UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D. C. 20549 FORM N-CSR Investment Company Act file number 811-2671 SCUDDER MUNICIPAL TRUST -------------------------------- (Exact Name of Registrant as Specified in Charter) Two International Place Boston, Massachusetts 02110-4103 ---------------------------------------------- (Address of Principal Executive Offices) (Zip Code) Registrant's Telephone Number, including Area Code: (617) 295-2663 -------------- Salvatore Schiavone Two International Place Boston, Massachusetts 02110 --------------------------------------- (Name and Address of Agent for Service) Date of fiscal year end: 5/31 Date of reporting period: 5/31/04ITEM 1. REPORT TO STOCKHOLDERS
[Scudder Investments logo]
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Annual Report to Shareholders | ||
May 31, 2004 | ||
Contents |
<Click Here> Performance Summary <Click Here> Portfolio Management Review <Click Here> Portfolio Summary <Click Here> Investment Portfolio <Click Here> Financial Statements <Click Here> Financial Highlights <Click Here> Notes to Financial Statements <Click Here> Report of Independent Registered Public Accounting Firm <Click Here> Tax Information <Click Here> Trustees and Officers <Click Here> Account Management Resources |
This report must be preceded or accompanied by a prospectus. To obtain a prospectus for any of our funds, refer to the Account Management Resources information provided in the back of this booklet. We advise you to consider the fund's objectives, risks, charges and expenses carefully before investing. The prospectus contains this and other important information about the fund. Please read the prospectus carefully before you invest.
Investments in mutual funds involve risk. Some funds have more risk than others. This fund invests in individual bonds whose yields and market values fluctuate so that your investment may be worth more or less than its original cost. Additionally, although the fund seeks income that is federally tax free, a portion of the fund's returns may be subject to federal, state, local and alternative minimum tax. Insurance pertains to the timely payment of principal and interest by the issuer of the underlying securities, and not to the value of the fund's shares. Finally, the fund may focus its investments in certain geographical regions, thereby increasing its vulnerability to developments in that region. This may result in greater share price volatility. Please read this fund's prospectus for specific details regarding its investments and risk profile.
Scudder Investments is part of Deutsche Asset Management, which is the marketing name in the US for the asset management activities of Deutsche Bank AG, Deutsche Investment Management Americas Inc., Deutsche Asset Management Inc., Deutsche Asset Management Investment Services Ltd., Deutsche Bank Trust Company Americas and Scudder Trust Company.
Fund shares are not FDIC-insured and are not deposits or other obligations of, or guaranteed by, any bank. Fund shares involve investment risk, including possible loss of principal.
Classes A, B, C and Institutional
All performance shown is historical, assumes reinvestment of all dividends and capital gains, and does not guarantee future results. Investment return and principal value fluctuate with changing market conditions so that, when redeemed, shares may be worth more or less than their original cost. Current performance may be lower or higher than the performance quoted. Please visit scudder.com for the product's most recent month-end performance.
The maximum sales charge for Class A shares is 4.5%. For Class B shares, the maximum contingent deferred sales charge (CDSC) is 4% within the first year after purchase, declining to 0% after six years. Class C shares have no adjustment for front-end sales charges, but redemptions within one year of purchase may be subject to a CDSC of 1%. Unadjusted returns do not reflect sales charges and would have been lower if they had. Institutional Class shares are not subject to sales charges.
Returns during the 5- and 10-year periods shown for Class A, B and C shares and all periods shown for Institutional Class shares reflect a fee waiver and/or expense reimbursement. Without this waiver/reimbursement, returns would have been lower.
Performance figures do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Returns and rankings may differ by share class.
Returns shown for Class A, B and C shares for the periods prior to June 11, 2001 are derived from the historical performance of Class S shares of Scudder Managed Municipal Bond Fund during such periods and have been adjusted to reflect the higher gross total annual operating expenses of each specific class. Any difference in expenses will affect performance.
Average Annual Total Returns (Unadjusted for Sales Charge) as of 5/31/04 | ||||
Scudder Managed Municipal Bond Fund | 1-Year | 3-Year | 5-Year | 10-Year |
Class A | -.31% | 5.18% | 5.14% | 5.90% |
Class B | -1.07% | 4.36% | 4.32% | 5.08% |
Class C | -1.09% | 4.33% | 4.30% | 5.05% |
Lehman Brothers Municipal Bond Index+ | -.03% | 5.52% | 5.49% | 6.33% |
Scudder Managed Municipal Bond Fund | 1-Year | Life of Class* |
Institutional Class | -.06% | 3.27% |
Lehman Brothers Municipal Bond Index+ | -.03% | 3.67% |
Sources: Lipper Inc. and Deutsche Investment Management Americas Inc.
* Institutional Class shares commenced operations on August 19, 2002. Index returns begin August 31, 2002.Net Asset Value and Distribution Information | ||||
Class A | Class B | Class C | Institutional Class | |
Net Asset Value: 5/31/04 | $ 9.04 | $ 9.04 | $ 9.04 | $ 9.05 |
5/31/03 | $ 9.50 | $ 9.50 | $ 9.50 | $ 9.50 |
Distribution Information: Twelve Months: Income Dividends as of 5/31/04 | $ .43 | $ .36 | $ .36 | $ .44 |
May Income Dividend | $ .0358 | $ .0298 | $ .0302 | $ .0400 |
SEC 30-day Yield as of 5/31/04++ | 3.71% | 3.13% | 3.14% | 4.11% |
Tax Equivalent Yield as of 5/31/04++ | 5.71% | 4.82% | 4.83% | 6.32% |
Current Annualized Distribution Rate as of 5/31/04++ | 4.66% | 3.88% | 3.93% | 5.20% |
++ Current annualized distribution rate is the latest monthly dividend as an annualized percentage of net asset value on May 31, 2004. Distribution rate simply measures the level of dividends and is not a complete measure of performance. The SEC yield is net investment income per share earned over the month ended May 31, 2004, shown as an annualized percentage of the net asset value on that date. The SEC yield is computed in accordance with a standardized method prescribed by the Securities and Exchange Commission. Tax equivalent yield is based on the Fund's yield and a marginal federal income tax rate of 35%. Yields and distribution rates are historical and will fluctuate. The SEC yield would have been 3.53% for the Institutional Class had certain expenses not been reduced.
Class A Lipper Rankings - General Municipal Debt Funds Category as of 5/31/04 | ||||
Period | Rank | Number of Funds Tracked | Percentile Ranking | |
1-Year | 98 | of | 298 | 33 |
Source: Lipper Inc. Rankings are historical and do not guarantee future results. Rankings are based on total return unadjusted for sales charges with distributions reinvested. If sales charges had been included, results might have been less favorable. Rankings are for Class A shares; other share classes may vary.
Growth of an Assumed $10,000 Investment (Adjusted for Maximum Sales Charge) |
[] Scudder Managed Municipal Bond Fund - Class A [] Lehman Brothers Municipal Bond Index+ |
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Yearly periods ended May 31 |
The Fund's growth of an assumed $10,000 investment is adjusted for the maximum sales charge of 4.50%. This results in a net initial investment of $9,550. The growth of $10,000 is cumulative.
Comparative Results (Adjusted for Maximum Sales Charge) as of 5/31/04 | |||||
Scudder Managed Municipal Bond Fund | 1-Year | 3-Year | 5-Year | 10-Year | |
Class A | Growth of $10,000 | $9,520 | $11,111 | $12,268 | $16,939 |
Average annual total return | -4.80% | 3.57% | 4.17% | 5.41% | |
Class B | Growth of $10,000 | $9,607 | $11,164 | $12,255 | $16,411 |
Average annual total return | -3.93% | 3.74% | 4.15% | 5.08% | |
Class C | Growth of $10,000 | $9,891 | $11,357 | $12,342 | $16,372 |
Average annual total return | -1.09% | 4.33% | 4.30% | 5.05% | |
Lehman Brothers Municipal Bond Index+ | Growth of $10,000 | $9,997 | $11,750 | $13,064 | $18,478 |
Average annual total return | -.03% | 5.52% | 5.49% | 6.33% |
Scudder Managed Municipal Bond Fund | 1-Year | Life of Class* | |
Institutional Class | Growth of $250,000 | $249,850 | $264,675 |
Average annual total return | -.06% | 3.27% | |
Lehman Brothers Municipal Bond Index+ | Growth of $250,000 | $249,925 | $266,250 |
Average annual total return | -.03% | 3.67% |
The growth of $10,000 and $250,000 are cumulative.
The minimum initial investment for Institutional Class is $250,000.
* Institutional Class shares commenced operations on August 19, 2002. Index returns begin August 31, 2002.+ The unmanaged Lehman Brothers Municipal Bond Index is a market-value-weighted measure of municipal bonds issued across the United States. Index issues have a credit rating of at least Baa and a maturity of at least two years. Index returns assume reinvestment of dividends and, unlike Fund returns, do not reflect any fees or expenses. It is not possible to invest directly into an index.
Class AARP and Class S
Class AARP has been created especially for members of AARP. Class S is not available to new investors.
All performance shown is historical, assumes reinvestment of all dividends and capital gains, and does not guarantee future results. Investment return and principal value fluctuate with changing market conditions so that, when redeemed, shares may be worth more or less than their original cost. Current performance may be lower or higher than the performance quoted. Please visit aarp.scudder.com (Class AARP) or myScudder.com (Class S) for the product's most recent month-end performance.
Returns and rankings during each period shown for Class S reflect a fee waiver and/or expense reimbursement. Without this waiver/reimbursement, returns and rankings would have been lower.
Performance figures do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Returns and rankings may differ by share class.
Returns shown for Class AARP shares for the period prior to July 31, 2000 are derived from the historical performance of Class S shares of Scudder Managed Municipal Bond Fund during such periods and have assumed the same expense structure during such periods. Any difference in expenses will affect performance.
Average Annual Total Returns as of 5/31/04 | ||||
Scudder Managed Municipal Bond Fund | 1-Year | 3-Year | 5-Year | 10-Year |
Class S | -.01% | 5.43% | 5.37% | 6.12% |
Class AARP | -.01% | 5.43% | 5.38% | 6.12% |
Lehman Brothers Municipal Bond Index+ | -.03% | 5.52% | 5.49% | 6.33% |
Sources: Lipper Inc. and Deutsche Investment Management Americas Inc.
Net Asset Value and Distribution Information | ||
Class AARP | Class S | |
Net Asset Value: 5/31/04 | $ 9.05 | $ 9.05 |
5/31/03 | $ 9.50 | $ 9.50 |
Distribution Information: Twelve Months: Income Dividends as of 5/31/04 | $ .45 | $ .45 |
May Income Dividend | $ .0379 | $ .0379 |
SEC 30-day Yield as of 5/31/04++ | 4.11% | 4.10% |
Tax Equivalent Yield as of 5/31/04++ | 6.32% | 6.31% |
Current Annualized Distribution Rate as of 5/31/04++ | 4.93% | 4.93% |
++ Current annualized distribution rate is the latest monthly dividend as an annualized percentage of net asset value on May 31, 2004. Distribution rate simply measures the level of dividends and is not a complete measure of performance. The SEC yield is net investment income per share earned over the month ended May 31, 2004, shown as an annualized percentage of the net asset value on that date. The SEC yield is computed in accordance with a standardized method prescribed by the Securities and Exchange Commission. Tax equivalent yield is based on the Fund's yield and a marginal federal income tax rate of 35%. Yields and distribution rates are historical and will fluctuate. The SEC yield would have been 4.10% for Class S had certain expenses not been reduced.
Class S Lipper Rankings - General Municipal Debt Funds Category as of 5/31/04 | ||||
Period | Rank | Number of Funds Tracked | Percentile Ranking | |
1-Year | 76 | of | 298 | 26 |
3-Year | 39 | of | 265 | 15 |
5-Year | 11 | of | 233 | 5 |
10-Year | 9 | of | 125 | 8 |
Source: Lipper Inc. Rankings are historical and do not guarantee future results. Rankings are based on total return with distributions reinvested. Rankings are for Class S shares; other share classes may vary.
Growth of an Assumed $10,000 Investment |
[] Scudder Managed Municipal Bond Fund - Class S [] Lehman Brothers Municipal Bond Index+ |
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Yearly periods ended May 31 |
Comparative Results as of 5/31/04 | |||||
Scudder Managed Municipal Bond Fund | 1-Year | 3-Year | 5-Year | 10-Year | |
Class S | Growth of $10,000 | $9,999 | $11,718 | $12,987 | $18,112 |
Average annual total return | -.01% | 5.43% | 5.37% | 6.12% | |
Class AARP | Growth of $10,000 | $9,999 | $11,718 | $12,993 | $18,120 |
Average annual total return | -.01% | 5.43% | 5.38% | 6.12% | |
Lehman Brothers Municipal Bond Index+ | Growth of $10,000 | $9,997 | $11,750 | $13,064 | $18,478 |
Average annual total return | -.03% | 5.52% | 5.49% | 6.33% |
The growth of $10,000 is cumulative.
+ The unmanaged Lehman Brothers Municipal Bond Index is a market-value-weighted measure of municipal bonds issued across the United States. Index issues have a credit rating of at least Baa and a maturity of at least two years. Index returns assume reinvestment of dividends and, unlike Fund returns, do not reflect any fees or expenses. It is not possible to invest directly into an index.Scudder Managed Municipal Bond Fund:
A Team Approach to Investing
Deutsche Investment Management Americas Inc. ("DeIM" or the "Advisor"), which is part of Deutsche Asset Management, is the investment advisor for Scudder Managed Municipal Bond Fund. DeIM and its predecessors have more than 80 years of experience managing mutual funds and DeIM provides a full range of investment advisory services to institutional and retail clients. DeIM is also responsible for selecting brokers and dealers and for negotiating brokerage commissions and dealer charges.
Deutsche Asset Management is a global asset management organization that offers a wide range of investing expertise and resources. This well-resourced global investment platform brings together a wide variety of experience and investment insight across industries, regions, asset classes and investing styles.
DeIM is an indirect, wholly owned subsidiary of Deutsche Bank AG. Deutsche Bank AG is a major global banking institution that is engaged in a wide range of financial services, including investment management, mutual funds, retail, private and commercial banking, investment banking and insurance.
Portfolio Management Team
Philip G. Condon
Managing Director of Deutsche Asset Management and Co-Lead Portfolio Manager of the fund.
• Joined Deutsche Asset Management in 1983 and the fund in 1990.
• Over 28 years of investment industry experience.
• MBA, University of Massachusetts at Amherst.
Ashton P. Goodfield
CFA, Managing Director of Deutsche Asset Management and Co-Lead Portfolio Manager of the fund.
• Joined Deutsche Asset Management in 1986 and the fund in 1998.
• Over 18 years of investment industry experience.
Eleanor R. Brennan
CFA, Director of Deutsche Asset Management and Co-Lead Portfolio Manager of the fund.
• Joined Deutsche Asset Management in 1995 and the fund in 1999.
• Over 17 years of investment industry experience.
• MS, Drexel University.
Matthew J. Caggiano
CFA, Director of Deutsche Asset Management and Portfolio Manager of the fund.
• Joined Deutsche Asset Management in 1989 and the fund in 1999.
• Over 14 years of investment industry experience.
• MS, Boston College.
Philip G. Condon, Ashton P. Goodfield and Eleanor R. Brennan serve as co-lead portfolio managers of Scudder Managed Municipal Bond Fund. Matthew J. Caggiano is also a portfolio manager. In the following interview, Scudder's municipal bond team discusses the fund's performance for the period and the market environment for municipal bonds.
Q: Will you describe the general market environment during the annual period ended May 31, 2004?
A: Municipal bonds and the broad bond market, in general, suffered slight declines for the 12-month period ended May 31, 2004. The municipal bond market, as measured by the Lehman Brothers Municipal Bond Index, returned -0.03% for the annual period ended May 31, 2004.1 The broad bond market, as measured by the Lehman Brothers Aggregate Bond Index, returned - -0.44% for the same period.2
1 The unmanaged Lehman Brothers Municipal Bond Index is a market-value-weighted measure of municipal bonds issued across the United States. Index issues have a credit rating of at least Baa and a maturity of at least two years. Index returns assume reinvestment of dividends and, unlike Fund returns, do not reflect any fees or expenses. It is not possible to invest directly into an index.2 The Lehman Brothers Aggregate Bond Index is an unmanaged index representing domestic taxable investment-grade bonds, with index components for government and corporate securities, mortgage pass-through securities and asset-backed securities with average maturities of one year or more.
Overall, municipal bond yields ended higher than they began the period, and 10-year municipal bonds outperformed 10-year Treasury bonds. For the period, 10-year Treasury bond yields moved from 3.37% to 4.66%, a rise of 1.29 percentage points.3 Ten-year municipal bond yields rose 0.83 of a percentage point from 3.10% to 3.93%.4 The municipal bond yield curve between maturities of two years and 30 years flattened, as yields on shorter-maturity bonds generally rose more than longer-term bonds. A flattening yield curve means that the difference in yields between longer-term and shorter-term maturities is becoming smaller, and investors generally have less incentive to buy bonds with longer maturities. The graph below shows municipal bond yield changes from the beginning to the end of the period. The yield curve illustrates the relationship among the yields on bonds of the same credit quality but different maturities.
3 Source: Bloomberg.4 Source: Municipal Market Data.
On the economic front, shortly after the period began, the Federal Reserve Board (the "Fed") reduced the federal funds rate, a benchmark for the market's interest rate levels, by a quarter of a percentage point to 1% on June 25, 2003. The market had anticipated a larger rate reduction and was surprised by the degree that the Fed's views on the US economy and its recovery had improved. As a result, investors pulled money out of bonds, rapidly driving the prices on bonds lower due to this lower demand. Since bond yields move in the opposite direction from prices, municipal bond yields rose in the third calendar quarter of 2003.
AAA Municipal bond yield curve (as of 5/30/03 and 5/28/04) |
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Maturity |
This chart is not intended to represent the yield of any Scudder fund. Past performance is no guarantee of future results.
Source: Municipal Market Data.
The Fed made no other changes to the federal funds rate for the remainder of the fund's fiscal period. In statements released in August, September and October, the Fed stated that while areas of the economy were progressing, improvement was still needed before a full recovery would be reached, and it was likely that the federal funds rate would remain unchanged.
Near the end of 2003 and moving into early 2004, the economy continued to make headway as reports on manufacturing, housing and economic growth were strong. Still, there remained some doubts as to whether it was in a full recovery, as employment figures remained less robust. In the final months of the period, the Fed began to send signals that the economy was in full recovery and inflation was becoming a greater concern, and that "measured" increases in the federal funds rate were more imminent.
Q: Will you discuss municipal bond supply and demand in the period and its importance in the bond market?
A: Throughout much of 2003, states deluged the market with record levels of new issues, which were brought to market to help make up for revenue shortfalls and refinance old debt at lower rates, which resulted in record supply levels. However, as states completed much of the refinancing and new issuance that they needed, supply became somewhat less abundant toward the final months of 2003. Overall, issuance levels heightened again in 2004, boosted by the issuance of $7.9 billion in California Economic Recovery bonds - the largest municipal bond issuance in history. In addition, demand was solid in the first half of the period but lessened in the first quarter of 2004.
Supply and demand factors are important because they are one way a bond's price can be driven higher or lower. High demand or low supply can cause a bond's price to rise, while lessened demand or a flood of supply can cause a bond's price to decline. A bond's yield moves in the opposite direction of its price.
Q: How did Scudder Managed Municipal Bond Fund perform for the 12-month period ended May 31, 2004?
A: Scudder Managed Municipal Bond Fund posted slightly negative results in the period but outpaced its average peer. The fund's total return of -0.31% (Class A shares, unadjusted for sales charges, which, if included, would have reduced performance) outperformed that of its average peer in the Lipper General Municipal Debt Funds category, which lost -0.53%.5 The fund underperformed its benchmark, the unmanaged Lehman Brothers Municipal Bond Index, which returned -0.03%. Past performance is no guarantee of future results. (Please see pages 4 through 8 for the performance of other share classes and more complete performance information.)
5 The Lipper General Municipal Debt Funds category includes funds that invest primarily in municipal debt issues in the top 4 credit ratings.Q: How was the fund positioned, and how did this positioning contribute to its performance for the annual period ended May 31, 2004?
A: Our overall selection of premium callable bonds helped boost returns.6 For the same maturity, premium callable bonds offered similar yields as noncallable bonds, but with a shorter duration.7 Essentially, during the period, premium callable bonds showed a more favorable trade-off of risk and return than noncallable bonds.
6 A callable bond can be redeemed by the issuer prior to its maturity, while a noncallable bond cannot. When a bond is trading at a premium, the bond's dollar value is higher than its face value, or the principal amount received at maturity.Returns were held back due to an underweight in high-yield bonds, which outperformed during the period, as investors sought higher yields in the low-interest-rate environment. Overall, we believe municipal bond valuations relative to Treasuries and agencies are attractive throughout the yield curve.
7 Duration is a measure of bond price volatility. Duration can be defined as the approximate percentage change in price for a one-percentage-point change in market interest rate levels. A duration of 5, for example, means that if interest rates fall one percentage point, the price of a bond should rise by approximately 5%, and the price should fall by 5% for a one-percentage-point rise in interest rates. Bonds with a shorter duration are typically not as sensitive to interest rate movements as are bonds with a longer duration. They will, therefore, experience less price erosion in a rising-interest-rate environment.The views expressed in this report reflect those of the portfolio managers only through the end of the period of the report as stated on the cover. The managers' views are subject to change at any time based on market and other conditions and should not be construed as a recommendation.
Portfolio Composition | 5/31/04 | 5/31/03 |
Revenue Bonds | 58% | 62% |
General Obligation Bonds | 23% | 21% |
US Government Secured | 10% | 8% |
Lease Obligations | 9% | 9% |
100% | 100% |
Quality | 5/31/04 | 5/31/03 |
AAA | 72% | 72% |
AA | 10% | 10% |
A | 4% | 9% |
BBB | 8% | 4% |
Not Rated | 6% | 5% |
100% | 100% |
Effective Maturity | 5/31/04 | 5/31/03 |
0 < 5 years | 18% | 16% |
5 < 10 years | 43% | 40% |
10 < 15 years | 23% | 28% |
Greater than 15 years | 16% | 16% |
100% | 100% |
Weighted average effective maturity: 10.22 years and 10.40 years, respectively.
Top Five State Allocations | 5/31/04 | 5/31/03 |
California | 13% | 12% |
Illinois | 13% | 13% |
Texas | 9% | 9% |
New Jersey | 7% | 6% |
New York | 7% | 7% |
Portfolio composition, quality, effective maturity and state allocations are subject to change.
For more complete details about the Fund's investment portfolio, see page 17. A quarterly Fact Sheet is available upon request. Information concerning portfolio holdings of the Fund as of month end is available upon request on the 16th of the following month. Please see the Account Management Resources section for contact information.
Principal Amount ($) | Value ($) | |
Municipal Investments 100.0% | ||
Alabama 0.1% | ||
Phoenix County, AL, Industrial Development Revenue, Industrial Development Board, AMT, 6.35%, 5/15/2035 | 4,000,000 | 4,133,480 |
Alaska 2.1% | ||
Anchorage, AK, Core City GO, 5.5%, 7/1/2021 (b) | 3,860,000 | 4,135,951 |
Anchorage, AK, Electric Revenue, 6.5%, 12/1/2015 (b) | 5,000,000 | 6,008,000 |
Anchorage, AK, State GO: | ||
5.5%, 7/1/2019 (b) | 2,500,000 | 2,698,125 |
5.5%, 7/1/2020 (b) | 2,500,000 | 2,689,300 |
North Slope Borough, AK, County (GO) Lease, Series B, Zero Coupon, 6/30/2011 (b) | 5,000,000 | 3,726,300 |
North Slope Borough, AK, Other GO: | ||
Series B, Zero Coupon, 6/30/2004 (b) | 30,500,000 | 30,465,230 |
Series B, Zero Coupon, 6/30/2005 (b) | 43,800,000 | 43,061,094 |
92,784,000 | ||
Arizona 1.5% | ||
Arizona, School District GO, School Facilities Board Revenue: | ||
Series B, 5.25%, 9/1/2017 (b) | 6,500,000 | 6,908,395 |
5.5%, 7/1/2014 | 5,000,000 | 5,502,000 |
5.5%, 7/1/2015 | 3,000,000 | 3,248,400 |
5.5%, 7/1/2016 | 5,000,000 | 5,414,000 |
Arizona, Water & Sewer Revenue, Infrastructure Financing Authority: | ||
Series A, Prerefunded, 5.375%, 10/1/2016 | 3,540,000 | 3,939,135 |
Series A, Prerefunded, 5.375%, 10/1/2017 | 2,280,000 | 2,537,070 |
Series A, Prerefunded, 5.375%, 10/1/2018 | 2,200,000 | 2,448,050 |
Mesa, AZ, Electric Revenue: | ||
5.25%, 7/1/2016 (b) | 7,500,000 | 8,177,175 |
5.25%, 7/1/2017 (b) | 10,000,000 | 10,885,500 |
Phoenix, AZ, Transportation/Tolls Revenue, Series A, Zero Coupon, 7/1/2012 (b) | 4,675,000 | 3,335,800 |
Phoenix, AZ, Water & Sewer Revenue, Civic Improvement Corp., Prerefunded, 6.0%, 7/1/2011 (b) | 4,105,000 | 4,727,195 |
Scottsdale, AZ, Other GO: | ||
5.375%, 7/1/2014 | 2,680,000 | 2,956,442 |
5.375%, 7/1/2015 | 2,635,000 | 2,871,491 |
Tucson, AZ, Water & Sewer Revenue: | ||
5.5%, 7/1/2015 (b) | 1,430,000 | 1,580,436 |
5.5%, 7/1/2018 (b) | 4,100,000 | 4,454,404 |
68,985,493 | ||
Arkansas 1.0% | ||
Jonesboro, AR, Hospital & Healthcare Revenue, Healthcare Facilities Authority, Bernard's Regional Medical Center, Series A, 5.8%, 7/1/2012 (b) | 4,025,000 | 4,364,308 |
North Little Rock, AR, Electric Revenue: | ||
Series A, 6.5%, 7/1/2010 (b) | 19,750,000 | 22,962,732 |
Series A, 6.5%, 7/1/2015 (b) | 13,080,000 | 15,604,440 |
42,931,480 | ||
California 12.9% | ||
Alameda County, CA, County (GO) Lease, Santa Rita Jail Project, ETM, 5.375%, 6/1/2009 (b) | 5,000,000 | 5,351,600 |
Banning, CA, Water & Sewer Revenue, 1989 Water System Improvement Project, 8.0%, 1/1/2019 (b) | 960,000 | 1,250,208 |
Banning, CA, Water & Sewer Revenue, Water System Reference & Improvement Project, 8.0%, 1/1/2019 (b) | 1,080,000 | 1,344,676 |
California, Electric Revenue, Department of Water Resources and Power Supply: | ||
Series A, 5.25%, 5/1/2020 | 2,000,000 | 2,040,620 |
Series A, 5.375%, 5/1/2021 | 5,000,000 | 5,137,100 |
Series A, 5.375%, 5/1/2022 | 10,665,000 | 10,918,827 |
Series A, 5.875%, 5/1/2016 | 20,000,000 | 21,927,800 |
California, Electric Revenue, Department Water Supply, Inverse Floater, Series 309, 9.661%, 5/1/2018* (b) | 5,625,000 | 6,328,856 |
California, General Obligation, Economic Recovery, Inverse Floater, Series 926, 9.05%, 7/1/2015* | 5,977,500 | 7,056,558 |
California, General Obligation, Economic Recovery, Inverse Floater, Series R-278, 8.775%, 7/1/2015* (b) | 8,500,000 | 10,217,170 |
California, Golden State Tobacco Securitization Corp., California Tobacco Settlement Revenue, Series A-1, 6.625%, 6/1/2040 | 27,295,000 | 23,632,557 |
California, Higher Education Revenue: | ||
5.25%, 11/1/2020 (b) | 6,315,000 | 6,596,018 |
5.25%, 11/1/2021 (b) | 4,000,000 | 4,163,160 |
California, Higher Education Revenue, Marymount University, Zero Coupon, 10/1/2014 (b) | 1,000,000 | 621,960 |
California, Public Works Board, Lease Revenue, Department of Mental Health: | ||
Series A, 5.5%, 6/1/2021 | 5,275,000 | 5,499,662 |
Series A, 5.5%, 6/1/2022 | 1,400,000 | 1,452,920 |
California, Senior Care Revenue, Statewide Community Development Authority, California Lutheran Homes, ETM, 5.5%, 11/15/2008 | 2,250,000 | 2,413,485 |
California, Special Assessment Revenue, Golden State TOB Securitization Corp.: | ||
Series B, 5.5%, 6/1/2043 | 9,950,000 | 9,662,544 |
Series B, 5.625%, 6/1/2038 | 37,265,000 | 37,041,037 |
Series 2003-A-1, 6.75%, 6/1/2039 | 47,520,000 | 41,892,682 |
California, State (REV) Lease, 5.25%, 12/1/2020 (b) | 22,040,000 | 22,874,214 |
California, State (REV) Lease, Public Works Board, Department of Corrections: | ||
Series C, 5.5%, 6/1/2020 | 5,000,000 | 5,166,300 |
Series C, 5.5%, 6/1/2021 | 2,500,000 | 2,569,850 |
California, State Agency (GO) Lease, Series A, 6.3%, 12/1/2006 (b) | 8,095,000 | 8,880,620 |
California, State GO: | ||
5.25%, 2/1/2017 | 17,450,000 | 18,177,316 |
5.25%, 2/1/2021 | 12,000,000 | 12,257,640 |
5.5%, 3/1/2015 (b) (c) | 20,000,000 | 21,526,800 |
6.25%, 10/1/2007 (b) (c) | 4,000,000 | 4,451,320 |
6.25%, 4/1/2008 (b) (c) | 5,000,000 | 5,592,000 |
6.6%, 2/1/2009 (b) (c) | 15,600,000 | 17,823,312 |
California, State Universary Revenue: | ||
Series A, 5.125%, 5/15/2017 (b) | 10,000,000 | 10,543,500 |
Series A, 5.125%, 5/15/2018 (b) | 5,000,000 | 5,233,950 |
California, Water & Sewer Revenue, Series W, 5.5%, 12/1/2015 | 3,390,000 | 3,673,540 |
Foothill, CA: | ||
Series A, ETM, Zero Coupon, 1/1/2015 | 11,000,000 | 6,742,560 |
Series A, ETM, Zero Coupon, 1/1/2017 | 5,000,000 | 2,716,300 |
Foothill, CA, Transportation/Tolls Revenue, Eastern Corridor Agency: | ||
Series A, ETM, Step-up Coupon, 0% to 1/1/2005, 7.05% to 1/1/2009 | 5,000,000 | 5,601,800 |
Series A, Prerefunded, Step-up Coupon, 0.0% to 1/1/2005, 7.1% to 1/1/2011 | 4,000,000 | 4,648,040 |
Series A, Prerefunded, Step-up Coupon, 0.0% to 1/1/2005, 7.1% to 1/1/2012 | 4,000,000 | 4,648,040 |
Series A, Prerefunded, Step-up Coupon, 0.0% to 1/1/2005, 7.15% to 1/1/2014 | 6,250,000 | 7,276,562 |
Series A, ETM, Zero Coupon, 1/1/2018 | 21,890,000 | 11,180,099 |
Series A, Prerefunded, 6.0%, 1/1/2016 | 20,400,000 | 23,330,664 |
Los Angeles County, CA, County (GO) Lease: | ||
Zero Coupon, 9/1/2007 | 4,030,000 | 3,601,289 |
Zero Coupon, 9/1/2009 | 5,425,000 | 4,343,146 |
Los Angeles County, CA, County (GO) Lease, Capital Asset Leasing Corp., 6.0%, 12/1/2006 (b) | 9,000,000 | 9,815,850 |
Los Angeles, CA, Airport Revenue, Regional Airports Improvement Corporation Lease, AMT, Series C, 7.5%, 12/1/2024 | 2,500,000 | 2,074,375 |
Los Angeles, CA, Higher Education Revenue, Unified School District, Inverse Floater: | ||
Series PA-117, 144A, 9.16%, 1/1/2011* (b) | 1,375,000 | 1,499,204 |
144A, 9.16%, 7/1/2019* (b) | 5,000,000 | 5,519,850 |
Los Angeles, CA, Sales & Special Tax Revenue, Metropolitan Transportation Authority, Series B, 5.25%, 7/1/2018 (b) | 7,470,000 | 7,864,266 |
Los Angeles, CA, School District GO, Series A, 5.375%, 7/1/2018 (b) | 16,575,000 | 17,716,852 |
Los Angeles, CA, School District GO, Unified School District: | ||
5.75%, 7/1/2015 (b) | 2,000,000 | 2,271,580 |
5.75%, 7/1/2016 (b) | 17,000,000 | 19,330,530 |
Los Angeles, CA, State GO, Sanitation Distribution Financing Authority Revenue, Inverse Floater, Series 826, 144A, 8.69%*, 10/1/2021 (b) | 10,000,000 | 10,500,300 |
Los Angeles, CA, Water & Power Revenue, Power Systems, Series A-2, 5.0%, 7/1/2018 | 4,000,000 | 4,137,160 |
Madera County, CA, Hospital & Healthcare Revenue, Valley Childrens Hospital, 6.5%, 3/15/2010 (b) | 2,840,000 | 3,264,239 |
Murrieta Valley, CA, School District GO, Unified School District, Series A, Zero Coupon, 9/1/2014 (b) | 4,235,000 | 2,644,122 |
Oakland, CA, Special Assessment Revenue, Oakland Convention Centers, 5.5%, 10/1/2014 (b) | 2,000,000 | 2,220,600 |
Roseville, CA, School District GO, Junior High, Series B, Zero Coupon, 8/1/2015 (b) | 1,000,000 | 588,250 |
San Diego, CA, Industrial Development Revenue, San Diego Gas & Electric Company, Series A, 6.1%, 9/1/2019 (b) | 14,600,000 | 14,749,212 |
San Diego, CA, School District GO, Series A, Zero Coupon, 7/1/2014 (b) | 3,420,000 | 2,151,659 |
San Diego, CA, Water & Sewer Revenue: | ||
5.632%, 4/25/2007 (b) | 6,300,000 | 6,837,075 |
5.681%, 4/22/2009 (b) | 4,500,000 | 4,976,235 |
San Francisco, CA, Sales & Special Tax Revenue, Bay Area Rapid Transit District, 6.75%, 7/1/2010 (b) | 2,000,000 | 2,358,540 |
San Joaquin County, CA, County (GO) Lease, Facilities Project, 5.5%, 11/15/2013 (b) | 3,895,000 | 4,327,189 |
San Joaquin Hills, CA, Transportation/Tolls Revenue, Transportation Corridor Agency, Toll Road Revenue: | ||
Series A, Zero Coupon, 1/15/2012 (b) | 5,000,000 | 3,599,150 |
Series A, Zero Coupon, 1/15/2013 (b) | 35,295,000 | 24,028,836 |
Series A, Zero Coupon, 1/15/2014 (b) | 14,905,000 | 9,578,102 |
Ukiah, CA, School District (GO) Lease, Zero Coupon, 8/1/2015 (b) | 2,000,000 | 1,176,500 |
580,637,978 | ||
Colorado 2.6% | ||
Colorado, Hospital & Healthcare Revenue, Portercare Adventist Health Project, 6.5%, 11/15/2031 | 3,000,000 | 3,236,880 |
Colorado, Senior Care Revenue, Health Facilities Authority: | ||
6.75%, 12/1/2015 | 1,750,000 | 1,814,138 |
6.75%, 12/1/2025 | 4,150,000 | 4,251,716 |
Colorado, Transportation/Tolls Revenue: | ||
Series B, Zero Coupon, 9/1/2014 (b) | 11,295,000 | 6,985,167 |
Series B, Zero Coupon, 9/1/2015 (b) | 21,500,000 | 12,493,865 |
Series B, Zero Coupon, 9/1/2017 (b) | 8,000,000 | 4,113,760 |
Series B, Zero Coupon, 9/1/2018 (b) | 20,560,000 | 9,943,844 |
Series B, Zero Coupon, 9/1/2019 (b) | 36,500,000 | 16,528,660 |
Series B, Zero Coupon, 9/1/2020 (b) | 7,000,000 | 2,976,330 |
Series B, Zero Coupon, 9/1/2034 | 15,200,000 | 1,605,728 |
Series A, 5.75%, 9/1/2014 (b) | 14,700,000 | 16,763,733 |
Colorado, Transportation/Tolls Revenue, Public Highway Authority, Zero Coupon, 9/1/2016 (b) | 5,000,000 | 2,732,600 |
Denver, CO, Airport Revenue: | ||
AMT, Series A, 7.4%, 11/15/2005 | 1,250,000 | 1,295,738 |
AMT, Series A, 7.5%, 11/15/2006 | 1,000,000 | 1,037,040 |
AMT, Series A, Prerefunded, 7.5%, 11/15/2023 | 1,240,000 | 1,298,491 |
AMT, Series A, 7.5%, 11/15/2023 | 5,945,000 | 6,193,857 |
Denver, CO, Airport Revenue, Inverse Floater Rites-PA 762, AMT, 10.629%, 11/15/2013* (b) | 5,000,000 | 6,022,000 |
Denver, CO, Sales & Special Tax Revenue, Urban Renewal Tax Increment Revenue, AMT, 7.5%, 9/1/2004 | 110,000 | 110,112 |
Denver, CO, School District GO: | ||
Series A, 6.5%, 6/1/2010 | 3,225,000 | 3,745,354 |
Series A, 6.5%, 12/1/2010 | 3,000,000 | 3,517,110 |
Douglas County, CO, School District GO: | ||
Series A, 6.5%, 12/15/2016 (b) | 715,000 | 739,102 |
7.0%, 12/15/2013 (b) | 2,500,000 | 3,094,525 |
Mesa County, CO, Residual Revenue, EMT, Zero Coupon, 12/1/2011 | 11,435,000 | 8,423,250 |
118,923,000 | ||
Connecticut 1.2% | ||
Connecticut, Sales & Special Tax Revenue: | ||
Series II, Inverse Floater, 144A, 9.34%, 10/1/2014* (b) | 8,390,000 | 9,933,760 |
Series II, Inverse Floater, 144A, 9.34%, 10/1/2015* (b) | 2,000,000 | 2,296,680 |
Series II, Inverse Floater, 144A, 9.34%, 10/1/2016* (b) | 1,050,000 | 1,289,652 |
Series II, Inverse Floater, 144A, 9.34%, 10/1/2017* (b) | 830,000 | 1,019,439 |
Connecticut, State GO: | ||
Series A, 5.375%, 4/15/2016 | 2,805,000 | 3,025,024 |
Series A, 5.375%, 4/15/2017 | 4,870,000 | 5,218,254 |
Series A, 5.375%, 4/15/2018 | 4,000,000 | 4,275,000 |
Series A, 5.375%, 4/15/2019 | 10,075,000 | 10,726,147 |
Series C, 5.5%, 12/15/2014 | 5,000,000 | 5,642,400 |
5.5%, 12/15/2015 | 5,000,000 | 5,611,750 |
Series B, 5.5%, 6/15/2018 | 1,000,000 | 1,080,530 |
Series E, ETM, 6.0%, 3/15/2012 | 170,000 | 196,899 |
Greenwich, CT, Multi Family Housing Revenue, 6.35%, 9/1/2027 | 2,640,000 | 2,552,616 |
52,868,151 | ||
District of Columbia 0.6% | ||
District of Columbia Series A1, Prerefunded, 6.5%, 6/1/2010 (b) | 1,175,000 | 1,361,132 |
District of Columbia, Core City GO: | ||
Series B2, 5.5%, 6/1/2008 (b) | 3,225,000 | 3,528,892 |
Series B3, 5.5%, 6/1/2009 (b) | 2,840,000 | 3,125,562 |
Series B3, 5.5%, 6/1/2012 (b) | 1,050,000 | 1,169,112 |
Series A1, 6.5%, 6/1/2010 (b) | 1,095,000 | 1,281,632 |
District of Columbia, Water & Sewer Revenue, Public Utility Revenue: | ||
5.5%, 10/1/2023 (b) | 5,000,000 | 5,447,400 |
Series 14, Inverse Floater, 144A, 10.49%, 10/1/2012* (b) | 1,970,000 | 2,569,038 |
Series 15, Inverse Floater, 144A, 10.49%, 10/1/2013* (b) | 3,565,000 | 4,642,307 |
Series 16, Inverse Floater, 144A, 10.49%, 10/1/2014* (b) | 2,750,000 | 3,620,650 |
Series 13, Inverse Floater, 144A, 10.49%, 10/1/2016* (b) | 1,210,000 | 1,579,352 |
28,325,077 | ||
Florida 2.3% | ||
Florida, Industrial Development Revenue, Capital Travel Agency, Seminole Tribe Convention, Series A, 10.0%, 10/1/2033 | 13,250,000 | 16,001,628 |
Florida, State GO, Board of Public Education, Series D, 5.375%, 6/1/2016 | 5,765,000 | 6,199,277 |
Highlands County, FL, Hospital & Healthcare Revenue, Adventist Hospital Health Systems: | ||
5.25%, 11/15/2028 | 5,300,000 | 5,078,195 |
Series A, 6.0%, 11/15/2031 | 7,000,000 | 7,252,770 |
Jacksonville, FL, Health Facilities Authority: | ||
Prerefunded 10/1/2004, 11.5%, 10/1/2012 | 35,000 | 36,198 |
Prerefunded 10/1/2005, 11.5%, 10/1/2012 | 40,000 | 45,173 |
Prerefunded 10/1/2006, 11.5%, 10/1/2012 | 15,000 | 18,137 |
ETM, 11.5%, 10/1/2012 | 85,000 | 131,493 |
Jacksonville, FL, Sales & Special Tax Revenue, Local Government: | ||
5.5%, 10/1/2014 (b) | 3,000,000 | 3,307,140 |
5.5%, 10/1/2015 (b) | 4,730,000 | 5,277,734 |
5.5%, 10/1/2016 (b) | 6,760,000 | 7,540,510 |
5.5%, 10/1/2018 (b) | 5,470,000 | 6,101,511 |
Lee County, FL, Airport Revenue: | ||
AMT, Series 14, Inverse Floater, 144A, 10.7%, 10/1/2013* (b) | 3,960,000 | 4,769,582 |
AMT, Series 14, Inverse Floater, 144A, 10.7%, 10/1/2020* (b) | 1,410,000 | 1,652,901 |
AMT, Series 14, Inverse Floater, 10.95%, 10/1/2015* (b) | 1,500,000 | 1,822,365 |
Miami-Dade County, FL, Sales & Special Tax Revenue: | ||
Series A, Zero Coupon, 10/1/2014 (b) | 2,195,000 | 1,352,010 |
Series A, Zero Coupon, 10/1/2022 (b) | 7,000,000 | 2,590,910 |
Orange County, FL, Health Facilities Authority, Orlando Regional Facilities, Series A, ETM, 6.25%, 10/1/2016 (b) | 710,000 | 848,635 |
Orange County, FL, Hospital & Healthcare Revenue, Health Facilities Authority Orlando Regional Healthcare: | ||
Series A, 6.25%, 10/1/2016 (b) | 290,000 | 343,209 |
Series C, 6.25%, 10/1/2021 (b) | 6,000,000 | 7,019,700 |
Orlando, FL, Electric Revenue, Community Utilities, 6.75%, 10/1/2017 | 3,500,000 | 4,224,325 |
Palm Beach County, FL, Airport Revenue: | ||
5.75%, 10/1/2012 (b) | 5,000,000 | 5,665,150 |
5.75%, 10/1/2013 (b) | 5,000,000 | 5,674,100 |
Sunrise, FL, Water & Sewer Revenue, Utility Systems, 5.5%, 10/1/2018 (b) | 10,000,000 | 11,053,300 |
104,005,953 | ||
Georgia 1.7% | ||
Atlanta, GA, Airport Revenue AMT: | ||
Series B, 5.75%, 1/1/2010 (b) | 4,240,000 | 4,660,650 |
Series B, 5.75%, 1/1/2011 (b) | 1,590,000 | 1,737,934 |
Series C, 6.0%, 1/1/2011 (b) | 7,375,000 | 8,148,711 |
Series C, 6.125%, 1/1/2012 (b) | 7,735,000 | 8,517,318 |
Atlanta, GA, Water & Sewer Revenue, Series A, 5.5%, 11/1/2019 (b) | 13,000,000 | 14,457,300 |
Cobb County, GA, Hospital & Healthcare Revenue, Series A, 5.625%, 4/1/2011 (b) | 2,305,000 | 2,583,928 |
Fulton County, GA, Single Family Housing Revenue: | ||
Series A, AMT, 6.55%, 3/1/2018 (b) | 30,000 | 30,206 |
Series A, 6.6%, 3/1/2028 (b) | 450,000 | 458,087 |
Georgia, Electric Revenue, Inverse Floater, Rites-PA 786, 144A, 11.419%, 1/1/2016* (b) | 4,600,000 | 6,290,868 |
Georgia, Electric Revenue, Municipal Electric Authority Power Revenue: | ||
Series Y, Prerefunded, ETM, 6.4%, 1/1/2013 (b) | 195,000 | 226,305 |
Series Y, 6.4%, 1/1/2013 (b) | 3,305,000 | 3,835,849 |
Series V, 6.5%, 1/1/2012 (b) | 5,000,000 | 5,747,000 |
Series X, 6.5%, 1/1/2012 (b) | 3,500,000 | 4,009,180 |
Series W, 6.6%, 1/1/2018 (b) | 11,270,000 | 13,556,458 |
Georgia, Water & Sewer Revenue, Municipal Electric Authority Power Revenue, Series W, 6.6%, 1/1/2018 (b) | 200,000 | 239,562 |
Macon-Bibb County, GA, Hospital & Healthcare Revenue, Series C, 5.25%, 8/1/2011 (b) | 3,000,000 | 3,300,630 |
77,799,986 | ||
Hawaii 0.2% | ||
Hawaii, Airport Revenue, AMT, Series B, 6.5%, 7/1/2013 (b) | 6,680,000 | 7,590,284 |
Hawaii, State GO, Series CU, Prerefunded, 5.875%, 10/1/2014 (b) | 1,500,000 | 1,709,640 |
9,299,924 | ||
Illinois 12.5% | ||
Chicago, IL, Central Station Project, Series A, Prerefunded, 8.9%, 1/1/2011 | 1,140,000 | 1,147,684 |
Chicago, IL, Core City GO: | ||
Zero Coupon, 1/1/2017 (b) | 20,000,000 | 10,699,600 |
Series B, 5.0%, 1/1/2011 (b) | 1,620,000 | 1,753,456 |
Series B, 5.125%, 1/1/2015 (b) | 9,550,000 | 10,247,914 |
Series A, 5.375%, 1/1/2013 (b) | 15,410,000 | 16,837,582 |
6.25%, 1/1/2011 (b) | 3,000,000 | 3,459,840 |
Chicago, IL, Sales & Special Tax Revenue, 5.375%, 1/1/2014 (b) | 5,000,000 | 5,503,250 |
Chicago, IL, School District (GO) Lease, Board of Education: | ||
Series A, 6.0%, 1/1/2016 (b) | 11,025,000 | 12,629,027 |
Series A, 6.0%, 1/1/2020 (b) | 46,340,000 | 53,248,831 |
Series A, 6.25%, 1/1/2009 (b) | 6,735,000 | 7,597,821 |
Series A, 6.25%, 1/1/2011 (b) | 10,000,000 | 11,532,800 |
Series A, 6.25%, 1/1/2015 (b) | 28,725,000 | 33,273,891 |
Chicago, IL, School District (GO) Lease, Public Housing Revenue: | ||
Series A, 5.25%, 12/1/2008 (b) | 2,655,000 | 2,897,056 |
Series A, 5.25%, 12/1/2009 (b) | 10,420,000 | 11,392,394 |
Series A, 5.25%, 12/1/2011 (b) | 9,705,000 | 10,692,678 |
Chicago, IL, School District (REV) Lease, Board of Education: | ||
Series A, 6.25%, 1/1/2010 (b) | 11,550,000 | 13,184,556 |
6.25%, 12/1/2011 (b) | 1,600,000 | 1,863,520 |
Chicago, IL, School District GO, Board of Education: | ||
Series B, Zero Coupon, 12/1/2009 (b) | 7,615,000 | 6,178,963 |
Series A, Zero Coupon, 12/1/2014 (b) | 2,000,000 | 1,225,720 |
6.0%, 12/1/2016 (b) | 5,000,000 | 5,553,000 |
Chicago, IL, Water & Sewer Revenue: | ||
Zero Coupon, 11/1/2012 (b) | 6,350,000 | 4,402,201 |
Zero Coupon, 11/1/2018 (b) | 5,165,000 | 2,493,714 |
5.375%, 1/1/2013 (b) | 3,215,000 | 3,549,617 |
Cook & Dupage Counties, IL, School District GO, Zero Coupon, 12/1/2009 (b) | 2,860,000 | 2,324,408 |
Cook County, IL, ETM, Zero Coupon, 11/1/2004 (b) | 3,205,000 | 3,187,661 |
Cook County, IL, County GO, 6.5%, 11/15/2014 (b) | 18,560,000 | 22,346,983 |
Cook County, IL, County GO, Inverse Floater, Rites-PA 591, 144A, 11.678%, 11/15/2013* | 10,610,000 | 14,745,990 |
Decatur, IL, Other GO, Zero Coupon, 10/1/2004 (b) | 1,415,000 | 1,408,746 |
Hoffman Estates, IL, Sales & Special Tax Revenue, Tax Increment Revenue: | ||
Zero Coupon, 5/15/2006 | 4,500,000 | 4,199,220 |
Zero Coupon, 5/15/2007 | 15,460,000 | 13,846,440 |
Illinois, Airport Revenue, Metropolitan Pier and Exposition Authority, Series A, Zero Coupon, 6/15/2011 (b) | 895,000 | 668,851 |
Illinois, Educational Facilities Authority: | ||
Series A, ETM, Zero Coupon, 7/1/2004 (b) | 2,860,000 | 2,856,654 |
Series A, ETM, Zero Coupon, 7/1/2005 (b) | 7,100,000 | 6,976,815 |
Illinois, Health Facilities Authority, ETM, 7.0%, 2/15/2009 | 3,570,000 | 3,947,992 |
Illinois Higher Education Revenue, Zero Coupon, 4/1/2015 (b) | 3,300,000 | 1,966,965 |
Illinois, Higher Education Revenue, University Retirement System, Zero Coupon, 10/1/2005 (b) | 7,000,000 | 6,840,050 |
Illinois, Hospital & Healthcare Revenue, Adventist Health System, 5.5%, 11/15/2020 | 10,000,000 | 10,137,100 |
Illinois, Hospital & Healthcare Revenue, Development Finance Authority, Adventist Health System, 5.5%, 11/15/2029 | 5,475,000 | 5,390,083 |
Illinois, Hospital & Healthcare Revenue, Health Facilities Authority: | ||
5.2%, 9/1/2012 | 1,000,000 | 1,031,440 |
6.0%, 8/15/2006 (b) | 1,380,000 | 1,488,951 |
6.0%, 8/15/2007 (b) | 1,460,000 | 1,602,379 |
6.0%, 8/15/2008 (b) | 1,550,000 | 1,721,740 |
6.0%, 8/15/2009 (b) | 1,640,000 | 1,832,585 |
6.25%, 8/15/2013 (b) | 3,400,000 | 3,940,430 |
Series A, 6.25%, 1/1/2015 (b) | 17,000,000 | 19,449,870 |
6.4%, 6/1/2008 (b) | 1,350,000 | 1,514,106 |
Illinois, Metropolitan Pier and Exposition Authority, Series A, ETM, Zero Coupon, 6/15/2011 (b) | 2,900,000 | 2,182,250 |
Illinois, Pollution Control Revenue, Commonwealth Edison Co. Project, Series D, 6.75%, 3/1/2015 (b) | 16,780,000 | 17,675,549 |
Illinois, Pollution Control Revenue, Development Finance Authority Pollution Control, 5.85%, 1/15/2014 (b) | 5,000,000 | 5,611,850 |
Illinois, Project Revenue, Zero Coupon, 1/1/2014 (b) | 17,975,000 | 11,490,519 |
Illinois, Project Revenue, Metropolitan Pier and Exposition Authority, Zero Coupon, 6/15/2016 (b) | 10,000,000 | 5,554,900 |
Illinois, Sales & Special Tax Revenue: | ||
6.0%, 6/15/2010 | 3,500,000 | 3,974,320 |
6.25%, 12/15/2011 (b) | 3,000,000 | 3,495,390 |
6.25%, 12/15/2020 (b) | 6,975,000 | 8,206,855 |
Series A, 6.5%, 12/15/2007 (b) | 4,765,000 | 5,365,580 |
Series A, 6.5%, 12/15/2008 (b) | 5,255,000 | 6,003,417 |
Series P, 6.5%, 6/15/2013 | 2,100,000 | 2,443,707 |
Illinois, Sales & Special Tax Revenue, Development Finance Authority, 7.5%, 11/15/2013 | 3,750,000 | 3,922,087 |
Illinois, Sales & Special Tax Revenue, Metropolitan Pier and Exposition Authority, Zero Coupon, 6/15/2013 (b) | 7,565,000 | 5,038,063 |
Illinois, Special Assessment Revenue, Metropolitan Pier and Exposition Authority, Series A, Zero Coupon, 12/15/2018 (b) | 6,660,000 | 3,197,533 |
Illinois, State GO, 5.5%, 5/1/2016 (b) | 2,500,000 | 2,761,525 |
Illinois, Transportation/Tolls Revenue, Inverse Floater Rites-PA 584, Regional Transportation Authority, 144A, 11.921%, 11/1/2021* | 12,900,000 | 18,903,531 |
Illinois, Water & Sewer Revenue, Northwest Suburban Municipal Joint Action Water Agency, 6.45%, 5/1/2007 (b) | 2,575,000 | 2,850,808 |
Joliet, IL, Higher Education Revenue, College Assistance Corp., North Campus Extension Center Project, 6.7%, 9/1/2012 (b) | 2,500,000 | 2,900,525 |
Kane Cook & Du Page County, IL, School District GO: | ||
Series B, Zero Coupon, 1/1/2011 (b) | 1,040,000 | 793,832 |
Series B, Zero Coupon, 1/1/2012 (b) | 1,300,000 | 937,690 |
Series B, Zero Coupon, 1/1/2013 (b) | 4,595,000 | 3,127,127 |
Kane County, IL, School District GO, Aurora West Side, Series A, 6.5%, 2/1/2010 (b) | 1,775,000 | 2,048,190 |
Lake Cook Kane & McHenry Counties, IL, School District GO, 6.3%, 12/1/2017 (b) | 1,885,000 | 2,230,502 |
Lake County, IL, Higher Education Revenue, District No. 117: | ||
Series B, Zero Coupon, 12/1/2013 (b) | 5,880,000 | 3,826,704 |
Series B, Zero Coupon, 12/1/2014 (b) | 5,985,000 | 3,669,463 |
Macon & Decatur Counties, IL, County (GO) Lease, 6.5%, 1/1/2006 (b) | 1,500,000 | 1,603,605 |
Northern, IL, Higher Education Revenue, University, Auxiliary Facilities System: | ||
Zero Coupon, 10/1/2005 (b) | 1,865,000 | 1,822,385 |
Zero Coupon, 10/1/2007 (b) | 1,865,000 | 1,688,347 |
Oak Lawn, IL, Water & Sewer Revenue: | ||
Zero Coupon, 10/1/2004 (b) | 1,295,000 | 1,287,852 |
Zero Coupon, 10/1/2005 (b) | 1,295,000 | 1,262,301 |
Zero Coupon, 10/1/2006 (b) | 1,295,000 | 1,219,126 |
Rosemont, IL, Other GO, Tax Increment: | ||
ETM, Zero Coupon, 12/1/2004 (b) | 6,000,000 | 5,961,240 |
Zero Coupon, 12/1/2005 (b) | 4,455,000 | 4,332,888 |
ETM, Zero Coupon, 12/1/2007 (b) | 2,655,000 | 2,385,040 |
ETM, Zero Coupon, 12/1/2005 (b) | 7,060,000 | 6,866,485 |
Skokie, IL, Other GO, Park District, Series B, Zero Coupon, 12/1/2011 (b) | 3,000,000 | 2,193,660 |
St. Charles, IL, Multi Family Housing Revenue, Wessel Court Project, AMT, 7.6%, 4/1/2024 | 3,310,000 | 3,303,645 |
University Park, IL, Sales & Special Tax Revenue, Governors Gateway Industrial Park, 8.5%, 12/1/2011 | 1,980,000 | 2,042,588 |
Will County, IL, Community Unit School District No. 201-U, ETM, Zero Coupon, 12/15/2006 (b) | 3,725,000 | 3,499,749 |
Will County, IL, County GO: | ||
Series B, Zero Coupon, 12/1/2011 (b) | 4,145,000 | 3,026,016 |
Series B, Zero Coupon, 12/1/2012 (b) | 2,480,000 | 1,709,067 |
Series B, Zero Coupon, 12/1/2013 (b) | 12,030,000 | 7,815,290 |
Series B, Zero Coupon, 12/1/2014 (b) | 10,255,000 | 6,280,982 |
Will County, IL, School District GO, Community Unit School District No. 365-U, Series B, Zero Coupon, 11/1/2015 (b) | 8,000,000 | 4,622,000 |
Winnebago County, IL, School District GO, District No.122 Harlem-Loves: | ||
6.55%, 6/1/2009 (b) | 1,675,000 | 1,921,995 |
6.55%, 6/1/2010 (b) | 1,825,000 | 2,120,942 |
559,967,694 | ||
Indiana 1.5% | ||
Indiana, Electric Revenue, Municipal Power Agency: | ||
Series B, 5.5%, 1/1/2016 (b) | 10,160,000 | 11,275,162 |
Series B, 6.0%, 1/1/2012 (b) | 1,750,000 | 2,003,627 |
Indiana, Health Facilities Financing Authority, ETM, 6.0%, 7/1/2010 (b) | 1,035,000 | 1,176,723 |
Indiana, Higher Education Revenue, Series H, Zero Coupon, 8/1/2006 (b) | 6,000,000 | 5,701,020 |
Indiana, Hospital & Healthcare Revenue, Health Facilities Finance Authority, Greenwood Village South Project, 5.625%, 5/15/2028 | 2,100,000 | 1,814,799 |
Indiana, Hospital & Healthcare Revenue, Health Facilities Financing Authority: | ||
Series D, 5.75%, 11/15/2012 | 4,660,000 | 5,036,481 |
Prerefunded, ETM, 6.0%, 7/1/2004 (b) | 850,000 | 853,587 |
ETM, 6.0%, 7/1/2004 (b) | 455,000 | 456,920 |
Prerefunded, ETM, 6.0%, 7/1/2005 (b) | 1,535,000 | 1,607,513 |
ETM, 6.0%, 7/1/2005 (b) | 485,000 | 508,130 |
Prerefunded, ETM, 6.0%, 7/1/2006 (b) | 1,630,000 | 1,755,738 |
ETM, 6.0%, 7/1/2006 (b) | 515,000 | 554,727 |
Prerefunded, ETM, 6.0%, 7/1/2007 (b) | 1,725,000 | 1,893,515 |
ETM, 6.0%, 7/1/2007 (b) | 545,000 | 598,241 |
Prerefunded, ETM, 6.0%, 7/1/2008 (b) | 945,000 | 1,052,409 |
ETM, 6.0%, 7/1/2008 (b) | 300,000 | 333,486 |
Prerefunded, ETM, 6.0%, 7/1/2009 (b) | 980,000 | 1,103,294 |
ETM, 6.0%, 7/1/2009 (b) | 310,000 | 346,995 |
ETM, 6.0%, 7/1/2010 | 325,000 | 366,460 |
Prerefunded, ETM, 6.0%, 7/1/2011 (b) | 1,100,000 | 1,255,771 |
ETM, 6.0%, 7/1/2011 (b) | 345,000 | 393,393 |
Prerefunded, ETM, 6.0%, 7/1/2012 (b) | 1,165,000 | 1,342,057 |
ETM, 6.0%, 7/1/2012 (b) | 370,000 | 421,119 |
Prerefunded, ETM, 6.0%, 7/1/2013 (b) | 1,230,000 | 1,416,923 |
ETM, 6.0%, 7/1/2013 (b) | 390,000 | 445,591 |
Prerefunded, ETM, 6.0%, 7/1/2014 (b) | 1,310,000 | 1,512,199 |
ETM, 6.0%, 7/1/2014 (b) | 410,000 | 469,454 |
Prerefunded, ETM, 6.0%, 7/1/2015 (b) | 1,385,000 | 1,599,522 |
ETM, 6.0%, 7/1/2015 (b) | 440,000 | 501,037 |
Prerefunded, ETM, 6.0%, 7/1/2016 (b) | 1,470,000 | 1,696,880 |
ETM, 6.0%, 7/1/2016 (b) | 465,000 | 528,779 |
Prerefunded, ETM, 6.0%, 7/1/2017 (b) | 1,560,000 | 1,800,427 |
ETM, 6.0%, 7/1/2017 (b) | 490,000 | 556,626 |
Prerefunded, ETM, 6.0%, 7/1/2018 (b) | 1,655,000 | 1,910,979 |
ETM, 6.0%, 7/1/2018 (b) | 520,000 | 592,244 |
Indiana, Transportation/Tolls Revenue, Series A, 7.25%, 6/1/2015 | 3,120,000 | 3,874,447 |
Indiana, Transportation/Tolls Revenue, Transportation Authority: | ||
Series A, 5.75%, 6/1/2012 (b) | 4,550,000 | 5,167,390 |
Series A, ETM, 7.25%, 6/1/2015 | 880,000 | 1,050,438 |
Indiana, Transportation/Tolls Revenue, Transportation Finance Authority, Series A, 5.75%, 6/1/2012 (b) | 450,000 | 503,113 |
Merrillville, IN, School District (REV) Lease, Multiple School Building Corp., First Mortgage, Zero Coupon, 1/15/2011 (b) | 4,000,000 | 3,047,720 |
68,524,936 | ||
Iowa 0.6% | ||
Iowa, Project Revenue: | ||
5.5%, 2/15/2015 (b) | 10,530,000 | 11,695,776 |
5.5%, 2/15/2016 (b) | 6,645,000 | 7,382,064 |
5.5%, 2/15/2020 (b) | 8,000,000 | 8,850,800 |
27,928,640 | ||
Kansas 1.0% | ||
Johnson County, KS, School District GO, Series B, 5.5%, 9/1/2015 (b) | 1,860,000 | 2,081,228 |
Kansas, Pollution Control Revenue, Development Financing Authority: | ||
Series II, 5.5%, 5/1/2014 | 2,000,000 | 2,244,040 |
Series II, 5.5%, 11/1/2015 | 1,000,000 | 1,113,610 |
Series II, 5.5%, 11/1/2017 | 1,000,000 | 1,111,120 |
Kansas, Transportation/Tolls Revenue, Development Financing Authority, Series A, Prerefunded, 5.75%, 9/1/2013 | 8,235,000 | 9,322,679 |
Kansas City, KS, Electric Revenue, Utility Systems Revenue: | ||
Zero Coupon, 9/1/2004 (b) | 2,640,000 | 2,631,288 |
Zero Coupon, 9/1/2006 (b) | 1,375,000 | 1,303,514 |
Kansas City, KS, Utility Systems Revenue: | ||
ETM, Zero Coupon, 9/1/2004 (b) | 3,575,000 | 3,563,309 |
ETM, Zero Coupon, 9/1/2005 (b) | 5,300,000 | 5,189,071 |
Overland Park, KS, Industrial Development Revenue, Development Corp., Series A, 7.375%, 1/1/2032 | 12,000,000 | 11,977,680 |
Saline County, KS, School District GO, 5.5%, 9/1/2017 (b) | 3,240,000 | 3,507,268 |
44,044,807 | ||
Kentucky 1.9% | ||
Kentucky, Hospital & Healthcare Revenue, Economic Development Finance Authority: | ||
Series C, Step-up Coupon, 0% to 10/1/2005, 5.6% to 10/1/2012 (b) | 13,670,000 | 14,238,399 |
Series C, Step-up Coupon, 0% to 10/1/2005, 5.7% to 10/1/2013 (b) | 8,245,000 | 8,625,836 |
Series C, Step-up Coupon, 0% to 10/1/2005, 5.8% to 10/1/2014 | 5,130,000 | 5,367,468 |
Series C, Step-up Coupon, 0% to 10/1/2005, 5.85% to 10/1/2015 (b) | 5,235,000 | 5,415,555 |
Series C, Step-up Coupon, 0% to 10/1/2005, 5.9% to 10/1/2016 (b) | 6,500,000 | 6,674,525 |
Kentucky, Project Revenue: | ||
5.5%, 8/1/2017 (b) | 6,770,000 | 7,554,914 |
5.5%, 8/1/2018 (b) | 5,000,000 | 5,583,600 |
5.5%, 8/1/2019 (b) | 6,870,000 | 7,655,241 |
5.5%, 8/1/2020 (b) | 4,320,000 | 4,799,131 |
Kentucky, Public Housing Revenue, Property and Buildings Project No. 69, Series A, 5.375%, 8/1/2016 (b) | 5,000,000 | 5,347,600 |
Kentucky, State (REV) Lease, Property and Buildings Project No. 68, Prerefunded, 5.75%, 10/1/2015 | 5,375,000 | 6,088,209 |
Kentucky, State Agency (REV) Lease, Property and Buildings Project No. 71: | ||
5.5%, 8/1/2014 | 4,250,000 | 4,747,802 |
5.5%, 8/1/2015 | 4,000,000 | 4,439,000 |
86,537,280 | ||
Louisiana 0.4% | ||
Jefferson, LA, Sales & Special Tax Revenue: | ||
5.75%, 12/1/2015 (b) | 2,335,000 | 2,618,656 |
5.75%, 12/1/2016 (b) | 2,465,000 | 2,758,606 |
5.75%, 12/1/2017 (b) | 2,610,000 | 2,910,750 |
5.75%, 12/1/2018 (b) | 2,760,000 | 3,069,645 |
Louisiana, Public Facilities Authority, Centenary College Louisiana Project: | ||
Prerefunded, 5.75%, 2/1/2012 | 1,000,000 | 1,105,590 |
Prerefunded, 5.9%, 2/1/2017 | 1,000,000 | 1,110,780 |
New Orleans, LA, Other GO, Zero Coupon, 9/1/2005 (b) | 2,500,000 | 2,447,975 |
Orleans, LA, Sales & Special Tax Revenue, Levee, District Improvement Project, 5.95%, 11/1/2014 (b) | 1,460,000 | 1,588,757 |
17,610,759 | ||
Maine 0.1% | ||
Maine, Hospital & Healthcare Revenue, Health and Educational Facilities Authority, Series B, Prerefunded, 7.1%, 7/1/2014 (b) | 55,000 | 56,392 |
Maine, Transportation/Tolls Revenue, Turnpike Authority, 5.625%, 7/1/2017 (b) | 4,350,000 | 4,760,335 |
4,816,727 | ||
Maryland 1.2% | ||
Baltimore, MD, Sales & Special Tax Revenue, Series A, 5.9%, 7/1/2012 (b) | 3,100,000 | 3,551,577 |
Maryland, Hospital & Healthcare Revenue, University of Maryland Medical System, 6.75%, 7/1/2030 | 4,000,000 | 4,502,920 |
Maryland, Project Revenue, Economic Development Corp., Chesapeake Bay, Series B, 7.75%, 12/1/2031 (c) | 37,000,000 | 36,218,190 |
Northeast, MD, Resource Recovery Revenue, Waste Disposal Authority: | ||
7.2%, 1/1/2006 (b) | 4,940,000 | 5,063,302 |
7.2%, 1/1/2007 (b) | 3,390,000 | 3,474,750 |
52,810,739 | ||
Massachusetts 5.2% | ||
Massachusetts, Airport Revenue, AMT, Port Authority, Delta Air Lines, Inc. Project, Series A, 5.5%, 1/1/2017 (b) | 4,000,000 | 4,169,720 |
Massachusetts, Airport Revenue, Port Authority, Series B, AMT, 5.5%, 7/1/2012 (b) | 3,025,000 | 3,240,592 |
Massachusetts, Higher Education Revenue, 5.5%, 7/1/2022 | 9,000,000 | 9,969,480 |
Massachusetts, Higher Education Revenue, Building Authority Project: | ||
Series 2, 5.5%, 11/1/2017 (b) | 1,105,000 | 1,195,842 |
Series 2, 5.5%, 11/1/2018 (b) | 1,400,000 | 1,511,818 |
Massachusetts, Higher Education Revenue, College Building Authority Project, Series A, 7.5%, 5/1/2014 | 5,500,000 | 6,959,975 |
Massachusetts, Higher Education Revenue, Health & Educational Facilities Authority, Massachusetts Institute of Technology, Series I-1, 5.2%, 1/1/2028 | 10,500,000 | 10,974,810 |
Massachusetts, Hospital & Healthcare Revenue, Health & Educational Facilities Authority, Massachusetts General, Hospital, Series F, 6.25%, 7/1/2012 (b) | 1,000,000 | 1,132,910 |
Massachusetts, Industrial Development Revenue, Development Finance Agency, Series A, 7.1%, 7/1/2032 | 5,000,000 | 4,834,600 |
Massachusetts, Port Authority Revenue, ETM, 13.0% 7/1/2013 | 1,355,000 | 1,954,425 |
Massachusetts, Port Authority Revenue, AMT, Port Authority, Delta Air Lines, Inc. Project, Series A, 5.5%, 1/1/2018 (b) | 5,000,000 | 5,196,050 |
Massachusetts, Project Revenue, 9.2%, 12/15/2031 | 17,000,000 | 19,480,130 |
Massachusetts, Project Revenue, Health & Educational Facilities Authority, Series B, 9.15%, 12/15/2023 | 3,000,000 | 3,449,100 |
Massachusetts, Resource Recovery Revenue, Development Finance Agency, Resource Recovery, Series 563, Inverse Floater, 9.96%, 1/1/2016* (b) | 3,375,000 | 4,006,395 |
Massachusetts, Sales & Special Tax Revenue, Federal Highway Grant, Series A, Zero Coupon, 12/15/2014 | 27,680,000 | 17,098,213 |
Massachusetts, State GO, College Building Authority Project, Series A, 7.5%, 5/1/2010 | 4,110,000 | 4,973,388 |
Massachusetts, State GO, Consolidated Loan: | ||
Series D, 5.5%, 11/1/2018 (b) | 4,000,000 | 4,418,680 |
Series D, 5.5%, 11/1/2019 (b) (c) | 7,500,000 | 8,270,175 |
Series D, 5.5%, 11/1/2020 (b) | 2,000,000 | 2,199,740 |
Massachusetts, State GO, Inverse Floater, Rites-PA 793, 144A, 10.223%, 10/1/2008* | 6,095,000 | 7,601,623 |
Massachusetts, State GO, Transportation Authority: | ||
Series A, 5.875%, 3/1/2015 | 10,075,000 | 11,475,223 |
Series B, 6.2%, 3/1/2016 | 17,450,000 | 20,334,136 |
Massachusetts, Transportation/Tolls Revenue, Turnpike Authority, Series C, Zero Coupon, 1/1/2018 (b) | 10,000,000 | 5,110,800 |
Massachusetts, Water & Sewer Revenue, Water Authority: | ||
Series J, 5.5%, 8/1/2020 (b) | 34,315,000 | 37,954,106 |
Series J, 5.5%, 8/1/2021 (b) | 5,685,000 | 6,276,865 |
Massachusetts, Water & Sewer Revenue, Water Resource Authority: | ||
Series C, 6.0%, 12/1/2011 | 10,000,000 | 11,512,800 |
Series A, 6.5%, 7/15/2009 | 2,625,000 | 3,018,881 |
Series A, 6.5%, 7/15/2019 | 13,710,000 | 16,246,350 |
234,566,827 | ||
Michigan 2.2% | ||
Detroit, MI, Core City GO: | ||
Series B, 6.0%, 4/1/2016 (b) | 2,865,000 | 3,199,288 |
Series B, 6.25%, 4/1/2010 | 3,410,000 | 3,507,458 |
Detroit, MI, School District GO: | ||
Series C, 5.25%, 5/1/2014 (b) | 1,000,000 | 1,097,410 |
Series A, 5.5%, 5/1/2015 (b) | 6,675,000 | 7,292,237 |
Series A, 5.5%, 5/1/2017 (b) | 3,295,000 | 3,579,260 |
Detroit, MI, State GO: | ||
Series A-1, 5.375%, 4/1/2016 (b) | 2,760,000 | 2,952,096 |
Series A-1, 5.375%, 4/1/2018 (b) | 3,000,000 | 3,198,480 |
Detroit, MI, Water & Sewer Revenue, Series A, Zero Coupon, 7/1/2015 (b) | 8,710,000 | 5,166,859 |
Grand Rapids, MI, Water & Sewer Revenue, Water Supply, 5.75%, 1/1/2016 (b) | 2,955,000 | 3,235,784 |
Michigan, Electric Revenue, Series A, 5.25%, 1/1/2018 (b) | 11,000,000 | 11,848,980 |
Michigan, Hospital & Healthcare Revenue, Finance Authority, Series A, Prerefunded, 6.0%, 11/15/2013 (b) | 10,000,000 | 11,458,400 |
Michigan, Hospital & Healthcare Revenue, Hospital Finance Authority, Gratiot Community Hospital, 6.1%, 10/1/2007 | 1,590,000 | 1,659,976 |
Michigan, Sales & Special Tax Revenue, State Trunk Line: | ||
Series A, 5.5%, 11/1/2014 (b) | 4,055,000 | 4,517,473 |
Series A, Prerefunded, 5.5%, 11/1/2016 (b) | 9,545,000 | 10,633,607 |
Series A, 5.5%, 11/1/2017 | 7,000,000 | 7,808,010 |
Michigan, State Agency (GO) Lease, Building Authority, Inverse Floater, Series B, 144A, 9.688%, 4/15/2009* | 2,500,000 | 2,905,300 |
Michigan, State Agency (GO) Lease, Inverse Floater, Rites-PA 889R, Series A, 144A, 9.688%, 4/15/2009* | 4,155,000 | 5,008,188 |
Michigan, State GO, 5.5%, 12/1/2015 | 5,875,000 | 6,586,286 |
Tawas City, MI, Hospital Finance Authority, St. Joseph Health Services, Series A, ETM, 5.6%, 2/15/2013 | 2,090,000 | 2,222,799 |
97,877,891 | ||
Minnesota 0.3% | ||
New Hope, MN, Hospital & Healthcare Revenue, Masonic Home North Ridge, 5.9%, 3/1/2019 | 1,335,000 | 1,338,324 |
University of Minnesota, Higher Education Revenue: | ||
Series A, 5.75%, 7/1/2017 | 3,240,000 | 3,690,716 |
Series A, 5.75%, 7/1/2018 | 6,760,000 | 7,714,377 |
12,743,417 | ||
Mississipi 0.2% | ||
Jones County, MS, Hospital & Healthcare Revenue, South Central Regional Medical Center, 5.5%, 12/1/2017 | 1,375,000 | 1,361,443 |
Mississippi, State GO, 5.5%, 12/1/2015 | 6,000,000 | 6,714,780 |
8,076,223 | ||
Missouri 2.3% | ||
Missouri, Hospital & Healthcare Revenue: | ||
Series AA, 6.35%, 6/1/2008 (b) | 8,125,000 | 9,144,119 |
Series AA, 6.4%, 6/1/2009 (b) | 8,640,000 | 9,856,425 |
Missouri, Hospital & Healthcare Revenue, Health and Educational Facilities Authority, Washington University, Series A, 5.5%, 6/15/2016 | 11,400,000 | 12,738,132 |
Missouri, Senior Care Revenue, Health & Educational Facilities Authority, 5.75%, 2/1/2017 | 3,250,000 | 3,330,503 |
Missouri, Transportation/Tolls Revenue: | ||
Series A, 5.625%, 2/1/2014 | 2,000,000 | 2,213,660 |
Series A, 5.625%, 2/1/2016 | 3,125,000 | 3,393,031 |
Missouri, Water & Sewer Revenue, Clarence Cannon Wholesale, 6.0%, 5/15/2020 | 10,000,000 | 10,057,500 |
Missouri, Water & Sewer Revenue, Environmental Improvement and Energy Resource Authority: | ||
Series C, 5.375%, 7/1/2016 | 3,585,000 | 3,964,903 |
Series C, 5.375%, 7/1/2017 | 4,305,000 | 4,753,064 |
Series C, 5.375%, 7/1/2018 | 3,250,000 | 3,589,040 |
Series B, 5.5%, 7/1/2014 | 3,000,000 | 3,378,480 |
Series B, 5.5%, 7/1/2015 | 3,500,000 | 3,895,080 |
Series B, 5.5%, 7/1/2016 | 5,065,000 | 5,635,775 |
St. Louis, MO, Airport Revenue, Series A, 5.625%, 7/1/2017 (b) | 6,000,000 | 6,511,800 |
St. Louis, MO, County GO, Industrial Development Authority, Convention Center Hotel, Zero Coupon, 7/15/2016 (b) | 6,895,000 | 3,814,590 |
St. Louis, MO, Industrial Development Revenue, St. Louis Convention Center, AMT, Series A, 6.875%, 12/15/2020 | 2,500,000 | 2,293,025 |
St. Louis, MO, Industrial Development Revenue, St. Louis Convention, AMT, Series A, 7.25%, 12/15/2035 | 5,000,000 | 4,613,200 |
St. Louis, MO, Special Assessment Revenue, Scullin Redevelopment Area, Series A, 10.0%, 8/1/2010 | 5,745,000 | 6,698,153 |
St. Louis, MO, State (GO) Lease, Industrial Development Authority, Convention Center Hotel, Zero Coupon, 7/15/2015 (b) | 4,200,000 | 2,469,138 |
102,349,618 | ||
Montana 0.1% | ||
Montana, Higher Education Revenue, Series F, 6.0%, 5/15/2019 (b) | 5,000,000 | 5,631,000 |
Nebraska 0.3% | ||
Omaha, NE, Core City GO, Series A, ETM, 6.5%, 12/1/2018 | 1,000,000 | 1,230,130 |
Omaha, NE, Public Power District, Electric Revenue, Series B, ETM, 6.2%, 2/1/2017 | 4,700,000 | 5,463,609 |
Omaha, NE, School District GO, ETM: | ||
Series A, 6.5%, 12/1/2015 | 1,480,000 | 1,807,095 |
Series A, 6.5%, 12/1/2016 | 1,000,000 | 1,223,660 |
Series A, 6.5%, 12/1/2017 | 4,000,000 | 4,906,120 |
Scotts Bluff County, Hospital & Healthcare Revenue, 6.45%, 12/15/2004 | 450,000 | 456,147 |
15,086,761 | ||
Nevada 1.0% | ||
Clark County, NV, Airport Revenue, Airport Jet Aviation Fuel, AMT: | ||
Series C, 5.375%, 7/1/2018 (b) | 1,500,000 | 1,559,955 |
Series C, 5.375%, 7/1/2019 (b) | 1,100,000 | 1,138,159 |
Series C, 5.375%, 7/1/2020 (b) | 1,100,000 | 1,134,089 |
Clark County, NV, School District GO, Series B, Zero Coupon, 3/1/2005 (b) | 8,070,000 | 7,982,279 |
Henderson, NV, Hospital & Healthcare Revenue, Catholic Healthcare West, 5.375%, 7/1/2026 | 15,000,000 | 13,885,800 |
Las Vegas, NV, Transportation/Tolls Revenue, Monorail Department Business and Industry: | ||
Zero Coupon, 1/1/2013 (b) | 5,000,000 | 3,387,900 |
7.375%, 1/1/2040 | 15,000,000 | 14,567,700 |
43,655,882 | ||
New Hampshire 0.1% | ||
New Hampshire, Senior Care Revenue, Havenwood Heritage Heights, 7.35%, 1/1/2018 | 2,500,000 | 2,535,025 |
New Hampshire, Senior Care Revenue, Higher Education Revenue, Havenwood Heritage Heights, 7.45%, 1/1/2025 | 4,000,000 | 4,043,320 |
6,578,345 | ||
New Jersey 6.8% | ||
Atlantic City, NJ, School District GO, Board of Education, 6.1%, 12/1/2014 (b) | 4,500,000 | 5,289,885 |
New Jersey, Economic Development Authority, Special Facilities Revenue, Continental Airlines, Inc. Project, AMT, 6.4%, 9/15/2023 | 7,500,000 | 5,830,050 |
New Jersey, Garden State Preservation Trust, Open Space & Farm Land, Series 2005-A, 5.8%, 11/1/2023 (b) (d) | 5,000,000 | 5,173,450 |
New Jersey, Highway Authority Revenue, Garden State Parkway: | ||
ETM, 6.5%, 1/1/2011 | 3,006,000 | 3,319,165 |
Inverse Floater, Series 247, ETM, 9.695%, 1/1/2013* (b) | 14,935,000 | 18,482,361 |
New Jersey, Industrial Development Revenue, Economic Development Authority, Harrogate, Inc., Series A, 5.875%, 12/1/2026 | 1,000,000 | 973,240 |
New Jersey, Resource Recovery Revenue, Tobacco Settlement Financing Corp., 5.75%, 6/1/2032 | 17,470,000 | 14,832,554 |
New Jersey, Senior Care Revenue, Economic Development Authority, United Methodist Homes: | ||
5.5%, 7/1/2019 | 4,000,000 | 3,785,920 |
5.75%, 7/1/2029 | 7,500,000 | 6,942,900 |
New Jersey, Special Assessment Revenue, 6.75%, 6/1/2039 | 35,480,000 | 31,471,115 |
New Jersey, State (REV) Lease, Transportation Trust Fund Authority, Inverse Floater, Rites-PA 785, 144A, 10.698%, 9/15/2015* (b) | 5,190,000 | 6,710,203 |
New Jersey, State Agency (GO) Lease, Transportation Trust Fund Authority, Series A, 5.625%, 6/15/2014 | 3,555,000 | 3,988,355 |
New Jersey, State Agency (GO) Lease, Transportation Trust Fund Authority, Inverse Floater, Residual Certificates, Series 224, 144A, 10.19%, 6/15/2016* | 11,000,000 | 13,578,510 |
New Jersey, State GO: | ||
5.25%, 7/1/2016 | 5,000,000 | 5,456,350 |
Series H, 5.25%, 7/1/2017 | 14,665,000 | 15,978,837 |
New Jersey, Tobacco Settlement Filing Corp., 6.25%, 6/1/2043 | 28,000,000 | 22,759,520 |
New Jersey, Transportation Trust Fund Authority, Transportation System, Series C, 5.5%, 6/15/2023 | 15,000,000 | 15,892,800 |
New Jersey, Transportation/Tolls Revenue: | ||
Series C, 5.5%, 12/15/2015 (b) | 5,000,000 | 5,568,000 |
Series A, 5.75%, 6/15/2017 | 8,000,000 | 8,957,520 |
New Jersey, Transportation/Tolls Revenue, Economic Development Authority, Series A, Prerefunded, 5.875%, 5/1/2014 (b) | 5,000,000 | 5,619,850 |
New Jersey, Transportation/Tolls Revenue, Federal Transportation Administration Grants, Series B, Prerefunded, 5.75%, 9/15/2013 (b) | 11,000,000 | 12,456,290 |
New Jersey, Transportation/Tolls Revenue, Turnpike Authority: | ||
Inverse Floater Rites-PA 613, 144A, 10.169%, 1/1/2011* (b) | 21,170,000 | 29,254,400 |
Inverse Floater Rites-PA 614, 144A, 10.178%, 1/1/2016* (b) | 3,830,000 | 5,292,600 |
New Jersey, Turnpike Authority, Turnpike Revenue: | ||
Series C, Prerefunded, ETM, 6.5%, 1/1/2016 (b) | 38,720,000 | 45,938,570 |
Series C, 6.5%, 1/1/2016 (b) | 10,750,000 | 12,802,712 |
306,355,157 | ||
New Mexico 0.3% | ||
Albuquerque, NM, Hospital and Healthcare Revenue, Southwest Community Health Services, Prerefunded, 10.125%, 8/1/2012 | 3,385,000 | 4,084,510 |
Los Alamos County, NM, Electric Revenue, Utility Systems, Series A, 6.1%, 7/1/2010 (b) | 4,400,000 | 4,505,424 |
New Mexico, Single Family Housing Revenue, Mortgage Finance Authority, Series E2, AMT, 6.8%, 3/1/2031 (b) | 5,315,000 | 5,798,612 |
14,388,546 | ||
New York 6.5% | ||
Monroe County, NY, Airport Revenue: | ||
Inverse Floater, Rites-PA 585A, AMT, 10.173%, 1/1/2014* | 2,005,000 | 2,416,446 |
Inverse Floater, Rites-PA 585B, AMT, 10.17%, 7/1/2011* | 2,515,000 | 3,037,668 |
Inverse Floater, Rites-PA 585C, AMT, 10.424%, 7/1/2012* | 1,915,000 | 2,340,666 |
Nassau County, NY, Sales & Special Tax Revenue, Interim Finance Authority: | ||
Series A, Prerefunded, 5.75%, 11/15/2015 | 3,060,000 | 3,468,418 |
Series A, Prerefunded, 5.75%, 11/15/2016 (b) | 4,250,000 | 4,817,248 |
New York, Core City GO, 5.875%, 2/15/2019 | 13,540,000 | 14,333,986 |
New York, Electric Revenue, ETM, Zero Coupon, 6/1/2009 (b) | 2,050,000 | 1,736,186 |
New York, Higher Education Revenue, 5.75%, 7/1/2013 | 10,000,000 | 11,256,700 |
New York, Higher Education Revenue, Dormitory Authority: | ||
Series B, 5.25%, 5/15/2019 (b) | 11,860,000 | 12,827,539 |
Series F, Prerefunded, 5.375%, 7/1/2007 | 465,000 | 503,730 |
Series F, 5.375%, 7/1/2007 | 1,535,000 | 1,651,951 |
New York, Higher Education Revenue, Dormitory Authority, City University: | ||
Series A, 5.625%, 7/1/2016 (b) | 5,075,000 | 5,675,677 |
Series B, 6.0%, 7/1/2014 (b) | 7,000,000 | 8,146,530 |
New York, Sales & Special Tax Revenue, Thruway Authority, Series A, 5.5%, 3/15/2018 | 5,000,000 | 5,409,400 |
New York, School District GO, Dormitory Authority, City University, Series A, 5.5%, 5/15/2019 | 1,500,000 | 1,638,885 |
New York, Senior Care Revenue, Dormitory Authority, City University, Series A, 5.25%, 5/15/2021 | 2,000,000 | 2,111,960 |
New York, Senior Care Revenue, Metropolitan Transportation Authority, Series O, ETM, 5.75%, 7/1/2013 (b) | 6,775,000 | 7,564,220 |
New York, Series J, Prerefunded, 5.875%, 2/15/2019 | 2,520,000 | 2,721,071 |
New York, State (GO) Lease, Urban Development Corp., State Facilities, 5.6%, 4/1/2015 | 4,655,000 | 5,151,735 |
New York, State Agency (GO) Lease, Dormitory Authority, City University: | ||
Prerefunded, 5.25%, 5/15/2017 (b) | 3,500,000 | 3,887,450 |
Series D, ETM, 7.0%, 7/1/2009 (b) | 4,000,000 | 4,378,200 |
Series C, 7.5%, 7/1/2010 (b) | 5,750,000 | 6,657,235 |
New York, State Agency (GO) Lease, Metropolitan Transportation Authority, Series A, ETM, 6.0% , 4/1/2020 (b) | 5,000,000 | 5,803,750 |
New York, State Agency (GO) Lease, Urban Development Authority, Correctional Facilities, Series A, 6.5%, 1/1/2011 (b) | 4,500,000 | 5,258,070 |
New York, State Agency (GO) Lease, Urban Development Corp., 5.7%, 4/1/2020 | 3,600,000 | 4,005,180 |
New York, State GO, Tobacco Settlement Financing Corp.: | ||
Series A-1, 5.5%, 6/1/2019 | 6,850,000 | 7,251,273 |
Series R 232, 144A, 9.93%, 6/1/2022 (b) | 6,300,000 | 6,659,667 |
New York, Transportation/Tolls Revenue, Inverse Floater, Securities Trust Certficates, 144A, 9.5%, 11/15/2017* (b) | 7,500,000 | 8,834,325 |
New York, Transportation/Tolls Revenue, Metropolitan Transportation Authority: | ||
Series C, Prerefunded, 7/1/2012, 5.125%, 7/1/2013 (b) | 3,470,000 | 3,820,574 |
Series C, Prerefunded, 1/1/2012, 5.125%, 7/1/2013 (b) | 1,530,000 | 1,680,001 |
5.5%, 11/15/2018 (b) | 5,000,000 | 5,423,700 |
New York, Transportation/Tolls Revenue, Thruway Authority Service Contract, Local Highway and Bridge Building, Prerefunded, 5.625%, 4/1/2012 (b) | 5,470,000 | 6,126,838 |
New York, Transportation/Tolls Revenue, Transportation Authority: | ||
Series E, 5.5%, 11/15/2020 (b) | 3,750,000 | 4,038,525 |
Series E, 5.5%, 11/15/2021 (b) | 6,000,000 | 6,435,360 |
New York, Transportation/Tolls Revenue, Triborough Bridge and Tunnel Authority, Series Y, ETM, 5.5%, 1/1/2017 | 5,050,000 | 5,613,984 |
New York, Water & Sewer Revenue, Environmental Facilities Corp., State Water Pollution Control, Series E, 6.875%, 6/15/2014 | 4,560,000 | 4,647,734 |
New York and New Jersey, Port Authority Revenue: | ||
AMT, 6.0%, 7/1/2013 | 6,555,000 | 7,044,068 |
AMT, 6.0%, 7/1/2015 | 2,500,000 | 2,682,550 |
Inverse Floater, AMT, Series II, 10.26%, 10/15/2007* (b) | 6,160,000 | 7,167,776 |
New York and New Jersey, Port Authority Revenue, Special Obligation, AMT, Series 4, 7.0%, 10/1/2007 | 1,400,000 | 1,447,530 |
New York, NY Series E, ETM, 7.0%, 12/1/2007 (b) | 1,385,000 | 1,523,071 |
New York, NY, Core City GO: | ||
Series G, Zero Coupon, 8/1/2009 (b) | 4,995,000 | 4,174,222 |
Series F, 5.25%, 8/1/2016 | 5,000,000 | 5,193,100 |
Series C, 5.375%, 11/15/2017 (b) | 5,000,000 | 5,347,450 |
Series A, 5.75%, 8/1/2016 | 6,350,000 | 6,835,711 |
Series E, 6.5%, 2/15/2005 | 7,000,000 | 7,243,530 |
Series A, 6.5%, 5/15/2012 | 7,000,000 | 7,917,840 |
Series G, 6.75%, 2/1/2009 | 2,000,000 | 2,276,200 |
New York, NY, Sports, Expo & Entertainment Revenue, Industrial Development Agency, USTA National Tennis Center: | ||
6.5%, 11/15/2010 (b) | 3,485,000 | 3,630,080 |
6.6%, 11/15/2011 (b) | 3,000,000 | 3,126,690 |
New York, NY, State GO, Series A, 5.25%, 3/15/2015 | 2,500,000 | 2,674,800 |
New York, NY, Water & Sewer Revenue, Municipal Water Financial Authority, Series A, 5.375%, 6/15/2019 | 25,000,000 | 26,505,750 |
Suffolk County, NY, Water & Sewer Revenue, Industrial Development Agency, 6.0%, 2/1/2007 (b) | 8,000,000 | 8,711,360 |
290,833,610 | ||
North Carolina 1.3% | ||
Charlotte, NC, Core City GO, 5.5%, 8/1/2018 | 4,165,000 | 4,510,612 |
Charlotte, NC, Water & Sewer Revenue: | ||
5.5%, 6/1/2014 | 3,105,000 | 3,438,818 |
5.5%, 6/1/2017 | 3,255,000 | 3,526,695 |
North Carolina, Electric Revenue, 5.25%, 1/1/2020 (b) | 4,000,000 | 4,169,640 |
North Carolina, Electric Revenue, Catawba Municipal Power Agency, 6.0%, 1/1/2011 (b) | 8,235,000 | 9,382,629 |
North Carolina, Electric Revenue, Eastern Municipal Power Agency: | ||
6.0%, 1/1/2018 (b) | 8,775,000 | 10,077,912 |
Series B, 6.0%, 1/1/2022 (b) (c) | 18,775,000 | 21,514,836 |
56,621,142 | ||
Ohio 2.7% | ||
Akron, OH, Higher Education Revenue, Prerefunded, 5.75%, 1/1/2013 (b) | 2,365,000 | 2,678,907 |
Akron, OH, Project Revenue, Economic Development, 6.0%, 12/1/2012 (b) | 1,000,000 | 1,146,760 |
Akron, OH, Water & Sewer Revenue, 5.9%, 12/1/2011 (b) | 385,000 | 420,674 |
Avon, OH, School District GO, 6.5%, 12/1/2015 (b) | 940,000 | 1,129,504 |
Batavia, OH, Local School District, Prerefunded, 7.0%, 12/1/2014 (b) | 500,000 | 549,315 |
Beavercreek, OH, School District GO, Local School District, 6.6%, 12/1/2015 (b) | 1,500,000 | 1,816,995 |
Big Walnut, OH, School District GO, Local School District, Zero Coupon, 12/1/2012 (b) | 420,000 | 292,568 |
Cincinnati, OH, Higher Education Revenue, General Receipts: | ||
Series T, 5.5%, 6/1/2012 | 1,280,000 | 1,428,006 |
Series A, 5.75%, 6/1/2015 (b) | 2,000,000 | 2,211,080 |
Series A, 5.75%, 6/1/2016 (b) | 1,500,000 | 1,647,735 |
Cincinnati, OH, Water & Sewer Revenue: | ||
5.5%, 12/1/2014 | 1,500,000 | 1,655,505 |
5.5%, 12/1/2017 | 1,000,000 | 1,078,840 |
Cleveland, OH, Core City (REV) Lease, Parking Facility Revenue, 6.0%, 9/15/2009 (b) | 1,385,000 | 1,566,518 |
Cleveland, OH, Electric Revenue, Public Power Systems Revenue, Series 1, 6.0%, 11/15/2011 (b) | 1,050,000 | 1,211,343 |
Cleveland, OH, Sales & Special Tax Revenue, Urban Renewal Tax Increment, Rock & Roll Hall of Fame and Museum Project, 6.75%, 3/15/2018 | 1,000,000 | 1,010,760 |
Cleveland, OH, Water & Sewer Revenue, Series J, 5.375%, 1/1/2016 (b) | 2,000,000 | 2,156,720 |
Cleveland-Cuyahoga County, OH, Port Authority Revenue, ETM, 6.0%, 3/1/2007 | 1,830,000 | 1,955,593 |
Crawford County, OH, Prerefunded, 6.75%, 12/1/2019 (b) | 700,000 | 733,278 |
Cuyahoga County, OH, County (GO), 5.65%, 5/15/2018 | 500,000 | 561,065 |
Cuyahoga County, OH, County (GO) Lease, 5.0%, 12/1/2020 | 1,000,000 | 1,021,480 |
Cuyahoga County, OH, Multi Family Housing Revenue, 6.5%, 10/20/2020 (b) | 1,000,000 | 1,034,590 |
Dublin, OH, School District GO, Zero Coupon, 12/1/2011 (b) | 1,095,000 | 809,096 |
Fayette County, OH, School District GO, Rattlesnake Improvement Area Project, 5.9%, 12/1/2013 | 105,000 | 113,576 |
Finneytown, OH, Other GO, Local School District, 6.2%, 12/1/2017 (b) | 320,000 | 376,291 |
Franklin County, OH, Hospital & Healthcare Revenue, Presbyterian Services: | ||
5.25%, 7/1/2008 | 500,000 | 518,765 |
5.5%, 7/1/2017 | 1,000,000 | 968,240 |
Franklin County, OH, School District GO, 6.5%, 12/1/2013 | 500,000 | 591,495 |
Green Springs, OH, Senior Care Revenue, Hospital and Healthcare Facilities Revenue, Series A, 7.0%, 5/15/2014 | 4,635,000 | 4,278,800 |
Green Springs, OH, Senior Care Revenue, St. Francis Health Care Center Project, Series A, 7.125%, 5/15/2025 | 4,405,000 | 3,763,500 |
Hamilton County, OH, Sales & Special Tax Revenue: | ||
Series B, 5.75%, 12/1/2014 (b) | 2,000,000 | 2,238,520 |
Series B, 5.75%, 12/1/2015 (b) | 4,240,000 | 4,671,674 |
Hilliard, OH, School District GO, Series A, Zero Coupon, 12/1/2012 (b) | 1,655,000 | 1,158,715 |
Huber Heights, OH, Water & Sewer Revenue, Zero Coupon, 12/1/2012 (b) | 1,005,000 | 704,103 |
Lakeview, OH, Local School District, Prerefunded, 6.9%, 12/1/2014 (b) | 700,000 | 733,810 |
Liberty Benton, OH, School District GO, Zero Coupon, 12/1/2014 (b) | 570,000 | 355,811 |
Liberty, OH, School District GO, Zero Coupon, 12/1/2012 (b) | 255,000 | 178,416 |
Lorain County, OH, Hospital Revenue, Series A, Prerefunded, 5.9%, 12/15/2008 | 1,000,000 | 1,024,320 |
Lorain County, OH, Lakeland Community Hospital, Inc., ETM, 6.5%, 11/15/2012 | 865,000 | 884,194 |
Lucas County, OH, Flower Hospital, Prerefunded, 6.125%, 12/1/2013 | 1,375,000 | 1,419,137 |
Lucas County, OH, Hospital & Healthcare Revenue, Presbyterian: | ||
Series A, 6.625%, 7/1/2014 | 2,000,000 | 2,088,700 |
Series A, 6.75%, 7/1/2020 | 2,000,000 | 2,059,100 |
Marion County, OH, Senior Care Revenue, Healthcare Facilities, Church Homes Project: | ||
6.3%, 11/15/2015 | 3,600,000 | 3,633,876 |
6.375%, 11/15/2010 | 2,844,000 | 2,889,447 |
Miami County, OH, Hospital & Healthcare Revenue, Upper Valley Medical Center, Series C, 6.25%, 5/15/2013 | 1,000,000 | 1,043,860 |
Napoleon, OH, Hospital & Healthcare Revenue, Lutheran Orphans Home, 6.875%, 8/1/2023 (b) | 370,000 | 379,424 |
North Olmstead, OH, Other GO, 6.2%, 12/1/2011 (b) | 2,000,000 | 2,290,480 |
Ohio, Building Authority, Juvenile Correctional Facility, Series A, Prerefunded, 6.6%, 10/1/2014 (b) | 200,000 | 207,590 |
Ohio, Higher Education Revenue, Series A, 6.5%, 7/1/2008 | 2,325,000 | 2,634,620 |
Ohio, Higher Education Revenue, Case Western Reserve University: | ||
6.0%, 10/1/2014 | 1,000,000 | 1,158,500 |
Series B, 6.5%, 10/1/2020 | 2,250,000 | 2,724,953 |
Ohio, Higher Education Revenue, General Receipts: | ||
Series A, 6.0%, 12/1/2016 | 1,000,000 | 1,121,840 |
Series A, 6.0%, 12/1/2017 | 1,060,000 | 1,189,150 |
Ohio, Higher Education Revenue, University of Findlay Project, 6.125%, 9/1/2016 | 400,000 | 399,612 |
Ohio, Higher Education Revenue, University of Ohio, General Receipts, 5.75%, 6/1/2016 (b) | 1,250,000 | 1,378,338 |
Ohio, Higher Education Revenue, Xavier University, 6.0%, 5/15/2011 (b) | 240,000 | 266,333 |
Ohio, Mortgage Revenue, Single Family Housing Finance Agency: | ||
Prerefunded, 1/15/2013, Zero Coupon, 1/15/2015 (b) | 4,360,000 | 2,433,272 |
Prerefunded, 7/15/2013, Zero Coupon, 1/15/2015 (b) | 3,515,000 | 2,014,236 |
Ohio, School District GO, 6.0%, 12/1/2019 (b) | 475,000 | 554,216 |
Ohio, State (GO) Lease, Higher Education Revenue, Series B, Prerefunded, 5.625%, 5/1/2015 | 1,000,000 | 1,122,170 |
Ohio, State Agency (REV) Lease, Administrative Building Funds Project: | ||
Series A, 5.5%, 10/1/2015 (b) | 4,370,000 | 4,722,571 |
Series A, 5.5%, 10/1/2016 (b) | 3,790,000 | 4,095,777 |
Series A, 5.5%, 10/1/2018 (b) | 3,695,000 | 3,993,113 |
Ohio, State Agency (REV) Lease, Building Authority, Juvenile Correctional Facility, Series A, 5.5%, 4/1/2016 | 3,665,000 | 3,947,828 |
Ohio, State GO, 6.0%, 8/1/2010 | 1,000,000 | 1,141,210 |
Ohio, Transportation/Tolls Revenue, Series A, 5.5%, 2/15/2017 (b) | 6,925,000 | 7,692,359 |
Ohio, Water & Sewer Revenue, Bay Shore Project, AMT, Series A, 5.875%, 9/1/2020 | 4,150,000 | 3,820,822 |
Olentangy, OH, School District GO, Series A, Prerefunded, 5.85%, 12/1/2007 | 400,000 | 417,112 |
Olmsted Falls, OH, City School District, Prerefunded, 6.85%, 12/15/2011 (b) | 250,000 | 262,478 |
Sandusky County, OH, County GO, Prerefunded, 6.2%, 12/1/2013 (b) | 500,000 | 522,380 |
South Euclid Lyndhurst, OH, School District GO, 6.4%, 12/1/2018 (b) | 535,000 | 596,980 |
Springboro, OH, School District GO, Community City School District, 6.0%, 12/1/2011 (b) | 500,000 | 566,420 |
Summit County, OH, Prerefunded, 6.4%, 12/1/2014 (b) | 1,000,000 | 1,045,560 |
Toledo, OH, Other GO, Macys Project, Series A, AMT, 6.35%, 12/1/2025 (b) | 1,000,000 | 1,113,780 |
Toledo, OH, Water & Sewer Revenue, 4.75%, 11/15/2017 (b) | 1,000,000 | 1,018,540 |
Trumbull County, OH, County GO, Prerefunded, 6.2%, 12/1/2014 (b) | 500,000 | 522,275 |
Tuscarawas Valley, OH, School District GO, Prerefunded, 6.6%, 12/1/2015 (b) | 365,000 | 398,836 |
Wayne, OH, School District GO: | ||
6.45%, 12/1/2011 (b) | 155,000 | 183,915 |
6.6%, 12/1/2016 (b) | 200,000 | 241,786 |
Willoughby, OH, Senior Care Revenue, Industrial Development Revenue, Series A, 6.875%, 7/1/2016 | 2,825,000 | 2,848,222 |
Wooster, OH, School District GO, Zero Coupon, 12/1/2013 (b) | 930,000 | 615,753 |
123,453,133 | ||
Oklahoma 1.0% | ||
Oklahoma, Hospital & Healthcare Revenue, Valley View Hospital Authority: | ||
5.75%, 8/15/2006 | 1,860,000 | 1,950,526 |
6.0%, 8/15/2014 | 2,695,000 | 2,731,275 |
Oklahoma, Water & Sewer Revenue, McGee Creek Authority, 6.0%, 1/1/2023 (b) | 23,125,000 | 26,930,450 |
Tulsa, OK, Hospital & Healthcare Revenue, Industrial Development Authority: | ||
Zero Coupon, 12/1/2004 (b) | 5,430,000 | 5,394,922 |
Zero Coupon, 12/1/2006 (b) | 6,430,000 | 6,038,349 |
43,045,522 | ||
Oregon 0.4% | ||
Chemeketa, OR, School District GO, ETM, 5.5%, 6/1/2015 (b) | 2,600,000 | 2,921,100 |
Oregon, State (GO) Lease, Administrative Services, Series B, 5.375%, 5/1/2015 (b) | 7,550,000 | 8,146,450 |
Oregon, Transportation/Tolls Revenue: | ||
5.75%, 11/15/2015 | 1,435,000 | 1,576,778 |
5.75%, 11/15/2016 | 3,140,000 | 3,450,232 |
16,094,560 | ||
Pennsylvania 3.5% | ||
Allegheny County, PA, Airport Revenue, AMT: | ||
Inverse Floater, Rites-PA 567A, 144A, 10.109%, 1/1/2010* (b) | 3,000,000 | 3,494,640 |
Inverse Floater, Rites-PA 567B, 144A, 10.109%, 1/1/2011* (b) | 1,500,000 | 1,757,115 |
Inverse Floater, Rites-PA 567D, 144A, 10.109%, 1/1/2014* (b) | 5,250,000 | 6,156,255 |
Inverse Floater, Rites-PA 567C, 144A, 10.118%, 1/1/2013* (b) | 3,160,000 | 3,724,534 |
Allegheny County, PA, Airport Revenue, Pittsburgh International, Series A, AMT, 5.75%, 1/1/2013 (b) | 3,080,000 | 3,355,137 |
Allegheny County, PA, Port Authority Revenue: | ||
5.5%, 3/1/2015 (b) | 2,000,000 | 2,170,880 |
5.5%, 3/1/2016 (b) | 1,000,000 | 1,078,080 |
5.5%, 3/1/2017 (b) | 1,000,000 | 1,072,600 |
Berks County, PA, Hospital & Healthcare Revenue, Municipal Authority, Reading Hospital and Medical Center Project, 5.7%, 10/1/2014 (b) | 1,000,000 | 1,122,670 |
Bucks County, PA, Water and Sewer Authority Revenue, ETM, 6.375%, 12/1/2008 | 305,000 | 327,741 |
Delaware County, PA, Senior Care Revenue, Hospital and Healthcare Revenue, Series A, 6.6%, 7/1/2006 | 1,000,000 | 1,025,180 |
Delaware Valley, PA, Core City GO, Regional Financial Authority, Inverse Floater, Rites-PA 1028, 144A, 10.18%, 1/1/2014* | 12,500,000 | 15,552,000 |
Erie County, PA, Industrial Development Revenue, Pollution Control, Series A, 5.3%, 4/1/2012 | 1,000,000 | 1,032,950 |
Exter Township, PA, School District GO, Zero Coupon, 5/15/2017 (b) | 3,700,000 | 1,977,872 |
Indiana County, PA, Pollution Control Revenue, Industrial Development Authority, 5.35%, 11/1/2010 (b) | 1,000,000 | 1,107,170 |
Latrobe, PA, Higher Education Revenue, Industrial Development Authority, 5.375%, 5/1/2013 | 1,000,000 | 1,054,220 |
Mckean County, PA, Hospital & Healthcare Revenue, Bradford Hospital Project, 5.95%, 10/1/2008 (b) | 2,800,000 | 2,874,760 |
Montgomery County, PA, Senior Care Revenue, Industrial Development Authority, Retirement-Life Communities, 5.25%, 11/15/2028 | 3,500,000 | 3,142,720 |
New Castle, PA, Hospital & Healthcare Revenue, Area Hospital Authority, Jameson Memorial Hospital, 6.0%, 7/1/2010 (b) | 845,000 | 953,785 |
Pennsylvania, Core City GO, Regional Finance Authority Local Government, 5.75%, 7/1/2032 | 28,000,000 | 30,691,080 |
Pennsylvania, Higher Education Revenue, Ursinus College, Prerefunded: | ||
5.85%, 1/1/2017 | 1,475,000 | 1,626,468 |
5.9%, 1/1/2027 | 3,400,000 | 3,753,396 |
Pennsylvania, Hospital & Healthcare Revenue, Economic Development Financing Authority, UPMC Health System, Series A, 6.0%, 1/15/2031 | 7,340,000 | 7,628,168 |
Pennsylvania, Sales & Special Tax Revenue, Convention Center Authority: | ||
Series A, ETM, 6.0%, 9/1/2019 (b) | 2,200,000 | 2,549,074 |
Series A, 6.7%, 9/1/2014 | 3,750,000 | 3,865,050 |
Series A, 6.75%, 9/1/2019 | 8,775,000 | 9,035,881 |
Pennsylvania, Sales & Special Tax Revenue, Intergovernmental Cooperative Authority: | ||
Inverse Floater, 144A, 9.1%, 6/15/2014* (b) | 2,500,000 | 2,892,600 |
Inverse Floater, 144A, 9.1%, 6/15/2015* (b) | 2,250,000 | 2,515,230 |
Inverse Floater, 144A, 9.12%, 6/15/2013* | 2,225,000 | 2,579,131 |
Pennsylvania, State Agency (REV) Lease, Industrial Development Authority, Economic Development, 5.8%, 7/1/2008 (b) | 4,875,000 | 5,402,914 |
Pennsylvania, State GO: | ||
6.25%, 7/1/2010 | 1,000,000 | 1,152,620 |
Inverse Floater, 144A, 18.62%, 5/1/2019* | 5,000,000 | 6,707,200 |
Pennsylvania, Transportation/Tolls Revenue, 5.25%, 7/1/2019 | 2,000,000 | 2,070,800 |
Pennsylvania, Transportation/Tolls Revenue, Community Turnpike, Series S, 5.625%, 6/1/2014 | 3,750,000 | 4,174,875 |
Pennsylvania, Water & Sewer Revenue, 5.25%, 11/1/2014 (b) | 1,750,000 | 1,921,937 |
Philadelphia, PA, Industrial Development Revenue, Industrial Development Authority, Series A, 6.5%, 10/1/2027 | 1,000,000 | 1,008,480 |
Philadelphia, PA, Water & Sewer Revenue, 6.25%, 8/1/2010 (b) | 1,000,000 | 1,151,410 |
Pittsburgh, PA, Core City GO, Series A, 5.5%, 9/1/2014 (b) | 1,500,000 | 1,647,675 |
Pittsburgh, PA, Water and Sewer System, ETM, 7.25%, 9/1/2014 (b) | 150,000 | 178,287 |
Westmoreland County, PA, Hospital & Healthcare Revenue, Industrial Development Authority, 5.375%, 7/1/2011 (b) | 7,300,000 | 8,099,569 |
Westmoreland County, PA, Project Revenue, Zero Coupon, 8/15/2017 (b) | 6,230,000 | 3,281,839 |
156,913,993 | ||
Puerto Rico 0.9% | ||
Puerto Rico, Electric Revenue: | ||
5.375%, 7/1/2018 (b) | 8,710,000 | 9,531,963 |
Series S, 6.125%, 7/1/2009 (b) | 2,000,000 | 2,279,340 |
Puerto Rico, Sales & Special Tax Revenue: | ||
Inverse Floater Rites PA 994RC, 144A, 9.738%, 7/1/2007* (b) | 3,000,000 | 3,652,920 |
Inverse Floater Rites PA 944RA, 144A, 9.738%, 7/1/2015* (b) | 3,720,000 | 4,593,456 |
Inverse Floater Rites PA 993R, 144A, 9.74%, 7/1/2019* | 11,325,000 | 13,984,110 |
Inverse Floater Rites PA 620A, 144A, 10.718%, 7/1/2013* (b) | 2,500,000 | 3,336,675 |
Puerto Rico, State Agency (GO) Lease, Municipal Finance Agency, Series A, Prerefunded, 6.0%, 7/1/2014 (b) | 250,000 | 254,830 |
Puerto Rico, State GO, Public Building Authority, Series A, ETM, 6.25%, 7/1/2013 (b) | 1,000,000 | 1,183,860 |
38,817,154 | ||
Rhode Island 1.0% | ||
Rhode Island, Economic Protection Corp., Special Obligation: | ||
Series B, ETM, 5.8%, 8/1/2011 (b) | 1,025,000 | 1,161,981 |
Series B, ETM, 5.8%, 8/1/2012 (b) | 2,500,000 | 2,858,575 |
Series B, ETM, 5.8%, 8/1/2013 (b) | 7,340,000 | 8,398,061 |
Rhode Island, Project Revenue, Convention Center Authority: | ||
Series B, 5.0%, 5/15/2010 (b) | 5,000,000 | 5,419,250 |
Series B, 5.25%, 5/15/2015 (b) | 22,000,000 | 23,958,000 |
Rhode Island, Water & Sewer Revenue, Clean Water Protection Agency, Revolving Fund, Series A, 5.4%, 10/1/2015 (b) | 2,000,000 | 2,202,520 |
43,998,387 | ||
South Carolina 0.8% | ||
Charleston County, SC, County (GO) Lease: | ||
Series B, 6.875%, 6/1/2014 (b) | 240,000 | 244,915 |
Series B, 7.0%, 6/1/2019 (b) | 115,000 | 117,357 |
Lexington County, SC, Hospital & Heatlhcare Revenue, 5.5%, 11/1/2032 | 4,515,000 | 4,466,780 |
Piedmont, SC, Electric Revenue, Municipal Power Agency: | ||
ETM, 5.5%, 1/1/2012 (b) | 2,190,000 | 2,464,955 |
5.5%, 1/1/2012 (b) | 2,810,000 | 3,109,686 |
Series A, ETM, 6.5%, 1/1/2016 (b) | 430,000 | 517,152 |
South Carolina, Electric Revenue, Municipal Power Agency, 6.75%, 1/1/2019 (b) | 3,525,000 | 4,287,986 |
South Carolina, Hospital & Healthcare Revenue, Jobs Economic Development Authority, Palmetto Health Alliance: | ||
Series C, 7.0%, 8/1/2030 | 7,740,000 | 8,304,556 |
Series A, Prerefunded, 7.375%, 12/15/2021 | 4,500,000 | 5,525,055 |
South Carolina, Transportation/Tolls Revenue, Transportation Infrastructure, Series A, 5.5%, 10/1/2018 (b) | 5,300,000 | 5,734,600 |
34,773,042 | ||
Tennessee 1.5% | ||
Knox County, TN, Hospital & Healthcare Revenue, Inverse Floater, Rites-PA 750, 10.188%, 1/1/2012* (b) | 8,940,000 | 11,151,041 |
Knox County, TN, Hospital & Healthcare Revenue, Sanders Alliance: | ||
5.75%, 1/1/2011 (b) | 15,405,000 | 17,251,135 |
5.75%, 1/1/2014 (b) | 2,000,000 | 2,243,440 |
6.25%, 1/1/2013 (b) | 4,000,000 | 4,625,160 |
7.25%, 1/1/2009 (b) | 3,750,000 | 4,372,687 |
Memphis, Tennessee, Electric System Revenue, Sub-Series A, 5.0%, 12/1/2018 (b) | 22,700,000 | 23,454,775 |
Shelby County, TN, County GO, Zero Coupon, 8/1/2014 | 4,965,000 | 3,131,922 |
66,230,160 | ||
Texas 9.0% | ||
Abilene, TX, Senior Care Revenue, Health Facilities Development, Series A, 5.875%, 11/15/2018 | 3,250,000 | 3,166,605 |
Austin, TX, Project Revenue, Bergstrom Landhost Enterprises, Inc. Airport Hotel Project, Series A, 6.75%, 4/1/2027 | 21,775,000 | 10,818,255 |
Austin, TX, School District GO, Independent School District, 5.0%, 8/1/2015 (b) | 2,000,000 | 2,123,980 |
Austin, TX, Water & Sewer Revenue, Utility Systems, Zero Coupon, 11/15/2012 (b) | 13,520,000 | 9,358,544 |
Boerne, TX, School District (GO) Lease, Independent School District: | ||
Zero Coupon, 2/1/2014 (b) | 2,785,000 | 1,773,377 |
Zero Coupon, 2/1/2016 (b) | 3,285,000 | 1,851,886 |
Brownsville, TX, Electric Revenue, Utility Systems, 6.25%, 9/1/2010 (b) | 4,085,000 | 4,690,928 |
Cedar Hill, TX, School District GO: | ||
Zero Coupon, 8/15/2009 (b) | 1,500,000 | 1,221,300 |
Zero Coupon, 8/15/2010 (b) | 3,130,000 | 2,441,369 |
Cypress and Fairbanks, TX, School District (GO) Lease, Cypress-Fairbanks Texas Independent School District, Series A, Zero Coupon, 2/15/2014 (b) | 6,000,000 | 3,824,520 |
Cypress and Fairbanks, TX, School District GO, Cypress-Fairbanks Texas Independent School District: | ||
Series A, Zero Coupon, 2/15/2012 (b) | 5,750,000 | 4,123,843 |
Series A, Zero Coupon, 2/15/2013 (b) | 8,840,000 | 5,981,144 |
Dallas Fort-Worth, TX, Airport Revenue, AMT, 5.75%, 11/1/2013 (b) | 4,285,000 | 4,657,195 |
Dallas, TX, Airport Revenue, International Airport, Inverse Floater, Series 350, AMT, 9.635%, 5/1/2011* (b) | 17,875,000 | 19,498,944 |
Dallas, TX, Core City GO, Inverse Floater: | ||
Series PA-1136, 144A, 9.05%, 2/15/2018* (b) | 3,915,000 | 4,330,460 |
Series PA-1136, 144A, 9.05%, 2/15/2019* (b) | 4,110,000 | 4,498,477 |
Series PA-1136, 144A, 9.05%, 2/15/2020* (b) | 5,125,000 | 5,549,555 |
Dallas, TX, Single Family Housing Revenue, Zero Coupon, 10/1/2016 (b) | 1,905,000 | 533,514 |
Dallas-Fort Worth, TX, Airport Revenue: | ||
Series A, 7.375%, 11/1/2008 (b) | 4,500,000 | 4,614,975 |
Series A, 7.375%, 11/1/2009 (b) | 4,500,000 | 4,614,975 |
Series A, 7.375%, 11/1/2010 (b) | 3,500,000 | 3,589,425 |
Series A, 7.8%, 11/1/2005 (b) | 2,000,000 | 2,051,840 |
Series A, 7.8%, 11/1/2006 (b) | 2,025,000 | 2,077,488 |
Series A, 7.8%, 11/1/2007 (b) | 2,390,000 | 2,451,949 |
Galveston County, TX, County GO, 5.5%, 2/1/2014 (b) | 1,675,000 | 1,837,458 |
Galveston County, TX, County GO, Justice Center and Public Safety Building, 5.5%, 2/1/2014 (b) | 2,235,000 | 2,451,773 |
Georgetown, TX, Higher Education Revenue, Southwestern University Project, 6.25%, 2/15/2009 | 840,000 | 843,150 |
Grapevine-Colleyville, TX, School District GO, Zero Coupon, 8/15/2010 (b) | 2,160,000 | 1,687,759 |
Harris County, TX, County GO: | ||
Series A, Zero Coupon, 8/15/2005 (b) | 4,025,000 | 3,945,587 |
Zero Coupon, 10/1/2017 (b) | 3,910,000 | 2,015,253 |
Harris County, TX, Hospital & Healthcare Revenue, Health Facilities Development Corp., Medical Center Project: | ||
6.25%, 5/15/2009 (b) | 2,965,000 | 3,342,178 |
6.25%, 5/15/2010 (b) | 3,000,000 | 3,413,040 |
Harris County, TX, School District GO, Series A, Zero Coupon, 8/15/2004 (b) | 2,050,000 | 2,044,403 |
Harris County, TX, Transportation/Tolls Revenue: | ||
Series A, Zero Coupon, 8/15/2004 (b) | 4,050,000 | 4,038,944 |
6.0%, 8/1/2010 (b) | 18,415,000 | 20,960,505 |
Hidalgo County, TX, Hospital & Healthcare Revenue, Health Services Mission Hospital, 6.875%, 8/15/2026 | 2,880,000 | 2,898,691 |
Houston, TX, Airport Revenue: | ||
AMT, Series A, 5.875%, 7/1/2013 (b) | 6,000,000 | 6,548,760 |
AMT, Series A, 5.875%, 7/1/2015 (b) | 9,505,000 | 10,344,481 |
AMT, Series A, 6.0%, 7/1/2014 (b) | 5,030,000 | 5,522,739 |
Houston, TX, Airport Revenue, Continental Airlines Project, AMT, Series C, 5.7%, 7/15/2029 | 2,000,000 | 1,343,800 |
Houston, TX, School District GO, Series A, Zero Coupon, 2/15/2015 (b) | 26,000,000 | 15,178,540 |
Houston, TX, Transportation/Tolls Revenue, Special Facilities, Continental Airlines, Inc., AMT, Series E, 6.75%, 7/1/2029 | 3,100,000 | 2,417,287 |
Houston, TX, Utility Systems Revenue: | ||
Series A, 5.25%, 5/15/2020 (b) | 8,000,000 | 8,382,400 |
Series A, 5.25%, 5/15/2021 (b) | 10,000,000 | 10,421,300 |
Houston, TX, Water & Sewer Revenue: | ||
Series C, Zero Coupon, 12/1/2005 (b) | 15,000,000 | 14,588,850 |
Series C, Zero Coupon, 12/1/2009 (b) | 14,750,000 | 11,987,767 |
Series C, Zero Coupon, 12/1/2010 (b) | 5,000,000 | 3,863,150 |
Series C, Zero Coupon, 12/1/2012 (b) | 4,350,000 | 3,004,763 |
Series A, 5.5%, 12/1/2016 (b) | 10,000,000 | 10,796,300 |
Prerefunded, 5.75%, 12/1/2015 (b) | 5,000,000 | 5,715,250 |
Series B, Prerefunded, 5.75%, 12/1/2016 (b) | 4,500,000 | 5,143,725 |
Laredo, TX, School District GO, Independent School District, Prerefunded, 6.0%, 8/1/2011 (b) | 2,465,000 | 2,788,876 |
Lubbock, TX, Health Facilities Development Corp., Methodist Hospital: | ||
Series B, ETM, 5.6%, 12/1/2007 (b) | 2,415,000 | 2,648,869 |
Series B, ETM, 5.625%, 12/1/2008 (b) | 4,400,000 | 4,881,888 |
Series B, ETM, 5.625%, 12/1/2009 (b) | 4,640,000 | 5,183,761 |
Montgomery County, TX: | ||
Prerefunded, ETM, Zero Coupon, 9/1/2004 (b) | 795,000 | 792,400 |
Prerefunded, ETM, Zero Coupon, 9/1/2005 (b) | 685,000 | 670,663 |
Montgomery County, TX, County (GO) Lease: | ||
Zero Coupon, 9/1/2004 (b) | 2,680,000 | 2,671,156 |
Zero Coupon, 9/1/2005 (b) | 2,790,000 | 2,731,940 |
Northeast, TX, Hospital & Healthcare Revenue, Northeast Medical Center, 6.0%, 5/15/2010 (b) | 2,180,000 | 2,452,435 |
Northside, TX, School District GO, 5.5%, 2/15/2014 (b) | 2,685,000 | 2,946,251 |
Tarrant County, TX, Hospital & Healthcare Revenue, Health Facilities Development Corp.: | ||
6.0%, 5/15/2011 (b) | 4,615,000 | 5,118,774 |
6.0%, 5/15/2021 (b) | 6,235,000 | 7,038,130 |
Texas, Electric Revenue: | ||
ETM, Zero Coupon, 9/1/2017 (b) | 110,000 | 57,896 |
Zero Coupon, 9/1/2017 (b) | 5,890,000 | 3,049,194 |
Texas, Electric Revenue, Municipal Power Agency: | ||
Zero Coupon, 9/1/2016 (b) | 18,335,000 | 10,080,583 |
6.1%, 9/1/2007 (b) | 9,250,000 | 10,233,645 |
Texas, Multi Family Housing Revenue, Department Housing & Community Affairs, Series A, Prerefunded, 6.4%, 1/1/2027 | 3,350,000 | 3,738,165 |
Texas, Municipal Power Agency: | ||
ETM, Zero Coupon, 9/1/2016 (b) | 340,000 | 189,635 |
ETM, 6.1%, 9/1/2009 (b) | 4,435,000 | 5,043,704 |
Texas, Other GO, 7.0%, 9/15/2012 | 7,524,900 | 7,713,775 |
Texas, School District GO, Community College District: | ||
5.5%, 8/15/2014 (b) | 3,145,000 | 3,464,217 |
5.5%, 8/15/2015 (b) | 3,435,000 | 3,746,005 |
5.5%, 8/15/2017 (b) | 4,060,000 | 4,390,931 |
Texas, State Agency (GO) Lease, Public Finance Authority, Series B, 6.25%, 2/1/2008 (b) | 5,190,000 | 5,789,393 |
Texas, Water & Sewer Revenue, Trinity River Authority: | ||
5.5%, 2/1/2019 (b) | 1,000,000 | 1,069,990 |
5.5%, 2/1/2022 (b) | 4,725,000 | 5,000,042 |
Texas, Water & Sewer Revenue, Water Development Board Revenue, Series A, 5.625%, 7/15/2015 | 1,000,000 | 1,082,440 |
Travis County, TX, Hospital & Healthcare Revenue, Health Facilities Development Corp.: | ||
Series A, 5.75%, 11/15/2011 (b) | 3,440,000 | 3,799,514 |
Series A, Prerefunded, 6.25%, 11/15/2016 (b) | 13,770,000 | 15,889,479 |
Travis County, TX, Hospital & Healthcare Revenue, Health Facilities Development Corp., Ascension Health, Series A, Prerefunded, 6.25%, 11/15/2015 (b) | 2,780,000 | 3,207,897 |
Waxahachie, TX, School District GO, Independent School District: | ||
Zero Coupon, 8/15/2012 | 4,120,000 | 2,884,206 |
Zero Coupon, 8/15/2013 | 2,060,000 | 1,359,332 |
406,297,587 | ||
Utah 0.6% | ||
Provo, UT, Electric Revenue, Series A, ETM, 10.375%, 9/15/2015 (b) | 1,570,000 | 2,140,774 |
Salt Lake City, UT, Core City GO, 5.75%, 6/15/2014 | 25,000 | 27,910 |
Salt Lake City, UT, Hospital & Healthcare Revenue, IHC Hospitals, Inc., 6.15%, 2/15/2012 | 1,500,000 | 1,715,415 |
Utah, Electric Revenue, Associated Municipal Power System: | ||
Zero Coupon, 7/1/2004 (b) | 5,895,000 | 5,888,103 |
Zero Coupon, 7/1/2005 (b) | 5,900,000 | 5,800,113 |
Zero Coupon, 7/1/2006 (b) | 5,895,000 | 5,617,345 |
Zero Coupon, 7/1/2007 (b) | 3,750,000 | 3,427,500 |
Utah, Electric Revenue, Intermountain Power Agency: | ||
Series A, ETM, Zero Coupon, 7/1/2004 (b) | 1,095,000 | 1,093,741 |
Series A, Zero Coupon, 7/1/2004 (b) | 635,000 | 634,257 |
Series A, ETM, 5.0%, 7/1/2012 (b) | 540,000 | 541,528 |
West Valley City, UT, Excise Tax Revenue, ETM, 10.625%, 7/1/2004 (b) | 160,000 | 161,350 |
27,048,036 | ||
Vermont 0.2% | ||
Burlington, VT, Electric Revenue: | ||
5.375%, 7/1/2013 (b) | 4,800,000 | 5,281,824 |
5.375%, 7/1/2014 (b) | 5,055,000 | 5,529,058 |
10,810,882 | ||
Virgin Islands 0.0% | ||
Virgin Islands, Sales & Special Tax Revenue, Public Finance Authority, Series A, 6.5%, 10/1/2024 | 900,000 | 1,003,230 |
Virginia 0.8% | ||
Fairfax County, VA, Hospital & Healthcare Revenue, Economic Development Authority, Greenspring Retirement Community, Series A, 7.25%, 10/1/2019 | 2,000,000 | 2,090,980 |
Fairfax County, VA, Hospital & Healthcare Revenue, Economic Development Finance Authority, Series A, 7.5%, 10/1/2029 | 7,100,000 | 7,525,432 |
Richmond, VA, Core City GO, Public Improvement, 5.375%, 7/15/2015 (b) | 2,285,000 | 2,482,767 |
Roanoke, VA, Hospital & Healthcare Revenue, Industrial Development Authority, Roanoke Memorial Hospital, Series B, 6.125%, 7/1/2017 (b) | 5,500,000 | 6,329,510 |
Virginia, Resource Recovery Revenue, Public Service Authority Refunding, Series A, 5.25%, 7/1/2010 (b) | 7,380,000 | 8,108,258 |
Virginia Beach, VA, Hospital & Healthcare Revenue, Development Authority Hospital Facility First Mortgage, 5.125%, 2/15/2018 (b) | 3,000,000 | 3,175,920 |
Winchester, VA, Hospital & Healthcare Revenue, Industrial Development Authority, 5.5%, 1/1/2015 (b) | 5,700,000 | 6,243,780 |
35,956,647 | ||
Washington 3.3% | ||
Chelan County, WA, Electric Revenue, Public Utilities, Columbia River Rock, Zero Coupon, 6/1/2014 (b) | 12,685,000 | 7,929,393 |
Clark County, WA, Electric Revenue, Public Utilities District No. 001 Generating Systems, ETM, 6.0%, 1/1/2008 (b) | 2,200,000 | 2,427,414 |
Clark County, WA, School District GO, Zero Coupon, 12/1/2017 (b) | 6,725,000 | 3,424,034 |
Clark County, WA, School District GO, No. 98 Hockinson, 6.125%, 12/1/2011 (b) | 3,190,000 | 3,641,130 |
King and Snohomish Counties, WA, School District GO, No. 417 Northshore, 5.6%, 12/1/2010 (b) | 1,650,000 | 1,844,618 |
King County, WA, County GO, Series B, Prerefunded, 6.625%, 12/1/2015 | 8,835,000 | 10,159,101 |
King County, WA, County GO, Prerefunded, 6.625%, 12/1/2015 | 1,010,000 | 1,161,369 |
Port Seattle, WA, Airport Revenue, AMT, Series B, 6.0%, 2/1/2014 (b) | 4,000,000 | 4,464,480 |
Seattle, WA, Airport Revenue, Series B, AMT, 6.0%, 2/1/2012 (b) | 1,765,000 | 1,963,898 |
Skagit County, WA, School District GO, District No.100 Burlington Edison, 5.625%, 12/1/2015 (b) | 4,925,000 | 5,347,270 |
Snohomish County, WA, School District GO, 5.75%, 12/1/2011 (b) | 3,485,000 | 3,953,035 |
Snohomish County, WA, School District GO, School District No. 006 Mukilteo, 6.5%, 12/1/2007 (b) | 3,325,000 | 3,739,395 |
Spokane County, WA, School District GO, Series B, Zero Coupon, 12/1/2014 (b) | 2,500,000 | 1,531,200 |
Washington, Electric Revenue, Series A, 5.5%, 7/1/2017 (b) | 11,200,000 | 11,993,520 |
Washington, Electric Revenue, Public Power Supply Nuclear Project #2, 5.7%, 7/1/2008 (b) | 1,270,000 | 1,401,839 |
Washington, Electric Revenue, Public Power Supply System, Series A, 6.0%, 7/1/2007 (b) | 7,000,000 | 7,692,580 |
Washington, Electric Revenue, Public Power Supply System Nuclear Project # 2: | ||
ETM, 5.7%, 7/1/2008 | 3,730,000 | 4,130,863 |
Series B, ETM, 7.25%, 7/1/2006 | 6,585,000 | 7,277,413 |
7.25%, 7/1/2006 | 415,000 | 457,674 |
Washington, Electric Revenue, Public Power Supply Systems: | ||
Series A, Zero Coupon, 7/1/2004 | 3,625,000 | 3,620,541 |
Series A, Zero Coupon, 7/1/2005 | 4,125,000 | 4,049,925 |
Series A, Zero Coupon, 7/1/2006 | 1,380,000 | 1,313,098 |
Series B, Zero Coupon, 7/1/2006 (b) | 5,555,000 | 5,288,971 |
Zero Coupon, 7/1/2007 (b) | 4,375,000 | 3,993,850 |
Series A, Zero Coupon, 7/1/2011 (b) | 4,200,000 | 3,153,948 |
Series A, Zero Coupon, 7/1/2010 | 5,860,000 | 4,592,833 |
Series B, 7.25%, 7/1/2009 (b) | 12,350,000 | 13,930,306 |
Washington, Hospital & Healthcare Revenue, Health Care Facilities Authority: | ||
5.75%, 11/1/2007 (b) | 7,350,000 | 8,067,875 |
5.8%, 11/1/2008 (b) | 4,865,000 | 5,401,561 |
5.8%, 11/1/2009 (b) | 4,595,000 | 5,122,092 |
5.8%, 11/1/2010 (b) | 2,100,000 | 2,361,681 |
Washington, State GO, Series 5, Zero Coupon, 1/1/2017 (b) | 4,535,000 | 2,423,141 |
147,860,048 | ||
West Virginia 0.1% | ||
West Virginia, Hospital & Healthcare Revenue, Hospital Finance Authority, Charleston Medical Center, 6.75%, 9/1/2030 | 590,000 | 637,129 |
West Virginia, Hospital Finance Authority, Charleston Medical Center, Prerefunded, 6.75%, 9/1/2030 | 2,410,000 | 2,876,673 |
3,513,802 | ||
Wisconsin 2.2% | ||
Milwaukee County, WI Series A, ETM, Zero Coupon, 12/1/2011 (b) | 220,000 | 162,056 |
Wisconsin, Hospital & Healthcare Revenue, Health & Education Facilities Authority, Aurora Health Care, Inc.: | ||
Series A, 5.6%, 2/15/2029 | 21,800,000 | 20,775,836 |
6.875%, 4/15/2030 | 14,000,000 | 14,981,820 |
Wisconsin, Hospital & Healthcare Revenue, Health & Educational Facilities Authority: | ||
Series B, 5.625%, 2/15/2029 | 9,725,000 | 9,311,493 |
5.75%, 11/15/2006 (b) | 2,000,000 | 2,165,140 |
6.0%, 11/15/2008 (b) | 4,085,000 | 4,569,849 |
Wisconsin, Hospital & Healthcare Revenue, Health and Education Facilities Authority: | ||
5.75%, 11/15/2007 (b) | 1,500,000 | 1,647,690 |
6.0%, 11/15/2009 (b) | 4,330,000 | 4,868,609 |
6.1%, 8/15/2008 (b) | 4,580,000 | 5,124,562 |
6.1%, 8/15/2009 (b) | 2,000,000 | 2,254,480 |
Series B, ETM, 6.25%, 1/1/2022 (b) | 5,130,000 | 5,849,534 |
Series C, 6.25%, 1/1/2022 (b) | 8,965,000 | 10,340,051 |
Series AA, 6.4%, 6/1/2008 (b) | 2,335,000 | 2,628,206 |
Series AA, 6.45%, 6/1/2009 (b) | 2,485,000 | 2,834,391 |
Series AA, 6.45%, 6/1/2010 (b) | 2,650,000 | 3,055,556 |
Series AA, 6.5%, 6/1/2011 (b) | 2,820,000 | 3,307,127 |
Series AA, 6.5%, 6/1/2012 (b) | 3,000,000 | 3,524,190 |
97,400,590 | ||
Total Investment Portfolio - 100.0% (Cost $4,193,617,885) (a) | 4,490,917,296 |
* Inverse floating rate notes are derivative debt instruments with a floating rate of interest that bears an inverse relationship to changes in short-term market interest rates. Inverse floating rate notes exhibit added interest rate sensitivity compared to other bonds with a similar maturity. Investments in this type of security involve special risks as compared to investments in a fixed rate municipal security. Moreover, the markets for securities of this type may be less developed and may have less liquidity than the markets for more traditional municipal securities. These securities, amounting to $354,890,857, aggregating 7.8% of net assets, are shown at their current rate as of May 31, 2004.
(a) The cost for federal income tax purposes was $4,188,499,336. At May 31, 2004, net unrealized appreciation for all securities based on tax cost was $302,417,960. This consisted of aggregate gross unrealized appreciation for all securities in which there was an excess of value over tax cost of $334,564,143 and aggregate gross unrealized depreciation for all securities in which there was an excess of tax cost over value of $32,146,183.
(b) Bond is insured by one of these companies:
Insurance Coverage | As a % of Total | ||
AMBAC | AMBAC Assurance Corp. | 13.6 | |
PSF | Permanent School Fund | 1.1 | |
FGIC | Financial Guaranty Insurance Company | 10.9 | |
FSA | Financial Security Assurance | 9.3 | |
MBIA | Municipal Bond Investors Assurance | 29.1 | |
GNMA | Government National Mortgage Association | 0.2 |
(c) At May 31, 2004, these securities have been segregated, in whole or in part, to cover initial margin requirements for open futures contracts.
(d) When issued or forward delivery security (see Notes to Financial Statements)
AMT: Subject to alternative minimum tax.
ETM: Bonds bearing the description ETM (escrowed to maturity) are collateralized by US Treasury securities which are held in escrow and used to pay principal and interest on bonds so designated.
Prerefunded: Bonds which are prerefunded are collateralized by US Treasury securities which are held in escrow and are used to pay principal and interest on tax-exempt issues and to retire the bonds in full at the earliest refunding date.
144A: Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transaction exempt from registration, normally to qualified institutional buyers.
At May 31, 2004, open futures contracts sold were as follows:Futures | Expiration Date | Contracts | Aggregated Face Value ($) | Value ($) | Net Unrealized Appreciation (Depreciation) ($) |
10 Year Interest Rate Swap | 6/14/2004 | 408 | 45,442,684 | 43,452,000 | 1,990,684 |
10 Year CBT Treasury Note | 6/21/2004 | 2,826 | 321,263,919 | 310,506,750 | 10,757,169 |
Total net unrealized appreciation | 12,747,853 |
At May 31, 2004, open interest rate swaps were as follows:
Effective/ Expiration Dates | Notional Amount ($) | Cash Flows Paid by the Fund | Cash Flows Received by the Fund | Net Unrealized Appreciation/ (Depreciation) ($) |
6/2/2004 6/2/2014 | 40,000,000+++ | Fixed - 5.069% | Floating - LIBOR | 204,000 |
6/8/2004 6/8/2014 | 20,000,000+++ | Fixed - 5.04% | Floating - LIBOR | 168,000 |
6/9/2004 6/9/2014 | 40,000,000++++ | Fixed - 4.893% | Floating - LIBOR | 804,000 |
6/10/2004 6/10/2014 | 77,500,000++++ | Fixed - 4.89% | Floating - LIBOR | 1,588,750 |
6/16/2004 6/16/2014 | 40,000,000++++ | Fixed - 4.863% | Floating - LIBOR | 936,000 |
6/16/2004 6/16/2014 | 40,000,000++++ | Fixed - 4.868% | Floating - LIBOR | 912,000 |
7/29/2004 7/29/2014 | 29,000,000+++ | Fixed - 4.882% | Floating - LIBOR | 783,000 |
8/19/2004 8/19/2014 | 64,000,000+++ | Fixed - 4.722% | Floating - LIBOR | 2,707,200 |
8/24/2004 8/24/2014 | 64,000,000++++ | Fixed - 4.744% | Floating - LIBOR | 2,636,800 |
10/12/2004 10/12/2016 | 74,000,000++++ | Fixed - 4.058% | Floating - BMA | 1,450,400 |
10/13/2004 10/13/2016 | 85,000,000++ | Fixed - 4.051% | Floating - BMA | 1,589,500 |
10/14/2004 10/14/2016 | 74,000,000+ | Fixed - 4.132% | Floating - BMA | 821,400 |
11/4/2004 11/4/2016 | 26,000,000+++ | Fixed - 5.557% | Floating - LIBOR | (65,000) |
11/16/2004 11/16/2016 | 27,000,000+++ | Fixed - 5.739% | Floating - LIBOR | (467,100) |
11/23/2004 11/23/2016 | 51,000,000+++ | Fixed - 5.669% | Floating - LIBOR | (525,300) |
Total net unrealized appreciation | 13,543,650 |
Counterparties:
+ Merrill Lynch Capital Services, Inc.
++ J.P. Morgan Chase Bank
+++ Lehman Brothers, Inc.
++++ Goldman, Sachs & Co.
LIBOR: Represents the London InterBank Offered Rate
BMA: Represents the Bond Market Association
The accompanying notes are an integral part of the financial statements.
Statement of Assets and Liabilities as of May 31, 2004 | |
Assets | |
Investments in securities, at value (cost $4,193,617,885) | $ 4,490,917,296 |
Receivable for investments sold | 636,462 |
Interest receivable | 72,125,676 |
Receivable for Fund shares sold | 2,358,538 |
Receivable for daily variation margin on open futures contracts | 1,661,156 |
Net unrealized appreciation on interest rate swaps | 13,543,650 |
Due from Advisor | 27,444 |
Total assets | 4,581,270,222 |
Liabilities | |
Due to custodian bank | 80,637 |
Payable for investments purchased | 35,109,944 |
Payable for when-issued and forward delivery securities | 5,159,500 |
Dividends payable | 3,681,182 |
Payable for Fund shares redeemed | 4,635,098 |
Accrued management fee | 1,543,753 |
Other accrued expenses and payables | 997,894 |
Total liabilities | 51,208,008 |
Net assets, at value | $ 4,530,062,214 |
Net Assets | |
Net assets consist of: Undistributed net investment income | 2,630,505 |
Net unrealized appreciation (depreciation) on: Investments | 297,299,411 |
Interest rate swaps | 13,543,650 |
Futures | 12,747,853 |
Accumulated net realized gain (loss) | (34,421,797) |
Paid-in capital | 4,238,262,592 |
Net assets, at value | $ 4,530,062,214 |
The accompanying notes are an integral part of the financial statements.
Statement of Assets and Liabilities as of May 31, 2004 (continued) | |
Net Asset Value | |
Class A Net Asset Value and redemption price per share ($2,183,156,315 / 241,559,139 outstanding shares of beneficial interest, $.01 par value, unlimited number of shares authorized) | $ 9.04 |
Maximum offering price per share (100 / 95.5 of $9.04) | $ 9.47 |
Class B Net Asset Value, offering and redemption price (subject to contingent deferred sales charge) per share ($47,146,708 / 5,216,109 outstanding shares of beneficial interest, $.01 par value, unlimited number of shares authorized) | $ 9.04 |
Class C Net Asset Value, offering and redemption price (subject to contingent deferred sales charge) per share ($24,590,767 / 2,720,591 outstanding shares of beneficial interest, $.01 par value, unlimited number of shares authorized) | $ 9.04 |
Class AARP Net Asset Value, offering and redemption price per share ($1,476,749,803 / 163,194,096 outstanding shares of beneficial interest, $.01 par value, unlimited number of shares authorized) | $ 9.05 |
Class S Net Asset Value, offering and redemption price per share ($798,407,777 / 88,196,301 outstanding shares of beneficial interest, $.01 par value, unlimited number of shares authorized) | $ 9.05 |
Institutional Class Net Asset Value, offering and redemption price per share ($10,844 / 1,198 outstanding shares of beneficial interest, $.01 par value, unlimited number of shares authorized) | $ 9.05 |
The accompanying notes are an integral part of the financial statements.
Statement of Operations for the year ended May 31, 2004 | |
Investment Income | |
Income: Interest | $ 254,641,867 |
Expenses: Management fee | 19,504,328 |
Administrative fee | 4,993,798 |
Distribution service fees | 6,288,723 |
Trustees' fees and expenses | 129,145 |
Other* | 907,693 |
Total expenses, before expense reductions | 31,823,687 |
Expense reductions | (62,156) |
Total expenses, after expense reductions | 31,761,531 |
Net investment income | 222,880,336 |
Realized and Unrealized Gain (Loss) on Investment Transactions | |
Net realized gain (loss) from: Investments | 27,375,486 |
Interest rate swaps | 26,828,480 |
Forward commitments | (1,068,500) |
Futures | (11,674,874) |
41,460,592 | |
Net unrealized appreciation (depreciation) during the period on: Investments | (332,017,433) |
Other receivable | (192,000) |
Interest rate swaps | 45,303,550 |
Forward commitments | (920,000) |
Futures | 14,776,695 |
(273,049,188) | |
Net gain (loss) on investment transactions | (231,588,596) |
Net increase (decrease) in net assets resulting from operations | $ (8,708,260) |
* Included herein are amounts representing two months of operating expenses previously covered by the Administrative Agreement (see Note C of Notes to Financial Statements) including services to shareholders, custodian and accounting fees, auditing, legal, reports to shareholders and registration fees.
The accompanying notes are an integral part of the financial statements.
Statement of Changes in Net Assets | ||
Increase (Decrease) in Net Assets | Years Ended May 31, | |
2004 | 2003 | |
Operations: Net investment income | $ 222,880,336 | $ 231,692,645 |
Net realized gain (loss) on investment transactions | 41,460,592 | (32,019,137) |
Net unrealized appreciation (depreciation) on investment transactions during the period | (273,049,188) | 241,473,776 |
Net increase (decrease) in net assets resulting from operations | (8,708,260) | 441,147,284 |
Distributions to shareholders from: Net investment income: Class A | (108,020,716) | (110,681,529) |
Class B | (2,212,792) | (2,520,955) |
Class C | (954,543) | (738,305) |
Class AARP | (74,381,714) | (72,930,391) |
Class S | (38,467,931) | (38,928,143) |
Institutional Class | (399) | (37) |
Net realized gains: Class A | - | (6,806,010) |
Class B | - | (191,902) |
Class C | - | (57,807) |
Class AARP | - | (4,319,833) |
Class S | - | (2,310,818) |
Institutional Class | - | (3) |
Fund share transactions: Proceeds from shares sold | 290,687,353 | 414,170,246 |
Reinvestment of distributions | 138,120,196 | 146,758,004 |
Cost of shares redeemed | (633,333,522) | (603,772,438) |
Net increase (decrease) in net assets from Fund share transactions | (204,525,973) | (42,844,188) |
Increase (decrease) in net assets | (437,272,328) | 158,817,363 |
Net assets at beginning of period | 4,967,334,542 | 4,808,517,179 |
Net assets at end of period (including undistributed net investment income of $2,630,505 and $4,290,531, respectively) | $ 4,530,062,214 | $ 4,967,334,542 |
The accompanying notes are an integral part of the financial statements.
Class A | |||
Years Ended May 31, | 2004 | 2003 | 2002a |
Selected Per Share Data | |||
Net asset value, beginning of period | $ 9.50 | $ 9.12 | $ 9.00 |
Income from investment operations: Net investment income | .43 | .42 | .42 |
Net realized and unrealized gain (loss) on investment transactions | (.46) | .41 | .12 |
Total from investment operations | (.03) | .83 | .54 |
Less distributions from: Net investment income | (.43) | (.42) | (.42) |
Net realized gain on investment transactions | - | (.03) | - |
Total distributions | (.43) | (.45) | (.42) |
Net asset value, end of period | $ 9.04 | $ 9.50 | $ 9.12 |
Total Return (%)b | (.31) | 9.41 | 5.94** |
Ratios to Average Net Assets and Supplemental Data | |||
Net assets, end of period ($ millions) | 2,183 | 2,454 | 2,416 |
Ratio of expenses (%) | .75 | .75 | .77* |
Ratio of net investment income (%) | 4.61 | 4.66 | 4.74* |
Portfolio turnover rate (%) | 24 | 22 | 33 |
a For the period from June 11, 2001 (commencement of operations of Class A shares) to May 31, 2002. b Total return does not reflect the effect of any sales charges. * Annualized ** Not annualized |
Class B | |||
Years Ended May 31, | 2004 | 2003 | 2002a |
Selected Per Share Data | |||
Net asset value, beginning of period | $ 9.50 | $ 9.11 | $ 9.00 |
Income from investment operations: Net investment income | .36 | .35 | .35 |
Net realized and unrealized gain (loss) on investment transactions | (.46) | .42 | .11 |
Total from investment operations | (.10) | .77 | .46 |
Less distributions from: Net investment income | (.36) | (.35) | (.35) |
Net realized gain on investment transactions | - | (.03) | - |
Total distributions | (.36) | (.38) | (.35) |
Net asset value, end of period | $ 9.04 | $ 9.50 | $ 9.11 |
Total Return (%)b | (1.07) | 8.52 | 5.15** |
Ratios to Average Net Assets and Supplemental Data | |||
Net assets, end of period ($ millions) | 47 | 66 | 65 |
Ratio of expenses (%) | 1.52 | 1.53 | 1.58* |
Ratio of net investment income (%) | 3.84 | 3.88 | 3.93* |
Portfolio turnover rate (%) | 24 | 22 | 33 |
a For the period from June 11, 2001 (commencement of operations of Class B shares) to May 31, 2002. b Total return does not reflect the effect of any sales charges. * Annualized ** Not annualized |
Class C | |||
Years Ended May 31, | 2004 | 2003 | 2002a |
Selected Per Share Data | |||
Net asset value, beginning of period | $ 9.50 | $ 9.11 | $ 9.00 |
Income from investment operations: Net investment income | .36 | .35 | .34 |
Net realized and unrealized gain (loss) on investment transactions | (.46) | .42 | .11 |
Total from investment operations | (.10) | .77 | .45 |
Less distributions from: Net investment income | (.36) | (.35) | (.34) |
Net realized gain on investment transactions | - | (.03) | - |
Total distributions | (.36) | (.38) | (.34) |
Net asset value, end of period | $ 9.04 | $ 9.50 | $ 9.11 |
Total Return (%)b | (1.09) | 8.52 | 5.11** |
Ratios to Average Net Assets and Supplemental Data | |||
Net assets, end of period ($ millions) | 25 | 24 | 14 |
Ratio of expenses (%) | 1.54 | 1.56 | 1.59* |
Ratio of net investment income (%) | 3.82 | 3.85 | 3.92* |
Portfolio turnover rate (%) | 24 | 22 | 33 |
a For the period from June 11, 2001 (commencement of operations of Class C shares) to May 31, 2002. b Total return does not reflect the effect of any sales charges. * Annualized ** Not annualized |
Class AARP | ||||
Years Ended May 31, | 2004 | 2003 | 2002a | 2001b |
Selected Per Share Data | ||||
Net asset value, beginning of period | $ 9.50 | $ 9.12 | $ 8.95 | $ 8.69 |
Income from investment operations: Net investment income | .45 | .44 | .45 | .37 |
Net realized and unrealized gain (loss) on investment transactions | (.45) | .41 | .17 | .26 |
Total from investment operations | - | .85 | .62 | .63 |
Less distributions from: Net investment income | (.45) | (.44) | (.45) | (.37) |
Net realized gain on investment transactions | - | (.03) | - | - |
Total distributions | (.45) | (.47) | (.45) | (.37) |
Net asset value, end of period | $ 9.05 | $ 9.50 | $ 9.12 | $ 8.95 |
Total Return (%) | (.01) | 9.61 | 6.92 | 7.35** |
Ratios to Average Net Assets and Supplemental Data | ||||
Net assets, end of period ($ millions) | 1,477 | 1,585 | 1,502 | 1,470 |
Ratio of expenses (%) | .56 | .56 | .57 | .64c* |
Ratio of net investment income (%) | 4.80 | 4.85 | 4.92 | 4.92* |
Portfolio turnover rate (%) | 24 | 22 | 33 | 11 |
a As required, effective June 1, 2001, the Fund adopted the provisions of the AICPA Audit and Accounting Guide for Investment Companies and began accreting market discount on debt securities. The effect of this change for the year ended May 31, 2002, was to increase net investment income per share by $.004, decrease net realized and unrealized gain (loss) per share by $.004, and increase the ratio of net investment income to average net assets from 4.88% to 4.92%. Per share data and ratios for periods prior to June 1, 2001, have not been restated to reflect this change in presentation. b For the period from July 31, 2000 (commencement of operations of Class AARP shares) to May 31, 2001. c The ratio of operating expenses includes a one-time reduction in connection with a fund complex reorganization. The ratio without this reduction was .65%. * Annualized ** Not annualized |
Class S | |||||
Years Ended May 31, | 2004 | 2003 | 2002a | 2001 | 2000 |
Selected Per Share Data | |||||
Net asset value, beginning of period | $ 9.50 | $ 9.12 | $ 8.95 | $ 8.43 | $ 8.98 |
Income from investment operations: | |||||
Net investment income | .45 | .44 | .45 | .44 | .46 |
Net realized and unrealized gain (loss) on investment transactions | (.45) | .41 | .17 | .52 | (.51) |
Total from investment operations | - | .85 | .62 | .96 | (.05) |
Less distributions from: | |||||
Net investment income | (.45) | (.44) | (.45) | (.44) | (.46) |
Net realized gains on investment transactions | - | (.03) | - | - | (.04) |
Total distributions | (.45) | (.47) | (.45) | (.44) | (.50) |
Net asset value, end of period | $ 9.05 | $ 9.50 | $ 9.12 | $ 8.95 | $ 8.43 |
Total Return (%) | (.01)b | 9.49 | 7.04 | 11.55 | (.62) |
Ratios to Average Net Assets and Supplemental Data | |||||
Net assets, end of period ($ millions) | 798 | 837 | 812 | 814 | 664 |
Ratio of expenses before expense reductions (%) | .56 | .56 | .57 | .65 | .66c |
Ratio of expenses after expense reductions (%) | .55 | .56 | .57 | .65 | .65c |
Ratio of net investment income (%) | 4.81 | 4.85 | 4.92 | 4.96 | 5.27 |
Portfolio turnover rate (%) | 24 | 22 | 33 | 11 | 47 |
a As required, effective June 1, 2001, the Fund adopted the provisions of the AICPA Audit and Accounting Guide for Investment Companies and began accreting market discount on debt securities. The effect of this change for the year ended May 31, 2002, was to increase net investment income per share by $.004, decrease net realized and unrealized gain (loss) per share by $.004, and increase the ratio of net investment income to average net assets from 4.88% to 4.92%. Per share data and ratios for periods prior to June 1, 2001, have not been restated to reflect this change in presentation. b Total return would have been lower had certain expenses not been reduced. c The ratios of operating expenses excluding costs incurred in connection with a fund complex reorganization before and after expense reductions were .65% and .64%, respectively. |
Institutional Class | ||
Years Ended May 31, | 2004 | 2003a |
Selected Per Share Data | ||
Net asset value, beginning of period | $ 9.50 | $ 9.33 |
Income from investment operations: Net investment income | .44 | .31 |
Net realized and unrealized gain (loss) on investment transactions | (.45) | .20 |
Total from investment operations | (.01) | .51 |
Less distributions from: Net investment income | (.44) | (.31) |
Net realized gain on investment transactions | - | (.03) |
Total distributions | (.44) | (.34) |
Net asset value, end of period | $ 9.05 | $ 9.50 |
Total Return (%) | (.06)b | 5.94** |
Ratios to Average Net Assets and Supplemental Data | ||
Net assets, end of period ($ millions) | .01 | .001 |
Ratio of expenses, before expense reductions (%) | .66 | .54* |
Ratio of expenses, after expense reductions (%) | .54 | .54* |
Ratio of net investment income (%) | 4.82 | 4.74* |
Portfolio turnover rate (%) | 24 | 22 |
a For the period from August 19, 2002 (commencement of operations of Institutional Class shares) to May 31, 2003. b Total returns would have been lower had certain expenses not been reduced. * Annualized ** Not annualized |
A. Significant Accounting Policies
Scudder Managed Municipal Bond Fund (the "Fund") is a diversified series of Scudder Municipal Trust (the "Trust") which is registered under the Investment Company Act of 1940, as amended (the "1940 Act"), as an open-end management investment company organized as a Massachusetts business trust.
The Fund offers multiple classes of shares which provide investors with different purchase options. Class A shares are offered to investors subject to an initial sales charge. Class B shares are offered without an initial sales charge but are subject to higher ongoing expenses than Class A shares and a contingent deferred sales charge payable upon certain redemptions. Class B shares automatically convert to Class A shares six years after issuance. Class C shares are offered to investors without an initial sales charge but are subject to higher ongoing expenses than Class A and a contingent deferred sales charge payable upon certain redemptions within one year of purchase. Prior to March 1, 2004, Class C shares were offered with an initial sales charge.
Class C shares do not convert into another class. Institutional Class shares are offered to a limited group of investors, are not subject to initial or contingent deferred sales charges and have lower ongoing expenses than other classes. Shares of Class AARP are designed for members of AARP. Class S shares of the Fund are generally not available to new investors. Class AARP and S shares are not subject to initial or contingent deferred sales charges.
Investment income, realized and unrealized gains and losses and certain fund-level expenses and expense reductions, if any, are borne pro rata on the basis of relative net assets by the holders of all classes of shares, except that each class bears certain expenses unique to that class such as distribution services fees, administrative fees, services to shareholders and certain other class-specific expenses. Differences in class-level expenses may result in payment of different per share dividends by class. All shares of the Fund have equal rights with respect to voting subject to class-specific arrangements.
The Fund's financial statements are prepared in accordance with accounting principles generally accepted in the United States of America which require the use of management estimates. Actual results could differ from those estimates. The policies described below are followed consistently by the Fund in the preparation of its financial statements.
Security Valuation. Investments are stated at value determined as of the close of regular trading on the New York Stock Exchange on each day the exchange is open for trading. Debt securities are valued by independent pricing services approved by the Trustees of the Fund, whose valuations are intended to reflect the mean between the bid and asked prices. If the pricing services are unable to provide valuations, the securities are valued at the most recent bid quotation or evaluated price, as applicable, obtained from a broker-dealer. Such services may use various pricing techniques which take into account appropriate factors such as yield, quality, coupon rate, maturity, type of issue, trading characteristics and other data, as well as broker quotes. Money market instruments purchased with an original or remaining maturity of sixty days or less, maturing at par, are valued at amortized cost.
Securities and other assets for which market quotations are not readily available or for which the above valuation procedures are deemed not to reflect fair value are valued in a manner that is intended to reflect their fair value as determined in accordance with procedures approved by the Trustees.
Futures Contracts. A futures contract is an agreement between a buyer or seller and an established futures exchange or its clearinghouse in which the buyer or seller agrees to take or make a delivery of a specific amount of a financial instrument at a specified price on a specific date (settlement date). The Fund may enter into futures contracts as a hedge against anticipated interest rate, currency or equity market changes, and for duration management, risk management and return enhancement purposes.
Upon entering into a futures contract, the Fund is required to deposit with a financial intermediary an amount ("initial margin") equal to a certain percentage of the face value indicated in the futures contract. Subsequent payments ("variation margin") are made or received by the Fund dependent upon the daily fluctuations in the value of the underlying security and are recorded for financial reporting purposes as unrealized gains or losses by the Fund. When entering into a closing transaction, the Fund will realize a gain or loss equal to the difference between the value of the futures contract to sell and the futures contract to buy. Futures contracts are valued at the most recent settlement price.
Certain risks may arise upon entering into futures contracts, including the risk that an illiquid secondary market will limit the Fund's ability to close out a futures contract prior to the settlement date and that a change in the value of a futures contract may not correlate exactly with the changes in the value of the securities or currencies hedged. When utilizing futures contracts to hedge, the Fund gives up the opportunity to profit from favorable price movements in the hedged positions during the term of the contract.
Forward Commitment Agreements. A Municipal Market Data ("MMD") forward commitment agreement is a commitment to pay or receive at the termination date the spread between a fixed rate and a spot rate on the MMD AAA yield curve. Risks may arise upon entering into these agreements from the potential inability of counterparties to meet the terms of their agreement and from unanticipated changes in the interest rates on which the agreement is based. The Fund also bears the risk of limited liquidity prior to the termination. MMD forward commitments are valued daily and the change in value is recorded by the Fund as unrealized appreciation or depreciation on forward commitments. Upon the termination date, a cash payment is made based on the spread between the fixed rate and the spot rate and the Fund will realize a gain or loss based upon the cash payment received or paid.
Swap Agreements. The Fund may enter into interest rate swap transactions to reduce the interest rate risk inherent in the Fund's underlying investments. The use of interest rate swaps is a highly specialized activity that involves investment techniques and risks different from those associated with ordinary portfolio security transactions. In an interest rate swap, the Fund would agree to pay to the other party to the interest rate swap (which is known as the "counterparty") a fixed rate payment in exchange for the counterparty agreeing to pay to the Fund a variable rate payment that is intended to approximate the Fund's variable rate payment obligation. The payment obligations would be based on the notional amount of the swap. Certain risks may arise when entering into swap transactions including counterparty default, liquidity or unfavorable changes in interest rates. Payments received or made at the end of the measurement period are recorded as realized gain or loss in the Statement of Operations. The value of the swap is adjusted daily based upon a price supplied by the counterparty and the change in value is recorded as unrealized appreciation or depreciation.
When-Issued/Delayed Delivery Securities. The Fund may purchase securities with delivery or payment to occur at a later date beyond the normal settlement period. At the time the Fund enters into a commitment to purchase a security, the transaction is recorded and the value of the security is reflected in the net asset value. The price of such security and the date when the security will be delivered and paid for are fixed at the time the transaction is negotiated. The value of the security may vary with market fluctuations. No interest accrues to the Fund until payment takes place. At the time the Fund enters into this type of transaction it is required to segregate cash or other liquid assets at least equal to the amount of the commitment.
Certain risks may arise upon entering into when-issued or delayed delivery securities from the potential inability of counterparties to meet the terms of their contracts or if the issuer does not issue the securities due to political, economic, or other factors. Additionally, losses may arise due to changes in the value of the underlying securities.
Federal Income Taxes. The Fund's policy is to comply with the requirements of the Internal Revenue Code, as amended, which are applicable to regulated investment companies, and to distribute all of its taxable and tax-exempt income to its shareholders. Accordingly, the Fund paid no federal income taxes and no federal income tax provision was required.
At May 31, 2004, the Fund had a net tax basis capital loss carryforward of approximately $3,865,000 which may be applied against any realized net taxable capital gains of each succeeding year until fully utilized or until May 31, 2009 ($1,446,000) and May 31, 2011 ($2,419,000), the respective expiration dates, whichever occurs first.
Distribution of Income and Gains. Net investment income of the Fund is declared as a daily dividend and is distributed to shareholders monthly. Net realized gains from investment transactions, in excess of available capital loss carryforwards, would be taxable to the Fund if not distributed, and, therefore, will be distributed to shareholders at least annually.
The timing and characterization of certain income and capital gains distributions are determined annually in accordance with federal tax regulations which may differ from accounting principles generally accepted in the United States of America. These differences primarily relate to investments in futures contracts, securities sold at a loss and accretion of market discount on debt securities. As a result, net investment income (loss) and net realized gain (loss) on investment transactions for a reporting period may differ significantly from distributions during such period. Accordingly, the Fund may periodically make reclassifications among certain of its capital accounts without impacting the net asset value of the Fund.
At May 31, 2004, the Fund's components of distributable earnings (accumulated losses) on a tax basis were as follows:
Undistributed tax-exempt income | $ 5,737,916 |
Undistributed taxable income | $ 573,771 |
Undistributed net long-term capital gains | $ - |
Capital loss carryforwards | $ (3,865,000) |
Net unrealized appreciation (depreciation) on investments | $ 302,417,960 |
In addition, the tax character of distributions paid to shareholders by the Fund is summarized as follows:
Years Ended May 31, | ||
2004 | 2003 | |
Distributions from tax-exempt income | $ 224,038,095 | $ 225,799,360 |
Distributions from short-term capital gains* | $ - | $ 2,475,481 |
Distributions from long-term capital gains | $ - | $ 11,210,892 |
* For tax purposes short-term capital gains distributions are considered taxable income distributions.
Expenses. Expenses of the Trust arising in connection with a specific fund are allocated to that fund. Other Trust expenses which cannot be directly attributed to a fund are apportioned among the funds in the Trust.
Other. Investment transactions are accounted for on a trade date plus one basis for daily net asset value calculations. However, for financial reporting purposes, investment security transactions are reported on trade date. Interest income is recorded on an accrual basis. Realized gains and losses from investment transactions are recorded on an identified cost basis. All premiums and discounts are amortized/accreted for financial reporting purposes.
B. Purchases and Sales of Securities
During the year ended May 31, 2004, purchases and sales of investment securities (excluding short-term investments) aggregated $1,129,497,474 and $1,305,722,200, respectively.
C. Related Parties
Management Agreement. Under the Management Agreement with Deutsche Investment Management Americas Inc. ("DeIM" or the "Advisor"), the Advisor directs the investments of the Fund in accordance with its investment objectives, policies and restrictions. The Advisor determines the securities, instruments and other contracts relating to investments to be purchased, sold or entered into by the Fund. In addition to portfolio management services, the Advisor provides certain administrative services in accordance with the Management Agreement. The management fee payable under the Management Agreement is equal to an annual rate of 0.450% of the first $250,000,000 of the Fund's average daily net assets, 0.430% of the next $750,000,000 of such net assets, 0.410% of the next $1,500,000,000 of such net assets, 0.400% of the next $2,500,000,000 of such net assets, 0.380% of the next $2,500,000,000 of such net assets, 0.360% of the next $2,500,000,000 of such net assets, 0.340% of the next $2,500,000,000 of such net assets and 0.320% of such net assets in excess of $12,500,000,000, computed and accrued daily and payable monthly. Accordingly, for the year ended May 31, 2004, the fee pursuant to the Management Agreement was equivalent to an annual effective rate of 0.41% of the Fund's average daily net assets.
Administrative Fee. Under the Administrative Agreement, the Advisor provided or paid others to provide substantially all of the administrative services required by the Fund (other than those provided by the Advisor under its Management Agreement with the Fund, as described above) in exchange for the payment by the Fund of an administrative services fee (the "Administrative Fee") of 0.10%, 0.125%, 0.15%, 0.15%, 0.15% and 0.125%, of average daily net assets for Class A, B, C, AARP, S and Institutional Class shares, respectively, computed and accrued daily and payable monthly.
The Administrative Agreement between the Advisor and the Fund terminated March 31, 2004, and effective April 1, 2004, the Fund directly bears the cost of those expenses formerly covered under the Administrative Agreement.
Effective October 1, 2003 through September 30, 2005, the Advisor has contractually agreed to waive all or a portion of its management fee and/or Administrative Fee and reimburse or pay certain operating expenses of the Fund to the extent necessary to maintain the operating expenses of each class at 0.80% of average daily net assets for Class A, B, C, AARP and S shares and 0.54% of average daily net assets for Institutional Class shares (excluding certain expenses such as extraordinary expenses, taxes, brokerage, interest, Rule 12b-1 distribution and/or service fees, trustee and trustee counsel fees). Furthermore, for the period October 1, 2003 through March 31, 2004, the Advisor agreed to waive a portion of its Administrative Fee of the Fund to the extent necessary to maintain the operating expenses of each class at 0.561%, 0.581%, 0.561%, 0.591% and 0.551% of average daily net assets for Class A, B, C, AARP and S shares, respectively (excluding certain expenses such as extraordinary expenses, taxes, brokerage, interest, Rule 12b-1 distribution and/or services fees, trustee and trustee counsel fees). Furthermore, for the period April 1, 2004 through May 31, 2004, the Advisor agreed to waive a portion of its expenses of the Fund to the extent necessary to maintain the operating expenses of Class A, B, C, AARP and S shares at 0.738% of average daily net assets (excluding certain expenses such as extraordinary expenses, taxes, brokerage, interest, Rule 12b-1 distribution and/or service fees, trustee and trustee counsel fees).
For the period June 1, 2003 to March 31, 2004. the Administrative Fee was as follows:
Administrative Fee | Total Aggregated | Not |
Class A | $ 1,956,417 | $ - |
Class B | 61,032 | - |
Class C | 30,876 | - |
Institutional Class | 8 | 8 |
Class AARP | 1,934,387 | - |
Class S | 1,011,078 | 33,786 |
$ 4,993,798 | $ 33,794 |
In addition, for the year ended May 31, 2004, the Advisor has agreed to voluntarily reimburse the Fund an additional $27,444.
Service Provider Fees. Scudder Investments Service Company ("SISC"), an affiliate of the Advisor, is the Fund's transfer, dividend-paying agent and shareholder service agent for Class A, B, C and Institutional Class shares of the Fund. Scudder Service Corporation ("SSC"), a subsidiary of the Advisor, is the transfer, dividend-paying agent and shareholder service agent for Class AARP and S shares of the Fund. Pursuant to a sub-transfer agency agreement among SISC and SSC and DST Systems, Inc. ("DST"), SISC and SSC have delegated certain transfer agent and dividend paying agent functions to DST. The costs and expenses of such delegation are borne by SISC and SSC, not by the Fund. For the period April 1, 2004 through May 31, 2004, the amounts charged to the Fund by SISC and SSC were as follows:
Services to Shareholders | Total Aggregated | Unpaid at May 31, 2004 |
Class A | $ 104,673 | $ 104,673 |
Class B | 4,986 | 4,986 |
Class C | 1,568 | 1,568 |
Institutional Class | 11 | 11 |
Class AARP | 108,820 | 108,820 |
Class S | 20,293 | 20,293 |
$ 240,351 | $ 240,351 |
Scudder Fund Accounting Corporation ("SFAC"), an affiliate of the Advisor, is responsible for computing the daily net asset value per share and maintaining the portfolio and general accounting records of the Fund. SFAC has retained State Street Bank and Trust Company to provide certain administrative, fund accounting and record-keeping services to the Fund. For the period April 1, 2004 through May 31, 2004, the amount charged to the Fund by SFAC for accounting services aggregated $114,497, all of which is unpaid at May 31, 2004.
Prior to April 1, 2004, the service provider fees outlined above were paid by the Advisor in accordance with the Administrative Agreement.
Distribution Service Agreement. Under the Distribution Service Agreement, in accordance with Rule 12b-1 under the 1940 Act, Scudder Distributors, Inc. ("SDI"), a subsidiary of the Advisor, receives a fee ("Distribution Fee") of 0.75% of average daily net assets of Class B and C shares. Pursuant to the agreement, SDI enters into related selling group agreements with various firms at various rates for sales of Class B and C shares. For the year ended May 31, 2004, the Distribution Fee was as follows:
Distribution Fee | Total Aggregated | Unpaid at May 31, 2004 |
Class B | $ 427,940 | $ 30,286 |
Class C | 185,589 | 15,643 |
$ 613,529 | $ 45,929 |
In addition, SDI provides information and administrative services ("Service Fee") to Class A, B and C shareholders at an annual rate of up to 0.25% of average daily net assets for each such class. SDI in turn has various agreements with financial services firms that provide these services and pays these fees based upon the assets of shareholder accounts the firms service. For the year ended May 31, 2004, the Service Fee was as follows:
Service Fee | Total Aggregated | Unpaid at May 31, 2004 | Effective Rate |
Class A | $ 5,490,140 | $ 167,372 | .24% |
Class B | 127,728 | 3,987 | .22% |
Class C | 57,326 | 1,833 | .23% |
$ 5,675,194 | $ 173,192 |
Underwriting Agreement and Contingent Deferred Sales Charge. SDI is the principal underwriter for the Fund. Underwriting commissions paid to SDI in connection with the distribution of Class A shares for the year ended May 31, 2004 aggregated $176,144. There were no underwriting commissions paid in connection with the distribution of Class C shares during the year ended May 31, 2004.
In addition, SDI receives any contingent deferred sales charge ("CDSC") from Class B share redemptions occurring within six years of purchase and Class C share redemptions occurring within one year of purchase. There is no such charge upon redemption of any share appreciation or reinvested dividends. The CDSC is based on declining rates ranging from 4% to 1% for Class B and 1% for Class C, of the value of the shares redeemed. For the year ended May 31, 2004, the CDSC for Class B and C shares aggregated $85,140 and $11,281, respectively. A deferred sales charge of up to 1% is assessed on certain redemptions of Class A shares. For the year ended May 31, 2004, SDI received $2,888.
Trustees' Fees and Expenses. The Fund pays each Trustee not affiliated with the Advisor retainer fees plus specified amounts for attended board and committee meetings.
Other Related Parties. AARP through its affiliate, AARP Services, Inc., monitors and oversees the AARP Investment Program from Scudder Investments, but does not act as an investment advisor or recommend specific mutual funds. DeIM has agreed to pay a fee to AARP and/or its affiliates in return for the use of the AARP trademark and services relating to investments by AARP members in AARP Class shares of the Fund. This fee is calculated on a daily basis as a percentage of the combined net assets of the AARP classes of all funds managed by DeIM. The fee rates, which decrease as the aggregate net assets of the AARP classes become larger, are as follows: 0.07% for the first $6 billion in net assets, 0.06% for the next $10 billion and 0.05% thereafter. These amounts are used for the general purposes of AARP and its members.
D. Expense Off-Set Arrangement
The Fund has entered into an arrangement with the custodian whereby credits realized as a result of uninvested cash balances were used to reduce a portion of the Fund's expenses. During the year ended May 31, 2004, custodian fees were reduced by $918 for custodian credits earned.
E. Line of Credit
The Fund and several other affiliated funds (the "Participants") share in a $1.25 billion revolving credit facility administered by J.P. Morgan Chase Bank for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities. The Participants are charged an annual commitment fee which is allocated, based upon net assets, among each of the Participants. Interest is calculated at the Federal Funds Rate plus 0.5 percent. The Fund may borrow up to a maximum of 33 percent of its net assets under the agreement.
F. Share Transactions
The following table summarizes share and dollar activity in the Fund:
Year Ended May 31, 2004 | Year Ended May 31, 2003 | |||
Shares | Dollars | Shares | Dollars | |
Shares sold | ||||
Class A | 11,328,721 | $ 105,163,655 | 20,986,909 | $ 194,800,399 |
Class B | 652,877 | 6,064,662 | 2,265,059 | 21,105,613 |
Class C | 871,962 | 8,128,463 | 1,566,539 | 14,619,324 |
Class AARP | 9,016,415 | 83,878,443 | 11,410,208 | 106,193,791 |
Class S | 9,563,708 | 87,441,130 | 8,318,649 | 77,450,119 |
Institutional Class | 1,207 | 11,000 | 108* | 1,000* |
$ 290,687,353 | $ 414,170,246 | |||
Shares issued to shareholders in reinvestment of distributions | ||||
Class A | 7,466,250 | $ 69,214,164 | 7,910,426 | $ 73,544,462 |
Class B | 139,824 | 1,296,531 | 168,322 | 1,564,480 |
Class C | 66,535 | 616,824 | 55,099 | 512,275 |
Class AARP | 4,769,906 | 44,269,503 | 5,009,960 | 46,587,140 |
Class S | 2,447,995 | 22,722,786 | 2,639,506 | 24,549,616 |
Institutional Class | 41 | 388 | 3* | 31* |
$ 138,120,196 | $ 146,758,004 | |||
Shares redeemed | ||||
Class A | (35,635,755) | $ (330,327,638) | (35,546,297) | $ (330,514,129) |
Class B | (2,546,171) | (23,614,015) | (2,550,815) | (23,734,049) |
Class C | (755,319) | (6,973,133) | (662,780) | (6,183,341) |
Class AARP | (17,480,475) | (161,892,618) | (14,269,565) | (132,587,083) |
Class S | (11,927,263) | (110,524,616) | (11,912,804) | (110,753,836) |
Institutional Class | (161) | (1,502) | -* | -* |
$ (633,333,522) | $ (603,772,438) | |||
Net increase (decrease) | ||||
Class A | (16,840,784) | $ (155,949,819) | (6,648,962) | $ (62,169,268) |
Class B | (1,753,470) | (16,252,822) | (117,434) | (1,063,956) |
Class C | 183,178 | 1,772,154 | 958,858 | 8,948,258 |
Class AARP | (3,694,154) | (33,744,672) | 2,150,603 | 20,193,848 |
Class S | 84,440 | (360,700) | (954,649) | (8,754,101) |
Institutional Class | 1,087 | 9,886 | 111* | 1,031* |
$ (204,525,973) | $ (42,844,188) |
* For the period from August 19, 2002 (commencement of operations of Institutional Class shares) to May 31, 2003.
G. Regulatory Matters and Litigation
Since at least July 2003, federal, state and industry regulators have been conducting ongoing inquiries and investigations ("inquiries") into the mutual fund industry, and have requested information from numerous mutual fund companies, including Scudder Investments. We are unable to determine what the outcome of these inquiries will be or what the effect, if any, would be on the funds or their advisors. Publicity about mutual fund practices arising from these industry-wide inquiries serves as the general basis of a number of private lawsuits against the Scudder funds. These lawsuits, which previously have been reported in the press, involve purported class action and derivative lawsuits, making various allegations and naming as defendants various persons, including certain Scudder funds, Deutsche Asset Management ("DeAM") and its affiliates, certain individuals, including in some cases Fund Trustees/Directors, and other parties. DeAM has undertaken to bear all liabilities and expenses incurred by the Scudder funds in connection with these lawsuits, or other lawsuits or regulatory actions that may be filed making allegations similar to these lawsuits regarding fund valuation, market timing, revenue sharing or other subjects of the pending inquiries. Based on currently available information, DeAM believes the likelihood that the pending lawsuits will have a material adverse financial impact on a Scudder fund is remote and such actions are not likely to materially affect its ability to perform under its investment management agreements with the Scudder funds.
To the Trustees of Scudder Municipal Trust and the Shareholders of Scudder Managed Municipal Bond Fund:
In our opinion, the accompanying statement of assets and liabilities, including the investment portfolio, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Scudder Managed Municipal Bond Fund (the "Fund") at May 31, 2004, and the results of its operations, the changes in its net assets and the financial highlights for each of the periods indicated therein, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as "financial statements") are the responsibility of the Fund's management; our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States), which require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit 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, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at May 31, 2004 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion.
Boston, Massachusetts | PricewaterhouseCoopers LLP |
Of the dividends paid from net investment income for the taxable year ended May 31, 2004, 100% are designated as exempt interest dividends for federal income tax purposes.
Please consult a tax advisor if you have questions about federal or state income tax laws, or on how to prepare your tax returns. If you have specific questions about your account, please call 1-800-SCUDDER.
The following table presents certain information regarding the Trustees and Officers of the fund as of May 31, 2004. Each individual's year of birth is set forth in parentheses after his or her name. Unless otherwise noted, (i) each individual has engaged in the principal occupation(s) noted in the table for at least the most recent five years, although not necessarily in the same capacity, and (ii) the address of each Trustee is c/o Dawn-Marie Driscoll, PO Box 100176, Cape Coral, FL 33910. Unless otherwise indicated, the address of each Officer is Two International Place, Boston, Massachusetts 02110. The term of office for each Trustee is until the next meeting of shareholders called for the purpose of electing Trustees and until the election and qualification of a successor, or until such Trustee sooner dies, resigns, retires or is removed as provided in the governing documents of the fund. Because the fund does not hold an annual meeting of shareholders, each Trustee will hold office for an indeterminate period. The Trustees of the Trust may also serve in similar capacities with other funds in the fund complex.
Independent Trustees | ||
Name, Year of Birth, Position(s) Held with the Fund and Length of Time Served1 | Principal Occupation(s) During Past 5 Years and Other Directorships Held | Number of Funds in Fund Complex Overseen |
Dawn-Marie Driscoll (1946) Chairman and Trustee, 1987-present | President, Driscoll Associates (consulting firm); Executive Fellow, Center for Business Ethics, Bentley College; formerly, Partner, Palmer & Dodge (1988-1990); Vice President of Corporate Affairs and General Counsel, Filene's (1978-1988). Directorships: CRS Technology (technology service company); Advisory Board, Center for Business Ethics, Bentley College; Board of Governors, Investment Company Institute; former Chairman, ICI Directors Services Committee | 48 |
Henry P. Becton, Jr. (1943) Trustee, 1990-present | President, WGBH Educational Foundation. Directorships: Becton Dickinson and Company (medical technology company); The A.H. Belo Company (media company); Concord Academy; Boston Museum of Science; Public Radio International. Former Directorships: American Public Television; New England Aquarium; Mass Corporation for Educational Telecommunications; Committee for Economic Development; Public Broadcasting Service | 48 |
Keith R. Fox (1954) Trustee, 1996-present | Managing Partner, Exeter Capital Partners (private equity funds). Directorships: Facts on File (school and library publisher); Progressive Holding Corporation (kitchen importer and distributor); Cloverleaf Transportation Inc. (trucking); K-Media, Inc. (broadcasting); Natural History, Inc. (magazine publisher); National Association of Small Business Investment Companies (trade association) | 48 |
Louis E. Levy (1932) Trustee, 2002-present | Retired. Formerly, Chairman of the Quality Control Inquiry Committee, American Institute of Certified Public Accountants (1992-1998); Partner, KPMG LLP (1958-1990). Directorships: Household International (banking and finance); ISI Family of Funds (registered investment companies; 4 funds overseen) | 48 |
Jean Gleason Stromberg (1943) Trustee, 1999-present | Retired. Formerly, Consultant (1997-2001); Director, US General Accounting Office (1996-1997); Partner, Fulbright & Jaworski, L.L.P. (law firm) (1978-1996). Directorships: The William and Flora Hewlett Foundation; Service Source, Inc. | 48 |
Jean C. Tempel (1943) Trustee, 1994-present | Managing Partner, First Light Capital (venture capital group) (2000-present); formerly, Special Limited Partner, TL Ventures (venture capital fund) (1996-1998); General Partner, TL Ventures (1994-1996); President and Chief Operating Officer, Safeguard Scientifics, Inc. (public technology business incubator company) (1991-1993). Directorships: Sonesta International Hotels, Inc.; Aberdeen Group (technology research); United Way of Mass Bay; The Commonwealth Institute (supports women entrepreneurs). Trusteeships: Connecticut College, Vice Chair of Board, Chair, Finance Committee; Northeastern University, Vice Chair of Finance Committee, Chair, Funds and Endowment Committee | 48 |
Carl W. Vogt (1936) Trustee, 2002-present | Senior Partner, Fulbright & Jaworski, L.L.P. (law firm); formerly, President (interim) of Williams College (1999-2000); President, certain funds in the Deutsche Asset Management Family of Funds (formerly, Flag Investors Family of Funds) (registered investment companies) (1999-2000). Directorships: Yellow Corporation (trucking); American Science & Engineering (x-ray detection equipment); ISI Family of Funds (registered investment companies, 4 funds overseen); National Railroad Passenger Corporation (Amtrak); formerly, Chairman and Member, National Transportation Safety Board | 48 |
Officers2 | |
Name, Year of Birth, Position(s) Held with the Fund and Length of Time Served1 | Principal Occupation(s) During Past 5 Years and Other Directorships Held |
Julian F. Sluyters3 (1960) Chief Executive Officer, 2004-present | Managing Director, Deutsche Asset Management (since May 2004); President and Chief Executive Officer of The Brazil Fund, Inc., The Korea Fund, Inc., Scudder Global High Income Fund, Inc. and Scudder New Asia Fund, Inc. (since May 2004); President and Chief Executive Officer, UBS Fund Services (2001-2003); Chief Administrative Officer (1998-2001) and Senior Vice President and Director of Mutual Fund Operations (1991 to 1998) UBS Global Asset Management |
Brenda Lyons (1963) President, 2003-present | Managing Director, Deutsche Asset Management |
John Millette (1962) Vice President and Secretary, 1999-present | Director, Deutsche Asset Management |
Kenneth Murphy (1963) Vice President, 2002-present | Vice President, Deutsche Asset Management (2000-present); formerly, Director, John Hancock Signature Services (1992-2000) |
Charles A. Rizzo (1957) Treasurer and Chief Financial Officer, 2002-present | Managing Director, Deutsche Asset Management (April 2004-present); formerly, Director, Deutsche Asset Management (April 2000-March 2004); Vice President and Department Head, BT Alex. Brown Incorporated (now Deutsche Bank Securities Inc.) (1998-1999); Senior Manager, Coopers & Lybrand L.L.P. (now PricewaterhouseCoopers LLP) (1993-1998) |
Lisa Hertz3 (1970) Assistant Secretary, 2003-present | Assistant Vice President, Deutsche Asset Management |
Daniel O. Hirsch4 (1954) Assistant Secretary, 2002-present | Managing Director, Deutsche Asset Management (2002-present) and Director, Deutsche Global Funds Ltd. (2002-present); formerly, Director, Deutsche Asset Management (1999-2002); Principal, BT Alex. Brown Incorporated (now Deutsche Bank Securities Inc.) (1998-1999); Assistant General Counsel, United States Securities and Exchange Commission (1993-1998) |
Caroline Pearson (1962) Assistant Secretary, 1997-present | Managing Director, Deutsche Asset Management |
Kevin Gay (1959) Assistant Treasurer, 2004-present | Vice President, Deutsche Asset Management |
Salvatore Schiavone (1965) Assistant Treasurer, 2003-present | Director, Deutsche Asset Management |
Kathleen Sullivan D'Eramo (1957) Assistant Treasurer, 2003-present | Director, Deutsche Asset Management |
1 Length of time served represents the date that each Trustee was first elected to the common board of Trustees which oversees a number of investment companies, including the fund, managed by the Advisor. For the Officers of the fund, the length of time served represents the date that each Officer was first elected to serve as an Officer of any fund overseen by the aforementioned common board of Trustees.
2 As a result of their respective positions held with the Advisor, these individuals are considered "interested persons" of the Advisor within the meaning of the 1940 Act. Interested persons receive no compensation from the fund.
3 Address: 345 Park Avenue, New York, New York
4 Address: One South Street, Baltimore, Maryland
For shareholders of Classes A, B, C and Institutional
Automated Information Lines | ScudderACCESS (800) 972-3060 Personalized account information, information on other Scudder funds and services via touchtone telephone and for Classes A, B, and C only, the ability to exchange or redeem shares. |
Web Site | scudder.com View your account transactions and balances, trade shares, monitor your asset allocation, and change your address, 24 hours a day.Obtain prospectuses and applications, blank forms, interactive worksheets, news about Scudder funds, subscription to fund updates by e-mail, retirement planning information, and more. |
For More Information | (800) 621-1048 To speak with a Scudder service representative. |
Written Correspondence | Scudder Investments PO Box 219356Kansas City, MO 64121-9356 |
Proxy Voting | A description of the fund's policies and procedures for voting proxies for portfolio securities can be found on our Web site - scudder.com (type "proxy voting" in the search field) - or on the SEC's Web site - www.sec.gov. To obtain a written copy without charge, call us toll free at (800) 621-1048. |
Principal Underwriter | If you have questions, comments or complaints, contact: Scudder Distributors, Inc. 222 South Riverside PlazaChicago, IL 60606-5808 (800) 621-1148 |
Class A | Class B | Class C | Institutional Class | |
Nasdaq Symbol | SMLAX | SMLBX | SMLCX | SMLIX |
CUSIP Number | 811170-802 | 811170-885 | 811170-877 | 81118T-204 |
Fund Number | 466 | 666 | 766 | 544 |
For shareholders of Class AARP and Class S
AARP Investment Program Shareholders | Scudder Class S Shareholders | |
Automated Information Lines | Easy-Access Line (800) 631-4636 | SAILâ„¢ (800) 343-2890 |
Personalized account information, the ability to exchange or redeem shares, and information on other Scudder funds and services via touchtone telephone. | ||
Web Sites | aarp.scudder.com | myScudder.com |
View your account transactions and balances, trade shares, monitor your asset allocation, and change your address, 24 hours a day. Obtain prospectuses and applications, blank forms, interactive worksheets, news about Scudder funds, subscription to fund updates by e-mail, retirement planning information, and more. | ||
For More Information | (800) 253-2277 To speak with an AARP Investment Program service representative | (800) SCUDDER To speak with a Scudder service representative. |
Written Correspondence | AARP Investment Program from Scudder Investments PO Box 219735Kansas City, MO 64121-9735 | Scudder Investments PO Box 219669Kansas City, MO 64121-9669 |
Proxy Voting | A description of the fund's policies and procedures for voting proxies for portfolio securities can be found on our Web sites - aarp.scudder.com or myScudder.com (type "proxy voting" in the search field) - or on the SEC's Web site - www.sec.gov. To obtain a written copy without charge, call your service representative. | |
Principal Underwriter | If you have questions, comments or complaints, contact: Scudder Distributors, Inc. 222 South Riverside PlazaChicago, IL 60606-5808 (800) 621-1148 | |
Class AARP | Class S | |
Nasdaq Symbol | AMUBX | SCMBX |
Fund Number | 166 | 066 |
ITEM 2. CODE OF ETHICS. As of the end of the period, May 31, 2004, Scudder Managed Municipal Bond Fund, Inc. has adopted a code of ethics, as defined in Item 2 of Form N-CSR, that applies to its Principal Executive Officer and Principal Financial Officer. There have been no amendments to, or waivers from, a provision of the code of ethics during the period covered by this report that would require disclosure under Item 2. A copy of the code of ethics is filed as an exhibit to this Form N-CSR ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT. The Funds' audit committee is comprised solely of trustees who are "independent" (as such term has been defined by the Securities and Exchange Commission ("SEC") in regulations implementing Section 407 of the Sarbanes-Oxley Act (the "Regulations")). The Funds' Board of Trustees has determined that there are several "audit committee financial experts" serving on the Funds' audit committee. The Board has determined that Louis E. Levy, the chair of the Funds' audit committee, qualifies as an "audit committee financial expert" (as such term has been defined by the Regulations) based on its review of Mr. Levy's pertinent experience and education. The SEC has stated that the designation or identification of a person as an audit committee financial expert pursuant to this Item 3 of Form N-CSR does not impose on such person any duties, obligations or liability that are greater than the duties, obligations and liability imposed on such person as a member of the audit committee and board of directors in the absence of such designation or identification. In accordance with New York Stock Exchange requirements, the Board believes that all members of the Funds' audit committee are financially literate, as such qualification is interpreted by the Board in its business judgment, and that at least one member of the audit committee has accounting or related financial management expertise. ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES. SCUDDER MANAGED MUNICIPAL BOND FUND FORM N-CSR DISCLOSURE RE: AUDIT FEES The following table shows the amount of fees that PricewaterhouseCoopers, LLP ("PWC"), the Fund's auditor, billed to the Fund during the Fund's last two fiscal years. For engagements with PWC entered into on or after May 6, 2003, the Audit Committee approved in advance all audit services and non-audit services that PWC provided to the Fund. The Audit Committee has delegated certain pre-approval responsibilities to its Chairman (or, in his absence, any other member of the Audit Committee). Services that the Fund's Auditor Billed to the Fund - -------------------------------------------------------------------------------- Fiscal Year Audit Audit-Related Tax Fees All Other Ended Fees Billed Fees Billed Billed Fees Billed May 31, to Fund to Fund to Fund to Fund - -------------------------------------------------------------------------------- 2004 $74,250 $185 $8,900 $0 - -------------------------------------------------------------------------------- 2003 $67,900 $1,846 $7,100 $0 - -------------------------------------------------------------------------------- The above "Tax Fees" were billed for professional services rendered for tax compliance. Services that the Fund's Auditor Billed to the Adviser and Affiliated Fund Service Providers The following table shows the amount of fees billed by PWC to Deutsche Investment Management Americas, Inc. ("DeIM" or the "Adviser"), and any entity controlling, controlled by or under common control with DeIM ("Control Affiliate") that provides ongoing services to the Fund ("Affiliated Fund Service Provider"), for engagements directly related to the Fund's operations and financial reporting, during the Fund's last two fiscal years. - -------------------------------------------------------------------------------- Audit-Related Tax Fees All Other Fiscal Fees Billed to Billed to Fees Billed Year Adviser and Adviser and to Adviser and Ended Affiliated Fund Affiliated Fund Affiliated Fund May 31, Service Providers Service Providers Service Providers - -------------------------------------------------------------------------------- 2004 $542,483 $0 $0 - -------------------------------------------------------------------------------- 2003 $537,013 $55,500 $0 - -------------------------------------------------------------------------------- The "Audit-Related Fees" were billed for services in connection with the assessment of internal controls, agreed-upon procedures and additional related procedures. 1Non-Audit Services The following table shows the amount of fees that PWC billed during the Fund's last two fiscal years for non-audit services. For engagements entered into on or after May 6, 2003, the Audit Committee pre-approved all non-audit services that PWC provided to the Adviser and any Affiliated Fund Service Provider that related directly to the Fund's operations and financial reporting. The Audit Committee requested and received information from PWC about any non-audit services that PWC rendered during the Fund's last fiscal year to the Adviser and any Affiliated Fund Service Provider. The Committee considered this information in evaluating PWC's independence. - -------------------------------------------------------------------------------- Total Non-Audit Fees Total billed to Adviser and Non-Audit Affiliated Fund Fees billed Service Providers to Adviser (engagements related and Affiliated Total directly to the Fund Service Non-Audit operations and Providers Fiscal Fees Billed financial reporting (all other Total of Year to Fund of the Fund) engagements) (A), (B) Ended May 31, (A) (B) (C) and (C) - -------------------------------------------------------------------------------- 2004 $8,900 $0 $1,681,369 $1,690,269 - -------------------------------------------------------------------------------- 2003 $7,100 $55,500 $17,300,168 $17,362,768 - -------------------------------------------------------------------------------- All other engagement fees were billed for services in connection with risk management, tax services and process improvement/integration initiatives for DeIM and other related entities that provide support for the operations of the fund. ITEM 5. [RESERVED] ITEM 6. [RESERVED] ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES. ITEM 8. [RESERVED] ITEM 9. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS. The Committee on Independent Trustees/Directors selects and nominates Independent Trustees/Directors. Fund shareholders may also submit nominees that will be considered by the committee when a Board vacancy occurs. Submissions should be mailed to the attention of the Secretary of the Trust, Two International Place, Boston, MA 02110. ITEM 10. CONTROLS AND PROCEDURES. Disclosure Controls and Procedures are effective based on the evaluation of the Disclosure Controls and Procedures as of a date within 90 days of the filing date of this report. Fund management has previously identified a significant deficiency relating to the overall fund expense payment and accrual process. This matter relates primarily to a bill payment processing issue. There was no material impact to shareholders, fund net asset value, fund performance or the accuracy of any fund's financial statements. Fund management discussed this matter with the Registrant's Audit Committee and auditors, instituted additional procedures to enhance its internal controls and will continue to develop additional controls and redesign work flow to strengthen the overall control environment associated with the processing and recording of fund expenses. (b) There have been no changes in the registrant's internal control over financial reporting that occurred during the registrant's last fiscal half-year (the registrant's second fiscal half-year in the case of the annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal controls over financial reporting except Fund management has reported to the Registrant's Audit Committee an internal control matter relating to the processing and reconciliation of interest rate swap contracts that did not have a material effect on the financial statements. These contracts are accurately reflected in the fund's financial statements. Fund Management discussed this matter with the Registrant's auditors, and has instituted additional procedures to enhance its controls. ITEM 11. EXHIBITS. (a)(1) Code of Ethics pursuant to Item 2 of Form N-CSR is filed and attached hereto as EX-99.CODE ETH. (a)(2) Certification pursuant to Rule 30a-2(a) under the Investment Company Act of 1940 (17 CFR 270.30a-2(a)) is filed and attached hereto as Exhibit 99.CERT. (b) Certification pursuant to Rule 30a-2(b) under the Investment Company Act of 1940 (17 CFR 270.30a-2(b)) is furnished and attached hereto as Exhibit 99.906CERT. Form N-CSR Item F SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. Registrant: Scudder Managed Municipal Bond Fund By: /s/Julian Sluyters --------------------------- Julian Sluyters Chief Executive Officer Date: July 29, 2004 --------------------------- 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. Registrant: Scudder Managed Municipal Bond Fund By: /s/Julian Sluyters --------------------------- Julian Sluyters Chief Executive Officer Date: July 29, 2004 --------------------------- By: /s/Charles A. Rizzo --------------------------- Charles A. Rizzo Chief Financial Officer Date: July 29, 2004 ---------------------------