UNITEDSTATES
SECURITIESANDEXCHANGECOMMISSION
Washington,D.C.20549
FORM N-CSRS
CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT
INVESTMENT COMPANIES
Investment Company Act file number 811-08217
Name of Fund: BlackRock MuniHoldings New York Insured Fund, Inc. (MHN)
Fund Address: 100 Bellevue Parkway, Wilmington, DE 19809
Name and address of agent for service: Anne F. Ackerley, Chief Executive Officer, BlackRock
MuniHoldings New York Insured Fund, Inc., 55 East 52nd Street, New York, NY 10055.
Registrant’s telephone number, including area code: (800) 882-0052, Option 4
Date of fiscal year end: 08/31/2010
Date of reporting period: 02/28/2010
Item 1 – Report to Stockholders
Semi-Annual Report
FEBRUARY 28, 2010 I (UNAUDITED)
BlackRock Maryland Municipal Bond Trust (BZM)
BlackRock MuniHoldings New York Insured Fund, Inc. (MHN)
BlackRock New Jersey Municipal Bond Trust (BLJ)
BlackRock New York Insured Municipal Income Trust (BSE)
BlackRock New York Municipal Bond Trust (BQH)
BlackRock New York Municipal Income Trust II (BFY)
BlackRock Virginia Municipal Bond Trust (BHV)
The Massachusetts Health & Education Tax-Exempt Trust (MHE)
NOT FDIC INSURED
MAY LOSE VALUE
NO BANK GUARANTEE
| Table of Contents | |
| Page | |
| Dear Shareholder | 3 |
| Semi-Annual Report: | |
| Trust Summaries | 4 |
| The Benefits and Risks of Leveraging | 12 |
| Derivative Financial Instruments | 13 |
| Financial Statements: | |
| Schedules of Investments | 14 |
| Statements of Assets and Liabilities | 36 |
| Statements of Operations | 38 |
| Statements of Changes in Net Assets | 40 |
| Financial Highlights | 43 |
| Notes to Financial Statements | 51 |
| Officers and Trustees | 57 |
| Additional Information | 58 |
2 SEMI-ANNUAL REPORT FEBRUARY 28, 2010
Dear Shareholder
The past year marked a pivotal turning point for global markets as the Great Recession that started in December 2007 began to recede and give way to recov-
ery. The dramatic about-face could be attributed to a confluence of factors, most notably the extraordinary policy actions of global governments and central
banks, a resurgence in corporate profits and growing signs of stability and healing in world economies.
After reaching a trough in early March 2009, stocks galloped higher as investors were lured back into the markets by depressed valuations, desire for higher
yields and increasing confidence that all-out financial disaster had been averted. The result was a powerful upswing in global equities and other higher-risk
assets through the end of 2009. More recently, the combination of mixed economic data, lingering deflation issues (especially in Europe) and proposed fees
and levies on banks dampened investor conviction, resulting in a several-week bout of profit-taking. The selloff had a more pronounced negative effect on inter-
national and emerging market equities due primarily to concerns of higher interest rates in Asia and negative headlines out of Europe, particularly in Greece.
Generally speaking, investors’ renewed affinity for risk was notable in the fixed income markets as well, where non-Treasury assets made a robust recovery. One
of the major themes in 2009 was the reversal of the flight-to-quality trade. High yield, one of the most battered areas during the financial crisis, emerged as
the strongest-performing fixed income sector in both the taxable and tax-exempt space. Despite weak fundamentals, the municipal market produced solid
returns as technical conditions remained supportive of the asset class. Municipal bond mutual funds enjoyed strong inflows and tax-exempt issuance remained
low thanks to the ever-increasing popularity of the Build America Bond program. Nevertheless, state and local fiscal woes and bankruptcy fears remain firmly in
the spotlight, and bear close monitoring.
At the same time, yields on money market securities declined throughout the reporting period and remain near all-time lows, with the Federal Open Market
Committee reiterating that economic circumstances are likely to necessitate an accommodative interest rate stance for an “extended period.” Investor assets in
money market funds declined from the peak registered in early 2009, but remain above levels registered prior to the financial crisis that began in 2007.
Against this backdrop, the major market averages posted the following returns:
| Total Returns as of February 28, 2010 | 6-month | 12-month |
| US equities (S&P 500 Index) | 9.32% | 53.62% |
| Small cap US equities (Russell 2000 Index) | 10.59 | 63.95 |
| International equities (MSCI Europe, Australasia, Far East Index) | 0.72 | 54.58 |
| 3-month Treasury bill (BofA Merrill Lynch 3-Month Treasury Bill Index) | 0.07 | 0.20 |
| US Treasury securities (BofA Merrill Lynch 10-Year US Treasury Index) | 0.07 | (1.54) |
| Taxable fixed income (Barclays Capital US Aggregate Bond Index) | 3.19 | 9.32 |
| Tax-exempt fixed income (Barclays Capital Municipal Bond Index) | 4.13 | 9.98 |
| High yield bonds (Barclays Capital US Corporate High Yield 2% Issuer Capped Index) | 13.86 | 55.20 |
| Past performance is no guarantee of future results. Index performance shown for illustrative purposes only. You cannot invest directly in an index. | ||
The market continues to show signs of improvement, but questions about the strength and sustainability of the recovery abound. Through periods of uncer-
tainty, BlackRock’s full resources are dedicated to the management of our clients’ assets. For additional market perspective and investment insight, visit
www.blackrock.com/shareholdermagazine, where you’ll find the most recent issue of our award-winning Shareholder® magazine, as well as its quarterly com-
panion newsletter, Shareholder Perspectives. As always, we thank you for entrusting BlackRock with your investments, and we look forward to your continued
partnership in the months and years ahead.
THIS PAGE NOT PART OF YOUR FUND REPORT 3
Trust Summary as of February 28, 2010 BlackRock Maryland Municipal Bond Trust
Investment Objective
BlackRock Maryland Municipal Bond Trust (BZM) (the “Trust”) seeks to provide current income exempt from regular federal income taxes and Maryland
personal income taxes. Under normal market conditions, the Trust will invest at least 80% of its managed assets in municipal bonds that are investment
grade quality, or determined by its investment advisor to be of equivalent credit quality at the time of purchase. The Trust may invest up to 20% of its total
assets in municipal bonds that are rated, at the time of investment, Ba/BB or B by Moody’s Investors Services, Inc. (“Moody’s”), Standard and Poor’s
Corporation (“S&P”) or are unrated but judged to be of comparable quality by BlackRock.
No assurance can be given that the Trust’s investment objective will be achieved.
Performance
For the six months ended February 28, 2010, the Trust returned (1.96)% based on market price and 8.90% based on net asset value (“NAV”). For the
same period, the closed-end Lipper Other States Municipal Debt Funds category posted an average return of 7.90% on a market price basis and 7.08% on
a NAV basis. All returns reflect reinvestment of dividends. The Trust’s premium to NAV, which narrowed during the period, accounts for the difference between
performance based on price and performance based on NAV. The Trust benefited from our effort to increase the portfolio weighting in interest-rate-sensitive
bonds as tax-exempt, thirty-year interest rates rallied 25 basis points (0.25%) lower for the six months. A greater weighting in the development district
sector also contributed to performance as credit spreads generally tightened during the period. Conversely, a low weighting in Maryland tax-backed bonds
detracted from performance. As available Maryland tax-exempt supply continues to wane, demand for specialty state paper, such as Maryland, has driven
the positive performance of this sector.
The views expressed reflect the opinions of BlackRock as of the date of this report and are subject to change based on changes in market, economic or other conditions. These
views are not intended to be a forecast of future events and are no guarantee of future results.
Trust Information
| Symbol on NYSE Amex | BZM |
| Initial Offering Date | April 30, 2002 |
| Yield on Closing Market Price as of February 28, 2010 ($14.64)1 | 5.57% |
| Tax Equivalent Yield2 | 8.57% |
| Current Monthly Distribution per Common Share3 | $0.0679 |
| Current Annualized Distribution per Common Share3 | $0.8148 |
| Leverage as of February 28, 20104 | 37% |
1 Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance
does not guarantee future results.
2 Tax equivalent yield assumes the maximum federal tax rate of 35%.
3 The Monthly Distribution per Common Share, declared on March 1, 2010, was increased to $0.0704. The Yield on Closing Market Price, Current
Monthly Distribution per Common Share and Current Annualized Distribution per Common Share do not reflect the new distribution rate. The new dis-
tribution rate is not constant and is subject to change in the future.
4 Represents Auction Market Preferred Shares (“Preferred Shares”) and tender option bond trusts (“TOBs”) as a percentage of total managed assets,
which is the total assets of the Trust, including any assets attributable to Preferred Shares and TOBs, minus the sum of accrued liabilities. For a
discussion of leveraging techniques utilized by the Trust, please see The Benefits and Risks of Leveraging on page 12.
| The table below summarizes the changes in the Trust’s market price and NAV per share: | |||||
| 2/28/10 | 8/31/09 | Change | High | Low | |
| Market Price | $14.64 | $15.35 | (4.63)% | $16.98 | $13.73 |
| Net Asset Value | $14.63 | $13.81 | 5.94% | $14.82 | $13.81 |
| The following charts show the sector and credit quality allocations of the Trust’s long-term investments: | |||||
| Sector Allocations | ||
| 2/28/10 | 8/31/09 | |
| County/City/Special District/ | ||
| School District | 26% | 25% |
| Transportation | 20 | 19 |
| Health | 18 | 19 |
| Education | 10 | 11 |
| Utilities | 10 | 13 |
| Housing | 9 | 6 |
| State | 3 | 3 |
| Tobacco | 3 | 3 |
| Corporate | 1 | 1 |
| Credit Quality Allocations5 | ||
| 2/28/10 | 8/31/09 | |
| AAA/Aaa | 26% | 29% |
| AA/Aa | 19 | 17 |
| A | 37 | 39 |
| BBB/Baa | 7 | 6 |
| Not Rated | 11 | 9 |
| 5 Using the higher of S&P’s or Moody’s ratings. | ||
4 SEMI-ANNUAL REPORT FEBRUARY 28, 2010
Trust Summary as of February 28, 2010 BlackRock MuniHoldings New York Insured Fund, Inc.
Investment Objective
BlackRock MuniHoldings New York Insured Fund, Inc. (MHN) (the “Trust”) seeks to provide shareholders with current income exempt from federal income
taxes and New York State and New York City personal income taxes by investing primarily in a portfolio of long-term, investment grade municipal obligations,
the interest on which, in the opinion of bond counsel to the issuer, is exempt from federal income taxes and New York State and New York City personal
income taxes.
No assurance can be given that the Trust’s investment objective will be achieved.
Performance
For the six months ended February 28, 2010, the Trust returned 9.79% based on market price and 7.20% based on NAV. For the same period, the closed-
end Lipper Single-State Insured Municipal Debt Funds category posted an average return of 5.35% on a market price basis and 6.19% on a NAV basis. All
returns reflect reinvestment of dividends. The Trust’s discount to NAV, which narrowed during the period, accounts for the difference between performance
based on price and performance based on NAV. Concentrations in lower-rated bonds and a focus on bonds with longer-dated maturities benefited Trust per-
formance over the six months, as credit spreads continued to tighten and municipal rates declined across the yield curve. Within an overall context of being
neutral to slightly long duration, the Trust pursued opportunities to add positive convexity to the portfolio by adding discount-coupon bonds and greater
call protection. This, too, proved advantageous as these bonds afforded the portfolio slightly greater capital appreciation as the market rallied. On the other
hand, the Trust’s positions in zero-coupon bonds hindered performance as these issues have underperformed the broader municipal market. Also negatively
affecting performance were the Trust’s existing weighting in higher-coupon, cushion bonds, as well as its lack of exposure to tax-backed credits and essential
service credits.
The views expressed reflect the opinions of BlackRock as of the date of this report and are subject to change based on changes in market, economic or other conditions. These
views are not intended to be a forecast of future events and are no guarantee of future results.
Trust Information
| Symbol on New York Stock Exchange (“NYSE”) | MHN |
| Initial Offering Date | September 19, 1997 |
| Yield on Closing Market Price as of February 28, 2010 ($13.73)1 | 5.99% |
| Tax Equivalent Yield2 | 9.22% |
| Current Monthly Distribution per Common Share3 | $0.0685 |
| Current Annualized Distribution per Common Share3 | $0.8220 |
| Leverage as of February 28, 20104 | 42% |
1 Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance
does not guarantee future results.
2 Tax equivalent yield assumes the maximum federal tax rate of 35%.
3 The Monthly Distribution per Common Share, declared on March 1, 2010 was increased to $0.076. The Yield on Closing Market Price, Current
Monthly Distribution per Common Share and Current Annualized Distribution per Common Share do not reflect the new distribution rate. The new dis-
tribution rate is not constant and is subject to change.
4 Represents Preferred Shares and TOBs as a percentage of total managed assets, which is the total assets of the Trust, including any assets attribu-
table to Preferred Shares and TOBs, minus the sum of accrued liabilities. For a discussion of leveraging techniques utilized by the Trust, please see
The Benefits and Risks of Leveraging on page 12.
The table below summarizes the changes in the Trust’s market price and NAV per share:
| 2/28/10 | 8/31/09 | Change | High | Low | |
| Market Price | $13.73 | $12.89 | 6.52% | $13.98 | $12.64 |
| Net Asset Value | $14.29 | $13.74 | 4.00% | $14.69 | $13.74 |
| The following charts show the sector and credit quality allocations of the Trust’s long-term investments: | |||||
| Sector Allocations | ||
| 2/28/10 | 8/31/09 | |
| Transportation | 29% | 27% |
| County/City/Special District/ | ||
| School District | 26 | 27 |
| State | 11 | 11 |
| Utilities | 10 | 10 |
| Education | 8 | 7 |
| Corporate | 6 | 7 |
| Health | 4 | 5 |
| Housing | 3 | 3 |
| Tobacco | 3 | 3 |
| Credit Quality Allocations5 | ||
| 2/28/10 | 8/31/09 | |
| AAA/Aaa | 41% | 43% |
| AA/Aa | 20 | 18 |
| A | 29 | 28 |
| BBB/Baa | 5 | 8 |
| BB/Ba | 4 | — |
| Not Rated | 1 | 36 |
| 5 Using the higher of S&P’s or Moody’s ratings. | ||
| 6 The investment advisor has deemed certain of these non-rated | ||
| securities to be of investment grade quality. As of August 31, 2009, | ||
| the market value of these securities was $18,918,142 representing | ||
| 3% of the Trust’s long-term investments. | ||
SEMI-ANNUAL REPORT FEBRUARY 28, 2010 5
Trust Summary as of February 28, 2010 BlackRock New Jersey Municipal Bond Trust
Investment Objective
BlackRock New Jersey Municipal Bond Trust (BLJ) (the “Trust”) seeks to provide current income exempt from regular federal income taxes and New Jersey
gross income taxes. Under normal market conditions, the Trust will invest at least 80% of its managed assets in municipal bonds that are investment grade
quality, or determined by its investment advisor to be of equivalent credit quality at the time of purchase. The Trust may invest up to 20% of its total assets
in municipal bonds that are rated, at the time of investment, Ba/BB or B by Moody’s, S&P or Fitch or that are unrated but judged to be of comparable
quality by BlackRock.
No assurance can be given that the Trust’s investment objective will be achieved.
Performance
For the six months ended February 28, 2010, the Trust returned 8.86% based on market price and 9.04% based on NAV. For the same period, the closed-
end Lipper New Jersey Municipal Debt Funds category posted an average return of 7.40% on a market price basis and 7.44% on a NAV basis. All returns
reflect reinvestment of dividends. The Trust’s premium to NAV, which narrowed during the period, accounts for the difference between performance based on
price and performance based on NAV. The Trust held a higher concentration in health care and housing bonds with maturities of 20 years and longer, which
benefited performance as the municipal yield curve flattened during the last six months. The Trust’s slightly higher concentration in zero-coupon bonds
detracted from performance during the period. The Trust’s cash allocation also hampered results as cash equivalents are currently trading at record-low
yields and, consequently, detracted from income.
The views expressed reflect the opinions of BlackRock as of the date of this report and are subject to change based on changes in market, economic or other conditions. These
views are not intended to be a forecast of future events and are no guarantee of future results.
Trust Information
| Symbol on NYSE Amex | BLJ |
| Initial Offering Date | April 30, 2002 |
| Yield on Closing Market Price as of February 28, 2010 ($14.32)1 | 6.33% |
| Tax Equivalent Yield2 | 9.74% |
| Current Monthly Distribution per Common Share3 | $0.0755 |
| Current Annualized Distribution per Common Share3 | $0.9060 |
| Leverage as of February 28, 20104 | 37% |
1 Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance
does not guarantee future results.
2 Tax equivalent yield assumes the maximum federal tax rate of 35%.
3 The Monthly Distribution per Common Share, declared on March 1, 2010, was increased to $0.0780. The Yield on Closing Market Price, Current
Monthly Distribution per Common Share and Current Annualized Distribution per Common Share do not reflect the new distribution rate. The new dis-
tribution rate is not constant and is subject to change in the future.
4 Represents Preferred Shares and TOBs as a percentage of total managed assets, which is the total assets of the Trust, including any assets attribu-
table to Preferred Shares and TOBs, minus the sum of accrued liabilities. For a discussion of leveraging techniques utilized by the Trust, please see
The Benefits and Risks of Leveraging on page 12.
The table below summarizes the changes in the Trust’s market price and NAV per share:
| 2/28/10 | 8/31/09 | Change | High | Low | |
| Market Price | $14.32 | $13.59 | 5.37% | $15.00 | $13.59 |
| Net Asset Value | $14.28 | $13.53 | 5.54% | $14.68 | $13.53 |
The following charts show the sector and credit quality allocations of the Trust’s long-term investments:
| Sector Allocations | ||
| 2/28/10 | 8/31/09 | |
| State | 21% | 23% |
| Health | 18 | 23 |
| Transportation | 15 | 16 |
| Housing | 12 | 11 |
| Education | 10 | 7 |
| County/City/Special District/ | ||
| School District | 9 | 9 |
| Corporate | 8 | 6 |
| Utilities | 6 | 4 |
| Tobacco | 1 | 1 |
| Credit Quality Allocations5 | ||
| 2/28/10 | 8/31/09 | |
| AAA/Aaa | 25% | 40% |
| AA/Aa | 22 | 18 |
| A | 30 | 16 |
| BBB/Baa | 11 | 14 |
| BB/Ba | 2 | — |
| B | 5 | 4 |
| Not Rated | 56 | 8 |
| 5 Using the higher of S&P’s or Moody’s ratings. | ||
| 6 The investment advisor has deemed certain of these non-rated | ||
| securities to be of investment grade quality. As of February 28, 2010, | ||
| the market value of these securities was $982,960 representing 2% | ||
| of the Trust’s long-term investments. | ||
6 SEMI-ANNUAL REPORT FEBRUARY 28, 2010
Trust Summary as of February 28, 2010 BlackRock New York Insured Municipal Income Trust
Investment Objective
BlackRock New York Insured Municipal Income Trust (BSE) (the “Trust”) seeks to provide high current income exempt from regular federal income taxes
and New York State and New York City personal income taxes. The Trust will invest at least 80% of its managed assets in municipal obligations that are
insured as to the timely payment of both principal and interest.
No assurance can be given that the Trust’s investment objective will be achieved.
Performance
For the six months ended February 28, 2010, the Trust returned 7.91% based on market price and 6.54% based on NAV. For the same period, the closed-
end Lipper Single-State Insured Municipal Debt Funds category posted an average return of 5.35% on a market price basis and 6.19% on a NAV basis. All
returns reflect reinvestment of dividends. The Trust’s discount to NAV, which narrowed during the period, accounts for the difference between performance
based on price and performance based on NAV. Concentrations in lower-rated bonds and a focus on bonds with longer-dated maturities benefited Trust per-
formance over the six months, as credit spreads continued to tighten and municipal rates declined across the yield curve. Within an overall context of being
neutral to slightly long duration, the Trust pursued opportunities to add positive convexity to the portfolio by adding discount-coupon bonds and greater call
protection. This, too, proved advantageous as these bonds afforded the portfolio slightly greater capital appreciation as the market rallied. On the other
hand, the Trust’s positions in zero-coupon bonds hindered performance as these issues have underperformed the broader municipal market. Also negatively
affecting performance were the Trust’s existing weighting in higher-coupon, cushion bonds, as well as its lack of exposure to tax-backed credits and essential
service credits.
The views expressed reflect the opinions of BlackRock as of the date of this report and are subject to change based on changes in market, economic or other conditions. These
views are not intended to be a forecast of future events and are no guarantee of future results.
Trust Information
| Symbol on NYSE | BSE |
| Initial Offering Date | October 31, 2002 |
| Yield on Closing Market Price as of February 28, 2010 ($13.79)1 | 5.70% |
| Tax Equivalent Yield2 | 8.77% |
| Current Monthly Distribution per Common Share3 | $0.0655 |
| Current Annualized Distribution per Common Share3 | $0.7860 |
| Leverage as of February 28, 20104 | 36% |
1 Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance
does not guarantee future results.
2 Tax equivalent yield assumes the maximum federal tax rate of 35%.
3 The Monthly Distribution per Common Share, declared on March 1, 2010, was increased to $0.0705. The Yield on Closing Market Price, Current
Monthly Distribution per Common Share and Current Annualized Distribution per Common Share do not reflect the new distribution rate. The new dis-
tribution rate is not constant and is subject to change in the future.
4 Represents Preferred Shares and TOBs as a percentage of total managed assets, which is the total assets of the Trust, including any assets attribu-
table to Preferred Shares and TOBs, minus the sum of accrued liabilities. For a discussion of leveraging techniques utilized by the Trust, please see
The Benefits and Risks of Leveraging on page 12.
The table below summarizes the changes in the Trust’s market price and NAV per share:
| 2/28/10 | 8/31/09 | Change | High | Low | |
| Market Price | $13.79 | $13.15 | 4.87% | $14.75 | $12.84 |
| Net Asset Value | $14.09 | $13.61 | 3.53% | $14.51 | $13.61 |
The following charts show the sector and credit quality allocations of the Trust’s long-term investments:
| Sector Allocations | ||
| 2/28/10 | 8/31/09 | |
| Transportation | 27% | 26% |
| Education | 23 | 22 |
| County/City/Special District/ | ||
| School District | 18 | 19 |
| Health | 13 | 14 |
| State | 10 | 10 |
| Utilities | 8 | 8 |
| Corporate | 1 | 1 |
| Credit Quality Allocations5 | ||
| 2/28/10 | 8/31/09 | |
| AAA/Aaa | 31% | 30% |
| AA/Aa | 18 | 21 |
| A | 31 | 29 |
| BBB/Baa | 8 | 9 |
| BB/Ba | 2 | — |
| Not Rated6 | 10 | 11 |
| 5 Using the higher of S&P’s or Moody’s ratings. | ||
| 6 The investment advisor has deemed certain of these non-rated | ||
| securities to be of investment grade quality. As of February 28, 2010 | ||
| and August 31, 2009, the market value of these securities was | ||
| $13,865,254 representing 10% and $13,920,865 representing | ||
| 10%, respectively, of the Trust’s long-term investments. | ||
SEMI-ANNUAL REPORT FEBRUARY 28, 2010 7
Trust Summary as of February 28, 2010 BlackRock New York Municipal Bond Trust
Investment Objective
BlackRock New York Municipal Bond Trust (BQH) (the “Trust”) seeks to provide current income exempt from regular federal income taxes and New York State
and New York City personal income taxes. Under normal market conditions, the Trust will invest at least 80% of its managed assets in municipal bonds that
are investment grade quality, or determined by its investment advisor to be of equivalent credit quality at the time of purchase. The Trust may invest up to
20% of its total assets in municipal bonds that are rated, at the time of investment, Ba/BB or B by Moody’s, S&P or Fitch or that are unrated but judged
to be of comparable quality by BlackRock.
No assurance can be given that the Trust’s investment objective will be achieved.
Performance
For the six months ended February 28, 2010, the Trust returned 6.94% based on market price and 7.03% based on NAV. For the same period, the closed-
end Lipper New York Municipal Debt Funds category posted an average return of 5.59% on a market price basis and 7.34% on a NAV basis. All returns
reflect reinvestment of dividends. The Trust's discount to NAV, which widened during the period, accounts for the difference between performance based on
price and performance based on NAV. Concentrations in lower-rated bonds and a focus on bonds with longer-dated maturities benefited Trust performance
over the six months, as credit spreads continued to tighten and municipal rates declined across the yield curve. Within an overall context of being neutral
to slightly long duration, the Trust pursued opportunities to add positive convexity to the portfolio by adding discount-coupon bonds and greater call protec-
tion. This, too, proved advantageous as these bonds afforded the portfolio slightly greater capital appreciation as the market rallied. On the other hand, the
Trust’s positions in zero-coupon bonds hindered performance as these issues have underperformed the broader municipal market. Also negatively affecting
performance were the Trust’s existing weighting in higher-coupon, cushion bonds, as well as its lack of exposure to tax-backed credits and essential
service credits.
The views expressed reflect the opinions of BlackRock as of the date of this report and are subject to change based on changes in market, economic or other conditions. These
views are not intended to be a forecast of future events and are no guarantee of future results.
Trust Information
| Symbol on NYSE | BQH |
| Initial Offering Date | April 30, 2002 |
| Yield on Closing Market Price as of February 28, 2010 ($14.75)1 | 6.35% |
| Tax Equivalent Yield2 | 9.77% |
| Current Monthly Distribution per Common Share3 | $0.078 |
| Current Annualized Distribution per Common Share3 | $0.936 |
| Leverage as of February 28, 20104 | 36% |
1 Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance
does not guarantee future results.
2 Tax equivalent yield assumes the maximum federal tax rate of 35%.
3 The Monthly Distribution per Common Share, declared on March 1, 2010, was increased to $0.0805. The Yield on Closing Market Price, Current
Monthly Distribution per Common Share and Current Annualized Distribution per Common Share do not reflect the new distribution rate. The new dis-
tribution rate is not constant and is subject to change in the future.
4 Represents Preferred Shares and TOBs as a percentage of total managed assets, which is the total assets of the Trust, including any assets attribu-
table to Preferred Shares and TOBs, minus the sum of accrued liabilities. For a discussion of leveraging techniques utilized by the Trust, please see
The Benefits and Risks of Leveraging on page 12.
The table below summarizes the changes in the Trust’s market price and NAV per share:
| 2/28/10 | 8/31/09 | Change | High | Low | |
| Market Price | $14.75 | $14.32 | 3.00% | $17.05 | $14.19 |
| Net Asset Value | $15.01 | $14.56 | 3.09% | $15.53 | $14.56 |
| The following charts show the sector and credit quality allocations of the Trust’s long-term investments: | |||||
| Sector Allocations | ||
| 2/28/10 | 8/31/09 | |
| State | 21% | 22% |
| County/City/Special District/ | ||
| School District | 16 | 14 |
| Education | 13 | 13 |
| Housing | 13 | 13 |
| Corporate | 10 | 8 |
| Utilities | 9 | 9 |
| Transportation | 8 | 12 |
| Tobacco | 6 | 6 |
| Health | 4 | 3 |
| Credit Quality Allocations5 | ||
| 2/28/10 | 8/31/09 | |
| AAA/Aaa | 32% | 28% |
| AA/Aa | 23 | 28 |
| A | 18 | 17 |
| BBB/Baa | 19 | 18 |
| BB/Ba | 1 | 1 |
| B | 6 | 7 |
| Not Rated | 1 | 1 |
| 5 Using the higher of S&P’s or Moody’s ratings. | ||
8 SEMI-ANNUAL REPORT FEBRUARY 28, 2010
Trust Summary as of February 28, 2010 BlackRock New York Municipal Income Trust II
Investment Objective
BlackRock New York Municipal Income Trust II (BFY) (the “Trust”) seeks to provide high current income exempt from regular federal income taxes and New
York State and New York City personal income taxes. Under normal market conditions, the Trust will invest at least 80% of its managed assets in municipal
bonds that are investment grade quality, or determined by its investment advisor to be of equivalent credit quality at the time of purchase. The Trust may invest
up to 20% of its total assets in municipal bonds that are rated, at the time of investment, Ba/BB or B by Moody’s, S&P or Fitch or that are unrated but judged
to be of comparable quality by BlackRock.
No assurance can be given that the Trust’s investment objective will be achieved.
Performance
For the six months ended February 28, 2010, the Trust returned 6.69% based on market price and 7.49% based on NAV. For the same period, the closed-
end Lipper New York Municipal Debt Funds category posted an average return of 5.59% on a market price basis and 7.34% on a NAV basis. All returns
reflect reinvestment of dividends. The Trust’s discount to NAV, which widened during the period, accounts for the difference between performance based on
price and performance based on NAV. Concentrations in lower-rated bonds and a focus on bonds with longer-dated maturities benefited Trust performance
over the six months, as credit spreads continued to tighten and municipal rates declined across the yield curve. Within an overall context of being neutral to
slightly long duration, the Trust pursued opportunities to add positive convexity to the portfolio by adding discount-coupon bonds and greater call protection.
This, too, proved advantageous as these bonds afforded the portfolio slightly greater capital appreciation as the market rallied. On the other hand, the Trust’s
positions in zero-coupon bonds hindered performance as these issues have underperformed the broader municipal market. Also negatively affecting per-
formance were the Trust’s existing weighting in higher-coupon, cushion bonds, as well as its lack of exposure to tax-backed credits and essential service
credits.
The views expressed reflect the opinions of BlackRock as of the date of this report and are subject to change based on changes in market, economic or other conditions. These
views are not intended to be a forecast of future events and are no guarantee of future results.
Trust Information
| Symbol on NYSE Amex | BFY |
| Initial Offering Date | July 30, 2002 |
| Yield on Closing Market Price as of February 28, 2010 ($14.45)1 | 6.64% |
| Tax Equivalent Yield2 | 10.22% |
| Current Monthly Distribution per Common Share3 | $0.08 |
| Current Annualized Distribution per Common Share3 | $0.96 |
| Leverage as of February 28, 20104 | 38% |
1 Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance
does not guarantee future results.
2 Tax equivalent yield assumes the maximum federal tax rate of 35%.
3 The distribution is not constant and is subject to change.
4 Represents Preferred Shares and TOBs as a percentage of total managed assets, which is the total assets of the Trust, including any assets attribu-
table to Preferred Shares and TOBs, minus the sum of accrued liabilities. For a discussion of leveraging techniques utilized by the Trust, please see
The Benefits and Risks of Leveraging on page 12.
The table below summarizes the changes in the Trust’s market price and NAV per share:
| 2/28/10 | 8/31/09 | Change | High | Low | |
| Market Price | $14.45 | $14.00 | 3.21% | $15.33 | $13.63 |
| Net Asset Value | $14.59 | $14.03 | 3.99% | $14.99 | $14.03 |
| The following charts show the sector and credit quality allocations of the Trust’s long-term investments: | |||||
| Sector Allocations | ||
| 2/28/10 | 8/31/09 | |
| County/City/Special District/ | ||
| School District | 19% | 22% |
| Corporate | 15 | 14 |
| Education | 15 | 16 |
| Transportation | 14 | 11 |
| Health | 10 | 10 |
| Utilities | 9 | 9 |
| Tobacco | 7 | 8 |
| Housing | 7 | 6 |
| State | 4 | 4 |
| Credit Quality Allocations5 | ||
| 2/28/10 | 8/31/09 | |
| AAA/Aaa | 25% | 26% |
| AA/Aa | 24 | 27 |
| A | 28 | 23 |
| BBB/Baa | 11 | 10 |
| BB/Ba | 3 | 1 |
| B | 6 | 6 |
| Not Rated6 | 3 | 7 |
| 5 Using the higher of S&P’s or Moody’s ratings. | ||
| 6 The investment advisor has deemed certain of these non-rated | ||
| securities to be of investment grade quality. As of February 28, 2010 | ||
| and August 31, 2009, the market value of these securities was | ||
| $1,517,730 representing 1% and $6,645,970 representing 6%, | ||
| respectively, of the Trust’s long-term investments. | ||
SEMI-ANNUAL REPORT FEBRUARY 28, 2010 9
Trust Summary as of February 28, 2010 BlackRock Virginia Municipal Bond Trust
Investment Objective
BlackRock Virginia Municipal Bond Trust (BHV) (the “Trust”) seeks to provide current income exempt from regular federal income taxes and Virginia per-
sonal income taxes. Under normal market conditions, the Trust will invest at least 80% of its managed assets in municipal bonds that are investment grade
quality, or determined by its investment advisor to be of equivalent credit quality at time of purchase. The Trust may invest up to 20% of its total assets in
municipal bonds that are rated, at the time of investment, Ba/BB or B by Moody’s, S&P or Fitch or that are unrated but judged to be of comparable quality
by BlackRock.
No assurance can be given that the Trust’s investment objective will be achieved.
Performance
For the six months ended February 28, 2010, the Trust returned 14.56% based on market price and 6.64% based on NAV. For the same period, the
closed-end Lipper Other States Municipal Debt Funds category posted an average return of 7.90% on a market price basis and 7.08% on a NAV basis.
All returns reflect reinvestment of dividends. The Trust’s premium to NAV, which widened during the period, accounts for the difference between perform-
ance based on price and performance based on NAV. The Trust benefited from our effort to increase the portfolio weighting in interest-rate-sensitive bonds
as tax-exempt, thirty-year interest rates rallied 25 basis points (0.25%) lower for the six months. A greater weighting in the transportation and corporate
municipal sectors also contributed to performance as credit spreads generally tightened in these sectors during the period. Conversely, a low weighting in
Virginia tax-backed bonds detracted from performance. As available Virginia tax-exempt supply continues to wane, demand for specialty state paper, such
as Virginia, has driven the positive performance of this sector.
The views expressed reflect the opinions of BlackRock as of the date of this report and are subject to change based on changes in market, economic or other conditions. These
views are not intended to be a forecast of future events and are no guarantee of future results.
Trust Information
| Symbol on NYSE Amex | BHV |
| Initial Offering Date | April 30, 2002 |
| Yield on Closing Market Price as of February 28, 2010 ($19.20)1 | 5.00% |
| Tax Equivalent Yield2 | 7.69% |
| Current Monthly Distribution per Common Share3 | $0.08 |
| Current Annualized Distribution per Common Share3 | $0.96 |
| Leverage as of February 28, 20104 | 35% |
1 Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance
does not guarantee future results.
2 Tax equivalent yield assumes the maximum federal tax rate of 35%.
3 The distribution is not constant and is subject to change.
4 Represents Preferred Shares and TOBs as a percentage of total managed assets, which is the total assets of the Trust, including any assets attribu-
table to Preferred Shares and TOBs, minus the sum of accrued liabilities. For a discussion of leveraging techniques utilized by the Trust, please see
The Benefits and Risks of Leveraging on page 12.
The table below summarizes the changes in the Trust’s market price and NAV per share:
| 2/28/10 | 8/31/09 | Change | High | Low | |
| Market Price | $19.20 | $17.50 | 9.71% | $19.20 | $16.85 |
| Net Asset Value | $15.37 | $15.05 | 2.13% | $15.96 | $15.05 |
| The following charts show the sector and credit quality allocations of the Trust’s long-term investments: | |||||
| Sector Allocations | ||
| 2/28/10 | 8/31/09 | |
| Health | 18% | 15% |
| Housing | 16 | 16 |
| Transportation | 14 | 13 |
| County/City/Special District/ | ||
| School District | 12 | 17 |
| Utilities | 11 | 11 |
| Education | 11 | 11 |
| Corporate | 9 | 9 |
| State | 6 | 5 |
| Tobacco | 3 | 3 |
| Credit Quality Allocations5 | ||
| 2/28/10 | 8/31/09 | |
| AAA/Aaa | 28% | 22% |
| AA/Aa | 29 | 37 |
| A | 20 | 19 |
| BBB/Baa | 9 | 7 |
| Not Rated6 | 14 | 15 |
| 5 Using the higher of S&P’s or Moody’s ratings. | ||
| 6 The investment advisor has deemed certain of these non-rated | ||
| securities to be of investment grade quality. As of February 28, 2010 | ||
| and August 31, 2009, the market value of these securities was | ||
| $2,669,390 representing 7% and $2,170,858 representing 6%, | ||
| respectively, of the Trust’s long-term investments. | ||
10 SEMI-ANNUAL REPORT FEBRUARY 28, 2010
Trust Summary as of February 28, 2010 The Massachusetts Health & Education Tax-Exempt Trust
Investment Objective
The Massachusetts Health & Education Tax-Exempt Trust (MHE) (the “Trust”) seeks to provide shareholders with as high a level of current income exempt from
both regular federal income taxes and Massachusetts personal income taxes as is consistent with the preservation of shareholders’ capital. The Trust seeks to
achieve its investment objective by investing primarily in Massachusetts tax-exempt obligations issued on behalf of participating not-for-profit institutions. The
Trust will continue to invest primarily in investment-grade obligations. The Trust is intended to be a long-term investment and not a short-term trading vehicle.
No assurance can be given that the Trust’s investment objective will be achieved.
Performance
For the six months ended February 28, 2010, the Trust returned 10.05% based on market price and 7.66% based on NAV. For the same period, the closed-
end Lipper Other States Municipal Debt Funds category posted an average return of 7.90% on a market price basis and 7.08% on a NAV basis. All returns
reflect reinvestment of dividends. The Trust moved from a discount to NAV to a premium by period-end, which accounts for the difference between perform-
ance based on price and performance based on NAV. The Trust maintained a higher exposure to health care and education bonds with maturities of 20
years and longer, which benefited performance as the municipal yield curve flattened during the last six months. A lower concentration in housing bonds
detracted from the Trust’s performance.
The views expressed reflect the opinions of BlackRock as of the date of this report and are subject to change based on changes in market, economic or other conditions. These
views are not intended to be a forecast of future events and are no guarantee of future results.
Trust Information
| Symbol on NYSE Amex | MHE |
| Initial Offering Date | July 23, 1993 |
| Yield on Closing Market Price as of February 28, 2010 ($12.77)1 | 6.06% |
| Tax Equivalent Yield2 | 9.32% |
| Current Monthly Distribution per Common Share3 | $0.0645 |
| Current Annualized Distribution per Common Share3 | $0.7740 |
| Leverage as of February 28, 20104 | 40% |
1 Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance
does not guarantee future results.
2 Tax equivalent yield assumes the maximum federal tax rate of 35%.
3 The Monthly Distribution per Common Share, declared on March 1, 2010, was increased to $0.0685. The Yield on Closing Market Price, Current
Monthly Distribution per Common Share and Current Annualized Distribution per Common Share do not reflect the new distribution rate. The new dis-
tribution rate is not constant and is subject to change in the future.
4 Represents Preferred Shares and TOBs as a percentage of total managed assets, which is the total assets of the Trust, including any assets attribu-
table to Preferred Shares and TOBs, minus the sum of accrued liabilities. For a discussion of leveraging techniques utilized by the Trust, please see
The Benefits and Risks of Leveraging on page 12.
The table below summarizes the changes in the Trust’s market price and NAV per share:
| 2/28/10 | 8/31/09 | Change | High | Low | |
| Market Price | $12.77 | $12.00 | 6.42% | $13.05 | $11.45 |
| Net Asset Value | $12.69 | $12.19 | 4.10% | $13.12 | $12.19 |
| The following charts show the sector and credit quality allocations of the Trust’s long-term investments: | |||||
| Sector Allocations | ||
| 2/28/10 | 8/31/09 | |
| Education | 54% | 62% |
| Health | 27 | 24 |
| State | 10 | 10 |
| Utilities | 3 | — |
| Housing | 3 | 3 |
| Corporate | 3 | 1 |
| Credit Quality Allocations5 | ||
| 2/28/10 | 8/31/09 | |
| AAA/Aaa | 20% | 26% |
| AA/Aa | 25 | 15 |
| A | 31 | 34 |
| BBB/Baa | 12 | 12 |
| B | — | 1 |
| Not Rated6 | 12 | 12 |
| 5 Using the higher of S&P’s or Moody’s ratings. | ||
| 6 The investment advisor has deemed certain of these non-rated | ||
| securities to be of investment grade quality. As of February 28, 2010 | ||
| and August 31, 2009, the market value of these securities was | ||
| $3,152,533 representing 7% and $2,117,414 representing 5%, | ||
| respectively, of the Trust’s long-term investments. | ||
SEMI-ANNUAL REPORT FEBRUARY 28, 2010 11
The Benefits and Risks of Leveraging
The Trusts may utilize leverage to seek to enhance the yield and NAV of
their Common Shares. However, these objectives cannot be achieved in all
interest rate environments.
To leverage, the Trusts issue Preferred Shares, which pay dividends at pre-
vailing short-term interest rates, and invest the proceeds in long-term
municipal bonds. In general, the concept of leveraging is based on the
premise that the cost of assets to be obtained from leverage will be based
on short-term interest rates, which normally will be lower than the income
earned by each Trust on its longer-term portfolio investments. To the extent
that the total assets of each Trust (including the assets obtained from
leverage) are invested in higher-yielding portfolio investments, each Trust’s
Common Shareholders will benefit from the incremental net income.
To illustrate these concepts, assume a Trust’s Common Shares capitaliza-
tion is $100 million and it issues Preferred Shares for an additional $50
million, creating a total value of $150 million available for investment in
long-term municipal bonds. If prevailing short-term interest rates are 3%
and long-term interest rates are 6%, the yield curve has a strongly positive
slope. In this case, the Trust pays dividends on the $50 million of Preferred
Shares based on the lower short-term interest rates. At the same time, the
securities purchased by the Trust with assets received from Preferred
Shares issuance earn the income based on long-term interest rates. In
this case, the dividends paid to Preferred Shareholders are significantly
lower than the income earned on the Trust’s long-term investments, and
therefore the Common Shareholders are the beneficiaries of the incremen-
tal net income.
If short-term interest rates rise, narrowing the differential between short-
term and long-term interest rates, the incremental net income pickup on
the Common Shares will be reduced or eliminated completely. Furthermore,
if prevailing short-term interest rates rise above long-term interest rates of
6%, the yield curve has a negative slope. In this case, the Trust pays divi-
dends on the higher short-term interest rates whereas the Trust’s total port-
folio earns income based on lower long-term interest rates.
Furthermore, the value of the Trusts’ portfolio investments generally varies
inversely with the direction of long-term interest rates, although other
factors can influence the value of portfolio investments. In contrast, the
redemption value of the Trusts’ Preferred Shares does not fluctuate in rela-
tion to interest rates. As a result, changes in interest rates can influence the
Trusts’ NAV positively or negatively in addition to the impact on Trust per-
formance from leverage from Preferred Shares discussed above.
The Trusts may also leverage their assets through the use of tender option
bond (“TOB”) programs, as described in Note 1 of the Notes to Financial
Statements. TOB investments generally will provide the Trusts with economic
benefits in periods of declining short-term interest rates, but expose the
Trusts to risks during periods of rising short-term interest rates similar to
those associated with Preferred Shares issued by the Trusts, as described
above. Additionally, fluctuations in the market value of municipal bonds
deposited into the TOB trust may adversely affect each Trust’s NAV
per share.
The use of leverage may enhance opportunities for increased income to the
Trusts and Common Shareholders, but as described above, it also creates
risks as short- or long-term interest rates fluctuate. Leverage also will gen-
erally cause greater changes in the Trusts’ NAVs, market price and dividend
rate than a comparable portfolio without leverage. If the income derived
from securities purchased with assets received from leverage exceeds the
cost of leverage, the Trusts’ net income will be greater than if leverage had
not been used. Conversely, if the income from the securities purchased is
not sufficient to cover the cost of leverage, the Trusts’ net income will be
less than if leverage had not been used, and therefore the amount avail-
able for distribution to Common Shareholders will be reduced. Each Trust
may be required to sell portfolio securities at inopportune times or at dis-
tressed values in order to comply with regulatory requirements applicable
to the use of leverage or as required by the terms of leverage instruments,
which may cause a Trust to incur losses. The use of leverage may limit each
Trust’s ability to invest in certain types of securities or use certain types of
hedging strategies, such as in the case of certain restrictions imposed by
ratings agencies that rate preferred shares issued by the Trusts. Each Trust
will incur expenses in connection with the use of leverage, all of which are
borne by Common Shareholders and may reduce income to the
Common Shares.
Under the Investment Company Act of 1940, the Trusts are permitted to
issue Preferred Shares in an amount of up to 50% of their total managed
assets at the time of issuance. Under normal circumstances, each Trust
anticipates that the total economic leverage from Preferred Shares and/or
TOBs will not exceed 50% of its total managed assets at the time such
leverage is incurred. As of February 28, 2010, the Trusts had economic
leverage from Preferred Shares and/or TOBs as a percentage of their total
managed assets as follows:
| Percent of | |
| Leverage | |
| BZM | 37% |
| MHN | 42% |
| BLJ | 37% |
| BSE | 36% |
| BQH | 36% |
| BFY | 38% |
| BHV | 35% |
| MHE | 40% |
12 SEMI-ANNUAL REPORT FEBRUARY 28, 2010
Derivative Financial Instruments
The Trusts may invest in various derivative instruments, including financial
futures contracts, as specified in Note 2 of the Notes to Financial State-
ments, which constitute forms of economic leverage. Such instruments
are used to obtain exposure to a market without owning or taking physical
custody of securities or to hedge market and/or interest rate risks. Such
derivative instruments involve risks, including the imperfect correlation
between the value of a derivative instrument and the underlying asset,
possible default of the counterparty to the transaction or illiquidity of the
derivative instrument. The Trusts’ ability to successfully use a derivative
instrument depends on the investment advisor’s ability to accurately
predict pertinent market movements, which cannot be assured. The use
of derivative instruments may result in losses greater than if they had not
been used, may require a Trust to sell or purchase portfolio securities at
inopportune times or for distressed values, may limit the amount of appre-
ciation a Trust can realize on an investment or may cause a Trust to hold
a security that it might otherwise sell. The Trusts’ investments in these
instruments are discussed in detail in the Notes to Financial Statements.
SEMI-ANNUAL REPORT FEBRUARY 28, 2010 13
Schedule of Investments February 28, 2010 (Unaudited)
BlackRock Maryland Municipal Bond Trust (BZM)
(Percentages shown are based on Net Assets)
| Par | |||
| Municipal Bonds | (000) | Value | |
| Maryland — 115.0% | |||
| Corporate — 1.0% | |||
| Maryland EDC, Refunding RB, Potomac Electric | |||
| Power Co., 6.20%, 9/01/22 | $ 250 | $ 285,987 | |
| County/City/Special District/School District — 39.0% | |||
| City of Annapolis Maryland, Tax Allocation Bonds, | |||
| Park Place Project, Series A, 5.35%, 7/01/34 | 495 | 401,109 | |
| City of Baltimore Maryland, Special Tax Bonds, Special | |||
| Obligation, Harborview Lot No. 2, 6.50%, 7/01/31 | 993 | 944,601 | |
| County of Anne Arundel Maryland, RB, Community | |||
| College Project, 5.25%, 9/01/28 | 1,870 | 1,899,976 | |
| County of Baltimore Maryland, GO, Metropolitan District: | |||
| 67th Issue, 5.00%, 6/01/22 | 2,000 | 2,067,200 | |
| 68th Issue, 5.00%, 8/01/28 | 2,000 | 2,084,920 | |
| County of Frederick Maryland, Special Tax Bonds, | |||
| Urbana Community Development Authority, | |||
| 6.63%, 7/01/25 | 1,000 | 1,000,020 | |
| County of Montgomery Maryland, RB, Metrorail | |||
| Garage Projects: | |||
| 5.00%, 6/01/23 | 500 | 531,285 | |
| 5.00%, 6/01/24 | 1,435 | 1,524,788 | |
| County of Prince George’s Maryland, SO, National | |||
| Harbor Project, 5.20%, 7/01/34 | 1,500 | 1,274,070 | |
| 11,727,969 | |||
| Education — 16.4% | |||
| Maryland Health & Higher Educational Facilities | |||
| Authority, RB: | |||
| Board of Child Care, 5.38%, 7/01/32 | 2,000 | 2,014,520 | |
| Loyola College Issue, 5.00%, 10/01/39 | 2,000 | 2,000,020 | |
| Maryland Industrial Development Financing Authority, | |||
| RB, Our Lady of Good Counsel School, Series A, | |||
| 6.00%, 5/01/35 | 1,000 | 927,850 | |
| 4,942,390 | |||
| Health — 28.4% | |||
| County of Baltimore Maryland, Refunding RB, Oak Crest | |||
| Village Inc. Facility, Series A, 5.00%, 1/01/37 | 1,000 | 874,550 | |
| County of Howard Maryland, Refunding RB, Vantage | |||
| House Facility, Series A, 5.25%, 4/01/33 | 500 | 382,265 | |
| Gaithersburg Maryland, Refunding RB, Asbury Maryland | |||
| Obligation, Series B, 6.00%, 1/01/23 | 250 | 253,315 | |
| Maryland Health & Higher Educational Facilities | |||
| Authority, RB: | |||
| Anne Arundel Health System, 5.00%, 7/01/40 | 1,000 | 968,090 | |
| Carroll County General Hospital, 6.00%, 7/01/37 | 1,990 | 2,024,586 | |
| Peninsula Regional Medical Center, 5.00%, 7/01/36 | 1,000 | 1,010,770 | |
| Union Hospital of Cecil County Issue, | |||
| 5.63%, 7/01/32 | 2,000 | 2,018,840 | |
| Maryland Health & Higher Educational Facilities | |||
| Authority, Refunding RB, University of Maryland | |||
| Medical System, 5.13%, 7/01/39 | 1,000 | 990,190 | |
| 8,522,606 | |||
| Par | ||
| Municipal Bonds | (000) | Value |
| Maryland (concluded) | ||
| Housing — 6.7% | ||
| Maryland Community Development Administration, RB: | ||
| AMT, 5.10%, 9/01/37 | $ 1,000 | $ 1,002,330 |
| Residential, Series A, 5.05%, 9/01/39 | 500 | 506,555 |
| Residential, Series B, 4.75%, 9/01/39 | 500 | 495,295 |
| 2,004,180 | ||
| Transportation — 8.3% | ||
| Maryland EDC, RB, Transportation Facilities Project, | ||
| Series A, 5.75%, 6/01/35 | 500 | 509,265 |
| Maryland State Transportation Authority, RB, Baltimore/ | ||
| Washington International Airport, Series B, AMT | ||
| (AMBAC), 5.13%, 3/01/24 | 2,000 | 1,991,080 |
| 2,500,345 | ||
| Utilities — 15.2% | ||
| City of Baltimore Maryland, Refunding RB, Wastewater | ||
| Projects, Series A (NPFGC): | ||
| 5.20%, 7/01/32 | 2,500 | 2,562,775 |
| 5.13%, 7/01/42 | 2,000 | 2,015,900 |
| 4,578,675 | ||
| Total Municipal Bonds in Maryland | 34,562,152 | |
| District of Columbia — 3.5% | ||
| Transportation — 3.5% | ||
| Washington Metropolitan Area Transit Authority, RB, | ||
| Transit, Series A, 5.13%, 7/01/32 | 1,000 | 1,055,800 |
| Total Municipal Bonds in District of Columbia | 1,055,800 | |
| Guam — 0.8% | ||
| County/City/Special District/School District — 0.8% | ||
| Territory of Guam, RB, Section 30, Series A, | ||
| 5.63%, 12/01/29 | 250 | 253,068 |
| Total Municipal Bonds in Guam | 253,068 | |
| Multi-State — 7.3% | ||
| Housing — 7.3% | ||
| Centerline Equity Issuer Trust, 7.20%, 10/31/52 (a)(b) | 2,000 | 2,190,940 |
| Total Municipal Bonds in Multi-State | 2,190,940 |
| Portfolio Abbreviations | |||||
| To simplify the listings of portfolio holdings in the | BHAC | Berkshire Hathaway Assurance Corp. | HDA | Housing Development Authority | |
| Schedules of Investments, the names and descriptions of | CAB | Capital Appreciation Bonds | HFA | Housing Finance Agency | |
| many of the securities have been abbreviated according | CIFG | CDC IXIS Financial Guaranty | IDA | Industrial Development Authority | |
| to the following list: | COP | Certificates of Participation | LRB | Lease Revenue Bonds | |
| EDA | Economic Development Authority | MRB | Mortgage Revenue Bonds | ||
| ACA | American Capital Access Corp. | EDC | Economic Development Corp. | NPFGC | National Public Finance Guarantee Corp. |
| AGC | Assured Guaranty Corp. | ERB | Economic Revenue Bonds | PILOT | Payment in Lieu of Taxes |
| AGM | Assured Guaranty Municipal Corp. | FGIC | Financial Guaranty Insurance Co. | RB | Revenue Bonds |
| AMBAC | American Municipal Bond Assurance Corp. | FHA | Federal Housing Administration | S/F | Single-Family |
| AMT | Alternative Minimum Tax (subject to) | FNMA | Federal National Mortgage Association | SO | Special Obligation |
| FSA | Financial Security Assurance Inc. | SONYMA | State of New York Mortgage Agency | ||
| See Notes to Financial Statements. | GO | General Obligation Bonds | VRDN | Variable Rate Demand Notes | |
14 SEMI-ANNUAL REPORT FEBRUARY 28, 2010
Schedule of Investments (concluded)
BlackRock Maryland Municipal Bond Trust (BZM)
(Percentages shown are based on Net Assets)
| Par | ||
| Municipal Bonds | (000) | Value |
| Puerto Rico — 18.0% | ||
| State — 5.2% | ||
| Commonwealth of Puerto Rico, GO, Refunding, Public | ||
| Improvement, Series A-4 (AGM), 5.25%, 7/01/30 | $ 130 | $ 134,338 |
| Puerto Rico Public Buildings Authority, Refunding RB, | ||
| Government Facilities, Series D, 5.38%, 7/01/33 | 350 | 339,784 |
| Puerto Rico Sales Tax Financing Corp., RB, First | ||
| Sub-Series A, 6.38%, 8/01/39 | 1,000 | 1,071,270 |
| 1,545,392 | ||
| Tobacco — 4.3% | ||
| Children’s Trust Fund, Refunding RB, Asset-Backed | ||
| Bonds, 5.50%, 5/15/39 | 1,500 | 1,287,330 |
| Transportation — 8.5% | ||
| Puerto Rico Highway & Transportation Authority, | ||
| Refunding RB: | ||
| Series CC, (AGM), 5.25%, 7/01/36 | 895 | 914,278 |
| Series D, 5.25%, 7/01/12 (c) | 1,500 | 1,646,400 |
| 2,560,678 | ||
| Total Municipal Bonds in Puerto Rico | 5,393,400 | |
| U.S. Virgin Islands — 0.3% | ||
| State — 0.3% | ||
| Virgin Islands Public Finance Authority, RB, Senior Lien, | ||
| Capital Projects, Series A-1, 5.00%, 10/01/39 | 100 | 89,648 |
| Total Municipal Bonds in U.S. Virgin Islands | 89,648 | |
| Total Municipal Bonds — 144.9% | 43,545,008 | |
| Municipal Bonds Transferred to | ||
| Tender Option Bond Trusts (d) | ||
| Maryland — 10.5% | ||
| Transportation — 10.5% | ||
| Maryland State Transportation Authority, RB, | ||
| Transportation Facilities Project (FSA), | ||
| 5.00%, 7/01/41 | 3,000 | 3,145,800 |
| Total Municipal Bonds Transferred to | ||
| Tender Option Bond Trusts — 10.5% | 3,145,800 | |
| Total Long-Term Investments | ||
| (Cost — $46,128,228) — 155.4% | 46,690,808 | |
| Short-Term Securities | Shares | |
| FFI Institutional Tax-Exempt Fund, 0.16% (e)(f) | 503,095 | 503,095 |
| Total Short-Term Securities | ||
| (Cost — $503,095) — 1.7% | 503,095 | |
| Total Investments (Cost — $46,631,323*) — 157.1% | 47,193,903 | |
| Other Assets Less Liabilities — 1.2% | 352,477 | |
| Liability for Trust Certificates, Including Interest | ||
| Expense and Fees Payable — (5.0)% | (1,500,448) | |
| Preferred Shares, at Redemption Value — (53.3)% | (16,000,424) | |
| Net Assets Applicable to Common Shares — 100.0% | $ 30,045,508 |
| * The cost and unrealized appreciation (depreciation) of investments as of | |||||||
| February 28, 2010, as computed for federal income tax purposes, were as follows: | |||||||
| Aggregate cost | $ 45,051,304 | ||||||
| Gross unrealized appreciation | $ 1,400,922 | ||||||
| Gross unrealized depreciation | (758,323) | ||||||
| Net unrealized appreciation | $ 642,599 | ||||||
| (a) Security represents a beneficial interest in a trust. The collateral deposited into the | |||||||
| trust is federally tax-exempt revenue bonds issued by various state or local govern- | |||||||
| ments, or their respective agencies or authorities. The security is subject to remarket- | |||||||
| ing prior to its stated maturity, and is subject to mandatory redemption at maturity. | |||||||
| (b) Security exempt from registration under Rule 144A of the Securities Act of 1933. | |||||||
| These securities may be resold in transactions exempt from registration to qualified | |||||||
| institutional investors. | |||||||
| (c) US government securities, held in escrow, are used to pay interest on this security, | |||||||
| as well as to retire the bond in full at the date indicated, typically at a premium | |||||||
| to par. | |||||||
| (d) Securities represent bonds transferred to a tender option bond trust in exchange for | |||||||
| which the Trust acquired residual interest certificates. These securities serve as col- | |||||||
| lateral in a financing transaction. See Note 1 of the Notes to Financial Statements | |||||||
| for details of municipal bonds transferred to tender option bond trusts. | |||||||
| (e) Investments in companies considered to be an affiliate of the Trust, for purposes of | |||||||
| Section 2(a)(3) of the Investment Company Act of 1940, were as follows: | |||||||
| Net | |||||||
| Affiliate | Activity | Income | |||||
| FFI Institutional Tax-Exempt Fund | $(697,269) | $464 | |||||
| (f) Represents the current yield as of report date. | |||||||
| • | For Trust compliance purposes, the Trust’s sector classifications refer to any one | ||||||
| or more of the sector sub-classifications used by one or more widely recognized | |||||||
| market indexes or ratings group indexes and/or as defined by Trust management. | |||||||
| This definition may not apply for purposes of this report, which may combine sector | |||||||
| sub-classifications for reporting ease. | |||||||
| • | Fair Value Measurements — Various inputs are used in determining the fair value of | ||||||
| investments, which are as follows: | |||||||
| • | Level 1 — 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, repayment 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 | |||||||
| Trust’s own assumptions used in determining the fair value of investments) | |||||||
| The inputs or methodologies used for valuing securities are not necessarily an indi- | |||||||
| cation of the risk associated with investing in those securities. For information about | |||||||
| the Trust’s policy regarding valuation of investments and other significant accounting | |||||||
| policies, please refer to the Note 1 of the Notes to Financial Statements. | |||||||
| The following table summarizes the inputs used as of February 28, 2010 in deter- | |||||||
| mining the fair valuation of the Trust’s investments: | |||||||
| Investments in Securities | |||||||
| Valuation Inputs | Level 1 | Level 2 | Level 3 | Total | |||
| Assets: | |||||||
| Long-Term Securities1 | — | $46,690,808 | — | $46,690,808 | |||
| Short-Term Investment | $ 503,095 | — | — | 503,095 | |||
| Total | $ 503,095 | $46,690,808 | — | $47,193,903 | |||
| 1 See above Schedule of Investments for values in each state or political | |||||||
| subdivision. | |||||||
See Notes to Financial Statements.
Schedule of Investments February 28, 2010 (Unaudited)
BlackRock MuniHoldings New York Insured Fund, Inc. (MHN)
(Percentages shown are based on Net Assets)
| Par | |||
| Municipal Bonds | (000) | Value | |
| New York — 119.0% | |||
| Corporate — 9.8% | |||
| New York City Industrial Development Agency, RB, Japan | |||
| Airlines Co., AMT (AGM), 6.00%, 11/01/15 | $ 5,500 | $ 5,504,565 | |
| New York City Industrial Development Agency, | |||
| Refunding RB, Terminal One Group Association | |||
| Project, AMT, 5.50%, 1/01/24 | 1,500 | 1,525,350 | |
| New York Liberty Development Corp., RB, Goldman | |||
| Sachs Headquarters, 5.25%, 10/01/35 | 2,500 | 2,523,475 | |
| New York State Energy Research & Development | |||
| Authority, RB, Lilco Project, Series A (NPFGC), | |||
| 5.15%, 3/01/16 | 2,000 | 2,007,160 | |
| New York State Energy Research & Development | |||
| Authority, Refunding RB: | |||
| Brooklyn Union Gas/Keyspan, Series A, AMT (FGIC), | |||
| 4.70%, 2/01/24 | 7,340 | 7,324,880 | |
| Central Hudson Gas, Series A (AMBAC), | |||
| 5.45%, 8/01/27 | 6,000 | 6,061,920 | |
| Suffolk County Industrial Development Agency New York, | |||
| RB, KeySpan, Port Jefferson, AMT, 5.25%, 6/01/27 | 4,355 | 4,267,508 | |
| Suffolk County Industrial Development Agency New York, | |||
| Refunding RB, Ogden Martin System Huntington, | |||
| AMT (AMBAC): | |||
| 6.25%, 10/01/12 | 3,530 | 3,883,247 | |
| 6.00%, 10/01/10 | 4,660 | 4,787,777 | |
| 6.15%, 10/01/11 | 5,000 | 5,356,500 | |
| 43,242,382 | |||
| County/City/Special District/School District — 35.4% | |||
| City of New York New York, GO, Series B (NPFGC): | |||
| 5.75%, 8/01/10 (a) | 1,740 | 1,799,282 | |
| 5.75%, 8/01/13 | 540 | 557,177 | |
| City of New York New York, GO, Refunding, Series A | |||
| (AGM), 6.25%, 5/15/26 | 3,700 | 3,782,584 | |
| City of Yonkers New York, GO, Series A (FGIC), | |||
| 5.75%, 10/01/15 | 1,795 | 1,872,688 | |
| Hudson Yards Infrastructure Corp., RB, Series A: | |||
| (FGIC), 5.00%, 2/15/47 | 10,250 | 9,743,957 | |
| (NPFGC), 4.50%, 2/15/47 | 13,180 | 11,349,298 | |
| New York City Health & Hospital Corp., Refunding RB, | |||
| Health System, Series A (NPFGC), 5.25%, 2/15/17 | 2,000 | 2,002,760 | |
| New York City Industrial Development Agency, RB: | |||
| CAB, Yankee Stadium, PILOT (AGC), | |||
| 6.48%, 3/01/39 (b) | 1,380 | 253,244 | |
| Queens Baseball Stadium, PILOT (AGC), | |||
| 6.38%, 1/01/39 | 800 | 876,016 | |
| Queens Baseball Stadium, PILOT (AMBAC), | |||
| 5.00%, 1/01/31 | 3,500 | 3,255,525 | |
| Queens Baseball Stadium, PILOT (AMBAC), | |||
| 5.00%, 1/01/36 | 12,740 | 11,367,138 | |
| Queens Baseball Stadium, PILOT (AMBAC), | |||
| 5.00%, 1/01/39 | 4,000 | 3,533,680 | |
| Queens Baseball Stadium, PILOT (AMBAC), | |||
| 5.00%, 1/01/46 | 7,800 | 6,726,720 | |
| Yankee Stadium, PILOT (FGIC), 5.00%, 3/01/46 | 9,500 | 8,828,635 | |
| Yankee Stadium, PILOT (NPFGC), 5.00%, 3/01/36 | 3,950 | 3,783,705 | |
| New York City Transitional Finance Authority, RB: | |||
| Fiscal 2008, Series S-1, 4.50%, 1/15/38 | 1,510 | 1,456,440 | |
| Fiscal 2009, Series S-1 (AGC), 5.50%, 7/15/38 | 4,000 | 4,308,480 | |
| Fiscal 2009, Series S-4 (AGC), 5.50%, 1/15/39 | 1,250 | 1,351,125 | |
| Future Tax Secured, Series B (FGIC), | |||
| 6.25%, 11/15/18 | 6,405 | 6,554,685 | |
| Future Tax Secured, Series C (FGIC), | |||
| 5.00%, 2/01/33 | 10,000 | 10,239,100 | |
| Future Tax Secured, Series E (NPFGC), | |||
| 5.25%, 2/01/22 | 2,500 | 2,689,175 | |
| Par | ||
| Municipal Bonds | (000) | Value |
| New York (continued) | ||
| New York City Transitional Finance Authority, RB: | ||
| Series B (NPFGC), 5.50%, 2/01/13 | $ 805 | $ 849,508 |
| Series B (NPFGC), 5.50%, 2/01/12 | 1,145 | 1,207,208 |
| Series S-2 (AGM), 5.00%, 1/15/37 | 3,750 | 3,828,600 |
| Series S-2 (NPFGC), 4.25%, 1/15/34 | 4,830 | 4,543,581 |
| New York City Transitional Finance Authority, | ||
| Refunding RB, Series A (FGIC), 5.00%, 11/15/26 | 1,000 | 1,037,480 |
| New York Convention Center Development Corp., RB, | ||
| Hotel Unit Fee Secured (AMBAC): | ||
| 5.00%, 11/15/30 | 2,100 | 2,113,335 |
| 5.00%, 11/15/35 | 20,500 | 20,322,675 |
| 5.00%, 11/15/44 | 2,055 | 2,005,228 |
| Oneida-Herkimer Solid Waste Management Authority | ||
| New York, Refunding RB (AGM), 5.50%, 4/01/13 | 1,800 | 2,031,390 |
| Sales Tax Asset Receivable Corp., RB: | ||
| 5.00%, 10/15/32 | 14,175 | 14,689,836 |
| Syracuse Industrial Development Agency New York, RB, | ||
| Carousel Center Project, Series A, AMT (Syncora), | ||
| 5.00%, 1/01/36 | 10,000 | 7,009,500 |
| 155,969,755 | ||
| Education — 11.6% | ||
| Madison County Industrial Development Agency | ||
| New York, RB, Colgate University Project, Series A | ||
| (AMBAC), 5.00%, 7/01/30 | 4,000 | 4,118,800 |
| New York City Industrial Development Agency, | ||
| Refunding RB: | ||
| Nightingale-Bamford School, (AMBAC), | ||
| 5.25%, 1/15/17 | 1,200 | 1,305,396 |
| Polytechnic University Project, (ACA), | ||
| 5.25%, 11/01/37 | 2,160 | 1,864,447 |
| New York City Transitional Finance Authority, RB, | ||
| Fiscal 2009, Series S-4 (AGC), 5.50%, 1/15/33 | 3,000 | 3,146,790 |
| New York State Dormitory Authority, RB: | ||
| 853 Schools Program, Issue 2, Series E (AMBAC), | ||
| 5.75%, 7/01/19 | 1,340 | 1,357,634 |
| Mount Sinai School of Medicine, 5.13%, 7/01/39 | 3,090 | 3,087,466 |
| Mount Sinai School of Medicine at NYU (NPFGC), | ||
| 5.00%, 7/01/35 | 6,100 | 6,047,662 |
| New York University, Series 1 (AMBAC), | ||
| 5.50%, 7/01/40 | 3,500 | 4,070,605 |
| Pace University (NPFGC), 6.00%, 7/01/10 (a) | 1,845 | 1,900,627 |
| Pace University (NPFGC), 6.00%, 7/01/20 (a) | 3,500 | 3,605,525 |
| Siena College, 5.13%, 7/01/39 | 1,345 | 1,355,343 |
| Schenectady County Industrial Development Agency, | ||
| Refunding RB, Union College Project, Series A | ||
| (AMBAC), 5.63%, 7/01/11 (a) | 3,000 | 3,270,930 |
| Trust for Cultural Resources, RB, Carnegie Hall, Series A: | ||
| 5.00%, 12/01/39 | 1,850 | 1,885,668 |
| 4.75%, 12/01/39 | 3,150 | 3,105,302 |
| Trust for Cultural Resources, Refunding RB, American | ||
| Museum of Natural History, Series A (NPFGC), | ||
| 5.00%, 7/01/36 | 3,800 | 3,883,068 |
| Westchester County Industrial Development Agency | ||
| New York, RB, Purchase College Foundation Housing, | ||
| Series A (AMBAC), 5.75%, 12/01/31 | 7,000 | 7,027,440 |
| 51,032,703 | ||
| Health — 7.0% | ||
| New York City Industrial Development Agency, RB, | ||
| Royal Charter, New York Presbyterian (AGM), | ||
| 5.75%, 12/15/29 | 7,965 | 8,466,636 |
| New York State Dormitory Authority, MRB, Montefiore | ||
| Hospital (NPFGC), 5.00%, 8/01/33 | 1,000 | 1,015,890 |
See Notes to Financial Statements.
16 SEMI-ANNUAL REPORT FEBRUARY 28, 2010
Schedule of Investments (continued)
BlackRock MuniHoldings New York Insured Fund, Inc. (MHN)
(Percentages shown are based on Net Assets)
| Par | |||
| Municipal Bonds | (000) | Value | |
| New York (continued) | |||
| Health (concluded) | |||
| New York State Dormitory Authority, RB: | |||
| Gustavus Adolphus Child & Family Services, Inc., | |||
| Series B (AMBAC), 5.50%, 7/01/18 | $ 2,058 | $ 2,084,569 | |
| Hudson Valley Hospital (BHAC), 5.00%, 8/15/36 | 5,000 | 5,189,150 | |
| New York & Presbyterian Hospital (AGM), | |||
| 5.25%, 2/15/31 | 1,500 | 1,546,290 | |
| New York & Presbyterian Hospital (AGM), | |||
| 5.00%, 8/15/36 | 4,000 | 4,044,600 | |
| New York State Rehabilitation Association, Series A | |||
| (CIFG), 5.25%, 7/01/19 | 1,180 | 1,208,804 | |
| New York State Rehabilitation Association, Series A | |||
| (CIFG), 5.13%, 7/01/23 | 1,000 | 1,004,510 | |
| North Shore-Long Island Jewish Health System, | |||
| Series A, 5.50%, 5/01/37 | 1,825 | 1,845,823 | |
| New York State Dormitory Authority, Refunding RB: | |||
| St. Charles Hospital & Rehabilitation Center, | |||
| Series A (NPFGC), 5.63%, 7/01/12 | 3,400 | 3,442,126 | |
| St. Luke’s Roosevelt Hospital (FHA), 4.90%, 8/15/31 | 1,000 | 980,460 | |
| 30,828,858 | |||
| Housing — 4.2% | |||
| New York City Housing Development Corp., RB, AMT: | |||
| Series C, 5.00%, 11/01/26 | 1,250 | 1,259,750 | |
| Series C, 5.05%, 11/01/36 | 2,000 | 1,872,040 | |
| Series H-1, 4.70%, 11/01/40 | 1,000 | 908,060 | |
| New York Mortgage Agency, RB, Series 145, AMT, | |||
| 5.13%, 10/01/37 | 1,000 | 1,000,240 | |
| New York Mortgage Agency, Refunding RB: | |||
| Homeowner Mortgage, Series 67, AMT (NPFGC), | |||
| 5.70%, 10/01/17 | 2,140 | 2,142,418 | |
| Homeowner Mortgage, Series 83 (NPFGC), | |||
| 5.55%, 10/01/27 | 2,100 | 2,101,281 | |
| Homeowner Mortgage, Series 97, AMT, | |||
| 5.50%, 4/01/31 | 955 | 958,878 | |
| Series 133, AMT, 4.95%, 10/01/21 | 1,500 | 1,520,820 | |
| Series 143, AMT, 4.90%, 10/01/37 | 990 | 941,124 | |
| Series 143, AMT (NPFGC), 4.85%, 10/01/27 | 2,000 | 1,983,560 | |
| Series 82, AMT (NPFGC), 5.65%, 4/01/30 | 955 | 955,439 | |
| New York State HFA, RB, St. Philip’s Housing, Series A, | |||
| AMT (FNMA), 4.65%, 11/15/38 | 1,000 | 959,980 | |
| Yonkers Industrial Development Agency New York, | |||
| RB, Monastery Manor Associates LP Project, AMT | |||
| (SONYMA), 5.25%, 4/01/37 | 2,000 | 1,921,720 | |
| 18,525,310 | |||
| State — 10.9% | |||
| New York State Dormitory Authority, RB: | |||
| Master BOCES Program Lease (AGC), | |||
| 4.75%, 8/15/24 | 1,090 | 1,147,748 | |
| Master BOCES Program Lease (AGC), | |||
| 5.00%, 8/15/28 | 250 | 260,920 | |
| Mental Health Facilities, Series B | |||
| 5.25%, 2/15/14 (a) | 1,550 | 1,763,404 | |
| Mental Health Services Facilities Improvement, | |||
| Series B (AGM), 5.00%, 2/15/33 | 4,500 | 4,637,430 | |
| Mental Health Services Facilities, Series C, AMT | |||
| (AGM), 5.40%, 2/15/33 | 5,650 | 5,711,077 | |
| School District Financing Program, Series C (AGM), | |||
| 5.00%, 10/01/37 | 2,500 | 2,548,950 | |
| School Districts Financing Program, Series A (AGM), | |||
| 5.00%, 10/01/35 | 450 | 459,675 | |
| School Districts Financing Program, Series D | |||
| (NPFGC), 5.00%, 10/01/30 | 1,240 | 1,252,561 | |
| School Districts Financing Program, Series E | |||
| (NPFGC), 5.75%, 10/01/30 | 6,900 | 7,269,702 | |
| Par | ||
| Municipal Bonds | (000) | Value |
| New York (continued) | ||
| State (concluded) | ||
| New York State Dormitory Authority, Refunding RB: | ||
| School District Financing Program, Series A (AGM), | ||
| 5.00%, 10/01/35 | $ 5,000 | $ 5,119,050 |
| Secured Hospital, North General Hospital (Syncora), | ||
| 5.75%, 2/15/17 | 2,000 | 2,152,760 |
| New York State Thruway Authority, RB: | ||
| Second General, Series B, 5.00%, 4/01/27 | 1,000 | 1,057,530 |
| Series A (AMBAC), 5.00%, 4/01/26 | 8,700 | 9,204,861 |
| New York State Urban Development Corp., RB: | ||
| Personal Income Tax, Series C-1 (NPFGC), | ||
| 5.00%, 3/15/13 (a) | 3,000 | 3,372,930 |
| State Personal Income Tax, State Facilities, | ||
| Series A-1, 5.00%, 3/15/29 | 2,000 | 2,068,800 |
| 48,027,398 | ||
| Tobacco — 4.9% | ||
| Tobacco Settlement Financing Corp. New York, RB, | ||
| Asset-Backed, Series A-1 (AMBAC): | ||
| 5.25%, 6/01/20 | 5,000 | 5,336,300 |
| 5.25%, 6/01/21 | 13,275 | 14,136,813 |
| 5.25%, 6/01/22 | 2,000 | 2,124,480 |
| 21,597,593 | ||
| Transportation — 22.6% | ||
| Hudson Yards Infrastructure Corp., RB (AGC): | ||
| 5.00%, 2/15/47 | 7,370 | 7,301,090 |
| Series A, 5.00%, 2/15/47 | 305 | 302,148 |
| Metropolitan Transportation Authority, RB, Series 2008C, | ||
| 6.50%, 11/15/28 | 6,015 | 6,897,581 |
| Metropolitan Transportation Authority, Refunding RB: | ||
| Series A (NPFGC), 5.25%, 11/15/31 | 2,500 | 2,537,075 |
| Series C (AGM), 4.75%, 7/01/12 (a) | 2,535 | 2,776,079 |
| Transportation, Series F (NPFGC), | ||
| 5.25%, 11/15/12 (a) | 6,300 | 7,072,569 |
| New York State Thruway Authority, RB: | ||
| Series F (AMBAC), 5.00%, 1/01/30 | 5,000 | 5,120,600 |
| Series G (AGM), 5.00%, 1/01/32 | 5,225 | 5,352,647 |
| Series G (AGM), 4.75%, 1/01/29 | 1,250 | 1,269,388 |
| Series G (AGM), 4.75%, 1/01/30 | 1,000 | 1,006,040 |
| Niagara Falls Bridge Commission, Refunding RB, Bridge | ||
| System, Series A (AGC), 4.00%, 10/01/19 | 4,100 | 4,253,217 |
| Port Authority of New York & New Jersey, RB: | ||
| Consolidated 116th Series, 4.13%, 9/15/32 | 2,685 | 2,534,479 |
| Consolidated, 161st Series, 4.50%, 10/15/37 | 1,000 | 982,860 |
| Special Project, JFK International Air Terminal, | ||
| Series 6, AMT (NPFGC), 6.25%, 12/01/15 | 7,830 | 8,306,142 |
| Special Project, JFK International Air Terminal, | ||
| Series 6, AMT (NPFGC), 5.90%, 12/01/17 | 4,000 | 4,212,320 |
| Special Project, JFK International Air Terminal, | ||
| Series 6, AMT (NPFGC), 6.25%, 12/01/11 | 3,000 | 3,119,880 |
| Special Project, JFK International Air Terminal, | ||
| Series 6, AMT (NPFGC), 5.75%, 12/01/22 | 26,725 | 27,432,945 |
| Triborough Bridge & Tunnel Authority, RB: | ||
| Sub-Series A (NPFGC), 5.25%, 11/15/30 | 6,000 | 6,220,740 |
| Subordinate Bonds (AMBAC), 5.00%, 11/15/28 | 2,465 | 2,555,293 |
| 99,253,093 | ||
| Utilities — 12.6% | ||
| Long Island Power Authority, RB, Series A (AMBAC), | ||
| 5.00%, 9/01/29 | 3,000 | 3,069,240 |
| Long Island Power Authority, Refunding RB: | ||
| General, Series A (AGC), 6.00%, 5/01/33 | 1,500 | 1,675,470 |
| General, Series B (AGM), 5.00%, 12/01/35 | 3,500 | 3,582,845 |
| Series A (AGC), 5.75%, 4/01/39 | 1,000 | 1,105,000 |
See Notes to Financial Statements.
SEMI-ANNUAL REPORT FEBRUARY 28, 2010 17
Schedule of Investments (continued)
BlackRock MuniHoldings New York Insured Fund, Inc. (MHN)
(Percentages shown are based on Net Assets)
| Par | ||
| Municipal Bonds | (000) | Value |
| New York (concluded) | ||
| Utilities (concluded) | ||
| New York City Municipal Water Finance Authority, RB: | ||
| Series A (AMBAC), 5.00%, 6/15/35 | $ 3,500 | $ 3,565,835 |
| Series A (NPFGC), 5.75%, 6/15/11 (a) | 23,000 | 24,608,390 |
| Series DD (AGM), 4.50%, 6/15/39 | 3,000 | 2,947,050 |
| New York City Municipal Water Finance Authority, | ||
| Refunding RB: | ||
| Fiscal 2004, Series C (NPFGC), 5.00%, 6/15/35 | 1,000 | 1,024,010 |
| Series A (AGM), 4.25%, 6/15/39 | 2,200 | 2,082,740 |
| Series A (NPFGC), 5.13%, 6/15/34 | 1,250 | 1,269,012 |
| Series F (AGM), 5.00%, 6/15/29 | 500 | 505,685 |
| New York State Environmental Facilities Corp., RB, | ||
| Long Island Water Corp. Project, Series A, AMT | ||
| (NPFGC), 4.90%, 10/01/34 | 6,000 | 5,586,240 |
| New York State Environmental Facilities Corp., | ||
| Refunding RB, Spring Valley Water Co., Series B | ||
| (AMBAC), 6.15%, 8/01/24 | 4,400 | 4,418,832 |
| 55,440,349 | ||
| Total Municipal Bonds in New York | 523,917,441 | |
| Guam — 1.1% | ||
| Transportation — 1.1% | ||
| Guam International Airport Authority, Refunding RB, | ||
| General, Series C, AMT (NPFGC): | ||
| 5.25%, 10/01/21 | 3,700 | 3,707,622 |
| 5.25%, 10/01/22 | 1,050 | 1,051,365 |
| 4,758,987 | ||
| Total Municipal Bonds in Guam | 4,758,987 | |
| Puerto Rico — 16.9% | ||
| County/City/Special District/School District — 0.8% | ||
| Puerto Rico Sales Tax Financing Corp., RB, | ||
| 1st Sub-Series A (AGM), 5.00%, 8/01/40 | 1,905 | 1,906,410 |
| Puerto Rico Sales Tax Financing Corp., Refunding RB, | ||
| CAB, Series A (NPFGC), 5.78%, 8/01/41 | 11,000 | 1,652,420 |
| 3,558,830 | ||
| Housing — 0.7% | ||
| Puerto Rico Housing Finance Authority, Refunding RB, | ||
| Subordinate, Capital Fund Modernization, | ||
| 5.13%, 12/01/27 | 3,000 | 3,021,870 |
| State — 6.4% | ||
| Commonwealth of Puerto Rico, GO, Refunding: | ||
| Public Improvement, Series A (NPFGC), | ||
| 5.50%, 7/01/20 | 1,970 | 2,074,725 |
| Public Improvement, Series A-4 (AGM), | ||
| 5.25%, 7/01/30 | 1,400 | 1,446,718 |
| Sub-Series C-7 (NPFGC), 6.00%, 7/01/27 | 2,000 | 2,102,920 |
| Sub-Series C-7 (NPFGC), 6.00%, 7/01/28 | 4,000 | 4,197,600 |
| Puerto Rico Commonwealth Infrastructure Financing | ||
| Authority, RB, CAB, Series A (b): | ||
| (AMBAC), 4.66%, 7/01/34 | 9,300 | 1,690,833 |
| (AMBAC), 4.67%, 7/01/37 | 2,200 | 320,628 |
| (FGIC), 4.62%, 7/01/31 | 10,280 | 2,405,006 |
| (FGIC), 4.66%, 7/01/33 | 5,500 | 1,087,075 |
| Puerto Rico Convention Center Authority, RB, Series A | ||
| (AMBAC), 5.00%, 7/01/31 | 3,270 | 3,027,170 |
| Puerto Rico Highway & Transportation Authority, | ||
| Refunding RB, Series CC (AGM): | ||
| 5.25%, 7/01/32 | 2,000 | 2,069,440 |
| 5.50%, 7/01/31 | 4,000 | 4,298,680 |
| Par | ||
| Municipal Bonds | (000) | Value |
| Puerto Rico (concluded) | ||
| State (concluded) | ||
| Puerto Rico Public Buildings Authority, Refunding RB, | ||
| Government Facilities, Series M-3 (NPFGC), | ||
| 6.00%, 7/01/28 | $ 2,500 | $ 2,592,725 |
| Puerto Rico Sales Tax Financing Corp., RB, | ||
| First Sub-Series A, 5.75%, 8/01/37 | 1,000 | 1,030,770 |
| 28,344,290 | ||
| Transportation — 6.2% | ||
| Puerto Rico Highway & Transportation Authority, RB: | ||
| Series Y (AGM), 6.25%, 7/01/21 | 5,025 | 5,631,317 |
| Subordinate (FGIC), 5.25%, 7/01/17 | 4,800 | 4,925,424 |
| Puerto Rico Highway & Transportation Authority, | ||
| Refunding RB: | ||
| Series CC (AGM), 5.25%, 7/01/33 | 1,000 | 1,027,170 |
| Series CC (AGM), 5.25%, 7/01/34 | 870 | 892,933 |
| Series CC (AGM), 5.25%, 7/01/36 | 3,750 | 3,830,775 |
| Series D, 5.75%, 7/01/12 (a) | 10,000 | 11,091,700 |
| 27,399,319 | ||
| Utilities — 2.8% | ||
| Puerto Rico Aqueduct & Sewer Authority, RB, | ||
| Senior Lien, Series A (AGC), 5.13%, 7/01/47 | 10,175 | 10,037,535 |
| Puerto Rico Electric Power Authority, RB, Series NN, | ||
| 5.13%, 7/01/13 (a) | 940 | 1,067,313 |
| Puerto Rico Electric Power Authority, Refunding RB, | ||
| Series VV (NPFGC), 5.25%, 7/01/30 | 1,000 | 1,014,980 |
| 12,119,828 | ||
| Total Municipal Bonds in Puerto Rico | 74,444,137 | |
| Total Municipal Bonds — 137.0% | 603,120,565 | |
| Municipal Bonds Transferred to | ||
| Tender Option Bond Trusts (c) | ||
| New York — 31.6% | ||
| County/City/Special District/School District — 7.8% | ||
| City of New York. New York, GO: | ||
| Series J, 5.00%, 5/15/23 | 6,800 | 7,166,520 |
| Sub-Series C-3 (AGC), 5.75%, 8/15/28 | 10,000 | 11,299,900 |
| New York State Dormitory Authority, RB, State University | ||
| Dormitory Facilities, Series A, 5.25%, 7/01/29 | 5,000 | 5,394,100 |
| Sales Tax Asset Receivable Corp., RB, Series A (AMBAC), | ||
| 5.00%, 10/15/32 | 9,500 | 10,346,640 |
| 34,207,160 | ||
| Education — 1.3% | ||
| New York State Dormitory Authority, RB, New York | ||
| University, Series A, 5.00%, 7/01/38 | 5,498 | 5,676,137 |
| State — 1.3% | ||
| New York State Dormitory Authority, ERB, Series B, | ||
| 5.75%, 3/15/36 | 5,000 | 5,582,500 |
| Transportation — 19.9% | ||
| Metropolitan Transportation Authority, RB, Series A | ||
| (NPFGC), 5.00%, 11/15/31 | 7,002 | 7,227,073 |
| Metropolitan Transportation Authority, Refunding RB, | ||
| Series A (AGM): | ||
| 5.75%, 11/15/32 | 29,000 | 30,723,180 |
| 5.00%, 11/15/30 | 5,010 | 5,060,351 |
| New York State Thruway Authority, RB, Series G (AGM), | ||
| 5.00%, 1/01/32 | 12,000 | 12,293,160 |
| New York State Thruway Authority, Refunding RB, | ||
| Series H (AGM), 5.00%, 1/01/37 | 8,500 | 8,698,815 |
See Notes to Financial Statements.
18 SEMI-ANNUAL REPORT FEBRUARY 28, 2010
Schedule of Investments (concluded)
BlackRock MuniHoldings New York Insured Fund, Inc. (MHN)
(Percentages shown are based on Net Assets)
| Municipal Bonds Transferred to | Par | |
| Tender Option Bond Trusts (c) | (000) | Value |
| New York (concluded) | ||
| Transportation (concluded) | ||
| Port Authority of New York & New Jersey, RB, | ||
| Consolidated 155th Series (AGM), AMT, | ||
| 5.13%, 7/15/30 | $ 2,500 | $ 2,523,575 |
| Triborough Bridge & Tunnel Authority, Refunding RB | ||
| (NPFGC): | ||
| 5.00%, 11/15/32 | 8,309 | 8,443,342 |
| 5.25%, 11/15/23 | 12,000 | 12,866,160 |
| 87,835,656 | ||
| Utilities — 1.6% | ||
| New York City Municipal Water Finance Authority, RB: | ||
| Fiscal 2009, Series A, 5.75%, 6/15/40 | 4,004 | 4,479,747 |
| Series FF-2, 5.50%, 6/15/40 | 2,399 | 2,635,447 |
| 7,115,194 | ||
| Total Municipal Bonds Transferred to | ||
| Tender Option Bond Trusts — 31.9% | 140,416,647 | |
| Total Long-Term Investments | ||
| (Cost — $738,690,084) — 168.9% | 743,537,212 | |
| Short-Term Securities | ||
| New York — 0.1% | ||
| City of New York New York, GO, VRDN, | ||
| Sub-Series A-6 (AGM), 0.14%, 3/01/10 (d) | 375,000 | 375,000 |
| Shares | ||
| Money Market Fund — 1.2% | ||
| CMA New York Municipal Money Fund 0.00%, (e)(f) | 5,312,463 | 5,312,463 |
| Total Short-Term Securities | ||
| (Cost — $5,687,463) — 1.3% | 5,687,463 | |
| Total Investments (Cost — $744,377,547*) — 170.2% | 749,224,675 | |
| Other Assets Less Liabilities — 1.4% | 6,399,634 | |
| Liability for Trust Certificates, Including Interest | ||
| Expense and Fees Payable — (16.3)% | (71,779,291) | |
| Preferred Shares, at Redemption Value — (55.3)% | (243,637,727) | |
| Net Assets Applicable to Common Shares — 100.0% | $440,207,291 | |
| * The cost and unrealized appreciation (depreciation) of investments as of | ||
| February 28, 2010, as computed for federal income tax purposes, were as follows: | ||
| Aggregate cost | $ 674,275,891 | |
| Gross unrealized appreciation | $ 22,556,699 | |
| Gross unrealized depreciation | (19,320,515) | |
| Net unrealized appreciation | $ 3,236,184 | |
| (a) US government securities, held in escrow, are used to pay interest on this security, | ||
| as well as to retire the bond in full at the date indicated, typically at a premium | ||
| to par. | ||
| (b) Represents a zero-coupon bond. Rate shown reflects the current yield as of | ||
| report date. | ||
| (c) Securities represent bonds transferred to a tender option bond trust in exchange for | ||
| which the Trust acquired residual interest certificates. These securities serve as col- | ||
| lateral in a financing transaction. See Note 1 of the Notes to Financial Statements | ||
| for details of municipal bonds transferred to tender option bond trusts. | ||
| (d) Variable rate security. Rate shown is as of report date and maturity shown is the | ||
| date the principal owed can be recovered through demand. | ||
| (e) Investments in companies considered to be an affiliate of the Trust, for purposes of | ||||||
| Section 2(a)(3) of the Investment Company Act of 1940, were as follows: | ||||||
| Net | ||||||
| Affiliate | Activity | Income | ||||
| CMA New York Municipal Money Fund | $262,642 | $1,307 | ||||
| (f) Represents the current yield as of report date. | ||||||
| • | For Trust compliance purposes, the Trust’s sector classifications refer to any one | |||||
| or more of the sector sub-classifications used by one or more widely recognized | ||||||
| market indexes or ratings group indexes and/or as defined by Trust management. | ||||||
| This definition may not apply for purposes of this report, which may combine sector | ||||||
| sub-classifications for reporting ease. | ||||||
| • | Fair Value Measurements — Various inputs are used in determining the fair value of | |||||
| investments, which are as follows: | ||||||
| • | Level 1 — 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, repayment 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 | ||||||
| Trust’s own assumptions used in determining the fair value of investments) | ||||||
| The inputs or methodologies used for valuing securities are not necessarily an indi- | ||||||
| cation of the risk associated with investing in those securities. For information about | ||||||
| the Trust’s policy regarding valuation of investments and other significant accounting | ||||||
| policies, please refer to Note 1 of the Notes to Financial Statements. | ||||||
| The following table summarizes the inputs used as of February 28, 2010 in deter- | ||||||
| mining the fair valuation of the Trust’s investments: | ||||||
| Investments in Securities | ||||||
| Valuation Inputs | Level 1 | Level 2 | Level 3 | Total | ||
| Assets: | ||||||
| Long-Term Investments1 | — $743,537,212 | — $743,537,212 | ||||
| Short-Term Securities | $ 5,312,463 | 375,000 | — | 5,687,463 | ||
| Total | $ 5,312,463 | $743,912,212 | — | $749,224,675 | ||
| 1 | See above Schedule of Investments for values in each state or | |||||
| political subdivision. | ||||||
See Notes to Financial Statements.
SEMI-ANNUAL REPORT FEBRUARY 28, 2010 19
Schedule of Investments February 28, 2010 (Unaudited)
BlackRock New Jersey Municipal Bond Trust (BLJ)
(Percentages shown are based on Net Assets)
| Par | ||
| Municipal Bonds | (000) | Value |
| New Jersey — 124.5% | ||
| Corporate — 11.8% | ||
| New Jersey EDA, RB, AMT: | ||
| Continental Airlines Inc. Project, 7.00%, 11/15/30 $ | 2,335 | $ 2,229,295 |
| Disposal, Waste M Management of New Jersey, | ||
| Series A, 5.30%, 6/01/15 | 1,000 | 1,078,890 |
| New Jersey EDA, Refunding RB, New Jersey American | ||
| Water Co., Series A, AMT, 5.70%, 10/01/39 | 475 | 473,755 |
| Port Authority of New York & New Jersey, RB, Continental | ||
| Airlines Inc. and Eastern Air Lines Inc. Project, | ||
| LaGuardia, AMT, 9.13%, 12/01/15 | 110 | 110,147 |
| 3,892,087 | ||
| County/City/Special District/School District — 13.5% | ||
| City of Vineland New Jersey, GO, Refunding, Electric | ||
| Utilities, AMT (NPFGC): | ||
| 5.30%, 5/15/29 | 1,000 | 1,000,030 |
| 5.38%, 5/15/32 | 1,500 | 1,500,135 |
| Essex County Improvement Authority, Refunding RB, | ||
| Project Consolidation (NPFGC), 5.50%, 10/01/29 | 790 | 893,229 |
| Hudson County Improvement Authority, RB, | ||
| Harrison Parking Facility Project, Series C (AGC), | ||
| 5.38%, 1/01/44 | 800 | 845,792 |
| Middlesex County Improvement Authority, RB, | ||
| Subordinate, Heldrich Center Hotel, Series B, | ||
| 6.25%, 1/01/37 | 560 | 103,522 |
| Salem County Improvement Authority, RB, Finlaw Street | ||
| Office Building (AGM), 5.25%, 8/15/38 | 100 | 104,776 |
| 4,447,484 | ||
| Education — 14.7% | ||
| New Jersey Economic Development Authority, | ||
| RB, School Facilities Construction, Series S, | ||
| 5.00%, 9/01/36 | 280 | 282,786 |
| New Jersey Educational Facilities Authority, RB: | ||
| Georgian Court College Project, Series C, | ||
| 6.50%, 7/01/13 (a) | 630 | 743,312 |
| Montclair State University, Series J, 5.25%, 7/01/38 | 180 | 185,630 |
| New Jersey Educational Facilities Authority, Refunding RB: | ||
| College of New Jersey, Series D (AGM), | ||
| 5.00%, 7/01/35 | 1,010 | 1,041,209 |
| Fairleigh Dickinson University, Series C, | ||
| 6.00%, 7/01/20 | 1,000 | 1,027,170 |
| Series D, Georgian Court University, 5.00%, 7/01/33 | 150 | 142,082 |
| University of Medicine & Dentistry, Series B, | ||
| 7.50%, 12/01/32 | 450 | 508,311 |
| New Jersey Higher Education Assistance Authority, | ||
| Refunding RB, Series 1A: | ||
| 5.00%, 12/01/26 | 125 | 127,900 |
| 5.13%, 12/01/27 | 300 | 308,685 |
| 5.25%, 12/01/32 | 300 | 304,095 |
| 5.00%, 12/01/25 | 165 | 170,133 |
| 4,841,313 | ||
| Health — 28.3% | ||
| New Jersey EDA, RB, First Mortgage, Lions Gate Project, | ||
| Series A: | ||
| 5.75%, 1/01/25 | 150 | 131,460 |
| 5.88%, 1/01/37 | 265 | 218,652 |
| New Jersey EDA, Refunding RB: | ||
| First Mortgage, Winchester, Series A, | ||
| 5.80%, 11/01/31 | 1,000 | 982,960 |
| Seabrook Village Inc. Facility, 5.25%, 11/15/26 | 470 | 397,841 |
| Par | |||
| Municipal Bonds | (000) | Value | |
| New Jersey (continued) | |||
| Health (concluded) | |||
| New Jersey Health Care Facilities Financing Authority, RB: | |||
| Health System, Catholic Health East, Series A, | |||
| 5.38%, 11/15/33 (a) | $ 2,000 | $ 2,239,300 | |
| Hospital Asset Transformation Program, Series A, | |||
| 5.25%, 10/01/38 | 500 | 509,325 | |
| Meridian Health, Series I (AGC), 5.00%, 7/01/38 | 250 | 250,490 | |
| South Jersey Hospital, 6.00%, 7/01/12 (a) | 1,500 | 1,679,880 | |
| Virtua Health (AGC), 5.50%, 7/01/38 | 400 | 419,328 | |
| New Jersey Health Care Facilities Financing Authority, | |||
| Refunding RB: | |||
| Atlantic City Medical System, 5.75%, 7/01/25 | 1,110 | 1,137,028 | |
| CAB, St. Barnabas Health, Series B, | |||
| 5.90%, 7/01/30 (b) | 500 | 99,970 | |
| CAB, St. Barnabas Health, Series B, | |||
| 5.69%, 7/01/36 (b) | 3,600 | 424,584 | |
| CAB, St. Barnabas Health, Series B, | |||
| 5.75%, 7/01/37 (b) | 3,600 | 391,500 | |
| South Jersey Hospital, 5.00%, 7/01/46 | 500 | 469,625 | |
| 9,351,943 | |||
| Housing — 10.2% | |||
| New Jersey State Housing & Mortgage Finance | |||
| Agency, RB: | |||
| S/F Housing, Series CC, 5.00%, 10/01/34 | 560 | 562,413 | |
| Series A, 4.75%, 11/01/29 | 370 | 366,244 | |
| Series AA, 6.50%, 10/01/38 | 420 | 458,959 | |
| Series AA, 6.38%, 10/01/28 | 990 | 1,095,564 | |
| New Jersey State Housing & Mortgage Finance | |||
| Agency, Refunding RB, S/F Housing, Series T, AMT, | |||
| 4.70%, 10/01/37 | 250 | 233,060 | |
| Newark Housing Authority, RB, South Ward Police | |||
| Facility (AGC): | |||
| 6.75%, 12/01/38 | 405 | 458,185 | |
| 5.75%, 12/01/30 | 180 | 192,901 | |
| 3,367,326 | |||
| State — 26.0% | |||
| Garden State Preservation Trust, RB, CAB, Series B | |||
| (AGM), 5.24%, 11/01/27 (b) | 4,000 | 1,770,280 | |
| New Jersey EDA, RB: | |||
| Cigarette Tax (Radian), 5.75%, 6/15/34 | 295 | 283,055 | |
| Newark Downtown District Management Corp., | |||
| 5.13%, 6/15/37 | 250 | 206,313 | |
| School Facilities Construction, Series Z (AGC), | |||
| 6.00%, 12/15/34 | 1,000 | 1,126,780 | |
| School Facilities Construction, Series Z (AGC), | |||
| 5.50%, 12/15/34 | 1,000 | 1,088,170 | |
| New Jersey EDA, Refunding RB, School Facilities | |||
| Construction, Series AA, 5.50%, 12/15/29 | 500 | 543,175 | |
| New Jersey EDA, Special Assessment Bonds, Refunding, | |||
| Kapkowski Road Landfill Project, 6.50%, 4/01/28 | 2,250 | 2,259,337 | |
| New Jersey Transportation Trust Fund Authority, RB: | |||
| CAB, Transportation System, Series C (AGM), | |||
| 4.84%, 12/15/32 (b) | 1,250 | 341,350 | |
| Transportation System, Series A, 6.00%, 12/15/38 | 500 | 550,925 | |
| Transportation System, Series A (AGC), | |||
| 5.63%, 12/15/28 | 200 | 223,746 | |
| State of New Jersey, COP, Equipment Lease Purchase, | |||
| Series A, 5.25%, 6/15/28 | 200 | 208,812 | |
| 8,601,943 | |||
| Tobacco — 1.1% | |||
| Tobacco Settlement Financing Corp. New Jersey, | |||
| Refunding RB, Series 1A, 4.50%, 6/01/23 | 390 | 369,420 | |
See Notes to Financial Statements.
20 SEMI-ANNUAL REPORT FEBRUARY 28, 2010
Schedule of Investments (continued)
BlackRock New Jersey Municipal Bond Trust (BLJ)
(Percentages shown are based on Net Assets)
| Par | |||
| Municipal Bonds | (000) | Value | |
| New Jersey (concluded) | |||
| Transportation — 17.8% | |||
| New Jersey State Turnpike Authority, RB, Series E, | |||
| 5.25%, 1/01/40 | $ 1,000 | $ 1,040,110 | |
| New Jersey Transportation Trust Fund Authority, RB, | |||
| Transportation System, Series A, 5.88%, 12/15/38 | 460 | 501,681 | |
| Port Authority of New York & New Jersey, RB: | |||
| Consolidated, 125th Series (AGM), 5.00%, 4/15/32 | 1,500 | 1,534,650 | |
| Consolidated, 126th Series, AMT (NPFGC), | |||
| 5.25%, 5/15/37 | 2,250 | 2,263,342 | |
| Port Authority of New York & New Jersey, Refunding RB, | |||
| Consolidated, 152nd Series, AMT, 5.75%, 11/01/30 | 525 | 557,282 | |
| 5,897,065 | |||
| Utilities — 1.1% | |||
| Cumberland County Improvement Authority, RB, | |||
| Series A, 5.00%, 1/01/30 | 195 | 192,093 | |
| Rahway Valley Sewerage Authority, RB, CAB, Series A | |||
| (NPFGC), 4.40%, 9/01/33 (b) | 650 | 160,485 | |
| 352,578 | |||
| Total Municipal Bonds in New Jersey | 41,121,159 | ||
| Multi-State — 6.7% | |||
| Housing — 6.7% | |||
| Centerline Equity Issuer Trust, 7.20%, 10/31/52 (c)(d) | 2,000 | 2,190,940 | |
| Puerto Rico — 19.2% | |||
| Housing — 2.3% | |||
| Puerto Rico Housing Finance Authority, Refunding RB, | |||
| Subordinate, Capital Fund Modernization, | |||
| 5.13%, 12/01/27 | 765 | 770,577 | |
| State — 5.4% | |||
| Puerto Rico Commonwealth Infrastructure Financing | |||
| Authority, RB, CAB, Series A (AMBAC): | |||
| 4.36%, 7/01/37 (b) | 1,750 | 255,045 | |
| 4.53%, 7/01/43 (b) | 1,000 | 95,390 | |
| Puerto Rico Public Buildings Authority, Refunding RB, | |||
| Government Facilities, Series M-3 (NPFGC), | |||
| 6.00%, 7/01/27 | 425 | 441,341 | |
| Puerto Rico Sales Tax Financing Corp., RB, First | |||
| Sub-Series A, 5.75%, 8/01/37 | 970 | 999,847 | |
| 1,791,623 | |||
| Transportation — 3.3% | |||
| Puerto Rico Highway & Transportation Authority, | |||
| Refunding RB, Series CC (AGC), 5.50%, 7/01/31 | 1,000 | 1,074,670 | |
| Utilities — 8.2% | |||
| Puerto Rico Electric Power Authority, RB: | |||
| Series II, 5.25%, 7/01/12 (a) | 1,750 | 1,954,435 | |
| Series WW, 5.50%, 7/01/38 | 750 | 757,440 | |
| 2,711,875 | |||
| Total Municipal Bonds in Puerto Rico | 6,348,745 | ||
| Total Municipal Bonds – 150.4% | 49,660,844 | ||
| Municipal Bonds Transferred to | Par | ||
| Tender Option Bond Trusts (e) | (000) | Value | |
| New Jersey — 1.9% | |||
| Transportation — 1.9% | |||
| Port Authority of New York & New Jersey, Refunding RB, | |||
| Consolidated, 152nd Series, AMT, 5.25%, 11/01/35 | $ 630 | $ 639,359 | |
| Total Municipal Bonds Transferred to | |||
| Tender Option Bond Trusts — 1.9% | 639,359 | ||
| Total Long-Term Investments | |||
| (Cost — $50,227,911) — 152.3% | 50,300,203 | ||
| Short-Term Securities | Shares | ||
| CMA New Jersey Municipal Money Fund, | |||
| 0.04% (f)(g) | 1,859,371 | 1,859,371 | |
| Total Short-Term Securities | |||
| (Cost — $1,859,371) — 5.6% | 1,859,371 | ||
| Total Investments (Cost — $52,087,282*) — 157.9% | 52,159,574 | ||
| Other Assets Less Liabilities — 0.2% | 63,396 | ||
| Liability for Trust Certificates, Including Interest | |||
| Expense and Fees Payable — (1.3)% | (420,178) | ||
| Preferred Shares, at Redemption Value — (56.8)% | (18,776,130) | ||
| Net Assets Applicable to Common Shares — 100.0% | $ 33,026,662 | ||
| * The cost and unrealized appreciation (depreciation) of investments as of | |||
| February 28, 2010, as computed for federal income tax purposes, were as follows: | |||
| Aggregate cost | $ 51,524,075 | ||
| Gross unrealized appreciation | $ 2,378,236 | ||
| Gross unrealized depreciation | (2,162,520) | ||
| Net unrealized appreciation | $ 215,716 | ||
| (a) US government securities, held in escrow, are used to pay interest on this security, | |||
| as well as to retire the bond in full at the date indicated, typically at a premium | |||
| to par. | |||
| (b) Represents a zero-coupon bond. Rate shown reflects the current yield as of | |||
| report date. | |||
| (c) Security represents a beneficial interest in a trust. The collateral deposited into the | |||
| trust is federally tax-exempt revenue bonds issued by various state or local govern- | |||
| ments, or their respective agencies or authorities. The security is subject to remarket- | |||
| ing prior to its stated maturity, and is subject to mandatory redemption at maturity. | |||
| (d) Security exempt from registration under Rule 144A of the Securities Act of 1933. | |||
| These securities may be resold in transactions exempt from registration to qualified | |||
| institutional investors. | |||
| (e) Securities represent bonds transferred to a tender option bond trust in exchange for | |||
| which the Trust acquired residual interest certificates. These securities serve as col- | |||
| lateral in a financing transaction. See Note 1 of the Notes to Financial Statements | |||
| for details of municipal bonds transferred to tender option bond trusts. | |||
| (f) Investments in companies considered to be an affiliate of the Trust, for purposes of | |||
| Section 2(a)(3) of the Investment Company Act of 1940, were as follows: | |||
| Net | |||
| Affiliate | Activity | Income | |
| CMA New Jersey Municipal Money Fund | $1,208,770 | $185 | |
| (g) Represents the current yield as of report date. | |||
| • For Trust compliance purposes, the Trust’s sector classifications refer to any one | |||
| or more of the sector sub-classifications used by one or more widely recognized | |||
| market indexes or ratings group indexes and/or as defined by Trust management. | |||
| This definition may not apply for purposes of this report, which may combine sector | |||
| sub-classifications for reporting ease. | |||
See Notes to Financial Statements.
SEMI-ANNUAL REPORT FEBRUARY 28, 2010 21
Schedule of Investments (concluded) BlackRock New Jersey Municipal Bond Trust (BLJ)
| • | Fair Value Measurements — Various inputs are used in determining the fair value of | ||||||
| investments, which are as follows: | |||||||
| • | Level 1 — 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, repayment 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 | |||||||
| Trust’s own assumptions used in determining the fair value of investments) | |||||||
| The inputs or methodologies used for valuing securities are not necessarily an indi- | |||||||
| cation of the risk associated with investing in those securities. For information about | |||||||
| the Trust’s policy regarding valuation of investments and other significant accounting | |||||||
| policies, please refer to the Note 1 of the Notes to Financial Statements. | |||||||
| The following table summarizes the inputs used as of February 28, 2010 in deter- | |||||||
| mining the fair valuation of the Trust’s investments: | |||||||
| Investments in Securities | |||||||
| Valuation Inputs | Level 1 | Level 2 | Level 3 | Total | |||
| Assets: | |||||||
| Long-Term Securities1 | — | $50,300,203 | — | $50,300,203 | |||
| Short-Term Investment | $ 1,859,371 | — | — | 1,859,371 | |||
| Total | $ 1,859,371 | $50,300,203 | — | $52,159,574 | |||
| 1 See above Schedule of Investments for values in each state or | |||||||
| political subdivision. | |||||||
See Notes to Financial Statements.
22 SEMI-ANNUAL REPORT FEBRUARY 28, 2010
Schedule of Investments February 28, 2010 (Unaudited)
BlackRock New York Insured Municipal Income Trust (BSE)
(Percentages shown are based on Net Assets)
| Par | |||
| Municipal Bonds | (000) | Value | |
| New York — 117.3% | |||
| Corporate — 1.9% | |||
| New York Liberty Development Corp., RB, Goldman | |||
| Sachs Headquarters, 5.25%, 10/01/35 | $ 750 | $ 757,042 | |
| New York State Energy Research & Development | |||
| Authority, RB, Lilco Project, Series A (NPFGC), | |||
| 5.15%, 3/01/16 | 1,000 | 1,003,580 | |
| 1,760,622 | |||
| County/City/Special District/School District — 25.0% | |||
| Erie County Industrial Development Agency, RB, City | |||
| School District of Buffalo Project, Series A (AGM), | |||
| 5.75%, 5/01/25 | 1,000 | 1,108,230 | |
| Haverstraw-Stony Point Central School District New York, | |||
| GO (AGM): | |||
| 3.00%, 10/15/27 | 140 | 115,368 | |
| 3.00%, 10/15/26 | 200 | 168,260 | |
| Hudson Yards Infrastructure Corp., RB, Series A (FGIC), | |||
| 5.00%, 2/15/47 | 3,000 | 2,851,890 | |
| New York City Industrial Development Agency, RB: | |||
| CAB, Yankee Stadium, PILOT (AGC), | |||
| 6.48%, 3/01/39 (a) | 1,000 | 183,510 | |
| Queens Baseball Stadium, PILOT (AGC), | |||
| 6.38%, 1/01/39 | 150 | 164,253 | |
| Queens Baseball Stadium, PILOT (AMBAC), | |||
| 5.00%, 1/01/46 | 2,725 | 2,350,040 | |
| Yankee Stadium, PILOT (NPFGC), 4.75%, 3/01/46 | 1,000 | 902,980 | |
| New York City Transitional Finance Authority, RB, | |||
| Series S-2 (AGM), 5.00%, 1/15/37 | 850 | 867,816 | |
| New York City Transitional Finance Authority, | |||
| Refunding RB, Future Tax Secured, Series B (AMBAC), | |||
| 5.00%, 5/01/30 | 3,265 | 3,331,214 | |
| New York Convention Center Development Corp., RB, | |||
| Hotel Unit Fee Secured (AMBAC), 5.00%, 11/15/44 | 4,675 | 4,561,772 | |
| Sales Tax Asset Receivable Corp., RB, Series A (AMBAC), | |||
| 5.00%, 10/15/32 | 6,000 | 6,217,920 | |
| 22,823,253 | |||
| Education — 31.6% | |||
| Herkimer County Industrial Development Agency | |||
| New York, RB, College Foundation Inc. Student | |||
| Housing Project, 6.25%, 8/01/34 | 1,000 | 962,450 | |
| Madison County Industrial Development Agency | |||
| New York, RB, Colgate University Project, Series A | |||
| (AMBAC), 5.00%, 7/01/30 | 1,000 | 1,029,700 | |
| New York City Industrial Development Agency, RB, | |||
| Lycee Francais de New York Project, Series A (ACA), | |||
| 5.38%, 6/01/23 | 2,500 | 2,574,425 | |
| New York City Transitional Finance Authority, RB, | |||
| Fiscal 2009, Series S-4 (AGC), 5.50%, 1/15/33 | 1,000 | 1,048,930 | |
| New York State Dormitory Authority, RB: | |||
| Brooklyn Law School, Series B (Syncora), | |||
| 5.13%, 7/01/30 | 4,000 | 4,002,760 | |
| FIT Student Housing Corp. (FGIC), | |||
| 5.13%, 7/01/14 (b) | 2,500 | 2,889,100 | |
| Mount Sinai School of Medicine at NYU (NPFGC), | |||
| 5.00%, 7/01/35 | 3,500 | 3,469,970 | |
| New York University, Series 2 (AMBAC), | |||
| 5.00%, 7/01/41 | 7,000 | 7,028,490 | |
| Saints Joachim & Anne Residence, 5.25%, 7/01/27 | 3,000 | 3,011,610 | |
| Trust for Cultural Resources, RB, Carnegie Hall, Series A, | |||
| 4.75%, 12/01/39 | 300 | 295,743 | |
| Trust for Cultural Resources, Refunding RB, American | |||
| Museum of Natural History, Series A (NPFGC), | |||
| 5.00%, 7/01/44 | 2,500 | 2,534,925 | |
| 28,848,103 | |||
| Par | |||
| Municipal Bonds | (000) | Value | |
| New York (concluded) | |||
| Health — 20.2% | |||
| New York State Dormitory Authority, MRB: | |||
| Hospital, Lutheran Medical (NPFGC), | |||
| 5.00%, 8/01/31 | $ 4,500 | $ 4,511,970 | |
| St. Barnabas, Series A (FHA), 5.00%, 2/01/31 | 5,000 | 5,059,100 | |
| New York State Dormitory Authority, RB: | |||
| Hudson Valley Hospital (BHAC), 5.00%, 8/15/36 | 1,250 | 1,297,287 | |
| New York & Presbyterian Hospital (AGM), | |||
| 5.25%, 2/15/31 | 500 | 515,430 | |
| North Shore-Long Island Jewish Health System, | |||
| Series A, 5.50%, 5/01/37 | 350 | 353,994 | |
| New York State Dormitory Authority, Refunding RB: | |||
| Hospital, New York & Presbyterian Hospital | |||
| (AMBAC), 5.00%, 8/01/32 | 3,885 | 3,885,894 | |
| St. Luke’s Roosevelt Hospital (FHA), | |||
| 4.90%, 8/15/31 | 750 | 735,345 | |
| Winthrop University Hospital Association, Series A | |||
| (AMBAC), .25%, 7/01/31 | 2,000 | 2,031,160 | |
| 18,390,180 | |||
| State — 9.4% | |||
| New York State Dormitory Authority, ERB, Series B, | |||
| 5.75%, 3/15/36 | 600 | 669,900 | |
| New York State Dormitory Authority, RB: | |||
| Master BOCES Program Lease (AGC), | |||
| 4.75%, 8/15/24 | 250 | 263,245 | |
| Mental Health Services Facilities Improvement, | |||
| Series A (AGM), 5.00%, 2/15/22 | 1,000 | 1,077,040 | |
| School Districts Financing Program, Series D | |||
| (NPFGC), 5.00%, 10/01/30 | 3,500 | 3,535,455 | |
| New York State Dormitory Authority, Refunding RB: | |||
| School District Financing Program, Series A (AGM), | |||
| 5.00%, 10/01/35 | 1,000 | 1,023,810 | |
| School Districts Financing Program, Series A | |||
| (NPFGC), 5.00%, 4/01/31 | 2,000 | 2,016,360 | |
| 8,585,810 | |||
| Transportation — 21.5% | |||
| Hudson Yards Infrastructure Corp., RB (AGC), | |||
| 5.00%, 2/15/47 | 1,250 | 1,238,312 | |
| Metropolitan Transportation Authority, RB, Series 2008C, | |||
| 6.50%, 11/15/28 | 750 | 860,048 | |
| Metropolitan Transportation Authority, Refunding RB: | |||
| Series A (AMBAC), 5.00%, 7/01/30 | 4,600 | 4,659,616 | |
| Series A (NPFGC), 5.25%, 11/15/31 | 4,250 | 4,313,027 | |
| Transportation, Series E (NPFGC), 5.25%, 11/15/31 | 2,660 | 2,699,448 | |
| New York State Thruway Authority, RB, Series G (AGM), | |||
| 5.00%, 1/01/32 | 500 | 512,215 | |
| New York State Thruway Authority, Refunding RB, | |||
| Series H (AGM), 5.00%, 1/01/37 | 4,000 | 4,093,560 | |
| Niagara Falls Bridge Commission, Refunding RB, Bridge | |||
| System, Series A (AGC), 4.00%, 10/01/19 | 1,000 | 1,037,370 | |
| Port Authority of New York & New Jersey, RB, | |||
| Consolidated 116th Series, 4.13%, 9/15/32 | 250 | 235,985 | |
| 19,649,581 | |||
| Utilities — 7.7% | |||
| Long Island Power Authority, RB, General, Series C | |||
| (CIFG), 5.25%, 9/01/29 | 1,000 | 1,103,610 | |
| Long Island Power Authority, Refunding RB: | |||
| General, Series A (AGC), 6.00%, 5/01/33 | 2,000 | 2,233,960 | |
| General, Series F (NPFGC), 4.25%, 5/01/33 | 1,415 | 1,293,819 | |
| Series A (AGC), 5.75%, 4/01/39 | 1,690 | 1,867,450 | |
| New York City Municipal Water Finance Authority, RB, | |||
| Series DD (AGM), 4.50%, 6/15/39 | 500 | 491,175 | |
| 6,990,014 | |||
| Total Municipal Bonds in New York | 107,047,563 | ||
See Notes to Financial Statements.
SEMI-ANNUAL REPORT FEBRUARY 28, 2010 23
Schedule of Investments (continued)
BlackRock New York Insured Municipal Income Trust (BSE)
(Percentages shown are based on Net Assets)
| Par | |||
| Municipal Bonds | (000) | Value | |
| Puerto Rico — 17.4% | |||
| County/City/Special District/School District — 0.8% | |||
| Puerto Rico Sales Tax Financing Corp., RB, | |||
| 1st Sub-Series A (AGM), 5.00%, 8/01/40 | $ 500 | $ 500,370 | |
| Puerto Rico Sales Tax Financing Corp., Refunding RB, | |||
| CAB, Series A (NPFGC), 5.79%, 8/01/41 (a) | 1,500 | 225,330 | |
| 725,700 | |||
| Education — 4.6% | |||
| Puerto Rico Industrial Tourist Educational Medical | |||
| & Environmental Control Facilities Financing Authority, | |||
| Refunding RB, Polytechnic University Project, Series A | |||
| (ACA), 5.00%, 8/01/32 | 4,000 | 3,244,080 | |
| Puerto Rico Industrial Tourist Educational Medical | |||
| & Environmental Control Facilities Financing Authority, | |||
| RB, University Plaza Project, Series A (NPFGC), | |||
| 5.00%, 7/01/33 | 1,000 | 928,430 | |
| 4,172,510 | |||
| State — 6.0% | |||
| Commonwealth of Puerto Rico, GO, Refunding: | |||
| Public Improvement, Series A-4 (AGM), 5.25%, 7/01/30 | 725 | 749,193 | |
| Sub-Series C-7 (NPFGC), 6.00%, 7/01/27 | 1,000 | 1,051,460 | |
| Puerto Rico Highway & Transportation Authority, | |||
| Refunding RB, Series CC (AGM): | |||
| 5.25%, 7/01/32 | 1,000 | 1,034,720 | |
| 5.50%, 7/01/31 | 1,000 | 1,074,670 | |
| Puerto Rico Public Buildings Authority, Refunding RB, | |||
| Government Facilities, Series M-3 (NPFGC), | |||
| 6.00%, 7/01/28 | 500 | 518,545 | |
| Puerto Rico Sales Tax Financing Corp., RB, First | |||
| Sub-Series A, 5.75%, 8/01/37 | 1,000 | 1,030,770 | |
| 5,459,358 | |||
| Transportation — 2.4% | |||
| Puerto Rico Highway & Transportation Authority, RB, | |||
| Series Y (AGM), 6.25%, 7/01/21 | 2,000 | 2,241,320 | |
| Utilities — 3.6% | |||
| Puerto Rico Aqueduct & Sewer Authority, RB, | |||
| Senior Lien, Series A (AGC), 5.13%, 7/01/47 | 1,250 | 1,233,113 | |
| Puerto Rico Electric Power Authority, Refunding RB, | |||
| Series VV (NPFGC), 5.25%, 7/01/30 | 2,000 | 2,029,960 | |
| 3,263,073 | |||
| Total Municipal Bonds in Puerto Rico | 15,861,961 | ||
| Total Municipal Bonds — 134.7% | 122,909,524 | ||
| Municipal Bonds Transferred to | |||
| Tender Option Bond Trusts (c) | |||
| New York — 19.5% | |||
| County/City/Special District/School District — 1.2% | |||
| City of New York. New York, GO, SubSeries C-3 (AGC), | |||
| 5.75%, 8/15/28 | 1,000 | 1,129,990 | |
| Transportation — 17.2% | |||
| Metropolitan Transportation Authority, Refunding RB, | |||
| Series A (AGM), 5.00%, 11/15/30 | 6,080 | 6,141,104 | |
| Triborough Bridge & Tunnel Authority, Refunding RB | |||
| (NPFGC), 5.00%, 11/15/32 | 9,404 | 9,555,913 | |
| 15,697,017 | |||
| Municipal Bonds Transferred to | Par | ||
| Tender Option Bond Trusts (c) | (000) | Value | |
| New York (concluded) | |||
| Utilities — 1.1% | |||
| New York City Municipal Water Finance Authority, RB: | |||
| Fiscal 2009, Series A, 5.75%, 6/15/40 | $ 495 | $ 553,677 | |
| Series FF-2, 5.50%, 6/15/40 | 405 | 444,731 | |
| 998,408 | |||
| Total Municipal Bonds Transferred to | |||
| Tender Option Bond Trusts | 17,825,415 | ||
| Total Long-Term Investments | |||
| (Cost — $139,370,727) — 154.2% | 140,734,939 | ||
| Short-Term Securities | |||
| New York — 0.1% | |||
| City of New York New York, GO, Refunding, VRDN, | |||
| Sub-Series H-3 (AGM), 0.14%, 3/01/10 (d) | 50 | 50,000 | |
| Shares | |||
| Money Market Fund — 0.5% | |||
| CMA New York Municipal Money Fund 0.00%, (e)(f) | 491,381 | 491,381 | |
| Total Short-Term Securities | |||
| (Cost — $541,381) — 0.6% | 541,381 | ||
| Total Investments (Cost — $139,912,108*) — 154.8% | $141,276,320 | ||
| Other Assets Less Liabilities — 1.1% | 998,443 | ||
| Liability for Trust Certificates, Including Interest | |||
| Expense and Fees Payable — (11.4)% | (10,420,228) | ||
| Preferred Shares, at Redemption Value — (44.5)% | (40,576,075) | ||
| Net Assets Applicable to Common Shares — 100.0% | $ 91,278,460 | ||
| * The cost and unrealized appreciation (depreciation) of investments as of | |||
| February 28, 2010, as computed for federal income tax purposes, were as follows: | |||
| Aggregate cost | $ 129,621,123 | ||
| Gross unrealized appreciation | $ 3,247,888 | ||
| Gross unrealized depreciation | (2,001,194) | ||
| Net unrealized appreciation | $ 1,246,694 | ||
| (a) Represents a zero-coupon bond. Rate shown reflects the current yield as of | |||
| report date. | |||
| (b) US government securities, held in escrow, are used to pay interest on this security, | |||
| as well as to retire the bond in full at the date indicated, typically at a premium | |||
| to par. | |||
| (c) Securities represent bonds transferred to a tender option bond trust in exchange for | |||
| which the Trust acquired residual interest certificates. These securities serve as col- | |||
| lateral in a financing transaction. See Note 1 of the Notes to Financial Statements | |||
| for details of municipal bonds transferred to tender option bond trusts. | |||
| (d) Variable rate security. Rate shown is as of report date and maturity shown is the | |||
| date the principal owed can be recovered through demand. | |||
| (e) Investments in companies considered to be an affiliate of the Trust, for purposes of | |||
| Section 2(a)(3) of the Investment Company Act of 1940, were as follows: | |||
| Net | |||
| Affiliate | Activity | Income | |
| CMA New York Municipal Money Fund | $(2,819,693) | $75 | |
| (f) Represents the current yield as of report date. | |||
| • For Trust compliance purposes, the Trust’s sector classifications refer to any one | |||
| or more of the sector sub-classifications used by one or more widely recognized | |||
| market indexes or ratings group indexes and/or as defined by Trust management. | |||
| This definition may not apply for purposes of this report, which may combine sector | |||
| sub-classifications for reporting ease. | |||
See Notes to Financial Statements.
24 SEMI-ANNUAL REPORT FEBRUARY 28, 2010
Schedule of Investments (concluded) BlackRock New York Insured Municipal Income Trust (BSE)
• Fair Value Measurements — Various inputs are used in determining the fair value of
investments, which are as follows:
• Level 1 — 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, repayment 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
Trust’s own assumptions used in determining the fair value of investments)
The inputs or methodologies used for valuing securities are not necessarily an indi-
cation of the risk associated with investing in those securities. For information about
the Trust’s policy regarding valuation of investments and other significant accounting
policies, please refer to Note 1 of the Notes to Financial Statements.
The following table summarizes the inputs used as of February 28, 2010 in deter-
mining the fair valuation of the Trust’s investments:
| Investments in Securities | |||||
|
| |||||
| Valuation Inputs | Level 1 | Level 2 | Level 3 | Total | |
| Assets: | |||||
| Long-Term Investments1 | — | $140,734,939 | — | $140,734,939 | |
| Short-Term Securities | $ 491,381 | 50,000 | — | 541,381 | |
| Total | $ 491,381 | $140,784,939 | — | $141,276,320 | |
| 1 See above Schedule of Investments for values in each state or | |||||
| political subdivision. | |||||
See Notes to Financial Statements.
SEMI-ANNUAL REPORT FEBRUARY 28, 2010 25
Schedule of Investments February 28, 2010 (Unaudited)
BlackRock New York Municipal Bond Trust (BQH)
(Percentages shown are based on Net Assets)
| Par | |||
| Municipal Bonds | (000) | Value | |
| New York — 121.1% | |||
| Corporate — 15.7% | |||
| Chautauqua County Industrial Development Agency, RB, | |||
| Nrg Dunkirk Power Project, 5.88%, 4/01/42 | $ 250 | $ 253,498 | |
| Essex County Industrial Development Agency New York, | |||
| RB, International Paper Co. Project, Series A, AMT, | |||
| 6.63%, 9/01/32 | 100 | 101,458 | |
| New York City Industrial Development Agency, RB, | |||
| American Airlines Inc., JFK International Airport, AMT: | |||
| 7.63%, 8/01/25 | 750 | 735,450 | |
| 7.75%, 8/01/31 | 1,000 | 999,910 | |
| New York Liberty Development Corp., RB, Goldman | |||
| Sachs Headquarters, 5.25%, 10/01/35 | 1,750 | 1,766,432 | |
| Port Authority of New York & New Jersey, RB, Continental | |||
| Airlines Inc. and Eastern Air Lines Inc. Project, | |||
| LaGuardia, AMT, 9.13%, 12/01/15 | 2,195 | 2,197,941 | |
| Suffolk County Industrial Development Agency New York, | |||
| RB, KeySpan, Port Jefferson, AMT, 5.25%, 6/01/27 | 500 | 489,955 | |
| 6,544,644 | |||
| County/City/Special District/School District — 21.0% | |||
| Brooklyn Arena Local Development Corp., RB, Barclays | |||
| Center Project, 6.38%, 7/15/43 | 200 | 205,996 | |
| City of New York New York, GO: | |||
| Series A-1, 4.75%, 8/15/25 | 500 | 525,240 | |
| Series D, 5.38%, 6/01/32 | 2,040 | 2,084,472 | |
| Sub-Series G-1, 6.25%, 12/15/31 | 250 | 290,167 | |
| Sub-Series I-1, 5.38%, 4/01/36 | 450 | 482,233 | |
| Hudson Yards Infrastructure Corp., RB, Series A: | |||
| 5.00%, 2/15/47 | 700 | 665,441 | |
| (FGIC), 5.00%, 2/15/47 | 500 | 475,315 | |
| (NPFGC), 4.50%, 2/15/47 | 1,000 | 861,100 | |
| New York City Industrial Development Agency, RB, PILOT: | |||
| CAB, Yankee Stadium (AGC), 6.37%, 3/01/41 (a) | 5,155 | 799,644 | |
| CAB, Yankee Stadium (AGC), 6.42%, 3/01/43 (a) | 2,500 | 339,500 | |
| Queens Baseball Stadium (AGC), 6.38%, 1/01/39 | 100 | 109,502 | |
| Queens Baseball Stadium (AMBAC), | |||
| 5.00%, 1/01/39 | 250 | 220,855 | |
| New York City Transitional Finance Authority, RB, | |||
| Fiscal 2009, Series S-3, 5.25%, 1/15/39 | 500 | 523,460 | |
| New York Convention Center Development Corp., RB, | |||
| Hotel Unit Fee Secured (AMBAC), 5.00%, 11/15/44 | 1,000 | 975,780 | |
| New York State Dormitory Authority, RB, State University | |||
| Dormitory Facilities, Series A, 5.00%, 7/01/39 | 150 | 155,315 | |
| 8,714,020 | |||
| Education — 20.1% | |||
| Albany Industrial Development Agency, RB, New | |||
| Covenant Charter School Project, Series A: | |||
| 7.00%, 5/01/25 | 200 | 100,000 | |
| 7.00%, 5/01/35 | 130 | 65,000 | |
| Dutchess County Industrial Development | |||
| Agency New York, RB, Vassar College Project, | |||
| 5.35%, 8/01/11 (b) | 1,000 | 1,077,660 | |
| Dutchess County Industrial Development Agency | |||
| New York, Refunding RB, Bard College Civic Facility, | |||
| Series A-2, 4.50%, 8/01/36 | 500 | 418,550 | |
| Nassau County Industrial Development Agency, | |||
| Refunding RB, New York Institute of Technology | |||
| Project, Series A, 4.75%, 3/01/26 | 200 | 197,350 | |
| New York City Industrial Development Agency, RB, | |||
| Lycee Francais de New York Project, Series A (ACA), | |||
| 5.50%, 6/01/15 | 250 | 266,735 | |
| New York City Industrial Development Agency, | |||
| Refunding RB, Polytechnic University Project (ACA), | |||
| 5.25%, 11/01/37 | 250 | 215,793 | |
| Par | |||
| Municipal Bonds | (000) | Value | |
| New York (continued) | |||
| Education (concluded) | |||
| New York Liberty Development Corp., RB, | |||
| National Sports Museum Project, Series A, | |||
| 6.13%, 2/15/19 (c)(d) | $ 385 | $ 4 | |
| New York State Dormitory Authority, RB: | |||
| 5.83%, 7/01/39 (e) | 175 | 142,007 | |
| Iona College (Syncora), 5.13%, 7/01/32 | 2,500 | 2,505,575 | |
| Mount Sinai School of Medicine, 5.13%, 7/01/39 | 500 | 499,590 | |
| New York University, Series 1 (BHAC), | |||
| 5.50%, 7/01/31 | 245 | 286,170 | |
| Rochester Institute of Technology, Series A, | |||
| 6.00%, 7/01/33 | 325 | 356,931 | |
| University of Rochester, Series A, 5.13%, 7/01/39 | 215 | 221,998 | |
| New York State Dormitory Authority, Refunding RB: | |||
| Brooklyn Law School, 5.75%, 7/01/33 | 125 | 127,708 | |
| Teachers College, 5.50%, 3/01/39 | 350 | 364,374 | |
| Suffolk County Industrial Development Agency, | |||
| Refunding RB, New York Institute of Technology | |||
| Project, 5.00%, 3/01/26 | 150 | 150,197 | |
| Trust for Cultural Resources, RB: | |||
| Carnegie Hall, Series A, 4.75%, 12/01/39 | 550 | 542,195 | |
| Juilliard School, Series A, 5.00%, 1/01/39 | 550 | 578,055 | |
| Yonkers Industrial Development Agency New York, | |||
| RB, Sarah Lawrence College Project, Series A, | |||
| 6.00%, 6/01/41 | 250 | 258,770 | |
| 8,374,662 | |||
| Health — 6.4% | |||
| Genesee County Industrial Development Agency | |||
| New York, Refunding RB, United Memorial Medical | |||
| Center Project, 5.00%, 12/01/27 | 150 | 126,818 | |
| New York State Dormitory Authority, RB: | |||
| NYU Hospital Center, Series B, 5.63%, 7/01/37 | 260 | 254,124 | |
| New York & Presbyterian Hospital (AGM), | |||
| 5.25%, 2/15/31 | 425 | 438,116 | |
| New York State Association for Retarded | |||
| Children, Inc., Series B (AMBAC), 6.00%, 7/01/32 | 185 | 195,552 | |
| North Shore-Long Island Jewish Health System, | |||
| Series A, 5.50%, 5/01/37 | 450 | 455,134 | |
| North Shore-Long Island Jewish Health System, | |||
| Series A, 5.75%, 5/01/37 | 500 | 513,585 | |
| New York State Dormitory Authority, Refunding RB, | |||
| North Shore-Long Island Jewish Health System, | |||
| Series E, 5.50%, 5/01/33 | 250 | 253,215 | |
| Saratoga County Industrial Development Agency | |||
| New York, RB, Saratoga Hospital Project, Series B, | |||
| 5.25%, 12/01/32 | 200 | 190,050 | |
| Suffolk County Industrial Development Agency | |||
| New York, Refunding RB, Jeffersons Ferry Project, | |||
| 5.00%, 11/01/28 | 260 | 233,431 | |
| 2,660,025 | |||
| Housing — 7.2% | |||
| New York City Housing Development Corp., RB, Series A, | |||
| AMT, 5.50%, 11/01/34 | 2,500 | 2,515,575 | |
| New York State HFA, RB, Highland Avenue | |||
| Senior Apartments, Series A, AMT (SONYMA), | |||
| 5.00%, 2/15/39 | 500 | 459,915 | |
| 2,975,490 | |||
| State — 19.8% | |||
| New York State Dormitory Authority, ERB, Series B, | |||
| 5.75%, 3/15/36 | 300 | 334,950 | |
| New York State Dormitory Authority, LRB, Municipal | |||
| Health Facilities, Sub-Series 2-4, 4.75%, 1/15/30 | 500 | 504,230 | |
See Notes to Financial Statements.
26 SEMI-ANNUAL REPORT FEBRUARY 28, 2010
Schedule of Investments (continued)
BlackRock New York Municipal Bond Trust (BQH)
(Percentages shown are based on Net Assets)
| Par | ||
| Municipal Bonds | (000) | Value |
| New York (concluded) | ||
| State (concluded) | ||
| New York State Dormitory Authority, RB, Mental Health | ||
| Services Facilities Improvement, Series A (AGM), | ||
| 5.00%, 2/15/22 | $ 335 | $ 360,808 |
| New York State Urban Development Corp., RB: | ||
| Personal Income Tax, State Facilities, Series A, | ||
| 5.25%, 3/15/12 (b) | 5,000 | 5,475,450 |
| State Personal Income Tax, Series B, | ||
| 5.00%, 3/15/37 | 1,000 | 1,029,900 |
| State of New York, GO, Series A, 5.00%, 2/15/39 | 500 | 520,525 |
| 8,225,863 | ||
| Tobacco — 8.6% | ||
| New York Counties Tobacco Trust III, RB, Tobacco | ||
| Settlement Pass-Thru, Turbo, 6.00%, 6/01/43 | 1,445 | 1,320,513 |
| TSASC Inc. New York, RB, Tobacco Settlement | ||
| Asset-Backed, Series 1, 5.75%, 7/15/12 (b) | 2,000 | 2,236,940 |
| 3,557,453 | ||
| Transportation — 10.6% | ||
| Metropolitan Transportation Authority, RB: | ||
| Series 2008C, 6.50%, 11/15/28 | 700 | 802,711 |
| Series A, 5.63%, 11/15/39 | 250 | 268,030 |
| Series B, 4.50%, 11/15/37 | 100 | 94,689 |
| Port Authority of New York & New Jersey, RB: | ||
| Consolidated, 116th Series, 4.13%, 9/15/32 | 500 | 471,970 |
| Consolidated, 126th Series, AMT (NPFGC), | ||
| 5.25%, 5/15/37 | 2,750 | 2,766,308 |
| 4,403,708 | ||
| Utilities — 11.7% | ||
| Long Island Power Authority, RB, General, Series C | ||
| (CIFG), 5.25%, 9/01/29 | 500 | 551,805 |
| Long Island Power Authority, Refunding RB, Series A: | ||
| 5.50%, 4/01/24 | 250 | 275,147 |
| 6.25%, 4/01/33 | 100 | 115,036 |
| New York City Municipal Water Finance Authority, RB: | ||
| Second General Resolution (NPFGC), | ||
| 4.50%, 6/15/37 | 250 | 245,738 |
| Series A (FGIC), 5.25%, 6/15/11 (b) | 2,500 | 2,658,600 |
| New York State Environmental Facilities Corp., | ||
| Refunding RB, Revolving Funds, New York City Water | ||
| Project, Series D, 5.13%, 6/15/31 | 1,000 | 1,023,350 |
| 4,869,676 | ||
| Total Municipal Bonds in New York | 50,325,541 | |
| Guam — 2.4% | ||
| County/City/Special District/School District — 0.6% | ||
| Territory of Guam, RB, Section 30, Series A, | ||
| 5.75%, 12/01/34 | 230 | 232,891 |
| State — 0.6% | ||
| Territory of Guam, GO, Series A, 7.00%, 11/15/39 | 225 | 239,960 |
| Tobacco — 0.4% | ||
| Guam Economic Development & Commerce Authority, | ||
| Refunding RB, Tobacco Settlement Asset-Backed, | ||
| 5.63%, 6/01/47 | 200 | 168,746 |
| Utilities — 0.8% | ||
| Guam Government Waterworks Authority, Refunding RB, | ||
| Water, 5.88%, 7/01/35 | 350 | 343,189 |
| Total Municipal Bonds in Guam | 984,786 |
| Par | ||
| Municipal Bonds | (000) | Value |
| Multi-State — 6.6% | ||
| Housing — 6.6% | ||
| Centerline Equity Issuer Trust, 7.20%, 10/31/52 (f)(g) | $ 2,500 | $ 2,738,675 |
| Puerto Rico — 18.0% | ||
| County/City/Special District/School District — 3.0% | ||
| Puerto Rico Sales Tax Financing Corp., RB, First | ||
| Sub-Series A, 6.00%, 8/01/42 | 1,000 | 1,046,850 |
| Puerto Rico Sales Tax Financing Corp., Refunding RB, | ||
| CAB, Series A (NPFGC), 5.78%, 8/01/41 (a) | 1,400 | 210,308 |
| 1,257,158 | ||
| State — 12.0% | ||
| Commonwealth of Puerto Rico, GO, Public Improvement, | ||
| Series A, 5.13%, 7/01/31 | 1,725 | 1,640,044 |
| Puerto Rico Commonwealth Infrastructure Financing | ||
| Authority, RB, CAB, Series A (AMBAC): | ||
| 4.36%, 7/01/37 (a) | 2,000 | 291,480 |
| 4.99%, 7/01/44 (a) | 2,000 | 177,220 |
| Puerto Rico Public Buildings Authority, Refunding RB, | ||
| Government Facilities, Series D: | ||
| 5.25%, 7/01/12 (b) | 1,980 | 2,177,149 |
| 5.25%, 7/01/27 | 720 | 706,291 |
| 4,992,184 | ||
| Tobacco — 1.0% | ||
| Children’s Trust Fund, Refunding RB, Asset-Backed, | ||
| 5.63%, 5/15/43 | 500 | 434,625 |
| Transportation — 2.0% | ||
| Puerto Rico Highway & Transportation Authority, | ||
| Refunding RB, Series D, 5.25%, 7/01/12 (b) | 750 | 823,200 |
| Total Municipal Bonds in Puerto Rico | 7,507,167 | |
| Total Municipal Bonds — 148.1% | 61,556,169 | |
| Municipal Bonds Transferred to | ||
| Tender Option Bond Trusts (h) | ||
| New York — 7.1% | ||
| Housing — 6.0% | ||
| New York Mortgage Agency New York, RB, Series 101, | ||
| AMT, 5.40%, 4/01/32 | 2,477 | 2,487,182 |
| Utilities — 1.1% | ||
| New York City Municipal Water Finance Authority, RB, | ||
| Fiscal 2009, Series A, 5.75%, 6/15/40 | 405 | 453,008 |
| Total Municipal Bonds Transferred to | ||
| Tender Option Bond Trusts — 7.1% | 2,940,190 | |
| Total Long-Term Investments | ||
| (Cost — $62,980,140) — 155.2% | 64,496,359 | |
| Short-Term Securities | Shares | |
| CMA New York Municipal Money Fund, 0.00% (i)(j) | 480,614 | 480,614 |
| Total Short-Term Securities | ||
| (Cost — $480,614) — 1.2% | 480,614 | |
| Total Investments (Cost — $63,460,754*) — 156.4% | 64,976,973 | |
| Other Assets Less Liabilities — 0.5% | 212,783 | |
| Liability for Trust Certificates, Including Interest | ||
| Expense and Fees Payable — (3.6)% | (1,510,531) | |
| Preferred Shares, at Redemption Value — (53.3)% | (22,126,061) | |
| Net Assets — 100.0% | $ 41,553,164 |
See Notes to Financial Statements.
SEMI-ANNUAL REPORT FEBRUARY 28, 2010 27
Schedule of Investments (concluded) BlackRock New York Municipal Bond Trust (BQH)
| * The cost and unrealized appreciation (depreciation) of investments as of | ||||
| February 28, 2009, as computed for federal income tax purposes, were as follows: | ||||
| Aggregate cost | $ 61,861,019 | |||
| Gross unrealized appreciation | $ 3,135,214 | |||
| Gross unrealized depreciation | (1,528,337) | |||
| Net unrealized appreciation | $ 1,606,877 | |||
| (a) Represents a zero-coupon bond. Rate shown reflects the current yield as of | ||||
| report date. | ||||
| (b) U.S. government securities, held in escrow, are used to pay interest on this security, | ||||
| as well as to retire the bond in full at the date indicated, typically at a premium | ||||
| to par. | ||||
| (c) Issuer filed for bankruptcy and/or is in default of interest payments. | ||||
| (d) Non-income producing security. | ||||
| (e) Represents a step-up bond that pays an initial coupon rate for the first period and | ||||
| then a higher coupon rate for the following periods. Rate shown reflects the current | ||||
| yield as of report date. | ||||
| (f) Security exempt from registration under Rule 144A of the Securities Act of 1933. | ||||
| These securities may be resold in transactions exempt from registration to qualified | ||||
| institutional investors. | ||||
| (g) Security represents a beneficial interest in a trust. The collateral deposited into the | ||||
| trust is federally tax-exempt revenue bonds issued by various state or local govern- | ||||
| ments, or their respective agencies or authorities. The security is subject to remarket- | ||||
| ing prior to its stated maturity, and is subject to mandatory redemption at maturity. | ||||
| (h) Securities represent bonds transferred to a tender option bond trust in exchange for | ||||
| which the Trust acquired residual interest certificates. These securities serve as col- | ||||
| lateral in a financing transaction. See Note 1 of the Notes to Financial Statements | ||||
| for details of municipal bonds transferred to tender option bond trusts. | ||||
| (i) Investments in companies considered to be an affiliate of the Trust, for purposes of | ||||
| Section 2(a)(3) of the Investment Company Act of 1940, were as follows: | ||||
| Net | ||||
| Affiliate | Activity | Income | ||
| CMA New York Municipal Money Fund | $(656,726) | $101 | ||
| (j) Represents the current yield as of report date. | ||||
| • | For Trust compliance purposes, the Trust’s sector classifications refer to any one | |||
| or more of the sector sub-classifications used by one or more widely recognized | ||||
| market indexes or ratings group indexes and/or as defined by Trust management. | ||||
| This definition may not apply for purposes of this report, which may combine sector | ||||
| sub-classifications for reporting ease. | ||||
| • | Fair Value Measurements — Various inputs are used in determining the fair value of | |||
| investments, which are as follows: | ||||
| • | Level 1 — 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 | ||||
| Trust’s own assumptions used in determining the fair value of investments) | ||||
| The inputs or methodologies used for valuing securities are not necessarily an indi- | |||||
| cation of the risk associated with investing in those securities. For information about | |||||
| the Trust’s policy regarding valuation of investments and other significant accounting | |||||
| policies, please refer to Note 1 of the Notes to Financial Statements. | |||||
| The following table summarizes the inputs used as of February 28, 2010 in deter- | |||||
| mining the fair valuation of the Trust’s investments: | |||||
| Investments in Securities | |||||
|
| |||||
| Valuation Inputs | Level 1 | Level 2 | Level 3 | Total | |
| Assets: | |||||
| Long-Term Investments1 | — | $64,496,359 | — | $64,496,359 | |
| Short-Term Securities | $ 480,614 | — | — | 480,614 | |
| Total | $ 480,614 | $64,496,359 | — | $64,976,973 | |
| 1 See above Schedule of Investments for values in each state or | |||||
| political subdivision. | |||||
See Notes to Financial Statements.
28 SEMI-ANNUAL REPORT FEBRUARY 28, 2010
Schedule of Investments February 28, 2010 (Unaudited)
BlackRock New York Municipal Income Trust II (BFY)
(Percentages shown are based on Net Assets)
| Par | |||
| Municipal Bonds | (000) | Value | |
| New York — 143.6% | |||
| Corporate — 24.0% | |||
| Chautauqua County Industrial Development Agency, RB, | |||
| Nrg Dunkirk Power Project, 5.88%, 4/01/42 | $ 500 | $ 506,995 | |
| Essex County Industrial Development Agency New York, | |||
| RB, International Paper Co. Project, Series A, AMT, | |||
| 6.63%, 9/01/32 | 200 | 202,916 | |
| Essex County Industrial Development Agency New York, | |||
| Refunding RB, International Paper Co. Project, | |||
| Series A, AMT, 5.50%, 10/01/26 | 625 | 580,006 | |
| Jefferson County Industrial Development Agency | |||
| New York, Refunding RB, Solid Waste, Series A, AMT, | |||
| 5.20%, 12/01/20 | 750 | 732,435 | |
| New York City Industrial Development Agency, RB: | |||
| American Airlines Inc., JFK International Airport, | |||
| AMT 7.63%, 8/01/25 | 1,600 | 1,568,960 | |
| American Airlines Inc., JFK International Airport, | |||
| AMT 7.75%, 8/01/31 | 1,500 | 1,499,865 | |
| Liberty-IAC/InteractiveCorp, 5.00%, 9/01/35 | 500 | 430,560 | |
| New York Liberty Development Corp., RB, Goldman | |||
| Sachs Headquarters, 5.25%, 10/01/35 | 750 | 757,042 | |
| New York State Energy Research & Development | |||
| Authority, RB, AMT, 4.70%, 6/01/36 | 5,500 | 5,506,380 | |
| Port Authority of New York & New Jersey, RB, Continental | |||
| Airlines Inc. and Eastern Air Lines Inc. Project, | |||
| LaGuardia, AMT, 9.13%, 12/01/15 | 3,105 | 3,109,161 | |
| Suffolk County Industrial Development Agency New York, | |||
| RB, KeySpan, Port Jefferson, AMT, 5.25%, 6/01/27 | 2,500 | 2,449,775 | |
| 17,344,095 | |||
| County/City/Special District/School District — 28.7% | |||
| Brooklyn Arena Local Development Corp., RB, Barclays | |||
| Center Project, 6.38%, 7/15/43 | 300 | 308,994 | |
| City of New York New York, GO: | |||
| Series A-1, 4.75%, 8/15/25 | 500 | 525,240 | |
| Series B, 5.75%, 12/01/11 (a) | 2,000 | 2,184,400 | |
| Sub-Series G-1, 6.25%, 12/15/31 | 250 | 290,168 | |
| Sub-Series I-1, 5.38%, 4/01/36 | 450 | 482,234 | |
| Hudson Yards Infrastructure Corp., RB, Series A, | |||
| 5.00%, 2/15/47 | 2,350 | 2,233,980 | |
| New York City Industrial Development Agency, RB: | |||
| CAB, Yankee Stadium, PILOT (AGC), | |||
| 5.77%, 3/01/35 (b) | 500 | 119,055 | |
| Queens Baseball Stadium, PILOT (AGC), | |||
| 6.38%, 1/01/39 | 100 | 109,502 | |
| Queens Baseball Stadium, PILOT (AMBAC), | |||
| 5.00%, 1/01/39 | 500 | 441,710 | |
| Queens Baseball Stadium, PILOT (AMBAC), | |||
| 5.00%, 1/01/46 | 2,050 | 1,767,920 | |
| New York City Transitional Finance Authority, RB: | |||
| Fiscal 2009, Series S-3, 5.25%, 1/15/39 | 1,300 | 1,360,996 | |
| Series S-2 (NPFGC), 4.50%, 1/15/31 | 2,500 | 2,459,975 | |
| Series S-2 (NPFGC), 4.25%, 1/15/34 | 250 | 235,175 | |
| New York City Transitional Finance Authority, | |||
| Refunding RB, Future Tax Secured, Series B, | |||
| 5.00%, 11/01/27 | 5,000 | 5,188,750 | |
| New York Convention Center Development Corp., RB, | |||
| Hotel Unit Fee Secured (AMBAC), 5.00%, 11/15/35 | 2,750 | 2,726,212 | |
| New York State Dormitory Authority, RB, State University | |||
| Dormitory Facilities, Series A, 5.00%, 7/01/39 | 250 | 258,858 | |
| 20,693,169 | |||
| Par | ||
| Municipal Bonds | (000) | Value |
| New York (continued) | ||
| Education — 24.0% | ||
| Albany Industrial Development Agency, RB, New | ||
| Covenant Charter School Project, Series A: | ||
| 7.00%, 5/01/25 | $ 345 | $ 172,500 |
| 7.00%, 5/01/35 | 220 | 110,000 |
| Dutchess County Industrial Development | ||
| Agency New York, RB, Vassar College Project, | ||
| 5.35%, 8/01/11 (a) | 2,000 | 2,155,320 |
| Dutchess County Industrial Development Agency | ||
| New York, Refunding RB, Bard College Civic Facility, | ||
| Series A-2, 4.50%, 8/01/36 | 755 | 632,011 |
| Geneva Industrial Development Agency New York, | ||
| RB, Hobart & William Smith Project, Series A, | ||
| 5.38%, 2/01/33 | 3,250 | 3,284,482 |
| Herkimer County Industrial Development Agency | ||
| New York, RB, College Foundation Inc. Student | ||
| Housing Project, 6.25%, 8/01/34 | 385 | 370,543 |
| Nassau County Industrial Development Agency, | ||
| Refunding RB, New York Institute of Technology | ||
| Project, Series A, 4.75%, 3/01/26 | 350 | 345,363 |
| New York City Industrial Development Agency, RB, | ||
| Lycee Francais de New York Project, Series A (ACA), | ||
| 5.38%, 6/01/23 | 1,500 | 1,544,655 |
| New York City Industrial Development Agency, | ||
| Refunding RB, Polytechnic University Project (ACA), | ||
| 5.25%, 11/01/37 | 460 | 397,058 |
| New York Liberty Development Corp., RB, | ||
| National Sports Museum Project, Series A, | ||
| 6.13%, 2/15/19 (c)(d) | 675 | 7 |
| New York State Dormitory Authority, RB: | ||
| 5.83%, 7/01/39 (e) | 225 | 182,581 |
| Brooklyn Law School, Series B (Syncora), | ||
| 5.13%, 7/01/30 | 2,000 | 2,001,380 |
| New School University (NPFGC), 5.00%, 7/01/31 | 1,425 | 1,431,170 |
| Rochester Institute of Technology, Series A, | ||
| 6.00%, 7/01/33 | 625 | 686,406 |
| University of Rochester, Series A, 5.13%, 7/01/39 | 250 | 258,138 |
| New York State Dormitory Authority, Refunding RB: | ||
| Brooklyn Law School, 5.75%, 7/01/33 | 250 | 255,415 |
| Teachers College, 5.50%, 3/01/39 | 650 | 676,696 |
| Suffolk County Industrial Development Agency, | ||
| Refunding RB, New York Institute of Technology | ||
| Project, 5.00%, 3/01/26 | 275 | 275,360 |
| Trust for Cultural Resources, RB: | ||
| Carnegie Hall, Series A, 4.75%, 12/01/39 | 925 | 911,874 |
| Juilliard School, Series A, 5.00%, 1/01/39 | 1,050 | 1,103,560 |
| Yonkers Industrial Development Agency New York, | ||
| RB, Sarah Lawrence College Project, Series A, | ||
| 6.00%, 6/01/41 | 500 | 517,540 |
| 17,312,059 | ||
| Health — 15.5% | ||
| Clarence Industrial Development Agency, RB, Bristol | ||
| Village Project (GNMA), 6.00%, 1/20/44 | 1,680 | 1,735,910 |
| Genesee County Industrial Development Agency | ||
| New York, Refunding RB, United Memorial Medical | ||
| Center Project, 5.00%, 12/01/27 | 250 | 211,363 |
| New York City Industrial Development Agency, RB, | ||
| Eger Harbor Project, Series A (GNMA): | ||
| 4.95%, 11/20/32 | 980 | 984,773 |
| 5.88%, 5/20/44 | 975 | 1,029,073 |
| New York State Dormitory Authority, MRB, St. Barnabas, | ||
| Series A (FHA), 5.00%, 2/01/31 | 1,500 | 1,517,730 |
See Notes to Financial Statements.
SEMI-ANNUAL REPORT FEBRUARY 28, 2010 29
Schedule of Investments (continued)
BlackRock New York Municipal Income Trust II (BFY)
(Percentages shown are based on Net Assets)
| Par | ||
| Municipal Bonds | (000) | Value |
| New York (continued) | ||
| Health (concluded) | ||
| New York State Dormitory Authority, RB: | ||
| NYU Hospital Center, Series B, 5.63%, 7/01/37 | $ 530 | $ 518,022 |
| New York & Presbyterian Hospital (AGM), | ||
| 5.25%, 2/15/31 | 425 | 438,115 |
| New York Hospital Medical Center-Queens (FHA), | ||
| 4.75%, 2/15/37 | 315 | 284,023 |
| New York State Association for Retarded | ||
| Children, Inc., Series A, 6.00%, 7/01/32 | 350 | 367,059 |
| North Shore-Long Island Jewish Health System, | ||
| Series A, 5.50%, 5/01/37 | 750 | 758,557 |
| New York State Dormitory Authority, Refunding RB: | ||
| Kateri Residence, 5.00%, 7/01/22 | 2,000 | 2,058,500 |
| North Shore-Long Island Jewish Health System, | ||
| Series E, 5.50%, 5/01/33 | 500 | 506,430 |
| Saratoga County Industrial Development Agency | ||
| New York, RB, Saratoga Hospital Project, Series B, | ||
| 5.25%, 12/01/32 | 350 | 332,588 |
| Suffolk County Industrial Development Agency | ||
| New York, Refunding RB, Jeffersons Ferry Project, | ||
| 5.00%, 11/01/28 | 450 | 404,015 |
| 11,146,158 | ||
| Housing — 3.2% | ||
| New York City Housing Development Corp., RB, | ||
| Series J-2-A, AMT, 4.75%, 11/01/27 | 1,420 | 1,398,203 |
| New York State HFA, RB, Highland Avenue | ||
| Senior Apartments, Series A, AMT (SONYMA), | ||
| 5.00%, 2/15/39 | 1,000 | 919,830 |
| 2,318,033 | ||
| State — 5.4% | ||
| New York State Dormitory Authority, ERB, Series B, | ||
| 5.75%, 3/15/36 | 300 | 334,950 |
| New York State Dormitory Authority, LRB, Municipal | ||
| Health Facilities, Sub-Series 2-4, 4.75%, 1/15/30 | 1,000 | 1,008,460 |
| New York State Urban Development Corp., RB, State | ||
| Personal Income Tax, Series B, 5.00%, 3/15/35 | 2,000 | 2,051,060 |
| State of New York, GO, Series A, 5.00%, 2/15/39 | 500 | 520,525 |
| 3,914,995 | ||
| Tobacco — 9.8% | ||
| New York Counties Tobacco Trust III, RB, Tobacco | ||
| Settlement Pass-Thru, Turbo, 6.00%, 6/01/43 | 2,535 | 2,316,610 |
| TSASC Inc. New York, RB, Tobacco Settlement | ||
| Asset-Backed, Series 1, 5.75%, 7/15/12 (a) | 4,250 | 4,753,497 |
| 7,070,107 | ||
| Transportation — 19.8% | ||
| Metropolitan Transportation Authority, RB: | ||
| Series 2008C, 6.50%, 11/15/28 | 750 | 860,048 |
| Series B, 4.50%, 11/15/37 | 500 | 473,445 |
| Metropolitan Transportation Authority, Refunding RB, | ||
| Series A: | ||
| 5.13%, 1/01/29 | 3,000 | 3,053,190 |
| 5.00%, 11/15/30 | 5,000 | 5,052,800 |
| (NPFGC), 5.25%, 11/15/31 | 1,250 | 1,268,537 |
| Port Authority of New York & New Jersey, RB: | ||
| Consolidated, 116th Series, 4.13%, 9/15/32 | 2,000 | 1,887,880 |
| Consolidated, 161st Series, 4.50%, 10/15/37 | 500 | 491,430 |
| Special Project, JFK International Air Terminal, | ||
| Series 6, AMT (NPFGC), 6.25%, 12/01/13 | 1,000 | 1,062,730 |
| Triborough Bridge & Tunnel Authority, RB, General | ||
| Purpose, Series A, 5.00%, 1/01/32 | 150 | 151,677 |
| 14,301,737 |
| Par | |||
| Municipal Bonds | (000) | Value | |
| New York (concluded) | |||
| Utilities — 13.2% | |||
| Long Island Power Authority, RB: | |||
| CAB (AGM), 5.21%, 6/01/28 (b) | $ 3,515 | $ 1,595,986 | |
| General, Series C (CIFG), 5.25%, 9/01/29 | 1,000 | 1,103,610 | |
| Long Island Power Authority, Refunding RB, Series A: | |||
| 5.50%, 4/01/24 | 500 | 550,295 | |
| 6.25%, 4/01/33 | 150 | 172,554 | |
| New York City Municipal Water Finance Authority, RB, | |||
| Second General Resolution (NPFGC), 4.50%, 6/15/37 | 500 | 491,475 | |
| New York City Municipal Water Finance Authority, | |||
| Refunding RB, Series A, 5.13%, 6/15/34 | 4,000 | 4,060,840 | |
| New York State Environmental Facilities Corp., | |||
| Refunding RB, Revolving Funds, New York City Water | |||
| Project, Series A, 5.00%, 6/15/37 | 1,500 | 1,576,845 | |
| 9,551,605 | |||
| Total Municipal Bonds in New York | 103,651,958 | ||
| Guam — 2.3% | |||
| County/City/Special District/School District — 0.6% | |||
| Territory of Guam, RB, Section 30, Series A, | |||
| 5.75%, 12/01/34 | 455 | 460,719 | |
| State — 0.7% | |||
| Territory of Guam, GO, Series A, 7.00%, 11/15/39 | 485 | 517,248 | |
| Tobacco — 0.4% | |||
| Guam Economic Development & Commerce Authority, | |||
| Refunding RB, Tobacco Settlement Asset-Backed, | |||
| 5.63%, 6/01/47 | 375 | 316,399 | |
| Utilities — 0.6% | |||
| Guam Government Waterworks Authority, Refunding RB, | |||
| Water, 5.88%, 7/01/35 | 400 | 392,216 | |
| Total Municipal Bonds in Guam | 1,686,582 | ||
| Multi-State — 5.8% | |||
| Housing — 5.8% | |||
| Centerline Equity Issuer Trust (f)(g): | |||
| 5.75%, 5/15/15 | 500 | 521,535 | |
| 6.00%, 5/15/15 | 1,500 | 1,558,980 | |
| 6.00%, 5/15/19 | 1,000 | 1,043,180 | |
| 6.30%, 5/15/19 | 1,000 | 1,047,740 | |
| Total Municipal Bonds in Multi-State | 4,171,435 | ||
| Puerto Rico — 6.9% | |||
| County/City/Special District/School District — 0.3% | |||
| Puerto Rico Sales Tax Financing Corp., Refunding RB, | |||
| CAB, Series A (NPFGC), 5.79%, 8/01/41 (b) | 1,500 | 225,330 | |
| Housing — 1.4% | |||
| Puerto Rico Housing Finance Authority, Refunding RB, | |||
| Subordinate, Capital Fund Modernization, | |||
| 5.13%, 12/01/27 | 1,000 | 1,007,290 | |
| State — 0.9% | |||
| Commonwealth of Puerto Rico, GO, Refunding, Public | |||
| Improvement, Series C, 6.00%, 7/01/39 | 340 | 349,017 | |
| Puerto Rico Sales Tax Financing Corp., Refunding RB, | |||
| CAB, Series A (AMBAC), 5.14%, 8/01/54 (b) | 5,000 | 283,600 | |
| 632,617 | |||
See Notes to Financial Statements.
30 SEMI-ANNUAL REPORT FEBRUARY 28, 2010
Schedule of Investments (concluded)
BlackRock New York Municipal Income Trust II (BFY)
(Percentages shown are based on Net Assets)
| Par | |||
| Municipal Bonds | (000) | Value | |
| Puerto Rico (concluded) | |||
| Tobacco — 0.6% | |||
| Children’s Trust Fund, Refunding RB, Asset-Backed, | |||
| 5.63%, 5/15/43 | $ 500 | $ 434,625 | |
| Transportation — 3.0% | |||
| Puerto Rico Highway & Transportation Authority, | |||
| Refunding RB, Series D, 5.38%, 7/01/12 (a) | 2,000 | 2,200,980 | |
| Utilities — 0.7% | |||
| Puerto Rico Electric Power Authority, Refunding RB, | |||
| Series VV (NPFGC), 5.25%, 7/01/29 | 500 | 508,505 | |
| Total Municipal Bonds in Puerto Rico | 5,009,347 | ||
| Total Municipal Bonds — 158.6% | 114,519,322 | ||
| Municipal Bonds Transferred to | |||
| Tender Option Bond Trusts (h) | |||
| New York — 0.4% | |||
| Utilities — 0.4% | |||
| New York City Municipal Water Finance Authority, RB, | |||
| Fiscal 2009, Series A, 5.75%, 6/15/40 | 240 | 268,449 | |
| Total Municipal Bonds Transferred to | |||
| Tender Option Bond Trusts — 0.4% | 268,449 | ||
| Total Long-Term Investments | |||
| (Cost — $113,123,253) — 159.0% | 114,787,771 | ||
| Short-Term Securities | Shares | ||
| CMA New York Municipal Money Fund, 0.00% (i)(j) | 1,729,595 | 1,729,595 | |
| Total Short-Term Securities | |||
| (Cost — $1,729,595) — 2.4% | 1,729,595 | ||
| Total Investments (Cost — $114,852,848*) — 161.4% | 116,517,366 | ||
| Other Assets Less Liabilities — 0.4% | 297,535 | ||
| Liability for Trust Certificates, Including Interest | |||
| Expense and Fees Payable — (0.2)% | (160,013) | ||
| Preferred Shares, at Redemption Value — (61.6)% | (44,476,560) | ||
| Net Assets Applicable to Common Shares — 100.0% | $ 72,178,328 | ||
| * The cost and unrealized appreciation (depreciation) of investments as of | |||
| February 28, 2010, as computed for federal income tax purposes, were as follows: | |||
| Aggregate cost | $ 114,537,152 | ||
| Gross unrealized appreciation | $ 4,059,600 | ||
| Gross unrealized depreciation | (2,239,326) | ||
| Net unrealized appreciation | $ 1,820,274 | ||
| (a) US government securities, held in escrow, are used to pay interest on this security as | |||
| well as to retire the bond in full at the date indicated, typically at a premium to par. | |||
| (b) Represents a zero-coupon bond. Rate shown reflects the current yield as of | |||
| report date. | |||
| (c) Issuer filed for bankruptcy and/or is in default of interest payments. | |||
| (d) Non-income producing security. | |||
| (e) Represents a step-up bond that pays an initial coupon rate for the first period | |||
| and then a higher coupon rate for the following periods. Rate shown is as of the | |||
| report date. | |||
| (f) Security exempt from registration under Rule 144A of the Securities Act of 1933. | |||
| These securities may be resold in transactions exempt from registration to qualified | |||
| institutional investors. | |||
| (g) Security represents a beneficial interest in a trust. The collateral deposited into the | ||||||
| trust is federally tax-exempt revenue bonds issued by various state or local govern- | ||||||
| ments, or their respective agencies or authorities. The security is subject to remarket- | ||||||
| ing prior to its stated maturity, and is subject to mandatory redemption at maturity. | ||||||
| (h) Securities represent bonds transferred to a tender option bond trust in exchange for | ||||||
| which the Trust acquired residual interest certificates. These securities serve as col- | ||||||
| lateral in a financing transaction. See Note 1 of the Notes to Financial Statements | ||||||
| for details of municipal bonds transferred to tender option bond trusts. | ||||||
| (i) Investments in companies considered to be an affiliate of the Trust, for purposes of | ||||||
| Section 2(a)(3) of the Investment Company Act of 1940, were as follows: | ||||||
| Net | ||||||
| Affiliate | Activity | Income | ||||
| CMA New York Municipal Money Fund | $973,518 | $69 | ||||
| (j) Represents the current yield as of report date. | ||||||
| • | For Trust compliance purposes, the Trust’s sector classifications refer to any one | |||||
| or more of the sector sub-classifications used by one or more widely recognized | ||||||
| market indexes or ratings group indexes and/or as defined by Trust management. | ||||||
| This definition may not apply for purposes of this report, which may combine sector | ||||||
| sub-classifications for reporting ease. | ||||||
| • | Fair Value Measurements — Various inputs are used in determining the fair value of | |||||
| investments, which are as follows: | ||||||
| • | Level 1 — 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 | ||||||
| Trust’s own assumptions used in determining the fair value of investments) | ||||||
| The inputs or methodologies used for valuing securities are not necessarily an indi- | ||||||
| cation of the risk associated with investing in those securities. For information about | ||||||
| the Trust’s policy regarding valuation of investments and other significant accounting | ||||||
| policies, please refer to Note 1 of the Notes to Financial Statements. | ||||||
| The following table summarizes the inputs used as of February 28, 2010 in deter- | ||||||
| mining the fair valuation of the Trust’s investments: | ||||||
| Investments in Securities | ||||||
| Valuation Inputs | Level 1 | Level 2 | Level 3 | Total | ||
| Assets: | ||||||
| Long-Term Investments1 | — $114,787,771 | — $114,787,771 | ||||
| Short-Term Securities | $ 1,729,595 | — | — | 1,729,595 | ||
| Total | $ 1,729,595 $114,787,771 | — | $116,517,366 | |||
| 1 | See above Schedule of Investments for values in each state or | |||||
| political subdivision. | ||||||
See Notes to Financial Statements.
SEMI-ANNUAL REPORT FEBRUARY 28, 2010 31
Schedule of Investments February 28, 2010 (Unaudited)
BlackRock Virginia Municipal Bond Trust (BHV)
(Percentages shown are based on Net Assets)
| Par | |||
| Municipal Bonds | (000) | Value | |
| Virginia — 118.9% | |||
| Corporate — 13.7% | |||
| Chesterfield County EDA, RB, Virginia Electric Power Co. | |||
| Project, Series A, AMT, 5.60%, 11/01/31 | $ 500 | $ 487,100 | |
| Isle Wight County IDA Virginia, RB, Series A, AMT, | |||
| 5.70%, 11/01/27 | 1,300 | 1,224,002 | |
| King George County IDA Virginia, RB, Waste Management | |||
| Inc. Project, Series A, AMT, 6.00%, 6/01/23 | 500 | 502,840 | |
| Louisa IDA, Refunding RB, Virginia Electric & Power Co. | |||
| Project, Series A, 5.38%, 11/01/35 | 1,000 | 1,098,010 | |
| 3,311,952 | |||
| County/City/Special District/School District — 18.2% | |||
| Celebrate North Community Development Authority, | |||
| Special Assessment Bonds, Celebrate Virginia North | |||
| Project, Series B, 6.75%, 3/01/34 | 1,471 | 1,155,927 | |
| County of Prince William Virginia, RB, 5.00%, 12/01/21 | 500 | 531,400 | |
| Dulles Town Center Community Development Authority, | |||
| Special Assessment Bonds, Dulles Town Center | |||
| Project, 6.25%, 3/01/26 | 935 | 880,078 | |
| Fairfax County Redevelopment & Housing Authority, RB, | |||
| 5.00%, 10/01/39 | 1,500 | 1,585,425 | |
| White Oak Village Shops Community Development | |||
| Authority, Special Assessment Bonds, 5.30%, 3/01/17 | 234 | 228,515 | |
| 4,381,345 | |||
| Education — 7.4% | |||
| Virginia College Building Authority, Refunding RB, | |||
| Washington & Lee University Project (NPFGC): | |||
| 5.25%, 1/01/26 | 500 | 594,930 | |
| 5.25%, 1/01/31 | 1,000 | 1,176,680 | |
| 1,771,610 | |||
| Health — 23.4% | |||
| Danville IDA Virginia, Refunding RB, Danville Regional | |||
| Medical Center (AMBAC), 5.25%, 10/01/28 (a) | 1,000 | 1,163,530 | |
| Fairfax County EDA, Refunding RB, Goodwin House Inc., | |||
| 5.00%, 10/01/27 | 1,000 | 969,230 | |
| Henrico County EDA, Refunding RB, Bon Secours | |||
| Health, Series A: | |||
| 5.60%, 11/15/12 (b) | 60 | 67,627 | |
| 5.60%, 11/15/30 | 1,440 | 1,455,754 | |
| Peninsula Ports Authority, Refunding RB, Virginia | |||
| Baptist Homes, Series C, 5.40%, 12/01/33 | 500 | 303,790 | |
| Virginia Small Business Financing Authority, | |||
| Refunding RB, Sentara Healthcare, 5.00%, 11/01/40 | 1,000 | 1,007,870 | |
| Winchester IDA Virginia, RB, Valley Health System | |||
| Obligation, Series E, 5.63%, 1/01/44 | 650 | 660,127 | |
| 5,627,928 | |||
| Housing — 16.9% | |||
| Virginia HDA, RB: | |||
| Rental Housing, Series B, 5.63%, 6/01/39 | 1,000 | 1,052,620 | |
| Sub-Series H-1 (NPFGC), 5.38%, 7/01/36 | 3,000 | 3,024,390 | |
| 4,077,010 | |||
| State — 8.4% | |||
| Virginia College Building Authority, RB, Public | |||
| Higher Education Financing Program, Series A, | |||
| 5.00%, 9/01/33 | 1,000 | 1,059,700 | |
| Virginia Public School Authority, RB, School Financing: | |||
| 1997 Resolution, Series B, 5.25%, 8/01/33 | 500 | 539,880 | |
| 6.50%, 12/01/35 | 360 | 413,608 | |
| 2,013,188 | |||
| Par | ||
| Municipal Bonds | (000) | Value |
| Virginia (concluded) | ||
| Transportation — 14.1% | ||
| City of Norfolk Virginia, Refunding RB, Series B | ||
| (AMBAC), 5.50%, 2/01/31 | $ 550 | $ 536,629 |
| Norfolk Airport Authority Virginia, RB, Series A (NPFGC), | ||
| 5.13%, 7/01/31 | 1,500 | 1,506,585 |
| Richmond Metropolitan Authority Virginia, Refunding RB | ||
| (NPFGC), 5.25%, 7/15/22 | 1,250 | 1,350,300 |
| 3,393,514 | ||
| Utilities — 16.8% | ||
| Fairfax County Water Authority, Refunding RB, | ||
| 5.00%, 4/01/27 | 1,205 | 1,248,621 |
| Virginia Resources Authority, RB, Infrastructure | ||
| Revenues, 5.13%, 5/01/27 | 635 | 651,338 |
| Virginia Resources Authority, RB, Senior, Virginia Pooled | ||
| Financing Program, Series B, 5.00%, 11/01/33 | 2,000 | 2,142,320 |
| 4,042,279 | ||
| Total Municipal Bonds in Virginia | 28,618,826 | |
| District of Columbia — 7.6% | ||
| Transportation — 7.6% | ||
| Metropolitan Washington Airports Authority, RB: | ||
| First Senior Lien, Series A, 5.00%, 10/01/39 | 290 | 294,628 |
| First Senior Lien, Series A, 5.25%, 10/01/44 | 460 | 473,966 |
| Series B, 5.00%, 10/01/29 | 1,000 | 1,052,920 |
| Total Municipal Bonds in District of Columbia | 1,821,514 | |
| Guam — 0.8% | ||
| County/City/Special District/School District — 0.8% | ||
| Territory of Guam, RB, Section 30, Series A, | ||
| 5.63%, 12/01/29 | 200 | 202,454 |
| Total Municipal Bonds in Guam | 202,454 | |
| Multi-State — 6.8% | ||
| Housing — 6.8% | ||
| Centerline Equity Issuer Trust, 7.20%, 10/31/52 (c)(d) | 1,500 | 1,643,205 |
| Total Municipal Bonds in Multi-State | 1,643,205 | |
| Puerto Rico — 4.8% | ||
| Tobacco — 4.8% | ||
| Children’s Trust Fund, Refunding RB, Asset-Backed, | ||
| 5.38%, 5/15/33 | 1,205 | 1,162,777 |
| Total Municipal Bonds in Puerto Rico | 1,162,777 | |
| U.S. Virgin Islands — 0.4% | ||
| State — 0.4% | ||
| Virgin Islands Public Finance Authority, RB, Senior Lien, | ||
| Capital Projects, Series A-1, 5.00%, 10/01/39 | 100 | 89,648 |
| Total Municipal Bonds in U.S. Virgin Islands | 89,648 | |
| Total Municipal Bonds — 139.3% | 33,538,424 |
See Notes to Financial Statements.
32 SEMI-ANNUAL REPORT FEBRUARY 28, 2010
Schedule of Investments (concluded)
BlackRock Virginia Municipal Bond Trust (BHV)
(Percentages shown are based on Net Assets)
| Municipal Bonds Transferred to | Par | ||
| Tender Option Bond Trusts (e) | (000) | Value | |
| Virginia — 13.1% | |||
| Education — 8.8% | |||
| University of Virginia, Refunding RB, General, | |||
| 5.00%, 6/01/40 | $ 2,000 | $ 2,104,900 | |
| Health — 4.3% | |||
| Fairfax County IDA Virginia, Refunding RB, Health Care, | |||
| Inova Health System, Series A, 5.50%, 5/15/35 | 999 | 1,044,051 | |
| Total Municipal Bonds Transferred to | |||
| Tender Option Bond Trusts — 13.1% | 3,148,951 | ||
| Total Long-Term Investments | |||
| (Cost — $35,390,899) — 152.4% | 36,687,375 | ||
| Short-Term Securities | Shares | ||
| FFI Institutional Tax-Exempt Fund, 0.16% (f)(g) | 97,494 | 97,494 | |
| Total Short-Term Securities | |||
| (Cost — $97,494) — 0.4% | 97,494 | ||
| Total Investments (Cost — $35,488,393*) — 152.8% | 36,784,869 | ||
| Other Assets Less Liabilities — 1.9% | 459,190 | ||
| Liability for Trust Certificates, Including Interest | |||
| Expense and Fees Payable — (6.2)% | (1,500,090) | ||
| Preferred Shares, at Redemption Value — (48.5)% | (11,675,309) | ||
| Net Assets Applicable to Common Shares — 100.0% | $ 24,068,660 | ||
| * The cost and unrealized appreciation (depreciation) of investments as of | |||
| February 28, 2010, as computed for federal income tax purposes, were as follows: | |||
| Aggregate cost | $ 33,881,284 | ||
| Gross unrealized appreciation | $ 1,957,184 | ||
| Gross unrealized depreciation | (552,890) | ||
| Net unrealized appreciation | $ 1,404,294 | ||
| (a) Security is collateralized by Municipal or US Treasury obligations. | |||
| (b) US government securities, held in escrow, are used to pay interest on this security as | |||
| well as to retire the bond in full at the date indicated, typically at a premium to par. | |||
| (c) Security exempt from registration under Rule 144A of the Securities Act of 1933. | |||
| These securities may be resold in transactions exempt from registration to qualified | |||
| institutional investors. | |||
| (d) Security represents a beneficial interest in a trust. The collateral deposited into the | |||
| trust is federally tax-exempt revenue bonds issued by various state or local govern- | |||
| ments, or their respective agencies or authorities. The security is subject to remarket- | |||
| ing prior to its stated maturity, and is subject to mandatory redemption at maturity. | |||
| (e) Securities represent bonds transferred to a tender option bond trust in exchange for | |||
| which the Trust acquired residual interest certificates. These securities serve as col- | |||
| lateral in a financing transaction. See Note 1 of the Notes to Financial Statements | |||
| for details of municipal bonds transferred to tender option bond trusts. | |||
| (f) Investments in companies considered to be an affiliate of the Trust, for purposes of | |||
| Section 2(a)(3) of the Investment Company Act of 1940, were as follows: | |||
| Net | |||
| Affiliate | Activity | Income | |
| FFI Institutional Tax Exempt Fund | $97,494 | $16 | |
| (g) Represents the current yield as of report date. | |||
| • For Trust compliance purposes, the Trust’s sector classifications refer to any one | |||
| or more of the sector sub-classifications used by one or more widely recognized | |||
| market indexes or ratings group indexes and/or as defined by Trust management. | |||
| This definition may not apply for purposes of this report, which may combine sector | |||
| sub-classifications for reporting ease. | |||
| • | Fair Value Measurements — Various inputs are used in determining the fair value of | ||||||
| investments, which are as follows: | |||||||
| • | Level 1 — 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 | |||||||
| Trust’s own assumptions used in determining the fair value of investments) | |||||||
| The inputs or methodologies used for valuing securities are not necessarily an indi- | |||||||
| cation of the risk associated with investing in those securities. For information about | |||||||
| the Trust’s policy regarding valuation of investments and other significant accounting | |||||||
| policies, please refer to Note 1 of the Notes to Financial Statements. | |||||||
| The following table summarizes the inputs used as of February 28, 2010 in deter- | |||||||
| mining the fair valuation of the Trust’s investments: | |||||||
| Investments in Securities | |||||||
|
| |||||||
| Valuation Inputs | Level 1 | Level 2 | Level 3 | Total | |||
| Assets: | |||||||
| Long-Term Investments1 | — | $36,687,375 | — | $36,687,375 | |||
| Short-Term Securities | $ 97,494 | — | — | 97,494 | |||
| Total | $ 97,494 | $36,687,375 | — | $36,784,869 | |||
| 1 | See above Schedule of Investments for values in each state or | ||||||
| political subdivision. | |||||||
See Notes to Financial Statements.
SEMI-ANNUAL REPORT FEBRUARY 28, 2010 33
Schedule of Investments February 28, 2010 (Unaudited)
The Massachusetts Health & Tax-Exempt Trust (MHE)
(Percentages shown are based on Net Assets)
| Par | |||
| Municipal Bonds | (000) | Value | |
| Massachusetts — 144.2% | |||
| Corporate — 4.7% | |||
| Massachusetts Development Finance Agency, | |||
| RB, Ogden Haverhill Project, Series A, AMT, | |||
| 6.70%, 12/01/14 | $ 410 | $ 414,170 | |
| Massachusetts Health & Educational Facilities | |||
| Authority, RB, Cape Cod Healthcare Obligor (AGC), | |||
| 5.00%, 11/15/31 | 1,000 | 985,590 | |
| 1,399,760 | |||
| Education — 87.4% | |||
| Massachusetts Development Finance Agency, ERB, | |||
| Belmont Hill School, 5.00%, 9/01/11 (a) | 1,100 | 1,184,359 | |
| Massachusetts Development Finance Agency, RB: | |||
| Boston University, Series T-1 (AMBAC), | |||
| 5.00%, 10/01/39 | 1,000 | 986,260 | |
| College Issue, Series B (Syncora), 5.25%, 7/01/33 | 860 | 868,075 | |
| College of Pharmacy & Allied Health, Series D | |||
| (AGC), 5.00%, 7/01/27 | 500 | 521,875 | |
| Educational Facilities, Academy of the Pacific Rim, | |||
| Series A (ACA), 5.13%, 6/01/31 | 1,000 | 740,890 | |
| Smith College, 5.00%, 7/01/35 | 2,000 | 2,027,960 | |
| WGBH Educational Foundation, Series A (AMBAC), | |||
| 5.75%, 1/01/42 | 1,100 | 1,166,847 | |
| Wheeler School Issue, 6.50%, 12/01/29 | 540 | 542,484 | |
| Massachusetts Development Finance Agency, | |||
| Refunding RB: | |||
| Boston University, Series P, 5.45%, 5/15/59 | 1,500 | 1,544,475 | |
| Clark University (Syncora), 5.13%, 10/01/35 | 500 | 505,180 | |
| Western New England, Series A (AGC), | |||
| 5.00%, 9/01/33 | 250 | 250,952 | |
| Wheelock College, Series C, 5.25%, 10/01/37 | 1,000 | 898,160 | |
| Williston Northampton School Project (Syncora), | |||
| 5.00%, 10/01/25 | 500 | 492,525 | |
| Worcester Polytechnic Institute,(NPFGC), | |||
| 5.00%, 9/01/27 | 1,985 | 2,070,812 | |
| Massachusetts Health & Educational Facilities | |||
| Authority, RB: | |||
| Harvard University, Series B, 5.00%, 10/01/38 | 400 | 421,680 | |
| Harvard University, Series FF, 5.13%, 7/15/37 | 850 | 867,884 | |
| Northeastern University, Series R, 5.00%, 10/01/33 | 225 | 227,183 | |
| Simmons College, Series F (FGIC), | |||
| 5.00%, 10/01/13 (a) | 1,000 | 1,140,210 | |
| Springfield College, 5.63%, 10/15/40 | 500 | 495,990 | |
| Tufts University, 5.38%, 8/15/38 | 1,000 | 1,077,830 | |
| University of Massachusetts, Series C (NPFGC), | |||
| 5.13%, 10/01/34 | 230 | 231,794 | |
| Massachusetts Health & Educational Facilities Authority, | |||
| Refunding RB: | |||
| Berklee College of Music, Series A, | |||
| 5.00%, 10/01/37 | 1,000 | 1,003,090 | |
| Boston College, Series N, 5.13%, 6/01/37 | 1,000 | 1,016,880 | |
| Harvard University, Series A, 5.50%, 11/15/36 | 100 | 111,489 | |
| Tufts University, Series M, 5.50%, 2/15/27 | 1,000 | 1,191,710 | |
| Wellesley College, 5.00%, 7/01/33 | 1,500 | 1,544,115 | |
| Massachusetts Health & Educational Facilities Authority, | |||
| Wheaton College, Series D, 6.00%, 1/01/18 | 950 | 945,810 | |
| Massachusetts State College Building Authority, RB, | |||
| Series A (AMBAC), 5.00%, 5/01/31 | 1,000 | 1,018,010 | |
| Massachusetts State College Building Authority, | |||
| Refunding RB, Series B (Syncora), 5.50%, 5/01/39 | 825 | 913,407 | |
| 26,007,936 | |||
| Par | |||
| Municipal Bonds | (000) | Value | |
| Massachusetts (concluded) | |||
| Health — 44.2% | |||
| Massachusetts Development Finance Agency, RB: | |||
| First Mortgage, Edgecombe Project, Series A, | |||
| 6.75%, 7/01/21 | $ 855 | $ 866,867 | |
| First Mortgage, Overlook Communities, Series A, | |||
| 6.13%, 7/01/24 | 850 | 750,431 | |
| Seven Hills Foundation & Affiliates (Radian), | |||
| 5.00%, 9/01/35 | 500 | 399,310 | |
| Massachusetts Development Finance Agency, | |||
| Refunding RB, First Mortgage, Brookhaven, Series A | |||
| (Radian), 5.00%, 3/01/35 | 1,250 | 1,039,875 | |
| Massachusetts Health & Educational Facilities | |||
| Authority, RB: | |||
| Baystate Medical Center, Series F, 5.75%, 7/01/33 | 1,000 | 1,010,610 | |
| Berkshire Health System, Series E, | |||
| 6.25%, 10/01/31 | 350 | 353,556 | |
| Berkshire Health System, Series F (AGC), | |||
| 5.00%, 10/01/19 | 1,000 | 1,037,120 | |
| Children’s Hospital, Series M, 5.25%, 12/01/39 | 600 | 617,034 | |
| Children’s Hospital, Series M, 5.50%, 12/01/39 | 500 | 525,795 | |
| Lahey Clinic Medical Center, Series D, | |||
| 5.25%, 8/15/37 | 1,000 | 949,850 | |
| Milford-Whitinsville Hospital, Series D, | |||
| 6.35%, 7/15/12 (a) | 750 | 853,823 | |
| Southcoast Health Obligation, Series D, | |||
| 5.00%, 7/01/39 | 500 | 479,195 | |
| Massachusetts Health & Educational Facilities Authority, | |||
| Refunding RB: | |||
| Caregroup, Series E-1, 5.00%, 7/01/28 | 500 | 473,520 | |
| Christopher House, Series A, 6.88%, 1/01/29 | 470 | 455,256 | |
| Healthcare System, Covenant, 6.00%, 1/01/12 (a) | 255 | 282,729 | |
| Healthcare System, Covenant, 6.00%, 7/01/22 | 630 | 651,086 | |
| Healthcare System, Covenant, 6.00%, 7/01/31 | 315 | 320,887 | |
| Partners Healthcare System, Series B, | |||
| 5.25%, 7/01/29 | 1,000 | 1,008,990 | |
| Valley Regional Health System, Series C (AMBAC), | |||
| 5.75%, 7/01/18 | 395 | 391,872 | |
| Massachusetts Industrial Finance Agency, RB, Age | |||
| Institute of Massachusetts Project, 8.05%, 11/01/25 | 675 | 675,574 | |
| 13,143,380 | |||
| Housing — 4.8% | |||
| Massachusetts HFA, Refunding HRB, Series F, AMT, | |||
| 5.70%, 6/01/40 | 990 | 1,000,781 | |
| Massachusetts HFA, Refunding RB, Series 132, AMT, | |||
| 5.38%, 12/01/27 | 400 | 410,972 | |
| 1,411,753 | |||
| State — 3.1% | |||
| Massachusetts Development Finance Agency, ERB, | |||
| Middlesex School Project, 5.00%, 9/01/33 | 400 | 402,684 | |
| Massachusetts State College Building Authority, RB, | |||
| Series A, 5.50%, 5/01/39 | 500 | 524,570 | |
| 927,254 | |||
| Total Municipal Bonds in Massachusetts | 42,890,083 | ||
See Notes to Financial Statements.
34 SEMI-ANNUAL REPORT FEBRUARY 28, 2010
Schedule of Investments (concluded)
The Massachusetts Health & Tax-Exempt Trust (MHE)
(Percentages shown are based on Net Assets)
| Par | ||
| Municipal Bonds | (000) | Value |
| Puerto Rico — 10.7% | ||
| State — 5.4% | ||
| Commonwealth of Puerto Rico, GO, Refunding, Public | ||
| Improvement, Series A-4 (AGM), 5.00%, 7/01/31 | $ 575 | $ 578,312 |
| Puerto Rico Sales Tax Financing Corp., RB, First | ||
| Sub-Series A, 5.75%, 8/01/37 | 1,000 | 1,030,770 |
| 1,609,082 | ||
| Utilities — 5.3% | ||
| Puerto Rico Electric Power Authority, RB, Series WW, | ||
| 5.50%, 7/01/38 | 1,000 | 1,009,920 |
| Puerto Rico Electric Power Authority, Refunding RB, | ||
| Series VV (BHAC), 5.25%, 7/01/25 | 500 | 561,340 |
| 1,571,260 | ||
| Total Municipal Bonds in Puerto Rico | 3,180,342 | |
| Total Municipal Bonds — 154.9% | 46,070,425 | |
| Municipal Bonds Transferred to | ||
| Tender Option Bond Trusts (b) | ||
| Massachusetts — 7.0% | ||
| State — 7.0% | ||
| Massachusetts School Building Authority, RB, Series A | ||
| (AGM), 5.00%, 8/15/30 | 2,010 | 2,092,406 |
| Total Municipal Bonds Transferred to | ||
| Tender Option Bond Trusts — 7.0% | 2,092,406 | |
| Total Long-Term Investments | ||
| (Cost — $47,903,872) — 161.9% | 48,162,831 | |
| Short-Term Securities | ||
| Massachusetts — 1.0% | ||
| Massachusetts Health & Educational Facilities Authority, | ||
| Refunding RB, VRDN, Partners Healthcare System, | ||
| Series D-1, 0.10%, 3/01/10 | 300 | 300,000 |
| Shares | ||
| Money Market Fund — 2.7% | ||
| CMA Massachusetts Municipal Money Fund, | ||
| 0.00% (d)(e) | 804,141 | 804,141 |
| Total Short-Term Securities | ||
| (Cost — $1,104,141) — 3.7% | 1,104,141 | |
| Total Investments (Cost — $49,008,013*) — 165.6% | 49,266,972 | |
| Other Assets Less Liabilities — 1.1% | 316,618 | |
| Liability for Trust Certificates, Including Interest | ||
| Expense and Fees Payable — (4.5)% | (1,339,728) | |
| Preferred Shares, at Redemption Value — (62.2)% | (18,500,768) | |
| Net Assets Applicable to Common Shares — 100.0% | $ 29,743,094 | |
| * The cost and unrealized appreciation (depreciation) of investments as of | ||
| February 28, 2010, as computed for federal income tax purposes, were as follows: | ||
| Aggregate cost | $ 47,645,487 | |
| Gross unrealized appreciation | $ 1,353,306 | |
| Gross unrealized depreciation | (1,071,416) | |
| Net unrealized appreciation | $ 281,890 | |
| (a) US government securities, held in escrow, are used to pay interest on this security as | ||||||||
| well as to retire the bond in full at the date indicated, typically at a premium to par. | ||||||||
| (b) Securities represent bonds transferred to a tender option bond trust in exchange for | ||||||||
| which the Trust acquired residual interest certificates. These securities serve as col- | ||||||||
| lateral in a financing transaction. See Note 1 of the Notes to Financial Statements | ||||||||
| for details of municipal bonds transferred to tender option bond trusts. | ||||||||
| (c) Security may have a maturity of more than one year at time of issuance, but has | ||||||||
| variable rate and demand features that qualify it as a short-term security. The rate | ||||||||
| shown is as of report date and maturity shown is the date the principal owed can | ||||||||
| be recovered through demand. | ||||||||
| (d) Investments in companies considered to be an affiliate of the Trust, for purposes of | ||||||||
| Section 2(a)(3) of the Investment Company Act of 1940, were as follows: | ||||||||
| Net | ||||||||
| Affiliate | Activity | Income | ||||||
| CMA Massachusetts Municipal Money Fund | $804,141 | — | ||||||
| (e) Represents the current yield as of report date. | ||||||||
| • | For Trust compliance purposes, the Trust’s sector classifications refer to any one | |||||||
| or more of the sector sub-classifications used by one or more widely recognized | ||||||||
| market indexes or ratings group indexes and/or as defined by Trust management. | ||||||||
| This definition may not apply for purposes of this report, which may combine sector | ||||||||
| sub-classifications for reporting ease. | ||||||||
| • | Fair Value Measurements — Various inputs are used in determining the fair value of | |||||||
| investments, which are as follows: | ||||||||
| • | Level 1 — 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 | ||||||||
| Trust’s own assumptions used in determining the fair value of investments) | ||||||||
| The inputs or methodologies used for valuing securities are not necessarily an indi- | ||||||||
| cation of the risk associated with investing in those securities. For information about | ||||||||
| the Trust’s policy regarding valuation of investments and other significant accounting | ||||||||
| policies, please refer to Note 1 of the Notes to Financial Statements. | ||||||||
| The following table summarizes the inputs used as of February 28, 2010 in deter- | ||||||||
| mining the fair valuation of the Trust’s investments: | ||||||||
| Investments in Securities | ||||||||
| Valuation Inputs | Level 1 | Level 2 | Level 3 | Total | ||||
| Assets: | ||||||||
| Long-Term Investments1 | — | $48,162,831 | — | $48,162,831 | ||||
| Short-Term Securities | $ 804,141 | 300,000 | — | 1,104,141 | ||||
| Total | $ 804,141 | $48,462,831 | — | $49,266,972 | ||||
| 1 See above Schedule of Investments for values in each state or | ||||||||
| political subdivision. | ||||||||
See Notes to Financial Statements.
SEMI-ANNUAL REPORT FEBRUARY 28, 2010 35
| Statements of Assets and Liabilities | ||
| BlackRock | BlackRock | |
| Maryland | MuniHoldings | |
| Municipal | New York | |
| Bond Trust | Insured Fund, Inc. | |
| February 28, 2010 (Unaudited) | (BZM) | (MHN) |
| Assets | ||
| Investments at value — unaffiliated1 | $ 46,690,808 | $ 743,912,212 |
| Investments at value — affiliated2 | 503,095 | 5,312,463 |
| Investments sold receivable | — | — |
| Interest receivable | 552,342 | 8,806,871 |
| Income receivable — affiliated | 32 | 1,244 |
| Prepaid expenses | 9,604 | 42,948 |
| Other assets | 6,742 | 60,889 |
| Total assets | 47,762,623 | 758,136,627 |
| Accrued Liabilities | ||
| Bank overdraft | — | 193 |
| Income dividends payable — Common Shares | 139,442 | 2,109,467 |
| Investment advisory fees payable | 18,188 | 267,347 |
| Officer’s and Trustees’ fees payable | 7,882 | 63,081 |
| Interest expense and fees payable | 448 | 66,691 |
| Investments purchased payable | — | — |
| Other affiliates payable | 365 | 5,895 |
| Other accrued expenses payable | 50,366 | 66,335 |
| Total accrued liabilities | 216,691 | 2,579,009 |
| Other Liabilities | ||
| Trust certificates3 | 1,500,000 | 71,712,600 |
| Total Liabilities | 1,716,691 | 74,291,609 |
| Preferred Shares at Redemption Value | ||
| Preferred shares at liquidation preference, plus unpaid dividends4,5,6 | 16,000,424 | 243,637,727 |
| Net Assets Applicable to Common Shareholders | $ 30,045,508 | $ 440,207,291 |
| Net Assets Applicable to Common Shareholders Consist of | ||
| Paid-in capital7,8,9 | $ 29,089,532 | $ 456,812,829 |
| Undistributed net investment income | 500,958 | 8,861,163 |
| Accumulated net realized gain (loss) | (107,562) | (30,313,829) |
| Net unrealized appreciation/depreciation | 562,580 | 4,847,128 |
| Net Assets Applicable to Common Shareholders | $ 30,045,508 | $ 440,207,291 |
| Net asset value per Common Share | $ 14.63 | $ 14.29 |
| 1 Investments at cost — unaffiliated | $ 46,128,228 | $ 739,065,084 |
| 2 Investments at cost — affiliated | $ 503,095 | $ 5,312,463 |
| 3 Represents short-term floating rate certificates issued by tender option bond trusts. | ||
| 4 Preferred Shares outstanding: | ||
| Par value $0.001 per share | 640 | — |
| Par value $0.01 per share | — | — |
| Par value $0.10 per share | — | 9,745 |
| 5 Preferred Shares at liquidation preference | $ 25,000 | $ 25,000 |
| 6 Preferred Shares authorized | unlimited | 12,520 |
| 7 Par value per Common Share | $ 0.001 | $ 0.10 |
| 8 Common Shares outstanding | 2,053,646 | 30,795,138 |
| 9 Common Shares authorized | unlimited | 200 million |
See Notes to Financial Statements.
36 SEMI-ANNUAL REPORT FEBRUARY 28, 2010
| BlackRock | BlackRock | BlackRock | BlackRock | BlackRock | The |
| New Jersey | New York Insured | New York | New York | Virginia | Massachusetts |
| Municipal | Municipal | Municipal | Municipal | Municipal | Health & Education |
| Bond Trust | Income Trust | Bond Trust | Income Trust II | Bond Trust | Tax-Exempt Trust |
| (BLJ) | (BSE) | (BQH) | (BFY) | (BHV) | (MHE) |
| $ 50,300,203 | $ 140,784,939 | $ 64,496,359 | $ 114,787,771 | $ 36,687,375 | $ 48,462,831 |
| 1,859,371 | 491,381 | 480,614 | 1,729,595 | 97,494 | 804,141 |
| — | — | — | — | 62,000 | — |
| 629,427 | 1,516,148 | 845,373 | 1,385,976 | 567,569 | 619,938 |
| 25 | 43 | 26 | 34 | 38 | — |
| 8,207 | 13,249 | 8,839 | 6,271 | 9,071 | 1,805 |
| 6,158 | 4,574 | 6,419 | 7,043 | 4,121 | — |
| 52,803,391 | 142,810,334 | 65,837,630 | 117,916,690 | 37,427,668 | 49,888,715 |
| 476 | 860 | — | — | — | — |
| 174,637 | 424,304 | 215,939 | 395,786 | 125,283 | 151,192 |
| 19,603 | 54,320 | 24,943 | 44,441 | 14,251 | 18,945 |
| 7,295 | 5,833 | 7,590 | 8,319 | 5,124 | 88 |
| 395 | 11,726 | 1,454 | 73 | 799 | 133 |
| 329,391 | — | 345,122 | 616,422 | — | 103,229 |
| 417 | 459 | 205 | 367 | 300 | 400 |
| 48,602 | 49,794 | 54,075 | 36,454 | 38,651 | 31,271 |
| 580,816 | 547,296 | 649,328 | 1,101,862 | 184,408 | 305,258 |
| 419,783 | 10,408,503 | 1,509,077 | 159,940 | 1,499,291 | 1,339,595 |
| 1,000,599 | 10,955,799 | 2,158,405 | 1,261,802 | 1,683,699 | 1,644,853 |
| 18,776,130 | 40,576,075 | 22,126,061 | 44,476,560 | 11,675,309 | 18,500,768 |
| $ 33,026,662 | $ 91,278,460 | $ 41,553,164 | $ 72,178,328 | $ 24,068,660 | $ 29,743,094 |
| $ 32,787,356 | $ 91,891,494 | $ 39,306,191 | $ 70,152,775 | $ 22,258,162 | $ 29,683,932 |
| 514,115 | 1,413,850 | 680,697 | 1,327,480 | 444,355 | 518,964 |
| (347,101) | (3,391,096) | 50,057 | (966,445) | 69,667 | (718,761) |
| 72,292 | 1,364,212 | 1,516,219 | 1,664,518 | 1,296,476 | 258,959 |
| $ 33,026,662 | $ 91,278,460 | $ 41,553,164 | $ 72,178,328 | $ 24,068,660 | $ 29,743,094 |
| $ 14.28 | $ 14.09 | $ 15.01 | $ 14.59 | $ 15.37 | $ 12.69 |
| $ 50,227,911 | $ 139,420,727 | $ 62,980,140 | $ 113,123,253 | $ 35,390,899 | $ 48,203,872 |
| $ 1,859,371 | $ 491,381 | $ 480,614 | $ 1,729,595 | $ 97,494 | $ 804,141 |
| 751 | 1,623 | 885 | 1,779 | 467 | — |
| — | — | — | — | — | 370 |
| — | — | — | — | — | — |
| $ 25,000 | $ 25,000 | $ 25,000 | $ 25,000 | $ 25,000 | $ 50,000 |
| unlimited | unlimited | unlimited | unlimited | unlimited | unlimited |
| $ 0.001 | $ 0.001 | $ 0.001 | $ 0.001 | $ 0.001 | $ 0.01 |
| 2,313,082 | 6,477,918 | 2,768,452 | 4,947,329 | 1,566,035 | 2,344,067 |
| unlimited | unlimited | unlimited | unlimited | unlimited | unlimited |
See Notes to Financial Statements.
SEMI-ANNUAL REPORT FEBRUARY 28, 2010 37
| Statements of Operations | ||
| BlackRock | BlackRock | |
| Maryland | MuniHoldings | |
| Municipal | New York | |
| Bond Trust | Insured Fund, Inc. | |
| Six Months Ended February 28, 2010 (Unaudited) | (BZM) | (MHN) |
| Investment Income | ||
| Interest | $ 1,234,182 | $ 18,733,676 |
| Income — affiliated | 765 | 3,663 |
| Total income | 1,234,947 | 18,737,339 |
| Expenses | ||
| Investment advisory | 152,050 | 2,037,397 |
| Professional | 21,093 | 32,714 |
| Commissions for Preferred Shares | 9,672 | 178,458 |
| Accounting services | 9,198 | 102,982 |
| Transfer agent | 9,092 | 30,962 |
| Printing | 5,711 | 50,559 |
| Custodian | 2,492 | 16,472 |
| Officer and Trustees | 2,337 | 29,839 |
| Registration | 403 | 5,116 |
| Miscellaneous | 16,821 | 60,115 |
| Total expenses excluding interest expense and fees | 228,869 | 2,544,614 |
| Interest expense and fees1 | 3,873 | 265,654 |
| Total expenses | 232,742 | 2,810,268 |
| Less fees waived by advisor | (35,348) | (311,367) |
| Less fees paid indirectly | — | — |
| Total expenses after fees waived and paid indirectly | 197,394 | 2,498,901 |
| Net investment income | 1,037,553 | 16,238,438 |
| Realized and Unrealized Gain (Loss) | ||
| Net realized gain (loss) from: | ||
| Investments | 302,291 | 262,791 |
| Financial futures contracts | 17,063 | (17,461) |
| 319,354 | 245,330 | |
| Net change in unrealized appreciation/depreciation on investments | 1,197,305 | 13,881,045 |
| Total realized and unrealized gain | 1,516,659 | 14,126,375 |
| Dividends and Distributions to Preferred Shareholders From | ||
| Net investment income | (31,519) | (483,425) |
| Net realized gain | — | — |
| Total dividends and distributions to Preferred Shareholders | (31,519) | (483,425) |
| Net Increase in Net Assets Applicable to Common Shareholders Resulting from Operations | $ 2,522,693 | $ 29,881,388 |
| 1 Related to tender option bond trusts. |
See Notes to Financial Statements.
38 SEMI-ANNUAL REPORT FEBRUARY 28, 2010
| BlackRock | BlackRock | BlackRock | BlackRock | BlackRock | The |
| New Jersey | New York Insured | New York | New York | Virginia | Massachusetts |
| Municipal | Municipal | Municipal | Municipal | Municipal | Health & Education |
| Bond Trust | Income Trust | Bond Trust | Income Trust II | Bond Trust | Tax-Exempt Trust |
| (BLJ) | (BSE) | (BQH) | (BFY) | (BHV) | (MHE) |
| $ 1,411,734 | $ 3,437,052 | $ 1,728,847 | $ 2,999,148 | $ 959,838 | $ 1,228,423 |
| 476 | 357 | 404 | 453 | 253 | — |
| 1,412,210 | 3,437,409 | 1,729,251 | 2,999,601 | 960,091 | 1,228,423 |
| 166,704 | 386,729 | 209,734 | 317,535 | 120,096 | 122,529 |
| 20,793 | 21,784 | 22,081 | 21,555 | 16,436 | 19,156 |
| 13,285 | 26,899 | 14,755 | 30,841 | 7,838 | 13,327 |
| 8,960 | 13,903 | 9,221 | 9,548 | 2,239 | 8,910 |
| 9,363 | 9,304 | 9,295 | 10,053 | 9,436 | 15,411 |
| 6,187 | 15,371 | 7,837 | 13,510 | 4,656 | 4,408 |
| 2,502 | 5,234 | 3,285 | 4,930 | 2,036 | 2,883 |
| 2,426 | 5,466 | 3,065 | 5,031 | 1,869 | 1,649 |
| 451 | 4,442 | 4,481 | 965 | 309 | 444 |
| 18,688 | 22,368 | 19,937 | 22,469 | 16,006 | 13,397 |
| 249,359 | 511,500 | 303,691 | 436,437 | 180,921 | 202,114 |
| 1,661 | 43,616 | 4,361 | 613 | 5,156 | 4,134 |
| 251,020 | 555,116 | 308,052 | 437,050 | 186,077 | 206,248 |
| (40,167) | (47,920) | (49,498) | (30,581) | (27,720) | (42) |
| — | — | — | — | — | (788) |
| 210,853 | 507,196 | 258,554 | 406,469 | 158,357 | 205,418 |
| 1,201,357 | 2,930,213 | 1,470,697 | 2,593,132 | 801,734 | 1,023,005 |
| 27,733 | (9,881) | 233,062 | 191,511 | 201,938 | 176,718 |
| 1,991 | (3,825) | (1,487) | (4,194) | 14,557 | 1,991 |
| 29,724 | (13,706) | 231,575 | 187,317 | 216,495 | 178,709 |
| 1,611,473 | 2,846,351 | 1,150,544 | 2,471,063 | 669,478 | 979,201 |
| 1,641,197 | 2,832,645 | 1,382,119 | 2,658,380 | 885,973 | 1,157,910 |
| (37,985) | (79,929) | (33,546) | (88,421) | (13,791) | (40,292) |
| — | — | (19,827) | — | (15,111) | — |
| (37,985) | (79,929) | (53,373) | (88,421) | (28,902) | (40,292) |
| $ 2,804,569 | $ 5,682,929 | $ 2,799,443 | $ 5,163,091 | $ 1,658,805 | $ 2,140,623 |
See Notes to Financial Statements.
SEMI-ANNUAL REPORT FEBRUARY 28, 2010 39
| Statements of Changes in Net Assets | ||||
| BlackRock Maryland Municipal | BlackRock MuniHoldings New York | |||
| Bond Trust (BZM) | Insured Fund, Inc. (MHN) | |||
| Six Months | Six Months | |||
| Ended | Year | Ended | Year | |
| February 28, | Ended | February 28, | Ended | |
| 2010 | August 31, | 2010 | August 31, | |
| Increase (Decrease) in Net Assets Applicable to Common Shareholders: | (Unaudited) | 2009 | (Unaudited) | 2009 |
| Operations | ||||
| Net investment income | $ 1,037,553 | $ 1,968,397 | $ 16,238,438 | $ 29,052,201 |
| Net realized gain (loss) | 319,354 | (403,175) | 245,330 | (2,720,308) |
| Net change in unrealized appreciation/depreciation | 1,197,305 | (968,568) | 13,881,045 | (6,828,468) |
| Dividends and distributions to Preferred Shareholders from: | ||||
| Net investment income | (31,519) | (267,792) | (483,425) | (4,263,541) |
| Net realized gain | — | (2,362) | — | — |
| Net increase in net assets applicable to Common Shareholders resulting | ||||
| from operations | 2,522,693 | 326,500 | 29,881,388 | 15,239,884 |
| Dividends and Distributions to Common Shareholders From | ||||
| Net investment income | (836,221) | (1,621,017) | (12,656,802) | (20,804,641) |
| Net realized gain | — | (6,564) | — | — |
| Decrease in net assets resulting from dividends and distributions to Common Shareholders | (836,221) | (1,627,581) | (12,656,802) | (20,804,641) |
| Capital Share Transactions | ||||
| Reinvestment of common dividends | 49,174 | 122,854 | — | — |
| Net Assets Applicable to Common Shareholders | ||||
| Total increase (decrease) in net assets applicable to Common Shareholders | 1,735,646 | (1,178,227) | 17,224,586 | (5,564,757) |
| Beginning of period | 28,309,862 | 29,488,089 | 422,982,705 | 428,547,462 |
| End of period | $ 30,045,508 | $ 28,309,862 | $440,207,291 | $422,982,705 |
| Undistributed net investment income | $ 500,958 | $ 331,145 | $ 8,861,163 | $ 5,762,952 |
See Notes to Financial Statements.
40 SEMI-ANNUAL REPORT FEBRUARY 28, 2010
| BlackRock New Jersey | BlackRock New York Insured | BlackRock New York | BlackRock New York | ||||
| Municipal Bond Trust (BLJ) | Municipal Income Trust (BSE) | Municipal Bond Trust (BQH) | Municipal Income Trust II (BFY) | ||||
| Six Months | Six Months | Six Months | Six Months | ||||
| Ended | Year | Ended | Year | Ended | Year | Ended | Year |
| February 28, | Ended | February 28, | Ended | February 28, | Ended | February 28, | Ended |
| 2010 | August 31, | 2010 | August 31, | 2010 | August 31, | 2010 | August 31, |
| (Unaudited) | 2009 | (Unaudited) | 2009 | (Unaudited) | 2009 | (Unaudited) | 2009 |
| $ 1,201,357 | $ 2,409,259 | $ 2,930,213 | $ 5,705,372 | $ 1,470,697 | $ 2,981,458 | $ 2,593,132 | $ 5,217,311 |
| 29,724 | (102,603) | (13,706) | (2,546,471) | 231,575 | 164,258 | 187,317 | (95,748) |
| 1,611,473 | (1,440,583) | 2,846,351 | (34,905) | 1,150,544 | (841,495) | 2,471,063 | (1,684,868) |
| (37,985) | (322,491) | (79,929) | (700,402) | (33,546) | (371,954) | (88,421) | (757,706) |
| — | — | — | — | (19,827) | (3,799) | — | — |
| 2,804,569 | 543,582 | 5,682,929 | 2,423,594 | 2,799,443 | 1,928,468 | 5,163,091 | 2,678,989 |
| (1,070,298) | (1,984,969) | (2,545,822) | (4,652,443) | (1,296,022) | (2,335,251) | (2,373,718) | (3,927,976) |
| — | — | — | — | (257,521) | (10,873) | — | — |
| (1,070,298) | (1,984,969) | (2,545,822) | (4,652,443) | (1,553,543) | (2,346,124) | (2,373,718) | (3,927,976) |
| 52,925 | 97,042 | — | 39,052 | 103,059 | 18,922 | 73,682 | 20,276 |
| 1,787,196 | (1,344,345) | 3,137,107 | (2,189,797) | 1,348,959 | (398,734) | 2,863,055 | (1,228,711) |
| 31,239,466 | 32,583,811 | 88,141,353 | 90,331,150 | 40,204,205 | 40,602,939 | 69,315,273 | 70,543,984 |
| $ 33,026,662 | $ 31,239,466 | $ 91,278,460 | $ 88,141,353 | $ 41,553,164 | $ 40,204,205 | $ 72,178,328 | $ 69,315,273 |
| $ 514,115 | $ 421,041 | $ 1,413,850 | $ 1,109,388 | $ 680,697 | $ 539,568 | $ 1,327,480 | $ 1,196,487 |
See Notes to Financial Statements.
SEMI-ANNUAL REPORT FEBRUARY 28, 2010 41
| Statements of Changes in Net Assets (concluded) | ||||
| BlackRock Virginia | The Massachusetts Health & | |||
| Municipal Bond Trust (BHV) | Education Tax-Exempt Trust (MHE) | |||
| Six Months | Six Months | |||
| Ended | Year | Ended | Year | |
| February 28, | Ended | February 28, | Ended | |
| 2010 | August 31, | 2010 | August 31, | |
| Increase (Decrease) in Net Assets Applicable to Common Shareholders: | (Unaudited) | 2009 | (Unaudited) | 2009 |
| Operations | ||||
| Net investment income | $ 801,734 | $ 1,582,866 | $ 1,023,005 | $ 1,937,630 |
| Net realized gain (loss) | 216,495 | 300,733 | 178,709 | (594,998) |
| Net change in unrealized appreciation/depreciation | 669,478 | 3,780 | 979,201 | (398,553) |
| Dividends and distributions to Preferred Shareholders from: | ||||
| Net investment income | (13,791) | (153,097) | (40,292) | (315,726) |
| Net realized gain | (15,111) | (84,115) | — | — |
| Net increase in net assets applicable to Common Shareholders resulting | ||||
| from operations | 1,658,805 | 1,650,167 | 2,140,623 | 628,353 |
| Dividends and Distributions to Common Shareholders From | ||||
| Net investment income | (751,450) | (1,388,620) | (972,569) | (1,469,268) |
| Net realized gain | (415,819) | (247,310) | — | — |
| Decrease in net assets resulting from dividends and distributions to Common Shareholders | (1,167,269) | (1,635,930) | (972,569) | (1,469,268) |
| Capital Share Transactions | ||||
| Reinvestment of common dividends | 94,027 | 121,937 | — | — |
| Net Assets Applicable to Common Shareholders | ||||
| Total increase (decrease) in net assets applicable to Common Shareholders | 585,563 | 136,174 | 1,168,054 | (840,915) |
| Beginning of period | 23,483,097 | 23,346,923 | 28,575,040 | 29,415,955 |
| End of period | $ 24,068,660 | $ 23,483,097 | $ 29,743,094 | $ 28,575,040 |
| Undistributed net investment income | $ 444,355 | $ 407,862 | $ 518,964 | $ 508,820 |
See Notes to Financial Statements.
42 SEMI-ANNUAL REPORT FEBRUARY 28, 2010
| Financial Highlights | BlackRock Maryland Municipal Bond Trust (BZM) | ||||||
| Six Months | |||||||
| Ended | |||||||
| February 28, | |||||||
| 2010 | Year Ended August 31, | ||||||
| (Unaudited) | 2009 | 2008 | 2007 | 2006 | 2005 | ||
| Per Share Operating Performance | |||||||
| Net asset value, beginning of period | $ 13.81 | $ 14.45 | $ 14.91 | $ 15.98 | $ 16.11 | $ 15.24 | |
| Net investment income | 0.511 | 0.961 | 1.071 | 1.08 | 1.07 | 1.07 | |
| Net realized and unrealized gain (loss) | 0.74 | (0.68) | (0.36) | (0.99) | (0.08) | 0.83 | |
| Dividends and distributions to Preferred Shareholders from: | |||||||
| Net investment income | (0.02) | (0.13) | (0.28) | (0.31) | (0.26) | (0.17) | |
| Net realized gain | — | (0.00)2 | (0.01) | (0.00)2 | — | — | |
| Net increase (decrease) from investment operations | 1.23 | 0.15 | 0.42 | (0.22) | 0.73 | 1.73 | |
| Dividends and distributions to Common Shareholders from: | |||||||
| Net investment income | (0.41) | (0.79) | (0.87) | (0.85) | (0.86) | (0.86) | |
| Net realized gain | — | (0.00)2 | (0.01) | (0.00)2 | — | — | |
| Total dividends and distributions to Common Shareholders | (0.41) | (0.79) | (0.88) | (0.85) | (0.86) | (0.86) | |
| Net asset value, end of period | $ 14.63 | $ 13.81 | $ 14.45 | $ 14.91 | $ 15.98 | $ 16.11 | |
| Market price, end of period | $ 14.64 | $ 15.35 | $ 15.75 | $ 17.43 | $ 17.45 | $ 15.96 | |
| Total Investment Return3 | |||||||
| Based on net asset value | 8.90%4 | 1.52% | 2.60% | (1.85)% | 4.57% | 11.73% | |
| Based on market price | (1.96)%4 | 3.53% | (4.33)% | 5.08% | 15.26% | 12.53% | |
| Ratios to Average Net Assets Applicable to Common Shareholders | |||||||
| Total expenses5 | 1.58%7 | 1.83% | 1.70% | 1.54% | 1.64% | 1.60% | |
| Total expenses after fees waived and before fees paid indirectly5 | 1.34%7 | 1.50% | 1.32% | 1.10% | 1.17% | 1.13% | |
| Total expenses after fees waived and paid indirectly5 | 1.34%7 | 1.50% | 1.32% | 1.07% | 1.11% | 1.11% | |
| Total expenses after fees waived and paid indirectly | |||||||
| and excluding interest expense and fees5,6 | 1.32%7 | 1.39% | 1.28% | 1.07% | 1.11% | 1.11% | |
| Net investment income5 | 7.05%7 | 7.62% | 7.19% | 6.87% | 6.76% | 6.82% | |
| Dividends paid to Preferred Shareholders | 0.21%7 | 1.04% | 1.89% | 1.94% | 1.66% | 1.05% | |
| Net investment income to Common Shareholders | 6.84%7 | 6.58% | 5.30% | 4.93% | 5.10% | 5.77% | |
| Supplemental Data | |||||||
| Net assets applicable to Common Shareholders, end of period (000) | $ 30,046 | $ 28,310 | $ 29,488 | $ 30,302 | $ 32,354 | $ 32,492 | |
| Preferred Shares outstanding at $25,000 | |||||||
| liquidation preference, end of period (000) | $ 16,000 | $ 16,000 | $ 16,000 | $ 18,000 | $ 18,000 | $ 18,000 | |
| Portfolio turnover | 9% | 9% | 15% | 7% | — | 4% | |
| Asset coverage per Preferred Share at $25,000 | |||||||
| liquidation preference, end of period | $ 71,947 | $ 69,235 | $ 71,083 | $ 67,089 | $ 69,950 | $ 70,138 | |
| 1 Based on average shares outstanding. | |||||||
| 2 Amount is less than $(0.01) per share. | |||||||
| 3 Total investment returns based on market value, which can be significantly greater or lesser than the net asset value, may result in substantially different returns. Where applicable, | |||||||
| total investment returns exclude the effects of any sales charges and include the reinvestment of dividends and distributions. | |||||||
| 4 Aggregate total investment return. | |||||||
| 5 Do not reflect the effect of dividends to Preferred Shareholders. | |||||||
| 6 Interest expense and fees relate to tender option bond trusts. See Note 1 of the Notes to Financial Statements for details of municipal bonds transferred to tender option bond trusts. | |||||||
| 7 Annualized. | |||||||
See Notes to Financial Statements.
SEMI-ANNUAL REPORT FEBRUARY 28, 2010 43
| Financial Highlights | BlackRock MuniHoldings New York Insured Fund, Inc. (MHN) | ||||||
| Six Months | |||||||
| Ended | |||||||
| February 28, | |||||||
| 2010 | Year Ended August 31, | ||||||
| (Unaudited) | 2009 | 2008 | 2007 | 2006 | 2005 | ||
| Per Share Operating Performance | |||||||
| Net asset value, beginning of period | $ 13.74 | $ 13.92 | $ 14.40 | $ 14.96 | $ 15.54 | $ 15.41 | |
| Net investment income1 | 0.53 | 0.94 | 0.98 | 1.00 | 1.03 | 1.04 | |
| Net realized and unrealized gain (loss) | 0.45 | (0.30) | (0.48) | (0.52) | (0.48) | 0.21 | |
| Dividends to Preferred Shareholders from net investment income | (0.02) | (0.14) | (0.32) | (0.34) | (0.29) | (0.17) | |
| Net increase from investment operations | 0.96 | 0.50 | 0.18 | 0.14 | 0.26 | 1.08 | |
| Dividends to Common Shareholders from net investment income | (0.41) | (0.68) | (0.66) | (0.70) | (0.84) | (0.95) | |
| Net asset value, end of period | $ 14.29 | $ 13.74 | $ 13.92 | $ 14.40 | $ 14.96 | $ 15.54 | |
| Market price, end of period | $ 13.73 | $ 12.89 | $ 12.12 | $ 13.53 | $ 14.62 | $ 15.28 | |
| Total Investment Return2 | |||||||
| Based on net asset value | 7.20%3 | 5.19% | 1.74% | 1.12% | 1.98% | 7.63% | |
| Based on market price | 9.79%3 | 13.34% | (5.72)% | (2.78)% | 1.36% | 15.66% | |
| Ratios to Average Net Assets Applicable to Common Shareholders | |||||||
| Total expenses4 | 1.30%6 | 1.55% | 1.65% | 1.79% | 1.73% | 1.59% | |
| Total expenses after fees waived4 | 1.15%6 | 1.35% | 1.52% | 1.71% | 1.65% | 1.52% | |
| Total expenses after fees waived and excluding interest expense and fees4,5 | 1.03%6 | 1.05% | 1.15% | 1.15% | 1.15% | 1.14% | |
| Net investment income4 | 7.49%6 | 7.45% | 6.90% | 6.65% | 6.94% | 6.71% | |
| Dividends paid to Preferred Shareholders | 0.22%6 | 1.09% | 2.24% | 2.29% | 1.93% | 1.09% | |
| Net investment income to Common Shareholders | 7.27%6 | 6.36% | 4.66% | 4.36% | 5.01% | 5.62% | |
| Supplemental Data | |||||||
| Net assets applicable to Common Shareholders, end of period (000) | $ 440,207 | $ 422,983 | $ 428,547 | $ 443,296 | $ 460,638 | $ 478,413 | |
| Preferred Shares outstanding at $25,000 | |||||||
| liquidation preference, end of period (000) | $ 243,625 | $ 243,625 | $ 252,875 | $ 313,000 | $ 313,000 | $ 313,000 | |
| Portfolio turnover | 11% | 18% | 21% | 24% | 47% | 33% | |
| Asset coverage per Preferred Share at $25,000 | |||||||
| liquidation preference, end of period | $ 70,174 | $ 67,379 | $ 67,379 | $ 60,4227 | $ 61,7997 | $ 63,2147 | |
| 1 Based on average shares outstanding. | |||||||
| 2 Total investment returns based on market value, which can be significantly greater or lesser than the net asset value, may result in substantially different returns. Where applicable, | |||||||
| total investment returns exclude the effects of any sales charges and include the reinvestment of dividends and distributions. | |||||||
| 3 Aggregate total investment return. | |||||||
| 4 Do not reflect the effect of dividends to Preferred Shareholders. | |||||||
| 5 Interest expense and fees relate to tender option bond trusts. See Note 1 of the Notes to Financial Statements for details of municipal bonds transferred to tender option bond trusts. | |||||||
| 6 Annualized. | |||||||
| 7 Amounts have been recalculated to conform with current year presentation. | |||||||
See Notes to Financial Statements.
44 SEMI-ANNUAL REPORT FEBRUARY 28, 2010
| Financial Highlights | BlackRock New Jersey Municipal Bond Trust (BLJ) | ||||||
| Six Months | |||||||
| Ended | |||||||
| February 28, | |||||||
| 2010 | Year Ended August 31, | ||||||
| (Unaudited) | 2009 | 2008 | 2007 | 2006 | 2005 | ||
| Per Share Operating Performance | |||||||
| Net asset value, beginning of period | $ 13.53 | $ 14.16 | $ 15.38 | $ 16.33 | $ 16.26 | $ 14.71 | |
| Net investment income | 0.521 | 1.051 | 1.141 | 1.15 | 1.16 | 1.16 | |
| Net realized and unrealized gain (loss) | 0.71 | (0.68) | (1.11) | (0.87) | 0.18 | 1.48 | |
| Dividends and distributions to Preferred Shareholders from: | |||||||
| Net investment income | (0.02) | (0.14) | (0.29) | (0.29) | (0.24) | (0.15) | |
| Net realized gain | — | — | (0.00)2 | — | (0.02) | — | |
| Net increase (decrease) from investment operations | 1.21 | 0.23 | (0.26) | (0.01) | 1.08 | 2.49 | |
| Dividends and distributions to Common Shareholders from: | |||||||
| Net investment income | (0.46) | (0.86) | (0.95) | (0.94) | (0.95) | (0.94) | |
| Net realized gain | — | — | (0.01) | — | (0.06) | — | |
| Total dividends and distributions to Common Shareholders | (0.46) | (0.86) | (0.96) | (0.94) | (1.01) | (0.94) | |
| Net asset value, end of period | $ 14.28 | $ 13.53 | $ 14.16 | $ 15.38 | $ 16.33 | $ 16.26 | |
| Market price, end of period | $ 14.32 | $ 13.59 | $ 14.76 | $ 16.90 | $ 18.30 | $ 15.98 | |
| Total Investment Return3 | |||||||
| Based on net asset value | 9.04%4 | 2.50% | (2.12)% | (0.61)% | 6.77% | 17.60% | |
| Based on market price | 8.86%4 | (1.23)% | (7.15)% | (2.54)% | 21.74% | 22.22% | |
| Ratios to Average Net Assets Applicable to Common Shareholders | |||||||
| Total expenses5 | 1.56%7 | 1.72% | 1.67% | 1.47% | 1.59% | 1.57% | |
| Total expenses after fees waived and before fees paid indirectly5 | 1.31%7 | 1.36% | 1.28% | 1.03% | 1.11% | 1.10% | |
| Total expenses after fees waived and paid indirectly5 | 1.31%7 | 1.36% | 1.28% | 1.00% | 1.06% | 1.08% | |
| Total expenses after fees waived and paid indirectly | |||||||
| and excluding interest expense and fees5,6 | 1.30%7 | 1.34% | 1.26% | 1.00% | 1.06% | 1.08% | |
| Net investment income5 | 7.45%7 | 8.55% | 7.64% | 7.11% | 7.24% | 7.44% | |
| Dividends paid to Preferred Shareholders | 0.24%7 | 1.14% | 1.97% | 1.79% | 1.50% | 0.98% | |
| Net investment income to Common Shareholders | 7.21%7 | 7.41% | 5.67% | 5.32% | 5.74% | 6.46% | |
| Supplemental Data | |||||||
| Net assets applicable to Common Shareholders, end of period (000) | $ 33,027 | $ 31,239 | $ 32,584 | $ 35,246 | $ 37,263 | $ 36,928 | |
| Preferred Shares outstanding at $25,000 | |||||||
| liquidation preference, end of period (000) | $ 18,775 | $ 18,775 | $ 19,200 | $ 20,225 | $ 20,225 | $ 20,225 | |
| Portfolio turnover | 4% | 28% | 17% | 35% | — | 12% | |
| Asset coverage per Preferred Share at $25,000 | |||||||
| liquidation preference, end of period | $ 68,978 | $ 66,600 | $ 67,439 | $ 68,578 | $ 71,067 | $ 70,649 | |
| 1 Based on average shares outstanding. | |||||||
| 2 Amount is less than $(0.01) per share. | |||||||
| 3 Total investment returns based on market value, which can be significantly greater or lesser than the net asset value, may result in substantially different returns. Where applicable, | |||||||
| total investment returns exclude the effects of any sales charges and include the reinvestment of dividends and distributions. | |||||||
| 4 Aggregate total investment return. | |||||||
| 5 Do not reflect the effect of dividends to Preferred Shareholders. | |||||||
| 6 Interest expense and fees relate to tender option bond trusts. See Note 1 of the Notes to Financial Statements for details of municipal bonds transferred to tender option bond trusts. | |||||||
| 7 Annualized. | |||||||
See Notes to Financial Statements.
SEMI-ANNUAL REPORT FEBRUARY 28, 2010 45
| Financial Highlights | BlackRock New York Insured Municipal Income Trust (BSE) | ||||||
| Six Months | |||||||
| Ended | |||||||
| February 28, | |||||||
| 2010 | Year Ended August 31, | ||||||
| (Unaudited) | 2009 | 2008 | 2007 | 2006 | 2005 | ||
| Per Share Operating Performance | |||||||
| Net asset value, beginning of period | $ 13.61 | $ 13.95 | $ 14.58 | $ 15.34 | $ 15.30 | $ 14.18 | |
| Net investment income | 0.451 | 0.881 | 0.961 | 0.99 | 1.00 | 1.00 | |
| Net realized and unrealized gain (loss) | 0.43 | (0.39) | (0.60) | (0.72) | (0.01) | 1.16 | |
| Dividends and distributions to Preferred Shareholders from: | |||||||
| Net investment income | (0.01) | (0.11) | (0.25) | (0.26) | (0.24) | (0.14) | |
| Net realized gain | — | — | (0.01) | (0.02) | — | — | |
| Net increase (decrease) from investment operations | 0.87 | 0.38 | 0.10 | (0.01) | 0.75 | 2.02 | |
| Dividends and distributions to Common Shareholders from: | |||||||
| Net investment income | (0.39) | (0.72) | (0.70) | (0.70) | (0.71) | (0.90) | |
| Net realized gain | — | — | (0.03) | (0.05) | — | — | |
| Total dividends and distributions to Common Shareholders | (0.39) | (0.72) | (0.73) | (0.75) | (0.71) | (0.90) | |
| Net asset value, end of period | $ 14.09 | $ 13.61 | $ 13.95 | $ 14.58 | $ 15.34 | $ 15.30 | |
| Market price, end of period | $ 13.79 | $ 13.15 | $ 13.26 | $ 14.12 | $ 14.70 | $ 15.35 | |
| Total Investment Return2 | |||||||
| Based on net asset value | 6.54%3 | 3.98% | 0.80% | (0.06)% | 5.46% | 14.72% | |
| Based on market price | 7.91%3 | 5.70% | (1.07)% | 1.01% | 0.73% | 15.92% | |
| Ratios to Average Net Assets Applicable to Common Shareholders | |||||||
| Total expenses4 | 1.23%6 | 1.53% | 1.34% | 1.21% | 1.25% | 1.25% | |
| Total expenses after fees waived and before fees paid indirectly4 | 1.13%6 | 1.33% | 1.09% | 0.90% | 0.92% | 0.93% | |
| Total expenses after fees waived and paid indirectly4 | 1.13%6 | 1.33% | 1.09% | 0.89% | 0.90% | 0.92% | |
| Total expenses after fees waived and paid indirectly | |||||||
| and excluding interest expense and fees4,5 | 1.03%6 | 1.05% | 0.99% | 0.89% | 0.90% | 0.92% | |
| Net investment income4 | 6.51%6 | 7.16% | 6.59% | 6.53% | 6.63% | 6.77% | |
| Dividends paid to Preferred Shareholders | 0.18%6 | 0.88% | 1.74% | 1.69% | 1.58% | 0.96% | |
| Net investment income to Common Shareholders | 6.33%6 | 6.28% | 4.85% | 4.84% | 5.05% | 5.81% | |
| Supplemental Data | |||||||
| Net assets applicable to Common Shareholders, end of period (000) | $ 91,278 | $ 88,141 | $ 90,331 | $ 94,314 | $ 99,255 | $ 98,853 | |
| Preferred Shares outstanding at $25,000 | |||||||
| liquidation preference, end of period (000) | $ 40,575 | $ 40,575 | $ 41,675 | $ 56,000 | $ 56,000 | $ 56,000 | |
| Portfolio turnover | 6% | 23% | 24% | 30% | 9% | 21% | |
| Asset coverage per Preferred Share at $25,000 | |||||||
| liquidation preference, end of period | $ 81,241 | $ 79,309 | $ 79,196 | $ 67,107 | $ 69,324 | $ 69,138 | |
| 1 Based on average shares outstanding. | |||||||
| 2 Total investment returns based on market value, which can be significantly greater or lesser than the net asset value, may result in substantially different returns. Where applicable, | |||||||
| total investment returns exclude the effects of any sales charges and include the reinvestment of dividends and distributions. | |||||||
| 3 Aggregate total investment return. | |||||||
| 4 Do not reflect the effect of dividends to Preferred Shareholders. | |||||||
| 5 Interest expense and fees relate to tender option bond trusts. See Note 1 of the Notes to Financial Statements for details of municipal bonds transferred to tender option bond trusts. | |||||||
| 6 Annualized. | |||||||
See Notes to Financial Statements.
46 SEMI-ANNUAL REPORT FEBRUARY 28, 2010
| Financial Highlights | BlackRock New York Municipal Bond Trust (BQH) | ||||||
| Six Months | |||||||
| Ended | |||||||
| February 28, | |||||||
| 2010 | Year Ended August 31, | ||||||
| (Unaudited) | 2009 | 2008 | 2007 | 2006 | 2005 | ||
| Per Share Operating Performance | |||||||
| Net asset value, beginning of period | $ 14.56 | $ 14.71 | $ 15.39 | $ 16.02 | $ 16.09 | $ 15.09 | |
| Net investment income | 0.531 | 1.081 | 1.141 | 1.14 | 1.13 | 1.13 | |
| Net realized and unrealized gain (loss) | 0.50 | (0.24) | (0.57) | (0.56) | (0.02) | 0.95 | |
| Dividends and distributions to Preferred Shareholders from: | |||||||
| Net investment income | (0.01) | (0.14) | (0.29) | (0.29) | (0.25) | (0.15) | |
| Net realized gain | (0.01) | (0.00)2 | (0.01) | — | — | — | |
| Net increase from investment operations | 1.01 | 0.70 | 0.27 | 0.29 | 0.86 | 1.93 | |
| Dividends and distributions to Common Shareholders from: | |||||||
| Net investment income | (0.47) | (0.85) | (0.93) | (0.92) | (0.93) | (0.93) | |
| Net realized gain | (0.09) | (0.00)2 | (0.02) | — | — | — | |
| Total dividends and distributions to Common Shareholders | (0.56) | (0.85) | (0.95) | (0.92) | (0.93) | (0.93) | |
| Net asset value, end of period | $ 15.01 | $ 14.56 | $ 14.71 | $ 15.39 | $ 16.02 | $ 16.09 | |
| Market price, end of period | $ 14.75 | $ 14.32 | $ 14.62 | $ 16.32 | $ 16.81 | $ 15.85 | |
| Total Investment Return3 | |||||||
| Based on net asset value | 7.03%4 | 5.97% | 1.62% | 1.52% | 5.51% | 13.56% | |
| Based on market price | 6.94%4 | 4.87% | (4.76)% | 2.60% | 12.39% | 20.83% | |
| Ratios to Average Net Assets Applicable to Common Shareholders | |||||||
| Total expenses5 | 1.50%7 | 1.61% | 1.63% | 1.47% | 1.56% | 1.56% | |
| Total expenses after fees waived and before fees paid indirectly5 | 1.26%7 | 1.30% | 1.25% | 1.02% | 1.09% | 1.08% | |
| Total expenses after fees waived and paid indirectly5 | 1.26%7 | 1.30% | 1.25% | 1.00% | 1.06% | 1.06% | |
| Total expenses after fees waived and paid indirectly | |||||||
| and excluding interest expense and fees5,6 | 1.24%7 | 1.25% | 1.23% | 1.00% | 1.06% | 1.06% | |
| Net investment income5 | 7.16%7 | 8.06% | 7.45% | 7.16% | 7.16% | 7.20% | |
| Dividends paid to Preferred Shareholders | 0.16%7 | 1.01% | 1.90% | 1.81% | 1.60% | 0.97% | |
| Net investment income to Common Shareholders | 7.00%7 | 7.05% | 5.55% | 5.35% | 5.56% | 6.23% | |
| Supplemental Data | |||||||
| Net assets applicable to Common Shareholders, end of period (000) | $ 41,553 | $ 40,204 | $ 40,603 | $ 42,160 | $ 43,541 | $ 43,460 | |
| Preferred Shares outstanding at $25,000 | |||||||
| liquidation preference, end of period (000) | $ 22,125 | $ 22,125 | $ 22,400 | $ 24,200 | $ 24,200 | $ 24,200 | |
| Portfolio turnover | 13% | 30% | 19% | 23% | 12% | 3% | |
| Asset coverage per Preferred Share at $25,000 | |||||||
| liquidation preference, end of period | $ 71,954 | $ 70,431 | $ 70,327 | $ 68,560 | $ 69,985 | $ 69,899 | |
| 1 Based on average shares outstanding. | |||||||
| 2 Amount is less than $(0.01) per share. | |||||||
| 3 Total investment returns based on market value, which can be significantly greater or lesser than the net asset value, may result in substantially different returns. Where applicable, | |||||||
| total investment returns exclude the effects of any sales charges and include the reinvestment of dividends and distributions. | |||||||
| 4 Aggregate total investment return. | |||||||
| 5 Do not reflect the effect of dividends to Preferred Shareholders. | |||||||
| 6 Interest expense and fees relate to tender option bond trusts. See Note 1 of the Notes to Financial Statements for details of municipal bonds transferred to tender option bond trusts. | |||||||
| 7 Annualized. | |||||||
See Notes to Financial Statements.
SEMI-ANNUAL REPORT FEBRUARY 28, 2010 47
| Financial Highlights | BlackRock New York Municipal Income Trust II (BFY) | ||||||
| Six Months | |||||||
| Ended | |||||||
| February 28, | |||||||
| 2010 | Year Ended August 31, | ||||||
| (Unaudited) | 2009 | 2008 | 2007 | 2006 | 2005 | ||
| Per Share Operating Performance | |||||||
| Net asset value, beginning of period | $ 14.03 | $ 14.28 | $ 14.84 | $ 15.47 | $ 15.23 | $ 14.16 | |
| Net investment income | 0.521 | 1.061 | 1.081 | 1.07 | 1.06 | 1.04 | |
| Net realized and unrealized gain (loss) | 0.54 | (0.36) | (0.55) | (0.67) | 0.14 | 1.07 | |
| Dividends and distributions to Preferred Shareholders from: | |||||||
| Net investment income | (0.02) | (0.15) | (0.29) | (0.30) | (0.25) | (0.15) | |
| Net realized gain | — | — | (0.01) | — | — | — | |
| Net increase from investment operations | 1.04 | 0.55 | 0.23 | 0.10 | 0.95 | 1.96 | |
| Dividends and distributions to Common Shareholders from: | |||||||
| Net investment income | (0.48) | (0.80) | (0.77) | (0.73) | (0.71) | (0.89) | |
| Net realized gain | — | — | (0.02) | — | — | — | |
| Total dividends and distributions to Common Shareholders | (0.48) | (0.80) | (0.79) | (0.73) | (0.71) | (0.89) | |
| Net asset value, end of period | $ 14.59 | $ 14.03 | $ 14.28 | $ 14.84 | $ 15.47 | $ 15.23 | |
| Market price, end of period | $ 14.45 | $ 14.00 | $ 13.60 | $ 14.22 | $ 14.38 | $ 14.02 | |
| Total Investment Return2 | |||||||
| Based on net asset value | 7.49%3 | 5.23% | 1.70% | 0.69% | 6.93% | 14.46% | |
| Based on market price | 6.69%3 | 10.26% | 1.08% | 3.80% | 7.97% | 8.91% | |
| Ratios to Average Net Assets Applicable to Common Shareholders | |||||||
| Total expenses4 | 1.23%6 | 1.33% | 1.30% | 1.25% | 1.29% | 1.30% | |
| Total expenses after fees waived and before fees paid indirectly4 | 1.14%6 | 1.16% | 1.13% | 1.01% | 1.05% | 1.05% | |
| Total expenses after fees waived and paid indirectly4 | 1.14%6 | 1.16% | 1.13% | 1.00% | 1.02% | 1.04% | |
| Total expenses after fees waived and paid indirectly | |||||||
| and excluding interest expense and fees4,5 | 1.14%6 | 1.16% | 1.13% | 1.00% | 1.02% | 1.04% | |
| Net investment income4 | 7.28%6 | 8.17% | 7.33% | 6.92% | 6.96% | 7.04% | |
| Dividends paid to Preferred Shareholders | 0.25%6 | 1.19% | 1.94% | 1.94% | 1.66% | 0.99% | |
| Net investment income to Common Shareholders | 7.03%6 | 6.98% | 5.39% | 4.98% | 5.30% | 6.05% | |
| Supplemental Data | |||||||
| Net assets applicable to Common Shareholders, end of period (000) | $ 72,178 | $ 69,315 | $ 70,544 | $ 73,302 | $ 76,393 | $ 75,193 | |
| Preferred Shares outstanding at $25,000 | |||||||
| liquidation preference, end of period (000) | $ 44,475 | $ 44,475 | $ 44,650 | $ 44,650 | $ 44,650 | $ 44,650 | |
| Portfolio turnover | 11% | 16% | 12% | 27% | 22% | 27% | |
| Asset coverage per Preferred Share at $25,000 | |||||||
| liquidation preference, end of period | $ 65,573 | $ 63,965 | $ 64,508 | $ 66,048 | $ 67,775 | $ 67,113 | |
| 1 Based on average shares outstanding. | |||||||
| 2 Total investment returns based on market value, which can be significantly greater or lesser than the net asset value, may result in substantially different returns. Where applicable, | |||||||
| total investment returns exclude the effects of any sales charges and include the reinvestment of dividends and distributions. | |||||||
| 3 Aggregate total investment return. | |||||||
| 4 Do not reflect the effect of dividends to Preferred Shareholders. | |||||||
| 5 Interest expense and fees relate to tender option bond trusts. See Note 1 of the Notes to Financial Statements for details of municipal bonds transferred to tender option bond trusts. | |||||||
| 6 Annualized. | |||||||
See Notes to Financial Statements.
48 SEMI-ANNUAL REPORT FEBRUARY 28, 2010
| Financial Highlights | BlackRock Virginia Municipal Bond Trust (BHV) | ||||||
| Six Months | |||||||
| Ended | |||||||
| February 28, | |||||||
| 2010 | Year Ended August 31, | ||||||
| (Unaudited) | 2009 | 2008 | 2007 | 2006 | 2005 | ||
| Per Share Operating Performance | |||||||
| Net asset value, beginning of period | $ 15.05 | $ 15.03 | $ 15.57 | $ 16.35 | $ 16.34 | $ 15.47 | |
| Net investment income | 0.511 | 1.021 | 1.111 | 1.11 | 1.10 | 1.10 | |
| Net realized and unrealized gain (loss) | 0.58 | 0.20 | (0.45) | (0.68) | 0.04 | 0.80 | |
| Dividends and distributions to Preferred Shareholders from: | |||||||
| Net investment income | (0.01) | (0.10) | (0.30) | (0.27) | (0.26) | (0.16) | |
| Net realized gain | (0.01) | (0.05) | — | (0.02) | — | — | |
| Net increase from investment operations | 1.07 | 1.07 | 0.36 | 0.14 | 0.88 | 1.74 | |
| Dividends and distributions to Common Shareholders from: | |||||||
| Net investment income | (0.48) | (0.89) | (0.90) | (0.87) | (0.87) | (0.87) | |
| Net realized gain | (0.27) | (0.16) | — | (0.05) | — | — | |
| Total dividends and distributions to Common Shareholders | (0.75) | (1.05) | (0.90) | (0.92) | (0.87) | (0.87) | |
| Net asset value, end of period | $ 15.37 | $ 15.05 | $ 15.03 | $ 15.57 | $ 16.35 | $ 16.34 | |
| Market price, end of period | $ 19.20 | $ 17.50 | $ 19.50 | $ 17.85 | $ 18.45 | $ 17.30 | |
| Total Investment Return2 | |||||||
| Based on net asset value | 6.64%3 | 6.94% | 1.59% | 0.21% | 5.30% | 11.52% | |
| Based on market price | 14.56%3 | (4.16)% | 14.97% | 1.80% | 12.23% | 19.07% | |
| Ratios to Average Net Assets Applicable to Common Shareholders | |||||||
| Total expenses4 | 1.56%6 | 1.75% | 1.70% | 1.58% | 1.68% | 1.67% | |
| Total expenses after fees waived and before fees paid indirectly4 | 1.33%6 | 1.45% | 1.34% | 1.14% | 1.22% | 1.20% | |
| Total expenses after fees waived and paid indirectly4 | 1.33%6 | 1.45% | 1.34% | 1.09% | 1.15% | 1.18% | |
| Total expenses after fees waived and paid indirectly | |||||||
| and excluding interest expense and fees4,5 | 1.28%6 | 1.37% | 1.31% | 1.09% | 1.15% | 1.18% | |
| Net investment income4 | 6.71%6 | 7.43% | 7.14% | 6.85% | 6.83% | 6.90% | |
| Dividends paid to Preferred Shareholders | 0.24%6 | 0.72% | 1.90% | 1.69% | 1.60% | 1.00% | |
| Net investment income to Common Shareholders | 6.47%6 | 6.71% | 5.24% | 5.16% | 5.23% | 5.90% | |
| Supplemental Data | |||||||
| Net assets applicable to Common Shareholders, end of period (000) | $ 24,069 | $ 23,483 | $ 23,347 | $ 24,053 | $ 25,097 | $ 24,966 | |
| Preferred Shares outstanding at $25,000 liquidation preference, | |||||||
| end of period (000) | $ 11,675 | $ 11,675 | $ 12,175 | $ 13,525 | $ 13,525 | $ 13,525 | |
| Portfolio turnover | 19% | 32% | 11% | 12% | 5% | 5% | |
| Asset coverage per Preferred Share at $25,000 liquidation preference, | |||||||
| end of period | $ 76,540 | $ 75,286 | $ 72,948 | $ 69,463 | $ 71,404 | $ 71,158 | |
| 1 Based on average shares outstanding. | |||||||
| 2 Total investment returns based on market value, which can be significantly greater or lesser than the net asset value, may result in substantially different returns. Where applicable, | |||||||
| total investment returns exclude the effects of any sales charges and include the reinvestment of dividends and distributions. | |||||||
| 3 Aggregate total investment return. | |||||||
| 4 Do not reflect the effect of dividends to Preferred Shareholders. | |||||||
| 5 Interest expense and fees relate to tender option bond trusts. See Note 1 of the Notes to Financial Statements for details of municipal bonds transferred to tender option bond trusts. | |||||||
| 6 Annualized. | |||||||
See Notes to Financial Statements.
SEMI-ANNUAL REPORT FEBRUARY 28, 2010 49
| Financial Highlights | The Massachusetts Health & Education Tax-Exempt Trust (MHE) | |||||||||
| Six Months | Period | |||||||||
| Ended | January 1, | |||||||||
| February 28, | Year Ended | 2008 to | ||||||||
| 2010 | August 31, | August 31, | Year Ended December 31, | |||||||
| (Unaudited) | 2009 | 2008 | 2007 | 2006 | 2005 | 20041 | ||||
| Per Share Operating Performance | ||||||||||
| Net asset value, beginning of period | $ 12.19 | $ 12.55 | $ 13.10 | $ 13.90 | $ 13.59 | $ 13.74 | $ 13.91 | |||
| Net investment income2 | 0.44 | 0.83 | 0.59 | 0.92 | 0.90 | 0.83 | 0.82 | |||
| Net realized and unrealized gain (loss) | 0.49 | (0.43) | (0.58) | (0.82) | 0.47 | 0.15 | 0.08 | |||
| Dividends and distributions to Preferred Shareholders from: | ||||||||||
| Net investment income | (0.02) | (0.13) | (0.17) | (0.31) | (0.25) | (0.11) | (0.03) | |||
| Net realized gain | — | — | — | — | (0.03) | (0.01) | (0.01) | |||
| Net increase (decrease) from investment operations | 0.91 | 0.27 | (0.16) | (0.21) | 1.09 | 0.86 | 0.86 | |||
| Dividends and distributions to Common Shareholders from: | ||||||||||
| Net investment income | (0.41) | (0.63) | (0.39) | (0.59) | (0.68) | (0.78) | (0.87) | |||
| Net realized gain | — | — | — | (0.00)3 | (0.10) | (0.13) | (0.16) | |||
| Total dividends and distributions to Common Shareholders | (0.41) | (0.63) | (0.39) | (0.59) | (0.78) | (0.91) | (1.03) | |||
| Capital charges with respect to issuance of Preferred Shares | — | — | — | — | — | (0.10) | — | |||
| Net asset value, end of period | $ 12.69 | $ 12.19 | $ 12.55 | $ 13.10 | $ 13.90 | $ 13.59 | $ 13.74 | |||
| Market price, end of period | $ 12.77 | $ 12.00 | $ 11.22 | $ 11.95 | $ 13.10 | $ 13.60 | $ 16.24 | |||
| Total Investment Return4 | ||||||||||
| Based on net asset value | 7.66%5 | 3.29% | (1.01)%5 | (1.23)% | 8.30% | 5.46% | 6.08% | |||
| Based on market price | 10.05%5 | 13.73% | (2.99)%5 | (4.40)% | 1.99% | (10.71)% | 14.29% | |||
| Ratios to Average Net Assets Applicable to Common Shareholders | ||||||||||
| Total expenses6 | 1.41%7 | 1.54% | 1.77%7 | 1.47% | 1.64% | 1.30% | 1.45% | |||
| Total expenses after fees waived and paid indirectly6 | 1.40%7 | 1.54% | 1.77%7 | 1.47% | 1.64% | 1.30% | 1.45% | |||
| Total expenses after fees waived and paid indirectly | ||||||||||
| and excluding interest expense and fees6,8 | 1.37%7 | 1.45% | 1.73%7 | 1.47% | 1.64% | 1.30% | 1.45% | |||
| Net investment income6 | 6.97%7 | 7.50% | 6.82%7 | 6.78% | 6.61% | 6.00% | 5.97% | |||
| Dividends paid to Preferred Shareholders | 0.27%7 | 1.22% | 2.03%7 | 2.27% | 2.07% | 0.76% | 0.24% | |||
| Net investment income Common Shareholders | 6.70%7 | 6.28% | 4.79%7 | 4.51% | 4.54% | 5.24% | 5.73% | |||
| Supplemental Data | ||||||||||
| Net assets applicable to Common Shareholders, | ||||||||||
| end of period (000) | $ 29,743 | $ 28,575 | $ 29,416 | $ 30,717 | $ 32,581 | $ 31,792 | $ 32,076 | |||
| Preferred Shares outstanding at $50,000 | ||||||||||
| liquidation preference, end of period (000) | $ 18,500 | $ 18,500 | $ 18,500 | $ 20,000 | $ 20,000 | $ 20,000 | $ 10,000 | |||
| Portfolio turnover | 5% | 12% | 5% | 18% | 9% | 16% | 21% | |||
| Asset coverage per Preferred Share at $50,000 | ||||||||||
| liquidation preference, end of period | $ 130,389 | $ 127,234 | $ 129,523 | $ 126,8359 | $ 131,4849 $ | 129,5069 | $ 210,3789 | |||
| 1 On September 1, 2004, Fund Asset Management, L.P. became the investment advisor, which combined with BlackRock, Inc. on September 26, 2006. | ||||||||||
| 2 Based on average shares outstanding. | ||||||||||
| 3 Amount is less than $(0.01) per share. | ||||||||||
| 4 Total investment returns based on market value, which can be significantly greater or lesser than the net asset value, may result in substantially different returns. Where applicable, | ||||||||||
| total investment returns exclude the effects of any sales charges and include the reinvestment of dividends and distributions. | ||||||||||
| 5 Aggregate total investment return. | ||||||||||
| 6 Do not reflect the effect of dividends to Preferred Shareholders. | ||||||||||
| 7 Annualized. | ||||||||||
| 8 Interest expense and fees relate to tender option bond trusts. See Note 1 of the Notes to Financial Statements for details of municipal bonds transferred to tender option bond trusts. | ||||||||||
| 9 Amounts have been recalculated to conform with current period presentation. | ||||||||||
See Notes to Financial Statements.
50 SEMI-ANNUAL REPORT FEBRUARY 28, 2010
Notes to Financial Statements (Unaudited)
1. Organization and Significant Accounting Policies:
BlackRock MuniHoldings New York Insured Fund, Inc. (“MHN”), BlackRock
New York Insured Municipal Income Trust (“BSE”) (collectively the “Insured
Trusts”), BlackRock Maryland Municipal Bond Trust (“BZM”), BlackRock
New Jersey Municipal Bond Trust (“BLJ”), BlackRock New York Municipal
Bond Trust (“BQH”), BlackRock Virginia Municipal Bond Trust (“BHV”)
(collectively the “Bond Trusts”), BlackRock New York Municipal Income
Trust II (“BFY”) (the “Income II Trust”), and The Massachusetts Health &
Education Tax-Exempt Trust (“MHE”) (all, collectively the “Trusts” or
individually as the “Trust”) are registered under the Investment Company
Act of 1940, as amended (the “1940 Act”), as non-diversified, closed-end
management investment companies. All Trusts are organized as Delaware
statutory trusts except MHN and MHE, which are organized as a Maryland
corporation and a Massachusetts business trust, respectively. The Trusts’
financial statements are prepared in conformity with accounting principles
generally accepted in the United States of America, which may require the
use of management accruals and estimates. Actual results may differ from
these estimates. The Board of Directors and the Boards of Trustees of the
Trusts are referred to throughout this report as the “Board of Trustees” or
the “Board.” Each Trust determines, and makes available for publication
the net asset value of its Common Shares on a daily basis.
The following is a summary of significant accounting policies followed by
the Trusts:
Valuation: The Trusts’ policy is to fair value their financial instruments at
market value. Municipal investments (including commitments to purchase
such investments on a “when-issued” basis) are valued on the basis of
prices provided by dealers or pricing services selected under the supervi-
sion of each Trust’s Board. In determining the value of a particular
investment, pricing services may use certain information with respect to
transactions in such investments, quotations from dealers, pricing matrixes,
market transactions in comparable investments and information with
respect to various relationships between investments. Financial futures
contracts traded on exchanges are valued at their last sale price. Short-
term securities with remaining maturities of 60 days or less may be valued
at amortized cost, which approximates fair value. Investments in open-end
investment companies are valued at net asset value each business day.
In the event that application of these methods of valuation results in a
price for an investment which is deemed not to be representative of the
market value of such investment or is not available, the investment will
be valued by a method approved by each Trust’s Board as reflecting fair
value (“Fair Value Assets”). When determining the price for Fair Value
Assets, the investment advisor and/or the sub-advisor seeks to determine
the price that each Trust might reasonably expect to receive from the cur-
rent sale of that asset in an arm’s-length transaction. Fair value determina-
tions shall be based upon all available factors that the investment advisor
and/or sub-advisor deems relevant. The pricing of all Fair Value Assets is
subsequently reported to the Board or a committee thereof.
Forward Commitments and When-Issued Delayed Delivery Securities: Each
Trust may purchase securities on a when-issued basis and may purchase
or sell securities on a forward commitment basis. Settlement of such trans-
actions normally occurs within a month or more after the purchase or sale
commitment is made. The Trusts may purchase securities under such condi-
tions with the intention of actually acquiring them, but may enter into a
separate agreement to sell the securities before the settlement date.
Since the value of securities purchased may fluctuate prior to settlement,
the Trusts may be required to pay more at settlement than the security
is worth. In addition, the purchaser is not entitled to any of the interest
earned prior to settlement. When purchasing a security on a delayed
delivery basis, the Trusts assume the rights and risks of ownership of the
security, including the risk of price and yield fluctuations. In the event of
default by the counterparty, the Trusts’ maximum amount of loss is the
unrealized gain of the commitment, which is shown on the Schedules of
Investments, if any.
Municipal Bonds Transferred to Tender Option Bond Trusts: The Trusts
leverage their assets through the use of tender option bond trusts (“TOBs”).
A TOB is established by a third party sponsor forming a special purpose
entity, into which one or more funds, or an agent on behalf of the funds,
transfers municipal bonds. Other funds managed by the investment advisor
may also contribute municipal bonds to a TOB into which a Trust has con-
tributed bonds. A TOB typically issues two classes of beneficial interests:
short-term floating rate certificates, which are sold to third party investors,
and residual certificates (“TOB Residuals”), which are generally issued to
the participating funds that made the transfer. The TOB Residuals held by
a Trust include the right of the Trust (1) to cause the holders of a propor-
tional share of the floating rate certificates to tender their certificates at
par, and (2) to transfer, within seven days, a corresponding share of the
municipal bonds from the TOB to the Trusts. The TOB may also be termi-
nated without the consent of the Trust upon the occurrence of certain
events as defined in the TOB agreements. Such termination events may
include the bankruptcy or default of the municipal bond, a substantial
downgrade in credit quality of the municipal bond, the inability of the TOB
to obtain quarterly or annual renewal of the liquidity support agreement,
a substantial decline in market value of the municipal bond or the inability
to remarket the short-term floating rate certificates to third party investors.
The cash received by the TOB from the sale of the short-term floating rate
certificates, less transaction expenses, is paid to the Trust, which typically
invests the cash in additional municipal bonds. Each Trust’s transfer of the
municipal bonds to a TOB is accounted for as a secured borrowing, there-
fore the municipal bonds deposited into a TOB are presented in the Trusts’
Schedules of Investments and the proceeds from the issuance of the
short-term floating rate certificates are shown as trust certificates in the
Statements of Assets and Liabilities.
Interest income from the underlying security is recorded by the Trusts
on an accrual basis. Interest expense incurred on the secured borrowing
and other expenses related to remarketing, administration and trustee
services to a TOB are reported as expenses of the Trusts. The floating rate
certificates have interest rates that generally reset weekly and their holders
have the option to tender certificates to the TOB for redemption at par at
each reset date. At February 28, 2010, the aggregate value of the underly-
ing municipal bonds transferred to TOBs, the related liability for trust
certificates and the range of interest rates on the liability for trust
certificates were as follows:
SEMI-ANNUAL REPORT FEBRUARY 28, 2010 51
Notes to Financial Statements (continued)
| Underlying | |||
| Municipal Bonds | Liability | Range of | |
| Transferred | for Trust | Interest | |
| to TOBs | Certificates | Rates | |
| BZM | $ 3,145,800 | $ 1,500,000 | 0.19% |
| MHN | $140,416,647 | $71,712,600 | 0.22% – 0.59% |
| BLJ | $ 639,359 | $ 419,783 | 0.29% |
| BSE | $ 17,825,415 | $10,408,503 | 0.22% – 0.59% |
| BQH | $ 2,940,190 | $ 1,509,077 | 0.22% – 0.26% |
| BFY | $ 268,449 | $ 159,940 | 0.22% |
| BHV | $ 3,148,951 | $ 1,499,291 | 0.19% – 0.22% |
| MHE | $ 2,092,406 | $ 1,339,595 | 0.26% |
For the six months ended February 28, 2010, the Trusts’ average trust
certificates outstanding and the daily weighted average interest rate,
including fees, were as follows:
| Average Trust | Daily Weighted | |
| Certificates | Average | |
| Outstanding | Interest Rate | |
| BZM | $ 1,500,000 | 0.52% |
| MHN | $66,405,044 | 0.81% |
| BLJ | $ 419,783 | 0.80% |
| BSE | $10,408,503 | 0.85% |
| BQH | $ 1,516,156 | 0.58% |
| BFY | $ 159,940 | 0.77% |
| BHV | $ 1,499,291 | 0.69% |
| MHE | $ 1,339,595 | 0.62% |
Should short-term interest rates rise, the Trusts’ investments in TOBs may
adversely affect the Trusts’ investment income and distributions to Common
Shareholders. Also, fluctuations in the market value of municipal bonds
deposited into the TOB may adversely affect the Trusts’ net asset value
per share.
Zero-Coupon Bonds: Each Trust may invest in zero-coupon bonds, which
are normally issued at a significant discount from face value and do not
provide for periodic interest payments. Zero-coupon bonds may experience
greater volatility in market value than similar maturity debt obligations,
which provide for regular interest payments.
Segregation and Collateralization: In cases in which the 1940 Act and
the interpretive positions of the Securities and Exchange Commission
(“SEC”) require that the Trusts either deliver collateral or segregate assets
in connection with certain investments (e.g., financial futures contracts),
each Trust will, consistent with SEC rules and/or certain interpretive letters
issued by the SEC, segregate collateral or designate on its books and
records cash or other liquid securities having a market value at least equal
to the amount that would otherwise be required to be physically segre-
gated. Furthermore, based on requirements and agreements with certain
exchanges and third party broker-dealers, each party has requirements to
deliver/deposit securities as collateral for certain investments.
Investment Transactions and Investment Income: For financial reporting
purposes, investment transactions are recorded on the dates the trans-
actions are entered into (the trade dates). Realized gains and losses
on investment transactions are determined on the identified cost basis.
Dividend income is recorded on the ex-dividend dates. Interest income is
recognized on the accrual method. Each Trust amortizes all premiums and
discounts on debt securities.
Dividends and Distributions: Dividends from net investment income are
declared and paid monthly. Distributions of capital gains are recorded
on the ex-dividend dates. Dividends and distributions to Preferred
Shareholders are accrued and determined as described in Note 6.
Income Taxes: It is each Trust’s policy to comply with the requirements of
the Internal Revenue Code applicable to regulated investment companies
and to distribute substantially all of its taxable income to its shareholders.
Therefore, no federal income tax provision is required.
Each Trust files US federal and various state and local tax returns. No
income tax returns are currently under examination. The statute of limita-
tions on the Trusts’ US federal tax returns remains open for each of the four
years ended August 31, 2009 (two years ended December 31, 2007 and
the period ended August 31, 2008 and year ended August 31, 2009 for
MHE). The statutes of limitations on the Trusts’ state and local tax returns
may remain open for an additional year depending upon the jurisdiction.
Recent Accounting Standards: In June 2009, amended guidance was
issued by the Financial Accounting Standards Board (“FASB”) for transfers
of financial assets. This guidance is intended to improve the relevance,
representational faithfulness and comparability of the information that a
reporting entity provides in its financial statements about a transfer of
financial assets; the effects of a transfer on its financial position, financial
performance, and cash flows; and a transferor’s continuing involvement, if
any, in transferred financial assets. The amended guidance is effective for
financial statements for fiscal years and interim periods beginning after
November 15, 2009. Earlier application is prohibited. The recognition and
measurement provisions of this guidance must be applied to transfers
occurring on or after the effective date. Additionally, the enhanced disclo-
sure provisions of the amended guidance should be applied to transfers
that occurred both before and after the effective date of this guidance. The
impact of this guidance on the Trusts’ financial statements and disclosures,
if any, is currently being assessed.
In January 2010, the FASB issued amended guidance to improve
disclosures about fair value measurements which will require additional
disclosures about transfers into and out of Levels 1 and 2 and separate
disclosures about purchases, sales, issuances and settlements in the
reconciliation for fair value measurements using significant unobservable
inputs (Level 3). It also clarifies existing disclosure requirements relating
to the levels of disaggregation for fair value measurement and inputs
and valuation techniques used to measure fair value. The amended
guidance is effective for financial statements for fiscal years and interim
periods beginning after December 15, 2009 except for disclosures about
purchases, sales, issuances and settlements in the rollforward of activity
in Level 3 fair value measurements, which are effective for fiscal years
beginning after December 15, 2010, and for interim periods within those
fiscal years. The impact of this guidance on the Trusts’ financial statements
and disclosures is currently being assessed.
Deferred Compensation and BlackRock Closed-End Share Equivalent
Investment Plan: Under the deferred compensation plan approved by
each Trust’s Board, non-interested Trustees (“Independent Trustees”)
may defer a portion of their annual complex-wide compensation. Deferred
52 SEMI-ANNUAL REPORT FEBRUARY 28, 2010
Notes to Financial Statements (continued)
amounts earn an approximate return as though equivalent dollar amounts
had been invested in common shares of other certain BlackRock Closed-
End Funds selected by the Independent Trustees. This has approximately
the same economic effect for the Independent Trustees as if the
Independent Trustees had invested the deferred amounts directly in other
certain BlackRock Closed-End Funds.
The deferred compensation plan is not funded and obligations there under
represent general unsecured claims against the general assets of each
Trust. Each Trust may, however, elect to invest in common shares of other
certain BlackRock Closed-End Funds selected by the Independent Trustees
in order to match its deferred compensation obligations. Investments to
cover each Trust’s deferred compensation liability, if any, are included in
other assets in the Statements of Assets and Liabilities. Dividends and
distributions from the BlackRock Closed-End Funds investments under the
plan are included in income — affiliated in the Statements of Operations.
Other: Expenses directly related to a Trust are charged to that Trust. Other
operating expenses shared by several funds are pro rated among those
funds on the basis of relative net assets or other appropriate methods.
Each Trust has an arrangement with its custodian whereby fees may be
reduced by credits earned on uninvested cash balances, which if applica-
ble are shown as fees paid indirectly in the Statements of Operations. The
custodians impose fees on overdrawn cash balances, which can be offset
by accumulated credits earned or may result in additional custody charges.
2. Derivative Financial Instruments:
Each Trust may engage in various portfolio investment strategies both to
increase the return of the Trusts and to economically hedge, or protect,
exposure to certain risks such as interest rate risk. Losses may arise if the
value of the contract decreases due to an unfavorable change in the price
of the underlying instrument or if the counterparty does not perform under
the contract. To the extent amounts due to the Trusts from its counterpar-
ties are not fully collateralized contractually or otherwise, the Trusts bear
the risk of loss from counterparty non-performance. See Note 1 “Seg-
regation and Collateralization” for information with respect to collateral
practices. Counterparty risk related to exchange-traded financial futures
contracts is minimal because of the protection against default provided
by the exchanges on which they trade.
Financial Futures Contracts: The Trusts may purchase or sell financial
futures contracts and options on financial futures contracts to gain expo-
sure to, or economically hedge against, changes in interest rates (interest
rate risk). Financial futures contracts are contracts for delayed delivery of
securities at a specific future date and at a specific price or yield. Pursuant
to the contract, the Trusts agree to receive from or pay to the broker an
amount of cash equal to the daily fluctuation in value of the contract. Such
receipts or payments are known as margin variation and are recognized by
the Trusts as unrealized gains or losses. When the contract is closed, the
Trusts record a realized gain or loss equal to the difference between the
value of the contract at the time it was opened and the value at the time
it was closed. The use of financial futures transactions involves the risk of
an imperfect correlation in the movements in the price of financial futures
contracts, interest rates and the underlying assets.
| Derivative Instruments Categorized by Risk Exposure: | ||||
| The Effect of Derivative Instruments on the Statements of Operations | ||||
| Six Months Ended February 28, 2010 | ||||
|
| ||||
| Net Realized Gain (Loss) from | ||||
| BZM | MHN | BLJ | BSE | |
| Interest rate contracts: | ||||
| Financial futures | ||||
| contracts | $ 17,063 | $ (17,461) $ | 1,991 | $ (3,825) |
| Net Realized Gain (Loss) from | ||||
| BQH | BFY | BHV | MHE | |
| Interest rate contracts: | ||||
| Financial futures | ||||
| contracts | $ (1,487) | $ (4,194) | $ 14,557 | $ 1,991 |
| For the six months ended February 28, 2010, the average derivative activity | ||||
| was as follows: | ||||
| BZM | MHN | BLJ | BSE | |
| Financial futures contracts: | ||||
| Average number of | ||||
| contracts purchased | 1 | 14 | 1 | 3 |
| Average number of | ||||
| contracts sold | 6 | 101 | — | 22 |
| Average notional value of | ||||
| contracts purchased | $115,002 | $ 1,610,031 | $115,002 | $ 345,007 |
| Average notional value of | ||||
| contracts sold | $714,237 | $11,991,037 | — | $2,565,257 |
| BQH | BFY | BHV | MHE | |
| Financial futures contracts: | ||||
| Average number of | ||||
| contracts purchased | 2 | 2 | 1 | 1 |
| Average number of | ||||
| contracts sold | 10 | 17 | 5 | — |
| Average notional value of | ||||
| contracts purchased | $ 172,503 | $ 230,004 | $115,002 | $115,002 |
| Average notional value of | ||||
| contracts sold | $1,133,503 | $1,968,745 | $595,200 | — |
3. Investment Advisory Agreement and Other Transactions
with Affiliates:
The PNC Financial Services Group, Inc. ("PNC"), Bank of America
Corporation ("BAC") and Barclays Bank PLC ("Barclays") are the largest
stockholders of BlackRock, Inc. ("BlackRock"). Due to the ownership
structure, PNC is an affiliate for 1940 Act purposes, but BAC and Barclays
are not.
Each Trust entered into an Investment Advisory Agreement with BlackRock
Advisors, LLC (the “Manager”), the Trusts’ investment advisor, an indirect,
wholly owned subsidiary of BlackRock, to provide investment advisory and
administration services.
The Manager is responsible for the management of each Trust’s portfolio
and provides the necessary personnel, facilities, equipment and certain
other services necessary to the operations of each Trust. For such services,
each Trust pays the Manager a monthly fee of the Trust’s average weekly
net assets except MHN and MHE, which are based upon average daily net
SEMI-ANNUAL REPORT FEBRUARY 28, 2010 53
Notes to Financial Statements (continued)
assets. Average daily or weekly net assets are the average daily or weekly
value of each Trust’s total assets minus the sum of its accrued liabilities.
Fees accrue at the following annual rates:
| BZM | 0.65% |
| MHN | 0.55% |
| BLJ | 0.65% |
| BSE | 0.55% |
| BQH | 0.65% |
| BFY | 0.55% |
| BHV | 0.65% |
| MHE | 0.50% |
The Manager has voluntarily agreed to waive its advisory fee on the pro-
ceeds of Preferred Shares and TOBs that exceed 35% of the average daily
net assets of MHN. For the six months ended February 28, 2010, the
Manager waived $299,595, which is included in fees waived by advisor
in the Statements of Operations.
The Manager has voluntarily agreed to waive a portion of the investment
advisory fee for certain other funds. With respect to BSE, the waiver, as
a percentage of average weekly net assets is as follows: 0.15% through
October 2008, 0.10% through October 2009, and 0.05% through
October 2010. With respect to the Bond Trusts, the waiver, as a percentage
of average weekly net assets, is as follows: 0.20% through April 2009,
0.15% through April 2010, 0.10% through April 2011 and 0.05% through
April 2012. With respect to the Income II Trust, the waiver, as a percentage
of average weekly net assets is 0.10% through July 2009, and 0.05%
through July 2012. For the six months ended February 28, 2010, the
Manager waived the following amounts, which are included in fees waived
by advisor in the Statements of Operations:
| Fees Waived | |
| by Manager | |
| BZM | $35,255 |
| BLJ | $38,470 |
| BSE | $47,040 |
| BQH | $48,400 |
| BFY | $28,867 |
| BHV | $27,715 |
The Manager has voluntarily agreed to waive its advisory fees by the
amount of investment advisory fees each Trust pays to the Manager indi-
rectly through its investment in affiliated money market funds, however
the Manager does not waive its advisory fees by the amount of investment
advisory fees through its investment in other affiliated investment
companies. These amounts are included in fees waived by advisor in the
Statements of Operations. For the six months ended February 28, 2010,
the amounts waived were as follows:
| Fees Waived | |
| by Manager | |
| BZM | $ 93 |
| MHN | $11,772 |
| BLJ | $ 1,697 |
| BSE | $ 880 |
| BQH | $ 1,098 |
| BFY | $ 1,714 |
| BHV | $ 5 |
| MHE | $ 42 |
The Manager has entered into a separate sub-advisory agreement with
BlackRock Investment Management, LLC (“BIM”) for MHN and MHE and
BlackRock Financial Management, Inc. (“BFM”) for all other Trusts. BIM
and BFM are affiliates of the Manager. The Manager pays BIM and BFM for
services they provide, a monthly fee that is a percentage of the investment
advisory fee paid by each Trust to the Manager.
For the six months ended February 28, 2010, the Trusts reimbursed the
Manager for certain accounting services, which are included in accounting
services in the Statements of Operations.
| Reimbursement | |
| BZM | $ 437 |
| MHN | $ 6,876 |
| BLJ | $ 495 |
| BSE | $ 1,331 |
| BQH | $ 601 |
| BFY | $ 1,086 |
| BHV | $ 361 |
| MHE | $ 460 |
Certain officers and/or trustees of the Trusts are officers and/or directors of
BlackRock or its affiliates. The Trusts reimburse the Manager for compensa-
tion paid to the Trusts’ Chief Compliance Officer.
4. Investments:
Purchases and sales of investments, excluding short-term securities, for the
six months ended February 28, 2010 were as follows:
| Purchases | Sales | |
| BZM | $ 4,858,322 | $ 3,936,045 |
| MHN | $83,309,726 | $79,451,103 |
| BLJ | $ 2,176,425 | $ 4,299,448 |
| BSE | $ 8,993,098 | $ 7,835,356 |
| BQH | $ 9,288,945 | $ 8,020,786 |
| BFY | $12,925,145 | $14,002,284 |
| BHV | $ 7,147,787 | $ 7,443,181 |
| MHE | $ 7,686,966 | $ 2,418,126 |
5. Concentration, Market and Credit Risk:
Each Trust invests a substantial amount of their assets in issuers located
in a single state or limited number of states. Please see the Schedules of
Investments for concentrations in specific states.
Many municipalities insure repayment of their bonds, which may reduce
the potential for loss due to credit risk. The market value of these bonds
may fluctuate for other reasons, including market perception of the value
of such insurance, and there is no guarantee that the insurer will meet
its obligation.
In the normal course of business, the Trusts invest in securities and enter
into transactions where risks exist due to fluctuations in the market (market
risk) or failure of the issuer of a security to meet all its obligations (credit
risk). The value of securities held by the Trusts may decline in response to
certain events, including those directly involving the issuers whose securi-
ties are owned by the Trusts; conditions affecting the general economy;
overall market changes; local, regional or global political, social or eco-
nomic instability; and currency and interest rate and price fluctuations.
Similar to credit risk, the Trusts may be exposed to counterparty risk, or
54 SEMI-ANNUAL REPORT FEBRUARY 28, 2010
Notes to Financial Statements (continued)
the risk that an entity with which the Trusts have unsettled or open trans-
actions may default. Financial assets, which potentially expose the Trusts
to credit and counterparty risks, consist principally of investments and
cash due from counterparties. The extent of the Trusts’ exposure to credit
and counterparty risks with respect to these financial assets is generally
approximated by their value recorded in the Trusts’ Statements of Assets
and Liabilities, less any collateral held by the Trusts.
6. Capital Share Transactions:
The Trusts, except MHN, are authorized to issue an unlimited number of
shares (200 million shares for MHN), all of which were initially classified
as Common Shares. The par value for the Trusts, except MHN and MHE, is
$0.001 per share ($0.10 for MHN and $0.01 for MHE). Each Trust’s Board
is authorized, however, to reclassify any unissued shares without approval
of Common Shareholders.
Common Shares
During the six months ended February 28, 2010 and the year ended
August 31, 2009, the shares issued and outstanding increased by the
following amounts as a result of dividend reinvestment:
| Six Months | ||
| Ended | Year Ended | |
| February 28, | August 31, | |
| 2010 | 2009 | |
| BZM | 3,327 | 9,282 |
| BLJ | 3,806 | 7,624 |
| BSE | — | 2,972 |
| BQH | 6,889 | 1,342 |
| BFY | 5,132 | 1,492 |
| BHV | 5,528 | 7,591 |
Shares issued and outstanding remained constant during the six months
ended February 28, 2010 and the year ended August 31, 2009 for MHN
and MHE.
Preferred Shares
The Preferred Shares are redeemable at the option of each Trust, in whole
or in part, on any dividend payment date at their liquidation preference
per share plus any accumulated and unpaid dividends whether or not
declared. The Preferred Shares are also subject to mandatory redemption
at their liquidation preference plus any accumulated and unpaid
dividends, whether or not declared, if certain requirements relating to the
composition of the assets and liabilities of a Trust, as set forth in each
Trust’s Statements of Preferences/Articles Supplementary/Certificates of
Designation/Certificate of Vote of Trustees, as applicable (the “Governing
Instrument”), are not satisfied.
From time to time in the future, each Trust that has issued Preferred
Shares may effect repurchases of such shares at prices below their
liquidation preference as agreed upon by the Trust and seller. Each Trust
also may redeem such shares from time to time as provided in the
applicable Governing Instrument. Each Trust intends to effect such
redemptions and/or repurchases to the extent necessary to maintain
applicable asset coverage requirements or for such other reasons as the
Board may determine.
The holders of Preferred Shares have voting rights equal to the holders
of Common Shares (one vote per share) and will vote together with
the holders of Common Shares (one vote per share) as a single class.
However, the holders of Preferred Shares, voting as a separate class, are
also entitled to elect two Trustees for each Trust. In addition, the 1940 Act
requires that along with approval by shareholders that might otherwise
be required, the approval of the holders of a majority of any outstanding
Preferred Shares, voting separately as a class would be required to (a)
adopt any plan of reorganization that would adversely affect the Preferred
Shares, (b) change a Trust’s sub-classification as a closed-end investment
company or change its fundamental investment restrictions or (c) change
its business so as to cease to be an investment company.
The Trusts had the following series of Preferred Shares outstanding, effec-
tive yields and reset frequency at February 28, 2010:
| Reset | ||||
| Preferred | Effective | Frequency | ||
| Series | Shares | Yield | Days | |
| BZM | R-7 | 640 | 0.32% | 7 |
| MHN | A | 1,479 | 0.32% | 7 |
| B | 1,479 | 0.32% | 7 | |
| C | 2,366 | 0.37% | 7 | |
| D | 2,864 | 0.37% | 7 | |
| E | 1,557 | 0.35% | 7 | |
| BLJ | M-7 | 751 | 0.37% | 7 |
| BSE | R-7 | 1,623 | 0.32% | 7 |
| BQH | T-7 | 885 | 0.35% | 7 |
| BFY | W-7 | 1,779 | 0.32% | 7 |
| BHV | R-7 | 467 | 0.32% | 7 |
| MHE | A | 185 | 0.32% | 7 |
| B | 185 | 0.35% | 7 |
Dividends on seven-day Preferred Shares are cumulative at a rate which is
reset every seven days based on the results of an auction. If the Preferred
Shares fail to clear the auction on an auction date, the affected Trust is
required to pay the maximum applicable rate on the Preferred Shares to
holders of such shares for successive dividend periods until such time as
the shares are successfully auctioned. The maximum applicable rate on all
series of Preferred Shares is the higher of 110% of AA commercial paper
rate or 110% of 90% of the Kenney S&P 30-Day High Grade Index rate
divided by 1.00 minus the marginal tax rate. The low, high and average divi-
dend rates on the Preferred Shares for each Trust for the six months ended
February 28, 2010 were as follows:
| Series | Low | High | Average | |
| BZM | R-7 | 0.24% | 0.56% | 0.39% |
| MHN | A | 0.26% | 0.53% | 0.40% |
| B | 0.24% | 0.56% | 0.39% | |
| C | 0.24% | 0.56% | 0.39% | |
| D | 0.24% | 0.56% | 0.39% | |
| E | 0.26% | 0.52% | 0.40% | |
| BLJ | M-7 | 0.24% | 0.56% | 0.40% |
| BSE | R-7 | 0.24% | 0.56% | 0.39% |
| BQH | T-7 | 0.27% | 0.52% | 0.40% |
| BFY | W-7 | 0.26% | 0.53% | 0.39% |
| BHV | R-7 | 0.24% | 0.56% | 0.39% |
| MHE | A | 0.26% | 0.53% | 0.40% |
| B | 0.26% | 0.52% | 0.40% |
Since February 13, 2008, the Preferred Shares of each Trust failed to
clear any of their auctions. As a result, the Preferred Shares dividend rates
SEMI-ANNUAL REPORT FEBRUARY 28, 2010 55
Notes to Financial Statements (concluded)
were reset to the maximum applicable rate, which ranged from 0.24% to
0.56% for the six months ended February 28, 2010. A failed auction is
not an event of default for the Trusts but it has a negative impact on the
liquidity of Preferred Shares. A failed auction occurs when there are more
sellers of a Trust’s auction rate preferred shares than buyers. A successful
auction for each Trust’s Preferred Shares may not occur for some time, if
ever, and even if liquidity does resume, Preferred Shareholders may not
have the ability to sell the Preferred Shares at their liquidation preference.
The Trusts may not declare dividends or make other distributions on
Common Shares or purchase any such shares if, at the time of the
declaration, distribution or purchase, asset coverage with respect to the
outstanding Preferred Shares is less than 200%.
The Trusts pay commissions of 0.25% on the aggregate principal amount
of all shares that successfully clear their auctions and 0.15% on the
aggregate principal amount of all shares that fail to clear their auctions.
Certain broker dealers have individually agreed to reduce commissions for
failed auctions.
Preferred shares issued and outstanding remained constant for the six
months ended February 28, 2010 for all Trusts.
During the year ended August 31, 2009, certain Trusts announced the
following redemptions of Preferred Shares at a price of $25,000 per share
plus any accrued and unpaid dividends through the redemption date:
| Redemption | Shares | Aggregate | ||
| Series | Date | Redeemed | Principal | |
| MHN | A | 7/09/09 | 56 | $1,400,000 |
| B | 7/06/09 | 56 | $1,400,000 | |
| C | 7/07/09 | 90 | $2,250,000 | |
| D | 7/06/09 | 109 | $2,725,000 | |
| E | 7/08/09 | 59 | $1,475,000 | |
| BLJ | M-7 | 7/14/09 | 17 | $ 425,000 |
| BSE | R-7 | 7/10/09 | 44 | $1,100,000 |
| BQH | T-7 | 7/08/09 | 11 | $ 275,000 |
| BFY | W-7 | 7/09/09 | 7 | $ 175,000 |
| BHV | R-7 | 7/10/09 | 20 | $ 500,000 |
The Trusts financed the Preferred Share redemptions with cash received
from TOB transactions.
7. Capital Loss Carryforwards:
As of August 31, 2009, the Trusts had capital loss carryforwards
available to offset future realized capital gains through the indicated
expiration dates:
| Expires August 31, | BZM | MHN | BLJ | BSE |
| 2013 | — | $15,054,033 | — | — |
| 2014 | — | 1,097,743 | — | — |
| 2015 | — | 2,782,666 | — | — |
| 2016 | — | 710,089 | $ 25,168 | — |
| 2017 | $ 150,609 | 4,069,997 | 319,896 | $ 1,631,721 |
| Total | $ 150,609 | $23,714,528 | $ 345,064 | $ 1,631,721 |
| Expires August 31, | BFY | MHE |
| 2015 | $ 70,160 | $ 35,869 |
| 2016 | 383,137 | 285,683 |
| 2017 | 254,346 | 375,230 |
| Total | $ 707,643 | $ 696,782 |
8. Subsequent Events:
Management’s evaluation of the impact of all subsequent events on the
Trusts’ financial statements was completed through the date the financial
statements were issued and the following items were noted:
Each Trust paid a net investment income dividend on April 1, 2010 to
Common Shareholders of record on March 15, 2010 as follows:
| Common | |
| Dividend | |
| Per Share | |
| BZM | $0.0704 |
| MHN | $0.0760 |
| BLJ | $0.0780 |
| BSE | $0.0705 |
| BQH | $0.0805 |
| BFY | $0.0800 |
| BHV | $0.0800 |
| MHE | $0.0685 |
The dividends declared on Preferred Shares for the period March 1, 2010
to March 31, 2010 were as follows:
| Dividends | ||
| Series | Declared | |
| BZM | R-7 | $ 4,791 |
| MHN | A | $11,101 |
| B | $11,071 | |
| C | $17,584 | |
| D | $21,148 | |
| E | $11,669 | |
| BLJ | M-7 | $ 5,581 |
| BSE | R-7 | $12,149 |
| BQH | T-7 | $ 6,633 |
| BFY | W-7 | $13,353 |
| BHV | R-7 | $ 3,496 |
| MHE | A | $ 2,785 |
| B | $ 2,777 |
56 SEMI-ANNUAL REPORT FEBRUARY 28, 2010
Officers and Trustees
Richard E. Cavanagh, Chairman of the Board and Trustee
Karen P. Robards, Vice Chair of the Board, Chair of the Audit Committee
and Trustee
G. Nicholas Beckwith, III, Trustee
Richard S. Davis, Fund President1 and Trustee
Frank J. Fabozzi, Trustee and Member of the Audit Committee
Kathleen F. Feldstein, Trustee
James T. Flynn, Trustee and Member of the Audit Committee
Henry Gabbay, Trustee
Jerrold B. Harris, Trustee
R. Glenn Hubbard, Trustee
W. Carl Kester, Trustee and Member of the Audit Committee
Anne Ackerley, Fund President2 and Chief Executive Officer
Brendan Kyne, Vice President
Neal Andrews, Chief Financial Officer
Jay Fife, Treasurer
Brian Kindelan, Chief Compliance Officer
Howard Surloff, Secretary
1 Fund President for MFT and MPA
2 Fund President for MUC, MUJ, MIY and MJI
Investment Advisor
BlackRock Advisors, LLC
WIlmington, DE 19809
Sub-Advisors
BlackRock Financial Management, Inc.1
New York, NY 10055
BlackRock Investment Management, LLC2
Plainsboro, NJ 08536
Custodians
State Street Bank and Trust Company3
Boston, MA 02111
The Bank of New York Mellon4
New York, NY 10286
Transfer Agent
Common Shares
Computershare Trust Company, N.A.1
Providence, RI 02940
BNY Mellon Shareowner Services2
Jersey City, NJ 07310
Auction Agent
Preferred Shares
The Bank of New York Mellon
New York, NY 10286
Accounting Agent
State Street Bank and Trust Company
Princeton, NJ 08540
Legal Counsel
Skadden, Arps, Slate, Meagher & Flom LLP
New York, NY 10036
Independent Registered Public Accounting Firm
Deloitte & Touche LLP
Princeton, NJ 08540
Address of the Trusts
100 Bellevue Parkway
Wilmington, DE 19809
1 For all Trusts except MHN and MHE.
2 For MHN and MHE.
3 For all Trusts except MHN.
4 For MHN.
Effective January 1, 2010, Kent Dixon, a Trustee of the Trusts, retired.
Effective March 31, 2010, G. Nicholas Beckwith, III, a Trustee of the Trusts, resigned.
The Trusts’ Board of Trustees wishes both Mr. Dixon and Mr. Beckwith well.
SEMI-ANNUAL REPORT FEBRUARY 28, 2010 57
Additional Information
Dividend Policy
The Trusts’ dividend policy is to distribute all or a portion of their net invest-
ment income to its shareholders on a monthly basis. In order to provide
shareholders with a more stable level of dividend distributions, the Trusts
may at times pay out less than the entire amount of net investment income
earned in any particular month and may at times in any particular month
pay out such accumulated but undistributed income in addition to net
investment income earned in that month. As a result, the dividends paid by
the Trusts for any particular month may be more or less than the amount of
net investment income earned by the Trusts during such month. The Trusts’
current accumulated but undistributed net investment income, if any, is dis-
closed in the Statements of Assets and Liabilities, which comprises part of
the financial information included in this report.
General Information
Electronic Delivery
Electronic copies of most financial reports are available on the Trusts’ web-
sites or shareholders can sign up for e-mail notifications of quarterly state-
ments, annual and semi-annual reports by enrolling in the Trusts’ electronic
delivery program.
Shareholders Who Hold Accounts with Investment Advisors, Banks
or Brokerages:
Please contact your financial advisor to enroll. Please note that not all
investment advisors, banks or brokerages may offer this service.
Householding
The Trusts will mail only one copy of shareholder documents, including
annual and semi-annual reports and proxy statements, to shareholders
with multiple accounts at the same address. This practice is commonly
called “householding” and is intended to reduce expenses and eliminate
duplicate mailings of shareholder documents. Mailings of your shareholder
documents may be householded indefinitely unless you instruct us other-
wise. If you do not want the mailing of these documents to be combined
with those for other members of your household, please
call (800) 441-7762.
Availability of Quarterly Schedule of Investments
Each Trust files its complete schedule of portfolio holdings with the
Securities and Exchange Commission (“SEC”) for the first and third quar-
ters of each fiscal year on Form N-Q. The Trusts’ Forms N-Q are available on
the SEC’s website at http://www.sec.gov and may also be reviewed and
copied at the SEC’s Public Reference Room in Washington, DC. Information
on the operation of the Public Reference Room may be obtained by calling
(202) 551-8090. Each Trust’s Forms N-Q may also be obtained upon
request and without charge by calling (800) 441-7762.
Availability of Proxy Voting Policies and Procedures
A description of the policies and procedures that the Trusts use to
determine how to vote proxies relating to portfolio securities is available
(1) without charge, upon request, by calling (800) 441-7762; (2) at
www.blackrock.com; and (3) on the SEC’s website at http://www.sec.gov.
Availability of Proxy Voting Record
Information about how the Trusts voted proxies relating to securities
held in the Trusts’ portfolios during the most recent 12-month period
ended June 30 is available upon request and without charge (1) at
www.blackrock.com or by calling (800) 441-7762 and (2) on the SEC’s
website at http://www.sec.gov.
58 SEMI-ANNUAL REPORT FEBRUARY 28, 2010
Additional Information (concluded)
Section 19(a) Notices
These reported amounts and sources of distributions are estimates and are not being provided for tax reporting purposes. The actual amounts and sources
for tax reporting purposes wll depend upon each Trust’s investment experience during the year and may be subject to changes based on the tax regula-
tions. Each Trust will provide a Form 1099-DIV each calendar year that will explain the character of these dividends and distributions for federal income
tax purposes.
| February 28, 2010 | ||||||||
| Total Cumulative Distributions | % Breakdown of the Total Cumulative | |||||||
| for the Fiscal Year-to-Date | Distributions for the Fiscal Year-to-Date | |||||||
| Net | Net Realized | Total Per | Net | Net Realized | Total Per | |||
| Investment | Capital | Return of | Common | Investment | Capital | Return of | Common | |
| Income | Gains | Capital | Share | Income | Gains | Capital | Share | |
| BQH | $0.46869 | $0.09316 | — | $0.56184 | 83% | 17% | 0% | 100% |
| BHV | $0.48069 | $0.26605 | — | $0.74673 | 64% | 36% | 0% | 100% |
BlackRock Privacy Principles
BlackRock is committed to maintaining the privacy of its current and for-
mer fund investors and individual clients (collectively, “Clients”) and to
safeguarding their non-public personal information. The following infor-
mation is provided to help you understand what personal information
BlackRock collects, how we protect that information and why in certain
cases we share such information with select parties.
If you are located in a jurisdiction where specific laws, rules or regulations
require BlackRock to provide you with additional or different privacy-related
rights beyond what is set forth below, then BlackRock will comply with those
specific laws, rules or regulations.
BlackRock obtains or verifies personal non-public information from and
about you from different sources, including the following: (i) information we
receive from you or, if applicable, your financial intermediary, on applica-
tions, forms or other documents; (ii) information about your transactions
with us, our affiliates, or others; (iii) information we receive from a consumer
reporting agency; and (iv) from visits to our websites.
BlackRock does not sell or disclose to non-affiliated third parties any non-
public personal information about its Clients, except as permitted by law
or as is necessary to respond to regulatory requests or to service Client
accounts. These non-affiliated third parties are required to protect the
confidentiality and security of this information and to use it only for its
intended purpose.
We may share information with our affiliates to service your account or to
provide you with information about other BlackRock products or services
that may be of interest to you. In addition, BlackRock restricts access
to non-public personal information about its Clients to those BlackRock
employees with a legitimate business need for the information. BlackRock
maintains physical, electronic and procedural safeguards that are designed
to protect the non-public personal information of its Clients, including pro-
cedures relating to the proper storage and disposal of such information.
SEMI-ANNUAL REPORT FEBRUARY 28, 2010 59
This report is transmitted to shareholders only. It is not a prospectus. Past performance results shown in this report should not be considered a representation
of future performance. The Trusts have leveraged their Common Shares, which creates risks for Common Shareholders, including the likelihood of greater
volatility of net asset value and market price of the Common Shares and the risk that fluctuations in the short-term dividend rates of the Preferred Shares,
currently set at the maximum reset rate as a result of failed auctions, may reduce the Common Shares’ yield. Statements and other information herein are as
dated and are subject to change.
Item 2 – Code of Ethics – Not Applicable to this semi-annual report
Item 3 – Audit Committee Financial Expert – Not Applicable to this semi-annual report
Item 4 – Principal Accountant Fees and Services – Not Applicable to this semi-annual report
Item 5 – Audit Committee of Listed Registrants – Not Applicable to this semi-annual report
Item 6 – Investments
(a) The registrant’s Schedule of Investments is included as part of the Report to Stockholders filed under
Item 1 of this form.
(b) Not Applicable due to no such divestments during the semi-annual period covered since the previous
Form N-CSR filing.
Item 7 – Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies –
Not Applicable to this semi-annual report
Item 8 – Portfolio Managers of Closed-End Management Investment Companies – Not Applicable to this semi-
annual report
Item 9 – Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated
Purchasers – Not Applicable
Item 10 – Submission of Matters to a Vote of Security Holders – The registrant’s Nominating and Governance
Committee will consider nominees to the board of directors recommended by shareholders when a vacancy
becomes available. Shareholders who wish to recommend a nominee should send nominations that include
biographical information and set forth the qualifications of the proposed nominee to the registrant’s
Secretary. There have been no material changes to these procedures.
Item 11 – Controls and Procedures
11(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 13(a)-15(b) under the Securities Exchange Act of 1934, as amended.
11(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 second fiscal quarter of the period covered by this report
that have materially affected, or are reasonably likely to materially affect, the registrant’s internal control
over financial reporting.
Item 12 – Exhibits attached hereto
12(a)(1) – Code of Ethics – Not Applicable to this semi-annual report
12(a)(2) – Certifications – Attached hereto
12(a)(3) – Not Applicable
12(b) – 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 MuniHoldings New York Insured Fund, Inc.
By: /s/ Anne F. Ackerley
Anne F. Ackerley
Chief Executive Officer of
BlackRock MuniHoldings New York Insured Fund, Inc.
Date: April 28, 2010
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/ Anne F. Ackerley
Anne F. Ackerley
Chief Executive Officer (principal executive officer) of
BlackRock MuniHoldings New York Insured Fund, Inc.
Date: April 28, 2010
By: /s/ Neal J. Andrews
Neal J. Andrews
Chief Financial Officer (principal financial officer) of
BlackRock MuniHoldings New York Insured Fund, Inc.
Date: April 28, 2010