UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number 811-02628
Fidelity Municipal Trust
(Exact name of registrant as specified in charter)
82 Devonshire St., Boston, Massachusetts 02109
(Address of principal executive offices) (Zip code)
Scott C. Goebel, Secretary
82 Devonshire St.
Boston, Massachusetts 02109
(Name and address of agent for service)
Registrant's telephone number, including area code: 617-563-7000
Date of fiscal year end: | December 31 |
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Date of reporting period: | December 31, 2008 |
Item 1. Reports to Stockholders
Fidelity®
Michigan Municipal Income
Fund
and
Fidelity
Michigan Municipal Money
Market Fund
Annual Report
December 31, 2008
(2_fidelity_logos) (Registered_Trademark)
Contents
Chairman's Message | Ned Johnson's message to shareholders | |
Shareholder Expense Example | An example of shareholder expenses. | |
Fidelity Michigan Municipal Income Fund | ||
Performance | How the fund has done over time. | |
Management's | The manager's review of fund performance, strategy and outlook. | |
Investment Changes | A summary of major shifts in the fund's investments over the past six months. | |
Investments | A complete list of the fund's investments with their market values. | |
Financial Statements | Statements of assets and liabilities, operations, and changes in net assets, as well as financial highlights. | |
Fidelity Michigan Municipal Money Market Fund | ||
Investment Changes/ | A summary of major shifts in the fund's investments over the past six months and one year. | |
Investments | A complete list of the fund's investments. | |
Financial Statements | Statements of assets and liabilities, operations, and changes in net assets, as well as financial highlights. | |
Notes | Notes to the Financial Statements | |
Report of Independent Registered Public Accounting Firm |
| |
Trustees and Officers |
| |
Distributions |
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To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com (search for "proxy voting guidelines") or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov. You may also call 1-800-544-8544 to request a free copy of the proxy voting guidelines.
Standard & Poor's, S&P and S&P 500 are registered service marks of The McGraw-Hill Companies, Inc. and have been licensed for use by Fidelity Distributors Corporation.
Other third party marks appearing herein are the property of their respective owners.
All other marks appearing herein are registered or unregistered trademarks or service marks of FMR LLC or an affiliated company.
Annual Report
This report and the financial statements contained herein are submitted for the general information of the shareholders of the funds. This report is not authorized for distribution to prospective investors in the funds unless preceded or accompanied by an effective prospectus.
A fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. Forms N-Q are available on the SEC's web site at http://www.sec.gov. A fund's Forms N-Q may be reviewed and copied at the SEC's Public Reference Room in Washington, DC. Information regarding the operation of the SEC's Public Reference Room may be obtained by calling 1-800-SEC-0330. For a complete list of a fund's portfolio holdings, view the most recent holdings listing, semiannual report, or annual report on Fidelity's web site at http://www.fidelity.com or http://www.advisor.fidelity.com, as applicable.
NOT FDIC INSURED · MAY LOSE VALUE · NO BANK GUARANTEE
Neither the funds nor Fidelity Distributors Corporation is a bank.
Annual Report
Chairman's Message
(photo_of_Edward_C_Johnson_3d)
Dear Shareholder:
An all-out credit crisis gripped the world's capital markets in 2008, stunting economic growth, toppling commodity prices and pushing equity markets into their steepest declines in decades. Within this ultra-risk-averse climate, virtually the only positive results came from the relative security of U.S. government-backed assets. While financial markets are always unpredictable, there are a number of time-tested principles that can put the historical odds in your favor.
One of the basic tenets is to invest for the long term. Over time, riding out the markets' inevitable ups and downs has proven much more effective than selling into panic or chasing the hottest trend. Even missing only a few of the markets' best days can significantly diminish investor returns. Patience also affords the benefits of compounding - of earning interest on additional income or reinvested dividends and capital gains. There are tax advantages and cost benefits to consider as well. The more you sell, the more taxes you pay, and the more you trade, the higher the costs. While staying the course doesn't eliminate risk, it can considerably lessen the effect of short-term declines.
You can further manage your investing risk through diversification. And today, more than ever, geographic diversification should be taken into account. Studies indicate that asset allocation is the single most important determinant of a portfolio's long-term success. The right mix of stocks, bonds and cash - aligned to your particular risk tolerance and investment objective - is very important. Age-appropriate rebalancing is also an essential aspect of asset allocation. For younger investors, an emphasis on equities - which historically have been the best-performing asset class over time - is encouraged. As investors near their specific goal, such as retirement or sending a child to college, consideration may be given to replacing volatile assets (e.g. common stocks) with more-stable fixed investments (bonds or savings plans).
A third investment principle - investing regularly - can help lower the average cost of your purchases. Investing a certain amount of money each month or quarter helps ensure you won't pay for all your shares at market highs. This strategy - known as dollar cost averaging - also reduces unconstructive "emotion" from investing, helping shareholders avoid selling weak performers just prior to an upswing, or chasing a hot performer just before a correction.
We invite you to contact us via the Internet, through our Investor Centers or over the phone. It is our privilege to provide you the information you need to make the investments that are right for you.
Sincerely,
/s/Edward C. Johnson 3d
Edward C. Johnson 3d
Annual Report
Shareholder Expense Example
As a shareholder of a Fund, you incur two types of costs: (1) transaction costs, and (2) ongoing costs, including management fees and other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs with the ongoing costs of investing in other mutual funds.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (July 1, 2008 to December 31, 2008).
Actual Expenses
The first line of the accompanying table for each fund provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000.00 (for example, an $8,600 account value divided by $1,000.00 = 8.6), then multiply the result by the number in the first line for a fund under the heading entitled "Expenses Paid During Period" to estimate the expenses you paid on your account during this period. A small balance maintenance fee of $12.00 that is charged once a year may apply for certain accounts with a value of less than $2,000. This fee is not included in the table below. If it was, the estimate of expenses you paid during the period would be higher, and your ending account value lower, by this amount. In addition, each Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.
Hypothetical Example for Comparison Purposes
The second line of the accompanying table for each fund provides information about hypothetical account values and hypothetical expenses based on a 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. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and 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. A small balance maintenance fee of $12.00 that is charged once a year may apply for certain accounts with a value of less than $2,000. This fee is not included in the table below. If it was, the estimate of expenses you paid during the period would be higher, and your ending account value lower, by this amount. In addition, each Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs. Therefore, the second line of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds.
Annual Report
Shareholder Expense Example - continued
| Annualized Expense Ratio | Beginning | Ending | Expenses Paid |
Fidelity Michigan Municipal Income Fund | .48% |
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|
|
Actual |
| $ 1,000.00 | $ 1,000.10 | $ 2.41 |
HypotheticalA |
| $ 1,000.00 | $ 1,022.72 | $ 2.44 |
Fidelity Michigan Municipal Money Market Fund | .55% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,007.40 | $ 2.78** |
HypotheticalA |
| $ 1,000.00 | $ 1,022.37 | $ 2.80** |
A 5% return per year before expenses
* Expenses are equal to each Fund's annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/366 (to reflect the one-half year period).
** If fees to participate in the U.S. Department of Treasury's Temporary Guarantee Program for Money Market Funds paid in October and December, 2008 (see Note 3 of the Notes to Financial Statements) had been in effect during the entire period , the annualized expense ratio for the Fidelity Michigan Municipal Money Market Fund would have been .57% and the expenses paid in the actual and hypothetical examples above would have been $2.88 and $2.90, respectively
Annual Report
Fidelity Michigan Municipal Income Fund
Performance: The Bottom Line
Average annual total return reflects the change in the value of an investment, assuming reinvestment of the fund's dividend income and capital gains (the profits earned upon the sale of securities that have grown in value, if any) and assuming a constant rate of performance each year. The $10,000 table and the fund's returns do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. During periods of reimbursement by Fidelity, a fund's total return will be greater than it would be had the reimbursement not occurred. How a fund did yesterday is no guarantee of how it will do tomorrow.
Average Annual Total Returns
Periods ended December 31, 2008 | Past 1 | Past 5 | Past 10 |
Fidelity® Michigan Municipal Income Fund | -0.06% | 2.92% | 4.29% |
$10,000 Over 10 Years
Let's say hypothetically that $10,000 was invested in Fidelity® Michigan Municipal Income Fund on December 31, 1998. The chart shows how the value of your investment would have changed, and also shows how the Barclays Capital Municipal Bond Index performed over the same period.
Annual Report
Fidelity Michigan Municipal Income Fund
Management's Discussion of Fund Performance
Comments from Jamie Pagliocco, Portfolio Manager of Fidelity® Michigan Municipal Income Fund
Municipal bonds suffered losses during 2008, hurt by a persistent and deepening risk aversion that spread rapidly across the global financial markets. While lower-quality municipals were hit first, insured bonds - most rated AAA at the time - came under pressure shortly thereafter in response to investor concerns about the financial strength of bond insurers. All major municipal bond insurers suffered from their exposure to securities backed by subprime mortgages. Supply pressures also weighed on the markets, as issuers scrambled to refinance their debt as the auction-rate securities market - - a major source of funding for muni issuers - broke down. The loss of independent muni dealers - including Bear Stearns, Lehman Brothers, Merrill Lynch and Wachovia - led to further disruption, as did the selling by leveraged investors to cover losses and meet investor redemptions. But in December, munis started to gain strength as investors gravitated toward their attractive valuations. For the 12 months overall, the Barclays Capital Municipal Bond Index - a performance measure of more than 44,000 investment-grade, fixed-rate, tax-exempt bonds - declined 2.47%. The overall taxable debt market, as measured by the Barclays Capital U.S. Aggregate Bond Index, rose 5.24%.
For the year ending December 31, 2008, the fund returned -0.06%, and the Barclays Capital Michigan Enhanced Municipal Bond Index - which tracks the types of securities in which the fund invests - returned -3.09%. The fund outpaced its benchmark primarily due to advantageous yield-curve positioning and favorable sector selection. In terms of yield-curve positioning - meaning how the fund was allocated among bonds of various maturities - an underweighting in long-term bonds proved beneficial because they lagged intermediate-term bonds, in which the fund was overweighted. As for sector selection, the fund's performance was helped by underweighting some of the worst-performing sectors - namely tobacco, health care and industrial-backed revenue bonds. All three were hurt by investors' aversion to riskier segments of the market. In contrast, the fund was hurt by its significant underweighting in prerefunded and escrowed securities, two of the muni market's leading areas during the year. These securities, which are backed by U.S. Treasury and other government-guaranteed bonds, were in very strong demand because of their high quality and their tax-free yields that, in most cases, matched or exceed those offered by taxable government bonds.
The views expressed above reflect those of the portfolio manager(s) only through the end of the period as stated on the cover of this report and do not necessarily represent the views of Fidelity or any other person in the Fidelity organization. Any such views are subject to change at any time based upon market or other conditions and Fidelity disclaims any responsibility to update such views. These views may not be relied on as investment advice and, because investment decisions for a Fidelity fund are based on numerous factors, may not be relied on as an indication of trading intent on behalf of any Fidelity fund.
Annual Report
Fidelity Michigan Municipal Income Fund
Investment Changes (Unaudited)
Top Five Sectors as of December 31, 2008 | ||
| % of fund's | % of fund's net assets |
General Obligations | 47.2 | 42.2 |
Water & Sewer | 16.4 | 17.2 |
Health Care | 9.3 | 6.9 |
Escrowed/Pre-Refunded | 8.8 | 15.7 |
Special Tax | 6.4 | 7.2 |
Weighted Average Maturity as of December 31, 2008 | ||
|
| 6 months ago |
Years | 9.4 | 7.6 |
The weighted average maturity is based on the dollar-weighted average length of time until principal payments are expected or until securities reach maturity, taking into account any maturity shortening feature such as a call, refunding or redemption provision. |
Duration as of December 31, 2008 | ||
|
| 6 months ago |
Years | 6.8 | 6.3 |
Duration shows how much a bond fund's price fluctuates with changes in comparable interest rates. If rates rise 1%, for example, a fund with a five-year duration is likely to lose about 5% of its value. Other factors also can influence a bond fund's performance and share price. Accordingly, a bond fund's actual performance may differ from this example. |
Quality Diversification (% of fund's net assets) | |||||||
As of December 31, 2008 | As of June 30, 2008 | ||||||
![]() | AAA 6.2% |
| ![]() | AAA 30.5% |
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![]() | AA,A 81.4% |
| ![]() | AA,A 66.9% |
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![]() | BBB 11.2% |
| ![]() | BBB 2.2% |
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![]() | BB and Below 0.1% |
| ![]() | BB and Below 0.1% |
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![]() | Short-Term |
| ![]() | Short-Term |
|
We have used ratings from Moody's® Investors Services, Inc. Where Moody's ratings are not available, we have used S&P® ratings. All ratings are as of the report date and do not reflect subsequent downgrades. |
Annual Report
Fidelity Michigan Municipal Income Fund
Investments December 31, 2008
Showing Percentage of Net Assets
Municipal Bonds - 98.9% | ||||
| Principal Amount | Value | ||
Guam - 0.4% | ||||
Guam Ed. Fing. Foundation Ctfs. of Prtn.: | ||||
(Guam Pub. School Facilities Proj.) 5% 10/1/16 | $ 1,045,000 | $ 940,134 | ||
Series 2006 A, 5% 10/1/23 | 1,000,000 | 829,920 | ||
Guam Wtrwks. Auth. Wtr. and Wastewtr. Sys. Rev. Series 2005, 5.875% 7/1/35 | 615,000 | 446,508 | ||
| 2,216,562 | |||
Michigan - 97.1% | ||||
Algonac Cmnty. Schools Series I, 5.25% 5/1/28 (FSA Insured) | 1,575,000 | 1,585,269 | ||
Allegan Pub. School District Series 2008: | ||||
5% 5/1/14 (MBIA Insured) | 1,570,000 | 1,732,197 | ||
5% 5/1/16 (MBIA Insured) | 1,545,000 | 1,717,669 | ||
Anchor Bay School District 2000 School Bldg. & Site (School Bldg. & Site Prog.) Series 2003, 5% 5/1/29 | 2,155,000 | 2,114,421 | ||
Ann Arbor Bldg. Auth. Series 2005 A: | ||||
5% 3/1/17 (MBIA Insured) | 1,405,000 | 1,515,040 | ||
5% 3/1/18 (MBIA Insured) | 1,440,000 | 1,540,469 | ||
Ann Arbor Econ. Dev. Corp. Ltd. Oblig. Rev. (Glacier Hills, Inc. Proj.) 8.375% 1/15/19 (Escrowed to Maturity) (c) | 2,679,000 | 3,344,544 | ||
Bay City Gen. Oblig. 0% 6/1/15 (AMBAC Insured) | 1,725,000 | 1,347,053 | ||
Brighton Area School District Livingston County Series II, 0% 5/1/15 (AMBAC Insured) | 10,000,000 | 7,479,000 | ||
Byron Ctr. Pub. Schools 5.5% 5/1/16 | 1,055,000 | 1,120,452 | ||
Caledonia Cmnty. Schools Counties of Kent, Allegan and Barry: | ||||
5.25% 5/1/17 | 1,370,000 | 1,474,380 | ||
5.25% 5/1/18 | 1,100,000 | 1,174,668 | ||
Carman-Ainsworth Cmnty. School District: | ||||
5% 5/1/16 (FSA Insured) | 1,000,000 | 1,085,510 | ||
5% 5/1/17 (FSA Insured) | 2,065,000 | 2,224,583 | ||
Carrier Creek Drainage District #326: | ||||
5% 6/1/16 (AMBAC Insured) | 1,620,000 | 1,760,195 | ||
5% 6/1/25 (AMBAC Insured) | 1,775,000 | 1,777,805 | ||
Charles Stewart Mott Cmnty. College 5% 5/1/17 (MBIA Insured) | 1,675,000 | 1,780,123 | ||
Chelsea School District: | ||||
5% 5/1/15 (MBIA Insured) | 1,720,000 | 1,906,173 | ||
5% 5/1/18 (MBIA Insured) | 1,675,000 | 1,836,939 | ||
Chippewa Valley Schools 5.5% 5/1/17 (Pre-Refunded to 5/1/12 @ 100) (c) | 1,125,000 | 1,258,121 | ||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Michigan - continued | ||||
Clarkston Cmnty. Schools: | ||||
5% 5/1/15 (FSA Insured) | $ 1,905,000 | $ 2,135,581 | ||
5% 5/1/16 (FSA Insured) | 1,855,000 | 2,088,025 | ||
5.375% 5/1/21 (Pre-Refunded to 5/1/13 @ 100) (c) | 1,950,000 | 2,208,882 | ||
5.375% 5/1/22 (Pre-Refunded to 5/1/13 @ 100) (c) | 1,150,000 | 1,302,674 | ||
Comstock Park Pub. Schools 5% 5/1/16 (FSA Insured) | 1,000,000 | 1,090,850 | ||
Constantine Pub. Schools 5% 5/1/25 | 1,130,000 | 1,140,080 | ||
Detroit City School District: | ||||
(School Bldg. & Site Impt. Proj.) Series B, 5% 5/1/33 | 1,800,000 | 1,645,650 | ||
Series 2003 B, 5% 5/1/24 (FGIC Insured) | 5,000,000 | 4,910,450 | ||
Series 2005 A, 5.25% 5/1/30 | 5,000,000 | 4,886,750 | ||
Series A: | ||||
5.5% 5/1/16 (Pre-Refunded to 5/1/12 @ 100) (c) | 1,500,000 | 1,677,495 | ||
5.5% 5/1/18 (Pre-Refunded to 5/1/12 @ 100) (c) | 1,000,000 | 1,118,330 | ||
Series B, 5.25% 5/1/15 (FGIC Insured) | 3,085,000 | 3,294,410 | ||
Detroit Convention Facilities Rev. (Cobo Hall Expansion Proj.): | ||||
5% 9/30/11 (MBIA Insured) | 3,000,000 | 3,004,320 | ||
5% 9/30/12 (MBIA Insured) | 4,765,000 | 4,739,031 | ||
Detroit Gen. Oblig.: | ||||
(Distributable State Aid Proj.) 5.25% 5/1/09 (AMBAC Insured) | 4,535,000 | 4,580,758 | ||
Series 2003 A, 5% 4/1/11 (XL Cap. Assurance, Inc. Insured) | 1,430,000 | 1,406,720 | ||
Series 2005 B, 5% 4/1/13 (FSA Insured) | 1,830,000 | 1,876,866 | ||
Series 2005 C, 5% 4/1/13 (FSA Insured) | 1,995,000 | 2,046,092 | ||
Series B1: | ||||
5% 4/1/13 (AMBAC Insured) | 2,000,000 | 2,051,220 | ||
5% 4/1/15 (AMBAC Insured) | 3,800,000 | 3,827,550 | ||
5.5% 4/1/19 (Pre-Refunded to 4/1/11 @ 100) (c) | 1,500,000 | 1,626,570 | ||
5.5% 4/1/20 (Pre-Refunded to 4/1/11 @ 100) (c) | 1,250,000 | 1,355,475 | ||
Detroit Swr. Disp. Rev.: | ||||
Series 2001 E, 5.75% 7/1/31 (Berkshire Hathaway Assurance Corp. Insured) | 2,700,000 | 2,701,917 | ||
Series A: | ||||
0% 7/1/14 (FGIC Insured) | 6,730,000 | 5,283,454 | ||
5% 7/1/32 (FSA Insured) | 535,000 | 413,512 | ||
Series B: | ||||
5% 7/1/15 (FGIC Insured) | 1,085,000 | 1,092,161 | ||
5% 7/1/36 | 7,800,000 | 6,016,296 | ||
5.5% 7/1/17 (MBIA Insured) | 3,050,000 | 3,128,934 | ||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Michigan - continued | ||||
Detroit Wtr. Supply Sys. Rev.: | ||||
Series 1993, 6.5% 7/1/15 (FGIC Insured) | $ 6,340,000 | $ 7,066,627 | ||
Series A: | ||||
5% 7/1/34 (MBIA Insured) | 5,000,000 | 3,998,700 | ||
5.25% 7/1/16 (MBIA Insured) | 1,000,000 | 1,028,650 | ||
5.25% 7/1/17 (MBIA Insured) | 2,000,000 | 2,040,900 | ||
5.25% 7/1/21 (MBIA Insured) | 6,035,000 | 5,689,677 | ||
5.75% 7/1/11 (MBIA Insured) | 3,050,000 | 3,194,235 | ||
Series B: | ||||
5% 7/1/20 (MBIA Insured) | 5,000,000 | 4,667,350 | ||
5.5% 7/1/35 (Berkshire Hathaway Assurance Corp. Insured) (FGIC Insured) | 2,800,000 | 2,761,556 | ||
Series C, 5% 7/1/33 (FSA Insured) | 7,500,000 | 6,029,400 | ||
DeWitt Pub. Schools: | ||||
5% 5/1/15 (MBIA Insured) | 1,475,000 | 1,617,795 | ||
5% 5/1/17 (MBIA Insured) | 1,550,000 | 1,679,224 | ||
Dexter Cmnty. Schools 5% 5/1/18 (Liquidity Facility Sumitomo Bank Lease Fin., Inc. (SBLF)) | 1,955,000 | 2,061,078 | ||
Durand Area Schools Gen. Oblig.: | ||||
5% 5/1/27 (FSA Insured) | 1,225,000 | 1,225,662 | ||
5% 5/1/28 (FSA Insured) | 1,250,000 | 1,239,213 | ||
5% 5/1/29 (FSA Insured) | 1,275,000 | 1,247,843 | ||
East Grand Rapids Pub. School District: | ||||
5% 5/1/16 (FSA Insured) | 1,425,000 | 1,528,569 | ||
5% 5/1/17 (FSA Insured) | 1,985,000 | 2,116,367 | ||
5.5% 5/1/17 | 1,690,000 | 1,768,044 | ||
East Lansing School District Gen. Oblig. Series B, 5% 5/1/30 (MBIA Insured) | 3,530,000 | 3,369,420 | ||
Farmington Pub. School District 5% 5/1/18 (FSA Insured) | 4,500,000 | 4,818,870 | ||
Fenton Area Pub. Schools 5% 5/1/14 (FGIC Insured) | 1,775,000 | 1,921,935 | ||
Ferris State Univ. Rev.: | ||||
5% 10/1/16 (MBIA Insured) | 1,255,000 | 1,333,224 | ||
5% 10/1/17 (MBIA Insured) | 1,320,000 | 1,392,521 | ||
Flushing Cmnty. Schools 5.25% 5/1/17 (Pre-Refunded to 5/1/13 @ 100) (c) | 1,000,000 | 1,132,050 | ||
Fraser Pub. School District: | ||||
5% 5/1/16 (FSA Insured) | 1,055,000 | 1,148,336 | ||
5% 5/1/17 (FSA Insured) | 1,615,000 | 1,739,807 | ||
Garden City School District: | ||||
5% 5/1/14 (FSA Insured) | 1,210,000 | 1,344,455 | ||
5% 5/1/17 (FSA Insured) | 1,390,000 | 1,493,360 | ||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Michigan - continued | ||||
Garden City School District: - continued | ||||
5% 5/1/19 (FSA Insured) | $ 1,205,000 | $ 1,272,131 | ||
Genesee County Gen. Oblig. Series A: | ||||
5% 5/1/17 (MBIA Insured) | 1,355,000 | 1,432,249 | ||
5% 5/1/18 (MBIA Insured) | 1,505,000 | 1,568,586 | ||
Gibraltar School District: | ||||
5% 5/1/16 (FSA Insured) | 1,230,000 | 1,327,933 | ||
5% 5/1/17 (FSA Insured) | 1,230,000 | 1,317,871 | ||
Grand Ledge Pub. Schools District (School Bldg. & Site Proj.): | ||||
5% 5/1/23 (MBIA Insured) | 1,175,000 | 1,178,889 | ||
5% 5/1/24 (MBIA Insured) | 1,300,000 | 1,295,775 | ||
5% 5/1/28 (MBIA Insured) | 4,300,000 | 4,139,825 | ||
Grand Rapids Cmnty. College: | ||||
5% 5/1/17 (FSA Insured) | 1,315,000 | 1,474,391 | ||
5% 5/1/19 (FSA Insured) | 1,315,000 | 1,424,908 | ||
Grand Rapids Downtown Dev. Auth. Tax Increment Rev. 0% 6/1/11 (MBIA Insured) | 3,160,000 | 2,917,565 | ||
Grand Rapids San. Swr. Sys. Rev.: | ||||
5% 1/1/34 (MBIA Insured) | 3,000,000 | 2,880,120 | ||
5% 1/1/38 | 3,320,000 | 3,126,544 | ||
Grand Rapids Wtr. Supply Sys. 5% 1/1/35 (FGIC Insured) | 5,000,000 | 4,729,000 | ||
Grand Valley Michigan State Univ. Rev. Series A: | ||||
5% 12/1/19 (AMBAC Insured) | 500,000 | 532,880 | ||
5% 12/1/33 (FSA Insured) | 5,000,000 | 4,740,750 | ||
Grosse Ile Township School District Unltd. Tax Gen. Oblig.: | ||||
5% 5/1/29 (MBIA Insured) | 1,950,000 | 1,872,917 | ||
5% 5/1/32 (MBIA Insured) | 1,950,000 | 1,819,584 | ||
Harper Creek Cmnty. School District (School Bldg. & Site Proj.): | ||||
4.75% 5/1/27 (FSA Insured) | 500,000 | 477,000 | ||
5.25% 5/1/21 (FSA Insured) | 2,000,000 | 2,122,400 | ||
5.25% 5/1/24 (FSA Insured) | 2,100,000 | 2,165,415 | ||
Haslett Pub. Schools 5% 5/1/16 (MBIA Insured) | 1,100,000 | 1,171,577 | ||
Howell Pub. Schools 0% 5/1/10 (AMBAC Insured) | 1,130,000 | 1,085,761 | ||
Hudsonville Pub. Schools 5% 5/1/16 (FSA Insured) | 1,000,000 | 1,082,560 | ||
Huron Valley School District: | ||||
0% 5/1/10 (FGIC Insured) | 2,500,000 | 2,406,800 | ||
0% 5/1/11 (FGIC Insured) | 5,830,000 | 5,473,379 | ||
0% 5/1/12 (FGIC Insured) | 1,420,000 | 1,287,613 | ||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Michigan - continued | ||||
Huron Valley School District: - continued | ||||
5.25% 5/1/16 | $ 2,450,000 | $ 2,653,056 | ||
Kalamazoo Hosp. Fin. Auth. Hosp. Facilities Rev. (Bronson Methodist Hosp. Proj.): | ||||
Series A, 5% 5/15/13 (FSA Insured) | 2,125,000 | 2,210,850 | ||
Series B: | ||||
4% 5/15/11 (FSA Insured) | 250,000 | 255,873 | ||
4% 5/15/12 (FSA Insured) | 2,125,000 | 2,169,816 | ||
5% 5/15/13 (FSA Insured) | 2,125,000 | 2,254,476 | ||
Kalamazoo Pub. Schools: | ||||
5% 5/1/17 (FSA Insured) | 3,165,000 | 3,432,886 | ||
5.25% 5/1/16 (FSA Insured) | 1,500,000 | 1,712,835 | ||
Kent Hosp. Fin. Auth. Hosp. Facilities Rev.: | ||||
(Butterworth Hosp. Proj.) Series A, 7.25% 1/15/13 | 3,100,000 | 3,348,837 | ||
(Spectrum Health Sys. Proj.): | ||||
Series 1998 A: | ||||
5.375% 1/15/11 | 2,420,000 | 2,446,789 | ||
5.375% 1/15/12 | 2,505,000 | 2,530,275 | ||
Series 2008 A, 5.5%, tender 1/15/15 (a) | 3,525,000 | 3,569,944 | ||
L'Anse Creuse Pub. Schools 5% 5/1/24 (FSA Insured) | 1,350,000 | 1,358,627 | ||
Lansing Bldg. Auth. Rev. 0% 6/1/12 (AMBAC Insured) | 3,000,000 | 2,716,380 | ||
Lapeer Cmnty. Schools 5% 5/1/22 (FSA Insured) | 1,395,000 | 1,435,748 | ||
Lincoln Consolidated School District: | ||||
5% 5/1/14 (FSA Insured) | 1,460,000 | 1,618,425 | ||
5% 5/1/16 (FSA Insured) | 1,425,000 | 1,594,091 | ||
Michigan Bldg. Auth. Rev.: | ||||
(Facilities Prog.): | ||||
Series 2008 I, 6% 10/15/38 | 5,000,000 | 5,054,700 | ||
Series III, 5% 10/15/10 (Escrowed to Maturity) (c) | 1,000,000 | 1,056,890 | ||
Series 1, 5.25% 10/15/16 (FSA Insured) | 5,000,000 | 5,187,450 | ||
Michigan Ctfs. of Prtn. 5.75% 6/1/17 (Pre-Refunded to 6/1/10 @ 100) (c) | 3,000,000 | 3,181,470 | ||
Michigan Gen. Oblig.: | ||||
(Envir. Protection Prog.) Series 1992, 6.25% 11/1/12 | 5,365,000 | 5,768,180 | ||
Series 2007, 5.25% 9/15/21 (FSA Insured) | 5,000,000 | 5,062,250 | ||
Michigan Higher Ed. Student Ln. Auth. Rev. Series XII W, 4.875% 9/1/10 (AMBAC Insured) (b) | 3,000,000 | 2,795,430 | ||
Michigan Hosp. Fin. Auth. Rev.: | ||||
(Ascension Health Cr. Group Proj.) Series A, 5%, tender 4/1/11 | 2,040,000 | 2,073,476 | ||
(Crittenton Hosp. Proj.) Series A: | ||||
5.5% 3/1/13 | 455,000 | 466,316 | ||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Michigan - continued | ||||
Michigan Hosp. Fin. Auth. Rev.: - continued | ||||
(Crittenton Hosp. Proj.) Series A: | ||||
5.5% 3/1/14 | $ 1,300,000 | $ 1,322,555 | ||
5.5% 3/1/15 | 1,985,000 | 2,008,324 | ||
(Genesys Reg'l. Med. Hosp. Proj.) Series A, 5.3% 10/1/11 (Escrowed to Maturity) (c) | 1,000,000 | 1,006,840 | ||
(Henry Ford Health Sys. Proj.): | ||||
Series 1992 A, 6% 9/1/12 (Escrowed to Maturity) (c) | 1,500,000 | 1,690,515 | ||
Series 2003 A, 5.5% 3/1/14 (Pre-Refunded to 3/1/13 @ 100) (c) | 2,000,000 | 2,244,440 | ||
Series 2006 A: | ||||
5% 11/15/09 | 650,000 | 664,814 | ||
5% 11/15/12 | 1,485,000 | 1,473,625 | ||
5% 11/15/14 | 1,000,000 | 955,940 | ||
(McLaren Health Care Corp. Proj.) Series 2008 A: | ||||
5.25% 5/15/15 | 1,615,000 | 1,613,159 | ||
5.75% 5/15/38 | 7,000,000 | 5,863,130 | ||
(Mercy Health Svcs. Proj.): | ||||
Series 1996 R, 5.375% 8/15/26 (Escrowed to Maturity) (c) | 2,500,000 | 2,499,975 | ||
Series Q: | ||||
5.25% 8/15/10 (Escrowed to Maturity) (c) | 1,500,000 | 1,500,135 | ||
5.375% 8/15/26 (Escrowed to Maturity) (c) | 2,450,000 | 2,449,976 | ||
6% 8/15/10 (Escrowed to Maturity) (c) | 1,265,000 | 1,265,278 | ||
Series R, 5.375% 8/15/16 (Escrowed to Maturity) (c) | 2,500,000 | 2,500,150 | ||
(MidMichigan Health Obligated Group Prog.) Series 2002 A, 5.5% 4/15/18 (AMBAC Insured) | 2,000,000 | 2,039,380 | ||
(Oakwood Hosp. Proj.) Series A, 5% 7/15/17 | 1,000,000 | 883,630 | ||
(Oakwood Obligated Group Proj.) 5.5% 11/1/11 | 3,000,000 | 3,007,500 | ||
(Sisters of Mercy Health Corp. Proj.) Series P, 5.375% 8/15/14 (Escrowed to Maturity) (c) | 570,000 | 601,607 | ||
(Sparrow Hosp. Obligated Group Proj.): | ||||
5.5% 11/15/21 (Pre-Refunded to 11/15/11 @ 101) (c) | 1,435,000 | 1,581,887 | ||
5.625% 11/15/31 (Pre-Refunded to 11/15/11 @ 101) (c) | 4,500,000 | 4,976,100 | ||
(Sparrow Hosp. Proj.) Series 2007: | ||||
5% 11/15/17 | 535,000 | 458,474 | ||
5% 11/15/18 | 725,000 | 606,397 | ||
5% 11/15/19 | 1,000,000 | 812,830 | ||
5% 11/15/20 | 2,000,000 | 1,588,060 | ||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Michigan - continued | ||||
Michigan Hosp. Fin. Auth. Rev.: - continued | ||||
(Trinity Health Sys. Proj.): | ||||
Series 2000 A, 6% 12/1/27 | $ 1,535,000 | $ 1,464,252 | ||
Series 2008 A, 6.5% 12/1/33 | 5,000,000 | 4,885,150 | ||
Michigan Muni. Bond Auth. Rev.: | ||||
(Detroit School District Proj.) Series B, 5% 6/1/12 (FSA Insured) | 7,300,000 | 7,931,450 | ||
(Local Govt. Ln. Prog.): | ||||
Series B, 5% 12/1/21 (AMBAC Insured) | 1,155,000 | 1,183,609 | ||
Series CA, 0% 6/15/13 (FSA Insured) | 3,850,000 | 3,367,133 | ||
Series G, 0% 5/1/19 (AMBAC Insured) | 1,865,000 | 1,105,777 | ||
7.5% 11/1/09 (AMBAC Insured) | 5,000 | 5,009 | ||
(State Clean Wtr. Revolving Fund Proj.) 5% 10/1/27 | 3,725,000 | 3,684,509 | ||
Series C, 0% 6/15/15 (FSA Insured) | 3,000,000 | 2,391,540 | ||
5% 10/1/18 | 8,000,000 | 8,639,600 | ||
5% 10/1/23 | 5,000,000 | 5,021,150 | ||
5.375% 10/1/19 | 2,005,000 | 2,095,405 | ||
Michigan Strategic Fund Ltd. Oblig. Rev. (Detroit Edison Co. Proj.): | ||||
Series A, 5.55% 9/1/29 (MBIA Insured) (b) | 1,000,000 | 753,080 | ||
Series BB, 7% 5/1/21 (AMBAC Insured) | 8,520,000 | 9,935,332 | ||
Michigan Technological Univ.: | ||||
5% 10/1/38 (Assured Guaranty Corp. Insured) | 1,200,000 | 1,109,244 | ||
5.25% 10/1/17 (Assured Guaranty Corp. Insured) | 1,875,000 | 2,115,525 | ||
Michigan Tobacco Settlement Fin. Auth. Tobacco Settlement Asset Rev. Series A: | ||||
6% 6/1/34 | 3,000,000 | 1,801,290 | ||
6% 6/1/48 | 4,000,000 | 2,225,480 | ||
Michigan Trunk Line Fund Rev.: | ||||
Series A: | ||||
0% 10/1/11 (AMBAC Insured) | 3,630,000 | 3,366,789 | ||
5.5% 11/1/16 | 3,000,000 | 3,383,130 | ||
5.25% 11/1/15 (FGIC Insured) | 5,000,000 | 5,552,100 | ||
5.25% 10/1/16 (FSA Insured) | 3,000,000 | 3,184,350 | ||
Mona Shores School District 6.75% 5/1/10 (FGIC Insured) | 2,220,000 | 2,343,099 | ||
Montague Pub. School District: | ||||
5.5% 5/1/16 | 430,000 | 456,677 | ||
5.5% 5/1/17 | 430,000 | 453,942 | ||
5.5% 5/1/19 | 430,000 | 448,408 | ||
New Haven Cmnty. Schools 5.25% 5/1/18 (Pre-Refunded to 11/1/12 @ 100) (c) | 1,175,000 | 1,314,719 | ||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Michigan - continued | ||||
New Lothrop Area Pub. Schools Gen. Oblig. 5% 5/1/35 (FSA Insured) | $ 1,000,000 | $ 952,160 | ||
North Kent Swr. Auth. Wtr. & Swr. Rev.: | ||||
5% 11/1/19 (MBIA Insured) | 420,000 | 441,886 | ||
5% 11/1/20 (MBIA Insured) | 490,000 | 507,277 | ||
5% 11/1/22 (MBIA Insured) | 1,645,000 | 1,665,053 | ||
5% 11/1/23 (MBIA Insured) | 1,290,000 | 1,294,051 | ||
Northern Michigan Univ. Revs. 5.125% 12/1/35 (FSA Insured) | 2,750,000 | 2,646,985 | ||
Northview Pub. Schools District 5% 5/1/21 (FSA Insured) | 1,070,000 | 1,102,892 | ||
Northville Pub. Schools: | ||||
Series II: | ||||
5% 5/1/15 (FSA Insured) | 1,525,000 | 1,709,586 | ||
5% 5/1/16 (FSA Insured) | 1,475,000 | 1,592,440 | ||
5% 5/1/17 (FSA Insured) | 3,675,000 | 3,950,772 | ||
Northwestern Michigan Cmnty. College Impt.: | ||||
5.5% 4/1/14 (FGIC Insured) | 285,000 | 292,370 | ||
5.5% 4/1/15 (FGIC Insured) | 170,000 | 174,131 | ||
Okemos Pub. School District: | ||||
0% 5/1/12 (MBIA Insured) | 2,500,000 | 2,241,150 | ||
0% 5/1/13 (MBIA Insured) | 1,700,000 | 1,458,430 | ||
Olivet Cmnty. School District (School Bldg. & Site Proj.) Series 2008: | ||||
5.25% 5/1/23 (FSA Insured) | 1,010,000 | 1,039,926 | ||
5.25% 5/1/27 (FSA Insured) | 1,135,000 | 1,144,069 | ||
Petoskey Pub. School District: | ||||
5% 5/1/14 (MBIA Insured) | 1,430,000 | 1,577,733 | ||
5% 5/1/16 (MBIA Insured) | 1,175,000 | 1,261,680 | ||
Plainwell Cmnty. School District: | ||||
(School Bldg. & Site Proj.): | ||||
Series 2002: | ||||
5.5% 5/1/14 | 1,000,000 | 1,099,400 | ||
5.5% 5/1/16 (Pre-Refunded to 11/1/12 @ 100) (c) | 1,000,000 | 1,128,060 | ||
Series 2008: | ||||
5% 5/1/23 (Assured Guaranty Corp. Insured) | 1,885,000 | 1,865,867 | ||
5% 5/1/28 (Assured Guaranty Corp. Insured) | 1,000,000 | 959,260 | ||
Series 2005: | ||||
5% 5/1/15 (FSA Insured) | 1,030,000 | 1,148,368 | ||
5% 5/1/16 (FSA Insured) | 1,025,000 | 1,109,624 | ||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Michigan - continued | ||||
Plymouth-Canton Cmnty. School District: | ||||
4.5% 5/1/24 (FSA Insured) | $ 500,000 | $ 461,140 | ||
5% 5/1/20 (FSA Insured) | 5,000,000 | 5,169,050 | ||
Port Huron Area School District County of Saint Clair 5.25% 5/1/16 (Pre-Refunded to 11/1/12 @ 100) (c) | 1,175,000 | 1,314,719 | ||
Portage Pub. Schools 5% 5/1/22 (FSA Insured) | 4,300,000 | 4,458,584 | ||
Ravenna Pub. Schools Gen. Oblig. (2008 School Bldg. and Site Proj.): | ||||
5% 5/1/31 (FSA Insured) | 2,080,000 | 1,980,451 | ||
5% 5/1/34 (FSA Insured) | 2,320,000 | 2,211,006 | ||
5% 5/1/38 (FSA Insured) | 1,000,000 | 931,660 | ||
Riverview Cmnty. School District: | ||||
5% 5/1/14 | 655,000 | 724,712 | ||
5% 5/1/15 | 955,000 | 1,047,731 | ||
5% 5/1/17 | 1,000,000 | 1,075,200 | ||
5% 5/1/18 | 1,000,000 | 1,064,190 | ||
Rochester Cmnty. School District 5% 5/1/19 (MBIA Insured) | 1,475,000 | 1,614,299 | ||
Rockford Pub. Schools Gen. Oblig. (2008 School Bldg. and Site Proj.) 5% 5/1/30 (FSA Insured) | 3,975,000 | 3,893,036 | ||
Royal Oak Hosp. Fin. Auth. Hosp. Rev. (William Beaumont Hosp. Proj.) Series M, 5.25% 11/15/31 (MBIA Insured) | 2,000,000 | 1,506,820 | ||
Saginaw Valley State Univ. Rev. 5% 7/1/37 (FSA Insured) | 2,880,000 | 2,693,578 | ||
Saint Clair County Gen. Oblig.: | ||||
5% 4/1/17 (AMBAC Insured) | 1,380,000 | 1,470,017 | ||
5% 4/1/19 (AMBAC Insured) | 1,475,000 | 1,539,015 | ||
Shepherd Pub. Schools 5% 5/1/17 (FSA Insured) | 1,025,000 | 1,149,240 | ||
South Redford School District 5% 5/1/16 (MBIA Insured) | 1,125,000 | 1,215,900 | ||
Taylor City Bldg. Auth. County of Wayne Bldg. Auth. Pub. Facilities 5% 10/1/21 (MBIA Insured) | 1,735,000 | 1,756,740 | ||
Three Rivers Cmnty. Schools: | ||||
5% 5/1/14 (FSA Insured) | 1,765,000 | 1,961,127 | ||
5% 5/1/16 (FSA Insured) | 1,750,000 | 1,963,728 | ||
Troy School District: | ||||
5% 5/1/15 | 2,135,000 | 2,309,558 | ||
5% 5/1/15 (MBIA Insured) | 1,000,000 | 1,114,920 | ||
5% 5/1/16 (MBIA Insured) | 1,000,000 | 1,118,660 | ||
Utica Cmnty. Schools: | ||||
5% 5/1/15 (MBIA Insured) | 1,000,000 | 1,114,920 | ||
5% 5/1/16 (MBIA Insured) | 2,000,000 | 2,237,320 | ||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Michigan - continued | ||||
Utica Cmnty. Schools: - continued | ||||
5% 5/1/17 | $ 3,000,000 | $ 3,211,590 | ||
5.375% 5/1/16 (Pre-Refunded to 5/1/13 @ 100) (c) | 2,250,000 | 2,558,678 | ||
5.5% 5/1/17 (Pre-Refunded to 5/1/13 @ 100) (c) | 1,000,000 | 1,142,330 | ||
Waverly Cmnty. School District 5% 5/1/17 (FSA Insured) | 3,090,000 | 3,348,757 | ||
Wayne Charter County Gen. Oblig. Series 2001 A, 5.5% 12/1/17 (MBIA Insured) | 1,000,000 | 1,033,940 | ||
West Ottawa Pub. School District 5.25% 5/1/10 (FGIC Insured) | 210,000 | 211,882 | ||
Western Michigan Univ. Rev.: | ||||
Series 2008, 5% 11/15/20 (FSA Insured) | 5,280,000 | 5,500,018 | ||
5% 11/15/35 (FGIC Insured) | 5,435,000 | 4,792,746 | ||
Williamston Cmnty. Schools Gen. Oblig. 5% 5/1/18 (FGIC Insured) | 1,000,000 | 1,050,740 | ||
Willow Run Cmnty. Schools County of Washtenaw: | ||||
5% 5/1/17 (FSA Insured) | 1,875,000 | 2,008,950 | ||
5.5% 5/1/16 (Pre-Refunded to 5/1/11 @ 100) (c) | 1,630,000 | 1,772,576 | ||
Wyandotte Elec. Rev.: | ||||
5.375% 10/1/14 (MBIA Insured) | 3,485,000 | 3,537,728 | ||
5.375% 10/1/15 (MBIA Insured) | 1,670,000 | 1,694,466 | ||
Wyoming Sewage Disp. Sys. Rev. 5% 6/1/30 (MBIA Insured) | 4,000,000 | 3,714,520 | ||
Zeeland Pub. Schools: | ||||
5% 5/1/16 (FGIC Insured) | 2,035,000 | 2,149,855 | ||
5% 5/1/17 (FGIC Insured) | 995,000 | 1,043,228 | ||
5.25% 5/1/16 (MBIA Insured) | 1,050,000 | 1,129,454 | ||
| 552,553,444 | |||
Puerto Rico - 0.8% | ||||
Puerto Rico Commonwealth Hwy. & Trans. Auth. Hwy. Rev. Series 1996 Z, 6.25% 7/1/15 (MBIA Insured) | 1,280,000 | 1,274,598 | ||
Puerto Rico Elec. Pwr. Auth. Pwr. Rev. Series QQ, 5.5% 7/1/18 (XL Cap. Assurance, Inc. Insured) | 1,000,000 | 908,830 | ||
Puerto Rico Pub. Bldg. Auth. Rev. Series M2, 5.75%, tender 7/1/17 (a) | 2,000,000 | 1,802,540 | ||
Puerto Rico Sales Tax Fing. Corp. Sales Tax Rev. Series 2007 A, 0% 8/1/41 | 3,400,000 | 323,272 | ||
| 4,309,240 | |||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Virgin Islands - 0.6% | ||||
Virgin Islands Pub. Fin. Auth. Refinery Facilities Rev. Series 2007, 4.7% 7/1/22 (b) | $ 2,200,000 | $ 1,323,806 | ||
Virgin Islands Wtr. & Pwr. Auth. Elec. Sys. Rev. Series A, 5% 7/1/31 | 2,730,000 | 1,968,248 | ||
| 3,292,054 |
TOTAL INVESTMENT PORTFOLIO - 98.9% (Cost $574,916,646) | 562,371,300 | ||
NET OTHER ASSETS - 1.1% | 6,480,855 | ||
NET ASSETS - 100% | $ 568,852,155 |
Legend |
(a) The coupon rate shown on floating or adjustable rate securities represents the rate at period end. |
(b) Private activity obligations whose interest is subject to the federal alternative minimum tax for individuals. |
(c) Security collateralized by an amount sufficient to pay interest and principal. |
Other Information |
The following is a summary of the inputs used, as of December 31, 2008, involving the Fund's assets carried at value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to the Security Valuation section in the accompanying Notes to Financial Statements. |
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
Investments in Securities | $ 562,371,300 | $ - | $ 562,371,300 | $ - |
The distribution of municipal securities by revenue source, as a percentage of total net assets, is as follows: (Unaudited) |
General Obligations | 47.2% |
Water & Sewer | 16.4% |
Health Care | 9.3% |
Escrowed/Pre-Refunded | 8.8% |
Special Tax | 6.4% |
Education | 5.2% |
Others* (individually less than 5%) | 6.7% |
| 100.0% |
*Includes net other assets |
Income Tax Information |
At December 31, 2008, the fund had a capital loss carryforward of approximately $4,561 all of which will expire on December 31, 2016. |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Fidelity Michigan Municipal Income Fund
Financial Statements
Statement of Assets and Liabilities
| December 31, 2008 | |
|
|
|
Assets | ||
Investment in securities, at value - See accompanying schedule: Unaffiliated issuers (cost $574,916,646) |
| $ 562,371,300 |
Cash | 1,716,934 | |
Receivable for fund shares sold | 376,571 | |
Interest receivable | 6,550,785 | |
Prepaid expenses | 5,889 | |
Other receivables | 2,531 | |
Total assets | 571,024,010 | |
|
|
|
Liabilities | ||
Payable for fund shares redeemed | $ 1,040,176 | |
Distributions payable | 759,437 | |
Accrued management fee | 173,181 | |
Transfer agent fee payable | 119,409 | |
Other affiliated payables | 35,597 | |
Other payables and accrued expenses | 44,055 | |
Total liabilities | 2,171,855 | |
|
|
|
Net Assets | $ 568,852,155 | |
Net Assets consist of: |
| |
Paid in capital | $ 581,440,270 | |
Undistributed net investment income | 66,291 | |
Accumulated undistributed net realized gain (loss) on investments | (109,060) | |
Net unrealized appreciation (depreciation) on investments | (12,545,346) | |
Net Assets, for 50,384,961 shares outstanding | $ 568,852,155 | |
Net Asset Value, offering price and redemption price per share ($568,852,155 ÷ 50,384,961 shares) | $ 11.29 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Fidelity Michigan Municipal Income Fund
Financial Statements - continued
Statement of Operations
| Year ended December 31, 2008 | |
|
|
|
Investment Income |
|
|
Interest |
| $ 26,681,649 |
|
|
|
Expenses | ||
Management fee | $ 2,210,488 | |
Transfer agent fees | 490,718 | |
Accounting fees and expenses | 145,555 | |
Custodian fees and expenses | 9,403 | |
Independent trustees' compensation | 2,507 | |
Registration fees | 17,981 | |
Audit | 48,260 | |
Legal | 6,575 | |
Miscellaneous | 3,410 | |
Total expenses before reductions | 2,934,897 | |
Expense reductions | (118,443) | 2,816,454 |
Net investment income | 23,865,195 | |
Realized and Unrealized Gain (Loss) Net realized gain (loss) on: | ||
Investment securities: |
|
|
Unaffiliated issuers |
| 44,585 |
Change in net unrealized appreciation (depreciation) on investment securities | (25,883,831) | |
Net gain (loss) | (25,839,246) | |
Net increase (decrease) in net assets resulting from operations | $ (1,974,051) |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Statement of Changes in Net Assets
| Year ended | Year ended |
Increase (Decrease) in Net Assets |
|
|
Operations |
|
|
Net investment income | $ 23,865,195 | $ 22,771,257 |
Net realized gain (loss) | 44,585 | 1,485,051 |
Change in net unrealized appreciation (depreciation) | (25,883,831) | (3,027,107) |
Net increase (decrease) in net assets resulting | (1,974,051) | 21,229,201 |
Distributions to shareholders from net investment income | (23,855,172) | (22,800,828) |
Distributions to shareholders from net realized gain | (255,599) | (1,393,611) |
Total distributions | (24,110,771) | (24,194,439) |
Share transactions | 121,916,853 | 102,946,687 |
Reinvestment of distributions | 14,616,764 | 15,136,531 |
Cost of shares redeemed | (134,236,975) | (94,359,092) |
Net increase (decrease) in net assets resulting from share transactions | 2,296,642 | 23,724,126 |
Redemption fees | 7,742 | 4,623 |
Total increase (decrease) in net assets | (23,780,438) | 20,763,511 |
|
|
|
Net Assets | ||
Beginning of period | 592,632,593 | 571,869,082 |
End of period (including undistributed net investment income of $66,291 and undistributed net investment income of $59,390, respectively) | $ 568,852,155 | $ 592,632,593 |
Other Information Shares | ||
Sold | 10,529,456 | 8,786,044 |
Issued in reinvestment of distributions | 1,273,539 | 1,291,798 |
Redeemed | (11,819,551) | (8,071,215) |
Net increase (decrease) | (16,556) | 2,006,627 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Highlights
Years ended December 31, | 2008 | 2007 | 2006 | 2005 | 2004 |
Selected Per-Share Data |
|
|
|
|
|
Net asset value, beginning of period | $ 11.76 | $ 11.82 | $ 11.84 | $ 12.11 | $ 12.22 |
Income from Investment Operations |
|
|
|
|
|
Net investment income B | .457 | .461 | .469 | .472 | .491 |
Net realized and unrealized gain (loss) | (.465) | (.031) | .041 | (.155) | (.026) |
Total from investment operations | (.008) | .430 | .510 | .317 | .465 |
Distributions from net investment income | (.457) | (.462) | (.470) | (.472) | (.490) |
Distributions from net realized gain | (.005) | (.028) | (.060) | (.115) | (.085) |
Total distributions | (.462) | (.490) | (.530) | (.587) | (.575) |
Redemption fees added to paid in capital B, D | - | - | - | - | - |
Net asset value, end of period | $ 11.29 | $ 11.76 | $ 11.82 | $ 11.84 | $ 12.11 |
Total Return A | (.06)% | 3.73% | 4.41% | 2.67% | 3.90% |
Ratios to Average Net Assets C |
|
|
|
|
|
Expenses before reductions | .49% | .49% | .49% | .49% | .50% |
Expenses net of fee waivers, if any | .49% | .49% | .49% | .49% | .50% |
Expenses net of all reductions | .47% | .44% | .44% | .45% | .48% |
Net investment income | 3.96% | 3.94% | 3.98% | 3.94% | 4.05% |
Supplemental Data |
|
|
|
|
|
Net assets, end of period (000 omitted) | $ 568,852 | $ 592,633 | $ 571,869 | $ 565,484 | $ 559,883 |
Portfolio turnover rate | 19% | 15% | 17% | 23% | 12% |
A Total returns would have been lower had certain expenses not been reduced during the periods shown.
B Calculated based on average shares outstanding during the period.
C Expense ratios reflect operating expenses of the Fund. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or expense offset arrangements and do not represent the amount paid by the Fund during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the Fund.
D Amount represents less than $.001 per share.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Fidelity Michigan Municipal Money Market Fund
Investment Changes/Performance (Unaudited)
Maturity Diversification | |||
Days | % of fund's investments 12/31/08 | % of fund's investments 6/30/08 | % of fund's investments 12/31/07 |
0 - 30 | 91.6 | 91.0 | 91.0 |
31 - 90 | 3.8 | 4.1 | 0.2 |
91 - 180 | 0.5 | 3.5 | 2.8 |
181 - 397 | 4.1 | 1.4 | 6.0 |
Weighted Average Maturity | |||
| 12/31/08 | 6/30/08 | 12/31/07 |
Fidelity Michigan Municipal Money Market Fund | 18 Days | 16 Days | 25 Days |
All Tax-Free Money Market Funds Average* | 29 Days | 27 Days | 30 Days |
Asset Allocation (% of fund's net assets) | |||||||
As of December 31, 2008 | As of June 30, 2008 | ||||||
![]() | Variable Rate Demand |
| ![]() | Variable Rate Demand |
| ||
![]() | Commercial Paper |
| ![]() | Commercial Paper |
| ||
![]() | Municipal Notes 2.6% |
| ![]() | Municipal Notes 5.3% |
| ||
![]() | Fidelity Municipal |
| ![]() | Fidelity Municipal |
| ||
![]() | Other Investments 2.7% |
| ![]() | Other Investments 2.7% |
| ||
![]() | Net Other Assets 5.7% |
| ![]() | Net Other Assets 4.5% |
|
Current and Historical Seven-Day Yields
| 12/29/08 | 09/29/08 | 6/30/08 | 3/31/08 | 12/31/07 |
|
|
|
|
|
|
Fidelity Michigan | 0.52% | 5.92% | 1.22% | 1.73% | 2.91% |
|
|
|
|
|
|
Yield refers to the income paid by the fund over a given period. Yields for money market funds are usually for seven-day periods, as they are here, though they are expressed as annual percentage rates. Past performance is no guarantee of future results. Yield will vary and it is possible to lose money by investing in the fund.
* Source: iMoneyNet, Inc.
Annual Report
Fidelity Michigan Municipal Money Market Fund
Investments December 31, 2008
Showing Percentage of Net Assets
Municipal Securities - 94.3% | |||
Principal Amount | Value | ||
Colorado - 0.5% | |||
Aurora Hosp. Rev. (Children's Hosp. Assoc. Proj.) Series 2008 C, 0.8%, LOC Wells Fargo Bank NA, VRDN (a) | $ 5,890,000 | $ 5,890,000 | |
Georgia - 0.7% | |||
Atlanta Tax Allocation (Westside Proj.) Series 2008, 1.75%, LOC Wachovia Bank NA, VRDN (a) | 1,300,000 | 1,300,000 | |
Whitfield County Residential Care Facilities Auth. Rev. (Royal Oaks Sr. Living Cmnty. Proj.) 1.2%, LOC Wachovia Bank NA, VRDN (a) | 6,945,000 | 6,945,000 | |
| 8,245,000 | ||
Illinois - 0.4% | |||
Will County Exempt Facilities Rev. (BP Amoco Chemical Co. Proj.) Series 2003, 1.25% (BP PLC Guaranteed), VRDN (a)(d) | 4,950,000 | 4,950,000 | |
Indiana - 0.3% | |||
Mount Vernon Poll. Cont. and Solid Waste Disp. Rev. (Gen. Elec. Co. Proj.) 0.95%, VRDN (a) | 3,100,000 | 3,100,000 | |
Kentucky - 0.4% | |||
Kenton County Arpt. Board Spl. Facilities Rev. Series A, 4%, VRDN (a)(d) | 4,500,000 | 4,500,000 | |
Michigan - 83.5% | |||
Clarkston Cmnty. Schools Bonds 5% 5/1/09 (Michigan Gen. Oblig. Guaranteed) | 3,470,000 | 3,503,925 | |
Detroit Econ. Dev. Corp. Rev.: | |||
(Michigan Opera Theatre Proj.) 0.8%, LOC JPMorgan Chase Bank, VRDN (a) | 2,100,000 | 2,100,000 | |
(Waterfront Reclamation & Casino Dev. Proj.) Series 1999 B, 1.2%, LOC Bank of America NA, VRDN (a) | 2,330,000 | 2,330,000 | |
Detroit Gen. Oblig. TAN 3.5% 3/31/09, LOC JPMorgan Chase Bank | 11,100,000 | 11,145,357 | |
East Lansing School District Gen. Oblig. Participating VRDN Series SGA 114, 0.85% (Liquidity Facility Societe Generale) (a)(f) | 6,000,000 | 6,000,000 | |
Grand Rapids Pub. Schools Bonds (School Bldg. and Site Proj.) Series 2004 A, 5% 5/1/09 | 1,400,000 | 1,416,789 | |
Grand Valley Michigan State Univ. Rev. Series 2008 B: | |||
1.06%, LOC RBS Citizens NA, VRDN (a) | 4,315,000 | 4,315,000 | |
1.11%, LOC RBS Citizens NA, VRDN (a) | 9,300,000 | 9,300,000 | |
Holt Pub. Schools 1.05% (Michigan Gen. Oblig. Guaranteed), VRDN (a) | 23,345,000 | 23,345,000 | |
Jackson County Hosp. Fin. Auth. Hosp. Rev.: | |||
(W.A. Foote Memorial Hosp. Proj.) Series 2006 A, 1.3% (Assured Guaranty Corp. Insured), VRDN (a) | 10,000,000 | 10,000,000 | |
Municipal Securities - continued | |||
Principal Amount | Value | ||
Michigan - continued | |||
Jackson County Hosp. Fin. Auth. Hosp. Rev.: - continued | |||
(Washington Foote Memorial Hosp. Proj.) Series B, 1.3% (Assured Guaranty Corp. Insured), VRDN (a) | $ 13,900,000 | $ 13,900,000 | |
Kent Hosp. Fin. Auth. Hosp. Facilities Rev. (Spectrum Health Sys. Proj.): | |||
Series 2008 B1, 0.67%, LOC RBS Citizens NA, VRDN (a) | 17,315,000 | 17,315,000 | |
Series 2008 C, 0.93%, LOC Bank of New York, New York, VRDN (a) | 11,600,000 | 11,600,000 | |
Lakeview School District Calhoun County Series B, 1.05% (Michigan Gen. Oblig. Guaranteed), VRDN (a) | 10,885,000 | 10,885,000 | |
Michigan Bldg. Auth. Rev.: | |||
Series 5, 0.85% 2/12/09, LOC Bank of New York, New York, LOC State Street Bank & Trust Co., Boston, CP | 5,630,000 | 5,630,000 | |
Series I, 1.1%, LOC JPMorgan Chase Bank, VRDN (a) | 42,900,000 | 42,900,000 | |
Michigan Higher Ed. Rev. (Thomas M. Cooley Law School Proj.) Series 2008 B, 1.75%, LOC RBS Citizens NA, VRDN (a) | 18,000,000 | 18,000,000 | |
Michigan Hosp. Fin. Auth. Rev.: | |||
Bonds (Ascension Health Cr. Group Proj.) Series A, 6.125% 11/15/26 (Pre-Refunded to 11/15/09 @ 101) (e) | 1,000,000 | 1,053,298 | |
(Ascension Health Cr. Group Proj.): | |||
Series 2008 B4, 0.45%, VRDN (a) | 10,500,000 | 10,500,000 | |
Series 2008 B8, 0.45%, VRDN (a) | 21,100,000 | 21,100,000 | |
(Ascension Health Sr. Cr. Group Proj.): | |||
Series 2008 B2, 0.45%, VRDN (a) | 30,775,000 | 30,775,000 | |
Series 2008 B5, 0.6%, VRDN (a) | 24,400,000 | 24,400,000 | |
Series 2008 B7, 0.6%, VRDN (a) | 22,800,000 | 22,800,000 | |
(Henry Ford Health Sys. Proj.): | |||
Series 2006 B, 0.85%, LOC Landesbank Hessen-Thuringen, VRDN (a) | 30,400,000 | 30,400,000 | |
Series 2006 C, 0.69%, LOC RBS Citizens NA, VRDN (a) | 16,135,000 | 16,135,000 | |
Series 2007, 0.7%, LOC JPMorgan Chase Bank, VRDN (a) | 1,985,000 | 1,985,000 | |
(Hosp. Equip. Ln. Prog.) Series B, 0.94%, LOC Bank of America NA, VRDN (a) | 7,050,000 | 7,050,000 | |
(McLaren Health Care Corp. Proj.): | |||
Series 2008 B1, 0.7%, LOC JPMorgan Chase Bank, VRDN (a) | 1,500,000 | 1,500,000 | |
Series 2008 B3, 0.7%, LOC JPMorgan Chase Bank, VRDN (a) | 27,900,000 | 27,900,000 | |
(Munising Memorial Hosp. Assoc. Proj.) Series 2006, 1.35%, LOC Banco Santander SA, VRDN (a) | 7,710,000 | 7,710,000 | |
(Trinity Health Sys. Proj.): | |||
Series 2005 F, 0.95%, VRDN (a) | 16,510,000 | 16,510,000 | |
Municipal Securities - continued | |||
Principal Amount | Value | ||
Michigan - continued | |||
Michigan Hosp. Fin. Auth. Rev.: - continued | |||
Series E, 0.8%, VRDN (a) | $ 40,410,000 | $ 40,410,000 | |
Series 2008 C: | |||
0.8% 3/2/09, CP | 11,700,000 | 11,700,000 | |
1% 2/2/09, CP | 11,700,000 | 11,700,000 | |
1.15% 1/12/09, CP | 11,700,000 | 11,700,000 | |
1.25% 1/5/09, CP | 11,700,000 | 11,700,000 | |
Michigan Hsg. Dev. Auth. Multi-family Hsg. Rev.: | |||
Bonds Series 1988 A, 1.1% tender 1/5/09, LOC Landesbank Hessen-Thuringen, CP mode (d) | 9,000,000 | 9,000,000 | |
(Canton Club East Apts. Proj.) Series 1998 A, 1.2%, LOC Fannie Mae, VRDN (a)(d) | 1,120,000 | 1,120,000 | |
(Hunt Club Apts. Proj.) 1.35%, LOC Fannie Mae, VRDN (a)(d) | 7,095,000 | 7,095,000 | |
Michigan Muni. Bond Auth. Rev.: | |||
Bonds: | |||
Series 2001, 5% 10/1/09 | 1,000,000 | 1,027,796 | |
Series 2002, 5.25% 10/1/09 | 11,970,000 | 12,345,201 | |
Participating VRDN Series Putters 3263, 1.2% (Liquidity Facility JPMorgan Chase & Co.) (a)(f) | 8,345,000 | 8,345,000 | |
BAN Series 2008, 3% 7/15/09 | 11,200,000 | 11,326,651 | |
Michigan State Univ. Revs. 0.7% (Liquidity Facility Landesbank Hessen-Thuringen), VRDN (a) | 23,200,000 | 23,200,000 | |
Michigan Strategic Fund Ltd. Oblig. Rev.: | |||
(Almond Products, Inc. Proj.) 1.45%, LOC Bank of America NA, VRDN (a)(d) | 7,900,000 | 7,900,000 | |
(Biewer of Lansing LLC Proj.) Series 1999, 2.5%, LOC Bank of America NA, VRDN (a)(d) | 200,000 | 200,000 | |
(Bosal Ind. Proj.) Series 1998, 1.05%, LOC JPMorgan Chase Bank, VRDN (a)(d) | 7,500,000 | 7,500,000 | |
(CJS Properties LLC Proj.) 5%, LOC JPMorgan Chase Bank, VRDN (a)(d) | 1,300,000 | 1,300,000 | |
(Consumers Energy Co. Proj.): | |||
0.75%, LOC Wells Fargo Bank NA, VRDN (a) | 17,100,000 | 17,100,000 | |
0.87%, LOC Wells Fargo Bank NA, VRDN (a)(d) | 9,000,000 | 9,000,000 | |
(Detroit Edison Co. Proj.) Series 2008 ET, 0.8%, LOC Bank of Nova Scotia, New York Agcy., VRDN (a) | 35,200,000 | 35,200,000 | |
(Detroit Symphony Orchestra Proj.): | |||
Series 2001 A, 1.35%, LOC Bank of America NA, VRDN (a) | 11,500,000 | 11,500,000 | |
Series 2001 B, 1.15%, LOC Bank of America NA, VRDN (a) | 19,155,000 | 19,155,000 | |
Municipal Securities - continued | |||
Principal Amount | Value | ||
Michigan - continued | |||
Michigan Strategic Fund Ltd. Oblig. Rev.: - continued | |||
(Doss Ind. Dev. Co. Proj.) 3.8%, LOC JPMorgan Chase Bank, VRDN (a)(d) | $ 700,000 | $ 700,000 | |
(Grand Rapids Art Museum Proj.) 1.2%, LOC Bank of America NA, VRDN (a) | 14,325,000 | 14,325,000 | |
(Holland Plastics Corp. Proj.) 1.55%, LOC Bank of America NA, VRDN (a)(d) | 3,040,000 | 3,040,000 | |
(John H. Dekker & Sons Proj.) Series 1998, 1.77%, LOC Bank of America NA, VRDN (a)(d) | 745,000 | 745,000 | |
(Louisiana-Pacific Corp. Proj.) Series 1991, 2.05%, LOC Wachovia Bank NA, VRDN (a) | 5,970,000 | 5,970,000 | |
(Orchestra Place Renewal Proj.) Series 2000, 0.8%, LOC ABN-AMRO Bank NV, VRDN (a) | 2,425,000 | 2,425,000 | |
(Pioneer Laboratories, Inc. Proj.) 1.3%, LOC JPMorgan Chase Bank, VRDN (a)(d) | 2,100,000 | 2,100,000 | |
(S&S LLC Proj.) Series 2000, 1.5%, LOC Bank of America NA, VRDN (a)(d) | 1,405,000 | 1,405,000 | |
(The Spiratex Co. Proj.) Series 1994, 3.8%, LOC JPMorgan Chase Bank, VRDN (a)(d) | 200,000 | 200,000 | |
(Trilan LLC Proj.) 1.95%, LOC JPMorgan Chase Bank, VRDN (a)(d) | 2,200,000 | 2,200,000 | |
(Van Andel Research Institute Proj.) 0.65%, LOC Bank of America NA, VRDN (a) | 36,300,000 | 36,300,000 | |
(W.H. Porter, Inc. Proj.) Series 2001, 1.7%, LOC Bank of America NA, VRDN (a)(d) | 2,405,000 | 2,405,000 | |
(YMCA Metropolitan Detroit Proj.) Series 2001, 1.2%, LOC JPMorgan Chase Bank, VRDN (a) | 11,760,000 | 11,760,000 | |
(YMCA Metropolitan Lansing Proj.) Series 2002, 1.15%, LOC Bank of America NA, VRDN (a) | 8,575,000 | 8,575,000 | |
Michigan Strategic Fund Rev. (Rest Haven Christian Svcs. Proj.) Series A, 1.15%, LOC KBC Bank NV, VRDN (a) | 7,985,000 | 7,985,000 | |
Michigan Strategic Fund Solid Waste Disp. Rev. (Grayling Gen. Station Proj.) Series 1990, 0.91%, LOC Barclays Bank PLC, VRDN (a)(d) | 14,521,000 | 14,521,000 | |
Michigan Trunk Line Fund Rev. Bonds Series 2006, 5% 11/1/09 | 9,285,000 | 9,576,018 | |
Northern Michigan Univ. Revs. Bonds Series 2006 A, 5% 12/1/09 | 1,500,000 | 1,553,228 | |
Oakland County Econ. Dev. Corp. Ltd. Oblig. Rev. (Osmic, Inc. Proj.) Series 2001 A, 1.3%, LOC JPMorgan Chase Bank, VRDN (a)(d) | 6,300,000 | 6,300,000 | |
Oakland Univ. Rev. 0.75%, LOC Allied Irish Banks PLC, VRDN (a) | 23,600,000 | 23,600,000 | |
Municipal Securities - continued | |||
Principal Amount | Value | ||
Michigan - continued | |||
Saline Area Schools 1.05% (Michigan Gen. Oblig. Guaranteed), VRDN (a) | $ 44,700,000 | $ 44,700,000 | |
Waterford Econ. Dev. Corp. Ltd. Oblig. Rev. (Canterbury Health Care, Inc. Proj.) 1.35%, LOC KBC Bank NV, VRDN (a) | 6,300,000 | 6,300,000 | |
Wayne County Arpt. Auth. Rev.: | |||
Participating VRDN: | |||
Series DB 652, 1.28% (Liquidity Facility Deutsche Bank AG) (a)(d)(f) | 11,300,000 | 11,300,000 | |
Series MT 115, 1.26% (Liquidity Facility Svenska Handelsbanken AB) (a)(d)(f) | 4,495,000 | 4,495,000 | |
(Detroit Metropolitan Wayne County Arpt. Proj.) Series 2008 B, 1.1%, LOC Landesbank Baden-Wuert, VRDN (a)(d) | 23,400,000 | 23,400,000 | |
Series 2008 E, 0.95%, LOC JPMorgan Chase Bank, VRDN (a)(d) | 3,900,000 | 3,900,000 | |
Series 2008 F, 0.88%, LOC JPMorgan Chase Bank, VRDN (a)(d) | 4,000,000 | 4,000,000 | |
| 936,809,263 | ||
North Carolina - 0.1% | |||
Charlotte Gen. Oblig. Series 2007, 1.2% (Liquidity Facility KBC Bank NV), VRDN (a) | 1,600,000 | 1,600,000 | |
Ohio - 0.4% | |||
Cleveland Arpt. Sys. Rev. Series 2008 B, 2.1%, LOC Wachovia Bank NA, VRDN (a)(d) | 1,200,000 | 1,200,000 | |
Dayton Montgomery County Port Auth. Spl. Arpt. Facilities Rev. (Wilmington Air Park, Inc. Proj.) Series 2007 B, 3.9%, VRDN (a)(d) | 3,700,000 | 3,700,000 | |
| 4,900,000 | ||
Pennsylvania - 0.1% | |||
Chester County Health & Ed. Auth. Rev. (Jenner's Pond Proj.) Series 2006, 2%, LOC Citizens Bank of Pennsylvania, VRDN (a) | 1,275,000 | 1,275,000 | |
Puerto Rico - 0.6% | |||
Puerto Rico Commonwealth Pub. Impt. Gen. Oblig. TRAN: | |||
Series 2009 A1, 3% 7/30/09, LOC Bank of Nova Scotia, New York Agcy. | 3,000,000 | 3,023,169 | |
Series 2009 A2, 3% 7/30/09, LOC BNP Paribas SA | 1,700,000 | 1,713,129 | |
Series 2009 A3, 3% 7/30/09, LOC Banco Bilbao Vizcaya Argentaria SA | 1,500,000 | 1,511,585 | |
| 6,247,883 | ||
Municipal Securities - continued | |||
Principal Amount | Value | ||
Texas - 0.7% | |||
Gulf Coast Waste Disp. Auth. Poll. Cont. Rev. (Exxon Asset Fdg. Corp./Baytown Chemical Co. Proj.) Series 1995, 0.77% (Exxon Mobil Corp. Guaranteed), VRDN (a) | $ 2,000,000 | $ 2,000,000 | |
Lower Neches Valley Auth. Indl. Dev. Corp. Exempt Facilities Rev. (ExxonMobil Proj.) Series 2001 B, 1% (Exxon Mobil Corp. Guaranteed), VRDN (a)(d) | 2,200,000 | 2,200,000 | |
Univ. of Texas Permanent Univ. Fund Rev. Series 2008 A, 0.65%, VRDN (a) | 3,500,000 | 3,500,000 | |
| 7,700,000 | ||
Utah - 0.2% | |||
Carbon County Poll. Cont. Rev. (PacifiCorp Proj.) Series 1994, 0.8%, LOC Wells Fargo Bank NA, VRDN (a) | 1,900,000 | 1,900,000 | |
Virginia - 0.6% | |||
Chesapeake Bay Bridge and Tunnel District Gen. Resolution Rev. Series 2008 A, 1.22%, LOC Branch Banking & Trust Co., VRDN (a) | 6,250,000 | 6,250,000 | |
Wyoming - 0.4% | |||
Lincoln County Poll. Cont. Rev. (Exxon Corp. Proj.) Series 1984 A, 0.77%, VRDN (a) | 4,910,000 | 4,910,000 | |
Shares |
| ||
Other - 5.4% | |||
Fidelity Municipal Cash Central Fund, 1.27% (b)(c) | 60,030,000 | 60,030,000 | |
TOTAL INVESTMENT PORTFOLIO - 94.3% (Cost $1,058,307,146) | 1,058,307,146 | ||
NET OTHER ASSETS - 5.7% | 63,517,875 | ||
NET ASSETS - 100% | $ 1,121,825,021 |
Security Type Abbreviations |
BAN - BOND ANTICIPATION NOTE |
CP - COMMERCIAL PAPER |
TAN - TAX ANTICIPATION NOTE |
TRAN - TAX AND REVENUE |
VRDN - VARIABLE RATE DEMAND NOTE |
Legend |
(a) The coupon rate shown on floating or adjustable rate securities represents the rate at period end. |
(b) Information in this report regarding holdings by state and security types does not reflect the holdings of the Fidelity Municipal Cash Central Fund. |
(c) Affiliated fund that is available only to investment companies and other accounts managed by Fidelity Investments. The rate quoted is the annualized seven-day yield of the fund at period end. A complete unaudited listing of the fund's holdings as of its most recent quarter end is available upon request. |
(d) Private activity obligations whose interest is subject to the federal alternative minimum tax for individuals. |
(e) Security collateralized by an amount sufficient to pay interest and principal. |
(f) Provides evidence of ownership in one or more underlying municipal bonds. |
Affiliated Central Funds |
Information regarding fiscal year to date income earned by the Fund from investments in Fidelity Central Funds is as follows: |
Fund | Income earned |
Fidelity Municipal Cash Central Fund | $ 522,584 |
Other Information |
The following is a summary of the inputs used, as of December 31, 2008, involving the Fund's assets carried at value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to the Security Valuation section in the accompanying Notes to Financial Statements. |
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
Investments in Securities | $ 1,058,307,146 | $ - | $ 1,058,307,146 | $ - |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Fidelity Michigan Municipal Money Market Fund
Financial Statements
Statement of Assets and Liabilities
| December 31, 2008 | |
|
|
|
Assets | ||
Investment in securities, at value - See accompanying schedule: Unaffiliated issuers (cost $998,277,146) | $ 998,277,146 |
|
Fidelity Central Funds (cost $60,030,000) | 60,030,000 |
|
Total Investments (cost $1,058,307,146) |
| $ 1,058,307,146 |
Cash | 53,455,438 | |
Receivable for investments sold | 10,807,101 | |
Receivable for fund shares sold | 13,145,335 | |
Interest receivable | 1,359,422 | |
Distributions receivable from Fidelity Central Funds | 44,566 | |
Prepaid expenses | 167,800 | |
Other receivables | 82,436 | |
Total assets | 1,137,369,244 | |
|
|
|
Liabilities | ||
Payable for fund shares redeemed | $ 14,704,523 | |
Distributions payable | 3,526 | |
Accrued management fee | 339,903 | |
Other affiliated payables | 457,802 | |
Other payables and accrued expenses | 38,469 | |
Total liabilities | 15,544,223 | |
|
|
|
Net Assets | $ 1,121,825,021 | |
Net Assets consist of: |
| |
Paid in capital | $ 1,121,465,393 | |
Undistributed net investment income | 52,349 | |
Accumulated undistributed net realized gain (loss) on investments | 307,279 | |
Net Assets, for 1,120,874,649 shares outstanding | $ 1,121,825,021 | |
Net Asset Value, offering price and redemption price per share ($1,121,825,021 ÷ 1,120,874,649 shares) | $ 1.00 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Fidelity Michigan Municipal Money Market Fund
Financial Statements - continued
Statement of Operations
| Year ended December 31, 2008 | |
|
|
|
Investment Income |
|
|
Interest |
| $ 23,857,964 |
Income from Fidelity Central Funds |
| 522,584 |
Total income |
| 24,380,548 |
|
|
|
Expenses | ||
Management fee | $ 4,166,607 | |
Transfer agent fees | 1,661,520 | |
Accounting fees and expenses | 127,702 | |
Custodian fees and expenses | 18,331 | |
Independent trustees' compensation | 4,692 | |
Registration fees | 34,236 | |
Audit | 38,180 | |
Legal | 12,317 | |
Miscellaneous | 136,019 | |
Total expenses before reductions | 6,199,604 | |
Expense reductions | (721,488) | 5,478,116 |
Net investment income | 18,902,432 | |
Realized and Unrealized Gain (Loss) Net realized gain (loss) on: | ||
Investment securities: |
|
|
Unaffiliated issuers |
| 307,279 |
Net increase in net assets resulting from operations | $ 19,209,711 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Statement of Changes in Net Assets
| Year ended | Year ended |
Increase (Decrease) in Net Assets |
|
|
Operations |
|
|
Net investment income | $ 18,902,432 | $ 28,904,681 |
Net realized gain (loss) | 307,279 | 105,213 |
Net increase in net assets resulting | 19,209,711 | 29,009,894 |
Distributions to shareholders from net investment income | (18,903,617) | (28,906,419) |
Distributions to shareholders from net realized gain | - | (39,512) |
Total distributions | (18,903,617) | (28,945,931) |
Share transactions at net asset value of $1.00 per share | 3,391,598,245 | 3,036,262,486 |
Reinvestment of distributions | 18,550,217 | 28,533,462 |
Cost of shares redeemed | (3,376,217,032) | (2,842,235,428) |
Net increase (decrease) in net assets and shares resulting from share transactions | 33,931,430 | 222,560,520 |
Total increase (decrease) in net assets | 34,237,524 | 222,624,483 |
|
|
|
Net Assets | ||
Beginning of period | 1,087,587,497 | 864,963,014 |
End of period (including undistributed net investment income of $52,349 and undistributed net investment income of $53,533, respectively) | $ 1,121,825,021 | $ 1,087,587,497 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Highlights
Years ended December 31, | 2008 | 2007 | 2006 | 2005 | 2004 |
Selected Per-Share Data |
|
|
|
|
|
Net asset value, beginning of period | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 |
Income from Investment Operations |
|
|
|
|
|
Net investment income | .017 | .032 | .030 | .020 | .007 |
Net realized and unrealized gain (loss) D | - | - | - | - | - |
Total from investment operations | .017 | .032 | .030 | .020 | .007 |
Distributions from net investment income | (.017) | (.032) | (.030) | (.020) | (.007) |
Distributions from net realized gain | - | - D | - | - D | - |
Total distributions | (.017) | (.032) | (.030) | (.020) | (.007) |
Net asset value, end of period | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 |
Total Return A | 1.68% | 3.21% | 3.01% | 1.99% | .73% |
Ratios to Average Net AssetsB, C |
|
|
|
|
|
Expenses before reductions | .54% | .54% | .56% | .56% | .57% |
Expenses net of fee waivers, if any | .54% | .54% | .55% | .55% | .57% |
Expenses net of all reductions | .48% | .42% | .41% | .46% | .55% |
Net investment income | 1.66% | 3.15% | 2.97% | 1.97% | .72% |
Supplemental Data |
|
|
|
|
|
Net assets, end of period (000 omitted) | $ 1,121,825 | $ 1,087,587 | $ 864,963 | $ 695,051 | $ 608,121 |
A Total returns would have been lower had certain expenses not been reduced during the periods shown.
B Fees and expenses of the underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds.
C Expense ratios reflect operating expenses of the Fund. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or expense offset arrangements and do not represent the amount paid by the Fund during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the Fund.
D Amount represents less than $.001 per share.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Notes to Financial Statements
For the period ended December 31, 2008
1. Organization.
Fidelity Michigan Municipal Income Fund (the Income Fund) is a fund of Fidelity Municipal Trust. Fidelity Michigan Municipal Money Market Fund (the Money Market Fund) is a fund of Fidelity Municipal Trust II. Each trust is registered under the Investment Company Act of 1940, as amended (the 1940 Act), as an open-end management investment company. Fidelity Municipal Trust and Fidelity Municipal Trust II (the trusts) are organized as a Massachusetts business trust and a Delaware statutory trust, respectively. The Income Fund is a non-diversified fund. Each Fund is authorized to issue an unlimited number of shares. Each Fund may be affected by economic and political developments in the state of Michigan.
2. Investments in Fidelity Central Funds.
The Funds may invest in Fidelity Central Funds, which are open-end investment companies available only to other investment companies and accounts managed by Fidelity Management & Research Company (FMR) and its affiliates. The Funds' Schedules of Investments list each of the Fidelity Central Funds held as of period end, if any, as an investment of each Fund, but does not include the underlying holdings of each Fidelity Central Fund. As an Investing Fund, the Funds indirectly bear their proportionate share of the expenses of the underlying Fidelity Central Funds.
The Money Market Central Funds seek preservation of capital and current income and are managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of FMR.
A complete unaudited list of holdings for each Fidelity Central Fund is available upon request or at the SEC's web site at www.sec.gov. In addition, the financial statements of the Fidelity Central Funds, which are not covered by the Funds' Report of Independent Registered Public Accounting Firm, are available on the SEC's web site or upon request.
3. Significant Accounting Policies.
The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America, which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. The following summarizes the significant accounting policies of the Funds:
Security Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. Wherever possible, each Fund uses independent pricing services approved by the Board of Trustees to value their investments.
Annual Report
3. Significant Accounting Policies - continued
Security Valuation - continued
For the Income Fund, debt securities, including restricted securities, are valued by independent pricing services or by dealers who make markets in such securities. Pricing services consider yield or price of bonds of comparable quality, coupon, maturity and type as well as dealer supplied prices. Investments in open-end mutual funds, including the Fidelity Central Funds, are valued at their closing net asset value each business day. Short-term securities with remaining maturities of sixty days or less for which quotations are not readily available are valued at amortized cost, which approximates value. Actual prices received at disposition may differ.
As permitted by compliance with certain conditions under Rule 2a-7 of the 1940 Act, securities owned by the Money Market Fund are valued at amortized cost which approximates market value.
When current market prices or quotations are not readily available or reliable, valuations may be determined in good faith in accordance with procedures adopted by the Board of Trustees. Factors used in determining value may include significant market or security specific events, changes in interest rates and credit quality, and developments in foreign markets which are monitored by evaluating the performance of ADRs, futures contracts and exchange-traded funds. The frequency with which these procedures are used cannot be predicted and may be utilized to a significant extent. The value of securities used for net asset value (NAV) calculation under these procedures may differ from published prices for the same securities.
The Funds are subject to the provisions of Statement of Financial Accounting Standards No. 157, "Fair Value Measurements" (SFAS 157), effective with the beginning of the Funds' fiscal year. SFAS 157 establishes a hierarchy that prioritizes the inputs to valuation techniques giving the highest priority to readily available unadjusted quoted prices in active markets for identical assets (level 1 measurements) and the lowest priority to unobservable inputs (level 3 measurements) when market prices are not readily available or reliable. The three levels of the hierarchy under SFAS 157 are described below:
Level 1 | Quoted prices in active markets for identical securities. |
Level 2 | Prices determined using other significant observable inputs. Observable inputs are inputs that other market participants may use in pricing a security. These may include quoted prices for similar securities, interest rates, prepayment speeds, credit risk and others. |
Level 3 | Prices determined using significant unobservable inputs. In situations where quoted prices or observable inputs are unavailable or deemed less relevant (for example, when there is little or no market activity for an investment at the end of the period), unobservable inputs may be used. Unobservable inputs reflect the Fund's own assumptions about the factors market participants would use in pricing an investment, and would be based on the best information available. |
Annual Report
Notes to Financial Statements - continued
3. Significant Accounting Policies - continued
Security Valuation - continued
Changes in valuation techniques may result in transfers in or out of an investment's assigned level within the hierarchy.
The aggregate value by input level, as of December 31, 2008, for each Fund's investments is included at the end of each Fund's Schedule of Investments.
Investment Transactions and Income. For financial reporting purposes, the Funds' investment holdings and NAV include trades executed through the end of the last business day of the period. The NAV per share for processing shareholder transactions is calculated as of the close of business of the New York Stock Exchange (NYSE), normally 4:00 p.m. Eastern time and includes trades executed through the end of the prior business day for the Income Fund and trades executed through the end of the current business day for the Money Market Fund. Gains and losses on securities sold are determined on the basis of identified cost. Interest income and distributions from the Fidelity Central Funds are accrued as earned. Interest income includes coupon interest and amortization of premium and accretion of discount on debt securities.
Expenses. Most expenses of each trust can be directly attributed to a fund. Expenses which cannot be directly attributed are apportioned among each Fund in the trust. Expense estimates are accrued in the period to which they relate and adjustments are made when actual amounts are known.
The Board of Trustees of the Money Market Fund approved the participation by the Money Market Fund in the U.S. Treasury Department's Temporary Guarantee Program for Money Market Funds (the "Program") through April 30, 2009. Under the Program, if the Money Market Fund's market value per share drops below $0.995 on any day while the Program is in effect, shareholders of record on that date who also held shares in the Money Market Fund on September 19, 2008 may be eligible to receive a payment from the Treasury upon liquidation of the Money Market Fund. The Money Market Fund paid the U.S. Treasury Department a fee equal to 0.01% based on the number of shares outstanding as of September 19, 2008 to participate in the Program for the initial 3-month term that expired on December 18, 2008. On December 4, 2008, the Money Market Fund paid an additional fee equal to 0.015% based on the number of shares outstanding as of September 19, 2008 to participate in the extension of the Program through April 30, 2009. The fees are being amortized over the length of the participation in the Program. The expense is borne by the Money Market Fund without regard to any expense limitation currently in effect. The U.S. Treasury Department has the option to renew the Program through the close of business on September 19, 2009. If extended, the Board of Trustees
Annual Report
3. Significant Accounting Policies - continued
Expenses - continued
of the Money Market Fund will determine whether the Money Market Fund should continue participation in the Program and, if so, the Money Market Fund will incur additional participation fees.
Income Tax Information and Distributions to Shareholders. Each year, each Fund intends to qualify as a regulated investment company by distributing substantially all of its taxable income and realized gains under Subchapter M of the Internal Revenue Code and filing its U.S. federal tax return. As a result, no provision for income taxes is required. Each Fund is subject to the provisions of FASB Interpretation No. 48, Accounting for Uncertainties in Income Taxes (FIN 48). FIN 48 sets forth a minimum threshold for financial statement recognition of the benefit of a tax position taken or expected to be taken in a tax return. There are no unrecognized tax benefits in the accompanying financial statements. A Fund's federal tax return is subject to examination by the Internal Revenue Service (IRS) for a period of three years.
Dividends are declared daily and paid monthly from net investment income. Distributions from realized gains, if any, are recorded on the ex-dividend date. Income and capital gain distributions are determined in accordance with income tax regulations, which may differ from generally accepted accounting principles. In addition, the Money Market Fund will claim a portion of the payment made to redeeming shareholders as a distribution for income tax purposes.
Capital accounts within the financial statements are adjusted for permanent book-tax differences. These adjustments have no impact on net assets or the results of operations. Temporary book-tax differences will reverse in a subsequent period.
Book-tax differences are primarily due to market discount, deferred trustees compensation, capital loss carryforwards, and losses deferred due to futures transactions.
The Funds purchase municipal securities whose interest, in the opinion of the issuer, is free from federal income tax. There is no assurance that the Internal Revenue Service (IRS) will agree with this opinion. In the event the IRS determines that the issuer does not comply with relevant tax requirements, interest payments from a security could become federally taxable, possibly retroactively to the date the security was issued.
Annual Report
Notes to Financial Statements - continued
3. Significant Accounting Policies - continued
Income Tax Information and Distributions to Shareholders - continued
The tax-basis components of distributable earnings and the federal tax cost as of period end were as follows for each Fund:
| Cost for Federal | Unrealized | Unrealized | Net Unrealized Appreciation/ |
Fidelity Michigan Municipal Income Fund | $ 574,983,843 | $ 12,164,193 | $ (24,776,736) | $ (12,612,543) |
Fidelity Michigan Municipal Money Market Fund | 1,058,307,146 | - | - | - |
| Undistributed | Undistributed | Capital Loss |
Fidelity Michigan Municipal Income Fund | $ 29,472 | $ - | $ (4,561) |
Fidelity Michigan Municipal Money | 52,488 | 24,068 | - |
The tax character of distributions paid was as follows:
December 31, 2008 |
|
|
|
|
| Tax-exempt | Ordinary | Long-term | Total |
Fidelity Michigan Municipal Income Fund | $ 23,855,172 | $ - | $ 255,599 | $ 24,110,771 |
Fidelity Michigan Municipal Money Market Fund | 18,903,617 | - | - | 18,903,617 |
December 31, 2007 |
|
|
|
|
| Tax-exempt | Ordinary | Long-term | Total |
Fidelity Michigan Municipal Income Fund | $ 22,800,828 | $ 129,303 | $ 1,264,308 | $ 24,194,439 |
Fidelity Michigan Municipal Money Market Fund | 28,906,419 | - | 39,512 | 28,945,931 |
Short-Term Trading (Redemption) Fees. Shares held in the Income Fund less than 30 days are subject to a redemption fee equal to .50% of the proceeds of the redeemed shares. All redemption fees, including any estimated redemption fees paid by FMR, are retained by the Fund and accounted for as an addition to paid in capital.
4. Purchases and Sales of Investments.
Purchases and sales of securities, other than short-term securities, for the Income Fund aggregated $110,786,309 and $113,859,935, respectively.
Annual Report
5. Fees and Other Transactions with Affiliates.
Management Fee. FMR and its affiliates provide the Funds with investment management related services for which the Funds pay a monthly management fee. The management fee is the sum of an individual fund fee rate and a group fee rate. The individual fund fee rate is applied to each Fund's average net assets. The group fee rate is based upon the average net assets of all the mutual funds advised by FMR. The group fee rate decreases as assets under management increase and increases as assets under management decrease. For the period, each Fund's annual management fee rate expressed as a percentage of each Fund's average net assets was as follows:
| Individual Rate | Group Rate | Total |
Fidelity Michigan Municipal Income Fund | .25% | .12% | .37% |
Fidelity Michigan Municipal Money | .25% | .12% | .37% |
Transfer Agent and Accounting Fees. Citibank, N.A. (Citibank) is the custodian, transfer agent and shareholder servicing agent for the Funds. Citibank has entered into a sub-arrangement with Fidelity Investments Institutional Operations Company, Inc. (FIIOC), an affiliate of FMR, under which FIIOC performs the activities associated with the Funds' transfer, dividend disbursing and shareholder servicing agent functions. The Funds pay account fees and asset-based fees that vary according to account size and type of account. FIIOC pays for typesetting, printing and mailing of shareholder reports, except proxy statements. For the period, the transfer agent fees were equivalent to the following annual rates expressed as a percentage of average net assets:
Fidelity Michigan Municipal Income Fund | .08% |
Fidelity Michigan Municipal Money Market Fund | .15% |
Citibank also has a sub-arrangement with Fidelity Service Company, Inc. (FSC), an affiliate of FMR, under which FSC maintains the Fund's accounting records. The fee is based on the level of average net assets for the month.
6. Committed Line of Credit.
The Income Fund participates with other funds managed by FMR in a $4.2 billion credit facility (the "line of credit") to be utilized for temporary or emergency purposes to fund shareholder redemptions or for other short-term liquidity purposes. The participating funds have agreed to pay commitment fees on their pro rata portion of the line of credit, which is reflected in Miscellaneous Expense on the Statement of Operations, and is as follows:
Fidelity Michigan Municipal Income Fund | $ 1,189 |
During the period, there were no borrowings on this line of credit.
Annual Report
Notes to Financial Statements - continued
7. Expense Reductions.
Through arrangements with each applicable Fund's custodian and transfer agent, credits realized as a result of uninvested cash balances were used to reduce each applicable Fund's expenses. All of the applicable expense reductions are noted in the table below.
| Custody | Transfer | Accounting |
|
|
|
|
Fidelity Michigan Municipal Income Fund | $ 8,425 | $ 110,014 | $ 4 |
Fidelity Michigan Municipal Money Market Fund | 18,331 | 692,634 | 10,523 |
8. Other.
The Funds' organizational documents provide former and current trustees and officers with a limited indemnification against liabilities arising in connection with the performance of their duties to the Funds. In the normal course of business, the Funds may also enter into contracts that provide general indemnifications. The Funds' maximum exposure under these arrangements is unknown as this would be dependent on future claims that may be made against the Funds. The risk of material loss from such claims is considered remote.
The supply of municipal money market securities has declined significantly due to the recent market volatility. Due to this limited supply of suitable investments in the marketplace, the Money Market Fund has significantly increased its cash position.
Annual Report
Report of Independent Registered Public Accounting Firm
To the Trustees of Fidelity Municipal Trust and Fidelity Municipal Trust II and the Shareholders of Fidelity Michigan Municipal Income Fund and Fidelity Michigan Municipal Money Market Fund:
In our opinion, the accompanying statements of assets and liabilities, including the schedules of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Fidelity Michigan Municipal Income Fund (a fund of Fidelity Municipal Trust) and Fidelity Michigan Municipal Money Market Fund (a fund of Fidelity Municipal Trust II) at December 31, 2008, the results of each of their operations for the year then ended, the changes in their net assets for each of the two years in the period then ended and the financial highlights for each of the five years in the period then ended, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as "financial statements") are the responsibility of the Fidelity Municipal Trust's and Fidelity Municipal Trust II's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at December 31, 2008 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion.
/s/ PricewaterhouseCoopers LLP
PricewaterhouseCoopers LLP
Boston, Massachusetts
February 20, 2009
Annual Report
Trustees and Officers
The Trustees, Member of the Advisory Board, and executive officers of the trusts and funds, as applicable, are listed below. The Board of Trustees governs each fund and is responsible for protecting the interests of shareholders. The Trustees are experienced executives who meet periodically throughout the year to oversee each fund's activities, review contractual arrangements with companies that provide services to each fund, and review each fund's performance. Except for Edward C. Johnson 3d and James C. Curvey, each of the Trustees oversees 158 funds advised by FMR or an affiliate. Messrs. Johnson and Curvey oversee 380 funds advised by FMR or an affiliate.
The Trustees hold office without limit in time except that (a) any Trustee may resign; (b) any Trustee may be removed by written instrument, signed by at least two-thirds of the number of Trustees prior to such removal; (c) any Trustee who requests to be retired or who has become incapacitated by illness or injury may be retired by written instrument signed by a majority of the other Trustees; and (d) any Trustee may be removed at any special meeting of shareholders by a two-thirds vote of the outstanding voting securities of the trust. Each Trustee who is not an interested person (as defined in the 1940 Act) (Independent Trustee), shall retire not later than the last day of the calendar year in which his or her 72nd birthday occurs. The Independent Trustees may waive this mandatory retirement age policy with respect to individual Trustees. The executive officers and Advisory Board Member hold office without limit in time, except that any officer and Advisory Board Member may resign or may be removed by a vote of a majority of the Trustees at any regular meeting or any special meeting of the Trustees. Except as indicated, each individual has held the office shown or other offices in the same company for the past five years.
The fund's Statement of Additional Information (SAI) includes more information about the Trustees. To request a free copy, call Fidelity at 1-800-544-8544.
Interested Trustees*:
Correspondence intended for each Trustee who is an interested person may be sent to Fidelity Investments, 82 Devonshire Street, Boston, Massachusetts 02109.
Name, Age; Principal Occupation | |
Edward C. Johnson 3d (78) | |
| Year of Election or Appointment: 1984 or 1991 Trustee of Fidelity Municipal Trust (1984) and Fidelity Municipal Trust II (1991). Mr. Johnson is Chairman of the Board of Trustees. Mr. Johnson serves as Chief Executive Officer, Chairman, and a Director of FMR LLC; Chairman and a Director of FMR; Chairman and a Director of Fidelity Research & Analysis Company (FRAC); Chairman and a Director of Fidelity Investments Money Management, Inc.; and Chairman and a Director of FMR Co., Inc. In addition, Mr. Johnson serves as Chairman and Director of FIL Limited. Previously, Mr. Johnson served as President of FMR LLC (2006-2007). Mr. Edward C. Johnson 3d and Mr. Arthur E. Johnson are not related. |
James C. Curvey (73) | |
| Year of Election or Appointment: 2007 Mr. Curvey also serves as Trustee (2007-present) of other investment companies advised by FMR. Mr. Curvey is a Director of FMR and FMR Co., Inc. (2007-present). Mr. Curvey is also Vice Chairman (2006- |
* Trustees have been determined to be "Interested Trustees" by virtue of, among other things, their affiliation with the trusts or various entities under common control with FMR. FMR Corp. merged with and into FMR LLC on October 1, 2007. Any references to FMR LLC for prior periods are deemed to be references to the prior entity.
Independent Trustees:
Correspondence intended for each Independent Trustee (that is, the Trustees other than the Interested Trustees) may be sent to Fidelity Investments, P.O. Box 55235, Boston, Massachusetts 02205-5235.
Name, Age; Principal Occupation | |
Albert R. Gamper, Jr. (66) | |
| Year of Election or Appointment: 2006 Prior to his retirement in December 2004, Mr. Gamper served as Chairman of the Board of CIT Group Inc. (commercial finance). During his tenure with CIT Group Inc. Mr. Gamper served in numerous senior management positions, including Chairman (1987-1989; 1999-2001; 2002-2004), Chief Executive Officer (1987-2004), and President (1989-2002). He currently serves as a member of the Board of Directors of Public Service Enterprise Group (utilities), a member of the Board of Governors, Rutgers University (2004-present), and Chairman of the Board of Saint Barnabas Health Care System. Previously, Mr. Gamper served as Chairman of the Board of Governors, Rutgers University (2004-2007). |
Arthur E. Johnson (61) | |
| Year of Election or Appointment: 2008 Mr. Johnson serves as Senior Vice President of Corporate Strategic Development of Lockheed Martin Corporation (defense contractor). In addition, Mr. Johnson serves as a member of the Board of Directors of AGL Resources, Inc. (holding company), and IKON Office Solutions, Inc. (document management systems and services). Mr. Arthur E. Johnson and Mr. Edward C. Johnson 3d are not related. |
James H. Keyes (68) | |
| Year of Election or Appointment: 2007 Prior to his retirement in 2003, Mr. Keyes was Chairman, President, and Chief Executive Officer of Johnson Controls, Inc. (automotive supplier, 1993-2003). He currently serves as a member of the boards of Navistar International Corporation (manufacture and sale of trucks, buses, and diesel engines) and Pitney Bowes, Inc. (integrated mail, messaging, and document management solutions). Previously, Mr. Keyes served as a member of the Board of LSI Logic Corporation (semiconductor technologies, 1984-2008). |
Marie L. Knowles (62) | |
| Year of Election or Appointment: 2001 Prior to Ms. Knowles' retirement in June 2000, she served as Executive Vice President and Chief Financial Officer of Atlantic Richfield Company (ARCO) (diversified energy, 1996-2000). From 1993 to 1996, she was a Senior Vice President of ARCO and President of ARCO Transportation Company. She served as a Director of ARCO from 1996 to 1998. She currently serves as a Director of McKesson Corporation (healthcare service). Ms. Knowles is a Trustee of the Brookings Institution and the Catalina Island Conservancy and also serves as a member of the Advisory Board for the School of Engineering of the University of Southern California. Previously, Ms. Knowles served as a Director of Phelps Dodge Corporation (copper mining and manufacturing, 1994-2007). |
Kenneth L. Wolfe (69) | |
| Year of Election or Appointment: 2005 Mr. Wolfe currently serves as a member of the board of Revlon Inc. (2004-present). Previously, Mr. Wolfe served as Chairman and a Director (2007-2009) and Chairman and Chief Executive Officer of Hershey Foods Corporation, and as a member of the boards of Adelphia Communications Corporation (2003-2006) and Bausch & Lomb, Inc. (1993-2007). |
Annual Report
Advisory Board Member and Executive Officers**:
Correspondence intended for Mr. Kenneally may be sent to Fidelity Investments, P.O. Box 55235, Boston, Massachusetts 02205-5235. Correspondence intended for each executive officer may be sent to Fidelity Investments, 82 Devonshire Street, Boston, Massachusetts 02109.
Name, Age; Principal Occupation | |
Michael E. Kenneally (54) | |
| Year of Election or Appointment: 2008 Member of the Advisory Board. Mr. Kenneally also serves as Trustee (2009-present) or Member of the Advisory Board of other Fidelity Fixed Income and Asset Allocation Funds. Previously, Mr. Kenneally served as Chairman and Global Chief Executive Officer of Credit Suisse Asset Management (2003-2005). Mr. Kenneally was a Director of The Credit Suisse Funds (U.S. Mutual Fund, 2004-2008) and was awarded the Chartered Financial Analyst (CFA) designation in 1991. |
John R. Hebble (50) | |
| Year of Election or Appointment: 2008 President and Treasurer of Fidelity's Fixed Income and Asset Allocation Funds. Mr. Hebble is an employee of Fidelity Investments (2003-present). Before joining Fidelity Investments, Mr. Hebble worked at Deutsche Asset Management where he served as Director of Fund Accounting (2002- |
Boyce I. Greer (52) | |
| Year of Election or Appointment: 2005 or 2006 Vice President of Fidelity's Fixed Income Funds (2006) and Asset Allocation Funds (2005). Mr. Greer is also a Trustee of other investment companies advised by FMR (2003-present). Mr. Greer is President and a Director of Fidelity Investments Money Management, Inc. (2007-present), and an Executive Vice President of FMR and FMR Co., Inc. (2005-present). Previously, Mr. Greer served as a Director and Managing Director of Strategic Advisers, Inc. (2002-2005). |
Charles S. Morrison (48) | |
| Year of Election or Appointment: 2005 Vice President of Fidelity's Money Market Funds. Mr. Morrison also serves as Senior Vice President, Money Market Group Leader of FMR. Previously, Mr. Morrison served as Vice President of Fidelity's Bond Funds and certain Balanced, and Asset Allocation Funds. |
Scott C. Goebel (40) | |
| Year of Election or Appointment: 2008 Secretary and Chief Legal Officer (CLO) of the Fidelity funds. Mr. Goebel also serves as General Counsel, Secretary, and Senior Vice President of FMR (2008-present); Deputy General Counsel of FMR LLC; Chief Legal Secretary of Fidelity Management & Research (Hong Kong) Limited (2008-present) and Assistant Secretary of Fidelity Management & Research (Japan) Inc. (2008-present). Previously, Mr. Goebel served as Assistant Secretary of the Funds (2007-2008) and as Vice President and Secretary of Fidelity Distributors Corporation (FDC) (2005-2007). |
Nancy D. Prior (41) | |
| Year of Election or Appointment: 2008 Assistant Secretary of Fidelity's Fixed Income and Asset Allocation Funds. Ms. Prior is an employee of Fidelity Investments (2002-present). |
Holly C. Laurent (54) | |
| Year of Election or Appointment: 2008 Anti-Money Laundering (AML) Officer of the Fidelity funds. Ms. Laurent is an employee of Fidelity Investments. Previously, Ms. Laurent was Senior Vice President and Head of Legal for Fidelity Business Services India Pvt. Ltd. (2006-2008), Senior Vice President, Deputy General Counsel and Group Head for FMR LLC (2005-2006). |
Christine Reynolds (50) | |
| Year of Election or Appointment: 2008 Chief Financial Officer of the Fidelity funds. Ms. Reynolds became President of Fidelity Pricing and Cash Management Services (FPCMS) in August 2008. She served as Chief Operating Officer of FPCMS from 2007 through July 2008. Previously, Ms. Reynolds served as President, Treasurer, and Anti-Money Laundering officer of the Fidelity funds (2004- |
Michael H. Whitaker (41) | |
| Year of Election or Appointment: 2008 Chief Compliance Officer of Fidelity's Fixed Income and Asset Allocation Funds. Mr. Whitaker is an employee of Fidelity Investments (2007-present). Prior to joining Fidelity Investments, Mr. Whitaker worked at MFS Investment Management where he served as Senior Vice President and Chief Compliance Officer (2004-2006), and Assistant General Counsel. |
Bryan A. Mehrmann (47) | |
| Year of Election or Appointment: 2005 Deputy Treasurer of the Fidelity funds. Mr. Mehrmann is an employee of Fidelity Investments. Previously, Mr. Mehrmann served as Vice President of Fidelity Investments Institutional Services Group (FIIS)/Fidelity Investments Institutional Operations Company, Inc. (FIIOC) Client Services (1998-2004). |
Stephanie J. Dorsey (39) | |
| Year of Election or Appointment: 2008 Deputy Treasurer of Fidelity's Fixed Income and Asset Allocation Funds. Ms. Dorsey is an employee of Fidelity Investments (2008-present). Previously, Ms. Dorsey served as Treasurer (2004-2008) of the JPMorgan Mutual Funds and Accounting Group Manager (2003) of JPMorgan Chase Bank. |
Robert G. Byrnes (42) | |
| Year of Election or Appointment: 2005 Assistant Treasurer of the Fidelity funds. Mr. Byrnes is an employee of Fidelity Investments (2005-present). Previously, Mr. Byrnes served as Vice President of Fidelity Pricing and Cash Management Services (FPCMS) (2003-2005). Before joining Fidelity Investments, Mr. Byrnes worked at Deutsche Asset Management where he served as Vice President of the Investment Operations Group (2000-2003). |
Paul M. Murphy (61) | |
| Year of Election or Appointment: 2007 Assistant Treasurer of the Fidelity funds. Mr. Murphy is an employee of Fidelity Investments (2007-present). Previously, Mr. Murphy served as Chief Financial Officer of the Fidelity Funds (2005-2006), Vice President and Associate General Counsel of FMR (2007), and Senior Vice President of Fidelity Pricing and Cash Management Services (FPCMS) (1994-2007). |
Gary W. Ryan (50) | |
| Year of Election or Appointment: 2005 Assistant Treasurer of the Fidelity funds. Mr. Ryan is an employee of Fidelity Investments. Previously, Mr. Ryan served as Vice President of Fund Reporting in Fidelity Pricing and Cash Management Services (FPCMS) (1999-2005). |
** FMR Corp. merged with and into FMR LLC on October 1, 2007. Any references to FMR LLC for prior periods are deemed to be references to the prior entity.
Annual Report
Distributions (Unaudited)
The Board of Trustees voted to pay to shareholders of record at the opening of business on record date, the following distributions per share derived from capital gains realized from sales of portfolio securities.
Fund | Pay Date | Record Date | Capital Gains |
Fidelity Michigan Municipal Income Fund | 2/17/09 | 02/13/09 | $0.001 |
Fidelity Michigan Municipal Money Market Fund | 2/17/09 | 02/13/09 | $0.00003 |
The funds hereby designate as capital gain dividend the amounts noted below for the taxable year ended December 31, 2008, or, if subsequently determined to be different, the net capital gain of such year.
Fund |
|
Fidelity Michigan Municipal Money Market Fund | $230,677 |
During fiscal year ended 2008, 100% of Fidelity Michigan Municipal Income Fund and Fidelity Michigan Municipal Money Market Fund's income dividends were free from federal income tax, and 1.08% of Fidelity Michigan Municipal Income Fund and 22.55% Fidelity Michigan Municipal Money Market Fund's income dividends were subject to the federal alternative minimum tax.
The fund will notify shareholders in January 2009 of amounts for use in preparing 2008 income tax returns.
Annual Report
Managing Your Investments
Fidelity offers several ways to conveniently manage your personal investments via your telephone or PC. You can access your account information, conduct trades and research your investments 24 hours a day.
By Phone
Fidelity Automated Service Telephone provides a single toll-free number to access account balances, positions, quotes and trading. It's easy to navigate the service, and on your first call, the system will help you create a personal identification number (PIN) for security.
(phone_graphic)
Fidelity Automated
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1-800-544-5555
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For mutual fund and brokerage trading.
For quotes.*
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Fidelity's web site on the Internet provides a wide range of information, including daily financial news, fund performance, interactive planning tools and news about Fidelity products and services.
(computer_graphic)
Fidelity's Web Site
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* When you call the quotes line, please remember that a fund's yield and return will vary and, except for money market funds, share price will also vary. This means that you may have a gain or loss when you sell your shares. There is no assurance that money market funds will be able to maintain a stable $1 share price; an investment in a money market fund is not insured or guaranteed by the U.S. government. Total returns are historical and include changes in share price, reinvestment of dividends and capital gains, and the effects of any sales charges.
Annual Report
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Annual Report
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Annual Report
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MIR-UANN-0209 1.787737.105
Fidelity®
Minnesota Municipal Income
Fund
Annual Report
December 31, 2008
(2_fidelity_logos) (Registered_Trademark)
Contents
Chairman's Message | Ned Johnson's message to shareholders. | |
Performance | How the fund has done over time. | |
Management's Discussion | The manager's review of fund performance, strategy and outlook. | |
Shareholder Expense Example | An example of shareholder expenses. | |
Investment Changes | A summary of major shifts in the fund's investments over the past six months. | |
Investments | A complete list of the fund's investments with their market values. | |
Financial Statements | Statements of assets and liabilities, operations, and changes in net assets, as well as financial highlights. | |
Notes | Notes to the financial statements. | |
Report of Independent Registered Public Accounting Firm |
| |
Trustees and Officers |
| |
Distributions |
| |
|
|
|
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com (search for "proxy voting guidelines") or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov. You may also call 1-800-544-8544 to request a free copy of the proxy voting guidelines.
Standard & Poor's, S&P and S&P 500 are registered service marks of The McGraw-Hill Companies, Inc. and have been licensed for use by Fidelity Distributors Corporation.
Other third party marks appearing herein are the property of their respective owners.
All other marks appearing herein are registered or unregistered trademarks or service marks of FMR LLC or an affiliated company.
Annual Report
This report and the financial statements contained herein are submitted for the general information of the shareholders of the fund. This report is not authorized for distribution to prospective investors in the fund unless preceded or accompanied by an effective prospectus.
A fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. Forms N-Q are available on the SEC's web site at http://www.sec.gov. A fund's Forms N-Q may be reviewed and copied at the SEC's Public Reference Room in Washington, DC. Information regarding the operation of the SEC's Public Reference Room may be obtained by calling 1-800-SEC-0330. For a complete list of a fund's portfolio holdings, view the most recent holdings listing, semiannual report, or annual report on Fidelity's web site at http://www.fidelity.com or http://www.advisor.fidelity.com, as applicable.
NOT FDIC INSURED · MAY LOSE VALUE · NO BANK GUARANTEE
Neither the fund nor Fidelity Distributors Corporation is a bank.
Annual Report
Chairman's Message
(photo_of_Edward_C_Johnson_3d)
Dear Shareholder:
An all-out credit crisis gripped the world's capital markets in 2008, stunting economic growth, toppling commodity prices and pushing equity markets into their steepest declines in decades. Within this ultra-risk-averse climate, virtually the only positive results came from the relative security of U.S. government-backed assets. While financial markets are always unpredictable, there are a number of time-tested principles that can put the historical odds in your favor.
One of the basic tenets is to invest for the long term. Over time, riding out the markets' inevitable ups and downs has proven much more effective than selling into panic or chasing the hottest trend. Even missing only a few of the markets' best days can significantly diminish investor returns. Patience also affords the benefits of compounding - of earning interest on additional income or reinvested dividends and capital gains. There are tax advantages and cost benefits to consider as well. The more you sell, the more taxes you pay, and the more you trade, the higher the costs. While staying the course doesn't eliminate risk, it can considerably lessen the effect of short-term declines.
You can further manage your investing risk through diversification. And today, more than ever, geographic diversification should be taken into account. Studies indicate that asset allocation is the single most important determinant of a portfolio's long-term success. The right mix of stocks, bonds and cash - aligned to your particular risk tolerance and investment objective - is very important. Age-appropriate rebalancing is also an essential aspect of asset allocation. For younger investors, an emphasis on equities - which historically have been the best-performing asset class over time - is encouraged. As investors near their specific goal, such as retirement or sending a child to college, consideration may be given to replacing volatile assets (e.g. common stocks) with more-stable fixed investments (bonds or savings plans).
A third investment principle - investing regularly - can help lower the average cost of your purchases. Investing a certain amount of money each month or quarter helps ensure you won't pay for all your shares at market highs. This strategy - known as dollar cost averaging - also reduces unconstructive "emotion" from investing, helping shareholders avoid selling weak performers just prior to an upswing, or chasing a hot performer just before a correction.
We invite you to contact us via the Internet, through our Investor Centers or over the phone. It is our privilege to provide you the information you need to make the investments that are right for you.
Sincerely,
/s/Edward C. Johnson 3d
Edward C. Johnson 3d
Annual Report
Performance: The Bottom Line
Average annual total return reflects the change in the value of an investment, assuming reinvestment of the fund's dividend income and capital gains (the profits earned upon the sale of securities that have grown in value, if any) and assuming a constant rate of performance each year. The $10,000 table and the fund's returns do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. During periods of reimbursement by Fidelity, a fund's total return will be greater than it would be had the reimbursement not occurred. How a fund did yesterday is no guarantee of how it will do tomorrow.
Average Annual Total Returns
Periods ended December 31, 2008 | Past 1 | Past 5 | Past 10 |
Fidelity® MN Municipal Income Fund | -0.28% | 2.71% | 3.96% |
$10,000 Over 10 Years
Let's say hypothetically that $10,000 was invested in Fidelity® Minnesota Municipal Income Fund on December 31, 1998. The chart shows how the value of your investment would have changed, and also shows how the Barclays Capital Municipal Bond Index performed over the same period.
Annual Report
Management's Discussion of Fund Performance
Comments from Christine Thompson, Portfolio Manager of Fidelity® Minnesota Municipal Income Fund
Municipal bonds suffered losses during 2008, hurt by a persistent and deepening risk aversion that spread rapidly across the global financial markets. While lower-quality municipals were hit first, insured bonds - most rated AAA at the time - came under pressure shortly thereafter in response to investor concerns about the financial strength of bond insurers. All major municipal bond insurers suffered from their exposure to securities backed by subprime mortgages. Supply pressures also weighed on the markets, as issuers scrambled to refinance their debt as the auction-rate securities market - - a major source of funding for muni issuers - broke down. The loss of independent muni dealers - including Bear Stearns, Lehman Brothers, Merrill Lynch and Wachovia - led to further disruption, as did the selling by leveraged investors to cover losses and meet investor redemptions. But in December, munis started to gain strength as investors gravitated toward their attractive valuations. For the 12 months overall, the Barclays Capital Municipal Bond Index - a performance measure of more than 44,000 investment-grade, fixed-rate, tax-exempt bonds - declined 2.47%. The overall taxable debt market, as measured by the Barclays Capital U.S. Aggregate Bond Index, rose 5.24%.
For the year ending December 31, 2008, the fund returned -0.28%, and the Barclays Capital Minnesota Enhanced Municipal Bond Index - which tracks the types of securities in which the fund invests - gained 0.31%. My choices regarding credit quality detracted from the fund's relative performance. I was underweighted in prerefunded and escrowed bonds, which are backed by U.S. government-guaranteed securities. They were among the market's best performers due to strong demand for high-quality securities. Yield-curve positioning - which refers to how I allocated the fund's investments across bonds of various maturities - proved beneficial. Specifically, a larger-than-index exposure to intermediate-maturity bonds gave the fund a boost because they outpaced longer-term bonds, in which the fund was underweighted. In addition, relative performance was bolstered by an underweighting in bonds that trade at par - or face value - as well as those that trade just below par. Many of these securities came under pressure as their prices declined to levels that subjected them to unfavorable tax treatment during the period. Elsewhere, an emphasis on bonds issued by providers of essential services and higher education institutions proved helpful because demand was strong for these high-quality bonds offered by issuers deemed resistant to an economic slowdown.
The views expressed above reflect those of the portfolio manager(s) only through the end of the period as stated on the cover of this report and do not necessarily represent the views of Fidelity or any other person in the Fidelity organization. Any such views are subject to change at any time based upon market or other conditions and Fidelity disclaims any responsibility to update such views. These views may not be relied on as investment advice and, because investment decisions for a Fidelity fund are based on numerous factors, may not be relied on as an indication of trading intent on behalf of any Fidelity fund.
Annual Report
Shareholder Expense Example
As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including redemption fees, and (2) ongoing costs, including management fees and other Fund expenses. This Example is intended to help you 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.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (July 1, 2008 to December 31, 2008).
Actual Expenses
The first line of the accompanying table provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000.00 (for example, an $8,600 account value divided by $1,000.00 = 8.6), then multiply the result by the number in the first line under the heading entitled "Expenses Paid During Period" to estimate the expenses you paid on your account during this period. A small balance maintenance fee of $12.00 that is charged once a year may apply for certain accounts with a value of less than $2,000. This fee is not included in the table below. If it was, the estimate of expenses you paid during the period would be higher, and your ending account value lower, by this amount.
Hypothetical Example for Comparison Purposes
The second line of the accompanying table 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. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and 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. A small balance maintenance fee of $12.00 that is charged once a year may apply for certain accounts with a value of less than $2,000. This fee is not included in the table below. If it was, the estimate of expenses you paid during the period would be higher, and your ending account value lower, by this amount.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs. Therefore, the second line 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 transactional costs were included, your costs would have been higher.
Annual Report
Shareholder Expense Example - continued
| Annualized | Beginning | Ending | Expenses Paid |
Actual | .49% | $ 1,000.00 | $ 993.20 | $ 2.46 |
Hypothetical (5% return per year before expenses) |
| $ 1,000.00 | $ 1,022.67 | $ 2.49 |
* Expenses are equal to the Fund's annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/366 (to reflect the one-half year period).
Annual Report
Investment Changes (Unaudited)
Top Five Sectors as of December 31, 2008 | ||
| % of fund's | % of fund's net assets |
General Obligations | 39.9 | 37.4 |
Electric Utilities | 15.4 | 15.5 |
Escrowed/Pre-Refunded | 15.2 | 15.9 |
Health Care | 12.6 | 13.8 |
Transportation | 5.7 | 6.0 |
Weighted Average Maturity as of December 31, 2008 | ||
|
| 6 months ago |
Years | 7.9 | 6.7 |
The weighted average maturity is based on the dollar-weighted average length of time until principal payments are expected or until securities reach maturity, taking into account any maturity shortening feature such as a call, refunding or redemption provision. |
Duration as of December 31, 2008 | ||
|
| 6 months ago |
Years | 6.4 | 6.1 |
Duration shows how much a bond fund's price fluctuates with changes in comparable interest rates. If rates rise 1%, for example, a fund with a five-year duration is likely to lose about 5% of its value. Other factors also can influence a bond fund's performance and share price. Accordingly, a bond fund's actual performance may differ from this example. |
Quality Diversification (% of fund's net assets) | |||||||
As of December 31, 2008 | As of June 30, 2008 | ||||||
![]() | AAA 7.0% |
| ![]() | AAA 27.0% |
| ||
![]() | AA,A 82.5% |
| ![]() | AA,A 64.3% |
| ||
![]() | BBB 5.4% |
| ![]() | BBB 4.5% |
| ||
![]() | BB and Below 0.4% |
| ![]() | BB and Below 0.6% |
| ||
![]() | Not Rated 1.4% |
| ![]() | Not Rated 1.6% |
| ||
![]() | Net Other Assets 3.3% |
| ![]() | Net Other Assets 2.0% |
|
We have used ratings from Moody's® Investors Services, Inc. Where Moody's ratings are not available, we have used S&P® ratings. All ratings are as of the report date and do not reflect subsequent downgrades. |
Annual Report
Investments December 31, 2008
Showing Percentage of Net Assets
Municipal Bonds - 96.7% | ||||
| Principal Amount | Value | ||
Guam - 0.4% | ||||
Guam Ed. Fing. Foundation Ctfs. of Prtn. Series 2006 A, 5% 10/1/23 | $ 1,500,000 | $ 1,244,880 | ||
Guam Wtrwks. Auth. Wtr. and Wastewtr. Sys. Rev. Series 2005, 5.875% 7/1/35 | 425,000 | 308,563 | ||
| 1,553,443 | |||
Minnesota - 95.0% | ||||
Anoka-Hennepin Independent School District #11 | 1,880,000 | 1,937,039 | ||
Brainerd Independent School District #181 Series 2002 A: | ||||
5.375% 2/1/16 (FGIC Insured) | 3,285,000 | 3,540,212 | ||
5.375% 2/1/17 (FGIC Insured) | 4,100,000 | 4,389,870 | ||
5.375% 2/1/19 (FGIC Insured) | 2,200,000 | 2,320,604 | ||
Brooklyn Ctr. Independent School District #286 Series 2002, 5.1% 2/1/31 (FGIC Insured) (Pre-Refunded to 2/1/12 @ 100) (c) | 6,000,000 | 6,426,840 | ||
Cambridge Independent School District #911 Gen. Oblig. (Minnesota School District Prog.) Series 2005 C, 5% 4/1/14 (MBIA Insured) | 1,200,000 | 1,329,552 | ||
Centennial Independent School District #12 Series 2002 A, 5% 2/1/19 (FSA Insured) (Pre-Refunded to 2/1/12 | 230,000 | 245,688 | ||
Chaska Elec. Rev. (Generating Facilities Proj.) | ||||
5.25% 10/1/20 | 2,000,000 | 2,049,960 | ||
5.25% 10/1/25 | 1,955,000 | 1,893,496 | ||
Duluth Econ. Dev. Auth. Health Care Facilities Rev. (Benedictine Health Sys. Saint Mary's) Series 2004: | ||||
5.25% 2/15/28 (Pre-Refunded to 2/15/14 @ 100) (c) | 2,350,000 | 2,666,498 | ||
5.25% 2/15/33 (Pre-Refunded to 2/15/14 @ 100) (c) | 1,035,000 | 1,174,394 | ||
Duluth Hsg. & Redev. Auth. Healthcare & Hsg. Rev. (Benedictine Health Ctr. Proj.) Series 2007: | ||||
5.5% 11/1/17 | 290,000 | 225,643 | ||
5.7% 11/1/22 | 385,000 | 271,567 | ||
5.875% 11/1/33 | 750,000 | 468,428 | ||
Elk River Independent School District #728: | ||||
Series 2004 A, 5% 2/1/17 (FGIC Insured) (Pre-Refunded to 8/1/14 @ 100) (c) | 2,000,000 | 2,184,040 | ||
Series 2006 A, 5% 2/1/19 (FSA Insured) | 3,500,000 | 3,753,680 | ||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Minnesota - continued | ||||
Hopkins Independent School District #270 Series 2002: | ||||
5% 2/1/16 (FGIC Insured) (Pre-Refunded to 2/1/12 @ 100) (c) | $ 1,350,000 | $ 1,442,084 | ||
5.125% 2/1/17 (FGIC Insured) (Pre-Refunded to 2/1/12 @ 100) (c) | 1,015,000 | 1,087,948 | ||
Jackson County Central Independent School District #2895 5% 2/1/21 (Pre-Refunded to 2/1/12 @ 100) (c) | 1,220,000 | 1,303,216 | ||
Lake Superior Independent School District #381 | ||||
5% 4/1/15 (Pre-Refunded to 4/1/13 @ 100) (c) | 1,970,000 | 2,128,802 | ||
5% 4/1/16 (Pre-Refunded to 4/1/13 @ 100) (c) | 2,065,000 | 2,231,460 | ||
5% 4/1/17 (Pre-Refunded to 4/1/13 @ 100) (c) | 2,165,000 | 2,339,521 | ||
5% 4/1/18 (Pre-Refunded to 4/1/13 @ 100) (c) | 1,260,000 | 1,361,569 | ||
Lakeville Independent School District #194 Series 2002 A, 5% 2/1/22 (FGIC Insured) (Pre-Refunded to 2/1/13 @ 100) (c) | 1,000,000 | 1,075,600 | ||
Mankato Independent School District #77 Series 2003 A, 5% 2/1/12 (FSA Insured) | 1,000,000 | 1,002,900 | ||
Maple Grove Health Care Sys. Rev. Series 2007: | ||||
5.25% 5/1/24 | 1,500,000 | 1,267,800 | ||
5.25% 5/1/25 | 2,000,000 | 1,666,460 | ||
Metropolitan Council Gen. Oblig. Rev. (Wastewtr. Proj.) Series 2008 C, 5% 3/1/21 | 5,000,000 | 5,254,100 | ||
Minneapolis & Saint Paul Hsg. & Redev. Auth. Health Care Sys. Rev. (HealthPartners Obligated Group Proj.) Series 2003: | ||||
5.875% 12/1/29 | 800,000 | 535,328 | ||
6% 12/1/19 | 2,815,000 | 2,191,421 | ||
Minneapolis & Saint Paul Metropolitan Arpts. Commission Arpt. Rev.: | ||||
Series 13, 5.25% 1/1/11 (b) | 2,840,000 | 2,868,230 | ||
Series 1999 A, 5.625% 1/1/13 (FGIC Insured) (b) | 1,000,000 | 1,008,670 | ||
Series 2000 B, 5.4% 1/1/09 (FGIC Insured) (b) | 1,375,000 | 1,375,000 | ||
Series 2001 C, 5.5% 1/1/16 (Pre-Refunded to 1/1/11 @ 100) (c) | 2,500,000 | 2,687,800 | ||
Series 2005 A, 5% 1/1/35 (AMBAC Insured) | 8,500,000 | 7,080,925 | ||
Series 2005 C, 5% 1/1/31 (FGIC Insured) | 2,090,000 | 1,770,857 | ||
Series 2007 A, 5% 1/1/21 | 5,000,000 | 4,885,450 | ||
Series 2007 B, 5% 1/1/18 (FGIC Insured) | 2,000,000 | 1,985,700 | ||
Series 2008 A, 5% 1/1/14 (b) | 3,000,000 | 2,950,590 | ||
Minneapolis Art Ctr. Facilities Rev. (Walker Art Ctr. Proj.) Series 2001, 5.125% 7/1/21 | 1,250,000 | 1,274,063 | ||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Minnesota - continued | ||||
Minneapolis Gen. Oblig. (Sports Arena Proj.) | $ 2,565,000 | $ 2,564,974 | ||
Minneapolis Health Care Sys. Rev. (Fairview Health Svcs. Proj.): | ||||
Series 2002 B, 5% 5/15/09 (MBIA Insured) | 3,180,000 | 3,217,238 | ||
Series 2005 D, 5% 11/15/34 (AMBAC Insured) | 5,120,000 | 3,947,162 | ||
Series 2008 B, 6.5% 11/15/38 (Assured Guaranty Corp. Insured) | 3,500,000 | 3,495,065 | ||
Minneapolis Spl. School District #1: | ||||
Series 2005 A, 5% 2/1/17 (FSA Insured) | 2,000,000 | 2,143,000 | ||
5% 2/1/15 (MBIA Insured) | 1,020,000 | 1,080,914 | ||
Minneapolis Spl. School District #1 Ctfs. of Prtn. 5.5% 2/1/21 (MBIA Insured) (Pre-Refunded to 2/1/09 @ 100) (c) | 1,305,000 | 1,308,550 | ||
Minnesota Agric. & Econ. Dev. Board Rev. (Health Care Sys. Proj.) Series 2000 A, 6.375% 11/15/29 | 90,000 | 83,219 | ||
Minnesota Gen. Oblig.: | ||||
Series 2008 A, 5% 6/1/21 | 3,300,000 | 3,505,854 | ||
5% 11/1/15 | 10,000,000 | 11,145,000 | ||
5% 8/1/16 | 3,500,000 | 3,735,200 | ||
5% 8/1/18 | 10,775,000 | 11,447,136 | ||
5% 6/1/21 | 8,585,000 | 9,023,350 | ||
5% 11/1/24 | 9,155,000 | 9,353,572 | ||
5% 11/1/26 | 4,270,000 | 4,347,159 | ||
5.25% 8/1/13 (Pre-Refunded to 8/1/09 @ 100) (c) | 545,000 | 558,592 | ||
5.5% 6/1/17 (Pre-Refunded to 6/1/10 @ 100) (c) | 2,150,000 | 2,278,807 | ||
Minnesota Higher Ed. Facilities Auth. Rev.: | ||||
(Hamline Univ. Proj.) Series 5B, 5.95% 10/1/19 | 600,000 | 522,558 | ||
(Macalester College Proj.) Series 6P: | ||||
5% 3/1/21 | 2,315,000 | 2,402,739 | ||
5% 3/1/22 | 2,535,000 | 2,594,471 | ||
(Saint Olaf College Proj.) Series 6O, 5% 10/1/15 | 1,000,000 | 1,068,830 | ||
(Univ. of Saint Thomas Proj.) Series 6I, 5% 4/1/23 | 1,000,000 | 956,400 | ||
Minnesota Muni. Pwr. Agcy. Elec. Rev.: | ||||
Series 2005, 5.25% 10/1/21 | 8,450,000 | 8,272,719 | ||
Series 2007, 5.25% 10/1/22 | 1,000,000 | 957,030 | ||
Minnesota Pub. Facilities Auth. Drinking Wtr. Rev. | 5,060,000 | 5,263,311 | ||
Minnesota Retirement Sys. Bldg. Rev.: | ||||
5.55% 6/1/14 | 590,000 | 611,736 | ||
5.6% 6/1/15 | 615,000 | 636,267 | ||
5.65% 6/1/16 | 625,000 | 645,300 | ||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Minnesota - continued | ||||
Minnesota Retirement Sys. Bldg. Rev.: - continued | ||||
5.7% 6/1/17 | $ 900,000 | $ 926,964 | ||
5.75% 6/1/18 | 975,000 | 1,001,774 | ||
5.75% 6/1/19 | 1,050,000 | 1,075,358 | ||
5.8% 6/1/20 | 1,000,000 | 1,020,980 | ||
5.875% 6/1/22 | 2,425,000 | 2,471,051 | ||
Minnesota State Colleges & Univs. Board of Trustees Rev. Series 2005 A, 5% 10/1/18 (MBIA Insured) | 1,465,000 | 1,573,937 | ||
Mounds View Independent School District #621 | 3,000,000 | 3,179,700 | ||
North Saint Paul-Maplewood-Oakdale Independent School District 622: | ||||
Series 2006 B, 5% 2/1/17 (FSA Insured) | 1,525,000 | 1,697,035 | ||
Series B, 5% 8/1/17 (FSA Insured) | 1,575,000 | 1,751,495 | ||
Northeast Metropolitan Intermediate School District #916 Ctfs. of Prtn. Series 2004, 5% 1/1/13 | 1,000,000 | 1,072,670 | ||
Northern Muni. Pwr. Agcy. Elec. Sys. Rev.: | ||||
Series 1997: | ||||
5.25% 1/1/13 (FSA Insured) | 1,000,000 | 1,020,190 | ||
5.375% 1/1/14 (FSA Insured) | 8,400,000 | 8,569,344 | ||
Series A, 5% 1/1/18 (Assured Guaranty Corp. Insured) | 3,000,000 | 3,168,870 | ||
Northfield Hosp. Rev. Series 2006: | ||||
5.375% 11/1/26 | 1,000,000 | 638,250 | ||
5.5% 11/1/16 | 1,025,000 | 822,050 | ||
Osseo Independent School District #279: | ||||
(School Bldg. Proj.) Series 2000 A, 5.25% 2/1/21 (Pre-Refunded to 8/1/10 @ 100) (c) | 2,065,000 | 2,158,008 | ||
Series 2001 B, 5% 2/1/13 | 2,000,000 | 2,051,340 | ||
Series A, 5.25% 2/1/14 (FSA Insured) | 2,100,000 | 2,257,332 | ||
Owatonna Pub. Utils. Commission Pub. Utils. Rev. | ||||
5% 1/1/11 (AMBAC Insured) | 720,000 | 759,686 | ||
5% 1/1/13 (AMBAC Insured) | 800,000 | 873,840 | ||
5% 1/1/15 (AMBAC Insured) | 715,000 | 767,510 | ||
Prior Lake Independent School District #719 | 900,000 | 930,141 | ||
Ramsey County Gen. Oblig. Series 2003 A, 5% 2/1/18 | 1,530,000 | 1,620,469 | ||
Robbinsdale Independent School District #281 | ||||
5% 2/1/16 (FSA Insured) | 2,410,000 | 2,545,924 | ||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Minnesota - continued | ||||
Robbinsdale Independent School District #281 | ||||
5% 2/1/16 (Pre-Refunded to 2/1/12 @ 100) (c) | $ 1,015,000 | $ 1,084,233 | ||
5% 2/1/17 (FSA Insured) | 2,535,000 | 2,659,773 | ||
5% 2/1/18 (FSA Insured) | 2,520,000 | 2,626,798 | ||
Rochester Elec. Util. Rev. Series 2007 C: | ||||
4.5% 12/1/23 (MBIA Insured) | 1,010,000 | 983,205 | ||
5% 12/1/30 | 2,000,000 | 1,922,680 | ||
Rochester Health Care Facilities Rev.: | ||||
(Mayo Foundation Proj.) Series 2006, 5% 11/15/36 | 2,000,000 | 1,580,020 | ||
(Mayo Foundation/Mayo Med. Ctr. Proj.) Series I, 5.9% 11/15/09 | 1,000,000 | 1,039,120 | ||
Roseville Independent School District #623 (School District Cr. Enhancement Prog.) Series 2001 A, 5% 2/1/15 (FSA Insured) | 400,000 | 416,908 | ||
Saint Cloud Health Care Rev. (Saint Cloud Hosp. Group Oblig. Proj.) Series 2000 A: | ||||
5.75% 5/1/26 (FSA Insured) | 7,020,000 | 6,898,554 | ||
5.875% 5/1/30 (FSA Insured) | 4,000,000 | 3,879,120 | ||
6.25% 5/1/20 (FSA Insured) | 2,760,000 | 2,827,730 | ||
Saint Cloud Hosp. Facilities Rev. (Saint Cloud Hosp. Proj.) Series B, 5% 7/1/20 (AMBAC Insured) | 1,000,000 | 871,820 | ||
Saint Louis Park Health Care Facilities Rev. (Park Nicollet Health Svcs. Proj.): | ||||
Series 2003 B, 5.5% 7/1/25 (Pre-Refunded to 7/1/14 @ 100) (c) | 2,000,000 | 2,258,740 | ||
Series 2008 C, 5.75% 7/1/30 | 3,355,000 | 2,805,082 | ||
Saint Michael Independent School District #885 | 5,500,000 | 5,875,155 | ||
Saint Paul Hsg. & Redev. Auth. Health Care Facilities Rev.: | ||||
(HealthPartners Oblig. Group Proj.) Series 2006: | ||||
5% 5/15/16 | 345,000 | 272,329 | ||
5.25% 5/15/17 | 325,000 | 253,299 | ||
5.25% 5/15/36 | 1,000,000 | 575,480 | ||
(Regions Hosp. Proj.) 5.3% 5/15/28 | 1,250,000 | 778,025 | ||
Series 2007 A, 5% 11/15/16 (MBIA Insured) | 2,000,000 | 1,935,960 | ||
Saint Paul Independent School District #625: | ||||
Series 2000 A, 5.5% 2/1/21 (Pre-Refunded to 2/1/10 @ 100) (c) | 1,060,000 | 1,095,499 | ||
Series 2001 C, 5% 2/1/21 | 1,000,000 | 1,024,810 | ||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Minnesota - continued | ||||
Saint Paul Independent School District #625: - continued | ||||
Series 2002 A: | ||||
5% 2/1/17 (FSA Insured) | $ 220,000 | $ 233,268 | ||
5% 2/1/18 (FSA Insured) | 395,000 | 415,291 | ||
Series 2004 B, 5% 2/1/17 (FSA Insured) | 1,300,000 | 1,413,178 | ||
Series 2004 C, 5% 2/1/16 (FSA Insured) | 1,025,000 | 1,128,402 | ||
Saint Paul Port Auth. Series 2007-2, 5% 3/1/37 | 1,500,000 | 1,434,465 | ||
Saint Paul Port Auth. Lease Rev.: | ||||
(HealthEast Midway Campus Proj.) Series 2003 A, 5.75% 5/1/25 | 2,000,000 | 1,207,220 | ||
(Regions Hosp. Package Proj.): | ||||
Series 1: | ||||
5% 8/1/12 | 410,000 | 364,269 | ||
5% 8/1/15 | 480,000 | 383,213 | ||
Series 2007-1: | ||||
5% 8/1/13 | 430,000 | 368,841 | ||
5% 8/1/14 | 455,000 | 376,599 | ||
5% 8/1/16 | 500,000 | 384,505 | ||
Series 2003 11, 5.25% 12/1/20 | 3,000,000 | 3,143,550 | ||
Series 2003 12: | ||||
5.125% 12/1/27 | 5,000,000 | 5,028,800 | ||
5.25% 12/1/18 | 3,685,000 | 3,945,640 | ||
Shakopee Health Care Facilities Rev. (Saint Francis Reg'l. Med. Ctr. Proj.) Series 2004, 5.25% 9/1/34 | 2,520,000 | 1,459,282 | ||
South Washington County Independent School District #833 Series 2000 A: | ||||
5.4% 2/1/15 (Pre-Refunded to 2/1/10 @ 100) (c) | 3,925,000 | 4,052,327 | ||
5.5% 2/1/19 (Pre-Refunded to 2/1/10 @ 100) (c) | 1,000,000 | 1,033,490 | ||
Southern Minnesota Muni. Pwr. Agcy. Pwr. Supply Sys. Rev.: | ||||
(Cap. Appreciation) Series 1994 A: | ||||
0% 1/1/19 (MBIA Insured) | 5,210,000 | 3,383,426 | ||
0% 1/1/21 (MBIA Insured) | 14,670,000 | 8,211,679 | ||
Series 2002 A: | ||||
5% 1/1/12 (AMBAC Insured) | 2,660,000 | 2,787,574 | ||
5.25% 1/1/15 (AMBAC Insured) | 1,000,000 | 1,070,900 | ||
5.25% 1/1/17 | 2,000,000 | 2,125,880 | ||
Series A, 5.25% 1/1/16 (AMBAC Insured) | 4,450,000 | 4,752,556 | ||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Minnesota - continued | ||||
Spring Lake Park Independent School District #16: | ||||
Series 2004 B: | ||||
5% 2/1/15 (MBIA Insured) | $ 2,085,000 | $ 2,241,938 | ||
5% 2/1/16 (MBIA Insured) | 2,230,000 | 2,381,083 | ||
5% 2/1/17 (MBIA Insured) | 2,400,000 | 2,540,064 | ||
Series 2006 A, 5% 2/1/29 (FSA Insured) | 4,000,000 | 4,028,280 | ||
Suburban Hennepin Reg'l. Park District Series 2001, 5% 2/1/12 | 1,000,000 | 1,001,870 | ||
Univ. of Minnesota Spl. Purp. Rev. (State Supported Stadium Proj.) Series 2006: | ||||
5% 8/1/20 | 6,625,000 | 6,926,106 | ||
5% 8/1/29 | 4,000,000 | 3,954,280 | ||
Virginia Hsg. & Redev. Auth. Health Care Facility Lease Rev. Series 2005, 5.25% 10/1/25 | 440,000 | 283,395 | ||
Washington County Gen. Oblig. 5.5% 2/1/21 | 1,450,000 | 1,498,561 | ||
Watertown Independent School District #111 | 1,495,000 | 1,542,212 | ||
Wayzata Independent School District #284 Series 2004 B, 5% 2/1/16 (FSA Insured) | 1,005,000 | 1,100,565 | ||
Western Minnesota Muni. Pwr. Agcy. Pwr. Supply Rev.: | ||||
Series 1977 A, 6.375% 1/1/16 (Escrowed to Maturity) (c) | 1,120,000 | 1,252,026 | ||
Series 2003 A, 5% 1/1/30 (MBIA Insured) | 3,000,000 | 2,760,330 | ||
Series 2006 A, 5% 1/1/16 (FSA Insured) | 1,000,000 | 1,119,850 | ||
| 353,772,331 | |||
Puerto Rico - 0.8% | ||||
Puerto Rico Commonwealth Hwy. & Trans. Auth. Hwy. Rev. Series 1996 Z, 6.25% 7/1/15 (MBIA Insured) | 1,000,000 | 995,780 | ||
Puerto Rico Govt. Dev. Bank Series 2006 B, 5% 12/1/12 | 1,000,000 | 959,430 | ||
Puerto Rico Pub. Bldg. Auth. Rev. Series M2, 5.75%, tender 7/1/17 (a) | 600,000 | 540,762 | ||
Puerto Rico Sales Tax Fing. Corp. Sales Tax Rev. | 3,000,000 | 285,240 | ||
| 2,781,212 | |||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Virgin Islands - 0.5% | ||||
Virgin Islands Pub. Fin. Auth. Refinery Facilities Rev. Series 2007, 4.7% 7/1/22 (b) | $ 1,300,000 | $ 782,249 | ||
Virgin Islands Wtr. & Pwr. Auth. Elec. Sys. Rev. | 1,250,000 | 974,913 | ||
| 1,757,162 |
TOTAL INVESTMENT PORTFOLIO - 96.7% (Cost $370,846,170) | 359,864,148 | ||
NET OTHER ASSETS - 3.3% | 12,411,782 | ||
NET ASSETS - 100% | $ 372,275,930 |
Legend |
(a) The coupon rate shown on floating or adjustable rate securities represents the rate at period end. |
(b) Private activity obligations whose interest is subject to the federal alternative minimum tax for individuals. |
(c) Security collateralized by an amount sufficient to pay interest and principal. |
Other Information |
The following is a summary of the inputs used, as of December 31, 2008, involving the Fund's assets carried at value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to the Security Valuation section in the accompanying Notes to Financial Statements. |
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
Investments in Securities | $ 359,864,148 | $ - | $ 359,864,148 | $ - |
The distribution of municipal securities by revenue source, as a percentage of total net assets, is as follows: (unaudited) |
General Obligations | 39.9% |
Electric Utilities | 15.4% |
Escrowed/Pre-Refunded | 15.2% |
Health Care | 12.6% |
Transportation | 5.7% |
Others* (individually less than 5%) | 11.2% |
| 100.0% |
* Includes net other assets |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Statements
Statement of Assets and Liabilities
| December 31, 2008 | |
|
|
|
Assets | ||
Investment in securities, at value - Unaffiliated issuers (cost $370,846,170) |
| $ 359,864,148 |
Cash | 7,465,717 | |
Receivable for fund shares sold | 156,172 | |
Interest receivable | 5,764,782 | |
Prepaid expenses | 3,715 | |
Other receivables | 3,222 | |
Total assets | 373,257,756 | |
|
|
|
Liabilities | ||
Payable for fund shares redeemed | $ 404,029 | |
Distributions payable | 327,566 | |
Accrued management fee | 112,550 | |
Transfer agent fee payable | 69,769 | |
Other affiliated payables | 23,859 | |
Other payables and accrued expenses | 44,053 | |
Total liabilities | 981,826 | |
|
|
|
Net Assets | $ 372,275,930 | |
Net Assets consist of: |
| |
Paid in capital | $ 383,252,452 | |
Undistributed net investment income | 72,741 | |
Accumulated undistributed net realized gain (loss) on investments | (67,241) | |
Net unrealized appreciation (depreciation) on investments | (10,982,022) | |
Net Assets, for 34,660,796 shares outstanding | $ 372,275,930 | |
Net Asset Value, offering price and redemption price per share ($372,275,930 ÷ 34,660,796 shares) | $ 10.74 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Statement of Operations
| Year ended December 31, 2008 | |
|
|
|
Investment Income |
|
|
Interest |
| $ 16,195,859 |
|
|
|
Expenses | ||
Management fee | $ 1,355,833 | |
Transfer agent fees | 276,842 | |
Accounting fees and expenses | 95,756 | |
Custodian fees and expenses | 5,515 | |
Independent trustees' compensation | 1,522 | |
Registration fees | 42,838 | |
Audit | 47,669 | |
Legal | 7,629 | |
Miscellaneous | 1,564 | |
Total expenses before reductions | 1,835,168 | |
Expense reductions | (93,616) | 1,741,552 |
Net investment income | 14,454,307 | |
Realized and Unrealized Gain (Loss) Net realized gain (loss) on: | ||
Investment securities: |
|
|
Unaffiliated issuers |
| 81,569 |
Change in net unrealized appreciation (depreciation) on investment securities | (16,167,512) | |
Net gain (loss) | (16,085,943) | |
Net increase (decrease) in net assets resulting from operations | $ (1,631,636) |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Statements - continued
Statement of Changes in Net Assets
| Year ended | Year ended |
Increase (Decrease) in Net Assets |
|
|
Operations |
|
|
Net investment income | $ 14,454,307 | $ 13,482,314 |
Net realized gain (loss) | 81,569 | 2,199,967 |
Change in net unrealized appreciation (depreciation) | (16,167,512) | (4,844,039) |
Net increase (decrease) in net assets resulting | (1,631,636) | 10,838,242 |
Distributions to shareholders from net investment income | (14,450,559) | (13,466,081) |
Distributions to shareholders from net realized gain | (630,935) | (1,552,055) |
Total distributions | (15,081,494) | (15,018,136) |
Share transactions | 96,453,863 | 62,036,921 |
Reinvestment of distributions | 10,962,166 | 10,831,672 |
Cost of shares redeemed | (68,316,075) | (54,759,035) |
Net increase (decrease) in net assets resulting from share transactions | 39,099,954 | 18,109,558 |
Redemption fees | 2,985 | 1,002 |
Total increase (decrease) in net assets | 22,389,809 | 13,930,666 |
|
|
|
Net Assets | ||
Beginning of period | 349,886,121 | 335,955,455 |
End of period (including undistributed net investment income of $72,741 and undistributed net investment income of $202,045, respectively) | $ 372,275,930 | $ 349,886,121 |
Other Information Shares | ||
Sold | 8,782,972 | 5,515,057 |
Issued in reinvestment of distributions | 999,670 | 963,195 |
Redeemed | (6,304,929) | (4,869,940) |
Net increase (decrease) | 3,477,713 | 1,608,312 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Highlights
Years ended December 31, | 2008 | 2007 | 2006 | 2005 | 2004 |
Selected Per-Share Data |
|
|
|
|
|
Net asset value, beginning of period | $ 11.22 | $ 11.36 | $ 11.42 | $ 11.62 | $ 11.69 |
Income from Investment Operations |
|
|
|
|
|
Net investment income B | .430 | .444 | .459 | .460 | .458 |
Net realized and unrealized gain (loss) | (.460) | (.090) | .004 | (.162) | (.012) |
Total from investment operations | (.030) | .354 | .463 | .298 | .446 |
Distributions from net investment income | (.430) | (.444) | (.458) | (.460) | (.459) |
Distributions from net realized gain | (.020) | (.050) | (.065) | (.038) | (.057) |
Total distributions | (.450) | (.494) | (.523) | (.498) | (.516) |
Redemption fees added to paid in capital B, D | - | - | - | - | - |
Net asset value, end of period | $ 10.74 | $ 11.22 | $ 11.36 | $ 11.42 | $ 11.62 |
Total Return A | (.28)% | 3.19% | 4.15% | 2.61% | 3.92% |
Ratios to Average Net Assets C |
|
|
|
|
|
Expenses before reductions | .50% | .50% | .50% | .51% | .51% |
Expenses net of fee waivers, | .50% | .50% | .50% | .51% | .51% |
Expenses net of all reductions | .47% | .44% | .47% | .48% | .49% |
Net investment income | 3.91% | 3.95% | 4.04% | 3.99% | 3.95% |
Supplemental Data |
|
|
|
|
|
Net assets, end of period (000 omitted) | $ 372,276 | $ 349,886 | $ 335,955 | $ 343,016 | $ 355,461 |
Portfolio turnover rate | 9% | 11% | 15% | 15% | 12% |
A Total returns would have been lower had certain expenses not been reduced during the periods shown.
B Calculated based on average shares outstanding during the period.
C Expense ratios reflect operating expenses of the Fund. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or expense offset arrangements and do not represent the amount paid by the Fund during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the Fund.
D Amount represents less than $.001 per share.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Notes to Financial Statements
For the period ended December 31, 2008
1. Organization.
Fidelity Minnesota Municipal Income Fund (the Fund) is a non diversified fund of Fidelity Municipal Trust (the trust) and is authorized to issue an unlimited number of shares. The trust is registered under the Investment Company Act of 1940, as amended (the 1940 Act), as an open-end management investment company organized as a Massachusetts business trust. The Fund may be affected by economic and political developments in the state of Minnesota.
2. Significant Accounting Policies.
The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America, which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. The following summarizes the significant accounting policies of the Fund:
Security Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. Wherever possible, the Fund uses independent pricing services approved by the Board of Trustees to value its investments.
Debt securities, including restricted securities, are valued by independent pricing services or by dealers who make markets in such securities. Pricing services consider yield or price of bonds of comparable quality, coupon, maturity and type as well as dealer supplied prices. Investments in open-end mutual funds are valued at their closing net asset value each business day. Short-term securities with remaining maturities of sixty days or less for which quotations are not readily available are valued at amortized cost, which approximates value. Actual prices received at disposition may differ.
When current market prices or quotations are not readily available or reliable, valuations may be determined in good faith in accordance with procedures adopted by the Board of Trustees. Factors used in determining value may include significant market or security specific events, changes in interest rates and credit quality, and developments in foreign markets which are monitored by evaluating the performance of ADRs, futures contracts and exchange-traded funds. The frequency with which these procedures are used cannot be predicted and may be utilized to a significant extent. The value of securities used for net asset value (NAV) calculation under these procedures may differ from published prices for the same securities.
Annual Report
2. Significant Accounting Policies - continued
Security Valuation - continued
The Fund is subject to the provisions of Statement of Financial Accounting Standards No. 157, "Fair Value Measurements" (SFAS 157), effective with the beginning of the Fund's fiscal year. SFAS 157 establishes a hierarchy that prioritizes the inputs to valuation techniques giving the highest priority to readily available unadjusted quoted prices in active markets for identical assets (level 1 measurements) and the lowest priority to unobservable inputs (level 3 measurements) when market prices are not readily available or reliable. The three levels of the hierarchy under SFAS 157 are described below:
Level 1 | Quoted prices in active markets for identical securities. |
Level 2 | Prices determined using other significant observable inputs. Observable inputs are inputs that other market participants may use in pricing a security. These may include quoted prices for similar securities, interest rates, prepayment speeds, credit risk and others. |
Level 3 | Prices determined using significant unobservable inputs. In situations where quoted prices or observable inputs are unavailable or deemed less relevant (for example, when there is little or no market activity for an investment at the end of the period), unobservable inputs may be used. Unobservable inputs reflect the Fund's own assumptions about the factors market participants would use in pricing an investment, and would be based on the best information available. |
Changes in valuation techniques may result in transfers in or out of an investment's assigned level within the hierarchy.
The aggregate value by input level, as of December 31, 2008, for the Fund's investments is included at the end of the Fund's Schedule of Investments.
Investment Transactions and Income. For financial reporting purposes, the Fund's investment holdings and NAV include trades executed through the end of the last business day of the period. The NAV per share for processing shareholder transactions is calculated as of the close of business of the New York Stock Exchange (NYSE), normally 4:00 p.m. Eastern time and includes trades executed through the end of the prior business day. Gains and losses on securities sold are determined on the basis of identified cost. Interest income is accrued as earned. Interest income includes coupon interest and amortization of premium and accretion of discount on debt securities.
Expenses. Most expenses of the trust can be directly attributed to a fund. Expenses which cannot be directly attributed are apportioned among each Fund in the trust. Expense estimates are accrued in the period to which they relate and adjustments are made when actual amounts are known.
Annual Report
Notes to Financial Statements - continued
2. Significant Accounting Policies - continued
Income Tax Information and Distributions to Shareholders. Each year, the Fund intends to qualify as a regulated investment company by distributing substantially all of its taxable income and realized gains under Subchapter M of the Internal Revenue Code and filing its U.S. federal tax return. As a result, no provision for income taxes is required. The Fund is subject to the provisions of FASB Interpretation No. 48, Accounting for Uncertainties in Income Taxes (FIN 48). FIN 48 sets forth a minimum threshold for financial statement recognition of the benefit of a tax position taken or expected to be taken in a tax return. There are no unrecognized tax benefits in the accompanying financial statements. A Fund's federal tax return is subject to examination by the Internal Revenue Service (IRS) for a period of three years.
Dividends are declared daily and paid monthly from net investment income. Distributions from realized gains, if any, are recorded on the ex-dividend date. Income and capital gain distributions are determined in accordance with income tax regulations, which may differ from generally accepted accounting principles.
Capital accounts within the financial statements are adjusted for permanent book-tax differences. These adjustments have no impact on net assets or the results of operations. Temporary book-tax differences will reverse in a subsequent period.
Book-tax differences are primarily due to market discount, deferred trustees compensation, and losses deferred due to futures.
The Fund purchases municipal securities whose interest, in the opinion of the issuer, is free from federal income tax. There is no assurance that the IRS will agree with this opinion. In the event the IRS determines that the issuer does not comply with relevant tax requirements, interest payments from a security could become federally taxable, possibly retroactively to the date the security was issued.
The tax-basis components of distributable earnings and the federal tax cost as of period end were as follows:
Unrealized appreciation | $ 6,246,724 |
Unrealized depreciation | (17,270,823) |
Net unrealized appreciation (depreciation) | (11,024,099) |
Undistributed ordinary income | 47,839 |
|
|
Cost for federal income tax purposes | $ 370,888,247 |
Annual Report
2. Significant Accounting Policies - continued
Income Tax Information and Distributions to Shareholders - continued
The tax character of distributions paid was as follows:
| December 31, 2008 | December 31, 2007 |
Tax-exempt Income | $ 14,450,559 | $ 13,466,081 |
Long-term Capital Gains | 630,935 | 1,552,055 |
Total | $ 15,081,494 | $ 15,018,136 |
Short-Term Trading (Redemption) Fees. Shares held in the Fund less than 30 days are subject to a redemption fee equal to .50% of the proceeds of the redeemed shares. All redemption fees, including any estimated redemption fees paid by Fidelity Management & Research Company (FMR), are retained by the Fund and accounted for as an addition to paid in capital.
3. Purchases and Sales of Investments.
Purchases and sales of securities, other than short-term securities, aggregated $63,679,146 and $31,081,536, respectively.
4. Fees and Other Transactions with Affiliates.
Management Fee. FMR and its affiliates provide the Fund with investment management related services for which the Fund pays a monthly management fee. The management fee is the sum of an individual fund fee rate that is based on an annual rate of .25% of the Fund's average net assets and a group fee rate that averaged .12% during the period. The group fee rate is based upon the average net assets of all the mutual funds advised by FMR. The group fee rate decreases as assets under management increase and increases as assets under management decrease. For the period, the total annual management fee rate was .37% of the Fund's average net assets.
Transfer Agent and Accounting Fees. Citibank, N.A. (Citibank) is the custodian, transfer agent and shareholder servicing agent for the Fund. Citibank has entered into a sub-arrangement with Fidelity Investments Institutional Operations Company, Inc. (FIIOC), an affiliate of FMR, under which FIIOC performs the activities associated with the Fund's transfer, dividend disbursing and shareholder servicing agent functions. The Fund pays account fees and asset-based fees that vary according to account size and type of account. FIIOC pays for typesetting, printing and mailing of shareholder reports, except proxy statements. For the period, the transfer agent fees were equivalent to an annual rate of .07% of average net assets.
Annual Report
Notes to Financial Statements - continued
4. Fees and Other Transactions with Affiliates - continued
Transfer Agent and Accounting Fees - continued
Citibank also has a sub-arrangement with Fidelity Service Company, Inc. (FSC), an affiliate of FMR, under which FSC maintains the Fund's accounting records. The fee is based on the level of average net assets for the month.
5. Committed Line of Credit.
The Fund participates with other funds managed by FMR in a $4.2 billion credit facility (the "line of credit") to be utilized for temporary or emergency purposes to fund shareholder redemptions or for other short-term liquidity purposes. The Fund has agreed to pay commitment fees on its pro rata portion of the line of credit, which amounted to $716 and is reflected in Miscellaneous Expense on the Statement of Operations. During the period, there were no borrowings on this line of credit.
6. Expense Reductions.
Through arrangements with the Fund's custodian and transfer agent, credits realized as a result of uninvested cash balances were used to reduce the Fund's expenses. During the period, these credits reduced the Fund's custody and transfer agent expenses by $5,469 and $88,147 respectively.
7. Other.
The Fund's organizational documents provide former and current trustees and officers with a limited indemnification against liabilities arising in connection with the performance of their duties to the Fund. In the normal course of business, the Fund may also enter into contracts that provide general indemnifications. The Fund's maximum exposure under these arrangements is unknown as this would be dependent on future claims that may be made against the Fund. The risk of material loss from such claims is considered remote.
Annual Report
Report of Independent Registered Public Accounting Firm
To the Trustees of Fidelity Municipal Trust and the Shareholders of Fidelity Minnesota Municipal Income Fund:
In our opinion, the accompanying statement of assets and liabilities, including the schedule of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Fidelity Minnesota Municipal Income Fund (a fund of Fidelity Municipal Trust) at December 31, 2008, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and the financial highlights for each of the five years in the period then ended, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as "financial statements") are the responsibility of the Fidelity Minnesota Municipal Income Fund's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at December 31, 2008 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion.
/s/ PricewaterhouseCoopers LLP
PricewaterhouseCoopers LLP
Boston, Massachusetts
February 20, 2009
Annual Report
Trustees and Officers
The Trustees, Member of the Advisory Board, and executive officers of the trust and fund, as applicable, are listed below. The Board of Trustees governs the fund and is responsible for protecting the interests of shareholders. The Trustees are experienced executives who meet periodically throughout the year to oversee the fund's activities, review contractual arrangements with companies that provide services to the fund, and review the fund's performance. Except for Edward C. Johnson 3d and James C. Curvey, each of the Trustees oversees 158 funds advised by FMR or an affiliate. Messrs. Johnson and Curvey oversee 380 funds advised by FMR or an affiliate.
The Trustees hold office without limit in time except that (a) any Trustee may resign; (b) any Trustee may be removed by written instrument, signed by at least two-thirds of the number of Trustees prior to such removal; (c) any Trustee who requests to be retired or who has become incapacitated by illness or injury may be retired by written instrument signed by a majority of the other Trustees; and (d) any Trustee may be removed at any special meeting of shareholders by a two-thirds vote of the outstanding voting securities of the trust. Each Trustee who is not an interested person (as defined in the 1940 Act) (Independent Trustee), shall retire not later than the last day of the calendar year in which his or her 72nd birthday occurs. The Independent Trustees may waive this mandatory retirement age policy with respect to individual Trustees. The executive officers and Advisory Board Member hold office without limit in time, except that any officer and Advisory Board Member may resign or may be removed by a vote of a majority of the Trustees at any regular meeting or any special meeting of the Trustees. Except as indicated, each individual has held the office shown or other offices in the same company for the past five years.
The fund's Statement of Additional Information (SAI) includes more information about the Trustees. To request a free copy, call Fidelity at 1-800-544-8544.
Interested Trustees*:
Correspondence intended for each Trustee who is an interested person may be sent to Fidelity Investments, 82 Devonshire Street, Boston, Massachusetts 02109.
Name, Age; Principal Occupation | |
Edward C. Johnson 3d (78) | |
| Year of Election or Appointment: 1984 Mr. Johnson is Chairman of the Board of Trustees. Mr. Johnson serves as Chief Executive Officer, Chairman, and a Director of FMR LLC; Chairman and a Director of FMR; Chairman and a Director of Fidelity Research & Analysis Company (FRAC); Chairman and a Director of Fidelity Investments Money Management, Inc.; and Chairman and a Director of FMR Co., Inc. In addition, Mr. Johnson serves as Chairman and Director of FIL Limited. Previously, Mr. Johnson served as President of FMR LLC (2006-2007). Mr. Edward C. Johnson 3d and Mr. Arthur E. Johnson are not related. |
James C. Curvey (73) | |
| Year of Election or Appointment: 2007 Mr. Curvey also serves as Trustee (2007-present) of other investment companies advised by FMR. Mr. Curvey is a Director of FMR and FMR Co., Inc. (2007-present). Mr. Curvey is also Vice Chairman (2006-present) and Director of FMR LLC. In addition, Mr. Curvey serves as an Overseer for the Boston Symphony Orchestra and a member of the Trustees of Villanova University. |
* Trustees have been determined to be "Interested Trustees" by virtue of, among other things, their affiliation with the trust or various entities under common control with FMR. FMR Corp. merged with and into FMR LLC on October 1, 2007. Any references to FMR LLC for prior periods are deemed to be references to the prior entity.
Independent Trustees:
Correspondence intended for each Independent Trustee (that is, the Trustees other than the Interested Trustees) may be sent to Fidelity Investments, P.O. Box 55235, Boston, Massachusetts 02205-5235.
Name, Age; Principal Occupation | |
Albert R. Gamper, Jr. (66) | |
| Year of Election or Appointment: 2006 Prior to his retirement in December 2004, Mr. Gamper served as Chairman of the Board of CIT Group Inc. (commercial finance). During his tenure with CIT Group Inc. Mr. Gamper served in numerous senior management positions, including Chairman (1987-1989; 1999-2001; 2002-2004), Chief Executive Officer (1987-2004), and President (1989-2002). He currently serves as a member of the Board of Directors of Public Service Enterprise Group (utilities), a member of the Board of Governors, Rutgers University (2004-present), and Chairman of the Board of Saint Barnabas Health Care System. Previously, Mr. Gamper served as Chairman of the Board of Governors, Rutgers University (2004-2007). |
Arthur E. Johnson (61) | |
| Year of Election or Appointment: 2008 Mr. Johnson serves as Senior Vice President of Corporate Strategic Development of Lockheed Martin Corporation (defense contractor). In addition, Mr. Johnson serves as a member of the Board of Directors of AGL Resources, Inc. (holding company), and IKON Office Solutions, Inc. (document management systems and services). Mr. Arthur E. Johnson and Mr. Edward C. Johnson 3d are not related. |
James H. Keyes (68) | |
| Year of Election or Appointment: 2007 Prior to his retirement in 2003, Mr. Keyes was Chairman, President, and Chief Executive Officer of Johnson Controls, Inc. (automotive supplier, 1993-2003). He currently serves as a member of the boards of Navistar International Corporation (manufacture and sale of trucks, buses, and diesel engines) and Pitney Bowes, Inc. (integrated mail, messaging, and document management solutions). Previously, Mr. Keyes served as a member of the Board of LSI Logic Corporation (semiconductor technologies, 1984-2008). |
Marie L. Knowles (62) | |
| Year of Election or Appointment: 2001 Prior to Ms. Knowles' retirement in June 2000, she served as Executive Vice President and Chief Financial Officer of Atlantic Richfield Company (ARCO) (diversified energy, 1996-2000). From 1993 to 1996, she was a Senior Vice President of ARCO and President of ARCO Transportation Company. She served as a Director of ARCO from 1996 to 1998. She currently serves as a Director of McKesson Corporation (healthcare service). Ms. Knowles is a Trustee of the Brookings Institution and the Catalina Island Conservancy and also serves as a member of the Advisory Board for the School of Engineering of the University of Southern California. Previously, Ms. Knowles served as a Director of Phelps Dodge Corporation (copper mining and manufacturing, 1994-2007). |
Kenneth L. Wolfe (69) | |
| Year of Election or Appointment: 2005 Mr. Wolfe currently serves as a member of the board of Revlon Inc. (2004-present). Previously, Mr. Wolfe served as Chairman and a Director (2007-2009) and Chairman and Chief Executive Officer of Hershey Foods Corporation, and as a member of the boards of Adelphia Communications Corporation (2003-2006) and Bausch & Lomb, Inc. (1993-2007). |
Annual Report
Advisory Board Member and Executive Officers**:
Correspondence intended for Mr. Kenneally may be sent to Fidelity Investments, P.O. Box 55235, Boston, Massachusetts 02205-5235. Correspondence intended for each executive officer may be sent to Fidelity Investments, 82 Devonshire Street, Boston, Massachusetts 02109.
Name, Age; Principal Occupation | |
Michael E. Kenneally (54) | |
| Year of Election or Appointment:2008 Member of the Advisory Board. Mr. Kenneally also serves as Trustee (2009-present) or Member of the Advisory Board of other Fidelity Fixed Income and Asset Allocation Funds. Previously, Mr. Kenneally served as Chairman and Global Chief Executive Officer of Credit Suisse Asset Management (2003-2005). Mr. Kenneally was a Director of The Credit Suisse Funds (U.S. Mutual Fund, 2004-2008) and was awarded the Chartered Financial Analyst (CFA) designation in 1991. |
John R. Hebble (50) | |
| Year of Election or Appointment: 2008 President and Treasurer of Fidelity's Fixed Income and Asset Allocation Funds. Mr. Hebble is an employee of Fidelity Investments (2003-present). Before joining Fidelity Investments, Mr. Hebble worked at Deutsche Asset Management where he served as Director of Fund Accounting (2002-2003) and Assistant Treasurer of the Scudder Funds. |
Boyce I. Greer (52) | |
| Year of Election or Appointment: 2005 or 2006 Vice President of Fidelity's Fixed Income Funds (2006) and Asset Allocation Funds (2005). Mr. Greer is also a Trustee of other investment companies advised by FMR (2003-present). Mr. Greer is President and a Director of Fidelity Investments Money Management, Inc. (2007-present), and an Executive Vice President of FMR and FMR Co., Inc. (2005-present). Previously, Mr. Greer served as a Director and Managing Director of Strategic Advisers, Inc. (2002-2005). |
Scott C. Goebel (40) | |
| Year of Election or Appointment: 2008 Secretary and Chief Legal Officer (CLO) of the Fidelity funds. Mr. Goebel also serves as General Counsel, Secretary, and Senior Vice President of FMR (2008-present); Deputy General Counsel of FMR LLC; Chief Legal Secretary of Fidelity Management & Research (Hong Kong) Limited (2008-present) and Assistant Secretary of Fidelity Management & Research (Japan) Inc. (2008-present). Previously, Mr. Goebel served as Assistant Secretary of the Funds (2007-2008) and as Vice President and Secretary of Fidelity Distributors Corporation (FDC) (2005-2007). |
Nancy D. Prior (41) | |
| Year of Election or Appointment: 2008 Assistant Secretary of Fidelity's Fixed Income and Asset Allocation Funds. Ms. Prior is an employee of Fidelity Investments (2002-present). |
Holly C. Laurent (54) | |
| Year of Election or Appointment: 2008 Anti-Money Laundering (AML) Officer of the Fidelity funds. Ms. Laurent is an employee of Fidelity Investments. Previously, Ms. Laurent was Senior Vice President and Head of Legal for Fidelity Business Services India Pvt. Ltd. (2006-2008), Senior Vice President, Deputy General Counsel and Group Head for FMR LLC (2005-2006). |
Christine Reynolds (50) | |
| Year of Election or Appointment: 2008 Chief Financial Officer of the Fidelity funds. Ms. Reynolds became President of Fidelity Pricing and Cash Management Services (FPCMS) in August 2008. She served as Chief Operating Officer of FPCMS from 2007 through July 2008. Previously, Ms. Reynolds served as President, Treasurer, and Anti-Money Laundering officer of the Fidelity funds (2004-2007). Before joining Fidelity Investments, Ms. Reynolds worked at PricewaterhouseCoopers LLP (PwC) (1980-2002), where she was an audit partner with PwC's investment management practice. |
Michael H. Whitaker (41) | |
| Year of Election or Appointment: 2008 Chief Compliance Officer of Fidelity's Fixed Income and Asset Allocation Funds. Mr. Whitaker is an employee of Fidelity Investments (2007-present). Prior to joining Fidelity Investments, Mr. Whitaker worked at MFS Investment Management where he served as Senior Vice President and Chief Compliance Officer (2004-2006), and Assistant General Counsel. |
Bryan A. Mehrmann (47) | |
| Year of Election or Appointment: 2005 Deputy Treasurer of the Fidelity funds. Mr. Mehrmann is an employee of Fidelity Investments. Previously, Mr. Mehrmann served as Vice President of Fidelity Investments Institutional Services Group (FIIS)/Fidelity Investments Institutional Operations Company, Inc. (FIIOC) Client Services (1998-2004). |
Stephanie J. Dorsey (39) | |
| Year of Election or Appointment: 2008 Deputy Treasurer of Fidelity's Fixed Income and Asset Allocation Funds. Ms. Dorsey is an employee of Fidelity Investments (2008-present). Previously, Ms. Dorsey served as Treasurer (2004-2008) of the JPMorgan Mutual Funds and Accounting Group Manager (2003) of JPMorgan Chase Bank. |
Robert G. Byrnes (42) | |
| Year of Election or Appointment: 2005 Assistant Treasurer of the Fidelity funds. Mr. Byrnes is an employee of Fidelity Investments (2005-present). Previously, Mr. Byrnes served as Vice President of Fidelity Pricing and Cash Management Services (FPCMS) (2003-2005). Before joining Fidelity Investments, Mr. Byrnes worked at Deutsche Asset Management where he served as Vice President of the Investment Operations Group (2000-2003). |
Paul M. Murphy (61) | |
| Year of Election or Appointment: 2007 Assistant Treasurer of the Fidelity funds. Mr. Murphy is an employee of Fidelity Investments (2007-present). Previously, Mr. Murphy served as Chief Financial Officer of the Fidelity Funds (2005-2006), Vice President and Associate General Counsel of FMR (2007), and Senior Vice President of Fidelity Pricing and Cash Management Services (FPCMS) (1994-2007). |
Gary W. Ryan (50) | |
| Year of Election or Appointment: 2005 Assistant Treasurer of the Fidelity funds. Mr. Ryan is an employee of Fidelity Investments. Previously, Mr. Ryan served as Vice President of Fund Reporting in Fidelity Pricing and Cash Management Services (FPCMS) (1999-2005). |
** FMR Corp. merged with and into FMR LLC on October 1, 2007. Any references to FMR LLC for prior periods are deemed to be references to the prior entity.
Annual Report
Distributions (Unaudited)
The fund hereby designates as a capital gain dividend with respect to the taxable year ended December 31, 2008, $57,717, or, if subsequently determined to be different, the net capital gain of such year.
During fiscal year ended 2008, 100% of the fund's income dividends was free from federal income tax, and 2.75% of the fund's income dividends was subject to the federal alternative minimum tax.
The fund will notify shareholders in January 2009 of amounts for use in preparing 2008 income tax returns.
Annual Report
Managing Your Investments
Fidelity offers several ways to conveniently manage your personal investments via your telephone or PC. You can access your account information, conduct trades and research your investments 24 hours a day.
By Phone
Fidelity Automated Service Telephone provides a single toll-free number to access account balances, positions, quotes and trading. It's easy to navigate the service, and on your first call, the system will help you create a personal identification number (PIN) for security.
(phone_graphic)
Fidelity Automated
Service Telephone (FAST®)
1-800-544-5555
Press
For mutual fund and brokerage trading.
For quotes.*
For account balances and holdings.
To review orders and mutual
fund activity.
To change your PIN.
To speak to a Fidelity representative.
By PC
Fidelity's web site on the Internet provides a wide range of information, including daily financial news, fund performance, interactive planning tools and news about Fidelity products and services.
(computer_graphic)
Fidelity's Web Site
www.fidelity.com
* When you call the quotes line, please remember that a fund's yield and return will vary and, except for money market funds, share price will also vary. This means that you may have a gain or loss when you sell your shares. There is no assurance that money market funds will be able to maintain a stable $1 share price; an investment in a money market fund is not insured or guaranteed by the U.S. government. Total returns are historical and include changes in share price, reinvestment of dividends and capital gains, and the effects of any sales charges.
Annual Report
To Write Fidelity
We'll give your correspondence immediate attention and send you written confirmation upon completion of your request.
(letter_graphic)
Making Changes
To Your Account
(such as changing name, address, bank, etc.)
Fidelity Investments
P.O. Box 770001
Cincinnati, OH 45277-0002
(letter_graphic)
For Non-Retirement
Accounts
Buying shares
Fidelity Investments
P.O. Box 770001
Cincinnati, OH 45277-0003
Overnight Express
Fidelity Investments
Attn: Distribution Services
100 Crosby Parkway - KC1H
Covington, KY 41015
Selling shares
Fidelity Investments
P.O. Box 770001
Cincinnati, OH 45277-0035
Overnight Express
Fidelity Investments
Attn: Distribution Services
100 Crosby Parkway - KC1H
Covington, KY 41015
General Correspondence
Fidelity Investments
P.O. Box 500
Merrimack, NH 03054-0500
(letter_graphic)
For Retirement
Accounts
Buying shares
Fidelity Investments
P.O. Box 770001
Cincinnati, OH 45277-0003
Selling shares
Fidelity Investments
P.O. Box 770001
Cincinnati, OH 45277-0035
Overnight Express
Fidelity Investments
Attn: Distribution Services
100 Crosby Parkway - KC1H
Covington, KY 41015
General Correspondence
Fidelity Investments
P.O. Box 500
Merrimack, NH 03054-0500
Annual Report
Investment Adviser
Fidelity Management & Research Company
Boston, MA
Investment Sub-Adviser
Fidelity Investments Money
Management Inc.
FIL Investment Advisors
FIL Investment Advisors (U.K.) Limited
Fidelity Management & Research (U.K.) Inc.
Fidelity Research & Analysis Company
Fidelity Management & Research (Japan) Inc.
Fidelity Management & Research
(Hong Kong) Limited
General Distributor
Fidelity Distributors Corporation
Boston, MA
Transfer and Service Agents
Citibank, N.A.
New York, NY
Fidelity Investments Institutional Operations Company, Inc.
Boston, MA
Fidelity Service Company, Inc.
Boston, MA
Custodian
Citibank, N.A.
New York, NY
The Fidelity Telephone Connection
Mutual Fund 24-Hour Service
Exchanges/Redemptions
and Account Assistance 1-800-544-6666
Product Information 1-800-544-6666
Retirement Accounts 1-800-544-4774 (8 a.m. - 9 p.m.)
TDD Service 1-800-544-0118
for the deaf and hearing impaired
(9 a.m. - 9 p.m. Eastern time)
Fidelity Automated Service
Telephone (FAST®) 1-800-544-5555
Automated line for quickest service
MNF-UANN-0209 1.787738.105
Fidelity®
Municipal Income
Fund
Annual Report
December 31, 2008
(2_fidelity_logos) (Registered_Trademark)
Contents
Chairman's Message | Ned Johnson's message to shareholders. | |
Performance | How the fund has done over time. | |
Management's Discussion | The manager's review of fund performance, strategy and outlook. | |
Shareholder Expense Example | An example of shareholder expenses. | |
Investment Changes | A summary of major shifts in the fund's investments over the past six months. | |
Investments | A complete list of the fund's investments with their market values. | |
Financial Statements | Statements of assets and liabilities, operations, and changes in net assets, as well as financial highlights. | |
Notes | Notes to the financial statements. | |
Report of Independent Registered Public Accounting Firm |
| |
Trustees and Officers |
| |
Distributions |
| |
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To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com (search for "proxy voting guidelines") or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov. You may also call 1-800-544-8544 to request a free copy of the proxy voting guidelines.
Standard & Poor's, S&P and S&P 500 are registered service marks of The McGraw-Hill Companies, Inc. and have been licensed for use by Fidelity Distributors Corporation.
Other third party marks appearing herein are the property of their respective owners.
All other marks appearing herein are registered or unregistered trademarks or service marks of FMR LLC or an affiliated company.
Annual Report
This report and the financial statements contained herein are submitted for the general information of the shareholders of the fund. This report is not authorized for distribution to prospective investors in the fund unless preceded or accompanied by an effective prospectus.
A fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. Forms N-Q are available on the SEC's web site at http://www.sec.gov. A fund's Forms N-Q may be reviewed and copied at the SEC's Public Reference Room in Washington, DC. Information regarding the operation of the SEC's Public Reference Room may be obtained by calling 1-800-SEC-0330. For a complete list of a fund's portfolio holdings, view the most recent holdings listing, semiannual report, or annual report on Fidelity's web site at http://www.fidelity.com or http://www.advisor.fidelity.com, as applicable.
NOT FDIC INSURED · MAY LOSE VALUE · NO BANK GUARANTEE
Neither the fund nor Fidelity Distributors Corporation is a bank.
Annual Report
Chairman's Message
(photo_of_Edward_C_Johnson_3d)
Dear Shareholder:
An all-out credit crisis gripped the world's capital markets in 2008, stunting economic growth, toppling commodity prices and pushing equity markets into their steepest declines in decades. Within this ultra-risk-averse climate, virtually the only positive results came from the relative security of U.S. government-backed assets. While financial markets are always unpredictable, there are a number of time-tested principles that can put the historical odds in your favor.
One of the basic tenets is to invest for the long term. Over time, riding out the markets' inevitable ups and downs has proven much more effective than selling into panic or chasing the hottest trend. Even missing only a few of the markets' best days can significantly diminish investor returns. Patience also affords the benefits of compounding - of earning interest on additional income or reinvested dividends and capital gains. There are tax advantages and cost benefits to consider as well. The more you sell, the more taxes you pay, and the more you trade, the higher the costs. While staying the course doesn't eliminate risk, it can considerably lessen the effect of short-term declines.
You can further manage your investing risk through diversification. And today, more than ever, geographic diversification should be taken into account. Studies indicate that asset allocation is the single most important determinant of a portfolio's long-term success. The right mix of stocks, bonds and cash - aligned to your particular risk tolerance and investment objective - is very important. Age-appropriate rebalancing is also an essential aspect of asset allocation. For younger investors, an emphasis on equities - which historically have been the best-performing asset class over time - is encouraged. As investors near their specific goal, such as retirement or sending a child to college, consideration may be given to replacing volatile assets (e.g. common stocks) with more-stable fixed investments (bonds or savings plans).
A third investment principle - investing regularly - can help lower the average cost of your purchases. Investing a certain amount of money each month or quarter helps ensure you won't pay for all your shares at market highs. This strategy - known as dollar cost averaging - also reduces unconstructive "emotion" from investing, helping shareholders avoid selling weak performers just prior to an upswing, or chasing a hot performer just before a correction.
We invite you to contact us via the Internet, through our Investor Centers or over the phone. It is our privilege to provide you the information you need to make the investments that are right for you.
Sincerely,
/s/Edward C. Johnson 3d
Edward C. Johnson 3d
Annual Report
Performance: The Bottom Line
Average annual total return reflects the change in the value of an investment, assuming reinvestment of the fund's dividend income and capital gains (the profits earned upon the sale of securities that have grown in value, if any) and assuming a constant rate of performance each year. The $10,000 table and the fund's returns do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. During periods of reimbursement by Fidelity, a fund's total return will be greater than it would be had the reimbursement not occurred. How a fund did yesterday is no guarantee of how it will do tomorrow.
Average Annual Total Returns
Periods ended December 31, 2008 | Past 1 | Past 5 | Past 10 |
Fidelity® Municipal Income Fund | -4.61% | 2.27% | 4.17% |
$10,000 Over 10 Years
Let's say, hypothetically, that $10,000 was invested in Fidelity® Municipal Income Fund on December 31, 1998. The chart shows how the value of your investment would have changed, and also shows how the Barclays Capital Municipal Bond Index performed over the same period.
Annual Report
Management's Discussion of Fund Performance
Comments from Christine Thompson, Portfolio Manager of Fidelity® Municipal Income Fund
Municipal bonds suffered losses during 2008, hurt by a persistent and deepening risk aversion that spread rapidly across the global financial markets. While lower-quality municipals were hit first, insured bonds - most rated AAA at the time - came under pressure shortly thereafter in response to investor concerns about the financial strength of bond insurers. All major municipal bond insurers suffered from their exposure to securities backed by subprime mortgages. Supply pressures also weighed on the markets, as issuers scrambled to refinance their debt as the auction-rate securities market - - a major source of funding for muni issuers - broke down. The loss of independent muni dealers - including Bear Stearns, Lehman Brothers, Merrill Lynch and Wachovia - led to further disruption, as did the selling by leveraged investors to cover losses and meet investor redemptions. But in December, munis started to gain strength as investors gravitated toward their attractive valuations. For the 12 months overall, the Barclays Capital Municipal Bond Index - a performance measure of more than 44,000 investment-grade, fixed-rate, tax-exempt bonds - declined 2.47%. The overall taxable debt market, as measured by the Barclays Capital U.S. Aggregate Bond Index, rose 5.24%.
For the year ending December 31, 2008, the fund returned -4.61%, and the Barclays Capital 3 Plus Year Municipal Bond Index - which tracks the types of securities in which the fund invests - fell 3.48%. The fund's underperformance stemmed partly from its significant underweighting in prerefunded and escrowed bonds, which are backed by U.S. government securities. They were among the market's best performers due to strong demand for very high-quality securities. Yield-curve positioning - which refers to how I allocated the fund's investments across bonds of various maturities - worked against us as well. Specifically, a later period move toward longer-term securities cost the fund some ground because they underperformed intermediate-term securities, in which we had become somewhat underweighted. The fund's relative performance was bolstered by an underweighting in bonds that trade at par - or face value - as well as those that trade just below par. Many of these securities came under pressure because they became subject to unfavorable tax treatment during the period.
Note to shareholders: Jamie Pagliocco will become Co-Portfolio Manager of Fidelity Municipal Income Fund on February 1, 2009.
The views expressed above reflect those of the portfolio manager(s) only through the end of the period as stated on the cover of this report and do not necessarily represent the views of Fidelity or any other person in the Fidelity organization. Any such views are subject to change at any time based upon market or other conditions and Fidelity disclaims any responsibility to update such views. These views may not be relied on as investment advice and, because investment decisions for a Fidelity fund are based on numerous factors, may not be relied on as an indication of trading intent on behalf of any Fidelity fund.
Annual Report
Shareholder Expense Example
As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including redemption fees, and (2) ongoing costs, including management fees and other Fund expenses. This Example is intended to help you 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.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (July 1, 2008 to December 31, 2008).
Actual Expenses
The first line of the accompanying table provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000.00 (for example, an $8,600 account value divided by $1,000.00 = 8.6), then multiply the result by the number in the first line under the heading entitled "Expenses Paid During Period" to estimate the expenses you paid on your account during this period. A small balance maintenance fee of $12.00 that is charged once a year may apply for certain accounts with a value of less than $2,000. This fee is not included in the table below. If it was, the estimate of expenses you paid during the period would be higher, and your ending account value lower, by this amount. In addition, the Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.
Hypothetical Example for Comparison Purposes
The second line of the accompanying table 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. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and 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. A small balance maintenance fee of $12.00 that is charged once a year may apply for certain accounts with a value of less than $2,000. This fee is not included in the table below. If it was, the estimate of expenses you paid during the period would be higher, and your ending account value lower, by this amount. In addition, the Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs. Therefore, the second line 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 transactional costs were included, your costs would have been higher.
Annual Report
Shareholder Expense Example - continued
| Annualized Expense Ratio | Beginning | Ending | Expenses Paid |
Actual | .47% | $ 1,000.00 | $ 957.20 | $ 2.31 |
Hypothetical (5% return per year before expenses) |
| $ 1,000.00 | $ 1,022.77 | $ 2.39 |
* Expenses are equal to the Fund's annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/366 (to reflect the one-half year period).
Annual Report
Investment Changes (Unaudited)
Top Five States as of December 31, 2008 | ||
| % of fund's | % of fund's net assets |
New York | 13.1 | 12.9 |
California | 12.1 | 14.4 |
Illinois | 12.1 | 11.2 |
Texas | 10.6 | 11.7 |
Florida | 8.0 | 7.7 |
Top Five Sectors as of December 31, 2008 | ||
| % of fund's | % of fund's net assets |
General Obligations | 38.8 | 40.9 |
Transportation | 10.6 | 9.8 |
Water & Sewer | 9.9 | 9.5 |
Health Care | 9.8 | 8.7 |
Special Tax | 9.8 | 9.8 |
Weighted Average Maturity as of December 31, 2008 | ||
|
| 6 months ago |
Years | 13.6 | 8.9 |
The weighted average maturity is based on the dollar-weighted average length of time until principal payments are expected or until securities reach maturity, taking into account any maturity shortening feature such as a call, refunding or redemption provision. |
Duration as of December 31, 2008 | ||
|
| 6 months ago |
Years | 8.1 | 7.5 |
Duration shows how much a bond fund's price fluctuates with changes in comparable interest rates. If rates rise 1%, for example, a fund with a five-year duration is likely to lose about 5% of its value. Other factors also can influence a bond fund's performance and share price. Accordingly, a bond fund's actual performance may differ from this example. |
Quality Diversification (% of fund's net assets) | |||||||
As of December 31, 2008 | As of June 30, 2008 | ||||||
![]() | AAA 9.0% |
| ![]() | AAA 25.8% |
| ||
![]() | AA,A 73.0% |
| ![]() | AA,A 66.0% |
| ||
![]() | BBB 14.1% |
| ![]() | BBB 5.7% |
| ||
![]() | BB and Below 0.7% |
| ![]() | BB and Below 0.7% |
| ||
![]() | Not Rated 1.3% |
| ![]() | Not Rated 1.5% |
| ||
![]() | Short-Term |
| ![]() | Short-Term |
|
We have used ratings from Moody's® Investors Services, Inc. Where Moody's ratings are not available, we have used S&P® ratings. All ratings are as of the report date and do not reflect subsequent downgrades. |
Annual Report
Investments December 31, 2008
Showing Percentage of Net Assets
Municipal Bonds - 98.1% | ||||
| Principal Amount (000s) | Value (000s) | ||
Alabama - 0.2% | ||||
Alabama Pub. School & College Auth. Rev. Series 1999 C, 5.75% 7/1/18 | $ 2,000 | $ 2,051 | ||
Birmingham Baptist Med. Ctrs. Spl. Care Facilities Fing. Auth. Rev. (Baptist Health Sys., Inc. Proj.) Series 2005 A, 5% 11/15/09 | 2,700 | 2,636 | ||
Jefferson County Ltd. Oblig. School Warrants Series 2004 A, 5.5% 1/1/22 | 5,500 | 3,040 | ||
Univ. of Alabama at Birmingham Hosp. Rev. Series 2008 A, 5.75% 9/1/22 | 3,000 | 2,773 | ||
| 10,500 | |||
Alaska - 0.2% | ||||
Alaska Student Ln. Corp. Ed. Ln. Rev.: | ||||
Series 2007 A2, 5% 6/1/12 (f) | 1,000 | 1,002 | ||
Series 2007 A3: | ||||
5% 6/1/10 (f) | 3,500 | 3,531 | ||
5% 6/1/12 (f) | 5,000 | 5,011 | ||
| 9,544 | |||
Arizona - 1.3% | ||||
Arizona Health Facilities Auth. Rev. (Banner Health Sys. Proj.): | ||||
Series 2007 A, 5% 1/1/21 | 2,000 | 1,775 | ||
Series 2007 B, 3.411% 1/1/37 (c) | 3,000 | 1,200 | ||
Series 2008 D: | ||||
5.5% 1/1/38 | 12,000 | 9,987 | ||
6% 1/1/27 | 2,600 | 2,441 | ||
Arizona State Univ. Ctfs. of Prtn. (Research Infrastructure Proj.) Series 2004: | ||||
5.25% 9/1/21 | 2,545 | 2,607 | ||
5.25% 9/1/22 | 1,000 | 1,018 | ||
Arizona Student Ln. Acquisition Auth. Student Ln. Rev. Series 1999 A1, 5.9% 5/1/24 (f) | 2,000 | 1,817 | ||
Chandler Indl. Dev. Auth. Indl. Dev. Rev. (Intel Corp. Proj.) Series 2005, 4.375%, tender 12/1/10 (c)(f) | 5,500 | 5,282 | ||
Goodyear McDowell Road Commercial Corridor Impt. District 5.25% 1/1/18 (AMBAC Insured) | 1,660 | 1,675 | ||
Marana Muni. Property Corp. Facilities Rev. Series 2008 A, 5% 7/1/21 | 1,580 | 1,593 | ||
Maricopa County Indl. Dev. Auth. Hosp. Facilities Rev. (Samaritan Health Svcs. Proj.) Series 1990 A, 7% 12/1/16 (Escrowed to Maturity) (g) | 2,000 | 2,467 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Arizona - continued | ||||
McAllister Academic Village LLC Rev. (Arizona State Univ. Hassayampa Academic Village Proj.) Series 2008, 5.25% 7/1/39 | $ 4,800 | $ 4,355 | ||
Phoenix Civic Impt. Corp. District Rev. (Plaza Expansion Proj.) Series 2005 B, 0% 7/1/38 (a) | 12,000 | 8,405 | ||
Phoenix Civic Impt. Corp. Wtr. Sys. Rev. Series 2002, 5.5% 7/1/20 (FGIC Insured) | 1,500 | 1,572 | ||
Salt Verde Finl. Corp. Sr. Gas Rev. Series 2007: | ||||
5.25% 12/1/21 | 3,500 | 2,612 | ||
5.5% 12/1/29 | 7,900 | 5,610 | ||
Tucson Gen. Oblig. Series 2002, 5% 7/1/10 | 2,455 | 2,560 | ||
Univ. of Arizona Univ. Revs. Series 2005 A: | ||||
5% 6/1/18 (AMBAC Insured) | 1,000 | 1,061 | ||
5% 6/1/31 (AMBAC Insured) | 2,025 | 1,923 | ||
| 59,960 | |||
Arkansas - 0.0% | ||||
North Little Rock Elec. Rev. Series 1992 A, 6.5% 7/1/10 (MBIA Insured) | 1,680 | 1,745 | ||
California - 12.1% | ||||
ABC Unified School District Series 1997 C, 0% 8/1/28 (FGIC Insured) | 3,925 | 1,085 | ||
Cabrillo Unified School District Series A, 0% 8/1/20 (AMBAC Insured) | 4,275 | 2,249 | ||
California Dept. of Wtr. Resources Pwr. Supply Rev. Series 2002 A, 5.5% 5/1/15 | 8,200 | 8,753 | ||
California Edl. Facilities Auth. Rev. (Loyola Marymount Univ. Proj.): | ||||
Series 2001 A, 0% 10/1/16 (MBIA Insured) | 2,140 | 1,506 | ||
0% 10/1/17 (MBIA Insured) | 2,050 | 1,346 | ||
0% 10/1/18 (MBIA Insured) | 1,675 | 1,027 | ||
0% 10/1/22 (MBIA Insured) | 5,000 | 2,211 | ||
California Gen. Oblig.: | ||||
Series 2007, 5.625% 5/1/20 | 210 | 214 | ||
5% 8/1/19 | 31,310 | 31,640 | ||
5% 8/1/20 | 10,150 | 10,071 | ||
5% 11/1/24 | 1,600 | 1,502 | ||
5% 3/1/26 | 5,100 | 4,701 | ||
5% 6/1/27 (AMBAC Insured) | 4,100 | 3,735 | ||
5% 9/1/27 | 10,500 | 9,559 | ||
5% 2/1/31 (MBIA Insured) | 4,500 | 3,934 | ||
5% 9/1/31 | 22,500 | 19,645 | ||
5% 12/1/31 (MBIA Insured) | 5,595 | 4,895 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
California - continued | ||||
California Gen. Oblig.: - continued | ||||
5% 9/1/32 | $ 24,995 | $ 21,653 | ||
5% 8/1/33 | 9,725 | 8,385 | ||
5% 9/1/33 | 19,650 | 16,939 | ||
5% 8/1/35 | 17,750 | 15,201 | ||
5% 9/1/35 | 15,700 | 13,443 | ||
5.125% 11/1/24 | 4,300 | 4,131 | ||
5.125% 2/1/26 | 2,500 | 2,344 | ||
5.25% 2/1/16 | 4,300 | 4,491 | ||
5.25% 2/1/19 | 5,620 | 5,713 | ||
5.25% 2/1/20 | 2,000 | 2,013 | ||
5.25% 2/1/24 | 4,000 | 3,898 | ||
5.25% 2/1/27 (MBIA Insured) | 3,700 | 3,492 | ||
5.25% 2/1/28 | 4,800 | 4,482 | ||
5.25% 11/1/28 | 4,485 | 4,189 | ||
5.25% 2/1/33 | 16,300 | 14,745 | ||
5.25% 12/1/33 | 160 | 145 | ||
5.25% 3/1/38 | 5,100 | 4,556 | ||
5.5% 8/1/27 | 14,700 | 14,382 | ||
5.5% 4/1/28 | 10 | 10 | ||
5.5% 8/1/29 | 9,850 | 9,543 | ||
5.5% 4/1/30 | 5 | 5 | ||
5.5% 11/1/33 | 39,350 | 37,358 | ||
California Health Facilities Fing. Auth. Rev.: | ||||
(Catholic Healthcare West Proj.): | ||||
Series 2008 H, 5.125% 7/1/22 | 3,150 | 2,897 | ||
Series 2008 L, 5.125% 7/1/22 | 4,850 | 4,421 | ||
(Cedars-Sinai Med. Ctr. Proj.) Series 2005: | ||||
5% 11/15/09 | 400 | 410 | ||
5% 11/15/13 | 1,000 | 1,026 | ||
California Hsg. Fin. Agcy. Rev. (Home Mtg. Prog.) Series 1983 A, 0% 2/1/15 | 147 | 88 | ||
California Poll. Cont. Fing. Auth. Solid Waste Disp. Rev. (Waste Mgmt., Inc. Proj.) Series 2005 A1, 4.7%, tender 4/1/12 (c)(f) | 1,000 | 870 | ||
California Pub. Works Board Lease Rev.: | ||||
(Butterfield State Office Complex Proj.) Series 2005 A, 5.25% 6/1/30 | 14,000 | 11,889 | ||
(Office of Emergency Svcs. Proj.) Series 2007 A: | ||||
5% 3/1/21 | 3,515 | 3,228 | ||
5% 3/1/22 | 1,695 | 1,528 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
California - continued | ||||
California Pub. Works Board Lease Rev.: - continued | ||||
(Various California State Univ. Projs.) Series 1993 A, 5.25% 12/1/13 | $ 4,265 | $ 4,267 | ||
Series 2005 B, 5.25% 11/1/24 (XL Cap. Assurance, Inc. Insured) | 1,575 | 1,419 | ||
Series 2005 H: | ||||
5% 6/1/16 | 6,000 | 6,042 | ||
5% 6/1/17 | 5,000 | 4,983 | ||
5% 6/1/18 | 10,300 | 10,133 | ||
Series 2005 J, 5% 1/1/17 | 6,000 | 5,980 | ||
Series B, 5.25% 11/1/26 (XL Cap. Assurance, Inc. Insured) | 2,860 | 2,509 | ||
California Statewide Cmntys. Dev. Auth. Poll. Cont. Rev. (Southern California Edison Co. Proj.) Series 2006 A, 4.1%, tender 4/1/13 (XL Cap. Assurance, Inc. Insured) (c) | 700 | 655 | ||
California Statewide Cmntys. Dev. Auth. Rev.: | ||||
(Kaiser Fund Hosp./Health Place, Inc. Proj.) Series 2002 C, 3.85%, tender 6/1/12 (c) | 3,500 | 3,420 | ||
(St. Joseph Health Sys. Proj.) Series 2007 C, 5.75% 7/1/47 (FGIC Insured) | 5,000 | 4,373 | ||
Clovis Pub. Fing. Auth. Wastewtr. Rev. Series 2005, 5% 8/1/35 (MBIA Insured) | 9,400 | 8,157 | ||
Encinitas Union School District: | ||||
Series 1996, 0% 8/1/21 (MBIA Insured) | 2,810 | 1,381 | ||
0% 8/1/20 (MBIA Insured) | 3,500 | 1,862 | ||
Foothill/Eastern Trans. Corridor Agcy. Toll Road Rev.: | ||||
Series 1995 A, 5% 1/1/35 (MBIA Insured) | 5,070 | 3,380 | ||
Series 1999: | ||||
0% 1/15/27 (a) | 2,500 | 1,795 | ||
5% 1/15/16 (MBIA Insured) | 2,800 | 2,780 | ||
5.75% 1/15/40 | 6,300 | 4,546 | ||
Golden State Tobacco Securitization Corp. Tobacco Settlement Rev.: | ||||
Series 2005 A: | ||||
5% 6/1/45 | 30,195 | 19,888 | ||
5% 6/1/45 | 5,345 | 3,573 | ||
Series 2007 A1, 5% 6/1/33 | 3,005 | 1,689 | ||
Los Angeles Cmnty. Redev. Agcy. Lease Rev. (Vermont Manchester Social Svcs. Proj.) Series 2005: | ||||
5% 9/1/18 (AMBAC Insured) | 1,000 | 960 | ||
5% 9/1/19 (AMBAC Insured) | 2,545 | 2,378 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
California - continued | ||||
Los Angeles Dept. of Wtr. & Pwr. Rev. Series 2005 A1, 5% 7/1/35 | $ 4,000 | $ 3,604 | ||
Los Angeles Dept. of Wtr. & Pwr. Wtrwks. Rev. Series 2001 A: | ||||
5.125% 7/1/41 | 5,000 | 4,578 | ||
5.125% 7/1/41 (MBIA Insured) | 9,985 | 9,307 | ||
Modesto Irrigation District Elec. Rev. Series A, 9.625% 1/1/11 (Escrowed to Maturity) (g) | 1,750 | 1,881 | ||
Monrovia Unified School District Series B, 0% 8/1/29 (FGIC Insured) | 4,525 | 1,155 | ||
Monterey County Ctfs. of Prtn. Series 2007, 5% 8/1/19 (AMBAC Insured) | 2,320 | 2,365 | ||
North City West School Facilities Fing. Auth. Spl. Tax Series C, 5% 9/1/19 (AMBAC Insured) | 3,015 | 2,669 | ||
Oxnard Fing. Auth. Wastewtr. Rev. (Redwood Trunk Swr. and Headworks Proj.) Series 2004 A, 5% 6/1/29 (FGIC Insured) | 2,795 | 2,480 | ||
Placer County Wtr. Agcy. Rev. (Middle Fork Proj.) Series A, 3.75% 7/1/12 | 2,425 | 2,425 | ||
Port of Oakland Rev.: | ||||
Series 2007 B, 5% 11/1/19 (MBIA Insured) | 7,000 | 6,988 | ||
Series C, 5% 11/1/18 (MBIA Insured) | 6,650 | 6,875 | ||
Poway Unified School District Pub. Fing. Auth. Lease Rev. Series 2008 B, 0%, tender 12/1/14 (FSA Insured) (c) | 6,000 | 4,488 | ||
San Francisco City & County Pub. Util. Commission Wtr. Rev. Series 2002 A, 5% 11/1/32 (MBIA Insured) | 2,700 | 2,456 | ||
San Joaquin County Ctfs. of Prtn. (County Administration Bldg. Proj.) Series 2007, 5% 11/15/18 (MBIA Insured) | 3,495 | 3,601 | ||
San Mateo County Cmnty. College District Series A, 0% 9/1/26 (FGIC Insured) | 5,430 | 1,890 | ||
Santa Clara County Fing. Auth. (El Camino Hosp. Proj.) Series 2007 C, 5.75% 2/1/41 (AMBAC Insured) | 10,000 | 8,324 | ||
Sweetwater Union High School District Series 2008 A, 5.625% 8/1/47 (FSA Insured) | 45,225 | 42,880 | ||
Torrance Ctfs. of Prtn. (Refing. & Pub. Impt. Proj.) Series B, 5.25% 6/1/34 (AMBAC Insured) | 4,475 | 4,056 | ||
Union Elementary School District: | ||||
Series A, 0% 9/1/19 (FGIC Insured) | 1,750 | 1,037 | ||
Series B, 0% 9/1/22 (FGIC Insured) | 1,500 | 703 | ||
Univ. of California Revs. (UCLA Med. Ctr. Proj.): | ||||
Series A: | ||||
5.5% 5/15/15 (AMBAC Insured) | 1,110 | 1,182 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
California - continued | ||||
Univ. of California Revs. (UCLA Med. Ctr. Proj.): - continued | ||||
Series A: | ||||
5.5% 5/15/16 (AMBAC Insured) | $ 1,170 | $ 1,237 | ||
5.5% 5/15/17 (AMBAC Insured) | 1,235 | 1,295 | ||
5.5% 5/15/19 (AMBAC Insured) | 1,375 | 1,417 | ||
5.5% 5/15/22 (AMBAC Insured) | 370 | 371 | ||
5.5% 5/15/23 (AMBAC Insured) | 380 | 378 | ||
Series B: | ||||
5.5% 5/15/15 (AMBAC Insured) | 1,890 | 2,058 | ||
5.5% 5/15/17 (AMBAC Insured) | 2,545 | 2,715 | ||
Val Verde Unified School District Ctfs. of Prtn. Series B, 5% 1/1/30 (FGIC Insured) | 1,495 | 1,231 | ||
Washington Township Health Care District Rev. Series 2007 A: | ||||
5% 7/1/18 | 1,185 | 1,094 | ||
5% 7/1/27 | 1,840 | 1,435 | ||
| 549,893 | |||
Colorado - 1.5% | ||||
Colorado Ctfs. of Prtn. (UCDHSC Fitzsimons Academic Proj.) Series 2005 B: | ||||
5% 11/1/17 (MBIA Insured) | 2,475 | 2,660 | ||
5.25% 11/1/24 (MBIA Insured) | 2,600 | 2,641 | ||
Colorado Health Facilities Auth. Rev.: | ||||
(Parkview Episcopal Med. Ctr. Proj.) Series B: | ||||
5% 9/1/19 | 1,115 | 963 | ||
5% 9/1/22 | 1,500 | 1,221 | ||
(Volunteers of America Care Proj.) Series 2007 A, 5.3% 7/1/37 | 2,600 | 1,303 | ||
Series 2001: | ||||
6.5% 11/15/31 (Pre-Refunded to 11/15/11 @ 101) (g) | 5,040 | 5,725 | ||
6.625% 11/15/26 (Pre-Refunded to 11/15/11 @ 101) (g) | 2,700 | 3,076 | ||
Colorado Springs Arpt. Rev. Series C: | ||||
0% 1/1/09 (MBIA Insured) | 1,655 | 1,655 | ||
0% 1/1/10 (MBIA Insured) | 1,500 | 1,453 | ||
Colorado Wtr. Resources and Pwr. Dev. Auth. Wtr. Resources Rev. (Parker Wtr. and Sanitation District Proj.) Series 2004 D, 5.25% 9/1/43 (MBIA Insured) | 33,385 | 25,695 | ||
Denver City & County Arpt. Rev.: | ||||
Series 2001 A, 5.625% 11/15/12 (f) | 2,000 | 2,000 | ||
Series 2007 E, 5% 11/15/32 (AMBAC Insured) | 3,200 | 2,755 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Colorado - continued | ||||
Denver Health & Hosp. Auth. Healthcare Rev. Series 2007 A, 5% 12/1/13 | $ 3,005 | $ 2,638 | ||
Douglas and Elbert Counties School District #RE1: | ||||
5.75% 12/15/20 (FGIC Insured) | 1,500 | 1,617 | ||
5.75% 12/15/22 (FGIC Insured) | 1,000 | 1,061 | ||
E-470 Pub. Hwy. Auth. Rev.: | ||||
Series 1997 B, 0% 9/1/15 (MBIA Insured) | 3,500 | 2,357 | ||
Series 2000 B, 0% 9/1/20 (MBIA Insured) | 12,075 | 5,210 | ||
Northwest Pkwy Pub. Hwy. Auth. Series 2001 A: | ||||
5.5% 6/15/15 (Pre-Refunded to 6/15/11 @ 102) (g) | 1,000 | 1,102 | ||
5.5% 6/15/19 (Pre-Refunded to 6/15/11 @ 102) (g) | 1,000 | 1,102 | ||
| 66,234 | |||
District Of Columbia - 1.0% | ||||
District of Columbia Gen. Oblig. Series B, 0% 6/1/12 (MBIA Insured) | 8,800 | 7,928 | ||
District of Columbia Rev.: | ||||
(George Washington Univ. Proj.) Series 1999 A, 5.75% 9/15/20 (MBIA Insured) | 12,600 | 12,879 | ||
(Medlantic/Helix Proj.) Series 1998 C, 5% 8/15/17 (FSA Insured) | 1,700 | 1,695 | ||
District of Columbia Wtr. & Swr. Auth. Pub. Util. Rev. Series 2007 A, 5.5% 10/1/41 | 23,535 | 22,470 | ||
| 44,972 | |||
Florida - 8.0% | ||||
Alachua County Health Facilities Auth. Health Facilities Rev. (Avmed/Santa Fe Health Care Sys. Proj.) Series 1993: | ||||
6% 11/15/09 (Escrowed to Maturity) (g) | 335 | 340 | ||
6.05% 11/15/16 (Escrowed to Maturity) (g) | 6,230 | 7,082 | ||
Boynton Beach Util. Sys. Rev. Series 2002, 5.5% 11/1/19 (FGIC Insured) | 3,300 | 3,459 | ||
Brevard County School Board Ctfs. of Prtn. Series 2007 B: | ||||
5% 7/1/24 (AMBAC Insured) | 1,365 | 1,287 | ||
5% 7/1/25 (AMBAC Insured) | 3,540 | 3,302 | ||
Broward County Arpt. Sys. Rev. Series 2001 I, 5.75% 10/1/12 (AMBAC Insured) (f) | 1,210 | 1,216 | ||
Broward County Gen. Oblig. (Parks & Land Preservation Proj.) Series 2005: | ||||
5% 1/1/24 | 1,000 | 1,005 | ||
5% 1/1/25 | 1,000 | 1,003 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Florida - continued | ||||
Broward County School Board Ctfs. of Prtn.: | ||||
Series 2003 A: | ||||
5.25% 7/1/16 (MBIA Insured) | $ 6,060 | $ 6,361 | ||
5.25% 7/1/20 (MBIA Insured) | 3,000 | 3,037 | ||
Series 2007 A: | ||||
5% 7/1/17 (FGIC Insured) | 3,660 | 3,695 | ||
5% 7/1/19 (FGIC Insured) | 3,700 | 3,725 | ||
Cap. Projs. Fin. Auth. Student Hsg. Rev. Series 2000 F1: | ||||
5.5% 10/1/11 (MBIA Insured) | 2,275 | 2,410 | ||
5.5% 10/1/12 (MBIA Insured) | 1,460 | 1,561 | ||
5.5% 10/1/13 (MBIA Insured) | 1,265 | 1,346 | ||
Cape Canaveral Hosp. District Rev. Ctfs. 5.25% 1/1/18 (MBIA Insured) | 2,765 | 2,765 | ||
Dade County Resource Recovery Facilities Rev. Series 1996, 5.5% 10/1/09 (AMBAC Insured) (f) | 5,000 | 5,003 | ||
De Soto County Cap. Impt. Rev.: | ||||
Series 2002, 5.25% 10/1/21 (MBIA Insured) | 1,640 | 1,677 | ||
5.25% 10/1/22 (MBIA Insured) | 1,725 | 1,748 | ||
Emerald Coast Utils. Auth. Rev.: | ||||
5.25% 1/1/26 (FGIC Insured) | 1,000 | 976 | ||
5.25% 1/1/36 (FGIC Insured) | 1,310 | 1,197 | ||
Escambia City Health Facilities Auth. Rev. (Ascension Health Cr. Group Proj.) Series 2002 C, 5.75% 11/15/32 | 6,900 | 6,284 | ||
Escambia County Utils. Auth. Util. Sys. Rev. Series 1992 B, 6.25% 1/1/15 (FGIC Insured) | 3,050 | 3,410 | ||
Florida Board of Ed.: | ||||
Series 2000 B, 5.5% 6/1/15 (FGIC Insured) | 3,655 | 3,952 | ||
Series 2001 F, 5% 6/1/32 | 5,040 | 4,806 | ||
Series 2003 B, 5% 6/1/33 | 6,950 | 6,611 | ||
Series 2003 J, 5% 6/1/31 | 2,500 | 2,399 | ||
Series 2006 A, 5% 6/1/32 | 1,100 | 1,049 | ||
Series B, 5.5% 6/1/16 (FGIC Insured) | 2,825 | 3,035 | ||
Florida Board of Ed. Lottery Rev. Series 2002 A, 5.375% 7/1/17 (FGIC Insured) | 1,000 | 1,034 | ||
Florida Board of Ed. Pub. Ed. Cap. Outlay Series 2004 A, 5% 6/1/31 | 1,240 | 1,181 | ||
Florida Dept. of Children and Family Svcs. Ctfs. of Prtn. (South Florida Evaluation Treatment Ctr. Proj.): | ||||
5% 10/1/16 | 2,025 | 2,168 | ||
5% 10/1/17 | 2,130 | 2,249 | ||
Florida Dept. of Envir. Protection Rev. Series 2002 A, 5.375% 7/1/17 (MBIA Insured) | 6,000 | 6,300 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Florida - continued | ||||
Florida Dept. of Trans. Rev. Series 2005 A: | ||||
5% 7/1/17 | $ 3,360 | $ 3,608 | ||
5% 7/1/18 | 3,320 | 3,526 | ||
Florida Gen. Oblig. (Dept. of Trans. Right-of-Way and Bridge Construction Proj.) Series 2003 A, 5% 7/1/33 | 5,295 | 5,037 | ||
Florida Wtr. Poll. Cont. Fing. Corp. Rev. Series 2003, 5.25% 1/15/20 | 1,950 | 2,048 | ||
Gulf Breeze Util. Sys. Rev. Series 2004, 5% 10/1/16 (AMBAC Insured) | 1,010 | 1,080 | ||
Halifax Hosp. Med. Ctr. Rev.: | ||||
Series 2006 A: | ||||
5% 6/1/38 | 3,400 | 1,733 | ||
5.25% 6/1/19 | 2,375 | 1,671 | ||
Series 2006 B1, 5.5% 6/1/38 (FSA Insured) | 4,900 | 4,433 | ||
Highlands County Health Facilities Auth. Rev.: | ||||
(Adventist Health Sys./Sunbelt, Inc. Prog.): | ||||
Series 2002, 3.95%, tender 9/1/12 (c) | 21,245 | 19,973 | ||
Series 2005 A: | ||||
5% 11/15/15 | 1,000 | 989 | ||
5% 11/15/17 | 1,200 | 1,148 | ||
5% 11/15/22 | 1,000 | 869 | ||
Series 2006 G: | ||||
5% 11/15/16 | 1,020 | 991 | ||
5% 11/15/16 (Escrowed to Maturity) (g) | 30 | 34 | ||
5.125% 11/15/18 | 965 | 918 | ||
5.125% 11/15/18 (Pre-Refunded to 11/15/16 @ 100) (g) | 35 | 40 | ||
Series B: | ||||
5% 11/15/15 | 875 | 865 | ||
5% 11/15/15 (Escrowed to Maturity) (g) | 125 | 142 | ||
5% 11/15/16 | 1,040 | 1,011 | ||
5% 11/15/16 (Pre-Refunded to 11/15/15 @ 100) (g) | 150 | 170 | ||
Series G: | ||||
5% 11/15/14 | 1,285 | 1,286 | ||
5% 11/15/14 (Escrowed to Maturity) (g) | 45 | 51 | ||
5% 11/15/15 | 965 | 954 | ||
5% 11/15/15 (Escrowed to Maturity) (g) | 35 | 40 | ||
5.125% 11/15/17 | 2,750 | 2,661 | ||
5.125% 11/15/17 (Pre-Refunded to 11/15/16 @ 100) (g) | 95 | 109 | ||
5.125% 11/15/19 | 1,930 | 1,802 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Florida - continued | ||||
Highlands County Health Facilities Auth. Rev.: - continued | ||||
(Adventist Health Sys./Sunbelt, Inc. Prog.): | ||||
Series G: | ||||
5.125% 11/15/19 (Pre-Refunded to 11/15/16 @ 100) (g) | $ 70 | $ 80 | ||
Series 2005 B: | ||||
5% 11/15/30 | 3,565 | 2,973 | ||
5% 11/15/30 (Pre-Refunded to 11/15/15 @ 100) (g) | 485 | 550 | ||
Hillsborough County Indl. Dev. (H Lee Moffitt Cancer Ctr. Proj.) Series A: | ||||
5% 7/1/17 | 1,930 | 1,801 | ||
5% 7/1/18 | 2,125 | 1,946 | ||
Hillsborough County Indl. Dev. Auth. Poll. Cont. Rev. (Tampa Elec. Co. Proj.): | ||||
Series 2006, 5%, tender 3/15/12 (AMBAC Insured) (c) | 4,500 | 4,616 | ||
5.1% 10/1/13 | 3,005 | 2,880 | ||
Jacksonville Econ. Dev. Commission Healthcare Rev. (Mayo Clinic Foundation Proj.): | ||||
Series B, 5.5% 11/15/36 (MBIA Insured) | 5,870 | 5,072 | ||
Series C, 5.5% 11/15/36 (MBIA Insured) | 12,250 | 10,584 | ||
Jacksonville Elec. Auth. Elec. Sys. Rev.: | ||||
(Third Installment Proj.) Series 73, 6.8% 7/1/12 (Escrowed to Maturity) (g) | 1,625 | 1,764 | ||
Series 2006 A, 5% 10/1/41 (FSA Insured) | 18,800 | 17,151 | ||
Jacksonville Sales Tax Rev. Series 2003, 5.25% 10/1/19 (MBIA Insured) | 1,500 | 1,535 | ||
Lakeland Energy Sys. Rev. Series 2001 B, 5.5% 10/1/14 (MBIA Insured) | 1,000 | 1,053 | ||
Marco Island Util. Sys. Rev. 5% 10/1/33 (MBIA Insured) | 5,025 | 4,434 | ||
Martin County Utils. Sys. Rev. 5.5% 10/1/16 (FGIC Insured) | 1,265 | 1,319 | ||
Melbourne Arpt. Rev.: | ||||
6.75% 10/1/09 (MBIA Insured) (f) | 350 | 358 | ||
6.75% 10/1/10 (MBIA Insured) (f) | 170 | 179 | ||
Melbourne Wtr. & Swr. Rev. 5% 10/1/34 (FGIC Insured) | 5,000 | 4,605 | ||
Miami Beach Health Facilities Auth. Hosp. Rev. (Mount Sinai Med. Ctr. of Florida Proj.) Series A, 6.8% 11/15/31 | 2,545 | 1,480 | ||
Miami Beach Parking Rev. 5.125% 9/1/22 (FSA Insured) | 1,010 | 1,010 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Florida - continued | ||||
Miami Beach Stormwater Rev. 5.375% 9/1/30 (FGIC Insured) | $ 1,000 | $ 990 | ||
Miami Beach Wtr. & Swr. Rev. 5.5% 9/1/27 (AMBAC Insured) | 6,000 | 6,019 | ||
Miami Health Facilities Auth. Sys. Rev.: | ||||
(Catholic Health East Proj.) Series B, 5.125% 11/15/24 | 3,000 | 2,504 | ||
Series C, 5.125% 11/15/24 | 1,450 | 1,210 | ||
Miami-Dade County Aviation Rev. (Miami Int'l. Arpt. Proj.) Series 2004 B, 5% 10/1/37 | 12,005 | 9,551 | ||
Miami-Dade County Expressway Auth. Series B, 5.25% 7/1/25 (FGIC Insured) | 5,000 | 4,967 | ||
Miami-Dade County Gen. Oblig. (Bldg. Better Cmntys. Prog.) 5% 7/1/35 | 4,565 | 4,100 | ||
Miami-Dade County School Board Ctfs. of Prtn.: | ||||
Series 2003 B: | ||||
5%, tender 5/1/11 (MBIA Insured) (c) | 10,600 | 10,879 | ||
5.5%, tender 5/1/11 (MBIA Insured) (c) | 5,400 | 5,622 | ||
Series 2008 A: | ||||
5% 8/1/17 (AMBAC Insured) | 3,500 | 3,707 | ||
5% 8/1/18 (AMBAC Insured) | 4,000 | 4,195 | ||
5% 8/1/20 (AMBAC Insured) | 2,500 | 2,526 | ||
5% 8/1/21 (AMBAC Insured) | 5,095 | 5,099 | ||
5% 8/1/22 (AMBAC Insured) | 3,325 | 3,226 | ||
Ocala Util. Sys. Rev. Series B, 5.25% 10/1/22 (FGIC Insured) | 1,000 | 995 | ||
Okeechobee County Solid Waste Rev. (Chambers Waste Sys. Proj.) Series A, 4.2%, tender 7/1/09 (c)(f) | 2,250 | 2,232 | ||
Orange County Edl. Facilities Auth. Ed. Rev. (Rollins College Proj.): | ||||
5.25% 12/1/32 (AMBAC Insured) | 1,350 | 1,286 | ||
5.25% 12/1/37 (AMBAC Insured) | 1,365 | 1,280 | ||
Orange County Health Facilities Auth. Rev. (Orlando Reg'l. Health Care Sys. Proj.) Series 1996 A, 6.25% 10/1/18 (MBIA Insured) | 4,500 | 4,726 | ||
Orange County Sales Tax Rev. Series 2002 B, 5% 1/1/25 | 2,800 | 2,707 | ||
Orange County School Board Ctfs. of Prtn. Series A: | ||||
0% 8/1/13 (MBIA Insured) | 2,275 | 1,968 | ||
5% 8/1/16 (MBIA Insured) | 2,940 | 3,150 | ||
Osceola County Infrastructure Sales Surtax Rev. 5.375% 10/1/17 (AMBAC Insured) | 1,000 | 1,033 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Florida - continued | ||||
Osceola County Tourist Dev. Tax Rev. Series A, 5.5% 10/1/19 (FGIC Insured) | $ 1,190 | $ 1,235 | ||
Palm Beach County School Board Ctfs. of Prtn. Series D, 5.25% 8/1/17 (FSA Insured) | 2,025 | 2,082 | ||
Pasco County School Board Ctfs. of Prtn. Series A, 5% 8/1/30 (AMBAC Insured) | 4,000 | 3,590 | ||
Peace River/Manasota Reg'l. Wtr. Supply Auth. Rev. Series A: | ||||
5% 10/1/30 (FSA Insured) | 3,105 | 2,966 | ||
5% 10/1/35 (FSA Insured) | 5,000 | 4,732 | ||
Plant City Util. Sys. Rev. 6% 10/1/15 (MBIA Insured) | 2,200 | 2,496 | ||
Polk County Pub. Facilities Rev. 5% 12/1/33 (MBIA Insured) | 2,000 | 1,756 | ||
Port Orange Gen. Oblig. 5% 4/1/29 (MBIA Insured) | 2,015 | 1,895 | ||
Reedy Creek Impt. District Utils. Rev. Series 1, 5.25% 10/1/19 (MBIA Insured) | 3,700 | 3,746 | ||
Seminole County School Board Ctfs. of Prtn.: | ||||
Series 2005 A, 5% 7/1/16 (MBIA Insured) | 1,645 | 1,765 | ||
Series A, 5% 7/1/20 (MBIA Insured) | 1,745 | 1,781 | ||
St. Johns County School Board 5.25% 7/1/16 (MBIA Insured) | 1,400 | 1,456 | ||
Sumter County School District Rev. (Multi-District Ln. Prog.) 7.15% 11/1/15 (FSA Insured) | 985 | 1,208 | ||
Tallahassee Energy Sys. Rev. 5% 10/1/35 (MBIA Insured) | 3,065 | 2,790 | ||
Tampa Rev. (Catholic Health East Proj.) Series A1, 5.5% 11/15/12 (MBIA Insured) | 1,045 | 1,084 | ||
Tampa Sales Tax Rev. Series 2001 A: | ||||
5.375% 10/1/15 (AMBAC Insured) | 2,150 | 2,273 | ||
5.375% 10/1/18 (AMBAC Insured) | 2,465 | 2,560 | ||
5.375% 10/1/19 (AMBAC Insured) | 2,650 | 2,743 | ||
Univ. of Central Florida Athletics Assoc., Inc. Ctfs. of Prtn. Series A: | ||||
5% 10/1/17 (FGIC Insured) | 1,805 | 1,688 | ||
5% 10/1/35 (FGIC Insured) | 3,275 | 2,314 | ||
5.25% 10/1/34 (FGIC Insured) | 2,000 | 1,480 | ||
USF Fing. Corp. Ctfs. of Prtn. (Master Lease Prog.) Series A: | ||||
5.25% 7/1/15 (AMBAC Insured) | 2,690 | 2,833 | ||
5.25% 7/1/16 (AMBAC Insured) | 2,830 | 3,025 | ||
Volusia County Edl. Facilities Auth. Rev.: | ||||
5% 10/15/11 (Radian Asset Assurance, Inc. Insured) | 1,000 | 1,029 | ||
5% 10/15/12 (Radian Asset Assurance, Inc. Insured) | 1,260 | 1,289 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Florida - continued | ||||
Walton County School Board Ctfs. of Prtn. 5.25% 7/1/18 (FSA Insured) | $ 1,865 | $ 2,008 | ||
Winter Park Gen. Oblig. 5.25% 7/1/18 | 1,000 | 1,036 | ||
| 364,084 | |||
Georgia - 2.7% | ||||
Appling County Dev. Auth. Poll. Cont. Rev. Series 2007 B, 4.75%, tender 4/1/11 (MBIA Insured) (c) | 5,000 | 5,060 | ||
Atlanta Tax Allocation (Atlantic Station Proj.) Series 2007, 5.25% 12/1/20 (Assured Guaranty Corp. Insured) | 2,000 | 1,748 | ||
Atlanta Wtr. & Wastewtr. Rev. Series 2004: | ||||
5% 11/1/37 | 36,395 | 30,910 | ||
5% 11/1/43 | 57,750 | 48,505 | ||
Augusta Wtr. & Swr. Rev. Series 2004, 5.25% 10/1/39 (FSA Insured) | 11,600 | 11,289 | ||
Fulton County Wtr. & Swr. Rev. 6.375% 1/1/14 (FGIC Insured) | 140 | 155 | ||
Houston County Hosp. Auth. Rev. (Houston Healthcare Proj.) 5.25% 10/1/19 | 1,450 | 1,303 | ||
Main Street Natural Gas, Inc. Georgia Gas Proj. Rev. Series A: | ||||
5.25% 9/15/19 | 8,120 | 6,400 | ||
5.25% 9/15/20 | 2,500 | 1,934 | ||
Richmond County Dev. Auth. Rev. (Southern Care Corp. Facility Proj.): | ||||
Series A, 0% 12/1/21 (Escrowed to Maturity) (g) | 5,615 | 3,166 | ||
Series C, 0% 12/1/21 (Escrowed to Maturity) (g) | 2,600 | 1,466 | ||
Savannah Econ. Dev. Auth. Rev. (Southern Care Corp. Proj.) Series C, 0% 12/1/21 (Escrowed to Maturity) (g) | 17,000 | 9,586 | ||
Valdosta & Lowndes County Hosp. (South Georgia Med. Ctr. Proj.) 5% 10/1/20 | 1,570 | 1,407 | ||
| 122,929 | |||
Guam - 0.0% | ||||
Guam Wtrwks. Auth. Wtr. and Wastewtr. Sys. Rev. Series 2005, 5.875% 7/1/35 | 605 | 439 | ||
Hawaii - 0.5% | ||||
Hawaii Arpts. Sys. Rev.: | ||||
Series 2000 A, 5.75% 7/1/21 (FGIC Insured) | 2,640 | 2,694 | ||
Series 2000 B, 8% 7/1/11 (FGIC Insured) (f) | 9,250 | 9,925 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Hawaii - continued | ||||
Honolulu City & County Board of Wtr. Supply Wtr. Sys. Rev. Series B: | ||||
5% 7/1/12 (MBIA Insured) (f) | $ 1,690 | $ 1,746 | ||
5% 7/1/13 (MBIA Insured) (f) | 1,000 | 1,033 | ||
5% 7/1/14 (MBIA Insured) (f) | 1,140 | 1,173 | ||
5% 7/1/15 (MBIA Insured) (f) | 1,430 | 1,460 | ||
5.25% 7/1/18 (MBIA Insured) (f) | 3,205 | 3,221 | ||
| 21,252 | |||
Idaho - 0.2% | ||||
Idaho Health Facilities Auth. Rev. (St. Luke's Health Sys. Proj.) Series 2008 A: | ||||
6.5% 11/1/28 | 4,340 | 4,150 | ||
6.75% 11/1/37 | 4,300 | 4,107 | ||
| 8,257 | |||
Illinois - 12.1% | ||||
Boone & Winnebago County Cmnty. Unit School District 200: | ||||
0% 1/1/21 (FGIC Insured) | 1,810 | 966 | ||
0% 1/1/22 (FGIC Insured) | 1,950 | 954 | ||
Chicago Board of Ed. Series 1999 A, 0% 12/1/16 (FGIC Insured) | 3,200 | 2,224 | ||
Chicago Gen. Oblig.: | ||||
(City Colleges Proj.): | ||||
0% 1/1/14 (FGIC Insured) | 17,000 | 14,250 | ||
0% 1/1/15 (FGIC Insured) | 20,000 | 15,965 | ||
(Neighborhoods Alive 21 Prog.): | ||||
5% 1/1/28 (AMBAC Insured) | 2,000 | 1,945 | ||
5% 1/1/33 (AMBAC Insured) | 3,510 | 3,274 | ||
Series 2000 D, 5.5% 1/1/35 | 15,000 | 15,019 | ||
Series 2001 A, 5.25% 1/1/33 (MBIA Insured) | 2,150 | 2,054 | ||
Series 2003 A, 5.25% 1/1/22 (MBIA Insured) | 740 | 756 | ||
Series 2003 C, 5% 1/1/35 (MBIA Insured) | 1,445 | 1,227 | ||
Series 2004 A: | ||||
5% 1/1/34 (FSA Insured) | 12,510 | 10,778 | ||
5.25% 1/1/29 (FSA Insured) | 435 | 407 | ||
Series A: | ||||
5% 1/1/42 (AMBAC Insured) | 465 | 425 | ||
5.5% 1/1/38 (MBIA Insured) | 5,620 | 5,548 | ||
Series C: | ||||
5.5% 1/1/40 | 5,520 | 5,524 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Illinois - continued | ||||
Chicago Gen. Oblig.: - continued | ||||
Series C: | ||||
5.7% 1/1/30 (FGIC Insured) | $ 5,760 | $ 5,816 | ||
Chicago Midway Arpt. Rev. Series B: | ||||
5.25% 1/1/13 (MBIA Insured) (f) | 2,910 | 2,913 | ||
5.25% 1/1/14 (MBIA Insured) (f) | 3,060 | 3,060 | ||
6% 1/1/10 (MBIA Insured) (f) | 2,435 | 2,439 | ||
6.125% 1/1/11 (MBIA Insured) (f) | 2,580 | 2,584 | ||
Chicago Motor Fuel Tax Rev. Series A: | ||||
5% 1/1/33 (AMBAC Insured) | 3,810 | 3,475 | ||
5.25% 1/1/19 (AMBAC Insured) | 1,780 | 1,873 | ||
Chicago O'Hare Int'l. Arpt. Rev.: | ||||
Series 1999, 5.5% 1/1/11 (f) | 10,000 | 10,082 | ||
Series 2001 B, 5.75% 1/1/30 (AMBAC Insured) | 13,420 | 12,398 | ||
Series 2008 A, 5% 1/1/16 (FSA Insured) | 6,800 | 7,039 | ||
Series A: | ||||
5.5% 1/1/16 (AMBAC Insured) (f) | 10,770 | 10,629 | ||
6.25% 1/1/09 (AMBAC Insured) (f) | 6,040 | 6,040 | ||
Chicago Park District Series A: | ||||
5.25% 1/1/18 (FGIC Insured) | 4,690 | 4,984 | ||
5.25% 1/1/19 | 3,000 | 3,156 | ||
5.25% 1/1/20 | 2,195 | 2,288 | ||
5.5% 1/1/19 (FGIC Insured) | 475 | 486 | ||
5.5% 1/1/20 (FGIC Insured) | 490 | 500 | ||
Chicago Spl. Trans. Rev. Series 2001: | ||||
5.25% 1/1/31 (Pre-Refunded to 1/1/27 @ 100) (g) | 11,670 | 12,069 | ||
5.5% 1/1/17 (Escrowed to Maturity) (g) | 1,135 | 1,200 | ||
Chicago Transit Auth. Cap. Grant Receipts Rev.: | ||||
5% 6/1/20 (AMBAC Insured) | 7,000 | 7,022 | ||
5% 6/1/21 | 2,600 | 2,567 | ||
Chicago Wtr. Rev. Series 2000, 0% 11/1/16 (AMBAC Insured) | 7,555 | 5,480 | ||
Cicero Gen. Oblig. 5.25% 12/1/26 (MBIA Insured) | 3,010 | 3,053 | ||
Cook County Gen. Oblig.: | ||||
Series 2002 C, 5% 11/15/25 | 8,400 | 8,426 | ||
Series 2004 B, 5.25% 11/15/26 (MBIA Insured) | 2,700 | 2,736 | ||
Series B: | ||||
5% 11/15/19 (MBIA Insured) | 2,600 | 2,758 | ||
5.25% 11/15/28 (MBIA Insured) | 1,400 | 1,408 | ||
DuPage County Forest Preserve District Rev. 0% 11/1/17 | 6,665 | 4,664 | ||
Evanston Gen. Oblig. Series C: | ||||
5.25% 1/1/16 | 185 | 197 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Illinois - continued | ||||
Evanston Gen. Oblig. Series C: - continued | ||||
5.25% 1/1/22 | $ 380 | $ 391 | ||
Franklin Park Village Cook County Gen. Oblig. Series B, 5% 7/1/18 (AMBAC Insured) | 1,450 | 1,520 | ||
Grundy, Kendall & Will County Cmnty. High School District #111 Gen. Oblig. Series 2006 A: | ||||
5.25% 5/1/25 | 5,000 | 5,021 | ||
5.5% 5/1/23 | 3,000 | 3,091 | ||
Hodgkins Tax Increment Rev. 5% 1/1/11 | 2,075 | 1,977 | ||
Illinois Dedicated Tax Rev. Series B, 0% 12/15/18 (AMBAC Insured) | 4,500 | 2,874 | ||
Illinois Dev. Fin. Auth. Rev.: | ||||
(DePaul Univ. Proj.) Series 2004 C, 5.625% 10/1/17 | 2,800 | 2,978 | ||
(Revolving Fund-Master Trust Prog.): | ||||
5.5% 9/1/18 | 5,365 | 5,707 | ||
5.5% 9/1/19 | 4,405 | 4,646 | ||
Illinois Edl. Facilities Auth. Revs. (Univ. of Chicago Proj.) Series 2005 A, 5.25% 7/1/41 | 755 | 743 | ||
Illinois Fin. Auth. Gas Supply Rev. (Peoples Gas Lt. and Coke Co. Proj.) Series A, 4.3%, tender 6/1/16 (AMBAC Insured) (c) | 3,860 | 3,797 | ||
Illinois Fin. Auth. Rev.: | ||||
(Advocate Heath Care Proj.) Series 2008 D, 6.5% 11/1/38 | 4,300 | 4,159 | ||
(Alexian Brothers Health Sys. Proj.) Series 2008, 5.5% 2/15/38 | 7,000 | 5,336 | ||
(Children's Memorial Hosp. Proj.) Series 2008 A: | ||||
5.25% 8/15/33 (Assured Guaranty Corp. Insured) | 10,600 | 8,786 | ||
5.25% 8/15/47 (Assured Guaranty Corp. Insured) | 2,000 | 1,537 | ||
(Edward Hosp. Obligated Group Proj.) Series 2008 A: | ||||
5.5% 2/1/40 (AMBAC Insured) | 1,000 | 748 | ||
6% 2/1/28 (AMBAC Insured) | 1,000 | 876 | ||
(Newman Foundation Proj.): | ||||
5% 2/1/32 (Radian Asset Assurance, Inc. Insured) | 1,300 | 1,029 | ||
5% 2/1/37 (Radian Asset Assurance, Inc. Insured) | 10,000 | 7,737 | ||
(Northwest Cmnty. Hosp. Proj.) Series 2008 A, 5.5% 7/1/38 | 12,500 | 10,520 | ||
Illinois Gen. Oblig.: | ||||
First Series: | ||||
5.25% 12/1/17 (FSA Insured) | 2,260 | 2,412 | ||
5.25% 12/1/20 | 2,000 | 2,074 | ||
5.375% 7/1/15 (MBIA Insured) | 3,700 | 3,974 | ||
5.5% 4/1/16 (FSA Insured) | 1,300 | 1,392 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Illinois - continued | ||||
Illinois Gen. Oblig.: - continued | ||||
First Series: | ||||
5.5% 8/1/16 (MBIA Insured) | $ 13,000 | $ 13,973 | ||
5.5% 8/1/17 (MBIA Insured) | 7,500 | 8,041 | ||
5.5% 2/1/18 (FGIC Insured) | 1,000 | 1,054 | ||
5.5% 8/1/18 (MBIA Insured) | 5,000 | 5,340 | ||
5.75% 12/1/18 (MBIA Insured) | 1,200 | 1,241 | ||
Series 2000: | ||||
5.5% 4/1/17 | 7,065 | 7,284 | ||
5.6% 4/1/21 | 7,500 | 7,654 | ||
Series 2006, 5.5% 1/1/31 | 3,000 | 3,166 | ||
5.7% 4/1/16 | 7,350 | 7,615 | ||
Illinois Health Facilities Auth. Rev.: | ||||
(Condell Med. Ctr. Proj.): | ||||
6.5% 5/15/30 (Pre-Refunded to 5/15/10 @ 101) (g) | 9,000 | 9,662 | ||
7% 5/15/22 (Pre-Refunded to 5/15/10 @ 101) (g) | 5,000 | 5,401 | ||
(Delnor Hosp. Proj.) Series D, 5.25% 5/15/32 (FSA Insured) | 3,000 | 2,662 | ||
(Lake Forest Hosp. Proj.): | ||||
Series A, 6.25% 7/1/22 | 4,200 | 4,096 | ||
6% 7/1/33 | 3,775 | 3,191 | ||
(Lutheran Gen. Health Care Sys. Proj.) Series C: | ||||
6% 4/1/18 | 3,000 | 3,334 | ||
7% 4/1/14 | 1,500 | 1,714 | ||
(Swedish American Hosp. Proj.) 6.875% 11/15/30 (Pre-Refunded to 5/15/10 @ 101) (g) | 6,945 | 7,401 | ||
6.75% 2/15/15 (Escrowed to Maturity) (g) | 1,000 | 1,064 | ||
Illinois Muni. Elec. Agcy. Pwr. Supply Series A, 5% 2/1/35 | 5,000 | 4,304 | ||
Illinois Reg'l. Trans. Auth. Series A, 8% 6/1/17 (AMBAC Insured) | 4,500 | 5,710 | ||
Illinois Sales Tax Rev. First Series, 6% 6/15/20 | 4,600 | 4,705 | ||
Kane & DeKalb Counties Cmnty. Unit School District #302 5.5% 2/1/25 (FSA Insured) | 3,000 | 3,056 | ||
Kane, McHenry, Cook & DeKalb Counties Unit School District #300: | ||||
Series 2001, 0% 12/1/17 (AMBAC Insured) | 3,700 | 2,531 | ||
Series 2007, 6.5% 1/1/20 (AMBAC Insured) | 7,865 | 8,924 | ||
0% 12/1/21 | 5,000 | 2,565 | ||
Lake County Cmnty. High School District #117, Antioch Series B, 0% 12/1/18 (FGIC Insured) | 7,240 | 4,435 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Illinois - continued | ||||
Lake County Forest Preservation District Series 2007 A, 1.687% 12/15/13 (c) | $ 2,050 | $ 1,846 | ||
Lake County Warren Township High School District #121, Gurnee Series C: | ||||
5.5% 3/1/24 (AMBAC Insured) | 2,945 | 3,041 | ||
5.625% 3/1/21 (AMBAC Insured) | 2,505 | 2,651 | ||
5.75% 3/1/19 (AMBAC Insured) | 2,240 | 2,426 | ||
McHenry & Kane Counties Cmnty. Consolidated School District #158 Series 2003, 0% 1/1/19 (FGIC Insured) | 3,000 | 1,785 | ||
Metropolitan Pier & Exposition Auth. Dedicated State Tax Rev.: | ||||
(McCormick Place Expansion Proj.): | ||||
Series 2002 A, 5.75% 6/15/41 (MBIA Insured) | 26,420 | 26,439 | ||
Series 2002 B, 0% 6/15/20 (MBIA Insured) (a) | 2,000 | 1,769 | ||
Series A: | ||||
0% 6/15/15 (FGIC Insured) | 15,000 | 11,644 | ||
0% 6/15/19 (FGIC Insured) | 3,305 | 2,006 | ||
0% 6/15/19 (MBIA Insured) | 2,935 | 1,790 | ||
0% 6/15/20 (FGIC Insured) | 3,610 | 2,020 | ||
5% 12/15/28 (MBIA Insured) | 2,000 | 1,908 | ||
5.25% 12/15/10 (AMBAC Insured) | 12,950 | 12,958 | ||
6.65% 6/15/12 (FGIC Insured) | 250 | 250 | ||
Series 1996 A, 0% 6/15/24 | 3,060 | 1,287 | ||
Series 2002: | ||||
0% 6/15/13 (Escrowed to Maturity) (g) | 4,155 | 3,706 | ||
0% 6/15/13 (FGIC Insured) | 5,575 | 4,781 | ||
Series A, 0% 12/15/19 (MBIA Insured) | 2,115 | 1,244 | ||
Moline Gen. Oblig. Series A, 5.5% 2/1/17 (FGIC Insured) | 1,000 | 1,048 | ||
Quincy Hosp. Rev.: | ||||
(Blessing Hosp. Proj.) 5% 11/15/16 | 1,200 | 1,135 | ||
Series 2007, 5% 11/15/14 | 1,000 | 975 | ||
5% 11/15/18 | 1,000 | 905 | ||
Schaumburg Village Gen. Oblig. Series B, 5% 12/1/38 | 15,100 | 13,977 | ||
Univ. of Illinois Univ. Revs. (Auxiliary Facilities Sys. Proj.): | ||||
Series 1991: | ||||
0% 4/1/17 (MBIA Insured) | 16,270 | 11,544 | ||
0% 4/1/20 (MBIA Insured) | 8,000 | 4,669 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Illinois - continued | ||||
Univ. of Illinois Univ. Revs. (Auxiliary Facilities Sys. Proj.): - continued | ||||
Series 1999 A, 0% 4/1/21 (MBIA Insured) | $ 4,965 | $ 2,684 | ||
Will County Cmnty. Unit School District #365 0% 11/1/17 (FSA Insured) | 3,200 | 2,045 | ||
| 548,639 | |||
Indiana - 2.5% | ||||
Avon 2000 Cmnty. School Bldg. Corp. Series 2005, 5% 7/15/17 (FSA Insured) | 2,835 | 3,018 | ||
Clark-Pleasant 2004 School Bldg. Corp.: | ||||
5.25% 7/15/23 (FSA Insured) | 1,545 | 1,564 | ||
5.25% 7/15/25 (FSA Insured) | 1,720 | 1,722 | ||
Crown Point Multi-School Bldg. Corp. 0% 1/15/21 (MBIA Insured) | 7,480 | 3,770 | ||
Franklin Township Independent School Bldg. Corp., Marion County: | ||||
5% 7/15/24 (MBIA Insured) | 1,365 | 1,321 | ||
5.25% 7/15/17 (MBIA Insured) | 1,885 | 2,011 | ||
GCS School Bldg. Corp. One 5% 7/15/22 (FSA Insured) | 1,545 | 1,572 | ||
Hobart Bldg. Corp. Series 2006, 6.5% 1/15/29 (FGIC Insured) | 25,900 | 28,288 | ||
Indiana Bond Bank Series B: | ||||
5% 2/1/19 (MBIA Insured) | 1,940 | 2,005 | ||
5% 2/1/20 (MBIA Insured) | 1,635 | 1,674 | ||
Indiana Dev. Fin. Auth. Rev. 5.95% 8/1/30 (f) | 7,350 | 5,136 | ||
Indiana Dev. Fin. Auth. Solid Waste Disp. Rev. (Waste Mgmt., Inc. Proj.) 4.7%, tender 10/1/15 (c)(f) | 3,000 | 2,223 | ||
Indiana Fin. Auth. Health Sys. Rev. (Sisters of Saint Francis Health Svcs., Inc. Obligated Group Proj.) Series 2008 C, 5.375% 11/1/32 | 7,815 | 6,635 | ||
Indiana Health & Edl. Facilities Fing. Auth. Hosp. Rev. Series B: | ||||
5% 2/15/14 | 1,060 | 1,002 | ||
5% 2/15/15 | 1,500 | 1,388 | ||
Indiana Health Facilities Fing. Auth. Hosp. Rev. (Columbus Reg'l. Hosp. Proj.) Series 1993, 7% 8/15/15 (FSA Insured) | 2,500 | 2,871 | ||
Indiana Health Facility Fing. Auth. Rev. (Ascension Health Subordinate Cr. Proj.) Series 2005 A1, 5%, tender 5/1/13 (c) | 3,000 | 3,081 | ||
Indiana Muni. Pwr. Agcy. Pwr. Supply Sys. Rev. Series A, 5% 1/1/32 | 2,500 | 2,228 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Indiana - continued | ||||
Indiana Trans. Fin. Auth. Hwy. Rev. Series 1993 A: | ||||
0% 6/1/16 (AMBAC Insured) | $ 6,470 | $ 4,833 | ||
0% 6/1/18 (AMBAC Insured) | 1,700 | 1,120 | ||
Indianapolis Local Pub. Impt. Bond Bank (Indianapolis Arpt. Auth. Proj.) Series 2006 F: | ||||
5% 1/1/16 (AMBAC Insured) (f) | 1,525 | 1,461 | ||
5% 1/1/17 (AMBAC Insured) (f) | 1,700 | 1,585 | ||
5.25% 1/1/14 (AMBAC Insured) (f) | 2,675 | 2,666 | ||
Jasper County Indl. Poll. Ctl. Rev. (Northern Indiana Pub. Svc. Co. Proj.) Series 1988 C, 5.6% 11/1/16 (MBIA Insured) | 4,000 | 4,048 | ||
Petersburg Poll. Cont. Rev. (Indianapolis Pwr. & Lt. Co. Proj.): | ||||
Series 1994, 5.9% 12/1/24 (f) | 10,000 | 7,521 | ||
Series 1995 C, 5.95% 12/1/29 (f) | 2,000 | 1,408 | ||
Rockport Poll. Cont. Rev. (AEP Generating Co. Proj.) Series 1995 A, 4.15%, tender 7/15/11 (AMBAC Insured) (c) | 4,400 | 4,588 | ||
Southmont School Bldg. Corp. Series 2004, 5% 7/15/15 (FGIC Insured) | 2,000 | 2,109 | ||
Vigo County Hosp. Auth. Rev. (Union Hosp., Inc. Proj.) Series 2007: | ||||
5.7% 9/1/37 | 2,000 | 1,189 | ||
5.75% 9/1/42 | 1,000 | 584 | ||
Wayne Township Marion County School Bldg. Corp. Series 2007, 5.5% 1/15/31 (MBIA Insured) | 5,560 | 5,599 | ||
Westfield Washington Multi-School Bldg. Corp. Series A, 5% 7/15/18 (FSA Insured) | 1,500 | 1,567 | ||
Zionsville Cmnty. Schools Bldg. Series 2005, 5% 7/15/20 (FSA Insured) | 1,945 | 1,986 | ||
| 113,773 | |||
Iowa - 0.3% | ||||
Iowa Fin. Auth. Hosp. Facilities Rev. Series 2000: | ||||
6.75% 2/15/13 (Pre-Refunded to 2/15/10 @ 101) (g) | 1,000 | 1,067 | ||
6.75% 2/15/15 (Pre-Refunded to 2/15/10 @ 101) (g) | 1,000 | 1,067 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Iowa - continued | ||||
Iowa Fin. Auth. Hosp. Facilities Rev. Series 2000: - continued | ||||
6.75% 2/15/17 (Pre-Refunded to 2/15/10 @ 101) (g) | $ 1,000 | $ 1,067 | ||
Tobacco Settlement Auth. Tobacco Settlement Rev. Series 2001 B, 5.3% 6/1/25 (Pre-Refunded to 6/1/11 @ 101) (g) | 10,000 | 10,669 | ||
| 13,870 | |||
Kansas - 0.3% | ||||
Kansas Dev. Fin. Auth. Health Facilities Rev. (Sisters of Charity of Leavenworth Health Svcs. Corp. Proj.) Series J, 6.25% 12/1/28 | 4,500 | 4,594 | ||
Olathe Health Facilities Rev. (Olathe Med. Ctr. Proj.) Series 2008 A, 4.125%, tender 3/1/13 (c) | 4,400 | 4,304 | ||
Topeka Combined Util. Impt. Rev. Series 2005 A: | ||||
6% 8/1/20 (XL Cap. Assurance, Inc. Insured) | 1,200 | 1,285 | ||
6% 8/1/25 (XL Cap. Assurance, Inc. Insured) | 1,100 | 1,141 | ||
6% 8/1/27 (XL Cap. Assurance, Inc. Insured) | 1,235 | 1,271 | ||
| 12,595 | |||
Kentucky - 0.7% | ||||
Jefferson County Cap. Projs. Corp. Rev. (Lease Prog.) Series A, 0% 8/15/11 | 5,250 | 4,828 | ||
Louisville & Jefferson County Metropolitan Govt. Health Facilities Rev. (Jewish Hosp. & St. Mary's HealthCare Proj.) Series 2008, 6.125% 2/1/37 | 7,400 | 6,479 | ||
Louisville & Jefferson County Metropolitan Swr. District Swr. & Drain Sys. Rev. Series A, 5.25% 5/15/37 | 15,750 | 14,121 | ||
Louisville & Jefferson County Reg'l. Arpt. Auth. Arpt. Sys. Rev. Series 2001 A: | ||||
5.25% 7/1/09 (FSA Insured) (f) | 1,545 | 1,560 | ||
5.5% 7/1/10 (FSA Insured) (f) | 3,800 | 3,889 | ||
| 30,877 | |||
Louisiana - 1.4% | ||||
Louisiana Gas & Fuel Tax Rev. Series A, 5.375% 6/1/20 (AMBAC Insured) | 3,000 | 3,099 | ||
Louisiana Pub. Facilities Auth. Rev.: | ||||
(Archdiocese of New Orleans Proj.) Series 2007: | ||||
5% 7/1/20 (CIFG North America Insured) | 1,000 | 779 | ||
5% 7/1/21 (CIFG North America Insured) | 1,000 | 760 | ||
(Nineteenth Judicial District Court Proj.) Series 2007: | ||||
5.375% 6/1/19 (FGIC Insured) | 1,000 | 1,026 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Louisiana - continued | ||||
Louisiana Pub. Facilities Auth. Rev.: - continued | ||||
(Nineteenth Judicial District Court Proj.) Series 2007: | ||||
5.375% 6/1/32 (FGIC Insured) | $ 1,900 | $ 1,745 | ||
5.5% 6/1/41 (FGIC Insured) | 15,500 | 14,241 | ||
Monroe-West Monroe Pub. Trust Fing. Auth. Mtg. Rev. Series C, 0% 8/20/14 | 8,625 | 6,279 | ||
New Orleans Aviation Board Rev.: | ||||
Series 2007 A, 5% 1/1/17 (FSA Insured) (f) | 1,420 | 1,311 | ||
Series 2007 B2, 5% 1/1/16 (FSA Insured) (f) | 1,000 | 928 | ||
New Orleans Gen. Oblig.: | ||||
Series 2005: | ||||
5% 12/1/29 (MBIA Insured) | 4,690 | 3,901 | ||
5.25% 12/1/24 (MBIA Insured) | 3,450 | 3,105 | ||
0% 9/1/09 (AMBAC Insured) | 16,500 | 16,225 | ||
0% 9/1/11 (AMBAC Insured) | 3,080 | 2,850 | ||
0% 9/1/13 (AMBAC Insured) | 3,350 | 2,858 | ||
0% 9/1/14 (AMBAC Insured) | 3,165 | 2,578 | ||
Tobacco Settlement Fing. Corp. Series 2001 B, 5.875% 5/15/39 | 1,000 | 623 | ||
| 62,308 | |||
Maine - 0.3% | ||||
Maine Tpk. Auth. Tpk. Rev.: | ||||
Series 2004, 5.25% 7/1/30 | 3,000 | 2,939 | ||
Series 2007, 5.25% 7/1/37 (AMBAC Insured) | 8,760 | 8,508 | ||
| 11,447 | |||
Maryland - 0.4% | ||||
Baltimore Convention Ctr. Hotel Rev. Series A, 5.25% 9/1/39 (XL Cap. Assurance, Inc. Insured) | 5,735 | 3,289 | ||
Maryland Econ. Dev. Corp. Student Hsg. Rev. (Univ. of Maryland, Baltimore County Student Hsg. Proj.) Series 2006: | ||||
5% 6/1/14 (CIFG North America Insured) | 1,020 | 1,016 | ||
5% 6/1/16 (CIFG North America Insured) | 1,000 | 974 | ||
5% 6/1/19 (CIFG North America Insured) | 1,500 | 1,342 | ||
Maryland Health & Higher Edl. Facilities Auth. Rev.: | ||||
(Good Samaritan Hosp. Proj.): | ||||
5.75% 7/1/13 (Escrowed to Maturity) (g) | 1,605 | 1,749 | ||
5.75% 7/1/13 (Escrowed to Maturity) (g) | 995 | 1,084 | ||
(Johns Hopkins Med. Institutions Utils. Proj.) Series 2005 B, 5% 5/15/35 | 2,700 | 2,571 | ||
(Upper Chesapeake Hosp. Proj.) Series 2008 C, 6% 1/1/38 | 3,000 | 2,044 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Maryland - continued | ||||
Maryland Health & Higher Edl. Facilities Auth. Rev.: - continued | ||||
(Washington County Health Sys. Proj.) Series 2008: | ||||
6% 1/1/28 | $ 5,000 | $ 3,525 | ||
6% 1/1/43 | 1,500 | 967 | ||
| 18,561 | |||
Massachusetts - 4.8% | ||||
Massachusetts Bay Trans. Auth. Series 1992 B, 6.2% 3/1/16 | 3,800 | 4,308 | ||
Massachusetts Bay Trans. Auth. Assessment Rev. Series 2000 A, 5.25% 7/1/30 | 580 | 581 | ||
Massachusetts Edl. Fing. Auth. Rev. Series 1999 AE, 4.9% 7/1/13 (AMBAC Insured) (f) | 1,870 | 1,805 | ||
Massachusetts Fed. Hwy. Series 2000 A, 5.75% 6/15/13 | 5,000 | 5,301 | ||
Massachusetts Gen. Oblig.: | ||||
Series 2007 A, 2.709% 5/1/37 (c) | 7,000 | 3,772 | ||
Series 2007 C: | ||||
5% 8/1/37 | 31,200 | 30,231 | ||
5.25% 8/1/22 | 7,700 | 8,112 | ||
5.25% 8/1/23 | 3,600 | 3,764 | ||
5.25% 8/1/24 | 9,000 | 9,352 | ||
Massachusetts Health & Edl. Facilities Auth. Rev.: | ||||
(Blood Research Institute Proj.) Series A, 6.5% 2/1/22 (h) | 3,540 | 3,101 | ||
(Massachusetts Gen. Hosp. Proj.) Series F, 6.25% 7/1/12 (AMBAC Insured) | 1,255 | 1,343 | ||
(New England Med. Ctr. Hosp. Proj.) Series G, 5.375% 7/1/24 (MBIA Insured) | 1,890 | 1,750 | ||
(South Shore Hosp. Proj.) Series F, 5.75% 7/1/29 | 4,455 | 3,721 | ||
(Tufts Univ. Proj.) Series I, 5.5% 2/15/36 | 10,000 | 9,999 | ||
Massachusetts Indl. Fin. Agcy. Rev. (Massachusetts Biomedical Research Corp. Proj.) Series A2, 0% 8/1/10 | 2,000 | 1,915 | ||
Massachusetts Muni. Wholesale Elec. Co. Pwr. Supply Sys. Rev. Series A, 5% 7/1/10 (Escrowed to Maturity) (g) | 3,010 | 3,060 | ||
Massachusetts Port Auth. Spl. Facilities Rev. (Delta Air Lines, Inc. Proj.) Series 2001 A: | ||||
5.5% 1/1/12 (AMBAC Insured) (f) | 2,000 | 1,299 | ||
5.5% 1/1/14 (AMBAC Insured) (f) | 2,540 | 1,554 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Massachusetts - continued | ||||
Massachusetts School Bldg. Auth. Dedicated Sales Tax Rev.: | ||||
Series 2005 A: | ||||
5% 8/15/23 | $ 29,965 | $ 30,418 | ||
5% 8/15/26 | 10,000 | 10,016 | ||
5% 8/15/30 | 30,000 | 29,225 | ||
Series 2007 A: | ||||
4.5% 8/15/35 | 16,000 | 13,159 | ||
5% 8/15/37 | 10,400 | 9,884 | ||
Massachusetts Tpk. Auth. Metropolitan Hwy. Sys. Rev.: | ||||
Series 1999 A, 5.25% 1/1/29 (AMBAC Insured) | 14,400 | 10,806 | ||
Sr. Series 1997 A: | ||||
5% 1/1/37 (MBIA Insured) | 10,000 | 6,716 | ||
5.125% 1/1/23 (MBIA Insured) | 7,950 | 6,923 | ||
Massachusetts Tpk. Auth. Western Tpk. Rev. Series 1997 A, 5.55% 1/1/17 (MBIA Insured) | 7,585 | 7,585 | ||
Massachusetts Wtr. Poll. Abatement Trust Wtr. Poll. Abatement Rev. (MWRA Ln. Prog.) Series 1998 A, 5.25% 8/1/13 | 90 | 91 | ||
| 219,791 | |||
Michigan - 2.0% | ||||
Detroit Swr. Disp. Rev.: | ||||
Series 2001 E, 5.75% 7/1/31 (Berkshire Hathaway Assurance Corp. Insured) | 8,000 | 8,006 | ||
Series B, 5% 7/1/36 | 20,700 | 15,966 | ||
Detroit Wtr. Supply Sys. Rev.: | ||||
Series 2004 A, 5.25% 7/1/15 (MBIA Insured) | 2,380 | 2,455 | ||
Series A: | ||||
5% 7/1/34 (MBIA Insured) | 12,000 | 9,597 | ||
5.25% 7/1/16 (MBIA Insured) | 1,685 | 1,733 | ||
Series B, 5.5% 7/1/35 (Berkshire Hathaway Assurance Corp. Insured) (FGIC Insured) | 5,000 | 4,931 | ||
DeWitt Pub. Schools 5% 5/1/21 (MBIA Insured) | 1,650 | 1,657 | ||
Ferris State Univ. Rev. 5% 10/1/20 (MBIA Insured) | 3,165 | 3,225 | ||
Fowlerville Cmnty. School District 5.25% 5/1/17 (FGIC Insured) | 1,425 | 1,519 | ||
Kent Hosp. Fin. Auth. Hosp. Facilities Rev. (Spectrum Health Sys. Proj.) Series 2008 A, 5.25%, tender 1/15/14 (c) | 3,000 | 3,026 | ||
Lapeer Cmnty. Schools Series 2007, 5% 5/1/33 (FSA Insured) | 2,600 | 2,484 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Michigan - continued | ||||
Michigan Hosp. Fin. Auth. Rev.: | ||||
(McLaren Health Care Corp. Proj.) Series 2008 A, 5.75% 5/15/38 | $ 3,000 | $ 2,513 | ||
(Mercy Health Svcs. Proj.): | ||||
Series Q, 5.375% 8/15/26 (Escrowed to Maturity) (g) | 4,750 | 4,750 | ||
Series W, 5.25% 8/15/27 (Escrowed to Maturity) (g) | 4,000 | 3,898 | ||
(Sisters of Mercy Health Corp. Proj.) Series P, 5.375% 8/15/14 (Escrowed to Maturity) (g) | 420 | 443 | ||
(Trinity Health Sys. Proj.): | ||||
Series 2000 A, 6% 12/1/27 | 2,000 | 1,908 | ||
Series 2008 A, 6.5% 12/1/33 | 4,000 | 3,908 | ||
Michigan Tobacco Settlement Fin. Auth. Tobacco Settlement Asset Rev. Series A, 6% 6/1/34 | 5,000 | 3,002 | ||
Portage Pub. Schools 5% 5/1/21 (FSA Insured) | 6,300 | 6,616 | ||
Royal Oak Hosp. Fin. Auth. Hosp. Rev. (William Beaumont Hosp. Proj.): | ||||
Series M, 5.25% 11/15/31 (MBIA Insured) | 7,000 | 5,274 | ||
6.25% 1/1/09 | 400 | 400 | ||
Three Rivers Cmnty. Schools 5% 5/1/21 (FSA Insured) | 1,710 | 1,769 | ||
| 89,080 | |||
Minnesota - 0.9% | ||||
Maple Grove Health Care Sys. Rev.: | ||||
Series 2007, 5.25% 5/1/28 | 3,500 | 2,811 | ||
5% 5/1/20 | 1,000 | 876 | ||
5% 5/1/21 | 1,500 | 1,289 | ||
Minneapolis & Saint Paul Hsg. & Redev. Auth. Health Care Sys. Rev. (HealthPartners Obligated Group Proj.) 6% 12/1/18 | 1,000 | 796 | ||
Minneapolis & Saint Paul Metropolitan Arpts. Commission Arpt. Rev.: | ||||
Series 2005 A, 5% 1/1/35 (AMBAC Insured) | 4,000 | 3,332 | ||
Series 2007 A, 5% 1/1/22 | 5,000 | 4,788 | ||
Series A: | ||||
5% 1/1/10 (f) | 2,910 | 2,976 | ||
5% 1/1/12 (f) | 2,000 | 2,001 | ||
Minnesota Agric. & Econ. Dev. Board Rev. (Health Care Sys. Proj.) Series 2000 A, 6.375% 11/15/29 | 375 | 347 | ||
Saint Cloud Health Care Rev. (Saint Cloud Hosp. Group Oblig. Proj.) Series 2000 A, 5.875% 5/1/30 (FSA Insured) | 8,500 | 8,243 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Minnesota - continued | ||||
Saint Louis Park Health Care Facilities Rev. (Park Nicollet Health Svcs. Proj.) Series 2008 C, 5.5% 7/1/18 | $ 5,600 | $ 5,341 | ||
Saint Paul Hsg. & Redev. Auth. Health Care Facilities Rev. (HealthPartners Oblig. Group Proj.): | ||||
Series 2006, 5.25% 5/15/36 | 4,250 | 2,446 | ||
5.25% 5/15/18 | 1,650 | 1,249 | ||
5.25% 5/15/23 | 2,000 | 1,358 | ||
Saint Paul Port Auth. Lease Rev. Series 2003 11: | ||||
5.25% 12/1/18 | 1,710 | 1,831 | ||
5.25% 12/1/19 | 2,850 | 3,020 | ||
| 42,704 | |||
Mississippi - 0.1% | ||||
Hinds County Rev. (Mississippi Methodist Hosp. & Rehabilitation Proj.) 5.6% 5/1/12 (AMBAC Insured) | 2,465 | 2,579 | ||
Mississippi Hosp. Equip. & Facilities Auth. (Mississippi Baptist Med. Ctr. Proj.) Series 2007 A, 5% 8/15/14 | 2,500 | 2,448 | ||
| 5,027 | |||
Missouri - 0.1% | ||||
Missouri Dev. Fin. Board Infrastructure Facilities Rev. (City of Branson-Branson Landing Proj.) Series 2005 A, 6% 6/1/20 | 2,125 | 1,689 | ||
Saint Louis Arpt. Rev. Series 2007 B, 5% 7/1/16 (FSA Insured) (f) | 3,500 | 3,381 | ||
| 5,070 | |||
Montana - 0.2% | ||||
Forsyth Poll. Cont. Rev. (Portland Gen. Elec. Co. Proj.) Series 1998 A, 5.2%, tender 5/1/09 (c) | 10,755 | 10,683 | ||
Nebraska - 0.7% | ||||
Central Plains Energy Proj. Rev. (Nebraska Gas Proj.): | ||||
Series 2007 B, 1.9757% 12/1/17 (c) | 7,900 | 4,846 | ||
1.7857% 12/1/10 (c) | 2,500 | 2,320 | ||
Douglas County Hosp. Auth. #2 Rev. (Children's Hosp. Proj.): | ||||
6% 8/15/23 | 2,130 | 1,995 | ||
6% 8/15/28 | 3,500 | 3,093 | ||
6.125% 8/15/31 | 2,250 | 1,961 | ||
Douglas County Hosp. Auth. #3 Health Facilities Rev. (Nebraska Methodist Health Sys. Proj.) Series 2008, 5.75% 11/1/48 | 4,000 | 3,086 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Nebraska - continued | ||||
Omaha Pub. Pwr. District Elec. Rev. Series A: | ||||
5% 2/1/34 | $ 6,750 | $ 6,480 | ||
5% 2/1/46 | 10,000 | 9,272 | ||
| 33,053 | |||
Nevada - 0.5% | ||||
Clark County Arpt. Rev. Series 2003 C: | ||||
5.375% 7/1/17 (AMBAC Insured) (f) | 4,310 | 4,072 | ||
5.375% 7/1/19 (AMBAC Insured) (f) | 1,100 | 997 | ||
5.375% 7/1/21 (AMBAC Insured) (f) | 1,600 | 1,396 | ||
Las Vegas Valley Wtr. District Wtr. Impt. Gen. Oblig. Series 2003 B, 5.25% 6/1/17 (MBIA Insured) | 6,285 | 6,564 | ||
Washoe County Gen. Oblig. (Reno Sparks Proj.) Series B: | ||||
0% 7/1/12 (FSA Insured) | 4,605 | 4,178 | ||
0% 7/1/13 (FSA Insured) | 4,590 | 4,002 | ||
0% 7/1/14 (FSA Insured) | 3,000 | 2,503 | ||
| 23,712 | |||
New Hampshire - 0.1% | ||||
New Hampshire Bus. Fin. Auth. Poll. Cont. Rev. (United Illumination Co.) Series A, 3.65%, tender 2/1/10 (AMBAC Insured) (c)(f) | 6,100 | 6,192 | ||
New Jersey - 1.4% | ||||
Garden State Preservation Trust Open Space & Farmland Preservation Series 2005 A, 5.8% 11/1/19 (FSA Insured) | 5,100 | 5,643 | ||
New Jersey Econ. Dev. Auth. School Facilities Construction Rev.: | ||||
Series 2005 O: | ||||
5.125% 3/1/28 | 6,000 | 5,570 | ||
5.125% 3/1/30 | 5,000 | 4,570 | ||
5.25% 3/1/21 (MBIA Insured) | 2,800 | 2,904 | ||
5.25% 3/1/23 | 4,500 | 4,507 | ||
5.25% 3/1/25 | 9,900 | 9,688 | ||
5.25% 3/1/26 | 11,305 | 10,956 | ||
Series 2005 P, 5.125% 9/1/28 | 2,445 | 2,268 | ||
New Jersey Trans. Trust Fund Auth. Series B, 5.5% 12/15/21 (MBIA Insured) | 5,000 | 5,135 | ||
North Hudson Swr. Auth. Wtr. & Swr. Rev. Series A: | ||||
5.25% 8/1/18 (FGIC Insured) | 3,235 | 3,339 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
New Jersey - continued | ||||
North Hudson Swr. Auth. Wtr. & Swr. Rev. Series A: - continued | ||||
5.25% 8/1/19 (FGIC Insured) | $ 2,735 | $ 2,791 | ||
Union County Impt. Auth. (Juvenile Detention Ctr. Facility Proj.) 5.5% 5/1/28 (FGIC Insured) | 5,560 | 5,002 | ||
| 62,373 | |||
New Mexico - 0.2% | ||||
Albuquerque Arpt. Rev. Series 1997: | ||||
6.75% 7/1/09 (AMBAC Insured) (f) | 1,150 | 1,169 | ||
6.75% 7/1/10 (AMBAC Insured) (f) | 1,700 | 1,766 | ||
6.75% 7/1/12 (AMBAC Insured) (f) | 1,935 | 2,036 | ||
Univ. of New Mexico Univ. Revs. Series A, 6% 6/1/21 | 5,340 | 6,235 | ||
| 11,206 | |||
New York - 13.1% | ||||
Albany Indl. Dev. Agcy. Civic Facility Rev. (St. Peters Hosp. Proj.) Series 2008 A: | ||||
5.25% 11/15/16 | 1,955 | 1,640 | ||
5.25% 11/15/17 (St Peters Hosp. Insured) | 1,500 | 1,228 | ||
Erie County Indl. Dev. Agcy. School Facilities Rev. (Buffalo City School District Proj.): | ||||
Series 2003: | ||||
5.75% 5/1/15 | 7,000 | 7,518 | ||
5.75% 5/1/18 (FSA Insured) | 3,460 | 3,598 | ||
5.75% 5/1/21 | 1,575 | 1,607 | ||
5.75% 5/1/23 | 1,750 | 1,768 | ||
Series 2004: | ||||
5.75% 5/1/16 | 13,120 | 14,242 | ||
5.75% 5/1/18 | 14,720 | 15,624 | ||
5.75% 5/1/20 (FSA Insured) | 8,000 | 8,314 | ||
5.75% 5/1/21 (FSA Insured) | 3,845 | 3,965 | ||
5.75% 5/1/22 (FSA Insured) | 1,000 | 1,023 | ||
5.75% 5/1/23 (FSA Insured) | 3,000 | 3,048 | ||
5.75% 5/1/24 (FSA Insured) | 3,000 | 3,037 | ||
5.75% 5/1/25 (FSA Insured) | 3,400 | 3,428 | ||
5.75% 5/1/26 | 5,200 | 5,228 | ||
Hudson Yards Infrastructure Corp. New York Rev. Series A: | ||||
5% 2/15/47 | 14,500 | 10,425 | ||
5% 2/15/47 | 13,100 | 9,431 | ||
Long Island Pwr. Auth. Elec. Sys. Rev. Series A: | ||||
5% 12/1/25 (FGIC Insured) | 5,000 | 4,412 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
New York - continued | ||||
Long Island Pwr. Auth. Elec. Sys. Rev. Series A: - continued | ||||
5% 12/1/26 (XL Cap. Assurance, Inc. Insured) | $ 2,600 | $ 2,241 | ||
Metropolitan Trans. Auth. Svc. Contract Rev.: | ||||
Series 2002 A, 5.75% 7/1/31 | 3,800 | 3,821 | ||
Series 2002 B, 5.5% 7/1/19 (MBIA Insured) | 2,000 | 2,092 | ||
New York City Gen. Oblig.: | ||||
Series 2000 A, 6.5% 5/15/11 | 420 | 444 | ||
Series 2002 B, 5.75% 8/1/14 | 2,000 | 2,145 | ||
Series 2003 A, 5.5% 8/1/20 | 8,000 | 8,171 | ||
Series 2003 J, 5.5% 6/1/19 | 5,195 | 5,373 | ||
Series 2008 A1, 5.25% 8/15/27 | 9,940 | 9,311 | ||
Series 2008 D1, 5.125% 12/1/22 | 5,000 | 4,905 | ||
New York City Indl. Dev. Agcy. Indl. Dev. Rev. (Japan Airlines Co. Ltd. Proj.) Series 1991, 6% 11/1/15 (FSA Insured) (f) | 1,060 | 1,060 | ||
New York City Indl. Dev. Agcy. Rev.: | ||||
(Queens Baseball Stadium Proj.) 5% 1/1/19 (AMBAC Insured) | 3,735 | 3,285 | ||
(Yankee Stadium Proj.) Series 2006, 5% 3/1/31 | 4,825 | 3,428 | ||
New York City Indl. Dev. Agcy. Spl. Facilities Rev. (Terminal One Group Assoc. Proj.) 5% 1/1/09 (f) | 3,100 | 3,100 | ||
New York City Muni. Wtr. Fin. Auth. Wtr. & Swr. Sys. Rev.: | ||||
Series 2002 A, 5.125% 6/15/34 | 3,300 | 3,224 | ||
Series 2003 E, 5% 6/15/34 | 11,120 | 10,494 | ||
Series 2005 D: | ||||
5% 6/15/37 | 2,800 | 2,623 | ||
5% 6/15/38 | 15,600 | 14,576 | ||
5% 6/15/39 | 3,540 | 3,304 | ||
Series A, 5.125% 6/15/34 | 13,800 | 13,483 | ||
Series B, 5.125% 6/15/31 | 4,160 | 4,044 | ||
Series G, 5.125% 6/15/32 | 2,000 | 1,932 | ||
New York City Transitional Fin. Auth. Rev.: | ||||
Series 2003 A: | ||||
5.5% 11/1/26 (b) | 5,050 | 5,292 | ||
6% 11/1/28 (b) | 7,775 | 8,251 | ||
Series 2003 B, 5.25% 2/1/29 (b) | 13,000 | 13,426 | ||
Series 2003 D, 5% 2/1/31 | 3,500 | 3,347 | ||
Series 2004 B, 5% 8/1/32 | 14,715 | 13,972 | ||
Series 2004 C, 5% 2/1/33 (FGIC Insured) | 5,000 | 4,778 | ||
Series B, 5.25% 8/1/19 | 2,000 | 2,086 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
New York - continued | ||||
New York City Trust Cultural Resources Rev. (Museum of Modern Art Proj.) Series 2001 D, 5.125% 7/1/31 | $ 6,000 | $ 5,848 | ||
New York Dorm. Auth. Revs.: | ||||
(City Univ. Sys. Consolidation Proj.): | ||||
Series A: | ||||
5.75% 7/1/09 | 2,245 | 2,245 | ||
5.75% 7/1/13 | 8,750 | 9,324 | ||
Series C, 7.5% 7/1/10 (FGIC Insured) | 9,430 | 9,873 | ||
(New York & Presbyterian Hosp. Proj.) 5% 8/15/36 (FSA Insured) | 550 | 474 | ||
(New York Univ. Hosp. Ctr. Proj.): | ||||
Series 2006 A: | ||||
5% 7/1/15 | 3,000 | 2,334 | ||
5% 7/1/16 | 1,000 | 748 | ||
Series 2007 A, 5% 7/1/14 | 1,895 | 1,534 | ||
Series 2007 B, 5.25% 7/1/24 | 2,400 | 1,464 | ||
(State Univ. Edl. Facilities Proj.) Series A: | ||||
5.25% 5/15/15 (MBIA Insured) | 12,400 | 13,701 | ||
5.875% 5/15/17 (FGIC Insured) | 6,865 | 7,667 | ||
(Suffolk County Judicial Facilities Proj.) Series A, 9.5% 4/15/14 (Escrowed to Maturity) (g) | 690 | 880 | ||
Series 2002 A, 5.75% 10/1/17 (MBIA Insured) | 3,000 | 3,234 | ||
New York Local Govt. Assistance Corp. Series 1993 C, 5.5% 4/1/17 | 22,015 | 24,402 | ||
New York Med. Care Facilities Fin. Agcy. Rev. (Homeowner Mtg. Prog.) Series E, 6.2% 2/15/15 | 935 | 936 | ||
New York Metropolitan Trans. Auth. Rev. Series 2008 A, 5.25% 11/15/36 | 26,700 | 23,363 | ||
New York Sales Tax Asset Receivables Corp. Series 2005 A, 5.25% 10/15/27 (AMBAC Insured) | 10,500 | 10,687 | ||
New York Thruway Auth. Gen. Rev. Series 2005 G: | ||||
5% 1/1/32 (FSA Insured) | 2,900 | 2,688 | ||
5.25% 1/1/27 | 12,500 | 12,541 | ||
New York Thruway Auth. Personal Income Tax Rev. Series 2007 A, 5.25% 3/15/25 | 3,500 | 3,561 | ||
New York Urban Dev. Corp. Rev. Series 2004 A2, 5.5% 3/15/21 (MBIA Insured) | 14,360 | 15,022 | ||
Niagara Falls City Niagara County Pub. Impt. 7.5% 3/1/18 (MBIA Insured) | 460 | 547 | ||
Syracuse Indl. Dev. Auth. Pilot Rev. (Carousel Ctr. Co. Proj.) 5% 1/1/36 (XL Cap. Assurance, Inc. Insured) (f) | 19,765 | 14,062 | ||
Tobacco Settlement Asset Securitization Corp. Series 1, 5.5% 7/15/24 (Pre-Refunded to 7/15/12 @ 100) (g) | 6,985 | 7,579 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
New York - continued | ||||
Tobacco Settlement Fing. Corp.: | ||||
Series 2003 A1: | ||||
5.25% 6/1/21 (AMBAC Insured) | $ 5,645 | $ 5,539 | ||
5.25% 6/1/22 (AMBAC Insured) | 3,850 | 3,742 | ||
5.5% 6/1/14 | 11,350 | 11,402 | ||
5.5% 6/1/15 | 37,645 | 38,144 | ||
5.5% 6/1/17 | 8,100 | 8,185 | ||
5.5% 6/1/18 (MBIA Insured) | 2,000 | 2,041 | ||
5.5% 6/1/19 | 4,050 | 4,050 | ||
Series 2003B 1C: | ||||
5.5% 6/1/14 | 9,900 | 9,945 | ||
5.5% 6/1/15 | 11,700 | 11,855 | ||
5.5% 6/1/17 | 11,500 | 11,620 | ||
5.5% 6/1/18 | 20,000 | 20,147 | ||
5.5% 6/1/19 | 10,800 | 10,799 | ||
5.5% 6/1/20 (FGIC Insured) | 5,050 | 5,089 | ||
5.5% 6/1/22 | 10,065 | 9,489 | ||
Series C1: | ||||
5.5% 6/1/16 | 4,070 | 4,141 | ||
5.5% 6/1/20 | 2,700 | 2,648 | ||
Triborough Bridge & Tunnel Auth. Revs.: | ||||
(Convention Ctr. Proj.) Series E, 7.25% 1/1/10 (XL Cap. Assurance, Inc. Insured) | 3,260 | 3,342 | ||
Series 2001 A, 5% 1/1/32 (MBIA Insured) | 470 | 445 | ||
Series SR, 5.5% 1/1/12 (Escrowed to Maturity) (g) | 5,790 | 6,080 | ||
| 597,161 | |||
New York & New Jersey - 0.3% | ||||
Port Auth. of New York & New Jersey 124th Series, 5% 8/1/13 (FGIC Insured) (f) | 3,400 | 3,425 | ||
Port Auth. of New York & New Jersey Spl. Oblig. Rev. (JFK Int'l. Air Term. Spl. Proj.) Series 6, 6.25% 12/1/13 (MBIA Insured) (f) | 10,275 | 10,417 | ||
| 13,842 | |||
North Carolina - 1.4% | ||||
Catawba County Ctfs. of Prtn. (Pub. School and Cmnty. College Proj.) 5.25% 6/1/20 (MBIA Insured) | 1,800 | 1,889 | ||
Charlotte-Mecklenburg Hosp. Auth. Health Care Sys. Rev. Series A, 5% 1/15/20 (FSA Insured) | 2,655 | 2,648 | ||
Dare County Ctfs. of Prtn.: | ||||
5.25% 6/1/17 (AMBAC Insured) | 1,620 | 1,732 | ||
5.25% 6/1/18 (AMBAC Insured) | 1,620 | 1,710 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
North Carolina - continued | ||||
Dare County Ctfs. of Prtn.: - continued | ||||
5.25% 6/1/19 (AMBAC Insured) | $ 1,540 | $ 1,611 | ||
5.25% 6/1/22 (AMBAC Insured) | 1,620 | 1,655 | ||
5.25% 6/1/23 (AMBAC Insured) | 1,620 | 1,640 | ||
North Carolina Cap. Facilities Fin. Agcy. Rev. (Duke Univ. Proj.) Series A, 5.125% 10/1/41 | 1,195 | 1,190 | ||
North Carolina Ctfs. of Prtn. (Repair and Renovation Proj.) Series B, 5.25% 6/1/17 | 3,600 | 3,889 | ||
North Carolina Eastern Muni. Pwr. Agcy. Pwr. Sys. Rev.: | ||||
Series 2003 D, 5.375% 1/1/10 | 4,525 | 4,563 | ||
Series A: | ||||
5.5% 1/1/11 | 8,700 | 8,890 | ||
5.75% 1/1/26 | 4,000 | 3,382 | ||
Series C, 5.25% 1/1/09 | 2,500 | 2,500 | ||
Series D: | ||||
6.7% 1/1/19 | 5,000 | 5,051 | ||
6.75% 1/1/26 | 7,000 | 6,682 | ||
North Carolina Infrastructure Fin. Corp. Ctfs. of Prtn. (North Carolina Correctional Facilities Proj.) Series A: | ||||
5% 2/1/19 | 2,945 | 3,066 | ||
5% 2/1/20 | 1,500 | 1,547 | ||
North Carolina Med. Care Cmnty. Health (Memorial Mission Hosp. Proj.): | ||||
Series 2007, 5% 10/1/20 | 1,225 | 1,177 | ||
5% 10/1/21 | 5,690 | 5,390 | ||
North Carolina Med. Care Commission Retirement Facilities Rev. (Southminster Proj.) Series 2007 A, 5.75% 10/1/37 | 4,000 | 2,308 | ||
| 62,520 | |||
North Dakota - 0.9% | ||||
Cass County Health Care Facilities Rev. Series D, 5% 2/15/40 (Assured Guaranty Corp. Insured) | 5,000 | 4,147 | ||
Grand Forks Health Care Sys. Rev. (Altru Health Sys. Proj.): | ||||
5% 12/1/12 (Assured Guaranty Corp. Insured) | 1,475 | 1,508 | ||
5% 12/1/14 (Assured Guaranty Corp. Insured) | 1,675 | 1,695 | ||
Mercer County Poll. Cont. Rev. (Antelope Valley Station/Basin Elec. Pwr. Coop. Proj.) 7.2% 6/30/13 (AMBAC Insured) | 26,000 | 29,062 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
North Dakota - continued | ||||
Ward County Health Care Facility Rev. (Trinity Med. Ctr. Proj.): | ||||
5.125% 7/1/19 | $ 2,765 | $ 2,083 | ||
5.25% 7/1/15 | 1,300 | 1,106 | ||
| 39,601 | |||
Ohio - 1.5% | ||||
Buckeye Tobacco Settlement Fing. Auth. Series A-2: | ||||
5.75% 6/1/34 | 15,000 | 8,379 | ||
5.875% 6/1/47 | 13,000 | 7,058 | ||
6.5% 6/1/47 | 16,900 | 10,130 | ||
Cleveland Parking Facilities Rev. 5.25% 9/15/18 (FSA Insured) | 2,000 | 2,115 | ||
Lake County Hosp. Facilities Rev. (Lake Hosp. Sys., Inc. Proj.) Series 2008 C, 6% 8/15/43 | 5,000 | 3,944 | ||
Montgomery County Rev. (Catholic Health Initiatives Proj.) Series A: | ||||
6% 12/1/19 | 4,905 | 5,029 | ||
6% 12/1/19 (Escrowed to Maturity) (g) | 5,095 | 5,399 | ||
6% 12/1/26 (Escrowed to Maturity) (g) | 10,000 | 10,461 | ||
Ohio Higher Edl. Facility Commission Rev. (Cleveland Clinic Foundation Proj.) Series 2008 A: | ||||
5.25% 1/1/33 | 7,100 | 6,125 | ||
5.375% 1/1/38 | 4,400 | 3,771 | ||
5.5% 1/1/43 | 1,500 | 1,286 | ||
Richland County Hosp. Facilities (MedCentral Health Sys. Proj.) Series B, 6.375% 11/15/30 | 1,005 | 918 | ||
Univ. of Cincinnati Ctfs. of Prtn. 5.125% 6/1/28 (MBIA Insured) | 3,750 | 3,441 | ||
| 68,056 | |||
Oklahoma - 0.7% | ||||
Cherokee County Econ. Dev. Auth. Series A, 0% 11/1/11 (Escrowed to Maturity) (g) | 2,080 | 1,935 | ||
Oklahoma City Pub. Property Auth. Hotel Tax Rev.: | ||||
5.25% 10/1/29 (FGIC Insured) | 4,000 | 3,834 | ||
5.5% 10/1/22 (FGIC Insured) | 2,845 | 2,919 | ||
5.5% 10/1/23 (FGIC Insured) | 3,005 | 3,057 | ||
5.5% 10/1/24 (FGIC Insured) | 3,175 | 3,217 | ||
Oklahoma Dev. Fin. Auth. Health Sys. Rev. (Integris Baptist Med. Ctr. Proj.) Series C: | ||||
5.25% 8/15/29 | 2,000 | 1,723 | ||
5.5% 8/15/20 | 5,000 | 4,953 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Oklahoma - continued | ||||
Oklahoma Dev. Fin. Auth. Rev.: | ||||
(Saint John Health Sys. Proj.): | ||||
5% 2/15/14 | $ 895 | $ 921 | ||
6% 2/15/29 | 3,485 | 3,386 | ||
Series 2004 A, 7%, tender 12/1/10 (c)(f) | 3,000 | 2,917 | ||
Tulsa County Indl. Auth. Health Care Rev. 5% 12/15/19 | 1,680 | 1,543 | ||
| 30,405 | |||
Oregon - 0.3% | ||||
Clackamas County School District #62C, Oregon City Series 2004, 5% 6/15/19 (FSA Insured) | 3,395 | 3,558 | ||
Clackamas County School District #7J: | ||||
5.25% 6/1/23 | 2,000 | 2,142 | ||
5.25% 6/1/24 (FSA Insured) | 2,605 | 2,772 | ||
Port Morrow Poll. Cont. Rev. (Pacific Northwest Proj.) Series A: | ||||
8% 7/15/09 | 540 | 556 | ||
8% 7/15/10 | 605 | 617 | ||
8% 7/15/11 | 385 | 392 | ||
Washington County School District #15: | ||||
5.5% 6/15/20 (FSA Insured) | 1,770 | 1,996 | ||
5.5% 6/15/21 (FSA Insured) | 1,060 | 1,185 | ||
| 13,218 | |||
Pennsylvania - 2.0% | ||||
Allegheny County Arpt. Auth. Rev. (Pittsburg Int'l. Arpt. Proj.) Series B, 5% 1/1/16 (MBIA Insured) (f) | 3,000 | 2,805 | ||
Allegheny County Hosp. Dev. Auth. Rev. (Pittsburgh Med. Ctr. Proj.) Series B, 5% 6/15/16 | 1,390 | 1,388 | ||
Annville-Cleona School District Series 2005: | ||||
5.5% 3/1/24 (FSA Insured) | 1,350 | 1,411 | ||
5.5% 3/1/25 (FSA Insured) | 1,400 | 1,456 | ||
Canon McMillan School District Series 2001 B, 5.75% 12/1/33 (FGIC Insured) | 3,000 | 3,000 | ||
Chester County Health & Ed. Facilities Auth. Health Sys. Rev. (Jefferson Health Sys. Proj.) Series B, 5.25% 5/15/22 (AMBAC Insured) | 4,400 | 4,130 | ||
Easton Area School District Series 2006, 7.75% 4/1/25 (FSA Insured) | 4,800 | 5,571 | ||
Mifflin County School District 7.75% 9/1/30 (XL Cap. Assurance, Inc. Insured) | 3,400 | 3,944 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Pennsylvania - continued | ||||
Montgomery County Higher Ed. & Health Auth. Hosp. Rev. (Abington Memorial Hosp. Proj.) Series A: | ||||
6% 6/1/22 (AMBAC Insured) | $ 2,000 | $ 1,906 | ||
6.1% 6/1/12 (AMBAC Insured) | 3,000 | 3,163 | ||
6.125% 6/1/14 (AMBAC Insured) | 5,230 | 5,564 | ||
Northumberland County Auth. Commonwealth Lease Rev. (State Correctional Facilities Proj.) 0% 10/15/13 (Escrowed to Maturity) (g) | 11,455 | 10,107 | ||
Pennsylvania Convention Ctr. Auth. Rev. Series A, 6.7% 9/1/16 (Escrowed to Maturity) (g) | 2,000 | 2,292 | ||
Pennsylvania Econ. Dev. Fing. Auth. Exempt Facilities Rev.: | ||||
(Amtrak Proj.) Series 2001 A, 6.375% 11/1/41 (f) | 8,700 | 5,985 | ||
(Shippingport Proj.) Series 2002 A, 4.35%, tender 6/1/10 (c)(f) | 5,600 | 5,599 | ||
Pennsylvania Econ. Dev. Fing. Auth. Solid Waste Disp. Rev. (Waste Mgmt., Inc. Proj.) Series 2004 A, 3.95%, tender 11/1/09 (c)(f) | 5,000 | 4,927 | ||
Pennsylvania Higher Edl. Facilities Auth. Rev. (Univ. of Pennsylvania Health Sys. Proj.) Series A, 5% 8/15/16 | 3,600 | 3,934 | ||
Philadelphia Gas Works Rev.: | ||||
(1975 Gen. Ordinance Proj.) Seventeenth Series, 5.375% 7/1/20 (FSA Insured) | 4,000 | 3,828 | ||
(1998 Gen. Ordinance Proj.): | ||||
Fifth Series A1, 5% 9/1/33 (FSA Insured) | 4,695 | 3,628 | ||
Seventh Series, 5% 10/1/37 (AMBAC Insured) | 8,900 | 6,761 | ||
Philadelphia Gen. Oblig.: | ||||
Series 2003 A, 5% 2/15/12 (XL Cap. Assurance, Inc. Insured) | 1,000 | 1,040 | ||
Series 2008 A, 5.25% 12/15/32 (FSA Insured) | 2,500 | 2,277 | ||
Philadelphia Redev. Auth. Rev. (Philadelphia Neighborhood Transformation Initiative Proj.) Series 2005 C, 5% 4/15/31 (FGIC Insured) | 3,000 | 2,350 | ||
Philadelphia School District Series 2005 A, 5% 8/1/22 (AMBAC Insured) | 1,675 | 1,614 | ||
| 88,680 | |||
Puerto Rico - 0.8% | ||||
Puerto Rico Commonwealth Hwy. & Trans. Auth. Trans. Rev.: | ||||
Series 1998, 5.75% 7/1/22 (CIFG North America Insured) | 2,300 | 2,031 | ||
Series 2003, 5.75% 7/1/19 (FGIC Insured) | 3,240 | 2,987 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Puerto Rico - continued | ||||
Puerto Rico Commonwealth Infrastructure Fing. Auth. Series C, 5.5% 7/1/21 | $ 3,000 | $ 2,623 | ||
Puerto Rico Govt. Dev. Bank: | ||||
Series 2006 B, 5% 12/1/12 | 5,000 | 4,797 | ||
Series C, 5.25% 1/1/15 (f) | 5,000 | 4,501 | ||
Puerto Rico Pub. Bldg. Auth. Rev.: | ||||
Series M2: | ||||
5.5%, tender 7/1/17 (AMBAC Insured) (c) | 4,600 | 3,847 | ||
5.75%, tender 7/1/17 (c) | 8,500 | 7,661 | ||
Series N: | ||||
5.5% 7/1/21 | 5,000 | 4,327 | ||
5.5% 7/1/22 | 3,250 | 2,756 | ||
Puerto Rico Sales Tax Fing. Corp. Sales Tax Rev.: | ||||
Series 2007 A, 0% 8/1/41 | 20,300 | 1,930 | ||
Series A, 0% 8/1/54 (AMBAC Insured) | 6,000 | 210 | ||
| 37,670 | |||
Rhode Island - 0.3% | ||||
Rhode Island Health & Edl. Bldg. Corp. Higher Ed. Facilities Rev.: | ||||
(Lifespan Corp. Proj.) Series A: | ||||
5% 5/15/11 | 1,680 | 1,690 | ||
5% 5/15/13 (FSA Insured) | 4,000 | 4,178 | ||
(Univ. of Rhode Island Univ. Revs. Proj.) Series A: | ||||
5.25% 9/15/15 (AMBAC Insured) | 1,725 | 1,886 | ||
5.25% 9/15/16 (AMBAC Insured) | 1,815 | 1,965 | ||
5.25% 9/15/18 (AMBAC Insured) | 1,005 | 1,067 | ||
5.5% 9/15/24 (AMBAC Insured) | 3,400 | 3,486 | ||
| 14,272 | |||
South Carolina - 0.9% | ||||
Greenwood Fifty School Facilities Installment: | ||||
5% 12/1/18 (Assured Guaranty Corp. Insured) | 3,930 | 4,259 | ||
5% 12/1/19 (Assured Guaranty Corp. Insured) | 2,375 | 2,529 | ||
Lexington County Health Svcs. District, Inc. Hosp. Rev.: | ||||
5% 11/1/18 | 1,090 | 988 | ||
5% 11/1/19 | 1,000 | 890 | ||
Lexington One School Facilities Corp. Rev. (Lexington County School District No. 1 Proj.) 5.25% 12/1/18 | 1,540 | 1,637 | ||
Richland County Hosp. Facilities Rev. (Cmnty. Provider Pooled Ln. Prog.) Series A, 7.125% 7/1/17 (Escrowed to Maturity) (g) | 1,125 | 1,319 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
South Carolina - continued | ||||
Rock Hill Util. Sys. Rev. Series 2003 A: | ||||
5.375% 1/1/17 (FSA Insured) | $ 2,100 | $ 2,270 | ||
5.375% 1/1/23 (FSA Insured) | 1,025 | 1,061 | ||
South Carolina Jobs Econ. Dev. Auth. Health Facilities Rev. (Bishop Gadsden Proj.): | ||||
5% 4/1/15 | 1,000 | 860 | ||
5% 4/1/24 | 4,000 | 2,763 | ||
South Carolina Jobs Econ. Dev. Auth. Hosp. Facilities Rev. (Palmetto Health Alliance Proj.) Series A, 7.375% 12/15/21 (Pre-Refunded to 12/15/10 @ 102) (g) | 3,000 | 3,358 | ||
South Carolina Pub. Svc. Auth. Rev.: | ||||
Series 2005 B, 5% 1/1/19 (MBIA Insured) | 2,500 | 2,589 | ||
Series A, 5% 1/1/36 (MBIA Insured) | 5,000 | 4,684 | ||
Sumter Two School Facilities, Inc. Rev.: | ||||
5% 12/1/18 (Assured Guaranty Corp. Insured) | 1,000 | 1,068 | ||
5% 12/1/19 (Assured Guaranty Corp. Insured) | 2,080 | 2,184 | ||
Univ. of South Carolina Athletic Facilities Rev. Series 2008 A, 5.5% 5/1/38 | 7,000 | 7,076 | ||
York County Wtr. & Swr. Rev. 5.25% 12/1/30 (MBIA Insured) | 1,120 | 1,114 | ||
| 40,649 | |||
South Dakota - 0.0% | ||||
South Dakota Lease Rev. Series A, 6.625% 9/1/12 (FSA Insured) | 1,000 | 1,090 | ||
Tennessee - 1.1% | ||||
Clarksville Natural Gas Acquisition Corp. Gas Rev.: | ||||
Series 2006, 5% 12/15/13 | 8,000 | 7,012 | ||
5% 12/15/12 | 4,500 | 4,059 | ||
5% 12/15/14 | 3,870 | 3,307 | ||
Jackson Hosp. Rev. (Jackson-Madison County Gen. Hosp. Proj.) Series 2008, 5.75% 4/1/41 | 6,600 | 5,636 | ||
Knox County Health Edl. & Hsg. Facilities Board Hosp. Facilities Rev.: | ||||
(Baptist Health Sys. of East Tennessee Proj.) Series 2002, 6.5% 4/15/31 | 5,000 | 4,756 | ||
(Fort Sanders Alliance Proj.) Series C: | ||||
5.25% 1/1/15 (MBIA Insured) | 3,310 | 3,339 | ||
5.75% 1/1/14 (MBIA Insured) | 2,000 | 2,086 | ||
7.25% 1/1/10 (MBIA Insured) | 2,660 | 2,794 | ||
Knox County Health Edl. & Hsg. Facilities Board Rev. (Univ. Health Sys. Proj.) 5% 4/1/15 | 5,245 | 4,390 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Tennessee - continued | ||||
Memphis-Shelby County Arpt. Auth. Arpt. Rev.: | ||||
Series A: | ||||
6.25% 2/15/09 (MBIA Insured) (f) | $ 1,500 | $ 1,504 | ||
6.25% 2/15/10 (MBIA Insured) (f) | 1,000 | 1,030 | ||
6.25% 2/15/11 (MBIA Insured) (f) | 1,415 | 1,450 | ||
Series B, 6.5% 2/15/09 (MBIA Insured) (f) | 255 | 256 | ||
Metropolitan Govt. Nashville & Davidson County Wtr. & Swr. Sys. Rev. 7.7% 1/1/12 (FGIC Insured) | 5,600 | 6,042 | ||
| 47,661 | |||
Texas - 10.6% | ||||
Argyle Independent School District Series 2005, 5.25% 8/15/40 (FSA Insured) | 1,745 | 1,758 | ||
Austin Cmnty. College District Pub. Facilities Lease Rev. (Round Rock Campus Proj.) Series 2008, 5.25% 8/1/33 | 5,000 | 4,832 | ||
Austin Cmnty. College District Rev. (Convention Ctr. Proj.) Series B, 0% 2/1/22 (AMBAC Insured) | 2,900 | 1,447 | ||
Austin Convention Enterprises, Inc. (Convention Ctr. Proj.) Series B: | ||||
5.75% 1/1/24 | 1,405 | 848 | ||
5.75% 1/1/34 | 1,500 | 802 | ||
Austin Util. Sys. Rev.: | ||||
0% 5/15/17 (FGIC Insured) | 9,200 | 6,436 | ||
0% 5/15/18 (FGIC Insured) | 5,000 | 3,273 | ||
Austin Wtr. & Wastewtr. Sys. Rev. Series 2005 A, 5% 5/15/31 (AMBAC Insured) | 4,690 | 4,524 | ||
Bastrop Independent School District Series 2007: | ||||
5.25% 2/15/37 | 2,700 | 2,692 | ||
5.25% 2/15/42 | 5,000 | 4,953 | ||
Bexar Metropolitan Wtr. District Wtrwks. Sys. Rev. 5.375% 5/1/20 (FSA Insured) | 220 | 229 | ||
Birdville Independent School District 0% 2/15/13 | 7,690 | 6,838 | ||
Boerne Independent School District Series 2004, 5.25% 2/1/35 | 5,100 | 5,109 | ||
Canyon Reg'l. Wtr. Auth. Contract Rev. (Wells Ranch Proj.): | ||||
5% 8/1/19 (AMBAC Insured) | 1,695 | 1,797 | ||
5% 8/1/20 (AMBAC Insured) | 1,780 | 1,848 | ||
Clint Independent School District 5.5% 8/15/20 | 210 | 219 | ||
Conroe Independent School District 0% 2/15/11 | 1,500 | 1,424 | ||
Coppell Independent School District 0% 8/15/20 | 2,000 | 1,170 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Texas - continued | ||||
Corpus Christi Util. Sys. Rev.: | ||||
5.25% 7/15/18 (FSA Insured) | $ 3,305 | $ 3,569 | ||
5.25% 7/15/19 (FSA Insured) | 4,000 | 4,248 | ||
Cypress-Fairbanks Independent School District Series A: | ||||
0% 2/15/13 | 6,425 | 5,694 | ||
0% 2/15/14 | 11,475 | 9,747 | ||
0% 2/15/16 | 9,700 | 7,496 | ||
Dallas Area Rapid Transit Sales Tax Rev. 5.25% 12/1/38 | 5,000 | 4,962 | ||
Dallas Fort Worth Int'l. Arpt. Rev.: | ||||
Series A: | ||||
5% 11/1/15 (XL Cap. Assurance, Inc. Insured) (f) | 9,900 | 9,420 | ||
5.25% 11/1/10 (f) | 2,150 | 2,163 | ||
5.25% 11/1/12 (f) | 5,820 | 5,822 | ||
5% 11/1/13 (XL Cap. Assurance, Inc. Insured) (f) | 2,665 | 2,611 | ||
5% 11/1/14 (XL Cap. Assurance, Inc. Insured) (f) | 2,625 | 2,533 | ||
5% 11/1/17 (XL Cap. Assurance, Inc. Insured) (f) | 4,325 | 3,925 | ||
Del Mar College District 5.25% 8/15/20 (FGIC Insured) | 2,960 | 3,081 | ||
DeSoto Independent School District 0% 8/15/20 | 3,335 | 1,914 | ||
Duncanville Independent School District 5.65% 2/15/28 | 30 | 31 | ||
Freer Independent School District Series 2007, 5.25% 8/15/37 | 4,215 | 4,202 | ||
Gainesville Independent School District 5.25% 2/15/36 | 1,900 | 1,897 | ||
Garland Wtr. & Swr. Rev. 5.25% 3/1/23 (AMBAC Insured) | 1,315 | 1,345 | ||
Grand Prairie Independent School District 0% 2/15/16 | 3,775 | 2,877 | ||
Guadalupe-Blanco River Auth. Contract Rev. (Western Canyon Reg'l. Wtr. Supply Proj.): | ||||
5.25% 4/15/15 (MBIA Insured) | 1,570 | 1,712 | ||
5.25% 4/15/16 (MBIA Insured) | 1,680 | 1,818 | ||
5.25% 4/15/17 (MBIA Insured) | 2,295 | 2,460 | ||
5.25% 4/15/18 (MBIA Insured) | 1,915 | 2,034 | ||
5.25% 4/15/19 (MBIA Insured) | 1,000 | 1,052 | ||
5.25% 4/15/20 (MBIA Insured) | 1,565 | 1,629 | ||
Harlandale Independent School District: | ||||
Series 2005, 5.7% 8/15/30 | 100 | 101 | ||
5.5% 8/15/35 | 45 | 45 | ||
6% 8/15/16 | 35 | 37 | ||
Harris County Gen. Oblig.: | ||||
(Permanent Impt. Proj.) Series 1996, 0% 10/1/14 (MBIA Insured) | 11,000 | 8,994 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Texas - continued | ||||
Harris County Gen. Oblig.: - continued | ||||
(Road Proj.): | ||||
Series 1996, 0% 10/1/13 (MBIA Insured) | $ 5,550 | $ 4,751 | ||
Series 2008 B, 5.25% 8/15/47 | 19,500 | 17,853 | ||
Series 2002: | ||||
0% 8/15/25 (MBIA Insured) | 3,000 | 1,182 | ||
0% 8/15/28 (MBIA Insured) | 5,000 | 1,593 | ||
Harris County Health Facilities Dev. Corp. Hosp. Rev. (Memorial Hermann Healthcare Sys. Proj.) Series 2008 B, 7.25% 12/1/35 | 3,200 | 3,252 | ||
Harris County Hosp. District Mtg. Rev.: | ||||
7.4% 2/15/10 (AMBAC Insured) | 620 | 627 | ||
7.4% 2/15/10 (Escrowed to Maturity) (g) | 170 | 174 | ||
Houston Arpt. Sys. Rev. Series A: | ||||
5.625% 7/1/20 (FSA Insured) (f) | 2,000 | 1,827 | ||
5.625% 7/1/21 (FSA Insured) (f) | 3,350 | 3,013 | ||
Houston Independent School District 0% 8/15/13 | 9,835 | 8,547 | ||
Humble Independent School District: | ||||
Series 2000, 0% 2/15/17 | 3,480 | 2,556 | ||
Series 2005 B, 5.25% 2/15/22 (FGIC Insured) | 1,995 | 2,061 | ||
0% 2/15/16 | 3,000 | 2,326 | ||
Hurst Euless Bedford Independent School District 0% 8/15/13 | 3,610 | 3,137 | ||
Katy Independent School District 0% 8/15/11 | 4,170 | 3,900 | ||
Keller Independent School District Series 1996 A, 0% 8/15/17 | 2,000 | 1,416 | ||
Kermit Independent School District 5.25% 2/15/37 | 4,130 | 4,138 | ||
Killeen Independent School District 5.25% 2/15/17 | 2,105 | 2,212 | ||
Kingsville Independent School District 5.25% 2/15/37 | 3,650 | 3,639 | ||
Lewisville Independent School District 5% 8/15/16 | 305 | 319 | ||
Liberty Hill Independent School District (School Bldg. Proj.) Series 2006, 5.25% 8/1/35 | 8,615 | 8,602 | ||
Little Elm Independent School District 5.5% 8/15/21 | 60 | 62 | ||
Lower Colorado River Auth. Rev.: | ||||
Series 2008, 5.75% 5/15/37 | 5,300 | 5,058 | ||
5% 5/15/31 | 1,565 | 1,508 | ||
5.25% 5/15/18 (AMBAC Insured) | 1,875 | 1,913 | ||
5.25% 5/15/18 (Pre-Refunded to 5/15/13 @ 100) (g) | 5 | 6 | ||
Lower Colorado River Auth. Transmission Contract Rev. (LCRA Transmission Svcs. Corp. Proj.) Series C: | ||||
5% 5/15/33 | 5,495 | 5,206 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Texas - continued | ||||
Lower Colorado River Auth. Transmission Contract Rev. (LCRA Transmission Svcs. Corp. Proj.) Series C: - continued | ||||
5.25% 5/15/18 (AMBAC Insured) | $ 1,000 | $ 1,062 | ||
5.25% 5/15/19 (AMBAC Insured) | 1,000 | 1,052 | ||
5.25% 5/15/20 | 2,000 | 2,082 | ||
Mansfield Independent School District 5.5% 2/15/18 | 40 | 42 | ||
Midlothian Independent School District 0% 2/15/10 | 1,525 | 1,497 | ||
Midway Independent School District 0% 8/15/19 | 3,600 | 2,218 | ||
Montgomery County Gen. Oblig.: | ||||
Series 2006 B, 5%, tender 9/1/10 (FSA Insured) (c) | 3,700 | 3,863 | ||
Series A, 5.625% 3/1/20 (FSA Insured) | 495 | 516 | ||
Navasota Independent School District: | ||||
5.25% 8/15/34 (FGIC Insured) | 2,275 | 2,185 | ||
5.5% 8/15/25 (FGIC Insured) | 1,675 | 1,704 | ||
New Caney Independent School District Series 2007 A, 5.25% 2/15/37 | 2,680 | 2,685 | ||
North Forest Independent School District Series B, 5% 8/15/18 (FSA Insured) | 1,470 | 1,577 | ||
North Texas Muni. Wtr. District Wtr. Sys. Rev. Series 2006, 5% 9/1/35 | 4,000 | 3,780 | ||
North Texas Tollway Auth. Dallas North Tollway Sys. Rev. Series 2003 A, 5% 1/1/28 | 7,175 | 6,779 | ||
North Texas Tollway Auth. Rev.: | ||||
Series 2008 A: | ||||
6% 1/1/23 | 4,800 | 4,764 | ||
6% 1/1/24 | 2,000 | 1,977 | ||
Series 2008 E3, 5.75%, tender 1/1/16 (c) | 4,000 | 4,081 | ||
Series 2008 I, 0% 1/1/42 (Assured Guaranty Corp. Insured) (a) | 7,200 | 4,569 | ||
Pflugerville Gen. Oblig. 5.5% 8/1/22 (AMBAC Insured) | 1,000 | 1,042 | ||
Prosper Independent School District: | ||||
Series 2005, 5.125% 8/15/30 | 3,110 | 3,108 | ||
5.375% 8/15/37 | 15,255 | 15,416 | ||
5.75% 8/15/29 | 1,250 | 1,277 | ||
Robstown Independent School District 5.25% 2/15/29 | 3,165 | 3,194 | ||
Rockdale Independent School District Series 2007, 5.25% 2/15/37 | 5,100 | 5,085 | ||
Rockwall Independent School District: | ||||
5.375% 2/15/19 | 25 | 26 | ||
5.375% 2/15/20 | 25 | 26 | ||
5.375% 2/15/21 | 30 | 31 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Texas - continued | ||||
Round Rock Independent School District 0% 8/15/11 (MBIA Insured) | $ 3,890 | $ 3,623 | ||
Sabine River Auth. Poll. Cont. Rev. (Texas Utils. Elec. Co. Proj.) Series B, 5.75%, tender 11/1/11 (c)(f) | 16,000 | 12,975 | ||
San Antonio Arpt. Sys. Rev.: | ||||
5% 7/1/15 (FSA Insured) (f) | 2,510 | 2,476 | ||
5% 7/1/17 (FSA Insured) (f) | 2,765 | 2,581 | ||
5% 7/1/17 (FSA Insured) (f) | 2,385 | 2,217 | ||
5.25% 7/1/19 (FSA Insured) (f) | 2,635 | 2,392 | ||
5.25% 7/1/20 (FSA Insured) (f) | 3,215 | 2,869 | ||
5.25% 7/1/20 (FSA Insured) (f) | 2,775 | 2,464 | ||
San Antonio Gen. Oblig. Series 2006, 5.5% 2/1/15 | 365 | 392 | ||
San Antonio Wtr. Sys. Rev.: | ||||
Series A, 5% 5/15/32 (FSA Insured) | 1,550 | 1,516 | ||
6.5% 5/15/10 (Escrowed to Maturity) (g) | 300 | 312 | ||
Snyder Independent School District: | ||||
5.25% 2/15/21 (AMBAC Insured) | 1,035 | 1,072 | ||
5.25% 2/15/22 (AMBAC Insured) | 1,090 | 1,120 | ||
5.25% 2/15/30 (AMBAC Insured) | 1,800 | 1,793 | ||
Socorro Independent School District Series 2001, 5.375% 8/15/18 | 60 | 63 | ||
Spring Branch Independent School District 5.375% 2/1/18 | 1,250 | 1,299 | ||
Texas Gen. Oblig.: | ||||
(College Student Ln. Prog.) 5% 8/1/12 (f) | 6,655 | 6,948 | ||
5.75% 8/1/26 | 3,320 | 3,391 | ||
Texas Muni. Pwr. Agcy. Rev. 0% 9/1/16 (MBIA Insured) | 18,715 | 13,718 | ||
Texas Pub. Fin. Auth. Bldg. Rev. Series 1990: | ||||
0% 2/1/12 (MBIA Insured) | 4,400 | 4,027 | ||
0% 2/1/14 (MBIA Insured) | 6,910 | 5,819 | ||
Texas Tpk. Auth. Central Texas Tpk. Sys. Rev. Series 2002 A: | ||||
5.5% 8/15/39 | 37,550 | 30,874 | ||
5.75% 8/15/38 (AMBAC Insured) | 27,550 | 23,600 | ||
Texas Wtr. Dev. Board Rev. Series B: | ||||
5.375% 7/15/16 | 5,000 | 5,130 | ||
5.625% 7/15/21 | 5,900 | 6,008 | ||
Trinity River Auth. Rev. (Tarrant County Wtr. Proj.) 5% 2/1/17 (MBIA Insured) | 4,930 | 5,177 | ||
Tyler Health Facilities Dev. Corp. Hosp. Rev. (Mother Frances Hosp. Reg'l. Health Care Ctr. Proj.): | ||||
5.75% 7/1/27 (Pre-Refunded to 7/1/13 @ 100) (g) | 1,000 | 1,126 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Texas - continued | ||||
Tyler Health Facilities Dev. Corp. Hosp. Rev. (Mother Frances Hosp. Reg'l. Health Care Ctr. Proj.): - continued | ||||
6% 7/1/31 (Pre-Refunded to 7/1/12 @ 100) (g) | $ 6,225 | $ 6,946 | ||
Waller Independent School District 5.5% 2/15/37 | 4,920 | 5,036 | ||
Weatherford Independent School District: | ||||
0% 2/15/22 (Pre-Refunded to 2/15/10 @ 45.084) (g) | 2,980 | 1,320 | ||
0% 2/15/26 (Pre-Refunded to 2/15/10 @ 34.41) (g) | 2,985 | 1,009 | ||
0% 2/15/33 | 6,985 | 1,719 | ||
White Settlement Independent School District: | ||||
Series 2004, 5.75% 8/15/34 | 3,000 | 3,061 | ||
5.75% 8/15/30 | 2,890 | 2,940 | ||
Williamson County Gen. Oblig.: | ||||
5.5% 2/15/18 (FSA Insured) | 60 | 62 | ||
5.5% 2/15/20 (FSA Insured) | 65 | 67 | ||
Wylie Independent School District 0% 8/15/20 | 1,790 | 1,030 | ||
| 482,306 | |||
Utah - 0.6% | ||||
Intermountain Pwr. Agcy. Pwr. Supply Rev. Series A, 6% 7/1/16 (Escrowed to Maturity) (g) | 9,205 | 9,286 | ||
Salt Lake City Hosp. Rev. (Intermountain Health Care Hosp., Inc. Proj.) Series A, 8.125% 5/15/15 (Escrowed to Maturity) (g) | 2,645 | 3,083 | ||
Utah Associated Muni. Pwr. Sys. Rev. (Payson Pwr. Proj.) Series A: | ||||
5.25% 4/1/16 (FSA Insured) | 3,590 | 3,845 | ||
5.25% 4/1/17 (FSA Insured) | 4,335 | 4,620 | ||
Utah Transit Auth. Sales Tax Rev. Series 2008 A, 5.25% 6/15/38 | 8,200 | 8,200 | ||
| 29,034 | |||
Vermont - 0.3% | ||||
Vermont Edl. & Health Bldg. Fin. Agcy. Rev.: | ||||
(Fletcher Allen Health Care, Inc. Proj.) Series 2000 A: | ||||
5.75% 12/1/18 (AMBAC Insured) | 3,100 | 3,029 | ||
6.125% 12/1/27 (AMBAC Insured) | 8,600 | 7,553 | ||
(Middlebury College Proj.) Series 2006 A, 5% 10/31/46 | 4,075 | 3,657 | ||
| 14,239 | |||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Virginia - 0.2% | ||||
Peninsula Ports Auth. Hosp. Facilities Rev. (Whittaker Memorial Hosp. Proj.) 8.7% 8/1/23 | $ 1,400 | $ 1,464 | ||
Virginia Beach Dev. Auth. Hosp. Facilities Rev. (Virginia Beach Gen. Hosp. Proj.): | ||||
6% 2/15/12 (AMBAC Insured) | 2,150 | 2,370 | ||
6% 2/15/13 (AMBAC Insured) | 1,460 | 1,639 | ||
Virginia Hsg. Dev. Auth. Multi-family Hsg. Rev. Series I, 5.95% 5/1/09 (f) | 1,890 | 1,890 | ||
| 7,363 | |||
Washington - 5.9% | ||||
Central Puget Sound Reg'l. Trans. Auth. Sales & Use Tax Rev. Series 2007 A, 5% 11/1/27 | 3,500 | 3,502 | ||
Chelan County Pub. Util. District #1 Columbia River-Rock Island Hydro-Elec. Sys. Rev. Series A, 0% 6/1/17 (MBIA Insured) | 7,200 | 4,905 | ||
Chelan County Pub. Util. District #1 Rev. Series 2005 A, 5.125%, tender 7/1/15 (FGIC Insured) (c)(f) | 2,430 | 2,595 | ||
Chelan County School District #246, Wenatchee 5.5% 12/1/19 (FSA Insured) | 3,535 | 3,723 | ||
Clark County School District #37, Vancouver Series C, 0% 12/1/19 (FGIC Insured) | 2,030 | 1,208 | ||
Energy Northwest Elec. Rev. (#3 Proj.) Series 2002 B, 6% 7/1/16 (AMBAC Insured) | 28,000 | 30,403 | ||
Grant County Pub. Util. District #2 Wanapum Hydro Elec. Rev. Series B: | ||||
5.25% 1/1/18 (FGIC Insured) (f) | 1,590 | 1,602 | ||
5.25% 1/1/20 (FGIC Insured) (f) | 1,760 | 1,704 | ||
5.25% 1/1/23 (FGIC Insured) (f) | 2,055 | 1,876 | ||
Kent Spl. Events Ctr. Pub. Facilities District Rev.: | ||||
5.25% 12/1/25 (FSA Insured) | 2,575 | 2,590 | ||
5.25% 12/1/36 (FSA Insured) | 9,180 | 8,741 | ||
King County Gen. Oblig.: | ||||
(Pub. Trans. Proj.) Series 2004, 5.125% 6/1/34 (MBIA Insured) | 4,750 | 4,641 | ||
(Swr. Proj.) Series 2005, 5% 1/1/26 | 5,000 | 5,005 | ||
King County Swr. Rev.: | ||||
Series 2002 B, 5.125% 1/1/33 (FSA Insured) | 22,390 | 21,714 | ||
Series 2008, 5.75% 1/1/43 | 22,700 | 23,130 | ||
Mead School District #354, Spokane County 5.375% 12/1/19 (FSA Insured) | 2,575 | 2,744 | ||
Pierce County School District #10 Tacoma Series A, 5% 12/1/18 (FSA Insured) | 4,000 | 4,309 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Washington - continued | ||||
Port of Seattle Rev. Series D: | ||||
5.75% 11/1/13 (f) | $ 1,500 | $ 1,523 | ||
5.75% 11/1/14 (f) | 3,055 | 3,088 | ||
5.75% 11/1/16 (f) | 2,250 | 2,253 | ||
Snohomish County School District #4, Lake Stevens 5.125% 12/1/19 (FGIC Insured) | 1,875 | 1,952 | ||
Spokane Pub. Facilities District Hotel/Motel Tax & Sales/Use Tax Rev.: | ||||
5.75% 12/1/19 (MBIA Insured) | 2,000 | 2,151 | ||
5.75% 12/1/21 (MBIA Insured) | 2,000 | 2,107 | ||
Thurston & Pierce Counties Cmnty. Schools 5.25% 12/1/17 (FSA Insured) | 2,000 | 2,137 | ||
Washington Gen. Oblig.: | ||||
Series 2001 C: | ||||
5.25% 1/1/16 | 7,070 | 7,384 | ||
5.25% 1/1/26 (FSA Insured) | 15,800 | 15,868 | ||
Series B, 5% 7/1/28 | 395 | 395 | ||
Series R 97A: | ||||
0% 7/1/17 | 7,045 | 4,939 | ||
0% 7/1/19 (MBIA Insured) | 9,100 | 5,574 | ||
Washington Health Care Facilities Auth. Rev.: | ||||
(Catholic Heath Initiatives Proj.) Series 2008 D, 6.375% 10/1/36 | 5,000 | 4,890 | ||
(Childrens Hosp. Reg'l. Med. Ctr. Proj.) Series 2008 C, 5.5% 10/1/35 | 10,000 | 8,690 | ||
(MultiCare Health Sys. Proj.) Series 2007 B, 5.5% 8/15/38 (FSA Insured) | 5,885 | 5,037 | ||
(Providence Health Systems Proj.): | ||||
Series 2001 A, 5.5% 10/1/12 (MBIA Insured) | 5,455 | 5,807 | ||
Series 2006 D, 5.25% 10/1/33 | 2,000 | 1,808 | ||
Washington Pub. Pwr. Supply Sys. Nuclear Proj. #2 Rev. 5.4% 7/1/12 | 56,550 | 61,732 | ||
Washington Pub. Pwr. Supply Sys. Nuclear Proj. #3 Rev.: | ||||
Series A, 0% 7/1/12 (MBIA Insured) | 4,000 | 3,588 | ||
0% 7/1/10 (MBIA Insured) | 2,800 | 2,709 | ||
| 268,024 | |||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
West Virginia - 0.1% | ||||
West Virginia Hosp. Fin. Auth. Hosp. Rev.: | ||||
(West Virginia United Health Sys. Proj.) Series 2008 E, 5.625% 6/1/35 | $ 700 | $ 554 | ||
(West Virginia Univ. Hospitals, Inc. Proj.) Series 2003 D, 5.5% 6/1/33 (FSA Insured) | 2,600 | 2,360 | ||
| 2,914 | |||
Wisconsin - 0.3% | ||||
Badger Tobacco Asset Securitization Corp.: | ||||
6.125% 6/1/27 | 4,870 | 4,316 | ||
6.375% 6/1/32 | 2,925 | 2,270 | ||
Douglas County Gen. Oblig. 5.5% 2/1/19 (FGIC Insured) | 1,035 | 1,083 | ||
Wisconsin Health & Edl. Facilities Auth. Rev.: | ||||
(Children's Hosp. of Wisconsin Proj.) 5.25% 8/15/22 | 2,000 | 1,887 | ||
(Marshfield Clinic Proj.) Series A, 5.375% 2/15/34 | 3,250 | 1,939 | ||
(Wheaton Franciscan Healthcare Sys. Proj.) Series 2003 A: | ||||
5.5% 8/15/15 | 1,480 | 1,233 | ||
5.5% 8/15/16 | 1,520 | 1,229 | ||
| 13,957 | |||
Wyoming - 0.1% | ||||
Gillette Spl. Purp. Wtr. & Swr. Utils. Sys. Rev. 7.7% 12/1/10 (Escrowed to Maturity) (g) | 4,530 | 4,915 | ||
TOTAL MUNICIPAL BONDS (Cost $4,813,513) | 4,458,347 |
Money Market Funds - 0.0% | |||
Shares |
| ||
Fidelity Municipal Cash Central Fund, 1.27% (d)(e) | 138,900 | 139 | |
TOTAL INVESTMENT PORTFOLIO - 98.1% (Cost $4,813,652) | 4,458,486 | ||
NET OTHER ASSETS - 1.9% | 86,048 | ||
NET ASSETS - 100% | $ 4,544,534 |
Legend |
(a) Security initially issued in zero coupon form which converts to coupon form at a specified rate and date. The rate shown is the rate at period end. |
(b) Security initially issued at one coupon which converts to a higher coupon at a specified date. The rate shown is the rate at period end. |
(c) The coupon rate shown on floating or adjustable rate securities represents the rate at period end. |
(d) Information in this report regarding holdings by state and security types does not reflect the holdings of the Fidelity Municipal Cash Central Fund. |
(e) Affiliated fund that is available only to investment companies and other accounts managed by Fidelity Investments. The rate quoted is the annualized seven-day yield of the fund at period end. A complete unaudited listing of the fund's holdings as of its most recent quarter end is available upon request. |
(f) Private activity obligations whose interest is subject to the federal alternative minimum tax for individuals. |
(g) Security collateralized by an amount sufficient to pay interest and principal. |
(h) Restricted securities - Investment in securities not registered under the Securities Act of 1933 (excluding 144A issues). At the end of the period, the value of restricted securities (excluding 144A issues) amounted to $3,101,000 or 0.1% of net assets. |
Additional information on each holding is as follows: |
Security | Acquisition Date | Acquisition Cost (000s) |
Massachusetts Health & Edl. Facilities Auth. Rev. (Blood Research Institute Proj.) Series A, 6.5% 2/1/22 | 9/3/92 | $ 3,337 |
Affiliated Central Funds |
Information regarding fiscal year to date income earned by the Fund from investments in Fidelity Central Funds is as follows: |
Fund | Income earned |
Fidelity Municipal Cash Central Fund | $ 3 |
Other Information |
The following is a summary of the inputs used, as of December 31, 2008, involving the Fund's assets carried at value. The inputs or methodology used for valuing securities may not be on indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to the Security Valuation section in the accompanying Notes to Financial Statements. |
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
Investments in Securities | $ 4,458,486 | $ 139 | $ 4,458,347 | $ - |
The distribution of municipal securities by revenue source, as a percentage of total net assets, is as follows: (Unaudited) |
General Obligations | 38.8% |
Transportation | 10.6% |
Water & Sewer | 9.9% |
Health Care | 9.8% |
Special Tax | 9.8% |
Electric Utilities | 8.9% |
Others* (individually less than 5%) | 12.2% |
| 100.0% |
*Includes cash equivalents and net other assets |
Income Tax Information |
At December 31, 2008, the fund had a capital loss carryforward of approximately $8,397,000 all of which will expire on December 31, 2016. |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Statements
Statement of Assets and Liabilities
Amounts in thousands (except per-share amount) | December 31, 2008 | |
|
|
|
Assets | ||
Investment in securities, at value - See accompanying schedule: Unaffiliated issuers (cost $4,813,513) | $ 4,458,347 |
|
Fidelity Central Funds (cost $139) | 139 |
|
Total Investments (cost $4,813,652) |
| $ 4,458,486 |
Cash | 25,158 | |
Receivable for fund shares sold | 9,017 | |
Interest receivable | 67,342 | |
Prepaid expenses | 48 | |
Other receivables | 18 | |
Total assets | 4,560,069 | |
|
|
|
Liabilities | ||
Payable for fund shares redeemed | $ 7,301 | |
Distributions payable | 5,674 | |
Accrued management fee | 1,373 | |
Transfer agent fee payable | 947 | |
Other affiliated payables | 166 | |
Other payables and accrued expenses | 74 | |
Total liabilities | 15,535 | |
|
|
|
Net Assets | $ 4,544,534 | |
Net Assets consist of: |
| |
Paid in capital | $ 4,909,370 | |
Undistributed net investment income | 3,718 | |
Accumulated undistributed net realized gain (loss) on investments | (13,388) | |
Net unrealized appreciation (depreciation) on investments | (355,166) | |
Net Assets, for 395,522 shares outstanding | $ 4,544,534 | |
Net Asset Value, offering price and redemption price per share ($4,544,534 ÷ 395,522 shares) | $ 11.49 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Statements - continued
Statement of Operations
Amounts in thousands | Year ended December 31, 2008 | |
|
|
|
Investment Income |
|
|
Interest |
| $ 236,033 |
Income from Fidelity Central Funds |
| 3 |
Total income |
| 236,036 |
|
|
|
Expenses | ||
Management fee | $ 18,436 | |
Transfer agent fees | 3,954 | |
Accounting fees and expenses | 660 | |
Custodian fees and expenses | 75 | |
Independent trustees' compensation | 20 | |
Registration fees | 165 | |
Audit | 79 | |
Legal | 19 | |
Miscellaneous | 43 | |
Total expenses before reductions | 23,451 | |
Expense reductions | (334) | 23,117 |
Net investment income | 212,919 | |
Realized and Unrealized Gain (Loss) Net realized gain (loss) on: | ||
Investment securities: |
|
|
Unaffiliated issuers |
| (10,781) |
Change in net unrealized appreciation (depreciation) on investment securities | (443,580) | |
Net gain (loss) | (454,361) | |
Net increase (decrease) in net assets resulting from operations | $ (241,442) |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Statement of Changes in Net Assets
Amounts in thousands | Year ended | Year ended |
Increase (Decrease) in Net Assets |
|
|
Operations |
|
|
Net investment income | $ 212,919 | $ 196,163 |
Net realized gain (loss) | (10,781) | 31,462 |
Change in net unrealized appreciation (depreciation) | (443,580) | (82,162) |
Net increase (decrease) in net assets resulting | (241,442) | 145,463 |
Distributions to shareholders from net investment income | (212,506) | (195,674) |
Distributions to shareholders from net realized gain | (4,538) | (26,148) |
Total distributions | (217,044) | (221,822) |
Share transactions | 1,693,438 | 924,844 |
Net asset value of shares issued in exchange for the net assets of Fidelity Florida Municipal Income Fund | - | 386,208 |
Reinvestment of distributions | 141,190 | 146,309 |
Cost of shares redeemed | (1,972,543) | (926,342) |
Net increase (decrease) in net assets resulting from share transactions | (137,915) | 531,019 |
Redemption fees | 178 | 43 |
Total increase (decrease) in net assets | (596,223) | 454,703 |
|
|
|
Net Assets | ||
Beginning of period | 5,140,757 | 4,686,054 |
End of period (including undistributed net investment income of $3,718 and undistributed net investment income of $3,898, respectively) | $ 4,544,534 | $ 5,140,757 |
Other Information Shares | ||
Sold | 141,784 | 73,296 |
Issued in exchange for the shares of Fidelity Florida Municipal Income Fund | - | 30,482 |
Issued in reinvestment of distributions | 11,698 | 11,598 |
Redeemed | (166,706) | (73,559) |
Net increase (decrease) | (13,224) | 41,817 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Highlights
Years ended December 31, | 2008 | 2007 | 2006 | 2005 | 2004 |
Selected Per-Share Data |
|
|
|
|
|
Net asset value, beginning of period | $ 12.58 | $ 12.77 | $ 12.82 | $ 13.09 | $ 13.18 |
Income from Investment Operations |
|
|
|
|
|
Net investment income B | .515 | .514 | .529 | .549 | .571 |
Net realized and unrealized gain (loss) | (1.081) | (.125) | .068 | (.080) | .035 |
Total from investment operations | (.566) | .389 | .597 | .469 | .606 |
Distributions from net investment income | (.513) | (.514) | (.527) | (.547) | (.571) |
Distributions from net realized gain | (.011) | (.065) | (.120) | (.192) | (.125) |
Total distributions | (.524) | (.579) | (.647) | (.739) | (.696) |
Redemption fees added to paid in capital B, G | - | - | - | - | - |
Net asset value, end of period | $ 11.49 | $ 12.58 | $ 12.77 | $ 12.82 | $ 13.09 |
Total Return A | (4.61)% | 3.13% | 4.78% | 3.66% | 4.73% |
Ratios to Average Net Assets C, E |
|
|
|
|
|
Expenses before reductions | .47% | .47% | .47% | .47% | .47% |
Expenses net of fee waivers, if any | .47% | .47% | .47% | .47% | .47% |
Expenses net of all reductions | .46% | .44% | .45% | .45% | .47% |
Net investment income | 4.23% | 4.08% | 4.15% | 4.22% | 4.36% |
Supplemental Data |
|
|
|
|
|
Net assets, end of period (in millions) | $ 4,545 | $ 5,141 | $ 4,686 | $ 4,676 | $ 4,630 |
Portfolio turnover rate D | 15% | 22% F | 25% | 25% | 20% |
A Total returns would have been lower had certain expenses not been reduced during the periods shown.
B Calculated based on average shares outstanding during the period.
C Fees and expenses of the underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds.
D Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
E Expense ratios reflect operating expenses of the Fund. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or expense offset arrangements and do not represent the amount paid by the Fund during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the Fund.
F The portfolio turnover rate does not include the assets acquired in the merger.
G Amount represents less than $.001 per share.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Notes to Financial Statements
For the period ended December 31, 2008
(Amounts in thousands except ratios)
1. Organization.
Fidelity Municipal Income Fund (the Fund) is a fund of Fidelity Municipal Trust (the trust) and is authorized to issue an unlimited number of shares. The trust is registered under the Investment Company Act of 1940, as amended (the 1940 Act), as an open-end management investment company organized as a Massachusetts business trust.
2. Investments in Fidelity Central Funds.
The Fund may invest in Fidelity Central Funds, which are open-end investment companies available only to other investment companies and accounts managed by Fidelity Management & Research Company (FMR) and its affiliates. The Fund's Schedule of Investments lists each of the Fidelity Central Funds held as of period end, if any, as an investment of the Fund, but does not include the underlying holdings of each Fidelity Central Fund. As an Investing Fund, the Fund indirectly bears its proportionate share of the expenses of the underlying Fidelity Central Funds.
The Money Market Central Funds seek preservation of capital and current income and are managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of FMR.
A complete unaudited list of holdings for each Fidelity Central Fund is available upon request or at the SEC's web site at www.sec.gov. In addition, the financial statements of the Fidelity Central Funds, which are not covered by the Fund's Report of Independent Registered Public Accounting Firm, are available on the SEC's web site or upon request.
3. Significant Accounting Policies.
The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America, which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. The following summarizes the significant accounting policies of the Fund:
Security Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. Wherever possible, the Fund uses independent pricing services approved by the Board of Trustees to value its investments.
Debt securities, including restricted securities, are valued by independent pricing services or by dealers who make markets in such securities. Pricing services consider yield or price of bonds of comparable quality, coupon, maturity and type as well as dealer supplied prices. Investments in open-end mutual funds, including the Fidelity Central Funds, are valued at their closing net asset value each business day. Short-term securities with remaining maturities of sixty days or less for which quotations are not readily
Annual Report
Notes to Financial Statements - continued
(Amounts in thousands except ratios)
3. Significant Accounting Policies - continued
Security Valuation - continued
available are valued at amortized cost, which approximates value. Actual prices received at disposition may differ.
When current market prices or quotations are not readily available or reliable, valuations may be determined in good faith in accordance with procedures adopted by the Board of Trustees. Factors used in determining value may include significant market or security specific events, changes in interest rates and credit quality, and developments in foreign markets which are monitored by evaluating the performance of ADRs, futures contracts and exchange-traded funds. The frequency with which these procedures are used cannot be predicted and may be utilized to a significant extent. The value of securities used for net asset value (NAV) calculation under these procedures may differ from published prices for the same securities.
The Fund is subject to the provisions of Statement of Financial Accounting Standards No. 157, "Fair Value Measurements" (SFAS 157), effective with the beginning of the Fund's fiscal year. SFAS 157 establishes a hierarchy that prioritizes the inputs to valuation techniques giving the highest priority to readily available unadjusted quoted prices in active markets for identical assets (level 1 measurements) and the lowest priority to unobservable inputs (level 3 measurements) when market prices are not readily available or reliable. The three levels of the hierarchy under SFAS 157 are described below:
Level 1 | Quoted prices in active markets for identical securities. |
Level 2 | Prices determined using other significant observable inputs. Observable inputs are inputs that other market participants may use in pricing a security. These may include quoted prices for similar securities, interest rates, prepayment speeds, credit risk and others. |
Level 3 | Prices determined using significant unobservable inputs. In situations where quoted prices or observable inputs are unavailable or deemed less relevant (for example, when there is little or no market activity for an investment at the end of the period), unobservable inputs may be used. Unobservable inputs reflect the Fund's own assumptions about the factors market participants would use in pricing an investment, and would be based on the best information available. |
Changes in valuation techniques may result in transfers in or out of an investment's assigned level within the hierarchy.
The aggregate value by input level, as of December 31, 2008, for the Fund's investments is included at the end of the Fund's Schedule of Investments.
Annual Report
3. Significant Accounting Policies - continued
Investment Transactions and Income. For financial reporting purposes, the Fund's investment holdings and NAV include trades executed through the end of the last business day of the period. The NAV per share for processing shareholder transactions is calculated as of the close of business of the New York Stock Exchange (NYSE), normally 4:00 p.m. Eastern time and includes trades executed through the end of the prior business day. Gains and losses on securities sold are determined on the basis of identified cost and may include proceeds received from litigation. Interest income and distributions from the Fidelity Central Funds are accrued as earned. Interest income includes coupon interest and amortization of premium and accretion of discount on debt securities.
Expenses. Most expenses of the trust can be directly attributed to a fund. Expenses which cannot be directly attributed are apportioned among each Fund in the trust. Expense estimates are accrued in the period to which they relate and adjustments are made when actual amounts are known.
Income Tax Information and Distributions to Shareholders. Each year, the Fund intends to qualify as a regulated investment company by distributing substantially all of its taxable income and realized gains under Subchapter M of the Internal Revenue Code and filing its U.S. federal tax return. As a result, no provision for income taxes is required. The Fund is subject to the provisions of FASB Interpretation No. 48, Accounting for Uncertainties in Income Taxes (FIN 48). FIN 48 sets forth a minimum threshold for financial statement recognition of the benefit of a tax position taken or expected to be taken in a tax return. There are no unrecognized tax benefits in the accompanying financial statements. A Fund's federal tax return is subject to examination by the Internal Revenue Service (IRS) for a period of three years.
Dividends are declared daily and paid monthly from net investment income. Distributions from realized gains, if any, are recorded on the ex-dividend date. Income and capital gain distributions are determined in accordance with income tax regulations, which may differ from generally accepted accounting principles. In addition, the Fund will claim a portion of the payment made to redeeming shareholders as a distribution for income tax purposes.
Capital accounts within the financial statements are adjusted for permanent book-tax differences. These adjustments have no impact on net assets or the results of operations. Temporary book-tax differences will reverse in a subsequent period.
Book-tax differences are primarily due to market discount, deferred trustees compensation, capital loss carryforwards, and losses deferred due to wash sales, futures transactions and excise tax regulations.
Annual Report
Notes to Financial Statements - continued
(Amounts in thousands except ratios)
3. Significant Accounting Policies - continued
Income Tax Information and Distributions to Shareholders - continued
The Fund purchases municipal securities whose interest, in the opinion of the issuer, is free from federal income tax. There is no assurance that the IRS will agree with this opinion. In the event the IRS determines that the issuer does not comply with relevant tax requirements, interest payments from a security could become federally taxable, possibly retroactively to the date the security was issued.
The tax-basis components of distributable earnings and the federal tax cost as of period end were as follows:
Unrealized appreciation | $ 59,491 |
Unrealized depreciation | (414,044) |
Net unrealized appreciation (depreciation) | (354,553) |
Undistributed ordinary income | 411 |
Capital loss carryforward | (8,397) |
|
|
Cost for federal income tax purposes | $ 4,813,039 |
The tax character of distributions paid was as follows:
| December 31, 2008 | December 31, 2007 |
Tax-exempt Income | 212,506 | 195,674 |
Long-term Capital Gains | 4,538 | 26,148 |
Total | $ 217,044 | $ 221,822 |
Short-Term Trading (Redemption) Fees. Shares held in the Fund less than 30 days are subject to a redemption fee equal to .50% of the proceeds of the redeemed shares. All redemption fees, including any estimated redemption fees paid by FMR, are retained by the Fund and accounted for as an addition to paid in capital.
4. Operating Policies.
Restricted Securities. The Fund may invest in securities that are subject to legal or contractual restrictions on resale. These securities generally may be resold in transactions exempt from registration or to the public if the securities are registered. Disposal of these securities may involve time-consuming negotiations and expense, and prompt sale at an acceptable price may be difficult. Information regarding restricted securities is included at the end of the Fund's Schedule of Investments.
5. Purchases and Sales of Investments.
Purchases and sales of securities, other than short-term securities, aggregated $730,421 and $953,660, respectively.
Annual Report
6. Fees and Other Transactions with Affiliates.
Management Fee. FMR and its affiliates provide the Fund with investment management related services for which the Fund pays a monthly management fee. The management fee is the sum of an individual fund fee rate that is based on an annual rate of .25% of the Fund's average net assets and a group fee rate that averaged .12% during the period. The group fee rate is based upon the average net assets of all the mutual funds advised by FMR. The group fee rate decreases as assets under management increase and increases as assets under management decrease. For the period, the total annual management fee rate was .37% of the Fund's average net assets.
Transfer Agent and Accounting Fees. Citibank, N.A. (Citibank) is the custodian, transfer agent and shareholder servicing agent for the Fund. Citibank has entered into a sub-arrangement with Fidelity Investments Institutional Operations Company, Inc. (FIIOC), an affiliate of FMR, under which FIIOC performs the activities associated with the Fund's transfer, dividend disbursing and shareholder servicing agent functions. The Fund pays account fees and asset-based fees that vary according to account size and type of account. FIIOC pays for typesetting, printing and mailing of shareholder reports, except proxy statements. For the period, the transfer agent fees were equivalent to an annual rate of .08% of average net assets.
Citibank also has a sub-arrangement with Fidelity Service Company, Inc. (FSC), an affiliate of FMR, under which FSC maintains the Fund's accounting records. The fee is based on the level of average net assets for the month.
7. Committed Line of Credit.
The Fund participates with other funds managed by FMR in a $4.2 billion credit facility (the "line of credit") to be utilized for temporary or emergency purposes to fund shareholder redemptions or for other short-term liquidity purposes. The Fund has agreed to pay commitment fees on its pro rata portion of the line of credit, which amounted to $10 and is reflected in Miscellaneous Expense on the Statement of Operations. During the period, there were no borrowings on this line of credit.
8. Expense Reductions.
Through arrangements with the Fund's custodian and transfer agent, credits realized as a result of uninvested cash balances were used to reduce the Fund's expenses. During the period, these credits reduced the Fund's custody, and transfer agent and accounting expenses by $67 and $262 and 5, respectively.
Annual Report
Notes to Financial Statements - continued
(Amounts in thousands except ratios)
9. Other.
The Fund's organizational documents provide former and current trustees and officers with a limited indemnification against liabilities arising in connection with the performance of their duties to the Fund. In the normal course of business, the Fund may also enter into contracts that provide general indemnifications. The Fund's maximum exposure under these arrangements is unknown as this would be dependent on future claims that may be made against the Fund. The risk of material loss from such claims is considered remote.
Annual Report
Report of Independent Registered Public Accounting Firm
To the Trustees of Fidelity Municipal Trust and the Shareholders of Fidelity Municipal Income Fund:
In our opinion, the accompanying statement of assets and liabilities, including the schedule of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Fidelity Municipal Income Fund (a fund of Fidelity Municipal Trust) at December 31, 2008, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and the financial highlights for each of the five years in the period then ended, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as "financial statements") are the responsibility of the Fidelity Municipal Income Fund's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at December 31, 2008 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion.
/s/ PricewaterhouseCoopers LLP
PricewaterhouseCoopers LLP
Boston, Massachusetts
February 20, 2009
Annual Report
Trustees and Officers
The Trustees, Member of the Advisory Board, and executive officers of the trust and fund, as applicable, are listed below. The Board of Trustees governs the fund and is responsible for protecting the interests of shareholders. The Trustees are experienced executives who meet periodically throughout the year to oversee the fund's activities, review contractual arrangements with companies that provide services to the fund, and review the fund's performance. Except for Edward C. Johnson 3d, and James C. Curvey, each of the Trustees oversees 158 funds advised by FMR or an affiliate. Messrs. Johnson and Curvey oversees 380 funds advised by FMR or an affiliate.
The Trustees hold office without limit in time except that (a) any Trustee may resign; (b) any Trustee may be removed by written instrument, signed by at least two-thirds of the number of Trustees prior to such removal; (c) any Trustee who requests to be retired or who has become incapacitated by illness or injury may be retired by written instrument signed by a majority of the other Trustees; and (d) any Trustee may be removed at any special meeting of shareholders by a two-thirds vote of the outstanding voting securities of the trust. Each Trustee who is not an interested person (as defined in the 1940 Act) (Independent Trustee), shall retire not later than the last day of the calendar year in which his or her 72nd birthday occurs. The Independent Trustees may waive this mandatory retirement age policy with respect to individual Trustees. The executive officers and Advisory Board Member hold office without limit in time, except that any officer and Advisory Board Member may resign or may be removed by a vote of a majority of the Trustees at any regular meeting or any special meeting of the Trustees. Except as indicated, each individual has held the office shown or other offices in the same company for the past five years.
The fund's Statement of Additional Information (SAI) includes more Information about the Trustees. To request a free copy, call Fidelity at 1-800-544-8544.
Interested Trustees*:
Correspondence intended for each Trustee who is an interested person may be sent to Fidelity Investments, 82 Devonshire Street, Boston, Massachusetts 02109.
Name, Age; Principal Occupation | |
Edward C. Johnson 3d (78) | |
| Year of Election or Appointment: 1984 Mr. Johnson is Chairman of the Board of Trustees. Mr. Johnson serves as Chief Executive Officer, Chairman, and a Director of FMR LLC; Chairman and a Director of FMR; Chairman and a Director of Fidelity Research & Analysis Company (FRAC); Chairman and a Director of Fidelity Investments Money Management, Inc.; and Chairman and a Director of FMR Co., Inc. In addition, Mr. Johnson serves as Chairman and Director of FIL Limited. Previously, Mr. Johnson served as President of FMR LLC (2006-2007). Mr. Edward C. Johnson 3d and Mr. Arthur E. Johnson are not related. |
James C. Curvey (73) | |
| Year of Election or Appointment: 2007 Mr. Curvey also serves as Trustee (2007-present) of other investment companies advised by FMR. Mr. Curvey is a Director of FMR and FMR Co., Inc. (2007-present). Mr. Curvey is also Vice Chairman (2006- |
* Trustees have been determined to be "Interested Trustees" by virtue of, among other things, their affiliation with the trust, or various entities under common control with FMR. FMR Corp. merged with and into FMR LLC on October 1, 2007. Any references to FMR LLC for prior periods are deemed to be references to the prior entity.
Independent Trustees:
Correspondence intended for each Independent Trustee (that is, the Trustees other than the Interested Trustees) may be sent to Fidelity Investments, P.O. Box 55235, Boston, Massachusetts 02205-5235.
Name, Age; Principal Occupation | |
Albert R. Gamper, Jr. (66) | |
| Year of Election or Appointment: 2006 Prior to his retirement in December 2004, Mr. Gamper served as Chairman of the Board of CIT Group Inc. (commercial finance). During his tenure with CIT Group Inc. Mr. Gamper served in numerous senior management positions, including Chairman (1987-1989; 1999-2001; 2002-2004), Chief Executive Officer (1987-2004), and President (1989-2002). He currently serves as a member of the Board of Directors of Public Service Enterprise Group (utilities), a member of the Board of Governors, Rutgers University (2004-present), and Chairman of the Board of Saint Barnabas Health Care System. Previously, Mr. Gamper served as Chairman of the Board of Governors, Rutgers University (2004-2007). |
Arthur E. Johnson (61) | |
| Year of Election or Appointment: 2008 Mr. Johnson serves as Senior Vice President of Corporate Strategic Development of Lockheed Martin Corporation (defense contractor). In addition, Mr. Johnson serves as a member of the Board of Directors of AGL Resources, Inc. (holding company), and IKON Office Solutions, Inc. (document management systems and services). Mr. Arthur E. Johnson and Mr. Edward C. Johnson 3d are not related. |
James H. Keyes (68) | |
| Year of Election or Appointment:2007 Prior to his retirement in 2003, Mr. Keyes was Chairman, President, and Chief Executive Officer of Johnson Controls, Inc. (automotive supplier, 1993-2003). He currently serves as a member of the boards of Navistar International Corporation (manufacture and sale of trucks, buses, and diesel engines) and Pitney Bowes, Inc. (integrated mail, messaging, and document management solutions). Previously, Mr. Keyes served as a member of the Board of LSI Logic Corporation (semiconductor technologies, 1984-2008). |
Marie L. Knowles (62) | |
| Year of Election or Appointment: 2001 Prior to Ms. Knowles' retirement in June 2000, she served as Executive Vice President and Chief Financial Officer of Atlantic Richfield Company (ARCO) (diversified energy, 1996-2000). From 1993 to 1996, she was a Senior Vice President of ARCO and President of ARCO Transportation Company. She served as a Director of ARCO from 1996 to 1998. She currently serves as a Director of McKesson Corporation (healthcare service). Ms. Knowles is a Trustee of the Brookings Institution and the Catalina Island Conservancy and also serves as a member of the Advisory Board for the School of Engineering of the University of Southern California. Previously, Ms. Knowles served as a Director of Phelps Dodge Corporation (copper mining and manufacturing, 1994-2007). |
Kenneth L. Wolfe (69) | |
| Year of Election or Appointment: 2005 Mr. Wolfe is Chairman and a Director of Hershey Foods Corporation (2007-present), where prior to his retirement in 2001, he was Chairman and Chief Executive Officer. Mr. Wolfe currently serves as a member of the board of Revlon Inc. (2004-present). Previously, Mr. Wolfe served as a member of the boards of Adelphia Communications Corporation (2003-2006) and Bausch & Lomb, Inc. (1993-2007). |
Annual Report
Trustees and Officers - continued
Advisory Board Member and Executive Officers**:
Correspondence intended for Mr. Kenneally may be sent to Fidelity Investments, P.O. Box 55235, Boston, Massachusetts 02205-5235. Correspondence intended for each executive officer may be sent to Fidelity Investments, 82 Devonshire Street, Boston, Massachusetts 02109.
Name, Age; Principal Occupation | |
Michael E. Kenneally (54) | |
| Year of Election or Appointment: 2008 Member of the Advisory Board of Fidelity Municipal Trust. Mr. Kenneally also serves as Trustee (2009-present) or Member of the Advisory Board of other Fidelity Fixed Income and Asset Allocation Funds. Previously, Mr. Kenneally served as Chairman and Global Chief Executive Officer of Credit Suisse Asset Management (2003-2005). Mr. Kenneally was a Director of The Credit Suisse Funds (U.S. Mutual Fund, 2004-2008) and was awarded the Chartered Financial Analyst (CFA) designation in 1991. |
John R. Hebble (50) | |
| Year of Election or Appointment: 2008 President and Treasurer of Fidelity's Fixed Income and Asset Allocation Funds. Mr. Hebble is an employee of Fidelity Investments (2003-present). Before joining Fidelity Investments, Mr. Hebble worked at Deutsche Asset Management where he served as Director of Fund Accounting (2002- |
Boyce I. Greer (52) | |
| Year of Election or Appointment: 2005 or 2006 Vice President of Fidelity's Fixed Income Funds (2006) and Asset Allocation Funds (2005). Mr. Greer is also a Trustee of other investment companies advised by FMR (2003-present). Mr. Greer is President and a Director of Fidelity Investments Money Management, Inc. (2007- |
Scott C. Goebel (40) | |
| Year of Election or Appointment: 2008 Secretary and Chief Legal Officer (CLO) of the Fidelity funds. Mr. Goebel also serves as General Counsel, Secretary, and Senior Vice President of FMR (2008-present); Deputy General Counsel of FMR LLC; Chief Legal Secretary of Fidelity Management & Research (Hong Kong) Limited (2008-present) and Assistant Secretary of Fidelity Management & Research (Japan) Inc. (2008-present). Previously, Mr. Goebel served as Assistant Secretary of the Funds (2007-2008) and as Vice President and Secretary of Fidelity Distributors Corporation (FDC) (2005-2007). |
Nancy D. Prior (41) | |
| Year of Election or Appointment: 2008 Assistant Secretary of Fidelity's Fixed Income and Asset Allocation Funds. Ms. Prior is an employee of Fidelity Investments (2002-present). |
Holly C. Laurent (54) | |
| Year of Election or Appointment: 2008 Anti-Money Laundering (AML) Officer of the Fidelity funds. Ms. Laurent is an employee of Fidelity Investments. Previously, Ms. Laurent was Senior Vice President and Head of Legal for Fidelity Business Services India Pvt. Ltd. (2006-2008), Senior Vice President, Deputy General Counsel and Group Head for FMR LLC (2005-2006). |
Christine Reynolds (50) | |
| Year of Election or Appointment: 2008 Chief Financial Officer of the Fidelity funds. Ms. Reynolds became President of Fidelity Pricing and Cash Management Services (FPCMS) in August 2008. She served as Chief Operating Officer of FPCMS from 2007 through July 2008. Previously, Ms. Reynolds served as President, Treasurer, and Anti-Money Laundering officer of the Fidelity funds (2004- |
Michael H. Whitaker (41) | |
| Year of Election or Appointment: 2008 Chief Compliance Officer of Fidelity's Fixed Income and Asset Allocation Funds. Mr. Whitaker is an employee of Fidelity Investments (2007-present). Prior to joining Fidelity Investments, Mr. Whitaker worked at MFS Investment Management where he served as Senior Vice President and Chief Compliance Officer (2004-2006), and Assistant General Counsel. |
Bryan A. Mehrmann (47) | |
| Year of Election or Appointment: 2005 Deputy Treasurer of the Fidelity funds. Mr. Mehrmann is an employee of Fidelity Investments. Previously, Mr. Mehrmann served as Vice President of Fidelity Investments Institutional Services Group (FIIS)/Fidelity Investments Institutional Operations Company, Inc. (FIIOC) Client Services (1998-2004). |
Stephanie J. Dorsey (39) | |
| Year of Election or Appointment: 2008 Deputy Treasurer of Fidelity's Fixed Income and Asset Allocation Funds. Ms. Dorsey is an employee of Fidelity Investments (2008-present). Previously, Ms. Dorsey served as Treasurer (2004-2008) of the JPMorgan Mutual Funds and Accounting Group Manager (2003) of JPMorgan Chase Bank. |
Robert G. Byrnes (42) | |
| Year of Election or Appointment: 2005 Assistant Treasurer of the Fidelity funds. Mr. Byrnes is an employee of Fidelity Investments (2005-present). Previously, Mr. Byrnes served as Vice President of Fidelity Pricing and Cash Management Services (FPCMS) (2003-2005). Before joining Fidelity Investments, Mr. Byrnes worked at Deutsche Asset Management where he served as Vice President of the Investment Operations Group (2000-2003). |
Paul M. Murphy (61) | |
| Year of Election or Appointment: 2007 Assistant Treasurer of the Fidelity funds. Mr. Murphy is an employee of Fidelity Investments (2007-present). Previously, Mr. Murphy served as Chief Financial Officer of the Fidelity Funds (2005-2006), Vice President and Associate General Counsel of FMR (2007), and Senior Vice President of Fidelity Pricing and Cash Management Services (FPCMS) (1994-2007). |
Gary W. Ryan (50) | |
| Year of Election or Appointment: 2005 Assistant Treasurer of the Fidelity funds. Mr. Ryan is an employee of Fidelity Investments. Previously, Mr. Ryan served as Vice President of Fund Reporting in Fidelity Pricing and Cash Management Services (FPCMS) (1999-2005). |
** FMR Corp. merged with and into FMR LLC on October 1, 2007. Any references to FMR LLC for prior periods are deemed to be references to the prior entity.
Annual Report
Distributions (Unaudited)
During fiscal year ended 2008, 100% of the fund's income dividends was free from federal income tax, and 6.54% of the fund's income dividends was subject to the federal alternative minimum tax.
The fund will notify shareholders in January 2009 of amounts for use in preparing 2008 income tax returns.
Annual Report
Managing Your Investments
Fidelity offers several ways to conveniently manage your personal investments via your telephone or PC. You can access your account information, conduct trades and research your investments 24 hours a day.
By Phone
Fidelity Automated Service Telephone provides a single toll-free number to access account balances, positions, quotes and trading. It's easy to navigate the service, and on your first call, the system will help you create a personal identification number (PIN) for security.
(phone_graphic)
Fidelity Automated
Service Telephone (FAST®)
1-800-544-5555
Press
For mutual fund and brokerage trading.
For quotes.*
For account balances and holdings.
To review orders and mutual
fund activity.
To change your PIN.
To speak to a Fidelity representative.
By PC
Fidelity's web site on the Internet provides a wide range of information, including daily financial news, fund performance, interactive planning tools and news about Fidelity products and services.
(computer_graphic)
Fidelity's Web Site
www.fidelity.com
* When you call the quotes line, please remember that a fund's yield and return will vary and, except for money market funds, share price will also vary. This means that you may have a gain or loss when you sell your shares. There is no assurance that money market funds will be able to maintain a stable $1 share price; an investment in a money market fund is not insured or guaranteed by the U.S. government. Total returns are historical and include changes in share price, reinvestment of dividends and capital gains, and the effects of any sales charges.
Annual Report
To Write Fidelity
We'll give your correspondence immediate attention and send you written confirmation upon completion of your request.
(letter_graphic)
Making Changes
To Your Account
(such as changing name, address, bank, etc.)
Fidelity Investments
P.O. Box 770001
Cincinnati, OH 45277-0002
(letter_graphic)
For Non-Retirement
Accounts
Buying shares
Fidelity Investments
P.O. Box 770001
Cincinnati, OH 45277-0003
Overnight Express
Fidelity Investments
Attn: Distribution Services
100 Crosby Parkway - KC1H
Covington, KY 41015
Selling shares
Fidelity Investments
P.O. Box 770001
Cincinnati, OH 45277-0035
Overnight Express
Fidelity Investments
Attn: Distribution Services
100 Crosby Parkway - KC1H
Covington, KY 41015
General Correspondence
Fidelity Investments
P.O. Box 500
Merrimack, NH 03054-0500
(letter_graphic)
For Retirement
Accounts
Buying shares
Fidelity Investments
P.O. Box 770001
Cincinnati, OH 45277-0003
Selling shares
Fidelity Investments
P.O. Box 770001
Cincinnati, OH 45277-0035
Overnight Express
Fidelity Investments
Attn: Distribution Services
100 Crosby Parkway - KC1H
Covington, KY 41015
General Correspondence
Fidelity Investments
P.O. Box 500
Merrimack, NH 03054-0500
Annual Report
Investment Adviser
Fidelity Management & Research Company
Boston, MA
Investment Sub-Adviser
Fidelity Investments Money
Management, Inc.
Fidelity Management & Research
(U.K.) Inc.
Fidelity Research & Analysis Company
FIL Investment Advisors
FIL Investment Advisors
(U.K.) Ltd.
Fidelity Management & Research
(Hong Kong) Limited
Fidelity Management & Research
(Japan) Inc
General Distributor
Fidelity Distributors Corporation
Boston, MA
Transfer and Service Agents
Citibank N.A.
New York NY
Fidelity Investments Institutional
Operations Company, Inc.
Boston, MA
Fidelity Service Company, Inc.
Boston, MA
Custodian
Citibank N.A.
New York NY
The Fidelity Telephone Connection
Mutual Fund 24-Hour Service
Exchanges/Redemptions
and Account Assistance 1-800-544-6666
Product Information 1-800-544-6666
Retirement Accounts 1-800-544-4774
(8 a.m. - 9 p.m.)
TDD Service 1-800-544-0118
for the deaf and hearing impaired
(9 a.m. - 9 p.m. Eastern time)
Fidelity Automated Service
Telephone(FAST®) 1-800-544-5555
Automated line for quickest service
HIY-UANN-0209 1.787741.105
Fidelity®
Ohio Municipal Income Fund
and
Fidelity
Ohio Municipal Money Market
Fund
Annual Report
December 31, 2008
(2_fidelity_logos) (Registered_Trademark)
Contents
Chairman's Message | Ned Johnson's message to shareholders | |
Shareholder Expense Example | An example of shareholder expenses. | |
Fidelity Ohio Municipal Income Fund | ||
Performance | How the fund has done over time. | |
Management's | The manager's review of fund performance, strategy and outlook. | |
Investment Changes | A summary of major shifts in the fund's investments over the past six months. | |
Investments | A complete list of the fund's investments with their market values. | |
Financial Statements | Statements of assets and liabilities, operations, and changes in net assets, as well as financial highlights. | |
Fidelity Ohio Municipal Money Market Fund | ||
Investment Changes/ | A summary of major shifts in the fund's investments over the past six months. | |
Investments | A complete list of the fund's investments. | |
Financial Statements | Statements of assets and liabilities, operations, and changes in net assets, as well as financial highlights. | |
Notes | Notes to the Financial Statements | |
Report of Independent Registered Public Accounting Firm |
| |
Trustees and Officers |
| |
Distributions |
|
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com (search for "proxy voting guidelines") or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov. You may also call 1-800-544-8544 to request a free copy of the proxy voting guidelines.
Standard & Poor's, S&P and S&P 500 are registered service marks of The McGraw-Hill Companies, Inc. and have been licensed for use by Fidelity Distributors Corporation.
Other third party marks appearing herein are the property of their respective owners.
All other marks appearing herein are registered or unregistered trademarks or service marks of FMR LLC or an affiliated company.
Annual Report
This report and the financial statements contained herein are submitted for the general information of the shareholders of the funds. This report is not authorized for distribution to prospective investors in the funds unless preceded or accompanied by an effective prospectus.
A fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. Forms N-Q are available on the SEC's web site at http://www.sec.gov. A fund's Forms N-Q may be reviewed and copied at the SEC's Public Reference Room in Washington, DC. Information regarding the operation of the SEC's Public Reference Room may be obtained by calling 1-800-SEC-0330. For a complete list of a fund's portfolio holdings, view the most recent holdings listing, semiannual report, or annual report on Fidelity's web site at http://www.fidelity.com or http://www.advisor.fidelity.com, as applicable.
NOT FDIC INSURED · MAY LOSE VALUE · NO BANK GUARANTEE
Neither the funds nor Fidelity Distributors Corporation is a bank.
Annual Report
Chairman's Message
(photo_of_Edward_C_Johnson_3d)
Dear Shareholder:
An all-out credit crisis gripped the world's capital markets in 2008, stunting economic growth, toppling commodity prices and pushing equity markets into their steepest declines in decades. Within this ultra-risk-averse climate, virtually the only positive results came from the relative security of U.S. government-backed assets. While financial markets are always unpredictable, there are a number of time-tested principles that can put the historical odds in your favor.
One of the basic tenets is to invest for the long term. Over time, riding out the markets' inevitable ups and downs has proven much more effective than selling into panic or chasing the hottest trend. Even missing only a few of the markets' best days can significantly diminish investor returns. Patience also affords the benefits of compounding - of earning interest on additional income or reinvested dividends and capital gains. There are tax advantages and cost benefits to consider as well. The more you sell, the more taxes you pay, and the more you trade, the higher the costs. While staying the course doesn't eliminate risk, it can considerably lessen the effect of short-term declines.
You can further manage your investing risk through diversification. And today, more than ever, geographic diversification should be taken into account. Studies indicate that asset allocation is the single most important determinant of a portfolio's long-term success. The right mix of stocks, bonds and cash - aligned to your particular risk tolerance and investment objective - is very important. Age-appropriate rebalancing is also an essential aspect of asset allocation. For younger investors, an emphasis on equities - which historically have been the best-performing asset class over time - is encouraged. As investors near their specific goal, such as retirement or sending a child to college, consideration may be given to replacing volatile assets (e.g. common stocks) with more-stable fixed investments (bonds or savings plans).
A third investment principle - investing regularly - can help lower the average cost of your purchases. Investing a certain amount of money each month or quarter helps ensure you won't pay for all your shares at market highs. This strategy - known as dollar cost averaging - also reduces unconstructive "emotion" from investing, helping shareholders avoid selling weak performers just prior to an upswing, or chasing a hot performer just before a correction.
We invite you to contact us via the Internet, through our Investor Centers or over the phone. It is our privilege to provide you the information you need to make the investments that are right for you.
Sincerely,
/s/Edward C. Johnson 3d
Edward C. Johnson 3d
Annual Report
Shareholder Expense Example
As a shareholder of a Fund, you incur two types of costs: (1) transaction costs, including redemption fees, and (2) ongoing costs, including management fees and other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs with the ongoing costs of investing in other mutual funds.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (July 1, 2008 to December 31, 2008).
Actual Expenses
The first line of the accompanying table for each fund provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000.00 (for example, an $8,600 account value divided by $1,000.00 = 8.6), then multiply the result by the number in the first line for a fund under the heading entitled "Expenses Paid During Period" to estimate the expenses you paid on your account during this period. A small balance maintenance fee of $12.00 that is charged once a year may apply for certain accounts with a value of less than $2,000. This fee is not included in the table below. If it was, the estimate of expenses you paid during the period would be higher, and your ending account value lower, by this amount. In addition, each Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.
Hypothetical Example for Comparison Purposes
The second line of the accompanying table for each fund provides information about hypothetical account values and hypothetical expenses based on a 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. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and 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. A small balance maintenance fee of $12.00 that is charged once a year may apply for certain accounts with a value of less than $2,000. This fee is not included in the table below. If it was, the estimate of expenses you paid during the period would be higher, and your ending account value lower, by this amount. In addition, each Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs. Therefore, the second line 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 transactional costs were included, your costs would have been higher.
Annual Report
| Annualized Expense Ratio | Beginning | Ending | Expenses Paid |
Fidelity Ohio Municipal Income Fund | .49% |
|
|
|
Actual |
| $ 1,000.00 | $ 983.90 | $ 2.44 |
HypotheticalA |
| $ 1,000.00 | $ 1,022.67 | $ 2.49 |
Fidelity Ohio Municipal Money Market Fund | .54% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,008.10 | $ 2.73** |
HypotheticalA |
| $ 1,000.00 | $ 1,022.42 | $ 2.75** |
A 5% return per year before expenses
* Expenses are equal to each Fund's annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/366 (to reflect the one-half year period).
** If fees to participate in the U.S. Department of Treasury's Temporary Guarantee Program for Money Market Funds paid in October and December, 2008 (see Note 3 of the Notes to Financial Statements) had been in effect during the entire period, the annualized expense ratio for the Fidelity Ohio Municipal Money Market Fund would have been .56% and the expenses paid in the actual and hypothetical examples above would have been $2.83 and $2.85, respectively.
Annual Report
Fidelity Ohio Municipal Income Fund
Performance: The Bottom Line
Average annual total return reflects the change in the value of an investment, assuming reinvestment of the fund's dividend income and capital gains (the profits earned upon the sale of securities that have grown in value, if any) and assuming a constant rate of performance each year. The $10,000 table and the fund's returns do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. During periods of reimbursement by Fidelity, a fund's total return will be greater than it would be had the reimbursement not occurred. How a fund did yesterday is no guarantee of how it will do tomorrow.
Average Annual Total Returns
Periods ended December 31, 2008 | Past 1 | Past 5 | Past 10 |
Fidelity® OH Municipal Income Fund | -1.62% | 2.73% | 4.19% |
$10,000 Over 10 Years
Let's say hypothetically that $10,000 was invested in Fidelity® Ohio Municipal Income Fund on December 31, 1998. The chart shows how the value of your investment would have changed, and also shows how the Barclays Capital Municipal Bond Index performed over the same period.
Annual Report
Fidelity Ohio Municipal Income Fund
Management's Discussion of Fund Performance
Comments from Jamie Pagliocco, Portfolio Manager of Fidelity® Ohio Municipal Income Fund
Municipal bonds suffered losses during 2008, hurt by a persistent and deepening risk aversion that spread rapidly across the global financial markets. While lower-quality municipals were hit first, insured bonds - most rated AAA at the time - came under pressure shortly thereafter in response to investor concerns about the financial strength of bond insurers. All major municipal bond insurers suffered from their exposure to securities backed by subprime mortgages. Supply pressures also weighed on the markets, as issuers scrambled to refinance their debt as the auction-rate securities market - - a major source of funding for muni issuers - broke down. The loss of independent muni dealers - including Bear Stearns, Lehman Brothers, Merrill Lynch and Wachovia - led to further disruption, as did the selling by leveraged investors to cover losses and meet investor redemptions. But in December, munis started to gain strength as investors gravitated toward their attractive valuations. For the 12 months overall, the Barclays Capital Municipal Bond Index - a performance measure of more than 44,000 investment-grade, fixed-rate, tax-exempt bonds - declined 2.47%. The overall taxable debt market, as measured by the Barclays Capital U.S. Aggregate Bond Index, rose 5.24%.
For the year ending December 31, 2008, the fund returned -1.62% and the Barclays Capital Ohio 4 Plus Year Enhanced Modified Municipal Bond Index - which tracks the types of securities in which the fund invests - returned -1.03%. Sector selection generally boosted the fund's relative performance, helping to mostly offset what we lost through yield-curve positioning and an underweighting in the highest-quality munis. My decisions to have less exposure to sectors that turned out to be poor performers - mainly tobacco and housing - bolstered relative performance. As for yield-curve positioning, we lost ground from my decision to overweight longer-term bonds later in the period, which lagged the shorter-term securities in which I was underweighted. The fund also was hurt by its significant underweighting in prerefunded and escrowed securities, two of the muni market's leaders during the year. These securities, which are backed by U.S. Treasury and other government-guaranteed bonds, were in very strong demand because of their high quality and their tax-free yields, which, in most cases, matched or exceeded those offered by taxable government bonds.
The views expressed above reflect those of the portfolio manager(s) only through the end of the period as stated on the cover of this report and do not necessarily represent the views of Fidelity or any other person in the Fidelity organization. Any such views are subject to change at any time based upon market or other conditions and Fidelity disclaims any responsibility to update such views. These views may not be relied on as investment advice and, because investment decisions for a Fidelity fund are based on numerous factors, may not be relied on as an indication of trading intent on behalf of any Fidelity fund.
Annual Report
Fidelity Ohio Municipal Income Fund
Investment Changes (Unaudited)
Top Five Sectors as of December 31, 2008 | ||
| % of fund's | % of fund's net assets |
General Obligations | 41.4 | 39.6 |
Education | 13.3 | 12.7 |
Health Care | 12.5 | 10.1 |
Water & Sewer | 11.1 | 11.5 |
Special Tax | 5.8 | 7.0 |
Weighted Average Maturity as of December 31, 2008 | ||
|
| 6 months ago |
Years | 11.6 | 8.8 |
The weighted average maturity is based on the dollar-weighted average length of time until principal payments are expected or until securities reach maturity, taking into account any maturity shortening feature such as a call, refunding or redemption provision. |
Duration as of December 31, 2008 | ||
|
| 6 months ago |
Years | 7.7 | 7.3 |
Duration shows how much a bond fund's price fluctuates with changes in comparable interest rates. If rates rise 1%, for example, a fund with a five-year duration is likely to lose about 5% of its value. Other factors also can influence a bond fund's performance and share price. Accordingly, a bond fund's actual performance may differ from this example. |
Quality Diversification (% of fund's net assets) | |||||||
As of December 31, 2008 | As of June 30, 2008 | ||||||
![]() | AAA 8.8% |
| ![]() | AAA 29.7% |
| ||
![]() | AA,A 79.3% |
| ![]() | AA,A 64.1% |
| ||
![]() | BBB 10.0% |
| ![]() | BBB 5.2% |
| ||
![]() | BB and Below 0.1% |
| ![]() | BB and Below 0.1% |
| ||
![]() | Not Rated 0.2% |
| ![]() | Not Rated 0.5% |
| ||
![]() | Short-Term |
| ![]() | Short-Term |
|
We have used ratings from Moody's® Investors Services, Inc. Where Moody's ratings are not available, we have used S&P® ratings. All ratings are as of the report date and do not reflect subsequent downgrades. |
Annual Report
Fidelity Ohio Municipal Income Fund
Investments December 31, 2008
Showing Percentage of Net Assets
Municipal Bonds - 98.4% | ||||
| Principal Amount | Value | ||
Guam - 0.4% | ||||
Guam Ed. Fing. Foundation Ctfs. of Prtn. Series 2006 A, 5% 10/1/23 | $ 1,600,000 | $ 1,327,872 | ||
Guam Wtrwks. Auth. Wtr. and Wastewtr. Sys. Rev. Series 2005, 5.875% 7/1/35 | 470,000 | 341,234 | ||
| 1,669,106 | |||
Ohio - 94.4% | ||||
Adams County Valley Local School District (Adams & Highland County Proj.) Series 1995, 5.25% 12/1/21 (MBIA Insured) | 2,000,000 | 1,963,160 | ||
Akron Bath Copley Hosp. District Rev. (Akron Gen. Health Systems Proj.) Series A: | ||||
5% 1/1/14 | 1,500,000 | 1,476,180 | ||
5% 1/1/15 | 1,275,000 | 1,247,422 | ||
Akron City Non-tax Rev. Econ. Dev. Series 1997, 6% 12/1/12 (MBIA Insured) | 1,250,000 | 1,371,825 | ||
Akron Ctfs. of Prtn. Series 2005, 5% 12/1/15 (Assured Guaranty Corp. Insured) | 1,475,000 | 1,612,382 | ||
Akron Wtrwks. Rev. Series 2002, 5.25% 12/1/19 (MBIA Insured) | 1,630,000 | 1,584,800 | ||
American Muni. Pwr. Electricity Purchase Rev. Series A: | ||||
5% 2/1/11 | 1,400,000 | 1,326,766 | ||
5% 2/1/13 | 2,000,000 | 1,801,640 | ||
American Muni. Pwr.-Ohio, Inc. Rev. (Prarie State Energy Campus Proj.) Series A, 5% 2/15/38 | 4,000,000 | 3,404,560 | ||
Avon Lake City School District Series 2005, 5% 12/1/14 (MBIA Insured) | 1,205,000 | 1,341,346 | ||
Bowling Green City School District 5% 12/1/34 (FSA Insured) | 2,000,000 | 1,905,080 | ||
Buckeye Tobacco Settlement Fing. Auth. Series A-2: | ||||
5.75% 6/1/34 | 4,000,000 | 2,234,520 | ||
6.5% 6/1/47 | 5,800,000 | 3,476,694 | ||
Buckeye Valley Local School District Delaware County Series A, 6.85% 12/1/15 (MBIA Insured) | 1,890,000 | 2,165,694 | ||
Bucyrus City School District 5% 12/1/30 (FSA Insured) | 5,120,000 | 4,947,814 | ||
Butler County Sales Tax (Govt. Svcs. Ctr. Proj.) Series A, 5% 12/15/16 (AMBAC Insured) | 2,455,000 | 2,670,107 | ||
Butler County Trans. Impt. District Series 2007, 5% 12/1/18 (XL Cap. Assurance, Inc. Insured) | 1,015,000 | 1,111,851 | ||
Canal Winchester Local School District Series B, 5% 12/1/18 (MBIA Insured) | 1,030,000 | 1,083,478 | ||
Chagrin Falls Exempted Village School District Series 2005, 5.25% 12/1/19 (MBIA Insured) | 1,915,000 | 2,047,978 | ||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Ohio - continued | ||||
Cincinnati City School District: | ||||
5.25% 6/1/16 (FSA Insured) | $ 1,500,000 | $ 1,613,640 | ||
5.25% 12/1/18 (FGIC Insured) | 3,000,000 | 3,356,100 | ||
Cincinnati City School District Ctfs. of Prtn. (School Impt. Proj.) 5% 12/15/28 (FSA Insured) | 1,000,000 | 980,190 | ||
Cincinnati Wtr. Sys. Rev. Series B, 5% 12/1/32 | 2,500,000 | 2,421,925 | ||
Cleveland Arpt. Sys. Rev. Series 2000 C, 5% 1/1/20 (FSA Insured) | 3,500,000 | 3,562,230 | ||
Cleveland Gen. Oblig. Series C: | ||||
5.25% 11/15/20 (FGIC Insured) | 1,100,000 | 1,197,295 | ||
5.25% 11/15/21 (FGIC Insured) | 1,145,000 | 1,235,054 | ||
5.25% 11/15/22 (FGIC Insured) | 1,210,000 | 1,283,483 | ||
5.25% 11/15/23 (FGIC Insured) | 1,885,000 | 1,984,528 | ||
Cleveland Muni. School District: | ||||
5.25% 12/1/17 (FSA Insured) | 2,215,000 | 2,401,968 | ||
5.25% 12/1/19 (FSA Insured) | 1,045,000 | 1,106,822 | ||
5.25% 12/1/23 (FSA Insured) | 1,000,000 | 1,023,530 | ||
Cleveland Parking Facilities Rev. 5.25% 9/15/17 (FSA Insured) | 4,480,000 | 4,792,346 | ||
Cleveland Pub. Pwr. Sys. Rev.: | ||||
Series A: | ||||
0% 11/15/10 (MBIA Insured) | 850,000 | 813,442 | ||
0% 11/15/11 (MBIA Insured) | 2,395,000 | 2,219,518 | ||
0% 11/15/10 (Escrowed to Maturity) (c) | 1,250,000 | 1,202,850 | ||
Cleveland State Univ. Gen. Receipts: | ||||
Series 2003 A, 5% 6/1/18 (FGIC Insured) | 2,490,000 | 2,557,130 | ||
Series 2004, 5% 6/1/34 (FGIC Insured) | 5,000,000 | 4,495,250 | ||
Cleveland Wtrwks. Rev. (First Mtg. Prog.): | ||||
Series G, 5.5% 1/1/13 (MBIA Insured) | 2,450,000 | 2,599,524 | ||
Series H, 5.75% 1/1/16 (MBIA Insured) | 45,000 | 45,027 | ||
Columbus City School District (School Facilities Construction and Impt. Proj.) 5% 12/1/18 (FSA Insured) | 5,000,000 | 5,488,400 | ||
Cuyahoga County Gen. Oblig. Series A: | ||||
0% 10/1/11 (MBIA Insured) | 2,400,000 | 2,232,000 | ||
0% 10/1/12 (MBIA Insured) | 1,405,000 | 1,260,777 | ||
Cuyahoga County Rev. (Cleveland Clinic Health Sys. Obligated Group Prog.) Series 2003 A, 5.5% 1/1/13 | 1,070,000 | 1,122,558 | ||
Dayton School District (School Facility Construction & Impt. Proj.) Series A, 5% 12/1/31 | 5,000,000 | 4,690,300 | ||
Erie County Gen. Oblig. 5.5% 12/1/18 (FSA Insured) | 1,265,000 | 1,374,245 | ||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Ohio - continued | ||||
Fairfield City School District 7.45% 12/1/14 (FGIC Insured) | $ 1,000,000 | $ 1,174,270 | ||
Fairless Local School District 5% 12/1/32 (FSA Insured) | 3,300,000 | 3,183,873 | ||
Fairview Park City School District 5% 12/1/33 (MBIA Insured) | 4,350,000 | 4,009,917 | ||
Fairview Park Gen. Oblig. 5% 12/1/30 (MBIA Insured) | 5,955,000 | 5,777,362 | ||
Franklin County Convention Facilities Auth. Tax & Lease Rev. 5.25% 12/1/19 (AMBAC Insured) | 4,000,000 | 4,177,400 | ||
Franklin County Hosp. Rev. (Nationwide Children's Hosp. Proj.) Series A: | ||||
5% 11/1/15 | 260,000 | 266,778 | ||
5% 11/1/16 | 265,000 | 268,750 | ||
Franklin County Rev. (OCLC Online Computer Library Ctr., Inc. Proj.) 5% 4/15/12 | 2,505,000 | 2,660,060 | ||
Gallia County Hosp. Facilities Rev. (Holzer Med. Ctr. Proj.) 5.125% 10/1/13 (AMBAC Insured) | 3,000,000 | 2,961,300 | ||
Gallia County Local School District (School Impt. Proj.) 5% 12/1/33 (FSA Insured) | 3,000,000 | 2,900,340 | ||
Hamilton City School District 5% 12/1/34 | 2,000,000 | 1,891,680 | ||
Hamilton County Convention Facilities Auth. Rev.: | ||||
5% 12/1/17 (FGIC Insured) | 1,985,000 | 2,093,341 | ||
5% 12/1/18 (FGIC Insured) | 1,075,000 | 1,133,136 | ||
5% 12/1/19 (FGIC Insured) | 2,190,000 | 2,255,678 | ||
5% 12/1/19 (FGIC Insured) | 1,130,000 | 1,177,686 | ||
Hamilton County Econ. Dev. Rev. (King Highland Cmnty. Urban Redev. Corp. Proj.) Series A, 5% 6/1/17 (MBIA Insured) | 1,070,000 | 1,144,301 | ||
Hamilton County Hosp. Facilities Rev. (Childrens Hosp. Med. Ctr. Proj.) Series 2004 J: | ||||
5.25% 5/15/15 (FGIC Insured) | 1,835,000 | 1,849,350 | ||
5.25% 5/15/17 (FGIC Insured) | 2,585,000 | 2,555,583 | ||
5.25% 5/15/18 (FGIC Insured) | 2,720,000 | 2,621,482 | ||
Hamilton County Sales Tax Rev. Series B, 5.25% 12/1/32 (AMBAC Insured) | 960,000 | 855,389 | ||
Hamilton County Swr. Sys. Rev. Series 06A, 5% 12/1/17 (MBIA Insured) | 2,050,000 | 2,272,569 | ||
Hamilton Wtrwks. Rev. 5% 10/15/16 (MBIA Insured) | 1,000,000 | 1,055,150 | ||
Hilliard Gen. Oblig. 5% 12/1/18 (MBIA Insured) | 1,000,000 | 1,064,730 | ||
Hilliard School District 0% 12/1/11 (FGIC Insured) | 2,525,000 | 2,326,535 | ||
Huber Heights Wtr. Sys. Rev. 5% 12/1/30 (MBIA Insured) | 2,285,000 | 2,152,082 | ||
Kent City School District Series 2004, 5% 12/1/20 (FGIC Insured) | 1,400,000 | 1,433,684 | ||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Ohio - continued | ||||
Kings Local School District 5% 12/1/19 (MBIA Insured) | $ 1,365,000 | $ 1,424,801 | ||
Lake County Hosp. Facilities Rev. (Lake Hosp. Sys., Inc. Proj.) Series 2008 C: | ||||
5% 8/15/14 | 2,055,000 | 1,953,462 | ||
5% 8/15/15 | 1,160,000 | 1,082,848 | ||
5% 8/15/16 | 1,260,000 | 1,157,537 | ||
5% 8/15/17 | 1,000,000 | 902,000 | ||
Lakewood City School District: | ||||
0% 12/1/15 (FSA Insured) | 1,500,000 | 1,174,140 | ||
0% 12/1/16 (FSA Insured) | 1,200,000 | 889,836 | ||
Lakewood Hosp. Impt. Rev. (Lakewood Hosp. Assoc. Proj.): | ||||
5.5% 2/15/10 | 1,000,000 | 1,032,230 | ||
5.5% 2/15/11 | 2,075,000 | 2,106,602 | ||
5.5% 2/15/12 | 600,000 | 611,268 | ||
Licking Heights Local School District (Facilities Construction & Impt. Proj.) Series A, 5% 12/1/32 (MBIA Insured) | 3,745,000 | 3,492,400 | ||
Lorain County Gen. Oblig. (Justice Ctr. Proj.) Series 2002, 5.5% 12/1/22 (FGIC Insured) | 2,985,000 | 3,094,938 | ||
Lucas County Hosp. Rev. (Promedia Health Care Oblig. Group Proj.): | ||||
5% 11/15/13 (AMBAC Insured) | 1,135,000 | 1,155,487 | ||
5% 11/15/38 | 3,880,000 | 3,132,479 | ||
5.375% 11/15/23 (AMBAC Insured) | 5,000,000 | 4,176,900 | ||
5.625% 11/15/12 (AMBAC Insured) | 2,000,000 | 2,019,000 | ||
5.625% 11/15/13 (AMBAC Insured) | 1,200,000 | 1,203,828 | ||
Marysville Village School District 5% 12/1/29 (FSA Insured) | 4,000,000 | 3,863,960 | ||
Marysville Wastewtr. Treatment Sys. Rev.: | ||||
4% 12/1/20 (XL Cap. Assurance, Inc. Insured) | 115,000 | 104,460 | ||
4.125% 12/1/21 (XL Cap. Assurance, Inc. Insured) | 175,000 | 158,151 | ||
4.15% 12/1/22 (XL Cap. Assurance, Inc. Insured) | 100,000 | 88,400 | ||
Miamisburg City School District 5% 12/1/33 | 1,340,000 | 1,306,406 | ||
Milford Exempt Village School District 5.25% 12/1/33 | 5,000,000 | 4,702,350 | ||
Montgomery County Gen. Oblig. 5.5% 12/1/25 | 2,235,000 | 2,278,627 | ||
Montgomery County Rev. (Catholic Health Initiatives Proj.): | ||||
Series 2008 C2, 4.1%, tender 11/10/11 (a) | 1,900,000 | 1,884,819 | ||
Series 2008 D, 6.25% 10/1/33 | 2,500,000 | 2,472,775 | ||
Series A: | ||||
6% 12/1/19 | 1,470,000 | 1,507,132 | ||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Ohio - continued | ||||
Montgomery County Rev. (Catholic Health Initiatives Proj.): - continued | ||||
Series A: | ||||
6% 12/1/19 (Escrowed to Maturity) (c) | $ 1,530,000 | $ 1,621,387 | ||
6% 12/1/26 (Escrowed to Maturity) (c) | 3,000,000 | 3,138,270 | ||
Series C1, 5% 10/1/41 (FSA Insured) | 5,000,000 | 3,888,350 | ||
Series D, 5.25%, tender 11/12/13 (a) | 2,000,000 | 2,053,200 | ||
Montgomery County Wtr. Sys. Rev. Series 2002, 5.375% 11/15/16 (AMBAC Insured) | 2,200,000 | 2,354,132 | ||
North Olmsted Gen. Oblig. Series D, 5.25% 12/1/20 (AMBAC Insured) | 2,075,000 | 2,224,483 | ||
Oak Hills Local School District Facilities Construction and Impt. Series B, 6.9% 12/1/12 (MBIA Insured) | 500,000 | 581,105 | ||
Ohio Air Quality Dev. Auth. Rev. (FirstEnergy Nuclear Generation Corp. Proj.) Series 2008 C, 7.25%, tender 11/1/12 (a)(b) | 2,000,000 | 2,001,680 | ||
Ohio Bldg. Auth.: | ||||
(Adult Correctional Bldg. Fund Prog.) Series 2001 A, 5.5% 10/1/12 (FSA Insured) | 1,000,000 | 1,084,630 | ||
(Juvenile Correctional Bldg. Fund Prog.) 5% 4/1/17 (MBIA Insured) | 2,485,000 | 2,620,433 | ||
Ohio Gen. Oblig.: | ||||
(College Savings Prog.) 0% 8/1/14 | 1,375,000 | 1,117,985 | ||
(Common Schools Proj.) Series 2006 D, 5% 9/15/21 | 500,000 | 522,680 | ||
(Higher Ed. Cap. Facilities Proj.): | ||||
Series 2002 B, 5.25% 11/1/20 | 2,520,000 | 2,627,680 | ||
Series 2005 B, 5% 5/1/16 | 1,000,000 | 1,120,740 | ||
Series A, 5.375% 8/1/16 | 5,980,000 | 6,380,720 | ||
(Infrastructure Impt. Proj.): | ||||
Series A, 5% 3/1/26 | 1,850,000 | 1,870,942 | ||
Series D, 5% 3/1/24 | 3,415,000 | 3,467,454 | ||
Series 2008 A, 5.375% 9/1/28 | 7,000,000 | 7,221,550 | ||
Series A, 5.5% 9/15/16 | 11,060,000 | 11,933,626 | ||
Ohio Higher Edl. Facility Commission Rev.: | ||||
(Case Western Reserve Univ. Proj.): | ||||
Series 1990 B, 6.5% 10/1/20 | 2,335,000 | 2,746,170 | ||
Series 1994: | ||||
6.125% 10/1/15 | 2,000,000 | 2,294,400 | ||
6.25% 10/1/16 | 2,500,000 | 2,907,050 | ||
(Cleveland Clinic Foundation Proj.) Series 2008 A: | ||||
5.25% 1/1/33 | 1,985,000 | 1,712,519 | ||
5.5% 1/1/43 | 2,000,000 | 1,714,200 | ||
(John Carroll Univ. Proj.) 5% 4/1/17 | 1,000,000 | 1,052,600 | ||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Ohio - continued | ||||
Ohio Higher Edl. Facility Commission Rev.: - continued | ||||
(Univ. Hosp. Health Sys. Proj.) Series 2007 A, 5.25% 1/15/46 | $ 4,000,000 | $ 2,836,480 | ||
(Univ. of Dayton Proj.) Series 2004, 5% 12/1/17 (AMBAC Insured) | 2,170,000 | 2,311,180 | ||
Ohio Muni. Elec. Gen. Agcy. (Belleville Hydroelectric Proj.) 5% 2/15/17 (AMBAC Insured) | 1,215,000 | 1,287,280 | ||
Ohio Poll. Cont. Rev. (Standard Oil Co. Proj.) 6.75% 12/1/15 | 3,100,000 | 3,484,338 | ||
Ohio Solid Waste Disp. Rev. (Cargill, Inc. Proj.) 4.95% 9/1/20 (b) | 3,000,000 | 2,418,150 | ||
Ohio State Univ. Gen. Receipts: | ||||
Series 2002 A, 5.125% 12/1/31 | 5,000,000 | 4,956,500 | ||
Series 2003 B, 5.25% 6/1/16 | 5,000,000 | 5,413,400 | ||
Ohio Tpk. Commission Tpk. Rev.: | ||||
Series 1998 A, 5.5% 2/15/20 | 3,000,000 | 3,309,570 | ||
Series 2001 A, 5.5% 2/15/26 | 3,700,000 | 3,746,694 | ||
Ohio Univ. Gen. Receipts Athens: | ||||
Series 2004, 5% 12/1/18 (MBIA Insured) | 1,980,000 | 2,034,569 | ||
Series A: | ||||
4% 12/1/09 (FSA Insured) | 500,000 | 510,160 | ||
5% 12/1/33 (FSA Insured) | 1,190,000 | 1,087,172 | ||
Series B, 5% 12/1/31 (FSA Insured) | 3,540,000 | 3,381,833 | ||
Ohio Wtr. Dev. Auth. Rev.: | ||||
(Drinking Wtr. Fund Prog.) Series 2005: | ||||
5.25% 6/1/18 | 2,610,000 | 2,959,766 | ||
5.25% 12/1/18 | 2,610,000 | 2,958,983 | ||
(Fresh Wtr. Impt. Proj.): | ||||
Series B, 5.5% 6/1/16 (FSA Insured) | 1,560,000 | 1,807,026 | ||
5.5% 6/1/17 | 3,960,000 | 4,585,205 | ||
(Pure Wtr. Proj.) Series I, 6% 12/1/16 (Escrowed to Maturity) (c) | 1,685,000 | 1,896,198 | ||
5% 12/1/17 | 3,765,000 | 4,036,871 | ||
5.25% 6/1/13 (MBIA Insured) | 1,295,000 | 1,434,588 | ||
5.25% 12/1/13 (MBIA Insured) | 1,305,000 | 1,453,013 | ||
5.25% 6/1/14 (MBIA Insured) | 1,250,000 | 1,399,200 | ||
5.25% 12/1/14 (MBIA Insured) | 1,260,000 | 1,415,912 | ||
5.25% 12/1/15 (MBIA Insured) | 1,180,000 | 1,333,400 | ||
5.25% 6/1/17 (MBIA Insured) | 1,160,000 | 1,311,148 | ||
Ohio Wtr. Dev. Auth. Wtr. Poll. Cont. Rev.: | ||||
5% 6/1/18 | 2,000,000 | 2,121,180 | ||
5.25% 12/1/19 | 1,975,000 | 2,206,154 | ||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Ohio - continued | ||||
Olentangy Local School District: | ||||
0% 12/1/17 | $ 535,000 | $ 375,046 | ||
5% 12/1/30 (FSA Insured) | 4,025,000 | 3,966,839 | ||
5% 12/1/36 | 2,700,000 | 2,567,457 | ||
Orrville City School District 5.25% 12/1/35 (AMBAC Insured) | 1,000,000 | 948,930 | ||
Penta Career Ctr. Ctfs. of Prtn.: | ||||
(Ohio School Facilities Proj.) 5.25% 4/1/17 (FGIC Insured) | 1,755,000 | 1,870,409 | ||
(Wood, Lucas, Sandusky, Fulton, Ottawa, Henry and Hancock Counties, Ohio School Facilities Proj.) 5.25% 4/1/19 (FGIC Insured) | 1,940,000 | 2,024,526 | ||
Plain Local School District 6% 12/1/25 (FGIC Insured) | 990,000 | 1,022,274 | ||
Reynoldsburg City School District (School Facilities Construction & Impt. Proj.): | ||||
0% 12/1/16 | 1,250,000 | 934,125 | ||
0% 12/1/17 | 1,250,000 | 883,963 | ||
5% 12/1/32 | 1,500,000 | 1,447,215 | ||
Richland County Hosp. Facilities (MedCentral Health Sys. Proj.) Series B: | ||||
6.375% 11/15/22 | 500,000 | 492,950 | ||
6.375% 11/15/22 (Pre-Refunded to 11/15/10 @ 101) (c) | 1,000,000 | 1,093,280 | ||
6.375% 11/15/30 | 330,000 | 301,448 | ||
RiverSouth Auth. Rev. Series 2005 A, 5.25% 12/1/15 | 1,000,000 | 1,099,380 | ||
Rocky River Gen. Oblig. 5% 12/1/19 (AMBAC Insured) | 2,125,000 | 2,231,101 | ||
Ross County Hosp. Facilities Rev. (Adena Health Sys. Proj.) Series 2008, 5.75% 12/1/35 | 3,000,000 | 2,470,290 | ||
Scioto County Marine Term. Facilities Rev. (Norfolk Southern Corp. Proj.) 5.3% 8/15/13 | 3,000,000 | 3,001,890 | ||
Sharonville Gen. Oblig. 5.25% 6/1/16 (FGIC Insured) | 1,410,000 | 1,513,395 | ||
Springboro Cmnty. City School District 5.25% 12/1/20 (FSA Insured) | 2,780,000 | 3,037,484 | ||
St. Marys City School District: | ||||
5% 12/1/27 (FSA Insured) | 470,000 | 462,081 | ||
5% 12/1/35 (FSA Insured) | 2,500,000 | 2,362,225 | ||
Summit County Gen. Oblig.: | ||||
5.25% 12/1/20 | 1,645,000 | 1,746,941 | ||
5.25% 12/1/21 | 1,740,000 | 1,831,942 | ||
Tallmadge School District Gen. Oblig. 5% 12/1/31 (FSA Insured) | 4,000,000 | 3,898,640 | ||
Toledo Wtrwks. Rev.: | ||||
5% 11/15/16 (AMBAC Insured) | 1,110,000 | 1,177,632 | ||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Ohio - continued | ||||
Toledo Wtrwks. Rev.: - continued | ||||
5% 11/15/30 (MBIA Insured) | $ 3,500,000 | $ 3,271,555 | ||
Univ. of Akron Gen. Receipts: | ||||
Series A, 5.25% 1/1/30 (FSA Insured) | 3,000,000 | 2,977,350 | ||
Series B, 5% 1/1/27 (FGIC Insured) | 1,405,000 | 1,298,009 | ||
Univ. of Cincinnati Ctfs. of Prtn.: | ||||
5.5% 6/1/11 (MBIA Insured) | 1,045,000 | 1,109,299 | ||
5.5% 6/1/12 (MBIA Insured) | 1,315,000 | 1,389,837 | ||
5.5% 6/1/15 (MBIA Insured) | 1,000,000 | 1,044,170 | ||
Univ. of Cincinnati Gen. Receipts: | ||||
Series 2004 A: | ||||
5% 6/1/18 (AMBAC Insured) | 1,445,000 | 1,491,832 | ||
5% 6/1/19 (AMBAC Insured) | 1,520,000 | 1,551,646 | ||
Series 2008 C: | ||||
5% 6/1/22 (FSA Insured) | 1,000,000 | 998,980 | ||
5% 6/1/23 (FSA Insured) | 2,000,000 | 1,969,660 | ||
5% 6/1/24 (FSA Insured) | 2,000,000 | 1,951,660 | ||
Warren County Gen. Oblig.: | ||||
6.1% 12/1/12 | 315,000 | 337,611 | ||
6.65% 12/1/11 | 170,000 | 180,200 | ||
West Muskingum Local School District School Facilities Construction and Impt. 5% 12/1/30 (FGIC Insured) | 1,060,000 | 983,669 | ||
Wright State Univ. Gen. Receipts: | ||||
5% 5/1/17 (MBIA Insured) | 1,375,000 | 1,453,045 | ||
5% 5/1/18 (MBIA Insured) | 1,440,000 | 1,503,389 | ||
5% 5/1/19 (MBIA Insured) | 1,515,000 | 1,565,586 | ||
| 405,865,608 | |||
Puerto Rico - 2.9% | ||||
Puerto Rico Commonwealth Hwy. & Trans. Auth. Hwy. Rev.: | ||||
Series 1996 Z, 6.25% 7/1/15 (MBIA Insured) | 1,000,000 | 995,780 | ||
Series CC, 5.25% 7/1/33 | 5,635,000 | 4,634,788 | ||
Puerto Rico Commonwealth Infrastructure Fing. Auth. Series 2000 A, 5.5% 10/1/40 (Escrowed to Maturity) (c) | 1,690,000 | 1,704,044 | ||
Puerto Rico Elec. Pwr. Auth. Pwr. Rev.: | ||||
Series KK, 5.5% 7/1/15 | 1,800,000 | 1,780,686 | ||
Series QQ, 5.5% 7/1/17 (XL Cap. Assurance, Inc. Insured) | 1,300,000 | 1,189,110 | ||
Puerto Rico Pub. Bldg. Auth. Rev.: | ||||
Series G, 5.25% 7/1/13 | 1,000,000 | 946,060 | ||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Puerto Rico - continued | ||||
Puerto Rico Pub. Bldg. Auth. Rev.: - continued | ||||
Series M2, 5.75%, tender 7/1/17 (a) | $ 1,000,000 | $ 901,270 | ||
Puerto Rico Sales Tax Fing. Corp. Sales Tax Rev. Series 2007 A, 0% 8/1/41 | 2,400,000 | 228,192 | ||
| 12,379,930 | |||
Virgin Islands - 0.7% | ||||
Virgin Islands Pub. Fin. Auth. Refinery Facilities Rev. Series 2007, 4.7% 7/1/22 (b) | 1,600,000 | 962,768 | ||
Virgin Islands Pub. Fin. Auth. Rev. Series A, 5% 10/1/09 | 500,000 | 493,275 | ||
Virgin Islands Wtr. & Pwr. Auth. Elec. Sys. Rev. Series A, 5% 7/1/22 | 2,000,000 | 1,643,840 | ||
| 3,099,883 |
TOTAL INVESTMENT PORTFOLIO - 98.4% (Cost $439,372,431) | 423,014,527 | ||
NET OTHER ASSETS - 1.6% | 6,816,528 | ||
NET ASSETS - 100% | $ 429,831,055 |
Legend |
(a) The coupon rate shown on floating or adjustable rate securities represents the rate at period end. |
(b) Private activity obligations whose interest is subject to the federal alternative minimum tax for individuals. |
(c) Security collateralized by an amount sufficient to pay interest and principal. |
Other Information |
The following is a summary of the inputs used, as of December 31, 2008, involving the Fund's assets carried at value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to the Security Valuation section in the accompanying Notes to Financial Statements. |
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
Investments in Securities | $ 423,014,527 | $ - | $ 423,014,527 | $ - |
The distribution of municipal securities by revenue source, as a percentage of total net assets, is as follows: (unaudited) |
General Obligations | 41.4% |
Education | 13.3% |
Health Care | 12.5% |
Water & Sewer | 11.1% |
Special Tax | 5.8% |
Others* (individually less than 5%) | 15.9% |
| 100.0% |
* Includes net other assets |
Income Tax Information |
At December 31, 2008, the fund had a capital loss carryforward of approximately $227,991 all of which will expire on December 31, 2016. |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Fidelity Ohio Municipal Income Fund
Financial Statements
Statement of Assets and Liabilities
| December 31, 2008 | |
|
|
|
Assets | ||
Investment in securities, at value - See accompanying schedule: Unaffiliated issuers (cost $439,372,431) |
| $ 423,014,527 |
Cash | 4,129,568 | |
Receivable for fund shares sold | 396,022 | |
Interest receivable | 3,924,794 | |
Prepaid expenses | 4,234 | |
Other receivables | 2,902 | |
Total assets | 431,472,047 | |
|
|
|
Liabilities | ||
Payable for fund shares redeemed | $ 912,953 | |
Distributions payable | 445,958 | |
Accrued management fee | 128,648 | |
Transfer agent fee payable | 82,744 | |
Other affiliated payables | 27,399 | |
Other payables and accrued expenses | 43,290 | |
Total liabilities | 1,640,992 | |
|
|
|
Net Assets | $ 429,831,055 | |
Net Assets consist of: |
| |
Paid in capital | $ 446,542,244 | |
Undistributed net investment income | 11,167 | |
Accumulated undistributed net realized gain (loss) on investments | (364,452) | |
Net unrealized appreciation (depreciation) on investments | (16,357,904) | |
Net Assets, for 39,526,542 shares outstanding | $ 429,831,055 | |
Net Asset Value, offering price and redemption price per share ($429,831,055 ÷ 39,526,542 shares) | $ 10.87 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Statement of Operations
| Year ended December 31, 2008 | |
|
|
|
Investment Income |
|
|
Interest |
| $ 19,486,257 |
|
|
|
Expenses | ||
Management fee | $ 1,594,523 | |
Transfer agent fees | 335,155 | |
Accounting fees and expenses | 112,626 | |
Custodian fees and expenses | 6,953 | |
Independent trustees' compensation | 1,779 | |
Registration fees | 14,591 | |
Audit | 47,833 | |
Legal | 1,619 | |
Miscellaneous | 2,141 | |
Total expenses before reductions | 2,117,220 | |
Expense reductions | (61,219) | 2,056,001 |
Net investment income | 17,430,256 | |
Realized and Unrealized Gain (Loss) Net realized gain (loss) on: | ||
Investment securities: |
|
|
Unaffiliated issuers | (227,996) | |
Change in net unrealized appreciation (depreciation) on investment securities | (24,735,772) | |
Net gain (loss) | (24,963,768) | |
Net increase (decrease) in net assets resulting from operations | $ (7,533,512) |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Fidelity Ohio Municipal Income Fund
Financial Statements - continued
Statement of Changes in Net Assets
| Year ended | Year ended |
Increase (Decrease) in Net Assets |
|
|
Operations |
|
|
Net investment income | $ 17,430,256 | $ 16,288,390 |
Net realized gain (loss) | (227,996) | 1,363,456 |
Change in net unrealized appreciation (depreciation) | (24,735,772) | (2,974,382) |
Net increase (decrease) in net assets resulting | (7,533,512) | 14,677,464 |
Distributions to shareholders from net investment income | (17,431,194) | (16,287,205) |
Distributions to shareholders from net realized gain | (299,285) | (1,822,045) |
Total distributions | (17,730,479) | (18,109,250) |
Share transactions | 106,766,039 | 60,633,272 |
Reinvestment of distributions | 12,333,882 | 12,953,540 |
Cost of shares redeemed | (88,409,279) | (67,634,796) |
Net increase (decrease) in net assets resulting from share transactions | 30,690,642 | 5,952,016 |
Redemption fees | 4,216 | 1,969 |
Total increase (decrease) in net assets | 5,430,867 | 2,522,199 |
|
|
|
Net Assets | ||
Beginning of period | 424,400,188 | 421,877,989 |
End of period (including undistributed net investment income of $11,167 and undistributed net investment income of $12,104, respectively) | $ 429,831,055 | $ 424,400,188 |
Other Information Shares | ||
Sold | 9,614,154 | 5,290,193 |
Issued in reinvestment of distributions | 1,106,334 | 1,129,372 |
Redeemed | (8,078,772) | (5,911,725) |
Net increase (decrease) | 2,641,716 | 507,840 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Highlights
Years ended December 31, | 2008 | 2007 | 2006 | 2005 | 2004 |
Selected Per-Share Data |
|
|
|
|
|
Net asset value, | $ 11.51 | $ 11.60 | $ 11.66 | $ 11.98 | $ 12.10 |
Income from Investment Operations |
|
|
|
|
|
Net investment income B | .449 | .444 | .459 | .476 | .496 |
Net realized and unrealized gain (loss) | (.632) | (.040) | .050 | (.135) | .026 |
Total from investment operations | (.183) | .404 | .509 | .341 | .522 |
Distributions from net investment income | (.449) | (.444) | (.459) | (.476) | (.497) |
Distributions from net realized gain | (.008) | (.050) | (.110) | (.185) | (.145) |
Total distributions | (.457) | (.494) | (.569) | (.661) | (.642) |
Redemption fees added to paid in capital B, D | - | - | - | - | - |
Net asset value, end of period | $ 10.87 | $ 11.51 | $ 11.60 | $ 11.66 | $ 11.98 |
Total Return A | (1.62)% | 3.59% | 4.47% | 2.90% | 4.44% |
Ratios to Average Net Assets C |
|
|
|
|
|
Expenses before reductions | .49% | .49% | .49% | .50% | .50% |
Expenses net of fee waivers, | .49% | .49% | .49% | .50% | .50% |
Expenses net of all reductions | .47% | .45% | .45% | .47% | .49% |
Net investment income | 4.01% | 3.88% | 3.96% | 4.00% | 4.13% |
Supplemental Data |
|
|
|
|
|
Net assets, end of period | $ 429,831 | $ 424,400 | $ 421,878 | $ 424,849 | $ 423,597 |
Portfolio turnover rate | 11% | 22% | 19% | 23% | 26% |
A Total returns would have been lower had certain expenses not been reduced during the periods shown.
B Calculated based on average shares outstanding during the period.
C Expense ratios reflect operating expenses of the Fund. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or expense offset arrangements and do not represent the amount paid by the Fund during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the Fund.
D Amount represents less than $.001 per share.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Fidelity Ohio Municipal Money Market Fund
Investment Changes/Performance (Unaudited)
Maturity Diversification | |||
Days | % of fund's investments 12/31/08 | % of fund's investments 6/30/08 | % of fund's |
0 - 30 | 77.6 | 76.5 | 82.9 |
31 - 90 | 4.5 | 5.7 | 4.7 |
91 - 180 | 7.6 | 11.8 | 5.2 |
181 - 397 | 10.3 | 6.0 | 7.2 |
Weighted Average Maturity | |||
| 12/31/08 | 6/30/08 | 12/31/07 |
Fidelity Ohio Municipal Money Market Fund | 44 Days | 41 Days | 36 Days |
Ohio Tax-Free Money Market Average* | 43 Days | 38 Days | 37 Days |
Asset Allocation (% of fund's net assets) | |||||||
As of December 31, 2008 | As of June 30, 2008 | ||||||
![]() | Variable Rate |
| ![]() | Variable Rate |
| ||
![]() | Commercial Paper (including CP Mode) 4.9% |
| ![]() | Commercial Paper (including CP Mode) 3.0% |
| ||
![]() | Tender Bonds 0.6% |
| ![]() | Tender Bonds 1.6% |
| ||
![]() | Municipal Notes 15.2% |
| ![]() | Municipal Notes 18.0% |
| ||
![]() | Fidelity Municipal |
| ![]() | Fidelity Municipal |
| ||
![]() | Other Investments 3.1% |
| ![]() | Other Investments 2.5% |
| ||
![]() | Net Other Assets 1.6% |
| ![]() | Net Other Assets 6.9% |
|
Current and Historical Seven-Day Yields
| 12/29/08 | 9/29/08 | 6/30/08 | 3/31/08 | 12/31/07 |
Fidelity Ohio Municipal Money Market Fund | 0.88% | 5.42% | 1.37% | 1.77% | 2.94% |
Yield refers to the income paid by the fund over a given period. Yields for money market funds are usually for seven-day periods, as they are here, though they are expressed as annual percentage rates. Past performance is no guarantee of future results. Yield will vary and it is possible to lose money by investing in the fund.
* Source: iMoneyNet, Inc.
Annual Report
Fidelity Ohio Municipal Money Market Fund
Investments December 31, 2008
Showing Percentage of Net Assets
Municipal Securities - 98.4% | |||
Principal Amount | Value | ||
Florida - 0.1% | |||
Palm Beach County Rev. (Raymond F Kravis Ctr. Proj.) Series 2002, 1.75%, LOC Northern Trust Co., Chicago, VRDN (a) | $ 1,800,000 | $ 1,800,000 | |
Georgia - 0.1% | |||
Atlanta Tax Allocation (Westside Proj.) Series 2008, 1.75%, LOC Wachovia Bank NA, VRDN (a) | 1,400,000 | 1,400,000 | |
Kentucky - 0.6% | |||
Carroll County Envir. Facilities Rev. (Kentucky Utils. Co. Proj.): | |||
Series 2006 B, 1.45%, LOC Commerzbank AG, VRDN (a)(d) | 2,100,000 | 2,100,000 | |
Series 2008 A, 1.45%, LOC Commerzbank AG, VRDN (a)(d) | 2,600,000 | 2,600,000 | |
Kentucky Higher Ed. Student Ln. Corp. Rev. Series 2008 A1, 1.05%, LOC State Street Bank & Trust Co., Boston, LOC Bank of America NA, VRDN (a)(d) | 2,500,000 | 2,500,000 | |
| 7,200,000 | ||
Massachusetts - 0.6% | |||
Massachusetts School Bldg. Auth. Dedicated Sales Tax Rev. Participating VRDN Series EGL 07 0031, 1.63% (Liquidity Facility Landesbank Hessen-Thuringen) (a)(f) | 7,000,000 | 7,000,000 | |
Nevada - 0.6% | |||
Clark County Passenger Facility Charge Rev. McCarran Int'l. Arpt.: | |||
Series 2005 A1, 1%, LOC Bayerische Landesbank, VRDN (a)(d) | 3,700,000 | 3,700,000 | |
Series 2005 A2, 1%, LOC Bayerische Landesbank, VRDN (a)(d) | 3,700,000 | 3,700,000 | |
| 7,400,000 | ||
North Carolina - 0.7% | |||
North Carolina State Ed. Assistance Auth. Student Ln. Rev. Series 2008 3A2, 1.45%, LOC Bank of America NA, VRDN (a)(d) | 1,600,000 | 1,600,000 | |
Sampson County Indl. Facilities & Poll. Cont. Fing. Auth. Envir. Facilities Rev. (Sampson County Disp., Inc. Proj.) 2.15%, LOC Wachovia Bank NA, VRDN (a)(d) | 7,000,000 | 7,000,000 | |
| 8,600,000 | ||
Ohio - 92.5% | |||
Akron Gen. Oblig. BAN Series 2008 B, 2.5% 12/10/09 | 8,885,000 | 8,971,403 | |
Allen County Hosp. Facilities Rev. (Catholic Healthcare Partners Proj.) Series 2008 A, 1%, LOC Bank of America NA, VRDN (a) | 29,200,000 | 29,200,000 | |
Municipal Securities - continued | |||
Principal Amount | Value | ||
Ohio - continued | |||
Alliance Hosp. Rev. (Alliance Obligated Group Proj.) Series 2003, 1.35%, LOC JPMorgan Chase Bank, VRDN (a) | $ 1,950,000 | $ 1,950,000 | |
American Muni. Pwr.: | |||
Bonds (Omega Joint Venture 6 Proj.) 1.75%, tender 8/15/09 (a) | 6,818,000 | 6,818,000 | |
Series 2008 A, 1.1% 2/6/09, LOC JPMorgan Chase Bank, CP | 12,500,000 | 12,500,000 | |
Avon Gen. Oblig. BAN: | |||
(Recreational Facilities Impt. Proj.) 2.35% 5/14/09 | 1,830,000 | 1,832,319 | |
2.35% 5/14/09 | 12,400,000 | 12,415,716 | |
Beavercreek City School District BAN 2% 8/18/09 | 3,000,000 | 3,014,952 | |
Buckeye Valley Local School District Delaware County BAN 2% 6/23/09 | 7,500,000 | 7,526,520 | |
Butler County Health Facilities Rev. (LifeSphere Proj.) Series 2002, 1.05%, LOC U.S. Bank NA, Minnesota, VRDN (a) | 790,000 | 790,000 | |
Clark County Gen. Oblig. BAN 2% 5/6/09 | 1,275,000 | 1,275,856 | |
Cleveland Arpt. Sys. Rev.: | |||
Series 2008 B, 2.1%, LOC Wachovia Bank NA, VRDN (a)(d) | 12,000,000 | 12,000,000 | |
Series 2008 D, 1.15%, LOC U.S. Bank NA, Minnesota, VRDN (a) | 4,000,000 | 4,000,000 | |
Series 2008 E, 1.3%, LOC KBC Bank NV, VRDN (a)(d) | 37,025,000 | 37,025,000 | |
Cleveland Wtrwks. Rev. Series 2008 Q, 1.2%, LOC Bank of America NA, VRDN (a) | 16,100,000 | 16,100,000 | |
Clinton Massie Local School District BAN (School Construction Proj.) 3.125% 11/18/09 | 2,020,000 | 2,029,078 | |
Columbus City School District Participating VRDN Series 1488, 1.9% (Liquidity Facility JPMorgan Chase Bank) (a)(f) | 3,650,000 | 3,650,000 | |
Columbus Gen. Oblig.: | |||
Bonds Series 2005 D, 5% 12/15/09 | 1,000,000 | 1,037,169 | |
BAN 2.5% 12/16/09 | 6,225,000 | 6,307,377 | |
Columbus Swr. Rev. Participating VRDN: | |||
Series BBT 08 13, 1.25% (Liquidity Facility Branch Banking & Trust Co.) (a)(f) | 12,445,000 | 12,445,000 | |
Series Putters 2456, 1.2% (Liquidity Facility JPMorgan Chase Bank) (a)(f) | 1,400,000 | 1,400,000 | |
Cuyahoga County Health Care Facilities Rev. (Altenheim Proj.) 1.5%, LOC U.S. Bank NA, Minnesota, VRDN (a) | 12,370,000 | 12,370,000 | |
Cuyahoga County Indl. Dev. Rev. (Progressive Plastics, Inc. Proj.) 3.65%, LOC JPMorgan Chase Bank, VRDN (a)(d) | 765,000 | 765,000 | |
Cuyahoga Falls Gen. Oblig. BAN Series 2008, 2.75% 12/9/09 | 4,500,000 | 4,554,013 | |
Municipal Securities - continued | |||
Principal Amount | Value | ||
Ohio - continued | |||
Dayton Montgomery County Port Auth. Spl. Arpt. Facilities Rev. (Wilmington Air Park, Inc. Proj.) Series 2007 B, 3.9%, VRDN (a)(d) | $ 11,500,000 | $ 11,500,000 | |
Delaware Gen. Oblig. BAN 2.5% 5/5/09 | 12,100,000 | 12,130,668 | |
Franklin County Health Care Facilities Rev. (Friendship Villiage of Dublin, Ohio, Inc. Proj.) Series 2004 A, 1.1%, LOC Bank of America NA, VRDN (a) | 10,960,000 | 10,960,000 | |
Franklin County Multi-family Rev. (Hanover Ridge Apts. Proj. 1.05%, LOC Fannie Mae, VRDN (a)(d) | 5,640,000 | 5,640,000 | |
Hamilton County Healthcare Rev. (Life Enriching Cmntys. Proj.) Series 2006 C, 1.15%, LOC PNC Bank NA, Pittsburgh, VRDN (a) | 5,995,000 | 5,995,000 | |
Hamilton County Hosp. Facilities Rev.: | |||
(Childrens Hosp. Med. Ctr. Proj.): | |||
Series 1997 A, 1.15%, LOC PNC Bank NA, Pittsburgh, VRDN (a) | 8,150,000 | 8,150,000 | |
Series 2000, 1.15%, LOC JPMorgan Chase Bank, VRDN (a) | 12,705,000 | 12,705,000 | |
Series 2002 I, 1.15%, LOC U.S. Bank NA, Minnesota, VRDN (a) | 4,120,000 | 4,120,000 | |
Series 2007 N, 1.15%, LOC JPMorgan Chase Bank, VRDN (a) | 6,000,000 | 6,000,000 | |
(Elizabeth Gamble Deaconess Home Assoc. Proj.) Series 2002 A, 0.8%, LOC JPMorgan Chase Bank, VRDN (a) | 8,520,000 | 8,520,000 | |
Hamilton Gen. Oblig. BAN 2% 9/10/09 | 12,000,000 | 12,000,000 | |
Hilliard Gen. Oblig. BAN 2.25% 8/27/09 | 3,790,000 | 3,802,143 | |
Lake County Hosp. Facilities Rev. (Lake Hosp. Sys., Inc. Proj.) Series 2002, 0.95%, LOC JPMorgan Chase Bank, VRDN (a) | 11,900,000 | 11,900,000 | |
Lake County Indl. Dev. Rev. (Norshar Co. Proj.) 2.15%, LOC JPMorgan Chase Bank, VRDN (a)(d) | 2,490,000 | 2,490,000 | |
Lancaster Port Auth. Gas Rev. 1.15% (Royal Bank of Canada Guaranteed), VRDN (a) | 25,200,000 | 25,200,000 | |
Lorain County Gen. Oblig. BAN (Swr. Impt. Proj.) 2.5% 5/14/09 | 2,800,000 | 2,807,066 | |
Lorain County Hosp. Rev. (EMH Reg'l. Med. Ctr. Proj.) Series 2008, 1.25%, LOC JPMorgan Chase Bank, VRDN (a) | 10,800,000 | 10,800,000 | |
Lorain County Port Auth. Edl. Facilities Rev. (St. Ignatius High School Proj.) 1.39%, LOC U.S. Bank NA, Minnesota, VRDN (a) | 2,250,000 | 2,250,000 | |
Lucas County Gen. Oblig. BAN: | |||
2% 4/22/09 | 9,130,000 | 9,136,802 | |
3% 7/30/09 | 7,000,000 | 7,051,470 | |
Marysville Gen. Oblig. BAN 2.5% 6/3/09 | 7,670,000 | 7,687,328 | |
Mason City School District BAN 2.75% 2/5/09 | 3,750,000 | 3,752,636 | |
Municipal Securities - continued | |||
Principal Amount | Value | ||
Ohio - continued | |||
Mason Gen. Oblig. BAN 3% 3/12/09 | $ 2,600,000 | $ 2,603,655 | |
Mason Indl. Dev. Rev. (Crane Plastics Co. Proj.) 1.25%, LOC U.S. Bank NA, Minnesota, VRDN (a)(d) | 4,000,000 | 4,000,000 | |
Medina County Indl. Dev. Rev. (Rembond Proj.) Series 1996, 2.15%, LOC JPMorgan Chase Bank, VRDN (a)(d) | 1,005,000 | 1,005,000 | |
Miamisburg City School District BAN Series 2008, 3.5% 7/28/09 | 12,400,000 | 12,444,997 | |
Ohio Air Quality Dev. Auth. Rev.: | |||
(AK Steel Corp. Proj.) Series A, 1.15%, LOC ABN-AMRO Bank NV, VRDN (a)(d) | 23,500,000 | 23,500,000 | |
(Cincinnati Gas & Elec. Co. Proj.) Series A: | |||
1.1%, VRDN (a) | 11,000,000 | 11,000,000 | |
1.4%, LOC Cr. Agricole SA, VRDN (a)(d) | 12,100,000 | 12,100,000 | |
(Dayton Pwr. & Lt. Co. Proj.): | |||
Series 2008 A, 0.85%, LOC JPMorgan Chase Bank, VRDN (a)(d) | 10,500,000 | 10,500,000 | |
Series 2008 B, 0.8%, LOC JPMorgan Chase Bank, VRDN (a)(d) | 5,350,000 | 5,350,000 | |
(FirstEnergy Generation Corp. Proj.): | |||
Series 2008 A, 1.1%, LOC Barclays Bank PLC, VRDN (a) | 11,900,000 | 11,900,000 | |
Series 2008 B, 1%, LOC Bank of America NA, VRDN (a) | 42,550,000 | 42,550,001 | |
Ohio Bldg. Auth. Bonds: | |||
(Administrative Bldg. Fund Proj.) Series 2002 B, 5.25% 10/1/09 | 1,000,000 | 1,030,807 | |
(Adult Correctional Bldg. Fund Prog.) Series 2001 A, 5.5% 10/1/09 | 5,000,000 | 5,164,116 | |
Ohio Gen. Oblig.: | |||
Bonds: | |||
(Higher Ed. Cap. Facilities Proj.) Series 2002 II A: | |||
5.5% 12/1/09 | 2,490,000 | 2,585,465 | |
5.5% 12/1/09 | 3,875,000 | 4,004,791 | |
(Third Frontier Research and Dev. Proj.) Series 2006 A, 4% 5/1/09 | 3,600,000 | 3,628,064 | |
Series 2002 B, 5% 11/1/09 | 1,000,000 | 1,026,377 | |
Participating VRDN Series BBT 3, 1.15% (Liquidity Facility Branch Banking & Trust Co.) (a)(f) | 5,745,000 | 5,745,000 | |
(Common Schools Proj.): | |||
Series 2006 B, 0.65%, VRDN (a) | 14,015,000 | 14,015,000 | |
Series 2006 C, 0.75%, VRDN (a) | 6,705,000 | 6,705,000 | |
Ohio Gen. Oblig. Rev. Bonds (Major New State Infrastructure Proj.) Series 2002-1, 5% 6/15/09 | 1,110,000 | 1,123,359 | |
Municipal Securities - continued | |||
Principal Amount | Value | ||
Ohio - continued | |||
Ohio Higher Edl. Facility Commission Hosp. Rev.: | |||
Series 2008 B: | |||
2.2% 1/8/09, CP | $ 12,700,000 | $ 12,700,000 | |
2.2% 3/5/09, CP | 12,700,000 | 12,700,000 | |
Series 2008 B5, 2.2% 2/5/09, CP | 12,700,000 | 12,700,000 | |
Series 2008 B6, 0.65% 3/13/09, CP | 10,000,000 | 10,000,000 | |
Ohio Higher Edl. Facility Commission Rev.: | |||
Bonds (John Carroll Univ. Proj.) Series 1999, 5.85% 4/1/20 (Pre-Refunded to 4/1/09 @ 102) (e) | 2,875,000 | 2,957,571 | |
Participating VRDN Series Putters 3140, 1.2% (Liquidity Facility JPMorgan Chase Bank) (a)(f) | 5,170,000 | 5,170,000 | |
(Case Western Reserve Univ. Proj.) Series 2002 A, 0.85%, VRDN (a) | 7,770,000 | 7,770,000 | |
(Cleveland Clinic Foundation Proj.): | |||
Series 2008 B1, 1%, VRDN (a) | 12,700,000 | 12,700,000 | |
Series 2008 B2, 1%, VRDN (a) | 2,300,000 | 2,300,000 | |
Series 2008 B3, 1%, VRDN (a) | 10,250,000 | 10,250,000 | |
Series 2008 B4, 1%, VRDN (a) | 12,125,000 | 12,125,000 | |
(Mount Union College Proj.) Series 1995, 1.25%, LOC JPMorgan Chase Bank, VRDN (a) | 2,625,000 | 2,625,000 | |
(Ohio Northern Univ. Proj.) Series 2008 A, 1.2%, LOC JPMorgan Chase Bank, VRDN (a) | 7,300,000 | 7,300,000 | |
(Univ. Hosp. Health Sys. Proj.) Series 2008 C, 0.65%, LOC Wells Fargo Bank NA, VRDN (a) | 4,100,000 | 4,100,000 | |
(Xavier Univ. Proj.) 0.95%, LOC U.S. Bank NA, Minnesota, VRDN (a) | 1,260,000 | 1,260,000 | |
Ohio Hsg. Participating VRDN Series Clipper 06 8, 1.37% (Liquidity Facility State Street Bank & Trust Co., Boston) (a)(d)(f) | 3,818,000 | 3,818,000 | |
Ohio Hsg. Fin. Agcy. Mtg. Rev.: | |||
Participating VRDN: | |||
Series BA 01 I, 1.45% (Liquidity Facility Bank of America NA) (a)(d)(f) | 3,400,000 | 3,400,000 | |
Series Merlots 06 A2, 1.15% (Liquidity Facility Bank of New York, New York) (a)(d)(f) | 7,365,000 | 7,365,000 | |
Series Putters 1334, 1.5% (Liquidity Facility JPMorgan Chase & Co.) (a)(d)(f) | 8,320,000 | 8,320,000 | |
(Mtg.-Backed Securities Prog.): | |||
Series 2002 A2, 1.7% (Liquidity Facility KBC Bank NV), VRDN (a)(d) | 910,000 | 910,000 | |
Series 2005 B1, 1.02% (Liquidity Facility Fed. Home Ln. Bank, Cincinnati), VRDN (a)(d) | 6,000,000 | 6,000,000 | |
Municipal Securities - continued | |||
Principal Amount | Value | ||
Ohio - continued | |||
Ohio Hsg. Fin. Agcy. Mtg. Rev.: - continued | |||
(Mtg.-Backed Securities Prog.): | |||
Series 2005 B2, 0.8% (Liquidity Facility Fed. Home Ln. Bank, Cincinnati), VRDN (a)(d) | $ 8,455,000 | $ 8,455,000 | |
Series 2005 F, 0.8% (Liquidity Facility Fed. Home Ln. Bank, Cincinnati), VRDN (a)(d) | 13,000,000 | 13,000,000 | |
Series 2004 D, 0.8% (Liquidity Facility Fed. Home Ln. Bank, Cincinnati), VRDN (a)(d) | 4,740,000 | 4,740,000 | |
Series B, 1.1% (Liquidity Facility Fed. Home Ln. Bank, Cincinnati), VRDN (a)(d) | 11,990,000 | 11,990,000 | |
Series F, 0.88% (Liquidity Facility Fed. Home Ln. Bank, Cincinnati), VRDN (a)(d) | 4,000,000 | 4,000,000 | |
Series H, 0.88% (Liquidity Facility KBC Bank NV), VRDN (a)(d) | 12,630,000 | 12,625,168 | |
Ohio Hsg. Fin. Agcy. Multi-family Hsg. Rev.: | |||
(Club at Spring Valley Apts. Proj.) Series 1996 A, 0.95%, LOC RBS Citizens NA, VRDN (a)(d) | 5,700,000 | 5,700,000 | |
(Pedcor Invts. Willow Lake Apts. Proj.): | |||
Series B, 1.47%, LOC Fed. Home Ln. Bank, Indianapolis, VRDN (a)(d) | 460,000 | 460,000 | |
Series C, 1.47%, LOC Fed. Home Ln. Bank, Indianapolis, VRDN (a)(d) | 175,000 | 175,000 | |
Series D, 1.47%, LOC Fed. Home Ln. Bank, Indianapolis, VRDN (a)(d) | 175,000 | 175,000 | |
(Pine Crossing Apts. Proj.) 1.45%, LOC Bank of America NA, VRDN (a)(d) | 5,670,000 | 5,670,000 | |
(Wingate at Belle Meadows Proj.) 1.23%, LOC Fed. Home Ln. Bank, Cincinnati, VRDN (a)(d) | 7,755,000 | 7,755,000 | |
Ohio Hsg. Fin. Agcy. Residential Mtg. Rev.: | |||
Series 2006 J, 0.88% (Liquidity Facility State Street Bank & Trust Co., Boston), VRDN (a)(d) | 12,000,000 | 12,000,000 | |
Series 2006 N, 0.8% (Liquidity Facility State Street Bank & Trust Co., Boston), VRDN (a)(d) | 25,895,000 | 25,895,000 | |
Series 2008 B, 1.1% (Liquidity Facility Fed. Home Ln. Bank, Cincinnati), VRDN (a)(d) | 12,100,000 | 12,100,000 | |
Series 2008 H, 0.9% (Liquidity Facility Fed. Home Ln. Bank, Cincinnati), VRDN (a)(d) | 5,000,000 | 5,000,000 | |
Ohio Major New State Infrastructure Proj. Rev. Bonds Series 2008-1, 3% 6/15/09 | 12,800,000 | 12,864,008 | |
Ohio Poll. Cont. Rev. (Sohio Air Proj.) Series 1995, 1.1%, VRDN (a) | 2,300,000 | 2,300,000 | |
Ohio Solid Waste Rev.: | |||
(BP Exploration & Oil, Inc. Proj.): | |||
Series 1998, 1.2%, VRDN (a)(d) | 35,875,000 | 35,875,000 | |
Municipal Securities - continued | |||
Principal Amount | Value | ||
Ohio - continued | |||
Ohio Solid Waste Rev.: - continued | |||
(BP Exploration & Oil, Inc. Proj.): | |||
Series 1999, 1.2% (BP PLC Guaranteed), VRDN (a)(d) | $ 3,100,000 | $ 3,100,000 | |
Series 2000, 1.2% (BP PLC Guaranteed), VRDN (a)(d) | 16,675,000 | 16,675,000 | |
(BP Products NA, Inc. Proj.): | |||
Series 2002, 1.2% (BP PLC Guaranteed), VRDN (a)(d) | 1,540,000 | 1,540,000 | |
Series B, 1.2% (BP PLC Guaranteed), VRDN (a)(d) | 6,800,000 | 6,800,000 | |
Ohio State Univ. Gen. Receipts: | |||
Participating VRDN Series Putters 2548, 1.2% (Liquidity Facility JPMorgan Chase Bank) (a)(f) | 1,280,000 | 1,280,000 | |
Series 1997, 1%, VRDN (a) | 2,900,000 | 2,900,000 | |
Series 2001, 0.8%, VRDN (a) | 13,600,000 | 13,600,000 | |
Ohio Tpk. Commission Tpk. Rev. Participating VRDN Series Putters 3270, 1.7% (Liquidity Facility JPMorgan Chase & Co.) (a)(f) | 16,300,000 | 16,300,000 | |
Ohio Wtr. Dev. Auth. (Waste Mgmt., Inc. Proj.) Series B, 1%, LOC Bank of America NA, VRDN (a)(d) | 4,700,000 | 4,700,000 | |
Ohio Wtr. Dev. Auth. Poll. Cont. Facilities Rev.: | |||
(FirstEnergy Corp. Proj.): | |||
Series A, 1.2%, LOC Barclays Bank PLC, VRDN (a)(d) | 880,000 | 880,000 | |
Series A, 1.45%, LOC Wachovia Bank NA, VRDN (a)(d) | 12,100,000 | 12,100,000 | |
(FirstEnergy Generation Corp. Proj.) Series 2008 A, 0.75%, LOC Barclays Bank PLC, VRDN (a) | 1,850,000 | 1,850,000 | |
Series A, 0.95%, LOC Barclays Bank PLC, VRDN (a)(d) | 22,700,000 | 22,700,000 | |
Ohio Wtr. Dev. Auth. Rev. BAN 4% 10/1/09 | 7,000,000 | 7,084,721 | |
Ohio Wtr. Dev. Auth. Wtr. Poll. Cont. Rev. BAN 3% 8/4/09 | 11,000,000 | 11,111,243 | |
Perrysburg Gen. Oblig. BAN: | |||
3.5% 11/5/09 | 2,196,000 | 2,200,478 | |
3.625% 11/5/09 | 1,450,000 | 1,454,441 | |
Portage County Hosp. Rev. (Robinson Memorial Hosp. Proj.) Series 2008, 1.33%, LOC JPMorgan Chase Bank, VRDN (a) | 12,100,000 | 12,100,000 | |
Rickenbacker Port Auth. Indl. Dev. (Micro Inds. Corp. Proj.) Series 2000, 2.15%, LOC JPMorgan Chase Bank, VRDN (a)(d) | 1,930,000 | 1,930,000 | |
Shaker Heights Gen. Oblig. Bonds 3.65% 4/22/09 | 2,845,000 | 2,851,842 | |
Stow Gen. Oblig. BAN 2.25% 5/8/09 | 10,675,000 | 10,697,286 | |
Strongsville Gen. Oblig. BAN 3.25% 5/14/09 | 2,740,000 | 2,744,465 | |
Sylvania City School District BAN 2% 7/23/09 | 5,000,000 | 5,020,746 | |
Twinsburg Indl. Dev. Rev. (United Stationers Supply Co. Proj.) 1.4%, LOC PNC Bank NA, Pittsburgh, VRDN (a)(d) | 6,800,000 | 6,800,000 | |
Univ. of Cincinnati Gen. Receipts: | |||
BAN: | |||
Series A, 3.25% 1/14/09 | 11,000,000 | 11,001,977 | |
Series E, 2.75% 7/21/09 | 8,950,000 | 8,999,867 | |
Municipal Securities - continued | |||
Principal Amount | Value | ||
Ohio - continued | |||
Univ. of Cincinnati Gen. Receipts: - continued | |||
Series 2008 B, 1.3%, LOC Bayerische Landesbank, VRDN (a) | $ 24,000,000 | $ 24,000,000 | |
Univ. of Toledo Gen. Receipts Series 2008 B, 1.38%, LOC JPMorgan Chase Bank, VRDN (a) | 12,450,000 | 12,450,000 | |
Westlake Health Facilities Rev. (Lutheran Home Proj.) Series 2005, 1.22%, LOC RBS Citizens NA, VRDN (a) | 10,000,000 | 10,000,000 | |
Zanesville-Muskingum Port Auth. Indl. Dev. Rev. (Almana II LLC Proj.) Series 2000, 2.7%, LOC JPMorgan Chase Bank, VRDN (a)(d) | 3,850,000 | 3,850,000 | |
| 1,132,528,961 | ||
Puerto Rico - 0.5% | |||
Puerto Rico Commonwealth Pub. Impt. Gen. Oblig. TRAN: | |||
Series 2009 A1, 3% 7/30/09, LOC Bank of Nova Scotia, New York Agcy. | 3,100,000 | 3,123,942 | |
Series 2009 A2, 3% 7/30/09, LOC BNP Paribas SA | 1,700,000 | 1,713,129 | |
Series 2009 A3, 3% 7/30/09, LOC Banco Bilbao Vizcaya Argentaria SA | 1,600,000 | 1,612,357 | |
| 6,449,428 | ||
Texas - 0.5% | |||
Houston Util. Sys. Rev. Series 2004 A, 1.8% 1/5/09 (Liquidity Facility Bayerische Landesbank Girozentrale) (Liquidity Facility WestLB AG), CP | 1,565,000 | 1,565,000 | |
Weslaco Health Facilities Dev. Corp. Rev. (Knapp Med. Ctr. Proj.) Series 2008 A, 1.1%, LOC Compass Bank, VRDN (a) | 4,780,000 | 4,780,000 | |
| 6,345,000 | ||
Virginia - 0.2% | |||
Virginia Resources Auth. Clean Wtr. Rev. Participating VRDN Series MS 06 1860, 1.17% (Liquidity Facility Wells Fargo & Co.) (a)(f)(g) | 2,360,000 | 2,360,000 | |
Wyoming - 0.2% | |||
Lincoln County Poll. Cont. Rev. (PacifiCorp Proj.) Series 1994, 0.8%, LOC Wells Fargo Bank NA, VRDN (a) | 2,260,000 | 2,260,000 | |
Municipal Securities - continued | |||
Shares | Value | ||
Other - 1.8% | |||
Fidelity Municipal Cash Central Fund, 1.27% (b)(c) | 21,453,000 | $ 21,453,000 | |
TOTAL INVESTMENT PORTFOLIO - 98.4% | 1,204,796,389 | ||
NET OTHER ASSETS - 1.6% | 19,439,561 | ||
NET ASSETS - 100% | $ 1,224,235,950 |
Security Type Abbreviations |
BAN - BOND ANTICIPATION NOTE |
CP - COMMERCIAL PAPER |
TRAN - TAX AND REVENUE ANTICIPATION |
VRDN - VARIABLE RATE DEMAND NOTE |
Legend |
(a) The coupon rate shown on floating or adjustable rate securities represents the rate at period end. |
(b) Information in this report regarding holdings by state and security types does not reflect the holdings of the Fidelity Municipal Cash Central Fund. |
(c) Affiliated fund that is available only to investment companies and other accounts managed by Fidelity Investments. The rate quoted is the annualized seven-day yield of the fund at period end. A complete unaudited listing of the fund's holdings as of its most recent quarter end is available upon request. |
(d) Private activity obligations whose interest is subject to the federal alternative minimum tax for individuals. |
(e) Security collateralized by an amount sufficient to pay interest and principal. |
(f) Provides evidence of ownership in one or more underlying municipal bonds. |
(g) Restricted securities - Investment in securities not registered under the Securities Act of 1933 (excluding 144A issues). At the end of the period, the value of restricted securities (excluding 144A issues) amounted to $2,360,000 or 0.2% of net assets. |
Additional information on each holding is as follows: |
Security | Acquisition Date | Cost |
Virginia Resources Auth. Clean Wtr. Rev. Participating VRDN Series MS 06 1860, 1.17% (Liquidity Facility Wells Fargo & Co.) | 10/22/08 | $ 2,360,000 |
Affiliated Central Funds |
Information regarding fiscal year to date income earned by the Fund from investments in Fidelity Central Funds is as follows: |
Fund | Income earned |
Fidelity Municipal Cash Central Fund | $ 136,262 |
Other Information |
The following is a summary of the inputs used, as of December 31, 2008, involving the Fund's assets carried at value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to the Security Valuation section in the accompanying Notes to Financial Statements. |
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
Investments in Securities | $ 1,204,796,389 | $ - | $ 1,204,796,389 | $ - |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Fidelity Ohio Municipal Money Market Fund
Financial Statements
Statement of Assets and Liabilities
| December 31, 2008 | |
|
|
|
Assets | ||
Investment in securities, at value - See accompanying schedule: Unaffiliated issuers (cost $1,183,343,389) | $ 1,183,343,389 |
|
Fidelity Central Funds (cost $21,453,000) | 21,453,000 |
|
Total Investments (cost $1,204,796,389) |
| $ 1,204,796,389 |
Cash | 915,731 | |
Receivable for fund shares sold | 24,514,127 | |
Interest receivable | 4,256,655 | |
Distributions receivable from Fidelity Central Funds | 17,770 | |
Prepaid expenses | 173,385 | |
Other receivables | 53,973 | |
Total assets | 1,234,728,030 | |
|
|
|
Liabilities | ||
Payable for investments purchased | $ 1,200,780 | |
Payable for fund shares redeemed | 8,425,383 | |
Distributions payable | 6,357 | |
Accrued management fee | 368,816 | |
Other affiliated payables | 452,998 | |
Other payables and accrued expenses | 37,746 | |
Total liabilities | 10,492,080 | |
|
|
|
Net Assets | $ 1,224,235,950 | |
Net Assets consist of: |
| |
Paid in capital | $ 1,223,981,891 | |
Undistributed net investment income | 85,181 | |
Accumulated undistributed net realized gain (loss) on investments | 168,878 | |
Net Assets, for 1,223,900,940 shares outstanding | $ 1,224,235,950 | |
Net Asset Value, offering price and redemption price per share ($1,224,235,950 ÷ 1,223,900,940 shares) | $ 1.00 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Fidelity Ohio Municipal Money Market Fund
Financial Statements - continued
Statement of Operations
| Year ended December 31, 2008 | |
|
|
|
Investment Income |
|
|
Interest |
| $ 26,618,070 |
Income from Fidelity Central Funds |
| 136,262 |
Total income |
| 26,754,332 |
|
|
|
Expenses | ||
Management fee | $ 4,382,028 | |
Transfer agent fees | 1,643,114 | |
Accounting fees and expenses | 132,288 | |
Custodian fees and expenses | 19,447 | |
Independent trustees' compensation | 4,980 | |
Registration fees | 35,166 | |
Audit | 38,301 | |
Legal | 4,697 | |
Miscellaneous | 141,007 | |
Total expenses before reductions | 6,401,028 | |
Expense reductions | (615,974) | 5,785,054 |
Net investment income | 20,969,278 | |
Realized and Unrealized Gain (Loss) Net realized gain (loss) on: | ||
Investment securities: |
|
|
Unaffiliated issuers | 168,878 | |
Net increase in net assets resulting from operations | $ 21,138,156 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Statement of Changes in Net Assets
| Year ended | Year ended |
Increase (Decrease) in Net Assets |
|
|
Operations |
|
|
Net investment income | $ 20,969,278 | $ 33,262,767 |
Net realized gain (loss) | 168,878 | 68,350 |
Net increase in net assets resulting | 21,138,156 | 33,331,117 |
Distributions to shareholders from net investment income | (20,968,116) | (33,265,909) |
Share transactions at net asset value of $1.00 per share | 3,547,202,576 | 3,050,431,976 |
Reinvestment of distributions | 20,673,460 | 32,818,742 |
Cost of shares redeemed | (3,561,061,911) | (2,822,514,413) |
Net increase (decrease) in net assets and shares resulting from share transactions | 6,814,125 | 260,736,305 |
Total increase (decrease) in net assets | 6,984,165 | 260,801,513 |
|
|
|
Net Assets | ||
Beginning of period | 1,217,251,785 | 956,450,272 |
End of period (including undistributed net investment income of $85,181 and undistributed net investment income of $84,365, respectively) | $ 1,224,235,950 | $ 1,217,251,785 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Highlights
Years ended December 31, | 2008 | 2007 | 2006 | 2005 | 2004 |
Selected Per-Share Data |
|
|
|
|
|
Net asset value, beginning of period | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 |
Income from Investment Operations |
|
|
|
|
|
Net investment income | .018 | .032 | .030 | .020 | .008 |
Distributions from net investment income | (.018) | (.032) | (.030) | (.020) | (.008) |
Net asset value, end of period | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 |
Total Return A | 1.77% | 3.22% | 3.01% | 1.99% | .76% |
Ratios to Average Net Assets B, C |
|
|
|
|
|
Expenses before reductions | .54% | .52% | .54% | .54% | .54% |
Expenses net of fee waivers, if any | .54% | .52% | .54% | .54% | .54% |
Expenses net of all reductions | .48% | .41% | .40% | .43% | .53% |
Net investment income | 1.75% | 3.17% | 2.98% | 1.98% | .77% |
Supplemental Data |
|
|
|
|
|
Net assets, end of period | $ 1,224,236 | $ 1,217,252 | $ 956,450 | $ 801,905 | $ 770,058 |
A Total returns would have been lower had certain expenses not been reduced during the periods shown.
B Fees and expenses of the underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds.
C Expense ratios reflect operating expenses of the Fund. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or expense offset arrangements and do not represent the amount paid by the Fund during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the Fund.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Notes to Financial Statements
For the period ended December 31, 2008
1. Organization.
Fidelity Ohio Municipal Income Fund (the Income Fund) is a fund of Fidelity Municipal Trust. Fidelity Ohio Municipal Money Market Fund (the Money Market Fund) is a fund of Fidelity Municipal Trust II. Each trust is registered under the Investment Company Act of 1940, as amended (the 1940 Act), as an open-end management investment company. Fidelity Municipal Trust and Fidelity Municipal Trust II (the trusts) are organized as a Massachusetts business trust and a Delaware statutory trust, respectively. Each Fund is authorized to issue an unlimited number of shares. Each Fund may be affected by economic and political developments in the state of Ohio.
2. Investments in Fidelity Central Funds.
The Funds may invest in Fidelity Central Funds, which are open-end investment companies available only to other investment companies and accounts managed by Fidelity Management & Research Company (FMR) and its affiliates. The Funds' Schedules of Investments list each of the Fidelity Central Funds held as of period end, if any, as an investment of each Fund, but does not include the underlying holdings of each Fidelity Central Fund. As an Investing Fund, the Funds indirectly bear their proportionate share of the expenses of the underlying Fidelity Central Funds.
The Money Market Central Funds seek preservation of capital and current income and are managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of FMR.
A complete unaudited list of holdings for each Fidelity Central Fund is available upon request or at the SEC's web site at www.sec.gov. In addition, the financial statements of the Fidelity Central Funds, which are not covered by the Funds' Report of Independent Registered Public Accounting Firm, are available on the SEC's web site or upon request.
3. Significant Accounting Policies.
The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America, which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. The following summarizes the significant accounting policies of the Funds:
Security Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. Wherever possible, each Fund uses independent pricing services approved by the Board of Trustees to value their investments. For the Income Fund, debt securities, including restricted securities, are valued by independent pricing services or by dealers who make markets in such securities. Pricing services consider yield or price of bonds of comparable quality, coupon, maturity and type as well as dealer supplied prices. Investments in open-end mutual funds are valued at their closing net
Annual Report
3. Significant Accounting Policies - continued
Security Valuation - continued
asset value each business day. Short-term securities with remaining maturities of sixty days or less for which quotations are not readily available are valued at amortized cost, which approximates value. Actual prices received at disposition may differ.
As permitted by compliance with certain conditions under Rule 2a-7 of the 1940 Act, securities owned by the Money Market Fund are valued at amortized cost which approximates market value.
When current market prices or quotations are not readily available or reliable, valuations may be determined in good faith in accordance with procedures adopted by the Board of Trustees. Factors used in determining value may include significant market or security specific events, changes in interest rates and credit quality, and developments in foreign markets which are monitored by evaluating the performance of ADRs, futures contracts and exchange-traded funds. The frequency with which these procedures are used cannot be predicted and may be utilized to a significant extent. The value of securities used for net asset value (NAV) calculation under these procedures may differ from published prices for the same securities.
The Funds are subject to the provisions of Statement of Financial Accounting Standards No. 157, "Fair Value Measurements" (SFAS 157), effective with the beginning of the Funds' fiscal year. SFAS 157 establishes a hierarchy that prioritizes the inputs to valuation techniques giving the highest priority to readily available unadjusted quoted prices in active markets for identical assets (level 1 measurements) and the lowest priority to unobservable inputs (level 3 measurements) when market prices are not readily available or reliable. The three levels of the hierarchy under SFAS 157 are described below:
Level 1 | Quoted prices in active markets for identical securities. |
Level 2 | Prices determined using other significant observable inputs. Observable inputs are inputs that other market participants may use in pricing a security. These may include quoted prices for similar securities, interest rates, prepayment speeds, credit risk and others. |
Level 3 | Prices determined using significant unobservable inputs. In situations where quoted prices or observable inputs are unavailable or deemed less relevant (for example, when there is little or no market activity for an investment at the end of the period), unobservable inputs may be used. Unobservable inputs reflect the Fund's own assumptions about the factors market participants would use in pricing an investment, and would be based on the best information available. |
Changes in valuation techniques may result in transfers in or out of an investment's assigned level within the hierarchy.
The aggregate value by input level, as of December 31, 2008, for each Fund's investments is included at the end of each Fund's Schedule of Investments.
Annual Report
Notes to Financial Statements - continued
3. Significant Accounting Policies - continued
Investment Transactions and Income. For financial reporting purposes, the Funds' investment holdings and NAV include trades executed through the end of the last business day of the period. The NAV per share for processing shareholder transactions is calculated as of the close of business of the New York Stock Exchange (NYSE) normally 4:00 p.m. Eastern time and includes trades executed through the end of the prior business day for the Income Fund and trades executed through the end of the current business day for the Money Market Fund. Gains and losses on securities sold are determined on the basis of identified cost. Interest income and distributions from the Fidelity Central Funds are accrued as earned. Interest income includes coupon interest and amortization of premium and accretion of discount on debt securities.
Expenses. Most expenses of each trust can be directly attributed to a fund. Expenses which cannot be directly attributed are apportioned among each Fund in the trust. Expense estimates are accrued in the period to which they relate and adjustments are made when actual amounts are known.
The Board of Trustees of the Money Market Fund approved the participation by the Money Market Fund in the U.S. Treasury Department's Temporary Guarantee Program for Money Market Funds (the "Program") through April 30, 2009. Under the Program, if the Money Market Fund's market value per share drops below $0.995 on any day while the Program is in effect, shareholders of record on that date who also held shares in the Money Market Fund on September 19, 2008 may be eligible to receive a payment from the Treasury upon liquidation of the Money Market Fund. The Money Market Fund paid the U.S. Treasury Department a fee equal to 0.01% based on the number of shares outstanding as of September 19, 2008 to participate in the Program for the initial 3-month term that expired on December 18, 2008. On December 4, 2008, the Money Market Fund paid an additional fee equal to 0.015% based on the number of shares outstanding as of September 19, 2008 to participate in the extension of the Program through April 30, 2009.
The fees are being amortized over the length of the participation in the Program. The expense is borne by the Money Market Fund without regard to any expense limitation currently in effect. The U.S. Treasury Department has the option to renew the Program through the close of business on September 19, 2009. If extended, the Board of Trustees of the Money Market Fund will determine whether the Money Market Fund should continue participation in the Program and, if so, the Money Market Fund will incur additional participation fees.
Income Tax Information and Distributions to Shareholders. Each year, each Fund intends to qualify as a regulated investment company by distributing substantially all of its taxable income and realized gains under Subchapter M of the Internal Revenue Code and filing its U.S. federal tax return. As a result, no provision for income taxes is required. Each Fund is subject to the provisions of FASB Interpretation No. 48, Accounting for
Annual Report
3. Significant Accounting Policies - continued
Income Tax Information and Distributions to Shareholders - continued
Uncertainties in Income Taxes (FIN 48). FIN 48 sets forth a minimum threshold for financial statement recognition of the benefit of a tax position taken or expected to be taken in a tax return. There are no unrecognized tax benefits in the accompanying financial statements. A Fund's federal tax return is subject to examination by the Internal Revenue Service (IRS) for a period of three years.
Dividends are declared daily and paid monthly from net investment income. Distributions from realized gains, if any, are recorded on the ex-dividend date. Income and capital gain distributions are determined in accordance with income tax regulations, which may differ from generally accepted accounting principles. In addition, certain Funds will claim a portion of the payment made to redeeming shareholders as a distribution for income tax purposes.
Capital accounts within the financial statements are adjusted for permanent book-tax differences. These adjustments have no impact on net assets or the results of operations. Temporary book-tax differences will reverse in a subsequent period.
Book-tax differences are primarily due to market discount, deferred trustees compensation, capital loss carryforwards and loss deferred due to straddles.
The Funds purchase municipal securities whose interest, in the opinion of the issuer, is free from federal income tax. There is no assurance that the Internal Revenue Service (IRS) will agree with this opinion. In the event the IRS determines that the issuer does not comply with relevant tax requirements, interest payments from a security could become federally taxable, possibly retroactively to the date the security was issued.
The tax-basis components of distributable earnings and the federal tax cost as of period end were as follows for each Fund:
| Cost for | Unrealized | Unrealized | Net Unrealized |
Fidelity Ohio Municipal Income Fund | $ 439,500,690 | $ 7,060,377 | $ (23,546,540) | $ (16,486,163) |
Fidelity Ohio Municipal Money Market Fund | 1,204,796,389 | - | - | - |
| Undistributed | Undistributed | Capital Loss |
Fidelity Ohio Municipal Income Fund | $ 3,334 | $ - | $ (227,991) |
Fidelity Ohio Municipal Money Market Fund | 85,387 | - | - |
Annual Report
Notes to Financial Statements - continued
3. Significant Accounting Policies - continued
Income Tax Information and Distributions to Shareholders - continued
The tax character of distributions paid was as follows:
December 31, 2008 |
|
|
|
|
| Tax-exempt | Ordinary | Long-term | Total |
Fidelity Ohio Municipal Income Fund | $ 17,431,194 | $ - | $ 299,285 | $ 17,730,479 |
Fidelity Ohio Municipal Money Market Fund | 20,968,116 | - | - | 20,968,116 |
December 31, 2007 |
|
|
|
|
| Tax-exempt | Ordinary | Long-term | Total |
Fidelity Ohio Municipal Income Fund | $ 16,287,205 | $ 362,829 | $ 1,459,216 | $ 18,109,250 |
Fidelity Ohio Municipal Money Market Fund | 33,265,909 | - | - | 33,265,909 |
Short-Term Trading (Redemption) Fees. Shares held in the Income Fund less than 30 days are subject to a redemption fee equal to .50% of the proceeds of the redeemed shares. All redemption fees, including any estimated redemption fees paid by FMR, are retained by the Fund and accounted for as an addition to paid in capital.
4. Operating Policies.
Restricted Securities. Certain Funds may invest in securities that are subject to legal or contractual restrictions on resale. These securities generally may be resold in transactions exempt from registration or to the public if the securities are registered. Disposal of these securities may involve time-consuming negotiations and expense, and prompt sale at an acceptable price may be difficult. Information regarding restricted securities is included at the end of each applicable Fund's Schedule of Investments.
5. Purchases and Sales of Investments.
Purchases and sales of securities, other than short-term securities, for the Income Fund aggregated $98,849,062 and $47,893,467, respectively.
6. Fees and Other Transactions with Affiliates.
Management Fee. FMR and its affiliates provide the Funds with investment management related services for which the Funds pay a monthly management fee. The management fee is the sum of an individual fund fee rate and a group fee rate. The
Annual Report
6. Fees and Other Transactions with Affiliates - continued
Management Fee - continued
individual fund fee rate is applied to each Fund's average net assets. The group fee rate is based upon the average net assets of all the mutual funds advised by FMR. The group fee rate decreases as assets under management increase and increases as assets under management decrease. For the period, each Fund's annual management fee rate expressed as a percentage of each Fund's average net assets was as follows:
| Individual Rate | Group Rate | Total |
Fidelity Ohio Municipal Income Fund | .25% | .12% | .37% |
Fidelity Ohio Municipal Money Market Fund | .25% | .12% | .37% |
Transfer Agent and Accounting Fees. Citibank, N.A. (Citibank) is the custodian, transfer agent and shareholder servicing agent for the Funds. Citibank has entered into a sub-arrangement with Fidelity Investments Institutional Operations Company, Inc. (FIIOC), an affiliate of FMR, under which FIIOC performs the activities associated with the Funds' transfer, dividend disbursing and shareholder servicing agent functions. The Funds pay account fees and asset-based fees that vary according to account size and type of account. FIIOC pays for typesetting, printing and mailing of shareholder reports, except proxy statements. For the period, the transfer agent fees were equivalent to the following annual rates expressed as a percentage of average net assets:
Fidelity Ohio Municipal Income Fund | .08% |
Fidelity Ohio Municipal Money Market Fund | .14% |
Citibank also has a sub-arrangement with Fidelity Service Company, Inc. (FSC), an affiliate of FMR, under which FSC maintains the Fund's accounting records. The fee is based on the level of average net assets for the month.
7. Committed Line of Credit.
The Income Fund participates with other funds managed by FMR in a $4.2 billion credit facility (the "line of credit") to be utilized for temporary or emergency purposes to fund shareholder redemptions or for other short-term liquidity purposes. The participating funds have agreed to pay commitment fees on their pro rata portion of the line of credit, which is reflected in Miscellaneous Expense on the Statement of Operations, and is as follows:
Fidelity Ohio Municipal Income Fund | $ 854 |
During the period, there were no borrowings on this line of credit.
Annual Report
Notes to Financial Statements - continued
8. Expense Reductions.
Through arrangements with each applicable Fund's custodian and transfer agent, credits realized as a result of uninvested cash balances were used to reduce each applicable Fund's expenses. All of the applicable expense reductions are noted in the table below.
| Custody | Transfer |
|
|
|
Fidelity Ohio Municipal Income Fund | $ 6,718 | $ 54,501 |
Fidelity Ohio Municipal Money Market Fund | 19,447 | 596,527 |
9. Other.
The Funds' organizational documents provide former and current trustees and officers with a limited indemnification against liabilities arising in connection with the performance of their duties to the Funds. In the normal course of business, the Funds may also enter into contracts that provide general indemnifications. The Funds' maximum exposure under these arrangements is unknown as this would be dependent on future claims that may be made against the Funds. The risk of material loss from such claims is considered remote.
Annual Report
Report of Independent Registered Public Accounting Firm
To the Trustees of Fidelity Municipal Trust and Fidelity Municipal Trust II and the Shareholders of Fidelity Ohio Municipal Income Fund and Fidelity Ohio Municipal Money Market Fund:
In our opinion, the accompanying statements of assets and liabilities, including the schedules of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Fidelity Ohio Municipal Income Fund (a fund of Fidelity Municipal Trust) and Fidelity Ohio Municipal Money Market Fund (a fund of Fidelity Municipal Trust II) at December 31, 2008, the results of each of their operations for the year then ended, the changes in their net assets for each of the two years in the period then ended and the financial highlights for each of the five years in the period then ended, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as "financial statements") are the responsibility of the Fidelity Municipal Trust's and Fidelity Municipal Trust II's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at December 31, 2008 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion.
/s/ PricewaterhouseCoopers LLP
PricewaterhouseCoopers LLP
Boston, Massachusetts
February 20, 2009
Annual Report
Trustees and Officers
The Trustees, Member of the Advisory Board, and executive officers of the trusts and funds, as applicable, are listed below. The Board of Trustees governs each fund and is responsible for protecting the interests of shareholders. The Trustees are experienced executives who meet periodically throughout the year to oversee each fund's activities, review contractual arrangements with companies that provide services to each fund, and review each fund's performance. Except for Edward C. Johnson 3d and James C. Curvey, each of the Trustees oversees 158 funds advised by FMR or an affiliate. Messrs. Johnson and Curvey oversee 380 funds advised by FMR or an affiliate.
The Trustees hold office without limit in time except that (a) any Trustee may resign; (b) any Trustee may be removed by written instrument, signed by at least two-thirds of the number of Trustees prior to such removal; (c) any Trustee who requests to be retired or who has become incapacitated by illness or injury may be retired by written instrument signed by a majority of the other Trustees; and (d) any Trustee may be removed at any special meeting of shareholders by a two-thirds vote of the outstanding voting securities of the trust. Each Trustee who is not an interested person (as defined in the 1940 Act) (Independent Trustee), shall retire not later than the last day of the calendar year in which his or her 72nd birthday occurs. The Independent Trustees may waive this mandatory retirement age policy with respect to individual Trustees. The executive officers and Advisory Board Member hold office without limit in time, except that any officer and Advisory Board Member may resign or may be removed by a vote of a majority of the Trustees at any regular meeting or any special meeting of the Trustees. Except as indicated, each individual has held the office shown or other offices in the same company for the past five years.
Each fund's Statement of Additional Information (SAI) includes more information about the Trustees. To request a free copy, call Fidelity at 1-800-544-8544.
Interested Trustees*:
Correspondence intended for each Trustee who is an interested person may be sent to Fidelity Investments, 82 Devonshire Street, Boston, Massachusetts 02109.
Name, Age; Principal Occupation | |
Edward C. Johnson 3d (78) | |
| Year of Election or Appointment: 1984 or 1991 Trustee of Fidelity Municipal Trust (1984) and Fidelity Municipal Trust II (1991). Mr. Johnson is Chairman of the Board of Trustees. Mr. Johnson serves as Chief Executive Officer, Chairman, and a Director of FMR LLC; Chairman and a Director of FMR; Chairman and a Director of Fidelity Research & Analysis Company (FRAC); Chairman and a Director of Fidelity Investments Money Management, Inc.; and Chairman and a Director of FMR Co., Inc. In addition, Mr. Johnson serves as Chairman and Director of FIL Limited. Previously, Mr. Johnson served as President of FMR LLC (2006-2007). Mr. Edward C. Johnson 3d and Mr. Arthur E. Johnson are not related. |
James C. Curvey (73) | |
| Year of Election or Appointment: 2007 Mr. Curvey also serves as Trustee (2007-present) of other investment companies advised by FMR. Mr. Curvey is a Director of FMR and FMR Co., Inc. (2007-present). Mr. Curvey is also Vice Chairman (2006- |
* Trustees have been determined to be "Interested Trustees" by virtue of, among other things, their affiliation with the trusts or various entities under common control with FMR. FMR Corp. merged with and into FMR LLC on October 1, 2007. Any references to FMR LLC for prior periods are deemed to be references to the prior entity.
Independent Trustees:
Correspondence intended for each Independent Trustee (that is, the Trustees other than the Interested Trustees) may be sent to Fidelity Investments, P.O. Box 55235, Boston, Massachusetts 02205-5235.
Name, Age; Principal Occupation | |
Albert R. Gamper, Jr. (66) | |
| Year of Election or Appointment: 2006 Prior to his retirement in December 2004, Mr. Gamper served as Chairman of the Board of CIT Group Inc. (commercial finance). During his tenure with CIT Group Inc. Mr. Gamper served in numerous senior management positions, including Chairman (1987-1989; 1999-2001; 2002-2004), Chief Executive Officer (1987-2004), and President (1989-2002). He currently serves as a member of the Board of Directors of Public Service Enterprise Group (utilities), a member of the Board of Governors, Rutgers University (2004-present), and Chairman of the Board of Saint Barnabas Health Care System. Previously, Mr. Gamper served as Chairman of the Board of Governors, Rutgers University (2004-2007). |
Arthur E. Johnson (61) | |
| Year of Election or Appointment: 2008 Mr. Johnson serves as Senior Vice President of Corporate Strategic Development of Lockheed Martin Corporation (defense contractor). In addition, Mr. Johnson serves as a member of the Board of Directors of AGL Resources, Inc. (holding company), and IKON Office Solutions, Inc. (document management systems and services). Mr. Arthur E. Johnson and Mr. Edward C. Johnson 3d are not related. |
James H. Keyes (68) | |
| Year of Election or Appointment: 2007 Prior to his retirement in 2003, Mr. Keyes was Chairman, President, and Chief Executive Officer of Johnson Controls, Inc. (automotive supplier, 1993-2003). He currently serves as a member of the boards of Navistar International Corporation (manufacture and sale of trucks, buses, and diesel engines) and Pitney Bowes, Inc. (integrated mail, messaging, and document management solutions). Previously, Mr. Keyes served as a member of the Board of LSI Logic Corporation (semiconductor technologies, 1984-2008). |
Marie L. Knowles (62) | |
| Year of Election or Appointment: 2001 Prior to Ms. Knowles' retirement in June 2000, she served as Executive Vice President and Chief Financial Officer of Atlantic Richfield Company (ARCO) (diversified energy, 1996-2000). From 1993 to 1996, she was a Senior Vice President of ARCO and President of ARCO Transportation Company. She served as a Director of ARCO from 1996 to 1998. She currently serves as a Director of McKesson Corporation (healthcare service). Ms. Knowles is a Trustee of the Brookings Institution and the Catalina Island Conservancy and also serves as a member of the Advisory Board for the School of Engineering of the University of Southern California. Previously, Ms. Knowles served as a Director of Phelps Dodge Corporation (copper mining and manufacturing, 1994-2007). |
Kenneth L. Wolfe (69) | |
| Year of Election or Appointment: 2005 Mr. Wolfe currently serves as a member of the board of Revlon Inc. (2004-present). Previously, Mr. Wolfe served as Chairman and a Director (2007-2009) and Chairman and Chief Executive Officer of Hershey Foods Corporation, and as a member of the boards of Adelphia Communications Corporation (2003-2006) and Bausch & Lomb, Inc. (1993-2007). |
Annual Report
Advisory Board Member and Executive Officers**:
Correspondence intended for Mr. Kenneally may be sent to Fidelity Investments, P.O. Box 55235, Boston, Massachusetts 02205-5235. Correspondence intended for each executive officer may be sent to Fidelity Investments, 82 Devonshire Street, Boston, Massachusetts 02109.
Name, Age; Principal Occupation | |
Michael E. Kenneally (54) | |
| Year of Election or Appointment: 2008 Member of the Advisory Board. Mr. Kenneally also serves as Trustee (2009-present) or Member of the Advisory Board of other Fidelity Fixed Income and Asset Allocation Funds. Previously, Mr. Kenneally served as Chairman and Global Chief Executive Officer of Credit Suisse Asset Management (2003-2005). Mr. Kenneally was a Director of The Credit Suisse Funds (U.S. Mutual Fund, 2004-2008) and was awarded the Chartered Financial Analyst (CFA) designation in 1991. |
John R. Hebble (50) | |
| Year of Election or Appointment: 2008 President and Treasurer of Fidelity's Fixed Income and Asset Allocation Funds. Mr. Hebble is an employee of Fidelity Investments (2003-present). Before joining Fidelity Investments, Mr. Hebble worked at Deutsche Asset Management where he served as Director of Fund Accounting (2002- |
Boyce I. Greer (52) | |
| Year of Election or Appointment: 2005 or 2006 Vice President of Fidelity's Fixed Income Funds (2006) and Asset Allocation Funds (2005). Mr. Greer is also a Trustee of other investment companies advised by FMR (2003-present). Mr. Greer is President and a Director of Fidelity Investments Money Management, Inc. (2007-present), and an Executive Vice President of FMR and FMR Co., Inc. (2005- |
Charles S. Morrison (48) | |
| Year of Election or Appointment: 2005 Vice President of Fidelity's Money Market Funds. Mr. Morrison also serves as Senior Vice President, Money Market Group Leader of FMR. Previously, Mr. Morrison served as Vice President of Fidelity's Bond Funds and certain Balanced, and Asset Allocation Funds. |
Scott C. Goebel (40) | |
| Year of Election or Appointment: 2008 Secretary and Chief Legal Officer (CLO) of the Fidelity funds. Mr. Goebel also serves as General Counsel, Secretary, and Senior Vice President of FMR (2008-present); Deputy General Counsel of FMR LLC; Chief Legal Secretary of Fidelity Management & Research (Hong Kong) Limited (2008-present) and Assistant Secretary of Fidelity Management & Research (Japan) Inc. (2008-present). Previously, Mr. Goebel served as Assistant Secretary of the Funds (2007-2008) and as Vice President and Secretary of Fidelity Distributors Corporation (FDC) (2005-2007). |
Nancy D. Prior (41) | |
| Year of Election or Appointment: 2008 Assistant Secretary of Fidelity's Fixed Income and Asset Allocation Funds. Ms. Prior is an employee of Fidelity Investments (2002-present). |
Holly C. Laurent (54) | |
| Year of Election or Appointment: 2008 Anti-Money Laundering (AML) Officer of the Fidelity funds. Ms. Laurent is an employee of Fidelity Investments. Previously, Ms. Laurent was Senior Vice President and Head of Legal for Fidelity Business Services India Pvt. Ltd. (2006-2008), Senior Vice President, Deputy General Counsel and Group Head for FMR LLC (2005-2006). |
Christine Reynolds (50) | |
| Year of Election or Appointment: 2008 Chief Financial Officer of the Fidelity funds. Ms. Reynolds became President of Fidelity Pricing and Cash Management Services (FPCMS) in August 2008. She served as Chief Operating Officer of FPCMS from 2007 through July 2008. Previously, Ms. Reynolds served as President, Treasurer, and Anti-Money Laundering officer of the Fidelity funds (2004- |
Michael H. Whitaker (41) | |
| Year of Election or Appointment: 2008 Chief Compliance Officer of Fidelity's Fixed Income and Asset Allocation Funds. Mr. Whitaker is an employee of Fidelity Investments (2007-present). Prior to joining Fidelity Investments, Mr. Whitaker worked at MFS Investment Management where he served as Senior Vice President and Chief Compliance Officer (2004-2006), and Assistant General Counsel. |
Bryan A. Mehrmann (47) | |
| Year of Election or Appointment: 2005 Deputy Treasurer of the Fidelity funds. Mr. Mehrmann is an employee of Fidelity Investments. Previously, Mr. Mehrmann served as Vice President of Fidelity Investments Institutional Services Group (FIIS)/Fidelity Investments Institutional Operations Company, Inc. (FIIOC) Client Services (1998-2004). |
Stephanie J. Dorsey (39) | |
| Year of Election or Appointment: 2008 Deputy Treasurer of Fidelity's Fixed Income and Asset Allocation Funds. Ms. Dorsey is an employee of Fidelity Investments (2008-present). Previously, Ms. Dorsey served as Treasurer (2004-2008) of the JPMorgan Mutual Funds and Accounting Group Manager (2003) of JPMorgan Chase Bank. |
Robert G. Byrnes (42) | |
| Year of Election or Appointment: 2005 Assistant Treasurer of the Fidelity funds. Mr. Byrnes is an employee of Fidelity Investments (2005-present). Previously, Mr. Byrnes served as Vice President of Fidelity Pricing and Cash Management Services (FPCMS) (2003-2005). Before joining Fidelity Investments, Mr. Byrnes worked at Deutsche Asset Management where he served as Vice President of the Investment Operations Group (2000-2003). |
Paul M. Murphy (61) | |
| Year of Election or Appointment: 2007 Assistant Treasurer of the Fidelity funds. Mr. Murphy is an employee of Fidelity Investments (2007-present). Previously, Mr. Murphy served as Chief Financial Officer of the Fidelity Funds (2005-2006), Vice President and Associate General Counsel of FMR (2007), and Senior Vice President of Fidelity Pricing and Cash Management Services (FPCMS) (1994-2007). |
Gary W. Ryan (50) | |
| Year of Election or Appointment: 2005 Assistant Treasurer of the Fidelity funds. Mr. Ryan is an employee of Fidelity Investments. Previously, Mr. Ryan served as Vice President of Fund Reporting in Fidelity Pricing and Cash Management Services (FPCMS) (1999-2005). |
** FMR Corp. merged with and into FMR LLC on October 1, 2007. Any references to FMR LLC for prior periods are deemed to be references to the prior entity.
Annual Report
Distributions (Unaudited)
The funds hereby designate as capital gain dividend the amounts noted below for the taxable year ended December 31, 2008, or, if subsequently determined to be different, the net capital gain of such year.
Fund |
|
Fidelity Ohio Municipal Income Fund | $0 |
Fidelity Ohio Municipal Money Market Fund | $63,014 |
During fiscal year ended 2008, 100% of each Fund's income dividends were free from federal income tax, and 1.10% and 38.21% of Fidelity Ohio Municipal Income Fund and Fidelity Ohio Municipal Money Market Fund's income dividends, respectively, were subject to the federal alternative minimum tax.
The fund will notify shareholders in January 2009 of amounts for use in preparing 2008 income tax returns.
Annual Report
Managing Your Investments
Fidelity offers several ways to conveniently manage your personal investments via your telephone or PC. You can access your account information, conduct trades and research your investments 24 hours a day.
By Phone
Fidelity Automated Service Telephone provides a single toll-free number to access account balances, positions, quotes and trading. It's easy to navigate the service, and on your first call, the system will help you create a personal identification number (PIN) for security.
(phone_graphic)
Fidelity Automated
Service Telephone (FAST®)
1-800-544-5555
Press
For mutual fund and brokerage trading.
For quotes.*
For account balances and holdings.
To review orders and mutual
fund activity.
To change your PIN.
To speak to a Fidelity representative.
By PC
Fidelity's web site on the Internet provides a wide range of information, including daily financial news, fund performance, interactive planning tools and news about Fidelity products and services.
(computer_graphic)
Fidelity's Web Site
www.fidelity.com
* When you call the quotes line, please remember that a fund's yield and return will vary and, except for money market funds, share price will also vary. This means that you may have a gain or loss when you sell your shares. There is no assurance that money market funds will be able to maintain a stable $1 share price; an investment in a money market fund is not insured or guaranteed by the U.S. government. Total returns are historical and include changes in share price, reinvestment of dividends and capital gains, and the effects of any sales charges.
Annual Report
Investment Adviser
Fidelity Management & Research Company
Boston, MA
Investment Sub-Advisers
Fidelity Investments Money
Management, Inc.
Fidelity Research & Analysis Company
FIL Investment Advisors
FIL Investment Advisors
(U.K.) Ltd.
Fidelity Management & Research
(Hong Kong) Limited
Fidelity Management & Research
(Japan) Inc.
Fidelity Management & Research
(U.K.) Inc.
General Distributor
Fidelity Distributors Corporation
Boston, MA
Transfer and Service Agents
Fidelity Investments Institutional
Operations Company, Inc.
Boston, MA
Citibank, N.A.
New York, NY
Fidelity Service Company, Inc.
Boston, MA
Custodian
Citibank, N.A.
New York, NY
The Fidelity Telephone Connection
Mutual Fund 24-Hour Service
Exchanges/Redemptions
and Account Assistance 1-800-544-6666
Product Information 1-800-544-6666
Retirement Accounts 1-800-544-4774 (8 a.m. - 9 p.m.)
TDD Service 1-800-544-0118
for the deaf and hearing impaired
(9 a.m. - 9 p.m. Eastern time)
Fidelity Automated Service
Telephone (FAST®) 1-800-544-5555
Automated lines for quickest service
OFF-UANN-0209 1.787739.105
Fidelity®
Pennsylvania Municipal
Income Fund
and
Fidelity
Pennsylvania Municipal
Money Market Fund
Annual Report
December 31, 2008
(2_fidelity_logos) (Registered_Trademark)
Contents
Chairman's Message | Ned Johnson's message to shareholders | |
Shareholder Expense Example | An example of shareholder expenses. | |
Fidelity Pennsylvania Municipal Income Fund | ||
Performance | How the fund has done over time. | |
Management's | The manager's review of fund performance, strategy and outlook. | |
Investment Changes | A summary of major shifts in the fund's investments over the past six months. | |
Investments | A complete list of the fund's investments with their market values. | |
Financial Statements | Statements of assets and liabilities, operations, and changes in net assets, as well as financial highlights. | |
Fidelity Pennsylvania Municipal Money Market Fund | ||
Investment Changes/ | A summary of major shifts in the fund's investments over the past six months and one year. | |
Investments | A complete list of the fund's investments. | |
Financial Statements | Statements of assets and liabilities, operations, and changes in net assets, as well as financial highlights. | |
Notes | Notes to the Financial Statements | |
Report of Independent Registered Public Accounting Firm |
| |
Trustees and Officers |
| |
Distributions |
|
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com (search for "proxy voting guidelines") or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov. You may also call 1-800-544-8544 to request a free copy of the proxy voting guidelines.
Standard & Poor's, S&P and S&P 500 are registered service marks of The McGraw-Hill Companies, Inc. and have been licensed for use by Fidelity Distributors Corporation.
Other third party marks appearing herein are the property of their respective owners.
All other marks appearing herein are registered or unregistered trademarks or service marks of FMR LLC or an affiliated company.
Annual Report
This report and the financial statements contained herein are submitted for the general information of the shareholders of the funds. This report is not authorized for distribution to prospective investors in the funds unless preceded or accompanied by an effective prospectus.
A fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. Forms N-Q are available on the SEC's web site at http://www.sec.gov. A fund's Forms N-Q may be reviewed and copied at the SEC's Public Reference Room in Washington, DC. Information regarding the operation of the SEC's Public Reference Room may be obtained by calling 1-800-SEC-0330. For a complete list of a fund's portfolio holdings, view the most recent holdings listing, semiannual report, or annual report on Fidelity's web site at http://www.fidelity.com or http://www.advisor.fidelity.com, as applicable.
NOT FDIC INSURED · MAY LOSE VALUE · NO BANK GUARANTEE
Neither the funds nor Fidelity Distributors Corporation is a bank.
Annual Report
Chairman's Message
(photo_of_Edward_C_Johnson_3d)
Dear Shareholder:
An all-out credit crisis gripped the world's capital markets in 2008, stunting economic growth, toppling commodity prices and pushing equity markets into their steepest declines in decades. Within this ultra-risk-averse climate, virtually the only positive results came from the relative security of U.S. government-backed assets. While financial markets are always unpredictable, there are a number of time-tested principles that can put the historical odds in your favor.
One of the basic tenets is to invest for the long term. Over time, riding out the markets' inevitable ups and downs has proven much more effective than selling into panic or chasing the hottest trend. Even missing only a few of the markets' best days can significantly diminish investor returns. Patience also affords the benefits of compounding - of earning interest on additional income or reinvested dividends and capital gains. There are tax advantages and cost benefits to consider as well. The more you sell, the more taxes you pay, and the more you trade, the higher the costs. While staying the course doesn't eliminate risk, it can considerably lessen the effect of short-term declines.
You can further manage your investing risk through diversification. And today, more than ever, geographic diversification should be taken into account. Studies indicate that asset allocation is the single most important determinant of a portfolio's long-term success. The right mix of stocks, bonds and cash - aligned to your particular risk tolerance and investment objective - is very important. Age-appropriate rebalancing is also an essential aspect of asset allocation. For younger investors, an emphasis on equities - which historically have been the best-performing asset class over time - is encouraged. As investors near their specific goal, such as retirement or sending a child to college, consideration may be given to replacing volatile assets (e.g. common stocks) with more-stable fixed investments (bonds or savings plans).
A third investment principle - investing regularly - can help lower the average cost of your purchases. Investing a certain amount of money each month or quarter helps ensure you won't pay for all your shares at market highs. This strategy - known as dollar cost averaging - also reduces unconstructive "emotion" from investing, helping shareholders avoid selling weak performers just prior to an upswing, or chasing a hot performer just before a correction.
We invite you to contact us via the Internet, through our Investor Centers or over the phone. It is our privilege to provide you the information you need to make the investments that are right for you.
Sincerely,
/s/Edward C. Johnson 3d
Edward C. Johnson 3d
Annual Report
Shareholder Expense Example
As a shareholder of a Fund, you incur two types of costs: (1) transaction costs, including redemption fees, and (2) ongoing costs, including management fees and other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs with the ongoing costs of investing in other mutual funds.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (July 1, 2008 to December 31, 2008).
Actual Expenses
The first line of the accompanying table for each fund provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000.00 (for example, an $8,600 account value divided by $1,000.00 = 8.6), then multiply the result by the number in the first line for a fund under the heading entitled "Expenses Paid During Period" to estimate the expenses you paid on your account during this period. A small balance maintenance fee of $12.00 that is charged once a year may apply for certain accounts with a value of less than $2,000. This fee is not included in the table below. If it was, the estimate of expenses you paid during the period would be higher, and your ending account value lower, by this amount.
Hypothetical Example for Comparison Purposes
The second line of the accompanying table for each fund provides information about hypothetical account values and hypothetical expenses based on a 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. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and 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. A small balance maintenance fee of $12.00 that is charged once a year may apply for certain accounts with a value of less than $2,000. This fee is not included in the table below. If it was, the estimate of expenses you paid during the period would be higher, and your ending account value lower, by this amount.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs. Therefore, the second line 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 transactional costs were included, your costs would have been higher.
Annual Report
| Annualized Expense Ratio | Beginning | Ending | Expenses Paid |
Fidelity Pennsylvania Municipal Income Fund | .49% |
|
|
|
Actual |
| $ 1,000.00 | $ 992.60 | $ 2.45 |
HypotheticalA |
| $ 1,000.00 | $ 1,022.67 | $ 2.49 |
Fidelity Pennsylvania Municipal Money Market Fund | .52% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,008.40 | $ 2.63** |
HypotheticalA |
| $ 1,000.00 | $ 1,022.52 | $ 2.64** |
A 5% return per year before expenses
* Expenses are equal to each Fund's annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/366 (to reflect the one-half year period).
** If fees to participate in the U.S. Department of Treasury's Temporary Guarantee Program for Money Market Funds paid in October and December, 2008 (see Note 3 of the Notes to Financial Statements) had been in effect during the entire period, the annualized expense ratio for the Fidelity Pennsylvania Municipal Money Market Fund would have been .54% and the expenses paid in the actual and hypothetical examples above would have been $2.73 and $2.75, respectively.
Annual Report
Fidelity Pennsylvania Municipal Income Fund
Performance: The Bottom Line
Average annual total return reflects the change in the value of an investment, assuming reinvestment of the fund's dividend income and capital gains (the profits earned upon the sale of securities that have grown in value, if any) and assuming a constant rate of performance each year. The $10,000 table and the fund's returns do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. During periods of reimbursement by Fidelity, a fund's total return will be greater than it would be had the reimbursement not occurred. How a fund did yesterday is no guarantee of how it will do tomorrow.
Average Annual Total Returns
Periods ended December 31, 2008 | Past 1 | Past 5 | Past 10 |
Fidelity PA Municipal Income Fund | -0.77% | 2.82% | 4.16% |
$10,000 Over 10 Years
Let's say hypothetically that $10,000 was invested in Fidelity Pennsylvania Municipal Income Fund on December 31, 1998. The chart shows how the value of your investment would have changed, and also shows how the Barclays Capital Municipal Bond Index performed over the same period.
Annual Report
Fidelity Pennsylvania Municipal Income Fund
Management's Discussion of Fund Performance
Comments from Mark Sommer, Portfolio Manager of Fidelity® Pennsylvania Municipal Income Fund
Municipal bonds suffered losses during 2008, hurt by a persistent and deepening risk aversion that spread rapidly across the global financial markets. While lower-quality municipals were hit first, insured bonds - most rated AAA at the time - came under pressure shortly thereafter in response to investor concerns about the financial strength of bond insurers. All major municipal bond insurers suffered from their exposure to securities backed by subprime mortgages. Supply pressures also weighed on the markets, as issuers scrambled to refinance their debt as the auction-rate securities market - - a major source of funding for muni issuers - broke down. The loss of independent muni dealers - including Bear Stearns, Lehman Brothers, Merrill Lynch and Wachovia - led to further disruption, as did the selling by leveraged investors to cover losses and meet investor redemptions. But in December, munis started to gain strength as investors gravitated toward their attractive valuations. For the 12 months overall, the Barclays Capital Municipal Bond Index - a performance measure of more than 44,000 investment-grade, fixed-rate, tax-exempt bonds - declined 2.47%. The overall taxable debt market, as measured by the Barclays Capital U.S. Aggregate Bond Index, rose 5.24%.
For the year ending December 31, 2008, the fund returned -0.77%, and the Barclays Capital Pennsylvania Enhanced Municipal Bond Index - which tracks the types of securities in which the fund invests - returned -1.08%. Yield-curve positioning bolstered the fund's relative performance. Specifically, my decision to maintain a larger-than-index stake in intermediate bonds proved beneficial, because they outperformed longer-term securities, in which I was underweighted. Sector selection also bolstered the fund's relative returns, with underweightings in housing and health care bonds - two poor-performing sectors - aiding performance. In contrast, some decisions regarding credit-quality worked against us. In particular, the fund was hurt by its underexposure to prerefunded and escrowed bonds, both of which are backed by U.S. Treasury or other government-guaranteed bonds. These securities were in strong demand as investors flocked to high-quality securities with attractive levels of tax-free yield. The fund also suffered from having a larger-than-index weighting in insured bonds, which came under pressure amid an uncertain outlook for bond insurers. In particular, out-of-index holdings in insured bonds issued in Puerto Rico cost the fund some ground because they were among the investment-grade muni market's worst performers, due to credit weakness driven by the U.S. territory's economic and fiscal challenges.
The views expressed above reflect those of the portfolio manager(s) only through the end of the period as stated on the cover of this report and do not necessarily represent the views of Fidelity or any other person in the Fidelity organization. Any such views are subject to change at any time based upon market or other conditions and Fidelity disclaims any responsibility to update such views. These views may not be relied on as investment advice and, because investment decisions for a Fidelity fund are based on numerous factors, may not be relied on as an indication of trading intent on behalf of any Fidelity fund.
Annual Report
Fidelity Pennsylvania Municipal Income Fund
Investment Changes (Unaudited)
Top Five Sectors as of December 31, 2008 | ||
| % of fund's | % of fund's net assets |
General Obligations | 28.6 | 30.6 |
Transportation | 17.2 | 16.1 |
Escrowed/Pre-Refunded | 12.0 | 11.3 |
Education | 9.6 | 9.1 |
Water & Sewer | 9.1 | 8.4 |
Weighted Average Maturity as of December 31, 2008 | ||
|
| 6 months ago |
Years | 9.1 | 6.2 |
The weighted average maturity is based on the dollar-weighted average length of time until principal payments are expected or until securities reach maturity, taking into account any maturity shortening feature such as a call, refunding or redemption provision. |
Duration as of December 31, 2008 | ||
|
| 6 months ago |
Years | 6.7 | 6.1 |
Duration shows how much a bond fund's price fluctuates with changes in comparable interest rates. If rates rise 1%, for example, a fund with a five-year duration is likely to lose about 5% of its value. Other factors also can influence a bond fund's performance and share price. Accordingly, a bond fund's actual performance may differ from this example. |
Quality Diversification (% of fund's net assets) | |||||||
As of December 31, 2008 | As of June 30, 2008 | ||||||
![]() | AAA 0.0% |
| ![]() | AAA 23.8% |
| ||
![]() | AA,A 72.6% |
| ![]() | AA,A 64.4% |
| ||
![]() | BBB 21.2% |
| ![]() | BBB 7.4% |
| ||
![]() | BB and Below 0.1% |
| ![]() | BB and Below 0.1% |
| ||
![]() | Not Rated 2.0% |
| ![]() | Not Rated 1.0% |
| ||
![]() | Short-Term |
| ![]() | Short-Term |
|
We have used ratings from Moody's® Investors Services, Inc. Where Moody's ratings are not available, we have used S&P® ratings. All ratings are as of the report date and do not reflect subsequent downgrades. |
Annual Report
Fidelity Pennsylvania Municipal Income Fund
Investments December 31, 2008
Showing Percentage of Net Assets
Municipal Bonds - 95.9% | ||||
| Principal Amount | Value | ||
Guam - 0.1% | ||||
Guam Wtrwks. Auth. Wtr. and Wastewtr. Sys. Rev. Series 2005, 5.875% 7/1/35 | $ 325,000 | $ 235,960 | ||
New Jersey/Pennsylvania - 2.0% | ||||
Delaware River Joint Toll Bridge Commission Pennsylvania-New Jersey Bridge Rev.: | ||||
Series 2003, 5.25% 7/1/19 (Pre-Refunded to 7/1/13 @ 100) (c) | 1,000,000 | 1,136,940 | ||
Series A, 5% 7/1/27 (MBIA Insured) | 1,425,000 | 1,393,052 | ||
Delaware River Port Auth. Pennsylvania & New Jersey Rev.: | ||||
(Port District Proj.) Series 2001 A, 5.5% 1/1/18 (FSA Insured) | 3,000,000 | 3,159,990 | ||
Series 1999, 6% 1/1/18 (FSA Insured) | 700,000 | 707,119 | ||
| 6,397,101 | |||
Pennsylvania - 92.9% | ||||
Allegheny County Series C55, 5.375% 11/1/15 (MBIA Insured) | 3,535,000 | 3,829,041 | ||
Allegheny County Arpt. Auth. Rev. (Pittsburg Int'l. Arpt. Proj.) Series B, 5% 1/1/16 (MBIA Insured) (b) | 2,545,000 | 2,379,957 | ||
Allegheny County Arpt. Rev. (Pittsburgh Int'l. Arpt. Proj.) Series A1: | ||||
5.75% 1/1/11 (MBIA Insured) (b) | 2,000,000 | 2,012,620 | ||
5.75% 1/1/12 (MBIA Insured) (b) | 3,000,000 | 3,021,180 | ||
5.75% 1/1/14 (MBIA Insured) (b) | 3,000,000 | 2,996,130 | ||
Allegheny County Higher Ed. Bldg. Auth. Univ. Rev.: | ||||
(Carnegie Mellon Univ. Proj.) Series 2002: | ||||
5.125% 3/1/32 | 1,700,000 | 1,642,880 | ||
5.25% 3/1/32 | 2,000,000 | 1,965,660 | ||
(Duquesne Univ. Proj.) 6.5% 3/1/10 (AMBAC Insured) | 50,000 | 52,391 | ||
Allegheny County Hosp. Dev. Auth. Rev.: | ||||
(Jefferson Reg'l. Med. Ctr. Proj.) Series 2006 B, 5% 5/1/09 | 1,475,000 | 1,462,079 | ||
(Pittsburgh Med. Ctr. Proj.): | ||||
Series A, 5% 9/1/14 | 2,525,000 | 2,559,567 | ||
Series B, 5% 6/15/10 | 2,000,000 | 2,032,460 | ||
Allegheny County Sanitation Auth. Swr. Rev.: | ||||
Series 1991, 0% 12/1/12 (Escrowed to Maturity) (c) | 2,260,000 | 2,015,920 | ||
Series 2000, 5.5% 12/1/30 (MBIA Insured) | 305,000 | 303,445 | ||
Series A, 5% 12/1/30 (MBIA Insured) | 3,725,000 | 3,336,185 | ||
Annville-Cleona School District Series 2005: | ||||
6% 3/1/28 (FSA Insured) | 1,500,000 | 1,595,625 | ||
6% 3/1/31 (FSA Insured) | 1,975,000 | 2,084,771 | ||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Pennsylvania - continued | ||||
Bucks County Cmnty. College Auth. College Bldg. Rev. 5% 6/15/28 | $ 250,000 | $ 249,068 | ||
Bucks County Indl. Dev. Auth. Wtr. Facilities Rev. (Pennsylvania Suburban Wtr. Co. Proj.) Series 2002, 5.55% 9/1/32 (b) | 1,870,000 | 1,602,646 | ||
Canon McMillan School District: | ||||
Series 2001 B, 5.75% 12/1/33 (FGIC Insured) | 8,995,000 | 8,995,984 | ||
Series 2002 B, 5.75% 12/1/35 (FGIC Insured) | 2,500,000 | 2,531,150 | ||
Central Dauphin School District Gen. Oblig. 7.5% 2/1/30 (Pre-Refunded to 2/1/16 @ 100) (c) | 5,000,000 | 6,561,400 | ||
Chambersburg Area School District: | ||||
5.25% 3/1/26 (FGIC Insured) | 2,000,000 | 1,894,600 | ||
5.25% 3/1/27 (FGIC Insured) | 2,000,000 | 1,874,780 | ||
5.25% 3/1/29 (FGIC Insured) | 3,600,000 | 3,310,812 | ||
Chester County Health & Ed. Facilities Auth. Health Sys. Rev. (Jefferson Health Sys. Proj.) Series B, 5.25% 5/15/22 (AMBAC Insured) | 1,450,000 | 1,360,869 | ||
Delaware County Auth. College Rev. (Haverford College Proj.): | ||||
5.75% 11/15/29 | 5,000,000 | 5,129,150 | ||
6% 11/15/30 | 3,620,000 | 3,743,623 | ||
Delaware County Auth. Hosp. Rev. (Crozer Keystone Oblig. Group Proj.) Series A: | ||||
5% 12/15/09 | 865,000 | 843,600 | ||
5% 12/15/10 | 905,000 | 858,248 | ||
Delaware County Indl. Dev. Auth. Rev. (Philadelphia Suburban Wtr. Co. Proj.) 6% 6/1/29 (FGIC Insured) (b) | 2,500,000 | 2,267,900 | ||
Delaware County Reg'l. Wtr. Quality Cont. Auth. Swr. Rev. Series 2001, 5.25% 5/1/12 (FGIC Insured) | 2,165,000 | 2,304,729 | ||
East Stroudsburg Area School District: | ||||
Series 2007, 7.75% 9/1/28 (Pre-Refunded to 9/1/16 @ 100) (c) | 2,750,000 | 3,697,458 | ||
Series A, 7.5% 9/1/22 | 1,000,000 | 1,188,480 | ||
Easton Area School District Series 2006: | ||||
7.5% 4/1/22 (FSA Insured) | 2,700,000 | 3,148,119 | ||
7.75% 4/1/25 (FSA Insured) | 875,000 | 1,015,464 | ||
Harrisburg Auth. Dauphin County School Rev. (Harrisburg School District Rfdg. Proj.) Series 2002 A, 5.5% 4/1/14 (FGIC Insured) | 1,655,000 | 1,766,845 | ||
Harrisburg Auth. Wtr. Rev. 5.75% 7/15/12 (FGIC Insured) | 1,115,000 | 1,187,341 | ||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Pennsylvania - continued | ||||
Hollidaysburg Area School District Series C: | ||||
5% 3/15/21 (FSA Insured) | $ 2,205,000 | $ 2,285,813 | ||
5% 3/15/23 (FSA Insured) | 1,015,000 | 1,029,230 | ||
Kennett Consolidated School District Series A: | ||||
5.25% 2/15/15 (FGIC Insured) | 705,000 | 758,235 | ||
5.25% 2/15/15 (Pre-Refunded to 2/15/13 @ 100) (c) | 605,000 | 679,875 | ||
Lancaster County Hosp. Auth. Health Ctr. Rev. (Masonic Homes Proj.) Series 2006, 5% 11/1/20 | 1,065,000 | 977,287 | ||
Luzerne County Indl. Dev. Auth. Wtr. Facilities Rev. (Pennsylvania-American Wtr. Co. Proj.) Series 2003 A, 3.6%, tender 12/1/09 (AMBAC Insured) (a)(b) | 2,000,000 | 1,992,920 | ||
Mifflin County School District: | ||||
7.5% 9/1/26 (XL Cap. Assurance, Inc. Insured) | 1,125,000 | 1,305,056 | ||
7.75% 9/1/30 (XL Cap. Assurance, Inc. Insured) | 1,175,000 | 1,362,871 | ||
Montgomery County Higher Ed. & Health Auth. Hosp. Rev. (Abington Memorial Hosp. Proj.) Series A, 6% 6/1/16 (AMBAC Insured) | 1,000,000 | 1,042,970 | ||
Montgomery County Indl. Dev. Auth. Poll. Cont. Rev. (Retirement Cmnty. Proj.) 5% 11/15/09 | 1,300,000 | 1,272,505 | ||
Muhlenberg School District Series AA, 5.375% 9/1/15 (FGIC Insured) | 1,055,000 | 1,126,708 | ||
Northumberland County Auth. Commonwealth Lease Rev. (State Correctional Facilities Proj.) 0% 10/15/10 (Escrowed to Maturity) (c) | 1,000,000 | 963,940 | ||
Oxford Area School District 5.375% 2/1/27 (FGIC Insured) | 1,790,000 | 1,823,115 | ||
Pennsylvania Econ. Dev. Fing. Auth. Exempt Facilities Rev.: | ||||
(Amtrak Proj.) Series 2001 A: | ||||
6.25% 11/1/31 (b) | 3,300,000 | 2,319,669 | ||
6.375% 11/1/41 (b) | 1,300,000 | 894,283 | ||
(Shippingport Proj.) Series 2002 A, 4.35%, tender 6/1/10 (a)(b) | 3,500,000 | 3,499,405 | ||
Pennsylvania Econ. Dev. Fing. Auth. Solid Waste Disp. Rev. (Waste Mgmt., Inc. Proj.) Series 2004 A, 7%, tender 11/1/10 (a)(b) | 1,500,000 | 1,505,610 | ||
Pennsylvania Gen. Oblig. First Series, 5.25% 2/1/14 | 125,000 | 134,480 | ||
Pennsylvania Higher Edl. Facilities Auth. Rev.: | ||||
(Lafayette College Proj.) 6% 5/1/30 | 2,200,000 | 2,239,380 | ||
(Slippery Rock Univ. Proj.) 5% 7/1/39 (XL Cap. Assurance, Inc. Insured) | 2,500,000 | 1,715,125 | ||
(Trustees of the Univ. of Pennsylvania Proj.) Series B, 5.25% 9/1/15 | 1,000,000 | 1,132,810 | ||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Pennsylvania - continued | ||||
Pennsylvania Higher Edl. Facilities Auth. Rev.: - continued | ||||
(Univ. of Pennsylvania Health Sys. Proj.) Series A, 5% 8/15/17 | $ 3,000,000 | $ 3,252,300 | ||
(UPMC Health Sys. Proj.): | ||||
Series 1999 A: | ||||
5.25% 8/1/10 (FSA Insured) | 1,000,000 | 1,027,600 | ||
5.25% 8/1/11 (FSA Insured) | 1,000,000 | 1,031,730 | ||
Series 2001 A: | ||||
6% 1/15/22 | 400,000 | 401,964 | ||
6% 1/15/31 | 1,000,000 | 951,950 | ||
Series 2000 S, 5.5% 6/15/15 (AMBAC Insured) | 500,000 | 520,305 | ||
Pennsylvania Indl. Dev. Auth. Rev.: | ||||
5.5% 7/1/16 (AMBAC Insured) | 1,035,000 | 1,123,265 | ||
5.5% 7/1/16 (Pre-Refunded to 7/1/12 @ 101) (c) | 45,000 | 51,090 | ||
Pennsylvania Pub. School Bldg. Auth. School Rev. (Philadelphia School District Proj.) 5% 6/1/33 (Pre-Refunded to 6/1/13 @ 100) (c) | 3,210,000 | 3,608,104 | ||
Pennsylvania State Univ.: | ||||
Series A, 5% 8/15/29 | 3,945,000 | 3,914,702 | ||
5% 9/1/29 | 1,550,000 | 1,538,065 | ||
5% 9/1/35 | 4,485,000 | 4,343,543 | ||
Pennsylvania Tpk. Commission Oil Franchise Tax Rev. Series 2003 C, 5% 12/1/29 (MBIA Insured) | 3,000,000 | 2,923,920 | ||
Pennsylvania Tpk. Commission Tpk. Rev.: | ||||
Series 2001 S: | ||||
5.625% 6/1/12 (FGIC Insured) | 2,000,000 | 2,164,640 | ||
5.625% 6/1/14 | 3,595,000 | 3,866,423 | ||
Series 2004 A, 5.25% 12/1/32 (AMBAC Insured) | 2,900,000 | 2,819,090 | ||
Series 2006 A: | ||||
5% 12/1/23 (AMBAC Insured) | 7,695,000 | 7,722,933 | ||
5% 12/1/25 (AMBAC Insured) | 7,345,000 | 7,253,922 | ||
5% 12/1/26 (AMBAC Insured) | 3,500,000 | 3,430,875 | ||
Series 2008 B1, 5.5% 6/1/33 | 4,000,000 | 3,839,080 | ||
Series 2008 C4, 6.25% 6/1/38 (Assured Guaranty Corp. Insured) | 2,000,000 | 2,096,880 | ||
Philadelphia Arpt. Rev. 5.375% 6/15/11 (FGIC Insured) (b) | 3,770,000 | 3,831,753 | ||
Philadelphia Auth. Indl. Dev. Lease Rev. Series A, 5% 10/1/13 (FGIC Insured) | 1,500,000 | 1,516,890 | ||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Pennsylvania - continued | ||||
Philadelphia Gas Works Rev.: | ||||
(1975 Gen. Ordinance Proj.): | ||||
Eighteenth Series: | ||||
5.25% 8/1/17 (Assured Guaranty Corp. Insured) | $ 1,500,000 | $ 1,512,900 | ||
5.25% 8/1/19 (Assured Guaranty Corp. Insured) | 1,000,000 | 976,990 | ||
5.25% 8/1/20 (Assured Guaranty Corp. Insured) | 1,000,000 | 944,110 | ||
Seventeenth Series, 5.375% 7/1/20 (FSA Insured) | 2,700,000 | 2,584,062 | ||
(1998 Gen. Ordinance Proj.): | ||||
Fifth Series A1: | ||||
5% 9/1/33 (FSA Insured) | 2,800,000 | 2,163,840 | ||
5.25% 9/1/17 (Assured Guaranty Corp. Insured) | 3,665,000 | 3,696,812 | ||
5.25% 9/1/18 (Assured Guaranty Corp. Insured) | 3,340,000 | 3,327,275 | ||
Fourth Series, 5.25% 8/1/17 (Pre-Refunded to 8/1/13 @ 100) (c) | 2,290,000 | 2,614,493 | ||
Seventh Series, 5% 10/1/37 (AMBAC Insured) | 3,000,000 | 2,279,040 | ||
Philadelphia Gen. Oblig.: | ||||
Series 2001, 5.25% 9/15/12 (FSA Insured) | 2,455,000 | 2,546,866 | ||
Series 2008 A, 5.25% 12/15/32 (FSA Insured) | 6,000,000 | 5,464,080 | ||
Philadelphia Hospitals & Higher Ed. Facilities Auth. Health Systems Rev. (Jefferson Health Sys. Proj.) | 1,000,000 | 1,011,490 | ||
Philadelphia Hospitals & Higher Ed. Facilities Auth. Hosp. Rev. (Temple Univ. Health Sys. Proj.) Series B, 5% 7/1/11 | 1,685,000 | 1,556,687 | ||
Philadelphia Muni. Auth. Rev.: | ||||
(Muni. Svcs. Bldg. Lease Prog.) 0% 3/15/11 (FSA Insured) | 1,000,000 | 948,650 | ||
Series B, 5.25% 11/15/11 (FSA Insured) | 2,000,000 | 2,078,300 | ||
Philadelphia Redev. Auth. Rev. (Philadelphia Neighborhood Transformation Initiative Proj.): | ||||
Series 2002 A, 5.5% 4/15/13 (FGIC Insured) | 2,810,000 | 2,917,876 | ||
Series 2005 C, 5% 4/15/31 (FGIC Insured) | 1,000,000 | 783,460 | ||
Philadelphia School District: | ||||
Series 2004 D: | ||||
5.125% 6/1/34 (Pre-Refunded to 6/1/14 @ 100) (c) | 1,800,000 | 2,063,826 | ||
5.25% 6/1/34 (Pre-Refunded to 6/1/14 @ 100) (c) | 2,785,000 | 3,210,799 | ||
Series 2005 A, 5% 8/1/22 (AMBAC Insured) | 2,900,000 | 2,794,179 | ||
Series 2005 D, 5.5% 6/1/16 (FSA Insured) | 2,030,000 | 2,173,663 | ||
Philadelphia Wtr. & Wastewtr. Rev. Series A: | ||||
5% 11/1/31 (FGIC Insured) | 400,000 | 356,656 | ||
5% 11/1/31 (Pre-Refunded to 11/1/12 @ 100) (c) | 720,000 | 797,630 | ||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Pennsylvania - continued | ||||
Philadelphia Wtr. & Wastewtr. Rev. Series A: - continued | ||||
5% 7/1/35 | $ 4,130,000 | $ 3,654,389 | ||
5.375% 11/1/19 (FGIC Insured) | 3,000,000 | 3,090,960 | ||
Pittsburgh Gen. Oblig.: | ||||
Series A: | ||||
5% 9/1/11 (MBIA Insured) | 5,020,000 | 5,216,684 | ||
5.5% 9/1/16 (AMBAC Insured) | 2,565,000 | 2,632,613 | ||
5.5% 9/1/16 (Pre-Refunded to 3/1/12 @ 100) (c) | 2,435,000 | 2,693,280 | ||
Series B: | ||||
5.25% 9/1/15 (FSA Insured) | 2,000,000 | 2,099,360 | ||
5.25% 9/1/16 (FSA Insured) | 3,000,000 | 3,126,390 | ||
Pittsburgh Wtr. & Swr. Auth. Wtr. & Swr. Sys. Rev. Series 1993 A: | ||||
6.5% 9/1/13 (Escrowed to Maturity) (c) | 4,455,000 | 5,022,790 | ||
6.5% 9/1/13 (FGIC Insured) | 5,545,000 | 6,026,251 | ||
Scranton-Lackawanna Health & Welfare Auth. Rev. (Cmnty. Med. Ctr. Proj.) 5.5% 7/1/12 (MBIA Insured) | 3,375,000 | 3,407,906 | ||
Southcentral Pennsylvania Gen. Auth. Rev. (WellSpan Health Obligated Group Proj.) Series 2008 A, 6% 6/1/25 | 2,500,000 | 2,495,200 | ||
Spring-Ford Area School District: | ||||
5.375% 4/1/16 (FSA Insured) | 790,000 | 844,392 | ||
5.375% 4/1/17 (FSA Insured) | 830,000 | 882,406 | ||
5.375% 4/1/18 (FSA Insured) | 875,000 | 924,184 | ||
State Pub. School Bldg. Auth. College Rev.: | ||||
(Delaware County Cmnty. College Proj.) 5% 10/1/20 (FSA Insured) | 1,000,000 | 1,043,530 | ||
(Montgomery County Cmnty. College Proj.): | ||||
5% 5/1/27 (FSA Insured) | 1,775,000 | 1,782,757 | ||
5% 5/1/28 (FSA Insured) | 1,000,000 | 998,700 | ||
Upper Saint Clair Township School District 5.375% 7/15/16 (FSA Insured) | 1,855,000 | 1,983,997 | ||
West Allegheny School District Series B, 5.25% 2/1/12 (FGIC Insured) | 1,850,000 | 1,979,001 | ||
Westmoreland County Gen. Oblig. 0% 8/1/15 (Escrowed to Maturity) (c) | 4,290,000 | 3,557,611 | ||
Westmoreland County Indl. Dev. Auth. Rev. (Nat'l. Waste & Energy Corp./Valley Landfill Expansion Proj.) 5.1%, tender 5/1/09 (a)(b) | 2,700,000 | 2,693,628 | ||
Westmoreland County Muni. Auth. Muni. Svc. Rev. Series A: | ||||
0% 8/15/19 (FGIC Insured) | 5,000,000 | 2,788,750 | ||
0% 8/15/20 (FGIC Insured) | 2,500,000 | 1,275,775 | ||
Municipal Bonds - continued | ||||
| Principal Amount | Value | ||
Pennsylvania - continued | ||||
Westmoreland County Muni. Auth. Muni. Svc. Rev. Series A: - continued | ||||
0% 8/15/22 | $ 6,550,000 | $ 2,838,508 | ||
Wilson School District 5.25% 6/1/25 (XL Cap. Assurance, Inc. Insured) | 5,740,000 | 5,525,898 | ||
York City Swr. Auth. Swr. Rev. 0% 12/1/12 (MBIA Insured) | 3,235,000 | 2,875,656 | ||
York County School of Technology Auth. Lease Rev. 5.375% 2/15/18 (Pre-Refunded to 2/15/13 @ 100) (c) | 1,000,000 | 1,128,660 | ||
| 303,507,448 | |||
Puerto Rico - 0.9% | ||||
Puerto Rico Elec. Pwr. Auth. Pwr. Rev.: | ||||
Series II, 5.375% 7/1/16 (MBIA Insured) | 1,000,000 | 933,820 | ||
Series QQ, 5.25% 7/1/13 (XL Cap. Assurance, Inc. Insured) | 500,000 | 473,030 | ||
Puerto Rico Govt. Dev. Bank Series B, 5% 12/1/10 | 1,500,000 | 1,468,185 | ||
| 2,875,035 |
TOTAL INVESTMENT PORTFOLIO - 95.9% (Cost $321,439,119) | 313,015,544 | ||
NET OTHER ASSETS - 4.1% | 13,550,251 | ||
NET ASSETS - 100% | $ 326,565,795 |
Legend |
(a) The coupon rate shown on floating or adjustable rate securities represents the rate at period end. |
(b) Private activity obligations whose interest is subject to the federal alternative minimum tax for individuals. |
(c) Security collateralized by an amount sufficient to pay interest and principal. |
Other Information |
The following is a summary of the inputs used, as of December 31, 2008, involving the Fund's assets carried at value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to the Security Valuation section in the accompanying Notes to Financial Statements. |
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
Investments in Securities | $ 313,015,544 | $ - | $ 313,015,544 | $ - |
The distribution of municipal securities by revenue source, as a percentage of total net assets, is as follows: (unaudited) |
General Obligations | 28.6% |
Transportation | 17.2% |
Escrowed/Pre-Refunded | 12.0% |
Education | 9.6% |
Water & Sewer | 9.1% |
Health Care | 8.4% |
Electric Utilities | 8.0% |
Others* (individually less than 5%) | 7.1% |
| 100.0% |
* Includes net other assets |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Fidelity Pennsylvania Municipal Income Fund
Financial Statements
Statement of Assets and Liabilities
| December 31, 2008 | |
|
|
|
Assets | ||
Investment in securities, at value - See accompanying schedule: Unaffiliated issuers (cost $321,439,119) |
| $ 313,015,544 |
Cash | 9,141,594 | |
Receivable for investments sold | 805,288 | |
Receivable for fund shares sold | 429,249 | |
Interest receivable | 4,006,465 | |
Prepaid expenses | 3,316 | |
Other receivables | 8,488 | |
Total assets | 327,409,944 | |
|
|
|
Liabilities | ||
Payable for fund shares redeemed | $ 187,347 | |
Distributions payable | 426,721 | |
Accrued management fee | 98,378 | |
Transfer agent fee payable | 66,902 | |
Other affiliated payables | 21,136 | |
Other payables and accrued expenses | 43,665 | |
Total liabilities | 844,149 | |
|
|
|
Net Assets | $ 326,565,795 | |
Net Assets consist of: |
| |
Paid in capital | $ 335,641,381 | |
Undistributed net investment income | 25,237 | |
Accumulated undistributed net realized gain (loss) on investments | (677,248) | |
Net unrealized appreciation (depreciation) on investments | (8,423,575) | |
Net Assets, for 31,988,978 shares outstanding | $ 326,565,795 | |
Net Asset Value, offering price and redemption price per share ($326,565,795 ÷ 31,988,978 shares) | $ 10.21 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Fidelity Pennsylvania Municipal Income Fund
Financial Statements - continued
Statement of Operations
| Year ended December 31, 2008 | |
|
|
|
Investment Income |
|
|
Interest |
| $ 14,612,173 |
|
|
|
Expenses | ||
Management fee | $ 1,212,045 | |
Transfer agent fees | 265,196 | |
Accounting fees and expenses | 85,609 | |
Custodian fees and expenses | 5,157 | |
Independent trustees' compensation | 1,365 | |
Registration fees | 21,391 | |
Audit | 47,572 | |
Legal | 2,586 | |
Miscellaneous | 1,335 | |
Total expenses before reductions | 1,642,256 | |
Expense reductions | (131,207) | 1,511,049 |
Net investment income | 13,101,124 | |
Realized and Unrealized Gain (Loss) Net realized gain (loss) on: | ||
Investment securities: |
|
|
Unaffiliated issuers | 246,281 | |
Change in net unrealized appreciation (depreciation) on investment securities | (16,604,272) | |
Net gain (loss) | (16,357,991) | |
Net increase (decrease) in net assets resulting from operations | $ (3,256,867) |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Statement of Changes in Net Assets
| Year ended | Year ended |
Increase (Decrease) in Net Assets |
|
|
Operations |
|
|
Net investment income | $ 13,101,124 | $ 12,013,728 |
Net realized gain (loss) | 246,281 | 1,074,179 |
Change in net unrealized appreciation (depreciation) | (16,604,272) | (1,361,473) |
Net increase (decrease) in net assets resulting | (3,256,867) | 11,726,434 |
Distributions to shareholders from net investment income | (13,097,181) | (12,001,160) |
Distributions to shareholders from net realized gain | (724,260) | (1,298,961) |
Total distributions | (13,821,441) | (13,300,121) |
Share transactions | 102,929,655 | 60,277,345 |
Reinvestment of distributions | 9,027,689 | 9,041,059 |
Cost of shares redeemed | (83,786,033) | (57,957,753) |
Net increase (decrease) in net assets resulting from share transactions | 28,171,311 | 11,360,651 |
Redemption fees | 9,950 | 2,924 |
Total increase (decrease) in net assets | 11,102,953 | 9,789,888 |
|
|
|
Net Assets | ||
Beginning of period | 315,462,842 | 305,672,954 |
End of period (including undistributed net investment income of $25,237 and undistributed net investment income of $47,896, respectively) | $ 326,565,795 | $ 315,462,842 |
Other Information Shares | ||
Sold | 9,806,214 | 5,643,658 |
Issued in reinvestment of distributions | 865,794 | 845,339 |
Redeemed | (8,088,631) | (5,426,350) |
Net increase (decrease) | 2,583,377 | 1,062,647 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Highlights
Years ended December 31, | 2008 | 2007 | 2006 | 2005 | 2004 |
Selected Per-Share Data |
|
|
|
|
|
Net asset value, | $ 10.73 | $ 10.78 | $ 10.80 | $ 11.02 | $ 11.06 |
Income from Investment Operations |
|
|
|
|
|
Net investment income B | .416 | .419 | .433 | .440 | .454 |
Net realized and unrealized gain (loss) | (.497) | (.005) | (.009) | (.148) | .006 |
Total from investment operations | (.081) | .414 | .424 | .292 | .460 |
Distributions from net investment income | (.416) | (.419) | (.433) | (.439) | (.452) |
Distributions from net realized gain | (.023) | (.045) | (.011) | (.073) | (.048) |
Total distributions | (.439) | (.464) | (.444) | (.512) | (.500) |
Redemption fees added to paid in capital B,D | - | - | - | - | - |
Net asset value, end of period | $ 10.21 | $ 10.73 | $ 10.78 | $ 10.80 | $ 11.02 |
Total Return A | (.77)% | 3.94% | 4.02% | 2.70% | 4.28% |
Ratios to Average Net Assets C |
|
|
|
|
|
Expenses before reductions | .50% | .50% | .50% | .50% | .50% |
Expenses net of fee waivers, | .50% | .50% | .50% | .50% | .50% |
Expenses net of all reductions | .46% | .46% | .42% | .45% | .49% |
Net investment income | 3.96% | 3.92% | 4.03% | 4.02% | 4.14% |
Supplemental Data |
|
|
|
|
|
Net assets, end of period | $ 326,566 | $ 315,463 | $ 305,673 | $ 306,732 | $ 297,621 |
Portfolio turnover rate | 17% | 19% | 19% | 26% | 14% |
A Total returns would have been lower had certain expenses not been reduced during the periods shown.
B Calculated based on average shares outstanding during the period.
C Expense ratios reflect operating expenses of the Fund. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or expense offset arrangements and do not represent the amount paid by the Fund during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the Fund.
D Amount represents less than $.001 per share.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Fidelity Pennsylvania Municipal Money Market Fund
Investment Changes/Performance (Unaudited)
Maturity Diversification | |||
Days | % of fund's investments 12/31/08 | % of fund's investments 6/30/08 | % of fund's |
0 - 30 | 88.8 | 90.9 | 85.5 |
31 - 90 | 4.2 | 1.8 | 1.5 |
91 - 180 | 5.0 | 1.5 | 6.5 |
181 - 397 | 2.0 | 5.8 | 6.5 |
Weighted Average Maturity | |||
| 12/31/08 | 6/30/08 | 12/31/07 |
Fidelity Pennsylvania Municipal Money Market Fund | 19 Days | 25 Days | 31 Days |
Fidelity Pennsylvania Tax-Free Money Market Funds Average * | 23 Days | 22 Days | 23 Days |
Asset Allocation (% of fund's net assets) | |||||||
As of December 31, 2008 | As of June 30, 2008 | ||||||
![]() | Variable Rate |
| ![]() | Variable Rate |
| ||
![]() | Commercial Paper (including CP Mode) 4.8% |
| ![]() | Commercial Paper (including CP Mode) 2.0% |
| ||
![]() | Tender Bonds 2.3% |
| ![]() | Tender Bonds 3.6% |
| ||
![]() | Municipal Notes 1.6% |
| ![]() | Municipal Notes 1.7% |
| ||
![]() | Other Investments 5.1% |
| ![]() | Other Investments 7.6% |
| ||
![]() | Net Other Assets 0.3% |
| ![]() | Net Other Assets 2.8% |
|
Current and Historical Seven Day Yields |
| 12/29/08 | 9/29/08 | 6/30/08 | 3/31/08 | 12/31/07 |
Fidelity Pennsylvania Municipal Money Market Fund | 0.82% | 5.88% | 1.30% | 1.97% | 2.96% |
Yield refers to the income paid by the fund over a given period. Yields for money market funds are usually for seven-day periods, as they are here, though they are expressed as annual percentage rates. Past performance is no guarantee of future results. Yield will vary and it is possible to lose money by investing in the fund.
* Source: iMoneyNet, Inc.
Annual Report
Fidelity Pennsylvania Municipal Money Market Fund
Investments December 31, 2008
Showing Percentage of Net Assets
Municipal Securities - 99.7% | |||
Principal Amount | Value | ||
Georgia - 0.1% | |||
Smyrna Hsg. Fin. Auth. Multi-family Hsg. Rev. (The Hills of Post Village Proj.) Series 1995, 0.95%, LOC Fannie Mae, VRDN (b) | $ 500,000 | $ 500,000 | |
Kentucky - 1.0% | |||
Carroll County Envir. Facilities Rev. (Kentucky Utils. Co. Proj.): | |||
Series 2006 B, 1.45%, LOC Commerzbank AG, VRDN (b)(c) | 1,500,000 | 1,500,000 | |
Series 2008 A, 1.45%, LOC Commerzbank AG, VRDN (b)(c) | 1,800,000 | 1,800,000 | |
Kenton County Arpt. Board Spl. Facilities Rev. Series A, 4%, VRDN (b)(c) | 3,400,000 | 3,400,000 | |
Kentucky Higher Ed. Student Ln. Corp. Rev. Series 2008 A1, 1.05%, LOC State Street Bank & Trust Co., Boston, LOC Bank of America NA, VRDN (b)(c) | 1,800,000 | 1,800,000 | |
| 8,500,000 | ||
Nevada - 0.7% | |||
Clark County Passenger Facility Charge Rev. McCarran Int'l. Arpt.: | |||
Series 2005 A1, 1%, LOC Bayerische Landesbank, VRDN (b)(c) | 2,700,000 | 2,700,000 | |
Series 2005 A2, 1%, LOC Bayerische Landesbank, VRDN (b)(c) | 2,700,000 | 2,700,000 | |
| 5,400,000 | ||
New Hampshire - 0.2% | |||
New Hampshire Bus. Fin. Auth. Resource Recovery Rev. (Wheelabrator Concord Co. LP Proj.) Series 1997 A, 1.5%, LOC Wachovia Bank NA, VRDN (b) | 2,000,000 | 2,000,000 | |
New Jersey/Pennsylvania - 0.7% | |||
Delaware River Port Auth. Pennsylvania & New Jersey Rev. Series 2008 B, 1.2%, LOC TD Banknorth, NA, VRDN (b) | 6,000,000 | 6,000,000 | |
North Carolina - 0.2% | |||
Charlotte Wtr. & Swr. Sys. Rev. Series B, 5.8% (Liquidity Facility Wachovia Bank NA), VRDN (b) | 1,800,000 | 1,800,000 | |
Ohio - 0.4% | |||
Cleveland Arpt. Sys. Rev. Series 2008 B, 2.1%, LOC Wachovia Bank NA, VRDN (b)(c) | 900,000 | 900,000 | |
Dayton Montgomery County Port Auth. Spl. Arpt. Facilities Rev. (Wilmington Air Park, Inc. Proj.) Series 2007 B, 3.9%, VRDN (b)(c) | 2,800,000 | 2,800,000 | |
| 3,700,000 | ||
Municipal Securities - continued | |||
Principal Amount | Value | ||
Oklahoma - 0.1% | |||
Comanche County Indl. Dev. Auth. Rev. (Silver Line Plastics Corp. Proj.) Series 2000, 2.15%, LOC Wachovia Bank NA, VRDN (b)(c) | $ 1,000,000 | $ 1,000,000 | |
Pennsylvania - 91.7% | |||
Adams County Indl. Dev. Auth. Rev. (Gettysburg College Proj.) Series 2008 B, 0.6%, LOC JPMorgan Chase Bank, VRDN (b) | 8,500,000 | 8,500,000 | |
Allegheny County Series C58A, 1%, LOC JPMorgan Chase Bank, VRDN (b) | 700,000 | 700,000 | |
Allegheny County Arpt. Auth. Rev. Participating VRDN Series Clipper 06 13, 1.3% (Liquidity Facility State Street Bank & Trust Co., Boston) (b)(c)(e) | 10,050,000 | 10,050,000 | |
Allegheny County Hosp. Dev. Auth. Rev.: | |||
Bonds: | |||
(Pittsburgh Med. Ctr. Proj.): | |||
Series 2008 A, 4% 3/1/09 | 3,000,000 | 3,008,625 | |
Series 2008 B, 4% 6/15/09 | 9,690,000 | 9,781,989 | |
(South Hills Health Sys. Proj.) Series 2000 A, 2%, tender 6/1/09, LOC PNC Bank NA, Pittsburgh (b) | 6,750,000 | 6,750,000 | |
(Jefferson Reg'l. Med. Ctr. Proj.) Series 2008 A, 1.08%, LOC PNC Bank NA, Pittsburgh, VRDN (b) | 4,250,000 | 4,250,000 | |
Allegheny County Indl. Dev. Auth. Health & Hsg. Facilities Rev. (Longwood at Oakmont, Inc. Proj.): | |||
Series 2008 A, 1.25%, LOC Allied Irish Banks PLC, VRDN (b) | 4,925,000 | 4,925,000 | |
Series 2008 B, 1.25%, LOC Citizens Bank of Pennsylvania, VRDN (b) | 14,495,000 | 14,495,000 | |
Allegheny County Indl. Dev. Auth. Rev.: | |||
(Union Elec. Steel Co. Proj.) Series 1996 A, 1.28%, LOC PNC Bank NA, Pittsburgh, VRDN (b)(c) | 3,120,000 | 3,120,000 | |
(United Jewish Federation Proj.) Series 1996 A, 1.08%, LOC PNC Bank NA, Pittsburgh, VRDN (b) | 2,700,000 | 2,700,000 | |
Allegheny County Port Auth. Spl. Rev. Bonds Series 1999, 6.375% 3/1/15 (Pre-Refunded to 3/1/09 @ 101) (d) | 3,000,000 | 3,052,802 | |
Beaver County Indl. Dev. Auth. Poll. Cont. Rev.: | |||
(FirstEnergy Nuclear Generation Corp. Proj.): | |||
Series 2006 A, 1.05%, LOC Barclays Bank PLC, VRDN (b) | 13,000,000 | 13,000,000 | |
Series 2006 B, 1.35%, LOC Wachovia Bank NA, VRDN (b) | 8,340,000 | 8,340,000 | |
(Pennsylvania Elec. Co. Proj.) Series 2005 B, 1.21%, LOC Bank of Nova Scotia, New York Agcy., VRDN (b)(c) | 10,000,000 | 10,000,000 | |
Berks County Indl. Dev. Auth. Rev. (Kutztown Univ. Foundation, Inc. Proj.) 2.03%, LOC Wachovia Bank NA, VRDN (b) | 8,600,000 | 8,600,000 | |
Municipal Securities - continued | |||
Principal Amount | Value | ||
Pennsylvania - continued | |||
Berks County Muni. Auth. Rev. (Phoebe-Devitt Homes Obligated Group Proj.) Series 2008 A, 1.1%, LOC Banco Santander SA, VRDN (b) | $ 7,600,000 | $ 7,600,000 | |
Bucks County Indl. Dev. Auth. Econ. Dev. Rev. (Law School Admission Council, Inc. Proj.) Series 2003, 0.8%, LOC Allied Irish Banks PLC, VRDN (b) | 2,510,000 | 2,510,000 | |
Bucks County Indl. Dev. Auth. Hosp. Rev. (Grand View Hosp. Proj.) Series 2008 A, 1.2%, LOC TD Banknorth, NA, VRDN (b) | 8,500,000 | 8,500,000 | |
Cambria County Ind. Dev. Auth. (Cambria Cogen Co. Proj.): | |||
Series 1998 A1, 1%, LOC Bayerische Hypo-und Vereinsbank AG, VRDN (b)(c) | 11,725,000 | 11,725,000 | |
Series 1998 A2, 1.05%, LOC Bayerische Hypo-und Vereinsbank AG, VRDN (b)(c) | 3,300,000 | 3,300,000 | |
Cambria County Indl. Dev. Auth. Rev. (American Nat'l. Red Cross Proj.) 0.6%, LOC JPMorgan Chase Bank, VRDN (b) | 8,500,000 | 8,500,000 | |
Chester County Health & Ed. Auth. Rev. (Jenner's Pond Proj.) Series 2006, 2%, LOC Citizens Bank of Pennsylvania, VRDN (b) | 1,385,000 | 1,385,000 | |
Chester County Indl. Dev. Auth. Student Hsg. Rev. (Univ. Student Hsg., LLC at West Chester Univ. of Pennsylvania Proj.) Series 2008 A, 1.1%, LOC Citizens Bank of Pennsylvania, VRDN (b) | 24,100,000 | 24,100,000 | |
Clarion County Indl. Dev. Auth. Energy Dev. Rev. (Piney Creek Proj.) Series 1990, 1%, LOC Landesbank Hessen-Thuringen, VRDN (b)(c) | 7,425,000 | 7,425,000 | |
Cumberland County Muni. Auth. Rev. (Presbyterian Homes Proj.) Series 2008 B, 1.75%, LOC Bank of America NA, VRDN (b) | 8,300,000 | 8,300,000 | |
Delaware County Auth. College Rev. (Haverford College Proj.) 0.5%, VRDN (b) | 10,700,000 | 10,700,000 | |
Delaware County Auth. Rev. (White Horse Village Proj.) Series 2006 B, 0.9%, LOC Citizens Bank of Pennsylvania, VRDN (b) | 9,850,000 | 9,850,000 | |
Delaware County Indl. Dev. Auth. Arpt. Facilities Rev. (United Parcel Svc. Proj.) Series 1985, 0.95%, VRDN (b) | 11,700,000 | 11,700,000 | |
Delaware County Indl. Dev. Auth. Rev. (Resource Recovery Facility Proj.) Series 1997 G, 0.7%, VRDN (b) | 395,000 | 395,000 | |
Harveys Lake Gen. Muni. Auth. (Misericordia Univ. Proj.) 1.08%, LOC PNC Bank NA, Pittsburgh, VRDN (b) | 2,180,000 | 2,180,000 | |
Huntingdon County Gen. Auth. College Rev. (Juniata College Proj.) Series 2001 A, 1.08%, LOC PNC Bank NA, Pittsburgh, VRDN (b) | 7,310,000 | 7,310,000 | |
Municipal Securities - continued | |||
Principal Amount | Value | ||
Pennsylvania - continued | |||
Indiana County Indl. Dev. Auth. Poll. Cont. Rev. (Exelon Generation Co. LLC Proj.) Series A, 1.57%, LOC BNP Paribas SA, VRDN (b)(c) | $ 14,340,000 | $ 14,340,000 | |
Lancaster County Hosp. Auth. Health Ctr. Rev.: | |||
(Lancaster Gen. Hosp. Proj.) Series 2008, 1.02%, LOC Bank of America NA, VRDN (b) | 9,500,000 | 9,500,000 | |
(Masonic Homes Proj.): | |||
Series 2008 B, 0.9%, LOC Wachovia Bank NA, VRDN (b) | 8,400,000 | 8,400,000 | |
Series 2008 D, 0.9%, LOC JPMorgan Chase Bank, VRDN (b) | 25,285,000 | 25,285,000 | |
Lawrence County Indl. Dev. Auth. Indl. Dev. Rev. (Atlantic States Materials Proj.) Series 1999, 2.15%, LOC Wachovia Bank NA, VRDN (b)(c) | 600,000 | 600,000 | |
Lehigh County Gen. Purp. Auth. (Muhlenberg College Proj.) 1.05%, LOC Bank of America NA, VRDN (b) | 1,700,000 | 1,700,000 | |
Lehigh County Gen. Purp. Hosp. Rev. (Lehigh Valley Health Network Proj.) Series 2008 C, 1.1%, LOC Bank of America NA, VRDN (b) | 7,500,000 | 7,500,000 | |
Luzerne County Indl. Dev. Auth. Rev. (United Methodist Homes Proj.) 0.85%, LOC Bank of New York, New York, VRDN (b) | 5,055,000 | 5,055,000 | |
Montgomery County Indl. Dev. Auth. Poll. Cont. Rev.: | |||
Bonds (PECO Energy Proj.) Series 1994 A, 1.35% tender 1/5/09, LOC BNP Paribas SA, CP mode | 4,600,000 | 4,600,000 | |
(Gloria Dei Proj.) Series 2006, 2.01%, LOC Citizens Bank of Pennsylvania, VRDN (b) | 1,350,000 | 1,350,000 | |
Montgomery County Redev. Auth. Multi-family Hsg. Rev.: | |||
(Brookside Manor Apts. Proj.) Series 2001 A, 1.27%, LOC Fannie Mae, VRDN (b) | 4,530,000 | 4,530,000 | |
(Forge Gate Apts. Proj.) Series 2001 A, 1.27%, LOC Fannie Mae, VRDN (b) | 4,990,000 | 4,990,000 | |
(Kingswood Apts. Proj.) Series 2001 A, 1.27%, LOC Fannie Mae, VRDN (b) | 6,780,000 | 6,780,000 | |
Northampton County Indl. Dev. Auth. Rev. Bonds (American Wtr. Cap. Corp. Proj.) Series 1991, 2.2% tender 1/7/09, CP mode (c) | 7,700,000 | 7,700,000 | |
Northampton Indl. Dev. Auth. Rev. (Ultra-Poly Corp./Portland Ind. Park Proj.) Series 1997, 1%, LOC PNC Bank NA, Pittsburgh, VRDN (b)(c) | 2,487,000 | 2,487,000 | |
Pennsylvania Econ. Dev. Fing. Auth. Exempt Facilities Rev.: | |||
Bonds (PSEG Pwr. LLC Proj.) 4%, tender 1/15/09 (b)(c) | 6,900,000 | 6,900,000 | |
(Amtrak Proj.) Series B, 1.15%, LOC JPMorgan Chase Bank, VRDN (b)(c) | 20,910,000 | 20,910,000 | |
(FirstEnergy Corp. Proj.) Series A, 1%, LOC PNC Bank NA, Pittsburgh, VRDN (b)(c) | 4,800,000 | 4,800,000 | |
Municipal Securities - continued | |||
Principal Amount | Value | ||
Pennsylvania - continued | |||
Pennsylvania Econ. Dev. Fing. Auth. Exempt Facilities Rev.: - continued | |||
(Shippingport Proj.) Series A, 1%, LOC PNC Bank NA, Pittsburgh, VRDN (b)(c) | $ 10,100,000 | $ 10,100,000 | |
Pennsylvania Econ. Dev. Fing. Auth. Health Sys. Rev. Series 2007 A, 2% 2/12/09, CP | 7,000,000 | 7,000,000 | |
Pennsylvania Econ. Dev. Fing. Auth. Indl. Dev. Rev.: | |||
(AMC Delancey Traditions of Hershey Partners, LP Proj.) Series 2006, 1.35%, LOC Citizens Bank of Pennsylvania, VRDN (b)(c) | 6,000,000 | 6,000,000 | |
(Westrum Hanover, LP Proj.) Series 2004, 1.35%, LOC Fed. Home Ln. Bank Pittsburg, VRDN (b)(c) | 7,350,000 | 7,350,000 | |
(Westrum Harleysville II, LP Proj.) Series 2005, 1.35%, LOC Fed. Home Ln. Bank Pittsburg, VRDN (b)(c) | 11,535,000 | 11,535,000 | |
Series 2002 B5, 1.28%, LOC PNC Bank NA, Pittsburgh, VRDN (b)(c) | 5,200,000 | 5,200,000 | |
Series 2002 B6, 1.28%, LOC PNC Bank NA, Pittsburgh, VRDN (b)(c) | 700,000 | 700,000 | |
Series 2004 D2, 1.28%, LOC PNC Bank NA, Pittsburgh, VRDN (b)(c) | 1,500,000 | 1,500,000 | |
Series 2004 D6, 1.28%, LOC PNC Bank NA, Pittsburgh, VRDN (b)(c) | 2,100,000 | 2,100,000 | |
Pennsylvania Econ. Dev. Fing. Auth. Manufacturing Facility Rev. (Dodge Realty Partners Proj.) 1.28%, LOC PNC Bank NA, Pittsburgh, VRDN (b)(c) | 3,700,000 | 3,700,000 | |
Pennsylvania Econ. Dev. Fing. Auth. Solid Waste Disp. Rev. (Republic Svcs., Inc. Proj.) Series 2005, 1.45%, LOC Bank of America NA, VRDN (b)(c) | 9,500,000 | 9,500,000 | |
Pennsylvania Energy Dev. Auth. Rev. (Piney Creek Proj.): | |||
Series 1986 A, 1%, LOC Landesbank Hessen-Thuringen, VRDN (b)(c) | 8,020,000 | 8,020,000 | |
Series 1996 C, 1%, LOC Landesbank Hessen-Thuringen, VRDN (b)(c) | 5,855,000 | 5,855,000 | |
Pennsylvania Gen. Oblig.: | |||
Bonds: | |||
First Series, 5.25% 2/1/09 | 14,600,000 | 14,649,141 | |
Second Series 1992, 6% 7/1/09 | 4,375,000 | 4,464,232 | |
Second Series: | |||
5.25% 1/1/09 | 2,720,000 | 2,720,000 | |
5.25% 10/15/09 | 6,600,000 | 6,771,129 | |
Participating VRDN: | |||
Series BBT 08 1, 1.18% (Liquidity Facility Branch Banking & Trust Co.) (b)(e) | 5,000,000 | 5,000,000 | |
Municipal Securities - continued | |||
Principal Amount | Value | ||
Pennsylvania - continued | |||
Pennsylvania Gen. Oblig.: - continued | |||
Participating VRDN: | |||
Series Putters 3250, 1.18% (Liquidity Facility JPMorgan Chase Bank) (b)(e) | $ 4,700,000 | $ 4,700,000 | |
Pennsylvania Higher Edl. Facilities Auth. (Washington & Jefferson Dev. Corp. Proj.) Series A, 1.27%, LOC UniCredit SpA, VRDN (b) | 10,620,000 | 10,620,000 | |
Pennsylvania Higher Edl. Facilities Auth. Rev.: | |||
(Drexel Univ. Proj.) Series B, 1.18%, LOC Landesbank Hessen-Thuringen, VRDN (b) | 11,405,000 | 11,405,000 | |
(Holy Family Univ. Proj.) Series 2008, 1.2%, LOC TD Banknorth, NA, VRDN (b) | 5,000,000 | 5,000,000 | |
(Indiana Univ. of Pennsylvania Student Hsg. Proj.) Series 2008, 1.1%, LOC Citizens Bank of Pennsylvania, VRDN (b) | 8,300,000 | 8,300,000 | |
(Mercyhurst College Proj.) Series 12, 1.08%, LOC PNC Bank NA, Pittsburgh, VRDN (b) | 625,000 | 625,000 | |
(Philadelphia Univ. Proj.) Series 2004 B, 2.03%, LOC Wachovia Bank NA, VRDN (b) | 3,895,000 | 3,895,000 | |
(St. Joseph's Univ. Proj.) Series 2008 B, 0.75%, LOC Citizens Bank of Pennsylvania, VRDN (b) | 4,000,000 | 4,000,000 | |
(Student Assoc., Inc. Student Hsg. Proj.) Series 2006 A, 1.25%, LOC Citizens Bank of Pennsylvania, VRDN (b) | 9,100,000 | 9,100,000 | |
Pennsylvania Hsg. Fin. Agcy. Single Family Mtg. Rev.: | |||
Bonds: | |||
Series 2008 101A, 2.35%, tender 3/27/09 (b)(c) | 2,700,000 | 2,700,000 | |
Series 2008 101B, 2.15%, tender 3/27/09 (b) | 3,260,000 | 3,260,000 | |
Participating VRDN: | |||
Series BA 08 1118, 1.45% (Liquidity Facility Bank of America NA) (b)(c)(e) | 4,225,000 | 4,225,000 | |
Series Merlots 07 C50, 1.1% (Liquidity Facility Bank of New York, New York) (b)(c)(e) | 9,290,000 | 9,290,000 | |
Series Putters 1213 B, 1.33% (Liquidity Facility JPMorgan Chase & Co.) (b)(c)(e) | 2,515,000 | 2,515,000 | |
Series Putters 3212, 1.18% (Liquidity Facility JPMorgan Chase Bank) (b)(e) | 4,515,000 | 4,515,000 | |
Series 2002 74A, 1.05% (Liquidity Facility Lloyds TSB Bank PLC), VRDN (b)(c) | 2,600,000 | 2,600,000 | |
Series 2002 75A, 1.05% (Liquidity Facility Lloyds TSB Bank PLC), VRDN (b)(c) | 8,100,000 | 8,100,000 | |
Series 2003 77B, 1.05% (Liquidity Facility BNP Paribas SA), VRDN (b)(c) | 11,575,000 | 11,575,000 | |
Series 2003 79B, 1.05% (Liquidity Facility BNP Paribas SA), VRDN (b)(c) | 6,450,000 | 6,450,000 | |
Municipal Securities - continued | |||
Principal Amount | Value | ||
Pennsylvania - continued | |||
Pennsylvania Hsg. Fin. Agcy. Single Family Mtg. Rev.: - continued | |||
Series 2004 81C, 1.05% (Liquidity Facility Lloyds TSB Bank PLC), VRDN (b)(c) | $ 5,000,000 | $ 5,000,000 | |
Series 2004 85C, 1.05% (Liquidity Facility Landesbank Hessen-Thuringen), VRDN (b)(c) | 500,000 | 500,000 | |
Series 2006 92B, 1.05% (Liquidity Facility Landesbank Hessen-Thuringen), VRDN (b)(c) | 30,270,000 | 30,270,000 | |
Pennsylvania Tpk. Commission Tpk. Rev. Series 2008 B2, 1.2%, LOC Bank of America NA, VRDN (b) | 8,300,000 | 8,300,000 | |
Philadelphia Arpt. Rev. Series 2005 C, 0.8%, LOC TD Banknorth, NA, VRDN (b)(c) | 8,500,000 | 8,500,000 | |
Philadelphia Auth. for Indl. Dev. Rev. (New Courtland Elder Svcs. Proj.) Series 2003, 0.95%, LOC PNC Bank NA, Pittsburgh, VRDN (b) | 8,125,000 | 8,125,000 | |
Philadelphia Hospitals & Higher Ed. Facilities Auth. Hosp. Rev. (Children's Hosp. of Philadelphia Proj.) Series A, 1.05% (Liquidity Facility Bank of America NA), VRDN (b) | 2,600,000 | 2,600,000 | |
Philadelphia School District: | |||
Series 2008 A1, 1.15%, LOC Bank of America NA, VRDN (b) | 8,000,000 | 8,000,000 | |
Series 2008 A3, 1.2%, LOC Bank of America NA, VRDN (b) | 15,000,000 | 15,000,000 | |
Series 2008 B1, 2%, LOC Wachovia Bank NA, VRDN (b) | 1,380,000 | 1,380,000 | |
Series 2008 B4, 2%, LOC Wachovia Bank NA, VRDN (b) | 2,500,000 | 2,500,000 | |
Series 2008 C1, 1.2%, LOC Commerce Bank NA, VRDN (b) | 16,600,000 | 16,600,000 | |
Schuylkill County Indl. Dev. Auth. Resource Recovery Rev. (WPS Westwood Generation, LLC Proj.) 1.4%, VRDN (b) | 7,600,000 | 7,600,000 | |
Scranton-Lackawanna Health & Welfare Auth. Rev. Series 2002, 1.08%, LOC PNC Bank NA, Pittsburgh, VRDN (b) | 285,000 | 285,000 | |
Southeastern Pennsylvania Trans. Auth. Rev. Series 2007, 1.08%, LOC PNC Bank NA, Pittsburgh, VRDN (b) | 6,500,000 | 6,500,000 | |
Univ. of Pittsburgh Commonwealth Sys. of Higher Ed.: | |||
Bonds (Univ. Cap. Proj.): | |||
Series 2005 A, 0.75% tender 4/7/09, CP mode | 8,750,000 | 8,750,000 | |
Series 2005 C, 0.85% tender 5/6/09, CP mode | 10,000,000 | 10,000,000 | |
(Univ. Cap. Proj.): | |||
Series 2000 B, 0.79% (Liquidity Facility Lloyds TSB Bank PLC), VRDN (b) | 5,000,000 | 5,000,000 | |
Series 2000 C: | |||
0.79% (Liquidity Facility Lloyds TSB Bank PLC), VRDN (b) | 1,500,000 | 1,500,000 | |
0.79% (Liquidity Facility Lloyds TSB Bank PLC), VRDN (b) | 6,200,000 | 6,200,000 | |
Washington County Auth. Rev. 0.75%, VRDN (b) | 8,215,000 | 8,215,000 | |
Municipal Securities - continued | |||
Principal Amount | Value | ||
Pennsylvania - continued | |||
Wilkens Area Indl. Dev. Auth. Rev. (Fairview Extended Care Proj.) Series B, 1.1%, LOC Bank of America NA, VRDN (b) | $ 15,000 | $ 15,000 | |
York County Gen. Oblig. TRAN 2% 4/30/09 (a) | 6,665,000 | 6,688,328 | |
York County Indl. Dev. Auth. Rev. (York Container Co. Proj.) 1.28%, LOC PNC Bank NA, Pittsburgh, VRDN (b)(c) | 10,000,000 | 10,000,000 | |
York County Indl. Poll. Cont. Rev. Bonds (Exelon Generation Co. Proj.) Series 1993 A, 1.1% tender 2/6/09, LOC BNP Paribas SA, CP mode | 2,000,000 | 2,000,000 | |
| 778,748,246 | ||
Puerto Rico - 3.2% | |||
Puerto Rico Commonwealth Hwy. & Trans. Auth. Hwy. Rev. Participating VRDN Series BA 07 325, 1.75% (Liquidity Facility Bank of America NA) (b)(e) | 18,830,000 | 18,830,000 | |
Puerto Rico Commonwealth Hwy. & Trans. Auth. Trans. Rev. Series 1998 A, 1.05%, LOC Bank of Nova Scotia, New York Agcy., VRDN (b) | 1,900,000 | 1,900,000 | |
Puerto Rico Commonwealth Pub. Impt. Gen. Oblig. TRAN: | |||
Series 2009 A1, 3% 7/30/09, LOC Bank of Nova Scotia, New York Agcy. | 2,670,000 | 2,690,621 | |
Series 2009 A2, 3% 7/30/09, LOC BNP Paribas SA | 2,200,000 | 2,218,989 | |
Series 2009 A3, 3% 7/30/09, LOC Banco Bilbao Vizcaya Argentaria SA | 1,100,000 | 1,108,495 | |
| 26,748,105 | ||
Texas - 1.0% | |||
Harris County Cultural Ed. Facilities Fin. Corp. Spl. Facilities Rev. (Texas Med. Ctr. Proj.) Series 2008 B1, 1.1%, LOC JPMorgan Chase Bank, VRDN (b) | 4,875,000 | 4,875,000 | |
Houston Util. Sys. Rev. Series 2004 A, 1.8% 1/5/09 (Liquidity Facility Bayerische Landesbank Girozentrale) (Liquidity Facility WestLB AG), CP | 2,000,000 | 2,000,000 | |
Mesquite Independent School District Series A, 1.25% (Permanent School Fund of Texas Guaranteed), VRDN (b) | 1,665,000 | 1,665,000 | |
| 8,540,000 | ||
Municipal Securities - continued | |||
Principal Amount | Value | ||
Virginia - 0.4% | |||
Petersburg Indl. Dev. Auth. Rev. (Rebar Hldgs. LLC Proj.) 2.2%, LOC Wachovia Bank NA, VRDN (b)(c) | $ 3,190,000 | $ 3,190,000 | |
TOTAL INVESTMENT PORTFOLIO - 99.7% | 846,126,351 | ||
NET OTHER ASSETS - 0.3% | 2,810,173 | ||
NET ASSETS - 100% | $ 848,936,524 |
Security Type Abbreviations |
CP - COMMERCIAL PAPER |
TRAN - TAX AND REVENUE |
VRDN - VARIABLE RATE DEMAND NOTE |
Legend |
(a) Security or a portion of the security purchased on a delayed delivery or when-issued basis. |
(b) The coupon rate shown on floating or adjustable rate securities represents the rate at period end. |
(c) Private activity obligations whose interest is subject to the federal alternative minimum tax for individuals. |
(d) Security collateralized by an amount sufficient to pay interest and principal. |
(e) Provides evidence of ownership in one or more underlying municipal bonds. |
Other Information |
The following is a summary of the inputs used, as of December 31, 2008, involving the Fund's assets carried at value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to the Security Valuation section in the accompanying Notes to Financial Statements. |
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
Investments in Securities | $ 846,126,351 | $ - | $ 846,126,351 | $ - |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Fidelity Pennsylvania Municipal Money Market Fund
Financial Statements
Statement of Assets and Liabilities
| December 31, 2008 | |
|
|
|
Assets | ||
Investment in securities, at value - See accompanying schedule: Unaffiliated issuers (cost $846,126,351) |
| $ 846,126,351 |
Cash | 3,322,111 | |
Receivable for fund shares sold | 10,334,805 | |
Interest receivable | 2,289,638 | |
Prepaid expenses | 114,193 | |
Other receivables | 39,434 | |
Total assets | 862,226,532 | |
|
|
|
Liabilities | ||
Payable for investments purchased | $ 1,175,432 | |
Delayed delivery | 6,688,328 | |
Payable for fund shares redeemed | 5,062,633 | |
Distributions payable | 9,625 | |
Accrued management fee | 353,768 | |
Other affiliated payables | 222 | |
Total liabilities | 13,290,008 | |
|
|
|
Net Assets | $ 848,936,524 | |
Net Assets consist of: |
| |
Paid in capital | $ 848,875,046 | |
Undistributed net investment income | 84,888 | |
Accumulated undistributed net realized gain (loss) on investments | (23,410) | |
Net Assets, for 848,822,007 shares outstanding | $ 848,936,524 | |
Net Asset Value, offering price and redemption price per share ($848,936,524 ÷ 848,822,007 shares) | $ 1.00 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Statement of Operations
| Year ended December 31, 2008 | |
|
|
|
Investment Income |
|
|
Interest |
| $ 18,729,602 |
|
|
|
Expenses | ||
Management fee | $ 4,098,747 | |
Independent trustees' compensation | 3,418 | |
Miscellaneous | 96,747 | |
Total expenses before reductions | 4,198,912 | |
Expense reductions | (389,427) | 3,809,485 |
Net investment income | 14,920,117 | |
Realized and Unrealized Gain (Loss) Net realized gain (loss) on: | ||
Investment securities: |
|
|
Unaffiliated issuers | 21,150 | |
Net increase in net assets resulting from operations | $ 14,941,267 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Fidelity Pennsylvania Municipal Money Market Fund
Financial Statements - continued
Statement of Changes in Net Assets
| Year ended | Year ended |
Increase (Decrease) in Net Assets |
|
|
Operations |
|
|
Net investment income | $ 14,920,117 | $ 20,214,016 |
Net realized gain (loss) | 21,150 | 51,230 |
Net increase in net assets resulting | 14,941,267 | 20,265,246 |
Distributions to shareholders from net investment income | (14,920,660) | (20,213,270) |
Distributions to shareholders from net realized gain | (75,788) | - |
Total distributions | (14,996,448) | (20,213,270) |
Share transactions at net asset value of $1.00 per share | 2,842,169,872 | 2,164,843,353 |
Reinvestment of distributions | 14,678,536 | 19,877,983 |
Cost of shares redeemed | (2,728,271,176) | (2,003,595,434) |
Net increase (decrease) in net assets and shares resulting from share transactions | 128,577,232 | 181,125,902 |
Total increase (decrease) in net assets | 128,522,051 | 181,177,878 |
|
|
|
Net Assets | ||
Beginning of period | 720,414,473 | 539,236,595 |
End of period (including undistributed net investment income of $84,888 and undistributed net investment income of $85,431, respectively) | $ 848,936,524 | $ 720,414,473 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Highlights
Years ended December 31, | 2008 | 2007 | 2006 | 2005 | 2004 |
Selected Per-Share Data |
|
|
|
|
|
Net asset value, | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 |
Income from Investment Operations |
|
|
|
|
|
Net investment income | .018 | .032 | .030 | .020 | .008 |
Net realized and unrealized gain (loss) C | - | - | - | - | - |
Total from investment operations | .018 | .032 | .030 | .020 | .008 |
Distributions from net investment income | (.018) | (.032) | (.030) | (.020) | (.008) |
Distributions from net realized gain | - C | - | - | - | - |
Total distributions | (.018) | (.032) | (.030) | (.020) | (.008) |
Net asset value, end of period | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 |
Total Return A | 1.85% | 3.25% | 3.05% | 2.02% | .81% |
Ratios to Average Net Assets B |
|
|
|
|
|
Expenses before reductions | .51% | .50% | .50% | .50% | .50% |
Expenses net of fee waivers, | .51% | .50% | .50% | .50% | .50% |
Expenses net of all reductions | .46% | .40% | .38% | .41% | .48% |
Net investment income | 1.82% | 3.20% | 3.02% | 2.02% | .80% |
Supplemental Data |
|
|
|
|
|
Net assets, end of period | $ 848,937 | $ 720,414 | $ 539,237 | $ 426,387 | $ 331,836 |
A Total returns would have been lower had certain expenses not been reduced during the periods shown.
B Expense ratios reflect operating expenses of the Fund. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or expense offset arrangements and do not represent the amount paid by the Fund during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the Fund.
C Amount represents less than $.001 per share.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Notes to Financial Statements
For the period ended December 31, 2008
1. Organization.
Fidelity Pennsylvania Municipal Income Fund (the Income Fund) is a fund of Fidelity Municipal Trust. Fidelity Pennsylvania Municipal Money Market Fund (the Money Market Fund) is a fund of Fidelity Municipal Trust II. Each trust is registered under the Investment Company Act of 1940, as amended (the 1940 Act), as an open-end management investment company. Fidelity Municipal Trust and Fidelity Municipal Trust II (the trusts) are organized as a Massachusetts business trust and a Delaware statutory trust, respectively. The Income Fund is a non-diversified fund. Each Fund is authorized to issue an unlimited number of shares. Each Fund may be affected by economic and political developments in the state of Pennsylvania.
2. Significant Accounting Policies.
The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America, which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. The following summarizes the significant accounting policies of the Funds:
Security Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. Wherever possible, each Fund uses independent pricing services approved by the Board of Trustees to value their investments.
For the Income Fund, debt securities, including restricted securities, are valued by independent pricing services or by dealers who make markets in such securities. Pricing services consider yield or price of bonds of comparable quality, coupon, maturity and type as well as dealer supplied prices. Investments in open-end mutual funds are valued at their closing net asset value each business day. Short-term securities with remaining maturities of sixty days or less for which quotations are not readily available are valued at amortized cost, which approximates value. Actual prices received at disposition may differ.
As permitted by compliance with certain conditions under Rule 2a-7 of the 1940 Act, securities owned by the Money Market Fund are valued at amortized cost which approximates market value.
When current market prices or quotations are not readily available or reliable, valuations may be determined in good faith in accordance with procedures adopted by the Board of Trustees. Factors used in determining value may include significant market or security specific events, changes in interest rates and credit quality, and developments in foreign markets which are monitored by evaluating the performance of ADRs, futures contracts and exchange-traded funds. The frequency with which these procedures are used cannot
Annual Report
2. Significant Accounting Policies - continued
Security Valuation - continued
be predicted and may be utilized to a significant extent. The value of securities used for net asset value (NAV) calculation under these procedures may differ from published prices for the same securities.
The Funds are subject to the provisions of Statement of Financial Accounting Standards No. 157, "Fair Value Measurements" (SFAS 157), effective with the beginning of the Funds' fiscal year. SFAS 157 establishes a hierarchy that prioritizes the inputs to valuation techniques giving the highest priority to readily available unadjusted quoted prices in active markets for identical assets (level 1 measurements) and the lowest priority to unobservable inputs (level 3 measurements) when market prices are not readily available or reliable. The three levels of the hierarchy under SFAS 157 are described below:
Level 1 | Quoted prices in active markets for identical securities. |
Level 2 | Prices determined using other significant observable inputs. Observable inputs are inputs that other market participants may use in pricing a security. These may include quoted prices for similar securities, interest rates, prepayment speeds, credit risk and others. |
Level 3 | Prices determined using significant unobservable inputs. In situations where quoted prices or observable inputs are unavailable or deemed less relevant (for example, when there is little or no market activity for an investment at the end of the period), unobservable inputs may be used. Unobservable inputs reflect the Fund's own assumptions about the factors market participants would use in pricing an investment, and would be based on the best information available. |
Changes in valuation techniques may result in transfers in or out of an investment's assigned level within the hierarchy.
The aggregate value by input level, as of December 31, 2008, for each Fund's investments is included at the end of each Fund's Schedule of Investments.
Investment Transactions and Income. For financial reporting purposes, the Funds' investment holdings and NAV include trades executed through the end of the last business day of the period. The NAV per share for processing shareholder transactions is calculated as of the close of business of the New York Stock Exchange (NYSE), normally 4:00 p.m. Eastern time and includes trades executed through the end of the prior business day for the Income Fund and trades executed through the end of the current business day for the Money Market Fund. Gains and losses on securities sold are determined on the basis of identified cost. Interest income is accrued as earned. Interest income includes coupon interest and amortization of premium and accretion of discount on debt securities.
Annual Report
Notes to Financial Statements - continued
2. Significant Accounting Policies - continued
Expenses. Most expenses of each trust can be directly attributed to a fund. Expenses which cannot be directly attributed are apportioned among each Fund in the trust. Expense estimates are accrued in the period to which they relate and adjustments are made when actual amounts are known.
The Board of Trustees of the Money Market Fund approved the participation by the Money Market Fund in the U.S. Treasury Department's Temporary Guarantee Program for Money Market Funds (the "Program") through April 30, 2009. Under the Program, if the Money Market Fund's market value per share drops below $0.995 on any day while the Program is in effect, shareholders of record on that date who also held shares in the Money Market Fund on September 19, 2008 may be eligible to receive a payment from the Treasury upon liquidation of the Money Market Fund. The Money Market Fund paid the U.S. Treasury Department a fee equal to 0.01% based on the number of shares outstanding as of September 19, 2008 to participate in the Program for the initial 3-month term that expired on December 18, 2008. On December 4, 2008, the Money Market Fund paid an additional fee equal to 0.015% based on the number of shares outstanding as of September 19, 2008 to participate in the extension of the Program through April 30, 2009. The fees are being amortized over the length of the participation in the Program. The expense is borne by the Money Market Fund without regard to any expense limitation currently in effect. The U.S. Treasury Department has the option to renew the Program through the close of business on September 19, 2009. If extended, the Board of Trustees of the Money Market Fund will determine whether the Money Market Fund should continue participation in the Program and, if so, the Money Market Fund will incur additional participation fees.
Income Tax Information and Distributions to Shareholders. Each year, each Fund intends to qualify as a regulated investment company by distributing substantially all of its taxable income and realized gains under Subchapter M of the Internal Revenue Code and filing its U.S. federal tax return. As a result, no provision for income taxes is required. Each Fund is subject to the provisions of FASB Interpretation No. 48, Accounting for Uncertainties in Income Taxes (FIN 48). FIN 48 sets forth a minimum threshold for financial statement recognition of the benefit of a tax position taken or expected to be taken in a tax return. There are no unrecognized tax benefits in the accompanying financial statements. A Fund's federal tax return is subject to examination by the Internal Revenue Service (IRS) for a period of three years.
Annual Report
2. Significant Accounting Policies - continued
Income Tax Information and Distributions to Shareholders - continued
Dividends are declared daily and paid monthly from net investment income. Distributions from realized gains, if any, are recorded on the ex-dividend date. Income and capital gain distributions are determined in accordance with income tax regulations, which may differ from generally accepted accounting principles. In addition, the Funds will claim a portion of the payment made to redeeming shareholders as a distribution for income tax purposes.
Capital accounts within the financial statements are adjusted for permanent book-tax differences. These adjustments have no impact on net assets or the results of operations. Temporary book-tax differences will reverse in a subsequent period.
Book-tax differences are primarily due market discount, deferred trustees compensation, losses deferred due to wash sales, futures transactions and excise tax regulations.
The Funds purchase municipal securities whose interest, in the opinion of the issuer, is free from federal income tax. There is no assurance that the IRS will agree with this opinion. In the event the IRS determines that the issuer does not comply with relevant tax requirements, interest payments from a security could become federally taxable, possibly retroactively to the date the security was issued.
The tax-basis components of distributable earnings and the federal tax cost as of period end were as follows for each Fund:
| Cost for Federal | Unrealized | Unrealized | Net Unrealized |
Fidelity Pennsylvania Municipal Income Fund | $ 321,696,533 | $ 5,781,189 | $ (14,462,178) | $ (8,680,989) |
Fidelity Pennsylvania Municipal Money | 846,126,351 | - | - | - |
| Undistributed | Undistributed Long-term | Capital Loss |
Fidelity Pennsylvania Municipal | - | - | - |
Fidelity Pennsylvania Municipal | 85,107 | - | - |
Annual Report
Notes to Financial Statements - continued
2. Significant Accounting Policies - continued
Income Tax Information and Distributions to Shareholders - continued
The tax character of distributions paid was as follows:
December 31, 2008 |
|
|
|
|
| Tax-exempt | Ordinary | Long-term | Total |
Fidelity Pennsylvania Municipal Income Fund | $ 13,097,181 | $ - | $ 724,260 | $ 13,821,441 |
Fidelity Pennsylvania Municipal Money Market Fund | 14,920,660 | - | 75,788 | 14,996,448 |
December 31, 2007 |
|
|
|
|
| Tax-exempt | Ordinary | Long-term | Total |
Fidelity Pennsylvania Municipal Income Fund | $ 12,001,160 | $ 141,061 | $ 1,157,900 | $ 13,300,121 |
Fidelity Pennsylvania Municipal Money Market Fund | 20,213,370 | - | - | 20,213,270 |
Short-Term Trading (Redemption) Fees. Shares held in the Income Fund less than 30 days are subject to a redemption fee equal to .50% of the proceeds of the redeemed shares. All redemption fees, including any estimated redemption fees paid by Fidelity Management & Research Company (FMR), are retained by the Fund and accounted for as an addition to paid in capital.
3. Operating Policies.
Delayed Delivery Transactions and When-Issued Securities. Certain Funds may purchase or sell securities on a delayed delivery or when-issued basis. Payment and delivery may take place after the customary settlement period for that security. The price of the underlying securities and the date when the securities will be delivered and paid for are fixed at the time the transaction is negotiated. During the time a delayed delivery sell is outstanding, the contract is marked-to-market daily and equivalent deliverable securities are held for the transaction. The value of the securities purchased on a delayed delivery or when-issued basis are identified as such in each applicable Fund's Schedule of Investments. Certain Funds may receive compensation for interest forgone in the purchase of a delayed delivery or when-issued security. With respect to purchase commitments, each applicable Fund identifies securities as segregated in its records with a value at least equal to the amount of the commitment. Losses may arise due to changes in the value of the underlying securities or if the counterparty does not perform under the contract's terms, or if the issuer does not issue the securities due to political, economic, or other factors.
Annual Report
4. Purchases and Sales of Investments.
Purchases and sales of securities, other than short-term securities, for the Income Fund aggregated $71,920,137 and $54,594,298, respectively.
5. Fees and Other Transactions with Affiliates.
Management Fee. FMR and its affiliates provide the Income Fund with investment management related services for which the Fund pays a monthly management fee. The management fee is the sum of an individual fund fee rate that is based on an annual rate of.25% of the Fund's average net assets and a group fee rate that averaged .12% during the period. The group fee rate is based upon the average net assets of all the mutual funds advised by FMR. The group fee rate decreases as assets under management increase and increases as assets under management decrease. For the period, the total annual management fee rate was.37% of the Fund's average net assets.
FMR and its affiliates provide the Money Market Fund with investment management related services for which the Fund pays a monthly management fee that is based on an annual rate of.50% of the Fund's average net assets. FMR pays all other expenses, except the compensation of the independent Trustees and certain exceptions such as interest expense, including commitment fees. The management fee paid to FMR by the Fund is reduced by an amount equal to the fees and expenses paid by the Fund to the independent Trustees.
Transfer Agent and Accounting Fees. Citibank, N.A. (Citibank) is the custodian, transfer agent and shareholder servicing agent for the Funds. Citibank has entered into a sub-arrangement with Fidelity Investments Institutional Operations Company, Inc. (FIIOC), an affiliate of FMR, under which FIIOC performs the activities associated with the Funds' transfer, dividend disbursing and shareholder servicing agent functions. Under the terms of the management fee contract, FMR pays transfer agent fees on behalf of the Money Market Fund. The Income Fund pays account fees and asset-based fees that vary according to account size and type of account. FIIOC pays for typesetting, printing and mailing of shareholder reports, except proxy statements. For the period, the transfer agent fees were equivalent to the following annual rates expressed as a percentage of average net assets:
Fidelity Pennsylvania Municipal Income Fund | .08% |
Citibank also has a sub-arrangement with Fidelity Service Company, Inc. (FSC), an affiliate of FMR, under which FSC maintains the Fund's accounting records. The fee is based on the level of average net assets for the month.
Annual Report
Notes to Financial Statements - continued
6. Committed Line of Credit.
The Income Fund participates with other funds managed by FMR in a $4.2 billion credit facility (the "line of credit") to be utilized for temporary or emergency purposes to fund shareholder redemptions or for other short-term liquidity purposes. The participating funds have agreed to pay commitment fees on their pro rata portion of the line of credit, which is reflected in Miscellaneous Expense on the Statement of Operations, and is as follows:
Fidelity Pennsylvania Municipal Income Fund | $ 642 |
During the period, there were no borrowings on this line of credit.
7. Expense Reductions.
Through arrangements with the Income Fund's custodian and transfer agent, credits realized as a result of uninvested cash balances were used to reduce fund expenses. These expense reductions are noted in the table below.
| Custody | Transfer | Accounting |
|
|
|
|
Fidelity Pennsylvania Municipal Income Fund | $ 5,157 | $ 124,628 | $ 1,422 |
In addition, through an arrangement with the Money Market Fund's custodian and transfer agent, $389,427 of credits realized as a result of uninvested cash balances were used to reduce the Fund's management fee.
8. Other.
The Funds' organizational documents provide former and current trustees and officers with a limited indemnification against liabilities arising in connection with the performance of their duties to the Funds. In the normal course of business, the Funds may also enter into contracts that provide general indemnifications. The Funds' maximum exposure under these arrangements is unknown as this would be dependent on future claims that may be made against the Funds. The risk of material loss from such claims is considered remote.
Annual Report
Report of Independent Registered Public Accounting Firm
To the Trustees of Fidelity Municipal Trust and Fidelity Municipal Trust II and the Shareholders of Fidelity Pennsylvania Municipal Income Fund and Fidelity Pennsylvania Municipal Money Market Fund:
In our opinion, the accompanying statements of assets and liabilities, including the schedules of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Fidelity Pennsylvania Municipal Income Fund (a fund of Fidelity Municipal Trust) and Fidelity Pennsylvania Municipal Money Market Fund (a fund of Fidelity Municipal Trust II) at December 31, 2008, the results of each of their operations for the year then ended, the changes in their net assets for each of the two years in the period then ended and the financial highlights for each of the five years in the period then ended, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as "financial statements") are the responsibility of the Fidelity Municipal Trust's and Fidelity Municipal Trust II's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at December 31, 2008 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion.
/s/ PricewaterhouseCoopers LLP
PricewaterhouseCoopers LLP
Boston, Massachusetts
February 20, 2009
Annual Report
Trustees and Officers
The Trustees, Member of the Advisory Board, and executive officers of the trusts and funds, as applicable, are listed below. The Board of Trustees governs each fund and is responsible for protecting the interests of shareholders. The Trustees are experienced executives who meet periodically throughout the year to oversee each fund's activities, review contractual arrangements with companies that provide services to each fund, and review each fund's performance. Except for Edward C. Johnson 3d and James C. Curvey, each of the Trustees oversees 158 funds advised by FMR or an affiliate. Messrs. Johnson and Curvey oversee 380 funds advised by FMR or an affiliate.
The Trustees hold office without limit in time except that (a) any Trustee may resign; (b) any Trustee may be removed by written instrument, signed by at least two-thirds of the number of Trustees prior to such removal; (c) any Trustee who requests to be retired or who has become incapacitated by illness or injury may be retired by written instrument signed by a majority of the other Trustees; and (d) any Trustee may be removed at any special meeting of shareholders by a two-thirds vote of the outstanding voting securities of the trust. Each Trustee who is not an interested person (as defined in the 1940 Act) (Independent Trustee), shall retire not later than the last day of the calendar year in which his or her 72nd birthday occurs. The Independent Trustees may waive this mandatory retirement age policy with respect to individual Trustees. The executive officers and Advisory Board Member hold office without limit in time, except that any officer and Advisory Board Member may resign or may be removed by a vote of a majority of the Trustees at any regular meeting or any special meeting of the Trustees. Except as indicated, each individual has held the office shown or other offices in the same company for the past five years.
The funds' Statement of Additional Information (SAI) includes more information about the Trustees. To request a free copy, call Fidelity at 1-800-544-8544.
Interested Trustees*:
Correspondence intended for each Trustee who is an interested person may be sent to Fidelity Investments, 82 Devonshire Street, Boston, Massachusetts 02109.
Name, Age; Principal Occupation | |
Edward C. Johnson 3d (78) | |
| Year of Election or Appointment: 1984 or 1991 Trustee of Fidelity Municipal Trust (1984) and Fidelity Municipal Trust II (1991). Mr. Johnson is Chairman of the Board of Trustees. Mr. Johnson serves as Chief Executive Officer, Chairman, and a Director of FMR LLC; Chairman and a Director of FMR; Chairman and a Director of Fidelity Research & Analysis Company (FRAC); Chairman and a Director of Fidelity Investments Money Management, Inc.; and Chairman and a Director of FMR Co., Inc. In addition, Mr. Johnson serves as Chairman and Director of FIL Limited. Previously, Mr. Johnson served as President of FMR LLC (2006-2007). Mr. Edward C. Johnson 3d and Mr. Arthur E. Johnson are not related. |
James C. Curvey (73) | |
| Year of Election or Appointment: 2007 Mr. Curvey also serves as Trustee (2007-present) of other investment companies advised by FMR. Mr. Curvey is a Director of FMR and FMR Co., Inc. (2007-present). Mr. Curvey is also Vice Chairman (2006- |
* Trustees have been determined to be "Interested Trustees" by virtue of, among other things, their affiliation with the trusts or various entities under common control with FMR. FMR Corp. merged with and into FMR LLC on October 1, 2007. Any references to FMR LLC for prior periods are deemed to be references to the prior entity.
Independent Trustees:
Correspondence intended for each Independent Trustee (that is, the Trustees other than the Interested Trustees) may be sent to Fidelity Investments, P.O. Box 55235, Boston, Massachusetts 02205-5235.
Name, Age; Principal Occupation | |
Albert R. Gamper, Jr. (66) | |
| Year of Election or Appointment: 2006 Prior to his retirement in December 2004, Mr. Gamper served as Chairman of the Board of CIT Group Inc. (commercial finance). During his tenure with CIT Group Inc. Mr. Gamper served in numerous senior management positions, including Chairman (1987-1989; 1999-2001; 2002-2004), Chief Executive Officer (1987-2004), and President (1989-2002). He currently serves as a member of the Board of Directors of Public Service Enterprise Group (utilities), a member of the Board of Governors, Rutgers University (2004-present), and Chairman of the Board of Saint Barnabas Health Care System. Previously, Mr. Gamper served as Chairman of the Board of Governors, Rutgers University (2004-2007). |
Arthur E. Johnson (61) | |
| Year of Election or Appointment: 2008 Mr. Johnson serves as Senior Vice President of Corporate Strategic Development of Lockheed Martin Corporation (defense contractor). In addition, Mr. Johnson serves as a member of the Board of Directors of AGL Resources, Inc. (holding company), and IKON Office Solutions, Inc. (document management systems and services). Mr. Arthur E. Johnson and Mr. Edward C. Johnson 3d are not related. |
James H. Keyes (68) | |
| Year of Election or Appointment: 2007 Prior to his retirement in 2003, Mr. Keyes was Chairman, President, and Chief Executive Officer of Johnson Controls, Inc. (automotive supplier, 1993-2003). He currently serves as a member of the boards of Navistar International Corporation (manufacture and sale of trucks, buses, and diesel engines) and Pitney Bowes, Inc. (integrated mail, messaging, and document management solutions). Previously, Mr. Keyes served as a member of the Board of LSI Logic Corporation (semiconductor technologies, 1984-2008). |
Marie L. Knowles (62) | |
| Year of Election or Appointment: 2001 Prior to Ms. Knowles' retirement in June 2000, she served as Executive Vice President and Chief Financial Officer of Atlantic Richfield Company (ARCO) (diversified energy, 1996-2000). From 1993 to 1996, she was a Senior Vice President of ARCO and President of ARCO Transportation Company. She served as a Director of ARCO from 1996 to 1998. She currently serves as a Director of McKesson Corporation (healthcare service). Ms. Knowles is a Trustee of the Brookings Institution and the Catalina Island Conservancy and also serves as a member of the Advisory Board for the School of Engineering of the University of Southern California. Previously, Ms. Knowles served as a Director of Phelps Dodge Corporation (copper mining and manufacturing, 1994-2007). |
Kenneth L. Wolfe (69) | |
| Year of Election or Appointment: 2005 Mr. Wolfe currently serves as a member of the board of Revlon Inc. (2004-present). Previously, Mr. Wolfe served as Chairman and a Director (2007-2009) and Chairman and Chief Executive Officer of Hershey Foods Corporation, and as a member of the boards of Adelphia Communications Corporation (2003-2006) and Bausch & Lomb, Inc. (1993-2007). |
Annual Report
Trustees and Officers - continued
Advisory Board Member and Executive Officers**:
Correspondence intended for Mr. Kenneally may be sent to Fidelity Investments, P.O. Box 55235, Boston, Massachusetts 02205-5235. Correspondence intended for each executive officer may be sent to Fidelity Investments, 82 Devonshire Street, Boston, Massachusetts 02109.
Name, Age; Principal Occupation | |
Michael E. Kenneally (54) | |
| Year of Election or Appointment: 2008 Member of the Advisory Board. Mr. Kenneally also serves as Trustee (2009-present) or Member of the Advisory Board of other Fidelity Fixed Income and Asset Allocation Funds. Previously, Mr. Kenneally served as Chairman and Global Chief Executive Officer of Credit Suisse Asset Management (2003-2005). Mr. Kenneally was a Director of The Credit Suisse Funds (U.S. Mutual Fund, 2004-2008) and was awarded the Chartered Financial Analyst (CFA) designation in 1991. |
John R. Hebble (50) | |
| Year of Election or Appointment: 2008 President and Treasurer of Fidelity's Fixed Income and Asset Allocation Funds. Mr. Hebble is an employee of Fidelity Investments (2003- |
Boyce I. Greer (52) | |
| Year of Election or Appointment: 2005 or 2006 Vice President of Fidelity's Fixed Income Funds (2006) and Asset Allocation Funds (2005). Mr. Greer is also a Trustee of other investment companies advised by FMR (2003-present). Mr. Greer is President and a Director of Fidelity Investments Money Management, Inc. (2007- |
Charles S. Morrison (48) | |
| Year of Election or Appointment: 2005 Vice President of Fidelity's Money Market Funds. Mr. Morrison also serves as Senior Vice President, Money Market Group Leader of FMR. Previously, Mr. Morrison served as Vice President of Fidelity's Bond Funds and certain Balanced, and Asset Allocation Funds. |
Scott C. Goebel (40) | |
| Year of Election or Appointment: 2008 Secretary and Chief Legal Officer (CLO) of the Fidelity funds. Mr. Goebel also serves as General Counsel, Secretary, and Senior Vice President of FMR (2008-present); Deputy General Counsel of FMR LLC; Chief Legal Secretary of Fidelity Management & Research (Hong Kong) Limited (2008-present) and Assistant Secretary of Fidelity Management & Research (Japan) Inc. (2008-present). Previously, Mr. Goebel served as Assistant Secretary of the Funds (2007-2008) and as Vice President and Secretary of Fidelity Distributors Corporation (FDC) (2005-2007). |
Nancy D. Prior (41) | |
| Year of Election or Appointment: 2008 Assistant Secretary of Fidelity's Fixed Income and Asset Allocation Funds. Ms. Prior is an employee of Fidelity Investments (2002-present). |
Holly C. Laurent (54) | |
| Year of Election or Appointment: 2008 Anti-Money Laundering (AML) Officer of the Fidelity funds. Ms. Laurent is an employee of Fidelity Investments. Previously, Ms. Laurent was Senior Vice President and Head of Legal for Fidelity Business Services India Pvt. Ltd. (2006-2008), Senior Vice President, Deputy General Counsel and Group Head for FMR LLC (2005-2006). |
Christine Reynolds (50) | |
| Year of Election or Appointment: 2008 Chief Financial Officer of the Fidelity funds. Ms. Reynolds became President of Fidelity Pricing and Cash Management Services (FPCMS) in August 2008. She served as Chief Operating Officer of FPCMS from 2007 through July 2008. Previously, Ms. Reynolds served as President, Treasurer, and Anti-Money Laundering officer of the Fidelity funds (2004-2007). Before joining Fidelity Investments, Ms. Reynolds worked at PricewaterhouseCoopers LLP (PwC) (1980-2002), where she was an audit partner with PwC's investment management practice. |
Michael H. Whitaker (41) | |
| Year of Election or Appointment: 2008 Chief Compliance Officer of Fidelity's Fixed Income and Asset Allocation Funds. Mr. Whitaker is an employee of Fidelity Investments (2007- |
Bryan A. Mehrmann (47) | |
| Year of Election or Appointment: 2005 Deputy Treasurer of the Fidelity funds. Mr. Mehrmann is an employee of Fidelity Investments. Previously, Mr. Mehrmann served as Vice President of Fidelity Investments Institutional Services Group (FIIS)/Fidelity Investments Institutional Operations Company, Inc. (FIIOC) Client Services (1998-2004). |
Stephanie J. Dorsey (39) | |
| Year of Election or Appointment: 2008 Deputy Treasurer of Fidelity's Fixed Income and Asset Allocation Funds. Ms. Dorsey is an employee of Fidelity Investments (2008-present). Previously, Ms. Dorsey served as Treasurer (2004-2008) of the JPMorgan Mutual Funds and Accounting Group Manager (2003) of JPMorgan Chase Bank. |
Robert G. Byrnes (42) | |
| Year of Election or Appointment: 2005 Assistant Treasurer of the Fidelity funds. Mr. Byrnes is an employee of Fidelity Investments (2005-present). Previously, Mr. Byrnes served as Vice President of Fidelity Pricing and Cash Management Services (FPCMS) (2003-2005). Before joining Fidelity Investments, Mr. Byrnes worked at Deutsche Asset Management where he served as Vice President of the Investment Operations Group (2000-2003). |
Paul M. Murphy (61) | |
| Year of Election or Appointment: 2007 Assistant Treasurer of the Fidelity funds. Mr. Murphy is an employee of Fidelity Investments (2007-present). Previously, Mr. Murphy served as Chief Financial Officer of the Fidelity Funds (2005-2006), Vice President and Associate General Counsel of FMR (2007), and Senior Vice President of Fidelity Pricing and Cash Management Services (FPCMS) (1994-2007). |
Gary W. Ryan (50) | |
| Year of Election or Appointment: 2005 Assistant Treasurer of the Fidelity funds. Mr. Ryan is an employee of Fidelity Investments. Previously, Mr. Ryan served as Vice President of Fund Reporting in Fidelity Pricing and Cash Management Services (FPCMS) (1999-2005). |
** FMR Corp. merged with and into FMR LLC on October 1, 2007. Any references to FMR LLC for prior periods are deemed to be references to the prior entity.
Annual Report
Distributions (Unaudited)
The funds hereby designate as capital gain dividend the amounts noted below for the taxable year ended December 31, 2008, or, if subsequently determined to be different, the net capital gain of such year.
Fund |
|
Fidelity Pennsylvania Municipal Income Fund | $681,799 |
Fidelity Pennsylvania Municipal Money Market Fund | $0 |
During fiscal year ended 2008, 100% of each fund's income dividends were free from federal income tax, and 11.05% of Fidelity Pennsylvania Municipal Income Fund and 44.22% of Fidelity Pennsylvania Municipal Money Market Fund income dividends were subject to the federal alternative minimum tax.
The fund will notify shareholders in January 2009 of amounts for use in preparing 2008 income tax returns.
Annual Report
Managing Your Investments
Fidelity offers several ways to conveniently manage your personal investments via your telephone or PC. You can access your account information, conduct trades and research your investments 24 hours a day.
By Phone
Fidelity Automated Service Telephone provides a single toll-free number to access account balances, positions, quotes and trading. It's easy to navigate the service, and on your first call, the system will help you create a personal identification number (PIN) for security.
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Fidelity Automated
Service Telephone (FAST®)
1-800-544-5555
Press
For mutual fund and brokerage trading.
For quotes.*
For account balances and holdings.
To review orders and mutual
fund activity.
To change your PIN.
To speak to a Fidelity representative.
By PC
Fidelity's web site on the Internet provides a wide range of information, including daily financial news, fund performance, interactive planning tools and news about Fidelity products and services.
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Fidelity's Web Site
www.fidelity.com
* When you call the quotes line, please remember that a fund's yield and return will vary and, except for money market funds, share price will also vary. This means that you may have a gain or loss when you sell your shares. There is no assurance that money market funds will be able to maintain a stable $1 share price; an investment in a money market fund is not insured or guaranteed by the U.S. government. Total returns are historical and include changes in share price, reinvestment of dividends and capital gains, and the effects of any sales charges.
Annual Report
To Visit Fidelity
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Annual Report
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Annual Report
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Fidelity Investments
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Covington, KY 41015
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Annual Report
Investment Adviser
Fidelity Management & Research Company
Boston, MA
Investment Sub-Advisers
Fidelity Research & Analysis Company
Fidelity Management & Research
(U.K.) Inc.
Fidelity Investments Money
Management, Inc.
FIL Investment Advisors
FIL Investment Advisors (U.K.) Ltd.
Fidelity Management & Research
(Japan) Inc.
Fidelity Management & Research
(Hong Kong) Limited
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Boston, MA
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The Fidelity Telephone Connection
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Telephone (FAST®) 1-800-544-5555
Automated line for quickest service
PFR-UANN-0209 1.787740.105
Fidelity®
Short-Intermediate
Municipal Income Fund
Annual Report
December 31, 2008
(2_fidelity_logos) (Registered_Trademark)
Contents
Chairman's Message | Ned Johnson's message to shareholders. | |
Performance | How the fund has done over time. | |
Management's Discussion | The manager's review of fund performance, strategy and outlook. | |
Shareholder Expense Example | An example of shareholder expenses. | |
Investment Changes | A summary of major shifts in the fund's investments over the past six months. | |
Investments | A complete list of the fund's investments with their market values. | |
Financial Statements | Statements of assets and liabilities, operations, and changes in net assets, as well as financial highlights. | |
Notes | Notes to the financial statements. | |
Report of Independent Registered Public Accounting Firm |
| |
Trustees and Officers |
| |
Distributions |
|
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com (search for "proxy voting guidelines") or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov. You may also call 1-800-544-8544 to request a free copy of the proxy voting guidelines.
Standard & Poor's, S&P and S&P 500 are registered service marks of The McGraw-Hill Companies, Inc. and have been licensed for use by Fidelity Distributors Corporation.
Other third party marks appearing herein are the property of their respective owners.
All other marks appearing herein are registered or unregistered trademarks or service marks of FMR LLC or an affiliated company.
Annual Report
Semia
This report and the financial statements contained herein are submitted for the general information of the shareholders of the fund. This report is not authorized for distribution to prospective investors in the fund unless preceded or accompanied by an effective prospectus.
A fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. Forms N-Q are available on the SEC's web site at http://www.sec.gov. A fund's Forms N-Q may be reviewed and copied at the SEC's Public Reference Room in Washington, DC. Information regarding the operation of the SEC's Public Reference Room may be obtained by calling 1-800-SEC-0330. For a complete list of a fund's portfolio holdings, view the most recent holdings listing, semiannual report, or annual report on Fidelity's web site at http://www.fidelity.com or http://www.advisor.fidelity.com, as applicable.
NOT FDIC INSURED · MAY LOSE VALUE · NO BANK GUARANTEE
Neither the fund nor Fidelity Distributors Corporation is a bank.
Annual Report
Chairman's Message
(photo_of_Edward_C_Johnson_3d)
Dear Shareholder:
An all-out credit crisis gripped the world's capital markets in 2008, stunting economic growth, toppling commodity prices and pushing equity markets into their steepest declines in decades. Within this ultra-risk-averse climate, virtually the only positive results came from the relative security of U.S. government-backed assets. While financial markets are always unpredictable, there are a number of time-tested principles that can put the historical odds in your favor.
One of the basic tenets is to invest for the long term. Over time, riding out the markets' inevitable ups and downs has proven much more effective than selling into panic or chasing the hottest trend. Even missing only a few of the markets' best days can significantly diminish investor returns. Patience also affords the benefits of compounding - of earning interest on additional income or reinvested dividends and capital gains. There are tax advantages and cost benefits to consider as well. The more you sell, the more taxes you pay, and the more you trade, the higher the costs. While staying the course doesn't eliminate risk, it can considerably lessen the effect of short-term declines.
You can further manage your investing risk through diversification. And today, more than ever, geographic diversification should be taken into account. Studies indicate that asset allocation is the single most important determinant of a portfolio's long-term success. The right mix of stocks, bonds and cash - aligned to your particular risk tolerance and investment objective - is very important. Age-appropriate rebalancing is also an essential aspect of asset allocation. For younger investors, an emphasis on equities - which historically have been the best-performing asset class over time - is encouraged. As investors near their specific goal, such as retirement or sending a child to college, consideration may be given to replacing volatile assets (e.g. common stocks) with more-stable fixed investments (bonds or savings plans).
A third investment principle - investing regularly - can help lower the average cost of your purchases. Investing a certain amount of money each month or quarter helps ensure you won't pay for all your shares at market highs. This strategy - known as dollar cost averaging - also reduces unconstructive "emotion" from investing, helping shareholders avoid selling weak performers just prior to an upswing, or chasing a hot performer just before a correction.
We invite you to contact us via the Internet, through our Investor Centers or over the phone. It is our privilege to provide you the information you need to make the investments that are right for you.
Sincerely,
/s/Edward C. Johnson 3d
Edward C. Johnson 3d
Annual Report
Performance: The Bottom Line
Average annual total return reflects the change in the value of an investment, assuming reinvestment of Short-Intermediate Municipal Income's dividend income and capital gains (the profits earned upon the sale of securities that have grown in value, if any) and assuming a constant rate of performance each year. The $10,000 table and the fund's returns do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. During periods of reimbursement by Fidelity, a fund's total return will be greater than it would be had the reimbursement not occurred. How a fund did yesterday is no guarantee of how it will do tomorrow.
Average Annual Total Returns
Periods ended December 31, 2008 | Past 1 | Past 5 | Past 10 |
Short-Intermediate Municipal Income | 3.50% | 2.74% | 3.66% |
$10,000 Over 10 Years
Let's say hypothetically that $10,000 was invested in Short-Intermediate Municipal Income, a class of the fund, on December 31, 1998. The chart shows how the value of your investment would have changed, and also shows how the Barclays Capital® Municipal Bond Index performed over the same period.
Annual Report
Management's Discussion of Fund Performance
Comments from Mark Sommer, Portfolio Manager of Fidelity® Short-Intermediate Municipal Income Fund
Municipal bonds suffered losses during 2008, hurt by a persistent and deepening risk aversion that spread rapidly across the global financial markets. While lower-quality municipals were hit first, insured bonds - most rated AAA at the time - came under pressure shortly thereafter in response to investor concerns about the financial strength of bond insurers. All major municipal bond insurers suffered from their exposure to securities backed by subprime mortgages. Supply pressures also weighed on the markets, as issuers scrambled to refinance their debt as the auction-rate securities market - - a major source of funding for muni issuers - broke down. The loss of independent muni dealers - including Bear Stearns, Lehman Brothers, Merrill Lynch and Wachovia - led to further disruption, as did the selling by leveraged investors to cover losses and meet investor redemptions. But in December, munis started to gain strength as investors gravitated toward their attractive valuations. For the 12 months overall, the Barclays Capital Municipal Bond Index - a performance measure of more than 44,000 investment-grade, fixed-rate, tax-exempt bonds - declined 2.47%. The overall taxable debt market, as measured by the Barclays Capital U.S. Aggregate Bond Index, rose 5.24%.
For the year ending December 31, 2008, the fund's Retail Class shares returned 3.50% and the Barclays Capital 1-6 Year Municipal Bond Index - which tracks the types of securities in which the fund invests - gained 5.38%. The fund's underperformance of the benchmark stemmed in part from its underexposure to muni bonds backed by U.S. Treasuries and other government-guaranteed securities, namely prerefunded and escrowed bonds. These securities were in strong demand as investors flocked to very high-quality securities with attractive levels of tax-free yield. Yield-curve positioning also worked against us. Specifically, the fund lost ground because of my decision to overweight five- to 10-year bonds, which underperformed shorter securities as interest rates declined. The fund also suffered from having a larger-than-index weighting in lower-quality investment-grade securities - particularly health care bonds - which suffered as investor demand for them waned amid a global flight to quality. On the plus side, the fund was helped by its underweightings in housing and tobacco bonds, two of the muni market's laggards which were hurt primarily by the overall downturn in lower-quality bonds.
The views expressed above reflect those of the portfolio manager(s) only through the end of the period as stated on the cover of this report and do not necessarily represent the views of Fidelity or any other person in the Fidelity organization. Any such views are subject to change at any time based upon market or other conditions and Fidelity disclaims any responsibility to update such views. These views may not be relied on as investment advice and, because investment decisions for a Fidelity fund are based on numerous factors, may not be relied on as an indication of trading intent on behalf of any Fidelity fund.
Annual Report
Shareholder Expense Example
As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments or redemption proceeds, redemption fees, and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees and other Fund expenses. This Example is intended to help you 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.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (July 1, 2008 to December 31, 2008).
Actual Expenses
The first line of the accompanying table for each class of the Fund provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000.00 (for example, an $8,600 account value divided by $1,000.00 = 8.6), then multiply the result by the number in the first line for a class of the Fund under the heading entitled "Expenses Paid During Period" to estimate the expenses you paid on your account during this period. In addition, the Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.
Hypothetical Example for Comparison Purposes
The second line of the accompanying table for each class of the Fund provides information about hypothetical account values and hypothetical expenses based on a Class' actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Class' actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and 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. In addition, the Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs. Therefore, the second line 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 transactional costs were included, your costs would have been higher.
Annual Report
Shareholder Expense Example - continued
| Annualized | Beginning | Ending | Expenses Paid |
Class A | .75% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,018.60 | $ 3.81 |
Hypothetical A |
| $ 1,000.00 | $ 1,021.37 | $ 3.81 |
Class T | .74% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,019.70 | $ 3.76 |
Hypothetical A |
| $ 1,000.00 | $ 1,021.42 | $ 3.76 |
Class B | 1.43% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,016.10 | $ 7.25 |
Hypothetical A |
| $ 1,000.00 | $ 1,017.95 | $ 7.25 |
Class C | 1.50% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,014.80 | $ 7.60 |
Hypothetical A |
| $ 1,000.00 | $ 1,017.60 | $ 7.61 |
Short-Intermediate Municipal Income | .49% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,020.90 | $ 2.49 |
Hypothetical A |
| $ 1,000.00 | $ 1,022.67 | $ 2.49 |
Institutional Class | .51% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,019.80 | $ 2.59 |
Hypothetical A |
| $ 1,000.00 | $ 1,022.57 | $ 2.59 |
A 5% return per year before expenses
* Expenses are equal to each Class' annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/366 (to reflect the one-half year period).
Annual Report
Investment Changes (Unaudited)
Top Five States as of December 31, 2008 | ||
| % of fund's | % of fund's net assets |
New York | 16.5 | 17.0 |
Texas | 10.5 | 11.0 |
California | 7.9 | 10.2 |
Illinois | 7.6 | 7.9 |
New Jersey | 5.0 | 5.5 |
Top Five Sectors as of December 31, 2008 | ||
| % of fund's | % of fund's net assets |
General Obligations | 41.2 | 42.0 |
Special Tax | 9.9 | 10.5 |
Escrowed/Pre-Refunded | 9.5 | 14.4 |
Electric Utilities | 9.0 | 8.8 |
Health Care | 7.8 | 7.8 |
Weighted Average Maturity as of December 31, 2008 | ||
|
| 6 months ago |
Years | 3.5 | 3.6 |
The weighted average maturity is based on the dollar-weighted average length of time until principal payments are expected or until securities reach maturity, taking into account any maturity shortening feature such as a call, refunding or redemption provision. |
Duration as of December 31, 2008 | ||
|
| 6 months ago |
Years | 2.6 | 2.8 |
Duration shows how much a bond fund's price fluctuates with changes in comparable interest rates. If rates rise 1%, for example, a fund with a five-year duration is likely to lose about 5% of its value. Other factors also can influence a bond fund's performance and share price. Accordingly, a bond fund's actual performance may differ from this example. |
Quality Diversification (% of fund's net assets) | |||||||
As of December 31, 2008 | As of June 30, 2008 | ||||||
![]() | AAA 6.6% |
| ![]() | AAA 24.3% |
| ||
![]() | AA,A 75.7% |
| ![]() | AA,A 68.8% |
| ||
![]() | BBB 7.9% |
| ![]() | BBB 4.4% |
| ||
![]() | BB and Below 0.2% |
| ![]() | BB and Below 0.2% |
| ||
![]() | Not Rated 2.9% |
| ![]() | Not Rated 1.9% |
| ||
![]() | Short-Term |
| ![]() | Short-Term |
|
We have used ratings from Moody's® Investors Services, Inc. Where Moody's ratings are not available, we have used S&P® ratings. All ratings are as of the report date and do not reflect subsequent downgrades. |
Annual Report
Investments December 31, 2008
Showing Percentage of Net Assets
Municipal Bonds - 93.3% | ||||
| Principal Amount (000s) | Value (000s) | ||
Alabama - 1.6% | ||||
Birmingham Baptist Med. Ctrs. Spl. Care Facilities Fing. Auth. Rev. (Baptist Health Sys., Inc. Proj.) Series 2005 A, 5% 11/15/09 | $ 1,100 | $ 1,074 | ||
Birmingham Wtrwks. & Swr. Board Wtr. & Swr. Rev. Series 2002 B, 5% 1/1/37 (Pre-Refunded to 1/1/13 @ 100) (f) | 10,000 | 10,947 | ||
Health Care Auth. for Baptist Health Series 2006 D, 5% 11/15/11 | 1,000 | 997 | ||
Huntsville Solid Waste Disp. Auth. & Resource Recovery Rev. Series 2000, 5.75% 10/1/09 (MBIA Insured) (e) | 4,000 | 4,092 | ||
Jefferson County Swr. Rev.: | ||||
Series 2001 A, 5.5% 2/1/40 (Pre-Refunded to 2/1/11 @ 101) (f) | 3,900 | 4,185 | ||
Series 2002 B, 5% 2/1/41 (Pre-Refunded to 8/1/12 @ 100) (f) | 2,070 | 2,227 | ||
Mobile Indl. Dev. Board Poll. Cont. Rev. (Alabama Pwr. Co. Barry Plant Proj.) Series 2007 A, 4.75%, tender 3/19/12 (b) | 5,000 | 5,035 | ||
Pell City Spl. Care Facilities Rev. (Noland Health Svcs., Inc. Proj.) Series 2007 A: | ||||
5% 12/1/09 | 500 | 491 | ||
5% 12/1/10 | 855 | 821 | ||
5% 12/1/12 | 750 | 686 | ||
Univ. of Alabama at Birmingham Hosp. Rev. Series | 1,175 | 1,178 | ||
| 31,733 | |||
Alaska - 0.3% | ||||
Alaska Student Ln. Corp. Student Ln. Rev. Series 2000 A, 5.85% 7/1/13 (Pre-Refunded to 7/1/10 @ 100) (e)(f) | 3,285 | 3,428 | ||
Anchorage Gen. Oblig. Series B, 5.75% 12/1/11 (Pre-Refunded to 12/1/10 @ 100) (f) | 2,500 | 2,687 | ||
| 6,115 | |||
Arizona - 2.2% | ||||
Arizona Ctfs. of Prtn. Series 2002 B, 5.5% 9/1/10 (FSA Insured) | 9,025 | 9,450 | ||
Arizona Health Facilities Auth. Rev. (Banner Health Sys. Proj.): | ||||
Series 2008 A, 5% 1/1/13 | 2,000 | 2,009 | ||
Series 2008 D: | ||||
5% 1/1/13 | 3,250 | 3,264 | ||
5% 1/1/14 | 2,000 | 1,989 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Arizona - continued | ||||
Arizona School Facilities Board Ctfs. of Prtn.: | ||||
Series 2004 C, 5% 9/1/09 (FSA Insured) | $ 1,115 | $ 1,139 | ||
Series 2008, 5.5% 9/1/13 | 18,780 | 20,362 | ||
Nogales Rev. Oblig. (Wastewtr. Systems Proj.) Series 2006A, 3.75%, tender 10/1/09, LOC JPMorgan Chase Bank (b) | 3,000 | 3,051 | ||
Tucson Wtr. Rev. Series 2001 A: | ||||
5% 7/1/11 (FGIC Insured) | 1,500 | 1,575 | ||
5% 7/1/15 (FGIC Insured) | 1,645 | 1,790 | ||
| 44,629 | |||
California - 7.9% | ||||
California Dept. of Wtr. Resources Pwr. Supply Rev. Series 2002 A, 5.25% 5/1/12 | 6,000 | 6,394 | ||
California Econ. Recovery Series 2004 A: | ||||
5.25% 1/1/11 | 6,500 | 6,826 | ||
5.25% 7/1/13 | 2,440 | 2,650 | ||
5.25% 7/1/13 | 2,400 | 2,606 | ||
California Gen. Oblig.: | ||||
5% 2/1/11 | 4,000 | 4,150 | ||
5% 2/1/11 | 785 | 815 | ||
5% 10/1/11 | 1,650 | 1,728 | ||
5% 2/1/12 | 1,650 | 1,734 | ||
5% 3/1/12 | 15,000 | 15,775 | ||
5% 9/1/12 | 1,700 | 1,794 | ||
5% 10/1/12 | 12,600 | 13,301 | ||
5% 11/1/13 | 10,000 | 10,605 | ||
5.25% 9/1/10 | 18,050 | 18,673 | ||
5.25% 2/1/11 | 2,465 | 2,570 | ||
5.5% 3/1/11 (FGIC Insured) | 3,210 | 3,368 | ||
5.5% 3/1/11 (XL Cap. Assurance, Inc. Insured) | 2,775 | 2,911 | ||
6.5% 9/1/10 | 1,760 | 1,857 | ||
California Health Facilities Fing. Auth. Rev.: | ||||
(Catholic Healthcare West Proj.) Series 2008 H, 5.125% 7/1/22 | 2,850 | 2,621 | ||
(Cedars-Sinai Med. Ctr. Proj.) Series 2005, 5% 11/15/10 | 1,000 | 1,021 | ||
California Infrastructure & Econ. Dev. Bank Rev. (The J. Paul Getty Trust Proj.) Series 2003 C, 3.9%, tender 12/1/11 (b) | 2,100 | 2,179 | ||
California Poll. Cont. Fing. Auth. Solid Waste Disp. Rev. (Waste Mgmt., Inc. Proj.) Series 2003 A, 5%, tender 5/1/13 (b)(e) | 2,300 | 1,926 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
California - continued | ||||
California State Univ. Rev. Series 2007 C, 5% 11/1/13 (FSA Insured) | $ 1,335 | $ 1,468 | ||
California Statewide Cmntys. Dev. Auth. Rev. (Kaiser Fund Hosp./Health Place, Inc. Proj.) Series 2002 C, 3.85%, tender 6/1/12 (b) | 1,400 | 1,368 | ||
Golden State Tobacco Securitization Corp. Tobacco Settlement Rev.: | ||||
Series 2003 B: | ||||
5.5% 6/1/43 (Pre-Refunded to 6/1/13 @ 100) (f) | 2,000 | 2,221 | ||
5.625% 6/1/38 (Pre-Refunded to 6/1/13 @ 100) (f) | 3,030 | 3,380 | ||
Series 2007 A1, 5% 6/1/12 | 2,570 | 2,453 | ||
Los Angeles Unified School District: | ||||
(Election of 1997 Proj.) Series 2002 E, 5.5% 7/1/14 (MBIA Insured) | 4,400 | 4,743 | ||
Series E, 5% 7/1/11 | 6,075 | 6,440 | ||
Northern California Gas Auth. #1 Gas Proj. Rev. Series 2007 A, 5% 7/1/11 | 2,025 | 1,795 | ||
Poway Unified School District Pub. Fing. Auth. Lease Rev.: | ||||
Cap. Appreciation Series 2007, 0%, tender 6/1/10 (FSA Insured) (b) | 3,655 | 3,504 | ||
Series 2008 B, 0%, tender 12/1/14 (FSA Insured) (b) | 7,235 | 5,412 | ||
San Joaquin Hills Trans. Corridor Agcy. Toll Road Rev. Series A, 0% 1/15/12 (MBIA Insured) | 3,600 | 2,905 | ||
Sulphur Springs Union School District Ctfs. of Prtn. 0%, tender 3/1/11 (AMBAC Insured) (b) | 985 | 916 | ||
Univ. of California Revs.: | ||||
(UCLA Med. Ctr. Proj.) 4.55% 12/1/09 (Escrowed to Maturity) (f)(g) | 8,230 | 8,507 | ||
Series K, 5% 5/15/10 | 4,655 | 4,875 | ||
Western Placer Unified School District Ctfs. of Prtn. (School Facilities Proj.) Series 2006 B, 3.625%, tender 12/1/09 (FSA Insured) (b) | 3,170 | 3,220 | ||
| 158,711 | |||
Colorado - 0.3% | ||||
Colorado Health Facilities Auth. Rev.: | ||||
(Adventist Health Sys. - Sunbelt Proj.): | ||||
Series 2006 E: | ||||
5% 11/15/11 | 2,110 | 2,154 | ||
5% 11/15/11 (Escrowed to Maturity) (f) | 120 | 130 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Colorado - continued | ||||
Colorado Health Facilities Auth. Rev.: - continued | ||||
(Adventist Health Sys. - Sunbelt Proj.): | ||||
Series 2006 F: | ||||
5% 11/15/12 | $ 380 | $ 387 | ||
5% 11/15/12 (Escrowed to Maturity) (f) | 845 | 930 | ||
(Volunteers of America Care Proj.) Series 2007 A, 5% 7/1/10 | 615 | 578 | ||
Denver City & County Arpt. Rev. Series 2001 A, 5.625% 11/15/12 (e) | 2,000 | 2,000 | ||
| 6,179 | |||
Connecticut - 1.8% | ||||
Connecticut Gen. Oblig.: | ||||
Series 2001 D, 5.125% 11/15/18 (Pre-Refunded to 11/15/11 @ 100) (f) | 5,000 | 5,399 | ||
Series 2006 F, 5% 12/1/11 | 23,100 | 24,949 | ||
Connecticut Spl. Tax Oblig. Trans. Infrastructure Rev. Series 1998 A, 5.5% 10/1/13 (FGIC Insured) | 4,300 | 4,815 | ||
| 35,163 | |||
District Of Columbia - 0.7% | ||||
District of Columbia Gen. Oblig. Series B, 0% 6/1/12 (MBIA Insured) | 3,600 | 3,243 | ||
District of Columbia Rev. (Medlantic/Helix Proj.) Series 1998 C: | ||||
4% 8/15/09 (FSA Insured) | 1,100 | 1,114 | ||
5% 8/15/15 (FSA Insured) | 1,500 | 1,534 | ||
District of Columbia Univ. Rev. (Georgetown Univ. Proj.) Series 2001 B, 4.7%, tender 4/1/18 (b) | 8,500 | 8,325 | ||
| 14,216 | |||
Florida - 4.3% | ||||
Brevard County School Board Ctfs. of Prtn. Series 1996 A, 5.5% 7/1/09 (AMBAC Insured) | 2,775 | 2,824 | ||
Broward County School Board Ctfs. of Prtn. Series 2008 A, 5% 7/1/15 (FSA Insured) | 5,495 | 5,790 | ||
Citizens Property Ins. Corp. Series 2007 A, 5% 3/1/11 (MBIA Insured) | 4,025 | 4,118 | ||
Escambia City Health Facilities Auth. Rev. (Ascension Health Cr. Group Proj.) Series 2003 A, 5.25% 11/15/13 | 4,265 | 4,414 | ||
Florida Gen. Oblig. (Dept. of Trans. Right-of-Way and Bridge Construction Proj.) Series 2005 B, 6.375% 7/1/13 | 8,020 | 9,184 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Florida - continued | ||||
Highlands County Health Facilities Auth. Rev.: | ||||
(Adventist Health Sys./Sunbelt, Inc. Prog.): | ||||
Series 2002, 3.95%, tender 9/1/12 (b) | $ 7,550 | $ 7,098 | ||
Series 2005 A, 5% 11/15/10 | 1,000 | 1,019 | ||
Series G: | ||||
5% 11/15/09 | 420 | 428 | ||
5% 11/15/09 (Escrowed to Maturity) (f) | 15 | 15 | ||
5% 11/15/10 | 385 | 392 | ||
5% 11/15/10 (Escrowed to Maturity) (f) | 15 | 16 | ||
5% 11/15/11 | 675 | 689 | ||
5% 11/15/11 (Escrowed to Maturity) (f) | 25 | 27 | ||
(Adventist Health Sys./Sunbelt, Inc. Prog.) Series 2008 A, 6.1%, tender 11/14/13 (b) | 1,000 | 1,002 | ||
Hillsborough County Indl. Dev. (H Lee Moffitt Cancer Ctr. Proj.) Series 2007 A, 5% 7/1/12 | 1,310 | 1,315 | ||
Hillsborough County Indl. Dev. Auth. Poll. Cont. Rev. (Tampa Elec. Co. Proj.): | ||||
Series 2006, 5%, tender 3/15/12 (AMBAC Insured) (b) | 1,500 | 1,539 | ||
Series 2007 B, 5.15%, tender 9/1/13 (b) | 1,750 | 1,683 | ||
Lakeland Hosp. Sys. Rev. (Reg'l. Health Systems Proj.) 5% 11/15/11 | 2,545 | 2,491 | ||
Lee County Solid Waste Sys. Rev. Series 2001, 5.25% 10/1/09 (MBIA Insured) (e) | 1,000 | 1,018 | ||
Lee Memorial Health Sys. Board of Directors Hosp. Rev. Series A, 5.75% 4/1/12 (FSA Insured) | 1,980 | 2,108 | ||
Miami-Dade County Cap. Asset Acquisition Series 2002 A, 5% 4/1/12 (AMBAC Insured) | 2,800 | 2,947 | ||
Miami-Dade County Health Facilities Auth. Hosp. Rev. (Miami Children's Hosp. Proj.) Series 2006 A, 4.125%, tender 8/1/11 (b) | 2,000 | 2,016 | ||
Miami-Dade County School Board Ctfs. of Prtn. Series 2003 B, 5%, tender 5/1/11 (MBIA Insured) (b) | 1,500 | 1,540 | ||
Miami-Dade County Wtr. & Swr. Rev. Series 2008 A, 5% 10/1/14 (FSA Insured) | 4,000 | 4,294 | ||
North Brevard County Hosp. District Rev. (Parrish Med. Ctr. Proj.) Series 2008: | ||||
3.5% 10/1/09 | 990 | 998 | ||
4.625% 10/1/12 | 1,110 | 1,082 | ||
Orange County Health Facilities Auth. Rev.: | ||||
(Adventist Health Sys./Sunbelt Obligated Group Proj.) Series 1992, 5.75% 11/15/12 (FSA Insured) | 2,615 | 2,618 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Florida - continued | ||||
Orange County Health Facilities Auth. Rev.: - continued | ||||
(Orlando Reg'l. Health Care Sys. Proj.) Series 2008 A, 5% 11/1/15 (FSA Insured) | $ 1,825 | $ 1,892 | ||
Polk County Cap. Impt. Rev.: | ||||
Series 2002, 5.5% 12/1/11 (FGIC Insured) | 3,470 | 3,684 | ||
Series 2004, 5.5%, tender 12/1/10 (FSA Insured) (b) | 9,000 | 9,550 | ||
Polk County School District Sales Tax Rev. Series 2007, 5% 10/1/12 (FSA Insured) | 6,080 | 6,547 | ||
Univ. Athletic Assoc., Inc. Athletic Prog. Rev. Series 2001, 3%, tender 10/1/09, LOC SunTrust Banks, Inc. (b) | 1,000 | 1,007 | ||
| 85,345 | |||
Georgia - 2.8% | ||||
Burke County Indl. Dev. Auth. Poll. Cont. Rev. (Oglethorpe Pwr. Corp. Proj.) 6.75%, tender 4/1/12 (b) | 7,600 | 7,669 | ||
Carroll County School District Series 2007, 5% 4/1/11 | 8,000 | 8,518 | ||
Georgia Muni. Elec. Auth. Pwr. Rev. Series 1992 B, 8.25% 1/1/11 (MBIA Insured) | 4,105 | 4,518 | ||
Henry County School District Series 2007 A, 5% 4/1/10 | 10,000 | 10,424 | ||
Main Street Natural Gas, Inc. Georgia Gas Proj. Rev. Series 2007 A, 5% 9/15/12 | 4,000 | 3,643 | ||
Monroe County Dev. Auth. Poll. Cont. Rev.: | ||||
(Georgia Pwr. Co. Plant Scherer Proj.) First Series, 4.5%, tender 4/1/11 (b) | 5,200 | 5,158 | ||
(Georgia Pwr. Co. Proj.) Series 2007 A, 4.75%, tender 4/1/11 (MBIA Insured) (b) | 5,705 | 5,755 | ||
Muni. Elec. Auth. of Georgia (Proj. One) Series 2008 A: | ||||
5% 1/1/13 | 2,000 | 2,101 | ||
5% 1/1/14 | 3,000 | 3,159 | ||
Walton County Series 2007: | ||||
5% 1/1/10 (FGIC Insured) | 2,000 | 2,065 | ||
5% 1/1/11 (FGIC Insured) | 3,000 | 3,136 | ||
| 56,146 | |||
Hawaii - 0.4% | ||||
Hawaii Arpts. Sys. Rev. Series 2000 B, 8% 7/1/10 (FGIC Insured) (e) | 3,850 | 4,060 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Hawaii - continued | ||||
Hawaii Gen. Oblig. Series CU: | ||||
5.75% 10/1/11 (MBIA Insured) | $ 3,040 | $ 3,215 | ||
5.75% 10/1/11 (Pre-Refunded to 10/1/10 @ 100) (f) | 170 | 182 | ||
| 7,457 | |||
Illinois - 7.6% | ||||
Chicago Board of Ed. Series 1997, 6.75% 12/1/10 (AMBAC Insured) | 4,160 | 4,423 | ||
Chicago Gen. Oblig.: | ||||
(City Colleges Proj.) Series 1999, 0% 1/1/17 (FGIC Insured) | 7,200 | 5,154 | ||
Series A: | ||||
5.25% 1/1/12 (Escrowed to Maturity) (f) | 825 | 907 | ||
5.25% 1/1/12 (FSA Insured) | 175 | 190 | ||
Chicago Midway Arpt. Rev. Series 2004 B: | ||||
5% 1/1/10 (AMBAC Insured) | 1,225 | 1,251 | ||
5% 1/1/11 (AMBAC Insured) | 3,625 | 3,739 | ||
Chicago O'Hare Int'l. Arpt. Rev.: | ||||
Series 1999, 5.5% 1/1/10 (AMBAC Insured) (e) | 2,900 | 2,961 | ||
Series 2008 A: | ||||
5% 1/1/12 (FSA Insured) | 3,500 | 3,645 | ||
5% 1/1/13 (FSA Insured) | 4,000 | 4,179 | ||
Series A, 5% 1/1/12 (MBIA Insured) | 1,165 | 1,216 | ||
Chicago Park District: | ||||
Series 2003 C, 5% 1/1/11 (AMBAC Insured) | 2,515 | 2,651 | ||
Series 2004 B, 5% 1/1/11 (AMBAC Insured) | 5,750 | 6,061 | ||
Chicago Transit Auth. Cap. Grant Receipts Rev.: | ||||
(Fed. Transit Administration Section 5307 Proj.) Series 2004 A, 5.25% 6/1/10 (AMBAC Insured) | 4,835 | 5,016 | ||
(Fed. Transit Administration Section 5309 Proj.) Series 2008 A: | ||||
5% 6/1/10 | 1,705 | 1,760 | ||
5% 6/1/13 | 3,765 | 3,997 | ||
Cook County Thorton Township High School District #205 5.5% 12/1/16 (Assured Guaranty Corp. Insured) | 2,500 | 2,648 | ||
Granite City Solid Waste Disp. Rev. (Waste Mgmt., Inc. Proj.) Series 2002, 4.875%, tender 5/3/10 (b)(e) | 5,500 | 5,408 | ||
Hodgkins Tax Increment Rev. Series 2005, 5% 1/1/09 | 1,805 | 1,805 | ||
Illinois Dev. Fin. Auth. Rev. (DePaul Univ. Proj.) Series 2004 C, 5.5% 10/1/10 | 1,900 | 1,986 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Illinois - continued | ||||
Illinois Edl. Facilities Auth. Revs.: | ||||
(Art Institute of Chicago Proj.) Series 2003, 3.85%, tender 3/1/11 (b) | $ 12,800 | $ 12,855 | ||
(Field Museum of Natural History Proj.) Series 2002, 4.05%, tender 11/1/11 (b) | 3,250 | 3,325 | ||
Illinois Fin. Auth. Hosp. Rev. (KishHealth Sys. Proj.) Series 2008, 5.25% 10/1/15 | 2,220 | 2,170 | ||
Illinois Fin. Auth. Rev.: | ||||
(DePaul Univ. Proj.) Series 2005 A, 5% 10/1/11 | 1,450 | 1,528 | ||
(Northwest Cmnty. Hosp. Proj.) Series 2008 A: | ||||
5% 7/1/12 | 750 | 771 | ||
5% 7/1/13 | 415 | 426 | ||
5% 7/1/15 | 1,000 | 1,016 | ||
(Rush Univ. Med. Ctr. Proj.) Series 2006 B: | ||||
5% 11/1/15 (MBIA Insured) | 3,075 | 3,054 | ||
5% 11/1/16 (MBIA Insured) | 1,700 | 1,652 | ||
Illinois Gen. Oblig.: | ||||
First Series 2001, 5.25% 5/1/11 (FSA Insured) | 1,515 | 1,614 | ||
First Series, 5.5% 8/1/10 | 1,495 | 1,565 | ||
Series 2002, 5.375% 7/1/11 (MBIA Insured) | 6,745 | 7,223 | ||
5.75% 4/1/12 (Pre-Refunded to 4/1/10 @ 100) (f) | 1,000 | 1,056 | ||
Illinois Health Facilities Auth. Rev.: | ||||
(Delnor Hosp. Proj.) Series 2003 A: | ||||
5% 5/15/15 (FSA Insured) | 2,250 | 2,393 | ||
5% 5/15/16 (FSA Insured) | 2,325 | 2,463 | ||
(Edward Hosp. Obligated Group Proj.) Series 2001 B, 5.125% 2/15/25 (Pre-Refunded to 2/15/11 @ 101) (f) | 8,500 | 9,203 | ||
Kane & DeKalb Counties Cmnty. Unit School District #301 Series 1995, 0% 12/1/10 (AMBAC Insured) | 2,000 | 1,903 | ||
Kane & DuPage Counties Cmnty. Unit School District #303, Saint Charles Series 2002 B, 5.5% 1/1/12 (FSA Insured) | 2,270 | 2,481 | ||
Kane County School District #129, Aurora West Side Series 2002 A, 5.75% 2/1/14 (Pre-Refunded to 2/1/12 @ 100) (f) | 1,600 | 1,787 | ||
Lake County Cmnty. High School District #128, Libertyville Series 2004, 5% 1/1/11 | 2,365 | 2,498 | ||
Madison County Cmnty. United School District #007 Series 2007 A, 5% 12/1/11 (FSA Insured) | 2,965 | 3,188 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Illinois - continued | ||||
Metropolitan Pier & Exposition Auth. Dedicated State Tax Rev.: | ||||
(McCormick Place Expansion Proj.) Series 1996 A, 0% 12/15/13 (MBIA Insured) | $ 2,725 | $ 2,289 | ||
Series 2002 A, 0% 6/15/14 (FGIC Insured) | 9,325 | 7,618 | ||
Series 2002, 0% 6/15/10 (Escrowed to Maturity) (f) | 5,000 | 4,877 | ||
Quincy Hosp. Rev. (Blessing Hosp. Proj.) Series 2007, 5% 11/15/10 | 1,285 | 1,296 | ||
Rosemont Gen. Oblig. Series 1993 A, 0% 12/1/11 (FGIC Insured) | 3,695 | 3,407 | ||
Univ. of Illinois Ctfs. of Prtn. (Util. Infrastructure Proj.) Series 2003, 5% 8/15/11 (AMBAC Insured) | 1,360 | 1,450 | ||
Univ. of Illinois Univ. Revs.: | ||||
(Auxiliary Facilities Sys. Proj.) Series 2005 A, 5% 4/1/11 (MBIA Insured) | 5,050 | 5,351 | ||
0% 4/1/14 | 2,350 | 1,929 | ||
| 151,385 | |||
Indiana - 2.6% | ||||
Carmel High School Bldg. Corp. Series 2005, 5% 1/10/11 (FSA Insured) | 1,000 | 1,058 | ||
Hamilton Southeastern Consolidated School Bldg. Corp.: | ||||
Series 2004: | ||||
5% 1/15/10 (FSA Insured) | 1,835 | 1,903 | ||
5% 1/15/11 (FSA Insured) | 1,910 | 1,994 | ||
5% 1/15/12 (FSA Insured) | 1,990 | 2,108 | ||
Series 2005 A: | ||||
5% 1/10/10 (FSA Insured) | 1,750 | 1,819 | ||
5.25% 7/10/11 (FSA Insured) | 2,295 | 2,428 | ||
5.25% 1/10/12 (FSA Insured) | 1,355 | 1,445 | ||
Indiana Fin. Auth. Health Sys. Rev. (Sisters of Saint Francis Health Svcs., Inc. Obligated Group Proj.) Series 2008 C, 5% 11/1/13 | 3,000 | 3,063 | ||
Indiana Fin. Auth. Rev. (Ascension Health Proj.) Series 2008 E7, 3.5%, tender 12/15/09 (b) | 5,000 | 5,039 | ||
Indiana Health Facility Fing. Auth. Rev. (Ascension Health Subordinate Cr. Proj.) Series 2005 A3, 5%, tender 7/1/11 (b) | 4,100 | 4,182 | ||
Indiana Univ. Student Fee Revs. Series H, 0% 8/1/09 (AMBAC Insured) | 3,875 | 3,836 | ||
Indianapolis Local Pub. Impt. Bond Bank (Wtrwks. Proj.) Series 2002 A, 5.5% 7/1/16 (Pre-Refunded to 7/1/12 @ 100) (f) | 5,000 | 5,621 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Indiana - continued | ||||
Ivy Tech State College Series I, 5% 7/1/09 (AMBAC Insured) | $ 1,405 | $ 1,425 | ||
Jasper County Indl. Poll. Ctl. Rev. (Northern Indiana Pub. Svc. Co. Proj.) Series 1988 B, 5.2% 6/1/13 (MBIA Insured) | 3,000 | 3,021 | ||
Logansport High School Bldg. Corp. Series 2005: | ||||
5.25% 1/15/11 (MBIA Insured) | 1,000 | 1,059 | ||
5.25% 7/15/11 (MBIA Insured) | 1,020 | 1,092 | ||
5.25% 1/15/12 (MBIA Insured) | 1,045 | 1,130 | ||
5.25% 7/15/12 (MBIA Insured) | 1,075 | 1,172 | ||
Muncie School Bldg. Corp. Series 2005, 5.25% 7/10/12 (MBIA Insured) | 1,585 | 1,733 | ||
New Albany Floyd County Independent School Bldg. Corp. Series 2005, 5% 1/15/11 (FSA Insured) | 1,000 | 1,058 | ||
Rockport Poll. Cont. Rev. (AEP Generating Co. Proj.) Series 1995 A, 4.15%, tender 7/15/11 (AMBAC Insured) (b) | 1,600 | 1,668 | ||
West Clark 2000 School Bldg. Corp. Series 2005: | ||||
5.25% 1/15/11 (MBIA Insured) | 1,065 | 1,129 | ||
5.25% 7/15/11 (MBIA Insured) | 1,125 | 1,206 | ||
5.25% 1/15/12 (MBIA Insured) | 1,150 | 1,246 | ||
| 51,435 | |||
Kansas - 0.1% | ||||
Kansas Dev. Fin. Auth. Health Facilities Rev. (Hays Med. Ctr. Proj.) Series 2005 L: | ||||
5.25% 11/15/10 | 545 | 554 | ||
5.25% 11/15/12 | 680 | 686 | ||
Olathe Health Facilities Rev. (Olathe Med. Ctr. Proj.) Series 2008 A, 4.125%, tender 3/1/13 (b) | 1,600 | 1,565 | ||
| 2,805 | |||
Kentucky - 0.4% | ||||
Kenton County Arpt. Board Arpt. Rev. Series 2003 B, 5% 3/1/09 (MBIA Insured) (e) | 1,185 | 1,188 | ||
Louisville/Jefferson County Metropolitan Govt. Poll. Cont. Rev. (Louisville Gas and Electronic Co. Proj.) Series 2005 A, 5.75%, tender 12/2/13 (b) | 6,000 | 6,007 | ||
| 7,195 | |||
Louisiana - 0.2% | ||||
East Baton Rouge Parish Pub. Impt. Sales Tax Rev. Series ST-2005 B, 5% 2/1/12 (AMBAC Insured) | 1,000 | 1,049 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Louisiana - continued | ||||
Ernest N. Morial-New Orleans Exhibit Hall Auth. Spl. Tax Series 2003 A, 5.25% 7/15/11 (Escrowed to Maturity) (f) | $ 2,060 | $ 2,238 | ||
Louisiana Military Dept. Custody Receipts 5% 8/1/10 | 1,530 | 1,580 | ||
| 4,867 | |||
Maryland - 2.3% | ||||
Baltimore Proj. Rev. (Wtr. Proj.) Series 2007 D: | ||||
5% 7/1/10 (AMBAC Insured) | 690 | 717 | ||
5% 7/1/11 (AMBAC Insured) | 1,985 | 2,098 | ||
Howard County Retirement Cmnty. Rev. (Vantage House Proj.) Series 2007 A, 4.5% 4/1/09 | 305 | 302 | ||
Maryland Gen. Oblig. (State & Local Facilities Ln. Prog.): | ||||
First Series 2005 B, 5.25% 2/15/12 | 20,000 | 21,930 | ||
First Series 2008, 5% 3/1/12 | 10,000 | 10,896 | ||
Maryland Health & Higher Edl. Facilities Auth. Rev.: | ||||
(Johns Hopkins Health Sys. Obligated Group Proj.) Series 2008 B, 5%, tender 5/15/15 (b) | 2,225 | 2,291 | ||
(Univ. of Maryland Med. Sys. Proj.) Series 2008 F: | ||||
5% 7/1/13 | 2,400 | 2,424 | ||
5% 7/1/14 | 3,500 | 3,520 | ||
Prince Georges County Ctfs. of Prtn. (Equip. Acquisition Prog.) Series 2004, 5.25% 5/15/10 (MBIA Insured) | 1,535 | 1,607 | ||
| 45,785 | |||
Massachusetts - 2.9% | ||||
Massachusetts Dept. of Agricultural Resources Higher Ed. Rev. Series 2006 A, 5% 1/1/11 | 1,000 | 1,008 | ||
Massachusetts Fed. Hwy. Series 2000 A, 5.75% 6/15/13 | 3,000 | 3,181 | ||
Massachusetts Gen. Oblig.: | ||||
Series 1999 C, 5.625% 9/1/12 (Pre-Refunded to 9/1/09 @ 101) (f) | 2,570 | 2,667 | ||
Series 2000 A, 6% 2/1/10 | 2,500 | 2,624 | ||
Series 2001 A, 5.5% 1/1/11 | 5,000 | 5,331 | ||
Series 2002 C, 5.25% 11/1/30 (Pre-Refunded to 11/1/12 @ 100) (f) | 2,495 | 2,748 | ||
Series 2003 C, 5.5% 10/1/10 (MBIA Insured) | 1,130 | 1,195 | ||
Massachusetts Port Auth. Spl. Facilities Rev. (Delta Air Lines, Inc. Proj.) Series 2001 A, 5.5% 1/1/12 (AMBAC Insured) (e) | 1,000 | 649 | ||
Massachusetts Spl. Oblig. Rev. (Fed. Hwy. Grant Anticipation Note Prog.) Series 2003 A, 5% 12/15/12 (FSA Insured) | 3,300 | 3,509 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Massachusetts - continued | ||||
Massachusetts Wtr. Resources Auth. Wtr. & Swr. Rev.: | ||||
Series 2000 A: | ||||
5.75% 8/1/30 (Pre-Refunded to 8/1/10 @ 101) (f) | $ 19,000 | $ 20,486 | ||
5.75% 8/1/39 (Pre-Refunded to 8/1/10 @ 101) (f) | 5,000 | 5,391 | ||
Series B, 5.2% 8/1/22 (Pre-Refunded to 8/1/11 @ 101) (f) | 8,350 | 9,142 | ||
| 57,931 | |||
Michigan - 2.6% | ||||
Allegan Pub. School District Series 2008, 5% 5/1/12 (MBIA Insured) | 1,590 | 1,720 | ||
Chelsea School District 5% 5/1/13 (MBIA Insured) | 1,750 | 1,915 | ||
Clarkston Cmnty. Schools Series 2008, 5% 5/1/12 (FSA Insured) | 3,000 | 3,265 | ||
Detroit City School District Series 2001 A, 5.5% 5/1/11 (FSA Insured) | 1,200 | 1,282 | ||
Detroit Swr. Disp. Rev.: | ||||
Series 2006 D, 3.201% 7/1/32 (b) | 4,095 | 2,213 | ||
Series A, 5.75% 7/1/26 (Pre-Refunded to 1/1/10 @ 101) (f) | 2,000 | 2,101 | ||
DeWitt Pub. Schools 5% 5/1/10 (MBIA Insured) | 1,280 | 1,321 | ||
Grand Haven Area Pub. Schools 5% 5/1/12 (FSA Insured) | 2,965 | 3,207 | ||
Grand Rapids Cmnty. College: | ||||
5% 5/1/12 (FSA Insured) | 1,305 | 1,420 | ||
5% 5/1/13 (FSA Insured) | 1,305 | 1,439 | ||
Kent Hosp. Fin. Auth. Hosp. Facilities Rev. (Spectrum Health Sys. Proj.) Series 2008 A, 5.25%, tender 1/15/14 (b) | 2,000 | 2,018 | ||
Lincoln Consolidated School District 5% 5/1/12 (FSA Insured) | 1,485 | 1,611 | ||
Michigan Bldg. Auth. Rev. (Facilities Prog.) Series I: | ||||
5.5% 10/15/09 | 2,705 | 2,786 | ||
5.5% 10/15/13 | 2,200 | 2,331 | ||
Michigan Gen. Oblig. (Envir. Protection Prog.) Series 1992, 6.25% 11/1/12 | 2,735 | 2,941 | ||
Michigan Hosp. Fin. Auth. Rev.: | ||||
(McLaren Health Care Corp. Proj.) Series 2008 A, 5.25% 5/15/14 | 4,160 | 4,185 | ||
(Oakwood Hosp. Proj.) Series 2007 A, 5% 7/15/11 | 2,700 | 2,664 | ||
Plymouth-Canton Cmnty. School District 5% 5/1/12 (FSA Insured) | 4,000 | 4,347 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Michigan - continued | ||||
Pontiac Tax Increment Fin. Auth. Series 2002, 6.25% 6/1/22 (Pre-Refunded to 6/1/12 @ 101) (f) | $ 2,260 | $ 2,599 | ||
Royal Oak City School District 5% 5/1/12 | 2,000 | 2,166 | ||
Troy School District 5% 5/1/11 (MBIA Insured) | 1,000 | 1,064 | ||
Wayne County Cmnty. College (College Facilities Impt. Proj.) 5.25% 7/1/09 (FGIC Insured) | 1,220 | 1,238 | ||
Wayne-Westland Cmnty. Schools 5% 5/1/10 (FSA Insured) | 1,225 | 1,267 | ||
| 51,100 | |||
Minnesota - 0.3% | ||||
Minneapolis & Saint Paul Hsg. & Redev. Auth. Health Care Sys. Rev. (HealthPartners Obligated Group Proj.) Series 2003, 5.25% 12/1/10 | 500 | 476 | ||
Minneapolis & Saint Paul Metropolitan Arpts. Commission Arpt. Rev. Series 2008 A, 5% 1/1/13 (e) | 1,000 | 995 | ||
Saint Louis Park Health Care Facilities Rev. (Park Nicollet Health Svcs. Proj.) Series 2008 C, 5.5% 7/1/10 | 2,000 | 2,030 | ||
Saint Paul Hsg. & Redev. Auth. Health Care Facilities Rev. (Healthpartners Oblig. Group Proj.) Series 2006: | ||||
5% 5/15/09 | 250 | 247 | ||
5% 5/15/10 | 200 | 192 | ||
5% 5/15/11 | 300 | 280 | ||
Saint Paul Port Auth. Lease Rev. (HealthEast Midway Campus Proj.) Series 2003 A, 5% 5/1/10 | 250 | 237 | ||
Waconia Independent School District #110 Series 2003 A, 5% 2/1/11 (FSA Insured) | 940 | 995 | ||
| 5,452 | |||
Mississippi - 0.3% | ||||
Mississippi Bus. Fin. Corp. Solid Waste Disp. Rev. (Waste Mgmt., Inc. Proj.) Series 2002, 4.4%, tender 3/1/11 (b)(e) | 1,100 | 1,000 | ||
Mississippi Dev. Bank Spl. Oblig. (Marshall County Correctional Facility Proj.) Series 2008 C, 5% 8/1/11 | 1,050 | 1,098 | ||
Mississippi Hosp. Equip. & Facilities Auth.: | ||||
(Mississippi Baptist Med. Ctr. Proj.) Series 2007 A: | ||||
5% 8/15/09 | 1,000 | 1,017 | ||
5% 8/15/11 | 1,000 | 1,004 | ||
(South Central Reg'l. Med. Ctr. Proj.) Series 2006, 5% 12/1/10 | 1,240 | 1,183 | ||
| 5,302 | |||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Missouri - 0.7% | ||||
Bi-State Dev. Agcy. Missouri Illinois Metropolitan District Rev. Series 2005 A, 3.95%, tender 10/1/09, LOC JPMorgan Chase Bank (b) | $ 6,600 | $ 6,710 | ||
Fenton Tax Increment Rev. (Gravois Bluffs Redev. Proj.) Series 2006, 5% 4/1/11 | 1,430 | 1,386 | ||
Kansas City School District Bldg. Corp. Rev. (School District Elementary School Proj.) Series 2003 B, 5% 2/1/11 (FGIC Insured) | 1,850 | 1,884 | ||
Lees Summit Indl. Dev. Auth. Sr. Living Facilities Rev. (John Knox Village Proj.) Series 2007 A, 5% 8/15/11 | 1,485 | 1,397 | ||
Saint Louis Arpt. Rev. Series 2003 A, 5.25% 7/1/11 (FSA Insured) | 1,000 | 1,036 | ||
Saint Louis County Indl. Dev. Auth. Sr. Living Facilities Rev. (Friendship Village West County Proj.) Series 2007 A, 5% 9/1/11 | 1,000 | 943 | ||
Saint Louis Muni. Fin. Corp. Leasehold Rev. (Callahan Courthouse Proj.) Series 2002 A, 5.75% 2/15/14 (Pre-Refunded to 2/15/12 @ 100) (f) | 1,050 | 1,171 | ||
| 14,527 | |||
Montana - 0.3% | ||||
Forsyth Poll. Cont. Rev. (Portland Gen. Elec. Co. Proj.) Series 1998 A, 5.2%, tender 5/1/09 (b) | 5,675 | 5,637 | ||
Nebraska - 0.5% | ||||
Central Plains Energy Proj. Rev. (Nebraska Gas Proj.) Series 2007 A, 5% 12/1/11 | 6,500 | 6,036 | ||
Nebraska Pub. Pwr. District Rev. Series B, 5% 1/1/12 (FSA Insured) | 3,500 | 3,757 | ||
| 9,793 | |||
Nevada - 3.8% | ||||
Clark County Arpt. Rev.: | ||||
Series 2003 C: | ||||
5% 7/1/09 (AMBAC Insured) (e) | 2,700 | 2,723 | ||
5% 7/1/10 (AMBAC Insured) (e) | 1,225 | 1,242 | ||
5% 7/1/11 (AMBAC Insured) (e) | 1,790 | 1,790 | ||
Series 2008 E: | ||||
5% 7/1/14 | 2,905 | 3,045 | ||
5% 7/1/15 | 3,500 | 3,672 | ||
Clark County Fuel Tax Series 2008, 5% 6/1/13 | 5,815 | 6,296 | ||
Clark County Hwy. Impt. Rev. (Motor Vehicle Fuel Tax) Series 2003, 5% 7/1/11 (AMBAC Insured) | 3,230 | 3,450 | ||
Clark County School District: | ||||
(Bldg. Proj.) Series 2008 A, 5% 6/15/12 | 10,000 | 10,693 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Nevada - continued | ||||
Clark County School District: - continued | ||||
Series 1998, 5.5% 6/15/13 (FSA Insured) | $ 5,000 | $ 5,503 | ||
Series 2000 A, 5.75% 6/15/17 (Pre-Refunded to 6/15/10 @ 100) (f) | 1,600 | 1,704 | ||
Series 2001 F, 5.375% 6/15/11 (FSA Insured) | 4,090 | 4,352 | ||
Series 2002 C, 5% 6/15/10 (MBIA Insured) | 1,075 | 1,122 | ||
Series 2005 A, 5% 6/15/16 (FGIC Insured) | 21,215 | 22,786 | ||
Lyon Co. School District Gen. Oblig. Series 2006, 5% 6/1/09 | 695 | 707 | ||
Nevada Gen. Oblig. Series 2002 A, 5% 4/1/11 (FSA Insured) | 4,015 | 4,253 | ||
Washoe County School District Gen. Oblig. Series 2004 B, 5% 6/1/10 (MBIA Insured) | 2,410 | 2,506 | ||
| 75,844 | |||
New Hampshire - 0.2% | ||||
New Hampshire Bus. Fin. Auth. Poll. Cont. Rev.: | ||||
(United Illumination Co.) Series A, 3.65%, tender 2/1/10 (AMBAC Insured) (b)(e) | 2,500 | 2,538 | ||
3.5%, tender 2/1/09 (b)(e) | 2,000 | 1,999 | ||
| 4,537 | |||
New Jersey - 5.0% | ||||
Camden County Impt. Auth. Health Care Redev. Rev. (Cooper Health Sys. Obligated Group Proj.) Series 2005 B, 5.25% 2/15/09 | 1,250 | 1,246 | ||
Garden State Preservation Trust Open Space & Farmland Preservation Series B, 6.375% 11/1/11 (MBIA Insured) | 7,470 | 8,294 | ||
New Jersey Econ. Dev. Auth. School Facilities Construction Rev.: | ||||
Series 2008 J4, 5%, tender 9/1/14 (FSA Insured) (b) | 7,000 | 7,538 | ||
Series 2008 W, 5% 3/1/15 | 10,000 | 10,686 | ||
New Jersey Gen. Oblig. Series H, 5.25% 7/1/12 (FGIC Insured) | 5,000 | 5,477 | ||
New Jersey Tpk. Auth. Tpk. Rev. Series 2000 A, 6% 1/1/11 (MBIA Insured) | 21,785 | 23,062 | ||
New Jersey Trans. Trust Fund Auth.: | ||||
Series B: | ||||
5.25% 12/15/10 (FGIC Insured) | 4,550 | 4,769 | ||
6.5% 6/15/11 (MBIA Insured) | 5,000 | 5,441 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
New Jersey - continued | ||||
New Jersey Trans. Trust Fund Auth.: - continued | ||||
Series C, 5.5% 12/15/10 (FSA Insured) | $ 25,000 | $ 26,276 | ||
New Jersey Transit Corp. Ctfs. of Prtn. Series A, 6% 9/15/13 (Pre-Refunded to 9/15/09 @ 100) (f) | 7,000 | 7,236 | ||
| 100,025 | |||
New Jersey/Pennsylvania - 0.3% | ||||
Delaware River Joint Toll Bridge Commission Pennsylvania-New Jersey Bridge Rev. Series 2003, 5% 7/1/09 | 5,170 | 5,256 | ||
New Mexico - 0.2% | ||||
Albuquerque Joint Wtr. & Swr. Sys. Rev. Series 1999 A, 5.25% 7/1/11 | 1,135 | 1,219 | ||
Farmington Poll. Cont. Rev. Series B, 3.55%, tender 4/1/10 (FGIC Insured) (b) | 1,900 | 1,898 | ||
| 3,117 | |||
New York - 16.5% | ||||
Albany Indl. Dev. Agcy. Civic Facility Rev. (St. Peters Hosp. Proj.) Series 2008 A, 5.5% 11/15/12 | 1,000 | 935 | ||
Grand Central District Mgmt. Assoc., Inc. Series 2004: | ||||
5% 1/1/10 | 1,200 | 1,243 | ||
5% 1/1/12 | 1,175 | 1,252 | ||
Long Island Pwr. Auth. Elec. Sys. Rev. Series 2006 F, 5% 5/1/11 (MBIA Insured) | 10,000 | 10,329 | ||
New York City Gen. Oblig.: | ||||
Series 1996 B, 6.5% 8/15/09 | 3,425 | 3,522 | ||
Series 1997 H, 6% 8/1/12 (FGIC Insured) | 1,000 | 1,094 | ||
Series 2000 A, 6.5% 5/15/11 | 155 | 164 | ||
Series 2001 G, 5.25% 8/1/14 (AMBAC Insured) | 1,000 | 1,040 | ||
Series 2002 A1, 5.25% 11/1/14 | 600 | 630 | ||
Series 2002 B, 5.75% 8/1/14 | 1,000 | 1,072 | ||
Series 2003 F, 5.5% 12/15/11 | 7,485 | 7,999 | ||
Series 2005 C, 5% 8/1/12 | 19,770 | 20,975 | ||
Series 2005 D, 5% 8/1/12 | 4,925 | 5,225 | ||
Series 2005 F1, 5% 9/1/15 | 3,560 | 3,805 | ||
Series 2005 G, 5.625% 8/1/13 (MBIA Insured) | 5,075 | 5,437 | ||
Series 2005 K: | ||||
5% 8/1/11 | 3,965 | 4,164 | ||
5% 8/1/12 | 4,360 | 4,626 | ||
Series 2005 O, 5% 6/1/12 | 7,525 | 7,973 | ||
Series 2008 E, 5% 8/1/12 | 5,000 | 5,305 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
New York - continued | ||||
New York City Muni. Wtr. Fin. Auth. Wtr. & Swr. Sys. Rev. 6% 6/15/33 (MBIA Insured) (Pre-Refunded to 6/15/10 @ 101) (f) | $ 10,000 | $ 10,605 | ||
New York City Transitional Fin. Auth. Rev.: | ||||
Series 2003 A: | ||||
5.5% 11/1/26 (a) | 3,500 | 3,668 | ||
6% 11/1/28 (a) | 44,300 | 47,013 | ||
Series 2003 B, 5.25% 2/1/29 (a) | 3,100 | 3,202 | ||
Series B, 5% 11/1/11 | 12,905 | 13,763 | ||
New York Dorm. Auth. Revs.: | ||||
(City Univ. Sys. Consolidation Proj.): | ||||
Series A: | ||||
5.75% 7/1/13 | 3,500 | 3,730 | ||
5.75% 7/1/13 (AMBAC Insured) | 1,000 | 1,066 | ||
Series C, 7.5% 7/1/10 | 8,560 | 8,962 | ||
(Mental Health Svcs. Facilities Proj.) Series 2008 D: | ||||
5% 2/15/14 | 7,295 | 7,739 | ||
5% 8/15/14 | 7,755 | 8,269 | ||
Series 2002 B, 5.25%, tender 5/15/12 (b) | 13,000 | 13,155 | ||
Series 2008 B, 5% 7/1/15 | 30,000 | 31,946 | ||
New York Local Govt. Assistance Corp. Series 2007 A, 5% 4/1/11 | 20,000 | 21,219 | ||
New York Metropolitan Trans. Auth. Rev.: | ||||
Series 2005 C: | ||||
5% 11/15/10 | 1,485 | 1,532 | ||
5% 11/15/11 | 2,750 | 2,866 | ||
Series 2008 B2, 5%, tender 11/15/12 (b) | 7,300 | 7,451 | ||
New York Thruway Auth. Second Gen. Hwy. & Bridge Trust Fund Series 2008 A, 5% 4/1/13 | 2,600 | 2,786 | ||
New York Thruway Auth. Svc. Contract Rev. Series 2002, 5.5% 4/1/11 | 10,000 | 10,561 | ||
New York Urban Dev. Corp. Rev. Series 2005 A, 5% 1/1/12 | 5,015 | 5,247 | ||
Niagara County Indl. Dev. Agcy. Solid Waste Disp. Rev. Series 2001 C, 5.625%, tender 11/15/14 (b)(e) | 2,450 | 2,028 | ||
Tobacco Settlement Asset Securitization Corp. Series 1, 5.5% 7/15/24 (Pre-Refunded to 7/15/12 @ 100) (f) | 6,295 | 6,831 | ||
Tobacco Settlement Fing. Corp.: | ||||
Series 2003 A1: | ||||
5.5% 6/1/14 | 3,965 | 3,983 | ||
5.5% 6/1/17 | 6,000 | 6,063 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
New York - continued | ||||
Tobacco Settlement Fing. Corp.: - continued | ||||
Series 2003 B1C: | ||||
5.5% 6/1/15 | $ 1,300 | $ 1,317 | ||
5.5% 6/1/17 | 4,200 | 4,244 | ||
Series 2004 B1, 5% 6/1/09 | 3,800 | 3,840 | ||
Series A1: | ||||
5% 6/1/10 | 1,325 | 1,353 | ||
5.25% 6/1/13 | 7,780 | 7,784 | ||
| 329,013 | |||
New York & New Jersey - 0.3% | ||||
Port Auth. of New York & New Jersey 124th Series, 5% 8/1/13 (FGIC Insured) (e) | 1,200 | 1,209 | ||
Port Auth. of New York & New Jersey Spl. Oblig. Rev. (JFK Int'l. Air Term. Spl. Proj.) Series 6, 6.25% 12/1/13 (MBIA Insured) (e) | 4,100 | 4,157 | ||
| 5,366 | |||
North Carolina - 0.8% | ||||
Charlotte-Mecklenburg Hosp. Auth. Health Care Sys. Rev. Series 2007 A: | ||||
5% 1/15/10 | 250 | 258 | ||
5% 1/15/11 | 750 | 767 | ||
5% 1/15/12 | 400 | 412 | ||
Nash Health Care Sys. Health Care Facilities Rev. Series 2003: | ||||
5% 11/1/13 (FSA Insured) | 1,500 | 1,611 | ||
5% 11/1/15 (FSA Insured) | 1,600 | 1,706 | ||
North Carolina Eastern Muni. Pwr. Agcy. Pwr. Sys. Rev.: | ||||
Series 2003 A, 5.5% 1/1/10 | 3,000 | 3,029 | ||
Series 2003 D, 5.375% 1/1/10 | 3,730 | 3,761 | ||
North Carolina Grant Anticipation Rev. Series 2007, 5% 3/1/11 | 5,000 | 5,302 | ||
| 16,846 | |||
North Dakota - 0.2% | ||||
Grand Forks Health Care Sys. Rev. (Altru Health Sys. Proj.) Series 2005: | ||||
5% 12/1/11 (Assured Guaranty Corp. Insured) | 1,575 | 1,616 | ||
5% 12/1/15 (Assured Guaranty Corp. Insured) | 1,825 | 1,816 | ||
Ward County Health Care Facility Rev. Series 2006, 5% 7/1/10 | 1,595 | 1,537 | ||
| 4,969 | |||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Ohio - 2.3% | ||||
Akron Bath Copley Hosp. District Rev. (Akron Gen. Health Systems Proj.) Series 2006 A, 5% 1/1/11 | $ 1,000 | $ 1,007 | ||
American Muni. Pwr. Electricity Purchase Rev. Series A, 5% 2/1/11 | 9,400 | 8,908 | ||
Cleveland Pub. Pwr. Sys. Rev. Series 1994 A: | ||||
0% 11/15/09 (Escrowed to Maturity) (f) | 1,050 | 1,039 | ||
0% 11/15/09 (MBIA Insured) | 1,200 | 1,177 | ||
Montgomery County Rev. (Catholic Health Initiatives Proj.) Series 2008 C2, 4.1%, tender 11/10/11 (b) | 2,700 | 2,678 | ||
Ohio Air Quality Dev. Auth. Rev.: | ||||
(FirstEnergy Nuclear Generation Corp. Proj.) Series 2008 C, 7.25%, tender 11/1/12 (b)(e) | 9,000 | 9,008 | ||
Series 2008 A, 7.125%, tender 6/1/10 (b)(e) | 7,500 | 7,500 | ||
Ohio Gen. Oblig. (Higher Ed. Proj.) Series 2005 C, 5% 8/1/13 | 4,495 | 4,963 | ||
Ohio Higher Edl. Facility Commission Rev. (Cleveland Clinic Foundation Proj.) Series 2008 A, 5% 1/1/15 | 2,000 | 2,029 | ||
Ross County Hosp. Facilities Rev. (Adena Health Sys. Proj.) Series 2008: | ||||
5% 12/1/12 | 1,950 | 1,954 | ||
5% 12/1/13 | 875 | 872 | ||
5% 12/1/14 | 2,275 | 2,231 | ||
Univ. of Cincinnati Gen. Receipts Series A, 5.5% 6/1/09 (FGIC Insured) | 2,000 | 2,029 | ||
| 45,395 | |||
Oklahoma - 0.7% | ||||
Cherokee County Econ. Dev. Auth. Series A, 0% 11/1/11 (Escrowed to Maturity) (f) | 1,000 | 930 | ||
Grand River Dam Auth. Rev. Series 1995, 6.25% 6/1/11 (AMBAC Insured) | 8,940 | 9,641 | ||
Norman Reg'l. Hosp. Auth. Hosp. Rev. Series 2007, 5% 9/1/12 (Radian Asset Assurance, Inc. Insured) | 1,035 | 1,006 | ||
Oklahoma Dev. Fin. Auth. Health Sys. Rev. (Integris Baptist Med. Ctr. Proj.) Series 2008 B, 5% 8/15/14 | 1,660 | 1,683 | ||
Oklahoma Dev. Fin. Auth. Rev. (Saint John Health Sys. Proj.) Series 2007, 5% 2/15/13 | 430 | 443 | ||
| 13,703 | |||
Oregon - 0.4% | ||||
Beaverton Wtr. Rev. Series 2004 B, 5% 6/1/10 (FSA Insured) | 1,210 | 1,254 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Oregon - continued | ||||
Oregon Dept. Administrative Svcs. Ctfs. of Prtn. Series 2004 B: | ||||
5% 5/1/09 (FSA Insured) | $ 600 | $ 607 | ||
5% 5/1/11 (FSA Insured) | 1,000 | 1,050 | ||
Tri-County Metropolitan Trans. District Rev. Series 2006, 5% 5/1/11 (MBIA Insured) | 5,000 | 5,287 | ||
| 8,198 | |||
Pennsylvania - 3.5% | ||||
Allegheny County Arpt. Rev. (Pittsburgh Int'l. Arpt. Proj.) Series A1, 5.75% 1/1/12 (MBIA Insured) (e) | 1,300 | 1,309 | ||
Allegheny County Hosp. Dev. Auth. Rev. (Pittsburgh Med. Ctr. Proj.): | ||||
Series 2008 A, 5% 9/1/12 | 6,615 | 6,754 | ||
Series 2008 B, 5% 6/15/14 | 1,385 | 1,403 | ||
Allegheny County Sanitation Auth. Swr. Rev. Series 2000, 6% 12/1/11 (MBIA Insured) | 1,495 | 1,586 | ||
Delaware County Auth. Hosp. Rev. (Crozer Keystone Oblig. Group Proj.) Series B: | ||||
5% 12/15/09 | 2,565 | 2,502 | ||
5% 12/15/11 | 2,835 | 2,611 | ||
Luzerne County Indl. Dev. Auth. Wtr. Facilities Rev. | 10,000 | 9,965 | ||
Pennsylvania Econ. Dev. Fing. Auth. Exempt Facilities Rev. (Shippingport Proj.) Series 2002 A, 4.35%, tender 6/1/10 (b)(e) | 2,100 | 2,100 | ||
Pennsylvania Indl. Dev. Auth. Rev. Series 2002, 5.25% 7/1/10 (AMBAC Insured) | 2,750 | 2,848 | ||
Philadelphia Gen. Oblig.: | ||||
Series 2007 A: | ||||
5% 8/1/11 (FSA Insured) | 3,570 | 3,708 | ||
5% 8/1/12 (FSA Insured) | 5,000 | 5,229 | ||
Series 2008 A: | ||||
5% 12/15/14 (FSA Insured) | 5,370 | 5,790 | ||
5% 12/15/15 (FSA Insured) | 5,000 | 5,379 | ||
5% 12/15/16 (FSA Insured) | 7,275 | 7,796 | ||
Philadelphia Muni. Auth. Rev. Series B, 5.25% 11/15/11 (FSA Insured) | 3,400 | 3,533 | ||
Philadelphia School District: | ||||
Series 2005 D, 5.25% 6/1/12 (FSA Insured) | 1,465 | 1,534 | ||
Series B, 5% 4/1/11 (AMBAC Insured) | 2,160 | 2,227 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Pennsylvania - continued | ||||
Pittsburgh School District Series A, 5% 9/1/09 (MBIA Insured) | $ 1,600 | $ 1,633 | ||
Westmoreland County Muni. Auth. Muni. Svc. Rev. Series K, 0% 7/1/12 (Escrowed to Maturity) (f) | 2,355 | 2,140 | ||
| 70,047 | |||
Puerto Rico - 1.0% | ||||
Puerto Rico Convention Ctr. District Auth. Hotel Occupancy Tax Rev. Series 2006 A, 5% 7/1/10 | 2,000 | 1,966 | ||
Puerto Rico Govt. Dev. Bank: | ||||
Series 2006 B, 5% 12/1/12 | 1,000 | 959 | ||
Series B, 5% 12/1/10 | 8,000 | 7,830 | ||
Univ. of Puerto Rico: | ||||
Series P, 5% 6/1/11 | 5,760 | 5,613 | ||
Series Q, 5% 6/1/11 | 4,825 | 4,702 | ||
| 21,070 | |||
Rhode Island - 0.1% | ||||
Providence Spl. Oblig. Series 2005 E: | ||||
5% 6/1/09 (Radian Asset Assurance, Inc. Insured) | 1,315 | 1,326 | ||
5% 6/1/10 (Radian Asset Assurance, Inc. Insured) | 1,180 | 1,170 | ||
| 2,496 | |||
South Carolina - 0.5% | ||||
Greenville County Pub. Facilities Corp. Ctfs. of Prtn. (Courthouse and Detention Proj.) Series 2005, 5% 4/1/10 (AMBAC Insured) | 1,450 | 1,512 | ||
Greenville County School District Installment Purp. Rev. 5% 12/1/10 | 1,455 | 1,527 | ||
Lexington One School Facilities Corp. Rev. (Lexington County School District No. 1 Proj.) Series 2006, 5% 12/1/09 | 550 | 567 | ||
South Carolina Pub. Svc. Auth. Rev.: | ||||
Series 2005 B, 5% 1/1/10 (MBIA Insured) | 3,000 | 3,114 | ||
Series A, 5.5% 1/1/11 (MBIA Insured) | 3,000 | 3,119 | ||
Spartanburg County School District #5 Pub. Facilities Corp. Ctfs. of Prtn. Series 2004, 5% 7/1/09 (FSA Insured) | 1,000 | 1,016 | ||
| 10,855 | |||
Tennessee - 0.7% | ||||
Clarksville Natural Gas Acquisition Corp. Gas Rev. Series 2006, 5% 12/15/09 | 7,185 | 7,054 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Tennessee - continued | ||||
Elizabethton Health & Edl. Facilities Board Rev. (First Mtg. Prog.) Series 2000 B, 6% 7/1/11 (Escrowed to Maturity) (f) | $ 2,005 | $ 2,100 | ||
Jackson Hosp. Rev. (Jackson-Madison County Gen. Hosp. Proj.) Series 2008, 5% 4/1/13 | 1,000 | 1,012 | ||
Maury County Gen. Oblig. Series 2004 B, 5% 4/1/10 (MBIA Insured) | 2,000 | 2,069 | ||
Memphis-Shelby County Arpt. Auth. Arpt. Rev. Series 2003 A, 4.5% 9/1/09 (MBIA Insured) | 1,685 | 1,706 | ||
| 13,941 | |||
Texas - 10.5% | ||||
Alief Independent School District Series 2004 B, 5% 2/15/10 | 1,500 | 1,563 | ||
Austin Cmnty. College District Pub. Facilities Lease Rev. (Round Rock Campus Proj.) Series 2008, 5.25% 8/1/15 | 2,585 | 2,858 | ||
Austin Convention Enterprises, Inc. (Convention Ctr. Proj.): | ||||
Series 2006 A, 6% 1/1/14 | 1,420 | 1,178 | ||
Series 2006 B: | ||||
6% 1/1/12 | 500 | 447 | ||
6% 1/1/13 | 1,270 | 1,094 | ||
Austin Elec. Util. Sys. Rev. Series 2007: | ||||
5% 11/15/10 (FSA Insured) | 3,000 | 3,127 | ||
5% 11/15/11 (FSA Insured) | 4,000 | 4,288 | ||
Austin Util. Sys. Rev. Series 1992 A: | ||||
0% 11/15/09 (MBIA Insured) | 5,130 | 5,036 | ||
0% 11/15/10 (MBIA Insured) | 5,300 | 5,060 | ||
Bexar County Gen. Oblig. Series 2004 A, 5% 6/15/10 (FSA Insured) | 1,000 | 1,047 | ||
Birdville Independent School District: | ||||
Series 2003, 5% 2/15/10 | 1,300 | 1,354 | ||
0% 2/15/11 | 5,000 | 4,754 | ||
Brownsville Independent School District Series 2005, 5% 8/15/11 | 1,430 | 1,532 | ||
Brownsville Util. Sys. Rev. Series 2008 A, 5% 9/1/15 (FSA Insured) | 2,665 | 2,982 | ||
Bryan Wtrwks. & Swr. Sys. Rev. Series 2001, 5.5% 7/1/11 (FSA Insured) | 1,500 | 1,622 | ||
College Station Independent School District Series 2004, 5% 2/15/10 | 1,000 | 1,042 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Texas - continued | ||||
Denton County Gen. Oblig. Series 2005 A, 5% 7/15/11 (FSA Insured) | $ 3,065 | $ 3,275 | ||
Fort Bend Independent School District Series 2005, 5%, tender 8/15/09 (b) | 5,000 | 5,083 | ||
Fort Worth Independent School District Series 2005, 5% 2/15/12 | 1,500 | 1,624 | ||
Frisco Gen. Oblig. Series 2003 A, 5% 2/15/10 (FSA Insured) | 1,710 | 1,777 | ||
Harris County Gen. Oblig. (Road Proj.) Series 2008 B: | ||||
5% 8/15/13 | 1,000 | 1,100 | ||
5% 8/15/14 | 1,075 | 1,188 | ||
Harris County Health Facilities Dev. Corp. Rev. (Saint Luke's Episcopal Hosp. Proj.) Series 2001 A, 5.5% 2/15/09 | 3,710 | 3,727 | ||
Houston Cmnty. College Sys. Rev. Series 2005: | ||||
5.25% 4/15/11 (FSA Insured) | 3,030 | 3,242 | ||
5.25% 4/15/12 (FSA Insured) | 2,000 | 2,186 | ||
Houston Gen. Oblig.: | ||||
Series 2007 B, 5% 3/1/12 (MBIA Insured) | 3,575 | 3,842 | ||
Series A, 5% 3/1/13 (MBIA Insured) | 7,500 | 8,161 | ||
Houston Util. Sys. Rev.: | ||||
Series 2004 A, 5.25% 5/15/10 (MBIA Insured) | 2,835 | 2,943 | ||
Series 2005 A, 5.25% 11/15/11 (FSA Insured) | 4,430 | 4,805 | ||
Series 2005 C1, 5%, tender 5/15/11 (AMBAC Insured) (b) | 5,100 | 5,326 | ||
Katy Independent School District Series A, 5.25% 2/15/12 | 2,000 | 2,180 | ||
Lubbock Gen. Oblig.: | ||||
(Wtrwks. Sys. Surplus Proj.) Series 2005, 5% 2/15/11 (FSA Insured) | 2,465 | 2,613 | ||
Series 2004, 5% 2/15/10 (MBIA Insured) | 1,845 | 1,915 | ||
Magnolia Independent School District Series 2005, 8% 8/15/11 (FGIC Insured) | 1,210 | 1,368 | ||
Montgomery County Gen. Oblig. Series 2006 B, 5%, tender 9/1/10 (FSA Insured) (b) | 1,750 | 1,827 | ||
North Texas Tollway Auth. Rev. Series 2008 H2, 5%, tender 1/1/13 (b) | 5,000 | 4,982 | ||
Northside Independent School District Series 2007 A, 3.78%, tender 6/1/09 (b) | 5,000 | 5,043 | ||
Sabine River Auth. Poll. Cont. Rev. (Texas Utils. Elec. Co. Proj.) Series A, 5.5%, tender 11/1/11 (b) | 1,000 | 820 | ||
San Angelo Wtrwks. & Swr. Sys. Impt. and Rfdg. Rev. Series 2001, 5% 4/1/10 (FSA Insured) | 1,630 | 1,680 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Texas - continued | ||||
San Antonio Elec. & Gas Sys. Rev.: | ||||
Series 2000 A, 5.75% 2/1/15 (Pre-Refunded to 2/1/10 @ 100) (f) | $ 5,000 | $ 5,223 | ||
Series B: | ||||
0% 2/1/09 (Escrowed to Maturity) (f) | 2,500 | 2,498 | ||
0% 2/1/10 (Escrowed to Maturity) (f) | 14,000 | 13,759 | ||
San Antonio Muni. Drainage Util. Sys. Rev. Series 2005, 5.25% 2/1/12 (MBIA Insured) | 1,545 | 1,677 | ||
San Antonio Wtr. Sys. Rev.: | ||||
Series 2004, 5% 5/15/10 (FGIC Insured) | 1,020 | 1,063 | ||
Series 2007, 5% 5/15/12 (FGIC Insured) | 7,000 | 7,534 | ||
Spring Branch Independent School District Series 2001: | ||||
5.375% 2/1/14 | 1,090 | 1,145 | ||
5.375% 2/1/14 (Pre-Refunded to 2/1/11 @ 100) (f) | 1,700 | 1,830 | ||
Tarrant County Cultural Ed. Facilities Fin. Corp. Retirement Facility Rev. (Buckner Retirement Svcs. Proj.) Series 2007, 5% 11/15/09 | 1,000 | 1,022 | ||
Tarrant County Cultural Ed. Facilities Fin. Corp. Rev. (Christus Health Proj.) Series 2008 A, 5.75% 7/1/18 (Assured Guaranty Corp. Insured) | 5,000 | 5,073 | ||
Tarrant County Health Facilities Dev. Corp. Hosp. Rev. (Cook Children's Med. Ctr. Proj.) Series 2000 B, ARS 0.125%, tender 1/2/09 (FSA Insured) (b) | 575 | 518 | ||
Texas Gen. Oblig.: | ||||
(College Student Ln. Prog.) Series 1997, 5% 8/1/11 (e) | 3,000 | 3,093 | ||
Series C, 0% 4/1/09 (Escrowed to Maturity) (f) | 2,320 | 2,313 | ||
0% 10/1/13 | 6,500 | 5,603 | ||
Texas Pub. Fin. Auth. Bldg. Rev. Series 2007, 5% 2/1/11 (AMBAC Insured) | 1,550 | 1,639 | ||
Texas Pub. Fin. Auth. Rev. (Bldg. and Procurement Commission Proj.) Series 2004 A, 5% 2/1/10 (AMBAC Insured) | 1,055 | 1,095 | ||
Texas Tech Univ. Revs. Ninth Series, 5% 2/15/11 (AMBAC Insured) | 1,250 | 1,323 | ||
Texas Trans. Commission State Hwy. Fund Rev. Series 2007, 5% 4/1/12 | 4,000 | 4,339 | ||
Texas Wtr. Dev. Board Rev. Series 2007 B, 5% 7/15/11 | 2,780 | 2,974 | ||
Titus County Fresh Wtr. Supply District #1 Poll. Cont. Rev. (Southwestern Elec. Pwr. Co. Proj.) Series 2008, 4.5% 7/1/11 | 3,000 | 2,943 | ||
Travis County Gen. Oblig. 5.25% 3/1/12 | 4,125 | 4,499 | ||
Trinity River Auth. Reg'l. Wastewtr. Sys. Rev. Series 2008, 5% 8/1/13 | 6,135 | 6,718 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Texas - continued | ||||
Univ. of Texas Board of Regents Sys. Rev. Series 2003 B, 5% 8/15/33 (Pre-Refunded to 8/15/13 @ 100) (f) | $ 15,000 | $ 16,733 | ||
Wichita Falls Independent School District Series 1994, 0% 2/1/10 | 2,325 | 2,283 | ||
Ysleta Independent School District Series 1993, 0% 8/15/09 | 4,065 | 4,031 | ||
| 210,619 | |||
Utah - 0.6% | ||||
Salt Lake County Wtr. Conservancy District Rev. Series A: | ||||
0% 10/1/11 (AMBAC Insured) | 3,800 | 3,520 | ||
0% 10/1/12 (AMBAC Insured) | 3,800 | 3,387 | ||
0% 10/1/13 (AMBAC Insured) | 3,760 | 3,211 | ||
Utah Bldg. Ownership Auth. Lease Rev. (State Facilities Master Lease Prog.) Series A, 5% 5/15/11 | 1,700 | 1,812 | ||
| 11,930 | |||
Vermont - 0.2% | ||||
Vermont Edl. & Health Bldg. Fin. Agcy. Rev. (Fletcher Allen Health Care Proj.) Series 2004 B: | ||||
4% 12/1/09 (FSA Insured) | 1,000 | 1,009 | ||
5% 12/1/15 (FSA Insured) | 2,225 | 2,331 | ||
| 3,340 | |||
Virginia - 0.5% | ||||
Chesapeake Econ. Dev. Auth. Poll. Cont. Rev. (Elec. & Pwr. Co. Proj.) Series 2008 A, 3.6%, tender 2/1/13 (b) | 1,800 | 1,693 | ||
Louisa Indl. Dev. Auth. Poll. Cont. Rev. (Virginia Elec. & Pwr. Co. Proj.) Series 2008 B, 5.375%, tender 12/2/13 (b) | 8,000 | 8,046 | ||
| 9,739 | |||
Washington - 1.0% | ||||
Chelan County Pub. Util. District #1 Rev. Series 2004 B, 5% 7/1/11 (FGIC Insured) | 1,190 | 1,270 | ||
Clark County Pub. Util. District #1 Elec. Rev.: | ||||
5% 1/1/11 (MBIA Insured) | 1,680 | 1,773 | ||
5.25% 1/1/11 (FSA Insured) | 1,935 | 2,048 | ||
King County School District #401 Highline Pub. Schools Series 2002, 5.5% 12/1/17 | 5,100 | 5,433 | ||
King County School District #409, Tahoma 5% 6/1/11 (FSA Insured) | 1,740 | 1,858 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Washington - continued | ||||
Port of Seattle Rev. Series 2001 D, 5.75% 11/1/15 (FGIC Insured) (e) | $ 3,640 | $ 3,664 | ||
Snohomish County Pub. Hosp. District #2 (Stevens Health Care Proj.) 4.5% 12/1/09 (FGIC Insured) | 1,000 | 1,022 | ||
Snohomish County School District #2, Everett Series 2004, 5% 6/1/10 (FSA Insured) | 1,000 | 1,041 | ||
Vancouver Wtr. & Swr. Rev. 5.25% 6/1/11 (FSA Insured) | 1,000 | 1,073 | ||
Washington Gen. Oblig. Series A, 5% 7/1/11 (FGIC Insured) | 1,000 | 1,066 | ||
| 20,248 | |||
West Virginia - 0.3% | ||||
West Virginia Econ. Developement Auth. Solid Waste Disp. Facilities Rev. (Appalachian Pwr. Co. Proj.) Series 2008 E, 7.125%, tender 6/1/10 (b)(e) | 7,000 | 6,999 | ||
Wisconsin - 0.6% | ||||
Milwaukee County Gen. Oblig. Series A, 0% 12/1/10 (FGIC Insured) | 3,370 | 3,200 | ||
Wisconsin Gen. Oblig. Series 1, 5% 5/1/10 (MBIA Insured) | 2,500 | 2,597 | ||
Wisconsin Health & Edl. Facilities Auth. Rev.: | ||||
(Marshfield Clinic Proj.): | ||||
Series 2001 B, 6.25% 2/15/10 | 1,015 | 996 | ||
Series 2006 A, 5% 2/15/13 | 875 | 771 | ||
(Wheaton Franciscan Healthcare Sys. Proj.): | ||||
Series 2002, 5.75% 8/15/11 | 1,000 | 941 | ||
Series 2003 A, 5% 8/15/10 | 1,870 | 1,759 | ||
Series 2006 A, 5% 8/15/11 | 1,315 | 1,215 | ||
| 11,479 | |||
TOTAL MUNICIPAL BONDS (Cost $1,854,089) | 1,863,940 |
Money Market Funds - 0.0% | |||
Shares | Value (000s) | ||
Fidelity Municipal Cash Central Fund, 1.27% (c)(d) | 900 | $ 1 | |
TOTAL INVESTMENT PORTFOLIO - 93.3% (Cost $1,854,090) | 1,863,941 | ||
NET OTHER ASSETS - 6.7% | 134,330 | ||
NET ASSETS - 100% | $ 1,998,271 |
Legend |
(a) Security initially issued at one coupon which converts to a higher coupon at a specified date. The rate shown is the rate at period end. |
(b) The coupon rate shown on floating or adjustable rate securities represents the rate at period end. |
(c) Information in this report regarding holdings by state and security types does not reflect the holdings of the Fidelity Municipal Cash Central Fund. |
(d) Affiliated fund that is available only to investment companies and other accounts managed by Fidelity Investments. The rate quoted is the annualized seven-day yield of the fund at period end. A complete unaudited listing of the fund's holdings as of its most recent quarter end is available upon request. |
(e) Private activity obligations whose interest is subject to the federal alternative minimum tax for individuals. |
(f) Security collateralized by an amount sufficient to pay interest and principal. |
(g) Restricted securities - Investment in securities not registered under the Securities Act of 1933 (excluding 144A issues). At the end of the period, the value of restricted securities (excluding 144A issues) amounted to $8,507,000 or 0.4% of net assets. |
Additional information on each holding is as follows: |
Security | Acquisition Date | Acquisition Cost (000s) |
Univ. of California Revs. (UCLA Med. Ctr. Proj.) 4.55% 12/1/09 (Escrowed to Maturity) | 3/6/02 | $ 8,230 |
Other Information |
The following is a summary of the inputs used, as of December 31, 2008, involving the Fund's assets carried at value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the tables below, please refer to the Security Valuation section in the accompanying Notes to Financial Statements. |
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
Investments in Securities | $ 1,863,941 | $ 1 | $ 1,863,422 | $ 518 |
The following is a reconciliation of assets for which Level 3 inputs were used in determining value: |
(Amounts in thousands) | Investments in Securities |
Beginning Balance | $ - |
Total Realized Gain (Loss) | 1 |
Total Unrealized Gain (Loss) | (45) |
Cost of Purchases | 612 |
Proceeds of Sales | (50) |
Amortization/Accretion | - |
Transfer in/out of Level 3 | - |
Ending Balance | $ 518 |
The information used in the above reconciliation represents fiscal year to date activity for any Investment Securities identified as using Level 3 inputs at either the beginning or the end of the current fiscal period. Transfers in or out of Level 3 represents either the beginning value (for transfers in), or the ending value (for transfers out) of any Security or Instrument where a change in the pricing level occurred from the beginning to the end of the period. |
The distribution of municipal securities by revenue source, as a percentage of total net assets, is as follows: (unaudited) |
General Obligations | 41.2% |
Special Tax | 9.9% |
Escrowed/Pre-Refunded | 9.5% |
Electric Utilities | 9.0% |
Health Care | 7.8% |
Transportation | 6.3% |
Others* (individually less than 5%) | 16.3% |
| 100.0% |
*Includes cash equivalents and net other assets |
Income Tax Information |
At December 31, 2008, the fund had a capital loss carryforward of approximately $2,368,000 of which $921,000 and $1,447,000 will expire on December 31, 2014 and 2015, respectively. |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Statements
Statement of Assets and Liabilities
Amounts in thousands (except per-share amounts) | December 31, 2008 | |
|
|
|
Assets | ||
Investment in securities, at value - See accompanying schedule: Unaffiliated issuers (cost $1,854,089) | $ 1,863,940 |
|
Fidelity Central Funds (cost $1) | 1 |
|
Total Investments (cost $1,854,090) |
| $ 1,863,941 |
Cash | 113,787 | |
Receivable for fund shares sold | 5,046 | |
Interest receivable | 23,221 | |
Prepaid expenses | 19 | |
Other receivables | 34 | |
Total assets | 2,006,048 | |
|
|
|
Liabilities | ||
Payable for fund shares redeemed | $ 4,911 | |
Distributions payable | 1,644 | |
Accrued management fee | 598 | |
Transfer agent fee payable | 450 | |
Distribution fees payable | 31 | |
Other affiliated payables | 87 | |
Other payables and accrued expenses | 56 | |
Total liabilities | 7,777 | |
|
|
|
Net Assets | $ 1,998,271 | |
Net Assets consist of: |
| |
Paid in capital | $ 1,990,869 | |
Distributions in excess of net investment income | (81) | |
Accumulated undistributed net realized gain (loss) on investments | (2,368) | |
Net unrealized appreciation (depreciation) on investments | 9,851 | |
Net Assets | $ 1,998,271 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Statement of Assets and Liabilities - continued
Amounts in thousands (except per-share amounts) | December 31, 2008 | |
|
|
|
Calculation of Maximum Offering Price Class A: | $ 10.35 | |
|
|
|
Maximum offering price per share (100/97.25 of $10.35) | $ 10.64 | |
Class T: | $ 10.34 | |
|
|
|
Maximum offering price per share (100/97.25 of $10.34) | $ 10.63 | |
Class B: | $ 10.35 | |
|
|
|
Class C: | $ 10.33 | |
|
|
|
Short-Intermediate Municipal Income: | $ 10.34 | |
|
|
|
Institutional Class: | $ 10.34 |
A Redemption price per share is equal to net asset value less any applicable contingent deferred sales charge.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Statements - continued
Statement of Operations
Amounts in thousands | Year ended December 31, 2008 | |
|
|
|
Investment Income |
|
|
Interest |
| $ 66,045 |
|
|
|
Expenses | ||
Management fee | $ 6,688 | |
Transfer agent fees | 1,699 | |
Distribution fees | 224 | |
Accounting fees and expenses | 336 | |
Custodian fees and expenses | 27 | |
Independent trustees' compensation | 8 | |
Registration fees | 170 | |
Audit | 53 | |
Legal | 7 | |
Miscellaneous | 11 | |
Total expenses before reductions | 9,223 | |
Expense reductions | (418) | 8,805 |
Net investment income | 57,240 | |
Realized and Unrealized Gain (Loss) Net realized gain (loss) on: | ||
Investment securities: |
|
|
Unaffiliated issuers | 4,354 | |
Swap agreements | 295 |
|
Total net realized gain (loss) |
| 4,649 |
Change in net unrealized appreciation (depreciation) on: Investment securities | (3,088) | |
Swap agreements | (341) | |
Total change in net unrealized appreciation (depreciation) |
| (3,429) |
Net gain (loss) | 1,220 | |
Net increase (decrease) in net assets resulting from operations | $ 58,460 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Statement of Changes in Net Assets
Amounts in thousands | Year ended | Year ended |
Increase (Decrease) in Net Assets |
|
|
Operations |
|
|
Net investment income | $ 57,240 | $ 50,145 |
Net realized gain (loss) | 4,649 | (928) |
Change in net unrealized appreciation (depreciation) | (3,429) | 20,276 |
Net increase (decrease) in net assets resulting | 58,460 | 69,493 |
Distributions to shareholders from net investment income | (57,229) | (50,136) |
Share transactions - net increase (decrease) | 313,662 | 143,977 |
Redemption fees | 113 | 16 |
Total increase (decrease) in net assets | 315,006 | 163,350 |
|
|
|
Net Assets | ||
Beginning of period | 1,683,265 | 1,519,915 |
End of period (including distributions in excess of net investment income of $81 and distributions in excess of net investment income of $92, respectively) | $ 1,998,271 | $ 1,683,265 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Highlights - Class A
Years ended December 31, | 2008 | 2007 | 2006 | 2005 | 2004 |
Selected Per-Share Data |
|
|
|
|
|
Net asset value, beginning of period | $ 10.33 | $ 10.21 | $ 10.21 | $ 10.39 | $ 10.50 |
Income from Investment Operations C |
|
|
|
|
|
Net investment income | .298 | .302 | .292 | .268 | .250 |
Net realized and unrealized gain (loss) | .021 | .118 | (.001) | (.177) | (.090) |
Total from investment operations | .319 | .420 | .291 | .091 | .160 |
Distributions from net investment income | (.300) | (.300) | (.291) | (.268) | (.251) |
Distributions from net realized gain | - | - | - | (.003) | (.019) |
Total distributions | (.300) | (.300) | (.291) | (.271) | (.270) |
Redemption fees added to paid in capital C | .001 | - G | - G | - G | - G |
Net asset value, end of period | $ 10.35 | $ 10.33 | $ 10.21 | $ 10.21 | $ 10.39 |
Total Return A, B | 3.13% | 4.19% | 2.89% | .89% | 1.55% |
Ratios to Average Net Assets D, F |
|
|
|
|
|
Expenses before reductions | .75% | .71% | .65% | .65% | .65% |
Expenses net of fee waivers, if any | .75% | .71% | .65% | .65% | .65% |
Expenses net of all reductions | .72% | .64% | .56% | .58% | .64% |
Net investment income | 2.90% | 2.95% | 2.86% | 2.61% | 2.41% |
Supplemental Data |
|
|
|
|
|
Net assets, end of period (in millions) | $ 58 | $ 12 | $ 10 | $ 14 | $ 12 |
Portfolio turnover rate E | 20% | 23% | 28% | 27% | 45% |
A Total returns would have been lower had certain expenses not been reduced during the periods shown.
B Total returns do not include the effect of the sales charges.
C Calculated based on average shares outstanding during the period.
D Fees and expenses of the underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds.
E Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
F Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
G Amount represents less than $.001 per share.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Highlights - Class T
Years ended December 31, | 2008 | 2007 | 2006 | 2005 | 2004 |
Selected Per-Share Data |
|
|
|
|
|
Net asset value, beginning of period | $ 10.31 | $ 10.19 | $ 10.20 | $ 10.37 | $ 10.48 |
Income from Investment Operations |
|
|
|
|
|
Net investment income C | .300 | .297 | .281 | .257 | .238 |
Net realized and unrealized gain (loss) | .029 | .120 | (.011) | (.167) | (.089) |
Total from investment operations | .329 | .417 | .270 | .090 | .149 |
Distributions from net investment income | (.300) | (.297) | (.280) | (.257) | (.240) |
Distributions from net realized gain | - | - | - | (.003) | (.019) |
Total distributions | (.300) | (.297) | (.280) | (.260) | (.259) |
Redemption fees added to paid in capital C | .001 | - G | - G | - G | - G |
Net asset value, end of period | $ 10.34 | $ 10.31 | $ 10.19 | $ 10.20 | $ 10.37 |
Total Return A, B | 3.24% | 4.17% | 2.69% | .88% | 1.44% |
Ratios to Average Net Assets D, F |
|
|
|
|
|
Expenses before reductions | .74% | .74% | .75% | .76% | .76% |
Expenses net of fee waivers, if any | .74% | .74% | .75% | .76% | .76% |
Expenses net of all reductions | .72% | .69% | .66% | .69% | .75% |
Net investment income | 2.90% | 2.91% | 2.76% | 2.50% | 2.30% |
Supplemental Data |
|
|
|
|
|
Net assets, end of period (in millions) | $ 15 | $ 10 | $ 13 | $ 15 | $ 20 |
Portfolio turnover rate E | 20% | 23% | 28% | 27% | 45% |
A Total returns would have been lower had certain expenses not been reduced during the periods shown.
B Total returns do not include the effect of the sales charges.
C Calculated based on average shares outstanding during the period.
D Fees and expenses of the underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds.
E Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
F Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
G Amount represents less than $.001 per share.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Highlights - Class B
Years ended December 31, | 2008 | 2007 | 2006 | 2005 | 2004 |
Selected Per-Share Data |
|
|
|
|
|
Net asset value, beginning of period | $ 10.32 | $ 10.20 | $ 10.21 | $ 10.39 | $ 10.49 |
Income from Investment Operations |
|
|
|
|
|
Net investment income C | .230 | .228 | .215 | .190 | .172 |
Net realized and unrealized gain (loss) | .029 | .121 | (.012) | (.177) | (.080) |
Total from investment operations | .259 | .349 | .203 | .013 | .092 |
Distributions from net investment income | (.230) | (.229) | (.213) | (.190) | (.173) |
Distributions from net realized gain | - | - | - | (.003) | (.019) |
Total distributions | (.230) | (.229) | (.213) | (.193) | (.192) |
Redemption fees added to paid in capital C | .001 | - G | - G | - G | - G |
Net asset value, end of period | $ 10.35 | $ 10.32 | $ 10.20 | $ 10.21 | $ 10.39 |
Total Return A, B | 2.54% | 3.47% | 2.02% | .13% | .89% |
Ratios to Average Net Assets D, F |
|
|
|
|
|
Expenses before reductions | 1.43% | 1.41% | 1.41% | 1.41% | 1.40% |
Expenses net of fee waivers, if any | 1.43% | 1.41% | 1.41% | 1.41% | 1.40% |
Expenses net of all reductions | 1.40% | 1.36% | 1.31% | 1.34% | 1.39% |
Net investment income | 2.22% | 2.23% | 2.11% | 1.85% | 1.65% |
Supplemental Data |
|
|
|
|
|
Net assets, end of period (in millions) | $ 2 | $ 1 | $ 2 | $ 3 | $ 4 |
Portfolio turnover rate E | 20% | 23% | 28% | 27% | 45% |
A Total returns would have been lower had certain expenses not been reduced during the periods shown.
B Total returns do not include the effect of the contingent deferred sales charge.
C Calculated based on average shares outstanding during the period.
D Fees and expenses of the underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds.
E Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
F Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
G Amount represents less than $.001 per share.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Highlights - Class C
Years ended December 31, | 2008 | 2007 | 2006 | 2005 | 2004 |
Selected Per-Share Data |
|
|
|
|
|
Net asset value, beginning of period | $ 10.31 | $ 10.19 | $ 10.20 | $ 10.38 | $ 10.48 |
Income from Investment Operations |
|
|
|
|
|
Net investment income C | .220 | .219 | .204 | .178 | .159 |
Net realized and unrealized gain (loss) | .020 | .120 | (.011) | (.176) | (.080) |
Total from investment operations | .240 | .339 | .193 | .002 | .079 |
Distributions from net investment income | (.221) | (.219) | (.203) | (.179) | (.160) |
Distributions from net realized gain | - | - | - | (.003) | (.019) |
Total distributions | (.221) | (.219) | (.203) | (.182) | (.179) |
Redemption fees added to paid in capital C | .001 | - G | - G | - G | - G |
Net asset value, end of period | $ 10.33 | $ 10.31 | $ 10.19 | $ 10.20 | $ 10.38 |
Total Return A, B | 2.35% | 3.37% | 1.92% | .02% | .77% |
Ratios to Average Net Assets D, F |
|
|
|
|
|
Expenses before reductions | 1.50% | 1.51% | 1.51% | 1.52% | 1.52% |
Expenses net of fee waivers, if any | 1.50% | 1.51% | 1.51% | 1.52% | 1.52% |
Expenses net of all reductions | 1.48% | 1.45% | 1.41% | 1.45% | 1.51% |
Net investment income | 2.14% | 2.14% | 2.01% | 1.74% | 1.53% |
Supplemental Data |
|
|
|
|
|
Net assets, end of period (in millions) | $ 20 | $ 6 | $ 7 | $ 10 | $ 11 |
Portfolio turnover rate E | 20% | 23% | 28% | 27% | 45% |
A Total returns would have been lower had certain expenses not been reduced during the periods shown.
B Total returns do not include the effect of the contingent deferred sales charge.
C Calculated based on average shares outstanding during the period.
D Fees and expenses of the underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds.
E Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
F Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
G Amount represents less than $.001 per share.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Highlights - Short-Intermediate Municipal Income
Years ended December 31, | 2008 | 2007 | 2006 | 2005 | 2004 |
Selected Per-Share Data |
|
|
|
|
|
Net asset value, beginning of period | $ 10.31 | $ 10.19 | $ 10.20 | $ 10.38 | $ 10.48 |
Income from Investment Operations |
|
|
|
|
|
Net investment income B | .326 | .323 | .307 | .284 | .268 |
Net realized and unrealized gain (loss) | .029 | .120 | (.010) | (.177) | (.080) |
Total from investment operations | .355 | .443 | .297 | .107 | .188 |
Distributions from net investment income | (.326) | (.323) | (.307) | (.284) | (.269) |
Distributions from net realized gain | - | - | - | (.003) | (.019) |
Total distributions | (.326) | (.323) | (.307) | (.287) | (.288) |
Redemption fees added to paid in capital B | .001 | - F | - F | - F | - F |
Net asset value, end of period | $ 10.34 | $ 10.31 | $ 10.19 | $ 10.20 | $ 10.38 |
Total Return A | 3.50% | 4.43% | 2.95% | 1.06% | 1.82% |
Ratios to Average Net Assets C, E |
|
|
|
|
|
Expenses before reductions | .49% | .49% | .49% | .49% | .49% |
Expenses net of fee waivers, if any | .49% | .49% | .49% | .49% | .48% |
Expenses net of all reductions | .47% | .43% | .41% | .42% | .47% |
Net investment income | 3.15% | 3.17% | 3.01% | 2.77% | 2.57% |
Supplemental Data |
|
|
|
|
|
Net assets, end of period (in millions) | $ 1,870 | $ 1,650 | $ 1,485 | $ 1,665 | $ 1,841 |
Portfolio turnover rate D | 20% | 23% | 28% | 27% | 45% |
A Total returns would have been lower had certain expenses not been reduced during the periods shown.
B Calculated based on average shares outstanding during the period.
C Fees and expenses of the underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds.
D Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
E Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
F Amount represents less than $.001 per share.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Highlights - Institutional Class
Years ended December 31, | 2008 | 2007 | 2006 | 2005 | 2004 |
Selected Per-Share Data |
|
|
|
|
|
Net asset value, beginning of period | $ 10.32 | $ 10.20 | $ 10.20 | $ 10.38 | $ 10.49 |
Income from Investment Operations |
|
|
|
|
|
Net investment income B | .321 | .320 | .306 | .283 | .265 |
Net realized and unrealized gain (loss) | .022 | .120 | - F | (.176) | (.088) |
Total from investment operations | .343 | .440 | .306 | .107 | .177 |
Distributions from net investment income | (.324) | (.320) | (.306) | (.284) | (.268) |
Distributions from net realized gain | - | - | - | (.003) | (.019) |
Total distributions | (.324) | (.320) | (.306) | (.287) | (.287) |
Redemption fees added to paid in capital B | .001 | - F | - F | - F | - F |
Net asset value, end of period | $ 10.34 | $ 10.32 | $ 10.20 | $ 10.20 | $ 10.38 |
Total Return A | 3.38% | 4.39% | 3.05% | 1.05% | 1.71% |
Ratios to Average Net Assets C, E |
|
|
|
|
|
Expenses before reductions | .51% | .52% | .50% | .49% | .49% |
Expenses net of fee waivers, if any | .51% | .52% | .50% | .49% | .49% |
Expenses net of all reductions | .49% | .45% | .41% | .42% | .48% |
Net investment income | 3.13% | 3.14% | 3.01% | 2.77% | 2.57% |
Supplemental Data |
|
|
|
|
|
Net assets, end of period (000 omitted) | $ 32,139 | $ 4,645 | $ 3,357 | $ 2,625 | $ 1,253 |
Portfolio turnover rate D | 20% | 23% | 28% | 27% | 45% |
A Total returns would have been lower had certain expenses not been reduced during the periods shown.
B Calculated based on average shares outstanding during the period.
C Fees and expenses of the underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds.
D Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
E Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
F Amount represents less than $.001 per share.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Notes to Financial Statements
For the period ended December 31, 2008
(Amounts in thousands except ratios)
1. Organization.
Fidelity Short-Intermediate Municipal Income Fund (the Fund) is a fund of Fidelity Municipal Trust (the trust) and is authorized to issue an unlimited number of shares. The trust is registered under the Investment Company Act of 1940, as amended (the 1940 Act), as an open-end management investment company organized as a Massachusetts business trust. The Fund offers Class A, Class T, Class B, Class C, Short-Intermediate Municipal Income and Institutional Class shares, each of which has equal rights as to assets and voting privileges. Each class has exclusive voting rights with respect to matters that affect that class. Class B shares will automatically convert to Class A shares after a holding period of four years from the initial date of purchase. Investment income, realized and unrealized capital gains and losses, the common expenses of the Fund, and certain fund-level expense reductions, if any, are allocated on a pro rata basis to each class based on the relative net assets of each class to the total net assets of the Fund. Each class differs with respect to transfer agent and distribution and service plan fees incurred. Certain expense reductions also differ by class.
2. Investments in Fidelity Central Funds.
The Fund may invest in Fidelity Central Funds, which are open-end investment companies available only to other investment companies and accounts managed by Fidelity Management & Research Company (FMR) and its affiliates. The Fund's Schedule of Investments lists each of the Fidelity Central Funds held as of period end, if any, as an investment of the Fund, but does not include the underlying holdings of each Fidelity Central Fund. As an Investing Fund, the Fund indirectly bears its proportionate share of the expenses of the underlying Fidelity Central Funds.
The Money Market Central Funds seek preservation of capital and current income and are managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of FMR.
A complete unaudited list of holdings for each Fidelity Central Fund is available upon request or at the SEC's web site at www.sec.gov. In addition, the financial statements of the Fidelity Central Funds, which are not covered by the Fund's Report of Independent Registered Public Accounting Firm, are available on the SEC's web site or upon request.
3. Significant Accounting Policies.
The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America, which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. The following summarizes the significant accounting policies of the Fund:
Annual Report
Notes to Financial Statements - continued
(Amounts in thousands except ratios)
3. Significant Accounting Policies - continued
Security Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. Wherever possible, the Fund uses independent pricing services approved by the Board of Trustees to value its investments.
Debt securities, including restricted securities, are valued by independent pricing services or by dealers who make markets in such securities. Pricing services consider yield or price of bonds of comparable quality, coupon, maturity and type as well as dealer supplied prices. Investments in open-end mutual funds, including the Fidelity Central Funds, are valued at their closing net asset value each business day. Short-term securities with remaining maturities of sixty days or less for which quotations are not readily available are valued at amortized cost, which approximates value. Actual prices received at disposition may differ.
When current market prices or quotations are not readily available or reliable, valuations may be determined in good faith in accordance with procedures adopted by the Board of Trustees. Factors used in determining value may include significant market or security specific events, changes in interest rates and credit quality, and developments in foreign markets which are monitored by evaluating the performance of ADRs, futures contracts and exchange-traded funds. The frequency with which these procedures are used cannot be predicted and may be utilized to a significant extent. The value of securities used for net asset value (NAV) calculation under these procedures may differ from published prices for the same securities.
The Fund is subject to the provisions of Statement of Financial Accounting Standards No. 157, "Fair Value Measurements" (SFAS 157), effective with the beginning of the Fund's fiscal year. SFAS 157 establishes a hierarchy that prioritizes the inputs to valuation techniques giving the highest priority to readily available unadjusted quoted prices in active markets for identical assets (level 1 measurements) and the lowest priority to unobservable inputs (level 3 measurements) when market prices are not readily available or reliable. The three levels of the hierarchy under SFAS 157 are described below:
Level 1 | Quoted prices in active markets for identical securities. |
Level 2 | Prices determined using other significant observable inputs. Observable inputs are inputs that other market participants may use in pricing a security. These may include quoted prices for similar securities, interest rates, prepayment speeds, credit risk and others. |
Level 3 | Prices determined using significant unobservable inputs. In situations where quoted prices or observable inputs are unavailable or deemed less relevant (for example, when there is little or no market activity for an investment at the end of the period), unobservable inputs may be used. Unobservable inputs reflect the Fund's own assumptions about the factors market participants would use in pricing an investment, and would be based on the best information available. |
Annual Report
3. Significant Accounting Policies - continued
Security Valuation - continued
Changes in valuation techniques may result in transfers in or out of an investment's assigned level within the hierarchy.
The aggregate value by input level, as of December 31, 2008, for the Fund's investments,as well as a reconciliation of assets for which significant unobservable inputs (Level 3) were used in determining value, is included at the end of the Fund's Schedule of Investments.
Investment Transactions and Income. For financial reporting purposes, the Fund's investment holdings and NAV include trades executed through the end of the last business day of the period. The NAV per share for processing shareholder transactions is calculated as of the close of business of the New York Stock Exchange (NYSE), normally 4:00 p.m. Eastern time and includes trades executed through the end of the prior business day. Gains and losses on securities sold are determined on the basis of identified cost. Interest income and distributions from the Fidelity Central Funds are accrued as earned. Interest income includes coupon interest and amortization of premium and accretion of discount on debt securities.
Expenses. Most expenses of the trust can be directly attributed to a fund. Expenses which cannot be directly attributed are apportioned among each Fund in the trust. Expense estimates are accrued in the period to which they relate and adjustments are made when actual amounts are known.
Income Tax Information and Distributions to Shareholders. Each year, the Fund intends to qualify as a regulated investment company by distributing substantially all of its taxable income and realized gains under Subchapter M of the Internal Revenue Code and filing its U.S. federal tax return. As a result, no provision for income taxes is required. The Fund is subject to the provisions of FASB Interpretation No. 48, Accounting for Uncertainties in Income Taxes (FIN 48). FIN 48 sets forth a minimum threshold for financial statement recognition of the benefit of a tax position taken or expected to be taken in a tax return. There are no unrecognized tax benefits in the accompanying financial statements. A Fund's federal tax return is subject to examination by the Internal Revenue Service (IRS) for a period of three years.
Dividends are declared daily and paid monthly from net investment income. Distributions from realized gains, if any, are recorded on the ex-dividend date. Income dividends and capital gain distributions are declared separately for each class. Income and capital gain distributions are determined in accordance with income tax regulations, which may differ from generally accepted accounting principles. In addition, the Fund will claim a portion of the payment made to redeeming shareholders as a distribution for income tax purposes.
Annual Report
Notes to Financial Statements - continued
(Amounts in thousands except ratios)
3. Significant Accounting Policies - continued
Income Tax Information and Distributions to Shareholders - continued
Capital accounts within the financial statements are adjusted for permanent book-tax differences. These adjustments have no impact on net assets or the results of operations. Temporary book-tax differences will reverse in a subsequent period.
Book-tax differences are primarily due to market discount, deferred trustees compensation and capital loss carryforwards.
The Fund purchases municipal securities whose interest, in the opinion of the issuer, is free from federal income tax. There is no assurance that the IRS will agree with this opinion. In the event the IRS determines that the issuer does not comply with relevant tax requirements, interest payments from a security could become federally taxable, possibly retroactively to the date the security was issued.
The tax-basis components of distributable earnings and the federal tax cost as of period end were as follows:
Unrealized appreciation | $ 28,150 |
Unrealized depreciation | (18,384) |
Net unrealized appreciation (depreciation) | 9,766 |
Capital loss carryforward | (2,368) |
Cost for federal income tax purposes | $ 1,854,175 |
The tax character of distributions paid was as follows:
| December 31, 2008 | December 31, 2007 |
Tax-exempt Income | 57,229 | 50,136 |
Short-Term Trading (Redemption) Fees. Shares held in the Fund less than 30 days are subject to a redemption fee equal to .50% of the proceeds of the redeemed shares. All redemption fees, including any estimated redemption fees paid by FMR, are retained by the Fund and accounted for as an addition to paid in capital.
New Accounting Pronouncement. In March 2008, Statement of Financial Accounting Standards No. 161, Disclosures about Derivative Instruments and Hedging Activities (SFAS 161), was issued and is effective for reporting periods beginning after November 15, 2008. SFAS 161 requires enhanced disclosures to provide information about the reasons the Fund invests in derivative instruments, the accounting treatment and the effect derivatives have on financial performance.
Annual Report
4. Operating Policies.
Restricted Securities. The Fund may invest in securities that are subject to legal or contractual restrictions on resale. These securities generally may be resold in transactions exempt from registration or to the public if the securities are registered. Disposal of these securities may involve time-consuming negotiations and expense, and prompt sale at an acceptable price may be difficult. Information regarding restricted securities is included at the end of the Fund's Schedule of Investments.
Swap Agreements. The Fund entered into swap agreements, which are contracts between two parties to exchange future cash flows at periodic intervals based on a notional principal amount. Payments are exchanged at specified intervals, accrued daily commencing with the effective date of the contract and recorded as realized gains or losses in the Fund's accompanying Statement of Operations. Certain interest rate swaps include extended effective dates. Gains or losses are realized in the event of an early termination of a swap agreement. Risks of loss may include unfavorable changes in the returns of the underlying instruments or indexes, adverse fluctuations of interest rates, failure of the counterparty to perform under the terms of the agreement and lack of liquidity in the market. Collateral, in the form of cash or securities, may be required to be held in segregated accounts with a fund's custodian bank in accordance with the swap agreement and if required, is identified. The Fund could experience delays and costs in gaining access to the collateral even though it is held in the Fund's custodian bank.
Changes in interest rates can have a negative effect on both the value of the Fund's bond holdings as well as the amount of interest income earned. In general, the value of bonds can fall when interest rates rise and can rise when interest rates fall. The Fund entered into interest rate swap agreements to manage its exposure to interest rate changes. Interest rate swaps represent an agreement between counterparties to exchange cash flows based on the difference between two interest rates (e.g. fixed rate, floating rate), applied to a notional principal amount.
5. Purchases and Sales of Investments.
Purchases and sales of securities, other than short-term securities, aggregated $570,842 and $356,018, respectively.
6. Fees and Other Transactions with Affiliates.
Management Fee. FMR and its affiliates provide the Fund with investment management related services for which the Fund pays a monthly management fee. The management fee is the sum of an individual fund fee rate that is based on an annual rate of .25% of the Fund's average net assets and a group fee rate that averaged .12% during the period. The group fee rate is based upon the average net assets of all the mutual funds
Annual Report
Notes to Financial Statements - continued
(Amounts in thousands except ratios)
6. Fees and Other Transactions with Affiliates - continued
Management Fee - continued
advised by FMR. The group fee rate decreases as assets under management increase and increases as assets under management decrease. For the period, the total annual management fee rate was .37% of the Fund's average net assets.
Distribution and Service Plan. In accordance with Rule 12b-1 of the 1940 Act, the Fund has adopted separate Distribution and Service Plans for each class of shares. Certain classes pay Fidelity Distributors Corporation (FDC), an affiliate of FMR, separate Distribution and Service Fees, each of which is based on an annual percentage of each class' average net assets. In addition, FDC may pay financial intermediaries for selling shares of the Fund and providing shareholder support services. For the period, the Distribution and Service Fee rates and the total amounts paid to and retained by FDC were as follows:
| Distribution | Service | Paid to | Retained |
Class A | .00% | .25% | $ 70 | $ 14 |
Class T | .00% | .25% | 29 | - |
Class B | .65% | .25% | 14 | 10 |
Class C | .75% | .25% | 111 | 53 |
|
|
| $ 224 | $ 77 |
Sales Load. FDC receives a front-end sales charge of up to 2.75% for selling Class A shares and Class T shares, some of which is paid to financial intermediaries for selling shares of the Fund. FDC receives the proceeds of contingent deferred sales charges levied on Class A, Class T, Class B, and Class C redemptions. These charges depend on the holding period. The deferred sales charges range from 3% to 1% for Class B, 1% for Class C,.75% to .50% for certain purchases of Class A shares and .25% for certain purchases of Class T shares.
For the period, sales charge amounts retained by FDC were as follows:
| Retained |
Class A | $ 15 |
Class T | 2 |
Class B* | 6 |
Class C* | 5 |
| $ 28 |
* When Class B and Class C shares are initially sold, FDC pays commissions from its own resources to financial intermediaries through which the sales are made.
Annual Report
6. Fees and Other Transactions with Affiliates - continued
Transfer Agent and Accounting Fees. Citibank, N.A. (Citibank) is the custodian, transfer agent, and shareholder servicing agent for the Fund's Class A, Class T, Class B, Class C, Short-Intermediate Municipal Income and Institutional Class shares. Citibank has entered into a sub-arrangement with Fidelity Investments Institutional Operations Company, Inc. (FIIOC), an affiliate of FMR, with respect to all classes of the Fund, to perform the transfer, dividend disbursing, and shareholder servicing agent functions. FIIOC receives account fees and asset-based fees that vary according to the account size and type of account of the shareholders of the respective classes of the Fund. All fees are paid to FIIOC by Citibank, which is reimbursed by each class for such payments. FIIOC pays for typesetting, printing and mailing of shareholder reports, except proxy statements. For the period, each class paid the following transfer agent fees:
| Amount | % of |
Class A | $ 27 | .10 |
Class T | 11 | .09 |
Class B | 2 | .13 |
Class C | 12 | .10 |
Short-Intermediate Municipal Income | 1,632 | .09 |
Institutional Class | 15 | .11 |
| $ 1,699 |
|
Citibank also has a sub-arrangement with Fidelity Service Company, Inc. (FSC), an affiliate of FMR, under which FSC maintains the Fund's accounting records. The fee is based on the level of average net assets for the month.
7. Committed Line of Credit.
The Fund participates with other funds managed by FMR in a $4.2 billion credit facility (the "line of credit") to be utilized for temporary or emergency purposes to fund shareholder redemptions or for other short-term liquidity purposes. The Fund has agreed to pay commitment fees on its pro rata portion of the line of credit, which amounted to $3 and is reflected in Miscellaneous Expense on the Statement of Operations. During the period, there were no borrowings on this line of credit.
Annual Report
Notes to Financial Statements - continued
(Amounts in thousands except ratios)
8. Expense Reductions.
Through arrangements with the Fund's custodian and each class' transfer agent, credits realized as a result of uninvested cash balances were used to reduce the Fund's expenses. During the period, these credits reduced the Fund's custody and accounting expenses by $27 and $260, respectively. During the period, credits reduced each class' transfer agent expense as noted in the table below.
| Transfer Agent |
Class A | $ 2 |
Class T | 1 |
Class B | -* |
Class C | 1 |
Short-Intermediate Municipal Income | 126 |
Institutional Class | 1 |
| $ 131 |
* Amount represents less than one thousand
9. Other.
The Fund's organizational documents provide former and current trustees and officers with a limited indemnification against liabilities arising in connection with the performance of their duties to the Fund. In the normal course of business, the Fund may also enter into contracts that provide general indemnifications. The Fund's maximum exposure under these arrangements is unknown as this would be dependent on future claims that may be made against the Fund. The risk of material loss from such claims is considered remote.
10. Distributions to Shareholders.
Distributions to shareholders of each class were as follows:
Years ended December 31, | 2008 | 2007 |
From net investment income |
|
|
Class A | $ 806 | $ 281 |
Class T | 339 | 296 |
Class B | 34 | 44 |
Class C | 236 | 121 |
Short-Intermediate Municipal Income | 55,394 | 49,282 |
Institutional Class | 420 | 112 |
Total | $ 57,229 | $ 50,136 |
Annual Report
11. Share Transactions.
Transactions for each class of shares were as follows:
| Shares | Dollars | ||
Years ended December 31, | 2008 | 2007 | 2008 | 2007 |
Class A |
|
|
|
|
Shares sold | 5,496 | 398 | $ 56,891 | $ 4,082 |
Reinvestment of distributions | 64 | 23 | 661 | 231 |
Shares redeemed | (1,064) | (268) | (10,990) | (2,734) |
Net increase (decrease) | 4,496 | 153 | $ 46,562 | $ 1,579 |
Class T |
|
|
|
|
Shares sold | 1,108 | 200 | $ 11,448 | $ 2,060 |
Reinvestment of distributions | 27 | 24 | 275 | 241 |
Shares redeemed | (636) | (489) | (6,578) | (4,985) |
Net increase (decrease) | 499 | (265) | $ 5,145 | $ (2,684) |
Class B |
|
|
|
|
Shares sold | 143 | 72 | $ 1,492 | $ 729 |
Reinvestment of distributions | 2 | 3 | 23 | 28 |
Shares redeemed | (94) | (165) | (977) | (1,685) |
Net increase (decrease) | 51 | (90) | $ 538 | $ (928) |
Class C |
|
|
|
|
Shares sold | 1,714 | 151 | $ 17,723 | $ 1,547 |
Reinvestment of distributions | 14 | 7 | 149 | 76 |
Shares redeemed | (298) | (253) | (3,071) | (2,584) |
Net increase (decrease) | 1,430 | (95) | $ 14,801 | $ (961) |
Short-Intermediate Municipal Income |
|
|
|
|
Shares sold | 89,187 | 43,647 | $ 923,266 | $ 445,094 |
Reinvestment of distributions | 3,425 | 3,143 | 35,431 | 32,070 |
Shares redeemed | (71,651) | (32,503) | (739,608) | (331,437) |
Net increase (decrease) | 20,961 | 14,287 | $ 219,089 | $ 145,727 |
Institutional Class |
|
|
|
|
Shares sold | 3,365 | 258 | $ 34,805 | $ 2,627 |
Reinvestment of distributions | 18 | 4 | 183 | 46 |
Shares redeemed | (725) | (141) | (7,461) | (1,429) |
Net increase (decrease) | 2,658 | 121 | $ 27,527 | $ 1,244 |
Annual Report
Report of Independent Registered Public Accounting Firm
To the Trustees of Fidelity Municipal Trust and the Shareholders of Fidelity Short-Intermediate Municipal Income Fund:
In our opinion, the accompanying statement of assets and liabilities, including the schedule of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Fidelity Short-Intermediate Municipal Income Fund (a fund of Fidelity Municipal Trust) at December 31, 2008, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and the financial highlights for each of the five years in the period then ended, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as "financial statements") are the responsibility of the Fidelity Short-Intermediate Municipal Income Fund's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at December 31, 2008 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion.
/s/ PricewaterhouseCoopers LLP
PricewaterhouseCoopers LLP
Boston, Massachusetts
February 23, 2009
Annual Report
Trustees and Officers
The Trustees, Member of the Advisory Board, and executive officers of the trust and fund, as applicable, are listed below. The Board of Trustees governs the fund and is responsible for protecting the interests of shareholders. The Trustees are experienced executives who meet periodically throughout the year to oversee the fund's activities, review contractual arrangements with companies that provide services to the fund, and review the fund's performance. Except for Edward C. Johnson 3d and James C. Curvey, each of the Trustees oversees 159 funds advised by FMR or an affiliate. Messrs. Johnson and Curvey oversee 380 funds advised by FMR or an affiliate.
The Trustees hold office without limit in time except that (a) any Trustee may resign; (b) any Trustee may be removed by written instrument, signed by at least two-thirds of the number of Trustees prior to such removal; (c) any Trustee who requests to be retired or who has become incapacitated by illness or injury may be retired by written instrument signed by a majority of the other Trustees; and (d) any Trustee may be removed at any special meeting of shareholders by a two-thirds vote of the outstanding voting securities of the trust. Each Trustee who is not an interested person (as defined in the 1940 Act) (Independent Trustee), shall retire not later than the last day of the calendar year in which his or her 72nd birthday occurs. The Independent Trustees may waive this mandatory retirement age policy with respect to individual Trustees. The executive officers and Advisory Board Member hold office without limit in time, except that any officer and Advisory Board Member may resign or may be removed by a vote of a majority of the Trustees at any regular meeting or any special meeting of the Trustees. Except as indicated, each individual has held the office shown or other offices in the same company for the past five years.
The fund's Statement of Additional Information (SAI) includes more information about the Trustees. To request a free copy, call Fidelity at 1-800-544-8544.
Interested Trustees*:
Correspondence intended for each Trustee who is an interested person may be sent to Fidelity Investments, 82 Devonshire Street, Boston, Massachusetts 02109.
Name, Age; Principal Occupation | |
Edward C. Johnson 3d (78) | |
| Year of Election or Appointment: 1984 Mr. Johnson is Chairman of the Board of Trustees. Mr. Johnson serves as Chief Executive Officer, Chairman, and a Director of FMR LLC; Chairman and a Director of FMR; Chairman and a Director of Fidelity Research & Analysis Company (FRAC); Chairman and a Director of Fidelity Investments Money Management, Inc.; and Chairman and a Director of FMR Co., Inc. In addition, Mr. Johnson serves as Chairman and Director of FIL Limited. Previously, Mr. Johnson served as President of FMR LLC (2006-2007). Mr. Edward C. Johnson 3d and Mr. Arthur E. Johnson are not related. |
Name, Age; Principal Occupation | |
James C. Curvey (73) | |
| Year of Election or Appointment: 2007 Mr. Curvey also serves as Trustee (2007-present) of other investment companies advised by FMR. Mr. Curvey is a Director of FMR and FMR Co., Inc. (2007-present). Mr. Curvey is also Vice Chairman (2006-present) and Director of FMR LLC. In addition, Mr. Curvey serves as an Overseer for the Boston Symphony Orchestra and a member of the Trustees of Villanova University. |
* Trustees have been determined to be "Interested Trustees" by virtue of, among other things, their affiliation with the trust or various entities under common control with FMR. FMR Corp. merged with and into FMR LLC on October 1, 2007. Any references to FMR LLC for prior periods are deemed to be references to the prior entity.
Independent Trustees:
Correspondence intended for each Independent Trustee (that is, the Trustees other than the Interested Trustees) may be sent to Fidelity Investments, P.O. Box 55235, Boston, Massachusetts 02205-5235.
Name, Age; Principal Occupation | |
Albert R. Gamper, Jr. (66) | |
| Year of Election or Appointment: 2006 Prior to his retirement in December 2004, Mr. Gamper served as Chairman of the Board of CIT Group Inc. (commercial finance). During his tenure with CIT Group Inc. Mr. Gamper served in numerous senior management positions, including Chairman (1987-1989; 1999-2001; 2002-2004), Chief Executive Officer (1987-2004), and President (1989-2002). He currently serves as a member of the Board of Directors of Public Service Enterprise Group (utilities), a member of the Board of Governors, Rutgers University (2004-present), and Chairman of the Board of Saint Barnabas Health Care System. Previously, Mr. Gamper served as Chairman of the Board of Governors, Rutgers University (2004-2007). |
Arthur E. Johnson (61) | |
| Year of Election or Appointment: 2008 Mr. Johnson serves as Senior Vice President of Corporate Strategic Development of Lockheed Martin Corporation (defense contractor). In addition, Mr. Johnson serves as a member of the Board of Directors of AGL Resources, Inc. (holding company), and IKON Office Solutions, Inc. (document management systems and services). Mr. Arthur E. Johnson and Mr. Edward C. Johnson 3d are not related. |
James H. Keyes (68) | |
| Year of Election or Appointment: 2007 Prior to his retirement in 2003, Mr. Keyes was Chairman, President, and Chief Executive Officer of Johnson Controls, Inc. (automotive supplier, 1993-2003). He currently serves as a member of the boards of Navistar International Corporation (manufacture and sale of trucks, buses, and diesel engines) and Pitney Bowes, Inc. (integrated mail, messaging, and document management solutions). Previously, Mr. Keyes served as a member of the Board of LSI Logic Corporation (semiconductor technologies, 1984-2008). |
Marie L. Knowles (62) | |
| Year of Election or Appointment: 2001 Prior to Ms. Knowles' retirement in June 2000, she served as Executive Vice President and Chief Financial Officer of Atlantic Richfield Company (ARCO) (diversified energy, 1996-2000). From 1993 to 1996, she was a Senior Vice President of ARCO and President of ARCO Transportation Company. She served as a Director of ARCO from 1996 to 1998. She currently serves as a Director of McKesson Corporation (healthcare service). Ms. Knowles is a Trustee of the Brookings Institution and the Catalina Island Conservancy and also serves as a member of the Advisory Board for the School of Engineering of the University of Southern California. Previously, Ms. Knowles served as a Director of Phelps Dodge Corporation (copper mining and manufacturing, 1994-2007). |
Kenneth L. Wolfe (69) | |
| Year of Election or Appointment: 2005 Mr. Wolfe is Chairman and a Director of Hershey Foods Corporation (2007-present), where prior to his retirement in 2001, he was Chairman and Chief Executive Officer. Mr. Wolfe currently serves as a member of the board of Revlon Inc. (2004-present). Previously, Mr. Wolfe served as a member of the boards of Adelphia Communications Corporation (2003-2006) and Bausch & Lomb, Inc. (1993-2007). |
Annual Report
Trustees and Officers - continued
Advisory Board Member and Executive Officers**:
Correspondence intended Mr. Kenneally may be sent to Fidelity Investments, P.O. Box 55235, Boston, Massachusetts 02205-5235..
Name, Age; Principal Occupation | |
Michael E. Kenneally (54) | |
| Year of Election or Appointment: 2008 Member of the Advisory Board. Mr. Kenneally also serves as Trustee (2009-present) or Member of the Advisory Board of other Fidelity Fixed Income and Asset Allocation Funds. Previously, Mr. Kenneally served as Chairman and Global Chief Executive Officer of Credit Suisse Asset Management (2003-2005). Mr. Kenneally was a Director of The Credit Suisse Funds (U.S. Mutual Fund, 2004-2008) and was awarded the Chartered Financial Analyst (CFA) designation in 1991. |
John R. Hebble (50) | |
| Year of Election or Appointment: 2008 President and Treasurer of Fidelity's Fixed Income and Asset Allocation Funds. Mr. Hebble is an employee of Fidelity Investments (2003-present). Before joining Fidelity Investments, Mr. Hebble worked at Deutsche Asset Management where he served as Director of Fund Accounting (2002-2003) and Assistant Treasurer of the Scudder Funds. |
Boyce I. Greer (52) | |
| Year of Election or Appointment: 2005 or 2006 Vice President of Fidelity's Fixed Income Funds (2006) and Asset Allocation Funds (2005). Mr. Greer is also a Trustee of other investment companies advised by FMR (2003-present). Mr. Greer is President and a Director of Fidelity Investments Money Management, Inc. (2007-present), and an Executive Vice President of FMR and FMR Co., Inc. (2005- |
Scott C. Goebel (40) | |
| Year of Election or Appointment: 2008 Secretary and Chief Legal Officer (CLO) of the Fidelity funds. Mr. Goebel also serves as General Counsel, Secretary, and Senior Vice President of FMR (2008-present); Deputy General Counsel of FMR LLC; Chief Legal Secretary of Fidelity Management & Research (Hong Kong) Limited (2008-present) and Assistant Secretary of Fidelity Management & Research (Japan) Inc. (2008-present). Previously, Mr. Goebel served as Assistant Secretary of the Funds (2007-2008) and as Vice President and Secretary of Fidelity Distributors Corporation (FDC) (2005-2007). |
Nancy D. Prior (41) | |
| Year of Election or Appointment: 2008 Assistant Secretary of Fidelity's Fixed Income and Asset Allocation Funds. Ms. Prior is an employee of Fidelity Investments (2002-present). |
Holly C. Laurent (54) | |
| Year of Election or Appointment: 2008 Anti-Money Laundering (AML) Officer of the Fidelity funds. Ms. Laurent is an employee of Fidelity Investments. Previously, Ms. Laurent was Senior Vice President and Head of Legal for Fidelity Business Services India Pvt. Ltd. (2006-2008), Senior Vice President, Deputy General Counsel and Group Head for FMR LLC (2005-2006). |
Christine Reynolds (50) | |
| Year of Election or Appointment: 2008 Chief Financial Officer of the Fidelity funds. Ms. Reynolds became President of Fidelity Pricing and Cash Management Services (FPCMS) in August 2008. She served as Chief Operating Officer of FPCMS from 2007 through July 2008. Previously, Ms. Reynolds served as President, Treasurer, and Anti-Money Laundering officer of the Fidelity funds (2004-2007). Before joining Fidelity Investments, Ms. Reynolds worked at PricewaterhouseCoopers LLP (PwC) (1980-2002), where she was an audit partner with PwC's investment management practice. |
Michael H. Whitaker (41) | |
| Year of Election or Appointment: 2008 Chief Compliance Officer of Fidelity's Fixed Income and Asset Allocation Funds. Mr. Whitaker is an employee of Fidelity Investments (2007-present). Prior to joining Fidelity Investments, Mr. Whitaker worked at MFS Investment Management where he served as Senior Vice President and Chief Compliance Officer (2004-2006), and Assistant General Counsel. |
Bryan A. Mehrmann (47) | |
| Year of Election or Appointment: 2005 Deputy Treasurer of the Fidelity funds. Mr. Mehrmann is an employee of Fidelity Investments. Previously, Mr. Mehrmann served as Vice President of Fidelity Investments Institutional Services Group (FIIS)/Fidelity Investments Institutional Operations Company, Inc. (FIIOC) Client Services (1998-2004). |
Stephanie J. Dorsey (39) | |
| Year of Election or Appointment: 2008 Deputy Treasurer of Fidelity's Fixed Income and Asset Allocation Funds. Ms. Dorsey is an employee of Fidelity Investments (2008-present). Previously, Ms. Dorsey served as Treasurer (2004-2008) of the JPMorgan Mutual Funds and Accounting Group Manager (2003) of JPMorgan Chase Bank. |
Robert G. Byrnes (42) | |
| Year of Election or Appointment: 2005 Assistant Treasurer of the Fidelity funds. Mr. Byrnes is an employee of Fidelity Investments (2005-present). Previously, Mr. Byrnes served as Vice President of Fidelity Pricing and Cash Management Services (FPCMS) (2003-2005). Before joining Fidelity Investments, Mr. Byrnes worked at Deutsche Asset Management where he served as Vice President of the Investment Operations Group (2000-2003). |
Paul M. Murphy (61) | |
| Year of Election or Appointment: 2007 Assistant Treasurer of the Fidelity funds. Mr. Murphy is an employee of Fidelity Investments (2007-present). Previously, Mr. Murphy served as Chief Financial Officer of the Fidelity Funds (2005-2006), Vice President and Associate General Counsel of FMR (2007), and Senior Vice President of Fidelity Pricing and Cash Management Services (FPCMS) (1994-2007). |
Gary W. Ryan (50) | |
| Year of Election or Appointment: 2005 Assistant Treasurer of the Fidelity funds. Mr. Ryan is an employee of Fidelity Investments. Previously, Mr. Ryan served as Vice President of Fund Reporting in Fidelity Pricing and Cash Management Services (FPCMS) (1999-2005). |
** FMR Corp. merged with and into FMR LLC on October 1, 2007. Any references to FMR LLC for prior periods are deemed to be references to the prior entity.
Annual Report
Distributions (Unaudited)
During fiscal year ended 2008, 100% of the fund's income dividends was free from federal income tax, and 4.23% of the fund's income dividends was subject to the federal alternative minimum tax.
The fund will notify shareholders in January 2009 of amounts for use in preparing 2008 income tax returns.
Annual Report
Managing Your Investments
Fidelity offers several ways to conveniently manage your personal investments via your telephone or PC. You can access your account information, conduct trades and research your investments 24 hours a day.
By Phone
Fidelity Automated Service Telephone provides a single toll-free number to access account balances, positions, quotes and trading. It's easy to navigate the service, and on your first call, the system will help you create a personal identification number (PIN) for security.
(phone_graphic)
Fidelity Automated
Service Telephone (FAST®)
1-800-544-5555
Press
For mutual fund and brokerage trading.
For quotes.*
For account balances and holdings.
To review orders and mutual
fund activity.
To change your PIN.
To speak to a Fidelity representative.
By PC
Fidelity's web site on the Internet provides a wide range of information, including daily financial news, fund performance, interactive planning tools and news about Fidelity products and services.
(computer_graphic)
Fidelity's Web Site
www.fidelity.com
* When you call the quotes line, please remember that a fund's yield and return will vary and, except for money market funds, share price will also vary. This means that you may have a gain or loss when you sell your shares. There is no assurance that money market funds will be able to maintain a stable $1 share price; an investment in a money market fund is not insured or guaranteed by the U.S. government. Total returns are historical and include changes in share price, reinvestment of dividends and capital gains, and the effects of any sales charges.
Annual Report
To Visit Fidelity
For directions and hours,
please call 1-800-544-9797.
Arizona
7001 West Ray Road
Chandler, AZ
15445 N. Scottsdale Road
Scottsdale, AZ
California
815 East Birch Street
Brea, CA
1411 Chapin Avenue
Burlingame, CA
851 East Hamilton Avenue
Campbell, CA
19200 Von Karman Avenue
Irvine, CA
601 Larkspur Landing Circle
Larkspur, CA
2000 Avenue of the Stars
Los Angeles, CA
27101 Puerta Real
Mission Viejo, CA
73-575 El Paseo
Palm Desert, CA
251 University Avenue
Palo Alto, CA
123 South Lake Avenue
Pasadena, CA
16656 Bernardo Ctr. Drive
Rancho Bernardo, CA
1220 Roseville Parkway
Roseville, CA
1740 Arden Way
Sacramento, CA
7676 Hazard Center Drive
San Diego, CA
11943 El Camino Real
San Diego, CA
8 Montgomery Street
San Francisco, CA
3793 State Street
Santa Barbara, CA
1200 Wilshire Boulevard
Santa Monica, CA
398 West El Camino Real
Sunnyvale, CA
111 South Westlake Blvd
Thousand Oaks, CA
21701 Hawthorne Boulevard
Torrance, CA
2001 North Main Street
Walnut Creek, CA
6326 Canoga Avenue
Woodland Hills, CA
Colorado
281 East Flatiron Circle
Broomfield, CO
1625 Broadway
Denver, CO
9185 Westview Road
Lone Tree, CO
Connecticut
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Annual Report
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Annual Report
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Annual Report
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Fidelity Advisor
Short-Intermediate
Municipal Income
Fund - Class A, Class T, Class B
and Class C
Annual Report
December 31, 2008
Class A, Class T, Class B,
and Class C are classes of
Fidelity® Short-Intermediate
Municipal Income Fund
(2_fidelity_logos) (Registered_Trademark)
Contents
Chairman's Message | Ned Johnson's message to shareholders. | |
Performance | How the fund has done over time. | |
Management's Discussion | The manager's review of fund performance, strategy and outlook. | |
Shareholder Expense Example | An example of shareholder expenses. | |
Investment Changes | A summary of major shifts in the fund's investments over the past six months. | |
Investments | A complete list of the fund's investments with their market values. | |
Financial Statements | Statements of assets and liabilities, operations, and changes in net assets, as well as financial highlights. | |
Notes | Notes to the financial statements. | |
Report of Independent Registered Public Accounting Firm |
| |
Trustees and Officers |
| |
Distributions |
|
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com (search for "proxy voting guidelines") or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov. You may also call 1-877-208-0098 to request a free copy of the proxy voting guidelines.
Standard & Poor's, S&P and S&P 500 are registered service marks of The McGraw-Hill Companies, Inc. and have been licensed for use by Fidelity Distributors Corporation.
Other third party marks appearing herein are the property of their respective owners.
All other marks appearing herein are registered or unregistered trademarks or service marks of FMR LLC or an affiliated company.
Annual Report
This report and the financial statements contained herein are submitted for the general information of the shareholders of the fund. This report is not authorized for distribution to prospective investors in the fund unless preceded or accompanied by an effective prospectus.
A fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. Forms N-Q are available on the SEC's web site at http://www.sec.gov. A fund's Forms N-Q may be reviewed and copied at the SEC's Public Reference Room in Washington, DC. Information regarding the operation of the SEC's Public Reference Room may be obtained by calling 1-800-SEC-0330. For a complete list of a fund's portfolio holdings, view the most recent holdings listing, semiannual report, or annual report on Fidelity's web site at http://www.fidelity.com or http://www.advisor.fidelity.com, as applicable.
NOT FDIC INSURED · MAY LOSE VALUE · NO BANK GUARANTEE
Neither the fund nor Fidelity Distributors Corporation is a bank.
Annual Report
Chairman's Message
(photo_of_Edward_C_Johnson_3d)
Dear Shareholder:
An all-out credit crisis gripped the world's capital markets in 2008, stunting economic growth, toppling commodity prices and pushing equity markets into their steepest declines in decades. Within this ultra-risk-averse climate, virtually the only positive results came from the relative security of U.S. government-backed assets. While financial markets are always unpredictable, there are a number of time-tested principles that can put the historical odds in your favor.
One of the basic tenets is to invest for the long term. Over time, riding out the markets' inevitable ups and downs has proven much more effective than selling into panic or chasing the hottest trend. Even missing only a few of the markets' best days can significantly diminish investor returns. Patience also affords the benefits of compounding - of earning interest on additional income or reinvested dividends and capital gains. There are tax advantages and cost benefits to consider as well. The more you sell, the more taxes you pay, and the more you trade, the higher the costs. While staying the course doesn't eliminate risk, it can considerably lessen the effect of short-term declines.
You can further manage your investing risk through diversification. And today, more than ever, geographic diversification should be taken into account. Studies indicate that asset allocation is the single most important determinant of a portfolio's long-term success. The right mix of stocks, bonds and cash - aligned to your particular risk tolerance and investment objective - is very important. Age-appropriate rebalancing is also an essential aspect of asset allocation. For younger investors, an emphasis on equities - which historically have been the best-performing asset class over time - is encouraged. As investors near their specific goal, such as retirement or sending a child to college, consideration may be given to replacing volatile assets (e.g. common stocks) with more-stable fixed investments (bonds or savings plans).
A third investment principle - investing regularly - can help lower the average cost of your purchases. Investing a certain amount of money each month or quarter helps ensure you won't pay for all your shares at market highs. This strategy - known as dollar cost averaging - also reduces unconstructive "emotion" from investing, helping shareholders avoid selling weak performers just prior to an upswing, or chasing a hot performer just before a correction.
We invite you to contact us via the Internet, through our Investor Centers or over the phone. It is our privilege to provide you the information you need to make the investments that are right for you.
Sincerely,
/s/Edward C. Johnson 3d
Edward C. Johnson 3d
Annual Report
Performance: The Bottom Line
Average annual total return reflects the change in the value of an investment, assuming reinvestment of the class' dividend income and capital gains (the profits earned upon the sale of securities that have grown in value, if any) and assuming a constant rate of performance each year. The $10,000 table and the fund's returns do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. During periods of reimbursement by Fidelity, a fund's total return will be greater than it would be had the reimbursement not occurred. How a fund did yesterday is no guarantee of how it will do tomorrow. Returns reflect the conversion of Class B shares to Class A shares after a maximum of four years.
Average Annual Total Returns
Periods ended December 31, 2008 | Past 1 | Past 5 | Past 10 |
Class A (incl. 2.75% sales charge) A | 0.30% | 1.95% | 3.27% |
Class T (incl. 2.75% sales charge) B | 0.40% | 1.91% | 3.22% |
Class B (incl. contingent deferred sales charge) C | -0.46% | 1.92% | 3.24% |
Class C (incl. contingent deferred sales charge) D | 1.35% | 1.68% | 3.07% |
A As of April 1, 2007, Class A shares bear a 0.25% 12b-1 fee. The initial offering of Class A shares took place on July 23, 2003. Returns between July 23, 2003 and April 1, 2007 reflect a 0.15% 12b-1 fee. Returns prior to July 23, 2003 are those of Short-Intermediate Municipal Income Fund, the original retail class of the fund, which has no 12b-1 fee. Had Class A shares' 12b-1 fee been reflected, returns prior to July 23, 2003 would have been lower.
B Class T shares bear a 0.25% 12b-1 fee. The initial offering of Class T shares took place on July 23, 2003. Returns prior to July 23, 2003 are those of Short-Intermediate Municipal Income Fund, the original retail class of the fund, which has no 12b-1 fee. Had Class T shares' 12b-1 fee been reflected, returns prior to July 23, 2003 would have been lower.
C Class B shares bear a 0.90% 12b-1 fee. The initial offering of Class B shares took place on July 23, 2003. Returns prior to July 23, 2003 are those of Short-Intermediate Municipal Income Fund, the original retail class of the fund, which has no 12b-1 fee. Had Class B shares' 12b-1 fee been reflected, returns prior to July 23, 2003 would have been lower. Class B shares' contingent deferred sales charges included in the past one year, past five years, and past ten years total return figures are 3%, 0%, and 0%, respectively.
D Class C shares bear a 1.00% 12b-1 fee. The initial offering of Class C shares took place on July 23, 2003. Returns prior to July 23, 2003 are those of Short-Intermediate Municipal Income Fund, the original retail class of the fund, which has no 12b-1 fee. Had Class C shares' 12b-1 fee been reflected, returns prior to July 23, 2003 would have been lower. Class C shares' contingent deferred sales charge included in the past one year, past five years, and past ten years total return figures are 1%, 0%, and 0%, respectively.
See accompanying notes which are an integral part of the financial statements.
Annual Report
$10,000 Over 10 Years
Let's say hypothetically that $10,000 was invested in Fidelity Advisor Short-Intermediate Municipal Income - Class A on December 31, 1998, and the current 2.75% sales charge was paid. The chart shows how the value of your investment would have changed, and also shows how the Barclays Capital® Municipal Bond Index performed over the same period. The initial offering of Class A took place on July 23, 2003. See the previous page for additional information regarding the performance of Class A.
In prior years, the performance from year to year was represented by the performance of Class T. Going forward, the fund's performance will be represented by Class A for consistency with other fund materials.
Annual Report
Management's Discussion of Fund Performance
Comments from Mark Sommer, Portfolio Manager of Fidelity Advisor Short-Intermediate Municipal Income Fund
Municipal bonds suffered losses during 2008, hurt by a persistent and deepening risk aversion that spread rapidly across the global financial markets. While lower-quality municipals were hit first, insured bonds - most rated AAA at the time - came under pressure shortly thereafter in response to investor concerns about the financial strength of bond insurers. All major municipal bond insurers suffered from their exposure to securities backed by subprime mortgages. Supply pressures also weighed on the markets, as issuers scrambled to refinance their debt as the auction-rate securities market - - a major source of funding for muni issuers - broke down. The loss of independent muni dealers - including Bear Stearns, Lehman Brothers, Merrill Lynch and Wachovia - led to further disruption, as did the selling by leveraged investors to cover losses and meet investor redemptions. But in December, munis started to gain strength as investors gravitated toward their attractive valuations. For the 12 months overall, the Barclays Capital Municipal Bond Index - a performance measure of more than 44,000 investment-grade, fixed-rate, tax-exempt bonds - declined 2.47%. The overall taxable debt market, as measured by the Barclays Capital U.S. Aggregate Bond Index, rose 5.24%.
For the year ending December 31, 2008, the fund's Class A, Class T, Class B and Class C shares returned 3.13%, 3.24%, 2.54% and 2.35%, respectively (excluding sales charges). Meanwhile, the Barclays Capital 1-6 Year Municipal Bond Index - which tracks the types of securities in which the fund invests - gained 5.38%. The fund's underperformance of the benchmark stemmed in part from its underexposure to muni bonds backed by U.S. Treasuries and other government-guaranteed securities, namely prerefunded and escrowed bonds. These securities were in strong demand as investors flocked to very high-quality securities with attractive levels of tax-free yield. Yield-curve positioning also worked against us. Specifically, the fund lost ground because of my decision to overweight five- to 10-year bonds, which underperformed shorter securities as interest rates declined. The fund also suffered from having a larger-than-index weighting in lower-quality investment-grade securities - particularly health care bonds - which suffered as investor demand for them waned amid a global flight to quality. On the plus side, the fund was helped by its underweighting in housing and tobacco bonds, two of the muni market's laggards, which were hurt primarily by the overall downturn in lower-quality bonds.
The views expressed above reflect those of the portfolio manager(s) only through the end of the period as stated on the cover of this report and do not necessarily represent the views of Fidelity or any other person in the Fidelity organization. Any such views are subject to change at any time based upon market or other conditions and Fidelity disclaims any responsibility to update such views. These views may not be relied on as investment advice and, because investment decisions for a Fidelity fund are based on numerous factors, may not be relied on as an indication of trading intent on behalf of any Fidelity fund.
Annual Report
Shareholder Expense Example
As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments or redemption proceeds, redemption fees, and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees and other Fund expenses. This Example is intended to help you 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.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (July 1, 2008 to December 31, 2008).
Actual Expenses
The first line of the accompanying table for each class of the Fund provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000.00 (for example, an $8,600 account value divided by $1,000.00 = 8.6), then multiply the result by the number in the first line for a class of the Fund under the heading entitled "Expenses Paid During Period" to estimate the expenses you paid on your account during this period. In addition, the Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.
Hypothetical Example for Comparison Purposes
The second line of the accompanying table for each class of the Fund provides information about hypothetical account values and hypothetical expenses based on a Class' actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Class' actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and 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. In addition, the Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs. Therefore, the second line 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 transactional costs were included, your costs would have been higher.
Annual Report
| Annualized | Beginning | Ending | Expenses Paid |
Class A | .75% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,018.60 | $ 3.81 |
Hypothetical A |
| $ 1,000.00 | $ 1,021.37 | $ 3.81 |
Class T | .74% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,019.70 | $ 3.76 |
Hypothetical A |
| $ 1,000.00 | $ 1,021.42 | $ 3.76 |
Class B | 1.43% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,016.10 | $ 7.25 |
Hypothetical A |
| $ 1,000.00 | $ 1,017.95 | $ 7.25 |
Class C | 1.50% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,014.80 | $ 7.60 |
Hypothetical A |
| $ 1,000.00 | $ 1,017.60 | $ 7.61 |
Short-Intermediate Municipal Income | .49% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,020.90 | $ 2.49 |
Hypothetical A |
| $ 1,000.00 | $ 1,022.67 | $ 2.49 |
Institutional Class | .51% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,019.80 | $ 2.59 |
Hypothetical A |
| $ 1,000.00 | $ 1,022.57 | $ 2.59 |
A 5% return per year before expenses
* Expenses are equal to each Class' annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/366 (to reflect the one-half year period).
Annual Report
Investment Changes (Unaudited)
Top Five States as of December 31, 2008 | ||
| % of fund's | % of fund's net assets |
New York | 16.5 | 17.0 |
Texas | 10.5 | 11.0 |
California | 7.9 | 10.2 |
Illinois | 7.6 | 7.9 |
New Jersey | 5.0 | 5.5 |
Top Five Sectors as of December 31, 2008 | ||
| % of fund's | % of fund's net assets |
General Obligations | 41.2 | 42.0 |
Special Tax | 9.9 | 10.5 |
Escrowed/Pre-Refunded | 9.5 | 14.4 |
Electric Utilities | 9.0 | 8.8 |
Health Care | 7.8 | 7.8 |
Weighted Average Maturity as of December 31, 2008 | ||
|
| 6 months ago |
Years | 3.5 | 3.6 |
The weighted average maturity is based on the dollar-weighted average length of time until principal payments are expected or until securities reach maturity, taking into account any maturity shortening feature such as a call, refunding or redemption provision. |
Duration as of December 31, 2008 | ||
|
| 6 months ago |
Years | 2.6 | 2.8 |
Duration shows how much a bond fund's price fluctuates with changes in comparable interest rates. If rates rise 1%, for example, a fund with a five-year duration is likely to lose about 5% of its value. Other factors also can influence a bond fund's performance and share price. Accordingly, a bond fund's actual performance may differ from this example. |
Quality Diversification (% of fund's net assets) | |||||||
As of December 31, 2008 | As of June 30, 2008 | ||||||
![]() | AAA 6.6% |
| ![]() | AAA 24.3% |
| ||
![]() | AA,A 75.7% |
| ![]() | AA,A 68.8% |
| ||
![]() | BBB 7.9% |
| ![]() | BBB 4.4% |
| ||
![]() | BB and Below 0.2% |
| ![]() | BB and Below 0.2% |
| ||
![]() | Not Rated 2.9% |
| ![]() | Not Rated 1.9% |
| ||
![]() | Short-Term |
| ![]() | Short-Term |
|
We have used ratings from Moody's® Investors Services, Inc. Where Moody's ratings are not available, we have used S&P® ratings. All ratings are as of the report date and do not reflect subsequent downgrades. |
Annual Report
Investments December 31, 2008
Showing Percentage of Net Assets
Municipal Bonds - 93.3% | ||||
| Principal Amount (000s) | Value (000s) | ||
Alabama - 1.6% | ||||
Birmingham Baptist Med. Ctrs. Spl. Care Facilities Fing. Auth. Rev. (Baptist Health Sys., Inc. Proj.) Series 2005 A, 5% 11/15/09 | $ 1,100 | $ 1,074 | ||
Birmingham Wtrwks. & Swr. Board Wtr. & Swr. Rev. Series 2002 B, 5% 1/1/37 (Pre-Refunded to 1/1/13 @ 100) (f) | 10,000 | 10,947 | ||
Health Care Auth. for Baptist Health Series 2006 D, 5% 11/15/11 | 1,000 | 997 | ||
Huntsville Solid Waste Disp. Auth. & Resource Recovery Rev. Series 2000, 5.75% 10/1/09 (MBIA Insured) (e) | 4,000 | 4,092 | ||
Jefferson County Swr. Rev.: | ||||
Series 2001 A, 5.5% 2/1/40 (Pre-Refunded to 2/1/11 @ 101) (f) | 3,900 | 4,185 | ||
Series 2002 B, 5% 2/1/41 (Pre-Refunded to 8/1/12 @ 100) (f) | 2,070 | 2,227 | ||
Mobile Indl. Dev. Board Poll. Cont. Rev. (Alabama Pwr. Co. Barry Plant Proj.) Series 2007 A, 4.75%, tender 3/19/12 (b) | 5,000 | 5,035 | ||
Pell City Spl. Care Facilities Rev. (Noland Health Svcs., Inc. Proj.) Series 2007 A: | ||||
5% 12/1/09 | 500 | 491 | ||
5% 12/1/10 | 855 | 821 | ||
5% 12/1/12 | 750 | 686 | ||
Univ. of Alabama at Birmingham Hosp. Rev. Series | 1,175 | 1,178 | ||
| 31,733 | |||
Alaska - 0.3% | ||||
Alaska Student Ln. Corp. Student Ln. Rev. Series 2000 A, 5.85% 7/1/13 (Pre-Refunded to 7/1/10 @ 100) (e)(f) | 3,285 | 3,428 | ||
Anchorage Gen. Oblig. Series B, 5.75% 12/1/11 (Pre-Refunded to 12/1/10 @ 100) (f) | 2,500 | 2,687 | ||
| 6,115 | |||
Arizona - 2.2% | ||||
Arizona Ctfs. of Prtn. Series 2002 B, 5.5% 9/1/10 (FSA Insured) | 9,025 | 9,450 | ||
Arizona Health Facilities Auth. Rev. (Banner Health Sys. Proj.): | ||||
Series 2008 A, 5% 1/1/13 | 2,000 | 2,009 | ||
Series 2008 D: | ||||
5% 1/1/13 | 3,250 | 3,264 | ||
5% 1/1/14 | 2,000 | 1,989 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Arizona - continued | ||||
Arizona School Facilities Board Ctfs. of Prtn.: | ||||
Series 2004 C, 5% 9/1/09 (FSA Insured) | $ 1,115 | $ 1,139 | ||
Series 2008, 5.5% 9/1/13 | 18,780 | 20,362 | ||
Nogales Rev. Oblig. (Wastewtr. Systems Proj.) Series 2006A, 3.75%, tender 10/1/09, LOC JPMorgan Chase Bank (b) | 3,000 | 3,051 | ||
Tucson Wtr. Rev. Series 2001 A: | ||||
5% 7/1/11 (FGIC Insured) | 1,500 | 1,575 | ||
5% 7/1/15 (FGIC Insured) | 1,645 | 1,790 | ||
| 44,629 | |||
California - 7.9% | ||||
California Dept. of Wtr. Resources Pwr. Supply Rev. Series 2002 A, 5.25% 5/1/12 | 6,000 | 6,394 | ||
California Econ. Recovery Series 2004 A: | ||||
5.25% 1/1/11 | 6,500 | 6,826 | ||
5.25% 7/1/13 | 2,440 | 2,650 | ||
5.25% 7/1/13 | 2,400 | 2,606 | ||
California Gen. Oblig.: | ||||
5% 2/1/11 | 4,000 | 4,150 | ||
5% 2/1/11 | 785 | 815 | ||
5% 10/1/11 | 1,650 | 1,728 | ||
5% 2/1/12 | 1,650 | 1,734 | ||
5% 3/1/12 | 15,000 | 15,775 | ||
5% 9/1/12 | 1,700 | 1,794 | ||
5% 10/1/12 | 12,600 | 13,301 | ||
5% 11/1/13 | 10,000 | 10,605 | ||
5.25% 9/1/10 | 18,050 | 18,673 | ||
5.25% 2/1/11 | 2,465 | 2,570 | ||
5.5% 3/1/11 (FGIC Insured) | 3,210 | 3,368 | ||
5.5% 3/1/11 (XL Cap. Assurance, Inc. Insured) | 2,775 | 2,911 | ||
6.5% 9/1/10 | 1,760 | 1,857 | ||
California Health Facilities Fing. Auth. Rev.: | ||||
(Catholic Healthcare West Proj.) Series 2008 H, 5.125% 7/1/22 | 2,850 | 2,621 | ||
(Cedars-Sinai Med. Ctr. Proj.) Series 2005, 5% 11/15/10 | 1,000 | 1,021 | ||
California Infrastructure & Econ. Dev. Bank Rev. (The J. Paul Getty Trust Proj.) Series 2003 C, 3.9%, tender 12/1/11 (b) | 2,100 | 2,179 | ||
California Poll. Cont. Fing. Auth. Solid Waste Disp. Rev. (Waste Mgmt., Inc. Proj.) Series 2003 A, 5%, tender 5/1/13 (b)(e) | 2,300 | 1,926 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
California - continued | ||||
California State Univ. Rev. Series 2007 C, 5% 11/1/13 (FSA Insured) | $ 1,335 | $ 1,468 | ||
California Statewide Cmntys. Dev. Auth. Rev. (Kaiser Fund Hosp./Health Place, Inc. Proj.) Series 2002 C, 3.85%, tender 6/1/12 (b) | 1,400 | 1,368 | ||
Golden State Tobacco Securitization Corp. Tobacco Settlement Rev.: | ||||
Series 2003 B: | ||||
5.5% 6/1/43 (Pre-Refunded to 6/1/13 @ 100) (f) | 2,000 | 2,221 | ||
5.625% 6/1/38 (Pre-Refunded to 6/1/13 @ 100) (f) | 3,030 | 3,380 | ||
Series 2007 A1, 5% 6/1/12 | 2,570 | 2,453 | ||
Los Angeles Unified School District: | ||||
(Election of 1997 Proj.) Series 2002 E, 5.5% 7/1/14 (MBIA Insured) | 4,400 | 4,743 | ||
Series E, 5% 7/1/11 | 6,075 | 6,440 | ||
Northern California Gas Auth. #1 Gas Proj. Rev. Series 2007 A, 5% 7/1/11 | 2,025 | 1,795 | ||
Poway Unified School District Pub. Fing. Auth. Lease Rev.: | ||||
Cap. Appreciation Series 2007, 0%, tender 6/1/10 (FSA Insured) (b) | 3,655 | 3,504 | ||
Series 2008 B, 0%, tender 12/1/14 (FSA Insured) (b) | 7,235 | 5,412 | ||
San Joaquin Hills Trans. Corridor Agcy. Toll Road Rev. Series A, 0% 1/15/12 (MBIA Insured) | 3,600 | 2,905 | ||
Sulphur Springs Union School District Ctfs. of Prtn. 0%, tender 3/1/11 (AMBAC Insured) (b) | 985 | 916 | ||
Univ. of California Revs.: | ||||
(UCLA Med. Ctr. Proj.) 4.55% 12/1/09 (Escrowed to Maturity) (f)(g) | 8,230 | 8,507 | ||
Series K, 5% 5/15/10 | 4,655 | 4,875 | ||
Western Placer Unified School District Ctfs. of Prtn. (School Facilities Proj.) Series 2006 B, 3.625%, tender 12/1/09 (FSA Insured) (b) | 3,170 | 3,220 | ||
| 158,711 | |||
Colorado - 0.3% | ||||
Colorado Health Facilities Auth. Rev.: | ||||
(Adventist Health Sys. - Sunbelt Proj.): | ||||
Series 2006 E: | ||||
5% 11/15/11 | 2,110 | 2,154 | ||
5% 11/15/11 (Escrowed to Maturity) (f) | 120 | 130 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Colorado - continued | ||||
Colorado Health Facilities Auth. Rev.: - continued | ||||
(Adventist Health Sys. - Sunbelt Proj.): | ||||
Series 2006 F: | ||||
5% 11/15/12 | $ 380 | $ 387 | ||
5% 11/15/12 (Escrowed to Maturity) (f) | 845 | 930 | ||
(Volunteers of America Care Proj.) Series 2007 A, 5% 7/1/10 | 615 | 578 | ||
Denver City & County Arpt. Rev. Series 2001 A, 5.625% 11/15/12 (e) | 2,000 | 2,000 | ||
| 6,179 | |||
Connecticut - 1.8% | ||||
Connecticut Gen. Oblig.: | ||||
Series 2001 D, 5.125% 11/15/18 (Pre-Refunded to 11/15/11 @ 100) (f) | 5,000 | 5,399 | ||
Series 2006 F, 5% 12/1/11 | 23,100 | 24,949 | ||
Connecticut Spl. Tax Oblig. Trans. Infrastructure Rev. Series 1998 A, 5.5% 10/1/13 (FGIC Insured) | 4,300 | 4,815 | ||
| 35,163 | |||
District Of Columbia - 0.7% | ||||
District of Columbia Gen. Oblig. Series B, 0% 6/1/12 (MBIA Insured) | 3,600 | 3,243 | ||
District of Columbia Rev. (Medlantic/Helix Proj.) Series 1998 C: | ||||
4% 8/15/09 (FSA Insured) | 1,100 | 1,114 | ||
5% 8/15/15 (FSA Insured) | 1,500 | 1,534 | ||
District of Columbia Univ. Rev. (Georgetown Univ. Proj.) Series 2001 B, 4.7%, tender 4/1/18 (b) | 8,500 | 8,325 | ||
| 14,216 | |||
Florida - 4.3% | ||||
Brevard County School Board Ctfs. of Prtn. Series 1996 A, 5.5% 7/1/09 (AMBAC Insured) | 2,775 | 2,824 | ||
Broward County School Board Ctfs. of Prtn. Series 2008 A, 5% 7/1/15 (FSA Insured) | 5,495 | 5,790 | ||
Citizens Property Ins. Corp. Series 2007 A, 5% 3/1/11 (MBIA Insured) | 4,025 | 4,118 | ||
Escambia City Health Facilities Auth. Rev. (Ascension Health Cr. Group Proj.) Series 2003 A, 5.25% 11/15/13 | 4,265 | 4,414 | ||
Florida Gen. Oblig. (Dept. of Trans. Right-of-Way and Bridge Construction Proj.) Series 2005 B, 6.375% 7/1/13 | 8,020 | 9,184 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Florida - continued | ||||
Highlands County Health Facilities Auth. Rev.: | ||||
(Adventist Health Sys./Sunbelt, Inc. Prog.): | ||||
Series 2002, 3.95%, tender 9/1/12 (b) | $ 7,550 | $ 7,098 | ||
Series 2005 A, 5% 11/15/10 | 1,000 | 1,019 | ||
Series G: | ||||
5% 11/15/09 | 420 | 428 | ||
5% 11/15/09 (Escrowed to Maturity) (f) | 15 | 15 | ||
5% 11/15/10 | 385 | 392 | ||
5% 11/15/10 (Escrowed to Maturity) (f) | 15 | 16 | ||
5% 11/15/11 | 675 | 689 | ||
5% 11/15/11 (Escrowed to Maturity) (f) | 25 | 27 | ||
(Adventist Health Sys./Sunbelt, Inc. Prog.) Series 2008 A, 6.1%, tender 11/14/13 (b) | 1,000 | 1,002 | ||
Hillsborough County Indl. Dev. (H Lee Moffitt Cancer Ctr. Proj.) Series 2007 A, 5% 7/1/12 | 1,310 | 1,315 | ||
Hillsborough County Indl. Dev. Auth. Poll. Cont. Rev. (Tampa Elec. Co. Proj.): | ||||
Series 2006, 5%, tender 3/15/12 (AMBAC Insured) (b) | 1,500 | 1,539 | ||
Series 2007 B, 5.15%, tender 9/1/13 (b) | 1,750 | 1,683 | ||
Lakeland Hosp. Sys. Rev. (Reg'l. Health Systems Proj.) 5% 11/15/11 | 2,545 | 2,491 | ||
Lee County Solid Waste Sys. Rev. Series 2001, 5.25% 10/1/09 (MBIA Insured) (e) | 1,000 | 1,018 | ||
Lee Memorial Health Sys. Board of Directors Hosp. Rev. Series A, 5.75% 4/1/12 (FSA Insured) | 1,980 | 2,108 | ||
Miami-Dade County Cap. Asset Acquisition Series 2002 A, 5% 4/1/12 (AMBAC Insured) | 2,800 | 2,947 | ||
Miami-Dade County Health Facilities Auth. Hosp. Rev. (Miami Children's Hosp. Proj.) Series 2006 A, 4.125%, tender 8/1/11 (b) | 2,000 | 2,016 | ||
Miami-Dade County School Board Ctfs. of Prtn. Series 2003 B, 5%, tender 5/1/11 (MBIA Insured) (b) | 1,500 | 1,540 | ||
Miami-Dade County Wtr. & Swr. Rev. Series 2008 A, 5% 10/1/14 (FSA Insured) | 4,000 | 4,294 | ||
North Brevard County Hosp. District Rev. (Parrish Med. Ctr. Proj.) Series 2008: | ||||
3.5% 10/1/09 | 990 | 998 | ||
4.625% 10/1/12 | 1,110 | 1,082 | ||
Orange County Health Facilities Auth. Rev.: | ||||
(Adventist Health Sys./Sunbelt Obligated Group Proj.) Series 1992, 5.75% 11/15/12 (FSA Insured) | 2,615 | 2,618 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Florida - continued | ||||
Orange County Health Facilities Auth. Rev.: - continued | ||||
(Orlando Reg'l. Health Care Sys. Proj.) Series 2008 A, 5% 11/1/15 (FSA Insured) | $ 1,825 | $ 1,892 | ||
Polk County Cap. Impt. Rev.: | ||||
Series 2002, 5.5% 12/1/11 (FGIC Insured) | 3,470 | 3,684 | ||
Series 2004, 5.5%, tender 12/1/10 (FSA Insured) (b) | 9,000 | 9,550 | ||
Polk County School District Sales Tax Rev. Series 2007, 5% 10/1/12 (FSA Insured) | 6,080 | 6,547 | ||
Univ. Athletic Assoc., Inc. Athletic Prog. Rev. Series 2001, 3%, tender 10/1/09, LOC SunTrust Banks, Inc. (b) | 1,000 | 1,007 | ||
| 85,345 | |||
Georgia - 2.8% | ||||
Burke County Indl. Dev. Auth. Poll. Cont. Rev. (Oglethorpe Pwr. Corp. Proj.) 6.75%, tender 4/1/12 (b) | 7,600 | 7,669 | ||
Carroll County School District Series 2007, 5% 4/1/11 | 8,000 | 8,518 | ||
Georgia Muni. Elec. Auth. Pwr. Rev. Series 1992 B, 8.25% 1/1/11 (MBIA Insured) | 4,105 | 4,518 | ||
Henry County School District Series 2007 A, 5% 4/1/10 | 10,000 | 10,424 | ||
Main Street Natural Gas, Inc. Georgia Gas Proj. Rev. Series 2007 A, 5% 9/15/12 | 4,000 | 3,643 | ||
Monroe County Dev. Auth. Poll. Cont. Rev.: | ||||
(Georgia Pwr. Co. Plant Scherer Proj.) First Series, 4.5%, tender 4/1/11 (b) | 5,200 | 5,158 | ||
(Georgia Pwr. Co. Proj.) Series 2007 A, 4.75%, tender 4/1/11 (MBIA Insured) (b) | 5,705 | 5,755 | ||
Muni. Elec. Auth. of Georgia (Proj. One) Series 2008 A: | ||||
5% 1/1/13 | 2,000 | 2,101 | ||
5% 1/1/14 | 3,000 | 3,159 | ||
Walton County Series 2007: | ||||
5% 1/1/10 (FGIC Insured) | 2,000 | 2,065 | ||
5% 1/1/11 (FGIC Insured) | 3,000 | 3,136 | ||
| 56,146 | |||
Hawaii - 0.4% | ||||
Hawaii Arpts. Sys. Rev. Series 2000 B, 8% 7/1/10 (FGIC Insured) (e) | 3,850 | 4,060 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Hawaii - continued | ||||
Hawaii Gen. Oblig. Series CU: | ||||
5.75% 10/1/11 (MBIA Insured) | $ 3,040 | $ 3,215 | ||
5.75% 10/1/11 (Pre-Refunded to 10/1/10 @ 100) (f) | 170 | 182 | ||
| 7,457 | |||
Illinois - 7.6% | ||||
Chicago Board of Ed. Series 1997, 6.75% 12/1/10 (AMBAC Insured) | 4,160 | 4,423 | ||
Chicago Gen. Oblig.: | ||||
(City Colleges Proj.) Series 1999, 0% 1/1/17 (FGIC Insured) | 7,200 | 5,154 | ||
Series A: | ||||
5.25% 1/1/12 (Escrowed to Maturity) (f) | 825 | 907 | ||
5.25% 1/1/12 (FSA Insured) | 175 | 190 | ||
Chicago Midway Arpt. Rev. Series 2004 B: | ||||
5% 1/1/10 (AMBAC Insured) | 1,225 | 1,251 | ||
5% 1/1/11 (AMBAC Insured) | 3,625 | 3,739 | ||
Chicago O'Hare Int'l. Arpt. Rev.: | ||||
Series 1999, 5.5% 1/1/10 (AMBAC Insured) (e) | 2,900 | 2,961 | ||
Series 2008 A: | ||||
5% 1/1/12 (FSA Insured) | 3,500 | 3,645 | ||
5% 1/1/13 (FSA Insured) | 4,000 | 4,179 | ||
Series A, 5% 1/1/12 (MBIA Insured) | 1,165 | 1,216 | ||
Chicago Park District: | ||||
Series 2003 C, 5% 1/1/11 (AMBAC Insured) | 2,515 | 2,651 | ||
Series 2004 B, 5% 1/1/11 (AMBAC Insured) | 5,750 | 6,061 | ||
Chicago Transit Auth. Cap. Grant Receipts Rev.: | ||||
(Fed. Transit Administration Section 5307 Proj.) Series 2004 A, 5.25% 6/1/10 (AMBAC Insured) | 4,835 | 5,016 | ||
(Fed. Transit Administration Section 5309 Proj.) Series 2008 A: | ||||
5% 6/1/10 | 1,705 | 1,760 | ||
5% 6/1/13 | 3,765 | 3,997 | ||
Cook County Thorton Township High School District #205 5.5% 12/1/16 (Assured Guaranty Corp. Insured) | 2,500 | 2,648 | ||
Granite City Solid Waste Disp. Rev. (Waste Mgmt., Inc. Proj.) Series 2002, 4.875%, tender 5/3/10 (b)(e) | 5,500 | 5,408 | ||
Hodgkins Tax Increment Rev. Series 2005, 5% 1/1/09 | 1,805 | 1,805 | ||
Illinois Dev. Fin. Auth. Rev. (DePaul Univ. Proj.) Series 2004 C, 5.5% 10/1/10 | 1,900 | 1,986 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Illinois - continued | ||||
Illinois Edl. Facilities Auth. Revs.: | ||||
(Art Institute of Chicago Proj.) Series 2003, 3.85%, tender 3/1/11 (b) | $ 12,800 | $ 12,855 | ||
(Field Museum of Natural History Proj.) Series 2002, 4.05%, tender 11/1/11 (b) | 3,250 | 3,325 | ||
Illinois Fin. Auth. Hosp. Rev. (KishHealth Sys. Proj.) Series 2008, 5.25% 10/1/15 | 2,220 | 2,170 | ||
Illinois Fin. Auth. Rev.: | ||||
(DePaul Univ. Proj.) Series 2005 A, 5% 10/1/11 | 1,450 | 1,528 | ||
(Northwest Cmnty. Hosp. Proj.) Series 2008 A: | ||||
5% 7/1/12 | 750 | 771 | ||
5% 7/1/13 | 415 | 426 | ||
5% 7/1/15 | 1,000 | 1,016 | ||
(Rush Univ. Med. Ctr. Proj.) Series 2006 B: | ||||
5% 11/1/15 (MBIA Insured) | 3,075 | 3,054 | ||
5% 11/1/16 (MBIA Insured) | 1,700 | 1,652 | ||
Illinois Gen. Oblig.: | ||||
First Series 2001, 5.25% 5/1/11 (FSA Insured) | 1,515 | 1,614 | ||
First Series, 5.5% 8/1/10 | 1,495 | 1,565 | ||
Series 2002, 5.375% 7/1/11 (MBIA Insured) | 6,745 | 7,223 | ||
5.75% 4/1/12 (Pre-Refunded to 4/1/10 @ 100) (f) | 1,000 | 1,056 | ||
Illinois Health Facilities Auth. Rev.: | ||||
(Delnor Hosp. Proj.) Series 2003 A: | ||||
5% 5/15/15 (FSA Insured) | 2,250 | 2,393 | ||
5% 5/15/16 (FSA Insured) | 2,325 | 2,463 | ||
(Edward Hosp. Obligated Group Proj.) Series 2001 B, 5.125% 2/15/25 (Pre-Refunded to 2/15/11 @ 101) (f) | 8,500 | 9,203 | ||
Kane & DeKalb Counties Cmnty. Unit School District #301 Series 1995, 0% 12/1/10 (AMBAC Insured) | 2,000 | 1,903 | ||
Kane & DuPage Counties Cmnty. Unit School District #303, Saint Charles Series 2002 B, 5.5% 1/1/12 (FSA Insured) | 2,270 | 2,481 | ||
Kane County School District #129, Aurora West Side Series 2002 A, 5.75% 2/1/14 (Pre-Refunded to 2/1/12 @ 100) (f) | 1,600 | 1,787 | ||
Lake County Cmnty. High School District #128, Libertyville Series 2004, 5% 1/1/11 | 2,365 | 2,498 | ||
Madison County Cmnty. United School District #007 Series 2007 A, 5% 12/1/11 (FSA Insured) | 2,965 | 3,188 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Illinois - continued | ||||
Metropolitan Pier & Exposition Auth. Dedicated State Tax Rev.: | ||||
(McCormick Place Expansion Proj.) Series 1996 A, 0% 12/15/13 (MBIA Insured) | $ 2,725 | $ 2,289 | ||
Series 2002 A, 0% 6/15/14 (FGIC Insured) | 9,325 | 7,618 | ||
Series 2002, 0% 6/15/10 (Escrowed to Maturity) (f) | 5,000 | 4,877 | ||
Quincy Hosp. Rev. (Blessing Hosp. Proj.) Series 2007, 5% 11/15/10 | 1,285 | 1,296 | ||
Rosemont Gen. Oblig. Series 1993 A, 0% 12/1/11 (FGIC Insured) | 3,695 | 3,407 | ||
Univ. of Illinois Ctfs. of Prtn. (Util. Infrastructure Proj.) Series 2003, 5% 8/15/11 (AMBAC Insured) | 1,360 | 1,450 | ||
Univ. of Illinois Univ. Revs.: | ||||
(Auxiliary Facilities Sys. Proj.) Series 2005 A, 5% 4/1/11 (MBIA Insured) | 5,050 | 5,351 | ||
0% 4/1/14 | 2,350 | 1,929 | ||
| 151,385 | |||
Indiana - 2.6% | ||||
Carmel High School Bldg. Corp. Series 2005, 5% 1/10/11 (FSA Insured) | 1,000 | 1,058 | ||
Hamilton Southeastern Consolidated School Bldg. Corp.: | ||||
Series 2004: | ||||
5% 1/15/10 (FSA Insured) | 1,835 | 1,903 | ||
5% 1/15/11 (FSA Insured) | 1,910 | 1,994 | ||
5% 1/15/12 (FSA Insured) | 1,990 | 2,108 | ||
Series 2005 A: | ||||
5% 1/10/10 (FSA Insured) | 1,750 | 1,819 | ||
5.25% 7/10/11 (FSA Insured) | 2,295 | 2,428 | ||
5.25% 1/10/12 (FSA Insured) | 1,355 | 1,445 | ||
Indiana Fin. Auth. Health Sys. Rev. (Sisters of Saint Francis Health Svcs., Inc. Obligated Group Proj.) Series 2008 C, 5% 11/1/13 | 3,000 | 3,063 | ||
Indiana Fin. Auth. Rev. (Ascension Health Proj.) Series 2008 E7, 3.5%, tender 12/15/09 (b) | 5,000 | 5,039 | ||
Indiana Health Facility Fing. Auth. Rev. (Ascension Health Subordinate Cr. Proj.) Series 2005 A3, 5%, tender 7/1/11 (b) | 4,100 | 4,182 | ||
Indiana Univ. Student Fee Revs. Series H, 0% 8/1/09 (AMBAC Insured) | 3,875 | 3,836 | ||
Indianapolis Local Pub. Impt. Bond Bank (Wtrwks. Proj.) Series 2002 A, 5.5% 7/1/16 (Pre-Refunded to 7/1/12 @ 100) (f) | 5,000 | 5,621 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Indiana - continued | ||||
Ivy Tech State College Series I, 5% 7/1/09 (AMBAC Insured) | $ 1,405 | $ 1,425 | ||
Jasper County Indl. Poll. Ctl. Rev. (Northern Indiana Pub. Svc. Co. Proj.) Series 1988 B, 5.2% 6/1/13 (MBIA Insured) | 3,000 | 3,021 | ||
Logansport High School Bldg. Corp. Series 2005: | ||||
5.25% 1/15/11 (MBIA Insured) | 1,000 | 1,059 | ||
5.25% 7/15/11 (MBIA Insured) | 1,020 | 1,092 | ||
5.25% 1/15/12 (MBIA Insured) | 1,045 | 1,130 | ||
5.25% 7/15/12 (MBIA Insured) | 1,075 | 1,172 | ||
Muncie School Bldg. Corp. Series 2005, 5.25% 7/10/12 (MBIA Insured) | 1,585 | 1,733 | ||
New Albany Floyd County Independent School Bldg. Corp. Series 2005, 5% 1/15/11 (FSA Insured) | 1,000 | 1,058 | ||
Rockport Poll. Cont. Rev. (AEP Generating Co. Proj.) Series 1995 A, 4.15%, tender 7/15/11 (AMBAC Insured) (b) | 1,600 | 1,668 | ||
West Clark 2000 School Bldg. Corp. Series 2005: | ||||
5.25% 1/15/11 (MBIA Insured) | 1,065 | 1,129 | ||
5.25% 7/15/11 (MBIA Insured) | 1,125 | 1,206 | ||
5.25% 1/15/12 (MBIA Insured) | 1,150 | 1,246 | ||
| 51,435 | |||
Kansas - 0.1% | ||||
Kansas Dev. Fin. Auth. Health Facilities Rev. (Hays Med. Ctr. Proj.) Series 2005 L: | ||||
5.25% 11/15/10 | 545 | 554 | ||
5.25% 11/15/12 | 680 | 686 | ||
Olathe Health Facilities Rev. (Olathe Med. Ctr. Proj.) Series 2008 A, 4.125%, tender 3/1/13 (b) | 1,600 | 1,565 | ||
| 2,805 | |||
Kentucky - 0.4% | ||||
Kenton County Arpt. Board Arpt. Rev. Series 2003 B, 5% 3/1/09 (MBIA Insured) (e) | 1,185 | 1,188 | ||
Louisville/Jefferson County Metropolitan Govt. Poll. Cont. Rev. (Louisville Gas and Electronic Co. Proj.) Series 2005 A, 5.75%, tender 12/2/13 (b) | 6,000 | 6,007 | ||
| 7,195 | |||
Louisiana - 0.2% | ||||
East Baton Rouge Parish Pub. Impt. Sales Tax Rev. Series ST-2005 B, 5% 2/1/12 (AMBAC Insured) | 1,000 | 1,049 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Louisiana - continued | ||||
Ernest N. Morial-New Orleans Exhibit Hall Auth. Spl. Tax Series 2003 A, 5.25% 7/15/11 (Escrowed to Maturity) (f) | $ 2,060 | $ 2,238 | ||
Louisiana Military Dept. Custody Receipts 5% 8/1/10 | 1,530 | 1,580 | ||
| 4,867 | |||
Maryland - 2.3% | ||||
Baltimore Proj. Rev. (Wtr. Proj.) Series 2007 D: | ||||
5% 7/1/10 (AMBAC Insured) | 690 | 717 | ||
5% 7/1/11 (AMBAC Insured) | 1,985 | 2,098 | ||
Howard County Retirement Cmnty. Rev. (Vantage House Proj.) Series 2007 A, 4.5% 4/1/09 | 305 | 302 | ||
Maryland Gen. Oblig. (State & Local Facilities Ln. Prog.): | ||||
First Series 2005 B, 5.25% 2/15/12 | 20,000 | 21,930 | ||
First Series 2008, 5% 3/1/12 | 10,000 | 10,896 | ||
Maryland Health & Higher Edl. Facilities Auth. Rev.: | ||||
(Johns Hopkins Health Sys. Obligated Group Proj.) Series 2008 B, 5%, tender 5/15/15 (b) | 2,225 | 2,291 | ||
(Univ. of Maryland Med. Sys. Proj.) Series 2008 F: | ||||
5% 7/1/13 | 2,400 | 2,424 | ||
5% 7/1/14 | 3,500 | 3,520 | ||
Prince Georges County Ctfs. of Prtn. (Equip. Acquisition Prog.) Series 2004, 5.25% 5/15/10 (MBIA Insured) | 1,535 | 1,607 | ||
| 45,785 | |||
Massachusetts - 2.9% | ||||
Massachusetts Dept. of Agricultural Resources Higher Ed. Rev. Series 2006 A, 5% 1/1/11 | 1,000 | 1,008 | ||
Massachusetts Fed. Hwy. Series 2000 A, 5.75% 6/15/13 | 3,000 | 3,181 | ||
Massachusetts Gen. Oblig.: | ||||
Series 1999 C, 5.625% 9/1/12 (Pre-Refunded to 9/1/09 @ 101) (f) | 2,570 | 2,667 | ||
Series 2000 A, 6% 2/1/10 | 2,500 | 2,624 | ||
Series 2001 A, 5.5% 1/1/11 | 5,000 | 5,331 | ||
Series 2002 C, 5.25% 11/1/30 (Pre-Refunded to 11/1/12 @ 100) (f) | 2,495 | 2,748 | ||
Series 2003 C, 5.5% 10/1/10 (MBIA Insured) | 1,130 | 1,195 | ||
Massachusetts Port Auth. Spl. Facilities Rev. (Delta Air Lines, Inc. Proj.) Series 2001 A, 5.5% 1/1/12 (AMBAC Insured) (e) | 1,000 | 649 | ||
Massachusetts Spl. Oblig. Rev. (Fed. Hwy. Grant Anticipation Note Prog.) Series 2003 A, 5% 12/15/12 (FSA Insured) | 3,300 | 3,509 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Massachusetts - continued | ||||
Massachusetts Wtr. Resources Auth. Wtr. & Swr. Rev.: | ||||
Series 2000 A: | ||||
5.75% 8/1/30 (Pre-Refunded to 8/1/10 @ 101) (f) | $ 19,000 | $ 20,486 | ||
5.75% 8/1/39 (Pre-Refunded to 8/1/10 @ 101) (f) | 5,000 | 5,391 | ||
Series B, 5.2% 8/1/22 (Pre-Refunded to 8/1/11 @ 101) (f) | 8,350 | 9,142 | ||
| 57,931 | |||
Michigan - 2.6% | ||||
Allegan Pub. School District Series 2008, 5% 5/1/12 (MBIA Insured) | 1,590 | 1,720 | ||
Chelsea School District 5% 5/1/13 (MBIA Insured) | 1,750 | 1,915 | ||
Clarkston Cmnty. Schools Series 2008, 5% 5/1/12 (FSA Insured) | 3,000 | 3,265 | ||
Detroit City School District Series 2001 A, 5.5% 5/1/11 (FSA Insured) | 1,200 | 1,282 | ||
Detroit Swr. Disp. Rev.: | ||||
Series 2006 D, 3.201% 7/1/32 (b) | 4,095 | 2,213 | ||
Series A, 5.75% 7/1/26 (Pre-Refunded to 1/1/10 @ 101) (f) | 2,000 | 2,101 | ||
DeWitt Pub. Schools 5% 5/1/10 (MBIA Insured) | 1,280 | 1,321 | ||
Grand Haven Area Pub. Schools 5% 5/1/12 (FSA Insured) | 2,965 | 3,207 | ||
Grand Rapids Cmnty. College: | ||||
5% 5/1/12 (FSA Insured) | 1,305 | 1,420 | ||
5% 5/1/13 (FSA Insured) | 1,305 | 1,439 | ||
Kent Hosp. Fin. Auth. Hosp. Facilities Rev. (Spectrum Health Sys. Proj.) Series 2008 A, 5.25%, tender 1/15/14 (b) | 2,000 | 2,018 | ||
Lincoln Consolidated School District 5% 5/1/12 (FSA Insured) | 1,485 | 1,611 | ||
Michigan Bldg. Auth. Rev. (Facilities Prog.) Series I: | ||||
5.5% 10/15/09 | 2,705 | 2,786 | ||
5.5% 10/15/13 | 2,200 | 2,331 | ||
Michigan Gen. Oblig. (Envir. Protection Prog.) Series 1992, 6.25% 11/1/12 | 2,735 | 2,941 | ||
Michigan Hosp. Fin. Auth. Rev.: | ||||
(McLaren Health Care Corp. Proj.) Series 2008 A, 5.25% 5/15/14 | 4,160 | 4,185 | ||
(Oakwood Hosp. Proj.) Series 2007 A, 5% 7/15/11 | 2,700 | 2,664 | ||
Plymouth-Canton Cmnty. School District 5% 5/1/12 (FSA Insured) | 4,000 | 4,347 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Michigan - continued | ||||
Pontiac Tax Increment Fin. Auth. Series 2002, 6.25% 6/1/22 (Pre-Refunded to 6/1/12 @ 101) (f) | $ 2,260 | $ 2,599 | ||
Royal Oak City School District 5% 5/1/12 | 2,000 | 2,166 | ||
Troy School District 5% 5/1/11 (MBIA Insured) | 1,000 | 1,064 | ||
Wayne County Cmnty. College (College Facilities Impt. Proj.) 5.25% 7/1/09 (FGIC Insured) | 1,220 | 1,238 | ||
Wayne-Westland Cmnty. Schools 5% 5/1/10 (FSA Insured) | 1,225 | 1,267 | ||
| 51,100 | |||
Minnesota - 0.3% | ||||
Minneapolis & Saint Paul Hsg. & Redev. Auth. Health Care Sys. Rev. (HealthPartners Obligated Group Proj.) Series 2003, 5.25% 12/1/10 | 500 | 476 | ||
Minneapolis & Saint Paul Metropolitan Arpts. Commission Arpt. Rev. Series 2008 A, 5% 1/1/13 (e) | 1,000 | 995 | ||
Saint Louis Park Health Care Facilities Rev. (Park Nicollet Health Svcs. Proj.) Series 2008 C, 5.5% 7/1/10 | 2,000 | 2,030 | ||
Saint Paul Hsg. & Redev. Auth. Health Care Facilities Rev. (Healthpartners Oblig. Group Proj.) Series 2006: | ||||
5% 5/15/09 | 250 | 247 | ||
5% 5/15/10 | 200 | 192 | ||
5% 5/15/11 | 300 | 280 | ||
Saint Paul Port Auth. Lease Rev. (HealthEast Midway Campus Proj.) Series 2003 A, 5% 5/1/10 | 250 | 237 | ||
Waconia Independent School District #110 Series 2003 A, 5% 2/1/11 (FSA Insured) | 940 | 995 | ||
| 5,452 | |||
Mississippi - 0.3% | ||||
Mississippi Bus. Fin. Corp. Solid Waste Disp. Rev. (Waste Mgmt., Inc. Proj.) Series 2002, 4.4%, tender 3/1/11 (b)(e) | 1,100 | 1,000 | ||
Mississippi Dev. Bank Spl. Oblig. (Marshall County Correctional Facility Proj.) Series 2008 C, 5% 8/1/11 | 1,050 | 1,098 | ||
Mississippi Hosp. Equip. & Facilities Auth.: | ||||
(Mississippi Baptist Med. Ctr. Proj.) Series 2007 A: | ||||
5% 8/15/09 | 1,000 | 1,017 | ||
5% 8/15/11 | 1,000 | 1,004 | ||
(South Central Reg'l. Med. Ctr. Proj.) Series 2006, 5% 12/1/10 | 1,240 | 1,183 | ||
| 5,302 | |||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Missouri - 0.7% | ||||
Bi-State Dev. Agcy. Missouri Illinois Metropolitan District Rev. Series 2005 A, 3.95%, tender 10/1/09, LOC JPMorgan Chase Bank (b) | $ 6,600 | $ 6,710 | ||
Fenton Tax Increment Rev. (Gravois Bluffs Redev. Proj.) Series 2006, 5% 4/1/11 | 1,430 | 1,386 | ||
Kansas City School District Bldg. Corp. Rev. (School District Elementary School Proj.) Series 2003 B, 5% 2/1/11 (FGIC Insured) | 1,850 | 1,884 | ||
Lees Summit Indl. Dev. Auth. Sr. Living Facilities Rev. (John Knox Village Proj.) Series 2007 A, 5% 8/15/11 | 1,485 | 1,397 | ||
Saint Louis Arpt. Rev. Series 2003 A, 5.25% 7/1/11 (FSA Insured) | 1,000 | 1,036 | ||
Saint Louis County Indl. Dev. Auth. Sr. Living Facilities Rev. (Friendship Village West County Proj.) Series 2007 A, 5% 9/1/11 | 1,000 | 943 | ||
Saint Louis Muni. Fin. Corp. Leasehold Rev. (Callahan Courthouse Proj.) Series 2002 A, 5.75% 2/15/14 (Pre-Refunded to 2/15/12 @ 100) (f) | 1,050 | 1,171 | ||
| 14,527 | |||
Montana - 0.3% | ||||
Forsyth Poll. Cont. Rev. (Portland Gen. Elec. Co. Proj.) Series 1998 A, 5.2%, tender 5/1/09 (b) | 5,675 | 5,637 | ||
Nebraska - 0.5% | ||||
Central Plains Energy Proj. Rev. (Nebraska Gas Proj.) Series 2007 A, 5% 12/1/11 | 6,500 | 6,036 | ||
Nebraska Pub. Pwr. District Rev. Series B, 5% 1/1/12 (FSA Insured) | 3,500 | 3,757 | ||
| 9,793 | |||
Nevada - 3.8% | ||||
Clark County Arpt. Rev.: | ||||
Series 2003 C: | ||||
5% 7/1/09 (AMBAC Insured) (e) | 2,700 | 2,723 | ||
5% 7/1/10 (AMBAC Insured) (e) | 1,225 | 1,242 | ||
5% 7/1/11 (AMBAC Insured) (e) | 1,790 | 1,790 | ||
Series 2008 E: | ||||
5% 7/1/14 | 2,905 | 3,045 | ||
5% 7/1/15 | 3,500 | 3,672 | ||
Clark County Fuel Tax Series 2008, 5% 6/1/13 | 5,815 | 6,296 | ||
Clark County Hwy. Impt. Rev. (Motor Vehicle Fuel Tax) Series 2003, 5% 7/1/11 (AMBAC Insured) | 3,230 | 3,450 | ||
Clark County School District: | ||||
(Bldg. Proj.) Series 2008 A, 5% 6/15/12 | 10,000 | 10,693 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Nevada - continued | ||||
Clark County School District: - continued | ||||
Series 1998, 5.5% 6/15/13 (FSA Insured) | $ 5,000 | $ 5,503 | ||
Series 2000 A, 5.75% 6/15/17 (Pre-Refunded to 6/15/10 @ 100) (f) | 1,600 | 1,704 | ||
Series 2001 F, 5.375% 6/15/11 (FSA Insured) | 4,090 | 4,352 | ||
Series 2002 C, 5% 6/15/10 (MBIA Insured) | 1,075 | 1,122 | ||
Series 2005 A, 5% 6/15/16 (FGIC Insured) | 21,215 | 22,786 | ||
Lyon Co. School District Gen. Oblig. Series 2006, 5% 6/1/09 | 695 | 707 | ||
Nevada Gen. Oblig. Series 2002 A, 5% 4/1/11 (FSA Insured) | 4,015 | 4,253 | ||
Washoe County School District Gen. Oblig. Series 2004 B, 5% 6/1/10 (MBIA Insured) | 2,410 | 2,506 | ||
| 75,844 | |||
New Hampshire - 0.2% | ||||
New Hampshire Bus. Fin. Auth. Poll. Cont. Rev.: | ||||
(United Illumination Co.) Series A, 3.65%, tender 2/1/10 (AMBAC Insured) (b)(e) | 2,500 | 2,538 | ||
3.5%, tender 2/1/09 (b)(e) | 2,000 | 1,999 | ||
| 4,537 | |||
New Jersey - 5.0% | ||||
Camden County Impt. Auth. Health Care Redev. Rev. (Cooper Health Sys. Obligated Group Proj.) Series 2005 B, 5.25% 2/15/09 | 1,250 | 1,246 | ||
Garden State Preservation Trust Open Space & Farmland Preservation Series B, 6.375% 11/1/11 (MBIA Insured) | 7,470 | 8,294 | ||
New Jersey Econ. Dev. Auth. School Facilities Construction Rev.: | ||||
Series 2008 J4, 5%, tender 9/1/14 (FSA Insured) (b) | 7,000 | 7,538 | ||
Series 2008 W, 5% 3/1/15 | 10,000 | 10,686 | ||
New Jersey Gen. Oblig. Series H, 5.25% 7/1/12 (FGIC Insured) | 5,000 | 5,477 | ||
New Jersey Tpk. Auth. Tpk. Rev. Series 2000 A, 6% 1/1/11 (MBIA Insured) | 21,785 | 23,062 | ||
New Jersey Trans. Trust Fund Auth.: | ||||
Series B: | ||||
5.25% 12/15/10 (FGIC Insured) | 4,550 | 4,769 | ||
6.5% 6/15/11 (MBIA Insured) | 5,000 | 5,441 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
New Jersey - continued | ||||
New Jersey Trans. Trust Fund Auth.: - continued | ||||
Series C, 5.5% 12/15/10 (FSA Insured) | $ 25,000 | $ 26,276 | ||
New Jersey Transit Corp. Ctfs. of Prtn. Series A, 6% 9/15/13 (Pre-Refunded to 9/15/09 @ 100) (f) | 7,000 | 7,236 | ||
| 100,025 | |||
New Jersey/Pennsylvania - 0.3% | ||||
Delaware River Joint Toll Bridge Commission Pennsylvania-New Jersey Bridge Rev. Series 2003, 5% 7/1/09 | 5,170 | 5,256 | ||
New Mexico - 0.2% | ||||
Albuquerque Joint Wtr. & Swr. Sys. Rev. Series 1999 A, 5.25% 7/1/11 | 1,135 | 1,219 | ||
Farmington Poll. Cont. Rev. Series B, 3.55%, tender 4/1/10 (FGIC Insured) (b) | 1,900 | 1,898 | ||
| 3,117 | |||
New York - 16.5% | ||||
Albany Indl. Dev. Agcy. Civic Facility Rev. (St. Peters Hosp. Proj.) Series 2008 A, 5.5% 11/15/12 | 1,000 | 935 | ||
Grand Central District Mgmt. Assoc., Inc. Series 2004: | ||||
5% 1/1/10 | 1,200 | 1,243 | ||
5% 1/1/12 | 1,175 | 1,252 | ||
Long Island Pwr. Auth. Elec. Sys. Rev. Series 2006 F, 5% 5/1/11 (MBIA Insured) | 10,000 | 10,329 | ||
New York City Gen. Oblig.: | ||||
Series 1996 B, 6.5% 8/15/09 | 3,425 | 3,522 | ||
Series 1997 H, 6% 8/1/12 (FGIC Insured) | 1,000 | 1,094 | ||
Series 2000 A, 6.5% 5/15/11 | 155 | 164 | ||
Series 2001 G, 5.25% 8/1/14 (AMBAC Insured) | 1,000 | 1,040 | ||
Series 2002 A1, 5.25% 11/1/14 | 600 | 630 | ||
Series 2002 B, 5.75% 8/1/14 | 1,000 | 1,072 | ||
Series 2003 F, 5.5% 12/15/11 | 7,485 | 7,999 | ||
Series 2005 C, 5% 8/1/12 | 19,770 | 20,975 | ||
Series 2005 D, 5% 8/1/12 | 4,925 | 5,225 | ||
Series 2005 F1, 5% 9/1/15 | 3,560 | 3,805 | ||
Series 2005 G, 5.625% 8/1/13 (MBIA Insured) | 5,075 | 5,437 | ||
Series 2005 K: | ||||
5% 8/1/11 | 3,965 | 4,164 | ||
5% 8/1/12 | 4,360 | 4,626 | ||
Series 2005 O, 5% 6/1/12 | 7,525 | 7,973 | ||
Series 2008 E, 5% 8/1/12 | 5,000 | 5,305 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
New York - continued | ||||
New York City Muni. Wtr. Fin. Auth. Wtr. & Swr. Sys. Rev. 6% 6/15/33 (MBIA Insured) (Pre-Refunded to 6/15/10 @ 101) (f) | $ 10,000 | $ 10,605 | ||
New York City Transitional Fin. Auth. Rev.: | ||||
Series 2003 A: | ||||
5.5% 11/1/26 (a) | 3,500 | 3,668 | ||
6% 11/1/28 (a) | 44,300 | 47,013 | ||
Series 2003 B, 5.25% 2/1/29 (a) | 3,100 | 3,202 | ||
Series B, 5% 11/1/11 | 12,905 | 13,763 | ||
New York Dorm. Auth. Revs.: | ||||
(City Univ. Sys. Consolidation Proj.): | ||||
Series A: | ||||
5.75% 7/1/13 | 3,500 | 3,730 | ||
5.75% 7/1/13 (AMBAC Insured) | 1,000 | 1,066 | ||
Series C, 7.5% 7/1/10 | 8,560 | 8,962 | ||
(Mental Health Svcs. Facilities Proj.) Series 2008 D: | ||||
5% 2/15/14 | 7,295 | 7,739 | ||
5% 8/15/14 | 7,755 | 8,269 | ||
Series 2002 B, 5.25%, tender 5/15/12 (b) | 13,000 | 13,155 | ||
Series 2008 B, 5% 7/1/15 | 30,000 | 31,946 | ||
New York Local Govt. Assistance Corp. Series 2007 A, 5% 4/1/11 | 20,000 | 21,219 | ||
New York Metropolitan Trans. Auth. Rev.: | ||||
Series 2005 C: | ||||
5% 11/15/10 | 1,485 | 1,532 | ||
5% 11/15/11 | 2,750 | 2,866 | ||
Series 2008 B2, 5%, tender 11/15/12 (b) | 7,300 | 7,451 | ||
New York Thruway Auth. Second Gen. Hwy. & Bridge Trust Fund Series 2008 A, 5% 4/1/13 | 2,600 | 2,786 | ||
New York Thruway Auth. Svc. Contract Rev. Series 2002, 5.5% 4/1/11 | 10,000 | 10,561 | ||
New York Urban Dev. Corp. Rev. Series 2005 A, 5% 1/1/12 | 5,015 | 5,247 | ||
Niagara County Indl. Dev. Agcy. Solid Waste Disp. Rev. Series 2001 C, 5.625%, tender 11/15/14 (b)(e) | 2,450 | 2,028 | ||
Tobacco Settlement Asset Securitization Corp. Series 1, 5.5% 7/15/24 (Pre-Refunded to 7/15/12 @ 100) (f) | 6,295 | 6,831 | ||
Tobacco Settlement Fing. Corp.: | ||||
Series 2003 A1: | ||||
5.5% 6/1/14 | 3,965 | 3,983 | ||
5.5% 6/1/17 | 6,000 | 6,063 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
New York - continued | ||||
Tobacco Settlement Fing. Corp.: - continued | ||||
Series 2003 B1C: | ||||
5.5% 6/1/15 | $ 1,300 | $ 1,317 | ||
5.5% 6/1/17 | 4,200 | 4,244 | ||
Series 2004 B1, 5% 6/1/09 | 3,800 | 3,840 | ||
Series A1: | ||||
5% 6/1/10 | 1,325 | 1,353 | ||
5.25% 6/1/13 | 7,780 | 7,784 | ||
| 329,013 | |||
New York & New Jersey - 0.3% | ||||
Port Auth. of New York & New Jersey 124th Series, 5% 8/1/13 (FGIC Insured) (e) | 1,200 | 1,209 | ||
Port Auth. of New York & New Jersey Spl. Oblig. Rev. (JFK Int'l. Air Term. Spl. Proj.) Series 6, 6.25% 12/1/13 (MBIA Insured) (e) | 4,100 | 4,157 | ||
| 5,366 | |||
North Carolina - 0.8% | ||||
Charlotte-Mecklenburg Hosp. Auth. Health Care Sys. Rev. Series 2007 A: | ||||
5% 1/15/10 | 250 | 258 | ||
5% 1/15/11 | 750 | 767 | ||
5% 1/15/12 | 400 | 412 | ||
Nash Health Care Sys. Health Care Facilities Rev. Series 2003: | ||||
5% 11/1/13 (FSA Insured) | 1,500 | 1,611 | ||
5% 11/1/15 (FSA Insured) | 1,600 | 1,706 | ||
North Carolina Eastern Muni. Pwr. Agcy. Pwr. Sys. Rev.: | ||||
Series 2003 A, 5.5% 1/1/10 | 3,000 | 3,029 | ||
Series 2003 D, 5.375% 1/1/10 | 3,730 | 3,761 | ||
North Carolina Grant Anticipation Rev. Series 2007, 5% 3/1/11 | 5,000 | 5,302 | ||
| 16,846 | |||
North Dakota - 0.2% | ||||
Grand Forks Health Care Sys. Rev. (Altru Health Sys. Proj.) Series 2005: | ||||
5% 12/1/11 (Assured Guaranty Corp. Insured) | 1,575 | 1,616 | ||
5% 12/1/15 (Assured Guaranty Corp. Insured) | 1,825 | 1,816 | ||
Ward County Health Care Facility Rev. Series 2006, 5% 7/1/10 | 1,595 | 1,537 | ||
| 4,969 | |||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Ohio - 2.3% | ||||
Akron Bath Copley Hosp. District Rev. (Akron Gen. Health Systems Proj.) Series 2006 A, 5% 1/1/11 | $ 1,000 | $ 1,007 | ||
American Muni. Pwr. Electricity Purchase Rev. Series A, 5% 2/1/11 | 9,400 | 8,908 | ||
Cleveland Pub. Pwr. Sys. Rev. Series 1994 A: | ||||
0% 11/15/09 (Escrowed to Maturity) (f) | 1,050 | 1,039 | ||
0% 11/15/09 (MBIA Insured) | 1,200 | 1,177 | ||
Montgomery County Rev. (Catholic Health Initiatives Proj.) Series 2008 C2, 4.1%, tender 11/10/11 (b) | 2,700 | 2,678 | ||
Ohio Air Quality Dev. Auth. Rev.: | ||||
(FirstEnergy Nuclear Generation Corp. Proj.) Series 2008 C, 7.25%, tender 11/1/12 (b)(e) | 9,000 | 9,008 | ||
Series 2008 A, 7.125%, tender 6/1/10 (b)(e) | 7,500 | 7,500 | ||
Ohio Gen. Oblig. (Higher Ed. Proj.) Series 2005 C, 5% 8/1/13 | 4,495 | 4,963 | ||
Ohio Higher Edl. Facility Commission Rev. (Cleveland Clinic Foundation Proj.) Series 2008 A, 5% 1/1/15 | 2,000 | 2,029 | ||
Ross County Hosp. Facilities Rev. (Adena Health Sys. Proj.) Series 2008: | ||||
5% 12/1/12 | 1,950 | 1,954 | ||
5% 12/1/13 | 875 | 872 | ||
5% 12/1/14 | 2,275 | 2,231 | ||
Univ. of Cincinnati Gen. Receipts Series A, 5.5% 6/1/09 (FGIC Insured) | 2,000 | 2,029 | ||
| 45,395 | |||
Oklahoma - 0.7% | ||||
Cherokee County Econ. Dev. Auth. Series A, 0% 11/1/11 (Escrowed to Maturity) (f) | 1,000 | 930 | ||
Grand River Dam Auth. Rev. Series 1995, 6.25% 6/1/11 (AMBAC Insured) | 8,940 | 9,641 | ||
Norman Reg'l. Hosp. Auth. Hosp. Rev. Series 2007, 5% 9/1/12 (Radian Asset Assurance, Inc. Insured) | 1,035 | 1,006 | ||
Oklahoma Dev. Fin. Auth. Health Sys. Rev. (Integris Baptist Med. Ctr. Proj.) Series 2008 B, 5% 8/15/14 | 1,660 | 1,683 | ||
Oklahoma Dev. Fin. Auth. Rev. (Saint John Health Sys. Proj.) Series 2007, 5% 2/15/13 | 430 | 443 | ||
| 13,703 | |||
Oregon - 0.4% | ||||
Beaverton Wtr. Rev. Series 2004 B, 5% 6/1/10 (FSA Insured) | 1,210 | 1,254 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Oregon - continued | ||||
Oregon Dept. Administrative Svcs. Ctfs. of Prtn. Series 2004 B: | ||||
5% 5/1/09 (FSA Insured) | $ 600 | $ 607 | ||
5% 5/1/11 (FSA Insured) | 1,000 | 1,050 | ||
Tri-County Metropolitan Trans. District Rev. Series 2006, 5% 5/1/11 (MBIA Insured) | 5,000 | 5,287 | ||
| 8,198 | |||
Pennsylvania - 3.5% | ||||
Allegheny County Arpt. Rev. (Pittsburgh Int'l. Arpt. Proj.) Series A1, 5.75% 1/1/12 (MBIA Insured) (e) | 1,300 | 1,309 | ||
Allegheny County Hosp. Dev. Auth. Rev. (Pittsburgh Med. Ctr. Proj.): | ||||
Series 2008 A, 5% 9/1/12 | 6,615 | 6,754 | ||
Series 2008 B, 5% 6/15/14 | 1,385 | 1,403 | ||
Allegheny County Sanitation Auth. Swr. Rev. Series 2000, 6% 12/1/11 (MBIA Insured) | 1,495 | 1,586 | ||
Delaware County Auth. Hosp. Rev. (Crozer Keystone Oblig. Group Proj.) Series B: | ||||
5% 12/15/09 | 2,565 | 2,502 | ||
5% 12/15/11 | 2,835 | 2,611 | ||
Luzerne County Indl. Dev. Auth. Wtr. Facilities Rev. | 10,000 | 9,965 | ||
Pennsylvania Econ. Dev. Fing. Auth. Exempt Facilities Rev. (Shippingport Proj.) Series 2002 A, 4.35%, tender 6/1/10 (b)(e) | 2,100 | 2,100 | ||
Pennsylvania Indl. Dev. Auth. Rev. Series 2002, 5.25% 7/1/10 (AMBAC Insured) | 2,750 | 2,848 | ||
Philadelphia Gen. Oblig.: | ||||
Series 2007 A: | ||||
5% 8/1/11 (FSA Insured) | 3,570 | 3,708 | ||
5% 8/1/12 (FSA Insured) | 5,000 | 5,229 | ||
Series 2008 A: | ||||
5% 12/15/14 (FSA Insured) | 5,370 | 5,790 | ||
5% 12/15/15 (FSA Insured) | 5,000 | 5,379 | ||
5% 12/15/16 (FSA Insured) | 7,275 | 7,796 | ||
Philadelphia Muni. Auth. Rev. Series B, 5.25% 11/15/11 (FSA Insured) | 3,400 | 3,533 | ||
Philadelphia School District: | ||||
Series 2005 D, 5.25% 6/1/12 (FSA Insured) | 1,465 | 1,534 | ||
Series B, 5% 4/1/11 (AMBAC Insured) | 2,160 | 2,227 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Pennsylvania - continued | ||||
Pittsburgh School District Series A, 5% 9/1/09 (MBIA Insured) | $ 1,600 | $ 1,633 | ||
Westmoreland County Muni. Auth. Muni. Svc. Rev. Series K, 0% 7/1/12 (Escrowed to Maturity) (f) | 2,355 | 2,140 | ||
| 70,047 | |||
Puerto Rico - 1.0% | ||||
Puerto Rico Convention Ctr. District Auth. Hotel Occupancy Tax Rev. Series 2006 A, 5% 7/1/10 | 2,000 | 1,966 | ||
Puerto Rico Govt. Dev. Bank: | ||||
Series 2006 B, 5% 12/1/12 | 1,000 | 959 | ||
Series B, 5% 12/1/10 | 8,000 | 7,830 | ||
Univ. of Puerto Rico: | ||||
Series P, 5% 6/1/11 | 5,760 | 5,613 | ||
Series Q, 5% 6/1/11 | 4,825 | 4,702 | ||
| 21,070 | |||
Rhode Island - 0.1% | ||||
Providence Spl. Oblig. Series 2005 E: | ||||
5% 6/1/09 (Radian Asset Assurance, Inc. Insured) | 1,315 | 1,326 | ||
5% 6/1/10 (Radian Asset Assurance, Inc. Insured) | 1,180 | 1,170 | ||
| 2,496 | |||
South Carolina - 0.5% | ||||
Greenville County Pub. Facilities Corp. Ctfs. of Prtn. (Courthouse and Detention Proj.) Series 2005, 5% 4/1/10 (AMBAC Insured) | 1,450 | 1,512 | ||
Greenville County School District Installment Purp. Rev. 5% 12/1/10 | 1,455 | 1,527 | ||
Lexington One School Facilities Corp. Rev. (Lexington County School District No. 1 Proj.) Series 2006, 5% 12/1/09 | 550 | 567 | ||
South Carolina Pub. Svc. Auth. Rev.: | ||||
Series 2005 B, 5% 1/1/10 (MBIA Insured) | 3,000 | 3,114 | ||
Series A, 5.5% 1/1/11 (MBIA Insured) | 3,000 | 3,119 | ||
Spartanburg County School District #5 Pub. Facilities Corp. Ctfs. of Prtn. Series 2004, 5% 7/1/09 (FSA Insured) | 1,000 | 1,016 | ||
| 10,855 | |||
Tennessee - 0.7% | ||||
Clarksville Natural Gas Acquisition Corp. Gas Rev. Series 2006, 5% 12/15/09 | 7,185 | 7,054 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Tennessee - continued | ||||
Elizabethton Health & Edl. Facilities Board Rev. (First Mtg. Prog.) Series 2000 B, 6% 7/1/11 (Escrowed to Maturity) (f) | $ 2,005 | $ 2,100 | ||
Jackson Hosp. Rev. (Jackson-Madison County Gen. Hosp. Proj.) Series 2008, 5% 4/1/13 | 1,000 | 1,012 | ||
Maury County Gen. Oblig. Series 2004 B, 5% 4/1/10 (MBIA Insured) | 2,000 | 2,069 | ||
Memphis-Shelby County Arpt. Auth. Arpt. Rev. Series 2003 A, 4.5% 9/1/09 (MBIA Insured) | 1,685 | 1,706 | ||
| 13,941 | |||
Texas - 10.5% | ||||
Alief Independent School District Series 2004 B, 5% 2/15/10 | 1,500 | 1,563 | ||
Austin Cmnty. College District Pub. Facilities Lease Rev. (Round Rock Campus Proj.) Series 2008, 5.25% 8/1/15 | 2,585 | 2,858 | ||
Austin Convention Enterprises, Inc. (Convention Ctr. Proj.): | ||||
Series 2006 A, 6% 1/1/14 | 1,420 | 1,178 | ||
Series 2006 B: | ||||
6% 1/1/12 | 500 | 447 | ||
6% 1/1/13 | 1,270 | 1,094 | ||
Austin Elec. Util. Sys. Rev. Series 2007: | ||||
5% 11/15/10 (FSA Insured) | 3,000 | 3,127 | ||
5% 11/15/11 (FSA Insured) | 4,000 | 4,288 | ||
Austin Util. Sys. Rev. Series 1992 A: | ||||
0% 11/15/09 (MBIA Insured) | 5,130 | 5,036 | ||
0% 11/15/10 (MBIA Insured) | 5,300 | 5,060 | ||
Bexar County Gen. Oblig. Series 2004 A, 5% 6/15/10 (FSA Insured) | 1,000 | 1,047 | ||
Birdville Independent School District: | ||||
Series 2003, 5% 2/15/10 | 1,300 | 1,354 | ||
0% 2/15/11 | 5,000 | 4,754 | ||
Brownsville Independent School District Series 2005, 5% 8/15/11 | 1,430 | 1,532 | ||
Brownsville Util. Sys. Rev. Series 2008 A, 5% 9/1/15 (FSA Insured) | 2,665 | 2,982 | ||
Bryan Wtrwks. & Swr. Sys. Rev. Series 2001, 5.5% 7/1/11 (FSA Insured) | 1,500 | 1,622 | ||
College Station Independent School District Series 2004, 5% 2/15/10 | 1,000 | 1,042 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Texas - continued | ||||
Denton County Gen. Oblig. Series 2005 A, 5% 7/15/11 (FSA Insured) | $ 3,065 | $ 3,275 | ||
Fort Bend Independent School District Series 2005, 5%, tender 8/15/09 (b) | 5,000 | 5,083 | ||
Fort Worth Independent School District Series 2005, 5% 2/15/12 | 1,500 | 1,624 | ||
Frisco Gen. Oblig. Series 2003 A, 5% 2/15/10 (FSA Insured) | 1,710 | 1,777 | ||
Harris County Gen. Oblig. (Road Proj.) Series 2008 B: | ||||
5% 8/15/13 | 1,000 | 1,100 | ||
5% 8/15/14 | 1,075 | 1,188 | ||
Harris County Health Facilities Dev. Corp. Rev. (Saint Luke's Episcopal Hosp. Proj.) Series 2001 A, 5.5% 2/15/09 | 3,710 | 3,727 | ||
Houston Cmnty. College Sys. Rev. Series 2005: | ||||
5.25% 4/15/11 (FSA Insured) | 3,030 | 3,242 | ||
5.25% 4/15/12 (FSA Insured) | 2,000 | 2,186 | ||
Houston Gen. Oblig.: | ||||
Series 2007 B, 5% 3/1/12 (MBIA Insured) | 3,575 | 3,842 | ||
Series A, 5% 3/1/13 (MBIA Insured) | 7,500 | 8,161 | ||
Houston Util. Sys. Rev.: | ||||
Series 2004 A, 5.25% 5/15/10 (MBIA Insured) | 2,835 | 2,943 | ||
Series 2005 A, 5.25% 11/15/11 (FSA Insured) | 4,430 | 4,805 | ||
Series 2005 C1, 5%, tender 5/15/11 (AMBAC Insured) (b) | 5,100 | 5,326 | ||
Katy Independent School District Series A, 5.25% 2/15/12 | 2,000 | 2,180 | ||
Lubbock Gen. Oblig.: | ||||
(Wtrwks. Sys. Surplus Proj.) Series 2005, 5% 2/15/11 (FSA Insured) | 2,465 | 2,613 | ||
Series 2004, 5% 2/15/10 (MBIA Insured) | 1,845 | 1,915 | ||
Magnolia Independent School District Series 2005, 8% 8/15/11 (FGIC Insured) | 1,210 | 1,368 | ||
Montgomery County Gen. Oblig. Series 2006 B, 5%, tender 9/1/10 (FSA Insured) (b) | 1,750 | 1,827 | ||
North Texas Tollway Auth. Rev. Series 2008 H2, 5%, tender 1/1/13 (b) | 5,000 | 4,982 | ||
Northside Independent School District Series 2007 A, 3.78%, tender 6/1/09 (b) | 5,000 | 5,043 | ||
Sabine River Auth. Poll. Cont. Rev. (Texas Utils. Elec. Co. Proj.) Series A, 5.5%, tender 11/1/11 (b) | 1,000 | 820 | ||
San Angelo Wtrwks. & Swr. Sys. Impt. and Rfdg. Rev. Series 2001, 5% 4/1/10 (FSA Insured) | 1,630 | 1,680 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Texas - continued | ||||
San Antonio Elec. & Gas Sys. Rev.: | ||||
Series 2000 A, 5.75% 2/1/15 (Pre-Refunded to 2/1/10 @ 100) (f) | $ 5,000 | $ 5,223 | ||
Series B: | ||||
0% 2/1/09 (Escrowed to Maturity) (f) | 2,500 | 2,498 | ||
0% 2/1/10 (Escrowed to Maturity) (f) | 14,000 | 13,759 | ||
San Antonio Muni. Drainage Util. Sys. Rev. Series 2005, 5.25% 2/1/12 (MBIA Insured) | 1,545 | 1,677 | ||
San Antonio Wtr. Sys. Rev.: | ||||
Series 2004, 5% 5/15/10 (FGIC Insured) | 1,020 | 1,063 | ||
Series 2007, 5% 5/15/12 (FGIC Insured) | 7,000 | 7,534 | ||
Spring Branch Independent School District Series 2001: | ||||
5.375% 2/1/14 | 1,090 | 1,145 | ||
5.375% 2/1/14 (Pre-Refunded to 2/1/11 @ 100) (f) | 1,700 | 1,830 | ||
Tarrant County Cultural Ed. Facilities Fin. Corp. Retirement Facility Rev. (Buckner Retirement Svcs. Proj.) Series 2007, 5% 11/15/09 | 1,000 | 1,022 | ||
Tarrant County Cultural Ed. Facilities Fin. Corp. Rev. (Christus Health Proj.) Series 2008 A, 5.75% 7/1/18 (Assured Guaranty Corp. Insured) | 5,000 | 5,073 | ||
Tarrant County Health Facilities Dev. Corp. Hosp. Rev. (Cook Children's Med. Ctr. Proj.) Series 2000 B, ARS 0.125%, tender 1/2/09 (FSA Insured) (b) | 575 | 518 | ||
Texas Gen. Oblig.: | ||||
(College Student Ln. Prog.) Series 1997, 5% 8/1/11 (e) | 3,000 | 3,093 | ||
Series C, 0% 4/1/09 (Escrowed to Maturity) (f) | 2,320 | 2,313 | ||
0% 10/1/13 | 6,500 | 5,603 | ||
Texas Pub. Fin. Auth. Bldg. Rev. Series 2007, 5% 2/1/11 (AMBAC Insured) | 1,550 | 1,639 | ||
Texas Pub. Fin. Auth. Rev. (Bldg. and Procurement Commission Proj.) Series 2004 A, 5% 2/1/10 (AMBAC Insured) | 1,055 | 1,095 | ||
Texas Tech Univ. Revs. Ninth Series, 5% 2/15/11 (AMBAC Insured) | 1,250 | 1,323 | ||
Texas Trans. Commission State Hwy. Fund Rev. Series 2007, 5% 4/1/12 | 4,000 | 4,339 | ||
Texas Wtr. Dev. Board Rev. Series 2007 B, 5% 7/15/11 | 2,780 | 2,974 | ||
Titus County Fresh Wtr. Supply District #1 Poll. Cont. Rev. (Southwestern Elec. Pwr. Co. Proj.) Series 2008, 4.5% 7/1/11 | 3,000 | 2,943 | ||
Travis County Gen. Oblig. 5.25% 3/1/12 | 4,125 | 4,499 | ||
Trinity River Auth. Reg'l. Wastewtr. Sys. Rev. Series 2008, 5% 8/1/13 | 6,135 | 6,718 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Texas - continued | ||||
Univ. of Texas Board of Regents Sys. Rev. Series 2003 B, 5% 8/15/33 (Pre-Refunded to 8/15/13 @ 100) (f) | $ 15,000 | $ 16,733 | ||
Wichita Falls Independent School District Series 1994, 0% 2/1/10 | 2,325 | 2,283 | ||
Ysleta Independent School District Series 1993, 0% 8/15/09 | 4,065 | 4,031 | ||
| 210,619 | |||
Utah - 0.6% | ||||
Salt Lake County Wtr. Conservancy District Rev. Series A: | ||||
0% 10/1/11 (AMBAC Insured) | 3,800 | 3,520 | ||
0% 10/1/12 (AMBAC Insured) | 3,800 | 3,387 | ||
0% 10/1/13 (AMBAC Insured) | 3,760 | 3,211 | ||
Utah Bldg. Ownership Auth. Lease Rev. (State Facilities Master Lease Prog.) Series A, 5% 5/15/11 | 1,700 | 1,812 | ||
| 11,930 | |||
Vermont - 0.2% | ||||
Vermont Edl. & Health Bldg. Fin. Agcy. Rev. (Fletcher Allen Health Care Proj.) Series 2004 B: | ||||
4% 12/1/09 (FSA Insured) | 1,000 | 1,009 | ||
5% 12/1/15 (FSA Insured) | 2,225 | 2,331 | ||
| 3,340 | |||
Virginia - 0.5% | ||||
Chesapeake Econ. Dev. Auth. Poll. Cont. Rev. (Elec. & Pwr. Co. Proj.) Series 2008 A, 3.6%, tender 2/1/13 (b) | 1,800 | 1,693 | ||
Louisa Indl. Dev. Auth. Poll. Cont. Rev. (Virginia Elec. & Pwr. Co. Proj.) Series 2008 B, 5.375%, tender 12/2/13 (b) | 8,000 | 8,046 | ||
| 9,739 | |||
Washington - 1.0% | ||||
Chelan County Pub. Util. District #1 Rev. Series 2004 B, 5% 7/1/11 (FGIC Insured) | 1,190 | 1,270 | ||
Clark County Pub. Util. District #1 Elec. Rev.: | ||||
5% 1/1/11 (MBIA Insured) | 1,680 | 1,773 | ||
5.25% 1/1/11 (FSA Insured) | 1,935 | 2,048 | ||
King County School District #401 Highline Pub. Schools Series 2002, 5.5% 12/1/17 | 5,100 | 5,433 | ||
King County School District #409, Tahoma 5% 6/1/11 (FSA Insured) | 1,740 | 1,858 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Washington - continued | ||||
Port of Seattle Rev. Series 2001 D, 5.75% 11/1/15 (FGIC Insured) (e) | $ 3,640 | $ 3,664 | ||
Snohomish County Pub. Hosp. District #2 (Stevens Health Care Proj.) 4.5% 12/1/09 (FGIC Insured) | 1,000 | 1,022 | ||
Snohomish County School District #2, Everett Series 2004, 5% 6/1/10 (FSA Insured) | 1,000 | 1,041 | ||
Vancouver Wtr. & Swr. Rev. 5.25% 6/1/11 (FSA Insured) | 1,000 | 1,073 | ||
Washington Gen. Oblig. Series A, 5% 7/1/11 (FGIC Insured) | 1,000 | 1,066 | ||
| 20,248 | |||
West Virginia - 0.3% | ||||
West Virginia Econ. Developement Auth. Solid Waste Disp. Facilities Rev. (Appalachian Pwr. Co. Proj.) Series 2008 E, 7.125%, tender 6/1/10 (b)(e) | 7,000 | 6,999 | ||
Wisconsin - 0.6% | ||||
Milwaukee County Gen. Oblig. Series A, 0% 12/1/10 (FGIC Insured) | 3,370 | 3,200 | ||
Wisconsin Gen. Oblig. Series 1, 5% 5/1/10 (MBIA Insured) | 2,500 | 2,597 | ||
Wisconsin Health & Edl. Facilities Auth. Rev.: | ||||
(Marshfield Clinic Proj.): | ||||
Series 2001 B, 6.25% 2/15/10 | 1,015 | 996 | ||
Series 2006 A, 5% 2/15/13 | 875 | 771 | ||
(Wheaton Franciscan Healthcare Sys. Proj.): | ||||
Series 2002, 5.75% 8/15/11 | 1,000 | 941 | ||
Series 2003 A, 5% 8/15/10 | 1,870 | 1,759 | ||
Series 2006 A, 5% 8/15/11 | 1,315 | 1,215 | ||
| 11,479 | |||
TOTAL MUNICIPAL BONDS (Cost $1,854,089) | 1,863,940 |
Money Market Funds - 0.0% | |||
Shares | Value (000s) | ||
Fidelity Municipal Cash Central Fund, 1.27% (c)(d) | 900 | $ 1 | |
TOTAL INVESTMENT PORTFOLIO - 93.3% (Cost $1,854,090) | 1,863,941 | ||
NET OTHER ASSETS - 6.7% | 134,330 | ||
NET ASSETS - 100% | $ 1,998,271 |
Legend |
(a) Security initially issued at one coupon which converts to a higher coupon at a specified date. The rate shown is the rate at period end. |
(b) The coupon rate shown on floating or adjustable rate securities represents the rate at period end. |
(c) Information in this report regarding holdings by state and security types does not reflect the holdings of the Fidelity Municipal Cash Central Fund. |
(d) Affiliated fund that is available only to investment companies and other accounts managed by Fidelity Investments. The rate quoted is the annualized seven-day yield of the fund at period end. A complete unaudited listing of the fund's holdings as of its most recent quarter end is available upon request. |
(e) Private activity obligations whose interest is subject to the federal alternative minimum tax for individuals. |
(f) Security collateralized by an amount sufficient to pay interest and principal. |
(g) Restricted securities - Investment in securities not registered under the Securities Act of 1933 (excluding 144A issues). At the end of the period, the value of restricted securities (excluding 144A issues) amounted to $8,507,000 or 0.4% of net assets. |
Additional information on each holding is as follows: |
Security | Acquisition Date | Acquisition Cost (000s) |
Univ. of California Revs. (UCLA Med. Ctr. Proj.) 4.55% 12/1/09 (Escrowed to Maturity) | 3/6/02 | $ 8,230 |
Other Information |
The following is a summary of the inputs used, as of December 31, 2008, involving the Fund's assets carried at value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the tables below, please refer to the Security Valuation section in the accompanying Notes to Financial Statements. |
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
Investments in Securities | $ 1,863,941 | $ 1 | $ 1,863,422 | $ 518 |
The following is a reconciliation of assets for which Level 3 inputs were used in determining value: |
(Amounts in thousands) | Investments in Securities |
Beginning Balance | $ - |
Total Realized Gain (Loss) | 1 |
Total Unrealized Gain (Loss) | (45) |
Cost of Purchases | 612 |
Proceeds of Sales | (50) |
Amortization/Accretion | - |
Transfer in/out of Level 3 | - |
Ending Balance | $ 518 |
The information used in the above reconciliation represents fiscal year to date activity for any Investment Securities identified as using Level 3 inputs at either the beginning or the end of the current fiscal period. Transfers in or out of Level 3 represents either the beginning value (for transfers in), or the ending value (for transfers out) of any Security or Instrument where a change in the pricing level occurred from the beginning to the end of the period. |
The distribution of municipal securities by revenue source, as a percentage of total net assets, is as follows: (unaudited) |
General Obligations | 41.2% |
Special Tax | 9.9% |
Escrowed/Pre-Refunded | 9.5% |
Electric Utilities | 9.0% |
Health Care | 7.8% |
Transportation | 6.3% |
Others* (individually less than 5%) | 16.3% |
| 100.0% |
*Includes cash equivalents and net other assets |
Income Tax Information |
At December 31, 2008, the fund had a capital loss carryforward of approximately $2,368,000 of which $921,000 and $1,447,000 will expire on December 31, 2014 and 2015, respectively. |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Statements
Statement of Assets and Liabilities
Amounts in thousands (except per-share amounts) | December 31, 2008 | |
|
|
|
Assets | ||
Investment in securities, at value - See accompanying schedule: Unaffiliated issuers (cost $1,854,089) | $ 1,863,940 |
|
Fidelity Central Funds (cost $1) | 1 |
|
Total Investments (cost $1,854,090) |
| $ 1,863,941 |
Cash | 113,787 | |
Receivable for fund shares sold | 5,046 | |
Interest receivable | 23,221 | |
Prepaid expenses | 19 | |
Other receivables | 34 | |
Total assets | 2,006,048 | |
|
|
|
Liabilities | ||
Payable for fund shares redeemed | $ 4,911 | |
Distributions payable | 1,644 | |
Accrued management fee | 598 | |
Transfer agent fee payable | 450 | |
Distribution fees payable | 31 | |
Other affiliated payables | 87 | |
Other payables and accrued expenses | 56 | |
Total liabilities | 7,777 | |
|
|
|
Net Assets | $ 1,998,271 | |
Net Assets consist of: |
| |
Paid in capital | $ 1,990,869 | |
Distributions in excess of net investment income | (81) | |
Accumulated undistributed net realized gain (loss) on investments | (2,368) | |
Net unrealized appreciation (depreciation) on investments | 9,851 | |
Net Assets | $ 1,998,271 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Statements - continued
Statement of Assets and Liabilities - continued
Amounts in thousands (except per-share amounts) | December 31, 2008 | |
|
|
|
Calculation of Maximum Offering Price Class A: | $ 10.35 | |
|
|
|
Maximum offering price per share (100/97.25 of $10.35) | $ 10.64 | |
Class T: | $ 10.34 | |
|
|
|
Maximum offering price per share (100/97.25 of $10.34) | $ 10.63 | |
Class B: | $ 10.35 | |
|
|
|
Class C: | $ 10.33 | |
|
|
|
Short-Intermediate Municipal Income: | $ 10.34 | |
|
|
|
Institutional Class: | $ 10.34 |
A Redemption price per share is equal to net asset value less any applicable contingent deferred sales charge.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Statement of Operations
Amounts in thousands | Year ended December 31, 2008 | |
|
|
|
Investment Income |
|
|
Interest |
| $ 66,045 |
|
|
|
Expenses | ||
Management fee | $ 6,688 | |
Transfer agent fees | 1,699 | |
Distribution fees | 224 | |
Accounting fees and expenses | 336 | |
Custodian fees and expenses | 27 | |
Independent trustees' compensation | 8 | |
Registration fees | 170 | |
Audit | 53 | |
Legal | 7 | |
Miscellaneous | 11 | |
Total expenses before reductions | 9,223 | |
Expense reductions | (418) | 8,805 |
Net investment income | 57,240 | |
Realized and Unrealized Gain (Loss) Net realized gain (loss) on: | ||
Investment securities: |
|
|
Unaffiliated issuers | 4,354 | |
Swap agreements | 295 |
|
Total net realized gain (loss) |
| 4,649 |
Change in net unrealized appreciation (depreciation) on: Investment securities | (3,088) | |
Swap agreements | (341) | |
Total change in net unrealized appreciation (depreciation) |
| (3,429) |
Net gain (loss) | 1,220 | |
Net increase (decrease) in net assets resulting from operations | $ 58,460 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Statements - continued
Statement of Changes in Net Assets
Amounts in thousands | Year ended | Year ended |
Increase (Decrease) in Net Assets |
|
|
Operations |
|
|
Net investment income | $ 57,240 | $ 50,145 |
Net realized gain (loss) | 4,649 | (928) |
Change in net unrealized appreciation (depreciation) | (3,429) | 20,276 |
Net increase (decrease) in net assets resulting | 58,460 | 69,493 |
Distributions to shareholders from net investment income | (57,229) | (50,136) |
Share transactions - net increase (decrease) | 313,662 | 143,977 |
Redemption fees | 113 | 16 |
Total increase (decrease) in net assets | 315,006 | 163,350 |
|
|
|
Net Assets | ||
Beginning of period | 1,683,265 | 1,519,915 |
End of period (including distributions in excess of net investment income of $81 and distributions in excess of net investment income of $92, respectively) | $ 1,998,271 | $ 1,683,265 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Highlights - Class A
Years ended December 31, | 2008 | 2007 | 2006 | 2005 | 2004 |
Selected Per-Share Data |
|
|
|
|
|
Net asset value, beginning of period | $ 10.33 | $ 10.21 | $ 10.21 | $ 10.39 | $ 10.50 |
Income from Investment Operations C |
|
|
|
|
|
Net investment income | .298 | .302 | .292 | .268 | .250 |
Net realized and unrealized gain (loss) | .021 | .118 | (.001) | (.177) | (.090) |
Total from investment operations | .319 | .420 | .291 | .091 | .160 |
Distributions from net investment income | (.300) | (.300) | (.291) | (.268) | (.251) |
Distributions from net realized gain | - | - | - | (.003) | (.019) |
Total distributions | (.300) | (.300) | (.291) | (.271) | (.270) |
Redemption fees added to paid in capital C | .001 | - G | - G | - G | - G |
Net asset value, end of period | $ 10.35 | $ 10.33 | $ 10.21 | $ 10.21 | $ 10.39 |
Total Return A, B | 3.13% | 4.19% | 2.89% | .89% | 1.55% |
Ratios to Average Net Assets D, F |
|
|
|
|
|
Expenses before reductions | .75% | .71% | .65% | .65% | .65% |
Expenses net of fee waivers, if any | .75% | .71% | .65% | .65% | .65% |
Expenses net of all reductions | .72% | .64% | .56% | .58% | .64% |
Net investment income | 2.90% | 2.95% | 2.86% | 2.61% | 2.41% |
Supplemental Data |
|
|
|
|
|
Net assets, end of period (in millions) | $ 58 | $ 12 | $ 10 | $ 14 | $ 12 |
Portfolio turnover rate E | 20% | 23% | 28% | 27% | 45% |
A Total returns would have been lower had certain expenses not been reduced during the periods shown.
B Total returns do not include the effect of the sales charges.
C Calculated based on average shares outstanding during the period.
D Fees and expenses of the underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds.
E Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
F Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
G Amount represents less than $.001 per share.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Highlights - Class T
Years ended December 31, | 2008 | 2007 | 2006 | 2005 | 2004 |
Selected Per-Share Data |
|
|
|
|
|
Net asset value, beginning of period | $ 10.31 | $ 10.19 | $ 10.20 | $ 10.37 | $ 10.48 |
Income from Investment Operations |
|
|
|
|
|
Net investment income C | .300 | .297 | .281 | .257 | .238 |
Net realized and unrealized gain (loss) | .029 | .120 | (.011) | (.167) | (.089) |
Total from investment operations | .329 | .417 | .270 | .090 | .149 |
Distributions from net investment income | (.300) | (.297) | (.280) | (.257) | (.240) |
Distributions from net realized gain | - | - | - | (.003) | (.019) |
Total distributions | (.300) | (.297) | (.280) | (.260) | (.259) |
Redemption fees added to paid in capital C | .001 | - G | - G | - G | - G |
Net asset value, end of period | $ 10.34 | $ 10.31 | $ 10.19 | $ 10.20 | $ 10.37 |
Total Return A, B | 3.24% | 4.17% | 2.69% | .88% | 1.44% |
Ratios to Average Net Assets D, F |
|
|
|
|
|
Expenses before reductions | .74% | .74% | .75% | .76% | .76% |
Expenses net of fee waivers, if any | .74% | .74% | .75% | .76% | .76% |
Expenses net of all reductions | .72% | .69% | .66% | .69% | .75% |
Net investment income | 2.90% | 2.91% | 2.76% | 2.50% | 2.30% |
Supplemental Data |
|
|
|
|
|
Net assets, end of period (in millions) | $ 15 | $ 10 | $ 13 | $ 15 | $ 20 |
Portfolio turnover rate E | 20% | 23% | 28% | 27% | 45% |
A Total returns would have been lower had certain expenses not been reduced during the periods shown.
B Total returns do not include the effect of the sales charges.
C Calculated based on average shares outstanding during the period.
D Fees and expenses of the underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds.
E Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
F Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
G Amount represents less than $.001 per share.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Highlights - Class B
Years ended December 31, | 2008 | 2007 | 2006 | 2005 | 2004 |
Selected Per-Share Data |
|
|
|
|
|
Net asset value, beginning of period | $ 10.32 | $ 10.20 | $ 10.21 | $ 10.39 | $ 10.49 |
Income from Investment Operations |
|
|
|
|
|
Net investment income C | .230 | .228 | .215 | .190 | .172 |
Net realized and unrealized gain (loss) | .029 | .121 | (.012) | (.177) | (.080) |
Total from investment operations | .259 | .349 | .203 | .013 | .092 |
Distributions from net investment income | (.230) | (.229) | (.213) | (.190) | (.173) |
Distributions from net realized gain | - | - | - | (.003) | (.019) |
Total distributions | (.230) | (.229) | (.213) | (.193) | (.192) |
Redemption fees added to paid in capital C | .001 | - G | - G | - G | - G |
Net asset value, end of period | $ 10.35 | $ 10.32 | $ 10.20 | $ 10.21 | $ 10.39 |
Total Return A, B | 2.54% | 3.47% | 2.02% | .13% | .89% |
Ratios to Average Net Assets D, F |
|
|
|
|
|
Expenses before reductions | 1.43% | 1.41% | 1.41% | 1.41% | 1.40% |
Expenses net of fee waivers, if any | 1.43% | 1.41% | 1.41% | 1.41% | 1.40% |
Expenses net of all reductions | 1.40% | 1.36% | 1.31% | 1.34% | 1.39% |
Net investment income | 2.22% | 2.23% | 2.11% | 1.85% | 1.65% |
Supplemental Data |
|
|
|
|
|
Net assets, end of period (in millions) | $ 2 | $ 1 | $ 2 | $ 3 | $ 4 |
Portfolio turnover rate E | 20% | 23% | 28% | 27% | 45% |
A Total returns would have been lower had certain expenses not been reduced during the periods shown.
B Total returns do not include the effect of the contingent deferred sales charge.
C Calculated based on average shares outstanding during the period.
D Fees and expenses of the underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds.
E Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
F Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
G Amount represents less than $.001 per share.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Highlights - Class C
Years ended December 31, | 2008 | 2007 | 2006 | 2005 | 2004 |
Selected Per-Share Data |
|
|
|
|
|
Net asset value, beginning of period | $ 10.31 | $ 10.19 | $ 10.20 | $ 10.38 | $ 10.48 |
Income from Investment Operations |
|
|
|
|
|
Net investment income C | .220 | .219 | .204 | .178 | .159 |
Net realized and unrealized gain (loss) | .020 | .120 | (.011) | (.176) | (.080) |
Total from investment operations | .240 | .339 | .193 | .002 | .079 |
Distributions from net investment income | (.221) | (.219) | (.203) | (.179) | (.160) |
Distributions from net realized gain | - | - | - | (.003) | (.019) |
Total distributions | (.221) | (.219) | (.203) | (.182) | (.179) |
Redemption fees added to paid in capital C | .001 | - G | - G | - G | - G |
Net asset value, end of period | $ 10.33 | $ 10.31 | $ 10.19 | $ 10.20 | $ 10.38 |
Total Return A, B | 2.35% | 3.37% | 1.92% | .02% | .77% |
Ratios to Average Net Assets D, F |
|
|
|
|
|
Expenses before reductions | 1.50% | 1.51% | 1.51% | 1.52% | 1.52% |
Expenses net of fee waivers, if any | 1.50% | 1.51% | 1.51% | 1.52% | 1.52% |
Expenses net of all reductions | 1.48% | 1.45% | 1.41% | 1.45% | 1.51% |
Net investment income | 2.14% | 2.14% | 2.01% | 1.74% | 1.53% |
Supplemental Data |
|
|
|
|
|
Net assets, end of period (in millions) | $ 20 | $ 6 | $ 7 | $ 10 | $ 11 |
Portfolio turnover rate E | 20% | 23% | 28% | 27% | 45% |
A Total returns would have been lower had certain expenses not been reduced during the periods shown.
B Total returns do not include the effect of the contingent deferred sales charge.
C Calculated based on average shares outstanding during the period.
D Fees and expenses of the underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds.
E Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
F Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
G Amount represents less than $.001 per share.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Highlights - Short-Intermediate Municipal Income
Years ended December 31, | 2008 | 2007 | 2006 | 2005 | 2004 |
Selected Per-Share Data |
|
|
|
|
|
Net asset value, beginning of period | $ 10.31 | $ 10.19 | $ 10.20 | $ 10.38 | $ 10.48 |
Income from Investment Operations |
|
|
|
|
|
Net investment income B | .326 | .323 | .307 | .284 | .268 |
Net realized and unrealized gain (loss) | .029 | .120 | (.010) | (.177) | (.080) |
Total from investment operations | .355 | .443 | .297 | .107 | .188 |
Distributions from net investment income | (.326) | (.323) | (.307) | (.284) | (.269) |
Distributions from net realized gain | - | - | - | (.003) | (.019) |
Total distributions | (.326) | (.323) | (.307) | (.287) | (.288) |
Redemption fees added to paid in capital B | .001 | - F | - F | - F | - F |
Net asset value, end of period | $ 10.34 | $ 10.31 | $ 10.19 | $ 10.20 | $ 10.38 |
Total Return A | 3.50% | 4.43% | 2.95% | 1.06% | 1.82% |
Ratios to Average Net Assets C, E |
|
|
|
|
|
Expenses before reductions | .49% | .49% | .49% | .49% | .49% |
Expenses net of fee waivers, if any | .49% | .49% | .49% | .49% | .48% |
Expenses net of all reductions | .47% | .43% | .41% | .42% | .47% |
Net investment income | 3.15% | 3.17% | 3.01% | 2.77% | 2.57% |
Supplemental Data |
|
|
|
|
|
Net assets, end of period (in millions) | $ 1,870 | $ 1,650 | $ 1,485 | $ 1,665 | $ 1,841 |
Portfolio turnover rate D | 20% | 23% | 28% | 27% | 45% |
A Total returns would have been lower had certain expenses not been reduced during the periods shown.
B Calculated based on average shares outstanding during the period.
C Fees and expenses of the underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds.
D Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
E Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
F Amount represents less than $.001 per share.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Highlights - Institutional Class
Years ended December 31, | 2008 | 2007 | 2006 | 2005 | 2004 |
Selected Per-Share Data |
|
|
|
|
|
Net asset value, beginning of period | $ 10.32 | $ 10.20 | $ 10.20 | $ 10.38 | $ 10.49 |
Income from Investment Operations |
|
|
|
|
|
Net investment income B | .321 | .320 | .306 | .283 | .265 |
Net realized and unrealized gain (loss) | .022 | .120 | - F | (.176) | (.088) |
Total from investment operations | .343 | .440 | .306 | .107 | .177 |
Distributions from net investment income | (.324) | (.320) | (.306) | (.284) | (.268) |
Distributions from net realized gain | - | - | - | (.003) | (.019) |
Total distributions | (.324) | (.320) | (.306) | (.287) | (.287) |
Redemption fees added to paid in capital B | .001 | - F | - F | - F | - F |
Net asset value, end of period | $ 10.34 | $ 10.32 | $ 10.20 | $ 10.20 | $ 10.38 |
Total Return A | 3.38% | 4.39% | 3.05% | 1.05% | 1.71% |
Ratios to Average Net Assets C, E |
|
|
|
|
|
Expenses before reductions | .51% | .52% | .50% | .49% | .49% |
Expenses net of fee waivers, if any | .51% | .52% | .50% | .49% | .49% |
Expenses net of all reductions | .49% | .45% | .41% | .42% | .48% |
Net investment income | 3.13% | 3.14% | 3.01% | 2.77% | 2.57% |
Supplemental Data |
|
|
|
|
|
Net assets, end of period (000 omitted) | $ 32,139 | $ 4,645 | $ 3,357 | $ 2,625 | $ 1,253 |
Portfolio turnover rate D | 20% | 23% | 28% | 27% | 45% |
A Total returns would have been lower had certain expenses not been reduced during the periods shown.
B Calculated based on average shares outstanding during the period.
C Fees and expenses of the underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds.
D Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
E Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
F Amount represents less than $.001 per share.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Notes to Financial Statements
For the period ended December 31, 2008
(Amounts in thousands except ratios)
1. Organization.
Fidelity Short-Intermediate Municipal Income Fund (the Fund) is a fund of Fidelity Municipal Trust (the trust) and is authorized to issue an unlimited number of shares. The trust is registered under the Investment Company Act of 1940, as amended (the 1940 Act), as an open-end management investment company organized as a Massachusetts business trust. The Fund offers Class A, Class T, Class B, Class C, Short-Intermediate Municipal Income and Institutional Class shares, each of which has equal rights as to assets and voting privileges. Each class has exclusive voting rights with respect to matters that affect that class. Class B shares will automatically convert to Class A shares after a holding period of four years from the initial date of purchase. Investment income, realized and unrealized capital gains and losses, the common expenses of the Fund, and certain fund-level expense reductions, if any, are allocated on a pro rata basis to each class based on the relative net assets of each class to the total net assets of the Fund. Each class differs with respect to transfer agent and distribution and service plan fees incurred. Certain expense reductions also differ by class.
2. Investments in Fidelity Central Funds.
The Fund may invest in Fidelity Central Funds, which are open-end investment companies available only to other investment companies and accounts managed by Fidelity Management & Research Company (FMR) and its affiliates. The Fund's Schedule of Investments lists each of the Fidelity Central Funds held as of period end, if any, as an investment of the Fund, but does not include the underlying holdings of each Fidelity Central Fund. As an Investing Fund, the Fund indirectly bears its proportionate share of the expenses of the underlying Fidelity Central Funds.
The Money Market Central Funds seek preservation of capital and current income and are managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of FMR.
A complete unaudited list of holdings for each Fidelity Central Fund is available upon request or at the SEC's web site at www.sec.gov. In addition, the financial statements of the Fidelity Central Funds, which are not covered by the Fund's Report of Independent Registered Public Accounting Firm, are available on the SEC's web site or upon request.
3. Significant Accounting Policies.
The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America, which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. The following summarizes the significant accounting policies of the Fund:
Annual Report
3. Significant Accounting Policies - continued
Security Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. Wherever possible, the Fund uses independent pricing services approved by the Board of Trustees to value its investments.
Debt securities, including restricted securities, are valued by independent pricing services or by dealers who make markets in such securities. Pricing services consider yield or price of bonds of comparable quality, coupon, maturity and type as well as dealer supplied prices. Investments in open-end mutual funds, including the Fidelity Central Funds, are valued at their closing net asset value each business day. Short-term securities with remaining maturities of sixty days or less for which quotations are not readily available are valued at amortized cost, which approximates value. Actual prices received at disposition may differ.
When current market prices or quotations are not readily available or reliable, valuations may be determined in good faith in accordance with procedures adopted by the Board of Trustees. Factors used in determining value may include significant market or security specific events, changes in interest rates and credit quality, and developments in foreign markets which are monitored by evaluating the performance of ADRs, futures contracts and exchange-traded funds. The frequency with which these procedures are used cannot be predicted and may be utilized to a significant extent. The value of securities used for net asset value (NAV) calculation under these procedures may differ from published prices for the same securities.
The Fund is subject to the provisions of Statement of Financial Accounting Standards No. 157, "Fair Value Measurements" (SFAS 157), effective with the beginning of the Fund's fiscal year. SFAS 157 establishes a hierarchy that prioritizes the inputs to valuation techniques giving the highest priority to readily available unadjusted quoted prices in active markets for identical assets (level 1 measurements) and the lowest priority to unobservable inputs (level 3 measurements) when market prices are not readily available or reliable. The three levels of the hierarchy under SFAS 157 are described below:
Level 1 | Quoted prices in active markets for identical securities. |
Level 2 | Prices determined using other significant observable inputs. Observable inputs are inputs that other market participants may use in pricing a security. These may include quoted prices for similar securities, interest rates, prepayment speeds, credit risk and others. |
Level 3 | Prices determined using significant unobservable inputs. In situations where quoted prices or observable inputs are unavailable or deemed less relevant (for example, when there is little or no market activity for an investment at the end of the period), unobservable inputs may be used. Unobservable inputs reflect the Fund's own assumptions about the factors market participants would use in pricing an investment, and would be based on the best information available. |
Annual Report
Notes to Financial Statements - continued
(Amounts in thousands except ratios)
3. Significant Accounting Policies - continued
Security Valuation - continued
Changes in valuation techniques may result in transfers in or out of an investment's assigned level within the hierarchy.
The aggregate value by input level, as of December 31, 2008, for the Fund's investments,as well as a reconciliation of assets for which significant unobservable inputs (Level 3) were used in determining value, is included at the end of the Fund's Schedule of Investments.
Investment Transactions and Income. For financial reporting purposes, the Fund's investment holdings and NAV include trades executed through the end of the last business day of the period. The NAV per share for processing shareholder transactions is calculated as of the close of business of the New York Stock Exchange (NYSE), normally 4:00 p.m. Eastern time and includes trades executed through the end of the prior business day. Gains and losses on securities sold are determined on the basis of identified cost. Interest income and distributions from the Fidelity Central Funds are accrued as earned. Interest income includes coupon interest and amortization of premium and accretion of discount on debt securities.
Expenses. Most expenses of the trust can be directly attributed to a fund. Expenses which cannot be directly attributed are apportioned among each Fund in the trust. Expense estimates are accrued in the period to which they relate and adjustments are made when actual amounts are known.
Income Tax Information and Distributions to Shareholders. Each year, the Fund intends to qualify as a regulated investment company by distributing substantially all of its taxable income and realized gains under Subchapter M of the Internal Revenue Code and filing its U.S. federal tax return. As a result, no provision for income taxes is required. The Fund is subject to the provisions of FASB Interpretation No. 48, Accounting for Uncertainties in Income Taxes (FIN 48). FIN 48 sets forth a minimum threshold for financial statement recognition of the benefit of a tax position taken or expected to be taken in a tax return. There are no unrecognized tax benefits in the accompanying financial statements. A Fund's federal tax return is subject to examination by the Internal Revenue Service (IRS) for a period of three years.
Dividends are declared daily and paid monthly from net investment income. Distributions from realized gains, if any, are recorded on the ex-dividend date. Income dividends and capital gain distributions are declared separately for each class. Income and capital gain distributions are determined in accordance with income tax regulations, which may differ from generally accepted accounting principles. In addition, the Fund will claim a portion of the payment made to redeeming shareholders as a distribution for income tax purposes.
Annual Report
3. Significant Accounting Policies - continued
Income Tax Information and Distributions to Shareholders - continued
Capital accounts within the financial statements are adjusted for permanent book-tax differences. These adjustments have no impact on net assets or the results of operations. Temporary book-tax differences will reverse in a subsequent period.
Book-tax differences are primarily due to market discount, deferred trustees compensation and capital loss carryforwards.
The Fund purchases municipal securities whose interest, in the opinion of the issuer, is free from federal income tax. There is no assurance that the IRS will agree with this opinion. In the event the IRS determines that the issuer does not comply with relevant tax requirements, interest payments from a security could become federally taxable, possibly retroactively to the date the security was issued.
The tax-basis components of distributable earnings and the federal tax cost as of period end were as follows:
Unrealized appreciation | $ 28,150 |
Unrealized depreciation | (18,384) |
Net unrealized appreciation (depreciation) | 9,766 |
Capital loss carryforward | (2,368) |
Cost for federal income tax purposes | $ 1,854,175 |
The tax character of distributions paid was as follows:
| December 31, 2008 | December 31, 2007 |
Tax-exempt Income | 57,229 | 50,136 |
Short-Term Trading (Redemption) Fees. Shares held in the Fund less than 30 days are subject to a redemption fee equal to .50% of the proceeds of the redeemed shares. All redemption fees, including any estimated redemption fees paid by FMR, are retained by the Fund and accounted for as an addition to paid in capital.
New Accounting Pronouncement. In March 2008, Statement of Financial Accounting Standards No. 161, Disclosures about Derivative Instruments and Hedging Activities (SFAS 161), was issued and is effective for reporting periods beginning after November 15, 2008. SFAS 161 requires enhanced disclosures to provide information about the reasons the Fund invests in derivative instruments, the accounting treatment and the effect derivatives have on financial performance.
Annual Report
Notes to Financial Statements - continued
(Amounts in thousands except ratios)
4. Operating Policies.
Restricted Securities. The Fund may invest in securities that are subject to legal or contractual restrictions on resale. These securities generally may be resold in transactions exempt from registration or to the public if the securities are registered. Disposal of these securities may involve time-consuming negotiations and expense, and prompt sale at an acceptable price may be difficult. Information regarding restricted securities is included at the end of the Fund's Schedule of Investments.
Swap Agreements. The Fund entered into swap agreements, which are contracts between two parties to exchange future cash flows at periodic intervals based on a notional principal amount. Payments are exchanged at specified intervals, accrued daily commencing with the effective date of the contract and recorded as realized gains or losses in the Fund's accompanying Statement of Operations. Certain interest rate swaps include extended effective dates. Gains or losses are realized in the event of an early termination of a swap agreement. Risks of loss may include unfavorable changes in the returns of the underlying instruments or indexes, adverse fluctuations of interest rates, failure of the counterparty to perform under the terms of the agreement and lack of liquidity in the market. Collateral, in the form of cash or securities, may be required to be held in segregated accounts with a fund's custodian bank in accordance with the swap agreement and if required, is identified. The Fund could experience delays and costs in gaining access to the collateral even though it is held in the Fund's custodian bank.
Changes in interest rates can have a negative effect on both the value of the Fund's bond holdings as well as the amount of interest income earned. In general, the value of bonds can fall when interest rates rise and can rise when interest rates fall. The Fund entered into interest rate swap agreements to manage its exposure to interest rate changes. Interest rate swaps represent an agreement between counterparties to exchange cash flows based on the difference between two interest rates (e.g. fixed rate, floating rate), applied to a notional principal amount.
5. Purchases and Sales of Investments.
Purchases and sales of securities, other than short-term securities, aggregated $570,842 and $356,018, respectively.
6. Fees and Other Transactions with Affiliates.
Management Fee. FMR and its affiliates provide the Fund with investment management related services for which the Fund pays a monthly management fee. The management fee is the sum of an individual fund fee rate that is based on an annual rate of .25% of the Fund's average net assets and a group fee rate that averaged .12% during the period. The group fee rate is based upon the average net assets of all the mutual funds
Annual Report
6. Fees and Other Transactions with Affiliates - continued
Management Fee - continued
advised by FMR. The group fee rate decreases as assets under management increase and increases as assets under management decrease. For the period, the total annual management fee rate was .37% of the Fund's average net assets.
Distribution and Service Plan. In accordance with Rule 12b-1 of the 1940 Act, the Fund has adopted separate Distribution and Service Plans for each class of shares. Certain classes pay Fidelity Distributors Corporation (FDC), an affiliate of FMR, separate Distribution and Service Fees, each of which is based on an annual percentage of each class' average net assets. In addition, FDC may pay financial intermediaries for selling shares of the Fund and providing shareholder support services. For the period, the Distribution and Service Fee rates and the total amounts paid to and retained by FDC were as follows:
| Distribution | Service | Paid to | Retained |
Class A | .00% | .25% | $ 70 | $ 14 |
Class T | .00% | .25% | 29 | - |
Class B | .65% | .25% | 14 | 10 |
Class C | .75% | .25% | 111 | 53 |
|
|
| $ 224 | $ 77 |
Sales Load. FDC receives a front-end sales charge of up to 2.75% for selling Class A shares and Class T shares, some of which is paid to financial intermediaries for selling shares of the Fund. FDC receives the proceeds of contingent deferred sales charges levied on Class A, Class T, Class B, and Class C redemptions. These charges depend on the holding period. The deferred sales charges range from 3% to 1% for Class B, 1% for Class C,.75% to .50% for certain purchases of Class A shares and .25% for certain purchases of Class T shares.
For the period, sales charge amounts retained by FDC were as follows:
| Retained |
Class A | $ 15 |
Class T | 2 |
Class B* | 6 |
Class C* | 5 |
| $ 28 |
* When Class B and Class C shares are initially sold, FDC pays commissions from its own resources to financial intermediaries through which the sales are made.
Annual Report
Notes to Financial Statements - continued
(Amounts in thousands except ratios)
6. Fees and Other Transactions with Affiliates - continued
Transfer Agent and Accounting Fees. Citibank, N.A. (Citibank) is the custodian, transfer agent, and shareholder servicing agent for the Fund's Class A, Class T, Class B, Class C, Short-Intermediate Municipal Income and Institutional Class shares. Citibank has entered into a sub-arrangement with Fidelity Investments Institutional Operations Company, Inc. (FIIOC), an affiliate of FMR, with respect to all classes of the Fund, to perform the transfer, dividend disbursing, and shareholder servicing agent functions. FIIOC receives account fees and asset-based fees that vary according to the account size and type of account of the shareholders of the respective classes of the Fund. All fees are paid to FIIOC by Citibank, which is reimbursed by each class for such payments. FIIOC pays for typesetting, printing and mailing of shareholder reports, except proxy statements. For the period, each class paid the following transfer agent fees:
| Amount | % of |
Class A | $ 27 | .10 |
Class T | 11 | .09 |
Class B | 2 | .13 |
Class C | 12 | .10 |
Short-Intermediate Municipal Income | 1,632 | .09 |
Institutional Class | 15 | .11 |
| $ 1,699 |
|
Citibank also has a sub-arrangement with Fidelity Service Company, Inc. (FSC), an affiliate of FMR, under which FSC maintains the Fund's accounting records. The fee is based on the level of average net assets for the month.
7. Committed Line of Credit.
The Fund participates with other funds managed by FMR in a $4.2 billion credit facility (the "line of credit") to be utilized for temporary or emergency purposes to fund shareholder redemptions or for other short-term liquidity purposes. The Fund has agreed to pay commitment fees on its pro rata portion of the line of credit, which amounted to $3 and is reflected in Miscellaneous Expense on the Statement of Operations. During the period, there were no borrowings on this line of credit.
Annual Report
8. Expense Reductions.
Through arrangements with the Fund's custodian and each class' transfer agent, credits realized as a result of uninvested cash balances were used to reduce the Fund's expenses. During the period, these credits reduced the Fund's custody and accounting expenses by $27 and $260, respectively. During the period, credits reduced each class' transfer agent expense as noted in the table below.
| Transfer Agent |
Class A | $ 2 |
Class T | 1 |
Class B | -* |
Class C | 1 |
Short-Intermediate Municipal Income | 126 |
Institutional Class | 1 |
| $ 131 |
* Amount represents less than one thousand
9. Other.
The Fund's organizational documents provide former and current trustees and officers with a limited indemnification against liabilities arising in connection with the performance of their duties to the Fund. In the normal course of business, the Fund may also enter into contracts that provide general indemnifications. The Fund's maximum exposure under these arrangements is unknown as this would be dependent on future claims that may be made against the Fund. The risk of material loss from such claims is considered remote.
10. Distributions to Shareholders.
Distributions to shareholders of each class were as follows:
Years ended December 31, | 2008 | 2007 |
From net investment income |
|
|
Class A | $ 806 | $ 281 |
Class T | 339 | 296 |
Class B | 34 | 44 |
Class C | 236 | 121 |
Short-Intermediate Municipal Income | 55,394 | 49,282 |
Institutional Class | 420 | 112 |
Total | $ 57,229 | $ 50,136 |
Annual Report
Notes to Financial Statements - continued
(Amounts in thousands except ratios)
11. Share Transactions.
Transactions for each class of shares were as follows:
| Shares | Dollars | ||
Years ended December 31, | 2008 | 2007 | 2008 | 2007 |
Class A |
|
|
|
|
Shares sold | 5,496 | 398 | $ 56,891 | $ 4,082 |
Reinvestment of distributions | 64 | 23 | 661 | 231 |
Shares redeemed | (1,064) | (268) | (10,990) | (2,734) |
Net increase (decrease) | 4,496 | 153 | $ 46,562 | $ 1,579 |
Class T |
|
|
|
|
Shares sold | 1,108 | 200 | $ 11,448 | $ 2,060 |
Reinvestment of distributions | 27 | 24 | 275 | 241 |
Shares redeemed | (636) | (489) | (6,578) | (4,985) |
Net increase (decrease) | 499 | (265) | $ 5,145 | $ (2,684) |
Class B |
|
|
|
|
Shares sold | 143 | 72 | $ 1,492 | $ 729 |
Reinvestment of distributions | 2 | 3 | 23 | 28 |
Shares redeemed | (94) | (165) | (977) | (1,685) |
Net increase (decrease) | 51 | (90) | $ 538 | $ (928) |
Class C |
|
|
|
|
Shares sold | 1,714 | 151 | $ 17,723 | $ 1,547 |
Reinvestment of distributions | 14 | 7 | 149 | 76 |
Shares redeemed | (298) | (253) | (3,071) | (2,584) |
Net increase (decrease) | 1,430 | (95) | $ 14,801 | $ (961) |
Short-Intermediate Municipal Income |
|
|
|
|
Shares sold | 89,187 | 43,647 | $ 923,266 | $ 445,094 |
Reinvestment of distributions | 3,425 | 3,143 | 35,431 | 32,070 |
Shares redeemed | (71,651) | (32,503) | (739,608) | (331,437) |
Net increase (decrease) | 20,961 | 14,287 | $ 219,089 | $ 145,727 |
Institutional Class |
|
|
|
|
Shares sold | 3,365 | 258 | $ 34,805 | $ 2,627 |
Reinvestment of distributions | 18 | 4 | 183 | 46 |
Shares redeemed | (725) | (141) | (7,461) | (1,429) |
Net increase (decrease) | 2,658 | 121 | $ 27,527 | $ 1,244 |
Annual Report
Report of Independent Registered Public Accounting Firm
To the Trustees of Fidelity Municipal Trust and the Shareholders of Fidelity Short-Intermediate Municipal Income Fund:
In our opinion, the accompanying statement of assets and liabilities, including the schedule of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Fidelity Short-Intermediate Municipal Income Fund (a fund of Fidelity Municipal Trust) at December 31, 2008, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and the financial highlights for each of the five years in the period then ended, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as "financial statements") are the responsibility of the Fidelity Short-Intermediate Municipal Income Fund's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at December 31, 2008 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion.
/s/ PricewaterhouseCoopers LLP
PricewaterhouseCoopers LLP
Boston, Massachusetts
February 23, 2009
Annual Report
Trustees and Officers
The Trustees, Member of the Advisory Board, and executive officers of the trust and fund, as applicable, are listed below. The Board of Trustees governs the fund and is responsible for protecting the interests of shareholders. The Trustees are experienced executives who meet periodically throughout the year to oversee the fund's activities, review contractual arrangements with companies that provide services to the fund, and review the fund's performance. Except for Edward C. Johnson 3d and James C. Curvey, each of the Trustees oversees 159 funds advised by FMR or an affiliate. Messrs. Johnson and Curvey oversee 380 funds advised by FMR or an affiliate.
The Trustees hold office without limit in time except that (a) any Trustee may resign; (b) any Trustee may be removed by written instrument, signed by at least two-thirds of the number of Trustees prior to such removal; (c) any Trustee who requests to be retired or who has become incapacitated by illness or injury may be retired by written instrument signed by a majority of the other Trustees; and (d) any Trustee may be removed at any special meeting of shareholders by a two-thirds vote of the outstanding voting securities of the trust. Each Trustee who is not an interested person (as defined in the 1940 Act) (Independent Trustee), shall retire not later than the last day of the calendar year in which his or her 72nd birthday occurs. The Independent Trustees may waive this mandatory retirement age policy with respect to individual Trustees. The executive officers and Advisory Board Member hold office without limit in time, except that any officer and Advisory Board Member may resign or may be removed by a vote of a majority of the Trustees at any regular meeting or any special meeting of the Trustees. Except as indicated, each individual has held the office shown or other offices in the same company for the past five years.
The fund's Statement of Additional Information (SAI) includes more information about the Trustees. To request a free copy, call Fidelity at 1-877-208-0098.
Interested Trustees*:
Correspondence intended for each Trustee who is an interested person may be sent to Fidelity Investments, 82 Devonshire Street, Boston, Massachusetts 02109.
Name, Age; Principal Occupation | |
Edward C. Johnson 3d (78) | |
| Year of Election or Appointment: 1984 Mr. Johnson is Chairman of the Board of Trustees. Mr. Johnson serves as Chief Executive Officer, Chairman, and a Director of FMR LLC; Chairman and a Director of FMR; Chairman and a Director of Fidelity Research & Analysis Company (FRAC); Chairman and a Director of Fidelity Investments Money Management, Inc.; and Chairman and a Director of FMR Co., Inc. In addition, Mr. Johnson serves as Chairman and Director of FIL Limited. Previously, Mr. Johnson served as President of FMR LLC (2006-2007). Mr. Edward C. Johnson 3d and Mr. Arthur E. Johnson are not related. |
James C. Curvey (73) | |
| Year of Election or Appointment: 2007 Mr. Curvey also serves as Trustee (2007-present) of other investment companies advised by FMR. Mr. Curvey is a Director of FMR and FMR Co., Inc. (2007-present). Mr. Curvey is also Vice Chairman (2006-present) and Director of FMR LLC. In addition, Mr. Curvey serves as an Overseer for the Boston Symphony Orchestra and a member of the Trustees of Villanova University. |
* Trustees have been determined to be "Interested Trustees" by virtue of, among other things, their affiliation with the trust or various entities under common control with FMR. FMR Corp. merged with and into FMR LLC on October 1, 2007. Any references to FMR LLC for prior periods are deemed to be references to the prior entity.
Independent Trustees:
Correspondence intended for each Independent Trustee (that is, the Trustees other than the Interested Trustees) may be sent to Fidelity Investments, P.O. Box 55235, Boston, Massachusetts 02205-5235.
Name, Age; Principal Occupation | |
Albert R. Gamper, Jr. (66) | |
| Year of Election or Appointment: 2006 Prior to his retirement in December 2004, Mr. Gamper served as Chairman of the Board of CIT Group Inc. (commercial finance). During his tenure with CIT Group Inc. Mr. Gamper served in numerous senior management positions, including Chairman (1987-1989; 1999-2001; 2002-2004), Chief Executive Officer (1987-2004), and President (1989-2002). He currently serves as a member of the Board of Directors of Public Service Enterprise Group (utilities), a member of the Board of Governors, Rutgers University (2004-present), and Chairman of the Board of Saint Barnabas Health Care System. Previously, Mr. Gamper served as Chairman of the Board of Governors, Rutgers University (2004-2007). |
Arthur E. Johnson (61) | |
| Year of Election or Appointment: 2008 Mr. Johnson serves as Senior Vice President of Corporate Strategic Development of Lockheed Martin Corporation (defense contractor). In addition, Mr. Johnson serves as a member of the Board of Directors of AGL Resources, Inc. (holding company), and IKON Office Solutions, Inc. (document management systems and services). Mr. Arthur E. Johnson and Mr. Edward C. Johnson 3d are not related. |
James H. Keyes (68) | |
| Year of Election or Appointment: 2007 Prior to his retirement in 2003, Mr. Keyes was Chairman, President, and Chief Executive Officer of Johnson Controls, Inc. (automotive supplier, 1993-2003). He currently serves as a member of the boards of Navistar International Corporation (manufacture and sale of trucks, buses, and diesel engines) and Pitney Bowes, Inc. (integrated mail, messaging, and document management solutions). Previously, Mr. Keyes served as a member of the Board of LSI Logic Corporation (semiconductor technologies, 1984-2008). |
Marie L. Knowles (62) | |
| Year of Election or Appointment: 2001 Prior to Ms. Knowles' retirement in June 2000, she served as Executive Vice President and Chief Financial Officer of Atlantic Richfield Company (ARCO) (diversified energy, 1996-2000). From 1993 to 1996, she was a Senior Vice President of ARCO and President of ARCO Transportation Company. She served as a Director of ARCO from 1996 to 1998. She currently serves as a Director of McKesson Corporation (healthcare service). Ms. Knowles is a Trustee of the Brookings Institution and the Catalina Island Conservancy and also serves as a member of the Advisory Board for the School of Engineering of the University of Southern California. Previously, Ms. Knowles served as a Director of Phelps Dodge Corporation (copper mining and manufacturing, 1994-2007). |
Kenneth L. Wolfe (69) | |
| Year of Election or Appointment: 2005 Mr. Wolfe is Chairman and a Director of Hershey Foods Corporation (2007-present), where prior to his retirement in 2001, he was Chairman and Chief Executive Officer. Mr. Wolfe currently serves as a member of the board of Revlon Inc. (2004-present). Previously, Mr. Wolfe served as a member of the boards of Adelphia Communications Corporation (2003-2006) and Bausch & Lomb, Inc. (1993-2007). |
Annual Report
Advisory Board Member and Executive Officers**:
Correspondence intended Mr. Kenneally may be sent to Fidelity Investments, P.O. Box 55235, Boston, Massachusetts 02205-5235..
Name, Age; Principal Occupation | |
Michael E. Kenneally (54) | |
| Year of Election or Appointment: 2008 Member of the Advisory Board. Mr. Kenneally also serves as Trustee (2009-present) or Member of the Advisory Board of other Fidelity Fixed Income and Asset Allocation Funds. Previously, Mr. Kenneally served as Chairman and Global Chief Executive Officer of Credit Suisse Asset Management (2003-2005). Mr. Kenneally was a Director of The Credit Suisse Funds (U.S. Mutual Fund, 2004-2008) and was awarded the Chartered Financial Analyst (CFA) designation in 1991. |
John R. Hebble (50) | |
| Year of Election or Appointment: 2008 President and Treasurer of Fidelity's Fixed Income and Asset Allocation Funds. Mr. Hebble is an employee of Fidelity Investments (2003-present). Before joining Fidelity Investments, Mr. Hebble worked at Deutsche Asset Management where he served as Director of Fund Accounting (2002-2003) and Assistant Treasurer of the Scudder Funds. |
Boyce I. Greer (52) | |
| Year of Election or Appointment: 2005 or 2006 Vice President of Fidelity's Fixed Income Funds (2006) and Asset Allocation Funds (2005). Mr. Greer is also a Trustee of other investment companies advised by FMR (2003-present). Mr. Greer is President and a Director of Fidelity Investments Money Management, Inc. (2007-present), and an Executive Vice President of FMR and FMR Co., Inc. (2005- |
Scott C. Goebel (40) | |
| Year of Election or Appointment: 2008 Secretary and Chief Legal Officer (CLO) of the Fidelity funds. Mr. Goebel also serves as General Counsel, Secretary, and Senior Vice President of FMR (2008-present); Deputy General Counsel of FMR LLC; Chief Legal Secretary of Fidelity Management & Research (Hong Kong) Limited (2008-present) and Assistant Secretary of Fidelity Management & Research (Japan) Inc. (2008-present). Previously, Mr. Goebel served as Assistant Secretary of the Funds (2007-2008) and as Vice President and Secretary of Fidelity Distributors Corporation (FDC) (2005-2007). |
Nancy D. Prior (41) | |
| Year of Election or Appointment: 2008 Assistant Secretary of Fidelity's Fixed Income and Asset Allocation Funds. Ms. Prior is an employee of Fidelity Investments (2002-present). |
Holly C. Laurent (54) | |
| Year of Election or Appointment: 2008 Anti-Money Laundering (AML) Officer of the Fidelity funds. Ms. Laurent is an employee of Fidelity Investments. Previously, Ms. Laurent was Senior Vice President and Head of Legal for Fidelity Business Services India Pvt. Ltd. (2006-2008), Senior Vice President, Deputy General Counsel and Group Head for FMR LLC (2005-2006). |
Christine Reynolds (50) | |
| Year of Election or Appointment: 2008 Chief Financial Officer of the Fidelity funds. Ms. Reynolds became President of Fidelity Pricing and Cash Management Services (FPCMS) in August 2008. She served as Chief Operating Officer of FPCMS from 2007 through July 2008. Previously, Ms. Reynolds served as President, Treasurer, and Anti-Money Laundering officer of the Fidelity funds (2004-2007). Before joining Fidelity Investments, Ms. Reynolds worked at PricewaterhouseCoopers LLP (PwC) (1980-2002), where she was an audit partner with PwC's investment management practice. |
Michael H. Whitaker (41) | |
| Year of Election or Appointment: 2008 Chief Compliance Officer of Fidelity's Fixed Income and Asset Allocation Funds. Mr. Whitaker is an employee of Fidelity Investments (2007-present). Prior to joining Fidelity Investments, Mr. Whitaker worked at MFS Investment Management where he served as Senior Vice President and Chief Compliance Officer (2004-2006), and Assistant General Counsel. |
Bryan A. Mehrmann (47) | |
| Year of Election or Appointment: 2005 Deputy Treasurer of the Fidelity funds. Mr. Mehrmann is an employee of Fidelity Investments. Previously, Mr. Mehrmann served as Vice President of Fidelity Investments Institutional Services Group (FIIS)/Fidelity Investments Institutional Operations Company, Inc. (FIIOC) Client Services (1998-2004). |
Stephanie J. Dorsey (39) | |
| Year of Election or Appointment: 2008 Deputy Treasurer of Fidelity's Fixed Income and Asset Allocation Funds. Ms. Dorsey is an employee of Fidelity Investments (2008-present). Previously, Ms. Dorsey served as Treasurer (2004-2008) of the JPMorgan Mutual Funds and Accounting Group Manager (2003) of JPMorgan Chase Bank. |
Robert G. Byrnes (42) | |
| Year of Election or Appointment: 2005 Assistant Treasurer of the Fidelity funds. Mr. Byrnes is an employee of Fidelity Investments (2005-present). Previously, Mr. Byrnes served as Vice President of Fidelity Pricing and Cash Management Services (FPCMS) (2003-2005). Before joining Fidelity Investments, Mr. Byrnes worked at Deutsche Asset Management where he served as Vice President of the Investment Operations Group (2000-2003). |
Paul M. Murphy (61) | |
| Year of Election or Appointment: 2007 Assistant Treasurer of the Fidelity funds. Mr. Murphy is an employee of Fidelity Investments (2007-present). Previously, Mr. Murphy served as Chief Financial Officer of the Fidelity Funds (2005-2006), Vice President and Associate General Counsel of FMR (2007), and Senior Vice President of Fidelity Pricing and Cash Management Services (FPCMS) (1994-2007). |
Gary W. Ryan (50) | |
| Year of Election or Appointment: 2005 Assistant Treasurer of the Fidelity funds. Mr. Ryan is an employee of Fidelity Investments. Previously, Mr. Ryan served as Vice President of Fund Reporting in Fidelity Pricing and Cash Management Services (FPCMS) (1999-2005). |
** FMR Corp. merged with and into FMR LLC on October 1, 2007. Any references to FMR LLC for prior periods are deemed to be references to the prior entity.
Annual Report
Distributions (Unaudited)
During fiscal year ended 2008, 100% of the fund's income dividends was free from federal income tax, and 4.23% of the fund's income dividends was subject to the federal alternative minimum tax.
The fund will notify shareholders in January 2009 of amounts for use in preparing 2008 income tax returns.
Annual Report
Investment Adviser
Fidelity Management & Research Company
Boston, MA
Investment Sub-Advisers
Fidelity Investments Money
Management, Inc.
FIL Investment Advisors
FIL Investment Advisors
(U.K.) Ltd.
Fidelity Research & Analysis Company
Fidelity Management & Research
(U.K.) Inc.
Fidelity Management & Research
(Hong Kong) Limited
Fidelity Management & Research
(Japan) Inc.
General Distributor
Fidelity Distributors Corporation
Boston, MA
Transfer and Service Agents
Citibank, N.A.
New York, NY
Fidelity Investments Institutional
Operations Company, Inc.
Boston, MA
Custodian
Citibank, N.A.
New York, NY
ASTM-UANN-0209 1.796655.105
(Fidelity Investment logo)(registered trademark)
Fidelity Advisor
Short-Intermediate
Municipal Income
Fund - Institutional Class
Annual Report
December 31, 2008
Institutional Class is a class of
Fidelity® Short-Intermediate
Municipal Income Fund
(2_fidelity_logos) (Registered_Trademark)
Contents
Chairman's Message | Ned Johnson's message to shareholders. | |
Performance | How the fund has done over time. | |
Management's Discussion | The manager's review of fund performance, strategy and outlook. | |
Shareholder Expense Example | An example of shareholder expenses. | |
Investment Changes | A summary of major shifts in the fund's investments over the past six months. | |
Investments | A complete list of the fund's investments with their market values. | |
Financial Statements | Statements of assets and liabilities, operations, and changes in net assets, as well as financial highlights. | |
Notes | Notes to the financial statements. | |
Report of Independent Registered Public Accounting Firm |
| |
Trustees and Officers |
| |
Distributions |
|
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com (search for "proxy voting guidelines") or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov. You may also call 1-877-208-0098 to request a free copy of the proxy voting guidelines.
Standard & Poor's, S&P and S&P 500 are registered service marks of The McGraw-Hill Companies, Inc. and have been licensed for use by Fidelity Distributors Corporation.
Other third party marks appearing herein are the property of their respective owners.
All other marks appearing herein are registered or unregistered trademarks or service marks of FMR LLC or an affiliated company.
Annual Report
This report and the financial statements contained herein are submitted for the general information of the shareholders of the fund. This report is not authorized for distribution to prospective investors in the fund unless preceded or accompanied by an effective prospectus.
A fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. Forms N-Q are available on the SEC's web site at http://www.sec.gov. A fund's Forms N-Q may be reviewed and copied at the SEC's Public Reference Room in Washington, DC. Information regarding the operation of the SEC's Public Reference Room may be obtained by calling 1-800-SEC-0330. For a complete list of a fund's portfolio holdings, view the most recent holdings listing, semiannual report, or annual report on Fidelity's web site at http://www.fidelity.com or http://www.advisor.fidelity.com, as applicable.
NOT FDIC INSURED · MAY LOSE VALUE · NO BANK GUARANTEE
Neither the fund nor Fidelity Distributors Corporation is a bank.
Annual Report
Chairman's Message
(photo_of_Edward_C_Johnson_3d)
Dear Shareholder:
An all-out credit crisis gripped the world's capital markets in 2008, stunting economic growth, toppling commodity prices and pushing equity markets into their steepest declines in decades. Within this ultra-risk-averse climate, virtually the only positive results came from the relative security of U.S. government-backed assets. While financial markets are always unpredictable, there are a number of time-tested principles that can put the historical odds in your favor.
One of the basic tenets is to invest for the long term. Over time, riding out the markets' inevitable ups and downs has proven much more effective than selling into panic or chasing the hottest trend. Even missing only a few of the markets' best days can significantly diminish investor returns. Patience also affords the benefits of compounding - of earning interest on additional income or reinvested dividends and capital gains. There are tax advantages and cost benefits to consider as well. The more you sell, the more taxes you pay, and the more you trade, the higher the costs. While staying the course doesn't eliminate risk, it can considerably lessen the effect of short-term declines.
You can further manage your investing risk through diversification. And today, more than ever, geographic diversification should be taken into account. Studies indicate that asset allocation is the single most important determinant of a portfolio's long-term success. The right mix of stocks, bonds and cash - aligned to your particular risk tolerance and investment objective - is very important. Age-appropriate rebalancing is also an essential aspect of asset allocation. For younger investors, an emphasis on equities - which historically have been the best-performing asset class over time - is encouraged. As investors near their specific goal, such as retirement or sending a child to college, consideration may be given to replacing volatile assets (e.g. common stocks) with more-stable fixed investments (bonds or savings plans).
A third investment principle - investing regularly - can help lower the average cost of your purchases. Investing a certain amount of money each month or quarter helps ensure you won't pay for all your shares at market highs. This strategy - known as dollar cost averaging - also reduces unconstructive "emotion" from investing, helping shareholders avoid selling weak performers just prior to an upswing, or chasing a hot performer just before a correction.
We invite you to contact us via the Internet, through our Investor Centers or over the phone. It is our privilege to provide you the information you need to make the investments that are right for you.
Sincerely,
/s/Edward C. Johnson 3d
Edward C. Johnson 3d
Annual Report
Performance: The Bottom Line
Average annual total return reflects the change in the value of an investment, assuming reinvestment of the class' dividend income and capital gains (the profits earned upon the sale of securities that have grown in value, if any) and assuming a constant rate of performance each year. The $10,000 table and the fund's returns do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. During periods of reimbursement by Fidelity, a fund's total return will be greater than it would be had the reimbursement not occurred. How a fund did yesterday is no guarantee of how it will do tomorrow.
Average Annual Total Returns
Periods ended December 31, 2008 | Past 1 | Past 5 | Past 10 |
Institutional Class A | 3.38% | 2.71% | 3.65% |
A The initial offering of Institutional Class shares took place on July 23, 2003. Returns prior to July 23, 2003 are those of Short-Intermediate Municipal Income Fund, the original retail class of the fund.
$10,000 Over 10 Years
Let's say hypothetically that $10,000 was invested in Fidelity Advisor Short-Intermediate Municipal Income - Institutional Class on December 31, 1998. The chart shows how the value of your investment would have changed, and also shows how the Barclays Capital® Municipal Bond Index performed over the same period. The initial offering of Institutional Class took place on July 23, 2003. See above for additional information regarding the performance of Institutional Class.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Management's Discussion of Fund Performance
Comments from Mark Sommer, Portfolio Manager of Fidelity Advisor Short-Intermediate Municipal Income Fund
Municipal bonds suffered losses during 2008, hurt by a persistent and deepening risk aversion that spread rapidly across the global financial markets. While lower-quality municipals were hit first, insured bonds - most rated AAA at the time - came under pressure shortly thereafter in response to investor concerns about the financial strength of bond insurers. All major municipal bond insurers suffered from their exposure to securities backed by subprime mortgages. Supply pressures also weighed on the markets, as issuers scrambled to refinance their debt as the auction-rate securities market - - a major source of funding for muni issuers - broke down. The loss of independent muni dealers - including Bear Stearns, Lehman Brothers, Merrill Lynch and Wachovia - led to further disruption, as did the selling by leveraged investors to cover losses and meet investor redemptions. But in December, munis started to gain strength as investors gravitated toward their attractive valuations. For the 12 months overall, the Barclays Capital Municipal Bond Index - a performance measure of more than 44,000 investment-grade, fixed-rate, tax-exempt bonds - declined 2.47%. The overall taxable debt market, as measured by the Barclays Capital U.S. Aggregate Bond Index, rose 5.24%.
For the year ending December 31, 2008, the fund's Institutional Class shares returned 3.38% and the Barclays Capital 1-6 Year Municipal Bond Index - - which tracks the types of securities in which the fund invests - gained 5.38%. The fund's underperformance of the benchmark stemmed in part from its underexposure to muni bonds backed by U.S. Treasuries and other government-guaranteed securities, namely prerefunded and escrowed bonds. These securities were in strong demand as investors flocked to very high-quality securities with attractive levels of tax-free yield. Yield-curve positioning also worked against us. Specifically, the fund lost ground because of my decision to overweight five- to 10-year bonds, which underperformed shorter securities as interest rates declined. The fund also suffered from having a larger-than-index weighting in lower-quality investment-grade securities - particularly health care bonds - which suffered as investor demand for them waned amid a global flight to quality. On the plus side, the fund was helped by its underweighting in housing and tobacco bonds, two of the muni market's laggards, which were hurt primarily by the overall downturn in lower-quality bonds.
The views expressed above reflect those of the portfolio manager(s) only through the end of the period as stated on the cover of this report and do not necessarily represent the views of Fidelity or any other person in the Fidelity organization. Any such views are subject to change at any time based upon market or other conditions and Fidelity disclaims any responsibility to update such views. These views may not be relied on as investment advice and, because investment decisions for a Fidelity fund are based on numerous factors, may not be relied on as an indication of trading intent on behalf of any Fidelity fund.
Annual Report
Shareholder Expense Example
As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments or redemption proceeds, redemption fees, and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees and other Fund expenses. This Example is intended to help you 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.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (July 1, 2008 to December 31, 2008).
Actual Expenses
The first line of the accompanying table for each class of the Fund provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000.00 (for example, an $8,600 account value divided by $1,000.00 = 8.6), then multiply the result by the number in the first line for a class of the Fund under the heading entitled "Expenses Paid During Period" to estimate the expenses you paid on your account during this period. In addition, the Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.
Hypothetical Example for Comparison Purposes
The second line of the accompanying table for each class of the Fund provides information about hypothetical account values and hypothetical expenses based on a Class' actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Class' actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and 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. In addition, the Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs. Therefore, the second line 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 transactional costs were included, your costs would have been higher.
Annual Report
| Annualized | Beginning | Ending | Expenses Paid |
Class A | .75% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,018.60 | $ 3.81 |
Hypothetical A |
| $ 1,000.00 | $ 1,021.37 | $ 3.81 |
Class T | .74% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,019.70 | $ 3.76 |
Hypothetical A |
| $ 1,000.00 | $ 1,021.42 | $ 3.76 |
Class B | 1.43% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,016.10 | $ 7.25 |
Hypothetical A |
| $ 1,000.00 | $ 1,017.95 | $ 7.25 |
Class C | 1.50% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,014.80 | $ 7.60 |
Hypothetical A |
| $ 1,000.00 | $ 1,017.60 | $ 7.61 |
Short-Intermediate Municipal Income | .49% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,020.90 | $ 2.49 |
Hypothetical A |
| $ 1,000.00 | $ 1,022.67 | $ 2.49 |
Institutional Class | .51% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,019.80 | $ 2.59 |
Hypothetical A |
| $ 1,000.00 | $ 1,022.57 | $ 2.59 |
A 5% return per year before expenses
* Expenses are equal to each Class' annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/366 (to reflect the one-half year period).
Annual Report
Investment Changes (Unaudited)
Top Five States as of December 31, 2008 | ||
| % of fund's | % of fund's net assets |
New York | 16.5 | 17.0 |
Texas | 10.5 | 11.0 |
California | 7.9 | 10.2 |
Illinois | 7.6 | 7.9 |
New Jersey | 5.0 | 5.5 |
Top Five Sectors as of December 31, 2008 | ||
| % of fund's | % of fund's net assets |
General Obligations | 41.2 | 42.0 |
Special Tax | 9.9 | 10.5 |
Escrowed/Pre-Refunded | 9.5 | 14.4 |
Electric Utilities | 9.0 | 8.8 |
Health Care | 7.8 | 7.8 |
Weighted Average Maturity as of December 31, 2008 | ||
|
| 6 months ago |
Years | 3.5 | 3.6 |
The weighted average maturity is based on the dollar-weighted average length of time until principal payments are expected or until securities reach maturity, taking into account any maturity shortening feature such as a call, refunding or redemption provision. |
Duration as of December 31, 2008 | ||
|
| 6 months ago |
Years | 2.6 | 2.8 |
Duration shows how much a bond fund's price fluctuates with changes in comparable interest rates. If rates rise 1%, for example, a fund with a five-year duration is likely to lose about 5% of its value. Other factors also can influence a bond fund's performance and share price. Accordingly, a bond fund's actual performance may differ from this example. |
Quality Diversification (% of fund's net assets) | |||||||
As of December 31, 2008 | As of June 30, 2008 | ||||||
![]() | AAA 6.6% |
| ![]() | AAA 24.3% |
| ||
![]() | AA,A 75.7% |
| ![]() | AA,A 68.8% |
| ||
![]() | BBB 7.9% |
| ![]() | BBB 4.4% |
| ||
![]() | BB and Below 0.2% |
| ![]() | BB and Below 0.2% |
| ||
![]() | Not Rated 2.9% |
| ![]() | Not Rated 1.9% |
| ||
![]() | Short-Term |
| ![]() | Short-Term |
|
We have used ratings from Moody's® Investors Services, Inc. Where Moody's ratings are not available, we have used S&P® ratings. All ratings are as of the report date and do not reflect subsequent downgrades. |
Annual Report
Investments December 31, 2008
Showing Percentage of Net Assets
Municipal Bonds - 93.3% | ||||
| Principal Amount (000s) | Value (000s) | ||
Alabama - 1.6% | ||||
Birmingham Baptist Med. Ctrs. Spl. Care Facilities Fing. Auth. Rev. (Baptist Health Sys., Inc. Proj.) Series 2005 A, 5% 11/15/09 | $ 1,100 | $ 1,074 | ||
Birmingham Wtrwks. & Swr. Board Wtr. & Swr. Rev. Series 2002 B, 5% 1/1/37 (Pre-Refunded to 1/1/13 @ 100) (f) | 10,000 | 10,947 | ||
Health Care Auth. for Baptist Health Series 2006 D, 5% 11/15/11 | 1,000 | 997 | ||
Huntsville Solid Waste Disp. Auth. & Resource Recovery Rev. Series 2000, 5.75% 10/1/09 (MBIA Insured) (e) | 4,000 | 4,092 | ||
Jefferson County Swr. Rev.: | ||||
Series 2001 A, 5.5% 2/1/40 (Pre-Refunded to 2/1/11 @ 101) (f) | 3,900 | 4,185 | ||
Series 2002 B, 5% 2/1/41 (Pre-Refunded to 8/1/12 @ 100) (f) | 2,070 | 2,227 | ||
Mobile Indl. Dev. Board Poll. Cont. Rev. (Alabama Pwr. Co. Barry Plant Proj.) Series 2007 A, 4.75%, tender 3/19/12 (b) | 5,000 | 5,035 | ||
Pell City Spl. Care Facilities Rev. (Noland Health Svcs., Inc. Proj.) Series 2007 A: | ||||
5% 12/1/09 | 500 | 491 | ||
5% 12/1/10 | 855 | 821 | ||
5% 12/1/12 | 750 | 686 | ||
Univ. of Alabama at Birmingham Hosp. Rev. Series | 1,175 | 1,178 | ||
| 31,733 | |||
Alaska - 0.3% | ||||
Alaska Student Ln. Corp. Student Ln. Rev. Series 2000 A, 5.85% 7/1/13 (Pre-Refunded to 7/1/10 @ 100) (e)(f) | 3,285 | 3,428 | ||
Anchorage Gen. Oblig. Series B, 5.75% 12/1/11 (Pre-Refunded to 12/1/10 @ 100) (f) | 2,500 | 2,687 | ||
| 6,115 | |||
Arizona - 2.2% | ||||
Arizona Ctfs. of Prtn. Series 2002 B, 5.5% 9/1/10 (FSA Insured) | 9,025 | 9,450 | ||
Arizona Health Facilities Auth. Rev. (Banner Health Sys. Proj.): | ||||
Series 2008 A, 5% 1/1/13 | 2,000 | 2,009 | ||
Series 2008 D: | ||||
5% 1/1/13 | 3,250 | 3,264 | ||
5% 1/1/14 | 2,000 | 1,989 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Arizona - continued | ||||
Arizona School Facilities Board Ctfs. of Prtn.: | ||||
Series 2004 C, 5% 9/1/09 (FSA Insured) | $ 1,115 | $ 1,139 | ||
Series 2008, 5.5% 9/1/13 | 18,780 | 20,362 | ||
Nogales Rev. Oblig. (Wastewtr. Systems Proj.) Series 2006A, 3.75%, tender 10/1/09, LOC JPMorgan Chase Bank (b) | 3,000 | 3,051 | ||
Tucson Wtr. Rev. Series 2001 A: | ||||
5% 7/1/11 (FGIC Insured) | 1,500 | 1,575 | ||
5% 7/1/15 (FGIC Insured) | 1,645 | 1,790 | ||
| 44,629 | |||
California - 7.9% | ||||
California Dept. of Wtr. Resources Pwr. Supply Rev. Series 2002 A, 5.25% 5/1/12 | 6,000 | 6,394 | ||
California Econ. Recovery Series 2004 A: | ||||
5.25% 1/1/11 | 6,500 | 6,826 | ||
5.25% 7/1/13 | 2,440 | 2,650 | ||
5.25% 7/1/13 | 2,400 | 2,606 | ||
California Gen. Oblig.: | ||||
5% 2/1/11 | 4,000 | 4,150 | ||
5% 2/1/11 | 785 | 815 | ||
5% 10/1/11 | 1,650 | 1,728 | ||
5% 2/1/12 | 1,650 | 1,734 | ||
5% 3/1/12 | 15,000 | 15,775 | ||
5% 9/1/12 | 1,700 | 1,794 | ||
5% 10/1/12 | 12,600 | 13,301 | ||
5% 11/1/13 | 10,000 | 10,605 | ||
5.25% 9/1/10 | 18,050 | 18,673 | ||
5.25% 2/1/11 | 2,465 | 2,570 | ||
5.5% 3/1/11 (FGIC Insured) | 3,210 | 3,368 | ||
5.5% 3/1/11 (XL Cap. Assurance, Inc. Insured) | 2,775 | 2,911 | ||
6.5% 9/1/10 | 1,760 | 1,857 | ||
California Health Facilities Fing. Auth. Rev.: | ||||
(Catholic Healthcare West Proj.) Series 2008 H, 5.125% 7/1/22 | 2,850 | 2,621 | ||
(Cedars-Sinai Med. Ctr. Proj.) Series 2005, 5% 11/15/10 | 1,000 | 1,021 | ||
California Infrastructure & Econ. Dev. Bank Rev. (The J. Paul Getty Trust Proj.) Series 2003 C, 3.9%, tender 12/1/11 (b) | 2,100 | 2,179 | ||
California Poll. Cont. Fing. Auth. Solid Waste Disp. Rev. (Waste Mgmt., Inc. Proj.) Series 2003 A, 5%, tender 5/1/13 (b)(e) | 2,300 | 1,926 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
California - continued | ||||
California State Univ. Rev. Series 2007 C, 5% 11/1/13 (FSA Insured) | $ 1,335 | $ 1,468 | ||
California Statewide Cmntys. Dev. Auth. Rev. (Kaiser Fund Hosp./Health Place, Inc. Proj.) Series 2002 C, 3.85%, tender 6/1/12 (b) | 1,400 | 1,368 | ||
Golden State Tobacco Securitization Corp. Tobacco Settlement Rev.: | ||||
Series 2003 B: | ||||
5.5% 6/1/43 (Pre-Refunded to 6/1/13 @ 100) (f) | 2,000 | 2,221 | ||
5.625% 6/1/38 (Pre-Refunded to 6/1/13 @ 100) (f) | 3,030 | 3,380 | ||
Series 2007 A1, 5% 6/1/12 | 2,570 | 2,453 | ||
Los Angeles Unified School District: | ||||
(Election of 1997 Proj.) Series 2002 E, 5.5% 7/1/14 (MBIA Insured) | 4,400 | 4,743 | ||
Series E, 5% 7/1/11 | 6,075 | 6,440 | ||
Northern California Gas Auth. #1 Gas Proj. Rev. Series 2007 A, 5% 7/1/11 | 2,025 | 1,795 | ||
Poway Unified School District Pub. Fing. Auth. Lease Rev.: | ||||
Cap. Appreciation Series 2007, 0%, tender 6/1/10 (FSA Insured) (b) | 3,655 | 3,504 | ||
Series 2008 B, 0%, tender 12/1/14 (FSA Insured) (b) | 7,235 | 5,412 | ||
San Joaquin Hills Trans. Corridor Agcy. Toll Road Rev. Series A, 0% 1/15/12 (MBIA Insured) | 3,600 | 2,905 | ||
Sulphur Springs Union School District Ctfs. of Prtn. 0%, tender 3/1/11 (AMBAC Insured) (b) | 985 | 916 | ||
Univ. of California Revs.: | ||||
(UCLA Med. Ctr. Proj.) 4.55% 12/1/09 (Escrowed to Maturity) (f)(g) | 8,230 | 8,507 | ||
Series K, 5% 5/15/10 | 4,655 | 4,875 | ||
Western Placer Unified School District Ctfs. of Prtn. (School Facilities Proj.) Series 2006 B, 3.625%, tender 12/1/09 (FSA Insured) (b) | 3,170 | 3,220 | ||
| 158,711 | |||
Colorado - 0.3% | ||||
Colorado Health Facilities Auth. Rev.: | ||||
(Adventist Health Sys. - Sunbelt Proj.): | ||||
Series 2006 E: | ||||
5% 11/15/11 | 2,110 | 2,154 | ||
5% 11/15/11 (Escrowed to Maturity) (f) | 120 | 130 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Colorado - continued | ||||
Colorado Health Facilities Auth. Rev.: - continued | ||||
(Adventist Health Sys. - Sunbelt Proj.): | ||||
Series 2006 F: | ||||
5% 11/15/12 | $ 380 | $ 387 | ||
5% 11/15/12 (Escrowed to Maturity) (f) | 845 | 930 | ||
(Volunteers of America Care Proj.) Series 2007 A, 5% 7/1/10 | 615 | 578 | ||
Denver City & County Arpt. Rev. Series 2001 A, 5.625% 11/15/12 (e) | 2,000 | 2,000 | ||
| 6,179 | |||
Connecticut - 1.8% | ||||
Connecticut Gen. Oblig.: | ||||
Series 2001 D, 5.125% 11/15/18 (Pre-Refunded to 11/15/11 @ 100) (f) | 5,000 | 5,399 | ||
Series 2006 F, 5% 12/1/11 | 23,100 | 24,949 | ||
Connecticut Spl. Tax Oblig. Trans. Infrastructure Rev. Series 1998 A, 5.5% 10/1/13 (FGIC Insured) | 4,300 | 4,815 | ||
| 35,163 | |||
District Of Columbia - 0.7% | ||||
District of Columbia Gen. Oblig. Series B, 0% 6/1/12 (MBIA Insured) | 3,600 | 3,243 | ||
District of Columbia Rev. (Medlantic/Helix Proj.) Series 1998 C: | ||||
4% 8/15/09 (FSA Insured) | 1,100 | 1,114 | ||
5% 8/15/15 (FSA Insured) | 1,500 | 1,534 | ||
District of Columbia Univ. Rev. (Georgetown Univ. Proj.) Series 2001 B, 4.7%, tender 4/1/18 (b) | 8,500 | 8,325 | ||
| 14,216 | |||
Florida - 4.3% | ||||
Brevard County School Board Ctfs. of Prtn. Series 1996 A, 5.5% 7/1/09 (AMBAC Insured) | 2,775 | 2,824 | ||
Broward County School Board Ctfs. of Prtn. Series 2008 A, 5% 7/1/15 (FSA Insured) | 5,495 | 5,790 | ||
Citizens Property Ins. Corp. Series 2007 A, 5% 3/1/11 (MBIA Insured) | 4,025 | 4,118 | ||
Escambia City Health Facilities Auth. Rev. (Ascension Health Cr. Group Proj.) Series 2003 A, 5.25% 11/15/13 | 4,265 | 4,414 | ||
Florida Gen. Oblig. (Dept. of Trans. Right-of-Way and Bridge Construction Proj.) Series 2005 B, 6.375% 7/1/13 | 8,020 | 9,184 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Florida - continued | ||||
Highlands County Health Facilities Auth. Rev.: | ||||
(Adventist Health Sys./Sunbelt, Inc. Prog.): | ||||
Series 2002, 3.95%, tender 9/1/12 (b) | $ 7,550 | $ 7,098 | ||
Series 2005 A, 5% 11/15/10 | 1,000 | 1,019 | ||
Series G: | ||||
5% 11/15/09 | 420 | 428 | ||
5% 11/15/09 (Escrowed to Maturity) (f) | 15 | 15 | ||
5% 11/15/10 | 385 | 392 | ||
5% 11/15/10 (Escrowed to Maturity) (f) | 15 | 16 | ||
5% 11/15/11 | 675 | 689 | ||
5% 11/15/11 (Escrowed to Maturity) (f) | 25 | 27 | ||
(Adventist Health Sys./Sunbelt, Inc. Prog.) Series 2008 A, 6.1%, tender 11/14/13 (b) | 1,000 | 1,002 | ||
Hillsborough County Indl. Dev. (H Lee Moffitt Cancer Ctr. Proj.) Series 2007 A, 5% 7/1/12 | 1,310 | 1,315 | ||
Hillsborough County Indl. Dev. Auth. Poll. Cont. Rev. (Tampa Elec. Co. Proj.): | ||||
Series 2006, 5%, tender 3/15/12 (AMBAC Insured) (b) | 1,500 | 1,539 | ||
Series 2007 B, 5.15%, tender 9/1/13 (b) | 1,750 | 1,683 | ||
Lakeland Hosp. Sys. Rev. (Reg'l. Health Systems Proj.) 5% 11/15/11 | 2,545 | 2,491 | ||
Lee County Solid Waste Sys. Rev. Series 2001, 5.25% 10/1/09 (MBIA Insured) (e) | 1,000 | 1,018 | ||
Lee Memorial Health Sys. Board of Directors Hosp. Rev. Series A, 5.75% 4/1/12 (FSA Insured) | 1,980 | 2,108 | ||
Miami-Dade County Cap. Asset Acquisition Series 2002 A, 5% 4/1/12 (AMBAC Insured) | 2,800 | 2,947 | ||
Miami-Dade County Health Facilities Auth. Hosp. Rev. (Miami Children's Hosp. Proj.) Series 2006 A, 4.125%, tender 8/1/11 (b) | 2,000 | 2,016 | ||
Miami-Dade County School Board Ctfs. of Prtn. Series 2003 B, 5%, tender 5/1/11 (MBIA Insured) (b) | 1,500 | 1,540 | ||
Miami-Dade County Wtr. & Swr. Rev. Series 2008 A, 5% 10/1/14 (FSA Insured) | 4,000 | 4,294 | ||
North Brevard County Hosp. District Rev. (Parrish Med. Ctr. Proj.) Series 2008: | ||||
3.5% 10/1/09 | 990 | 998 | ||
4.625% 10/1/12 | 1,110 | 1,082 | ||
Orange County Health Facilities Auth. Rev.: | ||||
(Adventist Health Sys./Sunbelt Obligated Group Proj.) Series 1992, 5.75% 11/15/12 (FSA Insured) | 2,615 | 2,618 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Florida - continued | ||||
Orange County Health Facilities Auth. Rev.: - continued | ||||
(Orlando Reg'l. Health Care Sys. Proj.) Series 2008 A, 5% 11/1/15 (FSA Insured) | $ 1,825 | $ 1,892 | ||
Polk County Cap. Impt. Rev.: | ||||
Series 2002, 5.5% 12/1/11 (FGIC Insured) | 3,470 | 3,684 | ||
Series 2004, 5.5%, tender 12/1/10 (FSA Insured) (b) | 9,000 | 9,550 | ||
Polk County School District Sales Tax Rev. Series 2007, 5% 10/1/12 (FSA Insured) | 6,080 | 6,547 | ||
Univ. Athletic Assoc., Inc. Athletic Prog. Rev. Series 2001, 3%, tender 10/1/09, LOC SunTrust Banks, Inc. (b) | 1,000 | 1,007 | ||
| 85,345 | |||
Georgia - 2.8% | ||||
Burke County Indl. Dev. Auth. Poll. Cont. Rev. (Oglethorpe Pwr. Corp. Proj.) 6.75%, tender 4/1/12 (b) | 7,600 | 7,669 | ||
Carroll County School District Series 2007, 5% 4/1/11 | 8,000 | 8,518 | ||
Georgia Muni. Elec. Auth. Pwr. Rev. Series 1992 B, 8.25% 1/1/11 (MBIA Insured) | 4,105 | 4,518 | ||
Henry County School District Series 2007 A, 5% 4/1/10 | 10,000 | 10,424 | ||
Main Street Natural Gas, Inc. Georgia Gas Proj. Rev. Series 2007 A, 5% 9/15/12 | 4,000 | 3,643 | ||
Monroe County Dev. Auth. Poll. Cont. Rev.: | ||||
(Georgia Pwr. Co. Plant Scherer Proj.) First Series, 4.5%, tender 4/1/11 (b) | 5,200 | 5,158 | ||
(Georgia Pwr. Co. Proj.) Series 2007 A, 4.75%, tender 4/1/11 (MBIA Insured) (b) | 5,705 | 5,755 | ||
Muni. Elec. Auth. of Georgia (Proj. One) Series 2008 A: | ||||
5% 1/1/13 | 2,000 | 2,101 | ||
5% 1/1/14 | 3,000 | 3,159 | ||
Walton County Series 2007: | ||||
5% 1/1/10 (FGIC Insured) | 2,000 | 2,065 | ||
5% 1/1/11 (FGIC Insured) | 3,000 | 3,136 | ||
| 56,146 | |||
Hawaii - 0.4% | ||||
Hawaii Arpts. Sys. Rev. Series 2000 B, 8% 7/1/10 (FGIC Insured) (e) | 3,850 | 4,060 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Hawaii - continued | ||||
Hawaii Gen. Oblig. Series CU: | ||||
5.75% 10/1/11 (MBIA Insured) | $ 3,040 | $ 3,215 | ||
5.75% 10/1/11 (Pre-Refunded to 10/1/10 @ 100) (f) | 170 | 182 | ||
| 7,457 | |||
Illinois - 7.6% | ||||
Chicago Board of Ed. Series 1997, 6.75% 12/1/10 (AMBAC Insured) | 4,160 | 4,423 | ||
Chicago Gen. Oblig.: | ||||
(City Colleges Proj.) Series 1999, 0% 1/1/17 (FGIC Insured) | 7,200 | 5,154 | ||
Series A: | ||||
5.25% 1/1/12 (Escrowed to Maturity) (f) | 825 | 907 | ||
5.25% 1/1/12 (FSA Insured) | 175 | 190 | ||
Chicago Midway Arpt. Rev. Series 2004 B: | ||||
5% 1/1/10 (AMBAC Insured) | 1,225 | 1,251 | ||
5% 1/1/11 (AMBAC Insured) | 3,625 | 3,739 | ||
Chicago O'Hare Int'l. Arpt. Rev.: | ||||
Series 1999, 5.5% 1/1/10 (AMBAC Insured) (e) | 2,900 | 2,961 | ||
Series 2008 A: | ||||
5% 1/1/12 (FSA Insured) | 3,500 | 3,645 | ||
5% 1/1/13 (FSA Insured) | 4,000 | 4,179 | ||
Series A, 5% 1/1/12 (MBIA Insured) | 1,165 | 1,216 | ||
Chicago Park District: | ||||
Series 2003 C, 5% 1/1/11 (AMBAC Insured) | 2,515 | 2,651 | ||
Series 2004 B, 5% 1/1/11 (AMBAC Insured) | 5,750 | 6,061 | ||
Chicago Transit Auth. Cap. Grant Receipts Rev.: | ||||
(Fed. Transit Administration Section 5307 Proj.) Series 2004 A, 5.25% 6/1/10 (AMBAC Insured) | 4,835 | 5,016 | ||
(Fed. Transit Administration Section 5309 Proj.) Series 2008 A: | ||||
5% 6/1/10 | 1,705 | 1,760 | ||
5% 6/1/13 | 3,765 | 3,997 | ||
Cook County Thorton Township High School District #205 5.5% 12/1/16 (Assured Guaranty Corp. Insured) | 2,500 | 2,648 | ||
Granite City Solid Waste Disp. Rev. (Waste Mgmt., Inc. Proj.) Series 2002, 4.875%, tender 5/3/10 (b)(e) | 5,500 | 5,408 | ||
Hodgkins Tax Increment Rev. Series 2005, 5% 1/1/09 | 1,805 | 1,805 | ||
Illinois Dev. Fin. Auth. Rev. (DePaul Univ. Proj.) Series 2004 C, 5.5% 10/1/10 | 1,900 | 1,986 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Illinois - continued | ||||
Illinois Edl. Facilities Auth. Revs.: | ||||
(Art Institute of Chicago Proj.) Series 2003, 3.85%, tender 3/1/11 (b) | $ 12,800 | $ 12,855 | ||
(Field Museum of Natural History Proj.) Series 2002, 4.05%, tender 11/1/11 (b) | 3,250 | 3,325 | ||
Illinois Fin. Auth. Hosp. Rev. (KishHealth Sys. Proj.) Series 2008, 5.25% 10/1/15 | 2,220 | 2,170 | ||
Illinois Fin. Auth. Rev.: | ||||
(DePaul Univ. Proj.) Series 2005 A, 5% 10/1/11 | 1,450 | 1,528 | ||
(Northwest Cmnty. Hosp. Proj.) Series 2008 A: | ||||
5% 7/1/12 | 750 | 771 | ||
5% 7/1/13 | 415 | 426 | ||
5% 7/1/15 | 1,000 | 1,016 | ||
(Rush Univ. Med. Ctr. Proj.) Series 2006 B: | ||||
5% 11/1/15 (MBIA Insured) | 3,075 | 3,054 | ||
5% 11/1/16 (MBIA Insured) | 1,700 | 1,652 | ||
Illinois Gen. Oblig.: | ||||
First Series 2001, 5.25% 5/1/11 (FSA Insured) | 1,515 | 1,614 | ||
First Series, 5.5% 8/1/10 | 1,495 | 1,565 | ||
Series 2002, 5.375% 7/1/11 (MBIA Insured) | 6,745 | 7,223 | ||
5.75% 4/1/12 (Pre-Refunded to 4/1/10 @ 100) (f) | 1,000 | 1,056 | ||
Illinois Health Facilities Auth. Rev.: | ||||
(Delnor Hosp. Proj.) Series 2003 A: | ||||
5% 5/15/15 (FSA Insured) | 2,250 | 2,393 | ||
5% 5/15/16 (FSA Insured) | 2,325 | 2,463 | ||
(Edward Hosp. Obligated Group Proj.) Series 2001 B, 5.125% 2/15/25 (Pre-Refunded to 2/15/11 @ 101) (f) | 8,500 | 9,203 | ||
Kane & DeKalb Counties Cmnty. Unit School District #301 Series 1995, 0% 12/1/10 (AMBAC Insured) | 2,000 | 1,903 | ||
Kane & DuPage Counties Cmnty. Unit School District #303, Saint Charles Series 2002 B, 5.5% 1/1/12 (FSA Insured) | 2,270 | 2,481 | ||
Kane County School District #129, Aurora West Side Series 2002 A, 5.75% 2/1/14 (Pre-Refunded to 2/1/12 @ 100) (f) | 1,600 | 1,787 | ||
Lake County Cmnty. High School District #128, Libertyville Series 2004, 5% 1/1/11 | 2,365 | 2,498 | ||
Madison County Cmnty. United School District #007 Series 2007 A, 5% 12/1/11 (FSA Insured) | 2,965 | 3,188 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Illinois - continued | ||||
Metropolitan Pier & Exposition Auth. Dedicated State Tax Rev.: | ||||
(McCormick Place Expansion Proj.) Series 1996 A, 0% 12/15/13 (MBIA Insured) | $ 2,725 | $ 2,289 | ||
Series 2002 A, 0% 6/15/14 (FGIC Insured) | 9,325 | 7,618 | ||
Series 2002, 0% 6/15/10 (Escrowed to Maturity) (f) | 5,000 | 4,877 | ||
Quincy Hosp. Rev. (Blessing Hosp. Proj.) Series 2007, 5% 11/15/10 | 1,285 | 1,296 | ||
Rosemont Gen. Oblig. Series 1993 A, 0% 12/1/11 (FGIC Insured) | 3,695 | 3,407 | ||
Univ. of Illinois Ctfs. of Prtn. (Util. Infrastructure Proj.) Series 2003, 5% 8/15/11 (AMBAC Insured) | 1,360 | 1,450 | ||
Univ. of Illinois Univ. Revs.: | ||||
(Auxiliary Facilities Sys. Proj.) Series 2005 A, 5% 4/1/11 (MBIA Insured) | 5,050 | 5,351 | ||
0% 4/1/14 | 2,350 | 1,929 | ||
| 151,385 | |||
Indiana - 2.6% | ||||
Carmel High School Bldg. Corp. Series 2005, 5% 1/10/11 (FSA Insured) | 1,000 | 1,058 | ||
Hamilton Southeastern Consolidated School Bldg. Corp.: | ||||
Series 2004: | ||||
5% 1/15/10 (FSA Insured) | 1,835 | 1,903 | ||
5% 1/15/11 (FSA Insured) | 1,910 | 1,994 | ||
5% 1/15/12 (FSA Insured) | 1,990 | 2,108 | ||
Series 2005 A: | ||||
5% 1/10/10 (FSA Insured) | 1,750 | 1,819 | ||
5.25% 7/10/11 (FSA Insured) | 2,295 | 2,428 | ||
5.25% 1/10/12 (FSA Insured) | 1,355 | 1,445 | ||
Indiana Fin. Auth. Health Sys. Rev. (Sisters of Saint Francis Health Svcs., Inc. Obligated Group Proj.) Series 2008 C, 5% 11/1/13 | 3,000 | 3,063 | ||
Indiana Fin. Auth. Rev. (Ascension Health Proj.) Series 2008 E7, 3.5%, tender 12/15/09 (b) | 5,000 | 5,039 | ||
Indiana Health Facility Fing. Auth. Rev. (Ascension Health Subordinate Cr. Proj.) Series 2005 A3, 5%, tender 7/1/11 (b) | 4,100 | 4,182 | ||
Indiana Univ. Student Fee Revs. Series H, 0% 8/1/09 (AMBAC Insured) | 3,875 | 3,836 | ||
Indianapolis Local Pub. Impt. Bond Bank (Wtrwks. Proj.) Series 2002 A, 5.5% 7/1/16 (Pre-Refunded to 7/1/12 @ 100) (f) | 5,000 | 5,621 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Indiana - continued | ||||
Ivy Tech State College Series I, 5% 7/1/09 (AMBAC Insured) | $ 1,405 | $ 1,425 | ||
Jasper County Indl. Poll. Ctl. Rev. (Northern Indiana Pub. Svc. Co. Proj.) Series 1988 B, 5.2% 6/1/13 (MBIA Insured) | 3,000 | 3,021 | ||
Logansport High School Bldg. Corp. Series 2005: | ||||
5.25% 1/15/11 (MBIA Insured) | 1,000 | 1,059 | ||
5.25% 7/15/11 (MBIA Insured) | 1,020 | 1,092 | ||
5.25% 1/15/12 (MBIA Insured) | 1,045 | 1,130 | ||
5.25% 7/15/12 (MBIA Insured) | 1,075 | 1,172 | ||
Muncie School Bldg. Corp. Series 2005, 5.25% 7/10/12 (MBIA Insured) | 1,585 | 1,733 | ||
New Albany Floyd County Independent School Bldg. Corp. Series 2005, 5% 1/15/11 (FSA Insured) | 1,000 | 1,058 | ||
Rockport Poll. Cont. Rev. (AEP Generating Co. Proj.) Series 1995 A, 4.15%, tender 7/15/11 (AMBAC Insured) (b) | 1,600 | 1,668 | ||
West Clark 2000 School Bldg. Corp. Series 2005: | ||||
5.25% 1/15/11 (MBIA Insured) | 1,065 | 1,129 | ||
5.25% 7/15/11 (MBIA Insured) | 1,125 | 1,206 | ||
5.25% 1/15/12 (MBIA Insured) | 1,150 | 1,246 | ||
| 51,435 | |||
Kansas - 0.1% | ||||
Kansas Dev. Fin. Auth. Health Facilities Rev. (Hays Med. Ctr. Proj.) Series 2005 L: | ||||
5.25% 11/15/10 | 545 | 554 | ||
5.25% 11/15/12 | 680 | 686 | ||
Olathe Health Facilities Rev. (Olathe Med. Ctr. Proj.) Series 2008 A, 4.125%, tender 3/1/13 (b) | 1,600 | 1,565 | ||
| 2,805 | |||
Kentucky - 0.4% | ||||
Kenton County Arpt. Board Arpt. Rev. Series 2003 B, 5% 3/1/09 (MBIA Insured) (e) | 1,185 | 1,188 | ||
Louisville/Jefferson County Metropolitan Govt. Poll. Cont. Rev. (Louisville Gas and Electronic Co. Proj.) Series 2005 A, 5.75%, tender 12/2/13 (b) | 6,000 | 6,007 | ||
| 7,195 | |||
Louisiana - 0.2% | ||||
East Baton Rouge Parish Pub. Impt. Sales Tax Rev. Series ST-2005 B, 5% 2/1/12 (AMBAC Insured) | 1,000 | 1,049 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Louisiana - continued | ||||
Ernest N. Morial-New Orleans Exhibit Hall Auth. Spl. Tax Series 2003 A, 5.25% 7/15/11 (Escrowed to Maturity) (f) | $ 2,060 | $ 2,238 | ||
Louisiana Military Dept. Custody Receipts 5% 8/1/10 | 1,530 | 1,580 | ||
| 4,867 | |||
Maryland - 2.3% | ||||
Baltimore Proj. Rev. (Wtr. Proj.) Series 2007 D: | ||||
5% 7/1/10 (AMBAC Insured) | 690 | 717 | ||
5% 7/1/11 (AMBAC Insured) | 1,985 | 2,098 | ||
Howard County Retirement Cmnty. Rev. (Vantage House Proj.) Series 2007 A, 4.5% 4/1/09 | 305 | 302 | ||
Maryland Gen. Oblig. (State & Local Facilities Ln. Prog.): | ||||
First Series 2005 B, 5.25% 2/15/12 | 20,000 | 21,930 | ||
First Series 2008, 5% 3/1/12 | 10,000 | 10,896 | ||
Maryland Health & Higher Edl. Facilities Auth. Rev.: | ||||
(Johns Hopkins Health Sys. Obligated Group Proj.) Series 2008 B, 5%, tender 5/15/15 (b) | 2,225 | 2,291 | ||
(Univ. of Maryland Med. Sys. Proj.) Series 2008 F: | ||||
5% 7/1/13 | 2,400 | 2,424 | ||
5% 7/1/14 | 3,500 | 3,520 | ||
Prince Georges County Ctfs. of Prtn. (Equip. Acquisition Prog.) Series 2004, 5.25% 5/15/10 (MBIA Insured) | 1,535 | 1,607 | ||
| 45,785 | |||
Massachusetts - 2.9% | ||||
Massachusetts Dept. of Agricultural Resources Higher Ed. Rev. Series 2006 A, 5% 1/1/11 | 1,000 | 1,008 | ||
Massachusetts Fed. Hwy. Series 2000 A, 5.75% 6/15/13 | 3,000 | 3,181 | ||
Massachusetts Gen. Oblig.: | ||||
Series 1999 C, 5.625% 9/1/12 (Pre-Refunded to 9/1/09 @ 101) (f) | 2,570 | 2,667 | ||
Series 2000 A, 6% 2/1/10 | 2,500 | 2,624 | ||
Series 2001 A, 5.5% 1/1/11 | 5,000 | 5,331 | ||
Series 2002 C, 5.25% 11/1/30 (Pre-Refunded to 11/1/12 @ 100) (f) | 2,495 | 2,748 | ||
Series 2003 C, 5.5% 10/1/10 (MBIA Insured) | 1,130 | 1,195 | ||
Massachusetts Port Auth. Spl. Facilities Rev. (Delta Air Lines, Inc. Proj.) Series 2001 A, 5.5% 1/1/12 (AMBAC Insured) (e) | 1,000 | 649 | ||
Massachusetts Spl. Oblig. Rev. (Fed. Hwy. Grant Anticipation Note Prog.) Series 2003 A, 5% 12/15/12 (FSA Insured) | 3,300 | 3,509 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Massachusetts - continued | ||||
Massachusetts Wtr. Resources Auth. Wtr. & Swr. Rev.: | ||||
Series 2000 A: | ||||
5.75% 8/1/30 (Pre-Refunded to 8/1/10 @ 101) (f) | $ 19,000 | $ 20,486 | ||
5.75% 8/1/39 (Pre-Refunded to 8/1/10 @ 101) (f) | 5,000 | 5,391 | ||
Series B, 5.2% 8/1/22 (Pre-Refunded to 8/1/11 @ 101) (f) | 8,350 | 9,142 | ||
| 57,931 | |||
Michigan - 2.6% | ||||
Allegan Pub. School District Series 2008, 5% 5/1/12 (MBIA Insured) | 1,590 | 1,720 | ||
Chelsea School District 5% 5/1/13 (MBIA Insured) | 1,750 | 1,915 | ||
Clarkston Cmnty. Schools Series 2008, 5% 5/1/12 (FSA Insured) | 3,000 | 3,265 | ||
Detroit City School District Series 2001 A, 5.5% 5/1/11 (FSA Insured) | 1,200 | 1,282 | ||
Detroit Swr. Disp. Rev.: | ||||
Series 2006 D, 3.201% 7/1/32 (b) | 4,095 | 2,213 | ||
Series A, 5.75% 7/1/26 (Pre-Refunded to 1/1/10 @ 101) (f) | 2,000 | 2,101 | ||
DeWitt Pub. Schools 5% 5/1/10 (MBIA Insured) | 1,280 | 1,321 | ||
Grand Haven Area Pub. Schools 5% 5/1/12 (FSA Insured) | 2,965 | 3,207 | ||
Grand Rapids Cmnty. College: | ||||
5% 5/1/12 (FSA Insured) | 1,305 | 1,420 | ||
5% 5/1/13 (FSA Insured) | 1,305 | 1,439 | ||
Kent Hosp. Fin. Auth. Hosp. Facilities Rev. (Spectrum Health Sys. Proj.) Series 2008 A, 5.25%, tender 1/15/14 (b) | 2,000 | 2,018 | ||
Lincoln Consolidated School District 5% 5/1/12 (FSA Insured) | 1,485 | 1,611 | ||
Michigan Bldg. Auth. Rev. (Facilities Prog.) Series I: | ||||
5.5% 10/15/09 | 2,705 | 2,786 | ||
5.5% 10/15/13 | 2,200 | 2,331 | ||
Michigan Gen. Oblig. (Envir. Protection Prog.) Series 1992, 6.25% 11/1/12 | 2,735 | 2,941 | ||
Michigan Hosp. Fin. Auth. Rev.: | ||||
(McLaren Health Care Corp. Proj.) Series 2008 A, 5.25% 5/15/14 | 4,160 | 4,185 | ||
(Oakwood Hosp. Proj.) Series 2007 A, 5% 7/15/11 | 2,700 | 2,664 | ||
Plymouth-Canton Cmnty. School District 5% 5/1/12 (FSA Insured) | 4,000 | 4,347 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Michigan - continued | ||||
Pontiac Tax Increment Fin. Auth. Series 2002, 6.25% 6/1/22 (Pre-Refunded to 6/1/12 @ 101) (f) | $ 2,260 | $ 2,599 | ||
Royal Oak City School District 5% 5/1/12 | 2,000 | 2,166 | ||
Troy School District 5% 5/1/11 (MBIA Insured) | 1,000 | 1,064 | ||
Wayne County Cmnty. College (College Facilities Impt. Proj.) 5.25% 7/1/09 (FGIC Insured) | 1,220 | 1,238 | ||
Wayne-Westland Cmnty. Schools 5% 5/1/10 (FSA Insured) | 1,225 | 1,267 | ||
| 51,100 | |||
Minnesota - 0.3% | ||||
Minneapolis & Saint Paul Hsg. & Redev. Auth. Health Care Sys. Rev. (HealthPartners Obligated Group Proj.) Series 2003, 5.25% 12/1/10 | 500 | 476 | ||
Minneapolis & Saint Paul Metropolitan Arpts. Commission Arpt. Rev. Series 2008 A, 5% 1/1/13 (e) | 1,000 | 995 | ||
Saint Louis Park Health Care Facilities Rev. (Park Nicollet Health Svcs. Proj.) Series 2008 C, 5.5% 7/1/10 | 2,000 | 2,030 | ||
Saint Paul Hsg. & Redev. Auth. Health Care Facilities Rev. (Healthpartners Oblig. Group Proj.) Series 2006: | ||||
5% 5/15/09 | 250 | 247 | ||
5% 5/15/10 | 200 | 192 | ||
5% 5/15/11 | 300 | 280 | ||
Saint Paul Port Auth. Lease Rev. (HealthEast Midway Campus Proj.) Series 2003 A, 5% 5/1/10 | 250 | 237 | ||
Waconia Independent School District #110 Series 2003 A, 5% 2/1/11 (FSA Insured) | 940 | 995 | ||
| 5,452 | |||
Mississippi - 0.3% | ||||
Mississippi Bus. Fin. Corp. Solid Waste Disp. Rev. (Waste Mgmt., Inc. Proj.) Series 2002, 4.4%, tender 3/1/11 (b)(e) | 1,100 | 1,000 | ||
Mississippi Dev. Bank Spl. Oblig. (Marshall County Correctional Facility Proj.) Series 2008 C, 5% 8/1/11 | 1,050 | 1,098 | ||
Mississippi Hosp. Equip. & Facilities Auth.: | ||||
(Mississippi Baptist Med. Ctr. Proj.) Series 2007 A: | ||||
5% 8/15/09 | 1,000 | 1,017 | ||
5% 8/15/11 | 1,000 | 1,004 | ||
(South Central Reg'l. Med. Ctr. Proj.) Series 2006, 5% 12/1/10 | 1,240 | 1,183 | ||
| 5,302 | |||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Missouri - 0.7% | ||||
Bi-State Dev. Agcy. Missouri Illinois Metropolitan District Rev. Series 2005 A, 3.95%, tender 10/1/09, LOC JPMorgan Chase Bank (b) | $ 6,600 | $ 6,710 | ||
Fenton Tax Increment Rev. (Gravois Bluffs Redev. Proj.) Series 2006, 5% 4/1/11 | 1,430 | 1,386 | ||
Kansas City School District Bldg. Corp. Rev. (School District Elementary School Proj.) Series 2003 B, 5% 2/1/11 (FGIC Insured) | 1,850 | 1,884 | ||
Lees Summit Indl. Dev. Auth. Sr. Living Facilities Rev. (John Knox Village Proj.) Series 2007 A, 5% 8/15/11 | 1,485 | 1,397 | ||
Saint Louis Arpt. Rev. Series 2003 A, 5.25% 7/1/11 (FSA Insured) | 1,000 | 1,036 | ||
Saint Louis County Indl. Dev. Auth. Sr. Living Facilities Rev. (Friendship Village West County Proj.) Series 2007 A, 5% 9/1/11 | 1,000 | 943 | ||
Saint Louis Muni. Fin. Corp. Leasehold Rev. (Callahan Courthouse Proj.) Series 2002 A, 5.75% 2/15/14 (Pre-Refunded to 2/15/12 @ 100) (f) | 1,050 | 1,171 | ||
| 14,527 | |||
Montana - 0.3% | ||||
Forsyth Poll. Cont. Rev. (Portland Gen. Elec. Co. Proj.) Series 1998 A, 5.2%, tender 5/1/09 (b) | 5,675 | 5,637 | ||
Nebraska - 0.5% | ||||
Central Plains Energy Proj. Rev. (Nebraska Gas Proj.) Series 2007 A, 5% 12/1/11 | 6,500 | 6,036 | ||
Nebraska Pub. Pwr. District Rev. Series B, 5% 1/1/12 (FSA Insured) | 3,500 | 3,757 | ||
| 9,793 | |||
Nevada - 3.8% | ||||
Clark County Arpt. Rev.: | ||||
Series 2003 C: | ||||
5% 7/1/09 (AMBAC Insured) (e) | 2,700 | 2,723 | ||
5% 7/1/10 (AMBAC Insured) (e) | 1,225 | 1,242 | ||
5% 7/1/11 (AMBAC Insured) (e) | 1,790 | 1,790 | ||
Series 2008 E: | ||||
5% 7/1/14 | 2,905 | 3,045 | ||
5% 7/1/15 | 3,500 | 3,672 | ||
Clark County Fuel Tax Series 2008, 5% 6/1/13 | 5,815 | 6,296 | ||
Clark County Hwy. Impt. Rev. (Motor Vehicle Fuel Tax) Series 2003, 5% 7/1/11 (AMBAC Insured) | 3,230 | 3,450 | ||
Clark County School District: | ||||
(Bldg. Proj.) Series 2008 A, 5% 6/15/12 | 10,000 | 10,693 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Nevada - continued | ||||
Clark County School District: - continued | ||||
Series 1998, 5.5% 6/15/13 (FSA Insured) | $ 5,000 | $ 5,503 | ||
Series 2000 A, 5.75% 6/15/17 (Pre-Refunded to 6/15/10 @ 100) (f) | 1,600 | 1,704 | ||
Series 2001 F, 5.375% 6/15/11 (FSA Insured) | 4,090 | 4,352 | ||
Series 2002 C, 5% 6/15/10 (MBIA Insured) | 1,075 | 1,122 | ||
Series 2005 A, 5% 6/15/16 (FGIC Insured) | 21,215 | 22,786 | ||
Lyon Co. School District Gen. Oblig. Series 2006, 5% 6/1/09 | 695 | 707 | ||
Nevada Gen. Oblig. Series 2002 A, 5% 4/1/11 (FSA Insured) | 4,015 | 4,253 | ||
Washoe County School District Gen. Oblig. Series 2004 B, 5% 6/1/10 (MBIA Insured) | 2,410 | 2,506 | ||
| 75,844 | |||
New Hampshire - 0.2% | ||||
New Hampshire Bus. Fin. Auth. Poll. Cont. Rev.: | ||||
(United Illumination Co.) Series A, 3.65%, tender 2/1/10 (AMBAC Insured) (b)(e) | 2,500 | 2,538 | ||
3.5%, tender 2/1/09 (b)(e) | 2,000 | 1,999 | ||
| 4,537 | |||
New Jersey - 5.0% | ||||
Camden County Impt. Auth. Health Care Redev. Rev. (Cooper Health Sys. Obligated Group Proj.) Series 2005 B, 5.25% 2/15/09 | 1,250 | 1,246 | ||
Garden State Preservation Trust Open Space & Farmland Preservation Series B, 6.375% 11/1/11 (MBIA Insured) | 7,470 | 8,294 | ||
New Jersey Econ. Dev. Auth. School Facilities Construction Rev.: | ||||
Series 2008 J4, 5%, tender 9/1/14 (FSA Insured) (b) | 7,000 | 7,538 | ||
Series 2008 W, 5% 3/1/15 | 10,000 | 10,686 | ||
New Jersey Gen. Oblig. Series H, 5.25% 7/1/12 (FGIC Insured) | 5,000 | 5,477 | ||
New Jersey Tpk. Auth. Tpk. Rev. Series 2000 A, 6% 1/1/11 (MBIA Insured) | 21,785 | 23,062 | ||
New Jersey Trans. Trust Fund Auth.: | ||||
Series B: | ||||
5.25% 12/15/10 (FGIC Insured) | 4,550 | 4,769 | ||
6.5% 6/15/11 (MBIA Insured) | 5,000 | 5,441 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
New Jersey - continued | ||||
New Jersey Trans. Trust Fund Auth.: - continued | ||||
Series C, 5.5% 12/15/10 (FSA Insured) | $ 25,000 | $ 26,276 | ||
New Jersey Transit Corp. Ctfs. of Prtn. Series A, 6% 9/15/13 (Pre-Refunded to 9/15/09 @ 100) (f) | 7,000 | 7,236 | ||
| 100,025 | |||
New Jersey/Pennsylvania - 0.3% | ||||
Delaware River Joint Toll Bridge Commission Pennsylvania-New Jersey Bridge Rev. Series 2003, 5% 7/1/09 | 5,170 | 5,256 | ||
New Mexico - 0.2% | ||||
Albuquerque Joint Wtr. & Swr. Sys. Rev. Series 1999 A, 5.25% 7/1/11 | 1,135 | 1,219 | ||
Farmington Poll. Cont. Rev. Series B, 3.55%, tender 4/1/10 (FGIC Insured) (b) | 1,900 | 1,898 | ||
| 3,117 | |||
New York - 16.5% | ||||
Albany Indl. Dev. Agcy. Civic Facility Rev. (St. Peters Hosp. Proj.) Series 2008 A, 5.5% 11/15/12 | 1,000 | 935 | ||
Grand Central District Mgmt. Assoc., Inc. Series 2004: | ||||
5% 1/1/10 | 1,200 | 1,243 | ||
5% 1/1/12 | 1,175 | 1,252 | ||
Long Island Pwr. Auth. Elec. Sys. Rev. Series 2006 F, 5% 5/1/11 (MBIA Insured) | 10,000 | 10,329 | ||
New York City Gen. Oblig.: | ||||
Series 1996 B, 6.5% 8/15/09 | 3,425 | 3,522 | ||
Series 1997 H, 6% 8/1/12 (FGIC Insured) | 1,000 | 1,094 | ||
Series 2000 A, 6.5% 5/15/11 | 155 | 164 | ||
Series 2001 G, 5.25% 8/1/14 (AMBAC Insured) | 1,000 | 1,040 | ||
Series 2002 A1, 5.25% 11/1/14 | 600 | 630 | ||
Series 2002 B, 5.75% 8/1/14 | 1,000 | 1,072 | ||
Series 2003 F, 5.5% 12/15/11 | 7,485 | 7,999 | ||
Series 2005 C, 5% 8/1/12 | 19,770 | 20,975 | ||
Series 2005 D, 5% 8/1/12 | 4,925 | 5,225 | ||
Series 2005 F1, 5% 9/1/15 | 3,560 | 3,805 | ||
Series 2005 G, 5.625% 8/1/13 (MBIA Insured) | 5,075 | 5,437 | ||
Series 2005 K: | ||||
5% 8/1/11 | 3,965 | 4,164 | ||
5% 8/1/12 | 4,360 | 4,626 | ||
Series 2005 O, 5% 6/1/12 | 7,525 | 7,973 | ||
Series 2008 E, 5% 8/1/12 | 5,000 | 5,305 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
New York - continued | ||||
New York City Muni. Wtr. Fin. Auth. Wtr. & Swr. Sys. Rev. 6% 6/15/33 (MBIA Insured) (Pre-Refunded to 6/15/10 @ 101) (f) | $ 10,000 | $ 10,605 | ||
New York City Transitional Fin. Auth. Rev.: | ||||
Series 2003 A: | ||||
5.5% 11/1/26 (a) | 3,500 | 3,668 | ||
6% 11/1/28 (a) | 44,300 | 47,013 | ||
Series 2003 B, 5.25% 2/1/29 (a) | 3,100 | 3,202 | ||
Series B, 5% 11/1/11 | 12,905 | 13,763 | ||
New York Dorm. Auth. Revs.: | ||||
(City Univ. Sys. Consolidation Proj.): | ||||
Series A: | ||||
5.75% 7/1/13 | 3,500 | 3,730 | ||
5.75% 7/1/13 (AMBAC Insured) | 1,000 | 1,066 | ||
Series C, 7.5% 7/1/10 | 8,560 | 8,962 | ||
(Mental Health Svcs. Facilities Proj.) Series 2008 D: | ||||
5% 2/15/14 | 7,295 | 7,739 | ||
5% 8/15/14 | 7,755 | 8,269 | ||
Series 2002 B, 5.25%, tender 5/15/12 (b) | 13,000 | 13,155 | ||
Series 2008 B, 5% 7/1/15 | 30,000 | 31,946 | ||
New York Local Govt. Assistance Corp. Series 2007 A, 5% 4/1/11 | 20,000 | 21,219 | ||
New York Metropolitan Trans. Auth. Rev.: | ||||
Series 2005 C: | ||||
5% 11/15/10 | 1,485 | 1,532 | ||
5% 11/15/11 | 2,750 | 2,866 | ||
Series 2008 B2, 5%, tender 11/15/12 (b) | 7,300 | 7,451 | ||
New York Thruway Auth. Second Gen. Hwy. & Bridge Trust Fund Series 2008 A, 5% 4/1/13 | 2,600 | 2,786 | ||
New York Thruway Auth. Svc. Contract Rev. Series 2002, 5.5% 4/1/11 | 10,000 | 10,561 | ||
New York Urban Dev. Corp. Rev. Series 2005 A, 5% 1/1/12 | 5,015 | 5,247 | ||
Niagara County Indl. Dev. Agcy. Solid Waste Disp. Rev. Series 2001 C, 5.625%, tender 11/15/14 (b)(e) | 2,450 | 2,028 | ||
Tobacco Settlement Asset Securitization Corp. Series 1, 5.5% 7/15/24 (Pre-Refunded to 7/15/12 @ 100) (f) | 6,295 | 6,831 | ||
Tobacco Settlement Fing. Corp.: | ||||
Series 2003 A1: | ||||
5.5% 6/1/14 | 3,965 | 3,983 | ||
5.5% 6/1/17 | 6,000 | 6,063 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
New York - continued | ||||
Tobacco Settlement Fing. Corp.: - continued | ||||
Series 2003 B1C: | ||||
5.5% 6/1/15 | $ 1,300 | $ 1,317 | ||
5.5% 6/1/17 | 4,200 | 4,244 | ||
Series 2004 B1, 5% 6/1/09 | 3,800 | 3,840 | ||
Series A1: | ||||
5% 6/1/10 | 1,325 | 1,353 | ||
5.25% 6/1/13 | 7,780 | 7,784 | ||
| 329,013 | |||
New York & New Jersey - 0.3% | ||||
Port Auth. of New York & New Jersey 124th Series, 5% 8/1/13 (FGIC Insured) (e) | 1,200 | 1,209 | ||
Port Auth. of New York & New Jersey Spl. Oblig. Rev. (JFK Int'l. Air Term. Spl. Proj.) Series 6, 6.25% 12/1/13 (MBIA Insured) (e) | 4,100 | 4,157 | ||
| 5,366 | |||
North Carolina - 0.8% | ||||
Charlotte-Mecklenburg Hosp. Auth. Health Care Sys. Rev. Series 2007 A: | ||||
5% 1/15/10 | 250 | 258 | ||
5% 1/15/11 | 750 | 767 | ||
5% 1/15/12 | 400 | 412 | ||
Nash Health Care Sys. Health Care Facilities Rev. Series 2003: | ||||
5% 11/1/13 (FSA Insured) | 1,500 | 1,611 | ||
5% 11/1/15 (FSA Insured) | 1,600 | 1,706 | ||
North Carolina Eastern Muni. Pwr. Agcy. Pwr. Sys. Rev.: | ||||
Series 2003 A, 5.5% 1/1/10 | 3,000 | 3,029 | ||
Series 2003 D, 5.375% 1/1/10 | 3,730 | 3,761 | ||
North Carolina Grant Anticipation Rev. Series 2007, 5% 3/1/11 | 5,000 | 5,302 | ||
| 16,846 | |||
North Dakota - 0.2% | ||||
Grand Forks Health Care Sys. Rev. (Altru Health Sys. Proj.) Series 2005: | ||||
5% 12/1/11 (Assured Guaranty Corp. Insured) | 1,575 | 1,616 | ||
5% 12/1/15 (Assured Guaranty Corp. Insured) | 1,825 | 1,816 | ||
Ward County Health Care Facility Rev. Series 2006, 5% 7/1/10 | 1,595 | 1,537 | ||
| 4,969 | |||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Ohio - 2.3% | ||||
Akron Bath Copley Hosp. District Rev. (Akron Gen. Health Systems Proj.) Series 2006 A, 5% 1/1/11 | $ 1,000 | $ 1,007 | ||
American Muni. Pwr. Electricity Purchase Rev. Series A, 5% 2/1/11 | 9,400 | 8,908 | ||
Cleveland Pub. Pwr. Sys. Rev. Series 1994 A: | ||||
0% 11/15/09 (Escrowed to Maturity) (f) | 1,050 | 1,039 | ||
0% 11/15/09 (MBIA Insured) | 1,200 | 1,177 | ||
Montgomery County Rev. (Catholic Health Initiatives Proj.) Series 2008 C2, 4.1%, tender 11/10/11 (b) | 2,700 | 2,678 | ||
Ohio Air Quality Dev. Auth. Rev.: | ||||
(FirstEnergy Nuclear Generation Corp. Proj.) Series 2008 C, 7.25%, tender 11/1/12 (b)(e) | 9,000 | 9,008 | ||
Series 2008 A, 7.125%, tender 6/1/10 (b)(e) | 7,500 | 7,500 | ||
Ohio Gen. Oblig. (Higher Ed. Proj.) Series 2005 C, 5% 8/1/13 | 4,495 | 4,963 | ||
Ohio Higher Edl. Facility Commission Rev. (Cleveland Clinic Foundation Proj.) Series 2008 A, 5% 1/1/15 | 2,000 | 2,029 | ||
Ross County Hosp. Facilities Rev. (Adena Health Sys. Proj.) Series 2008: | ||||
5% 12/1/12 | 1,950 | 1,954 | ||
5% 12/1/13 | 875 | 872 | ||
5% 12/1/14 | 2,275 | 2,231 | ||
Univ. of Cincinnati Gen. Receipts Series A, 5.5% 6/1/09 (FGIC Insured) | 2,000 | 2,029 | ||
| 45,395 | |||
Oklahoma - 0.7% | ||||
Cherokee County Econ. Dev. Auth. Series A, 0% 11/1/11 (Escrowed to Maturity) (f) | 1,000 | 930 | ||
Grand River Dam Auth. Rev. Series 1995, 6.25% 6/1/11 (AMBAC Insured) | 8,940 | 9,641 | ||
Norman Reg'l. Hosp. Auth. Hosp. Rev. Series 2007, 5% 9/1/12 (Radian Asset Assurance, Inc. Insured) | 1,035 | 1,006 | ||
Oklahoma Dev. Fin. Auth. Health Sys. Rev. (Integris Baptist Med. Ctr. Proj.) Series 2008 B, 5% 8/15/14 | 1,660 | 1,683 | ||
Oklahoma Dev. Fin. Auth. Rev. (Saint John Health Sys. Proj.) Series 2007, 5% 2/15/13 | 430 | 443 | ||
| 13,703 | |||
Oregon - 0.4% | ||||
Beaverton Wtr. Rev. Series 2004 B, 5% 6/1/10 (FSA Insured) | 1,210 | 1,254 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Oregon - continued | ||||
Oregon Dept. Administrative Svcs. Ctfs. of Prtn. Series 2004 B: | ||||
5% 5/1/09 (FSA Insured) | $ 600 | $ 607 | ||
5% 5/1/11 (FSA Insured) | 1,000 | 1,050 | ||
Tri-County Metropolitan Trans. District Rev. Series 2006, 5% 5/1/11 (MBIA Insured) | 5,000 | 5,287 | ||
| 8,198 | |||
Pennsylvania - 3.5% | ||||
Allegheny County Arpt. Rev. (Pittsburgh Int'l. Arpt. Proj.) Series A1, 5.75% 1/1/12 (MBIA Insured) (e) | 1,300 | 1,309 | ||
Allegheny County Hosp. Dev. Auth. Rev. (Pittsburgh Med. Ctr. Proj.): | ||||
Series 2008 A, 5% 9/1/12 | 6,615 | 6,754 | ||
Series 2008 B, 5% 6/15/14 | 1,385 | 1,403 | ||
Allegheny County Sanitation Auth. Swr. Rev. Series 2000, 6% 12/1/11 (MBIA Insured) | 1,495 | 1,586 | ||
Delaware County Auth. Hosp. Rev. (Crozer Keystone Oblig. Group Proj.) Series B: | ||||
5% 12/15/09 | 2,565 | 2,502 | ||
5% 12/15/11 | 2,835 | 2,611 | ||
Luzerne County Indl. Dev. Auth. Wtr. Facilities Rev. | 10,000 | 9,965 | ||
Pennsylvania Econ. Dev. Fing. Auth. Exempt Facilities Rev. (Shippingport Proj.) Series 2002 A, 4.35%, tender 6/1/10 (b)(e) | 2,100 | 2,100 | ||
Pennsylvania Indl. Dev. Auth. Rev. Series 2002, 5.25% 7/1/10 (AMBAC Insured) | 2,750 | 2,848 | ||
Philadelphia Gen. Oblig.: | ||||
Series 2007 A: | ||||
5% 8/1/11 (FSA Insured) | 3,570 | 3,708 | ||
5% 8/1/12 (FSA Insured) | 5,000 | 5,229 | ||
Series 2008 A: | ||||
5% 12/15/14 (FSA Insured) | 5,370 | 5,790 | ||
5% 12/15/15 (FSA Insured) | 5,000 | 5,379 | ||
5% 12/15/16 (FSA Insured) | 7,275 | 7,796 | ||
Philadelphia Muni. Auth. Rev. Series B, 5.25% 11/15/11 (FSA Insured) | 3,400 | 3,533 | ||
Philadelphia School District: | ||||
Series 2005 D, 5.25% 6/1/12 (FSA Insured) | 1,465 | 1,534 | ||
Series B, 5% 4/1/11 (AMBAC Insured) | 2,160 | 2,227 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Pennsylvania - continued | ||||
Pittsburgh School District Series A, 5% 9/1/09 (MBIA Insured) | $ 1,600 | $ 1,633 | ||
Westmoreland County Muni. Auth. Muni. Svc. Rev. Series K, 0% 7/1/12 (Escrowed to Maturity) (f) | 2,355 | 2,140 | ||
| 70,047 | |||
Puerto Rico - 1.0% | ||||
Puerto Rico Convention Ctr. District Auth. Hotel Occupancy Tax Rev. Series 2006 A, 5% 7/1/10 | 2,000 | 1,966 | ||
Puerto Rico Govt. Dev. Bank: | ||||
Series 2006 B, 5% 12/1/12 | 1,000 | 959 | ||
Series B, 5% 12/1/10 | 8,000 | 7,830 | ||
Univ. of Puerto Rico: | ||||
Series P, 5% 6/1/11 | 5,760 | 5,613 | ||
Series Q, 5% 6/1/11 | 4,825 | 4,702 | ||
| 21,070 | |||
Rhode Island - 0.1% | ||||
Providence Spl. Oblig. Series 2005 E: | ||||
5% 6/1/09 (Radian Asset Assurance, Inc. Insured) | 1,315 | 1,326 | ||
5% 6/1/10 (Radian Asset Assurance, Inc. Insured) | 1,180 | 1,170 | ||
| 2,496 | |||
South Carolina - 0.5% | ||||
Greenville County Pub. Facilities Corp. Ctfs. of Prtn. (Courthouse and Detention Proj.) Series 2005, 5% 4/1/10 (AMBAC Insured) | 1,450 | 1,512 | ||
Greenville County School District Installment Purp. Rev. 5% 12/1/10 | 1,455 | 1,527 | ||
Lexington One School Facilities Corp. Rev. (Lexington County School District No. 1 Proj.) Series 2006, 5% 12/1/09 | 550 | 567 | ||
South Carolina Pub. Svc. Auth. Rev.: | ||||
Series 2005 B, 5% 1/1/10 (MBIA Insured) | 3,000 | 3,114 | ||
Series A, 5.5% 1/1/11 (MBIA Insured) | 3,000 | 3,119 | ||
Spartanburg County School District #5 Pub. Facilities Corp. Ctfs. of Prtn. Series 2004, 5% 7/1/09 (FSA Insured) | 1,000 | 1,016 | ||
| 10,855 | |||
Tennessee - 0.7% | ||||
Clarksville Natural Gas Acquisition Corp. Gas Rev. Series 2006, 5% 12/15/09 | 7,185 | 7,054 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Tennessee - continued | ||||
Elizabethton Health & Edl. Facilities Board Rev. (First Mtg. Prog.) Series 2000 B, 6% 7/1/11 (Escrowed to Maturity) (f) | $ 2,005 | $ 2,100 | ||
Jackson Hosp. Rev. (Jackson-Madison County Gen. Hosp. Proj.) Series 2008, 5% 4/1/13 | 1,000 | 1,012 | ||
Maury County Gen. Oblig. Series 2004 B, 5% 4/1/10 (MBIA Insured) | 2,000 | 2,069 | ||
Memphis-Shelby County Arpt. Auth. Arpt. Rev. Series 2003 A, 4.5% 9/1/09 (MBIA Insured) | 1,685 | 1,706 | ||
| 13,941 | |||
Texas - 10.5% | ||||
Alief Independent School District Series 2004 B, 5% 2/15/10 | 1,500 | 1,563 | ||
Austin Cmnty. College District Pub. Facilities Lease Rev. (Round Rock Campus Proj.) Series 2008, 5.25% 8/1/15 | 2,585 | 2,858 | ||
Austin Convention Enterprises, Inc. (Convention Ctr. Proj.): | ||||
Series 2006 A, 6% 1/1/14 | 1,420 | 1,178 | ||
Series 2006 B: | ||||
6% 1/1/12 | 500 | 447 | ||
6% 1/1/13 | 1,270 | 1,094 | ||
Austin Elec. Util. Sys. Rev. Series 2007: | ||||
5% 11/15/10 (FSA Insured) | 3,000 | 3,127 | ||
5% 11/15/11 (FSA Insured) | 4,000 | 4,288 | ||
Austin Util. Sys. Rev. Series 1992 A: | ||||
0% 11/15/09 (MBIA Insured) | 5,130 | 5,036 | ||
0% 11/15/10 (MBIA Insured) | 5,300 | 5,060 | ||
Bexar County Gen. Oblig. Series 2004 A, 5% 6/15/10 (FSA Insured) | 1,000 | 1,047 | ||
Birdville Independent School District: | ||||
Series 2003, 5% 2/15/10 | 1,300 | 1,354 | ||
0% 2/15/11 | 5,000 | 4,754 | ||
Brownsville Independent School District Series 2005, 5% 8/15/11 | 1,430 | 1,532 | ||
Brownsville Util. Sys. Rev. Series 2008 A, 5% 9/1/15 (FSA Insured) | 2,665 | 2,982 | ||
Bryan Wtrwks. & Swr. Sys. Rev. Series 2001, 5.5% 7/1/11 (FSA Insured) | 1,500 | 1,622 | ||
College Station Independent School District Series 2004, 5% 2/15/10 | 1,000 | 1,042 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Texas - continued | ||||
Denton County Gen. Oblig. Series 2005 A, 5% 7/15/11 (FSA Insured) | $ 3,065 | $ 3,275 | ||
Fort Bend Independent School District Series 2005, 5%, tender 8/15/09 (b) | 5,000 | 5,083 | ||
Fort Worth Independent School District Series 2005, 5% 2/15/12 | 1,500 | 1,624 | ||
Frisco Gen. Oblig. Series 2003 A, 5% 2/15/10 (FSA Insured) | 1,710 | 1,777 | ||
Harris County Gen. Oblig. (Road Proj.) Series 2008 B: | ||||
5% 8/15/13 | 1,000 | 1,100 | ||
5% 8/15/14 | 1,075 | 1,188 | ||
Harris County Health Facilities Dev. Corp. Rev. (Saint Luke's Episcopal Hosp. Proj.) Series 2001 A, 5.5% 2/15/09 | 3,710 | 3,727 | ||
Houston Cmnty. College Sys. Rev. Series 2005: | ||||
5.25% 4/15/11 (FSA Insured) | 3,030 | 3,242 | ||
5.25% 4/15/12 (FSA Insured) | 2,000 | 2,186 | ||
Houston Gen. Oblig.: | ||||
Series 2007 B, 5% 3/1/12 (MBIA Insured) | 3,575 | 3,842 | ||
Series A, 5% 3/1/13 (MBIA Insured) | 7,500 | 8,161 | ||
Houston Util. Sys. Rev.: | ||||
Series 2004 A, 5.25% 5/15/10 (MBIA Insured) | 2,835 | 2,943 | ||
Series 2005 A, 5.25% 11/15/11 (FSA Insured) | 4,430 | 4,805 | ||
Series 2005 C1, 5%, tender 5/15/11 (AMBAC Insured) (b) | 5,100 | 5,326 | ||
Katy Independent School District Series A, 5.25% 2/15/12 | 2,000 | 2,180 | ||
Lubbock Gen. Oblig.: | ||||
(Wtrwks. Sys. Surplus Proj.) Series 2005, 5% 2/15/11 (FSA Insured) | 2,465 | 2,613 | ||
Series 2004, 5% 2/15/10 (MBIA Insured) | 1,845 | 1,915 | ||
Magnolia Independent School District Series 2005, 8% 8/15/11 (FGIC Insured) | 1,210 | 1,368 | ||
Montgomery County Gen. Oblig. Series 2006 B, 5%, tender 9/1/10 (FSA Insured) (b) | 1,750 | 1,827 | ||
North Texas Tollway Auth. Rev. Series 2008 H2, 5%, tender 1/1/13 (b) | 5,000 | 4,982 | ||
Northside Independent School District Series 2007 A, 3.78%, tender 6/1/09 (b) | 5,000 | 5,043 | ||
Sabine River Auth. Poll. Cont. Rev. (Texas Utils. Elec. Co. Proj.) Series A, 5.5%, tender 11/1/11 (b) | 1,000 | 820 | ||
San Angelo Wtrwks. & Swr. Sys. Impt. and Rfdg. Rev. Series 2001, 5% 4/1/10 (FSA Insured) | 1,630 | 1,680 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Texas - continued | ||||
San Antonio Elec. & Gas Sys. Rev.: | ||||
Series 2000 A, 5.75% 2/1/15 (Pre-Refunded to 2/1/10 @ 100) (f) | $ 5,000 | $ 5,223 | ||
Series B: | ||||
0% 2/1/09 (Escrowed to Maturity) (f) | 2,500 | 2,498 | ||
0% 2/1/10 (Escrowed to Maturity) (f) | 14,000 | 13,759 | ||
San Antonio Muni. Drainage Util. Sys. Rev. Series 2005, 5.25% 2/1/12 (MBIA Insured) | 1,545 | 1,677 | ||
San Antonio Wtr. Sys. Rev.: | ||||
Series 2004, 5% 5/15/10 (FGIC Insured) | 1,020 | 1,063 | ||
Series 2007, 5% 5/15/12 (FGIC Insured) | 7,000 | 7,534 | ||
Spring Branch Independent School District Series 2001: | ||||
5.375% 2/1/14 | 1,090 | 1,145 | ||
5.375% 2/1/14 (Pre-Refunded to 2/1/11 @ 100) (f) | 1,700 | 1,830 | ||
Tarrant County Cultural Ed. Facilities Fin. Corp. Retirement Facility Rev. (Buckner Retirement Svcs. Proj.) Series 2007, 5% 11/15/09 | 1,000 | 1,022 | ||
Tarrant County Cultural Ed. Facilities Fin. Corp. Rev. (Christus Health Proj.) Series 2008 A, 5.75% 7/1/18 (Assured Guaranty Corp. Insured) | 5,000 | 5,073 | ||
Tarrant County Health Facilities Dev. Corp. Hosp. Rev. (Cook Children's Med. Ctr. Proj.) Series 2000 B, ARS 0.125%, tender 1/2/09 (FSA Insured) (b) | 575 | 518 | ||
Texas Gen. Oblig.: | ||||
(College Student Ln. Prog.) Series 1997, 5% 8/1/11 (e) | 3,000 | 3,093 | ||
Series C, 0% 4/1/09 (Escrowed to Maturity) (f) | 2,320 | 2,313 | ||
0% 10/1/13 | 6,500 | 5,603 | ||
Texas Pub. Fin. Auth. Bldg. Rev. Series 2007, 5% 2/1/11 (AMBAC Insured) | 1,550 | 1,639 | ||
Texas Pub. Fin. Auth. Rev. (Bldg. and Procurement Commission Proj.) Series 2004 A, 5% 2/1/10 (AMBAC Insured) | 1,055 | 1,095 | ||
Texas Tech Univ. Revs. Ninth Series, 5% 2/15/11 (AMBAC Insured) | 1,250 | 1,323 | ||
Texas Trans. Commission State Hwy. Fund Rev. Series 2007, 5% 4/1/12 | 4,000 | 4,339 | ||
Texas Wtr. Dev. Board Rev. Series 2007 B, 5% 7/15/11 | 2,780 | 2,974 | ||
Titus County Fresh Wtr. Supply District #1 Poll. Cont. Rev. (Southwestern Elec. Pwr. Co. Proj.) Series 2008, 4.5% 7/1/11 | 3,000 | 2,943 | ||
Travis County Gen. Oblig. 5.25% 3/1/12 | 4,125 | 4,499 | ||
Trinity River Auth. Reg'l. Wastewtr. Sys. Rev. Series 2008, 5% 8/1/13 | 6,135 | 6,718 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Texas - continued | ||||
Univ. of Texas Board of Regents Sys. Rev. Series 2003 B, 5% 8/15/33 (Pre-Refunded to 8/15/13 @ 100) (f) | $ 15,000 | $ 16,733 | ||
Wichita Falls Independent School District Series 1994, 0% 2/1/10 | 2,325 | 2,283 | ||
Ysleta Independent School District Series 1993, 0% 8/15/09 | 4,065 | 4,031 | ||
| 210,619 | |||
Utah - 0.6% | ||||
Salt Lake County Wtr. Conservancy District Rev. Series A: | ||||
0% 10/1/11 (AMBAC Insured) | 3,800 | 3,520 | ||
0% 10/1/12 (AMBAC Insured) | 3,800 | 3,387 | ||
0% 10/1/13 (AMBAC Insured) | 3,760 | 3,211 | ||
Utah Bldg. Ownership Auth. Lease Rev. (State Facilities Master Lease Prog.) Series A, 5% 5/15/11 | 1,700 | 1,812 | ||
| 11,930 | |||
Vermont - 0.2% | ||||
Vermont Edl. & Health Bldg. Fin. Agcy. Rev. (Fletcher Allen Health Care Proj.) Series 2004 B: | ||||
4% 12/1/09 (FSA Insured) | 1,000 | 1,009 | ||
5% 12/1/15 (FSA Insured) | 2,225 | 2,331 | ||
| 3,340 | |||
Virginia - 0.5% | ||||
Chesapeake Econ. Dev. Auth. Poll. Cont. Rev. (Elec. & Pwr. Co. Proj.) Series 2008 A, 3.6%, tender 2/1/13 (b) | 1,800 | 1,693 | ||
Louisa Indl. Dev. Auth. Poll. Cont. Rev. (Virginia Elec. & Pwr. Co. Proj.) Series 2008 B, 5.375%, tender 12/2/13 (b) | 8,000 | 8,046 | ||
| 9,739 | |||
Washington - 1.0% | ||||
Chelan County Pub. Util. District #1 Rev. Series 2004 B, 5% 7/1/11 (FGIC Insured) | 1,190 | 1,270 | ||
Clark County Pub. Util. District #1 Elec. Rev.: | ||||
5% 1/1/11 (MBIA Insured) | 1,680 | 1,773 | ||
5.25% 1/1/11 (FSA Insured) | 1,935 | 2,048 | ||
King County School District #401 Highline Pub. Schools Series 2002, 5.5% 12/1/17 | 5,100 | 5,433 | ||
King County School District #409, Tahoma 5% 6/1/11 (FSA Insured) | 1,740 | 1,858 | ||
Municipal Bonds - continued | ||||
| Principal Amount (000s) | Value (000s) | ||
Washington - continued | ||||
Port of Seattle Rev. Series 2001 D, 5.75% 11/1/15 (FGIC Insured) (e) | $ 3,640 | $ 3,664 | ||
Snohomish County Pub. Hosp. District #2 (Stevens Health Care Proj.) 4.5% 12/1/09 (FGIC Insured) | 1,000 | 1,022 | ||
Snohomish County School District #2, Everett Series 2004, 5% 6/1/10 (FSA Insured) | 1,000 | 1,041 | ||
Vancouver Wtr. & Swr. Rev. 5.25% 6/1/11 (FSA Insured) | 1,000 | 1,073 | ||
Washington Gen. Oblig. Series A, 5% 7/1/11 (FGIC Insured) | 1,000 | 1,066 | ||
| 20,248 | |||
West Virginia - 0.3% | ||||
West Virginia Econ. Developement Auth. Solid Waste Disp. Facilities Rev. (Appalachian Pwr. Co. Proj.) Series 2008 E, 7.125%, tender 6/1/10 (b)(e) | 7,000 | 6,999 | ||
Wisconsin - 0.6% | ||||
Milwaukee County Gen. Oblig. Series A, 0% 12/1/10 (FGIC Insured) | 3,370 | 3,200 | ||
Wisconsin Gen. Oblig. Series 1, 5% 5/1/10 (MBIA Insured) | 2,500 | 2,597 | ||
Wisconsin Health & Edl. Facilities Auth. Rev.: | ||||
(Marshfield Clinic Proj.): | ||||
Series 2001 B, 6.25% 2/15/10 | 1,015 | 996 | ||
Series 2006 A, 5% 2/15/13 | 875 | 771 | ||
(Wheaton Franciscan Healthcare Sys. Proj.): | ||||
Series 2002, 5.75% 8/15/11 | 1,000 | 941 | ||
Series 2003 A, 5% 8/15/10 | 1,870 | 1,759 | ||
Series 2006 A, 5% 8/15/11 | 1,315 | 1,215 | ||
| 11,479 | |||
TOTAL MUNICIPAL BONDS (Cost $1,854,089) | 1,863,940 |
Money Market Funds - 0.0% | |||
Shares | Value (000s) | ||
Fidelity Municipal Cash Central Fund, 1.27% (c)(d) | 900 | $ 1 | |
TOTAL INVESTMENT PORTFOLIO - 93.3% (Cost $1,854,090) | 1,863,941 | ||
NET OTHER ASSETS - 6.7% | 134,330 | ||
NET ASSETS - 100% | $ 1,998,271 |
Legend |
(a) Security initially issued at one coupon which converts to a higher coupon at a specified date. The rate shown is the rate at period end. |
(b) The coupon rate shown on floating or adjustable rate securities represents the rate at period end. |
(c) Information in this report regarding holdings by state and security types does not reflect the holdings of the Fidelity Municipal Cash Central Fund. |
(d) Affiliated fund that is available only to investment companies and other accounts managed by Fidelity Investments. The rate quoted is the annualized seven-day yield of the fund at period end. A complete unaudited listing of the fund's holdings as of its most recent quarter end is available upon request. |
(e) Private activity obligations whose interest is subject to the federal alternative minimum tax for individuals. |
(f) Security collateralized by an amount sufficient to pay interest and principal. |
(g) Restricted securities - Investment in securities not registered under the Securities Act of 1933 (excluding 144A issues). At the end of the period, the value of restricted securities (excluding 144A issues) amounted to $8,507,000 or 0.4% of net assets. |
Additional information on each holding is as follows: |
Security | Acquisition Date | Acquisition Cost (000s) |
Univ. of California Revs. (UCLA Med. Ctr. Proj.) 4.55% 12/1/09 (Escrowed to Maturity) | 3/6/02 | $ 8,230 |
Other Information |
The following is a summary of the inputs used, as of December 31, 2008, involving the Fund's assets carried at value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the tables below, please refer to the Security Valuation section in the accompanying Notes to Financial Statements. |
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
Investments in Securities | $ 1,863,941 | $ 1 | $ 1,863,422 | $ 518 |
The following is a reconciliation of assets for which Level 3 inputs were used in determining value: |
(Amounts in thousands) | Investments in Securities |
Beginning Balance | $ - |
Total Realized Gain (Loss) | 1 |
Total Unrealized Gain (Loss) | (45) |
Cost of Purchases | 612 |
Proceeds of Sales | (50) |
Amortization/Accretion | - |
Transfer in/out of Level 3 | - |
Ending Balance | $ 518 |
The information used in the above reconciliation represents fiscal year to date activity for any Investment Securities identified as using Level 3 inputs at either the beginning or the end of the current fiscal period. Transfers in or out of Level 3 represents either the beginning value (for transfers in), or the ending value (for transfers out) of any Security or Instrument where a change in the pricing level occurred from the beginning to the end of the period. |
The distribution of municipal securities by revenue source, as a percentage of total net assets, is as follows: (unaudited) |
General Obligations | 41.2% |
Special Tax | 9.9% |
Escrowed/Pre-Refunded | 9.5% |
Electric Utilities | 9.0% |
Health Care | 7.8% |
Transportation | 6.3% |
Others* (individually less than 5%) | 16.3% |
| 100.0% |
*Includes cash equivalents and net other assets |
Income Tax Information |
At December 31, 2008, the fund had a capital loss carryforward of approximately $2,368,000 of which $921,000 and $1,447,000 will expire on December 31, 2014 and 2015, respectively. |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Statements
Statement of Assets and Liabilities
Amounts in thousands (except per-share amounts) | December 31, 2008 | |
|
|
|
Assets | ||
Investment in securities, at value - See accompanying schedule: Unaffiliated issuers (cost $1,854,089) | $ 1,863,940 |
|
Fidelity Central Funds (cost $1) | 1 |
|
Total Investments (cost $1,854,090) |
| $ 1,863,941 |
Cash | 113,787 | |
Receivable for fund shares sold | 5,046 | |
Interest receivable | 23,221 | |
Prepaid expenses | 19 | |
Other receivables | 34 | |
Total assets | 2,006,048 | |
|
|
|
Liabilities | ||
Payable for fund shares redeemed | $ 4,911 | |
Distributions payable | 1,644 | |
Accrued management fee | 598 | |
Transfer agent fee payable | 450 | |
Distribution fees payable | 31 | |
Other affiliated payables | 87 | |
Other payables and accrued expenses | 56 | |
Total liabilities | 7,777 | |
|
|
|
Net Assets | $ 1,998,271 | |
Net Assets consist of: |
| |
Paid in capital | $ 1,990,869 | |
Distributions in excess of net investment income | (81) | |
Accumulated undistributed net realized gain (loss) on investments | (2,368) | |
Net unrealized appreciation (depreciation) on investments | 9,851 | |
Net Assets | $ 1,998,271 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Statements - continued
Statement of Assets and Liabilities - continued
Amounts in thousands (except per-share amounts) | December 31, 2008 | |
|
|
|
Calculation of Maximum Offering Price Class A: | $ 10.35 | |
|
|
|
Maximum offering price per share (100/97.25 of $10.35) | $ 10.64 | |
Class T: | $ 10.34 | |
|
|
|
Maximum offering price per share (100/97.25 of $10.34) | $ 10.63 | |
Class B: | $ 10.35 | |
|
|
|
Class C: | $ 10.33 | |
|
|
|
Short-Intermediate Municipal Income: | $ 10.34 | |
|
|
|
Institutional Class: | $ 10.34 |
A Redemption price per share is equal to net asset value less any applicable contingent deferred sales charge.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Statement of Operations
Amounts in thousands | Year ended December 31, 2008 | |
|
|
|
Investment Income |
|
|
Interest |
| $ 66,045 |
|
|
|
Expenses | ||
Management fee | $ 6,688 | |
Transfer agent fees | 1,699 | |
Distribution fees | 224 | |
Accounting fees and expenses | 336 | |
Custodian fees and expenses | 27 | |
Independent trustees' compensation | 8 | |
Registration fees | 170 | |
Audit | 53 | |
Legal | 7 | |
Miscellaneous | 11 | |
Total expenses before reductions | 9,223 | |
Expense reductions | (418) | 8,805 |
Net investment income | 57,240 | |
Realized and Unrealized Gain (Loss) Net realized gain (loss) on: | ||
Investment securities: |
|
|
Unaffiliated issuers | 4,354 | |
Swap agreements | 295 |
|
Total net realized gain (loss) |
| 4,649 |
Change in net unrealized appreciation (depreciation) on: Investment securities | (3,088) | |
Swap agreements | (341) | |
Total change in net unrealized appreciation (depreciation) |
| (3,429) |
Net gain (loss) | 1,220 | |
Net increase (decrease) in net assets resulting from operations | $ 58,460 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Statements - continued
Statement of Changes in Net Assets
Amounts in thousands | Year ended | Year ended |
Increase (Decrease) in Net Assets |
|
|
Operations |
|
|
Net investment income | $ 57,240 | $ 50,145 |
Net realized gain (loss) | 4,649 | (928) |
Change in net unrealized appreciation (depreciation) | (3,429) | 20,276 |
Net increase (decrease) in net assets resulting | 58,460 | 69,493 |
Distributions to shareholders from net investment income | (57,229) | (50,136) |
Share transactions - net increase (decrease) | 313,662 | 143,977 |
Redemption fees | 113 | 16 |
Total increase (decrease) in net assets | 315,006 | 163,350 |
|
|
|
Net Assets | ||
Beginning of period | 1,683,265 | 1,519,915 |
End of period (including distributions in excess of net investment income of $81 and distributions in excess of net investment income of $92, respectively) | $ 1,998,271 | $ 1,683,265 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Highlights - Class A
Years ended December 31, | 2008 | 2007 | 2006 | 2005 | 2004 |
Selected Per-Share Data |
|
|
|
|
|
Net asset value, beginning of period | $ 10.33 | $ 10.21 | $ 10.21 | $ 10.39 | $ 10.50 |
Income from Investment Operations C |
|
|
|
|
|
Net investment income | .298 | .302 | .292 | .268 | .250 |
Net realized and unrealized gain (loss) | .021 | .118 | (.001) | (.177) | (.090) |
Total from investment operations | .319 | .420 | .291 | .091 | .160 |
Distributions from net investment income | (.300) | (.300) | (.291) | (.268) | (.251) |
Distributions from net realized gain | - | - | - | (.003) | (.019) |
Total distributions | (.300) | (.300) | (.291) | (.271) | (.270) |
Redemption fees added to paid in capital C | .001 | - G | - G | - G | - G |
Net asset value, end of period | $ 10.35 | $ 10.33 | $ 10.21 | $ 10.21 | $ 10.39 |
Total Return A, B | 3.13% | 4.19% | 2.89% | .89% | 1.55% |
Ratios to Average Net Assets D, F |
|
|
|
|
|
Expenses before reductions | .75% | .71% | .65% | .65% | .65% |
Expenses net of fee waivers, if any | .75% | .71% | .65% | .65% | .65% |
Expenses net of all reductions | .72% | .64% | .56% | .58% | .64% |
Net investment income | 2.90% | 2.95% | 2.86% | 2.61% | 2.41% |
Supplemental Data |
|
|
|
|
|
Net assets, end of period (in millions) | $ 58 | $ 12 | $ 10 | $ 14 | $ 12 |
Portfolio turnover rate E | 20% | 23% | 28% | 27% | 45% |
A Total returns would have been lower had certain expenses not been reduced during the periods shown.
B Total returns do not include the effect of the sales charges.
C Calculated based on average shares outstanding during the period.
D Fees and expenses of the underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds.
E Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
F Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
G Amount represents less than $.001 per share.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Highlights - Class T
Years ended December 31, | 2008 | 2007 | 2006 | 2005 | 2004 |
Selected Per-Share Data |
|
|
|
|
|
Net asset value, beginning of period | $ 10.31 | $ 10.19 | $ 10.20 | $ 10.37 | $ 10.48 |
Income from Investment Operations |
|
|
|
|
|
Net investment income C | .300 | .297 | .281 | .257 | .238 |
Net realized and unrealized gain (loss) | .029 | .120 | (.011) | (.167) | (.089) |
Total from investment operations | .329 | .417 | .270 | .090 | .149 |
Distributions from net investment income | (.300) | (.297) | (.280) | (.257) | (.240) |
Distributions from net realized gain | - | - | - | (.003) | (.019) |
Total distributions | (.300) | (.297) | (.280) | (.260) | (.259) |
Redemption fees added to paid in capital C | .001 | - G | - G | - G | - G |
Net asset value, end of period | $ 10.34 | $ 10.31 | $ 10.19 | $ 10.20 | $ 10.37 |
Total Return A, B | 3.24% | 4.17% | 2.69% | .88% | 1.44% |
Ratios to Average Net Assets D, F |
|
|
|
|
|
Expenses before reductions | .74% | .74% | .75% | .76% | .76% |
Expenses net of fee waivers, if any | .74% | .74% | .75% | .76% | .76% |
Expenses net of all reductions | .72% | .69% | .66% | .69% | .75% |
Net investment income | 2.90% | 2.91% | 2.76% | 2.50% | 2.30% |
Supplemental Data |
|
|
|
|
|
Net assets, end of period (in millions) | $ 15 | $ 10 | $ 13 | $ 15 | $ 20 |
Portfolio turnover rate E | 20% | 23% | 28% | 27% | 45% |
A Total returns would have been lower had certain expenses not been reduced during the periods shown.
B Total returns do not include the effect of the sales charges.
C Calculated based on average shares outstanding during the period.
D Fees and expenses of the underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds.
E Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
F Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
G Amount represents less than $.001 per share.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Highlights - Class B
Years ended December 31, | 2008 | 2007 | 2006 | 2005 | 2004 |
Selected Per-Share Data |
|
|
|
|
|
Net asset value, beginning of period | $ 10.32 | $ 10.20 | $ 10.21 | $ 10.39 | $ 10.49 |
Income from Investment Operations |
|
|
|
|
|
Net investment income C | .230 | .228 | .215 | .190 | .172 |
Net realized and unrealized gain (loss) | .029 | .121 | (.012) | (.177) | (.080) |
Total from investment operations | .259 | .349 | .203 | .013 | .092 |
Distributions from net investment income | (.230) | (.229) | (.213) | (.190) | (.173) |
Distributions from net realized gain | - | - | - | (.003) | (.019) |
Total distributions | (.230) | (.229) | (.213) | (.193) | (.192) |
Redemption fees added to paid in capital C | .001 | - G | - G | - G | - G |
Net asset value, end of period | $ 10.35 | $ 10.32 | $ 10.20 | $ 10.21 | $ 10.39 |
Total Return A, B | 2.54% | 3.47% | 2.02% | .13% | .89% |
Ratios to Average Net Assets D, F |
|
|
|
|
|
Expenses before reductions | 1.43% | 1.41% | 1.41% | 1.41% | 1.40% |
Expenses net of fee waivers, if any | 1.43% | 1.41% | 1.41% | 1.41% | 1.40% |
Expenses net of all reductions | 1.40% | 1.36% | 1.31% | 1.34% | 1.39% |
Net investment income | 2.22% | 2.23% | 2.11% | 1.85% | 1.65% |
Supplemental Data |
|
|
|
|
|
Net assets, end of period (in millions) | $ 2 | $ 1 | $ 2 | $ 3 | $ 4 |
Portfolio turnover rate E | 20% | 23% | 28% | 27% | 45% |
A Total returns would have been lower had certain expenses not been reduced during the periods shown.
B Total returns do not include the effect of the contingent deferred sales charge.
C Calculated based on average shares outstanding during the period.
D Fees and expenses of the underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds.
E Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
F Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
G Amount represents less than $.001 per share.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Highlights - Class C
Years ended December 31, | 2008 | 2007 | 2006 | 2005 | 2004 |
Selected Per-Share Data |
|
|
|
|
|
Net asset value, beginning of period | $ 10.31 | $ 10.19 | $ 10.20 | $ 10.38 | $ 10.48 |
Income from Investment Operations |
|
|
|
|
|
Net investment income C | .220 | .219 | .204 | .178 | .159 |
Net realized and unrealized gain (loss) | .020 | .120 | (.011) | (.176) | (.080) |
Total from investment operations | .240 | .339 | .193 | .002 | .079 |
Distributions from net investment income | (.221) | (.219) | (.203) | (.179) | (.160) |
Distributions from net realized gain | - | - | - | (.003) | (.019) |
Total distributions | (.221) | (.219) | (.203) | (.182) | (.179) |
Redemption fees added to paid in capital C | .001 | - G | - G | - G | - G |
Net asset value, end of period | $ 10.33 | $ 10.31 | $ 10.19 | $ 10.20 | $ 10.38 |
Total Return A, B | 2.35% | 3.37% | 1.92% | .02% | .77% |
Ratios to Average Net Assets D, F |
|
|
|
|
|
Expenses before reductions | 1.50% | 1.51% | 1.51% | 1.52% | 1.52% |
Expenses net of fee waivers, if any | 1.50% | 1.51% | 1.51% | 1.52% | 1.52% |
Expenses net of all reductions | 1.48% | 1.45% | 1.41% | 1.45% | 1.51% |
Net investment income | 2.14% | 2.14% | 2.01% | 1.74% | 1.53% |
Supplemental Data |
|
|
|
|
|
Net assets, end of period (in millions) | $ 20 | $ 6 | $ 7 | $ 10 | $ 11 |
Portfolio turnover rate E | 20% | 23% | 28% | 27% | 45% |
A Total returns would have been lower had certain expenses not been reduced during the periods shown.
B Total returns do not include the effect of the contingent deferred sales charge.
C Calculated based on average shares outstanding during the period.
D Fees and expenses of the underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds.
E Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
F Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
G Amount represents less than $.001 per share.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Highlights - Short-Intermediate Municipal Income
Years ended December 31, | 2008 | 2007 | 2006 | 2005 | 2004 |
Selected Per-Share Data |
|
|
|
|
|
Net asset value, beginning of period | $ 10.31 | $ 10.19 | $ 10.20 | $ 10.38 | $ 10.48 |
Income from Investment Operations |
|
|
|
|
|
Net investment income B | .326 | .323 | .307 | .284 | .268 |
Net realized and unrealized gain (loss) | .029 | .120 | (.010) | (.177) | (.080) |
Total from investment operations | .355 | .443 | .297 | .107 | .188 |
Distributions from net investment income | (.326) | (.323) | (.307) | (.284) | (.269) |
Distributions from net realized gain | - | - | - | (.003) | (.019) |
Total distributions | (.326) | (.323) | (.307) | (.287) | (.288) |
Redemption fees added to paid in capital B | .001 | - F | - F | - F | - F |
Net asset value, end of period | $ 10.34 | $ 10.31 | $ 10.19 | $ 10.20 | $ 10.38 |
Total Return A | 3.50% | 4.43% | 2.95% | 1.06% | 1.82% |
Ratios to Average Net Assets C, E |
|
|
|
|
|
Expenses before reductions | .49% | .49% | .49% | .49% | .49% |
Expenses net of fee waivers, if any | .49% | .49% | .49% | .49% | .48% |
Expenses net of all reductions | .47% | .43% | .41% | .42% | .47% |
Net investment income | 3.15% | 3.17% | 3.01% | 2.77% | 2.57% |
Supplemental Data |
|
|
|
|
|
Net assets, end of period (in millions) | $ 1,870 | $ 1,650 | $ 1,485 | $ 1,665 | $ 1,841 |
Portfolio turnover rate D | 20% | 23% | 28% | 27% | 45% |
A Total returns would have been lower had certain expenses not been reduced during the periods shown.
B Calculated based on average shares outstanding during the period.
C Fees and expenses of the underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds.
D Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
E Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
F Amount represents less than $.001 per share.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Highlights - Institutional Class
Years ended December 31, | 2008 | 2007 | 2006 | 2005 | 2004 |
Selected Per-Share Data |
|
|
|
|
|
Net asset value, beginning of period | $ 10.32 | $ 10.20 | $ 10.20 | $ 10.38 | $ 10.49 |
Income from Investment Operations |
|
|
|
|
|
Net investment income B | .321 | .320 | .306 | .283 | .265 |
Net realized and unrealized gain (loss) | .022 | .120 | - F | (.176) | (.088) |
Total from investment operations | .343 | .440 | .306 | .107 | .177 |
Distributions from net investment income | (.324) | (.320) | (.306) | (.284) | (.268) |
Distributions from net realized gain | - | - | - | (.003) | (.019) |
Total distributions | (.324) | (.320) | (.306) | (.287) | (.287) |
Redemption fees added to paid in capital B | .001 | - F | - F | - F | - F |
Net asset value, end of period | $ 10.34 | $ 10.32 | $ 10.20 | $ 10.20 | $ 10.38 |
Total Return A | 3.38% | 4.39% | 3.05% | 1.05% | 1.71% |
Ratios to Average Net Assets C, E |
|
|
|
|
|
Expenses before reductions | .51% | .52% | .50% | .49% | .49% |
Expenses net of fee waivers, if any | .51% | .52% | .50% | .49% | .49% |
Expenses net of all reductions | .49% | .45% | .41% | .42% | .48% |
Net investment income | 3.13% | 3.14% | 3.01% | 2.77% | 2.57% |
Supplemental Data |
|
|
|
|
|
Net assets, end of period (000 omitted) | $ 32,139 | $ 4,645 | $ 3,357 | $ 2,625 | $ 1,253 |
Portfolio turnover rate D | 20% | 23% | 28% | 27% | 45% |
A Total returns would have been lower had certain expenses not been reduced during the periods shown.
B Calculated based on average shares outstanding during the period.
C Fees and expenses of the underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds.
D Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
E Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
F Amount represents less than $.001 per share.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Notes to Financial Statements
For the period ended December 31, 2008
(Amounts in thousands except ratios)
1. Organization.
Fidelity Short-Intermediate Municipal Income Fund (the Fund) is a fund of Fidelity Municipal Trust (the trust) and is authorized to issue an unlimited number of shares. The trust is registered under the Investment Company Act of 1940, as amended (the 1940 Act), as an open-end management investment company organized as a Massachusetts business trust. The Fund offers Class A, Class T, Class B, Class C, Short-Intermediate Municipal Income and Institutional Class shares, each of which has equal rights as to assets and voting privileges. Each class has exclusive voting rights with respect to matters that affect that class. Class B shares will automatically convert to Class A shares after a holding period of four years from the initial date of purchase. Investment income, realized and unrealized capital gains and losses, the common expenses of the Fund, and certain fund-level expense reductions, if any, are allocated on a pro rata basis to each class based on the relative net assets of each class to the total net assets of the Fund. Each class differs with respect to transfer agent and distribution and service plan fees incurred. Certain expense reductions also differ by class.
2. Investments in Fidelity Central Funds.
The Fund may invest in Fidelity Central Funds, which are open-end investment companies available only to other investment companies and accounts managed by Fidelity Management & Research Company (FMR) and its affiliates. The Fund's Schedule of Investments lists each of the Fidelity Central Funds held as of period end, if any, as an investment of the Fund, but does not include the underlying holdings of each Fidelity Central Fund. As an Investing Fund, the Fund indirectly bears its proportionate share of the expenses of the underlying Fidelity Central Funds.
The Money Market Central Funds seek preservation of capital and current income and are managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of FMR.
A complete unaudited list of holdings for each Fidelity Central Fund is available upon request or at the SEC's web site at www.sec.gov. In addition, the financial statements of the Fidelity Central Funds, which are not covered by the Fund's Report of Independent Registered Public Accounting Firm, are available on the SEC's web site or upon request.
3. Significant Accounting Policies.
The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America, which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. The following summarizes the significant accounting policies of the Fund:
Annual Report
3. Significant Accounting Policies - continued
Security Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. Wherever possible, the Fund uses independent pricing services approved by the Board of Trustees to value its investments.
Debt securities, including restricted securities, are valued by independent pricing services or by dealers who make markets in such securities. Pricing services consider yield or price of bonds of comparable quality, coupon, maturity and type as well as dealer supplied prices. Investments in open-end mutual funds, including the Fidelity Central Funds, are valued at their closing net asset value each business day. Short-term securities with remaining maturities of sixty days or less for which quotations are not readily available are valued at amortized cost, which approximates value. Actual prices received at disposition may differ.
When current market prices or quotations are not readily available or reliable, valuations may be determined in good faith in accordance with procedures adopted by the Board of Trustees. Factors used in determining value may include significant market or security specific events, changes in interest rates and credit quality, and developments in foreign markets which are monitored by evaluating the performance of ADRs, futures contracts and exchange-traded funds. The frequency with which these procedures are used cannot be predicted and may be utilized to a significant extent. The value of securities used for net asset value (NAV) calculation under these procedures may differ from published prices for the same securities.
The Fund is subject to the provisions of Statement of Financial Accounting Standards No. 157, "Fair Value Measurements" (SFAS 157), effective with the beginning of the Fund's fiscal year. SFAS 157 establishes a hierarchy that prioritizes the inputs to valuation techniques giving the highest priority to readily available unadjusted quoted prices in active markets for identical assets (level 1 measurements) and the lowest priority to unobservable inputs (level 3 measurements) when market prices are not readily available or reliable. The three levels of the hierarchy under SFAS 157 are described below:
Level 1 | Quoted prices in active markets for identical securities. |
Level 2 | Prices determined using other significant observable inputs. Observable inputs are inputs that other market participants may use in pricing a security. These may include quoted prices for similar securities, interest rates, prepayment speeds, credit risk and others. |
Level 3 | Prices determined using significant unobservable inputs. In situations where quoted prices or observable inputs are unavailable or deemed less relevant (for example, when there is little or no market activity for an investment at the end of the period), unobservable inputs may be used. Unobservable inputs reflect the Fund's own assumptions about the factors market participants would use in pricing an investment, and would be based on the best information available. |
Annual Report
Notes to Financial Statements - continued
(Amounts in thousands except ratios)
3. Significant Accounting Policies - continued
Security Valuation - continued
Changes in valuation techniques may result in transfers in or out of an investment's assigned level within the hierarchy.
The aggregate value by input level, as of December 31, 2008, for the Fund's investments,as well as a reconciliation of assets for which significant unobservable inputs (Level 3) were used in determining value, is included at the end of the Fund's Schedule of Investments.
Investment Transactions and Income. For financial reporting purposes, the Fund's investment holdings and NAV include trades executed through the end of the last business day of the period. The NAV per share for processing shareholder transactions is calculated as of the close of business of the New York Stock Exchange (NYSE), normally 4:00 p.m. Eastern time and includes trades executed through the end of the prior business day. Gains and losses on securities sold are determined on the basis of identified cost. Interest income and distributions from the Fidelity Central Funds are accrued as earned. Interest income includes coupon interest and amortization of premium and accretion of discount on debt securities.
Expenses. Most expenses of the trust can be directly attributed to a fund. Expenses which cannot be directly attributed are apportioned among each Fund in the trust. Expense estimates are accrued in the period to which they relate and adjustments are made when actual amounts are known.
Income Tax Information and Distributions to Shareholders. Each year, the Fund intends to qualify as a regulated investment company by distributing substantially all of its taxable income and realized gains under Subchapter M of the Internal Revenue Code and filing its U.S. federal tax return. As a result, no provision for income taxes is required. The Fund is subject to the provisions of FASB Interpretation No. 48, Accounting for Uncertainties in Income Taxes (FIN 48). FIN 48 sets forth a minimum threshold for financial statement recognition of the benefit of a tax position taken or expected to be taken in a tax return. There are no unrecognized tax benefits in the accompanying financial statements. A Fund's federal tax return is subject to examination by the Internal Revenue Service (IRS) for a period of three years.
Dividends are declared daily and paid monthly from net investment income. Distributions from realized gains, if any, are recorded on the ex-dividend date. Income dividends and capital gain distributions are declared separately for each class. Income and capital gain distributions are determined in accordance with income tax regulations, which may differ from generally accepted accounting principles. In addition, the Fund will claim a portion of the payment made to redeeming shareholders as a distribution for income tax purposes.
Annual Report
3. Significant Accounting Policies - continued
Income Tax Information and Distributions to Shareholders - continued
Capital accounts within the financial statements are adjusted for permanent book-tax differences. These adjustments have no impact on net assets or the results of operations. Temporary book-tax differences will reverse in a subsequent period.
Book-tax differences are primarily due to market discount, deferred trustees compensation and capital loss carryforwards.
The Fund purchases municipal securities whose interest, in the opinion of the issuer, is free from federal income tax. There is no assurance that the IRS will agree with this opinion. In the event the IRS determines that the issuer does not comply with relevant tax requirements, interest payments from a security could become federally taxable, possibly retroactively to the date the security was issued.
The tax-basis components of distributable earnings and the federal tax cost as of period end were as follows:
Unrealized appreciation | $ 28,150 |
Unrealized depreciation | (18,384) |
Net unrealized appreciation (depreciation) | 9,766 |
Capital loss carryforward | (2,368) |
Cost for federal income tax purposes | $ 1,854,175 |
The tax character of distributions paid was as follows:
| December 31, 2008 | December 31, 2007 |
Tax-exempt Income | 57,229 | 50,136 |
Short-Term Trading (Redemption) Fees. Shares held in the Fund less than 30 days are subject to a redemption fee equal to .50% of the proceeds of the redeemed shares. All redemption fees, including any estimated redemption fees paid by FMR, are retained by the Fund and accounted for as an addition to paid in capital.
New Accounting Pronouncement. In March 2008, Statement of Financial Accounting Standards No. 161, Disclosures about Derivative Instruments and Hedging Activities (SFAS 161), was issued and is effective for reporting periods beginning after November 15, 2008. SFAS 161 requires enhanced disclosures to provide information about the reasons the Fund invests in derivative instruments, the accounting treatment and the effect derivatives have on financial performance.
Annual Report
Notes to Financial Statements - continued
(Amounts in thousands except ratios)
4. Operating Policies.
Restricted Securities. The Fund may invest in securities that are subject to legal or contractual restrictions on resale. These securities generally may be resold in transactions exempt from registration or to the public if the securities are registered. Disposal of these securities may involve time-consuming negotiations and expense, and prompt sale at an acceptable price may be difficult. Information regarding restricted securities is included at the end of the Fund's Schedule of Investments.
Swap Agreements. The Fund entered into swap agreements, which are contracts between two parties to exchange future cash flows at periodic intervals based on a notional principal amount. Payments are exchanged at specified intervals, accrued daily commencing with the effective date of the contract and recorded as realized gains or losses in the Fund's accompanying Statement of Operations. Certain interest rate swaps include extended effective dates. Gains or losses are realized in the event of an early termination of a swap agreement. Risks of loss may include unfavorable changes in the returns of the underlying instruments or indexes, adverse fluctuations of interest rates, failure of the counterparty to perform under the terms of the agreement and lack of liquidity in the market. Collateral, in the form of cash or securities, may be required to be held in segregated accounts with a fund's custodian bank in accordance with the swap agreement and if required, is identified. The Fund could experience delays and costs in gaining access to the collateral even though it is held in the Fund's custodian bank.
Changes in interest rates can have a negative effect on both the value of the Fund's bond holdings as well as the amount of interest income earned. In general, the value of bonds can fall when interest rates rise and can rise when interest rates fall. The Fund entered into interest rate swap agreements to manage its exposure to interest rate changes. Interest rate swaps represent an agreement between counterparties to exchange cash flows based on the difference between two interest rates (e.g. fixed rate, floating rate), applied to a notional principal amount.
5. Purchases and Sales of Investments.
Purchases and sales of securities, other than short-term securities, aggregated $570,842 and $356,018, respectively.
6. Fees and Other Transactions with Affiliates.
Management Fee. FMR and its affiliates provide the Fund with investment management related services for which the Fund pays a monthly management fee. The management fee is the sum of an individual fund fee rate that is based on an annual rate of .25% of the Fund's average net assets and a group fee rate that averaged .12% during the period. The group fee rate is based upon the average net assets of all the mutual funds
Annual Report
6. Fees and Other Transactions with Affiliates - continued
Management Fee - continued
advised by FMR. The group fee rate decreases as assets under management increase and increases as assets under management decrease. For the period, the total annual management fee rate was .37% of the Fund's average net assets.
Distribution and Service Plan. In accordance with Rule 12b-1 of the 1940 Act, the Fund has adopted separate Distribution and Service Plans for each class of shares. Certain classes pay Fidelity Distributors Corporation (FDC), an affiliate of FMR, separate Distribution and Service Fees, each of which is based on an annual percentage of each class' average net assets. In addition, FDC may pay financial intermediaries for selling shares of the Fund and providing shareholder support services. For the period, the Distribution and Service Fee rates and the total amounts paid to and retained by FDC were as follows:
| Distribution | Service | Paid to | Retained |
Class A | .00% | .25% | $ 70 | $ 14 |
Class T | .00% | .25% | 29 | - |
Class B | .65% | .25% | 14 | 10 |
Class C | .75% | .25% | 111 | 53 |
|
|
| $ 224 | $ 77 |
Sales Load. FDC receives a front-end sales charge of up to 2.75% for selling Class A shares and Class T shares, some of which is paid to financial intermediaries for selling shares of the Fund. FDC receives the proceeds of contingent deferred sales charges levied on Class A, Class T, Class B, and Class C redemptions. These charges depend on the holding period. The deferred sales charges range from 3% to 1% for Class B, 1% for Class C,.75% to .50% for certain purchases of Class A shares and .25% for certain purchases of Class T shares.
For the period, sales charge amounts retained by FDC were as follows:
| Retained |
Class A | $ 15 |
Class T | 2 |
Class B* | 6 |
Class C* | 5 |
| $ 28 |
* When Class B and Class C shares are initially sold, FDC pays commissions from its own resources to financial intermediaries through which the sales are made.
Annual Report
Notes to Financial Statements - continued
(Amounts in thousands except ratios)
6. Fees and Other Transactions with Affiliates - continued
Transfer Agent and Accounting Fees. Citibank, N.A. (Citibank) is the custodian, transfer agent, and shareholder servicing agent for the Fund's Class A, Class T, Class B, Class C, Short-Intermediate Municipal Income and Institutional Class shares. Citibank has entered into a sub-arrangement with Fidelity Investments Institutional Operations Company, Inc. (FIIOC), an affiliate of FMR, with respect to all classes of the Fund, to perform the transfer, dividend disbursing, and shareholder servicing agent functions. FIIOC receives account fees and asset-based fees that vary according to the account size and type of account of the shareholders of the respective classes of the Fund. All fees are paid to FIIOC by Citibank, which is reimbursed by each class for such payments. FIIOC pays for typesetting, printing and mailing of shareholder reports, except proxy statements. For the period, each class paid the following transfer agent fees:
| Amount | % of |
Class A | $ 27 | .10 |
Class T | 11 | .09 |
Class B | 2 | .13 |
Class C | 12 | .10 |
Short-Intermediate Municipal Income | 1,632 | .09 |
Institutional Class | 15 | .11 |
| $ 1,699 |
|
Citibank also has a sub-arrangement with Fidelity Service Company, Inc. (FSC), an affiliate of FMR, under which FSC maintains the Fund's accounting records. The fee is based on the level of average net assets for the month.
7. Committed Line of Credit.
The Fund participates with other funds managed by FMR in a $4.2 billion credit facility (the "line of credit") to be utilized for temporary or emergency purposes to fund shareholder redemptions or for other short-term liquidity purposes. The Fund has agreed to pay commitment fees on its pro rata portion of the line of credit, which amounted to $3 and is reflected in Miscellaneous Expense on the Statement of Operations. During the period, there were no borrowings on this line of credit.
Annual Report
8. Expense Reductions.
Through arrangements with the Fund's custodian and each class' transfer agent, credits realized as a result of uninvested cash balances were used to reduce the Fund's expenses. During the period, these credits reduced the Fund's custody and accounting expenses by $27 and $260, respectively. During the period, credits reduced each class' transfer agent expense as noted in the table below.
| Transfer Agent |
Class A | $ 2 |
Class T | 1 |
Class B | -* |
Class C | 1 |
Short-Intermediate Municipal Income | 126 |
Institutional Class | 1 |
| $ 131 |
* Amount represents less than one thousand
9. Other.
The Fund's organizational documents provide former and current trustees and officers with a limited indemnification against liabilities arising in connection with the performance of their duties to the Fund. In the normal course of business, the Fund may also enter into contracts that provide general indemnifications. The Fund's maximum exposure under these arrangements is unknown as this would be dependent on future claims that may be made against the Fund. The risk of material loss from such claims is considered remote.
10. Distributions to Shareholders.
Distributions to shareholders of each class were as follows:
Years ended December 31, | 2008 | 2007 |
From net investment income |
|
|
Class A | $ 806 | $ 281 |
Class T | 339 | 296 |
Class B | 34 | 44 |
Class C | 236 | 121 |
Short-Intermediate Municipal Income | 55,394 | 49,282 |
Institutional Class | 420 | 112 |
Total | $ 57,229 | $ 50,136 |
Annual Report
Notes to Financial Statements - continued
(Amounts in thousands except ratios)
11. Share Transactions.
Transactions for each class of shares were as follows:
| Shares | Dollars | ||
Years ended December 31, | 2008 | 2007 | 2008 | 2007 |
Class A |
|
|
|
|
Shares sold | 5,496 | 398 | $ 56,891 | $ 4,082 |
Reinvestment of distributions | 64 | 23 | 661 | 231 |
Shares redeemed | (1,064) | (268) | (10,990) | (2,734) |
Net increase (decrease) | 4,496 | 153 | $ 46,562 | $ 1,579 |
Class T |
|
|
|
|
Shares sold | 1,108 | 200 | $ 11,448 | $ 2,060 |
Reinvestment of distributions | 27 | 24 | 275 | 241 |
Shares redeemed | (636) | (489) | (6,578) | (4,985) |
Net increase (decrease) | 499 | (265) | $ 5,145 | $ (2,684) |
Class B |
|
|
|
|
Shares sold | 143 | 72 | $ 1,492 | $ 729 |
Reinvestment of distributions | 2 | 3 | 23 | 28 |
Shares redeemed | (94) | (165) | (977) | (1,685) |
Net increase (decrease) | 51 | (90) | $ 538 | $ (928) |
Class C |
|
|
|
|
Shares sold | 1,714 | 151 | $ 17,723 | $ 1,547 |
Reinvestment of distributions | 14 | 7 | 149 | 76 |
Shares redeemed | (298) | (253) | (3,071) | (2,584) |
Net increase (decrease) | 1,430 | (95) | $ 14,801 | $ (961) |
Short-Intermediate Municipal Income |
|
|
|
|
Shares sold | 89,187 | 43,647 | $ 923,266 | $ 445,094 |
Reinvestment of distributions | 3,425 | 3,143 | 35,431 | 32,070 |
Shares redeemed | (71,651) | (32,503) | (739,608) | (331,437) |
Net increase (decrease) | 20,961 | 14,287 | $ 219,089 | $ 145,727 |
Institutional Class |
|
|
|
|
Shares sold | 3,365 | 258 | $ 34,805 | $ 2,627 |
Reinvestment of distributions | 18 | 4 | 183 | 46 |
Shares redeemed | (725) | (141) | (7,461) | (1,429) |
Net increase (decrease) | 2,658 | 121 | $ 27,527 | $ 1,244 |
Annual Report
Report of Independent Registered Public Accounting Firm
To the Trustees of Fidelity Municipal Trust and the Shareholders of Fidelity Short-Intermediate Municipal Income Fund:
In our opinion, the accompanying statement of assets and liabilities, including the schedule of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Fidelity Short-Intermediate Municipal Income Fund (a fund of Fidelity Municipal Trust) at December 31, 2008, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and the financial highlights for each of the five years in the period then ended, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as "financial statements") are the responsibility of the Fidelity Short-Intermediate Municipal Income Fund's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at December 31, 2008 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion.
/s/ PricewaterhouseCoopers LLP
PricewaterhouseCoopers LLP
Boston, Massachusetts
February 23, 2009
Annual Report
Trustees and Officers
The Trustees, Member of the Advisory Board, and executive officers of the trust and fund, as applicable, are listed below. The Board of Trustees governs the fund and is responsible for protecting the interests of shareholders. The Trustees are experienced executives who meet periodically throughout the year to oversee the fund's activities, review contractual arrangements with companies that provide services to the fund, and review the fund's performance. Except for Edward C. Johnson 3d and James C. Curvey, each of the Trustees oversees 159 funds advised by FMR or an affiliate. Messrs. Johnson and Curvey oversee 380 funds advised by FMR or an affiliate.
The Trustees hold office without limit in time except that (a) any Trustee may resign; (b) any Trustee may be removed by written instrument, signed by at least two-thirds of the number of Trustees prior to such removal; (c) any Trustee who requests to be retired or who has become incapacitated by illness or injury may be retired by written instrument signed by a majority of the other Trustees; and (d) any Trustee may be removed at any special meeting of shareholders by a two-thirds vote of the outstanding voting securities of the trust. Each Trustee who is not an interested person (as defined in the 1940 Act) (Independent Trustee), shall retire not later than the last day of the calendar year in which his or her 72nd birthday occurs. The Independent Trustees may waive this mandatory retirement age policy with respect to individual Trustees. The executive officers and Advisory Board Member hold office without limit in time, except that any officer and Advisory Board Member may resign or may be removed by a vote of a majority of the Trustees at any regular meeting or any special meeting of the Trustees. Except as indicated, each individual has held the office shown or other offices in the same company for the past five years.
The fund's Statement of Additional Information (SAI) includes more information about the Trustees. To request a free copy, call Fidelity at 1-877-208-0098.
Interested Trustees*:
Correspondence intended for each Trustee who is an interested person may be sent to Fidelity Investments, 82 Devonshire Street, Boston, Massachusetts 02109.
Name, Age; Principal Occupation | |
Edward C. Johnson 3d (78) | |
| Year of Election or Appointment: 1984 Mr. Johnson is Chairman of the Board of Trustees. Mr. Johnson serves as Chief Executive Officer, Chairman, and a Director of FMR LLC; Chairman and a Director of FMR; Chairman and a Director of Fidelity Research & Analysis Company (FRAC); Chairman and a Director of Fidelity Investments Money Management, Inc.; and Chairman and a Director of FMR Co., Inc. In addition, Mr. Johnson serves as Chairman and Director of FIL Limited. Previously, Mr. Johnson served as President of FMR LLC (2006-2007). Mr. Edward C. Johnson 3d and Mr. Arthur E. Johnson are not related. |
James C. Curvey (73) | |
| Year of Election or Appointment: 2007 Mr. Curvey also serves as Trustee (2007-present) of other investment companies advised by FMR. Mr. Curvey is a Director of FMR and FMR Co., Inc. (2007-present). Mr. Curvey is also Vice Chairman (2006-present) and Director of FMR LLC. In addition, Mr. Curvey serves as an Overseer for the Boston Symphony Orchestra and a member of the Trustees of Villanova University. |
* Trustees have been determined to be "Interested Trustees" by virtue of, among other things, their affiliation with the trust or various entities under common control with FMR. FMR Corp. merged with and into FMR LLC on October 1, 2007. Any references to FMR LLC for prior periods are deemed to be references to the prior entity.
Independent Trustees:
Correspondence intended for each Independent Trustee (that is, the Trustees other than the Interested Trustees) may be sent to Fidelity Investments, P.O. Box 55235, Boston, Massachusetts 02205-5235.
Name, Age; Principal Occupation | |
Albert R. Gamper, Jr. (66) | |
| Year of Election or Appointment: 2006 Prior to his retirement in December 2004, Mr. Gamper served as Chairman of the Board of CIT Group Inc. (commercial finance). During his tenure with CIT Group Inc. Mr. Gamper served in numerous senior management positions, including Chairman (1987-1989; 1999-2001; 2002-2004), Chief Executive Officer (1987-2004), and President (1989-2002). He currently serves as a member of the Board of Directors of Public Service Enterprise Group (utilities), a member of the Board of Governors, Rutgers University (2004-present), and Chairman of the Board of Saint Barnabas Health Care System. Previously, Mr. Gamper served as Chairman of the Board of Governors, Rutgers University (2004-2007). |
Arthur E. Johnson (61) | |
| Year of Election or Appointment: 2008 Mr. Johnson serves as Senior Vice President of Corporate Strategic Development of Lockheed Martin Corporation (defense contractor). In addition, Mr. Johnson serves as a member of the Board of Directors of AGL Resources, Inc. (holding company), and IKON Office Solutions, Inc. (document management systems and services). Mr. Arthur E. Johnson and Mr. Edward C. Johnson 3d are not related. |
James H. Keyes (68) | |
| Year of Election or Appointment: 2007 Prior to his retirement in 2003, Mr. Keyes was Chairman, President, and Chief Executive Officer of Johnson Controls, Inc. (automotive supplier, 1993-2003). He currently serves as a member of the boards of Navistar International Corporation (manufacture and sale of trucks, buses, and diesel engines) and Pitney Bowes, Inc. (integrated mail, messaging, and document management solutions). Previously, Mr. Keyes served as a member of the Board of LSI Logic Corporation (semiconductor technologies, 1984-2008). |
Marie L. Knowles (62) | |
| Year of Election or Appointment: 2001 Prior to Ms. Knowles' retirement in June 2000, she served as Executive Vice President and Chief Financial Officer of Atlantic Richfield Company (ARCO) (diversified energy, 1996-2000). From 1993 to 1996, she was a Senior Vice President of ARCO and President of ARCO Transportation Company. She served as a Director of ARCO from 1996 to 1998. She currently serves as a Director of McKesson Corporation (healthcare service). Ms. Knowles is a Trustee of the Brookings Institution and the Catalina Island Conservancy and also serves as a member of the Advisory Board for the School of Engineering of the University of Southern California. Previously, Ms. Knowles served as a Director of Phelps Dodge Corporation (copper mining and manufacturing, 1994-2007). |
Kenneth L. Wolfe (69) | |
| Year of Election or Appointment: 2005 Mr. Wolfe is Chairman and a Director of Hershey Foods Corporation (2007-present), where prior to his retirement in 2001, he was Chairman and Chief Executive Officer. Mr. Wolfe currently serves as a member of the board of Revlon Inc. (2004-present). Previously, Mr. Wolfe served as a member of the boards of Adelphia Communications Corporation (2003-2006) and Bausch & Lomb, Inc. (1993-2007). |
Annual Report
Advisory Board Member and Executive Officers**:
Correspondence intended Mr. Kenneally may be sent to Fidelity Investments, P.O. Box 55235, Boston, Massachusetts 02205-5235..
Name, Age; Principal Occupation | |
Michael E. Kenneally (54) | |
| Year of Election or Appointment: 2008 Member of the Advisory Board. Mr. Kenneally also serves as Trustee (2009-present) or Member of the Advisory Board of other Fidelity Fixed Income and Asset Allocation Funds. Previously, Mr. Kenneally served as Chairman and Global Chief Executive Officer of Credit Suisse Asset Management (2003-2005). Mr. Kenneally was a Director of The Credit Suisse Funds (U.S. Mutual Fund, 2004-2008) and was awarded the Chartered Financial Analyst (CFA) designation in 1991. |
John R. Hebble (50) | |
| Year of Election or Appointment: 2008 President and Treasurer of Fidelity's Fixed Income and Asset Allocation Funds. Mr. Hebble is an employee of Fidelity Investments (2003-present). Before joining Fidelity Investments, Mr. Hebble worked at Deutsche Asset Management where he served as Director of Fund Accounting (2002-2003) and Assistant Treasurer of the Scudder Funds. |
Boyce I. Greer (52) | |
| Year of Election or Appointment: 2005 or 2006 Vice President of Fidelity's Fixed Income Funds (2006) and Asset Allocation Funds (2005). Mr. Greer is also a Trustee of other investment companies advised by FMR (2003-present). Mr. Greer is President and a Director of Fidelity Investments Money Management, Inc. (2007-present), and an Executive Vice President of FMR and FMR Co., Inc. (2005- |
Scott C. Goebel (40) | |
| Year of Election or Appointment: 2008 Secretary and Chief Legal Officer (CLO) of the Fidelity funds. Mr. Goebel also serves as General Counsel, Secretary, and Senior Vice President of FMR (2008-present); Deputy General Counsel of FMR LLC; Chief Legal Secretary of Fidelity Management & Research (Hong Kong) Limited (2008-present) and Assistant Secretary of Fidelity Management & Research (Japan) Inc. (2008-present). Previously, Mr. Goebel served as Assistant Secretary of the Funds (2007-2008) and as Vice President and Secretary of Fidelity Distributors Corporation (FDC) (2005-2007). |
Nancy D. Prior (41) | |
| Year of Election or Appointment: 2008 Assistant Secretary of Fidelity's Fixed Income and Asset Allocation Funds. Ms. Prior is an employee of Fidelity Investments (2002-present). |
Holly C. Laurent (54) | |
| Year of Election or Appointment: 2008 Anti-Money Laundering (AML) Officer of the Fidelity funds. Ms. Laurent is an employee of Fidelity Investments. Previously, Ms. Laurent was Senior Vice President and Head of Legal for Fidelity Business Services India Pvt. Ltd. (2006-2008), Senior Vice President, Deputy General Counsel and Group Head for FMR LLC (2005-2006). |
Christine Reynolds (50) | |
| Year of Election or Appointment: 2008 Chief Financial Officer of the Fidelity funds. Ms. Reynolds became President of Fidelity Pricing and Cash Management Services (FPCMS) in August 2008. She served as Chief Operating Officer of FPCMS from 2007 through July 2008. Previously, Ms. Reynolds served as President, Treasurer, and Anti-Money Laundering officer of the Fidelity funds (2004-2007). Before joining Fidelity Investments, Ms. Reynolds worked at PricewaterhouseCoopers LLP (PwC) (1980-2002), where she was an audit partner with PwC's investment management practice. |
Michael H. Whitaker (41) | |
| Year of Election or Appointment: 2008 Chief Compliance Officer of Fidelity's Fixed Income and Asset Allocation Funds. Mr. Whitaker is an employee of Fidelity Investments (2007-present). Prior to joining Fidelity Investments, Mr. Whitaker worked at MFS Investment Management where he served as Senior Vice President and Chief Compliance Officer (2004-2006), and Assistant General Counsel. |
Bryan A. Mehrmann (47) | |
| Year of Election or Appointment: 2005 Deputy Treasurer of the Fidelity funds. Mr. Mehrmann is an employee of Fidelity Investments. Previously, Mr. Mehrmann served as Vice President of Fidelity Investments Institutional Services Group (FIIS)/Fidelity Investments Institutional Operations Company, Inc. (FIIOC) Client Services (1998-2004). |
Stephanie J. Dorsey (39) | |
| Year of Election or Appointment: 2008 Deputy Treasurer of Fidelity's Fixed Income and Asset Allocation Funds. Ms. Dorsey is an employee of Fidelity Investments (2008-present). Previously, Ms. Dorsey served as Treasurer (2004-2008) of the JPMorgan Mutual Funds and Accounting Group Manager (2003) of JPMorgan Chase Bank. |
Robert G. Byrnes (42) | |
| Year of Election or Appointment: 2005 Assistant Treasurer of the Fidelity funds. Mr. Byrnes is an employee of Fidelity Investments (2005-present). Previously, Mr. Byrnes served as Vice President of Fidelity Pricing and Cash Management Services (FPCMS) (2003-2005). Before joining Fidelity Investments, Mr. Byrnes worked at Deutsche Asset Management where he served as Vice President of the Investment Operations Group (2000-2003). |
Paul M. Murphy (61) | |
| Year of Election or Appointment: 2007 Assistant Treasurer of the Fidelity funds. Mr. Murphy is an employee of Fidelity Investments (2007-present). Previously, Mr. Murphy served as Chief Financial Officer of the Fidelity Funds (2005-2006), Vice President and Associate General Counsel of FMR (2007), and Senior Vice President of Fidelity Pricing and Cash Management Services (FPCMS) (1994-2007). |
Gary W. Ryan (50) | |
| Year of Election or Appointment: 2005 Assistant Treasurer of the Fidelity funds. Mr. Ryan is an employee of Fidelity Investments. Previously, Mr. Ryan served as Vice President of Fund Reporting in Fidelity Pricing and Cash Management Services (FPCMS) (1999-2005). |
** FMR Corp. merged with and into FMR LLC on October 1, 2007. Any references to FMR LLC for prior periods are deemed to be references to the prior entity.
Annual Report
Distributions (Unaudited)
During fiscal year ended 2008, 100% of the fund's income dividends was free from federal income tax, and 4.23% of the fund's income dividends was subject to the federal alternative minimum tax.
The fund will notify shareholders in January 2009 of amounts for use in preparing 2008 income tax returns.
Annual Report
Investment Adviser
Fidelity Management & Research Company
Boston, MA
Investment Sub-Advisers
Fidelity Investments Money
Management, Inc.
Fidelity Research & Analysis Company
FIL Investment Advisors
FIL Investment Advisors
(U.K.) Ltd.
Fidelity Management & Research
(U.K.) Inc.
Fidelity Management & Research
(Hong Kong) Limited
Fidelity Management & Research
(Japan) Inc.
General Distributor
Fidelity Distributors Corporation
Boston, MA
Transfer and Service Agents
Citibank, N.A.
New York, NY
Fidelity Investments Institutional
Operations Company, Inc.
Boston, MA
Custodian
Citibank, N.A.
New York, NY
ASTMI-UANN-0209 1.796657.105
Item 2. Code of Ethics
As of the end of the period, December 31, 2008, Fidelity Municipal Trust (the trust) has adopted a code of ethics, as defined in Item 2 of Form N-CSR, that applies to its President and Treasurer and its Chief Financial Officer. A copy of the code of ethics is filed as an exhibit to this Form N-CSR.
Item 3. Audit Committee Financial Expert
The Board of Trustees of the trust has determined that Marie L. Knowles is an audit committee financial expert, as defined in Item 3 of Form N-CSR. Ms. Knowles is independent for purposes of Item 3 of Form N-CSR.
Item 4. Principal Accountant Fees and Services
Fees and Services
The following table presents fees billed by PricewaterhouseCoopers LLP ("PwC") in each of the last two fiscal years for services rendered to Fidelity Michigan Municipal Income Fund, Fidelity Minnesota Municipal Income Fund, Fidelity Municipal Income Fund, Fidelity Ohio Municipal Income Fund, Fidelity Pennsylvania Municipal Income Fund and Fidelity Short-Intermediate Municipal Income Fund (the "Funds"):
Services Billed by PwC
December 31, 2008 FeesA
| Audit Fees | Audit-Related Fees | Tax Fees | All Other Fees |
Fidelity Michigan Municipal Income Fund | $43,000 | $- | $2,900 | $1,900 |
Fidelity Minnesota Municipal Income Fund | $43,000 | $- | $2,900 | $1,700 |
Fidelity Municipal Income Fund | $66,000 | $- | $8,500 | $5,200 |
Fidelity Ohio Municipal Income Fund | $43,000 | $- | $2,900 | $1,700 |
Fidelity Pennsylvania Municipal Income Fund | $43,000 | $- | $2,900 | $1,600 |
Fidelity Short-Intermediate Municipal Income Fund | $47,000 | $- | $2,900 | $2,700 |
December 31, 2007 FeesA
| Audit Fees | Audit-Related Fees | Tax Fees | All Other Fees |
Fidelity Michigan Municipal Income Fund | $48,000 | $- | $2,900 | $1,600 |
Fidelity Minnesota Municipal Income Fund | $47,000 | $- | $2,900 | $1,400 |
Fidelity Municipal Income Fund | $72,000 | $- | $2,900 | $4,300 |
Fidelity Ohio Municipal Income Fund | $47,000 | $- | $2,900 | $1,500 |
Fidelity Pennsylvania Municipal Income Fund | $47,000 | $- | $2,900 | $1,400 |
Fidelity Short-Intermediate Municipal Income Fund | $51,000 | $- | $2,900 | $2,200 |
A Amounts may reflect rounding.
The following table presents fees billed by PwC that were required to be approved by the Audit Committee for services that relate directly to the operations and financial reporting of the Funds and that are rendered on behalf of Fidelity Management & Research Company ("FMR") and entities controlling, controlled by, or under common control with FMR (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser) that provide ongoing services to the Funds ("Fund Service Providers"):
Services Billed by PwC
| December 31, 2008A | December 31, 2007A |
Audit-Related Fees | $2,340,000 | $- |
Tax Fees | $2,000 | $- |
All Other Fees | $190,000 | $215,000 |
A Amounts may reflect rounding.
"Audit-Related Fees" represent fees billed for assurance and related services that are reasonably related to the performance of the fund audit or the review of the fund's financial statements and that are not reported under Audit Fees.
"Tax Fees" represent fees billed for tax compliance, tax advice or tax planning that relate directly to the operations and financial reporting of the fund.
"All Other Fees" represent fees billed for assurance services provided to the fund or Fund Service Provider that relate directly to the operations and financial reporting of the fund, excluding those services that are reported under Audit Fees, Audit-Related Fees or Tax Fees.
Assurance services must be performed by an independent public accountant.
* * *
The aggregate non-audit fees billed by PwC for services rendered to the Funds, FMR (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser), and any Fund Service Provider for each of the last two fiscal years of the Funds are as follows:
Billed By | December 31, 2008 A | December 31, 2007 A |
PwC | $2,990,000 | $1,500,000 |
A Amounts may reflect rounding.
The trust's Audit Committee has considered non-audit services that were not pre-approved that were provided by PwC to Fund Service Providers to be compatible with maintaining the independence of PwC in its audit of the Funds, taking into account representations from PwC, in accordance with Independence Standards Board Standard No. 1, regarding its independence from the Funds and their related entities and FMR's review of the appropriateness and permissibility under applicable law of such non-audit services prior to their provision to the Fund Service Providers.
Audit Committee Pre-Approval Policies and Procedures
The Fidelity fund's Audit Committee must pre-approve all audit and non-audit services provided by a fund's independent registered public accounting firm relating to the operations or financial reporting of the fund. Prior to the commencement of any audit or non-audit services to a fund, the Audit Committee reviews the services to determine whether they are appropriate and permissible under applicable law.
The Audit Committee has adopted policies and procedures to, among other purposes, provide a framework for the Committee's consideration of non-audit services by the audit firms that audit the Fidelity funds. The policies and procedures require that any non-audit service provided by a fund audit firm to a Fidelity fund and any non-audit service provided by a fund auditor to a Fund Service Provider that relates directly to the operations and financial reporting of a Fidelity fund ("Covered Service") are subject to approval by the Audit Committee before such service is provided.
All Covered Services must be approved in advance of provision of the service either: (i) by formal resolution of the Audit Committee, or (ii) by oral or written approval of the service by the Chair of the Audit Committee (or if the Chair is unavailable, such other member of the Audit Committee as may be designated by the Chair to act in the Chair's absence). The approval contemplated by (ii) above is permitted where the Treasurer determines that action on such an engagement is necessary before the next meeting of the Audit Committee.
Non-audit services provided by a fund audit firm to a Fund Service Provider that do not relate directly to the operations and financial reporting of a Fidelity fund are reported to the Audit Committee on a periodic basis.
Non-Audit Services Approved Pursuant to Rule 2-01(c)(7)(i)(C) and (ii) of Regulation S-X ("De Minimis Exception")
There were no non-audit services approved or required to be approved by the Audit Committee pursuant to the De Minimis Exception during the Funds' last two fiscal years relating to services provided to (i) the Funds or (ii) any Fund Service Provider that relate directly to the operations and financial reporting of the Funds.
Item 5. Audit Committee of Listed Registrants
Not applicable.
Item 6. Investments
(a) Not applicable.
(b) Not applicable
Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies
Not applicable.
Item 8. Portfolio Managers of Closed-End Management Investment Companies
Not applicable.
Item 9. Purchase of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers
Not applicable.
Item 10. Submission of Matters to a Vote of Security Holders
There were no material changes to the procedures by which shareholders may recommend nominees to the trust's Board of Trustees.
Item 11. Controls and Procedures
(a)(i) The President and Treasurer and the Chief Financial Officer have concluded that the trust's disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act) provide reasonable assurances that material information relating to the trust is made known to them by the appropriate persons, based on their evaluation of these controls and procedures as of a date within 90 days of the filing date of this report.
(a)(ii) There was no change in the trust's internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act) that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the trust's internal control over financial reporting.
Item 12. Exhibits
(a) | (1) | Code of Ethics pursuant to Item 2 of Form N-CSR is filed and attached hereto as EX-99.CODE ETH. |
(a) | (2) | Certification pursuant to Rule 30a-2(a) under the Investment Company Act of 1940 (17 CFR 270.30a-2(a)) is filed and attached hereto as Exhibit 99.CERT. |
(a) | (3) | Not applicable. |
(b) |
| Certification pursuant to Rule 30a-2(b) under the Investment Company Act of 1940 (17 CFR 270.30a-2(b)) is furnished and attached hereto as Exhibit 99.906CERT. |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
Fidelity Municipal Trust
By: | /s/John R. Hebble |
| John R. Hebble |
| President and Treasurer |
|
|
Date: | February 27, 2009 |
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
By: | /s/John R. Hebble |
| John R. Hebble |
| President and Treasurer |
|
|
Date: | February 27, 2009 |
By: | /s/Christine Reynolds |
| Christine Reynolds |
| Chief Financial Officer |
|
|
Date: | February 27, 2009 |