- Quarterly Schedule of Portfolio Holdings of Registered Management Investment Company (N-Q)

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED MANAGEMENT INVESTMENT COMPANY

Investment Company Act file number 811-08603

Name of Fund: BlackRock Debt Strategies Fund, Inc. (DSU)

Fund Address: 100 Bellevue Parkway, Wilmington, DE 19809

Name and address of agent for service: John M. Perlowski, Chief Executive Officer, BlackRock Debt Strategies Fund, Inc., 55 East 52 ^nd Street, New York, NY 10055

Registrant’s telephone number, including area code: (800) 882-0052, Option 4

Date of fiscal year end: 02/29/2012

Date of reporting period: 11/30/2011

Item 1 – Schedule of Investments



Schedule of Investments November 30, 2011 (Unaudited)	BlackRock Debt Strategies Fund, Inc. (DSU) (Percentages shown are based on Net Assets)


Asset-Backed Securities	Par (000)		Value
ARES CLO Funds, Series 2005-10A, Class B, 0.74%, 9/18/17 (a)(b)	USD	1,250	$	1,115,100
Ballyrock CDO Ltd., Series 2006-1A, Class B, 0.86%, 8/28/19 (a)(b)		1,000		785,000
CSAM Funding, Series 2A, Class B1, 7.05%, 10/15/16		625		609,375
Canaras Summit CLO Ltd., Series 2007-1A, Class B, 0.83%, 6/19/21 (a)(b)		1,225		972,099
Gannett Peak CLO Ltd., Series 2006-1X, Class A2, 0.78%, 10/27/20		940		695,600
Greyrock CDO Ltd., Series 2005- 1X, Class A2L, 0.88%, 11/15/17		1,980		1,615,680
Portola CLO Ltd., Series 2007-1X, Class B1, 1.91%, 11/15/21		1,245		1,032,478
T2 Income Fund CLO Ltd., Series 2007-1A, Class B, 1.00%, 7/15/19 (a)(b)		1,075		960,201
Total Asset-Backed Securities – 1.8%				7,785,533


Common Stocks (c)	Shares
Chemicals — 0.0%
GEO Specialty Chemicals, Inc.		339,340		149,310
Containers & Packaging — 0.1%
Smurfit Kappa Plc		36,342		219,747
Diversified Financial Services — 1.4%
Kcad Holdings I Ltd.		500,743,395		5,653,393
Preferred Term Securities VI, Ltd. (a)		3,500,000		1,750
				5,655,143
Electrical Equipment — 0.0%
Medis Technologies Ltd.		286,757		1,721
Hotels, Restaurants & Leisure — 0.0%
Buffets Restaurants Holdings, Inc.		2,753		6,883
HRP PIK Corp., Class B (a)		5,000		50
				6,933
Metals & Mining — 0.1%
Euramax International		2,337		642,757
Paper & Forest Products — 0.3%
Ainsworth Lumber Co. Ltd.		137,449		137,456
Ainsworth Lumber Co. Ltd. (a)		1,133,401		1,133,456

Common Stocks (c)	Shares		Value
Paper & Forest Products (concluded)
Western Forest Products, Inc. (a)		211,149	$	153,194
				1,424,106
Semiconductors & Semiconductor Equipment — 0.0%
SunPower Corp., Class B		1,707		13,349
Software — 0.1%
Bankruptcy Management Solutions, Inc.		1,870		9
HMH Holdings/EduMedia		159,199		238,799
				238,808
Specialty Retail — 0.0%
Movie Gallery, Inc.		503,737		5
Total Common Stocks – 2.0%				8,351,879


Corporate Bonds	Par (000)
Aerospace & Defense — 0.8%
Bombardier, Inc., 7.75%, 3/15/20 (a)	USD	1,750		1,872,500
Kratos Defense & Security Solutions, Inc., 10.00%, 6/01/17		1,364		1,374,230
				3,246,730
Airlines — 0.6%
Air Canada, 9.25%, 8/01/15 (a)		910		828,100
American Airlines Pass-Through Trust, Series 2011-2, Class A, 8.63%, 4/15/23		630		604,800
Delta Air Lines, Inc., Series B, 9.75%, 12/17/16		230		243,372
United Air Lines, Inc., 12.75%, 7/15/12		786		817,091
				2,493,363
Auto Components — 1.7%
B-Corp Merger Sub, Inc., 8.25%, 6/01/19 (a)		170		154,700
Delphi Corp., 6.13%, 5/15/21 (a)		560		564,200
Icahn Enterprises LP:
7.75%, 1/15/16		320		330,000
8.00%, 1/15/18		5,260		5,365,200
Titan International, Inc., 7.88%, 10/01/17		940		976,425
Venture Holdings Co. LLC:
12.00%, 7/01/49		4,450		445
Series B, 9.50%, 7/01/05 (c)(d)		1,800		180
				7,391,150

Portfolio Abbreviations

To simplify the listings of portfolio holdings in the Schedule of Investments, the names and descriptions of many of the securities have been abbreviated according to the following list:


CAD	Canadian Dollar
EUR	Euro
FKA	Formerly Known As
GBP	British Pound
USD	US Dollar



BLACKROCK DEBT STRATEGIES FUND, INC.	NOVEMBER 30, 2011	1



Schedule of Investments (continued)	BlackRock Debt Strategies Fund, Inc. (DSU) (Percentages shown are based on Net Assets)


Corporate Bonds	Par (000)		Value
Beverages — 0.2%
Crown European Holdings SA:
7.13%, 8/15/18	EUR	342	$	459,545
7.13%, 8/15/18		410		550,917
				1,010,462
Biotechnology — 0.1%
QHP Pharma, 10.25%, 3/15/15 (a)	USD	227		229,688
Building Products — 0.4%
Building Materials Corp. of America (a):
7.00%, 2/15/20		940		972,900
6.75%, 5/01/21		790		786,050
Momentive Performance Materials, Inc., 9.00%, 1/15/21		185		131,813
				1,890,763
Capital Markets — 1.0%
American Capital Ltd., 7.96%, 12/31/13 (e)		1,175		1,180,640
E*Trade Financial Corp.:
12.50%, 11/30/17		1,765		1,994,450
4.05%, 8/31/19 (a)(f)(g)		593		526,287
KKR Group Finance Co., 6.38%, 9/29/20 (a)		540		554,766
				4,256,143
Chemicals — 3.5%
American Pacific Corp., 9.00%, 2/01/15		1,490		1,443,438
Celanese US Holdings LLC, 5.88%, 6/15/21		570		579,975
GEO Specialty Chemicals, Inc.:
7.50%, 3/31/15 (a)(g)		4,171		4,796,405
10.00%, 3/31/15		4,106		4,105,600
Hexion US Finance Corp., 9.00%, 11/15/20		670		525,950
Huntsman International LLC, 8.63%, 3/15/21		275		279,125
Kinove German Bondco GmbH, 9.63%, 6/15/18 (a)		800		724,000
Lyondell Chemical Co., 11.00%, 5/01/18		1,339		1,442,724
LyondellBasell Industries NV, 6.00%, 11/15/21 (a)		145		147,900
Solutia, Inc., 7.88%, 3/15/20		810		862,650
				14,907,767
Commercial Banks — 2.0%
CIT Group, Inc.:
7.00%, 5/01/15		800		800,000
7.00%, 5/01/16		1,035		1,024,132
7.00%, 5/02/16 (a)		1,620		1,599,750
7.00%, 5/01/17		4,534		4,488,660
7.00%, 5/02/17 (a)		710		699,350
				8,611,892
Commercial Services & Supplies — 1.2%
ARAMARK Corp., 8.50%, 2/01/15		690		707,250

Corporate Bonds	Par (000)			Value
Commercial Services & Supplies (concluded)
AWAS Aviation Capital Ltd., 7.00%, 10/17/16 (a)	USD	799	$	799,136
Brickman Group Holdings, Inc., 9.13%, 11/01/18 (a)		140		124,600
The Geo Group, Inc., 7.75%, 10/15/17		850		894,625
Iron Mountain, Inc., 7.75%, 10/01/19		540		557,550
Mobile Mini, Inc., 7.88%, 12/01/20		640		640,000
RSC Equipment Rental, Inc., 10.00%, 7/15/17 (a)		970		1,059,725
West Corp., 8.63%, 10/01/18		315		314,213
				5,097,099
Communications Equipment — 0.2%
Avaya, Inc., 9.75%, 11/01/15		360		281,700
EH Holding Corp., 6.50%, 6/15/19 (a)		600		586,500
				868,200
Consumer Finance — 0.1%
Ford Motor Credit Co. LLC:
7.00%, 4/15/15		280		301,417
6.63%, 8/15/17		148		158,762
				460,179
Containers & Packaging — 1.4%
Ardagh Packaging Finance Plc:
7.38%, 10/15/17	EUR	100		129,331
7.38%, 10/15/17		385		497,925
Ball Corp., 6.75%, 9/15/20	USD	625		667,187
Berry Plastics Corp., 8.25%, 11/15/15		1,010		1,070,600
Beverage Packaging Holdings Luxembourg II SA, 8.00%, 12/15/16	EUR	260		282,983
Graphic Packaging International, Inc., 9.50%, 6/15/17	USD	360		392,400
Sealed Air Corp., 8.38%, 9/15/21 (a)		210		224,175
Smurfit Kappa Acquisitions:
7.75%, 11/15/19 (a)	EUR	476		645,997
7.75%, 11/15/19		1,515		2,056,062
				5,966,660
Diversified Financial Services — 3.5%
Ally Financial, Inc.:
7.50%, 12/31/13	USD	90		91,013
8.30%, 2/12/15		1,330		1,346,625
8.00%, 3/15/20		170		167,663
7.50%, 9/15/20		1,990		1,922,837
8.00%, 11/01/31		3,160		3,002,000
8.00%, 11/01/31		1,360		1,253,449
Archimedes Funding III Ltd., 5.50%, 11/29/11 (c)(d)		2,374		356,058
Axcan Intermediate Holdings, Inc., 12.75%, 3/01/16		665		679,963
FCE Bank Plc, 4.75%, 1/19/15	EUR	966		1,246,093
Reynolds Group Issuer, Inc.:
8.75%, 10/15/16 (a)	USD	548		565,810



BLACKROCK DEBT STRATEGIES FUND, INC.	NOVEMBER 30, 2011	2



Schedule of Investments (continued)	BlackRock Debt Strategies Fund, Inc. (DSU) (Percentages shown are based on Net Assets)


Corporate Bonds	Par (000)		Value
Diversified Financial Services (concluded)
Reynolds Group Issuer, Inc. (concluded):
8.75%, 10/15/16 (a)	EUR	548	$	721,620
8.75%, 10/15/16		723		952,065
7.13%, 4/15/19 (a)	USD	1,070		1,045,925
7.88%, 8/15/19 (a)		610		613,050
6.88%, 2/15/21 (a)		920		878,600
8.25%, 2/15/21 (a)		255		216,750
WMG Acquisition Corp., 9.50%, 6/15/16 (a)		200		210,000
				15,269,521
Diversified Telecommunication Services — 1.7%
ITC Deltacom, Inc., 10.50%, 4/01/16		1,010		1,041,562
Level 3 Escrow, Inc., 8.13%, 7/01/19 (a)		2,062		1,948,590
Level 3 Financing, Inc.:
4.20%, 2/15/15 (b)		2,420		2,162,875
8.75%, 2/15/17		920		915,400
Qwest Communications International, Inc., Series B, 7.50%, 2/15/14		340		342,125
tw telecom Holdings, Inc., 8.00%, 3/01/18		690		724,500
				7,135,052
Electric Utilities — 0.2%
IPALCO Enterprises, Inc., 7.25%, 4/01/16 (a)		775		813,750
Electronic Equipment, Instruments & Components — 0.0%
Muzak Holdings, LLC, 13.00%, 3/15/10 (c)(d)		2,675		268
Energy Equipment & Services — 1.3%
Frac Tech Services LLC, 7.63%, 11/15/18 (a)		1,190		1,198,925
Key Energy Services, Inc., 6.75%, 3/01/21		740		731,675
MEG Energy Corp., 6.50%, 3/15/21 (a)		950		954,750
Oil States International, Inc., 6.50%, 6/01/19		295		296,475
Peabody Energy Corp., 6.25%, 11/15/21 (a)		2,180		2,196,350
SunCoke Energy, Inc., 7.63%, 8/01/19 (a)		185		181,300
				5,559,475
Gas Utilities — 0.1%
Targa Resources Partners LP, 6.88%, 2/01/21 (a)		485		485,000
Health Care Equipment & Supplies — 0.5%
DJO Finance LLC:
10.88%, 11/15/14		1,270		1,196,975
7.75%, 4/15/18		770		617,925
Teleflex, Inc., 6.88%, 6/01/19		475		480,344
				2,295,244

Corporate Bonds	Par (000)		Value
Health Care Providers & Services — 2.0%
Aviv Healthcare Properties LP, 7.75%, 2/15/19	USD	455	$	429,975
Crown Newco 3 Plc, 7.00%, 2/15/18 (a)	GBP	108		154,192
HCA, Inc.:
6.50%, 2/15/20	USD	2,020		2,009,900
7.88%, 2/15/20		1,210		1,273,525
7.25%, 9/15/20		265		272,287
inVentiv Health, Inc., 10.00%, 8/15/18 (a)		85		80,537
Omnicare, Inc., 7.75%, 6/01/20		905		953,644
Tenet Healthcare Corp., 8.88%, 7/01/19		3,030		3,302,700
				8,476,760
Health Care Technology — 0.8%
IMS Health, Inc., 12.50%, 3/01/18 (a)		3,205		3,573,575
Hotels, Restaurants & Leisure — 1.5%
Diamond Resorts Corp., 12.00%, 8/15/18		1,040		985,400
HRP Myrtle Beach Holdings LLC, 14.50%, 4/01/14 (a)(c)(d)		6,892		689
HRP Myrtle Beach Operations LLC (a)(c)(d)
0.00%, 4/01/12		5,000		500
12.50%, 4/01/13		5,000		500
Little Traverse Bay Bands of Odawa Indians, 9.00%, 8/31/20 (a)		609		505,470
MGM Resorts International, 11.13%, 11/15/17		3,440		3,848,500
Travelport LLC:
4.95%, 9/01/14 (b)		1,770		876,150
9.88%, 9/01/14		390		235,950
Tropicana Entertainment LLC, Series WI, 9.63%, 12/15/14 (c)(d)		530		53
				6,453,212
Household Durables — 0.7%
Beazer Homes USA, Inc., 12.00%, 10/15/17		1,700		1,768,000
Jarden Corp., 7.50%, 5/01/17		835		885,100
Standard Pacific Corp., 8.38%, 1/15/21		605		558,113
				3,211,213
Independent Power Producers & Energy Traders — 3.1%
The AES Corp.:
7.75%, 10/15/15		300		320,250
9.75%, 4/15/16		1,305		1,474,650
7.38%, 7/01/21 (a)		310		323,175
Calpine Corp. (a):
7.25%, 10/15/17		3,000		3,060,000
7.50%, 2/15/21		710		724,200
Energy Future Holdings Corp., 10.00%, 1/15/20		3,190		3,269,750



BLACKROCK DEBT STRATEGIES FUND, INC.	NOVEMBER 30, 2011	3



Schedule of Investments (continued)	BlackRock Debt Strategies Fund, Inc. (DSU)
	(Percentages shown are based on Net Assets)


Corporate Bonds	Par (000)		Value
Independent Power Producers & Energy Traders (concluded)
Energy Future Intermediate Holding Co. LLC, 10.00%, 12/01/20	USD	2,515	$	2,590,450
NRG Energy, Inc., 7.63%, 1/15/18		1,300		1,280,500
				13,042,975
Industrial Conglomerates — 1.7%
Sequa Corp. (a):
11.75%, 12/01/15		2,850		3,013,875
13.50%, 12/01/15		4,023		4,294,387
				7,308,262
Insurance — 0.6%
CNO Financial Group, Inc., 9.00%, 1/15/18 (a)		1,649		1,731,450
Genworth Financial, Inc., 7.63%, 9/24/21		700		634,964
MPL 2 Acquisition Canco, Inc., 9.88%, 8/15/18 (a)		415		365,200
				2,731,614
IT Services — 0.5%
Eagle Parent Canada, Inc., 8.63%, 5/01/19 (a)		720		667,800
First Data Corp. (a):
7.38%, 6/15/19		1,035		972,900
8.25%, 1/15/21		70		60,550
12.63%, 1/15/21		599		494,175
				2,195,425
Machinery — 0.1%
Navistar International Corp., 8.25%, 11/01/21		278		289,815
Media — 6.7%
AMC Networks, Inc., 7.75%, 7/15/21 (a)		365		385,988
CCH II LLC, 13.50%, 11/30/16		3,000		3,457,500
CCO Holdings LLC:
7.25%, 10/30/17		510		520,838
7.88%, 4/30/18		1,075		1,113,969
Cengage Learning Acquisitions, Inc., 10.50%, 1/15/15 (a)		180		130,500
Checkout Holding Corp., 10.98%, 11/15/15 (a)(f)		1,090		539,550
Cinemark USA, Inc., 8.63%, 6/15/19		410		440,750
Clear Channel Worldwide Holdings, Inc.:
9.25%, 12/15/17		639		669,352
Series B, 9.25%, 12/15/17		5,802		6,106,605
CSC Holdings, Inc., 8.50%, 4/15/14		680		753,950
DISH DBS Corp.:
7.00%, 10/01/13		3,000		3,142,500
6.75%, 6/01/21		470		458,250
Intelsat Luxemburg SA:
11.25%, 6/15/16		460		478,400
11.50%, 2/04/17 (h)		190		174,325
Interactive Data Corp., 10.25%, 8/01/18		1,545		1,653,150


Corporate Bonds	Par (000)		Value
Media (concluded)
Kabel BW Erste Beteiligungs GmbH, 7.50%, 3/15/19 (a)	USD	1,040	$	1,040,000
NAI Entertainment Holdings LLC, 8.25%, 12/15/17 (a)		1,020		1,063,350
Nielsen Finance LLC:
11.63%, 2/01/14		1,239		1,412,460
7.75%, 10/15/18		1,235		1,306,012
ProQuest LLC, 9.00%, 10/15/18 (a)		415		332,000
Unitymedia Hessen GmbH & Co. KG (FKA UPC Germany GmbH), 8.13%, 12/01/17 (a)		2,730		2,818,725
Ziggo Finance BV, 6.13%, 11/15/17 (a)	EUR	598		783,444
				28,781,618
Metals & Mining — 0.9%
Novelis, Inc., 8.75%, 12/15/20	USD	3,625		3,824,375
RathGibson, Inc., 11.25%, 2/15/14 (c)(d)		4,440		—
				3,824,375
Multiline Retail — 0.5%
Dollar General Corp., 11.88%, 7/15/17 (h)		1,775		1,961,375
Oil, Gas & Consumable Fuels — 6.9%
Alpha Natural Resources, Inc.:
6.00%, 6/01/19		205		195,775
6.25%, 6/01/21		240		229,200
Arch Coal, Inc.:
7.00%, 6/15/19 (a)		215		209,625
7.25%, 10/01/20		655		641,900
7.25%, 6/15/21 (a)		700		679,000
Chesapeake Energy Corp.:
6.63%, 8/15/20		1,592		1,647,720
6.13%, 2/15/21		1,100		1,102,750
Chesapeake Oilfield Operating LLC, 6.63%, 11/15/19 (a)		260		256,425
Coffeyville Resources LLC, 9.00%, 4/01/15 (a)		436		464,340
Consol Energy, Inc.:
8.25%, 4/01/20		1,750		1,881,250
6.38%, 3/01/21 (a)		440		433,400
Crosstex Energy LP, 8.88%, 2/15/18		100		106,500
Denbury Resources, Inc.:
8.25%, 2/15/20		670		727,787
6.38%, 8/15/21		570		581,400
El Paso Corp., 7.00%, 6/15/17		1,575		1,712,019
Energy XXI Gulf Coast, Inc., 7.75%, 6/15/19		1,300		1,248,000
Forest Oil Corp., 8.50%, 2/15/14		390		419,250
Hilcorp Energy I LP, 7.63%, 4/15/21 (a)		2,100		2,163,000
Linn Energy LLC:
8.63%, 4/15/20		1,115		1,165,175
7.75%, 2/01/21		1,970		1,970,000



BLACKROCK DEBT STRATEGIES FUND, INC.	NOVEMBER 30, 2011	4



Schedule of Investments (continued)	BlackRock Debt Strategies Fund, Inc. (DSU)
	(Percentages shown are based on Net Assets)


Corporate Bonds	Par (000)		Value
Oil, Gas & Consumable Fuels (concluded)
Niska Gas Storage US LLC, 8.88%, 3/15/18	USD	1,115	$	1,087,125
OGX Petroleo e Gas Participacoes SA, 8.50%, 6/01/18 (a)		3,505		3,329,750
Oasis Petroleum, Inc.:
7.25%, 2/01/19 (a)		335		341,700
6.50%, 11/01/21		290		282,025
Petrohawk Energy Corp.:
10.50%, 8/01/14		590		657,112
7.88%, 6/01/15		795		846,675
7.25%, 8/15/18		525		588,000
Plains Exploration & Production Co.:
7.75%, 6/15/15		530		551,863
6.75%, 2/01/22		470		479,400
Range Resources Corp., 5.75%, 6/01/21		1,230		1,313,025
SandRidge Energy, Inc., 7.50%, 3/15/21		825		754,875
Titan Petrochemicals Group Ltd., 8.50%, 3/18/12 (a)		1,760		1,232,000
				29,298,066
Paper & Forest Products — 1.9%
Ainsworth Lumber Co. Ltd., 11.00%, 7/29/15 (a)(h)		1,730		1,089,892
Clearwater Paper Corp., 10.63%, 6/15/16		640		710,400
Georgia-Pacific LLC, 8.25%, 5/01/16 (a)		2,950		3,242,233
Longview Fibre Paper & Packaging, Inc., 8.00%, 6/01/16 (a)		280		281,400
NewPage Corp., 11.38%, 12/31/14 (c)(d)		2,280		1,590,300
Verso Paper Holdings LLC:
11.50%, 7/01/14		510		520,200
Series B, 4.18%, 8/01/14 (b)		890		560,700
				7,995,125
Pharmaceuticals — 0.4%
Valeant Pharmaceuticals International, 6.50%, 7/15/16 (a)		1,935		1,872,113
Real Estate Investment Trusts (REITs) — 0.4%
Felcor Lodging LP, 6.75%, 6/01/19		1,825		1,697,250
Real Estate Management & Development — 0.7%
Realogy Corp.:
11.50%, 4/15/17		340		259,250
12.00%, 4/15/17		160		120,000
7.88%, 2/15/19 (a)		2,140		1,840,400
Shea Homes LP, 8.63%, 5/15/19 (a)		830		759,450
				2,979,100
Road & Rail — 1.1%
Avis Budget Car Rental LLC, 8.25%, 1/15/19		995		957,687


Corporate Bonds	Par (000)		Value
Road & Rail (concluded)
Florida East Coast Railway Corp., 8.13%, 2/01/17	USD	370	$	368,613
The Hertz Corp.:
7.50%, 10/15/18		1,750		1,754,375
6.75%, 4/15/19		730		708,100
7.38%, 1/15/21		810		801,900
				4,590,675
Specialty Retail — 0.3%
United Auto Group, Inc., 7.75%, 12/15/16		1,275		1,294,125
Textiles, Apparel & Luxury Goods — 0.1%
Phillips-Van Heusen Corp., 7.75%, 11/15/23		410		444,632
Transportation Infrastructure — 0.1%
Aguila 3 SA, 7.88%, 1/31/18 (a)		353		335,350
Wireless Telecommunication Services — 2.6%
Cricket Communications, Inc., 7.75%, 5/15/16		3,050		3,042,375
Digicel Group Ltd. (a):
9.13%, 1/15/15		3,948		3,888,780
8.25%, 9/01/17		810		797,850
Sprint Capital Corp.:
8.38%, 3/15/12		625		635,937
6.88%, 11/15/28		1,320		920,700
Sprint Nextel Corp., 9.00%, 11/15/18 (a)		1,890		1,904,175
				11,189,817
Total Corporate Bonds – 54.1%				231,534,878


Floating Rate Loan Interests (b)
Aerospace & Defense — 0.3%
TransDigm, Inc., Term Loan (First Lien), 4.00%, 2/14/17		1,489		1,473,327
Airlines — 0.5%
Delta Air Lines, Inc., Credit New Term Loan B, 5.50%, 4/20/17		2,369		2,254,163
Auto Components — 1.5%
Allison Transmission, Inc., Term Loan B, 2.75%, 8/07/14		3,453		3,326,870
Autoparts Holdings, Ltd.:
First Lien Term Loan, 6.50%, 7/28/17		1,200		1,198,884
Second Lien Term Loan, 10.50%, 1/29/18		1,800		1,728,000
				6,253,754
Biotechnology — 0.2%
Grifols SA, Term Loan B, 6.00%, 6/01/17		903		899,352



BLACKROCK DEBT STRATEGIES FUND, INC.	NOVEMBER 30, 2011	5



Schedule of Investments (continued)	BlackRock Debt Strategies Fund, Inc. (DSU)
	(Percentages shown are based on Net Assets)


Floating Rate Loan Interests (b)	Par (000)		Value
Building Products — 1.5%
CPG International, Inc., Term Loan BTerm Loan B, 6.00%, 2/18/17	USD	1,191	$	1,113,585
Goodman Global Holdings, Inc.:
Initial Term Loan (First Lien), 5.75%, 10/28/16		3,025		3,015,255
Term Loan (Second Lien), 9.00%, 10/30/17		982		981,406
Momentive Performance Materials, Inc. (Nautilus), Extended Term Loan, 4.70%, 5/05/15	EUR	1,061		1,320,616
				6,430,862
Capital Markets — 1.0%
HarbourVest Partners, Term Loan (First Lien), 6.25%, 12/16/16	USD	1,764		1,755,513
Nuveen Investments, Inc.:
First Lien Term Loan, 3.37% - 3.42%, 11/13/14		973		937,929
Extended Term Loan, 5.87% - 6.00%, 5/12/17		1,682		1,592,441
				4,285,883
Chemicals — 4.9%
American Rock Salt Holdings LLC, Term Loan B, 5.50%, 4/25/17		2,259		2,219,123
Ashland, Inc., Term Loan B, 3.75%, 8/23/18		1,300		1,300,819
Chemtura Corp., Exit Term Loan B, 5.50%, 8/27/16		1,300		1,298,375
Gentek, Inc., Term Loan B, 5.00%, 10/06/15		1,995		1,968,047
MDI Holdings, LLC (FKA MacDermid, Inc.), Tranche C Term Loan, 3.38%, 4/11/14	EUR	644		833,288
Nexeo Solutions LLC, Term Loan B, 5.00%, 9/08/17	USD	1,617		1,552,200
PolyOne Corp., Term Loan B, 5.00%, 11/01/17		660		659,175
PQ Corp. (FKA Niagara Acquisition, Inc.), Original Term Loan facility (First Lien), 3.51% - 3.68%, 7/30/14		2,451		2,297,524
Styron Sarl, Term Loan B, 6.00%, 8/02/17		2,196		1,889,633
Tronox Worldwide LLC, Exit Term Loan, 7.00%, 10/15/15		4,432		4,424,599
Univar, Inc., Term Loan B, 5.00%, 6/30/17		2,382		2,295,986
				20,738,769
Commercial Services & Supplies — 2.4%
Adesa, Inc. (KAR Holdings, Inc.), Term Loan B, 5.00%, 5/19/17		2,394		2,360,611
Altegrity, Inc., (FKA US Investigations Services, Inc.), Tranche D Term Loan, 7.75%, 2/20/15		2,789		2,774,572
ARAMARK Corp.:
Letter of Credit - 1 Facility, 2.11%, 1/27/14		28		26,890


Floating Rate Loan Interests (b)	Par (000)		Value
Commercial Services & Supplies (concluded)
ARAMARK Corp. (concluded):
Letter of Credit - 2 Facility, 3.49%, 7/26/16	USD	29	$	28,017
Term Loan B, 2.24%, 1/27/14		342		333,798
Term Loan B, 3.62%, 7/26/16		438		426,020
AWAS Finance Luxembourg Sarl, Term Loan B, 5.25%, 6/10/16		879		868,924
Delos Aircraft, Inc., Term Loan B2, 7.00%, 3/17/16		975		975,975
Synagro Technologies, Inc., Term Loan B, 2.25% - 2.26%, 4/02/14		876		739,084
Volume Services America, Inc., Term Loan B, 10.50% - 10.75%, 9/16/16		1,782		1,753,042
				10,286,933
Communications Equipment — 0.7%
Avaya, Inc., Term Loan B1, 3.26%, 10/24/14		1,828		1,697,578
CommScope, Inc., Term Loan B, 5.00%, 1/14/18		1,493		1,485,038
				3,182,616
Construction & Engineering — 0.9%
BakerCorp., Inc., Term Loan B, 5.00%, 6/01/18		873		862,775
Safway Services, LLC, First Out Tranche Loan, 9.00%, 12/16/17		2,750		2,750,000
				3,612,775
Consumer Finance — 0.8%
Springleaf Financial Funding Co. (FKA AGFS Funding Co.), Term Loan, 5.50%, 5/10/17		4,145		3,593,218
Containers & Packaging — 0.5%
Berry Plastics Holding Corp., Term Loan C, 2.25%, 4/03/15		339		318,834
Sealed Air Corp., Term Loan B, 4.75%, 10/03/18		1,728		1,741,449
				2,060,283
Diversified Consumer Services — 2.8%
Coinmach Service Corp., Term Loan B, 3.25% - 3.32%, 11/20/14		4,524		4,022,040
Laureate Education, Inc., Extended Term Loan, 5.25%, 8/15/18		5,108		4,759,184
ServiceMaster Co.:
Delayed Draw Term Loan, 2.76%, 7/24/14		319		302,155
Term Loan, 2.75% - 2.83%, 7/24/14		3,207		3,034,142
				12,117,521



BLACKROCK DEBT STRATEGIES FUND, INC.	NOVEMBER 30, 2011	6



Schedule of Investments (continued)	BlackRock Debt Strategies Fund, Inc. (DSU)
	(Percentages shown are based on Net Assets)


Floating Rate Loan Interests (b)	Par (000)		Value
Diversified Financial Services — 0.9%
Reynolds Group Holdings, Inc.:
Tranche B Term Loan, 6.50%, 2/09/18	USD	960	$	942,969
Tranche C Term Loan, 6.50%, 8/09/18		2,900		2,847,800
				3,790,769
Diversified Telecommunication Services — 2.9%
Hawaiian Telcom Communications, Inc., Exit Term Loan, 9.00%, 11/01/15		3,618		3,638,147
Level 3 Financing, Inc.:
Term Loan B2, 5.75%, 9/03/18		6,000		5,805,000
Term Loan B3, 5.75%, 8/31/18		1,500		1,451,250
Tranche A Term Loan, 2.65%, 3/13/14		200		187,750
US Telepacific Corp., Term Loan B, 5.75%, 2/23/17		1,500		1,417,125
				12,499,272
Electrical Equipment — 0.1%
Generac Acquisition Corp., Term Loan B, 2.75% - 2.87%, 11/11/13		297		289,793
Electronic Equipment, Instruments & Components — 1.2%
Aeroflex, Inc., Term Loan B, 4.25%, 5/09/18		486		459,702
CDW LLC, Term Loan, 3.75%, 10/10/14		2,114		2,029,970
Sensata Technologies Finance Co., LLC, Term Loan, 4.00%, 5/11/18		2,753		2,714,089
				5,203,761
Energy Equipment & Services — 2.0%
CCS Corp., Term Loan B, 3.37%, 11/14/14		1,165		1,062,366
Dynegy Holdings, Inc.:
Coal Co. Term Loan, 9.25%, 8/04/16		1,643		1,640,059
Gas Co. Term Loan, 9.25%, 8/04/16		3,007		3,028,711
MEG Energy Corp., Term Loan B, 4.00%, 3/16/18		3,000		2,966,790
				8,697,926
Food & Staples Retailing — 1.5%
AB Acquisitions UK Topco 2 Ltd. (FKA Alliance Boots), Facility B1, 3.63%, 7/09/15	GBP	3,000		4,186,847
US Foodservice, Inc., Term Loan B, 2.75% - 2.76%, 7/03/14	USD	2,192		1,990,083
				6,176,930

Floating Rate Loan Interests (b)	Par (000)		Value
Food Products — 2.6%
Advance Pierre Foods, Inc.:
Term Loan, (First Lien), 7.00%, 9/30/16	USD	2,871	$	2,853,057
(Second Lien) Term Loan, 11.25%, 9/29/17		1,800		1,790,244
Del Monte Corp., Term Loan, 4.50%, 3/08/18		4,199		3,968,504
Pinnacle Foods Finance LLC, Tranche D Term Loan, 6.00%, 4/02/14		1,505		1,504,228
Solvest, Ltd. (Dole):
Tranche B-2 Term Loan, 5.00% - 6.00%, 7/06/18		589		400,360
Tranche C-2 Term Loan, 5.00% - 6.00%, 7/06/18		749		743,526
				11,259,919
Health Care Equipment & Supplies — 1.2%
Biomet, Inc., Term Loan B, 3.26% - 3.36%, 3/25/15		264		254,619
DJO Finance LLC, Term Loan B, 3.26%, 5/20/14		1,859		1,789,425
Iasis Healthcare LLC, Term Loan, 5.00%, 5/03/18		1,520		1,460,323
Immucor, Inc., Term Loan B, 7.25%, 8/17/18		1,520		1,525,320
				5,029,687
Health Care Providers & Services — 4.8%
CHS/Community Health Systems, Inc.:
Extended Term Loan B, 3.82%, 1/25/17		150		144,750
Non-Extended Delayed Draw Term Loan, 2.51%, 7/25/14		72		69,476
Non-Extended Term Loan, 2.51% - 2.77%, 7/25/14		1,420		1,369,279
ConvaTec, Inc., Term Loan, 5.75%, 12/22/16		1,810		1,772,235
DaVita, Inc., Term Loan B, 4.50%, 10/20/16		1,985		1,975,075
Emergency Medical Services, Term Loan, 5.25% - 6.00%, 5/25/18		1,990		1,927,813
Harden Healthcare, Inc.:
Term Loan A, 8.50%, 3/02/15		673		659,214
Tranche A Additional Term Loan, 7.75%, 3/02/15		2,238		2,193,617
HCA, Inc.:
Term Loan B, 2.62%, 11/18/13		245		240,330
Tranche B-3 Term Loan, 3.62%, 5/01/18		1,329		1,255,816
Health Management Associates, Term Loan B, 3.50%, 11/16/18		1,575		1,567,787



BLACKROCK DEBT STRATEGIES FUND, INC.	NOVEMBER 30, 2011	7



Schedule of Investments (continued)	BlackRock Debt Strategies Fund, Inc. (DSU)
	(Percentages shown are based on Net Assets)


Floating Rate Loan Interests (b)	Par (000)		Value
Health Care Providers & Services (concluded)
inVentiv Health, Inc. (FKA Ventive Health, Inc.):
Combined Term Loan, 6.50%, 8/04/16	USD	2,706	$	2,642,740
Incremental Term Loan B3, 6.75%, 5/15/18		1,438		1,405,156
Medpace, Inc., Term Loan, 6.50% - 7.25%, 6/16/17		1,995		1,905,225
Renal Advantage Holdings, Inc., Term Loan B, 5.75%, 12/16/16		1,290		1,287,024
				20,415,537
Health Care Technology — 1.0%
IMS Health, Inc., Term Loan B, 4.50%, 8/25/17		1,985		1,978,180
Kinetic Concepts, Inc., Term Loan B, 7.00%, 5/04/18		1,310		1,316,144
MedAssets, Inc., Term Loan, 5.25%, 11/16/16		942		931,654
				4,225,978
Hotels, Restaurants & Leisure — 3.2%
Caesars Entertainment Operating Co., Inc.:
Incremental Term Loan B4, 9.50%, 10/31/16		1,011		996,214
Term Loan B1, 3.42%, 1/28/15		1,424		1,214,443
Term Loan B2, 3.26% - 3.42%, 1/28/15		841		717,189
Term Loan B3, 3.32% - 3.42%, 1/28/15		4,309		3,676,207
Dunkin’ Brands, Inc., Term Loan B, 4.00%, 11/23/17		2,564		2,521,948
Golden Living, Term Loan, 5.00%, 5/04/18		1,017		876,836
Seaworld Parks & Entertainment, Inc. (FKA SW Acquisitions Co., Inc.), Term Loan B, 4.00%, 8/17/17		1,476		1,465,673
Six Flags Theme Parks, Inc., Tranche B Term Loan, (First Lien), 5.25% - 6.00%, 6/30/16		2,166		2,154,752
				13,623,262
Independent Power Producers & Energy Traders — 1.0%
AES Corp., Term Loan, 4.25%, 6/01/18		1,791		1,770,851
Texas Competitive Electric Holdings Co. LLC (TXU), Extended Term Loan, 4.75%, 10/10/17		3,716		2,419,687
				4,190,538

Floating Rate Loan Interests (b)	Par (000)		Value
Industrial Conglomerates — 0.7%
Sequa Corp.:
Incremental Term Loan, 7.00%, 12/03/14	USD	555	$	553,613
Term Loan, 3.63% - 3.70%, 12/03/14		2,643		2,546,700
				3,100,313
Internet Software & Services — 0.2%
Web.com Group, Inc., Term Loan B, 7.00%, 10/27/17		1,180		1,041,350
IT Services — 3.6%
Ceridian Corp., Term Loan, 3.26% - 3.38%, 11/10/14		2,316		2,054,452
First Data Corp.:
Extended Term Loan B, 4.26%, 3/23/18		6,563		5,479,138
Term Loan B-1, 3.01%, 9/24/14		592		523,869
Term Loan B-3, 3.01%, 9/24/14		210		185,947
infoGROUP, Inc., Term Loan, 5.75%, 5/22/18		853		816,886
iPayment, Inc., Term Loan B, 5.75%, 5/08/17		1,154		1,128,602
NeuStar, Inc., Term Loan B, 5.00%, 11/08/18		1,455		1,453,763
TransUnion LLC, Term Loan B, 4.75%, 2/12/18		3,711		3,692,796
				15,335,453
Leisure Equipment & Products — 0.4%
EB Sports Corp., Term Loan, 11.50%, 12/31/15		1,737		1,684,745
Machinery — 0.9%
Tomkins LLC, Term Loan B, 4.25%, 9/29/16		2,253		2,234,413
Terex Corp.:
Term Loan, 6.03%, 4/28/17	EUR	220		289,702
Term Loan B, 5.50%, 4/28/17	USD	1,300		1,296,750
				3,820,865
Media — 9.8%
Acosta, Inc., Term Loan, 4.75%, 3/01/18		1,103		1,066,891
Affinion Group, Inc., Tranche B Term Loan, 5.00%, 10/10/16		985		898,086
AMC Networks, Inc., Term Loan B, 4.00%, 12/31/18		1,796		1,780,543
Capsugel Healthcare Ltd., Term Loan, 5.25%, 8/01/18		1,500		1,498,590
Cengage Learning Acquisitions, Inc. (FKA Thomson Learning):
Term Loan, 2.51%, 7/03/14		83		70,026
Tranche 1 Incremental Term Loan, 7.50%, 7/03/14		1,257		1,158,142



BLACKROCK DEBT STRATEGIES FUND, INC.	NOVEMBER 30, 2011	8




Schedule of Investments (continued)	BlackRock Debt Strategies Fund, Inc. (DSU)
	(Percentages shown are based on Net Assets)


Floating Rate Loan Interests (b)	Par (000)		Value
Media (concluded)
Charter Communications Operating, LLC:
Extended Term Loan, 3.62%, 9/06/16	USD	2,663	$	2,613,265
Term Loan, 7.25%, 3/06/14		46		45,732
Clear Channel Communications, Inc., Term Loan B, 3.91%, 1/28/16		3,145		2,340,069
Cumulus Media, Inc., Term Loan, 5.75%, 9/17/18		1,500		1,459,380
Gray Television, Inc., Term Loan B, 3.75%, 12/31/14		1,221		1,192,233
HMH Publishing Co., Ltd., Term Loan, 6.44%, 6/12/14		2,339		1,607,734
Hubbard Broadcasting, Term Loan B (Second Lien), 5.25%, 4/28/17		1,097		1,078,048
Intelsat Jackson Holdings SA, Tranche B Term Loan, 5.25%, 4/02/18		8,180		8,070,961
Interactive Data Corp., Term Loan B, 4.50%, 2/12/18		1,692		1,657,670
Lavena Holding 3 GmbH (Prosiebensat.1 Media AG), Term Loan B, 4.20%, 3/06/15	EUR	304		312,648
Lavena Holdings 4 GmbH (Prosiebensat.1 Media AG), Term Loan C, 4.45%, 3/04/16		608		629,378
Mediacom Illinois, LLC (FKA Mediacom Communications, LLC), Tranche D Term Loan, 5.50%, 3/31/17	USD	980		962,850
Newsday LLC, Fixed Rate Term Loan, 10.50%, 8/01/13		4,250		4,372,187
Nielsen Finance LLC, Class C Term Loan, 3.50%, 5/02/16		404		391,858
Sinclair Television Group, Inc., Tranche B Term Loan, 4.00%, 10/28/16		1,308		1,302,611
Sunshine Acquisition Ltd. (FKA HIT Entertainment), Term Facility, 5.50%, 6/01/12		1,916		1,888,945
Univision Communications, Inc., Extended First Lien Term Loan, 4.51%, 3/31/17		1,872		1,674,901
UPC Broadband Holding B.V., Term Loan U, 5.37%, 12/29/17	EUR	646		813,329
UPC Financing Partnership, Term Loan, 4.75%, 12/29/17	USD	855		834,694
WC Luxco Sarl, Term Loan B3, 4.25%, 3/15/18		594		584,502
Weather Channel, Term Loan B, 4.25%, 2/13/17		1,432		1,424,103
				41,729,376

Floating Rate Loan Interests (b)	Par (000)		Value
Metals & Mining — 2.1%
Novelis, Inc., Term Loan, 3.75%, 3/10/17	USD	3,126	$	3,070,351
SunCoke Energy, Inc., Term Loan B, 4.00% - 5.25%, 7/26/18		1,596		1,568,070
Walter Energy, Inc., Term Loan B, 4.00%, 4/02/18		4,355		4,270,971
				8,909,392
Multi-Utilities — 0.1%
FirstLight Power Resources, Inc. (FKA NE Energy, Inc.), Term B Advance (First Lien), 2.81%, 11/01/13		395		379,453
Multiline Retail — 1.3%
Dollar General Corp., Tranche B-2 Term Loan, 3.00% - 3.00%, 7/07/14		1,439		1,431,601
Hema Holding BV:
Second Lien Term Loan, 6.36%, 1/05/17	EUR	2,900		3,182,341
Term Loan B, 3.36%, 7/05/16		363		435,768
Term Loan C, 4.11%, 7/06/15		363		433,332
				5,483,042
Oil, Gas & Consumable Fuels — 1.1%
Gibson Energy, Term Loan B, 5.75%, 6/15/18	USD	1,496		1,490,639
Obsidian Natural Gas Trust, Term Loan, 7.00%, 11/02/15		3,341		3,324,019
				4,814,658
Paper & Forest Products — 0.8%
NewPage Corp., DIP Term Loan, 8.00%, 3/07/13		1,050		1,053,937
Verso Paper Finance Holdings LLC, Term Loan, 6.68% - 7.43%, 2/01/13 (h)		4,576		2,287,980
				3,341,917
Pharmaceuticals — 1.8%
Aptalis Pharma, Inc., Term Loan B, 5.50%, 2/10/17		1,787		1,699,408
Endo Pharmaceuticals Holdings, Inc., Term Loan B, 4.00%, 6/18/18		1,207		1,204,321
Pharmaceutical Products Development:
Bridge Term Loan, 1.00%, 11/02/12		1,310		—
Term Loan B, 9.75%, 12/05/18		1,745		1,720,378
Quintiles Transnational Corp., Term Loan B, 5.00%, 6/08/18		778		754,709
RPI Finance Trust, Term Loan Tranche 2, 4.00%, 5/09/18		1,147		1,139,003




BLACKROCK DEBT STRATEGIES FUND, INC.	NOVEMBER 30, 2011	9




Schedule of Investments (continued)	BlackRock Debt Strategies Fund, Inc. (DSU)
	(Percentages shown are based on Net Assets)


Floating Rate Loan Interests (b)	Par (000)		Value
Pharmaceuticals (concluded)
Warner Chilcott Corp.:
Term Loan B-1, 4.25%, 3/15/18	USD	864	$	850,185
Term Loan B-2, 4.25%, 3/15/18		432		425,092
				7,793,096
Professional Services — 1.1%
Booz Allen Hamilton, Inc., Tranche B Term Loan, 4.00%, 8/03/17		245		244,236
Emdeon, Inc., Term Loan B, 6.75%, 11/02/18		2,500		2,507,125
Fifth Third Processing Solutions, LLC, Term Loan B (First Lien), 4.50%, 11/03/16		2,084		2,072,125
				4,823,486
Real Estate Investment Trusts (REITs) — 0.7%
Istar Financial, Inc., Term Loan A1, 5.00%, 6/28/13		3,142		3,100,021
Real Estate Management & Development — 1.3%
Realogy Corp.:
Delayed Draw Term Loan, 3.44%, 10/10/13		2,670		2,469,116
Extended Letter of Credit, 4.44%, 10/10/16		334		295,298
Extended Term Loan, 4.69%, 10/10/16		3,033		2,683,878
				5,448,292
Road & Rail — 0.3%
Avis Budget Car Rental LLC, Incremental Term Loan, 6.25%, 9/21/18		1,085		1,087,040
Semiconductors & Semiconductor Equipment — 0.6%
Freescale Semiconductor, Inc., Extended Term Loan B, 4.50%, 12/01/16		728		687,139
Microsemi Corp., Term Loan B, 5.75%, 2/02/18		1,090		1,087,962
NXP B.V., Incremental Term Loan, 5.50%, 12/12/17		905		868,239
				2,643,340
Software — 0.1%
Blackboard, Inc., Term Loan B, 7.50%, 10/04/18		600		569,502
Specialty Retail — 3.5%
Academy Ltd., Term Loan, 6.00%, 8/03/18		1,900		1,865,173
Burlington Coat Factory Warehouse Corp., Term Loan B, 6.25%, 2/23/17		1,407		1,367,519
General Nutrition Centers, Inc., Term Loan B, 4.25%, 3/02/18		2,175		2,124,257
J. Crew Group, Inc., Term Loan B, 4.75%, 3/07/18		652		598,772

Floating Rate Loan Interests (b)	Par (000)		Value
Specialty Retail (concluded)
Jo-Ann Stores, Inc., Term Loan B, 4.75%, 3/16/18	USD	796	$	752,220
Michaels Stores, Inc.:
Term Loan B-1, 2.63% - 2.69%, 10/31/13		980		952,540
Term Loan B-2, 4.88% - 4.94%, 7/31/16		1,517		1,475,714
Petco Animal Supplies, Inc., Term Loan B, 4.50%, 11/24/17		2,708		2,626,421
Toys ‘R’ Us Delaware, Inc.:
Initial Loan, 6.00%, 9/01/16		1,902		1,875,362
Term Loan B, 5.25%, 5/25/18		1,144		1,120,885
				14,758,863
Wireless Telecommunication Services — 1.7%
MetroPCS Wireless, Inc., Term Loan B, 4.00% - 4.06%, 3/16/18		1,264		1,223,868
Vodafone Americas Finance 2, Inc., Initial Loan, 6.88%, 8/11/15 (h)		5,887		5,872,077
				7,095,945
Total Floating Rate Loan Interests – 72.5%				309,552,977


Other Interests (i)	Beneficial Interest (000)
Auto Components — 0.0%
Intermet Liquidating Trust, Class A (c)		833		1
Chemicals — 0.0%
Wellman Holdings, Inc., Litigation Trust Certificate		10,000		100
Diversified Financial Services — 0.3%
DSU JGW SPV, LLC (JG Wentworth LLC Preferred Equity Interests) (c)(j)		1		1,320,018
Hotels, Restaurants & Leisure — 0.0%
Buffets, Inc. (c)		1,440		14
Household Durables — 0.4%
DSU (S-Martin) SPV, LLC (Stanley Martin, Class B Membership Units) (c)(j)		2		1,844,155
Media — 0.0%
Adelphia Escrow (c)		7,500		75
Adelphia Preferred Escrow (c)		5		—
Adelphia Recovery Trust (c)		9,406		941
Adelphia Recovery Trust, Series ACC-6B INT (c)		500		2,500
				3,516




BLACKROCK DEBT STRATEGIES FUND, INC.	NOVEMBER 30, 2011	10



Schedule of Investments (continued)	BlackRock Debt Strategies Fund, Inc. (DSU)
Schedule of Investments (continued)	(Percentages shown are based on Net Assets)


Other Interests (i)	Beneficial Interest (000)
Specialty Retail — 0.0%
Movie Gallery, Inc. Default Escrow (c)	USD	21,700	$	217
Total Other Interests – 0.7%				3,168,021



Warrants (k)	Shares
Health Care Providers & Services — 0.0%
HealthSouth Corp. (Expires 1/16/14)		126,761		1
Hotels, Restaurants & Leisure — 0.0%
Buffets Restaurants Holdings, Inc. (Expires 4/29/14)		1,216		12
Media — 0.1%
Charter Communications, Inc. (Expires 11/30/14)		12,661		147,627
Software — 0.0%
Bankruptcy Management Solutions, Inc. (Expires 9/29/17)		1,247		13
HMH Holdings/EduMedia (Expires 3/09/17)		24,924		—
				13
Total Warrants – 0.1%				147,653
*Total Investments (Cost — $636,001,525) - 131.2%**				560,540,941
Liabilities in Excess of Other Assets – (31.2)%				(133,249,418	)
Net Assets – 100.0%			$	427,291,523


*	The cost and unrealized appreciation (depreciation) of investments as of November 30, 2011, as computed for federal income tax purposes, were as follows:


Aggregate cost	$	631,973,780
Gross unrealized appreciation	$	10,431,112
Gross unrealized depreciation		(81,863,951	)
Net unrealized depreciation	$	(71,432,839	)


(a)	Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933. These securities may be resold in transactions exempt from registration to qualified institutional investors.

(b)	Variable rate security. Rate shown is as of report date.

(c)	Non-income producing security.

(d)	Issuer filed for bankruptcy and/or is in default of interest payments.

(e)	Represents a step-down bond that pays an initial coupon rate for the first period and then a lower coupon rate for the following periods. Rate shown is as of report date.

(f)	Represents a zero-coupon bond. Rate shown reflects the current yield as of report date.

(g)	Convertible security.

(h)	Represents a payment-in-kind security which may pay interest/dividends in additional par/shares.

(i)	Other interests represent beneficial interests in liquidation trusts and other reorganization or private entities.

(j)	Wholly owned subsidiary.

(k)	Warrants entitle the Fund to purchase a predetermined number of shares of common stock and are non-income producing. The purchase price and number of shares are subject to adjustment under certain conditions until the expiration date, if any.

•	Investments in companies considered to be an affiliate of the Fund during the period, for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:


Affiliate	Shares Held at February 28, 2011		Net Activity			Shares Held at November 30, 2011		Income
BlackRock Liquidity Funds, TempFund, Institutional Class		436,377		(436,377	)		—	$	1,894



BLACKROCK DEBT STRATEGIES FUND, INC.	NOVEMBER 30, 2011	11



Schedule of Investments (continued)	BlackRock Debt Strategies Fund, Inc. (DSU)


•	Foreign currency exchange contracts as of November 30, 2011 were as follows:


Currency Purchased		Currency Sold		Counterparty	Settlement Date	Unrealized Appreciation (Depreciation)
USD	4,253,926	GBP	2,729,500	Citibank NA	1/18/12	$	(26,587	)
CAD	154,000	USD	152,123	Deutsche Bank Securities, Inc.	1/18/12		(1,311	)
EUR	181,500	USD	247,996	Citibank NA	1/25/12		(3,987	)
USD	18,355,013	EUR	13,346,000	Citibank NA	1/25/12		412,640
EUR	364,000	USD	495,006	Deutsche Bank Securities, Inc.	1/25/12		(5,645	)
EUR	254,000	USD	344,902	Royal Bank of Scotland	1/25/12		(3,424	)
USD	83,622	EUR	60,000	Royal Bank of Scotland	1/25/12		2,957
Total						$	374,643


•	For Fund compliance purposes, the Fund’s industry classifications refer to any one or more of the industry sub-classifications used by one or more widely recognized market indexes or rating group indexes, and/or as defined by Fund management. These definitions may not apply for purposes of this report, which may combine such industry sub-classifications for reporting ease.

•	Fair Value Measurements - Various inputs are used in determining the fair value of investments and derivative financial instruments. These inputs are categorized into a disclosure hierarchy consisting of three broad levels for financial reporting purposes as follows:

	•	Level 1 — unadjusted price quotations in active markets/exchanges for identical assets and liabilities

	•	Level 2 — other observable inputs (including, but not limited to: quoted prices for similar assets or liabilities in markets that are active, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the assets or liabilities (such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or other market-corroborated inputs)

	•	Level 3 — unobservable inputs based on the best information available in the circumstances, to the extent observable inputs are not available (including the Fund’s own assumptions used in determining the fair value of investments and derivative financial instruments)

Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. The categorization of a value determined for investments and derivative financial instruments is based on the pricing transparency of the investment and derivative financial instrument and does not necessarily correspond to the Fund’s perceived risk of investing in those securities. For information about the Fund’s policy regarding valuation of investments and derivative financial instruments and other significant accounting policies, please refer to the Fund’s most recent financial statements as contained in its semi-annual report.

The following tables summarize the inputs used as of November 30, 2011 in determining the fair valuation of the Fund’s investments and derivative financial instruments:



BLACKROCK DEBT STRATEGIES FUND, INC.	NOVEMBER 30, 2011	12


Schedule of Investments (concluded)	BlackRock Debt Strategies Fund, Inc. (DSU)


Valuation Inputs	Level 1		Level 2			Level 3		Total
Assets:
Investments:
Long-Term Investments:
Asset-Backed Securities		—	$	3,047,399		$	4,738,134	$	7,785,533
Common Stocks	$	312,602		1,997,721			6,041,556		8,351,879
Corporate Bonds		—		221,768,711			9,766,167		231,534,878
Floating Rate Loan interests		—		279,422,986			30,129,991		309,552,977
Other Interests		3,441		—			3,164,580		3,168,021
Warrants		147,627		—			26		147,653
Total	$	463,670	$	506,236,817		$	53,840,454	$	560,540,941


Valuation Inputs	Level 1		Level 2			Level 3		Total
Derivative Financial Instruments ¹
Assets:
Foreign currency exchange contracts		—	$	415,597			—	$	415,597
Liabilities:
Foreign currency exchange contracts		—		(40,954	)		—		(40,954	)
Total		—	$	374,643			—	$	374,643


¹	Derivative financial instruments are foreign currency exchange contracts, which are valued at the unrealized appreciation/depreciation on the instrument.

The following table is a reconciliation of Level 3 investments for which significant unobservable inputs were used in determining fair value:


	Asset- Backed Securities			Common Stocks			Corporate Bonds			Floating Rate Loan Interests			Other Interests			Warrants		Total
Assets/Liabilities:
Balance, as of February 28, 2011	$	6,393,325		$	926,586		$	12,777,038		$	50,753,656		$	4,757,077		$	26	$	75,607,708
Accrued discounts/premiums		52,656			—			378,492			173,625			—			—		604,773
Net realized gain (loss)		62,231			18,840			(7,815,300	)		155,475			1,749,851			—		(5,828,903	)
Net change in unrealized appreciation/depreciation ²		(568,853	)		(10,558,098	)		9,811,688			4,070,780			159,270			—		2,914,787
Purchases		1,712,700			15,678,130			25,052			6,667,523			9,832			—		24,093,237
Sales		(1,813,925	)		(23,902	)		(5,411,247	)		(25,539,504	)		(3,511,445	)		—		(36,300,023	)
Transfers in ³		—			—			444			6,815,140			—			—		6,815,584
Transfers out ³		(1,100,000	)		—			—			(12,966,704	)		(5	)		—		(14,066,709	)
Balance, as of November 30, 2011	$	4,738,134		$	6,041,556		$	9,766,167		$	30,129,991		$	3,164,580		$	26	$	53,840,454


²	The change in unrealized appreciation/depreciation on securities still held on November 30, 2011 was $(13,486,899).

³	The Fund’s policy is to recognize transfers in and transfers out as of the beginning of the period of the event or the change in circumstances that caused the transfer.

A reconciliation of Level 3 investments and derivative financial instruments is presented when the Fund had a significant amount of Level 3 investments and derivative financial instruments at the beginning and/or end of the period in relation to net assets.



BLACKROCK DEBT STRATEGIES FUND, INC.	NOVEMBER 30, 2011	13

Item 2 –	Controls and Procedures

2(a) –	The registrant’s principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”)) are effective as of a date within 90 days of the filing of this report based on the evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act and Rule 13a-15(b) under the Securities Exchange Act of 1934, as amended.

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

Item 3 –	Exhibits

	Certifications – Attached hereto

	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.

	BlackRock Debt Strategies Fund, Inc.

	By:	/s/ John M. Perlowski
		John M. Perlowski
		Chief Executive Officer (principal executive officer) of
		BlackRock Debt Strategies Fund, Inc.

	Date: January 23, 2012

	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/ John M. Perlowski
		John M. Perlowski
		Chief Executive Officer (principal executive officer) of
		BlackRock Debt Strategies Fund, Inc.

	Date: January 23, 2012

	By:	/s/ Neal J. Andrews
		Neal J. Andrews
		Chief Financial Officer (principal financial officer) of
		BlackRock Debt Strategies Fund, Inc.

	Date: January 23, 2012