Franklin High Income Trust N-CSR Certified annual shareholder report (management investment company)

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT COMPANIES

Investment Company Act file number

811-

01608

Franklin High Income Trust

(Exact name of registrant as specified in charter)

One Franklin Parkway, San Mateo, CA 94403-1906

(Address of principal executive offices) (Zip code)

Alison Baur, One Franklin Parkway, San Mateo, CA  94403-1906

(Name and address of agent for service)

Registrant's telephone number, including area code: 650 312-2000

Date of fiscal year end: 5/31

Date of reporting period: 5/31/22

Item 1. Reports to Stockholders.

a.)

The following is a copy of the report transmitted to shareholders pursuant to Rule30e-1 under the Investment Company Act of 1940, as amended (the “1940 Act”) (17 CFR 270.30e-1.)

b.)

Include a copy of each notice transmitted to stockholders in reliance on Rule 30e-3 under the Act (17 CFR 270.30e-3) that contains disclosures specified by paragraph (c)(3) of that rule.

Not Applicable

.

ANNUAL

REPORT

AND

SHAREHOLDER

LETTER

Franklin

High

Income

Fund

A

Series

of

Franklin

High

Income

Trust

May

31,

2022

Sign

up

for

electronic

delivery

at

franklintempleton.com/edelivery

Not

FDIC

Insured

May

Lose

Value

No

Bank

Guarantee

franklintempleton.com

Annual

Report

1

Shareholder

Letter

Dear

Shareholder:

During

the

12

months

ended

May

31,

2022,

the

U.S.

economy

showed

progress

as

it

continued

to

recover

from

the

COVID-19

pandemic

amid

declining

unemployment

and

rising

wages

and

personal

consumption.

Growth

mostly

accelerated

in

2021

as

the

reopening

of

businesses,

widespread

vaccinations

and

federal

assistance

programs

boosted

consumer

spending,

excepting

slower

third-quarter

growth

as

the

swiftly

spreading

Delta

variant

hindered

global

supply

chains.

The

U.S.

economy

contracted

in

2022’s

first

quarter

given

a

record

trade

deficit

and

a

decline

in

inventory

investment,

although

household

spending

and

business

fixed

investment

remained

strong.

Inflation

increased

during

the

12-month

period,

influenced

by

pandemic-related

supply

and

demand

imbalances,

higher

energy

prices,

Russia’s

invasion

of

Ukraine

and

broader

price

pressures.

During

much

of

the

period,

the

U.S.

Federal

Reserve

(Fed)

continued

quantitative

easing

measures

to

bolster

credit

markets

and

encourage

economic

activity.

However,

to

support

its

goals

of

maximizing

employment

and

returning

long-term

annual

inflation

to

2%,

the

Fed

decreased

its

monthly

asset

purchases

starting

in

November

2021,

increased

its

tapering

in

subsequent

months

and

ended

purchases

in

March

2022.

The

Fed

also

raised

the

federal

funds

target

rate

at

its

March

and

May

meetings,

up

to

a

range

of

0.75%–1.00%

and

stated

its

intention

to

continue

reducing

its

U.S.

Treasury,

government

agency

debt

and

mortgage-backed

securities

holdings.

Shortly

after

the

reporting

period,

at

its

June

meeting

the

Fed

further

raised

its

target

rate

to

a

range

of

1.50%-1.75%

and

reiterated

its

anticipation

of

ongoing

increases

to

combat

inflation.

The

10-year

Treasury

yield,

which

moves

inversely

to

price,

rose

during

the

12

months,

especially

closer

to

period-end

given

tighter

monetary

policy

prompted

by

rising

inflation

amid

ongoing

supply

chain

disruptions.

Most

bond

valuations

declined,

and

the

difference

in

yields

between

corporate

bonds

and

U.S.

Treasuries

rose,

reflecting

investors’

lower-

risk

preferences.

In

this

environment,

investment-grade

bonds,

as

measured

by

the

Bloomberg

U.S.

Aggregate

Bond

Index,

posted

a

-8.22%

total

return,

while

below

investment-

grade

corporate

bonds,

as

measured

by

the

Credit

Suisse

High

Yield

Index,

posted

a

-4.77%

total

return.

1

We

are

committed

to

our

long-term

perspective

and

disciplined

investment

approach

as

we

conduct

a

rigorous,

fundamental

analysis

of

securities

with

a

regular

emphasis

on

investment

risk

management.

We

believe

active,

professional

investment

management

serves

investors

well.

We

also

recognize

the

important

role

of

financial

professionals

in

today’s

markets

and

encourage

investors

to

continue

to

seek

their

advice.

Amid

changing

markets

and

economic

conditions,

we

are

confident

investors

with

a

well-diversified

portfolio

and

a

patient,

long-term

outlook

should

be

well-positioned

for

the

years

ahead.

In

addition,

Franklin

High

Income

Fund’s

annual

report

includes

more

detail

about

prevailing

conditions

and

a

discussion

about

investment

decisions

during

the

period.

Please

remember

all

securities

markets

fluctuate,

as

do

mutual

fund

share

prices.

We

thank

you

for

investing

with

Franklin

Templeton,

welcome

your

questions

and

comments,

and

look

forward

to

serving

your

future

investment

needs.

Sincerely,

Sonal

Desai,

Ph.D.

Executive

Vice

President,

Chief

Investment

Officer

of

Franklin

Templeton

Fixed

Income

This

letter

reflects

our

analysis

and

opinions

as

of

May

31,

2022,

unless

otherwise

indicated.

The

information

is

not

a

complete

analysis

of

every

aspect

of

any

market,

country,

industry,

security

or

fund.

Statements

of

fact

are

from

sources

considered

reliable.

1.

Source:

Morningstar.

See

www.franklintempletondatasources.com

for

additional

data

provider

information.

franklintempleton.com

Annual

Report

2

Contents

Annual

Report

Franklin

High

Income

Fund

3

Performance

Summary

6

Your

Fund’s

Expenses

9

Financial

Highlights

and

Schedule

of

Investments

10

Financial

Statements

29

Notes

to

Financial

Statements

33

Report

of

Independent

Registered

Public

Accounting

Firm

46

Tax

Information

47

Board

Members

and

Officers

48

Shareholder

Information

53

Visit

franklintempleton.com

for

fund

updates,

to

access

your

account,

or

to

find

helpful

financial

planning

tools.

3

franklintempleton.com

Annual

Report

ANNUAL

REPORT

Franklin

High

Income

Fund

This

annual

report

for

Franklin

High

Income

Fund

covers

the

fiscal

year

ended

May

31,

202

2

.

Your

Fund’s

Goal

and

Main

Investments

The

Fund

seeks

to

earn

a

high

level

of

current

income.

Its

secondary

goal

is

to

seek

capital

appreciation

to

the

extent

it

is

possible

and

consistent

with

the

Fund’s

principal

goal.

The

Fund

invests

predominantly

in

high

yield,

lower-rated

debt

securities

including

bonds,

notes,

debentures,

convertible

securities,

and

senior

and

subordinated

debt

securities.

The

Fund

may

also

invest

in

preferred

stocks.

Performance

Overview

The

Fund’s

Class

A

shares

posted

a

-5.15%

cumulative

total

return

for

the

12

months

under

review.

In

comparison,

the

Fund’s

primary

benchmark,

the

ICE

BofA

U.S.

High

Yield

Constrained

Index,

which

tracks

the

performance

of

high-

yield

securities

traded

in

the

U.S.

bond

market,

posted

a

-5.00%

cumulative

total

return.

1

The

Fund’s

peers

posted

a

-5.04%

cumulative

total

return,

as

measured

by

the

Lipper

High

Yield

Funds

Classification

Average,

which

consists

of

funds

chosen

by

Lipper

that

aim

at

high

relative

current

yield

from

fixed

income

securities.

2

You

can

find

more

of

the

Fund’s

performance

data

in

the

Performance

Summary

beginning

on

page

6

.

Performance

data

represent

past

performance,

which

does

not

guarantee

future

results.

Investment

return

and

principal

value

will

fluctuate,

and

you

may

have

a

gain

or

loss

when

you

sell

your

shares.

Current

performance

may

differ

from

figures

shown.

For

most

recent

month-end

performance,

go

to

franklintempleton.com

or

call

(800)

342-5236

.

Economic

and

Market

Overview

The

U.S.

bond

market,

as

measured

by

the

Bloomberg

U.S.

Aggregate

Bond

Index,

posted

a

-8.22%

total

return

for

the

12

months

ended

May

31,

2022.

1

Growing

inflation

amid

supply

chain

disruptions

and

increased

consumer

spending

led

to

tighter

monetary

policy,

reducing

the

value

of

most

bonds.

Geopolitical

instability

disrupted

financial

markets

following

Russia’s

invasion

of

Ukraine,

adding

to

the

uncertainty

surrounding

the

course

of

the

global

economy.

The

yield

curve

flattened

significantly

during

the

period,

reflecting

investors’

expectations

that

short-term

interest

rates

would

continue

to

rise,

while

the

outlook

for

long-term

economic

growth

was

uncertain.

In

an

effort

to

control

inflation,

the

U.S.

Federal

Reserve

(Fed)

raised

the

federal

funds

target

rate

twice,

to

a

range

of

0.75%–1.00%.

The

Fed

noted

in

its

May

2022

meeting

that

inflation

remained

high,

as

job

growth

was

robust

and

the

unemployment

rate

continued

to

fall,

despite

economic

contraction

in

the

first

quarter

of

2022.

Furthermore,

the

Fed

said

it

expected

to

begin

reducing

its

bond

holdings

in

June

2022,

and

it

anticipated

instituting

further

interest

rate

increases

at

future

meetings.

U.S.

Treasury

(UST)

bonds,

as

measured

by

the

Bloomberg

U.S.

Treasury

Index,

posted

a

-7.50%

total

return

for

the

12-month

period.

1

The

10-year

UST

yield

(which

moves

inversely

to

price)

increased,

particularly

later

in

the

period

amid

high

inflation

and

the

Fed’s

tightening

monetary

stance.

Mortgage-backed

securities

(MBS),

as

measured

by

the

Bloomberg

U.S.

MBS

Index,

posted

a

-7.59%

total

return

for

the

period

as

mortgage

rates

rose

to

the

highest

level

in

over

a

decade.

1

Corporate

bond

prices

also

declined

overall,

constrained

by

inflation,

rising

interest

rates

and

concerns

about

the

impact

of

higher

interest

rates

on

corporate

borrowing

costs

and

the

wider

economy.

Corporate

yield

spreads,

a

measure

of

the

difference

in

yields

between

corporate

bonds

and

similarly-dated

USTs,

rose,

reflecting

investors’

increased

risk

aversion

preferences.

In

this

environment,

high-

yield

corporate

bonds,

as

represented

by

the

Bloomberg

Portfolio

Composition

5/31/22

%

of

Total

Net

Assets

Corporate

Bonds

88.5%

Senior

Floating

Rate

Interests

2.4%

Other

0.8%

Short-Term

Investments

&

Other

Net

Assets

8.3%

1.

Source:

Morningstar.

Treasuries,

if

held

to

maturity,

offer

a

fixed

rate

of

return

and

a

fixed

principal

value;

their

interest

payments

and

principal

are

guaranteed.

2.

Source:

Lipper,

a

Thomson

Reuters

Company.

For

the

12-month

period

ended

5/31/22,

this

category

consisted

of

516

funds.

Lipper

calculations

do

not

include

sales

charges

or

expense

subsidization

by

a

fund’s

manager.

Fund

performance

relative

to

the

average

may

have

differed

if

these

or

other

factors

had

been

considered.

The

indexes

are

unmanaged

and

include

reinvestment

of

any

income

or

distributions.

They

do

not

reflect

any

fees,

expenses

or

sales

charges.

One

cannot

invest

directly

in

an

index,

and

an

index

is

not

representative

of

the

Fund’s

portfolio.

See

www.franklintempletondatasources.com

for

additional

data

provider

information.

The

dollar

value,

number

of

shares

or

principal

amount,

and

names

of

all

portfolio

holdings

are

listed

in

the

Fund’s

Schedule

of

Investments

(SOI).

The

SOI

begins

on

page

16

.

Franklin

High

Income

Fund

4

franklintempleton.com

Annual

Report

U.S.

Corporate

High

Yield

Bond

Index,

posted

a

-5.27%

total

return,

while

investment-grade

corporate

bonds,

as

represented

by

the

Bloomberg

U.S.

Corporate

Bond

Index,

posted

a

-10.28%

total

return.

1

Investment

Strategy

We

are

research

driven,

fundamental

investors

who

rely

on

our

team

of

analysts

to

provide

in-depth

industry

expertise

and

use

qualitative

and

quantitative

analysis

to

evaluate

security

issuers.

As

bottom-up

investors,

we

focus

primarily

on

individual

securities

but

consider

sectors

when

choosing

investments

and,

from

time

to

time,

may

have

significant

investments

in

certain

sectors.

In

selecting

securities,

we

do

not

rely

principally

on

the

ratings

assigned

by

rating

agencies,

but

perform

our

own

independent

investment

analysis

to

evaluate

the

creditworthiness

of

the

issuer.

We

consider

a

variety

of

factors,

including

the

issuer’s

experience

and

managerial

strength,

its

sensitivity

to

economic

conditions,

and

its

current

and

prospective

financial

condition.

Manager’s

Discussion

The

fiscal

year

can

be

roughly

divided

into

two

distinct

periods,

each

coinciding

with

the

two

different

calendar

years.

From

the

beginning

of

the

fiscal

year

until

the

end

of

2021,

the

market

was

broadly

focused

on

improvements

in

economic

growth

as

the

economy

emerged

from

COVID-19

related

disruptions.

This

period

was

a

generally

favorable

environment

for

leveraged

credit

as

for

most

of

last

year,

investors’

reach

for

yield

remained

strong,

and

market

participants

focused

on

the

positives,

leading

to

moderately

positive

returns

for

the

high-yield

(HY)

asset

class.

U.S.

HY

spreads

ended

2021

close

to

the

lows

of

the

year

despite

a

scare

in

the

closing

weeks

from

the

COVID-19

Omicron

variant

and

the

Fed’s

hawkish

pivot.

However,

as

the

calendar

turned

to

2022,

a

broader

risk-off

tone

set

in

as

inflation

proved

to

be

both

higher

and

more

intransient

than

originally

expected,

causing

the

markets

to

price

in

more

Fed

tightening,

while

the

Russia-Ukraine

war

sent

shock

waves

through

the

world.

As

widely

expected,

the

Federal

Open

Market

Committee

(FOMC)

lifted

interest

rates

by

25

basis

points

(bps)

at

its

March

2022

meeting

in

an

effort

to

bring

inflation

under

control.

Since

then,

China’s

stringent

COVID-related

lockdowns

have

exacerbated

supply

chain

disruptions,

further

weighing

on

market

sentiment.

With

inflation

proving

to

be

a

more

pervasive

problem,

a

50

bp

increase

was

announced

at

May’s

2022

FOMC

meeting.

Amid

fears

that

the

Fed’s

aggressive

interest-rate

stance

could

push

the

economy

into

a

recession,

volatility

persisted

in

financial

markets

and

U.S.

HY

spreads

steadily

widened

to

levels

last

seen

towards

the

end

of

2020

when

COVID-19

was

still

in

full

swing.

From

January

2022

through

May,

as

HY

spreads

widened

and

U.S.

Treasury

yields

increased,

the

HY

asset

class

experienced

negative

returns

in

four

of

the

first

five

months

of

the

year

and

posted

a

negative

return

at

period-end.

During

the

12-month

period

under

review,

with

HY

spreads

widening,

all

industries

in

the

HY

market

posted

negative

absolute

returns

for

the

performance

period

except

for

energy,

which

benefited

from

strong

commodity

prices.

The

worst

performing

sectors

were

banks,

retailers,

and

healthcare.

BB

rated

bonds

performed

better

than

B

and

CCC

rated

bonds,

while

all

posted

negative

returns.

Performance

benefited

from

industry

positioning,

in

particular

an

overweighted

exposure

to

energy

and

underweighted

exposures

to

sectors

more

exposed

to

inflationary

pressures

such

as

retail

and

consumer

products.

In

addition,

the

Fund’s

focus

on

mitigating

interest-rate

risk

benefited

performance,

as

rates

steadily

rose

in

the

latter

portion

of

the

fiscal

year.

Partially

offsetting

these

positives

were

overweighted

exposures

to

the

chemicals,

media

and

health

care

industries,

which

detracted

from

performance.

The

Fund

held

only

cash

bonds

during

the

period

(for

the

bond

portion

of

the

portfolio)

and

had

no

exposure

to

derivatives.

Top

10

Holdings

5/31/22

Company

Industry

,

Country

%

of

Total

Net

Assets

a

a

Occidental

Petroleum

Corp.

1.8%

Oil,

Gas

&

Consumable

Fuels,

United

States

Mauser

Packaging

Solutions

Holding

Co.

1.4%

Containers

&

Packaging,

United

States

Tenet

Healthcare

Corp.

1.4%

Health

Care

Providers

&

Services,

United

States

Cheniere

Energy

Partners

LP

1.3%

Oil,

Gas

&

Consumable

Fuels,

United

States

Crestwood

Midstream

Partners

LP

/

Crestwood

Midstream

Finance

Corp.

1.2%

Oil,

Gas

&

Consumable

Fuels,

United

States

Martin

Midstream

Partners

LP

/

Martin

Midstream

Finance

Corp.

1.2%

Oil,

Gas

&

Consumable

Fuels,

United

States

Centene

Corp.

1.1%

Health

Care

Providers

&

Services,

United

States

Altice

France

Holding

SA

1.0%

Diversified

Telecommunication

Services,

Luxembourg

CCO

Holdings

LLC

/

CCO

Holdings

Capital

Corp.

1.0%

Diversified

Telecommunication

Services,

United

States

Carnival

Corp.

1.0%

Hotels,

Restaurants

&

Leisure,

United

States

Franklin

High

Income

Fund

5

franklintempleton.com

Annual

Report

Thank

you

for

your

continued

participation

in

Franklin

High

Income

Fund.

We

look

forward

to

serving

your

future

investment

needs.

Glenn

I.

Voyles,

CFA

Bryant

Dieffenbacher,

CFA

S.

James

McGiveran

III,

CFA,

CPA,

FRM

Patricia

O’Connor,

CFA

Portfolio

Management

Team

The

foregoing

information

reflects

our

analysis,

opinions

and

portfolio

holdings

as

of

May

31,

2022,

the

end

of

the

reporting

period.

The

way

we

implement

our

main

investment

strategies

and

the

resulting

portfolio

holdings

may

change

depending

on

factors

such

as

market

and

economic

conditions.

These

opinions

may

not

be

relied

upon

as

investment

advice

or

an

offer

for

a

particular

security.

The

information

is

not

a

complete

analysis

of

every

aspect

of

any

market,

country,

industry,

security

or

the

Fund.

Statements

of

fact

are

from

sources

considered

reliable,

but

the

investment

manager

makes

no

representation

or

warranty

as

to

their

completeness

or

accuracy.

Although

historical

performance

is

no

guarantee

of

future

results,

these

insights

may

help

you

understand

our

investment

management

philosophy.

CFA

®

is

a

trademark

owned

by

CFA

Institute.

FRM

®

is

a

trademark

owned

by

Global

Association

of

Risk

Professionals

(GARP).

Performance

Summary

as

of

May

31,

2022

Franklin

High

Income

Fund

6

franklintempleton.com

Annual

Report

The

performance

tables

and

graphs

do

not

reflect

any

taxes

that

a

shareholder

would

pay

on

Fund

dividends,

capital

gain

distributions,

if

any,

or

any

realized

gains

on

the

sale

of

Fund

shares.

Total

return

reflects

reinvestment

of

the

Fund’s

dividends

and

capital

gain

distributions,

if

any,

and

any

unrealized

gains

or

losses.

Your

dividend

income

will

vary

depending

on

dividends

or

interest

paid

by

securities

in

the

Fund’s

portfolio,

adjusted

for

operating

expenses

of

each

class.

Capital

gain

distributions

are

net

profits

realized

from

the

sale

of

portfolio

securities.

Performance

as

of

5/31/22

1

Cumulative

total

return

excludes

sales

charges.

Average

annual

total

return

includes

maximum

sales

charges.

Sales

charges

will

vary

depending

on

the

size

of

the

investment

and

the

class

of

share

purchased.

The

maximum

is

3.75%

and

the

minimum

is

0%.

Class

A

:

3.75%

maximum

initial

sales

charge;

Advisor

Class:

no

sales

charges.

For

other

share

classes,

visit

franklintempleton.com.

Performance

data

represent

past

performance,

which

does

not

guarantee

future

results.

Investment

return

and

principal

value

will

fluctuate,

and

you

may

have

a

gain

or

loss

when

you

sell

your

shares.

Current

performance

may

differ

from

figures

shown.

For

most

recent

month-end

performance,

go

to

franklintempleton.com

or

call

(800)

342-5236

.

Share

Class

Cumulative

Total

Return

2

Average

Annual

Total

Return

3

–

A

4,5

1-Year

-5.15%

-8.71%

5-Year

15.56%

2.15%

10-Year

53.11%

3.95%

Advisor

1-Year

-4.37%

-4.37%

5-Year

17.94%

3.35%

10-Year

56.61%

4.59%

30-Day

Standardized

Yield

7

Share

Class

Distribution

Rate

6

(with

fee

waiver)

(without

fee

waiver)

A

5.18%

6.02%

6.00%

Advisor

5.54%

6.49%

6.47%

See

page

8

for

Performance

Summary

footnotes.

Franklin

High

Income

Fund

Performance

Summary

7

franklintempleton.com

Annual

Report

See

page

8

for

Performance

Summary

footnotes.

Total

Return

Index

Comparison

for

a

Hypothetical

$10,000

Investment

1

Total

return

represents

the

change

in

value

of

an

investment

over

the

periods

shown.

It

includes

any

applicable

maximum

sales

charge,

Fund

expenses,

account

fees

and

reinvested

distributions.

The

unmanaged

indexes

include

reinvestment

of

any

income

or

distributions.

They

differ

from

the

Fund

in

composition

and

do

not

pay

management

fees

or

expenses.

One

cannot

invest

directly

in

an

index.

Class

A

(6/1/12–5/31/22)

Advisor

Class

(6/1/12–5/31/22)

Franklin

High

Income

Fund

Performance

Summary

8

franklintempleton.com

Annual

Report

Each

class

of

shares

is

available

to

certain

eligible

investors

and

has

different

annual

fees

and

expenses,

as

described

in

the

prospectus.

All

investments

involve

risks,

including

possible

loss

of

principal.

The

risks

associated

with

higher-yielding,

lower-rated

securities

include

higher

risk

of

default

and

loss

of

principal.

Changes

in

the

financial

strength

of

a

bond

issuer

or

in

a

bond’s

credit

rating

may

affect

its

value.

In

addition,

interest

rate

movements

will

affect

the

Fund’s

share

price

and

yield.

Bond

prices

generally

move

in

the

opposite

direction

of

interest

rates.

Thus,

as

prices

of

bonds

in

the

Fund

adjust

to

a

rise

in

interest

rates,

the

Fund’s

share

price

may

decline.

Investment

in

foreign

securities

also

involves

special

risks,

including

currency

fluctuations,

and

political

and

economic

uncertainty.

Events

such

as

the

spread

of

deadly

diseases,

disasters,

and

financial,

political

or

social

disruptions,

may

heighten

risks

and

adversely

affect

performance.

The

Fund’s

prospectus

also

includes

a

description

of

the

main

investment

risks.

Russia’s

military

invasion

of

Ukraine

in

February

2022,

the

resulting

responses

by

the

United

States

and

other

countries,

and

the

potential

for

wider

conflict

could

increase

volatility

and

uncertainty

in

the

financial

markets

and

adversely

affect

regional

and

global

economies.

The

United

States

and

other

countries

have

im-

posed

broad-ranging

economic

sanctions

on

Russia

and

certain

Russian

individuals,

banking

entities

and

corporations

as

a

response

to

its

invasion

of

Ukraine.

The

United

States

and

other

countries

have

also

imposed

economic

sanctions

on

Belarus

and

may

impose

sanctions

on

other

countries

that

support

Russia’s

military

invasion.

These

sanctions,

as

well

as

any

other

economic

consequences

related

to

the

invasion,

such

as

additional

sanctions,

boycotts

or

changes

in

consumer

or

purchaser

preferences

or

cyberattacks

on

governments,

companies

or

individuals,

may

further

decrease

the

value

and

liquidity

of

certain

Russian

securities

and

securities

of

issuers

in

other

countries

that

are

subject

to

economic

sanctions

related

to

the

invasion.

1.

The

Fund

has

a

fee

waiver

associated

with

any

investment

it

makes

in

a

Franklin

Templeton

money

fund

and/or

other

Franklin

Templeton

fund,

contractually

guaranteed

through

12/1/22.

Fund

investment

results

reflect

the

fee

waiver;

without

this

waiver,

the

results

would

have

been

lower.

2.

Cumulative

total

return

represents

the

change

in

value

of

an

investment

over

the

periods

indicated.

3.

Average

annual

total

return

represents

the

average

annual

change

in

value

of

an

investment

over

the

periods

indicated.

Return

for

less

than

one

year,

if

any,

has

not

been

annualized.

4.

Effective

9/10/18,

Class

A

shares

closed

to

new

investors,

were

renamed

Class

A1

shares,

and

a

new

Class

A

share

with

a

different

expense

structure

became

available.

Class

A

performance

shown

has

been

calculated

as

follows:

(a)

for

periods

prior

to

9/10/18,

a

restated

figure

is

used

based

on

the

Fund’s

Class

A1

performance

that

includes

any

Rule

12b-1

rate

differential

that

exists

between

Class

A1

and

Class

A;

and

(b)

for

periods

after

9/10/18,

actual

Class

A

performance

is

used,

reflecting

all

charges

and

fees

applicable

to

that

class.

5.

Prior

to

3/1/19,

these

shares

were

offered

at

a

higher

initial

sales

charge

of

4.25%,

thus

actual

returns

(with

sales

charges)

would

have

differed.

Average

annual

total

returns

(with

sales

charges)

have

been

restated

to

reflect

the

current

maximum

initial

sales

charge

of

3.75%.

6.

Distribution

rate

is

based

on

an

annualization

of

the

respective

class’s

May

dividend

and

the

maximum

offering

price

(NAV

for

Advisor

class)

per

share

on

5/31/22.

7.

The

Fund’s

30-day

standardized

yield

is

calculated

over

a

trailing

30-day

period

using

the

yield

to

maturity

on

bonds

and/or

the

dividends

accrued

on

stocks.

It

may

not

equal

the

Fund’s

actual

income

distribution

rate,

which

reflects

the

Fund’s

past

dividends

paid

to

shareholders.

8.

Source:

Morningstar.

The

ICE

BofA

U.S.

High

Yield

Constrained

Index

tracks

the

performance

of

U.S.

dollar-denominated

below

investment-grade

corporate

debt

publicly

issued

in

the

U.S.

domestic

market.

9.

Source:

Lipper,

a

Thomson

Reuters

Company.

The

Lipper

High

Yield

Funds

Classification

Average

is

calculated

by

averaging

the

total

returns

of

funds

within

the

Lipper

High

Yield

Funds

classification

in

the

Lipper

Open-End

underlying

funds

universe

for

the

period

indicated.

Lipper

High

Yield

Funds

are

defined

as

funds

that

aim

at

high

(rela-

tive)

current

yield

from

fixed

income

securities,

have

no

quality

or

maturity

restrictions,

and

tend

to

invest

in

lower

grade

debt

issues.

For

the

12-month

period

ended

5/31/22,

there

were

516

funds

in

this

category.

Lipper

calculations

do

not

include

sales

charges.

10.

Figures

are

as

stated

in

the

Fund’s

current

prospectus

and

may

differ

from

the

expense

ratios

disclosed

in

the

Your

Fund’s

Expenses

and

Financial

Highlights

sections

in

this

report.

In

periods

of

market

volatility,

assets

may

decline

significantly,

causing

total

annual

Fund

operating

expenses

to

become

higher

than

the

figures

shown.

See

www.franklintempletondatasources.com

for

additional

data

provider

information.

Distributions

(6/1/21–5/31/22)

Share

Class

Net

Investment

Income

A

$0.0879

A1

$0.0895

C

$0.0796

R

$0.0827

R6

$0.0943

Advisor

$0.0921

Total

Annual

Operating

Expenses

10

Share

Class

A

0.86%

Advisor

0.61%

Your

Fund’s

Expenses

Franklin

High

Income

Fund

9

franklintempleton.com

Annual

Report

As

a

Fund

shareholder,

you

can

incur

two

types

of

costs:

(1)

transaction

costs,

including

sales

charges

(loads)

on

Fund

purchases

and

redemptions;

and

(2)

ongoing

Fund

costs,

including

management

fees,

distribution

and

service

(12b-1)

fees,

and

other

Fund

expenses.

All

mutual

funds

have

ongoing

costs,

sometimes

referred

to

as

operating

expenses.

The

table

below

shows

ongoing

costs

of

investing

in

the

Fund

and

can

help

you

understand

these

costs

and

compare

them

with

those

of

other

mutual

funds.

The

table

assumes

a

$1,000

investment

held

for

the

six

months

indicated.

Actual

Fund

Expenses

The

table

below

provides

information

about

actual

account

values

and

actual

expenses

in

the

columns

under

the

heading

“Actual.”

In

these

columns

the

Fund’s

actual

return,

which

includes

the

effect

of

Fund

expenses,

is

used

to

calculate

the

“Ending

Account

Value”

for

each

class

of

shares.

You

can

estimate

the

expenses

you

paid

during

the

period

by

following

these

steps

(

of

course,

your

account

value

and

expenses

will

differ

from

those

in

this

illustration

):

Divide

your

account

value

by

$1,000

(

if

your

account

had

an

$8,600

value,

then

$8,600

÷

$1,000

=

8.6

).

Then

multiply

the

result

by

the

number

in

the

row

for

your

class

of

shares

under

the

headings

“Actual”

and

“Expenses

Paid

During

Period”

(

if

Actual

Expenses

Paid

During

Period

were

$7.50,

then

8.6

x

$7.50

=

$64.50

).

In

this

illustration,

the

actual

expenses

paid

this

period

are

$64.50.

Hypothetical

Example

for

Comparison

with

Other

Funds

Under

the

heading

“Hypothetical”

in

the

table,

information

is

provided

about

hypothetical

account

values

and

hypothetical

expenses

based

on

the

Fund’s

actual

expense

ratio

and

an

assumed

rate

of

return

of

5%

per

year

before

expenses,

which

is

not

the

Fund’s

actual

return.

This

information

may

not

be

used

to

estimate

the

actual

ending

account

balance

or

expenses

you

paid

for

the

period,

but

it

can

help

you

compare

ongoing

costs

of

investing

in

the

Fund

with

those

of

other

funds.

To

do

so,

compare

this

5%

hypothetical

example

for

the

class

of

shares

you

hold

with

the

5%

hypothetical

examples

that

appear

in

the

shareholder

reports

of

other

funds.

Please

note

that

expenses

shown

in

the

table

are

meant

to

highlight

ongoing

costs

and

do

not

reflect

any

transactional

costs.

Therefore,

information

under

the

heading

“Hypothetical”

is

useful

in

comparing

ongoing

costs

only,

and

will

not

help

you

compare

total

costs

of

owning

different

funds.

In

addition,

if

transactional

costs

were

included,

your

total

costs

would

have

been

higher.

1.

Expenses

are

equal

to

the

annualized

expense

ratio

for

the

six-month

period

as

indicated

above—in

the

far

right

column—multiplied

by

the

simple

average

account

value

over

the

period

indicated,

and

then

multiplied

by

182/365

to

reflect

the

one-half

year

period.

2.

Reflects

expenses

after

fee

waivers

and

expense

reimbursements.

Does

not

include

acquired

fund

fees

and

expenses.

Actual

(actual

return

after

expenses)

Hypothetical

(5%

annual

return

before

expenses)

Share

Class

Beginning

Account

Value

12/1/21

Ending

Account

Value

5/31/22

Expenses

Paid

During

Period

12/1/21–5/31/22

1,2

Ending

Account

Value

5/31/22

Expenses

Paid

During

Period

12/1/21–5/31/22

1,2

a

Net

Annualized

Expense

Ratio

2

A

$1,000

$941.40

$4.27

$1,020.53

$4.45

0.88%

A1

$1,000

$942.40

$3.79

$1,021.03

$3.94

0.78%

C

$1,000

$940.90

$6.20

$1,018.54

$6.45

1.28%

R

$1,000

$941.90

$5.48

$1,019.29

$5.70

1.13%

R6

$1,000

$948.90

$2.49

$1,022.38

$2.58

0.51%

Advisor

$1,000

$943.10

$3.06

$1,021.78

$3.18

0.63%

Franklin

High

Income

Trust

Financial

Highlights

Franklin

High

Income

Fund

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

10

a

Year

Ended

May

31,

Year

Ended

May

31,

2019

a

2022

2021

2020

Class

A

Per

share

operating

performance

(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

................................

$1.87

$1.72

$1.80

$1.84

Income

from

investment

operations

b

:

Net

investment

income

c

......................................

0.08

0.09

0.09

0.07

Net

realized

and

unrealized

gains

(losses)

........................

(0.17)

0.16

(0.07)

(0.03)

Total

from

investment

operations

.................................

(0.09)

0.25

0.02

0.04

Less

distributions

from:

Net

investment

income

.......................................

(0.09)

(0.10)

(0.10)

(0.08)

Net

asset

value,

end

of

year

....................................

$1.69

$1.87

$1.72

$1.80

Total

return

d

................................................

(5.15)%

14.52%

0.88%

2.17%

Ratios

to

average

net

assets

e

Expenses

before

waiver

and

payments

by

affiliates

...................

0.87%

0.86%

0.86%

0.87%

Expenses

net

of

waiver

and

payments

by

affiliates

f

...................

0.87%

g

0.85%

0.86%

g

0.86%

Net

investment

income

........................................

4.66%

5.10%

5.19%

5.27%

Supplemental

data

Net

assets,

end

of

year

(000’s)

..................................

$689,210

$553,316

$309,844

$182,551

Portfolio

turnover

rate

.........................................

31.57%

55.37%

38.87%

25.48%

a

For

the

period

September

10,

2018

(effective

date)

to

May

31,

2019.

b

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchas-

es

of

the

Fund’s

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

c

Based

on

average

daily

shares

outstanding.

d

Total

return

does

not

reflect

sales

commissions

or

contingent

deferred

sales

charges,

if

applicable,

and

is

not

annualized

for

periods

less

than

one

year.

e

Ratios

are

annualized

for

periods

less

than

one

year.

f

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

g

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

Franklin

High

Income

Trust

Financial

Highlights

Franklin

High

Income

Fund

(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

11

a

Year

Ended

May

31,

2022

2021

2020

2019

2018

Class

A1

Per

share

operating

performance

(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$1.88

$1.73

$1.81

$1.82

$1.91

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.09

0.10

0.10

0.10

0.10

Net

realized

and

unrealized

gains

(losses)

...........

(0.17)

0.15

(0.08)

(0.01)

(0.09)

Total

from

investment

operations

....................

(0.08)

0.25

0.02

0.09

0.01

Less

distributions

from:

Net

investment

income

..........................

(0.09)

(0.10)

(0.10)

(0.10)

(0.10)

Net

asset

value,

end

of

year

.......................

$1.71

$1.88

$1.73

$1.81

$1.82

Total

return

c

...................................

(4.51)%

14.52%

0.95%

5.35%

0.68%

Ratios

to

average

net

assets

Expenses

before

waiver

and

payments

by

affiliates

......

0.77%

0.76%

0.76%

0.77%

0.78%

Expenses

net

of

waiver

and

payments

by

affiliates

d

......

0.76%

0.76%

e

0.76%

e

0.76%

0.77%

Net

investment

income

...........................

4.74%

5.18%

5.29%

5.37%

5.26%

Supplemental

data

Net

assets,

end

of

year

(000’s)

.....................

$1,483,888

$1,758,443

$1,759,206

$2,054,455

$2,356,528

Portfolio

turnover

rate

............................

31.57%

55.37%

38.87%

25.48%

23.33%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchas-

es

of

the

Fund’s

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

reflect

sales

commissions

or

contingent

deferred

sales

charges,

if

applicable.

d

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

e

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

Franklin

High

Income

Trust

Financial

Highlights

Franklin

High

Income

Fund

(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

12

a

Year

Ended

May

31,

2022

2021

2020

2019

2018

Class

C

Per

share

operating

performance

(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$1.91

$1.76

$1.83

$1.85

$1.93

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.08

0.09

0.09

0.09

0.09

Net

realized

and

unrealized

gains

(losses)

...........

(0.17)

0.15

(0.07)

(0.01)

(0.08)

Total

from

investment

operations

....................

(0.09)

0.24

0.02

0.08

0.01

Less

distributions

from:

Net

investment

income

..........................

(0.08)

(0.09)

(0.09)

(0.10)

(0.09)

Net

asset

value,

end

of

year

.......................

$1.74

$1.91

$1.76

$1.83

$1.85

Total

return

c

...................................

(4.93)%

13.69%

0.99%

4.17%

0.70%

Ratios

to

average

net

assets

Expenses

before

waiver

and

payments

by

affiliates

......

1.26%

1.26%

1.26%

1.27%

1.28%

Expenses

net

of

waiver

and

payments

by

affiliates

d

......

1.26%

e

1.26%

e

1.26%

e

1.26%

1.27%

Net

investment

income

...........................

4.22%

4.68%

4.79%

4.87%

4.76%

Supplemental

data

Net

assets,

end

of

year

(000’s)

.....................

$119,630

$220,646

$251,930

$304,072

$460,201

Portfolio

turnover

rate

............................

31.57%

55.37%

38.87%

25.48%

23.33%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchas-

es

of

the

Fund’s

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

reflect

sales

commissions

or

contingent

deferred

sales

charges,

if

applicable.

d

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

e

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

Franklin

High

Income

Trust

Financial

Highlights

Franklin

High

Income

Fund

(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

13

a

Year

Ended

May

31,

2022

2021

2020

2019

2018

Class

R

Per

share

operating

performance

(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$1.92

$1.77

$1.84

$1.86

$1.94

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.08

0.09

0.09

0.09

0.09

Net

realized

and

unrealized

gains

(losses)

...........

(0.17)

0.15

(0.07)

(0.01)

(0.07)

Total

from

investment

operations

....................

(0.09)

0.24

0.02

0.08

0.02

Less

distributions

from:

Net

investment

income

..........................

(0.08)

(0.09)

(0.09)

(0.10)

(0.10)

Net

asset

value,

end

of

year

.......................

$1.75

$1.92

$1.77

$1.84

$1.86

Total

return

....................................

(4.75)%

13.78%

1.14%

4.31%

0.84%

Ratios

to

average

net

assets

Expenses

before

waiver

and

payments

by

affiliates

......

1.12%

1.11%

1.11%

1.12%

1.13%

Expenses

net

of

waiver

and

payments

by

affiliates

c

......

1.11%

1.11%

d

1.11%

d

1.11%

1.12%

Net

investment

income

...........................

4.39%

4.83%

4.94%

5.02%

4.91%

Supplemental

data

Net

assets,

end

of

year

(000’s)

.....................

$64,250

$74,532

$77,148

$101,783

$127,333

Portfolio

turnover

rate

............................

31.57%

55.37%

38.87%

25.48%

23.33%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchas-

es

of

the

Fund’s

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

Franklin

High

Income

Trust

Financial

Highlights

Franklin

High

Income

Fund

(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

14

a

Year

Ended

May

31,

2022

2021

2020

2019

2018

Class

R6

Per

share

operating

performance

(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$1.88

$1.73

$1.80

$1.82

$1.90

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.09

0.10

0.10

0.10

0.11

Net

realized

and

unrealized

gains

(losses)

...........

(0.17)

0.15

(0.07)

(0.01)

(0.08)

Total

from

investment

operations

....................

(0.08)

0.25

0.03

0.09

0.03

Less

distributions

from:

Net

investment

income

..........................

(0.09)

(0.10)

(0.10)

(0.11)

(0.11)

Net

asset

value,

end

of

year

.......................

$1.71

$1.88

$1.73

$1.80

$1.82

Total

return

....................................

(4.24)%

14.82%

1.80%

5.05%

1.48%

Ratios

to

average

net

assets

Expenses

before

waiver

and

payments

by

affiliates

......

0.55%

0.54%

0.55%

0.55%

0.51%

Expenses

net

of

waiver

and

payments

by

affiliates

c

......

0.51%

0.51%

0.50%

0.50%

0.48%

Net

investment

income

...........................

5.01%

5.39%

5.55%

5.63%

5.55%

Supplemental

data

Net

assets,

end

of

year

(000’s)

.....................

$98,282

$88,257

$66,681

$64,681

$68,312

Portfolio

turnover

rate

............................

31.57%

55.37%

38.87%

25.48%

23.33%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchas-

es

of

the

Fund’s

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

High

Income

Trust

Financial

Highlights

Franklin

High

Income

Fund

(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

15

a

Year

Ended

May

31,

2022

2021

2020

2019

2018

Advisor

Class

Per

share

operating

performance

(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$1.88

$1.73

$1.81

$1.83

$1.91

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.09

0.10

0.10

0.10

0.10

Net

realized

and

unrealized

gains

(losses)

...........

(0.17)

0.15

(0.08)

(0.01)

(0.07)

Total

from

investment

operations

....................

(0.08)

0.25

0.02

0.09

0.03

Less

distributions

from:

Net

investment

income

..........................

(0.09)

(0.10)

(0.10)

(0.11)

(0.11)

Net

asset

value,

end

of

year

.......................

$1.71

$1.88

$1.73

$1.81

$1.83

Total

return

....................................

(4.37)%

14.68%

1.12%

4.92%

1.36%

Ratios

to

average

net

assets

Expenses

before

waiver

and

payments

by

affiliates

......

0.62%

0.61%

0.61%

0.62%

0.63%

Expenses

net

of

waiver

and

payments

by

affiliates

c

......

0.61%

0.61%

d

0.61%

d

0.61%

0.62%

Net

investment

income

...........................

4.89%

5.34%

5.44%

5.52%

5.41%

Supplemental

data

Net

assets,

end

of

year

(000’s)

.....................

$353,786

$341,889

$299,110

$320,010

$356,721

Portfolio

turnover

rate

............................

31.57

%

55.37%

38.87%

25.48%

23.33%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchas-

es

of

the

Fund’s

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

Franklin

High

Income

Trust

Schedule

of

Investments,

May

31,

2022

Franklin

High

Income

Fund

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

16

a

a

Country

Shares

a

Value

a

a

a

a

a

a

Common

Stocks

0.6%

Machinery

0.6%

a

Birch

Permian

Holdings,

Inc.

.............................

United

States

78,499

$

1,766,227

a

Birch

Permian

Holdings,

Inc.

.............................

United

States

611,911

13,691,509

15,457,736

Oil,

Gas

&

Consumable

Fuels

0.0%

†

a

Amplify

Energy

Corp.

..................................

United

States

8,816

78,374

California

Resources

Corp.

..............................

United

States

1,425

62,230

Chesapeake

Energy

Corp.

..............................

United

States

6,871

669,098

a,b,c

Nine

Point

Energy

Holdings,

Inc.

..........................

United

States

46,695,277

—

a,b,c

Riviera

Resources,

Inc.

.................................

United

States

149,317

—

809,702

Total

Common

Stocks

(Cost

$61,963,622)

......................................

16,267,438

Warrants

Warrants

0.0%

†

Metals

&

Mining

0.0%

†

a

Alpha

Metallurgical

Resources,

Inc.,

7/26/23

.................

United

States

5,033

666,873

Oil,

Gas

&

Consumable

Fuels

0.0%

†

a,b

Battalion

Oil

Corp.,

A,

10/08/22

...........................

United

States

21,046

3,041

a,b

Battalion

Oil

Corp.,

B,

10/08/22

...........................

United

States

26,308

1,633

a,b

Battalion

Oil

Corp.,

C,

10/08/22

...........................

United

States

33,825

656

a

California

Resources

Corp.,

10/27/24

......................

United

States

3,278

44,417

a,b

Chaparral

Energy,

Inc.,

10/01/24

..........................

United

States

13

—

a,b

Chaparral

Energy,

Inc.,

10/01/25

..........................

United

States

13

—

a

Chesapeake

Energy

Corp.,

2/09/26

........................

United

States

12,966

904,767

954,514

Paper

&

Forest

Products

0.0%

†

a

Verso

Corp.,

7/25/23

...................................

United

States

8,775

75,018

Total

Warrants

(Cost

$5,562,809)

..............................................

1,696,405

Principal

Amount

*

Convertible

Bonds

0.0%

†

Wireless

Telecommunication

Services

0.0%

†

d,e,f

Digicel

Group

Holdings

Ltd.

,

Sub.

Bond

,

144A,

PIK,

7

%

,

Perpetual

Bermuda

435,937

237,500

Total

Convertible

Bonds

(Cost

$119,541)

.......................................

237,500

Corporate

Bonds

88.5%

Airlines

1.3%

f

American

Airlines

Inc

/

AAdvantage

Loyalty

IP

Ltd.

,

Senior

Secured

Note,

144A,

5.5%,

4/20/26

................

United

States

17,000,000

16,835,100

Senior

Secured

Note,

144A,

5.75%,

4/20/29

...............

United

States

2,000,000

1,934,720

f

Delta

Air

Lines,

Inc.

/

SkyMiles

IP

Ltd.

,

Senior

Secured

Note

,

144A,

4.75

%

,

10/20/28

.....................................

United

States

10,200,000

10,193,655

f

United

Airlines,

Inc.

,

Senior

Secured

Note,

144A,

4.375%,

4/15/26

..............

United

States

2,700,000

2,609,719

Senior

Secured

Note,

144A,

4.625%,

4/15/29

..............

United

States

5,500,000

5,167,250

36,740,444

Auto

Components

1.7%

f

Allison

Transmission,

Inc.

,

Senior

Bond

,

144A,

3.75

%

,

1/30/31

...

United

States

5,400,000

4,631,823

Franklin

High

Income

Trust

Schedule

of

Investments

Franklin

High

Income

Fund

(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

17

a

a

Country

Principal

Amount

*

a

Value

a

a

a

a

a

Corporate

Bonds

(continued)

Auto

Components

(continued)

f

Dornoch

Debt

Merger

Sub,

Inc.

,

Senior

Note

,

144A,

6.625

%

,

10/15/29

..........................................

United

States

16,500,000

$

13,179,375

Goodyear

Tire

&

Rubber

Co.

(The)

,

Senior

Note,

9.5%,

5/31/25

............................

United

States

9,100,000

9,526,608

Senior

Note,

5%,

7/15/29

.............................

United

States

15,000,000

13,767,675

f

Real

Hero

Merger

Sub

2,

Inc.

,

Senior

Note

,

144A,

6.25

%

,

2/01/29

.

United

States

7,000,000

5,519,755

46,625,236

Automobiles

0.7%

f

Jaguar

Land

Rover

Automotive

plc

,

Senior

Note

,

144A,

5.5

%

,

7/15/29

...........................................

United

Kingdom

25,000,000

19,547,250

Banks

0.5%

e

JPMorgan

Chase

&

Co.

,

R

,

Junior

Sub.

Bond

,

6%

to

7/31/23,

FRN

thereafter

,

Perpetual

.................................

United

States

15,000,000

14,727,589

Beverages

0.4%

f

Primo

Water

Holdings,

Inc.

,

Senior

Note

,

144A,

4.375

%

,

4/30/29

..

Canada

14,000,000

12,291,230

Biotechnology

0.5%

f

Horizon

Therapeutics

USA,

Inc.

,

Senior

Note

,

144A,

5.5

%

,

8/01/27

United

States

13,000,000

13,078,390

Building

Products

1.7%

f

Cornerstone

Building

Brands,

Inc.

,

Senior

Note

,

144A,

6.125

%

,

1/15/29

...........................................

United

States

2,000,000

1,486,440

f

Eco

Material

Technologies,

Inc.

,

Senior

Secured

Note

,

144A,

7.875

%

,

1/31/27

.....................................

United

States

10,500,000

9,955,732

f

JELD-WEN,

Inc.

,

Senior

Note,

144A,

4.625%,

12/15/25

....................

United

States

7,600,000

7,025,706

Senior

Note,

144A,

4.875%,

12/15/27

....................

United

States

7,800,000

7,123,194

f

Oscar

AcquisitionCo

LLC

/

Oscar

Finance,

Inc.

,

Senior

Note

,

144A,

9.5

%

,

4/15/30

......................................

United

States

2,800,000

2,493,876

f

Standard

Industries,

Inc.

,

Senior

Bond,

144A,

4.75%,

1/15/28

......................

United

States

9,200,000

8,738,160

Senior

Bond,

144A,

4.375%,

7/15/30

.....................

United

States

6,800,000

6,137,000

Senior

Note,

144A,

5%,

2/15/27

........................

United

States

5,000,000

4,850,100

47,810,208

Capital

Markets

0.2%

f

Jane

Street

Group

/

JSG

Finance,

Inc.

,

Senior

Secured

Note

,

144A,

4.5

%

,

11/15/29

......................................

United

States

5,700,000

5,342,182

Chemicals

4.0%

d,f

Anagram

International,

Inc.

/

Anagram

Holdings

LLC

,

Secured

Note

,

144A,

PIK,

10

%

,

8/15/26

..............................

United

States

1,625,625

1,636,119

f

ASP

Unifrax

Holdings,

Inc.

,

Senior

Note,

144A,

7.5%,

9/30/29

.......................

United

States

4,200,000

3,080,555

Senior

Secured

Note,

144A,

5.25%,

9/30/28

...............

United

States

5,500,000

4,976,235

f

Axalta

Coating

Systems

LLC

,

Senior

Note

,

144A,

3.375

%

,

2/15/29

United

States

7,100,000

6,262,200

f

Braskem

Idesa

SAPI

,

Senior

Secured

Bond

,

144A,

6.99

%

,

2/20/32

Mexico

4,100,000

3,627,311

f

Consolidated

Energy

Finance

SA

,

Senior

Note

,

144A,

5.625

%

,

10/15/28

..........................................

Switzerland

12,700,000

11,643,932

f

CVR

Partners

LP

/

CVR

Nitrogen

Finance

Corp.

,

Senior

Secured

Note

,

144A,

6.125

%

,

6/15/28

...........................

United

States

6,300,000

6,036,345

f

Diamond

BC

BV

,

Senior

Note

,

144A,

4.625

%

,

10/01/29

.........

United

States

4,100,000

3,492,605

f

Element

Solutions,

Inc.

,

Senior

Note

,

144A,

3.875

%

,

9/01/28

.....

United

States

13,500,000

12,101,738

f

GPD

Cos.,

Inc.

,

Senior

Secured

Note

,

144A,

10.125

%

,

4/01/26

...

United

States

19,500,000

19,439,258

f

Ingevity

Corp.

,

Senior

Note

,

144A,

3.875

%

,

11/01/28

...........

United

States

9,000,000

8,100,585

Franklin

High

Income

Trust

Schedule

of

Investments

Franklin

High

Income

Fund

(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

18

a

a

Country

Principal

Amount

*

a

Value

a

a

a

a

a

Corporate

Bonds

(continued)

Chemicals

(continued)

d,f

Kobe

US

Midco

2,

Inc.

,

Senior

Note

,

144A,

PIK,

9.25

%

,

11/01/26

..

United

States

4,800,000

$

4,669,032

f

LSF11

A5

HoldCo

LLC

,

Senior

Note

,

144A,

6.625

%

,

10/15/29

....

United

States

10,900,000

9,339,447

f

Rain

CII

Carbon

LLC

/

CII

Carbon

Corp.

,

Secured

Note

,

144A,

7.25

%

,

4/01/25

.....................................

United

States

10,800,000

10,398,594

f

Vibrantz

Technologies,

Inc.

,

Senior

Note

,

144A,

9

%

,

2/15/30

.....

United

States

11,800,000

8,877,022

113,680,978

Commercial

Services

&

Supplies

1.6%

f

Allied

Universal

Holdco

LLC

/

Allied

Universal

Finance

Corp.

/

Atlas

LuxCo

4

SARL

,

Senior

Secured

Note

,

144A,

4.625

%

,

6/01/28

..

United

States

2,600,000

2,306,688

f

APX

Group,

Inc.

,

Senior

Note

,

144A,

5.75

%

,

7/15/29

...........

United

States

15,300,000

12,978,760

f

Nielsen

Finance

LLC

/

Nielsen

Finance

Co.

,

Senior

Bond,

144A,

4.75%,

7/15/31

......................

United

States

4,100,000

3,935,323

Senior

Note,

144A,

4.5%,

7/15/29

.......................

United

States

17,600,000

16,670,492

f

Prime

Security

Services

Borrower

LLC

/

Prime

Finance,

Inc.

,

Senior

Secured

Note

,

144A,

3.375

%

,

8/31/27

....................

United

States

11,100,000

9,951,428

45,842,691

Communications

Equipment

0.4%

f

CommScope

Technologies

LLC

,

Senior

Note

,

144A,

6

%

,

6/15/25

..

United

States

1,635,000

1,525,957

f

CommScope

,

Inc.

,

Senior

Note

,

144A,

7.125

%

,

7/01/28

.........

United

States

11,700,000

9,914,521

11,440,478

Construction

&

Engineering

0.5%

f

Arcosa

,

Inc.

,

Senior

Note

,

144A,

4.375

%

,

4/15/29

.............

United

States

5,400,000

4,929,768

f

VM

Consolidated,

Inc.

,

Senior

Note

,

144A,

5.5

%

,

4/15/29

.......

United

States

8,800,000

7,752,168

12,681,936

Consumer

Finance

1.5%

OneMain

Finance

Corp.

,

Senior

Bond,

5.375%,

11/15/29

.........................

United

States

7,600,000

7,041,319

Senior

Note,

8.875%,

6/01/25

..........................

United

States

2,900,000

3,028,702

Senior

Note,

6.625%,

1/15/28

..........................

United

States

10,400,000

10,431,252

f

PRA

Group,

Inc.

,

Senior

Note

,

144A,

5

%

,

10/01/29

............

United

States

5,000,000

4,501,577

f

PROG

Holdings,

Inc.

,

Senior

Note

,

144A,

6

%

,

11/15/29

.........

United

States

18,600,000

16,518,939

41,521,789

Containers

&

Packaging

4.3%

f

Ardagh

Packaging

Finance

plc

/

Ardagh

Holdings

USA,

Inc.

,

Senior

Note,

144A,

5.25%,

8/15/27

......................

United

States

8,100,000

6,778,040

Senior

Secured

Note,

144A,

5.25%,

4/30/25

...............

United

States

11,400,000

11,380,791

f

Mauser

Packaging

Solutions

Holding

Co.

,

Senior

Note,

144A,

7.25%,

4/15/25

......................

United

States

30,000,000

29,047,500

Senior

Secured

Note,

144A,

8.5%,

4/15/24

................

United

States

10,500,000

10,467,292

f

OI

European

Group

BV

,

Senior

Note

,

144A,

4.75

%

,

2/15/30

......

United

States

9,800,000

8,630,370

f

Owens-Brockway

Glass

Container,

Inc.

,

Senior

Note,

144A,

5.875%,

8/15/23

.....................

United

States

5,962,000

6,034,826

Senior

Note,

144A,

6.625%,

5/13/27

.....................

United

States

4,961,000

4,901,145

f

Pactiv

Evergreen

Group

Issuer

LLC

/

Pactiv

Evergreen

Group

Issuer,

Inc.

,

Senior

Secured

Note

,

144A,

4.375

%

,

10/15/28

..........

United

States

2,800,000

2,527,854

f

Pactiv

Evergreen

Group

Issuer,

Inc./Pactiv

Evergreen

Group

Issuer

LLC

,

Senior

Secured

Note

,

144A,

4

%

,

10/15/27

.............

United

States

22,800,000

20,678,460

f

Sealed

Air

Corp.

,

Senior

Note

,

144A,

4

%

,

12/01/27

............

United

States

13,200,000

12,473,142

f

Trivium

Packaging

Finance

BV

,

Senior

Note,

144A,

8.5%,

8/15/27

.......................

Netherlands

2,100,000

2,071,756

Franklin

High

Income

Trust

Schedule

of

Investments

Franklin

High

Income

Fund

(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

19

a

a

Country

Principal

Amount

*

a

Value

a

a

a

a

a

Corporate

Bonds

(continued)

Containers

&

Packaging

(continued)

f

Trivium

Packaging

Finance

BV,

(continued)

Senior

Secured

Note,

144A,

5.5%,

8/15/26

................

Netherlands

5,600,000

$

5,572,000

120,563,176

Diversified

Consumer

Services

0.5%

Grand

Canyon

University

,

5.125

%

,

10/01/28

.................

United

States

14,300,000

13,799,500

Diversified

Financial

Services

1.7%

f

Jefferson

Capital

Holdings

LLC

,

Senior

Note

,

144A,

6

%

,

8/15/26

..

United

States

17,600,000

16,540,207

f

MPH

Acquisition

Holdings

LLC

,

Senior

Note

,

144A,

5.75

%

,

11/01/28

United

States

31,400,000

28,000,008

f

Oxford

Finance

LLC

/

Oxford

Finance

Co-Issuer

II,

Inc.

,

Senior

Note

,

144A,

6.375

%

,

2/01/27

................................

United

States

3,400,000

3,304,222

47,844,437

Diversified

Telecommunication

Services

3.9%

f

Altice

France

Holding

SA

,

Senior

Note,

144A,

6%,

2/15/28

........................

Luxembourg

8,100,000

6,781,766

Senior

Secured

Note,

144A,

10.5%,

5/15/27

...............

Luxembourg

22,400,000

22,053,136

f

Altice

France

SA

,

Senior

Secured

Note

,

144A,

5.5

%

,

1/15/28

....

France

7,500,000

6,688,275

f

CCO

Holdings

LLC

/

CCO

Holdings

Capital

Corp.

,

Senior

Bond,

144A,

5.5%,

5/01/26

.......................

United

States

2,400,000

2,408,004

Senior

Bond,

144A,

5%,

2/01/28

........................

United

States

3,000,000

2,910,600

Senior

Bond,

144A,

5.375%,

6/01/29

.....................

United

States

10,900,000

10,602,430

Senior

Bond,

144A,

4.5%,

8/15/30

.......................

United

States

10,500,000

9,496,567

Senior

Bond,

144A,

4.25%,

2/01/31

......................

United

States

3,400,000

3,004,869

f

DKT

Finance

ApS

,

Senior

Secured

Note

,

144A,

9.375

%

,

6/17/23

..

Denmark

14,500,000

14,318,750

f

Iliad

Holding

SASU

,

Senior

Secured

Note,

144A,

6.5%,

10/15/26

...............

France

5,200,000

5,050,500

Senior

Secured

Note,

144A,

7%,

10/15/28

.................

France

10,400,000

10,041,876

f

Virgin

Media

Secured

Finance

plc

,

Senior

Secured

Bond

,

144A,

4.5

%

,

8/15/30

......................................

United

Kingdom

18,500,000

16,761,925

110,118,698

Electric

Utilities

1.0%

f

Vistra

Operations

Co.

LLC

,

Senior

Note,

144A,

5.625%,

2/15/27

.....................

United

States

21,300,000

21,338,553

Senior

Secured

Note,

144A,

3.7%,

1/30/27

................

United

States

5,700,000

5,375,498

26,714,051

Electrical

Equipment

1.2%

f

Sensata

Technologies

BV

,

Senior

Note

,

144A,

4

%

,

4/15/29

......

United

States

19,500,000

18,604,852

f

Vertiv

Group

Corp.

,

Senior

Secured

Note

,

144A,

4.125

%

,

11/15/28

United

States

16,400,000

14,600,920

33,205,772

Electronic

Equipment,

Instruments

&

Components

0.3%

f

TTM

Technologies,

Inc.

,

Senior

Note

,

144A,

4

%

,

3/01/29

........

United

States

9,300,000

8,249,050

Energy

Equipment

&

Services

2.4%

f

CSI

Compressco

LP

/

CSI

Compressco

Finance,

Inc.

,

d

Secured

Note,

144A,

PIK,

10%,

4/01/26

..................

United

States

17,833,800

16,988,895

Senior

Secured

Note,

144A,

7.5%,

4/01/25

................

United

States

7,501,000

7,068,362

f

Nabors

Industries

Ltd.

,

Senior

Note

,

144A,

7.25

%

,

1/15/26

......

United

States

9,900,000

9,607,950

f

Nabors

Industries,

Inc.

,

Senior

Note

,

144A,

7.375

%

,

5/15/27

.....

United

States

10,300,000

10,407,583

f

Weatherford

International

Ltd.

,

Senior

Note,

144A,

11%,

12/01/24

.......................

United

States

846,000

864,189

Senior

Note,

144A,

8.625%,

4/30/30

.....................

United

States

14,100,000

13,504,980

Franklin

High

Income

Trust

Schedule

of

Investments

Franklin

High

Income

Fund

(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

20

a

a

Country

Principal

Amount

*

a

Value

a

a

a

a

a

Corporate

Bonds

(continued)

Energy

Equipment

&

Services

(continued)

f

Weatherford

International

Ltd.,

(continued)

Senior

Secured

Note,

144A,

6.5%,

9/15/28

................

United

States

8,600,000

$

8,475,988

66,917,947

Entertainment

1.5%

f

Banijay

Entertainment

SASU

,

Senior

Secured

Note

,

144A,

5.375

%

,

3/01/25

...........................................

France

21,900,000

21,352,308

Netflix,

Inc.

,

Senior

Bond,

4.375%,

11/15/26

.........................

United

States

10,200,000

10,188,984

f

Senior

Bond,

144A,

5.375%,

11/15/29

....................

United

States

3,600,000

3,631,734

f

Senior

Note,

144A,

3.625%,

6/15/25

.....................

United

States

7,300,000

7,180,900

42,353,926

Equity

Real

Estate

Investment

Trusts

(REITs)

3.0%

f

American

Finance

Trust,

Inc.

/

American

Finance

Operating

Partner

LP

,

Senior

Note

,

144A,

4.5

%

,

9/30/28

.....................

United

States

10,200,000

8,663,370

f

Global

Net

Lease,

Inc.

/

Global

Net

Lease

Operating

Partnership

LP

,

Senior

Note

,

144A,

3.75

%

,

12/15/27

......................

United

States

15,900,000

14,482,502

f

HAT

Holdings

I

LLC

/

HAT

Holdings

II

LLC

,

Senior

Note

,

144A,

6

%

,

4/15/25

...........................................

United

States

4,900,000

4,976,366

MPT

Operating

Partnership

LP

/

MPT

Finance

Corp.

,

Senior

Bond,

5.25%,

8/01/26

...........................

United

States

4,900,000

4,915,065

Senior

Bond,

3.5%,

3/15/31

............................

United

States

16,200,000

14,181,804

f

RHP

Hotel

Properties

LP

/

RHP

Finance

Corp.

,

Senior

Note

,

144A,

4.5

%

,

2/15/29

......................................

United

States

15,000,000

14,028,600

SBA

Communications

Corp.

,

Senior

Note

,

3.875

%

,

2/15/27

......

United

States

3,200,000

3,132,944

f

VICI

Properties

LP

/

VICI

Note

Co.,

Inc.

,

Senior

Note,

144A,

3.75%,

2/15/27

......................

United

States

8,000,000

7,456,000

Senior

Note,

144A,

3.875%,

2/15/29

.....................

United

States

7,000,000

6,301,820

f

XHR

LP

,

Senior

Secured

Note

,

144A,

4.875

%

,

6/01/29

.........

United

States

7,300,000

6,859,664

84,998,135

Food

Products

1.2%

B&G

Foods,

Inc.

,

Senior

Note,

5.25%,

4/01/25

...........................

United

States

9,100,000

8,614,424

Senior

Note,

5.25%,

9/15/27

...........................

United

States

6,800,000

6,099,158

f

Darling

Ingredients,

Inc.

,

Senior

Note

,

144A,

6

%

,

6/15/30

.......

United

States

3,200,000

3,248,000

f

Pilgrim's

Pride

Corp.

,

Senior

Bond

,

144A,

3.5

%

,

3/01/32

........

United

States

3,600,000

3,159,738

f

Post

Holdings,

Inc.

,

Senior

Bond,

144A,

5.5%,

12/15/29

......................

United

States

8,600,000

8,200,014

Senior

Bond,

144A,

4.625%,

4/15/30

.....................

United

States

3,000,000

2,695,395

Senior

Bond,

144A,

4.5%,

9/15/31

.......................

United

States

3,500,000

3,076,115

35,092,844

Health

Care

Equipment

&

Supplies

0.6%

f

Mozart

Debt

Merger

Sub,

Inc.

,

Senior

Note,

144A,

5.25%,

10/01/29

.....................

United

States

10,300,000

9,137,130

Senior

Secured

Note,

144A,

3.875%,

4/01/29

..............

United

States

8,200,000

7,413,210

16,550,340

Health

Care

Providers

&

Services

4.3%

Centene

Corp.

,

Senior

Bond,

2.5%,

3/01/31

............................

United

States

15,000,000

12,811,350

Senior

Note,

4.25%,

12/15/27

..........................

United

States

12,700,000

12,655,740

Senior

Note,

4.625%,

12/15/29

.........................

United

States

4,300,000

4,244,014

Franklin

High

Income

Trust

Schedule

of

Investments

Franklin

High

Income

Fund

(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

21

a

a

Country

Principal

Amount

*

a

Value

a

a

a

a

a

Corporate

Bonds

(continued)

Health

Care

Providers

&

Services

(continued)

Centene

Corp.,

(continued)

Senior

Note,

2.625%,

8/01/31

..........................

United

States

1,400,000

$

1,203,664

f

CHS/Community

Health

Systems,

Inc.

,

Secured

Note,

144A,

6.125%,

4/01/30

....................

United

States

6,800,000

4,964,000

Senior

Secured

Note,

144A,

5.625%,

3/15/27

..............

United

States

5,900,000

5,506,293

Senior

Secured

Note,

144A,

8%,

12/15/27

.................

United

States

1,200,000

1,202,396

Senior

Secured

Note,

144A,

6%,

1/15/29

..................

United

States

6,000,000

5,447,100

Senior

Secured

Note,

144A,

5.25%,

5/15/30

...............

United

States

6,500,000

5,610,865

f

DaVita,

Inc.

,

Senior

Note

,

144A,

4.625

%

,

6/01/30

.............

United

States

16,700,000

14,541,024

HCA,

Inc.

,

Senior

Bond,

3.5%,

9/01/30

............................

United

States

3,000,000

2,740,390

Senior

Note,

5.375%,

9/01/26

..........................

United

States

4,600,000

4,795,638

f

ModivCare

Escrow

Issuer,

Inc.

,

Senior

Note

,

144A,

5

%

,

10/01/29

.

United

States

8,500,000

7,704,746

Tenet

Healthcare

Corp.

,

f

Secured

Note,

144A,

6.25%,

2/01/27

.....................

United

States

14,500,000

14,518,487

Senior

Note,

6.75%,

6/15/23

...........................

United

States

10,700,000

10,923,855

f

Senior

Secured

Note,

144A,

4.875%,

1/01/26

..............

United

States

5,000,000

4,995,150

f

Senior

Secured

Note,

144A,

4.25%,

6/01/29

...............

United

States

8,500,000

7,997,650

121,862,362

Hotels,

Restaurants

&

Leisure

6.6%

f

1011778

BC

ULC

/

New

Red

Finance,

Inc.

,

Secured

Bond

,

144A,

4

%

,

10/15/30

.......................................

Canada

15,700,000

13,863,100

b,f,g

24

Hour

Fitness

Worldwide,

Inc.

,

Senior

Note

,

144A,

8

%

,

6/01/22

.

United

States

23,000,000

6,900

f

Boyne

USA,

Inc.

,

Senior

Note

,

144A,

4.75

%

,

5/15/29

...........

United

States

8,600,000

8,019,500

f

Caesars

Entertainment,

Inc.

,

Senior

Secured

Note

,

144A,

6.25

%

,

7/01/25

...........................................

United

States

15,600,000

15,821,832

f

Caesars

Resort

Collection

LLC

/

CRC

Finco

,

Inc.

,

Senior

Secured

Note

,

144A,

5.75

%

,

7/01/25

............................

United

States

7,000,000

7,036,505

f

Carnival

Corp.

,

Senior

Note,

144A,

7.625%,

3/01/26

.....................

United

States

7,300,000

6,857,912

Senior

Note,

144A,

5.75%,

3/01/27

......................

United

States

24,000,000

21,335,280

f

Fertitta

Entertainment

LLC

/

Fertitta

Entertainment

Finance

Co.,

Inc.

,

Senior

Note

,

144A,

6.75

%

,

1/15/30

.......................

United

States

10,600,000

9,204,298

f

International

Game

Technology

plc

,

Senior

Secured

Note

,

144A,

4.125

%

,

4/15/26

.....................................

United

States

3,800,000

3,670,306

f

Motion

Bondco

DAC

,

Senior

Note

,

144A,

6.625

%

,

11/15/27

......

United

Kingdom

4,400,000

3,983,562

f

NCL

Corp.

Ltd.

,

Senior

Note

,

144A,

5.875

%

,

3/15/26

...........

United

States

5,700,000

5,145,419

f

Papa

John's

International,

Inc.

,

Senior

Note

,

144A,

3.875

%

,

9/15/29

United

States

6,000,000

5,384,850

f

Penn

National

Gaming,

Inc.

,

Senior

Note

,

144A,

4.125

%

,

7/01/29

.

United

States

2,000,000

1,641,190

f

Premier

Entertainment

Sub

LLC

/

Premier

Entertainment

Finance

Corp.

,

Senior

Bond,

144A,

5.875%,

9/01/31

.....................

United

States

9,000,000

7,065,765

Senior

Note,

144A,

5.625%,

9/01/29

.....................

United

States

10,000,000

7,948,050

f

Royal

Caribbean

Cruises

Ltd.

,

Senior

Note,

144A,

5.5%,

8/31/26

.......................

United

States

11,200,000

9,848,048

Senior

Note,

144A,

5.375%,

7/15/27

.....................

United

States

5,800,000

4,935,437

f

Six

Flags

Theme

Parks,

Inc.

,

Senior

Secured

Note

,

144A,

7

%

,

7/01/25

...........................................

United

States

7,300,000

7,573,166

f

Station

Casinos

LLC

,

Senior

Note

,

144A,

4.5

%

,

2/15/28

........

United

States

9,800,000

8,892,398

f

Studio

City

Finance

Ltd.

,

Senior

Note

,

144A,

5

%

,

1/15/29

.......

Macau

21,500,000

13,760,000

f

Wynn

Macau

Ltd.

,

Senior

Note

,

144A,

5.625

%

,

8/26/28

.........

Macau

8,700,000

6,512,075

f

Wynn

Resorts

Finance

LLC

/

Wynn

Resorts

Capital

Corp.

,

Senior

Note

,

144A,

7.75

%

,

4/15/25

............................

United

States

15,200,000

15,506,660

184,012,253

Franklin

High

Income

Trust

Schedule

of

Investments

Franklin

High

Income

Fund

(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

22

a

a

Country

Principal

Amount

*

a

Value

a

a

a

a

a

Corporate

Bonds

(continued)

Household

Durables

1.0%

f

Ashton

Woods

USA

LLC

/

Ashton

Woods

Finance

Co.

,

Senior

Note,

144A,

4.625%,

8/01/29

.....................

United

States

13,000,000

$

11,209,900

Senior

Note,

144A,

4.625%,

4/01/30

.....................

United

States

8,000,000

6,754,800

M/I

Homes,

Inc.

,

Senior

Note

,

3.95

%

,

2/15/30

................

United

States

12,600,000

10,362,612

28,327,312

Independent

Power

and

Renewable

Electricity

Producers

3.0%

f

Calpine

Corp.

,

Senior

Note,

144A,

5.125%,

3/15/28

.....................

United

States

12,900,000

12,063,500

Senior

Secured

Note,

144A,

4.5%,

2/15/28

................

United

States

12,200,000

11,678,023

f

Clearway

Energy

Operating

LLC

,

Senior

Bond,

144A,

3.75%,

1/15/32

......................

United

States

8,800,000

7,575,040

Senior

Note,

144A,

4.75%,

3/15/28

......................

United

States

10,000,000

9,562,750

Senior

Note,

144A,

3.75%,

2/15/31

......................

United

States

7,000,000

6,188,000

f

InterGen

NV

,

Senior

Secured

Bond

,

144A,

7

%

,

6/30/23

.........

Netherlands

24,800,000

24,066,540

g

Talen

Energy

Supply

LLC

,

Senior

Note

,

6.5

%

,

6/01/25

..........

United

States

24,950,000

13,816,062

84,949,915

Insurance

0.3%

f

Alliant

Holdings

Intermediate

LLC

/

Alliant

Holdings

Co-Issuer

,

Senior

Note

,

144A,

6.75

%

,

10/15/27

...........................

United

States

6,900,000

6,671,990

CNO

Financial

Group,

Inc.

,

Senior

Note

,

5.25

%

,

5/30/29

........

United

States

2,100,000

2,131,710

8,803,700

Interactive

Media

&

Services

0.2%

f

ZipRecruiter,

Inc.

,

Senior

Note

,

144A,

5

%

,

1/15/30

.............

United

States

7,400,000

6,994,628

Internet

&

Direct

Marketing

Retail

0.4%

f

Match

Group

Holdings

II

LLC

,

Senior

Note,

144A,

4.625%,

6/01/28

.....................

United

States

10,400,000

9,710,844

Senior

Note,

144A,

3.625%,

10/01/31

....................

United

States

3,300,000

2,812,342

12,523,186

IT

Services

1.9%

f

Cablevision

Lightpath

LLC

,

Senior

Secured

Note

,

144A,

3.875

%

,

9/15/27

...........................................

United

States

8,500,000

7,517,111

f

Cogent

Communications

Group,

Inc.

,

Senior

Secured

Note

,

144A,

3.5

%

,

5/01/26

......................................

United

States

7,200,000

6,915,636

f

Gartner,

Inc.

,

Senior

Note,

144A,

4.5%,

7/01/28

.......................

United

States

9,300,000

9,055,642

Senior

Note,

144A,

3.625%,

6/15/29

.....................

United

States

4,400,000

4,026,308

Senior

Note,

144A,

3.75%,

10/01/30

.....................

United

States

6,000,000

5,573,970

f

Northwest

Fiber

LLC

/

Northwest

Fiber

Finance

Sub,

Inc.

,

Senior

Note

,

144A,

6

%

,

2/15/28

..............................

United

States

4,500,000

3,630,803

f

Presidio

Holdings,

Inc.

,

Senior

Note,

144A,

8.25%,

2/01/28

......................

United

States

3,700,000

3,637,526

Senior

Secured

Note,

144A,

4.875%,

2/01/27

..............

United

States

7,500,000

7,344,939

f

Tempo

Acquisition

LLC

/

Tempo

Acquisition

Finance

Corp.

,

Senior

Secured

Note

,

144A,

5.75

%

,

6/01/25

.....................

United

States

6,000,000

5,999,425

53,701,360

Life

Sciences

Tools

&

Services

0.1%

f

Charles

River

Laboratories

International,

Inc.

,

Senior

Note

,

144A,

3.75

%

,

3/15/29

.....................................

United

States

2,400,000

2,229,937

Machinery

0.9%

f

Manitowoc

Co.,

Inc.

(The)

,

Secured

Note

,

144A,

9

%

,

4/01/26

....

United

States

17,100,000

17,195,931

Franklin

High

Income

Trust

Schedule

of

Investments

Franklin

High

Income

Fund

(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

23

a

a

Country

Principal

Amount

*

a

Value

a

a

a

a

a

Corporate

Bonds

(continued)

Machinery

(continued)

f

Terex

Corp.

,

Senior

Note

,

144A,

5

%

,

5/15/29

.................

United

States

7,500,000

$

6,997,875

24,193,806

Media

5.4%

f

Clear

Channel

International

BV

,

Senior

Secured

Note

,

144A,

6.625

%

,

8/01/25

.....................................

United

Kingdom

3,000,000

2,974,470

f

Clear

Channel

Outdoor

Holdings,

Inc.

,

Senior

Note,

144A,

7.75%,

4/15/28

......................

United

States

5,700,000

4,792,532

Senior

Note,

144A,

7.5%,

6/01/29

.......................

United

States

7,800,000

6,318,035

Senior

Secured

Note,

144A,

5.125%,

8/15/27

..............

United

States

7,600,000

6,997,320

CSC

Holdings

LLC

,

Senior

Bond

,

5.25

%

,

6/01/24

.............

United

States

21,000,000

20,780,130

f

Diamond

Sports

Group

LLC

/

Diamond

Sports

Finance

Co.

,

Senior

Note,

144A,

6.625%,

8/15/27

.....................

United

States

11,300,000

2,175,250

Senior

Secured

Note,

144A,

5.375%,

8/15/26

..............

United

States

13,300,000

4,411,810

f

Directv

Financing

LLC

/

Directv

Financing

Co-Obligor,

Inc.

,

Senior

Secured

Note

,

144A,

5.875

%

,

8/15/27

....................

United

States

10,400,000

9,825,192

DISH

DBS

Corp.

,

Senior

Note,

5.875%,

11/15/24

.........................

United

States

9,700,000

8,937,434

f

Senior

Secured

Note,

144A,

5.75%,

12/01/28

..............

United

States

10,000,000

8,181,050

f

Gray

Television,

Inc.

,

Senior

Note,

144A,

7%,

5/15/27

........................

United

States

3,000,000

3,037,020

Senior

Note,

144A,

4.75%,

10/15/30

.....................

United

States

5,700,000

5,018,651

f

LCPR

Senior

Secured

Financing

DAC

,

Senior

Secured

Note

,

144A,

6.75

%

,

10/15/27

.....................................

United

States

8,990,000

9,073,202

f

News

Corp.

,

Senior

Note

,

144A,

3.875

%

,

5/15/29

.............

United

States

4,400,000

4,076,754

f

Outfront

Media

Capital

LLC

/

Outfront

Media

Capital

Corp.

,

Senior

Note

,

144A,

4.25

%

,

1/15/29

............................

United

States

8,000,000

6,916,280

f

Sinclair

Television

Group,

Inc.

,

Senior

Bond

,

144A,

5.5

%

,

3/01/30

.

United

States

13,500,000

11,018,368

f

Sirius

XM

Radio,

Inc.

,

Senior

Note

,

144A,

4

%

,

7/15/28

.........

United

States

12,600,000

11,703,195

f

Univision

Communications,

Inc.

,

Senior

Secured

Note,

144A,

5.125%,

2/15/25

..............

United

States

13,500,000

13,348,395

Senior

Secured

Note,

144A,

9.5%,

5/01/25

................

United

States

5,000,000

5,212,035

Senior

Secured

Note,

144A,

4.5%,

5/01/29

................

United

States

7,900,000

7,248,329

152,045,452

Metals

&

Mining

1.6%

f

Constellium

SE

,

Senior

Note

,

144A,

3.75

%

,

4/15/29

...........

United

States

16,000,000

14,044,160

f

FMG

Resources

August

2006

Pty.

Ltd.

,

Senior

Bond

,

144A,

4.375

%

,

4/01/31

...........................................

Australia

9,500,000

8,480,983

f

Novelis

Corp.

,

Senior

Bond,

144A,

4.75%,

1/30/30

......................

United

States

7,700,000

7,316,501

Senior

Bond,

144A,

3.875%,

8/15/31

.....................

United

States

2,200,000

1,925,341

Senior

Note,

144A,

3.25%,

11/15/26

.....................

United

States

1,600,000

1,471,864

f

SunCoke

Energy,

Inc.

,

Senior

Secured

Note

,

144A,

4.875

%

,

6/30/29

United

States

12,600,000

11,236,680

44,475,529

Mortgage

Real

Estate

Investment

Trusts

(REITs)

0.6%

f

Apollo

Commercial

Real

Estate

Finance,

Inc.

,

Senior

Secured

Note

,

144A,

4.625

%

,

6/15/29

................................

United

States

20,700,000

17,581,545

Oil,

Gas

&

Consumable

Fuels

12.5%

f

Antero

Resources

Corp.

,

Senior

Note,

144A,

8.375%,

7/15/26

.....................

United

States

3,000,000

3,269,025

Senior

Note,

144A,

7.625%,

2/01/29

.....................

United

States

4,422,000

4,802,845

Senior

Note,

144A,

5.375%,

3/01/30

.....................

United

States

4,300,000

4,371,014

f

Calumet

Specialty

Products

Partners

LP

/

Calumet

Finance

Corp.

,

Senior

Note

,

144A,

8.125

%

,

1/15/27

......................

United

States

17,000,000

14,991,110

Franklin

High

Income

Trust

Schedule

of

Investments

Franklin

High

Income

Fund

(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

24

a

a

Country

Principal

Amount

*

a

Value

a

a

a

a

a

Corporate

Bonds

(continued)

Oil,

Gas

&

Consumable

Fuels

(continued)

Cheniere

Energy

Partners

LP

,

Senior

Note,

4.5%,

10/01/29

...........................

United

States

12,000,000

$

11,724,000

Senior

Note,

4%,

3/01/31

.............................

United

States

28,000,000

25,937,660

Cheniere

Energy,

Inc.

,

Senior

Secured

Note

,

4.625

%

,

10/15/28

...

United

States

9,300,000

9,047,156

f

Chesapeake

Energy

Corp.

,

Senior

Note,

144A,

5.5%,

2/01/26

.......................

United

States

2,000,000

2,034,514

Senior

Note,

144A,

6.75%,

4/15/29

......................

United

States

13,300,000

14,034,359

Crestwood

Midstream

Partners

LP

/

Crestwood

Midstream

Finance

Corp.

,

Senior

Note,

5.75%,

4/01/25

...........................

United

States

14,000,000

13,911,940

f

Senior

Note,

144A,

6%,

2/01/29

........................

United

States

13,700,000

12,953,692

f

Senior

Note,

144A,

8%,

4/01/29

........................

United

States

6,000,000

6,161,070

f

CrownRock

LP

/

CrownRock

Finance,

Inc.

,

Senior

Note

,

144A,

5

%

,

5/01/29

...........................................

United

States

5,100,000

5,036,086

f

DT

Midstream,

Inc.

,

Senior

Bond,

144A,

4.375%,

6/15/31

.....................

United

States

3,900,000

3,632,694

Senior

Note,

144A,

4.125%,

6/15/29

.....................

United

States

10,800,000

10,128,510

f

Earthstone

Energy

Holdings

LLC

,

Senior

Note

,

144A,

8

%

,

4/15/27

.

United

States

10,000,000

10,181,650

f

Endeavor

Energy

Resources

LP

/

EER

Finance,

Inc.

,

Senior

Bond,

144A,

5.75%,

1/30/28

......................

United

States

7,600,000

7,760,094

Senior

Note,

144A,

6.625%,

7/15/25

.....................

United

States

4,000,000

4,144,620

EnLink

Midstream

LLC

,

Senior

Bond,

5.375%,

6/01/29

..........................

United

States

2,100,000

2,043,237

f

Senior

Note,

144A,

5.625%,

1/15/28

.....................

United

States

4,400,000

4,382,136

f

EQM

Midstream

Partners

LP

,

Senior

Note

,

144A,

7.5

%

,

6/01/27

..

United

States

1,900,000

1,922,800

f

EQT

Corp.

,

Senior

Note

,

144A,

3.125

%

,

5/15/26

..............

United

States

2,500,000

2,363,188

f

Harbour

Energy

plc

,

Senior

Note

,

144A,

5.5

%

,

10/15/26

........

United

Kingdom

14,800,000

14,120,162

f

Hilcorp

Energy

I

LP

/

Hilcorp

Finance

Co.

,

Senior

Bond,

144A,

6%,

2/01/31

........................

United

States

5,000,000

4,891,250

Senior

Bond,

144A,

6.25%,

4/15/32

......................

United

States

4,300,000

4,199,681

Senior

Note,

144A,

5.75%,

2/01/29

......................

United

States

7,600,000

7,460,198

Senior

Note,

144A,

6%,

4/15/30

........................

United

States

4,000,000

3,897,340

f

Martin

Midstream

Partners

LP

/

Martin

Midstream

Finance

Corp.

,

Secured

Note,

144A,

10%,

2/29/24

......................

United

States

3,522,014

3,553,624

Secured

Note,

144A,

11.5%,

2/28/25

.....................

United

States

28,805,087

29,197,507

d,f,g

Murray

Energy

Corp.

,

Secured

Note

,

144A,

PIK,

12

%

,

4/15/24

...

United

States

18,564,500

94,679

Occidental

Petroleum

Corp.

,

Senior

Bond,

6.45%,

9/15/36

...........................

United

States

15,200,000

17,024,000

Senior

Note,

8.875%,

7/15/30

..........................

United

States

17,500,000

21,878,850

Senior

Note,

6.625%,

9/01/30

..........................

United

States

5,600,000

6,284,880

Senior

Note,

6.125%,

1/01/31

..........................

United

States

5,900,000

6,408,875

f

PBF

Holding

Co.

LLC

/

PBF

Finance

Corp.

,

Senior

Secured

Note

,

144A,

9.25

%

,

5/15/25

.................................

United

States

3,000,000

3,123,660

f

Renewable

Energy

Group,

Inc.

,

Senior

Secured

Note

,

144A,

5.875

%

,

6/01/28

...........................................

United

States

7,000,000

7,451,710

Sunoco

LP

/

Sunoco

Finance

Corp.

,

Senior

Note,

6%,

4/15/27

.............................

United

States

12,600,000

12,880,980

Senior

Note,

4.5%,

5/15/29

............................

United

States

4,600,000

4,288,373

f

Senior

Note,

144A,

4.5%,

4/30/30

.......................

United

States

10,000,000

9,112,550

f

Venture

Global

Calcasieu

Pass

LLC

,

Senior

Secured

Bond,

144A,

4.125%,

8/15/31

..............

United

States

5,900,000

5,539,805

Senior

Secured

Note,

144A,

3.875%,

8/15/29

..............

United

States

5,900,000

5,591,017

f

Viper

Energy

Partners

LP

,

Senior

Note

,

144A,

5.375

%

,

11/01/27

..

United

States

8,200,000

8,177,152

350,009,693

Franklin

High

Income

Trust

Schedule

of

Investments

Franklin

High

Income

Fund

(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

25

a

a

Country

Principal

Amount

*

a

Value

a

a

a

a

a

Corporate

Bonds

(continued)

Paper

&

Forest

Products

0.2%

f

Glatfelter

Corp.

,

Senior

Note

,

144A,

4.75

%

,

11/15/29

...........

United

States

8,200,000

$

5,911,298

Personal

Products

0.2%

f

Prestige

Brands,

Inc.

,

Senior

Note

,

144A,

5.125

%

,

1/15/28

......

United

States

5,300,000

5,100,005

Pharmaceuticals

2.9%

f

Bausch

Health

Americas,

Inc.

,

Senior

Note

,

144A,

9.25

%

,

4/01/26

.

United

States

22,700,000

19,063,460

f

Bausch

Health

Cos.,

Inc.

,

Senior

Bond,

144A,

5.25%,

2/15/31

......................

United

States

7,100,000

4,175,297

Senior

Secured

Note,

144A,

6.125%,

2/01/27

..............

United

States

3,100,000

2,833,400

Senior

Secured

Note,

144A,

4.875%,

6/01/28

..............

United

States

9,800,000

8,436,330

f

Endo

Dac

/

Endo

Finance

LLC

/

Endo

Finco

,

Inc.

,

Secured

Note,

144A,

9.5%,

7/31/27

......................

United

States

7,104,000

1,740,480

Senior

Note,

144A,

6%,

6/30/28

........................

United

States

4,473,000

313,110

f

Endo

Luxembourg

Finance

Co.

I

SARL

/

Endo

US,

Inc.

,

Senior

Secured

Note

,

144A,

6.125

%

,

4/01/29

....................

United

States

4,700,000

3,581,612

f

Organon

&

Co.

/

Organon

Foreign

Debt

Co-Issuer

BV

,

Senior

Secured

Note

,

144A,

4.125

%

,

4/30/28

....................

United

States

19,000,000

18,245,700

f

Par

Pharmaceutical,

Inc.

,

Senior

Secured

Note

,

144A,

7.5

%

,

4/01/27

United

States

4,273,000

3,351,100

Teva

Pharmaceutical

Finance

Netherlands

III

BV

,

Senior

Note,

7.125%,

1/31/25

..........................

Israel

9,300,000

9,563,841

Senior

Note,

4.75%,

5/09/27

...........................

Israel

10,600,000

9,838,809

Senior

Note,

5.125%,

5/09/29

..........................

Israel

900,000

826,452

81,969,591

Real

Estate

Management

&

Development

1.6%

f

Five

Point

Operating

Co.

LP

/

Five

Point

Capital

Corp.

,

Senior

Note

,

144A,

7.875

%

,

11/15/25

...............................

United

States

19,900,000

19,287,361

f

Forestar

Group,

Inc.

,

Senior

Note

,

144A,

3.85

%

,

5/15/26

........

United

States

11,000,000

10,111,475

f

Howard

Hughes

Corp.

(The)

,

Senior

Note,

144A,

5.375%,

8/01/28

.....................

United

States

9,200,000

8,985,502

Senior

Note,

144A,

4.125%,

2/01/29

.....................

United

States

5,700,000

5,246,567

43,630,905

Road

&

Rail

0.8%

f

First

Student

Bidco

,

Inc.

/

First

Transit

Parent,

Inc.

,

Senior

Secured

Note

,

144A,

4

%

,

7/31/29

..............................

United

States

17,600,000

15,638,480

f

Williams

Scotsman

International,

Inc.

,

Senior

Secured

Note

,

144A,

4.625

%

,

8/15/28

.....................................

United

States

7,000,000

6,634,145

22,272,625

Semiconductors

&

Semiconductor

Equipment

0.1%

f

ON

Semiconductor

Corp.

,

Senior

Note

,

144A,

3.875

%

,

9/01/28

...

United

States

4,000,000

3,804,920

Software

1.3%

f

Camelot

Finance

SA

,

Senior

Secured

Note

,

144A,

4.5

%

,

11/01/26

.

United

States

14,600,000

13,870,438

f

Condor

Merger

Sub,

Inc.

,

Senior

Note

,

144A,

7.375

%

,

2/15/30

...

United

States

9,400,000

8,246,244

f

Rocket

Software,

Inc.

,

Senior

Note

,

144A,

6.5

%

,

2/15/29

........

United

States

18,500,000

14,417,883

36,534,565

Specialty

Retail

2.1%

f

Bath

&

Body

Works,

Inc.

,

Senior

Note

,

144A,

6.625

%

,

10/01/30

...

United

States

10,700,000

10,700,000

f

Gap,

Inc.

(The)

,

Senior

Note

,

144A,

3.625

%

,

10/01/29

..........

United

States

12,800,000

9,410,176

f

Lithia

Motors,

Inc.

,

Senior

Bond,

144A,

4.375%,

1/15/31

.....................

United

States

8,600,000

7,973,361

Senior

Note,

144A,

4.625%,

12/15/27

....................

United

States

8,600,000

8,484,287

Senior

Note,

144A,

3.875%,

6/01/29

.....................

United

States

1,500,000

1,387,422

Franklin

High

Income

Trust

Schedule

of

Investments

Franklin

High

Income

Fund

(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

26

a

a

Country

Principal

Amount

*

a

Value

a

a

a

a

a

Corporate

Bonds

(continued)

Specialty

Retail

(continued)

f

Michaels

Cos.,

Inc.

(The)

,

Senior

Note,

144A,

7.875%,

5/01/29

.....................

United

States

15,600,000

$

11,205,402

Senior

Secured

Note,

144A,

5.25%,

5/01/28

...............

United

States

4,200,000

3,461,850

f,h

Party

City

Holdings,

Inc.

,

Senior

Secured

Note

,

144A,

FRN

,

5.75

%

,

(

6-month

USD

LIBOR

+

5

%

),

7/15/25

.....................

United

States

1,851,810

1,392,376

f

Victoria's

Secret

&

Co.

,

Senior

Note

,

144A,

4.625

%

,

7/15/29

.....

United

States

5,300,000

4,369,744

58,384,618

Textiles,

Apparel

&

Luxury

Goods

0.2%

f

Kontoor

Brands,

Inc.

,

Senior

Note

,

144A,

4.125

%

,

11/15/29

......

United

States

6,300,000

5,372,671

Thrifts

&

Mortgage

Finance

1.3%

f

Ladder

Capital

Finance

Holdings

LLLP

/

Ladder

Capital

Finance

Corp.

,

Senior

Note

,

144A,

4.75

%

,

6/15/29

.................

United

States

5,700,000

5,141,742

MGIC

Investment

Corp.

,

Senior

Note

,

5.25

%

,

8/15/28

..........

United

States

8,400,000

8,146,614

Radian

Group,

Inc.

,

Senior

Note

,

6.625

%

,

3/15/25

.............

United

States

14,900,000

15,391,784

f

United

Wholesale

Mortgage

LLC

,

Senior

Note

,

144A,

5.5

%

,

11/15/25

United

States

7,100,000

6,721,748

35,401,888

Trading

Companies

&

Distributors

1.4%

f

Ahern

Rentals,

Inc.

,

Secured

Note

,

144A,

7.375

%

,

5/15/23

......

United

States

13,500,000

12,015,542

f

H&E

Equipment

Services,

Inc.

,

Senior

Note

,

144A,

3.875

%

,

12/15/28

United

States

10,900,000

9,531,505

f

Herc

Holdings,

Inc.

,

Senior

Note

,

144A,

5.5

%

,

7/15/27

..........

United

States

13,300,000

13,349,676

f

WESCO

Distribution,

Inc.

,

Senior

Note

,

144A,

7.25

%

,

6/15/28

....

United

States

4,600,000

4,835,888

39,732,611

Wireless

Telecommunication

Services

1.0%

Hughes

Satellite

Systems

Corp.

,

Senior

Note

,

6.625

%

,

8/01/26

...

United

States

2,950,000

2,912,240

T-Mobile

USA,

Inc.

,

Senior

Bond,

2.875%,

2/15/31

..........................

United

States

9,200,000

8,086,892

Senior

Bond,

3.5%,

4/15/31

............................

United

States

5,000,000

4,571,875

Senior

Note,

2.625%,

2/15/29

..........................

United

States

9,200,000

8,162,286

f

Vmed

O2

UK

Financing

I

plc

,

Senior

Secured

Bond

,

144A,

4.25

%

,

1/31/31

...........................................

United

Kingdom

4,100,000

3,635,060

27,368,353

Total

Corporate

Bonds

(Cost

$2,747,368,519)

...................................

2,484,933,005

i

Senior

Floating

Rate

Interests

2.4%

j

Chemicals

1.0%

Hexion

Holdings

Corp.

,

First

Lien,

Initial

CME

Term

Loan,

5.924%,

(3-month

SOFR

+

4.5%),

3/15/29

......................................

United

States

8,700,000

8,236,029

Second

Lien,

Initial

CME

Term

Loan,

8.319%,

(1-month

SOFR

+

7.438%),

3/15/30

....................................

United

States

9,279,070

8,304,767

PMHC

II,

Inc.

,

Initial

CME

Term

Loan,

B

,

5.287

%

,

(

3-month

SOFR

+

4.25

%

),

4/23/29

.....................................

United

States

13,100,000

11,794,651

28,335,447

a

a

a

a

a

a

Health

Care

Technology

0.4%

j

athenahealth

Group,

Inc.

,

Initial

CME

Term

Loan

,

4.363

%

,

(

1-month

SOFR

+

3.5

%

),

2/15/29

...............................

United

States

11,201,449

10,720,739

Franklin

High

Income

Trust

Schedule

of

Investments

Franklin

High

Income

Fund

(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

27

See

Abbreviations

on

page

45

.

a

a

Country

Principal

Amount

*

a

Value

a

a

a

a

a

i

Senior

Floating

Rate

Interests

(continued)

Hotels,

Restaurants

&

Leisure

0.4%

j

Fertitta

Entertainment

LLC

,

Initial

CME

Term

Loan,

B

,

5.034

%

,

(

1-month

SOFR

+

4

%

),

1/27/29

.........................

United

States

13,100,000

$

12,577,507

j

Media

0.2%

Clear

Channel

Outdoor

Holdings,

Inc.

,

Term

Loan,

B

,

4.738

%

,

(

1-month

USD

LIBOR

+

3.5%;

3-month

USD

LIBOR

+

3.5%

),

8/21/26

...........................................

United

States

2,969,543

2,723,947

Diamond

Sports

Group

LLC

,

First

Lien,

CME

Term

Loan

,

9

%

,

(

1-month

SOFR

+

8

%

),

5/25/26

.........................

United

States

2,664,239

2,689,549

5,413,496

a

a

a

a

a

a

Software

0.4%

j

McAfee

Corp.

,

CME

Term

Loan,

B1

,

4.842

%

,

(

1-month

SOFR

+

4

%

),

3/01/29

...........................................

United

States

10,400,000

9,906,052

Total

Senior

Floating

Rate

Interests

(Cost

$70,463,751)

..........................

66,953,241

Shares

a

Escrows

and

Litigation

Trusts

0.2%

a,b

Alpha

Natural

Resources,

Inc.,

Escrow

Account

...............

United

States

25,000,000

—

a

Chesapeake

Energy

Corp.,

Escrow

Account

.................

United

States

13,700,000

306,880

a,f

Chesapeake

Energy

Corp.,

Escrow

Account,

144A

............

United

States

5,000,000

5,137,500

Total

Escrows

and

Litigation

Trusts

(Cost

$5,450,960)

...........................

5,444,380

Total

Long

Term

Investments

(Cost

$2,890,929,202)

.............................

2,575,531,969

a

Short

Term

Investments

5.9%

a

a

Country

Shares

a

Value

a

a

Money

Market

Funds

5.9%

k,l

Institutional

Fiduciary

Trust

-

Money

Market

Portfolio,

0.437%

....

United

States

165,462,540

165,462,540

Total

Money

Market

Funds

(Cost

$165,462,540)

.................................

165,462,540

Total

Short

Term

Investments

(Cost

$165,462,540

)

...............................

165,462,540

a

Total

Investments

(Cost

$3,056,391,742)

97.6%

..................................

$2,740,994,509

Other

Assets,

less

Liabilities

2.4%

.............................................

68,050,528

Net

Assets

100.0%

...........................................................

$2,809,045,037

*

The

principal

amount

is

stated

in

U.S.

dollars

unless

otherwise

indicated.

†

Rounds

to

less

than

0.1%

of

net

assets.

a

Non-income

producing.

b

Fair

valued

using

significant

unobservable

inputs.

See

Note

14

regarding

fair

value

measurements.

c

See

Note

10

regarding

restricted

securities.

d

Income

may

be

received

in

additional

securities

and/or

cash.

e

Perpetual

security

with

no

stated

maturity

date.

f

Security

was

purchased

pursuant

to

Rule

144A

or

Regulation

S

under

the

Securities

Act

of

1933.

144A

securities

may

be

sold

in

transactions

exempt

from

registration

only

to

qualified

institutional

buyers

or

in

a

public

offering

registered

under

the

Securities

Act

of

1933.

Regulation

S

securities

cannot

be

sold

in

the

United

States

without

either

an

effective

registration

statement

filed

pursuant

to

the

Securities

Act

of

1933,

or

pursuant

to

an

exemption

from

registration.

At

May

31,

2022,

the

aggregate

value

of

these

securities

was

$2,066,519,638,

representing

73.6%

of

net

assets.

Franklin

High

Income

Trust

Schedule

of

Investments

Franklin

High

Income

Fund

(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

28

g

See

Note

7

regarding

credit

risk

and

defaulted

securities.

h

The

coupon

rate

shown

represents

the

rate

at

period

end.

i

See

Note

1(d)

regarding

senior

floating

rate

interests.

j

The

coupon

rate

shown

represents

the

rate

inclusive

of

any

caps

or

floors,

if

applicable,

in

effect

at

period

end.

k

See

Note

3(f)

regarding

investments

in

affiliated

management

investment

companies.

l

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

Franklin

High

Income

Trust

Financial

Statements

Statement

of

Assets

and

Liabilities

May

31,

2022

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

29

Franklin

High

Income

Fund

Assets:

Investments

in

securities:

Cost

-

Unaffiliated

issuers

...................................................................

$2,890,929,202

Cost

-

Non-controlled

affiliates

(Note

3

f

and

12

)

...................................................

165,462,540

Value

-

Unaffiliated

issuers

..................................................................

$2,575,531,969

Value

-

Non-controlled

affiliates

(Note

3

f

and

12

)

..................................................

165,462,540

Cash

....................................................................................

16,672

Receivables:

Investment

securities

sold

...................................................................

1,280,500

Capital

shares

sold

........................................................................

37,248,264

Dividends

and

interest

.....................................................................

39,297,733

Total

assets

..........................................................................

2,818,837,678

Liabilities:

Payables:

Investment

securities

purchased

..............................................................

5,100,000

Capital

shares

redeemed

...................................................................

2,075,404

Management

fees

.........................................................................

1,014,723

Distribution

fees

..........................................................................

424,269

Transfer

agent

fees

........................................................................

584,144

Unrealized

depreciation

on

unfunded

loan

commitments

(Note

11

)

......................................

81,476

Accrued

expenses

and

other

liabilities

...........................................................

512,625

Total

liabilities

.........................................................................

9,792,641

Net

assets,

at

value

.................................................................

$2,809,045,037

Net

assets

consist

of:

Paid-in

capital

.............................................................................

$3,846,892,741

Total

distributable

earnings

(losses)

.............................................................

(1,037,847,704)

Net

assets,

at

value

.................................................................

$2,809,045,037

Franklin

High

Income

Trust

Financial

Statements

Statement

of

Assets

and

Liabilities

(continued)

May

31,

2022

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

30

Franklin

High

Income

Fund

Class

A:

Net

assets,

at

value

.......................................................................

$689,209,699

Shares

outstanding

........................................................................

406,669,818

Net

asset

value

per

share

a

..................................................................

$1.69

Maximum

offering

price

per

share

(net

asset

value

per

share

÷

96.25%)

................................

$1.76

Class

A1:

Net

assets,

at

value

.......................................................................

$1,483,887,604

Shares

outstanding

........................................................................

866,611,234

Net

asset

value

per

share

a

..................................................................

$1.71

Maximum

offering

price

per

share

(net

asset

value

per

share

÷

96.25%)

................................

$1.78

Class

C:

Net

assets,

at

value

.......................................................................

$119,629,791

Shares

outstanding

........................................................................

68,827,716

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$1.74

Class

R:

Net

assets,

at

value

.......................................................................

$64,250,386

Shares

outstanding

........................................................................

36,678,337

Net

asset

value

and

maximum

offering

price

per

share

.............................................

$1.75

Class

R6:

Net

assets,

at

value

.......................................................................

$98,281,775

Shares

outstanding

........................................................................

57,642,140

Net

asset

value

and

maximum

offering

price

per

share

.............................................

$1.71

Advisor

Class:

Net

assets,

at

value

.......................................................................

$353,785,782

Shares

outstanding

........................................................................

206,807,681

Net

asset

value

and

maximum

offering

price

per

share

.............................................

$1.71

a

Redemption

price

is

equal

to

net

asset

value

less

contingent

deferred

sales

charges,

if

applicable.

Franklin

High

Income

Trust

Financial

Statements

Statement

of

Operations

for

the

year

ended

May

31,

2022

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

31

Franklin

High

Income

Fund

Investment

income:

Dividends:

Unaffiliated

issuers

........................................................................

$33,145

Non-controlled

affiliates

(Note

3

f

and

12

)

........................................................

46,738

Interest:

Unaffiliated

issuers

........................................................................

165,183,000

Non-controlled

affiliates

(Note

3

f

and

12

)

........................................................

580,744

Income

from

securities

loaned:

Unaffiliated

entities

(net

of

fees

and

rebates)

.....................................................

362

Non-controlled

affiliates

(Note

3

f

)

.............................................................

11

Total

investment

income

...................................................................

165,844,000

Expenses:

Management

fees

(Note

3

a

)

...................................................................

13,755,476

Distribution

fees:

(Note

3c

)

    Class

A

................................................................................

1,695,481

    Class

A1

...............................................................................

2,500,035

    Class

C

................................................................................

1,036,687

    Class

R

................................................................................

356,593

Transfer

agent

fees:

(Note

3e

)

    Class

A

................................................................................

907,999

    Class

A1

...............................................................................

2,199,696

    Class

C

................................................................................

207,301

    Class

R

................................................................................

94,158

    Class

R6

...............................................................................

64,995

    Advisor

Class

............................................................................

445,288

Custodian

fees

(Note

4

)

......................................................................

24,736

Reports

to

shareholders

fees

..................................................................

372,663

Registration

and

filing

fees

....................................................................

211,054

Professional

fees

...........................................................................

119,033

Trustees'

fees

and

expenses

..................................................................

26,535

Other

....................................................................................

110,762

Total

expenses

.........................................................................

24,128,492

Expense

reductions

(Note

4

)

...............................................................

(957)

Expenses

waived/paid

by

affiliates

(Note

3

f

and

3

g

)

..............................................

(170,818)

Net

expenses

.........................................................................

23,956,717

Net

investment

income

................................................................

141,887,283

Realized

and

unrealized

gains

(losses):

Net

realized

gain

(loss)

from:

Investments:

Unaffiliated

issuers

......................................................................

(11,003,499)

Non-controlled

affiliates

(Note

3

f

and

12

)

......................................................

16,357,963

Net

realized

gain

(loss)

..................................................................

5,354,464

Net

change

in

unrealized

appreciation

(depreciation)

on:

Investments:

Unaffiliated

issuers

......................................................................

(286,197,154)

Non-controlled

affiliates

(Note

3

f

and

12

)

......................................................

4,326,887

Net

change

in

unrealized

appreciation

(depreciation)

............................................

(281,870,267)

Net

realized

and

unrealized

gain

(loss)

............................................................

(276,515,803)

Net

increase

(decrease)

in

net

assets

resulting

from

operations

..........................................

$(134,628,520)

Franklin

High

Income

Trust

Financial

Statements

Statements

of

Changes

in

Net

Assets

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

32

Franklin

High

Income

Fund

Year

Ended

May

31,

2022

Year

Ended

May

31,

2021

Increase

(decrease)

in

net

assets:

Operations:

Net

investment

income

.................................................

$141,887,283

$151,834,255

Net

realized

gain

(loss)

.................................................

5,354,464

(4,550,442)

Net

change

in

unrealized

appreciation

(depreciation)

...........................

(281,870,267)

242,905,418

Net

increase

(decrease)

in

net

assets

resulting

from

operations

................

(134,628,520)

390,189,231

Distributions

to

shareholders:

Class

A

.............................................................

(33,006,563)

(22,611,705)

Class

A1

............................................................

(80,385,925)

(93,298,370)

Class

C

.............................................................

(6,601,409)

(10,812,834)

Class

R

.............................................................

(3,110,688)

(3,617,545)

Class

R6

............................................................

(5,072,921)

(5,680,745)

Advisor

Class

........................................................

(16,855,191)

(17,304,918)

Total

distributions

to

shareholders

..........................................

(145,032,697)

(153,326,117)

Capital

share

transactions:

(Note

2

)

Class

A

.............................................................

205,233,436

213,346,572

Class

A1

............................................................

(123,808,795)

(148,405,240)

Class

C

.............................................................

(88,405,043)

(51,619,398)

Class

R

.............................................................

(3,898,286)

(8,997,749)

Class

R6

............................................................

19,909,942

14,361,843

Advisor

Class

........................................................

42,592,559

17,614,904

Total

capital

share

transactions

............................................

51,623,813

36,300,932

Net

increase

(decrease)

in

net

assets

...................................

(228,037,404)

273,164,046

Net

assets:

Beginning

of

year

.......................................................

3,037,082,441

2,763,918,395

End

of

year

...........................................................

$2,809,045,037

$3,037,082,441

Franklin

High

Income

Trust

33

franklintempleton.com

Annual

Report

Notes

to

Financial

Statements

Franklin

High

Income

Fund

1.

Organization

and

Significant

Accounting

Policies

Franklin

High

Income

Trust (Trust)

is

registered

under

the

Investment

Company

Act

of

1940

(1940

Act)

as

an

open-

end

management

investment

company,

consisting

of

one

fund, Franklin

High

Income

Fund

(Fund)

and

applies

the

specialized

accounting

and

reporting

guidance

in

U.S.

Generally

Accepted

Accounting

Principles

(U.S.

GAAP).

The

Fund

offers

six

classes

of

shares:

Class

A,

Class

A1,

Class

C,

Class

R,

Class

R6

and

Advisor

Class.

Effective

August

2,

2021,

Class

C

shares

automatically

convert

to

Class

A

shares

on

a

monthly

basis

after

they

have

been

held

for

8

years.

Prior

to

August

2,

2021,

Class

C

shares

converted

to

Class

A

shares

after

a

10-year

holding

period.

Each

class

of

shares

may

differ

by

its

initial

sales

load,

contingent

deferred

sales

charges,

voting

rights

on

matters

affecting

a

single

class,

its

exchange

privilege

and

fees

due

to

differing

arrangements

for

distribution

and

transfer

agent

fees.

As

approved

by

the

Trust’s

Board

of

Trustees

(the

Board)

at

a

meeting

held

on

December

9,

2021,

the

Fund’s

fiscal

year-

end

will

be

changed

to

September

30

effective

September

30,

2022.

This

will

result

in

the

Fund

having

a

fiscal

year

that

is

shorter

than

a

full

calendar

year

for

the

period

ended

September

30,

2022.

The

following

summarizes

the

Fund's

significant

accounting

policies.

a.

Financial

Instrument

Valuation 

The

Fund’s

investments

in

financial

instruments

are

carried

at

fair

value

daily.

Fair

value

is

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

market

participants

on

the

measurement

date.

The

Fund

calculates

the

net

asset

value

(NAV)

per

share

each business

day as

of

4

p.m.

Eastern

time

or

the

regularly

scheduled

close

of

the

New

York

Stock

Exchange

(NYSE),

whichever

is

earlier.

Under

compliance

policies

and

procedures

approved

by

the

Trust's

Board,

the

Fund's

administrator

has

responsibility

for

oversight

of

valuation,

including

leading

the

cross-functional

Valuation

Committee

(VC).

The

Fund

may

utilize

independent

pricing

services,

quotations

from

securities

and

financial

instrument

dealers,

and

other

market

sources

to

determine

fair

value. 

Equity

securities

listed

on

an

exchange

or

on

the

NASDAQ

National

Market

System

are

valued

at

the

last

quoted

sale

price

or

the

official

closing

price of

the

day,

respectively.

Over-the-counter

(OTC)

securities

are

valued

within

the

range

of

the

most

recent

quoted

bid

and

ask

prices.

Securities

that

trade

in

multiple

markets

or

on

multiple

exchanges

are

valued

according

to

the

broadest

and

most

representative

market.

Certain

equity

securities

are

valued

based

upon

fundamental

characteristics

or

relationships

to

similar

securities. 

Debt

securities

generally

trade

in

the

OTC

market

rather

than

on

a

securities

exchange.

The

Fund's

pricing

services

use

multiple

valuation

techniques

to

determine

fair

value.

In

instances

where

sufficient

market

activity

exists,

the

pricing

services

may

utilize

a

market-based

approach

through

which

quotes

from

market

makers

are

used

to

determine

fair

value.

In

instances

where

sufficient

market

activity

may

not

exist

or

is

limited,

the

pricing

services

also

utilize

proprietary

valuation

models

which

may

consider

market

characteristics

such

as

benchmark

yield

curves,

credit

spreads,

estimated

default

rates,

anticipated

market

interest

rate

volatility,

coupon

rates,

anticipated

timing

of

principal

repayments,

underlying

collateral,

and

other

unique

security

features

in

order

to

estimate

the

relevant

cash

flows,

which

are

then

discounted

to

calculate

the

fair

value.

Investments

in open-end mutual

funds

are

valued

at

the

closing

NAV.

The

Fund

has

procedures

to

determine

the

fair

value

of

financial

instruments

for

which

market

prices

are

not

reliable

or

readily

available.

Under

these

procedures,

the Fund

primarily

employs

a

market-based

approach

which

may

use

related

or

comparable

assets

or

liabilities,

recent

transactions,

market

multiples,

book

values,

and

other

relevant

information

for

the

investment

to

determine

the

fair

value

of

the

investment.

An

income-based

valuation

approach

may

also

be

used

in

which

the

anticipated

future

cash

flows

of

the

investment

are

discounted

to

calculate

fair

value.

Discounts

may

also

be

applied

due

to

the

nature

or

duration

of

any

restrictions

on

the

disposition

of

the

investments.

Due

to

the

inherent

uncertainty

of

valuations

of

such

investments,

the

fair

values

may

differ

significantly

from

the

values

that

would

have

been

used

had

an

active

market

existed.

Trading

in

securities

on

foreign

securities

stock

exchanges

and

OTC

markets

may

be

completed

before

4

p.m.

Eastern

time.

In

addition,

trading

in

certain

foreign

markets

may

not

take

place

on

every

Fund's

business

day. Events

can occur

between

the

time

at

which

trading

in

a

foreign

security

is

completed

and

4

p.m.

Eastern

time

that

might

call

into

question

the

reliability

of

the

value

of

a

portfolio

security

held

Franklin

High

Income

Trust

Notes

to

Financial

Statements

34

franklintempleton.com

Annual

Report

Franklin

High

Income

Fund

(continued)

by

the

Fund.

As

a

result,

differences

may

arise

between

the

value

of

the

Fund's

portfolio

securities

as

determined

at

the

foreign

market

close

and

the

latest

indications

of

value

at

4

p.m.

Eastern

time. In

order

to

minimize

the

potential

for

these

differences,

an

independent

pricing

service

may

be

used

to

adjust

the

value

of

the

Fund's

portfolio

securities

to

the

latest

indications

of

fair

value

at

4

p.m.

Eastern

time

month

end.

At

May

31,

2022,

certain

securities

may

have

been

fair

valued

using

these

procedures,

in

which

case

the

securities

were

categorized

as

Level

2

inputs

within

the

fair

value

hierarchy

(referred

to

as

“market

level

fair

value”).

See

the

Fair

Value

Measurements

note

for

more

information.

When

the

last

day

of

the

reporting

period

is

a

non-business

day,

certain

foreign

markets

may

be

open

on

those

days

that

the

Fund's

NAV

is

not

calculated,

which

could

result

in

differences

between

the

value

of

the

Fund's

portfolio

securities

on

the

last

business

day

and

the

last

calendar

day

of

the

reporting

period.

Any

security

valuation

changes

due

to

an

open

foreign

market

are

adjusted

and

reflected

by

the

Fund

for

financial

reporting

purposes.

b.

Foreign

Currency

Translation 

Portfolio

securities

and

other

assets

and

liabilities

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

based

on

the

exchange

rate

of

such

currencies

against

U.S.

dollars

on

the

date

of

valuation.

The

Fund

may

enter

into

foreign

currency

exchange

contracts

to

facilitate

transactions

denominated

in

a

foreign

currency.

Purchases

and

sales

of

securities,

income

and

expense

items

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

at

the

exchange

rate

in

effect

on

the

transaction

date.

Portfolio

securities

and

assets

and

liabilities

denominated

in

foreign

currencies

contain

risks

that

those

currencies

will

decline

in

value

relative

to

the

U.S.

dollar.

Occasionally,

events

may

impact

the

availability

or

reliability

of

foreign

exchange

rates

used

to

convert

the

U.S.

dollar

equivalent

value.

If

such

an

event

occurs,

the

foreign

exchange

rate

will

be

valued

at

fair

value

using

procedures

established

and

approved

by

the

Board.

The

Fund

does

not

separately

report

the

effect

of

changes

in

foreign

exchange

rates

from

changes

in

market

prices

on

securities

held.

Such

changes

are

included

in

net

realized

and

unrealized

gain

or

loss

from

investments

in

the

Statement of

Operations.

Realized

foreign

exchange

gains

or

losses

arise

from

sales

of

foreign

currencies,

currency

gains

or

losses

realized

between

the

trade

and

settlement

dates

on

securities

transactions

and

the

difference

between

the

recorded

amounts

of

dividends,

interest,

and

foreign

withholding

taxes

and

the

U.S.

dollar

equivalent

of

the

amounts

actually

received

or

paid.

Net

unrealized

foreign

exchange

gains

and

losses

arise

from

changes

in

foreign

exchange

rates

on

foreign

denominated

assets

and

liabilities

other

than

investments

in

securities

held

at

the

end

of

the

reporting

period.

c.

Securities

Lending

The

Fund

participates

in

an

agency

based

securities

lending

program

to

earn

additional

income.

The

Fund

receives

collateral

in

the

form

of

cash

and/or

U.S.

Government

and

Agency

securities

against

the

loaned

securities

in

an

amount

equal

to

at

least

102%

of

the

fair

value

of

the

loaned

securities.

Collateral

is

maintained

over

the

life

of

the

loan

in

an

amount

not

less

than

100%

of

the

fair

value

of

loaned

securities,

as

determined

at

the

close

of

Fund

business

each

day;

any

additional

collateral

required

due

to

changes

in

security

values

is

delivered

to

the

Fund

on

the

next

business

day.

Any

cash

collateral

received

is

deposited

into

a

joint

cash

account

with

other

funds

and

is

used

to

invest

in

a

money

market

fund

managed

by

Franklin

Advisers,

Inc.,

an

affiliate

of

the Fund,

and/or

a

joint

repurchase

agreement

in

the

Statement

of

Assets

and

Liabilities.

The

Fund

may

receive

income

from

the

investment

of

cash

collateral,

in

addition

to

lending

fees

and

rebates

paid

by

the

borrower.

Income

from

securities

loaned,

net

of

fees

paid

to

the

securities

lending

agent

and/or

third-party

vendor,

is

reported

separately

in

the

Statement

of

Operations.

The

Fund

bears

the

market

risk

with

respect

to any

cash collateral

investment,

securities

loaned,

and

the

risk

that

the

agent

may

default

on

its

obligations

to

the

Fund.

If

the

borrower

defaults

on

its

obligation

to

return

the

securities

loaned,

the

Fund

has

the

right

to

repurchase

the

securities

in

the

open

market

using

the

collateral

received.

The

securities

lending

agent

has

agreed

to

indemnify

the

Fund

in

the

event

of

default

by

a

third

party

borrower.

At

May

31,

2022,

the Fund

had

no

securities

on

loan.

1.

Organization

and

Significant

Accounting

Policies

(continued)

a.

Financial

Instrument

Valuation 

(continued)

Franklin

High

Income

Trust

Notes

to

Financial

Statements

35

franklintempleton.com

Annual

Report

Franklin

High

Income

Fund

(continued)

d.

Senior

Floating

Rate

Interests

The

Fund

invests

in

senior

secured

corporate

loans

that

pay

interest

at

rates

which

are

periodically

reset

by

reference

to

a

base

lending

rate

plus

a

spread.

These

base

lending

rates

are

generally

the

prime

rate

offered

by

a

designated

U.S.

bank

or

the

London

InterBank

Offered

Rate

(LIBOR).

Senior

secured

corporate

loans

often

require

prepayment

of

principal

from

excess

cash

flows

or

at

the

discretion

of

the

borrower.

As

a

result,

actual

maturity

may

be

substantially

less

than

the

stated

maturity.

Senior

secured

corporate

loans

in

which

the Fund

invests

are

generally

readily

marketable,

but

may

be

subject

to

certain

restrictions

on

resale.

e.

Income

and

Deferred

Taxes

It

is the

Fund's

policy

to

qualify

as

a

regulated

investment

company

under

the

Internal

Revenue

Code. The

Fund

intends

to

distribute

to

shareholders

substantially

all

of

its

taxable

income

and

net

realized

gains

to

relieve

it

from

federal

income

and excise

taxes.

As

a

result,

no

provision

for

U.S.

federal

income

taxes

is

required.

The Fund

may

be

subject

to

foreign

taxation

related

to

income

received,

capital

gains

on

the

sale

of

securities

and

certain

foreign

currency

transactions

in

the

foreign

jurisdictions

in

which

it

invests.

Foreign

taxes,

if

any,

are

recorded

based

on

the

tax

regulations

and

rates

that

exist

in

the

foreign

markets

in

which

the

Fund

invests.

When

a

capital

gain

tax

is

determined

to

apply,

the

Fund

records

an

estimated

deferred

tax

liability

in

an

amount

that

would

be

payable

if

the

securities

were

disposed

of

on

the

valuation

date.

The

Fund

may

recognize

an

income

tax

liability

related

to

its

uncertain

tax

positions

under

U.S.

GAAP

when

the

uncertain

tax

position

has

a

less

than

50%

probability

that

it

will

be

sustained

upon

examination

by

the

tax

authorities

based

on

its

technical

merits.

As

of

May

31,

2022,

the

Fund

has

determined

that

no

tax

liability

is

required

in

its

financial

statements

related

to

uncertain

tax

positions

for

any

open

tax

years

(or

expected

to

be

taken

in

future

tax

years).

Open

tax

years

are

those

that

remain

subject

to

examination

and

are

based

on

the

statute

of

limitations

in

each

jurisdiction

in

which

the

Fund

invests. 

f.

Security

Transactions,

Investment

Income,

Expenses

and

Distributions

Security

transactions

are

accounted

for

on

trade

date.

Realized

gains

and

losses

on

security

transactions

are

determined

on

a

specific

identification

basis.

Interest

income

and

estimated

expenses

are

accrued

daily.

Amortization

of

premium

and

accretion

of

discount

on

debt

securities

are

included

in

interest

income.

Paydown

gains

and

losses

are

recorded

as

an

adjustment

to

interest

income.

Dividend

income

is

recorded

on

the

ex-dividend

date

except

for

certain

dividends

from

securities

where

the

dividend

rate

is

not

available.

In

such

cases,

the

dividend

is

recorded

as

soon

as

the

information

is

received

by

the

Fund.

Distributions

to

shareholders

are

recorded

on

the

ex-dividend

date.

Distributable

earnings

are

determined

according

to

income

tax

regulations

(tax

basis)

and

may

differ

from

earnings

recorded

in

accordance

with

U.S.

GAAP.

These

differences

may

be

permanent

or

temporary.

Permanent

differences

are

reclassified

among

capital

accounts

to

reflect

their

tax

character.

These

reclassifications

have

no

impact

on

net

assets

or

the

results

of

operations.

Temporary

differences

are

not

reclassified,

as

they

may

reverse

in

subsequent

periods.

Realized

and

unrealized

gains

and

losses

and

net

investment

income,

excluding

class

specific

expenses,

are

allocated

daily

to

each

class

of

shares

based

upon

the

relative

proportion

of

net

assets

of

each

class.

Differences

in

per

share

distributions

by

class

are

generally

due

to

differences

in

class

specific

expenses.

g.

Accounting

Estimates

The

preparation

of

financial

statements

in

accordance

with

U.S.

GAAP

requires

management

to

make

estimates

and

assumptions

that

affect

the

reported

amounts

of

assets

and

liabilities

at

the

date

of

the

financial

statements

and

the

amounts

of

income

and

expenses

during

the

reporting

period.

Actual

results

could

differ

from

those

estimates.

1.

Organization

and

Significant

Accounting

Policies

(continued)

Franklin

High

Income

Trust

Notes

to

Financial

Statements

36

franklintempleton.com

Annual

Report

Franklin

High

Income

Fund

(continued)

h.

Guarantees

and

Indemnifications

Under

the

Trust's

organizational

documents,

its

officers

and

trustees

are

indemnified

by

the

Trust

against

certain

liabilities

arising

out

of

the

performance

of

their

duties

to

the

Trust.

Additionally,

in

the

normal

course

of

business,

the

Trust, on

behalf

of

the

Fund,

enters

into

contracts

with

service

providers

that

contain

general

indemnification

clauses.

The

Trust's

maximum

exposure

under

these

arrangements

is

unknown

as

this

would

involve

future

claims

that

may

be

made

against

the

Trust

that

have

not

yet

occurred.

Currently,

the

Trust

expects

the

risk

of

loss

to

be

remote.

2.

Shares

of

Beneficial

Interest

At

May

31,

2022,

there

were

an

unlimited

number

of

shares

authorized

(without

par

value).

Transactions

in

the

Fund's

shares

were

as

follows:

Year

Ended

May

31,

2022

Year

Ended

May

31,

2021

Shares

Amount

Shares

Amount

Class

A

Shares:

Shares

sold

a

...................................

200,948,612

$370,941,307

201,122,114

$369,221,416

Shares

issued

in

reinvestment

of

distributions

..........

17,092,553

30,970,243

11,507,607

21,062,321

Shares

redeemed

...............................

(107,938,951)

(196,678,114)

(96,268,762)

(176,937,165)

Net

increase

(decrease)

..........................

110,102,214

$205,233,436

116,360,959

$213,346,572

Class

A1

Shares:

Shares

sold

...................................

39,484,317

$72,976,305

41,790,440

$77,074,890

Shares

issued

in

reinvestment

of

distributions

..........

38,385,436

70,510,008

44,371,191

81,646,761

Shares

redeemed

...............................

(144,890,033)

(267,295,108)

(166,785,921)

(307,126,891)

Net

increase

(decrease)

..........................

(67,020,280)

$(123,808,795)

(80,624,290)

$(148,405,240)

Class

C

Shares:

Shares

sold

...................................

12,604,351

$23,778,635

14,831,857

$27,811,972

Shares

issued

in

reinvestment

of

distributions

..........

3,304,666

6,182,808

5,404,840

10,082,816

Shares

redeemed

a

..............................

(62,543,521)

(118,366,486)

(48,050,021)

(89,514,186)

Net

increase

(decrease)

..........................

(46,634,504)

$(88,405,043)

(27,813,324)

$(51,619,398)

Class

R

Shares:

Shares

sold

...................................

5,263,216

$9,879,452

7,662,759

$14,420,125

Shares

issued

in

reinvestment

of

distributions

..........

1,652,660

3,103,115

1,919,393

3,606,273

Shares

redeemed

...............................

(8,965,664)

(16,880,853)

(14,439,068)

(27,024,147)

Net

increase

(decrease)

..........................

(2,049,788)

$(3,898,286)

(4,856,916)

$(8,997,749)

Class

R6

Shares:

Shares

sold

...................................

20,707,734

$38,283,732

51,020,473

$93,337,827

Shares

issued

in

reinvestment

of

distributions

..........

2,724,050

4,966,000

3,035,743

5,586,374

Shares

redeemed

...............................

(12,826,935)

(23,339,790)

(45,562,830)

(84,562,358)

Net

increase

(decrease)

..........................

10,604,849

$19,909,942

8,493,386

$14,361,843

Advisor

Class

Shares:

Shares

sold

...................................

118,594,870

$214,891,375

119,683,675

$220,733,309

Shares

issued

in

reinvestment

of

distributions

..........

8,487,738

15,593,616

8,737,167

16,093,976

Shares

redeemed

...............................

(101,961,748)

(187,892,432)

(119,351,678)

(219,212,381)

Net

increase

(decrease)

..........................

25,120,860

$42,592,559

9,069,164

$17,614,904

1.

Organization

and

Significant

Accounting

Policies

(continued)

Franklin

High

Income

Trust

Notes

to

Financial

Statements

37

franklintempleton.com

Annual

Report

Franklin

High

Income

Fund

(continued)

3.

Transactions

with

Affiliates

Franklin

Resources,

Inc.

is

the

holding

company

for

various

subsidiaries

that

together

are

referred

to

as

Franklin

Templeton.

Certain

officers

and

trustees

of

the

Fund

are

also

officers

and/or

directors

of

the

following

subsidiaries:

a.

Management

Fees

The

Fund

pays

an

investment

management

fee,

calculated

daily

and

paid

monthly, to

Advisers

based

on

the

month-end

net

assets

of

the

Fund

as

follows:

For

the

year

ended

May

31,

2022,

the

gross

effective

investment

management

fee

rate

was 0.457%

of

the

Fund’s

average daily

net

assets. 

b.

Administrative

Fees

Under

an

agreement

with

Advisers,

FT

Services

provides

administrative

services

to

the

Fund.

The

fee

is

paid

by

Advisers

based

on

the

Fund's

average

daily

net

assets,

and

is

not

an

additional

expense

of

the

Fund.

c.

Distribution

Fees

The

Board

has

adopted

distribution

plans

for

each

share

class,

with

the

exception

of

Class

R6

and

Advisor

Class

shares,

pursuant

to

Rule

12b-1

under

the

1940

Act.

Under

the

Fund’s

Class A and

Class

A1 reimbursement

distribution

plans,

the

Fund

reimburses

Distributors

for

costs

incurred

in

connection

with

the

servicing,

sale

and

distribution

of

the

Fund's

shares

up

to

the

maximum

annual

plan

rate

for

each

class.

Under

the

Class

A

and

Class

A1

reimbursement

distribution

plans,

costs

exceeding

the

maximum

for

the

current

plan

year

cannot

be

reimbursed

in

subsequent

periods.

In

addition,

under

the

Fund’s

a

May

include

a

portion

of

Class

C

shares

that

were

automatically

converted

to

Class

A.

Subsidiary

Affiliation

Franklin

Advisers,

Inc.

(Advisers)

Investment

manager

Franklin

Templeton

Services,

LLC

(FT

Services)

Administrative

manager

Franklin

Distributors,

LLC

(Distributors)

Principal

underwriter

Franklin

Templeton

Investor

Services,

LLC

(Investor

Services)

Transfer

agent

Annualized

Fee

Rate

Net

Assets

0.625%

Up

to

and

including

$100

million

0.500%

Over

$100

million,

up

to

and

including

$250

million

0.450%

Over

$250

million,

up

to

and

including

$7.5

billion

0.440%

Over

$7.5

billion,

up

to

and

including

$10

billion

0.430%

Over

$10

billion,

up

to

and

including

$12.5

billion

0.420%

Over

$12.5

billion,

up

to

and

including

$15

billion

0.400%

Over

$15

billion,

up

to

and

including

$17.5

billion

0.380%

Over

$17.5

billion,

up

to

and

including

$20

billion

0.360%

Over

$20

billion,

up

to

and

including

$35

billion

0.355%

Over

$35

billion,

up

to

and

including

$50

billion

0.350%

In

excess

of

$50

billion

2.

Shares

of

Beneficial

Interest

(continued)

Franklin

High

Income

Trust

Notes

to

Financial

Statements

38

franklintempleton.com

Annual

Report

Franklin

High

Income

Fund

(continued)

Class C

and

R

compensation

distribution

plans,

the

Fund

pays

Distributors

for

costs

incurred

in

connection

with

the

servicing,

sale

and

distribution

of

the

Fund's

shares

up

to

the

maximum

annual

plan

rate

for

each

class.

The

plan

year,

for

purposes

of

monitoring

compliance

with

the

maximum

annual

plan

rates,

is

February

1

through

January

31.

The

maximum

annual

plan

rates,

based

on

the

average

daily

net

assets,

for

each

class,

are

as

follows:

d.

Sales

Charges/Underwriting

Agreements

Front-end

sales

charges

and

contingent

deferred

sales

charges

(CDSC)

do

not

represent

expenses

of

the

Fund.

These

charges

are

deducted

from

the

proceeds

of

sales

of

Fund

shares

prior

to

investment

or

from

redemption

proceeds

prior

to

remittance,

as

applicable.

Distributors

has

advised

the

Fund

of

the

following

commission

transactions

related

to

the

sales

and

redemptions

of

the

Fund's

shares

for

the

year:

e.

Transfer

Agent

Fees

Each

class

of

shares pays

transfer

agent

fees

to

Investor

Services

for

its

performance

of

shareholder

servicing

obligations.

The

fees

are

based

on

an

annualized

asset

based

fee

of

0.02%

plus

a

transaction

based

fee.

In

addition,

each

class reimburses

Investor

Services

for

out

of

pocket

expenses

incurred

and,

except

for

Class

R6, reimburses

shareholder

servicing

fees

paid

to

third

parties.

These

fees

are

allocated

daily

based

upon

their

relative

proportion

of

such

classes'

aggregate

net

assets.

Class

R6

pays

Investor

Services

transfer

agent

fees

specific

to

that

class.

For

the

year

ended

May

31,

2022,

the

Fund

paid

transfer

agent

fees

of

$3,919,437 of

which

$1,879,043

was

 retained

by

Investor

Services.

f.

Investments

in

Affiliated

Management

Investment

Companies

The

Fund

invests

in

one

or

more

affiliated

management

investment

companies.

As

defined

in

the

1940

Act,

an

investment

is

deemed

to

be

a

“Controlled

Affiliate”

of

a

fund

when

a

fund

owns,

either

directly

or

indirectly,

25%

or

more

of

the

affiliated

fund’s

outstanding

shares

or

has

the

power

to

exercise

control

over

management

or

policies

of

such

fund.

The

Fund

does

not

invest

for

purposes

of

exercising

a

controlling

influence

over

the

management

or

policies.

Management

fees

paid

by

the

Fund

are

waived

on

assets

invested

in

the

affiliated

management

investment

companies,

as

noted

in

the

Statement

of

Operations,

in

an

amount

not

to

exceed

the

management

and

administrative

fees

paid

directly

or

indirectly

by

each

affiliate.

During

the

year

ended

May

31,

2022,

the

Fund

held

investments

in

affiliated

management

investment

companies

as

follows:

Class

A

....................................................................................

0.25%

Class

A1

...................................................................................

0.15%

Class

C

....................................................................................

0.65%

Class

R

....................................................................................

0.50%

Sales

charges

retained

net

of

commissions

paid

to

unaffiliated

brokers/dealers

..............................

$29,569

CDSC

retained

..............................................................................

$71,589

3.

Transactions

with

Affiliates

(continued)

c.

Distribution

Fees

(continued)

Franklin

High

Income

Trust

Notes

to

Financial

Statements

39

franklintempleton.com

Annual

Report

Franklin

High

Income

Fund

(continued)

g.

Waiver

and

Expense

Reimbursements

Investor

Services

has

contractually

agreed

in

advance

to

waive

or

limit

its

fees

so

that

the

Class

R6

transfer

agent

fees

do

not

exceed

0.03%

based

on

the

average

net

assets

of

the

class

until

September

30,

2022.

4.

Expense

Offset

Arrangement

The Fund has

entered

into

an

arrangement

with

its

custodian

whereby

credits

realized

as

a

result

of

uninvested

cash

balances

are

used

to

reduce

a

portion

of

the

Fund's

custodian

expenses.

During

the

year

ended

May

31,

2022,

the

custodian

fees

were

reduced

as

noted

in

the

Statement

of

Operations. 

5.

Income

Taxes

For

tax

purposes,

capital

losses

may

be

carried

over

to

offset

future

capital

gains. 

During

the

year

ended

May

31,

2022,

the

Fund

utilized

$3,630,625

of

capital

loss

carryforwards.

At

May

31,

2022,

the

capital

loss

carryforwards

were

as

follows:

The

tax

character

of

distributions

paid

during

the

years

ended

May

31,

2022

and

2021,

was

as

follows:

    aa

Value

at

Beginning

of

Year

Purchases

Sales

Realized

Gain

(Loss)

Net

Change

in

Unrealized

Appreciation

(Depreciation)

Value

at

End

of

Year

Number

of

Shares

Held

at

End

of

Year

Investment

Income

a      

a  

a  

a  

a  

a  

a  

a  

Franklin

High

Income

Fund

Non-Controlled

Affiliates

Dividends

Institutional

Fiduciary

Trust

-

Money

Market

Portfolio,

0.437%

$

63,820,569

$

904,188,555

$

(802,546,584)

$

—

$

—

$

165,462,540

165,462,540

$

46,738

Non-Controlled

Affiliates

Income

from

securities

loaned

Institutional

Fiduciary

Trust

-

Money

Market

Portfolio,

0.437%

$—

$5,385,000

$(5,385,000)

$—

$—

$—

—

$11

Total

Affiliated

Securities

...

$63,820,569

$909,573,555

$(807,931,584)

$—

$—

$165,462,540

$46,749

Capital

loss

carryforwards

not

subject

to

expiration:

Long

term

................................................................................

$712,499,271

2022

2021

Distributions

paid

from:

Ordinary

income

..........................................................

$145,032,697

$153,326,117

3.

Transactions

with

Affiliates

(continued)

f.

Investments

in

Affiliated

Management

Investment

Companies

(continued)

Franklin

High

Income

Trust

Notes

to

Financial

Statements

40

franklintempleton.com

Annual

Report

Franklin

High

Income

Fund

(continued)

At

May

31,

2022,

the

cost

of

investments,

net

unrealized

appreciation

(depreciation)

and

undistributed

ordinary

income

for

income

tax

purposes

were

as

follows:

Differences

between

income

and/or

capital

gains

as

determined

on

a

book

basis

and

a

tax

basis

are

primarily

due

to

differing

treatment

of

bond

discounts

and

premiums

and

defaulted

securities.

6.

Investment

Transactions

Purchases

and

sales

of

investments

(excluding

short

term

securities) for

the

year

ended

May

31,

2022,

aggregated

$912,278,216 

and

$1,051,084,389,

respectively.

7.

Credit Risk

and

Defaulted

Securities

At

May

31,

2022,

the

Fund

had

85.4%

of

its

portfolio

invested

in

high

yield

securities

rated

below

investment

grade

and

unrated

securities.

These

securities

may

be

more

sensitive

to

economic

conditions

causing

greater

price

volatility

and

are

potentially

subject

to

a

greater

risk

of

loss

due

to

default

than

higher

rated

securities.

The

Fund

held

defaulted

securities

and/or

other

securities

for

which

the

income

has

been

deemed

uncollectible.

At

May

31,

2022,

the

aggregate

value

of

these

securities

represents

0.5%

of

the

Fund's

net

assets.

The

Fund

discontinues

accruing

income

on

securities

for

which

income

has

been

deemed

uncollectible

and

provides

an

estimate

for

losses

on

interest

receivable.

The

securities

have

been

identified

in

the

accompanying

Schedule

of

Investments.

8.

Geopolitical

Risk 

On

February

24,

2022,

Russia

engaged

in

military

actions

in

the

sovereign

territory

of

Ukraine.

The

current

political

and

financial

uncertainty

surrounding

Russia

and

Ukraine

may

increase

market

volatility

and

the

economic

risk

of

investing

in

securities

in

these

countries

and

may

also

cause

uncertainty

for

the

global

economy

and

broader

financial

markets.

The

ultimate

fallout

and

long-term

impact

from

these

events

are

not

known.

The

Fund

will

continue

to

assess

the

impact

on

valuations

and

liquidity

and

will

take

any

potential

actions

needed

in

accordance

with

procedures

approved

by

the

Board.

9. Novel

Coronavirus

Pandemic 

The

global

outbreak

of

the

novel

coronavirus

disease,

known

as

COVID-19, has

caused

adverse

effects

on

many

companies,

sectors,

nations,

regions

and

the

markets

in

general, and

may

continue for

an unpredictable duration.

The

effects

of

this

pandemic

may

materially

impact

the

value

and

performance

of

the Fund, its ability

to

buy

and

sell

fund

investments

at

appropriate

valuations

and its ability

to

achieve its investment

objectives.

Cost

of

investments

..........................................................................

$3,066,625,863

Unrealized

appreciation

........................................................................

$35,005,218

Unrealized

depreciation

........................................................................

(360,636,572)

Net

unrealized

appreciation

(depreciation)

..........................................................

$(325,631,354)

Distributable

earnings:

Undistributed

ordinary

income

...................................................................

$364,399

5.

Income

Taxes

(continued)

Franklin

High

Income

Trust

Notes

to

Financial

Statements

41

franklintempleton.com

Annual

Report

Franklin

High

Income

Fund

(continued)

10.

Restricted

Securities

The

Fund

invests

in

securities

that

are

restricted

under

the

Securities

Act

of

1933

(1933

Act).

Restricted

securities

are

often

purchased

in

private

placement

transactions,

and

cannot

be

sold

without

prior

registration

unless

the

sale

is

pursuant

to

an

exemption

under

the

1933

Act.

Disposal

of

these

securities

may

require

greater

effort

and

expense,

and

prompt

sale

at

an

acceptable

price

may

be

difficult.

The Fund

may

have

registration

rights

for

restricted

securities.

The

issuer

generally

incurs

all

registration

costs.

At

May

31,

2022,

investments

in

restricted

securities,

excluding

securities

exempt

from

registration

under

the

1933

Act,

were

as

follows:

11.

Unfunded

Loan

Commitments

The

Fund

enters

into

certain

credit

agreements,

all

or

a

portion

of

which

may

be

unfunded.

The Fund

is

obligated

to

fund

these

loan

commitments

at

the

borrowers’

discretion.

Unfunded

loan

commitments

and

funded

portions

of

credit

agreements

are

marked

to

market

daily

and

any

unrealized

appreciation

or

depreciation

is

included

in

the

Statement

of

Assets

and

Liabilities

and

the

Statement

of

Operations.

Funded

portions

of

credit

agreements

are

presented

in

the

Schedule

of

Investments.

At

May

31,

2022,

unfunded

commitments

were

as

follows:

12.

Holdings

of

5%

Voting

Securities

of

Portfolio

Companies

The

1940

Act

defines

"affiliated

companies"

to

include

investments

in

portfolio

companies

in

which

a

fund

owns

5%

or

more

of

the

outstanding

voting

securities.

Additionally,

as

defined

in

the

1940

Act,

an

investment

is

deemed

to

be

a

“Controlled

Affiliate”

of

a

fund

when

a

fund

owns,

either

directly

or

indirectly,

25%

or

more

of

the

affiliated

companies’

outstanding

shares

or

has

the

power

to

exercise

control

over

management

or

policies

of

such

company.

During

the

year

ended

May

31,

2022,

investments

in

“affiliated

companies”

were

as

follows:

Shares

Issuer

Acquisition

Date

Cost

Value

Franklin

High

Income

Fund

46,695,277

Nine

Point

Energy

Holdings,

Inc.

................

7/15/14

-

3/24/17

$

26,331,865

$

—

149,317

Riviera

Resources,

Inc.

.......................

8/08/18

2,224,823

—

Total

Restricted

Securities

(Value

is

—%

of

Net

Assets)

..............

$28,556,688

$—

Borrower

Unfunded

Commitment

Franklin

High

Income

Fund

athenahealth

Group,

Inc.

$

1,898,551

$

1,898,551

Value

at

Beginning

of

Year

Purchases

Sales

Realized

Gain

(Loss)

Net

Change

in

Unrealized

Appreciation

(Depreciation)

Value

at

End

of

Year

Number

of

Shares/Principal

Amount

Held

at

End

of

Year

Investment

Income

Franklin

High

Income

Fund

Non-Controlled

Affiliates

Dividends

Goodrich

Petroleum

Corp

$

17,323,277

$

18,538,754

$

(54,563,406)

$

23,807,824

$

(5,106,449)

$

—

a

—

$

—

Titan

Energy

LLC

.....

10,178

—

—

(9,107,816)

9,097,638

—

a

—

—

$17,333,455

$18,538,754

$(54,563,406)

$

14,700,008

$

3,991,189

$—

$

—

Franklin

High

Income

Trust

Notes

to

Financial

Statements

42

franklintempleton.com

Annual

Report

Franklin

High

Income

Fund

(continued)

13.

Credit

Facility

The

Fund,

together

with

other

U.S.

registered

and

foreign

investment

funds

(collectively,

Borrowers),

managed

by

Franklin

Templeton,

are

borrowers

in

a

joint

syndicated

senior

unsecured

credit

facility

totaling

$2.675

billion

(Global

Credit

Facility)

which

matures

on

February

3,

2023.

This

Global

Credit

Facility

provides

a

source

of

funds

to

the

Borrowers

for

temporary

and

emergency

purposes,

including

the

ability

to

meet

future

unanticipated

or

unusually

large

redemption

requests.

Under

the

terms

of

the

Global

Credit

Facility,

the

Fund

shall,

in

addition

to

interest

charged

on

any

borrowings

made

by

the

Fund

and

other

costs

incurred

by

the

Fund,

pay

its

share

of

fees

and

expenses

incurred

in

connection

with

the

implementation

and

maintenance

of

the

Global

Credit

Facility,

based

upon

its

relative

share

of

the

aggregate

net

assets

of

all

of

the

Borrowers,

including

an

annual

commitment

fee

of

0.15%

based

upon

the

unused

portion

of

the

Global

Credit

Facility.

These

fees

are

reflected

in

other

expenses

in

the

Statement

of

Operations.

During

the

year

ended

May

31,

2022,

the Fund

did

not

use

the

Global

Credit

Facility.

14.

Fair

Value

Measurements

The

Fund

follows

a

fair

value

hierarchy

that

distinguishes

between

market

data

obtained

from

independent

sources

(observable

inputs)

and

the

Fund's

own

market

assumptions

(unobservable

inputs).

These

inputs

are

used

in

determining

the

value

of

the

Fund's financial

instruments

and

are

summarized

in

the

following

fair

value

hierarchy:

Level

1

–

quoted

prices

in

active

markets

for

identical

financial

instruments

Level

2

–

other

significant

observable

inputs

(including

quoted

prices

for

similar

financial

instruments,

interest

rates,

prepayment

speed,

credit

risk,

etc.)

Level

3

–

significant

unobservable

inputs

(including

the

Fund's

own

assumptions

in

determining

the

fair

value

of

financial

instruments)

The

input

levels

are

not

necessarily

an

indication

of

the

risk

or

liquidity

associated

with

financial

instruments

at

that

level.

A

summary

of

inputs

used

as

of

May

31,

2022,

in

valuing

the

Fund's assets

carried

at

fair

value,

is

as

follows:

Value

at

Beginning

of

Year

Purchases

Sales

Realized

Gain

(Loss)

Net

Change

in

Unrealized

Appreciation

(Depreciation)

Value

at

End

of

Year

Number

of

Shares/Principal

Amount

Held

at

End

of

Year

Investment

Income

Franklin

High

Income

Fund

(continued)

Non-Controlled

Affiliates

Interest

Goodrich

Petroleum

Corp.,

144A,

PIK,

13.5%,

5/31/23

..........

$

15,460,842

$

1,084,259

$

(18,538,754)

$

1,657,955

$

335,698

$

—

a

—

$

580,744

Total

Affiliated

Securities

(Value

is

—%

of

Net

Assets)

..........

$32,794,297

$19,623,013

$(73,102,160)

$

16,357,963

$

4,326,887

$—

$580,744

a

As

of

May

31,

2022,

no

longer

held

by

the

fund.

12.

Holdings

of

5%

Voting

Securities

of

Portfolio

Companies

(continued)

Franklin

High

Income

Trust

Notes

to

Financial

Statements

43

franklintempleton.com

Annual

Report

Franklin

High

Income

Fund

(continued)

Level

1

Level

2

Level

3

Total

Franklin

High

Income

Fund

Assets:

Investments

in

Securities:

Common

Stocks

:

Machinery

............................

$

—

$

15,457,736

$

—

$

15,457,736

Oil,

Gas

&

Consumable

Fuels

.............

809,702

—

—

a

809,702

Warrants

:

Metals

&

Mining

.......................

666,873

—

—

666,873

Oil,

Gas

&

Consumable

Fuels

.............

949,184

—

5,330

a

954,514

Paper

&

Forest

Products

.................

—

75,018

—

75,018

Convertible

Bonds

.......................

—

237,500

—

237,500

Corporate

Bonds

:

Airlines

..............................

—

36,740,444

—

36,740,444

Auto

Components

......................

—

46,625,236

—

46,625,236

Automobiles

..........................

—

19,547,250

—

19,547,250

Banks

...............................

—

14,727,589

—

14,727,589

Beverages

...........................

—

12,291,230

—

12,291,230

Biotechnology

.........................

—

13,078,390

—

13,078,390

Building

Products

......................

—

47,810,208

—

47,810,208

Capital

Markets

........................

—

5,342,182

—

5,342,182

Chemicals

...........................

—

113,680,978

—

113,680,978

Commercial

Services

&

Supplies

...........

—

45,842,691

—

45,842,691

Communications

Equipment

..............

—

11,440,478

—

11,440,478

Construction

&

Engineering

...............

—

12,681,936

—

12,681,936

Consumer

Finance

.....................

—

41,521,789

—

41,521,789

Containers

&

Packaging

.................

—

120,563,176

—

120,563,176

Diversified

Consumer

Services

............

—

13,799,500

—

13,799,500

Diversified

Financial

Services

.............

—

47,844,437

—

47,844,437

Diversified

Telecommunication

Services

.....

—

110,118,698

—

110,118,698

Electric

Utilities

........................

—

26,714,051

—

26,714,051

Electrical

Equipment

....................

—

33,205,772

—

33,205,772

Electronic

Equipment,

Instruments

&

Components

........................

—

8,249,050

—

8,249,050

Energy

Equipment

&

Services

.............

—

66,917,947

—

66,917,947

Entertainment

.........................

—

42,353,926

—

42,353,926

Equity

Real

Estate

Investment

Trusts

(REITs)

.

—

84,998,135

—

84,998,135

Food

Products

........................

—

35,092,844

—

35,092,844

Health

Care

Equipment

&

Supplies

.........

—

16,550,340

—

16,550,340

Health

Care

Providers

&

Services

..........

—

121,862,362

—

121,862,362

Hotels,

Restaurants

&

Leisure

.............

—

184,005,353

6,900

184,012,253

Household

Durables

....................

—

28,327,312

—

28,327,312

Independent

Power

and

Renewable

Electricity

Producers

..........................

—

84,949,915

—

84,949,915

Insurance

............................

—

8,803,700

—

8,803,700

Interactive

Media

&

Services

..............

—

6,994,628

—

6,994,628

Internet

&

Direct

Marketing

Retail

..........

—

12,523,186

—

12,523,186

IT

Services

...........................

—

53,701,360

—

53,701,360

Life

Sciences

Tools

&

Services

............

—

2,229,937

—

2,229,937

Machinery

............................

—

24,193,806

—

24,193,806

Media

...............................

—

152,045,452

—

152,045,452

Metals

&

Mining

.......................

—

44,475,529

—

44,475,529

Mortgage

Real

Estate

Investment

Trusts

(REITs)

............................

—

17,581,545

—

17,581,545

Oil,

Gas

&

Consumable

Fuels

.............

—

350,009,693

—

350,009,693

Paper

&

Forest

Products

.................

—

5,911,298

—

5,911,298

Personal

Products

.....................

—

5,100,005

—

5,100,005

Pharmaceuticals

.......................

—

81,969,591

—

81,969,591

Real

Estate

Management

&

Development

....

—

43,630,905

—

43,630,905

14.

Fair

Value

Measurements

(continued)

Franklin

High

Income

Trust

Notes

to

Financial

Statements

44

franklintempleton.com

Annual

Report

Franklin

High

Income

Fund

(continued)

A

reconciliation

in

which

Level

3

inputs

are

used

in

determining

fair

value

is

presented

when

there

are

significant

Level

3

assets

and/or

liabilities

at

the

beginning

and/or

end

of

the

year.

15.

New

Accounting

Pronouncements

In

March

2020,

the

Financial

Accounting

Standards

Board

(FASB)

issued

Accounting

Standards

Update

(ASU)

No.

2020-04,

Reference

Rate

Reform

(Topic

848)

–

Facilitation

of

the

Effects

of

Reference

Rate

Reform

on

Financial

Reporting.

In

January

2021,

the

FASB

issued

ASU

No.

2021-01,

with

further

amendments

to

Topic

848.

The

amendments

in

the

ASUs

provide

optional

temporary

accounting

recognition

and financial

reporting

relief

from

the

effect

of

certain

types

of

contract

modifications

due

to

the

planned

discontinuation

of

the

London

Interbank

Offered

Rate

(LIBOR)

and

other

interbank-offered

based

reference

rates

as

of

the

end

of

2021

for

certain

LIBOR

settings

and

2023

for

the

remainder. The

ASUs

are

effective

for

certain

reference

rate-related

contract

modifications

that

occur

during

the

period

March

12,

2020

through

December

31,

2022.

Management

has

reviewed

the

requirements

and

believes

the

adoption

of

these

ASUs

will

not

have

a

material

impact

on

the

financial

statements. 

16.

Subsequent

Events

The

Fund

has

evaluated

subsequent

events

through

the

issuance

of

the

financial

statements

and

determined

that

no

events

have

occurred

that

require

disclosure.

Abbreviations

Level

1

Level

2

Level

3

Total

Franklin

High

Income

Fund

(continued)

Assets:

(continued)

Investments

in

Securities:

Corporate

Bonds:

Road

&

Rail

..........................

$

—

$

22,272,625

$

—

$

22,272,625

Semiconductors

&

Semiconductor

Equipment

.

—

3,804,920

—

3,804,920

Software

.............................

—

36,534,565

—

36,534,565

Specialty

Retail

........................

—

58,384,618

—

58,384,618

Textiles,

Apparel

&

Luxury

Goods

..........

—

5,372,671

—

5,372,671

Thrifts

&

Mortgage

Finance

...............

—

35,401,888

—

35,401,888

Trading

Companies

&

Distributors

..........

—

39,732,611

—

39,732,611

Wireless

Telecommunication

Services

.......

—

27,368,353

—

27,368,353

Senior

Floating

Rate

Interests

...............

—

66,953,241

—

66,953,241

Escrows

and

Litigation

Trusts

...............

—

5,444,380

—

a

5,444,380

Short

Term

Investments

...................

165,462,540

—

—

165,462,540

Total

Investments

in

Securities

...........

$167,888,299

$2,573,093,980

$12,230

$2,740,994,509

Liabilities:

Other

Financial

Instruments:

Unfunded

Loan

Commitments

...............

$

—

$

81,476

$

—

$

81,476

Total

Other

Financial

Instruments

.........

$—

$81,476

$—

$81,476

a

Includes

securities

determined

to

have

no

value

at

May

31,

2022.

Cu

r

rency

USD

United

States

Dollar

14.

Fair

Value

Measurements

(continued)

Franklin

High

Income

Trust

Notes

to

Financial

Statements

45

franklintempleton.com

Annual

Report

Franklin

High

Income

Fund

(continued)

Selected

Portfolio

CVR

Contingent

Value

Right

FRN

Floating

Rate

Note

LIBOR

London

Inter-Bank

Offered

Rate

PIK

Payment-In-Kind

SOFR

Secured

Overnight

Financing

Rate

Abbreviations

(continued)

Franklin

High

Income

Trust

Report

of

Independent

Registered

Public

Accounting

Firm

46

franklintempleton.com

Annual

Report

To

the

Board

of

Trustees

of

Franklin

High

Income

Trust

and

Shareholders

of

Franklin

High

Income

Fund

Opinion

on

the

Financial

Statements

We

have

audited

the

accompanying

statement

of

assets

and

liabilities,

including

the

schedule

of

investments,

of

Franklin

High

Income

Fund

(the

"Fund")

as

of

May

31,

2022,

the

related

statement

of

operations

for

the

year

ended

May

31,

2022,

the

statement

of

changes

in

net

assets

for

each

of

the

two

years

in

the

period

ended

May

31,

2022,

including

the

related

notes,

and

the

financial

highlights

for

each

of

the

periods

indicated

therein

(collectively

referred

to

as

the

“financial

statements”).

In

our

opinion,

the

financial

statements

present

fairly,

in

all

material

respects,

the

financial

position

of

the

Fund

as

of

May

31,

2022,

the

results

of

its

operations

for

the

year

then

ended,

the

changes

in

its

net

assets

for

each

of

the

two

years

in

the

period

ended

May

31,

2022

and

the

financial

highlights

for

each

of

the

periods

indicated

therein,

in

conformity

with

accounting

principles

generally

accepted

in

the

United

States

of

America.

Basis

for

Opinion

These

financial

statements

are

the

responsibility

of

the

Fund’s

management.

Our

responsibility

is

to

express

an

opinion

on

the

Fund’s

financial

statements

based

on

our

audits.

We

are

a

public

accounting

firm

registered

with

the

Public

Company

Accounting

Oversight

Board

(United

States)

(PCAOB)

and

are

required

to

be

independent

with

respect

to

the

Fund

in

accordance

with

the

U.S.

federal

securities

laws

and

the

applicable

rules

and

regulations

of

the

Securities

and

Exchange

Commission

and

the

PCAOB.

We

conducted

our

audits

of

these

financial

statements

in

accordance

with

the

standards

of

the

PCAOB.

Those

standards

require

that

we

plan

and

perform

the

audit

to

obtain

reasonable

assurance

about

whether

the

financial

statements

are

free

of

material

misstatement,

whether

due

to

error

or

fraud.

Our

audits

included

performing

procedures

to

assess

the

risks

of

material

misstatement

of

the

financial

statements,

whether

due

to

error

or

fraud,

and

performing

procedures

that

respond

to

those

risks.

Such

procedures

included

examining,

on

a

test

basis,

evidence

regarding

the

amounts

and

disclosures

in

the

financial

statements.

Our

audits

also

included

evaluating

the

accounting

principles

used

and

significant

estimates

made

by

management,

as

well

as

evaluating

the

overall

presentation

of

the

financial

statements.

Our

procedures

included

confirmation

of

securities

owned

as

of

May

31,

2022

by

correspondence

with

the

custodian,

transfer

agent

and

brokers;

when

replies

were

not

received

from

brokers,

we

performed

other

auditing

procedures.

We

believe

that

our

audits

provide

a

reasonable

basis

for

our

opinion.

PricewaterhouseCoopers

LLP

San

Francisco,

California

July

18,

2022

We

have

served

as

the

auditor

of

one

or

more

investment

companies

in

the

Franklin

Templeton

Group

of

Funds

since

1948.

Franklin

High

Income

Trust

47

franklintempleton.com

Annual

Report

Tax

Information

(unaudited)

Franklin

High

Income

Fund

By

mid-February,

tax

information

related

to

a

shareholder's

proportionate

share

of

distributions

paid

during

the

preceding

calendar

year

will

be

received,

if

applicable.

Please

also

refer

to

www.franklintempleton.com

for

per

share

tax

information

related

to

any

distributions

paid

during

the

preceding

calendar

year.

Shareholders

are

advised

to

consult

with

their

tax

advisors

for

further

information

on

the

treatment

of

these

amounts

on

their

tax

returns.

The

following

tax

information

for

the

Fund

is

required

to

be

furnished

to

shareholders

with

respect

to

income

earned

and

distributions

paid

during

its

fiscal

year.

The

Fund

hereby

reports

the

following

amounts,

or

if

subsequently

determined

to

be

different,

the

maximum

allowable

amounts,

for

the

fiscal

year

ended

May

31,

2022:

Pursuant

to:

Amount

Reported

Income

Eligible

for

Dividends

Received

Deduction

(DRD)

§854(b)(1)(A)

$33,145

Qualified

Dividend

Income

Earned

(QDI)

§854(b)(1)(B)

$33,145

Qualified

Net

Interest

Income

(QII)

§871(k)(1)(C)

$115,522,677

Franklin

High

Income

Trust

Board

Members

and

Officers

48

franklintempleton.com

Annual

Report

The

name,

year

of

birth

and

address

of

the

officers

and

board

members,

as

well

as

their

affiliations,

positions

held

with

the

Trust,

principal

occupations

during

at

least

the

past

five

years

and

number

of

U.S.

registered

portfolios

overseen

in

the

Franklin

Templeton/Legg

Mason

fund

complex,

are

shown

below.

Generally,

each

board

member

serves

until

that

person’s

successor

is

elected

and

qualified.

Independent

Board

Members

Name,

Year

of

Birth

and

Address

Position

Length

of

Time

Served

Number

of

Portfolios

in

Fund

Complex

Overseen

by

Board

Member*

Other

Directorships

Held

During

at

Least

the

Past

5

Years

Harris

J.

Ashton

(1932)

Trustee

Since

2007

119

Bar-S

Foods

(meat

packing

company)

(1981-2010).

One

Franklin

Parkway

San

Mateo,

CA

94403-1906

Principal

Occupation

During

at

Least

the

Past

5

Years:

Director

of

various

companies;

and

formerly

,

Director,

RBC

Holdings,

Inc.

(bank

holding

company)

(until

2002);

and

President,

Chief

Executive

Officer

and

Chairman

of

the

Board,

General

Host

Corporation

(nursery

and

craft

centers)

(until

1998).

Terrence

J.

Checki

(1945)

Trustee

Since

2017

100

Hess

Corporation

(exploration

of

oil

and

gas)

(2014-present).

One

Franklin

Parkway

San

Mateo,

CA

94403-1906

Principal

Occupation

During

at

Least

the

Past

5

Years:

Member

of

the

Council

on

Foreign

Relations

(1996-present);

Member

of

the

National

Committee

on

U.S.-China

Relations

(1999-present);

member

of

the

board

of

trustees

of

the

Economic

Club

of

New

York

(2013-present);

member

of

the

board

of

trustees

of

the

Foreign

Policy

Association

(2005-present);

member

of

the

board

of

directors

of

Council

of

the

Americas

(2007-present)

and

the

Tallberg

Foundation

(2018-present);

and

formerly

,

Executive

Vice

President

of

the

Federal

Reserve

Bank

of

New

York

and

Head

of

its

Emerging

Markets

and

Internal

Affairs

Group

and

Member

of

Management

Committee

(1995-2014);

and

Visiting

Fellow

at

the

Council

on

Foreign

Relations

(2014).

Mary

C.

Choksi

(1950)

Trustee

Since

2014

120

Omnicom

Group

Inc.

(advertising

and

marketing

communications

services)

(2011-present)

and

White

Mountains

Insurance

Group,

Ltd.

(holding

company)

(2017-present);

and

formerly

,

Avis

Budget

Group

Inc.

(car

rental)

(2007-2020).

One

Franklin

Parkway

San

Mateo,

CA

94403-1906

Principal

Occupation

During

at

Least

the

Past

5

Years:

Director

of

various

companies;

and

formerly

,

Founder

and

Senior

Advisor,

Strategic

Investment

Group

(investment

management

group)

(2015-2017);

Founding

Partner

and

Senior

Managing

Director,

Strategic

Investment

Group

(1987-2015);

Founding

Partner

and

Managing

Director,

Emerging

Markets

Management

LLC

(investment

management

firm)

(1987-2011);

and

Loan

Officer/Senior

Loan

Officer/Senior

Pension

Investment

Officer,

World

Bank

Group

(international

financial

institution)

(1977-1987).

Franklin

High

Income

Trust

49

franklintempleton.com

Annual

Report

Name,

Year

of

Birth

and

Address

Position

Length

of

Time

Served

Number

of

Portfolios

in

Fund

Complex

Overseen

by

Board

Member*

Other

Directorships

Held

During

at

Least

the

Past

5

Years

Edith

E.

Holiday

(1952)

Lead

Independent

Trustee

Trustee

since

2005

and

Lead

Independent

Trustee

since

2019

120

Hess

Corporation

(exploration

of

oil

and

gas)

(1993-present),

Santander

Consumer

USA

Holdings,

Inc.

(consumer

finance)

(2016-present);

Santander

Holdings

USA

(holding

company)

(2019-present);

and

formerly

,

Canadian

National

Railway

(railroad)

(2001-2021),

White

Mountains

Insurance

Group,

Ltd.

(holding

company)

(2004-

2021),

RTI

International

Metals,

Inc.

(manufacture

and

distribution

of

titanium)

(1999-2015)

and

H.J.

Heinz

Company

(processed

foods

and

allied

products)

(1994-2013).

One

Franklin

Parkway

San

Mateo,

CA

94403-1906

Principal

Occupation

During

at

Least

the

Past

5

Years:

Director

or

Trustee

of

various

companies

and

trusts;

and

formerly

,

Assistant

to

the

President

of

the

United

States

and

Secretary

of

the

Cabinet

(1990-1993);

General

Counsel

to

the

United

States

Treasury

Department

(1989-1990);

and

Counselor

to

the

Secretary

and

Assistant

Secretary

for

Public

Affairs

and

Public

Liaison-United

States

Treasury

Department

(1988-1989).

J.

Michael

Luttig

(1954)

Trustee

Since

2009

120

Boeing

Capital

Corporation

(aircraft

financing)

(2006-2010).

One

Franklin

Parkway

San

Mateo,

CA

94403-1906

Principal

Occupation

During

at

Least

the

Past

5

Years:

Counselor

and

Special

Advisor

to

the

CEO

and

Board

of

Directors

of

the

Coca-Cola

Company

(beverage

company)

(2021-present);

and

formerly

,

Counselor

and

Senior

Advisor

to

the

Chairman,

CEO,

and

Board

of

Directors,

of

The

Boeing

Company

(aerospace

company),

and

member

of

the

Executive

Council

(2019-2020);

Executive

Vice

President,

General

Counsel

and

member

of

the

Executive

Council,

The

Boeing

Company

(2006-2019);

and

Federal

Appeals

Court

Judge,

United

States

Court

of

Appeals

for

the

Fourth

Circuit

(1991-2006).

Larry

D.

Thompson

(1945)

Trustee

Since

2007

120

Graham

Holdings

Company

(education

and

media

organization)

(2011-2021);

The

Southern

Company

(energy

company)

(2014-2020;

previously

2010-

2012)

and

Cbeyond,

Inc.

(business

communications

provider)

(2010-

2012).

One

Franklin

Parkway

San

Mateo,

CA

94403-1906

Principal

Occupation

During

at

Least

the

Past

5

Years:

Director

of

various

companies;

Counsel,

Finch

McCranie,

LLP

(law

firm)

(2015-present);

John

A.

Sibley

Professor

of

Corporate

and

Business

Law,

University

of

Georgia

School

of

Law

(2015-present;

previously

2011-2012);

and

formerly

,

Independent

Compliance

Monitor

and

Auditor,

Volkswagen

AG

(manufacturer

of

automobiles

and

commercial

vehicles)

(2017-2020);

Executive

Vice

President

-

Government

Affairs,

General

Counsel

and

Corporate

Secretary,

PepsiCo,

Inc.

(consumer

products)

(2012-2014);

Senior

Vice

President

-

Government

Affairs,

General

Counsel

and

Secretary,

PepsiCo,

Inc.

(2004-2011);

Senior

Fellow

of

The

Brookings

Institution

(2003-2004);

Visiting

Professor,

University

of

Georgia

School

of

Law

(2004);

and

Deputy

Attorney

General,

U.S.

Department

of

Justice

(2001-2003).

Independent

Board

Members

(continued)

Franklin

High

Income

Trust

50

franklintempleton.com

Annual

Report

Interested

Board

Members

and

Officers

Name,

Year

of

Birth

and

Address

Position

Length

of

Time

Served

Number

of

Portfolios

in

Fund

Complex

Overseen

by

Board

Member*

Other

Directorships

Held

During

at

Least

the

Past

5

Years

Valerie

M.

Williams

(1956)

Trustee

Since

2021

100

Omnicom

Group,

Inc.

(advertising

and

marketing

communications

services)

(2016-present),

DTE

Energy

Co.

(gas

and

electric

utility)

(2018-present),

Devon

Energy

Corporation

(exploration

and

production

of

oil

and

gas)

(2021-present);

and

formerly

,

WPX

Energy,

Inc.

(exploration

and

production

of

oil

and

gas)

(2018-

2021).

One

Franklin

Parkway

San

Mateo,

CA

94403-1906

Principal

Occupation

During

at

Least

the

Past

5

Years:

Director

of

various

companies;

and

formerly

,

Regional

Assurance

Managing

Partner,

Ernst

&

Young

LLP

(public

accounting)

(2005-2016),

various

roles

of

increasing

responsibility

at

Ernst

&

Young

(1981-2005).

Name,

Year

of

Birth

and

Address

Position

Length

of

Time

Served

Number

of

Portfolios

in

Fund

Complex

Overseen

by

Board

Member*

Other

Directorships

Held

During

at

Least

the

Past

5

Years

**Gregory

E.

Johnson

(1961)

Trustee

Since

2013

131

None

One

Franklin

Parkway

San

Mateo,

CA

94403-1906

Principal

Occupation

During

at

Least

the

Past

5

Years:

Executive

Chairman,

Chairman

of

the

Board

and

Director,

Franklin

Resources,

Inc.;

officer

and/or

director

or

trustee,

as

the

case

may

be,

of

some

of

the

other

subsidiaries

of

Franklin

Resources,

Inc.

and

of

certain

funds

in

the

Franklin

Templeton/Legg

Mason

fund

complex;

Vice

Chairman,

Investment

Company

Institute;

and

formerly

,

Chief

Executive

Officer

(2013-2020)

and

President

(1994-2015)

Franklin

Resources,

Inc.

**Rupert

H.

Johnson,

Jr.

(1940)

Chairman

of

the

Board

and

Trustee

Chairman

of

the

Board

since

2013

and

Trustee

since

1978

120

None

One

Franklin

Parkway

San

Mateo,

CA

94403-1906

Principal

Occupation

During

at

Least

the

Past

5

Years:

Director

(Vice

Chairman),

Franklin

Resources,

Inc.;

Director,

Franklin

Advisers,

Inc.;

and

officer

and/or

director

or

trustee,

as

the

case

may

be,

of

some

of

the

other

subsidiaries

of

Franklin

Resources,

Inc.

and

of

certain

funds

in

the

Franklin

Templeton/Legg

Mason

fund

complex.

Alison

E.

Baur

(1964)

Vice

President

Since

2012

Not

Applicable

Not

Applicable

One

Franklin

Parkway

San

Mateo,

CA

94403-1906

Principal

Occupation

During

at

Least

the

Past

5

Years:

Deputy

General

Counsel,

Franklin

Templeton;

and

officer

of

some

of

the

other

subsidiaries

of

Franklin

Resources,

Inc.

and

of

certain

funds

in

the

Franklin

Templeton/Legg

Mason

fund

complex.

Breda

M.

Beckerle

(1958)

Chief

Compliance

Officer

Since

2020

Not

Applicable

Not

Applicable

280

Park

Avenue

New

York,

NY

10017

Principal

Occupation

During

at

Least

the

Past

5

Years:

Chief

Compliance

Officer,

Fiduciary

Investment

Management

International,

Inc.,

Franklin

Advisers,

Inc.,

Franklin

Mutual

Advisers,

LLC,

Franklin

Templeton

Institutional,

LLC;

and

officer

of

certain

funds

in

the

Franklin

Templeton/Legg

Mason

fund

complex.

Independent

Board

Members

(continued)

Franklin

High

Income

Trust

51

franklintempleton.com

Annual

Report

Name,

Year

of

Birth

and

Address

Position

Length

of

Time

Served

Number

of

Portfolios

in

Fund

Complex

Overseen

by

Board

Member*

Other

Directorships

Held

During

at

Least

the

Past

5

Years

Sonal

Desai,

Ph.D.

(1963)

President

and

Chief

Executive

Officer

–

Investment

Management

Since

2018

Not

Applicable

Not

Applicable

One

Franklin

Parkway

San

Mateo,

CA

94403-1906

Principal

Occupation

During

at

Least

the

Past

5

Years:

Director

and

Executive

Vice

President,

Franklin

Advisers,

Inc.;

Executive

Vice

President,

Franklin

Templeton

Institutional,

LLC;

and

officer

of

certain

funds

in

the

Franklin

Templeton/Legg

Mason

fund

complex.

Steven

J.

Gray

(1955)

Vice

President

and

Co-Secretary

Vice

President

since

2009

and

Co-Secretary

since

2019

Not

Applicable

Not

Applicable

One

Franklin

Parkway

San

Mateo,

CA

94403-1906

Principal

Occupation

During

at

Least

the

Past

5

Years:

Senior

Associate

General

Counsel,

Franklin

Templeton;

Assistant

Secretary,

Franklin

Distributors,

LLC;

and

officer

of

certain

funds

in

the

Franklin

Templeton/Legg

Mason

fund

complex.

Matthew

T.

Hinkle

(1971)

Chief

Executive

Officer

–

Finance

and

Administration

Since

2017

Not

Applicable

Not

Applicable

One

Franklin

Parkway

San

Mateo,

CA

94403-1906

Principal

Occupation

During

at

Least

the

Past

5

Years:

Senior

Vice

President,

Franklin

Templeton

Services,

LLC;

officer

of

certain

funds

in

the

Franklin

Templeton/Legg

Mason

fund

complex;

and

formerly

,

Vice

President,

Global

Tax

(2012-April

2017)

and

Treasurer/Assistant

Treasurer,

Franklin

Templeton

(2009-2017).

Susan

Kerr

(1949)

Vice

President

–

AML

Compliance

Since

2021

Not

Applicable

Not

Applicable

620

Eighth

Avenue

New

York,

NY

10018

Principal

Occupation

During

at

Least

the

Past

5

Years:

Senior

Compliance

Analyst,

Franklin

Templeton;

Chief

Anti-Money

Laundering

Compliance

Officer,

Legg

Mason

&

Co.,

or

its

affiliates;

Anti

Money

Laundering

Compliance

Officer;

Senior

Compliance

Officer,

LMIS;

and

officer

of

certain

funds

in

the

Franklin

Templeton/Legg

Mason

fund

complex.

Christopher

Kings

(1974)

Chief

Financial

Officer,

Chief

Accounting

Officer

and

Treasurer

Since

January

2022

Not

Applicable

Not

Applicable

One

Franklin

Parkway

San

Mateo,

CA

94403-1906

Principal

Occupation

During

at

Least

the

Past

5

Years:

Treasurer,

U.S.

Fund

Administration

&

Reporting;

and

officer

of

certain

funds

in

the

Franklin

Templeton/Legg

Mason

fund

complex.

Navid

J.

Tofigh

(1972)

Vice

President

Since

2015

Not

Applicable

Not

Applicable

One

Franklin

Parkway

San

Mateo,

CA

94403-1906

Principal

Occupation

During

at

Least

the

Past

5

Years:

Senior

Associate

General

Counsel,

Franklin

Templeton;

and

officer

of

certain

funds

in

the

Franklin

Templeton/Legg

Mason

fund

complex.

Interested

Board

Members

and

Officers

(continued)

Franklin

High

Income

Trust

52

franklintempleton.com

Annual

Report

*We

base

the

number

of

portfolios

on

each

separate

series

of

the

U.S.

registered

investment

companies

within

the

Franklin

Templeton/Legg

Mason

fund

complex.

These

portfolios

have

a

common

investment

manager

or

affiliated

investment

managers.

**Gregory

E.

Johnson

is

considered

to

be

an

interested

person

of

the

Fund

under

the

federal

securities

laws

due

to

his

position

as

an

officer

and

director

of

Franklin

Resources,

Inc.

(Resources),

which

is

the

parent

company

of

the

Fund’s

investment

manager

and

distributor.

Rupert

H.

Johnson,

Jr.

is

considered

to

be

an

interested

person

of

the

Fund

under

the

federal

securities

laws

due

to

his

position

as

an

officer

and

director

and

major

shareholder

of

Resources.

Note

1:

Rupert

H.

Johnson,

Jr.

is

the

uncle

of

Gregory

E.

Johnson.

Note

2:

Officer

information

is

current

as

of

the

date

of

this

report.

It

is

possible

that

after

this

date,

information

about

officers

may

change.

The

Sarbanes-Oxley

Act

of

2002

and

Rules

adopted

by

the

Securities

and

Exchange

Commission

require

the

Fund

to

disclose

whether

the

Fund’s

Audit

Committee

includes

at

least

one

member

who

is

an

audit

committee

financial

expert

within

the

meaning

of

such

Act

and

Rules.

The

Fund’s

Board

has

determined

that

there

is

at

least

one

such

financial

expert

on

the

Audit

Committee

and

has

designated

Mary

C.

Choksi

as

its

audit

committee

financial

expert.

The

Board

believes

that

Ms.

Choksi

qualifies

as

such

an

expert

in

view

of

her

extensive

business

background

and

experience.

She

served

as

a

director

of

Avis

Budget

Group,

Inc.

(2007-2020)

and

formerly,

Founder

and

Senior

Advisor,

Strategic

Investment

Group

(1987

to

2017).

Ms.

Choksi

has

been

a

Member

of

the

Fund’s

Audit

Committee

since

2014.

As

a

result

of

such

background

and

experience,

the

Board

believes

that

Ms.

Choksi

has

acquired

an

understanding

of

generally

accepted

accounting

principles

and

financial

statements,

the

general

application

of

such

principles

in

connection

with

the

accounting

estimates,

accruals

and

reserves,

and

analyzing

and

evaluating

financial

statements

that

present

a

breadth

and

level

of

complexity

of

accounting

issues

generally

comparable

to

those

of

the

Fund,

as

well

as

an

understanding

of

internal

controls

and

procedures

for

financial

reporting

and

an

understanding

of

audit

committee

functions.

Ms.

Choksi

is

an

independent

Board

member

as

that

term

is

defined

under

the

relevant

Securities

and

Exchange

Commission

Rules

and

Releases.

The

Statement

of

Additional

Information

(SAI)

includes

additional

information

about

the

board

members

and

is

available,

without

charge,

upon

request.

Shareholders

may

call

(800)

DIAL

BEN/342-5236

to

request

the

SAI.

Name,

Year

of

Birth

and

Address

Position

Length

of

Time

Served

Number

of

Portfolios

in

Fund

Complex

Overseen

by

Board

Member*

Other

Directorships

Held

During

at

Least

the

Past

5

Years

Lori

A.

Weber

(1964)

Vice

President

and

Co-Secretary

Vice

President

since

2011

and

Co-Secretary

since

2019

Not

Applicable

Not

Applicable

300

S.E.

2nd

Street

Fort

Lauderdale,

FL

33301-

1923

Principal

Occupation

During

at

Least

the

Past

5

Years:

Senior

Associate

General

Counsel,

Franklin

Templeton;

Assistant

Secretary,

Franklin

Resources,

Inc.;

Vice

President

and

Secretary,

Templeton

Investment

Counsel,

LLC;

and

officer

of

certain

funds

in

the

Franklin

Templeton/Legg

Mason

fund

complex.

Interested

Board

Members

and

Officers

(continued)

Franklin

High

Income

Trust

Shareholder

Information

53

franklintempleton.com

Annual

Report

Board

Approval

of

Investment

Management

Agreements

FRANKLIN

HIGH

INCOME

TRUST

Franklin

High

Income

Fund

(Fund)

At

an

in-person

meeting

held

on

February

28,

2022

(Meeting),

the

Board

of

Trustees

(Board)

of

Franklin

High

Income

Trust

(Trust),

including

a

majority

of

the

trustees

who

are

not

“interested

persons”

as

defined

in

the

Investment

Company

Act

of

1940

(Independent

Trustees),

reviewed

and

approved

the

continuance

of

the

investment

management

agreement

between

Franklin

Advisers,

Inc.

(Manager)

and

the

Trust,

on

behalf

of

the

Fund

(Management

Agreement)

for

an

additional

one-year

period.

The

Independent

Trustees

received

advice

from

and

met

separately

with

Independent

Trustee

counsel

in

considering

whether

to

approve

the

continuation

of

the

Management

Agreement.

In

considering

the

continuation

of

the

Management

Agreement,

the

Board

reviewed

and

considered

information

provided

by

the

Manager

at

the

Meeting

and

throughout

the

year

at

meetings

of

the

Board

and

its

committees.

The

Board

also

reviewed

and

considered

information

provided

in

response

to

a

detailed

set

of

requests

for

information

submitted

to

the

Manager

by

Independent

Trustee

counsel

on

behalf

of

the

Independent

Trustees

in

connection

with

the

annual

contract

renewal

process.

In

addition,

prior

to

the

Meeting,

the

Independent

Trustees

held

a

virtual

contract

renewal

meeting

at

which

the

Independent

Trustees

first

conferred

amongst

themselves

and

Independent

Trustee

counsel

about

contract

renewal

matters;

and

then

met

with

management

to

request

additional

information

that

the

Independent

Trustees

reviewed

and

considered

at

the

Meeting.

The

Board

reviewed

and

considered

all

of

the

factors

it

deemed

relevant

in

approving

the

continuance

of

the

Management

Agreement,

including,

but

not

limited

to:

(i)

the

nature,

extent

and

quality

of

the

services

provided

by

the

Manager;

(ii)

the

investment

performance

of

the

Fund;

(iii)

the

costs

of

the

services

provided

and

profits

realized

by

the

Manager

and

its

affiliates

from

the

relationship

with

the

Fund;

(iv)

the

extent

to

which

economies

of

scale

are

realized

as

the

Fund

grows;

and

(v)

whether

fee

levels

reflect

these

economies

of

scale

for

the

benefit

of

Fund

investors.

In

approving

the

continuance

of

the

Management

Agreement,

the

Board,

including

a

majority

of

the

Independent

Trustees,

determined

that

the

terms

of

the

Management

Agreement

are

fair

and

reasonable

and

that

the

continuance

of

such

Management

Agreement

is

in

the

best

interests

of

the

Fund

and

its

shareholders.

While

attention

was

given

to

all

information

furnished,

the

following

discusses

some

primary

factors

relevant

to

the

Board’s

determination.

Nature,

Extent

and

Quality

of

Services

The

Board

reviewed

and

considered

information

regarding

the

nature,

extent

and

quality

of

investment

management

services

provided

by

the

Manager

and

its

affiliates

to

the

Fund

and

its

shareholders.

This

information

included,

among

other

things,

the

qualifications,

background

and

experience

of

the

senior

management

and

investment

personnel

of

the

Manager,

as

well

as

information

on

succession

planning

where

appropriate;

the

structure

of

investment

personnel

compensation;

oversight

of

third-

party

service

providers;

investment

performance

reports

and

related

financial

information

for

the

Fund;

reports

on

expenses

and

shareholder

services;

legal

and

compliance

matters;

risk

controls;

pricing

and

other

services

provided

by

the

Manager

and

its

affiliates;

and

management

fees

charged

by

the

Manager

and

its

affiliates

to

US

funds

and

other

accounts,

including

management’s

explanation

of

differences

among

accounts

where

relevant.

The

Board

also

reviewed

and

considered

an

annual

report

on

payments

made

by

Franklin

Templeton

(FT)

or

the

Fund

to

financial

intermediaries,

as

well

as

a

memorandum

relating

to

third-

party

servicing

arrangements,

which

included

discussion

of

the

changing

distribution

landscape

for

the

Fund.

The

Board

acknowledged

the

ongoing

integration

of

the

Legg

Mason

family

of

funds

into

the

FT

family

of

funds

and

developing

strategies

to

address

areas

of

heightened

concern

in

the

mutual

fund

industry,

including

various

regulatory

initiatives

and

recent

geopolitical

concerns.

The

Board

also

reviewed

and

considered

the

benefits

provided

to

Fund

shareholders

of

investing

in

a

fund

that

is

part

of

the

FT

family

of

funds.

The

Board

noted

the

financial

position

of

Franklin

Resources,

Inc.

(FRI),

the

Manager’s

parent,

and

its

commitment

to

the

mutual

fund

business

as

evidenced

by

its

reassessment

of

the

fund

offerings

in

response

to

the

market

environment

and

project

initiatives

and

capital

investments

relating

to

the

services

provided

to

the

Fund

by

the

FT

organization.

The

Board

specifically

noted

FT’s

commitment

to

being

a

global

leader

in

stewardship

and

sustainability

and

the

recent

addition

of

a

senior

executive

focused

on

environmental,

social

and

governance

and

climate

control

initiatives.

Franklin

High

Income

Trust

Shareholder

Information

54

franklintempleton.com

Annual

Report

Following

consideration

of

such

information,

the

Board

was

satisfied

with

the

nature,

extent

and

quality

of

services

provided

by

the

Manager

and

its

affiliates

to

the

Fund

and

its

shareholders.

Fund

Performance

The

Board

reviewed

and

considered

the

performance

results

of

the

Fund

over

various

time

periods

ended

November

30,

2021.

The

Board

considered

the

performance

returns

for

the

Fund

in

comparison

to

the

performance

returns

of

mutual

funds

deemed

comparable

to

the

Fund

included

in

a

universe

(Performance

Universe)

selected

by

Broadridge

Financial

Solutions,

Inc.

(Broadridge),

an

independent

provider

of

investment

company

data.

The

Board

received

a

description

of

the

methodology

used

by

Broadridge

to

select

the

mutual

funds

included

in

a

Performance

Universe.

The

Board

also

reviewed

and

considered

Fund

performance

reports

provided

and

discussions

that

occurred

with

portfolio

managers

at

Board

meetings

throughout

the

year.

A

summary

of

the

Fund’s

performance

results

is

below.

The

Performance

Universe

for

the

Fund

included

the

Fund

and

all

retail

and

institutional

high

yield

funds.

The

Board

noted

that

the

Fund’s

annualized

income

return

for

the

one-,

three-,

five-

and

10-year

periods

was

above

the

median

of

its

Performance

Universe.

The

Board

also

noted

that

the

Fund’s

annualized

total

return

for

the

one-,

three-

and

five-year

periods

was

above

the

median

of

its

Performance

Universe,

but

for

the

10-year

period

was

below

the

median

of

its

Performance

Universe.

The

Board

considered

the

income-related

attributes

of

the

Fund

(such

as

a

fund’s

investment

objective

and/or

investment

strategy)

and

that

the

evaluation

of

the

Fund’s

performance

relative

to

its

peers

on

an

income

return

basis

was

appropriate

given

the

Fund’s

income-related

attributes

and

investor

expectations.

The

Board

concluded

that

the

Fund’s

performance

was

satisfactory.

Comparative

Fees

and

Expenses

The

Board

reviewed

and

considered

information

regarding

the

Fund’s

actual

total

expense

ratio

and

its

various

components,

including,

as

applicable,

management

fees;

transfer

agent

expenses;

underlying

fund

expenses;

Rule

12b-1

and

non-Rule

12b-1

service

fees;

and

other

non-

management

fees.

The

Board

also

noted

the

quarterly

and

annual

reports

it

receives

on

all

marketing

support

payments

made

by

FT

to

financial

intermediaries.

The

Board

considered

the

actual

total

expense

ratio

and,

separately,

the

contractual

management

fee

rate,

without

the

effect

of

fee

waivers,

if

any

(Management

Rate)

of

the

Fund

in

comparison

to

the

median

expense

ratio

and

median

Management

Rate,

respectively,

of

other

mutual

funds

deemed

comparable

to

and

with

a

similar

expense

structure

to

the

Fund

selected

by

Broadridge

(Expense

Group).

Broadridge

fee

and

expense

data

is

based

upon

information

taken

from

each

fund’s

most

recent

annual

or

semi-annual

report,

which

reflects

historical

asset

levels

that

may

be

quite

different

from

those

currently

existing,

particularly

in

a

period

of

market

volatility.

While

recognizing

such

inherent

limitation

and

the

fact

that

expense

ratios

and

Management

Rates

generally

increase

as

assets

decline

and

decrease

as

assets

grow,

the

Board

believed

the

independent

analysis

conducted

by

Broadridge

to

be

an

appropriate

measure

of

comparative

fees

and

expenses.

The

Broadridge

Management

Rate

includes

administrative

charges,

and

the

actual

total

expense

ratio,

for

comparative

consistency,

was

shown

for

Class

A1

shares

for

the

Fund

and

for

Class

A

shares

and

Class

M

shares

for

the

other

funds

in

the

Expense

Group.

The

Board

received

a

description

of

the

methodology

used

by

Broadridge

to

select

the

mutual

funds

included

in

an

Expense

Group.

The

Expense

Group

for

the

Fund

included

the

Fund

and

16

other

high

yield

funds.

The

Board

noted

that

the

Management

Rate

and

actual

total

expense

ratio

for

the

Fund

were

both

in

the

first

quintile

(least

expensive)

and

below

the

medians

of

its

Expense

Group.

The

Board

concluded

that

the

Management

Rate

charged

to

the

Fund

is

reasonable.

Profitability

The

Board

reviewed

and

considered

information

regarding

the

profits

realized

by

the

Manager

and

its

affiliates

in

connection

with

the

operation

of

the

Fund.

In

this

respect,

the

Board

considered

the

Fund

profitability

analysis

provided

by

the

Manager

that

addresses

the

overall

profitability

of

FT’s

US

fund

business,

as

well

as

its

profits

in

providing

investment

management

and

other

services

to

each

of

the

individual

funds

during

the

12-month

period

ended

September

30,

2021,

being

the

most

recent

fiscal

year-

end

for

FRI.

The

Board

noted

that

although

management

continually

makes

refinements

to

its

methodologies

used

in

calculating

profitability

in

response

to

organizational

and

product-related

changes,

the

overall

methodology

has

remained

consistent

with

that

used

in

the

Fund’s

profitability

report

presentations

from

prior

years.

The

Board

also

noted

that

PricewaterhouseCoopers

LLP,

auditor

to

FRI

and

certain

FT

funds,

has

been

engaged

by

the

Manager

to

periodically

review

and

assess

the

allocation

methodologies

to

be

used

solely

by

the

Fund’s

Board

with

respect

to

the

profitability

analysis.

The

Board

noted

management’s

belief

that

costs

incurred

in

establishing

the

infrastructure

necessary

for

the

type

of

mutual

fund

operations

conducted

by

the

Manager

and

its

affiliates

may

not

be

fully

reflected

in

the

expenses

Franklin

High

Income

Trust

Shareholder

Information

55

franklintempleton.com

Annual

Report

allocated

to

the

Fund

in

determining

its

profitability,

as

well

as

the

fact

that

the

level

of

profits,

to

a

certain

extent,

reflected

operational

cost

savings

and

efficiencies

initiated

by

management.

As

part

of

this

evaluation,

the

Board

considered

management’s

outsourcing

of

certain

operations,

which

effort

has

required

considerable

up

front

expenditures

by

the

Manager

but,

over

the

long

run

is

expected

to

result

in

greater

efficiencies.

The

Board

also

noted

management’s

expenditures

in

improving

shareholder

services

provided

to

the

Fund,

as

well

as

the

need

to

implement

systems

and

meet

additional

regulatory

and

compliance

requirements

resulting

from

recent

US

Securities

and

Exchange

Commission

and

other

regulatory

requirements.

The

Board

also

considered

the

extent

to

which

the

Manager

and

its

affiliates

might

derive

ancillary

benefits

from

fund

operations,

including

revenues

generated

from

transfer

agent

services,

potential

benefits

resulting

from

personnel

and

systems

enhancements

necessitated

by

fund

growth,

as

well

as

increased

leverage

with

service

providers

and

counterparties.

Based

upon

its

consideration

of

all

these

factors,

the

Board

concluded

that

the

level

of

profits

realized

by

the

Manager

and

its

affiliates

from

providing

services

to

the

Fund

was

not

excessive

in

view

of

the

nature,

extent

and

quality

of

services

provided

to

the

Fund.

Economies

of

Scale

The

Board

reviewed

and

considered

the

extent

to

which

the

Manager

may

realize

economies

of

scale,

if

any,

as

the

Fund

grows

larger

and

whether

the

Fund’s

management

fee

structure

reflects

any

economies

of

scale

for

the

benefit

of

shareholders.

With

respect

to

possible

economies

of

scale,

the

Board

noted

the

existence

of

management

fee

breakpoints,

which

operate

generally

to

share

any

economies

of

scale

with

the

Fund’s

shareholders

by

reducing

the

Fund’s

effective

management

fees

as

the

Fund

grows

in

size.

The

Board

considered

the

Manager’s

view

that

any

analyses

of

potential

economies

of

scale

in

managing

a

particular

fund

are

inherently

limited

in

light

of

the

joint

and

common

costs

and

investments

the

Manager

incurs

across

the

FT

family

of

funds

as

a

whole.

The

Board

concluded

that

to

the

extent

economies

of

scale

may

be

realized

by

the

Manager

and

its

affiliates,

the

Fund’s

management

fee

structure

provided

a

sharing

of

benefits

with

the

Fund

and

its

shareholders

as

the

Fund

grows.

Conclusion

Based

on

its

review,

consideration

and

evaluation

of

all

factors

it

believed

relevant,

including

the

above-described

factors

and

conclusions,

the

Board

unanimously

approved

the

continuation

of

the

Management

Agreement

for

an

additional

one-year

period.

Liquidity

Risk

Management

Program

Each

Fund

has

adopted

and

implemented

a

written

Liquidity

Risk

Management

Program

(the

“LRMP”)

as

required

by

Rule

22e-4

under

the

Investment

Company

Act

of

1940

(the

“Liquidity

Rule”).

The

LRMP

is

designed

to

assess

and

manage

each

Fund’s

liquidity

risk,

which

is

defined

as

the

risk

that

the

Fund

could

not

meet

requests

to

redeem

shares

issued

by

the

Fund

without

significant

dilution

of

remaining

investors’

interests

in

the

Fund.

In

accordance

with

the

Liquidity

Rule,

the

LRMP

includes

policies

and

procedures

that

provide

for:

(1)

assessment,

management,

and

review

(no

less

frequently

than

annually)

of

each

Fund’s

liquidity

risk;

(2)

classification

of

each

Fund’s

portfolio

holdings

into

one

of

four

liquidity

categories

(Highly

Liquid,

Moderately

Liquid,

Less

Liquid,

and

Illiquid);

(3)

for

Funds

that

do

not

primarily

hold

assets

that

are

Highly

Liquid,

establishing

and

maintaining

a

minimum

percentage

of

the

Fund’s

net

assets

in

Highly

Liquid

investments

(called

a

“Highly

Liquid

Investment

Minimum”

or

“HLIM”);

and

(4)

prohibiting

the

Fund’s

acquisition

of

Illiquid

investments

that

would

result

in

the

Fund

holding

more

than

15%

of

its

net

assets

in

Illiquid

assets.

The

LRMP

also

requires

reporting

to

the

Securities

and

Exchange

Commission

(“SEC”)

(on

a

non-public

basis)

and

to

the

Board

if

the

Fund’s

holdings

of

Illiquid

assets

exceed

15%

of

the

Fund’s

net

assets.

Funds

with

HLIMs

must

have

procedures

for

addressing

HLIM

shortfalls,

including

reporting

to

the

Board

and,

with

respect

to

HLIM

shortfalls

lasting

more

than

seven

consecutive

calendar

days,

reporting

to

the

SEC

(on

a

non-public

basis).

The

Director

of

Liquidity

Risk

within

the

Investment

Risk

Management

Group

(the

“IRMG”)

is

the

appointed

Administrator

of

the

LRMP.

The

IRMG

maintains

the

Investment

Liquidity

Committee

(the

“ILC”)

to

provide

oversight

and

administration

of

policies

and

procedures

governing

liquidity

risk

management

for

Franklin

Templeton

and

Legg

Mason

products

and

portfolios.

The

ILC

includes

representatives

from

Franklin

Templeton’s

Risk,

Trading,

Global

Compliance,

Legal,

Investment

Compliance,

Investment

Operations,

Valuation

Committee,

Product

Management

and

Global

Product

Strategy.

In

assessing

and

managing

each

Fund’s

liquidity

risk,

the

ILC

considers,

as

relevant,

a

variety

of

factors,

including

the

Fund’s

investment

strategy

and

the

liquidity

of

its

portfolio

investments

during

both

normal

and

reasonably

foreseeable

stressed

conditions;

its

short

and

long-term

cash

flow

projections;

and

its

cash

holdings

and

access

to

other

funding

sources

including

the

Funds’

interfund

lending

facility

and

line

of

credit.

Classification

of

the

Fund’s

portfolio

holdings

in

the

four

liquidity

categories

is

based

on

the

number

of

days

it

is

reasonably

expected

to

take

to

convert

Franklin

High

Income

Trust

Shareholder

Information

56

franklintempleton.com

Annual

Report

the

investment

to

cash

(for

Highly

Liquid

and

Moderately

Liquid

holdings)

or

sell

or

dispose

of

the

investment

(for

Less

Liquid

and

Illiquid

investments),

in

current

market

conditions

without

significantly

changing

the

investment’s

market

value.

Each

Fund

primarily

holds

liquid

assets

that

are

defined

under

the

Liquidity

Rule

as

"Highly

Liquid

Investments,"

and

therefore

is

not

required

to

establish

an

HLIM.

Highly

Liquid

Investments

are

defined

as

cash

and

any

investment

reasonably

expected

to

be

convertible

to

cash

in

current

market

conditions

in

three

business

days

or

less

without

the

conversion

to

cash

significantly

changing

the

market

value

of

the

investment.

At

meetings

of

the

Funds’

Board

of

Trustees

held

in

May

2022,

the

Program

Administrator

provided

a

written

report

to

the

Board

addressing

the

adequacy

and

effectiveness

of

the

program

for

the

year

ended

December

31,

2021.

The

Program

Administrator

report

concluded

that

(i.)

the

LRMP,

as

adopted

and

implemented,

remains

reasonably

designed

to

assess

and

manage

each

Fund’s

liquidity

risk;

(ii.)

the

LRMP,

including

the

Highly

Liquid

Investment

Minimum

(“HLIM”)

where

applicable,

was

implemented

and

operated

effectively

to

achieve

the

goal

of

assessing

and

managing

each

Fund’s

liquidity

risk;

and

(iii.)

each

Fund

was

able

to

meet

requests

for

redemption

without

significant

dilution

of

remaining

investors’

interests

in

the

Fund.

Proxy

Voting

Policies

and

Procedures

The

Fund’s

investment

manager

has

established

Proxy

Voting

Policies

and

Procedures

(Policies)

that

the

Fund

uses

to

determine

how

to

vote

proxies

relating

to

portfolio

securities.

Shareholders

may

view

the

Fund’s

complete

Policies

online

at

franklintempleton.com.

Alternatively,

shareholders

may

request

copies

of

the

Policies

free

of

charge

by

calling

the

Proxy

Group

collect

at

(954)

527-

7678

or

by

sending

a

written

request

to:

Franklin

Templeton

Companies,

LLC,

300

S.E.

2nd

Street,

Fort

Lauderdale,

FL

33301,

Attention:

Proxy

Group.

Copies

of

the

Fund’s

proxy

voting

records

are

also

made

available

online

at

franklintempleton.com

and

posted

on

the

U.S.

Securities

and

Exchange

Commission’s

website

at

sec.gov

and

reflect

the

most

recent

12-month

period

ended

June

30.

Quarterly

Schedule

of

Investments

The

Trust,

on

behalf

of

the

Fund,

files

a

complete

schedule

of

investments

with

the

U.S.

Securities

and

Exchange

Commission

for

the

first

and

third

quarters

for

each

fiscal

year

as

an

exhibit

to

its

report

on

Form

N-PORT.

Shareholders

may

view

the

filed

Form

N-PORT

by

visiting

the

Commission’s

website

at

sec.gov.

The

filed

form

may

also

be

viewed

and

copied

at

the

Commission’s

Public

Reference

Room

in

Washington,

DC.

Information

regarding

the

operations

of

the

Public

Reference

Room

may

be

obtained

by

calling

(800)

SEC-0330.

Householding

of

Reports

and

Prospectuses

You

will

receive,

or

receive

notice

of

the

availability

of,

the

Fund’s

financial

reports

every

six

months.

In

addition,

you

will

receive

as

an

annual

updated

summary

prospectus

(detail

prospectus

available

upon

request).

To

reduce

Fund

expenses,

we

try

to

identify

related

shareholders

in

a

household

and

send

only

one

copy

of

the

financial

reports

(to

the

extent

received

by

mail)

and

summary

prospectus.

This

process,

called

“householding,”

will

continue

indefinitely

unless

you

instruct

us

otherwise.

If

you

prefer

not

to

have

these

documents

householded,

please

call

us

at

(800)

632-2301.

At

any

time

you

may

view

current

prospectuses/

summary

prospectuses

and

financial

reports

on

our

website.

If

you

choose,

you

may

receive

these

documents

through

electronic

delivery.

1105

A

07/22

©

2022

Franklin

Templeton

Investments.

All

rights

reserved.

Authorized

for

distribution

only

when

accompanied

or

preceded

by

a

summary

prospectus

and/or

prospectus.

Investors

should

carefully

consider

a

fund’s

investment

goals,

risks,

charges

and

expenses

before

investing.

A

prospectus

contains

this

and

other

information;

please

read

it

carefully

before

investing.

To

help

ensure

we

provide

you

with

quality

service,

all

calls

to

and

from

our

service

areas

are

monitored

and/or

recorded.

Annual

Report

and

Shareholder

Letter

Franklin

High

Income

Fund

Investment

Manager

Distributor

Shareholder

Services

Franklin

Advisers,

Inc.

Franklin

Distributors,

LLC

(800)

DIAL

BEN

®

/

342-5236

franklintempleton.com

(800)

632-2301

Item 2. Code of Ethics.

(a) The Registrant has adopted a code of ethics that applies to its principal executive officers and principal financial and accounting officer. 

(c) N/A

(d) N/A

(f) Pursuant to Item 13(a)(1), the Registrant is attaching as an exhibit a copy of its code of ethics that applies to its principal executive officers and principal financial and accounting officer.

Item 3. Audit Committee Financial Expert.

(a)(1) The Registrant has an audit committee financial expert serving on its audit committee.

(2) The audit committee financial expert is Mary C. Choksi and she is "independent" as defined under the relevant Securities and Exchange Commission Rules and Releases.

Item 4.

 Principal Accountant Fees and Services.

(a)      Audit Fees

The aggregate fees paid to the principal accountant for professional services rendered by the principal accountant for the audit of the registrant’s annual financial statements or for services that are normally provided by the principal accountant in connection with statutory and regulatory filings or engagements were $52,670 for the fiscal year ended May 31, 2022 and $61,208 for the fiscal year ended May 31, 2021.

(b)      Audit-Related Fees

There were no fees paid to the principal accountant for assurance and related services rendered by the principal accountant to the registrant that are reasonably related to the performance of the audit of the registrant's financial statements and are not reported under paragraph (a) of Item 4.

There were no fees paid to the principal accountant for assurance and related services rendered by the principal accountant to the registrant's investment adviser and any entity controlling, controlled by or under common control with the investment adviser that provides ongoing services to the registrant that are reasonably related to the performance of the audit of their financial statements. 

(c)      Tax Fees

There were no fees paid to the principal accountant for professional services rendered by the principal accountant to the registrant for tax compliance, tax advice and tax planning.

There were no fees paid to the principal accountant for professional services rendered by the principal accountant to the registrant’s investment adviser and any entity controlling, controlled by or under common control with the investment adviser that provides ongoing services to the registrant for tax compliance, tax advice and tax planning.

(d)      All Other Fees

The aggregate fees paid to the principal accountant for products and services rendered by the principal accountant to the registrant not reported in paragraphs (a)-(c) of Item 4 were $1,342 for the fiscal year ended May 31, 2022 and $0 for the fiscal year ended May 31, 2021. The services for which these fees were paid included review of materials provided to the fund Board in connection with the investment management contract renewal process.

The aggregate fees paid to the principal accountant for products and services rendered by the principal accountant to the registrant’s investment adviser and any entity controlling, controlled by or under common control with the investment adviser that provides ongoing services to the registrant not reported in paragraphs (a)-(c) of Item 4 were $243,743 for the fiscal year ended May 31, 2022 and $29,000 for the fiscal year ended May 31, 2021. The services for which these fees were paid included  professional fees in connection with determining the feasibility of a U.S. direct lending structure, assets under management certification, benchmarking services in connection with the ICI TA survey, professional services relating to the readiness assessment over Greenhouse Gas Emissions and Energy, fees in connection with license for employee development tool ProEdge, and professional fees in connection with SOC 1 Reports.

(e) (1) The registrant’s audit committee is directly responsible for approving the services to be provided by the auditors, including:

      (i)   pre-approval of all audit and audit related services;

      (ii)  pre-approval of all non-audit related services to be provided to the Fund by the auditors;

      (iii) pre-approval of all non-audit related services to be provided to the registrant by the auditors to the registrant’s investment adviser or to any entity that controls, is controlled by or is under common control with the registrant’s investment adviser and that provides ongoing services to the registrant where the non-audit services relate directly to the operations or financial reporting of the registrant; and

      (iv)  establishment by the audit committee, if deemed necessary or appropriate, as an alternative to committee pre-approval of services to be provided by the auditors, as required by paragraphs (ii) and (iii) above, of policies and procedures to permit such services to be pre-approved by other means, such as through establishment of guidelines or by action of a designated member or members of the committee; provided the policies and procedures are detailed as to the particular service and the committee is informed of each service and such policies and procedures do not include delegation of audit committee responsibilities, as contemplated under the Securities Exchange Act of 1934, to management; subject, in the case of (ii) through (iv), to any waivers, exceptions or exemptions that may be available under applicable law or rules.

(e) (2) None of the services provided to the registrant described in paragraphs (b)-(d) of Item 4 were approved by the audit committee pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of regulation S-X.

(f) No disclosures are required by this Item 4(f).

(g) The aggregate non-audit fees paid to the principal accountant for services rendered by the principal accountant to the registrant and the registrant’s investment adviser and any entity controlling, controlled by or under common control with the investment adviser that provides ongoing services to the registrant were $245,085 for the fiscal year ended May 31, 2022 and $29,000 for the fiscal year ended May 31, 2021.

(h) The registrant’s audit committee of the board has considered whether the provision of non-audit services that were rendered to the registrant’s investment adviser (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser), and any entity controlling, controlled by, or under common control with the investment adviser that provides ongoing services to the registrant that were not pre-approved pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X is compatible with maintaining the principal accountant’s independence.

(i) N/A

(j) N/A

Item 5. Audit Committee

of Listed Registrants.

       

N/A

Item 6.  Schedule of Investments.                    

N/A

Item 7.  Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.             N/A

Item 8. Portfolio Managers of Closed-End Management Investment Companies.                                             N/A

Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and

Affiliated Purchasers.         N/A

Item 10. Submission of Matters to a Vote of Security Holders.

There have been no changes to the procedures by which shareholders may recommend nominees to the Registrant's Board of Trustees that would require disclosure herein.

Item 11. Controls and Procedures.

(a)

  Evaluation of Disclosure Controls and Procedures. 

The Registrant maintains disclosure controls and procedures that are designed to provide reasonable assurance that information required to be disclosed in the Registrant’s filings under the Securities Exchange Act of 1934, as amended, and the Investment Company Act of 1940 is recorded, processed, summarized and reported within the periods specified in the rules and forms of the Securities and Exchange Commission. Such information is accumulated and communicated to the Registrant’s management, including its principal executive officer and principal financial officer, as appropriate, to allow timely decisions regarding required disclosure. The Registrant’s management, including the principal executive officer and the principal financial officer, recognizes that any set of controls and procedures, no matter how well designed and operated, can provide only reasonable assurance of achieving the desired control objectives.

Within 90 days prior to the filing date of this Shareholder Report on Form N-CSR, the Registrant had carried out an evaluation, under the supervision and with the participation of the Registrant’s management, including the Registrant’s principal executive officer and the Registrant’s principal financial officer, of the effectiveness of the design and operation of the Registrant’s disclosure controls and procedures. Based on such evaluation, the Registrant’s principal executive officer and principal financial officer concluded that the Registrant’s disclosure controls and procedures are effective.

(b)   Changes in Internal Controls

. 

There have been no changes in the Registrant’s internal control over financial reporting that occurred during the period covered by this report that has materially affected, or is reasonably likely to materially affect the internal control over financial reporting.

Item 12. Disclosure of Securities Lending Activities for Closed-End Management Investment Company.                          N/A

Item 13. Exhibits.

(a)(1) Code of Ethics

codeofethics

(a)(2) Certifications pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 of Matthew T. Hinkle, Chief Executive Officer - Finance and Administration, and Christopher Kings, Chief Financial Officer, Chief Accounting Officer and Treasurer

section302

(a)(2)(1) There were no written solicitations to purchase securities under Rule 23c-1 under the Act sent or given during the period covered by the report by or on behalf of the Registrant to 10 or more persons.

(a)(2)(2) There was no change in the Registrant’s independent public accountant during the period covered by the report.

(b) Certifications pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 of Matthew T. Hinkle, Chief Executive Officer - Finance and Administration, and Christopher Kings, Chief Financial Officer, Chief Accounting Officer and Treasurer

section906

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

FRANKLIN HIGH INCOME TRUST

By S\MATTHEW T. HINKLE______________________

Matthew T. Hinkle

      Chief Executive Officer - Finance and Administration

Date  July 28, 2022

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

By S\MATTHEW T. HINKLE______________________

Matthew T. Hinkle

      Chief Executive Officer - Finance and Administration

Date  July 28, 2022

By S\CHRISTOPHER KINGS______________________

      Christopher Kings

      Chief Financial Officer, Chief Accounting Officer and Treasurer

Date  July 28, 2022