UNITEDSTATES
SECURITIESANDEXCHANGECOMMISSION
Washington,D.C.20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT
INVESTMENT COMPANIES
Investment Company Act file number 811-21198 and 811-21301
Name of Fund: WCMA Tax-Exempt Fund and Master Tax-Exempt LLC
Fund Address: 100 Bellevue Parkway, Wilmington, DE 19809
Name and address of agent for service: Anne F. Ackerley, Chief Executive Officer, WCMA Tax-
Exempt Fund and Master Tax-Exempt LLC, 55 East 52nd Street, New York, NY 10055.
Registrant’s telephone number, including area code: (800) 221-7210
Date of fiscal year end: 03/31/2010
Date of reporting period: 03/31/2010
Item 1 – Report to Stockholders
Annual Report
March 31, 2010
WCMA Tax-Exempt Fund
Table of Contents | |
Page | |
Dear Shareholder | 3 |
Annual Report: | |
Fund Information | 4 |
Disclosure of Expenses | 4 |
Fund Financial Statements: | |
Statement of Assets and Liabilities | 5 |
Statement of Operations | 5 |
Statements of Changes in Net Assets | 6 |
Fund Financial Highlights | 7 |
Fund Notes to Financial Statements | 9 |
Fund Report of Independent Registered Public Accounting Firm | 12 |
Fund Important Tax Information | 12 |
Portfolio Information | 12 |
Master LLC Financial Statements: | |
Schedule of Investments | 13 |
Statement of Assets and Liabilities | 23 |
Statement of Operations | 23 |
Statements of Changes in Net Assets | 24 |
Master LLC Financial Highlights | 24 |
Master LLC Notes to Financial Statements | 25 |
Master LLC Report of Independent Registered Public Accounting Firm | 27 |
Officers and Directors | 28 |
Additional Information | 31 |
2 WCMA TAX-EXEMPT FUND
MARCH 31, 2010
Dear Shareholder
The past year has seen a remarkable turnaround from the conditions that plagued the global economy and financial markets in 2008 through early
2009. In our opinion, the “Great Recession” likely ended at some point last summer, thanks primarily to massive fiscal and monetary stimulus. From that
point, the global economy has moved into recovery mode and, we believe, is getting ready to start transitioning into an expansion.
Global equity markets bottomed in early 2009 and since that time have soared dramatically 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. There have been several correc-
tions along the way and volatility levels have remained elevated — reflections of mixed economic data, lingering deflation issues (especially in Europe)
and concerns over the future direction of interest rates. On balance, however, strong corporate earnings and a positive macro backdrop have helped keep
the equity bull market intact. From a geographic perspective, US equities have generally outpaced their international counterparts in recent months, as
the domestic economic recovery has been more pronounced.
Within fixed income markets, improving economic conditions, concerns over the US deficit and a lack of demand at recent Treasury auctions have
recently conspired to push Treasury yields higher (and prices correspondingly lower). In this environment, Treasuries have dramatically underperformed
other areas of the bond market, particularly the high yield sector, which has been benefiting from increased investor demand. Meanwhile, municipal
bonds outperformed taxable sectors over the twelve-month period thanks to continued high demand levels, but have struggled in recent months against
a weak fundamental backdrop marked by ongoing state and local budget problems. As in the taxable arena, high yield municipals have been outper-
forming the rest of the market.
Regarding cash investments, yields on money market securities remain near all-time lows (producing returns only marginally above zero percent), with
the Federal Open Market Committee reiterating that economic circumstances are likely to necessitate an accommodative interest rate stance for an
“extended period.”
Against this backdrop, the major market averages posted the following returns: | ||
Total Returns as of March 31, 2010 | 6-month | 12-month |
US equities (S&P 500 Index) | 11.75% | 49.77% |
Small cap US equities (Russell 2000 Index) | 13.07 | 62.76 |
International equities (MSCI Europe, Australasia, Far East Index) | 3.06 | 54.44 |
3-month Treasury bill (BofA Merrill Lynch 3-Month Treasury Bill Index) | 0.05 | 0.17 |
US Treasury securities (BofA Merrill Lynch 10-Year US Treasury Index) | (2.62) | (6.30) |
Taxable fixed income (Barclays Capital US Aggregate Bond Index) | 1.99 | 7.69 |
Tax-exempt fixed income (Barclays Capital Municipal Bond Index) | 0.28 | 9.69 |
High yield bonds (Barclays Capital US Corporate High Yield 2% Issuer Capped Index) | 10.97 | 55.64 |
Past performance is no guarantee of future results. Index performance shown for illustrative purposes only. You cannot invest directly in an index.
Global financial markets continue to show signs of improvement, but questions about the strength and sustainability of the recovery abound. Through
periods of uncertainty, as ever, 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 companion newsletter, Shareholder Perspectives. As always, we thank you for entrusting BlackRock with your invest
ments, and we look forward to your continued partnership in the months and years ahead.
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THIS PAGE NOT PART OF YOUR FUND REPORT
3
Fund Information | ||
Current Seven-Day Yields | ||
7-Day | 7-Day | |
As of March 31, 2010 | SEC Yields | Yields |
Class 1 | 0.00% | 0.00% |
Class 2 | 0.04 | 0.04 |
Class 3 | 0.04 | 0.04 |
Class 4 | 0.04 | 0.04 |
The 7-Day SEC Yields may differ from the 7-Day Yields shown above due to the fact | ||
that the 7-Day SEC Yields exclude distributed capital gains. | ||
Past performance is not indicative of future results. |
Disclosure of Expenses
Shareholders of this Fund may incur the following charges: (a) expenses
related to transactions, including sales charges, redemption fees and
exchange fees; and (b) operating expenses including administration fees,
distribution fees including 12b-1 fees and other Fund expenses. The
expense example below (which is based on a hypothetical investment
of $1,000 invested on October 1, 2009 and held through March 31,
2010) is intended to assist shareholders both in calculating expenses
based on an investment in the Fund and in comparing these expenses
with similar costs of investing in other mutual funds.
The table below provides information about actual account values and
actual expenses. In order to estimate the expenses a shareholder paid
during the period covered by this report, shareholders can divide their
account value by $1,000 and then multiply the result by the number
corresponding to their share class under the heading entitled “Expenses
Paid During the Period.”
The table also provides information about hypothetical account values
and hypothetical expenses based on the Fund’s actual expense ratio
and an assumed rate of return of 5% per year before expenses. In order
to assist shareholders in comparing the ongoing expenses of investing in
this Fund and other funds, compare the 5% hypothetical example with
the 5% hypothetical examples that appear in other funds’ shareholder
reports.
The expenses shown in the table are intended to highlight shareholders’
ongoing costs only and do not reflect any transactional expenses, such
as sales charges, redemption fees or exchange fees. Therefore, the
hypothetical example is useful in comparing ongoing expenses only, and
will not help shareholders determine the relative total expenses of own-
ing different funds. If these transactional expenses were included, share-
holder expenses would have been higher.
Actual | Hypothetical2 | |||||
Ending | Ending | |||||
Beginning | Account Value | Beginning | Account Value | |||
Account Value | March 31, | Expenses Paid | Account Value | March 31, | Expenses Paid | |
October 1, 2009 | 2010 | During the Period1 | October 1, 2009 | 2010 | During the Period1 | |
Class 1 | $1,000 | $1,000.20 | $1.99 | $1,000 | $1,022.91 | $2.02 |
Class 2 | $1,000 | $1,000.40 | $1.90 | $1,000 | $1,023.01 | $1.92 |
Class 3 | $1,000 | $1,000.40 | $1.90 | $1,000 | $1,023.01 | $1.92 |
Class 4 | $1,000 | $1,000.40 | $1.90 | $1,000 | $1,023.01 | $1.92 |
1 For each class of the Fund, expenses are equal to the expense ratio for the class (0.40% for Class 1, 0.38% for Class 2, 0.38% for Class 3, and 0.38% for Class 4),
multiplied by the average account value over the period, multiplied by 182/365 (to reflect the one-half year period shown). Because the Fund is a feeder fund, the
expense table example reflects the expenses of both the feeder fund and the Master LLC in which it invests.
2 Hypothetical 5% annual return before expenses is calculated by pro rating the number of days in the most recent fiscal half year divided by 365.
4 WCMA TAX-EXEMPT FUND
MARCH 31, 2010
Statement of Assets and Liabilities
March 31, 2010 | WCMA Tax-Exempt Fund | |
Assets | ||
Investment at value — Master Tax-Exempt LLC (the “Master LLC”) | ||
(cost — $889,238,525) | $ 889,238,525 | |
Withdrawals receivable from the Master LLC | 24 | |
Transfer agent receivable | 3,124 | |
Prepaid expenses | 133,669 | |
Total assets | 889,375,342 | |
Liabilities | ||
Administration fees payable | 187,337 | |
Service and distribution fees payable | 115,863 | |
Officer’s fees payable | 108 | |
Income dividends payable | 40 | |
Capital shares redeemed payable | 24 | |
Other accrued expenses payable | 26,456 | |
Total liabilities | 329,828 | |
Net Assets | $ 889,045,514 | |
Net Assets Consist of | ||
Paid-in capital | $ 888,930,356 | |
Undistributed net investment income | 115,158 | |
Net Assets | $ 889,045,514 | |
Net Asset Value | ||
Class 1 — Based on net assets of $33,098,815 and 33,095,419 | ||
shares outstanding, unlimited number of shares authorized, par | ||
value $0.10 per share | $ 1.00 | |
Class 2 — Based on net assets of $152,771,311 and | ||
152,752,990 shares outstanding, unlimited number of shares | ||
authorized, par value $0.10 per share | $ 1.00 | |
Class 3 — Based on net assets of $405,215,476 and | ||
405,154,948 shares outstanding, unlimited number of shares | ||
authorized, par value $0.10 per share | $ 1.00 | |
Class 4 — Based on net assets of $297,959,912 and | ||
297,891,869 shares outstanding, unlimited number of shares | ||
authorized, par value $0.10 per share | $ 1.00 |
Statement of Operations | |
Year Ended March 31, 2010 | WCMA Tax-Exempt Fund |
Investment Income | |
Interest | $ 358 |
Net investment income allocated from the Master LLC: | |
Interest | 5,690,946 |
Expenses | (1,531,309) |
Total income | 4,159,995 |
Expenses | |
Administration | 2,512,396 |
Service and distribution — Class 1 | 313,509 |
Service and distribution — Class 2 | 1,122,808 |
Service and distribution — Class 3 | 1,714,337 |
Service and distribution — Class 4 | 1,256,168 |
Registration | 554,413 |
Federal insurance | 200,939 |
Printing | 56,436 |
Transfer agent — Class 1 | 17,401 |
Transfer agent — Class 2 | 18,026 |
Transfer agent — Class 3 | 18,151 |
Transfer agent — Class 4 | 18,930 |
Professional | 16,007 |
Officer | 453 |
Miscellaneous | 14,808 |
Total expenses | 7,834,782 |
Less fees waived by administrator | (317,446) |
Less service and distribution fees waived — Class 1 | (296,183) |
Less service and distribution fees waived — Class 2 | (1,008,035) |
Less service and distribution fees waived — Class 3 | (1,591,230) |
Less service and distribution fees waived — Class 4 | (1,165,970) |
Transfer agent fees reimbursed — Class 1 | (7,282) |
Transfer agent fees reimbursed — Class 2 | (8,692) |
Transfer agent fees reimbursed — Class 3 | (8,883) |
Transfer agent fees reimbursed — Class 4 | (9,208) |
Total expenses after fees waived and reimbursed | 3,421,853 |
Net investment income | 738,142 |
Realized Gain Allocated from the Master LLC | |
Net realized gain from investments | 26,743 |
Net Increase in Net Assets Resulting from Operations | $ 764,885 |
See Notes to Financial Statements.
WCMA TAX-EXEMPT FUND
MARCH 31, 2010
5
Statements of Changes in Net Assets | WCMA Tax-Exempt Fund | |
Year Ended March 31, | ||
Increase (Decrease) in Net Assets: | 2010 | 2009 |
Operations | ||
Net investment income | $ 738,142 | $ 13,188,709 |
Net realized gain | 26,743 | 18,851 |
Net increase in net assets resulting from operations | 764,885 | 13,207,560 |
Dividends to Shareholders From | ||
Net investment income: | ||
Class 1 | (8,713) | (204,862) |
Class 2 | (62,215) | (1,788,660) |
Class 3 | (382,857) | (6,196,645) |
Class 4 | (284,357) | (4,998,542) |
Decrease in net assets resulting from dividends to shareholders | (738,142) | (13,188,709) |
Capital Share Transactions | ||
Net decrease in net assets derived from capital share transactions | (191,466,776) | (25,123,672) |
Net Assets | ||
Total decrease in net assets | (191,440,033) | (25,104,821) |
Beginning of year | 1,080,485,547 | 1,105,590,368 |
End of year | $ 889,045,514 | $ 1,080,485,547 |
Undistributed net investment income | $ 115,158 | $ 115,158 |
See Notes to Financial Statements.
6 WCMA TAX-EXEMPT FUND
MARCH 31, 2010
Financial Highlights | WCMA Tax-Exempt Fund | ||||||||||
Class 1 | Class 2 | ||||||||||
Year Ended March 31, | Year Ended March 31, | ||||||||||
2010 | 2009 | 2008 | 2007 | 2006 | 2010 | 2009 | 2008 | 2007 | 2006 | ||
Per Share Operating Performance | |||||||||||
Net asset value, beginning of year | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | |
Net investment income | 0.0003 | 0.0051 | 0.0188 | 0.0208 | 0.0127 | 0.0004 | 0.0093 | 0.0254 | 0.0266 | 0.0186 | |
Net realized gain (loss) | 0.0000 | 0.0000 | 0.0001 | 0.0001 | (0.0000) | 0.0000 | 0.0000 | 0.0001 | 0.0001 | (0.0000) | |
Net increase from investment | |||||||||||
operations | 0.0003 | 0.0051 | 0.0189 | 0.0209 | 0.0127 | 0.0004 | 0.0093 | 0.0255 | 0.0267 | 0.0186 | |
Dividends from investment income | . | (0.0003) | (0.0051) | (0.0188) | (0.0208) | (0.0127) | (0.0004) | (0.0093) | (0.0254) | (0.0266) | (0.0186) |
Net asset value, end of year | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | |
Total Investment Return1 | |||||||||||
Total investment return | 0.03% | 0.51% | 1.90% | 2.09% | 1.28% | 0.04% | 0.93% | 2.57% | 2.68% | 1.88% | |
Ratios to Average Net Assets2 | |||||||||||
Total expenses | 1.52% | 1.55% | 1.56% | 1.49% | 1.51% | 1.17% | 1.22% | 1.23% | 1.19% | 1.19% | |
Total expenses after fees | |||||||||||
waived and reimbursed | 0.54% | 1.30% | 1.56% | 1.49% | 1.51% | 0.53% | 0.90% | 0.91% | 0.91% | 0.92% | |
Net investment income | 0.03% | 0.46% | 1.89% | 2.10% | 1.29% | 0.04% | 0.94% | 2.53% | 2.67% | 1.85% | |
Supplemental Data | |||||||||||
Net assets, end of year (000) | $ 33,099 | $ 35,937 | $ 42,837 | $ 50,188 | $ 38,770 | $ 152,771 | $168,665 | $190,316 | $157,909 | $156,442 |
1 Where applicable, total investment returns include the reinvestment of dividends and distributions.
2 Includes the Fund’s share of the Master LLC’s allocated expenses and/or net investment income.
See Notes to Financial Statements.
WCMA TAX-EXEMPT FUND
MARCH 31, 2010
7
Financial Highlights (concluded) | WCMA Tax-Exempt Fund | |||||||||
Class 3 | Class 4 | |||||||||
Year Ended March 31, | Year Ended March 31, | |||||||||
2010 | 2009 | 2008 | 2007 | 2006 | 2010 | 2009 | 2008 | 2007 | 2006 | |
Per Share Operating Performance | ||||||||||
Net asset value, beginning of year | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 |
Net investment income | 0.0008 | 0.0125 | 0.0289 | 0.0302 | 0.0222 | 0.0008 | 0.0125 | 0.0289 | 0.0302 | 0.0222 |
Net realized gain (loss) | 0.0000 | 0.0000 | 0.0001 | 0.0001 | (0.0000) | 0.0000 | 0.0000 | 0.0001 | 0.0001 | (0.0000) |
Net increase from investment | ||||||||||
operations | 0.0008 | 0.0125 | 0.0290 | 0.0303 | 0.0222 | 0.0008 | 0.0125 | 0.0290 | 0.0303 | 0.0222 |
Dividends from net investment | ||||||||||
income | (0.0008) | (0.0125) | (0.0289) | (0.0302) | (0.0222) | (0.0008) | (0.0125) | (0.0289) | (0.0302) | (0.0222) |
Net asset value, end of year | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 |
Total Investment Return1 | ||||||||||
Total investment return | 0.08% | 1.26% | 2.92% | 3.05% | 2.24% | 0.08% | 1.26% | 2.92% | 3.05% | 2.24% |
Ratios to Average Net Assets2 | ||||||||||
Total expenses | 0.86% | 0.92% | 0.92% | 0.89% | 0.89% | 0.86% | 0.91% | 0.92% | 0.89% | 0.89% |
Total expenses after fees | ||||||||||
waived and reimbursed | 0.48% | 0.58% | 0.57% | 0.55% | 0.56% | 0.48% | 0.58% | 0.57% | 0.56% | 0.56% |
Net investment income | 0.09% | 1.24% | 2.86% | 3.03% | 2.23% | 0.09% | 1.22% | 2.85% | 3.05% | 2.28% |
Supplemental Data | ||||||||||
Net assets, end of year (000) | $ 405,215 | $480,247 | $479,041 | $394,877 | $408,672 | $ 297,960 | $395,636 | $393,396 | $279,895 | $156,657 |
1 Where applicable, total investment returns include the reinvestment of dividends and distributions.
2 Includes the Fund’s share of the Master LLC’s allocated expenses and/or net investment income.
See Notes to Financial Statements.
8 WCMA TAX-EXEMPT FUND
MARCH 31, 2010
Notes to Financial Statements WCMA Tax-Exempt Fund
1. Significant Accounting Policies:
WCMA Tax-Exempt Fund the (“Fund”) is registered under the Investment
Company Act of 1940, as amended (the “1940 Act”), as a no-load,
diversified, open-end management investment company. The Fund is
organized as a Massachusetts business trust. The Fund seeks to achieve
its investment objective by investing all of its assets in Master Tax-
Exempt LLC (the “Master LLC”), which has the same investment objective
and strategies as the Fund. The Master LLC is organized as a Delaware
limited liability company. The value of the Fund’s investment in the
Master LLC reflects the Fund’s proportionate interest in the net assets of
the Master LLC. The percentage of the Master LLC owned by the Fund at
March 31, 2010 was 13.7%. The performance of the Fund is directly
affected by the performance of the Master LLC. The financial statements
of the Master LLC, including the Schedule of Investments, are included
elsewhere in this report and should be read in conjunction with the
Fund’s financial statements. The Board of Trustees of the Fund and the
Board of Directors of the Master LLC are referred to throughout this
report as the “Board of Directors” or the “Board.” The Fund’s financial
statements are prepared in conformity with accounting principles gener-
ally accepted in the United States of America (“US GAAP”), which may
require the use of management accruals and estimates. Actual results
may differ from these estimates. The Fund is divided into four classes,
designated Class 1, Class 2, Class 3 and Class 4. Each Class 1, Class
2, Class 3 and Class 4 Share represents an interest in the same assets
of the Fund and has identical voting, dividend, liquidation and other
rights and the same terms and conditions, except that each class bears
certain expenses related to the service and distribution of such shares
and the additional incremental transfer agency costs resulting from the
conversion of shares and has exclusive voting rights with respect to mat
ters relating to such shareholder services and distribution expenditures.
The following is a summary of significant accounting policies followed by
the Fund:
Valuation: The Fund records its investment in the Master LLC at fair
value. Valuation of securities held by the Master LLC is discussed in Note
1 of the Master LLC’s Notes to Financial Statements, which are included
elsewhere in this report. The Fund seeks to maintain the net asset value
per share at $1.00, although there is no assurance that it will be able
do so on a continuing basis.
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 Fund’s own assumptions used in
determining the fair value of investments)
The inputs or methodologies used for valuing securities are not
necessarily an indication of the risk associated with investing in
those securities.
As of March 31, 2010, the Fund’s investment in the Master LLC was
classified as Level 2. The Fund believes more relevant disclosure regard-
ing fair value measurements relate to the Master LLC, which is disclosed
in Note 1 of the Master LLC’s Notes to Financial Statements, which are
included elsewhere in this report.
Investment Transactions and Investment Income: For financial reporting
purposes, investment transactions in the Master LLC are accounted for
on a trade date basis. The Fund records daily its proportionate share of
the Master LLC’s income, expenses and realized gains and losses. In
addition, the Fund accrues its own income and expenses. Income and
realized gains and losses are allocated daily to each class based on its
relative net assets.
Dividends and Distributions: Dividends from net investment income are
declared and reinvested daily. Distributions of realized gains, if any, are
recorded on the ex-dividend dates. The amount and timing of dividends
and distributions are determined in accordance with federal income
tax regulations, which may differ from US GAAP.
Income Taxes: It is the Fund’s policy to comply with the requirements
of the Internal Revenue Code of 1986, as amended, 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.
The Fund 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 Fund’s US federal tax returns remains open for each of the
four years ended March 31, 2010. The statutes of limitations on the
Fund’s state and local tax returns may remain open for an additional
year depending upon the jurisdiction. There are no uncertain tax posi-
tions that require recognition of a tax liability.
Recent Accounting Standard: In January 2010, the Financial Accounting
Standards Board issued amended guidance to improve disclosure about
fair value measurements which will require additional disclosures about
transfers into and out of Levels 1 and 2 and separate disclosures about
WCMA TAX-EXEMPT FUND
MARCH 31, 2010
9
Notes to Financial Statements (continued) WCMA Tax-Exempt Fund
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 effec-
tive for financial statements for fiscal years beginning after December
15, 2009, and interim periods within those fiscal years, except for dis-
closures about purchases, sales, issuances and settlements in the roll-
forward 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
Fund’s financial statements and disclosures is currently being assessed.
Other: Expenses directly related to the Fund or its classes are charged to
that Fund or class. Other operating expenses shared by several funds are
pro rated among those funds on the basis of relative net assets or other
appropriate methods. Other expenses of the Fund are allocated daily to
each class based on its relative net assets. The Fund has an arrange-
ment with the custodian whereby fees may be reduced by credits earned
on uninvested cash balances, which if applicable are shown as fees paid
indirectly in the Statement of Operations. The custodian imposes fees on
overdrawn cash balances, which can be offset by accumulated credits
earned or may result in additional custody charges.
2. Administration 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 of the Fund for 1940 Act purposes, but BAC
and Barclays are not.
The Fund has entered into an Administration Agreement with BlackRock
Advisors, LLC (the “Administrator”), an indirect, wholly owned subsidiary
of BlackRock, to provide administrative services (other than investment
advice and related portfolio activities). For such services, the Fund pays
a monthly fee at an annual rate of 0.25% of the Fund’s average daily
net assets. The Fund does not pay an advisory fee or investment
management fee.
The Fund has entered into a Distribution Agreement and a Distribution
Plan (the “Distribution Plan”) with BlackRock Investments, LLC (“BRIL”),
an affiliate of BlackRock.
Pursuant to the Distribution Plan and in accordance with Rule 12b-1
under the 1940 Act, the Fund pays BRIL ongoing service and distribution
fees. The fees are accrued daily and paid monthly at annual rates based
upon the average daily net assets of the shares of the Fund as follows:
Service | Distribution | |
Fee | Fee | |
Class 1 | 0.25% | 0.750% |
Class 2 | 0.25% | 0.425% |
Class 3 | 0.25% | 0.125% |
Class 4 | 0.25% | 0.125% |
The ongoing service and/or distribution fee compensates BRIL for pro-
viding shareholder servicing and/or distribution-related services to
shareholders. The Fund has entered into a contractual arrangement with
the Administrator and BRIL to waive and/or reimburse a portion of the
Fund’s direct fees and expenses to ensure that the net expenses for the
Fund’s Class 2 Shares are 0.35% higher than those of CMA Tax-Exempt
Fund, and the net expenses for the Fund’s Class 3 and Class 4 Shares
are equal to those of CMA Tax-Exempt Fund. The fee/expense waiver
includes service and distribution fees. This arrangement has a one-year
term and is renewable. These amounts are included in service and distri-
bution fees waived on the Statement of Operations.
In addition to the contractual arrangement described above, the
Administrator and BRIL voluntarily agreed to waive a portion of their
respective administration and service and distribution fees and/or reim-
burse operating expenses to enable the Fund to maintain minimum lev-
els of net investment income. These amounts are shown as fees waived
by administrator, service and distribution fees waived and transfer agent
fees reimbursed in the Statement of Operations. The Administrator or
BRIL may discontinue the waiver or reimbursement at any time.
Certain officers and/or directors of the Fund are officers and/or directors
of BlackRock or its affiliates. The Fund reimburses the Administrator for
compensation paid to the Fund’s Chief Compliance Officer.
3. Capital Share Transactions:
The number of shares sold, reinvested and redeemed corresponds to the
net proceeds from the sale of shares, reinvestment of dividends and
cost of shares redeemed, respectively, since shares are sold and
redeemed at $1.00 per share.
10 WCMA TAX-EXEMPT FUND
MARCH 31, 2010
Notes to Financial Statements (concluded)
WCMA Tax-Exempt Fund
Transactions in capital shares for each class were as follows: | ||
Year Ended March 31, | ||
2010 | 2009 | |
Class 1 | ||
Shares sold | 626,468,528 | 972,737,809 |
Shares issued to shareholders in | ||
reinvestment of dividends | 8,713 | 204,862 |
Total issued | 626,477,241 | 972,942,671 |
Shares redeemed | (629,309,954) | (979,849,923) |
Net decrease | (2,832,713) | (6,907,252) |
Class 2 | ||
Shares sold | 1,408,739,010 | 1,846,245,409 |
Shares issued to shareholders in | ||
reinvestment of dividends | 62,215 | 1,788,660 |
Total issued | 1,408,801,225 | 1,848,034,069 |
Shares redeemed | (1,424,705,312) | (1,869,680,338) |
Net decrease | (15,904,087) | (21,646,269) |
Class 3 | ||
Shares sold | 4,928,844,105 | 6,056,457,648 |
Shares issued to shareholders in | ||
reinvestment of dividends | 382,857 | 6,196,577 |
Total issued | 4,929,226,962 | 6,062,654,225 |
Shares redeemed | (5,004,323,416) | (6,061,404,812) |
Net increase (decrease) | (75,096,454) | 1,249,413 |
Class 4 | ||
Shares sold | 4,364,027,148 | 6,952,972,748 |
Shares issued to shareholders in | ||
reinvestment of dividends | 284,357 | 4,998,371 |
Total issued | 4,364,311,505 | 6,957,971,119 |
Shares redeemed | (4,461,945,027) | (6,955,790,683) |
Net increase (decrease) | (97,633,522) | 2,180,436 |
4. Federal Insurance:
The Fund participated in the US Treasury Department’s Temporary
Guarantee Program for Money Market Funds (the “Program”). As a result
of the Fund’s participation in the Program, in the event the Fund’s net
asset value fell below $0.995 per share, shareholders in the Fund would
have had federal insurance of $1.00 per share up to the lesser of a
shareholder’s balance in the Fund as of the close of business on
September 19, 2008, or the amount held in the Fund by the share-
holder on the date that the guarantee was triggered. Any increase in the
number of shares in a shareholder’s account after the close of business
on September 19, 2008 and any investments after a shareholder closed
their account would not have been guaranteed. As a participant in
the Program, which expired September 18, 2009, the Fund paid a
participation fee of 0.03% for the period December 19, 2008 through
September 18, 2009 of the Fund’s shares outstanding value as of
September 19, 2008. The participation fee for the period April 1, 2009
to September 18, 2009 is included in federal insurance in the
Statement of Operations. These fees are not covered by the contractual
agreement to reduce fees and reimburse expenses.
5. Income Tax Information:
Reclassifications: Accounting principles generally accepted in the United
States of America require that certain components of net assets be
adjusted to reflect permanent differences between financial and tax
reporting. These reclassifications have no effect on net assets or net
asset values per share. The following permanent difference as of March
31, 2010 attributable to the use of equalization was reclassified to the
following accounts:
Paid-in capital | $ 26,743 |
Accumulated net realized gain allocated from the Master LLC | $ (26,743) |
The tax character of distributions paid during the fiscal years ended
March 31, 2010 and March 31, 2009 was as follows:
3/31/2010 | 3/31/2009 | |
Tax-exempt income | $ 738,142 | $ 13,188,709 |
Ordinary income1 | 17,327 | — |
Long-term capital gains1 | 9,416 | 118,570 |
Total distributions | $ 764,885 | $ 13,307,279 |
1 Distribution amounts may include a portion of the proceeds from
redeemed shares.
As of March 31, 2010, there were no significant differences between the
book and tax components of net assets.
6. Subsequent Events:
Management’s evaluation of the impact of all subsequent events on the
Fund’s financial statements was completed through the date the finan-
cial statements were issued and the following item was noted:
On May 19, 2010, the Board approved a name change for WCMA Tax-
Exempt Fund to BBIF Tax-Exempt Fund. The name change will be effec-
tive June 18, 2010.
WCMA TAX-EXEMPT FUND
MARCH 31, 2010
11
Report of Independent Registered Public Accounting Firm
WCMA Tax-Exempt Fund
To the Shareholders and Board of Trustees of
WCMA Tax-Exempt Fund:
We have audited the accompanying statement of assets and liabilities
of WCMA Tax-Exempt Fund (the “Fund”) as of March 31, 2010, and the
related statement of operations for the year then ended, the statements
of changes in net assets for each of the two years in the period then
ended, and the financial highlights for each of the five years in the
period then ended. These financial statements and financial highlights
are the responsibility of the Fund’s management. Our responsibility is to
express an opinion on these financial statements and financial high-
lights based on our audits.
We conducted our audits in accordance with the standards of the Public
Company Accounting Oversight Board (United States). Those standards
require that we plan and perform the audit to obtain reasonable assur-
ance about whether the financial statements and financial highlights are
free of material misstatement. The Fund is not required to have, nor were
we engaged to perform, an audit of its internal control over financial
reporting. Our audits included consideration of internal control over
financial reporting as a basis for designing audit procedures that are
appropriate in the circumstances, but not for the purpose of expressing
an opinion on the effectiveness of the Fund’s internal control over finan-
cial reporting. Accordingly, we express no such opinion. An audit also
includes examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements, assessing the accounting
principles used and significant estimates made by management, as well
as evaluating the overall financial statement presentation. We believe
that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements and financial highlights referred
to above present fairly, in all material respects, the financial position of
WCMA Tax-Exempt Fund as of March 31, 2010, the results of its opera-
tions for the year then ended, the changes in its net assets for each of
the two years in the period then ended, and the financial highlights for
each of the five years in the period then ended, in conformity with
accounting principles generally accepted in the United States of
America.
Deloitte & Touche LLP
Princeton, New Jersey
May 27, 2010
Important Tax Information (Unaudited)
All of the net investment income distributions paid by WCMA Tax-Exempt
Fund during the taxable year ended March 31, 2010 qualify
as tax-exempt interest dividends for federal income tax purposes.
Portfolio Information as of March 31, 2010 | Master Tax-Exempt LLC | |
Portfolio Composition | ||
Percent of | ||
Net Assets | ||
Variable Rate Demand Obligations | 74% | |
Fixed Rate Notes | 20 | |
Tax-Exempt Commercial Paper | 4 | |
Put Bonds | 2 | |
Total | 100% |
12 WCMA TAX-EXEMPT FUND
MARCH 31, 2010
Schedule of Investments March 31, 2010
Master Tax-Exempt LLC
(Percentages shown are based on Net Assets)
Par | ||
Municipal Bonds | (000) | Value |
Alabama — 1.1% | ||
Huntsville IDB, Refunding RB, VRDN, AMT, | ||
0.44%, 4/07/10 (a) | $ 2,515 | $ 2,515,000 |
Mobile IDB, RB, Alabama Power Co., Barry | ||
Plant Project, Mandatory Put Bonds: | ||
First Series, 1.40%, 7/16/10 | 5,800 | 5,800,000 |
VRDN, 1.40%, 7/16/10 (a) | 16,500 | 16,500,000 |
Spanish Fort Redevelopment Authority, Macon Trust, | ||
RB, VRDN Certificates, Bank of America, Series | ||
2007-306, 0.39%, 4/07/10 (a)(b) | 15,450 | 15,450,000 |
University of Alabama, RB, ROCS, | ||
VRDN, Series II-R-12295 (BHAC), | ||
0.30%, 4/07/10 (a)(b)(c) | 28,710 | 28,710,000 |
68,975,000 | ||
Alaska — 1.0% | ||
Alaska Housing Finance Corp., RB, VRDN, State | ||
Capital Project, Series C, 0.30%, 4/07/10 (a) | 4,955 | 4,955,000 |
Alaska International Airports System, Refunding RB, | ||
VRDN, System, Series A, AMT, 0.32%, 4/07/10 (a) | 4,000 | 4,000,000 |
City of Valdez Alaska, RB, VRDN, ConocoPhillips Co., | ||
Series A, 0.30%, 4/07/10 (a) | 38,000 | 38,000,000 |
City of Valdez Alaska, Refunding RB, VRDN, | ||
ConocoPhillips Co., Series B, 0.28%, 4/07/10 (a) | 20,000 | 20,000,000 |
66,955,000 | ||
Arizona — 1.6% | ||
Ak-Chin Indian Community, RB, VRDN, | ||
0.32%, 4/07/10 (a) | 20,000 | 20,000,000 |
Arizona Health Facilities Authority, RB, FLOATS, VRDN, | ||
Series 1782, 0.29%, 4/07/10 (a)(b) | 13,795 | 13,795,000 |
Maricopa County IDA Arizona, Refunding RB, VRDN, | ||
Villas Solanas Apartments, Series A, AMT (FNMA), | ||
0.36%, 4/07/10 (a) | 6,200 | 6,200,000 |
Maricopa County Public Finance Corp. | ||
Arizona, RB, FLOATS, VRDN, Series 1863, | ||
0.29%, 4/07/10 (a)(b) | 8,440 | 8,440,000 |
Salt River Pima-Maricopa Indian Community, RB, | ||
VRDN (a): | ||
0.32%, 4/07/10 | 31,195 | 31,195,000 |
0.34%, 4/07/10 | 15,184 | 15,184,000 |
Tempe IDA Arizona, RB, VRDN, Friendship Village | ||
Project, Series C, 0.27%, 4/07/10 (a) | 9,200 | 9,200,000 |
104,014,000 |
Par | ||
Municipal Bonds | (000) | Value |
California — 6.5% | ||
California Communities Note Program, RB, TRAN: | ||
2.00%, 6/30/10 | $ 45,500 | $ 45,629,253 |
Series A-5, 2.00%, 6/30/10 | 12,000 | 12,043,740 |
California HFA, Austin Trust, RB, VRDN Certificates, | ||
Bank of America, Series 2008-1100, AMT, | ||
0.37%, 4/07/10 (a)(b) | 3,290 | 3,290,000 |
California Municipal Finance Authority, RB, PUTTERS, | ||
VRDN, Series 2410, AMT, 0.44%, 4/07/10 (a)(b) | 2,130 | 2,130,000 |
California Rural Home Mortgage Finance Authority, | ||
Refunding RB, VRDN, Draw Down, AMT, | ||
Mandatory Put Bonds, 0.48%, 5/01/10 (a) | 45,217 | 45,216,600 |
California School Cash Reserve Program Authority, | ||
RB, 2009-2010 Senior Bonds, Series A, | ||
2.50%, 7/01/10 | 88,500 | 88,921,122 |
City of Los Angeles California, GO, TRAN: | ||
2.50%, 4/28/10 | 28,500 | 28,544,643 |
2.50%, 5/28/10 | 61,600 | 61,798,991 |
County of Los Angeles California, RB, TRAN, Series A, | ||
2.50%, 6/30/10 | 60,000 | 60,252,150 |
Downey School Facilities Financing Authority, | ||
Puttable Floating Option Tax-Exempt Receipts, | ||
Refunding RB, FLOATS, VRDN, Series 4066, | ||
0.54%, 4/07/10 (a)(b) | 4,000 | 4,000,000 |
Golden State Tobacco Securitization Corp. | ||
California, RB, FLOATS, VRDN, Series 2215, | ||
0.36%, 4/07/10 (a)(b) | 22,500 | 22,500,000 |
Golden State Tobacco Securitization Corp. California, | ||
Refunding RB, FLOATS, VRDN (a)(b): | ||
Series 2040, 0.36%, 4/07/10 | 8,000 | 8,000,000 |
Series 2954, 0.36%, 4/07/10 | 2,000 | 2,000,000 |
Los Angeles Unified School District California, GO, | ||
TRAN, 2.00%, 8/12/10 | 22,200 | 22,311,719 |
San Francisco City & County Airports Commission, | ||
Refunding RB, Second Series A, Mandatory | ||
Put Bonds, 0.75%, 9/15/10 | 9,300 | 9,300,000 |
San Mateo Union High School District California, | ||
GO, ROCS, VRDN, Series II-R-11578PB (AGC), | ||
0.32%, 4/07/10 (a)(b)(c) | 9,485 | 9,485,000 |
425,423,218 |
Portfolio Abbreviations
To simplify the listings of portfolio holdings in the Schedule of Investments, the names and descriptions of many of the securities have been abbreviated according to
the following list:
AGC | Assured Guaranty Corp. | GNMA | Government National Mortgage Association | MSTR | Municipal Securities Trust Receipts |
AGM | Assured Guaranty Municipal Corp. | GO | General Obligation Bonds | PSF-GTD | Permanent School Fund Guaranteed |
AMT | Alternative Minimum Tax (subject to) | HDA | Housing Development Authority | PCRB | Pollution Control Revenue Bonds |
ARS | Auction Rate Securities | HFA | Housing Finance Agency | PUTTERS | Puttable Tax-Exempt Receipts |
BAN | Bond Anticipation Notes | HRB | Housing Revenue Bonds | Q-SBLF | Qualified School Bond Loan Fund |
BHAC | Berkshire Hathaway Assurance Corp. | IDA | Industrial Development Authority | RAN | Revenue Anticipation Notes |
COP | Certificates of Participation | IDB | Industrial Development Board | RB | Revenue Bonds |
DRIVERS | Derivative Inverse Tax-Exempt Receipts | IDRB | Industrial Development Revenue Bonds | ROCS | Reset Option Certificates |
EDA | Economic Development Authority | ISD | Independent School District | S/F | Single-Family |
EDC | Economic Development Corp. | LIFERS | Long Inverse Floating Exempt Receipts | SPEARS | Short-Puttable Exempt Adjustable Receipts |
ERS | Extendible Reset Securities | M/F | Multi-Family | STARS | Short-Term Adjustable Rate Securities |
FHLMC | Federal Home Loan Mortgage Corp. | MERLOTS | Municipal Exempt Receipts Liquidity | TECP | Tax-Exempt Commercial Paper |
FLOATS | Floating Rate Securities | Optional Tenders | TRAN | Tax Revenue Anticipation Notes | |
FNMA | Federal National Mortgage Association | MRB | Mortgage Revenue Bonds | VRDN | Variable Rate Demand Notes |
VRDP | Variable Rate Demand Preferred |
WCMA TAX-EXEMPT FUND
MARCH 31, 2010
13
Schedule of Investments (continued)
Master Tax-Exempt LLC
(Percentages shown are based on Net Assets)
Par | ||
Municipal Bonds | (000) | Value |
Colorado — 1.8% | ||
City of Colorado Springs Colorado, Refunding RB, | ||
VRDN, Subordinate Lien, Series A, | ||
0.33%, 4/07/10 (a) | $ 34,875 | $ 34,875,000 |
Colorado Educational & Cultural Facilities Authority, | ||
RB, VRDN, Nature Conservatory, Series A-TE, | ||
0.34%, 4/07/10 (a) | 8,400 | 8,400,000 |
Colorado Health Facilities Authority, Refunding RB, | ||
VRDN, Catholic Healthcare (a): | ||
Series B-1, 0.31%, 4/07/10 | 3,165 | 3,165,000 |
Series B-6, 0.31%, 4/07/10 | 7,900 | 7,900,000 |
Colorado Housing & Finance Authority, RB, VRDN, | ||
Class I (a): | ||
M/F, Series C-4, 0.31%, 4/07/10 | 4,580 | 4,580,000 |
Series B-2, AMT, 0.29%, 4/07/10 | 25,000 | 25,000,000 |
Colorado School of Mines, Refunding RB, VRDN, | ||
Series A, 0.31%, 4/07/10 (a) | 7,900 | 7,900,000 |
County of Pitkin Colorado, Refunding RB, VRDN, | ||
Aspen Skiing Co. Project, Series B, AMT, | ||
0.32%, 4/07/10 (a) | 4,500 | 4,500,000 |
El Paso County School District No. 49-Falcon, Eclipse | ||
Funding Trust, COP, VRDN, Series 2006-0101, | ||
Solar Eclipse, 0.29%, 4/07/10 (a)(b) | 11,150 | 11,150,000 |
Fiddlers Business Improvement District Colorado, GO, | ||
Refunding, VRDN, 0.39%, 4/07/10 (a) | 4,200 | 4,200,000 |
Town of Telluride Colorado, RB, VRDN, Valley Floor | ||
Open Space Project, 1.55%, 4/07/10 (a) | 5,205 | 5,205,000 |
116,875,000 | ||
Connecticut — 1.4% | ||
Connecticut State Health & Educational Facility | ||
Authority, Austin Trust, RB, VRDN Certificates, | ||
Bank of America, Series 2008-352, | ||
0.32%, 4/07/10 (a)(b) | 4,700 | 4,700,000 |
Connecticut State Health & Educational Facility | ||
Authority, Refunding RB, VRDN, Gaylord Hospital, | ||
Series B, 0.30%, 4/07/10 (a) | 2,700 | 2,700,000 |
State of Connecticut, GO, BAN, Series A, | ||
2.00%, 4/28/10 | 70,000 | 70,081,739 |
State of Connecticut, JPMorgan Chase PUTTERS/ | ||
DRIVERS Trust, GO, PUTTERS, VRDN, Series 3411, | ||
0.30%, 4/07/10 (a)(b)(c) | 10,965 | 10,965,000 |
88,446,739 | ||
District of Columbia — 1.0% | ||
District of Columbia, GO, Deutsche Bank SPEARS/ | ||
LIFERS Trust, VRDN, Series DB-463 (AGM), | ||
0.32%, 4/07/10 (a)(b) | 8,411 | 8,411,000 |
District of Columbia, GO, FLOATS, VRDN, Series 1920, | ||
0.29%, 4/07/10 (a)(b) | 15,920 | 15,920,000 |
District of Columbia, RB, VRDN, American University, | ||
0.32%, 4/07/10 (a) | 7,400 | 7,400,000 |
District of Columbia, Refunding RB, VRDN, | ||
Series B (a): | ||
0.31%, 4/07/10 | 6,110 | 6,110,000 |
Howard, 0.29%, 4/07/10 | 4,600 | 4,600,000 |
Washington Convention Center Authority, | ||
Refunding RB, FLOATS, VRDN (BHAC) (a)(b): | ||
Series 1730, 0.31%, 4/07/10 | 6,665 | 6,665,000 |
Series 1731, 0.31%, 4/07/10 | 6,665 | 6,665,000 |
Series 1736, 0.31%, 4/07/10 | 7,830 | 7,830,000 |
63,601,000 |
Par | ||
Municipal Bonds | (000) | Value |
Florida — 4.7% | ||
Brevard County Housing Finance Authority, RB, | ||
VRDN, Timber Trace Apartments Project, AMT, | ||
0.32%, 4/07/10 (a) | $ 10,000 | $ 10,000,000 |
County of Escambia Florida, RB, VRDN, Gulf Power Co. | ||
Project, First Series, Mandatory Put Bonds, | ||
1.75%, 4/21/10 (a) | 10,000 | 10,000,000 |
County of Hillsborough Florida, TECP, 0.32%, 9/01/10 | 3,685 | 3,685,000 |
County of St. John's Florida, Deutsche Bank SPEARS/ | ||
LIFERS Trust, RB, SPEARS, VRDN, Series DB-486, | ||
0.32%, 4/07/10 (a)(b) | 8,930 | 8,930,000 |
County of St. John's Florida, RB, ROCS, VRDN, | ||
Series II-R-755PB, 0.33%, 4/07/10 (a)(b) | 18,200 | 18,200,000 |
Florida Housing Finance Corp., MRB, VRDN, Wexford | ||
Apartments, Series P, AMT, 0.34%, 4/07/10 (a) | 5,900 | 5,900,000 |
Florida Housing Finance Corp., RB, VRDN, | ||
Savannah Springs Apartments, Series N, AMT, | ||
0.37%, 4/07/10 (a) | 6,800 | 6,800,000 |
Florida Hurricane Catastrophe Fund Finance | ||
Corp., RB, ROCS, VRDN, Series II-R-11549, | ||
0.30%, 4/07/10 (a)(b) | 4,915 | 4,915,000 |
Florida State Board of Education, GO, ROCS, VRDN, | ||
Series II-R-12288, 0.30%, 4/07/10 (a)(b)(c) | 8,000 | 8,000,000 |
Florida State Department of Transportation, | ||
Refunding RB, PUTTERS, VRDN, Series 2539, | ||
0.29%, 4/07/10 (a)(b) | 3,555 | 3,555,000 |
Fort Pierce Redevelopment Agency, Eclipse | ||
Funding Trust, Tax Allocation Bonds, VRDN, | ||
Series 2006-0130, Solar Eclipse, | ||
0.29%, 4/07/10 (a)(b) | 3,915 | 3,915,000 |
Hillsborough County Housing Finance Authority, | ||
HRB, VRDN, Brandon, Series A, AMT (FNMA), | ||
0.32%, 4/07/10 (a) | 5,630 | 5,630,000 |
Jacksonville Economic Development Commission, | ||
RB, VRDN, Lee & Cates Glass Inc. Project, AMT, | ||
0.45%, 4/07/10 (a) | 7,835 | 7,835,000 |
Jacksonville Economic Development Commission, | ||
Refunding RB, VRDN, Shands Medical Center, Inc. | ||
Project, 0.30%, 4/07/10 (a) | 5,500 | 5,500,000 |
Jacksonville Electric Authority Florida, Refunding RB, | ||
VRDN (a): | ||
Series 3-B-2, 0.29%, 4/07/10 | 6,085 | 6,085,000 |
Series 3-B-3, 0.29%, 4/07/10 | 8,455 | 8,455,000 |
Sub-Series A-2, 0.30%, 4/07/10 | 6,845 | 6,845,000 |
Jacksonville Port Authority, RB, VRDN, Mitsui OSK | ||
Lines Ltd., AMT, 0.32%, 4/07/10 (a) | 14,250 | 14,250,000 |
Manatee County Housing Finance Authority, HRB, | ||
VRDN, Village at Cortez Apartments, Series A, AMT | ||
(FNMA), 0.32%, 4/07/10 (a) | 11,500 | 11,500,000 |
Orlando & Orange County Expressway Authority, RB, | ||
VRDN, Eagle Tax-Exempt Trust, Series 2007-0145, | ||
Class A (BHAC), 0.30%, 4/07/10 (a)(b) | 11,300 | 11,300,000 |
Orlando Utilities Commission, RB, ROCS, VRDN, | ||
Series II-R-11818PB, 0.33%, 4/07/10 (a)(b)(c) | 26,155 | 26,155,000 |
Orlando Utilities Commission, Refunding RB, | ||
Series B-1, 2.00%, 6/01/10 | 43,000 | 43,112,753 |
Palm Beach County Educational Facilities Authority, | ||
Refunding RB, VRDN, Educational Facilities, Atlantic | ||
University Inc., 0.32%, 4/07/10 (a) | 9,655 | 9,655,000 |
Sarasota County Public Hospital District, Refunding | ||
RB, VRDN, Sarasota Memorial Hospital, Series A, | ||
0.27%, 4/07/10 (a) | 19,800 | 19,800,000 |
Sunshine State Governmental Financing Commission, | ||
RB, VRDN, 0.36%, 4/07/10 (a) | 18,620 | 18,620,000 |
See Notes to Financial Statements.
14 WCMA TAX-EXEMPT FUND
MARCH 31, 2010
Schedule of Investments (continued)
Master Tax-Exempt LLC
(Percentages shown are based on Net Assets)
Par | |||
Municipal Bonds | (000) | Value | |
Florida (concluded) | |||
University of South Florida Research Foundation Inc., | |||
RB, VRDN, University Technology Center Research, | |||
0.34%, 4/07/10 (a) | $ 7,500 | $ 7,500,000 | |
Volusia County IDA, Refunding RB, VRDN, Retirement | |||
Housing Foundation, 0.27%, 4/07/10 (a) | 9,200 | 9,200,000 | |
Volusia County School Board, Eclipse Funding Trust, | |||
COP, Refunding, VRDN, Series 2007-0036, Solar | |||
Eclipse (AGM), 0.29%, 4/07/10 (a)(b) | 7,345 | 7,345,000 | |
302,687,753 | |||
Georgia — 0.9% | |||
Monroe County Development Authority Georgia, | |||
Refunding RB, VRDN, Georgia Power Co. Plant | |||
Scherer Project, 0.80%, Mandatory Put Bonds, | |||
1/07/11 (a) | 6,000 | 6,000,000 | |
Municipal Electric Authority of Georgia, RB, BAN, | |||
Plant Vogtle, Series A, 1.50%, 5/25/10 | 14,000 | 14,018,866 | |
Municipal Electric Authority of Georgia, | |||
Refunding RB, VRDN, Project No. 1, Sub-Series B, | |||
0.35%, 4/07/10 (a) | 10,000 | 10,000,000 | |
State of Georgia, GO, ROCS, VRDN, | |||
Series II-R-11536PB, 0.33%, 4/07/10 (a)(b) | 26,120 | 26,120,000 | |
Whitfield County Development Authority, RB, VRDN, | |||
Aladdin Manufacturing Corp. Project, AMT, | |||
0.53%, 4/07/10 (a) | 3,100 | 3,100,000 | |
59,238,866 | |||
Illinois — 8.3% | |||
BB&T Municipal Trust, RB, FLOATS, VRDN, | |||
Series 5001, 0.43%, 4/07/10 (a)(b)(c) | 13,951 | 13,950,509 | |
City of Chicago Illinois, Deutsche Bank SPEARS/ | |||
LIFERS Trust, SPEARS, RB, VRDN (a)(b): | |||
Series DB-502 (AGM), 0.32%, 4/07/10 | 41,135 | 41,135,000 | |
Series DBE-534, 0.32%, 4/07/10 | 2,245 | 2,245,000 | |
City of Chicago Illinois, Eclipse Funding Trust, GO, | |||
Refunding, VRDN, Series 2006-0038, Solar Eclipse, | |||
0.29%, 4/07/10 (a)(b) | 10,700 | 10,700,000 | |
City of Chicago Illinois, GO, Refunding, VRDN, | |||
Project: (a): | |||
Series B-1, 0.28%, 4/07/10 | 13,500 | 13,500,000 | |
Series B-3, 0.28%, 4/07/10 | 13,725 | 13,725,000 | |
City of Chicago Illinois, RB, VRDN (a): | |||
ROCS, Series II-R-239, AMT (AGM), | |||
0.36%, 7/01/11 (b) | 3,700 | 3,700,000 | |
Second Lien, Series B, AMT, 0.36%, 4/07/10 | 17,549 | 17,549,000 | |
Second Lien, Sub-Series 2000-1, | |||
0.32%, 4/07/10 | 11,000 | 11,000,000 | |
City of Chicago Illinois, Refunding RB, VRDN, | |||
Sub-Series 04-3, 0.29%, 4/07/10 (a)(b) | 3,205 | 3,205,000 | |
County of Cook Illinois, GO, ROCS, | |||
VRDN, Series II-R-10359 (AGM), | |||
0.30%, 4/07/10 (a)(b)(c) | 30,920 | 30,920,000 | |
Illinois Finance Authority, RB, VRDN (a): | |||
Art Institute of Chicago, 0.32%, 4/07/10 | 11,450 | 11,450,000 | |
Art Institute of Chicago, Series B-1, | |||
0.30%, 4/07/10 | 5,090 | 5,090,000 | |
Revolving Fund Pooled, Series D, | |||
0.30%, 4/07/10 | 16,050 | 16,050,000 | |
Rush University Medical Center, Series A, | |||
0.29%, 4/07/10 | 4,000 | 4,000,000 |
Par | |||
Municipal Bonds | (000) | Value | |
Illinois (concluded) | |||
Illinois Finance Authority, Refunding RB, VRDN (a): | |||
Art Institute of Chicago, 0.32%, 4/07/10 | $ 23,600 | $ 23,600,000 | |
Eagle Tax-Exempt Trust, Series 2006-0118, | |||
Class A, 0.30%, 4/07/10 (b) | 3,150 | 3,150,000 | |
Elmhurst Memorial Healthcare, Series B, | |||
0.29%, 4/07/10 | 5,100 | 5,100,000 | |
Wesleyan University, 0.29%, 4/07/10 | 2,325 | 2,325,000 | |
Illinois State Toll Highway Authority, RB, VRDN, Senior | |||
Priority, Series A-1, 0.32%, 4/07/10 (a) | 45,700 | 45,700,000 | |
Illinois State Toll Highway Authority, Refunding RB, | |||
VRDN (AGM) (a): | |||
Senior Priority, Series A-2, 0.29%, 4/07/10 | 5,700 | 5,700,000 | |
Series B, 0.33%, 4/07/10 | 12,235 | 12,235,000 | |
Regional Transit Authority, Refunding RB, VRDN, ERS, | |||
Series B, 0.70%, 12/27/10 (a) | 31,500 | 31,500,000 | |
State of Illinois, GO, VRDN, Series B, | |||
2.54%, 4/07/10 (a) | 198,800 | 198,800,000 | |
University of Illinois, Refunding RB, VRDN, Eagle | |||
Tax-Exempt Trust, Series 2006-0124, Class A, | |||
0.30%, 4/07/10 (a)(b) | 10,000 | 10,000,000 | |
536,329,509 | |||
Indiana — 2.2% | |||
City of Indianapolis Indiana, RB, VRDN, New Bridges | |||
Apartments Project, 0.49%, 4/07/10 (a) | 3,660 | 3,660,000 | |
City of Michigan City Indiana, RB, VRDN, Palatek | |||
Project, AMT, 0.50%, 4/07/10 (a) | 5,000 | 5,000,000 | |
City of Portage Indiana, RB, VRDN, Breckenridge | |||
Apartments Project, AMT, 0.36%, 4/07/10 (a) | 4,650 | 4,650,000 | |
Hartford City Indiana, RB, VRDN, Petoskey Plastics | |||
Inc., AMT, 0.50%, 4/07/10 (a) | 5,200 | 5,200,000 | |
Indiana Development Finance Authority, RB, VRDN (a): | |||
Educational Facilities, Industrial Museum of Art, | |||
0.32%, 4/07/10 | 43,000 | 43,000,000 | |
PSI Energy Inc. Projects, Series A, AMT, | |||
0.38%, 4/07/10 | 32,550 | 32,550,000 | |
Indiana Finance Authority, RB, Mandatory Put Bonds: | |||
Ascension Health, Series E6, 0.39%, 3/15/11 (d) | 6,000 | 6,000,000 | |
VRDN, Ascension, Series E5, 0.33%, 6/15/10 (a) | 3,060 | 3,060,000 | |
Indiana Finance Authority, Refunding RB, VRDN (a): | |||
Duke Energy Indiana Project, Series A-1, AMT, | |||
0.34%, 4/07/10 | 6,000 | 6,000,000 | |
Duke Energy Indiana Project, Series A-5, | |||
0.30%, 4/07/10 | 7,000 | 7,000,000 | |
Sisters of St. Francis, Series B, 0.29%, 4/07/10 | 3,700 | 3,700,000 | |
Indianapolis Local Public Improvement Bond Bank, | |||
Refunding RB, ROCS, VRDN, Series II-R-11779 | |||
(AGC), 0.31%, 4/07/10 (a)(b)(c) | 24,825 | 24,825,000 | |
144,645,000 | |||
Iowa — 1.0% | |||
City of Clear Lake Iowa, RB, VRDN, Joe Corbi's Pizza | |||
Project, AMT, 0.44%, 4/07/10 (a) | 3,380 | 3,380,000 | |
County of Louisa Iowa, Refunding RB, FLOATS, | |||
VRDN, Iowa-Illinois Gas & Electric Co., Series A, | |||
0.35%, 4/07/10 (a)(b) | 10,000 | 10,000,000 | |
Iowa Finance Authority, MRB, VRDN, Series H, AMT | |||
(GNMA), 0.31%, 4/07/10 (a) | 23,000 | 23,000,000 |
See Notes to Financial Statements.
WCMA TAX-EXEMPT FUND
MARCH 31, 2010
15
Schedule of Investments (continued)
Master Tax-Exempt LLC
(Percentages shown are based on Net Assets)
Par | ||
Municipal Bonds | (000) | Value |
Iowa (concluded) | ||
Iowa Finance Authority, RB: | ||
RAN, Senior, Iowa School, Series A, | ||
2.50%, 6/23/10 | $ 14,900 | $ 14,966,476 |
VRDN, Edgewater A. Wesley, Series E, | ||
0.27%, 4/07/10 (a) | 7,440 | 7,440,000 |
State of Iowa, Barclays Capital Municipal Trust | ||
Receipts, RB, FLOATS, VRDN, Series 13B-C, | ||
0.32%, 4/07/10 (a)(b)(c) | 6,200 | 6,200,000 |
64,986,476 | ||
Kansas — 0.2% | ||
City of Wichita Kansas, GO, Temporary Notes, | ||
Series 232, 0.75%, 8/19/10 | 95 | 95,054 |
Counties of Sedgwick & Shawnee Kansas, JPMorgan | ||
Chase PUTTERS/DRIVERS Trust, Refunding RB, | ||
PUTTERS, VRDN, Series 3206, AMT (GNMA), | ||
0.39%, 4/07/10 (a)(b)(c) | 6,270 | 6,270,000 |
Counties of Sedgwick & Shawnee Kansas, RB, | ||
FLOATS, VRDN, Series 2480, AMT (GNMA), | ||
0.34%, 4/07/10 (a)(b) | 8,340 | 8,340,000 |
14,705,054 | ||
Kentucky — 2.5% | ||
Campbell & Kenton Counties Sanitation District No. 1 | ||
Kentucky, RB, MSTR, VRDN, Series SGA 130 (AGM), | ||
0.37%, 4/07/10 (a)(b) | 11,000 | 11,000,000 |
County of Boyd Kentucky, RB, VRDN, Air Products | ||
& Chemicals Project, AMT, 0.43%, 4/07/10 (a) | 3,775 | 3,775,000 |
County of Carroll Kentucky Solid Waste, TECP, | ||
0.65%, 4/29/10 | 20,930 | 20,930,000 |
County of Jefferson Kentucky, TECP, 0.65%, 4/08/10 | 35,000 | 35,000,000 |
Kentucky Higher Education Student Loan Corp., | ||
Refunding RB, VRDN, Senior, Series A-1, AMT, | ||
0.34%, 4/07/10 (a) | 15,700 | 15,700,000 |
Kentucky Public Energy Authority, RB, VRDN, Series A, | ||
0.27%, 4/07/10 (a) | 60,000 | 60,000,000 |
Reset Optional Certificates Trust II-R, | ||
Refunding RB, ROCS, VRDN, Series II-R-662C, | ||
0.47%, 4/07/10 (a)(b) | 16,875 | 16,875,000 |
163,280,000 | ||
Louisiana — 0.7% | ||
Louisiana Local Government Environmental Facilities | ||
& Community Development Authority, RB, VRDN (a): | ||
BASF Corp. Project, AMT, 0.46%, 4/07/10 | 4,000 | 4,000,000 |
Go To The Show, Series A, 0.28%, 4/07/10 | 5,305 | 5,305,000 |
Honeywell International Inc. Project, AMT, | ||
0.49%, 4/07/10 | 6,000 | 6,000,000 |
Louisiana Local Government Environmental | ||
Facilities & Community Development Authority, | ||
Refunding RB, VRDN, BASF Corp. Project, Series B, | ||
0.43%, 4/07/10 (a) | 7,500 | 7,500,000 |
Louisiana Public Facilities Authority, RB, VRDN, | ||
Air Products & Chemicals Project, AMT, | ||
0.43%, 4/07/10 (a) | 2,850 | 2,850,000 |
Louisiana State Municipal Natural Gas Purchasing | ||
& District Authority, RB, PUTTERS, VRDN, | ||
Series 1411Q, 0.29%, 4/07/10 (a)(b) | 11,191 | 11,191,000 |
Parish of Ascension Louisiana, RB, VRDN, BASF Corp. | ||
Project, AMT, 0.46%, 4/07/10 (a) | 10,100 | 10,100,000 |
46,946,000 |
Par | ||
Municipal Bonds | (000) | Value |
Maine — 0.00% | ||
Maine Health & Higher Educational Facilities | ||
Authority, Eclipse Funding Trust, RB, VRDN, Series | ||
2007-0104, Solar Eclipse, 0.29%, 4/07/10 (a)(b) | $ 3,180 | $ 3,180,000 |
Maryland — 1.3% | ||
County of Baltimore Maryland, RB, VRDN, Paths at | ||
Loveton, 0.29%, 4/07/10 (a) | 4,270 | 4,270,000 |
County of Montgomery Maryland, Refunding RB, | ||
VRDN, Riderwood Village Inc. Project, | ||
0.27%, 4/07/10 (a) | 13,200 | 13,200,000 |
County of Prince George's Maryland, Refunding RB, | ||
VRDN, Collington Episcopal, Series A, | ||
0.27%, 4/07/10 (a) | 6,880 | 6,880,000 |
Maryland Community Development Administration, | ||
RB, AMT, VRDN (a): | ||
Clipper Tax-Exempt Certificate Trust, | ||
Series 2009-47, 0.44%, 4/07/10 (b)(c) | 2,721 | 2,721,000 |
Residential, Series C, 0.30%, 4/07/10 | 13,630 | 13,630,000 |
Maryland Community Development Administration, | ||
Refunding RB, FLOATS, VRDN, Series 2997, AMT, | ||
0.34%, 4/07/10 (a)(b)(c) | 8,475 | 8,475,000 |
Maryland EDC, RB, VRDN (a): | ||
Bakery de France Facility, AMT, 0.59%, 4/07/10 | 9,765 | 9,765,000 |
Garrett Community College Facility, | ||
0.29%, 4/07/10 | 6,955 | 6,955,000 |
Linemark Printing Project, AMT, 0.49%, 4/07/10 | 3,630 | 3,630,000 |
Pharmaceutics International Inc., Series A, AMT, | ||
0.44%, 4/07/10 | 4,455 | 4,455,000 |
Maryland Industrial Development Financing Authority, | ||
Refunding RB, VRDN, Occidental Petroleum Corp., | ||
0.29%, 4/07/10 (a) | 6,300 | 6,300,000 |
Maryland State Stadium Authority, Refunding RB, | ||
VRDN, Baltimore Convention Center, | ||
0.29%, 4/07/10 (a) | 2,720 | 2,720,000 |
83,001,000 | ||
Massachusetts — 2.7% | ||
Commonwealth of Massachusetts, Refunding RB, | ||
FLOATS, VRDN (a)(b): | ||
Series PT-3058, 0.54%, 4/07/10 | 27,315 | 27,315,000 |
Series PT-3511, 0.54%, 4/07/10 | 10,520 | 10,520,000 |
Commonwealth of Massachusetts, TECP, | ||
0.85%, 4/09/10 | 10,500 | 10,500,000 |
Massachusetts Bay Transportation Authority, | ||
Refunding RB, VRDN, Senior Series A, | ||
0.38%, 10/27/10 (a) | 3,500 | 3,500,000 |
Massachusetts Development Finance Agency, Macon | ||
Trust, RB, VRDN Certificates, Bank of America, | ||
Series 2007-344, 0.39%, 4/07/10 (a)(b) | 61,408 | 61,408,000 |
Massachusetts Health & Educational Facilities | ||
Authority, RB, VRDN (a)(b): | ||
Macon Trust, Bank of America, Series 2007-310, | ||
0.32%, 4/07/10 | 7,510 | 7,510,000 |
ROCS, Series II-R-11577PB, 0.33%, 4/07/10 | 31,710 | 31,710,000 |
Massachusetts State Turnpike Authority, Clipper | ||
Tax-Exempt Certificate Trust, RB, VRDN, | ||
Series 2009-74, 0.29%, 4/07/10 (a)(b) | 13,160 | 13,160,000 |
Massachusetts Water Resources Authority, | ||
Refunding RB, VRDN, Eagle Tax-Exempt Trust, | ||
Series 2006-0054, Class A, 0.30%, 4/07/10 (a)(b) | 7,495 | 7,495,000 |
173,118,000 |
See Notes to Financial Statements.
16 WCMA TAX-EXEMPT FUND
MARCH 31, 2010
Schedule of Investments (continued)
Master Tax-Exempt LLC
(Percentages shown are based on Net Assets)
Par | ||
Municipal Bonds | (000) | Value |
Michigan — 2.7% | ||
City of Detroit Michigan, RB, ROCS, VRDN, | ||
Series II-R-719PB (AGC), 0.34%, 4/07/10 (a)(b) | $ 12,445 | $ 12,445,000 |
Holt Public Schools Michigan, GO, Refunding, VRDN | ||
(Q-SBLF), 0.38%, 4/07/10 (a) | 7,000 | 7,000,000 |
Michigan Higher Education Student Loan | ||
Authority, RBC Municipal Products Inc. Trust, | ||
Refunding RB, FLOATS, VRDN, Series L-24, AMT, | ||
0.34%, 4/07/10 (a)(b) | 32,045 | 32,045,000 |
Michigan State HDA, Refunding RB, VRDN, Series A, | ||
AMT, 0.32%, 4/07/10 (a) | 62,770 | 62,770,000 |
Michigan State Hospital Finance Authority, RB, | ||
VRDN (a): | ||
Ascension Health Senior Credit, 0.38%, 4/01/10 | 3,700 | 3,700,000 |
Ascension Health Senior Credit, 0.38%, 4/01/10 | 4,000 | 4,000,000 |
Ascension Health, Series B2, Mandatory Put | ||
Bonds, 0.24%, 4/27/10 | 4,000 | 4,000,000 |
Michigan Strategic Fund, RB, VRDN, Livonia Tool Inc. | ||
Project, AMT, 0.50%, 4/07/10 (a) | 2,000 | 2,000,000 |
Reset Optional Certificates Trust II-R, Refunding RB, | ||
ROCS, VRDN, Series II-R-665PB (BHAC), | ||
0.33%, 4/07/10 (a)(b) | 20,675 | 20,675,000 |
Wayne County Airport Authority, Refunding RB, | ||
VRDN, Detroit Metropolitan, Series C1, AMT, | ||
0.32%, 4/07/10 (a) | 23,990 | 23,990,000 |
172,625,000 | ||
Minnesota — 1.5% | ||
City of Rochester Minnesota, Healthcare | ||
Facilities, TECP: | ||
0.25%, 4/06/10 | 16,000 | 16,000,000 |
0.25%, 4/06/10 | 66,500 | 66,500,000 |
Minnesota HFA, RB, VRDN, Residential Housing | ||
Finance, Series C, AMT, 0.32%, 4/07/10 (a) | 7,500 | 7,500,000 |
State of Minnesota, GO, ROCS, VRDN, | ||
Series II-R-11538PB, 0.33%, 4/07/10 (a)(b) | 10,465 | 10,465,000 |
100,465,000 | ||
Mississippi — 0.2% | ||
Mississippi Business Finance Corp., RB, VRDN, | ||
Series A, Renaissance, 0.29%, 4/07/10 (a) | 7,200 | 7,200,000 |
Mississippi Development Bank Special Obligation, | ||
Refunding RB, VRDN, Walnut Grove Youth, Series A, | ||
0.34%, 4/07/10 (a) | 8,000 | 8,000,000 |
15,200,000 | ||
Missouri — 0.8% | ||
Kansas City IDA Missouri, RB, VRDN, Kansas | ||
City Downtown Redevelopment, Series B, | ||
0.30%, 4/07/10 (a) | 11,690 | 11,690,000 |
Missouri Joint Municipal Electric Utility Commission, | ||
RB, ROCS, VRDN, Series II-R-620PB (BHAC), | ||
0.35%, 4/07/10 (a)(b) | 12,365 | 12,365,000 |
Missouri State Health & Educational Facilities | ||
Authority, Refunding RB, VRDN (a): | ||
ARS, SSM Health Care, Series D-2 (AGM), | ||
0.35%, 4/07/10 | 2,800 | 2,800,000 |
Ascension Health, Senior Credit, Series C-1, | ||
Mandatory Put Bonds, 0.56%, 5/04/10 | 4,250 | 4,250,000 |
Sisters of Mercy Health, Series B, | ||
0.29%, 4/07/10 | 18,125 | 18,125,000 |
Palmyra IDA, RB, VRDN, BASF Corp. Project, AMT, | ||
0.46%, 4/07/10 (a) | 6,000 | 6,000,000 |
55,230,000 |
Par | |||
Municipal Bonds | (000) | Value | |
Nebraska — 0.9% | |||
City of Lincoln Nebraska, RB, FLOATS, VRDN, | |||
Series 2900, 0.31%, 4/07/10 (a)(b) | $ 16,000 | $ 16,000,000 | |
Omaha Public Power District, Eclipse Funding Trust, | |||
RB, VRDN, Series 2006-0025, Solar Eclipse, | |||
0.29%, 4/07/10 (a)(b) | 18,350 | 18,350,000 | |
Public Power Generation Agency, RB, | |||
ROCS, VRDN, Series II-R-11019PB (BHAC), | |||
0.33%, 4/07/10 (a)(b) | 26,085 | 26,085,000 | |
60,435,000 | |||
Nevada — 1.7% | |||
County of Clark Nevada, RB: | |||
System, Subordinate Lien, Series A, | |||
2.50%, 7/15/10 | 90,000 | 90,428,419 | |
VRDN, ROCS, Series II-R-11825 (AGC), | |||
0.31%, 4/07/10 (a)(b)(c) | 2,500 | 2,500,000 | |
VRDN, ROCS, Series II-R-11827, | |||
0.39%, 4/07/10 (a)(b)(c) | 5,000 | 5,000,000 | |
Truckee Meadows Water Authority, Refunding RB, | |||
FLOATS, VRDN, Series 51TP (AGM), | |||
0.32%, 4/07/10 (a)(b) | 11,790 | 11,790,000 | |
109,718,419 | |||
New Hampshire — 0.6% | |||
New Hampshire Health & Education Facilities | |||
Authority, RB, VRDN (a): | |||
Eclipse Funding Trust, Series 2007-0018, Solar | |||
Eclipse, 0.29%, 4/07/10 (b) | 10,415 | 10,415,000 | |
ROCS, Series II-R-783PB (BHAC), | |||
0.33%, 4/07/10 (b) | 20,185 | 20,185,000 | |
River College, 0.30%, 4/07/10 | 6,610 | 6,610,000 | |
37,210,000 | |||
New Jersey — 5.6% | |||
Borough of Edgewater New Jersey, GO, BAN, | |||
1.50%, 8/20/10 | 6,866 | 6,883,464 | |
Borough of Upper Saddle River New Jersey, GO, | |||
Refunding, BAN, 1.25%, 2/25/11 | 6,091 | 6,135,291 | |
City of Margate City New Jersey, GO, BAN, | |||
1.50%, 7/13/10 | 3,200 | 3,206,875 | |
County of Passaic New Jersey, GO, BAN, | |||
1.50%, 4/13/10 | 8,300 | 8,302,522 | |
New Jersey EDA, RB, Construction Notes, | |||
Series 2009A, 2.50%, 6/18/10 | 78,800 | 79,141,107 | |
New Jersey EDA, Refunding RB , FLOATS, VRDN (a)(b): | |||
Series PT-2805, 0.54%, 4/07/10 | 18,650 | 18,650,000 | |
Series PT-3824, 0.54%, 4/07/10 | 13,960 | 13,960,000 | |
New Jersey EDA, TECP, 0.28%, 4/05/10 | 22,000 | 22,000,000 | |
New Jersey State Housing & Mortgage Finance | |||
Agency, Refunding RB, VRDN, S/F Housing, | |||
Series O, AMT, 0.38%, 4/07/10 (a) | 20,000 | 20,000,000 | |
New Jersey State Turnpike Authority, | |||
Refunding RB, FLOATS, VRDN, Series PT-2493, | |||
0.54%, 4/07/10 (a)(b) | 13,960 | 13,960,000 | |
State of New Jersey, RB, TRAN, 2.50%, 6/24/10 | 98,000 | 98,448,666 | |
Tobacco Settlement Financing Corp. New Jersey, | |||
Refunding RB, FLOATS, VRDN, Series 2959, | |||
0.36%, 4/07/10 (a)(b)(c) | 11,150 | 11,150,000 | |
Township of Montclair New Jersey, GO, Refunding, | |||
1.50%, 3/10/11 | 10,800 | 10,906,284 | |
Township of North Brunswick New Jersey, GO, BAN, | |||
Series A, 1.50%, 8/13/10 | 9,985 | 10,030,108 |
See Notes to Financial Statements.
WCMA TAX-EXEMPT FUND
MARCH 31, 2010
17
Schedule of Investments (continued)
Master Tax-Exempt LLC
(Percentages shown are based on Net Assets)
Par | ||
Municipal Bonds | (000) | Value |
New Jersey (concluded) | ||
Township of Readington New Jersey, GO, BAN, | ||
1.00%, 2/03/11 | $ 23,100 | $ 23,210,882 |
Township of Woodbridge New Jersey, GO, BAN, | ||
1.50%, 7/02/10 | 20,000 | 20,037,913 |
366,023,112 | ||
New Mexico — 0.5% | ||
City of Rio Rancho New Mexico, Eclipse Funding | ||
Trust, RB, VRDN, Series 2007-0019, Solar Eclipse, | ||
0.29%, 4/07/10 (a)(b) | 14,500 | 14,500,000 |
New Mexico Municipal Energy Acquisition Authority, | ||
RB, VRDN, 0.29%, 4/07/10 (a) | 20,000 | 20,000,000 |
34,500,000 | ||
New York — 8.3% | ||
City of New Rochelle New York, GO, Refunding, BAN, | ||
1.50%, 3/11/11 | 3,339 | 3,370,364 |
City of New York New York, GO, Refunding, VRDN, | ||
Fiscal 2008, Sub-Series J-11, 0.29%, 4/07/10 (a) | 7,200 | 7,200,000 |
City of New York New York, GO, VRDN (a): | ||
ROCS, Series II-R-251A, 0.30%, 4/07/10 (b) | 34,200 | 34,200,000 |
Sub-Series A-6 (AGM), 0.29%, 4/07/10 | 19,380 | 19,380,000 |
Sub-Series L-5, 0.29%, 4/07/10 | 17,250 | 17,250,000 |
Metropolitan Transportation Authority, RB, RAN, | ||
2.00%, 12/31/10 | 20,000 | 20,242,200 |
New York City Housing Development Corp., RB, | ||
VRDN (a): | ||
Series I2, AMT, Mandatory Put Bonds, | ||
0.72%, 5/13/10 | 12,500 | 12,500,000 |
Beekman Tower, Series A, 0.37%, 4/07/10 | 24,300 | 24,300,000 |
Series L, Mandatory Put Bonds, | ||
0.40%, 12/15/10 | 3,985 | 3,985,000 |
New York City Housing Development Corp., | ||
Refunding RB, VRDN, M/F, The Crest, Series A, | ||
0.30%, 4/07/10 (a) | 6,700 | 6,700,000 |
New York City Municipal Water Finance Authority, RB, | ||
VRDN, 2nd General Resolution, Series BB-2, | ||
0.35%, 4/07/10 (a) | 17,300 | 17,300,000 |
New York City Municipal Water Finance Authority, | ||
Refunding RB, VRDN (a)(b): | ||
Eagle Tax-Exempt Trust, Series 2009-0047, | ||
Class A, 0.30%, 4/07/10 (c) | 7,500 | 7,500,000 |
PUTTERS, Series 988, 0.28%, 4/07/10 | 9,400 | 9,400,000 |
New York City Transitional Finance Authority, RB, | ||
VRDN (a): | ||
Future Tax Secured, Series C, 0.31%, 4/07/10 | 20,800 | 20,800,000 |
Future Tax Secured, Sub-Series C3, | ||
0.32%, 4/07/10 | 13,545 | 13,545,000 |
New York City Recovery, Series 3, Sub-Series 3B, | ||
0.25%, 4/07/10 | 24,000 | 24,000,000 |
New York City Recovery, Series 3, Sub-Series 3E, | ||
0.29%, 4/07/10 | 52,000 | 52,000,000 |
Sub-Series 2B, 0.32%, 4/07/10 | 13,100 | 13,100,000 |
New York Liberty Development Corp., RB, | ||
VRDN, World Trade Center Project, Series A, | ||
Mandatory Put Bonds, 0.50%, 1/18/11 (a) | 78,000 | 78,000,000 |
New York Mortgage Agency, MRB, VRDN, 37th Series, | ||
AMT, 0.37%, 4/07/10 (a) | 15,200 | 15,200,000 |
New York Mortgage Agency, RB, VRDN, AMT (a): | ||
Homeowner Mortgage, Series 125, | ||
0.32%, 4/07/10 | 3,000 | 3,000,000 |
Series 139, 0.30%, 4/07/10 | 29,000 | 29,000,000 |
Par | |||
Municipal Bonds | (000) | Value | |
New York (concluded) | |||
New York State Urban Development Corp., | |||
Refunding RB, VRDN, Service Contract, Series A-4 | |||
(AGC), 0.31%, 4/07/10 (a) | $ 5,000 | $ 5,000,000 | |
Port Authority of New York & New Jersey, JPMorgan | |||
Chase PUTTERS/DRIVERS Trust, RB, PUTTERS, | |||
VRDN, Series 3192, AMT, 0.38%, 4/07/10 (a)(b)(c) | 25,325 | 25,325,000 | |
Triborough Bridge & Tunnel Authority, RB, VRDN, | |||
General, Series B, 0.29%, 4/07/10 (a) | 17,670 | 17,670,000 | |
Triborough Bridge & Tunnel Authority, Refunding RB, | |||
VRDN, General (a): | |||
Sub-Series B-2, 0.33%, 4/07/10 | 46,100 | 46,100,000 | |
Sub-Series B-4, 0.30%, 4/07/10 | 12,300 | 12,300,000 | |
538,367,564 | |||
North Carolina — 4.9% | |||
Charlotte Housing Authority North Carolina, RB, | |||
VRDN (a): | |||
Oak Park Project, 0.29%, 4/07/10 | 7,500 | 7,500,000 | |
Stonehaven East Project, 0.29%, 4/07/10 | 6,150 | 6,150,000 | |
Charlotte-Mecklenburg Hospital Authority North | |||
Carolina, Refunding RB, VRDN (a): | |||
Carolinas Healthcare, Series B, 0.27%, 4/07/10 | 8,700 | 8,700,000 | |
Series H, 0.27%, 4/07/10 | 16,100 | 16,100,000 | |
City of Charlotte North Carolina, Refunding RB, VRDN, | |||
Charlotte Douglas, Series D, 0.28%, 4/07/10 (a) | 1,275 | 1,275,000 | |
City of Raleigh North Carolina, COP, VRDN, Downtown, | |||
Series B, 0.29%, 4/07/10 (a) | 11,000 | 11,000,000 | |
City of Raleigh North Carolina, Refunding RB, VRDN, | |||
0.39%, 10/27/10 (a) | 3,500 | 3,500,000 | |
City of Winston-Salem North Carolina, COP, VRDN, | |||
Series C, 0.28%, 4/07/10 (a) | 7,400 | 7,400,000 | |
County of Wake North Carolina, GO, VRDN, Series A, | |||
0.31%, 4/07/10 (a) | 45,350 | 45,350,000 | |
Martin County Industrial Facilities & Pollution Control | |||
Financing Authority North Carolina, IDRB, VRDN, | |||
Penco Products Project, AMT, 0.60%, 4/07/10 (a) | 9,000 | 9,000,000 | |
Mecklenburg County North Carolina, GO, Refunding, | |||
7 Month Windows, Series D, 0.39%, 10/27/10 (d) | 5,900 | 5,900,000 | |
North Carolina, BB&T Municipal Trust, RB, FLOATS, | |||
VRDN (a)(b): | |||
Series 1009, 0.34%, 4/07/10 | 1,930 | 1,930,000 | |
Series 1011, 0.34%, 4/07/10 | 1,240 | 1,240,000 | |
North Carolina Capital Facilities Finance | |||
Agency, RB, VRDN, Aquarium Society Project, | |||
0.32%, 4/07/10 (a) | 15,845 | 15,845,000 | |
North Carolina Capital Facilities Finance Agency, | |||
Refunding RB, VRDN, Duke Energy Carolina, | |||
Series B, AMT, 0.40%, 4/07/10 (a) | 6,000 | 6,000,000 | |
North Carolina HFA, RB, MERLOTS, VRDN, Series B12, | |||
AMT, 0.34%, 4/07/10 (a)(b)(c) | 4,585 | 4,585,000 | |
North Carolina Medical Care Commission, RB, | |||
VRDN (a): | |||
Moses Cone Health System, Series A, | |||
0.28%, 4/07/10 | 3,000 | 3,000,000 | |
Novant Health Group, Series B, 0.27%, 4/07/10 | 9,100 | 9,100,000 | |
Transylvania Regional Hospital, 0.28%, 4/07/10 | 12,825 | 12,825,000 | |
North Carolina Medical Care Commission, | |||
Refunding RB, VRDN (a): | |||
Aldersgate Project, 0.31%, 4/07/10 | 230 | 230,000 | |
Moses Cone Health System, 0.32%, 4/07/10 | 6,850 | 6,850,000 | |
ROCS, Series II-R-10313, 0.32%, 4/07/10 (b) | 106,005 | 106,005,000 |
See Notes to Financial Statements.
18 WCMA TAX-EXEMPT FUND
MARCH 31, 2010
Schedule of Investments (continued)
Master Tax-Exempt LLC
(Percentages shown are based on Net Assets)
Par | ||
Municipal Bonds | (000) | Value |
North Carolina (concluded) | ||
North Carolina State Education Assistance Authority, | ||
Refunding RB, VRDN, Student Loan, Series A-2, | ||
AMT, 0.32%, 4/07/10 (a) | $ 19,900 | $ 19,900,000 |
Reset Optional Certificates Trust II-R, RB, ROCS, | ||
VRDN, Series II-R-645, 0.30%, 4/07/10 (a) | 6,400 | 6,400,000 |
Town of Ahoskie North Carolina, GO, BAN, Wastewater, | ||
1.00%, 11/17/10 | 2,550 | 2,558,053 |
318,343,053 | ||
Ohio — 1.9% | ||
City of Willoughby Ohio, GO, BAN, Various Purpose | ||
Improvement, 1.00%, 10/08/10 | 6,950 | 6,966,620 |
County of Wood Ohio, RB, VRDN, GHT Property | ||
Management LLC Project, AMT, 0.69%, 4/07/10 (a) | 1,025 | 1,025,000 |
Lancaster Port Authority, RB, VRDN, | ||
0.25%, 4/07/10 (a) | 16,640 | 16,640,000 |
Ohio Air Quality Development Authority, | ||
Refunding PCRB, VRDN, FirstEnergy, Series A, | ||
0.39%, 4/07/10 (a) | 36,000 | 36,000,000 |
Ohio Air Quality Development Authority, Refunding RB, | ||
VRDN, Cincinnati Gas & Electric (a): | ||
Series A, 0.33%, 4/07/10 | 7,900 | 7,900,000 |
Series B, 0.35%, 4/07/10 | 16,300 | 16,300,000 |
Ohio State Water Development Authority, | ||
Refunding RB, VRDN, FirstEnergy Project, | ||
Series A, AMT, 0.30%, 4/07/10 (a) | 30,000 | 30,000,000 |
State of Ohio, GO, Refunding, VRDN, Infrastructure, | ||
Series D, 0.28%, 4/07/10 (a) | 10,200 | 10,200,000 |
125,031,620 | ||
Oklahoma — 0.1% | ||
Oklahoma Development Finance Authority, RB, AMT: | ||
Conoco Project, Series B, 0.33%, 4/07/10 | 2,500 | 2,500,000 |
VRDN, ConocoPhillips Co. Project, | ||
0.33%, 4/07/10 (a) | 5,000 | 5,000,000 |
7,500,000 | ||
Pennsylvania — 1.3% | ||
Allegheny County Airport Authority Pennsylvania, | ||
Puttable Floating Option Tax-Exempt Receipts, | ||
Refunding RB, FLOATS, VRDN, Series 3965, AMT, | ||
0.61%, 4/07/10 (a)(b) | 4,000 | 4,000,000 |
Commonwealth of Pennsylvania, Clipper Tax-Exempt | ||
Certificate Trust, RB, VRDN, Series 2009-58, | ||
0.32%, 4/07/10 (a)(b) | 12,500 | 12,500,000 |
County of Lehigh Pennsylvania, Refunding RB, VRDN, | ||
Lehigh Valley Health Network, Series B (AGC), | ||
0.30%, 4/07/10 (a) | 31,575 | 31,575,000 |
Emmaus General Authority, RB, VRDN, Pennsylvania | ||
Loan Program, Series A, 0.28%, 4/07/10 (a) | 11,500 | 11,500,000 |
Pennsylvania HFA, Refunding RB, VRDN, Series 99C, | ||
AMT, 0.35%, 4/07/10 (a) | 5,100 | 5,100,000 |
Southcentral General Authority Pennsylvania, | ||
Refunding RB, VRDN, Wellspan Health Obligor | ||
Group, Series C, 0.31%, 4/07/10 (a) | 5,800 | 5,800,000 |
Venango IDA, TECP: | ||
0.50%, 4/06/10 | 11,048 | 11,048,000 |
0.50%, 4/08/10 | 4,500 | 4,500,000 |
86,023,000 |
Par | |||
Municipal Bonds | (000) | Value | |
Puerto Rico — 1.3% | |||
Commonwealth of Puerto Rico, Austin Trust, | |||
Refunding RB, VRDN Certificates, Bank of America, | |||
Series 2008-355, 0.39%, 4/07/10 (a)(b) | $ 3,100 | $ 3,100,000 | |
Puerto Rico Electric Power Authority, Puttable Floating | |||
Option Tax-Exempt Receipts, Refunding RB, FLOATS, | |||
VRDN, Series 4147 (AGM), 0.54%, 4/07/10 (a)(b) | 33,385 | 33,385,000 | |
Puerto Rico Highway & Transportation Authority, | |||
Refunding RB, FLOATS, VRDN, Series PT-3189, | |||
0.54%, 4/07/10 (a)(b) | 45,030 | 45,030,000 | |
81,515,000 | |||
Rhode Island — 0.5% | |||
Narragansett Bay Commission, RB, ROCS, VRDN, | |||
Series II-R-780PB (BHAC), 0.33%, 4/07/10 (a)(b) | 17,515 | 17,515,000 | |
Rhode Island Housing & Mortgage Finance Corp., | |||
RB, VRDN, Groves at Johnston Project, AMT, | |||
0.34%, 4/07/10 (a) | 17,500 | 17,500,000 | |
35,015,000 | |||
South Carolina — 1.3% | |||
City of Spartanburg South Carolina, RB, | |||
ROCS, VRDN, Series II-R-11020PB (AGM), | |||
0.34%, 4/07/10 (a)(b) | 13,445 | 13,445,000 | |
County of Berkeley South Carolina, GO, BAN, | |||
1.25%, 5/28/10 | 9,100 | 9,111,077 | |
County of Greenwood South Carolina, | |||
Refunding RB, VRDN, Fuji Photo Film Project, | |||
AMT, 0.36%, 4/07/10 (a) | 12,200 | 12,200,000 | |
Greenville Hospital System Board, Refunding RB, | |||
VRDN, Series C, 0.32%, 4/07/10 (a) | 4,500 | 4,500,000 | |
Piedmont Municipal Power Agency South | |||
Carolina, Refunding RB, VRDN, Series B (AGC), | |||
0.35%, 4/07/10 (a) | 8,200 | 8,200,000 | |
South Carolina Jobs, EDA, Macon Trust, RB, VRDN | |||
Certificates, Bank of America, Series 2007-303, | |||
0.32%, 4/07/10 (a)(b) | 7,480 | 7,480,000 | |
South Carolina Jobs, EDA, Refunding RB, VRDN, | |||
UMA Refinance Project, 0.30%, 4/07/10 (a) | 4,785 | 4,785,000 | |
South Carolina State Public Service Authority, RB, | |||
VRDN, Eagle Tax-Exempt Trust, Series 2006-0007, | |||
Class A, 0.30%, 4/07/10 (a)(b) | 11,500 | 11,500,000 | |
South Carolina Transportation Infrastructure Bank, | |||
Refunding RB, VRDN (a): | |||
Series B1, 0.29%, 4/07/10 | 5,280 | 5,280,000 | |
Series B2, 0.27%, 4/07/10 | 4,765 | 4,765,000 | |
81,266,077 | |||
Tennessee — 3.3% | |||
City of Memphis Tennessee, GO, Refunding, BAN, | |||
2.00%, 5/18/10 | 8,790 | 8,806,900 | |
Clarksville Public Building Authority, RB, VRDN, | |||
Pooled Financing, Tennessee Municipal Bond Fund, | |||
0.31%, 4/07/10 (a) | 10,000 | 10,000,000 | |
Clarksville Public Building Authority Tennessee, RB, | |||
VRDN, Pooled Financing, Tennessee Municipal | |||
Bond Fund (a): | |||
0.37%, 4/07/10 | 18,960 | 18,960,000 | |
0.37%, 4/07/10 | 26,015 | 26,015,000 | |
County of Shelby Tennessee, GO, VRDN, Public | |||
Improvement, School, Series B, 0.27%, 4/07/10 (a) | 10,000 | 10,000,000 |
See Notes to Financial Statements.
WCMA TAX-EXEMPT FUND
MARCH 31, 2010
19
Schedule of Investments (continued)
Master Tax-Exempt LLC
(Percentages shown are based on Net Assets)
Par | ||
Municipal Bonds | (000) | Value |
Tennessee (concluded) | ||
Metropolitan Government of Nashville & Davidson | ||
County Health & Educational Facilities Board, | ||
Refunding RB, FLOATS, VRDN (a)(b)(c): | ||
Series 3012, 0.31%, 4/07/10 | $ 5,305 | $ 5,305,000 |
Series 3013, 0.29%, 4/07/10 | 10,000 | 10,000,000 |
Metropolitan Government of Nashville & Davidson | ||
County IDB, RB, VRDN, Nashville Symphony Hall | ||
Project, 0.37%, 4/07/10 (a) | 12,678 | 12,678,000 |
Montgomery County Public Building Authority | ||
Tennessee, RB, VRDN, Tennessee County Loan Pool, | ||
0.37%, 4/07/10 (a) | 1,800 | 1,800,000 |
Municipal Energy Acquisition Corp. Tennessee, | ||
RB, PUTTERS, VRDN, Series 1578, | ||
0.29%, 4/07/10 (a)(b) | 44,870 | 44,870,000 |
Shelby County Health Educational & Housing | ||
Facilities Board, Refunding RB, VRDN, Methodist | ||
Le Bonheur, Series A (AGC), 0.30%, 4/07/10 (a) | 10,000 | 10,000,000 |
Tennergy Corp. Tennessee, RB, VRDN, BNP Paribas | ||
STARS Certificates Trust, Series 2006-001, | ||
0.29%, 4/07/10 (a) | 56,090 | 56,090,000 |
214,524,900 | ||
Texas — 16.8% | ||
Brazos Harbor Industrial Development Corp., RB, | ||
VRDN, AMT, RB (a): | ||
BASF Corp. Project, 0.45%, 4/07/10 | 25,000 | 25,000,000 |
BASF Corp. Project, 0.46%, 4/07/10 | 50,000 | 50,000,000 |
ConocoPhillips Co. Project, 0.33%, 4/07/10 | 4,500 | 4,500,000 |
Brazos River Harbor Navigation District, RB, VRDN, | ||
AMT, BASF Corp. (a): | ||
Multi-Mode, 0.46%, 4/07/10 | 15,800 | 15,800,000 |
Project, 0.46%, 4/07/10 | 18,400 | 18,400,000 |
Calhoun County Naval IDA Texas, RB, VRDN, British | ||
Petroleum Co., AMT, 0.30%, 4/07/10 (a) | 9,000 | 9,000,000 |
City of Austin Texas, Refunding RB, VRDN, AMT | ||
(AGM) (a): | ||
Sub-Series 3, 0.32%, 4/07/10 | 49,925 | 49,925,000 |
Sub-Series 4, 0.32%, 4/07/10 | 52,595 | 52,595,000 |
City of Brownsville Texas, Deutsche Bank SPEARS/ | ||
LIFERS Trust, RB, SPEARS, VRDN, Series DBE-533, | ||
0.32%, 4/07/10 (a)(b) | 1,765 | 1,765,000 |
City of Houston Texas, Puttable Floating Option | ||
Tax-Exempt Receipts, Refunding RB, FLOATS, VRDN, | ||
Series 4159 (AGM), 0.54%, 4/07/10 (a)(b) | 10,965 | 10,965,000 |
City of Houston Texas, Refunding RB, VRDN (a): | ||
First Lien, Series B2, 0.27%, 4/07/10 | 15,000 | 15,000,000 |
ROCS, Series II-R-12046 (AGM), | ||
0.31%, 4/07/10 (b) | 13,200 | 13,200,000 |
City of Midland Texas, GO, ROCS, VRDN, | ||
Series II-R-810PB, 0.33%, 4/07/10 (a)(b) | 10,720 | 10,720,000 |
County of Fort Bend Texas, GO, MSTR, VRDN, | ||
Series SGB 46, Class A, 0.30%, 4/07/10 (a)(b) | 4,500 | 4,500,000 |
County of Harris Texas, Clipper Tax-Exempt | ||
Certificate Trust, GO, VRDN, Series 2009-73, | ||
0.32%, 4/07/10 (a)(b)(c) | 10,000 | 10,000,000 |
County of Harris Texas, GO, ROCS, VRDN, | ||
Series II-R-10360, 0.30%, 4/07/10 (a)(b)(c) | 16,255 | 16,255,000 |
Par | ||
Municipal Bonds | (000) | Value |
Texas (continued) | ||
County of Harris Texas, RB, MSTR, VRDN, | ||
Series SGC 31, Class A, 0.32%, 4/07/10 (a)(b) | $ 11,280 | $ 11,280,000 |
Cypress-Fairbanks ISD, GO, FLOATS, VRDN, | ||
Series 86TP, 0.32%, 4/07/10 (a)(b) | 2,555 | 2,555,000 |
Denton ISD Texas, GO, VRDN, Building, | ||
Series 2005-A, 0.30%, 4/07/10 (a) | 2,500 | 2,500,000 |
Galena Park ISD Texas, GO, Refunding, FLOATS, VRDN, | ||
Series SG-153 (PSF-GTD), 0.32%, 4/07/10 (a)(b) | 12,250 | 12,250,000 |
Gulf Coast Waste Disposal Authority, RB, VRDN, | ||
AMT (a): | ||
Air Products Project, 0.43%, 4/07/10 | 2,200 | 2,200,000 |
American Acryl LP Project, 0.37%, 4/07/10 | 19,000 | 19,000,000 |
Harris County Health Facilities Development Corp., | ||
RB, VRDN, St. Luke's Episcopal, Series A, | ||
0.33%, 4/07/10 (a) | 20,000 | 20,000,000 |
Katy ISD Texas, GO, VRDN, School Building | ||
(PSF-GTD), 0.29%, 4/07/10 (a) | 5,800 | 5,800,000 |
Lower Neches Valley Authority Industrial Development | ||
Corp. Texas, Refunding RB, VRDN, ExxonMobil | ||
Project, Series A, 0.28%, 4/07/10 (a) | 18,920 | 18,920,000 |
Mesquite Industrial Development Corp. Texas, IDRB, | ||
VRDN, Morrison Products, AMT, 0.59%, 4/07/10 (a) | 800 | 800,000 |
North Texas Municipal Water District, RB, ROCS, VRDN, | ||
Series II-R-593PB, 0.33%, 4/07/10 (a)(b) | 8,415 | 8,415,000 |
North Texas Tollway Authority, Deutsche Bank SPEARS/ | ||
LIFERS Trust, Refunding RB, SPEARS, VRDN, | ||
Series DB-626 (AGC), 0.32%, 4/07/10 (a)(b) | 11,487 | 11,487,000 |
Port Arthur Navigation District Texas, RB, VRDN, | ||
Air Products & Chemicals Project, AMT, | ||
0.43%, 4/07/10 (a) | 10,000 | 10,000,000 |
Port of Corpus Christi Authority of Nueces County | ||
Texas, Refunding RB, VRDN, Flint Hills Resource, | ||
Series A, AMT, 0.35%, 4/07/10 (a) | 22,650 | 22,650,000 |
Port of Port Arthur Navigation District, RB, VRDN, | ||
AMT (a): | ||
Motiva Enterprises Project, 0.42%, 4/07/10 | 4,800 | 4,800,000 |
Multi-Mode, Atofina, Series B, 0.30%, 4/07/10 | 10,000 | 10,000,000 |
Port of Port Arthur Navigation District, Refunding RB, | ||
VRDN, Motiva Enterprises Project, AMT, | ||
0.40%, 4/07/10 (a) | 17,335 | 17,335,000 |
San Antonio ISD Texas, GO, Refunding, VRDN, Eagle | ||
Tax-Exempt Trust, Series 2009-0037, Class A | ||
(PSF-GTD), 0.30%, 4/07/10 (a)(b)(c) | 5,000 | 5,000,000 |
Sheldon ISD Texas, GO, PUTTERS, VRDN, Series 2009 | ||
(PSF-GTD), 0.32%, 4/07/10 (a)(b) | 5,185 | 5,185,000 |
Socorro ISD Texas, GO, ROCS, VRDN, | ||
Series II-R-11540PB (PSF-GTD), | ||
0.33%, 4/07/10 (a)(b)(c) | 12,670 | 12,670,000 |
State of Texas, GO, VRDN, AMT, Veterans Housing | ||
Assistance Fund (a): | ||
Series II-A, 0.32%, 4/07/10 | 12,425 | 12,425,000 |
Series II-A, 0.32%, 4/07/10 | 31,910 | 31,910,000 |
Series II-B (VA), 0.30%, 4/07/10 | 21,000 | 21,000,000 |
State of Texas, RB: | ||
TRAN, 2.50%, 8/31/10 | 350,000 | 352,976,159 |
VRDN, Veterans Housing Assistance Fund, | ||
Series II-B, AMT, 0.32%, 4/07/10 (a) | 47,375 | 47,375,000 |
Tarrant County Cultural Education Facilities Finance | ||
Corp., RB, FLOATS, VRDN (a)(b)(c): | ||
Series 2973, 0.29%, 4/07/10 | 36,000 | 36,000,000 |
Series 2974, 0.29%, 4/07/10 | 12,000 | 12,000,000 |
See Notes to Financial Statements.
20 WCMA TAX-EXEMPT FUND
MARCH 31, 2010
Schedule of Investments (continued)
Master Tax-Exempt LLC
(Percentages shown are based on Net Assets)
Par | ||
Municipal Bonds | (000) | Value |
Texas (concluded) | ||
Texas Municipal Gas Acquisition & Supply | ||
Corp. II, RB, ROCS, VRDN, Series II-R-10014, | ||
0.46%, 4/07/10 (a)(b) | $ 61,000 | $ 61,000,000 |
Weslaco Health Facilities Development Corp., | ||
Refunding RB, VRDN, Knapp Medical Center, | ||
Series A, 0.54%, 4/07/10 (a) | 4,775 | 4,775,000 |
1,089,933,159 | ||
Utah — 0.6% | ||
State of Utah, GO, FLOATS, VRDN, Series 2987, | ||
0.29%, 4/07/10 (a)(b)(c) | 6,000 | 6,000,000 |
Utah State Board Of Regents, Refunding RB, VRDN, | ||
Series A, AMT, 0.35%, 4/07/10 (a) | 30,000 | 30,000,000 |
36,000,000 | ||
Vermont — 0.3% | ||
Vermont Student Assistance Corp., Refunding RB, | ||
VRDN, Senior, Series C-1, AMT, 0.32%, 4/07/10 (a) | 17,000 | 17,000,000 |
Virginia — 1.6% | ||
Alexandria IDA, RB, VRDN, Young Men's Christian | ||
Association, 0.34%, 4/07/10 (a) | 1,000 | 1,000,000 |
Alexandria IDA, Refunding RB, VRDN, Goodwin House, | ||
0.30%, 4/07/10 (a) | 15,000 | 15,000,000 |
Arlington County IDA, Refunding HRB, VRDN, | ||
Woodbury Park Project, Series A (FHLMC), | ||
0.28%, 4/07/10 (a) | 3,400 | 3,400,000 |
City of Richmond Virginia, RB, ROCS, | ||
VRDN, Series II-R-10410 (AGM), | ||
0.30%, 4/07/10 (a)(b)(c) | 2,055 | 2,055,000 |
County of Henrico Virginia, RB, ROCS, VRDN, | ||
Series II-R-753PB, 0.33%, 4/07/10 (a)(b) | 6,405 | 6,405,000 |
Fairfax County EDA, Refunding RB, VRDN, Retirement, | ||
Greenspring, Series B, 0.27%, 4/07/10 (a) | 18,900 | 18,900,000 |
Fairfax County IDA, RB, VRDN (a): | ||
Health Care, Inova Health, 0.41%, 10/28/10 | 3,000 | 3,000,000 |
Inova Health System Project, Series A-2, | ||
0.29%, 4/07/10 | 12,000 | 12,000,000 |
Inova Health System Project, Series C-1, | ||
0.29%, 4/07/10 | 1,400 | 1,400,000 |
Norfolk EDA, Refunding RB, VRDN, Sentara | ||
Healthcare, Series A, Mandatory Put Bonds, | ||
0.23%, 5/05/10 (a) | 2,000 | 2,000,000 |
Virginia Commonwealth Transportation Board, | ||
Clipper Tax-Exempt Certificate Trust, RB, VRDN, | ||
Series 2009-38, 0.29%, 4/07/10 (a)(b) | 15,460 | 15,460,000 |
Virginia HDA, RB, MERLOTS, VRDN, Series B19, AMT, | ||
2.27%, 4/07/10 (a)(b) | 3,000 | 3,000,000 |
Virginia HDA, Refunding RB, MERLOTS, VRDN, | ||
Series C42, AMT, 0.34%, 4/07/10 (a)(b) | 2,880 | 2,880,000 |
Virginia Port Authority, RB, BAN, Subordinate, | ||
2.00%, 5/18/10 | 11,000 | 11,021,922 |
Virginia Public Building Authority, RB, VRDN, Series D, | ||
0.32%, 4/07/10 (a) | 2,200 | 2,200,000 |
Virginia Resources Authority, Refunding RB, FLOATS, | ||
VRDN, Series 1860, 0.28%, 4/07/10 (a)(b) | 3,500 | 3,500,000 |
Winchester IDA Virginia, Refunding RB, | ||
VRDN, Westminster-Canterbury, Series B, | ||
0.28%, 4/07/10 (a) | 1,200 | 1,200,000 |
104,421,922 |
Par | |||
Municipal Bonds | (000) | Value | |
Washington — 1.6% | |||
Chelan County Public Utility District No. 1, | |||
RB, FLOATS, VRDN, Series 2969, AMT, | |||
0.39%, 4/07/10 (a)(b)(c) | $ 6,770 | $ 6,770,000 | |
City of Bellevue Washington, GO, Refunding, VRDN, | |||
Eagle Tax-Exempt Trust, Series 2008-0025, Class A | |||
(AGM), 0.32%, 4/07/10 (a)(b) | 15,100 | 15,100,000 | |
City of Seattle Washington, RB, FLOATS, VRDN, | |||
Series 2170 (AGM), 0.28%, 4/07/10 (a)(b) | 2,530 | 2,530,000 | |
County of King Washington, TECP: | |||
0.25%, 4/01/10 | 7,000 | 7,000,000 | |
0.25%, 4/01/10 | 21,300 | 21,300,000 | |
0.32%, 5/06/10 | 20,000 | 20,000,000 | |
Pierce County EDC Washington, RB, VRDN, PNW | |||
Commercial LLC Project, AMT, 0.64%, 4/07/10 (a) | 2,065 | 2,065,000 | |
State of Washington, GO, ROCS, VRDN, | |||
Series II-R-11308, 0.30%, 4/07/10 (a)(b)(c) | 2,970 | 2,970,000 | |
Washington Health Care Facilities Authority, RB, ARS, | |||
VRDN, Overlake Hospital Medical Center, | |||
Series C-2, 0.35%, 4/01/10 (a) | 10,000 | 10,000,000 | |
Washington State University, RB, ROCS, VRDN, | |||
Series II-R-595PB, 0.33%, 4/01/10 (a)(b) | 16,135 | 16,135,000 | |
103,870,000 | |||
West Virginia — 0.4% | |||
Monongalia County Building Commission, | |||
Refunding RB, VRDN, General Hospital, Series A, | |||
0.29%, 4/07/10 (a) | 15,505 | 15,505,000 | |
West Virginia EDA, Refunding RB, VRDN, Ohio Power | |||
Co. Sporn Project, Series C, 0.28%, 4/07/10 (a) | 8,000 | 8,000,000 | |
23,505,000 | |||
Wisconsin — 1.4% | |||
Green Bay Area Public School District, RB, TRAN, | |||
2.00%, 6/25/10 | 10,000 | 10,036,578 | |
State of Wisconsin, RB, Operating Notes, | |||
2.50%, 6/15/10 | 35,000 | 35,147,114 | |
State of Wisconsin, TECP: | |||
0.31%, 4/09/10 | 15,000 | 15,000,000 | |
0.42%, 4/09/10 | 15,800 | 15,800,000 | |
0.42%, 4/09/10 | 7,942 | 7,942,000 | |
Village of Kohler Wisconsin, RB, VRDN, Kohler Co. | |||
Project, AMT, 0.41%, 4/07/10 (a) | 4,000 | 4,000,000 | |
Wisconsin Health & Educational Facilities Authority, | |||
RB, VRDN, Goodwill Industries, 0.27%, 4/07/10 (a) | 5,000 | 5,000,000 | |
92,925,692 | |||
Wyoming — 0.1% | |||
County of Sweetwater Wyoming, Refunding RB, VRDN, | |||
PacifiCorp, 0.28%, 4/07/10 (a) | 3,750 | 3,750,000 | |
Total Municipal Bonds — 99.1% | 6,436,806,133 |
See Notes to Financial Statements.
WCMA TAX-EXEMPT FUND
MARCH 31, 2010
21
Schedule of Investments (concluded)
Master Tax-Exempt LLC
(Percentages shown are based on Net Assets)
Par | |||
Closed-End Investment Companies | (000) | Value | |
Multi-State — 0.6% | |||
Nuveen Municipal Advantage Fund, VRDP, AMT, | |||
0.44%, 4/07/10 (a)(c) | $ 19,700 | $ 19,700,000 | |
Nuveen Municipal Market Opportunity | |||
Fund, Inc., VRDP, 3509 Series 1, AMT, | |||
0.44%, 4/07/10 (a)(c) | 17,500 | 17,500,000 | |
Total Closed-End Investment Companies — 0.6% | 37,200,000 | ||
Total Investments (Cost — $6,474,006,133*) — 99.7% | 6,474,006,133 | ||
Other Assets Less Liabilities — 0.3% | 21,514,739 | ||
Net Assets — 100.0% | $ 6,495,520,872 |
* Cost for federal income tax purposes.
(a) Variable rate security. Rate shown is as of report date and maturity shown is the
date the principal owed can be recovered through demand.
(b) These securities are short-term floating rate certificates issued by tender option
bond trusts and secured by the underlying municipal bond securities.
(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 quali-
fied institutional investors.
(d) Variable rate security. Rate shown is as of report date.
• 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 Master LLC's own assumptions used in determining the fair
value of investments)
The inputs or methodologies used for valuing securities are not necessarily an
indication of the risk associated with investing in those securities. For information
about the Master LLC'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 March 31, 2010 in
determining the fair valuation of the Master LLC’s investments:
Investments in Securities | ||||
Valuation Inputs | Level 1 | Level 21 | Level 3 | Total |
Assets: | ||||
Municipal Bonds | — | $6,436,806,133 | — | $6,436,806,133 |
Closed-End Investment | ||||
Companies | — | 37,200,000 | — | 37,200,000 |
Total | — | $6,474,006,133 | — | $6,474,006,133 |
1 See above Schedule of Investments for values in each state or political
subdivision.
See Notes to Financial Statements.
22 WCMA TAX-EXEMPT FUND
MARCH 31, 2010
Statement of Assets and Liabilities
March 31, 2010 | Master Tax-Exempt LLC |
Assets | |
Investments at value — unaffiliated | |
(cost — $6,474,006,133) | $ 6,474,006,133 |
Cash | 1,044,845 |
Interest receivable | 21,183,456 |
Investments sold receivable | 116,979 |
Prepaid expenses | 210,194 |
Total assets | 6,496,561,607 |
Liabilities | |
Investment advisory fees payable | 801,097 |
Other affiliates payable | 40,308 |
Directors’ fees payable | 1,622 |
Withdrawals payable to investors | 606 |
Other accrued expenses payable | 197,102 |
Total liabilities | 1,040,735 |
Net Assets | $ 6,495,520,872 |
Net Assets Consist of | |
Investors’ capital | $ 6,495,520,872 |
Statement of Operations | |
Year Ended March 31, 2010 | Master Tax-Exempt LLC |
Investment Income | |
Income | $ 53,025,056 |
Expenses | |
Investment advisory | 12,311,653 |
Accounting services | 915,569 |
Custodian | 207,233 |
Directors | 148,550 |
Professional | 106,618 |
Printing | 13,114 |
Miscellaneous | 226,072 |
Total expenses | 13,928,809 |
Net investment income | 39,096,247 |
Realized Gain | |
Realized gain from investments | 252,491 |
Net Increase in Net Assets Resulting from Operations | $ 39,348,738 |
See Notes to Financial Statements.
WCMA TAX-EXEMPT FUND
MARCH 31, 2010
23
Statements of Changes in Net Assets | Master Tax-Exempt LLC | ||||
Year Ended March 31, | |||||
Increase (Decrease) in Net Assets: | 2010 | 2009 | |||
Operations | |||||
Net investment income | $ 39,096,247 | $ 199,310,157 | |||
Net realized gain | 252,491 | 195,005 | |||
Net increase in net assets resulting from operations | 39,348,738 | 199,505,162 | |||
Capital Transactions | |||||
Proceeds from contributions | 47,760,181,661 | 79,097,894,440 | |||
Value of withdrawals | (52,667,487,942) | (80,046,967,072) | |||
Net decrease in net assets derived from capital transactions | (4,907,306,281) | (949,072,632) | |||
Net Assets | |||||
Total decrease in net assets | (4,867,957,543) | (749,567,470) | |||
Beginning of year | 11,363,478,415 | 12,113,045,885 | |||
End of year | $ 6,495,520,872 | $11,363,478,415 | |||
Financial Highlights | Master Tax-Exempt LLC | ||||
Year Ended March 31, | |||||
2010 | 2009 | 2008 | 2007 | 2006 | |
Total Investment Return | |||||
Total investment return | 0.42% | 1.68% | 3.34% | 3.45% | 2.64% |
Ratios to Average Net Assets | |||||
Total expenses | 0.15% | 0.15% | 0.15% | 0.15% | 0.15% |
Net investment income | 0.43% | 1.67% | 3.28% | 3.44% | 2.61% |
Supplemental Data | |||||
Net assets, end of year (000) | $ 6,495,521 | $11,363,478 | $12,113,046 | $10,143,538 | $ 9,524,737 |
See Notes to Financial Statements.
24 WCMA TAX-EXEMPT FUND
MARCH 31, 2010
Notes to Financial Statements Master Tax-Exempt LLC
1. Organization and Significant Accounting Policies:
Master Tax-Exempt LLC (the “Master LLC”) is registered under the
Investment Company Act of 1940, as amended (the “1940 Act”), and
is organized as a Delaware limited liability company. The Master LLC’s
Limited Liability Company Agreement permits the Directors of the Master
LLC to issue non-transferable interests, subject to certain limitations. The
Board of Directors of the Master LLC is referred to throughout this report
as the “Board of Directors” or the “Board”. The Master LLC’s financial
statements are prepared in conformity with accounting principles gen-
erally 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 following is a summary of significant accounting policies followed by
the Master LLC:
Valuation: The Master LLC’s policy is to fair value its financial instru-
ments at market value. The Master LLC securities are valued under the
amortized cost method which approximates current market value in
accordance with Rule 2a-7 of the 1940 Act. Under this method, securi-
ties are valued at cost when purchased and thereafter, a constant pro-
portionate amortization of any discount or premium is recorded until the
maturity of the security.
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.
Interest income is recognized on the accrual basis. The Master LLC
amortizes all premiums and discounts on debt securities.
Income Taxes: The Master LLC is classified as a partnership for federal
income tax purposes. As such, each investor in the Master LLC is
treated as the owner of its proportionate share of the net assets,
income, expenses and realized and unrealized gains and losses of the
Master LLC. Therefore, no federal income tax provision is required. It is
intended that the Master LLC’s assets will be managed so an investor in
the Master LLC can satisfy the requirements of Subchapter M of the
Internal Revenue Code of 1986, as amended.
The Master LLC files US federal and various state and local tax returns.
No income tax returns are currently under examination. The statute of
limitations on the Master LLC’s US federal tax returns remains open for
each of the four years ended March 31, 2010. The statutes of limitations
on the Master LLC’s state and local tax returns may remain open for an
additional year depending upon the jurisdiction. There are no uncertain
tax positions that require recognition of a tax liability.
Recent Accounting Standard: In January 2010, the Financial Accounting
Standards Board 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 effec-
tive for financial statements for fiscal years beginning after December
15, 2009, and interim periods within those fiscal years, except for dis-
closures about purchases, sales, issuances and settlements in the roll
forward of activity in Level 3 fair value measurements, which are effective
for fiscal years beginning after December 15, 2010, and for interim peri-
ods within those fiscal years. The impact of this guidance on the Master
LLC’s financial statements and disclosures is currently being assessed.
Other: Expenses directly related to the Master LLC are charged to that
Master LLC. Other operating expenses shared by several funds are pro
rated among those funds on the basis of relative net assets or other
appropriate methods. The Master LLC has an arrangement with the
custodian whereby fees may be reduced by credits earned on uninvested
cash balances, which if applicable are shown as fees paid indirectly in
the Statement of Operations. The custodian imposes fees on overdrawn
cash balances, which can be offset by accumulated credits earned or
may result in additional custody charges.
2. Administration 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 of the Master LLC for 1940 Act purposes,
but BAC and Barclays are not.
The Master LLC entered into an Investment Advisory Agreement with
BlackRock Advisors, LLC (the “Manager”), an indirect, wholly owned sub-
sidiary of BlackRock, to provide investment advisory and administration
services.
The Manager has entered into a separate sub-advisory agreement with
BlackRock Investment Management, LLC (“BIM”), an affiliate of the
Manager, under which the Manager pays BIM for services it provides, a
monthly fee that is a percentage of the investment advisory fee paid by
the Master LLC to the Manager.
WCMA TAX-EXEMPT FUND
MARCH 31, 2010
25
Notes to Financial Statements (concluded)
Master Tax-Exempt LLC
The Manager is responsible for the management of the Master LLC’s
investments and provides the necessary personnel, facilities, equipment
and certain other services necessary to the operations of the Master
LLC. For such services, the Master LLC pays the Manager a monthly
fee at the following annual rates of the Master LLC’s average daily
net assets as follows:
Not exceeding $500 million | 0.250% |
In excess of $500 million, but not exceeding $1 billion | 0.175% |
In excess of $1 billion | 0.125% |
For the year ended March 31, 2010, the Master LLC reimbursed the
Manager $188,962 for certain accounting services, which is included in
accounting services in the Statement of Operations.
Certain officers and/or directors of the Master LLC are officers and/or
directors of BlackRock or its affiliates.
3. Market and Credit Risk:
In the normal course of business, the Master LLC invests in securities
and enters 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 Master LLC
may decline in response to certain events, including those directly
involving the issuers whose securities are owned by the Master LLC;
conditions affecting the general economy; overall market changes; local,
regional or global political, social or economic instability; and currency
and interest rate and price fluctuations. Similar to credit risk, the Master
LLC may be exposed to counterparty risk, or the risk that an entity with
which the Master LLC has unsettled or open transactions may default.
The Master LLC manages counterparty risk by entering into transactions
only with counterparties that it believes have the financial resources to
honor their obligations and by monitoring the financial stability of those
counterparties. Financial assets, which potentially expose the Master LLC
to credit and counterparty risks, consist principally of investments and
cash due from counterparties. The extent of the Master LLC’s exposure
to credit and counterparty risks with respect to these financial assets
is generally approximated by their value recorded in the Master LLC’s
Statement of Assets and Liabilities, less any collateral held by the
Master LLC.
4. Subsequent Events:
Management has evaluated the impact of all subsequent events on the
Master LLC through the date the financial statements were issued, and
has determined that there were no subsequent events requiring adjust-
ment or additional disclosure in the financial statements.
26 WCMA TAX-EXEMPT FUND
MARCH 31, 2010
Report of Independent Registered Public Accounting Firm
Master Tax-Exempt LLC
To the Investors and Board of Directors of
Master Tax-Exempt LLC:
We have audited the accompanying statement of assets and liabilities of
Master Tax-Exempt LLC (the “Master LLC”), including the schedule of
investments, as of March 31, 2010, and the related statement of
operations for the year then ended, the statements of changes in net
assets for each of the two years in the period then ended, and the finan-
cial highlights for each of the five years in the period then ended. These
financial statements and financial highlights are the responsibility of the
Master LLC’s management. Our responsibility is to express an opinion on
these financial statements and financial highlights based on our audits.
We conducted our audits in accordance with the standards of the Public
Company Accounting Oversight Board (United States). Those standards
require that we plan and perform the audit to obtain reasonable assur-
ance about whether the financial statements and financial highlights
are free of material misstatement. The Master LLC is not required to
have, nor were we engaged to perform, an audit of its internal control
over financial reporting. Our audits included consideration of internal
control over financial reporting as a basis for designing audit procedures
that are appropriate in the circumstances, but not for the purpose of
expressing an opinion on the effectiveness of the Master LLC’s internal
control over financial reporting. Accordingly, we express no such opinion.
An audit also includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements, assessing the
accounting principles used and significant estimates made by manage-
ment, as well as evaluating the overall financial statement presentation.
Our procedures included confirmation of securities owned as of March
31, 2010, by correspondence with the custodian. We believe that our
audits provide a reasonable basis for our opinion.
In our opinion, the financial statements and financial highlights referred
to above present fairly, in all material respects, the financial position
of Master Tax-Exempt LLC as of March 31, 2010, the results of its
operations for the year then ended, the changes in its net assets
for each of the two years in the period then ended, and the financial
highlights for each of the five years in the period then ended, in con-
formity with accounting principles generally accepted in the United
States of America.
Deloitte & Touche LLP
Princeton, New Jersey
May 27, 2010
WCMA TAX-EXEMPT FUND
MARCH 31, 2010
27
Officers and Directors | |||||
Number of BlackRock- | |||||
Advised Registered | |||||
Length | Investment Companies | ||||
Position(s) | of Time | (“RICs”) Consisting of | |||
Name, Address | Held with | Served as | Investment Portfolios | Public | |
and Year of Birth | Fund/Master LLC | a Director2 | Principal Occupation(s) During Past 5 Years | (“Portfolios”) Overseen | Directorships |
Non-Interested Directors1 | |||||
Ronald W. Forbes | Co-Chair of | Since | Professor Emeritus of Finance, School of Business, State University | 36 RICs consisting of | None |
55 East 52nd Street | the Board | 1981/ | of New York at Albany since 2000. | 104 Portfolios | |
New York, NY 10055 | and Director | 2002 | |||
1940 | |||||
Rodney D. Johnson | Co-Chair of | Since | President, Fairmount Capital Advisors, Inc. since 1987; Director, | 36 RICs consisting of | None |
55 East 52nd Street | the Board | 2007 | Fox Chase Cancer Center since 2004; Member of the Archdiocesan | 104 Portfolios | |
New York, NY 10055 | and Director | Investment Committee of the Archdiocese of Philadelphia since | |||
1941 | 2004; Director, The Committee of Seventy (civic) since 2006. | ||||
David O. Beim | Director | Since | Professor of Finance and Economics at the Columbia University | 36 RICs consisting of | None |
55 East 52nd Street | 2007 | Graduate School of Business since 1991; Trustee, Phillips Exeter | 104 Portfolios | ||
New York, NY 10055 | Academy since 2002; Chairman, Wave Hill, Inc. (public garden and | ||||
1940 | cultural center) from 1990 to 2006. | ||||
Dr. Matina Horner | Director | Since | Executive Vice President of Teachers Insurance and Annuity Associa- | 36 RICs consisting of | NSTAR (electric |
55 East 52nd Street | 2007 | tion and College Retirement Equities Fund from 1989 to 2003. | 104 Portfolios | and gas utility) | |
New York, NY 10055 | |||||
1939 | |||||
Herbert I. London | Director and | Since | Professor Emeritus, New York University since 2005; John M. Olin | 36 RICs consisting of | AIMS Worldwide, |
55 East 52nd Street | Member of the | 2007 | Professor of Humanities, New York University from 1993 to 2005 | 104 Portfolios | Inc. (marketing) |
New York, NY 10055 | Audit Committee | and Professor thereof from 1980 to 2005; President, Hudson | |||
1939 | Institute (policy research organization) since 1997 and Trustee | ||||
thereof since 1980; Chairman of the Board of Trustees for Grantham | |||||
University since 2006; Director, InnoCentive, Inc. (strategic solutions | |||||
company) since 2005; Director, Cerego, LLC (software development | |||||
and design) since 2005. | |||||
Cynthia A. Montgomery | Director | Since | Professor, Harvard Business School since 1989; Director, Harvard | 36 RICs consisting of | Newell Rubbermaid, |
55 East 52nd Street | 2002 | Business School Publishing since 2005; Director, McLean Hospital | 104 Portfolios | Inc. (manufacturing) | |
New York, NY 10055 | since 2005. | ||||
1952 | |||||
Joseph P. Platt, Jr. | Director | Since | Director, The West Penn Allegheny Health System (a not-for-profit | 36 RICs consisting of | Greenlight Capital |
55 East 52nd Street | 2007 | health system) since 2008; Director, Jones and Brown (Canadian | 104 Portfolios | Re, Ltd (reinsurance | |
New York, NY 10055 | insurance broker) since 1998; General Partner, Thorn Partners, LP | company); WQED | |||
1947 | (private investment) since 1998; Partner, Amarna Corporation, LLC | Multi-Media (public | |||
(private investment company) from 2002 to 2008. | broadcasting not-for- | ||||
profit) | |||||
Robert C. Robb, Jr. | Director | Since | Partner, Lewis, Eckert, Robb and Company (management and | 36 RICs consisting of | None |
55 East 52nd Street | 2007 | financial consulting firm) since 1981. | 104 Portfolios | ||
New York, NY 10055 | |||||
1945 | |||||
Toby Rosenblatt | Director | Since | President, Founders Investments Ltd. (private investments) since | 36 RICs consisting of | A.P. Pharma, Inc. |
55 East 52nd Street | 2007 | 1999; Director, College Access Foundation of California | 104 Portfolios | (specialty | |
New York, NY 10055 | (philanthropic foundation) since 2009; Director, Forward | pharmaceuticals) | |||
1938 | Management, LLC since 2007; Director, The James Irvine | ||||
Foundation (philanthropic foundation) from 1998 to 2008. |
28 WCMA TAX-EXEMPT FUND
MARCH 31, 2010
Officers and Directors (continued) | |||||
Number of BlackRock- | |||||
Advised Registered | |||||
Length | Investment Companies | ||||
Position(s) | of Time | (“RICs”) Consisting of | |||
Name, Address | Held with | Served as | Investment Portfolios | Public | |
and Year of Birth | Fund/Master LLC | a Director2 | Principal Occupation(s) During Past 5 Years | (“Portfolios”) Overseen | Directorships |
Non-Interested Directors1 (concluded) | |||||
Kenneth L. Urish | Chair of the Audit | Since | Managing Partner, Urish Popeck & Co., LLC (certified public | 36 RICs consisting of | None |
55 East 52nd Street | Committee and | 2007 | accountants and consultants) since 1976; Member of External | 104 Portfolios | |
New York, NY 10055 | Director | Advisory Board, The Pennsylvania State University Accounting | |||
1951 | Department since 2001; Trustee, The Holy Family Foundation | ||||
since 2001; Committee Member, Professional Ethics Committee | |||||
of the Pennsylvania Institute of Certified Public Accountants | |||||
from 2007 to 2010; President and Trustee, Pittsburgh Catholic | |||||
Publishing Associates from 2003 to 2008; Director, Inter-Tel from | |||||
2006 to 2007. | |||||
Frederick W. Winter | Director and | Since | Professor and Dean Emeritus of the Joseph M. Katz School of | 36 RICs consisting of | None |
55 East 52nd Street | Member of the | 2007 | Business, University of Pittsburgh since 2005 and Dean thereof | 104 Portfolios | |
New York, NY 10055 | Audit Committee | from 1997 to 2005; Director, Alkon Corporation (pneumatics) | |||
1945 | since 1992; Director, Tippman Sports (recreation) since 2005; | ||||
Director, Indotronix International (IT services) from 2004 to 2008. | |||||
1 Directors serve until their resignation, removal or death, or until December 31 of the year in which they turn 72. The Board has approved one-year | |||||
extensions in the terms of Directors who turn 72 prior to December 31, 2013. | |||||
2 Date shown is the earliest date a person has served as a director for the Fund/Master LLC covered by this annual report. Following the combination of | |||||
Merrill Lynch Investment Managers, L.P. (“MLIM”) and BlackRock, Inc. (“BlackRock”) in September 2006, the various legacy MLIM and legacy BlackRock | |||||
fund boards were realigned and consolidated into three new fund boards in 2007. As a result, although the chart shows certain directors as joining the | |||||
Fund’s/Master LLC’s board in 2007, each director first became a member of the board of other legacy MLIM or legacy BlackRock funds as follows: | |||||
David O. Beim, 1998; Ronald W. Forbes, 1977; Dr. Matina Horner, 2004; Rodney D. Johnson, 1995; Herbert I. London, 1987; Cynthia A. Montgomery, | |||||
1994; Joseph P. Platt, Jr., 1999; Robert C. Robb, Jr., 1998; Toby Rosenblatt , 2005. | |||||
Interested Directors3 | |||||
Richard S. Davis | Director | Since | Managing Director, BlackRock, Inc. since 2005; Chief Executive | 169 RICs consisting of | None |
55 East 52nd Street | 2007 | Officer, State Street Research & Management Company from 2000 | 298 Portfolios | ||
New York, NY 10055 | to 2005; Chairman of the Board of Trustees, State Street Research | ||||
1945 | Mutual Funds from 2000 to 2005. | ||||
Henry Gabbay | Director | Since | Consultant, BlackRock, Inc. from 2007 to 2008; Managing Director, | 169 RICs consisting of | None |
55 East 52nd Street | 2007 | BlackRock, Inc. from 1989 to 2007; Chief Administrative Officer, | 298 Portfolios | ||
New York, NY 10055 | BlackRock Advisors, LLC from 1998 to 2007; President of BlackRock | ||||
1947 | Funds and BlackRock Bond Allocation Target Shares from 2005 to | ||||
2007 and Treasurer of certain closed-end funds in the BlackRock | |||||
fund complex from 1989 to 2006. |
3 Mr. Davis is an “interested person” as defined in the 1940 Act of the Fund/Master LLC based on his position with BlackRock, Inc. and its affiliates. Mr.
Gabbay is an “interested person” of the Fund/Master LLC based on his former positions with BlackRock, Inc. and its affiliates as well as his ownership
of BlackRock, Inc. and The PNC Financial Services Group, Inc. securities. Directors serve until their resignation, removal or death, or until December 31
of the year in which they turn 72. The Board has approved one-year extensions in the terms of Directors who turn 72 prior to December 31, 2013.
WCMA TAX-EXEMPT FUND
MARCH 31, 2010
29
Officers and Directors (concluded) | |||||||
Position(s) | |||||||
Name, Address | Held with | Length of | |||||
and Year of Birth | Fund/Master LLC | Time Served | Principal Occupation(s) During Past 5 Years | ||||
Officers1 | |||||||
Anne Ackerley | President and | Since | Managing Director of BlackRock, Inc. since 2000; Vice President of the BlackRock-advised funds from 2007 to | ||||
55 East 52nd Street | Chief Executive | 20072 | 2009; Chief Operating Officer of BlackRock’s Global Client Group (GCG) since 2009; Chief Operating Officer | ||||
New York, NY 10055 | Officer | of BlackRock’s U.S. Retail Group from 2006 to 2009; Head of BlackRock’s Mutual Fund Group from 2000 | |||||
1962 | to 2006. | ||||||
Richard Hoerner, CFA | Vice | Since | Managing Director of BlackRock, Inc. since 2000; Co-head of BlackRock’s Cash Management Portfolio Management | ||||
55 East 52nd Street | President | 2009 | Group since 2002; Member of the Cash Management Group Executive Committee since 2005. | ||||
New York, NY 10055 | |||||||
1958 | |||||||
Jeffrey Holland, CFA | Vice | Since | Managing Director of BlackRock, Inc. since 2010; Director of BlackRock, Inc. from 2006 to 2009; Chief Operating | ||||
55 East 52nd Street | President | 2009 | Officer of BlackRock’s U.S. Retail Group since 2009; Co-head of Product Development and Management for | ||||
New York, NY 10055 | BlackRock’s U.S. Retail Group from 2007 to 2009; Product Manager of Raymond James & Associates from | ||||||
1971 | 2003 to 2006. | ||||||
Brendan Kyne | Vice | Since | Managing Director of BlackRock, Inc. since 2010; Director of BlackRock, Inc. from 2008 to 2009; Head of Product | ||||
55 East 52nd Street | President | 2009 | Development and Management for BlackRock’s U.S. Retail Group since 2009, Co-head thereof from 2007 to | ||||
New York, NY 10055 | 2009; Vice President of BlackRock, Inc. from 2005 to 2008. | ||||||
1977 | |||||||
Simon Mendelson | Vice | Since | Managing Director of BlackRock, Inc. since 2005; Chief Operating Officer and head of the Global Client Group for | ||||
55 East 52nd Street | President | 2009 | BlackRock’s Global Cash Management Business since 2007; Head of BlackRock’s Strategy and Development Group | ||||
New York, NY 10055 | from 2005 to 2007; Partner of McKinsey & Co. from 1997 to 2005. | ||||||
1964 | |||||||
Brian Schmidt | Vice | Since | Managing Director of BlackRock, Inc. since 2004; Various positions with U.S. Trust Company from 1991 to 2003 | ||||
55 East 52nd Street | President | 2009 | including Director from 2001 to 2003 and Senior Vice President from 1998 to 2003; Vice President, Chief Financial | ||||
New York, NY 10055 | Officer and Treasurer of Excelsior Funds, Inc., Excelsior Tax-Exempt Funds, Inc. and Excelsior Funds Trust from 2001 | ||||||
1958 | to 2003. | ||||||
Christopher Stavrakos, CFA Vice | Since | Managing Director of BlackRock, Inc. since 2006; Co-head of BlackRock’s Cash Management Portfolio | |||||
55 East 52nd Street | President | 2009 | Management Group since 2006; Senior Vice President, CIO, and Director of Liability Management for the | ||||
New York, NY 10055 | Securities Lending Group at Mellon Bank from 1999 to 2006. | ||||||
1959 | |||||||
Neal Andrews | Chief | Since | Managing Director of BlackRock, Inc. since 2006; Senior Vice President and Line of Business Head of Fund | ||||
55 East 52nd Street | Financial | 2007 | Accounting and Administration at PNC Global Investment Servicing (U.S.) Inc. from 1992 to 2006. | ||||
New York, NY 10055 | Officer | ||||||
1966 | |||||||
Jay Fife | Treasurer | Since | Managing Director of BlackRock, Inc. since 2007 and Director in 2006; Assistant Treasurer of the Merrill Lynch | ||||
55 East 52nd Street | 2007 | Investment Managers, L.P. (“MLIM”) and Fund Asset Management, L.P. advised funds from 2005 to 2006; Director | |||||
New York, NY 10055 | of MLIM Fund Services Group from 2001 to 2006. | ||||||
1970 | |||||||
Brian Kindelan | Chief | Since | Chief Compliance Officer of the BlackRock-advised funds since 2007; Managing Director and Senior Counsel of | ||||
55 East 52nd Street | Compliance | 2007 | BlackRock, Inc. since 2005. | ||||
New York, NY 10055 | Officer | ||||||
1959 | �� | ||||||
Howard Surloff | Secretary | Since | Managing Director and General Counsel of U.S. Funds of BlackRock, Inc. since 2006; General Counsel (U.S.) of | ||||
55 East 52nd Street | 2007 | Goldman Sachs Asset Management, L.P. from 1993 to 2006. | |||||
New York, NY 10055 | |||||||
1965 | |||||||
1 Officers of the Fund/Master LLC serve at the pleasure of the Boards. | |||||||
2 Ms. Ackerley has been President and Chief Executive Officer since 2009 and was Vice President from 2007 to 2009. | |||||||
Further information about the Officers and Directors is available in the Fund’s/Master LLC’s Statements of Additional Information, which can be obtained | |||||||
without charge by calling (800) 221-7210. | |||||||
Investment Advisor | Custodian | Accounting Agent | Distributor | Address of the Fund | |||
and Administrator | State Street Bank | State Street Bank | BlackRock Investments, LLC | 100 Bellevue Parkway | |||
BlackRock Advisors, LLC | and Trust Company | and Trust Company | New York, NY 10022 | Wilmington, DE 19809 | |||
Wilmington, DE 19809 | Boston, MA 02111 | Princeton, NJ 08540 | |||||
Sub-Advisor | Transfer Agent | Independent Registered | Legal Counsel | ||||
BlackRock Investment | Financial Data | Public Accounting Firm | Sidley Austin LLP | ||||
Management, LLC | Services, Inc. | Deloitte & Touche LLP | New York, NY 10019 | ||||
Plainsboro, NJ 08536 | Jacksonville, FL 32246 | Princeton, NJ 08540 | |||||
30 | WCMA TAX-EXEMPT FUND | MARCH 31, 2010 |
Additional Information
General Information
Electronic Delivery
Electronic copies of most financial reports and prospectuses are available
on the Fund’s website or shareholders can sign up for e-mail notifications
of quarterly statements, annual and semi-annual reports and prospec-
tuses by enrolling in the Fund’s 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 Fund will mail only one copy of shareholder documents, including
prospectuses, annual and semi-annual reports and proxy statements,
to shareholders with multiple accounts at the same address. This prac-
tice is commonly called “householding” and it is intended to reduce
expenses and eliminate duplicate mailings of shareholder documents.
Mailings of your shareholder documents may be householded indefi-
nitely unless you instruct us otherwise. If you do not want the mailing
of these documents to be combined with those for other members of
your household, please contact the Fund at (800) 221-7210.
Availability of Quarterly Portfolio Schedule
The Fund/Master LLC files its complete schedule of portfolio holdings
with the Securities and Exchange Commission (the “SEC”) for the first
and third quarters of each fiscal year on Form N-Q. The Fund’s/Master
LLC’s 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, D.C. Information on the operation of the Public
Reference Room may be obtained by calling (800) SEC-0330. The
Fund’s/Master LLC’s Forms N-Q may also be obtained upon request
and without charge by calling (800) 221-7210.
Availability of Proxy Voting Policies and Procedures
A description of the policies and procedures that the Fund/Master LLC
uses to determine how to vote proxies relating to portfolio securities is
available (1) without charge, upon request, by calling (800) 221-7210;
(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 Fund/Master LLC voted proxies relating to
securities held in the Fund’s/Master LLC’s portfolio 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) 221-7210
and (2) on the SEC’s website at http://www.sec.gov.
BlackRock Privacy Principles
BlackRock is committed to maintaining the privacy of its current and
former fund investors and individual clients (collectively, “Clients”) and
to safeguarding their non-public personal information. The following
information is provided to help you understand what personal informa-
tion BlackRock collects, how we protect that information and why in cer-
tain cases we share such information with select parties.
If you are located in a jurisdiction where specific laws, rules or regula-
tions require BlackRock to provide you with additional or different pri-
vacy-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
applications, 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 serv-
ices 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 informa-
tion. BlackRock maintains physical, electronic and procedural safeguards
that are designed to protect the non-public personal information of its
Clients, including procedures relating to the proper storage and disposal
of such information.
WCMA TAX-EXEMPT FUND
MARCH 31, 2010
31
#WCMATE-3/10
This report is transmitted to shareholders only. It is not authorized
for use as an offer of sale or a solicitation of an offer to buy shares
of the Fund unless accompanied or preceded by the Fund’s current
prospectus. An investment in the Fund is not insured or guaranteed
by the Federal Deposit Insurance Corporation or any other govern-
ment agency. Although the Fund seeks to preserve the value of
your investment at $1.00 per share, it is possible to lose money by
investing in the Fund. Total return information assumes reinvestment
of all distributions. Past performance results shown in this report
should not be considered a representation of future performance.
For current month-end performance information, call (800) 221-
7210. The Fund’s current 7-day yields more closely reflect the
current earnings of the Fund than the total returns quoted.
Statements and other information herein are as dated and are
subject to change.
![](https://capedge.com/proxy/N-CSR/0000900092-10-000373/brwcmataxexemptar0310x32x1.jpg)
Item 2 – Code of Ethics – The registrant (or the “Fund”) has adopted a code of ethics, as of the end
of the period covered by this report, applicable to the registrant’s principal executive officer,
principal financial officer and principal accounting officer, or persons performing similar
functions. During the period covered by this report, there have been no amendments to or
waivers granted under the code of ethics. A copy of the code of ethics is available without
charge at www.blackrock.com.
Item 3 – Audit Committee Financial Expert – The registrant’s board of directors or trustees, as
applicable (the “board of directors”) has determined that (i) the registrant has the following
audit committee financial expert serving on its audit committee and (ii) each audit
committee financial expert is independent:
Kenneth L. Urish
Under applicable securities laws, a person determined to be an audit committee financial
expert will not be deemed an “expert” for any purpose, including without limitation for the
purposes of Section 11 of the Securities Act of 1933, as a result of being designated or
identified as an audit committee financial expert. The designation or identification as an
audit committee financial expert does not impose on such person any duties, obligations, or
liabilities greater than the duties, obligations, and liabilities imposed on such person as a
member of the audit committee and board of directors in the absence of such designation or
identification.
Item 4 – Principal Accountant Fees and Services
(a) Audit Fees | (b) Audit-Related Fees1 | (c) Tax Fees2 | (d) All Other Fees3 | |||||
Current | Previous | Current | Previous | Current | Previous | Current | Previous | |
Fiscal Year | Fiscal Year | Fiscal Year | Fiscal Year | Fiscal Year | Fiscal Year | Fiscal Year | Fiscal Year | |
Entity Name | End | End | End | End | End | End | End | End |
WCMA Tax-Exempt | $6,800 | $6,800 | $0 | $0 | $6,100 | $6,100 | $329 | $733 |
Fund | ||||||||
Master Tax-Exempt | ||||||||
LLC | $25,000 | $31,400 | $0 | $0 | $6,800 | $6,100 | $0 | $0 |
1 The nature of the services include assurance and related services reasonably related to the performance of the audit of
financial statements not included in Audit Fees.
2 The nature of the services include tax compliance, tax advice and tax planning.
3 The nature of the services include a review of compliance procedures and attestation thereto.
(e)(1) Audit Committee Pre-Approval Policies and Procedures:
The registrant’s audit committee (the “Committee”) has adopted policies and
procedures with regard to the pre-approval of services. Audit, audit-related and tax
compliance services provided to the registrant on an annual basis require specific pre-
approval by the Committee. The Committee also must approve other non-audit services
provided to the registrant and those non-audit services provided to the registrant’s affiliated
service providers that relate directly to the operations and the financial reporting of the
registrant. Certain of these non-audit services that the Committee believes are a) consistent
with the SEC’s auditor independence rules and b) routine and recurring services that will
not impair the independence of the independent accountants may be approved by the
Committee without consideration on a specific case-by-case basis (“general pre-approval”).
The term of any general pre-approval is 12 months from the date of the pre-approval, unless
the Committee provides for a different period. Tax or other non-audit services provided to
the registrant which have a direct impact on the operation or financial reporting of the
registrant will only be deemed pre-approved provided that any individual project does not
exceed $10,000 attributable to the registrant or $50,000 for all of the registrants the
Committee oversees. For this purpose, multiple projects will be aggregated to determine if
they exceed the previously mentioned cost levels.
Any proposed services exceeding the pre-approved cost levels will require specific
pre-approval by the Committee, as will any other services not subject to general pre-
approval (e.g., unanticipated but permissible services). The Committee is informed of each
service approved subject to general pre-approval at the next regularly scheduled in-person
board meeting. At this meeting, an analysis of such services is presented to the Committee
for ratification. The Committee may delegate to one or more of its members the authority to
approve the provision of and fees for any specific engagement of permitted non-audit
services, including services exceeding pre-approved cost levels.
(e)(2) None of the services described in each of Items 4(b) through (d) were approved by
the audit committee pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.
(f) Not Applicable | ||
(g) Affiliates’ Aggregate Non-Audit Fees: | ||
Current Fiscal Year | Previous Fiscal Year | |
Entity Name | End | End |
WCMA Tax-Exempt Fund | $17,206 | $414,333 |
Master Tax-Exempt LLC | $17,577 | $413,600 |
(h) The registrant’s audit committee has considered and determined that the provision of
non-audit services that were rendered to the registrant’s investment adviser (not including
any non-affiliated sub-adviser whose role is primarily portfolio management and is
subcontracted with or overseen by the registrant’s investment adviser), and any entity
controlling, controlled by, or under common control with the investment adviser that
provides ongoing services to the registrant that were not pre-approved pursuant to paragraph
(c)(7)(ii) of Rule 2-01 of Regulation S-X is compatible with maintaining the principal
accountant’s independence.
Regulation S-X Rule 2-01(c)(7)(ii) – $10,777, 0%
Item 5 – Audit Committee of Listed Registrants – Not Applicable
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
Item 8 – Portfolio Managers of Closed-End Management Investment Companies – Not Applicable
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 which 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 15(d)-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 – See Item 2
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.
WCMA Tax-Exempt Fund and Master Tax-Exempt LLC
By: /s/ Anne F. Ackerley
Anne F. Ackerley
Chief Executive Officer of
WCMA Tax-Exempt Fund and Master Tax-Exempt LLC
Date: May 27, 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
WCMA Tax-Exempt Fund and Master Tax-Exempt LLC
Date: May 27, 2010
By: /s/ Neal J. Andrews
Neal J. Andrews
Chief Financial Officer (principal financial officer) of
WCMA Tax-Exempt Fund and Master Tax-Exempt LLC
Date: May 27, 2010