – – – – – – – Premier Class GBP Accumulating (Hedged) (GBP) – – – – – – – – – Premier Class GBP Distributing (A) (GBP) – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) (GBP) – – – – – – – – – Premier Class GBP Distributing (D) (Hedged) (GBP) – – – – – – – – – Premier Class GBP Distributing (M) (GBP) – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) (GBP) – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) (GBP) – – – – – – – – – Premier Class JPY Accumulating (JPY) – – – – – – – – – Premier Class SEK Accumulating (Hedged) (SEK) – – – – – – – – – Premier Class SGD Accumulating (Hedged) (SGD) – – – – – – – – – Premier (PF) Class US$ Accumulating (USD) – – – – – – – – – Premier (PF) Class US$ Distributing (M) (USD) – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) (GBP) – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) (GBP) – – – – – – – – – LM Class US$ Accumulating (USD) – – – – 94.11 – – 103.96 96.67 LM Class US$ Distributing (M) (USD) – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) (USD) – – – – – – – – – LM Class AUD Distributing (M) (Hedged) (AUD) – – – – – – – – – LM Class Euro Accumulating (EUR) – – – – – – – – – LM Class Euro Accumulating (Hedged) (EUR) – – – – – – – – – LM Class Euro Distributing (Q) (EUR) – – – – – – – – – LM Class GBP Accumulating (GBP) – – – – – – – – – LM Class GBP Accumulating (Hedged) (GBP) – – – – – – – – – LM Class GBP Distributing (M) (GBP) – – – – – – – – – LM Class JPY Accumulating (Hedged) (JPY) – – – – – – – – – LM Class JPY Accumulating (JPY) – – – – – – – – – Class A (G) US$ Accumulating (USD) – – 69.70 – – – – – – Class A (G) US$ Distributing (A) (USD) – – – – – – – – – Class A (G) US$ Distributing (D) (USD) – – – – – – – – – Class B (G) US$ Accumulating (USD) – – 68.19 – – – – – – Class B (G) US$ Distributing (A) (USD) – – – – – – – – – Class B (G) US$ Distributing (D) (USD) – – – – – – – – – Class L (G) US$ Accumulating (USD) – – 68.19 – – – – – – Class L (G) US$ Distributing (A) (USD) – – – – – – – – – Class L (G) US$ Distributing (D) (USD) – – – – – – – – – Class GA US$ Accumulating (USD) 105.70 – – – 94.87 – – – – Class GA Euro Accumulating (EUR) 93.58 – – – 94.67 – – – – Class GA Euro Distributing (A) (EUR) 93.68 – – – 94.77 – – – – Class GE US$ Accumulating (USD) 104.91 – – – 94.72 – – – – Class GE US$ Distributing (A) (USD) – – – – – – – – – Class GE Euro Accumulating (EUR) 92.82 – – – 94.48 – – – – Class GF US$ Accumulating (USD) – – – – – – – – – Class GF Euro Accumulating (EUR) – – – – – – – – – Class GP US$ Accumulating (USD) 106.91 – – – – – – – – Galleon Class (USD) – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

245 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Western Asset Legg Mason Western Asset Legg Mason Western Western Asset Legg Mason Western Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Strategic Income Global Multi Western Asset Emerging Markets Asset Global High US Short-Term Asset US Adjustable Inflation Opportunities Global Blue Chip Fund Fund Bond Fund Bond Fund Fund Strategy Fund US High Yield Fund Bond Fund Yield Fund Government Fund Rate Fund Management Fund Fund Bond Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Total Net Asset Value: (in 000’s) Class A US$ Accumulating $ 12,504 $ 1,560 $ 3,918 – $ 1,206 $ 66,988 $ 2,524 $ 70,249 $ 232,804 $ 11,245 $ 15,670 $ 961 $ 71,547 $ 5,792 Class A US$ Distributing (A) – – – – – – – – – – – 2,022 – – Class A US$ Distributing (D) 4,239,386 7,802 3,693 E 1,500 12,282 110,424 41,023 11,854 15,692 3,414 – – 51,634 – Class A US$ Distributing (M) – – – – 89 42,484 155 3,374 35,492 – – – 10,627 4,983 Class A US$ Distributing (S) – – – – – – – – – – – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – 4,963 – – – – – Class A Euro Accumulating – – – – – – – – – – – – 39,329 – Class A Euro Accumulating (Hedged) – – – – 2,288 71,861 – 7,469 – – – – – 3,154 Class A Euro Distributing (A) – – – – – – – – – – – – – – Class A Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (D) – – – 3,382 – – – – – – – – – – Class A Euro Distributing (M) (Hedged) – – – – 11 7,950 – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A GBP Accumulating (Hedged) – – – – – – – – – – – – – 422 Class A GBP Distributing (A) – – – – – – – – – – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (D) – – – – – – – – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – 14,920 – – – – – – Class A GBP Distributing (M) – – – – – – – – – – – – 5,703 – Class A GBP Distributing (M) (Hedged) – – – – – 185,349 4,179 – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A (PF) US$ Accumulating – – – – – – – – – – – – – – Class A (PF) US$ Distributing (M) – – – – – – – – – – – – – – Class A SGD Accumulating – – – – – – – – – – – – – – Class A SGD Accumulating (Hedged) – – – – – – – – – – – – 3,846 – Class A SGD Distributing (Q) – – – – – – – – – – – – 6,549 – Class A SGD Distributing (Q) (Hedged) – – – – – 2,878 – 502 516 – – – 790 – Class B US$ Accumulating 13 86 404 – 77 839 913 455 179 270 – 204 1,789 – Class B US$ Distributing (A) – – – – – – – – – – – 106 – – Class B US$ Distributing (D) 519 1,196 343 961 5,216 18,695 5,880 1,453 2,208 527 67 – 1,962 – Class B US$ Distributing (M) – – – – – – – – – – – – – 325 Class B US$ Distributing (S) – – – – – – – – – – – – – – Class C US$ Accumulating 188 131 725 – 847 18,936 1,603 352 1,482 1,131 188 603 30,279 4,474 Class C US$ Distributing (A) – – – – – – – – – – – 3,900 – – Class C US$ Distributing (D) 1,138 3,974 4,806 1,561 7,001 159,079 11,163 9,572 10,360 7,198 98 – 36,569 – Class C US$ Distributing (M) – – – – – – – – – – – – – 7,990 Class C US$ Distributing (S) – – – – – – – – – – – – – – Class E US$ Accumulating – – – – – 5,983 1,135 – 4,097 – – – 7,805 2,230 Class E US$ Distributing (A) – – – – – – – – – – – – – – Class E US$ Distributing (D) – – – – – 1,159 1 1 286 – – – 971 232 Class E US$ Distributing (M) – – – – – – – – – – – – – – Class E Euro Accumulating – – – – – – – – – – – – – – Class F US$ Accumulating – – – – – 1,141 1 4,272 1 – – – 1,191 1 Class F US$ Distributing (A) – – – – – – – – – – – – – – Class F US$ Distributing (D) – – – – – 295 1 – 1 – – – 41 1 Class F US$ Distributing (M) – – – – – – – – – – – – – – Class F Euro Accumulating – – – – – 2 – – – – – – – – Class F Euro Distributing (Q) – – – 57 – – – – – – – – – – Class F (PF) US$ Accumulating – – – – – – – – – – – – – – Class F (PF) US$ Distributing (M) – – – – – – – – – – – – – – Premier Class US$ Accumulating – – 138,366 – – 8,370 39,391 26,193 114,141 – – – 68,624 4,592 Premier Class US$ Distributing (A) – – – – – – – – – – – – – – Premier Class US$ Distributing (D) – – – – – 2,632 48,944 – – – – – 9,544 – Premier Class US$ Distributing (M) – – – – – 7,878 – – – – – – – 17,228 Premier Class AUD Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Accumulating – – – 75,460 – – – – – – – – 58,645 – Premier Class Euro Accumulating (Hedged) – – – – – 63,859 – 1,690 – – – – – 35,428 Premier Class Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) – – – – – – – – – – – – 1,010 – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – – – – – – 3,039 Premier Class Euro Distributing (Q) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Accumulating – – – – – – – – – – – – – – Premier Class GBP Accumulating (Hedged) – – – – – 266,517 – – – – – – – 7,109 Premier Class GBP Distributing (A) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) – – – – – – – – – – – – 24,128 – Premier Class GBP Distributing (M) (Hedged) – – – – – 71,404 – – – – – – – 128,641 Premier Class GBP Distributing (Q) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – 17,712 – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

246 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Western Asset Legg Mason Western Asset Legg Mason Western Western Asset Legg Mason Western Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Strategic Income Global Multi Western Asset Emerging Markets Asset Global High US Short-Term Asset US Adjustable Inflation Opportunities Global Blue Chip Fund Fund Bond Fund Bond Fund Fund Strategy Fund US High Yield Fund Bond Fund Yield Fund Government Fund Rate Fund Management Fund Fund Bond Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Total Net Asset Value: (in 000’s) Class A US$ Accumulating $ 12,504 $ 1,560 $ 3,918 – $ 1,206 $ 66,988 $ 2,524 $ 70,249 $ 232,804 $ 11,245 $ 15,670 $ 961 $ 71,547 $ 5,792 Class A US$ Distributing (A) – – – – – – – – – – – 2,022 – – Class A US$ Distributing (D) 4,239,386 7,802 3,693 E 1,500 12,282 110,424 41,023 11,854 15,692 3,414 – – 51,634 – Class A US$ Distributing (M) – – – – 89 42,484 155 3,374 35,492 – – – 10,627 4,983 Class A US$ Distributing (S) – – – – – – – – – – – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – 4,963 – – – – – Class A Euro Accumulating – – – – – – – – – – – – 39,329 – Class A Euro Accumulating (Hedged) – – – – 2,288 71,861 – 7,469 – – – – – 3,154 Class A Euro Distributing (A) – – – – – – – – – – – – – – Class A Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (D) – – – 3,382 – – – – – – – – – – Class A Euro Distributing (M) (Hedged) – – – – 11 7,950 – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A GBP Accumulating (Hedged) – – – – – – – – – – – – – 422 Class A GBP Distributing (A) – – – – – – – – – – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (D) – – – – – – – – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – 14,920 – – – – – – Class A GBP Distributing (M) – – – – – – – – – – – – 5,703 – Class A GBP Distributing (M) (Hedged) – – – – – 185,349 4,179 – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A (PF) US$ Accumulating – – – – – – – – – – – – – – Class A (PF) US$ Distributing (M) – – – – – – – – – – – – – – Class A SGD Accumulating – – – – – – – – – – – – – – Class A SGD Accumulating (Hedged) – – – – – – – – – – – – 3,846 – Class A SGD Distributing (Q) – – – – – – – – – – – – 6,549 – Class A SGD Distributing (Q) (Hedged) – – – – – 2,878 – 502 516 – – – 790 – Class B US$ Accumulating 13 86 404 – 77 839 913 455 179 270 – 204 1,789 – Class B US$ Distributing (A) – – – – – – – – – – – 106 – – Class B US$ Distributing (D) 519 1,196 343 961 5,216 18,695 5,880 1,453 2,208 527 67 – 1,962 – Class B US$ Distributing (M) – – – – – – – – – – – – – 325 Class B US$ Distributing (S) – – – – – – – – – – – – – – Class C US$ Accumulating 188 131 725 – 847 18,936 1,603 352 1,482 1,131 188 603 30,279 4,474 Class C US$ Distributing (A) – – – – – – – – – – – 3,900 – – Class C US$ Distributing (D) 1,138 3,974 4,806 1,561 7,001 159,079 11,163 9,572 10,360 7,198 98 – 36,569 – Class C US$ Distributing (M) – – – – – – – – – – – – – 7,990 Class C US$ Distributing (S) – – – – – – – – – – – – – – Class E US$ Accumulating – – – – – 5,983 1,135 – 4,097 – – – 7,805 2,230 Class E US$ Distributing (A) – – – – – – – – – – – – – – Class E US$ Distributing (D) – – – – – 1,159 1 1 286 – – – 971 232 Class E US$ Distributing (M) – – – – – – – – – – – – – – Class E Euro Accumulating – – – – – – – – – – – – – – Class F US$ Accumulating – – – – – 1,141 1 4,272 1 – – – 1,191 1 Class F US$ Distributing (A) – – – – – – – – – – – – – – Class F US$ Distributing (D) – – – – – 295 1 – 1 – – – 41 1 Class F US$ Distributing (M) – – – – – – – – – – – – – – Class F Euro Accumulating – – – – – 2 – – – – – – – – Class F Euro Distributing (Q) – – – 57 – – – – – – – – – – Class F (PF) US$ Accumulating – – – – – – – – – – – – – – Class F (PF) US$ Distributing (M) – – – – – – – – – – – – – – Premier Class US$ Accumulating – – 138,366 – – 8,370 39,391 26,193 114,141 – – – 68,624 4,592 Premier Class US$ Distributing (A) – – – – – – – – – – – – – – Premier Class US$ Distributing (D) – – – – – 2,632 48,944 – – – – – 9,544 – Premier Class US$ Distributing (M) – – – – – 7,878 – – – – – – – 17,228 Premier Class AUD Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Accumulating – – – 75,460 – – – – – – – – 58,645 – Premier Class Euro Accumulating (Hedged) – – – – – 63,859 – 1,690 – – – – – 35,428 Premier Class Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) – – – – – – – – – – – – 1,010 – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – – – – – – 3,039 Premier Class Euro Distributing (Q) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Accumulating – – – – – – – – – – – – – – Premier Class GBP Accumulating (Hedged) – – – – – 266,517 – – – – – – – 7,109 Premier Class GBP Distributing (A) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) – – – – – – – – – – – – 24,128 – Premier Class GBP Distributing (M) (Hedged) – – – – – 71,404 – – – – – – – 128,641 Premier Class GBP Distributing (Q) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – 17,712 – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

247 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Western Asset Legg Mason Western Asset Legg Mason Western Western Asset Legg Mason Western Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Strategic Income Global Multi Western Asset Emerging Markets Asset Global High US Short-Term Asset US Adjustable Inflation Opportunities Global Blue Chip Fund Fund Bond Fund Bond Fund Fund Strategy Fund US High Yield Fund Bond Fund Yield Fund Government Fund Rate Fund Management Fund Fund Bond Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Total Net Asset Value: (in 000’s) Premier Class JPY Accumulating – – – – – 35,522 – – – – – – – – Premier Class JPY Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – 75,875 – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class US$ Accumulating – – – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) – – – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class US$ Accumulating – – – – – 8,451 219,406 1,988 – – – – 106,871 – LM Class US$ Distributing (M) – – 27,730 – – – 165,067 – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – – – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – 64,853 – – – – – – – – LM Class Euro Accumulating – – – – – – – – – – – – – – LM Class Euro Accumulating (Hedged) – – – – – 2,163 – – – – – – – – LM Class Euro Distributing (Q) – – – – – – – – – – – – – – LM Class GBP Accumulating – – – – – – – – – – – – – – LM Class GBP Accumulating (Hedged) – – 1,041 – – 419,221 1,214 – – – – – – – LM Class GBP Distributing (M) – – – – – – – – – – – – – – LM Class JPY Accumulating – – – – – – – – – – – – – – LM Class JPY Accumulating (Hedged) – – – – – 4,890 – – – – – – – – Class A (G) US$ Accumulating 1,501 – 2,372 – 1,375 – 3,695 5,504 26,297 2,534 2,716 689 – – Class A (G) US$ Distributing (A) – – – – – – – – – – – 109 – – Class A (G) US$ Distributing (D) 1,995 – 3,347 – 10,594 – 7,953 4,639 11,794 13,303 2,056 – – – Class B (G) US$ Accumulating 700 – 1,410 – 2,678 – 1,093 2,814 4,022 843 1,177 680 – – Class B (G) US$ Distributing (A) – – – – – – – – – – – 384 – – Class B (G) US$ Distributing (D) 942 – 2,081 – 4,050 – 2,987 2,742 6,845 3,549 3,743 – – – Class L (G) US$ Accumulating – – 1,254 – 829 – 215 2,088 1,163 287 586 177 – – Class L (G) US$ Distributing (A) – – – – – – – – – – – 418 – – Class L (G) US$ Distributing (D) 2,199 – 3,458 – 2,196 – 9,061 7,897 6,617 3,137 4,221 – – – Class GA US$ Accumulating – 6,549 – – – – – – – – – – – – Class GA Euro Accumulating – – – 6,166 – – – – – – – – – – Class GA Euro Distributing (A) – – – 955 – – – – – – – – – – Class GE US$ Accumulating – 788 – – – – – – – – – – – – Class GE US$ Distributing (A) – – – – – – – – – – – – – – Class GE Euro Accumulating – – – 1,645 – – – – – – – – – – Class GF US$ Accumulating – – – – – – 5,038 – – – – – – – Class GF Euro Accumulating – – – 491 – – – – – – – – – – Class GP US$ Accumulating – – – – – – – – – – – – – – Galleon Class – – – – – – – – – – – – – –

Amounts designated as "-" are either $0/E0/¥0/£0 or less than $1,000/E1,000/¥1,000/£1,000. NAV per share information represents Redeemable Participating Shares 6 Effective January 20, 2010, the Fund ceased trading. G Effective March 25, 2010, the Fund commenced trading. I Effective May 20, 2010, the Fund commenced trading. V Effective June 25, 2010, the Fund commenced trading. ‡ Effective August 2, 2010, the Fund commenced trading. ? Effective August 24, 2010, the Fund ceased trading. o¨ Effective October 1, 2010, the Fund commenced trading. ± Effective November 19, 2010, the Fund commenced trading. Y´ Effective November 30, 2010, the Fund ceased trading. µ Effective December 3, 2010, the Fund commenced trading. =/ Effective December 29, 2010, the Fund commenced trading. Þ Effective February 28, 2011, the Fund ceased trading.

The accompanying notes are an integral part of the Financial Statements

248 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Western Asset Legg Mason Western Asset Legg Mason Western Western Asset Legg Mason Western Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Strategic Income Global Multi Western Asset Emerging Markets Asset Global High US Short-Term Asset US Adjustable Inflation Opportunities Global Blue Chip Fund Fund Bond Fund Bond Fund Fund Strategy Fund US High Yield Fund Bond Fund Yield Fund Government Fund Rate Fund Management Fund Fund Bond Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Total Net Asset Value: (in 000’s) Premier Class JPY Accumulating – – – – – 35,522 – – – – – – – – Premier Class JPY Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – 75,875 – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class US$ Accumulating – – – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) – – – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class US$ Accumulating – – – – – 8,451 219,406 1,988 – – – – 106,871 – LM Class US$ Distributing (M) – – 27,730 – – – 165,067 – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – – – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – 64,853 – – – – – – – – LM Class Euro Accumulating – – – – – – – – – – – – – – LM Class Euro Accumulating (Hedged) – – – – – 2,163 – – – – – – – – LM Class Euro Distributing (Q) – – – – – – – – – – – – – – LM Class GBP Accumulating – – – – – – – – – – – – – – LM Class GBP Accumulating (Hedged) – – 1,041 – – 419,221 1,214 – – – – – – – LM Class GBP Distributing (M) – – – – – – – – – – – – – – LM Class JPY Accumulating – – – – – – – – – – – – – – LM Class JPY Accumulating (Hedged) – – – – – 4,890 – – – – – – – – Class A (G) US$ Accumulating 1,501 – 2,372 – 1,375 – 3,695 5,504 26,297 2,534 2,716 689 – – Class A (G) US$ Distributing (A) – – – – – – – – – – – 109 – – Class A (G) US$ Distributing (D) 1,995 – 3,347 – 10,594 – 7,953 4,639 11,794 13,303 2,056 – – – Class B (G) US$ Accumulating 700 – 1,410 – 2,678 – 1,093 2,814 4,022 843 1,177 680 – – Class B (G) US$ Distributing (A) – – – – – – – – – – – 384 – – Class B (G) US$ Distributing (D) 942 – 2,081 – 4,050 – 2,987 2,742 6,845 3,549 3,743 – – – Class L (G) US$ Accumulating – – 1,254 – 829 – 215 2,088 1,163 287 586 177 – – Class L (G) US$ Distributing (A) – – – – – – – – – – – 418 – – Class L (G) US$ Distributing (D) 2,199 – 3,458 – 2,196 – 9,061 7,897 6,617 3,137 4,221 – – – Class GA US$ Accumulating – 6,549 – – – – – – – – – – – – Class GA Euro Accumulating – – – 6,166 – – – – – – – – – – Class GA Euro Distributing (A) – – – 955 – – – – – – – – – – Class GE US$ Accumulating – 788 – – – – – – – – – – – – Class GE US$ Distributing (A) – – – – – – – – – – – – – – Class GE Euro Accumulating – – – 1,645 – – – – – – – – – – Class GF US$ Accumulating – – – – – – 5,038 – – – – – – – Class GF Euro Accumulating – – – 491 – – – – – – – – – – Class GP US$ Accumulating – – – – – – – – – – – – – – Galleon Class – – – – – – – – – – – – – –

Amounts designated as "-" are either $0/E0/¥0/£0 or less than $1,000/E1,000/¥1,000/£1,000. NAV per share information represents Redeemable Participating Shares 6 Effective January 20, 2010, the Fund ceased trading. G Effective March 25, 2010, the Fund commenced trading. I Effective May 20, 2010, the Fund commenced trading. V Effective June 25, 2010, the Fund commenced trading. ‡ Effective August 2, 2010, the Fund commenced trading. ? Effective August 24, 2010, the Fund ceased trading. o¨ Effective October 1, 2010, the Fund commenced trading. ± Effective November 19, 2010, the Fund commenced trading. Y´ Effective November 30, 2010, the Fund ceased trading. µ Effective December 3, 2010, the Fund commenced trading. =/ Effective December 29, 2010, the Fund commenced trading. Þ Effective February 28, 2011, the Fund ceased trading.

The accompanying notes are an integral part of the Financial Statements

249 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Global Credit Legg Mason Western Legg Mason Western Western Asset UK£ Inflation- Western Asset UK£ Western Asset Legg Mason Western Legg Mason Brandywine Global Western Asset Capital Capital Brazil Bond Absolute Return Asset UK£ Core Plus Asset Global Core Global Inflation- Linked Plus Long Duration Global Credit Asset Euro High Brandywine Global Opportunistic Fixed Brazil Equity Management Management Fund^GG Fund^I Bond Fund^± Plus Bond Fund^µ Linked Fund± Fund^± Fund^± Fund± Yield Fund^µ Fixed Income Fund Income Fund^V Fund^o¨ Value Fund Growth Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Total Net Asset Value: (in 000’s) Class A US$ Accumulating – $ 1 – – – – – – – $ 24,423 – – $ 49,839 $ 2,034 Class A US$ Distributing (A) – – – – – – – – – – – $ 1 327,561 7,635 Class A US$ Distributing (D) – – – $ 1 $ 1 – – $ 1 – – – – – – Class A US$ Distributing (M) – 1 – – – – – – – 5 $ 4,891 – – – Class A US$ Distributing (S) – – – – – – – – – 236,173 – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Accumulating – – – – – – – – – – – – 2,580 549 Class A Euro Accumulating (Hedged) – – – – – – – – – 12,574 – – – – Class A Euro Distributing (A) – – – – – – – – – – – – – – Class A Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (D) – – – – – – – – E 1 – – – – – Class A Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – – 40,565 – – – – Class A GBP Accumulating (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (A) – – – – – – – – – – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (D) – – £ 1 – – £ 1 £ 1 – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (M) – – – – – – – – – – – – – – Class A GBP Distributing (M) (Hedged) – 17,163 – – – – – – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – – 50,500 – – – – Class A (PF) US$ Accumulating – 2,126 – – – – – – – – – – – – Class A (PF) US$ Distributing (M) – 173 – – – – – – – – – – – – Class A SGD Accumulating – – – – – – – – – – – – 13,092 – Class A SGD Accumulating (Hedged) – – – – – – – – – – – – – – Class A SGD Distributing (Q) – – – – – – – – – – – – – – Class A SGD Distributing (Q) (Hedged) – – – – – – – – – – – – – – Class B US$ Accumulating – 1 – – – – – – – 1,072 – – 165 5 Class B US$ Distributing (A) – – – – – – – – – – – – 3,014 813 Class B US$ Distributing (D) – – – – – – – – – – – – – – Class B US$ Distributing (M) – 1 – – – – – – – – – – – – Class B US$ Distributing (S) – – – – – – – – – 3,958 – – – – Class C US$ Accumulating – 1 – – – – – – – 381 – – 601 72 Class C US$ Distributing (A) – – – – – – – – – – – – 11,587 2,034 Class C US$ Distributing (D) – – – – – – – – – – – – – – Class C US$ Distributing (M) – 1 – – – – – – – – – – – – Class C US$ Distributing (S) – – – – – – – – – 11,112 – – – – Class E US$ Accumulating – 1 – – – – – – – – – – – – Class E US$ Distributing (A) – – – – – – – – – – – – – – Class E US$ Distributing (D) – – – – – – – – – – – – – – Class E US$ Distributing (M) – 1 – – – – – – – – – – – – Class E Euro Accumulating – – – – – – – – – – – – – – Class F US$ Accumulating – 1 – – – – – – – – – – 1 – Class F US$ Distributing (A) – – – – – – – – – – – – 1 – Class F US$ Distributing (D) – – – – – – – – – – – – – – Class F US$ Distributing (M) – 1 – – – – – – – – – – – – Class F Euro Accumulating – – – – – – – – – – – – – – Class F Euro Distributing (Q) – – – – – – – – – – – – – – Class F (PF) US$ Accumulating – 1 – – – – – – – – – – – – Class F (PF) US$ Distributing (M) – 1 – – – – – – – – – – – – Premier Class US$ Accumulating $ 5,233 – – 1,098 40,046 – – – – – – – 107,132 45,139 Premier Class US$ Distributing (A) – – – – – – – – – – – – – – Premier Class US$ Distributing (D) – – – – – – – – – – – – – – Premier Class US$ Distributing (M) – – – – – – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Accumulating – – – – – – – – – 14,032 – – – – Premier Class Euro Accumulating (Hedged) – 1,665 – – – – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) – – – 41,642 – – – – – – – – – – Premier Class GBP Accumulating – – 4,952 – – 5,174 – – – – – – – – Premier Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) – – – – – 5 – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

250 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Global Credit Legg Mason Western Legg Mason Western Western Asset UK£ Inflation- Western Asset UK£ Western Asset Legg Mason Western Legg Mason Brandywine Global Western Asset Capital Capital Brazil Bond Absolute Return Asset UK£ Core Plus Asset Global Core Global Inflation- Linked Plus Long Duration Global Credit Asset Euro High Brandywine Global Opportunistic Fixed Brazil Equity Management Management Fund^GG Fund^I Bond Fund^± Plus Bond Fund^µ Linked Fund± Fund^± Fund^± Fund± Yield Fund^µ Fixed Income Fund Income Fund^V Fund^o¨ Value Fund Growth Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Total Net Asset Value: (in 000’s) Class A US$ Accumulating – $ 1 – – – – – – – $ 24,423 – – $ 49,839 $ 2,034 Class A US$ Distributing (A) – – – – – – – – – – – $ 1 327,561 7,635 Class A US$ Distributing (D) – – – $ 1 $ 1 – – $ 1 – – – – – – Class A US$ Distributing (M) – 1 – – – – – – – 5 $ 4,891 – – – Class A US$ Distributing (S) – – – – – – – – – 236,173 – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Accumulating – – – – – – – – – – – – 2,580 549 Class A Euro Accumulating (Hedged) – – – – – – – – – 12,574 – – – – Class A Euro Distributing (A) – – – – – – – – – – – – – – Class A Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (D) – – – – – – – – E 1 – – – – – Class A Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – – 40,565 – – – – Class A GBP Accumulating (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (A) – – – – – – – – – – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (D) – – £ 1 – – £ 1 £ 1 – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (M) – – – – – – – – – – – – – – Class A GBP Distributing (M) (Hedged) – 17,163 – – – – – – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – – 50,500 – – – – Class A (PF) US$ Accumulating – 2,126 – – – – – – – – – – – – Class A (PF) US$ Distributing (M) – 173 – – – – – – – – – – – – Class A SGD Accumulating – – – – – – – – – – – – 13,092 – Class A SGD Accumulating (Hedged) – – – – – – – – – – – – – – Class A SGD Distributing (Q) – – – – – – – – – – – – – – Class A SGD Distributing (Q) (Hedged) – – – – – – – – – – – – – – Class B US$ Accumulating – 1 – – – – – – – 1,072 – – 165 5 Class B US$ Distributing (A) – – – – – – – – – – – – 3,014 813 Class B US$ Distributing (D) – – – – – – – – – – – – – – Class B US$ Distributing (M) – 1 – – – – – – – – – – – – Class B US$ Distributing (S) – – – – – – – – – 3,958 – – – – Class C US$ Accumulating – 1 – – – – – – – 381 – – 601 72 Class C US$ Distributing (A) – – – – – – – – – – – – 11,587 2,034 Class C US$ Distributing (D) – – – – – – – – – – – – – – Class C US$ Distributing (M) – 1 – – – – – – – – – – – – Class C US$ Distributing (S) – – – – – – – – – 11,112 – – – – Class E US$ Accumulating – 1 – – – – – – – – – – – – Class E US$ Distributing (A) – – – – – – – – – – – – – – Class E US$ Distributing (D) – – – – – – – – – – – – – – Class E US$ Distributing (M) – 1 – – – – – – – – – – – – Class E Euro Accumulating – – – – – – – – – – – – – – Class F US$ Accumulating – 1 – – – – – – – – – – 1 – Class F US$ Distributing (A) – – – – – – – – – – – – 1 – Class F US$ Distributing (D) – – – – – – – – – – – – – – Class F US$ Distributing (M) – 1 – – – – – – – – – – – – Class F Euro Accumulating – – – – – – – – – – – – – – Class F Euro Distributing (Q) – – – – – – – – – – – – – – Class F (PF) US$ Accumulating – 1 – – – – – – – – – – – – Class F (PF) US$ Distributing (M) – 1 – – – – – – – – – – – – Premier Class US$ Accumulating $ 5,233 – – 1,098 40,046 – – – – – – – 107,132 45,139 Premier Class US$ Distributing (A) – – – – – – – – – – – – – – Premier Class US$ Distributing (D) – – – – – – – – – – – – – – Premier Class US$ Distributing (M) – – – – – – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Accumulating – – – – – – – – – 14,032 – – – – Premier Class Euro Accumulating (Hedged) – 1,665 – – – – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) – – – 41,642 – – – – – – – – – – Premier Class GBP Accumulating – – 4,952 – – 5,174 – – – – – – – – Premier Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) – – – – – 5 – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

251 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Global Credit Legg Mason Western Legg Mason Western Western Asset UK£ Inflation- Western Asset UK£ Western Asset Legg Mason Western Legg Mason Brandywine Global Western Asset Capital Capital Brazil Bond Absolute Return Asset UK£ Core Plus Asset Global Core Global Inflation- Linked Plus Long Duration Global Credit Asset Euro High Brandywine Global Opportunistic Fixed Brazil Equity Management Management Fund^GG Fund^I Bond Fund^± Plus Bond Fund^µ Linked Fund± Fund^± Fund^± Fund± Yield Fund^µ Fixed Income Fund Income Fund^V Fund^o¨ Value Fund Growth Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Total Net Asset Value: (in 000’s) Premier Class JPY Accumulating – – – – – – – – – – – – – – Premier Class JPY Accumulating (Hedged) – – – – 20,980 – – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – 28,857 – – – – – – – – – Premier (PF) Class US$ Accumulating – 20,496 – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) – 17,124 – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – 22,495 – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – 70,014 – – – – – – – – – – – – LM Class US$ Accumulating 5,770 – – 25,385 – – – 100,709 – 25,797 – 4,845 14,998 – LM Class US$ Distributing (M) – – – – – – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – 23,607 – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class Euro Accumulating – – – – – – – – 16,505 – – – 1,384 – LM Class Euro Accumulating (Hedged) – – – 6,315 – – – – – 6,127 – – – – LM Class Euro Distributing (Q) – – – – – – – – 33,691 – – – – – LM Class GBP Accumulating – – 75,840 – – 13,378 63,464 – – – – – – – LM Class GBP Accumulating (Hedged) – – – – 1,066 – – – – – – – – – LM Class GBP Distributing (M) – – – – – 13,645 13,290 – – – – – – – LM Class JPY Accumulating – – – – – – – – – – – – 5,826 – LM Class JPY Accumulating (Hedged) – – – 16,766 – – – – – 16,307 – – – – Class A (G) US$ Accumulating – – – – – – – – – – – – – – Class A (G) US$ Distributing (A) – – – – – – – – – – – – – – Class A (G) US$ Distributing (D) – – – – – – – – – – – – – – Class B (G) US$ Accumulating – – – – – – – – – – – – – – Class B (G) US$ Distributing (A) – – – – – – – – – – – – – – Class B (G) US$ Distributing (D) – – – – – – – – – – – – – – Class L (G) US$ Accumulating – – – – – – – – – – – – – – Class L (G) US$ Distributing (A) – – – – – – – – – – – – – – Class L (G) US$ Distributing (D) – – – – – – – – – – – – – – Class GA US$ Accumulating – – – – – – – – – – – – – – Class GA Euro Accumulating – – – – – – – – – – – – – – Class GA Euro Distributing (A) – – – – – – – – – – – – – – Class GE US$ Accumulating – – – – – – – – – – – – – – Class GE US$ Distributing (A) – – – – – – – – – – – – – – Class GE Euro Accumulating – – – – – – – – – – – – – – Class GF US$ Accumulating – – – – – – – – – – – – – – Class GF Euro Accumulating – – – – – – – – – – – – – – Class GP US$ Accumulating – – – – – – – – – – – – – – Galleon Class – – – – – – – – – – – – 15 –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

252 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Global Credit Legg Mason Western Legg Mason Western Western Asset UK£ Inflation- Western Asset UK£ Western Asset Legg Mason Western Legg Mason Brandywine Global Western Asset Capital Capital Brazil Bond Absolute Return Asset UK£ Core Plus Asset Global Core Global Inflation- Linked Plus Long Duration Global Credit Asset Euro High Brandywine Global Opportunistic Fixed Brazil Equity Management Management Fund^GG Fund^I Bond Fund^± Plus Bond Fund^µ Linked Fund± Fund^± Fund^± Fund± Yield Fund^µ Fixed Income Fund Income Fund^V Fund^o¨ Value Fund Growth Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Total Net Asset Value: (in 000’s) Premier Class JPY Accumulating – – – – – – – – – – – – – – Premier Class JPY Accumulating (Hedged) – – – – 20,980 – – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – 28,857 – – – – – – – – – Premier (PF) Class US$ Accumulating – 20,496 – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) – 17,124 – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – 22,495 – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – 70,014 – – – – – – – – – – – – LM Class US$ Accumulating 5,770 – – 25,385 – – – 100,709 – 25,797 – 4,845 14,998 – LM Class US$ Distributing (M) – – – – – – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – 23,607 – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class Euro Accumulating – – – – – – – – 16,505 – – – 1,384 – LM Class Euro Accumulating (Hedged) – – – 6,315 – – – – – 6,127 – – – – LM Class Euro Distributing (Q) – – – – – – – – 33,691 – – – – – LM Class GBP Accumulating – – 75,840 – – 13,378 63,464 – – – – – – – LM Class GBP Accumulating (Hedged) – – – – 1,066 – – – – – – – – – LM Class GBP Distributing (M) – – – – – 13,645 13,290 – – – – – – – LM Class JPY Accumulating – – – – – – – – – – – – 5,826 – LM Class JPY Accumulating (Hedged) – – – 16,766 – – – – – 16,307 – – – – Class A (G) US$ Accumulating – – – – – – – – – – – – – – Class A (G) US$ Distributing (A) – – – – – – – – – – – – – – Class A (G) US$ Distributing (D) – – – – – – – – – – – – – – Class B (G) US$ Accumulating – – – – – – – – – – – – – – Class B (G) US$ Distributing (A) – – – – – – – – – – – – – – Class B (G) US$ Distributing (D) – – – – – – – – – – – – – – Class L (G) US$ Accumulating – – – – – – – – – – – – – – Class L (G) US$ Distributing (A) – – – – – – – – – – – – – – Class L (G) US$ Distributing (D) – – – – – – – – – – – – – – Class GA US$ Accumulating – – – – – – – – – – – – – – Class GA Euro Accumulating – – – – – – – – – – – – – – Class GA Euro Distributing (A) – – – – – – – – – – – – – – Class GE US$ Accumulating – – – – – – – – – – – – – – Class GE US$ Distributing (A) – – – – – – – – – – – – – – Class GE Euro Accumulating – – – – – – – – – – – – – – Class GF US$ Accumulating – – – – – – – – – – – – – – Class GF Euro Accumulating – – – – – – – – – – – – – – Class GP US$ Accumulating – – – – – – – – – – – – – – Galleon Class – – – – – – – – – – – – 15 –

The accompanying notes are an integral part of the Financial Statements

253 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Capital ClearBridge ClearBridge Legg Mason ClearBridge Royce US Small Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Permal Legg Mason Batterymarch Legg Mason Management US Appreciation US Fundamental ClearBridge US Large US Aggressive Cap Opportunity Smaller Companies European Smaller Global Smaller Legg Mason PCM Global Absolute GC Global Equity European Equity Batterymarch Asia Opportunity Fund Fund Value Fund Cap Growth Fund Growth Fund Fund Fund Companies Fund^ Companies Fund US Equity Fund Fund Fund Fund Pacific Equity Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Total Net Asset Value: (in 000’s) Class A US$ Accumulating $ 10,009 $ 43,170 $ 23,508 $ 11,842 $ 39,213 $ 144,601 $ 162,755 – $ 5,196 – $ 15,985 $ 67 E 745 $ 28,705 Class A US$ Distributing (A) 9,520 46,915 858 1,008 12,026 115,632 143,090 – 1 – 11,597 1,225 2,240 65,808 Class A US$ Distributing (D) – – – – – – – – – – – – – – Class A US$ Distributing (M) – – – – – – – – – – – – – – Class A US$ Distributing (S) – – – – – – – – – – – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Accumulating – 9,331 – 199 664 34,309 12,421 – – – – – 40 2,680 Class A Euro Accumulating (Hedged) – – – – – – – – – – 7,932 – – – Class A Euro Distributing (A) – – – – – – 2 E 91 – – – – 30 – Class A Euro Distributing (A) (Hedged) – – – – – – – – – – 35 – – – Class A Euro Distributing (D) – – – – – – – – – – – – – – Class A Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A GBP Accumulating (Hedged) – – – – – – – – – – 34 – – – Class A GBP Distributing (A) – – – – – – 224 – – – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – – – 322 – – – Class A GBP Distributing (D) – – – – – – – – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (M) – – – – – – – – – – – – – – Class A GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A (PF) US$ Accumulating – – – – – – – – – – – – – – Class A (PF) US$ Distributing (M) – – – – – – – – – – – – – – Class A SGD Accumulating – – – – – 99 – – – – – – – – Class A SGD Accumulating (Hedged) – – – – – – – – – – 4,845 – – – Class A SGD Distributing (Q) – – – – – – – – – – – – – – Class A SGD Distributing (Q) (Hedged) – – – – – – – – – – – – – – Class B US$ Accumulating – 836 371 693 886 1,156 1,730 – 1 – 1 11 50 537 Class B US$ Distributing (A) – 1,227 1,174 713 1,654 2,317 3,614 – – – 93 105 1,028 4,936 Class B US$ Distributing (D) – – – – – – – – – – – – – – Class B US$ Distributing (M) – – – – – – – – – – – – – – Class B US$ Distributing (S) – – – – – – – – – – – – – – Class C US$ Accumulating – 4,999 623 548 2,861 1,703 4,581 – 1 – 15,567 1 2,523 453 Class C US$ Distributing (A) – 3,177 1,491 1,966 9,285 19,239 12,365 – – – 7,073 77 2,067 18,615 Class C US$ Distributing (D) – – – – – – – – – – – – – – Class C US$ Distributing (M) – – – – – – – – – – – – – – Class C US$ Distributing (S) – – – – – – – – – – – – – – Class E US$ Accumulating – 2,894 – – 1,614 217 5,324 – 135 – 487 – – 319 Class E US$ Distributing (A) – 173 – – 25 41 138 – – – 31 – – 1 Class E US$ Distributing (D) – – – – – – – – – – – – – – Class E US$ Distributing (M) – – – – – – – – – – – – – – Class E Euro Accumulating – – – – – 1,336 – – – – – – – 61 Class F US$ Accumulating – 412 – – 1 1 2,635 – – – 551 – – 1 Class F US$ Distributing (A) – 1 – – 1 1 1 – – – 53 – – 1 Class F US$ Distributing (D) – – – – – – – – – – – – – – Class F US$ Distributing (M) – – – – – – – – – – – – – – Class F Euro Accumulating – – – – – – – – – – – – – – Class F Euro Distributing (Q) – – – – – – – – – – – – – – Class F (PF) US$ Accumulating – – – – – – – – – – – – – – Class F (PF) US$ Distributing (M) – – – – – – – – – – – – – – Premier Class US$ Accumulating 12,950 37,158 – – 28,845 1,107 32,690 – – – 522 – – – Premier Class US$ Distributing (A) – 2,080 – – – – 493 – – – 42 – – – Premier Class US$ Distributing (D) – – – – – – – – – – – – – – Premier Class US$ Distributing (M) – – – – – – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) – – – – – – – – – – 6,701 – – – Premier Class Euro Accumulating – 5,952 – – 4,102 21,277 – – – – – – – – Premier Class Euro Accumulating (Hedged) – – – – – – – – – – 1,600 – – – Premier Class Euro Distributing (A) (Hedged) – – – – – – – – – – 7,074 – – – Premier Class Euro Distributing (M) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Accumulating – – – – – – – – – – – – – – Premier Class GBP Accumulating (Hedged) – – – – – – – – – – 3,869 – – – Premier Class GBP Distributing (A) 83,379 – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – – – 13,631 – – – Premier Class GBP Distributing (M) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

254 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Capital ClearBridge ClearBridge Legg Mason ClearBridge Royce US Small Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Permal Legg Mason Batterymarch Legg Mason Management US Appreciation US Fundamental ClearBridge US Large US Aggressive Cap Opportunity Smaller Companies European Smaller Global Smaller Legg Mason PCM Global Absolute GC Global Equity European Equity Batterymarch Asia Opportunity Fund Fund Value Fund Cap Growth Fund Growth Fund Fund Fund Companies Fund^ Companies Fund US Equity Fund Fund Fund Fund Pacific Equity Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Total Net Asset Value: (in 000’s) Class A US$ Accumulating $ 10,009 $ 43,170 $ 23,508 $ 11,842 $ 39,213 $ 144,601 $ 162,755 – $ 5,196 – $ 15,985 $ 67 E 745 $ 28,705 Class A US$ Distributing (A) 9,520 46,915 858 1,008 12,026 115,632 143,090 – 1 – 11,597 1,225 2,240 65,808 Class A US$ Distributing (D) – – – – – – – – – – – – – – Class A US$ Distributing (M) – – – – – – – – – – – – – – Class A US$ Distributing (S) – – – – – – – – – – – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Accumulating – 9,331 – 199 664 34,309 12,421 – – – – – 40 2,680 Class A Euro Accumulating (Hedged) – – – – – – – – – – 7,932 – – – Class A Euro Distributing (A) – – – – – – 2 E 91 – – – – 30 – Class A Euro Distributing (A) (Hedged) – – – – – – – – – – 35 – – – Class A Euro Distributing (D) – – – – – – – – – – – – – – Class A Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A GBP Accumulating (Hedged) – – – – – – – – – – 34 – – – Class A GBP Distributing (A) – – – – – – 224 – – – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – – – 322 – – – Class A GBP Distributing (D) – – – – – – – – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (M) – – – – – – – – – – – – – – Class A GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A (PF) US$ Accumulating – – – – – – – – – – – – – – Class A (PF) US$ Distributing (M) – – – – – – – – – – – – – – Class A SGD Accumulating – – – – – 99 – – – – – – – – Class A SGD Accumulating (Hedged) – – – – – – – – – – 4,845 – – – Class A SGD Distributing (Q) – – – – – – – – – – – – – – Class A SGD Distributing (Q) (Hedged) – – – – – – – – – – – – – – Class B US$ Accumulating – 836 371 693 886 1,156 1,730 – 1 – 1 11 50 537 Class B US$ Distributing (A) – 1,227 1,174 713 1,654 2,317 3,614 – – – 93 105 1,028 4,936 Class B US$ Distributing (D) – – – – – – – – – – – – – – Class B US$ Distributing (M) – – – – – – – – – – – – – – Class B US$ Distributing (S) – – – – – – – – – – – – – – Class C US$ Accumulating – 4,999 623 548 2,861 1,703 4,581 – 1 – 15,567 1 2,523 453 Class C US$ Distributing (A) – 3,177 1,491 1,966 9,285 19,239 12,365 – – – 7,073 77 2,067 18,615 Class C US$ Distributing (D) – – – – – – – – – – – – – – Class C US$ Distributing (M) – – – – – – – – – – – – – – Class C US$ Distributing (S) – – – – – – – – – – – – – – Class E US$ Accumulating – 2,894 – – 1,614 217 5,324 – 135 – 487 – – 319 Class E US$ Distributing (A) – 173 – – 25 41 138 – – – 31 – – 1 Class E US$ Distributing (D) – – – – – – – – – – – – – – Class E US$ Distributing (M) – – – – – – – – – – – – – – Class E Euro Accumulating – – – – – 1,336 – – – – – – – 61 Class F US$ Accumulating – 412 – – 1 1 2,635 – – – 551 – – 1 Class F US$ Distributing (A) – 1 – – 1 1 1 – – – 53 – – 1 Class F US$ Distributing (D) – – – – – – – – – – – – – – Class F US$ Distributing (M) – – – – – – – – – – – – – – Class F Euro Accumulating – – – – – – – – – – – – – – Class F Euro Distributing (Q) – – – – – – – – – – – – – – Class F (PF) US$ Accumulating – – – – – – – – – – – – – – Class F (PF) US$ Distributing (M) – – – – – – – – – – – – – – Premier Class US$ Accumulating 12,950 37,158 – – 28,845 1,107 32,690 – – – 522 – – – Premier Class US$ Distributing (A) – 2,080 – – – – 493 – – – 42 – – – Premier Class US$ Distributing (D) – – – – – – – – – – – – – – Premier Class US$ Distributing (M) – – – – – – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) – – – – – – – – – – 6,701 – – – Premier Class Euro Accumulating – 5,952 – – 4,102 21,277 – – – – – – – – Premier Class Euro Accumulating (Hedged) – – – – – – – – – – 1,600 – – – Premier Class Euro Distributing (A) (Hedged) – – – – – – – – – – 7,074 – – – Premier Class Euro Distributing (M) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Accumulating – – – – – – – – – – – – – – Premier Class GBP Accumulating (Hedged) – – – – – – – – – – 3,869 – – – Premier Class GBP Distributing (A) 83,379 – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – – – 13,631 – – – Premier Class GBP Distributing (M) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

255 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Capital ClearBridge ClearBridge Legg Mason ClearBridge Royce US Small Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Permal Legg Mason Batterymarch Legg Mason Management US Appreciation US Fundamental ClearBridge US Large US Aggressive Cap Opportunity Smaller Companies European Smaller Global Smaller Legg Mason PCM Global Absolute GC Global Equity European Equity Batterymarch Asia Opportunity Fund Fund Value Fund Cap Growth Fund Growth Fund Fund Fund Companies Fund^ Companies Fund US Equity Fund Fund Fund Fund Pacific Equity Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Total Net Asset Value: (in 000’s) Premier Class JPY Accumulating – – – – – – – – – – – – – – Premier Class JPY Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class US$ Accumulating – – – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) – – – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class US$ Accumulating 539 13,039 11,506 – – – 4,822 – 2,775 – 7,931 – 9,337 – LM Class US$ Distributing (M) – – – – – – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – – – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class Euro Accumulating – 2,870 – – – – 1,060 2,237 – – – – 2,055 – LM Class Euro Accumulating (Hedged) – – – – – – – – – – – – – – LM Class Euro Distributing (Q) – – – – – – – – – – – – – – LM Class GBP Accumulating – – – – – – – – – – – – – – LM Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – LM Class GBP Distributing (M) – – – – – – – – – – – – – – LM Class JPY Accumulating – 11,582 – – – – 4,325 – – – – – 8,307 – LM Class JPY Accumulating (Hedged) – – – – – – – – – – – – – – Class A (G) US$ Accumulating – 8,242 45,785 9,507 61,407 – 5,151 – – – – – 4,410 – Class A (G) US$ Distributing (A) – – – – – – – – – – – – – – Class A (G) US$ Distributing (D) – – – – – – – – – – – – – – Class B (G) US$ Accumulating – 1,978 14,315 3,950 9,904 – 1,157 – – – – – 1,187 – Class B (G) US$ Distributing (A) – – – – – – – – – – – – – – Class B (G) US$ Distributing (D) – – – – – – – – – – – – – – Class L (G) US$ Accumulating – 5,806 18,904 8,812 17,765 – 2,897 – – – – – 1,024 – Class L (G) US$ Distributing (A) – – – – – – – – – – – – – – Class L (G) US$ Distributing (D) – – – – – – – – – – – – – – Class GA US$ Accumulating – – 30,415 4,451 – – – – – – – – 5,524 26,874 Class GA Euro Accumulating – – 1,514 732 1,348 – – – – – – – 46,578 1,493 Class GA Euro Distributing (A) – – 80 22 287 – – – – – – – 103 311 Class GE US$ Accumulating – – 258 – 96 – – – – – – – 312 688 Class GE US$ Distributing (A) – – – 83 – – – – – – – – – – Class GE Euro Accumulating – – 726 167 260 – – – – – – – – 973 Class GF US$ Accumulating – – – – – – – – – – – – – – Class GF Euro Accumulating – – – – – – – – – – – – – – Class GP US$ Accumulating – – – – – – – – – – – – – 18 Galleon Class – – – – – – – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

256 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Capital ClearBridge ClearBridge Legg Mason ClearBridge Royce US Small Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Permal Legg Mason Batterymarch Legg Mason Management US Appreciation US Fundamental ClearBridge US Large US Aggressive Cap Opportunity Smaller Companies European Smaller Global Smaller Legg Mason PCM Global Absolute GC Global Equity European Equity Batterymarch Asia Opportunity Fund Fund Value Fund Cap Growth Fund Growth Fund Fund Fund Companies Fund^ Companies Fund US Equity Fund Fund Fund Fund Pacific Equity Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Total Net Asset Value: (in 000’s) Premier Class JPY Accumulating – – – – – – – – – – – – – – Premier Class JPY Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class US$ Accumulating – – – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) – – – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class US$ Accumulating 539 13,039 11,506 – – – 4,822 – 2,775 – 7,931 – 9,337 – LM Class US$ Distributing (M) – – – – – – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – – – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class Euro Accumulating – 2,870 – – – – 1,060 2,237 – – – – 2,055 – LM Class Euro Accumulating (Hedged) – – – – – – – – – – – – – – LM Class Euro Distributing (Q) – – – – – – – – – – – – – – LM Class GBP Accumulating – – – – – – – – – – – – – – LM Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – LM Class GBP Distributing (M) – – – – – – – – – – – – – – LM Class JPY Accumulating – 11,582 – – – – 4,325 – – – – – 8,307 – LM Class JPY Accumulating (Hedged) – – – – – – – – – – – – – – Class A (G) US$ Accumulating – 8,242 45,785 9,507 61,407 – 5,151 – – – – – 4,410 – Class A (G) US$ Distributing (A) – – – – – – – – – – – – – – Class A (G) US$ Distributing (D) – – – – – – – – – – – – – – Class B (G) US$ Accumulating – 1,978 14,315 3,950 9,904 – 1,157 – – – – – 1,187 – Class B (G) US$ Distributing (A) – – – – – – – – – – – – – – Class B (G) US$ Distributing (D) – – – – – – – – – – – – – – Class L (G) US$ Accumulating – 5,806 18,904 8,812 17,765 – 2,897 – – – – – 1,024 – Class L (G) US$ Distributing (A) – – – – – – – – – – – – – – Class L (G) US$ Distributing (D) – – – – – – – – – – – – – – Class GA US$ Accumulating – – 30,415 4,451 – – – – – – – – 5,524 26,874 Class GA Euro Accumulating – – 1,514 732 1,348 – – – – – – – 46,578 1,493 Class GA Euro Distributing (A) – – 80 22 287 – – – – – – – 103 311 Class GE US$ Accumulating – – 258 – 96 – – – – – – – 312 688 Class GE US$ Distributing (A) – – – 83 – – – – – – – – – – Class GE Euro Accumulating – – 726 167 260 – – – – – – – – 973 Class GF US$ Accumulating – – – – – – – – – – – – – – Class GF Euro Accumulating – – – – – – – – – – – – – – Class GP US$ Accumulating – – – – – – – – – – – – – 18 Galleon Class – – – – – – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

257 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Emerging Batterymarch 130/ International Emerging Markets Global Equity Congruix Asia Congruix Japan Legg Mason LMHK Markets Select 30 Global Equity Large Cap Fund Equity Fund Fund=/ Pacific Fund^ Equity Fund China Fund Equity Fund‡ Fund^6 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Total Net Asset Value: (in 000’s) Class A US$ Accumulating – $ 540 $ 10,873 – – – – – Class A US$ Distributing (A) – 320 4,139 $ 1 – – $ 1 $ 1 Class A US$ Distributing (D) – – – – – – – – Class A US$ Distributing (M) – – – – – – – – Class A US$ Distributing (S) – – – – – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – Class A Euro Accumulating – – 2,586 – – – – – Class A Euro Accumulating (Hedged) – – – – – – – – Class A Euro Distributing (A) – – – – – – – – Class A Euro Distributing (A) (Hedged) – – – – – – – – Class A Euro Distributing (D) – – – – – – – – Class A Euro Distributing (M) (Hedged) – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – Class A GBP Accumulating (Hedged) – – – – – – – – Class A GBP Distributing (A) – – 40,994 – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – Class A GBP Distributing (D) – – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – – Class A GBP Distributing (M) – – – – – – – – Class A GBP Distributing (M) (Hedged) – – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – Class A (PF) US$ Accumulating – – – – – – – – Class A (PF) US$ Distributing (M) – – – – – – – – Class A SGD Accumulating – – – – – – – – Class A SGD Accumulating (Hedged) – – – – – – – – Class A SGD Distributing (Q) – – – – – – – – Class A SGD Distributing (Q) (Hedged) – – – – – – – – Class B US$ Accumulating – 111 1,184 – – – – – Class B US$ Distributing (A) – 1,100 512 – – – – – Class B US$ Distributing (D) – – – – – – – – Class B US$ Distributing (M) – – – – – – – – Class B US$ Distributing (S) – – – – – – – – Class C US$ Accumulating – 98 2,597 – – – – – Class C US$ Distributing (A) – 1,180 897 – – – – – Class C US$ Distributing (D) – – – – – – – – Class C US$ Distributing (M) – – – – – – – – Class C US$ Distributing (S) – – – – – – – – Class E US$ Accumulating – – 1,761 – – – – – Class E US$ Distributing (A) – – 48 – – – – – Class E US$ Distributing (D) – – – – – – – – Class E US$ Distributing (M) – – – – – – – – Class E Euro Accumulating – – – – – – – – Class F US$ Accumulating – – 1 – – – – – Class F US$ Distributing (A) – – 1 – – – – – Class F US$ Distributing (D) – – – – – – – – Class F US$ Distributing (M) – – – – – – – – Class F Euro Accumulating – – – – – – – – Class F Euro Distributing (Q) – – – – – – – – Class F (PF) US$ Accumulating – – – – – – – – Class F (PF) US$ Distributing (M) – – – – – – – – Premier Class US$ Accumulating – – – – – – – – Premier Class US$ Distributing (A) – – – – – – – – Premier Class US$ Distributing (D) – – – – – – – – Premier Class US$ Distributing (M) – – – – – – – – Premier Class AUD Distributing (A) (Hedged) – – – – – – – – Premier Class Euro Accumulating – – 1,176 – – – – – Premier Class Euro Accumulating (Hedged) – – – – – – – – Premier Class Euro Distributing (A) (Hedged) – – – – – – – – Premier Class Euro Distributing (M) – – – – – – – – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) – – – – – – – – Premier Class GBP Accumulating – – – – – – – – Premier Class GBP Accumulating (Hedged) – – – – – – – – Premier Class GBP Distributing (A) – – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – Premier Class GBP Distributing (M) – – – – – – – – Premier Class GBP Distributing (M) (Hedged) – – – – – – – – Premier Class GBP Distributing (Q) – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

258 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Emerging Batterymarch 130/ International Emerging Markets Global Equity Congruix Asia Congruix Japan Legg Mason LMHK Markets Select 30 Global Equity Large Cap Fund Equity Fund Fund=/ Pacific Fund^ Equity Fund China Fund Equity Fund‡ Fund^6 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Total Net Asset Value: (in 000’s) Class A US$ Accumulating – $ 540 $ 10,873 – – – – – Class A US$ Distributing (A) – 320 4,139 $ 1 – – $ 1 $ 1 Class A US$ Distributing (D) – – – – – – – – Class A US$ Distributing (M) – – – – – – – – Class A US$ Distributing (S) – – – – – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – Class A Euro Accumulating – – 2,586 – – – – – Class A Euro Accumulating (Hedged) – – – – – – – – Class A Euro Distributing (A) – – – – – – – – Class A Euro Distributing (A) (Hedged) – – – – – – – – Class A Euro Distributing (D) – – – – – – – – Class A Euro Distributing (M) (Hedged) – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – Class A GBP Accumulating (Hedged) – – – – – – – – Class A GBP Distributing (A) – – 40,994 – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – Class A GBP Distributing (D) – – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – – Class A GBP Distributing (M) – – – – – – – – Class A GBP Distributing (M) (Hedged) – – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – Class A (PF) US$ Accumulating – – – – – – – – Class A (PF) US$ Distributing (M) – – – – – – – – Class A SGD Accumulating – – – – – – – – Class A SGD Accumulating (Hedged) – – – – – – – – Class A SGD Distributing (Q) – – – – – – – – Class A SGD Distributing (Q) (Hedged) – – – – – – – – Class B US$ Accumulating – 111 1,184 – – – – – Class B US$ Distributing (A) – 1,100 512 – – – – – Class B US$ Distributing (D) – – – – – – – – Class B US$ Distributing (M) – – – – – – – – Class B US$ Distributing (S) – – – – – – – – Class C US$ Accumulating – 98 2,597 – – – – – Class C US$ Distributing (A) – 1,180 897 – – – – – Class C US$ Distributing (D) – – – – – – – – Class C US$ Distributing (M) – – – – – – – – Class C US$ Distributing (S) – – – – – – – – Class E US$ Accumulating – – 1,761 – – – – – Class E US$ Distributing (A) – – 48 – – – – – Class E US$ Distributing (D) – – – – – – – – Class E US$ Distributing (M) – – – – – – – – Class E Euro Accumulating – – – – – – – – Class F US$ Accumulating – – 1 – – – – – Class F US$ Distributing (A) – – 1 – – – – – Class F US$ Distributing (D) – – – – – – – – Class F US$ Distributing (M) – – – – – – – – Class F Euro Accumulating – – – – – – – – Class F Euro Distributing (Q) – – – – – – – – Class F (PF) US$ Accumulating – – – – – – – – Class F (PF) US$ Distributing (M) – – – – – – – – Premier Class US$ Accumulating – – – – – – – – Premier Class US$ Distributing (A) – – – – – – – – Premier Class US$ Distributing (D) – – – – – – – – Premier Class US$ Distributing (M) – – – – – – – – Premier Class AUD Distributing (A) (Hedged) – – – – – – – – Premier Class Euro Accumulating – – 1,176 – – – – – Premier Class Euro Accumulating (Hedged) – – – – – – – – Premier Class Euro Distributing (A) (Hedged) – – – – – – – – Premier Class Euro Distributing (M) – – – – – – – – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) – – – – – – – – Premier Class GBP Accumulating – – – – – – – – Premier Class GBP Accumulating (Hedged) – – – – – – – – Premier Class GBP Distributing (A) – – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – Premier Class GBP Distributing (M) – – – – – – – – Premier Class GBP Distributing (M) (Hedged) – – – – – – – – Premier Class GBP Distributing (Q) – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

259 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Emerging Batterymarch 130/ International Emerging Markets Global Equity Congruix Asia Congruix Japan Legg Mason LMHK Markets Select 30 Global Equity Large Cap Fund Equity Fund Fund=/ Pacific Fund^ Equity Fund China Fund Equity Fund‡ Fund^6 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Total Net Asset Value: (in 000’s) Premier Class JPY Accumulating – – – – – – – – Premier Class JPY Accumulating (Hedged) – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – – – – – Premier (PF) Class US$ Accumulating – – – – – – – – Premier (PF) Class US$ Distributing (M) – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – – – – – – – – LM Class US$ Accumulating – – – 5,158 – – 6,251 5,319 LM Class US$ Distributing (M) – – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – – – – LM Class Euro Accumulating – – – – – – – – LM Class Euro Accumulating (Hedged) – – – – – – – – LM Class Euro Distributing (Q) – – – – – – – – LM Class GBP Accumulating – – – – – – – – LM Class GBP Accumulating (Hedged) – – – – – – – – LM Class GBP Distributing (M) – – – – – – – – LM Class JPY Accumulating – – – – – – – – LM Class JPY Accumulating (Hedged) – – – – – – – – Class A (G) US$ Accumulating – 3,945 – – – – – – Class A (G) US$ Distributing (A) – – – – – – – – Class A (G) US$ Distributing (D) – – – – – – – – Class B (G) US$ Accumulating – 4,988 – – – – – – Class B (G) US$ Distributing (A) – – – – – – – – Class B (G) US$ Distributing (D) – – – – – – – – Class L (G) US$ Accumulating – 3,901 – – – – – – Class L (G) US$ Distributing (A) – – – – – – – – Class L (G) US$ Distributing (D) – – – – – – – – Class GA US$ Accumulating – – – – – – – – Class GA Euro Accumulating – – – – – – – – Class GA Euro Distributing (A) – – – – – – – – Class GE US$ Accumulating – – – – – – – – Class GE US$ Distributing (A) – – – – – – – – Class GE Euro Accumulating – – – – – – – – Class GF US$ Accumulating – – – – – – – – Class GF Euro Accumulating – – – – – – – – Class GP US$ Accumulating – – – – – – – – Galleon Class – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

260 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Emerging Batterymarch 130/ International Emerging Markets Global Equity Congruix Asia Congruix Japan Legg Mason LMHK Markets Select 30 Global Equity Large Cap Fund Equity Fund Fund=/ Pacific Fund^ Equity Fund China Fund Equity Fund‡ Fund^6 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Total Net Asset Value: (in 000’s) Premier Class JPY Accumulating – – – – – – – – Premier Class JPY Accumulating (Hedged) – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – – – – – Premier (PF) Class US$ Accumulating – – – – – – – – Premier (PF) Class US$ Distributing (M) – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – – – – – – – – LM Class US$ Accumulating – – – 5,158 – – 6,251 5,319 LM Class US$ Distributing (M) – – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – – – – LM Class Euro Accumulating – – – – – – – – LM Class Euro Accumulating (Hedged) – – – – – – – – LM Class Euro Distributing (Q) – – – – – – – – LM Class GBP Accumulating – – – – – – – – LM Class GBP Accumulating (Hedged) – – – – – – – – LM Class GBP Distributing (M) – – – – – – – – LM Class JPY Accumulating – – – – – – – – LM Class JPY Accumulating (Hedged) – – – – – – – – Class A (G) US$ Accumulating – 3,945 – – – – – – Class A (G) US$ Distributing (A) – – – – – – – – Class A (G) US$ Distributing (D) – – – – – – – – Class B (G) US$ Accumulating – 4,988 – – – – – – Class B (G) US$ Distributing (A) – – – – – – – – Class B (G) US$ Distributing (D) – – – – – – – – Class L (G) US$ Accumulating – 3,901 – – – – – – Class L (G) US$ Distributing (A) – – – – – – – – Class L (G) US$ Distributing (D) – – – – – – – – Class GA US$ Accumulating – – – – – – – – Class GA Euro Accumulating – – – – – – – – Class GA Euro Distributing (A) – – – – – – – – Class GE US$ Accumulating – – – – – – – – Class GE US$ Distributing (A) – – – – – – – – Class GE Euro Accumulating – – – – – – – – Class GF US$ Accumulating – – – – – – – – Class GF Euro Accumulating – – – – – – – – Class GP US$ Accumulating – – – – – – – – Galleon Class – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

261 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Western Asset Legg Mason Western Asset Legg Mason Western Western Asset Legg Mason Western Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Strategic Income Global Multi Western Asset Emerging Markets Asset Global High US Short-Term Asset US Adjustable Inflation Opportunities Global Blue Chip Fund Fund Bond Fund Bond Fund Fund Strategy Fund US High Yield Fund Bond Fund Yield Fund Government Fund Rate Fund Management Fund Fund Bond Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Class A US$ Accumulating 118 15 33 – 11 532 21 544 1,892 100 162 8 564 54 Class A US$ Distributing (A) – – – – – – – – – – – 19 – – Class A US$ Distributing (D) 4,239,184 84 36 17 132 890 479 103 180 34 – – 447 – Class A US$ Distributing (M) – – – – 1 404 1 32 367 – – – 100 48 Class A US$ Distributing (S) – – – – – – – – – – – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – 44 – – – – – Class A Euro Accumulating – – – – – – – – – – – – 196 – Class A Euro Accumulating (Hedged) – – – – 15 423 – 49 – – – – – 21 Class A Euro Distributing (A) – – – – – – – – – – – – – – Class A Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (D) – – – 39 – – – – – – – – – – Class A Euro Distributing (M) (Hedged) – – – – – 57 – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A GBP Accumulating (Hedged) – – – – – – – – – – – – – 2 Class A GBP Distributing (A) – – – – – – – – – – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (D) – – – – – – – – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – 89 – – – – – – Class A GBP Distributing (M) – – – – – – – – – – – – 35 – Class A GBP Distributing (M) (Hedged) – – – – – 1,041 25 – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A (PF) US$ Accumulating – – – – – – – – – – – – – – Class A (PF) US$ Distributing (M) – – – – – – – – – – – – – – Class A SGD Accumulating – – – – – – – – – – – – – – Class A SGD Accumulating (Hedged) – – – – – – – – – – – – 4,022 – Class A SGD Distributing (Q) – – – – – – – – – – – – 8,614 – Class A SGD Distributing (Q) (Hedged) – – – – – 3,129 – 644 646 – – – 1,004 – Class B US$ Accumulating – 1 3 – 1 7 8 4 1 2 – 2 14 – Class B US$ Distributing (A) – – – – – – – – – – – 1 – – Class B US$ Distributing (D) 519 13 3 11 56 151 69 13 25 5 1 – 17 – Class B US$ Distributing (M) – – – – – – – – – – – – – 3 Class B US$ Distributing (S) – – – – – – – – – – – – – – Class C US$ Accumulating 2 1 6 – 8 157 13 3 12 11 2 6 243 42 Class C US$ Distributing (A) – – – – – – – – – – – 37 – – Class C US$ Distributing (D) 1,138 43 46 18 76 1,282 130 83 119 71 1 – 317 – Class C US$ Distributing (M) – – – – – – – – – – – – – 76 Class C US$ Distributing (S) – – – – – – – – – – – – – – Class E US$ Accumulating – – – – – 56 10 – 36 – – – 72 22 Class E US$ Distributing (A) – – – – – – – – – – – – – – Class E US$ Distributing (D) – – – – – 11 – – 3 – – – 9 2 Class E US$ Distributing (M) – – – – – – – – – – – – – – Class E Euro Accumulating – – – – – – – – – – – – – – Class F US$ Accumulating – – – – – 10 – 40 – – – – 11 – Class F US$ Distributing (A) – – – – – – – – – – – – – – Class F US$ Distributing (D) – – – – – 3 – – – – – – – – Class F US$ Distributing (M) – – – – – – – – – – – – – – Class F Euro Accumulating – – – – – – – – – – – – – – Class F Euro Distributing (Q) – – – 1 – – – – – – – – – – Class F (PF) US$ Accumulating – – – – – – – – – – – – – – Class F (PF) US$ Distributing (M) – – – – – – – – – – – – – – Premier Class US$ Accumulating – – 1,366 – – 65 380 154 864 – – – 533 42 Premier Class US$ Distributing (A) – – – – – – – – – – – – – – Premier Class US$ Distributing (D) – – – – – 25 458 – – – – – 92 – Premier Class US$ Distributing (M) – – – – – 61 – – – – – – – 164 Premier Class AUD Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Accumulating – – – 754 – – – – – – – – 451 – Premier Class Euro Accumulating (Hedged) – – – – – 418 – 11 – – – – – 231 Premier Class Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) – – – – – – – – – – – – 8 – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – – – – – – 21 Premier Class Euro Distributing (Q) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Accumulating – – – – – – – – – – – – – – Premier Class GBP Accumulating (Hedged) – – – – – 1,606 – – – – – – – 40 Premier Class GBP Distributing (A) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) – – – – – – – – – – – – 152 – Premier Class GBP Distributing (M) (Hedged) – – – – – 413 – – – – – – – 754 Premier Class GBP Distributing (Q) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – 107 – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

262 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Western Asset Legg Mason Western Asset Legg Mason Western Western Asset Legg Mason Western Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Strategic Income Global Multi Western Asset Emerging Markets Asset Global High US Short-Term Asset US Adjustable Inflation Opportunities Global Blue Chip Fund Fund Bond Fund Bond Fund Fund Strategy Fund US High Yield Fund Bond Fund Yield Fund Government Fund Rate Fund Management Fund Fund Bond Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Class A US$ Accumulating 118 15 33 – 11 532 21 544 1,892 100 162 8 564 54 Class A US$ Distributing (A) – – – – – – – – – – – 19 – – Class A US$ Distributing (D) 4,239,184 84 36 17 132 890 479 103 180 34 – – 447 – Class A US$ Distributing (M) – – – – 1 404 1 32 367 – – – 100 48 Class A US$ Distributing (S) – – – – – – – – – – – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – 44 – – – – – Class A Euro Accumulating – – – – – – – – – – – – 196 – Class A Euro Accumulating (Hedged) – – – – 15 423 – 49 – – – – – 21 Class A Euro Distributing (A) – – – – – – – – – – – – – – Class A Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (D) – – – 39 – – – – – – – – – – Class A Euro Distributing (M) (Hedged) – – – – – 57 – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A GBP Accumulating (Hedged) – – – – – – – – – – – – – 2 Class A GBP Distributing (A) – – – – – – – – – – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (D) – – – – – – – – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – 89 – – – – – – Class A GBP Distributing (M) – – – – – – – – – – – – 35 – Class A GBP Distributing (M) (Hedged) – – – – – 1,041 25 – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A (PF) US$ Accumulating – – – – – – – – – – – – – – Class A (PF) US$ Distributing (M) – – – – – – – – – – – – – – Class A SGD Accumulating – – – – – – – – – – – – – – Class A SGD Accumulating (Hedged) – – – – – – – – – – – – 4,022 – Class A SGD Distributing (Q) – – – – – – – – – – – – 8,614 – Class A SGD Distributing (Q) (Hedged) – – – – – 3,129 – 644 646 – – – 1,004 – Class B US$ Accumulating – 1 3 – 1 7 8 4 1 2 – 2 14 – Class B US$ Distributing (A) – – – – – – – – – – – 1 – – Class B US$ Distributing (D) 519 13 3 11 56 151 69 13 25 5 1 – 17 – Class B US$ Distributing (M) – – – – – – – – – – – – – 3 Class B US$ Distributing (S) – – – – – – – – – – – – – – Class C US$ Accumulating 2 1 6 – 8 157 13 3 12 11 2 6 243 42 Class C US$ Distributing (A) – – – – – – – – – – – 37 – – Class C US$ Distributing (D) 1,138 43 46 18 76 1,282 130 83 119 71 1 – 317 – Class C US$ Distributing (M) – – – – – – – – – – – – – 76 Class C US$ Distributing (S) – – – – – – – – – – – – – – Class E US$ Accumulating – – – – – 56 10 – 36 – – – 72 22 Class E US$ Distributing (A) – – – – – – – – – – – – – – Class E US$ Distributing (D) – – – – – 11 – – 3 – – – 9 2 Class E US$ Distributing (M) – – – – – – – – – – – – – – Class E Euro Accumulating – – – – – – – – – – – – – – Class F US$ Accumulating – – – – – 10 – 40 – – – – 11 – Class F US$ Distributing (A) – – – – – – – – – – – – – – Class F US$ Distributing (D) – – – – – 3 – – – – – – – – Class F US$ Distributing (M) – – – – – – – – – – – – – – Class F Euro Accumulating – – – – – – – – – – – – – – Class F Euro Distributing (Q) – – – 1 – – – – – – – – – – Class F (PF) US$ Accumulating – – – – – – – – – – – – – – Class F (PF) US$ Distributing (M) – – – – – – – – – – – – – – Premier Class US$ Accumulating – – 1,366 – – 65 380 154 864 – – – 533 42 Premier Class US$ Distributing (A) – – – – – – – – – – – – – – Premier Class US$ Distributing (D) – – – – – 25 458 – – – – – 92 – Premier Class US$ Distributing (M) – – – – – 61 – – – – – – – 164 Premier Class AUD Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Accumulating – – – 754 – – – – – – – – 451 – Premier Class Euro Accumulating (Hedged) – – – – – 418 – 11 – – – – – 231 Premier Class Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) – – – – – – – – – – – – 8 – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – – – – – – 21 Premier Class Euro Distributing (Q) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Accumulating – – – – – – – – – – – – – – Premier Class GBP Accumulating (Hedged) – – – – – 1,606 – – – – – – – 40 Premier Class GBP Distributing (A) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) – – – – – – – – – – – – 152 – Premier Class GBP Distributing (M) (Hedged) – – – – – 413 – – – – – – – 754 Premier Class GBP Distributing (Q) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – 107 – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

263 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Western Asset Legg Mason Western Asset Legg Mason Western Western Asset Legg Mason Western Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Strategic Income Global Multi Western Asset Emerging Markets Asset Global High US Short-Term Asset US Adjustable Inflation Opportunities Global Blue Chip Fund Fund Bond Fund Bond Fund Fund Strategy Fund US High Yield Fund Bond Fund Yield Fund Government Fund Rate Fund Management Fund Fund Bond Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Premier Class JPY Accumulating – – – – – 288 – – – – – – – – Premier Class JPY Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – 4,698 – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class US$ Accumulating – – – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) – – – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class US$ Accumulating – – – – – 84 2,088 21 – – – – 824 – LM Class US$ Distributing (M) – – 276 – – – 1,744 – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – – – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – 623 – – – – – – – – LM Class Euro Accumulating – – – – – – – – – – – – – – LM Class Euro Accumulating (Hedged) – – – – – 16 – – – – – – – – LM Class Euro Distributing (Q) – – – – – – – – – – – – – – LM Class GBP Accumulating – – – – – – – – – – – – – – LM Class GBP Accumulating (Hedged) – – 6 – – 2,524 7 – – – – – – – LM Class GBP Distributing (M) – – – – – – – – – – – – – – LM Class JPY Accumulating – – – – – – – – – – – – – – LM Class JPY Accumulating (Hedged) – – – – – 40 – – – – – – – – Class A (G) US$ Accumulating 14 – 20 – 12 – 31 42 213 23 28 6 – – Class A (G) US$ Distributing (A) – – – – – – – – – – – 1 – – Class A (G) US$ Distributing (D) 1,995 – 32 – 112 – 94 45 135 131 23 – – – Class B (G) US$ Accumulating 7 – 12 – 24 – 9 22 33 8 12 6 – – Class B (G) US$ Distributing (A) – – – – – – – – – – – 4 – – Class B (G) US$ Distributing (D) 941 – 20 – 43 – 35 27 78 35 42 – – – Class L (G) US$ Accumulating – – 11 – 7 – 2 16 10 3 6 2 – – Class L (G) US$ Distributing (A) – – – – – – – – – – – 4 – – Class L (G) US$ Distributing (D) 2,198 – 33 – 23 – 107 77 76 31 47 – – – Class GA US$ Accumulating – 64 – – – – – – – – – – – – Class GA Euro Accumulating – – – 63 – – – – – – – – – – Class GA Euro Distributing (A) – – – 10 – – – – – – – – – – Class GE US$ Accumulating – 8 – – – – – – – – – – – – Class GE US$ Distributing (A) – – – – – – – – – – – – – – Class GE Euro Accumulating – – – 17 – – – – – – – – – – Class GF US$ Accumulating – – – – – – 48 – – – – – – – Class GF Euro Accumulating – – – 5 – – – – – – – – – – Class GP US$ Accumulating – – – – – – – – – – – – – – Galleon Class – – – – – – – – – – – – – –

Amounts designated as "-" are either $0/E0/¥0/£0 or less than $1,000/E1,000/¥1,000/£1,000. NAV per share information represents Redeemable Participating Shares 6 Effective January 20, 2010, the Fund ceased trading. G Effective March 25, 2010, the Fund commenced trading. I Effective May 20, 2010, the Fund commenced trading. V Effective June 25, 2010, the Fund commenced trading. ‡ Effective August 2, 2010, the Fund commenced trading. ? Effective August 24, 2010, the Fund ceased trading. o¨ Effective October 1, 2010, the Fund commenced trading. ± Effective November 19, 2010, the Fund commenced trading. Y´ Effective November 30, 2010, the Fund ceased trading. µ Effective December 3, 2010, the Fund commenced trading. =/ Effective December 29, 2010, the Fund commenced trading. Þ Effective February 28, 2011, the Fund ceased trading.

The accompanying notes are an integral part of the Financial Statements

264 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Western Asset Legg Mason Western Asset Legg Mason Western Western Asset Legg Mason Western Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Strategic Income Global Multi Western Asset Emerging Markets Asset Global High US Short-Term Asset US Adjustable Inflation Opportunities Global Blue Chip Fund Fund Bond Fund Bond Fund Fund Strategy Fund US High Yield Fund Bond Fund Yield Fund Government Fund Rate Fund Management Fund Fund Bond Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Premier Class JPY Accumulating – – – – – 288 – – – – – – – – Premier Class JPY Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – 4,698 – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class US$ Accumulating – – – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) – – – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class US$ Accumulating – – – – – 84 2,088 21 – – – – 824 – LM Class US$ Distributing (M) – – 276 – – – 1,744 – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – – – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – 623 – – – – – – – – LM Class Euro Accumulating – – – – – – – – – – – – – – LM Class Euro Accumulating (Hedged) – – – – – 16 – – – – – – – – LM Class Euro Distributing (Q) – – – – – – – – – – – – – – LM Class GBP Accumulating – – – – – – – – – – – – – – LM Class GBP Accumulating (Hedged) – – 6 – – 2,524 7 – – – – – – – LM Class GBP Distributing (M) – – – – – – – – – – – – – – LM Class JPY Accumulating – – – – – – – – – – – – – – LM Class JPY Accumulating (Hedged) – – – – – 40 – – – – – – – – Class A (G) US$ Accumulating 14 – 20 – 12 – 31 42 213 23 28 6 – – Class A (G) US$ Distributing (A) – – – – – – – – – – – 1 – – Class A (G) US$ Distributing (D) 1,995 – 32 – 112 – 94 45 135 131 23 – – – Class B (G) US$ Accumulating 7 – 12 – 24 – 9 22 33 8 12 6 – – Class B (G) US$ Distributing (A) – – – – – – – – – – – 4 – – Class B (G) US$ Distributing (D) 941 – 20 – 43 – 35 27 78 35 42 – – – Class L (G) US$ Accumulating – – 11 – 7 – 2 16 10 3 6 2 – – Class L (G) US$ Distributing (A) – – – – – – – – – – – 4 – – Class L (G) US$ Distributing (D) 2,198 – 33 – 23 – 107 77 76 31 47 – – – Class GA US$ Accumulating – 64 – – – – – – – – – – – – Class GA Euro Accumulating – – – 63 – – – – – – – – – – Class GA Euro Distributing (A) – – – 10 – – – – – – – – – – Class GE US$ Accumulating – 8 – – – – – – – – – – – – Class GE US$ Distributing (A) – – – – – – – – – – – – – – Class GE Euro Accumulating – – – 17 – – – – – – – – – – Class GF US$ Accumulating – – – – – – 48 – – – – – – – Class GF Euro Accumulating – – – 5 – – – – – – – – – – Class GP US$ Accumulating – – – – – – – – – – – – – – Galleon Class – – – – – – – – – – – – – –

Amounts designated as "-" are either $0/E0/¥0/£0 or less than $1,000/E1,000/¥1,000/£1,000. NAV per share information represents Redeemable Participating Shares 6 Effective January 20, 2010, the Fund ceased trading. G Effective March 25, 2010, the Fund commenced trading. I Effective May 20, 2010, the Fund commenced trading. V Effective June 25, 2010, the Fund commenced trading. ‡ Effective August 2, 2010, the Fund commenced trading. ? Effective August 24, 2010, the Fund ceased trading. o¨ Effective October 1, 2010, the Fund commenced trading. ± Effective November 19, 2010, the Fund commenced trading. Y´ Effective November 30, 2010, the Fund ceased trading. µ Effective December 3, 2010, the Fund commenced trading. =/ Effective December 29, 2010, the Fund commenced trading. Þ Effective February 28, 2011, the Fund ceased trading.

The accompanying notes are an integral part of the Financial Statements

265 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Global Credit Legg Mason Western Legg Mason Western Western Asset UK£ Inflation- Western Asset UK£ Western Asset Legg Mason Western Legg Mason Brandywine Global Western Asset Capital Capital Brazil Bond Absolute Return Asset UK£ Core Plus Asset Global Core Global Inflation- Linked Plus Long Duration Global Credit Asset Euro High Brandywine Global Opportunistic Fixed Brazil Equity Management Management Fund^GG Fund^I Bond Fund^± Plus Bond Fund^µ Linked Fund± Fund^± Fund^± Fund± Yield Fund^µ Fixed Income Fund Income Fund^V Fund^o¨ Value Fund Growth Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Class A US$ Accumulating – – – – – – – – – 189 – – 820 31 Class A US$ Distributing (A) – – – – – – – – – – – – 2,838 93 Class A US$ Distributing (D) – – – – – – – – – – – – – – Class A US$ Distributing (M) – – – – – – – – – – 45 – – – Class A US$ Distributing (S) – – – – – – – – – 1,914 – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Accumulating – – – – – – – – – – – – 34 6 Class A Euro Accumulating (Hedged) – – – – – – – – – 78 – – – – Class A Euro Distributing (A) – – – – – – – – – – – – – – Class A Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (D) – – – – – – – – – – – – – – Class A Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – – 306 – – – – Class A GBP Accumulating (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (A) – – – – – – – – – – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (D) – – – – – – – – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (M) – – – – – – – – – – – – – – Class A GBP Distributing (M) (Hedged) – 104 – – – – – – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – – 311 – – – – Class A (PF) US$ Accumulating – 21 – – – – – – – – – – – – Class A (PF) US$ Distributing (M) – 2 – – – – – – – – – – – – Class A SGD Accumulating – – – – – – – – – – – – 34,600 – Class A SGD Accumulating (Hedged) – – – – – – – – – – – – – – Class A SGD Distributing (Q) – – – – – – – – – – – – – – Class A SGD Distributing (Q) (Hedged) – – – – – – – – – – – – – – Class B US$ Accumulating – – – – – – – – – 9 – – 3 – Class B US$ Distributing (A) – – – – – – – – – – – – 27 10 Class B US$ Distributing (D) – – – – – – – – – – – – – – Class B US$ Distributing (M) – – – – – – – – – – – – – – Class B US$ Distributing (S) – – – – – – – – – 32 – – – – Class C US$ Accumulating – – – – – – – – – 3 – – 9 1 Class C US$ Distributing (A) – – – – – – – – – – – – 105 26 Class C US$ Distributing (D) – – – – – – – – – – – – – – Class C US$ Distributing (M) – – – – – – – – – – – – – – Class C US$ Distributing (S) – – – – – – – – – 90 – – – – Class E US$ Accumulating – – – – – – – – – – – – – – Class E US$ Distributing (A) – – – – – – – – – – – – – – Class E US$ Distributing (D) – – – – – – – – – – – – – – Class E US$ Distributing (M) – – – – – – – – – – – – – – Class E Euro Accumulating – – – – – – – – – – – – – – Class F US$ Accumulating – – – – – – – – – – – – – – Class F US$ Distributing (A) – – – – – – – – – – – – – – Class F US$ Distributing (D) – – – – – – – – – – – – – – Class F US$ Distributing (M) – – – – – – – – – – – – – – Class F Euro Accumulating – – – – – – – – – – – – – – Class F Euro Distributing (Q) – – – – – – – – – – – – – – Class F (PF) US$ Accumulating – – – – – – – – – – – – – – Class F (PF) US$ Distributing (M) – – – – – – – – – – – – – – Premier Class US$ Accumulating 45 – – 11 401 – – – – – – – 1,097 538 Premier Class US$ Distributing (A) – – – – – – – – – – – – – – Premier Class US$ Distributing (D) – – – – – – – – – – – – – – Premier Class US$ Distributing (M) – – – – – – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Accumulating – – – – – – – – – 102 – – – – Premier Class Euro Accumulating (Hedged) – 12 – – – – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) – – – 297 – – – – – – – – – – Premier Class GBP Accumulating – – 49 – – 51 – – – – – – – – Premier Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

266 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Global Credit Legg Mason Western Legg Mason Western Western Asset UK£ Inflation- Western Asset UK£ Western Asset Legg Mason Western Legg Mason Brandywine Global Western Asset Capital Capital Brazil Bond Absolute Return Asset UK£ Core Plus Asset Global Core Global Inflation- Linked Plus Long Duration Global Credit Asset Euro High Brandywine Global Opportunistic Fixed Brazil Equity Management Management Fund^GG Fund^I Bond Fund^± Plus Bond Fund^µ Linked Fund± Fund^± Fund^± Fund± Yield Fund^µ Fixed Income Fund Income Fund^V Fund^o¨ Value Fund Growth Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Class A US$ Accumulating – – – – – – – – – 189 – – 820 31 Class A US$ Distributing (A) – – – – – – – – – – – – 2,838 93 Class A US$ Distributing (D) – – – – – – – – – – – – – – Class A US$ Distributing (M) – – – – – – – – – – 45 – – – Class A US$ Distributing (S) – – – – – – – – – 1,914 – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Accumulating – – – – – – – – – – – – 34 6 Class A Euro Accumulating (Hedged) – – – – – – – – – 78 – – – – Class A Euro Distributing (A) – – – – – – – – – – – – – – Class A Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (D) – – – – – – – – – – – – – – Class A Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – – 306 – – – – Class A GBP Accumulating (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (A) – – – – – – – – – – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (D) – – – – – – – – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (M) – – – – – – – – – – – – – – Class A GBP Distributing (M) (Hedged) – 104 – – – – – – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – – 311 – – – – Class A (PF) US$ Accumulating – 21 – – – – – – – – – – – – Class A (PF) US$ Distributing (M) – 2 – – – – – – – – – – – – Class A SGD Accumulating – – – – – – – – – – – – 34,600 – Class A SGD Accumulating (Hedged) – – – – – – – – – – – – – – Class A SGD Distributing (Q) – – – – – – – – – – – – – – Class A SGD Distributing (Q) (Hedged) – – – – – – – – – – – – – – Class B US$ Accumulating – – – – – – – – – 9 – – 3 – Class B US$ Distributing (A) – – – – – – – – – – – – 27 10 Class B US$ Distributing (D) – – – – – – – – – – – – – – Class B US$ Distributing (M) – – – – – – – – – – – – – – Class B US$ Distributing (S) – – – – – – – – – 32 – – – – Class C US$ Accumulating – – – – – – – – – 3 – – 9 1 Class C US$ Distributing (A) – – – – – – – – – – – – 105 26 Class C US$ Distributing (D) – – – – – – – – – – – – – – Class C US$ Distributing (M) – – – – – – – – – – – – – – Class C US$ Distributing (S) – – – – – – – – – 90 – – – – Class E US$ Accumulating – – – – – – – – – – – – – – Class E US$ Distributing (A) – – – – – – – – – – – – – – Class E US$ Distributing (D) – – – – – – – – – – – – – – Class E US$ Distributing (M) – – – – – – – – – – – – – – Class E Euro Accumulating – – – – – – – – – – – – – – Class F US$ Accumulating – – – – – – – – – – – – – – Class F US$ Distributing (A) – – – – – – – – – – – – – – Class F US$ Distributing (D) – – – – – – – – – – – – – – Class F US$ Distributing (M) – – – – – – – – – – – – – – Class F Euro Accumulating – – – – – – – – – – – – – – Class F Euro Distributing (Q) – – – – – – – – – – – – – – Class F (PF) US$ Accumulating – – – – – – – – – – – – – – Class F (PF) US$ Distributing (M) – – – – – – – – – – – – – – Premier Class US$ Accumulating 45 – – 11 401 – – – – – – – 1,097 538 Premier Class US$ Distributing (A) – – – – – – – – – – – – – – Premier Class US$ Distributing (D) – – – – – – – – – – – – – – Premier Class US$ Distributing (M) – – – – – – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Accumulating – – – – – – – – – 102 – – – – Premier Class Euro Accumulating (Hedged) – 12 – – – – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) – – – 297 – – – – – – – – – – Premier Class GBP Accumulating – – 49 – – 51 – – – – – – – – Premier Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

267 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Global Credit Legg Mason Western Legg Mason Western Western Asset UK£ Inflation- Western Asset UK£ Western Asset Legg Mason Western Legg Mason Brandywine Global Western Asset Capital Capital Brazil Bond Absolute Return Asset UK£ Core Plus Asset Global Core Global Inflation- Linked Plus Long Duration Global Credit Asset Euro High Brandywine Global Opportunistic Fixed Brazil Equity Management Management Fund^GG Fund^I Bond Fund^± Plus Bond Fund^µ Linked Fund± Fund^± Fund^± Fund± Yield Fund^µ Fixed Income Fund Income Fund^V Fund^o¨ Value Fund Growth Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Premier Class JPY Accumulating – – – – – – – – – – – – – – Premier Class JPY Accumulating (Hedged) – – – – 172 – – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – 36,790 – – – – – – – – – Premier (PF) Class US$ Accumulating – 200 – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) – 167 – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – 135 – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – 420 – – – – – – – – – – – – LM Class US$ Accumulating 50 – – 256 – – – 1,000 – 253 – 50 127 – LM Class US$ Distributing (M) – – – – – – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – 308 – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class Euro Accumulating – – – – – – – – 156 – – – 9 – LM Class Euro Accumulating (Hedged) – – – 46 – – – – – 45 – – – – LM Class Euro Distributing (Q) – – – – – – – – 319 – – – – – LM Class GBP Accumulating – – 753 – – 131 633 – – – – – – – LM Class GBP Accumulating (Hedged) – – – – 7 – – – – – – – – – LM Class GBP Distributing (M) – – – – – 135 134 – – – – – – – LM Class JPY Accumulating – – – – – – – – – – – – 43 – LM Class JPY Accumulating (Hedged) – – – 139 – – – – – 138 – – – – Class A (G) US$ Accumulating – – – – – – – – – – – – – – Class A (G) US$ Distributing (A) – – – – – – – – – – – – – – Class A (G) US$ Distributing (D) – – – – – – – – – – – – – – Class B (G) US$ Accumulating – – – – – – – – – – – – – – Class B (G) US$ Distributing (A) – – – – – – – – – – – – – – Class B (G) US$ Distributing (D) – – – – – – – – – – – – – – Class L (G) US$ Accumulating – – – – – – – – – – – – – – Class L (G) US$ Distributing (A) – – – – – – – – – – – – – – Class L (G) US$ Distributing (D) – – – – – – – – – – – – – – Class GA US$ Accumulating – – – – – – – – – – – – – – Class GA Euro Accumulating – – – – – – – – – – – – – – Class GA Euro Distributing (A) – – – – – – – – – – – – – – Class GE US$ Accumulating – – – – – – – – – – – – – – Class GE US$ Distributing (A) – – – – – – – – – – – – – – Class GE Euro Accumulating – – – – – – – – – – – – – – Class GF US$ Accumulating – – – – – – – – – – – – – – Class GF Euro Accumulating – – – – – – – – – – – – – – Class GP US$ Accumulating – – – – – – – – – – – – – – Galleon Class – – – – – – – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

268 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Global Credit Legg Mason Western Legg Mason Western Western Asset UK£ Inflation- Western Asset UK£ Western Asset Legg Mason Western Legg Mason Brandywine Global Western Asset Capital Capital Brazil Bond Absolute Return Asset UK£ Core Plus Asset Global Core Global Inflation- Linked Plus Long Duration Global Credit Asset Euro High Brandywine Global Opportunistic Fixed Brazil Equity Management Management Fund^GG Fund^I Bond Fund^± Plus Bond Fund^µ Linked Fund± Fund^± Fund^± Fund± Yield Fund^µ Fixed Income Fund Income Fund^V Fund^o¨ Value Fund Growth Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Premier Class JPY Accumulating – – – – – – – – – – – – – – Premier Class JPY Accumulating (Hedged) – – – – 172 – – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – 36,790 – – – – – – – – – Premier (PF) Class US$ Accumulating – 200 – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) – 167 – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – 135 – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – 420 – – – – – – – – – – – – LM Class US$ Accumulating 50 – – 256 – – – 1,000 – 253 – 50 127 – LM Class US$ Distributing (M) – – – – – – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – 308 – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class Euro Accumulating – – – – – – – – 156 – – – 9 – LM Class Euro Accumulating (Hedged) – – – 46 – – – – – 45 – – – – LM Class Euro Distributing (Q) – – – – – – – – 319 – – – – – LM Class GBP Accumulating – – 753 – – 131 633 – – – – – – – LM Class GBP Accumulating (Hedged) – – – – 7 – – – – – – – – – LM Class GBP Distributing (M) – – – – – 135 134 – – – – – – – LM Class JPY Accumulating – – – – – – – – – – – – 43 – LM Class JPY Accumulating (Hedged) – – – 139 – – – – – 138 – – – – Class A (G) US$ Accumulating – – – – – – – – – – – – – – Class A (G) US$ Distributing (A) – – – – – – – – – – – – – – Class A (G) US$ Distributing (D) – – – – – – – – – – – – – – Class B (G) US$ Accumulating – – – – – – – – – – – – – – Class B (G) US$ Distributing (A) – – – – – – – – – – – – – – Class B (G) US$ Distributing (D) – – – – – – – – – – – – – – Class L (G) US$ Accumulating – – – – – – – – – – – – – – Class L (G) US$ Distributing (A) – – – – – – – – – – – – – – Class L (G) US$ Distributing (D) – – – – – – – – – – – – – – Class GA US$ Accumulating – – – – – – – – – – – – – – Class GA Euro Accumulating – – – – – – – – – – – – – – Class GA Euro Distributing (A) – – – – – – – – – – – – – – Class GE US$ Accumulating – – – – – – – – – – – – – – Class GE US$ Distributing (A) – – – – – – – – – – – – – – Class GE Euro Accumulating – – – – – – – – – – – – – – Class GF US$ Accumulating – – – – – – – – – – – – – – Class GF Euro Accumulating – – – – – – – – – – – – – – Class GP US$ Accumulating – – – – – – – – – – – – – – Galleon Class – – – – – – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

269 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Capital ClearBridge ClearBridge Legg Mason ClearBridge Royce US Small Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Permal Legg Mason Batterymarch Legg Mason Management US Appreciation US Fundamental ClearBridge US Large US Aggressive Cap Opportunity Smaller Companies European Smaller Global Smaller Legg Mason PCM Global Absolute GC Global Equity European Equity Batterymarch Asia Opportunity Fund Fund Value Fund Cap Growth Fund Growth Fund Fund Fund Companies Fund^ Companies Fund US Equity Fund Fund Fund Fund Pacific Equity Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Class A US$ Accumulating 92 430 254 117 392 1,383 1,425 – 38 – 152 1 14 264 Class A US$ Distributing (A) 46 468 9 10 120 364 739 – – – 110 14 19 312 Class A US$ Distributing (D) – – – – – – – – – – – – – – Class A US$ Distributing (M) – – – – – – – – – – – – – – Class A US$ Distributing (S) – – – – – – – – – – – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Accumulating – 63 – 1 4 250 61 – – – – – – 24 Class A Euro Accumulating (Hedged) – – – – – – – – – – 56 – – – Class A Euro Distributing (A) – – – – – – – 1 – – – – – – Class A Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (D) – – – – – – – – – – – – – – Class A Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A GBP Accumulating (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (A) – – – – – – 1 – – – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – – – 2 – – – Class A GBP Distributing (D) – – – – – – – – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (M) – – – – – – – – – – – – – – Class A GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A (PF) US$ Accumulating – – – – – – – – – – – – – – Class A (PF) US$ Distributing (M) – – – – – – – – – – – – – – Class A SGD Accumulating – – – – – 127 – – – – – – – – Class A SGD Accumulating (Hedged) – – – – – – – – – – 6,033 – – – Class A SGD Distributing (Q) – – – – – – – – – – – – – – Class A SGD Distributing (Q) (Hedged) – – – – – – – – – – – – – – Class B US$ Accumulating – 9 4 7 9 18 15 – – – – – 1 7 Class B US$ Distributing (A) – 12 13 7 17 8 19 – – – 1 1 9 24 Class B US$ Distributing (D) – – – – – – – – – – – – – – Class B US$ Distributing (M) – – – – – – – – – – – – – – Class B US$ Distributing (S) – – – – – – – – – – – – – – Class C US$ Accumulating – 52 6 6 28 15 39 – – – 149 – 48 6 Class C US$ Distributing (A) – 32 16 20 94 63 66 – – – 68 1 17 91 Class C US$ Distributing (D) – – – – – – – – – – – – – – Class C US$ Distributing (M) – – – – – – – – – – – – – – Class C US$ Distributing (S) – – – – – – – – – – – – – – Class E US$ Accumulating – 25 – – 15 2 41 – 1 – 5 – – 3 Class E US$ Distributing (A) – 1 – – – – 1 – – – – – – – Class E US$ Distributing (D) – – – – – – – – – – – – – – Class E US$ Distributing (M) – – – – – – – – – – – – – – Class E Euro Accumulating – – – – – 9 – – – – – – – 1 Class F US$ Accumulating – 4 – – – – 20 – – – 5 – – – Class F US$ Distributing (A) – – – – – – – – – – 1 – – – Class F US$ Distributing (D) – – – – – – – – – – – – – – Class F US$ Distributing (M) – – – – – – – – – – – – – – Class F Euro Accumulating – – – – – – – – – – – – – – Class F Euro Distributing (Q) – – – – – – – – – – – – – – Class F (PF) US$ Accumulating – – – – – – – – – – – – – – Class F (PF) US$ Distributing (M) – – – – – – – – – – – – – – Premier Class US$ Accumulating 123 320 – – 240 9 239 – – – 5 – – – Premier Class US$ Distributing (A) – 14 – – – – 5 – – – – – – – Premier Class US$ Distributing (D) – – – – – – – – – – – – – – Premier Class US$ Distributing (M) – – – – – – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) – – – – – – – – – – 61 – – – Premier Class Euro Accumulating – 41 – – 29 126 – – – – – – – – Premier Class Euro Accumulating (Hedged) – – – – – – – – – – 11 – – – Premier Class Euro Distributing (A) (Hedged) – – – – – – – – – – 48 – – – Premier Class Euro Distributing (M) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Accumulating – – – – – – – – – – – – – – Premier Class GBP Accumulating (Hedged) – – – – – – – – – – 23 – – – Premier Class GBP Distributing (A) 412 – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – – – 78 – – – Premier Class GBP Distributing (M) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

270 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Capital ClearBridge ClearBridge Legg Mason ClearBridge Royce US Small Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Permal Legg Mason Batterymarch Legg Mason Management US Appreciation US Fundamental ClearBridge US Large US Aggressive Cap Opportunity Smaller Companies European Smaller Global Smaller Legg Mason PCM Global Absolute GC Global Equity European Equity Batterymarch Asia Opportunity Fund Fund Value Fund Cap Growth Fund Growth Fund Fund Fund Companies Fund^ Companies Fund US Equity Fund Fund Fund Fund Pacific Equity Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Class A US$ Accumulating 92 430 254 117 392 1,383 1,425 – 38 – 152 1 14 264 Class A US$ Distributing (A) 46 468 9 10 120 364 739 – – – 110 14 19 312 Class A US$ Distributing (D) – – – – – – – – – – – – – – Class A US$ Distributing (M) – – – – – – – – – – – – – – Class A US$ Distributing (S) – – – – – – – – – – – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Accumulating – 63 – 1 4 250 61 – – – – – – 24 Class A Euro Accumulating (Hedged) – – – – – – – – – – 56 – – – Class A Euro Distributing (A) – – – – – – – 1 – – – – – – Class A Euro Distributing (A) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (D) – – – – – – – – – – – – – – Class A Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A GBP Accumulating (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (A) – – – – – – 1 – – – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – – – 2 – – – Class A GBP Distributing (D) – – – – – – – – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (M) – – – – – – – – – – – – – – Class A GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – – – – – – – Class A (PF) US$ Accumulating – – – – – – – – – – – – – – Class A (PF) US$ Distributing (M) – – – – – – – – – – – – – – Class A SGD Accumulating – – – – – 127 – – – – – – – – Class A SGD Accumulating (Hedged) – – – – – – – – – – 6,033 – – – Class A SGD Distributing (Q) – – – – – – – – – – – – – – Class A SGD Distributing (Q) (Hedged) – – – – – – – – – – – – – – Class B US$ Accumulating – 9 4 7 9 18 15 – – – – – 1 7 Class B US$ Distributing (A) – 12 13 7 17 8 19 – – – 1 1 9 24 Class B US$ Distributing (D) – – – – – – – – – – – – – – Class B US$ Distributing (M) – – – – – – – – – – – – – – Class B US$ Distributing (S) – – – – – – – – – – – – – – Class C US$ Accumulating – 52 6 6 28 15 39 – – – 149 – 48 6 Class C US$ Distributing (A) – 32 16 20 94 63 66 – – – 68 1 17 91 Class C US$ Distributing (D) – – – – – – – – – – – – – – Class C US$ Distributing (M) – – – – – – – – – – – – – – Class C US$ Distributing (S) – – – – – – – – – – – – – – Class E US$ Accumulating – 25 – – 15 2 41 – 1 – 5 – – 3 Class E US$ Distributing (A) – 1 – – – – 1 – – – – – – – Class E US$ Distributing (D) – – – – – – – – – – – – – – Class E US$ Distributing (M) – – – – – – – – – – – – – – Class E Euro Accumulating – – – – – 9 – – – – – – – 1 Class F US$ Accumulating – 4 – – – – 20 – – – 5 – – – Class F US$ Distributing (A) – – – – – – – – – – 1 – – – Class F US$ Distributing (D) – – – – – – – – – – – – – – Class F US$ Distributing (M) – – – – – – – – – – – – – – Class F Euro Accumulating – – – – – – – – – – – – – – Class F Euro Distributing (Q) – – – – – – – – – – – – – – Class F (PF) US$ Accumulating – – – – – – – – – – – – – – Class F (PF) US$ Distributing (M) – – – – – – – – – – – – – – Premier Class US$ Accumulating 123 320 – – 240 9 239 – – – 5 – – – Premier Class US$ Distributing (A) – 14 – – – – 5 – – – – – – – Premier Class US$ Distributing (D) – – – – – – – – – – – – – – Premier Class US$ Distributing (M) – – – – – – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) – – – – – – – – – – 61 – – – Premier Class Euro Accumulating – 41 – – 29 126 – – – – – – – – Premier Class Euro Accumulating (Hedged) – – – – – – – – – – 11 – – – Premier Class Euro Distributing (A) (Hedged) – – – – – – – – – – 48 – – – Premier Class Euro Distributing (M) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Accumulating – – – – – – – – – – – – – – Premier Class GBP Accumulating (Hedged) – – – – – – – – – – 23 – – – Premier Class GBP Distributing (A) 412 – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – – – 78 – – – Premier Class GBP Distributing (M) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

271 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Capital ClearBridge ClearBridge Legg Mason ClearBridge Royce US Small Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Permal Legg Mason Batterymarch Legg Mason Management US Appreciation US Fundamental ClearBridge US Large US Aggressive Cap Opportunity Smaller Companies European Smaller Global Smaller Legg Mason PCM Global Absolute GC Global Equity European Equity Batterymarch Asia Opportunity Fund Fund Value Fund Cap Growth Fund Growth Fund Fund Fund Companies Fund^ Companies Fund US Equity Fund Fund Fund Fund Pacific Equity Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Premier Class JPY Accumulating – – – – – – – – – – – – – – Premier Class JPY Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class US$ Accumulating – – – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) – – – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class US$ Accumulating 2 116 88 – – – 39 – 20 – 74 – 118 – LM Class US$ Distributing (M) – – – – – – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – – – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class Euro Accumulating – 18 – – – – 6 17 – – – – 19 – LM Class Euro Accumulating (Hedged) – – – – – – – – – – – – – – LM Class Euro Distributing (Q) – – – – – – – – – – – – – – LM Class GBP Accumulating – – – – – – – – – – – – – – LM Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – LM Class GBP Distributing (M) – – – – – – – – – – – – – – LM Class JPY Accumulating – 85 – – – – 29 – – – – – 86 – LM Class JPY Accumulating (Hedged) – – – – – – – – – – – – – – Class A (G) US$ Accumulating – 81 488 93 607 – 43 – – – – – 84 – Class A (G) US$ Distributing (A) – – – – – – – – – – – – – – Class A (G) US$ Distributing (D) – – – – – – – – – – – – – – Class B (G) US$ Accumulating – 20 156 39 100 – 10 – – – – – 23 – Class B (G) US$ Distributing (A) – – – – – – – – – – – – – – Class B (G) US$ Distributing (D) – – – – – – – – – – – – – – Class L (G) US$ Accumulating – 58 206 88 179 – 25 – – – – – 20 – Class L (G) US$ Distributing (A) – – – – – – – – – – – – – – Class L (G) US$ Distributing (D) – – – – – – – – – – – – – – Class GA US$ Accumulating – – 233 36 – – – – – – – – 61 248 Class GA Euro Accumulating – – 9 5 8 – – – – – – – 405 11 Class GA Euro Distributing (A) – – – – 2 – – – – – – – 1 2 Class GE US$ Accumulating – – 2 – 1 – – – – – – – 3 6 Class GE US$ Distributing (A) – – – 1 – – – – – – – – – – Class GE Euro Accumulating – – 4 1 2 – – – – – – – – 7 Class GF US$ Accumulating – – – – – – – – – – – – – – Class GF Euro Accumulating – – – – – – – – – – – – – – Class GP US$ Accumulating – – – – – – – – – – – – – – Galleon Class – – – – – – – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

272 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Capital ClearBridge ClearBridge Legg Mason ClearBridge Royce US Small Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Permal Legg Mason Batterymarch Legg Mason Management US Appreciation US Fundamental ClearBridge US Large US Aggressive Cap Opportunity Smaller Companies European Smaller Global Smaller Legg Mason PCM Global Absolute GC Global Equity European Equity Batterymarch Asia Opportunity Fund Fund Value Fund Cap Growth Fund Growth Fund Fund Fund Companies Fund^ Companies Fund US Equity Fund Fund Fund Fund Pacific Equity Fund (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Premier Class JPY Accumulating – – – – – – – – – – – – – – Premier Class JPY Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – – – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class US$ Accumulating – – – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) – – – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class US$ Accumulating 2 116 88 – – – 39 – 20 – 74 – 118 – LM Class US$ Distributing (M) – – – – – – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – – – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – – – – – – – – – – LM Class Euro Accumulating – 18 – – – – 6 17 – – – – 19 – LM Class Euro Accumulating (Hedged) – – – – – – – – – – – – – – LM Class Euro Distributing (Q) – – – – – – – – – – – – – – LM Class GBP Accumulating – – – – – – – – – – – – – – LM Class GBP Accumulating (Hedged) – – – – – – – – – – – – – – LM Class GBP Distributing (M) – – – – – – – – – – – – – – LM Class JPY Accumulating – 85 – – – – 29 – – – – – 86 – LM Class JPY Accumulating (Hedged) – – – – – – – – – – – – – – Class A (G) US$ Accumulating – 81 488 93 607 – 43 – – – – – 84 – Class A (G) US$ Distributing (A) – – – – – – – – – – – – – – Class A (G) US$ Distributing (D) – – – – – – – – – – – – – – Class B (G) US$ Accumulating – 20 156 39 100 – 10 – – – – – 23 – Class B (G) US$ Distributing (A) – – – – – – – – – – – – – – Class B (G) US$ Distributing (D) – – – – – – – – – – – – – – Class L (G) US$ Accumulating – 58 206 88 179 – 25 – – – – – 20 – Class L (G) US$ Distributing (A) – – – – – – – – – – – – – – Class L (G) US$ Distributing (D) – – – – – – – – – – – – – – Class GA US$ Accumulating – – 233 36 – – – – – – – – 61 248 Class GA Euro Accumulating – – 9 5 8 – – – – – – – 405 11 Class GA Euro Distributing (A) – – – – 2 – – – – – – – 1 2 Class GE US$ Accumulating – – 2 – 1 – – – – – – – 3 6 Class GE US$ Distributing (A) – – – 1 – – – – – – – – – – Class GE Euro Accumulating – – 4 1 2 – – – – – – – – 7 Class GF US$ Accumulating – – – – – – – – – – – – – – Class GF Euro Accumulating – – – – – – – – – – – – – – Class GP US$ Accumulating – – – – – – – – – – – – – – Galleon Class – – – – – – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

273 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch 130/ Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Emerging 30 Global Equity International Emerging Markets Global Equity Congruix Asia Congruix Japan Legg Mason LMHK Markets Select Fund^6 Large Cap Fund Equity Fund Fund=/ Pacific Fund^ Equity Fund China Fund Equity Fund‡ (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Class A US$ Accumulating – 7 126 – – – – – Class A US$ Distributing (A) – 4 43 – – – – – Class A US$ Distributing (D) – – – – – – – – Class A US$ Distributing (M) – – – – – – – – Class A US$ Distributing (S) – – – – – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – Class A Euro Accumulating – – 17 – – – – – Class A Euro Accumulating (Hedged) – – – – – – – – Class A Euro Distributing (A) – – – – – – – – Class A Euro Distributing (A) (Hedged) – – – – – – – – Class A Euro Distributing (D) – – – – – – – – Class A Euro Distributing (M) (Hedged) – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – Class A GBP Accumulating (Hedged) – – – – – – – – Class A GBP Distributing (A) – – 241 – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – Class A GBP Distributing (D) – – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – – Class A GBP Distributing (M) – – – – – – – – Class A GBP Distributing (M) (Hedged) – – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – Class A (PF) US$ Accumulating – – – – – – – – Class A (PF) US$ Distributing (M) – – – – – – – – Class A SGD Accumulating – – – – – – – – Class A SGD Accumulating (Hedged) – – – – – – – – Class A SGD Distributing (Q) – – – – – – – – Class A SGD Distributing (Q) (Hedged) – – – – – – – – Class B US$ Accumulating – 1 12 – – – – – Class B US$ Distributing (A) – 15 5 – – – – – Class B US$ Distributing (D) – – – – – – – – Class B US$ Distributing (M) – – – – – – – – Class B US$ Distributing (S) – – – – – – – – Class C US$ Accumulating – 1 27 – – – – – Class C US$ Distributing (A) – 16 9 – – – – – Class C US$ Distributing (D) – – – – – – – – Class C US$ Distributing (M) – – – – – – – – Class C US$ Distributing (S) – – – – – – – – Class E US$ Accumulating – – 16 – – – – – Class E US$ Distributing (A) – – – – – – – – Class E US$ Distributing (D) – – – – – – – – Class E US$ Distributing (M) – – – – – – – – Class E Euro Accumulating – – – – – – – – Class F US$ Accumulating – – – – – – – – Class F US$ Distributing (A) – – – – – – – – Class F US$ Distributing (D) – – – – – – – – Class F US$ Distributing (M) – – – – – – – – Class F Euro Accumulating – – – – – – – – Class F Euro Distributing (Q) – – – – – – – – Class F (PF) US$ Accumulating – – – – – – – – Class F (PF) US$ Distributing (M) – – – – – – – – Premier Class US$ Accumulating – – – – – – – – Premier Class US$ Distributing (A) – – – – – – – – Premier Class US$ Distributing (D) – – – – – – – – Premier Class US$ Distributing (M) – – – – – – – – Premier Class AUD Distributing (A) (Hedged) – – – – – – – – Premier Class Euro Accumulating – – 8 – – – – – Premier Class Euro Accumulating (Hedged) – – – – – – – – Premier Class Euro Distributing (A) (Hedged) – – – – – – – – Premier Class Euro Distributing (M) – – – – – – – – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) – – – – – – – – Premier Class GBP Accumulating – – – – – – – – Premier Class GBP Accumulating (Hedged) – – – – – – – – Premier Class GBP Distributing (A) – – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – Premier Class GBP Distributing (M) – – – – – – – – Premier Class GBP Distributing (M) (Hedged) – – – – – – – – Premier Class GBP Distributing (Q) – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

274 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch 130/ Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Emerging 30 Global Equity International Emerging Markets Global Equity Congruix Asia Congruix Japan Legg Mason LMHK Markets Select Fund^6 Large Cap Fund Equity Fund Fund=/ Pacific Fund^ Equity Fund China Fund Equity Fund‡ (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Class A US$ Accumulating – 7 126 – – – – – Class A US$ Distributing (A) – 4 43 – – – – – Class A US$ Distributing (D) – – – – – – – – Class A US$ Distributing (M) – – – – – – – – Class A US$ Distributing (S) – – – – – – – – Class A AUD Distributing (M) (Hedged) – – – – – – – – Class A Euro Accumulating – – 17 – – – – – Class A Euro Accumulating (Hedged) – – – – – – – – Class A Euro Distributing (A) – – – – – – – – Class A Euro Distributing (A) (Hedged) – – – – – – – – Class A Euro Distributing (D) – – – – – – – – Class A Euro Distributing (M) (Hedged) – – – – – – – – Class A Euro Distributing (S) (Hedged) – – – – – – – – Class A GBP Accumulating (Hedged) – – – – – – – – Class A GBP Distributing (A) – – 241 – – – – – Class A GBP Distributing (A) (Hedged) – – – – – – – – Class A GBP Distributing (D) – – – – – – – – Class A GBP Distributing (D) (Hedged) – – – – – – – – Class A GBP Distributing (M) – – – – – – – – Class A GBP Distributing (M) (Hedged) – – – – – – – – Class A GBP Distributing (S) (Hedged) – – – – – – – – Class A (PF) US$ Accumulating – – – – – – – – Class A (PF) US$ Distributing (M) – – – – – – – – Class A SGD Accumulating – – – – – – – – Class A SGD Accumulating (Hedged) – – – – – – – – Class A SGD Distributing (Q) – – – – – – – – Class A SGD Distributing (Q) (Hedged) – – – – – – – – Class B US$ Accumulating – 1 12 – – – – – Class B US$ Distributing (A) – 15 5 – – – – – Class B US$ Distributing (D) – – – – – – – – Class B US$ Distributing (M) – – – – – – – – Class B US$ Distributing (S) – – – – – – – – Class C US$ Accumulating – 1 27 – – – – – Class C US$ Distributing (A) – 16 9 – – – – – Class C US$ Distributing (D) – – – – – – – – Class C US$ Distributing (M) – – – – – – – – Class C US$ Distributing (S) – – – – – – – – Class E US$ Accumulating – – 16 – – – – – Class E US$ Distributing (A) – – – – – – – – Class E US$ Distributing (D) – – – – – – – – Class E US$ Distributing (M) – – – – – – – – Class E Euro Accumulating – – – – – – – – Class F US$ Accumulating – – – – – – – – Class F US$ Distributing (A) – – – – – – – – Class F US$ Distributing (D) – – – – – – – – Class F US$ Distributing (M) – – – – – – – – Class F Euro Accumulating – – – – – – – – Class F Euro Distributing (Q) – – – – – – – – Class F (PF) US$ Accumulating – – – – – – – – Class F (PF) US$ Distributing (M) – – – – – – – – Premier Class US$ Accumulating – – – – – – – – Premier Class US$ Distributing (A) – – – – – – – – Premier Class US$ Distributing (D) – – – – – – – – Premier Class US$ Distributing (M) – – – – – – – – Premier Class AUD Distributing (A) (Hedged) – – – – – – – – Premier Class Euro Accumulating – – 8 – – – – – Premier Class Euro Accumulating (Hedged) – – – – – – – – Premier Class Euro Distributing (A) (Hedged) – – – – – – – – Premier Class Euro Distributing (M) – – – – – – – – Premier Class Euro Distributing (M) (Hedged) – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) – – – – – – – – Premier Class GBP Accumulating – – – – – – – – Premier Class GBP Accumulating (Hedged) – – – – – – – – Premier Class GBP Distributing (A) – – – – – – – – Premier Class GBP Distributing (A) (Hedged) – – – – – – – – Premier Class GBP Distributing (M) – – – – – – – – Premier Class GBP Distributing (M) (Hedged) – – – – – – – – Premier Class GBP Distributing (Q) – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

275 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch 130/ Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Emerging 30 Global Equity International Emerging Markets Global Equity Congruix Asia Congruix Japan Legg Mason LMHK Markets Select Fund^6 Large Cap Fund Equity Fund Fund=/ Pacific Fund^ Equity Fund China Fund Equity Fund‡ (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Premier Class JPY Accumulating – – – – – – – – Premier Class JPY Accumulating (Hedged) – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – – – – – Premier (PF) Class US$ Accumulating – – – – – – – – Premier (PF) Class US$ Distributing (M) – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – – – – – – – – LM Class US$ Accumulating – – – 50 – – 58 50 LM Class US$ Distributing (M) – – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – – – – LM Class Euro Accumulating – – – – – – – – LM Class Euro Accumulating (Hedged) – – – – – – – – LM Class Euro Distributing (Q) – – – – – – – – LM Class GBP Accumulating – – – – – – – – LM Class GBP Accumulating (Hedged) – – – – – – – – LM Class GBP Distributing (M) – – – – – – – – LM Class JPY Accumulating – – – – – – – – LM Class JPY Accumulating (Hedged) – – – – – – – – Class A (G) US$ Accumulating – 50 – – – – – – Class A (G) US$ Distributing (A) – – – – – – – – Class A (G) US$ Distributing (D) – – – – – – – – Class B (G) US$ Accumulating – 65 – – – – – – Class B (G) US$ Distributing (A) – – – – – – – – Class B (G) US$ Distributing (D) – – – – – – – – Class L (G) US$ Accumulating – 51 – – – – – – Class L (G) US$ Distributing (A) – – – – – – – – Class L (G) US$ Distributing (D) – – – – – – – – Class GA US$ Accumulating – – – – – – – – Class GA Euro Accumulating – – – – – – – – Class GA Euro Distributing (A) – – – – – – – – Class GE US$ Accumulating – – – – – – – – Class GE US$ Distributing (A) – – – – – – – – Class GE Euro Accumulating – – – – – – – – Class GF US$ Accumulating – – – – – – – – Class GF Euro Accumulating – – – – – – – – Class GP US$ Accumulating – – – – – – – – Galleon Class – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

276 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch 130/ Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Emerging 30 Global Equity International Emerging Markets Global Equity Congruix Asia Congruix Japan Legg Mason LMHK Markets Select Fund^6 Large Cap Fund Equity Fund Fund=/ Pacific Fund^ Equity Fund China Fund Equity Fund‡ (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) February 28, 2011 Number of Redeemable Participating Shares in Issue: (in 000’s) Premier Class JPY Accumulating – – – – – – – – Premier Class JPY Accumulating (Hedged) – – – – – – – – Premier Class SEK Accumulating (Hedged) – – – – – – – – Premier Class SGD Accumulating (Hedged) – – – – – – – – Premier (PF) Class US$ Accumulating – – – – – – – – Premier (PF) Class US$ Distributing (M) – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) – – – – – – – – LM Class US$ Accumulating – – – 50 – – 58 50 LM Class US$ Distributing (M) – – – – – – – – LM Class US$ Distributing (Q) (Hedged) – – – – – – – – LM Class AUD Distributing (M) (Hedged) – – – – – – – – LM Class Euro Accumulating – – – – – – – – LM Class Euro Accumulating (Hedged) – – – – – – – – LM Class Euro Distributing (Q) – – – – – – – – LM Class GBP Accumulating – – – – – – – – LM Class GBP Accumulating (Hedged) – – – – – – – – LM Class GBP Distributing (M) – – – – – – – – LM Class JPY Accumulating – – – – – – – – LM Class JPY Accumulating (Hedged) – – – – – – – – Class A (G) US$ Accumulating – 50 – – – – – – Class A (G) US$ Distributing (A) – – – – – – – – Class A (G) US$ Distributing (D) – – – – – – – – Class B (G) US$ Accumulating – 65 – – – – – – Class B (G) US$ Distributing (A) – – – – – – – – Class B (G) US$ Distributing (D) – – – – – – – – Class L (G) US$ Accumulating – 51 – – – – – – Class L (G) US$ Distributing (A) – – – – – – – – Class L (G) US$ Distributing (D) – – – – – – – – Class GA US$ Accumulating – – – – – – – – Class GA Euro Accumulating – – – – – – – – Class GA Euro Distributing (A) – – – – – – – – Class GE US$ Accumulating – – – – – – – – Class GE US$ Distributing (A) – – – – – – – – Class GE Euro Accumulating – – – – – – – – Class GF US$ Accumulating – – – – – – – – Class GF Euro Accumulating – – – – – – – – Class GP US$ Accumulating – – – – – – – – Galleon Class – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

277 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Western Asset Legg Mason Western Asset Legg Mason Western Western Asset Legg Mason Western Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Strategic Income Global Multi Western Asset Emerging Markets Asset Global High US Short-Term Asset US Adjustable Inflation Opportunities Global Blue Chip Fund Fund Bond Fund Bond Fund Fund Strategy Fund US High Yield Fund Bond Fund Yield Fund Government Fund Rate Fund Management Fund Fund Bond Fund February 28, 2011 Net Asset Value Per Share: Class A US$ Accumulating (USD) 105.62 105.41 119.41 – 113.87 126.01 119.58 129.15 123.04 112.51 97.01 116.62 126.83 108.10 Class A US$ Distributing (A) (USD) – – – – – – – – – – – 107.14 – – Class A US$ Distributing (D) (USD) 1.00 92.83 103.25 120.04 92.72 124.06 85.70 114.77 87.30 101.43 – – 115.42 – Class A US$ Distributing (M) (USD) – – – – 97.87 105.20 103.65 103.90 96.82 – – – 106.29 104.74 Class A US$ Distributing (S) (USD) – – – – – – – – – – – – – – Class A AUD Distributing (M) (Hedged) (AUD) – – – – – – – – 110.78 – – – – – Class A Euro Accumulating (EUR) – – – – – – – – – – – – 145.14 – Class A Euro Accumulating (Hedged) (EUR) – – – – 113.50 123.22 – 109.79 – – – – – 106.68 Class A Euro Distributing (A) (EUR) – – – – – – – – – – – – – – Class A Euro Distributing (A) (Hedged) (EUR) – – – – – – – – – – – – – – Class A Euro Distributing (D) (EUR) – – – 87.61 – – – – – – – – – – Class A Euro Distributing (M) (Hedged) (EUR) – – – – 117.92 101.39 – – – – – – – – Class A Euro Distributing (S) (Hedged) (EUR) – – – – – – – – – – – – – – Class A GBP Accumulating (Hedged) (GBP) – – – – – – – – – – – – – 105.62 Class A GBP Distributing (A) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (A) (Hedged) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (D) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (D) (Hedged) (GBP) – – – – – – – 102.65 – – – – – – Class A GBP Distributing (M) (GBP) – – – – – – – – – – – – 100.28 – Class A GBP Distributing (M) (Hedged) (GBP) – – – – – 109.57 102.15 – – – – – – – Class A GBP Distributing (S) (Hedged) (GBP) – – – – – – – – – – – – – – Class A (PF) US$ Accumulating (USD) – – – – – – – – – – – – – – Class A (PF) US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class A SGD Accumulating (Hedged) (SGD) – – – – – – – – – – – – 1.22 – Class A SGD Accumulating (SGD) – – – – – – – – – – – – – – Class A SGD Distributing (Q) (SGD) – – – – – – – – – – – – 0.97 – Class A SGD Distributing (Q) (Hedged) (SGD) – – – – – 1.17 – 0.99 1.02 – – – 1.00 – Class B US$ Accumulating (USD) 102.48 103.84 115.58 – 112.22 121.18 121.62 125.54 124.18 108.28 – 110.09 125.92 – Class B US$ Distributing (A) (USD) – – – – – – – – – – – 110.91 – – Class B US$ Distributing (D) (USD) 1.00 92.84 103.11 119.32 92.72 124.08 85.73 114.74 87.16 101.49 90.46 – 115.37 – Class B US$ Distributing (M) (USD) – – – – – – – – – – – – – 104.57 Class B US$ Distributing (S) (USD) – – – – – – – – – – – – – – Class C US$ Accumulating (USD) 101.96 103.21 114.58 – 111.61 120.42 120.59 123.90 123.83 107.22 95.04 100.44 124.77 107.17 Class C US$ Distributing (A) (USD) – – – – – – – – – – – 106.84 – – Class C US$ Distributing (D) (USD) 1.00 92.87 103.97 118.80 92.70 124.07 85.74 114.70 86.92 101.42 89.90 – 115.46 – Class C US$ Distributing (M) (USD) – – – – – – – – – – – – – 104.53 Class C US$ Distributing (S) (USD) – – – – – – – – – – – – – – Class E US$ Accumulating (USD) – – – – – 107.00 115.24 – 114.81 – – – 108.91 101.99 Class E US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class E US$ Distributing (D) (USD) – – – – – 103.33 107.15 98.05 107.02 – – – 106.12 100.72 Class E US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class E Euro Accumulating (EUR) – – – – – – – – – – – – – – Class F US$ Accumulating (USD) – – – – – 109.29 103.20 106.17 102.78 – – – 110.82 103.30 Class F US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class F US$ Distributing (D) (USD) – – – – – 103.33 102.22 – 101.84 – – – 106.12 100.55 Class F US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class F Euro Accumulating (EUR) – – – – – 110.46 – – – – – – – – Class F Euro Distributing (Q) (EUR) – – – 99.92 – – – – – – – – – – Class F (PF) US$ Accumulating (USD) – – – – – – – – – – – – – – Class F (PF) US$ Distributing (M) (USD) – – – – – – – – – – – – – – Premier Class US$ Accumulating (USD) – – 101.30 – – 128.59 103.56 169.54 132.05 – – – 128.78 109.61 Premier Class US$ Distributing (A) (USD) – – – – – – – – – – – – – – Premier Class US$ Distributing (D) (USD) – – – – – 104.48 106.92 – – – – – 103.49 – Premier Class US$ Distributing (M) (USD) – – – – – 128.56 – – – – – – – 104.77 Premier Class AUD Distributing (A) (Hedged) (AUD) – – – – – – – – – – – – – – Premier Class Euro Accumulating (EUR) – – – 100.11 – – – – – – – – 94.16 – Premier Class Euro Accumulating (Hedged) (EUR) – – – – – 110.82 – 106.85 – – – – – 111.15 Premier Class Euro Distributing (A) (Hedged) (EUR) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (EUR) – – – – – – – – – – – – 93.17 – Premier Class Euro Distributing (M) (Hedged) (EUR) – – – – – – – – – – – – – 104.61 Premier Class Euro Distributing (Q) (Hedged) (EUR) – – – – – – – – – – – – – – Premier Class GBP Accumulating (GBP) – – – – – – – – – – – – – – Premier Class GBP Accumulating (Hedged) (GBP) – – – – – 102.07 – – – – – – – 109.39 Premier Class GBP Distributing (A) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (GBP) – – – – – – – – – – – – 97.91 – Premier Class GBP Distributing (M) (Hedged) (GBP) – – – – – 106.28 – – – – – – – 104.94 Premier Class GBP Distributing (Q) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – 101.87 – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

278 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Western Asset Legg Mason Western Asset Legg Mason Western Western Asset Legg Mason Western Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Strategic Income Global Multi Western Asset Emerging Markets Asset Global High US Short-Term Asset US Adjustable Inflation Opportunities Global Blue Chip Fund Fund Bond Fund Bond Fund Fund Strategy Fund US High Yield Fund Bond Fund Yield Fund Government Fund Rate Fund Management Fund Fund Bond Fund February 28, 2011 Net Asset Value Per Share: Class A US$ Accumulating (USD) 105.62 105.41 119.41 – 113.87 126.01 119.58 129.15 123.04 112.51 97.01 116.62 126.83 108.10 Class A US$ Distributing (A) (USD) – – – – – – – – – – – 107.14 – – Class A US$ Distributing (D) (USD) 1.00 92.83 103.25 120.04 92.72 124.06 85.70 114.77 87.30 101.43 – – 115.42 – Class A US$ Distributing (M) (USD) – – – – 97.87 105.20 103.65 103.90 96.82 – – – 106.29 104.74 Class A US$ Distributing (S) (USD) – – – – – – – – – – – – – – Class A AUD Distributing (M) (Hedged) (AUD) – – – – – – – – 110.78 – – – – – Class A Euro Accumulating (EUR) – – – – – – – – – – – – 145.14 – Class A Euro Accumulating (Hedged) (EUR) – – – – 113.50 123.22 – 109.79 – – – – – 106.68 Class A Euro Distributing (A) (EUR) – – – – – – – – – – – – – – Class A Euro Distributing (A) (Hedged) (EUR) – – – – – – – – – – – – – – Class A Euro Distributing (D) (EUR) – – – 87.61 – – – – – – – – – – Class A Euro Distributing (M) (Hedged) (EUR) – – – – 117.92 101.39 – – – – – – – – Class A Euro Distributing (S) (Hedged) (EUR) – – – – – – – – – – – – – – Class A GBP Accumulating (Hedged) (GBP) – – – – – – – – – – – – – 105.62 Class A GBP Distributing (A) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (A) (Hedged) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (D) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (D) (Hedged) (GBP) – – – – – – – 102.65 – – – – – – Class A GBP Distributing (M) (GBP) – – – – – – – – – – – – 100.28 – Class A GBP Distributing (M) (Hedged) (GBP) – – – – – 109.57 102.15 – – – – – – – Class A GBP Distributing (S) (Hedged) (GBP) – – – – – – – – – – – – – – Class A (PF) US$ Accumulating (USD) – – – – – – – – – – – – – – Class A (PF) US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class A SGD Accumulating (Hedged) (SGD) – – – – – – – – – – – – 1.22 – Class A SGD Accumulating (SGD) – – – – – – – – – – – – – – Class A SGD Distributing (Q) (SGD) – – – – – – – – – – – – 0.97 – Class A SGD Distributing (Q) (Hedged) (SGD) – – – – – 1.17 – 0.99 1.02 – – – 1.00 – Class B US$ Accumulating (USD) 102.48 103.84 115.58 – 112.22 121.18 121.62 125.54 124.18 108.28 – 110.09 125.92 – Class B US$ Distributing (A) (USD) – – – – – – – – – – – 110.91 – – Class B US$ Distributing (D) (USD) 1.00 92.84 103.11 119.32 92.72 124.08 85.73 114.74 87.16 101.49 90.46 – 115.37 – Class B US$ Distributing (M) (USD) – – – – – – – – – – – – – 104.57 Class B US$ Distributing (S) (USD) – – – – – – – – – – – – – – Class C US$ Accumulating (USD) 101.96 103.21 114.58 – 111.61 120.42 120.59 123.90 123.83 107.22 95.04 100.44 124.77 107.17 Class C US$ Distributing (A) (USD) – – – – – – – – – – – 106.84 – – Class C US$ Distributing (D) (USD) 1.00 92.87 103.97 118.80 92.70 124.07 85.74 114.70 86.92 101.42 89.90 – 115.46 – Class C US$ Distributing (M) (USD) – – – – – – – – – – – – – 104.53 Class C US$ Distributing (S) (USD) – – – – – – – – – – – – – – Class E US$ Accumulating (USD) – – – – – 107.00 115.24 – 114.81 – – – 108.91 101.99 Class E US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class E US$ Distributing (D) (USD) – – – – – 103.33 107.15 98.05 107.02 – – – 106.12 100.72 Class E US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class E Euro Accumulating (EUR) – – – – – – – – – – – – – – Class F US$ Accumulating (USD) – – – – – 109.29 103.20 106.17 102.78 – – – 110.82 103.30 Class F US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class F US$ Distributing (D) (USD) – – – – – 103.33 102.22 – 101.84 – – – 106.12 100.55 Class F US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class F Euro Accumulating (EUR) – – – – – 110.46 – – – – – – – – Class F Euro Distributing (Q) (EUR) – – – 99.92 – – – – – – – – – – Class F (PF) US$ Accumulating (USD) – – – – – – – – – – – – – – Class F (PF) US$ Distributing (M) (USD) – – – – – – – – – – – – – – Premier Class US$ Accumulating (USD) – – 101.30 – – 128.59 103.56 169.54 132.05 – – – 128.78 109.61 Premier Class US$ Distributing (A) (USD) – – – – – – – – – – – – – – Premier Class US$ Distributing (D) (USD) – – – – – 104.48 106.92 – – – – – 103.49 – Premier Class US$ Distributing (M) (USD) – – – – – 128.56 – – – – – – – 104.77 Premier Class AUD Distributing (A) (Hedged) (AUD) – – – – – – – – – – – – – – Premier Class Euro Accumulating (EUR) – – – 100.11 – – – – – – – – 94.16 – Premier Class Euro Accumulating (Hedged) (EUR) – – – – – 110.82 – 106.85 – – – – – 111.15 Premier Class Euro Distributing (A) (Hedged) (EUR) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (EUR) – – – – – – – – – – – – 93.17 – Premier Class Euro Distributing (M) (Hedged) (EUR) – – – – – – – – – – – – – 104.61 Premier Class Euro Distributing (Q) (Hedged) (EUR) – – – – – – – – – – – – – – Premier Class GBP Accumulating (GBP) – – – – – – – – – – – – – – Premier Class GBP Accumulating (Hedged) (GBP) – – – – – 102.07 – – – – – – – 109.39 Premier Class GBP Distributing (A) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (GBP) – – – – – – – – – – – – 97.91 – Premier Class GBP Distributing (M) (Hedged) (GBP) – – – – – 106.28 – – – – – – – 104.94 Premier Class GBP Distributing (Q) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – 101.87 – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

279 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Western Asset Legg Mason Western Asset Legg Mason Western Western Asset Legg Mason Western Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Strategic Income Global Multi Western Asset Emerging Markets Asset Global High US Short-Term Asset US Adjustable Inflation Opportunities Global Blue Chip Fund Fund Bond Fund Bond Fund Fund Strategy Fund US High Yield Fund Bond Fund Yield Fund Government Fund Rate Fund Management Fund Fund Bond Fund February 28, 2011 Net Asset Value Per Share: Premier Class JPY Accumulating (JPY) – – – – – 10,092.84 – – – – – – – – Premier Class JPY Accumulating (Hedged) (JPY) – – – – – – – – – – – – – – Premier Class SEK Accumulating (Hedged) (SEK) – – – – – 102.30 – – – – – – – – Premier Class SGD Accumulating (Hedged) (SGD) – – – – – – – – – – – – – – Premier (PF) Class US$ Accumulating (USD) – – – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) (USD) – – – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) (GBP) – – – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) (GBP) – – – – – – – – – – – – – – LM Class US$ Accumulating (USD) – – – – – 100.47 105.09 96.23 – – – – 129.66 – LM Class US$ Distributing (M) (USD) – – 100.45 – – – 94.66 – – – – – – – LM Class US$ Distributing (Q) (Hedged) (USD) – – – – – – – – – – – – – – LM Class AUD Distributing (M) (Hedged) (AUD) – – – – – 102.22 – – – – – – – – LM Class Euro Accumulating (EUR) – – – – – – – – – – – – – – LM Class Euro Accumulating (Hedged) (EUR) – – – – – 100.90 – – – – – – – – LM Class Euro Distributing (Q) (EUR) – – – – – – – – – – – – – – LM Class GBP Accumulating (GBP) – – – – – – – – – – – – – – LM Class GBP Accumulating (Hedged) (GBP) – – 101.12 – – 102.17 105.10 – – – – – – – LM Class GBP Distributing (M) (GBP) – – – – – – – – – – – – – – LM Class JPY Accumulating (Hedged) (JPY) – – – – – 10,021.24 – – – – – – – – LM Class JPY Accumulating (JPY) – – – – – – – – – – – – – – Class A (G) US$ Accumulating (USD) 105.84 – 119.38 – 113.65 – 120.50 130.75 123.52 112.63 96.80 118.78 – – Class A (G) US$ Distributing (A) (USD) – – – – – – – – – – – 103.41 – – Class A (G) US$ Distributing (D) (USD) 1.00 – 104.07 – 94.38 – 85.05 102.86 87.32 101.47 90.70 – – – Class B (G) US$ Accumulating (USD) 105.83 – 117.10 – 111.54 – 118.19 128.25 121.13 110.45 94.97 116.52 – – Class B (G) US$ Distributing (A) (USD) – – – – – – – – – – – 101.36 – – Class B (G) US$ Distributing (D) (USD) 1.00 – 104.05 – 94.49 – 85.05 102.86 87.30 101.46 89.95 – – – Class L (G) US$ Accumulating (USD) – – 117.10 – 111.55 – 118.16 128.24 121.16 110.45 94.99 116.28 – – Class L (G) US$ Distributing (A) (USD) – – – – – – – – – – – 97.36 – – Class L (G) US$ Distributing (D) (USD) 1.00 – 104.05 – 94.42 – 85.05 102.85 87.30 101.45 89.98 – – – Class GA US$ Accumulating (USD) – 101.63 – – – – – – – – – – – – Class GA Euro Accumulating (EUR) – – – 97.20 – – – – – – – – – – Class GA Euro Distributing (A) (EUR) – – – 97.20 – – – – – – – – – – Class GE US$ Accumulating (USD) – 101.32 – – – – – – – – – – – – Class GE US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class GE Euro Accumulating (EUR) – – – 96.91 – – – – – – – – – – Class GF US$ Accumulating (USD) – – – – – – 104.82 – – – – – – – Class GF Euro Accumulating (EUR) – – – 100.00 – – – – – – – – – – Class GP US$ Accumulating (USD) – – – – – – – – – – – – – – Galleon Class (USD) – – – – – – – – – – – – – –

Amounts designated as "-" are either $0/E0/¥0/£0 or less than $1,000/E1,000/¥1,000/£1,000. NAV per share information represents Redeemable Participating Shares 6 Effective January 20, 2010, the Fund ceased trading. G Effective March 25, 2010, the Fund commenced trading. I Effective May 20, 2010, the Fund commenced trading. V Effective June 25, 2010, the Fund commenced trading. ‡ Effective August 2, 2010, the Fund commenced trading. ? Effective August 24, 2010, the Fund ceased trading. o¨ Effective October 1, 2010, the Fund commenced trading. ± Effective November 19, 2010, the Fund commenced trading. Y´ Effective November 30, 2010, the Fund ceased trading. µ Effective December 3, 2010, the Fund commenced trading. =/ Effective December 29, 2010, the Fund commenced trading. Þ Effective February 28, 2011, the Fund ceased trading.

The accompanying notes are an integral part of the Financial Statements

280 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Western Asset Legg Mason Western Asset Legg Mason Western Western Asset Legg Mason Western Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Strategic Income Global Multi Western Asset Emerging Markets Asset Global High US Short-Term Asset US Adjustable Inflation Opportunities Global Blue Chip Fund Fund Bond Fund Bond Fund Fund Strategy Fund US High Yield Fund Bond Fund Yield Fund Government Fund Rate Fund Management Fund Fund Bond Fund February 28, 2011 Net Asset Value Per Share: Premier Class JPY Accumulating (JPY) – – – – – 10,092.84 – – – – – – – – Premier Class JPY Accumulating (Hedged) (JPY) – – – – – – – – – – – – – – Premier Class SEK Accumulating (Hedged) (SEK) – – – – – 102.30 – – – – – – – – Premier Class SGD Accumulating (Hedged) (SGD) – – – – – – – – – – – – – – Premier (PF) Class US$ Accumulating (USD) – – – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) (USD) – – – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) (GBP) – – – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) (GBP) – – – – – – – – – – – – – – LM Class US$ Accumulating (USD) – – – – – 100.47 105.09 96.23 – – – – 129.66 – LM Class US$ Distributing (M) (USD) – – 100.45 – – – 94.66 – – – – – – – LM Class US$ Distributing (Q) (Hedged) (USD) – – – – – – – – – – – – – – LM Class AUD Distributing (M) (Hedged) (AUD) – – – – – 102.22 – – – – – – – – LM Class Euro Accumulating (EUR) – – – – – – – – – – – – – – LM Class Euro Accumulating (Hedged) (EUR) – – – – – 100.90 – – – – – – – – LM Class Euro Distributing (Q) (EUR) – – – – – – – – – – – – – – LM Class GBP Accumulating (GBP) – – – – – – – – – – – – – – LM Class GBP Accumulating (Hedged) (GBP) – – 101.12 – – 102.17 105.10 – – – – – – – LM Class GBP Distributing (M) (GBP) – – – – – – – – – – – – – – LM Class JPY Accumulating (Hedged) (JPY) – – – – – 10,021.24 – – – – – – – – LM Class JPY Accumulating (JPY) – – – – – – – – – – – – – – Class A (G) US$ Accumulating (USD) 105.84 – 119.38 – 113.65 – 120.50 130.75 123.52 112.63 96.80 118.78 – – Class A (G) US$ Distributing (A) (USD) – – – – – – – – – – – 103.41 – – Class A (G) US$ Distributing (D) (USD) 1.00 – 104.07 – 94.38 – 85.05 102.86 87.32 101.47 90.70 – – – Class B (G) US$ Accumulating (USD) 105.83 – 117.10 – 111.54 – 118.19 128.25 121.13 110.45 94.97 116.52 – – Class B (G) US$ Distributing (A) (USD) – – – – – – – – – – – 101.36 – – Class B (G) US$ Distributing (D) (USD) 1.00 – 104.05 – 94.49 – 85.05 102.86 87.30 101.46 89.95 – – – Class L (G) US$ Accumulating (USD) – – 117.10 – 111.55 – 118.16 128.24 121.16 110.45 94.99 116.28 – – Class L (G) US$ Distributing (A) (USD) – – – – – – – – – – – 97.36 – – Class L (G) US$ Distributing (D) (USD) 1.00 – 104.05 – 94.42 – 85.05 102.85 87.30 101.45 89.98 – – – Class GA US$ Accumulating (USD) – 101.63 – – – – – – – – – – – – Class GA Euro Accumulating (EUR) – – – 97.20 – – – – – – – – – – Class GA Euro Distributing (A) (EUR) – – – 97.20 – – – – – – – – – – Class GE US$ Accumulating (USD) – 101.32 – – – – – – – – – – – – Class GE US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class GE Euro Accumulating (EUR) – – – 96.91 – – – – – – – – – – Class GF US$ Accumulating (USD) – – – – – – 104.82 – – – – – – – Class GF Euro Accumulating (EUR) – – – 100.00 – – – – – – – – – – Class GP US$ Accumulating (USD) – – – – – – – – – – – – – – Galleon Class (USD) – – – – – – – – – – – – – –

Amounts designated as "-" are either $0/E0/¥0/£0 or less than $1,000/E1,000/¥1,000/£1,000. NAV per share information represents Redeemable Participating Shares 6 Effective January 20, 2010, the Fund ceased trading. G Effective March 25, 2010, the Fund commenced trading. I Effective May 20, 2010, the Fund commenced trading. V Effective June 25, 2010, the Fund commenced trading. ‡ Effective August 2, 2010, the Fund commenced trading. ? Effective August 24, 2010, the Fund ceased trading. o¨ Effective October 1, 2010, the Fund commenced trading. ± Effective November 19, 2010, the Fund commenced trading. Y´ Effective November 30, 2010, the Fund ceased trading. µ Effective December 3, 2010, the Fund commenced trading. =/ Effective December 29, 2010, the Fund commenced trading. Þ Effective February 28, 2011, the Fund ceased trading.

The accompanying notes are an integral part of the Financial Statements

281 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Global Credit Legg Mason Western Legg Mason Western Western Asset UK£ Inflation- Western Asset UK£ Western Asset Legg Mason Western Legg Mason Brandywine Global Western Asset Capital Capital Brazil Bond Absolute Return Asset UK£ Core Plus Asset Global Core Global Inflation- Linked Plus Long Duration Global Credit Asset Euro High Brandywine Global Opportunistic Fixed Brazil Equity Management Management Fund^GG Fund^I Bond Fund^± Plus Bond Fund^µ Linked Fund± Fund^± Fund^± Fund± Yield Fund^µ Fixed Income Fund Income Fund^V Fund^o¨ Value Fund Growth Fund February 28, 2011 Net Asset Value Per Share: Class A US$ Accumulating (USD) – 101.76 – – – – – – – 129.14 – – 60.72 65.71 Class A US$ Distributing (A) (USD) – – – – – – – – – – – 96.55 115.36 81.85 Class A US$ Distributing (D) (USD) – – – 100.73 99.05 – – 98.30 – – – – – – Class A US$ Distributing (M) (USD) – 101.73 – – – – – – – 100.36 108.02 – – – Class A US$ Distributing (S) (USD) – – – – – – – – – 123.38 – – – – Class A AUD Distributing (M) (Hedged) (AUD) – – – – – – – – – – – – – – Class A Euro Accumulating (EUR) – – – – – – – – – – – – 55.67 70.50 Class A Euro Accumulating (Hedged) (EUR) – – – – – – – – – 116.30 – – – – Class A Euro Distributing (A) (EUR) – – – – – – – – – – – – – – Class A Euro Distributing (A) (Hedged) (EUR) – – – – – – – – – – – – – – Class A Euro Distributing (D) (EUR) – – – – – – – – 104.01 – – – – – Class A Euro Distributing (M) (Hedged) (EUR) – – – – – – – – – – – – – – Class A Euro Distributing (S) (Hedged) (EUR) – – – – – – – – – 96.18 – – – – Class A GBP Accumulating (Hedged) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (A) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (A) (Hedged) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (D) (GBP) – – 99.59 – – 101.03 99.05 – – – – – – – Class A GBP Distributing (D) (Hedged) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (M) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (M) (Hedged) (GBP) – 101.83 – – – – – – – – – – – – Class A GBP Distributing (S) (Hedged) (GBP) – – – – – – – – – 99.86 – – – – Class A (PF) US$ Accumulating (USD) – 101.98 – – – – – – – – – – – – Class A (PF) US$ Distributing (M) (USD) – 101.83 – – – – – – – – – – – – Class A SGD Accumulating (Hedged) (SGD) – – – – – – – – – – – – – – Class A SGD Accumulating (SGD) – – – – – – – – – – – – 0.48 – Class A SGD Distributing (Q) (SGD) – – – – – – – – – – – – – – Class A SGD Distributing (Q) (Hedged) (SGD) – – – – – – – – – – – – – – Class B US$ Accumulating (USD) – 101.11 – – – – – – – 120.55 – – 64.92 63.53 Class B US$ Distributing (A) (USD) – – – – – – – – – – – – 111.42 78.98 Class B US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class B US$ Distributing (M) (USD) – 101.11 – – – – – – – – – – – – Class B US$ Distributing (S) (USD) – – – – – – – – – 123.11 – – – – Class C US$ Accumulating (USD) – 100.82 – – – – – – – 119.64 – – 64.93 56.78 Class C US$ Distributing (A) (USD) – – – – – – – – – – – – 110.55 78.33 Class C US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class C US$ Distributing (M) (USD) – 100.82 – – – – – – – – – – – – Class C US$ Distributing (S) (USD) – – – – – – – – – 122.82 – – – – Class E US$ Accumulating (USD) – 100.82 – – – – – – – – – – – – Class E US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class E US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class E US$ Distributing (M) (USD) – 102.01 – – – – – – – – – – – – Class E Euro Accumulating (EUR) – – – – – – – – – – – – – – Class F US$ Accumulating (USD) – 101.43 – – – – – – – – – – 111.93 – Class F US$ Distributing (A) (USD) – – – – – – – – – – – – 118.73 – Class F US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class F US$ Distributing (M) (USD) – 101.43 – – – – – – – – – – – – Class F Euro Accumulating (EUR) – – – – – – – – – – – – – – Class F Euro Distributing (Q) (EUR) – – – – – – – – – – – – – – Class F (PF) US$ Accumulating (USD) – 101.70 – – – – – – – – – – – – Class F (PF) US$ Distributing (M) (USD) – 101.70 – – – – – – – – – – – – Premier Class US$ Accumulating (USD) 115.56 – – 101.61 99.79 – – – – – – – 97.59 83.91 Premier Class US$ Distributing (A) (USD) – – – – – – – – – – – – – – Premier Class US$ Distributing (D) (USD) – – – – – – – – – – – – – – Premier Class US$ Distributing (M) (USD) – – – – – – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) (AUD) – – – – – – – – – – – – – – Premier Class Euro Accumulating (EUR) – – – – – – – – – 99.70 – – – – Premier Class Euro Accumulating (Hedged) (EUR) – 100.54 – – – – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) (EUR) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (EUR) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) (EUR) – – – – – – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) (EUR) – – – 101.52 – – – – – – – – – – Premier Class GBP Accumulating (GBP) – – 100.60 – – 101.88 – – – – – – – – Premier Class GBP Accumulating (Hedged) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) (GBP) – – – – – 101.68 – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

282 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Global Credit Legg Mason Western Legg Mason Western Western Asset UK£ Inflation- Western Asset UK£ Western Asset Legg Mason Western Legg Mason Brandywine Global Western Asset Capital Capital Brazil Bond Absolute Return Asset UK£ Core Plus Asset Global Core Global Inflation- Linked Plus Long Duration Global Credit Asset Euro High Brandywine Global Opportunistic Fixed Brazil Equity Management Management Fund^GG Fund^I Bond Fund^± Plus Bond Fund^µ Linked Fund± Fund^± Fund^± Fund± Yield Fund^µ Fixed Income Fund Income Fund^V Fund^o¨ Value Fund Growth Fund February 28, 2011 Net Asset Value Per Share: Class A US$ Accumulating (USD) – 101.76 – – – – – – – 129.14 – – 60.72 65.71 Class A US$ Distributing (A) (USD) – – – – – – – – – – – 96.55 115.36 81.85 Class A US$ Distributing (D) (USD) – – – 100.73 99.05 – – 98.30 – – – – – – Class A US$ Distributing (M) (USD) – 101.73 – – – – – – – 100.36 108.02 – – – Class A US$ Distributing (S) (USD) – – – – – – – – – 123.38 – – – – Class A AUD Distributing (M) (Hedged) (AUD) – – – – – – – – – – – – – – Class A Euro Accumulating (EUR) – – – – – – – – – – – – 55.67 70.50 Class A Euro Accumulating (Hedged) (EUR) – – – – – – – – – 116.30 – – – – Class A Euro Distributing (A) (EUR) – – – – – – – – – – – – – – Class A Euro Distributing (A) (Hedged) (EUR) – – – – – – – – – – – – – – Class A Euro Distributing (D) (EUR) – – – – – – – – 104.01 – – – – – Class A Euro Distributing (M) (Hedged) (EUR) – – – – – – – – – – – – – – Class A Euro Distributing (S) (Hedged) (EUR) – – – – – – – – – 96.18 – – – – Class A GBP Accumulating (Hedged) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (A) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (A) (Hedged) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (D) (GBP) – – 99.59 – – 101.03 99.05 – – – – – – – Class A GBP Distributing (D) (Hedged) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (M) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (M) (Hedged) (GBP) – 101.83 – – – – – – – – – – – – Class A GBP Distributing (S) (Hedged) (GBP) – – – – – – – – – 99.86 – – – – Class A (PF) US$ Accumulating (USD) – 101.98 – – – – – – – – – – – – Class A (PF) US$ Distributing (M) (USD) – 101.83 – – – – – – – – – – – – Class A SGD Accumulating (Hedged) (SGD) – – – – – – – – – – – – – – Class A SGD Accumulating (SGD) – – – – – – – – – – – – 0.48 – Class A SGD Distributing (Q) (SGD) – – – – – – – – – – – – – – Class A SGD Distributing (Q) (Hedged) (SGD) – – – – – – – – – – – – – – Class B US$ Accumulating (USD) – 101.11 – – – – – – – 120.55 – – 64.92 63.53 Class B US$ Distributing (A) (USD) – – – – – – – – – – – – 111.42 78.98 Class B US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class B US$ Distributing (M) (USD) – 101.11 – – – – – – – – – – – – Class B US$ Distributing (S) (USD) – – – – – – – – – 123.11 – – – – Class C US$ Accumulating (USD) – 100.82 – – – – – – – 119.64 – – 64.93 56.78 Class C US$ Distributing (A) (USD) – – – – – – – – – – – – 110.55 78.33 Class C US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class C US$ Distributing (M) (USD) – 100.82 – – – – – – – – – – – – Class C US$ Distributing (S) (USD) – – – – – – – – – 122.82 – – – – Class E US$ Accumulating (USD) – 100.82 – – – – – – – – – – – – Class E US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class E US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class E US$ Distributing (M) (USD) – 102.01 – – – – – – – – – – – – Class E Euro Accumulating (EUR) – – – – – – – – – – – – – – Class F US$ Accumulating (USD) – 101.43 – – – – – – – – – – 111.93 – Class F US$ Distributing (A) (USD) – – – – – – – – – – – – 118.73 – Class F US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class F US$ Distributing (M) (USD) – 101.43 – – – – – – – – – – – – Class F Euro Accumulating (EUR) – – – – – – – – – – – – – – Class F Euro Distributing (Q) (EUR) – – – – – – – – – – – – – – Class F (PF) US$ Accumulating (USD) – 101.70 – – – – – – – – – – – – Class F (PF) US$ Distributing (M) (USD) – 101.70 – – – – – – – – – – – – Premier Class US$ Accumulating (USD) 115.56 – – 101.61 99.79 – – – – – – – 97.59 83.91 Premier Class US$ Distributing (A) (USD) – – – – – – – – – – – – – – Premier Class US$ Distributing (D) (USD) – – – – – – – – – – – – – – Premier Class US$ Distributing (M) (USD) – – – – – – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) (AUD) – – – – – – – – – – – – – – Premier Class Euro Accumulating (EUR) – – – – – – – – – 99.70 – – – – Premier Class Euro Accumulating (Hedged) (EUR) – 100.54 – – – – – – – – – – – – Premier Class Euro Distributing (A) (Hedged) (EUR) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (EUR) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) (EUR) – – – – – – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) (EUR) – – – 101.52 – – – – – – – – – – Premier Class GBP Accumulating (GBP) – – 100.60 – – 101.88 – – – – – – – – Premier Class GBP Accumulating (Hedged) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) (GBP) – – – – – 101.68 – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

283 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Global Credit Legg Mason Western Legg Mason Western Western Asset UK£ Inflation- Western Asset UK£ Western Asset Legg Mason Western Legg Mason Brandywine Global Western Asset Capital Capital Brazil Bond Absolute Return Asset UK£ Core Plus Asset Global Core Global Inflation- Linked Plus Long Duration Global Credit Asset Euro High Brandywine Global Opportunistic Fixed Brazil Equity Management Management Fund^GG Fund^I Bond Fund^± Plus Bond Fund^µ Linked Fund± Fund^± Fund^± Fund± Yield Fund^µ Fixed Income Fund Income Fund^V Fund^o¨ Value Fund Growth Fund February 28, 2011 Net Asset Value Per Share: Premier Class JPY Accumulating (JPY) – – – – – – – – – – – – – – Premier Class JPY Accumulating (Hedged) (JPY) – – – – 9,958.21 – – – – – – – – – Premier Class SEK Accumulating (Hedged) (SEK) – – – – – – – – – – – – – – Premier Class SGD Accumulating (Hedged) (SGD) – – – – 1.00 – – – – – – – – – Premier (PF) Class US$ Accumulating (USD) – 102.44 – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) (USD) – 102.43 – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) (GBP) – 102.45 – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) (GBP) – 102.57 – – – – – – – – – – – – LM Class US$ Accumulating (USD) 115.40 – – 99.12 – – – 100.71 – 101.98 – 96.92 117.70 – LM Class US$ Distributing (M) (USD) – – – – – – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) (USD) – – – – – – – – 105.65 – – – – – LM Class AUD Distributing (M) (Hedged) (AUD) – – – – – – – – – – – – – – LM Class Euro Accumulating (EUR) – – – – – – – – 106.11 – – – 113.64 – LM Class Euro Accumulating (Hedged) (EUR) – – – 99.10 – – – – – 97.61 – – – – LM Class Euro Distributing (Q) (EUR) – – – – – – – – 105.69 – – – – – LM Class GBP Accumulating (GBP) – – 100.68 – – 101.96 100.22 – – – – – – – LM Class GBP Accumulating (Hedged) (GBP) – – – – 99.93 – – – – – – – – – LM Class GBP Distributing (M) (GBP) – – – – – 101.22 99.19 – – – – – – – LM Class JPY Accumulating (Hedged) (JPY) – – – 9,894.70 – – – – – 9,653.89 – – – – LM Class JPY Accumulating (JPY) – – – – – – – – – – – – 11,194.86 – Class A (G) US$ Accumulating (USD) – – – – – – – – – – – – – – Class A (G) US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class A (G) US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class B (G) US$ Accumulating (USD) – – – – – – – – – – – – – – Class B (G) US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class B (G) US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class L (G) US$ Accumulating (USD) – – – – – – – – – – – – – – Class L (G) US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class L (G) US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class GA US$ Accumulating (USD) – – – – – – – – – – – – – – Class GA Euro Accumulating (EUR) – – – – – – – – – – – – – – Class GA Euro Distributing (A) (EUR) – – – – – – – – – – – – – – Class GE US$ Accumulating (USD) – – – – – – – – – – – – – – Class GE US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class GE Euro Accumulating (EUR) – – – – – – – – – – – – – – Class GF US$ Accumulating (USD) – – – – – – – – – – – – – – Class GF Euro Accumulating (EUR) – – – – – – – – – – – – – – Class GP US$ Accumulating (USD) – – – – – – – – – – – – – – Galleon Class (USD) – – – – – – – – – – – – 74.72 –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

284 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Global Credit Legg Mason Western Legg Mason Western Western Asset UK£ Inflation- Western Asset UK£ Western Asset Legg Mason Western Legg Mason Brandywine Global Western Asset Capital Capital Brazil Bond Absolute Return Asset UK£ Core Plus Asset Global Core Global Inflation- Linked Plus Long Duration Global Credit Asset Euro High Brandywine Global Opportunistic Fixed Brazil Equity Management Management Fund^GG Fund^I Bond Fund^± Plus Bond Fund^µ Linked Fund± Fund^± Fund^± Fund± Yield Fund^µ Fixed Income Fund Income Fund^V Fund^o¨ Value Fund Growth Fund February 28, 2011 Net Asset Value Per Share: Premier Class JPY Accumulating (JPY) – – – – – – – – – – – – – – Premier Class JPY Accumulating (Hedged) (JPY) – – – – 9,958.21 – – – – – – – – – Premier Class SEK Accumulating (Hedged) (SEK) – – – – – – – – – – – – – – Premier Class SGD Accumulating (Hedged) (SGD) – – – – 1.00 – – – – – – – – – Premier (PF) Class US$ Accumulating (USD) – 102.44 – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) (USD) – 102.43 – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) (GBP) – 102.45 – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) (GBP) – 102.57 – – – – – – – – – – – – LM Class US$ Accumulating (USD) 115.40 – – 99.12 – – – 100.71 – 101.98 – 96.92 117.70 – LM Class US$ Distributing (M) (USD) – – – – – – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) (USD) – – – – – – – – 105.65 – – – – – LM Class AUD Distributing (M) (Hedged) (AUD) – – – – – – – – – – – – – – LM Class Euro Accumulating (EUR) – – – – – – – – 106.11 – – – 113.64 – LM Class Euro Accumulating (Hedged) (EUR) – – – 99.10 – – – – – 97.61 – – – – LM Class Euro Distributing (Q) (EUR) – – – – – – – – 105.69 – – – – – LM Class GBP Accumulating (GBP) – – 100.68 – – 101.96 100.22 – – – – – – – LM Class GBP Accumulating (Hedged) (GBP) – – – – 99.93 – – – – – – – – – LM Class GBP Distributing (M) (GBP) – – – – – 101.22 99.19 – – – – – – – LM Class JPY Accumulating (Hedged) (JPY) – – – 9,894.70 – – – – – 9,653.89 – – – – LM Class JPY Accumulating (JPY) – – – – – – – – – – – – 11,194.86 – Class A (G) US$ Accumulating (USD) – – – – – – – – – – – – – – Class A (G) US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class A (G) US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class B (G) US$ Accumulating (USD) – – – – – – – – – – – – – – Class B (G) US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class B (G) US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class L (G) US$ Accumulating (USD) – – – – – – – – – – – – – – Class L (G) US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class L (G) US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class GA US$ Accumulating (USD) – – – – – – – – – – – – – – Class GA Euro Accumulating (EUR) – – – – – – – – – – – – – – Class GA Euro Distributing (A) (EUR) – – – – – – – – – – – – – – Class GE US$ Accumulating (USD) – – – – – – – – – – – – – – Class GE US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class GE Euro Accumulating (EUR) – – – – – – – – – – – – – – Class GF US$ Accumulating (USD) – – – – – – – – – – – – – – Class GF Euro Accumulating (EUR) – – – – – – – – – – – – – – Class GP US$ Accumulating (USD) – – – – – – – – – – – – – – Galleon Class (USD) – – – – – – – – – – – – 74.72 –

The accompanying notes are an integral part of the Financial Statements

285 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Capital ClearBridge ClearBridge Legg Mason ClearBridge Royce US Small Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Permal Legg Mason Batterymarch Legg Mason Management US Appreciation US Fundamental ClearBridge US Large US Aggressive Cap Opportunity Smaller Companies European Smaller Global Smaller Legg Mason PCM Global Absolute GC Global Equity European Equity Batterymarch Asia Opportunity Fund Fund Value Fund Cap Growth Fund Growth Fund Fund Fund Companies Fund^ Companies Fund US Equity Fund Fund Fund Fund Pacific Equity Fund February 28, 2011 Net Asset Value Per Share: Class A US$ Accumulating (USD) 109.28 100.42 92.71 101.40 100.15 104.53 114.20 – 135.84 – 105.42 78.76 72.62 108.75 Class A US$ Distributing (A) (USD) 208.88 100.35 92.43 101.44 100.17 317.58 193.65 – 133.15 – 105.30 89.94 165.72 210.64 Class A US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class A US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class A US$ Distributing (S) (USD) – – – – – – – – – – – – – – Class A AUD Distributing (M) (Hedged) (AUD) – – – – – – – – – – – – – – Class A Euro Accumulating (EUR) – 107.24 – 118.01 117.14 99.26 147.29 – – – – – 114.83 80.36 Class A Euro Accumulating (Hedged) (EUR) – – – – – – – – – – 102.00 – – – Class A Euro Distributing (A) (EUR) – – – – – – 100.26 131.79 – – – – 122.31 – Class A Euro Distributing (A) (Hedged) (EUR) – – – – – – – – – – 105.05 – – – Class A Euro Distributing (D) (EUR) – – – – – – – – – – – – – – Class A Euro Distributing (M) (Hedged) (EUR) – – – – – – – – – – – – – – Class A Euro Distributing (S) (Hedged) (EUR) – – – – – – – – – – – – – – Class A GBP Accumulating (Hedged) (GBP) – – – – – – – – – – 105.47 – – – Class A GBP Distributing (A) (GBP) – – – – – – 140.93 – – – – – – – Class A GBP Distributing (A) (Hedged) (GBP) – – – – – – – – – – 105.85 – – – Class A GBP Distributing (D) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (D) (Hedged) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (M) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (M) (Hedged) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (S) (Hedged) (GBP) – – – – – – – – – – – – – – Class A (PF) US$ Accumulating (USD) – – – – – – – – – – – – – – Class A (PF) US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class A SGD Accumulating (Hedged) (SGD) – – – – – – – – – – 1.02 – – – Class A SGD Accumulating (SGD) – – – – – 0.98 – – – – – – – – Class A SGD Distributing (Q) (SGD) – – – – – – – – – – – – – – Class A SGD Distributing (Q) (Hedged) (SGD) – – – – – – – – – – – – – – Class B US$ Accumulating (USD) – 96.16 97.08 98.01 102.48 114.63 117.70 – 132.17 – 104.75 79.14 70.80 79.11 Class B US$ Distributing (A) (USD) – 98.50 90.94 99.48 98.27 306.98 187.13 – – – 104.64 88.55 165.22 205.45 Class B US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class B US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class B US$ Distributing (S) (USD) – – – – – – – – – – – – – – Class C US$ Accumulating (USD) – 96.19 97.09 98.02 102.51 114.82 117.67 – 132.17 – 104.70 79.85 72.30 79.09 Class C US$ Distributing (A) (USD) – 98.49 90.95 99.49 98.27 304.69 186.19 – – – 104.49 88.58 163.69 204.35 Class C US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class C US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class C US$ Distributing (S) (USD) – – – – – – – – – – – – – – Class E US$ Accumulating (USD) – 115.01 – – 104.60 105.75 130.07 – 134.65 – 104.33 – – 112.07 Class E US$ Distributing (A) (USD) – 115.08 – – 104.61 105.74 130.04 – – – 104.49 – – 112.20 Class E US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class E US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class E Euro Accumulating (EUR) – – – – – 110.37 – – – – – – – 88.33 Class F US$ Accumulating (USD) – 116.67 – – 104.79 105.94 131.91 – – – 104.44 – – 91.45 Class F US$ Distributing (A) (USD) – 120.81 – – 104.79 105.94 141.51 – – – 105.92 – – 91.45 Class F US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class F US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class F Euro Accumulating (EUR) – – – – – – – – – – – – – – Class F Euro Distributing (Q) (EUR) – – – – – – – – – – – – – – Class F (PF) US$ Accumulating (USD) – – – – – – – – – – – – – – Class F (PF) US$ Distributing (M) (USD) – – – – – – – – – – – – – – Premier Class US$ Accumulating (USD) 105.49 116.18 – – 120.30 117.09 137.03 – – – 106.63 – – – Premier Class US$ Distributing (A) (USD) – 145.49 – – – – 98.64 – – – 106.43 – – – Premier Class US$ Distributing (D) (USD) – – – – – – – – – – – – – – Premier Class US$ Distributing (M) (USD) – – – – – – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) (AUD) – – – – – – – – – – 107.68 – – – Premier Class Euro Accumulating (EUR) – 105.61 – – 102.42 122.30 – – – – – – – – Premier Class Euro Accumulating (Hedged) (EUR) – – – – – – – – – – 105.55 – – – Premier Class Euro Distributing (A) (Hedged) (EUR) – – – – – – – – – – 106.06 – – – Premier Class Euro Distributing (M) (EUR) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) (EUR) – – – – – – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) (EUR) – – – – – – – – – – – – – – Premier Class GBP Accumulating (GBP) – – – – – – – – – – – – – – Premier Class GBP Accumulating (Hedged) (GBP) – – – – – – – – – – 105.12 – – – Premier Class GBP Distributing (A) (GBP) 124.54 – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) (GBP) – – – – – – – – – – 106.82 – – – Premier Class GBP Distributing (M) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

286 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Capital ClearBridge ClearBridge Legg Mason ClearBridge Royce US Small Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Permal Legg Mason Batterymarch Legg Mason Management US Appreciation US Fundamental ClearBridge US Large US Aggressive Cap Opportunity Smaller Companies European Smaller Global Smaller Legg Mason PCM Global Absolute GC Global Equity European Equity Batterymarch Asia Opportunity Fund Fund Value Fund Cap Growth Fund Growth Fund Fund Fund Companies Fund^ Companies Fund US Equity Fund Fund Fund Fund Pacific Equity Fund February 28, 2011 Net Asset Value Per Share: Class A US$ Accumulating (USD) 109.28 100.42 92.71 101.40 100.15 104.53 114.20 – 135.84 – 105.42 78.76 72.62 108.75 Class A US$ Distributing (A) (USD) 208.88 100.35 92.43 101.44 100.17 317.58 193.65 – 133.15 – 105.30 89.94 165.72 210.64 Class A US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class A US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class A US$ Distributing (S) (USD) – – – – – – – – – – – – – – Class A AUD Distributing (M) (Hedged) (AUD) – – – – – – – – – – – – – – Class A Euro Accumulating (EUR) – 107.24 – 118.01 117.14 99.26 147.29 – – – – – 114.83 80.36 Class A Euro Accumulating (Hedged) (EUR) – – – – – – – – – – 102.00 – – – Class A Euro Distributing (A) (EUR) – – – – – – 100.26 131.79 – – – – 122.31 – Class A Euro Distributing (A) (Hedged) (EUR) – – – – – – – – – – 105.05 – – – Class A Euro Distributing (D) (EUR) – – – – – – – – – – – – – – Class A Euro Distributing (M) (Hedged) (EUR) – – – – – – – – – – – – – – Class A Euro Distributing (S) (Hedged) (EUR) – – – – – – – – – – – – – – Class A GBP Accumulating (Hedged) (GBP) – – – – – – – – – – 105.47 – – – Class A GBP Distributing (A) (GBP) – – – – – – 140.93 – – – – – – – Class A GBP Distributing (A) (Hedged) (GBP) – – – – – – – – – – 105.85 – – – Class A GBP Distributing (D) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (D) (Hedged) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (M) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (M) (Hedged) (GBP) – – – – – – – – – – – – – – Class A GBP Distributing (S) (Hedged) (GBP) – – – – – – – – – – – – – – Class A (PF) US$ Accumulating (USD) – – – – – – – – – – – – – – Class A (PF) US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class A SGD Accumulating (Hedged) (SGD) – – – – – – – – – – 1.02 – – – Class A SGD Accumulating (SGD) – – – – – 0.98 – – – – – – – – Class A SGD Distributing (Q) (SGD) – – – – – – – – – – – – – – Class A SGD Distributing (Q) (Hedged) (SGD) – – – – – – – – – – – – – – Class B US$ Accumulating (USD) – 96.16 97.08 98.01 102.48 114.63 117.70 – 132.17 – 104.75 79.14 70.80 79.11 Class B US$ Distributing (A) (USD) – 98.50 90.94 99.48 98.27 306.98 187.13 – – – 104.64 88.55 165.22 205.45 Class B US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class B US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class B US$ Distributing (S) (USD) – – – – – – – – – – – – – – Class C US$ Accumulating (USD) – 96.19 97.09 98.02 102.51 114.82 117.67 – 132.17 – 104.70 79.85 72.30 79.09 Class C US$ Distributing (A) (USD) – 98.49 90.95 99.49 98.27 304.69 186.19 – – – 104.49 88.58 163.69 204.35 Class C US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class C US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class C US$ Distributing (S) (USD) – – – – – – – – – – – – – – Class E US$ Accumulating (USD) – 115.01 – – 104.60 105.75 130.07 – 134.65 – 104.33 – – 112.07 Class E US$ Distributing (A) (USD) – 115.08 – – 104.61 105.74 130.04 – – – 104.49 – – 112.20 Class E US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class E US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class E Euro Accumulating (EUR) – – – – – 110.37 – – – – – – – 88.33 Class F US$ Accumulating (USD) – 116.67 – – 104.79 105.94 131.91 – – – 104.44 – – 91.45 Class F US$ Distributing (A) (USD) – 120.81 – – 104.79 105.94 141.51 – – – 105.92 – – 91.45 Class F US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class F US$ Distributing (M) (USD) – – – – – – – – – – – – – – Class F Euro Accumulating (EUR) – – – – – – – – – – – – – – Class F Euro Distributing (Q) (EUR) – – – – – – – – – – – – – – Class F (PF) US$ Accumulating (USD) – – – – – – – – – – – – – – Class F (PF) US$ Distributing (M) (USD) – – – – – – – – – – – – – – Premier Class US$ Accumulating (USD) 105.49 116.18 – – 120.30 117.09 137.03 – – – 106.63 – – – Premier Class US$ Distributing (A) (USD) – 145.49 – – – – 98.64 – – – 106.43 – – – Premier Class US$ Distributing (D) (USD) – – – – – – – – – – – – – – Premier Class US$ Distributing (M) (USD) – – – – – – – – – – – – – – Premier Class AUD Distributing (A) (Hedged) (AUD) – – – – – – – – – – 107.68 – – – Premier Class Euro Accumulating (EUR) – 105.61 – – 102.42 122.30 – – – – – – – – Premier Class Euro Accumulating (Hedged) (EUR) – – – – – – – – – – 105.55 – – – Premier Class Euro Distributing (A) (Hedged) (EUR) – – – – – – – – – – 106.06 – – – Premier Class Euro Distributing (M) (EUR) – – – – – – – – – – – – – – Premier Class Euro Distributing (M) (Hedged) (EUR) – – – – – – – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) (EUR) – – – – – – – – – – – – – – Premier Class GBP Accumulating (GBP) – – – – – – – – – – – – – – Premier Class GBP Accumulating (Hedged) (GBP) – – – – – – – – – – 105.12 – – – Premier Class GBP Distributing (A) (GBP) 124.54 – – – – – – – – – – – – – Premier Class GBP Distributing (A) (Hedged) (GBP) – – – – – – – – – – 106.82 – – – Premier Class GBP Distributing (M) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (M) (Hedged) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) (GBP) – – – – – – – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

287 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Capital ClearBridge ClearBridge Legg Mason ClearBridge Royce US Small Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Permal Legg Mason Batterymarch Legg Mason Management US Appreciation US Fundamental ClearBridge US Large US Aggressive Cap Opportunity Smaller Companies European Smaller Global Smaller Legg Mason PCM Global Absolute GC Global Equity European Equity Batterymarch Asia Opportunity Fund Fund Value Fund Cap Growth Fund Growth Fund Fund Fund Companies Fund^ Companies Fund US Equity Fund Fund Fund Fund Pacific Equity Fund February 28, 2011 Net Asset Value Per Share: Premier Class JPY Accumulating (JPY) – – – – – – – – – – – – – – Premier Class JPY Accumulating (Hedged) (JPY) – – – – – – – – – – – – – – Premier Class SEK Accumulating (Hedged) (SEK) – – – – – – – – – – – – – – Premier Class SGD Accumulating (Hedged) (SGD) – – – – – – – – – – – – – – Premier (PF) Class US$ Accumulating (USD) – – – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) (USD) – – – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) (GBP) – – – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) (GBP) – – – – – – – – – – – – – – LM Class US$ Accumulating (USD) 216.52 112.26 131.19 – – – 123.40 – 138.75 – 107.76 – 108.75 – LM Class US$ Distributing (M) (USD) – – – – – – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) (USD) – – – – – – – – – – – – – – LM Class AUD Distributing (M) (Hedged) (AUD) – – – – – – – – – – – – – – LM Class Euro Accumulating (EUR) – 113.18 – – – – 123.90 134.63 – – – – 110.40 – LM Class Euro Accumulating (Hedged) (EUR) – – – – – – – – – – – – – – LM Class Euro Distributing (Q) (EUR) – – – – – – – – – – – – – – LM Class GBP Accumulating (GBP) – – – – – – – – – – – – – – LM Class GBP Accumulating (Hedged) (GBP) – – – – – – – – – – – – – – LM Class GBP Distributing (M) (GBP) – – – – – – – – – – – – – – LM Class JPY Accumulating (Hedged) (JPY) – – – – – – – – – – – – – – LM Class JPY Accumulating (JPY) – 11,168.14 – – – – 12,310.67 – – – – – 10,882.18 – Class A (G) US$ Accumulating (USD) – 101.27 93.73 102.16 101.22 – 119.41 – – – – – 72.77 – Class A (G) US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class A (G) US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class B (G) US$ Accumulating (USD) – 99.33 91.93 100.21 99.29 – 117.15 – – – – – 71.31 – Class B (G) US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class B (G) US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class L (G) US$ Accumulating (USD) – 99.35 91.94 100.21 99.29 – 117.06 – – – – – 71.52 – Class L (G) US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class L (G) US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class GA US$ Accumulating (USD) – – 130.26 123.37 – – – – – – – – 124.58 108.44 Class GA Euro Accumulating (EUR) – – 120.17 113.84 120.44 – – – – – – – 114.93 100.00 Class GA Euro Distributing (A) (EUR) – – 120.04 113.84 120.42 – – – – – – – 114.93 100.02 Class GE US$ Accumulating (USD) – – 129.77 – 129.87 – – – – – – – 124.20 108.03 Class GE US$ Distributing (A) (USD) – – – 122.91 – – – – – – – – – – Class GE Euro Accumulating (EUR) – – 119.80 113.59 119.80 – – – – – – – – 99.49 Class GF US$ Accumulating (USD) – – – – – – – – – – – – – – Class GF Euro Accumulating (EUR) – – – – – – – – – – – – – – Class GP US$ Accumulating (USD) – – – – – – – – – – – – – 109.06 Galleon Class (USD) – – – – – – – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

288 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Capital ClearBridge ClearBridge Legg Mason ClearBridge Royce US Small Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Permal Legg Mason Batterymarch Legg Mason Management US Appreciation US Fundamental ClearBridge US Large US Aggressive Cap Opportunity Smaller Companies European Smaller Global Smaller Legg Mason PCM Global Absolute GC Global Equity European Equity Batterymarch Asia Opportunity Fund Fund Value Fund Cap Growth Fund Growth Fund Fund Fund Companies Fund^ Companies Fund US Equity Fund Fund Fund Fund Pacific Equity Fund February 28, 2011 Net Asset Value Per Share: Premier Class JPY Accumulating (JPY) – – – – – – – – – – – – – – Premier Class JPY Accumulating (Hedged) (JPY) – – – – – – – – – – – – – – Premier Class SEK Accumulating (Hedged) (SEK) – – – – – – – – – – – – – – Premier Class SGD Accumulating (Hedged) (SGD) – – – – – – – – – – – – – – Premier (PF) Class US$ Accumulating (USD) – – – – – – – – – – – – – – Premier (PF) Class US$ Distributing (M) (USD) – – – – – – – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) (GBP) – – – – – – – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) (GBP) – – – – – – – – – – – – – – LM Class US$ Accumulating (USD) 216.52 112.26 131.19 – – – 123.40 – 138.75 – 107.76 – 108.75 – LM Class US$ Distributing (M) (USD) – – – – – – – – – – – – – – LM Class US$ Distributing (Q) (Hedged) (USD) – – – – – – – – – – – – – – LM Class AUD Distributing (M) (Hedged) (AUD) – – – – – – – – – – – – – – LM Class Euro Accumulating (EUR) – 113.18 – – – – 123.90 134.63 – – – – 110.40 – LM Class Euro Accumulating (Hedged) (EUR) – – – – – – – – – – – – – – LM Class Euro Distributing (Q) (EUR) – – – – – – – – – – – – – – LM Class GBP Accumulating (GBP) – – – – – – – – – – – – – – LM Class GBP Accumulating (Hedged) (GBP) – – – – – – – – – – – – – – LM Class GBP Distributing (M) (GBP) – – – – – – – – – – – – – – LM Class JPY Accumulating (Hedged) (JPY) – – – – – – – – – – – – – – LM Class JPY Accumulating (JPY) – 11,168.14 – – – – 12,310.67 – – – – – 10,882.18 – Class A (G) US$ Accumulating (USD) – 101.27 93.73 102.16 101.22 – 119.41 – – – – – 72.77 – Class A (G) US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class A (G) US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class B (G) US$ Accumulating (USD) – 99.33 91.93 100.21 99.29 – 117.15 – – – – – 71.31 – Class B (G) US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class B (G) US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class L (G) US$ Accumulating (USD) – 99.35 91.94 100.21 99.29 – 117.06 – – – – – 71.52 – Class L (G) US$ Distributing (A) (USD) – – – – – – – – – – – – – – Class L (G) US$ Distributing (D) (USD) – – – – – – – – – – – – – – Class GA US$ Accumulating (USD) – – 130.26 123.37 – – – – – – – – 124.58 108.44 Class GA Euro Accumulating (EUR) – – 120.17 113.84 120.44 – – – – – – – 114.93 100.00 Class GA Euro Distributing (A) (EUR) – – 120.04 113.84 120.42 – – – – – – – 114.93 100.02 Class GE US$ Accumulating (USD) – – 129.77 – 129.87 – – – – – – – 124.20 108.03 Class GE US$ Distributing (A) (USD) – – – 122.91 – – – – – – – – – – Class GE Euro Accumulating (EUR) – – 119.80 113.59 119.80 – – – – – – – – 99.49 Class GF US$ Accumulating (USD) – – – – – – – – – – – – – – Class GF Euro Accumulating (EUR) – – – – – – – – – – – – – – Class GP US$ Accumulating (USD) – – – – – – – – – – – – – 109.06 Galleon Class (USD) – – – – – – – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

289 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch 130/ Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Emerging 30 Global Equity International Emerging Markets Global Equity Congruix Asia Congruix Japan Legg Mason LMHK Markets Select Fund^6 Large Cap Fund Equity Fund Fund=/ Pacific Fund^ Equity Fund China Fund Equity Fund‡ February 28, 2011 Net Asset Value Per Share: Class A US$ Accumulating (USD) – 77.95 86.54 – – – – – Class A US$ Distributing (A) (USD) – 74.74 96.94 103.39 – – 106.35 105.53 Class A US$ Distributing (D) (USD) – – – – – – – – Class A US$ Distributing (M) (USD) – – – – – – – – Class A US$ Distributing (S) (USD) – – – – – – – – Class A AUD Distributing (M) (Hedged) (AUD) – – – – – – – – Class A Euro Accumulating (EUR) – – 109.15 – – – – – Class A Euro Accumulating (Hedged) (EUR) – – – – – – – – Class A Euro Distributing (A) (EUR) – – – – – – – – Class A Euro Distributing (A) (Hedged) (EUR) – – – – – – – – Class A Euro Distributing (D) (EUR) – – – – – – – – Class A Euro Distributing (M) (Hedged) (EUR) – – – – – – – – Class A Euro Distributing (S) (Hedged) (EUR) – – – – – – – – Class A GBP Accumulating (Hedged) (GBP) – – – – – – – – Class A GBP Distributing (A) (GBP) – – 104.68 – – – – – Class A GBP Distributing (A) (Hedged) (GBP) – – – – – – – – Class A GBP Distributing (D) (GBP) – – – – – – – – Class A GBP Distributing (D) (Hedged) (GBP) – – – – – – – – Class A GBP Distributing (M) (GBP) – – – – – – – – Class A GBP Distributing (M) (Hedged) (GBP) – – – – – – – – Class A GBP Distributing (S) (Hedged) (GBP) – – – – – – – – Class A (PF) US$ Accumulating (USD) – – – – – – – – Class A (PF) US$ Distributing (M) (USD) – – – – – – – – Class A SGD Accumulating (Hedged) (SGD) – – – – – – – – Class A SGD Accumulating (SGD) – – – – – – – – Class A SGD Distributing (Q) (SGD) – – – – – – – – Class A SGD Distributing (Q) (Hedged) (SGD) – – – – – – – – Class B US$ Accumulating (USD) – 74.73 96.41 – – – – – Class B US$ Distributing (A) (USD) – 74.25 96.05 – – – – – Class B US$ Distributing (D) (USD) – – – – – – – – Class B US$ Distributing (M) (USD) – – – – – – – – Class B US$ Distributing (S) (USD) – – – – – – – – Class C US$ Accumulating (USD) – 74.73 96.46 – – – – – Class C US$ Distributing (A) (USD) – 74.25 96.00 – – – – – Class C US$ Distributing (D) (USD) – – – – – – – – Class C US$ Distributing (M) (USD) – – – – – – – – Class C US$ Distributing (S) (USD) – – – – – – – – Class E US$ Accumulating (USD) – – 111.56 – – – – – Class E US$ Distributing (A) (USD) – – 111.55 – – – – – Class E US$ Distributing (D) (USD) – – – – – – – – Class E US$ Distributing (M) (USD) – – – – – – – – Class E Euro Accumulating (EUR) – – – – – – – – Class F US$ Accumulating (USD) – – 113.21 – – – – – Class F US$ Distributing (A) (USD) – – 120.46 – – – – – Class F US$ Distributing (D) (USD) – – – – – – – – Class F US$ Distributing (M) (USD) – – – – – – – – Class F Euro Accumulating (EUR) – – – – – – – – Class F Euro Distributing (Q) (EUR) – – – – – – – – Class F (PF) US$ Accumulating (USD) – – – – – – – – Class F (PF) US$ Distributing (M) (USD) – – – – – – – – Premier Class US$ Accumulating (USD) – – – – – – – – Premier Class US$ Distributing (A) (USD) – – – – – – – – Premier Class US$ Distributing (D) (USD) – – – – – – – – Premier Class US$ Distributing (M) (USD) – – – – – – – – Premier Class AUD Distributing (A) (Hedged) (AUD) – – – – – – – – Premier Class Euro Accumulating (EUR) – – 112.53 – – – – – Premier Class Euro Accumulating (Hedged) (EUR) – – – – – – – – Premier Class Euro Distributing (A) (Hedged) (EUR) – – – – – – – – Premier Class Euro Distributing (M) (EUR) – – – – – – – – Premier Class Euro Distributing (M) (Hedged) (EUR) – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) (EUR) – – – – – – – – Premier Class GBP Accumulating (GBP) – – – – – – – – Premier Class GBP Accumulating (Hedged) (GBP) – – – – – – – – Premier Class GBP Distributing (A) (GBP) – – – – – – – – Premier Class GBP Distributing (A) (Hedged) (GBP) – – – – – – – – Premier Class GBP Distributing (M) (GBP) – – – – – – – – Premier Class GBP Distributing (M) (Hedged) (GBP) – – – – – – – – Premier Class GBP Distributing (Q) (GBP) – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

290 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch 130/ Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Emerging 30 Global Equity International Emerging Markets Global Equity Congruix Asia Congruix Japan Legg Mason LMHK Markets Select Fund^6 Large Cap Fund Equity Fund Fund=/ Pacific Fund^ Equity Fund China Fund Equity Fund‡ February 28, 2011 Net Asset Value Per Share: Class A US$ Accumulating (USD) – 77.95 86.54 – – – – – Class A US$ Distributing (A) (USD) – 74.74 96.94 103.39 – – 106.35 105.53 Class A US$ Distributing (D) (USD) – – – – – – – – Class A US$ Distributing (M) (USD) – – – – – – – – Class A US$ Distributing (S) (USD) – – – – – – – – Class A AUD Distributing (M) (Hedged) (AUD) – – – – – – – – Class A Euro Accumulating (EUR) – – 109.15 – – – – – Class A Euro Accumulating (Hedged) (EUR) – – – – – – – – Class A Euro Distributing (A) (EUR) – – – – – – – – Class A Euro Distributing (A) (Hedged) (EUR) – – – – – – – – Class A Euro Distributing (D) (EUR) – – – – – – – – Class A Euro Distributing (M) (Hedged) (EUR) – – – – – – – – Class A Euro Distributing (S) (Hedged) (EUR) – – – – – – – – Class A GBP Accumulating (Hedged) (GBP) – – – – – – – – Class A GBP Distributing (A) (GBP) – – 104.68 – – – – – Class A GBP Distributing (A) (Hedged) (GBP) – – – – – – – – Class A GBP Distributing (D) (GBP) – – – – – – – – Class A GBP Distributing (D) (Hedged) (GBP) – – – – – – – – Class A GBP Distributing (M) (GBP) – – – – – – – – Class A GBP Distributing (M) (Hedged) (GBP) – – – – – – – – Class A GBP Distributing (S) (Hedged) (GBP) – – – – – – – – Class A (PF) US$ Accumulating (USD) – – – – – – – – Class A (PF) US$ Distributing (M) (USD) – – – – – – – – Class A SGD Accumulating (Hedged) (SGD) – – – – – – – – Class A SGD Accumulating (SGD) – – – – – – – – Class A SGD Distributing (Q) (SGD) – – – – – – – – Class A SGD Distributing (Q) (Hedged) (SGD) – – – – – – – – Class B US$ Accumulating (USD) – 74.73 96.41 – – – – – Class B US$ Distributing (A) (USD) – 74.25 96.05 – – – – – Class B US$ Distributing (D) (USD) – – – – – – – – Class B US$ Distributing (M) (USD) – – – – – – – – Class B US$ Distributing (S) (USD) – – – – – – – – Class C US$ Accumulating (USD) – 74.73 96.46 – – – – – Class C US$ Distributing (A) (USD) – 74.25 96.00 – – – – – Class C US$ Distributing (D) (USD) – – – – – – – – Class C US$ Distributing (M) (USD) – – – – – – – – Class C US$ Distributing (S) (USD) – – – – – – – – Class E US$ Accumulating (USD) – – 111.56 – – – – – Class E US$ Distributing (A) (USD) – – 111.55 – – – – – Class E US$ Distributing (D) (USD) – – – – – – – – Class E US$ Distributing (M) (USD) – – – – – – – – Class E Euro Accumulating (EUR) – – – – – – – – Class F US$ Accumulating (USD) – – 113.21 – – – – – Class F US$ Distributing (A) (USD) – – 120.46 – – – – – Class F US$ Distributing (D) (USD) – – – – – – – – Class F US$ Distributing (M) (USD) – – – – – – – – Class F Euro Accumulating (EUR) – – – – – – – – Class F Euro Distributing (Q) (EUR) – – – – – – – – Class F (PF) US$ Accumulating (USD) – – – – – – – – Class F (PF) US$ Distributing (M) (USD) – – – – – – – – Premier Class US$ Accumulating (USD) – – – – – – – – Premier Class US$ Distributing (A) (USD) – – – – – – – – Premier Class US$ Distributing (D) (USD) – – – – – – – – Premier Class US$ Distributing (M) (USD) – – – – – – – – Premier Class AUD Distributing (A) (Hedged) (AUD) – – – – – – – – Premier Class Euro Accumulating (EUR) – – 112.53 – – – – – Premier Class Euro Accumulating (Hedged) (EUR) – – – – – – – – Premier Class Euro Distributing (A) (Hedged) (EUR) – – – – – – – – Premier Class Euro Distributing (M) (EUR) – – – – – – – – Premier Class Euro Distributing (M) (Hedged) (EUR) – – – – – – – – Premier Class Euro Distributing (Q) (Hedged) (EUR) – – – – – – – – Premier Class GBP Accumulating (GBP) – – – – – – – – Premier Class GBP Accumulating (Hedged) (GBP) – – – – – – – – Premier Class GBP Distributing (A) (GBP) – – – – – – – – Premier Class GBP Distributing (A) (Hedged) (GBP) – – – – – – – – Premier Class GBP Distributing (M) (GBP) – – – – – – – – Premier Class GBP Distributing (M) (Hedged) (GBP) – – – – – – – – Premier Class GBP Distributing (Q) (GBP) – – – – – – – – Premier Class GBP Distributing (Q) (Hedged) – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

291 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch 130/ Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Emerging 30 Global Equity International Emerging Markets Global Equity Congruix Asia Congruix Japan Legg Mason LMHK Markets Select Fund^6 Large Cap Fund Equity Fund Fund=/ Pacific Fund^ Equity Fund China Fund Equity Fund‡ February 28, 2011 Net Asset Value Per Share: Premier Class JPY Accumulating (JPY) – – – – – – – – Premier Class JPY Accumulating (Hedged) (JPY) – – – – – – – – Premier Class SEK Accumulating (Hedged) (SEK) – – – – – – – – Premier Class SGD Accumulating (Hedged) (SGD) – – – – – – – – Premier (PF) Class US$ Accumulating (USD) – – – – – – – – Premier (PF) Class US$ Distributing (M) (USD) – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) (GBP) – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) (GBP) – – – – – – – – LM Class US$ Accumulating (USD) – – – 103.18 – – 108.28 106.40 LM Class US$ Distributing (M) (USD) – – – – – – – – LM Class US$ Distributing (Q) (Hedged) (USD) – – – – – – – – LM Class AUD Distributing (M) (Hedged) (AUD) – – – – – – – – LM Class Euro Accumulating (EUR) – – – – – – – – LM Class Euro Accumulating (Hedged) (EUR) – – – – – – – – LM Class Euro Distributing (Q) (EUR) – – – – – – – – LM Class GBP Accumulating (GBP) – – – – – – – – LM Class GBP Accumulating (Hedged) (GBP) – – – – – – – – LM Class GBP Distributing (M) (GBP) – – – – – – – – LM Class JPY Accumulating (Hedged) (JPY) – – – – – – – – LM Class JPY Accumulating (JPY) – – – – – – – – Class A (G) US$ Accumulating (USD) – 78.22 – – – – – – Class A (G) US$ Distributing (A) (USD) – – – – – – – – Class A (G) US$ Distributing (D) (USD) – – – – – – – – Class B (G) US$ Accumulating (USD) – 76.72 – – – – – – Class B (G) US$ Distributing (A) (USD) – – – – – – – – Class B (G) US$ Distributing (D) (USD) – – – – – – – – Class L (G) US$ Accumulating (USD) – 76.73 – – – – – – Class L (G) US$ Distributing (A) (USD) – – – – – – – – Class L (G) US$ Distributing (D) (USD) – – – – – – – – Class GA US$ Accumulating (USD) – – – – – – – – Class GA Euro Accumulating (EUR) – – – – – – – – Class GA Euro Distributing (A) (EUR) – – – – – – – – Class GE US$ Accumulating (USD) – – – – – – – – Class GE US$ Distributing (A) (USD) – – – – – – – – Class GE Euro Accumulating (EUR) – – – – – – – – Class GF US$ Accumulating (USD) – – – – – – – – Class GF Euro Accumulating (EUR) – – – – – – – – Class GP US$ Accumulating (USD) – – – – – – – – Galleon Class (USD) – – – – – – – –

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

292 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Balance Sheet – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch 130/ Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Emerging 30 Global Equity International Emerging Markets Global Equity Congruix Asia Congruix Japan Legg Mason LMHK Markets Select Fund^6 Large Cap Fund Equity Fund Fund=/ Pacific Fund^ Equity Fund China Fund Equity Fund‡ February 28, 2011 Net Asset Value Per Share: Premier Class JPY Accumulating (JPY) – – – – – – – – Premier Class JPY Accumulating (Hedged) (JPY) – – – – – – – – Premier Class SEK Accumulating (Hedged) (SEK) – – – – – – – – Premier Class SGD Accumulating (Hedged) (SGD) – – – – – – – – Premier (PF) Class US$ Accumulating (USD) – – – – – – – – Premier (PF) Class US$ Distributing (M) (USD) – – – – – – – – Premier (PF) Class GBP Accumulating (Hedged) (GBP) – – – – – – – – Premier (PF) Class GBP Distributing (M) (Hedged) (GBP) – – – – – – – – LM Class US$ Accumulating (USD) – – – 103.18 – – 108.28 106.40 LM Class US$ Distributing (M) (USD) – – – – – – – – LM Class US$ Distributing (Q) (Hedged) (USD) – – – – – – – – LM Class AUD Distributing (M) (Hedged) (AUD) – – – – – – – – LM Class Euro Accumulating (EUR) – – – – – – – – LM Class Euro Accumulating (Hedged) (EUR) – – – – – – – – LM Class Euro Distributing (Q) (EUR) – – – – – – – – LM Class GBP Accumulating (GBP) – – – – – – – – LM Class GBP Accumulating (Hedged) (GBP) – – – – – – – – LM Class GBP Distributing (M) (GBP) – – – – – – – – LM Class JPY Accumulating (Hedged) (JPY) – – – – – – – – LM Class JPY Accumulating (JPY) – – – – – – – – Class A (G) US$ Accumulating (USD) – 78.22 – – – – – – Class A (G) US$ Distributing (A) (USD) – – – – – – – – Class A (G) US$ Distributing (D) (USD) – – – – – – – – Class B (G) US$ Accumulating (USD) – 76.72 – – – – – – Class B (G) US$ Distributing (A) (USD) – – – – – – – – Class B (G) US$ Distributing (D) (USD) – – – – – – – – Class L (G) US$ Accumulating (USD) – 76.73 – – – – – – Class L (G) US$ Distributing (A) (USD) – – – – – – – – Class L (G) US$ Distributing (D) (USD) – – – – – – – – Class GA US$ Accumulating (USD) – – – – – – – – Class GA Euro Accumulating (EUR) – – – – – – – – Class GA Euro Distributing (A) (EUR) – – – – – – – – Class GE US$ Accumulating (USD) – – – – – – – – Class GE US$ Distributing (A) (USD) – – – – – – – – Class GE Euro Accumulating (EUR) – – – – – – – – Class GF US$ Accumulating (USD) – – – – – – – – Class GF Euro Accumulating (EUR) – – – – – – – – Class GP US$ Accumulating (USD) – – – – – – – – Galleon Class (USD) – – – – – – – –

The accompanying notes are an integral part of the Financial Statements

293 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Profit and Loss Account Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Western Asset Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Legg Mason Legg Mason Western Asset Western Asset Legg Mason Western Western Asset Euro Diversified Global Multi Western Asset Western Asset Western Asset US Short-Term Western Asset Inflation Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Core Plus Bond Strategic Income Strategy Fund for US High Yield Emerging Markets Global High Yield Government US Adjustable Rate Management Opportunities Global Blue Chip Fund for the six Fund for the six Bond Fund for the six Fund for the six Fund for the six the six months Fund for the six Bond Fund for the Fund for the six Fund for the six Fund for the six Fund for the six Fund for the six Bond Fund for the months ended months ended months ended months ended months ended ended months ended six months ended months ended months ended months ended months ended months ended six months ended August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) INVESTMENT INCOME: Gross dividend income and bond Interest $ 5,949 $ 386 $ 3,210 E 1,503 $ 946 $ 41,691 $ 19,987 $ 6,863 $ 18,263 $ 552 $ 112 $ 372 $ 16,891 $ 2,897 Interest – 1 7 21 – 6 10 – 5 – – 1 6 4 Equalisation 1 2 121 (54) 8 1,104 436 (74) (2,398) (45) – (24) 414 312 Other income – – 1 3 359 5,424 678 26 1,185 – – – 63 – Net gain/(loss) on financial assets and liabilities at fair value through profit or loss: Net realised gain/(loss) on financial instruments held for trading 13 103 3,338 (942) (1,294) 12,426 6,296 4,251 6,872 (709) (524) 138 12,656 1,439 Net unrealised gain/(loss) on financial instruments held for trading – 476 1,595 1,450 (4) (21,763) (35,607) 5,478 (35,715) 1,011 156 532 27,755 1,126

Total Investment Income/(Loss) 5,963 968 8,272 1,981 15 38,888 (8,200) 16,544 (11,788) 809 (256) 1,019 57,785 5,778

EXPENSES: Investment management fees (Note 3) 10,381 45 321 143 158 3,455 514 874 1,604 125 90 38 1,606 381 Performance fees (Note 3) – – – – – – – – – – – – – – Distribution fees (Note 3) 2,092 66 103 49 170 2,446 356 475 1,021 148 98 49 1,126 94 Administrator and custodian fees (Note 3) 1,892 10 96 40 21 829 225 90 212 20 14 6 294 99 Shareholder service fees (Note 3) – 11 11 6 21 572 59 103 236 17 12 8 268 18 Legal fees 67 – 3 2 – 29 8 3 7 1 – – 10 4 Audit fees 24 20 22 13 22 32 27 25 22 22 20 20 23 12 Printing fees 236 – 12 5 – 101 29 11 27 3 – – 35 12 Dividend expense – – – – – – – – – – – – – – Interest expense – – 9 63 33 989 – 147 – – – – 4,254 264 Directors’ fees and expenses (Note 3) 21 – 1 1 – 10 4 1 6 – – – 3 1 Other expenses 761 – 38 16 – 318 96 36 85 7 – – 112 38

Total Expenses 15,474 152 616 338 425 8,781 1,318 1,765 3,220 343 234 121 7,731 923

Expense waivers and reimbursements/recoupment (Note 3) (10,140) (1) (1) (12) – (1) (9) (8) (7) (10) (6) (20) (27) – Total Net Expenses 5,334 151 615 326 425 8,780 1,309 1,757 3,213 333 228 101 7,704 923

Net Profit/(Loss) before finance costs 629 817 7,657 1,655 (410) 30,108 (9,509) 14,787 (15,001) 476 (484) 918 50,081 4,855

FINANCE COSTS: Distributions to holders of redeemable participating shares (Note 4) (629) (135) (526) (84) (708) (13,351) (10,205) (1,687) (3,797) (137) – (100) (2,136) (1,355)

Profit/(Loss) for the financial period – 682 7,131 1,571 (1,118) 16,757 (19,714) 13,100 (18,798) 339 (484) 818 47,945 3,500 Withholding taxes on dividends and other taxation – – – 14 (8) (183) (137) (60) (141) – – – (448) –

Increase/(Decrease) in Net Assets attributable to Holders of Redeemable Participating Shares $ – $ 682 $ 7,131 E 1,585 $ (1,126) $ 16,574 $ (19,851) $ 13,040 $ (18,939) $ 339 $ (484) $ 818 $ 47,497 $ 3,500

Amounts designated as "-" are either $0/E0/¥0/£0 or less than $1,000/E1,000/¥1,000/£1,000. Gains and losses are solely from continuing operations. There were no other gains or losses other than those dealt with in the Profit and Loss Account. The Euro figures for Legg Mason Western Asset Euro Core Plus Bond Fund, Legg Mason Western Asset Euro High Yield Fund^, Legg Mason Royce European Smaller Companies Fund^ and Legg Mason Batterymarch European Equity Fund have been converted into US Dollars in the total figure for Legg Mason Global Funds Plc for the period ended August 31, 2011, using the USD/EUR rate of 0.6991. The Sterling figures for Legg Mason Western Asset UK£ Core Plus Bond Fund^, Legg Mason Western Asset UK£ Inflation-Linked Plus Fund^ and Legg Mason Western Asset UK£ Long Duration Fund^ have been converted into US Dollars in the total figure for Legg Mason Global Funds Plc as at August 31, 2011, using the USD/GBP rate of 0.6147. G Effective May 13, 2011, the Fund commenced trading.

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

294 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Profit and Loss Account Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Western Asset Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Legg Mason Legg Mason Western Asset Western Asset Legg Mason Western Western Asset Euro Diversified Global Multi Western Asset Western Asset Western Asset US Short-Term Western Asset Inflation Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Core Plus Bond Strategic Income Strategy Fund for US High Yield Emerging Markets Global High Yield Government US Adjustable Rate Management Opportunities Global Blue Chip Fund for the six Fund for the six Bond Fund for the six Fund for the six Fund for the six the six months Fund for the six Bond Fund for the Fund for the six Fund for the six Fund for the six Fund for the six Fund for the six Bond Fund for the months ended months ended months ended months ended months ended ended months ended six months ended months ended months ended months ended months ended months ended six months ended August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) INVESTMENT INCOME: Gross dividend income and bond Interest $ 5,949 $ 386 $ 3,210 E 1,503 $ 946 $ 41,691 $ 19,987 $ 6,863 $ 18,263 $ 552 $ 112 $ 372 $ 16,891 $ 2,897 Interest – 1 7 21 – 6 10 – 5 – – 1 6 4 Equalisation 1 2 121 (54) 8 1,104 436 (74) (2,398) (45) – (24) 414 312 Other income – – 1 3 359 5,424 678 26 1,185 – – – 63 – Net gain/(loss) on financial assets and liabilities at fair value through profit or loss: Net realised gain/(loss) on financial instruments held for trading 13 103 3,338 (942) (1,294) 12,426 6,296 4,251 6,872 (709) (524) 138 12,656 1,439 Net unrealised gain/(loss) on financial instruments held for trading – 476 1,595 1,450 (4) (21,763) (35,607) 5,478 (35,715) 1,011 156 532 27,755 1,126

Total Investment Income/(Loss) 5,963 968 8,272 1,981 15 38,888 (8,200) 16,544 (11,788) 809 (256) 1,019 57,785 5,778

EXPENSES: Investment management fees (Note 3) 10,381 45 321 143 158 3,455 514 874 1,604 125 90 38 1,606 381 Performance fees (Note 3) – – – – – – – – – – – – – – Distribution fees (Note 3) 2,092 66 103 49 170 2,446 356 475 1,021 148 98 49 1,126 94 Administrator and custodian fees (Note 3) 1,892 10 96 40 21 829 225 90 212 20 14 6 294 99 Shareholder service fees (Note 3) – 11 11 6 21 572 59 103 236 17 12 8 268 18 Legal fees 67 – 3 2 – 29 8 3 7 1 – – 10 4 Audit fees 24 20 22 13 22 32 27 25 22 22 20 20 23 12 Printing fees 236 – 12 5 – 101 29 11 27 3 – – 35 12 Dividend expense – – – – – – – – – – – – – – Interest expense – – 9 63 33 989 – 147 – – – – 4,254 264 Directors’ fees and expenses (Note 3) 21 – 1 1 – 10 4 1 6 – – – 3 1 Other expenses 761 – 38 16 – 318 96 36 85 7 – – 112 38

Total Expenses 15,474 152 616 338 425 8,781 1,318 1,765 3,220 343 234 121 7,731 923

Expense waivers and reimbursements/recoupment (Note 3) (10,140) (1) (1) (12) – (1) (9) (8) (7) (10) (6) (20) (27) – Total Net Expenses 5,334 151 615 326 425 8,780 1,309 1,757 3,213 333 228 101 7,704 923

Net Profit/(Loss) before finance costs 629 817 7,657 1,655 (410) 30,108 (9,509) 14,787 (15,001) 476 (484) 918 50,081 4,855

FINANCE COSTS: Distributions to holders of redeemable participating shares (Note 4) (629) (135) (526) (84) (708) (13,351) (10,205) (1,687) (3,797) (137) – (100) (2,136) (1,355)

Profit/(Loss) for the financial period – 682 7,131 1,571 (1,118) 16,757 (19,714) 13,100 (18,798) 339 (484) 818 47,945 3,500 Withholding taxes on dividends and other taxation – – – 14 (8) (183) (137) (60) (141) – – – (448) –

Increase/(Decrease) in Net Assets attributable to Holders of Redeemable Participating Shares $ – $ 682 $ 7,131 E 1,585 $ (1,126) $ 16,574 $ (19,851) $ 13,040 $ (18,939) $ 339 $ (484) $ 818 $ 47,497 $ 3,500

Amounts designated as "-" are either $0/E0/¥0/£0 or less than $1,000/E1,000/¥1,000/£1,000. Gains and losses are solely from continuing operations. There were no other gains or losses other than those dealt with in the Profit and Loss Account. The Euro figures for Legg Mason Western Asset Euro Core Plus Bond Fund, Legg Mason Western Asset Euro High Yield Fund^, Legg Mason Royce European Smaller Companies Fund^ and Legg Mason Batterymarch European Equity Fund have been converted into US Dollars in the total figure for Legg Mason Global Funds Plc for the period ended August 31, 2011, using the USD/EUR rate of 0.6991. The Sterling figures for Legg Mason Western Asset UK£ Core Plus Bond Fund^, Legg Mason Western Asset UK£ Inflation-Linked Plus Fund^ and Legg Mason Western Asset UK£ Long Duration Fund^ have been converted into US Dollars in the total figure for Legg Mason Global Funds Plc as at August 31, 2011, using the USD/GBP rate of 0.6147. G Effective May 13, 2011, the Fund commenced trading.

The accompanying notes are an integral part of the Financial Statements

295 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Profit and Loss Account – (continued) Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Brandywine Global Western Asset Global Credit Legg Mason Western Western Asset Western Asset Western Asset UK£ Western Asset UK£ Western Asset Western Asset Euro Brandywine Global Opportunistic Fixed Legg Mason Legg Mason Capital Legg Mason Capital Brazil Bond Absolute Return Asset UK£ Core Plus Global Core Plus Global Inflation- Inflation-Linked Long Duration Global Credit High Yield Fund^ for Fixed Income Income Fund^ for Western Asset Brazil Management Value Management Fund^ for the six Fund^ for the six Bond Fund^ for the Bond Fund^ for the Linked Fund for the Plus Fund^ for the Fund^ for the six Fund for the six the six months Fund for the six the six months Equity Fund^ for the Fund for the six Growth Fund for the months ended months ended six months ended six months ended six months ended six months ended months ended months ended ended months ended ended six months ended months ended six months ended August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) INVESTMENT INCOME: Gross dividend income and bond Interest $ 661 $ 2,092 £ 1,876 $ 2,017 $ 1,852 £ 453 £ 1,793 $ 1,809 E 3,003 $ 9,000 $ 329 $ 162 $ 3,303 $ 440 Interest – 17 9 12 7 5 15 3 1 6 – – 1 – Equalisation – 1 – (40) (38) – – (100) (102) (163) 1 – (325) 2 Other income – – 6 73 – – – 1 39 5 – – 1 – Net gain/(loss) on financial assets and liabilities at fair value through profit or loss: Net realised gain/(loss) on financial instruments held for trading 69 2,412 (595) 1,009 3,157 2,055 1,614 298 (1,901) 20,021 415 40 15,121 1,993 Net unrealised gain/(loss) on financial instruments held for trading 863 (3,964) 2,152 410 1,179 161 815 665 (8,056) 10,262 499 (429) (69,521) (7,453)

Total Investment Income/(Loss) 1,593 558 3,448 3,481 6,157 2,674 4,237 2,676 (7,016) 39,131 1,244 (227) (51,420) (5,018)

EXPENSES: Investment management fees (Note 3) 16 635 8 89 119 7 – – – 1,221 50 – 1,642 212 Performance fees (Note 3) – 3 – – – – – – – – – – – – Distribution fees (Note 3) – 58 – – – – – – – 974 39 – 760 35 Administrator and custodian fees (Note 3) 5 72 38 42 37 15 36 43 33 206 6 2 183 27 Shareholder service fees (Note 3) – 17 – – – – – – – 281 12 – 509 20 Legal fees – 3 1 1 1 – 1 2 1 7 – – 7 1 Audit fees 11 18 6 15 17 8 8 11 10 26 15 11 15 13 Printing fees 1 9 5 5 5 2 5 6 4 25 – 1 25 3 Dividend expense – – – – – – – – – – – – – – Interest expense – 2,309 67 – – – 129 92 73 – – – – – Directors’ fees and expenses (Note 3) – 1 – 1 – – – 1 1 2 – – 3 – Other expenses 5 30 9 16 14 3 8 15 13 87 – 1 93 10

Total Expenses 38 3,155 134 169 193 35 187 170 135 2,829 122 15 3,237 321

Expense waivers and reimbursements/recoupment (Note 3) – – – – – – – – – (1) (11) – (1) – Total Net Expenses 38 3,155 134 169 193 35 187 170 135 2,828 111 15 3,236 321

Net Profit/(Loss) before finance costs 1,555 (2,597) 3,314 3,312 5,964 2,639 4,050 2,506 (7,151) 36,303 1,133 (242) (54,656) (5,339)

FINANCE COSTS: Distributions to holders of redeemable participating shares (Note 4) – (9) – (810) – (206) (278) – (2,315) (3,298) (70) – – –

Profit/(Loss) for the financial period 1,555 (2,606) 3,314 2,502 5,964 2,433 3,772 2,506 (9,466) 33,005 1,063 (242) (54,656) (5,339) Withholding taxes on dividends and other taxation – – (27) (10) – – (2) 15 – (212) (18) (6) (936) (124)

Increase/(Decrease) in Net Assets attributable to Holders of Redeemable Participating Shares $ 1,555 $ (2,606) £ 3,287 $ 2,492 $ 5,964 £ 2,433 £ 3,770 $ 2,521 E (9,466) $ 32,793 $ 1,045 $ (248) $ (55,592) $ (5,463)

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

296 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Profit and Loss Account – (continued) Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Brandywine Global Western Asset Global Credit Legg Mason Western Western Asset Western Asset Western Asset UK£ Western Asset UK£ Western Asset Western Asset Euro Brandywine Global Opportunistic Fixed Legg Mason Legg Mason Capital Legg Mason Capital Brazil Bond Absolute Return Asset UK£ Core Plus Global Core Plus Global Inflation- Inflation-Linked Long Duration Global Credit High Yield Fund^ for Fixed Income Income Fund^ for Western Asset Brazil Management Value Management Fund^ for the six Fund^ for the six Bond Fund^ for the Bond Fund^ for the Linked Fund for the Plus Fund^ for the Fund^ for the six Fund for the six the six months Fund for the six the six months Equity Fund^ for the Fund for the six Growth Fund for the months ended months ended six months ended six months ended six months ended six months ended months ended months ended ended months ended ended six months ended months ended six months ended August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) INVESTMENT INCOME: Gross dividend income and bond Interest $ 661 $ 2,092 £ 1,876 $ 2,017 $ 1,852 £ 453 £ 1,793 $ 1,809 E 3,003 $ 9,000 $ 329 $ 162 $ 3,303 $ 440 Interest – 17 9 12 7 5 15 3 1 6 – – 1 – Equalisation – 1 – (40) (38) – – (100) (102) (163) 1 – (325) 2 Other income – – 6 73 – – – 1 39 5 – – 1 – Net gain/(loss) on financial assets and liabilities at fair value through profit or loss: Net realised gain/(loss) on financial instruments held for trading 69 2,412 (595) 1,009 3,157 2,055 1,614 298 (1,901) 20,021 415 40 15,121 1,993 Net unrealised gain/(loss) on financial instruments held for trading 863 (3,964) 2,152 410 1,179 161 815 665 (8,056) 10,262 499 (429) (69,521) (7,453)

Total Investment Income/(Loss) 1,593 558 3,448 3,481 6,157 2,674 4,237 2,676 (7,016) 39,131 1,244 (227) (51,420) (5,018)

EXPENSES: Investment management fees (Note 3) 16 635 8 89 119 7 – – – 1,221 50 – 1,642 212 Performance fees (Note 3) – 3 – – – – – – – – – – – – Distribution fees (Note 3) – 58 – – – – – – – 974 39 – 760 35 Administrator and custodian fees (Note 3) 5 72 38 42 37 15 36 43 33 206 6 2 183 27 Shareholder service fees (Note 3) – 17 – – – – – – – 281 12 – 509 20 Legal fees – 3 1 1 1 – 1 2 1 7 – – 7 1 Audit fees 11 18 6 15 17 8 8 11 10 26 15 11 15 13 Printing fees 1 9 5 5 5 2 5 6 4 25 – 1 25 3 Dividend expense – – – – – – – – – – – – – – Interest expense – 2,309 67 – – – 129 92 73 – – – – – Directors’ fees and expenses (Note 3) – 1 – 1 – – – 1 1 2 – – 3 – Other expenses 5 30 9 16 14 3 8 15 13 87 – 1 93 10

Total Expenses 38 3,155 134 169 193 35 187 170 135 2,829 122 15 3,237 321

Expense waivers and reimbursements/recoupment (Note 3) – – – – – – – – – (1) (11) – (1) – Total Net Expenses 38 3,155 134 169 193 35 187 170 135 2,828 111 15 3,236 321

Net Profit/(Loss) before finance costs 1,555 (2,597) 3,314 3,312 5,964 2,639 4,050 2,506 (7,151) 36,303 1,133 (242) (54,656) (5,339)

FINANCE COSTS: Distributions to holders of redeemable participating shares (Note 4) – (9) – (810) – (206) (278) – (2,315) (3,298) (70) – – –

Profit/(Loss) for the financial period 1,555 (2,606) 3,314 2,502 5,964 2,433 3,772 2,506 (9,466) 33,005 1,063 (242) (54,656) (5,339) Withholding taxes on dividends and other taxation – – (27) (10) – – (2) 15 – (212) (18) (6) (936) (124)

Increase/(Decrease) in Net Assets attributable to Holders of Redeemable Participating Shares $ 1,555 $ (2,606) £ 3,287 $ 2,492 $ 5,964 £ 2,433 £ 3,770 $ 2,521 E (9,466) $ 32,793 $ 1,045 $ (248) $ (55,592) $ (5,463)

The accompanying notes are an integral part of the Financial Statements

297 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Profit and Loss Account – (continued) Legg Mason Legg Mason Legg Mason Capital Legg Mason Legg Mason ClearBridge ClearBridge Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Management ClearBridge ClearBridge US Large Cap US Aggressive US Small Cap Legg Mason Royce Legg Mason Royce European Smaller Global Smaller Legg Mason Permal Legg Mason Batterymarch Opportunity US Appreciation US Fundamental Growth Fund for Growth Fund for Opportunity Smaller Companies Smaller Companies Companies Companies Fund for Legg Mason PCM US Global Absolute GC Global Equity European Equity Fund for the six Fund for the six Value Fund for the six the six months the six months Fund for the six Fund for the six Fund II^GG for the Fund^ for the six the six months Equity Fund for the Fund for the six Fund for the six Fund for the six months ended months ended months ended ended ended months ended months ended period ended months ended ended six months ended months ended months ended months ended August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) INVESTMENT INCOME: Gross dividend income and bond Interest $ 977 $ 2,381 $ 1,368 $ 253 $ 903 $ 1,264 $ 2,683 $ 236 E 55 $ 113 $ – $ 621 $ 24 E 2,274 Interest 5 4 1 – 6 34 63 6 – – – 40 – 2 Equalisation (2) 7 1 – – – – – – 22 – – – (44) Other income – – – – – – – – – – – 9 – – Net gain/(loss) on financial assets and liabilities at fair value through profit or loss: Net realised gain/(loss) on financial instruments held for trading (2,607) 2,770 3,533 2,502 766 16,024 23,658 (7,961) 132 960 – 881 56 (127) Net unrealised gain/(loss) on financial instruments held for trading (21,218) (19,622) (25,945) (5,587) (17,479) (81,363) (104,457) (7,768) (429) (1,287) – (4,105) (194) (13,938)

Total Investment Income/(Loss) (22,845) (14,460) (21,042) (2,832) (15,804) (64,041) (78,053) (15,487) (242) (192) – (2,554) (114) (11,833)

EXPENSES: Investment management fees (Note 3) 383 704 466 141 805 1,670 3,151 318 – 26 – 400 6 228 Performance fees (Note 3) – – – – – – – – – – – – – – Distribution fees (Note 3) 20 415 431 142 538 843 1,518 159 – 6 – 250 4 223 Administrator and custodian fees (Note 3) 41 96 63 17 91 152 291 29 1 4 – 59 1 36 Shareholder service fees (Note 3) 14 205 45 23 136 544 978 111 – 4 – 131 3 19 Legal fees 2 4 2 1 3 5 10 1 – – – 2 – 1 Audit fees 12 18 16 16 17 15 17 8 8 12 – 14 15 12 Printing fees 6 12 8 2 11 19 34 – – – – 7 – 5 Dividend expense – – – – – – – – – – – – – – Interest expense 30 – – – – – – – 1 – – 87 – – Directors’ fees and expenses (Note 3) 1 1 1 – 1 2 2 – – – – 1 – – Other expenses 20 43 33 6 40 65 98 3 3 5 – 31 – 16

Total Expenses 529 1,498 1,065 348 1,642 3,315 6,099 629 13 57 – 982 29 540

Expense waivers and reimbursements/recoupment (Note 3) – (7) (4) (5) (5) (5) (1) – (10) (8) – – (14) (1) Total Net Expenses 529 1,491 1,061 343 1,637 3,310 6,098 629 3 49 – 982 15 539

Net Profit/(Loss) before finance costs (23,374) (15,951) (22,103) (3,175) (17,441) (67,351) (84,151) (16,116) (245) (241) – (3,536) (129) (12,372)

FINANCE COSTS: Distributions to holders of redeemable participating shares (Note 4) – (13) (1) – – – – – – – – (18) – (46)

Profit/(Loss) for the financial period (23,374) (15,964) (22,104) (3,175) (17,441) (67,351) (84,151) (16,116) (245) (241) – (3,554) (129) (12,418) Withholding taxes on dividends and other taxation (62) (706) (338) (74) (113) (360) (668) (62) (7) (15) – (109) – (240)

Increase/(Decrease) in Net Assets attributable to Holders of Redeemable Participating Shares $ (23,436) $ (16,670) $ (22,442) $ (3,249) $ (17,554) $ (67,711) $ (84,819) $ (16,178) E (252) $ (256) $ – $ (3,663) $ (129) E (12,658)

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

298 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Profit and Loss Account – (continued) Legg Mason Legg Mason Legg Mason Capital Legg Mason Legg Mason ClearBridge ClearBridge Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Management ClearBridge ClearBridge US Large Cap US Aggressive US Small Cap Legg Mason Royce Legg Mason Royce European Smaller Global Smaller Legg Mason Permal Legg Mason Batterymarch Opportunity US Appreciation US Fundamental Growth Fund for Growth Fund for Opportunity Smaller Companies Smaller Companies Companies Companies Fund for Legg Mason PCM US Global Absolute GC Global Equity European Equity Fund for the six Fund for the six Value Fund for the six the six months the six months Fund for the six Fund for the six Fund II^GG for the Fund^ for the six the six months Equity Fund for the Fund for the six Fund for the six Fund for the six months ended months ended months ended ended ended months ended months ended period ended months ended ended six months ended months ended months ended months ended August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) INVESTMENT INCOME: Gross dividend income and bond Interest $ 977 $ 2,381 $ 1,368 $ 253 $ 903 $ 1,264 $ 2,683 $ 236 E 55 $ 113 $ – $ 621 $ 24 E 2,274 Interest 5 4 1 – 6 34 63 6 – – – 40 – 2 Equalisation (2) 7 1 – – – – – – 22 – – – (44) Other income – – – – – – – – – – – 9 – – Net gain/(loss) on financial assets and liabilities at fair value through profit or loss: Net realised gain/(loss) on financial instruments held for trading (2,607) 2,770 3,533 2,502 766 16,024 23,658 (7,961) 132 960 – 881 56 (127) Net unrealised gain/(loss) on financial instruments held for trading (21,218) (19,622) (25,945) (5,587) (17,479) (81,363) (104,457) (7,768) (429) (1,287) – (4,105) (194) (13,938)

Total Investment Income/(Loss) (22,845) (14,460) (21,042) (2,832) (15,804) (64,041) (78,053) (15,487) (242) (192) – (2,554) (114) (11,833)

EXPENSES: Investment management fees (Note 3) 383 704 466 141 805 1,670 3,151 318 – 26 – 400 6 228 Performance fees (Note 3) – – – – – – – – – – – – – – Distribution fees (Note 3) 20 415 431 142 538 843 1,518 159 – 6 – 250 4 223 Administrator and custodian fees (Note 3) 41 96 63 17 91 152 291 29 1 4 – 59 1 36 Shareholder service fees (Note 3) 14 205 45 23 136 544 978 111 – 4 – 131 3 19 Legal fees 2 4 2 1 3 5 10 1 – – – 2 – 1 Audit fees 12 18 16 16 17 15 17 8 8 12 – 14 15 12 Printing fees 6 12 8 2 11 19 34 – – – – 7 – 5 Dividend expense – – – – – – – – – – – – – – Interest expense 30 – – – – – – – 1 – – 87 – – Directors’ fees and expenses (Note 3) 1 1 1 – 1 2 2 – – – – 1 – – Other expenses 20 43 33 6 40 65 98 3 3 5 – 31 – 16

Total Expenses 529 1,498 1,065 348 1,642 3,315 6,099 629 13 57 – 982 29 540

Expense waivers and reimbursements/recoupment (Note 3) – (7) (4) (5) (5) (5) (1) – (10) (8) – – (14) (1) Total Net Expenses 529 1,491 1,061 343 1,637 3,310 6,098 629 3 49 – 982 15 539

Net Profit/(Loss) before finance costs (23,374) (15,951) (22,103) (3,175) (17,441) (67,351) (84,151) (16,116) (245) (241) – (3,536) (129) (12,372)

FINANCE COSTS: Distributions to holders of redeemable participating shares (Note 4) – (13) (1) – – – – – – – – (18) – (46)

Profit/(Loss) for the financial period (23,374) (15,964) (22,104) (3,175) (17,441) (67,351) (84,151) (16,116) (245) (241) – (3,554) (129) (12,418) Withholding taxes on dividends and other taxation (62) (706) (338) (74) (113) (360) (668) (62) (7) (15) – (109) – (240)

Increase/(Decrease) in Net Assets attributable to Holders of Redeemable Participating Shares $ (23,436) $ (16,670) $ (22,442) $ (3,249) $ (17,554) $ (67,711) $ (84,819) $ (16,178) E (252) $ (256) $ – $ (3,663) $ (129) E (12,658)

The accompanying notes are an integral part of the Financial Statements

299 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Profit and Loss Account – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch Asia Batterymarch 130/ Batterymarch Batterymarch Batterymarch Congruix Asia Legg Mason Esemplia Emerging Pacific Equity 30 Global Equity International Large Emerging Markets Global Equity Pacific Fund^ for Congruix Japan Legg Mason LMHK Markets Select Legg Mason Global Fund for the six Fund^ for the six Cap Fund for the six Equity Fund for the Fund for the six the six months Equity Fund for the China Fund for the Equity Fund for the Funds Plc for the six months ended months ended months ended six months ended months ended ended six months ended six months ended six months ended months ended August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) INVESTMENT INCOME: Gross dividend income and bond Interest $ 2,967 $ – $ 372 $ 565 $ 195 $ – ¥ – $ 120 $ 80 $ 171,390 Interest – – – – – – – – – 326 Equalisation (155) – – (164) (35) – – 4 – (1,413) Other income – – – – – – – – – 1,550 Net gain/(loss) on financial assets and liabilities at fair value through profit or loss: Net realised gain/(loss) on financial instruments held for trading 8,607 – 371 5,136 (475) – – 314 57 144,389 Net unrealised gain/(loss) on financial instruments held for trading (11,824) – (2,280) (6,493) (1,129) – – (704) (600) (444,111)

Total Investment Income/(Loss) (405) – (1,537) (956) (1,444) – – (266) (463) (127,869)

EXPENSES: Investment management fees (Note 3) 755 – 69 130 30 – – – – 33,185 Performance fees (Note 3) – – – – – – – – – 3 Distribution fees (Note 3) 502 – 64 84 29 – – – – 15,504 Administrator and custodian fees (Note 3) 71 – 7 12 6 – – 3 3 5,679 Shareholder service fees (Note 3) 227 – 6 46 – – – – – 4,684 Legal fees 2 – – 1 – – – – – 196 Audit fees 18 – 14 18 11 – – 10 11 782 Printing fees 9 – – 2 1 – – 1 – 698 Dividend expense – – – – – – – – – – Interest expense – – – – – – – – – 8,729 Directors’ fees and expenses (Note 3) 1 – – – – – – – – 68 Other expenses 54 – – 19 2 – – 1 1 2,284

Total Expenses 1,639 – 160 312 79 – – 15 15 71,812

Expense waivers and reimbursements/recoupment (Note 3) (10) – (2) (20) – – – – – (10,357) Total Net Expenses 1,629 – 158 292 79 – – 15 15 61,455

Net Profit/(Loss) before finance costs (2,034) – (1,695) (1,248) (1,523) – – (281) (478) (189,324)

FINANCE COSTS: Distributions to holders of redeemable participating shares (Note 4) (19) – (14) (7) – – – – – (36,965)

Profit/(Loss) for the financial period (2,053) – (1,709) (1,255) (1,523) – – (281) (478) (226,289) Withholding taxes on dividends and other taxation (276) – (28) (74) (28) – – (10) (9) (5,580)

Increase/(Decrease) in Net Assets attributable to Holders of Redeemable Participating Shares $ (2,329) $ – $ (1,737) $ (1,329) $ (1,551) $ – ¥ – $ (291) $ (487) $ (231,869)

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

300 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Profit and Loss Account – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch Asia Batterymarch 130/ Batterymarch Batterymarch Batterymarch Congruix Asia Legg Mason Esemplia Emerging Pacific Equity 30 Global Equity International Large Emerging Markets Global Equity Pacific Fund^ for Congruix Japan Legg Mason LMHK Markets Select Legg Mason Global Fund for the six Fund^ for the six Cap Fund for the six Equity Fund for the Fund for the six the six months Equity Fund for the China Fund for the Equity Fund for the Funds Plc for the six months ended months ended months ended six months ended months ended ended six months ended six months ended six months ended months ended August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) INVESTMENT INCOME: Gross dividend income and bond Interest $ 2,967 $ – $ 372 $ 565 $ 195 $ – ¥ – $ 120 $ 80 $ 171,390 Interest – – – – – – – – – 326 Equalisation (155) – – (164) (35) – – 4 – (1,413) Other income – – – – – – – – – 1,550 Net gain/(loss) on financial assets and liabilities at fair value through profit or loss: Net realised gain/(loss) on financial instruments held for trading 8,607 – 371 5,136 (475) – – 314 57 144,389 Net unrealised gain/(loss) on financial instruments held for trading (11,824) – (2,280) (6,493) (1,129) – – (704) (600) (444,111)

Total Investment Income/(Loss) (405) – (1,537) (956) (1,444) – – (266) (463) (127,869)

EXPENSES: Investment management fees (Note 3) 755 – 69 130 30 – – – – 33,185 Performance fees (Note 3) – – – – – – – – – 3 Distribution fees (Note 3) 502 – 64 84 29 – – – – 15,504 Administrator and custodian fees (Note 3) 71 – 7 12 6 – – 3 3 5,679 Shareholder service fees (Note 3) 227 – 6 46 – – – – – 4,684 Legal fees 2 – – 1 – – – – – 196 Audit fees 18 – 14 18 11 – – 10 11 782 Printing fees 9 – – 2 1 – – 1 – 698 Dividend expense – – – – – – – – – – Interest expense – – – – – – – – – 8,729 Directors’ fees and expenses (Note 3) 1 – – – – – – – – 68 Other expenses 54 – – 19 2 – – 1 1 2,284

Total Expenses 1,639 – 160 312 79 – – 15 15 71,812

Expense waivers and reimbursements/recoupment (Note 3) (10) – (2) (20) – – – – – (10,357) Total Net Expenses 1,629 – 158 292 79 – – 15 15 61,455

Net Profit/(Loss) before finance costs (2,034) – (1,695) (1,248) (1,523) – – (281) (478) (189,324)

FINANCE COSTS: Distributions to holders of redeemable participating shares (Note 4) (19) – (14) (7) – – – – – (36,965)

Profit/(Loss) for the financial period (2,053) – (1,709) (1,255) (1,523) – – (281) (478) (226,289) Withholding taxes on dividends and other taxation (276) – (28) (74) (28) – – (10) (9) (5,580)

Increase/(Decrease) in Net Assets attributable to Holders of Redeemable Participating Shares $ (2,329) $ – $ (1,737) $ (1,329) $ (1,551) $ – ¥ – $ (291) $ (487) $ (231,869)

The accompanying notes are an integral part of the Financial Statements

301 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Profit and Loss Account – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Legg Mason Legg Mason Western Asset Western Asset Legg Mason Western Western Asset Euro Diversified Western Asset Western Asset Western Asset Western Asset US Short-Term Western Asset Inflation Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Core Plus Bond Strategic Income Global Multi US High Yield Emerging Markets Global High Yield Government US Adjustable Rate Management Opportunities Global Blue Chip Fund for the year Fund for the year Bond Fund for the Fund for the year Fund for the year Strategy Fund for Fund for the year Bond Fund for the Fund for the year Fund for the year Fund for the year Fund for the year Fund for the year Bond Fund for the ended ended year ended ended ended the year ended ended year ended ended ended ended ended ended year ended February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) INVESTMENT INCOME: Gross dividend income and bond Interest $ 13,919 $ 738 $ 2,373 E 1,129 $ 2,416 $ 46,661 $ 18,832 $ 11,472 $ 29,961 $ 1,152 $ 276 $ 135 $ 17,608 $ 5,959 Interest 3 – 15 8 – 9 6 2 1 2 – – 7 2 Equalisation (3) 26 96 (2) (125) 2,183 (2,442) 612 2,647 (2) – 54 2,925 299 Other income – 23 9 10 336 1,658 135 – 3,129 – – – 132 – Net gain/(loss) on Financial Assets and Liabilities at fair value through profit or loss: Net realised gain/(loss) on financial instruments held for trading 24 (92) (837) 39 (30) 44,793 7,741 3,962 11,376 274 206 (40) 6,836 5,713 Net unrealised gain/(loss) on financial instruments held for trading – 900 3,067 (891) 2,460 36,255 15,079 704 20,197 2 2,112 299 5,007 6,486

Total Investment Income/(Loss) 13,943 1,595 4,723 293 5,057 131,559 39,351 16,752 67,311 1,428 2,594 448 32,515 18,459

EXPENSES: Investment management fees (Note 3) 20,582 80 307 110 404 4,447 671 1,441 2,521 296 157 28 1,579 717 Performance fees (Note 3) – – – – – – – – – – – – – – Distribution fees (Note 3) 4,147 122 233 82 440 3,867 544 845 1,496 379 190 37 1,113 190 Administrator and custodian fees (Note 3) 3,857 17 69 28 59 858 214 154 356 51 24 4 311 191 Shareholder service fees (Note 3) – 22 22 12 58 908 80 159 317 40 14 3 260 37 Legal fees 222 – 2 1 2 56 10 7 26 2 1 – 20 14 Audit fees 48 41 47 28 43 66 55 51 46 42 38 40 49 18 Printing fees 623 2 3 1 7 144 31 14 73 5 2 – 50 39 Dividend expense – – – – – – – – – – – – – – Interest expense – – 2 47 36 791 – 237 2 – – – 4,089 303 Directors’ fees and expenses (Note 3) 37 – – – 1 7 1 2 3 1 – – 3 2 Other expenses 2,349 5 11 1 17 472 82 56 167 22 5 – 144 110

Total Expenses 31,865 289 696 310 1,067 11,616 1,688 2,966 5,007 838 431 112 7,618 1,621

Expense waivers and reimbursements/recoupment (Note 3) (19,251) (1) (10) – (4) (29) (12) (13) (46) (18) (10) (43) (11) – Total Net Expenses 12,614 288 686 310 1,063 11,587 1,676 2,953 4,961 820 421 69 7,607 1,621

Net Profit/(Loss) before finance costs 1,329 1,307 4,037 (17) 3,994 119,972 37,675 13,799 62,350 608 2,173 379 24,908 16,838

FINANCE COSTS: Distributions to holders of redeemable participating shares (Note 4) (1,303) (330) (604) (175) (1,294) (21,817) (8,555) (2,831) (4,852) (214) – (61) (2,243) (3,381)

Profit/(Loss) for the financial year 26 977 3,433 (192) 2,700 98,155 29,120 10,968 57,498 394 2,173 318 22,665 13,457 Withholding taxes on dividends and other taxation – – (2) (4) (18) (227) (83) (160) (115) – – – (158) –

Increase/(Decrease) in Net Assets attributable to Holders of Redeemable Participating Shares $ 26 $ 977 $ 3,431 E (196) $ 2,682 $ 97,928 $ 29,037 $ 10,808 $ 57,383 $ 394 $ 2,173 $ 318 $ 22,507 $ 13,457

Amounts designated as "-" are either $0/E0/¥0/£0 or less than $1,000/E1,000/¥1,000/£1,000. Gains and losses are solely from continuing operations. There were no other gains or losses other than those dealt with in the Profit and Loss Account. The Euro figures for Legg Mason Western Asset Euro Core Plus Bond Fund, Legg Mason Western Asset Euro High Yield Fund^, Legg Mason Royce European Smaller Companies Fund^ and Legg Mason Batterymarch European Equity Fund have been converted into US Dollars in the total figure for Legg Mason Global Funds Plc for the year ended February 28, 2011, using the USD/EUR rate of 0.7580. The Yen figures for Legg Mason Congruix Japan Equity Fund have been converted into US Dollars in the total figure for Legg Mason Global Funds Plc for the year ended February 28, 2011 using the USD/JPY rate of 86.2813. The Sterling figures for Legg Mason Western Asset UK£ Core Plus Bond Fund^, Legg Mason Western Asset UK£ Inflation-Linked Plus Fund^ and Legg Mason Western Asset UK£ Long Duration Fund^ have been converted into US Dollars in the total figure for Legg Mason Global Funds Plc as at February 28, 2011, using the USD/GBP rate of 0.6465. 6 Effective January 20, 2010, the Fund ceased trading. G Effective March 25, 2010, the Fund commenced trading. I Effective May 20, 2010, the Fund commenced trading. V Effective June 25, 2010, the Fund commenced trading. ‡ Effective August 2, 2010, the Fund commenced trading. ? Effective August 24, 2010, the Fund ceased trading. o¨ Effective October 1, 2010, the Fund commenced trading. ± Effective November 19, 2010, the Fund commenced trading. Y´ Effective November 30, 2010, the Fund ceased trading. µ Effective December 3, 2010, the Fund commenced trading. =/ Effective December 29, 2010, the Fund commenced trading. Þ Effective February 28, 2011, the Fund ceased trading. ^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

302 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Profit and Loss Account – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Legg Mason Legg Mason Western Asset Western Asset Legg Mason Western Western Asset Euro Diversified Western Asset Western Asset Western Asset Western Asset US Short-Term Western Asset Inflation Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Core Plus Bond Strategic Income Global Multi US High Yield Emerging Markets Global High Yield Government US Adjustable Rate Management Opportunities Global Blue Chip Fund for the year Fund for the year Bond Fund for the Fund for the year Fund for the year Strategy Fund for Fund for the year Bond Fund for the Fund for the year Fund for the year Fund for the year Fund for the year Fund for the year Bond Fund for the ended ended year ended ended ended the year ended ended year ended ended ended ended ended ended year ended February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) INVESTMENT INCOME: Gross dividend income and bond Interest $ 13,919 $ 738 $ 2,373 E 1,129 $ 2,416 $ 46,661 $ 18,832 $ 11,472 $ 29,961 $ 1,152 $ 276 $ 135 $ 17,608 $ 5,959 Interest 3 – 15 8 – 9 6 2 1 2 – – 7 2 Equalisation (3) 26 96 (2) (125) 2,183 (2,442) 612 2,647 (2) – 54 2,925 299 Other income – 23 9 10 336 1,658 135 – 3,129 – – – 132 – Net gain/(loss) on Financial Assets and Liabilities at fair value through profit or loss: Net realised gain/(loss) on financial instruments held for trading 24 (92) (837) 39 (30) 44,793 7,741 3,962 11,376 274 206 (40) 6,836 5,713 Net unrealised gain/(loss) on financial instruments held for trading – 900 3,067 (891) 2,460 36,255 15,079 704 20,197 2 2,112 299 5,007 6,486

Total Investment Income/(Loss) 13,943 1,595 4,723 293 5,057 131,559 39,351 16,752 67,311 1,428 2,594 448 32,515 18,459

EXPENSES: Investment management fees (Note 3) 20,582 80 307 110 404 4,447 671 1,441 2,521 296 157 28 1,579 717 Performance fees (Note 3) – – – – – – – – – – – – – – Distribution fees (Note 3) 4,147 122 233 82 440 3,867 544 845 1,496 379 190 37 1,113 190 Administrator and custodian fees (Note 3) 3,857 17 69 28 59 858 214 154 356 51 24 4 311 191 Shareholder service fees (Note 3) – 22 22 12 58 908 80 159 317 40 14 3 260 37 Legal fees 222 – 2 1 2 56 10 7 26 2 1 – 20 14 Audit fees 48 41 47 28 43 66 55 51 46 42 38 40 49 18 Printing fees 623 2 3 1 7 144 31 14 73 5 2 – 50 39 Dividend expense – – – – – – – – – – – – – – Interest expense – – 2 47 36 791 – 237 2 – – – 4,089 303 Directors’ fees and expenses (Note 3) 37 – – – 1 7 1 2 3 1 – – 3 2 Other expenses 2,349 5 11 1 17 472 82 56 167 22 5 – 144 110

Total Expenses 31,865 289 696 310 1,067 11,616 1,688 2,966 5,007 838 431 112 7,618 1,621

Expense waivers and reimbursements/recoupment (Note 3) (19,251) (1) (10) – (4) (29) (12) (13) (46) (18) (10) (43) (11) – Total Net Expenses 12,614 288 686 310 1,063 11,587 1,676 2,953 4,961 820 421 69 7,607 1,621

Net Profit/(Loss) before finance costs 1,329 1,307 4,037 (17) 3,994 119,972 37,675 13,799 62,350 608 2,173 379 24,908 16,838

FINANCE COSTS: Distributions to holders of redeemable participating shares (Note 4) (1,303) (330) (604) (175) (1,294) (21,817) (8,555) (2,831) (4,852) (214) – (61) (2,243) (3,381)

Profit/(Loss) for the financial year 26 977 3,433 (192) 2,700 98,155 29,120 10,968 57,498 394 2,173 318 22,665 13,457 Withholding taxes on dividends and other taxation – – (2) (4) (18) (227) (83) (160) (115) – – – (158) –

Increase/(Decrease) in Net Assets attributable to Holders of Redeemable Participating Shares $ 26 $ 977 $ 3,431 E (196) $ 2,682 $ 97,928 $ 29,037 $ 10,808 $ 57,383 $ 394 $ 2,173 $ 318 $ 22,507 $ 13,457

Amounts designated as "-" are either $0/E0/¥0/£0 or less than $1,000/E1,000/¥1,000/£1,000. Gains and losses are solely from continuing operations. There were no other gains or losses other than those dealt with in the Profit and Loss Account. The Euro figures for Legg Mason Western Asset Euro Core Plus Bond Fund, Legg Mason Western Asset Euro High Yield Fund^, Legg Mason Royce European Smaller Companies Fund^ and Legg Mason Batterymarch European Equity Fund have been converted into US Dollars in the total figure for Legg Mason Global Funds Plc for the year ended February 28, 2011, using the USD/EUR rate of 0.7580. The Yen figures for Legg Mason Congruix Japan Equity Fund have been converted into US Dollars in the total figure for Legg Mason Global Funds Plc for the year ended February 28, 2011 using the USD/JPY rate of 86.2813. The Sterling figures for Legg Mason Western Asset UK£ Core Plus Bond Fund^, Legg Mason Western Asset UK£ Inflation-Linked Plus Fund^ and Legg Mason Western Asset UK£ Long Duration Fund^ have been converted into US Dollars in the total figure for Legg Mason Global Funds Plc as at February 28, 2011, using the USD/GBP rate of 0.6465. 6 Effective January 20, 2010, the Fund ceased trading. G Effective March 25, 2010, the Fund commenced trading. I Effective May 20, 2010, the Fund commenced trading. V Effective June 25, 2010, the Fund commenced trading. ‡ Effective August 2, 2010, the Fund commenced trading. ? Effective August 24, 2010, the Fund ceased trading. o¨ Effective October 1, 2010, the Fund commenced trading. ± Effective November 19, 2010, the Fund commenced trading. Y´ Effective November 30, 2010, the Fund ceased trading. µ Effective December 3, 2010, the Fund commenced trading. =/ Effective December 29, 2010, the Fund commenced trading. Þ Effective February 28, 2011, the Fund ceased trading.

The accompanying notes are an integral part of the Financial Statements

303 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Profit and Loss Account – (continued) Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Global Credit Legg Mason Western Western Asset Western Asset Western Asset UK£ Western Asset UK£ Western Asset Western Asset Euro Brandywine Global Brandywine Global Legg Mason Legg Mason Capital Legg Mason Capital Brazil Bond Absolute Return Asset UK£ Core Plus Global Core Plus Global Inflation- Inflation-Linked Long Duration Global Credit High Yield Fixed Income Opportunistic Fixed Western Asset Brazil Management Value Management Fund^GG for the Fund^I for the Bond Fund^µ for the Bond Fund^± for Linked Fund± for Plus Fund^± for the Fund^± for the Fund± for the period Fund^µ for the Fund for the year Income Fund^V for Equity Fund^o¨for Fund for the year Growth Fund for the period ended period ended period ended the period ended the period ended period ended period ended ended period ended ended the period ended the period ended ended year ended February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) INVESTMENT INCOME: Gross dividend income and bond Interest $ 1,072 $ 1,518 £ 943 $ 1,283 $ 760 £ 313 £ 937 $ 781 E 1,500 $ 15,254 $ 142 $ 46 $ 5,893 $ 831 Interest – 24 5 1 4 1 11 4 28 8 – – 4 – Equalisation 2 – – (127) 1 – – (376) 6 195 – – 43 1 Other income – – – 11 – – – – – 1 – – 1 – Net gain/(loss) on Financial Assets and Liabilities at fair value through profit or loss: Net realised gain/(loss) on financial instruments held for trading 407 6,156 206 (1,931) (833) (78) (321) (1,448) 410 (4,578) 147 165 (4,217) 8,206 Net unrealised gain/(loss) on financial instruments held for trading 235 3,168 (547) 1,845 930 402 (412) 107 1,731 23,077 161 (238) 69,594 2,150

Total Investment Income/(Loss) 1,716 10,866 607 1,082 862 638 215 (932) 3,675 33,957 450 (27) 71,318 11,188

EXPENSES: Investment management fees (Note 3) 25 595 4 53 72 4 – 50 1 2,121 20 – 4,326 370 Performance fees (Note 3) – 25 – – – – – – – – – – – – Distribution fees (Note 3) – 31 – 1 – – – – – 1,833 16 – 2,152 83 Administrator and custodian fees (Note 3) 9 71 20 27 22 8 19 21 16 347 3 2 489 49 Shareholder service fees (Note 3) – 9 – – – – – – – 528 5 – 1,448 49 Legal fees – 3 1 1 1 – 1 1 1 15 – – 13 2 Audit fees 18 37 9 29 30 13 14 18 19 53 29 21 29 26 Printing fees – 9 3 4 3 1 2 3 2 38 – – 50 5 Dividend expense – – – – – – – – – – – – – – Interest expense – 1,482 27 35 1 – 16 48 45 1 – – 1 – Directors’ fees and expenses (Note 3) – – – – – – – – – 3 – – 5 – Other expenses – 22 15 17 15 9 9 19 10 187 – – 207 16

Total Expenses 52 2,284 79 167 144 35 61 160 94 5,126 73 23 8,720 600

Expense waivers and reimbursements/recoupment (Note 3) – – (12) (5) (21) (12) (10) (5) (14) (15) (28) – (2) (1) Total Net Expenses 52 2,284 67 162 123 23 51 155 80 5,111 45 23 8,718 599

Net Profit/(Loss) before finance costs 1,664 8,582 540 920 739 615 164 (1,087) 3,595 28,846 405 (50) 62,600 10,589

FINANCE COSTS: Distributions to holders of redeemable participating shares (Note 4) – – – (63) – (99) (136) – (226) (10,725) (86) – – –

Profit/(Loss) for the financial year 1,664 8,582 540 857 739 516 28 (1,087) 3,369 18,121 319 (50) 62,600 10,589 Withholding taxes on dividends and other taxation (191) (7) (1) (10) – – – (11) – (337) (6) (104) (1,731) (231)

Increase/(Decrease) in Net Assets attributable to Holders of Redeemable Participating Shares $ 1,473 $ 8,575 £ 539 $ 847 $ 739 £ 516 £ 28 $ (1,098) E 3,369 $ 17,784 $ 313 $ (154) $ 60,869 $ 10,358

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

304 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Profit and Loss Account – (continued) Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Global Credit Legg Mason Western Western Asset Western Asset Western Asset UK£ Western Asset UK£ Western Asset Western Asset Euro Brandywine Global Brandywine Global Legg Mason Legg Mason Capital Legg Mason Capital Brazil Bond Absolute Return Asset UK£ Core Plus Global Core Plus Global Inflation- Inflation-Linked Long Duration Global Credit High Yield Fixed Income Opportunistic Fixed Western Asset Brazil Management Value Management Fund^GG for the Fund^I for the Bond Fund^µ for the Bond Fund^± for Linked Fund± for Plus Fund^± for the Fund^± for the Fund± for the period Fund^µ for the Fund for the year Income Fund^V for Equity Fund^o¨for Fund for the year Growth Fund for the period ended period ended period ended the period ended the period ended period ended period ended ended period ended ended the period ended the period ended ended year ended February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) INVESTMENT INCOME: Gross dividend income and bond Interest $ 1,072 $ 1,518 £ 943 $ 1,283 $ 760 £ 313 £ 937 $ 781 E 1,500 $ 15,254 $ 142 $ 46 $ 5,893 $ 831 Interest – 24 5 1 4 1 11 4 28 8 – – 4 – Equalisation 2 – – (127) 1 – – (376) 6 195 – – 43 1 Other income – – – 11 – – – – – 1 – – 1 – Net gain/(loss) on Financial Assets and Liabilities at fair value through profit or loss: Net realised gain/(loss) on financial instruments held for trading 407 6,156 206 (1,931) (833) (78) (321) (1,448) 410 (4,578) 147 165 (4,217) 8,206 Net unrealised gain/(loss) on financial instruments held for trading 235 3,168 (547) 1,845 930 402 (412) 107 1,731 23,077 161 (238) 69,594 2,150

Total Investment Income/(Loss) 1,716 10,866 607 1,082 862 638 215 (932) 3,675 33,957 450 (27) 71,318 11,188

EXPENSES: Investment management fees (Note 3) 25 595 4 53 72 4 – 50 1 2,121 20 – 4,326 370 Performance fees (Note 3) – 25 – – – – – – – – – – – – Distribution fees (Note 3) – 31 – 1 – – – – – 1,833 16 – 2,152 83 Administrator and custodian fees (Note 3) 9 71 20 27 22 8 19 21 16 347 3 2 489 49 Shareholder service fees (Note 3) – 9 – – – – – – – 528 5 – 1,448 49 Legal fees – 3 1 1 1 – 1 1 1 15 – – 13 2 Audit fees 18 37 9 29 30 13 14 18 19 53 29 21 29 26 Printing fees – 9 3 4 3 1 2 3 2 38 – – 50 5 Dividend expense – – – – – – – – – – – – – – Interest expense – 1,482 27 35 1 – 16 48 45 1 – – 1 – Directors’ fees and expenses (Note 3) – – – – – – – – – 3 – – 5 – Other expenses – 22 15 17 15 9 9 19 10 187 – – 207 16

Total Expenses 52 2,284 79 167 144 35 61 160 94 5,126 73 23 8,720 600

Expense waivers and reimbursements/recoupment (Note 3) – – (12) (5) (21) (12) (10) (5) (14) (15) (28) – (2) (1) Total Net Expenses 52 2,284 67 162 123 23 51 155 80 5,111 45 23 8,718 599

Net Profit/(Loss) before finance costs 1,664 8,582 540 920 739 615 164 (1,087) 3,595 28,846 405 (50) 62,600 10,589

FINANCE COSTS: Distributions to holders of redeemable participating shares (Note 4) – – – (63) – (99) (136) – (226) (10,725) (86) – – –

Profit/(Loss) for the financial year 1,664 8,582 540 857 739 516 28 (1,087) 3,369 18,121 319 (50) 62,600 10,589 Withholding taxes on dividends and other taxation (191) (7) (1) (10) – – – (11) – (337) (6) (104) (1,731) (231)

Increase/(Decrease) in Net Assets attributable to Holders of Redeemable Participating Shares $ 1,473 $ 8,575 £ 539 $ 847 $ 739 £ 516 £ 28 $ (1,098) E 3,369 $ 17,784 $ 313 $ (154) $ 60,869 $ 10,358

The accompanying notes are an integral part of the Financial Statements

305 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Profit and Loss Account – (continued) Legg Mason Capital Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Royce Legg Mason Royce Legg Mason Legg Mason Management ClearBridge ClearBridge ClearBridge ClearBridge US Small Cap Legg Mason Royce European Smaller Legg Mason Royce Legg Mason Permal Legg Mason Batterymarch Batterymarch Asia Opportunity US Appreciation US Fundamental US Large Cap US Aggressive Opportunity Smaller Companies Companies Global Smaller Legg Mason PCM US Global Absolute GC Global Equity European Equity Pacific Equity Fund for the year Fund for the year Value Fund for the Growth Fund for Growth Fund for Fund for the year Fund for the year Fund^ for the year Companies Fund for Equity Fund? for Fund for the year Fund for the year Fund for the year Fund for the year ended ended year ended the year ended the year ended ended ended ended the year ended the year ended ended ended ended ended February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) INVESTMENT INCOME: Gross dividend income and bond Interest $ 867 $ 2,933 $ 3,016 $ 405 $ 1,440 $ 1,462 $ 2,566 E 54 $ 77 $ 4 $ 619 $ 34 E 1,183 $ 4,034 Interest 1 4 – – 3 8 8 1 – – 19 – 1 2 Equalisation – 119 6 – 10 – (3) – 10 – (17) (1) (19) (230) Other income – – – – – – – 3 2 – 98 – 28 – Net gain/(loss) on Financial Assets and Liabilities at fair value through profit or loss: Net realised gain/(loss) on financial instruments held for trading 5,686 703 (562) 1,273 1,790 19,006 6,233 128 538 (139) 1,183 39 1,330 35,334 Net unrealised gain/(loss) on financial instruments held for trading 2,727 20,540 31,451 5,181 30,139 44,049 58,602 449 1,417 105 6,316 188 9,971 (4,627)

Total Investment Income/(Loss) 9,281 24,299 33,911 6,859 33,382 64,525 67,406 635 2,044 (30) 8,218 260 12,494 34,513

EXPENSES: Investment management fees (Note 3) 846 832 881 269 943 2,096 1,945 1 24 3 434 13 309 1,653 Performance fees (Note 3) – – – – – – – – – – – – – – Distribution fees (Note 3) 74 556 813 271 733 1,074 985 – 13 2 181 9 298 1,043 Administrator and custodian fees (Note 3) 94 113 115 34 110 196 187 2 4 – 63 2 45 158 Shareholder service fees (Note 3) 52 278 90 35 122 700 588 – 8 1 94 5 27 529 Legal fees 8 8 6 1 5 14 13 – – – 4 – 2 8 Audit fees 24 36 32 33 36 31 35 10 12 12 29 28 25 37 Printing fees 18 20 15 3 14 25 35 – 1 – 11 – 5 17 Dividend expense – – – – – – – – – – 24 – – – Interest expense – – – – – – – 1 – – 2 – – – Directors’ fees and expenses (Note 3) 1 1 1 – 1 2 1 – – – 1 – – 2 Other expenses 29 50 58 4 49 67 84 – 3 1 27 9 5 118

Total Expenses 1,146 1,894 2,011 650 2,013 4,205 3,873 14 65 19 870 66 716 3,565

Expense waivers and reimbursements/recoupment (Note 3) (6) (31) (10) (6) (11) (11) (14) (9) (12) (13) – (36) – (22) Total Net Expenses 1,140 1,863 2,001 644 2,002 4,194 3,859 5 53 6 870 30 716 3,543

Net Profit/(Loss) before finance costs 8,141 22,436 31,910 6,215 31,380 60,331 63,547 630 1,991 (36) 7,348 230 11,778 30,970

FINANCE COSTS: Distributions to holders of redeemable participating shares (Note 4) – (9) – – – – – – – – (30) – (67) –

Profit/(Loss) for the financial year 8,141 22,427 31,910 6,215 31,380 60,331 63,547 630 1,991 (36) 7,318 230 11,711 30,970 Withholding taxes on dividends and other taxation (127) (875) (786) (121) (360) (413) (613) (9) (12) (1) – (11) (154) (1,157)

Increase/(Decrease) in Net Assets attributable to Holders of Redeemable Participating Shares $ 8,014 $ 21,552 $ 31,124 $ 6,094 $ 31,020 $ 59,918 $ 62,934 E 621 $ 1,979 $ (37) $ 7,318 $ 219 E 11,557 $ 29,813

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

306 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Profit and Loss Account – (continued) Legg Mason Capital Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Royce Legg Mason Royce Legg Mason Legg Mason Management ClearBridge ClearBridge ClearBridge ClearBridge US Small Cap Legg Mason Royce European Smaller Legg Mason Royce Legg Mason Permal Legg Mason Batterymarch Batterymarch Asia Opportunity US Appreciation US Fundamental US Large Cap US Aggressive Opportunity Smaller Companies Companies Global Smaller Legg Mason PCM US Global Absolute GC Global Equity European Equity Pacific Equity Fund for the year Fund for the year Value Fund for the Growth Fund for Growth Fund for Fund for the year Fund for the year Fund^ for the year Companies Fund for Equity Fund? for Fund for the year Fund for the year Fund for the year Fund for the year ended ended year ended the year ended the year ended ended ended ended the year ended the year ended ended ended ended ended February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) INVESTMENT INCOME: Gross dividend income and bond Interest $ 867 $ 2,933 $ 3,016 $ 405 $ 1,440 $ 1,462 $ 2,566 E 54 $ 77 $ 4 $ 619 $ 34 E 1,183 $ 4,034 Interest 1 4 – – 3 8 8 1 – – 19 – 1 2 Equalisation – 119 6 – 10 – (3) – 10 – (17) (1) (19) (230) Other income – – – – – – – 3 2 – 98 – 28 – Net gain/(loss) on Financial Assets and Liabilities at fair value through profit or loss: Net realised gain/(loss) on financial instruments held for trading 5,686 703 (562) 1,273 1,790 19,006 6,233 128 538 (139) 1,183 39 1,330 35,334 Net unrealised gain/(loss) on financial instruments held for trading 2,727 20,540 31,451 5,181 30,139 44,049 58,602 449 1,417 105 6,316 188 9,971 (4,627)

Total Investment Income/(Loss) 9,281 24,299 33,911 6,859 33,382 64,525 67,406 635 2,044 (30) 8,218 260 12,494 34,513

EXPENSES: Investment management fees (Note 3) 846 832 881 269 943 2,096 1,945 1 24 3 434 13 309 1,653 Performance fees (Note 3) – – – – – – – – – – – – – – Distribution fees (Note 3) 74 556 813 271 733 1,074 985 – 13 2 181 9 298 1,043 Administrator and custodian fees (Note 3) 94 113 115 34 110 196 187 2 4 – 63 2 45 158 Shareholder service fees (Note 3) 52 278 90 35 122 700 588 – 8 1 94 5 27 529 Legal fees 8 8 6 1 5 14 13 – – – 4 – 2 8 Audit fees 24 36 32 33 36 31 35 10 12 12 29 28 25 37 Printing fees 18 20 15 3 14 25 35 – 1 – 11 – 5 17 Dividend expense – – – – – – – – – – 24 – – – Interest expense – – – – – – – 1 – – 2 – – – Directors’ fees and expenses (Note 3) 1 1 1 – 1 2 1 – – – 1 – – 2 Other expenses 29 50 58 4 49 67 84 – 3 1 27 9 5 118

Total Expenses 1,146 1,894 2,011 650 2,013 4,205 3,873 14 65 19 870 66 716 3,565

Expense waivers and reimbursements/recoupment (Note 3) (6) (31) (10) (6) (11) (11) (14) (9) (12) (13) – (36) – (22) Total Net Expenses 1,140 1,863 2,001 644 2,002 4,194 3,859 5 53 6 870 30 716 3,543

Net Profit/(Loss) before finance costs 8,141 22,436 31,910 6,215 31,380 60,331 63,547 630 1,991 (36) 7,348 230 11,778 30,970

FINANCE COSTS: Distributions to holders of redeemable participating shares (Note 4) – (9) – – – – – – – – (30) – (67) –

Profit/(Loss) for the financial year 8,141 22,427 31,910 6,215 31,380 60,331 63,547 630 1,991 (36) 7,318 230 11,711 30,970 Withholding taxes on dividends and other taxation (127) (875) (786) (121) (360) (413) (613) (9) (12) (1) – (11) (154) (1,157)

Increase/(Decrease) in Net Assets attributable to Holders of Redeemable Participating Shares $ 8,014 $ 21,552 $ 31,124 $ 6,094 $ 31,020 $ 59,918 $ 62,934 E 621 $ 1,979 $ (37) $ 7,318 $ 219 E 11,557 $ 29,813

The accompanying notes are an integral part of the Financial Statements

307 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Profit and Loss Account – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch 130/ Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Emerging 30 Global Equity International Large Emerging Markets Global Equity Congruix Asia Congruix Japan Legg Mason LMHK Markets Select Legg Mason Global Fund^6 for the Cap Fund for the Equity Fund for the Fund=/ for the Pacific Fund^Þ for Equity FundY´ for China Fund for the Equity Fund‡ for the Funds Plc for the year ended year ended year ended period ended the year ended the year ended year ended period ended year ended February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) INVESTMENT INCOME: Gross dividend income and bond Interest $ – $ 513 $ 2,900 $ 9 $ 2,620 ¥ 9,358 $ 125 $ 41 $ 211,348 Interest – – 1 – 1 – – – 216 Equalisation – – (206) – (373) (98) (4) – 5,299 Other income – 10 – – – – – – 5,248 Net gain/(loss) on Financial Assets and Liabilities at fair value through profit or loss: Net realised gain/(loss) on financial instruments held for trading – 64 26,698 (9) 16,003 71,250 (18) 158 194,314 Net unrealised gain/(loss) on financial instruments held for trading – 2,802 (3,920) 191 7,017 (6,802) 876 157 406,302

Total Investment Income/(Loss) – 3,389 25,473 191 25,268 73,708 979 356 822,727

EXPENSES: Investment management fees (Note 3) – 138 1,160 – – 2,065 – – 52,691 Performance fees (Note 3) – – – – – – – – 25 Distribution fees (Note 3) – 134 546 – – 2,234 – – 24,680 Administrator and custodian fees (Note 3) – 14 116 1 126 357 6 3 8,744 Shareholder service fees (Note 3) – 10 366 – – 1 – – 6,889 Legal fees – 1 8 – 5 6 – – 487 Audit fees – 29 36 18 12 1,580 18 22 1,535 Printing fees – 2 21 – 20 42 1 – 1,328 Dividend expense – – – – – – – – 24 Interest expense – – – – 1 21 – – 7,221 Directors’ fees and expenses (Note 3) – – 1 – – – – – 76 Other expenses – 2 98 10 30 423 3 1 4,644

Total Expenses – 330 2,352 29 194 6,729 28 26 108,344

Expense waivers and reimbursements/recoupment (Note 3) – (5) (29) – – – – – (19,814) Total Net Expenses – 325 2,323 29 194 6,729 28 26 88,530

Net Profit/(Loss) before finance costs – 3,064 23,150 162 25,074 66,979 951 330 734,197

FINANCE COSTS: Distributions to holders of redeemable participating shares (Note 4) – (13) (57) – – – – – (59,098)

Profit/(Loss) for the financial year – 3,051 23,093 162 25,074 66,979 951 330 675,099 Withholding taxes on dividends and other taxation – (66) (657) (3) (165) (655) (10) (10) (9,008)

Increase/(Decrease) in Net Assets attributable to Holders of Redeemable Participating Shares $ – $ 2,985 $ 22,436 $ 159 $ 24,909 ¥ 66,324 $ 941 $ 320 $ 666,091

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

308 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Profit and Loss Account – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch 130/ Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Emerging 30 Global Equity International Large Emerging Markets Global Equity Congruix Asia Congruix Japan Legg Mason LMHK Markets Select Legg Mason Global Fund^6 for the Cap Fund for the Equity Fund for the Fund=/ for the Pacific Fund^Þ for Equity FundY´ for China Fund for the Equity Fund‡ for the Funds Plc for the year ended year ended year ended period ended the year ended the year ended year ended period ended year ended February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 February 28, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) INVESTMENT INCOME: Gross dividend income and bond Interest $ – $ 513 $ 2,900 $ 9 $ 2,620 ¥ 9,358 $ 125 $ 41 $ 211,348 Interest – – 1 – 1 – – – 216 Equalisation – – (206) – (373) (98) (4) – 5,299 Other income – 10 – – – – – – 5,248 Net gain/(loss) on Financial Assets and Liabilities at fair value through profit or loss: Net realised gain/(loss) on financial instruments held for trading – 64 26,698 (9) 16,003 71,250 (18) 158 194,314 Net unrealised gain/(loss) on financial instruments held for trading – 2,802 (3,920) 191 7,017 (6,802) 876 157 406,302

Total Investment Income/(Loss) – 3,389 25,473 191 25,268 73,708 979 356 822,727

EXPENSES: Investment management fees (Note 3) – 138 1,160 – – 2,065 – – 52,691 Performance fees (Note 3) – – – – – – – – 25 Distribution fees (Note 3) – 134 546 – – 2,234 – – 24,680 Administrator and custodian fees (Note 3) – 14 116 1 126 357 6 3 8,744 Shareholder service fees (Note 3) – 10 366 – – 1 – – 6,889 Legal fees – 1 8 – 5 6 – – 487 Audit fees – 29 36 18 12 1,580 18 22 1,535 Printing fees – 2 21 – 20 42 1 – 1,328 Dividend expense – – – – – – – – 24 Interest expense – – – – 1 21 – – 7,221 Directors’ fees and expenses (Note 3) – – 1 – – – – – 76 Other expenses – 2 98 10 30 423 3 1 4,644

Total Expenses – 330 2,352 29 194 6,729 28 26 108,344

Expense waivers and reimbursements/recoupment (Note 3) – (5) (29) – – – – – (19,814) Total Net Expenses – 325 2,323 29 194 6,729 28 26 88,530

Net Profit/(Loss) before finance costs – 3,064 23,150 162 25,074 66,979 951 330 734,197

FINANCE COSTS: Distributions to holders of redeemable participating shares (Note 4) – (13) (57) – – – – – (59,098)

Profit/(Loss) for the financial year – 3,051 23,093 162 25,074 66,979 951 330 675,099 Withholding taxes on dividends and other taxation – (66) (657) (3) (165) (655) (10) (10) (9,008)

Increase/(Decrease) in Net Assets attributable to Holders of Redeemable Participating Shares $ – $ 2,985 $ 22,436 $ 159 $ 24,909 ¥ 66,324 $ 941 $ 320 $ 666,091

The accompanying notes are an integral part of the Financial Statements

309 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Profit and Loss Account – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Western Asset Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Legg Mason Legg Mason Western Asset Western Asset Legg Mason Western Western Asset Euro Diversified Global Multi Western Asset Western Asset Western Asset US Short-Term Western Asset Inflation Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Core Plus Bond Strategic Income Strategy Fund for US High Yield Emerging Markets Global High Yield Government US Adjustable Rate Management Opportunities Global Blue Chip Fund for the six Fund for the six Bond Fund for the six Fund for the six Fund for the six the six months Fund for the six Bond Fund for the Fund for the six Fund for the six Fund for the six Fund for the six Fund for the six Bond Fund ^ for the months ended months ended months ended months ended months ended ended months ended six months ended months ended months ended months ended months ended months ended six months ended August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) INVESTMENT INCOME: Gross dividend income and bond Interest $ 6,663 $ 303 $ 605 E 174 $ 1,334 $ 17,205 $ 4,754 $ 5,076 $ 13,049 $ 586 $ 147 $ 73 $ 5,370 $ 3,099 Interest 2 – 1 – – 8 1 1 – 1 – – 2 1 Equalisation (4) – 5 – (69) 169 4 190 949 (2) – (2) 1,354 116 Other income – 4 – 3 217 901 27 – 1,712 1 – – 15 – Net gain/(loss) on Financial Assets and Liabilities at fair value through profit or loss: Net realised gain/(loss) on financial instruments held for trading 6 142 363 (215) (2,245) (10,009) 1,237 653 3,449 105 273 63 95 (1,281) Net unrealised gain/(loss) on financial intruments held for trading – 730 1,297 537 3,868 28,932 160 8,588 2,412 604 947 125 6,918 6,307

Total Investment Income/(Loss) 6,667 1,179 2,271 499 3,105 37,206 6,183 14,508 21,571 1,295 1,367 259 13,754 8,242

EXPENSES: Investment management fees (Note 3) 10,174 33 94 21 224 1,860 272 602 1,070 157 78 12 426 328 Performance fee (Note 3) – – – – – – – – – – – – – – Distribution fees (Note 3) 2,055 51 115 28 244 1,790 257 370 641 206 97 16 367 85 Administrator and custodian fees (Note 3) 1,942 7 14 4 32 311 50 67 155 27 12 2 89 89 Shareholder service fees (Note 3) – 11 9 6 33 418 37 61 127 21 6 1 86 17 Legal fees 94 – 1 – 2 15 2 3 7 2 1 – 4 4 Audit fees 22 17 17 12 20 28 21 22 19 20 19 19 17 15 Printing fees 301 1 2 1 5 47 7 10 23 4 2 1 11 14 Dividend expense – – – – – – – – – – – – – – Interest expense – – – 1 2 – – 112 – – – – 997 53 Directors’ fees and expenses (Note 3) 14 – – – – 2 – – 1 – – – – – Other expenses 1,168 10 7 4 19 200 29 34 72 15 6 – 34 45

Total Expenses 15,770 130 259 77 581 4,671 675 1,281 2,115 452 221 51 2,031 650

Expense waivers and reimbursements/recoupment (Note 3) (9,787) – (7) – (4) (8) (6) (9) (16) (12) (6) (23) – – Total Net Expenses 5,983 130 252 77 577 4,663 669 1,272 2,099 440 215 28 2,031 650

Net Profit/(Loss) before finance costs 684 1,049 2,019 422 2,528 32,543 5,514 13,236 19,472 855 1,152 231 11,723 7,592

FINANCE COSTS: Distributions to holders of redeemable participating shares (Note 4) (684) (169) (261) (95) (724) (10,887) (3,807) (1,323) (1,884) (92) – (61) (594) (1,968)

Profit/(Loss) for the financial period – 880 1,758 327 1,804 21,656 1,707 11,913 17,588 763 1,152 170 11,129 5,624 Withholding Taxes on dividends and other taxation – – – (5) (8) (53) (13) (44) (50) – – – (45) –

Increase/(Decrease) in Net Assets attributable to Holders of Redeemable Participating Shares $ – $ 880 $ 1,758 E 322 $ 1,796 $ 21,603 $ 1,694 $ 11,869 $ 17,538 $ 763 $ 1,152 $ 170 $ 11,084 $ 5,624

Amounts designated as "-" are either $0/E0/¥0 or less than $1,000/E1,000/¥1,000. Gains and losses are solely from continuing operations, except for Legg Mason PCM US Equity Fund^ and Legg Mason Batterymarch 130/30 Global Equity Fund^. There were no other gains or losses other than those dealt with in the Profit and Loss Account. The Euro figures for the Legg Mason Western Asset Euro Core Plus Bond Fund, Legg Mason Batterymarch European Equity Fund and Legg Mason Royce European Smaller Companies Fund^ have been converted into US Dollars in the total figure for the Legg Mason Global Funds Plc for the period ended August 31, 2010, using the USD/EUR rate of 0.7754.

The Yen figures for the Legg Mason Congruix Japan Equity Fund have been converted into US Dollars in the total figure for the Legg Mason Global Funds Plc for the period ended August 31, 2010 using the USD/JPY rate of 89.9604. G Effective March 25, 2010, the Fund commenced trading. I Effective May 20, 2010, the Fund commenced trading. V Effective June 25, 2010, the Fund commenced trading. ‡ Effective August 2, 2010, the Fund commenced trading. ? Effective August 24, 2010, the Fund ceased trading.

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

310 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Profit and Loss Account – (continued) Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Western Asset Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Legg Mason Legg Mason Western Asset Western Asset Legg Mason Western Western Asset Euro Diversified Global Multi Western Asset Western Asset Western Asset US Short-Term Western Asset Inflation Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Core Plus Bond Strategic Income Strategy Fund for US High Yield Emerging Markets Global High Yield Government US Adjustable Rate Management Opportunities Global Blue Chip Fund for the six Fund for the six Bond Fund for the six Fund for the six Fund for the six the six months Fund for the six Bond Fund for the Fund for the six Fund for the six Fund for the six Fund for the six Fund for the six Bond Fund ^ for the months ended months ended months ended months ended months ended ended months ended six months ended months ended months ended months ended months ended months ended six months ended August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) INVESTMENT INCOME: Gross dividend income and bond Interest $ 6,663 $ 303 $ 605 E 174 $ 1,334 $ 17,205 $ 4,754 $ 5,076 $ 13,049 $ 586 $ 147 $ 73 $ 5,370 $ 3,099 Interest 2 – 1 – – 8 1 1 – 1 – – 2 1 Equalisation (4) – 5 – (69) 169 4 190 949 (2) – (2) 1,354 116 Other income – 4 – 3 217 901 27 – 1,712 1 – – 15 – Net gain/(loss) on Financial Assets and Liabilities at fair value through profit or loss: Net realised gain/(loss) on financial instruments held for trading 6 142 363 (215) (2,245) (10,009) 1,237 653 3,449 105 273 63 95 (1,281) Net unrealised gain/(loss) on financial intruments held for trading – 730 1,297 537 3,868 28,932 160 8,588 2,412 604 947 125 6,918 6,307

Total Investment Income/(Loss) 6,667 1,179 2,271 499 3,105 37,206 6,183 14,508 21,571 1,295 1,367 259 13,754 8,242

EXPENSES: Investment management fees (Note 3) 10,174 33 94 21 224 1,860 272 602 1,070 157 78 12 426 328 Performance fee (Note 3) – – – – – – – – – – – – – – Distribution fees (Note 3) 2,055 51 115 28 244 1,790 257 370 641 206 97 16 367 85 Administrator and custodian fees (Note 3) 1,942 7 14 4 32 311 50 67 155 27 12 2 89 89 Shareholder service fees (Note 3) – 11 9 6 33 418 37 61 127 21 6 1 86 17 Legal fees 94 – 1 – 2 15 2 3 7 2 1 – 4 4 Audit fees 22 17 17 12 20 28 21 22 19 20 19 19 17 15 Printing fees 301 1 2 1 5 47 7 10 23 4 2 1 11 14 Dividend expense – – – – – – – – – – – – – – Interest expense – – – 1 2 – – 112 – – – – 997 53 Directors’ fees and expenses (Note 3) 14 – – – – 2 – – 1 – – – – – Other expenses 1,168 10 7 4 19 200 29 34 72 15 6 – 34 45

Total Expenses 15,770 130 259 77 581 4,671 675 1,281 2,115 452 221 51 2,031 650

Expense waivers and reimbursements/recoupment (Note 3) (9,787) – (7) – (4) (8) (6) (9) (16) (12) (6) (23) – – Total Net Expenses 5,983 130 252 77 577 4,663 669 1,272 2,099 440 215 28 2,031 650

Net Profit/(Loss) before finance costs 684 1,049 2,019 422 2,528 32,543 5,514 13,236 19,472 855 1,152 231 11,723 7,592

FINANCE COSTS: Distributions to holders of redeemable participating shares (Note 4) (684) (169) (261) (95) (724) (10,887) (3,807) (1,323) (1,884) (92) – (61) (594) (1,968)

Profit/(Loss) for the financial period – 880 1,758 327 1,804 21,656 1,707 11,913 17,588 763 1,152 170 11,129 5,624 Withholding Taxes on dividends and other taxation – – – (5) (8) (53) (13) (44) (50) – – – (45) –

Increase/(Decrease) in Net Assets attributable to Holders of Redeemable Participating Shares $ – $ 880 $ 1,758 E 322 $ 1,796 $ 21,603 $ 1,694 $ 11,869 $ 17,538 $ 763 $ 1,152 $ 170 $ 11,084 $ 5,624

Amounts designated as "-" are either $0/E0/¥0 or less than $1,000/E1,000/¥1,000. Gains and losses are solely from continuing operations, except for Legg Mason PCM US Equity Fund^ and Legg Mason Batterymarch 130/30 Global Equity Fund^. There were no other gains or losses other than those dealt with in the Profit and Loss Account. The Euro figures for the Legg Mason Western Asset Euro Core Plus Bond Fund, Legg Mason Batterymarch European Equity Fund and Legg Mason Royce European Smaller Companies Fund^ have been converted into US Dollars in the total figure for the Legg Mason Global Funds Plc for the period ended August 31, 2010, using the USD/EUR rate of 0.7754.

The Yen figures for the Legg Mason Congruix Japan Equity Fund have been converted into US Dollars in the total figure for the Legg Mason Global Funds Plc for the period ended August 31, 2010 using the USD/JPY rate of 89.9604. G Effective March 25, 2010, the Fund commenced trading. I Effective May 20, 2010, the Fund commenced trading. V Effective June 25, 2010, the Fund commenced trading. ‡ Effective August 2, 2010, the Fund commenced trading. ? Effective August 24, 2010, the Fund ceased trading.

The accompanying notes are an integral part of the Financial Statements

311 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Profit and Loss Account – (continued) Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Capital Legg Mason Capital Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Royce Legg Mason Royce Western Asset Global Credit Legg Mason Brandywine Global Legg Mason Capital Management Management ClearBridge ClearBridge ClearBridge US Large ClearBridge US Small Cap Legg Mason Royce European Smaller Brazil Bond Absolute Return Brandywine Global Opportunistic Fixed Management Value Growth Fund for Opportunity US Appreciation US Fundamental Cap Growth Fund for US Aggressive Opportunity Smaller Companies Companies Fund GG^ for the Fund I^ for the Fixed Income Fund for Income Fund V^ for Fund for the six the six months Fund^ for the six Fund for the six Value Fund for the the six months Growth Fund for the Fund for the six Fund for the six Fund ^ for the six period ended period ended the six months ended the period ended months ended ended months ended months ended six months ended ended six months ended months ended months ended months ended August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) INVESTMENT INCOME: Gross dividend income and bond Interest $ 457 $ 373 $ 8,333 $ 35 $ 2,763 $ 397 $ 369 $ 1,113 $ 1,716 $ 207 $ 467 $ 604 $ 890 E 42 Interest – 8 2 – 2 – – 1 1 – – 4 3 – Equalisation – 1 20 – 23 – – 2 (2) – – – – – Other income 1 – – – – – – – – – – – – 3 Net gain/(loss) on Financial Assets and Liabilities at fair value through profit or loss: Net realised gain/(loss) on financial instruments held for trading 59 3,129 (4,855) 58 (18,206) 2,640 2,353 (227) (2,046) 98 1,220 3,844 5,588 42 Net unrealised gain/(loss) on financial intruments held for trading 237 1,224 22,535 139 (29,457) (4,425) (16,202) (5,019) (6,212) (2,555) (6,691) (24,964) (17,196) 158

Total Investment Income/(Loss) 754 4,735 26,035 232 (44,875) (1,388) (13,480) (4,130) (6,543) (2,250) (5,004) (20,512) (10,715) 245

EXPENSES: Investment management fees (Note 3) 11 135 1,041 5 2,277 179 360 354 392 126 376 892 755 1 Performance fee (Note 3) – 309 – – – – – – – – – – – – Distribution fees (Note 3) – 6 904 4 1,147 44 37 256 355 125 314 461 395 – Administrator and custodian fees (Note 3) 4 17 166 1 259 25 41 45 50 16 45 85 73 1 Shareholder service fees (Note 3) – 2 260 1 771 26 26 124 45 17 45 302 230 – Legal fees – 1 8 – 13 1 2 2 3 1 2 4 3 – Audit fees 8 11 22 7 14 12 12 16 13 14 13 12 15 6 Printing fees – 2 26 – 41 4 5 7 8 3 7 11 11 – Dividend expense – – – – – – – – – – – – – – Interest expense – 145 – – – – – – – – – – – 1 Directors’ fees and expenses (Note 3) – – 1 – 1 – – – – – – – – – Other expenses – 10 107 – 141 13 12 23 34 8 32 33 34 1

Total Expenses 23 638 2,535 18 4,664 304 495 827 900 310 834 1,800 1,516 10

Expense waivers and reimbursements/recoupment (Note 3) – – (11) (7) (2) (1) (5) (17) (7) (5) (8) (6) (5) (6) Total Net Expenses 23 638 2,524 11 4,662 303 490 810 893 305 826 1,794 1,511 4

Net Profit/(Loss) before finance costs 731 4,097 23,511 221 (49,537) (1,691) (13,970) (4,940) (7,436) (2,555) (5,830) (22,306) (12,226) 241

FINANCE COSTS: Distributions to holders of redeemable participating shares (Note 4) – – (6,251) (18) – – – (9) – – – – – –

Profit/(Loss) for the financial period 731 4,097 17,260 203 (49,537) (1,691) (13,970) (4,949) (7,436) (2,555) (5,830) (22,306) (12,226) 241 Withholding Taxes on dividends and other taxation (190) – (158) – (829) (112) (53) (330) (453) (63) (108) (173) (179) (8)

Increase/(Decrease) in Net Assets attributable to Holders of Redeemable Participating Shares $ 541 $ 4,097 $ 17,102 $ 203 $ (50,366) $ (1,803) $ (14,023) $ (5,279) $ (7,889) $ (2,618) $ (5,938) $ (22,479) $ (12,405) E 233

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

312 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Profit and Loss Account – (continued) Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Capital Legg Mason Capital Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Royce Legg Mason Royce Western Asset Global Credit Legg Mason Brandywine Global Legg Mason Capital Management Management ClearBridge ClearBridge ClearBridge US Large ClearBridge US Small Cap Legg Mason Royce European Smaller Brazil Bond Absolute Return Brandywine Global Opportunistic Fixed Management Value Growth Fund for Opportunity US Appreciation US Fundamental Cap Growth Fund for US Aggressive Opportunity Smaller Companies Companies Fund GG^ for the Fund I^ for the Fixed Income Fund for Income Fund V^ for Fund for the six the six months Fund^ for the six Fund for the six Value Fund for the the six months Growth Fund for the Fund for the six Fund for the six Fund ^ for the six period ended period ended the six months ended the period ended months ended ended months ended months ended six months ended ended six months ended months ended months ended months ended August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) INVESTMENT INCOME: Gross dividend income and bond Interest $ 457 $ 373 $ 8,333 $ 35 $ 2,763 $ 397 $ 369 $ 1,113 $ 1,716 $ 207 $ 467 $ 604 $ 890 E 42 Interest – 8 2 – 2 – – 1 1 – – 4 3 – Equalisation – 1 20 – 23 – – 2 (2) – – – – – Other income 1 – – – – – – – – – – – – 3 Net gain/(loss) on Financial Assets and Liabilities at fair value through profit or loss: Net realised gain/(loss) on financial instruments held for trading 59 3,129 (4,855) 58 (18,206) 2,640 2,353 (227) (2,046) 98 1,220 3,844 5,588 42 Net unrealised gain/(loss) on financial intruments held for trading 237 1,224 22,535 139 (29,457) (4,425) (16,202) (5,019) (6,212) (2,555) (6,691) (24,964) (17,196) 158

Total Investment Income/(Loss) 754 4,735 26,035 232 (44,875) (1,388) (13,480) (4,130) (6,543) (2,250) (5,004) (20,512) (10,715) 245

EXPENSES: Investment management fees (Note 3) 11 135 1,041 5 2,277 179 360 354 392 126 376 892 755 1 Performance fee (Note 3) – 309 – – – – – – – – – – – – Distribution fees (Note 3) – 6 904 4 1,147 44 37 256 355 125 314 461 395 – Administrator and custodian fees (Note 3) 4 17 166 1 259 25 41 45 50 16 45 85 73 1 Shareholder service fees (Note 3) – 2 260 1 771 26 26 124 45 17 45 302 230 – Legal fees – 1 8 – 13 1 2 2 3 1 2 4 3 – Audit fees 8 11 22 7 14 12 12 16 13 14 13 12 15 6 Printing fees – 2 26 – 41 4 5 7 8 3 7 11 11 – Dividend expense – – – – – – – – – – – – – – Interest expense – 145 – – – – – – – – – – – 1 Directors’ fees and expenses (Note 3) – – 1 – 1 – – – – – – – – – Other expenses – 10 107 – 141 13 12 23 34 8 32 33 34 1

Total Expenses 23 638 2,535 18 4,664 304 495 827 900 310 834 1,800 1,516 10

Expense waivers and reimbursements/recoupment (Note 3) – – (11) (7) (2) (1) (5) (17) (7) (5) (8) (6) (5) (6) Total Net Expenses 23 638 2,524 11 4,662 303 490 810 893 305 826 1,794 1,511 4

Net Profit/(Loss) before finance costs 731 4,097 23,511 221 (49,537) (1,691) (13,970) (4,940) (7,436) (2,555) (5,830) (22,306) (12,226) 241

FINANCE COSTS: Distributions to holders of redeemable participating shares (Note 4) – – (6,251) (18) – – – (9) – – – – – –

Profit/(Loss) for the financial period 731 4,097 17,260 203 (49,537) (1,691) (13,970) (4,949) (7,436) (2,555) (5,830) (22,306) (12,226) 241 Withholding Taxes on dividends and other taxation (190) – (158) – (829) (112) (53) (330) (453) (63) (108) (173) (179) (8)

Increase/(Decrease) in Net Assets attributable to Holders of Redeemable Participating Shares $ 541 $ 4,097 $ 17,102 $ 203 $ (50,366) $ (1,803) $ (14,023) $ (5,279) $ (7,889) $ (2,618) $ (5,938) $ (22,479) $ (12,405) E 233

The accompanying notes are an integral part of the Financial Statements

313 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Profit and Loss Account – (continued) Legg Mason Royce Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Global Smaller Legg Mason PCM Legg Mason Permal Legg Mason Batterymarch Batterymarch Asia Batterymarch 130/ Batterymarch Batterymarch Congruix Asia Legg Mason Esemplia Emerging Companies US Equity Fund ? Global Absolute GC Global Equity European Equity Pacific Equity 30 Global Equity International Large Emerging Markets Pacific Fund ^ for Congruix Japan Legg Mason LMHK Markets Select Legg Mason Global Fund ^ for the six ^ for the six months Fund ^ for the six Fund for the six Fund for the six Fund for the six Fund^ for the six Cap Fund for the six Equity Fund for the the six months Equity Fund for the China Fund ^ for the Equity Fund ‡ for Funds Plc for the six months ended ended months ended months ended months ended months ended months ended months ended six months ended ended six months ended six months ended the period ended months ended August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) INVESTMENT INCOME: Gross dividend income and bond Interest $ 40 $ 4 $ 292 $ 20 E 413 $ 2,983 $ – $ 332 $ 1,868 $ 1,500 ¥ 1,441 $ 97 $ 11 $ 83,962 Interest – – 10 – – 1 – – – 1 – – – 50 Equalisation 10 – – (1) (13) (35) – (1) 32 – (93) – – 2,741 Other income 1 1 – – 32 – – 10 – – – – – 2,939 Net gain/(loss) on Financial Assets and Liabilities at fair value through profit or loss: Net realised gain/(loss) on financial instruments held for trading 4 (139) (1,213) 12 52 8,838 – (433) 2,335 (1,666) 3,187 (188) (12) (6,077) Net unrealised gain/(loss) on financial intruments held for trading 31 105 1,593 (77) 243 2,322 – (120) 586 4,297 (51,304) 202 (255) (18,375)

Total Investment Income/(Loss) 86 (29) 682 (46) 727 14,109 – (212) 4,821 4,132 (46,769) 111 (256) 65,241

EXPENSES: Investment management fees (Note 3) 3 3 140 7 64 806 – 69 553 – 62 – – 23,926 Performance fee (Note 3) – – – – – – – – – – – – – 309 Distribution fees (Note 3) 3 2 34 5 54 473 – 67 256 – 37 – – 11,288 Administrator and custodian fees (Note 3) 1 – 23 1 7 77 – 7 56 62 90 3 – 3,870 Shareholder service fees (Note 3) 1 1 17 3 13 281 – 5 175 – 2 – – 3,183 Legal fees – – 1 – – 4 – 1 3 3 4 – – 187 Audit fees 9 12 13 13 10 14 – 13 16 10 1,128 10 3 587 Printing fees – – 3 – 1 12 – 1 8 10 15 – – 590 Dividend expense – – 4 – – – – – – – – – – 4 Interest expense – – – – – – – – – – 18 – – 1,312 Directors’ fees and expenses (Note 3) – – – – – – – – – – – – – 19 Other expenses 1 – 8 11 4 72 – 3 43 21 357 2 – 2,264

Total Expenses 18 18 243 40 153 1,739 – 166 1,110 106 1,713 15 3 47,539

Expense waivers and reimbursements/recoupment (Note 3) (9) (13) – (22) – (16) – (3) (8) – – – – (10,031) Total Net Expenses 9 5 243 18 153 1,723 – 163 1,102 106 1,713 15 3 37,508

Net Profit/(Loss) before finance costs 77 (34) 439 (64) 574 12,386 – (375) 3,719 4,026 (48,482) 96 (259) 27,733

FINANCE COSTS: Distributions to holders of redeemable participating shares (Note 4) – – (31) – (67) – – (13) (57) – – – – (29,042)

Profit/(Loss) for the financial period 77 (34) 408 (64) 507 12,386 – (388) 3,662 4,026 (48,482) 96 (259) (1,309) Withholding Taxes on dividends and other taxation (6) (1) – (4) (71) (673) – (52) (500) (80) (101) (8) (5) (4,299)

Increase/(Decrease) in Net Assets attributable to Holders of Redeemable Participating Shares $ 71 $ (35) $ 408 $ (68) E 436 $ 11,713 $ – $ (440) $ 3,162 $ 3,946 ¥ (48,583) $ 88 $ (264) $ (5,608)

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

314 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Profit and Loss Account – (continued) Legg Mason Royce Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Global Smaller Legg Mason PCM Legg Mason Permal Legg Mason Batterymarch Batterymarch Asia Batterymarch 130/ Batterymarch Batterymarch Congruix Asia Legg Mason Esemplia Emerging Companies US Equity Fund ? Global Absolute GC Global Equity European Equity Pacific Equity 30 Global Equity International Large Emerging Markets Pacific Fund ^ for Congruix Japan Legg Mason LMHK Markets Select Legg Mason Global Fund ^ for the six ^ for the six months Fund ^ for the six Fund for the six Fund for the six Fund for the six Fund^ for the six Cap Fund for the six Equity Fund for the the six months Equity Fund for the China Fund ^ for the Equity Fund ‡ for Funds Plc for the six months ended ended months ended months ended months ended months ended months ended months ended six months ended ended six months ended six months ended the period ended months ended August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) INVESTMENT INCOME: Gross dividend income and bond Interest $ 40 $ 4 $ 292 $ 20 E 413 $ 2,983 $ – $ 332 $ 1,868 $ 1,500 ¥ 1,441 $ 97 $ 11 $ 83,962 Interest – – 10 – – 1 – – – 1 – – – 50 Equalisation 10 – – (1) (13) (35) – (1) 32 – (93) – – 2,741 Other income 1 1 – – 32 – – 10 – – – – – 2,939 Net gain/(loss) on Financial Assets and Liabilities at fair value through profit or loss: Net realised gain/(loss) on financial instruments held for trading 4 (139) (1,213) 12 52 8,838 – (433) 2,335 (1,666) 3,187 (188) (12) (6,077) Net unrealised gain/(loss) on financial intruments held for trading 31 105 1,593 (77) 243 2,322 – (120) 586 4,297 (51,304) 202 (255) (18,375)

Total Investment Income/(Loss) 86 (29) 682 (46) 727 14,109 – (212) 4,821 4,132 (46,769) 111 (256) 65,241

EXPENSES: Investment management fees (Note 3) 3 3 140 7 64 806 – 69 553 – 62 – – 23,926 Performance fee (Note 3) – – – – – – – – – – – – – 309 Distribution fees (Note 3) 3 2 34 5 54 473 – 67 256 – 37 – – 11,288 Administrator and custodian fees (Note 3) 1 – 23 1 7 77 – 7 56 62 90 3 – 3,870 Shareholder service fees (Note 3) 1 1 17 3 13 281 – 5 175 – 2 – – 3,183 Legal fees – – 1 – – 4 – 1 3 3 4 – – 187 Audit fees 9 12 13 13 10 14 – 13 16 10 1,128 10 3 587 Printing fees – – 3 – 1 12 – 1 8 10 15 – – 590 Dividend expense – – 4 – – – – – – – – – – 4 Interest expense – – – – – – – – – – 18 – – 1,312 Directors’ fees and expenses (Note 3) – – – – – – – – – – – – – 19 Other expenses 1 – 8 11 4 72 – 3 43 21 357 2 – 2,264

Total Expenses 18 18 243 40 153 1,739 – 166 1,110 106 1,713 15 3 47,539

Expense waivers and reimbursements/recoupment (Note 3) (9) (13) – (22) – (16) – (3) (8) – – – – (10,031) Total Net Expenses 9 5 243 18 153 1,723 – 163 1,102 106 1,713 15 3 37,508

Net Profit/(Loss) before finance costs 77 (34) 439 (64) 574 12,386 – (375) 3,719 4,026 (48,482) 96 (259) 27,733

FINANCE COSTS: Distributions to holders of redeemable participating shares (Note 4) – – (31) – (67) – – (13) (57) – – – – (29,042)

Profit/(Loss) for the financial period 77 (34) 408 (64) 507 12,386 – (388) 3,662 4,026 (48,482) 96 (259) (1,309) Withholding Taxes on dividends and other taxation (6) (1) – (4) (71) (673) – (52) (500) (80) (101) (8) (5) (4,299)

Increase/(Decrease) in Net Assets attributable to Holders of Redeemable Participating Shares $ 71 $ (35) $ 408 $ (68) E 436 $ 11,713 $ – $ (440) $ 3,162 $ 3,946 ¥ (48,583) $ 88 $ (264) $ (5,608)

The accompanying notes are an integral part of the Financial Statements

315 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares

Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Legg Mason Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Western Asset Global Multi Western Asset Western Asset Western Asset US Short-Term Western Asset Inflation Western Asset Asian Western Asset US Money Market US Core Bond Fund Asset US Core Plus Asset Euro Core Plus Diversified Strategic Strategy Fund for US High Yield Fund Emerging Markets Global High Yield Government Fund US Adjustable Rate Management Fund Opportunities Fund Global Blue Chip Fund for the six for the six months Bond Fund for the six Bond Fund for the six Income Fund for the the six months for the six months Bond Fund for the Fund for the six for the six months Fund for the six for the six months for the six months Bond Fund for the months ended ended months ended months ended six months ended ended ended six months ended months ended ended months ended ended ended six months ended August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) Net Increase/(Decrease) in Net Assets Attributable to Holders of Redeemable Participating Shares $ – $ 682 $ 7,131 E 1,585 $ (1,126) $ 16,574 $ (19,851) $ 13,040 $ (18,939) $ 339 $ (484) $ 818 $ 47,497 $ 3,500

REDEEMABLE PARTICIPATING SHARE TRANSACTIONS Net proceeds from sales of shares 8,389,155 1,465 37,212 3,438 4,658 314,542 191,139 58,919 157,446 6,090 4,669 5,874 345,650 61,042 Net proceeds from reinvested distributions 624 62 74 54 371 3,965 8,126 590 962 75 – 79 917 14 Cost of shares reacquired (8,518,801) (2,833) (13,515) (12,270) (7,754) (338,301) (268,330) (42,261) (223,322) (18,538) (10,775) (4,019) (146,442) (56,840)

(Decrease)/Increase in Net Assets from Redeemable Participating Share transactions (129,022) (1,306) 23,771 (8,778) (2,725) (19,794) (69,065) 17,248 (64,914) (12,373) (6,106) 1,934 200,125 4,216

(Decrease)/Increase in Net Assets Attributable to Holders of Redeemable Participating Shares (129,022) (624) 30,902 (7,193) (3,851) (3,220) (88,916) 30,288 (83,853) (12,034) (6,590) 2,752 247,622 7,716

NET ASSETS ATTRIBUTABLE TO HOLDERS OF REDEEMABLE PARTICIPATING SHARES Beginning of the period 4,261,085 22,086 194,948 92,178 50,739 1,743,410 572,642 180,028 478,960 47,438 30,522 10,253 539,454 225,641 Currency translation – – – – – – – – – – – – – –

End of the period $ 4,132,063 $ 21,462 $ 225,850 E 84,985 $ 46,888 $ 1,740,190 $ 483,726 $ 210,316 $ 395,107 $ 35,404 $ 23,932 $ 13,005 $ 787,076 $ 233,357

Amounts designated as "-" are either $0/E0/¥0/£0 or less than $1,000/E1,000/¥1,000/£1,000.

All Euro figures, except for the beginning of the period Net Assets attributable to Holders of Redeemable Participating Shares, for Legg Mason Western Asset Euro Core Plus Bond Fund, Legg Mason Royce European Smaller Companies Fund^ and Legg Mason Batterymarch European Equity Fund have been converted into US Dollars in the total figure for Legg Mason Global Funds Plc as at August 31, 2011, using the Profit and Loss Account USD/EUR FX rate as at August 31, 2011 of 0.6991. All Sterling figures, except for the beginning of the period Net Assets attributable to Holders of Redeemable Participating Shares, for Legg Mason Western Asset UK£ Core Plus Bond Fund^, Legg Mason Western Asset UK£ Inflation-Linked Plus Fund^ and Legg Mason Western Asset UK£ Long Duration Fund^ have been converted into US Dollars in the total figure for Legg Mason Global Funds Plc as at August 31, 2011, using the Profit and Loss Account USD/GBP FX rate as at August 31, 2011 of 0.6147.

The beginning of period Net Assets Attributable to Holders of Redeemable Participating Shares for the Legg Mason Western Asset Euro Core Plus Bond Fund, Legg Mason Royce European Smaller Companies Fund^ and Legg Mason Batterymarch European Equity Fund have been converted into US Dollars in the total figure using the Balance Sheet USD/EUR FX rate as at February 28, 2011 of 0.7246.

The beginning of period Net Assets Attributable to Holders of Redeemable Participating Shares for or Legg Mason Western Asset UK£ Core Plus Bond Fund^, Legg Mason Western Asset UK£ Inflation-Linked Plus Fund^ and Legg Mason Western Asset UK£ Long Duration Fund^ have been converted into U.S. Dollars in the total figure using the Balance Sheet USD/GBP FX rate as at February 28, 2011 of 0.6152.

G Effective May 13, 2011, the Fund commenced trading.

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

316 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares

Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Legg Mason Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Western Asset Global Multi Western Asset Western Asset Western Asset US Short-Term Western Asset Inflation Western Asset Asian Western Asset US Money Market US Core Bond Fund Asset US Core Plus Asset Euro Core Plus Diversified Strategic Strategy Fund for US High Yield Fund Emerging Markets Global High Yield Government Fund US Adjustable Rate Management Fund Opportunities Fund Global Blue Chip Fund for the six for the six months Bond Fund for the six Bond Fund for the six Income Fund for the the six months for the six months Bond Fund for the Fund for the six for the six months Fund for the six for the six months for the six months Bond Fund for the months ended ended months ended months ended six months ended ended ended six months ended months ended ended months ended ended ended six months ended August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) Net Increase/(Decrease) in Net Assets Attributable to Holders of Redeemable Participating Shares $ – $ 682 $ 7,131 E 1,585 $ (1,126) $ 16,574 $ (19,851) $ 13,040 $ (18,939) $ 339 $ (484) $ 818 $ 47,497 $ 3,500

REDEEMABLE PARTICIPATING SHARE TRANSACTIONS Net proceeds from sales of shares 8,389,155 1,465 37,212 3,438 4,658 314,542 191,139 58,919 157,446 6,090 4,669 5,874 345,650 61,042 Net proceeds from reinvested distributions 624 62 74 54 371 3,965 8,126 590 962 75 – 79 917 14 Cost of shares reacquired (8,518,801) (2,833) (13,515) (12,270) (7,754) (338,301) (268,330) (42,261) (223,322) (18,538) (10,775) (4,019) (146,442) (56,840)

(Decrease)/Increase in Net Assets from Redeemable Participating Share transactions (129,022) (1,306) 23,771 (8,778) (2,725) (19,794) (69,065) 17,248 (64,914) (12,373) (6,106) 1,934 200,125 4,216

(Decrease)/Increase in Net Assets Attributable to Holders of Redeemable Participating Shares (129,022) (624) 30,902 (7,193) (3,851) (3,220) (88,916) 30,288 (83,853) (12,034) (6,590) 2,752 247,622 7,716

NET ASSETS ATTRIBUTABLE TO HOLDERS OF REDEEMABLE PARTICIPATING SHARES Beginning of the period 4,261,085 22,086 194,948 92,178 50,739 1,743,410 572,642 180,028 478,960 47,438 30,522 10,253 539,454 225,641 Currency translation – – – – – – – – – – – – – –

End of the period $ 4,132,063 $ 21,462 $ 225,850 E 84,985 $ 46,888 $ 1,740,190 $ 483,726 $ 210,316 $ 395,107 $ 35,404 $ 23,932 $ 13,005 $ 787,076 $ 233,357

Amounts designated as "-" are either $0/E0/¥0/£0 or less than $1,000/E1,000/¥1,000/£1,000.

All Euro figures, except for the beginning of the period Net Assets attributable to Holders of Redeemable Participating Shares, for Legg Mason Western Asset Euro Core Plus Bond Fund, Legg Mason Royce European Smaller Companies Fund^ and Legg Mason Batterymarch European Equity Fund have been converted into US Dollars in the total figure for Legg Mason Global Funds Plc as at August 31, 2011, using the Profit and Loss Account USD/EUR FX rate as at August 31, 2011 of 0.6991. All Sterling figures, except for the beginning of the period Net Assets attributable to Holders of Redeemable Participating Shares, for Legg Mason Western Asset UK£ Core Plus Bond Fund^, Legg Mason Western Asset UK£ Inflation-Linked Plus Fund^ and Legg Mason Western Asset UK£ Long Duration Fund^ have been converted into US Dollars in the total figure for Legg Mason Global Funds Plc as at August 31, 2011, using the Profit and Loss Account USD/GBP FX rate as at August 31, 2011 of 0.6147.

The beginning of period Net Assets Attributable to Holders of Redeemable Participating Shares for the Legg Mason Western Asset Euro Core Plus Bond Fund, Legg Mason Royce European Smaller Companies Fund^ and Legg Mason Batterymarch European Equity Fund have been converted into US Dollars in the total figure using the Balance Sheet USD/EUR FX rate as at February 28, 2011 of 0.7246.

The beginning of period Net Assets Attributable to Holders of Redeemable Participating Shares for or Legg Mason Western Asset UK£ Core Plus Bond Fund^, Legg Mason Western Asset UK£ Inflation-Linked Plus Fund^ and Legg Mason Western Asset UK£ Long Duration Fund^ have been converted into U.S. Dollars in the total figure using the Balance Sheet USD/GBP FX rate as at February 28, 2011 of 0.6152.

G Effective May 13, 2011, the Fund commenced trading.

The accompanying notes are an integral part of the Financial Statements

317 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued)

Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Brandywine Global Legg Mason Legg Mason Capital Legg Mason Global Credit Legg Mason Western Legg Mason Western Western Asset Western Asset UK£ Western Asset UK£ Western Asset Western Asset Euro Brandywine Global Opportunistic Fixed Western Asset Brazil Legg Mason Capital Management Western Asset Brazil Absolute Return Asset UK£ Core Plus Asset Global Core Global Inflation- Inflation-Linked Long Duration Global Credit Fund High Yield Fund^ Fixed Income Fund Income Fund^ for Equity Fund^ for Management Value Growth Fund for Bond Fund^ for the Fund^ for the six Bond Fund^ for the Plus Bond Fund^ for Linked Fund for the Plus Fund^ for the Fund^ for the six for the six months for the six months for the six months the six months the six months Fund for the six the six months six months ended months ended six months ended the six months ended six months ended six months ended months ended ended ended ended ended ended months ended ended August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) Net Increase/(Decrease) in Net Assets Attributable to Holders of Redeemable Participating Shares $ 1,555 $ (2,606) £ 3,287 $ 2,492 $ 5,964 £ 2,433 £ 3,770 $ 2,521 E (9,466) $ 32,793 $ 1,045 $ (248) $ (55,592) $ (5,463)

REDEEMABLE PARTICIPATING SHARE TRANSACTIONS Net proceeds from sales of shares – 57,318 1,204 2,889 1,454 – 632 – 20,857 61,455 16,883 – 49,229 10,777 Net proceeds from reinvested distributions – – – – – – – – 2,284 2,252 69 – – – Cost of shares reacquired – (61,782) (186) (7,132) (26,012) (1,611) (61) (15,671) (22,866) (84,378) (257) – (289,967) (2,748)

(Decrease)/Increase in Net Assets from Redeemable Participating Share transactions – (4,464) 1,018 (4,243) (24,558) (1,611) 571 (15,671) 275 (20,671) 16,695 – (240,738) 8,029

(Decrease)/Increase in Net Assets Attributable to Holders of Redeemable Participating Shares 1,555 (7,070) 4,305 (1,751) (18,594) 822 4,341 (13,150) (9,191) 12,122 17,740 (248) (296,330) 2,566

NET ASSETS ATTRIBUTABLE TO HOLDERS OF REDEEMABLE PARTICIPATING SHARES Beginning of the period 11,003 151,268 80,793 91,207 90,950 32,203 76,755 100,710 73,804 443,026 4,891 4,846 537,796 58,281 Currency translation – – – – – – – – – – – – – –

End of the period $ 12,558 $ 144,198 £ 85,098 $ 89,456 $ 72,356 £ 33,025 £ 81,096 $ 87,560 E 64,613 $ 455,148 $ 22,631 $ 4,598 $ 241,466 $ 60,847

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

318 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued)

Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Brandywine Global Legg Mason Legg Mason Capital Legg Mason Global Credit Legg Mason Western Legg Mason Western Western Asset Western Asset UK£ Western Asset UK£ Western Asset Western Asset Euro Brandywine Global Opportunistic Fixed Western Asset Brazil Legg Mason Capital Management Western Asset Brazil Absolute Return Asset UK£ Core Plus Asset Global Core Global Inflation- Inflation-Linked Long Duration Global Credit Fund High Yield Fund^ Fixed Income Fund Income Fund^ for Equity Fund^ for Management Value Growth Fund for Bond Fund^ for the Fund^ for the six Bond Fund^ for the Plus Bond Fund^ for Linked Fund for the Plus Fund^ for the Fund^ for the six for the six months for the six months for the six months the six months the six months Fund for the six the six months six months ended months ended six months ended the six months ended six months ended six months ended months ended ended ended ended ended ended months ended ended August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) Net Increase/(Decrease) in Net Assets Attributable to Holders of Redeemable Participating Shares $ 1,555 $ (2,606) £ 3,287 $ 2,492 $ 5,964 £ 2,433 £ 3,770 $ 2,521 E (9,466) $ 32,793 $ 1,045 $ (248) $ (55,592) $ (5,463)

REDEEMABLE PARTICIPATING SHARE TRANSACTIONS Net proceeds from sales of shares – 57,318 1,204 2,889 1,454 – 632 – 20,857 61,455 16,883 – 49,229 10,777 Net proceeds from reinvested distributions – – – – – – – – 2,284 2,252 69 – – – Cost of shares reacquired – (61,782) (186) (7,132) (26,012) (1,611) (61) (15,671) (22,866) (84,378) (257) – (289,967) (2,748)

(Decrease)/Increase in Net Assets from Redeemable Participating Share transactions – (4,464) 1,018 (4,243) (24,558) (1,611) 571 (15,671) 275 (20,671) 16,695 – (240,738) 8,029

(Decrease)/Increase in Net Assets Attributable to Holders of Redeemable Participating Shares 1,555 (7,070) 4,305 (1,751) (18,594) 822 4,341 (13,150) (9,191) 12,122 17,740 (248) (296,330) 2,566

NET ASSETS ATTRIBUTABLE TO HOLDERS OF REDEEMABLE PARTICIPATING SHARES Beginning of the period 11,003 151,268 80,793 91,207 90,950 32,203 76,755 100,710 73,804 443,026 4,891 4,846 537,796 58,281 Currency translation – – – – – – – – – – – – – –

End of the period $ 12,558 $ 144,198 £ 85,098 $ 89,456 $ 72,356 £ 33,025 £ 81,096 $ 87,560 E 64,613 $ 455,148 $ 22,631 $ 4,598 $ 241,466 $ 60,847

The accompanying notes are an integral part of the Financial Statements

319 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued)

Legg Mason Capital Legg Mason Legg Mason Legg Mason Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Management ClearBridge ClearBridge Legg Mason ClearBridge US Small Cap Legg Mason Royce Legg Mason Royce European Smaller Global Smaller Legg Mason Permal Legg Mason Batterymarch Opportunity Fund US Appreciation US Fundamental ClearBridge US Large US Aggressive Opportunity Fund Smaller Companies Smaller Companies Companies Fund^ Companies Fund for Legg Mason PCM US Global Absolute GC Global Equity European Equity for the six months Fund for the six Value Fund for the six Cap Growth Fund for Growth Fund for the for the six months Fund for the six Fund II^GG for the for the six months the six months Equity Fund for the Fund for the six Fund for the six Fund for the six ended months ended months ended the six months ended six months ended ended months ended period ended ended ended six months ended months ended months ended months ended August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) Net Increase/(Decrease) in Net Assets Attributable to Holders of Redeemable Participating Shares $ (23,436) $ (16,670) $ (22,442) $ (3,249) $ (17,554) $ (67,711) $ (84,819) $ (16,178) E (252) $ (256) $ – $ (3,663) $ (129) E (12,658)

REDEEMABLE PARTICIPATING SHARE TRANSACTIONS Net proceeds from sales of shares 13,183 74,767 8,456 4,791 69,822 200,741 581,131 139,287 – 7,675 – 65,085 57 7,688 Net proceeds from reinvested distributions – – – – – – – – – – – – – 40 Cost of shares reacquired (36,096) (50,349) (18,875) (13,612) (41,002) (190,617) (179,085) (52,604) – (6,474) – (33,419) (62) (13,465)

(Decrease)/Increase in Net Assets from Redeemable Participating Share transactions (22,913) 24,418 (10,419) (8,821) 28,820 10,124 402,046 86,683 – 1,201 – 31,666 (5) (5,737)

(Decrease)/Increase in Net Assets Attributable to Holders of Redeemable Participating Shares (46,349) 7,748 (32,861) (12,070) 11,266 (57,587) 317,227 70,505 (252) 945 – 28,003 (134) (18,395)

NET ASSETS ATTRIBUTABLE TO HOLDERS OF REDEEMABLE PARTICIPATING SHARES Beginning of the period 116,397 201,842 151,528 44,693 192,244 343,036 401,475 – 2,328 8,109 – 105,976 1,486 87,560 Currency translation – – – – – – – – – – – – – –

End of the period $ 70,048 $ 209,590 $ 118,667 $ 32,623 $ 203,510 $ 285,449 $ 718,702 $ 70,505 E 2,076 $ 9,054 $ – $ 133,979 $ 1,352 E 69,165

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

320 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued)

Legg Mason Capital Legg Mason Legg Mason Legg Mason Legg Mason Royce Legg Mason Royce Legg Mason Royce Legg Mason Management ClearBridge ClearBridge Legg Mason ClearBridge US Small Cap Legg Mason Royce Legg Mason Royce European Smaller Global Smaller Legg Mason Permal Legg Mason Batterymarch Opportunity Fund US Appreciation US Fundamental ClearBridge US Large US Aggressive Opportunity Fund Smaller Companies Smaller Companies Companies Fund^ Companies Fund for Legg Mason PCM US Global Absolute GC Global Equity European Equity for the six months Fund for the six Value Fund for the six Cap Growth Fund for Growth Fund for the for the six months Fund for the six Fund II^GG for the for the six months the six months Equity Fund for the Fund for the six Fund for the six Fund for the six ended months ended months ended the six months ended six months ended ended months ended period ended ended ended six months ended months ended months ended months ended August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) Net Increase/(Decrease) in Net Assets Attributable to Holders of Redeemable Participating Shares $ (23,436) $ (16,670) $ (22,442) $ (3,249) $ (17,554) $ (67,711) $ (84,819) $ (16,178) E (252) $ (256) $ – $ (3,663) $ (129) E (12,658)

REDEEMABLE PARTICIPATING SHARE TRANSACTIONS Net proceeds from sales of shares 13,183 74,767 8,456 4,791 69,822 200,741 581,131 139,287 – 7,675 – 65,085 57 7,688 Net proceeds from reinvested distributions – – – – – – – – – – – – – 40 Cost of shares reacquired (36,096) (50,349) (18,875) (13,612) (41,002) (190,617) (179,085) (52,604) – (6,474) – (33,419) (62) (13,465)

(Decrease)/Increase in Net Assets from Redeemable Participating Share transactions (22,913) 24,418 (10,419) (8,821) 28,820 10,124 402,046 86,683 – 1,201 – 31,666 (5) (5,737)

(Decrease)/Increase in Net Assets Attributable to Holders of Redeemable Participating Shares (46,349) 7,748 (32,861) (12,070) 11,266 (57,587) 317,227 70,505 (252) 945 – 28,003 (134) (18,395)

NET ASSETS ATTRIBUTABLE TO HOLDERS OF REDEEMABLE PARTICIPATING SHARES Beginning of the period 116,397 201,842 151,528 44,693 192,244 343,036 401,475 – 2,328 8,109 – 105,976 1,486 87,560 Currency translation – – – – – – – – – – – – – –

End of the period $ 70,048 $ 209,590 $ 118,667 $ 32,623 $ 203,510 $ 285,449 $ 718,702 $ 70,505 E 2,076 $ 9,054 $ – $ 133,979 $ 1,352 E 69,165

The accompanying notes are an integral part of the Financial Statements

321 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued)

Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch Asia Batterymarch 130/ Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Pacific Equity Fund 30 Global Equity International Large Emerging Markets Global Equity Fund Congruix Asia Legg Mason Congruix Legg Mason LMHK Emerging Markets Legg Mason Global for the six months Fund^ for the six Cap Fund for the six Equity Fund for the for the six months Pacific Fund^ for the Japan Equity Fund for China Fund for the six Select Equity Fund for Funds Plc for the six ended months ended months ended six months ended ended six months ended the six months ended months ended the six months ended months ended August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) Net Increase/(Decrease) in Net Assets Attributable to Holders of Redeemable Participating Shares $ (2,329) $ – $ (1,737) $ (1,329) $ (1,551) $ – ¥ – $ (291) $ (487) $ (231,869)

REDEEMABLE PARTICIPATING SHARE TRANSACTIONS Net proceeds from sales of shares 21,529 – 1,420 2,055 21,849 – – 382 – 10,966,171 Net proceeds from reinvested distributions 11 – 11 6 – – – – – 21,610 Cost of shares reacquired (46,488) – (2,246) (43,100) (5,862) – – – – (10,891,906)

(Decrease)/Increase in Net Assets from Redeemable Participating Share transactions (24,948) – (815) (41,039) 15,987 – – 382 – 95,875

(Decrease)/Increase in Net Assets Attributable to Holders of Redeemable Participating Shares (27,277) – (2,552) (42,368) 14,436 – – 91 (487) (135,994)

NET ASSETS ATTRIBUTABLE TO HOLDERS OF REDEEMABLE PARTICIPATING SHARES Beginning of the period 152,474 – 16,183 66,769 5,159 – – 6,252 5,320 12,185,081 Currency translation – – – – – – – – – 13,285

End of the period $ 125,197 $ – $ 13,631 $ 24,401 $ 19,595 $ – ¥ – $ 6,343 $ 4,833 $ 12,062,372

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

322 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued)

Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Batterymarch Asia Batterymarch 130/ Batterymarch Batterymarch Batterymarch Legg Mason Legg Mason Esemplia Pacific Equity Fund 30 Global Equity International Large Emerging Markets Global Equity Fund Congruix Asia Legg Mason Congruix Legg Mason LMHK Emerging Markets Legg Mason Global for the six months Fund^ for the six Cap Fund for the six Equity Fund for the for the six months Pacific Fund^ for the Japan Equity Fund for China Fund for the six Select Equity Fund for Funds Plc for the six ended months ended months ended six months ended ended six months ended the six months ended months ended the six months ended months ended August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 August 31, 2011 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) Net Increase/(Decrease) in Net Assets Attributable to Holders of Redeemable Participating Shares $ (2,329) $ – $ (1,737) $ (1,329) $ (1,551) $ – ¥ – $ (291) $ (487) $ (231,869)

REDEEMABLE PARTICIPATING SHARE TRANSACTIONS Net proceeds from sales of shares 21,529 – 1,420 2,055 21,849 – – 382 – 10,966,171 Net proceeds from reinvested distributions 11 – 11 6 – – – – – 21,610 Cost of shares reacquired (46,488) – (2,246) (43,100) (5,862) – – – – (10,891,906)

(Decrease)/Increase in Net Assets from Redeemable Participating Share transactions (24,948) – (815) (41,039) 15,987 – – 382 – 95,875

(Decrease)/Increase in Net Assets Attributable to Holders of Redeemable Participating Shares (27,277) – (2,552) (42,368) 14,436 – – 91 (487) (135,994)

NET ASSETS ATTRIBUTABLE TO HOLDERS OF REDEEMABLE PARTICIPATING SHARES Beginning of the period 152,474 – 16,183 66,769 5,159 – – 6,252 5,320 12,185,081 Currency translation – – – – – – – – – 13,285

End of the period $ 125,197 $ – $ 13,631 $ 24,401 $ 19,595 $ – ¥ – $ 6,343 $ 4,833 $ 12,062,372

The accompanying notes are an integral part of the Financial Statements

323 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued)

Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Western Asset Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Legg Mason Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Strategic Global Multi Western Asset Western Asset Western Asset US Short-Term Western Asset Inflation Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Income Fund for the Strategy Fund for US High Yield Emerging Markets Global High Yield Government Fund US Adjustable Rate Management Fund Opportunities Fund Global Blue Chip Fund for the for the Fund for the for the Bond Fund for the for Bond Fund for the for for the six months the for the six Fund for the for the Bond Fund for the Fund for the six for the six months Fund for the six for the six months for the six months Bond Fund for the six months ended six months ended the six months ended the six months ended ended months ended six months ended six months ended months ended ended months ended ended ended six months ended August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) Net Increase/(Decrease) in Net Assets Attributable to Holders of Redeemable Participating Shares $ – $ 880 $ 1,758 E 322 $ 1,796 $ 21,603 $ 1,694 $ 11,869 $ 17,538 $ 763 $ 1,152 $ 170 $ 11,084 $ 5,624

REDEEMABLE PARTICIPATING SHARE TRANSACTIONS Net proceeds from sales of shares 9,036,022 10,719 9,995 11,936 6,763 190,109 53,089 58,313 125,377 11,366 1,271 259 225,268 98,897 Net proceeds from reinvested distributions 665 81 150 74 396 2,245 1,421 637 738 48 – 46 197 50 Cost of shares reacquired (8,964,620) (2,709) (4,048) (1,395) (20,527) (79,196) (14,925) (25,508) (53,277) (16,398) (4,085) (855) (13,036) (67,662)

Increase/(Decrease) in Net Assets from Redeemable Participating Share transactions 72,067 8,091 6,097 10,615 (13,368) 113,158 39,585 33,442 72,838 (4,984) (2,814) (550) 212,429 31,285

Increase/(Decrease) in Net Assets Attributable to Holders of Redeemable Participating Shares 72,067 8,971 7,855 10,937 (11,572) 134,761 41,279 45,311 90,376 (4,221) (1,662) (380) 223,513 36,909

NET ASSETS ATTRIBUTABLE TO HOLDERS OF REDEEMABLE PARTICIPATING SHARES Beginning of the period 3,952,959 14,955 27,142 8,732 73,373 579,254 77,145 116,287 274,591 59,010 26,674 4,198 97,231 166,012 Currency translation

End of the period $ 4,025,026 $ 23,926 $ 34,997 E 19,669 $ 61,801 $ 714,015 $ 118,424 $ 161,598 $ 364,967 $ 54,789 $ 25,012 $ 3,818 $ 320,744 $ 202,921

Amounts designated as "-" are either $0/E0/¥0 or less than $1,000/E1,000/¥1,000.

All Euro figures, except for the beginning of the period Net Assets attributable to Holders of Redeemable Participating Shares, for Legg Mason Western Asset Euro Core Plus Bond Fund, Legg Mason Royce European Smaller Companies Fund^ and Legg Mason Batterymarch European Equity Fund have been converted into U.S. Dollars in the total figure for the Legg Mason Global Funds Plc as at August 31,2010, using the Profit and Loss Account USD/EUR FX rate as at August 31, 2010 of 0.7754.

All Yen figures for the Legg Mason Congruix Japan Equity Fund have been coverted into U.S. Dollars in the total figure for the Legg Mason Global Funds Plc as at the August 31, 2010 using the Profit and Loss Account USD/JPY FX rate as at August 31, 2010 of 89.9604.

The beginning of period Net Assets Attributable to Holders of Redeemable Participating Shares for the Legg Mason Western Asset Euro Core Plus Bond Fund, Legg Mason Royce European Smaller Companies Fund^ and Legg Mason Batterymarch European Equity Fund have been converted into U.S. Dollars in the total figure using the Balance Sheet USD/EUR FX rate as at February 28, 2010 of 0.7344.

The beginning of period Net Assets Attributable to Holders of Redeemable Participating Shares for the Legg Mason Congruix Japan Equity Fund have been converted into U.S. Dollars in the total figure using the Balance Sheet USD/JPY FX rate as at February 28, 2010 of 88.4956.

G Effective March 25, 2010, the Fund commenced trading. I Effective May 20, 2010, the Fund commenced trading.

V Effective June 25, 2010, the Fund commenced trading. ‡ Effective August 2, 2010, the Fund commenced trading.

? Effective August 24, 2010, the Fund ceased trading.

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

324 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued)

Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Western Asset Western Asset Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Western Asset Legg Mason Legg Mason Western Asset Western Asset Legg Mason Western Legg Mason Western Diversified Strategic Global Multi Western Asset Western Asset Western Asset US Short-Term Western Asset Inflation Western Asset Asian Western Asset US Money Market US Core Bond Asset US Core Plus Asset Euro Core Plus Income Fund for the Strategy Fund for US High Yield Emerging Markets Global High Yield Government Fund US Adjustable Rate Management Fund Opportunities Fund Global Blue Chip Fund for the for the Fund for the for the Bond Fund for the for Bond Fund for the for for the six months the for the six Fund for the for the Bond Fund for the Fund for the six for the six months Fund for the six for the six months for the six months Bond Fund for the six months ended six months ended the six months ended the six months ended ended months ended six months ended six months ended months ended ended months ended ended ended six months ended August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) Net Increase/(Decrease) in Net Assets Attributable to Holders of Redeemable Participating Shares $ – $ 880 $ 1,758 E 322 $ 1,796 $ 21,603 $ 1,694 $ 11,869 $ 17,538 $ 763 $ 1,152 $ 170 $ 11,084 $ 5,624

REDEEMABLE PARTICIPATING SHARE TRANSACTIONS Net proceeds from sales of shares 9,036,022 10,719 9,995 11,936 6,763 190,109 53,089 58,313 125,377 11,366 1,271 259 225,268 98,897 Net proceeds from reinvested distributions 665 81 150 74 396 2,245 1,421 637 738 48 – 46 197 50 Cost of shares reacquired (8,964,620) (2,709) (4,048) (1,395) (20,527) (79,196) (14,925) (25,508) (53,277) (16,398) (4,085) (855) (13,036) (67,662)

Increase/(Decrease) in Net Assets from Redeemable Participating Share transactions 72,067 8,091 6,097 10,615 (13,368) 113,158 39,585 33,442 72,838 (4,984) (2,814) (550) 212,429 31,285

Increase/(Decrease) in Net Assets Attributable to Holders of Redeemable Participating Shares 72,067 8,971 7,855 10,937 (11,572) 134,761 41,279 45,311 90,376 (4,221) (1,662) (380) 223,513 36,909

NET ASSETS ATTRIBUTABLE TO HOLDERS OF REDEEMABLE PARTICIPATING SHARES Beginning of the period 3,952,959 14,955 27,142 8,732 73,373 579,254 77,145 116,287 274,591 59,010 26,674 4,198 97,231 166,012 Currency translation

End of the period $ 4,025,026 $ 23,926 $ 34,997 E 19,669 $ 61,801 $ 714,015 $ 118,424 $ 161,598 $ 364,967 $ 54,789 $ 25,012 $ 3,818 $ 320,744 $ 202,921

Amounts designated as "-" are either $0/E0/¥0 or less than $1,000/E1,000/¥1,000.

All Euro figures, except for the beginning of the period Net Assets attributable to Holders of Redeemable Participating Shares, for Legg Mason Western Asset Euro Core Plus Bond Fund, Legg Mason Royce European Smaller Companies Fund^ and Legg Mason Batterymarch European Equity Fund have been converted into U.S. Dollars in the total figure for the Legg Mason Global Funds Plc as at August 31,2010, using the Profit and Loss Account USD/EUR FX rate as at August 31, 2010 of 0.7754.

All Yen figures for the Legg Mason Congruix Japan Equity Fund have been coverted into U.S. Dollars in the total figure for the Legg Mason Global Funds Plc as at the August 31, 2010 using the Profit and Loss Account USD/JPY FX rate as at August 31, 2010 of 89.9604.

The beginning of period Net Assets Attributable to Holders of Redeemable Participating Shares for the Legg Mason Western Asset Euro Core Plus Bond Fund, Legg Mason Royce European Smaller Companies Fund^ and Legg Mason Batterymarch European Equity Fund have been converted into U.S. Dollars in the total figure using the Balance Sheet USD/EUR FX rate as at February 28, 2010 of 0.7344.

The beginning of period Net Assets Attributable to Holders of Redeemable Participating Shares for the Legg Mason Congruix Japan Equity Fund have been converted into U.S. Dollars in the total figure using the Balance Sheet USD/JPY FX rate as at February 28, 2010 of 88.4956.

G Effective March 25, 2010, the Fund commenced trading. I Effective May 20, 2010, the Fund commenced trading.

V Effective June 25, 2010, the Fund commenced trading. ‡ Effective August 2, 2010, the Fund commenced trading.

? Effective August 24, 2010, the Fund ceased trading.

The accompanying notes are an integral part of the Financial Statements

325 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued)

Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Capital Legg Mason Legg Mason ClearBridge ClearBridge Legg Mason Royce Legg Mason Royce Legg Mason Global Credit Legg Mason Brandywine Global Legg Mason Capital Legg Mason Capital Management ClearBridge ClearBridge US Large Cap US Aggressive US Small Cap Legg Mason Royce European Smaller Western Asset Brazil Absolute Return Brandywine Global Opportunistic Fixed Management Value Management Opportunity Fund US Appreciation US Fundamental Growth Fund for Growth Fund for Opportunity Fund Smaller Companies Companies Fund ^ Bond Fund GG^ for Fund I^ for the Fixed Income Fund for Income Fund V^ for Fund for the six Growth Fund six for the six months Fund for the six Value Fund for the the six months the six months for the six months Fund for the six for the six months the period ended period ended the six months ended the period ended months ended months ended ended months ended six months ended ended ended ended months ended ended August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) Net Increase/(Decrease) in Net Assets Attributable to Holders of Redeemable Participating Shares $ 541 $ 4,097 $ 17,102 $ 203 $ (50,366) $ (1,803) $ (14,023) $ (5,279) $ (7,889) $ (2,618) $ (5,938) $ (22,479) $ (12,405) E 233

REDEEMABLE PARTICIPATING SHARE TRANSACTIONS Net proceeds from sales of shares 9,500 82,983 37,876 3,990 86,881 3,938 91,738 43,054 43,017 10,237 33,445 189,833 82,826 – Net proceeds from reinvested distributions – – 4,409 18 – – – – – – – – – – Cost of shares reacquired – (5,799) (53,257) – (121,397) (4,477) (12,282) (17,198) (18,965) (3,958) (19,313) (89,847) (42,705) –

Increase/(Decrease) in Net Assets from Redeemable Participating Share transactions 9,500 77,184 (10,972) 4,008 (34,516) (539) 79,456 25,856 24,052 6,279 14,132 99,986 40,121 –

Increase/(Decrease) in Net Assets Attributable to Holders of Redeemable Participating Shares 10,041 81,281 6,130 4,211 (84,882) (2,342) 65,433 20,577 16,163 3,661 8,194 77,507 27,716 233

NET ASSETS ATTRIBUTABLE TO HOLDERS OF REDEEMABLE PARTICIPATING SHARES Beginning of the period – – 354,807 – 552,997 51,087 42,853 79,059 108,758 33,596 94,958 108,460 119,734 1,707 Currency translation

End of the period $ 10,041 $ 81,281 $ 360,937 $ 4,211 $ 468,115 $ 48,745 $ 108,286 $ 99,636 $ 124,921 $ 37,257 $ 103,152 $ 185,967 $ 147,450 E 1,940

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

326 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued)

Legg Mason Legg Mason Legg Mason Western Asset Legg Mason Legg Mason Capital Legg Mason Legg Mason ClearBridge ClearBridge Legg Mason Royce Legg Mason Royce Legg Mason Global Credit Legg Mason Brandywine Global Legg Mason Capital Legg Mason Capital Management ClearBridge ClearBridge US Large Cap US Aggressive US Small Cap Legg Mason Royce European Smaller Western Asset Brazil Absolute Return Brandywine Global Opportunistic Fixed Management Value Management Opportunity Fund US Appreciation US Fundamental Growth Fund for Growth Fund for Opportunity Fund Smaller Companies Companies Fund ^ Bond Fund GG^ for Fund I^ for the Fixed Income Fund for Income Fund V^ for Fund for the six Growth Fund six for the six months Fund for the six Value Fund for the the six months the six months for the six months Fund for the six for the six months the period ended period ended the six months ended the period ended months ended months ended ended months ended six months ended ended ended ended months ended ended August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) Net Increase/(Decrease) in Net Assets Attributable to Holders of Redeemable Participating Shares $ 541 $ 4,097 $ 17,102 $ 203 $ (50,366) $ (1,803) $ (14,023) $ (5,279) $ (7,889) $ (2,618) $ (5,938) $ (22,479) $ (12,405) E 233

REDEEMABLE PARTICIPATING SHARE TRANSACTIONS Net proceeds from sales of shares 9,500 82,983 37,876 3,990 86,881 3,938 91,738 43,054 43,017 10,237 33,445 189,833 82,826 – Net proceeds from reinvested distributions – – 4,409 18 – – – – – – – – – – Cost of shares reacquired – (5,799) (53,257) – (121,397) (4,477) (12,282) (17,198) (18,965) (3,958) (19,313) (89,847) (42,705) –

Increase/(Decrease) in Net Assets from Redeemable Participating Share transactions 9,500 77,184 (10,972) 4,008 (34,516) (539) 79,456 25,856 24,052 6,279 14,132 99,986 40,121 –

Increase/(Decrease) in Net Assets Attributable to Holders of Redeemable Participating Shares 10,041 81,281 6,130 4,211 (84,882) (2,342) 65,433 20,577 16,163 3,661 8,194 77,507 27,716 233

NET ASSETS ATTRIBUTABLE TO HOLDERS OF REDEEMABLE PARTICIPATING SHARES Beginning of the period – – 354,807 – 552,997 51,087 42,853 79,059 108,758 33,596 94,958 108,460 119,734 1,707 Currency translation

End of the period $ 10,041 $ 81,281 $ 360,937 $ 4,211 $ 468,115 $ 48,745 $ 108,286 $ 99,636 $ 124,921 $ 37,257 $ 103,152 $ 185,967 $ 147,450 E 1,940

The accompanying notes are an integral part of the Financial Statements

327 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued)

Legg Mason Royce Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Global Smaller Legg Mason PCM US Legg Mason Permal Legg Mason Batterymarch Batterymarch Asia Batterymarch 130/30 Batterymarch Batterymarch Legg Mason Esemplia Companies Fund^ Equity Fund ? for Global Absolute GC Global Equity European Equity Pacific Equity Fund Global Equity Fund^ International Large Emerging Markets Legg Mason Congruix Legg Mason Congruix Legg Mason LMHK Emerging Markets Legg Mason Global for the six months the six months Fund for the six Fund for the six Fund for the six for the six months for the six months Cap Fund for the six Equity Fund for the Asia Pacific Fund ^ for Japan Equity Fund for China Fund for the six Select Equity Fund ‡ Funds Plc for the six ended ended months ended months ended months ended ended ended months ended six months ended the six months ended the six months ended months ended for the period ended months ended August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) Net Increase/(Decrease) in Net Assets Attributable to Holders of Redeemable Participating Shares $ 71 $ (35) $ 408 $ (68) E 436 $ 11,713 $ – $ (440) $ 3,162 $ 3,946 ¥ (48,583) $ 88 $ (264) $ (5,608)

REDEEMABLE PARTICIPATING SHARE TRANSACTIONS Net proceeds from sales of shares 2,678 – 47,707 – 52,126 45,993 – 454 41,117 – 1,175,761 302 5,000 10,785,695 Net proceeds from reinvested distributions – – 3 – 50 – – 10 1 – – – – 11,275 Cost of shares reacquired – (607) (10,528) (876) (3,854) (25,449) – (2,849) (9,820) (75,540) (169,783) – – (9,790,369)

Increase/(Decrease) in Net Assets from Redeemable Participating Share transactions 2,678 (607) 37,182 (876) 48,322 20,544 – (2,385) 31,298 (75,540) 1,005,978 302 5,000 1,006,601

Increase/(Decrease) in Net Assets Attributable to Holders of Redeemable Participating Shares 2,749 (642) 37,590 (944) 48,758 32,257 – (2,825) 34,460 (71,594) 957,395 390 4,736 1,000,993

NET ASSETS ATTRIBUTABLE TO HOLDERS OF REDEEMABLE PARTICIPATING SHARES Beginning of the period 2,430 642 31,827 2,145 15,740 156,221 – 16,602 94,788 194,803 187,497 5,285 – 7,557,650 Currency translation (2,939)

End of the period $ 5,179 $ – $ 69,417 $ 1,201 E 64,498 $ 188,478 $ – $ 13,777 $ 129,248 $ 123,209 ¥ 1,144,892 $ 5,675 $ 4,736 $ 8,555,704

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

328 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued)

Legg Mason Royce Legg Mason Legg Mason Legg Mason Legg Mason Legg Mason Global Smaller Legg Mason PCM US Legg Mason Permal Legg Mason Batterymarch Batterymarch Asia Batterymarch 130/30 Batterymarch Batterymarch Legg Mason Esemplia Companies Fund^ Equity Fund ? for Global Absolute GC Global Equity European Equity Pacific Equity Fund Global Equity Fund^ International Large Emerging Markets Legg Mason Congruix Legg Mason Congruix Legg Mason LMHK Emerging Markets Legg Mason Global for the six months the six months Fund for the six Fund for the six Fund for the six for the six months for the six months Cap Fund for the six Equity Fund for the Asia Pacific Fund ^ for Japan Equity Fund for China Fund for the six Select Equity Fund ‡ Funds Plc for the six ended ended months ended months ended months ended ended ended months ended six months ended the six months ended the six months ended months ended for the period ended months ended August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 August 31, 2010 (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) (in 000’s) Net Increase/(Decrease) in Net Assets Attributable to Holders of Redeemable Participating Shares $ 71 $ (35) $ 408 $ (68) E 436 $ 11,713 $ – $ (440) $ 3,162 $ 3,946 ¥ (48,583) $ 88 $ (264) $ (5,608)

REDEEMABLE PARTICIPATING SHARE TRANSACTIONS Net proceeds from sales of shares 2,678 – 47,707 – 52,126 45,993 – 454 41,117 – 1,175,761 302 5,000 10,785,695 Net proceeds from reinvested distributions – – 3 – 50 – – 10 1 – – – – 11,275 Cost of shares reacquired – (607) (10,528) (876) (3,854) (25,449) – (2,849) (9,820) (75,540) (169,783) – – (9,790,369)

Increase/(Decrease) in Net Assets from Redeemable Participating Share transactions 2,678 (607) 37,182 (876) 48,322 20,544 – (2,385) 31,298 (75,540) 1,005,978 302 5,000 1,006,601

Increase/(Decrease) in Net Assets Attributable to Holders of Redeemable Participating Shares 2,749 (642) 37,590 (944) 48,758 32,257 – (2,825) 34,460 (71,594) 957,395 390 4,736 1,000,993

NET ASSETS ATTRIBUTABLE TO HOLDERS OF REDEEMABLE PARTICIPATING SHARES Beginning of the period 2,430 642 31,827 2,145 15,740 156,221 – 16,602 94,788 194,803 187,497 5,285 – 7,557,650 Currency translation (2,939)

End of the period $ 5,179 $ – $ 69,417 $ 1,201 E 64,498 $ 188,478 $ – $ 13,777 $ 129,248 $ 123,209 ¥ 1,144,892 $ 5,675 $ 4,736 $ 8,555,704

The accompanying notes are an integral part of the Financial Statements

329 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued) For the period ended August 31, 2011: Shares Shares (in 000’s) (in 000’s) Legg Mason Western Asset US Money Market Fund Class GE US$ Accumulating Class A US$ Accumulating Sold (1) Sold 186 Net Decrease (1) Redeemed (109) Net Increase 77 Class A US$ Distributing (D) Legg Mason Western Asset US Core Plus Bond Fund Sold 8,326,022 Class A US$ Accumulating Reinvestment of distributions 615 Sold 5 Redeemed (8,478,057) Redeemed (5) Net Decrease (151,420) Net Increase – Class B US$ Distributing (D) Class A US$ Distributing (D) Sold 335 Sold 5 Redeemed (286) Redeemed (11) Net Increase 49 Net Decrease (6) Class C US$ Accumulating Class C US$ Accumulating Sold 1 Sold 2 Redeemed (1) Net Increase 1 Net Increase 1 Class C US$ Distributing (D) Sold 15,797 Class C US$ Distributing (D) Redeemed (637) Sold 4 Redeemed (3) Net Increase 15,160 Net Increase 1 LM Class US$ Distributing (M) Sold 26,545 Premier Class US$ Accumulating Reinvestment of distributions 8 Sold 310 Redeemed (26,553) Redeemed (82) Net Increase – Net Increase 228 Class A (G) US$ Accumulating Premier Class GBP Accumulating (Hedged) Sold 3 Sold 3 Redeemed (1) Net Increase 3 Net Increase 2 LM Class US$ Distributing (M) Class A (G) US$ Distributing (D) Sold 9 Sold 223 Net Increase 9 Redeemed (284) LM Class GBP Accumulating (Hedged) Net Decrease (61) Sold 7 Class B (G) US$ Accumulating Redeemed (1) Redeemed (3) Net Increase 6 Net Decrease (3) Class A (G) US$ Accumulating Class B (G) US$ Distributing (D) Redeemed (5) Sold 65 Net Decrease (5) Redeemed (686) Class A (G) US$ Distributing (D) Net Decrease (621) Sold 10 Class L (G) US$ Distributing (D) Redeemed (4) Redeemed (142) Net Increase 6 Net Decrease (142) Class B (G) US$ Accumulating Redeemed (1) Net Decrease (1) Legg Mason Western Asset US Core Bond Fund Class A US$ Accumulating Class B (G) US$ Distributing (D) Sold 5 Redeemed (11) Net Increase 5 Net Decrease (11) Class A US$ Distributing (D) Class L (G) US$ Accumulating Sold 9 Sold (1) Reinvestment of distributions 1 Redeemed (1) Redeemed (10) Net Decrease (2) Net Increase – Class L (G) US$ Distributing (D) Class B US$ Distributing (D) Redeemed (2) Redeemed (2) Net Decrease (2) Net Decrease (2) Class C US$ Distributing (D) Legg Mason Western Asset Euro Core Plus Bond Fund Redeemed (8) Class A US$ Distributing (D) Net Decrease (8) Sold 7 Class GA US$ Accumulating Redeemed (3) Redeemed (8) Net Increase 4 Net Decrease (8)

The accompanying notes are an integral part of the Financial Statements

330 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued) For the period ended August 31, 2011: Shares Shares (in 000’s) (in 000’s) Legg Mason Western Asset Euro Core Plus Bond Fund — (continued) Class A (G) US$ Distributing (D) Class A Euro Distributing (D) Sold 9 Sold 3 Reinvestment of distributions 1 Redeemed (4) Redeemed (4) Net Decrease (1) Net Increase 6 Class B US$ Distributing (D) Class B (G) US$ Accumulating Redeemed (3) Redeemed (5) Net Decrease (3) Net Decrease (5) Class C US$ Distributing (D) Class B (G) US$ Distributing (D) Redeemed (2) Redeemed (14) Net Decrease (2) Net Decrease (14) Premier Class Euro Accumulating Class L (G) US$ Distributing (D) Sold 25 Redeemed (2) Redeemed (97) Net Decrease (2) Net Decrease (72) Class GA Euro Accumulating Redeemed (4) Legg Mason Western Asset Global Multi Strategy Fund Class A US$ Accumulating Net Decrease (4) Sold 287 Class GA Euro Distributing (A) Redeemed (185) Redeemed (1) Net Increase 102 Net Decrease (1) Class A US$ Distributing (D) Class GE Euro Accumulating Sold 267 Redeemed (4) Reinvestment of distributions 7 Redeemed (154) Net Decrease (4) Net Increase 120 Class GF Euro Accumulating Redeemed (5) Class A US$ Distributing (M) Sold 62 Net Decrease (5) Reinvestment of distributions 1 Redeemed (34) Legg Mason Western Asset Diversified Strategic Income Fund Net Increase 29 Class A US$ Accumulating Class A Euro Accumulating (Hedged) Sold 8 Sold 249 Redeemed (2) Redeemed (76) Net Increase 6 Net Increase 173 Class A US$ Distributing (D) Class A Euro Distributing (M) (Hedged) Sold 16 Sold 77 Reinvestment of distributions 1 Redeemed (3) Redeemed (17) Net Increase 74 Net Increase – Class A GBP Distributing (M) (Hedged) Class A US$ Distributing (M) Sold 172 Sold 1 Redeemed (56) Net Increase 1 Net Increase 116 Class A Euro Accumulating (Hedged) Class A SGD Distributing (Q) (Hedged) Sold 1 Sold 482 Redeemed (1) Reinvestment of distributions 48 Net Increase – Redeemed (1,411) Class B US$ Distributing (D) Net Decrease (881) Sold 2 Class B US$ Accumulating Redeemed (18) Sold 1 Net Decrease (16) Redeemed (2) Class C US$ Accumulating Net Decrease (1) Redeemed (1) Class B US$ Distributing (D) Net Decrease (1) Sold 5 Reinvestment of distributions 1 Class C US$ Distributing (D) Redeemed (37) Sold 9 Reinvestment of distributions 1 Net Decrease (31) Redeemed (12) Class C US$ Accumulating Net Decrease (2) Sold 81 Redeemed (8) Class A (G) US$ Accumulating Sold 1 Net Increase 73 Redeemed (2) Class C US$ Distributing (D) Net Decrease (1) Sold 153 Reinvestment of distributions 6 Redeemed (329) Net Decrease (170)

The accompanying notes are an integral part of the Financial Statements

331 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued) For the period ended August 31, 2011: Shares Shares (in 000’s) (in 000’s) Legg Mason Western Asset Global Multi Strategy Fund — (continued) LM Class JPY Accumulating (Hedged) Class E US$ Accumulating Redeemed (3) Sold 170 Net Decrease (3) Redeemed (61) Net Increase 109 Class E US$ Distributing (D) Legg Mason Western Asset US High Yield Fund Sold 38 Class A US$ Accumulating Redeemed (6) Sold 20 Redeemed (10) Net Increase 32 Net Increase 10 Class E Euro Accumulating (Hedged) Sold 4 Class A US$ Distributing (D) Sold 163 Net Increase 4 Reinvestment of distributions 6 Class F US$ Accumulating Redeemed (82) Sold 2 Net Increase 87 Net Increase 2 Class A US$ Distributing (M) Class F US$ Distributing (D) Sold 134 Sold 5 Redeemed (134) Net Increase 5 Net Increase – Premier Class US$ Accumulating Class A GBP Distributing (M) (Hedged) Sold 90 Sold 73 Redeemed (7) Redeemed (87) Net Increase 83 Net Decrease (14) Premier Class US$ Distributing (D) Class B US$ Accumulating Redeemed (25) Sold 2 Redeemed (1) Net Decrease (25) Net Increase 1 Premier Class US$ Distributing (M) Sold 3 Class B US$ Distributing (D) Redeemed (3) Sold 10 Reinvestment of distributions 1 Net Increase – Redeemed (10) Premier Class Euro Accumulating (Hedged) Net Increase 1 Sold 438 Redeemed (125) Class C US$ Accumulating Sold 7 Net Increase 313 Redeemed (2) Premier Class GBP Accumulating (Hedged) Net Increase 5 Redeemed (81) Class C US$ Distributing (D) Net Decrease (81) Sold 16 Premier Class GBP Distributing (M) (Hedged) Reinvestment of distributions 2 Sold 58 Redeemed (16) Redeemed (46) Net Increase 2 Net Increase 12 Class E US$ Accumulating Premier Class GBP Distributing (Q) (Hedged) Sold 46 Reinvestment of distributions 2 Redeemed (9) Net Increase 2 Net Increase 37 Premier Class SEK Accumulating (Hedged) Class E US$ Distributing (D) Sold 1 Sold 10 Redeemed (2,859) Net Increase 10 Net Decrease (2,858) Premier Class US$ Accumulating LM Class US$ Accumulating Sold 942 Sold 2 Redeemed (131) Redeemed (5) Net Increase 811 Net Decrease (3) Premier Class US$ Distributing (D) LM Class AUD Distributing (M) (Hedged) Redeemed (458) Sold 40 Net Decrease (458) Reinvestment of distributions 15 Redeemed (7) LM Class US$ Accumulating Sold 8 Net Increase 48 Redeemed (1,349) LM Class Euro Accumulating (Hedged) Net Decrease (1,341) Sold 1 Redeemed (3) LM Class US$ Distributing (M) Sold 430 Net Decrease (2) Reinvestment of distributions 76 LM Class GBP Accumulating (Hedged) Redeemed (207) Sold 9 Net Increase 299 Redeemed (710) Net Decrease (701)

The accompanying notes are an integral part of the Financial Statements

332 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued) For the period ended August 31, 2011: Shares Shares (in 000’s) (in 000’s) Legg Mason Western Asset US High Yield Fund — (continued) Class C US$ Distributing (D) LM Class GBP Accumulating (Hedged) Sold 2 Sold 7 Reinvestment of distributions 1 Redeemed (2) Redeemed (8) Net Increase 5 Net Decrease (5) Class A (G) US$ Accumulating Class E US$ Distributing (D) Sold 1 Sold 1 Redeemed (1) Net Increase 1 Net Increase – Premier Class US$ Accumulating Class A (G) US$ Distributing (D) Redeemed 1 Sold 14 Net Increase 1 Reinvestment of distributions 1 Redeemed (18) Premier Class Euro Accumulating (Hedged) Sold 2 Net Decrease (3) Net Increase 2 Class B (G) US$ Accumulating Redeemed (2) LM Class US$ Accumulating Sold 5 Net Decrease (2) Redeemed (2) Class B (G) US$ Distributing (D) Net Increase 3 Redeemed (18) Class A (G) US$ Accumulating Net Decrease (18) Sold 5 Class L (G) US$ Distributing (D) Redeemed (2) Reinvestment of distributions 2 Net Increase 3 Redeemed (7) Class A (G) US$ Distributing (D) Net Decrease (5) Sold 9 Class GF US$ Accumulating Reinvestment of distributions 1 Redeemed (4) Redeemed (5) Net Decrease (4) Net Increase 5 Class B (G) US$ Accumulating Sold (1) Legg Mason Western Asset Emerging Markets Bond Fund Redeemed (7) Class A US$ Accumulating Sold 179 Net Decrease (8) Redeemed (186) Class B (G) US$ Distributing (D) Net Decrease (7) Redeemed (12) Class A US$ Distributing (D) Net Decrease (12) Sold 48 Class L (G) US$ Distributing (D) Redeemed (34) Reinvestment of distributions 1 Net Increase 14 Redeemed (11) Class A US$ Distributing (M) Net Decrease (10) Sold 163 Reinvestment of distributions 2 Redeemed (33) Legg Mason Western Asset Global High Yield Fund Class A US$ Accumulating Net Increase 132 Sold 706 Class A Euro Accumulating (Hedged) Redeemed (1,197) Sold 5 Net Decrease (491) Redeemed (19) Class A US$ Distributing (D) Net Decrease (14) Sold 277 Class A GBP Distributing (D) (Hedged) Reinvestment of distributions 4 Sold 46 Redeemed (42) Redeemed (3) Net Increase 239 Net Increase 43 Class A US$ Distributing (M) Class A SGD Distributing (Q) (Hedged) Sold 316 Sold 39 Reinvestment of distributions 1 Reinvestment of distributions 14 Redeemed (201) Redeemed (29) Net Increase 116 Net Increase 24 Class A AUD Distributing (M) (Hedged) Class B US$ Accumulating Sold 50 Sold (1) Redeemed (18) Net Decrease (1) Net Increase 32 Class B US$ Distributing (D) Class A SGD Distributing (Q) (Hedged) Redeemed (1) Sold 46 Net Decrease (1) Reinvestment of distributions 18 Redeemed (26) Class C US$ Accumulating Sold (1) Net Increase 38 Net Decrease (1)

The accompanying notes are an integral part of the Financial Statements

333 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued) For the period ended August 31, 2011: Shares Shares (in 000’s) (in 000’s) Legg Mason Western Asset Global High Yield Fund — (continued) Class B US$ Accumulating Class B US$ Accumulating Sold 2 Sold 3 Redeemed (1) Net Increase 3 Net Increase 1 Class B US$ Distributing (D) Class B US$ Distributing (D) Sold 9 Sold 1 Redeemed (18) Redeemed (2) Net Decrease (9) Net Decrease (1) Class C US$ Accumulating Class C US$ Accumulating Sold 6 Redeemed (2) Redeemed (2) Net Decrease (2) Net Increase 4 Class A (G) US$ Accumulating Class C US$ Distributing (D) Sold 5 Sold 37 Redeemed (4) Reinvestment of distributions 2 Net Increase 1 Redeemed (14) Class A (G) US$ Distributing (D) Net Increase 25 Sold 24 Class E US$ Accumulating Redeemed (25) Sold 21 Net Decrease (1) Redeemed (3) Class B (G) US$ Accumulating Net Increase 18 Redeemed (6) Class E US$ Distributing (D) Net Decrease (6) Sold 4 Class B (G) US$ Distributing (D) Net Increase 4 Redeemed (28) Premier Class US$ Accumulating Net Decrease (28) Redeemed (350) Class L (G) US$ Distributing (D) Net Decrease (350) Redeemed (1) Class A (G) US$ Accumulating Net Decrease (1) Sold 3 Redeemed (9) Net Decrease (6) Legg Mason Western Asset US Adjustable Rate Fund Class A (G) US$ Distributing (D) Class A US$ Accumulating Sold 23 Sold 25 Reinvestment of distributions 2 Redeemed (70) Redeemed (10) Net Decrease (45) Net Increase 15 Class B US$ Distributing (D) Class B (G) US$ Accumulating Sold 1 Redeemed (6) Net Increase 1 Net Decrease (6) Class C US$ Accumulating Class B (G) US$ Distributing (D) Redeemed (2) Reinvestment of distributions 1 Net Decrease (2) Redeemed (31) Class A (G) US$ Accumulating Net Decrease (30) Sold 4 Class L (G) US$ Accumulating Redeemed (7) Sold (1) Net Decrease (3) Redeemed (2) Class A (G) US$ Distributing (D) Net Decrease (3) Sold 18 Class L (G) US$ Distributing (D) Redeemed (6) Reinvestment of distributions 1 Net Increase 12 Redeemed (4) Class B (G) US$ Accumulating Net Decrease (3) Redeemed (5) Net Decrease (5) Legg Mason Western Asset US Short-Term Government Fund Class B (G) US$ Distributing (D) Class A US$ Accumulating Redeemed (20) Sold 22 Net Decrease (20) Redeemed (98) Class L (G) US$ Distributing (D) Net Decrease (76) Sold (1) Class A US$ Distributing (D) Redeemed (3) Sold 2 Net Decrease (4) Redeemed (3) Net Decrease (1) Legg Mason Western Asset Inflation Management Fund Class A US$ Accumulating Sold 15 Net Increase 15

The accompanying notes are an integral part of the Financial Statements

334 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued) For the period ended August 31, 2011: Shares Shares (in 000’s) (in 000’s) Legg Mason Western Asset Inflation Management Fund — (continued) Class A SGD Distributing (Q) Class A US$ Distributing (A) Sold 3,240 Sold 3 Reinvestment of distributions 69 Redeemed (12) Redeemed (1,385) Net Decrease (9) Net Increase 1,924 Class B US$ Accumulating Class B US$ Accumulating Sold 7 Sold 11 Net Increase 7 Redeemed (2) Class C US$ Accumulating Net Increase 9 Redeemed (6) Class B US$ Distributing (D) Net Decrease (6) Sold 6 Redeemed (5) Class C US$ Distributing (A) Sold 24 Net Increase 1 Redeemed (14) Class C US$ Accumulating Net Increase 10 Sold 105 Redeemed (13) Class A (G) US$ Accumulating Sold 2 Net Increase 92 Net Increase 2 Class C US$ Distributing (D) Sold 88 Class B (G) US$ Accumulating Reinvestment of distributions 1 Sold (1) Redeemed (42) Redeemed (3) Net Increase 47 Net Decrease (4) Class E US$ Accumulating Sold 75 Redeemed (18) Legg Mason Western Asset Asian Opportunities Fund Class A US$ Accumulating Net Increase 57 Sold 1,064 Class E US$ Distributing (D) Redeemed (151) Sold 18 Net Increase 913 Redeemed (1) Class A US$ Distributing (D) Net Increase 17 Sold 308 Class F US$ Accumulating Reinvestment of distributions 2 Sold 5 Redeemed (68) Redeemed (9) Net Increase 242 Net Decrease (4) Class A US$ Distributing (M) Premier Class US$ Accumulating Sold 137 Sold 180 Redeemed (18) Redeemed (399) Net Increase 119 Net Decrease (219) Class A Euro Accumulating (Hedged) Premier Class US$ Distributing (D) Sold 16 Redeemed (92) Redeemed (4) Net Decrease (92) Net Increase 12 Premier Class Euro Accumulating (Hedged) Class A Euro Accumulating Sold 240 Sold 24 Redeemed (65) Redeemed (43) Net Increase 175 Net Decrease (19) Premier Class Euro Accumulating Class A Euro Distributing (A) Sold 3 Sold 1 Redeemed (48) Net Increase 1 Net Decrease (45) Class A GBP Distributing (M) Premier Class GBP Distributing (M) Sold 41 Sold 89 Redeemed (35) Reinvestment of distributions 3 Net Increase 6 Redeemed (2) Class A SGD Accumulating (Hedged) Net Increase 90 Sold 13,170 LM Class US$ Accumulating Redeemed (1,444) Sold 3 Net Increase 11,726 Redeemed (47) Class A SGD Distributing (Q) (Hedged) Net Decrease (44) Sold 9,597 Reinvestment of distributions 12 Redeemed (1,512) Legg Mason Western Asset Global Blue Chip Bond Fund Net Increase 8,097 Class A US$ Accumulating Sold (1) Redeemed (29) Net Decrease (30)

The accompanying notes are an integral part of the Financial Statements

335 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued) For the period ended August 31, 2011: Shares Shares (in 000’s) (in 000’s) Legg Mason Western Asset Global Blue Chip Bond Fund — (continued) Class A (PF) US$ Distributing (M) Class A US$ Distributing (M) Redeemed (1) Sold 9 Net Decrease (1) Redeemed (24) Premier Class GBP Distributing (M) (Hedged) Net Decrease (15) Sold 182 Class A Euro Accumulating (Hedged) Redeemed (1) Redeemed (17) Net Increase 181 Net Decrease (17) Premier (PF) Class US$ Accumulating Class C US$ Accumulating Sold 34 Redeemed (14) Redeemed (134) Net Decrease (14) Net Decrease (100) Class C US$ Distributing (M) Premier (PF) Class US$ Distributing (M) Sold 6 Sold 19 Redeemed (6) Redeemed (15) Net Increase – Net Increase 4 Class E US$ Accumulating Premier (PF) Class GBP Accumulating (Hedged) Redeemed (12) Sold 26 Net Decrease (12) Redeemed (24) Class E US$ Distributing (D) Net Increase 2 Sold 1 Premier (PF) Class GBP Distributing (M) (Hedged) Net Increase 1 Sold 56 Redeemed (206) Premier Class US$ Accumulating Sold 1 Net Decrease (150) Redeemed (2) Net Decrease (1) Legg Mason Western Asset UK£ Core Plus Bond Fund^ Premier Class US$ Distributing (M) LM Class GBP Accumulating Sold 3 Sold 12 Redeemed (91) Redeemed (2) Net Decrease (88) Net Increase 10 Premier Class Euro Accumulating (Hedged) Sold 318 Legg Mason Western Asset Global Core Plus Bond Fund^ Redeemed (59) Premier Class US$ Accumulating Net Increase 259 Sold 1 Premier Class Euro Distributing (M) (Hedged) Redeemed (1) Sold 3 Net Increase – Redeemed (7) LM Class US$ Accumulating Net Decrease (4) Sold 15 Premier Class GBP Accumulating (Hedged) Redeemed (28) Redeemed (7) Net Decrease (13) Net Decrease (7) LM Class Euro Accumulating (Hedged) Premier Class GBP Distributing (M) (Hedged) Sold 3 Sold 43 Redeemed (9) Redeemed (136) Net Decrease (6) Net Decrease (93) LM Class JPY Accumulating (Hedged) Sold 7 Redeemed (24) Legg Mason Western Asset Global Credit Absolute Return Fund^ Net Decrease (17) Class A US$ Distributing (M) Sold 1 Net Increase 1 Legg Mason Western Asset Global Inflation-Linked Fund Class A Euro Accumulating (Hedged) Premier Class US$ Accumulating Sold 7 Sold 2 Redeemed (7) Redeemed (42) Net Increase – Net Decrease (40) Class A GBP Distributing (M) (Hedged) Premier Class JPY Accumulating (Hedged) Sold 11 Redeemed (172) Redeemed (29) Net Decrease (172) Net Decrease (18) LM Class GBP Accumulating (Hedged) Class A (PF) US$ Accumulating Sold 7 Sold 53 Redeemed (2) Redeemed (18) Net Increase 5 Net Increase 35

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

336 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued) For the period ended August 31, 2011: Shares Shares (in 000’s) (in 000’s) Legg Mason Western Asset UK£ Inflation-Linked Plus Fund^ Class B US$ Accumulating LM Class GBP Accumulating Redeemed (1) Redeemed (9) Net Decrease (1) Net Decrease (9) Class B US$ Distributing (S) LM Class GBP Distributing (M) Redeemed (5) Redeemed (7) Net Decrease (5) Net Decrease (7) Class C US$ Accumulating Sold 5 Legg Mason Western Asset UK£ Long Duration Fund^ Net Increase 5 LM Class GBP Accumulating Class C US$ Distributing (S) Sold 5 Sold 23 Net Increase 5 Redeemed (5) LM Class GBP Distributing (M) Net Increase 18 Sold 2 Premier Class US$ Accumulating Redeemed (1) Sold 305 Net Increase 1 Net Increase 305 Premier Class Euro Accumulating Redeemed (29) Legg Mason Western Asset Global Credit Fund LM Class US$ Accumulating Net Decrease (29) Redeemed (154) LM Class US$ Accumulating Net Decrease (154) Sold 10 Redeemed (38) Net Decrease (28) Legg Mason Western Asset Euro High Yield Fund^ LM Class US$ Distributing (Q) (Hedged) LM Class Euro Accumulating (Hedged) Reinvestment of distributions 10 Sold 2 Redeemed (66) Redeemed (10) Net Decrease (56) Net Decrease (8) LM Class Euro Accumulating LM Class JPY Accumulating (Hedged) Sold 60 Sold 4 Redeemed (103) Redeemed (27) Net Decrease (43) Net Decrease (23) LM Class Euro Distributing (Q) Sold 141 Legg Mason Brandywine Global Opportunistic Fixed Income Fund^ Reinvestment of distributions 15 Class A US$ Accumulating Redeemed (70) Sold 168 Net Increase 86 Net Increase 168 Class A US$ Distributing (M) Legg Mason Brandywine Global Fixed Income Fund Sold 1 Class A US$ Accumulating Reinvestment of distributions 1 Sold 91 Redeemed (2) Redeemed (12) Net Increase – Net Increase 79

Class A US$ Distributing (M) Legg Mason Capital Management Value Fund Sold 5 Class A US$ Accumulating Net Increase 5 Sold 300 Redeemed (642) Class A US$ Distributing (S) Sold 37 Net Decrease (342) Reinvestment of distributions 15 Class A US$ Distributing (A) Redeemed (418) Sold 103 Net Decrease (366) Redeemed (1,736) Class A Euro Accumulating (Hedged) Net Decrease (1,633) Sold 5 Class A Euro Accumulating Redeemed (14) Redeemed (31) Net Decrease (9) Net Decrease (31) Class A Euro Distributing (S) (Hedged) Class A SGD Accumulating Reinvestment of distributions 2 Sold 3,767 Net Increase 2 Redeemed (9,020) Class A GBP Distributing (S) (Hedged) Net Decrease (5,253) Sold 41 Class B US$ Distributing (A) Reinvestment of distributions 1 Sold 1 Redeemed (79) Redeemed (10) Net Decrease (37) Net Decrease (9)

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

337 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued) For the period ended August 31, 2011: Shares Shares (in 000’s) (in 000’s) Legg Mason Capital Management Value Fund — (continued) Premier Class GBP Distributing (A) Class C US$ Accumulating Sold 46 Redeemed (6) Redeemed (94) Net Decrease (6) Net Decrease (48) Class C US$ Distributing (A) Sold 3 Redeemed (26) Legg Mason ClearBridge US Appreciation Fund Class A US$ Accumulating Net Decrease (23) Sold 115 Premier Class US$ Accumulating Redeemed (55) Sold 187 Net Increase 60 Redeemed (515) Class A US$ Distributing (A) Net Decrease (328) Sold 91 LM Class US$ Accumulating Redeemed (133) Sold 4 Net Decrease (42) Redeemed (80) Class A Euro Accumulating Net Decrease (76) Sold 98 LM Class Euro Accumulating Redeemed (82) Sold 1 Net Increase 16 Redeemed (2) Class B US$ Accumulating Net Decrease (1) Sold 1 LM Class JPY Accumulating Redeemed (2) Sold 1 Net Decrease (1) Redeemed (5) Class B US$ Distributing (A) Net Decrease (4) Redeemed (2) Net Decrease (2) Legg Mason Capital Management Growth Fund Class C US$ Accumulating Class A US$ Accumulating Sold 24 Sold 1 Redeemed (4) Redeemed (2) Net Increase 20 Net Decrease (1) Class C US$ Distributing (A) Class A US$ Distributing (A) Sold 6 Sold 2 Redeemed (1) Redeemed (27) Net Increase 5 Net Decrease (25) Class E US$ Accumulating Class B US$ Distributing (A) Sold 36 Redeemed (2) Redeemed (11) Net Decrease (2) Net Increase 25 Class C US$ Accumulating Class E US$ Distributing (A) Sold 2 Sold 2 Net Increase 2 Net Increase 2 Class C US$ Distributing (A) Premier Class US$ Accumulating Redeemed (4) Sold 168 Net Decrease (4) Redeemed (102) Premier Class US$ Accumulating Net Increase 66 Sold 132 Premier Class Euro Accumulating Net Increase 132 Sold 1 Redeemed (3) Net Decrease (2) Legg Mason Capital Management Opportunity Fund LM Class US$ Accumulating Class A US$ Accumulating Sold 10 Sold 2 Redeemed (22) Redeemed (76) Net Decrease (12) Net Decrease (74) LM Class Euro Accumulating Class A US$ Distributing (A) Sold 2 Sold 1 Redeemed (4) Redeemed (40) Net Decrease (2) Net Decrease (39) LM Class JPY Accumulating Premier Class US$ Accumulating Sold 8 Sold 36 Redeemed (15) Redeemed (18) Net Decrease (7) Net Increase 18 Class A (G) US$ Accumulating Sold 3 Redeemed (5) Net Decrease (2)

The accompanying notes are an integral part of the Financial Statements

338 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued) For the period ended August 31, 2011: Shares Shares (in 000’s) (in 000’s) Legg Mason ClearBridge US Appreciation Fund — (continued) Legg Mason ClearBridge US Large Cap Growth Fund Class B (G) US$ Accumulating Class A US$ Accumulating Sold 1 Sold 8 Redeemed (4) Redeemed (87) Net Decrease (3) Net Decrease (79) Class GA US$ Accumulating Class A US$ Distributing (A) Sold 83 Sold 2 Redeemed (1) Redeemed (4) Net Increase 82 Net Decrease (2) Class GA Euro Accumulating Class A Euro Accumulating Sold 9 Sold 1 Redeemed (1) Redeemed (1) Net Increase 8 Net Increase – Class GA Euro Distributing (A) Class B US$ Accumulating Sold 4 Sold 3 Net Increase 4 Redeemed (2) Class GE US$ Accumulating Net Increase 1 Sold 5 Class B US$ Distributing (A) Net Increase 5 Sold 1 Redeemed (1) Class GE Euro Accumulating Sold 3 Net Increase – Net Increase 3 Class C US$ Accumulating Sold 1 Class GP US$ Accumulating Sold 3 Net Increase 1 Net Increase 3 Class C US$ Distributing (A) Sold 26 Redeemed (1) Legg Mason ClearBridge US Fundamental Value Fund Net Increase 25 Class A US$ Accumulating Class A (G) US$ Accumulating Sold 21 Sold 8 Redeemed (42) Redeemed (17) Net Decrease (21) Net Decrease (9) Class A US$ Distributing (A) Class B (G) US$ Accumulating Sold 6 Sold 1 Redeemed 1 Redeemed (12) Net Increase 7 Net Decrease (11) Class B US$ Accumulating Class L (G) US$ Accumulating Sold 2 Redeemed (4) Redeemed (2) Net Decrease (4) Net Increase – Class GA US$ Accumulating Class C US$ Accumulating Redeemed (6) Sold 4 Net Decrease (6) Net Increase 4 Class GA Euro Accumulating LM Class US$ Accumulating Redeemed (2) Sold 26 Redeemed (19) Net Decrease (2) Net Increase 7 Class A (G) US$ Accumulating Legg Mason ClearBridge US Aggressive Growth Fund Sold 27 Class A US$ Accumulating Redeemed (30) Sold 366 Net Decrease (3) Redeemed (213) Class B (G) US$ Accumulating Net Increase 153 Redeemed (42) Class A US$ Distributing (A) Net Decrease (42) Sold 55 Redeemed (19) Class L (G) US$ Accumulating Redeemed (10) Net Increase 36 Net Decrease (10) Class A Euro Accumulating Sold 4 Class GA US$ Accumulating Redeemed (1) Redeemed (34) Net Increase 3 Net Decrease (34) Class B US$ Accumulating Class GA Euro Accumulating Sold 6 Redeemed (6) Redeemed (2) Net Decrease (6) Net Increase 4

The accompanying notes are an integral part of the Financial Statements

339 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued) For the period ended August 31, 2011: Shares Shares (in 000’s) (in 000’s) Legg Mason ClearBridge US Aggressive Growth Fund — (continued) Class B US$ Accumulating Class B US$ Distributing (A) Sold 2 Redeemed (1) Redeemed (10) Net Decrease (1) Net Increase (8) Class C US$ Accumulating Class B US$ Distributing (A) Sold 40 Sold 1 Redeemed (16) Redeemed (3) Net Increase 24 Net Decrease (2) Class C US$ Distributing (A) Class C US$ Accumulating Sold 21 Sold 8 Redeemed (10) Redeemed (4) Net Increase 11 Net Increase 4 Class E US$ Accumulating Class C US$ Distributing (A) Sold 52 Sold 4 Redeemed (7) Redeemed (3) Net Increase 45 Net Increase 1 Premier Class US$ Accumulating Class E US$ Accumulating Sold 105 Sold 5 Redeemed (37) Redeemed (2) Net Increase 68 Net Increase 3 Premier Class Euro Accumulating Class E US$ Distributing (A) Sold 2 Sold 1 Redeemed (2) Redeemed (1) Net Increase – Net Increase – Premier Class Euro Distributing (A) Class E Euro Accumulating Sold 1 Sold 4 Redeemed (11) Net Increase 1 Net Decrease (7) Class A (G) US$ Accumulating Sold 17 Premier Class US$ Accumulating Redeemed (65) Sold 66 Redeemed (6) Net Decrease (48) Net Increase 60 Class B (G) US$ Accumulating Redeemed (23) Premier Class Euro Accumulating Sold 33 Net Decrease (23) Net Increase 33 Class L (G) US$ Accumulating Sold 1 Redeemed (12) Legg Mason Royce Smaller Companies Fund Net Decrease (11) Class A US$ Accumulating Class GE Euro Accumulating Sold 3,085 Sold (1) Redeemed (535) Net Decrease (1) Net Increase 2,550 Class A US$ Distributing (A) Sold 492 Legg Mason Royce US Small Cap Opportunity Fund Redeemed (270) Class A US$ Accumulating Net Increase 222 Sold 1,393 Redeemed (1,044) Class A Euro Accumulating Sold 85 Net Increase 349 Redeemed (122) Class A US$ Distributing (A) Net Decrease (37) Sold 108 Redeemed (220) Class B US$ Accumulating Sold 9 Net Decrease (112) Redeemed (6) Class A Euro Accumulating Net Increase 3 Sold 43 Redeemed (150) Class B US$ Distributing (A) Sold 1 Net Decrease (107) Redeemed (3) Class A GBP Distributing (A) Net Decrease (2) Sold 28 Redeemed (1) Class C US$ Accumulating Sold 24 Net Increase 27 Redeemed (10) Class A SGD Accumulating Net Increase 14 Sold 6,156 Redeemed (853) Net Increase 5,303

The accompanying notes are an integral part of the Financial Statements

340 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued) For the period ended August 31, 2011: Shares Shares (in 000’s) (in 000’s) Legg Mason Royce Smaller Companies Fund — (continued) Legg Mason Royce Global Smaller Companies Fund Class C US$ Distributing (A) Class A US$ Accumulating Sold 19 Sold 15 Redeemed (14) Redeemed (43) Net Increase 5 Net Decrease (28) Class E US$ Accumulating Premier Class US$ Accumulating Sold 34 Sold 60 Redeemed (32) Reinvestment of distributions (4) Net Increase 2 Net Increase 56 Class E US$ Distributing (A) Sold 1 Redeemed (1) Legg Mason Permal Global Absolute Fund Class A US$ Accumulating Net Increase – Sold 67 Class E Euro Accumulating Redeemed (21) Sold 3 Net Increase 46 Net Increase 3 Class A US$ Distributing (A) Class F US$ Accumulating Sold 32 Sold 1 Redeemed (27) Net Increase 1 Net Increase 5 Class F US$ Distributing (A) Class A Euro Accumulating (Hedged) Sold 5 Sold 101 Redeemed (19) Net Increase 5 Net Increase 82 Premier Class US$ Accumulating Sold 548 Class A SGD Accumulating (Hedged) Redeemed (262) Sold 990 Redeemed (5,430) Net Increase 286 Net Decrease (4,440) Premier Class US$ Distributing (A) Sold 120 Class C US$ Accumulating Sold 43 Net Increase 120 Redeemed (22) Premier Class GBP Distributing (A) Net Increase 21 Sold 95 Redeemed (1) Class C US$ Distributing (A) Sold 7 Net Increase 94 Redeemed (15) LM Class US$ Accumulating Net Decrease (8) Sold 2 Redeemed (11) Class E US$ Accumulating Sold 1 Net Decrease (9) Net Increase 1 LM Class Euro Accumulating Redeemed (1) Premier Class US$ Accumulating Sold 7 Net Decrease (1) Net Increase 7 LM Class JPY Accumulating Sold 2 Premier Class AUD Distributing (A) (Hedged) Redeemed (9) Redeemed (4) Net Decrease (7) Net Decrease (4) Class A (G) US$ Accumulating Premier Class Euro Accumulating (Hedged) Sold 2 Sold 10 Redeemed (12) Net Increase 10 Net Decrease (10) Premier Class GBP Accumulating (Hedged) Class B (G) US$ Accumulating Sold 11 Redeemed (3) Net Increase 11 Net Decrease (3) Premier Class GBP Distributing (A) (Hedged) Class L (G) US$ Accumulating Redeemed (29) Redeemed (5) Net Decrease (29) Net Decrease (5) LM Class US$ Accumulating Sold 255 Redeemed (107) Legg Mason Royce Smaller Companies Fund II^ Class A US$ Accumulating Net Increase 148 Sold 1,430 LM Class JPY Accumulating (Hedged) Redeemed (626) Sold 21 Net Increase 804 Redeemed (3) Net Increase 18

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

341 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued) For the period ended August 31, 2011: Shares Shares (in 000’s) (in 000’s) Legg Mason GC Global Equity Fund Class A US$ Distributing (A) Class C US$ Distributing (A) Sold 6 Redeemed (1) Redeemed (78) Net Decrease (1) Net Decrease (72) Class A Euro Accumulating Sold 2 Legg Mason Batterymarch European Equity Fund Redeemed (14) Class A US$ Accumulating Sold 72 Net Decrease (12) Redeemed (11) Class B US$ Accumulating Net Increase 61 Redeemed (2) Class A US$ Distributing (A) Net Decrease (2) Sold 1 Class B US$ Distributing (A) Redeemed (3) Sold 2 Net Decrease (2) Redeemed (4) Class A Euro Accumulating Net Decrease (2) Sold 2 Class C US$ Accumulating Net Increase 2 Redeemed (1) Class B US$ Distributing (A) Net Decrease (1) Redeemed (2) Class C US$ Distributing (A) Net Decrease (2) Redeemed (6) Class C US$ Accumulating Net Decrease (6) Sold 1 Class GA US$ Accumulating Net Increase 1 Redeemed (79) Class C US$ Distributing (A) Net Decrease (79) Sold 3 Class GA Euro Accumulating Net Increase 3 Redeemed (2) LM Class US$ Accumulating Net Decrease (2) Sold 20 Class GA Euro Distributing (A) Redeemed (16) Redeemed (1) Net Increase 4 Net Decrease (1) LM Class Euro Accumulating Sold 3 Redeemed (3) Legg Mason Batterymarch International Large Cap Fund Class A US$ Accumulating Net Increase – Sold 5 LM Class JPY Accumulating Redeemed (2) Sold 15 Net Increase 3 Redeemed (10) Class A Euro Accumulating Net Increase 5 Sold 1 Class A (G) US$ Accumulating Net Increase 1 Sold 4 Redeemed (14) Class B US$ Distributing (A) Redeemed (2) Net Decrease (10) Net Decrease (2) Class B (G) US$ Accumulating Redeemed (8) Class C US$ Distributing (A) Sold 2 Net Decrease (8) Redeemed (1) Class L (G) US$ Accumulating Net Increase 1 Redeemed (2) Class A (G) US$ Accumulating Net Decrease (2) Sold 10 Class GA US$ Accumulating Redeemed (7) Redeemed (41) Net Increase 3 Net Decrease (41) Class B (G) US$ Accumulating Class GA Euro Accumulating Redeemed (14) Sold 2 Net Decrease (14) Redeemed (49) Class L (G) US$ Accumulating Net Decrease (47) Redeemed (3) Net Decrease (3) Legg Mason Batterymarch Asia Pacific Equity Fund Class A US$ Accumulating Sold 173 Legg Mason Batterymarch Emerging Markets Equity Fund Redeemed (140) Class A US$ Accumulating Sold 14 Net Increase 33 Redeemed (11) Net Increase 3

The accompanying notes are an integral part of the Financial Statements

342 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued) For the period ended August 31, 2011: Shares (in 000’s) Legg Mason Batterymarch Emerging Markets Equity Fund — (continued) Class A US$ Distributing (A) Redeemed (4) Net Decrease (4) Class A GBP Distributing (A) Redeemed (237) Net Decrease (237) Class B US$ Accumulating Redeemed (2) Net Decrease (2) Class B US$ Distributing (A) Redeemed (1) Net Decrease (1) Class C US$ Accumulating Sold 1 Redeemed (4) Net Decrease (3) Class C US$ Distributing (A) Sold 2 Net Increase 2 Class E US$ Accumulating Sold 2 Redeemed (1) Net Increase 1 Class F US$ Accumulating Sold 1 Net Increase 1

Legg Mason Batterymarch Global Equity Fund LM Class US$ Accumulating Sold 31 Redeemed (50) Net Decrease (19) Class GA US$ Accumulating Sold 102 Redeemed (4) Net Increase 98 Class GA Euro Accumulating Sold 43 Redeemed (3) Net Increase 40 Class GA Euro Distributing (A) Sold 4 Redeemed (1) Net Increase 3 Class GE US$ Accumulating Sold 3 Net Increase 3 Class GE Euro Accumulating Sold 11 Redeemed (2) Net Increase 9

Legg Mason LMHK China Fund Class A US$ Distributing (A) Sold 3 Net Increase 3 LM Class US$ Accumulating Sold 3 Net Increase 3

The accompanying notes are an integral part of the Financial Statements

343 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued) For the period ended August 31, 2010: Shares Shares (in 000’s) (in 000’s) Legg Mason Western Asset US Money Market Fund Class C US$ Distributing (D) Class A US$ Accumulating Sold 3 Sold 888 Redeemed (6) Redeemed (889) Net Decrease (3) Net Decrease (1) Class GA US$ Accumulating Class A US$ Distributing (D) Sold 77 Sold 8,938,434 Net Increase 77 Reinvestment of distributions 664 Redeemed (8,864,810) Class GE US$ Accumulating Sold 13 Net Increase 74,288 Net Increase 13 Class A US$ Distributing (M) Sold 2,468 Net Increase 2,468 Legg Mason Western Asset US Core Plus Bond Fund Class B US$ Accumulating Class A US$ Accumulating Sold 1 Sold 6 Redeemed (1) Net Increase 1 Net Increase 5 Class B US$ Distributing (D) Sold 70 Class A US$ Distributing (D) Redeemed (568) Sold 76 Net Decrease (498) Net Increase 76 Class C US$ Distributing (D) Class B US$ Accumulating Sold 846 Sold 1 Reinvestment of distributions 1 Net Increase 1 Redeemed (3,529) Class B US$ Distributing (D) Net Decrease (2,682) Sold 3 Class A (G) US$ Accumulating Redeemed (1) Sold 1 Net Increase 2 Redeemed (4) Class C US$ Accumulating Net Decrease (3) Sold 3 Class A (G) US$ Distributing (D) Redeemed (3) Sold 309 Net Decrease – Redeemed (379) Class C US$ Distributing (D) Net Decrease (70) Sold 1 Class B (G) US$ Accumulating Reinvestment of distributions 1 Redeemed (1) Redeemed (6) Net Decrease (1) Net Decrease (4) Class B (G) US$ Distributing (D) Class A (G) US$ Accumulating Redeemed (452) Sold 1 Redeemed (2) Net Decrease (452) Net Decrease (1) Class L (G) US$ Accumulating Redeemed (4) Class A (G) US$ Distributing (D) Sold 8 Net Decrease (4) Redeemed (7) Class L (G) US$ Distributing (D) Net Increase 1 Redeemed (119) Class B (G) US$ Accumulating Net Decrease (119) Redeemed (2) Net Decrease (2) Legg Mason Western Asset US Core Bond Fund Class B (G) US$ Distributing (D) Class A US$ Accumulating Redeemed (12) Sold 1 Net Decrease (12) Redeemed (1) Class L (G) US$ Accumulating Net Increase – Redeemed (2) Class A US$ Distributing (D) Net Decrease (2) Sold 12 Redeemed (15) Class L (G) US$ Distributing (D) Redeemed (2) Net Decrease (3) Net Decrease (2) Class B US$ Accumulating Redeemed (1) Net Decrease (1) Legg Mason Western Asset Euro Core Plus Bond Fund Class B US$ Distributing (D) Class A US$ Distributing (D) Sold 1 Redeemed (1) Redeemed (6) Net Decrease (1) Net Decrease (5)

The accompanying notes are an integral part of the Financial Statements

344 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued) For the period ended August 31, 2010: Shares Shares (in 000’s) (in 000’s) Legg Mason Western Asset Euro Core Plus Bond Fund — (continued) Class L (G) US$ Distributing (D) Class A Euro Distributing (D) Redeemed (1) Sold 7 Net Decrease (1) Reinvestment of distributions 1 Redeemed (4) Net Increase 4 Legg Mason Western Asset Global Multi Strategy Fund Class B US$ Distributing (D) Class A US$ Accumulating Redeemed (3) Sold 223 Redeemed (133) Net Decrease (3) Net Increase 90 Class C US$ Distributing (D) Redeemed (7) Class A US$ Distributing (D) Sold 161 Net Decrease (7) Reinvestment of distributions 10 Class GA Euro Accumulating Redeemed (103) Sold 75 Net Increase 68 Net Increase 75 Class A US$ Distributing (M) Class GA Euro Distributing (A) Sold 178 Sold 11 Redeemed (102) Net Increase 11 Net Increase 76 Class GE Euro Accumulating Class A Euro Accumulating (Hedged) Sold 27 Sold 142 Redeemed (79) Net Increase 27 Net Increase 63 Class A Euro Distributing (M) (Hedged) Legg Mason Western Asset Diversified Strategic Income Fund Sold 7 Class A US$ Accumulating Redeemed (21) Sold 36 Redeemed (95) Net Decrease (14) Net Decrease (59) Class A GBP Distributing (M) (Hedged) Sold 372 Class A US$ Distributing (D) Redeemed (68) Sold 7 Reinvestment of distributions 1 Net Increase 304 Redeemed (31) Class A SGD Distributing (Q) (Hedged) Net Decrease (23) Sold 1,558 Reinvestment of distributions 57 Class A US$ Distributing (M) Redeemed (896) Sold 3 Redeemed (2) Net Increase 719 Net Decrease 1 Class B US$ Accumulating Sold 2 Class A Euro Accumulating (Hedged) Sold 3 Net Increase 2 Redeemed (1) Class B US$ Distributing (D) Net Increase 2 Sold 15 Reinvestment of distributions 2 Class B US$ Distributing (D) Redeemed (30) Reinvestment of distributions 1 Redeemed (28) Net Decrease (13) Net Decrease (27) Class C US$ Accumulating Sold 31 Class C US$ Distributing (D) Redeemed (4) Sold 6 Redeemed (8) Net Increase 27 Net Decrease (2) Class C US$ Distributing (D) Sold 113 Class A (G) US$ Accumulating Reinvestment of distributions 6 Sold 2 Redeemed (56) Redeemed (2) Net Increase 63 Net Increase – Class E US$ Accumulating Class A (G) US$ Distributing (D) Sold 20 Sold 10 Reinvestment of distributions 1 Net Increase 20 Redeemed (11) Class E US$ Distributing (D) Net Decrease – Sold 6 Class B (G) US$ Accumulating Net Increase 6 Redeemed (6) Class F US$ Accumulating Net Decrease (6) Sold 8 Class B (G) US$ Distributing (D) Net Increase 8 Redeemed (21) Net Decrease (21)

The accompanying notes are an integral part of the Financial Statements

345 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued) For the period ended August 31, 2010: Shares Shares (in 000’s) (in 000’s) Legg Mason Western Asset Global Multi Strategy Fund — (continued) Class A (G) US$ Accumulating Premier Class US$ Accumulating Sold 1 Sold 43 Net Increase 1 Redeemed (4) Class A (G) US$ Distributing (D) Net Increase 39 Sold 4 Premier Class US$ Distributing (D) Reinvestment of distributions 1 Sold 36 Redeemed (13) Redeemed (2) Net Decrease (8) Net Decrease 34 Class B (G) US$ Accumulating Premier Class US$ Distributing (M) Redeemed (1) Sold 32 Net Decrease (1) Redeemed (1) Class B (G) US$ Distributing (D) Net Increase 31 Reinvestment of distributions 1 Premier Class Euro Accumulating (Hedged) Redeemed (14) Sold 12 Net Decrease (13) Net Increase 12 Class L (G) US$ Distributing (D) Premier Class GBP Distributing (M) (Hedged) Reinvestment of distributions 2 Sold 37 Redeemed (5) Redeemed (20) Net Decrease (3) Net Increase 17

Legg Mason Western Asset Emerging Markets Bond Fund Legg Mason Western Asset US High Yield Fund Class A US$ Accumulating Class A US$ Accumulating Sold 289 Sold 5 Redeemed (95) Redeemed (15) Net Increase 194 Net Decrease (10) Class A US$ Distributing (D) Class A US$ Distributing (D) Sold 51 Sold 157 Reinvestment of distributions 2 Reinvestment of distributions 6 Redeemed (61) Redeemed (107) Net Decrease (8) Net Increase 56 Class A US$ Distributing (M) Class A US$ Distributing (M) Sold 27 Sold 32 Redeemed (7) Net Increase 32 Net Increase 20 Class B US$ Accumulating Class A Euro Accumulating (Hedged) Sold 1 Sold 13 Redeemed (1) Redeemed (1) Net Increase – Net Increase 12 Class B US$ Distributing (D) Class A GBP Distributing (D) (Hedged) Sold 9 Sold 35 Reinvestment of distributions 1 Net Increase 35 Redeemed (8) Class B US$ Accumulating Net Increase 2 Sold 2 Class C US$ Accumulating Net Increase 2 Sold 2 Redeemed (1) Class B US$ Distributing (D) Redeemed (3) Net Increase 1 Net Decrease (3) Class C US$ Distributing (D) Sold 55 Class C US$ Accumulating Reinvestment of distributions 1 Sold 2 Redeemed (19) Redeemed (1) Net Increase 37 Net Increase 1 Class E US$ Accumulating Class C US$ Distributing (D) Sold 1 Sold 5 Reinvestment of distributions 1 Net Increase 1 Redeemed (9) Premier Class US$ Distributing (D) Net Decrease (3) Sold 179 Class F US$ Accumulating Net Increase 179 Sold 40 LM Class US$ Distributing (M) Net Increase 40 Sold 151 Reinvestment of distributions 5 Premier Class US$ Accumulating Sold 9 Net Increase 156 Net Increase 9

The accompanying notes are an integral part of the Financial Statements

346 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued) For the period ended August 31, 2010: Shares Shares (in 000’s) (in 000’s) Legg Mason Western Asset Emerging Markets Bond Fund — (continued) Class A (G) US$ Accumulating Class A (G) US$ Accumulating Sold 1 Sold 1 Redeemed (21) Redeemed (4) Net Decrease (20) Net Decrease (3) Class A (G) US$ Distributing (D) Class A (G) US$ Distributing (D) Sold 7 Sold 9 Reinvestment of distributions 2 Redeemed (11) Redeemed (24) Net Decrease (2) Net Decrease (15) Class B (G) US$ Accumulating Class B (G) US$ Accumulating Redeemed (3) Redeemed (5) Net Decrease (3) Net Decrease (5) Class B (G) US$ Distributing (D) Class B (G) US$ Distributing (D) Reinvestment of distributions 1 Reinvestment of distributions 1 Redeemed (21) Redeemed (21) Net Decrease (20) Net Decrease (20) Class L (G) US$ Accumulating Class L (G) US$ Accumulating Redeemed (1) Redeemed (1) Net Decrease (1) Net Decrease (1) Class L (G) US$ Distributing (D) Class L (G) US$ Distributing (D) Reinvestment of distributions 1 Reinvestment of distributions 1 Redeemed (4) Redeemed (5) Net Decrease (3) Net Decrease (4)

Legg Mason Western Asset Global High Yield Fund Legg Mason Western Asset US Short-Term Government Fund Class A US$ Accumulating Class A US$ Accumulating Sold 698 Sold 35 Redeemed (379) Redeemed (52) Net Increase 319 Net Decrease (17) Class A US$ Distributing (D) Class A US$ Distributing (D) Sold 56 Sold 33 Reinvestment of distributions 1 Redeemed (23) Redeemed (7) Net Increase 10 Net Increase 50 Class B US$ Distributing (D) Class A US$ Distributing (M) Sold 5 Sold 83 Redeemed (3) Redeemed (35) Net Increase 2 Net Increase 48 Class C US$ Accumulating Class A AUD Distributing (M) (Hedged) Sold 1 Sold 54 Redeemed (11) Redeemed (6) Net Decrease (10) Net Increase 48 Class C US$ Distributing (D) Class B US$ Accumulating Sold 1 Sold 1 Net Increase 1 Net Increase 1 Class A (G) US$ Accumulating Class B US$ Distributing (D) Sold 6 Sold 1 Net Increase 6 Net Increase 1 Class A (G) US$ Distributing (D) Class C US$ Accumulating Sold 28 Sold 4 Redeemed (11) Net Increase 4 Net Increase 17 Class C US$ Distributing (D) Class B (G) US$ Accumulating Sold 15 Redeemed (8) Reinvestment of distributions 2 Net Decrease (8) Redeemed (9) Class B (G) US$ Distributing (D) Net Increase 8 Redeemed (42) Class E US$ Accumulating Net Decrease (42) Sold 7 Class L (G) US$ Distributing (D) Net Increase 7 Redeemed (3) Premier Class US$ Accumulating Net Decrease (3) Sold 254 Redeemed (5) Net Increase 249

The accompanying notes are an integral part of the Financial Statements

347 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued) For the period ended August 31, 2010: Shares Shares (in 000’s) (in 000’s) Legg Mason Western Asset US Adjustable Rate Fund Class A US$ Distributing (M) Class A US$ Accumulating Sold 6 Sold 7 Net Increase 6 Redeemed (10) Class A Euro Accumulating Net Decrease (3) Sold 187 Class B US$ Distributing (D) Redeemed (4) Sold 1 Net Increase 183 Net Increase 1 Class A GBP Distributing (M) Class C US$ Distributing (D) Sold 18 Sold 1 Net Increase 18 Redeemed (5) Class A SGD Accumulating (Hedged) Net Decrease (4) Sold 478 Class A (G) US$ Accumulating Net Increase 478 Sold 2 Redeemed (2) Class A SGD Distributing (Q) Sold 5,195 Net Increase – Redeemed (1) Class A (G) US$ Distributing (D) Net Increase 5,194 Sold 3 Redeemed (7) Class B US$ Accumulating Sold 4 Net Decrease (4) Net Increase 4 Class B (G) US$ Accumulating Redeemed (7) Class B US$ Distributing (D) Sold 8 Net Decrease (7) Redeemed (2) Class B (G) US$ Distributing (D) Net Increase 6 Redeemed (13) Class C US$ Accumulating Net Decrease (13) Sold 89 Class L (G) US$ Distributing (D) Redeemed (6) Redeemed (4) Net Increase 83 Net Decrease (4) Class C US$ Distributing (D) Sold 76 Reinvestment of distributions 1 Legg Mason Western Asset Inflation Management Fund Redeemed (2) Class A US$ Distributing (A) Sold 2 Net Increase 75 Redeemed (2) Class E US$ Accumulating Net Decrease – Sold 11 Class B US$ Accumulating Net Increase 11 Sold 1 Class E US$ Distributing (D) Net Increase 1 Sold 2 Class C US$ Accumulating Net Increase 2 Redeemed (1) Class F US$ Accumulating Net Increase (1) Sold 11 Class A (G) US$ Distributing (A) Net Increase 11 Redeemed (2) Class F US$ Distributing (D) Net Decrease (2) Sold 1 Class B (G) US$ Accumulating Net Increase 1 Redeemed (1) Premier Class US$ Accumulating Net Decrease (1) Sold 466 Redeemed (47) Class B (G) US$ Distributing (A) Redeemed (2) Net Increase 419 Net Decrease (2) Premier Class US$ Distributing (D) Sold 168 Net Increase 168 Legg Mason Western Asset Asian Opportunities Fund Class A US$ Accumulating Premier Class GBP Distributing (M) Sold 228 Sold 78 Redeemed (34) Net Increase 78 Net Increase 194 LM Class US$ Accumulating Sold 204 Class A US$ Distributing (D) Sold 203 Net Increase 204 Reinvestment of distributions 1 Redeemed (12) Net Increase 192

The accompanying notes are an integral part of the Financial Statements

348 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued) For the period ended August 31, 2010: Shares Shares (in 000’s) (in 000’s) Legg Mason Western Asset Global Blue Chip Bond Fund Legg Mason Western Asset Global Credit Absolute Return Fund ^I Class A US$ Accumulating Class A GBP Distributing (M) (Hedged) Sold 7 Sold 21 Redeemed (34) Net Increase 21 Net Decrease (27) Class A (PF) US$ Distributing (M) Class A US$ Distributing (M) Sold 18 Sold 6 Net Increase 18 Redeemed (8) Premier Class US$ Accumulating Net Decrease (2) Sold 17 Class A Euro Accumulating (Hedged) Net Increase 17 Sold 6 Redeemed (4) Premier Class Euro Accumulating (Hedged) Sold 53 Net Increase 2 Net Increase 53 Class B US$ Distributing (M) Sold 3 Premier (PF) Class US$ Accumulating Sold 32 Net Increase 3 Redeemed (23) Class C US$ Accumulating Net Increase 9 Sold 10 Redeemed (10) Premier (PF) Class US$ Distributing (M) Sold 179 Net Decrease – Redeemed (32) Class C US$ Distributing (M) Net Increase 147 Sold 22 Redeemed (1) Premier (PF) Class GBP Accumulating (Hedged) Sold 67 Net Increase 21 Net Increase 67 Class E US$ Accumulating Sold 17 Premier (PF) Class GBP Distributing (M) (Hedged) Redeemed (2) Sold 256 Redeemed (1) Net Increase 15 Net Increase 255 Class E US$ Distributing (D) Sold 1 Net Increase 1 Legg Mason Brandywine Global Fixed Income Fund Premier Class US$ Accumulating Class A US$ Accumulating Sold 22 Sold 54 Redeemed (3) Redeemed (52) Net Increase 19 Net Increase 2 Premier Class US$ Distributing (M) Class A US$ Distributing (S) Sold 106 Sold 87 Redeemed (12) Reinvestment of distributions 33 Redeemed (247) Net Increase 94 Net Decrease (127) Premier Class Euro Accumulating (Hedged) Sold 106 Class A GBP Distributing (S) (Hedged) Redeemed (34) Sold 128 Reinvestment of distributions 2 Net Increase 72 Redeemed (102) Premier Class Euro Distributing (M) (Hedged) Net Increase 28 Sold 3 Redeemed (3) Class A SGD Accumulating (Hedged) Sold 73 Net Increase – Net Increase 73 Premier Class GBP Accumulating (Hedged) Sold 10 Class B US$ Accumulating Redeemed (6) Sold 1 Redeemed (6) Net Increase 4 Net Decrease (5) Premier Class GBP Distributing (M) (Hedged) Sold 386 Class B US$ Distributing (S) Redeemed (335) Sold 1 Reinvestment of distributions 1 Net Increase 51 Redeemed (12) Net Decrease (10) Legg Mason Western Asset Brazil Bond Fund ^GG Class C US$ Accumulating Premier Class US$ Accumulating Redeemed (1) Sold 45 Net Decrease (1) Net Increase 45 Class C US$ Distributing (S) LM Class US$ Accumulating Sold 5 Sold 50 Reinvestment of distributions 1 Net Increase 50 Redeemed (8) Net Decrease (2)

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

349 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued) For the period ended August 31, 2010: Shares Shares (in 000’s) (in 000’s) Legg Mason Brandywine Global Fixed Income Fund — (continued) Class A Euro Accumulating LM Class US$ Accumulating Sold 9 Sold 10 Redeemed (2) Net Increase 10 Net Increase 7 Class B US$ Distributing (A) Redeemed (2) Legg Mason Brandywine Global Opportunistic Fixed Income Fund ^V Class A US$ Distributing (M) Net Decrease (2) Sold 40 Class C US$ Accumulating Net Increase 40 Sold 1 Net Increase 1

Legg Mason Capital Management Value Fund Class C US$ Distributing (A) Sold 1 Class A US$ Accumulating Sold 293 Redeemed (4) Redeemed (75) Net Decrease (3) Net Increase 218 Premier Class US$ Accumulating Sold 42 Class A US$ Distributing (A) Sold 433 Redeemed (24) Redeemed (907) Net Increase 18 Net Decrease (474) Class A Euro Accumulating Legg Mason Capital Management Opportunity Fund Sold 11 Class A US$ Accumulating Redeemed (23) Sold 18 Net Increase (12) Redeemed (11) Class A GBP Distributing (A) Net Increase 7 Redeemed (9) Class A US$ Distributing (A) Net Decrease (9) Sold 111 Redeemed (41) Class A SGD Accumulating Sold 12,648 Net Increase 70 Redeemed (8,202) Premier Class US$ Accumulating Net Increase 4,446 Sold 93 Redeemed (4) Class B US$ Accumulating Redeemed (2) Net Increase 89 Net Decrease (2) Premier Class GBP Distributing (A) Sold 315 Class B US$ Distributing (A) Redeemed (17) Redeemed (9) Net Increase 298 Net Decrease (9) Class C US$ Accumulating Sold 27 Legg Mason ClearBridge US Appreciation Fund Redeemed (25) Class A US$ Accumulating Net Increase 2 Sold 117 Redeemed (47) Class C US$ Distributing (A) Sold 9 Net Increase 70 Redeemed (20) Class A US$ Distributing (A) Net Decrease (11) Sold 225 Redeemed (58) Premier Class US$ Accumulating Sold 171 Net Increase 167 Redeemed (197) Class A Euro Accumulating Net Decrease (26) Sold 3 Redeemed (29) LM Class US$ Accumulating Sold 39 Net Decrease (26) Redeemed (8) Class B US$ Accumulating Net Increase 31 Sold 2 Redeemed (1) Net Increase 1 Legg Mason Capital Management Growth Fund Class B US$ Distributing (A) Class A US$ Accumulating Sold 3 Sold 3 Redeemed (1) Redeemed (6) Net Increase 2 Net Decrease (3) Class C US$ Accumulating Class A US$ Distributing (A) Sold 6 Sold 2 Redeemed (4) Redeemed (29) Net Decrease 2 Net Decrease (27)

^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

350 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued) For the period ended August 31, 2010: Shares Shares (in 000’s) (in 000’s) Legg Mason ClearBridge US Appreciation Fund — (continued) Class A (G) US$ Accumulating Class C US$ Distributing (A) Sold 55 Sold 1 Redeemed (95) Redeemed (5) Net Decrease (40) Net Increase (4) Class B (G) US$ Accumulating Class E US$ Accumulating Redeemed (99) Sold 2 Net Decrease (99) Net Increase 2 Class L (G) US$ Accumulating Class F US$ Accumulating Redeemed (24) Sold 4 Net Decrease (24) Net Increase 4 Class GA US$ Accumulating Premier Class US$ Accumulating Sold 276 Sold 75 Net Increase 276 Redeemed (8) Class GA Euro Accumulating Net Increase 67 Sold 10 Premier Class US$ Distributing (A) Net Increase 10 Sold 1 Class GA Euro Distributing (A) Net Decrease 1 Sold 1 Premier Class Euro Accumulating Net Increase 1 Sold 27 Redeemed (1) Class GE US$ Accumulating Sold 3 Net Increase 26 Net Increase 3 Class A (G) US$ Accumulating Sold 3 Class GE Euro Accumulating Redeemed (8) Sold 5 Net Decrease (5) Net Increase 5 Class B (G) US$ Accumulating Redeemed (6) Legg Mason ClearBridge US Large Cap Growth Fund Net Decrease (6) Class A US$ Accumulating Class L (G) US$ Accumulating Sold 16 Redeemed (17) Redeemed (8) Net Decrease (17) Net Increase 8 Class A US$ Distributing (A) Sold 3 Legg Mason ClearBridge US Fundamental Value Fund Redeemed (1) Class A US$ Accumulating Net Increase 2 Sold 14 Redeemed (27) Class C US$ Accumulating Sold 1 Net Decrease (13) Net Increase 1 Class A US$ Distributing (A) Sold 1 Class C US$ Distributing (A) Redeemed (1) Sold 7 Net Increase – Net Increase 7 Class B US$ Accumulating Class A (G) US$ Accumulating Sold 1 Sold 7 Redeemed (2) Redeemed (19) Net Decrease (1) Net Decrease (12) Class B US$ Distributing (A) Class B (G) US$ Accumulating Sold 8 Redeemed (12) Redeemed (1) Net Decrease (12) Net Increase 7 Class L (G) US$ Accumulating Class C US$ Accumulating Redeemed (4) Sold 1 Net Decrease (4) Net Increase 1 Class GA US$ Accumulating Class C US$ Distributing (A) Sold 44 Sold 1 Net Increase 44 Redeemed (1) Class GA Euro Accumulating Net Increase – Sold 17 LM Class US$ Accumulating Net Increase 17 Sold 70 Class GE US$ Distributing (A) Net Increase 70 Sold 1 Net Increase 1

The accompanying notes are an integral part of the Financial Statements

351 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued) For the period ended August 31, 2010: Shares Shares (in 000’s) (in 000’s) Legg Mason ClearBridge US Large Cap Growth Fund — (continued) Class A US$ Distributing (A) Class GE Euro Accumulating Sold 96 Sold 4 Redeemed (77) Net Increase 4 Net Increase 19 Class A Euro Accumulating Sold 641 Legg Mason ClearBridge US Aggressive Growth Fund Redeemed (391) Class A US$ Accumulating Sold 58 Net Increase 250 Redeemed (72) Class B US$ Accumulating Net Decrease (14) Sold 3 Class A US$ Distributing (A) Net Increase 3 Sold 16 Class B US$ Distributing (A) Redeemed (8) Sold 1 Net Increase 8 Redeemed (2) Class B US$ Accumulating Net Decrease (1) Sold 2 Class C US$ Accumulating Net Increase 2 Sold 2 Redeemed (2) Class B US$ Distributing (A) Sold 5 Net Increase – Net Increase 5 Class C US$ Distributing (A) Sold 20 Class C US$ Accumulating Redeemed (2) Sold 1 Redeemed (5) Net Increase 18 Net Increase (4) Class E Euro Accumulating Sold 2 Class C US$ Distributing (A) Redeemed (1) Sold 7 Redeemed (2) Net Increase 1 Net Increase 5 Premier Class US$ Accumulating Sold 121 Premier Class US$ Accumulating Redeemed (109) Sold 39 Redeemed (5) Net Increase 12 Net Increase 34 Premier Class Euro Accumulating Sold 47 Class A (G) US$ Accumulating Redeemed (1) Sold 254 Redeemed (83) Net Increase 46 Net Increase 171 Class B (G) US$ Accumulating Legg Mason Royce Smaller Companies Fund Redeemed (44) Class A US$ Accumulating Net Decrease (44) Sold 229 Redeemed (186) Class L (G) US$ Accumulating Redeemed (20) Net Increase 43 Net Decrease (20) Class A US$ Distributing (A) Sold 291 Class GA Euro Accumulating Redeemed (123) Sold 15 Net Increase 168 Net Increase 15 Class A Euro Accumulating Class GA Euro Distributing (A) Sold 13 Sold 2 Redeemed (1) Net Increase 2 Net Increase 12 Class GE US$ Accumulating Class B US$ Accumulating Sold 1 Sold 2 Net Increase 1 Redeemed (2) Class GE Euro Accumulating Net Increase – Sold 2 Class B US$ Distributing (A) Net Increase 2 Sold 1 Redeemed (3) Net Decrease (2) Legg Mason Royce US Small Cap Opportunity Fund Class C US$ Accumulating Class A US$ Accumulating Sold 8 Sold 887 Redeemed (1) Redeemed (266) Net Increase 7 Net Increase 621

The accompanying notes are an integral part of the Financial Statements

352 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued) For the period ended August 31, 2010: Shares Shares (in 000’s) (in 000’s) Legg Mason Royce Smaller Companies Fund — (continued) Class F US$ Distributing (A) Class C US$ Distributing (A) Sold 1 Sold 8 Net Increase 1 Redeemed (2) Premier Class AUD Distributing (A) (Hedged) Net Increase 6 Sold 197 Class E US$ Accumulating Redeemed (100) Sold 5 Net Increase 97 Net Increase 5 Premier Class Euro Distributing (A) (Hedged) Class F US$ Accumulating Sold 48 Sold 20 Net Increase 48 Net Increase 20 Premier Class GBP Distributing (A) (Hedged) Premier Class US$ Accumulating Redeemed (2) Sold 98 Net Decrease (2) Redeemed (47) Net Increase 51 Class A (G) US$ Accumulating Legg Mason GC Global Equity Fund Sold 7 Class A US$ Accumulating Redeemed (13) Redeemed (11) Net Decrease (6) Net Decrease (11) Class B (G) US$ Accumulating Class B US$ Distributing (A) Sold 1 Redeemed (1) Redeemed (8) Net Decrease (1) Net Decrease (7) Class L (G) US$ Accumulating Legg Mason Batterymarch European Equity Fund Redeemed (1) Class A US$ Distributing (A) Net Decrease (1) Redeemed (6) Net Decrease (6)

Legg Mason Royce Global Smaller Companies Fund Class A Euro Distributing (A) Class A US$ Accumulating Sold 1 Sold 27 Redeemed (1) Net Increase 27 Net Decrease – Class B US$ Accumulating Sold 1 Legg Mason PCM US Equity Fund ? Net Increase 1 Class A US$ Accumulating Redeemed (10) Class B US$ Distributing (A) Redeemed (2) Net Decrease (10) Net Decrease (2) Class C US$ Accumulating Legg Mason Permal Global Absolute Fund Sold 1 Class A US$ Accumulating Redeemed (1) Sold 78 Net Increase – Net Increase 78 Class C US$ Distributing (A) Class A US$ Distributing (A) Sold 1 Sold 51 Redeemed (7) Redeemed (10) Net Decrease (6) Net Increase 41 Class A (G) US$ Accumulating Class A Euro Accumulating (Hedged) Sold 3 Sold 9 Redeemed (26) Net Increase 9 Net Decrease (23) Class A SGD Accumulating (Hedged) Class B (G) US$ Accumulating Sold 1,197 Redeemed (13) Redeemed (244) Net Decrease (13) Net Increase 953 Class L (G) US$ Accumulating Class B US$ Distributing (A) Redeemed (6) Sold 2 Net Decrease (6) Net Increase 2 Class GA US$ Accumulating Class C US$ Accumulating Sold 66 Sold 56 Net Increase 66 Net Increase 56 Class GA Euro Accumulating Class C US$ Distributing (A) Sold 462 Sold 33 Redeemed (3) Net Increase 462 Net Increase 30

The accompanying notes are an integral part of the Financial Statements

353 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued) For the period ended August 31, 2010: Shares Shares (in 000’s) (in 000’s) Legg Mason Batterymarch European Equity Fund — (continued) Class B US$ Distributing (A) Class GA Euro Distributing (A) Sold 2 Sold 1 Net Increase 2 Net Increase 1 Class C US$ Accumulating Class GE US$ Accumulating Redeemed (1) Sold 4 Net Decrease (1) Net Increase 4 Class C US$ Distributing (A) Redeemed (2) Legg Mason Batterymarch Asia Pacific Equity Fund Net Decrease (2) Class A US$ Accumulating Class A (G) US$ Accumulating Sold 57 Sold 4 Redeemed (82) Redeemed (7) Net Decrease (25) Net Decrease (3) Class A US$ Distributing (A) Class B (G) US$ Accumulating Sold 18 Redeemed (23) Redeemed (57) Net Decrease (23) Net Decrease (39) Class L (G) US$ Accumulating Class A Euro Accumulating Redeemed (9) Sold 10 Redeemed (4) Net Decrease (9) Net Increase 6 Class B US$ Accumulating Legg Mason Batterymarch Emerging Markets Equity Fund Sold 1 Class A US$ Accumulating Redeemed (1) Sold 19 Redeemed (26) Net Increase – Net Decrease (7) Class B US$ Distributing (A) Sold 1 Class A US$ Distributing (A) Redeemed (7) Sold 7 Redeemed (1) Net Decrease (6) Net Increase 6 Class C US$ Distributing (A) Sold 5 Class A Euro Accumulating Redeemed (27) Sold 17 Net Decrease (22) Net Increase 17 Class E US$ Accumulating Class A GBP Distributing (A) Sold 1 Sold 224 Redeemed (13) Net Increase 1 Net Increase 211 Class GA US$ Accumulating Sold 305 Class B US$ Accumulating Sold 4 Net Increase 305 Net Increase 4 Class GA Euro Accumulating Sold 15 Class C US$ Accumulating Sold 14 Net Increase 15 Redeemed (1) Class GA Euro Distributing (A) Net Increase 13 Sold 3 Class C US$ Distributing (A) Net Increase 3 Sold 2 Class GE US$ Accumulating Redeemed (1) Sold 7 Net Increase 1 Net Increase 7 Class E US$ Accumulating Class GE Euro Accumulating Sold 1 Sold 11 Net Increase 1 Net Increase 11 Premier Class US$ Accumulating Sold 10 Redeemed (79) Legg Mason Batterymarch International Large Cap Fund Class A US$ Accumulating Net Decrease (69) Redeemed (1) LM Class US$ Distributing (A) Net Decrease (1) Sold 1 Redeemed (1) Class A US$ Distributing (A) Redeemed (1) Net Decrease – Net Decrease (1) Class B US$ Accumulating Legg Mason Congruix Asia Pacific Fund ^Þ Redeemed (1) LM Class US$ Accumulating Net Decrease (1) Redeemed (747) Net Decrease (747) ^ Not authorised in Hong Kong and not available to Hong Kong residents. The accompanying notes are an integral part of the Financial Statements

354 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares – (continued) For the period ended August 31, 2010: Shares (in 000’s) Legg Mason Congruix Japan Equity Fund Y´ LM Class JPY Accumulating Redeemed (24) Net Decrease (24) Class GA US$ Accumulating Sold 27 Net Increase 27 Class GA Euro Accumulating Sold 2 Net Increase 2 Class GA JPY Accumulating Sold 86 Net Increase 86 Class GE Euro Accumulating Sold 4 Net Increase 4 Class GE JPY Accumulating Sold 1 Net Increase 1

Legg Mason LMHK China Fund LM Class US$ Accumulating Sold 3 Net Increase 3

Legg Mason Esemplia Emerging Markets Select Equity Fund ‡ LM Class US$ Accumulating Sold 50 Net Increase 50

The accompanying notes are an integral part of the Financial Statements

355 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Notes to Financial Statements

1. Significant Accounting Policies The significant accounting policies and estimation techniques adopted by Legg Mason Global Funds Plc ( the ‘‘Company’’) for the six months period ended August 31, 2011 are consistent with those adopted by the Company for the annual financial statements for the year ended February 28, 2011. Basis of Preparation The financial statements have been prepared in accordance with the Accounting Standards Board (‘‘ASB’’) Statement on Half-Yearly Financial Reports (July 2007) and Irish statute comprising the Companies Acts, 1963 to 2005, Part 2 and 3 of the Investment Funds, Companies and Miscellaneous Provisions Act 2006, the Companies (Amendment) Act 2009 and the Companies Miscellaneous Provisions Act 2009 (the ‘‘Companies Acts’’ or the ‘‘Companies Acts 1963 to 2009’’) and all regulations to be as construed as one with those Acts, including the European Communities (Undertakings for Collective Investment in Transferable Securities) Regulations, 2011 (the ‘‘UCITS Regulations’’). The format and certain wording of the financial statements have been adapted from those contained in the Companies (Amendment) Act 1986 and Financial Reporting Standard 3: Reporting Financial Performance (‘‘FRS 3’’) so that, in the opinion of the directors of the Company (the ‘‘Directors’’), they more appropriately reflect the nature of the Company’s business as an investment fund. The Company has availed of the exemption available to open-ended investment funds under Financial Reporting Standard 1: Cash Flow Statements (‘‘FRS 1’’) not to prepare a cash flow statement. All references to net assets throughout this document refer to net assets attributable to holders of Redeemable Participating Shares unless otherwise stated. All of the Company’s assets and liabilities are held for the purposes of being traded or are expected to be realised within one year. 2. Efficient Portfolio Management Subject to the conditions and within the limits from time to time laid down by the Central Bank of Ireland, and except as otherwise stated in the investment objective and policies of a Fund, the Investment Managers may employ, for certain Funds, investment techniques and instruments such as futures, options, forward foreign currency contracts and other derivatives for efficient portfolio management. Furthermore, new techniques and instruments may be developed which may be suitable for use by a Fund in the future and a Fund may employ such techniques and instruments subject to the prior approval of, and any restrictions imposed by, the Central Bank of Ireland. During the period, futures, forward foreign currency transactions, options, swaps and repurchase agreements were entered into for the purpose of efficient portfolio management in order to hedge currency and market exposure as well as increase capital and income returns. Gains and losses on these transactions are reflected in the profit and loss account. Details of all open transactions at the period end are disclosed in the portfolio of investments. Futures and Options on Futures Certain Funds may buy or sell futures or options on futures to provide an efficient, liquid and effective method for the management of risks by ‘‘locking in’’ gains and/or protecting against future declines in value. Forward foreign currency contracts Certain Funds may buy or sell into forward foreign currency contracts to purchase or sell a specific currency at a future date at a price set at the time of the contract. These Funds may enter into these contracts to hedge against changes in currency exchange rates. Swaps Certain Funds may enter into swaps (including credit default swaps, interest rate swaps (including non-deliverable), total return swaps, swaptions, currency swaps (including non-deliverable), contracts for differences and spread locks) or options on swaps to provide an efficient, liquid and effective method for the management of risks. Repurchase Agreements A portion of each Fund’s assets may be held in ancillary liquid assets. For efficient portfolio management purposes, each Fund may enter into repurchase agreements and reverse repurchase agreements. Stocklending transactions Certain Funds may also utilise stocklending agreements for efficient portfolio management purposes as described above. In such transactions the Fund may temporarily transfer its securities to a borrower, with agreement by the borrower to return equivalent securities to the Fund at a pre-agreed time. In entering into such transactions the Fund will endeavour to increase the returns on its portfolio of securities by receiving a fee for making its securities available to the borrower. Options Certain Funds may purchase exchange-traded option contracts and certain Funds may enter into options traded over-the-counter (or OTC options). Such transactions give the Fund the right, but not the obligation, to buy (call) or sell (put) a security or other financial asset at a strike price during a certain period or on the exercise date. 3. Operating Expenses and Other Related Party Transactions Pursuant to separate investment management agreements between the Company and Legg Mason Capital Management, LLC and Legg Mason Investments (Europe) Limited (the ‘‘Investment Managers’’), each Investment Manager shall be entitled to receive an investment management fee out of the assets of the relevant Fund for its services as the Investment Manager, which shall accrue on each Dealing Day and be payable monthly in arrears. The maximum investment management fee for each class in issue at August 31, 2011 (expressed as a percentage of the relevant Fund’s net asset value attributable to such class) is as follows: Maximum Investment Maximum Investment Fund Name Management Fee Fund Name Management Fee Legg Mason Western Asset US Money Market Fund Legg Mason Western Asset US Core Bond Fund Each Class A Share Class 0.80% Each Class A Share Class 0.95% Each Class B Share Class 1.05% Each Class B Share Class 1.20% Each Class C Share Class 1.30% Each Class C Share Class 1.45% Each Class E Share Class 1.40% Each Class E Share Class 1.55% Each LM Share Class None Each Class F Share Class 0.55% Class A (G) US$ Accumulating 0.80% Each Premier Share Class 0.30% Class A (G) US$ Distributing (D) 0.80% Each LM Share Class None Class B (G) US$ Accumulating 0.80% Class GA US$ Accumulating 0.82% Class B (G) US$ Distributing (D) 0.80% Class GE US$ Accumulating 1.42% Class L (G) US$ Accumulating 0.80% Class L (G) US$ Distributing (D) 0.80%

356 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Notes to Financial Statements – (continued)

3. Operating Expenses and Other Related Party Transactions – (continued) Maximum Investment Maximum Investment Fund Name Management Fee Fund Name Management Fee Legg Mason Western Asset US Core Plus Bond Fund Legg Mason Western Asset Emerging Markets Bond Each Class A Share Class 1.15% Fund Each Class B Share Class 1.40% Each Class A Share Class 1.50% Each Class C Share Class 1.65% Each Class B Share Class 1.75% Each Class E Share Class 1.75% Each Class C Share Class 2.00% Each Class F Share Class 0.55% Each Class E Share Class 2.10% Each Premier Share Class 0.30% Each Class F Share Class 0.80% Each LM Share Class None Each Premier Share Class 0.55% Class A (G) US$ Accumulating 1.15% Each LM Share Class None Class A (G) US$ Distributing (D) 1.15% Class A (G) US$ Accumulating 1.25% Class B (G) US$ Accumulating 1.65% Class A (G) US$ Distributing (D) 1.25% Class B (G) US$ Distributing (D) 1.65% Class B (G) US$ Accumulating 1.75% Class L (G) US$ Accumulating 1.65% Class B (G) US$ Distributing (D) 1.75% Class L (G) US$ Distributing (D) 1.65% Class L (G) US$ Accumulating 1.75% Class L (G) US$ Distributing (D) 1.75% Legg Mason Western Asset Euro Core Plus Bond Fund Legg Mason Western Asset Global High Yield Fund Each Class A Share Class 1.00% Each Class A Share Class 1.25% Each Class B Share Class 1.25% Each Class B Share Class 1.50% Each Class C Share Class 1.50% Each Class C Share Class 1.75% Each Class E Share Class 1.60% Each Class E Share Class 1.85% Each Class F Share Class 0.55% Each Class F Share Class 0.70% Each Premier Share Class 0.30% Each Premier Share Class 0.45% Each LM Share Class None Each LM Share Class None Class GA Euro Accumulating 0.82% Class A (G) US$ Accumulating 1.25% Class GA Euro Distributing (A) 0.82% Class A (G) US$ Distributing (D) 1.25% Class GE Euro Accumulating 1.42% Class B (G) US$ Accumulating 1.75% Class GF Euro Accumulating 0.80% Class B (G) US$ Distributing (D) 1.75% Class GF Euro Distributing (A) 0.80% Class L (G) US$ Accumulating 1.75% Class L (G) US$ Distributing (D) 1.75% Legg Mason Western Asset Diversified Strategic Income Fund Legg Mason Western Asset US Short-Term Each Class A Share Class 1.10% Government Fund Each Class B Share Class 1.35% Each Class A Share Class 1.05% Each Class C Share Class 1.60% Each Class B Share Class 1.30% Each Class E Share Class 1.70% Each Class C Share Class 1.55% Each Class F Share Class 0.85% Each Class E Share Class 1.65% Each Premier Share Class 0.60% Each Class F Share Class 0.80% Each LM Share Class None Each Premier Share Class 0.55% Class A (G) US$ Accumulating 1.20% Each LM Share Class None Class A (G) US$ Distributing (D) 1.20% Class A (G) US$ Accumulating 1.05% Class B (G) US$ Accumulating 1.70% Class A (G) US$ Distributing (D) 1.05% Class B (G) US$ Distributing (D) 1.70% Class B (G) US$ Accumulating 1.55% Class L (G) US$ Accumulating 1.70% Class B (G) US$ Distributing (D) 1.55% Class L (G) US$ Distributing (D) 1.70% Class L (G) US$ Accumulating 1.55% Class L (G) US$ Distributing (D) 1.55% Legg Mason Western Asset Global Multi Strategy Fund Legg Mason Western Asset US Adjustable Rate Fund Each Class A Share Class 1.10% Each Class A Share Class 1.10% Each Class B Share Class 1.35% Each Class B Share Class 1.35% Each Class C Share Class 1.60% Each Class C Share Class 1.60% Each Class E Share Class 1.70% Each Class E Share Class 1.70% Each Class F Share Class 0.65% Each Class F Share Class 0.85% Each Premier Share Class 0.40% Each Premier Share Class 0.60% Each LM Share Class None Each LM Share Class None Class A (G) US$ Accumulating 1.10% Legg Mason Western Asset US High Yield Fund Class A (G) US$ Distributing (D) 1.10% Each Class A Share Class 1.15% Class B (G) US$ Accumulating 1.60% Each Class B Share Class 1.40% Class B (G) US$ Distributing (D) 1.60% Each Class C Share Class 1.65% Class L (G) US$ Accumulating 1.60% Each Class E Share Class 1.75% Class L (G) US$ Distributing (D) 1.60% Each Class F Share Class 0.70% Each Premier Share Class 0.45% Legg Mason Western Asset Inflation Management Each LM Share Class None Fund Class A (G) US$ Accumulating 1.15% Each Class A Share Class 1.10% Class A (G) US$ Distributing (D) 1.15% Each Class B Share Class 1.35% Class B (G) US$ Accumulating 1.65% Each Class C Share Class 1.60% Class B (G) US$ Distributing (D) 1.65% Each Class E Share Class 1.70% Class L (G) US$ Accumulating 1.65% Each Class F Share Class 0.85% Class L (G) US$ Distributing (D) 1.65% Each Premier Share Class 0.60% Class GF US$ Accumulating 0.95% Each LM Share Class None Class A (G) US$ Accumulating 1.10% Class A (G) US$ Distributing (A) 1.10% Class B (G) US$ Accumulating 1.60% Class B (G) US$ Distributing (A) 1.60% Class L (G) US$ Accumulating 1.60% Class L (G) US$ Distributing (A) 1.60%

357 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Notes to Financial Statements – (continued)

3. Operating Expenses and Other Related Party Transactions – (continued) Maximum Investment Maximum Investment Fund Name Management Fee Fund Name Management Fee Legg Mason Western Asset Asian Opportunities Legg Mason Western Asset UK£ Inflation-Linked Plus Fund Fund^ Each Class A Share Class 1.10% Each Class A Share Class 1.00% Each Class B Share Class 1.35% Each Class B Share Class 1.25% Each Class C Share Class 1.60% Each Class C Share Class 1.50% Each Class E Share Class 1.70% Each Class E Share Class 1.60% Each Class F Share Class 0.85% Each Class F Share Class 0.55% Each Premier Share Class 0.60% Each Premier Share Class 0.25% Each LM Share Class None Each LM Share Class None

Legg Mason Western Asset Global Blue Chip Bond Legg Mason Western Asset UK£ Long Duration Fund Fund^ Each Class A Share Class 0.85% Each Class A Share Class 1.05% Each Class B Share Class 1.10% Each Class B Share Class 1.30% Each Class C Share Class 1.35% Each Class C Share Class 1.55% Each Class E Share Class 1.45% Each Class E Share Class 1.65% Each Class F Share Class 0.60% Each Class F Share Class 0.60% Each Premier Share Class 0.35% Each Premier Share Class 0.35% Each LM Share Class None Each LM Share Class None

Legg Mason Western Asset Brazil Bond Fund^ Legg Mason Western Asset Global Credit Fund Each Class A Share Class 1.05% Each Class A Share Class 1.05% Each Class B Share Class 1.30% Each Class B Share Class 1.30% Each Class C Share Class 1.55% Each Class C Share Class 1.55% Each Class E Share Class 1.65% Each Class E Share Class 1.65% Each Premier Share Class 0.55% Each Class F Share Class 0.60% Each LM Share Class None Each Premier Share Class 0.35% Each LM Share Class None Legg Mason Western Asset Global Credit Absolute Each GF US$ Accumulating 0.85% Return Fund^ Each Class A Share Class 1.50% Legg Mason Western Asset Euro High Yield Fund^ Each Class A (PF) Share Class 1.25% Each Class A Share Class 1.15% Each Class B Share Class 1.75% Each Class B Share Class 1.40% Each Class C Share Class 2.00% Each Class C Share Class 1.65% Each Class E Share Class 2.10% Each Class E Share Class 1.75% Each Class F Share Class 1.25% Each Class F Share Class 0.70% Each Class F (PF) Share Class 1.00% Each Premier Share Class 0.45% Each Premier Share Class 1.00% Each LM Share Class None Each Premier (PF) Share Class 0.75% Each LM Share Class None Legg Mason Brandywine Global Fixed Income Fund Each Class A Share Class 1.10% Legg Mason Western Asset UK£ Core Plus Bond Each Class B Share Class 1.35% Fund^ Each Class C Share Class 1.60% Each Class A Share Class 1.00% Each Class E Share Class 1.70% Each Class B Share Class 1.25% Each Class F Share Class 0.85% Each Class C Share Class 1.50% Each Premier Share Class 0.60% Each Class E Share Class 1.60% Each LM Share Class None Each Class F Share Class 0.55% Each Premier Share Class 0.30% Legg Mason Brandywine Global Opportunistic Fixed Each LM Share Class None Income Fund^ Each Class A Share Class 1.15% Legg Mason Western Asset Global Core Plus Bond Each Class B Share Class 1.40% Fund^ Each Class C Share Class 1.65% Each Class A Share Class 1.10% Each Class E Share Class 1.75% Each Class B Share Class 1.35% Each Class F Share Class 0.90% Each Class C Share Class 1.60% Each Premier Share Class 0.65% Each Class E Share Class 1.70% Each LM Share Class None Each Class F Share Class 0.65% Each Premier Share Class 0.40% Legg Mason Western Asset Brazil Equity Fund^ Each LM Share Class None Each Class A Share Class 1.25% Each GF US$ Accumulating 0.90% Each Class B Share Class 1.75% Each Class C Share Class 1.75% Legg Mason Western Asset Global Inflation-Linked Each Class E Share Class 2.00% Fund Each Premier Share Class 0.75% Each Class A Share Class 1.00% Each LM Share Class none Each Class B Share Class 1.25% Each Class C Share Class 1.50% Legg Mason Capital Management Value Fund Each Class E Share Class 1.60% Each Class A Share Class 1.35% Each Class F Share Class 0.55% Each Class B Share Class 1.85% Each Premier Share Class 0.30% Each Class C Share Class 1.85% Each LM Share Class None Each Class E Share Class 2.10% Each Class F Share Class 1.10% Each Premier Share Class 0.85% Each LM Share Class None Galleon Share Class 0.85%

^ Not authorised in Hong Kong and not available to Hong Kong residents.

358 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Notes to Financial Statements – (continued)

3. Operating Expenses and Other Related Party Transactions – (continued) Maximum Investment Maximum Investment Fund Name Management Fee Fund Name Management Fee Legg Mason Capital Management Growth Fund Legg Mason ClearBridge US Aggressive Growth Fund Each Class A Share Class 1.20% Each Class A Share Class 1.30% Each Class B Share Class 1.70% Each Class B Share Class 1.80% Each Class C Share Class 1.70% Each Class C Share Class 1.80% Each Class E Share Class 1.95% Each Class E Share Class 2.05% Each Class F Share Class 0.95% Each Class F Share Class 1.05% Each Premier Share Class 0.70% Each Premier Share Class 0.80% Each LM Share Class None Each LM Share Class None Class A (G) US$ Accumulating 1.30% Legg Mason Capital Management Opportunity Fund Class B (G) US$ Accumulating 1.80% Each Class A Share Class 1.35% Class L (G) US$ Accumulating 1.80% Each Class B Share Class 1.85% Class GP US$ Accumulating 0.67% Each Class C Share Class 1.85% Class GA US$ Distributing (A) 1.42% Each Class E Share Class 2.10% Class GA Euro Accumulating 1.42% Each Class F Share Class 1.10% Class GA Euro Distributing (A) 1.42% Each Premier Share Class 0.85% Class GE US$ Accumulating 2.17% Each LM Share Class None Class GE Euro Accumulating 2.17%

Legg Mason ClearBridge US Appreciation Fund Legg Mason Royce U.S. Small Cap Opportunity Fund Each Class A Share Class 1.25% Each Class A Share Class 1.50% Each Class B Share Class 1.75% Each Class B Share Class 2.00% Each Class C Share Class 1.75% Each Class C Share Class 2.00% Each Class E Share Class 2.00% Each Class E Share Class 2.25% Each Class F Share Class 1.00% Each Class F Share Class 1.25% Each Premier Share Class 0.75% Each Premier Share Class 1.00% Each LM Share Class None Each LM Share Class None Class A (G) US$ Accumulating 1.25% Class B (G) US$ Accumulating 1.75% Legg Mason Royce Smaller Companies Fund Class L (G) US$ Accumulating 1.75% Each Class A Share Class 1.50% Class GA US$ Accumulating 1.42% Each Class B Share Class 2.00% Class GA Euro Accumulating 1.42% Each Class C Share Class 2.00% Class GA Euro Distributing (A) 1.42% Each Class E Share Class 2.25% Class GE US$ Distributing (A) 2.17% Each Class F Share Class 1.25% Class GE Euro Accumulating 2.17% Each Premier Share Class 1.00% Class GP US$ Accumulating None Each LM Share Class None Class A (G) US$ Accumulating 1.25% Legg Mason ClearBridge US Fundamental Value Fund Class B (G) US$ Accumulating 1.75% Each Class A Share Class 1.25% Class L (G) US$ Accumulating 1.75% Each Class B Share Class 1.75% Each Class C Share Class 1.75% Legg Mason Royce Smaller Companies Fund II^ Each Class E Share Class 2.00% Class A US$ Accumulating 1.50% Each Class F Share Class 1.00% Each Premier Share Class 0.75% Legg Mason Royce European Smaller Companies Each LM Share Class None Fund^ Class A (G) US$ Accumulating 1.25% Each Class A Share Class 1.50% Class B (G) US$ Accumulating 1.75% Each Class B Share Class 2.00% Class L (G) US$ Accumulating 1.75% Each Class C Share Class 2.00% Class GA US$ Accumulating 1.42% Each Premier Share Class 1.00% Class GA Euro Accumulating 1.42% Each LM Share Class None Class GA Euro Distributing (A) 1.42% Legg Mason Royce Global Smaller Companies Fund Class GE US$ Accumulating 2.17% Each Class A Share Class 1.50% Class GE Euro Accumulating 2.17% Each Class B Share Class 2.00% Class GP US$ Accumulating 0.75% Each Class C Share Class 2.00% Legg Mason ClearBridge US Large Cap Growth Fund Each Class E Share Class 2.25% Each Class A Share Class 1.25% Each Class F Share Class 1.25% Each Class B Share Class 1.75% Each Premier Share Class 1.00% Each Class C Share Class 1.75% Each LM Share Class None Each Class E Share Class 2.00% Legg Mason PCM US Equity Fund (ceased trading on Each Class F Share Class 1.00% August 24, 2010) Each Premier Share Class 0.75% Each Class A Share Class 1.50% Each LM Share Class None Each Class B Share Class 2.00% Class A (G) US$ Accumulating 1.25% Each Class C Share Class 2.00% Class B (G) US$ Accumulating 1.75% Each Class E Share Class 2.25% Class L (G) US$ Accumulating 1.75% Each Class F Share Class 1.25% Class GA US$ Accumulating 1.42% Each Premier Share Class 1.00% Class GA Euro Accumulating 1.42% Each LM Share Class None Class GA Euro Distributing (A) 1.42% Class GE US$ Distributing (A) 2.17% Legg Mason Permal Global Absolute Fund Class GE Euro Accumulating 2.17% Each Class A Share Class 1.25% Each Class B Share Class 1.75% Each Class C Share Class 1.75% Each Class E Share Class 2.00% Each Class F Share Class 1.00% Each Premier Share Class 0.75% Each LM Share Class None

^ Not authorised in Hong Kong and not available to Hong Kong residents.

359 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Notes to Financial Statements – (continued)

3. Operating Expenses and Other Related Party Transactions – (continued) Maximum Investment Maximum Investment Fund Name Management Fee Fund Name Management Fee Legg Mason GC Global Equity Fund Legg Mason Batterymarch Gloabl Equity Fund Each Class A Share Class 1.35% Each Class A Share Class 1.40% Each Class B Share Class 1.85% Each Class B Share Class 1.90% Each Class C Share Class 1.85% Each Class C Share Class 1.90% Each Class E Share Class 2.10% Each Class E Share Class 2.15% Each Class F Share Class 1.10% Each Class F Share Class 1.00% Each Premier Share Class 0.85% Each Premier Share Class 0.90% Each LM Share Class None Each LM Share Class None Class GA US$ Accumulating 1.42% Legg Mason Batterymarch European Equity Fund Class GA Euro Accumulating 1.42% Each Class A Share Class 1.35% Class GA Euro Distributing (A) 1.42% Each Class B Share Class 1.85% Class GE US$ Accumulating 2.17% Each Class C Share Class 1.85% Class GE Euro Accumulating 2.17% Each Class E Share Class 2.10% Each Class F Share Class 1.10% Legg Mason Congruix Asia Pacific Fund^ (ceased Each Premier Share Class 0.85% trading February 28, 2011) Each LM Share Class None Each Class A Share Class 1.50% Class A (G) US$ Accumulating 1.35% Each Class B Share Class 2.00% Class B (G) US$ Accumulating 1.85% Each Class C Share Class 2.00% Class L (G) US$ Accumulating 1.85% Each Premier Share Class 1.00% Class GP US$ Accumulating 0.85% Each LM Share Class None Class GA Euro Accumulating 1.42% Class GA Euro Distributing (A) 1.42% Legg Mason Congruix Japan Equity Fund (ceased Class GA US$ Accumulating 1.42% trading November 30, 2010) Class GE US$ Accumulating 2.17% Each Class A Share Class 1.20% Class GE US$ Distributing (A) 2.17% Each Class B Share Class 1.70% Each Class C Share Class 1.70% Legg Mason Batterymarch Asia Pacific Equity Fund Each Class E Share Class 1.95% Each Class A Share Class 1.50% Each Class F Share Class 0.95% Each Class B Share Class 2.00% Each Premier Share Class 0.70% Each Class C Share Class 2.00% Each LM Share Class None Each Class E Share Class 2.25% Class GA US$ Accumulating 1.42% Each Class F Share Class 1.25% Class GA Euro Accumulating 1.42% Each Premier Share Class 1.00% Class GA Euro Distributing (A) 1.42% Each LM Share Class None Class GA JPY Accumulating 1.42% Class GA US$ Accumulating 1.62% Class GE Euro Accumulating 2.17% Class GA Euro Accumulating 1.62% Class GE JPY Accumulating 2.17% Class GA Euro Distributing (A) 1.62% Class GE US$ Accumulating 2.37% Legg Mason LMHK China Fund Class GE Euro Accumulating 2.37% Each Class A Share Class 1.25% Class GP US$ Accumulating 0.50% Each Class B Share Class 1.75% Each Class C Share Class 1.75% Legg Mason Batterymarch 130/30 Global Equity Each Class E Share Class 2.00% Fund^ (ceased trading January 20, 2010) Each Class F Share Class 1.00% Each Class A Share Class 1.75% Each Premier Share Class 0.75% Each Class B Share Class 2.25% Each LM Share Class None Each Class C Share Class 2.25% Each Class E Share Class 2.50% Legg Mason Esemplia Emerging Markets Select Each Class F Share Class 1.15% Equity Fund Each Premier Share Class 0.90% Each Class A Share Class 1.45% Each LM Share Class None Each Class B Share Class 1.95% Each Class C Share Class 1.95% Legg Mason Batterymarch International Large Cap Each Class E Share Class 2.20% Fund Each Class F Share Class 1.20% Each Class A Share Class 1.40% Each Premier Share Class 0.95% Each Class B Share Class 1.90% Each LM Share Class None Each Class C Share Class 1.90% Class GA US$ Accumulating 1.93% Each Class E Share Class 2.15% Class GA Euro Accumulating 1.93% Each Class F Share Class 1.15% Class GA Euro Distrbuting (A) 1.93% Each Premier Share Class 0.90% Class GE US$ Accumulating 2.68% Each LM Share Class None Class GE Euro Accumulating 2.68% Class A (G) US$ Accumulating 1.40% Class GE Euro Distrbuting (A) 2.68% Class B (G) US$ Accumulating 1.90% Class L (G) US$ Accumulating 1.90% In the tables above, the investment management fee provided for each Fund apply to any of the share classes listed in the relevant column that are offered by the Fund. Not all share Legg Mason Batterymarch Emerging Markets Equity Fund classes are offered by each Fund and not all share classes were active as at August 31, 2011. Each Class A Share Class 1.45% The Prospectus, as it may be amended or supplemented from time to time, indicates which Each Class B Share Class 1.95% share classes are offered by each Fund. Each Class C Share Class 1.95% Each Class E Share Class 2.20% Each Class F Share Class 1.20% Each Premier Share Class 0.95% Each LM Share Class None

^ Not authorised in Hong Kong and not available to Hong Kong residents.

360 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Notes to Financial Statements – (continued)

3. Operating Expenses and Other Related Party Transactions – (continued) The Investment Manager of certain Funds has voluntarily agreed to waive a portion of its fees and/or reimburse each respective Fund for certain expenses so that the total expenses would not exceed certain voluntary expense limitations established for each respective Fund. The Investment Manager, at its discretion, may revise or discontinue the voluntary waivers and/or expense reimbursements at any time. For the period ended August 31, 2011, the Investment Manager fees waived were as follows: Investment Management Fee Waived August 31, 2011 Fund Name (000’s) Legg Mason Western Asset US Money Market Fund $9,948 Legg Mason Western Asset Euro Core Plus Bond Fund E12 Legg Mason Western Asset Global Multi Strategy Fund $1 Legg Mason Western Asset US High Yield Fund $1 Legg Mason Western Asset Inflation Management Fund $12 Legg Mason Brandywine Global Opportunistic Fixed Income Fund^ $4 Legg Mason GC Global Equity Fund $6 Legg Mason Batterymarch Emerging Markets Equity Fund $1 Each Investment Manager shall be responsible for paying the fees and out-of-pocket expenses of the Sub-Investment Managers out of its own investment management fee. For the Funds for which Legg Mason Investments (Europe) Limited serves as Investment Manager, it has entered into separate distribution agreements with Legg Mason Investor Services, LLC, Legg Mason Asset Management Hong Kong Limited, Legg Mason Asset Management Singapore Pte. Limited and Legg Mason Investments (Taiwan) Limited under which Legg Mason Investments (Europe) Limited has delegated to these distributors certain responsibilities associated with marketing and distributing each of the Funds for which it serves as Investment Manager. The distribution agreement with Legg Mason Investments (Taiwan) Limited is a tri-party agreement to which Legg Mason Capital Management, LLC is also party. In accordance with Taiwanese law, this agreement is entitled a ‘‘Master Agent Agreement’’, pursuant to which Legg Mason Investments (Taiwan) Limited acts as the master agent of the Funds in Taiwan. The delegated functions in the distribution and master agent agreements do not include the Investment Managers’ provision of investment management services to the Funds, but are limited to marketing and distribution services provided to the Funds and the Company. Under the aforementioned agreements, each Investment Manager shall pay to each distributor a portion of its investment management fee as set out in such distribution agreements. The Company shall also be responsible for the prompt payment or reimbursement to the Investment Manager of any commissions, transfer fees, registration fees, taxes and similar liabilities, costs and out-of-pocket expenses properly payable or incurred by the Investment Manager. In addition to the inter-company investments outlined in Note 12, as at August 31, 2011, Legg Mason US Core Plus Bond Fund, Legg Mason Western Asset Euro Core Plus Bond Fund, Legg Mason Western Asset Global Multi Strategy Fund, Legg Mason US High Yield Fund, Legg Mason Western Asset Asian Opportunities Fund, Legg Mason Global Credit Absolute Return Fund^, Legg Mason Western Asset UK£ Core Plus Bond Fund^, Legg Mason Western Asset UK£ Inflation-Linked Plus Fund^, Legg Mason Western Asset Global Core Plus Bond Fund^, Legg Mason Western Asset Global Inflation-Linked Fund, Legg Mason Western Asset UK£ Long Duration Fund^, Legg Mason Western Asset Global Credit Fund and Legg Mason Royce European Smaller Companies Fund^ held investments in collective investment schemes which have appointed the same Investment Manager, or sub-investment manager or another related party entity to provide investment management services as the Fund’s Investment Manager or sub-investment manager or may have a common director or directors with the Company. John Alldis and Joseph LaRocque are directors of the Company. John Alldis and Joseph LaRocque are directors and executives of affiliates to the Investment Manager and sub-investment manager(s) due to their common parent (Legg Mason, Inc.).

^ Not authorised in Hong Kong and not available to Hong Kong residents.

361 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Notes to Financial Statements – (continued)

3. Operating Expenses and Other Related Party Transactions – (continued) Below is a table that shows the percentage ownership of the underlying collective investment scheme of related party entities held by the Company at August 31, 2011: August 31, 2011 Fair Value Fund Underlying Collective Investment Scheme % (in 000’s) Western Asset Liquidity Funds Plc – Western Asset Euro Legg Mason Western Asset US Core Plus Bond Fund Liquidity Fund, Class WA 0.04% $488 Western Asset Liquidity Funds Plc – Western Asset Sterling Legg Mason Western Asset US Core Plus Bond Fund Liquidity Fund, Class WA 0.01% $22 Western Asset Liquidity Funds Plc – Western Asset Euro Legg Mason Western Asset Euro Core Plus Bond Fund Liquidity Fund, Class WA 0.06% E520 Western Asset Liquidity Funds Plc – Western Asset Sterling Legg Mason Western Asset Euro Core Plus Bond Fund Liquidity Fund, Class WA 0.01% E15 Legg Mason Western Asset Global Multi Strategy Fund Legg Mason Western Asset China Bond Fund, Class M 17.93% $7,252 Western Asset Liquidity Funds Plc – Western Asset Euro Legg Mason Western Asset US High Yield Fund Liquidity Fund, Class WA 0.00% $58 Western Asset Liquidity Funds Plc – Western Asset Sterling Legg Mason Western Asset US High Yield Fund Liquidity Fund, Class WA 0.01% $33 Western Asset Liquidity Funds Plc – Western Asset USD Legg Mason Western Asset Asia Opportunities Fund Liquidity Fund, Class WA 0.66% $23,622 Legg Mason Western Asset Asia Opportunities Fund Legg Mason Asian Bond Trust 16.44% $5,525 Legg Mason Western Asset Asia Opportunities Fund Legg Mason Western Asset China Bond Fund, Class M 24.87% $10,060 Western Asset Liquidity Funds Plc – Western Asset Euro Legg Mason Western Asset Global Credit Absolute Return Fund^ Liquidity Fund, Class WA 0.01% $152 Western Asset Liquidity Funds Plc – Western Asset Sterling Legg Mason Western Asset Global Credit Absolute Return Fund^ Liquidity Fund, Class WA 0.02% $76 Western Asset Liquidity Funds Plc – Western Asset Euro Legg Mason Western Asset UK£ Core Plus Bond Fund^ Liquidity Fund, Class WA 0.04% £299 Western Asset Liquidity Funds Plc – Western Asset Sterling Legg Mason Western Asset UK£ Core Plus Bond Fund^ Liquidity Fund, Class WA 2.73% £6,307 Western Asset Liquidity Funds Plc – Western Asset Euro Legg Mason Western Asset UK£ Inflation-Linked Plus Fund^ Liquidity Fund, Class WA 0.01% £55 Western Asset Liquidity Funds Plc – Western Asset Sterling Legg Mason Western Asset UK£ Inflation-Linked Plus Fund^ Liquidity Fund, Class WA 0.42% £960 Western Asset Liquidity Funds Plc – Western Asset Euro Legg Mason Western Asset Global Core Plus Bond Fund^ Liquidity Fund, Class WA 0.12% $1,532 Western Asset Liquidity Funds Plc – Western Asset Sterling Legg Mason Western Asset Global Core Plus Bond Fund^ Liquidity Fund, Class WA 0.02% $71 Western Asset Liquidity Funds Plc – Western Asset Euro Legg Mason Western Asset Global Inflation-Linked Fund Liquidity Fund, Class WA 0.01% $70 Western Asset Liquidity Funds Plc – Western Asset Sterling Legg Mason Western Asset Global Inflation-Linked Fund Liquidity Fund, Class WA 0.02% $81 Western Asset Liquidity Funds Plc – Western Asset Euro Legg Mason Western Asset UK£ Long Duration Fund^ Liquidity Fund, Class WA 0.04% £275 Western Asset Liquidity Funds Plc – Western Asset Sterling Legg Mason Western Asset UK£ Long Duration Fund^ Liquidity Fund, Class WA 3.05% £7,053 Western Asset Liquidity Funds Plc – Western Asset Euro Legg Mason Western Asset Global Credit Fund Liquidity Fund, Class WA 0.10% $1,241 Western Asset Liquidity Funds Plc – Western Asset Sterling Legg Mason Western Asset Global Credit Fund Liquidity Fund, Class WA 0.05% $206 Western Asset Liquidity Funds Plc – Western Asset Euro Legg Mason Royce European Smaller Companies Fund^ Liquidity Fund, Class WA 0.01% E95 Performance Fee In addition to the investment management fees described above, the Investment Manager may be entitled to receive a fee (a ‘‘Performance Fee’’) depending on the performance of the PF Class Shares of the Legg Mason Western Asset Global Credit Absolute Return Fund^. For each PF Share Class, the Performance Fee is calculated and charged on a share-by-share basis so that each share is charged a Performance Fee depending on that particular share’s performance. This method of calculation ensures that: (i) any Performance Fee paid to the Investment Manager is charged only to those shares which outperformed the Adjusted High Water Mark (as defined below); (ii) all shareholders within the same PF Share Class have the same amount of capital per share at risk in the Fund; and (iii) all shares of the same PF Share Class have the same net asset value per share. For each PF Share Class, the Performance Fee will normally be calculated in respect of each period of twelve months ending on the last dealing day in each fiscal year (a ‘‘Calculation Period’’). For each PF Share Class, the first Calculation Period will be the period commencing on the business day immediately following the dealing day on which the net asset value is first calculated for the share class (the ‘‘First dealing day’’) and ending on the last dealing day of the fiscal year in which the first dealing day occurs (the ‘‘First Calculation Period’’). For each Calculation Period for each PF Class Share, the Investment Manager shall be entitled to a Performance Fee equal to 20 per cent of the amount, if any, by which the performance of the net asset value per share during that period exceeds the High Water Mark (as defined below) as at the end of the previous Calculation Period, as increased by the Hurdle, which is an annualised 800 basis points (the ‘‘Hurdle’’). The ‘‘High Water Mark’’ with respect to each PF Share Class of the Legg Mason Western Asset Global Credit Absolute Return Fund^ is the greater of: (i) the initial offer price per Share; and (ii) the highest net asset value per share in effect immediately after the end of any previous Calculation Period.

^ Not authorised in Hong Kong and not available to Hong Kong residents.

362 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Notes to Financial Statements – (continued)

3. Operating Expenses and Other Related Party Transactions – (continued) If a shareholder subscribes for a PF Class Share at a time when the net asset value per share of the relevant PF Share Class is other than the High Water Mark as increased by the Hurdle for the applicable dealing day (the ‘‘Adjusted High Water Mark’’) for that PF Share Class, the following adjustments will be made to reduce inequities that could otherwise result to the shareholder or to the Investment Manager and to apply the Performance Fee fairly across all shareholders in that PF Share Class, regardless of when they enter or exit the Fund. Adjustments arising from equalisation For each PF Share Class, if shares are subscribed for at a time when the Net Asset Value per Share of that PF Share Class is less than the Adjusted High Water Mark of that PF Share Class, the difference between the net asset value per share at the date of subscription (the ‘‘Subscription Net Asset Value’’) for the PF Share Class and the Adjusted High Water Mark for such PF Share Class shall be accounted for as an equalisation deficit (‘‘Equalisation Deficit’’). In these circumstances, the shareholder will be required to pay a Performance Fee with respect to any subsequent relative appreciation in the net asset per share of those shares above the Subscription Net Asset Value as increased by the Hurdle for the relevant Calculation Period that reduces such Equalisation Deficit, as well as any relative appreciation of the net asset per share of those shares above the Adjusted High Water Mark. With respect to any relative appreciation in the value of those shares that reduces the Equalisation Deficit, the Performance Fee will be charged at the end of the relevant Calculation Period(s) by redeeming a sufficient number of the shareholder’s shares of the relevant PF Share Class as have an aggregate net asset value (after accrual for any Performance Fee) equal to 20 per cent of the Equalisation Deficit extinguished (a ‘‘performance fee redemption’’). The Fund shall pay the Investment Manager, as a Performance Fee, the aggregate net asset value of the PF Class Shares so redeemed. For each PF Share Class, if shares are subscribed for at a time when the net asset value per share of that PF Share Class is greater than the Adjusted High Water Mark of that PF Share Class, the shareholder will be required to pay an amount in excess of the Subscription Net Asset Value per share of that PF Share Class (‘‘Equalisation Credit’’). The Equalisation Credit is payable to account for the fact that the Subscription Net Asset Value per share of that PF Share Class has been reduced to reflect an accrued Performance Fee to be borne by existing shareholders of the same PF Share Class as at the date of subscription and serves as a credit against Performance Fees that might otherwise be payable by the PF Share Class but that should not be charged to the shareholder making the subscription because they have not benefited from favourable performance in relation to such shares. The Equalisation Credit is equal to 20 per cent of the difference between the Subscription Net Asset Value per share of the PF Share Class before accrual for the Performance Fee and the Adjusted High Water Mark of that PF Share Class, which is equivalent to the Performance Fee per share accrued with respect to the other shares of that PF Share Class. The maximum Equalisation Credit for each Shareholder on any dealing day is the Equalisation Credit payable on the date of subscription, as increased by the Hurdle (as applied since the date of subscription) as of that dealing day (the ‘‘Maximum Equalisation Credit’’). The additional amount invested as the Equalisation Credit will be at risk in the Fund and will therefore appreciate or depreciate based on the performance of the PF Share Class subsequent to the issue of the relevant PF Class Shares but will never exceed the Maximum Equalisation Credit. Shareholder Services Fee Under the shareholder servicing agreements between Legg Mason Investor Services, LLC, Legg Mason Investments (Europe) Limited, Legg Mason Asset Management Hong Kong Limited, Legg Mason Asset Management (Singapore) Pte. Limited and Legg Mason Investments (Taiwan) Limited (each a ‘‘Shareholder Servicing Agent’’) and the Company, each Shareholder Servicing Agent shall be entitled to receive a shareholder services fee from certain of the share classes for their services as Shareholder Servicing Agent. The aggregate amount of shareholder services fees paid by the Company shall be equal to the following: (i) 0.15 per cent, per annum of the net asset value of Legg Mason Western Asset US Core Bond Fund, Legg Mason Western Asset US Core Plus Bond Fund, Legg Mason Western Asset Euro Core Plus Bond Fund, Legg Mason Western Asset Diversified Strategic Income Fund, Legg Mason Western Asset Global Multi Strategy Fund, Legg Mason Western Asset US High Yield Fund, Legg Mason Western Asset Emerging Markets Bond Fund, Legg Mason Western Asset Global High Yield Fund, Legg Mason Western Asset US Short- Term Government Fund, Legg Mason Western Asset US Adjustable Rate Fund, Legg Mason Western Asset Inflation Management Fund, Western Asset Asian Opportunities Fund, Legg Mason Western Asset Global Blue Chip Bond Fund, Legg Mason Western Asset Brazil Bond Fund^, Legg Mason Western Asset Global Credit Absolute Return Fund^, Legg Mason Western Asset UK£ Core Plus Bond^, Legg Mason Western Asset Global Core Plus Bond Fund^, Legg Mason Western Asset Global Inflation-Linked Fund, Legg Mason Western Asset UK£ Inflation-Linked Plus Fund^, Legg Mason Western Asset UK£ Long Duration Fund^, Legg Mason Western Asset Global Credit Fund, Legg Mason Western Asset Euro High Yield Fund^, Legg Mason Brandywine Global Fixed Income Fund and Legg Mason Brandywine Global Opportunistic Fixed Income Fund^, and (ii) 0.35 per cent, per annum, of the net asset value of Legg Mason Western Asset Brazil Equity Fund^, Legg Mason Capital Management Value Fund, Legg Mason Capital Management Growth Fund, Legg Mason Capital Management Opportunity Fund, Legg Mason ClearBridge US Appreciation Fund, Legg Mason ClearBridge US Fundamental Value Fund, Legg Mason ClearBridge US Large Cap Growth Fund, Legg Mason ClearBridge US Aggressive Growth Fund, Legg Mason Royce US Small Cap Opportunity Fund, Legg Mason Royce Smaller Companies Fund, Legg Mason Royce Smaller Companies Fund II^, Legg Mason Royce European Smaller Companies Fund^, Legg Mason Royce Global Smaller Companies Fund^, Legg Mason Permal Global Absolute Fund, Legg Mason GC Global Equity Fund, Legg Mason Batterymarch European Equity Fund, Legg Mason Batterymarch Asia Pacific Equity Fund, Legg Mason Batterymarch International Large Cap Fund, Legg Mason Batterymarch Emerging Markets Equity Fund, Legg Mason Batterymarch Global Equity Fund, Legg Mason Congruix Asia Pacific Fund^, Legg Mason Congruix Japan Equity Fund, Legg Mason LMHK China Fund and Legg Mason Esemplia Emerging Markets Select Equity Fund. Shareholder service fees are payable on all classes except Class F Share Classes, LM Share Classes, Premier Share Classes, Grandfathered Share Classes, Class GA Share Classes, Class GE Share Classes, Class GF Share Classes, Glass GP Share Classes and Galleon Share Classes (each as defined in the Prospectus), and all share classes offered by Legg Mason Western Asset US Money Market Fund.

^ Not authorised in Hong Kong and not available to Hong Kong residents.

363 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Notes to Financial Statements – (continued)

3. Operating Expenses and Other Related Party Transactions – (continued) During the period ended August 31, 2011 the shareholder services fees waived were as follows: Shareholder Services Fee Waived August 31, 2011 Fund Name (000’s) Legg Mason Western Asset US Core Bond Fund $1 Legg Mason Western Asset US Core Plus Bond Fund $1 Legg Mason Western Asset Emerging Markets Bond Fund $8 Legg Mason Western Asset Global High Yield Fund $7 Legg Mason Western Asset US Short-Term Government Fund $10 Legg Mason Western Asset US Adjustable Rate Fund $6 Legg Mason Western Asset Inflation Management Fund $8 Legg Mason Brandywine Global Fixed Income Fund $1 Legg Mason Brandywine Global Opportunistic Fixed Income Fund^ $7 Legg Mason Capital Management Value Fund $1 Legg Mason ClearBridge US Appreciation Fund $7 Legg Mason ClearBridge US Fundamental Value Fund $4 Legg Mason ClearBridge US Large Cap Growth Fund $5 Legg Mason ClearBridge US Aggressive Growth Fund $5 Legg Mason Royce US Small Cap Opportunity Fund $5 Legg Mason Royce Smaller Companies Fund $1 Legg Mason Royce Global Smaller Companies Fund $3 Legg Mason GC Global Equity Fund $3 Legg Mason Batterymarch European Equity Fund E1 Legg Mason Batterymarch Asia Pacific Equity Fund $10 Legg Mason Batterymarch International Large Cap Fund $2 Legg Mason Batterymarch Emerging Markets Equity Fund $19 The shareholder services fees shall be payable monthly in arrears and shall accrue on each Dealing Day. Administrator and Custodian Fees BNY Mellon Trust Company (Ireland) Limited (which replaced BNY Mellon International Bank Limited with effect from June 30, 2011) acts as custodian and BNY Mellon Investment Servicing (International) Limited acts as administrator to all Funds in the Company. Effective April 23, 2007 for administration, accounting, shareholder, trustee and custodial services, they collectively receive from the Funds a monthly unitary fee of up to an annual rate of 0.10% of the aggregate average daily net asset value of the Company. Any waivers in place can be revoked at any time. Directors’ Remuneration Directors’ fees accrued over the period ended August 31, 2011 were $68,000. 4. Distributions to Holders of Redeemable Participating Shares Distributing Share Classes The letter in parentheses at the end of the name of each Distributing Share Class indicates a particular frequency of dividend declarations and dividend payments, as detailed in the following table.

Distributing Share Class Designation Frequency of Dividend Declarations Frequency of Dividend Payments (D) Daily Monthly (M) Monthly Monthly (Q) Quarterly Quarterly (March, June, September, December) (S) Semi-Annually Semi-Annually (March, September) (A) Annually Annually (March) For each Distributing Share Class of each Fixed Income Fund (comprising Legg Mason Western Asset US Money Market Fund, Legg Mason Western Asset US Core Bond Fund, Legg Mason Western Asset US Core Plus Bond Fund, Legg Mason Western Asset Euro Core Plus Bond Fund, Legg Mason Western Asset Diversified Strategic Income Fund, Legg Mason Western Asset Global Multi Strategy Fund, Legg Mason Western Asset US High Yield Fund, Legg Mason Western Asset Emerging Markets Bond Fund, Legg Mason Western Asset Global High Yield Fund, Legg Mason Western Asset US Short-Term Government Fund, Legg Mason Western Asset US Adjustable Rate Fund, Legg Mason Western Asset Inflation Management Fund, Legg Mason Western Asset Asian Opportunities Fund, Legg Mason Western Asset Global Blue Chip Bond Fund, Legg Mason Western Asset Brazil Bond Fund^, Legg Mason Western Asset Global Credit Absolute Return Fund^, Legg Mason Western Asset UK£ Core Plus Bond Fund^, Legg Mason Western Asset Global Core Plus Bond Fund^, Legg Mason Western Asset Global Inflation- Linked Fund, Legg Mason UK£ Inflation-Linked Plus Fund^, legg Mason Western Asset UK£ Long Duration Fund^, Legg Mason Western Asset Global Credit Fund, Legg Mason Western Asset Euro High Yield Fund^, Legg Mason Brandywine Global Fixed Income Fund and Legg Mason Brandywine Global Opportunistic Fixed Income Fund^), at the time of each dividend declaration: (1) net investment income, if any, will be declared as a dividend; and (2) all, or some portion, of realised and unrealised capital gains net of realised and unrealised capital losses may be, but is not required to be, declared as a dividend. For each Distributing Share Class of each Equity Fund (comprising of Legg Mason Western Asset Brazil Equity Fund^, Legg Mason Capital Management Value Fund, Legg Mason Capital Management Growth Fund, Legg Mason Capital Management Opportunity Fund, Legg Mason ClearBridge US Appreciation Fund, Legg Mason ClearBridge US Fundamental Value Fund, Legg Mason ClearBridge US Large Cap Growth Fund, Legg Mason ClearBridge US Aggressive Growth Fund, Legg Mason Royce US Small Cap Opportunity Fund, Legg Mason Royce Smaller Companies Fund, Legg Mason Royce Smaller Companies Fund II^, Legg Mason Royce European Smaller Companies Fund^, Legg Mason Royce Global Smaller Companies Fund^, Legg Mason Permal Global Absolute Fund, Legg Mason GC Global Equity Fund, Legg Mason Batterymarch European Equity Fund, Legg Mason Batterymarch Asia Pacific Equity Fund, Legg Mason Batterymarch International Large Cap Fund, Legg Mason Batterymarch Emerging Markets Equity Fund, Legg Mason Batterymarch Global Equity Fund, Legg Mason LMHK China Fund and Legg Mason Esemplia Emerging Markets Select Equity Fund), at the time of each dividend declaration: net investment income, if any, will be declared as a dividend. For each shareholder of each Distributing Share Class, distributions will be made in the currency in which the shareholder subscribed for shares, unless the shareholder requests otherwise. Payments will be made by wire transfer to a shareholder’s account. Shareholders may elect on the application form whether or not to invest such distributions in additional shares.

^ Not authorised in Hong Kong and not available to Hong Kong residents.

364 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Notes to Financial Statements – (continued)

4. Distributions to Holders of Redeemable Participating Shares – (continued) Accumulating Share Classes With respect to Accumulating Share Classes, it is intended that, in the normal course of business, distributions will not be declared and that any net investment income attributable to each Accumulating Share Class will be accumulated daily in the respective net asset value per share of each respective share class. 5. Share Capital and Redeemable Participating Shares Share Capital The Company was incorporated with an initial share capital of Euro 39,000 represented by 39,000 subscriber shares of no par value. All but seven of the subscriber shares have been repurchased by the Company. Shareholders of these seven subscriber shares are entitled to attend and vote at all of the meetings of the Company, but are not entitled to participate in the dividends or net assets of any Fund or of the Company. Redeemable Participating Shares The share capital of the Company shall at all times equal the net asset value. The Directors are empowered to issue up to five hundred billion shares of no par value in the Company at the net asset value per share on such terms as they may see fit. There are no rights of pre-emption upon the issue of shares in the Company. Each of the shares entitles the shareholder to participate equally on a pro rata basis in the dividends, where applicable, and net assets of the Fund in respect of which they are issued, save in the case of dividends declared prior to becoming a shareholder. The proceeds from the issue of shares shall be applied in the books of the Company to the relevant Fund and shall be used in the acquisition on behalf of the relevant Fund of assets in which the Fund may invest. The records and accounts of each Fund shall be maintained separately. Each Fund has different shares classes offered as indicated in the Company’s Prospectus. These different classes of shares differ principally in terms of their sales charges, fees, rates of expenses, distribution policy, and currency denomination. Investors are thus able to choose a share class that best suits their investment needs, considering the amount of investment and anticipated holding period. Each share class is designated as a ‘‘Distributing Share Class’’ or an ‘‘Accumulating Share Class’’. Accumulating Share Classes do not distribute net income, net realised or net unrealised capital gains whereas Distributing Share Classes will distribute at certain intervals, which will vary depending on the letter in parentheses at the end of the name of the Distributing Share Class, as explained under Distributions to Holders of Redeemable Participating Shares at Note 4, above. In addition, the Company has Subscriber Shares outstanding. The Subscriber Shares do not entitle the holders to participate in the assets of any Fund. Each Fund may offer share classes designated in currencies other than the base currency of the Fund. For each such share class, unless indicated by ‘‘(Hedged)’’ in the name of the share class, the Investment Manager or Sub-Investment Manager will not employ any techniques to hedge the share class’s exposure to changes in exchange rates between the base currency of the Fund and the currency of the share class. Each of the Funds offers LM Share Classes, and certain of the Funds offer Grandfathered Share Classes. LM Share Classes are available only at the discretion of the relevant Distributor. The Grandfathered Share Classes are available only to unitholders of the funds which are managed by affiliates of the Investment Mangers (‘‘Affiliated Funds’’) except for the Grandfathered Share Classes of the Legg Mason GC Global Equity Fund, which are available only at the discretion of the relevant Distributor. Following the initial subscription for shares of the Grandfathered Share Classes by unitholders of the Affiliated Funds (or, in the case of the Legg Mason GC Global Equity Fund, by investors permitted in the Fund at the discretion of the relevant Distributor), the Grandfathered Share Classes will be closed to any subsequent subscriptions, both by existing Shareholders in the share class and by new investors, except that shares may continue to be acquired through (1) dividend reinvestments; (2) automatic conversions from a Class B (G) Share Class of a Fund to a Class A (G) Share Class of the same Fund; and (3) exchanges of shares of the equivalent Grandfathered Share Class of another Fund. Legg Mason Western Asset Global Credit Absolute Return Fund^ offers PF Share Classes which are subject to a performance fee payable to the Investment Manager. Galleon Class Shares of Legg Mason Capital Management Value Fund, which differ from the other share classes in terms of minimum subscription level, sales charges and/or rates of expenses, are no longer being offered for subscription. 6. Taxation The Company will not generally be liable to tax in respect of its income and gains, other than on the occurrence of a chargeable event. Generally a chargeable event arises on any distribution, redemption, repurchase, cancellation, transfer of shares or on the ending of a ’Relevant Period’, a ’Relevant Period’ being an eight year period beginning with the acquisition of the shares by the Shareholders and each subsequent period of eight years beginning immediately after the preceding Relevant Period. In the absence of an appropriate declaration, the Fund will be liable to Irish tax on the occurrence of a chargeable event. There were no chargeable events during the period under review. Capital gains, dividends and interest received may be subject to withholding taxes imposed by the country of origin and such taxes may not be recoverable by the Fund or its shareholders. 7. Cash and Cash Equivalents The cash balances of any Fund are held with BNY Mellon Trust Company (Ireland) Limited (the ‘‘Custodian’’) and any sub-custodians. Cash collateral are amounts held as collateral for derivative trading with brokers. 8. Commitments and Contingent Liabilities There were no significant commitments or contingent liabilities at the balance sheet date. 9. Soft Commission Arrangements During the periodended August 31, 2011, Batterymarch Financial Management, Inc. (‘‘Batterymarch’’), Brandywine Global Investment Management, LLC (‘‘Brandywine’’), Global Currents Investment Management, LLC (‘‘Global Currents’’), Legg Mason Asset Management Singapore Pte. Limited (‘‘LMIES’’) ClearBridge Advisors, LLC (‘‘ClearBridge‘‘) and Royce & Associates, LLC (‘‘Royce‘‘) entered into soft commission arrangements with brokers in respect of which certain goods and services used to support the investment decision process were received. Batterymarch, Brandywine, Global Currents, LMCM, LMIES, ClearBridge, Royce and their respective connected persons do not make direct payments for these services but do transact business with the brokers on behalf of the Funds for which Batterymarch Brandywine, Global Currents, LMIES, ClearBridge and Royce acts as Investment Manager or Sub-Investment Manager, and commissions are paid on these transactions. These services assist Batterymarch, Brandywine, Global Currents, LMCM, LMIES, ClearBridge and Royce in carrying out their investment decision-making responsibilities in respect of the relevant Funds. Western Asset Management Company, Western Asset Management Company Pte, Limited and Western Asset Management Company Limited (‘‘Western Asset’’), Legg Mason Asset Management Hong Kong Limited, Private Capital Management, L.P. (‘‘PCM’’), Legg Mason Capital Management, LLC (‘‘LMCM‘‘), Legg Mason International Equities Limited, and Permal Investment Management Services Company did not participate in any soft commission arrangements during the periodfor the Funds to which Western Asset, Legg Mason Asset Management Hong Kong Limited, PCM, LMCM, Legg Mason International Equities Limited and Permal Investment Management Services Company act as Investment Manager or Sub- Investment Manager.

^ Not authorised in Hong Kong and not available to Hong Kong residents.

365 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Notes to Financial Statements – (continued)

10. Exchange Rates The following exchange rates were used in these financial statements to obtain the equivalent U.S. Dollar, Euro, Sterling and Japanese Yen amounts for the respective Funds with U.S. Dollar, Euro, Sterling and Japanese Yen based currencies, respectively: Exchange rates as at Country August 31, 2011 USD Based Funds Australia 1.0689 Brazil 1.5919 Canada 0.9793 China 6.3782 Czech Republic 16.7926 Denmark 5.1860 Egypt 5.9533 Euro 0.6961 Hong Kong 7.7859 Hungary 189.0463 India 46.0500 Indonesia 8,533.0000 Japan 76.5700 Malaysia 2.9830 Mexico 12.3384 New Zealand 1.1738 Norway 5.3643 Pakistan 87.2500 Peru 2.7315 Philippines 42.2875 Poland 2.8784 Russia 28.8725 Singapore 1.2043 South Africa 6.9935 South Korea 1,066.8500 Sri Lanka 109.9000 Sweden 6.3415 Switzerland 0.8059 Taiwan 29.0095 Thailand 29.9700 Turkey 1.7148 United Kingdom 0.6160

EUR Based Funds Denmark 7.4497 Egypt 8.5518 Norway 7.7057 Poland 4.1625 South Africa 10.0461 Sweden 9.1095 Switzerland 1.1576 Turkey 2.4632 United Arab Emirates 5.2759 United Kingdom 0.8849 United States 1.4365

GBP Based Funds Australia 1.5186 Canada 1.5897 Euro 1.1300 Indonesia 13,851.5981 Japan 124.0988 Norway 8.7393 Poland 4.6724 Sweden 10.3285 Switzerland 1.3081 United States 1.6233 11. Securities Collateral Transactions resulting in large unrealised gains to a Fund may require a Fund to hold collateral received from a broker. In these instances, the credit risk to the Fund is reduced by the value of the collateral held. In the event a broker files for bankruptcy, in the U.S. (though regulations may vary by jurisdiction), collateral posted in connection with certain derivative financial instruments is exempt from the automatic stay implemented at the inception of a bankruptcy proceeding. This derivative financial instruments exemption would allow a Fund to immediately foreclose on collateral posted by the insolvent party in order to satisfy claims against such insolvent party. The value of underlying securities received as collateral in relation to derivative trading held by the following Funds as at August 31, 2011 was as follows:

As at August 31, 2011 Market Value of collateral Fund Broker 000’s Legg Mason Western Asset Asian Opportunities Fund JPMorgan Chase $907 Any securities placed as collateral are disclosed on the portfolios of investments. Cash and cash equivalents held at the Custodian and amounts held by brokers as collateral are disclosed in the Balance Sheet.

366 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Notes to Financial Statements – (continued)

11. Securities Collateral – (continued) If a Fund has posted collateral to a counterparty, in a counterparty insolvency, that Fund may have the right under trading agreements with the counterparty to recall such posted collateral. In practice, however, the Fund may seek to reduce any amounts owed to the counterparty to settle any open transactions by setting off the amounts owed against the posted collateral. If the Fund was due back any collateral after setting off against the amounts owed (e.g., the Fund’s position was over collateralised), it is likely the Fund would have an unsecured claim against the counterparty in the insolvency proceeding for the excess amount due to it. The following table represents the market value of the securities which have been placed as collateral with brokers as at August 31, 2011 in relation to derivative trading:

Market Value of As of August 31, 2011 collateral Fund Broker 000’s Legg Mason Western Asset US Core Bond Fund Goldman Sachs & Co. $75 Legg Mason Western Asset US Core Plus Bond Fund Barclays $551 Legg Mason Western Asset US High Yield Fund Goldman Sachs & Co. $30 Legg Mason Western Asset Emerging Markets Bond Fund Goldman Sachs & Co. $210 Legg Mason Western Asset Global High Yield Fund J.P. Morgan Futures, Inc. $60 Legg Mason Western Asset US Short-Term Government Fund Barclays $195 Legg Mason Western Asset Inflation Management Fund J.P. Morgan Futures, Inc. $12 Legg Mason Western Asset UK£ Core Plus Bond Fund^ Merrill Lynch £150 Legg Mason Western Asset Global Inflation-Linked Fund Merrill Lynch $148 Legg Mason Western Asset UK£ Inflation-Linked Plus Fund^ Merrill Lynch $16 Legg Mason Western Asset UK£ Long Duration Fund^ Merrill Lynch £502 Legg Mason Western Asset Global Credit Fund Merrill Lynch $250 12. Disclosure for Cross Investments by Sub-Funds within the Company Legg Mason Western Asset Euro Core Plus Bond Fund Legg Mason Western Asset Euro Core Plus Bond Fund disposed of its shares in Legg Mason Western Asset US High Yield Fund and Legg Mason Western Asset Euro High Yield Fund^ during the period. Transactions involving these shares and the related gains/ (losses) and distributions received during the period were:

Legg Mason Western Legg Mason Western Asset US High Yield Asset Euro High Yield Total Fund (in 000’s) Fund^ (in 000’s) (in 000’s) Redemption of shares E (317) E (1,071) E (1,388)

Net realised gain on financial assets and financial liabilities at fair value through profit or loss 5 28 33

Distributions received – 22 22

Cost ––– Fair value ––– Net unrealised gain on financial assets and financial liabilities at fair value through profit or loss E – E – E –

Legg Mason Western Asset Diversified Strategic Income Fund Legg Mason Western Asset Diversified Strategic Income Fund held 55,762 and 25,216 shares in Legg Mason Western Asset US High Yield Fund and Legg Mason Western Asset Euro High Yield Fund^ respectively at the period end. Transactions involving these shares and the related gains/(losses) and distributions received during the period were:

Legg Mason Western Legg Mason Western Asset US High Yield Asset Euro High Yield Total Fund (in 000’s) Fund^(in 000’s) (in 000’s) Issue of shares $208 $145 $353 Redemption of shares – – –

Net realised gain on financial assets and financial liabilities at fair value through profit or loss – – –

Distributions received 208 147 355

Cost 5,267 3,391 8,658 Fair value 4,927 3,317 8,244 Net unrealised loss on financial assets and financial liabilities at fair value through profit or loss $(340) $(74) $(414)

^ Not authorised in Hong Kong and not available to Hong Kong residents.

367 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Notes to Financial Statements – (continued)

12. Disclosure for Cross Investments by Sub-Funds within the Company – (continued) Legg Mason Western Asset Global Multi Strategy Fund Legg Mason Western Asset Global Multi Strategy Fund held 1,215,582 and 173,972 shares in Legg Mason Western Asset US High Yield Fund and Legg Mason Western Asset Euro High Yield Fund^ respectively at the period end. Transactions involving these shares and the related gains/(losses) and distributions received during the period were:

Legg Mason Western Legg Mason Western Asset US High Yield Asset Euro High Yield Total Fund (in 000’s) Fund^ (in 000’s) (in 000’s) Issue of shares $42,822 $1,028 $43,850 Redemption of shares – (1,521) (1,521)

Net realised gain on financial assets and financial liabilities at fair value through profit or loss – 206 206

Distributions received 3,779 1,041 4,820

Cost 115,004 23,400 138,404 Fair value 107,397 22,884 130,281 Net unrealised loss on financial assets and financial liabilities at fair value through profit or loss $(7,607) $(516) $(8,123)

Legg Mason Western Asset Global High Yield Fund Legg Mason Western Asset Global High Yield Fund held 252,452 shares in Legg Mason Western Asset Euro High Yield Fund^ at the period end. Transactions involving these shares and the related gains/(losses) and distributions received during the period were:

Legg Mason Western Asset Euro High Yield Total Fund^ (in 000’s) (in 000’s) Issue of shares $1,051 $1,051 Redemption of shares (6,922) (6,922)

Net realised gain/(loss) on financial assets and financial liabilities at fair value through profit or loss 296 296

Distributions received 1,051 1,051

Cost 25,261 25,261 Fair value 22,998 22,998 Net unrealised loss on financial assets and financial liabilities at fair value through profit or loss $(2,263) $(2,263)

Legg Mason Western Asset UK£ Core Plus Bond Fund^ Legg Mason Western Asset UK£ Core Plus Bond Fund^ held 14,116 and 2,319 shares in Legg Mason Western Asset US High Yield Fund and Legg Mason Western Asset Euro High Yield Fund^ respectively at the period end. Transactions involving these shares and the related gains/(losses) and distributions received during the period were:

Legg Mason Western Legg Mason Western Asset US High Yield Asset Euro High Yield Total Fund (in 000’s) Fund^ (in 000’s) (in 000’s) Issue of shares – £482 £482 Redemption of shares £(1,267) (717) (1,984)

Net realised gain on financial assets and financial liabilities at fair value through profit or loss 57 25 82

Distributions received – 9 9

Cost 896 219 1,115 Fair value 889 197 1,086 Net unrealised loss on financial assets and financial liabilities at fair value through profit or loss £ (7) £ (22) £ (29)

^ Not authorised in Hong Kong and not available to Hong Kong residents.

368 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Notes to Financial Statements – (continued)

12. Disclosure for Cross Investments by Sub-Funds within the Company – (continued) Legg Mason Western Asset Global Core Plus Bond Fund^ Legg Mason Western Asset Global Core Plus Bond Fund^ held 12,494 shares in Legg Mason Western Asset Euro High Yield Fund^ at the period end. Transactions involving these shares and the related gains/(losses) and distributions received during the period were:

Legg Mason Western Asset Euro High Yield Total Fund^ (in 000’s) (in 000’s) Issue of shares $72 $72 Redemption of shares ––

Net realised gain on financial assets and financial liabilities at fair value through profit or loss ––

Distributions received 73 73

Cost 1,680 1,680 Fair value 1,643 1,643 Net unrealised loss on financial assets and financial liabilities at fair value through profit or loss £ (37) £ (37)

Legg Mason Permal Global Absolute Fund Legg Mason Western Permal Global Absolute Fund purchased and disposed of shares in Legg Mason Western Asset US Money Market Fund during the period but held none at the period end. Transactions involving these shares and the related gains/(losses) and distributions received during the period were:

Legg Mason Western Asset US Money Market Total Fund (in 000’s) (in 000’s) Issue of shares 26,553 26,553 Redemption of shares (26,553) (26,553)

Net realised gain on financial assets and financial liabilities at fair value through profit or loss ––

Distributions received ––

Cost –– Fair value –– Net unrealised loss on financial assets and financial liabilities at fair value through profit or loss ––

13. Significant Events On May 13, 2011 Legg Mason Royce Smaller Companies Fund II^ launched. On June 10, 2011 Legg Mason ClearBridge US Appreciation Fund and Legg Mason Batterymarch Global Equity Fund received an in-specie transfer of assets in the amount $11,251,944 and $21,455,793 respectively, from sub-funds of Legg Mason Global Funds FCP (Luxembourg). Shareholders of Legg Mason Global Funds FCP (Luxembourg) received shares in Legg Mason ClearBridge US Appreciation Fund and Legg Mason Batterymarch Global Equity Fund based on the amount of assets transferred to Legg Mason ClearBridge US Appreciation Fund and Legg Mason Batterymarch Global Equity Fund that was attributable to the amount of their holding in Legg Mason Global Funds FCP (Luxembourg). Effective 30 June 2011, a novation agreement was effected with the result that BNY Mellon Trust Company (Ireland) Limited replaced BNY Mellon International Bank Limited as Custodian. On August 31, 2011, the Company held its annual general meeting. All matters put to the shareholders were approved, including the adoption of a revised memorandum and articles of association of the Company. 14. Segregated Liability The Company is an umbrella fund with segregated liability between its sub-funds. As such, as a matter of Irish law the assets of each of the Funds will not be exposed to the liabilities of the Company’s other Funds. Notwithstanding the foregoing there can be no assurance that, should an action be brought against the Company in the court of another jurisdiction, the segregated nature of the Funds would necessarily be upheld. 15. Amendments to Prospectus On April 1, 2011 an updated Incubator Prospectus was filed with the Central Bank of Ireland. The most significant amendments relate to:

. the creation of a new sub-fund, Legg Mason Brandywine Global Fixed Income Absolute Return Fund^;

. disclosure to reflect that Legg Mason Congruix Asia Pacific and Legg Mason Congruix Pacific Rim Fund^ have closed to new subscriptions and are in the process of being terminated; and

. the amendment to the investment policies for Legg Mason Brandywine Global Opportunistic Fixed Income Fund^. On April 29, 2011 an updated Incubator Prospectus was filed with the Central Bank of Ireland. The most significant amendments relate to:

. the creation of a new sub-fund, Legg Mason Royce Smaller Companies Fund II^; and

. the creation of new share classes in Legg Mason Brandywine Global Fixed Income Absolute Return Fund^.

^ Not authorised in Hong Kong and not available to Hong Kong residents.

369 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Notes to Financial Statements – (continued)

15. Amendments to Prospectus – (continued) On July 1, 2011 an updated main Prospectus was filed with the Central Bank of Ireland. The most significant amendments relate to:

. The Prospectus was updated throughout to reflect the implementation of the European Communities (Undertakings for Collective Investment in Transferable Securities) Regulations 2011 (the ‘‘UCITS Regulations’’);

. The list of sub-funds which are offered pursuant to the Prospectus was updated to remove the Legg Mason Asia Enterprise Equity Fund^, whose authorisation was revoked. The list of sub-funds which are offered pursuant to a separate prospectus was updated to include reference to the Legg Mason Brandywine Fixed Income Fund and Legg Mason Royce Smaller Companies Fund II^; and

. the change in Custodian as outlined in note 13. On August 4, 2011 an updated Incubator Prospectus was filed with the Central Bank of Ireland. The most significant amendments relate to:

. the creation of a new sub-fund, Legg Mason Western Asset Emerging Markets Corporate Bond Fund^; and

. Amendments were made to the hurdle applicable to the performance fee payable with respect to each PF Share Class of the Legg Mason Brandywine Global Fixed Income Absolute Return Fund^. 16. Subsequent Events Effective September 30, 2011 Legg Mason Esemplia Emerging Markets Select Equity Fund ceased trading and all redeemable participating shares were subsequently redeemed. There were no other material events subsequent to the balance sheet date which require disclosure in the financial statements. 17. Prior Period Comparatives The prior year comparatives for the Balance Sheet are as at February 28, 2011. The prior period comparatives for the Profit and Loss Account are for the year ended February 28, 2011 and period ended August 31, 2010. The prior period comparative for the Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares is for the period ended August 31, 2010. 18. Semi-Annual Report On October 20, 2011, the semi-annual report and unaudited interim financial statements were presented to and noted by the Board of Directors and were approved for filing with the Central Bank of Ireland and for circulation to the shareholders.

^ Not authorised in Hong Kong and not available to Hong Kong residents.

370 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Financial Information – Total Expense Ratios (TER)

Ratio of Total Operating Ratio of Total Operating Expenses in CU(1) to average Expenses in CU(1) to average Fund daily net assets in CU(1) Fund daily net assets in CU(1) For the period ended For the period ended August 31, 2011** August 31, 2011** Legg Mason Western Asset US Money Market Fund Legg Mason Western Asset Diversified Strategic Income Fund Class A US$ Accumulating 0.27% Class A US$ Accumulating 1.40% Class A US$ Distributing (D) 0.26% Class A US$ Distributing (D) 1.42% Class B US$ Accumulating 0.25% Class A US$ Distributing (M) 1.40% Class B US$ Distributing (D) 0.27% Class A Euro Accumulating (Hedged) 1.42% Class C US$ Accumulating 0.28% Class A Euro Distributing (M) (Hedged) 1.40% Class C US$ Distributing (D) 0.23% Class B US$ Accumulating 1.64% LM Class US$ Distributing (M) 0.14% Class B US$ Distributing (D) 1.66% Class A (G) US$ Accumulating 0.27% Class C US$ Accumulating 1.90% Class A (G) US$ Distributing (D) 0.28% Class C US$ Distributing (D) 1.91% Class B (G) US$ Accumulating 0.28% Class A (G) US$ Accumulating 1.36% Class B (G) US$ Distributing (D) 0.35% Class A (G) US$ Distributing (D) 1.37% Class L (G) US$ Distributing (D) 0.28% Class B (G) US$ Accumulating 1.86% Legg Mason Western Asset US Core Bond Fund Class B (G) US$ Distributing (D) 1.86% Class A US$ Accumulating 1.25% Class L (G) US$ Accumulating 1.87% Class A US$ Distributing (D) 1.38% Class L (G) US$ Distributing (D) 1.86% Class B US$ Accumulating 1.50% Legg Mason Western Asset Global Multi Strategy Fund Class B US$ Distributing (D) 1.63% Class A US$ Accumulating 1.39% Class C US$ Accumulating 1.75% Class A US$ Distributing (D) 1.39% Class C US$ Distributing (D) 1.88% Class A US$ Distributing (M) 1.39% Class GA US$ Accumulating 1.10% Class A Euro Accumulating (Hedged) 1.40% Class GE US$ Accumulating 1.70% Class A Euro Distributing (M) (Hedged) 1.40% Legg Mason Western Asset US Core Plus Bond Fund Class A GBP Distributing (M) (Hedged) 1.39% Class A US$ Accumulating 1.45% Class A SGD Distributing (Q) (Hedged) 1.39% Class A US$ Distributing (D) 1.45% Class B US$ Accumulating 1.64% Class B US$ Accumulating 1.70% Class B US$ Distributing (D) 1.64% Class B US$ Distributing (D) 1.70% Class C US$ Accumulating 1.90% Class C US$ Accumulating 1.95% Class C US$ Distributing (D) 1.89% Class C US$ Distributing (D) 1.95% Class E US$ Accumulating 2.00% Premier Class US$ Accumulating 0.46% Class E US$ Distributing (D) 2.00% Premier Class GBP Accumulating (Hedged) 0.46% Class E Euro Accumulating (Hedged) 2.00% LM Class US$ Distributing (M) 0.16% Class F US$ Accumulating 0.79% LM Class GBP Accumulating (Hedged) 0.16% Class F US$ Distributing (D) 0.80% Class A (G) US$ Accumulating 1.31% Class F Euro Accumulating 0.75% Class A (G) US$ Distributing (D) 1.31% Premier Class US$ Accumulating 0.55% Class B (G) US$ Accumulating 1.81% Premier Class US$ Distributing (D) 0.51% Class B (G) US$ Distributing (D) 1.81% Premier Class US$ Distributing (M) 0.54% Class L (G) US$ Accumulating 1.81% Premier Class Euro Accumulating (Hedged) 0.55% Class L (G) US$ Distributing (D) 1.81% Premier Class GBP Accumulating (Hedged) 0.54% Premier Class GBP Distributing (M) (Hedged) 0.54% Legg Mason Western Asset Euro Core Plus Bond Fund Premier Class GBP Distributing (Q) (Hedged) 0.54% Class A US$ Accumulating 1.33% Premier Class SEK Accumulating (Hedged) 0.54% Class A US$ Distributing (D) 1.32% Premier Class JPY Accumulating 0.54% Class A Euro Accumulating 1.27% LM Class US$ Accumulating 0.14% Class A Euro Distributing (D) 1.32% LM Class AUD Distributing (M) (Hedged) 0.14% Class B US$ Distributing (D) 1.57% LM Class Euro Accumulating (Hedged) 0.14% Class C US$ Accumulating 1.82% LM Class GBP Accumulating (Hedged) 0.14% Class C US$ Distributing (D) 1.82% LM Class JPY Accumulating (Hedged) 0.14% Class F Euro Distributing (Q) 0.72% Premier Class Euro Accumulating 0.44% Class GA Euro Accumulating 0.99% Class GA Euro Distributing (A) 0.99% Class GE Euro Accumulating 1.59% Class GF Euro Accumulating 0.94%

371 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Financial Information – Total Expense Ratios (TER) – (continued)

Ratio of Total Operating Ratio of Total Operating Expenses in CU(1) to average Expenses in CU(1) to average Fund daily net assets in CU(1) Fund daily net assets in CU(1) For the period ended For the period ended August 31, 2011** August 31, 2011** Legg Mason Western Asset US High Yield Fund Legg Mason Western Asset Global High Yield Fund Class A US$ Accumulating 1.45% Class A US$ Accumulating 1.55% Class A US$ Distributing (D) 1.46% Class A US$ Distributing (D) 1.55% Class A US$ Distributing (M) 1.47% Class A US$ Distributing (M) 1.56% Class A GBP Distributing (M) (Hedged) 1.46% Class A AUD Distributing (M) (Hedged) 1.56% Class B US$ Accumulating 1.70% Class A SGD Distributing (Q) (Hedged) 1.56% Class B US$ Distributing (D) 1.71% Class B US$ Accumulating 1.80% Class C US$ Accumulating 1.95% Class B US$ Distributing (D) 1.80% Class C US$ Distributing (D) 1.96% Class C US$ Accumulating 2.05% Class E US$ Accumulating 2.06% Class C US$ Distributing (D) 2.05% Class E US$ Distributing (D) 2.07% Class E US$ Accumulating 2.16% Class F US$ Accumulating 0.75% Class E US$ Distributing (D) 2.16% Class F US$ Distributing (D) 0.76% Class F US$ Accumulating 0.85% Premier Class US$ Accumulating 0.61% Class F US$ Distributing (D) 0.86% LM Class US$ Accumulating 0.15% Premier Class US$ Accumulating 0.60% LM Class US$ Distributing (M) 0.15% Premier Class GBP Distributing (D) (Hedged) 0.63% LM Class GBP Accumulating (Hedged) 0.16% Class A (G) US$ Accumulating 1.40% Class A (G) US$ Accumulating 1.31% Class A (G) US$ Distributing (D) 1.41% Class A (G) US$ Distributing (D) 1.31% Class B (G) US$ Accumulating 1.90% Class B (G) US$ Accumulating 1.81% Class B (G) US$ Distributing (D) 1.90% Class B (G) US$ Distributing (D) 1.81% Class L (G) US$ Accumulating 1.90% Class L (G) US$ Accumulating 1.81% Class L (G) US$ Distributing (D) 1.90% Class L (G) US$ Distributing (D) 1.81% Legg Mason Western Asset US Short-Term Government Fund Class GF US$ Accumulating 1.11% Class A US$ Accumulating 1.35% Legg Mason Western Asset Emerging Markets Bond Fund Class A US$ Distributing (D) 1.35% Class A US$ Accumulating 1.80% Class B US$ Accumulating 1.60% Class A US$ Distributing (D) 1.82% Class B US$ Distributing (D) 1.60% Class A US$ Distributing (M) 1.80% Class C US$ Accumulating 1.85% Class A Euro Accumulating (Hedged) 1.82% Class C US$ Distributing (D) 1.85% Class A GBP Distributing (D) (Hedged) 1.82% Class A (G) US$ Accumulating 1.29% Class A SGD Distributing (Q) (Hedged) 1.82% Class A (G) US$ Distributing (D) 1.28% Class B US$ Accumulating 2.05% Class B (G) US$ Accumulating 1.78% Class B US$ Distributing (D) 2.07% Class B (G) US$ Distributing (D) 1.78% Class C US$ Accumulating 2.30% Class L (G) US$ Accumulating 1.79% Class C US$ Distributing (D) 2.32% Class L (G) US$ Distributing (D) 1.78% Class E US$ Distributing (D) 2.42% Legg Mason Western Asset US Adjustable Rate Fund Class F US$ Accumulating 0.97% Class A US$ Accumulating 1.40% Premier Class US$ Accumulating 0.72% Class B US$ Distributing (D) 1.65% Premier Class Euro Accumulating (Hedged) 0.72% Class C US$ Distributing (D) 1.90% LM Class US$ Accumulating 0.17% Class A (G) US$ Accumulating 1.32% Class A (G) US$ Accumulating 1.42% Class A (G) US$ Distributing (D) 1.33% Class A (G) US$ Distributing (D) 1.42% Class B (G) US$ Accumulating 1.82% Class B (G) US$ Accumulating 1.92% Class B (G) US$ Distributing (D) 1.82% Class B (G) US$ Distributing (D) 1.92% Class L (G) US$ Accumulating 1.83% Class L (G) US$ Accumulating 1.92% Class L (G) US$ Distributing (D) 1.82% Class L (G) US$ Distributing (D) 1.92% Legg Mason Western Asset Inflation Management Fund Class A US$ Accumulating 1.40% Class A US$ Distributing (A) 1.40% Class B US$ Accumulating 1.65% Class B US$ Distributing (A) 1.65% Class C US$ Distributing (A) 1.90% Class A (G) US$ Accumulating 1.00% Class A (G) US$ Distributing (A) 1.00% Class B (G) US$ Accumulating 1.50% Class B (G) US$ Distributing (A) 1.50% Class L (G) US$ Accumulating 1.50% Class L (G) US$ Distributing (A) 1.50%

372 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Financial Information – Total Expense Ratios (TER) – (continued)

Ratio of Total Operating Ratio of Total Operating Expenses in CU(1) to average Expenses in CU(1) to average Fund daily net assets in CU(1) Fund daily net assets in CU(1) For the period ended For the period ended August 31, 2011** August 31, 2011** Legg Mason Western Asset Asian Opportunities Fund Legg Mason Western Asset Global Credit Absolute Return Fund^ Class A US$ Accumulating 1.39% Class A US$ Accumulating 1.49% Class A US$ Distributing (D) 1.39% Class A US$ Distributing (M) 1.82% Class A US$ Distributing (M) 1.39% Class A (PF) US$ Accumulating 1.57% Class A Euro Accumulating 1.39% Class A (PF) US$ Distributing (M) 1.56% Class A Euro Accumulating (Hedged) 1.39% Class A GBP Distributing (M) (Hedged) 1.82% Class A Euro Distributing (A) 1.39% Class B US$ Accumulating 1.87% Class A GBP Distributing (M) 1.39% Class B US$ Distributing (M) 1.87% Class A SGD Accumulating (Hedged) 1.39% Class C US$ Accumulating 2.24% Class A SGD Distributing (Q) 1.39% Class C US$ Distributing (M) 2.24% Class A SGD Distributing (Q) (Hedged) 1.40% Class E US$ Accumulating 2.24% Class B US$ Accumulating 1.64% Class E US$ Distributing (M) 2.41% Class B US$ Distributing (D) 1.64% Class F US$ Accumulating 1.50% Class C US$ Accumulating 1.89% Class F US$ Distributing (M) 1.50% Class C US$ Distributing (D) 1.89% Class F (PF) US$ Accumulating 1.13% Class E US$ Accumulating 1.99% Class F (PF) US$ Distributing (M) 1.13% Class E US$ Distributing (D) 1.99% Premier (PF) Class US$ Accumulating 0.91% Class F US$ Accumulating 0.99% Premier (PF) Class US$ Distributing (M) 0.94% Class F US$ Distributing (D) 0.99% Premier Class Euro Accumulating (Hedged) 1.17% Premier Class US$ Accumulating 0.74% Premier Class GBP Distributing (M) (Hedged) 1.18% Premier Class Euro Accumulating 0.74% Premier (PF) Class GBP Accumulating (Hedged) 0.92% Premier Class Euro Accumulating (Hedged) 0.74% Premier (PF) Class GBP Distributing (M) (Hedged) 0.92% Premier Class Euro Distributing (M) 0.74% Legg Mason Western Asset UK£ Core Plus Bond Fund^ Premier Class GBP Distributing (M) 0.74% Class A GBP Distributing (D) 0.76% LM Class US$ Accumulating 0.14% Premier Class GBP Accumulating 0.44% Legg Mason Western Asset Global Blue Chip Bond Fund LM Class GBP Accumulating 0.14% Class A US$ Accumulating 1.15% Legg Mason Western Asset Global Core Plus Bond Fund^ Class A US$ Distributing (M) 1.15% Class A US$ Distributing (D) 1.13% Class A Euro Accumulating (Hedged) 1.15% Premier Class US$ Accumulating 0.57% Class A GBP Accumulating (Hedged) 1.15% Premier Class Euro Distributing (Q) (Hedged) 0.57% Class B US$ Distributing (M) 1.40% LM Class US$ Accumulating 0.17% Class C US$ Accumulating 1.65% LM Class Euro Accumulating (Hedged) 0.17% Class C US$ Distributing (M) 1.65% LM Class JPY Accumulating (Hedged) 0.17% Class E US$ Accumulating 1.75% Class E US$ Distributing (D) 1.75% Legg Mason Western Asset Global Inflation-Linked Fund Class F US$ Accumulating 0.75% Class A US$ Distributing (D) 0.78% Class F US$ Distributing (D) 1.05% Premier Class US$ Accumulating 0.48% Premier Class US$ Accumulating 0.50% Premier Class SGD Accumulating (Hedged) 0.48% Premier Class US$ Distributing (M) 0.50% LM Class GBP Accumulating (Hedged) 0.18% Premier Class Euro Accumulating (Hedged) 0.50% Legg Mason Western Asset UK£ Inflation-Linked Plus Fund^ Premier Class Euro Distributing (M) (Hedged) 0.50% Class A GBP Distributing (D) 0.82% Premier Class GBP Accumulating (Hedged) 0.50% Premier Class GBP Accumulating 0.42% Premier Class GBP Distributing (M) (Hedged) 0.50% LM Class GBP Accumulating 0.17% Legg Mason Western Asset Brazil Bond Fund^ LM Class GBP Distributing (M) 0.17% Premier Class US$ Accumulating 0.92% Legg Mason Western Asset UK£ Long Duration Fund^ LM Class US$ Accumulating 0.37% Class A GBP Distributing (D) 1.11% LM Class GBP Accumulating 0.15% LM Class GBP Distributing (M) 0.15% Legg Mason Western Asset Global Credit Fund Class A US$ Distributing (D) 1.02% LM Class US$ Accumulating 0.16% Legg Mason Western Asset Euro High Yield Fund^ Class A Euro Distributing (D) 1.11% LM Class US$ Distributing (Q) Hedged 0.17% LM Class Euro Accumulating 0.17% LM Class Euro Distributing (Q) 0.17%

^ Not authorised in Hong Kong and not available to Hong Kong residents.

373 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Financial Information – Total Expense Ratios (TER) – (continued)

Ratio of Total Operating Ratio of Total Operating Expenses in CU(1) to average Expenses in CU(1) to average Fund daily net assets in CU(1) Fund daily net assets in CU(1) For the period ended For the period ended August 31, 2011** August 31, 2011** Legg Mason Brandywine Global Fixed Income Fund Legg Mason ClearBridge US Appreciation Fund Class A US$ Accumulating 1.40% Class A US$ Accumulating 1.75% Class A US$ Distributing (M) 1.41% Class A US$ Distributing (A) 1.75% Class A US$ Distributing (S) 1.41% Class A Euro Accumulating 1.76% Class A Euro Accumulating (Hedged) 1.40% Class B US$ Accumulating 2.25% Class A Euro Distributing (S) (Hedged) 1.41% Class B US$ Distributing (A) 2.25% Class A GBP Distributing (S) (Hedged) 1.41% Class C US$ Accumulating 2.25% Class B US$ Accumulating 1.65% Class C US$ Distributing (A) 2.25% Class B US$ Distributing (S) 1.66% Class E US$ Accumulating 2.51% Class C US$ Accumulating 1.90% Class E US$ Distributing (A) 2.51% Class C US$ Distributing (S) 1.91% Class F US$ Accumulating 1.16% Premier Class US$ Accumulating 0.76% Class F US$ Distributing (A) 1.04% Premier Class Euro Accumulating 0.76% Premier Class US$ Accumulating 0.91% LM Class US$ Accumulating 0.16% Premier Class US$ Distributing (A) 0.91% LM Class Euro Accumulating (Hedged) 0.16% Premier Class Euro Accumulating 0.91% LM Class JPY Accumulating (Hedged) 0.16% LM Class US$ Accumulating 0.16% Legg Mason Brandywine Global Opportunistic Fixed Income Fund^ LM Class Euro Accumulating 0.16% Class A US$ Accumulating 1.45% LM Class JPY Accumulating 0.16% Class A US$ Distributing (M) 1.45% Class A (G) US$ Accumulating 1.41% Class B (G) US$ Accumulating 1.91% Legg Mason Western Asset Brazil Equity Fund^ Class L (G) US$ Accumulating 1.91% Class A US$ Distributing (A) 2.00% Class GA US$ Accumulating 1.59% LM Class US$ Accumulating 0.58% Class GA Euro Accumulating 1.59% Legg Mason Capital Management Value Fund Class GA Euro Distributing (A) 1.59% Class A US$ Accumulating 1.86% Class GE US$ Accumulating 2.34% Class A US$ Distributing (A) 1.86% Class GE Euro Accumulating 2.34% Class A Euro Accumulating 1.85% Class GP US$ Accumulating 0.17% Class A SGD Accumulating 1.85% Legg Mason ClearBridge US Fundamental Value Fund Class B US$ Accumulating 2.35% Class A US$ Accumulating 1.75% Class B US$ Distributing (A) 2.36% Class A US$ Distributing (A) 1.75% Class C US$ Accumulating 2.35% Class A Euro Accumulating 1.77% Class C US$ Distributing (A) 2.36% Class B US$ Accumulating 2.25% Class F US$ Accumulating 1.27% Class B US$ Distributing (A) 2.25% Class F US$ Distributing (A) 1.30% Class C US$ Accumulating 2.25% Premier Class US$ Accumulating 1.01% Class C US$ Distributing (A) 2.25% LM Class US$ Accumulating 0.16% LM Class US$ Accumulating 0.18% LM Class Euro Accumulating 0.16% Class A (G) US$ Accumulating 1.43% LM Class JPY Accumulating 0.14% Class B (G) US$ Accumulating 1.93% Galleon Class 1.00% Class L (G) US$ Accumulating 1.93% Legg Mason Capital Management Growth Fund Class GA US$ Accumulating 1.60% Class A US$ Accumulating 1.70% Class GA Euro Accumulating 1.59% Class A US$ Distributing (A) 1.73% Class GA Euro Distributing (A) 1.60% Class A Euro Accumulating 1.70% Class GE Euro Accumulating 2.35% Class B US$ Accumulating 2.20% Class GE US$ Accumulating 2.35% Class B US$ Distributing (A) 2.23% Legg Mason ClearBridge US Large Cap Growth Fund Class C US$ Accumulating 2.20% Class A US$ Accumulating 1.75% Class C US$ Distributing (A) 2.23% Class A US$ Distributing (A) 1.75% Premier Class US$ Accumulating 0.88% Class A Euro Accumulating 1.83% Legg Mason Capital Management Opportunity Fund Class B US$ Accumulating 2.25% Class A US$ Accumulating 1.87% Class B US$ Distributing (A) 2.25% Class A US$ Distributing (A) 1.85% Class C US$ Accumulating 2.25% Premier Class US$ Accumulating 1.03% Class C US$ Distributing (A) 2.25% Premier Class GBP Distributing (A) 1.03% Class A (G) US$ Accumulating 1.48% LM Class US$ Accumulating 0.15% Class B (G) US$ Accumulating 1.98% Class L (G) US$ Accumulating 1.98% Class GA US$ Accumulating 1.65% Class GA Euro Accumulating 1.65% Class GA Euro Distributing (A) 1.65% Class GE US$ Distributing (A) 2.40% Class GE Euro Accumulating 2.40%

^ Not authorised in Hong Kong and not available to Hong Kong residents.

374 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Financial Information – Total Expense Ratios (TER) – (continued)

Ratio of Total Operating Ratio of Total Operating Expenses in CU(1) to average Expenses in CU(1) to average Fund daily net assets in CU(1) Fund daily net assets in CU(1) For the period ended For the period ended August 31, 2011** August 31, 2011** Legg Mason ClearBridge US Aggressive Growth Fund Legg Mason Royce European Smaller Companies Fund^ Class A US$ Accumulating 1.80% Class A Euro Distributing (A) 2.00% Class A US$ Distributing (A) 1.80% LM Class Euro Accumulating 0.15% Class A Euro Accumulating 1.81% Legg Mason Royce Global Smaller Companies Fund^ Class B US$ Accumulating 2.30% Class A US$ Accumulating 2.00% Class B US$ Distributing (A) 2.30% Class A US$ Distributing (A) 2.00% Class C US$ Accumulating 2.30% Class B US$ Accumulating 2.50% Class C US$ Distributing (A) 2.30% Class C US$ Accumulating 2.50% Class E US$ Accumulating 2.56% Class E US$ Accumulating 2.75% Class E US$ Distributing (A) 2.55% Premier Class US$ Accumulating 1.60% Class F US$ Accumulating 1.11% LM Class US$ Accumulating 0.15% Class F US$ Distributing (A) 1.11% Premier Class US$ Accumulating 0.96% Legg Mason Permal Global Absolute Fund Premier Class Euro Accumulating 0.96% Class A US$ Accumulating 1.78% Premier Class Euro Distributing (A) 0.97% Class A US$ Distributing (A) 1.78% Class A (G) US$ Accumulating 1.46% Class A Euro Accumulating (Hedged) 1.78% Class B (G) US$ Accumulating 1.96% Class A Euro Distributing (A) (Hedged) 1.77% Class L (G) US$ Accumulating 1.96% Class A GBP Accumulating (Hedged) 1.78% Class GA Euro Accumulating 1.58% Class A GBP Distributing (A) (Hedged) 1.79% Class GA Euro Distributing (A) 1.58% Class A SGD Accumulating (Hedged) 1.78% Class GE US$ Accumulating 2.33% Class B US$ Accumulating 2.50% Class GE Euro Accumulating 2.33% Class B US$ Distributing (A) 2.28% Class C US$ Accumulating 2.28% Legg Mason Royce US Small Cap Opportunity Fund Class C US$ Distributing (A) 2.28% Class A US$ Accumulating 2.00% Class E US$ Accumulating 2.52% Class A US$ Distributing (A) 2.00% Class E US$ Distributing (A) 2.52% Class A Euro Accumulating 2.00% Class F US$ Accumulating 1.18% Class A GBP Distributing (A) 2.02% Class F US$ Distributing (A) 1.18% Class A SGD Accumulating 2.01% Premier Class US$ Accumulating 0.93% Class B US$ Accumulating 2.50% Premier Class AUD Distributing (A) (Hedged) 0.94% Class B US$ Distributing (A) 2.50% Premier Class Euro Accumulating (Hedged) 0.93% Class C US$ Accumulating 2.50% Premier Class Euro Distributing (A) (Hedged) 0.93% Class C US$ Distributing (A) 2.50% Premier Class GBP Accumulating (Hedged) 0.93% Class E Euro Accumulating 2.75% Premier Class GBP Distributing (A) (Hedged) 0.94% Class E US$ Accumulating 2.76% LM Class US$ Accumulating 0.18% Class E US$ Distributing (A) 2.75% LM Class JPY Accumulating (Hdeged) 0.18% Class F US$ Accumulating 1.46% Class F US$ Distributing (A) 1.46% Legg Mason GC Global Equity Fund Premier Class US$ Accumulating 1.16% Class A US$ Accumulating 1.85% Premier Class Euro Accumulating 1.15% Class A US$ Distributing (A) 1.90% Class B US$ Accumulating 2.35% Legg Mason Royce Smaller Companies Fund Class B US$ Distributing (A) 2.40% Class A US$ Accumulating 1.99% Class C US$ Accumulating 2.35% Class A US$ Distributing (A) 1.99% Class C US$ Distributing (A) 2.40% Class A Euro Accumulating 1.99% Class A Euro Distributing (A) 1.92% Legg Mason Batterymarch European Equity Fund Class A GBP Distributing (A) 1.99% Class A US$ Accumulating 1.85% Class B US$ Accumulating 2.49% Class A US$ Distributing (A) 1.88% Class B US$ Distributing (A) 2.49% Class A Euro Accumulating 1.88% Class C US$ Accumulating 2.49% Class A Euro Distributing (A) 1.88% Class C US$ Distributing (A) 2.49% Class B US$ Accumulating 2.35% Class E US$ Accumulating 2.74% Class B US$ Distributing (A) 2.38% Class E US$ Distributing (A) 2.74% Class C US$ Accumulating 2.35% Class E Euro Accumulating 2.75% Class C US$ Distributing (A) 2.38% Class F US$ Accumulating 1.39% Class A (G) US$ Accumulating 1.53% Class F US$ Distributing (A) 1.40% Class B (G) US$ Accumulating 2.02% Premier Class US$ Accumulating 1.14% Class L (G) US$ Accumulating 2.03% Premier Class US$ Distributing (A) 1.15% Class GA US$ Accumulating 1.59% Premier Class GBP Distributing (A) 1.14% Class GA Euro Accumulating 1.60% LM Class US$ Accumulating 0.14% Class GA Euro Distributing (A) 1.60% LM Class Euro Accumulating 0.14% Class GE US$ Accumulating 2.35% LM Class JPY Accumulating 0.14% LM Class US$ Accumulating 0.18% Class A (G) US$ Accumulating 1.39% LM Class Euro Accumulating 0.18% Class B (G) US$ Accumulating 1.89% LM Class JPY Accumulating 0.18% Class L (G) US$ Accumulating 1.89% Legg Mason Royce Smaller Companies Fund II^ Class A US$ Accumulating 1.98%

^ Not authorised in Hong Kong and not available to Hong Kong residents.

375 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Financial Information – Total Expense Ratios (TER) – (continued)

Ratio of Total Operating Expenses in CU(1) to average Fund daily net assets in CU(1) For the period ended August 31, 2011** Legg Mason Batterymarch Asia Pacific Equity Fund Class A US$ Accumulating 2.00% Class A US$ Distributing (A) 2.04% Class A Euro Accumulating 2.00% Class B US$ Accumulating 2.50% Class B US$ Distributing (A) 2.54% Class C US$ Accumulating 2.50% Class C US$ Distributing (A) 2.54% Class E US$ Accumulating 2.80% Class E US$ Distributing (A) 2.54% Class E Euro Accumulating 2.79% Class F US$ Distributing (A) 1.52% Class F US$ Accumulating 1.52% Class GA US$ Accumulating 1.81% Class GA Euro Accumulating 1.81% Class GA Euro Distributing (A) 1.82% Class GE US$ Accumulating 2.57% Class GE Euro Accumulating 2.56% Class GP US$ Accumulating 0.68% Legg Mason Batterymarch International Large Cap Fund Class A US$ Accumulating 1.90% Class A US$ Distributing (A) 1.90% Class A Euro Accumulating 2.08% Class B US$ Accumulating 2.40% Class B US$ Distributing (A) 2.40% Class C US$ Accumulating 2.40% Class C US$ Distributing (A) 2.40% Class A (G) US$ Accumulating 1.68% Class B (G) US$ Accumulating 2.18% Class L (G) US$ Accumulating 2.18% Legg Mason Batterymarch Emerging Markets Equity Fund Class A US$ Accumulating 2.00% Class A US$ Distributing (A) 2.00% Class A Euro Accumulating 2.00% Class A GBP Distributing (A) 2.00% Class B US$ Accumulating 2.70% Class B US$ Distributing (A) 2.70% Class C US$ Accumulating 2.70% Class C US$ Distributing (A) 2.70% Class E US$ Accumulating 2.95% Class E US$ Distributing (A) 2.94% Class F US$ Accumulating 1.58% Class F US$ Distributing (A) 1.30% Premier Class Euro Accumulating 1.17% Legg Mason Batterymarch Global Equity Fund Class A US$ Distributing (A) 2.00% LM Class US$ Accumulating 0.44% Class GA US$ Accumulating 1.62% Class GA Euro Accumulating 1.62% Class GA Euro Distributing (A) 1.62% Class GE US$ Accumulating 2.37% Class GE Euro Accumulating 2.37% Legg Mason LMHK China Fund Class A US$ Distributing (A) 2.00% LM Class US$ Accumulating 0.44% Legg Mason Esemplia Emerging Markets Select Equity Fund Class A US$ Distributing (A) 2.20% LM Class US$ Accumulating 0.56%

376 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Financial Information – Total Expense Ratios (TER) – (continued)

Synthetic TER (2) For the period ended August 31, 2011** Legg Mason Western Asset Diversified Strategic Income Fund Class A US$ Accumulating 1.43% Class A US$ Distributing (D) 1.45% Class A US$ Distributing (M) 1.43% Class A Euro Accumulating (Hedged) 1.45% Class A Euro Distributing (M) (Hedged) 1.43% Class B US$ Accumulating 1.67% Class B US$ Distributing (D) 1.69% Class C US$ Accumulating 1.93% Class C US$ Distributing (D) 1.94% Class A (G) US$ Accumulating 1.39% Class A (G) US$ Distributing (D) 1.40% Class B (G) US$ Accumulating 1.89% Class B (G) US$ Distributing (D) 1.89% Class L (G) US$ Accumulating 1.90% Class L (G) US$ Distributing (D) 1.89% Legg Mason Permal Global Absolute Fund Class A US$ Accumulating 2.28% Class A US$ Distributing (A) 2.28% Class A Euro Accumulating (Hedged) 2.28% Class A Euro Distributing (A) (Hedged) 2.27% Class A GBP Accumulating (Hedged) 2.28% Class A GBP Distributing (A) (Hedged) 2.29% Class A SGD Accumulating (Hedged) 2.28% Class B US$ Accumulating 3.00% Class B US$ Distributing (A) 2.78% Class C US$ Accumulating 2.78% Class C US$ Distributing (A) 2.78% Class E US$ Accumulating 3.02% Class E US$ Distributing (A) 3.02% Class F US$ Accumulating 1.68% Class F US$ Distributing (A) 1.68% Premier Class US$ Accumulating 1.43% Premier Class AUD Distributing (A) (Hedged) 1.44% Premier Class Euro Accumulating (Hedged) 1.43% Premier Class Euro Distributing (A) (Hedged) 1.43% Premier Class GBP Accumulating (Hedged) 1.43% Premier Class GBP Distributing (A) (Hedged) 1.44% LM Class US$ Accumulating 0.68% LM Class JPY Accumulating (Hedged) 0.68%

The method of calculation of the Total Expense Ratios (TER) is described on the website of the Swiss Fund Association (SFA) (www.sfa.ch) (1) CU = Currency units in the Fund’s accounting currency (2) If a Fund invests at least 10% of its Net Asset Value in other funds ("target funds") which publish a TER, a composite (synthetic) TER of the Fund is calculated as at the financial period end. ** Annualised

377 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Financial Information – Portfolio Turnover Rate (PTR)

Ratio of 1 (1) less Total 2 (2) to average Fund daily net assets in CU (3) For the period ended August 31, 2011 Legg Mason Western Asset US Money Market Fund 13018.17% Legg Mason Western Asset US Core Bond Fund 1884.36% Legg Mason Western Asset US Core Plus Bond Fund 1647.14% Legg Mason Western Asset Euro Core Plus Bond Fund 535.36% Legg Mason Western Asset Diversified Strategic Income Fund 179.27% Legg Mason Western Asset Global Multi Strategy Fund 73.13% Legg Mason Western Asset US High Yield Fund 59.65% Legg Mason Western Asset Emerging Markets Bond Fund 21.78% Legg Mason Western Asset Global High Yield Fund 103.31% Legg Mason Western Asset US Short-Term Government Fund 329.50% Legg Mason Western Asset US Adjustable Rate Fund 66.20% Legg Mason Western Asset Inflation Management Fund 53.89% Legg Mason Western Asset Asian Opportunities Fund 60.74% Legg Mason Western Asset Global Blue Chip Bond Fund 176.83% Legg Mason Western Asset Brazil Bond Fund^ 131.48% Legg Mason Western Asset Global Credit Absolute Return Fund^ 1569.16% Legg Mason Western Asset UK£ Core Plus Bond Fund^ 221.49% Legg Mason Western Asset Global Core Plus Bond Fund^ 297.59% Legg Mason Western Asset Global Inflation-Linked Fund 269.82% Legg Mason Western Asset UK£ Inflation-Linked Plus Fund^ 304.29% Legg Mason Western Asset UK£ Long Duration Fund^ 318.45% Legg Mason Western Asset Global Credit Fund 122.19% Legg Mason Western Asset Euro High Yield Fund^ 141.47% Legg Mason Brandywine Global Fixed Income Fund 139.71% Legg Mason Brandywine Global Opportunistic Fixed Income Fund^ 213.42% Legg Mason Western Asset Brazil Equity Fund^ 185.39% Legg Mason Capital Management Value Fund 81.57% Legg Mason Capital Management Growth Fund 105.77% Legg Mason Capital Management Opportunity Fund 189.94% Legg Mason ClearBridge US Appreciation Fund 21.82% Legg Mason ClearBridge US Fundamental Value Fund 18.00% Legg Mason ClearBridge US Large Cap Growth Fund 33.69% Legg Mason ClearBridge US Aggressive Growth Fund (33.50)% Legg Mason Royce US Small Cap Opportunity Fund (4.37)% Legg Mason Royce Smaller Companies Fund (3.33)% Legg Mason Royce Smaller Companies Fund II^ (5.38)% Legg Mason Royce European Smaller Companies Fund^ 94.45% Legg Mason Royce Global Smaller Companies Fund 47.31% Legg Mason Permal Global Absolute Fund 146.27% Legg Mason GC Global Equity Fund 94.74% Legg Mason Batterymarch European Equity Fund 70.56% Legg Mason Batterymarch Asia Pacific Equity Fund 98.75% Legg Mason Batterymarch International Large Cap Fund 122.69% Legg Mason Batterymarch Emerging Markets Equity Fund 106.44% Legg Mason Batterymarch Global Equity Fund 103.41% Legg Mason LMHK China Fund 136.28% Legg Mason Esemplia Emerging Markets Select Fund 147.89%

The method of calculation of the Portfolio Turnover Rates (PTR) is described on the website of the Swiss Fund Association (SFA) (www.sfa.ch) (1) Total 1 = Purchase of securities + sale of securities (2) Total 2= Subscription of shares + redemption of shares (3) CU= Currency units in the Fund’s accounting currency.

^ Not authorised in Hong Kong and not available to Hong Kong residents.

378 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Statement of Major Portfolio Changes

In accordance with the European Communities (Undertakings for Collective Investment in Transferable Securities) Regulations 2011, a statement of largest changes in the composition of the Portfolio of Investments during the reporting period is provided to ensure that shareholders can identify changes in the investments held by each Fund. These are defined as the aggregate purchases and sales of an investment (including maturities but excluding repurchase agreements, overnight discount notes and time deposits, which are employed chiefly as a means of seeking to ensure efficient portfolio management) exceeding 1.00 per cent of the total value of purchases and sales for the period. At a minimum the largest twenty purchases and sales are listed. If a Fund entered into less than twenty purchases or sales during the reporting period, then all transactions are presented.

Legg Mason Western Asset US Money Market Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Automatic Data Processing, Inc., 0.090% due 6/13/2011 145,424 Automatic Data Processing, Inc., 0.090% due 6/13/2011 145,425 Automatic Data Processing, Inc., 0.100% due 8/4/2011 136,250 Automatic Data Processing, Inc., 0.100% due 8/4/2011 136,250 Automatic Data Processing, Inc., 0.100% due 6/22/2011 135,000 Automatic Data Processing, Inc., 0.100% due 6/22/2011 135,000 Automatic Data Processing, Inc., 0.100% due 5/18/2011 134,275 Automatic Data Processing, Inc., 0.100% due 5/18/2011 134,275 Automatic Data Processing, Inc., 0.090% due 6/23/2011 129,069 Automatic Data Processing, Inc., 0.090% due 6/23/2011 129,069 Automatic Data Processing, Inc., 0.090% due 5/25/2011 125,000 Automatic Data Processing, Inc., 0.090% due 5/25/2011 125,000 Bank of America Corp., 0.150% due 3/7/2011 124,648 Bank of America Corp., 0.150% due 3/7/2011 124,650 Automatic Data Processing, Inc., 0.070% due 6/29/2011 118,635 Automatic Data Processing, Inc., 0.070% due 6/29/2011 118,635 Automatic Data Processing, Inc., 0.190% due 8/3/2011 116,999 Automatic Data Processing, Inc., 0.190% due 8/3/2011 117,000 Automatic Data Processing, Inc., 0.100% due 6/21/2011 116,876 Automatic Data Processing, Inc., 0.100% due 6/21/2011 116,876 Barclays U.S. Funding LLC, 0.120% due 8/16/2011 114,568 Barclays U.S. Funding LLC, 0.120% due 8/16/2011 114,568 Barclays U.S. Funding LLC, 0.100% due 8/11/2011 110,000 Barclays U.S. Funding LLC, 0.110% due 8/9/2011 110,000 Barclays U.S. Funding LLC, 0.110% due 8/9/2011 110,000 Barclays U.S. Funding LLC, 0.100% due 8/11/2011 110,000 General Electric Co., 0.150% due 3/18/2011 109,645 General Electric Co., 0.150% due 3/18/2011 109,645 Barclays U.S. Funding LLC, 0.100% due 8/12/2011 106,699 Barclays U.S. Funding LLC, 0.100% due 8/12/2011 106,699 Barclays U.S. Funding LLC, 0.130% due 8/1/2011 103,749 Barclays U.S. Funding LLC, 0.130% due 8/1/2011 103,750 Barclays U.S. Funding LLC, 0.100% due 8/15/2011 103,197 Barclays U.S. Funding LLC, 0.100% due 8/15/2011 103,198 Barclays U.S. Funding LLC, 0.100% due 8/10/2011 102,249 Barclays U.S. Funding LLC, 0.100% due 8/10/2011 102,249 Automatic Data Processing, Inc., 0.08% due 6/14/2011 100,000 Bank of America Corp., 0.100% due 4/8/2011 100,000 Bank of America Corp., 0.100% due 4/8/2011 100,000 Barclays U.S. Funding LLC, 0.120% due 4/13/2011 100,000

Legg Mason Western Asset US Core Bond Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) FNMA, 30 Year April TBA, 6.500% due 4/15/2041 3,575 FNMA, 30 Year April TBA, 6.500% due 4/15/2041 3,791 FNMA, 30 Year July TBA, 5.500% due 7/15/2041 3,025 FNMA, 30 Year July TBA, 5.500% due 7/15/2041 3,030 FNMA, 30 Year June TBA, 5.500% due 6/15/2041 2,963 FNMA, 30 Year June TBA, 5.500% due 6/15/2041 2,976 FNCL,, 30 Year August TBA, 4.500% due 8/15/2041 2,699 FNCL,, 30 Year August TBA, 4.500% due 8/15/2041 2,710 FNMA, 30 Year April TBA, 5.000% due 4/15/2041 2,399 FNMA, 30 Year April TBA, 5.000% due 4/15/2041 2,406 FNMA, 30 Year April TBA, 4.500% due 4/15/2041 2,332 FNMA, 30 Year April TBA, 4.500% due 4/15/2041 2,336 FNMA 30 Year June TBA, 4.500% due 6/1/2041 1,962 FNMA, 30 Year April TBA, 6.000% due 4/15/2041 2,065 GNMA, 30 Year July TBA, due 7/15/2041 1,900 FNMA 30 Year June TBA, 4.500% due 6/15/2041 1,965 FNMA, 30 Year June TBA, 5.000% due 6/15/2041 1,897 FNMA, 30 Year June TBA, 5.000% due 6/15/2041 1,902 FNCL, 30 Year July TBA, 4.500% due 7/15/2041 1,864 GNMA, 30 Year July TBA, 4.500% due 7/15/2041 1,900 FNCL, 30 Year May TBA, 5.500% due 5/15/2041 1,758 FNCL, 30 Year July TBA, 4.500% due 7/15/2041 1,865 FNMA, 30 Year April TBA, 6.000% due 4/15/2041 1,738 FNMA, 30 Year March TBA, 5.000% due 3/15/2041 1,775 FNMA, 30 Year August TBA, 5.500% due 8/15/2041 1,572 FNCL, 30 Year May TBA, 5.500% due 5/15/2041 1,772 FNMA, 30 Year September TBA, 6.000% due 9/15/2041 1,539 FNMA, 30 Year August TBA, 5.500% due 8/15/2041 1,574 GNMA, 30 Year May TBA, 4.500% due 5/15/2042 1,538 GNMA, 30 Year May TBA, 4.500% due 5/15/2042 1,566 FNMA, 30 Year June TBA, 6.000% due 6/15/2041 1,530 FNMA, 30 Year June TBA, 6.000% due 6/15/2041 1,534 GNMA, 30 Year June TBA, 4.500% due 6/15/2042 1,460 GNMA, 30 Year June TBA, 4.500% due 5/15/2042 1,480 GNMA, 30 Year April TBA, 4.500% due 4/15/2042 1,439 GNMA, 30 Year April TBA, 4.500% due 4/15/2041 1,440 FNMA, 30 Year July TBA, 6.000% due 7/15/2041 1,429 FNMA, 30 Year July TBA, 6.000% due 7/15/2041 1,428 FNMA, 30 Year July TBA, 5.000% due 7/15/2041 1,272 FNMA, 30 Year March TBA, 4.500% due 3/15/2041 1,423 FNMA, 30 Year May TBA, 5.000% due 5/15/2041 1,251 FNMA, 30 Year July TBA, 5.000% due 7/15/2041 1,273 FNMA, 30 Year August TBA, 6.000% due 8/15/2041 1,209 FNMA, 30 Year May TBA, 5.000% due 5/15/2041 1,267 FNMA 30 Year TBA, 30 Year May TBA, 4.500% due 5/15/2041 1,114 FNMA, 30 Year September TBA, 6.000% due 9/15/2041 1,215 FNMA, 30 Year September TBA, 4.000% due 9/15/2041 1,039 FNMA, 30 Year August TBA, 6.000% due 8/15/2041 1,210 FNMA 30 Year October TBA, 4.000% due 9/15/2041 1,003 FNMA, 30 Year May TBA, 4.500% due 5/15/2041 1,117 FNMA, 30 Year September TBA, 4.500% due 9/15/2041 989 FNMA, 30 Year March TBA, 5.500% due 3/15/2041 1,067 FNMA, 30 Year October TBA, 4.000% due 10/15/2041 933 FNMA, 30 Year September TBA, 4.000% due 9/15/2041 1,040 GNMA, 30 Year August TBA, 4.500% due 8/15/2041 849 FNMA, 30 Year September TBA, 4.500% due 9/15/2041 1,005 GNMA, 30 Year July TBA, 4.500% due 7/15/2041 847 GNMA, 30 Year August TBA, 4.500% due 08/15/2041 859

379 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Statement of Major Portfolio Changes – (continued)

Legg Mason Western Asset US Core Plus Bond Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) FNMA, 30 Year June TBA, 5.500% due 6/15/2041 33,520 FNMA, 30 Year June TBA, 5.500% due 6/15/2041 33,638 FNMA, 30 Year April TBA, 6.500% due 4/15/2041 28,002 FNMA, 30 Year April TBA, 6.500% due 4/15/2041 30,910 FNMA, 30 Year July TBA, 5.500% due 7/15/2041 27,237 FNMA, 30 Year July TBA, 5.500% due 7/15/2041 27,264 FNCL, 30 Year August TBA, 4.500% due 8/15/2041 26,540 FNMA, 30 Year August TBA, 4.500% due 8/15/2041 26,626 FNMA, 30 Year April TBA, 4.500% due 4/15/2041 25,267 FNMA, 30 Year April TBA, 4.500% due 4/15/2041 25,301 FNMA, 30 Year April TBA, 5.000% due 4/15/2041 18,670 FNMA, 30 Year April TBA, 5.000% due 4/15/2041 18,719 GNMA, 30 Year July TBA, 4.500% due 7/15/2041 17,527 GNMA, 30 Year July TBA, 4.500% due 7/15/2039 17,523 FNMA, 30 Year June TBA, 5.000% due 6/15/2041 17,285 FNMA, 30 Year June TBA, 5.000% due 6/15/2038 17,347 FNMA, 30 Year June TBA, 4.500% due 6/1/2041 16,734 FNMA 30 Year June TBA, 30 Year June TBA, 4.500% due 6/15/2041 16,768 FNMA, 30 Year July TBA, 4.500% due 7/15/2041 15,947 FNMA, 30 Year April TBA, 6.000% due 4/15/2041 16,304 GNMA, 30 Year August TBA, 4.500% due 8/15/2041 15,657 FNMA, 30 Year July TBA, 4.500% due 7/15/2041 15,959 FNMA, 30 Year May TBA, 5.500% due 5/15/2041 15,078 GNMA, 30 Year August TBA, 4.500% due 8/15/2041 15,766 GNMA, 30 Year June TBA, 4.500% due 6/15/2041 14,993 GNMA, 30 Year June TBA, 4.500% due 6/15/2041 15,220 FNMA, 30 Year July TBA, 6.000% due 7/15/2041 14,184 FNCL, 30 Year May TBA, 5.500% due 5/15/2041 15,192 FNMA, 30 Year June TBA, 6.000% due 6/15/2041 13,771 FNMA, 30 Year July TBA, 6.000% due 7/15/2041 14,168 FNMA, 30 Year July TBA, 5.000% due 7/15/2041 13,069 FNMA, 30 Year June TBA, 6.000% due 6/15/2041 13,808 GNMA, 30 Year May TBA, 4.500% due 4/15/2041 12,526 FNMA, 30 Year March TBA, 4.500% due 3/15/2041 13,624 GNMA, 30 Year May TBA, 4.500% due 5/15/2041 12,406 FNMA, 30 Year March TBA, 5.000% due 3/15/2041 13,579 FNMA, 30 Year April TBA, 6.000% due 4/15/2041 12,266 FNMA, 30 Year July TBA, 5.000% due 7/15/2041 13,076 FNMA, 30 Year July TBA, 4.000% due 7/15/2040 12,185 GNMA, 30 Year May TBA, 4.500% due 5/15/2040 12,627 FNMA, 30 Year September TBA, 6.000% due 9/15/2041 11,430 GNMA, 30 Year April TBA, 4.500% due 4/15/2041 12,552 FNMA, 30 Year September TBA, 4.000% due 9/15/2041 11,016 FNMA, 30 Year July TBA, 4.000% due 7/15/2041 12,169 Fannie Mae Discount Note, zero coupon due 2/1/2041 10,645 U.S. Treasury Bill, zero coupon due 6/9/2011 12,160 FNMA, 30 Year May TBA, 5.000% due 5/15/2041 10,637 FNMA, 30 Year September TBA, 4.000% due 9/15/2041 11,030 FNMA 30 Year October TBA, 4.500% due 10/15/2041 10,400 FNMA, 30 Year May TBA, 5.000% due 5/15/2041 10,766 FNMA, 30 Year September TBA, 4.500% due 9/15/2041 10,250 U.S. Treasury Note, 1.000% due 7/31/2011 10,713 FNMA, 30 Year October TBA, 4.500% due 10/15/2041 9,746 FNMA, 30 Year September TBA, 4.500% due 9/15/2041 10,424 GNMA, 30 Year August TBA, 4.000% due 8/1/2040 9,441 U.S. Treasury Note, 3.625% due 2/15/2021 10,133 U.S. Treasury Note, 3.625% due 2/15/2021 9,318 GNMA, 30 Year August TBA, 4.000% due 8/1/2041 9,475 FNMA, 30 Year May TBA, 4.500% due 5/15/2036 9,307 FNMA, 30 Year May TBA, 4.500% due 5/15/2041 9,337 GNMA, 30 Year September TBA, 4.500% due 9/15/2040 8,983 FNMA, 30 Year September TBA, 6.000% due 9/15/2041 8,737 FNMA, 30 Year August TBA, 6.000% due 8/15/2037 8,675 FNMA, 30 Year August TBA, 6.000% due 8/15/2041 8,681 FNMA, 30 Year August TBA, 5.500% due 8/15/2038 8,495 FNMA, 30 Year August TBA, 5.500% due 8/15/2041 8,511 FNMA, 30 Year September TBA, 6.000% due 9/15/2041 8,090

Legg Mason Western Asset Euro Core Plus Bond Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000E) (in 000E) Western Asset Liquidity Funds PLC – Western Asset Euro Liquidity Fund, 49,231 Western Asset Liquidity Funds PLC – Western Asset Euro Liquidity Fund, 48,711 Class WA Class WA Netherlands Government Bond, 3.250% due 7/15/2021 17,993 Bundesrepublik Deutschland, Series 08, 3.750% due 1/4/2019 15,325 Belgium Government Bond, Series 61, 4.250% due 9/28/2021 12,345 Bundesrepublik Deutschland, Series 09, 3.250% due 1/4/2020 10,729 France Government Bond OAT, 3.500% due 4/25/2020 11,263 Italy Buoni Poliennali Del Tesoro, 4.500% due 2/1/2020 10,393 Bundesrepublik Deutschland, Series 09, 3.250% due 1/4/2020 10,887 Belgium Government Bond, Series 59, 2.750% due 3/28/2016 9,924 Italy Buoni Poliennali Del Tesoro, 4.500% due 2/1/2020 10,523 Belgium Government Bond, Series 61, 4.250% due 9/28/2021 9,804 Italy Buoni Poliennali Del Tesoro, 3.750% due 4/15/2016 9,541 Bundesobligation, Series 159, 2.000% due 2/26/2016 9,656 Bundesobligation, 2.000% due 2/26/2016 9,493 Italy Buoni Poliennali Del Tesoro, 3.750% due 4/15/2016 9,543 Bundesobligation, Series 149, 3.500% due 10/14/2011 8,404 Bundesobligation, Series 149, 3.500% due 10/14/2011 8,602 Spain Government Bond, 3.250% due 4/30/2016 8,178 Spain Government Bond, 3.250% due 4/30/2016 8,277 German Treasury Bill, zero coupon due 12/7/2011 6,364 Spain Government Bond, 3.000% due 4/30/2015 6,913 Spain Government Bond, 2.500% due 10/31/2013 5,986 Spain Government Bond, 2.500% due 10/31/2013 6,107 Belgium Government Bond, Series 58, 3.750% due 9/28/2020 5,770 Netherlands Government Bond, 3.250% due 7/15/2021 5,925 French Treasury Note, 2.250% due 2/25/2016 5,671 Belgium Government Bond, Series 58, 3.750% due 9/28/2020 5,839 Belgium Government Bond, Series 59, 2.750% due 3/28/2016 5,499 France Government Bond Oat, 3.500% due 4/25/2020 5,657 Bundesrepublik Deutschland, 3.250% due 7/4/2042 5,263 Italy Buoni Poliennali Del Tesoro, 3.750% due 3/1/2021 5,327 Italy Buoni Poliennali Del Tesoro, 5.000% due 9/1/2040 5,025 Bundesobligation, Series 150, 4.000% due 4/13/2012 3,555 Bundesobligation, Series 150, 4.000% due 4/13/2012 4,187 Bundesschatzanweisungen, Series 2, 1.250% due 12/16/2011 3,420 Bundesschatzanweisungen, 1.250% due 12/16/2011 3,401 German Treasury Bill, zero coupon due 12/7/2011 3,409 Spain Government Bond, 4.700% due 7/30/2041 3,294 Spain Government Bond, 4.700% due 7/30/2041 3,392 France Government Bond Oat, 3.250% due 10/25/2021 3,076 U.S. Treasury Bond, 4.750% due 2/15/2041 2,743 U.S. Treasury Bond, 4.750% due 2/15/2041 2,752 Bundesrepublik Deutschland, 5.000% due 7/4/2011 2,693 Bundesrepublik Deutschland, 5.000% due 7/4/2011 2,599 Poland Government Bond, Series 0922, 5.750% due 9/23/2022 2,684

380 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Statement of Major Portfolio Changes – (continued)

Legg Mason Western Asset Diversified Strategic Income Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Bundesobligation, Series 159, 2.000% due 2/26/2016 3,889 U.S. Treasury Note, 2.375% due 2/28/2015 6,296 U.S. Treasury Note, 3.625% due 2/15/2021 1,177 FNMA, 30 Year October TBA, 4.500% due 10/15/2041 2,022 FNMA, 30 Year March TBA, 5.500% due 3/15/2041 847 Bundesrepublik Deutschland, 5.500% due 1/4/2031 989 FNMA, 5.500% due 3/1/2041 834 FNMA, 30 Year March TBA, 5.500% due 3/15/2041 959 Commerzbank AG, 7.750% due 3/16/2021 726 FNMA, 5.500% due 3/1/2041 830 U.S. Treasury Bond, 3.500% due 2/15/2039 652 FNMA, 30 Year August TBA, 6.000% due 8/15/2041 551 FNMA, 30 Year July TBA, 6.000% due 7/15/2041 550 FNMA, 30 Year June TBA, 6.000% due 6/15/2041 551 FNMA, 30 Year September TBA, 6.000% due 9/15/2041 550 FNMA, 30 Year July TBA, 6.000% due 7/15/2041 549 FNMA, 30 Year August TBA, 6.000% due 8/15/2041 549 FNMA, 30 Year May TBA, 6.000% due 5/15/2041 547 FNMA, 30 Year June TBA, 6.000% due 6/15/2041 545 FNMA, 30 Year March TBA, 6.000% due 3/15/2041 543 FNMA, 30 Year April TBA, 6.000% due 4/15/2041 542 FNMA, 30 Year April TBA, 6.000% due 4/15/2041 543 FNMA, 30 Year May TBA, 6.000% due 5/15/2041 542 FNMA, 30 Year September TBA, 6.000% due 9/15/2041 431 FNMA, 30 Year October TBA, 5.000% due 10/15/2041 430 FNMA, 30 Year August TBA, 5.000% due 8/15/2041 429 FNMA, 30 Year September TBA, 5.000% due 9/15/2041 428 FNMA, 30 Year July TBA, 5.000% due 7/15/2041 425 FNMA, 30 Year August TBA, 5.000% due 8/15/2041 424 FNMA, 30 Year June TBA, 5.000% due 6/15/2041 424 FNMA, 30 Year July TBA, 5.000% due 7/15/2041 423 FNMA, 30 Year May TBA, 5.000% due 5/15/2041 422 FNMA, 30 Year June TBA, 5.000% due 6/15/2041 421 FNMA, 30 Year March TBA, 5.000% due 3/15/2041 418 FNMA, 30 Year April TBA, zero coupon due 4/15/2041 417 FNMA, 30 Year April TBA, 5.000% due 4/15/2041 418 FNMA, 30 Year May TBA, 5.000% due 5/15/2041 416 AIG SunAmerica Global Financing VI, 6.300% due 5/10/2011 380 Ineos Group Holdings PLC, 7.875% due 2/15/2016 217 Commerzbank AG, 7.750% due 3/16/2021 282 Legg Mason Global Funds PLC – Western Asset U.S. High Yield Fund 208 NRG Energy, Inc., 7.375% due 2/1/2016 269 Edcon Proprietary Ltd., 4.276% due 6/15/2014 188 Ineos Finance PLC, 9.250% due 5/15/2015 234

Legg Mason Western Asset Global Multi Strategy Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) FNMA Discount Notes, zero coupon due 5/23/2011 59,991 FNMA Discount Notes, zero coupon due 5/23/2011 60,000 FNMA, 5.500% due 7/1/2038 43,197 FNMA, 30 Year October TBA, 4.500% due 10/1/2041 59,495 Legg Mason Global Funds PLC – Western Asset U.S. High Yield Fund 42,822 Commerzbank AG, 7.750% due 3/16/2021 11,885 Bundesobligation, Series 159, 2.000% due 2/26/2016 38,954 Intelsat Jackson Holdings S.A., 11.500% due 6/15/2016 6,388 Commerzbank AG, 7.750% due 3/16/2021 26,533 NRG Energy, Inc., 7.375% due 2/1/2016 6,054 U.S. Treasury Bond, 3.500% due 2/15/2039 24,588 Morgan Stanley, 4.500% due 2/23/2016 5,627 U.S. Treasury Bill, zero coupon due 9/1/2011 19,992 Carlson Wagonlit BV, 6.813% due 5/1/2015 5,523 Malaysia Government Bond, Series 0110, 3.835% due 8/12/2015 10,493 Ineos Finance PLC, 9.250% due 5/15/2015 4,730 Legg Mason Western Asset China Bond Fund, Class M 7,209 Republic Services, Inc., 5.000% due 3/1/2020 4,355 AT&T, Inc., 3.875% due 8/15/2021 6,806 Ally Financial, Inc., 6.625% due 5/15/2012 4,021 Evraz Group S.A., 6.750% due 4/27/2018 5,547 China Forestry Holdings Co. Ltd., 7.750% due 11/17/2015 3,958 Morgan Stanley, 4.375% due 10/12/2016 5,485 Indonesia Government International Bond, 6.625% due 2/17/2037 3,891 Thames Water Kemble Finance PLC, 7.750% due 4/1/2019 5,372 Banco del Estado de Chile, 4.125% due 10/7/2020 3,882 Pertamina PT, 5.250% due 5/23/2021 5,041 Thames Water Utilities Cayman Finance Ltd., 5.375% due 7/21/2025 3,786 Vedanta Resources PLC, 6.750% due 6/7/2016 4,990 Centrais Eletricas Brasileiras S.A., 6.875% due 7/30/2019 3,667 Kabel Deutschland Vertrieb Und Service GmbH & Co Kg, 6.500% due 4,721 Commerzbank AG, 6.375% due 3/22/2019 3,600 6/29/2018 Braskem Finance Ltd., 5.750% due 4/15/2021 3,541 Ineos Group Holdings PLC, 7.875% due 2/15/2016 4,639 U.S. Treasury Bond, 3.125% due 5/15/2021 3,538 Gala Group Finance Ltd., 8.875% due 9/1/2018 4,622 Belden & Blake Corp., 8.750% due 7/15/2012 3,501 Braskem Finance Ltd., 5.750% due 4/15/2021 4,559 The Neiman Marcus Group, Inc., 9.000% due 10/15/2015 3,496 Greif Luxembourg Finance, 7.375% due 7/15/2021 4,559 HCA, Inc., 9.625% due 11/15/2016 3,333 Countrywide Holdings Ltd., 10.000% due 5/8/2018 3,306 Windstream Corp., 7.750% due 10/15/2020 3,174 Sigma Capital Pte Ltd., 9.000% due 4/30/2015 3,009 E.CL S.A., 5.625% due 1/15/2021 2,972

Legg Mason Western Asset US High Yield Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) GMAC Capital Trust I 5,865 Ford Motor Credit Co. LLC, 12.000% due 5/15/2015 5,243 Calpine Corp., 7.875% due 1/15/2023 5,417 CIT Group, Inc., 7.000% due 5/1/2017 4,783 Cengage Learning Acquisitions, Inc., 10.500% due 1/15/2015 4,171 Intelsat Jackson Holdings S.A., 11.500% due 6/15/2016 4,748 SandRidge Energy, Inc., Series 144A, 7.500% due 3/15/2021 3,904 Michaels Stores, Inc., 11.375% due 11/1/2016 4,441 CIT Group, Inc., 7.000% due 5/1/2017 3,380 Calpine Corp., Series 144A, 7.500% due 2/15/2021 4,375 CMA CGM S.A., Series 144A, 8.500% due 4/15/2017 3,309 Bank of America Corp., 8.000% Perpetual 4,348 Intelsat Jackson Holdings S.A., 11.250% due 6/15/2016 3,268 Calpine Corp., Series 144A, 7.875% due 1/15/2023 4,317 Ally Financial, Inc., 8.500% perpetual 3,231 HCA, Inc., 7.875% due 2/15/2020 3,935 Bankrate, Inc., 11.750% due 7/15/2015 3,206 Inmarsat Finance PLC, 7.375% due 12/1/2017 3,905 Dematic S.A., Series 144A, 8.750% due 5/1/2016 3,099 Gulfmark Offshore, Inc., 7.750% due 7/15/2014 3,483

381 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Statement of Major Portfolio Changes – (continued)

Legg Mason Western Asset US High Yield Fund – (continued)

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) International Lease Finance Corp., Series WI, 8.750% due 3/15/2017 3,085 Belden & Blake Corp., 8.750% due 7/15/2012 3,477 Ford Motor Credit Co. LLC, 5.000% due 5/15/2018 2,985 American Greetings Corp., 7.375% due 6/1/2016 3,451 Alliance One International, Inc., 10.000% due 7/15/2016 2,885 Ally Financial, Inc., 8.500% perpetual 3,306 Ford Motor Credit Co LLC, 5.875% due 8/2/2021 2,750 H&E Equipment Services, Inc., 8.375% due 7/15/2016 3,221 CCO Holdings LLC / CCO Holdings Capital Corp., 6.500% due 4/30/2021 2,691 Cablevision Systems Corp., 7.750% due 4/15/2018 3,217 Reynolds Group Issuer, Inc. / Reynolds Group Issuer LLC, 8.500% due 2,660 Ally Financial, Inc., 7.500% due 9/15/2020 3,179 10/15/2016 SandRidge Energy, Inc., Series 144A, 7.500% due 3/15/2021 3,053 Xinergy Corp., Series 144A, 9.250% due 5/15/2019 2,617 Ford Motor Credit Co. LLC, 5.000% due 5/15/2018 2,990 CIT Group, Inc., 7.000% due 5/1/2015 2,394 The AES Corp., 8.000% due 10/15/2017 2,906 Nextel Communications Inc, 6.875% due 10/31/2013 2,394 Chesapeake Energy Corp., 6.625% due 8/15/2020 2,675 United Rentals North America Inc, 10.875% due 6/15/2016 2,392 Building Materials Corp. of America, Series 144A, 6.750% due 5/1/2021 2,255 First Wind Capital LLC, Series 144A, 10.250% due 6/1/2018 2,228 Regal Entertainment Group, 9.125% due 8/15/2018 2,210 American Renal Associates Holdings Inc, 9.750% due 3/1/2016 2,195 Western Asset Liquidity Funds PLC – Western Asset Euro Liquidity Fund, 2,169 Class WA Cinemark USA Inc, 7.375% due 6/15/2021 2,120

Legg Mason Western Asset Emerging Markets Bond Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Mexican Bonos, Series M, 8.000% due 6/11/2020 5,364 Russian Government International Bond, 7.500% due 3/31/2030 3,490 Venezuela Government International Bond, 7.750% due 10/13/2019 3,341 Evraz Group S.A., 8.875% due 4/24/2013 1,576 Evraz Group S.A., 6.750% due 4/27/2018 3,310 Petronas Capital Ltd., 5.250% due 8/12/2019 1,457 Poland Government Bond, Series 0415, 5.500% due 4/25/2015 2,636 Grupo Televisa S.A., 6.625% due 3/18/2025 1,414 Peruvian Government International Bond, 8.750% due 11/21/2033 2,500 Mexico Government International Bond, 5.950% due 3/19/2019 1,404 JPMorgan Chase Bank N.A., 8.250% due 7/17/2021 2,419 HSBC Bank PLC, 2.960% due 8/22/2011 1,218 Russian Government International Bond, 7.500% due 3/31/2030 2,310 Colombia Government International Bond, 7.375% due 9/18/2037 1,178 Poland Government International Bond, 5.125% due 4/21/2021 2,037 Braskem Finance Ltd., Series REGS, 5.750% due 4/15/2021 1,013 Malaysia Government Bond, Series 0110, 3.835% due 8/12/2015 1,705 Brazilian Government International Bond, 4.875% due 1/22/2021 969 Argentina Bonos, 7.000% due 10/3/2015 1,329 Indonesia Government International Bond, Series REGS, 6.875% due 887 Southern Copper Corp., 6.750% due 4/16/2040 1,142 1/17/2018 Braskem Finance Ltd., 7.000% due 5/7/2020 1,037 Peruvian Government International Bond, 8.750% due 11/21/2033 869 Evraz Group S.A., 9.500% due 4/24/2018 1,008 TGI International Ltd., 9.500% due 10/3/2017 853 Braskem Finance Ltd, 5.750% due 4/15/2021 973 Petrobras International Finance Co., 6.750% due 1/27/2041 845 Malaysia Government Bond, Series 1/06, 4.262% due 9/15/2016 846 Venezuela Government International Bond, 1.303% due 4/20/2011 803 Vedanta Resources PLC, 6.750% due 6/7/2016 830 Dolphin Energy Ltd., 5.888% due 6/15/2019 779 Mexico Government International Bond, 5.950% due 3/19/2019 821 Colombia Government International Bond, 7.375% due 3/18/2019 775 Vimpelcom Hldgs, 7.504% due 3/1/2022 799 Centrais Eletricas Brasileiras S.A., 6.875% due 7/30/2019 753 Colombia Government International Bond, 6.125% due 1/18/2041 725 America Movil SAB de CV, 5.625% due 11/15/2017 709 Vale Overseas Ltd., 6.875% due 11/21/2036 696 Ras Laffan Liquefied Natural Gas Co. Ltd. III, 5.500% due 9/30/2014 702 Pertamina Persero PT, 5.250% due 5/23/2021 657 Mexico Government International Bond, 5.125% due 1/15/2020 651 Odebrecht Finance Ltd., 6.000% due 4/5/2023 592 Brazilian Government International Bond, Series A, 8.000% due 1/15/2018 637 Axtel SAB de CV, 9.000% due 9/22/2019 585 Brazilian Government International Bond, 11.000% due 8/17/2040 601 Pemex Project Funding Master Trust, 6.625% due 6/15/2035 555 TNK – BP Finance S.A., 7.500% due 7/18/2016 593 Turkey Government International Bond, 7.500% due 7/14/2017 547 EEB International Ltd., 8.750% due 10/31/2014 591 Colombia Government International Bond, 7.375% due 3/18/2019 540 Vale Overseas Ltd., 6.875% due 11/21/2036 578 Lukoil International Finance BV, 7.250% due 11/5/2019 497 Petroleos Mexicanos, Series WI, 5.500% due 1/21/2021 540 Mexico Government International Bond, 5.125% due 1/15/2020 486 Ras Laffan Liquefied Natural Gas Co. Ltd. III, 6.750% due 9/30/2019 534 AES Gener S.A., 5.250% due 8/15/2021 485 E.CL S.A., 5.625% due 1/15/2021 533 Indonesia Government International Bond, Series REGS, 6.625% due 515 2/17/2037 Mexico Government International Bond, 8.125% due 12/30/2019 503 Net Servicos de Comunicacao S.A., 7.500% due 1/27/2020 493 Grupo Televisa S.A., 6.625% due 1/15/2040 462 Mexico Government International Bond, 6.050% due 1/11/2040 413 Vale Overseas Ltd., 8.250% due 1/17/2034 408 State of Qatar, Series REGS, 4.000% due 1/20/2015 401 Russian Agricultural Bank OJSC Via RSHB Capital S.A., 6.299% due 396 5/15/2017 Ecopetrol S.A., 7.625% due 7/23/2019 361 Odebrecht Finance Ltd., 7.500% due 10/18/2017 334

382 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Statement of Major Portfolio Changes – (continued)

Legg Mason Western Asset Global High Yield Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) GMAC Capital Trust I 7,614 Legg Mason Global Funds PLC – Western Asset 6,922 Evraz Group S.A., 6.750% due 4/27/2018 3,941 Euro High Yield Bond Fund Ally Financial, Inc., 8.500% perpetual 3,533 Evraz Group S.A., 8.875% due 4/24/2013 3,703 Cengage Learning Acquisitions, Inc., 10.500% due 1/15/2015 3,238 Ally Financial, Inc., 8.500% perpetual 3,626 Ford Motor Credit Co LLC, 5.875% due 8/2/2021 3,180 Ford Motor Credit Co. LLC, 12.000% due 5/15/2015 3,081 Texas Competitive Electric Holdings Co LLC Finance Inc, 11.500% due 3,148 Michaels Stores, Inc., 13.000% due 11/1/2016 2,905 10/1/2020 Nielsen Finance LLC / Nielsen Finance Co, 7.750% due 10/15/2018 2,816 First Data Corp., 7.375% due 6/15/2019 2,920 Ardagh Packaging Finance PLC, Series REGS, 9.250% due 10/15/2020 2,571 Windstream Corp., 7.500% due 4/1/2023 2,829 SandRidge Energy, Inc., Series 144A, 7.500% due 3/15/2021 2,556 LBI Media, Inc., Series 144A, 9.250% due 4/15/2019 2,689 Commerzbank AG, 7.750% due 3/16/2021 2,539 Windstream Corp., Series 144A, 7.500% due 4/1/2023 2,477 Ally Financial, Inc., 7.500% due 9/15/2020 2,538 Sandridge Energy Inc, 7.500% due 3/15/2021 2,420 Windstream Corp., Series 144A, 7.500% due 4/1/2023 2,511 Hypermarcas S.A., 6.500% due 4/20/2021 2,413 Ecopetrol S.A., 7.625% due 7/23/2019 2,426 Dematic S.A., Series 144A, 8.750% due 5/1/2016 2,381 H&E Equipment Services, Inc., 8.375% due 7/15/2016 2,341 Commerzbank AG, 7.750% due 3/16/2021 2,357 CIT Group, Inc., 7.000% due 5/1/2017 2,275 Key Energy Services, Inc., 6.750% due 3/1/2021 2,241 Petco Animal Supplies, Inc., Series 144A, 9.250% due 12/1/2018 2,273 HCA Inc, 6.500% due 2/15/2020 2,210 Citigroup, Inc., 8.500% due 5/22/2019 2,205 Syncreon Global Ireland Ltd. / Syncreon Global Finance US, Inc., 9.500% 2,207 MGM Resorts International, 5.875% due 2/27/2014 2,154 due 5/1/2018 Rhodia S.A., Series 144A, 6.875% due 9/15/2020 2,125 Lyondell Chemical Co., 11.000% due 5/1/2018 2,167 Energy Future Holdings Corp., 10.875% due 11/1/2017 2,112 Bankrate Inc/old, 11.750% due 7/15/2015 2,146 Russian Government International Bond, 7.500% due 3/31/2030 2,104 American Renal Associates Holdings, Inc. 9.750% due 3/1/2016 2,127 Vedanta Resources PLC, 6.750% due 6/7/2016 2,110 Building Materials Corp. of America, 6.750% due 5/1/2021 2,071

Legg Mason Western Asset US Short-Term Government Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) FNMA Discount Notes, zero coupon due 12/7/2011 2,599 U.S. Treasury Note, 1.000% due 8/31/2011 10,051 FHLMC Corp. Discount Notes, zero coupon due 1/12/2012 2,598 U.S. Treasury Note, 1.000% due 7/31/2011 2,548 Fannie Mae Discount Note, zero coupon due 2/1/2008 2,504 U.S. Treasury Bill, zero coupon due 6/9/2011 2,535 FNMA, 30 Year April TBA, 6.500% due 4/15/2041 1,922 FNMA, 30 Year April TBA, 6.500% due 4/15/2041 1,922 FNMA, 30 Year June TBA, 5.000% due 6/15/2041 1,791 FNMA, 30 Year June TBA, 5.000% due 6/15/2041 1,798 FNMA, 30 Year April TBA, 5.000% due 4/15/2041 1,673 FNMA, 30 Year April TBA, 5.000% due 4/15/2041 1,672 FNMA, 30 Year July TBA, 5.500% due 7/15/2041 1,407 FHLMC Corp. Discount Notes, Series RB, zero coupon due 5/17/2011 1,650 FNMA, 30 Year July TBA, 5.000% due 7/15/2041 1,162 FNMA, 30 Year July TBA, 5.500% due 7/15/2041 1,410 FNMA, 30 Year May TBA, 5.000% due 5/15/2041 1,145 FNMA, Pool, 6.500% due 5/1/2022 1,378 GNMA, 30 Year July TBA, 4.500% due 7/15/2041 1,057 FNMA, 30 Year July TBA, 5.000% due 7/15/2041 1,162 U.S. Treasury Bond, 3.125% due 5/15/2021 945 FNMA, 30 Year May TBA, 5.000% due 5/15/2041 1,161 FNMA, 30 Year July TBA, 6.000% due 7/15/2041 879 FNMA, 30 Year April TBA, 6.000% due 4/15/2041 1,087 FNMA, 30 Year June TBA, 6.000% due 6/15/2041 875 GNMA, 30 Year July TBA, 4.500% due 7/15/2041 1,058 FNMA, 30 Year April TBA, 6.000% due 4/15/2041 869 FNMA, 30 Year March TBA, 5.500% due 3/15/2041 960 FNMA, 30 Year June TBA, 5.500% due 6/15/2041 752 FNMA, 30 Year July TBA, 6.000% due 7/15/2041 878 GNMA, 30 Year June TBA, 4.500% due 6/15/2041 730 FNMA, 30 Year June TBA, 6.000% due 6/15/2041 877 FNMA, 30 Year April TBA, 4.500% due 4/15/2041 709 FNMA, 30 Year June TBA, 5.500% due 6/15/2041 759 FNCL, 30 Year May TBA, 5.500% due 5/15/2041 639 GNMA, 30 Year June TBA, 4.500% due 6/15/2041 739 FNMA 30 Year June TBA, 4.500% due 6/1/2041 619 FNMA, 30 Year March TBA, 5.000% due 3/15/2041 732 GNMA, 30 Year April TBA, 4.500% due 4/15/2042 616 FNMA, 30 Year April TBA, 4.500% due 4/15/2041 714 GNMA, 30 Year May TBA, 4.500% due 5/15/2042 615 FNCL, 30 Year May TBA, 5.500% due 5/15/2041 646 FNMA, 30 Year October TBA, 6.000% due 10/15/2041 549 GNMA, 30 Year May TBA, 4.500% due 5/15/2041 628 FNMA, 30 Year August TBA, 6.000% due 8/15/2041 549 FNMA 30 Year June TBA, 30 Year June TBA, 4.500% due 6/1/2041 619 FNMA, 30 Year September TBA, 6.000% due 9/15/2041 548 GNMA, 30 Year March TBA, 4.500% due 3/15/2041 618 U.S. Treasury Note, 2.875% due 3/31/2018 509 GNMAl, 30 Year May TBA, 4.500% due 4/15/2041 617 U.S. Treasury Note, 3.625% due 2/15/2021 466 FNMA, 30 Year March TBA, 4.500% due 3/15/2041 610 GNMA, 30 Year September TBA, 4.500% due 9/15/2041 428 FNMA, Pool, 1.934% due 8/1/2034 563 FNMA Pool, 5.500% due 6/1/2038 426 FNMA, 30 Year September TBA, 6.000% due 9/15/2041 550 FNMA, 5.500% due 12/1/2037 426 FNMA, 30 Year August TBA, 6.000% due 8/15/2041 549 GNMA, 30 Year July TBA, 4.500% due 7/15/2041 424 U.S. Treasury Note, 3.625% due 2/15/2021 522 GNMA, 30 Year August TBA, 4.500% due 8/15/2041 424 FHLB, 0.500% due 12/29/2011 501 FNMA, 30 Year March TBA, 5.500% due 3/15/2041 423 GNMA, 30 Year June TBA, 4.500% due 6/15/2041 421 GNMA, 4.500% due 3/20/2041 419 FNCL, 30 Year July TBA, 4.500% due 7/1/2041 413

383 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Statement of Major Portfolio Changes – (continued)

Legg Mason Western Asset US Adjustable Rate Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) FHLB, 0.137% due 10/26/2012 1,000 Bear Stearns Alt A, Trust, Series 2003-SD3, Class A, 0.742% due 1,101 Morgan Stanley, 0.596% due 6/20/2012 603 10/25/2033 FHLMC Corp., 5.750% due 1/15/2012 515 FHLB, 0.137% due 10/26/2012 1,000 General Electric Capital Corp., 1.182% due 12/9/2011 503 FHLMC Corp., 0.372% due 3/9/2011 765 FHLMC Corp., 1.170% due 5/18/2012 501 PNC Funding Corp., 0.583% due 6/22/2011 600 FNMA, 1.560% due 10/19/2012 501 FHLMC Corp., 5.750% due 1/15/2012 514 FHLB, 0.400% due 4/3/2012 500 Citigroup, Inc., 2.125% due 4/30/2012 514 Federal Farm Credit Bank, 0.117% due 8/27/2012 500 General Electric Capital Corp., 1.182% due 12/9/2011 503 Federal Farm Credit Bank, 0.171% due 11/29/2012 500 FHLBs, 0.400% due 4/3/2012 500 FHLMC Corp. Discount Notes, zero coupon due 8/11/2011 500 FHLMC Corp., 0.363% due 4/1/2011 500 FHLMC Corp. Discount Notes, zero coupon due 8/12/2011 500 Federal Farm Credit Bank, 0.601% due 4/27/2011 500 FHLMC Corp., 0.172% due 5/6/2013 500 FHLMC Corp., 1.170% due 5/18/2012 500 International Business Machines Corp., 0.853% due 7/28/2011 451 FNMA, 1.560% due 10/19/2012 500 Wachovia Corp., 0.379% due 10/15/2011 400 FHLMC Corp. Discount Notes, zero coupon due 8/12/2011 500 FHLB, 0.091% due 8/1/2011 400 FHLMC Corp. Discount Notes, zero coupon due 8/11/2011 500 FHLB, 0.090% due 7/11/2011 350 International Business Machines Corp., 0.853% due 7/28/2011 451 Honda Auto Receivables Owner Trust, 0.570% due 7/18/2013 320 Wachovia Corp., 0.379% due 10/15/2011 400 UBS AG/stamford Ct, 1.403% due 2/23/2012 308 FHLB, Series 2, 0.091% due 8/1/2011 400 Berkshire Hathaway Finance Corp., 0.576% due 1/10/2014 301 Bear Stearns Alt-A Trust, Series 2004-10, Class 1A1, 0.942% due 9/25/2034 399 Ally Financial, Inc., 0.246% due 12/19/2012 300 FHLB, 0.090% due 7/11/2011 350 General Electric Capital Corp., 0.609% due 12/21/2012 300 Citigroup Funding, Inc., 0.231% due 5/5/2011 345 U.S. Central Federal Credit Union, 0.250% due 10/19/2011 300 Washington Mutual MSC Mortgage Pass Through Certificates, 332 Nordea Bank Finland PLC, 0.486% due 11/13/2012 300 Series 2002-AR1, Class 1A1, 2.786% due 11/25/2030 Federal Farm Credit Bank, 0.220% due 10/15/2013 300 Structured Asset Securities Corp., Series 2002-8A, Class 7A1, 2.162% due 310 General Electric Capital Corp., 0.419% due 5/8/2013 299 5/25/2032 Sanofi-Aventis S.A., 0.556% due 3/28/2014 281 Bank of America Corp., 1.120% due 12/2/2011 302 The Coca-Cola Co., 0.363% due 5/15/2012 265 Cooperatieve Centrale Raiffeisen-Boerenleenbank BA, 0.510% due 300 Deutsche Bank AG, 0.550% due 1/19/2012 250 8/5/2011 Wachovia Corp., 0.383% due 4/23/2012 250 FHLMC Corp., 0.090% due 11/9/2011 300 General Electric Capital Corp., 0.422% due 7/27/2012 250 Federal Farm Credit Bank, 0.220% due 10/15/2013 299 Abbey National North America, zero coupon due 4/25/2011 250 Macquarie Bank Ltd., 2.600% due 1/20/2012 273 Toyota Finance Australia, zero coupon due 12/28/2011 250 Nordea Bank Finland PLC, Series YCD, 0.603% due 10/14/2011 250 FHLMC Corp., 1.125% due 10/21/2013 200 Abbey National North America, zero coupon due 4/25/2011 250 Credit Agricole Home Loan SFH, 1.002% due 7/21/2014 200 Union Bank N.A., 0.382% due 3/16/2011 250 SLM Student Loan Trust, 0.383% due 1/25/2019 192 Structured Asset Mortgage Investments, Inc., Series AR2, Class A1, 0.632% 225 Federal Farm Credit Bank, 0.198% due 1/25/2013 165 due 12/19/2033 Kreditanstalt Fuer Wiederaufbau, 0.245% due 3/17/2014 160 Structured Asset Securities Corp., Series 16A, Class 1A1, 2.844% due 220 GMAC Mortgage Servicer Advance Funding Co Ltd, 3.720% due 3/15/2023 160 8/25/2032 Wachovia Corp., 0.444% due 8/1/2013 159 Bear Stearns Alt-A Trust, Series 2004-11, Class 1A2, 1.102% due 206 11/25/2034 FHLMC Corp., 1.125% due 10/21/2013 201 General Electric Capital Corp., 0.394% due 4/28/2011 200 GMAC Mortgage Corp. Loan Trust, Series HE1, Class A, 0.471% due 187 11/25/2036 SACO I, Inc., Series 8, Class A1, 0.822% due 11/25/2020 185

Legg Mason Western Asset Inflation Management Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) U.S. Treasury Inflationary Index Note, 0.625% due 4/15/2013 878 U.S. Treasury Inflationary Index Note, 1.875% due 7/15/2015 777 U.S. Treasury Inflationary Index Note, 1.875% due 7/15/2015 636 U.S. Treasury Inflationary Index Note, 1.875% due 7/15/2013 457 French Treasury Note BTAN, 0.450% due 7/25/2016 526 U.S. Treasury Inflationary Index Note, 2.625% due 7/15/2017 429 U.S. Treasury Inflationary Index Note, 2.000% due 1/15/2014 511 U.S. Treasury Inflationary Index Note, 0.625% due 4/15/2013 385 U.S. Treasury Inflationary Index Note, 2.375% due 1/15/2017 498 U.S. Treasury Inflationary Index Bonds, 0.125% due 4/15/2016 359 U.S. Treasury Inflationary Index Bonds, 0.125% due 4/15/2016 494 U.S. Treasury Inflationary Index Note, 2.500% due 7/15/2016 335 U.S. Treasury Inflationary Index Note, 1.125% due 1/15/2021 457 U.S. Treasury Inflationary Index Note, 1.625% due 1/15/2015 299 U.S. Treasury Inflationary Index Bond, 2.375% due 1/15/2025 407 U.S. Treasury Inflationary Index Note, 2.000% due 1/15/2016 248 U.S. Treasury Inflationary Index Note, 1.250% due 4/15/2014 384 U.S. Treasury Inflationary Index Bond, 2.125% due 2/15/2040 196 U.S. Treasury Inflationary Index Bonds, 0.625% due 7/15/2021 338 U.S. Treasury Inflationary Index Bonds, 1.375% due 1/15/2020 195 U.S. Treasury Inflationary Index Note, 1.875% due 7/15/2013 313 U.S. Treasury Inflationary Index Bond, 2.125% due 2/15/2041 173 U.S. Treasury Inflationary Index Bond, 3.625% due 4/15/2028 310 U.S. Treasury Inflationary Index Bond, 1.750% due 1/15/2028 168 U.S. Treasury Inflationary Index Bond, 1.750% due 1/15/2028 291 U.S. Treasury Inflationary Index Bond, 2.375% due 1/15/2025 139 U.S. Treasury Inflationary Index Note, 1.375% due 7/15/2018 249 U.S. Treasury Inflationary Index Note, 2.000% due 1/15/2014 133 U.S. Treasury Inflationary Index Note, 1.625% due 1/15/2015 249 U.S. Treasury Inflationary Index Note, 3.000% due 7/15/2012 132 U.S. Treasury Inflationary Index Bonds, 1.375% due 1/15/2020 194 U.S. Treasury Inflationary Index Bond, 2.000% due 1/15/2026 129 U.S. Treasury Inflationary Index Note, 2.625% due 7/15/2017 182 U.S. Treasury Inflationary Index Bond, 2.500% due 1/15/2029 117

384 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Statement of Major Portfolio Changes – (continued)

Legg Mason Western Asset Inflation Management Fund – (continued)

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) U.S. Treasury Inflationary Index Bond, 3.875% due 4/15/2029 176 U.S. Treasury Inflationary Index Note, 2.125% due 1/15/2019 115 U.S. Treasury Inflationary Index Note, 1.875% due 7/15/2019 175 U.S. Treasury Inflationary Index Note, 1.250% due 4/15/2014 113 U.S. Treasury Inflationary Index Note, 3.375% due 1/15/2012 167 U.S. Treasury Inflationary Index Note, 1.125% due 1/15/2021 109 U.S. Treasury Inflationary Index Note, 1.625% due 1/15/2018 117 U.S. Treasury Inflationary Index Note, 2.000% due 7/15/2014 103 U.S. Treasury Inflationary Index Bond, 2.125% due 2/15/2041 79 U.S. Treasury Inflationary Index Note, 2.375% due 1/15/2017 65

Legg Mason Western Asset Asian Opportunities Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Western Asset Liquidity Funds PLC – Western Asset US Dollar Liquidity Fund, 111,474 Western Asset Liquidity Funds PLC – Western Asset US Dollar Liquidity Fund, 115,419 Class WA Class WA Singapore Government Bond, 2.250% due 6/1/2021 34,164 Singapore Treasury Bill, Series 91, zero coupon due 6/2/2011 13,861 Malaysia Government Bond, Series 0210, 4.012% due 9/15/2017 26,646 Malaysia Government Bond, Series 0509, 3.210% due 5/31/2013 10,947 China Government Bond, 0.600% due 8/18/2014 15,233 POSCO, 5.250% due 4/14/2021 10,283 Korea Hydro & Nuclear Power Co Ltd, 4.750% due 7/13/2021 11,223 Bank of India, 6.250% due 2/16/2021 8,440 India Government Bond, 8.230% due 12/21/2020 10,656 CNOOC Finance 2011 Ltd., 5.750% due 1/26/2041 8,285 India Government Bond, 7.800% due 4/11/2021 10,466 Republic of Indonesia, 4.875% due 5/5/2021 7,842 Hana Bank, 4.000% due 11/3/2016 10,242 Global Logistic Properties Ltd, 3.375% due 5/11/2016 6,758 Legg Mason Western Asset China Bond Fund, Class M 10,000 Sinochem Offshore Capital Co. Ltd., Series HK, 1.800% due 1/18/2014 6,032 POSCO, 5.250% due 4/14/2021 9,908 Korea Hydro & Nuclear Power Co. Ltd., Series REGS, 3.125% due 9/16/2015 5,780 Malaysia Government Bond, Series 1/06, 4.262% due 9/15/2016 9,608 India Treasury Bill, Series 91, zero coupon due 4/29/2011 5,633 Chong Hing Bank Ltd., 6.000% due 11/4/2020 9,291 India Treasury Bill, Series 91, zero coupon due 8/5/2011 5,612 Pttep Canada International Finance Ltd., 5.692% due 4/5/2021 8,300 India Treasury Bill, Series 91, zero coupon due 7/29/2011 5,445 Mega Advance Investments Ltd., Series REGS, 6.375% due 5/12/2041 8,285 India Treasury Bill, Series 91, zero coupon due 4/22/2011 5,417 Bank of Communications Co Ltd/hong Kong, 1.350% due 4/1/2014 8,079 India Government Bond, 8.230% due 12/21/2020 5,333 Indogb 9.5% 07/15/2031, 9.500% due 7/15/2031 8,026 Thailand Government Bond, 3.125% due 12/11/2015 4,877 Republic of Indonesia, 4.875% due 5/5/2021 7,762 Housing Development Finance Corp., zero coupon due 8/24/2011 3,774 Indonesia Government, 9.500% due 7/15/2031 7,433 Korea Electric Power Corp., 3.000% due 10/5/2015 3,769 BNM Sukuk Bhd, 1.790% due 11/22/2011 7,000 Malaysia Government Bond, Series 0507, 3.700% due 5/15/2013 3,686 Malaysia Government Bond, 4.392% due 4/15/2026 6,846 Kia Motors Corp., 3.625% due 6/14/2016 3,587 Global Logistic Properties Ltd, 3.375% due 5/11/2016 6,649 China Development Bank Corp., Series HK, 2.700% due 11/11/2013 3,205 Sun Hung Kai Properties Capital Market Ltd., 4.000% due 11/2/2020 6,648 Bank Negara Malaysia Monetary Notes, Series 1211, zero coupon due 3,110 Korea South Eastpower Co. Ltd., 3.625% due 1/29/2017 6,600 7/21/2011 Bank of China Ltd., 0.970% due 8/27/2012 6,394 Singapore Government Bond, 3.000% due 9/1/2024 5,893 ICICI Bank Ltd., 4.750% due 11/25/2016 5,781 National Agricultural Cooperative Federation, 3.500% due 2/8/2017 5,675 India Treasury Bill, Series 91, zero coupon due 8/5/2011 5,490 India Government Bond, 7.990% due 7/9/2017 5,471 India Treasury Bill, Series 91, zero coupon due 11/11/2011 5,394 India Treasury Bill, Series 91, zero coupon due 7/29/2011 5,308 India Treasury Bill, Series 91, zero coupon due 11/4/2011 5,280 Lotte Shopping Co. Ltd., 3.875% due 4/7/2016 5,066

Legg Mason Western Asset Global Blue Chip Bond Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) U.S. Treasury Note, 3.125% due 5/15/2021 24,165 Terna Rete Elettrica Nazionale SpA, 4.750% due 3/15/2021 21,091 Terna Rete Elettrica Nazionale S.p.A, 4.750% due 3/15/2021 21,078 International Finance Corp., 5.125% due 5/2/2011 20,000 European Investment Bank, 3.875% due 12/15/2011 12,229 U.S. Treasury Note, 2.625% due 8/15/2020 13,658 ABN Amro Bank NV, 4.250% due 4/11/2016 9,589 U.S. Treasury Note, 3.125% due 5/15/2021 12,902 Royal Bank of Scotland PLC, 4.750% due 5/18/2016 5,960 ABN Amro Bank NV, 4.250% due 4/11/2016 9,555 Lloyds TSB Bank PLC, 5.375% due 9/3/2019 5,635 The Royal Bank of Scotland PLC, 5.375% due 9/30/2019 5,970 Enel Finance International S.A., 5.000% due 7/12/2021 5,617 Enel Finance International S.A., 5.000% due 7/12/2021 5,612 Mediobanca S.p.A., 4.625% due 10/11/2016 3,961 Mediobanca S.p.A., 4.625% due 10/11/2016 3,966 LVMH Moet Hennessy Louis Vuitton S.A., 4.000% due 4/6/2018 3,231 LVMH Moet Hennessy Louis Vuitton S.A., 4.000% due 4/6/2018 3,238 Investor AB, 4.500% due 5/12/2023 2,575 Tennet Holding BV, 3.875% due 2/21/2018 2,795 Danske Bank A/S, 3.875% due 4/14/2016 2,439 Investor AB, 4.500% due 5/12/2023 2,589 BP Capital Markets PLC, 4.325% due 12/10/2018 2,218 Wachovia Corp., 5.750% due 2/1/2018 2,217 Occidental Petroleum Corp., 3.125% due 2/15/2022 1,187 Safeway Ltd., 6.000% due 1/10/2017 1,422 Caterpillar Inc, 3.900% due 5/27/2021 1,135 DnB NOR Bank ASA, 4.375% due 2/24/2021 1,188 AT&T, Inc., 3.875% due 8/15/2021 1,120 Vattenfall AB, 6.750% due 1/31/2019 832 International Bank for Reconstruction & Development, 2.000% due 853 Pfizer, Inc., 6.200% due 3/15/2019 720 4/2/2012 Vattenfall AB, 6.250% due 3/17/2021 407

385 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Statement of Major Portfolio Changes – (continued)

Legg Mason Western Asset Brazil Bond Fund^

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Brazil Notas do Tesouro Nacional Series F, 10.000% due 1/1/2021 533 Brazil Notas do Tesouro Nacional, Series F, 10.000% due 1/1/2012 589 Brazil Notas do Tesouro Nacional, Series F, 10.000% due 1/1/2017 428

Legg Mason Western Asset Global Credit Absolute Return Fund^

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Western Asset Euro Liquidity Funds PLC – Western Asset Liquidity Fund, 45,050 Western Asset Liquidity Funds PLC – Western Asset Euro Liquidity Fund, 45,086 Class WA Class WA Commerzbank AG, 7.750% due 3/16/2021 34,263 Commerzbank AG, 7.750% due 3/16/2021 34,565 Lloyds TSB Bank PLC, 6.500% due 3/24/2020 20,718 Lloyds TSB Bank PLC, 6.500% due 3/24/2020 20,942 The Royal Bank of Scotland PLC, 6.934% due 4/9/2018 18,531 The Royal Bank of Scotland PLC, 6.934% due 4/9/2018 18,698 ABN Amro Bank NV, 4.250% due 4/11/2016 15,676 Barclays Bank PLC, 6.625% due 3/30/2022 15,892 Barclays Bank PLC, 6.625% due 3/30/2022 15,659 ABN Amro Bank NV, 4.250% due 4/11/2016 15,619 Casino Guichard Perrachon S.A., 4.726% due 5/26/2021 14,244 U.S. Treasury Note, 2.625% due 8/15/2020 14,967 Societe Fonciere Lyonnaise S.A., 4.625% due 5/25/2016 14,112 Casino Guichard Perrachon S.A., 4.726% due 5/26/2021 14,291 Fiat Industrial Finance Europe S.A., 6.250% due 3/9/2018 13,917 Societe Fonciere Lyonnaise S.A., 4.625% due 5/25/2016 14,175 Allianz Finance II BV, 5.750% due 7/8/2041 13,795 Fiat Industrial Finance Europe S.A., 6.250% due 3/9/2018 13,962 UCB S.A., 7.750% due 3/18/2049 12,958 Allianz Finance II BV, 5.750% due 7/8/2041 13,789 Renault S.A., 4.625% due 5/25/2016 12,851 Ucb S.A., 7.750% due 3/18/2049 13,026 Muenchener Rueckversicherungs AG, 6.000% due 5/26/2041 12,308 Renault S.A., 4.625% due 5/25/2016 12,826 Co-Operative Group Ltd, 5.625% due 7/8/2020 10,481 Muenchener Rueckversicherungs AG, 6.000% due 5/26/2041 12,280 Terna Rete Elettrica Nazionale S.p.A., 4.750% due 3/15/2021 10,368 Co.-Operative Group Ltd., 5.625% due 7/8/2020 10,463 U.S. Treasury Bill, zero coupon due 10/27/2011 10,000 Terna Rete Elettrica Nazionale S.p.A., 4.750% due 3/15/2021 10,331 U.S. Treasury Bill, zero coupon due 12/1/2011 10,000 U.S. Treasury Bill, zero coupon due 8/18/2011 10,000 U.S. Treasury Bill, zero coupon due 11/3/2011 10,000 U.S. Treasury Bill, zero coupon due 4/14/2011 10,000 U.S. Treasury Bill, zero coupon due 11/25/2011 10,000 U.S. Treasury Bill, zero coupon due 4/21/2011 10,000 U.S. Treasury Bill, zero coupon due 6/16/2011 10,000 U.S. Treasury Bill, zero coupon due 5/12/2011 10,000 U.S. Treasury Bill, zero coupon due 10/6/2011 10,000 U.S. Treasury Bill, zero coupon due 5/19/2011 10,000 U.S. Treasury Bill, zero coupon due 9/8/2011 10,000 U.S. Treasury Bill, zero coupon due 5/26/2011 10,000 U.S. Treasury Bill, zero coupon due 8/18/2011 10,000 U.S. Treasury Bill, zero coupon due 6/9/2011 10,000 U.S. Treasury Bill, zero coupon due 9/15/2011 10,000 U.S. Treasury Bill, zero coupon due 6/16/2011 10,000 U.S. Treasury Bill, zero coupon due 11/17/2011 10,000 U.S. Treasury Bill, zero coupon due 6/23/2011 10,000 U.S. Treasury Bill, zero coupon due 9/22/2011 10,000 U.S. Treasury Bill, zero coupon due 7/7/2011 10,000 U.S. Treasury Bill, zero coupon due 10/20/2011 10,000 U.S. Treasury Bill, zero coupon due 7/14/2011 10,000 U.S. Treasury Bill, zero coupon due 10/13/2011 10,000 U.S. Treasury Bill, zero coupon due 7/21/2011 10,000 U.S. Treasury Bill, zero coupon due 9/1/2011 10,000 U.S. Treasury Bill, zero coupon due 8/4/2011 10,000 U.S. Treasury Bill, zero coupon due 8/4/2011 10,000 U.S. Treasury Bill, zero coupon due 8/11/2011 10,000 U.S. Treasury Bill, zero coupon due 7/21/2011 10,000 U.S. Treasury Bill, zero coupon due 9/1/2011 10,000 U.S. Treasury Bill, zero coupon due 8/11/2011 10,000 U.S. Treasury Bill, zero coupon due 4/7/2011 10,000 U.S. Treasury Bill, zero coupon due 6/9/2011 9,999 U.S. Treasury Bill, zero coupon due 6/2/2011 10,000 U.S. Treasury Bill, zero coupon due 7/7/2011 9,999 Pernod-Ricard S.A., 5.000% due 3/15/2017 9,923 U.S. Treasury Bill, zero coupon due 7/14/2011 9,998 U.S. Treasury Note, 3.625% due 2/15/2021 9,476 U.S. Treasury Bill, zero coupon due 6/23/2011 9,998 Lloyds TSB Bank PLC, 4.500% due 9/15/2014 9,365 U.S. Treasury Bill, zero coupon due 6/2/2011 9,997 Mediobanca S.p.A., 4.625% due 10/11/2016 8,641 U.S. Treasury Bill, zero coupon due 5/26/2011 9,997 Western Asset Liquidity Funds PLC – Western Asset Sterling Liquidity Fund, 8,568 Pernod-Ricard S.A., 5.000% due 3/15/2017 9,988 Class WA Lloyds TSB Bank PLC, 4.500% due 9/15/2014 9,352 Svenska Cellulosa AB, 3.625% due 8/26/2016 8,528 U.S. Treasury Note, 3.625% due 2/15/2021 8,813 Hit Finance BV, 5.750% due 3/9/2018 8,308 Western Asset Liquidity Funds PLC – Western Asset Sterling Liquidity Fund, 8,751 GDF Suez, 5.950% due 3/16/2099 8,156 Class WA Barclays Bank PLC, 4.125% due 3/15/2016 8,012 Mediobanca S.p.A., 4.625% due 10/11/2016 8,629 U.S. Treasury Bill, zero coupon due 8/25/2011 8,000 Svenska Cellulosa AB, 3.625% due 8/26/2016 8,516 SKF AB, 3.875% due 5/25/2018 7,864 Hit Finance BV, 5.750% due 3/9/2018 8,276 Valeo S.A., 4.875% due 5/11/2018 7,432 Barclays Bank PLC, 4.125% due 3/15/2016 8,010 Iliad S.A.,4.875% due 6/1/2016 7,083 U.S. Treasury Bill, zero coupon due 9/29/2011 8,000 U.S. Treasury Bill, zero coupon due 8/25/2011 7,999 GDF Suez, 5.950% due 3/16/2099 7,891 SKF AB, 3.875% due 5/25/2018 7,836 Valeo S.A., 4.875% due 5/11/2018 7,383

^ Not authorised in Hong Kong and not available to Hong Kong residents.

386 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Statement of Major Portfolio Changes – (continued)

Legg Mason Western Asset UK£ Core Plus Bond Fund^

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000£) (in 000£) Western Asset Liquidity Funds PLC – Western Asset Sterling Liquidity Fund, 19,768 Western Asset Liquidity Funds PLC – Western Asset Sterling Liquidity Fund, 13,462 Class WA Class WA United Kingdom Gilt, 3.750% due 9/7/2021 13,106 United Kingdom Gilt, 3.750% due 9/7/2020 12,572 United Kingdom Gilt, 4.250% due 12/7/2040 3,473 Norway Government Bond, Series 474, 3.750% due 5/25/2021 5,535 Norway Government Bond, Series 474, 3.750% due 5/25/2021 2,504 United Kingdom Gilt, 4.000% due 1/22/2060 3,197 Poland Government Bond, Series 0922, 5.750% due 9/23/2022 2,448 United Kingdom Gilt, 4.250% due 12/7/2040 3,171 United Kingdom Gilt, 4.000% due 1/22/2060 2,073 Western Asset Liquidity Funds PLC – Western Asset Euro Liquidity Fund, 1,587 Western Asset Liquidity Funds PLC – Western Asset Euro Liquidity Fund, 1,832 Class WA Class WA United Kingdom Gilt, 4.250% due 6/7/2032 1,585 U.S. Treasury Bond, 3.875% due 8/15/2040 996 Legg Maosn Global Fund PLC – Western Asset U.S. High Yield Fund 1,267 United Kingdom Gilt, 3.250% due 12/7/2011 857 U.S. Treasury Bond, 3.875% due 8/15/2040 1,201 Porterbrook Rail Finance Ltd., 5.500% due 4/20/2019 550 United Kingdom Gilt, 4.250% due 12/7/2046 1,024 United Kingdom Gilt, 4.250% due 12/7/2049 548 U.S. Treasury Strip Principal, zero coupon due 5/15/2030 887 Coventry Building Society, 4.625% due 4/19/2018 490 U.S. Treasury Bond, 4.250% due 5/15/2039 841 Legg Mason Global Funds PLC – Western Asset Euro High Yield Bond Fund 473 Poland Government Bond, Series 0922, 5.750% due 9/23/2022 765 Time Warner Cable, Inc., 5.750% due 6/2/2031 448 United Kingdom Gilt, 4.250% due 12/7/2055 752 Western Power Distribution East Midlands PLC, 5.250% due 1/17/2023 438 Aspire Defense Finance PLC, 4.674% due 3/31/2040 521 Co-Operative Group Ltd, 5.625% due 7/8/2020 428 Legg Mason Global Fund PLC – Legg Mason Western Asset Euro High Yield 473 Abbey National Treasury Services PLC, 5.125% due 4/14/2021 419 Bond Fund BAA Funding Ltd., 6.450% due 12/10/2031 396 Thames Water Utilities Finance Ltd., 5.125% due 9/28/2037 396 Yorkshire Building Society, 4.750% due 4/12/2018 349 Scotland Gas Networks PLC, 4.750% due 2/21/2017 372 BAA Funding Ltd, 5.875% due 5/13/2041 305 RSA Insurance Group PLC, 9.375% due 5/20/2039 342 United Kingdom Gilt, 4.250% due 9/7/2039 253

Legg Mason Western Asset Global Core Plus Bond Fund^

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) U.S. Treasury Bond, 3.875% due 8/15/2040 6,312 Italy Buoni Poliennali Del Tesoro, 4.500% due 2/1/2020 5,941 Italy Buoni Poliennali Del Tesoro, 4.500% due 2/1/2020 5,756 U.S. Treasury Note, 2.625% due 11/15/2020 5,767 FNMA, 30 Year March TBA, 5.500% due 3/15/2041 5,293 FNMA, 30 Year March TBA, 5.500% due 3/15/2041 5,328 FNMA, 30 Year June TBA, 6.000% due 6/15/2041 4,812 United Kingdom Gilt, 4.500% due 3/7/2019 4,913 Spain Government Bond, 5.500% due 4/30/2021 4,253 FNMA, 30 Year June TBA, 6.000% due 6/15/2037 4,819 Western Asset Liquidity Funds PLC – Western Asset Euro Liquidity Fund, 3,889 Bundesrepublik Deutschland, Series 09, 3.250% due 1/4/2020 4,021 Class WA FNMA, 30 Year May TBA, 6.000% due 5/15/2041 2,734 Italy Buoni Poliennali Del Tesoro, 5.000% due 9/1/2040 2,938 FNMA, 30 Year March TBA, 6.000% due 3/15/2041 2,716 FNMA, 30 Year April TBA, 6.000% due 4/15/2041 2,709 FNMA, 30 Year April TBA, 6.000% due 4/15/2041 2,714 FNMA, 30 Year May TBA, 6.000% due 5/15/2041 2,708 FNMA, 30 Year September TBA, 5.000% due 9/15/2041 2,692 FNMA, 30 Year October TBA, 5.000% due 10/15/2041 2,686 FNMA, 30 Year August TBA, 5.000% due 8/15/2041 2,680 FNMA, 30 Year September TBA, 5.000% due 9/15/2041 2,672 FNMA, 30 Year July TBA, 5.000% due 7/15/2041 2,659 FNMA, 30 Year August TBA, 5.000% due 8/15/2041 2,652 FNMA, 30 Year June TBA, 5.000% due 6/15/2041 2,651 FNMA, 30 Year July TBA, 5.000% due 7/15/2041 2,642 FNMA, 30 Year May TBA, 5.000% due 5/15/2041 2,638 FNMA, 30 Year June TBA, 5.000% due 6/15/2041 2,629 FNMA, 30 Year March TBA, 5.000% due 3/15/2041 2,615 FNMA, 30 Year April TBA, zero coupon due 4/15/2041 2,605 FNMA, 30 Year April TBA, 5.000% due 4/15/2041 2,611 FNMA, 30 Year May TBA, 5.000% due 5/15/2041 2,603 FNMA, 30 Year August TBA, 5.500% due 8/15/2041 2,608 FNMA, 30 Year September TBA, 5.500% due 9/15/2041 2,601 FNMA, 30 Year September TBA, 5.500% due 9/15/2041 2,607 FNMA, 30 Year July TBA, 5.500% due 7/15/2041 2,594 FNMA, 30 Year June TBA, 5.500% due 6/15/2041 2,601 FNMA, 30 Year August TBA, 5.500% due 8/15/2041 2,591 FNMA, 30 Year July TBA, 5.500% due 7/15/2041 2,596 FNMA, 30 Year June TBA, 5.500% due 6/15/2041 2,590 FNMA, 30 Year September TBA, 4.500% due 9/15/2041 2,540 FNMA 30 Year October TBA, zero coupon due 10/15/2041 2,534 Western Asset Liquidity Funds PLC – Western Asset Euro Liquidity Fund, 2,363 FNMA, 30 Year September TBA, 4.500% due 9/15/2041 2,517 Class WA Japan Government Twenty Year Bond, 1.900% due 6/20/2031 1,853 Queensland Treasury Corp., Series 11G, 6.000% due 6/14/2011 2,225 U.S. Treasury Bill, 1.125% due 12/15/2011 1,771 Japan Government Twenty Year Bond, Series 94, 2.100% due 3/20/2027 1,844 Italy Buoni Poliennali Del Tesoro, 5.250% due 11/1/2029 1,523 U.S. Treasury Bill, 1.125% due 12/15/2011 1,769 United Kingdom Gilt, 4.250% due 12/7/2040 1,509 Poland Government Bond, Series 0922, 5.750% due 9/23/2022 1,724 Bundesrepublik Deutschland, Series 09, 3.250% due 1/4/2020 1,458 Spain Government Bond, 5.500% due 4/30/2021 1,666 FNMA, 5.500% due 11/1/2038 1,013 U.S. Treasury Note, 2.625% due 8/15/2020 1,556 Commerzbank AG, 7.750% due 3/16/2021 997 Japan Government Ten Year Bond, Series 296, 1.500% due 9/20/2018 1,323

Legg Mason Western Asset Global Inflation-Linked Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Western Asset Liquidity Funds PLC – Western Asset Euro Liquidity Fund, 12,977 Western Asset Liquidity Funds PLC – Western Asset Euro Liquidity Fund, 12,915 Class WA Class WA Bundesrepublik Deutschland Inflation Linked, Series I/L, 1.500% due 10,471 U.S. Treasury Inflationary Index Note, 1.625% due 1/15/2015 9,547 4/15/2016 France Government Bond OAT, 1.600% due 7/25/2015 9,185 Italy Buoni Poliennali Del Tesoro, Series CPI, 2.100% due 9/15/2016 8,888 ^ Not authorised in Hong Kong and not available to Hong Kong residents.

387 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Statement of Major Portfolio Changes – (continued)

Legg Mason Western Asset Global Inflation-Linked Fund – (continued)

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Western Asset Liquidity Funds PLC – Western Asset Sterling Liquidity Fund, 8,866 Western Asset Liquidity Funds PLC – Western Asset Sterling Liquidity Fund, 8,829 Class WA Class WA France Government Bond OAT, 1.600% due 7/25/2015 7,572 French Treasury Note BTAN, 0.450% due 7/25/2016 5,453 U.S. Treasury Inflation Indexed Bonds, 0.125% due 4/15/2016 5,937 U.S. Treasury Bill, zero coupon due 11/17/2011 5,125 French Treasury Note BTAN, 0.450% due 7/25/2016 5,333 Bundesrepublik Deutschland Inflation Linked, Series I/L, 1.500% due 4,641 United Kingdom Gilt Inflation Linked, Series 3MO, 1.875% due 11/22/2022 5,149 4/15/2016 United Kingdom Gilt Inflation Linked, Series 3MO, 1.250% due 11/22/2027 4,332 Italy Buoni Poliennali Del Tesoro, 2.100% due 9/15/2016 3,702 U.S. Treasury Inflationary Index Bond, 2.375% due 1/15/2025 4,000 France Government Bond OAT, 1.000% due 7/25/2017 3,409 United Kingdom Gilt Inflation Linked, Series 3MO, 0.625% due 3/22/2040 3,553 Canadian Government Bond, 4.000% due 12/1/2031 3,321 U.S. Treasury Inflationary Index Bond, 3.875% due 4/15/2029 3,009 United Kingdom Gilt Inflation Linked, 6.518% due 7/26/2016 3,263 United Kingdom Gilt Inflation Linked, Series 3MO, 1.250% due 11/22/2055 2,919 U.S. Treasury Inflationary Index Note, 3.375% due 1/15/2012 2,797 U.S. Treasury Inflationary Index Note, 3.375% due 1/15/2012 2,809 United Kingdom Gilt Inflation Linked, 6.370% due 4/16/2020 2,434 U.S. Treasury Inflationary Index Note, 1.625% due 1/15/2015 2,258 U.S. Treasury Inflationary Index Note, 0.625% due 4/15/2013 2,421 Bundesrepublik Deutschland Inflation Linked, 2.250% due 4/15/2013 2,245 France Government Bond OAT, Series OATi, 2.100% due 7/25/2023 2,310 U.S. Treasury Inflationary Index Note, 0.625% due 4/15/2013 2,078 U.S. Treasury Inflationary Index Bond, 3.375% due 4/15/2032 2,234 France Government Bond OAT, Series OATi, 1.000% due 7/25/2017 1,832 United Kingdom Gilt Inflation Linked, Series 3MO, 1.125% due 11/22/2037 2,103 France Government Bond OAT, Series OATe, 2.250% due 7/25/2020 1,655 United Kingdom Gilt Inflation Linked, 5.447% due 7/17/2024 2,103 United Kingdom Gilt Inflation Linked, 6.110% due 8/16/2013 1,647 U.S. Treasury Inflationary Index Bond, 3.625% due 4/15/2028 2,066 U.S. Treasury Inflationary Index Note, 2.375% due 1/15/2017 1,637 U.S. Treasury Inflationary Index Note, 2.375% due 1/15/2017 2,033 France Government Bond OAT, 4.000% due 10/25/2038 1,503 France Government Bond OAT, 4.000% due 10/25/2038 2,011 United Kingdom Gilt Inflation Linked, 6.370% due 4/16/2020 1,195 United Kingdom Gilt Inflation Linked, Series 3MO, 1.250% due 11/22/2055 1,958 U.S. Treasury Inflationary Index Bond, 2.000% due 1/15/2026 1,907 United Kingdom Gilt Inflation Linked, Series 3MO, 1.250% due 11/22/2032 1,904 United Kingdom Gilt Inflation Linked, Series 3MO, 0.750% due 11/22/2047 1,883 U.S. Treasury Inflationary Index Bond, 2.500% due 1/15/2029 1,863 U.S. Treasury Inflationary Index Note, 1.875% due 7/15/2015 1,743 U.S. Treasury Inflationary Index Bond, 2.375% due 1/15/2027 1,682 U.S. Treasury Inflationary Index Note, 2.500% due 7/15/2016 1,656 U.S. Treasury Inflationary Index Bond, 2.125% due 2/15/2040 1,496 United Kingdom Gilt Inflation Linked, 6.497% due 7/22/2030 1,416 Sweden Government Index Linked Bond, Series 3102, 4.000% due 1,393 12/1/2020 United Kingdom Gilt Inflation Linked, Series 8MO, 2.613% due 1/26/2035 1,384 U.S. Treasury Inflationary Index Note, 2.000% due 1/15/2016 1,363

Legg Mason Western Asset UK£ Inflation-Linked Plus Fund^

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000£) (in 000£) Western Asset Liquidity Funds PLC – Western Asset Sterling Liquidity Fund, 11,143 Western Asset Liquidity Funds PLC – Western Asset Sterling Liquidity Fund, 10,183 Class WA Class WA United Kingdom Gilt Inflation Linked, Series 3MO, 1.875% due 11/22/2022 8,621 United Kingdom Gilt Inflation Linked, 6.370% due 4/16/2020 9,584 United Kingdom Gilt Inflation Linked, Series 3MO, 0.625% due 3/22/2040 7,659 United Kingdom Gilt Inflation Linked, Series 8MO, 2.613% due 1/26/2035 5,868 United Kingdom Gilt Inflation Linked, 6.370% due 4/16/2020 7,630 United Kingdom Gilt Inflation Linked, Series 3MO, 1.250% due 11/22/2032 4,561 United Kingdom Gilt Inflation Linked, Series 3MO, 1.250% due 11/22/2027 7,478 United Kingdom Gilt Inflation Linked, 5.447% due 7/17/2024 3,203 United Kingdom Gilt Inflation Linked, Series 3MO, 1.250% due 11/22/2055 5,403 United Kingdom Gilt Inflation Linked, Series 3MO, 1.250% due 11/22/2055 2,721 United Kingdom Gilt Inflation Linked, Series 8MO, 2.613% due 1/26/2035 2,798 United Kingdom Gilt Inflation Linked, 6.497% due 7/22/2030 2,676 United Kingdom Gilt Inflation Linked, Series 3MO, 1.250% due 11/22/2032 2,569 United Kingdom Gilt Inflation Linked, 6.518% due 7/26/2016 2,448 Bundesrepublik Deutschland, 2.250% due 9/4/2020 775 United Kingdom Gilt Inflation Linked, Series 3MO, 1.250% due 11/22/2017 2,427 Western Asset Liquidity Funds PLC – Western Asset Euro Liquidity Fund, 576 United Kingdom Gilt Inflation Linked, Series 3MO, 0.625% due 3/22/2040 2,415 Class WA United Kingdom Gilt Inflation Linked, Series 3MO, 1.125% due 11/22/2037 2,409 United Kingdom Gilt Inflation Linked, Series 3MO, 1.250% due 11/22/2017 28 United Kingdom Gilt Inflation Linked, Series 3MO, 0.750% due 11/22/2047 1,548 FHLMC Corp. Discount Notes, Series RB, zero coupon due 1/10/2012 6 United Kingdom Gilt Inflation Linked, Series 3MO, 1.875% due 11/22/2022 1,548 United Kingdom Gilt Inflation Linked, Series 3MO, 0.500% due 3/22/2050 1,160 United Kingdom Gilt Inflation Linked, Series 3MO, 0.625% due 11/22/2042 1,037 Bundesrepublik Deutschland, 2.250% due 9/4/2020 799 Western Asset Liquidity Funds PLC – Western Asset Euro Liquidity Fund, 520 Class WA U.S. Treasury Inflationary Index Bond, 2.375% due 1/15/2025 517 Citigroup, Inc., 7.375% due 9/4/2019 164 ELM BV for Swiss Reinsurance Co., 5.252% Perpetual 161

^ Not authorised in Hong Kong and not available to Hong Kong residents.

388 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Statement of Major Portfolio Changes – (continued)

Legg Mason Western Asset UK£ Long Duration Fund^

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000£) (in 000£) Western Asset Liquidity Funds PLC – Western Asset Sterling Liquidity Fund, 40,463 Western Asset Liquidity Funds PLC – Western Asset Sterling Liquidity Fund, 33,409 Class WA Class WA United Kingdom Gilt, 3.750% due 9/7/2021 29,232 United Kingdom Gilt, 3.750% due 9/7/2021 17,138 United Kingdom Gilt, 4.250% due 12/7/2040 19,102 United Kingdom Gilt, 4.000% due 1/22/2060 11,585 United Kingdom Gilt, 4.000% due 1/22/2060 12,439 Western Asset Liquidity Funds PLC – Western Asset Euro Liquidity Fund, 10,296 Western Asset Liquidity Funds PLC – Western Asset Euro Liquidity Fund, 10,609 Class WA Class WA United Kingdom Gilt, 4.250% due 12/7/2040 10,010 Netherlands Government Bond, 3.250% due 7/15/2021 9,647 Netherlands Government Bond, 3.250% due 7/15/2021 9,645 United Kingdom Gilt, 4.250% due 3/7/2036 8,797 Bundesobligation, Series 159, 2.000% due 2/26/2016 8,856 Bundesobligation, Series 159, 2.000% due 2/26/2016 8,385 Belgium Government Bond, Series 58, 3.750% due 9/28/2020 7,629 Belgium Government Bond, Series 58, 3.750% due 9/28/2020 7,381 United Kingdom Gilt, 4.250% due 9/7/2039 6,766 Belgium Government Bond, Series 61, 4.250% due 9/28/2021 4,734 Belgium Government Bond, Series 61, 4.250% due 9/28/2021 4,710 U.S. Treasury Bond, 4.750% due 2/15/2041 2,527 United Kingdom Gilt, 3.750% due 9/7/2020 4,582 Commerzbank AG, 7.750% due 3/16/2021 1,369 United Kingdom Gilt, 4.250% due 6/7/2032 3,998 The Royal Bank of Scotland PLC, 6.934% due 4/9/2018 1,342 United Kingdom Gilt, 4.250% due 12/7/2055 3,539 Lloyds TSB Bank PLC, 6.500% due 3/24/2020 985 U.S. Treasury Bond, 4.750% due 2/15/2041 2,874 Barclays Bank PLC, 6.625% due 3/30/2022 877 U.S. Treasury Bond, 3.875% due 8/15/2040 1,934 BAA Funding Ltd., 5.875% due 5/13/2041 668 Commerzbank AG, 7.750% due 3/16/2021 1,395 Co-Operative Group Ltd, 6.250% due 7/8/2026 579 The Royal Bank of Scotland PLC, 6.934% due 4/9/2018 1,364 Time Warner Cable, Inc., 5.750% due 6/2/2031 508 Temasek Financial I Ltd., 5.125% due 7/26/2040 1,289 Western Power Distribution West Midlands PLC, 5.750% due 4/16/2032 494 Lloyds TSB Bank PLC, 6.500% due 3/24/2020 1,001 Telereal Securitisation PLC, 6.165% due 12/10/2031 400 GE Capital UK Funding, 5.875% due 11/4/2020 952

Legg Mason Western Asset Global Credit Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Western Asset Liquidity Funds PLC – Western Asset Euro Liquidity Fund, 13,064 Western Asset Liquidity Funds PLC – Western Asset Euro Liquidity Fund, 11,839 Class WA Class WA ABN Amro Bank NV, 4.250% due 4/11/2016 4,046 ABN Amro Bank NV, 4.250% due 4/11/2016 4,032 Commerzbank AG, 7.750% due 3/16/2021 3,418 International Finance Corp., 5.125% due 5/2/2011 3,650 Lloyds TSB Bank PLC, 6.500% due 3/24/2020 2,293 Commerzbank AG, 7.750% due 3/16/2021 3,504 Muenchener Rueckversicherungs AG, 6.000% due 5/26/2041 2,238 Poland Government Bond, Series 0922, 5.750% due 9/23/2022 2,989 GDF Suez, 5.950% due 3/16/2099 1,754 Lloyds TSB Bank PLC, 6.500% due 3/24/2020 2,318 Mediobanca S.p.A., 4.625% due 10/11/2016 1,698 Muenchener Rueckversicherungs AG, 6.000% due 5/26/2041 2,233 Bundesrepublik Deutschland, 3.000% due 7/4/2020 1,415 Mediobanca S.p.A., 4.625% due 10/11/2016 1,700 The Royal Bank of Scotland PLC, 6.934% due 4/9/2018 1,297 Bundesrepublik Deutschland, 3.000% due 7/4/2020 1,520 Allianz Finance II BV, 5.750% due 7/8/2041 1,242 Norway Government Bond, Series 474, 3.750% due 5/25/2021 1,456 Barclays Bank PLC, 6.625% due 3/30/2022 1,241 The Royal Bank of Scotland PLC, 6.934% due 4/9/2018 1,303 Amcor Ltd., 4.625% due 4/16/2019 1,188 GDF Suez, 5.950% due 3/16/2111 1,247 U.S. Treasury Note, 3.625% due 2/15/2021 1,131 Terna Rete Elettrica Nazionale S.p.A, 4.750% due 3/15/2021 1,044 Western Asset Liquidity Funds PLC – Western Asset Sterling Liquidity Fund, 1,058 Iberdrola Finanzas Sau, 4.625% due 4/7/2017 987 Class WA Commerzbank AG, 6.375% due 3/22/2019 881 Terna Rete Elettrica Nazionale S.p.A, 4.750% due 3/15/2021 1,036 Morgan Stanley, 4.500% due 2/23/2016 864 Danske Bank A/s, 3.875% due 4/14/2016 1,030 Barclays Bank PLC, 6.625% due 3/30/2022 862 Coventry Building Society, 4.625% due 4/19/2018 1,023 Western Asset Liquidity Funds PLC – Western Asset Sterling Liquidity Fund, 856 BP Capital Markets PLC, 4.325% due 12/10/2018 995 Class WA Iberdrola Finanzas Sau, 4.625% due 4/7/2017 985 Bundesrepublik Deutschland, Series 09, 3.250% due 1/4/2020 851 Commerzbank AG, 6.375% due 3/22/2019 842 CNP Assurances, 7.375% due 9/30/2041 849 CNP Assurances, 7.375% due 9/30/2041 801 Barclays Bank PLC, 4.125% due 3/15/2016 818 Barclays Bank PLC, 4.125% due 3/15/2016 789 Barclays Bank PLC, 3.500% due 3/18/2015 810 Yorkshire Building Society, 4.750% due 4/12/2018 729 U.S. Treasury Note, 3.625% due 2/15/2021 800 Hit Finance BV, 5.750% due 3/9/2018 690 JPMorgan Chase & Co., 5.750% due 1/2/2013 784 Abbey National Treasury Services PLC, 4.000% due 4/27/2016 680 Diageo Capital PLC, 4.828% due 7/15/2020 738 Srlev NV, 9.000% due 4/15/2041 605

Legg Mason Western Asset Euro High Yield Fund^

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000E) (in 000E) CMA CGM S.A., 8.875% due 4/15/2019 2,200 Wind Acquisition Finance S.A., 11.750% due 7/15/2013 2,505 Boparan Holdings Ltd., 9.875% due 4/30/2018 2,055 Kabel Deutschland GmbH, 8.274% due 11/19/2014 2,223 Elster Finance BV, 6.250% due 4/15/2018 2,000 Elster Finance BV, 6.250% due 4/15/2018 2,020 Kabel Deutschland Vertrieb Und Service GmbH & Co Kg, 6.500% due 1,870 UPM-Kymmene Oyj, 6.625% due 1/23/2017 1,778 6/29/2018 Stena AB, 7.875% due 3/15/2020 1,579 Ontex IV SA, 9.000% due 4/15/2019 1,846 Heidelberger Druckmaschinen AG, 9.250% due 4/15/2018 1,544 Heidelberger Druckmaschinen AG, 9.250% due 4/15/2018 1,826 Ardagh Glass Group PLC, 10.750% due 3/1/2015 1,528 UCB S.A., 7.750% due 3/18/2049 1,741 Rhodia S.A., 6.875% due 9/15/2020 1,213 ^ Not authorised in Hong Kong and not available to Hong Kong residents.

389 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Statement of Major Portfolio Changes – (continued)

Legg Mason Western Asset Euro High Yield Fund^ – (continued)

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000E) (in 000E) Wind Acquisition Finance S.A., 7.375% due 2/15/2018 1,710 Infinis PLC, 9.125% due 12/15/2014 1,191 Odeon & UCI Finco PLC, 9.000% due 8/1/2018 1,706 Carlson Wagonlit BV, 6.813% due 5/1/2015 1,174 Fiat Industrial Finance Europe S.A., 6.250% due 3/9/2018 1,500 Thomas Cook Group PLC, 7.750% due 6/22/2017 1,119 Sappi Papier Holding GmbH, 6.625% due 4/15/2018 1,476 Countrywide Holdings Ltd., 10.000% due 5/8/2018 1,094 Phones4u Finance PLC, 9.500% due 4/1/2018 1,433 Nordenia Holdings GMBH, 9.750% due 7/15/2017 1,035 Wind Acquisition Finance S.A., 11.750% due 7/15/2013 1,380 Campofrio Food Group S.A., 8.250% due 10/31/2016 1,011 Styrolution GmbH, 7.625% due 5/15/2016 1,340 Edcon Proprietary Ltd., 9.500% due 3/1/2018 960 Musketeer GmbH, 9.500% due 3/15/2021 1,340 Styrolution, 7.625% due 5/15/2016 917 Rhodia S.A., 7.000% due 5/15/2018 1,137 HeidelbergCement Finance BV, 8.500% due 10/31/2019 897 Boats Investments Bv/netherlands, 11.000% due 3/31/2017 1,071 UPC Holding BV, 9.750% due 4/15/2018 896 Greif Luxembourg Finance Sca, 7.375% due 7/15/2021 1,050 R&R Ice Cream PLC, 8.375% due 11/15/2017 859 Crown Newco 3 PLC, 8.875% due 2/15/2019 1,031 Smurfit Kappa Acquisitions, 7.750% due 11/15/2019 852 R&R Ice Cream Ltd., 8.375% due 11/15/2017 1,018 Refresco Group BV, 7.375% due 5/15/2018 846 Foodcorp Pty Ltd, 8.750% due 3/1/2018 980 Kerling PLC, 10.625% due 2/1/2017 841 Conti-Gummi Finance BV, 7.500% due 9/15/2017 973 Eco-Bat Finance PLC, 10.125% due 1/31/2013 816 Boats Investments BV, 8.514% due 12/15/2015 932 AGCO Corp., 6.875% due 4/15/2014 812 Refresco Group BV, 7.375% due 5/15/2018 900 Lyondell Chemical Co., 8.000% due 11/1/2017 806 Gala Group Finance Ltd., 8.875% due 9/1/2018 841 Wind Acquisition Finance S.A., 7.250% due 2/15/2018 802 Pagesjaunes Finance & Co., 8.875% due 6/1/2018 795 Kabel Deutschland GmbH 6.500% due 6/29/2018 801 ISS Financing PLC, 11.000% due 6/15/2014 779 Boparan Holdings Ltd., 9.875% due 4/30/2018 783 Smurfit Kappa Acquisitions, 7.750% due 11/15/2019 765 Telenet Finance III Luxembourg S.C.A., 6.625% due 2/15/2021 765 OI European Group BV, 6.875% due 3/31/2017 758 UCB S.A., 7.750% Perpetual 763 Bombardier, Inc., 6.125% due 5/15/2021 743 Europcar Groupe S.A., 9.375% due 4/15/2018 752 OXEA Finance, 9.625% due 7/15/2017 698 Aguila 3 S.A., 7.875% due 1/31/2018 745 Virgin Media Finance PLC, 8.875% due 10/15/2019 640 ISS Financing PLC, 11.000% due 6/15/2014 742 Campofrio Food Group S.A., 8.250% due 10/31/2016 623 OXEA Finance, 9.625% due 7/15/2017 711 Edcon Proprietary Ltd., 4.276% due 6/15/2014 618 Fiat Industrial Finance Europe S.A., 6.250% due 3/9/2018 689 Alba Group PLC & Co Kg, 8.000% due 5/15/2018 612 Ineos Group Holdings PLC, 7.875% due 2/15/2016 681 Fiat Finance & Trade S.A., 6.125% due 7/8/2014 600 New World Resources NV, 7.875% due 5/1/2018 595 Thomas Cook Group PLC, 7.750% due 6/22/2017 567 Crown Newco 3 PLC, 8.875% due 2/15/2019 583 Corral Petroleum Holdings AB, 13.000% due 9/18/2011 554 Virgin Media Finance PLC, 8.875% due 10/15/2019 558 DFS Furniture Holdings PLC, 9.750% due 7/15/2017 533 Clondalkin Industries BV, 8.000% due 3/15/2014 533 Sunrise Communications Holdings S.A., 8.500% due 12/31/2018 508 Odeon & UCI Finco PLC, 9.000% due 8/1/2018 528 Motors Liquidation Co., 8.375% due 7/5/2033 522 Sensata Technologies BV, 9.000% due 5/1/2016 511 Codere Finance Luxembourg S.A., 8.250% due 6/15/2015 499 Phones4u Finance Plc, 9.500% due 4/1/2018 498

Legg Mason Brandywine Global Fixed Income Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) U.S. Treasury Bond, 4.250% due 11/15/2040 75,549 U.S. Treasury Bond, 5.375% due 2/15/2031 80,618 United Kingdom Gilt, 3.750% due 9/7/2021 43,038 United Kingdom Gilt, 3.750% due 9/7/2021 46,739 U.S. Treasury Bill, zero coupon due 7/26/2012 41,335 U.S. Treasury Bill, zero coupon due 4/7/2011 38,814 U.S. Treasury Bill, zero coupon due 3/8/2012 27,755 U.S. Treasury Bill, zero coupon due 3/8/2012 27,791 Bundesschatzanweisungen, 1.500% due 3/15/2013 22,085 U.S. Treasury Bond, 4.250% due 11/15/2040 25,657 United Kingdom Gilt, 4.250% due 12/7/2040 21,491 United Kingdom Gilt, 4.250% due 3/7/2036 23,253 Poland Government Bond, Series 0922, 5.750% due 9/23/2022 21,323 Sweden Government Bond, Series 1046, 5.500% due 10/8/2012 22,870 Norway Government Bond, Series 470, 6.500% due 5/15/2013 18,156 Bundesschatzanweisungen, 1.500% due 3/15/2013 22,807 Mexican Bonos, Series M 20, 8.500% due 5/31/2029 17,718 Poland Government Bond, Series 1017, 5.250% due 10/25/2017 22,413 United Kingdom Gilt, 4.500% due 3/7/2013 15,653 Norway Government Bond, Series 469, 6.000% due 5/16/2011 19,228 Canadian Government Bond, 2.000% due 9/1/2012 11,143 U.S. Treasury Bond, 4.500% due 5/15/2038 14,531 South Africa Government Bond, Series R208, 6.750% due 3/31/2021 10,181 Canadian Government Bond, 6.000% due 6/1/2011 11,190 Korea Treasury Bond, 3.000% due 12/10/2013 5,253 Malaysia Government Bond, Series 1/01, 3.833% due 9/28/2011 6,778 Korea Treasury Bond, Series 1809, 5.750% due 9/10/2018 5,313 United Kingdom Gilt, 4.000% due 9/7/2016 3,115 U.S. Treasury Bond, 3.875% due 8/15/2040 3,048 Mexican Bonos, Series M 20, 8.500% due 5/31/2029 2,301

Legg Mason Brandywine Global Opportunistic Fixed Income Fund^

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) U.S. Treasury Bond, 4.250% due 11/15/2040 3,074 United Kingdom Gilt, 3.750% due 9/7/2021 2,120 U.S. Treasury Bill, zero coupon due 5/3/2012 2,661 U.S. Treasury Bill, zero coupon due 5/3/2012 1,713 United Kingdom Gilt, 3.750% due 9/7/2021 1,952 U.S. Treasury Bond, 4.250% due 11/15/2040 1,197 ^ Not authorised in Hong Kong and not available to Hong Kong residents.

390 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Statement of Major Portfolio Changes – (continued)

Legg Mason Brandywine Global Opportunistic Fixed Income Fund^ – (continued)

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Mexican Bonos, Series M 20, 8.500% due 5/31/2029 1,439 United Kingdom Gilt, 4.250% due 3/7/2036 1,089 United Kingdom Gilt, 4.250% due 12/7/2040 975 Poland Government Bond, Series 1017, 5.250% due 10/25/2017 882 Norway Government Bond, Series 470, 6.500% due 5/15/2013 927 New Zealand Government Bond, Series 415, 6.000% due 4/15/2015 519 New South Wales Treasury Corp., Series 16, 6.000% due 4/1/2016 887 WaMu Mortgage Pass Through Certificates, Series AR12, 2.724% due 386 Poland Government Bond, Series 0922, 5.750% due 9/23/2022 841 10/25/2035 United Kingdom Gilt, 4.250% due 3/7/2036 821 U.S. Treasury Bond, 5.375% due 2/15/2031 286 Canadian Government Bond, 2.000% due 9/1/2012 802 Wells Fargo Mortgage Backed Securities Trust, Series 13, 6.000% due 270 Korea Treasury Bond, Series 1312, 3.000% due 12/10/2013 794 9/25/2037 Malaysia Government Bond, Series 3/03, 3.702% due 2/25/2013 788 Sweden Government Bond, Series 1046, 5.500% due 10/8/2012 250 United Kingdom Gilt, 4.500% due 3/7/2013 715 Norway Government Bond, Series 469, 6.000% due 5/16/2011 227 Poland Government Bond, Series 1017, 5.250% due 10/25/2017 680 JPMorgan Mortgage Trust, Series A4, 5.767% due 6/25/2036 214 South Africa Government Bond, Series R208, 6.750% due 3/31/2021 601 Wells Fargo Mortgage Backed Securities Trust, 5.617% due 4/25/2036 195 New Zealand Government Bond, Series 423, 5.500% due 4/15/2023 508 U.S. Treasury Bond, 3.875% due 8/15/2040 152 Indonesia Treasury Bond, Series FR44, 10.000% due 9/15/2024 500 Wells Fargo Mortgage Backed Securities Trust, Series J, 2.782% due 147 Hungary Government Bond, Series 16/C, 5.500% due 2/12/2016 435 7/25/2034 Wamu Mortgage Pass Through Certificates, 2.724% due 10/25/2035 380 Master Resecuritization Trust, Series 4, 6.000% due 6/27/2036 140 The Goldman Sachs Group, Inc., 6.750% due 10/1/2037 369 Banc of America Mortgage Securities, Inc., Series L, 2.905% due 1/25/2034 118 Cisco Systems, Inc., 5.900% due 2/15/2039 360 Wells Fargo Mortgage Backed Securities Trust, Series 11, Class A96, 6.000% 89 General Electric Capital Corp., 0.883% due 6/2/2014 360 due 8/25/2037 Fifth Third Bancorp., 8.250% due 3/1/2038 346 RBSGC Mortgage Pass Through Certificates, Series B, 6.000% due 79 Viacom, Inc., 6.875% due 4/30/2036 343 6/25/2037 New Zealand Government Bond, Series 415, 6.000% due 4/15/2015 339 AT&T, Inc., 6.400% due 5/15/2038 59 Poland Government Bond, Series 1020, 5.250% due 10/25/2020 327 New South Wales Treasury Corp., Series 19, 6.000% due 4/1/2019 327 Municipal Electric Authority of Georgia, 6.637% due 4/1/2057 317 Time Warner Cable, Inc., 7.300% due 7/1/2038 290 Wells Fargo Mortgage Backed Securities Trust, 6.000% due 9/25/2037 269 Queensland Treasury Corp., Series 20, 6.250% due 2/21/2020 265

Legg Mason Western Asset Brazil Equity Fund^

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Even Construtora E Incorporadora S.A. 343 Brookfield Incorporacoes S.A. 313 Braskem S.A., Class A 259 Cielo S.A. 258 HRT Participacoes em Petroleo S.A. 232 Cia Energetica do Ceara, Class A 256 Banco ABC Brasil S.A. 222 Tim Participacoes S.A. 251 Bradespar S.A. 217 AES Tiete S.A. 240 Industrias Romi S.A. 206 Gerdau S.A. 198 Brookfield Incorporacoes S.A. 196 Bematech S.A. 193 Cosan SA Industria e Comercio 184 Even Construtora E Incorporadora S.A. 189 Cia Ferro Ligas da Bahia – Ferbasa 147 Cia Siderurgica Nacional S.A. 123 Magnesita Refratarios S.A. 99 Cosan SA Industria e Comercio 89 Itau Unibanco Holding S.A. 88 Valid Solucoes E Servicos De Seguranca Em Meios De 80 Banco do Brasil S.A. 69 Pagamento E Identificacao S.A Vale S.A., Class A 34 Saraiva S.A. Livreiros Editores 56 Tim Participacoes S.A. 33 Confab Industrial S.A. 46 Braskem S.A., Class A 25 Sao Paulo Alpargatas S.A. 34 Confab Industrial S.A. 25 Cia Energetica do Ceara, Class A 23 Banco do Brasil S.A. 16 Petroleo Brasileiro S.A. 12 Tegma Gestao Logistica 7 Iochpe-Maxion S.A. 3

Legg Mason Capital Management Value Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Apple, Inc. 12,885 The AES Corp. 25,750 The Procter & Gamble Co. 10,930 Capital One Financial Corp. 13,624 Target Corp. 8,222 Gilead Sciences, Inc. 13,000 Philip Morris International, Inc. 7,605 International Business Machines Corp. 11,590 CVS Caremark Corp. 7,364 The Goldman Sachs Group, Inc. 11,008 Chevron Corp. 7,185 NYSE Euronext 10,673 Annaly Capital Management, Inc. 7,102 Hewlett-Packard Co. 10,002 Teva Pharmaceutical Industries Ltd., ADR 6,099 Texas Instruments, Inc. 9,553 Abbott Laboratories 5,733 Time Warner, Inc. 9,534 BlackRock, Inc. 5,100 Merck & Co., Inc. 9,180 Celgene Corp. 5,008 Qualcomm, Inc. 8,952 Norfolk Southern Corp. 4,433 General Electric Co. 8,652 ^ Not authorised in Hong Kong and not available to Hong Kong residents.

391 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Statement of Major Portfolio Changes – (continued)

Legg Mason Capital Management Value Fund – (continued)

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) PNC Financial Services Group, Inc. 4,131 Bank of America Corp. 8,494 General Motors Co. 3,951 eBay, Inc. 8,472 United Technologies Corp. 3,117 ConocoPhillips 7,759 Medtronic, Inc. 1,746 Aetna, Inc. 7,583 MetLife, Inc. 1,355 BP PLC, ADR 7,459 United Continental Holdings, Inc. 1,102 JPMorgan Chase & Co. 7,277 Pfizer, Inc. 1,058 Research In Motion Ltd. 7,207 Microsoft Corp. 881 Mastercard, Inc., Class A 7,203 Amazon.Com, Inc. 6,935 UnitedHealth Group, Inc. 6,854 Aflac, Inc. 6,568 Wells Fargo & Co. 6,565 Citigroup, Inc. 6,421 Wal-Mart Stores, Inc. 5,990 American Express Co. 5,884 Transocean Ltd. 5,497 Microsoft Corp. 5,265 Apple, Inc. 5,163 Cisco Systems, Inc. 5,133 EMC Corp. 5,110 General Motors Co. 5,042 Intel Corp. 4,650 Eastman Kodak Co. 4,472 Yum! Brands, Inc. 4,092 United Continental Holdings, Inc. 4,044 The Procter & Gamble Co. 3,840 PepsiCo, Inc. 3,654

Legg Mason Capital Management Growth Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) F5 Networks, Inc. 2,202 American Express Co. 2,029 Consol Energy, Inc. 1,439 Texas Instruments, Inc. 1,751 Southwest Airlines Co. 1,424 Wells Fargo & Co. 1,540 Schlumberger Ltd. 1,180 Nalco Holding Co. 1,430 Myriad Genetics, Inc. 1,133 Halliburton Co. 911 eBay, Inc. 1,126 Cisco Systems, Inc. 585 BlackRock, Inc. 972 Medtronic, Inc. 507 Apple, Inc. 902 Amazon.Com, Inc. 494 EMC Corp. 809 Nuance Communications, Inc. 450 Celgene Corp. 667 EMC Corp. 433 Nabors Industries Ltd. 651 Microsoft Corp. 418 The Charles Schwab Corp. 612 3M Co. 373 Medtronic, Inc. 595 The Procter & Gamble Co. 227 First Solar, Inc. 594 PepsiCo, Inc. 214 Adobe Systems, Inc. 539 Monsanto Co. 103 Rackspace Hosting, Inc. 534 Abbott Laboratories 92 Cisco Systems, Inc. 451 Lowe’s Cos., Inc. 26 Red Hat, Inc. 394 Johnson & Johnson 24 Abbott Laboratories 392 Quanta Services, Inc. 10 Autodesk, Inc. 376 Qualcomm, Inc. 6 Monsanto Co. 295 Diageo PLC, ADR 258 Microsoft Corp. 256

Legg Mason Capital Management Opportunity Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Microsoft Corp. 2,502,167 Ellington Financial LLC 23,646,658 Intel Corp. 2,253,720 Ares Capital Corp. 11,245,921 General Motors Co. 1,201,846 Solar Capital Ltd. 8,508,582 Supervalu, Inc. 1,148,086 Apollo Investment Corp. 5,499,602 Apollo Global Management LLC 1,012,185 The AES Corp. 4,405,696 KB Home 873,520 XL Group PLC 3,664,861 HewlettPackard Co. 846,638 Micron Technology, Inc. 3,220,140 Myriad Genetics, Inc. 832,683 Assured Guaranty Ltd. 2,542,029

392 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Statement of Major Portfolio Changes – (continued)

Legg Mason Capital Management Opportunity Fund – (continued)

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Pulte Group, Inc. 830,270 Expedia, Inc. 2,422,942 Xerox Corp. 798,336 Sprint Nextel Corp. 2,307,099 Invesco Mortgage Capital, Inc. 739,747 United Continental Holdings, Inc. 1,951,970 American Capital Agency Corp. 688,389 CA, Inc. 1,949,936 Monster Worldwide, Inc. 637,777 NII Holdings, Inc. 1,809,281 Annaly Capital Management, Inc. 616,000 Hartford Financial Services Group, Inc. 1,687,268 Genworth Financial, Inc., Class A 599,706 MGM Resorts International 1,490,099 American Capital Mortgage Investment Corp. 590,307 HewlettPackard Co. 1,360,328 The AES Corp. 532,672 Citigroup, Inc. 1,291,987 MGIC Investment Corp. 529,812 MEMC Electronic Materials, Inc. 1,217,683 CIGNA Corp. 505,254 DG FastChannel, Inc. 1,181,862 Seagate Technology PLC 495,292 Abitibibowater Inc 1,157,296 Teva Pharmaceutical Industries Ltd., ADR 434,818 Solar Capital Ltd. 1,058,640 Synovus Financial Corp. 391,545 Genworth Financial, Inc., Class A 1,016,987 Market Leader, Inc. 380,596 Lennar Corp., Class A 347,007 Amazon.Com, Inc. 340,969 Boyd Gaming Corp. 306,951 BG Medicine, Inc. 304,997 Integrated Device Technology, Inc. 267,289 Pandora A/S 261,960 Assured Guaranty Ltd. 258,653

Legg Mason ClearBridge US Appreciation Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) MetLife, Inc. 2,010 PetroHawk Energy Corp. 2,686 Aetna, Inc. 1,599 VeriSign, Inc. 1,831 Apple, Inc. 1,540 Cablevision Systems Corp., Class A 1,807 Chevron Corp. 1,497 Intel Corp. 1,494 Qualcomm, Inc. 1,396 Chimera Investment Corp. 1,417 TJX Cos., Inc. 1,378 Johnson Controls, Inc. 1,372 Target Corp. 1,346 The Charles Schwab Corp. 1,367 Comcast Corp., Class A 1,280 AmerisourceBergen Corp. 1,285 Lincoln National Corp. 1,229 Staples, Inc. 1,284 GlaxoSmithKline PLC, ADR 1,201 Norfolk Southern Corp. 1,130 Berkshire Hathaway, Inc., Class A 1,189 Tyco International Ltd. 1,104 US Bancorp 1,182 El Paso Corp. 1,073 Halliburton Co. 1,151 Bank of America Corp. 1,028 ConocoPhillips 1,135 Petroleo Brasileiro S.A., ADR 967 PACCAR, Inc. 1,126 McDermott International, Inc. 915 The Travelers Cos, Inc. 1,123 PACCAR, Inc. 908 JPMorgan Chase & Co. 1,096 Amazon.Com, Inc. 904 eBay, Inc. 1,010 ASML Holding NV 904 AT&T, Inc. 1,002 Citigroup, Inc. 884 The Walt Disney Co. 971 Celanese Corp., Series A 879 International Paper Co. 925 Spectra Energy Corp. 855 Exxon Mobil Corp. 864 International Paper Co. 795 Microsoft Corp. 815 Waste Management, Inc. 743 Warner Chilcott PLC, Class A 806 Exxon Mobil Corp. 734 Temple-Inland, Inc. 778 Warner Chilcott PLC, Class A 721 PPG Industries, Inc. 778 The Travelers Cos, Inc. 657 Celanese Corp., Series A 763 The Goldman Sachs Group, Inc. 639 Xerox Corp. 719 SPDR Gold Shares 604 United Parcel Service, Inc., Class B 685 Wal-Mart Stores, Inc. 591 Potash Corp. of Saskatchewan, Inc. 672 Xerox Corp. 580 Citigroup, Inc. 664 Texas Instruments, Inc. 577 Human Genome Sciences, Inc. 657 Kraft Foods, Inc., Class A 532 News Corp., Class A 653 Cisco Systems, Inc. 506 Apache Corp. 646 Juniper Networks, Inc. 486 Visa, Inc., Class A 639 Teva Pharmaceutical Industries Ltd., ADR 478 Kimberly-Clark Corp. 637 Marcus Corp. 468 Merck & Co., Inc. 633 NetApp, Inc. 444

393 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Statement of Major Portfolio Changes – (continued)

Legg Mason ClearBridge US Fundamental Value Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Annaly Capital Management, Inc. 1,401 The Bank of New York Mellon Corp. 2,640 Symantec Corp. 1,347 McDermott International, Inc. 2,356 Southwestern Energy Co. 887 Halliburton Co. 2,261 Allied World Assurance Co. Holdings Ltd. 826 Parker Hannifin Corp. 1,900 Citigroup, Inc. 766 The Babcock & Wilcox Co. 1,613 Cisco Systems, Inc. 762 Samsung Electronics Co. Ltd., GDR 1,527 Greenhill & Co., Inc. 699 Baker Hughes, Inc. 1,292 First Republic Bank/San Francisco CA 665 Lawson Software, Inc. 1,185 Microsoft Corp. 642 Telefonaktiebolaget LM Ericsson, ADR 806 Oshkosh Corp. 478 Bank of America Corp. 742 Apache Corp. 333 Huntington Ingalls Industries, Inc. 255 JPMorgan Chase & Co. 299 JPMorgan Chase & Co. 109 Plantronics, Inc. 296 Texas Instruments, Inc. 87 Applied Materials, Inc. 225 eBay, Inc. 84 Valence Technology, Inc. 163 Hess Corp. 82 Home Depot, Inc. 80 The Walt Disney Co. 76 Safeway, Inc. 74 Morgan Stanley 73 Deere & Co. 72

Legg Mason ClearBridge US Large Cap Growth Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Comcast Corp., Special Class A 958 First Solar, Inc. 1,095 United Parcel Service, Inc., Class B 809 The Coca-Cola Co. 811 Eaton Corp. 761 Amazon.Com, Inc. 793 Intuit, Inc. 542 NVIDIA Corp. 784 NIKE, Inc., Class B 529 The Procter & Gamble Co. 722 Cameron International Corp. 503 PepsiCo, Inc. 678 Broadcom Corp., Class A 469 CVS Caremark Corp. 625 Qualcomm, Inc. 445 The Nasdaq OMX Group 573 Deere & Co. 416 Celgene Corp. 524 Apple, Inc. 344 Google, Inc., Class A 474 Halliburton Co. 327 Akamai Technologies, Inc. 473 Human Genome Sciences, Inc. 292 Red Hat, Inc. 466 CME Group, Inc. 267 The Walt Disney Co. 441 Apache Corp. 214 Amgen, Inc. 417 Amazon.Com, Inc. 193 The Charles Schwab Corp. 399 Microsoft Corp. 191 Berkshire Hathaway, Inc., Class A 355 NetApp, Inc. 189 BlackRock, Inc. 341 eBay, Inc. 134 Home Depot, Inc. 317 Google, Inc., Class A 131 Biogen Idec, Inc. 303 General Electric Co. 122 eBay, Inc. 299 The Coca-Cola Co. 119 Juniper Networks, Inc. 294 Celgene Corp. 115 General Electric Co. 289 Visa, Inc., Class A 113 Thermo Fisher Scientific, Inc. 285 Thermo Fisher Scientific, Inc. 105 Visa, Inc., Class A 280 PepsiCo, Inc. 104 Monsanto Co. 277 Schlumberger Ltd. 245 Microsoft Corp. 234 Bed Bath & Beyond, Inc. 146

Legg Mason ClearBridge US Aggressive Growth Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Fluor Corp. 5,323 Genzyme Corp. 5,331 Anadarko Petroleum Corp. 5,073 Vertex Pharmaceuticals, Inc. 4,373 Human Genome Sciences, Inc. 3,841 National Oilwell Varco, Inc. 3,641 Citrix Systems, Inc. 3,294 SanDisk Corp. 3,166 Cablevision Systems Corp., Class A 2,701 FreeportMcMoRan Copper & Gold, Inc., Class B 2,440 Broadcom Corp., Class A 2,076

394 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Statement of Major Portfolio Changes – (continued)

Legg Mason ClearBridge US Aggressive Growth Fund – (continued)

MAJOR PURCHASES COST (in 000$) Cree, Inc. 2,074 Nucor Corp. 2,040 Forest Laboratories, Inc. 1,943 UnitedHealth Group, Inc. 1,941 Autodesk, Inc. 1,669 Comcast Corp., Special Class A 1,521 Amgen, Inc. 1,371 Dolby Laboratories, Inc., Class A 1,070 Pall Corp. 655 DirecTV, Class A 648

Legg Mason Royce US Small Cap Opportunity Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Skechers U.S.A., Inc., Class A 2,198 Dillard’s, Inc., Class A 2,545 Delta Apparel, Inc. 2,104 California Pizza Kitchen, Inc. 2,207 Key Energy Services, Inc. 1,933 Basic Energy Services, Inc. 2,101 Ameresco, Inc. 1,677 SunPower Corp., Class B 1,799 Callaway Golf Co. 1,548 Gerber Scientific, Inc. 1,751 Formfactor, Inc. 1,431 Temple-Inland, Inc. 1,706 Quaker Chemical Corp. 1,379 S1 Corp. 1,668 Ethan Allen Interiors, Inc. 1,368 Kendle International, Inc. 1,613 Benchmark Electronics, Inc. 1,344 SM Energy Co. 1,610 Unifi, Inc. 1,233 Haynes International, Inc. 1,423 Harman International Industries, Inc. 1,161 Heidrick & Struggles International, Inc. 1,349 Winn-Dixie Stores, Inc. 1,132 Patterson-UTI Energy, Inc. 1,340 Alpha & Omega Semiconductor Ltd. 1,115 TomoTherapy, Inc. 1,200 Novellus Systems, Inc. 1,079 Robbins & Myers, Inc. 1,199 Penn Virginia Corp. 1,073 ICF International, Inc. 1,180 Solutia, Inc. 1,041 Rowan Cos., Inc. 1,172 Commercial Metals Co. 1,025 Varian Semiconductor Equipment Associates, Inc. 1,163 Ferro Corp. 1,011 Accuray, Inc. 1,160 Aspen Technology, Inc. 1,006 Novellus Systems, Inc. 1,159 Mindspeed Technologies, Inc. 1,000 Carpenter Technology Corp. 1,097 Piper Jaffray Cos. 1,063 AXT, Inc. 1,044 Pioneer Drilling Co. 1,040 Atlas Air Worldwide Holding, Inc. 1,029 Kulicke & Soffa Industries, Inc. 1,007 Smurfit-Stone Container Corp. 957 PharMerica Corp. 917 Cray, Inc. 891 Mentor Graphics Corp. 829 KBW, Inc. 750 SVB Financial Group 745

Legg Mason Royce Smaller Companies Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Robert Half International, Inc. 11,656 Varian Semiconductor Equipment Associates, Inc. 17,715 Federated Investors, Inc., Class B 11,112 The Timberland Co., Class A 6,990 LSB Industries, Inc. 11,089 Endo Pharmaceuticals Holdings, Inc. 4,721 Rofin-Sinar Technologies, Inc. 10,514 SRA International, Inc., Class A 4,285 Reliance Steel & Aluminum Co. 10,318 Hormel Foods Corp. 4,196 FEI Co. 10,225 TMX Group, Inc. 4,024 Teradyne, Inc. 10,181 Allied Nevada Gold Corp. 3,499 The Warnaco Group, Inc. 9,810 Trican Well Service Ltd. 3,497 Arkansas Best Corp. 9,757 Questcor Pharmaceuticals, Inc. 3,290 Teledyne Technologies, Inc. 9,136 Aeropostale, Inc. 2,973 Ashmore Group PLC 9,111 MAXIMUS, Inc. 2,961 Aixtron AG 8,603 Kirby Corp. 2,901 Columbus McKinnon Corp. 8,570 Gardner Denver, Inc. 2,746 Netscout Systems, Inc. 8,542 Oil States International, Inc. 2,591 Novellus Systems, Inc. 8,008 Sigma Designs, Inc. 2,439 Valmont Industries, Inc. 7,939 Coach, Inc. 2,194 Sims Metal Management Ltd., ADR 7,939 Partners Group Holding AG 1,934

395 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Statement of Major Portfolio Changes – (continued)

Legg Mason Royce Smaller Companies Fund – (continued)

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) GrafTech International Ltd. 7,783 The Men’s Wearhouse, Inc. 1,917 Trican Well Service Ltd. 7,759 Randgold Resources Ltd., ADR 1,793 Pan American Silver Corp. 7,681 Teradyne, Inc. 1,514 Nu Skin Enterprises, Inc., Class A 7,662 The Buckle, Inc. 1,329 Brown & Brown, Inc. 7,551 Fossil, Inc. 1,321 Intrepid Potash, Inc. 7,429 Novellus Systems, Inc. 1,307 HEICO Corp., Class A 6,983 Coherent, Inc. 1,191 SEI Investments Co. 6,935 Cintas Corp. 1,136 Veeco Instruments, Inc. 6,739 Westlake Chemical Corp. 965 Adtran, Inc. 6,735 Columbia Sportswear Co. 6,488 Thor Industries, Inc. 6,390 Shawcor Ltd. 6,286 VCA Antech, Inc. 6,204 ATMI, Inc. 6,089 Total System Services, Inc. 6,078 Pico Holdings, Inc. 6,059 Sprott, Inc. 5,963 Unit Corp. 5,915 Dolby Laboratories, Inc., Class A 5,898 Bio-Rad Laboratories, Inc. 5,879 Affiliated Managers Group, Inc. 5,861 Fairchild Semiconductor International, Inc. 5,835 Allied Nevada Gold Corp. 5,682 Knight Capital Group, Inc., Class A 5,575 Value Partners Group Ltd. 5,527 MSC Industrial Direct Co., Class A 5,490 Wabtec Corp. 5,372 GameStop Corp., Class A 5,341 Artio Global Investors, Inc. 5,301

Legg Mason Royce Smaller Companies Fund II^

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Reliance Steel & Aluminum Co. 3,167 Allied Nevada Gold Corp. 2,143 The Warnaco Group, Inc. 3,107 Trican Well Service Ltd. 1,897 Trican Well Service Ltd. 3,049 The Warnaco Group, Inc. 1,215 Federated Investors, Inc., Class B 2,986 Oil States International, Inc. 1,126 Allied Nevada Gold Corp. 2,922 The Timberland Co., Class A 1,089 Sims Metal Management Ltd., ADR 2,612 Ashmore Group PLC 1,080 Ashmore Group PLC 2,538 Teradyne, Inc. 1,056 GrafTech International Ltd. 2,436 Nu Skin Enterprises, Inc., Class A 952 Teradyne, Inc. 2,404 Novellus Systems, Inc. 948 Robert Half International, Inc. 2,394 Knight Capital Group, Inc., Class A 936 Novellus Systems, Inc. 2,284 Kirby Corp. 915 Pan American Silver Corp. 2,190 Reliance Steel & Aluminum Co. 893 Rofin-Sinar Technologies, Inc. 2,175 MAXIMUS, Inc. 860 Total System Services, Inc. 2,102 Questcor Pharmaceuticals, Inc. 837 Unit Corp. 2,007 Shawcor Ltd. 824 Brown & Brown, Inc. 2,003 Federated Investors, Inc., Class B 786 Shawcor Ltd. 1,981 Pan American Silver Corp. 766 GameStop Corp., Class A 1,964 Sims Metal Management Ltd., ADR 755 Knight Capital Group, Inc., Class A 1,951 Silvercorp Metals, Inc. 753 SEI Investments Co. 1,945 Cintas Corp. 741 Sprott, Inc. 1,912 Total System Services, Inc. 735 Nu Skin Enterprises, Inc., Class A 1,856 Unit Corp. 733 Thor Industries, Inc. 1,854 SEI Investments Co. 719 LSB Industries, Inc. 1,830 Partners Group Holding AG 714 Pico Holdings, Inc. 1,814 Intrepid Potash, Inc. 712 HEICO Corp., Class A 1,806 Major Drilling Group International 705 Oil States International, Inc. 1,790 Coherent, Inc. 686 Columbus McKinnon Corp. 1,765 Simpson Manufacturing Co., Inc. 686 Arkansas Best Corp. 1,763 Pico Holdings, Inc. 672 Aixtron AG 1,762 Industrias Bachoco SAB de CV 667 Netscout Systems, Inc. 1,755 Markel Corp. 662 Intrepid Potash, Inc. 1,732 GameStop Corp., Class A 631

^ Not authorised in Hong Kong and not available to Hong Kong residents.

396 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Statement of Major Portfolio Changes – (continued)

Legg Mason Royce Smaller Companies Fund II^ – (continued)

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Valmont Industries, Inc. 1,731 Kennametal, Inc. 619 Wabtec Corp. 1,720 Wolverine World Wide, Inc. 618 Coherent, Inc. 1,649 Aeropostale, Inc. 612 Cintas Corp. 1,645 Silver Standard Resources, Inc. 607 Kennametal, Inc. 1,624 Cymer, Inc. 588 Teledyne Technologies, Inc. 1,514 Teledyne Technologies, Inc. 583 Adtran, Inc. 1,489 Sprott, Inc. 571 FEI Co. 1,452 HEICO Corp., Class A 559 Columbia Sportswear Co. 1,445 Brown & Brown, Inc. 521 MSC Industrial Direct Co., Class A 1,439 GrafTech International Ltd. 517 Kirby Corp. 1,432 Alterra Capital Holdings Ltd. 504 Cymer, Inc. 1,431 Cal-Maine Foods, Inc. 485 Regal-Beloit Corp. 1,398 ICON PLC, ADR 1,374 Silvercorp Metals, Inc. 1,343 Alterra Capital Holdings Ltd. 1,339 TrueBlue, Inc. 1,330 Drew Industries, Inc. 1,320

Legg Mason Royce European Smaller Companies Fund^

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000E) (in 000E) Western Asset Liquidity Funds PLC – Western Asset Euro Liquidity Fund, 404,830 Western Asset Liquidity Funds PLC Western Asset Euro Liquidity Fund, 529,077 Class WA Class WA SMA Solar Technology AG 42,692 H Lundbeck A/S 50,910 Parrot S.A. 37,645 Fresnillo PLC 43,635 Jupiter Fund Management PLC 34,993 Societe Internationale de Plantations D’heveas S.A. 43,234 Puma AG Rudolf Dassler Sport 33,433 Lamprell PLC 42,975 Ekornes ASA 30,749 Meetic S.A. 37,239 Sonova Holding AG 26,872 SMA Solar Technology AG 36,386 Nemetschek AG 25,230 Pfeiffer Vacuum Technology AG 34,099 Sulzer AG 23,073 Bell Equipment Ltd. 30,732 SHUAA Capital PSC 22,670 Michael Page International PLC 29,566 Citadel Capital SAE 22,260 Lundin Petroleum AB 23,741 EnQuest PLC 22,230 Semperit AG Holding 23,437 Logitech International S.A. 20,571 African Barrick Gold Ltd. 22,442 JKX Oil & Gas PLC 19,915 Ashmore Group PLC 20,996 Aixtron AG 19,591 Spirent Communications PLC 20,060 Abu Dhabi National Hotels 17,368 Rational AG 19,023 Altamir Amboise 17,009 Randgold Resources Ltd. 18,947 Rational AG 16,245 Asian Citrus Holdings Ltd. 18,449 ASM International NV 16,237 SHUAA Capital PSC 17,422 Meetic S.A. 15,420 Ford Otomotiv Sanayi A/S 16,390 Keller Group PLC 14,750 Carl Zeiss Meditec AG 15,638 Pfeiffer Vacuum Technology AG 14,470 Burckhardt Compression Holding AG 15,030 Sipef S.A. 13,316 Partners Group Holding AG 13,991 Egyptian Financial Group-Hermes Holding Co. 13,221 Inficon Holding AG 13,927 Semperit AG Holding 13,159 TGS Nopec Geophysical Co. ASA 13,511 Rotork PLC 12,523 Julius Baer Group Ltd. 12,931

Legg Mason Royce Global Smaller Companies Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) USS Co. Ltd. 178,614 Varian Semiconductor Equipment Associates, Inc. 225,716 Jupiter Fund Management PLC 172,818 Rational AG 132,139 Semperit AG Holding 156,122 Burckhardt Compression Holding AG 128,842 Pfeiffer Vacuum Technology AG 113,946 Pfeiffer Vacuum Technology AG 126,797 Teradyne, Inc. 110,292 Major Drilling Group International 122,175 Shimano, Inc. 110,017 Ensco PLC, ADR 114,860 Fuchs Petrolub AG 109,775 Fresnillo PLC 111,965 Partners Group Holding AG 104,974 Semperit AG Holding 105,175 Veeco Instruments, Inc. 103,525 Tesco Corp. 99,569 Value Partners Group Ltd. 101,587 Partners Group Holding AG 97,269 LEM Holding S.A. 96,585 Lamprell PLC 88,482 Virbac S.A. 87,566 SanDisk Corp. 83,896 Pan American Silver Corp. 87,265 Virbac S.A. 79,661 ^ Not authorised in Hong Kong and not available to Hong Kong residents.

397 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Statement of Major Portfolio Changes – (continued)

Legg Mason Royce Global Smaller Companies Fund – (continued)

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Hochschild Mining PLC 77,930 Societe Internationale de Plantations D’heveas S.A. 78,700 Ashmore Group PLC 75,243 US Global Investors, Inc. 74,837 Allied Nevada Gold Corp. 75,164 Boiron S.A. 69,112 Lam Research Corp. 74,349 Ashmore Group PLC 67,061 Benesse Holdings, Inc. 73,976 Gimv NV 66,204 Ensco PLC, ADR 72,587 Industrias Bachoco SAB de CV 65,296 E-House China Holdings Ltd. 71,801 Tegma Gestao Logistica 64,351 Aixtron AG 70,689 GrafTech International Ltd. 63,211 Burckhardt Compression Holding AG 69,729 Schnitzer Steel Industries, Inc., Class A 62,253 Mayr Melnhof Karton AG 65,487 EVS Broadcast Equipment S.A. 61,099 Raubex Group Ltd. 65,027 Benesse Holdings, Inc. 59,380 Northam Platinum Ltd. 62,003 SMA Solar Technology AG 57,237 Helmerich & Payne, Inc. 61,249 Lincoln Electric Holdings, Inc. 54,868 Spirax-Sarco Engineering PLC 60,325 Luk Fook Holdings International Ltd. 53,326 Sprott, Inc. 60,302 Value Partners Group Ltd. 52,031 Sipef S.A. 58,971 Santen Pharmaceutical Co. Ltd. 52,009 Trican Well Service Ltd. 58,179 Helmerich & Payne, Inc. 51,876 Egyptian Financial Group-Hermes Holding Co. 57,510 Carl Zeiss Meditec AG 51,336 Santen Pharmaceutical Co. Ltd. 57,046 TMX Group, Inc. 49,278 Aquarius Platinum Ltd 55,267 Hochschild Mining PLC 46,785 Autoliv, Inc. 50,856 TGS Nopec Geophysical Co. ASA 45,277 Ekornes ASA 50,514 Aquarius Platinum Ltd. 44,663 Mardin Cimento Sanayii ve Ticaret A/S 46,770 Adcock Ingram Holdings Ltd. 43,628 Tegma Gestao Logistica 45,836 Aixtron AG 42,530 FamilyMart Co. Ltd. 45,754 Moshi Moshi Hotline, Inc. 40,629 SMA Solar Technology AG 45,141 Western Digital Corp. 39,603 Asian Citrus Holdings Ltd. 44,630 Raubex Group Ltd. 38,305 Moshi Moshi Hotline, Inc. 41,895 Sprott, Inc. 36,414 Fresnillo PLC 37,997

Legg Mason Permal Global Absolute Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Legg Mason Global Funds PLC – Western Asset US Money Market Fund 26,553 Legg Mason Global Funds PLC – Western Asset US Money Market Fund 26,553 iShares S&P 500 Index Fund 7,563 iShares S&P 500 Index Fund 11,690 iShares EURO STOXX 50 6,744 ISHARES Dax De 6,586 Morgan Stanley China Fund, Inc., Class A 5,859 iShares Barclays Capital $ Treasury Bond 7-10 6,471 U.S. Treasury Bill, zero coupon due 11/10/2011 5,000 iShares MSCI Japan Fund 6,429 U.S. Treasury Bill, zero coupon due 11/17/2011 5,000 All Commodities DJ-UBSCIsm 6,158 U.S. Treasury Bill, zero coupon due 10/27/2011 4,999 iShares EURO STOXX 50 5,527 U.S. Treasury Bill, zero coupon due 2/16/2012 4,998 iShares iShares $ Corporate Bond 4,821 U.S. Treasury Bill, zero coupon due 2/9/2012 4,998 iShares Barclays Capital Euro Government Bond 13 4,821 U.S. Treasury Bill, zero coupon due 1/26/2012 4,997 Gold Bullion Securities Ltd. 4,586 Calamos Global Funds plc – Global Convertible Opportunities Fund 4,108 Merrill Lynch Investment Solutions – Zweig-Dimenna US 2,645 Chimera Investment Corp. 3,939 LongShort Equity UCITS U.S. Treasury Bill, zero coupon due 10/13/2011 2,500 iShares PLC – iShares $ Treasury Bond 1-3 5 U.S. Treasury Bill, zero coupon due 10/20/2011 2,500 U.S. Treasury Bill, zero coupon due 1/12/2012 2,500 U.S. Treasury Bill, zero coupon due 1/19/2012 2,499 MFA Financial, Inc. 2,046 iShares MSCI Japan Fund 1,919 Gold Bullion Securities Ltd. 1,766 Brevan Howard Macro Ltd. 1,683 iShares Barclays Capital $ Treasury Bond 7-10 1,370 Invesco Mortgage Capital, Inc. 1,353 Merrill Lynch Investment Solutions – Graham Capital Systematic Macro 1,340 UCITS Fund, Class B All Commodities DJ-UBSCIsm 1,265 Physical Platinum 1,128

Legg Mason GC Global Equity Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Johnson & Johnson 26 Honeywell International, Inc. 32 Primary Health Care Ltd. 26 Agrium, Inc. 23 National Grid PLC 25 Hyundai Motor Co. 20

398 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Statement of Major Portfolio Changes – (continued)

Legg Mason GC Global Equity Fund – (continued)

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Unilever NV 17 JGC Corp. 19 RadioShack Corp. 16 Chevron Corp. 18 Target Corp. 16 Siemens AG 18 CVS Caremark Corp. 16 Anadarko Petroleum Corp. 16 Merck & Co., Inc. 16 CenterPoint Energy, Inc. 16 Diamond Offshore Drilling, Inc. 16 Arch Capital Group Ltd. 15 Kimberly-Clark Corp. 14 Ricoh Co. Ltd. 15 Mitsubishi Corp. 14 HSBC Holdings PLC 14 Advantest Corp. 13 Takeda Pharmaceutical Co. Ltd. 14 Allianz SE 8 AGCO Corp. 14 Cielo S.A. 8 Citigroup, Inc. 13 Banco Santander S.A. 8 Halliburton Co. 13 Rexam PLC 8 Bank of America Corp. 12 American Express Co. 7 VF Corp. 10 Bridgestone Corp. 7 Osaka Securities Exchange Co. Ltd. 10 Teva Pharmaceutical Industries Ltd., ADR 6 First Pacific Co. Ltd. 3 Toyota Motor Corp. 4 Cisco Systems, Inc. 4 PepsiCo, Inc. 4 Sumitomo Mitsui Financial Group, Inc. 3

Legg Mason Batterymarch European Equity Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000E) (in 000E) Imperial Tobacco Group PLC 695 Barclays PLC 790 British American Tobacco PLC 655 Banco Bilbao Vizcaya Argentaria S.A. 748 Groupe Danone S.A. 655 ING Groep NV 692 Telefonaktiebolaget LM Ericsson, Class B 652 Zurich Financial Services AG 680 SABmiller PLC 503 Telefonica S.A. 603 Barclays PLC 487 Allianz SE 577 Novartis AG 483 Subsea 7 S.A. 544 SBM Offshore NV 438 Siemens AG 518 HSBC Holdings PLC 426 Burberry Group PLC 496 Deutsche Telekom AG 420 Severn Trent PLC 495 TDC A/S 406 Rhodia S.A. 492 E.ON AG 394 Investec PLC 471 Swisscom AG 360 SEB S.A. 437 Nokian Renkaat Oyj 358 Gecina S.A. 428 Swedish Match AB 350 Carlsberg A/S, Class B 425 Scottish & Southern Energy PLC 344 France Telecom S.A. 425 ASML Holding NV 343 Amlin PLC 417 Swedbank AB, Class A 342 Coca-Cola Hellenic Bottling Co. S.A. 410 DnB NOR ASA 329 Banco Santander S.A. 408 ENI S.p.A. 325 Anheuser-Busch InBev NV 407 Standard Chartered PLC 316 Nokia Oyj 395 Jeronimo Martins SGPS S.A. 311 Amadeus IT Holding S.A. 393 CRH PLC 307 Boliden AB 386 Fonciere Des Regions 297 Swiss Reinsurance Co. Ltd. 370 Roche Holding AG 293 OMV AG 365 AXA S.A. 288 Tate & Lyle PLC 362 IG Group Holdings PLC 282 Societe Generale 353 Volkswagen AG 279 Kesko Oyj, Class B 349 Societe BIC S.A. 277 Henkel AG & Co. KGaA 334 Distribuidora Internacional de Alimentacion S.A. 272 Diageo PLC 324 Hellenic Telecommunications Organization S.A. 268 IMI PLC 320 ICAP PLC 250 Deutsche Bank AG 307 Zurich Financial Services AG 246 British American Tobacco PLC 300 National Grid PLC 240 BNP Paribas 296 Dragon Oil Plc Ord 237 Marine Harvest ASA 290 Aberdeen Asset Management PLC 237 Georg Fischer AG 287 Orion Oyj, Class B 233 Roche Holding AG 285 K+S AG 225 SAP AG 285 Suedzucker AG 223 Swisscom AG 276 Persimmon PLC 219 Aixtron AG 274 Inmarsat PLC 218 Wereldhave NV 273 Gjensidige Forsikring ASA 215 Aegon NV 270

399 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Statement of Major Portfolio Changes – (continued)

Legg Mason Batterymarch European Equity Fund – (continued)

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000E) (in 000E) Mapfre S.A. 214 Next PLC 262 SAP AG 210 Vodafone Group PLC 261 StatoilHydro ASA 210 LVMH Moet Hennessy Louis Vuitton S.A. 260 KBC Groep NV 207 Nutreco NV 253 Delhaize Group S.A. 205 Sulzer AG 249 GDF Suez S.A. 197 Xstrata PLC 240 Nestle S.A. 196 Prudential PLC 238 Ebro Puleva S.A. 191 Alfa Laval AB 237 Telecom Italia S.p.A. 187 Erste Group Bank AG 236 BP PLC 187 STMicroelectronics NV 235

Legg Mason Batterymarch Asia Pacific Equity Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Ascendas Real Estate Investment Trust 1,695 Hon Hai Precision Industry Co. Ltd. 3,638 Hynix Semiconductor, Inc. 1,429 Keppel Corp. Ltd. 2,112 HDFC Bank Ltd. 1,243 Suntec Real Estate Investment Trust 1,861 Charoen Pokphand Indonesia Tbk PT 1,173 Halla Climate Control Corp. 1,645 Hyundai Heavy Industries Co. Ltd. 1,077 GAIL India Ltd. 1,550 Tencent Holdings Ltd. 1,054 Samsung Electronics Co. Ltd. 1,498 PTT PCL 1,029 Li & Fung Ltd. 1,427 State Bank of India Ltd. 1,013 Daewoo Shipbuilding & Marine Engineering Co. Ltd. 1,384 Chinatrust Financial Holding Co. Ltd. 1,002 DBS Group Holdings Ltd. 1,326 Hong Leong Bank Bhd 970 LG Chem Ltd. 1,325 Opto Circuits India Ltd. 863 National Development Bank Ltd. 1,290 Agile Property Holdings Ltd. 856 Aboitiz Power Corp. 1,274 Catcher Technology Co. Ltd. 837 LG Corp. 1,256 Advanced Semiconductor Engineering, Inc. 803 Taiwan Semiconductor Manufacturing Co. Ltd. 1,184 DC Chemical Co. Ltd. 799 Hindalco Industries Ltd. 1,180 Axis Bank Ltd. 791 China Life Insurance Co. Ltd., Class H 1,142 Simplo Technology Co. Ltd. 775 China Southern Airlines Co. Ltd., Class H 1,043 Mando Corp. 765 Hynix Semiconductor, Inc. 1,030 HTC Corp. 760 Taiwan Semiconductor Manufacturing Co. Ltd., ADR 1,008 Advanced Info Service PCL 746 Indo Tambangraya Megah PT 1,006 First Financial Holding Co. Ltd. 712 Hyundai Heavy Industries Co. Ltd. 950 Formosa Chemicals & Fibre Corp. 679 Thai Airways International PCL 914 Bank Rakyat Indonesia Persero Tbk PT 659 Mando Corp. 909 DBS Group Holdings Ltd. 653 Digi.Com Bhd 888 Taiwan Cement Corp. 637 SK C&C Co. Ltd. 887 China Oilfield Services Ltd., Class H 608 China Eastern Airlines Corp. Ltd., Class H 838 Industrial & Commercial Bank of China, Class H 583 Kuala Lumpur Kepong Bhd 832 Soho China Ltd. 559 Swire Pacific Ltd., Class A 796 Digi.Com Bhd 553 Hengan International Group Co. Ltd. 777 Nan Ya Plastics Corp. 542 Hyosung Corp. 759 Dongfeng Motor Group Co. Ltd., Class H 525 Hang Lung Group Ltd. 724 Shinhan Financial Group Co. Ltd. 514 Hindustan Unilever Ltd. 513 International Nickel Indonesia Tbk PT 510 Suntec Real Estate Investment Trust 505 Taiwan Mobile Co. Ltd. 503 Italian-Thai Development PCL 488 Astra International Tbk PT 479

Legg Mason Batterymarch International Large Cap Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Canon, Inc. 147 Telefonica S.A. 163 Toyota Motor Corp. 140 Subsea 7 S.A. 120 British American Tobacco PLC 128 Barclays PLC 116 Standard Chartered PLC 120 Banco Bilbao Vizcaya Argentaria S.A. 104 China Overseas Land & Investment Ltd. 108 Sumitomo Mitsui Financial Group, Inc. 103 Kao Corp. 79 Sega Sammy Holdings, Inc. 103 Benesse Holdings, Inc. 78 Sony Corp. 94 TDC A/S 78 Allianz SE 93 Itau Unibanco Holding S.A. 73 Rhodia S.A. 89 Kia Motors Corp. 72 Anheuser-Busch InBev NV 88

400 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Statement of Major Portfolio Changes – (continued)

Legg Mason Batterymarch International Large Cap Fund – (continued)

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Nestle S.A. 70 Bidvest Group Ltd. 85 Sanofi-Aventis S.A. 69 Amlin PLC 84 Koninklijke Ahold NV 68 British American Tobacco PLC 83 Koninklijke KPN NV 66 Seiko Epson Corp. 83 Nissan Motor Co. Ltd. 64 Next PLC 81 Eisai Co. Ltd. 62 Taisei Corp. 81 DnB NOR ASA 62 Burberry Group PLC 80 HSBC Holdings PLC 62 Benesse Holdings, Inc. 80 Nippon Telegraph & Telephone Corp. 61 Marine Harvest ASA 77 Kloeckner & Co. SE 57 Nissan Motor Co. Ltd. 76 Industrial & Commercial Bank of China, Class H 57 Vodafone Group PLC 75 Nippon Meat Packers, Inc. 57 Mitsubishi Corp. 74 Kirin Holdings Co. Ltd. 57 NEC Corp. 73 Volkswagen AG 56 SembCorp Marine Ltd. 72 Groupe Danone S.A. 56 Severn Trent PLC 70 E.ON AG 56 Fuji Heavy Industries Ltd. 70 Continental AG 55 Canon, Inc. 70 Swedish Match AB 55 JTEKT Corp. 68 Miraca Holdings, Inc. 55 Credit Saison Co. Ltd. 67 Samsung Engineering Co. Ltd. 54 United Microelectronics Corp., ADR 67 ArcelorMittal 53 Industrial Alliance Insurance & Financial Services, Inc. 66 ABB Ltd. 52 France Telecom S.A. 66 Smith & Nephew PLC 51 Henkel AG & Co. KGaA 66 Fuji Heavy Industries Ltd. 50 Aixtron AG 65 Westpac Banking Corp. 50 Boliden AB 65 Software AG 62 Atkins WS PLC 61

Legg Mason Batterymarch Emerging Markets Equity Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) MTN Group Ltd. 330 HON HAI Precision Industry Co. Ltd. 1,344 Hynix Semiconductor, Inc. 244 Samsung Electronics Co. Ltd. 1,285 OTP Bank PLC 208 America Movil SAB de CV, Series L, ADR 1,267 Sberbank of Russia 192 Petroleo Brasileiro S.A., Sponsored ADR 1,215 Axis Bank Ltd. 161 Vale S.A., ADR 976 DC Chemical Co. Ltd. 141 Kia Motors Corp. 947 Hyundai Mobis Co. Ltd. 141 Mahindra & Mahindra Ltd. 910 Industrial & Commercial Bank of China, Class H 135 Taiwan Semiconductor Manufacturing Co. Ltd. 908 Petroleo Brasileiro S.A., ADR 133 Gazprom OAO, ADR 893 Hana Financial Group, Inc. 132 Lukoil OAO, ADR 814 Uralkali, GDR 128 Formosa Plastics Corp. 765 HDFC Bank Ltd. 127 Banco Bradesco S.A., ADR 757 Yandex NV 126 Industrial & Commercial Bank of China, Class H 677 Formosa Chemicals & Fibre Corp. 125 Itau Unibanco Holding S.A., ADR 620 Woolworths Holdings Ltd. 120 Hanwha Chem Corp. 601 Mobile Telesystems OJSC, ADR 117 Bank Negara Indonesia Persero Tbk PT 593 Doosan Infracore Co. Ltd. 114 CNOOC Ltd. 587 Catcher Technology Co. Ltd. 108 Kumba Iron Ore Ltd. 583 China Overseas Land & Investment Ltd. 108 Itausa – Investimentos Itau S.A. 555 NovaTek OAO, GDR 105 China Mobile Ltd. 547 Tencent Holdings Ltd. 104

Legg Mason Batterymarch Global Equity Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Hyundai Mobis Co. Ltd. 318 Vodafone Group PLC 343 Samsung Engineering Co. Ltd. 291 Gilead Sciences, Inc. 241 Toyota Motor Corp. 289 Ross Stores, Inc. 230 Kia Motors Corp. 236 Hewlett-Packard Co. 224 Cheil Industries, Inc. 216 Burberry Group PLC 223 Marubeni Corp. 208 Cheil Industries, Inc. 217 Nippon Telegraph & Telephone Corp. 191 Agricultural Bank of China Ltd., Class H 190 Vale S.A., ADR 191 Medtronic, Inc. 181 Harsco Corp. 151 Anglo American PLC 169 Westpac Banking Corp. 135 Terna Rete Elettrica Nazionale S.p.A. 163

401 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Statement of Major Portfolio Changes – (continued)

Legg Mason Batterymarch Global Equity Fund – (continued)

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Leighton Holdings Ltd. 131 Tyson Foods, Inc., Class A 162 Exelon Corp. 125 Target Corp. 162 The Spar Group Ltd. 110 Taiwan Semiconductor Manufacturing Co. Ltd. 158 Avon Products, Inc. 109 Credit Saison Co. Ltd. 157 Wal-Mart Stores, Inc. 103 Medco Health Solutions, Inc. 155 Arkema S.A. 103 Arch Coal, Inc. 155 Vodacom Group Ltd. 101 JPMorgan Chase & Co. 154 Kloeckner & Co. SE 100 Merck & Co., Inc. 151 Apple, Inc. 97 Wells Fargo & Co. 149 ORIX Corp. 92 BNP Paribas 144 National Australia Bank Ltd. 92 Lorillard, Inc. 143 China Oilfield Services Ltd., Class H 91 Henkel AG & Co. KGaA 142 The Gunma Bank Ltd. 88 Daimler AG 141 DirecTV, Class A 86 Pacific Rubiales Energy Corp. 139 M&T Bank Corp. 79 Merck KGaA 137 LifePoint Hospitals, Inc. 75 Chuo Mitsui Trust Holdings, Inc. 132 Janus Capital Group, Inc. 73 Janus Capital Group, Inc. 130 Sandvine Corp. 73 US Bancorp 128 The Nasdaq OMX Group 71 Nippon Meat Packers, Inc. 127 Micron Technology, Inc. 64 Siemens AG 126 Ushio, Inc. 63 Kesko Oyj, Class B 122 Industrial & Commercial Bank of China, Class H 61 Mitsubishi UFJ Financial Group, Inc. 122 RR Donnelley & Sons Co. 121 Scottish & Southern Energy PLC 120 Google, Inc., Class A 119

Legg Mason LMHK China Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) China Shenhua Energy Co. Ltd., Class H 347 Ping An Insurance Group Co. of China Ltd., Class H 170 China Unicom Hong Kong Ltd. 279 AIA Group Ltd. 167 Chongqing Rural Commercial Bank 218 China Mobile Ltd. 147 Longfor Properties Co. Ltd. 127 Tencent Holdings Ltd. 136 China Mobile Ltd. 121 China Coal Energy Co. Ltd., Class H 136 China National Building Material Co. Ltd., Class H 99 Great Wall Motor Co. Ltd., Class H 114 China Vanke Co. Ltd., Class B 91 China National Building Material Co. Ltd., Class H 102 iShares FTSE/XINHUA A50 CHINA Index Exchange Traded Fund 80 China Oilfield Services Ltd., Class H 82 Boshiwa International Holding Ltd. 67 Renren, Inc. 78 Dongfeng Motor Group Co. Ltd., Class H 65 Evergrande Real Estate Group Ltd. 67 Top Spring International Holdings Ltd. 62 Belle International Holdings Ltd. 66 China Merchants Bank Co. Ltd., Class H 57 SouFun Holdings Ltd., ADR 64 Renren, Inc. 55 Yanzhou Coal Mining Co. Ltd., Class H 64 Angang Steel Co. Ltd., Class H 51 PetroChina Co. Ltd., Class H 63 CNOOC Ltd. 50 Xinjiang Goldwind Science & Technology Co. Ltd., Class H 46 Jiangxi Copper Co. Ltd., Class H 49 Anhui Conch Cement Co. Ltd., Class H 42 Evergrande Real Estate Group Ltd. 46 China Southern Airlines Co. Ltd., Class H 41 PetroChina Co. Ltd., Class H 42 Dongfang Electric Corp. Ltd., Class H 18 Bank of China Ltd., Class H 35 China Petroleum & Chemical Corp., Class H 18 Anhui Conch Cement Co. Ltd., Class H 34 Sun Art Retail Group Ltd. 4 Yanzhou Coal Mining Co. Ltd., Class H 23

Legg Mason Esemplia Emerging Markets Select Equity Fund

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) MGM China Holdings Ltd. 444 MGM China Holdings Ltd. 458 Bank of India P-Note Merill Lynch 140 Vale S.A., ADR 222 Sasol Ltd. 133 Gazprom OAO, ADR 189 JBS S.A. 122 NII Holdings, Inc. 146 PDG Realty S.A. Empreendimentos e Participacoes 95 America Movil SAB de CV, ADR 145 Weg S.A. 88 Bank of India P-Note Merill Lynch 140 Nomos-Bank, GDR 85 Pacific Rubiales Energy Corp. 128 Mail.Ru Group Ltd. 85 MTN Group Ltd. 126 Mexichem SAB de CV 82 Itau Unibanco Holding S.A., ADR 122 Tim Participacoes S.A., ADR 82 Powszechny Zaklad Ubezpieczen S.A. 110 NII Holdings, Inc. 82 Sasol Ltd. 106 Baidu, Inc. 81 BRF – Brasil Foods S.A. 103

402 Legg Mason Global Funds Plc Semi-Annual Report August 31, 2011 Statement of Major Portfolio Changes – (continued)

Legg Mason Esemplia Emerging Markets Select Equity Fund – (continued)

MAJOR PURCHASES COST MAJOR SALES PROCEEDS (in 000$) (in 000$) Southern Copper Corp. 75 Tim Participacoes S.A., ADR 99 HTC Corp., GDR 72 Rosneft Oil Co. 98 Pacific Rubiales Energy Corp. 68 China Mengniu Dairy Co. Ltd. 98 Advanced Semiconductor Engineering, Inc., ADR 59 Gafisa S.A., ADR 96 Larsen & Toubro Ltd., GDR 55 Mail.Ru Group Ltd. 95 Industrial & Commercial Bank of China, Class H 41 Gerdau S.A., ADR 93 Gafisa S.A., ADR 41 JBS S.A. 93 China Construction Bank Corp., Class H 41 ABSA Group Ltd. 93 China Yurun Food Group Ltd., Class H 40 Banco do Brasil S.A. 90 Bellzone Mining PLC 38 Southern Copper Corp. 89 China Mengniu Dairy Co. Ltd. 37 Baidu, Inc. 88 Vale S.A., ADR 32 PDG Realty S.A. Empreendimentos e Participacoes 85 Metalurgica Gerdau S.A. 32 Mexichem SAB de CV 83 Gerdau S.A., ADR 32 Sterlite Industries India Ltd., ADR 78 Natura Cosmeticos S.A. 31 Impala Platinum Holdings Ltd. 77 X5 Retail Group NV 27 Tata Consultancy Services Ltd. P-Note JP Morgan 76 MMC Norilsk Nickel OJSC, ADR 73 Hon Hai Precision Industry Co. Ltd., GDR 72 Shinhan Financial Group Co. Ltd. 71 African Minerals Ltd. 71 Dr Reddy’s Laboratories Ltd., ADR 70 Advanced Semiconductor Engineering, Inc., ADR 69 Weg S.A. 69 Nomos-Bank, GDR 69 China Railway Group Ltd., Class H 67 Pegatron Corp. P-Note JP Morgan 66 HTC Corp., GDR 64 Wistron Corp., GDR 63 Aveng Ltd. 57 Acer, Inc. P-Note JP Morgan 54 Tata Motors Ltd., ADR 53 Larsen & Toubro Ltd. 53 Mechel, ADR 51

403