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 811-6456
---------------------
Nuveen Premier Municipal Income Fund, Inc.
------------------------------------------------------------------------------
(Exact name of registrant as specified in charter)
Nuveen Investments
333 West Wacker Drive
Chicago, IL 60606
- ------------------------------------------------------------------------------
(Address of principal executive offices) (Zip code)
Jessica R. Droeger
Nuveen Investments
333 West Wacker Drive
Chicago, IL 60606
- ------------------------------------------------------------------------------
(Name and address of agent for service)
Registrant's telephone number, including area code: (312) 917-7700
-------------------
Date of fiscal year end: October 31
------------------
Date of reporting period: April 30, 2004
------------------
Form N-CSR is to be used by management investment companies to file reports with
the Commission not later than 10 days after the transmission to stockholders of
any report that is required to be transmitted to stockholders under Rule 30e-1
under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may
use the information provided on Form N-CSR in its regulatory, disclosure review,
inspection, and policymaking roles.
A registrant is required to disclose the information specified by Form N-CSR,
and the Commission will make this information public. A registrant is not
required to respond to the collection of information contained in Form N-CSR
unless the Form displays a currently valid Office of Management and Budget
("OMB") control number. Please direct comments concerning the accuracy of the
information collection burden estimate and any suggestions for reducing the
burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW,
Washington, DC 20549-0609. The OMB has reviewed this collection of information
under the clearance requirements of 44 U.S.C. ss. 3507.
ITEM 1. REPORTS TO STOCKHOLDERS.
Nuveen
Municipal Closed-End
Exchange-Traded
Funds
SEMIANNUAL REPORT April 30, 2004
NUVEEN INVESTMENT QUALITY MUNICIPAL FUND, INC.
NQM
NUVEEN SELECT QUALITY MUNICIPAL FUND, INC.
NQS
NUVEEN QUALITY INCOME MUNICIPAL FUND, INC.
NQU
NUVEEN PREMIER MUNICIPAL INCOME FUND, INC.
NPF
NUVEEN MUNICIPAL HIGH INCOME OPPORTUNITY FUND
NMZ
Photo of: Man holding up small boy.
Photo of: 2 women with 2 girls looking at seashells.
DEPENDABLE,
TAX-FREE INCOME
BECAUSE
IT'S NOT WHAT YOU EARN,
IT'S WHAT YOU KEEP.(R)
Logo: NUVEEN Investments
FASTER INFORMATION
RECEIVE YOUR
NUVEEN FUND REPORT
ELECTRONICALLY
By registering for electronic delivery, you will receive an e-mail as soon as
your Nuveen Fund information is available. Click on the link and you will be
taken directly to the report. Your Fund report can be viewed and saved on your
computer. Your report will arrive faster via e-mail than by traditional mail.
Registering is easy and only takes a few minutes (see instructions at right).
- --------------------------------------------------------------------------------
SOME COMMON CONCERNS:
WILL MY E-MAIL ADDRESS BE DISTRIBUTED TO OTHER COMPANIES?
No, your e-mail address is strictly confidential and will not be used for
anything other than notification of shareholder information.
WHAT IF I CHANGE MY MIND AND WANT TO RECEIVE INVESTOR MATERIALS THROUGH REGULAR
MAIL DELIVERY AGAIN?
If you decide you do not like receiving your reports electronically, it's a
simple process to go back to regular mail delivery.
- --------------------------------------------------------------------------------
IF YOUR NUVEEN FUND DIVIDENDS AND STATEMENTS
COME FROM YOUR FINANCIAL ADVISOR OR BROKERAGE ACCOUNT,
FOLLOW THE STEPS OUTLINED BELOW:
1 Go to WWW.INVESTORDELIVERY.COM and follow the simple instructions, using
the address sheet that accompanied this report as a guide.
2 You'll be taken to a page with several options. Select the NEW
ENROLLMENT-CREATE screen and follow the simple instructions.
3 Click Submit. Confirm the information you just entered is correct, then
click Submit again.
4 You should get a confirmation e-mail within 24 hours. If you do not, go
back through these steps to make sure all the information is correct.
5 Use this same process if you need to change your registration information
or cancel internet viewing.
IF YOUR NUVEEN FUND DIVIDENDS AND STATEMENTS
COME DIRECTLY TO YOU FROM NUVEEN,
FOLLOW THE STEPS OUTLINED BELOW:
1 Go to WWW.NUVEEN.COM
2 Select ACCESS YOUR ACCOUNT. Select the E-REPORT ENROLLMENT section. Click
on Enrollment Today.
3 You'll be taken to a screen that asks for your Social Security number and
e-mail address. Fill in this information, then click Enroll.
4 You should get a confirmation e-mail within 24 hours. If you do not, go
back through these steps to make sure all the information is correct.
5 Use this same process if you need to change your registration information
or cancel internet viewing.
Logo: NUVEEN Investments
Photo of: Timothy R. Schwertfeger
Timothy R. Schwertfeger
Chairman of the Board
Sidebar text: WE THINK THAT MUNICIPAL BOND INVESTMENTS LIKE YOUR NUVEEN FUND CAN
BE IMPORTANT BUILDING BLOCKS IN A WELL-BALANCED PORTFOLIO.
Dear
SHAREHOLDER
I am very pleased to report that for the period ended April 30, 2004, your
Nuveen Fund continued to provide you with attractive monthly tax-free income.
While tax-free income is always welcome, we know that many shareholders are
beginning to wonder whether interest rates will rise significantly, and whether
that possibility should cause them to adjust that portion of their investment
portfolios allocated to tax-free municipal bonds. We believe this is a question
you should consider carefully with the help of a trusted financial advisor. In
many cases, it may be more appropriate to focus on long-term goals and
objectives rather than shorter-term market movements, and this is where a
professional advisor may be able to help keep you focused on the larger
objectives of your investment program.
As you read through this report, please review the inside front cover and
consider receiving future Fund reports and other Fund information by e-mail and
the Internet. Not only will you be able to receive the information faster, but
this also may help lower your Fund's expenses. Sign up is quick and easy.
Since 1898, Nuveen Investments has offered financial products and solutions that
incorporate careful research, diversification and the application of
conservative risk-management principles. We are grateful that you have chosen us
as a partner as you pursue your financial goals. We look forward to continuing
to earn your trust in the months and years ahead.
Sincerely,
/s/ Timothy R. Schwertfeger
Timothy R. Schwertfeger
Chairman of the Board
June 15, 2004
1
Nuveen National Municipal Closed-End Exchange-Traded Funds
(NQM, NQS, NQU, NPF, NMZ)
Portfolio Managers'
COMMENTS
Portfolio managers Tom Spalding, Dan Solender, and John Miller review the market
environment, key investment strategies and the recent performance of the Funds.
A 27-year veteran of Nuveen, Tom has managed NQS and NQU since January 2003.
Dan, who has 12 years of investment experience, including 8 years at Nuveen,
assumed portfolio management responsibility for NPF in September 2003 and NQM in
November 2003. With 11 years of municipal market experience, John has managed
NMZ since its inception in November 2003.
WHAT FACTORS AFFECTED THE U.S. ECONOMY AND MUNICIPAL MARKET DURING THE SIX-MONTH
REPORTING PERIOD ENDED APRIL 30, 2004?
During this reporting period, the greatest influences on the national economy
and the municipal market continued to be historically low interest rates,
growing evidence of economic improvement, and a generally modest rate of
inflation. Since its last credit easing in June 2003, the Federal Reserve has
maintained the fed funds rate at 1.0%, the lowest level since 1958. This
accommodative monetary policy helped to spur GDP (gross domestic product) growth
of 4.4% annualized in the first quarter of 2004, following a 3.1% rise in 2003.
Over the six-month reporting period, the year-over-year rate of inflation, as
measured by the core Consumer Price Index, averaged 1.3%.
This generally favorable environment helped many municipal bonds perform well
during most of the six-month period ended April 30, 2004. However, in early
April, a sharply improved jobs report, along with subsequent indications of
growing momentum in the U.S. economy, served as catalysts for increased
expectations of a Fed rate hike. This all contributed to heightened volatility
in the fixed-income markets. During April, the yield on the Bond Buyer 25
Revenue Bond Index, a widely-followed municipal bond index, rose almost 40 basis
points. The rise in the index yield, and the corresponding decline in bond
prices, effectively offset the yield declines and price gains of the five
previous months. As of April 30, 2004, the Bond Buyer 25 index was at
approximately the same level as it was at the beginning of the six-month
reporting period.
Despite the recent spike in yields, the high-yield portion of the municipal
market performed well over this period, with many bonds posting solid gains.
In general, municipal supply remained strong over the past six months, although
the pace of issuance slowed. The first four months of 2004 saw $110 billion in
new municipal supply, down 9% from January-April 2003. Over the entire six-month
reporting period ended April 2004, the supply of new bonds decreased 13%
compared with the preceding six months.
IN THIS ENVIRONMENT, WHAT KEY STRATEGIES WERE USED TO MANAGE THE FUNDS OVER THE
SIX MONTHS ENDED APRIL 30, 2004?
With the market continuing to anticipate an increase in interest rates, our
major focus during this reporting period remained on careful management of the
durations1 of the Funds as a way to
1 Duration is a measure of a Fund's net asset value (NAV) volatility in
reaction to interest rate movements. Fund duration, also known as
leverage-adjusted duration, takes into account the leveraging process for a
Fund and therefore is generally longer than the duration of the actual
portfolio of individual bonds that make up the Fund. References to duration
in this commentary are intended to indicate Fund duration unless otherwise
noted.
2
mitigate some of the interest rate risk inherent in each Fund's portfolio.
Interest rate risk is the risk that the value of a Fund's portfolio will decline
if market interest rates rise (since bond prices move in the opposite direction
of interest rates). The longer the duration of a Fund's portfolio, the greater
the Fund's interest rate risk. Our use of such a duration management strategy is
designed to position the Funds to potentially produce more consistent returns
over time as interest rates inevitably rise and fall.
Despite the fact that interest rates remained relatively low, we saw a few
opportunities to improve the portfolio holdings of the four older Funds (NQM,
NQS, NQU and NPF). When executing trades within the portfolios of one of these
Funds, we generally tried to focus on securities in the long-intermediate part
of the yield curve (i.e., bonds that mature in 15 to 20 years). In many cases,
bonds in this part of the curve offered yields similar to those of longer-term
bonds with less inherent interest rate risk and greater total return potential.
Overall for these older Funds, we looked for bonds that would keep them well
diversified by industry sector and geographic region. Based on the recent
implementation of economic reforms in California, we believed this state had
demonstrated signs of progress, and we took advantage of opportunities to add
California debt to NQS, NQU, and NPF as well as to the newest Fund, NMZ, at what
we believed were attractive prices. (On May 21, 2004, following the end of this
reporting period, Moody's upgraded California general obligation bonds to A3
with a positive outlook from Baa1 with a stable outlook.)
In NQM and NPF, we sought to increase the Funds' allocations to BBB rated bonds
because these Funds had been underweighted relative to the other Funds in these
types of bonds, and because we thought the total return and income potential of
these bonds represented attractive opportunities for the Funds. We also
increased our allocations of healthcare and transportation bonds in an effort to
improve sector diversification. To make these purchases, we reduced our
positions in pre-refunded bonds in NQM and in zero coupon bonds in NPF.
Pre-refunded bonds, because of their relatively short durations, generally
underperformed the market during most of this six-month period. Zero-coupon
bonds, which have very long durations, can increase the volatility of a Fund's
net asset value during periods of changing interest rates.
During this reporting period, we introduced the Nuveen Municipal High Income
Opportunity Fund (NMZ). In general, our strategy for NMZ during this time
focused on the successful completion of the Fund's initial investment phase and
leveraging process. Since, unlike parts of the general market,
3
the supply of lower-rated municipal bonds was relatively strong during this
invest-up period, we can report that as of April 30, 2004, NMZ was fully
invested and leveraged. Overall, our initial investment strategy for this Fund
was to purchase bonds that we believed had adequate credit spreads to compensate
shareholders for the credit risk involved. For the investment-grade portion of
NMZ's portfolio, we focused on diversifying the Fund with a variety of premium
bonds priced to specific call dates. These bonds had relatively defensive
characteristics, which may provide a mitigating influence on overall Fund
performance if and when interest rates begin to rise.
In both segments of NMZ's portfolio, we invested in bonds related to essential
services. Our largest weightings as of April 30, 2004, were community
development district bonds, charter schools and healthcare. NMZ also purchased
selected corporate-backed and utility-backed issues, although opportunities to
find value in these areas were more limited due to higher prices.
HOW DID THE FUNDS PERFORM?
Individual results for the Funds, as well as for relevant benchmarks, are
presented in the accompanying table.
TOTAL RETURNS ON NET ASSET VALUE
For periods ended 4/30/04
(6-month returns cumulative, all others annualized)
6-MONTH 1-YEAR 5-YEAR 10-YEAR
- -----------------------------------------------------------------------
NQM 1.55% 3.08% 5.95% 6.74%
- -----------------------------------------------------------------------
NQS 2.83% 5.64% 6.40% 7.23%
- -----------------------------------------------------------------------
NQU 2.02% 5.57% 5.79% 6.85%
- -----------------------------------------------------------------------
NPF 1.34% 1.59% 5.81% 7.08%
- -----------------------------------------------------------------------
Lehman Brothers Municipal
Bond Index2 1.19% 2.68% 5.44% 6.46%
- -----------------------------------------------------------------------
Lipper General
(Leveraged) Municipal
Debt Funds average3 2.21% 4.97% 5.65% 6.90%
- -----------------------------------------------------------------------
HIGH-YIELD
- -----------------------------------------------------------------------
NMZ* .06%* NA NA NA
- -----------------------------------------------------------------------
Lehman Brothers
High-Yield Municipal
Bond Index2 3.22%** -- -- --
- -----------------------------------------------------------------------
Lipper High-Yield
Municipal Debt
Funds average3 1.55%** -- -- --
- -----------------------------------------------------------------------
*NMZ's inception date was November 19, 2003; cumulative return represents the
five-month period 11/19/03-4/30/04.
** Cumulative returns represent the five-month period 12/01/03-4/30/04. Past
performance is not predictive of future results.
For additional information, see the individual Performance Overview for your
Fund in this report.
For the reporting period ended April 30, 2004, the cumulative six-month returns
of NQM, NQS, NQU, and NPF outperformed the return on their Lehman Brothers
Municipal Bond index. Only NQS outperformed the Lipper peer group average.
A primary factor in the six-month performance of these four Funds compared with
that of the unmanaged, unleveraged Lehman Brothers index was the use of leverage
by these Funds. While
2 The Lehman Brothers Municipal Bond Index is an unleveraged, unmanaged
national index containing a broad range of investment-grade municipal
bonds. The Lehman Brothers High-Yield Municipal Bond Index is an
unleveraged, unmanaged national index comprising municipal bonds rated
below investment grade (i.e., below Baa by Moody's Investor Service or
below BBB by Standard & Poor's or Fitch). Results for the Lehman indexes do
not reflect any expenses.
3 The Lipper General (Leveraged) Municipal Debt Funds category average is
calculated using the returns of all closed-end exchange-traded funds in
this category for each period as follows: 6 months - 65 funds; 1 year - 64
funds; 5 years - 49 funds; and 10 years - 46 funds. The Lipper High-Yield
Municipal Debt Funds category average is calculated using the returns of
all 15 closed-end exchange-traded funds in this category for this 5-month
period. Fund and Lipper returns assume reinvestment of dividends.
4
leveraging can add volatility to the Funds' NAVs and share prices, this strategy
can also provide opportunities for additional income and total return for common
shareholders during periods of low short-term interest rates, as was the case
during this reporting period.
In addition to leverage, these four Funds benefited from their holdings of
healthcare bonds over this six-month period. In terms of performance, healthcare
ranked second among the Lehman Brothers index municipal revenue sectors during
this period. Among the four Funds, holdings of healthcare bonds ranged from 17%
of NQS's portfolio to 13% in NQM, 11% in NPF, and 9% in NQU. Some of the Funds'
healthcare holdings were positioned in the lower-rated credit quality
categories, which also benefited the Funds during this period, as BBB rated
bonds tended to outperform higher rated bonds. As of April 30, 2004, the
holdings of BBB bonds ranged from 12% in NQS and 10% in NQU to 8% in NPF and 5%
in NQM.
Other holdings making positive contributions to the Funds' cumulative returns
during this reporting period were bonds backed by revenues from the 1998 master
tobacco settlement agreement. Over this period, NQM, NQS, NQU and NPF maintained
their exposure to tobacco-backed bonds. NMZ also bought a number of tobacco
bonds during its initial investment phase. On April 21, 2004, based on an
adverse ruling in a tobacco-related court case, Moody's downgraded all tobacco
bonds that were not enhanced or additionally secured. As a result, the majority
of unenhanced municipal-issued tobacco securities were rated Baa by Moody's,
while insured tobacco bonds continued to be rated Aaa. The other major credit
rating agencies--S&P and Fitch--did not change their tobacco bond ratings. As of
April 30, 2004, we believed that the prices of tobacco bonds accurately
reflected the risks involved and that, when maintained at appropriate levels in
the Funds, these bonds would continue to represent good value.
Some of the additional factors that impacted the performances of NQM, NQS, NQU,
and NPF over this semiannual reporting period included:
o Low levels of call exposure, which benefited the Funds by enabling us to
avoid the reinvestment of proceeds from called bonds in a low interest rate
environment. As of April 30, 2004, potential call exposure for these Funds
during 2004-2005 ranged from 5% in NQM to 8% in NQS, 9% in NMZ, 10% in NQU,
and 12% in NPF. The number of actual bond calls in all of the Funds will
depend largely on market interest rates.
o The advance refunding of several holdings in NQS, which enhanced prices and
contributed to total returns.
NQM and NPFdid not perform as well as NQU and NQS during this reporting period.
There were several reasons for this. First, NQM and NPF started the period
relatively underweighted in
5
BBB rated bonds and relatively overweighted in pre-refunded bonds when compared
with NQU and NQS. Since BBB bonds performed well over the six months while the
performance of pre-refunded bonds tended to lag other issues, this affected the
overall results for NQMand NPF. In addition, NQM and NPF experience calls of
certain housing bonds at par at times when these bonds were trading at premiums,
which also impacted total return performance over the period. Finally, NPF
suffered from the poor performance over this period of a multifamily housing
credit issued by the Northwest Minnesota Multi-County Housing and Redevelopment
Authority.
For NMZ, this reporting period covers the time from the Fund's inception in
mid-November 2003 through April 30, 2004. Over that entire period, NMZ provided
a cumulative total return on NAV of 0.06%. To create the benchmark comparisons
shown in the accompanying table, it was necessary to use return data that
represented monthly time periods. Because NMZ is designed to serve as a
long-term investment, we believe it is inappropriate to place too much emphasis
on its return over any relatively short-term period, especially during its
initial investing phase.
Nonetheless, we should note that, during this time, much of NMZ's assets were
held in low-earning cash investments, while we watched for attractive
opportunities that met our investment criteria to deploy these assets in the
municipal market. In addition, NMZ's investment guidelines require the Fund to
invest at least 50% of its portfolio in investment-grade debt, with a maximum of
50% in below-investment grade bonds, while the Fund's Lehman benchmark comprises
100% below-investment grade securities. As mentioned earlier, during this time
lower-rated securities tended to outperform higher-quality bonds. NMZ's longer
duration, which was 14.19 as of April 30, 2004, compared with 7.39 for the
Lehman Brothers High-Yield Municipal Bond Index, also hurt the Fund's
performance in April as yields spiked upward. While we plan to gradually shorten
the Fund's duration over time, we made a deliberate decision to maintain a
longer duration at this time to help support NMZ's income stream.
HOW ABOUT THE FUNDS' DIVIDENDS AND SHARE PRICES?
With short-term interest rates remaining at historically low levels during this
reporting period, the leveraged structures of NQM, NQS, NQU, and NPF continued
to support their dividend-paying capabilities throughout the period. The extent
of this benefit is tied in part to the short-term rates the Funds pay their
MuniPreferred(R) shareholders. During periods of low short-term rates, the Funds
generally pay relatively lower dividends to their MuniPreferred shareholders,
which can leave more earnings to support common share dividends. During this
6
reporting period, continued low short-term rates enabled us to maintain the
dividend levels of NQM, NQS, NQU, and NPF. NMZ, which was introduced in November
2003, has continued to pay regular monthly dividends since its first
distribution in January 2004.
All of these Nuveen Funds seek to pay stable dividends at rates that reflect
each Fund's past results and projected future performance. During certain
periods, each Fund may pay dividends at a rate that may be more or less than the
amount of net investment income actually earned by the Fund during the period.
If a Fund has cumulatively earned more than it has paid in dividends, it holds
the excess in reserve as undistributed net investment income (UNII) as part of
the Fund's net asset value (NAV). Conversely, if a Fund has cumulatively paid
dividends in excess of its earnings, the excess constitutes negative UNII that
is likewise reflected in the Fund's NAV. Each Fund will, over time, pay all of
its net investment income as dividends to shareholders. As of April 30, 2004,
NQM, NQS, NQU, and NPF had positive UNII balances, while NMZ had a negative UNII
balance. Since NMZ is a newly established and recently leveraged Fund, its
current UNII balance may not reflect the Fund's long-term earning and dividend
distribution potential.
As of April 30, 2004, NQM was trading at a discount of -9.09% to its NAV,
compared with an average discount of -3.75% over the six-month period. NQS was
at a -9.21% discount, compared with an average -3.60%, NQU was at a discount of
- -8.74%, compared with an average of -4.16%, and NPF was at a discount of -8.22%,
compared with an average of -3.44% for the six-month period.
NMZ was trading a premium to its NAV of 0.79%, compared with an average premium
of 4.14% over the period from its inception in November 2003 through April 30,
2004.
HOW WERE THE FUNDS POSITIONED IN TERMS OF CREDIT QUALITY AS OF APRIL 30, 2004?
Given the current geopolitical and economic climate, we continued to believe
that maintaining strong overall credit quality was important. As of the end of
April 2004, all four of the older Funds continued to offer excellent average
credit quality, with allocations of bonds rated AAA/U.S. guaranteed or AA
ranging from 73% in NQS and 78% in NPF to 80% in NQU and 84% in NQM. NMZ, as
noted earlier, is a high-yield Fund that is allowed to invest up to 50% of its
portfolio in securities that are non-investment grade quality at the time of
purchase. As of April 30, 2004, NMZ had allocated 49% to bonds rated BB or lower
and non-rated bonds while 51% of its portfolio was invested in investment-grade
rated securities. Of this, 20% was allocated to bonds rated AAA/U.S. guaranteed
or AA.
7
Nuveen Investment Quality Municipal Fund, Inc.
Performance
OVERVIEW As of April 30, 2004
NQM
Pie Chart:
CREDIT QUALITY
AAA/U.S. Guaranteed 73%
AA 11%
A 8%
BBB 5%
NR 3%
FUND SNAPSHOT
- --------------------------------------------------
Share Price $14.00
- --------------------------------------------------
Common Share Net Asset Value $15.40
- --------------------------------------------------
Premium/(Discount) to NAV -9.09%
- --------------------------------------------------
Market Yield 7.20%
- --------------------------------------------------
Taxable-Equivalent Yield1 10.00%
- --------------------------------------------------
Net Assets Applicable to
Common Shares ($000) $550,498
- --------------------------------------------------
Average Effective Maturity (Years) 17.22
- --------------------------------------------------
Leverage-Adjusted Duration 10.50
- --------------------------------------------------
AVERAGE ANNUAL TOTAL RETURN (Inception 6/21/90)
- --------------------------------------------------
ON SHARE PRICE ON NAV
- --------------------------------------------------
6-Month (Cumulative) -4.20% 1.55%
- --------------------------------------------------
1-Year -3.55% 3.08%
- --------------------------------------------------
5-Year 4.19% 5.95%
- --------------------------------------------------
10-Year 6.12% 6.74%
- --------------------------------------------------
TOP FIVE SECTORS (as a % of total investments)
- --------------------------------------------------
Tax Obligation/General 18%
- --------------------------------------------------
U.S. Guaranteed 18%
- --------------------------------------------------
Healthcare 13%
- --------------------------------------------------
Transportation 12%
- --------------------------------------------------
Tax Obligation/Limited 10%
- --------------------------------------------------
Bar Chart:
2003-2004 MONTHLY TAX-FREE DIVIDENDS PER SHARE
May 0.0845
Jun 0.0845
Jul 0.0845
Aug 0.0845
Sep 0.0845
Oct 0.0845
Nov 0.0845
Dec 0.0845
Jan 0.0845
Feb 0.0845
Mar 0.0845
Apr 0.0845
Line Chart:
SHARE PRICE PERFORMANCE
Weekly Closing Price
Past performance is not predictive of future results.
5/1/03 15.51
15.58
15.9
16.22
16.41
15.93
15.95
16
15.82
14.96
14.6
14.98
14.68
14.54
14.55
14.64
14.88
14.92
15.08
14.89
14.97
15.03
15.1
15.15
15.06
15.18
15.24
15.4
15.24
15.34
15.63
15.85
15.9
15.68
15.76
15.74
15.78
15.99
15.88
16
15.99
15.98
15.56
14.99
14.77
14.42
4/30/04 14
1 Taxable-equivalent yield represents the yield that must be earned on a
fully taxable investment in order to equal the yield of the Fund on an
after-tax basis. It is based on a federal income tax rate of 28%. For
investments that generate qualified dividend income, the taxable-equivalent
yield is lower.
8
Nuveen Select Quality Municipal Fund, Inc.
Performance
OVERVIEW As of April 30, 2004
NQS
Pie Chart:
CREDIT QUALITY
AAA/U.S. Guaranteed 64%
AA 9%
A 11%
BBB 12%
NR 2%
BB or Lower 2%
FUND SNAPSHOT
- --------------------------------------------------
Share Price $13.80
- --------------------------------------------------
Common Share Net Asset Value $15.20
- --------------------------------------------------
Premium/(Discount) to NAV -9.21%
- --------------------------------------------------
Market Yield 7.22%
- --------------------------------------------------
Taxable-Equivalent Yield1 10.03%
- --------------------------------------------------
Net Assets Applicable to
Common Shares ($000) $515,016
- --------------------------------------------------
Average Effective Maturity (Years) 18.72
- --------------------------------------------------
Leverage-Adjusted Duration 8.88
- --------------------------------------------------
AVERAGE ANNUAL TOTAL RETURN (Inception 3/21/91)
- --------------------------------------------------
ON SHARE PRICE ON NAV
- --------------------------------------------------
6-Month (Cumulative) -3.24% 2.83%
- --------------------------------------------------
1-Year 0.35% 5.64%
- --------------------------------------------------
5-Year 4.59% 6.40%
- --------------------------------------------------
10-Year 6.30% 7.23%
- --------------------------------------------------
TOP FIVE SECTORS (as a % of total investments)
- --------------------------------------------------
Healthcare 17%
- --------------------------------------------------
U.S. Guaranteed 16%
- --------------------------------------------------
Utilities 14%
- --------------------------------------------------
Transportation 12%
- --------------------------------------------------
Tax Obligation/Limited 9%
- --------------------------------------------------
Bar Chart:
2003-2004 MONTHLY TAX-FREE DIVIDENDS PER SHARE2
May 0.082
Jun 0.082
Jul 0.082
Aug 0.082
Sep 0.083
Oct 0.083
Nov 0.083
Dec 0.083
Jan 0.083
Feb 0.083
Mar 0.083
Apr 0.083
Line Chart:
SHARE PRICE PERFORMANCE
Weekly Closing Price
Past performance is not predictive of future results.
5/1/03 14.92
15.04
15.49
15.66
15.79
15.38
15.42
15.43
15.27
14.74
14.36
14.59
14.31
14.28
14.28
14.47
14.57
14.53
14.66
14.57
14.58
14.64
14.81
14.82
14.78
14.83
14.98
15.02
14.92
15.16
15.4
15.5
15.69
15.35
15.5
15.38
15.45
15.68
15.72
15.54
15.67
15.55
15.32
14.78
14.27
14.24
4/30/04 13.8
1 Taxable-equivalent yield represents the yield that must be earned on a
fully taxable investment in order to equal the yield of the Fund on an
after-tax basis. It is based on a federal income tax rate of 28%. For
investments that generate qualified dividend income, the taxable-equivalent
yield is lower.
2 The Fund also paid shareholders capital gains and net ordinary income
distributions in December 2003 of $0.0725 per share.
9
Nuveen Quality Income Municipal Fund, Inc.
Performance
OVERVIEW As of April 30, 2004
NQU
Pie Chart:
CREDIT QUALITY
AAA/U.S. Guaranteed 69%
AA 11%
A 6%
BBB 10%
BB or Lower 4%
FUND SNAPSHOT
- --------------------------------------------------
Share Price $13.57
- --------------------------------------------------
Common Share Net Asset Value $14.87
- --------------------------------------------------
Premium/(Discount) to NAV -8.74%
- --------------------------------------------------
Market Yield 7.12%
- --------------------------------------------------
Taxable-Equivalent Yield1 9.89%
- --------------------------------------------------
Net Assets Applicable to
Common Shares ($000) $805,916
- --------------------------------------------------
Average Effective Maturity (Years) 17.14
- --------------------------------------------------
Leverage-Adjusted Duration 10.58
- --------------------------------------------------
AVERAGE ANNUAL TOTAL RETURN (Inception 6/19/91)
- --------------------------------------------------
ON SHARE PRICE ON NAV
- --------------------------------------------------
6-Month (Cumulative) -2.16% 2.02%
- --------------------------------------------------
1-Year -0.27% 5.57%
- --------------------------------------------------
5-Year 3.03% 5.79%
- --------------------------------------------------
10-Year 6.29% 6.85%
- --------------------------------------------------
TOP FIVE SECTORS (as a % of total investments)
- --------------------------------------------------
Tax Obligation/General 24%
- --------------------------------------------------
U.S. Guaranteed 16%
- --------------------------------------------------
Transportation 13%
- --------------------------------------------------
Utilities 12%
- --------------------------------------------------
Healthcare 9%
- --------------------------------------------------
Bar Chart:
2003-2004 MONTHLY TAX-FREE DIVIDENDS PER SHARE
May 0.0805
Jun 0.0805
Jul 0.0805
Aug 0.0805
Sep 0.0805
Oct 0.0805
Nov 0.0805
Dec 0.0805
Jan 0.0805
Feb 0.0805
Mar 0.0805
Apr 0.0805
Line Chart:
SHARE PRICE PERFORMANCE
Weekly Closing Price
Past performance is not predictive of future results.
5/1/03 14.58
14.67
14.97
15.23
15.32
15.16
15.25
15.26
15.07
14.34
13.87
14.1
13.9
14.14
14.11
14.1
14.23
14.28
14.28
14.23
14.24
14.23
14.33
14.4
14.42
14.34
14.46
14.55
14.47
14.7
15.11
15.07
15.14
15.07
15.17
15.08
15.09
15.24
15.31
15.4
15.39
15.38
15.26
14.46
14.17
13.82
4/30/04 13.57
1 Taxable-equivalent yield represents the yield that must be earned on a
fully taxable investment in order to equal the yield of the Fund on an
after-tax basis. It is based on a federal income tax rate of 28%. For
investments that generate qualified dividend income, the taxable-equivalent
yield is lower.
10
Nuveen Premier Municipal Income Fund, Inc.
Performance
OVERVIEW As of April 30, 2004
NPF
Pie Chart:
CREDIT QUALITY
AAA/U.S. Guaranteed 65%
AA 13%
A 12%
BBB 8%
NR 2%
FUND SNAPSHOT
- --------------------------------------------------
Share Price $13.63
- --------------------------------------------------
Common Share Net Asset Value $14.85
- --------------------------------------------------
Premium/(Discount) to NAV -8.22%
- --------------------------------------------------
Market Yield 7.26%
- --------------------------------------------------
Taxable-Equivalent Yield1 10.08%
- --------------------------------------------------
Net Assets Applicable to
Common Shares ($000) $298,290
- --------------------------------------------------
Average Effective Maturity (Years) 16.37
- --------------------------------------------------
Leverage-Adjusted Duration 11.71
- --------------------------------------------------
AVERAGE ANNUAL TOTAL RETURN (Inception 12/19/91)
- --------------------------------------------------
ON SHARE PRICE ON NAV
- --------------------------------------------------
6-Month (Cumulative) -4.42% 1.34%
- --------------------------------------------------
1-Year -2.72% 1.59%
- --------------------------------------------------
5-Year 3.43% 5.81%
- --------------------------------------------------
10-Year 6.63% 7.08%
- --------------------------------------------------
TOP FIVE SECTORS (as a % of total investments)
- --------------------------------------------------
Tax Obligation/Limited 20%
- --------------------------------------------------
Tax Obligation/General 16%
- --------------------------------------------------
U.S. Guaranteed 13%
- --------------------------------------------------
Healthcare 11%
- --------------------------------------------------
Utilities 10%
- --------------------------------------------------
Bar Chart:
2003-2004 MONTHLY TAX-FREE DIVIDENDS PER SHARE
May 0.0825
Jun 0.0825
Jul 0.0825
Aug 0.0825
Sep 0.0825
Oct 0.0825
Nov 0.0825
Dec 0.0825
Jan 0.0825
Feb 0.0825
Mar 0.0825
Apr 0.0825
Line Chart:
SHARE PRICE PERFORMANCE
Weekly Closing Price
Past performance is not predictive of future results.
5/1/03 15.03
15.19
15.58
15.84
15.93
15.5
15.4
15.5
15.42
14.71
14.28
14.45
14.27
14.34
14.41
14.42
14.44
14.6
14.5
14.68
14.57
14.55
14.74
14.68
14.78
14.77
14.75
14.76
14.63
14.7
15.18
15.27
15.42
15.32
15.45
15.46
15.55
15.59
15.71
15.48
15.5
15.54
15.39
14.54
14.01
13.91
4/30/04 13.63
1 Taxable-equivalent yield represents the yield that must be earned on a
fully taxable investment in order to equal the yield of the Fund on an
after-tax basis. It is based on a federal income tax rate of 28%. For
investments that generate qualified dividend income, the taxable-equivalent
yield is lower.
11
Nuveen Municipal High Income Opportunity Fund
Performance
OVERVIEW As of April 30, 2004
NMZ
Pie Chart:
CREDIT QUALITY
AAA/U.S. Guaranteed 14%
AA 6%
A 13%
BBB 18%
NR 32%
BB or Lower 17%
FUND SNAPSHOT
- --------------------------------------------------
Share Price $14.10
- --------------------------------------------------
Common Share Net Asset Value $13.99
- --------------------------------------------------
Premium/(Discount) to NAV 0.79%
- --------------------------------------------------
Market Yield 7.57%
- --------------------------------------------------
Taxable-Equivalent Yield1 10.51%
- --------------------------------------------------
Net Assets Applicable to
Common Shares ($000) $324,355
- --------------------------------------------------
Average Effective Maturity (Years) 22.73
- --------------------------------------------------
Leverage-Adjusted Duration 14.19
- --------------------------------------------------
CUMULATIVE TOTAL RETURN (Inception 11/19/03)
- --------------------------------------------------
ON SHARE PRICE ON NAV
- --------------------------------------------------
Since Inception -3.75% 0.06%
- --------------------------------------------------
TOP FIVE SECTORS (as a % of total investments)
- --------------------------------------------------
Tax Obligation/Limited 30%
- --------------------------------------------------
Healthcare 25%
- --------------------------------------------------
Housing/Multifamily 9%
- --------------------------------------------------
Transportation 7%
- --------------------------------------------------
Tax Obligation/General 7%
- --------------------------------------------------
Bar Chart:
2004 MONTHLY TAX-FREE DIVIDENDS PER SHARE
Jan 0.089
Feb 0.089
Mar 0.089
Apr 0.089
Line Chart:
SHARE PRICE PERFORMANCE
Weekly Closing Price
Past performance is not predictive of future results.
11/19/03 15.08
14.95
15.27
15.25
15.02
15.09
15.2
15.3
15.34
15.34
15.31
15.26
15.25
15.39
15.59
15.46
15.45
15.35
15
14.5
14.24
4/30/04 14.1
1 Taxable-equivalent yield represents the yield that must be earned on a
fully taxable investment in order to equal the yield of the Fund on an
after-tax basis. It is based on a federal income tax rate of 28%. For
investments that generate qualified dividend income, the taxable-equivalent
yield is lower.
12
Nuveen Investment Quality Municipal Fund, Inc. (NQM)
Portfolio of
INVESTMENTS April 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
ALABAMA - 1.6%
$ 8,000 Jefferson County, Alabama, Sewer Revenue Capital Improvement 2/09 at 101.00 AAA $ 9,055,040
Warrants, Series 1999A, 5.750%, 2/01/38 (Pre-refunded to
2/01/09) - FGIC Insured
- ------------------------------------------------------------------------------------------------------------------------------------
ALASKA - 0.7%
4,000 Northern Tobacco Securitization Corporation, Alaska, Tobacco 6/10 at 100.00 BBB 3,652,600
Settlement Asset-Backed Bonds, Series 2000, 6.500%, 6/01/31
- ------------------------------------------------------------------------------------------------------------------------------------
ARKANSAS - 1.5%
3,105 Arkansas Development Finance Authority, Home Mortgage Revenue 7/08 at 101.50 AAA 3,235,565
Bonds, FNMA/GNMA Mortgage-Backed Securities Program,
Series 1998A, 5.150%, 7/01/17
Van Buren County, Arkansas, Sales and Use Tax Revenue Bonds,
Refunding and Construction, Series 2000:
1,055 5.600%, 12/01/25 - AMBAC Insured 12/10 at 100.00 Aaa 1,115,051
3,600 5.650%, 12/01/31 - AMBAC Insured 12/10 at 100.00 Aaa 3,812,544
- ------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 16.6%
8,545 Alameda County, California, Certificates of Participation, Alameda 9/06 at 102.00 AAA 9,476,918
County Public Facilities Corporation, Series 1991, 6.000%, 9/01/21
(Pre-refunded to 9/01/06) - MBIA Insured
10,000 California, General Obligation Bonds, Series 2003, 5.250%, 2/01/25 8/13 at 100.00 Baa1 9,942,900
5,925 California State Public Works Board, Lease Revenue Refunding 6/04 at 101.00 Aa2 6,011,387
Bonds, Various University of California Projects, Series 1993A,
5.500%, 6/01/21
9,740 Huntington Park Redevelopment Agency, California, Single Family No Opt. Call AAA 13,630,448
Residential Mortgage Revenue Refunding Bonds, Series 1986A,
8.000%, 12/01/19
5,730 Los Angeles Unified School District, California, General Obligation 7/12 at 100.00 AAA 5,910,896
Bonds, Election of 1997, Series 2002E, 5.125%, 7/01/22 -
MBIA Insured
1,030 Natomas Unified School District, Sacramento County, California, No Opt. Call AAA 1,192,513
General Obligation Refunding Bonds, Series 1999,
5.950%, 9/01/21 - MBIA Insured
15,770 Ontario Redevelopment Financing Authority, San Bernardino No Opt. Call AAA 20,810,092
County, California, Revenue Refunding Bonds, Redevelopment
Project 1, Series 1995, 7.400%, 8/01/25 - MBIA Insured
13,145 Perris, California, GNMA Mortgage-Backed Securities Program, No Opt. Call AAA 17,580,649
Single Family Mortgage Revenue Bonds, Series 1988B,
8.200%, 9/01/23 (Alternative Minimum Tax)
San Joaquin Hills Transportation Corridor Agency, California,
Toll Road Refunding Revenue Bonds, Series 1997A:
6,175 0.000%, 1/15/28 - MBIA Insured No Opt. Call AAA 1,657,494
8,135 0.000%, 1/15/34 - MBIA Insured No Opt. Call AAA 1,542,965
17,195 0.000%, 1/15/35 - MBIA Insured No Opt. Call AAA 3,074,638
- ------------------------------------------------------------------------------------------------------------------------------------
COLORADO - 4.8%
200 Colorado Housing and Finance Authority, Single Family Program 5/06 at 105.00 Aa2 205,076
Senior Bonds, Series 1996B, 7.450%, 11/01/27
12,450 Denver City and County, Colorado, Airport System Revenue 11/10 at 100.00 AAA 13,601,003
Refunding Bonds, Series 2000A, 6.000%, 11/15/19 (Alternative
Minimum Tax) - AMBAC Insured
3,200 Denver, Colorado, Special Facilities Airport Revenue Bonds, 10/04 at 100.00 N/R 2,488,000
United Air Lines, Inc. Project, Series 1992A, 6.875%, 10/01/32
(Alternative Minimum Tax)#
7,865 El Paso County School District 11, Colorado Springs, Colorado, 12/07 at 125.00 AA- 10,181,321
General Obligation Improvement Bonds, Series 1996,
7.125%, 12/01/21
- ------------------------------------------------------------------------------------------------------------------------------------
CONNECTICUT - 1.4%
6,770 State of Connecticut, General Obligation Bonds, Series 2000B, 6/10 at 100.00 AA*** 7,751,108
5.875%, 6/15/16 (Pre-refunded to 6/15/10)
13
Nuveen Investment Quality Municipal Fund, Inc. (NQM) (continued)
Portfolio of INVESTMENTS April 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
DISTRICT OF COLUMBIA - 5.9%
$ 3,000 District of Columbia, General Obligation Bonds, Series 1998B, No Opt. Call AAA $ 3,468,990
6.000%, 6/01/16 - MBIA Insured
15,950 District of Columbia, University Revenue Bonds, Georgetown 4/11 at 31.03 AAA 3,240,083
University Issue, Series 2001A, 0.000%, 4/01/31 - MBIA Insured
23,645 District of Columbia Water and Sewer Authority, Public Utility 4/09 at 160.00 AAA 25,829,562
Revenue Bonds, Series 1998, 5.500%, 10/01/23 - FSA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
GEORGIA - 5.6%
17,500 Atlanta, Georgia, Airport General Revenue Refunding Bonds, 1/10 at 101.00 AAA 19,812,100
Series 2000A, 5.600%, 1/01/30 (Pre-refunded to 1/01/10) -
FGIC Insured
2,000 Dalton Development Authority, Georgia, Revenue Certificates, No Opt. Call AAA 2,118,040
Hamilton Health Care System, Series 1996, 5.500%, 8/15/26 -
MBIA Insured
5,980 Fulton County Development Authority, Georgia, Revenue Bonds, 9/11 at 102.00 AAA 6,414,866
Georgia State University - TUFF/Atlanta Housing LLC Project,
Series 2001A, 5.500%, 9/01/22 - AMBAC Insured
2,250 Georgia Municipal Electric Authority, Project One Special No Opt. Call A+ 2,666,610
Obligation Bonds, Fourth Crossover Series 1997E,
6.500%, 1/01/20
- ------------------------------------------------------------------------------------------------------------------------------------
IDAHO - 0.9%
4,810 Boise City, Idaho, Revenue Refunding Bonds, Series 2001A, 12/11 at 100.00 Aaa 4,945,738
5.375%, 12/01/31 - MBIA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 10.8%
4,705 Village of Bourbonnais, Illinois, Industrial Project Revenue Bonds, 3/10 at 101.00 AA 5,211,493
Olivet Nazarene University Project, Series 2000, 6.250%, 3/01/20 -
RAAI Insured
9,000 Chicago, Illinois, Special Facility Revenue Bonds, O'Hare International No Opt. Call N/R 4,038,750
Airport, United Air Lines, Inc. Project, Series 2001A, 6.375%, 11/01/35
(Alternative Minimum Tax) (Mandatory put 5/01/13)#
4,775 Chicago Public Building Commission, Illinois, General Obligation 3/13 at 100.00 AAA 4,933,148
Lease Bonds, Chicago Transit Authority, Series 2003,
5.250%, 3/01/23 - AMBAC Insured
2,110 Illinois Development Finance Authority, Local Government Program 1/11 at 100.00 Aaa 2,374,615
Revenue Bonds, Elmhurst Community Unit School District 205
Project, Series 2000, 6.000%, 1/01/19 - FSA Insured
Illinois Finance Authority, Revenue Bonds, OSF Healthcare System,
Series 2004:
2,500 5.250%, 11/15/21 (WI, settling 5/12/04) 5/14 at 100.00 A 2,510,600
1,000 5.250%, 11/15/22 (WI, settling 5/12/04) 5/14 at 100.00 A 993,530
12,725 School District No. 46, Elgin, Counties of Kane, Cook, and DuPage, No Opt. Call Aaa 16,031,719
Illinois, School Bonds, Series 1997, 7.800%, 1/01/12 -
FSA Insured
6,300 Madison County Community Unit School District 7, Edwardsville, No Opt. Call AAA 7,165,620
Illinois, School Building Bonds, Series 1994, 5.850%, 2/01/13 -
FGIC Insured
3,585 City of Pekin, Illinois, Multifamily Housing Refunding Revenue Bonds, 5/04 at 102.00 AAA 3,660,894
FHA-Insured Mortgage Loan - Section 8 Assisted Project,
Series 1992A, 6.875%, 5/01/22
5,390 Regional Transportation Authority, Cook, DuPage, Kane, Lake, No Opt. Call AAA 6,423,263
McHenry and Will Counties, Illinois, General Obligation Bonds,
Series 1992A, 9.000%, 6/01/07 - AMBAC Insured
860 Regional Transportation Authority, Cook, DuPage, Kane, Lake, No Opt. Call AAA 1,024,862
McHenry and Will Counties, Illinois, General Obligation Bonds,
Series 1992B, 9.000%, 6/01/07 - AMBAC Insured
1,180 Channahon School District Number 17, Will County, Illinois, No Opt. Call Aaa 1,581,802
General Obligation School Building Bonds, Series 2001,
8.400%, 12/01/13 - AMBAC Insured
Joliet High School District Number 204, Joliet, Illinois,
General Obligation Bonds, Series 2001:
1,145 8.700%, 12/01/13 - FSA Insured No Opt. Call AAA 1,561,597
1,300 8.700%, 12/01/14 - FSA Insured No Opt. Call AAA 1,799,525
- ------------------------------------------------------------------------------------------------------------------------------------
INDIANA - 3.6%
5,530 Allen County Jail Building Corporation, Indiana, First Mortgage 4/11 at 101.00 Aa3 6,006,741
Bonds, Series 2000, 5.750%, 4/01/20
1,880 Indianapolis, Indiana, GNMA Collateralized Multifamily Housing 7/10 at 102.00 Aaa 1,968,529
Mortgage Revenue Bonds, Cloverleaf Apartments Project
Phase I, Series 2000, 6.000%, 1/20/31
5,065 MSD Steuben County K-5 Building Corporation, Indiana, First 7/10 at 101.00 AAA 5,906,145
Mortgage Bonds, Series 2000, 6.125%, 1/15/21 (Pre-refunded
to 7/15/10) - FSA Insured
14
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
INDIANA (continued)
$ 2,495 Shelbyville, Indiana, GNMA Collateralized Multifamily Housing 7/10 at 102.00 Aaa $ 2,612,415
Revenue Bonds, Blueridge Terrace Project, Series 2000,
6.050%, 1/20/36
2,765 Wayne County Jail Holding Corporation, Indiana, First Mortgage 1/13 at 101.00 AAA 3,103,630
Bonds, Series 2001, 5.750%, 7/15/14 - AMBAC Insured
- ------------------------------------------------------------------------------------------------------------------------------------
KANSAS - 1.4%
1,995 Sedgwick and Shawnee Counties, Kansas, GNMA Mortgage-Backed No Opt. Call Aaa 2,083,897
Securities Program, Single Family Revenue Bonds, Series 1997A-1,
6.950%, 6/01/29 (Alternative Minimum Tax)
4,205 City of Topeka, Kansas, Industrial Revenue Refunding Bonds, 8/16 at 100.00 AAA 5,648,408
Series 1988, Sunwest Hotel Corporation Project, 9.500%, 10/01/16
(Alternative Minimum Tax) (Pre-refunded to 8/15/16)
- ------------------------------------------------------------------------------------------------------------------------------------
KENTUCKY - 2.8%
2,000 Jefferson County, Kentucky, Health Facilities Revenue Refunding 1/07 at 102.00 AAA 2,149,160
Bonds, Jewish Hospital Healthcare Services, Inc., Series 1996,
5.700%, 1/01/21 - AMBAC Insured
12,500 Jefferson County, Kentucky, Pollution Control Revenue Bonds, 4/05 at 102.00 AAA 13,173,125
Louisville Gas and Electric Company Project, Series 1995A,
5.900%, 4/15/23 - AMBAC Insured
- ------------------------------------------------------------------------------------------------------------------------------------
LOUISIANA - 5.5%
2,160 East Baton Rouge Mortgage Finance Authority, Louisiana, 10/07 at 102.00 Aaa 2,224,130
GNMA/FNMA Mortgage-Backed Securities Program, Family
Mortgage Revenue Refunding Bonds, Series 1997D,
5.900%, 10/01/30 (Alternative Minimum Tax)
1,560 Jefferson Parish Home Mortgage Authority, Louisiana, Single 12/09 at 103.00 Aaa 1,665,019
Family Mortgage Revenue Refunding Bonds, Series 2000A-2,
7.500%, 12/01/30 (Alternative Minimum Tax)
Jefferson Parish Home Mortgage Authority, Louisiana, Single Family
Mortgage Revenue Bonds, Series 2000G-2:
2,475 6.300%, 6/01/32 (Alternative Minimum Tax) 12/10 at 102.00 Aaa 2,686,241
1,575 5.550%, 6/01/32 (Alternative Minimum Tax) 12/10 at 102.00 Aaa 1,591,632
11,545 Orleans Parish School Board, Louisiana, Public School Refunding No Opt. Call AAA 14,584,106
Bonds, Series 1987, 9.000%, 2/01/09 - MBIA Insured
9,310 Tobacco Settlement Financing Corporation, Louisiana, Tobacco 5/11 at 101.00 BBB 7,734,934
Settlement Asset-Backed Bonds, Series 2001B, 5.875%, 5/15/39
- ------------------------------------------------------------------------------------------------------------------------------------
MARYLAND - 0.4%
2,500 Maryland Health and Higher Educational Facilities Authority, 8/14 at 100.00 BBB 2,433,550
Revenue Bonds, Medstar Health, Series 2004, 5.375%, 8/15/24
- ------------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 4.0%
12,000 Massachusetts, General Obligation Bonds, Consolidated Loan, 10/10 at 100.00 AAA 13,602,600
Series 2000C, 5.750%, 10/01/19 (Pre-refunded to 10/01/10)
5,225 Massachusetts Development Financing Authority, Assisted Living 12/09 at 102.00 N/R 4,974,252
Revenue Bonds, Prospect House Apartments, Series 1999,
7.000%, 12/01/31
1,640 Massachusetts Health and Educational Facilities Authority, Revenue 7/11 at 100.00 BBB 1,726,510
Bonds, UMass Memorial Health Care, Series 2001C, 6.500%, 7/01/21
2,000 Massachusetts Industrial Finance Agency, Resource Recovery Revenue 12/08 at 102.00 BBB 1,895,400
Refunding Bonds, Ogden Haverhill Project, Series 1998A,
5.600%, 12/01/19 (Alternative Minimum Tax)
- ------------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 4.1%
4,250 Detroit City School District, Wayne County, Michigan, Unlimited 5/12 at 100.00 AAA 4,575,848
Tax School Building and Site Improvement Bonds, Series 2001A,
5.500%, 5/01/20 - FSA Insured
10,215 Detroit, Michigan, Water Supply System Revenue Refunding Bonds, No Opt. Call AAA 12,246,355
Series 1993, 6.500%, 7/01/15 - FGIC Insured
5,100 Detroit, Michigan, Water Supply System Senior Lien Revenue Bonds, 7/11 at 101.00 AAA 5,863,266
Series 2001A, 5.750%, 7/01/28 (Pre-refunded to 7/01/11) -
FGIC Insured
15
Nuveen Investment Quality Municipal Fund, Inc. (NQM) (continued)
Portfolio of INVESTMENTS April 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
MINNESOTA - 5.2%
$ 5,000 Dakota County Housing and Redevelopment Authority, Washington No Opt. Call AAA $ 6,999,700
County Housing and Redevelopment Authority, Bloomington, Minnesota,
Revenue Bonds, Single Family Residential Mortgage-Backed
Program, Series 1988, 8.450%, 9/01/19 (Alternative Minimum Tax)
20,000 Minnesota Agricultural and Economic Development Board, Health Care 11/10 at 101.00 A 21,517,800
System Revenue Bonds, Fairview Health Services, Series 2000A,
6.375%, 11/15/29
- ------------------------------------------------------------------------------------------------------------------------------------
MISSOURI - 1.5%
7,615 Kansas City Industrial Development Authority, Missouri, FNMA 1/07 at 102.00 AAA 8,137,389
Multifamily Housing Revenue Bonds, Royal Woods Apartments
Project, Series 1997, 5.600%, 1/01/30 (Alternative Minimum Tax)
(Mandatory put 1/01/10)
365 Missouri Housing Development Commission, GNMA/FNMA Single Family 3/07 at 105.00 AAA 369,541
Mortgage Revenue Bonds, Homeownership Loan Program, Series 1997A-2,
7.300%, 3/01/28 (Alternative Minimum Tax)
- ------------------------------------------------------------------------------------------------------------------------------------
NEBRASKA - 2.3%
2,985 NebHelp, Inc., Nebraska, Student Loan Program Revenue Bonds, 9/04 at 102.00 AAA 2,986,791
Series 1993B, 5.875%, 6/01/14 (Alternative Minimum Tax) -
MBIA Insured
9,525 Nebraska Investment Finance Authority, Single Family Housing Revenue 3/05 at 101.50 AAA 9,733,121
Bonds, Series 1995B, 6.450%, 3/01/35 (Alternative Minimum Tax)
- ------------------------------------------------------------------------------------------------------------------------------------
NEVADA - 4.9%
11,000 Clark County School District, Nevada, General Obligation Bonds, 6/12 at 100.00 AAA 11,910,690
Series 2002C, 5.500%, 6/15/19 - MBIA Insured
14,530 Director of Nevada State Department of Business and Industry, 1/10 at 102.00 AAA 15,272,483
Revenue Bonds, Las Vegas Monorail Project, First Tier Series 2000,
5.625%, 1/01/34 - AMBAC Insured
- ------------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY - 0.7%
3,400 New Jersey Transportation Trust Fund Authority, Transportation System 6/13 at 100.00 AA- 3,653,266
Bonds, Series 2003C, 5.500%, 6/15/22
- ------------------------------------------------------------------------------------------------------------------------------------
NEW MEXICO - 0.4%
Farmington, New Mexico, Hospital Revenue Bonds, San Juan Regional
Medical Center, Inc., Series 2004A:
880 5.125%, 6/01/17 6/14 at 100.00 A3 904,394
1,295 5.125%, 6/01/19 6/14 at 100.00 A3 1,316,368
- ------------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 15.0%
8,485 New York City, New York, General Obligation Bonds, Fiscal 10/07 at 101.00 A 9,055,022
Series 1997G, 6.000%, 10/15/26
5,000 New York City, New York, General Obligation Bonds, Fiscal 6/13 at 100.00 A 5,298,500
Series 2003J, 5.500%, 6/01/20
10,000 New York City Municipal Finance Authority, New York, Water 6/14 at 100.00 AA 10,226,800
and Sewer System Revenue Bonds, Fiscal Series 2004C,
5.000%, 6/15/22
3,300 New York City Municipal Water Finance Authority, New York, 6/10 at 101.00 AA*** 3,917,034
Water and Sewer System Revenue Bonds, Fiscal Series 2000B,
6.500%, 6/15/31 (Pre-refunded to 6/15/10)
New York City Municipal Water Finance Authority, New York, Water
and Sewer System Revenue Bonds, Fiscal Series 1996B:
2,465 5.750%, 6/15/26 (Pre-refunded to 6/15/06) - MBIA Insured 6/06 at 101.00 AAA 2,686,751
4,535 5.750%, 6/15/26 - MBIA Insured 6/06 at 101.00 AAA 4,821,839
5,000 New York City Transitional Finance Authority, New York, Future 5/10 at 101.00 AA+ 5,290,650
Tax Secured Bonds, Fiscal Series 2000C, 5.500%, 11/01/24
5,570 New York City Transitional Finance Authority, New York, Future 2/14 at 100.00 AA+ 5,692,540
Tax Secured Bonds, Fiscal Series 2004C, 5.000%, 2/01/22
5,000 New York State Municipal Bond Bank Agency, Special School 6/13 at 100.00 A+ 5,188,150
Purpose Revenue Bonds, Series 2003C, 5.250%, 12/01/19
5,000 Power Authority of the State of New York, General Revenue Bonds, 12/05 at 100.00 Aa2 5,251,500
Series 2000A, 5.500%, 11/15/16
16
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
NEW YORK (continued)
$ 16,445 Port Authority of New York and New Jersey, Special Project Bonds, No Opt. Call AAA $ 19,169,443
JFK International Air Terminal LLC, Sixth Series 1997, 7.000%, 12/01/12
(Alternative Minimum Tax) - MBIA Insured
5,400 New York Tobacco Settlement Financing Corporation, Tobacco Settlement 6/10 at 100.00 AA- 5,733,180
Asset-Backed and State Contingency Contract-Backed Bonds,
Series 2003A-1, 5.500%, 6/01/16
- ------------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA - 5.8%
2,795 Charlotte, North Carolina, FHA-Insured Mortgage Revenue Bonds, 11/07 at 100.00 AAA 2,954,203
Double Oaks Apartments, Series 1992, 7.350%, 5/15/26
19,775 North Carolina Eastern Municipal Power Agency, Power System Revenue 1/07 at 102.00 AAA 21,464,576
Refunding Bonds, Series 1996B, 5.875%, 1/01/21 - MBIA Insured
7,420 North Carolina Medical Care Commission, Health System Revenue 10/11 at 101.00 AA 7,512,824
Bonds, Mission St. Joseph's Health System, Series 2001,
5.250%, 10/01/26
- ------------------------------------------------------------------------------------------------------------------------------------
OHIO - 1.6%
8,650 Cuyahoga County, Ohio, Hospital Improvement Revenue Bonds, 2/09 at 101.00 A- 8,959,843
MetroHealth System Project, Series 1999, 6.150%, 2/15/29
- ------------------------------------------------------------------------------------------------------------------------------------
OKLAHOMA - 0.6%
3,300 Tulsa Municipal Airport Trust, Oklahoma, Revenue Refunding Bonds, 6/09 at 100.00 B- 3,079,164
American Airlines, Inc., Series 2000B, 6.000%, 6/01/35 (Alternative
Minimum Tax) (Mandatory put 12/01/08)
- ------------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 3.2%
11,000 Commonwealth of Pennsylvania, General Obligation Bonds, 10/09 at 101.00 AAA 12,247,620
2nd Series of 1999, 5.750%, 10/01/18 - MBIA Insured
5,000 Philadelphia, Pennsylvania, General Obligation Bonds, Series 2001, 3/11 at 100.00 AAA 5,296,350
5.250%, 9/15/18 - FSA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
PUERTO RICO - 0.3%
1,500 Puerto Rico Infrastructure Financing Authority, Special Obligation 10/10 at 101.00 AAA 1,604,865
Bonds, Series 2000A, 5.500%, 10/01/40
- ------------------------------------------------------------------------------------------------------------------------------------
RHODE ISLAND - 5.5%
4,590 Newport Housing Development Corporation, Rhode Island, No Opt. Call AAA 4,991,074
Multifamily Mortgage Revenue Refunding Bonds, Broadway-West
Broadway Apartments, FHA-Insured Mortgage Section 8 Assisted
Project, Series 1995A, 6.800%, 8/01/24
24,000 Rhode Island Health and Educational Building Corporation, Hospital 5/07 at 102.00 AAA 25,447,440
Financing Revenue Bonds, Lifespan Obligated Group Issue, Series 1996,
5.750%, 5/15/23 - MBIA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA - 4.0%
2,000 Berkeley County School District, South Carolina, Installment 12/13 at 100.00 A- 1,998,660
Purchase Revenue Securing Assets for Education, Series 2003,
5.250%, 12/01/24
4,405 Dorchester County School District No. 2, South Carolina, Installment 12/14 at 100.00 A 4,442,178
Purchase Revenue Bonds, Series 2004, 5.250%, 12/01/23
6,500 South Carolina JOBS Economic Development Authority, Revenue Bonds, 11/12 at 100.00 A- 6,411,665
Bon Secours Health System, Inc., Series 2002A, 5.625%, 11/15/30
10,000 Tobacco Settlement Revenue Management Authority, South Carolina, 5/11 at 101.00 BBB 9,121,200
Tobacco Settlement Asset-Backed Bonds, Series 2001B, 6.375%, 5/15/28
- ------------------------------------------------------------------------------------------------------------------------------------
TEXAS - 17.0%
3,135 Austin Housing Finance Corporation, Texas, Multifamily Housing 12/10 at 105.00 Aaa 3,501,482
Revenue Bonds, GNMA Collateralized Mortgage Loan - Santa
Maria Village Project, Series 2000A, 7.375%, 6/20/35 (Alternative
Minimum Tax)
13,270 Bexar County, Texas, Housing Finance Corporation, Multifamily Housing 5/16 at 100.00 N/R 12,669,134
Revenue Bonds, American Opportunity for Housing, Series 2001A,
7.500%, 5/01/33
3,000 Bexar County, Texas, Housing Finance Corporation, Multifamily Housing 5/16 at 100.00 N/R 2,833,860
Revenue Bonds, American Opportunity for Housing, Series 2001B,
8.250%, 5/01/33
17
Nuveen Investment Quality Municipal Fund, Inc. (NQM) (continued)
Portfolio of INVESTMENTS April 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
TEXAS (continued)
$ 18,710 Clear Creek Independent School District, Galveston and Harris Counties, 2/10 at 100.00 AAA $ 20,028,120
Texas, Unlimited Tax Schoolhouse and Refunding Bonds, Series 2000,
5.500%, 2/15/22
Dallas Housing Corporation, Texas, Refunding and Capital Program
Revenue Bonds, Section 8 Assisted Projects, Series 1990:
445 7.700%, 8/01/05 8/04 at 100.00 Baa1 449,450
2,000 7.850%, 8/01/13 8/04 at 100.00 Baa1 2,024,000
Harris County Hospital District, Texas, Revenue Refunding Bonds,
Series 1990:
4,555 7.400%, 2/15/10 - AMBAC Insured No Opt. Call AAA 5,077,777
6,800 7.400%, 2/15/10 - AMBAC Insured No Opt. Call AAA 7,811,364
5,000 Harris County, Texas, Hospital District, Refunding Revenue Bonds, 8/10 at 100.00 AAA 5,539,900
Series 2000, 6.000%, 2/15/14 - MBIA Insured
2,256 Heart of Texas Housing Finance Corporation, GNMA Collateralized 6/10 at 105.00 AAA 2,473,072
Mortgage Loan Revenue Bonds, Robinson Garden Project, Series 2000A,
7.375%, 6/20/35 (Alternative Minimum Tax)
16,630 Houston, Texas, Water and Sewer System, Junior Lien Revenue No Opt. Call AAA 6,186,194
Refunding Bonds, Series 1998A, 0.000%, 12/01/22 - FSA Insured
3,960 Stafford, Texas, Economic Development Corporation, Sales Tax Revenue 9/15 at 100.00 AAA 4,201,679
Bonds, Series 2000, 5.500%, 9/01/30 - FGIC Insured
6,850 Tarrant County Health Facilities Development Corporation, Texas, 12/10 at 105.00 Aaa 7,965,797
Mortgage Revenue Bonds, GNMA Collateralized Mortgage Loan -
Eastview Nursing Home, Ebony Lake Nursing Center, Ft. Stockton
Nursing Center, Lynnhaven Nursing Center and Mission Oaks Manor,
Series 2000A-1, 7.500%, 12/20/22
Texas Turnpike Authority, Frist Tier Revenue Bonds, Central Texas Turnpike
System, Series 2002A:
10,000 0.000%, 8/15/21 - AMBAC Insured No Opt. Call AAA 4,039,200
12,000 0.000%, 8/15/23 - AMBAC Insured No Opt. Call AAA 4,238,520
3,965 Tyler Health Facilities Development Corporation, Texas, Hospital 11/07 at 102.00 AAA 4,091,880
Revenue Bonds, East Texas Medical Center, Series 1997C,
5.600%, 11/01/27 - FSA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
VIRGINIA - 0.3%
1,960 City of Virginia Beach Development Authority, Virginia, Multifamily 10/14 at 102.00 N/R 1,827,622
Residential Rental Housing Revenue Bonds, The Hamptons and Hampton
Court Apartments Project, Series 1999, 7.500%, 10/01/39 (Alternative
Minimum Tax)
- ------------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 10.1%
11,345 Chelan County Public Utility District 1, Washington, Columbia No Opt. Call AAA 5,206,561
River-Rock Island Hydro-Electric System Revenue Refunding Bonds,
Series 1997A, 0.000%, 6/01/19 - MBIA Insured
17,075 Port of Seattle, Washington, Limited Tax General Obligation Bonds, 12/10 at 100.00 AA+ 17,858,401
Series 2000B, 5.750%, 12/01/25 (Alternative Minimum Tax)
5,000 Port of Seattle, Washington, Revenue Bonds, Series 2001B, 10/11 at 100.00 AAA 5,335,350
5.625%, 4/01/17 (Alternative Minimum Tax) - FGIC Insured
16,750 Port of Seattle, Washington, Revenue Bonds, Series 2000A, 8/10 at 100.00 AAA 17,648,303
5.625%, 2/01/30 - MBIA Insured
4,000 Seattle, Washington, Municipal Light and Power Revenue Bonds, 11/13 at 100.00 AAA 4,298,720
Series 2003, 5.250%, 11/01/16 - FSA Insured
5,630 State of Washington, Various Purpose General Obligation Bonds, 7/08 at 100.00 AAA 5,321,645
Series 1998A, 4.500%, 7/01/23 - FSA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
WEST VIRGINIA - 0.9%
5,000 Mason County, West Virginia, Pollution Control Revenue Bonds, 10/11 at 100.00 BBB 4,962,600
Series 2003L, Appalachian Power Company Project, 5.500%, 10/01/22
18
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 1.7%
$ 4,850 Wisconsin, General Obligation Refunding Bonds, Series 2001-1, No Opt. Call AAA $ 5,400,133
5.500%, 5/01/13 - MBIA Insured
Wisconsin Health and Educational Facilities Authority, Revenue Bonds,
Eagle River Memorial Hospital, Inc. Project, Series 2000:
1,000 5.750%, 8/15/20 - RAAI Insured 8/10 at 101.00 AA 1,057,570
3,000 5.875%, 8/15/30 - RAAI Insured 8/10 at 101.00 AA 3,106,080
- ------------------------------------------------------------------------------------------------------------------------------------
$ 845,251 Total Long-Term Investments (cost $799,008,950) - 152.6% 840,010,536
=============-----------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 2.1% 11,487,187
--------------------------------------------------------------------------------------------------------------------
Preferred Shares, at Liquidation Value - (54.7)% (301,000,000)
--------------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $ 550,497,723
====================================================================================================================
(1) All percentages shown in the Portfolio of Investments
are based on net assets applicable to Common shares.
* Optional Call Provisions: Dates (month and year) and
prices of the earliest optional call or redemption.
There may be other call provisions at varying prices at
later dates.
** Ratings: Using the higher of Standard & Poor's or
Moody's rating.
*** Securities are backed by an escrow or trust containing
sufficient U.S. Government or U.S. Government agency
securities which ensures the timely payment of
principal and interest. Such securities are normally
considered to be equivalent to AAA rated securities.
N/R Investment is not rated.
(WI) Security purchased on a when-issued basis.
# On December 9, 2002, UAL Corporation, the holding
company of United Air Lines, Inc. filed for federal
bankruptcy protection. The Adviser determined that it
was likely United would not remain current on their
interest payment obligations with respect to these
bonds and thus has stopped accruing interest.
See accompanying notes to financial statements.
19
Nuveen Select Quality Municipal Fund, Inc. (NQS)
Portfolio of
INVESTMENTS April 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
ALABAMA - 4.0%
$ 4,000 Jefferson County, Alabama, Sewer Revenue Capital Improvement 2/09 at 101.00 AAA $ 4,461,480
Warrants, Series 1999A, 5.375%, 2/01/36 (Pre-refunded to 2/01/09) -
FGIC Insured
10,000 The Health Care Authority of Lauderdale County and the City of 7/10 at 102.00 AAA 10,889,300
Florence, Alabama, Revenue Bonds, Coffee Health Group, Series 2000A,
6.000%, 7/01/29 - FSA Insured
5,155 Phenix City, Alabama, Industrial Development Board Environmental 5/12 at 100.00 BBB 5,348,416
Improvement Revenue Bonds, MeadWestvaco Project, 2002A,
6.350%, 5/15/35 (Alternative Minimum Tax)
- ------------------------------------------------------------------------------------------------------------------------------------
ALASKA - 0.4%
2,000 Kenai Peninsula Borough, Alaska, Central Kenai Peninsula Hospital 8/13 at 100.00 Aaa 2,022,740
Service Area Revenue Bonds, Series 2003, 5.000%, 8/01/23 -
FGIC Insured
- ------------------------------------------------------------------------------------------------------------------------------------
ARIZONA - 0.8%
3,750 Salt River Project Agricultural Improvement and Power District, 12/13 at 100.00 AAA 3,898,988
Arizona, Electric System Revenue Bonds, Series 2003,
5.000%, 12/01/18 - MBIA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
ARKANSAS - 1.1%
4,500 Little Rock, Arkansas, Hotel and Restaurant Gross Receipts Tax No Opt. Call A3 5,463,315
Refunding Bonds, Series 1993, 7.375%, 8/01/15
- ------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 0.1%
550 California Pollution Control Financing Authority, Pollution Control 4/11 at 102.00 AAA 580,828
Revenue Refunding Bonds, Pacific Gas and Electric Company,
Remarketed, Series 1996A, 5.350%, 12/01/16 (Alternative
Minimum Tax) - MBIA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
COLORADO - 8.5%
11,000 Colorado Department of Transportation, Revenue Anticipation 6/10 at 100.50 AAA 12,695,320
Bonds, Series 2000, 6.000%, 6/15/15 (Pre-refunded to
6/15/10) - AMBAC Insured
9,250 Colorado Health Facilities Authority, Remarketed Revenue Bonds, 7/06 at 102.00 A 10,041,708
Kaiser Permanente, Series 1994A, 5.350%, 11/01/16
16,995 Denver City and County, Colorado, Airport System Revenue Refunding 11/10 at 100.00 AAA 17,638,601
Bonds, Series 2000A, 5.625%, 11/15/23 (Alternative Minimum
Tax) - AMBAC Insured
12,355 Northwest Parkway Public Highway Authority, Colorado, Senior Lien 6/11 at 40.52 AAA 3,353,518
Revenue Bonds, Series 2001B, 0.000%, 6/15/26 - FSA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
CONNECTICUT - 1.7%
9,285 Connecticut Development Authority, Health Facility Revenue Refunding 8/04 at 102.00 N/R 8,951,204
Bonds, Alzheimer's Resource Center of Connecticut, Inc. Project,
Series 1994A, 7.250%, 8/15/21
- ------------------------------------------------------------------------------------------------------------------------------------
DISTRICT OF COLUMBIA - 3.1%
District of Columbia, General Obligation Bonds, Series 1998B:
5,000 6.000%, 6/01/19 - MBIA Insured No Opt. Call AAA 5,776,000
7,265 5.250%, 6/01/26 - FSA Insured 6/08 at 101.00 AAA 7,366,565
3,250 District of Columbia Tobacco Settlement Corporation, Tobacco 5/11 at 101.00 BBB 3,074,468
Settlement Asset-Backed Bonds, Series 2001, 6.250%, 5/15/24
- ------------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 4.1%
5,665 Florida Housing Finance Corporation, Housing Revenue Bonds, 7/10 at 100.00 AAA 5,858,120
Park at Palm Bay, Series 2000R-1, 5.875%, 1/01/33 (Alternative
Minimum Tax) - FSA Insured
1,710 State of Florida, Full Faith and Credit, State Board of Education, 6/05 at 101.00 AA+ 1,774,724
Public Education Capital Outlay Refunding Bonds, Series 1995E,
5.125%, 6/01/15
20
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
FLORIDA (continued)
$ 4,550 JEA, Florida, Water and Sewer System Revenue Bonds, Series 2002A, 4/07 at 100.00 AAA $ 4,679,311
5.375%, 10/01/30 - MBIA Insured
Lee County, Florida, Airport Revenue Bonds, Series 2000A:
3,075 5.875%, 10/01/18 (Alternative Minimum Tax) - FSA Insured 10/10 at 101.00 AAA 3,342,556
4,860 5.875%, 10/01/19 (Alternative Minimum Tax) - FSA Insured 10/10 at 101.00 AAA 5,280,633
- ------------------------------------------------------------------------------------------------------------------------------------
GEORGIA - 0.8%
3,750 City of Atlanta, Georgia, Airport General Revenue Bonds, 1/10 at 101.00 AAA 3,883,688
Series 2000B, 5.625%, 1/01/30 (Alternative Minimum Tax) -
FGIC Insured
- ------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 16.9%
5,000 Chicago, Illinois, General Obligation Project and Refunding Bonds, 1/06 at 102.00 AAA 5,028,700
Series 1996B, 5.125%, 1/01/25 - FGIC Insured
5,865 Chicago, Illinois, General Obligation Bonds, Neighborhoods 7/10 at 101.00 AAA 6,957,884
Alive 21 Program, Series 2000A, 6.500%, 1/01/35 (Pre-refunded
to 7/01/10) - FGIC Insured
Chicago School Reform Board of Trustees of the Chicago Board of
Education, Illinois, Unlimited Tax General Obligation Bonds,
Dedicated Tax Revenues, Series 1997:
4,000 5.750%, 12/01/20 (Pre-refunded to 12/01/07) - AMBAC Insured 12/07 at 102.00 AAA 4,533,400
10,300 5.750%, 12/01/27 - AMBAC Insured 12/07 at 102.00 AAA 11,501,392
7,555 Chicago School Reform Board of Trustees of the Chicago Board 12/07 at 102.00 AAA 7,649,362
of Education, Illinois, Unlimited Tax General Obligation Bonds,
Dedicated Tax Revenues, Series 1997A, 5.250%, 12/01/27 -
AMBAC Insured
3,415 Chicago School Reform Board of Trustees of the Chicago Board No Opt. Call AAA 1,035,530
of Education, Illinois, Unlimited Tax General Obligation Bonds,
Dedicated Tax Revenues, Series 1998B-1, 0.000%, 12/01/25 -
FGIC Insured
5,000 Chicago, Illinois, Special Facility Revenue Bonds, O'Hare International No Opt. Call N/R 2,243,750
Airport, United Air Lines, Inc. Project, Series 2001A, 6.375%, 11/01/35
(Alternative Minimum Tax) (Mandatory put 5/01/13)#
15,000 Chicago, Illinois, Second Lien Passenger Facility Charge Revenue 1/11 at 101.00 AAA 15,195,300
Bonds, O'Hare International Airport, Series 2001A, 5.375%, 1/01/32
(Alternative Minimum Tax) - AMBAC Insured
Chicago, Illinois, Second Lien Passenger Facility Charge Revenue
Bonds, O'Hare International Airport, Series 2001C:
3,770 5.100%, 1/01/26 (Alternative Minimum Tax) - AMBAC Insured 1/11 at 101.00 AAA 3,733,129
5,360 5.250%, 1/01/32 (Alternative Minimum Tax) - AMBAC Insured 1/11 at 101.00 AAA 5,378,063
2,000 Illinois Health Facilities Authority, Revenue Bonds, Midwest Care 2/11 at 102.00 Aaa 2,087,640
Center I, Inc., Series 2001, 5.950%, 2/20/36
Illinois Health Facilities Authority, Revenue Bonds, Condell Medical
Center, Series 2002:
10,000 5.750%, 5/15/22 5/12 at 100.00 A3 10,314,400
4,000 5.500%, 5/15/32 5/12 at 100.00 A3 3,972,160
4,500 Community Unit School District No. 300, Counties of Kane, McHenry, 12/11 at 100.00 AAA 4,872,870
Cook, and DeKalb, Illinois, General Obligation Bonds, Series 2000,
5.500%, 12/01/18 - MBIA Insured
2,920 Metropolitan Pier and Exposition Authority, Illinois, McCormick Place 6/12 at 101.00 AAA 2,909,984
Expansion Project Bonds, Series 2002A, 5.000%, 12/15/28 -
MBIA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
INDIANA - 3.8%
4,640 Avon Community School Building Corporation, Hendricks County, Indiana, 7/04 at 101.00 AAA 4,720,226
First Mortgage Bonds, Series 1994, 5.500%, 1/01/16 (Pre-refunded to
7/01/04) - MBIA Insured
4,550 Beacon Heights Housing Development Corporation, Indiana, Multifamily 6/04 at 100.00 AAA 4,556,643
Mortgage Revenue Refunding Bonds, FHA Mortgage-Section 8 Assisted
Project, Series 1991A, 7.625%, 2/01/21
2,040 Indiana Housing Finance Authority, Single Family Mortgage Revenue 1/10 at 100.00 Aaa 2,119,601
Bonds, Series 2000D-3, 5.950%, 7/01/26 (Alternative Minimum Tax)
7,660 Hospital Authority of St. Joseph County, Indiana, Health System 2/11 at 100.00 AAA 7,961,268
Revenue Bonds, Series 2000, Memorial Health System,
5.625%, 8/15/33 - AMBAC Insured
- ------------------------------------------------------------------------------------------------------------------------------------
KANSAS - 1.0%
5,000 Burlington, Kansas, Environmental Improvement Revenue Bonds, Kansas No Opt. Call A3 5,262,300
City Power and Light Company Project, Series 1998A, 4.750%, 9/01/15
(Mandatory put 10/01/07)
21
Nuveen Select Quality Municipal Fund, Inc. (NQS) (continued)
Portfolio of INVESTMENTS April 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
KENTUCKY - 0.6%
$ 2,945 Lakeland Wesley Village, Inc., Kentucky, Mortgage Revenue Refunding 5/04 at 100.00 N/R $ 2,970,828
Bonds, Lakeland Wesley Village I Elderly Section 8 Assisted
Project/FHA Insured Mortgage, Series 1991, 7.500%, 11/01/21
- ------------------------------------------------------------------------------------------------------------------------------------
MARYLAND - 1.7%
7,500 Maryland Health and Higher Educational Facilities Authority, Revenue 7/09 at 101.00 AA*** 8,631,975
Bonds, Johns Hopkins University, Series 1999, 6.000%, 7/01/39
(Pre-refunded to 7/01/09)
- ------------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 1.0%
3,545 Boston Housing Development Corporation, Massachusetts, Mortgage 7/04 at 102.00 AAA 3,571,375
Revenue Bonds, FHA-Insured Mortgage Loans-Section 8 Assisted
Projects, Series 1994A, 5.500%, 7/01/24 - MBIA Insured
1,595 Massachusetts Educational Financing Authority, Student Loan Revenue 12/09 at 101.00 AAA 1,673,506
Refunding Bonds, Series 2000G, 5.700%, 12/01/11 (Alternative
Minimum Tax) - MBIA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 8.7%
10,000 Detroit, Michigan, Sewerage Disposal System Revenue Bonds, 1/10 at 101.00 AAA 11,398,400
Series 1999A, 5.750%, 7/01/26 (Pre-refunded to 1/01/10) -
FGIC Insured
3,625 Ingham, Livingston and Shiawassee Counties, Fowlerville Community 5/07 at 100.00 AAA 3,975,574
Schools, Michigan, School Building and Site Bonds, Series 1996,
5.600%, 5/01/26 (Pre-refunded to 5/01/07) - MBIA Insured
3,275 Michigan State Hospital Finance Authority, Revenue Refunding Bonds, 8/04 at 101.00 Ba3 2,745,498
Detroit Medical Center Obligated Group, Series 1993A,
6.500%, 8/15/18
6,525 Michigan State Hospital Finance Authority, Revenue Bonds, Ascension 11/09 at 101.00 AAA 7,461,337
Health Credit Group, Series 1999A, 5.750%, 11/15/16 (Pre-refunded
to 11/15/09) - MBIA Insured
6,000 Michigan Strategic Fund, Collateralized Limited Obligation Revenue 9/11 at 100.00 A- 6,065,100
Refunding Pollution Control Bonds, Fixed Rate Conversion, Detroit
Edison Company, Series 1999C, 5.650%, 9/01/29 (Alternative Minimum Tax)
7,500 Michigan Strategic Fund, Limited Obligation Revenue Refunding Bonds, 12/12 at 100.00 AAA 7,658,325
Detroit Edison Company, Series 2002C, 5.450%, 12/15/32 (Alternative
Minimum Tax) - XLCA Insured
5,900 Royal Oak, Michigan, Hospital Finance Authority, Hospital Revenue 11/11 at 100.00 AAA 5,963,897
Bonds, William Beaumont Hospital, Series 2001M, 5.250%, 11/15/35 -
MBIA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
MINNESOTA - 2.4%
230 Housing and Redevelopment Authorities of the Counties of Chisago, 9/04 at 102.85 AAA 236,626
Southcentral Minnesota, and Stearns, Single Family Mortgage
Revenue Bonds, Fannie Mae Mortgage-Backed Securities Program,
Series 1994B, 7.050%, 9/01/27 (Alternative Minimum Tax)
7,000 Minneapolis-St. Paul Metropolitan Airports Commission, Minnesota, 1/11 at 100.00 AAA 7,099,680
Airport Revenue Bonds, Series 2001A, 5.250%, 1/01/32 -
FGIC Insured
4,815 Minnesota Housing Finance Agency, Single Family Mortgage Bonds, 7/09 at 100.00 AA+ 4,924,349
Series 2000C, 6.100%, 7/01/30 (Alternative Minimum Tax)
- ------------------------------------------------------------------------------------------------------------------------------------
MISSOURI - 0.3%
1,500 Missouri-Illinois Metropolitan District Bi-State Development Agency, 10/13 at 100.00 AAA 1,504,185
Mass Transit Sales Tax Appropriation Bonds, Metrolink Cross County
Extension Project, Series 2002B, 5.000%, 10/01/32 - FSA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
NEBRASKA - 1.5%
7,395 Nebraska Investment Finance Authority, Single Family Housing Revenue 3/05 at 101.50 AAA 7,496,459
Bonds, Series 1995A, 6.800%, 3/01/35 (Alternative Minimum Tax)
- ------------------------------------------------------------------------------------------------------------------------------------
NEVADA - 8.6%
4,885 Clark County, Nevada, General Obligation Limited Tax Bond Bank Bonds, 7/10 at 100.00 AA 5,307,113
Series 2000, 5.500%, 7/01/18
7,500 Clark County, Nevada, Airport System Subordinate Lien Revenue Bonds, 7/10 at 101.00 AAA 8,689,725
Series 1999A, 6.000%, 7/01/29 (Pre-refunded to 7/01/10) -
MBIA Insured
10,000 Clark County School District, Nevada, General Obligation Limited Tax 6/06 at 101.00 AAA 10,951,500
School Improvement Bonds, Series 1996, 6.000%, 6/15/15
(Pre-refunded to 6/15/06) - FGIC Insured
1,950 Director of Nevada State Department of Business and Industry, Revenue 1/10 at 102.00 AAA 2,049,645
Bonds, Las Vegas Monorail Project, First Tier Series 2000,
5.625%, 1/01/32 - AMBAC Insured
22
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
NEVADA (continued)
$ 10,000 Truckee Meadows Water Authority, Nevada, Water Revenue Bonds, 7/11 at 100.00 AAA $ 10,166,400
Series 2001A, 5.250%, 7/01/34 - FSA Insured
6,000 Washoe County, Nevada, Reno-Sparks Convention & Visitors 1/10 at 100.00 AAA 6,981,960
Authority, General Obligation Limited Tax and Revenue Bonds,
Series 1999A, 6.375%, 7/01/23 (Pre-refunded to 1/01/10) - FSA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY - 6.4%
2,400 New Jersey Health Care Facilities Financing Authority, Revenue 7/10 at 101.00 BBB- 2,627,616
Bonds, Trinitas Hospital Obligated Group, Series 2000,
7.500%, 7/01/30
3,000 New Jersey Housing and Mortgage Finance Agency, Multifamily Housing 11/07 at 101.50 AAA 3,050,700
Revenue Bonds, Series 1997A, 5.550%, 5/01/27 (Alternative
Minimum Tax) - AMBAC Insured
17,670 New Jersey Housing and Mortgage Finance Agency, Home Buyer Revenue 10/10 at 100.00 AAA 18,408,429
Bonds, Series 2000CC, 5.850%, 10/01/25 (Alternative Minimum
Tax) - MBIA Insured
9,645 Tobacco Settlement Financing Corporation, New Jersey, Tobacco 6/12 at 100.00 BBB 8,619,544
Settlement Asset-Backed Bonds, Series 2002, 5.750%, 6/01/32
- ------------------------------------------------------------------------------------------------------------------------------------
NEW MEXICO - 4.5%
8,500 Farmington, New Mexico, Pollution Control Revenue Refunding 4/06 at 101.00 BBB 8,531,960
Bonds, Public Service Company of New Mexico - San Juan
Project, Series 1997B, 5.800%, 4/01/22
New Mexico Hospital Equipment Loan Council, Hospital Revenue
Bonds, Presbyterian Healthcare Services, Series 2001A:
8,000 5.500%, 8/01/25 8/11 at 101.00 Aa3 8,139,920
6,200 5.500%, 8/01/30 8/11 at 101.00 Aa3 6,275,268
- ------------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 14.9%
7,000 Metropolitan Transportation Authority, New York, State Service 7/12 at 100.00 AA- 7,013,370
Contract Refunding Bonds, Series 2002A, 5.125%, 1/01/29
New York City, New York, General Obligation Bonds, Fiscal
Series 1997G:
1,410 6.000%, 10/15/26 (Pre-refunded to 10/15/07) 10/07 at 101.00 Aaa 1,593,779
7,880 6.000%, 10/15/26 10/07 at 101.00 A 8,409,378
5,000 New York City Municipal Water Finance Authority, New York, 6/09 at 101.00 AAA 5,008,850
Water and Sewer System Revenue Bonds, Fiscal Series 1999B,
5.000%, 6/15/29 - FSA Insured
6,000 New York City Municipal Water Finance Authority, New York, 6/09 at 101.00 AAA 6,216,360
Water and Sewer System Revenue Bonds, Fiscal Series 2000A,
5.500%, 6/15/32 - FGIC Insured
2,255 New York City Transit Authority, New York, Metropolitan 1/10 at 101.00 AAA 2,479,350
Transportation Authority, Triborough Bridge and Tunnel Authority,
Certificates of Participation, Series 2000A, 5.750%, 1/01/20 -
AMBAC Insured
9,750 New York City Transitional Finance Authority, New York, Future Tax 5/10 at 101.00 AA+*** 11,296,545
Secured Bonds, Fiscal Series 2000B, 6.000%, 11/15/29 (Pre-refunded
to 5/15/10)
10,000 Dormitory Authority of the State of New York, New York City, Court 5/10 at 101.00 A 10,551,300
Facilities Lease Revenue Bonds, Series 1999, 6.000%, 5/15/39
5,650 Dormitory Authority of the State of New York, Improvement Revenue 8/09 at 101.00 AAA 5,827,241
Bonds, Mental Health Services Facilities, Series 1999D,
5.250%, 8/15/24 - FSA Insured
5,400 State of New York Mortgage Agency, Homeowner Mortgage Revenue 3/09 at 101.00 Aa1 5,462,532
Bonds, Series 79, 5.300%, 4/01/29 (Alternative Minimum Tax)
7,545 New York State Urban Development Corporation, Corporate Purpose 7/06 at 102.00 AAA 7,755,355
Senior Lien Bonds, Series 1996, 5.500%, 7/01/26
5,000 New York State Urban Development Corporation, Service Contract No Opt. Call AA- 5,499,450
Revenue Bonds, Correctional and Youth Facilities, Series 2002A,
5.500%, 1/01/17 (Mandatory put 1/01/11)
- ------------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA - 3.6%
18,555 North Carolina Eastern Municipal Power Agency, Power System Revenue 7/04 at 100.00 AAA 18,605,655
Refunding Bonds, Series 1993B, 5.500%, 1/01/17 - FGIC Insured
23
Nuveen Select Quality Municipal Fund, Inc. (NQS) (continued)
Portfolio of INVESTMENTS April 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
NORTH DAKOTA - 2.1%
$ 10,000 Grand Forks, North Dakota, Sales Tax Revenue Bonds, Aurora Project, 12/07 at 100.00 AAA $ 10,560,400
Series 1997A, 5.625%, 12/15/29 - MBIA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
OHIO - 2.3%
Montgomery County, Ohio, Hospital Facilities Revenue Bonds, Kettering
Medical Center, Series 1999:
5,000 6.750%, 4/01/18 4/10 at 101.00 A3 5,508,950
5,000 6.750%, 4/01/22 4/10 at 101.00 A3 5,441,800
785 Ohio Housing Finance Agency, GNMA Mortgage-Backed Securities 8/10 at 100.00 Aaa 818,543
Program, Residential Mortgage Revenue Bonds, Series 2000C,
6.050%, 3/01/32 (Alternative Minimum Tax)
- ------------------------------------------------------------------------------------------------------------------------------------
OKLAHOMA - 1.8%
10,000 Tulsa Municipal Airport Trust, Oklahoma, Revenue Refunding Bonds, 12/08 at 100.00 B- 9,197,900
American Airlines, Inc., Series 2001B, 5.650%, 12/01/35 (Alternative
Minimum Tax) (Mandatory put 12/01/08)
- ------------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 0.0%
95 Delaware River Port Authority, New Jersey and Pennsylvania, Revenue 1/10 at 100.00 AAA 105,283
Bonds, Series 1999, 5.750%, 1/01/15 - FSA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
PUERTO RICO - 0.4%
3,000 Puerto Rico Public Buildings Authority, Guaranteed Government 7/17 at 100.00 AAA 2,020,500
Facilities Revenue Refunding Bonds, Series 2002D, 0.000%, 7/01/31 -
AMBAC Insured
- ------------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA - 7.0%
10,000 Greenville County School District, South Carolina, Installment 12/12 at 101.00 AA- 10,995,000
Purchase Revenue Bonds, Series 2002, 6.000%, 12/01/21
3,750 Greenwood County, South Carolina, Hospital Revenue Bonds, 10/11 at 100.00 A 3,791,888
Self Memorial Hospital, Series 2001, 5.500%, 10/01/31
2,500 Lexington County Health Service District, South Carolina, Hospital 11/13 at 100.00 A 2,599,225
Revenue Refunding and Improvement Bonds, Series 2003,
5.750%, 11/01/28
1,870 South Carolina Housing Finance and Development Authority, Mortgage 6/10 at 100.00 Aaa 1,882,753
Revenue Bonds, Series 2000A-2, 6.000%, 7/01/20 (Alternative
Minimum Tax) - FSA Insured
Tobacco Settlement Revenue Management Authority, South Carolina,
Tobacco Settlement Asset-Backed Bonds, Series 2001B:
11,530 6.000%, 5/15/22 5/11 at 101.00 BBB 10,663,405
4,000 6.375%, 5/15/28 5/11 at 101.00 BBB 3,648,480
3,000 6.375%, 5/15/30 No Opt. Call BBB 2,712,210
- ------------------------------------------------------------------------------------------------------------------------------------
SOUTH DAKOTA - 2.1%
2,500 South Dakota Education Loans, Inc., Revenue Bonds, Subordinate 6/08 at 102.00 A2 2,580,400
Series 1998-1K, 5.600%, 6/01/20 (Alternative Minimum Tax)
6,445 Sioux Falls, South Dakota, Industrial Revenue Refunding Bonds, 10/14 at 100.00 AAA 8,309,281
Great Plains Hotel Corporation Project, Series 1989,
8.500%, 11/01/16 (Alternative Minimum Tax) (Pre-refunded
to 10/15/14)
- ------------------------------------------------------------------------------------------------------------------------------------
TENNESSEE - 6.6%
5,000 Knox County Health, Educational, and Housing Facilities Board, 4/12 at 101.00 Baa2 5,102,450
Tennessee, Hospital Facilities Revenue Bonds, Baptist Health
System of East Tennessee, Inc., Series 2002, 6.500%, 4/15/31
20,060 Knox County Health, Educational, and Housing Facility Board, 1/13 at 80.49 AAA 10,531,701
Tennessee, Hospital Revenue Refunding Bonds, Covenant Health,
Series 2002A, 0.000%, 1/01/17 - FSA Insured
12,500 Metropolitan Government Nashville-Davidson County Health and 11/09 at 101.00 AAA 14,345,250
Educational Facilities Board, Tennessee, Revenue Bonds, Ascension
Health Credit Group, Series 1999A, 5.875%, 11/15/28 (Pre-refunded
to 11/15/09) - AMBAC Insured
Tennessee Housing Development Agency, Homeownership Program Bonds,
Issue 2000-1:
1,785 5.750%, 7/01/10 (Alternative Minimum Tax) No Opt. Call AA 1,856,811
2,145 6.000%, 7/01/13 (Alternative Minimum Tax) - MBIA Insured 7/10 at 101.00 AAA 2,218,037
24
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
TEXAS - 14.7%
$ 10,000 Brazos River Authority, Texas, Pollution Control Revenue Refunding No Opt. Call BBB $ 10,573,300
Bonds, TXU Electric Company Project, Series 2001C, 5.750%, 5/01/36
(Alternative Minimum Tax) (Mandatory put 11/01/11)
5,110 Brazos River Authority, Texas, Pollution Control Revenue Refunding 4/13 at 101.00 BBB 5,839,759
Bonds, TXU Electric Company Project, Series 1999C, 7.700%, 3/01/32
(Alternative Minimum Tax)
4,500 Brazos River Authority, Texas, Revenue Bonds, Reliant Energy, Inc., 12/08 at 102.00 BBB- 4,896,990
Series 1999B, 7.750%, 12/01/18
5,500 Dallas Area Rapid Transit, Texas, Senior Lien Sales Tax Revenue 12/11 at 100.00 AAA 5,463,095
Bonds, Series 2001A, 5.000%, 12/01/31 - AMBAC Insured
1,550 Gulf Coast Waste Disposal Authority, Texas, Waste Disposal Revenue 4/11 at 101.00 BBB 1,640,675
Bonds, Valero Energy Corporation Project, Series 2001,
6.650%, 4/01/32 (Alternative Minimum Tax)
4,590 Houston, Texas, Airport System Subordinate Lien Revenue Bonds, Series 7/10 at 100.00 AAA 4,692,908
2000A, 5.625%, 7/01/30 (Alternative Minimum Tax) - FSA Insured
5,000 Houston Community College, Texas, Limited Tax General Obligation 2/13 at 100.00 AAA 5,001,400
Bonds, Series 2003, 5.000%, 2/15/26 - AMBAC Insured
3,500 Houston, Texas, Water and Sewer System, Junior Lien Revenue 12/12 at 100.00 AAA 3,482,010
Refunding Bonds, Series 2002A, 5.000%, 12/01/30 - FSA Insured
5,000 Katy Independent School District, Harris Fort Bend, and Waller 2/12 at 100.00 AAA 5,000,600
Counties, Texas, General Obligation Bonds, Series 2002A,
5.000%, 2/15/27
9,000 Matagorda County Navigation District 1, Texas, Collateralized Revenue No Opt. Call AAA 8,965,170
Refunding Bonds, Houston Light and Power Company Project,
Series 1997, 5.125%, 11/01/28 (Alternative Minimum Tax) -
AMBAC Insured
1,355 Panhandle Regional Housing Finance Corporation, Texas, GNMA 5/04 at 100.00 AAA 1,361,003
Mortgage-Backed Securities Program, Single Family Mortgage Revenue
Bonds, Series 1991A, 7.500%, 5/01/24 (Alternative Minimum Tax)
4,700 Sam Rayburn Municipal Power Agency, Texas, Power Supply System 10/12 at 100.00 Baa2 4,932,274
Revenue Refunding Bonds, Series 2002A, 6.000%, 10/01/21
5,500 Spring Independent School District, Texas, Harris County, Texas, 8/11 at 100.00 AAA 5,501,265
Unlimited Tax Schoolhouse Bonds, Series 2001, 5.000%, 8/15/26
4,520 State of Texas, General Obligation Bonds, Water Financial Assistance, 8/09 at 100.00 Aa1 4,668,166
State Participation Program, Series 1999C, 5.500%, 8/01/35
4,270 Winter Garden Housing Finance Corporation, Texas, GNMA/FNMA 10/04 at 103.00 AAA 4,329,054
Mortgage-Backed Securities Program, Single Family Mortgage
Revenue Bonds, Series 1994, 6.950%, 10/01/27 (Alternative
Minimum Tax)
- ------------------------------------------------------------------------------------------------------------------------------------
UTAH - 3.9%
3,565 Utah Associated Municipal Power System, Revenue Bonds, Payson 4/13 at 100.00 AAA 3,578,868
Power Project, Series 2003A, 5.000%, 4/01/24 - FSA Insured
16,050 Utah County, Utah, Hospital Revenue Bonds, IHC Health Services, Inc., 8/07 at 101.00 AAA 16,336,493
Series 1997, 5.250%, 8/15/26 - MBIA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
VERMONT - 2.3%
Vermont Educational and Health Buildings Financing Agency,
Revenue Bonds, Fletcher Allen Health Care Project, Series 2000A:
3,720 6.125%, 12/01/15 - AMBAC Insured 12/10 at 101.00 AAA 4,211,710
4,265 6.250%, 12/01/16 - AMBAC Insured 12/10 at 101.00 AAA 4,875,364
2,430 Vermont Housing Finance Agency, Single Family Housing Bonds, 11/09 at 100.00 AAA 2,505,014
Series 2000-13A, 5.950%, 11/01/25 (Alternative Minimum
Tax) - FSA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 3.3%
8,810 Chelan County Public Utility District 1, Washington, Hydro 7/11 at 101.00 AAA 9,120,905
Consolidated System Revenue Bonds, Series 2001A, 5.600%, 1/01/36
(Alternative Minimum Tax) - MBIA Insured
7,225 Port of Seattle, Washington, Special Facility Revenue Bonds, 3/10 at 101.00 AAA 7,904,943
Terminal 18, Series 1999B, 6.000%, 9/01/20 (Alternative Minimum
Tax) - MBIA Insured
25
Nuveen Select Quality Municipal Fund, Inc. (NQS) (continued)
Portfolio of INVESTMENTS April 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
WEST VIRGINIA - 1.0%
$ 5,000 Mason County, West Virginia, Pollution Control Revenue Bonds, 10/11 at 100.00 BBB $ 4,962,600
Appalachian Power Company Project, Series 2003L, 5.500%, 10/01/22
- ------------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 3.2%
10,000 Badger Tobacco Asset Securitization Corporation, Wisconsin, Tobacco 6/12 at 100.00 BBB 9,300,900
Settlement Asset-Backed Bonds, Series 2002, 6.125%, 6/01/27
5,000 Madison, Wisconsin, Industrial Development Revenue Refunding Bonds, 4/12 at 100.00 AA- 5,196,500
Madison Gas and Electric Company Projects, Series 2002A,
5.875%, 10/01/34 (Alternative Minimum Tax)
2,100 Wisconsin Health and Educational Facilities Authority, Revenue Bonds, 8/13 at 100.00 A 2,059,234
Wheaton Franciscan Services, Inc., Series 2003A, 5.125%, 8/15/33
- ------------------------------------------------------------------------------------------------------------------------------------
$ 770,310 Total Long-Term Investments (cost $740,206,209) - 151.2% 778,601,611
=============-----------------------------------------------------------------------------------------------------------------------
SHORT-TERM INVESTMENTS - 0.5%
2,500 Alachua County Health Facilities Authority, Florida, Continuing Care VMIG-1 2,500,000
Retirement Community Revenue Bonds, Oak Hammock Project, Variable
Rate Demand Obligations, Series 2002A, 1.100%, 10/01/32+
- ------------------------------------------------------------------------------------------------------------------------------------
$ 2,500 Total Short-Term Investments (cost $2,500,000) 2,500,000
=============-----------------------------------------------------------------------------------------------------------------------
Total Investments (cost $742,706,209) - 151.7% 781,101,611
--------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 2.5% 12,914,163
--------------------------------------------------------------------------------------------------------------------
Preferred Shares, at Liquidation Value - (54.2)% (279,000,000)
--------------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $ 515,015,774
====================================================================================================================
(1) All percentages shown in the Portfolio of Investments
are based on net assets applicable to Common shares.
* Optional Call Provisions: Dates (month and year) and
prices of the earliest optional call or redemption.
There may be other call provisions at varying prices at
later dates.
** Ratings: Using the higher of Standard & Poor's or
Moody's rating.
*** Securities are backed by an escrow or trust containing
sufficient U.S. Government or U.S. Government agency
securities which ensures the timely payment of
principal and interest. Such securities are normally
considered to be equivalent to AAA rated securities.
N/R Investment is not rated.
# On December 9, 2002, UAL Corporation, the holding
company of United Air Lines, Inc. filed for federal
bankruptcy protection. The Adviser determined that it
was likely United would not remain current on their
interest payment obligations with respect to these
bonds and thus has stopped accruing interest.
+ Security has a maturity of more than one year, but has
variable rate and demand features which qualify it as a
short-term security. The rate disclosed is that
currently in effect. This rate changes periodically
based on market conditions or a specified market index.
See accompanying notes to financial statements.
26
Nuveen Quality Income Municipal Fund, Inc. (NQU)
Portfolio of
INVESTMENTS April 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
ALABAMA - 3.4%
$ 3,500 Bessemer Governmental Utility Services Corporation, Alabama, 6/08 at 102.00 AAA $ 3,569,265
Water Supply Revenue Bonds, Series 1998, 5.200%, 6/01/24 -
MBIA Insured
Jefferson County, Alabama, Sewer Revenue Capitol Improvement
Warrants, Series 2001A:
7,475 5.500%, 2/01/31 (Pre-refunded to 2/01/11) - FGIC Insured 2/11 at 101.00 AAA 8,439,350
6,340 5.500%, 2/01/31 (Pre-refunded to 2/01/11) - FGIC Insured 2/11 at 101.00 AAA 7,121,278
6,970 5.500%, 2/01/31 (Pre-refunded to 2/01/11) - FGIC Insured 2/11 at 101.00 AAA 7,869,200
- ------------------------------------------------------------------------------------------------------------------------------------
ALASKA - 0.8%
6,360 Alaska Housing Finance Corporation, Governmental Purpose Bonds, 12/05 at 102.00 AAA 6,590,995
Series 1995A, 5.875%, 12/01/30 - MBIA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
ARIZONA - 2.4%
5,350 Arizona Tourism and Sports Authority, Tax Revenue Bonds, Multipurpose 7/13 at 100.00 Aaa 5,371,507
Stadium Facility Project, Series 2003A, 5.000%, 7/01/28 -
MBIA Insured
5,000 The Industrial Development Authority of the County of Maricopa, 9/10 at 103.00 AAA 5,034,300
Arizona, Multifamily Housing Revenue Bonds, Bay Club at Mesa Cove
Project, Series 2000A, 5.800%, 9/01/35 - MBIA Insured
1,000 Mesa, Arizona, Utility System Revenue Refunding Bonds, Series 2002, No Opt. Call AAA 1,098,410
5.250%, 7/01/17 - FGIC Insured
8,010 Salt River Project Agricultural Improvement and Power District, 1/12 at 101.00 AA 8,140,002
Arizona, Electric System Revenue Refunding Bonds, Salt River Project,
Series 2002A, 5.125%, 1/01/27
- ------------------------------------------------------------------------------------------------------------------------------------
ARKANSAS - 0.4%
2,935 Arkansas Development Finance Authority, FNMA/GNMA Mortgage-Backed 7/05 at 102.00 AAA 3,025,104
Securities Program, Single Family Mortgage Bonds, Series 1995B,
6.700%, 7/01/27 (Alternative Minimum Tax)
- ------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 7.3%
5,000 California State, General Obligation Veterans Welfare Bonds, 6/04 at 102.00 A 5,007,900
Series 1997BH, 5.600%, 12/01/32 (Alternative Minimum Tax)
10,000 California, Various Purpose General Obligation Bonds, Series 1999, 4/09 at 101.00 AAA 9,502,200
4.750%, 4/01/29 - MBIA Insured
14,600 California, General Obligation Bonds, Series 2003, 5.250%, 2/01/28 8/13 at 100.00 Baa1 14,440,422
1,000 California Department of Water Resources, Power Supply Revenue Bonds, 5/12 at 101.00 A3 1,084,270
Series 2002A, 5.750%, 5/01/17
17,000 California State Public Works Board, Lease Revenue Bonds, Department 11/04 at 102.00 Aaa 17,834,190
of Corrections, Soledad II State Prison, Series 1994A,
7.000%, 11/01/19 (Pre-refunded to 11/01/04)
8,500 Foothill-Eastern Transportation Corridor Agency, California, Toll 1/10 at 100.00 AAA 8,413,810
Road Revenue Bonds, Series 1995A, 5.000%, 1/01/35 - MBIA Insured
2,500 Los Angeles Community Redevelopment Agency, California, Tax 7/04 at 100.00 BBB*** 2,515,200
Allocation Refunding Bonds, Central Business District Redevelopment
Project, Series 1987G, 6.750%, 7/01/10
- ------------------------------------------------------------------------------------------------------------------------------------
COLORADO - 4.7%
10,000 Denver City and County, Colorado, Airport System Revenue Refunding 11/10 at 100.00 AAA 10,378,700
Bonds, Series 2000A, 5.625%, 11/15/23 (Alternative Minimum Tax) -
AMBAC Insured
12,000 E-470 Public Highway Authority, Colorado, Senior Revenue Bonds, 9/07 at 101.00 AAA 11,783,280
Series 1997A, 4.750%, 9/01/23 - MBIA Insured
14,400 E-470 Public Highway Authority, Colorado, Senior Revenue Bonds, 9/10 at 65.63 AAA 6,965,568
Series 2000B, 0.000%, 9/01/17 - MBIA Insured
8,740 Poudre School District R-1, Larimer County, Colorado, General 12/10 at 100.00 AAA 9,118,180
Obligation Bonds, Series 2000, 5.125%, 12/15/19 - FGIC Insured
27
Nuveen Quality Income Municipal Fund, Inc. (NQU) (continued)
Portfolio of INVESTMENTS April 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
CONNECTICUT - 0.6%
$ 4,395 Bridgeport, Connecticut, General Obligation Bonds, Series 2001C, 8/11 at 100.00 AAA $ 4,731,613
5.375%, 8/15/17 - FGIC Insured
- ------------------------------------------------------------------------------------------------------------------------------------
DISTRICT OF COLUMBIA - 0.7%
5,000 Washington Convention Center Authority, District of Columbia, Senior 10/08 at 101.00 AAA 5,270,250
Lien Dedicated Tax Revenue Bonds, Series 1998, 5.250%, 10/01/17 -
AMBAC Insured
- ------------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 1.7%
2,250 Dade County, Florida, Water and Sewer System Revenue Bonds, 10/07 at 102.00 AAA 2,430,518
Series 1997, 5.375%, 10/01/16 - FGIC Insured
5,300 Escambia County Health Facilities Authority, Florida, Revenue Bonds, No Opt. Call AA 5,660,506
Ascension Health Credit Group, Series 2003A, 5.250%, 11/15/14
5,000 Orange County Health Facility Authority, Florida, Hospital Revenue 11/10 at 101.00 A 5,384,950
Bonds, Adventist Health System/Sunbelt Obligated Group, Series 2000,
6.500%, 11/15/30
- ------------------------------------------------------------------------------------------------------------------------------------
HAWAII - 1.4%
10,000 Hawaii Department of Transportation, Airport System Revenue 7/10 at 101.00 AAA 10,880,200
Refunding Bonds, Series 2000B, 5.750%, 7/01/21 - FGIC Insured
- ------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 13.2%
6,450 Chicago, Illinois, General Obligation Project and Refunding Bonds, 7/12 at 100.00 AAA 6,670,268
Series 2002A, 5.000%, 1/01/18 - AMBAC Insured
32,670 Chicago, Illinois, General Obligation Bonds, City Colleges of Chicago No Opt. Call AAA 6,806,795
Capital Improvement Project, Series 1999, 0.000%, 1/01/32 -
FGIC Insured
5,000 Chicago, Illinois, General Obligation Bonds, Neighborhoods Alive 21 7/10 at 101.00 AAA 5,495,600
Program, Series 2000A, 6.000%, 1/01/28 - FGIC Insured
5,045 Chicago, Illinois, General Obligation Refunding Bonds, Series 2000D, 1/10 at 101.00 AAA 5,403,145
5.750%, 1/01/30 - FGIC Insured
Chicago Board of Education, Illinois, Unlimited Tax General
Obligation Bonds, Dedicated Revenues, Series 2001C:
1,000 5.500%, 12/01/18 - FSA Insured 12/11 at 100.00 AAA 1,082,860
3,690 5.000%, 12/01/19 - FSA Insured 12/11 at 100.00 AAA 3,812,102
3,000 5.000%, 12/01/20 - FSA Insured 12/11 at 100.00 AAA 3,083,730
2,000 5.000%, 12/01/21 - FSA Insured 12/11 at 100.00 AAA 2,048,100
Chicago School Reform Board of Trustees of the Chicago Board of
Education, Illinois, Unlimited Tax General Obligation Bonds,
Dedicated Tax Revenues, Series 1998B-1:
9,400 0.000%, 12/01/14 - FGIC Insured No Opt. Call AAA 5,760,320
4,400 0.000%, 12/01/15 - FGIC Insured No Opt. Call AAA 2,532,244
12,750 Chicago, Illinois, Revenue Bonds, Midway Airport, Series 1998A, 1/09 at 101.00 AAA 12,497,933
5.125%, 1/01/35 (Alternative Minimum Tax) - MBIA Insured
Chicago, Illinois, Second Lien Wastewater Transmission Revenue
Bonds, Series 2000:
8,000 5.750%, 1/01/25 - MBIA Insured 1/10 at 101.00 AAA 8,571,600
7,750 6.000%, 1/01/30 (Pre-refunded to 1/01/10) - MBIA Insured 1/10 at 101.00 AAA 8,933,503
10,000 Illinois Health Facilities Authority, Revenue Bonds, Iowa Health 2/10 at 101.00 AAA 10,652,300
System, Series 2000, 5.875%, 2/15/30 - AMBAC Insured
2,545 Illinois Housing Development Authority, Section 8 Elderly Housing 9/04 at 100.00 A 2,556,173
Revenue Bonds, Garden House of Maywood Development,
Series 1992, 7.000%, 9/01/18
Illinois Educational Facilities Authority, Student Housing
Revenue Bonds, Educational Advancement Foundation Fund,
University Center Project, Series 2002:
3,000 6.625%, 5/01/17 5/12 at 101.00 Baa2 3,221,850
1,800 6.000%, 5/01/22 5/12 at 101.00 Baa2 1,820,574
5,000 Illinois, General Obligation Bonds, Illinois FIRST Program, 12/10 at 100.00 AAA 5,364,200
Series 2000, 5.450%, 12/01/21 - MBIA Insured
3,320 Joliet Regional Port District, Illinois, Airport Facilities Revenue 7/07 at 103.00 N/R 2,951,380
Bonds, Lewis University Airport, Series 1997A, 7.250%, 7/01/18
(Alternative Minimum Tax)
28
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS (continued)
$ 4,500 Community Unit School District No. 300, Counties of Kane, McHenry, 12/11 at 100.00 AAA $ 4,872,870
Cook, and DeKalb, Illinois, General Obligation Bonds, Series 2000,
5.500%, 12/01/18 - MBIA Insured
2,270 Metropolitan Pier and Exposition Authority, Illinois, McCormick Place 6/12 at 101.00 AAA 2,262,214
Expansion Project Bonds, Series 2002A, 5.000%, 12/15/28 -
MBIA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
INDIANA - 1.8%
3,240 Indiana Health Facility Financing Authority, Hospital Revenue Bonds, 7/12 at 100.00 AAA 3,483,227
Marion General Hospital Project, Series 2002, 5.625%, 7/01/19 -
AMBAC Insured
5,125 Petersburg, Indiana, Pollution Control Revenue Refunding Bonds, 12/04 at 102.00 A 5,332,409
Indianapolis Power and Light Company, Series 1995A,
6.625%, 12/01/24 - ACA Insured
5,730 St. Joseph County Hospital Authority, Indiana, Revenue Bonds, 2/08 at 101.00 AAA 5,337,094
Memorial Health System, Series 1998A, 4.625%, 8/15/28 -
MBIA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
IOWA - 1.1%
8,585 Iowa Finance Authority, Hospital Facilities Revenue Bonds, Iowa 7/08 at 102.00 AAA 8,624,920
Health System, Series 1998A, 5.125%, 1/01/28 - MBIA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
KANSAS - 0.6%
4,585 Unified School District No. 232 of Johnson County, Kansas, General 9/10 at 100.00 Aaa 4,641,029
Obligation Bonds, Series 2000, 4.750%, 9/01/19 - FSA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
KENTUCKY - 0.3%
2,500 Commonwealth of Kentucky, State Property and Buildings Commission, 2/12 at 100.00 AAA 2,780,025
Revenue Refunding Bonds, Project No. 74, Series 2002,
5.375%, 2/01/18 (Pre-refunded to 2/01/12) - FSA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
LOUISIANA - 2.0%
10,000 Louisiana Public Facilities Authority, Hospital Revenue Bonds, No Opt. Call AAA 10,923,700
Franciscan Missionaries of Our Lady Health System, Series 1998A,
5.750%, 7/01/25 - FSA Insured
5,500 Louisiana Public Facilities Authority, Revenue Bonds, Tulane 7/12 at 100.00 AAA 5,499,615
University, Series 2002A, 5.000%, 7/01/32 - AMBAC Insured
- ------------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 7.4%
7,405 Massachusetts Health and Educational Facilities Authority, Revenue No Opt. Call AAA 8,151,720
Bonds, Massachusetts Institute of Technology, Series 2002K,
5.500%, 7/01/32
6,000 Massachusetts Industrial Finance Agency, Resource Recovery Revenue 12/08 at 102.00 BBB 5,686,200
Refunding Bonds, Ogden Haverhill Project, Series 1998A,
5.600%, 12/01/19 (Alternative Minimum Tax)
8,500 Massachusetts Turnpike Authority, Metropolitan Highway System 1/07 at 102.00 AAA 8,398,255
Revenue Bonds, Senior Series 1997A, 5.000%, 1/01/37 -
MBIA Insured
13,500 Massachusetts Turnpike Authority, Metropolitan Highway System 1/09 at 101.00 AAA 13,313,025
Revenue Bonds, Subordinated Series 1999A, 5.000%, 1/01/39 -
AMBAC Insured
6,945 Massachusetts Water Pollution Abatement Trust, Revenue Bonds, 8/09 at 101.00 AAA 7,474,417
MWRA Loan Program, Subordinate Series 1999A, 5.750%, 8/01/29
10,000 Massachusetts Water Resources Authority, General Revenue Bonds, 8/10 at 101.00 AAA 10,730,400
Series 2000A, 5.750%, 8/01/39 - FGIC Insured
5,730 University of Massachusetts Building Authority, Project Revenue 11/10 at 100.00 AAA 6,068,586
Bonds, Senior Series 2000-2, 5.250%, 11/01/20 - AMBAC Insured
- ------------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 1.1%
1,000 Detroit, Michigan, Water Supply System Senior Lien Revenue Bonds, 7/11 at 101.00 AAA 1,149,660
Series 2001A, 5.750%, 7/01/28 (Pre-refunded to 7/01/11) -
FGIC Insured
7,425 Michigan State Hospital Finance Authority, Hospital Revenue Bonds, 11/09 at 101.00 A1 7,732,544
Henry Ford Health System, Series 1999A, 6.000%, 11/15/24
29
Nuveen Quality Income Municipal Fund, Inc. (NQU) (continued)
Portfolio of INVESTMENTS April 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
MINNESOTA - 1.7%
Chaska, Minnesota, Electric Revenue Bonds, Generating Facility
Project, Series 2000A:
$ 1,930 6.000%, 10/01/20 10/10 at 100.00 A3 $ 2,041,824
2,685 6.000%, 10/01/25 10/10 at 100.00 A3 2,813,504
3,655 Dakota County Housing and Redevelopment Authority, Washington No Opt. Call AAA 5,116,781
County Housing and Redevelopment Authority, Bloomington, Minnesota,
Single Family Residential Mortgage Backed Program, Revenue
Bonds, Series 1988, 8.450%, 9/01/19 (Alternative Minimum Tax)
3,000 Minneapolis-St. Paul Metropolitan Airports Commission, Minnesota, 1/08 at 101.00 AAA 3,007,860
Airport Revenue Bonds, Series 1998A, 5.000%, 1/01/30 -
AMBAC Insured
950 Minnesota Housing Finance Agency, Single Family Mortgage Bonds, 7/04 at 102.00 AA+ 966,920
Series 1994J, 6.950%, 7/01/26 (Alternative Minimum Tax)
- ------------------------------------------------------------------------------------------------------------------------------------
MISSISSIPPI - 0.7%
3,050 Canton Housing Development Corporation, Mississippi, Multifamily No Opt. Call AAA 3,370,281
Mortgage Revenue Refunding Bonds, Canton Estates Apartments Project,
FHA-Insured Mortgage Loan, Section 8 Assisted Project, Series
1990A, 7.750%, 8/01/24
2,500 Mississippi Hospital Equipment and Facilities Authority, Revenue 1/11 at 101.00 Aaa 2,602,050
Bonds, Forrest County General Hospital Project, Series 2000,
5.500%, 1/01/27 - FSA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
MISSOURI - 0.8%
2,400 Missouri-Illinois Metropolitan District Bi-State Development Agency, 10/13 at 100.00 AAA 2,440,488
Mass Transit Sales Tax Appropriation Bonds, Metrolink Cross County
Extension Project, Series 2002B, 5.000%, 10/01/23 -
FSA Insured
15,350 The Public Building Corporation of the City of Springfield, Missouri, No Opt. Call AAA 3,604,794
Leasehold Revenue Bonds, Jordan Valley Park Projects, Series 2000A,
0.000%, 6/01/30 - AMBAC Insured
- ------------------------------------------------------------------------------------------------------------------------------------
NEBRASKA - 1.7%
7,710 Nebraska Investment Finance Authority, Single Family Housing Revenue 3/05 at 101.50 AAA 7,815,781
Bonds, Series 1995A, 6.800%, 3/01/35 (Alternative Minimum Tax)
5,715 Nebraska Investment Finance Authority, Single Family Housing Revenue 3/05 at 101.50 AAA 5,839,873
Bonds, Series 1995B, 6.450%, 3/01/35 (Alternative Minimum Tax)
- ------------------------------------------------------------------------------------------------------------------------------------
NEVADA - 7.2%
Clark County School District, Nevada, General Obligation Bonds,
Series 2002C:
34,470 5.000%, 6/15/20 - MBIA Insured 6/12 at 100.00 AAA 35,358,981
12,150 5.000%, 6/15/21 - MBIA Insured 6/12 at 100.00 AAA 12,422,039
10,380 5.000%, 6/15/22 - MBIA Insured 6/12 at 100.00 AAA 10,549,194
- ------------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY - 2.1%
4,200 Camden County Pollution Control Financing Authority, New Jersey, 6/04 at 100.00 B2 4,048,170
Solid Waste Disposal and Resource Recovery System Revenue
Bonds, Series 1991D, 7.250%, 12/01/10
1,000 New Jersey Building Authority, State Building Revenue Bonds, 12/12 at 100.00 AAA 1,091,890
Series 2002A, 5.000%, 12/15/21 (Pre-refunded to 12/15/12) -
FSA Insured
2,150 New Jersey Health Care Facilities Financing Authority, Revenue 7/10 at 101.00 BBB- 2,353,906
Bonds, Trinitas Hospital Obligated Group, Series 2000,
7.500%, 7/01/30
3,200 New Jersey Transportation Trust Fund Authority, Transportation System 6/13 at 100.00 AA- 3,438,368
Bonds, Series 2003C, 5.500%, 6/15/22
2,025 New Jersey Transportation Trust Fund Authority, Transportation 12/11 at 100.00 AAA 2,356,574
System Bonds, Series 2001B, 6.000%, 12/15/19 (Pre-refunded
to 12/15/11) - MBIA Insured
4,125 Tobacco Settlement Financing Corporation, New Jersey, Tobacco 6/13 at 100.00 BBB 3,870,983
Settlement Asset-Backed Bonds, Series 2003, 6.750%, 6/01/39
- ------------------------------------------------------------------------------------------------------------------------------------
NEW MEXICO - 0.8%
5,925 New Mexico Hospital Equipment Loan Council, Hospital Revenue 8/11 at 101.00 Aa3 6,088,530
Bonds, Presbyterian Healthcare Services, Series 2001A,
5.500%, 8/01/21
30
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 24.9%
$ 25,000 Erie County Tobacco Asset Securitization Corporation, New York, 7/10 at 101.00 BBB $ 24,052,250
Senior Tobacco Settlement Asset-Backed Bonds, Series 2000,
6.125%, 7/15/30
1,130 Long Island Power Authority, New York, Electric System General 9/11 at 100.00 A- 1,156,724
Revenue Bonds, Series 2001A, 5.375%, 9/01/25
15,000 Metropolitan Transportation Authority, New York, Dedicated Tax Fund 4/10 at 100.00 AAA 17,235,000
Bonds, Series 2000A, 6.000%, 4/01/30 (Pre-refunded to
4/01/10) - FGIC Insured
2,040 N.F. Housing and Commercial Rehabilitation Corporation, New York, No Opt. Call AA 2,239,308
Multifamily Mortgage Revenue Refunding Bonds, FHA-Insured
Mortgage - Section 8 Assisted Project, Series 1992, 7.350%, 8/01/23
12,500 Nassau County Tobacco Settlement Corporation, New York, Tobacco 7/09 at 101.00 BBB- 12,457,500
Settlement Asset-Backed Bonds, Series 1999A, 6.400%, 7/15/33
5,475 New York City, New York, General Obligation Bonds, Fiscal 8/04 at 101.00 Aaa 5,626,110
Series 1995B-1, 7.250%, 8/15/19 (Pre-refunded to 8/15/04)
14,800 New York City, New York, General Obligation Bonds, Fiscal Series 6/07 at 101.00 AAA 15,986,960
1997M, 5.500%, 6/01/17 - AMBAC Insured
6,700 New York City, New York, General Obligation Bonds, Fiscal Series 2/05 at 101.00 Aaa 7,047,060
1995F, 6.625%, 2/15/25 (Pre-refunded to 2/15/05)
New York City, New York, General Obligation Bonds, Fiscal Series
2002G:
950 5.000%, 8/01/17 8/12 at 100.00 A 970,216
10,545 5.750%, 8/01/18 8/12 at 100.00 A 11,327,861
5,000 New York City, New York, General Obligation Bonds, Fiscal Series 8/12 at 100.00 A 5,410,400
2003A, 5.750%, 8/01/16
New York City, New York, General Obligation Bonds, Fiscal Series 1997H:
45 6.125%, 8/01/25 (Pre-refunded to 8/01/07) 8/07 at 101.00 A*** 50,762
5,955 6.125%, 8/01/25 8/07 at 101.00 A 6,459,567
4,190 New York City Municipal Water Finance Authority, New York, Water 6/05 at 101.00 AAA 4,440,772
and Sewer System Revenue Bonds, Fiscal Series 1996A,
5.875%, 6/15/25 (Pre-refunded to 6/15/05) - MBIA Insured
New York City Transitional Finance Authority, New York, Future
Tax Secured Bonds, Fiscal Series 2000B:
8,035 5.750%, 11/15/19 (Pre-refunded to 5/15/10) 5/10 at 101.00 AA+*** 9,200,075
2,065 5.750%, 11/15/19 5/10 at 101.00 AA+ 2,285,191
2,250 Dormitory Authority of the State of New York, Insured Revenue Bonds, No Opt. Call AAA 2,346,435
Mount Sinai School of Medicine, Series 1994A, 5.150%, 7/01/24 -
MBIA Insured
Dormitory Authority of the State of New York, Improvement
Revenue Bonds, Mental Health Services Facilities, Series 1997A:
4,825 5.750%, 2/15/27 (Pre-refunded to 2/15/07) 2/07 at 102.00 AA-*** 5,372,058
175 5.750%, 2/15/27 2/07 at 102.00 AA- 180,051
Dormitory Authority of the State of New York, Improvement
Revenue Bonds, Mental Health Services Facilities, Series 2000B:
8,830 6.000%, 2/15/30 (Pre-refunded to 2/15/10) - MBIA Insured 2/10 at 100.00 AAA 10,109,555
1,170 6.000%, 2/15/30 - MBIA Insured 2/10 at 100.00 AAA 1,280,331
1,900 Dormitory Authority of the State of New York, Revenue Bonds, 7/10 at 101.00 Ba1 1,924,282
Mount Sinai NYU Health Obligated Group, Series 2000A,
6.500%, 7/01/25
New York State Environmental Facilities Corporation, State Clean
Water and Drinking Water Revolving Funds Revenue Bonds, New York
City Municipal Water Finance Authority Projects, Second
Resolution Bonds, Series 2001C:
6,035 5.000%, 6/15/20 6/11 at 100.00 AAA 6,194,686
6,575 5.000%, 6/15/22 6/11 at 100.00 AAA 6,688,945
8,000 New York State Medical Care Facilities Finance Agency, FHA-Insured 2/05 at 102.00 AAA 8,484,400
Mortgage Revenue Bonds, New York and Presbyterian Hospital,
Series 1994A, 6.500%, 8/15/29 (Pre-refunded to 2/15/05) -
AMBAC Insured
5,000 New York State Medical Care Facilities Finance Agency, Secured 2/05 at 102.00 AAA 5,317,300
Hospital Revenue Bonds, Brookdale Hospital Medical Center,
Series 1995A, 6.850%, 2/15/17 (Pre-refunded to 2/15/05)
New York State Medical Care Facilities Finance Agency, FHA-Insured
Mortgage Revenue Bonds, St. Charles Hospital, Series 1995F:
3,325 6.200%, 8/15/15 (Pre-refunded to 8/15/05) 8/05 at 102.00 AA*** 3,590,069
4,250 6.300%, 8/15/25 (Pre-refunded to 8/15/05) 8/05 at 102.00 AA*** 4,594,250
31
Nuveen Quality Income Municipal Fund, Inc. (NQU) (continued)
Portfolio of INVESTMENTS April 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
NEW YORK (continued)
$ 3,005 Penfield-Crown Oak Housing Development Corporation, New York, 8/04 at 100.00 AAA $ 3,019,154
Multifamily Mortgage Revenue Refunding Bonds, Crown Oak
Estates - FHA-Insured Mortgage Section 8 Assisted Project,
Series 1991A, 7.350%, 8/01/23
13,620 The Port Authority of New York and New Jersey, Consolidated Bonds, 11/12 at 101.00 AAA 14,109,911
One Hundred Twenty Eighth Series 2002, 5.000%, 11/01/20 -
FSA Insured
2,250 United Nations Development Corporation, New York, Revenue Bonds, 1/08 at 100.00 A3 2,302,605
Senior Lien, Series 2004A, 5.250%, 7/01/21
- ------------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA - 2.6%
7,500 North Carolina Municipal Power Agency 1, Catawba Electric Revenue 1/13 at 100.00 AAA 7,913,400
Bonds, Series 2003A, 5.250%, 1/01/19 - MBIA Insured
13,720 North Carolina Medical Care Commission, Hospital Revenue Bonds, 12/08 at 101.00 AAA 13,190,271
Pitt County Memorial Hospital, Series 1998A, 4.750%, 12/01/28 -
MBIA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
OHIO - 1.0%
Cincinnati City School District, Hamilton County, Ohio, General
Obligation Bonds, Series 2002:
2,165 5.250%, 6/01/19 - FSA Insured 12/12 at 100.00 AAA 2,290,873
2,600 5.250%, 6/01/21 - FSA Insured 12/12 at 100.00 AAA 2,740,348
2,000 5.000%, 12/01/22 - FSA Insured 12/12 at 100.00 AAA 2,042,620
1,200 Ohio Housing Finance Agency, GNMA Mortgage-Backed Securities 3/05 at 102.00 Aaa 1,216,512
Program, Residential Mortgage Revenue Bonds, Series 1995A-2,
6.625%, 3/01/26 (Alternative Minimum Tax)
- ------------------------------------------------------------------------------------------------------------------------------------
OKLAHOMA - 6.8%
17,510 Pottawatomie County Home Finance Authority, Oklahoma, Single No Opt. Call AAA 22,549,378
Family Mortgage Revenue Bonds, Series 1991A, 8.625%, 7/01/10
11,750 Tulsa Municipal Airport Trust, Oklahoma, Revenue Refunding Bonds, 6/09 at 100.00 B- 10,963,690
American Airlines, Inc., Series 2000B, 6.000%, 6/01/35 (Alternative
Minimum Tax) (Mandatory put 12/01/08)
23,005 Tulsa Municipal Airport Trust, Oklahoma, Revenue Refunding Bonds, 12/08 at 100.00 B- 21,159,769
American Airlines, Inc., Series 2001B, 5.650%, 12/01/35 (Alternative
Minimum Tax) (Mandatory put 12/01/08)
- ------------------------------------------------------------------------------------------------------------------------------------
OREGON - 0.4%
3,000 Administrative School District No. 1, Bend-La Pine, Deschutes County, 6/11 at 100.00 Aaa 3,255,930
Oregon, General Obligation Bonds, Series 2001A, 5.500%, 6/15/18 -
FSA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 4.6%
6,090 Carbon County Industrial Development Authority, Pennsylvania, No Opt. Call BBB- 6,565,690
Resource Recovery Revenue Refunding Bonds, Panther Creek Partners
Project, Series 2000, 6.650%, 5/01/10 (Alternative Minimum Tax)
2,735 Falls Township Hospital Authority, Pennsylvania, FHA-Insured Revenue 8/04 at 100.00 AAA 2,874,485
Refunding Bonds, Delaware Valley Medical Center Project,
Series 1992, 7.000%, 8/01/22
7,000 Pennsylvania General Obligation Bonds, Second Series 2001, 9/11 at 101.00 AA 7,428,400
5.000%, 9/15/15
7,800 Philadelphia, Pennsylvania, Gas Works Revenue Bonds, General 8/13 at 100.00 AAA 7,763,106
Ordinance, Fourth Series 1998, 5.000%, 8/01/32 - FSA Insured
Philadelphia School District, Pennsylvania, General Obligation Bonds,
Series 2002B:
6,000 5.625%, 8/01/19 - FGIC Insured 8/12 at 100.00 AAA 6,488,520
5,500 5.625%, 8/01/20 - FGIC Insured 8/12 at 100.00 AAA 5,928,120
- ------------------------------------------------------------------------------------------------------------------------------------
PUERTO RICO - 2.0%
8,105 Puerto Rico, The Children's Trust Fund, Tobacco Settlement 5/12 at 100.00 BBB 7,639,935
Asset-Backed Refunding Bonds, Series 2002, 5.375%, 5/15/33
1,500 Puerto Rico, Public Improvement General Obligation Bonds, No Opt. Call A- 1,587,705
Series 2002A, 5.500%, 7/01/29
1,500 Puerto Rico Public Buildings Authority, Guaranteed Government 7/12 at 100.00 A- 1,537,110
Facilities Revenue Refunding Bonds, Series 2002D, 5.125%, 7/01/20
5,000 Puerto Rico Municipal Finance Agency, Series 2002A, 5.000%, 8/01/27 - 8/12 at 100.00 AAA 5,079,400
FSA Insured
32
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA - 7.4%
$ 24,725 Greenville County School District, South Carolina, Installment 12/12 at 101.00 AA- $ 25,555,760
Purchase Revenue Bonds, Series 2002, 5.500%, 12/01/22
Horry County School District, South Carolina, General Obligation Bonds,
Series 2001A:
5,840 5.000%, 3/01/20 3/12 at 100.00 AA+ 6,017,069
5,140 5.000%, 3/01/21 3/12 at 100.00 AA+ 5,275,388
13,615 South Carolina Transportation Infrastructure Bank, Junior Lien 10/11 at 100.00 Aaa 14,069,060
Revenue Bonds, Series 2001B, 5.125%, 10/01/21 - AMBAC Insured
10,000 Tobacco Settlement Revenue Management Authority, South Carolina, 5/11 at 101.00 BBB 9,121,200
Tobacco Settlement Asset-Backed Bonds, Series 2001B, 6.375%, 5/15/28
- ------------------------------------------------------------------------------------------------------------------------------------
TENNESSEE - 2.4%
3,000 Knox County Health, Educational, and Housing Facilities Board, 4/12 at 101.00 Baa2 3,088,500
Tennessee, Hospital Facilities Revenue Bonds, Baptist Health System
of East Tennessee, Inc., Series 2002, 6.375%, 4/15/22
7,415 Memphis, Tennessee, General Improvement Bonds, Series 2002, 11/10 at 101.00 AA 7,629,664
5.000%, 11/01/20
7,940 Tennessee Housing Development Agency, Homeownership Program Bonds, 7/10 at 100.00 AA 8,416,797
Issue 2000-2B, 6.350%, 1/01/31 (Alternative Minimum Tax)
- ------------------------------------------------------------------------------------------------------------------------------------
TEXAS - 18.7%
Arlington Independent School District, Tarrant County, Texas,
General Obligation Bonds, Series 1995:
3,410 0.000%, 2/15/11 2/05 at 71.95 Aaa 2,418,645
4,105 0.000%, 2/15/14 2/05 at 58.79 Aaa 2,378,889
6,500 Bell County Health Facilities Development Corporation, Texas, 11/08 at 101.00 A- 6,501,625
Retirement Facility Revenue Bonds, Buckner Retirement Services, Inc.
Obligated Group Project, Series 1998, 5.250%, 11/15/19
14,200 Brazos River Authority, Texas, Pollution Control Revenue Refunding No Opt. Call BBB 15,014,086
Bonds, TXU Electric Company Project, Series 2001C, 5.750%, 5/01/36
(Alternative Minimum Tax) (Mandatory put 11/01/11)
5,000 Dallas-Fort Worth International Airport, Texas, Joint Revenue 11/11 at 100.00 AAA 5,242,900
Refunding and Improvement Bonds, Series 2001A, 5.625%, 11/01/21
(Alternative Minimum Tax) - FGIC Insured
695 Ft. Worth Housing Finance Corporation, Texas, Home Mortgage 10/04 at 100.00 Aa2 703,959
Revenue Refunding Bonds, Series 1991A, 8.500%, 10/01/11
8,235 Grand Prairie Housing Finance Corporation, Texas, GNMA Multifamily 9/10 at 105.00 AAA 8,904,753
Housing Revenue Bonds, Landings of Carrier Project, Series 2000A,
6.875%, 9/20/42
2,700 Harris County-Houston Sports Authority, Texas, Senior Lien Revenue 11/11 at 100.00 AAA 2,741,067
Bonds, Series 2001G, 5.250%, 11/15/30 - MBIA Insured
2,500 Harris County Health Facilities Development Corporation, Texas, 11/13 at 100.00 AAA 2,479,975
Thermal Utility Revenue Bonds, TECO Project, Series 2003,
5.000%, 11/15/30 - MBIA Insured
22,500 Houston, Texas, Water and Sewer System Junior Lien Revenue Refunding 12/10 at 100.00 AAA 22,811,400
Bonds, Series 2000B, 5.250%, 12/01/30 - FGIC Insured
Lubbock Health Facilities Development Corporation, Texas, Revenue
Bonds, St. Joseph Health System, Series 1998:
4,900 5.250%, 7/01/15 7/08 at 101.00 AA- 5,062,631
8,495 5.250%, 7/01/16 7/08 at 101.00 AA- 8,747,556
17,655 Matagorda County Navigation District 1, Texas, Revenue Refunding 11/08 at 102.00 AAA 17,772,229
Bonds, Houston Industries Incorporated Project, Series 1998B,
5.150%, 11/01/29 - MBIA Insured
7,650 Nueces County, Port of Corpus Christi Authority, Texas, Revenue 5/06 at 101.00 BBB 7,787,394
Refunding Bonds, Union Pacific Corporation Project, Series 1992,
5.350%, 11/01/10
2,095 Port of Houston Authority, Harris County, Texas, General Obligation 10/10 at 100.00 AA+ 2,311,665
Port Improvement Revenue Bonds, Series 2000A, 5.750%, 10/01/20
2,000 Sam Rayburn Municipal Power Agency, Texas, Power Supply System 10/12 at 100.00 AA 2,122,420
Revenue Refunding Bonds, Series 2002A, 5.750%, 10/01/21 -
RAAI Insured
11,300 City of San Antonio, Texas, Electric and Gas System Revenue Refunding No Opt. Call AAA 12,118,911
Bonds, New Series 1992, 5.000%, 2/01/17
33
Nuveen Quality Income Municipal Fund, Inc. (NQU) (continued)
Portfolio of INVESTMENTS April 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
TEXAS (continued)
$ 14,680 San Antonio Independent School District, Bexar County, Texas, General 8/09 at 100.00 AAA $ 16,654,313
Obligation Bonds, Series 1999, 5.800%, 8/15/29 (Pre-refunded
to 8/15/09)
3,750 Spring Branch Independent School District, Harris County, Texas, 2/11 at 100.00 AAA 3,817,125
Limited Tax Schoolhouse and Refunding Bonds, Series 2001,
5.125%, 2/01/23
5,000 City of Wichita Falls, Wichita County, Texas, Water and Sewer System 8/11 at 100.00 AAA 5,084,800
Priority Lien Revenue Bonds, Series 2001, 5.000%, 8/01/22 -
AMBAC Insured
- ------------------------------------------------------------------------------------------------------------------------------------
UTAH - 1.6%
5,800 Carbon County, Utah, Solid Waste Disposal Revenue Refunding Bonds, 2/05 at 102.00 BB- 5,957,238
Laidlaw/ECDC Project, Guaranteed by Allied Waste Industries,
Series 1995, 7.500%, 2/01/10 (Alternative Minimum Tax)
7,155 Utah Associated Municipal Power System, Revenue Bonds, Payson Power 4/13 at 100.00 AAA 7,167,450
Project, Series 2003A, 5.000%, 4/01/25 - FSA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
VIRGINIA - 2.2%
4,000 Norfolk Airport Authority, Virginia, Airport Revenue Refunding Bonds, 7/11 at 100.00 AAA 3,959,200
Series 2001B, 5.125%, 7/01/31 (Alternative Minimum Tax) -
FGIC Insured
11,040 Suffolk Redevelopment and Housing Authority, Virginia, FNMA Multifamily No Opt. Call Aaa 11,839,738
Housing Revenue Refunding Bonds, Windsor at Potomac Vista L.P.
Project, Series 2001, 4.850%, 7/01/31 (Mandatory put 7/01/11)
665 Virginia Housing Development Authority, Rental Housing Bonds, 5/09 at 101.00 AA+ 689,306
Series 1999F, 5.000%, 5/01/15 (Alternative Minimum Tax)
Virginia Resources Authority, Water Revenue Refunding Bonds,
Series 2002:
500 5.000%, 4/01/18 4/12 at 102.00 AA 528,150
500 5.000%, 4/01/19 4/12 at 102.00 AA 525,740
- ------------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 10.4%
4,185 Douglas County Public Utility District 1, Washington, Revenue Bonds, 9/06 at 106.00 AA 5,034,429
Wells Hydroelectric, Series 1986, 8.750%, 9/01/18
6,750 Energy Northwest, Washington, Electric Revenue Refunding Bonds, 7/12 at 100.00 AAA 7,130,160
Columbia Generating Station, Series 2002B, 5.350%, 7/01/18 -
FSA Insured
6,950 Port of Seattle, Washington, Revenue Bonds, Series 2000B, 8/10 at 100.00 AAA 7,171,149
5.625%, 2/01/24 (Alternative Minimum Tax) - MBIA Insured
13,400 Seattle, Washington, Municipal Light and Power Revenue Bonds, 12/10 at 100.00 Aa3 13,737,010
Series 2000, 5.400%, 12/01/25
1,675 Spokane Downtown Foundation, Washington, Parking Revenue Bonds, 8/08 at 102.00 D 1,172,500
River Park Square Project, Series 1998, 5.600%, 8/01/19#
9,440 City of Tacoma, Washington, Electric System Revenue Bonds, 1/11 at 101.00 AAA 10,412,320
Series 2001A Refunding, 5.750%, 1/01/18 - FSA Insured
18,145 Washington, General Obligation Bonds, Series 2001-02A, 7/11 at 100.00 AAA 18,361,833
5.000%, 7/01/23 - FSA Insured
Washington, Motor Vehicle Fuel Tax General Obligation Bonds, Series 2002C:
7,000 5.000%, 1/01/21 - FSA Insured 1/12 at 100.00 AAA 7,140,210
7,750 5.000%, 1/01/22 - FSA Insured 1/12 at 100.00 AAA 7,860,360
5,500 Washington State Healthcare Facilities Authority, Revenue Bonds, 11/08 at 101.00 Aaa 5,909,805
Swedish Health Services, Series 1998, 5.500%, 11/15/14 -
AMBAC Insured
- ------------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 1.1%
7,545 City of La Crosse, Wisconsin, Pollution Control Refunding Revenue 12/08 at 102.00 AAA 8,067,489
Bonds, Dairyland Power Cooperative Project, Series 1997A,
5.450%, 9/01/14 - AMBAC Insured
535 Wisconsin Housing and Economic Development Authority, Housing 7/04 at 100.00 AA 535,846
Revenue Bonds, Series 1992A, 6.850%, 11/01/12
- ------------------------------------------------------------------------------------------------------------------------------------
$ 1,232,455 Total Long-Term Investments (cost $1,166,243,659) - 152.0% 1,225,311,310
=============-----------------------------------------------------------------------------------------------------------------------
34
PRINCIPAL MARKET
AMOUNT (000) DESCRIPTION(1) RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
SHORT-TERM INVESTMENTS - 0.5%
$ 2,200 Chester County Industrial Development Authority, Pennsylvania, VMIG-1 $ 2,200,000
Archdiocese of Philadelphia, Variable Rate Demand Revenue Bonds,
Series 2001, 1.100%, 7/01/31+
1,500 Fulton County Residential Care Facilities Authority, Georgia, Revenue A-1+ 1,500,000
Refunding Bonds, Lenbrook Square Foundation, Inc., Variable Rate
Demand Obligations, Series 1996, 1.150%, 1/01/18+
- ------------------------------------------------------------------------------------------------------------------------------------
$ 3,700 Total Short-Term Investments (cost $3,700,000) 3,700,000
=============-----------------------------------------------------------------------------------------------------------------------
Total Investments (cost $1,169,943,659) - 152.5% 1,229,011,310
--------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 3.6% 28,905,004
--------------------------------------------------------------------------------------------------------------------
Preferred Shares, at Liquidation Value - (56.1)% (452,000,000)
--------------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $ 805,916,314
====================================================================================================================
(1) All percentages shown in the Portfolio of Investments
are based on net assets applicable to Common shares.
* Optional Call Provisions: Dates (month and year) and
prices of the earliest optional call or redemption.
There may be other call provisions at varying prices at
later dates.
** Ratings: Using the higher of Standard & Poor's or
Moody's rating.
*** Securities are backed by an escrow or trust containing
sufficient U.S. Government or U.S. Government agency
securities which ensures the timely payment of
principal and interest. Such securities are normally
considered to be equivalent to AAA rated securities.
N/R Investment is not rated.
# Non-income producing security, in the case of a bond,
generally denotes that the issuer has defaulted on the
payment of principal or interest or has filed for
bankruptcy.
+ Security has a maturity of more than one year, but has
variable rate and demand features which qualify it as a
short-term security. The rate disclosed is that
currently in effect. This rate changes periodically
based on market conditions or a specified market index.
See accompanying notes to financial statements.
35
Nuveen Premier Municipal Income Fund, Inc. (NPF)
Portfolio of
INVESTMENTS April 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
ALABAMA - 0.2%
$ 535 Alabama Higher Education Loan Corporation, Student Loan Revenue No Opt. Call AAA $ 542,415
Refunding Bonds, Series 1994D, 5.850%, 9/01/04 (Alternative
Minimum Tax) - FSA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
ALASKA - 0.7%
2,000 Alaska Housing Finance Corporation, General Mortgage Revenue 6/09 at 101.00 AAA 2,075,280
Bonds, Series 1999A, 6.000%, 6/01/49 - MBIA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
ARIZONA - 6.6%
2,000 Arizona Water Infrastructure Finance Authority, Water Quality 10/14 at 100.00 AAA 2,068,080
Revenue Bonds, Series 2004A, 5.000%, 10/01/21
3,650 Maricopa County Unified School District 41, Gilbert, Arizona, School 7/04 at 100.00 AAA 3,680,368
Improvement Bonds, Series 1994C, 6.100%, 7/01/14 (Pre-refunded
to 7/01/04) - FGIC Insured
6,000 Salt River Project Agricultural Improvement and Power District, 1/12 at 101.00 AA 6,483,480
Arizona, Electric System Revenue Refunding Bonds, Salt River
Project, Series 2002A, 5.250%, 1/01/15
7,500 Salt River Project Agricultural Improvement and Power District, 1/13 at 100.00 AA 7,570,425
Arizona, Electric System Revenue Bonds, Salt River Project,
Series 2002B, 5.000%, 1/01/25
- ------------------------------------------------------------------------------------------------------------------------------------
ARKANSAS - 0.4%
440 Arkansas Development Finance Authority, FNMA/GNMA Mortgage-Backed 7/05 at 102.00 AAA 457,371
Securities Program, Single Family Mortgage Bonds, Series 1994C,
6.600%, 7/01/17
655 Arkansas Development Finance Authority, FNMA/GNMA Mortgage-Backed 7/05 at 102.00 AAA 661,622
Securities Program, Single Family Mortgage Bonds, Series 1995B,
6.550%, 7/01/18 (Alternative Minimum Tax)
75 Drew County Public Facilities Board, Arkansas, FNMA-Backed Single 8/04 at 102.00 Aaa 77,214
Family Mortgage Revenue Refunding Bonds, Series 1993A-2,
7.900%, 8/01/11
79 Stuttgart Public Facilities Board, Arkansas, Single Family Mortgage 9/06 at 100.00 Aaa 81,657
Revenue Refunding Bonds, Series 1993A, 7.900%, 9/01/11
- ------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 14.9%
2,000 California Health Facilities Financing Authority, Revenue Bonds, No Opt. Call BBB+ 2,010,980
Catholic Healthcare West, Series 2004I, 4.950%, 7/01/26 (DD,
settling 5/03/04) (Mandatory put 7/01/14)
4,000 California, General Obligation Bonds, Series 2004, 5.000%, 2/01/23 2/14 at 100.00 Baa1 3,883,600
5,690 California Department of Veterans Affairs, Home Purchase Revenue 6/12 at 101.00 AAA 5,916,405
Bonds, Series 2002A, 5.300%, 12/01/21 - AMBAC Insured
Foothill-Eastern Transportation Corridor Agency, California, Toll Road
Revenue Bonds, Series 1995A:
28,000 0.000%, 1/01/17 No Opt. Call AAA 15,456,840
10,000 0.000%, 1/01/22 - FSA Insured No Opt. Call AAA 4,061,500
2,640 North Orange County Community College District, California, General 8/14 at 100.00 AAA 2,808,643
Obligation Bonds, Series 2003B, 5.000%, 8/01/16 - FGIC Insured
10,000 San Jose Redevelopment Agency, California, Tax Allocation Bonds, 8/10 at 101.00 AAA 10,387,300
Merged Area Redevelopment Project, Series 2002, 5.000%, 8/01/17 -
MBIA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
COLORADO - 0.4%
1,000 Colorado Health Facilities Authority, Revenue Bonds, Poudre Valley 12/09 at 101.00 Aaa 1,061,670
Health Care, Inc., Series 1999A, 5.750%, 12/01/23 - FSA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
CONNECTICUT - 1.2%
2,000 Connecticut Development Authority, Pollution Control Revenue 10/08 at 102.00 A3 2,114,260
Refunding Bonds, Connecticut Light and Power Company,
Series 1993A, 5.850%, 9/01/28
36
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
CONNECTICUT (continued)
$ 1,300 Connecticut Housing Finance Authority, Housing Mortgage Finance 5/06 at 102.00 AAA $ 1,362,790
Program Bonds, Series 1996C-2, 6.250%, 11/15/18
- ------------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 4.8%
4,000 Dade County, Florida, Aviation Revenue Bonds, Series 1996A, 10/06 at 102.00 AAA 4,290,360
5.750%, 10/01/18 (Alternative Minimum Tax) - MBIA Insured
5,000 JEA, Florida, Water and Sewer System Revenue Bonds, Series 1999A, 10/04 at 101.00 AA-*** 5,137,700
5.400%, 10/01/39 (Pre-refunded to 10/01/04)
4,790 Jacksonville, Florida, Sales Tax Revenue Bonds, River City 4/06 at 101.00 AAA 5,018,483
Renaissance Project, Series 1996, 5.125%, 10/01/18 - FGIC Insured
- ------------------------------------------------------------------------------------------------------------------------------------
GEORGIA - 4.3%
8,000 George L. Smith II World Congress Center Authority, Georgia, Revenue 7/10 at 101.00 AAA 8,349,520
Refunding Bonds, Domed Stadium Project, Series 2000, 5.500%, 7/01/20
(Alternative Minimum Tax) - MBIA Insured
4,105 Municipal Electric Authority of Georgia, Combustion Turbine Revenue 11/13 at 100.00 AAA 4,342,926
Bonds, Series 2003A, 5.125%, 11/01/17 - MBIA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
HAWAII - 0.8%
2,250 Hawaii Department of Budget and Finance, Special Purpose Revenue 1/09 at 101.00 AAA 2,486,700
Bonds, Hawaii Electric Company, Inc. and Subsidiaries Project,
Series 1999D, 6.150%, 1/01/20 (Alternative Minimum Tax) -
AMBAC Insured
- ------------------------------------------------------------------------------------------------------------------------------------
IDAHO - 0.1%
350 Idaho Housing and Finance Association, Single Family Mortgage Bonds, 7/06 at 102.00 Aa1 352,261
Series 1996E, 6.350%, 7/01/14 (Alternative Minimum Tax)
- ------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 22.5%
8,670 Chicago, Illinois, General Obligation Bonds, City Colleges of Chicago No Opt. Call AAA 2,976,498
Capital Improvement Project, Series 1999, 0.000%, 1/01/24 -
FGIC Insured
905 Chicago Public Building Commission, Illinois, General Obligation No Opt. Call AAA 1,066,497
Lease Certificates, Chicago Board of Education, Series 1990B,
7.000%, 1/01/15 - MBIA Insured
13,000 Chicago, Illinois, Wastewater Transmission Revenue Bonds, Series 1/06 at 102.00 AAA 13,074,620
1995, 5.125%, 1/01/25 - FGIC Insured
12,130 Chicago, Illinois, Senior Lien Water Revenue Bonds, Series 2001, No Opt. Call AAA 13,582,931
5.750%, 11/01/30 - AMBAC Insured
6,090 Cicero, Illinois, General Obligation Tax Increment Bonds, Series 12/04 at 102.00 N/R*** 6,422,027
1995A, 8.125%, 12/01/12 (Pre-refunded to 12/01/04)
4,295 Illinois Housing Development Authority, Section 8 Elderly Housing 9/04 at 100.00 A 4,313,855
Revenue Bonds, Garden House of Maywood Development, Series 1992,
7.000%, 9/01/18
1,500 Illinois, General Obligation Bonds, Illinois FIRST Program, Series 2/12 at 100.00 AAA 1,626,555
2002, 5.500%, 2/01/17 - FGIC Insured
9,300 Community Unit School District No. 220 of the Counties of Lake, Cook, No Opt. Call AAA 10,096,917
Kane, and McHenry, Illinois, General Obligation Bonds, Series 2002,
5.250%, 12/01/18 - FSA Insured
2,270 Metropolitan Pier and Exposition Authority, Illinois, McCormick Place 6/12 at 101.00 AAA 2,262,214
Expansion Project Bonds, Series 2002A, 5.000%, 12/15/28 -
MBIA Insured
Metropolitan Pier and Exposition Authority, Illinois, McCormick
Place Expansion Project Refunding Bonds, Series 1996A:
10,575 0.000%, 12/15/23 - MBIA Insured No Opt. Call AAA 3,688,243
10,775 0.000%, 12/15/24 - MBIA Insured No Opt. Call AAA 3,511,896
2,000 Onterie Center Housing Finance Corporation, An Illinois Not For 7/04 at 101.00 AAA 2,050,500
Profit Corporation, Mortgage Revenue Refunding Bonds, FHA-Insured
Mortgage Loan-Onterie Center Project, Series 1992A,
7.050%, 7/01/27 - MBIA Insured
2,588 Wood River Township, Madison County, Illinois, General Obligation 8/04 at 102.00 N/R 2,318,870
Bonds, Series 1993, 6.625%, 2/01/14
37
Nuveen Premier Municipal Income Fund, Inc. (NPF) (continued)
Portfolio of INVESTMENTS April 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
INDIANA - 7.8%
Anerson School Building Corporation, Madison County, Indiana, First
Mortgage Bonds, Series 2003:
$ 1,000 5.500%, 7/15/19 - FSA Insured 1/14 at 100.00 AAA $ 1,088,970
2,275 5.500%, 7/15/23 - FGIC Insured 1/14 at 100.00 AAA 2,440,165
Crown Point Multi-School Building Corporation, First Mortgage
Bonds, Crown Point Community School Corporation, Series 2000:
7,480 0.000%, 1/15/21 - MBIA Insured No Opt. Call AAA 3,126,266
7,980 0.000%, 1/15/22 - MBIA Insured No Opt. Call AAA 3,122,255
6,180 0.000%, 1/15/23 - MBIA Insured No Opt. Call AAA 2,255,885
2,535 Hammond Multi-School Building Corporation, Lake County, Indiana, 7/13 at 100.00 AAA 2,556,218
First Mortgage Revenue Bonds, Series 2003A, 5.000%, 7/15/23 -
FGIC Insured
2,350 Indiana Transportation Finance Authority, Highway Revenue Bonds, 6/13 at 100.00 AAA 2,499,084
Series 2003A, 5.250%, 6/01/18 - FSA Insured
9,255 Indianapolis Local Public Improvement Bond Bank, Indiana, Series 1999E, No Opt. Call AAA 2,938,092
0.000%, 2/01/25 - AMBAC Insured
2,860 St. Joseph County PHM Elementary/Middle School Building No Opt. Call A 3,199,139
Corporation, Indiana, First Mortgage Bonds, Series 1994,
6.300%, 1/15/09
- ------------------------------------------------------------------------------------------------------------------------------------
LOUISIANA - 0.5%
1,310 Louisiana Housing Finance Agency, GNMA Collateralized Mortgage 9/05 at 103.00 AAA 1,376,312
Revenue Bonds, St. Dominic Assisted Care Facility, Series 1995,
6.850%, 9/01/25
- ------------------------------------------------------------------------------------------------------------------------------------
MAINE - 5.1%
7,965 Maine Educational Loan Marketing Corporation, Subordinate Student No Opt. Call A2 8,394,234
Loan Revenue Bonds, Series 1994B-2, 6.250%, 11/01/06 (Alternative
Minimum Tax)
6,665 Maine State Housing Authority, Mortgage Purchase Bonds, 5/13 at 100.00 AA+ 6,966,591
Series 2004A-2, 5.000%, 11/15/21 (Alternative Minimum Tax)
- ------------------------------------------------------------------------------------------------------------------------------------
MARYLAND - 0.7%
2,000 Maryland Health and Higher Educational Facilities Authority, Revenue 8/14 at 100.00 BBB 1,946,840
Bonds, Medstar Health, Series 2004, 5.375%, 8/15/24
- ------------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 1.4%
Massachusetts Municipal Wholesale Electric Company, Power Supply
System Revenue Bonds, Series 1987A:
5 8.750%, 7/01/18 (Pre-refunded to 1/01/05) 1/05 at 100.00 Aaa 5,246
5 8.750%, 7/01/18 (Pre-refunded to 7/01/04) 7/04 at 100.00 Aaa 5,063
1,900 Massachusetts, General Obligation Bonds, Series 2003D, 10/13 at 100.00 Aa2 2,091,862
5.250%, 10/01/20 (Pre-refunded to 10/01/13)
2,000 Massachusetts Housing Finance Agency, FHA-Insured Rental Housing 7/07 at 101.00 AAA 2,023,480
Mortgage Revenue Bonds, Series 1997C, 5.625%, 7/01/40 (Alternative
Minimum Tax) - AMBAC Insured
- ------------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 2.8%
1,975 Clinton Charter Township, Macomb County, Michigan, Unlimited Tax 4/09 at 101.00 AAA 1,864,815
General Obligation Police Building Bonds, Series 1998,
4.000%, 4/01/18 - FGIC Insured
2,925 Detroit, Michigan, General Obligation Bonds, Series 2003A, 4/13 at 100.00 AAA 3,112,229
5.250%, 4/01/17 - XLCA Insured
3,025 Wayne County, Michigan, Airport Revenue Refunding Bonds, Detroit 12/12 at 100.00 AAA 3,226,072
Metropolitan Airport, Series 2002C, 5.375%, 12/01/19 - FGIC Insured
- ------------------------------------------------------------------------------------------------------------------------------------
MINNESOTA - 6.7%
6,900 Champlin, Minnesota, GNMA Guaranteed Senior Housing Revenue 6/12 at 105.00 Aaa 6,956,994
Bonds, Champlin Shores Senior Living Center, Series 2002A,
3.000%, 12/20/43
1,000 Duluth Economic Development Authority, Minnesota, Healthcare 2/14 at 100.00 A- 1,015,610
Facilities Revenue Bonds, Benedictine Health System St. Mary's,
Series 2004, 5.250%, 2/15/21
2,290 Minneapolis/St. Paul Housing and Redevelopment Authority, Minnesota, 12/13 at 100.00 BBB+ 2,394,264
Revenue Bonds, HealthPartners, Inc. Project, Series 2003,
6.000%, 12/01/20
10,780 Northwest Minnesota Multi-County Housing and Redevelopment 10/04 at 102.00 N/R 6,360,200
Authority, Governmental Housing Revenue Bonds, Pooled Housing
Program, Series 1994B, 8.125%, 10/01/26
38
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
MINNESOTA (continued)
$ 3,000 St. Paul Port Authority, Minnesota, Lease Revenue Bonds, Office 12/13 at 100.00 AA+ $ 3,179,520
Building at Cedar Street, Series 2003, 5.250%, 12/01/20
- ------------------------------------------------------------------------------------------------------------------------------------
MISSOURI - 2.3%
5,000 Missouri, General Obligation Refunding Bonds, Fourth State Building, 10/12 at 100.00 AAA 5,223,300
Series 2002A, 5.000%, 10/01/18
1,590 Missouri Health and Educational Facilities Authority, Revenue Bonds, 6/11 at 101.00 AAA 1,615,154
SSM Healthcare System, Series 2001A, 5.250%, 6/01/28 -
AMBAC Insured
- ------------------------------------------------------------------------------------------------------------------------------------
NEBRASKA - 2.4%
1,580 Douglas County Hospital Authority 2, Nebraska, Health Facilities No Opt. Call A2 1,619,216
Revenue Bonds, Nebraska Medical Center, Series 2003,
5.000%, 11/15/16
2,830 Grand Island, Nebraska, Electric System Revenue Bonds, Series 1977, 9/04 at 100.00 A+*** 3,118,490
6.100%, 9/01/12
2,350 Nebraska Higher Education Loan Program Incorporated, Senior No Opt. Call AAA 2,529,000
Subordinate Bonds, Series 1993A-5B, 6.250%, 6/01/18 (Alternative
Minimum Tax) - MBIA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
NEVADA - 4.0%
10,900 Clark County School District, Nevada, General Obligation Bonds, 6/12 at 100.00 AAA 11,802,411
Series 2002C, 5.500%, 6/15/19 - MBIA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
NEW HAMPSHIRE - 1.9%
490 New Hampshire Municipal Bond Bank, Revenue Bonds, Coe-Brown No Opt. Call N/R 491,176
Northwood Academy Project, Series 1994, 7.250%, 5/01/09
5,000 New Hampshire Housing Finance Authority, FHLMC Multifamily Housing 7/10 at 101.00 Aaa 5,220,850
Revenue Remarketed Bonds, Countryside LP Project, Series 1994,
6.100%, 7/01/24 (Alternative Minimum Tax)
- ------------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY - 1.1%
3,000 New Jersey Transportation Trust Fund Authority, Transportation System 6/13 at 100.00 AA- 3,202,650
Bonds, Series 2003C, 5.500%, 6/15/24
- ------------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 13.2%
1,000 New York City, New York, General Obligation Bonds, Fiscal Series 1995A, No Opt. Call A 1,014,180
7.000%, 8/01/04
New York City, New York, General Obligation Bonds, Fiscal
Series 1996J-1:
630 5.875%, 2/15/19 (Pre-refunded to 2/15/06) 2/06 at 101.50 A*** 684,016
3,370 5.875%, 5/15/19 2/06 at 101.50 A 3,583,254
4,265 New York City, New York, General Obligation Bonds, Fiscal 10/13 at 100.00 A 4,381,690
Series 2003D, 5.250%, 10/15/22
New York City Transitional Finance Authority, New York, Future
Tax Secured Bonds, Fiscal Series 1998A:
1,750 5.125%, 8/15/21 (Pre-refunded to 8/15/07) 8/07 at 101.00 AA+*** 1,921,150
2,730 5.125%, 8/15/21 8/07 at 101.00 AA+ 2,797,049
10,000 Dormitory Authority of the State of New York, Revenue Bonds, 5/10 at 101.00 AAA 11,313,900
State University Educational Facilities Revenue Bonds, 1999
Resolution, Series 2000B, 5.500%, 5/15/30 (Pre-refunded
to 5/15/10) - FSA Insured
1,220 New York State Medical Care Facilities Finance Agency, FHA-Insured 8/04 at 100.00 AAA 1,276,242
Mortgage Revenue Bonds, Hospital and Nursing Home Projects,
Series 1992B, 6.200%, 8/15/22
3,960 New York State Medical Care Facilities Finance Agency, 8/04 at 101.00 AAA 4,108,698
St. Luke's-Roosevelt Hospital Center, FHA-Insured Mortgage
Revenue Bonds, Series 1993A, 5.600%, 8/15/13
4,000 New York State Medical Care Facilities Finance Agency, FHA-Insured 8/04 at 102.00 AAA 4,089,360
Hospital Mortgage Revenue Refunding Bonds, New York and
Presbyterian Hospital, Series 1994A, 5.500%, 8/15/24 - MBIA Insured
3,250 New York State Municipal Bond Bank Agency, Special School Purpose 6/13 at 100.00 A+ 3,328,878
Revenue Bonds, Series 2003C, 5.250%, 6/01/22
1,000 New York State Urban Development Corporation, Corporate Purpose 7/14 at 100.00 A 998,770
Bonds, Subordinate Lien, Series 2004A, 5.125%, 1/01/22
39
Nuveen Premier Municipal Income Fund, Inc. (NPF) (continued)
Portfolio of INVESTMENTS April 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA - 4.0%
$ 10,300 North Carolina Eastern Municipal Power Agency, Power System Revenue No Opt. Call AAA $ 11,847,266
Refunding Bonds, Series 1993B, 6.000%, 1/01/22 - CAPMAC Insured
- ------------------------------------------------------------------------------------------------------------------------------------
OHIO - 2.0%
2,110 Cleveland-Rock Glen Housing Assistance Corporation, Ohio, 7/04 at 103.00 AAA 2,178,301
Mortgage Revenue Refunding Bonds, FHA-Insured Mortgage
Loans - Section 8 Assisted Projects, Series 1994A, 6.750%, 1/15/25
4,000 Ohio, Solid Waste Revenue Bonds, Republic Services, Inc. Project, No Opt. Call BBB+ 3,761,520
Series 2004, 4.250%, 4/01/33 (Alternative Minimum Tax)
(Mandatory put 4/01/14)
- ------------------------------------------------------------------------------------------------------------------------------------
OREGON - 2.2%
Oregon, General Obligation Bonds, State Board of Higher Education,
Series 2004A:
1,795 5.000%, 8/01/21 8/14 at 100.00 AA- 1,864,197
1,990 5.000%, 8/01/23 8/14 at 100.00 AA- 2,038,795
2,400 Oregon Department of Administrative Services, State Lottery Revenue No Opt. Call AAA 2,602,008
Bonds, Series 2004A, 5.000%, 4/01/14 - FSA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 1.6%
1,830 Falls Township Hospital Authority, Revenue Refunding Bonds, 8/04 at 100.00 AAA 1,923,330
Pennsylvania, FHA-Insured Revenue Bonds, Delaware Valley
Medical Center Project, Series 1992, 7.000%, 8/01/22
2,825 Philadelphia Water and Sewer System, Pennsylvania, Water and No Opt. Call AAA 2,883,336
Wastewater Revenue Bonds, Series 10, 7.350%, 9/01/04
- ------------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA - 11.7%
2,500 Berkeley County School District, South Carolina, Installment 12/13 at 100.00 A- 2,498,325
Purchase Revenue Securing Assets for Education, Series 2003,
5.250%, 12/01/24
4,405 Dorchester County School District No. 2, South Carolina, Installment 12/14 at 100.00 A 4,442,178
Purchase Revenue Bonds, Series 2004, 5.250%, 12/01/23
3,340 Greenville County School District, South Carolina, Installment 12/13 at 100.00 AA- 3,452,959
Purchase Revenue Bonds, Series 2003, 5.250%, 12/01/19
3,620 Greenville, South Carolina, Hospital Facilities Revenue Refunding 5/13 at 100.00 AAA 3,752,673
Bonds, Series 2003A, 5.250%, 5/01/21 - AMBAC Insured
1,500 South Carolina JOBS Economic Development Authority, Revenue 11/12 at 100.00 A- 1,479,615
Bonds, Bon Secours Health System, Inc., Series 2002A,
5.625%, 11/15/30
5,500 South Carolina JOBS Economic Development Authority, Hospital 8/13 at 100.00 BBB 5,701,080
Revenue Bonds, Palmetto Health Alliance, Series 2003C,
6.375%, 8/01/34
14,800 Tobacco Settlement Revenue Management Authority, South Carolina, 5/11 at 101.00 BBB 13,687,632
Tobacco Settlement Asset-Backed Bonds, Series 2001B,
6.000%, 5/15/22
- ------------------------------------------------------------------------------------------------------------------------------------
TENNESSEE - 0.7%
2,060 Johnson City Health and Educational Facilities Board, Tennessee, 1/09 at 101.00 AAA 2,113,663
Hospital Revenue Refunding and Improvement Bonds, Johnson City
Medical Center, Series 1998C, 5.125%, 7/01/23 - MBIA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
TEXAS - 8.2%
1,500 Brazos River Authority, Texas, Pollution Control Revenue Bonds, 10/13 at 101.00 BBB 1,588,635
TXU Energy Company LLC, Series 2003C, 6.750%, 10/01/38
(Alternative Minimum Tax)
7,500 Houston, Texas, Water and Sewer System Junior Lien Revenue No Opt. Call AAA 8,370,150
Refunding Bonds, Series 2002A, 5.750%, 12/01/32 - FSA Insured
2,265 Lower Colorado River Authority, Texas, Contract Revenue Refunding 5/13 at 100.00 AAA 2,324,796
Bonds, Transmission Services Corporation, Series 2003C,
5.250%, 5/15/25 - AMBAC Insured
2,000 Mansfield Independent School District, Tarrant County, Texas, 2/11 at 100.00 AAA 2,058,240
General Obligation Bonds, Series 2001, 5.375%, 2/15/26
3,833 Texas General Services Commission, Participation Interests, 9/04 at 100.50 A 3,895,846
Series 1992, 7.500%, 9/01/22
Texas Tech University, Texas, Financing System Revenue Bonds,
9th Series 2003:
3,525 5.250%, 2/15/18 - AMBAC Insured 8/13 at 100.00 AAA 3,747,110
2,250 5.250%, 2/15/19 - AMBAC Insured 8/13 at 100.00 AAA 2,375,955
40
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
TEXAS (continued)
$ 235 Victoria Housing Finance Corporation, Texas, FNMA Single Family No Opt. Call Aaa $ 237,310
Mortgage Revenue Refunding Bonds, Series 1995, 8.125%, 1/01/11
- ------------------------------------------------------------------------------------------------------------------------------------
UTAH - 0.5%
700 Utah Housing Corporation, Single Family Mortgage Bonds, 7/11 at 100.00 Aa2 713,216
Series 2001D, 5.500%, 1/01/21 (Alternative Minimum Tax)
135 Utah Housing Finance Agency, Single Family Mortgage Bonds, 1/07 at 102.00 AA 135,929
Series 1996C, 6.450%, 7/01/14 (Alternative Minimum Tax)
660 Utah Housing Finance Agency, Single Family Mortgage Bonds, 7/07 at 101.50 AA 688,684
Series 1997F, 5.750%, 7/01/15 (Alternative Minimum Tax)
- ------------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 9.1%
3,000 Energy Northwest, Washington, Electric Revenue Refunding Bonds, 7/13 at 100.00 Aaa 3,269,040
Nuclear Project 1, Series 2003A, 5.500%, 7/01/16
6,160 Public Hospital District No. 2, King County, Washington, Limited 6/11 at 101.00 AAA 6,308,456
Tax General Obligation Bonds, Evergreen Healthcare, Series 2001A,
5.250%, 12/01/24 - AMBAC Insured
5,000 Seattle, Washington, Municipal Light and Power Revenue Refunding 3/11 at 100.00 AAA 5,485,800
and Improvement Bonds, Series 2001, 5.500%, 3/01/12 - FSA Insured
1,000 Skagit County Public Hospital District No. 1, Washington, Revenue No Opt. Call Baa3 994,810
Bonds, Skagit Valley Hospital, Series 2003, 6.000%, 12/01/23
9,750 Washington, General Obligation Refunding Bonds, Series 1992A No Opt. Call Aa1 11,107,395
and 1992AT-6, 6.250%, 2/01/11
- ------------------------------------------------------------------------------------------------------------------------------------
WEST VIRGINIA - 1.8%
3,150 West Virginia Water Development Authority, Loan Program II 11/13 at 101.00 AAA 3,288,348
Revenue Bonds, Series 2003B, 5.250%, 11/01/23 - AMBAC Insured
2,000 West Virginia Water Development Authority, Infrastructure Revenue 10/13 at 101.00 AAA 2,157,040
Bonds, Series 2003A, 5.500%, 10/01/23 - AMBAC Insured
- ------------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 4.7%
455 Wisconsin Housing and Economic Development Authority, Housing 7/04 at 100.00 AA 455,723
Revenue Bonds, Series 1992A, 6.850%, 11/01/12
5,000 Wisconsin Health and Educational Facilities Authority, Revenue 2/10 at 101.00 AA 5,541,450
Bonds, Marshfield Clinic, Series 1999, 6.250%, 2/15/18 -
RAAI Insured
5,670 Wisconsin Health and Educational Facilities Authority, Revenue Bonds, 7/11 at 100.00 A- 5,837,265
Agnesian Healthcare, Inc., Series 2001, 6.000%, 7/01/30
2,350 Wisconsin Health and Educational Facilities Authority, Revenue 10/11 at 101.00 A+ 2,330,236
Bonds, Froedtert and Community Health Obligated Group,
Series 2001, 5.375%, 10/01/30
- ------------------------------------------------------------------------------------------------------------------------------------
$ 500,845 Total Long-Term Investments (cost $443,821,246) - 153.3% 457,334,625
=============-----------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 2.0% 5,954,945
--------------------------------------------------------------------------------------------------------------------
Preferred Shares, at Liquidation Value - (55.3)% (165,000,000)
--------------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $ 298,289,570
====================================================================================================================
(1) All percentages shown in the Portfolio of Investments
are based on net assets applicable to Common shares.
* Optional Call Provisions: Dates (month and year) and
prices of the earliest optional call or redemption.
There may be other call provisions at varying prices at
later dates.
** Ratings: Using the higher of Standard & Poor's or
Moody's rating.
*** Securities are backed by an escrow or trust containing
sufficient U.S. Government or U.S. Government agency
securities which ensures the timely payment of
principal and interest. Such securities are normally
considered to be equivalent to AAA rated securities.
N/R Investment is not rated.
(DD) Security purchased on a delayed delivery basis.
See accompanying notes to financial statements.
41
Nuveen Municipal High Income Opportunity Fund (NMZ)
Portfolio of
INVESTMENTS April 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
ALABAMA - 2.4%
$ 2,000 The Baldwin County Eastern Shore Health Care Authority, Alabama, 4/06 at 102.00 BBB- $ 2,074,380
Hospital Revenue Bonds, Thomas Hospital, Series 1996, 6.750%, 4/01/15
6,200 The Baldwin County Eastern Shore Health Care Authority, Alabama, 4/08 at 102.00 BBB- 5,799,666
Hospital Revenue Bonds, Thomas Group, 5.750%, 4/01/27
- ------------------------------------------------------------------------------------------------------------------------------------
ARIZONA - 3.4%
6,720 Maricopa County Industrial Development Authority, Arizona, Senior 1/11 at 103.00 BBB 6,525,053
Living Facility Revenue Bonds, Christian Care Mesa II, Inc.,
Series 2004A, 6.625%, 1/01/34 (Alternative Minimum Tax)
Phoenix Industrial Development Authority, Arizona, Educational Revenue
Bonds, Keystone Montessori School, Series 2004A:
350 6.375%, 11/01/13 11/11 at 103.00 N/R 345,524
790 7.250%, 11/01/23 11/11 at 103.00 N/R 775,156
1,715 7.500%, 11/01/33 11/11 at 103.00 N/R 1,678,368
550 Pima County Industrial Development Authority, Arizona, Charter 12/14 at 100.00 BBB- 526,554
School Revenue Bonds, Noah Webster Basic Schools, Inc., Series 2004,
6.125%, 12/15/34
1,150 Pinal County Industrial Development Authority, Arizona, Correctional 10/12 at 100.00 A 1,156,555
Facilities Contract Revenue Bonds, Florence West Prision LLC,
Series 2002A, 5.250%, 10/01/22 - ACA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 19.7%
7,250 Alameda Public Finance Authority, California, Bond Anticipation Notes, No Opt. Call N/R 7,152,270
Alameda Power and Telecom, Series 2004, 7.000%, 6/01/09
500 California Health Facilities Financing Authority, Revenue Bonds, No Opt. Call BBB+ 502,745
Catholic Healthcare West, Series 2004I, 4.950%, 7/01/26
(Mandatory put 7/01/14)
1,100 California Health Facilities Financing Authority, Hospital Revenue 5/04 at 101.00 BB+ 937,959
Bonds, Downey Community Hospital, Series 1993, 5.750%, 5/15/15
California, General Obligation Bonds, Series 2003:
4,000 5.250%, 2/01/16 - MBIA Insured 2/13 at 100.00 AAA 4,263,960
3,360 5.000%, 11/01/21 11/13 at 100.00 Baa1 3,323,309
3,500 California, General Obligation Bonds, Series 2004, 5.100%, 2/01/34 2/09 at 100.00 Baa1 3,382,260
California State Public Works Board, Lease Revenue Bonds,
Department of General Services, Series 2003D:
1,090 5.000%, 6/01/21 12/13 at 100.00 Baa2 1,070,914
1,170 5.100%, 6/01/23 12/13 at 100.00 Baa2 1,141,101
3,000 California State Public Works Board, Lease Revenue Bonds, 6/14 at 100.00 Baa2 2,862,600
Department of Mental Health, Coalinga State Hospital, Series 2004A,
5.000%, 6/01/25
1,025 California Statewide Community Development Authority, Subordinate 1/14 at 100.00 N/R 1,016,595
Lien Multifamily Housing Revenue Bonds, Corona Park Apartments,
Series 2004I-S, 7.750%, 1/01/34 (Alternative Minimum Tax)
3,800 California Statewide Community Development Authority, Senior 10/15 at 103.00 N/R 4,126,306
Lien Revenue Bonds, East Valley Tourist Authority, Series 2003B,
9.250%, 10/01/20
2,925 California Statewide Community Development Authority, Revenue 3/14 at 102.00 N/R 2,837,075
Bonds, Epidaurus Project, Series 2004A, 7.750%, 3/01/34
1,000 Corona-Norco Unified School District, Riverside County, California, 9/04 at 103.00 N/R 919,030
Special Tax Bonds, Community Facilities District 3-1, Series 2004,
5.375%, 9/01/33
1,000 Golden State Tobacco Securitization Corporation, California, Tobacco 6/13 at 100.00 BBB 1,064,160
Settlement Asset-Backed Revenue Bonds, Series 2003A-2,
7.900%, 6/01/42
5,500 Golden State Tobacco Securitization Corporation, California, Tobacco 6/13 at 100.00 BBB 5,161,310
Settlement Asset-Backed Bonds, Series 2003A-1, 6.750%, 6/01/39
42
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA (continued)
$ 4,975 Golden State Tobacco Securitization Corporation, California, Enhanced 6/13 at 100.00 Baa2 $ 4,974,702
Tobacco Settlement Asset-Backed Bonds, Series 2003B, 5.625%, 6/01/33
Huntington Beach, California, Special Tax Bonds, Community
Facilities District 2003-1, Huntington Center, Series 2004:
500 5.800%, 9/01/23 9/04 at 103.00 N/R 487,765
1,000 5.850%, 9/01/33 9/04 at 103.00 N/R 971,000
1,200 Lake Elsinore, California, Special Tax Bonds, Community Facilities 9/13 at 102.00 N/R 1,148,832
District 2003-2 Improvement Area A, Canyon Hills, Series 2004A,
5.950%, 9/01/34
2,400 Lee Lake Water District, Riverside County, California, Special Tax 9/13 at 102.00 N/R 2,361,696
Bonds, Community Facilities District 3, Series 2004, 5.950%, 9/01/34
300 Los Angeles Regional Airports Improvement Corporation, California, 12/12 at 102.00 B- 253,377
Sublease Revenue Bonds, Los Angeles International Airport, American
Airlines, Inc. Terminal 4 Project, Series 2002B, 7.500%, 12/01/24
(Alternative Minimum Tax)
1,250 Los Angeles Regional Airports Improvement Corporation, California, 12/12 at 102.00 B- 1,064,850
Sublease Revenue Bonds, Los Angeles International Airport,
American Airlines, Inc. Terminal 4 Project, Series 2002C, 7.500%,
12/01/24 (Alternative Minimum Tax)
1,555 Murrieta Valley Unified School District, Riverside County, 9/04 at 102.00 N/R 1,473,083
California, Special Tax Bonds, Community Facilities District
2000-1, Series 2004B, 5.300%, 9/01/34
1,000 Oceanside, California, Community Facilities Special Tax Revenue 3/14 at 100.00 N/R 991,500
Bonds, Morro Hills, Series 2004, 5.750%, 9/01/28
Orange County, California, Special Tax Bonds, Community
Facilities District 03-1, Ladera Ranch, Series 2004A:
500 5.500%, 8/15/23 8/12 at 101.00 N/R 493,230
1,625 5.600%, 8/15/28 8/12 at 101.00 N/R 1,610,993
1,000 5.625%, 8/15/34 8/12 at 101.00 N/R 987,010
Poway Unified School District, San Diego County, California,
Special Tax Bonds, Community Facilities District 11, Series 2004:
650 5.375%, 9/01/34 9/11 at 102.00 N/R 618,274
875 5.375%, 9/01/34 9/11 at 102.00 N/R 814,476
2,250 San Diego and Imperial Counties Developmental Services Foundation 9/12 at 100.00 BBB- 2,162,678
Project, California, Certificates of Participation, Series 2002,
5.500%, 9/01/27
3,895 West Patterson Financing Authority, California, Special Tax Bonds, 9/13 at 103.00 N/R 3,724,360
Community Facilities District 1, Series 2004A, 6.125%, 9/01/39
- ------------------------------------------------------------------------------------------------------------------------------------
COLORADO - 8.2%
925 Bradburn Metropolitan District 3, Colorado, General Obligation 12/13 at 101.00 N/R 905,029
Bonds, Series 2003, 7.500%, 12/01/33
5,600 Buffalo Ridge Metropolitan District, Colorado, Limited Obligation 12/13 at 101.00 N/R 5,517,680
Assessment Bonds, Series 2003, 7.500%, 12/01/33
925 Colorado Educational and Cultural Facilities Authority, Charter 7/10 at 100.00 N/R 936,840
School Revenue Bonds, Compass Montessori Charter School,
Series 2000, 7.750%, 7/15/31
650 Colorado Educational and Cultural Facilities Authority, Charter 9/11 at 100.00 Baa3 650,546
School Revenue Bonds, Bromley East Charter School, Series 2000A,
7.250%, 9/15/30
400 Colorado Educational and Cultural Facilities Authority, Charter 12/10 at 101.00 BBB 428,128
School Revenue Bonds, Academy Charter School, Series 2000,
6.875%, 12/15/20
1,450 Colorado Educational and Cultural Facilities Authority, Charter 6/11 at 100.00 Ba1 1,505,028
School Revenue Bonds, Weld County School District 6 - Frontier
Academy, Series 2001, 7.250%, 6/01/20
1,325 Colorado Educational and Cultural Facilities Authority, Charter 2/12 at 100.00 N/R 1,364,498
School Revenue Bonds, Jefferson County School District R-1 -
Compass Montessori Secondary School, Series 2002, 8.000%, 2/15/32
3,500 Colorado Educational and Cultural Facilities Authority, Charter 5/14 at 101.00 N/R 3,435,670
School Revenue Bonds, Denver Arts and Technology Academy,
Series 2003, 8.000%, 5/01/34
43
Nuveen Municipal High Income Opportunity Fund (NMZ) (continued)
Portfolio of INVESTMENTS April 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
COLORADO (continued)
Colorado Educational and Cultural Facilities Authority, Charter
School Revenue Bonds, Excel Academy Charter School, Series 2003:
$ 500 7.300%, 12/01/23 12/13 at 100.00 N/R $ 477,225
875 7.500%, 12/01/33 12/13 at 100.00 N/R 829,841
1,000 Colorado Housing and Finance Authority, Multifamily Project Bonds, 10/12 at 100.00 AA 1,013,640
Class II Series 2002C-6, 5.300%, 10/01/42
3,000 Denver City and County School District No. 1, Colorado, General 12/13 at 100.00 AAA 2,960,340
Obligation Bonds, Series 2004, 4.750%, 12/01/23 - FSA Insured
1,000 City and County of Denver, Colorado, Multifamily Housing Mortgage 7/08 at 102.00 AAA 1,017,590
Revenue Bonds, FHA-Insured Mortgage Loan Garden Court Community,
Series 1998, 5.400%, 7/01/39
800 Eagle County Air Terminal Corporation, Colorado, Airport Terminal 5/06 at 101.00 N/R 814,568
Revenue Bonds, Series 1996, 7.500%, 5/01/21 (Alternative
Minimum Tax)
1,250 Mesa County, Colorado, Residential Care Facilities Mortgage 12/11 at 101.00 AA 1,275,475
Revenue Bonds, Hilltop Community Resources, Inc. Obligated Group
Projects, Series 2001A, 5.250%, 12/01/21 - RAAI Insured
2,000 Park Creek Metropolitan District, Colorado, Limited Tax Obligation 12/13 at 100.00 N/R 2,011,120
Revenue Bonds, Series 2003CR-2, 7.875%, 12/01/13
Tallyns Reach Metropolitan District 2, Colorado, Limited Tax Obligation
Bonds, Series 2004:
250 6.000%, 12/01/18 12/13 at 100.00 N/R 245,818
315 6.375%, 12/01/23 12/13 at 100.00 N/R 308,943
Tallyns Reach Metropolitan District 3, Colorado, Limited Tax Obligation
Bonds, Series 2004:
500 6.750%, 12/01/33 12/13 at 100.00 N/R 489,010
500 6.625%, 12/01/23 12/13 at 100.00 N/R 490,565
- ------------------------------------------------------------------------------------------------------------------------------------
CONNECTICUT - 0.3%
1,025 Eastern Connecticut Resource Recovery Authority, Solid Waste Revenue 7/04 at 101.00 BBB 1,025,113
Bonds, Wheelabrator Lisbon Project, Series 1993A, 5.500%, 1/01/20
(Alternative Minimum Tax)
- ------------------------------------------------------------------------------------------------------------------------------------
DISTRICT OF COLUMBIA - 4.3%
13,365 District of Columbia, General Obligation Bonds, Series 2003B, 6/13 at 100.00 AAA 13,812,995
5.000%, 6/01/18 - AMBAC Insured
- ------------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 11.2%
4,535 Bartram Springs Community Development District, Duval County, 5/13 at 102.00 N/R 4,697,852
Florida, Special Assessment Bonds, Series 2003A, 6.650%, 5/01/34
3,000 Capital Trust Agency, Florida, Revenue Bonds, Seminole Tribe 10/12 at 102.00 N/R 3,709,560
Convention Center, Series 2002A, 10.000%, 10/01/33
1,195 Century Gardens Community Development District, Miami-Dade 5/14 at 101.00 N/R 1,150,367
County, Florida, Special Assessment Revenue Bonds, Series 2004,
5.900%, 5/01/34
5,785 Lee County Industrial Development Authority, Florida, Multifamily No Opt. Call A1 5,922,394
Housing Revenue Bonds, Legacy at Lehigh Project, Senior Series 2003A,
6.000%, 12/01/43
645 Lexington Community Development District, Florida, Special Assessment 5/14 at 101.00 N/R 646,535
Revenue Bonds, Series 2004, 6.125%, 5/01/34
4,000 MMA Financial CDD Junior Securitization Trust, Florida, Pass-Through 11/07 at 100.00 N/R 4,001,800
Certificates, Class A Series 2003I, 8.000%, 11/01/13
3,370 Meadowwoods Community Development District, Pasco County, 5/14 at 101.00 N/R 3,335,087
Florida, Special Assessment Revenue Bonds, Series 2004A,
6.050%, 5/01/35
1,000 Orlando Utilities Commission, Florida, Subordinate Lien Water and No Opt. Call Aa1*** 1,217,290
Electric Revenue Bonds, Series 1989D, 6.750%, 10/01/17
4,000 Palm Beach County Housing Finance Authority, Florida, Multifamily 7/09 at 103.00 N/R 3,870,600
Housing Revenue Bonds, Lake Delray Apartments, Series 1999A,
6.400%, 1/01/31 (Alternative Minimum Tax)
1,700 South-Dade Venture Community Development District, Florida, 5/14 at 101.00 N/R 1,696,515
Special Assessment Revenue Bonds, Series 2004, 6.125%, 5/01/34
Stonegate Community Development District, Florida, Special Assessment
Revenue Bonds, Series 2004:
500 6.000%, 5/01/24 5/14 at 101.00 N/R 499,135
500 6.125%, 5/01/34 5/14 at 101.00 N/R 498,975
44
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
FLORIDA (continued)
Westchester Community Development District 1, Florida, Special
Assessment Bonds, Series 2003:
$ 1,150 6.000%, 5/01/23 5/13 at 101.00 N/R $ 1,159,028
3,750 6.125%, 5/01/35 5/13 at 101.00 N/R 3,772,275
- ------------------------------------------------------------------------------------------------------------------------------------
GEORGIA - 0.9%
2,000 Fulton County Residential Care Facilities Authority, Georgia, 12/13 at 102.00 N/R 2,022,160
Revenue Bonds, St. Anne's Terrace, Series 2003, 7.625%, 12/01/33
900 Fulton County Residential Care Facilities Authority, Georgia, 2/09 at 100.00 N/R 874,719
Revenue Bonds, Canterbury Court, Series 2004A, 6.125%, 2/15/34
- ------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 10.7%
2,000 Chicago, Illinois, Certificates of Participation Tax Increment 12/08 at 100.00 N/R 2,094,880
Revenue Notes, Chicago/Kingsbury Redevelopment Project,
Series 2004A, 6.570%, 2/15/13
1,400 Illinois Health Facilities Authority, Revenue Bonds, Midwest 11/08 at 102.00 BB+ 1,216,558
Physicians Group Ltd., Series 1998, 5.500%, 11/15/19
795 Illinois Health Facilities Authority, Revenue Bonds, Victory Health 8/07 at 101.00 Baa2 724,030
Services, Series 1997A, 5.750%, 8/15/27
8,725 Illinois Health Facilities Authority, Revenue Bonds, Lake Forest 7/12 at 100.00 A- 9,025,751
Hospital, Series 2002A, 5.750%, 7/01/29
Illinois Health Facilities Authority, FHA-Insured Mortgage
Revenue Refunding Bonds, Sinai Health System, Series 2003:
5,000 5.000%, 8/15/24 8/13 at 100.00 AAA 4,896,650
10,000 5.100%, 8/15/33 8/13 at 100.00 AAA 9,710,600
5,000 5.150%, 2/15/37 8/13 at 100.00 AAA 4,869,900
305 Illinois Health Facilities Authority, Revenue Refunding Bonds, 7/04 at 100.00 BB+ 305,027
Proctor Community Hospital Project, Series 1991, 7.375%, 1/01/23
2,065 Plano Special Service Area 1, Illinois, Special Tax Bonds, Lakewood 3/14 at 102.00 N/R 2,000,758
Springs, Series 2004A, 6.200%, 3/01/34
- ------------------------------------------------------------------------------------------------------------------------------------
INDIANA - 4.3%
Indiana Health Facility Financing Authority, Hospital Revenue
Bonds, Community Foundation of Northwest Indiana, Series 2004A:
500 6.250%, 3/01/25 3/14 at 101.00 BBB- 504,320
2,500 6.000%, 3/01/34 3/14 at 101.00 BBB- 2,407,200
1,640 Jasper Hospital Authority, Indiana, Revenue Bonds, Little Company 11/12 at 100.00 AA 1,737,580
of Mary Hospital of Indiana, Inc. and Affiliates, Memorial Hospital
Center Project, Series 2002, 5.500%, 11/01/17 - RAAI Insured
7,650 Vincennes, Indiana, Economic Development Revenue Bonds, 1/09 at 102.00 N/R 7,198,803
Southwest Indiana Regional Youth Village, Series 1999,
6.250%, 1/01/24
2,000 Whitley County, Indiana, Solid Waste and Sewerage Disposal Revenue 11/10 at 102.00 N/R 2,019,540
Bonds, Steel Dynamics, Inc., Series 1998, 7.250%, 11/01/18
(Alternative Minimum Tax)
- ------------------------------------------------------------------------------------------------------------------------------------
KENTUCKY - 0.8%
2,875 Kenton County Airport Board, Kentucky, Special Facilities Revenue No Opt. Call CCC 2,508,466
Bonds, Delta Air Lines Project, Series 1992A, 7.500%, 2/01/20
(Alternative Minimum Tax)
- ------------------------------------------------------------------------------------------------------------------------------------
LOUISIANA - 6.7%
3,405 Carter Plantation Community Development District, Livingston Parish, 11/05 at 100.00 N/R 3,324,710
Louisiana, Special Assessment Bonds, Series 2004, 5.500%, 5/01/16
8,500 Hodge, Louisiana, Combined Utility System Revenue Bonds, Stone No Opt. Call B 8,613,475
Container Corporation, Series 2003, 7.450%, 3/01/24 (Alternative
Minimum Tax)
2,650 LaFourche Parish Housing Authority, Louisiana, Multifamily Mortgage 1/11 at 105.00 AAA 2,959,335
Revenue Bonds, City Place II, Series 2001, 6.700%, 1/20/40
Ouachita Parish Industrial Development Authority, Louisiana,
Solid Waste Disposal Revenue Bonds, White Oaks Project, Series 2004A:
865 8.250%, 3/01/19 (Alternative Minimum Tax) 3/10 at 102.00 N/R 864,256
805 8.500%, 3/01/24 (Alternative Minimum Tax) 3/10 at 102.00 N/R 812,712
45
Nuveen Municipal High Income Opportunity Fund (NMZ) (continued)
Portfolio of INVESTMENTS April 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
LOUISIANA (continued)
$ 5,125 St. James Parish, Louisiana, Solid Waste Disposal Revenue Bonds, 10/04 at 100.00 N/R $ 5,166,717
Freeport McMoran Project, Series 1992, 7.700%, 10/01/22
(Alternative Minimum Tax)
- ------------------------------------------------------------------------------------------------------------------------------------
MAINE - 0.9%
3,155 Portland Housing Development Authority, Maine, Senior Living Revenue 2/14 at 102.00 Baa2 3,065,240
Bonds, Avesta Housing Development Corporation, Series 2004A,
6.000%, 2/01/34
- ------------------------------------------------------------------------------------------------------------------------------------
MARYLAND - 2.6%
3,800 Maryland Health and Higher Educational Facilities Authority, Revenue 8/14 at 100.00 BBB 3,678,894
Bonds, Medstar Health, Series 2004, 5.500%, 8/15/33
6,435 Prince George's County, Maryland, Project and Revenue Refunding 7/04 at 102.00 B3 4,801,926
Bonds, Dimensions Health Corporation, Series 1994, 5.300%, 7/01/24
- ------------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 1.1%
3,500 Massachusetts Housing Finance Agency, Rental Housing Mortgage 7/10 at 100.00 AAA 3,698,100
Revenue Bonds, Series 2000H, 6.650%, 7/01/41 (Alternative
Minimum Tax) - MBIA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 6.0%
1,335 Countryside Charter School, Berrien County, Michigan, Charter School 4/09 at 100.00 N/R 1,260,814
Revenue Bonds, Series 1999, 7.000%, 4/01/29
930 Countryside Charter School, Berrien County, Michigan, Charter School 4/09 at 100.00 N/R 948,898
Revenue Bonds, Series 2000, 8.000%, 4/01/29
1,480 Detroit Local Development Finance Authority, Michigan, Tax Increment 5/09 at 101.00 BB- 1,242,800
Bonds, Series 1998A, 5.500%, 5/01/21
3,500 Michigan State Hospital Finance Authority, Hospital Revenue Refunding 8/04 at 102.00 Ba3 2,546,145
Bonds, Detroit Medical Center Obligated Group, Series 1993B,
5.500%, 8/15/23
1,500 Michigan State Hospital Finance Authority, Hospital Revenue Refunding 3/13 at 100.00 A1 1,576,215
Bonds, Henry Ford Health System, Series 2003A, 5.500%, 3/01/15
2,805 Nataki Talibah Schoolhouse, Wayne County, Michigan, Certificates of 6/10 at 102.00 N/R 2,948,560
Participation, Series 2000, 8.250%, 6/01/307
Pontiac Hospital Finance Authority, Michigan, Hospital Revenue
Refunding Bonds, NOMC Obligated Group, Series 1993:
1,000 6.000%, 8/01/13 8/04 at 101.00 Ba1 915,400
1,500 6.000%, 8/01/18 8/04 at 101.00 Ba1 1,332,465
1,800 6.000%, 8/01/23 8/04 at 101.00 Ba1 1,564,830
5,000 Saginaw Hospital Finance Authority, Michigan, Hospital Revenue Bonds, 7/14 at 100.00 A 5,023,250
Covenant Medical Center, Series 2004G, 5.125%, 7/01/22
- ------------------------------------------------------------------------------------------------------------------------------------
MINNESOTA - 2.6%
Minneapolis, Minnesota, Student Housing Revenue Bonds, Riverton
Community Housing Project, Series 2000:
100 7.200%, 7/01/14 7/10 at 100.00 N/R 102,050
100 7.300%, 7/01/15 7/10 at 100.00 N/R 102,044
500 Minneapolis, Minnesota, Commercial Development Revenue Bonds, 5/04 at 100.00 N/R 500,400
Thresher Square Limited Partnership II Project, Series 1996,
7.250%, 5/01/15
310 New Brighton, Minnesota, Rental Housing Refunding Revenue Bonds, 4/05 at 102.00 N/R 310,378
Polynesian Village Apartment Project, Series 1995A, 7.000%, 10/01/08
(Alternative Minimum Tax)
1,325 Ramsey, Anoka County, Minnesota, Charter School Lease Revenue Bonds, 6/14 at 102.00 N/R 1,327,610
PACT Charter School, Series 2004A, 6.750%, 12/01/33
5,000 Saint Louis Park, Minnesota, Revenue Bonds, Park Nicollet Health 7/04 at 100.00 A- 5,009,400
Services, Series 2003B, 5.250%, 7/01/30
1,100 Saint Paul Housing and Redevelopment Authority, Minnesota, Charter 6/14 at 102.00 N/R 1,102,167
School Revenue Bonds, HOPE Academy Charter School, Series 2004A,
6.750%, 12/01/33 (WI, settling 5/11/04)
46
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
MISSOURI - 1.5%
$ 2,400 Kansas City Industrial Development Authority, Missouri, Multifamily 2/14 at 102.00 N/R $ 2,323,056
Housing Revenue Bonds, Pickwick Apartments Project, Series 2004,
8.000%, 2/01/34 (Alternative Minimum Tax)
2,500 St. Louis County Industrial Development Authority, Missouri, Revenue 6/04 at 101.00 N/R 2,576,500
Bonds, Kiel Center Multipurpose Arena, Series 1992, 7.875%, 12/01/24
(Alternative Minimum Tax)
- ------------------------------------------------------------------------------------------------------------------------------------
MONTANA - 1.7%
5,200 Montana Board of Investments, Exempt Facility Revenue Bonds, 7/10 at 101.00 Ba3 5,379,504
Stillwater Mining Company Project, Series 2000, 8.000%, 7/01/20
(Alternative Minimum Tax)
- ------------------------------------------------------------------------------------------------------------------------------------
NEVADA - 1.9%
1,500 Clark County, Nevada, Local Improvement Bonds, Mountain's Edge 8/16 at 100.00 N/R 1,498,170
Special Improvement District 142, Series 2003, 6.375%, 8/01/23
2,370 Clark County, Nevada, Industrial Development Revenue Bonds, 7/04 at 101.00 B- 2,027,582
Nevada Power Company Project, Variable Rate Demand Obligations,
Series 1995C, 5.500%, 10/01/30
550 Director of Nevada State Department of Business and Industry, 1/10 at 102.00 N/R 526,730
Revenue Bonds, Las Vegas Monorail Project, Second Tier Series 2000,
7.375%, 1/01/40
2,105 Washoe County School District, Nevada, General Obligation Bonds, 6/13 at 100.00 AAA 2,156,657
Series 2003C, 5.000%, 6/01/21 - FGIC Insured
- ------------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY - 4.2%
1,925 New Jersey Economic Development Authority, Revenue Bonds, 8/09 at 102.00 N/R 1,732,500
Meridian Health System - Shrewsbury Assisted Living Facility,
Series 1999, 6.750%, 8/01/30
1,510 New Jersey Economic Development Authority, Special Facilities 9/09 at 101.00 B 1,184,233
Revenue Bonds, Continental Airlines, Inc., Series 1999,
6.250%, 9/15/29 (Alternative Minimum Tax)
500 New Jersey Health Care Facilities Financing Authority, Revenue Bonds, 7/10 at 101.00 BBB- 547,420
Trinitas Hospital Obligated Group, Series 2000, 7.500%, 7/01/30
Tobacco Settlement Financing Corporation, New Jersey, Tobacco
Settlement Asset-Backed Bonds, Series 2003:
7,825 6.750%, 6/01/39 6/13 at 100.00 BBB 7,343,137
2,760 7.000%, 6/01/41 6/13 at 100.00 BBB 2,711,424
- ------------------------------------------------------------------------------------------------------------------------------------
NEW MEXICO - 1.4%
4,500 Jicarilla Apache Nation, New Mexico, Revenue Bonds, Series 2002A, 9/13 at 101.00 N/R 4,512,330
5.000%, 9/01/18
- ------------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 4.5%
1,700 New York City Industrial Development Agency, New York, Special 8/04 at 102.00 CCC 1,172,031
Facilities Revenue Bonds, American Airlines, Inc., Series 1994,
6.900%, 8/01/24 (Alternative Minimum Tax)
750 New York City Industrial Development Agency, New York, Special No Opt. Call CCC 600,210
Facilities Revenue Bonds, JFK Airport - American Airlines, Inc.,
Series 2002A, 8.000%, 8/01/12 (Alternative Minimum Tax)
2,000 Dormitory Authority of the State of New York, Revenue Bonds, 7/13 at 100.00 AA 2,171,480
Brooklyn Law School, Series 2003A, 5.500%, 7/01/15 -
RAAI Insured
New York Tobacco Settlement Financing Corporation, Tobacco
Settlement Asset-Backed and State Contingency Contract-Backed
Bonds, Series 2003B-1C:
5,000 5.500%, 6/01/21 6/13 at 100.00 AA- 5,279,550
5,000 5.500%, 6/01/22 6/13 at 100.00 AA- 5,253,200
- ------------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA - 1.7%
5,500 North Carolina Capital Facilities Financing Agency, Solid Waste 7/12 at 106.00 N/R 5,394,345
Facilities Revenue Bonds, Liberty Tire Services of North Carolina
LLC, Series 2004A, 6.750%, 7/01/29
- ------------------------------------------------------------------------------------------------------------------------------------
OHIO - 2.8%
Belmont County, Ohio, Revenue Bonds, Ohio Valley Health Services
and Education Corporation, Series 1998:
500 5.700%, 1/01/13 1/08 at 102.00 BB 457,620
400 5.800%, 1/01/18 1/08 at 102.00 BB 348,608
47
Nuveen Municipal High Income Opportunity Fund (NMZ) (continued)
Portfolio of INVESTMENTS April 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
OHIO (continued)
$ 8,000 Ohio Water Development Authority, Solid Waste Disposal Revenue 9/08 at 102.00 N/R $ 7,438,960
Bonds, Bay Shore Power, Series 1998A, 5.875%, 9/01/20
(Alternative Minimum Tax)
800 Toledo Lucas County Port Authority, Ohio, Port Revenue Bonds, 3/14 at 101.00 A+ 758,136
Cargill, Inc. Project, Series 2004A, 4.800%, 3/01/22
- ------------------------------------------------------------------------------------------------------------------------------------
OKLAHOMA - 3.5%
Oklahoma Development Finance Authority, Revenue Refunding Bonds,
Hillcrest Healthcare System, Series 1999A:
1,200 5.750%, 8/15/15 8/09 at 101.00 B1 1,043,832
11,680 5.625%, 8/15/29 8/09 at 101.00 B1 9,267,262
1,305 Tulsa Municipal Airport Trust, Oklahoma, Revenue Bonds, American 6/05 at 102.00 B- 1,113,439
Airlines, Inc., Series 1995, 6.250%, 6/01/20
- ------------------------------------------------------------------------------------------------------------------------------------
OREGON - 0.7%
2,170 Marioon County Housing Authority, Oregon, Multifamily Housing 10/06 at 105.00 AAA 2,401,517
Revenue Bonds, Elliot Residence, Senior Lien, Series 1995,
7.500%, 10/20/37 (Alternative Minimum Tax)
- ------------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 5.0%
Allegheny County Hospital Development Authority, Pennsylvania,
Revenue Bonds, West Penn Allegheny Health System, Series 2000B:
695 9.250%, 11/15/22 11/10 at 102.00 B 777,781
6,455 9.250%, 11/15/30 11/10 at 102.00 B 7,216,690
190 Monroeville Hospital Authority, Pennsylvania, Revenue Bonds, 10/04 at 100.00 B 177,338
Forbes Health System, Series 1992, 7.000%, 10/01/13
300 Monroeville Hospital Authority, Pennsylvania, Revenue Bonds, 10/05 at 102.00 B 258,726
Forbes Health System, Series 1995, 6.250%, 10/01/15
240 New Morgan Industrial Development Authority, Pennsylvania, Solid 10/04 at 102.00 BB- 223,423
Waste Disposal Revenue Bonds, New Morgan Landfill Company,
Inc. Project, Series 1994, 6.500%, 4/01/19 (Alternative
Minimum Tax)
580 Pennsylvania Economic Development Financing Authority Revenue 6/08 at 100.00 BB+ 537,851
Bonds, Northwestern Human Services, Inc. Project, Series 1998A,
5.250%, 6/01/09
4,000 Pennsylvania Economic Development Financing Authority, Revenue 6/12 at 102.00 A 4,170,040
Bonds, AMTRAK 30th Street Station Parking Garage Project,
Series 2002, 5.800%, 6/01/23 (Alternative Minimum Tax) -
ACA Insured
230 Pennsylvania Higher Educational Facilities Authority, Revenue No Opt. Call B 202,770
Bonds, Allegheny General Hospital Project, Series 1991A,
7.250%, 9/01/17
2,635 Philadelphia Municipal Authority, Pennsylvania, Lease Revenue 11/13 at 100.00 AAA 2,798,449
Bonds, Series 2003B, 5.250%, 11/15/18 - FSA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
RHODE ISLAND - 0.8%
3,000 Rhode Island Tobacco Settlement Financing Corporation, Tobacco 6/12 at 100.00 BBB 2,601,480
Settlement Asset-Backed Bonds, Series 2002A, 6.250%, 6/01/42
- ------------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA - 6.5%
Berkeley County School District, South Carolina, Installment
Purchase Revenue Securing Assets for Education, Series 2003:
4,125 5.250%, 12/01/15 12/13 at 100.00 A- 4,316,153
2,070 5.250%, 12/01/17 12/13 at 100.00 A- 2,140,007
2,755 5.250%, 12/01/19 12/13 at 100.00 A- 2,818,420
4,450 Greenville County School District, South Carolina, Installment 12/13 at 100.00 AA- 4,649,182
Purchase Revenue Bonds, Series 2003, 5.250%, 12/01/17
4,850 Piedmont Municipal Power Agency, South Carolina, Electric Revenue No Opt. Call AAA 5,921,026
Refunding Bonds, Series 1991, 6.750%, 1/01/19 - FGIC Insured
1,150 South Carolina JOBS Economic Development Authority, Hospital 8/11 at 100.00 AA 1,169,665
Revenue Bonds, Georgetown Memorial Hospital, Series 2001,
5.250%, 2/01/21 - RAAI Insured
48
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
TEXAS - 6.8%
$ 750 Brazoria County Municipal Utility District No. 19, Texas, General 9/12 at 100.00 AA $ 714,068
Obligation Bonds, Series 2004, 5.000%, 9/01/28 - RAAI Insured
1,200 Dallas-Ft. Worth International Airport Facility Improvement 5/04 at 101.00 CCC 839,292
Corporation, Texas, Revenue Bonds, American Airlines, Inc.,
Series 1992, 7.250%, 11/01/30 (Alternative Minimum Tax)
2,705 Dallas-Ft. Worth International Airport Facility Improvement 11/05 at 102.00 CCC 1,866,964
Corporation, Texas, Revenue Bonds, American Airlines, Inc.,
Series 1995, 6.000%, 11/01/14
565 Dallas-Ft. Worth International Airport Facility Improvement 11/09 at 101.00 CCC 369,759
Corporation, Texas, Revenue Bonds, American Airlines, Inc.,
Series 1999, 6.375%, 5/01/35 (Alternative Minimum Tax)
585 Gulf Coast Industrial Development Authority, Texas, Solid Waste 4/12 at 100.00 Ba2 627,021
Disposal Revenue Bonds, Citgo Petroleum Corporation Project,
Series 1998, 8.000%, 4/01/28 (Alternative Minimum Tax)
3,000 Harris County Health Facilities Development Corporation, Texas, 12/14 at 100.00 A 2,963,340
Hospital Revenue Bonds, Memorial Hermann Healthcare System,
Series 2004A, 5.125%, 12/01/23
2,020 Houston, Texas, Airport System Special Facilities Revenue Bonds, 7/09 at 101.00 B- 1,435,917
Continental Air Lines, Inc. Project, Series 1998B, 5.700%, 7/15/29
(Alternative Minimum Tax)
975 Houston, Texas, Airport System Special Facilities Revenue Bonds, 7/09 at 101.00 B- 693,079
Continental Air Lines, Inc. Project, Series 1998C, 5.700%, 7/15/29
(Alternative Minimum Tax)
Houston, Texas, Airport System Special Facilities Revenue Bonds,
Continental Air Lines, Inc. Project, Series 2001E:
600 7.375%, 7/01/22 (Alternative Minimum Tax) 7/11 at 101.00 B- 543,102
5,350 6.750%, 7/01/29 (Alternative Minimum Tax) 7/11 at 101.00 B- 4,494,268
Houston Health Facilities Development Corporation, Texas, Revenue
Bonds, Buckingham Senior Living Community, Inc., Series 2004A:
250 7.000%, 2/15/23 2/14 at 101.00 N/R 251,338
1,400 7.125%, 2/15/34 2/14 at 101.00 N/R 1,394,638
5,850 Texas Department of Housing and Community Affairs, Multifamily 7/21 at 100.00 N/R 5,715,157
Housing Revenue Bonds, Humble Parkway Townhomes, Series 2004,
6.600%, 1/01/41 (Alternative Minimum Tax)
- ------------------------------------------------------------------------------------------------------------------------------------
VIRGIN ISLANDS - 3.6%
5,000 Virgin Islands Public Finance Authority, Refinery Revenue Bonds, 10/14 at 100.00 BBB- 5,197,250
Hovensa LLC Project, Series 2003, 6.125%, 7/01/22 (Alternative
Minimum Tax)
3,300 Virgin Islands Public Financing Authority, Refinery Revenue Bonds, 7/14 at 100.00 BBB- 3,373,194
Hovensa LLC Project, Senior Secured Lien, Series 2004,
5.875%, 7/01/22
3,000 Virgin Islands Public Finance Authority, Gross Receipts Taxes Loan 10/14 at 100.00 AA 2,989,860
Notes, Series 2003, 5.000%, 10/01/26 - RAAI Insured
- ------------------------------------------------------------------------------------------------------------------------------------
VIRGINIA - 3.8%
Pocahontas Parkway Association, Virginia, Route 895 Connector
Toll Road Senior Lien Revenue Bonds, Series 1998B:
2,000 0.000%, 8/15/12 8/08 at 82.10 BB 1,085,300
3,000 0.000%, 8/15/15 8/08 at 68.82 BB 1,260,300
9,000 0.000%, 8/15/19 8/08 at 54.38 BB 2,789,010
Pocahontas Parkway Association, Virginia, Route 895 Connector
Toll Road Senior Lien Revenue Bonds, Series 1998A:
2,000 0.000%, 8/15/14 8/08 at 73.23 BB 902,600
4,250 5.500%, 8/15/28 8/08 at 102.00 BB 3,514,282
1,850 0.000%, 8/15/30 8/08 at 28.38 BB 246,809
2,540 Virginia Resources Authority, Infrastructure Revenue Bonds, 11/13 at 100.00 AAA 2,650,287
Pooled Loan Financing Program, Series 2003, 5.000%, 11/01/19
49
Nuveen Municipal High Income Opportunity Fund (NMZ) (continued)
Portfolio of INVESTMENTS April 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE
- ------------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 3.9%
$ 3,000 Skagit County Public Hospital District No. 1, Washington, Revenue No Opt. Call Baa3 $ 3,053,400
Bonds, Skagit Valley Hospital, Series 2003, 6.000%, 12/01/18
Vancouver Downtown Redevelopment Authority, Washington,
Conference Center Project Revenue Bonds, Series 2003A:
1,750 6.000%, 1/01/28 - ACA Insured No Opt. Call A 1,854,510
3,500 6.000%, 1/01/34 - ACA Insured 1/14 at 100.00 A 3,703,560
2,500 5.250%, 1/01/34 - ACA Insured 1/14 at 100.00 A 2,421,300
1,295 Washington Public Power Supply System, Nuclear Project 3, Revenue No Opt. Call AAA 1,627,465
Refunding Bonds, Series 1989B, 7.125%, 7/01/16 - MBIA Insured
- ------------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 6.4%
550 Lac Courte Oreilles Band of Lake Superior Chippewa Indians, 12/14 at 101.00 N/R 545,996
Wisconsin, Revenue Bonds, Series 2003A, 7.750%, 6/01/16
300 Wisconsin Health and Educational Facilities Authority, Revenue Bonds, 7/06 at 102.00 N/R 298,476
Milwaukee Catholic Home, Inc., Series 1996, 7.250%, 7/01/17
1,000 Wisconsin Health and Educational Facilities Authority, Revenue Bonds, 8/08 at 101.00 AA 1,007,710
Howard Young Medical Center, Series 1998, 5.000%, 8/15/18 -
RAAI Insured
500 Wisconsin Health and Educational Facilities Authority, Revenue Bonds, 8/05 at 100.00 N/R 502,725
Oakwood Village Project, Series 2000A, 7.000%, 8/15/15
5,000 Wisconsin Health and Educational Facilities Authority, Revenue Bonds, 2/12 at 101.00 A 5,179,150
Wheaton Franciscan Services, Inc., Series 2002, 5.750%, 8/15/30
Wisconsin Health and Educational Facilities Authority, Revenue Bonds,
Aurora Health Care, Inc., Series 1999A:
2,300 5.600%, 2/15/29 - ACA Insured 2/09 at 101.00 A 2,322,977
9,380 5.600%, 2/15/29 2/09 at 101.00 BBB+ 9,188,365
Wisconsin Health and Educational Facilities Authority, Revenue
Bonds, Southwest Health Center, Inc., Series 2004A:
875 6.125%, 4/01/24 4/14 at 100.00 N/R 845,770
1,000 6.250%, 4/01/34 4/14 at 100.00 N/R 957,130
- ------------------------------------------------------------------------------------------------------------------------------------
$ 497,350 Total Long-Term Investments (cost $481,175,821) - 146.8% 476,013,287
=============-----------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 1.0% 3,341,896
--------------------------------------------------------------------------------------------------------------------
Preferred Shares, at Liquidation Value - (47.8)% (155,000,000)
--------------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $ 324,355,183
====================================================================================================================
(1) All percentages shown in the Portfolio of Investments
are based on net assets applicable to Common shares.
* Optional Call Provisions: Dates (month and year) and
prices of the earliest optional call or redemption.
There may be other call provisions at varying prices at
later dates.
** Ratings: Using the higher of Standard & Poor's or
Moody's rating.
*** Securities are backed by an escrow or trust containing
sufficient U.S. Government or U.S. Government agency
securities which ensures the timely payment of
principal and interest. Such securities are normally
considered to be equivalent to AAA rated securities.
N/R Investment is not rated.
(WI) Security purchased on a when-issued basis.
See accompanying notes to financial statements.
50
Statement of
ASSETS AND LIABILITIES April 30, 2004 (Unaudited)
INVESTMENT SELECT QUALITY PREMIER HIGH INCOME
QUALITY QUALITY INCOME INCOME OPPORTUNITY
(NQM) (NQS) (NQU) (NPF) (NMZ)
- ------------------------------------------------------------------------------------------------------------------------------------
ASSETS
Investments, at market value (cost $799,008,950,
$742,706,209, $1,169,943,659, $443,821,246 and
$481,175,821, respectively) $840,010,536 $781,101,611 $1,229,011,310 $457,334,625 $476,013,287
Cash -- -- -- 1,178,712 --
Receivables:
Interest 14,377,504 13,439,548 21,324,985 6,935,377 8,333,885
Investments sold 2,074,377 685,705 12,213,833 145,388 10,564,422
Other assets 49,520 44,048 72,811 18,668 10,481
- ------------------------------------------------------------------------------------------------------------------------------------
Total assets 856,511,937 795,270,912 1,262,622,939 465,612,770 494,922,075
- ------------------------------------------------------------------------------------------------------------------------------------
LIABILITIES
Cash overdraft 897,316 702,482 1,730,061 -- 8,205,265
Payable for investments purchased 3,533,106 -- 2,120,502 2,001,375 6,845,735
Accrued expenses:
Management fees 441,868 412,139 645,483 244,316 164,709
Organization and offering costs -- -- -- -- 123,257
Other 117,261 116,173 176,725 68,090 96,376
Preferred share dividends payable 24,663 24,344 33,854 9,419 131,550
- ------------------------------------------------------------------------------------------------------------------------------------
Total liabilities 5,014,214 1,255,138 4,706,625 2,323,200 15,566,892
- ------------------------------------------------------------------------------------------------------------------------------------
Preferred shares, at liquidation value 301,000,000 279,000,000 452,000,000 165,000,000 155,000,000
- ------------------------------------------------------------------------------------------------------------------------------------
Net assets applicable to Common shares $550,497,723 $515,015,774 $ 805,916,314 $298,289,570 $324,355,183
====================================================================================================================================
Common shares outstanding 35,748,959 33,887,474 54,204,488 20,091,018 23,183,308
====================================================================================================================================
Net asset value per Common share outstanding
(net assets applicable to Common
shares, divided by Common
shares outstanding) $ 15.40 $ 15.20 $ 14.87 $ 14.85 $ 13.99
====================================================================================================================================
NET ASSETS APPLICABLE TO COMMON SHARES CONSIST OF:
- ------------------------------------------------------------------------------------------------------------------------------------
Common shares, $.01 par value per share $ 357,490 $ 338,875 $ 542,045 $ 200,910 $ 231,833
Paid-in surplus 498,171,949 471,843,703 755,082,013 279,089,874 327,830,677
Undistributed (Over-distribution of)
net investment income 6,904,954 6,926,376 8,725,896 2,590,350 (200,229)
Accumulated net realized gain (loss)
from investments 4,061,744 (2,488,582) (17,501,291) 2,895,057 1,655,436
Net unrealized appreciation (depreciation)
of investments 41,001,586 38,395,402 59,067,651 13,513,379 (5,162,534)
- ------------------------------------------------------------------------------------------------------------------------------------
Net assets applicable to Common shares $550,497,723 $515,015,774 $ 805,916,314 $298,289,570 $324,355,183
====================================================================================================================================
Authorized shares:
Common 200,000,000 200,000,000 200,000,000 200,000,000 Unlimited
Preferred 1,000,000 1,000,000 1,000,000 1,000,000 Unlimited
====================================================================================================================================
See accompanying notes to financial statements.
51
Statement of
OPERATIONS Six Months Ended April 30, 2004 (Unaudited)
INVESTMENT SELECT QUALITY PREMIER HIGH INCOME
QUALITY QUALITY INCOME INCOME OPPORTUNITY
(NQM) (NQS) (NQU) (NPF) (NMZ)*
- ------------------------------------------------------------------------------------------------------------------------------------
INVESTMENT INCOME $ 22,642,381 $21,524,121 $33,087,420 $12,251,419 $ 9,616,490
- ------------------------------------------------------------------------------------------------------------------------------------
EXPENSES
Management fees 2,717,695 2,523,967 3,957,960 1,504,195 1,369,109
Preferred shares - auction fees 375,219 347,795 563,452 205,685 50,718
Preferred shares - dividend disbursing agent fees 24,932 24,932 29,918 14,959 5,290
Shareholders' servicing agent fees and expenses 37,819 33,808 57,654 19,865 2,031
Custodian's fees and expenses 80,354 71,710 131,074 53,236 66,365
Directors'/Trustees' fees and expenses 9,954 6,353 9,692 3,351 6,884
Professional fees 43,918 70,429 33,111 61,457 48,045
Shareholders' reports - printing and
mailing expenses 46,732 42,296 78,569 25,231 32,611
Stock exchange listing fees 7,396 7,145 10,868 7,716 635
Investor relations expense 41,217 38,689 62,435 22,637 23,108
Other expenses 25,600 25,215 33,135 18,142 4,113
- ------------------------------------------------------------------------------------------------------------------------------------
Total expenses before custodian fee credit
and expense reimbursement 3,410,836 3,192,339 4,967,868 1,936,474 1,608,909
Custodian fee credit (12,495) (20,399) (10,003) (5,134) (33,524)
Expense reimbursement -- -- -- -- (595,309)
Legal fee reimbursement -- (227,728) -- -- --
- ------------------------------------------------------------------------------------------------------------------------------------
Net expenses 3,398,341 2,944,212 4,957,865 1,931,340 980,076
- ------------------------------------------------------------------------------------------------------------------------------------
Net investment income 19,244,040 18,579,909 28,129,555 10,320,079 8,636,414
- ------------------------------------------------------------------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS) FROM INVESTMENTS
Net realized gain (loss) from investments 5,134,811 (2,486,904) 440,147 3,317,684 1,655,436
Change in net unrealized appreciation
(depreciation) of investments (14,228,750) 129,466 (9,805,261) (8,738,956) (5,162,535)
- ------------------------------------------------------------------------------------------------------------------------------------
Net gain (loss) from investments (9,093,939) (2,357,438) (9,365,114) (5,421,272) (3,507,099)
- ------------------------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO PREFERRED SHAREHOLDERS
From net investment income (1,279,199) (1,045,259) (1,937,333) (712,137) (587,768)
From accumulated net realized gains
from investments -- (189,626) -- -- --
- ------------------------------------------------------------------------------------------------------------------------------------
Decrease in net assets applicable to Common shares
from distributions to Preferred shareholders (1,279,199) (1,234,885) (1,937,333) (712,137) (587,768)
- ------------------------------------------------------------------------------------------------------------------------------------
Net increase in net assets applicable to
Common shares from operations $ 8,870,902 $14,987,586 $16,827,108 $ 4,186,670 $ 4,541,547
====================================================================================================================================
* For the period November 19, 2003 (commencement of operations) through April
30, 2004.
See accompanying notes to financial statements.
52
Statement of
CHANGES IN NET ASSETS (Unaudited)
INVESTMENT QUALITY (NQM) SELECT QUALITY (NQS)
--------------------------------- --------------------------------
SIX MONTHS ENDED YEAR ENDED SIX MONTHS ENDED YEAR ENDED
4/30/04 10/31/03 4/30/04 10/31/03
- ------------------------------------------------------------------------------------------------------------------------------------
OPERATIONS
Net investment income $ 19,244,040 $ 39,687,300 $ 18,579,909 $ 36,520,388
Net realized gain (loss) from investments 5,134,811 (1,111,259) (2,486,904) 2,974,735
Change in net unrealized appreciation (depreciation)
of investments (14,228,750) 2,071,439 129,466 7,303,621
Distributions to Preferred Shareholders:
From net investment income (1,279,199) (2,742,396) (1,045,259) (2,528,064)
From accumulated net realized gains from investments -- (81,498) (189,626) --
- ------------------------------------------------------------------------------------------------------------------------------------
Net increase in net assets applicable to Common shares
from operations 8,870,902 37,823,586 14,987,586 44,270,680
- ------------------------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO COMMON SHAREHOLDERS
From net investment income (18,017,475) (35,966,517) (16,933,397) (33,209,730)
From accumulated net realized gains from investments -- (816,999) (2,399,044) --
- ------------------------------------------------------------------------------------------------------------------------------------
Decrease in net assets applicable to Common shares from
distributions to Common shareholders (18,017,475) (36,783,516) (19,332,441) (33,209,730)
- ------------------------------------------------------------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS
Common shares:
Net proceeds from sale of shares -- -- -- --
Net proceeds from shares issued to shareholders due
to reinvestment of distributions -- -- -- --
Preferred shares offering costs -- -- -- --
- ------------------------------------------------------------------------------------------------------------------------------------
Net increase in net assets applicable to Common
shares from capital share transactions -- -- -- --
- ------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets applicable to Common shares (9,146,573) 1,040,070 (4,344,855) 11,060,950
Net assets applicable to Common shares at the beginning
of period 559,644,296 558,604,226 519,360,629 508,299,679
- ------------------------------------------------------------------------------------------------------------------------------------
Net assets applicable to Common shares at the end of period $550,497,723 $559,644,296 $515,015,774 $519,360,629
====================================================================================================================================
Undistributed (Over-distribution of) net investment income
at the end of period $ 6,904,954 $ 6,957,588 $ 6,926,376 $ 6,325,123
====================================================================================================================================
See accompanying notes to financial statements.
53
Statement of
CHANGES IN NET ASSETS (Unaudited) (continued)
HIGH INCOME
OPPORTUNITY
QUALITY INCOME (NQU) PREMIER INCOME (NPF) (NMZ)
--------------------------------- -------------------------------- ---------------
FOR THE
PERIOD
11/19/03
(COMMENCEMENT
OF OPERATIONS)
SIX MONTHS ENDED YEAR ENDED SIX MONTHS ENDED YEAR ENDED THROUGH
4/30/04 10/31/03 4/30/04 10/31/03 4/30/04
- ------------------------------------------------------------------------------------------------------------------------------------
OPERATIONS
Net investment income $ 28,129,555 $ 57,694,782 $ 10,320,079 $ 21,302,745 $ 8,636,414
Net realized gain (loss) from investments 440,147 (17,548,461) 3,317,684 (462,037) 1,655,436
Change in net unrealized appreciation
(depreciation) of investments (9,805,261) 36,283,394 (8,738,956) 359,740 (5,162,535)
Distributions to Preferred Shareholders:
From net investment income (1,937,333) (4,025,308) (712,137) (1,449,983) (587,768)
From accumulated net realized gains
from investments -- (138,847) -- (162,994) --
- ------------------------------------------------------------------------------------------------------------------------------------
Net increase in net assets applicable to Common
shares from operations 16,827,108 72,265,560 4,186,670 19,587,471 4,541,547
- ------------------------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO COMMON SHAREHOLDERS
From net investment income (26,180,774) (52,036,285) (9,945,056) (19,773,812) (8,248,875)
From accumulated net realized gains
from investments -- (1,550,167) -- (1,723,562) --
- ------------------------------------------------------------------------------------------------------------------------------------
Decrease in net assets applicable to Common
shares from distributions to
Common shareholders (26,180,774) (53,586,452) (9,945,056) (21,497,374) (8,248,875)
- ------------------------------------------------------------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS
Common shares:
Net proceeds from sale of shares -- -- -- -- 330,929,250
Net proceeds from shares issued to shareholders due
to reinvestment of distributions -- -- -- -- 403,486
Preferred shares offering costs -- -- -- -- (3,370,500)
- ------------------------------------------------------------------------------------------------------------------------------------
Net increase in net assets applicable to Common
shares from capital share transactions -- -- -- -- 327,962,236
- ------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets applicable
to Common shares (9,353,666) 18,679,108 (5,758,386) (1,909,903) 324,254,908
Net assets applicable to Common shares at the
beginning of period 815,269,980 796,590,872 304,047,956 305,957,859 100,275
- ------------------------------------------------------------------------------------------------------------------------------------
Net assets applicable to Common shares at the
end of period $805,916,314 $815,269,980 $298,289,570 $304,047,956 $324,355,183
====================================================================================================================================
Undistributed (Over-distribution of) net
investment income at the end of period $ 8,725,896 $ 8,714,448 $ 2,590,350 $ 2,927,464 $ (200,229)
====================================================================================================================================
See accompanying notes to financial statements.
54
Notes to
FINANCIAL STATEMENTS (Unaudited)
1. GENERAL INFORMATION AND SIGNIFICANT ACCOUNTING POLICIES
The National Funds (the "Funds") covered in this report and their corresponding
Common share stock exchange symbols are Nuveen Investment Quality Municipal
Fund, Inc. (NQM), Nuveen Select Quality Municipal Fund, Inc. (NQS), Nuveen
Quality Income Municipal Fund, Inc. (NQU), Nuveen Premier Municipal Income Fund,
Inc. (NPF) and Nuveen Municipal High Income Opportunity Fund (NMZ). Common
shares of Investment Quality (NQM), Select Quality (NQS), Quality Income (NQU)
and Premier Income (NPF) are traded on the New York Stock Exchange while Common
shares of High Income Opportunity (NMZ) are traded on the American Stock
Exchange. The Funds are registered under the Investment Company Act of 1940, as
amended, as closed-end, diversified management investment companies.
Prior to the commencement of operations of High Income Opportunity (NMZ), the
Fund had no operations other than those related to organizational matters, the
initial capital contribution of $100,275 by Nuveen Advisory Corp. (the
"Adviser"), a wholly owned subsidiary of Nuveen Investments, Inc., and the
recording of the organization expenses ($11,500) and their reimbursement by
Nuveen Investments, LLC, also a wholly owned subsidiary of Nuveen Investments,
Inc.
Each Fund seeks to provide current income exempt from regular federal income tax
by investing primarily in a diversified portfolio of municipal obligations
issued by state and local government authorities.
The following is a summary of significant accounting policies followed by the
Funds in the preparation of their financial statements in accordance with
accounting principles generally accepted in the United States.
Securities Valuation
The prices of municipal bonds in each Fund's investment portfolio are provided
by a pricing service approved by the Fund's Board of Directors/Trustees. When
price quotes are not readily available (which is usually the case for municipal
securities), the pricing service establishes fair market value based on yields
or prices of municipal bonds of comparable quality, type of issue, coupon,
maturity and rating, indications of value from securities dealers, evaluations
of anticipated cash flows or collateral and general market conditions. If it is
determined that market prices for a security are unavailable or inappropriate,
the Board of Directors/Trustees of the Funds, or its designee, may establish a
fair value for the security. Temporary investments in securities that have
variable rate and demand features qualifying them as short-term securities are
valued at amortized cost, which approximates market value.
Securities Transactions
Securities transactions are recorded on a trade date basis. Realized gains and
losses from such transactions are determined on the specific identification
method. Securities purchased or sold on a when-issued or delayed delivery basis
may have extended settlement periods. The securities so purchased are subject to
market fluctuation during this period. The Funds have instructed the custodian
to segregate assets with a current value at least equal to the amount of the
when-issued and delayed delivery purchase commitments. At April 30, 2004,
Investment Quality (NQM), Premier Income (NPF) and High Income Opportunity (NMZ)
had when-issued or delayed delivery purchase commitments of $3,533,106,
$2,001,375 and $1,102,063, respectively. There were no such outstanding purchase
commitments in either of the other Funds.
Investment Income
Interest income, which includes the amortization of premiums and accretion of
discounts for financial reporting purposes, is recorded on an accrual basis.
Investment income also includes paydown gains and losses, if any.
Professional Fees
Professional fees presented in the Statement of Operations consist of legal fees
incurred in the normal course of operations, audit fees, tax consulting fees
and, in some cases, workout expenditures. Workout expenditures are incurred in
an attempt to protect or enhance an investment, or to pursue other claims or
legal actions on behalf of the Fund's shareholders. Legal fee reimbursement
presented on the Statement of Operations for Select Quality (NQS) reflect a
refund of workout expenditures paid in a prior reporting period.
55
Notes to
FINANCIAL STATEMENTS (Unaudited) (continued)
Federal Income Taxes
Each Fund is a separate taxpayer for federal income tax purposes. Each Fund
intends to comply with the requirements of the Internal Revenue Code applicable
to regulated investment companies and to distribute all of its net investment
income to its shareholders. Therefore, no federal income tax provision is
required. Furthermore, each Fund intends to satisfy conditions which will enable
interest from municipal securities, which is exempt from regular federal income
tax, to retain such tax-exempt status when distributed to shareholders of the
Funds.
Dividends and Distributions to Common Shareholders
Dividends from tax-exempt net investment income are declared monthly. Net
realized capital gains and/or market discount from investment transactions, if
any, are distributed to shareholders not less frequently than annually.
Furthermore, capital gains are distributed only to the extent they exceed
available capital loss carryforwards.
Distributions to Common shareholders of tax-exempt net investment income, net
realized capital gains and/or market discount, if any, are recorded on the
ex-dividend date. The amount and timing of distributions are determined in
accordance with federal income tax regulations, which may differ from accounting
principles generally accepted in the United States.
Preferred Shares
The Funds have issued and outstanding $25,000 stated value Preferred shares.
Each Fund's Preferred shares are issued in more than one Series. The dividend
rate on each Series may change every seven days, as set pursuant to a dutch
auction process by the auction agent, and is payable at or near the end of each
rate period. The number of Preferred shares outstanding, by Series and in total,
for each Fund is as follows:
INVESTMENT SELECT QUALITY PREMIER HIGH INCOME
QUALITY QUALITY INCOME INCOME OPPORTUNITY
(NQM) (NQS) (NQU) (NPF) (NMZ)
- ---------------------------------------------------------------------------------------------------------
Number of shares:
Series M 2,500 2,000 3,000 1,000 3,000
Series T 2,500 2,000 3,000 2,800 1,600
Series W 2,500 2,800 3,000 -- 1,600
Series W2 -- -- 2,080 -- --
Series TH 2,040 1,560 4,000 2,800 --
Series F 2,500 2,800 3,000 -- --
- ---------------------------------------------------------------------------------------------------------
Total 12,040 11,160 18,080 6,600 6,200
=========================================================================================================
Effective January 23, 2004, High Income Opportunity (NMZ) issued 3,000 Series M,
1,600 Series T and 1,600 Series W, $25,000 stated value Preferred shares.
Derivative Financial Instruments
The Funds may invest in certain derivative financial instruments including
futures, forward, swap and option contracts, and other financial instruments
with similar characteristics. Although the Funds are authorized to invest in
such financial instruments, and may do so in the future, they did not make any
such investments during the six months ended April 30, 2004.
Custodian Fee Credit
Each Fund has an arrangement with the custodian bank whereby certain custodian
fees and expenses are reduced by credits earned on each Fund's cash on deposit
with the bank. Such deposit arrangements are an alternative to overnight
investments.
56
Offering Costs
Nuveen Investments, LLC has agreed to pay all Common share offering costs (other
than the sales load) that exceeds $.03 per Common share for High Income
Opportunity (NMZ). High Income Opportunity's (NMZ) share of Common share
offering costs ($694,500) were recorded as a reduction of the proceeds from the
sale of Common shares.
Costs incurred by High Income Opportunity (NMZ) in connection with its offering
of Preferred shares ($3,370,500) were recorded as a reduction to paid-in
surplus.
Indemnifications
Under the Funds' organizational documents, its Officers and Directors/Trustees
are indemnified against certain liabilities arising out of the performance of
their duties to the Funds. In addition, in the normal course of business, the
Funds enter into contracts that provide general indemnifications to other
parties. The Funds' maximum exposure under these arrangements is unknown as this
would involve future claims that may be made against the Funds that have not yet
occurred.
Use of Estimates
The preparation of financial statements in conformity with accounting principles
generally accepted in the United States requires management to make estimates
and assumptions that affect the reported amounts of assets and liabilities at
the date of the financial statements and the reported amounts of increases and
decreases in net assets applicable to Common shares from operations during the
reporting period. Actual results may differ from those estimates.
2. FUND SHARES
Transactions in Common and Preferred shares were as follows:
INVESTMENT SELECT QUALITY
QUALITY (NQM) QUALITY (NQS) INCOME (NQU)
----------------------- ------------------------ -----------------------
SIX MONTHS YEAR SIX MONTHS YEAR SIX MONTHS YEAR
ENDED ENDED ENDED ENDED ENDED ENDED
4/30/04 10/31/03 4/30/04 10/31/03 4/30/04 10/31/03
- ---------------------------------------------------------------------------------------------------------
Common shares:
Shares sold -- -- -- -- -- --
Shares issued to shareholders
due to reinvestment
of distributions -- -- -- -- -- --
- ---------------------------------------------------------------------------------------------------------
-- -- -- -- -- --
=========================================================================================================
Preferred shares sold -- -- -- -- -- --
=========================================================================================================
PREMIER HIGH INCOME
INCOME (NPF) OPPORTUNITY (NMZ)
------------------------ -------------------
FOR THE
PERIOD
11/19/03
(COMMENCEMENT
SIX MONTHS YEAR OF OPERATIONS)
ENDED ENDED THROUGH
4/30/04 10/31/03 4/30/04
- ---------------------------------------------------------------------------------------------------------
Common shares:
Shares sold -- -- 23,150,000
Shares issued to shareholders
due to reinvestment of distributions -- -- 26,308
- ---------------------------------------------------------------------------------------------------------
-- -- 23,176,308
=========================================================================================================
Preferred shares sold -- -- 6,200
=========================================================================================================
3. SECURITIES TRANSACTIONS
Purchases and sales (including maturities) of investments in long-term municipal
securities during the six months ended April 30, 2004, were as follows:
INVESTMENT SELECT QUALITY PREMIER HIGH INCOME
QUALITY QUALITY INCOME INCOME OPPORTUNITY
(NQM) (NQS) (NQU) (NPF) (NMZ)*
- ----------------------------------------------------------------------------------------------------------
Purchases $92,015,613 $22,701,890 $25,817,899 $50,197,580 $652,608,637
Sales and maturities 75,992,509 9,554,918 29,266,000 52,545,586 172,759,916
==========================================================================================================
* For the period November 19, 2003 (commencement of operations) through April
30, 2004.
57
Notes to
FINANCIAL STATEMENTS (Unaudited) (continued)
4. INCOME TAX INFORMATION
The following information is presented on an income tax basis. Differences
between amounts for financial statement and federal income tax purposes are
primarily due to the treatment of paydown gains and losses on investments,
timing differences in recognizing income on taxable market discount securities
and timing differences in recognizing certain gains and losses on security
transactions.
At April 30, 2004, the cost of investments were as follows:
INVESTMENT SELECT QUALITY PREMIER HIGH INCOME
QUALITY QUALITY INCOME INCOME OPPORTUNITY
(NQM) (NQS) (NQU) (NPF) (NMZ)
- ---------------------------------------------------------------------------------------------------------------
Cost of investments $798,619,121 $742,384,894 $1,169,965,296 $443,742,760 $481,082,822
===============================================================================================================
Gross unrealized appreciation and gross unrealized depreciation of investments
at April 30, 2004, were as follows:
INVESTMENT SELECT QUALITY PREMIER HIGH INCOME
QUALITY QUALITY INCOME INCOME OPPORTUNITY
(NQM) (NQS) (NQU) (NPF) (NMZ)
- --------------------------------------------------------------------------------------------------------------
Gross unrealized:
Appreciation $ 55,499,602 $46,380,561 $65,380,093 $20,732,836 $ 2,907,835
Depreciation (14,108,187) (7,663,844) (6,334,079) (7,140,971) (7,977,370)
- --------------------------------------------------------------------------------------------------------------
Net unrealized appreciation
of investments $ 41,391,415 $38,716,717 $59,046,014 $13,591,865 $(5,069,535)
==============================================================================================================
The tax components of undistributed net investment income and net realized gains
at October 31, 2003, the Funds' last fiscal year end, were as follows:
INVESTMENT SELECT QUALITY PREMIER
QUALITY QUALITY INCOME INCOME
(NQM) (NQS) (NQU) (NPF)
- ---------------------------------------------------------------------------------------------------------
Undistributed net tax-exempt income $9,471,609 $8,784,109 $12,774,454 $4,492,818
Undistributed net ordinary income * 137,030 61,975 980 1,676
Undistributed net long-term capital gains -- 2,586,992 -- --
=========================================================================================================
* Net ordinary income consists of taxable market discount income and net
short-term capital gains, if any.
The tax character of distributions paid during the fiscal year ended October 31,
2003, the Funds' last fiscal year end, was designated for purposes of the
dividends paid deduction as follows:
INVESTMENT SELECT QUALITY PREMIER
QUALITY QUALITY INCOME INCOME
(NQM) (NQS) (NQU) (NPF)
- ---------------------------------------------------------------------------------------------------------
Distributions from net tax-exempt income $38,441,758 $35,672,184 $56,010,189 $21,206,118
Distributions from net ordinary income * 200,905 -- -- 4,704
Distributions from net long-term capital gains 897,555 -- 1,689,014 1,886,500
=========================================================================================================
* Net ordinary income consists of taxable market discount income and net
short-term capital gains, if any.
58
At October 31 2003, the Funds' last fiscal year end, the following Funds had
unused capital loss carryforwards available for federal income tax purposes to
be applied against future capital gains, if any. If not applied, the
carryforwards will expire in 2011:
INVESTMENT QUALITY PREMIER
QUALITY INCOME INCOME
(NQM) (NQU) (NPF)
- --------------------------------------------------------------------------------
Expiration year:
2011 $1,109,759 $17,527,285 $422,878
================================================================================
5. MANAGEMENT FEE AND OTHER TRANSACTIONS WITH AFFILIATES
Under the Funds' (excluding High Income Opportunity (NMZ)) investment management
agreements with the Adviser, each Fund pays an annual management fee, payable
monthly, at the rates set forth below, which are based upon the average daily
net assets (including net assets attributable to Preferred shares) of each Fund
as follows:
AVERAGE DAILY NET ASSETS (INCLUDING NET ASSETS
ATTRIBUTABLE TO PREFERRED SHARES) MANAGEMENT FEE
- --------------------------------------------------------------------------------
For the first $125 million .6500%
For the next $125 million .6375
For the next $250 million .6250
For the next $500 million .6125
For the next $1 billion .6000
For the next $3 billion .5875
For net assets over $5 billion .5750
================================================================================
Under High Income Opportunity's (NMZ) investment management agreement with the
Adviser, the Fund pays an annual management fee, payable monthly, at the rates
set forth below, which are based upon the average daily net assets (including
net assets attributable to Preferred shares) of the Fund as follows:
AVERAGE DAILY NET ASSETS (INCLUDING NET ASSETS
ATTRIBUTABLE TO PREFERRED SHARES) MANAGEMENT FEE
- --------------------------------------------------------------------------------
For the first $125 million .7500%
For the next $125 million .7375
For the next $250 million .7250
For the next $500 million .7125
For the next $1 billion .7000
For net assets over $2 billion .6750
================================================================================
The management fee compensates the Adviser for overall investment advisory and
administrative services and general office facilities. The Funds pay no
compensation directly to those of its Directors/Trustees who are affiliated with
the Adviser or to their officers, all of whom receive remuneration for their
services to the Funds from the Adviser or its affiliates.
As approved by the Board of Directors/Trustees, a complex-wide fee schedule for
all Funds managed by the Adviser and its affiliates will go into effect on
August 1, 2004. This complex-wide fee schedule is expected to marginally
decrease the rate at which management fees are to be paid by the Funds. Under no
circumstances will the complex-wide fee schedule result in an increase in the
rate at which management fees would be paid by the Funds if the complex-wide fee
schedule were not implemented.
For the first eight years of High Income Opportunity's (NMZ) operation, the
Adviser has agreed to reimburse the Fund, as a percentage of average daily net
assets (including net assets attributable to Preferred shares), for fees and
expenses in the amounts, and for the time periods set forth below:
YEAR ENDING YEAR ENDING
NOVEMBER 30, NOVEMBER 30,
- --------------------------------------------------------------------------------
2003* .32% 2009 .24%
2004 .32 2010 .16
2005 .32 2011 .08
2006 .32
2007 .32
2008 .32
================================================================================
* From the commencement of operations.
The Adviser has not agreed to reimburse High Income Opportunity (NMZ) for any
portion of its fees and expenses beyond November 30, 2011.
59
Notes to
FINANCIAL STATEMENTS (Unaudited) (continued)
6. INVESTMENT COMPOSITION
At April 30, 2004, the revenue sources by municipal purpose, expressed as a
percent of total investments, were as follows:
INVESTMENT SELECT QUALITY PREMIER HIGH INCOME
QUALITY QUALITY INCOME INCOME OPPORTUNITY
(NQM) (NQS) (NQU) (NPF) (NMZ)
- ---------------------------------------------------------------------------------------------------------
Consumer Staples 2% 5% 5% 3% 4%
Education and Civic Organizations 3 1 2 4 --
Energy -- -- -- -- 3
Healthcare 13 17 9 11 25
Housing/Multifamily 6 4 3 7 9
Housing/Single Family 3 6 3 4 --
Materials -- 1 -- -- 4
Tax Obligation/General 18 9 24 16 7
Tax Obligation/Limited 10 9 6 20 30
Transportation 12 12 13 2 7
U.S. Guaranteed 18 16 16 13 --
Utilities 7 14 12 10 5
Water and Sewer 7 4 6 9 --
Other 1 2 1 1 6
- ---------------------------------------------------------------------------------------------------------
100% 100% 100% 100% 100%
=========================================================================================================
Certain investments owned by the Funds are either covered by insurance issued by
several private insurers or are backed by an escrow or trust containing U.S.
Government or U.S. Government agency securities, both of which ensure the timely
payment of principal and interest in the event of default (63% for Investment
Quality (NQM), 60% for Select Quality (NQS), 64% for Quality Income (NQU), 59%
for Premier Income (NPF) and 14% for High Income Opportunity (NMZ)). Such
insurance or escrow, however, does not guarantee the market value of the
municipal securities or the value of the Funds' shares.
For additional information regarding each investment security, refer to the
Portfolio of Investments of each Fund.
7. SUBSEQUENT EVENT - DISTRIBUTIONS TO COMMON SHAREHOLDERS
The Funds declared Common share dividend distributions from their tax-exempt net
investment income which were paid on June 1, 2004, to shareholders of record on
May 15, 2004, as follows:
INVESTMENT SELECT QUALITY PREMIER HIGH INCOME
QUALITY QUALITY INCOME INCOME OPPORTUNITY
(NQM) (NQS) (NQU) (NPF) (NMZ)
- -----------------------------------------------------------------------------------------------------------
Dividend per share $.0840 $.0830 $.0805 $.0825 $.0890
===========================================================================================================
60
Financial
HIGHLIGHTS (Unaudited)
61
Financial
HIGHLIGHTS (Unaudited)
Selected data for a Common share outstanding throughout each period:
Investment Operations Less Distributions
--------------------------------------------------------------- ------------------------------
Distributions Distributions
from Net from Net
Beginning Net Investment Capital Investment Capital
Common Realized/ Income to Gains to Income to Gains to
Share Net Unrealized Preferred Preferred Common Common
Net Asset Investment Investment Share- Share- Share- Share-
Value Income Gain (Loss) holders+ holders+ Total holders holders Total
====================================================================================================================================
INVESTMENT QUALITY (NQM)
- ------------------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2004(a) $15.65 $ .54 $ (.25) $(.04) $ -- $ .25 $ (.50) $ -- $ (.50)
2003 15.63 1.11 .02 (.08) -- 1.05 (1.01) (.02) (1.03)
2002 15.71 1.15 (.15) (.11) (.01) .88 (.94) (.02) (.96)
2001 14.67 1.16 1.00 (.27) -- 1.89 (.85) -- (.85)
2000 14.03 1.21 .66 (.34) -- 1.53 (.89) -- (.89)
1999 16.00 1.21 (1.96) (.24) -- (.99) (.96) -- (.96)
SELECT QUALITY (NQS)
- ------------------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2004(a) 15.33 .55 (.07) (.03) (.01) .44 (.50) (.07) (.57)
2003 15.00 1.08 .30 (.07) -- 1.31 (.98) -- (.98)
2002 15.48 1.12 (.38) (.09) (.04) .61 (.94) (.15) (1.09)
2001 14.48 1.19 .95 (.26) (.01) 1.87 (.87) -- (.87)
2000 14.05 1.22 .47 (.34) -- 1.35 (.92) -- (.92)
1999 15.68 1.22 (1.64) (.24) -- (.66) (.96) -- (.96)
QUALITY INCOME (NQU)
- ------------------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2004(a) 15.04 .52 (.17) (.04) -- .31 (.48) -- (.48)
2003 14.70 1.06 .34 (.07) -- 1.33 (.96) (.03) (.99)
2002 15.32 1.12 (.59) (.10) (.03) .40 (.93) (.09) (1.02)
2001 14.53 1.21 .76 (.26) -- 1.71 (.91) (.01) (.92)
2000 14.33 1.28 .21 (.34) -- 1.15 (.95) -- (.95)
1999 15.83 1.27 (1.48) (.25) -- (.46) (1.03) -- (1.03)
PREMIER INCOME (NPF)
- ------------------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2004(a) 15.13 .51 (.25) (.04) -- .22 (.50) -- (.50)
2003 15.23 1.06 (.01) (.07) (.01) .97 (.98) (.09) (1.07)
2002 15.31 1.15 (.13) (.11) (.01) .90 (.96) (.02) (.98)
2001 14.42 1.23 .84 (.26) -- 1.81 (.92) -- (.92)
2000 14.24 1.26 .21 (.34) -- 1.13 (.95) -- (.95)
1999 15.76 1.22 (1.51) (.24) -- (.53) (.97) -- (.97)
HIGH INCOME OPPORTUNITY (NMZ)
- ------------------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2004(b) 14.33 .37 (.14) (.03) -- .20 (.36) -- (.36)
====================================================================================================================================
Total Returns
---------------------
Offering Based
Costs and Ending on
Preferred Common Based Common
Share Share Ending on Share Net
Underwriting Net Asset Market Market Asset
Discounts Value Value Value** Value**
=========================================================================================
INVESTMENT QUALITY (NQM)
- -----------------------------------------------------------------------------------------
Year Ended 10/31:
2004(a) $ -- $15.40 $14.0000 (4.20)% 1.55%
2003 -- 15.65 15.1000 7.78 6.88
2002 -- 15.63 14.9900 7.71 5.85
2001 -- 15.71 14.8400 22.33 13.16
2000 -- 14.67 12.8750 3.70 11.38
1999 (.02) 14.03 13.3125 (8.51) (6.64)
SELECT QUALITY (NQS)
- -----------------------------------------------------------------------------------------
Year Ended 10/31:
2004(a) -- 15.20 13.8000 (3.24) 2.83
2003 -- 15.33 14.8100 9.91 8.96
2002 -- 15.00 14.4000 5.24 4.22
2001 -- 15.48 14.7500 20.09 13.23
2000 -- 14.48 13.0625 6.85 10.02
1999 (.01) 14.05 13.1250 (13.63) (4.55)
QUALITY INCOME (NQU)
- -----------------------------------------------------------------------------------------
Year Ended 10/31:
2004(a) -- 14.87 13.5700 (2.16) 2.02
2003 -- 15.04 14.3300 9.31 9.37
2002 -- 14.70 14.0400 3.05 2.71
2001 -- 15.32 14.6200 18.72 12.09
2000 -- 14.53 13.1250 .73 8.37
1999 (.01) 14.33 14.0000 (11.17) (3.20)
PREMIER INCOME (NPF)
- -----------------------------------------------------------------------------------------
Year Ended 10/31:
2004(a) -- 14.85 13.6300 (4.42) 1.34
2003 -- 15.13 14.7400 9.13 6.57
2002 -- 15.23 14.5200 4.57 6.19
2001 -- 15.31 14.8400 15.93 12.89
2000 -- 14.42 13.6250 9.71 8.22
1999 (.02) 14.24 13.3125 (17.25) (3.71)
HIGH INCOME OPPORTUNITY (NMZ)
- -----------------------------------------------------------------------------------------
Year Ended 10/31:
2004(b) (.18) 13.99 14.1000 (3.75) 0.06
=========================================================================================
Ratios/Supplemental Data
---------------------------------------------------------------------------------------------
Before Credit/Reimbursement After Credit/Reimbursement***
---------------------------- ------------------------------
Ratio of Net Ratio of Net
Ratio of Investment Ratio of Investment
Ending Expenses Income to Expenses Income to
Net to Average Average to Average Average
Assets Net Assets Net Assets Net Assets Net Assets
Applicable Applicable Applicable Applicable Applicable Portfolio
to Common to Common to Common to Common to Common Turnover
Shares (000) Shares++ Shares++ Shares++ Shares++ Rate
============================================================================================================================
INVESTMENT QUALITY (NQM)
- ----------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2004(a) $550,498 1.19%* 6.73%* 1.19%* 6.73%* 9%
2003 559,644 1.22 7.05 1.22 7.05 5
2002 558,604 1.21 7.48 1.21 7.49 5
2001 561,577 1.24 7.56 1.23 7.56 17
2000 524,320 1.24 8.57 1.22 8.59 35
1999 501,508 1.17 7.85 1.16 7.86 16
SELECT QUALITY (NQS)
- ----------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2004(a) 515,016 1.20* 6.91* 1.15* 6.96* 1
2003 519,361 1.26 7.06 1.25 7.06 9
2002 508,300 1.24 7.46 1.23 7.47 19
2001 524,597 1.24 7.89 1.23 7.89 28
2000 490,683 1.22 8.67 1.21 8.68 30
1999 476,102 1.17 8.07 1.16 8.08 27
QUALITY INCOME (NQU)
- ----------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2004(a) 805,916 1.19* 6.75* 1.19* 6.75* 2
2003 815,270 1.21 7.12 1.21 7.13 9
2002 796,591 1.23 7.50 1.22 7.51 32
2001 830,636 1.21 8.05 1.21 8.06 30
2000 787,829 1.21 8.95 1.20 8.95 23
1999 776,845 1.17 8.27 1.16 8.27 13
PREMIER INCOME (NPF)
- ----------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2004(a) 298,290 1.25* 6.64* 1.24* 6.65* 11
2003 304,048 1.24 6.91 1.23 6.91 19
2002 305,958 1.29 7.66 1.28 7.67 25
2001 307,496 1.28 8.25 1.26 8.26 14
2000 289,103 1.27 8.84 1.26 8.85 9
1999 285,509 1.19 7.98 1.18 7.99 11
HIGH INCOME OPPORTUNITY (NMZ)
- ----------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2004(b) 324,355 1.09* 5.45* .67* 5.88* 44
============================================================================================================================
Preferred Shares at End of Period
--------------------------------------
Aggregate Liquidation
Amount and Market Asset
Outstanding Value Coverage
(000) Per Share Per Share
=======================================================================
INVESTMENT QUALITY (NQM)
- -----------------------------------------------------------------------
Year Ended 10/31:
2004(a) $301,000 $25,000 $70,722
2003 301,000 25,000 71,482
2002 301,000 25,000 71,396
2001 301,000 25,000 71,643
2000 301,000 25,000 68,548
1999 301,000 25,000 66,654
SELECT QUALITY (NQS)
- -----------------------------------------------------------------------
Year Ended 10/31:
2004(a) 279,000 25,000 71,148
2003 279,000 25,000 71,538
2002 279,000 25,000 70,547
2001 279,000 25,000 72,007
2000 279,000 25,000 68,968
1999 279,000 25,000 67,661
QUALITY INCOME (NQU)
- -----------------------------------------------------------------------
Year Ended 10/31:
2004(a) 452,000 25,000 69,575
2003 452,000 25,000 70,092
2002 452,000 25,000 69,059
2001 452,000 25,000 70,942
2000 452,000 25,000 68,575
1999 452,000 25,000 67,967
PREMIER INCOME (NPF)
- -----------------------------------------------------------------------
Year Ended 10/31:
2004(a) 165,000 25,000 70,195
2003 165,000 25,000 71,068
2002 165,000 25,000 71,357
2001 165,000 25,000 71,590
2000 165,000 25,000 68,804
1999 165,000 25,000 68,259
HIGH INCOME OPPORTUNITY (NMZ)
- -----------------------------------------------------------------------
Year Ended 10/31:
2004(b) 155,000 25,000 77,315
=======================================================================
* Annualized.
** Total Investment Return on Market Value is the combination of reinvested
dividend income, reinvested capital gains distributions, if any, and
changes in stock price per share. Total Return on Common Share Net Asset
Value is the combination of reinvested dividend income at net asset value,
reinvested capital gains distributions at net asset value, if any, and
changes in Common share net asset value per share. Total returns are not
annualized.
*** After custodian fee credit and expense reimbursements, where applicable.
+ The amounts shown are based on Common share equivalents.
++ Ratios do not reflect the effect of dividend payments to preferred
shareholders; income ratios reflect income earned on assets attributable to
Preferred shares.
(a) For the six months ended April 30, 2004.
(b) For the period November 19, 2003 (commencement of operations) through April
30, 2004.
See accompanying notes to financial statements.
62-63 SPREAD
Build Your Wealth
AUTOMATICALLY
Sidebar text: NUVEEN MAKES REINVESTING EASY. A PHONE CALL IS ALL IT TAKES TO SET
UP YOUR REINVESTMENT ACCOUNT.
NUVEEN CLOSED-END EXCHANGE-TRADED FUNDS DIVIDEND REINVESTMENT PLAN
Your Nuveen Closed-End Exchange-Traded Fund allows you to conveniently reinvest
dividends and/or capital gains distributions in additional fund shares.
By choosing to reinvest, you'll be able to invest money regularly and
automatically, and watch your investment grow through the power of tax-free
compounding. Just like dividends or distributions in cash, there may be times
when income or capital gains taxes may be payable on dividends or distributions
that are reinvested.
It is important to note that an automatic reinvestment plan does not ensure a
profit, nor does it protect you against loss in a declining market.
EASY AND CONVENIENT
To make recordkeeping easy and convenient, each month you'll receive a statement
showing your total dividends and distributions, the date of investment, the
shares acquired and the price per share, and the total number of shares you own.
HOW SHARES ARE PURCHASED
The shares you acquire by reinvesting will either be purchased on the open
market or newly issued by the Fund. If the shares are trading at or above net
asset value at the time of valuation, the Fund will issue new shares at the
then-current market price. If the shares are trading at less than net asset
value, shares for your account will be purchased on the open market. Dividends
and distributions received to purchase shares in the open market will normally
be invested shortly after the dividend payment date. No interest will be paid on
dividends and distributions awaiting reinvestment. Because the market price of
shares may increase before purchases are completed, the average purchase price
per share may exceed the market price at the time of valuation, resulting in the
acquisition of fewer shares than if the dividend or distribution had been paid
in shares issued by the Fund. A pro rata portion of any applicable brokerage
commissions on open market purchases will be paid by Plan participants. These
commissions usually will be lower than those charged on individual transactions.
FLEXIBILITY
You may change your distribution option or withdraw from the Plan at any time,
should your needs or situation change. Should you withdraw, you can receive a
certificate for all whole shares credited to your reinvestment account and cash
payment for fractional shares, or cash payment for all reinvestment account
shares, less brokerage commissions and a $2.50 service fee.
You can reinvest whether your shares are registered in your name, or in the name
of a brokerage firm, bank, or other nominee. Ask your investment advisor if his
or her firm will participate on your behalf. Participants whose shares are
registered in the name of one firm may not be able to transfer the shares to
another firm and continue to participate in the Plan.
The Fund reserves the right to amend or terminate the Plan at any time. Although
the Fund reserves the right to amend the Plan to include a service charge
payable by the participants, there is no direct service charge to participants
in the Plan at this time.
For more information on the Nuveen Automatic Reinvestment Plan or to enroll in
or withdraw from the Plan, speak with your financial advisor or call us at (800)
257-8787.
64
Fund
INFORMATION
BOARD OF DIRECTORS/TRUSTEES
Robert P. Bremner
Lawrence H. Brown
Jack B. Evans
William C. Hunter
Anne E. Impellizzeri*
William L. Kissick*
Thomas E. Leafstrand*
Peter R. Sawers*
William J. Schneider
Timothy R. Schwertfeger
Judith M. Stockdale
Sheila W. Wellington*
FUND MANAGER
Nuveen Advisory Corp.
333 West Wacker Drive
Chicago, IL 60606
CUSTODIAN
State Street Bank & Trust
Boston, MA
TRANSFER AGENT AND
SHAREHOLDER SERVICES
State Street Bank & Trust
Nuveen Funds
P.O. Box 43071
Providence, RI 02940-3071
(800) 257-8787
LEGAL COUNSEL
Chapman and Cutler LLP
Chicago, IL
INDEPENDENT AUDITORS
Ernst & Young LLP
Chicago, IL
PROXY VOTING POLICIES AND PROCEDURES
A description of the policies and procedures that the Funds use to determine how
to vote proxies relating to portfolio securities is available (i) without
charge, upon request, by calling Nuveen Investments at (800) 257-8787; and (ii)
on the Commission's website at http://www.sec.gov.
GLOSSARY OF TERMS USED IN THIS REPORT
Average Annual Total Return: This is a commonly used method to express an
investment's performance over a particular, usually multi-year time period. It
expresses the return (including change in NAV and reinvested dividends) that
would have been necessary on an annual basis to equal the investment's actual
performance over the time period being considered.
Average Duration: Duration is a measure of a bond or bond fund's sensitivity to
changes in interest rates. Generally, the longer a bond or fund's duration, the
more the price of the bond or fund will change as interest rates change.
Average Effective Maturity: The average of all the maturities of the bonds in a
fund's portfolio, computed by weighting each maturity date (the date the
security comes due) by the market value of the security. This figure does not
account for the likelihood of prepayments or the exercise of call provisions.
Leverage-Adjusted Duration: Duration is a measure of a bond or bond fund's
sensitivity to changes in interest rates. Generally, the longer a bond or fund's
duration, the more the price of the bond or fund will change as interest rates
change. Leverage-adjusted duration takes into account the leveraging process for
a Fund and therefore is generally longer than the duration of the actual
portfolio of individual bonds that make up the Fund.
Market Yield (also known as Dividend Yield or Current Yield): An investment's
current annualized dividend divided by its current market price.
Net Asset Value (NAV): A fund's NAV is calculated by subtracting the liabilities
of the fund from its total assets and then dividing the remainder by the number
of shares outstanding. Fund NAVs are calculated at the end of each business day.
Taxable-Equivalent Yield: The yield necessary from a fully taxable investment to
equal, on an after-tax basis, the yield of a municipal bond investment.
- ----------
*Director/Trustee will be retiring on June 30, 2004.
Each Fund intends to repurchase shares of its own common or preferred stock,
where applicable, in the future at such times and in such amounts as is deemed
advisable. No shares were purchased during the six-months ended April 30, 2004.
Any future repurchases will be reported to shareholders in the next annual or
semiannual report.
65
Serving Investors
FOR GENERATIONS
Since 1898, financial advisors and their clients have relied on Nuveen
Investments to provide dependable investment solutions. For the past century,
Nuveen Investments has adhered to the belief that the best approach to investing
is to apply conservative risk-management principles to help minimize volatility.
Building on this tradition, we today offer a range of high quality equity and
fixed-income solutions that are integral to a well-diversified core portfolio.
Our clients have come to appreciate this diversity, as well as our continued
adherence to proven, long-term investing principles.
Managing $100 billion in assets, Nuveen Investments offers access to a number of
different asset classes and investing solutions through a variety of products.
Nuveen Investments markets its capabilities under four distinct brands: Nuveen,
a leader in tax-free investments; NWQ, a leader in value-style equities;
Rittenhouse, a leader in growth-style equities; and Symphony, a leading
institutional manager of market-neutral alternative investment portfolios.
To learn more about the products and services Nuveen Investments offers and for
a prospectus, where applicable, talk to your financial advisor, or call us at
(800) 257-8787. Please read the information carefully before you invest.
Distributed by
NUVEEN INVESTMENTS, LLC | 333 West Wacker Drive | Chicago, Illinois 60606
| www.nuveen.com
ESA-C-0404D
ITEM 2. CODE OF ETHICS.
Not applicable to this filing.
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.
Not applicable to this filing.
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.
Not applicable to this filing.
ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.
Not applicable to this filing.
ITEM 6. SCHEDULE OF INVESTMENTS.
Not applicable at this time.
ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END
MANAGEMENT INVESTMENT COMPANIES.
Not applicable to this filing.
ITEM 8. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT
COMPANY AND AFFILIATED PURCHASERS.
Not applicable at this time.
ITEM 9. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.
In the event of a vacancy on the Board, the nominating and governance committee
receives suggestions from various sources, including shareholders, as to
suitable candidates. Suggestions should be sent in writing to Lorna Ferguson,
Vice President for Board Relations, Nuveen Investments, 333 West Wacker Drive,
Chicago, IL 60606. The nominating and governance committee sets appropriate
standards and requirements for nominations for new directors and reserves the
right to interview all candidates and to make the final selection of any new
directors.
ITEM 10. CONTROLS AND PROCEDURES.
(a) The registrant's principal executive and principal financial officers,
or persons performing similar functions, have concluded that the
registrant's disclosure controls and procedures (as defined in Rule
30a-3(c) under the Investment Company Act of 1940, as amended (the
"1940 Act") (17 CFR 270.30a-3(c))) are effective, as of a date within
90 days of the filing date of this report that includes the disclosure
required by this paragraph, based on their evaluation of the controls
and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR
270.30a-3(b)) and Rules 13a-15(b) or 15d-15(b) under the Securities
Exchange Act of 1934, as amended (the "Exchange Act")(17 CFR
240.13a-15(b) or 240.15d-15(b)).
(b) There were no changes in the registrant's internal control over
financial reporting (as defined in Rule 30a-3(d) under the 1940 Act
(17 CFR 270.30a-3(d)) that occurred during the registrant's last
fiscal half-year (the registrant's second fiscal half-year in the case
of an annual report) that has materially affected, or is reasonably
likely to materially affect, the registrant's internal control over
financial reporting.
ITEM 11. EXHIBITS.
File the exhibits listed below as part of this Form.
(a)(1) Any code of ethics, or amendment thereto, that is the subject of the
disclosure required by Item 2, to the extent that the registrant intends to
satisfy the Item 2 requirements through filing of an exhibit: Not applicable to
this filing.
(a)(2) A separate certification for each principal executive officer and
principal financial officer of the registrant as required by Rule 30a-2(a) under
the 1940 Act (17 CFR 270.30a-2(a)) in the exact form set forth below: Ex-99.CERT
attached hereto.
(a)(3) Any written solicitation to purchase securities under Rule 23c-1 under
the 1940 Act (17 CFR 270.23c-1) sent or given during the period covered by the
report by or on behalf of the registrant to 10 or more persons: Not applicable
at this time.
(b) If the report is filed under Section 13(a) or 15(d) of the Exchange Act,
provide the certifications required by Rule 30a-2(b) under the 1940 Act (17 CFR
270.30a-2(b)); Rule 13a-14(b) or Rule 15d-14(b) under the Exchange Act (17 CFR
240.13a-14(b) or 240.15d-14(b)), and Section 1350 of Chapter 63 of Title 18 of
the United States Code (18 U.S.C. 1350) as an exhibit. A certification furnished
pursuant to this paragraph will not be deemed "filed" for purposes of Section 18
of the Exchange Act (15 U.S.C. 78r), or otherwise subject to the liability of
that section. Such certification will not be deemed to be incorporated by
reference into any filing under the Securities Act of 1933 or the Exchange Act,
except to the extent that the registrant specifically incorporates it by
reference. Ex-99.906 CERT attached hereto.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, the registrant has duly caused this report to be
signed on its behalf by the undersigned, thereunto duly authorized.
(Registrant) Nuveen Premier Municipal Income Fund, Inc.
-----------------------------------------------------------
By (Signature and Title)* /s/ Jessica R. Droeger
----------------------------------------------
Jessica R. Droeger
Vice President and Secretary
Date: July 8, 2004
-------------------------------------------------------------------
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, this report has been signed below by the
following persons on behalf of the registrant and in the capacities and on the
dates indicated.
By (Signature and Title)* /s/ Gifford R. Zimmerman
----------------------------------------------
Gifford R. Zimmerman
Chief Administrative Officer
(Principal Executive Officer)
Date: July 8, 2004
-------------------------------------------------------------------
By (Signature and Title)* /s/ Stephen D. Foy
----------------------------------------------
Stephen D. Foy
Vice President and Controller
(Principal Financial Officer)
Date: July 8, 2004
-------------------------------------------------------------------
* Print the name and title of each signing officer under his or her signature.