Western Asset High Income Fund II Inc. as of September 30, 2010

Western Asset High Income Fund II Inc. HIX announces its portfolio composition as of September 30, 2010. Investment Objective: The Fund seeks to maximize current income. As a secondary objective, the Fund seeks capital appreciation. Portfolio Composition*: Asset Allocation High Yield Corporate Bonds 80.7% Emerging Market Debt 12.6% Sovereign Debt External Currency 3.2% Sovereign Debt Local Currency 1.8% Corporates External Currency 7.5% Investment Grade Corporate Bonds 5.9% Mortgage-Backed Securities 0.2% Cash & Other Securities 0.6% Credit Quality Allocation** A 0.4% BBB 6.3% BB 21.1% B 45.0% CCC 20.4% CC 1.4% C 1.5% D 0.7% Not Rated 3.2% Top Ten High Yield Industries Communications 12.6% Consumer Cyclical 12.6% Consumer Non Cyclical 11.3% Energy 10.5% Basic Industry 7.3% Electric 4.1% Capital Goods 3.8% Finance Companies 3.8% Transportation 3.8% Technology 2.9% Top Five Emerging Market Countries Brazil 3.4% Mexico 2.3% Russia 2.3% Thailand 1.0% Turkey 0.7% Currency Allocation US Dollar 98.1% Brazilian Reals 1.3% Indonesian Rupiahs 0.5% Euros 0.1% Average Life (years) 6.21 Effective Duration (years) 4.14 Average Coupon (%) 8.51 Portfolio Statistics: Inception Date May 28, 1998 Inception Price $15.00 Total Assets*** $1,001,368,452 Net Assets $751,854,886 Loans**** 19.62% Preferred Shares**** 0.00% Reverse Repos**** 5.29% Market Price $9.76 NAV $8.96 (Daily NAV is available on market quotation systems using the symbol XHGIX.) Distribution Rate $0.0850 per share Frequency Monthly (Declared quarterly, paid monthly) * Portfolio holdings and weightings are historical and are presented here for informational purposes only. They are subject to change at any time. ** Credit quality is a measure of a bond issuer's ability to repay interest and principal in a timely manner. The credit ratings shown are based on each portfolio security's rating as provided by Standard and Poor's, Moody's Investors Service and/or Fitch Ratings, Ltd. For this purpose, if two or more of the agencies have assigned differing ratings to a security, the lowest rating is used. Securities that are unrated by all three agencies are reflected as such. The credit quality of the investments in the Fund's portfolio does not apply to the stability or safety of the Fund. These ratings are updated monthly and may change over time. Please note, the Fund itself has not been rated by an independent rating agency. *** The difference between total assets and net assets, if any, is due primarily to the Fund's use of borrowings; net assets do not include borrowings. The Fund may employ leverage in the form of loans, preferred stock, reverse repurchase agreements and/or other instruments. When the Fund engages in transactions that have a leveraging effect on the Fund's portfolio, the value of the Fund will be more volatile and all other risks will tend to be compounded. **** Percentages based on total assets.