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:    811-10501

BlackRock Municipal 2018 Term Trust

(Exact name of registrant as specified in charter)
 
100 Bellevue Parkway, Wilmington, DE 19809

(Address of principal executive offices) (Zip code)
 
Robert S. Kapito, President
BlackRock Municipal 2018 Term Trust

40 East 52nd Street, New York, NY 10022

(Name and address of agent for service)
 
 

Registrant's telephone number, including area code:    888-825-2257   

Date of fiscal year end:    December 31, 2004   

Date of reporting period:    December 31, 2004   


Item 1. Reports to Shareholders.
The Registrant’s annual report transmitted to shareholders pursuant to Rule 30e-1 under the Investment Company Act of 1940 is as follows:

FIXED INCOME    LIQUIDITY    EQUITIES    ALTERNATIVES    BLACKROCK SOLUTIONS 

BlackRock
Closed-End Funds
Annual Report

DECEMBER 31, 2004


BlackRock Insured Municipal 2008 Term Trust (BRM)

BlackRock Insured Municipal Term Trust (BMT)

BlackRock Municipal 2018 Term Trust (BPK)

BlackRock Municipal 2020 Term Trust (BKK)

BlackRock Municipal Target Term Trust (BMN)

BlackRock Strategic Municipal Trust (BSD)

BlackRock California Insured Municipal 2008 Term Trust (BFC)

BlackRock California Municipal 2018 Term Trust (BJZ)

BlackRock Florida Insured Municipal 2008 Term Trust (BRF)

BlackRock Florida Municipal 2020 Term Trust (BFO)

BlackRock New York Insured Municipal 2008 Term Trust (BLN)

BlackRock New York Municipal 2018 Term Trust (BLH)

BlackRock Pennsylvania Strategic Municipal Trust (BPS)


 

 

 

 

NOT FDIC INSURED
MAY LOSE VALUE
NO BANK GUARANTEE


TABLE OF CONTENTS

Letter to Shareholders    1 
     
Trusts’ Summaries    2 
     
Portfolios of Investments    15 
     
Financial Statements     
     
     Statements of Assets and Liabilities    57 
     
     Statements of Operations    59 
     
     Statements of Changes in Net Assets    61 
     
Financial Highlights    66 
     
Notes to Financial Statements    79 
     
Report of Independent Registered Public Accounting Firm    85 
     
Directors/Trustees Information    86 
     
Dividend Reinvestment Plans    89 
     
Additional Information    89 

 


Privacy Principles of the Trusts

     The Trusts are committed to maintaining the privacy of shareholders and to safeguarding their non-public personal information. The following information is provided to help you understand what personal information the Trusts collect, how we protect that information and why, in certain cases, we may share information with select other parties.

     Generally, the Trusts do not receive any non-public personal information relating to their shareholders, although certain non-public personal information of shareholders may become available to the Trusts. The Trusts do not disclose any non-public personal information about their shareholders or former shareholders to anyone, except as permitted by law or as is necessary in order to service shareholder accounts (for example, to a transfer agent or third party administrator).

     The Trusts restrict access to non-public personal information about their shareholders to BlackRock employees with a legitimate business need for the information. The Trusts maintain physical, electronic and procedural safeguards designed to protect the non-public personal information of their shareholders.


 


LETTER TO SHAREHOLDERS

December 31, 2004

Dear Shareholder:

     We are pleased to report that during the annual period, the Trusts provided monthly income, as well as the opportunity to invest in various portfolios of municipal securities. This report contains the Trusts’ audited financial statements and a listing of the portfolios’ holdings.

     The portfolio management team continuously monitors the municipal bond market and adjusts the portfolios in order to gain exposure to various issuers, revenue sources and security types. This strategy enables the Trusts to move among different sectors, credits and coupons to capitalize on changing market conditions.

     The following table shows the Trusts’ current yields, tax-equivalent yields, closing market prices per share and net asset values (“NAV”) per share as of December 31, 2004.


    Tax- Closing 
 
Current
Equivalent
Market 
                                     Trust (Ticker)  Yield1 Yield1 Price 
NAV 







BlackRock Insured Municipal 2008 Term Trust (BRM)  4.87 %  7.49 %  $16.31 
$16.75 







BlackRock Insured Municipal Term Trust (BMT)  5.09   7.83    11.30 
 11.05 







BlackRock Municipal 2018 Term Trust (BPK)  5.15   7.92    15.16 
  15.81 







BlackRock Municipal 2020 Term Trust (BKK)  6.24   9.60    15.02 
 14.85 







BlackRock Municipal Target Term Trust (BMN)  4.58   7.05    10.49 
 10.55 







BlackRock Strategic Municipal Trust (BSD)  6.58   10.12    14.52 
 15.70 







BlackRock California Insured Municipal 2008 Term Trust (BFC)  4.75   7.31    16.25 
 16.76 







BlackRock California Municipal 2018 Term Trust (BJZ)  5.29   8.14    13.89 
 15.17 







BlackRock Florida Insured Municipal 2008 Term Trust (BRF)  4.73   7.28   15.85 
15.91 







BlackRock Florida Municipal 2020 Term Trust (BFO)  5.97   9.18   15.08 
14.63 







BlackRock New York Insured Municipal 2008 Term Trust (BLN)  4.66   7.17   16.09 
16.56 







BlackRock New York Municipal 2018 Term Trust (BLH)  4.96   7.63   14.82 
15.77 







BlackRock Pennsylvania Strategic Municipal Trust (BPS)  5.65   8.69   15.70 
15.81 

1      Yields are based on closing market price. Tax-equivalent yield assumes the maximum Federal tax rate of 35%.
 

     BlackRock, Inc. (“BlackRock”), a world leader in asset management, has a proven commitment to the municipal bond market. As of December 31, 2004, BlackRock managed over $22 billion in municipal bonds, including seven open-end and 37 closed-end municipal bond funds. BlackRock is recognized for its emphasis on risk management and proprietary analytics and for its reputation managing money for the world’s largest institutional investors. BlackRock Advisors, Inc., and its affiliate, BlackRock Financial Management, Inc., which manage the Trusts, are wholly owned subsidiaries of BlackRock.

     On behalf of BlackRock, we thank you for your continued trust and assure you that we remain committed to excellence in managing your assets.

Sincerely,

 
Laurence D. Fink    Ralph L. Schlosstein 
Chief Executive Officer    President 
BlackRock Advisors, Inc.    BlackRock Advisors, Inc. 

1


TRUST SUMMARIES
DECEMBER 31, 2004

BlackRock Insured Municipal 2008 Term Trust (BRM)

Trust Information


Symbol on New York Stock Exchange: 
BRM



Initial Offering Date: 
September 18, 1992



Termination Date (on or about): 
December 31, 2008



Closing Market Price as of 12/31/04:  $16.31  



Net Asset Value as of 12/31/04:  $16.75  



Yield on Closing Market Price as of 12/31/04 ($16.31):1  4.87 % 



Current Monthly Distribution per Common Share:2  $0.066250  



Current Annualized Distribution per Common Share:2  $0.795000  



Leverage as of 12/31/04:3  37 % 



1      Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price.
2      The distribution is not constant and is subject to change.
3      As a percentage of managed assets (as defined in Note 2 of the Notes to Financial Statements).
 

The table below summarizes the changes in the Trust’s market price and NAV:

 





 
12/31/04 
12/31/03 
Change
High 
Low 







Market Price  $16.31  $17.27  (5.56 )% 
$17.76 
$15.87 







NAV  $16.75  $17.38  (3.62 )% 
$17.75 
$16.46 








The following chart shows the portfolio composition of the Trust’s long-term investments:

Sector Breakdown

Sector  December 31, 2004 December 31, 2003





City, County & State  32 %  29 % 





Power  22   21  





Education  11   14  





Industrial & Pollution Control  9   6  





Transportation  8   7  





Lease Revenue  6   5  





Tax Revenue  5   9  





Hospital  4   4  





Water & Sewer  3   4  





Housing    1  






As of December 31, 2004, all long-term investments had ratings of AAA/Aaa by Standard & Poor’s (“S&P”), Moody’s Investors Service (“Moody’s”) or Fitch Ratings (“Fitch”).

2


TRUST SUMMARIES
DECEMBER 31, 2004

BlackRock Insured Municipal Term Trust (BMT)

Trust Information


Symbol on New York Stock Exchange:  BMT



Initial Offering Date:  February 20, 1992



Termination Date (on or about):  December 31, 2010



Closing Market Price as of 12/31/04:  $11.30  



Net Asset Value as of 12/31/04:  $11.05  



Yield on Closing Market Price as of 12/31/04 ($11.30):1  5.09 % 



Current Monthly Distribution per Common Share:2  $0.047917  



Current Annualized Distribution per Common Share:2  $0.575004  



Leverage as of 12/31/04:3  37 % 



1      Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price.
2      The distribution is not constant and is subject to change.
3      As a percentage of managed assets (as defined in Note 2 of the Notes to Financial Statements).
 

The table below summarizes the changes in the Trust’s market price and NAV:

 





  12/31/04  12/31/03 
Change
High 
Low 







Market Price  $11.30  $11.06  2.17 % 
$11.74 
$10.47 







NAV  $11.05  $11.40  (3.07 )% 
$11.72 
$10.62 








The following chart shows the portfolio composition of the Trust’s long-term investments:

Sector Breakdown


Sector    December 31, 2004   December 31, 2003

City, County & State    32 %    35 % 

Education    17     15  

Water & Sewer    14     14  

Power    12     12  

Hospital    11     10  

Transportation    6     6  

Lease Revenue    6     6  

Tax Revenue    2     2  


As of December 31, 2004, 99.4% of all long-term investments had ratings of AAA/Aaa by S&P, Moody’s or Fitch and the remaining 0.6% was rated A+.

3


TRUST SUMMARIES
DECEMBER 31, 2004

BlackRock Municipal 2018 Term Trust (BPK)

Trust Information


Symbol on New York Stock Exchange:  BPK



Initial Offering Date:  October 26, 2001



Termination Date (on or about):  December 31, 2018



Closing Market Price as of 12/31/04:  $15.16  



Net Asset Value as of 12/31/04:  $15.81  



Yield on Closing Market Price as of 12/31/04 ($15.16):1  5.15 % 



Current Monthly Distribution per Common Share:2  $0.0650  



Current Annualized Distribution per Common Share:2  $0.7800  



Leverage as of 12/31/04:3  35 % 



1      Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price.
2      The distribution is not constant and is subject to change.
3      As a percentage of managed assets (as defined in Note 2 of the Notes to Financial Statements).
 

The table below summarizes the changes in the Trust’s market price and NAV:

 





  12/31/04  12/31/03 
Change
High 
Low 







Market Price  $15.16  $14.36  5.57 % 
$15.16 
$13.59 







NAV  $15.81  $15.53  1.80 % 
$16.05 
$14.96 








The following charts show the portfolio composition and credit quality allocations of the Trust’s long-term investments:

Sector Breakdown


Sector 
December 31, 2004
December 31, 2003





Industrial & Pollution Control  23 %  23 % 





Hospital  21   21  





City, County & State  19   12  





Housing  12   10  





Power  5   6  





Education  5   4  





Transportation  4   4  





Tax Revenue  4   1  





Lease Revenue  3   3  





Tobacco    12  





Other  4   4  





     
Credit Breakdown4
         





Credit Rating 
December 31, 2004
December 31, 2003





AAA/Aaa  15 %  15 % 





AA/Aa  4   5  





A  26   22  





BBB/Baa  33   40  





BB/Ba  5   2  





B  4   4  





Not Rated5  13   12  







4      Using the higher of S&P’s, Moody’s or Fitch’s rating.
5    The investment advisor has deemed certain of these non-rated securities to be of investment grade quality. As of December 31, 2004, and December 31, 2003, the market value of these securities was $17,931,814 representing 4.7% and $18,920,780 representing 5.0%, respectively, of the Trust’s long-term investments.

 

4


TRUST SUMMARIES
DECEMBER 31, 2004

BlackRock Municipal 2020 Term Trust (BKK)

Trust Information


Symbol on New York Stock Exchange:  BKK



Initial Offering Date:  September 30, 2003



Termination Date (on or about):  December 31, 2020



Closing Market Price as of 12/31/04:  $15.02  



Net Asset Value as of 12/31/04:  $14.85  



Yield on Closing Market Price as of 12/31/04 ($15.02):1  6.24 % 



Current Monthly Distribution per Common Share:2  $0.078125  



Current Annualized Distribution per Common Share:2  $0.937500  



Leverage as of 12/31/04:3  37 % 



1      Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price.
2      The distribution is not constant and is subject to change.
3      As a percentage of managed assets (as defined in Note 2 of the Notes to Financial Statements).
 

The table below summarizes the changes in the Trust’s market price and NAV:

 





  12/31/04  12/31/03 
Change
High 
Low 







Market Price  $15.02  $15.00  0.13 % 
$15.48 
$13.40 







NAV  $14.85  $14.51  2.34 % 
$15.04 
$13.53 








The following charts show the portfolio composition and credit quality allocations of the Trust’s long-term investments:

Sector Breakdown


Sector 
December 31, 2004
December 31, 2003





City, County & State  28 %  26 % 





Industrial & Pollution Control  19   13  





Hospitals  14   15  





Transportation  8   3  





Housing  8   2  





Tobacco  7   9  





Lease Revenue  4   14  





Tax Revenue  4   6  





Education  4   6  





Power  4   6  





 
Credit Breakdown4
         





Credit Rating 
December 31, 2004
December 31, 2003





AAA/Aaa  10 %  22 % 





AA/Aa  4   11  





A  24   18  





BBB/Baa  40   34  





BB/Ba  3   1  





B  4   5  





CC  1    





Not Rated5  14   9  







4      Using the higher of S&P’s, Moody’s or Fitch’s rating.
5 The investment advisor has deemed certain of these non-rated securities to be of investment grade quality. As of December 31, 2004, the market value of these securities was $8,337,760 representing 1.8% of the Trust’s long-term investments.
 

 

5


TRUST SUMMARIES
DECEMBER 31, 2004

BlackRock Municipal Target Term Trust (BMN)

Trust Information


Symbol on New York Stock Exchange:  BMN



Initial Offering Date:  September 27, 1991



Termination Date (on or about):  December 31, 2006



Closing Market Price as of 12/31/04:  $10.49  



Net Asset Value as of 12/31/04:  $10.55  



Yield on Closing Market Price as of 12/31/04 ($10.49):1  4.58 % 



Current Monthly Distribution per Common Share:2  $0.0400  



Current Annualized Distribution per Common Share:2  $0.4800  



Leverage as of 12/31/04:3  38 % 



1      Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price.
2      The distribution is not constant and is subject to change.
3      As a percentage of managed assets (as defined in Note 2 of the Notes to Financial Statements).
 

The table below summarizes the changes in the Trust’s market price and NAV:

 





  12/31/04  12/31/03 
Change
High 
Low 







Market Price  $10.49  $10.95  (4.20 )% 
$11.55 
$10.33 







NAV  $10.55  $10.97  (3.83 )% 
$11.11 
$10.55 








The following chart shows the portfolio composition of the Trust’s long-term investments:

Sector Breakdown


Sector  December 31, 2004 December 31, 2003





City, County & State  38 %  39 % 





Power  14   13  





Transportation  12   11  





Education  10   10  





Lease Revenue  8   7  





Water & Sewer  7   7  





Housing  4   5  





Tax Revenue  3   3  





Hospital  3   4  





Industrial & Pollution Control  1   1  






As of December 31, 2004, all long-term investments had ratings of AAA/Aaa by S&P, Moody’s or Fitch.

6


TRUST SUMMARIES
DECEMBER 31, 2004

BlackRock Strategic Municipal Trust (BSD)

Trust Information


Symbol on New York Stock Exchange:  BSD



Initial Offering Date:  August 25, 1999



Closing Market Price as of 12/31/04:  $14.52  



Net Asset Value as of 12/31/04:  $15.70  



Yield on Closing Market Price as of 12/31/04 ($14.52):1  6.58 % 



Current Monthly Distribution per Common Share:2  $0.079585  



Current Annualized Distribution per Common Share:2  $0.955020  



Leverage as of 12/31/04:3  35 % 



1      Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price.
2      The distribution is not constant and is subject to change.
3      As a percentage of managed assets (as defined in Note 2 of the Notes to Financial Statements).
 

The table below summarizes the changes in the Trust’s market price and NAV:

 





  12/31/04  12/31/03 
Change
High 
Low 







Market Price  $14.52  $14.69  (1.16 )% 
$15.60 
$13.03 







NAV  $15.70  $15.91  (1.32 )% 
$16.39 
$14.76 








The following charts show the portfolio composition and credit quality allocations of the Trust’s long-term investments:

Sector Breakdown


Sector 
December 31, 2004
December 31, 2003





Hospital  20 %  19 % 





Industrial & Pollution Control  16   16  





City, County & State  13   11  





Tax Revenue  9   9  





Education  8   9  





Transportation  8   8  





Power  8   8  





Water & Sewer  5   4  





Housing  5   5  





Lease Revenue  4   4  





Tobacco    3  





Other  4   4  





       
Credit Breakdown4
         





Credit Rating 
December 31, 2004
December 31, 2003





AAA/Aaa  49 %  43 % 





AA/Aa  7   10  





A  9   12  





BBB/Baa  15   15  





BB/Ba  6   7  





B  8   7  





CC  2    





Not Rated5  4   6  







4      Using the higher of S&P’s, Moody’s or Fitch’s rating.
5 The investment advisor has deemed certain of these non-rated securities to be of investment grade quality. As of December 31, 2003, the market value of these securities was $6,508,720 representing 3.7% of the Trust’s long-term investments.
 

 

7


TRUST SUMMARIES
DECEMBER 31, 2004

BlackRock California Insured Municipal 2008 Term Trust (BFC)

Trust Information


Symbol on New York Stock Exchange:  BFC



Initial Offering Date:  September 18, 1992



Termination Date (on or about):  December 31, 2008



Closing Market Price as of 12/31/04:  $16.25  



Net Asset Value as of 12/31/04:  $16.76  



Yield on Closing Market Price as of 12/31/04 ($16.25):1  4.75 % 



Current Monthly Distribution per Common Share:2  $0.064375  



Current Annualized Distribution per Common Share:2  $0.772500  



Leverage as of 12/31/04:3  37 % 



1      Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price.
2      The distribution is not constant and is subject to change.
3      As a percentage of managed assets (as defined in Note 2 of the Notes to Financial Statements).
 

The table below summarizes the changes in the Trust’s market price and NAV:

 





  12/31/04  12/31/03 
Change
High 
Low 







Market Price  $16.25  $17.09  (4.92 )% 
$17.35 
$15.60 







NAV  $16.76  $17.19  (2.50 )% 
$17.65 
$16.08 








The following chart shows the portfolio composition of the Trust’s long-term investments:

Sector Breakdown


Sector 
December 31, 2004
December 31, 2003





City, County & State  23 %  22 % 





Power  19   18  





Lease Revenue  18   19  





Education  12   11  





Water & Sewer  10   10  





Tax Revenue  8   8  





Resource Recovery  5   5  





Transportation  4   4  





Hospital  1   3  






As of December 31, 2004, all long-term investments had ratings of AAA/Aaa by S&P, Moody’s or Fitch.

8


TRUST SUMMARIES
DECEMBER 31, 2004

BlackRock California Municipal 2018 Term Trust (BJZ)

Trust Information


Symbol on New York Stock Exchange:  BJZ



Initial Offering Date:  October 26, 2001



Termination Date (on or about):  December 31, 2018



Closing Market Price as of 12/31/04:  $13.89  



Net Asset Value as of 12/31/04:  $15.17  



Yield on Closing Market Price as of 12/31/04 ($13.89):1  5.29 % 



Current Monthly Distribution per Common Share:2  $0.06125  



Current Annualized Distribution per Common Share:2  $0.73500  



Leverage as of 12/31/04:3  36 % 



1      Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price.
2      The distribution is not constant and is subject to change.
3      As a percentage of managed assets (as defined in Note 2 of the Notes to Financial Statements).
 

The table below summarizes the changes in the Trust’s market price and NAV:

 





  12/31/04  12/31/03 
Change
High 
Low 







Market Price  $13.89  $13.42  3.50 % 
$14.63 
$12.88 







NAV  $15.17  $14.77  2.71 % 
$15.25 
$14.04 








The following charts show the portfolio composition and credit quality allocations of the Trust’s long-term investments:

Sector Breakdown


Sector 
December 31, 2004
December 31, 2003





City, County & State  23 %  18 % 





Transportation  19   19  





Lease Revenue  15   15  





Hospital  10   10  





Education  8   5  





Tobacco  7   11  





Power  5   5  





Industrial & Pollution Control  4   2  





Water & Sewer  2   1  





Housing    7  





Other  7   7  





       
Credit Breakdown4
         





Credit Rating 
December 31, 2004
December 31, 2003





AAA/Aaa  31 %  33 % 





AA/Aa  4   4  





A  38   25  





BBB/Baa  24   28  





Not Rated5  3   10  







4      Using the higher of S&P’s, Moody’s or Fitch’s rating.
5   The investment advisor has deemed certain of these non-rated securities to be of investment grade quality. As of December 31, 2004, and December 31, 2003, the market value of these securities was$3,052,217 representing 2.2% and $12,685,095 representing 9.0%, respectively, of the Trust’s long-term investments.
 

 

9


TRUST SUMMARIES
DECEMBER 31, 2004

BlackRock Florida Insured Municipal 2008 Term Trust (BRF)

Trust Information


Symbol on New York Stock Exchange:  BRF



Initial Offering Date:  September 18, 1992



Termination Date (on or about):  December 31, 2008



Closing Market Price as of 12/31/04:  $15.85  



Net Asset Value as of 12/31/04:  $15.91  



Yield on Closing Market Price as of 12/31/04 ($15.85):1  4.73 % 



Current Monthly Distribution per Common Share:2  $0.0625  



Current Annualized Distribution per Common Share:2  $0.7500  



Leverage as of 12/31/04:3  38 % 



1      Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price.
2 The distribution is not constant and is subject to change.
3 As a percentage of managed assets (as defined in Note 2 of the Notes to Financial Statements).

The table below summarizes the changes in the Trust’s market price and NAV:

 





  12/31/04  12/31/03 
Change
High 
Low 







Market Price  $15.85  $16.19  (2.10 )% 
$16.74 
$15.06 







NAV  $15.91  $16.43  (3.16 )% 
$16.81 
$15.44 








The following chart shows the portfolio composition of the Trust’s long-term investments:

Sector Breakdown


Sector  December 31, 2004 December 31, 2003





Tax Revenue  34 %  33 % 





Power  15   14  





Lease Revenue  12   11  





Education  12   16  





City, County & State  11   10  





Water & Sewer  7   7  





Transportation  5   6  





Resource Recovery  4   3  






As of December 31, 2004, all long-term investments had ratings of AAA/Aaa by S&P, Moody’s or Fitch.

10


TRUST SUMMARIES
DECEMBER 31, 2004

BlackRock Florida Municipal 2020 Term Trust (BFO)

Trust Information


Symbol on New York Stock Exchange:  BFO



Initial Offering Date:  September 30, 2003



Termination Date (on or about):  December 31, 2020



Closing Market Price as of 12/31/04:  $ 15.08  



Net Asset Value as of 12/31/04:  $ 14.63  



Yield on Closing Market Price as of 12/31/04 ($15.08):1  5.97 % 



Current Monthly Distribution per Common Share:2  $ 0.0750  



Current Annualized Distribution per Common Share:2  $ 0.9000  



Leverage as of 12/31/04:3  37 % 



1      Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price.
2      The distribution is not constant and is subject to change.
3      As a percentage of managed assets (as defined in Note 2 of the Notes to Financial Statements).
 

The table below summarizes the changes in the Trust’s market price and NAV:

 





  12/31/04  12/31/03 
Change
High 
Low 







Market Price  $15.08  $15.39  (2.01 )% 
$15.54 
$13.00 







NAV  $14.63  $14.50  0.90 % 
$15.08 
$13.58 








The following charts show the portfolio composition and credit quality allocations of the Trust’s long-term investments:

Sector Breakdown


Sector 
December 31, 2004
December 31, 2003





City, County & State  32 %  31 % 





Water & Sewer  17   21  





Power  9   11  





Education  9    





Tobacco  9   11  





Hospitals  6   10  





Lease Revenue  5   1  





Tax Revenue  5   6  





Industrial & Pollution Control  5   6  





Transportation  3   3  





 
Credit Breakdown4
         





Credit Rating 
December 31, 2004
December 31, 2003





AAA/Aaa  56 %  50 % 





AA/Aa  1   1  





A  4   5  





BBB/Baa  18   17  





BB/Ba  2    





Not Rated5  19   27  







4      Using the higher of S&P’s, Moody’s or Fitch’s rating.
5  The investment advisor has deemed certain of these non-rated securities to be of investment grade quality. As of December 31, 2004, and December 31, 2003, the market value of these securities was $7,203,690 representing 5.7% and $2,097,600 representing 2.0%, respectively, of the Trust’s long-term investments.
 

 

11


TRUST SUMMARIES
DECEMBER 31, 2004

BlackRock New York Insured Municipal 2008 Term Trust (BLN)

Trust Information


Symbol on New York Stock Exchange:  BLN



Initial Offering Date:  September 18, 1992



Termination Date (on or about):  December 31, 2008



Closing Market Price as of 12/31/04:  $16.09  



Net Asset Value as of 12/31/04:  $16.56  



Yield on Closing Market Price as of 12/31/04 ($16.09):1  4.66 % 



Current Monthly Distribution per Common Share:2  $0.0625  



Current Annualized Distribution per Common Share:2  $0.7500  



Leverage as of 12/31/04:3  37 % 



1      Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price.
2      The distribution is not constant and is subject to change.
3      As a percentage of managed assets (as defined in Note 2 of the Notes to Financial Statements).
 

The table below summarizes the changes in the Trust’s market price and NAV:

 





  12/31/04  12/31/03 
Change
High 
Low 







Market Price  $16.09  $16.96  (5.13 )% 
$17.35 
$15.51 







NAV  $16.56  $17.13  (3.33 )% 
$17.52 
$16.19 








The following chart shows the portfolio composition of the Trust’s long-term investments:

Sector Breakdown


Sector  December 31, 2004 December 31, 2003





Transportation  24 %  27 % 





Education  19   19  





City, County & State  17   16  





Water & Sewer  11   11  





Hospital  9   10  





Tax Revenue  7   6  





Power  5   5  





Housing  3   3  





Lease Revenue  3   3  






As of December 31, 2004, all long-term investments had ratings of AAA/Aaa by S&P, Moody’s or Fitch.

12


TRUST SUMMARIES
DECEMBER 31, 2004

BlackRock New York Municipal 2018 Term Trust (BLH)

Trust Information


Symbol on New York Stock Exchange:  BLH



Initial Offering Date:  October 26, 2001



Termination Date (on or about):  December 31, 2018



Closing Market Price as of 12/31/04:  $14.82  



Net Asset Value as of 12/31/04:  $15.77  



Yield on Closing Market Price as of 12/31/04 ($14.82):1  4.96 % 



Current Monthly Distribution per Common Share:2  $0.06125  



Current Annualized Distribution per Common Share:2  $0.73500  



Leverage as of 12/31/04:3  35 % 



1      Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price.
2      The distribution is not constant and is subject to change.
3      As a percentage of managed assets (as defined in Note 2 of the Notes to Financial Statements).
 

The table below summarizes the changes in the Trust’s market price and NAV:

 





  12/31/04  12/31/03 
Change
High 
Low 







Market Price  $14.82  $14.70  0.82 % 
$15.20 
$13.78 







NAV  $15.77  $15.53  1.55 % 
$16.15 
$14.74 








The following charts show the portfolio composition and credit quality allocations of the Trust’s long-term investments:

Sector Breakdown


Sector 
December 31, 2004
December 31, 2003





Education  22 %  22 % 





Hospital  17   17  





City, County & State  11   11  





Transportation  11   11  





Lease Revenue  11   7  





Tobacco  10   10  





Tax Revenue  6   6  





Industrial & Pollution Control  6   6  





Power  1   1  





Housing    4  





Other  5   5  





       
Credit Breakdown4
         





Credit Rating 
December 31, 2004
December 31, 2003





AAA/Aaa  23 %  23 % 





AA/Aa  37   37  





A  21   19  





BBB/Baa  16   13  





CCC/Caa  3   3  





Not Rated5    5  







4      Using the higher of S&P’s, Moody’s or Fitch’s rating.
5      The investment advisor has deemed all of the non-rated securities at December 31, 2003, to be of investment grade quality.
 

13


TRUST SUMMARIES
DECEMBER 31, 2004

BlackRock Pennsylvania Strategic Municipal Trust (BPS)

Trust Information


Symbol on New York Stock Exchange:  BPS



Initial Offering Date:  August 25, 1999



Closing Market Price as of 12/31/04:  $15.70  



Net Asset Value as of 12/31/04:  $15.81  



Yield on Closing Market Price as of 12/31/04 ($15.70):1  5.65 % 



Current Monthly Distribution per Common Share:2  $0.073965  



Current Annualized Distribution per Common Share:2  $0.887580  



Leverage as of 12/31/04:3  35 % 



1      Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price.
2      The distribution is not constant and is subject to change.
3      As a percentage of managed assets (as defined in Note 2 of the Notes to Financial Statements).
 

The table below summarizes the changes in the Trust’s market price and NAV:

 





  12/31/04  12/31/03 
Change
High 
Low 







Market Price  $15.70  $15.12  3.84 % 
$15.92 
$13.41 







NAV  $15.81  $16.09  (1.74 )% 
$16.42 
$15.30 








The following charts show the portfolio composition and credit quality allocations of the Trust’s long-term investments:

Sector Breakdown


Sector 
December 31, 2004
December 31, 2003





Education  24 %  21 % 





Hospital  22   20  





Transportation  19   17  





Water & Sewer  8   7  





Lease Revenue  6   5  





Industrial & Pollution Control  5   4  





Housing  3   12  





City, County & State  2   5  





Other  11   9  





       
Credit Breakdown4
         





Credit Rating 
December 31, 2004
December 31, 2003





AAA/Aaa  56 %  52 % 





AA/Aa  7   14  





A  19   7  





BBB/Baa  12   10  





BB/Ba    5  





B  6    





Not Rated5    12  







4      Using the higher of S&P’s, Moody’s or Fitch’s rating.
5 The investment advisor has deemed certain of these non-rated securities to be of investment grade quality. As of December 31, 2003, the market value of these securities was $4,322,000 representing 9.5% of the Trust’s long-term investments.
 

 

14


PORTFOLIO OF INVESTMENTS
DECEMBER 31, 2004

BlackRock Insured Municipal 2008 Term Trust (BRM)

  Principal    
Option Call
 
Rating1 
Amount    
Provisions2
 
(unaudited) 
(000)
 
Description 
(unaudited)
Value 







    LONG-TERM INVESTMENTS—138.2% 
 
    Alabama—2.1% 
 
   AAA  $  2,410   Auburn Univ., 5.00%, 4/01/09, AMBAC 
No Opt. Call
$
2,625,454 
   AAA  6,555   Birmingham Jefferson Civic Ctr. Auth., Ser. A, 4.25%, 1/01/09, FSA 
No Opt. Call
6,949,480 


     
9,574,934 


    Alaska—0.9% 
 
   AAA  4,000   Anchorage, GO, Ser. B, 3.75%, 7/01/09, MBIA 
No Opt. Call
4,164,400 


    Arizona—2.0% 
 
   AAA  4,000   Chandler, GO, Zero Coupon, 7/01/08, FGIC 
No Opt. Call
3,637,680 
   AAA  1,000   Phoenix Str. & Hwy., 4.25%, 7/01/09, FGIC 
No Opt. Call
1,065,110 
   AAA  4,200   Pima Cnty. Str. & Hwy., 4.125%, 7/01/09, FGIC 
07/08 @ 101 
4,436,250 


     
9,139,040 


    California—2.3% 
 
    California Dept. of Wtr. Res., Pwr. Sply. Rev., Ser. A, 
 
   AAA  5,000      3.125%, 5/01/08, FSA 
No Opt. Call
5,121,450 
   AAA  5,000      3.375%, 5/01/09, MBIA 
No Opt. Call
5,159,400 


     
10,280,850 


    Colorado—2.4% 
 
   AAA  2,000   E-470 Pub. Hwy. Auth., Ser. B, Zero Coupon, 9/01/11, MBIA 
No Opt. Call
1,556,760 
   AAA  1,000   El Paso Cnty., COP, Detention Fac. Proj., Ser. B, 3.20%, 12/01/08, AMBAC 
No Opt. Call
1,025,880 
   AAA  6,965   Regl. Transp. Dist., COP, Transp. Vehicles Proj., Ser. A, 5.00%, 6/01/08, MBIA 
06/07 @ 101 
7,456,520 
   AAA  1,000   Thornton, COP, 3.25%, 12/01/08, AMBAC 
No Opt. Call
1,027,730 


     
11,066,890 


    Delaware—0.2% 
 
   AAA  650   Delaware River & Bay Auth., 3.25%, 1/01/09, MBIA 
No Opt. Call
664,917 


    District of Columbia—3.1% 
 
    Dist. of Columbia, GO, 
 
   AAA  195      Ser. B, 5.50%, 6/01/09, FSA 
ETM
218,564 
   AAA  2,605      Ser. B, 5.50%, 6/01/09, FSA 
No Opt. Call
2,894,546 
   AAA  10,000      Ser. B-1, 5.50%, 6/01/08, AMBAC 
No Opt. Call
10,942,500 


     
14,055,610 


    Florida—4.7% 
 
   AAA  2,280   Broward Cnty. Sch. Brd., COP, Ser. B, 4.25%, 7/01/09, FSA 
No Opt. Call
2,424,484 
   AAA  13,890   Florida Dept. of Env. Protection Presvtn., Ser. B, 5.00%, 7/01/09, MBIA 
No Opt. Call
15,225,801 
   AAA  1,300   Palm Beach, Restoration Proj., Ser. A, 5.00%, 1/01/09, FSA 
No Opt. Call
1,416,974 
   AAA  2,080   Tampa Wtr. & Swr., 5.50%, 10/01/08, FSA 
No Opt. Call
2,305,243 


     
21,372,502 


    Georgia—5.8% 
 
   AAA  5,000   Georgia, GO, Ser. E, 5.25%, 2/01/10 
No Opt. Call
5,567,900 
   AAA  20,000   Monroe Cnty., PCR, Pwr. Co. Plant Vogtle Proj., 4.20%, 1/01/12, AMBAC 
No Opt. Call
21,066,600 


     
26,634,500 


    Hawaii—3.8% 
 
    Hawaii, GO, FSA, 
 
   AAA  6,510      Ser. CY, 4.00%, 2/01/09 
No Opt. Call
6,854,770 
   AAA  8,045      Ser. CZ, 3.25%, 7/01/09 
No Opt. Call
8,224,001 
   AAA  1,880   Honolulu City and Cnty., Ser. A, 5.00%, 3/01/09, MBIA 
No Opt. Call
2,055,028 


     
17,133,799 


    Illinois—17.2% 
 
   AAA  14,205   Chicago O’Hare Intl. Arpt., Ser. A, 6.25%, 1/01/08, MBIA 
01/05 @ 102 
14,490,805 
    Chicago Park Dist., Pkg. Rev., GO, 
 
   AAA  3,290      Ser. A, 3.00%, 1/01/08, FGIC 
No Opt. Call
3,347,542 
   AAA  1,750      Ser. A, 3.50%, 1/01/09, FGIC 
No Opt. Call
1,804,618 
   AAA  1,000      Ser. C, 3.00%, 1/01/09, AMBAC 
No Opt. Call
1,012,410 
   AAA  2,930   Chicago Proj. & Refdg., Ser. A, 5.00%, 1/01/09, AMBAC 
No Opt. Call
3,186,697 
   AAA  3,105   Chicago Pub. Bldg., Ser. A, Zero Coupon, 1/01/07, MBIA 
ETM
2,952,389 

See Notes to Financial Statements.

15


BlackRock Insured Municipal 2008 Term Trust (BRM) (continued)

  Principal    
Option Call
 
Rating1 
Amount    
Provisions2
 
(unaudited) 
(000)
 
Description 
(unaudited)
Value 







    Illinois—(continued) 
 
    Cook Cnty. High Sch., 
 
   AAA  $  2,000      Arlington Heights, 4.50%, 12/01/08, FSA 
No Opt. Call
$
2,144,840 
   AAA  1,175      J. Sterling Morton Twnshp., Zero Coupon, 12/01/09, FGIC 
ETM
1,013,837 
   AAA  4,805      J. Sterling Morton Twnshp., Zero Coupon, 12/01/09, FGIC 
No Opt. Call
4,090,256 
   AAA  8,985   Du Page Cnty. Forest Presvtn. Dist., Zero Coupon, 11/01/08 
No Opt. Call
8,021,449 
    Illinois, GO, Ser. 1, MBIA, 
 
   AAA  6,750      3.50%, 7/01/08 
No Opt. Call
6,976,462 
   AAA  5,000      3.75%, 7/01/09 
No Opt. Call
5,214,100 
   AAA  13,000   Illinois Dev. Fin. Auth., Gas Sply., 3.05%, 2/01/33, AMBAC 
No Opt. Call
13,123,760 
   AAA  1,455   Kane & Du Page Cntys. Sch. Dist., GO, Ser. A, 3.75%, 1/01/09, FSA 
No Opt. Call
1,514,088 
    Met. Pier & Exposition Auth., Ded. St. Tax Rev., McCormick Place Expansion Proj., FGIC, 
 
   AAA  8,385      Zero Coupon, 6/15/08 
ETM
7,634,710 
   AAA  215      Zero Coupon, 6/15/08 
No Opt. Call
194,702 
   AAA  1,570      Ser. A, Zero Coupon, 6/15/08 
ETM
1,429,516 


     
78,152,181 


    Kansas—0.2% 
 
   AAA  1,000   Kansas Dev. Fin. Auth., Pub. Wtr. Sply., 4.00%, 4/01/09, AMBAC 
No Opt. Call
1,050,070 


    Kentucky—0.8% 
 
   AAA  3,890   Owensboro Elec. Lt. & Pwr., Ser. B, Zero Coupon, 1/01/09, AMBAC 
No Opt. Call
3,459,766 


    Louisiana—1.3% 
 
   AAA  5,770   Louisiana Pub. Facs. Auth., Ochsner Clinic Fndtn. Proj., Ser. A, 3.50%, 5/15/09, MBIA 
No Opt. Call
5,920,251 


    Massachusetts—0.1% 
 
   AAA  355   Massachusetts Hsg. Fin. Agcy., Hsg. Projs., Ser. A, 5.95%, 10/01/08, AMBAC 
01/05 @ 101 
355,955 


    Michigan—6.4% 
 
   AAA  1,665   Detroit, GO, 3.50%, 4/01/09, MBIA 
ETM
1,729,485 
   AAA  6,315   Detroit City Sch. Dist., GO, Sch. Bldg. & Site Impvt., Ser. A, 4.00%, 5/01/09, FGIC 
No Opt. Call
6,642,307 
    Lake Orion, Cmnty. Sch. Dist., AMBAC, 
 
   AAA  3,2903      6.60%, 5/01/05 
N/A
3,371,658 
   AAA  3,2853      6.70%, 5/01/05 
N/A
3,367,585 
   AAA  3,000   Michigan Trunk Line, Ser. A, 4.125%, 11/01/08, FSA 
No Opt. Call
3,169,830 
   AAA  2,535   Washtenaw Cmnty. Coll., 4.00%, 4/01/09, MBIA 
No Opt. Call
2,664,006 
   AAA  2,695   West Ottawa Pub. Sch. Dist., GO, Ser. B, 3.50%, 5/01/09, FGIC 
No Opt. Call
2,780,108 
   AAA  2,000   Western Twnshps. Util. Auth. Sewage Disp. Sys., 5.00%, 1/01/09, FGIC 
No Opt. Call
2,175,220 
   AAA  2,800   Wyandotte Elec., 6.25%, 10/01/08, MBIA 
No Opt. Call
3,016,552 


     
28,916,751 


    Mississippi—0.5% 
 
   AAA  2,175   De Soto Cnty. Sch. Dist., GO, 3.25%, 2/01/09, FSA 
No Opt. Call
2,219,131 


    Nevada—3.0% 
 
   AAA  6,270   Clark Cnty. Sch. Dist., Ser. A, 4.00%, 6/01/09, FGIC 
No Opt. Call
6,600,993 
   AAA  2,245   Las Vegas Clark Cnty. Library Dist., 4.75%, 2/01/09, FGIC 
No Opt. Call
2,424,016 
    Nevada Dept. of Bus. & Ind., Las Vegas Monorail Proj., AMBAC, 
 
   AAA  2,085      Zero Coupon, 1/01/09 
No Opt. Call
1,829,796 
   AAA  3,585      Zero Coupon, 1/01/10 
No Opt. Call
3,000,430 


     
13,855,235 


    New Jersey—1.2% 
 
    Monmouth Cnty. Impvt. Auth., Gov’t. Loan, 
 
   AAA  1,220      3.10%, 4/15/09, AMBAC 
No Opt. Call
1,240,057 
   AAA  1,000      5.00%, 12/01/08, FSA 
No Opt. Call
1,093,230 
   AAA  1,220   New Jersey Econ. Dev. Auth., Econ. Recovery Fund, Ser. A, 4.50%, 3/15/09, MBIA 
No Opt. Call
1,306,998 
   AAA  1,750   New Jersey Transp. Trust Fund Auth., Transp. Sys., Ser. C, 5.25%, 12/15/08, AMBAC 
No Opt. Call
1,927,590 


     
5,567,875 


    New Mexico—1.1% 
 
   AAA  2,030   Farmington Util. Sys., Ser. A, 3.50%, 5/15/09, FSA 
No Opt. Call
2,090,433 
   AAA  2,600   New Mexico Fin. Auth., Pub. Proj., Ser. A, 3.80%, 6/01/08, MBIA 
No Opt. Call
2,700,152 


     
4,790,585 


    New York—13.2% 
 
   AAA  2,000   Erie Cnty., Pub. Impvt., Ser. A, 4.50%, 3/15/09, FGIC 
No Opt. Call
2,145,080 
   AAA  15,915   New York, GO, Ser. F, 5.25%, 9/15/09, MBIA 
09/08 @ 101
17,440,930 

See Notes to Financial Statements.

16


BlackRock Insured Municipal 2008 Term Trust (BRM) (continued)

  Principal    
Option Call
 
Rating1 
Amount    
Provisions2
 
(unaudited) 
(000)
 
Description 
(unaudited)
Value 







    New York—(continued) 
 
    New York City, GO, MBIA, 
 
   AAA  $  5,000      Ser. E, 6.125%, 8/01/06 
No Opt. Call
$
5,299,150 
   AAA  15,500      Ser. E, 6.20%, 8/01/07 
No Opt. Call
16,960,410 
   AAA  2,890 3    Ser. G, 5.75%, 2/01/06 
N/A
3,045,511 
   AAA  2,110      Ser. G, 5.75%, 2/01/08 
02/06 @ 101.5
2,220,522 
   AAA  4,250   New York City Hlth. & Hosp. Corp., Hlth. Sys. Svcs., Ser. A, 3.50%, 2/15/09, AMBAC 
No Opt. Call
4,376,353 
    New York Env. Fac. Corp., PCR, Ser. D, 
 
   AAA  1,030      6.50%, 5/15/07 
01/05 @ 102 
1,055,894 
   AAA  80      6.50%, 11/15/07 
01/05 @ 102
82,011 
    New York Thruway Auth. Svc. Contract Rev., Local Hwy. and Brdg., Ser. A, MBIA, 
 
   AAA  680 3    5.40%, 1/01/05 
N/A
693,600 
   AAA  2,715      5.40%, 1/01/09 
01/05 @ 102 
2,775,327 
   AAA  4,000   Port Auth. of NY & NJ, Ser. 129, 2.875%, 11/01/08, FSA 
No Opt. Call
4,063,040 


     
60,157,828 


    North Carolina—8.1% 
 
    No. Carolina Eastn. Mun. Pwr. Agcy., Sys. Rev., Ser. B, 
 
   AAA  13,500      6.125%, 1/01/09, FGIC 
No Opt. Call
15,253,785 
   AAA  5,000      7.00%, 1/01/08, CAPMAC 
No Opt. Call
5,642,550 
   AAA  14,675      7.25%, 1/01/07, CAPMAC 
No Opt. Call
16,118,433 


     
37,014,768 


    Ohio—0.5% 
 
   AAA  2,000   Ohio Bldg. Auth., Ser. A, Workers Comp. Facs., 5.00%, 4/01/09, FGIC 
No Opt. Call
2,181,320 


    Oregon—1.9% 
 
   AAA  1,285   Lane Cnty. Sch. Dist., No. 4, 3.00%, 1/01/09, FSA 
No Opt. Call
1,303,376 
    Oregon Dept. of Admin. Svcs., FSA, 
 
   AAA  2,905      COP, 5.00%, 11/01/08 
No Opt. Call
3,166,973 
   AAA  2,255      Lottery Rev., Ser. C, 3.125%, 4/01/09 
No Opt. Call
2,295,815 
   AAA  2,000   Washington & Clackamas Cntys. Sch. Dist., GO, 3.75%, 6/15/08, MBIA 
No Opt. Call
2,081,320 


     
8,847,484 


    Pennsylvania—11.8% 
 
   AAA  1,460   Bensalem Twnshp. Sch. Dist., GO, 3.25%, 8/15/09, FGIC 
No Opt. Call
1,490,120 
   AAA  1,500   Bristol Twnshp. Sch. Dist., 4.25%, 2/15/09, FGIC 
No Opt. Call
1,591,665 
    Dauphin Cnty. Gen. Auth., HAPSCO-Western Pennsylvania Hosp. Proj., MBIA, 
 
   AAA  6,910      Ser. A, 6.25%, 7/01/08 
01/05 @ 100 
6,928,035 
   AAA  3,530      Ser. B, 6.25%, 7/01/08 
ETM
3,777,630 
   AAA  3,500   Indiana Cnty. Indl. Dev. Auth., PCR, Elec. & Gas Corp. Proj., Ser. A, 6.00%, 6/01/06, MBIA 
No Opt. Call
3,676,015 
   AAA  16,250   Lehigh Cnty. Indl. Dev. Auth., PCR, 3.125%, 11/01/08, AMBAC 
No Opt. Call
16,611,725 
    Pennsylvania Dept. of Gen. Svcs., COP, FSA, 
 
   AAA  2,075      4.50%, 5/01/08 
No Opt. Call
2,202,363 
   AAA  2,120      4.50%, 11/01/08 
No Opt. Call
2,268,782 
   AAA  2,165      4.50%, 5/01/09 
No Opt. Call
2,321,075 
   AAA  2,220      4.50%, 11/01/09 
No Opt. Call
2,392,183 
   AAA  3,175   Philadelphia, GO, 4.10%, 9/15/08, FSA 
No Opt. Call
3,346,228 
   AAA  3,125   Pittsburgh Pub. Pkg. Auth., Pkg. Rev., 3.25%, 12/01/08, AMBAC 
No Opt. Call
3,198,750 
   AAA  3,955   West Chester Area Sch. Dist., GO, Ser. AA, 3.65%, 1/15/09, MBIA 
07/07 @ 100 
4,063,762 


     
53,868,333 


    South Carolina—0.8% 
 
   AAA  2,020   Chester Cnty. Sch. Dist., 3.25%, 2/01/09, FSA 
No Opt. Call
2,068,823 
   AAA  1,705   Lexington Cnty. Sch. Dist. 1, COP, 3.50%, 3/01/09, AMBAC 
No Opt. Call
1,763,669 


     
3,832,492 


    Tennessee—0.2% 
 
   AAA  1,000   Clarksville Wtr., Swr. & Gas Rev., 4.30%, 2/01/09, FSA 
No Opt. Call
1,062,480 


    Texas—23.6% 
 
   AAA  5,380   Austin, GO, Pub. Impvt., 3.50%, 9/01/08, FSA 
No Opt. Call
5,568,623 
    Austin Util. Sys., 
 
   AAA  11,515      Ser. A, Zero Coupon, 11/15/08, MBIA 
No Opt. Call
10,315,252 
   AAA  5,000      Ser. A, Zero Coupon, 11/15/09, AMBAC 
No Opt. Call
4,289,050 
   AAA  5,000      Ser. A, Zero Coupon, 11/15/09, MBIA 
No Opt. Call
4,289,050 
   AAA  5,000      6.625%, 11/15/08, AMBAC 
No Opt. Call
5,712,800 

See Notes to Financial Statements.

17


BlackRock Insured Municipal 2008 Term Trust (BRM) (continued)

  Principal    
Option Call
 
Rating1 
Amount    
Provisions2
 
(unaudited) 
(000)
 
Description 
(unaudited)
Value 







    Texas—(continued)   
    Coppell Indpt. Sch. Dist., MBIA,   
   AAA  $  1,430      6.10%, 8/15/09  ETM
$
1,629,642 
   AAA  620      6.10%, 8/15/09 
02/05 @ 100 
622,722 
   AAA  2,500   Dallas Wtr. Wks. & Swr. Sys., 3.50%, 4/01/09, FSA  No Opt. Call 2,572,450 
   AAA  2,000   Houston Pub. Impvt., Ser. A-1, 5.00%, 3/01/09, MBIA  No Opt. Call 2,178,780 
   AAA  4,390   Houston Indpt. Sch. Dist., Zero Coupon, 8/15/09, AMBAC  No Opt. Call 3,804,242 
    Lower Colorado River Auth.,   
   AAA  2,010      3.50%, 5/15/09, MBIA  No Opt. Call 2,069,838 
   AAA  2,690      5.25%, 5/15/09, FSA  No Opt. Call 2,962,174 
   AAA  1,650   Lubbock Cnty., 3.50%, 2/15/09, FGIC  No Opt. Call 1,700,358 
   AAA  1,500   North Texas Tollway Auth., Ser. C, 5.00%, 1/01/09, FSA  No Opt. Call 1,628,445 
   AAA  6,000   San Antonio Elec. & Gas, Ser. B, Zero Coupon, 2/01/10, FGIC  ETM 5,019,240 
   AAA  9,050   Tarrant Regl. Wtr. Dist. Impvt., 3.50%, 3/01/09, FSA  No Opt. Call 9,325,392 
    Texas Mun. Pwr. Agcy., AMBAC,   
   AAA  980      Zero Coupon, 9/01/08  ETM 888,801 
   AAA  14,020      Zero Coupon, 9/01/08  No Opt. Call 12,637,628 
   AAA  1,045      Zero Coupon, 9/01/09  ETM 912,651 
   AAA  15,130      Zero Coupon, 9/01/09  No Opt. Call 13,081,095 
    Texas Pub. Fin. Auth.,   
   AAA  2,270      3.50%, 2/01/09, FGIC  No Opt. Call 2,337,782 
   AAA  3,000      Ser. A, 5.50%, 2/01/09, AMBAC 
02/08 @ 101 
3,278,280 
   AAA  5,900      Ser. B, 6.25%, 2/01/09, AMBAC  No Opt. Call 6,685,408 
   AAA  1,825   Williamson Cnty., GO, Ser. B, 5.00%, 2/15/09, FSA  No Opt. Call 1,986,494 
   AAA  2,275   Ysleta Indpt. Sch. Dist., GO, Zero Coupon, 8/15/08  No Opt. Call 2,050,344 


      107,546,541 


    Utah—3.2%   
    Intermountain Pwr. Agcy. Sply., Ser. B, MBIA,   
   AAA  2,215      6.00%, 7/01/07  ETM 2,412,711 
   AAA  1,285      6.00%, 7/01/07  No Opt. Call 1,392,542 
   AAA  10,300 3 Utah, GO, Ser. F, 5.00%, 7/01/07 
N/A
10,971,560 


      14,776,813 


    Washington—10.5%   
   AAA  1,250   Clark Cnty. Pub. Util. Dist., No. 1 Elec. Rev., 5.00%, 1/01/09, MBIA  No Opt. Call 1,357,037 
    King Cnty., GO,   
   AAA  3,060      Pub. Transp. Sales Tax, 3.50%, 12/01/08, FSA  No Opt. Call 3,154,707 
   AAA  12,850      Ser. D, 5.55%, 12/01/08, MBIA 
12/07 @ 102 
14,149,906 
   AAA  5,710   Seattle Impvt. Ltd. Tax, 4.00%, 7/01/08, FSA  No Opt. Call 5,973,003 
    Washington Hlth. Care Fac. Auth., Catholic Hlth. Initiatives Proj., Ser. A, MBIA,   
   AAA  1,010      5.30%, 12/01/08  No Opt. Call 1,104,334 
   AAA  1,000      5.40%, 12/01/10 
06/10 @ 101 
1,111,250 
   AAA  2,045   Washington Motor Vehicle Fuel Tax, GO, 4.00%, 7/01/09, MBIA  No Opt. Call 2,155,798 
    Washington Pub. Pwr. Sply.,   
   AAA  11,000      Ser. A, 5.80%, 7/01/07, FSA  No Opt. Call 11,867,900 
   AAA  5,550      Nuclear Proj. No. 3, Zero Coupon, 7/01/07, MBIA  No Opt. Call 5,154,840 
   AAA  2,000      Nuclear Proj. No. 3, Zero Coupon, 7/01/08, MBIA  No Opt. Call 1,797,080 


      47,825,855 


    West Virginia—1.5%   
   AAA  1,550   West Virginia Econ. Dev. Auth., Correctional Juvenile & Pub., Ser. A, 4.25%, 6/01/08, MBIA  No Opt. Call 1,632,290 
    West Virginia Higher Ed. Policy Comm. Rev., Ser. A, MBIA,   
   AAA  2,455      St. Coll. Fac. Proj., 5.00%, 4/01/09  No Opt. Call 2,672,439 
   AAA  2,135      Univ. Facs. Proj., 5.00%, 4/01/09  No Opt. Call 2,324,097 


      6,628,826 


    Wisconsin—3.2%   
    Wisconsin, GO,   
   AAA  7,705      Ser. A, 4.00%, 5/01/09, FGIC  No Opt. Call 8,117,217 
   AAA  6,080      Ser. C, 4.00%, 5/01/09, MBIA  No Opt. Call 6,405,280 


      14,522,497 


    Wyoming—0.6%   
    Albany Cnty. Impvts. Statutory Trust, COP, MBIA,   
   AAA  1,270      3.75%, 1/15/09  No Opt. Call 1,319,581 
   AAA  1,395      3.75%, 7/15/09  No Opt. Call 1,452,795 


      2,772,376 


    Total Long-Term Investments (cost $592,663,417)  629,412,855 



See Notes to Financial Statements.

18


BlackRock Insured Municipal 2008 Term Trust (BRM) ( continued)

Principal      
Rating1 Amount      
(unaudited)
(000)
  Description 
Value
 







  SHORT-TERM INVESTMENTS—19.5%   
  Illinois—1.5%   
A1+
$  6,600 4 Joliet Regl. Port Dist., Marine Term. Rev., Exxon Corp. Proj., 1.82%, 1/03/05, FRDD 
$
6,600,000  



  Kansas—1.0%   
A1+
4,655 4 Kansas Dept. Transp. Hwy., Ser. B-1, 1.89%, 1/03/05, FRDD  4,655,000  



  Michigan—0.3%   
  Detroit, Swr. Disp. Rev.,   
A1+
995 4    Ser. A, 1.95%, 1/05/05, MBIA, FRWD  997,297  
A1+
500 4    Ser. C-1, 1.95%, 1/06/05, FSA, FRWD  500,000  



    1,497,297  



  New York—1.5%   
F1+
7,000 4 New York City, GO, Ser. H-7, 1.93%, 1/03/05, FRDD  7,000,000  



  North Carolina—4.0%   
A1+
7,540 4 Buncombe Cnty. Met. Swr. Dist., Swr. Sys. Rev., 1.99%, 1/06/05, XLCA, FRWD  7,540,000  
A1 +
10,550 4 Mecklenburg Cnty., Ser. C, 2.00%, 1/06/05, FRWD  10,550,000  



    18,090,000  



  Ohio—2.9%   
VMIG1 5,000 4 Hamilton Elec. Rev., Ser. B, 1.99%, 1/06/05, FSA, FRWD  5,000,000  
VMIG1 8,105 4 Univ. of Akron, 1.99%, 1/06/05, FGIC, FRWD  8,105,000  



    13,105,000  



  Pennsylvania—2.2%   
VMIG1 10,040 4 Pennsylvania Higher Ed. Facs. Auth., St. Sys. Higher Ed., Ser. A, MBIA, FRWD, 1.95%, 1/06/05  10,040,000  



  Tennessee—4.4%   
  Clarksville Pub. Bldg. Auth., FRDD,   
VMIG1 13,100 4    1.99%, 1/03/2005  13,100,000  
VMIG1 7,100 4    Pooled Fin. Mun. Bond Fund, 1.99%, 1/03/05  7,100,000  



    20,200,000  



  Puerto Rico—1.2%   
A-1
3,000 4 Puerto Rico Gov’t. Dev. Bank, 1.92%, 1/05/05, MBIA, FRWD  3,000,000  
A1+
2,500 4 Puerto Rico Hwy. & Transp. Auth., Transp. Rev., Ser. A, 1.95%, 1/06/05, AMBAC, FRWD  2,500,000  



    5,500,000  




Shares      
(000)
     

  Money Market Fund—0.5%   
2,300   AIM Tax Free Investment Co. Cash Reserve Portfolio  2,300,000  



  Total Short-Term Investments (cost $88,987,297)  88,987,297  



  Total Investments—157.7% (cost $681,650,714) 
$
718,400,152  
  Other assets in excess of liabilities—1.8% 
8,320,991  
  Preferred shares at redemption value, including dividends payable—(59.5)% 
(271,060,913 ) 
   


  Net Assets Applicable to Common Shareholders—100% 
$
455,660,230  





1      Using the higher of S&P’s, Moody’s or Fitch’s rating.
2      Date (month/year) and price of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates.
3      This bond is prefunded. U.S. government securities, held in escrow, are used to pay interest on this security, as well as retire the bond in full at the date indicated, typically at a premium to par.
4      For purposes of amortized cost valuation, the maturity date of this instrument is considered to be the earlier of the next date on which the security can be redeemed at par, or the next date on which the rate of interest is adjusted.
 

The value (market value plus accrued interest) of securities that are covered by insurance, which ensures the payment of principal and interest, represent approximately 89.4% of the Trust’s managed assets.


KEY TO ABBREVIATIONS 
AMBAC        American Municipal Bond Assurance Corporation    FRWD        Floating Rate Weekly Demand 
CAPMAC        Capital Markets Assurance Company    FSA        Financial Security Assurance 
COP        Certificate of Participation    GO        General Obligation 
ETM        Escrowed to Maturity    MBIA        Municipal Bond Insurance Association 
FGIC        Financial Guaranty Insurance Company    PCR        Pollution Control Revenue 
FRDD        Floating Rate Daily Demand             


See Notes to Financial Statements.

19


PORTFOLIO OF INVESTMENTS
DECEMBER 31, 2004

BlackRock Insured Municipal Term Trust (BMT)

  Principal    
Option Call
 
Rating1 
Amount    
Provisions2
 
(unaudited) 
(000)
 
Description 
(unaudited)
Value 







    LONG-TERM INVESTMENTS—136.0%   
    Alabama—0.9%   
   AAA  $  1,410   Alabama Fed. Hwy. Fin. Auth., Grant Antic., Ser. A, 4.50%, 3/01/11, MBIA  No Opt. Call
$
1,513,254 
   AAA  1,000   Birmingham Jefferson Civic Ctr. Auth., Ser. A, 4.375%, 1/01/11, FSA  No Opt. Call 1,064,700 


      2,577,954 


    Alaska—8.0%   
    Anchorage, GO, Ser. B,   
   AAA  14,345      4.125%, 7/01/11, MBIA  No Opt. Call 15,099,690 
   AAA  6,000      4.625%, 7/01/10, FGIC  No Opt. Call 6,480,540 
   AAA  1,260   Univ. of Alaska, Ser. K, 3.75%, 10/01/10, FGIC  No Opt. Call 1,304,050 


      22,884,280 


    Arizona—3.1%   
   AAA  1,000   Arizona St. Univ., 4.20%, 7/01/11, FGIC  No Opt. Call 1,061,790 
   AAA  1,030   Mesa, GO, Ser. A, 3.75%, 7/01/10, FGIC  No Opt. Call 1,071,468 
   AAA  6,340   Pima Cnty. Str. & Hwy., 4.25%, 7/01/11, FGIC 
07/08 @ 101
6,627,709 


      8,760,967 


    Arkansas—0.2%   
   AAA  500   Little Rock, Cap. Impvt., 4.00%, 4/01/11, FSA  No Opt. Call 522,730 


    California—6.8%   
   AAA  145   California, GO, 6.80%, 11/01/10, FGIC 
05/05 @ 102
150,084 
    California Dept. of Wtr. Res., Pwr. Sply. Rev., Ser. A,   
   AAA  5,000      3.60%, 5/01/10, AMBAC  No Opt. Call 5,186,350 
   AAA  3,500      3.70%, 5/01/11, MBIA  No Opt. Call 3,617,565 
   AAA  6,100   Contra Costa Trans. Auth., Sales Tax Rev., 6.50%, 3/01/09, FGIC  ETM 6,836,331 
   AAA  3,065   Los Angeles Cnty., Asset Leasing Corp., 6.05%, 12/01/10, AMBAC  No Opt. Call 3,587,276 


      19,377,606 


    Colorado—1.2%   
   AAA  3,245   Weld Cnty. Sch. Dist. No. 6, 3.75%, 12/01/10, FSA  No Opt. Call 3,375,741 


    Delaware—0.4%   
   AAA  1,015   Delaware River & Bay Auth., 3.75%, 1/01/11, MBIA  No Opt. Call 1,050,241 


    District of Columbia—3.9%   
   AAA  10,000   Dist. of Columbia, GO, Ser. B, 5.50%, 6/01/11, FSA  No Opt. Call 11,260,600 


    Florida—0.9%   
   AAA  2,320   Tampa Wtr. & Swr., 5.50%, 10/01/10, FSA  No Opt. Call 2,623,572 


    Hawaii—4.5%   
   AAA  11,080   Hawaii, GO, Ser. CN, 5.25%, 3/01/11, FGIC 
03/07 @ 102 
11,883,854 
   AAA  1,000   Univ. of Hawaii, Univ. Sys., 3.875%, 7/15/10, FGIC  No Opt. Call 1,045,300 


      12,929,154 


    Illinois—17.1%   
    Chicago, GO, Ser. A,   
   AAA  4,000      4.375%, 1/01/11, AMBAC  No Opt. Call 4,265,520 
   AAA  1,790      5.00%, 1/01/11, MBIA  No Opt. Call 1,969,447 
    Chicago Park Dist., Pkg. Rev., GO, Ser. A, FGIC,   
   AAA  3,120      3.50%, 1/01/10  No Opt. Call 3,194,693 
   AAA  3,695      4.00%, 1/01/11  No Opt. Call 3,865,191 
   AAA  1,000   Du Page & Cook Cntys. Sch. Dist., GO, 4.50%, 1/01/11, FGIC  No Opt. Call 1,073,160 
   AAA  1,750   Du Page & Will Cntys. Sch. Dist., GO, 4.25%, 12/30/10, FGIC  No Opt. Call 1,861,143 
    Du Page Cnty. Forest Presvtn. Dist.,   
   AAA  5,000      Zero Coupon, 11/01/10  No Opt. Call 4,041,250 
   AAA  11,965      Zero Coupon, 11/01/11  No Opt. Call 9,211,853 
    Illinois, GO, Ser. 1,   
   AAA  1,500      4.50%, 2/01/11, FGIC  No Opt. Call 1,610,235 
   AAA  2,000      4.50%, 4/01/11, FSA  No Opt. Call 2,147,080 
   AAA  4,000      5.25%, 2/01/11, FGIC  No Opt. Call 4,458,520 
   AAA  5,000   Illinois Edl. Fac. Auth., 5.70%, 7/01/13, FGIC 
01/05 @ 101 
5,068,200 
   AAA  2,265   Kane & Du Page Cntys. Sch. Dist., GO, Ser. A, 4.00%, 1/01/11, FSA  No Opt. Call 2,369,326 

See Notes to Financial Statements.

20


BlackRock Insured Municipal Term Trust (BMT) (continued)

  Principal    
Option Call
 
Rating1 
Amount    
Provisions2
 
(unaudited) 
(000)
 
Description 
(unaudited)
Value 







    Illinois—(continued)   
   AAA  $1,500   Lake Cnty. Cmnty. Cons. Sch. Dist., Number 050 Woodland Sch. Proj., 3.625%, 1/01/11, FGIC  No Opt. Call
$
1,538,610 
   AAA  1,025   Orland Park, GO, Ser. A, 3.50%, 12/01/10, FGIC  No Opt. Call 1,048,063 
   AAA  1,075   Rockford Sch. Dist., GO, 4.30%, 2/01/11, FGIC  No Opt. Call 1,142,822 


      48,865,113 


    Indiana—3.9%   
   AAA  2,635   Indiana Mun. Pwr. Agcy., Pwr. Sply. Sys., Ser. A, 4.50%, 1/01/11, AMBAC  No Opt. Call 2,818,844 
    Indianapolis Loc. Pub. Impvt. Bond Bank, Wtr. Wks. Proj., Ser. A, MBIA,   
   AAA  2,085      4.25%, 7/01/10  No Opt. Call 2,211,643 
   AAA  2,815      4.375%, 1/01/11  No Opt. Call 2,992,373 
   AAA  2,950      4.375%, 7/01/11  No Opt. Call 3,140,953 


      11,163,813 


    Kansas—0.7%   
    Kansas Dev. Fin. Auth., Pub. Wtr. Sply., AMBAC,   
   AAA  1,025      4.125%, 4/01/10  No Opt. Call 1,082,011 
   AAA  1,000      4.25%, 4/01/11  No Opt. Call 1,059,500 


      2,141,511 


    Kentucky—3.6%   
   AAA  12,675   Kentucky Econ. Dev. Fin. Sys., Norton Hlth. Care Inc. Proj., Ser. B, Zero Coupon, 10/01/10, MBIA  No Opt. Call 10,252,681 


    Louisiana—1.8%   
   AAA  5,000   Louisiana Pub. Facs. Auth., Ochsner Clinic Fndtn. Proj., Ser. B, 4.00%, 5/15/11, MBIA  No Opt. Call 5,196,250 


    Michigan—2.3%   
    Detroit, GO, MBIA,   
   AAA  1,580      4.00%, 4/01/10  No Opt. Call 1,656,014 
   AAA  1,955      4.00%, 4/01/11  No Opt. Call 2,046,122 
   AAA  70   Michigan Mun. Bd. Auth., Ser. A, 6.50%, 11/01/12, MBIA 
01/05 @ 101
70,251 
   AAA  2,810   Wyandotte City Sch. Dist., Bldg. & Site, 4.00%, 5/01/11, FSA  No Opt. Call 2,937,658 


      6,710,045 


    Minnesota—1.8%   
   AAA  2,800   Hopkins Indpt. Sch. Dist. No. 270, GO, Ser. B, 4.00%, 2/01/11, FSA  No Opt. Call 2,930,564 
     A+  2,180   So. Minnesota Mun. Pwr. Agcy., Ser. B, 5.75%, 1/01/11  ETM 2,216,886 


      5,147,450 


    Nevada—1.8%   
    Nevada Dept. of Bus. & Ind., Las Vegas Monorail Proj., AMBAC,   
   AAA  3,795      Zero Coupon, 1/01/11  No Opt. Call 3,025,488 
   AAA  2,870      Zero Coupon, 1/01/12  No Opt. Call 2,174,570 


      5,200,058 


    New Jersey—0.4%   
   AAA  1,000   Monmouth Cnty. Impvt. Auth., Gov’t. Loan, 3.375%, 12/01/10, FSA  No Opt. Call 1,020,140 


    New Mexico—3.7%   
   AAA  1,750   Las Cruces Sch. Dist. No. 002, GO, 5.25%, 8/01/11, FSA 
08/09 @ 100 
1,912,487 
    New Mexico Fin. Auth., Pub. Proj., Ser. A, MBIA,   
   AAA  1,433      3.40%, 6/01/11  No Opt. Call 1,447,789 
   AAA  1,345      4.20%, 6/01/10  No Opt. Call 1,421,517 
   AAA  3,260      4.30%, 6/01/11  No Opt. Call 3,462,250 
   AAA  2,230   New Mexico Hwy. Comm., Ser. B, 4.75%, 6/15/11, AMBAC  ETM 2,435,227 


      10,679,270 


    New York—10.6%   
   AAA  8,950   Long Island Pwr. Auth., Elec. Sys. Rev., Ser. A, 5.50%, 12/01/10, AMBAC  No Opt. Call 10,116,275 
    New York Env. Fac. Corp., PCR, Ser. D,   
   AAA  1,010      6.70%, 5/15/09 
01/05 @ 102 
1,035,553 
   AAA  785      6.80%, 5/15/10 
01/05 @ 102 
804,923 
    New York Med Care Fac. Fin., New York Hosp. Proj., Ser. A, AMBAC, 
 
   AAA  9,715 3    6.60%, 2/15/05 
N/A
9,960,790 
   AAA  2,695 3    6.625%, 2/15/05 
N/A
2,763,264 
   AAA  5,000   New York Thruway Auth., Personal Income Tax Rev., Ser. A, 5.00%, 3/15/11, FSA  No Opt. Call 5,531,450 


      30,212,255 



See Notes to Financial Statements.

21


BlackRock Insured Municipal Term Trust (BMT) (continued)

  Principal    
Option Call
 
Rating1 
Amount    
Provisions2
 
(unaudited) 
(000)
 
Description 
(unaudited)
Value 







    Ohio—0.7%   
   AAA  $  1,000   Akron, GO, 4.00%, 12/01/10, MBIA  No Opt. Call
$ 
1,050,960 
   AAA  1,015   Univ. of Cincinnati, Ser. G, 3.50%, 6/01/09, AMBAC  No Opt. Call  
1,047,642 


       
2,098,602 


    Oregon—3.9%   
   AAA  1,995   Lane Cnty. Sch. Dist. No. 4, 3.75%, 1/01/11, FSA  No Opt. Call  
2,063,169 
   AAA  1,000   Oregon Dept. of Admin. Svcs., Lottery Rev., Ser. C, 3.50%, 4/01/11, FSA  No Opt. Call  
1,021,360 
    Washington & Clackamas Cntys. Sch. Dist., GO, MBIA,   
   AAA  3,820      4.00%, 6/15/10  No Opt. Call  
4,020,321 
   AAA  3,720      4.00%, 6/15/11  No Opt. Call  
3,909,720 


       
11,014,570 


    Pennsylvania—9.3%   
   AAA  2,430   Central York Sch. Dist., GO, 4.125%, 6/01/11, FGIC  No Opt. Call  
2,563,529 
   AAA  3,530   Dauphin Cnty. Gen. Auth., HAPSCO-Western Pennsylvania Hosp. Proj., Ser. B,   
       6.25%, 7/01/08, MBIA  ETM  
3,777,629 
   AAA  7,500   Pennsylvania Higher Edl. Facs. Auth., Univ. of Pennsylvania Hlth. Svcs. Proj., Ser. A,   
       5.25%, 8/01/10, FSA 
08/09 @ 101
 
8,234,025 
   AAA  2,100   Philadelphia Wtr. & Wst., 5.625%, 6/15/08, AMBAC  No Opt. Call  
2,310,882 
   AAA  7,000   Pittsburgh, GO, Ser. A, 5.20%, 3/01/10, FGIC 
09/05 @ 100
 
7,129,290 
   AAA  1,075   State Pub. Sch. Bldg. Auth., York Sch. Dist. Proj., 4.75%, 5/01/11, FSA  No Opt. Call  
1,171,567 
   AAA  1,250   Wilson Sch. Dist., GO, 4.00%, 5/15/10, FSA  No Opt. Call  
1,311,438 


       
26,498,360 


    Rhode Island—1.9%   
   AAA  5,000   Rhode Island & Providence Plantations, GO, Ser. B, 4.20%, 6/01/10, FGIC  ETM  
5,330,650 
   AAA  235   Rhode Island Clean Wtr. Protection Fin. Agcy., PCR, Ser. A, 6.70%, 10/01/10, MBIA 
04/05 @ 100 
 
237,543 


       
5,568,193 


    Tennessee—0.8%   
    Clarksville Wtr., Swr. & Gas, FSA,   
   AAA  1,005      4.45%, 2/01/10  No Opt. Call  
1,075,521 
   AAA  1,100      4.65%, 2/01/11  No Opt. Call  
1,189,254 


       
2,264,775 


    Texas—15.5%   
   AAA  1,090   Addison, GO, 3.375%, 2/15/11, FGIC  No Opt. Call  
1,101,696 
    Bexar Met. Wtr. Dist., Wtr. Wks. Sys., FSA,   
   AAA  1,085      3.70%, 5/01/10  No Opt. Call  
1,119,373 
   AAA  1,090      3.80%, 5/01/11  No Opt. Call  
1,125,861 
   AAA  2,000   Dallas Rapid Transit, 4.30%, 12/01/10, AMBAC  No Opt. Call  
2,128,560 
    Harris Cnty., GO,   
   AAA  1,500      Ser. A, 5.00%, 10/01/10, FSA  No Opt. Call  
1,650,375 
   AAA  330      Ser. B, Zero Coupon, 8/15/08, FGIC  ETM  
299,647 
   AAA  2,255      Ser. B, Zero Coupon, 8/15/08, FGIC  No Opt. Call  
2,035,949 
    Houston, GO, MBIA,   
   AAA  5,000      Ser. A, 5.00%, 3/01/11  No Opt. Call  
5,504,900 
   AAA  2,000      Ser. A1, 5.00%, 3/01/11  No Opt. Call  
2,201,960 
   AAA  2,490   Houston Area Wtr. Corp., Northeast Wtr. Purification Proj., 4.50%, 3/01/11, FGIC  No Opt. Call  
2,666,591 
   AAA  10,440   Houston Wtr. & Swr. Sys., Ser. C, Zero Coupon, 12/01/10, AMBAC  No Opt. Call  
8,530,419 
   AAA  5,550   Katy Indpt. Sch. Dist., GO, Ser. A, Zero Coupon, 2/15/11  No Opt. Call  
4,449,324 
   AAA  4,000   Texas Mun. Pwr. Agcy., 5.50%, 9/01/10, MBIA  No Opt. Call  
4,505,360 
   AAA  2,245   Texas Pub. Fin. Auth., 4.00%, 2/01/11, FGIC  No Opt. Call  
2,340,839 
   AAA  1,250   Texas Tech Univ. Revs., Ser. 9, 5.00%, 2/15/11, AMBAC  No Opt. Call  
1,372,500 
   AAA  1,630   Texas Univ. Sys. Fin., 3.50%, 3/15/11, FSA  No Opt. Call  
1,655,395 
   AAA  1,500   Univ. of Houston, Ser. A, 4.00%, 2/15/10, FSA  No Opt. Call  
1,570,545 


       
44,259,294 


    Utah—2.2%   
   AAA  3,470   Intermountain Pwr. Agcy. Sply., Ser. A, 5.25%, 7/01/11, MBIA 
07/09 @ 101
 
3,824,703 
   AAA  3,175   Salt Lake Cnty. Wtr. Conservancy Dist., Ser. A, Zero Coupon, 10/01/10, AMBAC  No Opt. Call  
2,590,038 


       
6,414,741 



See Notes to Financial Statements.

22


BlackRock Insured Municipal Term Trust (BMT) (continued)

  Principal    
Option Call
 
Rating1 
Amount    
Provisions2
 
(unaudited) 
(000)
 
Description 
(unaudited)
Value 







  Washington—12.8%   
AAA $  7,345   Benton Cnty. Sch. Dist. No. 17, GO, Kennewick Sch. Proj., 4.50%, 12/01/10, FSA  No Opt. Call
$
7,895,875 
AAA 1,000   Chelan Cnty. Sch. Dist., GO, 4.50%, 12/01/10, FSA  No Opt. Call 1,075,000 
AAA 3,000   Clark Cnty. Pub. Util. Dist. No. 1, Elec. Rev., 4.50%, 1/01/11, AMBAC  No Opt. Call 3,207,630 
AAA 2,040   Clark Cnty. Sch. Dist. No. 114, Evergreen, GO, 4.125%, 12/01/10, FSA  No Opt. Call 2,151,996 
AAA 1,010   Tacoma, GO, 4.625%, 12/01/10, FGIC  No Opt. Call 1,092,507 
  Washington, GO, MBIA,   
AAA 5,000      Ser. A, 5.50%, 7/01/11 
07/09 @ 100 
5,530,150 
AAA 1,505      Ser. R, 3.125%, 1/01/11  No Opt. Call 1,497,264 
  Washington Pub. Pwr. Sply. Sys., MBIA,   
AAA 1,300      Ser. B, Zero Coupon, 7/01/10  No Opt. Call 1,068,210 
AAA 9,160      Nuclear Proj. No. 2, Ser. A, Zero Coupon, 7/01/10  ETM 7,686,889 
AAA 3,745      Nuclear Proj. No. 2, Ser. A, Zero Coupon, 7/01/10  No Opt. Call 3,077,266 
AAA 2,280   Whatcom Cnty. Sch. Dist. No. 503, GO, 4.50%, 12/01/10, FSA  No Opt. Call 2,451,000 


    36,733,787 


  West Virginia—3.5%   
  West Virginia Econ. Dev. Auth., Correctional Juvenile & Pub., Ser. A, MBIA,   
AAA 3,705      4.50%, 6/01/10  No Opt. Call 3,970,760 
AAA 4,420      4.50%, 6/01/11  No Opt. Call 4,745,002 
AAA 1,170   West Virginia Sch. Bldg. Auth., 4.00%, 7/01/11, AMBAC  No Opt. Call 1,223,048 


    9,938,810 


  Wisconsin—5.7%   
AAA 1,045   Appleton Wtr. Wks., 4.375%, 1/01/11, FGIC  No Opt. Call 1,110,260 
  Wisconsin Clean Wtr., Ser. 2, MBIA,   
AAA 4,640      4.00%, 6/01/10  No Opt. Call 4,858,034 
AAA 9,850      4.00%, 6/01/11  No Opt. Call 10,291,280 


    16,259,574 


  Wyoming—2.1%   
  Albany Cnty. Impvts. Statutory Trust, COP, MBIA,   
AAA 1,325      4.00%, 1/15/10  No Opt. Call 1,386,400 
AAA 1,450      4.00%, 7/15/10  No Opt. Call 1,519,571 
AAA 1,480      4.00%, 1/15/11  No Opt. Call 1,542,782 
AAA 1,510      4.00%, 7/15/11  No Opt. Call 1,578,826 


    6,027,579 


  Total Long-Term Investments (cost $363,210,487)  389,029,716 


 
  SHORT-TERM INVESTMENTS—21.9%   
  Florida—2.6%   
A1+
7,500 4 Highlands Cnty. Hlth. Facs. Auth., Adventist Hlth. Sys. Proj., Ser. B, 2.00%, 1/06/05, FGIC, FRWD 
N/A
7,500,000 


  Kansas—3.5% 
 
A1+
10,000 4 Kansas Dept. Transp. Hwy., Ser. B-1, 1.89%, 1/03/05, FRDD 
N/A
10,000,000 


  Massachusetts—4.6% 
 
A1+
13,245 4 Massachusetts Dev. Fin. Agcy., Boston Univ. Proj., Ser. R-2, 1.89%, 1/03/05, XLCA, FRDD 
N/A
13,245,000 


  New York—2.1% 
 
A1+
6,000 4 New York City Transl. Fin. Auth., Ser. A-1, 2.00%, 1/05/05, FRWD 
N/A
6,000,000 


  North Carolina—2.5% 
 
A1+
7,000 4 Buncombe Cnty. Met. Swr. Dist., Swr. Sys. Rev., 1.99%, 1/06/05, XLCA, FRWD 
N/A
7,000,000 


  Ohio—3.1% 
 
VMIG1 9,000 4 Hamilton Cnty. Hosp. Facs., Ser. A, 2.01%, 1/05/05, FRWD 
N/A
9,000,000 


  Tennessee—2.4% 
 
VMIG1 7,000 4 Clarksville Pub. Bldg. Auth., Pooled Fin. Mun. Bond Fund, 1.99%, 1/03/05, FRDD 
N/A
7,000,000 



See Notes to Financial Statements.

23


BlackRock Insured Municipal Term Trust (BMT) (continued)

 
Shares
   
 
 
(000)
 
Description 
Value
 








  MONEY MARKET FUND—1.1% 
 
  3,050   AIM Tax Free Investment Co. Cash Reserve Portfolio   
$
3,050,000  
 


  Total Short-Term Investments (cost $62,795,000) 
62,795,000  
 


  Total Investments—157.9% (cost $426,005,487)   
$
451,824,716  
  Other assets in excess of liabilities—1.7% 
4,759,992  
  Preferred shares at redemption value, including dividends payable—(59.6)% 
(170,455,246 ) 
     


  Net Assets Applicable to Common Shareholders—100%   
$
286,129,462  
 




1      Using the higher of S&P’s, Moody’s or Fitch’s rating.
2      Date (month/year) and price of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates.
3      This bond is prefunded. U.S. government securities, held in escrow, are used to pay interest on this security, as well as retire the bond in full at the date indicated, typically at a premium to par.
4      For purposes of amortized cost valuation, the maturity date of this instrument is considered to be the earlier of the next date on which the security can be redeemed at par, or the next date on which the rate of interest is adjusted.
 

The value (market value plus accrued interest) of securities that are covered by insurance, which ensures the payment of principal and interest, represent approximately 88.1% of the Trust’s managed assets.


KEY TO ABBREVIATIONS
AMBAC        American Municipal Bond Assurance Corporation    FSA        Financial Security Assurance 
COP        Certificate of Participation    GO        General Obligation 
ETM        Escrowed to Maturity    MBIA  
 
  Municipal Bond Insurance Association 
FGIC        Financial Guaranty Insurance Company    PCR        Pollution Control Revenue 


See Notes to Financial Statements.

24


PORTFOLIO OF INVESTMENTS
DECEMBER 31, 2004

BlackRock Municipal 2018 Term Trust (BPK)

  Principal    
Option Call
 
Rating1 
Amount    
Provisions2
 
(unaudited) 
(000)
 
Description 
(unaudited)
Value 







    LONG-TERM INVESTMENTS—152.5%   
    Alabama—4.5%   
Baa2  $  5,000   Courtland Ind. Dev. Brd., PCR, Champion Intl. Corp. Proj., 6.15%, 6/01/19 
06/05 @ 102
$
5,156,350 
A2  5,845   Huntsville Hlth. Care Auth., GO, Ser. A, 5.625%, 6/01/22 
06/12 @ 101
6,076,637 


      11,232,987 


    California—5.7%   
A  1,750   Agua Caliente Band of Cahuilla Indians, 5.60%, 7/01/13 
No Opt. Call
1,766,450 
AAA  5,425   Clovis Unified Sch. Dist., Cap. Apprec. Election 2004, Ser. A, Zero Coupon, 8/01/21, FGIC 
No Opt. Call
2,443,963 
NR  1,235   Lincoln, Spec. Tax Rev., Cmnty. Facs. Dist. 1, 5.90%, 9/01/24 
09/13 @ 102
1,245,584 
B-  3,460   Los Angeles Regl. Arpt. Impvt., Corp. Lease Rev., Amer. Airlines, Inc. Proj., Ser. C, 7.50%, 12/01/24 . 
12/12 @ 102
3,482,213 
BBB+  5,000   Poll. Ctrl. Fin. Auth., Sld. Wst. Disp. Rev., Republic Svcs. Inc., Proj., Ser. C, 5.25%, 6/01/23 
No Opt. Call
5,330,500 


      14,268,710 


    Colorado—2.1%   
A2  5,000   Colorado Hsg. & Fin. Auth., Sld. Wst. Rev., Wst. Mgmt. Proj., 5.70%, 7/01/18 
No Opt. Call
5,277,500 


    Connecticut—1.6%   
Baa3  3,750 3 Mashantucket Western Pequot Tribe, Spec. Rev., Ser. B, 5.75%, 9/01/18 
09/0 7@ 102
3,959,588 


    Florida—12.2%   
Baa1  1,585   Cap. Trust Agcy. Multi-Fam., American Oppty., Ser. A, 5.75%, 12/01/23 
06/13 @ 102 
1,510,584 
NR  2,000   CFM Cmnty. Dev. Dist., Cap. Impvt., Ser. B, 5.875%, 5/01/14 
No Opt. Call
2,046,020 
    Live Oak Cmnty. Dev. Dist., Spl. Assmt., Ser. B, 
 
NR  3,215      No. 1, 5.30%, 5/01/08 
No Opt. Call
3,268,530 
NR  1,860      No. 2, 5.00%, 11/01/09 
No Opt. Call
1,858,382 
BB  4,515   Miami Beach Hlth. Facs. Auth., Mt. Sinai Med. Ctr. Proj., 6.75%, 11/15/21 
11/14 @ 100
4,832,495 
NR  1,595   Pine Islands Cmnty. Dev. Dist., Util. Sys. Rev., 5.30%, 11/01/10 
No Opt. Call
1,590,885 
NR  5,025   Stevens Plantation Cmnty. Dist., Spl. Assmt. Rev., Ser. B, 6.375%, 5/01/13 
No Opt. Call
5,175,448 
NR4  940   Sumter Landing Cmnty. Dev. Dist., 6.25%, 5/01/13 
No Opt. Call
980,946 
NR4  2,240   Vlg. Cmnty. Dev. Dist., Assmt. Rev., Ser. B, 5.40%, 5/01/07 
No Opt. Call
2,277,408 
NR4  5,410   Vlg. Ctr. Cmnty. Dev. Dist., Ser. B, 5.875%, 1/01/15 
No Opt. Call
5,616,121 
NR  1,500   Westchester Cmnty. Dev. Dist. No. 1, Spl. Assmt., 6.00%, 5/01/23 
05/13@ 101 
1,545,825 


      30,702,644 


    Georgia—1.4%   
BB+  3,500   Effingham Cnty. Dev. Auth., Sld. Wst. Disp. Rev., Fort James Proj., 5.625%, 7/01/18 
07/08 @ 102 
3,553,130 


    Illinois—21.8%   
NR  1,825   Centerpoint Intermodal Ctr. Prog. Trust, Ser. A, 8.00%, 6/15/23 
No Opt. Call
1,841,407 
AAA  5,000   Chicago O’Hare Intl. Arpt., Ser. A, 5.75%, 1/01/18, MBIA 
01/12 @ 100 
5,519,250 
    Illinois Dev. Fin. Auth.,   
A  12,500 5    Adventist Hlth. Sys. Sunbelt Oblig. Proj., 5.50%, 11/15/20 
11/09 @ 101 
13,157,000 
A2  5,000      PCR, Ser. C, 5.95%, 8/15/26 
12/06 @ 101 
5,151,700 
Baa2  5,980   Illinois Edl. Facs. Auth., Student Hsg., Edl. Adv. Fund, Univ. Ctr. Proj., 6.00%, 5/01/22 
05/12 @ 101 
6,213,399 
    Illinois Fin. Auth. Student Hsg., MJH Ed. Asst. Living Proj.,   
Baa2  2,275      Ser. A, 5.00%, 6/01/24 
06/14 @ 100
2,255,367 
Baa2  2,750      Ser. A, 5.50%, 6/01/19 
06/14 @ 100
2,900,590 
Baa3  925      Ser. B, 5.00%, 6/01/24 
06/14 @ 100
893,744 
A2  5,000   Illinois Hlth. Facs. Auth., Elmhurst Mem. Hlth. Care Proj., 5.50%, 1/01/22 
01/13 @ 100
5,229,950 
    Illinois Sports Facs. Auth., Dedicated St. Tax Supported Rev., AMBAC, 
 
AAA  1,885      Zero Coupon, 6/15/19 
06/15 @ 101 
1,570,940 
AAA  1,985      Zero Coupon, 6/15/20 
06/15 @ 101 
1,642,865 
AAA  2,090      Zero Coupon, 6/15/21 
06/15 @ 101 
1,721,450 
    Kane & Du Page Cntys. Sch. Dist., GO, Ser. B, FSA,   
AAA  4,625      Zero Coupon, 1/01/18 
01/12 @ 72.424
2,393,391 
AAA  4,100      Zero Coupon, 1/01/19 
01/12 @ 67.935
2,140,651 
AAA  2,950      Zero Coupon, 1/01/21 
01/12 @ 60.037
1,371,072 
AAA  1,700      Zero Coupon, 1/01/22 
01/12 @ 56.453
744,447 


      54,747,223 


    Indiana—9.5%   
AA  13,970   Indiana Hlth. Fac. Fin. Auth., Sisters of St. Francis Proj., 5.75%, 11/01/21 
11/11 @ 101
14,918,424 
BBB  2,500   Indianapolis Arpt. Auth., Fed. Express Corp. Proj., 5.10%, 1/15/17 
No Opt. Call
2,650,050 
Baa2  4,000   Petersburg, PCR, Pwr. & Lt. Conv., 5.75%, 8/01/21 
08/11 @ 102 
4,190,920 
NR  2,290   Vincennes Econ. Dev., Southwest Indiana Regl., 6.25%, 1/01/24 
01/09 @ 102 
2,128,028 


      23,887,422 



See Notes to Financial Statements.

25


BlackRock Municipal 2018 Term Trust (BPK) (continued)

  Principal    
Option Call
 
Rating1 
Amount    
Provisions2
 
(unaudited) 
(000)
 
Description 
(unaudited)
Value 







    Louisiana—1.5% 
 
NR4  $  3,730   Louisiana Pub. Facs. Auth., Dept. of Pub. Safety, 5.875%, 6/15/14 
06/10 @ 100 
$
3,857,715 


    Maryland—2.1% 
 
NR4  5,170   Frederick Cnty., Urbana Cmnty. Dev. Auth., Ser. A, 5.80%, 7/01/20 
07/07 @ 102 
5,199,624 


    Michigan—6.7% 
 
A1  5,450   Michigan Hosp. Fin. Auth., Henry Ford Hlth. Sys. Proj., Ser. A, 6.00%, 11/15/19 
11/09 @ 101 
5,805,176 
BB+  9,000   Midland Cnty. Econ. Dev., Ser. A, 6.875%, 7/23/09 
07/07 @ 101
9,375,480 
    Pontiac Tax Increment Fin. Auth., ACA, 
 
A  700      Dev. Area 2, 5.625%, 6/01/22 
06/12 @ 101
740,516 
A  1,000      Dev. Area 3, 5.375%, 6/01/17 
06/12 @ 101
1,057,050 


     
16,978,222 


    Mississippi—4.3% 
 
BBB  9,000   Lowndes Cnty. Sld. Wst. Disp., PCR, Weyerhaeuser Co. Proj., Ser. A, 6.80%, 4/01/22 
No Opt. Call
10,809,360 


    Nevada—2.6% 
 
NR  1,100   Las Vegas, Spec. Imp. Dist. 809, Summerlin Area Proj., 5.35%, 6/01/17 
06/05 @ 103 
1,102,607 
BBB+  5,000   Nevada Dept. of Bus. & Ind., Republic Svc., Inc. Proj., 5.625%, 12/01/26 
No Opt. Call
5,358,000 


     
6,460,607 


    New Hampshire—4.0% 
 
AAA  7,000   New Hampshire Bus. Fin. Auth., PCR, Pub. Svc. Co. Proj., Ser. C, 5.45%, 5/01/21, MBIA 
05/12 @ 101 
7,761,250 
A+  2,025   New Hampshire Hlth. & Ed. Facs. Auth., Exeter Hosp. Proj., 6.00%, 10/01/24 
10/11 @ 101 
2,193,845 


     
9,955,095 


    New Jersey—10.7% 
 
    New Jersey Econ. Dev. Auth., 
 
Baa2  8,500      Cigarette Tax, 5.50%, 6/15/24 
06/12 @ 100 
8,702,810 
B  4,065      Continental Airlines, Inc. Proj., 7.00%, 11/15/30 
11/10 @ 101 
3,569,111 
B  6,750      Continental Airlines, Inc. Proj., 7.20%, 11/15/30 
11/10 @ 101 
6,071,693 
Baa3  8,410   Kapkowski Road Landfill Proj., 5.50%, 4/01/16 
No Opt. Call
8,709,816 


     
27,053,430 


    New Mexico—1.0% 
 
NR  2,315   Sandoval Cnty. Proj. Dev., Santa Ana Pueblo Proj., 7.75%, 7/01/15 
No Opt. Call
2,392,321 


    North Carolina—1.7% 
 
A3  4,000   Wake Cnty. Ind. Facs., PCR, Carolina Pwr. & Lt. Co. Proj., 5.375%, 2/01/17 
02/12 @ 101 
4,309,360 


    Ohio—0.2% 
 
NR  500   Pinnacle Cmnty. Infrastructure Fin. Auth., Facs. Rev., Ser. A, 6.00%, 12/01/22 
12/14 @ 101 
513,110 


    Oklahoma—1.1% 
 
B-  2,700   Tulsa Mun. Arpt. Trust, Ser. A, 7.75%, 6/01/35 
No Opt. Call
2,789,127 


    Pennsylvania—6.7% 
 
    Philadelphia Auth. for Ind. Dev., Ser. B, FSA, 
 
AAA  5,000      5.50%, 10/01/18 
10/11 @ 101 
5,564,900 
AAA  5,000      5.50%, 10/01/19 
10/11 @ 101 
5,552,250 
    West Cornwall Twnshp., Mun. Auth. Coll., Elizabethtown Coll. Proj., 
 
BBB+  2,500      5.90%, 12/15/18 
12/11 @ 100 
2,737,875 
BBB+  2,650      6.00%, 12/15/22 
12/11 @ 100 
2,897,960 


     
16,752,985 


    South Carolina—3.5% 
 
NR  3,497   Lancaster Cnty., Assmt. Rev., Edgewater Imp. Dist. Proj., Ser. B, 6.125%, 11/01/14 
No Opt. Call
3,622,507 
BBB  5,000   South Carolina Jobs Econ. Dev. Auth., Hosp. Fac. Rev., Palmetto Hlth. Alliance Proj., Ser. A, 
 
       6.125%, 8/01/23 
08/13 @ 100 
5,277,450 


     
8,899,957 


    Tennessee—2.3% 
 
AAA  12,000   Knox Cnty. Hlth. Edl. & Hsg. Facs. Brd., Hosp. Facs. Rev., Ser. A, Zero Coupon, 1/01/19, FSA 
01/13 @ 71.667 
5,823,600 


    Texas—21.9% 
 
BBB  2,000   Alliance Arpt. Auth. Inc. Spec. Facs., Fed. Express Corp. Proj., 6.375%, 4/01/21 
04/06 @ 102 
2,094,280 
    Birdville Indpt. Sch. Dist., GO, 
 
AAA  1,615      Zero Coupon, 2/15/18 
No Opt. Call
887,362 
AAA  1,815      Zero Coupon, 2/15/19 
No Opt. Call
942,275 
AAA  2,625      Zero Coupon, 2/15/20 
No Opt. Call
1,285,646 
AAA  2,500      Zero Coupon, 2/15/21 
No Opt. Call
1,155,150 
BBB  10,010   Brazos River Auth., PCR, TXU Elec. Co. Proj., Ser. C, 5.75%, 5/01/36 
No Opt. Call
10,942,431 
NR  4,305   Dallas Cnty. Flood Ctrl., 6.75%, 4/01/16 
04/13 @ 100 
4,430,663 

See Notes to Financial Statements.

26


BlackRock Municipal 2018 Term Trust (BPK) (continued)

  Principal     Option Call  
Rating1 
Amount     Provisions2  
(unaudited) 
(000)
  Description  (unaudited)
Value
 








    Texas—(continued)   
    Dallas Ft. Worth Intl. Arpt. Fac. Impvt., Ser. A, FGIC,   
   AAA  $  5,000      5.875%, 11/01/17  11/11 @ 100 
$
5,564,050  
   AAA  5,000      5.875%, 11/01/18  11/11 @ 100  5,557,750  
    Texas Affordable Hsg. Corp., Multi-Fam. Hsg. Rev., Arborstone/Baybrook Oaks Proj., Ser. A,   
   Baa3  12,695      5.55%, 11/01/18  11/11 @ 102  12,711,377  
   Baa3  9,800      5.75%, 11/01/22  11/11 @ 102  9,659,566  



      55,230,550  



    Washington—4.7%   
    Energy Northwest Wind Proj.,   
    A-  5,000      Ser. A, 6.00%, 7/01/23  01/07 @ 103  5,284,350  
    A-  6,175      Ser. B, 5.875%, 7/01/20  01/07 @ 103  6,537,226  



      11,821,576  



    Wisconsin—6.4%   
    Wisconsin Hlth. & Edl. Facs. Auth.,   
   A+  5,000      Froedert & Cmnty. Hlth. Oblig. Proj., 5.375%, 10/01/21  10/11 @ 101  5,167,300  
   A  10,000      Wheaton Franciscan Svcs. Proj., 6.25%, 8/15/22  02/12 @ 101  10,980,000  



      16,147,300  



    Multi-State—8.7%   
    A3  14,000 3 Charter Mac Equity Issuer Trust, Ser. A-3, 6.80%, 10/01/52  10/14 @ 100  15,842,820  
   Baa2  6,000  3 Munimae TE Bond Subsidiary LLC, Ser. B2, 5.20%, 6/30/49  09/14 @ 100  5,936,340  



      21,779,160  



    Trust Territories—1.6%   
    A-  4,000 3 San Manuel Entertainment Auth., 2004 Gaming Proj., Ser.C, 4.50%, 12/01/16  12/13 @ 102  4,003,280  



    U. S. Virgin Islands—2.0%   
    Virgin Islands Pub. Fin. Auth., Sen. Lien Matching Fund Loan, Ser. A,   
   BBB  920      5.25%, 10/01/17  10/14 @ 100  985,099  
   BBB  1,160      5.25%, 10/01/19  10/14 @ 100  1,233,556  
   BBB  1,175      5.25%, 10/01/21  10/14 @ 100  1,243,784  
   BBB  815      5.25%, 10/01/22  10/14 @ 100  860,738  
   BBB  775      5.25%, 10/01/24  10/14 @ 100  810,410  



      5,133,587  



    Total Long-Term Investments (cost $364,091,018)  383,539,170  
 


 
 
     
  Shares      
 
(000)
     

    MONEY MARKET FUND—0.7%   
  1,750   AIM Tax Free Investment Co. Cash Reserve Portfolio (cost $1,750,000)  N/A  
1,750,000
 



    Total Investments—153.2% (cost $365,841,018)  $ 385,289,170  
    Other assets in excess of liabilities—1.5%  3,881,240  
    Preferred shares at redemption value, including dividends payable—(54.7)%  (137,610,651 ) 
     


    Net Assets Applicable to Common Shareholders—100%  $ 251,559,759  





1      Using the higher of S&P’s, Moody’s or Fitch’s rating.
2      Date (month/year) and price of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates.
3      Security is not registered under the Securities Act of 1933. These securities may be resold in transactions in accordance with Rule 144A under that Act, to qualified institutional buyers. As of December 31, 2004, the Trust held 11.8% of its net assets, with a current market value of $29,742,028, in securities restricted as to resale.
4      Security is deemed to be of investment grade quality by the investment advisor.
5      Entire or partial principal amount pledged as collateral for financial futures contracts.
 

KEY TO ABBREVIATIONS
ACA        American Capital Access    GO        General Obligation 
AMBAC        American Municipal Bond Assurance Corporation    MBIA        Municipal Bond Insurance Association 
FGIC        Financial Guaranty Insurance Company    PCR        Pollution Control Revenue 
FSA        Financial Security Assurance             


See Notes to Financial Statements.

27


PORTFOLIO OF INVESTMENTS
DECEMBER 31, 2004

BlackRock Municipal 2020 Term Trust (BKK)

  Principal    
Option Call
 
Rating1 
Amount    
Provisions2
 
(unaudited) 
(000)
 
Description 
(unaudited)
Value 







    LONG-TERM INVESTMENTS—157.1% 
 
    California—22.9% 
 
A  $ 12,000   California, GO, 5.00%, 11/01/22 
11/13 @ 100 
$
12,574,680 
BBB  12,500   Foothill/Eastn. Transp. Corridor Agcy., Toll Road Rev., Zero Coupon, 1/15/21 
01/10 @ 53.346 
4,932,750 
    Golden St. Tobacco Sec. Corp., 
 
BBB  3,000      Ser. A-1, 6.625%, 6/01/40 
06/13 @ 100 
2,973,720 
BBB  12,010      Ser. A-1, 6.75%, 6/01/39 
06/13 @ 100 
12,047,351 
BBB  975      Ser. A-3, 7.875%, 6/01/42 
06/13 @ 100 
1,057,495 
BBB  1,470      Ser. A-5, 7.875%, 6/01/42 
06/13 @ 100 
1,594,377 
A-  20,000      Ser. B, 5.375%, 6/01/28 
06/10 @ 100 
20,708,400 
B-  3,035   Los Angeles Regl. Arpt. Impvt., Corp. Lease Rev., Amer. Airlines, Inc. Proj., Ser. C, 
 
       7.50%, 12/01/24 
12/12 @ 102 
3,054,485 
BBB+  7,000   Poll. Ctrl. Fin. Auth., Sld. Wst. Disp. Rev., Republic Svcs. Inc., Proj., Ser. C, 5.25%, 6/01/23 
No Opt. Call
7,462,700 
AAA  6,865   Riverside Cnty., Riverside Cnty. Hosp. Proj., Zero Coupon, 6/01/25, MBIA 
No Opt. Call
2,389,157 


     
68,795,115 


    Colorado—0.6% 
 
AAA  4,500   E-470 Pub. Hwy. Auth., Cap. Apprec., Ser. B, Zero Coupon, 9/01/22, MBIA 
No Opt. Call
1,920,960 


    District of Columbia—5.2% 
 
    Friendship Pub., Charter Sch. Inc. Proj., ACA, 
 
A  3,320      5.00%, 6/01/23 
06/14 @ 100 
3,352,104 
A  2,680      5.75%, 6/01/18 
06/14 @ 100 
2,921,602 
AAA  5,000 3 Met. Washington Arpts. Auth., Arpt. Sys. Rev., Ser. C-2, 5.00%, 10/01/24, FSA 
10/14 @ 100 
5,143,350 
BBB  4,215   Tobacco Settlement Fin. Corp., 6.50%, 5/15/33 
No Opt. Call
4,061,490 


     
15,478,546 


    Florida—16.9% 
 
NR  4,860   Bellago Edl. Facs. Benefit Dist., Ser. A, 5.85%, 5/01/22 
05/14 @ 100 
4,977,320 
Baa1  1,500   Cap. Trust Agcy. Multi-Fam., American Oppty., Ser. A, 5.75%, 12/01/23 
06/13 @ 102 
1,429,575 
NR  3,000   CFM Cmnty. Dev. Dist., Cap. Impvt., Ser. B, 5.875%, 5/01/14 
No Opt. Call
3,069,030 
NR  4,445   Grand Hampton Cmnty. Dev. Dist., Cap. Impvt., 6.10%, 5/01/24 
05/13 @ 101 
4,538,078 
NR  4,140   Habitat Cmnty. Dev. Dist., 5.80%, 5/01/25 
05/14 @ 101 
4,135,612 
BB  5,475   Miami Beach Hlth. Facs. Auth., Mt. Sinai Med. Ctr. Proj., 6.75%, 11/15/21 
11/14 @ 100 
5,860,002 
NR  4,690   Middle Vlg. Cmnty. Dev. Dist., Ser. A, 5.80%, 5/01/22 
05/13 @ 100 
4,786,520 
NR  1,905   Pine Islands Cmnty. Dev. Dist., Util. Sys. Rev., 5.30%, 11/01/10 
No Opt. Call
1,900,085 
NR  7,805   Stevens Plantation Cmnty. Dist., Spl. Assmt. Rev., Ser. B, 6.375%, 5/01/13 
No Opt. Call
8,038,682 
NR  4,000   Vlg. Cmnty. Dev. Dist., No. 5, Spl. Assmt. Rev., Ser. A, 6.00%, 5/01/22 
05/13 @ 101 
4,145,800 
NR  6,000   Westchester Cmnty. Dev. Dist. No. 1, Spl. Assmt., 6.00%, 5/01/23 
05/13 @ 101 
6,183,300 
NR  1,555   World Commerce Cmnty. Dev. Dist., Spec. Assmt., Ser. A-1, 6.25%, 5/01/22 
05/14 @ 101 
1,590,159 


     
50,654,163 


    Georgia—2.5% 
 
BB+  2,500   Effingham Cnty. Dev. Auth., Sld. Wst. Disp. Rev., Fort James Proj., 5.625%, 7/01/18 
07/08 @ 102 
2,537,950 
BBB  2,500   Milledgeville Baldwin Cnty. Dev. Auth., Georgia Coll. & St. Univ. Fndtn. Proj., 5.50%, 9/01/24 
09/14 @ 101 
2,604,725 
BBB  2,350   Richmond Cnty. Dev. Auth., Env. Impvt., 5.75%, 11/01/27 
11/13 @ 100 
2,400,313 


     
7,542,988 


    Illinois—9.7% 
 
NR  2,155   Centerpoint Intermodal Ctr. Prog. Trust, Ser. A, 8.00%, 6/15/23 
No Opt. Call
2,174,374 
A-  5,000   Illinois Dev. Fin. Auth., DePaul Univ. Proj., Ser. C, 5.25%, 10/01/24 
10/14 @ 100 
5,300,800 
AA+  4,800   Illinois Edl. Fac. Auth., Northwestern Univ. Proj., 5.00%, 12/01/21 
12/13 @ 100 
5,093,664 
    Illinois Fin. Auth. Student Hsg., MJH Ed. Asst. Living Proj., 
 
Baa2  2,725      Ser. A, 5.00%, 6/01/24 
06/14 @ 100 
2,701,483 
Baa2  3,250      Ser. A, 5.50%, 6/01/19 
06/14 @ 100 
3,427,970 
Baa3  1,075      Ser. B, 5.00%, 6/01/24 
06/14 @ 100 
1,038,676 
AAA  8,265   Lake Cnty. Cmnty. Con. Sch. Dist., No. 73 Hawthorn Proj., Zero Coupon, 12/01/22, MBIA 
No Opt. Call
3,461,630 
AAA  13,455   Met. Pier & Exposition Auth., Ded. St. Tax Rev., McCormick Place Expansion Proj., Ser. A, 
 
       Zero Coupon, 6/15/22, MBIA 
No Opt. Call
5,862,074 


     
29,060,671 



See Notes to Financial Statements.

28


BlackRock Municipal 2020 Term Trust (BKK) (continued)

  Principal    
Option Call
 
Rating1 
Amount    
Provisions2
 
(unaudited) 
(000)
 
Description 
(unaudited)
Value 







    Indiana—4.4% 
 
BBB  $  10,000   Indianapolis Arpt. Auth., Fed. Express Corp. Proj., 5.10%, 1/15/17 
No Opt. Call
$ 
10,600,200 
NR  2,710   Vincennes Econ. Dev., Southwest Indiana Regl., 6.25%, 1/01/24 
01/09 @ 102 
 
2,518,322 


     
 
13,118,522 


    Kansas—1.0% 
 
AAA  6,440   Wyandotte Cnty., Unified Gov’t. Spl. Oblig., Intl. Speedway Proj., Zero Coupon, 12/01/20, MBIA 
No Opt. Call
 
3,080,767 


    Kentucky—3.1% 
 
CC  6,635   Kenton Cnty. Arpt. Brd., Delta Airlines Proj., 7.125%, 2/01/21 
01/05 @ 100 
 
5,374,085 
BBB  3,750   Maysville Sld. Wst. Disp., Inland Container Corp. Proj., 6.90%, 9/01/22 
09/13 @ 102 
 
4,049,175 


     
 
9,423,260 


    Louisiana—0.7% 
 
BBB  2,000   De Soto Parish, Env. Impvt. Rev., Ser. A, 5.85%, 11/01/27 
11/13 @ 100 
 
2,039,820 


    Maryland—5.7% 
 
    Frederick Cnty., Urbana Cmnty. Dev. Auth., 
 
NR4  3,000      6.625%, 7/01/25 
07/07 @ 102 
 
3,137,130 
NR4  5,171      Ser. A, 5.80%, 7/01/20 
07/07 @ 102 
 
5,200,630 
BBB  8,500   Maryland Hlth. & Higher Edl. Facs. Auth., Medstar Hlth., 5.375%, 8/15/24 
08/14 @ 100 
 
8,681,815 


     
 
17,019,575 


    Massachusetts—1.6% 
 
BBB  4,500   Massachusetts Dev. Fin. Agcy., Sld. Wst. Disp. Rev., Wst. Mgmt. Inc. Proj., 5.45%, 6/01/14 
No Opt. Call
 
4,777,920 


    Michigan—1.7% 
 
BB+  5,000   Midland Cnty. Econ. Dev., Ser. A, 6.875%, 7/23/09 
07/07 @ 101 
 
5,208,600 


    Minnesota—0.4% 
 
A2  1,250   Higher Ed. Facs. Auth., Univ. of St. Thomas Proj., Ser. 5, 5.00%, 10/01/24 
10/14 @ 100 
 
1,299,763 


    Mississippi—1.0% 
 
BBB  3,000   Warren Cnty. Env. Impvt., Intl. Paper Proj., Ser. A, 5.85%, 11/01/27 
11/13 @ 100 
 
3,047,190 


    Missouri—1.8% 
 
BBB+  5,000   Missouri Dev. Fin. Brd., Branson Landing Proj., Ser. A, 5.50%, 12/01/24 
06/14 @ 100 
 
5,293,250 


    New Hampshire—1.7% 
 
BBB+  5,000   New Hampshire Hlth., Elliot Hosp. Proj., Ser. B, 5.60%, 10/01/22 
10/13 @ 100 
 
5,235,100 


    New Jersey—15.3% 
 
Baa1  1,000   Middlesex Cnty. Impvt. Auth., Str. Student Hsg. Proj., Ser. A, 5.00%, 8/15/23 
08/14 @ 100 
 
1,008,300 
    New Jersey Econ. Dev. Auth., 
 
BBB  11,500      Cigarette Tax, 5.50%, 6/15/24 
06/12 @ 100 
 
11,774,390 
B  10,000      Continental Airlines, Inc. Proj., 7.00%, 11/15/30 
11/10 @ 101 
 
8,780,100 
B  1,500      Continental Airlines, Inc. Proj., 9.00%, 6/01/33 
06/13 @ 101 
 
1,537,785 
BBB-  1,000      First Mtg. Winchester Proj., Ser. A, 4.80%, 11/01/13 
No Opt. Call
 
1,009,640 
Baa3  7,500      Kapkowski Road Landfill Proj., 6.50%, 4/01/31 
No Opt. Call
 
8,534,400 
Baa1  4,000   New Jersey Hlth. Care Fac. Fin. Auth., Cap. Hlth. Sys. Oblig. Grp., Ser. A, 5.75%, 7/01/23 
07/13 @ 100 
 
4,271,000 
BBB  9,000   Tobacco Settlement Fin. Corp., 7.00%, 6/01/41 
06/13 @ 100 
 
9,113,220 


     
 
46,028,835 


    New Mexico—0.9% 
 
NR  2,685   Sandoval Cnty. Proj. Dev., Santa Ana Pueblo Proj., 7.75%, 7/01/15 
No Opt. Call
 
2,774,679 


    Ohio—7.0% 
 
    Cuyahoga Cnty., Cleveland Clinic Hlth. Sys. Proj., 
 
Aa3  3,000      6.00%, 1/01/19 
07/13 @ 100 
 
3,398,250 
Aa3  10,000      6.00%, 1/01/20 
07/13 @ 100 
 
11,274,100 
BBB-  4,000   Ohio Wtr. Dev. Auth., Collateral Wtr. Dev. Dayton Pwr. Proj., Ser. A, 6.40%, 8/15/27 
01/05 @ 100 
 
4,016,600 
NR  1,100   Pinnacle Cmnty. Infrastructure Fin. Auth., Facs. Rev., Ser. A, 6.00%, 12/01/22 
12/14 @ 101 
 
1,128,842 
NR  1,215   Port of Greater Cincinnati Dev. Auth., Coop. Pub. Pkg. Infrastructure Proj., 6.30%, 2/15/24 
02/14 @ 102 
 
1,245,083 


     
 
21,062,875 


    Oklahoma—1.2% 
 
B-  3,350   Tulsa Mun. Arpt. Trust, Ser. A, 7.75%, 6/01/35 
No Opt. Call
 
3,460,583 


    Pennsylvania—5.9% 
 
A-  10,000   Lancaster Cnty. Hosp. Auth., Gen. Hosp. Proj., 5.75%, 3/15/20 
09/13 @ 100 
 
10,741,600 
BBB+  6,680   Pennsylvania Higher Edl. Fac., La Salle Univ. Proj., 5.50%, 5/01/26 
05/13 @ 100 
 
6,973,920 


     
 
17,715,520 


    Rhode Island—1.5% 
 
BBB  4,500   Hlth. & Edl. Bldg. Corp., Hosp. Fin., Ser. A, 5.875%, 9/15/23 
09/08 @ 100 
 
4,541,850 



See Notes to Financial Statements.

29


BlackRock Municipal 2020 Term Trust (BKK) (continued)

  Principal    
Option Call
 
Rating1 
Amount    
Provisions2
 
(unaudited) 
(000)
 
Description 
(unaudited)
Value 







    Texas—8.4% 
 
   BBB  $  1,100   Brazos River Auth., PCR, TXU Energy Co. LLC Proj., Ser. A, 6.75%, 4/01/38 
No Opt. Call
$
1,265,143 
   BBB  3,500   Port Corpus Christi Indl. Dev. Corp., Valero Convertible, Ser. C, 5.40%, 4/01/18 
04/08 @ 102 
3,612,350 
   Baa3  5,000   Texas Affordable Hsg. Corp., Multi-Fam. Hsg. Rev., Arborstone/Baybrook Oaks Proj., Ser. A, 
 
       5.85%, 11/01/31 
11/11 @ 102 
4,646,700 
    Texas Tpke. Auth., Central Texas Tpke. Sys. Proj., Ser. A, AMBAC, 
 
   AAA  7,990      Zero Coupon, 8/15/21 
No Opt. Call
3,633,772 
   AAA  18,450      Zero Coupon, 8/15/24 
No Opt. Call
6,977,790 
    Weatherford Indpt. Sch. Dist., 
 
   AAA  6,945      Zero Coupon, 2/15/23 
02/11 @ 50.236 
2,632,850 
   AAA  6,945      Zero Coupon, 2/15/24 
02/11 @ 47.435 
2,468,322 


     
25,236,927 


    Utah—1.5% 
 
   BBB  4,200   Tooele Cnty. Hazardous Wst. Treat., Union Pacific Proj., Ser. A, 5.70%, 11/01/26 
04/08 @ 102 
4,355,820 


    Virginia—7.9% 
 
    NR  5,000   Celebrate North Cmnty. Dev. Auth., Spl. Assmt. Rev., Ser. B, 6.60%, 3/01/25 
03/14 @ 102 
5,113,900 
   BBB  10,000   Charles City Cnty. Econ. Dev. Auth., Sld. Wst. Disp., 5.125%, 8/01/27 
05/14 @ 100 
10,223,800 
   Aa3  7,500   Mecklenburg Cnty. Ind. Dev. Auth., Exempt FAC-UAE LP Proj., 6.50%, 10/15/17 
10/12 @ 100 
8,365,200 


     
23,702,900 


    Washington—2.4% 
 
    Washington, 
 
   AAA  10,000      Ser. S-5, Zero Coupon, 1/01/19, FGIC 
No Opt. Call
5,214,000 
   AAA  4,630      Motor Vehicle, Ser. F, Zero Coupon, 12/01/21, MBIA 
No Opt. Call
2,055,998 


     
7,269,998 


    Wisconsin—2.2% 
 
    Hlth. & Ed. Fac. Auth., Wheaton Franciscan Svcs. Proj., 
 
     A  2,880      5.50%, 8/15/17 
08/13 @ 100 
3,098,477 
     A  3,190      5.50%, 8/15/18 
08/13 @ 100 
3,406,090 


     
6,504,567 


    Multi-State—6.8% 
 
    Charter Mac Equity Issuer Trust, 
 
    A3  1,000 5    Ser. A, 5.75%, 4/30/15 
No Opt. Call
1,050,750 
    A3  2,500 5    Ser. A, 6.00%, 4/30/19 
No Opt. Call
2,632,700 
   Baa1  4,000 5    Ser. B, 6.00%, 4/30/15 
No Opt. Call
4,200,520 
   Baa1  2,500 5    Ser. B, 6.30%, 4/30/19 
No Opt. Call
2,642,700 
    Munimae TE Bond Subsidiary, LLC, 
 
   Baa2  5,000 5    Ser. C1, 5.40%, 6/30/49 
09/14 @ 100 
4,951,100 
   Baa2  5,000 5    Ser. C2, 5.80%, 6/30/49 
09/14 @ 100 
4,931,350 


     
20,409,120 


    Trust Territories—1.3% 
 
    A-  4,000 5 San Manuel Entertainment Auth., 2004 Gaming Proj., Ser.C, 4.50%, 12/01/16 
12/13 @ 102 
4,003,280 


    Puerto Rico—11.9% 
 
    Puerto Rico, Pub. Impvt., Ser. A, 
 
    A-  5,000      5.25%, 7/01/22 
07/13 @ 100 
5,338,500 
    A-  11,000      5.25%, 7/01/23 
07/13 @ 100 
11,680,350 
    A-  7,000      5.25%, 7/01/24 
07/13 @ 100 
7,397,320 
    A-  10,900   Puerto Rico Elec. Pwr. Auth., Ser. NN, 5.125%, 7/01/24 
07/13 @ 100 
11,462,549 


     
35,878,719 


    U. S. Virgin Islands—2.0% 
 
    Virgin Islands Pub. Fin. Auth., Sen. Lien Matching Fund Loan, Ser. A, 
 
   BBB  1,090      5.25%, 10/01/17 
10/14 @ 100 
1,167,129 
   BBB  1,385      5.25%, 10/01/19 
10/14 @ 100 
1,472,823 
   BBB  1,400      5.25%, 10/01/21 
10/14 @ 100 
1,481,956 
   BBB  970      5.25%, 10/01/22 
10/14 @ 100 
1,024,436 
   BBB  925      5.25%, 10/01/24 
10/14 @ 100 
967,263 


     
6,113,607 


    Total Long-Term Investments (cost $456,176,799) 
472,055,490 



See Notes to Financial Statements.

30


BlackRock Municipal 2020 Term Trust (BKK) (continued)

 
Shares
   
 
 
(000)
                                                                           Description 
Value
 







  MONEY MARKET FUND—0.6% 
 
  1,950   AIM Tax Free Investment Co. Cash Reserve Portfolio (cost $1,950,000) 
$
1,950,000  



  Total Investments—157.7% (cost $458,126,799) 
$
474,005,490  
  Other assets in excess of liabilities—1.4% 
4,144,813  
  Preferred shares at redemption value, including dividends payable—(59.1)% 
(177,632,763 ) 
   


  Net Assets Applicable to Common Shareholders—100% 
$
300,517,540  





1      Using the higher of S&P’s, Moody’s or Fitch’s rating.
2      Date (month/year) and price of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates.
3      Entire or partial principal amount pledged as collateral for financial futures contracts.
4      Security is deemed to be of investment grade quality by the investment advisor.
5      Security is not registered under the Securities Act of 1933. These securities may be resold in transactions in accordance with Rule 144A under that Act, to qualified institutional buyers. As of December 31, 2004, the Trust held 8.1% of its net assets, with a current market value of $24,412,400, in securities restricted as to resale.
 

 


KEY TO ABBREVIATIONS
ACA        American Capital Access    GO        General Obligation 
AMBAC        American Municipal Bond Assurance Corporation    MBIA        Municipal Bond Insurance Association 
FGIC        Financial Guaranty Insurance Company    PCR        Pollution Control Revenue 
FSA        Financial Security Assurance             


See Notes to Financial Statements.

31


PORTFOLIO OF INVESTMENTS
DECEMBER 31, 2004

BlackRock Municipal Target Term Trust (BMN)

  Principal    
Option Call
 
Rating1 
Amount    
Provisions2
 
(unaudited) 
(000)
 
Description 
(unaudited)
Value 







    LONG-TERM INVESTMENTS—145.0%   
    Alabama—3.4%   
   AAA  $  9,450   Alabama Fed. Hwy. Fin. Auth., Grant Antic., Ser. A, 4.125%, 3/01/07, MBIA  No Opt. Call
$
9,806,360 
   AAA  5,000   Jefferson Cnty., Cap. Impvt., GO, Ser. A, 5.00%, 4/01/07, MBIA  No Opt. Call 5,289,400 
   AAA  1,000   Mobile, GO, 4.00%, 2/15/07, AMBAC  No Opt. Call 1,034,610 


      16,130,370 


    Alaska—2.4%   
    Anchorage, GO,   
   AAA  1,750      Ser. A, 4.125%, 6/01/06, FGIC  No Opt. Call 1,794,870 
   AAA  2,245      Ser. A, 4.25%, 6/01/07, FGIC  No Opt. Call 2,345,217 
   AAA  1,335      Ser. B, 3.20%, 7/01/07, MBIA  No Opt. Call 1,361,299 
   AAA  5,000      Ser. B, 3.25%, 7/01/07, MBIA  No Opt. Call 5,104,500 
   AAA  1,000      Ser. B, 4.25%, 7/01/07, FGIC  No Opt. Call 1,044,930 


      11,650,816 


    Arizona—2.4%   
   AAA  5,000   Arizona Trans. Brd., Grant Antic., 4.125%, 1/01/07, MBIA  No Opt. Call 5,176,400 
   AAA  6,255   Maricopa Cnty. Pub. Fin. Corp., Lease Rev., 4.25%, 7/01/07, AMBAC  No Opt. Call 6,534,473 


      11,710,873 


    Arkansas—1.1%   
   AAA  5,000   Univ. of Arkansas, Athl. Fac. Rev., Razorback Stadium Proj., 3.55%, 12/01/21, FSA  12/06 @ 100  5,117,700 


    California—7.8%   
   AAA  6,000   California, GO, 6.30%, 9/01/06, AMBAC  No Opt. Call 6,401,640 
   AAA  30,000   California Dept. of Wtr. Res., Pwr. Sply. Rev., Ser. A, 3.50%, 5/01/07, MBIA  No Opt. Call 30,767,700 


      37,169,340 


    Colorado—8.8%   
   AAA  17,150   Denver City & Cnty., GO, Ser. B, 5.625%, 8/01/07, MBIA  No Opt. Call 18,548,068 
   AAA  1,015   El Paso Cnty., COP, Detention Fac. Proj., Ser. B, 2.50%, 12/01/06, AMBAC  No Opt. Call 1,018,756 
   AAA  9,700   Met. Football Stad. Dist., Sales Tax Rev., Ser. A, Zero Coupon, 1/01/07, MBIA  No Opt. Call 9,187,161 
    Regl. Transp. Dist., COP, Transp. Vehicle Proj., Ser. A, MBIA,   
   AAA  6,215      5.00%, 6/01/06  No Opt. Call 6,449,181 
   AAA  5,470      5.00%, 6/01/07  No Opt. Call 5,814,938 
   AAA  1,100   Thornton, COP, 2.50%, 12/01/06, AMBAC  No Opt. Call 1,104,070 


      42,122,174 


    Delaware—0.2%   
   AAA  1,050   Delaware River & Bay Auth., 2.50%, 1/01/07, MBIA  No Opt. Call 1,054,872 


    Florida—2.2%   
    Delray Beach, FSA,   
   AAA  1,255      Decade of Excellence Prog., GO, 3.50%, 2/01/07  No Opt. Call 1,286,312 
   AAA  1,740      Utils. Tax, 3.50%, 6/01/07  No Opt. Call 1,789,399 
   AAA  1,645   Florida Mun. Loan Council, Ser. A, 4.00%, 5/01/07, MBIA  No Opt. Call 1,708,596 
   AAA  1,765   Orange Cnty. Tourist Dev., Tax Rev., Ser. A, 6.375%, 10/01/06, AMBAC  ETM 1,782,826 
   AAA  2,000   Sarasota Wtr. & Swr. Sys., 4.25%, 10/01/06, MBIA  No Opt. Call 2,068,820 
   AAA  1,865   Tampa Wtr. & Swr., 5.50%, 10/01/06, FSA  No Opt. Call 1,968,713 


      10,604,666 


    Georgia—1.0%   
   AAA  4,805   Columbus Wtr. & Swr., 4.00%, 5/01/07, FSA  No Opt. Call 4,989,656 


    Hawaii—4.7%   
    Hawaii, GO,   
   AAA  5,675      Ser. CP, 5.50%, 10/01/06, FGIC  No Opt. Call 5,983,606 
   AAA  9,000      Ser. CS, 5.25%, 4/01/06, MBIA  No Opt. Call 9,328,860 
   AAA  1,265      Ser. CW, 3.60%, 8/01/06, FGIC  No Opt. Call 1,290,629 
    Honolulu City & Cnty., GO, Ser. A,   
   AAA  2,275      4.00%, 9/01/06, FSA  No Opt. Call 2,338,177 
   AAA  3,500      5.80%, 1/01/07, FGIC  No Opt. Call 3,736,810 


      22,678,082 



See Notes to Financial Statements.

32


BlackRock Municipal Target Term Trust (BMN) (continued)

  Principal    
Option Call
 
Rating1 
Amount    
Provisions2
 
(unaudited) 
(000)
 
Description 
(unaudited)
Value 







    Illinois—17.6%   
    Champaign Cnty. Cmnty. Unit Sch. Dist., Proj. No. 116, Ser. C, FGIC,   
   AAA  $  1,065      Zero Coupon, 1/01/07  No Opt. Call
$
1,008,693 
   AAA  2,760      Zero Coupon, 1/01/08  No Opt. Call 2,536,164 
   AAA  12,000   Chicago, GO, Ser. A, 4.25%, 1/01/07, MBIA  No Opt. Call 12,445,200 
   AAA  2,665   Chicago Park Dist., Pkg. Rev., GO, Ser. A, 3.00%, 1/01/07, FGIC  No Opt. Call 2,699,512 
   AAA  1,565   Chicago Wstwtr. Trans., Ser. A, 3.50%, 1/01/07, AMBAC  No Opt. Call 1,600,385 
    Cook Cnty. High Sch. Dist., Number 201 J. Sterling Morton Twnshp. Proj., FGIC,   
   AAA  6,790      Zero Coupon, 12/01/07  ETM 6,295,416 
   AAA  430      Zero Coupon, 12/01/07  No Opt. Call 396,284 
    Du Page Cnty., Trans. Rev., FSA,   
   AAA  4,815      4.50%, 1/01/07  No Opt. Call 5,016,893 
   AAA  5,390      4.50%, 1/01/09  No Opt. Call 5,760,886 
    Illinois, GO, Ser. I,   
   AAA  15,080      3.25%, 11/01/06, FGIC  No Opt. Call 15,333,947 
   AAA  4,000      4.00%, 4/01/07, FSA  No Opt. Call 4,141,240 
   AAA  12,625      4.25%, 4/01/07, MBIA  No Opt. Call 13,139,216 
    Illinois Sales Tax, Ser. O,   
   AAA  5,900      Zero Coupon, 6/15/07  No Opt. Call 5,504,346 
   AAA  5,635      Zero Coupon, 6/15/08  No Opt. Call 5,087,391 
   AAA  1,000   Kane Cnty., GO, 3.75%, 1/01/07, FGIC  No Opt. Call 1,027,440 
   AAA  2,000   Will Cnty. Cmnty. Sch. Dist., 7.05%, 12/01/08, AMBAC  No Opt. Call 2,333,300 


      84,326,313 


    Indiana—2.9%   
   AAA  5,000   Indiana Bond Bank, Sch. Fund, 4.00%, 2/01/07, AMBAC  No Opt. Call 5,167,900 
   AAA  9,000   Indiana Univ., Student Fee Rev., Zero Coupon, 8/01/06, AMBAC  No Opt. Call 8,621,730 


      13,789,630 


    Iowa—0.9%   
   AAA  3,940   West Des Moines Cmnty. Sch. Dist., 4.00%, 6/01/07, AMBAC  No Opt. Call 4,094,881 


    Kentucky—4.1%   
   AAA  12,610   Kentucky Econ. Dev. Fin. Sys., Norton Hlth. Care, Inc. Proj., Ser. B, Zero Coupon, 10/01/07, MBIA  No Opt. Call 11,616,080 
    Kentucky Ppty. & Bldgs. Auth., Proj. No. 69, FSA,   
   AAA  2,035      Ser. B, 4.00%, 8/01/06  No Opt. Call 2,088,724 
   AAA  5,560      Ser. C, 4.00%, 8/01/06  No Opt. Call 5,706,784 


      19,411,588 


    Louisiana—4.4%   
   AAA  3,555   Louisiana Off. Facs. Corp. Lease, Cap. Complex Prog., 4.00%, 5/01/07, AMBAC  No Opt. Call 3,687,530 
   AAA  4,565   Louisiana Pub. Facs. Auth., Ochsner Clinic Fndtn. Proj., Ser. A, 3.00%, 5/15/07, MBIA  No Opt. Call 4,623,204 
   AAA  7,580   MuniMae Trust, Ser. 7, Cl. A, 4.40%, 12/16/08  No Opt. Call 7,693,094 
   AAA  5,250   New Orleans, GO, Zero Coupon, 9/01/06, AMBAC  No Opt. Call 5,021,992 


      21,025,820 


    Massachusetts—2.7%   
   AAA  11,760   Massachusetts, GO, Ser. A, 5.25%, 1/01/09, FSA  No Opt. Call 12,942,938 


    Michigan—3.4%   
   AAA  1,270   Detroit, GO, 3.00%, 4/01/07, MBIA  ETM 1,289,266 
   AAA  2,100   Grand Rapids Wtr. Sply., 4.00%, 1/01/07, FGIC  No Opt. Call 2,168,607 
   AAA  5,000   Michigan Mun. Bd. Auth., Zero Coupon, 5/15/06, MBIA  No Opt. Call 4,837,650 
    Michigan Pub. Pwr. Agcy., Belle River Proj., Ser. A, MBIA,   
   AAA  1,000      2.70%, 1/01/07  No Opt. Call 1,007,540 
   AAA  2,000      5.00%, 1/01/07  No Opt. Call 2,103,980 
   AAA  4,850   Michigan Trunk Line, Ser. A, 4.00%, 11/01/06, FSA  No Opt. Call 4,997,925 


      16,404,968 


    Minnesota—2.1%   
   AAA  5,075   Met. Council Minneapolis-St. Paul, GO, 5.25%, 12/01/06  No Opt. Call 5,362,194 
    Minneapolis Spec. Sch. Dist. No. 1, COP, FSA,   
   AAA  1,150      Ser. A, 3.00%, 2/01/07  No Opt. Call 1,165,951 
   AAA  840      Ser. B, 3.25%, 2/01/07  No Opt. Call 855,876 
   AAA  2,435   Minnesota Hsg. Fin. Auth., Ser. D, 5.35%, 8/01/06, MBIA  02/05 @ 102  2,486,476 


      9,870,497 



See Notes to Financial Statements.

33


BlackRock Municipal Target Term Trust (BMN) (continued)

  Principal    
Option Call
 
Rating1 
Amount    
Provisions2
 
(unaudited) 
(000)
 
Description 
(unaudited)
Value 







    Mississippi—0.4% 
 
   AAA  $  1,935   Vicksburg, GO, 4.00%, 4/01/07, MBIA 
No Opt. Call
$
2,003,751 


    Nebraska—0.8% 
 
   AAA  3,850   Douglas Cnty. Sch. Dist. No. 17 Millard, GO, 3.20%, 11/15/06, FSA 
No Opt. Call
3,914,834 


    Nevada—1.5% 
 
   AAA  2,975   Clark Cnty., Library Dist., GO, 4.00%, 2/01/07, FGIC 
No Opt. Call
3,076,121 
   AAA  2,005   Las Vegas, GO, Pub. Safety Bonds, 4.00%, 4/01/07, FSA 
No Opt. Call
2,078,463 
    Nevada Dept. of Bus. & Ind., Las Vegas Monorail Proj., AMBAC, 
 
   AAA  800      Zero Coupon, 1/01/07 
No Opt. Call
755,480 
   AAA  1,295      Zero Coupon, 1/01/08 
No Opt. Call
1,185,417 


     
7,095,481 


    New Jersey—3.6% 
 
   AAA  140   Elizabeth, GO, 6.60%, 8/01/06, MBIA 
01/05 @ 100 
140,517 
   AAA  1,000   Monmouth Cnty. Impvt. Auth., Gov’t. Loan, 2.34%, 12/01/06, FSA 
No Opt. Call
1,002,030 
   AAA  8,565   New Jersey Hwy. Auth., Garden St. Pkwy., 5.00%, 1/01/07, FGIC 
ETM
9,020,572 
    New Jersey Transp. Trust Fund Auth., Transp. Sys., Ser. A, AMBAC, 
 
   AAA  1,165 3    5.125%, 6/15/05 
N/A
1,204,470 
   AAA  3,835      5.125%, 6/15/07 
06/05 @ 102 
3,961,440 
   AAA  730   No. Jersey Dist. Wtr. Sply., Wanaque So. Proj., 6.50%, 7/01/06, MBIA 
ETM
758,813 
   AAA  1,250   Warren Cnty. Fin. Auth., PCR, 6.55%, 12/01/06, MBIA 
06/05 @ 100 
1,272,150 


     
17,359,992 


    New Mexico—1.1% 
 
   AAA  3,535   Gallup, PCR, Plains Elec. Generation Proj., 6.50%, 8/15/07, MBIA 
01/05 @ 100 
3,551,685 
   AAA  1,855   New Mexico Fin. Auth., Pub. Proj., Ser. A, 3.50%, 6/01/07, MBIA 
No Opt. Call
1,901,950 


     
5,453,635 


    New York—9.8% 
 
   AAA  1,040   Malone Ctrl. Sch. Dist., GO, Ser. B, 2.875%, 1/15/07, FGIC 
No Opt. Call
1,053,218 
   AAA  2,800   Nassau Cnty., GO, Ser. Y, 5.00%, 3/01/06, FGIC 
No Opt. Call
2,891,168 
    New York City, GO, 
 
   AAA  13,000      Ser. A, 7.00%, 8/01/07, FSA 
08/06 @ 101.5 
14,136,590 
   AAA  10,000      Ser. E, 6.125%, 8/01/06, MBIA 
No Opt. Call
10,598,300 
   AAA  2,000   New York City Hlth. & Hosp. Corp., Hlth. Sys. Svcs., Ser. A, 3.20%, 2/15/07, FSA 
No Opt. Call
2,035,620 
   AAA  2,460   New York Dorm. Auth., Hosp. Rev., 3.00%, 2/15/07, XLCA 
No Opt. Call
2,490,159 
   AAA  810   New York Env. Fac. Corp., PCR, Ser. D, 6.40%, 5/15/06 
01/05 @ 102 
830,299 
   AAA  9,220   New York Hsg. Fin. Agcy., Hsg. Proj. Mtg., Ser. A, 5.50%, 11/01/06, FSA 
05/06 @ 102 
9,539,012 
    Rochester, Ser. B, MBIA, 
 
   AAA  1,805      4.00%, 2/15/07 
ETM
1,871,623 
   AAA  1,465      4.00%, 2/15/07 
No Opt. Call
1,518,150 


     
46,964,139 


    North Carolina—1.3% 
 
   AAA  6,000   No. Carolina Eastn. Mun. Pwr. Agcy., Sys. Rev., Ser. B, 6.00%, 1/01/06, CAPMAC 
No Opt. Call
6,217,020 


    Ohio—5.3% 
 
   AAA  1,000   Amer. Muni. Pwr., Inc., Omega JU2 Proj., 4.00%, 1/01/07, AMBAC 
No Opt. Call
1,032,860 
   AAA  2,170   Cincinnati City Sch. Dist., GO, Sch. Impvt., 4.00%, 12/01/06, MBIA 
No Opt. Call
2,239,592 
   AAA  1,285   Milford Sch. Dist., GO, Sch. Impvt., 3.25%, 12/01/06, FSA 
No Opt. Call
1,308,336 
    Ohio Bldg. Auth., Ser. A, FSA, 
 
   AAA  4,585      Admin. Bldg. Fd., 5.00%, 10/01/06 
No Opt. Call
4,797,881 
   AAA  10,000      Correction Facs., 5.00%, 10/01/06 
No Opt. Call
10,455,600 
   AAA  5,400   Ohio Wtr. Dev. Auth., Pure Wtr. Proj., 3.00%, 6/01/07, AMBAC 
No Opt. Call
5,480,298 


     
25,314,567 


    Oklahoma—1.5% 
 
   AAA  6,660   Oklahoma Trans. Auth., Tpke. Sys. Rev., Ser. B, 5.00%, 1/01/07, AMBAC 
No Opt. Call
7,012,913 


    Oregon—1.3% 
 
   AAA  2,020   Oregon Dept. of Admin. Svcs., COP, Ser. A, 5.00%, 11/01/06, FSA 
No Opt. Call
2,115,991 
   AAA  2,065   Portland Swr. Sys., Ser. A, 5.00%, 6/01/07, FSA 
No Opt. Call
2,194,207 
   AAA  2,000   Washington & Clackamas Cntys. Sch. Dist., GO, 3.125%, 6/15/07, MBIA 
No Opt. Call
2,038,500 


     
6,348,698 



See Notes to Financial Statements.

34


BlackRock Municipal Target Term Trust (BMN) (continued)

  Principal    
Option Call
 
Rating1 
Amount    
Provisions2
 
(unaudited) 
(000)
 
Description 
(unaudited)
Value 







    Pennsylvania—5.0%     
   AAA  $  1,500   Delaware Cnty. Regl. Wtr. Qual. Ctrl. Auth., Swr. Rev., 4.00%, 5/01/07, FGIC  No Opt. Call 
$
1,555,230 
   AAA  1,345   Fleetwood Area Sch. Dist., GO, 4.00%, 4/01/07, FGIC  No Opt. Call  1,394,281 
   AAA  1,615   Oxford Area Sch. Dist., GO, Ser. A, 4.00%, 2/15/07, FGIC  No Opt. Call  1,670,217 
   AAA  1,900   Pennsylvania Dept. of Gen. Svcs., COP, 4.25%, 5/01/06, FSA  No Opt. Call  1,948,431 
   AAA  2,375   Pennsylvania Tpke. Comm., Ser. A, 4.125%, 12/01/06, FGIC  No Opt. Call  2,456,225 
    Philadelphia, GO, FSA,     
   AAA  1,000      4.00%, 9/15/06  No Opt. Call  1,028,740 
   AAA  3,100      4.05%, 9/15/07  No Opt. Call  3,231,781 
   AAA  2,950   Philadelphia Wtr. & Wst., 5.50%, 6/15/06, MBIA  No Opt. Call  3,087,175 
   AAA  3,620   Pittsburgh Pub. Pkg. Auth., Pkg. Rev., 2.75%, 12/01/06, AMBAC  No Opt. Call  3,651,494 
    Pocono Mtn. Sch. Dist., GO, FSA,     
   AAA  875      4.50%, 4/01/07  No Opt. Call  916,554 
   AAA  3,025      4.50%, 10/01/07  No Opt. Call  3,187,382 


        24,127,510 


    Rhode Island—1.1%     
   AAA  1,865   Providence, GO, Ser. C, 3.75%, 1/15/07, FGIC  No Opt. Call  1,918,264 
   AAA  3,400   Rhode Island & Providence Plantations, GO, Ser. A, 4.00%, 12/01/06, FSA  No Opt. Call  3,509,038 


        5,427,302 


    South Carolina—0.8%     
   AAA  1,715   Lexington Cnty. Sch. Dist. No. 1, COP, 3.00%, 3/01/07, AMBAC  No Opt. Call  1,738,993 
   AAA  2,070   Pickens Cnty. Sch. Dist., GO, Ser. B, 2.25%, 3/01/07, FGIC  No Opt. Call  2,068,675 


        3,807,668 


    Texas—16.4%     
   AAA  6,575   Austin Wtr. & Wstwtr. Sys., Ser. C, 3.75%, 11/15/06, FSA  No Opt. Call  6,747,594 
   AAA  2,400   Corpus Christi, Gen. Impvt., GO, Ser. A, 5.00%, 3/01/07, FSA  No Opt. Call  2,533,368 
   AAA  1,095   Corpus Christi Bus. & Job Dev., Corp. Sales Tax Rev., 4.00%, 3/01/07, AMBAC  No Opt. Call  1,132,964 
   AAA  8,500   Cypress-Fairbanks Indpt. Sch. Dist., GO, Zero Coupon, 8/01/06, AMBAC  No Opt. Call  8,183,290 
   AAA  6,355   Dallas Rapid Transit, 3.70%, 12/01/06, AMBAC  No Opt. Call  6,519,849 
   AAA  1,305   Dallas Wtr. Wks. & Swr. Sys., 3.00%, 4/01/07, FSA  No Opt. Call  1,323,087 
   AAA  2,280   Denton Util. Sys., Mult. Util. Impvt., 4.25%, 12/01/06, AMBAC  No Opt. Call  2,362,376 
   AAA  3,445   El Paso Cnty., GO, 4.00%, 2/15/07, FSA  No Opt. Call  3,562,785 
   AAA  1,000   Houston Area Wtr. Corp., Northeast Wtr. Purification Proj., 4.00%, 3/01/07, FGIC  No Opt. Call  1,034,670 
   AAA  6,185   MuniMae Trust, Ser. 10, Cl. A, 4.40%, 7/25/08  No Opt. Call  6,277,280 
   AAA  2,915   Odessa Wtr. & Swr., 4.25%, 4/01/07, FSA  No Opt. Call  3,034,369 
    Round Rock Indpt. Sch. Dist., GO, Ser. A,     
   AAA  2,465      4.25%, 8/01/06  No Opt. Call  2,538,777 
   AAA  1,000      4.25%, 8/01/07  No Opt. Call  1,046,890 
   AAA  8,115   San Antonio Elec. & Gas, Ser. B, Zero Coupon, 2/01/08, FGIC  ETM  7,489,009 
   AAA  1,000   Sugar Land, GO, 2.50%, 2/15/07, FGIC  No Opt. Call  1,003,470 
   AAA  5,000   Tarrant Regl. Wtr. Dist., Impvt., 3.00%, 3/01/07, FSA  No Opt. Call  5,068,900 
   AAA  15,000   Texas Mun. Pwr. Agcy., Zero Coupon, 9/01/06, AMBAC  No Opt. Call  14,412,000 
   AAA  1,000   Texas Pub. Fin. Auth., 3.00%, 2/01/07, FGIC  No Opt. Call  1,013,470 
   AAA  3,000   Texas Tech. Univ., Ser. 6, 4.25%, 2/15/07, AMBAC  No Opt. Call  3,117,930 


        78,402,078 


    Utah—5.7%     
    Utah, GO, Ser. B,     
   AAA  5,950      4.50%, 7/01/06  No Opt. Call  6,152,003 
   AAA  20,000      4.50%, 7/01/07  No Opt. Call  21,063,400 


        27,215,403 


    Washington—9.8%     
   AAA  1,325   Benton Cnty. Pub. Util. Dist., Elec. Rev., 3.75%, 11/01/06, FSA  No Opt. Call  1,359,066 
   AAA  3,000   Clark Cnty. Pub. Util., Dist. No. 1, Elec. Rev., 4.00%, 1/01/07, AMBAC  No Opt. Call  3,096,810 
    King Cnty.,     
   Aaa  75      3.50%, 12/01/06, MBIA  ETM  76,795 
   Aaa  2,015      3.50%, 12/01/06, MBIA  No Opt. Call  2,059,793 
   AAA  3,085      Swr. Rev., 3.50%, 1/01/07, FGIC  No Opt. Call  3,154,752 
   AAA  2,100   Kitsap Cnty., GO, Ser. B, 4.00%, 12/01/06, AMBAC  No Opt. Call  2,166,150 
    Seattle, GO, Ser. E, MBIA,     
   AAA  1,700      Zero Coupon, 12/15/07  No Opt. Call  1,557,744 
   AAA  1,345      Zero Coupon, 12/15/08  No Opt. Call  1,193,163 

See Notes to Financial Statements.

35


BlackRock Municipal Target Term Trust (BMN) (continued)

  Principal    
Option Call
 
Rating1 
Amount    
Provisions2
 
(unaudited) 
(000)
 
Description 
(unaudited)
Value 







  Washington—(continued)     
  Snohomish Cnty. Pub. Util. Dist., Elec. Rev.,     
AAA $  5,620      4.125%, 12/01/06, FSA  No Opt. Call 
$
5,810,068 
AAA 1,250      6.55%, 1/01/07, FGIC  ETM  1,276,913 
AAA 3,890   Tacoma Elec. Sys., Ser. A, 4.00%, 1/01/07, FSA  No Opt. Call  4,015,530 
AAA 3,360   Thurston Cnty. Sch. Dist. No. 3, GO, 4.25%, 12/01/06, FSA  No Opt. Call  3,481,397 
AAA 5,000   Washington, GO, Ser. B, 5.00%, 1/01/08, MBIA  No Opt. Call  5,369,800 
AAA 12,875   Washington Pub. Pwr. Sply., Nuclear Proj. No. 2, Ser. A, Zero Coupon, 7/01/06, MBIA  No Opt. Call  12,418,452 


      47,036,433 


  West Virginia—1.7%     
AAA 5,300   West Virginia, GO, 4.00%, 6/01/06, FSA  No Opt. Call  5,430,486 
  West Virginia Econ. Dev. Auth., Correctional Juvenile & Pub. Proj., MBIA,     
AAA 1,000      Ser. B, 4.00%, 6/01/06  No Opt. Call  1,023,920 
AAA 1,500      Ser. A, 4.00%, 6/01/07  No Opt. Call  1,555,395 


      8,009,801 


  Wisconsin—5.8%     
AAA 1,380   Appleton Wtr. Wks., Ser. B, 4.00%, 1/01/07, FGIC  No Opt. Call  1,424,533 
AAA 5,000   Kenosha, GO, Ser. B, Zero Coupon, 10/15/08, FSA  No Opt. Call  4,494,700 
AAA 1,275   Milwaukee, GO, Ser. W, 4.00%, 3/15/07, FSA  No Opt. Call  1,319,982 
  Wisconsin,     
AAA 880      COP, Ser. A, 3.75%, 3/01/07, FSA  No Opt. Call  904,789 
AAA 12,780      COP, Ser. A, 3.75%, 9/01/07, FSA  No Opt. Call  13,200,973 
AAA 6,085      GO, Ser. G, 4.00%, 5/01/07, MBIA  No Opt. Call  6,309,050 


      27,654,027 


  Total Long-Term Investments (cost $669,744,000)    694,460,436 


  SHORT-TERM INVESTMENTS—15.9%     
  Florida—0.0%     
F1+
200 4 Orange Cnty. Sch. Brd., COP, Ser. B, 2.15%, 1/03/05, AMBAC, FRDD  N/A  200,000 


  Georgia—3.1%     
F1+
4,465 4 De Kalb County Hsg. Auth., 4.50%, 1/03/05, FRWD  N/A  4,465,000 
A1+
10,345 4 Mun. Elec. Auth., Proj. One, Ser. C, 1.87%, 1/05/05, MBIA, FRWD  N/A  10,345,000 


      14,810,000 


  Massachusetts—2.3%     
A1+
11,200 4 Massachusetts Dev. Fin. Agcy. Rev., Boston Univ. Proj., Ser. R-2, 2.17%, 1/03/05, XLCA, FRDD  N/A  11,200,000 


  New Jersey—2.5%     
A1+
11,890 4 New Jersey Sports & Exposition Auth., Ser. B 2, 1.95%, 1/05/05, MBIA, FRWD  N/A  11,890,000 


  New York—2.9%     
A1+
5,000 4 New York City Mun. Wtr. Fin. Auth., Wtr. & Swr. Sys. Rev., Ser. C, 2.18%, 1/03/05, FRDD  N/A  5,000,000 
A1+
9,000 4 New York City Transl. Fin. Auth., Ser. A-1, 2.00%, 1/05/05, FRWD  N/A  9,000,000 


      14,000,000 


  North Carolina—1.1%     
A1+
5,000 4 North Carolina, Ser. B, 1.95%, 1/05/05, FRWD  N/A  5,000,000 


  Ohio—1.9%     
VMIG1 3,300 4 Hamilton Cnty. Hosp. Facs., 2.01%, 1/06/05, FRWD  N/A  3,300,000 
VMIG1 5,845 4 Hamilton Ohio Elec. Rev., Ser. B, 1.99%, 1/06/05, FSA, FRWD  N/A  5,845,000 


      9,145,000 


  Texas—0.7%     
A1+
3,365 4 Brownsville Util. Sys., Ser. A, 1.97%, 1/05/05, MBIA, FRWD  N/A  3,365,000 


  Puerto Rico—0.5%     
A1+
2,500 4 Puerto Rico Comnwlth. Hwy. & Transp. Auth., Transp. Rev., Ser. A, 1.95%,     
     1/05/05, AMBAC, FRWD  N/A  2,500,000 



See Notes to Financial Statements.

36


BlackRock Municipal Target Term Trust (BMN) (continued)

 
Shares
   
 
 
(000)
                                                                           Description 
Value
 







 
  Money Market Fund—0.9%   
  4,100   AIM Tax Free Investment. Co. Cash Reserve Portfolio 
$
4,100,000  



  Total Short-Term Investments (cost $76,210,000)  76,210,000  



  Total Investments—160.9% (cost $745,954,000)  770,670,436  
  Other assets in excess of liabilities—1.6%  7,560,477  
  Preferred shares at redemption value, including dividends payable—(62.5)%  (299,189,294 ) 
   


  Net Assets Applicable to Common Shareholders—100% 
$
479,041,619  





1      Using the higher of S&P’s, Moody’s or Fitch’s rating.
2      Date (month/year) and price of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates.
3      This bond is prefunded. U.S. government securities, held in escrow, are used to pay interest on this security, as well as retire the bond in full at the date indicated, typically at a premium to par.
4      For purposes of amortized cost valuation, the maturity date of this instrument is considered to be the earlier of the next date on which the security can be redeemed at par, or the next date on which the rate of interest is adjusted.
 

KEY TO ABBREVIATIONS
AMBAC        American Municipal Bond Assurance Corporation    FRWD        Floating Rate Weekly Demand 
CAPMAC        Capital Markets Assurance Company    FSA        Financial Security Assurance 
COP        Certificate of Participation    GO        General Obligation 
ETM        Escrowed to Maturity    MBIA        Municipal Bond Insurance Association 
FGIC        Financial Guaranty Insurance Company    PCR        Pollution Control Revenue 
FRDD        Floating Rate Daily Demand    XLCA        XL Capital Assurance 


See Notes to Financial Statements.

37


PORTFOLIO OF INVESTMENTS
DECEMBER 31, 2004

BlackRock Strategic Municipal Trust (BSD)

  Principal    
Option Call
 
Rating1 
Amount    
Provisions2
 
(unaudited) 
(000)
 
Description 
(unaudited)
Value 







    LONG-TERM INVESTMENTS—152.3% 
 
    Alabama—14.2% 
 
AAA  $  7,000   Alabama Pub. Sch. & Coll. Auth., Cap. Impvt., Ser. C, 5.75%, 7/01/18 
07/09 @ 101.5 
$
7,853,790 
Baa2  3,000   Courtland Ind. Dev. Brd., PCR, Champion Intl. Corp. Proj., Ser. A, 6.70%, 11/01/29 
11/09 @ 101 
3,250,230 
AAA  4,635 3 Jefferson Cnty. Swr., Ser. D, 5.75%, 2/01/07, FGIC 
N/A
5,005,800 


     
16,109,820 


    Alaska—1.0% 
 
AAA  1,130   Alaska Hsg. Fin. Corp., Ser. A, 5.875%, 12/01/24, MBIA 
12/05 @ 102 
1,166,646 


    California—6.2% 
 
AAA  1,000   California St., 5.00%, 6/01/31, AMBAC 
12/14 @ 100 
1,030,690 
    Golden St. Tobacco Sec. Corp., Ser. B, 
 
A-  2,600      5.50%, 6/01/43 
06/13 @ 100 
2,712,164 
A-  3,100      5.625%, 6/01/38 
06/13 @ 100 
3,271,151 


     
7,014,005 


    Colorado—2.0% 
 
AAA  10,000   Northwest Pkwy. Pub. Hwy. Auth., Ser. B, Zero Coupon, 6/15/30, FSA 
06/11 @ 31.387 
2,249,000 


    Connecticut—8.6% 
 
    Mashantucket Western Pequot Tribe, Spec. Rev., 
 
Baa3  1,500      Ser. A, 5.50%, 9/01/28 
09/09 @ 101 
1,534,245 
Baa3  8,000 4    Ser. B, 5.75%, 9/01/27 
09/07 @ 102 
8,287,200 


     
9,821,445 


    Florida—9.7% 
 
    Florida Hsg. Fin. Corp., Sunset Place, Ser. K-1, 
 
BBB-  2,150      6.00%, 10/01/19 
10/09 @ 102 
2,118,373 
BBB-  2,000      6.10%, 10/01/29 
10/09 @ 102 
1,962,240 
NR  3,300   Hillsborough Cnty. Ind. Dev. Auth., Nat. Gypsum Proj., Ser. A, 7.125%, 4/01/30 
10/10 @ 101 
3,618,978 
BB  2,045   Miami Beach Hlth. Facs. Auth., Mt. Sinai Med. Ctr. Proj., 6.75%, 11/15/21 
11/14 @ 100 
2,188,804 
NR  1,070   Reunion West Cmnty. Dev. Dist., Spl. Assmt., 6.25%, 5/01/36 
05/12 @ 101 
1,105,075 


     
10,993,470 


    Georgia—1.8% 
 
AAA  2,000   Atlanta Wtr. & Wstwtr., 5.00%, 11/01/34, FSA 
11/14 @ 100 
2,056,160 


    Illinois—9.9% 
 
NR  850   Centerpoint Intermodal Ctr. Prog. Trust, Ser. A, 8.00%, 6/15/23 
No Opt. Call
857,641 
    Chicago Brd. of Ed., Sch. Reform, AMBAC, 
 
AAA  4,480 3    5.75%, 12/01/07 
N/A
4,993,050 
AAA  520      5.75%, 12/01/27 
12/07 @ 102 
572,868 
CC  7,560   Chicago O’Hare Intl. Arpt., Delta Air Lines Inc. Term. Proj., 6.45%, 5/01/18 
01/05 @ 100 
4,164,502 
    Illinois Fin. Auth. Student Hsg., MJH Ed. Asst. Living Proj., 
 
Baa2  375      Ser. A, 5.125%, 6/01/35 
06/14 @ 100 
366,229 
Baa3  300      Ser. B, 5.375%, 6/01/35 
06/14 @ 100 
290,604 


     
11,244,894 


    Kentucky—10.6% 
 
AAA  32,345   Kentucky Econ. Dev. Fin. Sys., Norton Hlth. Care, Inc. Proj., Ser. B, Zero Coupon, 
 
       10/01/24, MBIA 
No Opt. Call
12,039,132 


    Michigan—9.3% 
 
AAA  2,000   Michigan Hosp. Fin. Auth., Mercy Hlth. Svcs., 5.75%, 8/15/19, MBIA 
08/09 @ 101 
2,227,860 
BB+  8,000   Midland Cnty. Econ. Dev., Ser. A, 6.875%, 7/23/09 
07/07 @ 101 
8,333,760 


     
10,561,620 


    Missouri—1.9% 
 
A  2,000   Missouri Hlth. & Edl. Facs. Auth., Hlth. Facs. Rev., St. Anthony’s Med. Ctr. Proj., 6.125%, 12/01/19 
12/10 @ 101 
2,138,180 


    New Jersey—10.6% 
 
B  6,000   New Jersey Econ. Dev. Auth., Continental Airlines Inc. Proj., 6.25%, 9/15/19 
09/09 @ 101 
5,104,560 
AAA  6,000 3 New Jersey Transp. Trust Fund Auth., Transp. Sys., Ser. A, 6.00%, 6/15/10 
N/A
6,940,260 


     
12,044,820 



See Notes to Financial Statements.

38


BlackRock Strategic Municipal Trust (BSD) (continued)

  Principal    
Option Call
 
Rating1 
Amount    
Provisions2
 
(unaudited) 
(000)
 
Description 
(unaudited)
Value 







    New York—8.4% 
   
    New York City Transl. Fin. Auth., Ser. B, 
   
   AAA  $  4,885 3    6.00%, 5/15/10 
N/A
$ 
5,694,738 
   AA+  1,115      6.00%, 11/15/21 
05/10 @ 101 
  1,273,486 
   Aa1  2,500   New York Mtg. Agcy., Homeowner Mtg., Ser. 85, 5.70%, 10/01/17 
09/09 @ 100 
  2,629,950 


     
  9,598,174 


    Oklahoma—1.1% 
   
     B-  1,225   Tulsa Mun. Arpt. Trust, Ser. A, 7.75%, 6/01/35 
No Opt. Call
  1,265,437 


    Pennsylvania—18.8% 
   
    Lehigh Cnty. Gen. Purp. Auth., Kidspeace Oblig. Grp. Proj., 
   
    B3  2,250      6.00%, 11/01/23 
11/08 @ 102 
  2,099,835 
    B3  2,335      6.20%, 11/01/14 
11/09 @ 102 
  2,298,574 
    Pennsylvania Econ. Dev. Fin. Auth., Ser. A, 
   
    A3  700      Amtrak Proj., 6.125%, 11/01/21 
05/11 @ 101 
  732,879 
    A3  1,000      Amtrak Proj., 6.25%, 11/01/31 
05/11 @ 101 
  1,041,550 
    A3  1,000      Amtrak Proj., 6.50%, 11/01/16 
05/11 @ 101 
  1,084,290 
    BB-  3,555   Exempt Facs. Rev., Reliant Energy Conv. Proj., 6.75%, 12/01/36 
12/09 @ 103 
  3,685,682 
   AAA  8,500 3 Philadelphia Sch. Dist., GO, Ser. C, 5.75%, 3/01/10, MBIA 
N/A
  9,682,520 
   AAA  720   Washington Cnty. Auth., Cap. Fdg. & Equip. Proj., 6.15%, 12/01/29, AMBAC 
No Opt. Call
  761,781 


     
  21,387,111 


    South Carolina—2.5% 
   
   BBB  2,500   So. Carolina Jobs Econ. Dev. Auth., Hosp. Facs. Rev., Palmetto Hlth. Alliance Proj., Ser. C, 
   
       7.00%, 8/01/30 
08/13 @ 100 
  2,796,925 


    Tennessee—5.3% 
   
   Baa2  3,750   Maury Cnty. Ind. Dev. Brd., PCR, Saturn Corp. Proj., 6.50%, 9/01/24 
01/05 @ 102 
  3,850,125 
   AAA  2,000   Memphis Shelby Cnty. Arpt. Auth., Ser. D, 6.00%, 3/01/24, AMBAC 
03/10 @ 101 
  2,198,900 


     
  6,049,025 


    Texas—12.5% 
   
   AAA  4,750   Harris Cnty. Houston Sports Auth., Ser. A, Zero Coupon, 11/15/38, MBIA 
11/30 @ 61.166 
  705,945 
   AAA  1,500   Lower Colorado River Auth., Ser. A, 5.50%, 5/15/21, AMBAC 
05/09 @ 101 
  1,646,595 
   AAA  15,000   Texas Tpke. Auth., Central Sys. Rev., Zero Coupon, 8/15/31, AMBAC 
08/12 @ 32.807 
  3,185,400 
   AA+  500   Texas Wtr. Fin. Asst., GO, 5.75%, 8/01/22 
08/10 @ 100 
  559,980 
   AAA  7,030 3,5 Travis Cnty. Hlth. Facs. Dev. Corp., Ascension Hlth. Proj., Ser. A, 5.875%, 11/15/09, AMBAC 
N/A
  8,091,460 


     
  14,189,380 


    Utah—3.8% 
   
   AAA  4,000   Intermountain Pwr. Agcy., Sply., Ser. B, 5.75%, 7/01/19, MBIA 
07/07 @ 102 
  4,371,680 


    Virginia—1.7% 
   
   AAA  1,750   Virginia Res. Auth., Clean Wtr. Rev., 5.625%, 10/01/22 
10/10 @ 100 
  1,948,468 


    Washington—6.5% 
   
    Washington, GO, 
   
   Aa1  4,750      Ser. A, 5.625%, 7/01/24 
07/09 @ 100 
  5,178,260 
   Aa1  2,000      Ser. B, 6.00%, 1/01/25 
01/10 @ 100 
  2,243,580 


     
  7,421,840 


    Multi-State—5.9% 
   
   Baa1  2,000 4 Charter Mac Equity Issuer Trust, Ser. B, 7.60%, 11/30/50 
11/10 @ 100 
  2,294,720 
    A3  4,000 4 MuniMae TE Bond Subsidiary, LLC, Ser. A, 6.875%, 6/30/49 
06/09 @ 100 
  4,414,440 


     
  6,709,160 


    Total Long-Term Investments (cost $161,052,943) 
  173,176,392 



See Notes to Financial Statements.

39


BlackRock Strategic Municipal Trust (BSD) (continued)

 
Shares
   
 
 
(000)
                                                                           Description 
Value
 







  MONEY MARKET FUND—1.3% 
 
  1,500   AIM Tax Free Investment Co. Cash Reserve Portfolio (cost $1,500,000) 
$
1,500,000  



  Total Investments—153.6% (cost $162,552,943) 
$
174,676,392  
  Other assets in excess of liabilities—0.9% 
1,016,062  
  Preferred shares at redemption value, including dividends payable—(54.5)% 
(62,006,319 ) 



  Net Assets Applicable to Common Shareholders—100% 
$
113,686,135  





1      Using the higher of S&P’s, Moody’s or Fitch’s rating.
2      Date (month/year) and price of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates.
3      This bond is prefunded. U.S. government securities, held in escrow, are used to pay interest on this security, as well as retire the bond in full at the date indicated, typically at a premium to par.
4      Security is not registered under the Securities Act of 1933. These securities may be resold in transactions in accordance with Rule 144A under that Act, to qualified institutional buyers. As of December 31, 2004, the Trust held 13.2% of its net assets, with a current market value of $14,996,360, in securities restricted as to resale.
5      Entire or partial principal amount pledged as collateral for financial futures contracts.
 

KEY TO ABBREVIATIONS
AMBAC        American Municipal Bond Assurance Corporation    GO        General Obligation 
FGIC        Financial Guaranty Insurance Company    MBIA        Municipal Bond Insurance Association 
FSA        Financial Security Assurance    PCR        Pollution Control Revenue 


See Notes to Financial Statements.

40


PORTFOLIO OF INVESTMENTS
DECEMBER 31, 2004

BlackRock California Insured Municipal 2008 Term Trust (BFC)

  Principal    
Option Call
 
Rating1 
Amount    
Provisions2
 
(unaudited) 
(000)
 
Description 
(unaudited)
Value 







    LONG-TERM INVESTMENTS—151.4%   
    California—139.3%   
   AAA  $  2,635   Alameda Cnty., COP, Ser. A, 3.80%, 12/01/08, MBIA  No Opt. Call
$
2,775,735 
    Anaheim Union High Sch. Dist., GO, Ser. A, FSA,   
   AAA  1,060      3.50%, 8/01/08  No Opt. Call 1,101,149 
   AAA  1,250      4.00%, 8/01/09  No Opt. Call 1,325,513 
   AAA  1,000   Burbank, Elec. Rev., 3.50%, 6/01/09, MBIA  No Opt. Call 1,041,880 
    California, GO,   
   AAA  2,000      5.00%, 6/01/09, MBIA  No Opt. Call 2,203,800 
   AAA  3,000      5.50%, 4/01/09, MBIA  No Opt. Call 3,354,600 
   AAA  3,000      5.50%, 2/01/10, MBIA  No Opt. Call 3,381,990 
   AAA  2,000      6.25%, 9/01/08, FGIC  No Opt. Call 2,263,380 
   AAA  15,000      6.30%, 9/01/08, MBIA  No Opt. Call 17,001,300 
    California Dept. of Wtr. Res.,   
   AAA  10,000      Pwr. Sply. Rev., Ser. A, 3.125%, 5/01/08, FSA  No Opt. Call 10,242,900 
   AAA  10,000      Pwr. Sply. Rev., Ser. A, 3.375%, 5/01/09, MBIA  No Opt. Call 10,318,800 
   AAA  1,000      Wtr. Rev., Central Valley Proj., Ser. Z, 4.00%, 12/01/09, FGIC  No Opt. Call 1,064,540 
   AAA  2,000   California Hlth. Facs. Fin. Auth., Sutter Hlth. Care Sys. Proj., 5.70%, 8/15/09, MBIA  08/06 @ 102  2,144,120 
   AAA  2,100   California Pub. Wks. Brd., Energy Efficiency, Ser. A, 5.625%, 10/01/08, AMBAC  10/05 @ 102  2,194,311 
   AAA  2,600   Castaic Lake Wtr. Agcy., COP, Wtr. Sys. Impvt. Proj., Ser. A, 7.25%, 8/01/10, MBIA  No Opt. Call 3,172,000 
   AAA  1,135   Chaffey Cmnty. Coll. Dist., GO, Ser. A, 3.75%, 7/01/09, FSA  No Opt. Call 1,190,456 
    Chula Vista, COP, Police Fac. Proj., MBIA,   
   AAA  1,000      4.00%, 8/01/08  No Opt. Call 1,055,850 
   AAA  1,000      4.00%, 8/01/09  No Opt. Call 1,060,410 
   AAA  5,500   Clovis Unified Sch. Dist., Ser. B, Zero Coupon, 8/01/08, FGIC  ETM 5,016,935 
   AAA  1,855   El Paso De Robles, GO, Ser. A, Zero Coupon, 8/01/09, FGIC  No Opt. Call 1,624,720 
   AAA  4,025   Elsinore Valley Mun. Wtr. Dist., COP, Ser. A, 6.00%, 7/01/09, FGIC  No Opt. Call 4,584,797 
   AAA  1,055   Glendale Unified Sch. Dist., Ser. D, 3.50%, 9/01/09, MBIA  No Opt. Call 1,096,831 
    Long Beach Bd. of Fin. Auth., Tax Alloc. Rev., Redev. Projs., AMBAC,   
   AAA  1,245      3.50%, 8/01/08  No Opt. Call 1,291,165 
   AAA  1,120      3.75%, 8/01/09  No Opt. Call 1,173,200 
   AAA  13,110   Los Angeles, GO, Ser. A, 3.50%, 9/01/09, MBIA  No Opt. Call 13,629,811 
    Los Angeles Cnty.,   
   AAA  2,910      Asset Leasing Corp. Rev., 5.95%, 12/01/07, AMBAC  No Opt. Call 3,210,254 
   AAA  8,090      Asset Leasing Corp. Rev., 6.00%, 12/01/08, AMBAC  No Opt. Call 9,166,132 
   AAA  8,600      Asset Leasing Corp. Rev., 6.05%, 12/01/09, AMBAC  No Opt. Call 9,940,826 
   AAA  4,405      Met. Trans. Auth. Rev., Spl. Benefit Assmt. Dist. A1, 3.75%, 9/01/08, AMBAC  No Opt. Call 4,618,158 
   AAA  9,835      Sanitation Dists. Fin. Auth. Rev., Cap. Proj., Ser. A, 4.00%, 10/01/09, FSA  No Opt. Call 10,449,392 
   AAA  6,000   Los Angeles Dept. of Arpts., Arpt. Rev., LA Intl. Arpt. Proj., Ser. B, 5.00%, 5/15/09, MBIA  No Opt. Call 6,592,500 
   AAA  3,860   Los Angeles Sanitation Equip., Ser. A, 3.625%, 2/01/09, FSA  No Opt. Call 4,028,605 
    Los Angeles Unified Sch. Dist., FSA,   
   AAA  2,660      Ser. B, 3.00%, 10/01/08  No Opt. Call 2,715,727 
   AAA  7,500      Ser. F, 3.00%, 7/01/09  No Opt. Call 7,629,525 
   AAA  1,000   Mount Diablo Unified Sch. Dist., GO, 3.50%, 8/01/08, FSA  No Opt. Call 1,038,820 
   AAA  1,000   Orange Cnty. Local Trans. Auth., Sales Tax Rev., 6.00%, 2/15/09, MBIA  No Opt. Call 1,134,230 
   AAA  2,495   Pasadena Unified Sch. Dist., Ser. C, 3.50%, 11/01/08, FSA  No Opt. Call 2,598,318 
   AAA  3,345   Sacramento City Fin. Auth., City Hall & Redev. Projs., Ser. A, 3.50%, 12/01/08, FSA  No Opt. Call 3,486,427 
   AAA  1,000   Sacramento City Unified Sch. Dist., 3.50%, 7/01/09, FGIC  No Opt. Call 1,038,330 
    Sacramento Mun. Util. Dist., Elec. Rev., Ser. C,   
   AAA  825      5.75%, 11/15/07, MBIA  ETM 828,762 
   AAA  3,750      5.75%, 11/15/08, FGIC  ETM 3,767,100 
   AAA  3,950      5.75%, 11/15/09, MBIA  ETM 3,968,012 
   AAA  5,000   San Bernardino Cnty., Trans. Auth., Sales Tax Rev., 6.00%, 3/01/10, FGIC  ETM 5,328,500 
    San Diego Cnty.,   
   AAA  2,360      COP, 5.00%, 2/01/09, AMBAC  No Opt. Call 2,588,000 
   AAA  11,000      COP, 5.625%, 9/01/12, AMBAC  No Opt. Call 12,659,900 
   AAA  7,830      Regl. Trans. Comm., Sales Tax Rev., Ser. A, 6.00%, 4/01/08, MBIA  ETM 7,902,192 
   AAA  2,500      Regl. Trans. Comm., Sales Tax Rev., Ser. A, 6.00%, 4/01/08, FGIC  ETM 2,523,050 
   AAA  12,725   San Diego Pub. Facs. Fin. Auth., Wtr. Rev., 3.00%, 8/01/09, MBIA  No Opt. Call 12,948,451 

See Notes to Financial Statements.

41


BlackRock California Insured Municipal 2008 Term Trust (BFC) (continued)

  Principal    
Option Call
   
Rating1 
Amount    
Provisions2
   
(unaudited) 
(000)
 
Description 
(unaudited)
Value 
 







 
  California—(continued)   
AAA $  1,250   San Francisco City & Cnty., GO, 4.00%, 6/15/09, FSA  No Opt. Call
$
1,328,937  
AAA 1,000   San Jose Redev. Agcy., 4.00%, 8/01/09, MBIA  ETM 1,065,310  
AAA 1,000   San Mateo Cnty. Cmnty. Coll. Dist., GO, Ser. A, 3.30%, 9/01/08, FGIC  No Opt. Call 1,032,720  
  Santa Ana Unified Sch. Dist., GO, Ser. B, FGIC,   
AAA 1,000      Zero Coupon, 8/01/08  No Opt. Call 907,680  
AAA 2,000      Zero Coupon, 8/01/09  No Opt. Call 1,751,720  
AAA 4,030   Santa Barbara Cnty., Local Transp. Auth., Sales Tax Rev., 3.00%, 3/15/09, FSA  No Opt. Call 4,111,285  
AAA 2,470   Santa Clara, COP, Ser. B, 3.50%, 2/01/09, AMBAC  No Opt. Call 2,566,009  
AAA 4,620   Santa Clara Valley Wtr. Dist., COP, 4.00%, 2/01/09, FGIC  No Opt. Call 4,888,514  
AAA 4,665   So. Coast Air Qual. Mgmt. Dist. Bldg. Corp., 4.00%, 8/01/09, AMBAC  No Opt. Call 4,946,813  
  Univ. of California,   
AAA 2,500      Ser. A, 5.00%, 5/15/09, AMBAC  No Opt. Call 2,757,725  
AAA 2,000      Ser. F, 5.00%, 9/01/11, FGIC 
09/06 @ 101 
 
2,105,760



    242,933,877  



  Puerto Rico—12.1%   
  Puerto Rico Elec. Pwr. Auth.,   
AAA 5,280      Ser. DD, 5.00%, 7/01/09, FSA 
07/08 @ 101.5 
  5,766,816
AAA 7,000      Ser. DD, 5.00%, 7/01/10, FSA 
07/08 @ 101.5 
  7,606,200
AAA 3,000      Ser. KK, 4.50%, 7/01/09, XLCA 
No Opt. Call
3,228,150  
AAA 4,000   Puerto Rico Mun. Fin. Agcy., Ser. A, 5.625%, 8/01/10, FSA 
08/09 @ 101 
 
4,500,400



    21,101,566  



  Total Long-Term Investments (cost $248,974,344)  264,035,443  



 
  SHORT-TERM INVESTMENTS—6.5%   
  California—5.2%   
A1+
5,000 3 California Dept. of Wtr. Res., Pwr. Sply. Rev., Ser. B-2, 2.00%, 1/03/05, FRDD 
N/A
5,000,000  
A1+
4,100 3 Vacaville Multi-Fam. Mtg., Quail Run Proj., Ser. A, 1.95%, 1/05/05, FRWD 
N/A
4,100,000  



    9,100,000  




Shares      
(000)
     

  Money Market Fund—1.3%   
2,300   AIM Tax Free Investment Co. Cash Reserve Portfolio 
N/A
2,300,000  



  Total Short-Term Investments (cost $11,400,000)  11,400,000  



  Total Investments—157.9% (cost $260,374,344)  $ 275,435,443  
  Other assets in excess of liabilities—2.0%  3,562,815  
  Preferred shares at redemption value, including dividends payable—(60.0)%  (104,589,894 ) 
   


  Net Assets Applicable to Common Shareholders—100%  $ 174,408,364  




1      Using the higher of S&P’s, Moody’s or Fitch’s rating.
2      Date (month/year) and price of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates.
3      For purposes of amortized cost valuation, the maturity date of this instrument is considered to be the earlier of the next date on which the security can be redeemed at par, or the next date on which the rate of interest is adjusted.
 

The value (market value plus accrued interest) of securities that are covered by insurance, which ensures the payment of principal and interest, represent approximately 96.6% of the Trust’s managed assets.


KEY TO ABBREVIATIONS
AMBAC        American Municipal Bond Assurance Corporation    FRWD        Floating Rate Weekly Demand 
COP        Certificate of Participation    FSA        Financial Security Assurance 
ETM        Escrowed to Maturity    GO        General Obligation 
FGIC        Financial Guaranty Insurance Company    MBIA        Municipal Bond Insurance Association 
FRDD        Floating Rate Daily Demand    XLCA        XL Capital Assurance 


See Notes to Financial Statements.

42


PORTFOLIO OF INVESTMENTS
DECEMBER 31, 2004

BlackRock California Municipal 2018 Term Trust (BJZ)

  Principal    
Option Call
 
Rating1 
Amount    
Provisions2
 
(unaudited) 
(000)
 
Description 
(unaudited)
Value 







    LONG-TERM INVESTMENTS—143.4% 
 
    California—112.1% 
 
BBB+  $  2,100   ABAG Fin. Auth. for Nonprofit Corps., San Diego Hosp. Assoc. Proj., Ser. C, 5.375%, 3/01/21 
03/14 @ 100 
$
2,172,744 
    California, GO, 
 
A  5,000      5.00%, 11/01/20 
11/11 @ 100 
5,240,900 
AAA  6,500    Ser. BZ, 5.35%, 12/01/21, MBIA 
06/07 @ 101 
6,608,745 
    California Cnty. Tobacco Sec. Agcy., 
 
BBB  5,000      Ser. A, 5.50%, 6/01/33 
06/12 @ 100 
4,390,050 
BBB  5,000      Fresno Cnty. Fdg. Corp., 5.875%, 6/01/27 
06/12 @ 100 
4,666,350 
A2  6,500 3 California Dept. of Wtr. Res., Pwr. Sply. Rev., Ser. A, 5.125%, 5/01/19 
05/12 @ 101 
6,932,315 
    California Hlth. Fac. Fin. Auth., Adventist Hlth. Sys. Proj., Ser. A, 
 
A  1,075      5.00%, 3/01/18 
03/13 @ 100 
1,120,236 
A  1,000      5.00%, 3/01/19 
03/13 @ 100 
1,035,140 
A  2,060      5.00%, 3/01/20 
03/13 @ 100 
2,119,617 
A  1,355      5.00%, 3/01/24 
03/13 @ 100 
1,376,680 
    California Infrastructure & Econ. Dev., 
 
A  1,985      J. David Gladstone Inst. Proj., 5.50%, 10/01/20 
10/11 @ 101 
2,152,395 
A  6,500      Kaiser Hosp. Asst. LLC Proj., Ser. A, 5.55%, 8/01/31 
08/11 @ 102 
6,783,335 
A2  3,100   California Poll. Ctrl. Fin. Auth., PCR, San Diego Gas & Elec. Proj., Ser. A, 5.90%, 6/01/14 
No Opt. Call
3,573,556 
    California Pub. Wks. Brd., Ser. A, 
 
A-  2,020      California Cmnty. Coll. Proj., 5.00%, 12/01/17 
12/08 @ 101 
2,111,102 
A-  2,415      California St. Univ. Proj., 5.00%, 10/01/17 
10/08 @ 101 
2,542,005 
AAA  7,500   Clovis Unified Sch. Dist., Cap. Apprec. Election 2004, Ser. A, Zero Coupon, 8/01/21, FGIC 
No Opt. Call
3,378,750 
AAA  3,395   Fontana Pub. Fin. Auth., Tax Alloc. Rev., Fontana Redev. Proj., Ser. A, 5.25%, 9/01/18, FSA 
09/11 @ 101 
3,739,932 
BBB  20,000   Foothill/Eastn. Transp. Corridor Agcy., Toll Road Rev., Zero Coupon, 1/15/21 
01/10 @ 53.346 
7,892,400 
    Lathrop Fin. Auth., Wtr. Sply. Proj., 
 
NR4  995      5.80%, 6/01/21 
06/13 @ 100 
1,001,119 
NR4  1,040      5.85%, 6/01/22 
06/13 @ 100 
1,045,668 
NR4  1,000      5.90%, 6/01/23 
06/13 @ 100 
1,005,430 
AAA  5,000   Long Beach Harbor Dept., Ser. A, 5.25%, 5/15/18, FGIC 
05/10 @ 101 
5,351,600 
AA  5,000   Los Angeles Cnty., Pub. Wks. Fin. Auth., Regl. Pk. & Open Space Proj., Ser. A, 5.00%, 10/01/19 
10/07 @ 101 
5,279,800 
AAA  10,025   Los Angeles Habor Dept., Ser. B, 5.50%, 8/01/21, AMBAC 
08/11 @ 100 
10,922,438 
BBB+  2,500   Poll. Ctrl. Fin. Auth., Sld. Wst. Disp. Rev., Republic Svcs., Inc. Proj., Ser. C, 5.25%, 6/01/23 
No Opt. Call
2,665,250 
AAA  5,000   Riverside Unified Sch. Dist., Ser. A, 5.25%, 2/01/23, FGIC 
02/12 @ 101 
5,393,650 
    San Bernardino Cnty., Spl. Tax, Cmnty. Facs., 
 
NR  105      5.35%, 9/01/17 
09/12 @ 102 
104,136 
NR  245      5.50%, 9/01/18 
09/12 @ 102 
244,049 
NR  500      5.60%, 9/01/19 
09/12 @ 102 
497,980 
NR  355      5.70%, 9/01/20 
09/12 @ 102 
353,516 
AAA  2,980   San Diego Cnty., COP, 5.25%, 11/01/19, AMBAC 
11/11 @ 100 
3,261,729 
AAA  2,135   Santa Clara Valley Transp. Auth., Sales Tax Rev., Ser. A, 5.00%, 6/01/18, MBIA 
06/11 @ 100 
2,275,633 
AAA  4,590   Stockton East Wtr. Dist., COP, Ser. B, Zero Coupon, 4/01/19, FGIC 
04/12 @ 66.427 
2,156,795 


     
109,395,045 


    Multi-State—10.1% 
 
A3  4,000 5 Charter Mac Equity Issuer Trust, Ser. A, 6.625%, 6/30/49 
06/09 @ 100 
4,374,040 
A3  5,000 5 MuniMae TE Bond Subsidiary, LLC, Ser. A, 6.875%, 6/30/49 
06/09 @ 100 
5,518,050 


     
9,892,090 


    Trust Territories—4.1% 
 
A-  4,000 5 San Manuel Entertainment Auth., 2004 Gaming Proj., Ser.C, 4.50%, 12/01/16 
12/13 @ 102 
4,003,280 


    Puerto Rico—14.0% 
 
A-  4,410   Puerto Rico Pub. Bldgs. Auth., Gov’t. Facs., Ser. C, 5.75%, 7/01/19 
No Opt. Call
5,151,497 
BBB+  7,500 6 Puerto Rico Pub. Fin. Corp., Ser. E, 5.70%, 2/01/10 
N/A
8,510,250 


     
13,661,747 



See Notes to Financial Statements.

43


BlackRock California Municipal 2018 Term Trust (BJZ) (continued)

  Principal    
Option Call
   
Rating1 
Amount    
Provisions2
   
(unaudited) 
(000)
 
Description 
(unaudited)
Value 
 







 
  U. S. Virgin Islands—3.1%     
  Virgin Islands Pub. Fin. Auth., Sen. Lein Matching Loan, Ser. A,     
BBB $  360      5.25%, 10/01/17  10/14 @ 100  $  385,474  
BBB 455      5.25%, 10/01/19  10/14 @ 100    483,852  
BBB 460      5.25%, 10/01/21  10/14 @ 100    486,928  
BBB 315      5.25%, 10/01/22  10/14 @ 100    332,678  
BBB 960      5.25%, 10/01/23  10/14 @ 100    1,009,238  
BBB 300      5.25%, 10/01/24  10/14 @ 100    313,707  



      3,011,877  



  Total Long-Term Investments (cost $134,226,260)    139,964,039  



 
  SHORT-TERM INVESTMENTS—12.0%     
  California—8.2%     
A1+
4,000 7 Los Angeles Dept. of Wtr. & Pwr., Pwr. Sys., Ser. A-2, 1.95%, 1/06/05, FRWD 
N/A
  4,000,000  
A1+
4,000 7 Met. Wtr. Dist., So. California Wtr. Wks. Rev., Ser. C-1, 1.92%, 1/06/05, FRWD 
N/A
  4,000,000  



      8,000,000  

 


Shares        
(000)
       

 
  MONEY MARKET FUND—3.8%     
3,650   AIM Tax Free Investment. Co. Cash Reserve Portfolio 
N/A
  3,650,000  



  Total Short-Term Investments (cost $11,650,000)    11,650,000  



  Total Investments—155.4% (cost $145,876,260)  $  151,614,039  
  Other assets in excess of liabilities—1.5%    1,511,758  
  Preferred shares at redemption value, including dividends payable—(56.9)%    (55,535,953 ) 



  Net Assets Applicable to Common Shareholders—100%  $  97,589,844  





1      Using the higher of S&P’s, Moody’s or Fitch’s rating.
2      Date (month/year) and price of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates.
3      Entire or partial principal amount pledged as collateral for financial futures contracts.
4      Security is deemed to be of investment grade quality by the investment advisor.
5      Security is not registered under the Securities Act of 1933. These securities may be resold in transactions in accordance with Rule 144A under that Act, to qualified institutional buyers. As of December 31, 2004, the Trust held 14.2% of its net assets, with a current market value of $13,895,370, in securities restricted as to resale.
6      This bond is prefunded. U.S. government securities, held in escrow, are used to pay interest on this security, as well as retire the bond in full at the date indicated, typically at a premium to par.
7      For purposes of amortized cost valuation, the maturity date of this instrument is considered to be the earlier of the next date on which the security can be redeemed at par, or the next date on which the rate of interest is adjusted.
 

KEY TO ABBREVIATIONS
AMBAC        American Municipal Bond Assurance Corporation    FSA        Financial Security Assurance 
COP        Certificate of Participation    GO        General Obligation 
FGIC        Financial Guaranty Insurance Company    MBIA        Municipal Bond Insurance Association 
FRWD        Floating Rate Weekly Demand    PCR        Pollution Control Revenue 


See Notes to Financial Statements.

44


PORTFOLIO OF INVESTMENTS
DECEMBER 31, 2004

BlackRock Florida Insured Municipal 2008 Term Trust (BRF)

  Principal    
Option Call
 
Rating1 
Amount    
Provisions2
 
(unaudited) 
(000)
 
Description 
(unaudited)
Value 







    LONG-TERM INVESTMENTS—144.9%   
    Florida—127.2%   
   AAA  $  1,500   Alachua Cnty. Sch. Dist., GO, 4.25%, 1/01/09, FSA  No Opt. Call
$
1,592,610 
   AAA  1,765   Collier Cnty. Sch. Brd., COP, Ser. A, 3.50%, 2/15/09, FSA  No Opt. Call 1,816,785 
    Dade Cnty.,   
   AAA  1,000      Aviation Rev., 6.00%, 10/01/08, AMBAC  10/05 @ 102  1,046,420 
   AAA  5,000      GO, Ser. A, Zero Coupon, 2/01/08, MBIA  02/06 @ 92.852  4,530,150 
   AAA  905      GO, Ser. B, Zero Coupon, 10/01/08, AMBAC  ETM 818,953 
   AAA  1,095      GO, Ser. B, Zero Coupon, 10/01/08, AMBAC  No Opt. Call 986,146 
   AAA  1,515   Delray Beach, Decade of Excellence Prog. Proj., GO, 3.50%, 2/01/09, FSA  No Opt. Call 1,563,783 
    Escambia Cnty. Util. Sys., Ser. B, FGIC,   
   AAA  1,595      6.125%, 1/01/09  No Opt. Call 1,799,623 
   AAA  5,235      6.25%, 1/01/12  No Opt. Call 6,159,710 
   AAA  5,060      6.25%, 1/01/13  No Opt. Call 5,987,599 
    Florida Brd. of Ed.,   
   AAA  8,720      GO, 3.50%, 1/01/09, FSA  No Opt. Call 9,012,207 
   AAA  4,190      Lottery Rev., Ser. A, 5.00%, 7/01/08, FGIC  No Opt. Call 4,545,186 
    Florida Dept. of Env. Protection Presvtn., Ser. B, FGIC,   
   AAA  5,905      4.00%, 7/01/08  No Opt. Call 6,209,285 
   AAA  6,140      4.00%, 7/01/09  No Opt. Call 6,472,665 
    Florida Div. of Bond Fin. Dept., Gen. Svc. Rev.,   
   AAA  2,000      Nat. Res. & Presvtn., Ser. A, 5.00%, 7/01/11, AMBAC  07/07 @ 101  2,132,200 
   AAA  8,000      Dept. of Env. Presvtn., Ser. B, 5.25%, 7/01/10, FSA  07/08 @ 101  8,742,160 
   AAA  1,090   Florida Mun. Loan Council, Ser. C, 3.50%, 11/01/08, MBIA  No Opt. Call 1,131,496 
   AAA  6,000  
Greater Orlando Aviation Auth., Orlando Arpt. Facs. Rev. Proj., Ser. C, 3.50%, 10/01/08, MBIA . 
No Opt. Call 6,199,740 
   AAA  3,000   Hillsborough Cnty. Sch. Dist., Sales Tax Rev., 4.00%, 10/01/09, AMBAC  No Opt. Call 3,170,910 
   AAA  10,000   Hillsborough Cnty. Util., 4.50%, 8/01/08, AMBAC  No Opt. Call 10,696,900 
    Indian River Cnty. Sch. Dist., GO, FSA,   
   AAA  950      3.25%, 4/01/08  No Opt. Call 974,995 
   AAA  1,000      3.25%, 4/01/09  No Opt. Call 1,023,480 
    Indian Trace Cmnty. Dev. Dist., Wtr. Mgmt. Spec. Benefit, Ser. A, MBIA,   
   AAA  3,000      5.625%, 5/01/08  05/05 @ 102  3,093,030 
   AAA  2,910      5.75%, 5/01/09  05/05 @ 102  3,001,403 
    Jacksonville Beach Utils., AMBAC,   
   AAA  1,100      3.10%, 4/01/09  No Opt. Call 1,119,250 
   AAA  1,155      3.10%, 10/01/09  No Opt. Call 1,174,878 
   AAA  5,895   Jacksonville Excise Tax, 4.25%, 10/01/08, AMBAC  No Opt. Call 6,271,691 
    Jacksonville Sales Tax,   
   AAA  1,155      3.125%, 10/01/08, FGIC  No Opt. Call 1,182,662 
   AAA  1,000      3.375%, 10/01/09, FGIC  No Opt. Call 1,029,360 
   AAA  2,000      4.10%, 10/01/08, AMBAC  No Opt. Call 2,117,160 
   AAA  825   Lake Cnty. Sch. Brd., COP, 3.50%, 7/01/09, AMBAC  No Opt. Call 851,309 
   AAA  2,000   Lakeland Elec. & Wtr., 5.90%, 10/01/08, FSA  No Opt. Call 2,245,000 
   AAA  3,000   Lee Cnty. Arprt., 4.25%, 10/01/09, FSA  No Opt. Call 3,193,050 
    Miami, GO, FGIC,   
   AAA  1,345      5.90%, 12/01/08  No Opt. Call 1,516,783 
   AAA  1,000      6.00%, 12/01/09  No Opt. Call 1,150,140 
    Miami Dade Cnty.,   
   AAA  2,000      Edl. Fac., Ser. A, 4.875%, 4/01/09, AMBAC  No Opt. Call 2,176,400 
   AAA  1,535      Pub. Svc. Tax Rev., Pub. Impvt., 3.40%, 4/01/08, AMBAC  No Opt. Call 1,582,524 
   AAA  1,595      Pub. Svc. Tax Rev., Pub. Impvt., 3.625%, 4/01/09, AMBAC  No Opt. Call 1,656,264 
   AAA  4,775      Sch. Brd., COP, 5.25%, 8/01/11, FSA  08/08 @ 101  5,216,592 

See Notes to Financial Statements.

45


BlackRock Florida Insured Municipal 2008 Term Trust (BRF) (continued)

  Principal    
Option Call
 
Rating1 
Amount    
Provisions2
 
(unaudited) 
(000)
 
Description 
(unaudited)
Value 







  Florida—(continued)   
  Orange Cnty.,   
AAA $  1,000 3    Pub. Svc. Tax Rev., 5.70%, 10/01/05, FGIC 
N/A
$
1,047,210 
AAA 4,895      Sales Tax Rev., Ser. A, 3.25%, 1/01/09, FGIC  No Opt. Call 5,012,920 
AAA 5,130      Tourist Dev., Tax Rev., Ser. A, 4.00%, 10/01/08, AMBAC  No Opt. Call 5,402,865 
AAA 5,340      Tourist Dev., Tax Rev., Ser. A, 4.00%, 10/01/09, AMBAC  No Opt. Call 5,632,045 
AAA 1,005      Tourist Dev., Tax Rev., Ser. A, 5.85%, 10/01/08, MBIA  ETM 1,128,625 
AAA 495      Tourist Dev., Tax Rev., Ser. A, 5.85%, 10/01/08, MBIA  No Opt. Call 553,816 
  Orlando Wstwtr. Sys., Ser. A, AMBAC,   
AAA 1,100      3.25%, 10/01/08  No Opt. Call 1,131,229 
AAA 1,280      3.50%, 10/01/09  No Opt. Call 1,324,646 
  Osceola Cnty., AMBAC,   
AAA 1,810      3.75%, 10/01/08  No Opt. Call 1,893,531 
AAA 1,535      3.875%, 10/01/09  No Opt. Call 1,613,976 
  Osceola Cnty. Gas Tax, FGIC,   
AAA 640      3.10%, 4/01/08  No Opt. Call 653,869 
AAA 535      3.30%, 4/01/09  No Opt. Call 548,626 
  Palm Beach Cnty. Sch. Brd., COP, Ser. D, FSA,   
AAA 1,770      3.00%, 8/01/08  No Opt. Call 1,801,258 
AAA 850      3.30%, 8/01/09  No Opt. Call 870,315 
AAA 7,085   Pasco Cnty. Sld. Wst. Disp. & Res. Rec. Sys., 6.00%, 4/01/09, FGIC 
01/05 @ 100 
7,121,559 
  Polk Cnty. Sch. Brd., COP, Ser. A, FSA,   
AAA 2,000      3.20%, 1/01/08  No Opt. Call 2,047,040 
AAA 2,000      3.375%, 1/01/09  No Opt. Call 2,055,300 
AAA 1,020   Sebring Wtr. & Wstwtr., 3.625%, 1/01/09, FGIC  No Opt. Call 1,058,974 
AAA 2,000   Seminole Cnty. Wtr. & Swr., 6.00%, 10/01/09, MBIA  No Opt. Call 2,290,680 
  So. Florida Wtr. Mgmt. Dist., AMBAC,   
AAA 1,250      3.00%, 10/01/08  No Opt. Call 1,274,388 
AAA 1,000      3.30%, 10/01/09  No Opt. Call 1,026,050 
AAA 1,025   St. Johns Cnty. Sch. Brd. COP, Ser. A, 3.50%, 7/01/09, MBIA  No Opt. Call 1,057,687 
AAA 500   St. Petersburg Hlth. Facs. Auth., All Childrens Hosp. Proj., 3.10%, 11/15/08, AMBAC  No Opt. Call 510,040 
AAA 1,370   Vlg. Ctr. Cmnty. Dev. Dist. Rec., Ser. A, 5.50%, 11/01/08, MBIA  No Opt. Call 1,521,522 
AAA 2,370   Volusia Cnty., Sales Tax Rev., Ser. B, 4.00%, 10/01/08, MBIA  No Opt. Call 2,500,421 


    176,269,091 


  Puerto Rico—17.7%   
  Puerto Rico Mun. Fin. Agcy., Ser. A, FSA,   
AAA 10,000      3.50%, 8/01/08  No Opt. Call 10,339,600 
AAA 12,000      3.75%, 8/01/09  No Opt. Call 12,517,320 
AAA 1,500      5.625%, 8/01/10 
08/09 @ 101 
1,687,650 


    24,544,570 


  Total Long-Term Investments (cost $191,782,567)  200,813,661 


 
  SHORT-TERM INVESTMENTS—13.4%   
  Florida—6.4%   
A1+
6,000 4 Highlands Cnty. Hlth. Facs. Auth., Adventist Hlth. Sys. Proj., Ser. B, 2.00%,   
     1/06/05, FGIC, FRWD 
N/A
6,000,000 
A1+
2,900 4 Palm Beach Cnty. Sch. Brd., COP, Ser. B, 1.92%, 1/07/05, AMBAC, FRWD 
N/A
2,900,000 


   
8,900,000 


  Puerto Rico—4.3% 
 
A-1
6,000 4 Puerto Rico Gov’t. Dev. Bank, 1.92%, 1/05/05, MBIA, FRWD 
N/A
6,000,000 



See Notes to Financial Statements.

46


BlackRock Florida Insured Municipal 2008 Term Trust (BRF) (continued)

 
Shares
   
 
 
(000)
                                                                           Description 
Value
 







  Money Market Fund—2.7% 
 
  3,700   AIM Tax Free Investment Co. Cash Reserve Portfolio 
$
3,700,000  



  Total Short-Term Investments (cost $18,600,000) 
18,600,000  



  Total Investments—158.3% (cost $210,382,567) 
$
219,413,661  
  Other assets in excess of liabilities—2.4% 
3,279,022  
  Preferred shares at redemption value, including dividends payable—(60.7)% 
(84,150,279 ) 



  Net Assets Applicable to Common Shareholders—100% 
$
138,542,404  





1      Using the higher of S&P’s, Moody’s or Fitch’s rating.
2      Date (month/year) and price of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates.
3      This bond is prefunded. U.S. government securities, held in escrow, are used to pay interest on this security, as well as retire the bond in full at the date indicated, typically at a premium to par.
4      For purposes of amortized cost valuation, the maturity date of this instrument is considered to be the earlier of the next date on which the security can be redeemed at par, or the next date on which the rate of interest is adjusted.
 

The value (market value plus accrued interest) of securities that are covered by insurance, which ensures the payment of principal and interest, represent approximately 100.0% of the Trust’s managed assets.


KEY TO ABBREVIATIONS
AMBAC        American Municipal Bond Assurance Corporation    FRWD        Floating Rate Weekly Demand 
COP        Certificate of Participation    FSA        Financial Security Assurance 
ETM        Escrowed to Maturity    GO        General Obligation 
FGIC        Financial Guaranty Insurance Company    MBIA        Municipal Bond Insurance Association 


See Notes to Financial Statements.

47


PORTFOLIO OF INVESTMENTS
DECEMBER 31, 2004

BlackRock Florida Municipal 2020 Term Trust (BFO)

  Principal    
Option Call
 
Rating1 
Amount    
Provisions2
 
(unaudited) 
(000)
 
Description 
(unaudited)
Value 







  LONG-TERM INVESTMENTS—155.7% 
 
  Florida—134.7% 
 
NR $  1,960   Brandy Creek Cmnty. Dev. Dist., Spl. Assmt., Ser. B, 5.40%, 5/01/09 
No Opt. Call
$ 
1,995,006 
NR3 4,895   Crossings at Fleming Island, Cmnty. Dev. Dist., 6.75%, 10/01/25 
10/09 @ 102 
 
5,077,730 
AAA 1,095   Deltona Util. Sys., 5.00%, 10/01/23, MBIA 
10/13 @ 100 
 
1,156,813 
BBB 4,000   Escambia Cnty. Env. Impvt., 5.75%, 11/01/27 
No Opt. Call
 
4,035,400 
NR 5,000 4 Escambia Cnty. Hlth. Facs. Auth., 5.95%, 7/01/20, AMBAC 
No Opt. Call
 
5,109,200 
AAA 6,150   Florida Brd. of Ed., GO, Ser. J, 5.00%, 6/01/24, AMBAC 
06/13 @ 101 
 
6,489,665 
BBB+ 1,955   Hillsborough Cnty. Ind. Dev. Auth., PCR, Tampa Elec. Co. Proj., 5.50%, 10/01/23 
10/12 @ 100 
 
1,985,576 
AAA 1,000   Hillsborough Cnty. Sch. Brd., 5.00%, 7/01/27, MBIA 
07/13 @ 100 
 
1,034,240 
AA 1,000   Lakeland Wtr. & Wstwtr., 5.00%, 10/01/27 
10/12 @ 100 
 
1,032,300 
AAA 3,000   Lee Cnty. Transp. Fac., Ser. B, 5.00%, 10/01/22, AMBAC 
10/14 @ 100 
 
3,207,360 
  Marco Island Util. Sys., MBIA, 
 
AAA 2,000      5.00%, 10/01/22 
10/13 @ 100 
 
2,134,000 
AAA 1,375      5.00%, 10/01/23 
10/13 @ 100 
 
1,452,619 
AAA 1,000      5.25%, 10/01/21 
10/13 @ 100 
 
1,090,590 
BB 2,500   Miami Beach Hlth. Facs. Auth., Mt. Sinai Med. Ctr. Proj., 6.75%, 11/15/21 
11/14 @ 100 
 
2,675,800 
  Miami Dade Cnty., MBIA, 
 
AAA 5,365      Ser. A, Zero Coupon, 10/01/19 
04/08 @ 55.413 
 
2,579,277 
AAA 10,000      Ser. A, Zero Coupon, 10/01/20 
04/08 @ 52.398 
 
4,544,500 
AAA 7,560      Ser. B, Zero Coupon, 10/01/32 
04/08 @ 26.494 
 
1,639,386 
AAA 4,695   Miami-Dade Cnty. Edl. Facs. Auth. Rev., Univ. Miami Proj., Ser. A, 5.00%, 4/01/24, AMBAC 
04/14 @ 100 
 
4,950,408 
AAA 4,000   Mun. Loan Council, Ser. A, Zero Coupon, 4/01/20, MBIA 
No Opt. Call
 
2,018,160 
NR 3,875   No. Palm Beach Cnty. Impvt. Dist., Wtr. Ctrl. & Impvt. Unit Dev. 43, 6.10%, 8/01/21 
08/11 @ 101 
 
4,046,585 
A 4,450   Orange Cnty. Hlth. Facs. Auth., Hosp. Adventist Hlth. Sys. Proj., 5.625%, 11/15/32 
11/12 @ 101 
 
4,715,398 
AAA 6,500   Palm Beach Cnty. Sch. Brd., COP, Ser. D, 5.00%, 8/01/28, FSA 
08/12 @ 100 
 
6,660,290 
  Palm Coast Florida Util. Sys., MBIA, 
 
AAA 1,770      5.00%, 10/01/22 
10/13 @ 100 
 
1,888,590 
AAA 1,485      5.00%, 10/01/23 
10/13 @ 100 
 
1,568,828 
AAA 1,500      5.00%, 10/01/24 
10/13 @ 100 
 
1,577,955 
AAA 2,760   Polk Cnty. Florida Util. Sys., 5.00%, 10/01/23, FGIC 
10/13 @ 100 
 
2,915,802 
NR 4,765   Sterling Hill Cmnty. Dev. Dist., 6.10%, 5/01/23 
05/13 @ 101 
 
4,920,339 
NR 2,765   Stevens Plantation Impvt. Proj., 6.375%, 5/01/13 
No Opt. Call
 
2,847,784 
NR 1,235   Sumter Cnty. Indl. Dev. Auth., No. Sumter Util. Co. LLC Proj., 6.80%, 10/01/32 
10/09 @ 100 
 
1,259,749 
  Tohopekaliga Wtr. Auth., FSA, 
 
AAA 3,630      Ser. A, 5.00%, 10/01/21 
10/13 @ 100 
 
3,878,691 
AAA 3,810      Ser. A, 5.00%, 10/01/22 
10/13 @ 100 
 
4,065,270 
AAA 2,000      Ser. A, 5.00%, 10/01/23 
10/13 @ 100 
 
2,112,900 
AAA 1,975      Ser. B, 5.00%, 10/01/22 
10/13 @ 100 
 
2,107,325 
AAA 1,180      Ser. B, 5.00%, 10/01/23 
10/13 @ 100 
 
1,246,611 
NR 2,000   Vlg. Cmnty. Dev. Dist., No. 5, Spl. Assmt. Rev., Ser. A, 6.00%, 5/01/22 
05/13 @ 101 
 
2,072,900 
  Vlg. Ctr. Cmnty. Dev. Dist., 
 
AAA 5,000      5.25%, 10/01/23, MBIA 
10/13 @ 101 
 
5,445,800 
NR3 2,000      Ser. B, 6.35%, 1/01/18 
01/14 @ 100 
 
2,125,960 


   
 
109,664,807 


  Puerto Rico—21.0% 
 
  Children’s Trust Fund, Tobacco Settlement Rev., 
 
BBB 2,015      5.50%, 5/15/39 
05/12 @ 100 
 
1,847,352 
BBB 10,500      5.625%, 5/15/43 
05/12 @ 100 
 
9,648,660 
  Puerto Rico Pub. Fin. Corp., Ser. E, 
 
BBB+ 3,740 5    5.50%, 2/01/12 
N/A
 
4,257,654 
BBB+ 1,260      5.50%, 8/01/29 
02/12 @ 100 
 
1,326,200 


   
 
17,079,866 


  Total Long-Term Investments (cost $123,095,922) 
 
126,744,673 


  SHORT-TERM INVESTMENTS—2.5% 
 
  Puerto Rico—1.5% 
 
A-1
300 6 Puerto Rico Gov’t. Dev. Bank, 1.92%, 1/05/05, MBIA, FRWD 
N/A
 
300,000 
A1+
950 6 Puerto Rico Hwy. & Transp. Auth., Transp. Rev., Ser. A, 1.95%, 1/05/05, AMBAC, FRWD 
N/A
 
950,000 


   
 
1,250,000 



See Notes to Financial Statements.

48


BlackRock Florida Municipal 2020 Term Trust (BFO) (continued)

 
Shares
   
 
 
(000)
                                                                           Description 
Value
 







 
  Money Market Fund—1.0% 
 
  800   AIM Tax Free Investment Co. Cash Reserve Portfolio 
$
800,000  



  Total Short-Term Investments (cost $2,050,000) 
2,050,000  



  Total Investments—158.2% (cost $125,145,922) 
$
128,794,673  
  Other assets in excess of liabilities—1.9% 
1,508,630  
  Preferred shares at redemption value, including dividends payable—(60.1)% 
(48,912,058 ) 



  Net Assets Applicable to Common Shareholders—100% 
$
81,391,245  





1      Using the higher of S&P’s, Moody’s or Fitch’s rating.
2      Date (month/year) and price of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates.
3      Security is deemed to be of investment grade quality by the investment advisor.
4      Entire or partial principal amount pledged as collateral for financial futures contracts.
5      This bond is prefunded. U.S. government securities, held in escrow, are used to pay interest on this security, as well as retire the bond in full at the date indicated, typically at a premium to par.
6      For purposes of amortized cost valuation, the maturity date of this instrument is considered to be the earlier of the next date on which the security can be redeemed at par, or the next date on which the rate of interest is adjusted.
 

KEY TO ABBREVIATIONS
AMBAC        American Municipal Bond Assurance Corporation    FSA        Financial Security Assurance 
COP        Certificate of Participation    GO        General Obligation 
FGIC        Financial Guaranty Insurance Company    MBIA        Municipal Bond Insurance Association 
FRWD        Floating Rate Weekly Demand    PCR        Pollution Control Revenue 


See Notes to Financial Statements.

49


PORTFOLIO OF INVESTMENTS
DECEMBER 31, 2004

BlackRock New York Insured Municipal 2008 Term Trust (BLN)

  Principal    
Option Call
 
Rating1 
Amount    
Provisions2
 
(unaudited) 
(000)
 
Description 
(unaudited)
Value 







    LONG-TERM INVESTMENTS—140.2%   
    New York—140.2%   
    Albany Cnty., GO, FGIC,   
   AAA  $  1,515      3.50%, 6/01/08  No Opt. Call
$
1,568,161 
   AAA  2,030      3.50%, 6/01/09  No Opt. Call 2,096,138 
   AAA  1,000   Bath Central Sch. Dist., 4.00%, 6/15/08, FGIC  No Opt. Call 1,050,210 
   AAA  2,250   Central Square Central Sch. Dist., 3.75%, 5/15/09, FGIC  No Opt. Call 2,345,580 
   AAA  1,960  
East Greenbush Central Sch. Dist., Ser. C, 4.00%, 6/15/09, FSA 
No Opt. Call 2,065,174 
    Elmira City Sch. Dist., FGIC,   
   AAA  2,125      3.25%, 6/15/08  No Opt. Call 2,179,379 
   AAA  1,500      3.25%, 6/15/09  No Opt. Call 1,533,690 
    Erie Cnty., GO,   
   AAA  555      Ser. B, 5.70%, 5/15/08, MBIA  05/05 @ 101  567,676 
   AAA  3,825      Pub. Impvt., Ser. A, 3.25%, 9/01/09, FGIC  No Opt. Call 3,889,490 
   AAA  1,000      Pub. Impvt., Ser. A, 3.75%, 10/01/08, FGIC  No Opt. Call 1,041,780 
   AAA  1,185  
Evans & Brant Central Sch. Dist., Ser. C, 3.75%, 12/15/08, FGIC 
No Opt. Call 1,239,392 
    Fayetteville-Manlius Central Sch. Dist., GO, FGIC,   
   AAA  1,125      3.75%, 6/15/09  No Opt. Call 1,173,667 
   AAA  1,000      4.00%, 6/15/08  No Opt. Call 1,050,210 
   AAA  1,500   Hempstead Twnshp., GO, Ser. B, 4.00%, 8/01/09, MBIA  No Opt. Call 1,572,780 
   AAA  1,070   Highland Central Sch. Dist., GO, 3.50%, 6/15/09, FSA  No Opt. Call 1,105,160 
   AAA  12,500   Long Island Pwr. Auth., Elec. Sys., 5.00%, 4/01/08, MBIA  No Opt. Call 13,470,000 
    Lowville Central Sch. Dist., GO, FGIC,   
   AAA  1,255      3.30%, 6/15/08  No Opt. Call 1,289,186 
   AAA  1,305      3.60%, 6/15/09  No Opt. Call 1,353,311 
    Met. Transp. Auth.,   
   AAA  12,000      Ser. A, 3.50%, 11/15/09, FSA  No Opt. Call 12,390,000 
   AAA  26,075      Ser. K, 6.00%, 7/01/08, MBIA  ETM 29,254,325 
   AAA  2,500   Commuter Fac. Rev., Ser. A, 6.10%, 7/01/08, MBIA  ETM 2,813,150 
   AAA  1,500   Middletown Sch. Dist., GO, Ser. A, 3.00%, 11/01/09, FSA  No Opt. Call 1,512,735 
    Monroe Cnty., GO, Pub. Impvt., FGIC,   
   AAA  455      4.00%, 3/01/09  ETM 483,060 
   AAA  770      4.00%, 3/01/09  No Opt. Call 808,769 
   AAA  2,095      4.00%, 3/01/10  No Opt. Call 2,192,271 
    Mt. Sinai Union Free Sch. Dist., AMBAC,   
   AAA  935      6.00%, 2/15/08  No Opt. Call 1,034,708 
   AAA  930      6.10%, 2/15/09  No Opt. Call 1,053,774 
   AAA  1,075      6.10%, 2/15/10  No Opt. Call 1,230,692 
    New Paltz Central Sch. Dist., GO, FGIC,   
   AAA  500      3.125%, 6/01/08  No Opt. Call 510,625 
   AAA  610      3.50%, 6/01/09  No Opt. Call 629,874 
   AAA  3,000   New York, GO, Ser. A, 4.00%, 3/15/09, FSA  No Opt. Call 3,158,460 
    New York City, GO,   
   AAA  1,000      Ser. A, 5.20%, 8/01/10, FSA  08/08 @ 101  1,091,150 
   AAA  4,720      Ser. C, 4.75%, 8/15/09, XLCA  08/08 @ 101  5,066,448 
   AAA  12,755      Ser. C, 5.00%, 8/01/08, FSA  No Opt. Call 13,828,971 
   AAA  45      Ser. C-1, 6.25%, 8/01/10, FSA  01/05 @ 100  45,155 
   AAA  50      Ser. C-1, 6.375%, 8/01/08, MBIA  01/05 @ 100  50,176 
   AAA  6,895      Ser. E, 6.20%, 8/01/08, MBIA  No Opt. Call 7,756,461 
    New York City Hlth. & Hosp. Corp., Hlth. Sys., Ser. A,   
   AAA  2,810      3.75%, 2/15/09, FSA  No Opt. Call 2,920,686 
   AAA  2,000      5.00%, 2/15/08, AMBAC  No Opt. Call 2,149,340 
    New York City Mun. Wtr. Fin. Auth., Ser. A,   
   AAA  11,500      Zero Coupon, 6/15/09, MBIA  No Opt. Call 10,078,830 
   AAA  1,710      6.00%, 6/15/08, FGIC  ETM 1,915,935 

See Notes to Financial Statements.

50


BlackRock New York Insured Municipal 2008 Term Trust (BLN) (continued)

  Principal    
Option Call
 
Rating1 
Amount    
Provisions2
 
(unaudited) 
(000)
 
Description 
(unaudited)
Value 







  New York—(continued)     
  New York City Transl. Fin. Auth.,     
AAA $  4,000      Ser. B, 4.00%, 5/01/09, MBIA  No Opt. Call
$ 
4,214,000 
AAA 7,800      Ser. B, 5.25%, 5/01/11, MBIA  No Opt. Call   8,732,022 
AAA 2,000      Ser. C, 5.00%, 8/01/09, FSA  ETM   2,212,000 
AAA 3,300      Ser. C, 5.50%, 2/01/09, FSA  No Opt. Call   3,663,396 
  New York Dorm. Auth.,     
AAA 1,070      Hosp. Lutheran Medical Proj., 3.00%, 2/01/09, MBIA  No Opt. Call   1,081,053 
AAA 1,625      Sch. Dist. Fin., Ser. C, 3.50%, 10/01/08, MBIA  No Opt. Call   1,680,266 
AAA 2,970      Secured Hosp., 4.00%, 2/15/09, XLCA  No Opt. Call   3,115,679 
AAA 3,500      Secured Hosp., 5.00%, 2/15/10, MBIA 
02/08 @ 101.5 
  3,757,460 
AAA 5,000      Secured Hosp., 5.125%, 2/15/09, FSA 
02/08 @ 101.5 
  5,376,900 
AAA 1,600      St. Univ. Edl. Facs. Proj., Ser. A, 5.50%, 5/15/07, FGIC  No Opt. Call   1,718,496 
AAA 2,500      St. Univ. Edl. Facs. Proj., Ser. A, 5.50%, 5/15/08, AMBAC  No Opt. Call   2,745,350 
AAA 5,000      St. Univ. Edl. Facs. Proj., Ser. A, 5.50%, 5/15/08, FGIC  No Opt. Call   5,490,700 
AAA 6,000      St. Univ. Edl. Facs. Proj., Ser. A, 5.50%, 5/15/08, CONNIE LEE  No Opt. Call   6,588,840 
AAA 5,000      St. Univ. Edl. Facs. Proj., Ser. A, 5.50%, 5/15/09, AMBAC  No Opt. Call   5,576,500 
AAA 500      W.K. Nursing Home Proj., 5.65%, 8/01/09 
08/06 @ 102 
  527,660 
AAA 1,000      Winthrop Univ. Hosp. Assoc. Proj., Ser. A, 4.125%, 7/01/08, AMBAC  No Opt. Call   1,050,890 
  New York Env. Facs. Corp.,     
AAA 1,630      Clean Wtr. & Drinking, 3.875%, 4/15/10  No Opt. Call   1,709,642 
AAA 6,000      Mun. Wtr. Proj., 4.00%, 6/15/09  No Opt. Call   6,342,600 
AAA 830      PCR, Ser. D, 6.60%, 5/15/08 
01/05 @ 102 
  850,932 
  New York Hsg. Fin. Agcy., 
   
AAA 1,345      Hsg. Proj. Mtg., Ser. A, 5.80%, 5/01/09, FSA 
05/06 @ 102 
  1,408,820 
AAA 4,585      Hsg. Proj. Mtg., Ser. A, 5.80%, 11/01/09, FSA 
05/06 @ 102 
  4,801,917 
AAA 2,340      Multi-Fam. Mtg. Hsg., Ser. C, 6.30%, 8/15/08 
01/05 @ 100 
  2,342,410 
AAA 5,0003  
New York Med. Care Fac. Fin. Agcy., New York Hosp. Proj., Ser. A, 6.50%, 2/15/05, AMBAC 
N/A
  5,125,950 
AAA 250   New York Pwr. Auth., Ser. CC, 5.125%, 1/01/11, MBIA  ETM   279,650 
  New York Thruway Auth.,     
AAA 4,955      Ser. A, 3.75%, 3/15/09, MBIA  No Opt. Call   5,173,912 
AAA 2,000      Hwy. & Brdg. Trust Fund, Ser. A, 3.90%, 4/01/09, FSA  No Opt. Call   2,097,100 
AAA 2,000      Hwy. & Brdg. Trust Fund, Ser. B, 4.00%, 4/01/09, MBIA  No Opt. Call   2,105,060 
AAA 2,900      Hwy. & Brdg. Trust Fund, Ser. B, 5.25%, 4/01/11, MBIA  No Opt. Call   3,242,374 
AAA 3,410      Svc. Contract Rev., Local Hwy. & Brdg., Ser. A, 5.375%, 4/01/09, MBIA 
04/08 @ 101 
  3,732,211 
  New York Urban Dev. Corp., Correctional Facs., AMBAC, 
   
AAA 2,000      Ser. A, 5.50%, 1/01/09 
No Opt. Call
  2,216,000 
AAA 5,140      Svc. Contract Rev., Ser. B, 5.25%, 1/01/10 
01/09 @ 101 
  5,643,823 
AAA 1,040   Newfane Central Sch. Dist., GO, 3.00%, 6/01/08, FSA 
No Opt. Call
  1,057,888 
  So. Seneca Central Sch. Dist., GO, MBIA,     
AAA 1,185      3.20%, 6/15/08  No Opt. Call   1,213,381 
AAA 1,045      3.375%, 6/15/09  No Opt. Call   1,073,904 
AAA 1,030   Sodus Central Sch. Dist., 4.00%, 6/15/09, FGIC  No Opt. Call   1,085,270 
AAA 5,000   Suffolk Cnty. Ind. Dev. Agcy., 6.00%, 2/01/08, FGIC  No Opt. Call   5,531,500 
AAA 1,675   Suffolk Cnty. Wtr. Auth., Ser. C, 5.75%, 6/01/08, AMBAC  ETM   1,701,097 
AAA 2,265   Triborough Brdg. & Tunl. Auth., Ser. A, 5.125%, 1/01/11, MBIA  ETM   2,493,538 


  Total Long-Term Investments (cost $244,684,708)    261,326,770 


  SHORT-TERM INVESTMENTS—16.6%     
  Georgia—1.1%     
A1+
2,000 4 Mun. Elec. Auth., Proj. 1, Ser. C, 1.87%, 1/05/05, MBIA, FRWD 
N/A
  2,000,000 


  New York—14.0% 
   
A1+
3,700 4 Jay St. Dev. Corp. Cts. Lease Rev., Ser. A-2, 1.88%, 1/03/05, FRDD 
N/A
  3,700,000 
  New York City, GO, FRDD, 
   
A1+
4,700 4    Ser. A-7, 1.93%, 01/03/05 
N/A
  4,700,000 
8,000 4    Ser. H-7, 1.93%, 01/03/05 
N/A
  8,000,000 
  New York City Mun. Wtr. Fin. Auth., Wtr. & Swr. Sys. Rev., 
   
A1+
1,400 4    Ser. C, 1.90%, 1/03/05, FRDD 
N/A
  1,400,000 
A1+
300 4    Ser. G, 1.93%, 1/03/05, FGIC, FRDD 
N/A
  300,000 
A1+
7,980 4 New York City Transl. Fin. Auth., Ser. A-1, 2.00%, 1/05/05, FRWD 
N/A
  7,980,000 


   
  26,080,000 



See Notes to Financial Statements.

51


BlackRock New York Insured Municipal 2008 Term Trust (BLN) (continued)

 
Shares
   
 
 
(000)
                                                                           Description 
Value
 







  Money Market Fund—1.5% 
 
  2,800   AIM Tax Free Investment Co. Cash Reserve Portfolio 
$
2,800,000  



  Total Short-Term Investments (cost $30,880,000) 
30,880,000  



  Total Investments—156.8% (cost $275,564,708) 
$
292,206,770  
  Other assets in excess of liabilities—2.0% 
3,792,367  
  Preferred shares at redemption value, including dividends payable—(58.8)% 
(109,574,930 ) 
   


  Net Assets Applicable to Common Shareholders—100% 
$
186,424,207  





1 Using the higher of S&P’s, Moody’s or Fitch’s rating. 
2   Date (month/year) and price of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. 
3   This bond is prefunded. U.S. government securities, held in escrow, are used to pay interest on this security, as well as retire the bond in full at the date 
   indicated, typically at a premium to par. 
4 For purposes of amortized cost valuation, the maturity date of this instrument is considered to be the earlier of the next date on which the security can be 
   redeemed at par, or the next date on which the rate of interest is adjusted. 
  The value (market value plus accrued interest) of securities that are covered by insurance, which ensures the payment of principal and interest, represent 
  approximately 87.2% of the Trust’s managed assets. 
   


KEY TO ABBREVIATIONS
AMBAC        American Municipal Bond Assurance Corporation    FSA        Financial Security Assurance 
CONNIE LEE        College Construction Loan Insurance Association    GO        General Obligation 
ETM        Escrowed to Maturity    MBIA        Municipal Bond Insurance Association 
FGIC        Financial Guaranty Insurance Company    PCR        Pollution Control Revenue 
FRDD        Floating Rate Daily Demand    XLCA        XL Capital Assurance 
FRWD        Floating Rate Weekly Demand             


See Notes to Financial Statements.

52


PORTFOLIO OF INVESTMENTS
DECEMBER 31, 2004

BlackRock New York Municipal 2018 Term Trust (BLH)

  Principal    
Option Call
 
Rating1 
Amount    
Provisions2
 
(unaudited) 
(000)
 
Description 
(unaudited)
Value 







    LONG-TERM INVESTMENTS—151.4% 
 
    New York—135.6% 
 
Aaa  $  1,320   East Rochester Hsg. Auth., 5.20%, 12/20/24 
12/11 @ 101 
$ 
1,373,090 
BBB  2,450   Jefferson Cnty. Ind. Dev. Agcy., Sld. Wst. Disp. Rev., 5.20%, 12/01/20 
12/13 @ 100 
 
2,460,265 
AAA  1,900   Long Island Pwr. Auth., Elec. Sys. Rev., Zero Coupon, 6/01/18, FSA 
No Opt. Call
 
1,078,383 
AAA  5,000   Met. Transp. Auth., Ser. A, 5.125%, 11/15/21, FGIC 
11/12 @ 100 
 
5,369,000 
    New York City, GO, 
 
A  4,000      Ser. B, 5.375%, 12/01/20 
12/11 @ 100 
 
4,306,360 
A+  5,000      Ser. G, 5.75%, 8/01/18 
08/12 @ 100 
 
5,590,850 
A-  4,000   New York City Ind. Dev. Agcy., Civic Fac. Rev., YMCA of Greater New York Proj., 
 
       5.25%, 8/01/21 
02/11 @ 100 
 
4,155,560 
    New York City Transl. Fin. Auth., 
 
AA+  3,000      Ser. B, 5.00%, 5/01/18 
11/11 @ 101 
 
3,217,020 
AA+  1,895      Ser. C, 5.00%, 5/01/19 
05/09 @ 101 
 
1,994,658 
    New York Dorm. Auth., 
 
AA  1,000      Brooklyn Law Sch. Proj., Ser. A, 5.50%, 7/01/18, RAA 
07/13 @ 100 
 
1,100,260 
AA-  1,800      City Univ. Proj., Ser. A, 5.125%, 7/01/21 
07/11 @ 100 
 
1,887,462 
AA-  3,750      Mental Hlth. Svcs. Proj., Ser. A, 5.00%, 2/15/18 
02/08 @ 102 
 
3,902,287 
AAA  1,030 3    Mental Hlth. Svcs. Proj., Ser. B, 5.50%, 8/15/11, MBIA 
N/A
 
1,182,677 
AAA  1,590      Mental Hlth. Svcs. Proj., Ser. B, 5.50%, 8/15/20, MBIA 
08/11 @ 100 
 
1,744,691 
AA-  3,230      Upstate Cmnty. Colls. Proj., Ser. A, 5.00%, 7/01/19 
07/09 @ 101 
 
3,364,207 
AAA  1,000      Willow Towers Inc. Proj. Proj., 5.25%, 2/01/22 
08/12 @ 101 
 
1,054,780 
AA-  3,500   New York Urban Dev. Corp., Correctional Facs., 5.00%, 1/01/19 
01/08 @ 102 
 
3,620,050 
AA  4,180   Niagra Cnty. Ind. Dev. Agcy., Civic Fac. Rev., Niagra Univ. Proj., Ser. A, 5.35%, 11/01/23, RAA . 
11/11 @ 101 
 
4,465,578 
AA  4,130   Oneida Hlth. Care Corp., Residential Hlth. Care Proj., 5.30%, 2/01/21, RAA 
02/11 @ 101 
 
4,410,097 
AA  3,875   Orange Cnty. Ind. Dev. Agcy., Civic Fac. Rev., St. Lukes Hosp. Newburg Proj., Ser. A, 
 
       5.375%, 12/01/21, RAA 
12/11 @ 101 
 
4,193,796 
    Port Auth. of NY & NJ, 
 
Caa2  2,600      Contl./Eastn. LaGuardia Proj., 9.125%, 12/01/15 
01/05 @ 100 
 
2,610,478 
AAA  3,885 4    Ser. 126, 5.00%, 11/15/18, FGIC 
05/12 @ 101 
 
4,085,777 
BBB  4,000   Rockland Tobacco Asset Sec. Corp., Tobacco Settlement Rev., 5.625%, 8/15/35 
08/12 @ 100 
 
3,722,280 
BBB  3,000   TSASC, Inc., Tobacco Settlement Rev., Ser. 1, 5.75%, 7/15/32 
07/12 @ 100 
 
2,822,760 
AAA  3,710   Westchester Cnty. Ind. Dev. Agcy., Civic Fac. Rev., Ser. A, 5.125%, 12/01/22, AMBAC 
12/11 @ 102 
 
4,008,952 


     
 
77,721,318 


    Multi-State—7.6% 
 
A3  4,000 5 Charter Mac Equity Issuer Trust, Ser. A, 6.625%, 6/30/49 
06/09 @ 100 
 
4,374,040 


    Puerto Rico—8.2% 
 
BBB  2,000   Children’s Trust Fund, Tobacco Settlement Rev., 5.625%, 5/15/43 
05/12 @ 100 
 
1,837,840 
BBB+  2,500 3 Puerto Rico Pub. Fin. Corp., Ser. E, 5.70%, 2/01/10 
N/A
 
2,836,750 


     
 
4,674,590 


    Total Long-Term Investments (cost $81,694,279) 
 
86,769,948 



See Notes to Financial Statements.

53


BlackRock New York Municipal 2018 Term Trust (BLH) (continued)

 
Shares
   
 
 
(000)
                                                                           Description 
Value
 







  MONEY MARKET FUND—1.0% 
 
  550   AIM Tax Free Investment Co. Cash Reserve Portfolio (cost $550,000) 
$
550,000  



  Total Investments—152.4% (cost $82,244,279) 
$
87,319,948  
  Other assets in excess of liabilities—2.4% 
1,386,075  
  Preferred shares at redemption value, including dividends payable—(54.8)% 
(31,402,580 ) 



  Net Assets Applicable to Common Shareholders—100% 
$
57,303,443  





1      Using the higher of S&P’s, Moody’s or Fitch’s rating.
2   Date (month/year) and price of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates.
3   This bond is prefunded. U.S. government securities, held in escrow, are used to pay interest on this security, as well as retire the bond in full at the date indicated, typically at a premium to par.
4   Entire or partial principal amount pledged as collateral for financial futures contracts.
5   Security is not registered under the Securities Act of 1933. These securities may be resold in transactions in accordance with Rule 144A under that Act, to qualified institutional buyers. As of December 31, 2004, the Trust held 7.6% of its net assets, with a current market value of $4,374,040, in securities restricted as to resale.


KEY TO ABBREVIATIONS
AMBAC        American Municipal Bond Assurance Corporation    GO        General Obligation 
FGIC        Financial Guaranty Insurance Company    MBIA        Municipal Bond Insurance Association 
FSA        Financial Security Assurance    RAA        Radian Asset Assurance 


See Notes to Financial Statements.

54


PORTFOLIO OF INVESTMENTS
DECEMBER 31, 2004

BlackRock Pennsylvania Strategic Municipal Trust (BPS)

  Principal    
Option Call
 
Rating1 
Amount    
Provisions2
 
(unaudited) 
(000)
 
Description 
(unaudited)
Value 







    LONG-TERM INVESTMENTS—125.6% 
 
    Pennsylvania—104.7% 
 
   AAA  $  2,150 3,4 Allegheny Cnty. Port Auth., 6.125%, 3/01/09, MBIA 
N/A
$
2,476,950 
   AAA  1,800   Allegheny Cnty. San. Auth., 5.375%, 12/01/24, MBIA 
12/07 @ 102 
1,960,794 
     BBB+  1,400   Bucks Cnty. Ind. Dev. Auth., Pennswood Vlg. Proj., Ser. A, 6.00%, 10/01/34 
10/12 @ 101 
1,468,698 
   Aaa  2,500   Delaware Cnty. Hlth. Facs. Auth., Mercy Hlth. Corp. Proj., 6.00%, 12/15/26 
ETM
2,666,600 
   AAA  1,250   Delaware Cnty. Ind. Dev. Auth., Wtr. Facs., 6.00%, 6/01/29, FGIC 
06/09 @ 101 
1,387,238 
    Lehigh Cnty. Gen. Purp. Auth., Kidspeace Oblig. Grp. Proj., 
 
    B3  1,250      6.00%, 11/01/23 
11/08 @ 102 
1,166,575 
    B3  1,250      6.20%, 11/01/14 
11/09 @ 102 
1,230,500 
     BBB+  1,250   Montgomery Cnty. Ind. Dev. Auth., Retirement Cmnty. Rev., 5.25%, 11/15/28 
11/08 @ 101 
1,236,500 
    Pennsylvania Econ. Dev. Fin. Auth., Amtrak Proj., Ser. A, 
 
    A3  1,000      6.25%, 11/01/31 
05/11 @ 101 
1,041,550 
    A3  1,000      6.375%, 11/01/41 
05/11 @ 101 
1,044,710 
    Pennsylvania Higher Edl. Facs. Auth., 
 
    AA-  1,250      Lafayette Coll. Proj., 6.00%, 5/01/30 
05/10 @ 100 
1,410,187 
    AA  220      Philadelphia Univ. Proj., 6.10%, 6/01/30, RAA 
06/10 @ 100 
242,812 
     A  1,000      Univ. of Pennsylvania Hlth. Svcs. Proj., Ser. A, 5.75%, 1/01/22 
01/06 @ 101 
1,041,000 
    Pennsylvania Hsg. Fin. Agcy., Sngl. Fam. Mtg., GO, 
 
   AA+  1,075      Ser. 60A, 5.85%, 10/01/27 
04/07 @ 101.5 
1,100,768 
   AA+  30      Ser. 68A, 6.10%, 4/01/21 
10/09 @ 100 
31,669 
   AAA  1,250   Philadelphia Arpt. Sys., Ser. B, 5.40%, 6/15/27, FGIC 
06/07 @ 102 
1,293,300 
   AAA  1,250   Philadelphia Pkg. Auth., Pkg. Rev., 5.625%, 9/01/18, FSA 
09/09 @ 101 
1,381,150 
    Philadelphia Sch. Dist., GO, 
 
   AAA  1,190 3    Ser. B, 5.50%, 9/01/05, AMBAC 
N/A
1,240,611 
   AAA  2,800 3    Ser. C, 5.50%, 3/01/10, MBIA 
N/A
3,156,188 
   AAA  3,050 3    Ser. C, 5.75%, 3/01/10, MBIA 
N/A
3,474,316 
   AAA  2,250   Southeastern Trans. Auth., 5.375%, 3/01/17, FGIC 
03/07 @ 102 
2,416,612 
   AAA  840   Washington Cnty. Auth., Cap. Fdg. & Equip. Proj., 6.15%, 12/01/29, AMBAC 
No Opt. Call
888,745 


     
33,357,473 


    Multi-State—13.9% 
 
     A3  4,000 5 MuniMae TE Bond Subsidiary, LLC, Ser. A, 6.875%, 6/30/49 
06/09 @ 100 
4,414,440 


    Puerto Rico—7.0% 
 
    Puerto Rico Pub. Fin. Corp., Ser. E, 
 
    BBB+  1,495 3    5.50%, 2/01/12 
N/A
1,701,923 
    BBB+  505      5.50%, 8/01/29 
02/12 @ 100 
531,533 


     
2,233,456 


    Total Long-Term Investments (cost $36,411,645) 
40,005,369 



See Notes to Financial Statements.

55


BlackRock Pennsylvania Strategic Municipal Trust (BPS) (continued)

 
Shares
   
 
 
(000)
                                                                           Description 
Value
 







  MONEY MARKET FUNDS—9.7% 
 
  1,550   AIM Tax Free Investment Co. Cash Reserve Portfolio 
$
1,550,000  
  1,550   SSgA Tax Free Money Mkt. Fund 
1,550,000  



  Total Short-Term Investments (cost $3,100,000) 
3,100,000  



  Total Investments—135.3% (cost $39,511,645) 
$
43,105,369  
  Other assets in excess of liabilities—19.6% 
6,253,594  
  Preferred shares at redemption value, including dividends payable—(54.9)% 
(17,501,832 ) 



  Net Assets Applicable to Common Shareholders—100% 
$
31,857,131  





1      Using the higher of S&P’s, Moody’s or Fitch’s rating.
2      Date (month/year) and price of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates.
3      This bond is prefunded. U.S. government securities, held in escrow, are used to pay interest on this security, as well as retire the bond in full at the date indicated, typically at a premium to par.
4      Entire or partial principal amount pledged as collateral for financial futures contracts.
5      Security is not registered under the Securities Act of 1933. These securities may be resold in transactions in accordance with Rule 144A under that Act, to qualified institutional buyers. As of December 31, 2004, the Trust held 13.9% of its net assets, with a current market value of $4,414,440, in securities restricted as to resale.
 

KEY TO ABBREVIATIONS
AMBAC        American Municipal Bond Assurance Corporation    GO        General Obligation 
FGIC        Financial Guaranty Insurance Company    MBIA        Municipal Bond Insurance Association 
FSA        Financial Security Assurance    RAA        Radian Asset Assurance 


See Notes to Financial Statements.

56


STATEMENTS OF ASSETS AND LIABILITIES
December 31, 2004


 

   
Insured
Insured 
Municipal 
   
Municipal 2008
Municipal 
Municipal 2018
Municipal 2020
Target 
   
Term Trust
Term Trust 
Term Trust
Term Trust
Term Trust 
   
(BRM)
(BMT) 
(BPK)
(BKK)
(BMN) 













Assets   
   
   
   
   
 
Investments at value1   
$
718,400,152    
$
451,824,716   
$
385,289,170    
$
474,005,490    
$
770,670,436 
Cash   
517,287    
546,361   
527,151    
508,301    
522,834 
Receivable from investments sold   
   
75,263   
90,000    
   
20,000 
Interest receivable   
8,278,817    
4,478,945   
4,799,868    
5,759,065    
7,592,656 
Other assets   
145,002    
104,393   
39,096    
44,346    
132,158 













   
727,341,258    
457,029,678   
390,745,285    
480,317,202    
778,938,084 













 
Liabilities   
   
   
   
   
 
Payable for investments purchased   
   
   
   
   
 
Variation margin payable   
   
   
227,375    
285,547    
 
Dividends payable — common shares   
   
   
1,034,022    
1,580,987    
 
Investment advisory fee payable   
216,212    
135,489   
131,337    
201,470    
231,115 
Administration fee payable   
61,775    
38,711   
   
   
93,522 
Deferred Directors’ or Trustees’ fees   
124,620    
91,575   
28,384    
11,666    
105,925 
Payable to affiliates   
23,797    
24,478   
13,284    
8,640    
27,038 
Other accrued expenses   
193,711    
154,717   
140,473    
78,589    
249,571 













   
620,115    
444,970   
1,574,875    
2,166,899    
707,171 













 
Preferred Shares at Redemption Value   
   
   
   
   
 
$25,000 liquidation value per share, including   
   
   
   
   
 
   dividends payable2,3   
271,060,913    
170,455,246   
137,610,651    
177,632,763    
299,189,294 













 
Net Assets Applicable to   
   
   
   
   
 
   Common Shareholders   
$
455,660,230    
$
286,129,462   
$
251,559,759    
$
300,517,540    
$
479,041,619 













Composition of Net Assets Applicable to   
   
   
   
   
 
   Common Shareholders:   
   
   
   
   
 
   Par value   
$
272,071    
$
258,856   
15,908    
$
20,237    
$
454,106 
   Paid-in capital in excess of par   
377,589,494    
239,251,319   
225,641,716    
287,166,281    
420,179,598 
   Undistributed (distributions in excess of )   
   
   
   
   
 
       net investment income   
41,343,080    
20,524,627   
15,562,976    
880,513    
33,637,384 
   Accumulated net realized gain (loss)   
(293,855 )   
275,431   
(8,718,856 )   
(2,937,287 )   
54,095 
   Net unrealized appreciation   
36,749,438    
25,819,229   
19,058,015    
15,387,796    
24,716,436 













Net assets applicable to common shareholders,   
   
   
   
   
 
   December 31, 2004   
$
455,660,230    
$
286,129,462   
$
251,559,759    
$
300,517,540    
$
479,041,619 













Net asset value per common share 4   
$
16.75    
$
11.05   
$
15.81    
$
14.85    
$
10.55 













1Investments at cost   
$
681,650,714    
$
426,005,487   
$
365,841,018    
$
458,126,799    
$
745,954,000 
2Preferred shares outstanding   
10,840    
6,816   
5,504    
7,104    
11,964 
3Par value per share   
0.01    
0.01   
0.001    
0.001    
0.01 
4Common shares outstanding   
27,207,093    
25,885,639   
15,908,028    
20,236,628    
45,410,639 

See Notes to Financial Statements.

57


California 
New York 
Pennsylvania
 
Strategic
Insured 
California
Florida Insured 
Florida
Insured 
New York
Strategic
 
Municipal
Municipal 2008
Municipal 2018
Municipal 2008
Municipal 2020
Municipal 2008
Municipal 2018
Municipal
 
Trust
Term Trust 
Term Trust
Term Trust 
Term Trust
Term Trust 
Term Trust
Trust
 
(BSD)
(BFC) 
(BJZ)
(BRF) 
(BFO)
(BLN) 
(BLH)
(BPS)
 





















$
174,676,392    
$
275,435,443   
$
151,614,039    
$
219,413,661   
$
128,794,673    
$
292,206,770   
$
87,319,948     $ 43,105,369  
536,314    
523,902   
499,749    
501,254   
545,268    
513,210   
520,665       5,961,383  
   
   
   
   
   
   
      10,146  
2,310,660    
3,244,223   
1,622,894    
2,950,405   
1,536,325    
3,506,379   
1,223,324       520,754  
36,070    
61,170   
11,621    
41,761   
12,576    
56,573   
9,184       21,355  





















177,559,436    
279,264,738   
153,748,303    
222,907,081   
130,888,842    
296,282,932   
89,073,121       49,619,007  





















1,027,954    
   
   
   
   
   
       
98,016    
   
82,609    
   
76,500    
   
47,016       22,047  
576,375    
   
394,023    
   
417,160    
   
222,523       149,076  
51,645    
82,693   
51,721    
66,114   
55,010    
87,995   
29,990       14,308  
   
23,627   
   
18,891   
   
25,141   
       
24,166    
44,469   
7,354    
35,527   
2,040    
48,270   
6,713       12,906  
4,362    
14,181   
5,197    
10,082   
3,103    
16,423   
3,090       256  
84,464    
101,510   
81,602    
83,784   
31,726    
105,966   
57,766       61,451  





















1,866,982    
266,480   
622,506    
214,398   
585,539    
283,795   
367,098       260,044  





















62,006,319    
104,589,894   
55,535,953    
84,150,279   
48,912,058    
109,574,930   
31,402,580       17,501,832  





















$
113,686,135    
$
174,408,364   
$
97,589,844    
$
138,542,404   
$
81,391,245    
$
186,424,207   
$
57,303,443     $  31,857,131  





















$
7,242    
$
104,071   
$
6,433    
87,071   
$
5,562    
$
112,571   
$
3,633     $  2,015  
102,593,420    
144,174,166   
91,213,865    
120,583,337   
78,885,738    
155,947,555   
51,482,732       28,362,834  
5,715,973    
15,001,691   
4,030,388    
8,840,902   
(224,679 )   
13,650,140   
2,439,803       1,058,418  
(6,588,834 )   
67,337   
(3,259,799 )   
   
(793,328 )   
71,879   
(1,619,701 )      (1,124,003 ) 
11,958,334    
15,061,099   
5,598,957    
9,031,094   
3,517,952    
16,642,062   
4,996,976       3,557,867  





















$
113,686,135    
$
174,408,364   
$
97,589,844    
$
138,542,404   
$
81,391,245    
$
186,424,207   
$
57,303,443     $  31,857,131  





















$
15.70    
$
16.76   
$
15.17    
$
15.91   
$
14.63    
$
16.56   
$
15.77     $ 15.81  





















$
162,552,943    
$
260,374,344   
$
145,876,260    
$
210,382,567   
$
125,145,922    
$
275,564,708   
$
82,244,279     $  39,511,645  
2,480    
4,182   
2,221    
3,366   
1,956    
4,382   
1,256       700  
0.001    
0.01   
0.001    
0.01   
0.001    
0.01   
0.001       0.001  
7,242,261    
10,407,093   
6,433,028    
8,707,093   
5,562,128    
11,257,093   
3,633,028       2,015,492  

58


STATEMENTS OF OPERATIONS
For the year ended December 31, 2004


 

   
Insured
Insured
Municipal
Municipal
Municipal
 
   
Municipal 2008
Municipal
2018 Term
2020 Term
Target
 
   
Term Trust
Term Trust
Trust
Trust
Term Trust
 
   
(BRM)
(BMT)
(BPK)
(BKK)
(BMN)
 















Net Investment Income   
   
   
   
   
 
Interest income   
$
30,867,933    
$
20,397,221    
$
21,540,935    
$
25,439,368    
$
30,558,541  















 
Expenses   
   
   
   
   
 
   Investment advisory   
2,572,971    
1,608,218    
1,536,807    
2,339,059    
2,757,905  
   Administration   
735,135    
459,491    
   
   
551,581  
   Transfer agent   
24,966    
21,906    
15,006    
16,104    
25,374  
   Custodian   
122,150    
97,546    
81,555    
73,870    
125,261  
   Reports to shareholders   
103,494    
68,030    
53,172    
47,138    
109,924  
   Directors/Trustees   
78,683    
41,724    
33,306    
40,260    
72,197  
   Registration   
21,508    
21,250    
21,250    
37,349    
35,804  
   Independent accountants   
45,387    
45,253    
37,018    
39,332    
54,387  
   Legal   
67,250    
49,629    
40,453    
32,043    
60,189  
   Insurance   
53,464    
33,443    
28,393    
41,990    
57,178  
   Auction agent   
715,635    
440,118    
358,792    
462,427    
781,948  
   Miscellaneous   
81,817    
61,411    
42,393    
46,233    
89,487  















       Total expenses   
4,622,460    
2,948,019    
2,248,145    
3,175,805    
4,721,235  
           Less: fees waived by Advisor   
   
   
   
   
 
           Less: fees paid indirectly   
(8,836 )   
(7,181 )   
(5,669 )   
(5,165 )   
(7,458 ) 















       Net expenses   
4,613,624    
2,940,838    
2,242,476    
3,170,640    
4,713,777  















   Net investment income   
26,254,309    
17,456,383    
19,298,459    
22,268,728    
25,844,764  















 
Realized and Unrealized Gain (Loss) 
 
   
   
   
   
 
   Net realized gain (loss) on:   
   
   
   
   
 
       Investments   
1,815,872    
1,087,089    
(4,210,596 )   
727,749    
487,949  
       Futures   
   
   
(2,470,802 )   
(3,186,044 )   
 















   
1,815,872    
1,087,089    
(6,681,398 )   
(2,458,295 )   
487,949  















Net change in unrealized appreciation/depreciation on:   
   
   
   
   
 
       Investments   
(16,680,739 )   
(9,591,433 )   
6,285,523    
8,654,901    
(19,313,537 ) 
       Futures   
   
   
(390,136 )   
(490,895 )   
 















   
(16,680,739 )   
(9,591,433 )   
5,895,387    
8,164,006    
(19,313,537 ) 















Net gain (loss)   
(14,864,867 )   
(8,504,344 )   
(786,011 )   
5,705,711    
(18,825,588 ) 















 
Dividends and Distributions to Preferred 
 
   
   
   
   
 
   Shareholders from:   
   
   
   
   
 
   Net investment income   
(2,658,791 )   
(1,907,505 )   
(1,576,219 )   
(2,082,967 )   
(3,210,573 ) 
   Net realized gains   
(352,783 )   
(87,694 )   
   
   
(64,286 ) 















Total dividends and distributions   
(3,011,574 )   
(1,995,199 )   
(1,576,219 )   
(2,082,967 )   
(3,274,859 ) 















 
Net Increase in Net Assets   
   
   
   
   
 
   Applicable to Common Shareholders   
   
   
   
   
 
   Resulting from Operations   
$
8,377,868    
$
6,956,840    
$
16,936,229    
$
25,891,472    
$
3,744,317  
















See Notes to Financial Statements.

59


Strategic
 
California Insured
 
California
 
Florida Insured
 
Florida
 
New York Insured
 
New York
 
Pennsylvania
 
Municipal
 
Municipal 2008
 
Municipal 2018
 
Municipal 2008
 
Municipal 2020
 
Municipal 2008
 
Municipal 2018
 
Strategic
 
Trust
 
Term Trust
 
Term Trust
 
Term Trust
 
Term Trust
 
Term Trust
 
Term Trust
 
Municipal Trust
 
(BSD)
 
(BFC)
 
(BJZ)
 
(BRF)
 
(BFO)
 
(BLN)
 
(BLH)
 
(BPS)
 



 


 


 


 


 


 


 


 
$ 10,030,414     $ 11,287,396     $ 7,399,185     $ 8,542,822     $ 6,495,909     $ 12,372,358     $ 4,511,727     $ 2,486,948  



 


 


 


 


 


 


 


 
1,045,787     980,912     602,465     785,015     643,551     1,046,053     350,680     296,934  
    280,261         224,290         298,873          
15,006     17,202     15,006     17,601     15,738     17,934     15,006     15,006  
53,789     67,781     36,572     63,319     34,871     71,045     35,285     27,551  
28,529     39,070     22,747     32,377     24,540     43,540     16,576     11,239  
15,372     25,986     13,542     20,862     13,176     27,816     12,810     12,444  
21,249     21,250     21,249     21,250     26,009     21,251     21,250     1,204  
33,528     34,339     52,985     31,597     51,798     34,438     52,957     21,150  
25,025     32,185     16,727     24,426     16,891     32,775     11,589     11,048  
12,796     20,317     11,008     16,291     11,617     21,748     6,436     3,640  
165,285     291,187     146,371     227,803     128,376     298,787     85,819     53,116  
25,126     42,508     31,654     36,973     29,303     44,351     23,051     16,517  



 


 


 


 


 


 


 


1,441,492     1,852,998     970,326     1,501,804     995,870     1,958,611     631,459     469,849  
(435,745 )                            (123,722 ) 
(5,353 )    (5,971 )    (12,965 )    (9,061 )    (31,099 )    (14,841 )    (6,028 )    (15,781 ) 



 


 


 


 


 


 


 


1,000,394     1,847,027     957,361     1,492,743     964,771     1,943,770     625,431     330,346  



 


 


 


 


 


 


 


9,030,020     9,440,369     6,441,824     7,050,079     5,531,138     10,428,588     3,886,296     2,156,602  



 


 


 


 


 


 


 


 
 
105,729     395,193     (862,052 )    561,418     64,272     663,356         (357,880 ) 
(1,229,659 )        (911,151 )        (857,580 )        (511,787 )    (275,062 ) 



 


 


 


 


 


 


 


(1,123,930 )    395,193     (1,773,203 )    561,418     (793,308 )    663,356     (511,787 )    (632,942 ) 



 


 


 


 


 


 


 


 
(1,688,947 )    (4,904,625 )    3,276,950     (4,141,764 )    1,681,576     (6,508,843 )    582,644     (89,397 ) 
(165,116 )        (138,822 )        (130,799 )        (78,693 )    (35,858 ) 



 


 


 


 


 


 


 


(1,854,063 )    (4,904,625 )    3,138,128     (4,141,764 )    1,550,777     (6,508,843 )    503,951     (125,255 ) 



 


 


 


 


 


 


 


(2,977,993 )    (4,509,432 )    1,364,925     (3,580,346 )    757,469     (5,845,487 )    (7,836 )    (758,197 ) 



 


 


 


 


 


 


 


 
 
(695,537 )    (1,012,468 )    (535,429 )    (779,042 )    (546,138 )    (1,092,221 )    (320,057 )    (187,388 ) 
    (34,878 )        (79,831 )        (86,126 )         



 


 


 


 


 


 


 


(695,537 )    (1,047,346 )    (535,429 )    (858,873 )    (546,138 )    (1,178,347 )    (320,057 )    (187,388 ) 



 


 


 


 


 


 


 


 
 
$ 5,356,490     $ 3,883,591     $ 7,271,320     $ 2,610,860     $ 5,742,469     $ 3,404,754     $ 3,558,403     $ 1,211,017  



 


 


 


 


 


 


 



60


STATEMENTS OF CHANGES IN NET ASSETS
For the year ended December 31, 2004 and the period1 ended December 31, 2003


 

   
Insured
Insured
 
   
Municipal 2008 Term Trust
Municipal Term Trust
 
   
(BRM)
(BMT)
 














   
2004
2003
2004
2003
 












Increase (Decrease) in Net Assets                 
   Applicable to Common Shareholders                 
 
Operations:                 
   Net investment income   
$
26,254,309    
$
29,010,322    
$
17,456,383    
$
18,665,590  
   Net realized gain (loss)    1,815,872     2,271,344     1,087,089     (93,160 ) 
   Net change in unrealized appreciation/depreciation    (16,680,739 )    (4,173,526 )    (9,591,433 )    2,758,573  
   Dividends and distributions to preferred shareholders:                 
       Net investment income    (2,658,791 )    (2,080,585 )2    (1,907,505 )    (1,453,010 ) 
       Net realized gain    (352,783 )    (500,709 )2    (87,694 )    (100,766 ) 












Net increase in net assets resulting from operations    8,377,868     24,526,846     6,956,840     19,777,227  












 
Dividends and Distributions to Common 
               
   Shareholders from:                 
   Net investment income    (23,950,409 )    (27,680,153 )    (15,130,266 )    (16,494,099 ) 
   Net realized gain    (1,551,757 )    (3,452,580 )    (724,798 )    (626,432 ) 












Total dividends and distributions    (25,502,166 )    (31,132,733 )    (15,855,064 )    (17,120,531 ) 












 
Capital Share Transactions:                 
   Net proceeds from the issuance of common shares                 
   Net proceeds from the underwriters’over-allotment                 
       option exercised                 
   Underwriting discounts and offering costs relating to                 
       the issuance of preferred shares                 












Net proceeds from capital share transactions                 












Total increase (decrease)    (17,124,298 )    (6,605,887 )    (8,898,224 )    2,656,696  












 
Net Assets Applicable to                 
   Common Shareholders                 
Beginning of period    472,784,528     479,390,415     295,027,686     292,370,990  












End of period   
$
455,660,230    
$
472,784,528    
$
286,129,462    
$
295,027,686  












End of period undistributed (distributions in excess of ) 
               
   net investment income   
$
41,343,080    
$
41,560,348 2  
$
20,524,627    
$
20,108,157  

1      Commencement of investments operations for Municipal 2020 was September 30, 2003. This information includes the initial investments by BlackRock Funding, Inc. The other statements are for a full year.
2      Amount of $167,999 has been reclassified for tax purposes.
 

See Notes to Financial Statements.

61


Municipal     Municipal     Municipal     Strategic  
2018 Term Trust     2020 Term Trust     Target Term Trust     Municipal Trust  
(BPK)
    (BKK)     (BMN)     (BSD)  
















2004
2003
2004
2003
2004
2003
2004
2003
 
























 
 
 
$ 19,298,459     $ 19,332,822     $ 22,268,728     $ 3,030,188     $ 25,844,764     $ 28,246,587     $ 9,030,020     $ 8,932,544  
(6,681,398 )    980,317     (2,458,295 )    (482,817 )    487,949     594,145     (1,123,930 )    (2,846,500 ) 
5,895,387     7,230,936     8,164,006     7,223,790     (19,313,537 )    (7,445,940 )    (1,854,063 )    7,762,221  
 
(1,576,219 )    (1,336,973 )    (2,082,967 )    (212,799 )    (3,210,573 )    (2,708,216 )    (695,537 )    (595,299 ) 
                (64,286 )    (126,993 )         
























16,936,229     26,207,102     25,891,472     9,558,362     3,744,317     18,559,583     5,356,490     13,252,966  
























 
 
(12,408,262 )    (12,408,248 )    (18,971,839 )    (3,161,973 )    (22,516,121 )    (26,110,995 )    (6,916,504 )    (6,727,394 ) 
                (469,591 )    (1,117,102 )         
























(12,408,262 )    (12,408,248 )    (18,971,839 )    (3,161,973 )    (22,985,712 )    (27,228,097 )    (6,916,504 )    (6,727,394 ) 
























 
            264,587,501                  
 
            24,710,337                  
 
            (2,096,320 )                 
























            287,201,518                  
























4,527,967     13,798,854     6,919,633     293,597,907     (19,241,395 )    (8,668,514 )    (1,560,014 )    6,525,572  
























 
 
247,031,792     233,232,938     293,597,907         498,283,014     506,951,528     115,246,149     108,720,577  
























$ 251,559,759     $ 247,031,792     $ 300,517,540     $ 293,597,907     $ 479,041,619     $ 498,283,014     $ 113,686,135     $ 115,246,149  
























 
$ 15,562,976     $ 10,248,439     $ 880,513     $ (329,584 )    $ 33,637,384     $ 33,592,893     $ 5,715,973     $ 4,314,946  

62


STATEMENTS OF CHANGES IN NET ASSETS (continued)
For the year ended December 31, 2004 and the period1 ended December 31, 2003


 

    California Insured    
California 
 
    Municipal 2008 Term Trust     Municipal 2018 Term Trust  
   
(BFC)
   
(BJZ) 
 














   
2004
2003
2004
2003
 












Increase (Decrease) in Net Assets                   
   Applicable to Common Shareholders                   
 
Operations:                   
   Net investment income    $ 9,440,369     $ 9,941,378     $ 6,441,824     $  6,733,378  
   Net realized gain (loss)    395,193     643,694     (1,773,203 )      35,456  
   Net change in unrealized appreciation/depreciation    (4,904,625 )    (70,777 )    3,138,128       (368,473 ) 
   Dividends and distributions to preferred shareholders:                   
       Net investment income    (1,012,468 )    (692,786 )    (535,429 )      (468,828 ) 
       Net realized gain    (34,878 )    (124,259 )           












Net increase in net assets resulting from operations    3,883,591     9,697,250     7,271,320       5,931,533  












 
Dividends and Distributions to                   
   Common Shareholders from:                   
   Net investment income    (8,039,482 )    (10,396,554 )    (4,728,276 )      (4,728,270 ) 
   Net realized gains    (289,317 )    (944,964 )           












Total dividends and distributions    (8,328,799 )    (11,341,518 )    (4,728,276 )      (4,728,270 ) 












 
Capital Share Transactions:                   
   Net proceeds from the issuance of common shares                   
   Net proceeds from the underwriters’ over-allotment                   
       option exercised                   
   Underwriting discounts and offering costs relating to                   
       the issuance of preferred shares                   












   Net proceeds from capital share transactions                   












Total increase (decrease)    (4,445,208 )    (1,644,268 )    2,543,044       1,203,263  












 
Net Assets Applicable to                   
   Common Shareholders                   
Beginning of period    178,853,572     180,497,840     95,046,800       93,843,537  












End of period    $ 174,408,364     $ 178,853,572     $ 97,589,844     $  95,046,800  












End of period undistributed (distributions in excess of ) 
                 
   net investment income    $ 15,001,691     $ 14,613,272     $ 4,030,388     $  2,852,269  

1      Commencement of investments operations for Florida 2020 was September 30, 2003. This information includes the initial investments by BlackRock Funding, Inc. The other statements are for a full year.
 

See Notes to Financial Statements.

63


Florida Insured     Florida Municipal     New York Insured     New York  
Municipal 2008 Term Trust     2020 Term Trust    
Municipal 2008 Term Trust
   
Municipal 2018 Term Trust
 
(BRF)
(BFO)
(BLN)
(BLH)
 
























2004
2003
2004
2003
2004
2003
2004
2003
 
























 
 
 
$ 7,050,079     $ 7,696,083     $ 5,531,138     $ 674,808     $ 10,428,588     $ 11,293,701     $ 3,886,296     $ 3,831,760  
561,418     278,399     (793,308 )    (20 )    663,356     456,767     (511,787 )    (431,368 ) 
(4,141,764 )    833,697     1,550,777     1,967,175     (6,508,843 )    (1,012,048 )    503,951     1,090,916  
 
(779,042 )    (555,799 )    (546,138 )    (59,253 )    (1,092,221 )    (917,968 )    (320,057 )    (286,897 ) 
(79,831 )    (157,394 )            (86,126 )    (56,470 )         
























2,610,860     8,094,986     5,742,469     2,582,710     3,404,754     9,763,982     3,558,403     4,204,411  
























 
 
(6,530,321 )    (7,050,777 )    (5,005,915 )    (834,319 )    (9,170,031 )    (8,839,915 )    (2,670,276 )    (2,670,425 ) 
(620,381 )    (882,029 )            (611,616 )   (460,415 )         
























(7,150,702 )    (7,932,806 )    (5,005,915 )    (834,319 )    (9,781,647 )   (9,300,330 )    (2,670,276 )    (2,670,425 ) 
























 
            71,605,000                  
 
            7,920,860                  
 
            (619,560 )                 
























            78,906,300                  
























(4,539,842 )    162,180     736,554     80,654,691     (6,376,893 )   463,652     888,127     1,533,986  
























 
 
143,082,246     142,920,066     80,654,691         192,801,100     192,337,448     56,415,316     54,881,330  
























$ 138,542,404     $ 143,082,246     $ 81,391,245     $ 80,654,691     $ 186,424,207     $ 192,801,100     $ 57,303,443     $ 56,415,316  
























 
$ 8,840,902     $ 9,238,980     $ (224,679 )    $ (203,764 )    $ 13,650,140     $ 13,588,759     $ 2,439,803     $ 1,543,840  

64


STATEMENTS OF CHANGES IN NET ASSETS (continued)
For the years ended December 31, 2004 and 2003


 

   
Pennsylvania 
   
Strategic Municipal Trust
   
(BPS) 







   
2004
2003






Increase (Decrease) in Net Assets             
   Applicable to Common Shareholders 
           
             
Operations:             
   Net investment income   
$ 
2,156,602    
$ 
2,260,273  
   Net realized gain (loss)      (632,942 )      176,317  
   Net change in unrealized appreciation/depreciation 
    (125,255 )      437,910  
   Dividends to preferred shareholders from net             
       investment income      (187,388 )      (147,231 ) 






Net increase in net assets resulting from operations      1,211,017       2,727,269  






Dividends to Common Shareholders from:             
   Net investment income      (1,788,911 )      (1,746,005 ) 






Total increase (decrease)      (577,894 )      981,264  






Net Assets Applicable to             
       Common Shareholders             
Beginning of year      32,435,025       31,453,761  






End of year   
$ 
31,857,131    
$ 
32,435,025  






End of year undistributed net investment income   
$ 
1,058,418    
$ 
884,358  

See Notes to Financial Statements.

65


FINANCIAL HIGHLIGHTS

BlackRock Insured Municipal 2008 Term (BRM)

   
Year Ended December 31,















    2004     2003     2002     2001     2000  














PER COMMON SHARE OPERATING                     
   PERFORMANCE:                     
Net asset value, beginning of year    $ 17.38     $ 17.62     $ 16.80     $ 16.62     $ 16.00  















Investment operations:                     
   Net investment income    0.97     1.07     1.26     1.33     1.30  
   Net realized and unrealized gain (loss)    (0.55 )    (0.07 )    0.53     (0.08 )    0.54  
Dividends and distributions to preferred shareholders from:                     
         Net investment income    (0.10 )    (0.08 )    (0.13 )    (0.27 )    (0.38 ) 
         Net realized gain on investments    (0.01 )    (0.01 )    (0.01 )         















Net increase from investment operations    0.31     0.91     1.65     0.98     1.46  















Dividends and distributions to common shareholders from:                     
   Net investment income    (0.88 )    (1.02 )    (0.79 )    (0.80 )    (0.80 ) 
   Net realized gain    (0.06 )    (0.13 )    (0.04 )         















Total dividends and distributions    (0.94 )    (1.15 )    (0.83 )    (0.80 )    (0.80 ) 















Capital charges with respect to issuance of:                     
   Preferred shares                    (0.04 ) 















Net asset value, end of year    $ 16.75     $ 17.38    
$
17.62     $ 16.80     $ 16.62  















Market price, end of year    $ 16.31     $ 17.27    
$
16.58     $ 15.70     $ 14.88  















TOTAL INVESTMENT RETURN1    (0.09 )%    11.29 %   
11.15 %    11.06 %    14.40 % 















RATIOS TO AVERAGE NET ASSETS                     
   OF COMMON SHAREHOLDERS:2                     
Expenses after fees paid indirectly    0.99 %    0.98 %    0.98 %    1.01 %    1.05 % 
Expenses before fees paid indirectly    1.00 %    0.98 %    0.98 %    1.02 %    1.05 % 
Net investment income before preferred share dividends    5.66 %    6.03 %    7.34 %    7.87 %    8.06 % 
Preferred share dividends    0.57 %    0.47 %    0.73 %    1.60 %    2.40 % 
Net investment income available to common shareholders    5.09 %    5.56 %    6.61 %    6.27 %    5.66 % 
SUPPLEMENTAL DATA:                     
Average net assets of common shareholders (000)    $ 464,135     $ 480,887     $ 468,417     $ 460,153     $ 438,958  
Portfolio turnover    4 %    18 %    23 %    3 %    3 % 
Net assets of common shareholders, end of year (000)    $ 455,660     $ 472,785     $ 479,390     $ 457,070     $ 452,057  
Preferred shares outstanding (000)    $ 271,000     $ 271,000     $ 271,000     $ 271,000     $ 271,000  
Asset coverage per preferred share, end of year    $ 67,041     $ 68,622     $ 69,235     $ 67,178     $ 66,735  


1      Total investment return is calculated assuming a purchase of a common share at the current market price on the first day and a sale at the current market price on the last day of each year reported. Dividends and distributions, if any, are assumed for purposes of this calculation to be reinvested at prices obtained under the Trust’s dividend reinvestment plan. Total investment returns do not reflect brokerage commissions. Total investment returns for less than a full year are not annualized. Past performance is not a guarantee of future results.
   
2      Ratios are calculated on the basis of income and expenses applicable to both the common and preferred shares relative to the average net assets of common shareholders.
 

The information in the above Financial Highlights represents the operating performance for a common share outstanding, total investment returns, ratios to average net assets and other supplemental data for each year indicated. This information has been determined based upon financial information provided in the financial statements and market price data for the Trust’s common shares.

See Notes to Financial Statements.

66


FINANCIAL HIGHLIGHTS

BlackRock Insured Municipal Term Trust (BMT)

   
Year Ended December 31,















    2004     2003     2002     2001     2000  














PER COMMON SHARE OPERATING                     
   PERFORMANCE:                     
Net asset value, beginning of year    $ 11.40     $ 11.29     $ 10.85     $ 10.85     $ 10.60  















Investment operations:                     
   Net investment income    0.67     0.73     0.81     0.89     0.89  
   Net realized and unrealized gain (loss)    (0.34 )    0.10     0.41     (0.12 )    0.28  
Dividends and distributions to preferred shareholders from:                     
         Net investment income    (0.07 )    (0.06 )    (0.08 )    (0.18 )    (0.26 ) 
         Net realized gain on investments            (0.02 )    (0.01 )    (0.01 ) 















Net increase from investment operations    0.26     0.77     1.12     0.58     0.90  















Dividends and distributions to common shareholders from:                     
   Net investment income    (0.58 )    (0.64 )    (0.58 )    (0.57 )    (0.60 ) 
   Net realized gain    (0.03 )    (0.02 )    (0.10 )    (0.02 )    (0.02 ) 















Total dividends and distributions    (0.61 )    (0.66 )    (0.68 )    (0.59 )    (0.62 ) 















Capital charges with respect to issuance of:                     
   Preferred shares                0.01     (0.03 ) 















Net asset value, end of year    $ 11.05     $ 11.40    
$
11.29     $ 10.85     $ 10.85  















Market price, end of year    $ 11.30     $ 11.06    
$
10.94     $ 10.63     $ 10.44  















TOTAL INVESTMENT RETURN1    7.92 %    7.28 %    9.51 %    7.73 %    17.81 % 















RATIOS TO AVERAGE NET ASSETS                     
   OF COMMON SHAREHOLDERS:2                     
Expenses after fees paid indirectly    1.02 %    1.02 %    1.05 %    1.06 %    1.11 % 
Expenses before fees paid indirectly    1.02 %    1.02 %    1.06 %    1.06 %    1.11 % 
Net investment income before preferred share dividends    6.04 %    6.36 %    7.32 %    8.12 %    8.40 % 
Preferred share dividends    0.66 %    0.50 %    0.70 %    1.68 %    2.44 % 
Net investment income available to common shareholders    5.38 %    5.86 %    6.62 %    6.44 %    5.96 % 
SUPPLEMENTAL DATA:                     
Average net assets of common shareholders (000)    $ 289,091     $ 293,334     $ 287,692     $ 284,390     $ 274,553  
Portfolio turnover    1 %    11 %    36 %    7 %    14 % 
Net assets of common shareholders, end of year (000)    $ 286,129     $ 295,028     $ 292,371     $ 280,743     $ 280,965  
Preferred shares outstanding (000)    $ 170,400     $ 170,400     $ 170,400     $ 170,400     $ 170,400  
Asset coverage per preferred share, end of year    $ 66,987     $ 68,288     $ 67,895     $ 66,195     $ 66,242  


1      Total investment return is calculated assuming a purchase of a common share at the current market price on the first day and a sale at the current market price on the last day of each year reported. Dividends and distributions, if any, are assumed for purposes of this calculation to be reinvested at prices obtained under the Trust’s dividend reinvestment plan. Total investment returns do not reflect brokerage commissions. Total investment returns for less than a full year are not annualized. Past performance is not a guarantee of future results.
2      Ratios are calculated on the basis of income and expenses applicable to both the common and preferred shares relative to the average net assets of common shareholders.
 

The information in the above Financial Highlights represents the operating performance for a common share outstanding, total investment returns, ratios to average net assets and other supplemental data for each year indicated. This information has been determined based upon financial information provided in the financial statements and market price data for the Trust’s common shares.

See Notes to Financial Statements.

67


FINANCIAL HIGHLIGHTS

BlackRock Municipal 2018 Term Trust (BPK)

                     
                 
For the period
     
Year Ended December 31, 
 
October 30, 20011




through
      2004     2003     2002    
December 31, 20012









 


PER COMMON SHARE OPERATING PERFORMANCE:                   
Net asset value, beginning of period    $  15.53     $ 14.66     $ 13.66     $ 14.333  












Investment operations:                   
   Net investment income      1.21     1.21     1.17     0.10  
   Net realized and unrealized gain (loss)      (0.05 )    0.52     0.73     (0.55 ) 
   Dividends to preferred shareholders from:                   
         Net investment income      (0.10 )    (0.08 )   
(0.12
)    (0.01 ) 












Net increase (decrease) from investment operations      1.06     1.65     1.78     (0.46 ) 












Dividends to common shareholders from:                   
   Net investment income      (0.78 )    (0.78 )   
(0.78
)    (0.07 ) 












Capital charges with respect to issuance of:                   
   Common shares                  (0.03 ) 
   Preferred shares                  (0.11 ) 












Total capital charges                  (0.14 ) 












Net asset value, end of period    $  15.81     $  15.53     $  14.66     $  13.66  












Market price, end of period    $  15.16     $  14.36     $  13.43     $  13.06  












TOTAL INVESTMENT RETURN4      11.27 %    12.92 %   
8.84
%    (12.51 )% 












RATIOS TO AVERAGE NET ASSETS             
     
   OF COMMON SHAREHOLDERS:5             
     
Expenses after fees paid indirectly      0.91 %    0.93 %   
0.92
%    0.93 %6 
Expenses before fees paid indirectly      0.91 %    0.94 %   
0.94
%    0.93 %6 
Net investment income before preferred share dividends      7.83 %    8.21 %   
8.14
%    4.39 %6 
Preferred share dividends      0.64 %    0.57 %   
0.84
%    0.28 %6 
Net investment income available to common shareholders      7.19 %    7.64 %   
7.30
%    4.11 %6 
SUPPLEMENTAL DATA:             
     
Average net assets of common shareholders (000)    $  246,602     $ 235,575     $ 227,674     $ 206,486  
Portfolio turnover      31 %    15 %    53 %    0 % 
Net assets of common shareholders, end of period (000)    $  251,560     $ 247,032     $ 233,233     $ 217,229  
Preferred shares outstanding (000)    $  137,600     $ 137,600     $ 137,600     $ 137,600  
Asset coverage per preferred share, end of period    $  70,736     $ 69,887     $ 67,381     $ 64,485  


1      Commencement of investment operations. This information includes the initial investment by BlackRock Funding, Inc.
2      Calculated using the average shares outstanding method.
3      Net asset value, beginning of period, reflects a deduction of $0.675 per share sales charge from the initial offering price of $15.00 per share.
4      Total investment return is calculated assuming a purchase of a common share at the current market price on the first day and a sale at the current market price on the last day of each period reported. Dividends and distributions, if any, are assumed for purposes of this calculation to be reinvested at prices obtained under the Trust’s dividend reinvestment plan. Total investment returns do not reflect brokerage commissions. Total investment returns for less than a full year are not annualized. Past performance is not a guarantee of future results.
5      Ratios are calculated on the basis of income and expenses applicable to both the common and preferred shares relative to the average net assets of the common shareholders.
6      Annualized.
 

The information in the above Financial Highlights represents the operating performance for a common share outstanding, total investment returns, ratios to average net assets and other supplemental data for each period indicated. This information has been determined based upon financial information provided in the financial statements and market price data for the Trust’s common shares.

See Notes to Financial Statements.

68


FINANCIAL HIGHLIGHTS

BlackRock Municipal 2020 Term Trust (BKK)

   
For the period
   
September 30, 20031
   
Year Ended
through
   
December 31, 2004
December 31, 2003






PER COMMON SHARE OPERATING PERFORMANCE:   
   
 
Net asset value, beginning of period   
$ 
14.51    
$ 
14.332  






Investment operations:   
   
 
   Net investment income   
1.10    
0.15  
   Net realized and unrealized gain   
0.28    
0.25  
   Dividends to preferred shareholders from:   
   
 
         Net investment income   
(0.10 )   
(0.01 ) 






Net increase from investment operations   
1.28    
0.39  






Dividends to common shareholders from:   
   
 
   Net investment income   
(0.94 )   
(0.16 ) 






Capital charges with respect to issuance of:   
   
 
   Common shares   
   
(0.03 ) 
   Preferred shares   
   
(0.02 ) 






Total capital charges   
   
(0.05 ) 






Net asset value, end of period   
$ 
14.85    
$ 
14.51  






Market price, end of period   
$ 
15.02    
$ 
15.00  






TOTAL INVESTMENT RETURN3   
6.63 %   
1.05 % 






RATIOS TO AVERAGE NET ASSETS   
   
 
   OF COMMON SHAREHOLDERS:4   
   
 
Expenses after fees paid indirectly   
1.09 %   
0.85 %5 
Expenses before fees paid indirectly   
1.09 %   
0.87 %5 
Net investment income before preferred share dividends   
7.67 %   
4.25 %5 
Preferred share dividends   
0.72 %   
0.30 %5 
Net investment income available to common shareholders   
6.95 %   
3.95 %5 
SUPPLEMENTAL DATA:   
   
 
Average net assets of common shareholders (000)           
$ 
290,212          
$ 
279,827  
Portfolio turnover   
51 %   
17 % 
Net assets of common shareholders, end of period (000)           
$ 
300,518          
$ 
293,598  
Preferred shares outstanding (000)           
$ 
177,600          
$ 
177,600  
Asset coverage per preferred share, end of period           
$ 
67,307          
$ 
66,332  


1      Commencement of investment operations. This information includes the initial investment by BlackRock Funding, Inc.
2      Net asset value, beginning of period, reflects a deduction of $0.675 per share sales charge from the initial offering price of $15.00 per share.
3      Total investment return is calculated assuming a purchase of a common share at the current market price on the first day and a sale at the current market price on the last day of each period reported. Dividends and distributions, if any, are assumed for purposes of this calculation to be reinvested at prices obtained under the Trust’s dividend reinvestment plan. Total investment returns do not reflect brokerage commissions. Total investment returns for less than a full year are not annualized. Past performance is not a guarantee of future results.
4      Ratios are calculated on the basis of income and expenses applicable to both the common and preferred shares relative to the average net assets of the common shareholders.
5      Annualized.
 

The information in the above Financial Highlights represents the operating performance for a common share outstanding, total investment returns, ratios to average net assets and other supplemental data for each period indicated. This information has been determined based upon financial information provided in the financial statements and market price data for the Trust’s common shares.

See Notes to Financial Statements.

69


FINANCIAL HIGHLIGHTS

BlackRock Municipal Target Term Trust (BMN)

   
Year Ended December 31,















    2004     2003     2002     2001     2000  















PER COMMON SHARE OPERATING                     
   PERFORMANCE:                     
Net asset value, beginning of year    $ 10.97     $ 11.16    
$
10.57     $ 10.67     $ 10.60  















Investment operations:                     
   Net investment income    0.57     0.62     0.70     0.83     0.90  
   Net realized and unrealized gain (loss)    (0.41 )    (0.16 )    0.62     (0.10 )    0.05  
Dividends and distributions to preferred shareholders from:                     
         Net investment income    (0.07 )    (0.06 )    (0.08 )    (0.17 )    (0.26 ) 
         Net realized gain            (0.01 )    (0.02 )     















Net increase from investment operations    0.09     0.40     1.23     0.54     0.69  















Dividends and distributions to common shareholders from:                     
   Net investment income    (0.50 )    (0.57 )    (0.60 )    (0.58 )    (0.60 ) 
   Net realized gain    (0.01 )    (0.02 )    (0.04 )    (0.06 )     















Total dividends and distributions    (0.51 )    (0.59 )    (0.64 )    (0.64 )    (0.60 ) 















Capital charges with respect to issuance of:                     
   Preferred shares                    (0.02 ) 















Net asset value, end of year    $ 10.55     $ 10.97    
$ 
11.16     $ 10.57     $ 10.67  















Market price, end of year    $ 10.49     $ 10.95    
$ 
11.01     $ 10.40     $ 9.94  















TOTAL INVESTMENT RETURN1    0.39 %    4.99 %    12.28 %    11.16 %    7.63 % 















RATIOS TO AVERAGE NET ASSETS                     
   OF COMMON SHAREHOLDERS:2                     
Expenses after fees paid indirectly    0.96 %    0.96 %    0.97 %    0.96 %    1.00 % 
Expenses before fees paid indirectly    0.97 %    0.96 %    0.97 %    0.98 %    1.00 % 
Net investment income before preferred share dividends    5.29 %    5.60 %    6.44 %    7.73 %    8.61 % 
Preferred share dividends    0.66 %    0.54 %    0.75 %    1.57 %    2.48 % 
Net investment income available to common shareholders    4.63 %    5.06 %    5.69 %    6.16 %    6.13 % 
SUPPLEMENTAL DATA:                     
Average net assets of common shareholders (000)    $ 488,873     $ 504,660     $ 494,694     $ 489,251     $ 477,169  
Portfolio turnover    2 %    4 %    18 %    42 %    5 % 
Net assets of common shareholders, end of year (000)    $ 479,042     $ 498,283     $ 506,952     $ 480,172     $ 484,646  
Preferred shares outstanding (000)    $ 299,100     $ 299,100     $ 299,100     $ 299,100     $ 299,100  
Asset coverage per preferred share, end of year    $ 65,048     $ 66,654     $ 67,379     $ 65,141     $ 65,530  


1      Total investment return is calculated assuming a purchase of a common share at the current market price on the first day and a sale at the current market price on the last day of each year reported. Dividends and distributions, if any, are assumed for purposes of this calculation to be reinvested at prices obtained under the Trust’s dividend reinvestment plan. Total investment returns do not reflect brokerage commissions. Total investment returns for less than a full year are not annualized. Past performance is not a guarantee of future results.
2      Ratios calculated on the basis of income and expenses applicable to both the common and preferred shares relative to the average net assets of the common shareholders.
 

The information in the above Financial Highlights represents the operating performance for a common share outstanding, total investment returns, ratios to average net assets and other supplemental data, for each year indicated. This information has been determined based upon financial information provided in the financial statements and market price data for the Trust’s common shares.

See Notes to Financial Statements.

70


FINANCIAL HIGHLIGHTS

BlackRock Strategic Municipal Trust (BSD)

   
Year Ended December 31,















    2004       2003     2002    
2001     2000  















PER COMMON SHARE                 
     
   OPERATING PERFORMANCE:                 
     
Net asset value, beginning of year    $ 15.91     $  15.01    
$
14.33    
$ 
14.75     $ 13.39  















Investment operations:                 
     
   Net investment income    1.26       1.23     1.26    
1.25     1.22  
   Net realized and unrealized gain (loss)    (0.41 )      0.68     0.42    
(0.58 )    1.41  
   Dividends to preferred shareholders from:                 
     
         Net investment income    (0.10 )      (0.08 )    (0.12 )   
(0.23 )    (0.36 )1 















Net increase from investment operations    0.75       1.83     1.56    
0.44     2.27  















Dividends to common shareholders from:                 
     
         Net investment income    (0.96 )      (0.93 )    (0.88 )   
(0.86 )    (0.91 )1 















Net asset value, end of year    $ 15.70     $  15.91    
$
15.01    
$ 
14.33     $ 14.75  















Market price, end of year    $ 14.52     $  14.69    
$
13.78    
$ 
13.58     $ 13.69  















TOTAL INVESTMENT RETURN2    5.59 %      13.75 %    8.03 %   
5.32 %    17.44 % 















RATIOS TO AVERAGE NET ASSETS                 
     
   OF COMMON SHAREHOLDERS:3                 
     
Expenses after fees waived and paid indirectly    0.89 %      0.91 %    0.98 %   
0.91 %    0.90 % 
Expenses after fees waived and before fees paid indirectly    0.90 %      0.91 %    0.99 %   
0.92 %    0.90 % 
Expenses before fees waived and paid indirectly    1.28 %      1.30 %    1.39 %   
1.31 %    1.30 % 
Net investment income before preferred share dividends    8.04 %      8.09 %    8.54 %   
8.40 %    8.86 % 
Preferred share dividends    0.62 %      0.54 %    0.78 %   
1.58 %    2.60 % 
Net investment income available to common shareholders    7.42 %      7.55 %    7.76 %   
6.82 %    6.26 % 
SUPPLEMENTAL DATA:                 
     
Average net assets of common shareholders (000)    $ 112,298     $  110,385    
$
106,807    
$ 
107,381     $ 100,171  
Portfolio turnover    23 %      8 %   
13 %   
4 %    44 % 
Net assets of common shareholders, end of year (000)    $ 113,686     $  115,246    
$
108,721    
$ 
103,783     $ 106,833  
Preferred shares outstanding (000)    $ 62,000     $  62,000    
$
62,000    
$ 
62,000     $ 62,000  
Asset coverage per preferred share, end of year    $ 70,844     $  71,476    
$
68,844    
$ 
66,855     $ 68,092  


1      Amounts have been reclassified to conform with current period presentation.
2      Total investment return is calculated assuming a purchase of a common share at the current market price on the first day and a sale at the current market price on the last day of each year reported. Dividends and distributions, if any, are assumed for purposes of this calculation to be reinvested at prices obtained under the Trust’s dividend reinvestment plan. Total investment returns do not reflect brokerage commissions. Total investment returns for less than a full year are not annualized. Past performance is not a guarantee of future results.
3      Ratios are calculated on the basis of income and expenses applicable to both the common and preferred shares relative to the average net assets of the common shareholders.
 

The information in the above Financial Highlights represents the operating performance for a common share outstanding, total investment returns, ratios to average net assets and other supplemental data for each year indicated. This information has been determined based upon financial information provided in the financial statements and market price data for the Trust’s common shares.

See Notes to Financial Statements.

71


FINANCIAL HIGHLIGHTS

BlackRock California Insured Municipal 2008 Term Trust (BFC)

   
Year Ended December 31,















    2004     2003     2002     2001     2000  














PER COMMON SHARE OPERATING                     
   PERFORMANCE:                     
Net asset value, beginning of year    $ 17.19     $ 17.34    
$
16.77     $ 16.72     $ 16.11  















Investment operations:                     
   Net investment income    0.91     0.96     1.18     1.27     1.27  
   Net realized and unrealized gain (loss)    (0.44 )    0.06     0.48     (0.19 )    0.52  
Dividends and distributions to preferred shareholders from:                     
         Net investment income    (0.10 )    (0.07 )    (0.11 )    (0.24 )    (0.35 ) 
         Net realized gain        (0.01 )    (0.03 )    (0.01 )     















Net increase from investment operations    0.37     0.94     1.52     0.83     1.44  















Dividends and distributions to common shareholders from:                     
   Net investment income    (0.77 )    (1.00 )    (0.81 )    (0.77 )    (0.77 ) 
   Net realized gain    (0.03 )    (0.09 )    (0.14 )    (0.02 )     















Total dividends and distributions    (0.80 )    (1.09 )    (0.95 )    (0.79 )    (0.77 ) 















Capital charges with respect to issuance of:                     
   Preferred shares                0.01     (0.06 ) 















Net asset value, end of year    $ 16.76     $ 17.19    
$
17.34     $ 16.77     $ 16.72  















Market price, end of year    $ 16.25     $ 17.09    
$
16.44     $ 15.90     $ 15.63  















TOTAL INVESTMENT RETURN1    (0.20 )%    10.90 %    9.56 %    7.06 %    18.68 % 















RATIOS TO AVERAGE NET ASSETS                     
   OF COMMON SHAREHOLDERS:2                     
Expenses after fees paid indirectly    1.05 %    1.04 %    1.05 %    1.08 %    1.11 % 
Expenses before fees paid indirectly    1.05 %    1.04 %    1.06 %    1.09 %    1.11 % 
Net investment income before preferred share dividends    5.37 %    5.51 %    6.91 %    7.57 %    7.74 % 
Preferred share dividends    0.58 %    0.38 %    0.64 %    1.45 %    2.14 % 
Net investment income available to common shareholders    4.79 %    5.13 %    6.27 %    6.12 %    5.60 % 
SUPPLEMENTAL DATA:                     
Average net assets of common shareholders (000)    $ 175,711     $ 180,408     $ 177,861     $ 176,424     $ 170,286  
Portfolio turnover    0 %    15 %    33 %    5 %    0 % 
Net assets of common shareholders, end of year (000)    $ 174,408     $ 178,854     $ 180,498     $ 174,487     $ 173,974  
Preferred shares outstanding (000)    $ 104,550     $ 104,550     $ 104,550     $ 104,550     $ 104,550  
Asset coverage per preferred share, end of year    $ 66,714     $ 67,776     $ 68,161     $ 66,735     $ 66,629  


1      Total investment return is calculated assuming a purchase of a common share at the current market price on the first day and a sale at the current market price on the last day of each year reported. Dividends and distributions, if any, are assumed for purposes of this calculation to be reinvested at prices obtained under the Trust’s dividend reinvestment plan. Total investment returns do not reflect brokerage commissions. Total investment returns for less than a full year are not annualized. Past performance is not a guarantee of future results.
2      Ratios are calculated on the basis of income and expenses applicable to both the common and preferred shares relative to the average net assets of common shareholders.
 

The information in the above Financial Highlights represents the operating performance for a common share outstanding, total investment returns, ratios to average net assets and other supplemental data for each year indicated. This information has been determined based upon financial information provided in the financial statements and market price data for the Trust’s common shares.

See Notes to Financial Statements.

72


FINANCIAL HIGHLIGHTS

BlackRock California Municipal 2018 Term Trust (BJZ)

                   
               
For the period
   
Year Ended December 31,
 
October 30, 20011







through
    2004     2003     2002    
December 31, 20012









 


PER COMMON SHARE OPERATING PERFORMANCE:                 
Net asset value, beginning of period    $ 14.77     $ 14.59     $ 13.63     $ 14.33 3












Investment operations:                 
   Net investment income    1.00     1.04     1.03     0.09  
   Net realized and unrealized gain (loss)    0.21     (0.06 )    0.78     (0.57 ) 
   Dividends to preferred shareholders from:                 
         Net investment income    (0.08 )    (0.07 )   
(0.11
)    (0.01 ) 












Net increase (decrease) from investment operations    1.13     0.91     1.70     (0.49 ) 












Dividends to common shareholders from:                 
   Net investment income    (0.73 )    (0.73 )   
(0.74
)    (0.06 ) 












Capital charges with respect to issuance of:                 
   Common shares                (0.03 ) 
   Preferred shares                (0.12 ) 












Total capital charges                (0.15 ) 












Net asset value, end of period    $ 15.17     $ 14.77     $ 14.59     $ 13.63  












Market price, end of period    $ 13.89     $ 13.42     $ 13.40     $ 12.85  












TOTAL INVESTMENT RETURN4    9.04 %    5.67 %   
10.04
%    (13.94 )% 












RATIOS TO AVERAGE NET ASSETS                 
   OF COMMON SHAREHOLDERS:5                 
Expenses after fees paid indirectly    1.01 %    1.03 %   
0.99
%    1.07 %6 
Expenses before fees paid indirectly    1.02 %    1.03 %   
1.03
%    1.07 %6 
Net investment income before preferred share dividends    6.77 %    7.29 %   
7.33
%    3.78 %6 
Preferred share dividends    0.56 %    0.51 %   
0.81
%    0.27 %6 
Net investment income available to common shareholders    6.21 %    6.78 %   
6.52
%    3.51 %6 
SUPPLEMENTAL DATA:                 
Average net assets of common shareholders (000)    $ 95,091     $ 92,324     $ 90,721     $ 82,906  
Portfolio turnover    9 %    9 %    42 %    0 % 
Net assets of common shareholders, end of period (000)    $ 97,590     $ 95,047     $ 93,844     $ 87,664  
Preferred shares outstanding (000)    $ 55,525     $ 55,528     $ 55,525     $ 55,525  
Asset coverage per preferred share, end of period    $ 68,945     $ 67,796     $ 67,254     $ 64,488  


1      Commencement of investment operations. This information includes the initial investment by BlackRock Funding, Inc.
2      Calculated using the average shares outstanding method.
3      Net asset value, beginning of period, reflects a deduction of $0.675 per share sales charge from the initial offering price of $15.00 per share.
4      Total investment return is calculated assuming a purchase of a common share at the current market price on the first day and a sale at the current market price on the last day of each period reported. Dividends and distributions, if any, are assumed for purposes of this calculation to be reinvested at prices obtained under the Trust’s dividend reinvestment plan. Total investment returns do not reflect brokerage commissions. Total investment returns for less than a full year are not annualized. Past performance is not a guarantee of future results.
5      Ratios are calculated on the basis of income and expenses applicable to both the common and preferred shares relative to the average net assets of the common shareholders.
6      Annualized.
 

The information in the above Financial Highlights represents the operating performance for a common share outstanding, total investment returns, ratios to average net assets and other supplemental data for each period indicated. This information has been determined based upon financial information provided in the financial statements and market price data for the Trust’s common shares.

See Notes to Financial Statements.

73


FINANCIAL HIGHLIGHTS

BlackRock Florida Insured Municipal 2008 Term Trust (BRF)

   
Year Ended December 31,















    2004     2003     2002     2001     2000  















PER COMMON SHARE OPERATING                     
   PERFORMANCE:                     
Net asset value, beginning of year    $ 16.43     $ 16.41    
$
16.01     $ 15.84     $ 15.56  















Investment operations:                     
   Net investment income    0.81     0.88     1.12     1.25     1.24  
   Net realized and unrealized gain (loss)    (0.41 )    0.13     0.36     (0.04 )    0.28  
   Dividends and distributions to preferred shareholders from: 
                   
         Net investment income    (0.09 )    (0.06 )    (0.11 )    (0.25 )    (0.37 ) 
         Net realized gain    (0.01 )    (0.02 )    (0.04 )    (0.01 )     















Net increase from investment operations    0.30     0.93     1.33     0.95     1.15  















Dividends and distributions to common shareholders from:                     
   Net investment income    (0.75 )    (0.81 )    (0.75 )    (0.75 )    (0.81 ) 
   Net realized gain    (0.07 )    (0.10 )    (0.18 )    (0.04 )     















Total dividends and distributions    (0.82 )    (0.91 )    (0.93 )    (0.79 )    (0.81 ) 















Capital charges with respect to issuance of:                     
   Preferred shares                0.01     (0.06 ) 















Net asset value, end of year    $ 15.91     $ 16.43    
$
16.41     $ 16.01     $ 15.84  















Market price, end of year    $ 15.85     $ 16.19    
$
15.91     $ 15.40     $ 14.00  















TOTAL INVESTMENT RETURN1    3.05 %    7.64 %    9.61 %    15.90 %    4.96 % 















RATIOS TO AVERAGE NET ASSETS                     
   OF COMMON SHAREHOLDERS:2                     
Expenses after fees paid indirectly    1.07 %    1.05 %    1.05 %    1.10 %    1.14 % 
Expenses before fees paid indirectly    1.07 %    1.05 %    1.06 %    1.12 %    1.14 % 
Net investment income before preferred share dividends    5.03 %    5.34 %    6.90 %    7.75 %    7.94 % 
Preferred share dividends    0.56 %    0.39 %    0.70 %    1.55 %    2.39 % 
Net investment income available to common shareholders    4.47 %    4.95 %    6.20 %    6.20 %    5.55 % 
SUPPLEMENTAL DATA:                     
Average net assets of common shareholders (000)    $ 140,140     $ 144,071     $ 141,064     $ 140,004     $ 135,492  
Portfolio turnover    0 %    6 %    52 %    7 %    0 % 
Net assets of common shareholders, end of year (000)    $ 138,542     $ 143,082     $ 142,920     $ 139,367     $ 137,917  
Preferred shares outstanding (000)    $ 84,150     $ 84,169     $ 84,150     $ 84,150     $ 84,150  
Asset coverage per preferred share, end of year    $ 66,159     $ 67,514     $ 67,460     $ 66,406     $ 65,982  


1 Total investment return is calculated assuming a purchase of a common share at the current market price on the first day and a sale at the current market price on the last day of each year reported. Dividends and distributions, if any, are assumed for purposes of this calculation to be reinvested at prices obtained under the Trust’s dividend reinvestment plan. Total investment returns do not reflect brokerage commissions. Total investment returns for less than a full year are not annualized. Past performance is not a guarantee of future results.
2 Ratios are calculated on the basis of income and expenses applicable to both the common and preferred shares relative to the average net assets of common shareholders.

The information in the above Financial Highlights represents the operating performance for a common share outstanding, total investment returns, ratios to average net assets and other supplemental data for each year indicated. This information has been determined based upon financial information provided in the financial statements and market price data for the Trust’s common shares.

See Notes to Financial Statements.

74


FINANCIAL HIGHLIGHTS

BlackRock Florida Municipal 2020 Term Trust (BFO)

   
For the period
   
September 30, 20031
   
Year Ended
through
   
December 31, 2004
December 31, 2003






PER COMMON SHARE OPERATING PERFORMANCE:   
   
 
Net asset value, beginning of period   
$ 
14.50    
$ 
14.33 2






Investment operations:   
   
 
   Net investment income   
0.99    
0.12  
   Net realized and unrealized gain   
0.14    
0.26  
   Dividends to preferred shareholders from:   
   
 
         Net investment income   
(0.10 )   
(0.01 ) 






Net increase from investment operations   
1.03    
0.37  






Dividends to common shareholders from:   
   
 
   Net investment income   
(0.90 )   
(0.15 ) 






Capital charges with respect to issuance of:   
   
 
   Common shares   
   
(0.03 ) 
   Preferred shares   
   
(0.02 ) 






Total capital charges   
   
(0.05 ) 






Net asset value, end of period   
$ 
14.63    
$ 
14.50  






Market price, end of period   
$ 
15.08    
$ 
15.39  






TOTAL INVESTMENT RETURN3   
4.10 %   
3.60 % 






RATIOS TO AVERAGE NET ASSETS   
   
 
   OF COMMON SHAREHOLDERS:4   
   
 
Expenses after fees paid indirectly   
1.21 %   
1.02 %5 
Expenses before fees paid indirectly   
1.25 %   
1.05 %5 
Net investment income before preferred share dividends   
6.93 %   
3.45 %5 
Preferred share dividends   
0.68 %   
0.30 %5 
Net investment income available to common shareholders   
6.25 %   
3.15 %5 
SUPPLEMENTAL DATA:   
   
 
Average net assets of common shareholders (000)   
$ 
79,810    
$ 
76,698  
Portfolio turnover   
9 %   
0 % 
Net assets of common shareholders, end of period (000)   
$ 
81,391    
$ 
80,655  
Preferred shares outstanding (000)   
$ 
48,900    
$ 
48,900  
Asset coverage per preferred share, end of period   
$ 
66,617    
$ 
66,237  


1      Commencement of investment operations. This information includes the initial investment by BlackRock Funding, Inc.
2      Net asset value, beginning of period, reflects a deduction of $0.675 per share sales charge from the initial offering price of $15.00 per share.
3      Total investment return is calculated assuming a purchase of a common share at the current market price on the first day and a sale at the current market price on the last day of each period reported. Dividends and distributions, if any, are assumed for purposes of this calculation to be reinvested at prices obtained under the Trust’s dividend reinvestment plan. Total investment returns do not reflect brokerage commissions. Total investment returns for less than a full year are not annualized. Past performance is not a guarantee of future results.
4      Ratios are calculated on the basis of income and expenses applicable to both the common and preferred shares relative to the average net assets of the common shareholders.
5      Annualized.
 

The information in the above Financial Highlights represents the operating performance for a common share outstanding, total investment returns, ratios to average net assets and other supplemental data for each period indicated. This information has been determined based upon financial information provided in the financial statements and market price data for the Trust’s common shares.

See Notes to Financial Statements.

75


FINANCIAL HIGHLIGHTS

BlackRock New York Insured Municipal 2008 Term Trust (BLN)

   
Year Ended December 31,















    2004     2003     2002     2001     2000  















PER COMMON SHARE OPERATING                     
   PERFORMANCE:                     
Net asset value, beginning of year    $ 17.13     $ 17.09    
$
16.22     $ 16.17     $ 15.63  















Investment operations:                     
   Net investment income    0.93     1.01     1.13     1.25     1.24  
   Net realized and unrealized gain (loss)    (0.53 )    (0.05 )    0.75     (0.17 )    0.53  
   Dividends and distributions to preferred shareholders from: 
                   
         Net investment income    (0.10 )    (0.08 )    (0.11 )    (0.26 )    (0.38 ) 
         Net realized gain    (0.01 )    (0.01 )    (0.03 )    (0.01 )     















Net increase from investment operations    0.29     0.87     1.74     0.81     1.39  















Dividends and distributions to common shareholders from:                     
   Net investment income    (0.81 )    (0.79 )    (0.75 )    (0.75 )    (0.80 ) 
   Net realized gain    (0.05 )    (0.04 )    (0.12 )    (0.02 )     















Total dividends and distributions    (0.86 )    (0.83 )    (0.87 )    (0.77 )    (0.80 ) 















Capital charges with respect to issuance of:                     
   Preferred shares                0.01     (0.05 ) 















Net asset value, end of year    $ 16.56     $ 17.13    
$
17.09     $ 16.22     $ 16.17  















Market price, end of year    $ 16.09     $ 16.96    
$
16.22     $ 15.50     $ 14.75  















TOTAL INVESTMENT RETURN1    0.03 %    9.88 %    10.47 %    10.48 %    6.10 % 















RATIOS TO AVERAGE NET ASSETS                     
   OF COMMON SHAREHOLDERS:2                     
Expenses after fees paid indirectly    1.03 %    1.03 %    1.04 %    1.10 %    1.12 % 
Expenses before fees paid indirectly    1.03 %    1.03 %    1.05 %    1.10 %    1.12 % 
Net investment income before preferred share dividends    5.51 %    5.85 %    6.75 %    7.59 %    7.85 % 
Preferred share dividends    0.58 %    0.48 %    0.68 %    1.56 %    2.40 % 
Net investment income available to common shareholders    4.93 %    5.37 %    6.07 %    6.03 %    5.45 % 
SUPPLEMENTAL DATA:                     
Average net assets of common shareholders (000)    $ 189,322     $ 192,958     $ 187,970     $ 184,600     $ 177,057  
Portfolio turnover    0 %    7 %    31 %    9 %    0 % 
Net assets of common shareholders, end of year (000)    $ 186,424     $ 192,801     $ 192,337     $ 182,611     $ 182,075  
Preferred shares outstanding (000)    $ 109,550     $ 109,550     $ 109,550     $ 109,550     $ 109,550  
Asset coverage per preferred share, end of year    $ 67,549     $ 69,000     $ 68,893     $ 66,674     $ 66,596  


1      Total investment return is calculated assuming a purchase of a common share at the current market price on the first day and a sale at the current market price on the last day of each year reported. Dividends and distributions, if any, are assumed for purposes of this calculation to be reinvested at prices obtained under the Trust’s dividend reinvestment plan. Total investment returns do not reflect brokerage commissions. Total investment returns for less than a full year are not annualized. Past performance is not a guarantee of future results.
2      Ratios are calculated on the basis of income and expenses applicable to both the common and preferred shares relative to the average net assets of common shareholders.
 

The information in the above Financial Highlights represents the operating performance for a common share outstanding, total investment returns, ratios to average net assets and other supplemental data for each year indicated. This information has been determined based upon financial information provided in the financial statements and market price data for the Trust’s common shares.

See Notes to Financial Statements.

76


FINANCIAL HIGHLIGHTS

BlackRock New York Municipal 2018 Term Trust (BLH)

               
For the period
   
Year Ended December 31,
 
October 30, 20011







through
    2004     2003     2002    
December 31, 20012









 


PER COMMON SHARE OPERATING PERFORMANCE:                 
Net asset value, beginning of period    $ 15.53    
$
15.11     $ 13.58     $ 14.33 3












Investment operations:                 
   Net investment income    1.07     1.06     1.01     0.09  
   Net realized and unrealized gain (loss)        0.18     1.37     (0.61 ) 
   Dividends to preferred shareholders from:                 
         Net investment income    (0.09 )    (0.08 )   
(0.11
)    (0.01 ) 












Net increase (decrease) from investment operations    0.98     1.16     2.27     (0.53 ) 












Dividends to common shareholders from:                 
   Net investment income    (0.74 )    (0.74 )   
(0.74
)    (0.06 ) 












Capital charges with respect to issuance of:                 
   Common shares                (0.03 ) 
   Preferred shares                (0.13 ) 












Total capital charges                (0.16 ) 












Net asset value, end of period    $ 15.77    
$
15.53     $ 15.11     $ 13.58  












Market price, end of period    $ 14.82    
$
14.70     $ 13.46     $ 13.15  












TOTAL INVESTMENT RETURN4    5.94 %    14.94 %   
7.96
%    (11.94 )% 












RATIOS TO AVERAGE NET ASSETS                 
   OF COMMON SHAREHOLDERS:5                 
Expenses after fees paid indirectly    1.11 %    1.12 %   
1.13
%    1.15 %6 
Expenses before fees paid indirectly    1.12 %    1.14 %   
1.17
%    1.15 %6 
Net investment income before preferred share dividends    6.91 %    7.03 %   
7.03
%    3.73 %6 
Preferred share dividends    0.57 %    0.53 %   
0.80
%    0.26 %6 
Net investment income available to common shareholders    6.34 %    6.50 %   
6.23
%    3.47 %6 
SUPPLEMENTAL DATA:                 
Average net assets of common shareholders (000)    $ 56,270     $ 54,510     $ 52,265     $ 47,959  
Portfolio turnover    0 %    11 %    41 %    1 % 
Net assets of common shareholders, end of period (000)    $ 57,303     $ 56,415     $ 54,881     $ 49,353  
Preferred shares outstanding (000)    $ 31,400     $ 31,400     $ 31,400     $ 31,400  
Asset coverage per preferred share, end of period    $ 70,626     $ 69,917     $ 68,702     $ 64,311  


1      Commencement of investment operations. This information includes the initial investment by BlackRock Funding, Inc.
2      Calculated using the average shares outstanding method.
3      Net asset value, beginning of period, reflects a deduction of $0.675 per share sales charge from the initial offering price of $15.00 per share.
4      Total investment return is calculated assuming a purchase of a common share at the current market price on the first day and a sale at the current market price on the last day of each period reported. Dividends and distributions, if any, are assumed for purposes of this calculation to be reinvested at prices obtained under the Trust’s dividend reinvestment plan. Total investment returns do not reflect brokerage commissions. Total investment returns for less than a full year are not annualized. Past performance is not a guarantee of future results.
5      Ratios are calculated on the basis of income and expenses applicable to both the common and preferred shares relative to the average net assets of the common shareholders.
6      Annualized.
 

The information in the above Financial Highlights represents the operating performance for a common share outstanding, total investment returns, ratios to average net assets and other supplemental data for each period indicated. This information has been determined based upon financial information provided in the financial statements and market price data for the Trust’s common shares.

See Notes to Financial Statements.

77


FINANCIAL HIGHLIGHTS

BlackRock Pennsylvania Strategic Municipal Trust (BPS)

   
Year Ended December 31,















    2004     2003     2002     2001     2000  















PER COMMON SHARE                     
   OPERATING PERFORMANCE:                     
Net asset value, beginning of year    $ 16.09     $ 15.61     $ 14.65     $ 14.62     $ 13.40  















Investment operations:                     
   Net investment income    1.07     1.12     1.17     1.17     1.18  
   Net realized and unrealized gain (loss)    (0.37 )    0.30     0.73     (0.08 )    1.29  
   Dividends to preferred shareholders from:                     
         Net investment income    (0.09 )    (0.07 )    (0.11 )    (0.24 )    (0.36 )1 















Net increase from investment operations    0.61     1.35     1.79     0.85     2.11  















Dividends to common shareholders from:                     
   Net investment income    (0.89 )    (0.87 )    (0.83 )    (0.82 )    (0.88 )1 















Capital charges with respect to issuance of:                     
   Preferred shares                    (0.01 ) 















Net asset value, end of year    $ 15.81     $ 16.09     $ 15.61     $ 14.65     $ 14.62  















Market price, end of year    $ 15.70     $ 15.12     $ 14.33     $ 14.03     $ 13.13  















TOTAL INVESTMENT RETURN2    10.12 %    11.91 %    8.19 %    13.12 %    5.08 % 















RATIOS TO AVERAGE NET ASSETS OF                     
   COMMON SHAREHOLDERS:3                     
Expenses after fees waived and paid indirectly    1.03 %    1.12 %    1.34 %    1.11 %    1.22 % 
Expenses after fees waived and before fees paid indirectly    1.08 %    1.15 %    1.36 %    1.16 %    1.22 % 
Expenses before fees waived and paid indirectly    1.47 %    1.54 %    1.75 %    1.55 %    1.63 % 
Net investment income before preferred share dividends    6.74 %    7.09 %    7.69 %    7.86 %    8.49 % 
Preferred share dividends    0.59 %    0.46 %    0.71 %    1.63 %    2.60 % 
Net investment income available to common shareholders    6.15 %    6.63 %    6.98 %    6.23 %    5.89 % 
SUPPLEMENTAL DATA:                     
Average net assets of common shareholders (000)    $ 31,989     $ 31,892     $ 30,545     $ 30,122     $ 27,920  
Portfolio turnover    5 %    0 %    7 %    16 %    28 % 
Net assets of common shareholders, end of year (000)    $ 31,857     $ 32,435     $ 31,454     $ 29,531     $ 29,469  
Preferred shares outstanding (000)    $ 17,500     $ 17,500     $ 17,500     $ 17,500     $ 17,500  
Asset coverage per preferred share, end of year    $ 70,513     $ 71,341     $ 69,939     $ 67,194     $ 67,112  


1      Amounts have been reclassified to conform with current period presentation.
2      Total investment return is calculated assuming a purchase of a common share at the current market price on the first day and a sale at the current market price on the last day of each year reported. Dividends and distributions, if any, are assumed for purposes of this calculation to be reinvested at prices obtained under the Trust’s dividend reinvestment plan. Total investment returns do not reflect brokerage commissions. Total investment returns for less than a full year are not annualized. Past performance is not a guarantee of future results.
3      Ratios are calculated on the basis of income and expenses applicable to both the common and preferred shares relative to the average net assets of the common shareholders.
 

The information in the above Financial Highlights represents the operating performance for a common share outstanding, total investment returns, ratios to average net assets and other supplemental data for each year indicated. This information has been determined based upon financial information provided in the financial statements and market price data for the Trust’s common shares.

See Notes to Financial Statements.

78


NOTES TO FINANCIAL STATEMENTS


Note 1. Organization & Accounting Policies

The BlackRock Insured Municipal 2008 Term Trust Inc. (“Municipal Insured 2008”), The BlackRock Insured Municipal Term Trust Inc. (“Insured Municipal”), The BlackRock Municipal Target Term Trust Inc. (“Municipal Target”), The BlackRock California Insured Municipal 2008 Term Trust Inc. (“California Insured 2008”) and The BlackRock New York Insured Municipal 2008 Term Trust Inc. (“New York Insured 2008”) were organized as Maryland corporations. BlackRock Municipal 2018 Term Trust (“Municipal 2018”), BlackRock Municipal 2020 Term Trust (“Municipal 2020”), The BlackRock Strategic Municipal Trust (“Municipal Strategic”), BlackRock California Municipal 2018 Term Trust (“California 2018”), BlackRock Florida Municipal 2020 Term Trust (“Florida 2020”), BlackRock New York Municipal 2018 Term Trust (“New York 2018”) and The BlackRock Pennsylvania Strategic Municipal Trust (“Pennsylvania Strategic”) were organized as Delaware statutory trusts. The BlackRock Florida Insured Municipal 2008 Term Trust (“Florida Insured 2008”) was organized as a Massachusetts business trust. Municipal Insured 2008, Insured Municipal, Municipal 2018, Municipal 2020, Municipal Target and Municipal Strategic are registered as diversified closed-end management investment companies under the Investment Company Act of 1940, as amended. California Insured 2008, California 2018, Florida Insured 2008, Florida 2020, New York Insured 2008, New York 2018 and Pennsylvania Strategic are registered as non-diversified closed-end management investment companies under the Investment Company Act of 1940, as amended. Municipal Insured 2008, California Insured 2008, Florida Insured 2008 and New York Insured 2008 are herein referred to as the 2008 Trusts. Municipal 2018, California 2018 and New York 2018 are herein referred to as the 2018 Trusts. Municipal 2020 and Florida 2020 are herein referred to as the 2020 Trusts. Municipal Strategic and Pennsylvania Strategic are herein referred to as the Strategic Trusts.

     The following is a summary of significant accounting policies followed by the Trusts.

Investments Valuation: Municipal investments (including commitments to purchase such investments on a “when-issued” basis) are valued on the basis of prices provided by dealers or pricing services selected under the supervision of each Trust’s Board of Trustees or Board of Directors, as the case may be (each, a “Board”). In determining the value of a particular investment, pricing services may use certain information with respect to transactions in such investments, quotations from bond dealers, market transactions in comparable investments and various relationships between investments. A futures contract is valued at the last sale price as of the close of the commodities exchange on which it trades. Short-term securities may be valued at amortized cost. Investments in open-end investment companies are valued at net asset value. Any investments or other assets for which such current market quotations are not readily available are valued at fair value (“Fair Value Assets”) as determined in good faith under procedures established by, and under the general supervision and responsibility of, each Trust’s Board. The investment advisor and/or sub-advisor will submit its recommendations regarding the valuation and/or valuation methodologies for Fair Value Assets to a valuation committee. The valuation committee may accept, modify or reject any recommendations. The pricing of all Fair Value Assets shall be subsequently reported to and ratified by the Board.

     When determining the price for a Fair Value Asset, the investment advisor and/or sub-advisor shall seek to determine the price that the Trust might reasonably expect to receive from the current sale of that asset in an arm’s-length transaction. Fair value determinations shall be based upon all available factors that BlackRock Advisors, Inc. deems relevant.

Investment Transactions and Investment Income: Investment transactions are recorded on trade date. Realized and unrealized gains and losses are calculated on the identified cost basis. Each Trust also records interest income on an accrual basis and amortizes premium and/or accretes discount on securities purchased using the interest method.

Financial Futures Contracts: A futures contract is an agreement between two parties to buy and sell a financial instrument for a set price on a future date. Initial margin deposits are made upon entering into futures contracts and can be either cash or securities. During the period the futures contract is open, changes in the value of the contract are recognized as unrealized gains or losses by “marking-to-market” on a daily basis to reflect the market value of the contract at the end of each day’s trading. Variation margin payments are made or received, depending upon whether unrealized gains or losses are incurred. When the contract is closed, the Trust records a realized gain or loss equal to the difference between the proceeds from (or cost of) the closing transaction and the Trust’s basis in the contract.

     Financial futures contracts, when used by the Trusts, help in maintaining a targeted duration. Futures contracts can be sold to effectively shorten an otherwise longer duration portfolio. In the same sense, futures contracts can be purchased to lengthen a portfolio that is shorter than its duration target. Thus, by buying or selling futures contracts, the Trusts may attempt to manage the duration of positions so that changes in interest rates do not change the duration of the portfolio unexpectedly.

Segregation: In cases in which the Investment Company Act of 1940, as amended, and the interpretive positions of the Securities and Exchange Commission (the “Commission”) require that each Trust segregate assets in connection with certain investments (e.g., when-issued securities or futures contracts), each Trust will, consistent with certain interpretive letters issued by the Commission, designate on its books and records cash or other liquid debt securities having a market value at least equal to the amount that would otherwise be required to be physically segregated.

Federal Income Taxes: It is each Trust’s intention to continue to be treated as a regulated investment company under the Internal Revenue Code and to distribute sufficient net income to shareholders. For this reason and because substantially all of the gross income of each Trust consists of tax-exempt interest, no Federal income tax provisions are required.

Dividends and Distributions: Each Trust declares and pays dividends and distributions to common shareholders monthly from net investment income, net realized short-term capital gains and other sources, if necessary. Net long-term capital gains, if any, in excess of loss carryforwards may be distributed annually. Dividends and distributions are recorded on the ex-dividend date. Income distributions and capital gain distributions are determined in accordance with income tax regulations which may differ from accounting principles generally accepted in the United States of America. Dividends and distributions to preferred shareholders are accrued and determined as described in Note 4.

Estimates: The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates.

79


Deferred Compensation and BlackRock Closed-End Share Equivalent Investment Plan: Under the deferred compensation plan approved by the Trust’s Board, non-interested Trustees/Directors (“Trustees”) are required to defer a portion of their annual complex-wide compensation. Deferred amounts earn an approximate return as though equivalent dollar amounts had been invested in common shares of other BlackRock closed-end trusts selected by the Trustees. This has the same economic effect for the Trustees as if the Trustees had invested the deferred amounts in such Trusts.

     The deferred compensation plan is not funded and obligations thereunder represent general unsecured claims against the general assets of the Trust. Each Trust may, however, elect to invest in common shares of those Trusts selected by the Trustees in order to match its deferred compensation obligations.

Reclassification of Capital Accounts: In order to present undistributed (distribution in excess of) net investment income (“UNII”) and accumulated net realized gain (“Accumulated Gain”) more closely to its tax character, the following accounts for each Trust were increased (decreased):

        Accumulated               Accumulated 
Trust    UNII     Gain     Trust      UNII       Gain 













Municipal Insured 2008    $ 137,623     $ (137,623 )    California 2018    $     $  
Insured Municipal    (2,142 )    2,142     Florida Insured 2008      (138,794 )      138,794 
Municipal 2018    559     (559 )    Florida 2020             
Municipal 2020    (3,825 )    3,825     New York Insured 2008      (104,955 )      104,955 
Municipal Target    (73,579 )    73,579     New York 2018             
Municipal Strategic    (16,952 )    16,952     Pennsylvania Strategic      (6,243 )      6,243 
California Insured 2008                       

Note 2. Agreements

     Each Trust has an Investment Management Agreement with BlackRock Advisors, Inc. (the “Advisor”), a wholly owned subsidiary of BlackRock, Inc. BlackRock Financial Management, Inc., a wholly owned subsidiary of BlackRock, Inc., serves as sub-advisor to the 2018 Trusts and 2020 Trusts. BlackRock, Inc. is an indirect majority owned subsidiary of The PNC Financial Services Group, Inc. The Investment Management Agreements for the 2018 Trusts, 2020 Trusts and Strategic Trusts cover both investment advisory and administration services. Each 2008 Trust, Insured Municipal Trust and Municipal Target Trust has an Administration Agreement with the Advisor.

     Each Trust’s investment advisory fee paid to the Advisor is computed weekly and payable monthly based on an annual rate, 0.35% for the 2008 Trusts, Insured Municipal Trust and Municipal Target Trust, 0.40% for the 2018 Trusts, 0.50% for the 2020 Trusts and 0.60% for the Strategic Trusts, of the Trust’s average weekly managed assets. “Managed assets” means the total assets of a Trust (including any assets attributable to any preferred shares that may be outstanding) minus the sum of accrued liabilities (other than debt representing financial leverage). The Advisor has voluntarily agreed to waive a portion of the investment advisory fee or other expenses on the Strategic Trusts as a percentage of managed assets as follows: 0.25% for the first five years of each of the Trust’s operations, 0.20% in year six, 0.15% in year seven, 0.10% in year eight and 0.05% in year nine.

     The administration fee paid to the Advisor by the 2008 Trusts, Insured Municipal Trust and Municipal Trust is computed weekly and payable monthly based on an annual rate of 0.10% for each 2008 Trust and Insured Municipal Trust and 0.07% for Municipal Target Trust, of the Trusts’ average weekly managed assets.

     Pursuant to the agreements, the Advisor provides continuous supervision of the investment portfolio and pays the compensation of officers of each Trust who are affiliated persons of the Advisor, as well as occupancy and certain clerical and accounting costs of each Trust. Each Trust bears all other costs and expenses, which include reimbursements to the Advisor for costs of employees that provide pricing, secondary market support and compliance services to each Trust. For the year ended December 31, 2004, the Trusts reimbursed the Advisor the following amounts:

Trust    Amount    Trust    Amount 




Municipal Insured 2008    $30,012    California 2018    $7,016 
Insured Municipal    19,962    Florida Insured 2008    9,194 
Municipal 2018    15,452    Florida 2020    5,124 
Municipal 2020    16,536    New York Insured 2008    13,385 
Municipal Target    35,136    New York 2018    3,656 
Municipal Strategic    7,518    Pennsylvania Strategic    988 
California Insured 2008    12,010         

     Pursuant to the terms of the custody agreement, each Trust received earning credits from its custodian for positive cash balances maintained, which are used to offset custody fees.

80


Note 3. Portfolio Investments

     Purchases and sales of investment securities, other than short-term investments and U.S. government securities, for the year ended December 31, 2004, were as follows:

Trust  Purchases    Sales    Trust  Purchases      Sales 

 




 



Municipal Insured 2008  $ 25,036,503    $
118,393,791
  California 2018  $ 12,779,555   
$
16,344,200 
Insured Municipal  5,265,175   
69,149,238 
  Florida Insured 2008        17,692,115 
Municipal 2018  116,724,316   
114,529,905 
  Florida 2020  25,885,363      10,613,730 
Municipal 2020  293,916,689   
232,905,133 
  New York Insured 2008  1,233,970      27,710,315 
Municipal Target  13,160,982   
56,577,054 
  New York 2018         
Municipal Strategic  38,488,892   
39,003,986 
  Pennsylvania Strategic  2,003,980      7,094,443 
California Insured 2008     
11,772,750 
           

     There were no purchases or sales of U.S. government securities for the year ended December 31, 2004.

     Details of open financial futures contracts at December 31, 2004, were as follows:

    Number of       
Expiration 
  Value at    Value at    Unrealized  
Trust    Contracts    Type   
Date 
 
Trade Date 
  December 31, 2004      
Depreciation 
 









Short Positions:                         
Municipal 2018    856    10 Yr. U.S. T-Note    Mar ’05    $ 95,428,379    $ 95,818,516      $(390,137 ) 
Municipal 2020    1,075    10 Yr. U.S. T-Note    Mar ’05    119,841,931    120,332,826    (490,895 ) 
Municipal Strategic    369    10 Yr. U.S. T-Note    Mar ’05    41,139,824    41,304,939    (165,115 ) 
California 2018    311    10 Yr. U.S. T-Note    Mar ’05    34,673,746    34,812,568    (138,822 ) 
Florida 2020    288    10 Yr. U.S. T-Note    Mar ’05    32,107,201    32,238,000    (130,799 ) 
New York 2018    177    10 Yr. U.S. T-Note    Mar ’05    19,734,237    19,812,930    (78,693 ) 
Pennsylvania Strategic    83    10 Yr. U.S. T-Note    Mar ’05    9,254,954    9,290,811    (35,857 ) 

     At December 31, 2004, the total cost of securities for Federal Income tax purposes and the aggregate gross unrealized appreciation and depreciation for securities held by each Trust were as follows:

Trust  Cost    Appreciation    Depreciation    Net   





 
Municipal Insured 2008 
$ 
681,346,934 
 
$  
37,106,504   
$  
53,286   
$ 
37,053,218   
Insured Municipal 
425,773,109 
  26,057,297    5,690    26,051,607   
Municipal 2018 
365,784,213 
  19,884,518    379,561    19,504,957   
Municipal 2020 
458,112,269 
  17,991,916    2,098,695    15,893,221   
Municipal Target 
745,832,185 
  24,878,120    39,869    24,838,251   
Municipal Strategic 
162,429,001 
  16,306,038    4,058,647    12,247,391   
California Insured 2008 
259,741,260 
  15,702,470    8,287    15,694,183   
California 2018 
145,876,179 
  6,587,331    849,471    5,737,860   
Florida Insured 2008 
210,354,772 
  9,062,902    4,013    9,058,889   
Florida 2020 
125,137,724 
  3,915,037    258,088    3,656,949   
New York Insured 2008 
275,111,846 
  17,095,082    158    17,094,924   
New York 2018 
82,249,214 
  5,392,960    322,226    5,070,734   
Pennsylvania Strategic 
39,441,932 
  3,674,295    10,858    3,663,437   

     For Federal income tax purposes, the following Trusts had capital loss carryforwards at December 31, 2004, the Trusts’ last tax year-end (other than the 2020 Trusts and Strategic Trusts, each of which has a tax year-end of June 30th). These amounts may be used to offset future realized capital gains, if any:

 
Capital Loss 
     
Capital Loss 
     
Trust 
Carryforward Amount 
Expires
  Trust   
Carryforward Amount 
  Expires   

 

 

 


 
Municipal 2018  $ 2,036,899     
2010 
  New York 2018    $ 668,608      2010   
  6,665,869     
2012 
      431,368      2011   

  $ 8,702,768     
      590,480      2012   


Municipal 2020  $ 273,311     
2012 
      $ 1,690,456         


Municipal Strategic  $ 78,019     
2008 
  Pennsylvania Strategic    $ 87,565      2009   
  1,802,842     
2009 
      408,700      2010   

  760,288     
2010 
      $ 496,265         

  2,477,786     
2012 
               

  $  5,118,935     
               

California 2018  $ 1,287,186     
2010 
               
  1,444,501     
2012 
               

  $  2,731,687     
               


81


     Accordingly, no capital gain distributions are expected to be paid to shareholders of a Trust until that Trust has net realized capital gains in excess of its capital loss carryforward amounts.

Note 4. Distributions to Shareholders

     The tax character of distributions paid during the year ended December 31, 2004 and the period ended December 31, 2003, were as follows:

      Year ended December 31, 2004       








 
    Tax-exempt   Ordinary  
Long-term
  Total  
Distributions Paid From:    Income 
 
Income
Capital Gains 
  Distributions   

 
 



 
Municipal Insured 2008   
$26,619,425 
 
$
  $1,894,315    
$28,513,740
 
Insured Municipal   
17,037,771 
 
 
  812,492     
17,850,263 
 
Municipal 2018   
13,984,481 
 
 
       
13,984,481 
 
Municipal 2020   
21,054,806 
 
 
       
21,054,806 
 
Municipal Target   
25,726,694 
 
  533,877     
26,260,571 
 
Municipal Strategic   
7,612,041 
 
       
7,612,041 
 
California Insured 2008   
9,051,950 
 
  324,195     
9,376,145 
 
California 2018   
5,263,705 
 
       
5,263,705 
 
Florida Insured 2008   
7,309,322 
 
  700,253     
8,009,575 
 
Florida 2020   
5,552,053 
 
       
5,552,053 
 
New York Insured 2008   
10,262,252 
 
  697,742     
10,959,994 
 
New York 2018   
2,990,333 
 
       
2,990,333
 
Pennsylvania Strategic   
1,976,299 
 
       
1,976,299 
 
 
   
Period ended December 31, 2003 
 
    Tax-exempt     
Ordinary 
 
Long-term 
  Total   
Distributions Paid From:    Income 
Income 
 
Capital Gains 
  Distributions   

 
 




 
Municipal Insured 2008   
29,760,736 
 
66,619 
    3,886,672     
33,714,027 
 
Insured Municipal   
17,946,098 
 
 
    728,209     
18,674,307 
 
Municipal 2018   
13,745,221 
 
 
         
13,745,221 
 
Municipal 2020   
3,374,772 
 
 
         
3,374,772 
 
Municipal Target   
28,819,211 
 
 
    1,244,095     
30,063,306 
 
Municipal Strategic   
7,322,693 
 
 
         
7,322,693 
 
California Insured 2008   
11,090,126 
 
174 
    1,068,263     
12,158,563 
 
California 2018   
5,197,098 
 
 
         
5,197,098 
 
Florida Insured 2008   
7,606,766 
 
164,752 
    874,481     
8,645,999 
 
Florida 2020   
893,572 
 
 
         
893,572 
 
New York Insured 2008   
9,757,879 
 
108,700 
    408,189     
10,274,768 
 
New York 2018   
2,957,322 
 
 
         
2,957,322 
 
Pennsylvania Strategic   
1,893,236 
 
 
         
1,893,236 
 
 
As of December 31, 2004, the components of distributable earnings on a tax basis were as follows: 
     
    Undistributed 
Undistributed 
Undistributed 
Unrealized 
 
    Tax-exempt    Ordinary    Long-term    Net   
Trust    Income    Income    Gains    Appreciation   

 
 




 
Municipal Insured 2008   
24,951,354 
       $ 
 
       
52,847,309 
 
Insured Municipal   
16,516,505 
 
 
  275,431     
29,827,351 
 
Municipal 2018   
15,534,554 
 
       
19,070,349 
 
Municipal 2020   
877,649 
 
 
       
15,881,555 
 
Municipal Target   
24,247,223 
 
  54,095     
34,106,597 
 
Municipal Strategic   
5,616,198 
 
       
12,223,225 
 
California Insured 2008   
8,795,033 
 
  67,337     
21,267,757 
 
California 2018   
4,037,661 
 
 
       
5,063,572 
 
Florida Insured 2008   
6,252,118 
 
 
       
11,619,878 
 
Florida 2020   
 
 
 
       
3,654,909 
 
New York Insured 2008   
9,824,772 
 
  71,879     
20,467,430 
 
New York 2018   
2,443,513 
 
 
       
5,064,021 
 
Pennsylvania Strategic   
1,001,612 
 
       
3,650,531 
 

82


Note 5. Capital

     There are 200 million of $0.01 par value common shares authorized for each of the 2008 Trusts, Insured Municipal and Municipal Target. There are an unlimited number of $0.001 par value common shares authorized for each of the 2018 Trusts, 2020 Trusts and Strategic Trusts. Each Trust may classify or reclassify any unissued common shares into one or more series of preferred shares. At December 31, 2004, the common shares outstanding and the shares owned by affiliates of the Advisor of each Trust were as follows:

    Common   
Common 
      Common   
Common 
 
    Shares   
Shares 
      Shares   
Shares 
 
Trust    Outstanding   
Owned 
 
Trust 
  Outstanding   
Owned 
 







 
Municipal Insured 2008    27,207,093   
 
  California 2018    6,433,028         
Insured Municipal    25,885,639   
 
  Florida Insured 2008    8,707,093         
Municipal 2018    15,908,028   
 
  Florida 2020    5,562,128    8,028     
Municipal 2020    20,236,628   
8,028
    New York Insured 2008    11,257,093         
Municipal Target    45,410,639   
 
  New York 2018    3,633,028         
Municipal Strategic    7 ,242,261  
 
  Pennsylvania Strategic    2,015,492         
California Insured 2008    10,407,093   
 
               

     There were no transactions in common shares of beneficial interest for the year ended December 31, 2004. Transactions in common shares of beneficial interest for the period ended December 31, 2003 were as follows:

        Shares from           





        Underwriters’           
        Exercising the        Net Increase   
    Initial Public    Over-allotment    Reinvestment    in Shares   
Trust      Offering    Option    of Dividends    Outstanding   





 
Municipal 2020    18,508,028    1,728,600        20,236,628   
Florida 2020    5,008,028    554,100        5,562,128   

     Offering costs incurred in connection with the offering of common shares for the Municipal 2020 Term Turst and Florida Municipal 2020 Term Trust have been charged against the proceeds from the initial common share offering of the common shares in the amounts of $540,000 and $135,000, respectively.

     As of December 31, 2004, each Trust had the following series of preferred shares outstanding as listed in the table below. The preferred shares have a liquidation value of $25,000 per share plus any accumulated unpaid dividends.

Trust    Series   
Shares 
  Trust   
Series 
  Shares 

 


 

Municipal Insured 2008    T7    4,660    Municipal Strategic    W7    2,480 
    R7    2,060    California Insured 2008    W7    2,622 
    T28    2,060        W28    1,560 
    R28    2,060    California 2018    M7    2,221 
Insured Municipal    M7    4,216    Florida Insured 2008    R7    3,366 
    M28    2,600    Florida 2020    F7    1,956 
Municipal 2018    W7    2,752    New York Insured 2008    F7    2,672 
    R7    2,752        F28    1,710 
Municipal 2020    M7    2,368    New York 2018    T7    1,256 
    W7    2,368    Pennsylvania Strategic    W7    700 
    F7    2,368             
Municipal Target    W7    5,964             
    F7    3,000             
    W28    3,000             

     Underwriting discounts and offering costs incurred in connection with the 2020 Trust’s preferred share offering have been charged to paid-in capital in excess of par of the common shares.

    Underwriting    Offering   
Trust    Discount    Cost   

 


 
Municipal 2020  $ 1,776,000    $ 320,320   
Florida 2020    489,000    130,560   

83


     Dividends on 7-day preferred shares are cumulative at a rate which is reset every seven days based on the results of an auction. Dividends on 28-day preferred shares are cumulative at a rate which is reset every 28 days based on the results of an auction. The dividend ranges on the preferred shares for each of the Trusts for the year ended December 31, 2004 were as follows:

Trust    Low     High     Trust    Low     High    

 




 



 
Municipal Insured 2008    0.49 %    2.30 %    California 2018    0.45 %    1.80 %   
Insured Municipal    0.68     2.20     Florida Insured 2008    0.12     2.00    
Municipal 2018    0.75     1.95     Florida 2020    0.10     1.80    
Municipal 2020    0.73     1.96     New York Insured 2008    0.60     2.28    
Municipal Target    0.60     2.20     New York 2018    0.45     1.65    
Municipal Strategic    0.69     1.86     Pennsylvania Strategic    0.60     1.91    
California Insured 2008    0.43     2.00                

     A Trust may not declare dividends or make other distributions on common shares or purchase any such shares if, at the time of the declaration, distribution or purchase, asset coverage with respect to the outstanding preferred shares would be less than 200%.

     The preferred shares are redeemable at the option of each Trust, in whole or in part, on any dividend payment date at $25,000 per share plus any accumulated or unpaid dividends whether or not declared. The preferred shares are also subject to mandatory redemption at $25,000 per share plus any accumulated or unpaid dividends, whether or not declared, if certain requirements relating to the composition of the assets and liabilities of a Trust, as set forth in each Trust’s Declaration of Trust/Articles Supplementary, are not satisfied.

     The holders of preferred shares have voting rights equal to the holders of common shares (one vote per share) and will vote together with holders of common shares as a single class. However, holders of preferred shares, voting as a separate class, are also entitled to elect two Directors/Trustees for each Trust. In addition, the Investment Company Act of 1940, as amended, requires that along with approval by shareholders that might otherwise be required, the approval of the holders of a majority of any outstanding preferred shares, voting separately as a class, would be required to (a) adopt any plan of reorganization that would adversely affect the preferred shares, (b) change a Trust’s sub-classification as a closed-end investment company or change its fundamental investment restrictions or (c) change its business so as to cease to be an investment company.

Note 6. Dividends

     Subsequent to December 31, 2004, the Board of each Trust declared dividends from undistributed earnings per common share payable February 1, 2005, to shareholders of record on January 4, 2005. The per share common dividends declared were:

  Common Dividend      Common Dividend   
Trust  Per Share    Trust  Per Share   

 



 

 
Municipal Insured 2008     
$0.066250 
    California 2018   
$0.061250 
   
Insured Municipal 
0.047917 
    Florida Insured 2008 
0.062500 
   
Municipal 2018 
0.065000 
    Florida 2020 
0.075000 
   
Municipal 2020 
0.078125 
    New York Insured 2008 
0.062500 
   
Municipal Target 
0.040000 
    New York 2018 
0.061250 
   
Municipal Strategic 
0.079585 
    Pennsylvania Strategic 
0.073965 
   
California Insured 2008 
0.064375 
     
   

     The dividends declared on preferred shares for the period January 1, 2005 to January 31, 2005, for each of the Trusts were as follows:

       
Dividends 
          Dividends   
Trust    Series   
Declared 
  Trust    Series    Declared   

 



 


 
Municipal Insured 2008    T7    $
113,890 
  California Insured 2008    W7    $ 62,823   
    R7   
58,257
      W28    41,590   
    T28   
63,180 
  California 2018    M7    59,190   
    R28   
70,679 
  Florida Insured 2008    R7    95,998   
Insured Municipal    M7   
123,276 
  Florida 2020    F7    62,162   
    M28   
84,162 
  New York Insured 2008    F7    104,823   
Municipal 2018    W7   
79,808 
      F28    54,344   
    R7   
91,807 
  New York 2018    T7    32,455   
Municipal 2020    M7   
77,078 
  Pennsylvania Strategic    W7    19,327   
    W7   
75,231 
             
    F7   
98,414 
             
Municipal Target    W7   
171,226 
             
    F7   
130,890 
             
    W28   
92,040 
             
Municipal Strategic    W7   
76,682 
             

Note 7. Subsequent Event

     On February 7, 2005, Municipal Target Trust’s Board approved the redemption of all of the 3,000 W28 preferred shares outstanding in preparation for its termination on or about December 31, 2006. The shares will be redeemed at a price of $25,000 per share (an aggregate price of $75,000,000) plus any accrued and unpaid dividends through the redemption date on March 10, 2005. Management believes that the redemption of the W28 preferred shares will not affect the Municipal Target Trust’s ability to satisfy the terms of the remaining preferred shares outstanding.

84


REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM


To the Trustees and Shareholders of:
   BlackRock Insured Municipal 2008 Term Trust
   BlackRock Insured Municipal Term Trust
   BlackRock Municipal 2018 Term Trust
   BlackRock Municipal 2020 Term Trust
   BlackRock Municipal Target Term Trust
   BlackRock Strategic Municipal Trust
   BlackRock California Insured Municipal 2008 Term Trust
   BlackRock California Municipal 2018 Term Trust
   BlackRock Florida Insured Municipal 2008 Term Trust
   BlackRock Florida Municipal 2020 Term Trust
   BlackRock New York Insured Municipal 2008 Term Trust
   BlackRock New York Municipal 2018 Term Trust
   BlackRock Pennsylvania Strategic Municipal Trust
   (Collectively the “Trusts”)

     We have audited the accompanying statement of assets and liabilities of the Trusts, including the portfolio of investments, as of December 31, 2004, and the related statements of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, and the financial highlights for each of the periods presented. These financial statements and financial highlights are the responsibility of the Trust’s management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits.

     We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement. An audit includes consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Trust’s internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. Our procedures included confirmation of securities owned as of December 31, 2004, by correspondence with the custodian and brokers; where replies were not received from brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinion.

     In our opinion, the financial statements and financial highlights referred to above present fairly, in all material respects, the financial position of each of the Trusts as of December 31, 2004, the results of their operations for the year then ended, and the changes in their net assets for each of the two years in the period then ended, and the financial highlights for each of the periods presented, in conformity with accounting principles generally accepted in the United States of America.


/s/ Deloitte & Touche LLP
February 28, 2005

85


DIRECTORS/TRUSTEES INFORMATION (Unaudited)


                           
Events or transactions by 
                  Number of       
reason of which the Trustee 
         
Term of office 
      portfolios over-    Other Directorships   
is an interested person as 
       Current positions   
and length of time 
  Principal occupations    seen within the    held outside the   
defined in Section 2(a)(19) 
   Name, address, age    held with the Trusts    served    during the past five years    fund complex1    fund complex    of the 1940 Act 

Interested Trustees2

  Ralph L.    Chairman of the    3 years4 / since    Director since 1999 and President of    62    Member of the    Director and President of 
  Schlosstein    Board3    inception    BlackRock, Inc. since its formation        Visiting Board of    the Advisor. 
  BlackRock, Inc.            in 1998 and of BlackRock, Inc.’s        Overseers of the John     
  40 East 52nd Street            predecessor entities since 1988.        F. Kennedy School of     
  New York, NY            Member of the Management        Government at     
  10022            Committee and Investment Strategy        Harvard University, a     
  Age: 53            Group of BlackRock, Inc. Formerly,        member of the board     
              Managing Director of Lehman        of the Financial     
              Brothers, Inc. and Co-head of its        Institutions Center of     
              Mortgage and Savings Institutions        The Wharton School     
              Group. Chairman and President of        of the University of     
              the BlackRock Liquidity Funds and        Pennsylvania, a     
              Director of several of BlackRock’s        trustee of the     
              alternative investment vehicles.        American Museum of     
                      Natural History, a     
                      trustee of Trinity     
                      School in New York     
                      City, a member of the     
                      Board of Advisors of     
                      Marujupu LLC, and a     
                      trustee of New     
                      Visions for Public     
                      Education and of The     
                      Public Theater in New     
                      York City. Formerly, a     
                      director of Pulte     
                      Corporation, the     
                      nation’s largest home-     
                      builder, a Trustee of     
                      Denison University     
                      and a member of     
                      Fannie Mae’s     
                      Advisory Council.     

  Robert S. Kapito    President and    3 years4 / since    Vice Chairman of BlackRock, Inc.    52    Chairman of the    Director and Vice 
  BlackRock, Inc.    Trustee    August 22,    Head of the Portfolio Management        Hope and Heroes    Chairman of the Advisor. 
  40 East 52nd Street        2002    Group. Also a member of the        Children’s Cancer     
  New York, NY            Management Committee, the        Fund. President of     
  10022            Investment Strategy Group, the Fixed        the Board of     
  Age 48            Income and Global Operating        Directors of the     
              Committees and the Equity        Periwinkle National     
              Investment Strategy Group.        Theatre for Young     
              Responsible for the portfolio man-        Audiences. Director     
              agement of the Fixed Income,        of icruise.com, Corp.     
              Domestic Equity and International             
              Equity, Liquidity, and Alternative             
              Investment Groups of BlackRock.             

86


DIRECTORS/TRUSTEES INFORMATION (Unaudited) (Continued)


                  Number of portfo-     
                  lios overseen     
Current positions held 
Term of office and
Principal occupations
within the fund 
Other Directorships held out- 
  Name, address, age    with the Trusts    length of time served    during the past five years    complex1    side the fund complex 

Independent Trustees

  Andrew F. Brimmer    Lead Trustee    3 years4 / since       President of Brimmer & Company, Inc., a    52    Director of CarrAmerica 
  P.O. Box 4546    Audit Committee    inception       Washington, D.C.-based economic and        Realty Corporation and 
  New York, NY    Chairman5           financial consulting firm, also Wilmer D.        Borg-Warner Automotive. 
  10163-4546               Barrett Professor of Economics, University        Formerly Director of 
  Age: 78               of Massachusetts – Amherst. Formerly        Airborne Express, 
                 member of the Board of Governors of the        BankAmerica 
                 Federal Reserve System. Former        Corporation (Bank of 
                 Chairman, District of Columbia Financial        America), BellSouth 
                 Control Board.        Corporation, College 
                      Retirement Equities Fund 
                      (Trustee), Commodity 
                      Exchange, Inc. (Public 
                      Governor), Connecticut 
                      Mutual Life Insurance 
                      Company, E.I. du Pont de 
                      Nemours & Company, 
                      Equitable Life Assurance 
                      Society of the United 
                      States, Gannett Company, 
                      Mercedes-Benz of North 
                      America, MNC Financial 
                      Corporation (American 
                      Security Bank), NCM 
                      Capital Management, 
                      Navistar International 
                      Corporation, PHH Corp. 
                      and UAL Corporation 
                      (United Airlines). 

  Richard E. Cavanagh    Trustee    3 years4 / since     President and Chief Executive Officer of    52    Trustee: Aircraft Finance 
  P.O. Box 4546    Audit Committee    inception6     The Conference Board, Inc., a leading        Trust (AFT) and 
  New York, NY    Member         global business research organization, from        Educational Testing 
  10163-4546             1995-present. Former Executive Dean of        Service (ETS). Director, 
  Age: 58             the John F. Kennedy School of Government        Arch Chemicals, Fremont 
               at Harvard University from 1988-1995.        Group and The Guardian 
               Acting Director, Harvard Center for        Life Insurance Company 
               Business and Government (1991-1993).        of America. 
               Formerly Partner (principal) of McKinsey         
               & Company, Inc. (1980-1988). Former         
               Executive Director of Federal Cash         
               Management, White House Office of         
               Management and Budget (1977-1979). Co-         
               author, THE WINNING PERFORMANCE         
               (best selling management book published in         
               13 national editions).        

  Kent Dixon    Trustee    3 years4 / since     Consultant/Investor. Former President and    52    Former Director of ISFA 
  P.O. Box 4546    Audit Committee    inception     Chief Executive Officer of Empire Federal        (the owner of INVEST, a 
  New York, NY    Member5         Savings Bank of America and Banc PLUS        national securities broker- 
  10163-4546             Savings Association, former Chairman of        age service designed for 
  Age: 67             the Board, President and Chief Executive        banks and thrift 
               Officer of Northeast Savings.        institutions). 

  Frank J. Fabozzi    Trustee    3 years4 / since     Consultant. Editor of THE JOURNAL OF    52    Director, Guardian 
  P.O. Box 4546    Audit Committee    inception     PORTFOLIO MANAGEMENT and        Mutual Funds Group (18 
  New York, NY    Member7         Frederick Frank Adjunct Professor of        portfolios). 
  10163-4546             Finance at the School of Management at         
  Age: 56             Yale University. Author and editor of sev-         
               eral books on fixed income portfolio man-         
               agement. Visiting Professor of Finance and         
               Accounting at the Sloan School of         
               Management, Massachusetts Institute of         
               Technology from 1986 to August 1992.         

87


DIRECTORS/TRUSTEES INFORMATION (Unaudited) (Continued)



                  Number of     
                  portfolios     
                  overseen     
      Current positions held     Term of office and    Principal occupations    within the fund    Other Directorships held outside 
  Name, address, age    with the Trusts    length of time served    during the past five years    complex1    of the fund complex 

Independent Trustees (continued)

  Kathleen F. Feldstein   
Trustee8 
  3 years4 / since    President of Economics Studies, Inc., a    199    Director of BellSouth Inc., 
  P.O. Box 4546        January 19, 2005    Belmont, MA-based private economic        Ionics, Inc., and Knight 
  New York, NY            consulting firm, since 1987; Chair, Board        Ridder, Inc.; Trustee of the 
  10163-4546            of Trustees, McLean Hospital in Belmont,        Museum of Fine Arts, 
         Age: 63            MA.        Boston, and of the 
                      Committee for Economic 
                      Development; Corporation 
                      Member, Partners HealthCare 
                      and Sherrill House; Member 
                      of the Visiting Committee of 
                      the Harvard University Art 
                      Museums and of the 
                      Advisory Board to the 
                      International School of 
                      Business at Brandeis 
                      University. 

  R. Glenn Hubbard   
Trustee 
  3 years4 / since    Dean of Columbia Business School since    52    Director of ADP, Dex Media, 
  P.O. Box 4546        November 16, 2004    July 1, 2004. Columbia faculty member        KKR Financial Corporation, 
  New York, NY            since 1988. Co-director of Columbia        and Ripplewood Holdings. 
  10163-4546            Business School’s Entrepreneurship Program        Member of Board of 
  Age: 46            1994-1997. Visiting professor at the John F.        Directors of Duke Realty. 
              Kennedy School of Government at Harvard        Formerly on the advisory 
              University and the Harvard Business School,        boards of the Congressional 
              as well as the University of Chicago. Visiting        Budget Office, the Council 
              scholar at the American Enterprise Institute        on Competitiveness, the 
              in Washington and member of International        American Council on Capital 
              Advisory Board of the MBA Program of        Formation, the Tax 
              Ben-Gurion University. Deputy assistant sec-        Foundation and the Center 
              retary of the U.S. Treasury Department for        for Addiction and Substance 
              Tax Policy 1991-1993. Chairman of the U.S.        Abuse. Trustee of Fifth 
              Council of Economic Advisers under the        Avenue Presbyterian Church 
              President of the United States 2001–2003.        of New York. 

 
  James Clayburn   
Trustee 
  3 years4 / since    Dean Emeritus of the John E. Anderson    52    Director of Payden & Rygel 
  La Force, Jr.        inception    Graduate School of Management,        Investment Trust, Metzler- 
  P.O. Box 4546            University of California since July 1, 1993.        Payden Investment Trust, 
  New York, NY            Acting Dean of the School of Business,        Advisors Series Trust, Arena 
  10163-4546            Hong Kong University of Science and        Pharmaceuticals, Inc. and 
  Age: 76            Technology 1990-1993. From 1978 to        CancerVax Corporation. 
              September 1993, Dean of the John E.         
              Anderson Graduate School of         
              Management, University of California.         

 
  Walter F. Mondale   
Trustee 
  3 years4 / since    Senior Counsel, Dorsey & Whitney, LLP, a    52    Chairman of Panasonic 
  P.O. Box 4546        inception10    law firm (January 2004-present); Partner,        Foundation’s Board of 
  New York, NY            Dorsey & Whitney, LLP, (December 1996-        Directors and Director of 
  10163-4546            December 2003, September 1987-August        United Health Foundation. 
  Age: 77            1993). Formerly U.S. Ambassador to Japan        Member of the Hubert H. 
              (1993-1996). Formerly Vice President of        Humphrey Institute of Public 
              the United States, U.S. Senator and        Affairs Advisory Board, The 
              Attorney General of the State of        Mike and Maureen 
              Minnesota. 1984 Democratic Nominee for        Mansfield Foundation and 
              President of the United States.        the Dean’s Board of Visitors 
                      of the Medical School at the 
                      University of Minnesota. 

1      The Fund Complex means two or more registered investments companies that: (1) hold themselves out to investors as related companies for pur- poses of investment and investor services; or (2) have a common investment advisor or have an investment advisor that is an affiliated person of the investment advisor of any of the other registered investment companies.
 
2      Interested Director/Trustee as defined by Section 2(a)(19) of the Investment Company Act of 1940.
 
3      Director/Trustee since inception; appointed Chairman of the Board on August 22, 2002.
 
4      The Board is classified into three classes of which one class is elected annually. Each Director/Trustee serves a three-year term concurrent with the class from which they are elected.
 
5      The Board of each Trust has determined that each Trust has two Audit Committee financial experts serving on its Audit Committee, Dr. Brimmer and Mr. Dixon, both of whom are independent for the purpose of the definition of Audit Committee financial expert as applicable to the Trusts.
 
6      For the 2008 Trusts, Insured Municipal Trust and Municipal Target Trust appointed Director/Trustee on August 11, 1994.
 
7      Appointed Audit Committee Member on May 25, 2004.
 
8      Trustee on the 2008 Trusts, Strategic Trusts, Insured Municipal Trust and Municipal Target Trust and an Advisory Trustee on the 2018 Trusts and 2020 Trusts.
 
9      Director/Trustee on 19 of the closed-end Trusts and an Advisory Director/Trustee on the remaining 33 closed-end Trusts.
 
10      Except during the periods August 12, 1993 through April 15, 1997 and October 31, 2002 through November 11, 2002 for all of the Trusts.
 

88


DIVIDEND REINVESTMENT PLANS

     Pursuant to each Trust’s Dividend Reinvestment Plan (the “Plan”), common shareholders of the 2008 Trusts, Insured Municipal and Municipal Target may elect, while the common shareholders of the 2018 Trusts, 2020 Trusts and Strategic Trusts are automatically enrolled, to have all distributions of dividends and capital gains reinvested by EquiServe Trust Company, N.A. (the “Plan Agent”) in the respective Trust’s shares pursuant to the Plan. Shareholders who do not participate in the Plan will receive all distributions in cash paid by check and mailed directly to the shareholders of record (or if the shares are held in street or other nominee name, then to the nominee) by the Plan Agent, which serves as agent for the shareholders in administering the Plan.

     After a 2008 Trust, Insured Municipal, 2018 Trust, 2020 Trust and/or Municipal Target declares a dividend or determines to make a capital gain distribution, the Plan Agent will acquire shares for the participants’ account, by the purchase of outstanding shares on the open market, on the Trust’s primary exchange or elsewhere (“open market purchases”). These Trusts will not issue any new shares under the Plan.

     After a Strategic Trust declares a dividend or determines to make a capital gain distribution, the Plan Agent will acquire shares for the participants’ account, depending upon the circumstances described below, either (i) through receipt of unissued but authorized shares from the Trust (“newly issued shares”) or (ii) by open market purchases. If, on the dividend payment date, the NAV is equal to or less than the market price per share plus estimated brokerage commissions (such condition being referred to herein as “market premium”), the Plan Agent will invest the dividend amount in newly issued shares on behalf of the participants. The number of newly issued shares to be credited to each participant’s account will be determined by dividing the dollar amount of the dividend by the NAV on the date the shares are issued. However, if the NAV is less than 95% of the market price on the payment date, the dollar amount of the dividend will be divided by 95% of the market price on the payment date. If, on the dividend payment date, the NAV is greater than the market value per share plus estimated brokerage commissions (such condition being referred to herein as “market discount”), the Plan Agent will invest the dividend amount in shares acquired on behalf of the participants in open market purchases.

     Participation in the Plan is completely voluntary and may be terminated or resumed at any time without penalty by notice if received and processed by the Plan Administrator prior to the dividend record date; otherwise such termination or resumption will be effective with respect to any subsequently declared dividend or other distribution.

     The Plan Agent’s fees for the handling of the reinvestment of dividends and distributions will be paid by each Trust. However, each participant will pay a pro rata share of brokerage commissions incurred with respect to the Plan Agent’s open market purchases in connection with the reinvestment of dividends and distributions. The automatic reinvestment of dividends and distributions will not relieve participants of any Federal income tax that may be payable on such dividends or distributions.

     Each Trust reserves the right to amend or terminate the Plan. There is no direct service charge to participants in the Plan; however, each Trust reserves the right to amend the Plan to include a service charge payable by the participants. Participants that request a sale of shares through the Plan Agent are subject to a $2.50 sales fee and a $0.15 per share sold brokerage commission. All correspondence concerning the Plan should be directed to the Plan Agent at 250 Royall Street, Canton, MA 02021, or by calling (800) 699-1BFM.

ADDITIONAL INFORMATION

     On August 25, 2004, BlackRock, Inc., the parent of BlackRock Advisors, Inc., the Trusts’investment advisor, entered into an agreement with MetLife, Inc.® to acquire SSRM Holdings, Inc., the parent of State Street Research & Management Company, the investment advisor to the State Street Research mutual funds. This acquisition was completed on January 31, 2005. Management believes there will be no impact to the Trusts as a result of this transaction.

     Each Trust listed for trading on the NewYork Stock Exchange (NYSE) has filed with the NYSE its chief executive officer certification regarding compliance with the NYSE’s listing standards and each Trust listed for trading on the American Stock Exchange (AMEX) has filed with the AMEX its corporate governance certification regarding compliance with theAMEX’s listing standards.All of the Trusts have filed with the Securities and Exchange Commission the certification of its chief executive officer and chief financial officer required by section 302 of the Sarbanes-Oxley Act.

     There has been no material changes in the Trusts’ investment objective or policies that have not been approved by the shareholders or to their charters or by-laws or in the principle risk factors associated with investment in the Trusts. There have been no changes in the persons who are primarily responsible for the day-to-day management of the Trusts’ portfolio.

     Quarterly performance and other information regarding the Trusts may be found on BlackRock’s website, which can be accessed at http://www.blackrock.com/indiv/products/closedendfunds/funds.html. This reference to BlackRock’s website is intended to allow investors public access to information regarding the Trusts and does not, and is not intended, to incorporate BlackRock’s website into this report.

     Certain of the officers of the Trusts listed on the inside back cover of this Report to Shareholders are also officers of the Advisor or Sub-Advisor. They serve in the following capacities for the Advisor or Sub-Advisor: Robert S. Kapito—Director and Vice Chairman of the Advisor and the Sub-Advisor, Kevin M. Klingert—Director of BlackRock Advisors, Inc. and Managing Director of the Advisor and the Sub-Advisor, Henry Gabbay, Anne Ackerley and Bartholomew Battista—Managing Directors of the Advisor and the Sub-Advisor, Richard M. Shea, James Kong and Vincent Tritto—Managing Directors of the Sub-Advisor, and Brian P. Kindelan—Managing Director of the Advisor.

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BlackRock Closed-End Funds

Directors/Trustees    Transfer Agent 
     Ralph L. Schlosstein, Chairman         EquiServe Trust Company, N.A. 
     Andrew F. Brimmer         250 Royall Street 
     Richard E. Cavanagh         Canton, MA 02021 
     Kent Dixon          (800) 699-1BFM 
     Frank J. Fabozzi    Auction Agent3 
     Kathleen F. Feldstein1         Bank of New York 
     R. Glenn Hubbard2         101 Barclay Street, 7 West 
     Robert S. Kapito         New York, NY 10286 
     James Clayburn La Force, Jr.    Auction Agent4 
     Walter F. Mondale       Deutsche Bank Trust Company Americas 
Officers         60 Wall Street, 27th Floor 
     Robert S. Kapito, President       New York, NY 10005 
     Henry Gabbay, Treasurer    Independent Registered Public Accounting Firm 
     Bartholomew Battista, Chief Compliance Officer         Deloitte & Touche LLP 
     Anne Ackerley, Vice President         200 Berkeley Street 
     Kevin M. Klingert, Vice President         Boston, MA 02116
     Richard M. Shea, Vice President/Tax    Legal Counsel 
     James Kong, Assistant Treasurer         Skadden, Arps, Slate, Meagher & Flom LLP 
     Vincent B. Tritto, Secretary         Four Times Square 
     Brian P. Kindelan, Assistant Secretary         New York, NY 10036 
Investment Advisor    Legal Counsel – Independent Trustees 
     BlackRock Advisors, Inc.         Debevoise & Plimpton LLP 
     100 Bellevue Parkway         919 Third Avenue 
     Wilmington, DE 19809         New York, NY 10022 
                 227-7BFM     
Sub-Advisor3       This report is for shareholder information. This is not a prospec- 
     BlackRock Financial Management, Inc.    tus intended for use in the purchase or sale of Trust shares. 
     40 East 52nd Street   
Statements and other information contained in this report are as 
     New York, NY 10022   
dated and are subject to change. 
Accounting Agent and Custodian     
     State Street Bank and Trust Company    BlackRock Closed-End Funds 
     225 Franklin Street    c/o BlackRock Advisors, Inc. 
     Boston, MA 02110    100 Bellevue Parkway 
    Wilmington, DE 19809 
    (800)  227-7BFM

1      Trustee on the 2008 Trusts, Strategic Trusts, Insured Municipal Trust and Municipal Target Trust and an Advisory Trustee on the 2018 Trusts and 2020 Trusts. Appointed on January 19, 2005 for each Trust.
 
2      Appointed on November 16, 2004.
 
3      For the 2018 Trusts and 2020 Trusts.
 
4      For the Trusts, except the 2018 Trusts and 2020 Trusts.
 

The Trusts will mail only one copy of shareholder documents, including annual and semi-annual reports and proxy statements, to shareholders with multiple accounts at the same address. This practice is commonly called “householding” and is intended to reduce expenses and eliminate duplicate mailings of shareholder documents. Mailings of your shareholder documents may be householded indefinitely unless you instruct us otherwise. If you do not want the mailing of these documents to be combined with those for other members of your household, please contact the Trusts at (800) 699-1BFM.

The Trusts have delegated to the Advisor the voting of proxies relating to their voting securities pursuant to the Advisor’s proxy voting policies and procedures. You may obtain a copy of these proxy voting policies and procedures, without charge, by calling (800) 699-1BFM. These policies and procedures are also available on the website of the Securities and Exchange Commission (the “Commission”) at http://www.sec.gov.

Information on how proxies relating to the Trusts’ voting securities were voted (if any) by the Advisor during the most recent 12-month period ended December 31st is available, upon request, by calling (800) 699-1BFM or on the website of the Commission at http://www.sec.gov.


The Trusts file their complete schedule of portfolio holdings for the first and third quarters of their respective fiscal years with the Commission on Form N-Q. Each Trust’s Form N-Q will be available on the Commission’s website at http://www.sec.gov. Each Trust’s Form N-Q, when available, may be reviewed and copied at the Commission’s Public Reference Room in Washington, D.C. Information regarding the operation of the Public Reference Room may be obtained by calling (800) SEC-0330. Each Trust’s Form N-Q, when available, may also be obtained, upon request, by calling (800) 699-1BFM.


 

 

 

 

 

 

This report is for shareholder information. This is not a prospectus intended for    
use in the purchase or sale of Trust shares. Statements and other information    
contained in this report are as dated and are subject to change.    
   
CEF-ANN-4  


Item 2. Code of Ethics.
(a)      The Registrant has adopted a code of ethics (the "Code of Ethics") that applies to its principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions.

(b)      Not applicable.

(c)      The Registrant has not amended its Code of Ethics during the period covered by the shareholder report presented in Item 1 hereto.

(d)      The Registrant has not granted a waiver or an implicit waiver from a provision of its Code of Ethics during the period covered by the shareholder report presented in Item 1 hereto.

(e)      Not applicable.

(f)      The Registrant's Code of Ethics is attached as an Exhibit hereto.

Item 3. Audit Committee Financial Expert.
The Registrant's Board of Trustees has determined that it has two audit committee financial experts serving on its audit committee, each of whom is an "independent" Trustee: Dr. Andrew F. Brimmer and Mr. Kent Dixon. Under applicable securities laws, a person who is determined to be an audit committee financial expert will not be deemed an "expert" for any purpose, including without limitation for the purposes of Section 11 of the Securities Act of 1933, as a result of being designated or identified as an audit committee financial expert. The designation or identification of a person as an audit committee financial expert does not impose on such person any duties, obligations, or liabilities that are greater than the duties, obligations, and liabilities imposed on such person as a member of the audit committee and Board of Trustees in the absence of such designation or identification.

Item 4. Principal Accountant Fees and Services.
(a)       Audit Fees.      The aggregate fees billed for each of the last two fiscal years for professional services rendered by the principal accountant for the audit of the Registrant's annual financial statements or services that are normally provided by the accountant in connection with statutory and regulatory filings or engagements for those fiscal years were $29,600 for the fiscal year ended December 31, 2004 and $31,700 for the fiscal year ended December 31, 2003.

(b)       Audit-Related Fees.       The aggregate fees billed in each of the last two fiscal years for assurance and related services by the principal accountant that are reasonably related to the performance of the audit of the Registrant’s financial statements and are not


reported above in Item 4(a) were $2,400 for the fiscal year ended December 31, 2004 and $4,000 for the fiscal year ended December 31, 2003. The nature of these services was attest services not required by statute or regulation, overhead and out-of-pocket expenses.

(c)       Tax Fees.      The aggregate fees billed in each of the last two fiscal years for professional services rendered by the principal accountant for tax compliance, tax advice and tax planning were $7,300 for the fiscal year ended December 31, 2004 and $10,200 for the fiscal year ended December 31, 2003. The nature of these services was federal, state and local income and excise tax return preparation and related advice and planning and miscellaneous tax advice.

(d)       All Other Fees.       There were no fees billed in each of the last two fiscal years for products and services provided by the principal accountant, other than the services reported above in Items 4(a) through (c).

(e)       Audit Committee Pre-Approval Policies and Procedures.       
           (1) The Registrant has polices and procedures (the "Policy") for the pre-approval by the Registrant's Audit Committee of Audit, Audit-Related, Tax and Other Services (as each is defined in the Policy) provided by the Trust's independent auditor (the "Independent Auditor") to the Registrant and other "Covered Entities" (as defined below). The term of any such pre-approval is 12 months from the date of pre-approval, unless the Audit Committee specifically provides for a different period. The amount of any such pre-approval is set forth in the appendices to the Policy (the "Service Pre-Approval Documents"). At its first meeting of each calendar year, the Audit Committee will review and re-approve the Policy and approve or re-approve the Service Pre-Approval Documents for that year, together with any changes deemed necessary or desirable by the Audit Committee. The Audit Committee may, from time to time, modify the nature of the services pre-approved, the aggregate level of fees pre-approved or both.

           For the purposes of the Policy, "Covered Services" means (A) all engagements for audit and non-audit services to be provided by the Independent Auditor to the Trust and (B) all engagements for non-audit services related directly to the operations and financial reporting or the Trust to be provided by the Independent Auditor to any Covered Entity, "Covered Entities" means (1) the Advisor or (2) any entity controlling, controlled by or under common control with the Advisor that provides ongoing services to the Trust.

           In the intervals between the scheduled meetings of the Audit Committee, the Audit Committee delegates pre-approval authority under this Policy to the Chairman of the Audit Committee (the "Chairman"). The Chairman shall report any pre-approval decisions under this Policy to the Audit Committee at its next scheduled meeting. At each scheduled meeting, the Audit Committee will review with the Independent Auditor the Covered Services pre-approved by the Chairman pursuant to delegated authority, if any, and the fees related thereto. Based on these reviews, the Audit Committee can modify, at its discretion, the pre-approval originally granted by the Chairman pursuant to delegated authority. This modification can be to the nature of services pre-approved, the aggregate level of fees approved, or both. Pre-approval of Covered Services by the Chairman pursuant to delegated authority is expected to be the exception rather than the rule and the

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Audit Committee may modify or withdraw this delegated authority at any time the Audit Committee determines that it is appropriate to do so.

           Fee levels for all Covered Services to be provided by the Independent Auditor and pre-approved under this Policy will be established annually by the Audit Committee and set forth in the Service Pre-Approval Documents. Any increase in pre-approved fee levels will require specific pre-approval by the Audit Committee (or the Chairman pursuant to delegated authority).

     The terms and fees of the annual Audit services engagement for the Trust are subject to the specific pre-approval of the Audit Committee. The Audit Committee (or the Chairman pursuant to delegated authority) will approve, if necessary, any changes in terms, conditions or fees resulting from changes in audit scope, Trust structure or other matters.

           In addition to the annual Audit services engagement specifically approved by the Audit Committee, any other Audit services for the Trust not listed in the Service Pre-Approval Document for the respective period must be specifically pre-approved by the Audit Committee (or the Chairman pursuant to delegated authority).

           Audit-Related services are assurance and related services that are not required for the audit, but are reasonably related to the performance of the audit or review of the financial statements of the Registrant and, to the extent they are Covered Services, the other Covered Entities (as defined in the Joint Audit Committee Charter) or that are traditionally performed by the Independent Auditor. Audit-Related services that are Covered Services and are not listed in the Service Pre-Approval Document for the respective period must be specifically pre-approved by the Audit Committee (or the Chairman pursuant to delegated authority).

           The Audit Committee believes that the Independent Auditor can provide Tax services to the Covered Entities such as tax compliance, tax planning and tax advice without impairing the auditor’s independence. However, the Audit Committee will not permit the retention of the Independent Auditor in connection with a transaction initially recommended by the Independent Auditor, the sole business purpose of which may be tax avoidance and the tax treatment of which may not be supported in the Internal Revenue Code and related regulations. Tax services that are Covered Services and are not listed in the Service Pre-Approval Document for the respective period must be specifically pre-approved by the Audit Committee (or the Chairman pursuant to delegated authority).

           All Other services that are covered and are not listed in the Service Pre-Approval Document for the respective period must be specifically pre-approved by the Audit Committee (or the Chairman pursuant to delegated authority).

           Requests or applications to provide Covered Services that require approval by the Audit Committee (or the Chairman pursuant to delegated authority) must be submitted to the Audit Committee or the Chairman, as the case may be, by both the Independent Auditor and the Chief Financial Officer of the respective Covered Entity, and must include a joint statement as to whether, in their view, (a) the request or application is consistent with the rules of the Securities and Exchange Commission ("SEC") on auditor independence and (b) the requested service is or is not a non-audit service prohibited by the SEC. A request or application submitted to the Chairman between scheduled meetings of the Audit Committee should include a discussion as to why approval is being sought prior to the next regularly scheduled meeting of the Audit Committee.

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           (2) None of the services described in each of Items 4(b) through (d) were approved by the Audit Committee pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.

(f)      Not applicable.

(g)      The aggregate non-audit fees billed by the Trust's accountant for services rendered to the Trust, the Advisor (except for any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser) or any entity controlling, controlled by, or under common control with the Advisor that provides ongoing services to the registrant that directly impacted the Trust for each of the last two fiscal years were $9,700 for the fiscal year ended December 31, 2004 and $14,200 for the fiscal year ended December 31, 2003.

(h)      Not applicable.

Item 5. Audit Committee of Listed Registrants.
The Registrant has a separately-designated standing audit committee established in accordance with Section 3(a)(58)(A) of the Securities Exchange Act of 1934. The Audit Committee of the Registrant is comprised of: Dr. Andrew F. Brimmer; Richard E. Cavanagh; Kent Dixon and Frank Fabozzi.

Item 6. Schedule of Investments.
The Registrant’s Schedule of Investments is included as part of the Report to Shareholders filed under Item 1 of this form.

Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.
The Registrant has delegated the voting of proxies relating to its voting securities to its investment advisor, BlackRock Advisors, Inc. (the "Advisor") and its sub-advisor, BlackRock Financial Management, Inc. (the "Sub-Advisor"). The Proxy Voting Policies and Procedures of the Advisor and Sub-Advisor (the "Proxy Voting Policies") are attached as an Exhibit 99.PROXYPOL hereto.

Item 8. Portfolio Managers of Closed-End Management Investment Companies
Not applicable.

Item 9. Purchases of Equity Securities by Closed-End Management Companies and Affiliated Purchasers.
Not applicable.

Item 10. Submission of Matters to a Vote of Security Holders.
Not applicable.

Item 11. Controls and Procedures.

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(a) The Registrant's principal executive officer and principal financial officer have evaluated the Registrant's disclosure controls and procedures as of a date within 90 days of this filing and have concluded that the Registrant’s disclosure controls and procedures are effective, as of such date, in ensuring that information required to be disclosed by the registrant in this Form N-CSR was recorded, processed, summarized, and reported timely.

(b) The Registrant's principal executive officer and principal financial officer are aware of no changes in the Registrant's internal control over financial reporting that occurred during the Registrant's last fiscal half-year that has materially affected, or is reasonably likely to materially affect, the Registrant's internal control over financial reporting.

Item 12. Exhibits.

(a) (1) Code of Ethics attached as EX-99.CODE ETH.

(a) (2) Separate certifications of Principal Executive and Financial Officers pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 attached as EX-99.CERT.

(a) (3) Not applicable.

(b) Certification of Principal Executive and Financial Officers pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 furnished as EX-99.906CERT.

Proxy Voting Policies attached as EX-99.PROXYPOL.

 

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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) BlackRock Municipal 2018 Term Trust
 

 

By:   /s/ Henry Gabbay
 
Name:   Henry Gabbay
Title:   Treasurer
Date:   September 15, 2005

           Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

By:   /s/ Robert S. Kapito
 
Name:   Robert S. Kapito
Title:   Treasurer
Date:   September 15, 2005

 

By:   /s/ Henry Gabbay
 
Name:   Henry Gabbay
Title:   Principal Financial Officer
Date:   September 15, 2005

 

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