Federated Short-intermediate Duration Municipal Trust NCSR Certified annual shareholder report (management investment company)

United States

Securities and Exchange Commission

Washington, D.C. 20549

Form N-CSR

Certified Shareholder Report of Registered Management Investment Companies

811-3181

(Investment Company Act File Number)

Federated Short-Intermediate Duration Municipal Trust

_______________________________________________________________

(Exact Name of Registrant as Specified in Charter)

Federated Investors Funds

4000 Ericsson Drive

Warrendale, Pennsylvania 15086-7561

(Address of Principal Executive Offices)

(412) 288-1900

(Registrant's Telephone Number)

John W. McGonigle, Esquire

Federated Investors Tower

1001 Liberty Avenue

Pittsburgh, Pennsylvania 15222-3779

(Name and Address of Agent for Service)

(Notices should be sent to the Agent for Service)

Date of Fiscal Year End: 6/30/09

Date of Reporting Period: 6/30/09

Item 1. Reports to Stockholders

Federated
World-Class Investment Manager

Federated Short-Intermediate Duration Municipal Trust

Established 2006

ANNUAL SHAREHOLDER REPORT

June 30, 2009

Class A Shares

FINANCIAL HIGHLIGHTS
SHAREHOLDER EXPENSE EXAMPLE
MANAGEMENT'S DISCUSSION OF FUND PERFORMANCE
PORTFOLIO OF INVESTMENTS SUMMARY TABLE
PORTFOLIO OF INVESTMENTS
STATEMENT OF ASSETS AND LIABILITIES
STATEMENT OF OPERATIONS
STATEMENT OF CHANGES IN NET ASSETS
NOTES TO FINANCIAL STATEMENTS
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
BOARD OF TRUSTEES AND FUND OFFICERS
EVALUATION AND APPROVAL OF ADVISORY CONTRACT
VOTING PROXIES ON FUND PORTFOLIO SECURITIES
QUARTERLY PORTFOLIO SCHEDULE

Not FDIC Insured * May Lose Value * No Bank Guarantee

Financial Highlights

(For a Share Outstanding Throughout Each Period)

	Year Ended June 30,				Period Ended
	2009		2008		6/30/2007	¹
Net Asset Value, Beginning of Period	$9.96		$10.07		$10.16
Income From Investment Operations:
Net investment income	0.29		0.31		0.17
Net realized and unrealized loss on investments	(0.01	)	(0.11	)	(0.09	)
TOTAL FROM INVESTMENT OPERATIONS	0.28		0.20		0.08
Less Distributions:
Distributions from net investment income	(0.29	)	(0.31	)	(0.17	)
Net Asset Value, End of Period	$9.95		$ 9.96		$10.07
Total Return²	2.83	%	1.98	%	0.78	%

Ratios to Average Net Assets:
Net expenses	0.97	%³	0.96	%³	0.99	%⁴
Net investment income	2.88	%	3.06	%	2.99	%⁴
Expense waiver/reimbursement⁵	0.19	%	0.20	%	0.16	%⁴
Supplemental Data:
Net assets, end of period (000 omitted)	$43,851		$37,370		$47,763
Portfolio turnover	15	%	41	%	32	%⁶

1 Reflects operations for the period from December 11, 2006 (date of initial investment) to June 30, 2007.

2 Based on net asset value, which does not reflect the sales charge, redemption fee or contingent deferred sales charge, if applicable. Total returns for periods of less than one year are not annualized. As of October 31, 2007, the Fund changed from investing in a portfolio of tax-exempt securities with a dollar-weighted average portfolio maturity of less than three years to investing in a portfolio of tax-exempt securities with a dollar-weighted average portfolio duration of less than five years.

3 The net expense ratio is calculated without reduction for expense offset arrangements. The net expense ratios are 0.97% and 0.96% for the years ended June 30, 2009 and 2008, respectively, after taking into account these expense reductions.

4 Computed on an annualized basis.

5 This expense decrease is reflected in both the net expense and the net investment income ratios shown above.

6 Portfolio turnover is calculated at the Fund level. Percentage indicated was calculated for the fiscal year ended June 30, 2007.

See Notes which are an integral part of the Financial Statements

Shareholder Expense Example (unaudited)

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase or redemption payments; and (2) ongoing costs, including management fees and to the extent applicable, distribution (12b-1) fees and/or shareholder services fees and other Fund expenses. This Example is intended to help you to understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds. It is based on an investment of $1,000 invested at the beginning of the period and held for the entire period from January 1, 2009 to June 30, 2009.

ACTUAL EXPENSES

The first section of the table below provides information about actual account values and actual expenses. You may use the information in this section, together with the amount you invested, to estimate the expenses that you incurred over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first section under the heading entitled "Expenses Paid During Period" to estimate the expenses attributable to your investment during this period.

HYPOTHETICAL EXAMPLE FOR COMPARISON PURPOSES

The second section of the table below provides information about hypothetical account values and hypothetical expenses based on the Fund's actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund's actual return. Thus, you should not use the hypothetical account values and expenses to estimate the actual ending account balance or your expenses for the period. Rather, these figures are required to be provided to enable you to compare the ongoing costs of investing in the Fund with other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs, such as sales charges (loads) on purchase or redemption payments. Therefore, the second section of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transaction costs were included, your costs would have been higher.

	Beginning Account Value 1/1/2009	Ending Account Value 6/30/2009	��	Expenses Paid During Period¹
Actual	$1,000	$1,034.50		$4.89
Hypothetical (assuming a 5% return before expenses)	$1,000	$1,019.98		$4.86

1 Expenses are equal to the Fund's annualized net expense ratio of 0.97%, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half-year period).

Management's Discussion of Fund Performance (unaudited)

The Fund's total return, based on net asset value, for the 12-month reporting period ended June 30, 2009, was 2.83% for the Fund's Class A Shares.¹ The total return of the Barclays Capital 3-Year Municipal Bond Index (BC3MB),² the Fund's benchmark index, was 6.72% during the same period. The Fund's total return for the most recently completed fiscal year reflected actual cash flows, transaction costs and other expenses, which were not reflected in the total return of the BC3MB.

The Fund's investment strategy focused on: (a) the effective duration of its portfolio (which indicates the portfolio's price sensitivity to interest rates);³ (b) sector allocation (i.e., allocation of the portfolio among securities with similar issuers); (c) the selection of securities with different maturities (expressed by a yield curve showing the relative yield of similar securities with different maturities); and (d) the credit ratings of portfolio securities (which indicates the risk that securities may default). These were the most significant factors affecting the Fund's performance relative to the BC3MB.

1 The Fund offers two other share classes, Institutional Shares and Institutional Services Shares, for which a separate Annual Shareholder Report has been prepared. The Fund's total return, based on net asset value, for the 12-month reporting period was 3.34% for Institutional Shares and 3.10% for Institutional Service Shares. A copy of the Annual Shareholder Report for the Fund's Institutional Shares and Institutional Service Shares can be obtained free of charge by visiting FederatedInvestors.com or by calling the Fund at 1-800-341-7400.

2 The BC3MB is the three-year (two-four) component of the Barclays Capital Municipal Bond Index (BCMB). The BC3MB is an unmanaged market value-weighted index for the long-term tax-exempt bond market. To be included in the index, bonds must have a minimum credit rating of Baa3, an outstanding par value of at least $7 million, and be issued as part of a transaction of at least $75 million. The bonds must be fixed rate, have an issue date after December 31, 1990, and a maturity range of two to four years. The BC3MB includes zero coupon bonds and bonds subject to the alternative minimum tax (AMT). The BCMB is an unmanaged market value-weighted index for the long-term tax-exempt bond market. To be included in the index, bonds must have a minimum credit rating of Baa3, an outstanding par value of at least $7 million, and be issued as part of a transaction of at least $75 million. The bonds must be fixed rate, have an issue date after December 31, 1990, and must be at least one year from their maturity date. The BCMB includes zero coupon bonds and bonds subject to the AMT. The BC3MB and BCMB are not adjusted to reflect sales charges, expenses and other fees that the Securities and Exchange Commission (SEC) requires to be reflected in the Fund's performance. The indices are unmanaged, and, unlike the Fund, are not affected by cash flows. It is not possible to invest directly in an index.

3 Bond prices are sensitive to changes in interest rates and a rise in interest rates can cause a decline in their prices.

The following discussion will focus on the performance of the Fund's Class A Shares. The 2.83% total return for the Class A Shares for the reporting period consisted of 2.93% of tax-exempt dividends and reinvestments, and -0.10% depreciation in the net asset value of the shares.⁴

MARKET OVERVIEW

During the 12-month reporting period, the economy continued to contract, though the pace of contraction slowed. Job losses, declining equity and housing wealth, and tight credit conditions weighed heavily on consumer spending and sentiment. In light of increasing economic slack both in the United States and overseas, inflation remained subdued. The Federal Reserve (the "Fed") reduced the federal funds target rate from 2.00% to a range between 0.00% and 0.25%, while maintaining its bias to a downside risk to growth. Additionally, the Fed committed itself to employ all available tools to promote economic recovery and signaled that economic conditions warrant maintaining rates at these low levels for an extended period of time. The Fed also increased the size of its balance sheet through the increased purchase of agency mortgage-backed securities, agency debt and Treasury securities (known as quantitative easing) and launched the Term Asset-Backed Securities Loan Facility in an attempt to facilitate the extension of credit to households and small businesses.

Investors' continued flight to quality, tax-exempt, municipal debt and heightened demand for assets that historically had less risk led to a trend of appreciably lower interest rates and an environment in which tax-exempt municipal credit spreads continued to widen. This means that the yield difference between AAA-rated (or unrated comparable) tax-exempt municipal bonds and bonds of lower credit quality and similar maturity increased. However, financial markets began to ease near the end of the reporting period. As a result, tax-exempt municipal credit spreads began to tighten near the end of the reporting period as risk taking and the demand for riskier assets improved to a degree.

4 Income may be subject to state and local taxes. The investment adviser normally (except as disclosed in the Fund's prospectus) will invest the Fund's assets entirely in securities whose interest is not subject to the AMT for individuals and corporations, such that, normally, distributions of annual interest income are exempt from the AMT (in addition to the federal regular income tax). However, in certain circumstances (such as, for example, when there is a lack of supply of non-AMT securities or there are advantageous market conditions, or there is a change in law relating to the AMT), to pursue the Fund's investment objective, the Fund's adviser may invest the Fund's assets in securities that may be subject to the AMT. When there is a lack of supply of non-AMT securities and/or other circumstances that exist, such circumstances may result in the Fund acquiring AMT securities that are consistent with the Fund's investment objective. These acquisitions may occur in the ordinary course or in connection with fund reorganization transactions (i.e., transactions in which the Fund acquires the portfolio securities of other mutual funds), an issuer bankruptcy or another event or circumstance. In such circumstances, interests from the Fund's investments may be subject to the AMT.

Fed activity, liquidity concerns and investor demands for shorter maturity debt resulted in a steepening of the tax-exempt municipal yield curve with long-term interest rates declining less than short-term interest rates (that is, while securities provided higher incremental income or yield as maturities became longer, the amount of the increase in incremental income was somewhat steepened). Long-term interest rates (using the 10-year Treasury rate) peaked at 4.12% in July 2008, and declined to a low of 2.05% in December 2008, while ending the reporting period at 3.54%. Short-term interest rates (using the 2-year Treasury rate) peaked at 2.73% in July 2008, and declined to a low of 0.65% in December 2008 while ending the reporting period at 1.12%.

Congress passed the American Recovery and Reinvestment Act during the reporting period which included a $53.6 billion state fiscal stabilization fund targeted at providing fiscal stimulus for education and infrastructure spending and Medicare expenses. The quantity of the Federal government's fiscal assistance to state and local governments has not been seen since the 1930s and has been intended to provide relief for the economic driven stresses that impacted regional growth throughout the United States. Nonetheless, the state of California struggled with a very large structural budget deficit. The Fund's exposure to securities issued by California municipalities was less than that of the BC3MB and stood at less than 5.0% at the end of the reporting period. General obligation commercial paper issued by the state of California, which was fully supported by bank lines of credit, composed less than 1% of the Fund's assets at the end of the reporting period.

Duration⁵

During the 12-month reporting period, the Fund's dollar-weighted average duration typically ranged from 1.90 to 2.40 years, which was slightly short compared to the approximate duration average of the BC3MB (2.62 years duration) at the end of the reporting period. The shorter a fund's duration relative to an index, the less its net asset value will react as interest rates change. The Fund adjusted duration relative to the BC3MB several times during the reporting period to seek to take advantage of the expectations concerning the Fed's response to the deterioration in the global economy and the markets' apparent concerns about potential deflation.

5 Duration is a measure of a security's price sensitivity to changes in interest rates. Securities with longer durations are more sensitive to changes in interest rates than securities with shorter durations. For purposes of this Management's Discussion of Fund Performance, duration is determined using a third-party analytical system.

In the first half of the reporting period, the shorter duration positioning negatively impacted Fund performance as the greatest decline in interest rates occurred into December 2008. In the second half of the reporting period, interest rates declined a modest amount, and the Fund's shorter duration positioning had little impact on Fund performance.

Sector

During the 12-month reporting period, the Fund maintained a higher portfolio allocation to securities issued by hospitals and senior care facilities. These allocations hurt the Fund's performance due to the widening of credit spreads within these sectors and the demand by investors in the first half of the reporting period for the higher relative quality of refunded bonds (bonds for which the principal and interest payments are secured or guaranteed by cash or U.S. Treasury securities held in an escrow account) and general obligation bonds, both state and local. The Fund also had a lesser allocation to refunded tax-exempt municipal bonds than the BC3MB. The smaller allocation to these refunded bonds had a negative impact on performance due to lower price volatility exhibited by these refunded bonds as compared to other sectors.

The Fund increased its exposure to general obligation bonds issued by states, cities and school districts, colleges and universities, and public power. This allocation to higher quality, tax-exempt, municipal debt had a positive performance impact during the reporting period. The Fund also was underweight tobacco settlement bonds, which had a positive performance impact due to the sector's negative price reaction to continued litigation challenges.

Maturity and Yield Curve

During the 12-month reporting period, the Fund had a larger percentage of its portfolio invested in securities with maturities less than two years than it did beyond four years. Bonds with shorter maturities (zero-two years) provided lower returns as compared to bonds maturing from two to four years as the dollar value per unit of yield decline produced more price return for bonds in the two to four year range. This had a negative impact on the Fund's performance, but was partially offset by the Fund's modest allocation to bonds from four to six years which had the highest total returns in the portfolio during the reporting period. Overall, the Fund's yield curve positioning negatively impacted fund performance relative to the BC3MB.

Credit Quality⁶

Continued risk-aversion by investors and the introduction of credit deterioration across the tax-exempt municipal market as a result of the decline of the U.S. economy (especially on a regional basis) resulted in the ongoing underperformance of bonds rated A and BBB (or unrated bonds of comparable quality) relative to bonds rated in the higher rating categories (or unrated bonds of comparable quality). With the increase in credit spreads during the reporting period and the widening of credit spreads to a greater extent for A and BBB-rated (or comparable quality) debt, the Fund's overweight, relative to the BC3MB, in A and BBB-rated (or comparable quality) debt during the reporting period had only a slightly negative impact on the Fund's performance as the yield on A and BBB-rated (or comparable quality) debt decreased less than for higher rated securities.⁷

6 Credit ratings pertain only to the securities in the portfolio and do not protect Fund shares against market risk.

7 Investment-grade securities are securities that are rated at least "BBB" or unrated securities of a comparable quality. Noninvestment-grade securities are securities that are not rated at least "BBB" or unrated securities of a comparable quality. Credit ratings are an indication of the risk that a security will default. They do not protect a security from credit risk. Lower-rated bonds typically offer higher yields to help compensate investors for the increased risk associated with them. Among these risks are lower creditworthiness, greater price volatility, more risk to principal and income than with higher-rated securities and increased possibilities of default.

GROWTH OF A $10,000 INVESTMENT - CLASS A SHARES

The graph below illustrates the hypothetical investment of $10,000¹ in Federated Short-Intermediate Duration Municipal Trust (Class A Shares) (the "Fund") from December 11, 2006 (start of performance) to June 30, 2009, compared to the Barclays Capital 3-Year Municipal Bond Index (BC3MB).²

Average Annual Total Returns³ for the Period Ended 6/30/2009
1 Year		1.81%
Start of Performance (12/11/2006)		1.79%

Performance data quoted represents past performance which is no guarantee of future results. Investment return and principal value will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Mutual fund performance changes over time and current performance may be lower or higher than what is stated. For current to the most recent month-end performance and after-tax returns, visit FederatedInvestors.com or call 1-800-341-7400. Returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Mutual funds are not obligations of or guaranteed by any bank and are not federally insured. Total returns shown include the maximum sales charge of 1.00%.

1 Represents a hypothetical investment of $10,000 in the Fund after deducting the maximum sales charge of 1.00% ($10,000 investment minus $100 sales charge = $9,900). The Fund's performance assumes the reinvestment of all dividends and distributions. The BC3MB has been adjusted to reflect reinvestment of dividends on securities in the index.

3 Total return quoted reflects all applicable sales charges.

Portfolio of Investments Summary Table (unaudited)

At June 30, 2009, the Fund's sector composition¹ was as follows:

Sector Composition		Percentage of Total Net Assets
Hospital		20.3%
Electric & Gas		12.6%
Public Power		11.6%
General Obligation - State		8.0%
Senior Care		7.8%
Education		7.2%
General Obligation - Local		6.8%
Special Tax		5.8%
Industrial Development/Pollution Control		5.5%
Transportation		4.5%
Other²		8.1%
Other Assets and Liabilities - Net³		1.8%
TOTAL		100.0%

1 Sector classifications, and the assignment of holdings to such sectors, are based upon the economic sector and/or revenue source of the underlying obligor, as determined by the Fund's adviser. For securities that have been enhanced by a third party (other than a bond insurer), such as a guarantor, sector classifications are based upon the economic sector and/or revenue source of the third party as determined by the Fund's adviser. Securities that are insured by a bond insurer are assigned according to the economic sector and/or revenue source of the underlying obligor.

2 For purposes of this table, sector classifications constitute 90.1% of the Fund's total net assets. Remaining sectors have been aggregated under the designation "Other."

3 Assets, other than investments in securities, less liabilities. See Statement of Assets and Liabilities.

Portfolio of Investments

June 30, 2009

Principal Amount					Value
			MUNICIPAL BONDS--83.5%
			Alabama--3.1%
$	650,000		Health Care Authority for Baptist Health, AL, Revenue Bonds (Series 2006D), 5.00%, 11/15/2010	$	657,286
	500,000		Health Care Authority for Baptist Health, AL, Revenue Bonds (Series 2006D), 5.00%, 11/15/2011		504,815
	550,000		Health Care Authority for Baptist Health, AL, Revenue Bonds (Series 2006D), 5.00%, 11/15/2012		554,262
	2,000,000		Mobile, AL IDB, PCRBs (Series 2007C), 5.00% TOBs (Alabama Power Co.), Mandatory Tender 3/19/2015		2,059,660
	1,000,000		Mobile, AL IDB, PCR Refunding Bonds (Series 1994A), 4.65% (International Paper Co.), 12/1/2011		976,710
	1,000,000		Montgomery, AL Medical Clinic Board, Health Care Facility Revenue Bonds (Series 2006), 4.50% (Jackson Hospital & Clinic, Inc.), 3/1/2012		962,880
	1,000,000		Montgomery, AL Medical Clinic Board, Health Care Facility Revenue Bonds (Series 2006), 4.50% (Jackson Hospital & Clinic, Inc.), 3/1/2013		944,480
	1,170,000		Montgomery, AL Medical Clinic Board, Health Care Facility Revenue Bonds (Series 2006), 4.50% (Jackson Hospital & Clinic, Inc.), 3/1/2014		1,074,867
			TOTAL		7,734,960
			Arkansas--0.5%
	1,190,000		Jefferson County, AR, PCR Refunding Bonds (Series 2006), 4.60% (Entergy Arkansas, Inc.), 10/1/2017		1,169,092
			California--2.0%
	500,000		California Health Facilities Financing Authority, 5.00% (Adventist Health System/West), 3/1/2014		509,210
	1,925,000		California Health Facilities Financing Authority, INS Revenue Bonds (Series 2006), 4.25% (California-Nevada Methodist Homes)/(GTD by California Mortgage Insurance), 7/1/2011		1,926,347
	1,000,000	¹	California Municipal Finance Authority, Solid Waste Disposal Revenue Bonds (Series 2009A), 4.90% TOBs (Waste Management, Inc.), Mandatory Tender 2/1/2010		1,004,150
	1,500,000		Golden State Tobacco Securitization Corp., CA, Tobacco Settlement Asset-Backed Bonds (Series 2007A-1), 5.00%, 6/1/2012		1,481,940
			TOTAL		4,921,647
Principal Amount					Value
			MUNICIPAL BONDS--continued
			Colorado--5.7%
$	2,375,000		Adonea, CO Metropolitan District No. 2, Revenue Bonds (Series 2005B), 4.375% (Compass Bank, Birmingham LOC)/(Original Issue Yield: 4.50%), 12/1/2015	$	2,336,192
	115,000		Beacon Point, CO Metropolitan District, Revenue Bonds (Series 2005B), 4.375% (Compass Bank, Birmingham LOC)/(Original Issue Yield: 4.50%), 12/1/2015		114,926
	1,770,000		Colorado Health Facilities Authority, Health Facilities Revenue Bonds (Series 2004A), 5.00% (Evangelical Lutheran Good Samaritan Society), 6/1/2010		1,783,753
	500,000		Colorado Health Facilities Authority, Revenue Bonds (Series 2005), 5.00% (Covenant Retirement Communities, Inc.), 12/1/2010		498,830
	1,300,000		Colorado Health Facilities Authority, Revenue Bonds (Series 2005), 5.00% (Covenant Retirement Communities, Inc.), 12/1/2011		1,288,872
	2,135,000		Colorado Health Facilities Authority, Revenue Bonds (Series 2005), 5.00% (Covenant Retirement Communities, Inc.), 12/1/2012		2,093,133
	2,700,000		Denver, CO Convention Center Hotel Authority, Senior Refunding Revenue Bonds, 5.00% (Syncora Guarantee, Inc. INS), 12/1/2010		2,710,260
	2,705,000		Denver, CO Convention Center Hotel Authority, Senior Refunding Revenue Bonds, 5.00% (Syncora Guarantee, Inc. INS), 12/1/2011		2,686,254
	485,000		High Plains, CO Metropolitan District, Revenue Bonds (Series 2005B), 4.375% (Compass Bank, Birmingham LOC)/(Original Issue Yield: 4.50%), 12/1/2015		473,370
			TOTAL		13,985,590
			Connecticut--1.2%
	2,630,000		Connecticut State, Refunding UT GO Bonds (Series 2001E), 5.00%, 11/15/2011		2,867,831
			Delaware--0.3%
	635,000		Delaware Health Facilities Authority, Revenue Bonds (Series 2005A), 5.00% (Beebe Medical Center), 6/1/2010		638,397
			District of Columbia--0.4%
	1,000,000		District of Columbia, Ballpark Revenue Bonds (Series 2006B-1), 5.00% (FGIC and MBIA Insurance Corp. INS), 2/1/2012		998,040
			Florida--5.1%
	2,000,000		Citizens Property Insurance Corp. FL, Senior Secured Bonds (Series 2009A-2), 4.50%, 6/1/2010		2,024,460
	10,000	¹	Florida State Department of Corrections, Custodial Receipts, 3.00%, 9/10/2009		10,015
	1,000,000		Halifax Hospital Medical Center, FL, 5.00%, 6/1/2012		999,100
	875,000		Highlands County, FL Health Facilities Authority, Refunding Revenue Bonds (Series 2005B), 5.00% (Adventist Health System/Sunbelt Obligated Group), 11/15/2010		904,015
Principal Amount					Value
			MUNICIPAL BONDS--continued
			Florida--continued
$	125,000		Highlands County, FL Health Facilities Authority, Refunding Revenue Bonds (Series 2005B), 5.00% (Adventist Health System/Sunbelt Obligated Group)/(Escrowed In Treasuries COL), 11/15/2010	$	132,113
	2,000,000		Miami-Dade County, FL Transit System, Sales Surtax Revenue Bonds (Series 2006), 5.00% (Syncora Guarantee, Inc. INS), 7/1/2010		2,074,820
	3,445,000		Miami-Dade County, FL Transit System, Sales Surtax Revenue Bonds (Series 2006), 5.00% (Syncora Guarantee, Inc. INS), 7/1/2011		3,617,801
	1,000,000		Orlando, FL, Senior Tourist Development Tax Revenue Bonds (Series 2008A), 5.00% (6th Cent Contract Payments)/(Assured Guaranty Corp. INS), 11/1/2013		1,090,320
	1,000,000		Orlando, FL, Senior Tourist Development Tax Revenue Bonds (Series 2008A), 5.00% (6th Cent Contract Payments)/(Assured Guaranty Corp. INS), 11/1/2014		1,089,200
	640,000		Volusia County, FL Education Facility Authority, Educational Facilities Refunding Revenue Bonds (Series 2005), 5.00% (Embry-Riddle Aeronautical University, Inc.)/(Radian Asset Assurance, Inc. INS), 10/15/2011		643,379
			TOTAL		12,585,223
			Georgia--6.8%
	3,000,000		Burke County, GA Development Authority, PCRBs (Fifth Series 1994), 4.375% TOBs (Georgia Power Co.), Mandatory Tender 4/1/2010		3,076,740
	2,100,000		Burke County, GA Development Authority, PCRBs (Series 2007E), 4.75% TOBs (Oglethorpe Power Corp.)/(MBIA Insurance Corp. INS), Mandatory Tender 4/1/2011		2,163,483
	5,000,000		Clarke County, GA School District, GO Bonds (Series 2007), 5.00% (GTD by Georgia State), 9/1/2010		5,248,150
	935,000		Coffee County, GA Hospital Authority, Refunding Revenue Bonds, 5.00% (Coffee Regional Medical Center, Inc.), 12/1/2010		932,812
	2,000,000		Georgia State Road and Tollway Authority, Federal Highway GANs (Series 2009-A), 5.00%, 6/1/2012		2,192,160
	2,000,000		Monroe County, GA Development Authority, PCRBs (First Series 1995), 4.50% TOBs (Georgia Power Co.), Mandatory Tender 4/1/2011		2,017,500
	1,000,000		Municipal Electric Authority of Georgia, Project One Subordinated Bonds (Series 2008A), 5.00%, 1/1/2012		1,056,300
			TOTAL		16,687,145
			Illinois--3.7%
	2,000,000		Chicago, IL Water Revenue, Second Lien Water Refunding Revenue Bonds (Series 2008), 5.00% (FSA INS), 11/1/2015		2,210,940
	3,000,000		Illinois Development Finance Authority, Adjustable-Rate Gas Supply Refunding Revenue Bonds (Series 2003B), 3.75% TOBs (Peoples Gas Light & Coke Co.) Mandatory Tender 2/1/2012		2,967,600
Principal Amount					Value
			MUNICIPAL BONDS--continued
			Illinois--continued
$	250,000		Illinois Finance Authority, Refunding Revenue Bonds (Series 2006A), 5.00% (Lutheran Hillside Village), 2/1/2010	$	250,220
	760,000		Illinois Finance Authority, Refunding Revenue Bonds (Series 2006A), 5.00% (Lutheran Hillside Village), 2/1/2011		756,952
	800,000		Illinois Finance Authority, Refunding Revenue Bonds (Series 2006A), 5.00% (Lutheran Hillside Village), 2/1/2012		787,608
	1,200,000		Quincy, IL, Refunding Revenue Bonds (Series 2007), 5.00% (Blessing Hospital), 11/15/2010		1,220,688
	1,000,000		Quincy, IL, Refunding Revenue Bonds (Series 2007), 5.00% (Blessing Hospital), 11/15/2011		1,019,780
			TOTAL		9,213,788
			Indiana--2.7%
	815,000		Indiana Health & Educational Facility Financing Authority, Revenue Bonds (Series 2005), 5.00% (Baptist Homes of Indiana), 11/15/2009		815,807
	860,000		Indiana Health & Educational Facility Financing Authority, Revenue Bonds (Series 2005), 5.00% (Baptist Homes of Indiana), 11/15/2010		862,563
	1,000,000		Indiana Health Facility Financing Authority, Hospital Refunding Revenue Bonds (Series 2006B), 5.00% (Clarian Health Obligated Group), 2/15/2010		1,012,600
	1,270,000		Indiana State Finance Authority, Environmental Facilities Refunding Revenue Bonds (Series 2009B), 4.90% (Indianapolis, IN Power & Light Co.), 1/1/2016		1,255,255
	1,000,000		Jasper County, IN, PCR Refunding Bonds (Series 1994B), 5.20% (Northern Indiana Public Service Company)/(MBIA Insurance Corp. INS), 6/1/2013		1,016,490
	1,500,000		St. Joseph County, IN, Variable Rate Educational Facilities Revenue Bonds (Series 2005), 3.875% TOBs (University of Notre Dame), Mandatory Tender 3/1/2012		1,557,000
			TOTAL		6,519,715
			Iowa--1.2%
	1,000,000		Iowa Finance Authority, Health Facilities Development Refunding Revenue Bonds (Series 2006A), 5.00% (Care Initiatives), 7/1/2009		999,970
	1,000,000		Iowa Finance Authority, Health Facilities Development Refunding Revenue Bonds (Series 2006A), 5.25% (Care Initiatives), 7/1/2011		976,870
	1,000,000		Iowa Finance Authority, PCR Refunding Bonds (Series 2005), 5.00% (Interstate Power and Light Co.)/(FGIC INS), 7/1/2014		1,025,780
			TOTAL		3,002,620
			Kansas--2.9%
	350,000		Lawrence, KS, Hospital Revenue Bonds (Series 2006), 5.00% (Lawrence Memorial Hospital), 7/1/2012		361,813
	2,105,000		Saline County, KS USD No. 305, Refunding & Improvement UT GO Bonds, 5.25% (FSA INS), 9/1/2010		2,217,112
Principal Amount					Value
			MUNICIPAL BONDS--continued
			Kansas--continued
$	1,190,000		Spring Hill, KS, UT GO Temporary Notes (Series 2005A), 4.25%, 11/1/2009	$	1,189,714
	3,165,000		Wichita, KS Water & Sewer Utility, Refunding Revenue Bonds (Series 2005A), 5.00% (FGIC and MBIA Insurance Corp. INS), 10/1/2011		3,399,906
			TOTAL		7,168,545
			Louisiana--1.6%
	4,000,000		Louisiana State Citizens Property Insurance Corp., Assessment Revenue Bonds (Series 2006B), 5.25% (AMBAC INS), 6/1/2010		4,048,800
			Massachusetts--0.4%
	1,000,000		Massachusetts HEFA, Revenue Bonds (Series 2008 T-2), 4.10% TOBs (Northeastern University), Mandatory Tender 4/19/2012		1,003,420
			Michigan--1.9%
	500,000		Kent Hospital Finance Authority, MI, Revenue Bonds (Series 2005A), 5.00% (Metropolitan Hospital), 7/1/2009		499,985
	750,000		Michigan State Hospital Finance Authority, Hospital Revenue and Refunding Bonds (Series 2006A), 5.00% (Henry Ford Health System, MI), 11/15/2012		750,023
	1,000,000		Michigan State Trunk Line, Revenue Bonds, 5.00% (FGIC INS and MBIA Insurance Corp. INS), 11/1/2010		1,047,220
	1,000,000		Michigan State Trunk Line, Revenue Bonds, 5.25% (FGIC INS)/(MBIA Insurance Corp. LOC), 11/1/2013		1,101,490
	1,285,000		Saginaw, MI Hospital Finance Authority, Hospital Refunding Revenue Bonds (Series 2004G), 4.75% (Covenant Medical Center, Inc.), 7/1/2009		1,285,039
			TOTAL		4,683,757
			Minnesota--0.4%
	270,000		St. Paul, MN Housing & Redevelopment Authority, Health Care Facility Revenue Bonds (Series 2006), 5.00% (HealthPartners Obligated Group), 5/15/2010		273,162
	300,000		St. Paul, MN Housing & Redevelopment Authority, Health Care Facility Revenue Bonds (Series 2006), 5.00% (HealthPartners Obligated Group), 5/15/2011		304,680
	300,000		St. Paul, MN Housing & Redevelopment Authority, Health Care Facility Revenue Bonds (Series 2006), 5.00% (HealthPartners Obligated Group), 5/15/2012		304,092
	225,000		St. Paul, MN Housing & Redevelopment Authority, Health Care Revenue Bonds (Series 2005), 5.00% (Gillette Children's Specialty Healthcare), 2/1/2012		220,248
			TOTAL		1,102,182
Principal Amount					Value
			MUNICIPAL BONDS--continued
			Mississippi--1.3%
$	1,000,000		Mississippi Development Bank, Wilkinson County Correctional Facility Refunding Bonds (Series 2008D), 5.00% (Mississippi State Department of Corrections), 8/1/2012	$	1,062,000
	1,000,000		Mississippi Development Bank, Wilkinson County Correctional Facility Refunding Bonds (Series 2008D), 5.00% (Mississippi State Department of Corrections), 8/1/2015		1,053,180
	1,000,000		Mississippi Hospital Equipment & Facilities Authority, Revenue Bonds (Series 2007A), 5.00% (Mississippi Baptist Health Systems, Inc.), 8/15/2010		1,016,060
			TOTAL		3,131,240
			Missouri--2.1%
	1,670,000		Missouri State Environmental Improvement & Energy Resources Authority, PCR Refunding Bonds (Series 2008), 4.375% TOBs (Associated Electric Cooperative, Inc.), Mandatory Tender 3/1/2011		1,717,294
	1,125,000		Missouri State HEFA, Senior Living Facilities Revenue Bonds (Series 2007A), 5.00% (Lutheran Senior Services), 2/1/2011		1,119,206
	1,185,000		Missouri State HEFA, Senior Living Facilities Revenue Bonds (Series 2007A), 5.00% (Lutheran Senior Services), 2/1/2012		1,167,711
	1,240,000		Missouri State HEFA, Senior Living Facilities Revenue Bonds (Series 2007A), 5.00% (Lutheran Senior Services), 2/1/2013		1,207,760
			TOTAL		5,211,971
			Nebraska--0.9%
	730,000		Lancaster County, NE Hospital Authority No. 1, 5.00% (BryanLGH Health System), 6/1/2012		759,872
	700,000		Lancaster County, NE Hospital Authority No. 1, Hospital Refunding Revenue Bonds, 4.00% (BryanLGH Health System), 6/1/2010		709,436
	725,000		Lancaster County, NE Hospital Authority No. 1, Hospital Revenue Bonds, 4.00% (BryanLGH Health System), 6/1/2011		736,325
			TOTAL		2,205,633
			Nevada--0.6%
	1,000,000		Clark County, NV, IDRBs (Series 2003C), 5.45% TOBs (Southwest Gas Corp.), Mandatory Tender 3/1/2013		992,070
	425,000		Henderson, NV, Health Facility Revenue Bonds (Series 2007B), 5.00% (Catholic Healthcare West), 7/1/2013		442,013
			TOTAL		1,434,083
Principal Amount					Value
			MUNICIPAL BONDS--continued
			New Jersey--1.2%
$	705,000		New Jersey EDA, Refunding Revenue Bonds (Series A), 4.00% (Winchester Gardens at Ward Homestead)/(Original Issue Yield: 4.10%), 11/1/2009	$	704,288
	2,000,000		New Jersey EDA, School Facilities Construction Refunding Revenue Bonds (Series 2008W), 5.00% (New Jersey State), 3/1/2014		2,147,640
			TOTAL		2,851,928
			New Mexico--1.5%
	2,450,000		Farmington, NM, Refunding Revenue Bonds (Series 2002A), 4.00% TOBs (El Paso Electric Co.)/(FGIC INS), Mandatory Tender 8/1/2012		2,381,865
	1,335,000		Sandoval County, NM, Incentive Payment Refunding Revenue Bonds (Series 2005), 4.00% (Intel Corp.), 6/1/2015		1,365,144
			TOTAL		3,747,009
			New York--2.1%
	2,220,000		Dutchess County, NY IDA, Revenue Bonds, 4.00% (Marist College), 7/1/2009		2,220,111
	2,655,000		New York City, NY, UT GO Bonds (Series 2005O), 5.00%, 6/1/2013		2,889,065
			TOTAL		5,109,176
			North Carolina--4.3%
	1,000,000		North Carolina Eastern Municipal Power Agency, Power System Revenue Bonds, 5.00% (Assured Guaranty Corp. INS), 1/1/2013		1,060,900
	525,000		North Carolina Medical Care Commission, Health Care Facilities First Mortgage Revenue Bonds (Series 2006A), 5.00% (The Pines at Davidson), 1/1/2010		529,573
	315,000		North Carolina Medical Care Commission, Health Care Facilities First Mortgage Revenue Bonds (Series 2006A), 5.00% (The Pines at Davidson), 1/1/2011		320,793
	725,000		North Carolina Medical Care Commission, Health Care Facilities First Mortgage Revenue Bonds (Series 2006A), 5.00% (The Pines at Davidson), 1/1/2012		740,718
	3,000,000		North Carolina State, UT GO Bonds (Series 2003), 5.00%, 5/1/2012		3,318,930
	2,000,000		North Carolina State, UT GO Bonds (Series 2006A), 5.00%, 6/1/2014		2,275,720
	2,000,000		Wake County, NC, Public Improvement UT GO Bonds, 5.00%, 3/1/2015		2,286,580
			TOTAL		10,533,214
			Ohio--4.2%
	2,000,000		Buckeye Tobacco Settlement Financing Authority, OH, Tobacco Settlement Asset-Backed Bonds (Series 2007A-2), 5.00%, 6/1/2014		1,903,520
	1,170,000		Lucas County, OH, Adjustable Rate Demand Health Care Facilities Revenue Bonds (Series 2002), 3.75% TOBs (Franciscan Care Center), Optional Tender 3/1/2011		1,171,498
Principal Amount					Value
			MUNICIPAL BONDS--continued
			Ohio--continued
$	2,000,000		Ohio Air Quality Development Authority, PCR Refunding Bonds (Series 2009-A), 5.70% (FirstEnergy Generation Corp.), 2/1/2014	$	2,098,120
	1,820,000		Ohio State Air Quality Development Authority, PCRBs (Series 2008B), 3.375% TOBs (FirstEnergy Nuclear Generation Corp.), Mandatory Tender 10/1/2009		1,820,309
	3,000,000		Ohio State University, 5.00%, 12/1/2013		3,365,970
			TOTAL		10,359,417
			Oklahoma--3.7%
	5,000,000		Grand River Dam Authority, OK, Refunding Revenue Bonds (Series 2002A), 5.00% (FSA INS), 6/1/2012		5,456,450
	960,000		Oklahoma Development Finance Authority, Hospital Refunding Revenue Bonds (Series 2004), 5.00% (Unity Health Center), 10/1/2009		964,502
	2,500,000		Tulsa County, OK Industrial Authority, Educational Facilities Lease Revenue Bonds (Series 2006), 5.00% (Owasso Public Schools)/(Assured Guaranty Corp. INS), 9/1/2010		2,596,100
			TOTAL		9,017,052
			Pennsylvania--3.8%
	460,000		Allegheny County, PA IDA, Lease Revenue Bonds (Series 2006), 4.50% (Residential Resources Inc. Project), 9/1/2011		454,094
	865,000		Erie, PA Higher Education Building Authority, College Refunding Revenue Bonds (Series 2004A), 3.70% (Mercyhurst College)/(Original Issue Yield: 3.79%), 3/15/2010		861,367
	220,000		Erie, PA Higher Education Building Authority, College Refunding Revenue Bonds (Series 2004B), 3.70% (Mercyhurst College)/(Original Issue Yield: 3.79%), 3/15/2010		219,076
	1,115,000		Lebanon County, PA Health Facilities Authority, Hospital Revenue Bonds, 4.00% (Good Samaritan Hospital), 11/15/2009		1,110,462
	2,000,000		Pennsylvania EDFA, PCR Refunding Bonds (Series 2008), 4.85% TOBs (PPL Electric Utilities Corp.), Mandatory Tender 10/1/2010		2,030,300
	820,000		Pennsylvania State Higher Education Facilities Authority, Revenue Bonds (Series 2004A), 5.00% (Philadelphia University), 6/1/2011		819,016
	1,000,000		Pennsylvania State Higher Education Facilities Authority, Revenue Bonds (Series 2008B), 5.00% (University of Pennsylvania Health System), 8/15/2013		1,049,070
	1,780,000		Pennsylvania State Turnpike Commission, Turnpike Subordinate Revenue Bonds (Series 2009A), 3.00% (Assured Guaranty Corp. INS), 6/1/2011		1,833,258
	955,000		Philadelphia, PA Authority for Industrial Development, Adjustable Rate Revenue Bonds (Series 2003B), 4.75% TOBs (Cathedral Village), Optional Tender 4/1/2011		920,181
			TOTAL		9,296,824
Principal Amount					Value
			MUNICIPAL BONDS--continued
			Rhode Island--0.7%
$	1,600,000		Rhode Island State Health and Educational Building Corp., Hospital Financing Refunding Revenue Bonds (Series 2006A), 5.00% (Lifespan Obligated Group), 5/15/2011	$	1,627,568
			South Carolina--3.0%
	2,000,000		Richland County, SC, Environmental Improvement Revenue & Refunding Bonds (Series 2007A), 4.60% (International Paper Co.), 9/1/2012		1,946,460
	6,000,000		South Carolina Jobs-EDA, Hospital Revenue Bonds, 1.29%, Floating Rate Notes (Palmetto Health Alliance), Mandatory Tender 8/1/2013		5,540,700
			TOTAL		7,487,160
			South Dakota--0.4%
	890,000		South Dakota State Health & Educational Authority, Revenue Bonds, 5.25% (Westhills Village Retirement Community), 9/1/2009		893,097
			Texas--3.9%
	1,000,000		Austin, TX, Hotel Occupancy, 5.625% (United States Treasury PRF 11/15/2009@100)/(Original Issue Yield: 5.71%), 11/15/2019		1,018,520
	2,000,000		Harris County, TX Cultural Education Facilities Finance Corp., Revenue Bonds (Series 2008B), 5.25% (Methodist Hospital, Harris County, TX), 12/1/2014		2,135,720
	1,000,000		Johnson County, TX, UT GO, 5.00% (United States Treasury PRF 2/15/2010@100), (Original Issue Yield: 4.85%), 2/15/2016		1,028,810
	1,000,000		North Texas Tollway Authority, (Series A), 5.10% (FGIC INS and MBIA Insurance Corp. INS)/(Original Issue Yield: 5.20%), 1/1/2013		1,001,550
	1,250,000		Texas Municipal Gas Acquisition & Supply Corp. II, Gas Supply Revenue Bonds (Series 2007A), 0.822%, 9/15/2010		1,201,250
	2,000,000		Texas State Transportation Commission, Mobility Fund Revenue Bonds (Series 2006), 5.00% (Texas State), 4/1/2012		2,197,140
	1,000,000		Titus County, TX Fresh Water Supply District No. 1, PCR Refunding Bonds (Series 2008), 4.50% (Southwestern Electric Power Co.), 7/1/2011		998,300
			TOTAL		9,581,290
			Utah--0.9%
	1,000,000		Intermountain Power Agency, UT, Subordinated Power Supply Refunding Revenue Bonds (Series 2008A), 5.25%, 7/1/2013		1,087,810
	1,000,000		Intermountain Power Agency, UT, Subordinated Power Supply Refunding Revenue Bonds (Series 2008A), 5.50%, 7/1/2014		1,079,330
			TOTAL		2,167,140
Principal Amount					Value
			MUNICIPAL BONDS--continued
			Virginia--3.6%
$	2,000,000		Louisa, VA IDA, PCR Refunding Bonds (Series 2008C), 5.00% TOBs (Virginia Electric & Power Co.), Mandatory Tender 12/1/2011	$	2,067,120
	1,000,000		Rappahannock, VA Regional Jail Authority, GANs, 4.25%, 12/1/2009		1,002,110
	1,000,000		Virginia Peninsula Port Authority, Refunding Revenue Bonds (Series 2003), 5.00% TOBs (Dominion Terminal Associates)/(GTD by Dominion Resources, Inc.), Mandatory Tender 10/1/2011		1,012,240
	3,000,000		Virginia State, Refunding UT GO Bonds (Series 2004B), 5.00%, 6/1/2012		3,328,080
	1,430,000		York County, VA EDA, PCR Refunding Bonds (Series 2009A), 4.05% TOBs (Virginia Electric & Power Co.), Mandatory Tender 5/1/2014		1,450,220
			TOTAL		8,859,770
			Washington--3.2%
	2,170,000		Chelan County, WA Public Utility District No. 1, Consolidated System Subordinate Revenue Notes (Series 2008A), 5.00%, 7/1/2013		2,381,488
	2,500,000		Energy Northwest, WA, Project 1 Electric Refunding Revenue Bonds (Series 2006A), 5.00%, 7/1/2010		2,610,850
	750,000		Washington State Higher Education Facilities Authority, Refunding Revenue Bonds (Series 2006), 5.00% (Pacific Lutheran University)/(Radian Asset Assurance, Inc. INS), 11/1/2009		753,480
	890,000		Washington State Higher Education Facilities Authority, Refunding Revenue Bonds (Series 2006), 5.00% (Pacific Lutheran University)/(Radian Asset Assurance, Inc. INS), 11/1/2010		902,647
	1,105,000		Washington State Higher Education Facilities Authority, Refunding Revenue Bonds (Series 2006), 5.00% (Pacific Lutheran University)/(Radian Asset Assurance, Inc. INS), 11/1/2012		1,117,100
			TOTAL		7,765,565
			West Virginia--0.4%
	1,000,000		West Virginia EDA, PCR Refunding Bonds (Series 2008C), 4.85% TOBs (Appalachian Power Co.), Mandatory Tender 9/4/2013		986,200
			Wisconsin--0.3%
	350,000		Wisconsin State HEFA, Revenue Bonds, (Series 2006A), 5.00% (Marshfield Clinic, WI), 2/15/2012		358,257
	425,000		Wisconsin State HEFA, Revenue Bonds, (Series 2006A), 5.00% (Marshfield Clinic, WI), 2/15/2013		435,413
			TOTAL		793,670
			Wyoming--1.5%
	3,650,000		Albany County, WY, PCRBs (Series 1985), 4.00% TOBs (Union Pacific Railroad Co.)/(GTD by Union Pacific Corp.), Optional Tender 12/1/2009		3,660,512
			TOTAL MUNICIPAL BONDS (IDENTIFIED COST $203,480,543)		205,050,271
Principal Amount					Value
			SHORT-TERM MUNICIPALS--14.7%²
			California--1.8%
$	2,100,000		California State, GO Tax Exempt Notes, 3.10% CP, Mandatory Tender 7/13/2009	$	2,100,000
	2,400,000		California State Department of Water Resources Power Supply Program, (Series 2005F-2) Daily VRDNs (JPMorgan Chase Bank, N.A. and Societe Generale, Paris LOCs), 0.280%, 7/1/2009		2,400,000
			TOTAL		4,500,000
			Florida--2.8%
	5,700,000		Lakeland, FL Energy Systems, (Series 2008 B) Daily VRDNs (SunTrust Bank LOC), 0.900%, 7/1/2009		5,700,000
	1,200,000		Polk County, FL IDA, (Series 2006) Daily VRDNs (Winter Haven Hospital, Inc.)/(SunTrust Bank LOC), 0.900%, 7/1/2009		1,200,000
			TOTAL		6,900,000
			Louisiana--1.5%
	3,600,000		Louisiana Public Facilities Authority, (Series 2008A) Daily VRDNs (Air Products & Chemicals, Inc.), 0.370%, 7/1/2009		3,600,000
			Michigan--0.8%
	2,000,000		Michigan State Hospital Finance Authority, (Series 2007) Weekly VRDNs (Henry Ford Health System, MI)/(JPMorgan Chase Bank, N.A. LOC), 0.210%, 7/1/2009		2,000,000
			Pennsylvania--4.7%
	2,050,000		Lehigh County, PA General Purpose Authority, (Series B of 2008) Daily VRDNs (Lehigh Valley Health Network)/(Assured Guaranty Corp. INS)/(Wachovia Bank N.A. LIQ), 0.320%, 7/1/2009		2,050,000
	1,855,000		Philadelphia, PA Authority for Industrial Development, (Series 2007A) Daily VRDNs (Fox Chase Cancer Center)/(Citizens Bank of Pennsylvania LOC), 0.550%, 7/1/2009		1,855,000
	3,455,000		Philadelphia, PA Hospitals & Higher Education Facilities Authority, (Series 2002-B) Daily VRDNs (Children's Hospital of Philadelphia)/(JPMorgan Chase Bank, N.A. LIQ), 0.180%, 7/1/2009		3,455,000
	4,200,000		Philadelphia, PA Hospitals & Higher Education Facilities Authority, (Series 2005A) Daily VRDNs (Children's Hospital of Philadelphia)/(Bank of America N.A. LIQ), 0.180%, 7/1/2009		4,200,000
			TOTAL		11,560,000
			Texas--0.5%
	1,100,000		Harris County, TX HFDC, (Subseries 2007A-1) Daily VRDNs (Baylor College of Medicine)/(Wachovia Bank N.A. LOC), 0.320%, 7/1/2009		1,100,000
Principal Amount					Value
			SHORT-TERM MUNICIPALS--continued²
			Virginia--0.6%
$	1,390,000		Roanoke, VA IDA, (Series 2005-C-2) Daily VRDNs (Carilion Health System Obligated Group)/(FSA INS)/(Wachovia Bank N.A. LIQ), 0.320%, 7/1/2009	$	1,390,000
			West Virginia--2.0%
	5,000,000		Cabell County, WV, (Series 2007A) Weekly VRDNs (MSH-Marshall LLC)/(Regions Bank, Alabama LOC), 3.100%, 7/2/2009		5,000,000
			TOTAL SHORT-TERM MUNICIPALS (AT AMORTIZED COST)		36,050,000
			TOTAL INVESTMENT--98.2% (IDENTIFIED COST $239,530,543)³		241,100,271
			OTHER ASSETS AND LIABILITIES - NET--1.8%⁴		4,512,893
			TOTAL NET ASSETS--100%	$	245,613,164

At June 30, 2009, the Fund holds no securities that are subject to the federal alternative minimum tax (AMT).

1 Denotes a restricted security that either: (a) cannot be offered for public sale without first being registered, or being able to take advantage of an exemption from registration, under the Securities Act of 1933; or (b) is subject to a contractual restriction on public sales. At June 30, 2009, these restricted securities amounted to $1,014,165, which represented 0.4% of total net assets.

2 Current rate and next reset date shown for Variable Rate Demand Notes.

3 The cost of investments for federal tax purposes amounts to $239,520,498.

4 Assets, other than investments in securities, less liabilities. See Statement of Assets and Liabilities.

Note: The categories of investments are shown as a percentage of total net assets at June 30, 2009.

Various inputs are used in determining the value of the Fund's investments. These inputs are summarized in the three broad levels listed below:

Level 1--quoted prices in active markets for identical securities

Level 2--other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)

Level 3--significant unobservable inputs (including the Fund's own assumptions in determining the fair value of investments)

The inputs or methodology used for valuing securities are not an indication of the risk associated with investing in those securities.

The following is a summary of the inputs used, as of June 30, 2009, in valuing the Fund's assets carried at fair value:

Valuation Inputs
	Level 1-- Quoted Prices and Investments in Mutual Funds	Level 2-- Other Significant Observable Inputs	Level 3- Significant Unobservable Inputs	Total
Debt Securities
Municipal Bonds	$--	$205,050,271	$--	$205,050,271
Short-Term Municipals	--	36,050,000	--	36,050,000
TOTAL SECURITIES	$--	$241,100,271	$--	$241,100,271

The following acronyms are used throughout this portfolio:

AMBAC	- --American Municipal Bond Assurance Corporation
COL	- --Collateralized
CP	- --Commercial Paper
EDA	- --Economic Development Authority
EDFA	- --Economic Development Financing Authority
FGIC	- --Financial Guaranty Insurance Company
FSA	- --Financial Security Assurance
GANs	- --Grant Anticipation Notes
GO	- --General Obligation
GTD	- --Guaranteed
HEFA	- --Health and Education Facilities Authority
HFDC	- --Health Facility Development Corporation
IDA	- --Industrial Development Authority
IDB	- --Industrial Development Bond
IDRBs	- --Industrial Development Revenue Bonds
INS	- --Insured
LIQ	- --Liquidity Agreement
LOC(s)	- --Letter(s) of Credit
MBIA	- --National Public Finance Guarantee Corp. (as restructured from MBIA Insurance Corp.)
PCR	- --Pollution Control Revenue
PCRBs	- --Pollution Control Revenue Bonds
PRF	- --Prerefunded
TOBs	- --Tender Option Bonds
USD	- --Unified School District
UT	- --Unlimited Tax
VRDNs	- --Variable Rate Demand Notes

See Notes which are an integral part of the Financial Statements

Statement of Assets and Liabilities

June 30, 2009

Assets:
Total investments in securities, at value (identified cost $239,530,543)			$	241,100,271
Cash				94,659
Income receivable				2,276,657
Receivable for investments sold				2,170,000
Receivable for shares sold				495,683
TOTAL ASSETS				246,137,270
Liabilities:
Payable for shares redeemed	$	177,736
Income distribution payable		229,401
Payable for Directors'/Trustees' fees		1,485
Payable for portfolio accounting fees		15,604
Payable for distribution services fee (Note 5)		8,904
Payable for shareholder services fee (Note 5)		68,614
Accrued expenses		22,362
TOTAL LIABILITIES				524,106
Net assets for 24,683,002 shares outstanding			$	245,613,164
Net Assets Consist of:
Paid-in capital			$	253,211,635
Net unrealized appreciation of investments				1,569,728
Accumulated net realized loss on investments and futures contracts				(9,154,448	)
Distributions in excess of net investment income				(13,751	)
TOTAL NET ASSETS			$	245,613,164
Net Asset Value, Offering Price and Redemption Proceeds Per Share
Institutional Shares:
Net asset value per share ($181,396,055 ÷ 18,229,572 shares outstanding), no par value, unlimited shares authorized				$9.95
Offering price per share				$9.95
Redemption proceeds per share				$9.95
Institutional Service Shares:
Net asset value per share ($20,366,404 ÷ 2,046,722 shares outstanding), no par value, unlimited shares authorized				$9.95
Offering price per share				$9.95
Redemption proceeds per share				$9.95
Class A Shares:
Net asset value per share ($43,850,705 ÷ 4,406,708 shares outstanding), no par value, unlimited shares authorized				$9.95
Offering price per share (100/99.00 of $9.95)				$10.05
Redemption proceeds per share				$9.95

See Notes which are an integral part of the Financial Statements

Statement of Operations

Year Ended June 30, 2009

Investment Income:
Interest							$	8,284,756
Expenses:
Investment adviser fee (Note 5)				$	859,456
Administrative personnel and services fee (Note 5)					230,000
Custodian fees					9,758
Transfer and dividend disbursing agent fees and expenses					69,389
Directors'/Trustees' fees					12,854
Auditing fees					23,501
Legal fees					5,781
Portfolio accounting fees					98,826
Distribution services fee--Institutional Service Shares (Note 5)					48,436
Distribution services fee--Class A Shares (Note 5)					96,261
Shareholder services fee--Institutional Shares (Note 5)					200,254
Shareholder services fee--Institutional Service Shares (Note 5)					40,866
Shareholder services fee--Class A Shares (Note 5)					95,614
Account administration fee--Institutional Shares					7,052
Account administration fee--Institutional Service Shares					3,694
Share registration costs					55,745
Printing and postage					54,637
Insurance premiums					4,811
Miscellaneous					9,759
TOTAL EXPENSES					1,926,694
Waivers, Reimbursements and Reduction:
Waiver of investment adviser fee (Note 5)	$	(369,045	)
Waiver of administrative personnel and services fee (Note 5)		(42,852	)
Waiver of distribution services fee--Institutional Service Shares (Note 5)		(48,436	)
Reimbursement of shareholder services fee--Institutional Shares (Note 5)		(200,254	)
Reimbursement of account administration fee--Institutional Shares (Note 5)		(7,052	)
Reduction of custodian fees (Note 6)		(179	)
TOTAL WAIVERS, REIMBURSEMENTS AND REDUCTION					(667,818	)
Net expenses								1,258,876
Net investment income								7,025,880
Realized and Unrealized Gain (Loss) on Investments:
Net realized loss on investments								(2,872,912	)
Net change in unrealized depreciation of investments								2,651,736
Net realized and unrealized loss on investments								(221,176	)
Change in net assets resulting from operations							$	6,804,704

See Notes which are an integral part of the Financial Statements

Statement of Changes in Net Assets

Year Ended June 30		2009			2008
Increase (Decrease) in Net Assets
Operations:
Net investment income	$	7,025,880		$	7,209,974
Net realized loss on investments		(2,872,912	)		(2,263,242	)
Net change in unrealized appreciation/depreciation of investments		2,651,736			96,293
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS		6,804,704			5,043,025
Distributions to Shareholders:
Distributions from net investment income
Institutional Shares		(5,309,182	)		(5,249,815	)
Institutional Service Shares		(612,151	)		(693,173	)
Class A Shares		(1,109,917	)		(1,260,176	)
CHANGE IN NET ASSETS RESULTING FROM DISTRIBUTIONS TO SHAREHOLDERS		(7,031,250	)		(7,203,164	)
Share Transactions:
Proceeds from sale of shares		94,986,917			51,526,264
Net asset value of shares issued to shareholders in payment of distributions declared		4,104,408			4,188,702
Cost of shares redeemed		(57,263,608	)		(74,468,728	)
CHANGE IN NET ASSETS RESULTING FROM SHARE TRANSACTIONS		41,827,717			(18,753,762	)
Change in net assets		41,601,171			(20,913,901	)
Net Assets:
Beginning of period		204,011,993			224,925,894
End of period (including distributions in excess of net investment income of $(13,751) and $(6), respectively)	$	245,613,164		$	204,011,993

See Notes which are an integral part of the Financial Statements

Notes to Financial Statements

June 30, 2009

1. ORGANIZATION

Federated Short-Intermediate Duration Municipal Trust (the "Fund") is registered under the Investment Company Act of 1940, as amended (the "Act"), as a diversified, open-end management investment company. The Fund offers three classes of shares: Institutional Shares, Institutional Service Shares and Class A Shares. All shares of the Fund have equal rights with respect to voting, except on class-specific matters. The financial highlights of the Institutional Shares and Institutional Service Shares are presented separately. The investment objective of the Fund is to provide dividend income which is exempt from federal regular income tax. The Fund pursues this investment objective by investing in a portfolio of tax-exempt securities with a dollar-weighted average portfolio duration of less than five years. As of October 31, 2007, the Fund changed from investing in a portfolio of tax-exempt securities with a dollar-weighted average portfolio maturity of less than three years to investing in a portfolio of tax-exempt securities with a dollar-weighted average portfolio duration of less than five years. Interest income from the Fund's investments normally (except in certain circumstances described in the Fund's Prospectus) will not be subject to the federal AMT for individuals and corporations, but may be subject to state and local taxes.

2. SIGNIFICANT ACCOUNTING POLICIES

The following is a summary of significant accounting policies consistently followed by the Fund in the preparation of its financial statements. These policies are in conformity with U.S. generally accepted accounting principles (GAAP).

Investment Valuation

In calculating its net asset value (NAV), the Fund generally values investments as follows:

Fixed-income securities acquired with remaining maturities greater than 60 days are fair valued using price evaluations provided by a pricing service approved by the Board of Trustees (the "Trustees").
Fixed-income securities acquired with remaining maturities of 60 days or less are valued at their cost (adjusted for the accretion of any discount or amortization of any premium).
Shares of other mutual funds are valued based upon their reported NAVs.
Derivative contracts listed on exchanges are valued at their reported settlement or closing price.
Over-the-counter (OTC) derivative contracts are fair valued using price evaluations provided by a pricing service approved by the Trustees.

If the Fund cannot obtain a price or price evaluation from a pricing service for an investment, the Fund may attempt to value the investment based upon the mean of bid and asked quotations or fair value the investment based on price evaluations, from one or more dealers. If any price, quotation, price evaluation or other pricing source is not readily available when the NAV is calculated, the Fund uses the fair value of the investment determined in accordance with the procedures described below. There can be no assurance that the Fund could purchase or sell an investment at the price used to calculate the Fund's NAV.

Fair Valuation and Significant Events Procedures

The Trustees have authorized the use of pricing services to provide evaluations of the current fair value of certain investments for purposes of calculating the NAV. Factors considered by pricing services in evaluating an investment include the yields or prices of investments of comparable quality, coupon, maturity, call rights and other potential prepayments, terms and type, reported transactions, indications as to values from dealers and general market conditions. Some pricing services provide a single price evaluation reflecting the bid-side of the market for an investment (a "bid" evaluation). Other pricing services offer both bid evaluations and price evaluations indicative of a price between the prices bid and asked for the investment (a "mid" evaluation). The Fund normally uses bid evaluations for U.S. Treasury and Agency securities, mortgage-backed securities and municipal securities. The Fund normally uses mid evaluations for other types of fixed-income securities and OTC derivative contracts. In the event that market quotations and price evaluations are not available for an investment, the fair value of the investment is determined in accordance with procedures adopted by the Trustees.

The Trustees also have adopted procedures requiring an investment to be priced at its fair value whenever the Adviser determines that a significant event affecting the value of the investment has occurred between the time as of which the price of the investment would otherwise be determined and the time as of which the NAV is computed. An event is considered significant if there is both an affirmative expectation that the investment's value will change in response to the event and a reasonable basis for quantifying the resulting change in value. Examples of significant events that may occur after the close of the principal market on which a security is traded, or after the time of a price evaluation provided by a pricing service or a dealer, include:

With respect to price evaluations of fixed-income securities determined before the close of regular trading on the NYSE, actions by the Federal Reserve Open Market Committee and other significant trends in U.S. fixed-income markets;
Political or other developments affecting the economy or markets in which an issuer conducts its operations or its securities are traded; and
Announcements concerning matters such as acquisitions, recapitalizations, litigation developments, a natural disaster affecting the issuer's operations or regulatory changes or market developments affecting the issuer's industry.

The Fund may seek to obtain more current quotations or price evaluations from alternative pricing sources. If a reliable alternative pricing source is not available, the Fund will determine the fair value of the investment using another method approved by the Trustees.

Investment Income, Gains and Losses, Expenses and Distributions

Investment transactions are accounted for on a trade-date basis. Realized gains and losses from investment transactions are recorded on an identified-cost basis. Interest income and expenses are accrued daily. Dividend income and distributions to shareholders are recorded on the ex-dividend date. Distributions of net investment income are declared daily and paid monthly. Non-cash dividends included in dividend income, if any, are recorded at fair value. Investment income, realized and unrealized gains and losses and certain fund-level expenses are allocated to each class based on relative average daily net assets, except that each class may bear certain expenses unique to that class such as account administration, distribution services and shareholder services fees. Dividends are declared separately for each class. No class has preferential dividend rights; differences in per share dividend rates are generally due to differences in separate class expenses.

Premium and Discount Amortization

All premiums and discounts on fixed-income securities are amortized/accreted for financial statement purposes.

Federal Taxes

It is the Fund's policy to comply with the Subchapter M provision of the Internal Revenue Code (the "Code") and to distribute to shareholders each year substantially all of its income. Accordingly, no provision for federal income tax is necessary. The Fund complies with the provisions of Financial Accounting Standards Board Interpretation No. 48 (FIN 48), "Accounting for Uncertainty in Income Taxes." As of and during the year ended June 30, 2009, the Fund did not have a liability for any uncertain tax positions. The Fund recognizes interest and penalties, if any, related to tax liabilities as income tax expense in the Statement of Operations. As of June 30, 2009, tax years 2006 through 2009 remain subject to examination by the Fund's major tax jurisdictions, which include the United States of America and the Commonwealth of Massachusetts.

When-Issued and Delayed Delivery Transactions

The Fund may engage in when-issued or delayed delivery transactions. The Fund records when-issued securities on the trade date and maintains security positions such that sufficient liquid assets will be available to make payment for the securities purchased. Securities purchased on a when-issued or delayed delivery basis are marked to market daily and begin earning interest on the settlement date. Losses may occur on these transactions due to changes in market conditions or the failure of counterparties to perform under the contract.

Restricted Securities

Restricted securities are securities that either: (a) cannot be offered for public sale without first being registered, or being able to take advantage of an exemption from registration, under the Securities Act of 1933; or (b) are subject to contractual restrictions on public sales. In some cases, when a security cannot be offered for public sale without first being registered, the issuer of the restricted security has agreed to register such securities for resale, at the issuer's expense, either upon demand by the Fund or in connection with another registered offering of the securities. Many such restricted securities may be resold in the secondary market in transactions exempt from registration. Restricted securities may be determined to be liquid under criteria established by the Trustees. The Fund will not incur any registration costs upon such resales. The Fund's restricted securities are valued at the price provided by dealers in the secondary market or, if no market prices are available, at the fair value as determined in accordance with procedures established by and under the general supervision of the Trustees.

Additional information on restricted securities, excluding securities purchased under Rule 144A, if applicable, that have been deemed liquid by the Trustees, held at June 30, 2009, is as follows:

Security	Acquisition Date	Acquisition Cost	Market Value
California Municipal Finance Authority, Solid Waste Disposal Revenue Bonds (Series 2009A), 4.90% TOBs (Waste Management, Inc.), Mandatory Tender 2/1/2010	3/4/2009	$1,000,000	$1,004,150
Florida State Department of Corrections, Custodial Receipts, 3.00%, 9/10/2009	2/27/2004	$ 10,000	$ 10,015

Other

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts of assets, liabilities, expenses and revenues reported in the financial statements. Actual results could differ from those estimated.

3. SHARES OF BENEFICIAL INTEREST

The following tables summarize share activity:

Year Ended June 30	2009					2008
Institutional Shares:	Shares			Amount		Shares			Amount
Shares sold	8,002,387		$	79,203,490		4,248,421		$	42,729,988
Shares issued to shareholders in payment of distributions declared	287,431			2,841,038		278,034			2,793,263
Shares redeemed	(4,769,903	)		(47,048,067	)	(5,124,595	)		(51,526,903	)
NET CHANGE RESULTING FROM INSTITUTIONAL SHARE TRANSACTIONS	3,519,915		$	34,996,461		(598,140	)	$	(6,003,652	)

Year Ended June 30	2009					2008
Institutional Service Shares:	Shares			Amount		Shares			Amount
Shares sold	473,018		$	4,670,701		334,824		$	3,369,284
Shares issued to shareholders in payment of distributions declared	38,469			380,235		41,485			416,775
Shares redeemed	(479,589	)		(4,731,077	)	(650,459	)		(6,552,444	)
NET CHANGE RESULTING FROM INSTITUTIONAL SERVICE SHARE TRANSACTIONS	31,898		$	319,859		(274,150	)	$	(2,766,385	)

Year Ended June 30	2009					2008
Class A Shares:	Shares			Amount		Shares			Amount
Shares sold	1,121,094		$	11,112,726		538,813		$	5,426,992
Shares issued to shareholders in payment of distributions declared	89,351			883,135		97,401			978,664
Shares redeemed	(554,130	)		(5,484,464	)	(1,629,932	)		(16,389,381	)
NET CHANGE RESULTING FROM CLASS A SHARE TRANSACTIONS	656,315		$	6,511,397		(993,718	)	$	(9,983,725	)
NET CHANGE RESULTING FROM FUND SHARE TRANSACTIONS	4,208,128		$	41,827,717		(1,866,008	)	$	(18,753,762	)

4. FEDERAL TAX INFORMATION

The timing and character of income and capital gain distributions are determined in accordance with income tax regulations, which may differ from GAAP. These differences are due in part to differing treatments for discount accretion/premium amortization on debt securities and expiration of capital loss carryforwards.

For the year ended June 30, 2009, permanent differences identified and reclassified among the components of net assets were as follows:

Increase (Decrease)
Paid-In Capital	Undistributed Net Investment Income (Loss)	Accumulated Net Realized Gain (Loss)
$(1,003,552)	$(8,375)	$1,011,927

Net investment income (loss), net realized gains (losses) and net assets were not affected by this reclassification.

The tax character of distributions as reported on the Statement of Changes in Net Assets for the years ended June 30, 2009 and 2008, was as follows:

		2009		2008
Tax-exempt income		$7,031,250		$7,203,164

As of June 30, 2009, the components of distributable earnings on a tax basis were as follows:

Distributions in excess of net investment income	$	(13,751	)
Net unrealized appreciation	$	1,579,773
Capital loss carryforwards and deferrals	$	(9,164,493	)

The difference between book-basis and tax-basis net unrealized appreciation/depreciation is attributable to differing treatments for discount accretion/premium amortization on debt securities.

At June 30, 2009, the cost of investments for federal tax purposes was $239,520,498. The net unrealized appreciation of investments for federal tax purposes was $1,579,773. This consists of net unrealized appreciation from investments for those securities having an excess of value over cost of $3,416,983 and net unrealized depreciation from investments for those securities having an excess of cost over value of $1,837,210.

At June 30, 2009, the Fund had a capital loss carryforward of $6,300,432 which will reduce the Fund's taxable income arising from future net realized gains on investments, if any, to the extent permitted by the Code and thus will reduce the amount of distributions to shareholders which would otherwise be necessary to relieve the Fund of any liability for federal income tax. Pursuant to the Code, such capital loss carryforward will expire as follows:

Expiration Year		Expiration Amount
2010		$ 273,223
2011		$ 932,531
2012		$ 150,771
2013		$ 963,963
2014		$ 458,259
2015		$ 983,114
2016		$ 337,524
2017		$2,201,047

As a result of the tax-free transfer of assets from Federated Limited Term Municipal Fund, certain capital loss carryforwards listed above may be limited.

Capital loss carryforwards of $1,003,552 expired during the year ended June 30, 2009.

Under current tax regulations, capital losses on securities transactions realized after October 31 may be deferred and treated as occurring on the first day of the following fiscal year. As of June 30, 2009, for federal income tax purposes, post-October losses of $2,864,061 were deferred to July 1, 2009.

5. INVESTMENT ADVISER FEE AND OTHER TRANSACTIONS WITH AFFILIATES

Investment Adviser Fee

Federated Investment Management Company is the Fund's investment adviser (the "Adviser"). The advisory agreement between the Fund and the Adviser provides for an annual fee equal to 0.40% of the Fund's average daily net assets. Under the investment advisory contract, which is subject to annual review by the Trustees, the Adviser will reimburse the amount, limited to the amount of the advisory fee, by which the Fund's Institutional Shares aggregate annual operating expenses, including the investment advisory fee, but excluding interest, taxes, brokerage commissions, expenses of registering and qualifying the Fund and its shares under federal and state laws and regulations, expenses of withholding taxes and extraordinary expenses, exceed 0.45% of its average daily net assets. To comply with the 0.45% limitation imposed under the investment advisory contract, the Adviser may waive its advisory fee and/or reimburse its advisory fee or other Fund expenses, affiliates of the Adviser may waive, reimburse or reduce amounts otherwise included in the aggregate annual operating expenses of the Fund, or there may be a combination of waivers, reimbursements and/or reductions by the Adviser and its affiliates. The amount that the Adviser waives/reimburses under the investment advisory contract will be reduced to the extent that affiliates of the Adviser waive, reimburse or reduce amounts that would otherwise be included in the aggregate annual operating expenses of the Fund. In addition, subject to the terms described in the Expense Limitation note, the Adviser may also voluntarily choose to waive any portion of its fee. The Adviser can modify or terminate this voluntary waiver at any time at its sole discretion. For the year ended June 30, 2009, the Adviser waived $369,045 of its fee.

Administrative Fee

Federated Administrative Services (FAS), under the Administrative Services Agreement, provides the Fund with administrative personnel and services. The fee paid to FAS is based on the average aggregate daily net assets of certain Federated funds as specified below:

Administrative Fee		Average Aggregate Daily Net Assets of the Federated Funds
0.150%		on the first $5 billion
0.125%		on the next $5 billion
0.100%		on the next $10 billion
0.075%		on assets in excess of $20 billion

The administrative fee received during any fiscal year shall be at least $150,000 per portfolio and $40,000 per each additional class of Shares. Subject to the terms described in the Expense Limitation note, FAS may voluntarily choose to waive any portion of its fee. FAS can modify or terminate this voluntary waiver at any time at its sole discretion. For the year ended June 30, 2009, the net fee paid to FAS was 0.087% of average daily net assets of the Fund. FAS waived $42,852 of its fee.

Distribution Services Fee

The Fund has adopted a Distribution Plan (the "Plan") pursuant to Rule 12b-1 under the Act. Under the terms of the Plan, the Fund will compensate Federated Securities Corp. (FSC), the principal distributor, from the daily net assets of the Fund's Institutional Service Shares and Class A Shares to finance activities intended to result in the sale of these shares. The Plan provides that the Fund may incur distribution expenses at the following percentages of average daily net assets annually, to compensate FSC:

Share Class Name		Percentage of Average Daily Net Assets of Class
Institutional Service Shares		0.25%
Class A Shares		0.25%

Subject to the terms described in the Expense Limitation note, FSC may voluntarily choose to waive any portion of its fee. FSC can modify or terminate this voluntary waiver at any time at its sole discretion. For the year ended June 30, 2009, FSC voluntarily waived $48,436 of its fee. When FSC receives fees, it may pay some or all of them to financial intermediaries whose customers purchase shares. For the year ended June 30, 2009, FSC retained $6,132 of fees paid by the Fund.

Shareholder Services Fee

The Fund may pay fees (Service Fees) up to 0.25% of the average daily net assets of the Fund's Institutional Shares, Institutional Service Shares and Class A Shares to financial intermediaries or to Federated Shareholder Services Company (FSSC) for providing services to shareholders and maintaining shareholder accounts. Subject to the terms described in the Expense Limitation note, FSSC may voluntarily reimburse the Fund for shareholder services fees or account administration fees. This voluntary reimbursement can be modified or terminated at any time. For the year ended June 30, 2009, FSSC reimbursed $200,254 of shareholder services fees and $7,052 of account administration fees. For the year ended June 30, 2009, FSSC did not receive any fees paid by the Fund.

Interfund Transactions

During the year ended June 30, 2009, the Fund engaged in purchase and sale transactions with funds that have a common investment adviser (or affiliated investment advisers), common Directors/Trustees and/or common Officers. These purchase and sale transactions complied with Rule 17a-7 under the Act and amounted to $155,295,000 and $103,985,000, respectively.

Expense Limitation

The Adviser and its affiliates (which may include FSC, FAS and FSSC) have voluntarily agreed to waive their fees and/or reimburse expenses so that the total operating expenses (as shown in the financial highlights) paid by the Fund's Institutional Shares, Institutional Service Shares and Class A Shares (after waivers and reimbursements) will not exceed 0.48%, 0.71% and 0.98%, respectively, for the fiscal year ending June 30, 2010. Although these actions are voluntary, the Adviser and its affiliates have agreed to continue these waivers and/or reimbursements at least through August 31, 2010.

General

Certain Officers and Trustees of the Fund are Officers and Directors or Trustees of the above companies.

6. EXPENSE REDUCTION

Through arrangements with the Fund's custodian, net credits realized as a result of uninvested cash balances were used to reduce custody expenses. For the year ended June 30, 2009, the Fund's expenses were reduced by $179 under these arrangements.

7. INVESTMENT TRANSACTIONS

Purchases and sales of investments, excluding long-term U.S. government securities and short-term obligations, for the year ended June 30, 2009, were as follows:

Purchases		$	46,103,111
Sales		$	30,097,191

8. LINE OF CREDIT

The Fund participates in a $100,000,000 unsecured, uncommitted revolving line of credit (LOC) agreement with PNC Bank. The LOC was made available for extraordinary or emergency purposes, primarily for financing redemption payments. Borrowings are charged interest at a rate offered to the Fund by PNC Bank at the time of the borrowing. As of June 30, 2009, there were no outstanding loans. During the year ended June 30, 2009, the Fund did not utilize the LOC.

9. INTERFUND LENDING

Pursuant to an Exemptive Order issued by the Securities and Exchange Commission (SEC), the Fund, along with other funds advised by subsidiaries of Federated Investors, Inc., may participate in an interfund lending program. This program provides an alternative credit facility allowing the funds to borrow from other participating affiliated funds. As of June 30, 2009, there were no outstanding loans. During the year ended June 30, 2009, the program was not utilized.

10. LEGAL PROCEEDINGS

Since October 2003, Federated Investors, Inc. and related entities (collectively, "Federated") and various Federated funds ("Federated Funds") have been named as defendants in several class action lawsuits now pending in the United States District Court for the District of Maryland. The lawsuits were purportedly filed on behalf of people who purchased, owned and/or redeemed shares of Federated-sponsored mutual funds during specified periods beginning November 1, 1998. The suits are generally similar in alleging that Federated engaged in illegal and improper trading practices including market timing and late trading in concert with certain institutional traders, which allegedly caused financial injury to the mutual fund shareholders. These lawsuits began to be filed shortly after Federated's first public announcement that it had received requests for information on shareholder trading activities in the Federated Funds from the SEC, the Office of the New York State Attorney General ("NYAG") and other authorities. In that regard, on November 28, 2005, Federated announced that it had reached final settlements with the SEC and the NYAG with respect to those matters. As Federated previously reported in 2004, it has already paid approximately $8.0 million to certain funds as determined by an independent consultant. As part of these settlements, Federated agreed to pay for the benefit of fund shareholders additional disgorgement and a civil money penalty in the aggregate amount of an additional $72 million. Federated entities have also been named as defendants in several additional lawsuits that are now pending in the United States District Court for the Western District of Pennsylvania, alleging, among other things, excessive advisory and Rule 12b-1 fees. The Board of the Federated Funds retained the law firm of Dickstein Shapiro LLP to represent the Federated Funds in these lawsuits. Federated and the Federated Funds and their respective counsel have been defending this litigation and none of the Federated Funds remains a defendant in any of the lawsuits (though some could potentially receive any recoveries as nominal defendants). Additional lawsuits based upon similar allegations may be filed in the future. The potential impact of these lawsuits, all of which seek unquantified damages, attorneys' fees and expenses, and future potential similar suits is uncertain. Although we do not believe that these lawsuits will have a material adverse effect on the Federated Funds, there can be no assurance that these suits, the ongoing adverse publicity and/or other developments resulting from the regulatory investigations will not result in increased Federated Fund redemptions, reduced sales of Federated Fund shares or other adverse consequences for the Federated Funds.

11. SUBSEQUENT EVENTS

Management has evaluated subsequent events through August 20, 2009, and determined that no events have occurred that require disclosure.

12. FEDERAL TAX INFORMATION (UNAUDITED)

For the year ended June 30, 2009, 100% of the distributions from net investment income is exempt from federal income tax, other than the federal AMT.

Report of Independent Registered Public Accounting Firm

TO THE BOARD OF TRUSTEES OF AND SHAREHOLDERS OF FEDERATED SHORT-INTERMEDIATE DURATION MUNICIPAL TRUST:

We have audited the accompanying statement of assets and liabilities of Federated Short-Intermediate Duration Municipal Trust (the "Fund"), including the portfolio of investments, as of June 30, 2009, and the related statement of operations for the year then ended, the statement of changes in net assets for each of the two years in the period then ended, and the financial highlights for each of the periods indicated therein. These financial statements and financial highlights are the responsibility of the Fund's management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits.

We conducted our audits in accordance with standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement. We were not engaged to perform an audit of the Fund's internal control over financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Fund's internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements and financial highlights, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. Our procedures included confirmation of securities owned as of June 30, 2009, by correspondence with the custodian and brokers. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the financial statements and financial highlights referred to above present fairly, in all material respects, the financial position of Federated Short-Intermediate Duration Municipal Trust, at June 30, 2009, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended, and the financial highlights for each of the periods indicated therein, in conformity with U.S. generally accepted accounting principles.

Ernst & Young LLP

Boston, Massachusetts
August 20, 2009

Board of Trustees and Fund Officers

The Board is responsible for managing the Fund's business affairs and for exercising all the Fund's powers except those reserved for the shareholders. The following tables give information about each Board member and the senior officers of the Fund. Where required, the tables separately list Board members who are "interested persons" of the Fund (i.e., "Interested" Board members) and those who are not (i.e., "Independent" Board members). Unless otherwise noted, the address of each person listed is Federated Investors Tower, 1001 Liberty Avenue, Pittsburgh, PA 15222. The address of all Independent Board members listed is 4000 Ericsson Drive, Warrendale, PA 15086-7561; Attention: Mutual Fund Board. As of December 31, 2008, the Trust comprised one portfolio, and the Federated Fund Complex consisted of 40 investment companies (comprising 148 portfolios). Unless otherwise noted, each Officer is elected annually. Unless otherwise noted, each Board member oversees all portfolios in the Federated Fund Complex and serves for an indefinite term. The Fund's Statement of Additional Information includes additional information about Fund Trustees and is available, without charge and upon request, by calling 1-800-341-7400.

INTERESTED TRUSTEES BACKGROUND


Name Birth Date Positions Held with Fund Date Service Began		Principal Occupation(s) for Past Five Years, Other Directorships Held and Previous Position(s)
John F. Donahue* Birth Date: July 28, 1924 TRUSTEE Began serving: May 1981		Principal Occupations: Director or Trustee of the Federated Fund Complex; Chairman and Director, Federated Investors, Inc.; Chairman of the Federated Fund Complex's Executive Committee. Previous Positions: Chairman of the Federated Fund Complex; Trustee, Federated Investment Management Company; Chairman and Director, Federated Investment Counseling.

J. Christopher Donahue* Birth Date: April 11, 1949 TRUSTEE Began serving: October 1999		Principal Occupations: Principal Executive Officer and President of the Federated Fund Complex; Director or Trustee of some of the Funds in the Federated Fund Complex; President, Chief Executive Officer and Director, Federated Investors, Inc.; Chairman and Trustee, Federated Investment Management Company; Trustee, Federated Investment Counseling; Chairman and Director, Federated Global Investment Management Corp.; Chairman, Federated Equity Management Company of Pennsylvania and Passport Research, Ltd. (investment advisory subsidiary of Federated); Trustee, Federated Shareholder Services Company; Director, Federated Services Company. Previous Positions: President, Federated Investment Counseling; President and Chief Executive Officer, Federated Investment Management Company, Federated Global Investment Management Corp. and Passport Research, Ltd.

* Family relationships and reasons for "interested" status: John F. Donahue is the father of J. Christopher Donahue; both are "interested" due to their beneficial ownership of shares of Federated Investors, Inc. and the positions they hold with Federated and its subsidiaries.

INDEPENDENT TRUSTEES BACKGROUND


Name Birth Date Positions Held with Fund Date Service Began		Principal Occupation(s) for Past Five Years, Other Directorships Held and Previous Position(s)
John T. Conroy, Jr. Birth Date: June 23, 1937 TRUSTEE Began serving: November 1991		Principal Occupations: Director or Trustee of the Federated Fund Complex; Chairman of the Board, Investment Properties Corporation; Partner or Trustee in private real estate ventures in Southwest Florida; Assistant Professor of Theology, Blessed Edmund Rice School for Pastoral Ministry. Previous Positions: President, Investment Properties Corporation; Senior Vice President, John R. Wood and Associates, Inc., Realtors; President, Naples Property Management, Inc. and Northgate Village Development Corporation.

Nicholas P. Constantakis Birth Date: September 3, 1939 TRUSTEE Began serving: October 1999		Principal Occupation: Director or Trustee of the Federated Fund Complex. Other Directorships Held: Director and Chairman of the Audit Committee, Michael Baker Corporation (engineering and energy services worldwide). Previous Position: Partner, Andersen Worldwide SC.

John F. Cunningham Birth Date: March 5, 1943 TRUSTEE Began serving: April 1999		Principal Occupation: Director or Trustee of the Federated Fund Complex. Other Directorships Held: Chairman, President and Chief Executive Officer, Cunningham & Co., Inc. (strategic business consulting); Trustee Associate, Boston College. Previous Positions: Director, QSGI, Inc. (technology services company); Director, Redgate Communications and EMC Corporation (computer storage systems); Chairman of the Board and Chief Executive Officer, Computer Consoles, Inc.; President and Chief Operating Officer, Wang Laboratories; Director, First National Bank of Boston; Director, Apollo Computer, Inc.

Maureen Lally-Green Birth Date: July 5, 1949 TRUSTEE Began serving: August 2009		Principal Occupations: Director or Trustee of the Federated Fund Complex; Director, Office of Church Relations, Diocese of Pittsburgh; Adjunct professor of law, Duquesne University School of Law. Other Directorships Held: Director, Auberle; Trustee, St. Francis University; Director, Ireland Institute of Pittsburgh; Director, UPMC Mercy Hospital; Regent, St. Vincent Seminary; Director, Epilepsy Foundation of Western and Central Pennsylvania; Director, Saint Thomas More Society, Allegheny County. Previous Positions: Pennsylvania Superior Court Judge.


Name Birth Date Positions Held with Fund Date Service Began		Principal Occupation(s) for Past Five Years, Other Directorships Held and Previous Position(s)
Peter E. Madden Birth Date: March 16, 1942 TRUSTEE Began serving: November 1991		Principal Occupations: Director or Trustee, and Chairman of the Board of Directors or Trustees of the Federated Fund Complex. Other Directorships Held: Board of Overseers, Babson College. Previous Positions: Representative, Commonwealth of Massachusetts General Court; President, State Street Bank and Trust Company and State Street Corporation (retired); Director, VISA USA and VISA International; Chairman and Director, Massachusetts Bankers Association; Director, Depository Trust Corporation; Director, The Boston Stock Exchange.

Charles F. Mansfield, Jr. Birth Date: April 10, 1945 TRUSTEE Began serving: April 1999		Principal Occupations: Director or Trustee of the Federated Fund Complex; Chairman, Audit Committee; Management Consultant. Previous Positions: Chief Executive Officer, PBTC International Bank; Partner, Arthur Young & Company (now Ernst & Young LLP); Chief Financial Officer of Retail Banking Sector, Chase Manhattan Bank; Senior Vice President, HSBC Bank USA (formerly, Marine Midland Bank); Vice President, Citibank; Assistant Professor of Banking and Finance, Frank G. Zarb School of Business, Hofstra University; Executive Vice President DVC Group, Inc. (marketing, communications and technology).

R. James Nicholson Birth Date: February 4, 1938 TRUSTEE Began serving: April 2008		Principal Occupations: Director or Trustee of the Federated Fund Complex; Senior Counsel, Brownstein Hyatt Farber Schrek, P.C.; Former Secretary of the U.S. Dept. of Veterans Affairs; Former U.S. Ambassador to the Holy See; Former Chairman of the Republican National Committee. Other Directorships Held: Director, Horatio Alger Association; Director, The Daniels Fund. Previous Positions: Colonel, U.S. Army Reserve; Partner, Calkins, Kramer, Grimshaw and Harring, P.C.; General Counsel, Colorado Association of Housing and Building; Chairman and CEO, Nicholson Enterprises, Inc. (real estate holding company); Chairman and CEO, Renaissance Homes of Colorado.


Name Birth Date Positions Held with Fund Date Service Began		Principal Occupation(s) for Past Five Years, Other Directorships Held and Previous Position(s)
Thomas M. O'Neill Birth Date: June 14, 1951 TRUSTEE Began serving: October 2006		Principal Occupations: Director or Trustee of the Federated Fund Complex; Managing Director and Partner, Navigator Management Company, L.P. (investment and strategic consulting). Other Directorships Held: Board of Overseers, Children's Hospital of Boston; Visiting Committee on Athletics, Harvard College. Previous Positions: Chief Executive Officer and President, Managing Director and Chief Investment Officer, Fleet Investment Advisors; President and Chief Executive Officer, Aeltus Investment Management, Inc.; General Partner, Hellman, Jordan Management Co., Boston, MA; Chief Investment Officer, The Putnam Companies, Boston, MA; Credit Analyst and Lending Officer, Fleet Bank; Director and Consultant, EZE Castle Software (investment order management software); Director, Midway Pacific (lumber).

John S. Walsh Birth Date: November 28, 1957 TRUSTEES Began serving: April 1999		Principal Occupations: Director or Trustee of the Federated Fund Complex; President and Director, Heat Wagon, Inc. (manufacturer of construction temporary heaters); President and Director, Manufacturers Products, Inc. (distributor of portable construction heaters); President, Portable Heater Parts, a division of Manufacturers Products, Inc. Previous Position: Vice President, Walsh & Kelly, Inc.

James F. Will Birth Date: October 12, 1938 TRUSTEES Began serving: April 2006		Principal Occupations: Director or Trustee of the Federated Fund Complex; formerly, Vice Chancellor and President, Saint Vincent College. Other Directorships Held: Trustee, Saint Vincent College; Alleghany Corporation. Previous Positions: Chairman, President and Chief Executive Officer, Armco, Inc.; President and Chief Executive Officer, Cyclops Industries; President and Chief Operating Officer, Kaiser Steel Corporation.

OFFICERS


Name Birth Date Positions Held with Fund Date Service Began		Principal Occupation(s) for Past Five Years and Previous Position(s)
John W. McGonigle Birth Date: October 26, 1938 EXECUTIVE VICE PRESIDENT AND SECRETARY Began serving: June 1995 and May 1981, respectively		Principal Occupations: Executive Vice President and Secretary of the Federated Fund Complex; Vice Chairman, Executive Vice President, Secretary and Director, Federated Investors, Inc. Previous Positions: Trustee, Federated Investment Management Company and Federated Investment Counseling; Director, Federated Global Investment Management Corp., Federated Services Company and Federated Securities Corp.

Richard A. Novak Birth Date: December 25, 1963 TREASURER Began serving: January 2006		Principal Occupations: Principal Financial Officer and Treasurer of the Federated Fund Complex; Senior Vice President, Federated Administrative Services; Financial and Operations Principal for Federated Securities Corp., Edgewood Services, Inc. and Southpointe Distribution Services, Inc. Previous Positions: Controller of Federated Investors, Inc.; Vice President, Finance of Federated Services Company; held various financial management positions within The Mercy Hospital of Pittsburgh; Auditor, Arthur Andersen & Co.

Richard B. Fisher Birth Date: May 17, 1923 VICE PRESIDENT Began serving: May 1981		Principal Occupations: Vice Chairman or Vice President of some of the Funds in the Federated Fund Complex; Vice Chairman, Federated Investors, Inc.; Chairman, Federated Securities Corp. Previous Positions: President and Director or Trustee of some of the Funds in the Federated Fund Complex; Executive Vice President, Federated Investors, Inc.; Director and Chief Executive Officer, Federated Securities Corp.

John B. Fisher Birth Date: May 16, 1956 PRESIDENT Began serving: November 2004		Principal Occupations: President, Director/Trustee and CEO, Federated Advisory Services Company, Federated Equity Management Company of Pennsylvania, Federated Global Investment Management Corp., Federated Investment Counseling, Federated Investment Management Company; President and CEO of Passport Research, Ltd.; President of some of the Funds in the Federated Fund Complex; Director, Federated Investors Trust Company. Previous Positions: President and Director of the Institutional Sales Division of Federated Securities Corp.; President and Director of Federated Investment Counseling; Director, Edgewood Securities Corp.; Director, Federated Services Company; Director, Federated Investors, Inc.; Chairman and Director, Southpointe Distribution Services, Inc.; President, Technology, Federated Services Company.


Name Birth Date Positions Held with Fund Date Service Began		Principal Occupation(s) for Past Five Years and Previous Position(s)
Brian P. Bouda Birth Date: February 28, 1947 CHIEF COMPLIANCE OFFICER AND SENIOR VICE PRESIDENT Began serving: August 2004 and January 2006, respectively		Principal Occupations: Senior Vice President and Chief Compliance Officer of the Federated Fund Complex; Vice President and Chief Compliance Officer of Federated Investors, Inc. and Chief Compliance Officer of its subsidiaries. Mr. Bouda joined Federated in 1999 and is a member of the American Bar Association and the State Bar Association of Wisconsin.

Mary Jo Ochson Birth Date: September 12, 1953 CHIEF INVESTMENT OFFICER Began serving: May 2004		Principal Occupations: Mary Jo Ochson was named Chief Investment Officer of tax-exempt fixed-income products in 2004. She joined Federated in 1982 and has been a Senior Portfolio Manager and a Senior Vice President of the Fund's Adviser since 1996. Ms. Ochson is a Chartered Financial Analyst and received her M.B.A. in Finance from the University of Pittsburgh.

Jeff A. Kozemchak Birth Date: January 15, 1960 VICE PRESIDENT Began serving: November 1998		Principal Occupations: Jeff A. Kozemchak has been the Fund's Portfolio Manager since June 1996. He is Vice President of the Fund. Mr. Kozemchak joined Federated in 1987 and has been a Senior Portfolio Manager since 1996 and a Senior Vice President of the Fund's Adviser since 1999. He was a Portfolio Manager until 1996 and a Vice President of the Fund's Adviser from 1993 to 1998. Mr. Kozemchak is a Chartered Financial Analyst and received his M.S. in Industrial Administration from Carnegie Mellon University in 1987.

Evaluation and Approval of Advisory
Contract - May 2009

FEDERATED SHORT-INTERMEDIATE DURATION MUNICIPAL TRUST (THE "FUND")

The Fund's Board reviewed the Fund's investment advisory contract at meetings held in May 2009. The Board's decision regarding the contract reflects the exercise of its business judgment on whether to continue the existing arrangements.

In this connection, the Federated funds' Board had previously appointed a Senior Officer, whose duties include specified responsibilities relating to the process by which advisory fees are to be charged to a Federated fund. The Senior Officer has the authority to retain consultants, experts, or staff as may be reasonably necessary to assist in the performance of his duties, reports directly to the Board, and may be terminated only with the approval of a majority of the independent members of the Board. The Senior Officer prepared and furnished to the Board an independent, written evaluation that covered topics discussed below. The Board considered that evaluation, along with other information, in deciding to approve the advisory contract.

During its review of the contract, the Board considered compensation and benefits received by the Adviser. This included the fees received for services provided to the Fund by other entities in the Federated organization and research services received by the Adviser from brokers that execute Federated fund trades, as well as advisory fees. The Board is also familiar with and considered judicial decisions concerning allegedly excessive investment advisory fees, which have indicated that the following factors may be relevant to an Adviser's fiduciary duty with respect to its receipt of compensation from a fund: the nature and quality of the services provided by the Adviser, including the performance of the fund; the Adviser's cost of providing the services; the extent to which the Adviser may realize "economies of scale" as a fund grows larger; any indirect benefits that may accrue to the Adviser and its affiliates as a result of the Adviser's relationship with a fund; performance and expenses of comparable funds; and the extent to which the independent Board members are fully informed about all facts the Board deems relevant bearing on the Adviser's services and fees. The Board further considered management fees (including any components thereof) charged to institutional and other clients of the Adviser for what might be viewed as like services, and the cost to the Adviser and its affiliates of supplying services pursuant to the management fee agreements, excluding any intra-corporate profit and profit margins of the Adviser and its affiliates for supplying such services. The Board was aware of these factors and was guided by them in its review of the Fund's advisory contract to the extent it considered them to be appropriate and relevant, as discussed further below.

The Board considered and weighed these circumstances in light of its substantial accumulated experience in governing the Fund and working with Federated on matters relating to the Federated funds, and was assisted in its deliberations by independent legal counsel. Throughout the year, the Board has requested and received substantial and detailed information about the Fund and the Federated organization that was in addition to the extensive materials that comprise and accompany the Senior Officer's evaluation. Federated provided much of this information at each regular meeting of the Board, and furnished additional reports in connection with the particular meeting at which the Board's formal review of the advisory contract occurred. Between regularly scheduled meetings, the Board also received information on particular matters as the need arose. Thus, the Board's consideration of the advisory contract included review of the Senior Officer's evaluation, accompanying data and additional reports covering such matters as: the Adviser's investment philosophy, revenue, profitability, personnel and processes; investment and operating strategies; the Fund's short- and long-term performance (in absolute terms, both on a gross basis and net of expenses, as well as in relationship to its particular investment program and certain competitor or "peer group" funds and/or other benchmarks, as appropriate), and comments on the reasons for performance; the Fund's investment objectives; the Fund's expenses (including the advisory fee itself and the overall expense structure of the Fund, both in absolute terms and relative to similar and/or competing funds, with due regard for contractual or voluntary expense limitations); the use and allocation of brokerage commissions derived from trading the Fund's portfolio securities (if any); and the nature, quality and extent of the advisory and other services provided to the Fund by the Adviser and its affiliates. The Board also considered the preferences and expectations of Fund shareholders and their relative sophistication; the continuing state of competition in the mutual fund industry and market practices; the range of comparable fees for similar funds in the mutual fund industry; the Fund's relationship to the Federated family of funds which include a comprehensive array of funds with different investment objectives, policies and strategies which are available for exchange without the incurrence of additional sales charges; compliance and audit reports concerning the Federated funds and the Federated companies that service them (including communications from regulatory agencies), as well as Federated's responses to any issues raised therein; and relevant developments in the mutual fund industry and how the Federated funds and/or Federated are responding to them. The Board's evaluation process is evolutionary. The criteria considered and the emphasis placed on relevant criteria change in recognition of changing circumstances in the mutual fund marketplace.

With respect to the Fund's performance and expenses in particular, the Board has found the use of comparisons to other mutual funds with comparable investment programs to be particularly useful, given the high degree of competition in the mutual fund business. The Board focused on comparisons with other similar mutual funds more heavily than non-mutual fund products or services because it is believed that they are more relevant. For example, other mutual funds are the products most like the Fund, they are readily available to Fund shareholders as alternative investment vehicles, and they are the type of investment vehicle in fact chosen and maintained by the Fund's investors. The range of their fees and expenses therefore appears to be a generally reliable indication of what consumers have found to be reasonable in the precise marketplace in which the Fund competes. The Fund's ability to deliver competitive performance when compared to its peer group was a useful indicator of how the Adviser is executing the Fund's investment program, which in turn assisted the Board in reaching a conclusion that the nature, extent, and quality of the Adviser's investment management services were such as to warrant continuation of the advisory contract. In this regard, the Senior Officer has reviewed Federated's fees for providing advisory services to products outside the Federated family of funds (e.g., institutional and separate accounts). He concluded that mutual funds and institutional accounts are inherently different products. Those differences include, but are not limited to, different types of targeted investors; being subject to different laws and regulations; different legal structures; different average account sizes; different associated costs; different portfolio management techniques made necessary by different cash flows; and portfolio manager time spent in review of securities pricing. The Senior Officer did not consider these fee schedules to be determinative in judging the appropriateness of mutual fund advisory contracts.

The Senior Officer reviewed reports compiled by Federated, using data supplied by independent fund ranking organizations, regarding the performance of, and fees charged by, other mutual funds, noting his view that comparisons to fund peer groups are highly important in judging the reasonableness of proposed fees.

The Fund's performance fell below the median of the relevant peer group for the one-year, three-year and five-year periods covered by the report. The Board discussed the Fund's performance with the Adviser and recognized the efforts being undertaken by the Adviser. The Board will continue to monitor these efforts and the performance of the Fund.

The Board also received financial information about Federated, including reports on the compensation and benefits Federated derived from its relationships with the Federated funds. These reports covered not only the fees under the advisory contracts, but also fees received by Federated's subsidiaries for providing other services to the Federated funds under separate contracts (e.g., for serving as the Federated funds' administrator). The reports also discussed any indirect benefit Federated may derive from its receipt of research services from brokers who execute Federated fund trades. In addition, the Board considered the fact that, in order for a fund to be competitive in the marketplace, Federated and its affiliates frequently waived fees and/or reimbursed expenses and have disclosed to fund investors and/or indicated to the Board their intention to do so in the future, where appropriate. Moreover, the Board receives regular reports regarding the institution or elimination of these voluntary waivers.

Federated furnished reports, requested by the Senior Officer, that reported revenues on a fund-by-fund basis and made estimates of the allocation of expenses on a fund-by-fund basis, using allocation methodologies specified by the Senior Officer. The Senior Officer noted that, although they may apply consistent allocation processes, the inherent difficulties in allocating costs (and the unavoidable arbitrary aspects of that exercise) and the lack of consensus on how to allocate those costs may render such allocation reports unreliable. The allocation reports were considered in the analysis by the Board but were determined to be of limited use.

The Board and the Senior Officer also reviewed a report compiled by Federated comparing profitability information for Federated to other publicly held fund management companies. In this regard, the Senior Officer noted the limited availability of such information, but nonetheless concluded that Federated's profit margins did not appear to be excessive and the Board agreed.

The Senior Officer's evaluation also discussed the notion of possible realization of "economies of scale" as a fund grows larger. The Board considered in this regard that the Adviser has made significant and long-term investments in areas that support all of the Federated funds, such as personnel and processes for the portfolio management, compliance, and risk management functions; and systems technology; and that the benefits of these efforts (as well as any economies, should they exist) were likely to be enjoyed by the fund complex as a whole. Finally, the Board also noted the absence of any applicable regulatory or industry guidelines on this subject, which (as discussed in the Senior Officer's evaluation) is compounded by the lack of any common industry practice or general pattern with respect to structuring fund advisory fees with "breakpoints" that serve to reduce the fee as the fund attains a certain size. The Senior Officer did not recommend institution of breakpoints in pricing Federated's fund advisory services at this time.

It was noted in the materials for the Board meeting that for the period covered by the report, the Fund's investment advisory fee, after waivers and expense reimbursements, if any, was below the median of the relevant peer group. The Board reviewed the fees and other expenses of the Fund with the Adviser and was satisfied that the overall expense structure of the Fund remained competitive.

The Senior Officer's evaluation noted his belief that the information and observations contained in his evaluation supported a finding that the proposed management fees are reasonable, and that Federated appeared to provide appropriate administrative services to the Fund for the fees paid. Under these circumstances, no changes were recommended to, and no objection was raised to, the continuation of the Fund's advisory contract. The Board concluded that the nature, quality and scope of services provided the Fund by the Adviser and its affiliates were satisfactory.

In its decision to continue an existing investment advisory contract, the Board was mindful of the potential disruptions of the Fund's operations and various risks, uncertainties and other effects that could occur as a result of a decision to terminate or not renew an advisory contract. In particular, the Board recognized that many shareholders have invested in the Fund on the strength of the Adviser's industry standing and reputation and with the expectation that the Adviser will have a continuing role in providing advisory services to the Fund. Thus, the Board's approval of the advisory contract reflected the fact that it is the shareholders who have effectively selected the Adviser by virtue of having invested in the Fund.

The Board based its decision to approve the advisory contract on the totality of the circumstances and relevant factors and with a view to past and future long-term considerations. Not all of the factors and considerations identified above were necessarily relevant to the Fund, nor did the Board consider any one of them to be determinative. With respect to the factors that were relevant, the Board's decision to approve the contract reflects its determination that Federated's performance and actions provided a satisfactory basis to support the decision to continue the existing arrangements.

Voting Proxies on Fund Portfolio Securities

A description of the policies and procedures that the Fund uses to determine how to vote proxies, if any, relating to securities held in the Fund's portfolio is available, without charge and upon request, by calling 1-800-341-7400. A report on "Form N-PX" of how the Fund voted any such proxies during the most recent 12-month period ended June 30 is available from Federated's website at FederatedInvestors.com. To access this information from the "Products" section of the website, click on the "Prospectuses and Regulatory Reports" link under "Related Information," then select the appropriate link opposite the name of the Fund; or select the name of the Fund and from the Fund's page, click on the "Prospectuses and Regulatory Reports" link. Form N-PX filings are also available at the SEC's website at www.sec.gov.

Quarterly Portfolio Schedule

The Fund files with the SEC a complete schedule of its portfolio holdings, as of the close of the first and third quarters of its fiscal year, on "Form N-Q." These filings are available on the SEC's website at www.sec.gov and may be reviewed and copied at the SEC's Public Reference Room in Washington, DC. (Call 1-800-SEC-0330 for information on the operation of the Public Reference Room.) You may also access this information from the "Products" section of Federated's website at FederatedInvestors.com by clicking on "Portfolio Holdings" under "Related Information," then selecting the appropriate link opposite the name of the Fund; or select the name of the Fund and from the Fund's page, click on the "Portfolio Holdings" link.

Mutual funds are not bank deposits or obligations, are not guaranteed by any bank and are not insured or guaranteed by the U.S. government, the Federal Deposit Insurance Corporation, the Federal Reserve Board or any other government agency. Investment in mutual funds involves investment risk, including the possible loss of principal.

This report is authorized for distribution to prospective investors only when preceded or accompanied by the Fund's Prospectus, which contains facts concerning its objective and policies, management fees, expenses and other information.

Federated
World-Class Investment Manager

Federated Short-Intermediate Duration Municipal Trust
Federated Investors Funds
4000 Ericsson Drive
Warrendale, PA 15086-7561
Contact us at FederatedInvestors.com
or call 1-800-341-7400.

Federated Securities Corp., Distributor

Cusip 313907305

37173 (8/09)

Federated is a registered mark of Federated Investors, Inc. 2009 (c)Federated Investors, Inc.

Federated
World-Class Investment Manager

Federated Short-Intermediate Duration Municipal Trust

ANNUAL SHAREHOLDER REPORT

June 30, 2009

Institutional Shares
Institutional Service Shares

Not FDIC Insured * May Lose Value * No Bank Guarantee

Financial Highlights - Institutional Shares

(For a Share Outstanding Throughout Each Period)

Year Ended June 30	2009		2008		2007		2006		2005
Net Asset Value, Beginning of Period	$9.96		$10.07		$10.07		$10.22		$10.27
Income From Investment Operations:
Net investment income	0.33		0.36		0.35		0.32		0.28
Net realized and unrealized loss on investments and futures contracts	(0.00	)¹	(0.11	)	(0.00	)¹	(0.15	)	(0.05	)
TOTAL FROM INVESTMENT OPERATIONS	0.33		0.25		0.35		0.17		0.23
Less Distributions:
Distributions from net investment income	(0.34	)	(0.36	)	(0.35	)	(0.32	)	(0.28	)
Net Asset Value, End of Period	$9.95		$ 9.96		$10.07		$10.07		$10.22
Total Return²	3.34	%	2.47	%	3.52	%	1.66	%	2.24	%

Ratios to Average Net Assets:
Net expenses	0.48	%³	0.48	%³	0.48	%	0.45	%	0.46	%
Net investment income	3.38	%	3.54	%	3.46	%	3.11	%	2.70	%
Expense waiver/reimbursement⁴	0.32	%	0.34	%	0.28	%	0.33	%	0.37	%
Supplemental Data:
Net assets, end of period (000 omitted)	$181,396		$146,567		$154,117		$207,589		$270,956
Portfolio turnover	15	%	41	%	32	%	49	%	31	%

1 Represents less than $0.01.

2 Based on net asset value, which does not reflect the sales charge, redemption fee or contingent deferred sales charge, if applicable. As of October 31, 2007, the Fund changed from investing in a portfolio of tax-exempt securities with a dollar-weighted average portfolio maturity of less than three years to investing in a portfolio of tax-exempt securities with a dollar-weighted average portfolio duration of less than five years.

3 The net expense ratio is calculated without reduction for expense offset arrangements. The net expense ratios are 0.48% and 0.48% for the years ended June 30, 2009 and 2008, respectively, after taking into account these expense reductions.

4 This expense decrease is reflected in both the net expense and the net investment income ratios shown above.

See Notes which are an integral part of the Financial Statements

Financial Highlights - Institutional Service Shares

(For a Share Outstanding Throughout Each Period)

Year Ended June 30	2009		2008		2007		2006		2005
Net Asset Value, Beginning of Period	$9.96		$10.07		$10.07		$10.22		$10.27
Income From Investment Operations:
Net investment income	0.31		0.33		0.33		0.29		0.25
Net realized and unrealized loss on investments and futures contracts	(0.01	)	(0.11	)	(0.00	)¹	(0.15	)	(0.05	)
TOTAL FROM INVESTMENT OPERATIONS	0.30		0.22		0.33		0.14		0.20
Less Distributions:
Distributions from net investment income	(0.31	)	(0.33	)	(0.33	)	(0.29	)	(0.25	)
Net Asset Value, End of Period	$9.95		$ 9.96		$10.07		$10.07		$10.22
Total Return²	3.10	%	2.25	%	3.29	%	1.44	%³	1.99	%

Ratios to Average Net Assets:
Net expenses	0.71	%⁴	0.70	%⁴	0.71	%	0.68	%	0.71	%
Net investment income	3.16	%	3.32	%	3.25	%	2.87	%	2.44	%
Expense waiver/reimbursement⁵	0.44	%	0.45	%	0.41	%	0.40	%	0.37	%
Supplemental Data:
Net assets, end of period (000 omitted)	$20,366		$20,075		$23,045		$17,396		$29,799
Portfolio turnover	15	%	41	%	32	%	49	%	31	%

1 Represents less than $0.01.

3 During the period, the Fund was reimbursed by an affiliated shareholder services provider, which had an impact of 0.03% on the total return.

4 The net expense ratio is calculated without reduction for expense offset arrangements. The net expense ratios are 0.71% and 0.70% for the years ended June 30, 2009 and 2008, respectively, after taking into account these expense reductions.

5 This expense decrease is reflected in both the net expense and the net investment income ratios shown above.

See Notes which are an integral part of the Financial Statements

Shareholder Expense Example (unaudited)

As a shareholder of the Fund, you incur ongoing costs, including management fees and to the extent applicable, distribution (12b-1) fees and/or shareholder services fees and other Fund expenses. This Example is intended to help you to understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds. It is based on an investment of $1,000 invested at the beginning of the period and held for the entire period from January 1, 2009 to June 30, 2009.

ACTUAL EXPENSES

HYPOTHETICAL EXAMPLE FOR COMPARISON PURPOSES

Please note that the expenses shown in the table are meant to highlight your ongoing costs only. Therefore, the second section of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds.

	Beginning Account Value 1/1/2009	Ending Account Value 6/30/2009	Expenses Paid During Period¹
Actual:
Institutional Shares	$1,000	$1,037.10	$2.42
Institutional Service Shares	$1,000	$1,035.90	$3.58
Hypothetical (assuming a 5% return before expenses):
Institutional Shares	$1,000	$1,022.41	$2.41
Institutional Service Shares	$1,000	$1,021.27	$3.56

1 Expenses are equal to the Fund's annualized net expense ratios, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half-year period). The annualized net expense ratios are as follows:

Institutional Shares		0.48%
Institutional Service Shares		0.71%

Management's Discussion of Fund Performance (unaudited)

The Fund's total return, based on net asset value, for the 12-month reporting period ended June 30, 2009, was 3.34% and 3.10% for each of the Fund's Institutional Shares and Institutional Service Shares, respectively.¹ The total return of the Barclays Capital 3-Year Municipal Bond Index (BC3MB),² the Fund's benchmark index, was 6.72% during the same period. The Fund's total return for the most recently completed fiscal year reflected actual cash flows, transaction costs and other expenses, which were not reflected in the total return of the BC3MB.

1 The Fund offers another share class, Class A Shares, for which a separate Annual Shareholder Report has been prepared. The Fund's total return, based on net asset value, for the 12-month reporting period was 2.83% for Class A Shares. A copy of the Annual Shareholder Report for the Fund's Class A Shares can be obtained free of charge by visiting FederatedInvestors.com or by calling the Fund at 1-800-341-7400.

2 The BC3MB is the three year (two to four) component of the Barclays Capital Municipal Bond Index (BCMB). The BC3MB is an unmanaged market value-weighted index for the long-term tax-exempt bond market. To be included in the index, bonds must have a minimum credit rating of Baa3, an outstanding par value of at least $7 million and be issued as part of a transaction of at least $75 million. The bonds must be fixed rate, have an issue date after December 31, 1990 and a maturity range of two to four years. The BC3MB includes zero coupon bonds and bonds subject to the alternative minimum tax (AMT). The BCMB is an unmanaged market value-weighted index for the long-term tax-exempt bond market. To be included in the index, bonds must have a minimum credit rating of Baa3, an outstanding par value of at least $7 million and be issued as part of a transaction of at least $75 million. The bonds must be fixed rate, have an issue date after December 31, 1990 and must be at least one year from their maturity date. The BCMB includes zero coupon bonds and bonds subject to the AMT. The BC3MB and BCMB are not adjusted to reflect sales charges, expenses and other fees that the Securities and Exchange Commission (SEC) requires to be reflected in the Fund's performance. The indices are unmanaged, and, unlike the Fund, are not affected by cash flows. It is not possible to invest directly in an index.

3 Bond prices are sensitive to changes in interest rates and a rise in interest rates can cause a decline in their prices.

The following discussion will focus on the performance of the Fund's Institutional Shares. The 3.34% total return for the Institutional Shares for the reporting period consisted of 3.44% of tax-exempt dividends and reinvestments, and -0.10% depreciation in the net asset value of the shares.⁴

MARKET OVERVIEW

During the 12-month reporting period, the economy continued to contract, though the pace of contraction slowed. Job losses, declining equity and housing wealth and tight credit conditions weighed heavily on consumer spending and sentiment. In light of increasing economic slack both in the United States and overseas, inflation remained subdued. The Federal Reserve (the "Fed") reduced the Fed funds target rate from 2.00% to a range between 0.0% and 0.25%, while maintaining its bias to a downside risk to growth. Additionally, the Fed committed itself to employ all available tools to promote economic recovery and signaled that economic conditions warrant maintaining rates at these low levels for an extended period of time. The Fed also increased the size of its balance sheet through the increased purchase of agency mortgage backed securities, agency debt and Treasury securities (known as quantitative easing) and launched the Term Asset-Backed Securities Loan Facility in an attempt to facilitate the extension of credit to households and small businesses.

4 Income may be subject to state and local taxes. The investment adviser normally (except as disclosed in the Fund's Prospectus) will invest the Fund's assets entirely in securities whose interest is not subject to the AMT for individuals and corporations, such that, normally, distributions of annual interest income are exempt from the AMT (in addition to the federal regular income tax). However, in certain circumstances (such as, for example, when there is a lack of supply of non-AMT securities or there are advantageous market conditions, or there is a change in law relating to the AMT), to pursue the Fund's investment objective, the Fund's adviser may invest the Fund's assets in securities that may be subject to the AMT. When there is a lack of supply of non-AMT securities and/or other circumstances that exist, such circumstances may result in the Fund acquiring AMT securities that are consistent with the Fund's investment objective. These acquisitions may occur in the ordinary course or in connection with fund reorganization transactions (i.e., transactions in which the Fund acquires the portfolio securities of other mutual funds), an issuer bankruptcy or another event or circumstance. In such circumstances, interests from the Fund's investments may be subject to the AMT.

Congress passed the American Recovery and Reinvestment Act during the reporting period which included a $53.6 billion state fiscal stabilization fund targeted at providing fiscal stimulus for education and infrastructure spending and Medicare expenses. The quantity of the federal government's fiscal assistance to state and local governments has not been seen since the 1930s and has been intended to provide relief for the economic-driven stresses that impacted regional growth throughout the United States Nonetheless, the state of California struggled with a very large structural budget deficit. The Fund's exposure to securities issued by California municipalities was less than that of the BC3MB and stood at less than 5.0% at the end of the reporting period. General obligation commercial paper issued by the state of California, which was fully supported by bank lines of credit, composed less than 1% of the Fund's assets at the end of the reporting period.

Duration⁵

Sector

The Fund increased its exposure to general obligation bonds issued by states, cities and school districts, colleges and universities and public power. This allocation to higher quality, tax-exempt, municipal debt had a positive performance impact during the reporting period. The Fund also was underweight tobacco settlement bonds, which had a positive performance impact due to the sector's negative price reaction to continued litigation challenges.

Maturity and Yield Curve

During the 12-month reporting period, the Fund had a larger percentage of its portfolio invested in securities with maturities less than two years than it did beyond four years. Bonds with shorter maturities (zero to two years) provided lower returns as compared to bonds maturing from two to four years as the dollar value per unit of yield decline produced more price return for bonds in the two to four year range. This had a negative impact on the Fund's performance, but was partially offset by the Fund's modest allocation to bonds from four to six years which had the highest total returns in the portfolio during the reporting period. Overall, the Fund's yield curve positioning negatively impacted fund performance relative to the BC3MB.

Credit Quality⁶

6 Credit ratings pertain only to the securities in the portfolio and do not protect Fund shares against market risk.

7 Investment-grade securities are securities that are rated at least "BBB" or unrated securities of a comparable quality. Non-investment-grade securities are securities that are not rated at least "BBB" or unrated securities of a comparable quality. Credit ratings are an indication of the risk that a security will default. They do not protect a security from credit risk. Lower-rated bonds typically offer higher yields to help compensate investors for the increased risk associated with them. Among these risks are lower creditworthiness, greater price volatility, more risk to principal and income than with higher-rated securities and increased possibilities of default.

GROWTH OF A $10,000 INVESTMENT - INSTITUTIONAL SHARES

The graph below illustrates the hypothetical investment of $10,000¹ in Federated Short-Intermediate Duration Municipal Trust (Institutional Shares) (the "Fund") from June 30, 1999 to June 30, 2009, compared to the Barclays Capital 3-Year Municipal Bond Index (BC3MB).²

Average Annual Total Returns for the Period Ended 6/30/2009
1 Year		3.34%
5 Years		2.64%
10 Years		3.21%

1 Represents a hypothetical investment of $10,000 in the Fund. The Fund's performance assumes the reinvestment of all dividends and distributions. The BC3MB has been adjusted to reflect reinvestment of dividends on securities in the index.

GROWTH OF A $10,000 INVESTMENT - INSTITUTIONAL SERVICE SHARES

The graph below illustrates the hypothetical investment of $10,000¹ in Federated Short-Intermediate Duration Municipal Trust (Institutional Service Shares) (the "Fund") from June 30, 1999 to June 30, 2009, compared to the Barclays Capital 3-Year Municipal Bond Index (BC3MB).²

Average Annual Total Returns for the Period Ended 6/30/2009
1 Year		3.10%
5 Years		2.41%
10 Years		2.97%

Portfolio of Investments Summary Table (unaudited)

At June 30, 2009, the Fund's sector composition¹ was as follows:

Sector Composition	Percentage of Total Net Assets
Hospital	20.3	%
Electric & Gas	12.6	%
Public Power	11.6	%
General Obligation - State	8.0	%
Senior Care	7.8	%
Education	7.2	%
General Obligation - Local	6.8	%
Special Tax	5.8	%
Industrial Development/Pollution Control	5.5	%
Transportation	4.5	%
Other²	8.1	%
Other Assets and Liabilities - Net³	1.8	%
TOTAL	100.0	%

2 For purposes of this table, sector classifications constitute 90.1% of the Fund's total net assets. Remaining sectors have been aggregated under the designation "Other."

3 Assets, other than investments in securities, less liabilities. See Statement of Assets and Liabilities.

Portfolio of Investments

June 30, 2009

Principal Amount					Value
			MUNICIPAL BONDS--83.5%
			Alabama--3.1%
$	650,000		Health Care Authority for Baptist Health, AL, Revenue Bonds (Series 2006D), 5.00%, 11/15/2010	$	657,286
	500,000		Health Care Authority for Baptist Health, AL, Revenue Bonds (Series 2006D), 5.00%, 11/15/2011		504,815
	550,000		Health Care Authority for Baptist Health, AL, Revenue Bonds (Series 2006D), 5.00%, 11/15/2012		554,262
	2,000,000		Mobile, AL IDB, PCRBs (Series 2007C), 5.00% TOBs (Alabama Power Co.), Mandatory Tender 3/19/2015		2,059,660
	1,000,000		Mobile, AL IDB, PCR Refunding Bonds (Series 1994A), 4.65% (International Paper Co.), 12/1/2011		976,710
	1,000,000		Montgomery, AL Medical Clinic Board, Health Care Facility Revenue Bonds (Series 2006), 4.50% (Jackson Hospital & Clinic, Inc.), 3/1/2012		962,880
	1,000,000		Montgomery, AL Medical Clinic Board, Health Care Facility Revenue Bonds (Series 2006), 4.50% (Jackson Hospital & Clinic, Inc.), 3/1/2013		944,480
	1,170,000		Montgomery, AL Medical Clinic Board, Health Care Facility Revenue Bonds (Series 2006), 4.50% (Jackson Hospital & Clinic, Inc.), 3/1/2014		1,074,867
			TOTAL		7,734,960
			Arkansas--0.5%
	1,190,000		Jefferson County, AR, PCR Refunding Bonds (Series 2006), 4.60% (Entergy Arkansas, Inc.), 10/1/2017		1,169,092
			California--2.0%
	500,000		California Health Facilities Financing Authority, 5.00% (Adventist Health System/West), 3/1/2014		509,210
	1,925,000		California Health Facilities Financing Authority, INS Revenue Bonds (Series 2006), 4.25% (California-Nevada Methodist Homes)/(GTD by California Mortgage Insurance), 7/1/2011		1,926,347
	1,000,000	¹	California Municipal Finance Authority, Solid Waste Disposal Revenue Bonds (Series 2009A), 4.90% TOBs (Waste Management, Inc.), Mandatory Tender 2/1/2010		1,004,150
	1,500,000		Golden State Tobacco Securitization Corp., CA, Tobacco Settlement Asset-Backed Bonds (Series 2007A-1), 5.00%, 6/1/2012		1,481,940
			TOTAL		4,921,647
Principal Amount					Value
			MUNICIPAL BONDS--continued
			Colorado--5.7%
$	2,375,000		Adonea, CO Metropolitan District No. 2, Revenue Bonds (Series 2005B), 4.375% (Compass Bank, Birmingham LOC)/(Original Issue Yield: 4.50%), 12/1/2015	$	2,336,192
	115,000		Beacon Point, CO Metropolitan District, Revenue Bonds (Series 2005B), 4.375% (Compass Bank, Birmingham LOC)/(Original Issue Yield: 4.50%), 12/1/2015		114,926
	1,770,000		Colorado Health Facilities Authority, Health Facilities Revenue Bonds (Series 2004A), 5.00% (Evangelical Lutheran Good Samaritan Society), 6/1/2010		1,783,753
	500,000		Colorado Health Facilities Authority, Revenue Bonds (Series 2005), 5.00% (Covenant Retirement Communities, Inc.), 12/1/2010		498,830
	1,300,000		Colorado Health Facilities Authority, Revenue Bonds (Series 2005), 5.00% (Covenant Retirement Communities, Inc.), 12/1/2011		1,288,872
	2,135,000		Colorado Health Facilities Authority, Revenue Bonds (Series 2005), 5.00% (Covenant Retirement Communities, Inc.), 12/1/2012		2,093,133
	2,700,000		Denver, CO Convention Center Hotel Authority, Senior Refunding Revenue Bonds, 5.00% (Syncora Guarantee, Inc. INS), 12/1/2010		2,710,260
	2,705,000		Denver, CO Convention Center Hotel Authority, Senior Refunding Revenue Bonds, 5.00% (Syncora Guarantee, Inc. INS), 12/1/2011		2,686,254
	485,000		High Plains, CO Metropolitan District, Revenue Bonds (Series 2005B), 4.375% (Compass Bank, Birmingham LOC)/(Original Issue Yield: 4.50%), 12/1/2015		473,370
			TOTAL		13,985,590
			Connecticut--1.2%
	2,630,000		Connecticut State, Refunding UT GO Bonds (Series 2001E), 5.00%, 11/15/2011		2,867,831
			Delaware--0.3%
	635,000		Delaware Health Facilities Authority, Revenue Bonds (Series 2005A), 5.00% (Beebe Medical Center), 6/1/2010		638,397
			District of Columbia--0.4%
	1,000,000		District of Columbia, Ballpark Revenue Bonds (Series 2006B-1), 5.00% (FGIC and MBIA Insurance Corp. INS), 2/1/2012		998,040
			Florida--5.1%
	2,000,000		Citizens Property Insurance Corp. FL, Senior Secured Bonds (Series 2009A-2), 4.50%, 6/1/2010		2,024,460
	10,000	¹	Florida State Department of Corrections, Custodial Receipts, 3.00%, 9/10/2009		10,015
	1,000,000		Halifax Hospital Medical Center, FL, 5.00%, 6/1/2012		999,100
	875,000		Highlands County, FL Health Facilities Authority, Refunding Revenue Bonds (Series 2005B), 5.00% (Adventist Health System/Sunbelt Obligated Group), 11/15/2010		904,015
Principal Amount					Value
			MUNICIPAL BONDS--continued
			Florida--continued
$	125,000		Highlands County, FL Health Facilities Authority, Refunding Revenue Bonds (Series 2005B), 5.00% (Adventist Health System/Sunbelt Obligated Group)/(Escrowed In Treasuries COL), 11/15/2010	$	132,113
	2,000,000		Miami-Dade County, FL Transit System, Sales Surtax Revenue Bonds (Series 2006), 5.00% (Syncora Guarantee, Inc. INS), 7/1/2010		2,074,820
	3,445,000		Miami-Dade County, FL Transit System, Sales Surtax Revenue Bonds (Series 2006), 5.00% (Syncora Guarantee, Inc. INS), 7/1/2011		3,617,801
	1,000,000		Orlando, FL, Senior Tourist Development Tax Revenue Bonds (Series 2008A), 5.00% (6th Cent Contract Payments)/(Assured Guaranty Corp. INS), 11/1/2013		1,090,320
	1,000,000		Orlando, FL, Senior Tourist Development Tax Revenue Bonds (Series 2008A), 5.00% (6th Cent Contract Payments)/(Assured Guaranty Corp. INS), 11/1/2014		1,089,200
	640,000		Volusia County, FL Education Facility Authority, Educational Facilities Refunding Revenue Bonds (Series 2005), 5.00% (Embry-Riddle Aeronautical University, Inc.)/(Radian Asset Assurance, Inc. INS), 10/15/2011		643,379
			TOTAL		12,585,223
			Georgia--6.8%
	3,000,000		Burke County, GA Development Authority, PCRBs (Fifth Series 1994), 4.375% TOBs (Georgia Power Co.), Mandatory Tender 4/1/2010		3,076,740
	2,100,000		Burke County, GA Development Authority, PCRBs (Series 2007E), 4.75% TOBs (Oglethorpe Power Corp.)/(MBIA Insurance Corp. INS), Mandatory Tender 4/1/2011		2,163,483
	5,000,000		Clarke County, GA School District, GO Bonds (Series 2007), 5.00% (GTD by Georgia State), 9/1/2010		5,248,150
	935,000		Coffee County, GA Hospital Authority, Refunding Revenue Bonds, 5.00% (Coffee Regional Medical Center, Inc.), 12/1/2010		932,812
	2,000,000		Georgia State Road and Tollway Authority, Federal Highway GANs (Series 2009-A), 5.00%, 6/1/2012		2,192,160
	2,000,000		Monroe County, GA Development Authority, PCRBs (First Series 1995), 4.50% TOBs (Georgia Power Co.), Mandatory Tender 4/1/2011		2,017,500
	1,000,000		Municipal Electric Authority of Georgia, Project One Subordinated Bonds (Series 2008A), 5.00%, 1/1/2012		1,056,300
			TOTAL		16,687,145
			Illinois--3.7%
	2,000,000		Chicago, IL Water Revenue, Second Lien Water Refunding Revenue Bonds (Series 2008), 5.00% (FSA INS), 11/1/2015		2,210,940
	3,000,000		Illinois Development Finance Authority, Adjustable-Rate Gas Supply Refunding Revenue Bonds (Series 2003B), 3.75% TOBs (Peoples Gas Light & Coke Co.) Mandatory Tender 2/1/2012		2,967,600
Principal Amount					Value
			MUNICIPAL BONDS--continued
			Illinois--continued
$	250,000		Illinois Finance Authority, Refunding Revenue Bonds (Series 2006A), 5.00% (Lutheran Hillside Village), 2/1/2010	$	250,220
	760,000		Illinois Finance Authority, Refunding Revenue Bonds (Series 2006A), 5.00% (Lutheran Hillside Village), 2/1/2011		756,952
	800,000		Illinois Finance Authority, Refunding Revenue Bonds (Series 2006A), 5.00% (Lutheran Hillside Village), 2/1/2012		787,608
	1,200,000		Quincy, IL, Refunding Revenue Bonds (Series 2007), 5.00% (Blessing Hospital), 11/15/2010		1,220,688
	1,000,000		Quincy, IL, Refunding Revenue Bonds (Series 2007), 5.00% (Blessing Hospital), 11/15/2011		1,019,780
			TOTAL		9,213,788
			Indiana--2.7%
	815,000		Indiana Health & Educational Facility Financing Authority, Revenue Bonds (Series 2005), 5.00% (Baptist Homes of Indiana), 11/15/2009		815,807
	860,000		Indiana Health & Educational Facility Financing Authority, Revenue Bonds (Series 2005), 5.00% (Baptist Homes of Indiana), 11/15/2010		862,563
	1,000,000		Indiana Health Facility Financing Authority, Hospital Refunding Revenue Bonds (Series 2006B), 5.00% (Clarian Health Obligated Group), 2/15/2010		1,012,600
	1,270,000		Indiana State Finance Authority, Environmental Facilities Refunding Revenue Bonds (Series 2009B), 4.90% (Indianapolis, IN Power & Light Co.), 1/1/2016		1,255,255
	1,000,000		Jasper County, IN, PCR Refunding Bonds (Series 1994B), 5.20% (Northern Indiana Public Service Company)/(MBIA Insurance Corp. INS), 6/1/2013		1,016,490
	1,500,000		St. Joseph County, IN, Variable Rate Educational Facilities Revenue Bonds (Series 2005), 3.875% TOBs (University of Notre Dame), Mandatory Tender 3/1/2012		1,557,000
			TOTAL		6,519,715
			Iowa--1.2%
	1,000,000		Iowa Finance Authority, Health Facilities Development Refunding Revenue Bonds (Series 2006A), 5.00% (Care Initiatives), 7/1/2009		999,970
	1,000,000		Iowa Finance Authority, Health Facilities Development Refunding Revenue Bonds (Series 2006A), 5.25% (Care Initiatives), 7/1/2011		976,870
	1,000,000		Iowa Finance Authority, PCR Refunding Bonds (Series 2005), 5.00% (Interstate Power and Light Co.)/(FGIC INS), 7/1/2014		1,025,780
			TOTAL		3,002,620
			Kansas--2.9%
	350,000		Lawrence, KS, Hospital Revenue Bonds (Series 2006), 5.00% (Lawrence Memorial Hospital), 7/1/2012		361,813
	2,105,000		Saline County, KS USD No. 305, Refunding & Improvement UT GO Bonds, 5.25% (FSA INS), 9/1/2010		2,217,112
Principal Amount					Value
			MUNICIPAL BONDS--continued
			Kansas--continued
$	1,190,000		Spring Hill, KS, UT GO Temporary Notes (Series 2005A), 4.25%, 11/1/2009	$	1,189,714
	3,165,000		Wichita, KS Water & Sewer Utility, Refunding Revenue Bonds (Series 2005A), 5.00% (FGIC and MBIA Insurance Corp. INS), 10/1/2011		3,399,906
			TOTAL		7,168,545
			Louisiana--1.6%
	4,000,000		Louisiana State Citizens Property Insurance Corp., Assessment Revenue Bonds (Series 2006B), 5.25% (AMBAC INS), 6/1/2010		4,048,800
			Massachusetts--0.4%
	1,000,000		Massachusetts HEFA, Revenue Bonds (Series 2008 T-2), 4.10% TOBs (Northeastern University), Mandatory Tender 4/19/2012		1,003,420
			Michigan--1.9%
	500,000		Kent Hospital Finance Authority, MI, Revenue Bonds (Series 2005A), 5.00% (Metropolitan Hospital), 7/1/2009		499,985
	750,000		Michigan State Hospital Finance Authority, Hospital Revenue and Refunding Bonds (Series 2006A), 5.00% (Henry Ford Health System, MI), 11/15/2012		750,023
	1,000,000		Michigan State Trunk Line, Revenue Bonds, 5.00% (FGIC INS and MBIA Insurance Corp. INS), 11/1/2010		1,047,220
	1,000,000		Michigan State Trunk Line, Revenue Bonds, 5.25% (FGIC INS)/(MBIA Insurance Corp. LOC), 11/1/2013		1,101,490
	1,285,000		Saginaw, MI Hospital Finance Authority, Hospital Refunding Revenue Bonds (Series 2004G), 4.75% (Covenant Medical Center, Inc.), 7/1/2009		1,285,039
			TOTAL		4,683,757
			Minnesota--0.4%
	270,000		St. Paul, MN Housing & Redevelopment Authority, Health Care Facility Revenue Bonds (Series 2006), 5.00% (HealthPartners Obligated Group), 5/15/2010		273,162
	300,000		St. Paul, MN Housing & Redevelopment Authority, Health Care Facility Revenue Bonds (Series 2006), 5.00% (HealthPartners Obligated Group), 5/15/2011		304,680
	300,000		St. Paul, MN Housing & Redevelopment Authority, Health Care Facility Revenue Bonds (Series 2006), 5.00% (HealthPartners Obligated Group), 5/15/2012		304,092
	225,000		St. Paul, MN Housing & Redevelopment Authority, Health Care Revenue Bonds (Series 2005), 5.00% (Gillette Children's Specialty Healthcare), 2/1/2012		220,248
			TOTAL		1,102,182
Principal Amount					Value
			MUNICIPAL BONDS--continued
			Mississippi--1.3%
$	1,000,000		Mississippi Development Bank, Wilkinson County Correctional Facility Refunding Bonds (Series 2008D), 5.00% (Mississippi State Department of Corrections), 8/1/2012	$	1,062,000
	1,000,000		Mississippi Development Bank, Wilkinson County Correctional Facility Refunding Bonds (Series 2008D), 5.00% (Mississippi State Department of Corrections), 8/1/2015		1,053,180
	1,000,000		Mississippi Hospital Equipment & Facilities Authority, Revenue Bonds (Series 2007A), 5.00% (Mississippi Baptist Health Systems, Inc.), 8/15/2010		1,016,060
			TOTAL		3,131,240
			Missouri--2.1%
	1,670,000		Missouri State Environmental Improvement & Energy Resources Authority, PCR Refunding Bonds (Series 2008), 4.375% TOBs (Associated Electric Cooperative, Inc.), Mandatory Tender 3/1/2011		1,717,294
	1,125,000		Missouri State HEFA, Senior Living Facilities Revenue Bonds (Series 2007A), 5.00% (Lutheran Senior Services), 2/1/2011		1,119,206
	1,185,000		Missouri State HEFA, Senior Living Facilities Revenue Bonds (Series 2007A), 5.00% (Lutheran Senior Services), 2/1/2012		1,167,711
	1,240,000		Missouri State HEFA, Senior Living Facilities Revenue Bonds (Series 2007A), 5.00% (Lutheran Senior Services), 2/1/2013		1,207,760
			TOTAL		5,211,971
			Nebraska--0.9%
	730,000		Lancaster County, NE Hospital Authority No. 1, 5.00% (BryanLGH Health System), 6/1/2012		759,872
	700,000		Lancaster County, NE Hospital Authority No. 1, Hospital Refunding Revenue Bonds, 4.00% (BryanLGH Health System), 6/1/2010		709,436
	725,000		Lancaster County, NE Hospital Authority No. 1, Hospital Revenue Bonds, 4.00% (BryanLGH Health System), 6/1/2011		736,325
			TOTAL		2,205,633
			Nevada--0.6%
	1,000,000		Clark County, NV, IDRBs (Series 2003C), 5.45% TOBs (Southwest Gas Corp.), Mandatory Tender 3/1/2013		992,070
	425,000		Henderson, NV, Health Facility Revenue Bonds (Series 2007B), 5.00% (Catholic Healthcare West), 7/1/2013		442,013
			TOTAL		1,434,083
Principal Amount					Value
			MUNICIPAL BONDS--continued
			New Jersey--1.2%
$	705,000		New Jersey EDA, Refunding Revenue Bonds (Series A), 4.00% (Winchester Gardens at Ward Homestead)/(Original Issue Yield: 4.10%), 11/1/2009	$	704,288
	2,000,000		New Jersey EDA, School Facilities Construction Refunding Revenue Bonds (Series 2008W), 5.00% (New Jersey State), 3/1/2014		2,147,640
			TOTAL		2,851,928
			New Mexico--1.5%
	2,450,000		Farmington, NM, Refunding Revenue Bonds (Series 2002A), 4.00% TOBs (El Paso Electric Co.)/(FGIC INS), Mandatory Tender 8/1/2012		2,381,865
	1,335,000		Sandoval County, NM, Incentive Payment Refunding Revenue Bonds (Series 2005), 4.00% (Intel Corp.), 6/1/2015		1,365,144
			TOTAL		3,747,009
			New York--2.1%
	2,220,000		Dutchess County, NY IDA, Revenue Bonds, 4.00% (Marist College), 7/1/2009		2,220,111
	2,655,000		New York City, NY, UT GO Bonds (Series 2005O), 5.00%, 6/1/2013		2,889,065
			TOTAL		5,109,176
			North Carolina--4.3%
	1,000,000		North Carolina Eastern Municipal Power Agency, Power System Revenue Bonds, 5.00% (Assured Guaranty Corp. INS), 1/1/2013		1,060,900
	525,000		North Carolina Medical Care Commission, Health Care Facilities First Mortgage Revenue Bonds (Series 2006A), 5.00% (The Pines at Davidson), 1/1/2010		529,573
	315,000		North Carolina Medical Care Commission, Health Care Facilities First Mortgage Revenue Bonds (Series 2006A), 5.00% (The Pines at Davidson), 1/1/2011		320,793
	725,000		North Carolina Medical Care Commission, Health Care Facilities First Mortgage Revenue Bonds (Series 2006A), 5.00% (The Pines at Davidson), 1/1/2012		740,718
	3,000,000		North Carolina State, UT GO Bonds (Series 2003), 5.00%, 5/1/2012		3,318,930
	2,000,000		North Carolina State, UT GO Bonds (Series 2006A), 5.00%, 6/1/2014		2,275,720
	2,000,000		Wake County, NC, Public Improvement UT GO Bonds, 5.00%, 3/1/2015		2,286,580
			TOTAL		10,533,214
			Ohio--4.2%
	2,000,000		Buckeye Tobacco Settlement Financing Authority, OH, Tobacco Settlement Asset-Backed Bonds (Series 2007A-2), 5.00%, 6/1/2014		1,903,520
	1,170,000		Lucas County, OH, Adjustable Rate Demand Health Care Facilities Revenue Bonds (Series 2002), 3.75% TOBs (Franciscan Care Center), Optional Tender 3/1/2011		1,171,498
Principal Amount					Value
			MUNICIPAL BONDS--continued
			Ohio--continued
$	2,000,000		Ohio Air Quality Development Authority, PCR Refunding Bonds (Series 2009-A), 5.70% (FirstEnergy Generation Corp.), 2/1/2014	$	2,098,120
	1,820,000		Ohio State Air Quality Development Authority, PCRBs (Series 2008B), 3.375% TOBs (FirstEnergy Nuclear Generation Corp.), Mandatory Tender 10/1/2009		1,820,309
	3,000,000		Ohio State University, 5.00%, 12/1/2013		3,365,970
			TOTAL		10,359,417
			Oklahoma--3.7%
	5,000,000		Grand River Dam Authority, OK, Refunding Revenue Bonds (Series 2002A), 5.00% (FSA INS), 6/1/2012		5,456,450
	960,000		Oklahoma Development Finance Authority, Hospital Refunding Revenue Bonds (Series 2004), 5.00% (Unity Health Center), 10/1/2009		964,502
	2,500,000		Tulsa County, OK Industrial Authority, Educational Facilities Lease Revenue Bonds (Series 2006), 5.00% (Owasso Public Schools)/(Assured Guaranty Corp. INS), 9/1/2010		2,596,100
			TOTAL		9,017,052
			Pennsylvania--3.8%
	460,000		Allegheny County, PA IDA, Lease Revenue Bonds (Series 2006), 4.50% (Residential Resources Inc. Project), 9/1/2011		454,094
	865,000		Erie, PA Higher Education Building Authority, College Refunding Revenue Bonds (Series 2004A), 3.70% (Mercyhurst College)/(Original Issue Yield: 3.79%), 3/15/2010		861,367
	220,000		Erie, PA Higher Education Building Authority, College Refunding Revenue Bonds (Series 2004B), 3.70% (Mercyhurst College)/(Original Issue Yield: 3.79%), 3/15/2010		219,076
	1,115,000		Lebanon County, PA Health Facilities Authority, Hospital Revenue Bonds, 4.00% (Good Samaritan Hospital), 11/15/2009		1,110,462
	2,000,000		Pennsylvania EDFA, PCR Refunding Bonds (Series 2008), 4.85% TOBs (PPL Electric Utilities Corp.), Mandatory Tender 10/1/2010		2,030,300
	820,000		Pennsylvania State Higher Education Facilities Authority, Revenue Bonds (Series 2004A), 5.00% (Philadelphia University), 6/1/2011		819,016
	1,000,000		Pennsylvania State Higher Education Facilities Authority, Revenue Bonds (Series 2008B), 5.00% (University of Pennsylvania Health System), 8/15/2013		1,049,070
	1,780,000		Pennsylvania State Turnpike Commission, Turnpike Subordinate Revenue Bonds (Series 2009A), 3.00% (Assured Guaranty Corp. INS), 6/1/2011		1,833,258
	955,000		Philadelphia, PA Authority for Industrial Development, Adjustable Rate Revenue Bonds (Series 2003B), 4.75% TOBs (Cathedral Village), Optional Tender 4/1/2011		920,181
			TOTAL		9,296,824
Principal Amount					Value
			MUNICIPAL BONDS--continued
			Rhode Island--0.7%
$	1,600,000		Rhode Island State Health and Educational Building Corp., Hospital Financing Refunding Revenue Bonds (Series 2006A), 5.00% (Lifespan Obligated Group), 5/15/2011	$	1,627,568
			South Carolina--3.0%
	2,000,000		Richland County, SC, Environmental Improvement Revenue & Refunding Bonds (Series 2007A), 4.60% (International Paper Co.), 9/1/2012		1,946,460
	6,000,000		South Carolina Jobs-EDA, Hospital Revenue Bonds, 1.29%, Floating Rate Notes (Palmetto Health Alliance), Mandatory Tender 8/1/2013		5,540,700
			TOTAL		7,487,160
			South Dakota--0.4%
	890,000		South Dakota State Health & Educational Authority, Revenue Bonds, 5.25% (Westhills Village Retirement Community), 9/1/2009		893,097
			Texas--3.9%
	1,000,000		Austin, TX, Hotel Occupancy, 5.625% (United States Treasury PRF 11/15/2009@100)/(Original Issue Yield: 5.71%), 11/15/2019		1,018,520
	2,000,000		Harris County, TX Cultural Education Facilities Finance Corp., Revenue Bonds (Series 2008B), 5.25% (Methodist Hospital, Harris County, TX), 12/1/2014		2,135,720
	1,000,000		Johnson County, TX, UT GO, 5.00% (United States Treasury PRF 2/15/2010@100), (Original Issue Yield: 4.85%), 2/15/2016		1,028,810
	1,000,000		North Texas Tollway Authority, (Series A), 5.10% (FGIC INS and MBIA Insurance Corp. INS)/(Original Issue Yield: 5.20%), 1/1/2013		1,001,550
	1,250,000		Texas Municipal Gas Acquisition & Supply Corp. II, Gas Supply Revenue Bonds (Series 2007A), 0.822%, 9/15/2010		1,201,250
	2,000,000		Texas State Transportation Commission, Mobility Fund Revenue Bonds (Series 2006), 5.00% (Texas State), 4/1/2012		2,197,140
	1,000,000		Titus County, TX Fresh Water Supply District No. 1, PCR Refunding Bonds (Series 2008), 4.50% (Southwestern Electric Power Co.), 7/1/2011		998,300
			TOTAL		9,581,290
			Utah--0.9%
	1,000,000		Intermountain Power Agency, UT, Subordinated Power Supply Refunding Revenue Bonds (Series 2008A), 5.25%, 7/1/2013		1,087,810
	1,000,000		Intermountain Power Agency, UT, Subordinated Power Supply Refunding Revenue Bonds (Series 2008A), 5.50%, 7/1/2014		1,079,330
			TOTAL		2,167,140
Principal Amount					Value
			MUNICIPAL BONDS--continued
			Virginia--3.6%
$	2,000,000		Louisa, VA IDA, PCR Refunding Bonds (Series 2008C), 5.00% TOBs (Virginia Electric & Power Co.), Mandatory Tender 12/1/2011	$	2,067,120
	1,000,000		Rappahannock, VA Regional Jail Authority, GANs, 4.25%, 12/1/2009		1,002,110
	1,000,000		Virginia Peninsula Port Authority, Refunding Revenue Bonds (Series 2003), 5.00% TOBs (Dominion Terminal Associates)/(GTD by Dominion Resources, Inc.), Mandatory Tender 10/1/2011		1,012,240
	3,000,000		Virginia State, Refunding UT GO Bonds (Series 2004B), 5.00%, 6/1/2012		3,328,080
	1,430,000		York County, VA EDA, PCR Refunding Bonds (Series 2009A), 4.05% TOBs (Virginia Electric & Power Co.), Mandatory Tender 5/1/2014		1,450,220
			TOTAL		8,859,770
			Washington--3.2%
	2,170,000		Chelan County, WA Public Utility District No. 1, Consolidated System Subordinate Revenue Notes (Series 2008A), 5.00%, 7/1/2013		2,381,488
	2,500,000		Energy Northwest, WA, Project 1 Electric Refunding Revenue Bonds (Series 2006A), 5.00%, 7/1/2010		2,610,850
	750,000		Washington State Higher Education Facilities Authority, Refunding Revenue Bonds (Series 2006), 5.00% (Pacific Lutheran University)/(Radian Asset Assurance, Inc. INS), 11/1/2009		753,480
	890,000		Washington State Higher Education Facilities Authority, Refunding Revenue Bonds (Series 2006), 5.00% (Pacific Lutheran University)/(Radian Asset Assurance, Inc. INS), 11/1/2010		902,647
	1,105,000		Washington State Higher Education Facilities Authority, Refunding Revenue Bonds (Series 2006), 5.00% (Pacific Lutheran University)/(Radian Asset Assurance, Inc. INS), 11/1/2012		1,117,100
			TOTAL		7,765,565
			West Virginia--0.4%
	1,000,000		West Virginia EDA, PCR Refunding Bonds (Series 2008C), 4.85% TOBs (Appalachian Power Co.), Mandatory Tender 9/4/2013		986,200
			Wisconsin--0.3%
	350,000		Wisconsin State HEFA, Revenue Bonds, (Series 2006A), 5.00% (Marshfield Clinic, WI), 2/15/2012		358,257
	425,000		Wisconsin State HEFA, Revenue Bonds, (Series 2006A), 5.00% (Marshfield Clinic, WI), 2/15/2013		435,413
			TOTAL		793,670
			Wyoming--1.5%
	3,650,000		Albany County, WY, PCRBs (Series 1985), 4.00% TOBs (Union Pacific Railroad Co.)/(GTD by Union Pacific Corp.), Optional Tender 12/1/2009		3,660,512
			TOTAL MUNICIPAL BONDS (IDENTIFIED COST $203,480,543)		205,050,271
Principal Amount					Value
			SHORT-TERM MUNICIPALS--14.7%²
			California--1.8%
$	2,100,000		California State, GO Tax Exempt Notes, 3.10% CP, Mandatory Tender 7/13/2009	$	2,100,000
	2,400,000		California State Department of Water Resources Power Supply Program, (Series 2005F-2) Daily VRDNs (JPMorgan Chase Bank, N.A. and Societe Generale, Paris LOCs), 0.280%, 7/1/2009		2,400,000
			TOTAL		4,500,000
			Florida--2.8%
	5,700,000		Lakeland, FL Energy Systems, (Series 2008 B) Daily VRDNs (SunTrust Bank LOC), 0.900%, 7/1/2009		5,700,000
	1,200,000		Polk County, FL IDA, (Series 2006) Daily VRDNs (Winter Haven Hospital, Inc.)/(SunTrust Bank LOC), 0.900%, 7/1/2009		1,200,000
			TOTAL		6,900,000
			Louisiana--1.5%
	3,600,000		Louisiana Public Facilities Authority, (Series 2008A) Daily VRDNs (Air Products & Chemicals, Inc.), 0.370%, 7/1/2009		3,600,000
			Michigan--0.8%
	2,000,000		Michigan State Hospital Finance Authority, (Series 2007) Weekly VRDNs (Henry Ford Health System, MI)/(JPMorgan Chase Bank, N.A. LOC), 0.210%, 7/1/2009		2,000,000
			Pennsylvania--4.7%
	2,050,000		Lehigh County, PA General Purpose Authority, (Series B of 2008) Daily VRDNs (Lehigh Valley Health Network)/(Assured Guaranty Corp. INS)/(Wachovia Bank N.A. LIQ), 0.320%, 7/1/2009		2,050,000
	1,855,000		Philadelphia, PA Authority for Industrial Development, (Series 2007A) Daily VRDNs (Fox Chase Cancer Center)/(Citizens Bank of Pennsylvania LOC), 0.550%, 7/1/2009		1,855,000
	3,455,000		Philadelphia, PA Hospitals & Higher Education Facilities Authority, (Series 2002-B) Daily VRDNs (Children's Hospital of Philadelphia)/(JPMorgan Chase Bank, N.A. LIQ), 0.180%, 7/1/2009		3,455,000
	4,200,000		Philadelphia, PA Hospitals & Higher Education Facilities Authority, (Series 2005A) Daily VRDNs (Children's Hospital of Philadelphia)/(Bank of America N.A. LIQ), 0.180%, 7/1/2009		4,200,000
			TOTAL		11,560,000
			Texas--0.5%
	1,100,000		Harris County, TX HFDC, (Subseries 2007A-1) Daily VRDNs (Baylor College of Medicine)/(Wachovia Bank N.A. LOC), 0.320%, 7/1/2009		1,100,000
Principal Amount					Value
			SHORT-TERM MUNICIPALS--continued²
			Virginia--0.6%
$	1,390,000		Roanoke, VA IDA, (Series 2005-C-2) Daily VRDNs (Carilion Health System Obligated Group)/(FSA INS)/(Wachovia Bank N.A. LIQ), 0.320%, 7/1/2009	$	1,390,000
			West Virginia--2.0%
	5,000,000		Cabell County, WV, (Series 2007A) Weekly VRDNs (MSH-Marshall LLC)/(Regions Bank, Alabama LOC), 3.100%, 7/2/2009		5,000,000
			TOTAL SHORT-TERM MUNICIPALS (AT AMORTIZED COST)		36,050,000
			TOTAL INVESTMENT--98.2% (IDENTIFIED COST $239,530,543)³		241,100,271
			OTHER ASSETS AND LIABILITIES - NET--1.8%⁴		4,512,893
			TOTAL NET ASSETS--100%	$	245,613,164