T.
ROWE
PRICE
Credit
Opportunities
Fund
August
31,
2021
(Unaudited)
1
Portfolio
of
Investments
‡
Par/Shares
$
Value
(Amounts
in
000s)
‡
BANK
LOANS
21.3%
(1)
Aerospace
&
Defense
0.6%
Dynasty
Acquisition,
FRN,
1M
USD
LIBOR
+
3.50%,
3.647%,
4/6/26
198
193
Peraton,
FRN,
1M
USD
LIBOR
+
3.75%,
4.50%,
2/1/28
200
199
Peraton,
FRN,
1M
USD
LIBOR
+
7.75%,
8.50%,
2/1/29
140
140
532
Airlines
1.4%
AAdvantage
Loyalty
IP,
FRN,
1M
USD
LIBOR
+
4.75%,
5.50%,
4/20/28
320
329
Air
Canada,
FRN,
1M
USD
LIBOR
+
3.50%,
4.25%,
8/11/28 (2)
175
175
Mileage
Plus
Holdings,
FRN,
1M
USD
LIBOR
+
5.25%,
6.25%,
6/21/27
505
535
SkyMiles
IP,
FRN,
3M
USD
LIBOR
+
3.75%,
4.75%,
10/20/27
100
106
United
Airlines,
FRN,
1M
USD
LIBOR
+
3.75%,
4.50%,
4/21/28
115
115
1,260
Broadcasting
0.3%
Clear
Channel
Outdoor
Holdings,
FRN,
1M
USD
LIBOR
+
3.50%,
3.628%,
8/21/26 (2)
140
137
NEP
Group,
FRN,
3M
USD
LIBOR
+
7.00%,
7.085%,
10/19/26
195
186
323
Chemicals
0.2%
Aruba
Investments
Holdings,
FRN,
1M
USD
LIBOR
+
7.75%,
8.50%,
11/24/28
160
160
160
Consumer
Products
0.3%
Life
Time,
FRN,
1M
USD
LIBOR
+
4.75%,
5.75%,
12/16/24
234
232
232
Energy
1.5%
BCP
Raptor,
FRN,
3M
USD
LIBOR
+
4.25%,
5.25%,
6/24/24
527
522
BCP
Raptor
II,
FRN,
3M
USD
LIBOR
+
4.75%,
4.835%,
11/3/25
439
433
Navitas
Midstream
Midland
Basin,
FRN,
3M
USD
LIBOR
+
4.00%,
4.75%,
12/13/24
273
272
Stonepeak
Lonestar
Holdings,
FRN,
1M
USD
LIBOR
+
4.50%,
4.634%,
10/19/26
121
121
1,348
Entertainment
&
Leisure
0.3%
William
Morris
Endeavor
Entertainment,
FRN,
3M
USD
LIBOR
+
2.75%,
2.84%,
5/18/25
269
262
262
Financial
0.8%
EIG
Management,
FRN,
3M
USD
LIBOR
+
3.75%,
4.50%,
2/24/25
194
192
T.
ROWE
PRICE
Credit
Opportunities
Fund
2
Par/Shares
$
Value
(Amounts
in
000s)
‡
Tegra118
Wealth
Solutions,
FRN,
1M
USD
LIBOR
+
4.00%,
4.125%,
2/18/27
579
579
771
Food
0.9%
Bellring
Brands,
FRN,
1M
USD
LIBOR
+
4.00%,
4.75%,
10/21/24
265
266
Woof
Holdings,
FRN,
1M
USD
LIBOR
+
3.75%,
4.50%,
12/21/27
160
160
Woof
Holdings,
FRN,
1M
USD
LIBOR
+
7.25%,
8.00%,
12/21/28
400
403
829
Health
Care
0.9%
Gainwell
Acquisition,
FRN,
1M
USD
LIBOR
+
4.00%,
4.75%,
10/1/27
239
240
Insulet,
FRN,
1M
USD
LIBOR
+
3.25%,
3.75%,
5/4/28
140
140
Loire
Finco
Luxembourg,
FRN,
1M
USD
LIBOR
+
3.25%,
3.335%,
4/21/27
267
262
Maravai
Intermediate
Holdings,
FRN,
1M
USD
LIBOR
+
3.75%,
4.75%,
10/19/27
155
155
Verscend
Holding,
FRN,
1M
USD
LIBOR
+
4.00%,
4.085%,
8/27/25
70
70
867
Information
Technology
2.5%
Applied
Systems,
FRN,
1M
USD
LIBOR
+
5.50%,
6.25%,
9/19/25
209
211
Delta
Topco,
FRN,
1M
USD
LIBOR
+
7.25%,
8.00%,
12/1/28
205
206
Epicor
Software,
FRN,
1M
USD
LIBOR
+
7.75%,
8.75%,
7/31/28
100
103
MH
Sub
I,
FRN,
1M
USD
LIBOR
+
3.75%,
4.75%,
9/13/24
124
124
MH
Sub
I,
FRN,
1M
USD
LIBOR
+
6.25%,
6.338%,
2/23/29
265
269
Proofpoint,
FRN,
1M
USD
LIBOR
+
0.00%,
8/31/28 (2)
170
169
Proofpoint,
FRN,
1M
USD
LIBOR
+
6.25%,
8/31/29 (2)
75
76
RealPage,
FRN,
1M
USD
LIBOR
+
3.25%,
3.75%,
4/24/28
165
164
RealPage,
FRN,
1M
USD
LIBOR
+
6.50%,
7.25%,
4/23/29
510
519
Shutterfly,
FRN,
1M
USD
LIBOR
+
5.00%,
9/25/26 (2)
445
444
Storable,
FRN,
1M
USD
LIBOR
+
3.25%,
3.75%,
4/17/28
55
55
2,340
Manufacturing
1.0%
Apex
Tool
Group,
FRN,
3M
USD
LIBOR
+
5.25%,
6.50%,
8/1/24
209
210
Engineered
Machinery
Holdings,
FRN,
1M
USD
LIBOR
+
6.00%,
6.75%,
5/21/29
200
201
Engineered
Machinery
Holdings,
FRN,
1M
USD
LIBOR
+
6.50%,
7.25%,
5/21/29 (2)
250
252
Madison
IAQ,
FRN,
1M
USD
LIBOR
+
3.25%,
3.75%,
6/21/28
50
49
Pro
Mach
Group,
FRN,
1M
USD
LIBOR
+
0.00%,
8/13/28 (2)
27
27
Pro
Mach
Group,
FRN,
1M
USD
LIBOR
+
4.00%,
8/31/28 (2)
168
168
907
Restaurants
0.4%
Tacala
Investment,
FRN,
1M
USD
LIBOR
+
7.50%,
8.25%,
2/4/28
350
349
349
Satellites
2.2%
Intelsat
Jackson
Holdings,
8.625%,
1/2/24 (2)
105
107
T.
ROWE
PRICE
Credit
Opportunities
Fund
3
Par/Shares
$
Value
(Amounts
in
000s)
‡
Intelsat
Jackson
Holdings,
FRN,
1M
USD
LIBOR
+
5.50%,
6.50%,
7/13/22
465
467
Intelsat
Jackson
Holdings,
FRN,
PRIME
+
4.75%,
8.00%,
11/27/23 (2)
1,430
1,450
2,024
Services
3.9%
CoreLogic,
FRN,
1M
USD
LIBOR
+
6.50%,
7.00%,
6/4/29
220
223
EG
Finco,
FRN,
3M
EURIBOR
+
7.00%,
7.00%,
4/30/27
(EUR) (2)
165
196
Renaissance
Holdings,
FRN,
3M
USD
LIBOR
+
7.00%,
7.085%,
5/29/26
185
185
Staples,
FRN,
3M
USD
LIBOR
+
5.00%,
5.126%,
4/16/26
338
319
UKG,
FRN,
1M
USD
LIBOR
+
6.75%,
7.50%,
5/3/27
2,580
2,617
3,540
Utilities
0.2%
Exgen
Renewables
IV,
FRN,
1M
USD
LIBOR
+
2.50%,
3.50%,
12/15/27
192
191
191
Wireless
Communications
3.9%
Asurion,
FRN,
1M
USD
LIBOR
+
3.25%,
3.335%,
7/31/27
559
547
Asurion,
FRN,
1M
USD
LIBOR
+
5.25%,
1/20/29 (2)
1,470
1,462
Asurion,
FRN,
1M
USD
LIBOR
+
5.25%,
5.335%,
1/31/28
1,591
1,582
3,591
Total
Bank
Loans
(Cost
$19,322)
19,526
COMMON
STOCKS
1.5%
Cable
Operators
0.2%
Liberty
Broadband,
Class
C (3)
1
191
191
Metals
&
Mining
0.3%
Constellium (3)
16
320
320
Utilities
0.5%
Sempra
Energy
1
133
Vistra
15
286
419
Wireless
Communications
0.5%
Crown
Castle
International,
REIT
1
182
T-Mobile
U.S. (3)
2
305
487
Total
Common
Stocks
(Cost
$1,035)
1,417
T.
ROWE
PRICE
Credit
Opportunities
Fund
4
Par/Shares
$
Value
(Amounts
in
000s)
‡
CONVERTIBLE
BONDS
1.0%
Cable
Operators
0.2%
DISH
Network,
3.375%,
8/15/26
185
193
193
Energy
0.5%
Cheniere
Energy,
4.25%,
3/15/45
531
451
451
Financial
0.3%
Blackstone
Mortgage
Trust,
REIT,
4.75%,
3/15/23
240
249
249
Total
Convertible
Bonds
(Cost
$821)
893
CONVERTIBLE
PREFERRED
STOCKS
3.4%
Energy
1.4%
Targa
Resources,
Series A,
9.50%,
Acquisition
Date:
10/30/17
-
2/10/21,
Cost $1,214 (4)(5)
1
1,284
1,284
Health
Care
0.5%
Avantor,
Series A,
6.25%,
5/15/22
4
509
509
Insurance
0.2%
Alliant
Services,
Series A,
Acquisition
Date:
11/6/20,
Cost $167 (5)
—
170
170
Manufacturing
0.4%
Danaher,
Series B,
5.00%,
4/15/23
—
338
338
Utilities
0.9%
American
Electric
Power,
6.125%,
3/15/22
3
133
American
Electric
Power,
6.125%,
8/15/23
2
119
NextEra
Energy,
5.279%,
3/1/23
7
383
Southern,
Series A,
6.75%,
8/1/22
4
211
846
Total
Convertible
Preferred
Stocks
(Cost
$2,585)
3,147
CORPORATE
BONDS
67.3%
Aerospace
&
Defense
0.8%
TransDigm,
6.25%,
3/15/26 (6)
360
378
T.
ROWE
PRICE
Credit
Opportunities
Fund
5
Par/Shares
$
Value
(Amounts
in
000s)
‡
TransDigm,
7.50%,
3/15/27
100
106
TransDigm,
8.00%,
12/15/25 (6)
275
294
778
Airlines
2.3%
Air
Canada,
4.625%,
8/15/29
(CAD) (6)
125
99
American
Airlines,
5.50%,
4/20/26 (6)
315
331
American
Airlines,
5.75%,
4/20/29 (6)
350
378
American
Airlines,
11.75%,
7/15/25 (6)
285
354
Delta
Air
Lines,
4.50%,
10/20/25 (6)
160
172
Delta
Air
Lines,
4.75%,
10/20/28 (6)
165
184
Delta
Air
Lines,
7.375%,
1/15/26
225
265
Hawaiian
Brand
Intellectual
Property,
5.75%,
1/20/26 (6)
100
105
Mileage
Plus
Holdings,
6.50%,
6/20/27 (6)
130
141
United
Airlines,
4.625%,
4/15/29 (6)
110
114
2,143
Automotive
4.5%
Adient
Global
Holdings,
4.875%,
8/15/26 (6)
200
206
Adient
U.S.,
9.00%,
4/15/25 (6)
150
164
Clarios
Global,
6.25%,
5/15/26 (6)
144
152
Clarios
Global,
8.50%,
5/15/27 (6)
495
528
Ford
Motor,
8.50%,
4/21/23
95
105
Ford
Motor,
9.00%,
4/22/25
325
397
Ford
Motor,
9.625%,
4/22/30
115
164
Ford
Motor
Credit,
5.125%,
6/16/25
275
301
Goodyear
Tire
&
Rubber,
5.00%,
7/15/29 (6)
432
456
Goodyear
Tire
&
Rubber,
5.25%,
7/15/31 (6)
220
235
LCM
Investments
Holdings
II,
4.875%,
5/1/29 (6)
235
241
Tenneco,
5.00%,
7/15/26
365
364
Tenneco,
5.125%,
4/15/29 (6)
210
217
Tenneco,
7.875%,
1/15/29 (6)
525
591
4,121
Broadcasting
4.6%
Clear
Channel
Outdoor
Holdings,
7.50%,
6/1/29 (6)
180
186
Clear
Channel
Outdoor
Holdings,
7.75%,
4/15/28 (6)
480
500
Diamond
Sports
Group,
5.375%,
8/15/26 (6)
18
12
Diamond
Sports
Group,
6.625%,
8/15/27 (6)
155
67
iHeartCommunications,
8.375%,
5/1/27
1,163
1,234
Midas
OpCo
Holdings,
5.625%,
8/15/29 (6)
575
589
Nexstar
Media,
5.625%,
7/15/27 (6)
200
212
Sirius
XM
Radio,
4.00%,
7/15/28 (6)
85
87
Sirius
XM
Radio,
5.50%,
7/1/29 (6)
120
131
Terrier
Media
Buyer,
8.875%,
12/15/27 (6)
460
489
Townsquare
Media,
6.875%,
2/1/26 (6)
405
429
Univision
Communications,
4.50%,
5/1/29 (6)
260
264
4,200
T.
ROWE
PRICE
Credit
Opportunities
Fund
6
Par/Shares
$
Value
(Amounts
in
000s)
‡
Building
&
Real
Estate
1.4%
Brookfield
Residential
Properties,
5.00%,
6/15/29 (6)
190
193
Cushman
&
Wakefield
U.S.
Borrower,
6.75%,
5/15/28 (6)
370
401
Howard
Hughes,
4.125%,
2/1/29 (6)
220
222
Howard
Hughes,
5.375%,
8/1/28 (6)
420
445
1,261
Cable
Operators
7.5%
Altice
Financing,
5.00%,
1/15/28 (6)
345
344
Altice
France,
5.125%,
7/15/29 (6)
335
338
Altice
France,
8.125%,
2/1/27 (6)
455
493
Altice
France
Holding,
6.00%,
2/15/28 (6)
815
808
CCO
Holdings,
4.50%,
8/15/30 (6)
95
99
CCO
Holdings,
4.50%,
6/1/33 (6)
200
207
CCO
Holdings,
5.00%,
2/1/28 (6)
333
348
CCO
Holdings,
5.375%,
6/1/29 (6)
800
873
CCO
Holdings,
5.50%,
5/1/26 (6)
310
320
CSC
Holdings,
6.50%,
2/1/29 (6)
745
822
CSC
Holdings,
7.50%,
4/1/28 (6)
625
684
DISH
DBS,
7.75%,
7/1/26
145
166
Netflix,
5.375%,
11/15/29 (6)
180
221
Netflix,
5.875%,
11/15/28
215
267
Netflix,
6.375%,
5/15/29
345
442
VTR
Finance,
6.375%,
7/15/28 (6)
200
213
Ziggo
Bond,
5.125%,
2/28/30 (6)
230
236
6,881
Chemicals
0.7%
Methanex,
5.125%,
10/15/27
82
89
Methanex,
5.25%,
12/15/29
120
131
Methanex,
5.65%,
12/1/44
186
201
SCIH
Salt
Holdings,
4.875%,
5/1/28 (6)
245
246
667
Conglomerates
0.2%
General
Electric,
Series D,
VR,
3.449% (4)
226
219
219
Consumer
Products
1.0%
CD&R
Smokey
Buyer,
6.75%,
7/15/25 (6)
110
117
Crocs,
4.25%,
3/15/29 (6)
395
407
Life
Time,
5.75%,
1/15/26 (6)
158
162
Wolverine
World
Wide,
4.00%,
8/15/29 (6)
195
197
883
Container
0.9%
Ardagh
Metal
Packaging
Finance
USA,
4.00%,
9/1/29 (6)
400
408
Trivium
Packaging
Finance,
5.50%,
8/15/26 (6)
200
210
Trivium
Packaging
Finance,
8.50%,
8/15/27 (6)
225
242
860
T.
ROWE
PRICE
Credit
Opportunities
Fund
7
Par/Shares
$
Value
(Amounts
in
000s)
‡
Energy
11.2%
Aethon
United
BR,
8.25%,
2/15/26 (6)
165
179
Archrock
Partners,
6.25%,
4/1/28 (6)
145
148
Chesapeake
Energy,
5.50%,
2/1/26 (6)
135
141
Chesapeake
Energy,
5.875%,
2/1/29 (6)
150
160
Citgo
Holding,
9.25%,
8/1/24 (6)
705
698
CITGO
Petroleum,
7.00%,
6/15/25 (6)
180
184
Continental
Resources,
4.375%,
1/15/28
160
179
Continental
Resources,
5.75%,
1/15/31 (6)
230
280
CrownRock,
5.625%,
10/15/25 (6)
50
52
DCP
Midstream
Operating,
6.75%,
9/15/37 (6)
215
268
DCP
Midstream
Operating,
8.125%,
8/16/30
46
61
EQT,
5.00%,
1/15/29
70
79
EQT,
STEP,
6.625%,
2/1/25
35
40
EQT,
STEP,
7.50%,
2/1/30
270
351
Exterran
Energy
Solutions,
8.125%,
5/1/25
240
216
Gulfport
Energy
Operating,
8.00%,
5/17/26 (6)
155
165
Hess,
7.30%,
8/15/31
500
679
Hess,
7.875%,
10/1/29
10
14
Magnolia
Oil
&
Gas
Operating,
6.00%,
8/1/26 (6)
115
118
NGL
Energy
Operating,
7.50%,
2/1/26 (6)
1,040
1,053
NuStar
Logistics,
5.75%,
10/1/25
80
86
NuStar
Logistics,
6.00%,
6/1/26
300
324
Occidental
Petroleum,
6.625%,
9/1/30
265
329
Occidental
Petroleum,
7.50%,
5/1/31
74
97
Occidental
Petroleum,
7.875%,
9/15/31
45
60
Occidental
Petroleum,
7.95%,
6/15/39
90
118
Occidental
Petroleum,
8.50%,
7/15/27
300
378
Occidental
Petroleum,
8.875%,
7/15/30
820
1,121
Range
Resources,
9.25%,
2/1/26
150
164
Solaris
Midstream
Holdings,
7.625%,
4/1/26 (6)
165
175
Tallgrass
Energy
Partners,
6.00%,
3/1/27 (6)
220
227
Tallgrass
Energy
Partners,
6.00%,
12/31/30 (6)
220
224
Tallgrass
Energy
Partners,
7.50%,
10/1/25 (6)
185
199
Targa
Resources
Partners,
4.00%,
1/15/32 (6)
85
89
Targa
Resources
Partners,
4.875%,
2/1/31 (6)
120
130
Targa
Resources
Partners,
5.50%,
3/1/30
80
88
Targa
Resources
Partners,
6.50%,
7/15/27
150
162
Targa
Resources
Partners,
6.875%,
1/15/29
260
291
Transocean
Phoenix
2,
7.75%,
10/15/24 (6)
39
39
Transocean
Pontus,
6.125%,
8/1/25 (6)
111
109
Transocean
Proteus,
6.25%,
12/1/24 (6)
91
90
USA
Compression
Partners,
6.875%,
9/1/27
205
214
Venture
Global
Calcasieu
Pass,
3.875%,
8/15/29 (6)
225
232
T.
ROWE
PRICE
Credit
Opportunities
Fund
8
Par/Shares
$
Value
(Amounts
in
000s)
‡
Venture
Global
Calcasieu
Pass,
4.125%,
8/15/31 (6)
290
305
10,316
Entertainment
&
Leisure
3.2%
Carnival,
7.625%,
3/1/26 (6)
350
370
Carnival,
9.875%,
8/1/27 (6)
345
398
Carnival,
11.50%,
4/1/23 (6)
105
118
Cedar
Fair,
5.25%,
7/15/29
100
102
Cedar
Fair,
5.375%,
4/15/27
350
360
Cedar
Fair,
6.50%,
10/1/28
605
650
Royal
Caribbean
Cruises,
5.50%,
8/31/26 (6)
210
213
Royal
Caribbean
Cruises,
5.50%,
4/1/28 (6)
170
171
Royal
Caribbean
Cruises,
9.125%,
6/15/23 (6)
20
22
Royal
Caribbean
Cruises,
10.875%,
6/1/23 (6)
105
118
SeaWorld
Parks
&
Entertainment,
5.25%,
8/15/29 (6)
205
204
Viking
Cruises,
7.00%,
2/15/29 (6)
120
120
Viking
Cruises,
13.00%,
5/15/25 (6)
90
104
2,950
Financial
2.9%
Acrisure,
10.125%,
8/1/26 (6)
413
465
AmWINS
Group,
4.875%,
6/30/29 (6)
80
81
Enact
Holdings,
6.50%,
8/15/25 (6)
150
163
Midcap
Financial
Issuer
Trust,
5.625%,
1/15/30 (6)
200
199
Midcap
Financial
Issuer
Trust,
6.50%,
5/1/28 (6)
530
553
Navient,
4.875%,
3/15/28
175
178
Navient,
6.75%,
6/25/25
255
285
Navient,
7.25%,
9/25/23
350
384
OneMain
Finance,
6.125%,
3/15/24
25
27
OneMain
Finance,
6.875%,
3/15/25
155
175
OneMain
Finance,
8.875%,
6/1/25
110
120
2,630
Food
0.2%
Triton
Water
Holdings,
6.25%,
4/1/29 (6)
202
200
200
Gaming
3.4%
Caesars
Entertainment,
8.125%,
7/1/27 (6)
580
641
CCM
Merger,
6.375%,
5/1/26 (6)
120
126
International
Game
Technology,
6.25%,
1/15/27 (6)
620
707
International
Game
Technology,
6.50%,
2/15/25 (6)
400
444
Peninsula
Pacific
Entertainment,
8.50%,
11/15/27 (6)
325
347
Scientific
Games
International,
7.00%,
5/15/28 (6)
65
70
Scientific
Games
International,
7.25%,
11/15/29 (6)
195
217
Scientific
Games
International,
8.25%,
3/15/26 (6)
185
197
Scientific
Games
International,
8.625%,
7/1/25 (6)
130
140
Wynn
Resorts
Finance,
5.125%,
10/1/29 (6)
200
208
3,097
T.
ROWE
PRICE
Credit
Opportunities
Fund
9
Par/Shares
$
Value
(Amounts
in
000s)
‡
Health
Care
5.4%
Avantor
Funding,
4.625%,
7/15/28 (6)
215
226
Bausch
Health,
4.875%,
6/1/28 (6)
205
210
Bausch
Health,
7.00%,
1/15/28 (6)
10
10
Bausch
Health,
7.25%,
5/30/29 (6)
516
531
Bausch
Health
Americas,
8.50%,
1/31/27 (6)
517
556
Centene,
4.625%,
12/15/29
295
324
CHS,
6.00%,
1/15/29 (6)
205
218
CHS,
6.875%,
4/1/28 (6)
180
178
CHS,
8.00%,
12/15/27 (6)
200
220
HCA,
5.875%,
2/1/29
305
370
Legacy
LifePoint
Health,
6.75%,
4/15/25 (6)
240
253
RegionalCare
Hospital
Partners
Holdings,
9.75%,
12/1/26 (6)
57
61
Tenet
Healthcare,
6.125%,
10/1/28 (6)
290
307
Tenet
Healthcare,
7.50%,
4/1/25 (6)
310
332
Teva
Pharmaceutical
Finance
Netherlands
III,
7.125%,
1/31/25
1,075
1,172
4,968
Information
Technology
0.6%
Boxer
Parent,
7.125%,
10/2/25 (6)
55
59
Expedia
Group,
6.25%,
5/1/25 (6)
140
161
Match
Group
Holdings
II,
4.125%,
8/1/30 (6)
20
21
Photo
Holdings
Merger
Sub,
8.50%,
10/1/26 (6)
290
314
555
Lodging
0.5%
Hilton
Domestic
Operating,
4.875%,
1/15/30
180
193
Hilton
Domestic
Operating,
5.375%,
5/1/25 (6)
30
31
Hilton
Domestic
Operating,
5.75%,
5/1/28 (6)
165
178
XHR,
4.875%,
6/1/29 (6)
75
77
479
Manufacturing
0.5%
Colfax,
6.375%,
2/15/26 (6)
105
110
Madison
IAQ,
4.125%,
6/30/28 (6)
205
206
Madison
IAQ,
5.875%,
6/30/29 (6)
115
118
434
Metals
&
Mining
2.5%
Arconic,
6.125%,
2/15/28 (6)
225
240
Big
River
Steel,
6.625%,
1/31/29 (6)
207
225
Cleveland-Cliffs,
9.875%,
10/17/25 (6)
83
96
Freeport-McMoRan,
5.40%,
11/14/34
257
319
Freeport-McMoRan,
5.45%,
3/15/43
320
405
Hecla
Mining,
7.25%,
2/15/28
300
322
Hudbay
Minerals,
4.50%,
4/1/26 (6)
115
116
Hudbay
Minerals,
6.125%,
4/1/29 (6)
120
129
Joseph
T.
Ryerson
&
Son,
8.50%,
8/1/28 (6)
126
139
T.
ROWE
PRICE
Credit
Opportunities
Fund
10
Par/Shares
$
Value
(Amounts
in
000s)
‡
TMS
International,
6.25%,
4/15/29 (6)
250
261
2,252
Restaurants
0.5%
Dave
&
Buster's,
7.625%,
11/1/25 (6)
276
293
Yum!
Brands,
7.75%,
4/1/25 (6)
180
193
486
Retail
2.2%
Bath
&
Body
Works,
6.625%,
10/1/30 (6)
315
366
Bath
&
Body
Works,
6.75%,
7/1/36
110
140
Bath
&
Body
Works,
6.95%,
3/1/33
25
30
Bath
&
Body
Works,
7.50%,
6/15/29
70
81
Bath
&
Body
Works,
9.375%,
7/1/25 (6)
260
337
PetSmart,
4.75%,
2/15/28 (6)
380
395
PetSmart,
7.75%,
2/15/29 (6)
580
637
1,986
Satellites
1.4%
Intelsat
Jackson
Holdings,
9.50%,
9/30/22 (6)
1,043
1,239
1,239
Services
3.2%
Clarivate
Science
Holdings,
4.875%,
7/1/29 (6)
200
206
eG
Global
Finance,
6.75%,
2/7/25 (6)
200
204
eG
Global
Finance,
8.50%,
10/30/25 (6)
200
209
Presidio
Holdings,
8.25%,
2/1/28 (6)
215
232
Prime
Security
Services
Borrower,
5.75%,
4/15/26 (6)
185
199
Prime
Security
Services
Borrower,
6.25%,
1/15/28 (6)
240
248
Sabre
GLBL,
7.375%,
9/1/25 (6)
65
69
Sabre
GLBL,
9.25%,
4/15/25 (6)
215
248
Staples,
10.75%,
4/15/27 (6)
160
156
TK
Elevator
U.S.
Newco,
5.25%,
7/15/27 (6)
490
516
Vertical
Holdco,
7.625%,
7/15/28 (6)
439
476
WASH
Multifamily
Acquisition,
5.75%,
4/15/26 (6)
165
172
2,935
Supermarkets
1.2%
Albertsons,
4.875%,
2/15/30 (6)
250
272
Albertsons,
5.875%,
2/15/28 (6)
305
327
Albertsons,
7.50%,
3/15/26 (6)
405
440
New
Albertsons,
7.45%,
8/1/29
15
18
New
Albertsons,
8.00%,
5/1/31
5
6
1,063
Transportation
0.4%
Watco,
6.50%,
6/15/27 (6)
370
395
395
Utilities
2.7%
Calpine,
5.00%,
2/1/31 (6)
150
153
Calpine,
5.125%,
3/15/28 (6)
400
407
T.
ROWE
PRICE
Credit
Opportunities
Fund
11
Par/Shares
$
Value
(Amounts
in
000s)
‡
NRG
Energy,
5.25%,
6/15/29 (6)
190
206
NRG
Energy,
5.75%,
1/15/28
315
337
PG&E,
5.00%,
7/1/28
213
211
PG&E,
5.25%,
7/1/30
330
325
Pike,
5.50%,
9/1/28 (6)
195
198
Vistra
Operations,
4.375%,
5/1/29 (6)
325
330
Vistra
Operations,
5.50%,
9/1/26 (6)
290
298
Vistra
Operations,
5.625%,
2/15/27 (6)
35
36
2,501
Wireless
Communications
1.4%
Sprint,
7.125%,
6/15/24
250
287
Sprint,
7.625%,
2/15/25
675
799
Sprint
Capital,
6.875%,
11/15/28
170
222
1,308
Total
Corporate
Bonds
(Cost
$58,348)
61,807
MUNICIPAL
SECURITIES
1.4%
Puerto
Rico
1.4%
Puerto
Rico
Commonwealth,
Public
Improvement,
Series A,
GO,
5.25%,
7/1/23 (3)(7)
125
112
Puerto
Rico
Commonwealth,
Public
Improvement,
Series A,
GO,
5.25%,
7/1/25 (3)(7)
65
61
Puerto
Rico
Commonwealth,
Public
Improvement,
Series A,
GO,
8.00%,
7/1/35 (3)(7)
1,180
1,001
Puerto
Rico
Commonwealth,
Public
Improvement,
Series E,
GO,
5.50%,
7/1/31 (3)(7)
135
126
Total
Municipal
Securities
(Cost
$1,210)
1,300
SHORT-TERM
INVESTMENTS
6.3%
Money
Market
Funds
6.3%
T.
Rowe
Price
Government
Reserve
Fund,
0.05% (8)(9)
5,755
5,755
Total
Short-Term
Investments
(Cost
$5,755)
5,755
Total
Investments
in
Securities
102.2%
(Cost
$89,076)
$
93,845
Other
Assets
Less
Liabilities
(2.2)%
(1,978)
Net
Assets
100.0%
$
91,867
T.
ROWE
PRICE
Credit
Opportunities
Fund
12
.
.
.
.
.
.
.
.
.
.
‡
Par/Shares
and
Notional
Amount
are
denominated
in
U.S.
dollars
unless
otherwise
noted.
(1)
Bank
loan
positions
may
involve
multiple
underlying
tranches.
In
those
instances,
the
position
presented
reflects
the
aggregate
of
those
respective
underlying
tranches
and
the
rate
presented
reflects
the
weighted
average
rate
of
the
settled
positions.
(2)
All
or
a
portion
of
this
loan
is
unsettled
as
of
August
31,
2021.
The
interest
rate
for
unsettled
loans
will
be
determined
upon
settlement
after
period
end.
(3)
Non-income
producing
(4)
Perpetual
security
with
no
stated
maturity
date.
(5)
Security
cannot
be
offered
for
public
resale
without
first
being
registered
under
the
Securities
Act
of
1933
and
related
rules
("restricted
security").
Acquisition
date
represents
the
day
on
which
an
enforceable
right
to
acquire
such
security
is
obtained
and
is
presented
along
with
related
cost
in
the
security
description.
The
fund
has
registration
rights
for
certain
restricted
securities.
Any
costs
related
to
such
registration
are
borne
by
the
issuer.
The
aggregate
value
of
restricted
securities
(excluding
144A
holdings)
at
period
end
amounts
to
$1,454
and
represents
1.6%
of
net
assets.
(6)
Security
was
purchased
pursuant
to
Rule
144A
under
the
Securities
Act
of
1933
and
may
be
resold
in
transactions
exempt
from
registration
only
to
qualified
institutional
buyers.
Total
value
of
such
securities
at
period-end
amounts
to
$44,463
and
represents
48.4%
of
net
assets.
(7)
Issuer
is
currently
in
a
bankruptcy
reorganization
proceeding;
the
amount
and
timing
of
future
distributions
is
uncertain.
(8)
Seven-day
yield
(9)
Affiliated
Companies
1M
USD
LIBOR
One
month
USD
LIBOR
(London
interbank
offered
rate)
3M
EURIBOR
Three
month
EURIBOR
(Euro
interbank
offered
rate)
3M
USD
LIBOR
Three
month
USD
LIBOR
(London
interbank
offered
rate)
CAD
Canadian
Dollar
EUR
Euro
FRN
Floating
Rate
Note
GO
General
Obligation
OTC
Over-the-counter
PRIME
Prime
rate
REIT
A
domestic
Real
Estate
Investment
Trust
whose
distributions
pass-through
with
original
tax
character
to
the
shareholder
STEP
Stepped
coupon
bond
for
which
the
coupon
rate
of
interest
adjusts
on
specified
date(s);
rate
shown
is
effective
rate
at
period-end.
USD
U.S.
Dollar
VR
Variable
Rate;
rate
shown
is
effective
rate
at
period-end.
The
rates
for
certain
variable
rate
securities
are
not
based
on
a
published
reference
rate
and
spread
but
are
determined
by
the
issuer
or
agent
and
based
on
current
market
conditions.
T.
ROWE
PRICE
Credit
Opportunities
Fund
13
(Amounts
in
000s,
except
for
contracts)
OPTIONS
WRITTEN
(0.0)%
OTC
Options
Written
(0.0)%
Counterparty
Description
Contracts
Notional
Amount
$
Value
Credit
Suisse
Credit
Default
Swap,
Protection
Bought
(Relevant
Credit:
Markit
CDX.NA.HY-S36,
5
Year
Index,
6/20/26),
Pay
5.00%
Quarterly,
Receive
upon
credit
default,
12/15/21
@
1.00%*
1
1,270
(3)
Total
Options
Written
(Premiums
$(5))
$
(3)
*
Exercise
Spread
T.
ROWE
PRICE
Credit
Opportunities
Fund
14
(Amounts
in
000s)
SWAPS
0.0%
Description
Notional
Amount
$
Value
Upfront
Payments/
$
(Receipts)
Unrealized
$
Gain/(Loss)
BILATERAL
SWAPS
0.0%
Credit
Default
Swaps,
Protection
Sold
0.0%
Barclays
Bank,
Protection
Sold
(Relevant
Credit:
American
Airlines
Group,
Caa1*),
Receive
5.00%,
Quarterly,
Pay
upon
credit
default,
12/20/21
*
40
1
(1)
2
Barclays
Bank,
Protection
Sold
(Relevant
Credit:
Royal
Caribbean
Cruises,
B2*),
Receive
5.00%,
Quarterly,
Pay
upon
credit
default,
12/20/23
*
65
3
(2)
5
Citibank,
Protection
Sold
(Relevant
Credit:
American
Airlines
Group,
Caa1*),
Receive
5.00%,
Quarterly,
Pay
upon
credit
default,
12/20/21
*
140
3
—
3
Citibank,
Protection
Sold
(Relevant
Credit:
Royal
Caribbean
Cruises,
B2*),
Receive
5.00%,
Quarterly,
Pay
upon
credit
default,
12/20/23
*
70
4
(2)
6
JPMorgan
Chase,
Protection
Sold
(Relevant
Credit:
American
Airlines
Group,
Caa1*),
Receive
5.00%,
Quarterly,
Pay
upon
credit
default,
12/20/21
*
10
—
—
—
Total
Bilateral
Credit
Default
Swaps,
Protection
Sold
(5)
16
Total
Bilateral
Swaps
(5)
16
Description
Notional
Amount
$
Value
Initial
$
Value
**
Unrealized
$
Gain/(Loss)
CENTRALLY
CLEARED
SWAPS
(0.0)%
Credit
Default
Swaps,
Protection
Sold
(0.0)%
Protection
Sold
(Relevant
Credit:
American
Airlines
Group,
Caa1*),
Receive
5.00%,
Quarterly,
Pay
upon
credit
default,
6/20/23
*
58
—
(2)
2
T.
ROWE
PRICE
Credit
Opportunities
Fund
15
(Amounts
in
000s)
Description
Notional
Amount
$
Value
Initial
$
Value**
Unrealized
$
Gain/(Loss)
Protection
Sold
(Relevant
Credit:
American
Airlines
Group,
Caa1*),
Receive
5.00%,
Quarterly,
Pay
upon
credit
default,
6/20/25
*
96
(7)
(5)
(2)
Total
Centrally
Cleared
Credit
Default
Swaps,
Protection
Sold
—
Total
Centrally
Cleared
Swaps
—
Net
payments
(receipts)
of
variation
margin
to
date
1
Variation
margin
receivable
(payable)
on
centrally
cleared
swaps
$
1
*
Credit
ratings
as
of
August
31,
2021.
Ratings
shown
are
from
Moody’s
Investors
Service
and
if
Moody’s
does
not
rate
a
security,
then
Standard
&
Poor’s
(S&P)
is
used.
Fitch
is
used
for
securities
that
are
not
rated
by
either
Moody’s
or
S&P.
**
Includes
interest
purchased
or
sold
but
not
yet
collected
of
less
than
$1,000.
T.
ROWE
PRICE
Credit
Opportunities
Fund
16
(Amounts
in
000s)
FORWARD
CURRENCY
EXCHANGE
CONTRACTS
Counterparty
Settlement
Receive
Deliver
Unrealized
Gain/(Loss)
Citibank
11/19/21
USD
129
EUR
108
$
1
JPMorgan
Chase
10/22/21
USD
100
CAD
125
—
JPMorgan
Chase
11/19/21
USD
29
EUR
25
—
Net
unrealized
gain
(loss)
on
open
forward
currency
exchange
contracts
$
1
T.
ROWE
PRICE
Credit
Opportunities
Fund
17
The
accompanying
notes
are
an
integral
part
of
this
Portfolio
of
Investments.
AFFILIATED
COMPANIES
($000s)
The
fund
may
invest
in
certain
securities
that
are
considered
affiliated
companies.
As
defined
by
the
1940
Act,
an
affiliated
company
is
one
in
which
the
fund
owns
5%
or
more
of
the
outstanding
voting
securities,
or
a
company
that
is
under
common
ownership
or
control.
The
following
securities
were
considered
affiliated
companies
for
all
or
some
portion
of
the
three
months
ended
August
31,
2021.
Net
realized
gain
(loss),
investment
income,
change
in
net
unrealized
gain/loss,
and
purchase
and
sales
cost
reflect
all
activity
for
the
period
then
ended.
Affiliate
Net
Realized
Gain
(Loss)
Change
in
Net
Unrealized
Gain/Loss
Investment
Income
T.
Rowe
Price
Government
Reserve
Fund,
0.05%
$
—#
$
—
$
—+
Supplementary
Investment
Schedule
Affiliate
Value
05/31/21
Purchase
Cost
Sales
Cost
Value
08/31/21
T.
Rowe
Price
Government
Reserve
Fund,
0.05%
$
2,576
¤
¤
$
5,755^
#
Capital
gain
distributions
from
mutual
funds
represented
$0
of
the
net
realized
gain
(loss).
+
Investment
income
comprised
$0
of
dividend
income
and
$0
of
interest
income.
¤
Purchase
and
sale
information
not
shown
for
cash
management
funds.
^
The
cost
basis
of
investments
in
affiliated
companies
was
$5,755.
T.
ROWE
PRICE
Credit
Opportunities
Fund
Unaudited
Notes
to
Portfolio
of
Investments
18
T.
Rowe
Price
Credit
Opportunities
Fund,
Inc. (the
fund) is
registered
under
the
Investment
Company
Act
of
1940
(the
1940
Act)
as
an
open-end
management
investment
company
and
follows
accounting
and
reporting
guidance
of
the
Financial
Accounting
Standards
Board
Accounting
Standards
Codification
Topic
946.
The
accompanying
Portfolio
of
Investments
was
prepared
in
accordance
with
accounting
principles
generally
accepted
in
the
United
States
of
America
(GAAP).
For
additional
information
on
the
fund’s
significant
accounting
policies
and
investment
related
disclosures,
please
refer
to
the
fund’s most
recent
semiannual
or
annual
shareholder
report
and
its
prospectus.
VALUATION
Fair
Value
The
fund’s
financial
instruments
are
valued
at
the
close
of
the
New
York
Stock
Exchange
(NYSE),
normally
4
p.m.
ET,
each
day
the
NYSE
is
open
for
business,
and
are
reported
at
fair
value,
which
GAAP
defines
as
the
price
that
would
be
received
to
sell
an
asset
or
paid
to
transfer
a
liability
in
an
orderly
transaction
between
market
participants
at
the
measurement
date. The
T.
Rowe
Price
Valuation
Committee
(the
Valuation
Committee)
is
an
internal
committee
that
has
been
delegated
certain
responsibilities
by
the
fund’s
Board
of
Directors
(the
Board)
to
ensure
that
financial
instruments
are
appropriately
priced
at
fair
value
in
accordance
with
GAAP
and
the
1940
Act.
Subject
to
oversight
by
the
Board,
the
Valuation
Committee
develops
and
oversees
pricing-related
policies
and
procedures
and
approves
all
fair
value
determinations.
Specifically,
the
Valuation
Committee
establishes
policies
and
procedures
used
in
valuing
financial
instruments,
including
those
which
cannot
be
valued
in
accordance
with
normal
procedures
or
using
pricing
vendors;
determines
pricing
techniques,
sources,
and
persons
eligible
to
effect
fair
value
pricing
actions;
evaluates
the
services
and
performance
of
the
pricing
vendors;
oversees
the
pricing
process
to
ensure
policies
and
procedures
are
being
followed;
and
provides
guidance
on
internal
controls
and
valuation-related
matters.
The
Valuation
Committee
provides
periodic
reporting
to
the
Board
on
valuation
matters.
Various
valuation
techniques
and
inputs
are
used
to
determine
the
fair
value
of
financial
instruments.
GAAP
establishes
the
following
fair
value
hierarchy
that
categorizes
the
inputs
used
to
measure
fair
value:
Level
1
–
quoted
prices
(unadjusted)
in
active
markets
for
identical
financial
instruments
that
the
fund
can
access
at
the
reporting
date
T.
ROWE
PRICE
Credit
Opportunities
Fund
19
Level
2
–
inputs
other
than
Level
1
quoted
prices
that
are
observable,
either
directly
or
indirectly
(including,
but
not
limited
to,
quoted
prices
for
similar
financial
instruments
in
active
markets,
quoted
prices
for
identical
or
similar
financial
instruments
in
inactive
markets,
interest
rates
and
yield
curves,
implied
volatilities,
and
credit
spreads)
Level
3
–
unobservable
inputs
(including
the fund’s
own
assumptions
in
determining
fair
value)
Observable
inputs
are
developed
using
market
data,
such
as
publicly
available
information
about
actual
events
or
transactions,
and
reflect
the
assumptions
that
market
participants
would
use
to
price
the
financial
instrument.
Unobservable
inputs
are
those
for
which
market
data
are
not
available
and
are
developed
using
the
best
information
available
about
the
assumptions
that
market
participants
would
use
to
price
the
financial
instrument.
GAAP
requires
valuation
techniques
to
maximize
the
use
of
relevant
observable
inputs
and
minimize
the
use
of
unobservable
inputs.
When
multiple
inputs
are
used
to
derive
fair
value,
the
financial
instrument
is
assigned
to
the
level
within
the
fair
value
hierarchy
based
on
the
lowest-level
input
that
is
significant
to
the
fair
value
of
the
financial
instrument.
Input
levels
are
not
necessarily
an
indication
of
the
risk
or
liquidity
associated
with
financial
instruments
at
that
level
but
rather
the
degree
of
judgment
used
in
determining
those
values.
Valuation
Techniques
Debt
securities
generally
are
traded
in
the over-the-counter
(OTC)
market
and
are
valued
at
prices
furnished
by
independent
pricing
services
or
by
broker
dealers
who
make
markets
in
such
securities.
When
valuing
securities,
the
independent
pricing
services
consider
the
yield
or
price
of
bonds
of
comparable
quality,
coupon,
maturity,
and
type,
as
well
as
prices
quoted
by
dealers
who
make
markets
in
such
securities.
Equity
securities,
including
exchange-traded
funds, listed
or
regularly
traded
on
a
securities
exchange
or
in
the
over-the-counter
(OTC)
market
are
valued
at
the
last
quoted
sale
price
or,
for
certain
markets,
the
official
closing
price
at
the
time
the
valuations
are
made.
OTC
Bulletin
Board
securities
are
valued
at
the
mean
of
the
closing
bid
and
asked
prices.
A
security
that
is
listed
or
traded
on
more
than
one
exchange
is
valued
at
the
quotation
on
the
exchange
determined
to
be
the
primary
market
for
such
security.
Listed
securities
not
traded
on
a
particular
day
are
valued
at
the
mean
of
the
closing
bid
and
asked
prices
for
domestic
securities.
Investments
in
mutual
funds
are
valued
at
the
mutual
fund’s
closing
NAV
per
share
on
the
day
of
valuation.
Listed
options,
and
OTC
options
with
a
listed
equivalent,
are
valued
at
the
mean
of
the
closing
bid
and
asked
prices
and
exchange-traded
options
on
T.
ROWE
PRICE
Credit
Opportunities
Fund
20
futures
contracts
are
valued
at
closing
settlement
prices.
Forward
currency
exchange
contracts
are
valued
using
the
prevailing
forward
exchange
rate.
Swaps
are
valued
at
prices
furnished
by
an
independent
pricing
service
or
independent
swap
dealers.
Investments
for
which
market
quotations
or
market-based
valuations
are
not
readily
available
or
deemed
unreliable
are
valued
at
fair
value
as
determined
in
good
faith
by
the
Valuation
Committee,
in
accordance
with
fair
valuation
policies
and
procedures.
The
objective
of
any
fair
value
pricing
determination
is
to
arrive
at
a
price
that
could
reasonably
be
expected
from
a
current
sale.
Financial
instruments
fair
valued
by
the
Valuation
Committee
are
primarily
private
placements,
restricted
securities,
warrants,
rights,
and
other
securities
that
are
not
publicly
traded.
Factors
used
in
determining
fair
value
vary
by
type
of
investment
and
may
include
market
or
investment
specific
considerations.
The
Valuation
Committee
typically
will
afford
greatest
weight
to
actual
prices
in
arm’s
length
transactions,
to
the
extent
they
represent
orderly
transactions
between
market
participants,
transaction
information
can
be
reliably
obtained,
and
prices
are
deemed
representative
of
fair
value.
However,
the
Valuation
Committee
may
also
consider
other
valuation
methods
such
as
market-based
valuation
multiples;
a
discount
or
premium
from
market
value
of
a
similar,
freely
traded
security
of
the
same
issuer;
discounted
cash
flows;
yield
to
maturity;
or
some
combination.
Fair
value
determinations
are
reviewed
on
a
regular
basis
and
updated
as
information
becomes
available,
including
actual
purchase
and
sale
transactions
of
the
investment.
Because
any
fair
value
determination
involves
a
significant
amount
of
judgment,
there
is
a
degree
of
subjectivity
inherent
in
such
pricing
decisions,
and
fair
value
prices
determined
by
the
Valuation
Committee
could
differ
from
those
of
other
market
participants.
T.
ROWE
PRICE
Credit
Opportunities
Fund
21
Valuation
Inputs
The
following
table
summarizes
the
fund’s
financial
instruments,
based
on
the
inputs
used
to
determine
their
fair
values
on
August
31,
2021
(for
further
detail
by
category,
please
refer
to
the
accompanying
Portfolio
of
Investments):
F105-054Q1
08/21
($000s)
Level
1
Level
2
Level
3
Total
Value
Assets
Fixed
Income
Securities
1
$
—
$
83,526
$
—
$
83,526
Common
Stocks
1,417
—
—
1,417
Convertible
Preferred
Stocks
—
3,147
—
3,147
Short-Term
Investments
5,755
—
—
5,755
Total
Securities
7,172
86,673
—
93,845
Swaps*
—
13
—
13
Forward
Currency
Exchange
Contracts
—
1
—
1
Total
$
7,172
$
86,687
$
—
$
93,859
Liabilities
Options
Written
$
—
$
3
$
—
$
3
Swaps*
—
2
—
2
Forward
Currency
Exchange
Contracts
—
—
—
—
Total
$
—
$
5
$
—
$
5
1
Includes
Bank
Loans,
Convertible
Bonds,
Corporate
Bonds
and
Municipal
Securities.
*
The
fair
value
presented
includes
cumulative
gain
(loss)
on
centrally
cleared
swaps;
however,
the
net
value
reflected
on
the
accompanying
Portfolio
of
Investments
is
only
the
unsettled
variation
margin
receivable
(payable)
at
that
date.