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, 2006_________________________________

Date of reporting period:
     December 31, 2006_________________________________


Item 1. Reports to Stockholders.
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

(BLACKROCK LOGO)

 

Closed-End Funds

 

 

 

 

 

ANNUAL REPORT | DECEMBER 31, 2006

 

 

 

 

 

 

 


 

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 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

 

 

Financial Statements

 

 

 

Portfolios of Investments

14

 

 

Statements of Assets and Liabilities

49

 

 

Statements of Operations

51

 

 

Statements of Changes in Net Assets

53

 

 

Financial Highlights

57

 

 

Notes to Financial Statements

69

 

 

Report of Independent Registered Public Accounting Firm

77

 

 

Dividend Reinvestment Plans

78

 

 

Investment Management Agreements

79

 

 

Additional Information

84

 

 

Directors/Trustees Information

87


BlackRock Privacy Principles

          BlackRock is committed to maintaining the privacy of its current and former fund investors and individual clients (collectively, “Clients”) and to safeguarding their nonpublic personal information. The following information is provided to help you understand what personal information BlackRock collects, how we protect that information and why in certain cases we share such information with select parties.

          If you are located in a jurisdiction where specific laws, rules or regulations require BlackRock to provide you with additional or different privacy-related rights beyond what is set forth below, then BlackRock will comply with those specific laws, rules or regulations.

          BlackRock obtains or verifies personal nonpublic information from and about you from different sources, including the following: (i) information we receive from you or, if applicable, your financial intermediary, on applications, forms or other documents; (ii) information about your transactions with us, our affiliates, or others; (iii) information we receive from a consumer reporting agency; and (iv) from visits to our Web sites.

          BlackRock does not sell or disclose to nonaffiliated third parties any nonpublic personal information about its Clients, except as permitted by law or as is necessary to service Client accounts. These nonaffiliated third parties are required to protect the confidentiality and security of this information and to use it only for its intended purpose.

          We may share information with our affiliates to service your account or to provide you with information about other BlackRock products or services that may be of interest to you. In addition, BlackRock restricts access to nonpublic personal information about its Clients to those BlackRock employees with a legitimate business need for the information. BlackRock maintains physical, electronic and procedural safeguards that are designed to protect the nonpublic personal information of its Clients, including procedures relating to the proper storage and disposal of such information.



LETTER TO SHAREHOLDERS

December 31, 2006

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 Trusts’ holdings.

          The portfolio management team continuously monitors the municipal bond market and adjusts the Trust investments 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, 2006.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


Trust (Ticker)

 

Current
Yield1

 

Tax-
Equivalent
Yield2

 

Closing
Market
Price

 

NAV

 


BlackRock Insured Municipal 2008 Term Trust (BRM)

 

 

 

5.12

%

 

 

 

7.88

%

 

$

15.53

 

$

15.42

 



















BlackRock Insured Municipal Term Trust (BMT)

 

 

 

3.74

 

 

 

 

5.75

 

 

 

9.77

 

 

10.28

 



















BlackRock Municipal 2018 Term Trust (BPK)

 

 

 

5.33

 

 

 

 

8.19

 

 

 

17.01

 

 

15.97

 



















BlackRock Municipal 2020 Term Trust (BKK)

 

 

 

5.04

 

 

 

 

7.76

 

 

 

15.77

 

 

15.77

 



















BlackRock Strategic Municipal Trust (BSD)

 

 

 

5.88

 

 

 

 

9.05

 

 

 

18.69

 

 

15.64

 



















BlackRock California Insured Municipal 2008 Term Trust (BFC)

 

 

 

5.04

 

 

 

 

7.75

 

 

 

15.34

 

 

15.41

 



















BlackRock California Municipal 2018 Term Trust (BJZ)

 

 

 

4.61

 

 

 

 

7.09

 

 

 

15.94

 

 

15.26

 



















BlackRock Florida Insured Municipal 2008 Term Trust (BRF)

 

 

 

3.12

 

 

 

 

4.80

 

 

 

14.42

 

 

14.83

 



















BlackRock Florida Municipal 2020 Term Trust (BFO)

 

 

 

4.42

 

 

 

 

6.80

 

 

 

13.85

 

 

15.16

 



















BlackRock New York Insured Municipal 2008 Term Trust (BLN)

 

 

 

3.67

 

 

 

 

5.65

 

 

 

14.90

 

 

15.42

 



















BlackRock New York Municipal 2018 Term Trust (BLH)

 

 

 

4.71

 

 

 

 

7.24

 

 

 

15.62

 

 

16.33

 



















BlackRock Pennsylvania Strategic Municipal Trust (BPS)

 

 

 

5.20

 

 

 

 

8.00

 

 

 

17.43

 

 

15.01

 




















 

 

1

Yields are based on closing market price. These yields may increase/decrease due to an increase/decrease in the monthly distribution per common share. Past performance does not guarantee future results.

 

 

2

Tax-equivalent yield assumes the maximum Federal tax rate of 35%.

          On September 29, 2006, BlackRock, Inc. (“BlackRock”) and Merrill Lynch Investment Managers, L.P. united to form one of the largest asset management firms in the world. Now with more than $1 trillion in assets under management, over 4,500 employees in 18 countries and representation in key markets worldwide, BlackRock’s global presence means greater depth and scale to serve you.

          BlackRock, a world leader in asset management, has a proven commitment to the municipal bond market. As of December 31, 2006, BlackRock managed over $37 billion in municipal bonds, including 14 open-end and 68 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, LLC, 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,

 

 

-s- Laurence D. Fink

-s- Ralph L. Schlosstein

 

 

Laurence D. Fink

Ralph L. Schlosstein

Chief Executive Officer

President

BlackRock Advisors, LLC

BlackRock Advisors, LLC

1



TRUST SUMMARIES
DECEMBER 31, 2006

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 12/31/06:

 

 

$

15.53

 

 








Net Asset Value as of 12/31/06:

 

 

$

15.42

 

 








Yield on Closing Market Price as of 12/31/06 ($15.53):1

 

 

 

5.12

%

 








Current Monthly Distribution per Common Share:2

 

 

$

0.066250

 

 








Current Annualized Distribution per Common Share:2

 

 

$

0.795000

 

 








Leverage as of 12/31/06:3

 

 

 

16

%

 









 

 

1

Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance does not guarantee future results.

 

 

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:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


 

 

 

12/31/06

 

 

12/31/05

 

Change

 

 

High

 

 

Low

 


















Market Price

 

$

15.53

 

$

15.30

 

1.50

%

 

$

15.75

 

$

15.02

 


















NAV

 

$

15.42

 

$

15.89

 

(2.96

)%

 

$

15.92

 

$

15.41

 


















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

Sector Breakdown

 

 

 

 

 

 

 

 

 

 

 

 









Sector

 

December 31, 2006

 

December 31, 2005

 


City, County & State

 

 

 

29

%

 

 

 

31

%

 













Power

 

 

 

29

 

 

 

 

24

 

 













Industrial & Pollution Control

 

 

 

11

 

 

 

 

9

 

 













Education

 

 

 

9

 

 

 

 

10

 

 













Transportation

 

 

 

8

 

 

 

 

6

 

 













Lease Revenue

 

 

 

7

 

 

 

 

7

 

 













Tax Revenue

 

 

 

3

 

 

 

 

6

 

 













Hospital

 

 

 

2

 

 

 

 

4

 

 













Water & Sewer

 

 

 

2

 

 

 

 

3

 

 













As of December 31, 2006 and 2005, 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, 2006

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 12/31/06:

 

 

$

9.77

 

 








Net Asset Value as of 12/31/06:

 

 

$

10.28

 

 





Yield on Closing Market Price as of 12/31/06 ($9.77):1

 

 

 

3.74

%

 








Current Monthly Distribution per Common Share:2

 

 

$

0.030417

 

 








Current Annualized Distribution per Common Share:2

 

 

$

0.365004

 

 








Leverage as of 12/31/06:3

 

 

 

39

%

 









 

 

1

Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance does not guarantee future results.

 

 

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:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


 

 

12/31/06

 

12/31/05

 

Change

 

High

 

Low

 


















Market Price

 

$

9.77

 

$

10.36

 

(5.69

)%

 

$

10.89

 

$

9.25

 


















NAV

 

$

10.28

 

$

10.51

 

(2.19

)%

 

$

10.53

 

$

10.14

 


















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

Sector Breakdown

 

 

 

 

 

 

 

 

 

 

 

 









Sector

 

December 31, 2006

 

December 31, 2005

 













City, County & State

 

 

 

33

%

 

 

 

32

%

 













Education

 

 

 

17

 

 

 

 

17

 

 













Water & Sewer

 

 

 

15

 

 

 

 

15

 

 













Power

 

 

 

13

 

 

 

 

13

 

 













Hospital

 

 

 

7

 

 

 

 

8

 

 













Transportation

 

 

 

7

 

 

 

 

7

 

 













Lease Revenue

 

 

 

6

 

 

 

 

6

 

 













Tax Revenue

 

 

 

2

 

 

 

 

2

 

 













As of December 31, 2006 and 2005, all long-term investments had ratings of AAA/Aaa by S&P, Moody’s or Fitch.

3



TRUST SUMMARIES
DECEMBER 31, 2006

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 12/31/06:

 

 

$

17.01

 

 








Net Asset Value as of 12/31/06:

 

 

$

15.97

 

 








Yield on Closing Market Price as of 12/31/06 ($17.01):1

 

 

 

5.33

%

 








Current Monthly Distribution per Common Share:2

 

 

$

0.07550

 

 








Current Annualized Distribution per Common Share:2

 

 

$

0.90600

 

 








Leverage as of 12/31/06:3

 

 

 

35

%

 









 

 

1

Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance does not guarantee future results.

 

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:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 












 

 

12/31/06

 

12/31/05

 

Change

 

High

 

Low

 













Market Price

 

 

$

17.01

 

 

 

$

15.71

 

 

8.27

%

 

 

$

17.50

 

 

 

$

15.10

 

 


























NAV

 

 

$

15.97

 

 

 

$

15.71

 

 

1.65

%

 

 

$

16.10

 

 

 

$

15.54

 

 


























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


Sector Breakdown

 

 

 

 

 

 

 

 

 

 

 

 







Sector

 

December 31, 2006

 

December 31, 2005

 







Hospital

 

 

 

23

%

 

 

 

24

%

 













Industrial & Pollution Control

 

 

 

23

 

 

 

 

22

 

 













City, County & State

 

 

 

21

 

 

 

 

22

 

 













Housing

 

 

 

11

 

 

 

 

12

 

 













Education

 

 

 

5

 

 

 

 

5

 

 













Transportation

 

 

 

5

 

 

 

 

5

 

 













Tax Revenue

 

 

 

4

 

 

 

 

4

 

 













Lease Revenue

 

 

 

3

 

 

 

 

3

 

 













Power

 

 

 

3

 

 

 

 

3

 

 













Tobacco

 

 

 

2

 

 

 

 

 

 














Credit Breakdown4

 

 

 

 

 

 

 

 

 

 

 

 













Credit Rating

 

December 31, 2006

 

December 31, 2005

 







AAA/Aaa

 

 

 

24

%

 

 

 

21

%

 













AA/Aa

 

 

 

10

 

 

 

 

5

 

 













A

 

 

 

22

 

 

 

 

25

 

 













BBB/Baa

 

 

 

28

 

 

 

 

28

 

 













BB/Ba

 

 

 

1

 

 

 

 

5

 

 













B

 

 

 

5

 

 

 

 

2

 

 













Not Rated5

 

 

 

10

 

 

 

 

14

 

 














 

 

4

Using the higher of S&P’s, Moody’s or Fitch’s ratings.

5

The investment advisor has deemed certain of these non-rated securities to be of investment grade quality. As of December 31, 2006, and December 31, 2005, the market value of these securities was $5,742,150 representing 1.5% and $23,429,928 representing 6.4%, respectively, of the Trust’s long-term investments.

4



TRUST SUMMARIES
DECEMBER 31, 2006

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 12/31/06:

 

 

$

15.77

 

 








Net Asset Value as of 12/31/06:

 

 

$

15.77

 

 








Yield on Closing Market Price as of 12/31/06 ($15.77):1

 

 

 

5.04

%

 








Current Monthly Distribution per Common Share:2

 

 

$

0.066250

 

 








Current Annualized Distribution per Common Share:2

 

 

$

0.795000

 

 








Leverage as of 12/31/06:3

 

 

 

36

%

 









 

 

1

Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance does not guarantee future results.

 

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:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

















 

 

12/31/06

 

12/31/05

 

Change

 

High

 

Low

 













Market Price

 

 

$

15.77

 

 

 

$

14.00

 

 

 

12.64%

 

 

$

15.80

 

 

 

$

14.00

 

 


























NAV

 

 

$

15.77

 

 

 

$

15.28

 

 

 

  3.21%

 

 

$

15.91

 

 

 

$

15.09

 

 


























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


Sector Breakdown

 

 

 

 

 

 

 

 

 

 

 

 









Sector

 

December 31, 2006

 

December 31, 2005

 







City, County & State

 

 

 

24

%

 

 

 

29

%

 













Hospital

 

 

 

17

 

 

 

 

17

 

 













Industrial & Pollution Control

 

 

 

17

 

 

 

 

16

 

 













Tobacco

 

 

 

11

 

 

 

 

5

 

 













Education

 

 

 

8

 

 

 

 

6

 

 













Housing

 

 

 

7

 

 

 

 

8

 

 













Power

 

 

 

6

 

 

 

 

4

 

 













Tax Revenue

 

 

 

5

 

 

 

 

4

 

 













Transportation

 

 

 

5

 

 

 

 

6

 

 













Lease Revenue

 

 

 

 

 

 

 

5

 

 














Credit Breakdown4

 

 

 

 

 

 

 

 

 

 

 

 













Credit Rating

 

December 31, 2006

 

December 31, 2005

 







AAA/Aaa

 

 

 

21

%

 

 

 

19

%

 













AA/Aa

 

 

 

8

 

 

 

 

5

 

 













A

 

 

 

16

 

 

 

 

15

 

 













BBB/Baa

 

 

 

35

 

 

 

 

41

 

 













BB/Ba

 

 

 

1

 

 

 

 

1

 

 













B

 

 

 

5

 

 

 

 

4

 

 













Not Rated

 

 

 

14

 

 

 

 

15

 

 














 

 

4

Using the higher of S&P’s, Moody’s or Fitch’s ratings.

5



TRUST SUMMARIES
DECEMBER 31, 2006

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 12/31/06:

 

 

$

18.69

 

 








Net Asset Value as of 12/31/06:

 

 

$

15.64

 

 








Yield on Closing Market Price as of 12/31/06 ($18.69):1

 

 

 

5.88

%

 








Current Monthly Distribution per Common Share:2

 

 

$

0.091625

 

 








Current Annualized Distribution per Common Share:2

 

 

$

1.099500

 

 








Leverage as of 12/31/06:3

 

 

 

35

%

 









 

 

1

Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance does not guarantee future results.

 

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:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

















 

 

12/31/06

 

12/31/05

 

Change

 

High

 

Low

 













Market Price

 

 

$

18.69

 

 

 

$

17.14

 

 

 

9.04

%

 

 

 

$

19.95

 

 

 

$

15.75

 

 




























NAV

 

 

$

15.64

 

 

 

$

15.68

 

 

 

(0.26

)%

 

 

 

$

15.87

 

 

 

$

15.24

 

 




























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


Sector Breakdown

 

 

 

 

 

 

 

 

 

 

 

 













Sector

 

December 31, 2006

 

December 31, 2005

 







City, County & State

 

 

 

24

%

 

 

 

15

%

 













Hospital

 

 

 

20

 

 

 

 

14

 

 













Industrial & Pollution Control

 

 

 

19

 

 

 

 

23

 

 













Power

 

 

 

8

 

 

 

 

10

 

 













Transportation

 

 

 

7

 

 

 

 

6

 

 













Education

 

 

 

6

 

 

 

 

9

 

 













Housing

 

 

 

6

 

 

 

 

7

 

 













Tax Revenue

 

 

 

6

 

 

 

 

5

 

 













Water & Sewer

 

 

 

4

 

 

 

 

5

 

 













Lease Revenue

 

 

 

 

 

 

 

5

 

 













Other

 

 

 

 

 

 

 

1

 

 














Credit Breakdown4

 

 

 

 

 

 

 

 

 

 

 

 







Credit Rating

 

December 31, 2006

 

December 31, 2005

 







AAA/Aaa

 

 

 

47

%

 

 

 

48

%

 













AA/Aa

 

 

 

17

 

 

 

 

15

 

 













A

 

 

 

7

 

 

 

 

11

 

 













BBB/Baa

 

 

 

15

 

 

 

 

12

 

 













BB/Ba

 

 

 

3

 

 

 

 

4

 

 













B

 

 

 

4

 

 

 

 

5

 

 













Not Rated5

 

 

 

7

 

 

 

 

5

 

 














 

 

4

Using the higher of S&P’s, Moody’s or Fitch’s ratings.

5

The investment advisor has deemed certain of these non-rated securities to be of investment grade quality. As of December 31, 2006, and December 31, 2005, the market value of these securities was $1,007,720 representing 0.6% and $998,610 representing 0.6%, respectively, of the Trust’s long-term investments.

6



TRUST SUMMARIES
DECEMBER 31, 2006

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 12/31/06:

 

 

$

15.34

 

 








Net Asset Value as of 12/31/06:

 

 

$

15.41

 

 








Yield on Closing Market Price as of 12/31/06 ($15.34):1

 

 

 

5.04

%

 








Current Monthly Distribution per Common Share:2

 

 

$

0.064375

 

 








Current Annualized Distribution per Common Share:2

 

 

$

0.772500

 

 









 

 

1

Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance does not guarantee future results.

 

2

The distribution is not constant and is subject to change.

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

 

















 

 

12/31/06

 

12/31/05

 

Change

 

High

 

Low

 













Market Price

 

$

15.34

 

$

15.31

 

0.20

%

 

$

15.84

 

$

15.05

 


















NAV

 

$

15.41

 

$

15.86

 

(2.84

)%

 

$

15.92

 

$

15.36

 


















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


Sector Breakdown

 

 

 

 

 

 

 

 

 

 

 

 







Sector

 

December 31, 2006

 

December 31, 2005

 







Lease Revenue

 

 

 

26

%

 

 

 

20

%

 













City, County & State

 

 

 

22

 

 

 

 

21

 

 













Power

 

 

 

22

 

 

 

 

19

 

 













Tax Revenue

 

 

 

14

 

 

 

 

8

 

 













Education

 

 

 

10

 

 

 

 

12

 

 













Water & Sewer

 

 

 

5

 

 

 

 

10

 

 













Hospital

 

 

 

1

 

 

 

 

1

 

 













Resource Recovery

 

 

 

 

 

 

 

5

 

 













Transportation

 

 

 

 

 

 

 

4

 

 













As of December 31, 2006 and 2005, all long-term investments had ratings of AAA/Aaa by S&P, Moody’s or Fitch.

7



TRUST SUMMARIES
DECEMBER 31, 2006

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 12/31/06:

 

 

$

15.94

 

 








Net Asset Value as of 12/31/06:

 

 

$

15.26

 

 








Yield on Closing Market Price as of 12/31/06 ($15.94):1

 

 

 

4.61

%

 








Current Monthly Distribution per Common Share:2

 

 

$

0.061250

 

 








Current Annualized Distribution per Common Share:2

 

 

$

0.735000

 

 








Leverage as of 12/31/06:3

 

 

 

36

%

 









 

 

1

Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance does not guarantee future results.

 

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:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

















 

 

12/31/06

 

12/31/05

 

Change

 

High

 

Low

 













Market Price

 

$

15.94

 

$

15.19

 

4.94

%

 

$

15.98

 

$

14.90

 


















NAV

 

$

15.26

 

$

15.21

 

0.33

%

 

$

15.39

 

$

14.94

 


















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


Sector Breakdown

 

 

 

 

 

 

 

 

 

 

 

 









Sector

 

December 31, 2006

 

December 31, 2005

 







City, County & State

 

 

 

21

%

 

 

 

21

%

 













Transportation

 

 

 

19

 

 

 

 

19

 

 













Hospital

 

 

 

14

 

 

 

 

14

 

 













Lease Revenue

 

 

 

14

 

 

 

 

15

 

 













Industrial & Pollution Control

 

 

 

9

 

 

 

 

7

 

 













Education

 

 

 

8

 

 

 

 

8

 

 













Housing

 

 

 

6

 

 

 

 

7

 

 













Power

 

 

 

5

 

 

 

 

5

 

 













Water & Sewer

 

 

 

4

 

 

 

 

4

 

 














Credit Breakdown4

 

 

 

 

 

 

 

 

 

 

 

 









Credit Rating

 

December 31, 2006

 

December 31, 2005

 







AAA/Aaa

 

 

 

40

%

 

 

 

37

%

 













AA/Aa

 

 

 

3

 

 

 

 

4

 

 













A

 

 

 

29

 

 

 

 

35

 

 













BBB/Baa

 

 

 

25

 

 

 

 

21

 

 













Not Rated

 

 

 

3

 

 

 

 

3

 

 














 

 

4

Using the higher of S&P’s, Moody’s or Fitch’s ratings.

8


TRUST SUMMARIES
DECEMBER 31, 2006

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 12/31/06:

 

 

$

14.42

 

 








Net Asset Value as of 12/31/06:

 

 

$

14.83

 

 








Yield on Closing Market Price as of 12/31/06 ($14.42):1

 

 

 

3.12

%

 








Current Monthly Distribution per Common Share:2

 

 

$

0.0375

 

 








Current Annualized Distribution per Common Share:2

 

 

$

0.4500

 

 









 

 

1

Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance does not guarantee future results.

 

 

2

The distribution is not constant and is subject to change.

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

 

 

 

 

 

 

 

 

 

 

 

 











 

 

12/31/06

 

12/31/05

 

Change

 

High

 

Low












 

 

 

 

 

 

 

 

 

 

 

Market Price

 

$14.42

 

$15.11

 

(4.57)%

 

$15.52

 

$13.75












NAV

 

$14.83

 

$15.04

 

(1.40)%

 

$15.07

 

$14.68












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

Sector Breakdown

 

 

 

 

 

 







Sector

 

December 31, 2006

 

December 31, 2005

 







Tax Revenue

 

41

%

 

36

%

 









City, County & State

 

17

 

 

10

 

 









Education

 

12

 

 

12

 

 









Power

 

12

 

 

16

 

 









Transportation

 

7

 

 

5

 

 









Resource Recovery

 

6

 

 

4

 

 









Water & Sewer

 

4

 

 

4

 

 









Other

 

1

 

 

 

 









Lease Revenue

 

 

 

13

 

 









As of December 31, 2006 and 2005, all long-term investments had ratings of AAA/Aaa by S&P, Moody’s or Fitch.

9


TRUST SUMMARIES
DECEMBER 31, 2006

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 12/31/06:

 

 

$

13.85

 

 








Net Asset Value as of 12/31/06:

 

 

$

15.16

 

 








Yield on Closing Market Price as of 12/31/06 ($13.85):1

 

 

 

4.42

%

 








Current Monthly Distribution per Common Share:2

 

 

$

0.0510

 

 








Current Annualized Distribution per Common Share:2

 

 

$

0.6120

 

 








Leverage as of 12/31/06:3

 

 

 

37

%

 









 

 

1

Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance does not guarantee future results.

 

 

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:

 

 

 

 

 

 

 

 

 

 

 

 











 

 

12/31/06

 

12/31/05

 

Change

 

High

 

Low












Market Price

 

$13.85

 

$13.35

 

3.75%

 

$14.55

 

$12.92












NAV

 

$15.16

 

$14.90

 

1.74%

 

$15.25

 

$14.69












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

Sector Breakdown

 

 

 

 

 

 







Sector

 

December 31, 2006

 

December 31, 2005

 







City, County & State

 

25

%

 

26

%

 









Water & Sewer

 

18

 

 

18

 

 









Tobacco

 

11

 

 

10

 

 









Education

 

10

 

 

10

 

 









Power

 

10

 

 

10

 

 









Tax Revenue

 

8

 

 

7

 

 









Hospital

 

6

 

 

6

 

 









Industrial & Pollution Control

 

5

 

 

5

 

 









Lease Revenue

 

4

 

 

5

 

 









Transportation

 

3

 

 

3

 

 










Credit Breakdown4

 

 

 

 

 

 







Credit Rating

 

December 31, 2006

 

December 31, 2005

 







AAA/Aaa

 

59

%

 

58

%

 









AA/Aa

 

1

 

 

1

 

 









A

 

4

 

 

4

 

 









BBB/Baa

 

16

 

 

17

 

 









BB/Ba

 

2

 

 

2

 

 









Not Rated5

 

18

 

 

18

 

 










 

 

4

Using the higher of S&P’s, Moody’s or Fitch’s ratings.

 

 

5

The investment advisor has deemed certain of these non-rated securities to be of investment grade quality. As of December 31, 2006, and December 31, 2005, the market value of these securities was $2,115,580 representing 1.7% and $2,124,960 representing 1.7%, respectively, of the Trust’s long-term investments.

10


TRUST SUMMARIES
DECEMBER 31, 2006

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 12/31/06:

 

 

$

14.90

 

 








Net Asset Value as of 12/31/06:

 

 

$

15.42

 

 








Yield on Closing Market Price as of 12/31/06 ($14.90):1

 

 

 

3.67

%

 








Current Monthly Distribution per Common Share:2

 

 

$

0.0456

 

 








Current Annualized Distribution per Common Share:2

 

 

$

0.5472

 

 









 

 

1

Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance does not guarantee future results.

 

 

2

The distribution is not constant and is subject to change.

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

 

 

 

 

 

 

 

 

 

 

 

 











 

 

12/31/06

 

12/31/05

 

Change

 

High

 

Low












Market Price

 

$14.90

 

$15.30

 

(2.61)%

 

$15.60

 

$14.60












NAV

 

$15.42

 

$15.73

 

(1.97)%

 

$15.77

 

$15.31












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

Sector Breakdown

 

 

 

 

 

 







Sector

 

December 31, 2006

 

December 31, 2005

 







Transportation

 

25

%

 

26

%

 









Education

 

19

 

 

20

 

 









Water & Sewer

 

15

 

 

11

 

 









City, County & State

 

10

 

 

17

 

 









Hospital

 

9

 

 

8

 

 









Power

 

8

 

 

6

 

 









Tax Revenue

 

7

 

 

6

 

 









Lease Revenue

 

4

 

 

3

 

 









Housing

 

3

 

 

3

 

 









As of December 31, 2006 and 2005, all long-term investments had ratings of AAA/Aaa by S&P, Moody’s or Fitch.

11


TRUST SUMMARIES
DECEMBER 31, 2006

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 12/31/06:

 

 

$

15.62

 

 








Net Asset Value as of 12/31/06:

 

 

$

16.33

 

 








Yield on Closing Market Price as of 12/31/06 ($15.62):1

 

 

 

4.71

%

 








Current Monthly Distribution per Common Share:2

 

 

$

0.061250

 

 








Current Annualized Distribution per Common Share:2

 

 

$

0.735000

 

 








Leverage as of 12/31/06:3

 

 

 

35

%

 









 

 

1

Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance does not guarantee future results.

 

 

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:

 











 

 

12/31/06

 

12/31/05

 

Change

 

High

 

Low












Market Price

 

$15.62

 

$15.15

 

3.10%

 

$15.94

 

$15.00












NAV

 

$16.33

 

$16.11

 

1.37%

 

$16.43

 

$15.98












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

Sector Breakdown

 

 

 

 

 

 







Sector

 

December 31, 2006

 

December 31, 2005

 







Education

 

22

%

 

22

%

 









Hospital

 

16

 

 

17

 

 









City, County & State

 

11

 

 

11

 

 









Tobacco

 

11

 

 

10

 

 









Transportation

 

11

 

 

11

 

 









Lease Revenue

 

10

 

 

10

 

 









Industrial & Pollution Control

 

7

 

 

7

 

 









Tax Revenue

 

6

 

 

6

 

 









Housing

 

5

 

 

5

 

 









Power

 

1

 

 

1

 

 










Credit Breakdown4

 

 

 

 

 

 







Credit Rating

 

December 31, 2006

 

December 31, 2005

 







AAA/Aaa

 

39

%

 

35

%

 









AA/Aa

 

37

 

 

26

 

 









A

 

9

 

 

21

 

 









BBB/Baa

 

10

 

 

13

 

 









B

 

2

 

 

1

 

 









CCC/Caa

 

3

 

 

3

 

 









Not Rated

 

 

 

1

 

 










 

 

4

Using the higher of S&P’s, Moody’s or Fitch’s ratings.

12


TRUST SUMMARIES
DECEMBER 31, 2006

BlackRock Pennsylvania Strategic Municipal Trust (BPS)

 


Trust Information

 

 

 

 

 

 

 





Symbol on American Stock Exchange:

 

 

BPS

 

 





Initial Offering Date:

 

 

August 25, 1999

 

 





Closing Market Price as of 12/31/06:

 

 

$

17.43

 

 








Net Asset Value as of 12/31/06:

 

 

$

15.01

 

 








Yield on Closing Market Price as of 12/31/06 ($17.43):1

 

 

 

5.20

%

 








Current Monthly Distribution per Common Share:2

 

 

$

0.0755

 

 








Current Annualized Distribution per Common Share:2

 

 

$

0.9060

 

 








Leverage as of 12/31/06:3

 

 

 

37

%

 









 

 

1

Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance does not guarantee future results.

 

 

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:

 

 

 

 

 

 

 

 

 

 

 

 











 

 

12/31/06

 

12/31/05

 

Change

 

High

 

Low












Market Price

 

$17.43

 

$15.85

 

9.97%

 

$18.40

 

$15.15












NAV

 

$15.01

 

$15.27

 

(1.70)%

 

$15.30

 

$14.97












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

Sector Breakdown

 

 

 

 

 

 







Sector

 

December 31, 2006

 

December 31, 2005

 







Education

 

29

%

 

24

%

 









Water & Sewer

 

15

 

 

9

 

 









Transportation

 

15

 

 

23

 

 









Hospital

 

9

 

 

15

 

 









Housing

 

9

 

 

12

 

 









City, County & State

 

8

 

 

2

 

 









Lease Revenue

 

6

 

 

6

 

 









Industrial & Pollution Control

 

5

 

 

6

 

 









Other

 

2

 

 

 

 









Power

 

2

 

 

3

 

 










Credit Breakdown4

 

 

 

 

 

 







Credit Rating

 

December 31, 2006

 

December 31, 2005

 







AAA/Aaa

 

61

%

 

61

%

 









AA/Aa

 

11

 

 

7

 

 









A

 

17

 

 

21

 

 









BBB/Baa

 

8

 

 

8

 

 









Not Rated

 

3

5

 

3

 

 










 

 

4

Using the higher of S&P’s, Moody’s or Fitch’s ratings.

 

 

5

The investment advisor has deemed certain of these non-rated securities to be of investment grade quality. As of December 31, 2006, the market value of these securities was $1,007,720 representing 2.1% of the Trust’s long-term investments.

13



PORTFOLIO OF INVESTMENTS
DECEMBER 31, 2006

BlackRock Insured Municipal 2008 Term Trust (BRM)

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Option Call
Provisions2
(Unaudited)

 

 

Value

 












 

 

 

 

 

 

 

LONG-TERM INVESTMENTS—108.1%

 

 

 

 

 

 

 

 

 

 

 

 

 

Alabama—1.6%

 

 

 

 

 

 

AAA

 

 

$

6,555

 

 

Birmingham Jefferson Civic Ctr. Auth. ST, Ser. A, 4.25%, 1/01/09, FSA

 

No Opt. Call

 

$

6,632,939

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Arizona—2.2%

 

 

 

 

 

 

AAA

 

 

 

4,000

 

 

Chandler, Ad Valorem Ppty. Tax GO, Zero Coupon, 7/01/08, FGIC

 

No Opt. Call

 

 

3,785,760

 

AAA

 

 

 

1,000

 

 

City of Phoenix, Misc. Tax RB, Str. & Hwy. Proj., 4.25%, 7/01/09, FGIC

 

No Opt. Call

 

 

1,015,680

 

AAA

 

 

 

4,200

 

 

Pima Cnty., Hwy Impvt. Misc. RB, Str. & Hwy. Proj., 4.125%, 7/01/09, FGIC

 

07/08 @ 101

 

 

4,253,382

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

9,054,822

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

California—2.4%

 

 

 

 

 

 

 

 

 

 

 

 

 

Dept. of Wtr. Recs., Cash Flow Mgmt. Elec., Pwr. & Lt. RB,

 

 

 

 

 

 

AAA

 

 

 

5,000

 

 

Ser. A, 3.125%, 5/01/08, FSA

 

No Opt. Call

 

 

4,973,850

 

AAA

 

 

 

5,000

 

 

Ser. A, 3.375%, 5/01/09, MBIA

 

No Opt. Call

 

 

4,981,500

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

9,955,350

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Colorado—2.5%

 

 

 

 

 

 

AAA

 

 

 

2,000

 

 

E-470 Pub. Hwy. Auth., Hwy. Tolls RB, Ser. B, Zero Coupon, 9/01/11, MBIA

 

No Opt. Call

 

 

1,675,140

 

AAA

 

 

 

1,000

 

 

City of Thornton, Pub. Impvts. Lease Appropriation COP, 3.25%, 12/01/08, AMBAC

 

No Opt. Call

 

 

991,890

 

AAA

 

 

 

1,000

 

 

Cnty. of El Paso, Correctional Fac. Impvts. Lease Appropriation COP, Detention Fac. Proj.,

 

 

 

 

 

 

 

 

 

 

 

 

 

Ser. B, 3.20%, 12/01/08, AMBAC

 

No Opt. Call

 

 

990,930

 

AAA

 

 

 

6,965

 

 

Regl. Transp. Dist., Trans. Impvts. Lease Appropriation COP, Transp. Vehicles Proj.,

 

 

 

 

 

 

 

 

 

 

 

 

 

Ser. A, 5.00%, 6/01/08, MBIA

 

06/07 @ 101

 

 

7,071,982

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

10,729,942

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Delaware—0.1%

 

 

 

 

 

 

AAA

 

 

 

650

 

 

Delaware River & Bay Auth., Pub. Impvt. Port, Arpt. & Marina RB, 3.25%, 1/01/09, MBIA

 

No Opt. Call

 

 

644,891

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

District of Columbia—3.1%

 

 

 

 

 

 

 

 

 

 

 

 

 

Dist. of Columbia, Ad Valorem Ppty. Tax GO,

 

 

 

 

 

 

AAA

 

 

 

195

3

 

Ser. B, 5.50%, 6/01/09, FSA

 

ETM

 

 

203,652

 

AAA

 

 

 

2,605

 

 

Ser. B, 5.50%, 6/01/09, FSA

 

No Opt. Call

 

 

2,714,436

 

AAA

 

 

 

10,000

 

 

Ser. B-1, 5.50%, 6/01/08, AMBAC

 

No Opt. Call

 

 

10,255,200

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

13,173,288

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Florida—1.4%

 

 

 

 

 

 

AAA

 

 

 

2,280

 

 

Broward Cnty. Sch. Brd., Sch. Impvts. Lease Renewal COP, Ser. B, 4.25%, 7/01/09, FSA

 

No Opt. Call

 

 

2,309,731

 

AAA

 

 

 

2,080

 

 

City of Tampa, Wtr. RB, 5.50%, 10/01/08, FSA

 

No Opt. Call

 

 

2,147,600

 

AAA

 

 

 

1,300

 

 

Town of Palm Beach, Misc. RB, Restoration Proj., Ser. A, 5.00%, 1/01/09, FSA

 

No Opt. Call

 

 

1,334,905

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

5,792,236

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Georgia—6.1%

 

 

 

 

 

 

AAA

 

 

 

5,000

 

 

Georgia GO, Ser. E, 5.25%, 2/01/10

 

No Opt. Call

 

 

5,243,150

 

AAA

 

 

 

20,000

 

 

Monroe Cnty. Dev. Auth., Indl. PCRB, Georgia Pwr. Co. Proj., 4.20%, 1/01/12, AMBAC

 

No Opt. Call

 

 

20,188,200

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

25,431,350

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Hawaii—2.7%

 

 

 

 

 

 

AAA

 

 

 

4,750

 

 

City & Cnty. of Honolulu, Ad Valorem Ppty. Tax GO, Ser. E, 4.00%, 7/01/08, FGIC

 

No Opt. Call

 

 

4,778,310

 

AAA

 

 

 

6,510

 

 

Hawaii GO, Ser. CY, 4.00%, 2/01/09, FSA

 

No Opt. Call

 

 

6,559,151

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

11,337,461

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Illinois—11.8%

 

 

 

 

 

 

AAA

 

 

 

3,105

3

 

Chicago Pub. Bldg. Comm., Sch. Impvt. Ad Valorem Ppty. Tax RB, Ser. A, Zero Coupon, 1/01/07, MBIA

 

ETM

 

 

3,104,379

 

AAA

 

 

 

2,000

 

 

Cook Cnty. Sch. Dist. No. 25, Ad Valorem Ppty. Tax GO, Arlington Heights Proj., 4.50%, 12/01/08, FSA

 

No Opt. Call

 

 

2,033,100

 

 

 

 

 

 

 

 

Cook Cnty. High Sch. Dist. No. 201, Cash Flow Mgmt. Ad Valorem Ppty. Tax GO,

 

 

 

 

 

 

AAA

 

 

 

1,175

3

 

J. Sterling Morton Twnshp. Proj., Zero Coupon, 12/01/09, FGIC

 

ETM

 

 

1,055,326

 

AAA

 

 

 

4,805

 

 

J. Sterling Morton Twnshp. Proj., Zero Coupon, 12/01/09, FGIC

 

No Opt. Call

 

 

4,309,412

 

AAA

 

 

 

8,985

 

 

Du Page Cnty. Forest Presvtn. Dist., Pub. Impvts. Ad Valorem Ppty. Tax GO, Zero Coupon, 11/01/08

 

No Opt. Call

 

 

8,400,256

 

AAA

 

 

 

13,000

 

 

Fin. Auth., Gas Sply. RB, Peoples Gas, Lt. & Coke Proj., 3.05%, 2/01/33, AMBAC

 

No Opt. Call

 

 

12,898,080

 

AAA

 

 

 

6,750

 

 

Illinois, Pub. Impvts. GO, Ser. 1, 3.50%, 7/01/08, MBIA

 

No Opt. Call

 

 

6,741,158

 

See Notes to Financial Statements.

14



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

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Option Call
Provisions2
(Unaudited)

 

Value

 











 

 

 

 

 

 

 

Illinois—(cont’d)

 

 

 

 

 

 

AAA

 

 

$

1,455

 

 

Kane & Du Page Cntys. Cmnty. Unit Sch. Dist. No. 303, Sch. Impvts. Ad Valorem Ppty.

 

 

 

 

 

 

 

 

 

 

 

 

 

Tax GO, Ser. A, 3.75%, 1/01/09, FSA

 

No Opt. Call

 

$

1,458,347

 

 

 

 

 

 

 

 

Met. Pier & Expo. Auth.,

 

 

 

 

 

 

AAA

 

 

 

8,385

3

 

Pub. Impvts. Misc. Tax RB, McCormick Place Expansion Proj., Zero Coupon, 6/15/08, FGIC

 

ETM

 

 

7,949,902

 

AAA

 

 

 

215

 

 

Pub. Impvts. Misc. Tax RB, McCormick Place Expansion Proj., Zero Coupon, 6/15/08, FGIC

 

No Opt. Call

 

 

203,874

 

AAA

 

 

 

1,570

3

 

Student Loans Lease Abatement RB, McCormick Place Expansion Proj., Ser. A, Zero Coupon, 6/15/08, FGIC

 

ETM

 

 

1,488,533

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

49,642,367

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Kansas—0.2%

 

 

 

 

 

 

AAA

 

 

 

1,000

 

 

Dev. Fin. Auth., Wtr. Util. Impvt. Wtr. RB, Pub. Wtr. Sply. Proj., 4.00%, 4/01/09, AMBAC

 

No Opt. Call

 

 

1,008,550

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Kentucky—0.9%

 

 

 

 

 

 

AAA

 

 

 

3,890

 

 

Owensboro, Elec., Lt. & Pwr. Impvt. RB, Ser. B, Zero Coupon, 1/01/09, AMBAC

 

No Opt. Call

 

 

3,611,554

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Michigan—4.1%

 

 

 

 

 

 

AAA

 

 

 

6,315

 

 

Detroit City Sch. Dist., Sch. Impvts. Ad Valorem Ppty. Tax GO, Sch. Bldg. & Site Impvt. Proj.,

 

 

 

 

 

 

 

 

 

 

 

 

 

Ser. A, 4.00%, 5/01/09, FGIC

 

No Opt. Call

 

 

6,362,489

 

AAA

 

 

 

1,665

3

 

Detroit, Pub. Impvts. Ad Valorem Ppty. Tax GO, 3.50%, 4/01/09, MBIA

 

ETM

 

 

1,658,856

 

AAA

 

 

 

3,000

 

 

Trunk Line, Hwy. Impvt. Misc. RB, Ser. A, 4.125%, 11/01/08, FSA

 

No Opt. Call

 

 

3,028,740

 

AAA

 

 

 

2,695

 

 

West Ottawa Pub. Sch. Dist., Ad Valorem Ppty. Tax GO, Ser. B, 3.50%, 5/01/09, FGIC

 

No Opt. Call

 

 

2,688,317

 

AAA

 

 

 

2,000

 

 

Western Twnshps. Util. Auth., Swr. Impvts. Ad Valorem Ppty. Tax GO, 5.00%, 1/01/09, FGIC

 

No Opt. Call

 

 

2,053,320

 

AAA

 

 

 

1,485

 

 

Wyandotte, Elec., Pwr. & Lt. RB, 6.25%, 10/01/08, MBIA

 

No Opt. Call

 

 

1,524,174

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

17,315,896

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Mississippi—0.5%

 

 

 

 

 

 

AAA

 

 

 

2,175

 

 

De Soto Cnty. Sch. Dist., Ad Valorem Ppty. Tax GO, 3.25%, 2/01/09, FSA

 

No Opt. Call

 

 

2,154,599

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Nevada—1.2%

 

 

 

 

 

 

 

 

 

 

 

 

 

Director of the State of Nevada, Dept. of Bus. & Ind. Transit Impvts. RB, Las Vegas Monorail Proj.,

 

 

 

 

 

 

AAA

 

 

 

2,085

 

 

Zero Coupon, 1/01/09, AMBAC

 

No Opt. Call

 

 

1,934,901

 

AAA

 

 

 

3,585

 

 

Zero Coupon, 1/01/10, AMBAC

 

No Opt. Call

 

 

3,199,612

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

5,134,513

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

New Jersey—0.7%

 

 

 

 

 

 

AAA

 

 

 

1,000

 

 

Monmouth Cnty. Impvt. Auth., Misc. RB, 5.00%, 12/01/08, FSA

 

No Opt. Call

 

 

1,026,310

 

AAA

 

 

 

1,750

 

 

Transp. Trust Fund Auth., Transit Impvt. RB, Ser. C, 5.25%, 12/15/08, AMBAC

 

No Opt. Call

 

 

1,804,513

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

2,830,823

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

New Mexico—0.6%

 

 

 

 

 

 

AAA

 

 

 

2,455

 

 

Fin. Auth., Pub. Impvt. Misc. RB, Ser. A, 3.80%, 6/01/08, MBIA

 

No Opt. Call

 

 

2,462,365

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

New York—9.3%

 

 

 

 

 

 

AAA

 

 

 

15,500

 

 

City of New York, Ad Valorem Ppty. Tax GO, Ser. E, 6.20%, 8/01/07, MBIA

 

No Opt. Call

 

 

15,732,810

 

AAA

 

 

 

15,915

 

 

New York GO, Ser. F, 5.25%, 9/15/09, MBIA

 

09/08 @ 101

 

 

16,490,486

 

AAA

 

 

 

4,000

 

 

Port Auth. of New York & New Jersey, Port, Arpt. & Marina RB, Ser. 129, 2.875%, 11/01/08, FSA

 

No Opt. Call

 

 

3,933,360

 

AAA

 

 

 

2,715

 

 

Thruway Auth., Misc. RB, Local Hwy. & Brdg. Proj., Ser. A, 5.40%, 1/01/09, MBIA

 

01/07 @ 100

 

 

2,718,937

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

38,875,593

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

North Carolina—8.1%

 

 

 

 

 

 

 

 

 

 

 

 

 

Eastn. Mun. Pwr. Agcy., Elec., Pwr. & Lt. RB,

 

 

 

 

 

 

AAA

 

 

 

13,500

 

 

Ser. B, 6.125%, 1/01/09, FGIC

 

No Opt. Call

 

 

14,137,875

 

AAA

 

 

 

5,000

 

 

Ser. B, 7.00%, 1/01/08, CAPMAC

 

No Opt. Call

 

 

5,162,400

 

AAA

 

 

 

14,675

 

 

Ser. B, 7.25%, 1/01/07, CAPMAC

 

No Opt. Call

 

 

14,677,788

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

33,978,063

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Oregon—1.5%

 

 

 

 

 

 

AAA

 

 

 

2,905

 

 

Dept. of Admin. Svcs., Lease Appropriation COP, 5.00%, 11/01/08, FSA

 

No Opt. Call

 

 

2,975,562

 

AAA

 

 

 

1,285

 

 

Lane Cnty. Sch. Dist. No. 4, Ad Valorem Ppty. Tax GO, J. Eugene Proj., 3.00%, 1/01/09, FSA

 

No Opt. Call

 

 

1,265,057

 

AAA

 

 

 

2,000

 

 

Washington & Clackamas Cntys. Sch. Dist. No. 23, Sch. Impvts. Ad Valorem Ppty. Tax GO, J. Tigard Proj., 3.75%, 6/15/08, MBIA

 

No Opt. Call

 

 

2,005,060

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

6,245,679

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Pennsylvania—10.0%

 

 

 

 

 

 

AAA

 

 

 

1,500

 

 

Bristol Twnshp. Sch. Dist., Sch. Impvts. Ad Valorem Ppty. Tax GO, 4.25%, 2/15/09, FGIC

 

No Opt. Call

 

 

1,519,440

 

AAA

 

 

 

3,175

 

 

City of Philadelphia, Pub. Impvts. Ad Valorem Ppty. Tax GO, 4.10%, 9/15/08, FSA

 

No Opt. Call

 

 

3,200,464

 

See Notes to Financial Statements.

15



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

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Option Call
Provisions2
(Unaudited)

 

Value

 











 

 

 

 

 

 

 

Pennsylvania—(cont’d)

 

 

 

 

 

 

 

 

 

 

 

 

 

Dauphin Cnty. Gen. Auth., Hlth., Hosp. & Nursing Home RB, HAPSCO-Western Pennsylvania Hosp. Proj.,

 

 

 

 

 

 

AAA

 

 

$

3,570

 

 

Ser. A, 6.25%, 7/01/08, MBIA

 

01/07 @ 100

 

$

3,576,890

 

AAA

 

 

 

1,870

3

 

Ser. B, 6.25%, 7/01/08, MBIA

 

ETM

 

 

1,909,906

 

 

 

 

 

 

 

 

Dept. of Gen. Svcs., Lease Appropriation COP,

 

 

 

 

 

 

AAA

 

 

 

2,075

 

 

4.50%, 5/01/08, FSA

 

No Opt. Call

 

 

2,098,302

 

AAA

 

 

 

2,120

 

 

4.50%, 11/01/08, FSA

 

No Opt. Call

 

 

2,152,436

 

AAA

 

 

 

2,165

 

 

4.50%, 5/01/09, FSA

 

No Opt. Call

 

 

2,204,836

 

AAA

 

 

 

2,220

 

 

4.50%, 11/01/09, FSA

 

No Opt. Call

 

 

2,269,151

 

AAA

 

 

 

16,250

 

 

Lehigh Cnty. Indl. Dev. Auth., Indl. PCRB, PPL Elec. Util. Corp., 3.125%, 11/01/08, AMBAC

 

No Opt. Call

 

 

16,077,750

 

AAA

 

 

 

3,125

 

 

Pittsburgh Pub. Pkg. Auth., Auto Pkg. RB, 3.25%, 12/01/08, AMBAC

 

No Opt. Call

 

 

3,101,375

 

AAA

 

 

 

3,955

 

 

West Chester Area Sch. Dist., Ad Valorem Ppty. Tax GO, Ser. AA, 3.65%, 1/15/09, MBIA

 

07/07 @ 100

 

 

3,955,593

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

42,066,143

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

South Carolina—0.5%

 

 

 

 

 

 

AAA

 

 

 

2,020

 

 

Chester Cnty. Sch. Dist., Ad Valorem Ppty. Tax GO, 3.25%, 2/01/09, FSA

 

No Opt. Call

 

 

2,002,244

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Tennessee—0.2%

 

 

 

 

 

 

AAA

 

 

 

1,000

 

 

Clarksville, Wtr. RB, Wtr., Swr. & Gas Proj., 4.30%, 2/01/09, FSA

 

No Opt. Call

 

 

1,014,140

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Texas—20.4%

 

 

 

 

 

 

 

 

 

 

 

 

 

City of Austin,

 

 

 

 

 

 

AAA

 

 

 

5,000

 

 

Elec., Pwr. & Lt. RB, 6.625%, 11/15/08, AMBAC

 

No Opt. Call

 

 

5,265,450

 

AAA

 

 

 

5,000

 

 

Elec., Pwr. & Lt. RB, Ser. A, Zero Coupon, 11/15/09, AMBAC

 

No Opt. Call

 

 

4,493,000

 

AAA

 

 

 

5,380

 

 

Pub. Impvts. Ad Valorem Ppty. Tax GO, 3.50%, 9/01/08, FSA

 

No Opt. Call

 

 

5,369,401

 

AAA

 

 

 

11,515

 

 

Wtr. RB, Ser. A, Zero Coupon, 11/15/08, MBIA

 

No Opt. Call

 

 

10,749,944

 

AAA

 

 

 

5,000

 

 

Wtr. RB, Ser. A, Zero Coupon, 11/15/09, MBIA

 

No Opt. Call

 

 

4,493,000

 

AAA

 

 

 

6,000

3

 

City of San Antonio, Elec., Pwr. & Lt. RB, Ser. B, Zero Coupon, 2/01/10, FGIC

 

ETM

 

 

5,349,480

 

 

 

 

 

 

 

 

Coppell Indpt. Sch. Dist., Ad Valorem Ppty. Tax GO,

 

 

 

 

 

 

AAA

 

 

 

1,430

3

 

6.10%, 8/15/09, MBIA

 

ETM

 

 

1,519,203

 

AAA

 

 

 

620

 

 

6.10%, 8/15/09, MBIA

 

02/07 @ 100

 

 

621,792

 

AAA

 

 

 

4,390

 

 

Houston Indpt. Sch. Dist., Ad Valorem Ppty. Tax GO, Zero Coupon, 8/15/09, AMBAC

 

No Opt. Call

 

 

3,981,686

 

 

 

 

 

 

 

 

Mun. Pwr. Agcy., Elec., Pwr. & Lt. RB,

 

 

 

 

 

 

AAA

 

 

 

1,075

3

 

Zero Coupon, 9/01/08, AMBAC

 

ETM

 

 

1,011,403

 

AAA

 

 

 

13,925

 

 

Zero Coupon, 9/01/08, AMBAC

 

No Opt. Call

 

 

13,101,893

 

AAA

 

 

 

1,155

3

 

Zero Coupon, 9/01/09, AMBAC

 

ETM

 

 

1,046,938

 

AAA

 

 

 

15,020

 

 

Zero Coupon, 9/01/09, AMBAC

 

No Opt. Call

 

 

13,604,065

 

AAA

 

 

 

1,500

 

 

North Texas Tollway Auth., Hwy. Tolls RB, Ser. C, 5.00%, 1/01/09, FSA

 

No Opt. Call

 

 

1,538,820

 

 

 

 

 

 

 

 

Pub. Fin. Auth.,

 

 

 

 

 

 

AAA

 

 

 

5,900

 

 

Lease Appropriation RB, Ser. B, 6.25%, 2/01/09, AMBAC

 

No Opt. Call

 

 

6,201,962

 

AAA

 

 

 

2,250

4

 

Lease RB, Gen Svcs. Comm. Projs., 5.50%, 2/01/08, AMBAC

 

N/A

 

 

2,318,040

 

AAA

 

 

 

750

 

 

Lease RB, Gen Svcs. Comm. Projs., 5.50%, 2/01/09, AMBAC

 

02/08 @ 101

 

 

771,540

 

AAA

 

 

 

2,270

 

 

Misc. RB, 3.50%, 2/01/09, FGIC

 

No Opt. Call

 

 

2,263,621

 

AAA

 

 

 

2,275

 

 

Ysleta Indpt. Sch. Dist., Ad Valorem Ppty. Tax GO, Zero Coupon, 8/15/08, PSF

 

No Opt. Call

 

 

2,143,710

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

85,844,948

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Utah—3.3%

 

 

 

 

 

 

 

 

 

 

 

 

 

Intermountain Pwr. Agcy., Elec., Pwr. & Lt. RB,

 

 

 

 

 

 

AAA

 

 

 

2,215

3

 

Ser. B, 6.00%, 7/01/07, MBIA

 

ETM

 

 

2,241,624

 

AAA

 

 

 

1,285

 

 

Ser. B, 6.00%, 7/01/07, MBIA

 

No Opt. Call

 

 

1,300,176

 

AAA

 

 

 

10,300

4

 

Utah, Hwy. Impvts. Ad Valorem Ppty. Tax GO, Ser. F, 5.00%, 7/01/07

 

N/A

 

 

10,373,645

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

13,915,445

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Washington—10.5%

 

 

 

 

 

 

AAA

 

 

 

5,710

 

 

City of Seattle, Pub. Impvt. Ad Valorem Ppty. Tax GO, 4.00%, 7/01/08, FSA

 

No Opt. Call

 

 

5,742,319

 

AAA

 

 

 

1,250

 

 

Clark Cnty. Pub. Util. Dist. No. 1, Elec., Pwr. & Lt. RB, 5.00%, 1/01/09, MBIA

 

No Opt. Call

 

 

1,282,837

 

 

 

 

 

 

 

 

Cnty. of King,

 

 

 

 

 

 

AAA

 

 

 

3,060

 

 

Ad Valorem Ppty Tax GO, 3.50%, 12/01/08, FSA

 

No Opt. Call

 

 

3,054,308

 

AAA

 

 

 

12,850

 

 

Recreational Fac. Impvts. Ad Valorem Ppty. Tax GO, Ser. D, 5.55%, 12/01/08, MBIA

 

12/07 @ 102

 

 

13,296,409

 

 

 

 

 

 

 

 

Hlth. Care Facs. Auth., Hlth., Hosp. & Nursing Home Impvts. RB, Catholic Hlth. Initiatives Proj.,

 

 

 

 

 

 

AAA

 

 

 

1,010

 

 

Ser. A, 5.30%, 12/01/08, MBIA

 

No Opt. Call

 

 

1,040,068

 

AAA

 

 

 

1,000

 

 

Ser. A, 5.40%, 12/01/10, MBIA

 

06/10 @ 101

 

 

1,058,580

 

See Notes to Financial Statements.

16



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

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Option Call
Provisions2
(Unaudited)

 

Value

 











 

 

 

 

 

 

 

Washington—(cont’d)

 

 

 

 

 

 

 

 

 

 

 

 

 

Pub. Pwr. Sply. Sys., Elec., Pwr. & Lt. RB,

 

 

 

 

 

 

AAA

 

 

$

11,000

 

 

Ser. A, 5.80%, 7/01/07, FSA

 

No Opt. Call

 

$

11,119,570

 

AAA

 

 

 

5,550

 

 

Nuclear Proj. No. 3, Zero Coupon, 7/01/07, MBIA

 

No Opt. Call

 

 

5,449,989

 

AAA

 

 

 

2,000

 

 

Nuclear Proj. No. 3, Zero Coupon, 7/01/08, MBIA

 

No Opt. Call

 

 

1,892,320

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

43,936,400

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

West Virginia—0.4%

 

 

 

 

 

 

AAA

 

 

 

1,550

 

 

Econ. Dev. Auth., Correctional Fac. Impvts. Lease Appropriation RB, Correctional Juvenile Proj.,

 

 

 

 

 

 

 

 

 

 

 

 

 

Ser. A, 4.25%, 6/01/08, MBIA

 

No Opt. Call

 

 

1,564,167

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Wisconsin—1.5%

 

 

 

 

 

 

AAA

 

 

 

6,080

 

 

Wisconsin, Pub. Impvts. Misc. GO, Ser. C, 4.00%, 5/01/09, MBIA

 

No Opt. Call

 

 

6,131,133

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Wyoming—0.3%

 

 

 

 

 

 

AAA

 

 

 

1,270

 

 

Albany Cnty. Impvts. Stat Trust, Pub. Impvts. Lease Abatement COP, 3.75%, 1/15/09, MBIA

 

No Opt. Call

 

 

1,271,219

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Total Long-Term Investments (cost $444,796,381)

 

 

 

 

453,758,120

 

 

 

 

 

 

 

 

 

 

 

 



 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


 

 

 

 

 

 

 

 

 

 

Shares
(000)

 

 

 

 

 

 

 

 

 

 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

MONEY MARKET FUND—10.4%

 

 

 

 

 

 

NR

 

 

 

43,471

 

 

AIM Tax Free Cash Reserve Portfolio— Institutional Class (cost $43,471,173)

 

N/A

 

 

43,471,173

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Total Investments—118.5% (cost $488,267,5545)

 

 

 

$

497,229,293

 

 

 

 

 

 

 

 

Other assets in excess of liabilities—0.8%

 

 

 

 

3,461,328

 

 

 

 

 

 

 

 

Preferred shares at redemption value, including dividends payable—(19.3)%

 

 

 

 

(81,059,180

)

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Net Assets Applicable to Common Shareholders—100%

 

 

 

$

419,631,441

 

 

 

 

 

 

 

 

 

 

 

 



 


 

 

1

Using the highest of S&P’s, Moody’s or Fitch’s ratings.

 

 

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 collateralized by Municipal or U.S. Treasury obligations.

 

 

4

This bond is prerefunded. 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.

 

 

5

Cost for federal income tax purposes is $487,802,646. The net unrealized appreciation on a tax basis is $9,426,647, consisting of $10,452,022 gross unrealized appreciation and $1,025,375 gross unrealized depreciation.

 

 

 

The value (market value plus accrued interest) of securities that are covered by insurance, which ensures the payment of principal and interest, represent approximately 95.5% of the Trust’s managed assets.


 

 

 

 

AMBAC

25.7

%

CAPMAC

4.1

%

FGIC

12.8

%

FSA

17.5

%

MBIA

26.3

%

PSF

0.4

%

Other

8.7

%


 

 

 

 

 

 

 

KEY TO ABBREVIATIONS

 

AMBAC

American Municipal Bond Assurance Corp.

 

GO

General Obligation

CAPMAC

Capital Markets Assurance Co.

 

MBIA

Municipal Bond Insurance Assoc.

COP

Certificate of Participation

 

PCRB

Pollution Control Revenue Bond

ETM

Escrowed to Maturity

 

PSF

Public School Fund Guaranteed

FGIC

Financial Guaranty Insurance Co.

 

RB

Revenue Bond

FSA

Financial Security Assurance

 

ST

Special Tax

See Notes to Financial Statements.

17


PORTFOLIO OF INVESTMENTS
DECEMBER 31, 2006

BlackRock Insured Municipal Term Trust (BMT)

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount (000)

 

Description

 

Option Call
Provisions2
(Unaudited)

 

Value

 















 

 

 

 

 

 

 

LONG-TERM INVESTMENTS—128.8%

 

 

 

 

 

 

 

 

 

 

 

 

 

Alabama—0.9%

 

 

 

 

 

 

AAA

 

 

$

1,000

 

 

Birmingham Jefferson Civic Ctr. Auth. ST, Ser. A, 4.375%, 1/01/11, FSA

 

No Opt. Call

 

$

1,025,290

 

AAA

 

 

 

1,410

 

 

Fed. Hwy. Fin. Auth., Hwy. Impvts. Hwy. Tolls RB, Grant Antic. Notes, Ser. A, 4.50%, 3/01/11, MBIA

 

No Opt. Call

 

 

1,453,555

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

2,478,845

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Alaska—8.3%

 

 

 

 

 

 

 

 

 

 

 

 

 

City of Anchorage, Ad Valorem Ppty. Tax GO,

 

 

 

 

 

 

AAA

 

 

 

14,345

 

 

Ser. B, 4.125%, 7/01/11, MBIA

 

No Opt. Call

 

 

14,607,801

 

AAA

 

 

 

6,000

 

 

Ser. B, 4.625%, 7/01/10, FGIC

 

No Opt. Call

 

 

6,190,860

 

AAA

 

 

 

1,260

 

 

Univ. of Alaska, Coll. & Univ. RB, Ser. K, 3.75%, 10/01/10, FGIC

 

No Opt. Call

 

 

1,264,334

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

22,062,995

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Arizona—3.2%

 

 

 

 

 

 

AAA

 

 

 

1,000

 

 

Arizona St. Univ., Univ. & Coll. Impvts. RB, 4.20%, 7/01/11, FGIC

 

No Opt. Call

 

 

1,022,660

 

AAA

 

 

 

1,030

 

 

Mesa, Ad Valorem Ppty. Tax GO, Ser. A, 3.75%, 7/01/10, FGIC

 

No Opt. Call

 

 

1,033,358

 

AAA

 

 

 

6,340

 

 

Pima Cnty. Str. & Hwy., Hwy Impvt. Misc. RB, 4.25%, 7/01/11, FGIC

 

07/08 @ 101

 

 

6,430,281

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

8,486,299

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Arkansas—0.2%

 

 

 

 

 

 

AAA

 

 

 

500

 

 

City of Little Rock, Pub. Impvts. Ad Valorem Ppty. Tax GO, 4.00%, 4/01/11, FSA

 

No Opt. Call

 

 

505,145

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

California—6.9%

 

 

 

 

 

 

AAA

 

 

 

145

 

 

California, Pub. Impvts. Misc. GO, 6.80%, 11/01/10, FGIC

 

05/07 @ 100

 

 

146,524

 

AAA

 

 

 

6,100

3

 

Contra Costa Trans. Auth., Hwy. Impvt. Sales Tax RB, 6.50%, 3/01/09, FGIC

 

ETM

 

 

6,345,220

 

 

 

 

 

 

 

 

Dept. of Wtr. Recs., Cash Flow Mgmt. Elec., Pwr. & Lt. RB,

 

 

 

 

 

 

AAA

 

 

 

5,000

 

 

Ser. A, 3.60%, 5/01/10, AMBAC

 

No Opt. Call

 

 

5,005,000

 

AAA

 

 

 

3,500

 

 

Ser. A, 3.70%, 5/01/11, MBIA

 

No Opt. Call

 

 

3,514,945

 

AAA

 

 

 

3,065

 

 

Los Angeles Cnty. Cap. Asset Leasing Corp., Lease Abatement RB, 6.051%, 12/01/10, AMBAC

 

No Opt. Call

 

 

3,333,310

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

18,344,999

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Colorado—1.2%

 

 

 

 

 

 

AAA

 

 

 

3,245

 

 

Weld Cnty. Sch. Dist. No. 6, Ad Valorem Ppty. Tax GO, Greeley Proj., 3.75%, 12/01/10, FSA

 

No Opt. Call

 

 

3,260,219

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Delaware—0.4%

 

 

 

 

 

 

AAA

 

 

 

1,015

 

 

Delaware River & Bay Auth., Pub. Impvt. Port, Arpt. & Marina RB, 3.75%, 1/01/11, MBIA

 

No Opt. Call

 

 

1,019,121

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

District of Columbia—4.0%

 

 

 

 

 

 

AAA

 

 

 

10,000

 

 

Dist. of Columbia, Ad Valorem Ppty. Tax GO, Ser. B, 5.50%, 6/01/11, FSA

 

No Opt. Call

 

 

10,716,000

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Florida—0.9%

 

 

 

 

 

 

AAA

 

 

 

2,320

 

 

City of Tampa, Wtr. RB, 5.50%, 10/01/10, FSA

 

No Opt. Call

 

 

2,469,640

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Hawaii—4.6%

 

 

 

 

 

 

AAA

 

 

 

11,080

4

 

Hawaii, Pub. Impvts. Misc. Tax GO, Ser. CN, 5.25%, 3/01/07, FGIC

 

N/A

 

 

11,330,186

 

AAA

 

 

 

1,000

 

 

Univ. of Hawaii, Univ. & Coll. Impvts. RB, 3.875%, 7/15/10, FGIC

 

No Opt. Call

 

 

1,007,400

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

12,337,586

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Illinois—15.9%

 

 

 

 

 

 

 

 

 

 

 

 

 

Chicago Park Dist., Ad Valorem Ppty. Tax GO,

 

 

 

 

 

 

AAA

 

 

 

3,120

 

 

Ser. A, 3.50%, 1/01/10, FGIC

 

No Opt. Call

 

 

3,105,024

 

AAA

 

 

 

3,695

 

 

Ser. A, 4.00%, 1/01/11, FGIC

 

No Opt. Call

 

 

3,735,904

 

 

 

 

 

 

 

 

City of Chicago, Ad Valorem Ppty. Tax GO,

 

 

 

 

 

 

AAA

 

 

 

4,000

 

 

Ser. A, 4.375%, 1/01/11, AMBAC

 

No Opt. Call

 

 

4,099,640

 

AAA

 

 

 

1,790

 

 

Ser. A, 5.00%, 1/01/11, MBIA

 

No Opt. Call

 

 

1,875,884

 

 

 

 

 

 

 

 

Du Page & Cook Cntys. Cmnty. Unit Sch. Dist. No. 205, Sch. Impvts. Ad Valorem Ppty. Tax GO,

 

 

 

 

 

 

Aaa

 

 

 

3153

 

 

4.50%, 1/01/11, FGIC

 

ETM

 

 

324,774

 

AAA

 

 

 

685

 

 

4.50%, 1/01/11, FGIC

 

No Opt. Call

 

 

705,228

 

AAA

 

 

 

1,750

 

 

Du Page & Will Cntys. Cmnty. Sch. Dist. No. 204, Sch. Impvts. Ad Valorem Ppty. Tax GO,

 

 

 

 

 

 

 

 

 

 

 

 

 

Indian Proj., 4.25%, 12/30/10, FGIC

 

No Opt. Call

 

 

1,788,780

 

 

 

 

 

 

 

 

Du Page Cnty. Forest Presvtn. Dist., Pub. Impvts. Ad Valorem Ppty. Tax GO,

 

 

 

 

 

 

AAA

 

 

 

5,000

 

 

Zero Coupon, 11/01/10

 

No Opt. Call

 

 

4,327,250

 

AAA

 

 

 

11,965

 

 

Zero Coupon, 11/01/11

 

No Opt. Call

 

 

9,958,350

 

See Notes to Financial Statements.

18



BlackRock Insured Municipal Term Trust (BMT) (continued)

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Option Call
Provisions2
(Unaudited)

 

Value

 















 

 

 

 

 

 

 

Illinois—(cont’d)

 

 

 

 

 

 

 

 

 

 

 

 

 

Illinois,

 

 

 

 

 

 

AAA

 

 

$

1,500

 

 

Poll. Ctrl. GO, Ser. 1, 4.50%, 2/01/11, FGIC

 

No Opt. Call

 

$

1,546,140

 

AAA

 

 

 

4,000

 

 

Poll. Ctrl. GO, Ser. 1, 5.25%, 2/01/11, FGIC

 

No Opt. Call

 

 

4,235,920

 

AAA

 

 

 

2,000

 

 

Sch. Impvts. GO, Ser. 1, 4.50%, 4/01/11, FSA

 

No Opt. Call

 

 

2,063,560

 

AAA

 

 

 

2,265

 

 

Kane & Du Page Cntys. Cmnty. Unit Sch. Dist. No. 303, Sch. Impvts. Ad Valorem Ppty. Tax GO, Ser. A, 4.00%, 1/01/11, FSA

 

No Opt. Call

 

 

2,290,074

 

AAA

 

 

 

1,025

 

 

Orland Park, Pub. Impvts. Ad Valorem Ppty. Tax GO, Ser. A, 3.50%, 12/01/10, FGIC

 

No Opt. Call

 

 

1,018,296

 

AAA

 

 

 

1,075

 

 

Rockford Sch. Dist. No. 205, Ad Valorem Ppty. Tax GO, 4.30%, 2/01/11, FGIC

 

No Opt. Call

 

 

1,099,155

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

42,173,979

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Indiana—4.1%

 

 

 

 

 

 

 

 

 

 

 

 

 

Indianapolis Loc. Pub. Impvt. Bond Bank, Wtr. Util. Impvts. Wtr. RB,

 

 

 

 

 

 

AAA

 

 

 

2,085

 

 

Ser. A, 4.25%, 7/01/10, MBIA

 

No Opt. Call

 

 

2,125,803

 

AAA

 

 

 

2,815

 

 

Ser. A, 4.375%, 1/01/11, MBIA

 

No Opt. Call

 

 

2,888,303

 

AAA

 

 

 

2,950

 

 

Ser. A, 4.375%, 7/01/11, MBIA

 

No Opt. Call

 

 

3,034,399

 

AAA

 

 

 

2,635

 

 

Mun. Pwr. Agcy., Elec., Pwr. & Lt. Impvts. RB, Pwr. Sply. Sys. Proj., Ser. A, 4.50%, 1/01/11, AMBAC

 

No Opt. Call

 

 

2,713,787

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

10,762,292

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Kansas—0.8%

 

 

 

 

 

 

 

 

 

 

 

 

 

Dev. Fin. Auth., Wtr. Util. Impvts. Wtr. RB,

 

 

 

 

 

 

AAA

 

 

 

1,025

 

 

4.125%, 4/01/10, AMBAC

 

No Opt. Call

 

 

1,040,560

 

AAA

 

 

 

1,000

 

 

4.25%, 4/01/11, AMBAC

 

No Opt. Call

 

 

1,023,600

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

2,064,160

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Kentucky—3.5%

 

 

 

 

 

 

AAA

 

 

 

10,890

 

 

Econ. Dev. Fin. Auth., Hlth., Hosp. & Nursing Home RB, Norton Healthcare, Inc. Proj., Ser. B, Zero Coupon, 10/01/10, MBIA

 

No Opt. Call

 

 

9,343,620

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Louisiana—1.9%

 

 

 

 

 

 

AAA

 

 

 

5,000

 

 

Pub. Facs. Auth., Hlth., Hosp. & Nursing Home RB, Ochsner Clinic Fndtn. Proj., Ser. B, 4.00%, 5/15/11, MBIA

 

No Opt. Call

 

 

5,004,400

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Michigan—2.4%

 

 

 

 

 

 

 

 

 

 

 

 

 

Detroit, Pub. Impvts. Ad Valorem Ppty. Tax GO,

 

 

 

 

 

 

AAA

 

 

 

1,580

 

 

4.00%, 4/01/10, MBIA

 

No Opt. Call

 

 

1,593,130

 

AAA

 

 

 

1,955

 

 

4.00%, 4/01/11, MBIA

 

No Opt. Call

 

 

1,972,810

 

AAA

 

 

 

35

 

 

Mun. Bd. Auth., Misc. RB, Ser. A, 6.50%, 11/01/12, MBIA

 

01/07 @ 100

 

 

35,078

 

AAA

 

 

 

2,810

 

 

Wyandotte City Sch. Dist., Ad Valorem Ppty. Tax GO, 4.00%, 5/01/11, FSA

 

No Opt. Call

 

 

2,845,996

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

6,447,014

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Minnesota—1.9%

 

 

 

 

 

 

AAA

 

 

 

2,800

 

 

Hopkins Indpt. Sch. Dist. No. 270, Ad Valorem Ppty. Tax GO, Ser. B, 4.00%, 2/01/11, FSA

 

No Opt. Call

 

 

2,838,752

 

A+

 

 

 

2,180

3

 

Southern Minnesota Mun. Pwr. Agcy., Elec., Pwr. & Lt. RB, Ser. B, 5.75%, 1/01/11

 

ETM

 

 

2,271,996

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

5,110,748

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Nevada—2.1%

 

 

 

 

 

 

 

 

 

 

 

 

 

Director of the State of Nevada Dept. of Bus. & Ind., Transit Impvts. RB, Las Vegas Monorail Proj.,

 

 

 

 

 

 

AAA

 

 

 

3,795

 

 

Zero Coupon, 1/01/11, AMBAC

 

No Opt. Call

 

 

3,257,438

 

AAA

 

 

 

2,870

 

 

Zero Coupon, 1/01/12, AMBAC

 

No Opt. Call

 

 

2,366,631

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

5,624,069

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

New Jersey—0.4%

 

 

 

 

 

 

AAA

 

 

 

1,000

 

 

Monmouth Cnty. Impvt. Auth., Gov’t. Loan Misc. RB, 3.375%, 12/01/10, FSA

 

No Opt. Call

 

 

988,500

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

New Mexico—3.0%

 

 

 

 

 

 

 

 

 

 

 

 

 

Fin. Auth., Pub. Impvt. Misc. RB,

 

 

 

 

 

 

AAA

 

 

 

1,304

 

 

Ser. A, 3.40%, 6/01/11, MBIA

 

No Opt. Call

 

 

1,287,726

 

AAA

 

 

 

1,020

 

 

Ser. A, 4.20%, 6/01/10, MBIA

 

No Opt. Call

 

 

1,038,268

 

AAA

 

 

 

1,590

 

 

Ser. A, 4.30%, 6/01/11, MBIA

 

No Opt. Call

 

 

1,630,641

 

AAA

 

 

 

1,750

 

 

Las Cruces Sch. Dist. No. 2, Sch. Impvts. Ad Valorem Ppty. Tax GO, 5.25%, 8/01/11, FSA

 

08/09 @ 100

 

 

1,816,325

 

AAA

 

 

 

2,230

3

 

Transp. Comm., Sales Tax RB, Ser. B, 4.75%, 6/15/11, AMBAC

 

ETM

 

 

2,323,593

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

8,096,553

 

 

 

 

 

 

 

 

 

 

 

 



 

See Notes to Financial Statements.

19



BlackRock Insured Municipal Term Trust (BMT) (continued)

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Option Call
Provisions2
(Unaudited)

 

Value

 















 

 

 

 

 

 

 

New York—5.6%

 

 

 

 

 

 

AAA

 

 

$

8,950

 

 

Long Island Pwr. Auth., Elec., Pwr. & Lt. Impvts. RB, Ser. A, 5.50%, 12/01/10, AMBAC

 

No Opt. Call

 

$

9,543,654

 

AAA

 

 

 

5,000

 

 

Thruway Auth., Hwy. Impvt. Income Tax RB, Ser. A, 5.00%, 3/15/11, FSA

 

No Opt. Call

 

 

5,263,000

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

14,806,654

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Ohio—0.8%

 

 

 

 

 

 

AAA

 

 

 

1,000

 

 

Akron, Ad Valorem Ppty. Tax GO, 4.00%, 12/01/10, MBIA

 

No Opt. Call

 

 

1,011,560

 

AAA

 

 

 

1,015

 

 

Univ. of Cincinnati, Univ. & Coll. Impvts. RB, Ser. G, 3.50%, 6/01/09, AMBAC

 

No Opt. Call

 

 

1,011,945

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

2,023,505

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Oregon—3.6%

 

 

 

 

 

 

AAA

 

 

 

1,995

 

 

Lane Cnty. Sch. Dist. No. 4, Ad Valorem Ppty. Tax GO, Eugene Proj., 3.75%, 1/01/11, FSA

 

No Opt. Call

 

 

2,003,100

 

 

 

 

 

 

 

 

Washington & Clackamas Cntys. Sch. Dist. No. 23, Sch. Impvts. Ad Valorem Ppty. Tax GO, J. Tigard Proj.,

 

 

 

 

 

 

AAA

 

 

 

3,820

 

 

4.00%, 6/15/10, MBIA

 

No Opt. Call

 

 

3,866,910

 

AAA

 

 

 

3,720

 

 

4.00%, 6/15/11, MBIA

 

No Opt. Call

 

 

3,773,270

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

9,643,280

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Pennsylvania—6.3%

 

 

 

 

 

 

AAA

 

 

 

2,430

 

 

Central York Sch. Dist., Sch. Impvts. Ad Valorem Ppty. Tax GO, 4.125%, 6/01/11, FGIC

 

No Opt. Call

 

 

2,475,878

 

AAA

 

 

 

2,100

 

 

City of Philadelphia, Swr. RB, Wtr. & Wst. Proj., 5.625%, 6/15/08, AMBAC

 

No Opt. Call

 

 

2,160,270

 

AAA

 

 

 

1,875

3

 

Dauphin Cnty. Gen. Auth., Hlth., Hosp. & Nursing Home RB, HAPSCO-Western Pennsylvania Hosp. Proj., Ser. B, 6.25%, 7/01/07, MBIA`

 

ETM

 

 

1,915,013

 

AAA

 

 

 

7,500

 

 

Higher Edl. Facs. Auth., Hlth., Hosp. & Nursing Home Impvts. RB, Univ. of Pennsylvania Hlth. Sys. Proj., Ser. A, 5.25%, 8/01/10, FSA

 

08/09 @ 101

 

 

7,846,725

 

AAA

 

 

 

1,075

 

 

State Pub. Sch. Bldg. Auth., Sch. Impvts. Misc. RB, York Sch. Dist. Proj., 4.75%, 5/01/11, FSA

 

No Opt. Call

 

 

1,121,698

 

AAA

 

 

 

1,250

 

 

Wilson Sch. Dist., Ad Valorem Ppty. Tax GO, 4.00%, 5/15/10, FSA

 

No Opt. Call

 

 

1,263,075

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

16,782,659

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Rhode Island—2.0%

 

 

 

 

 

 

AAA

 

 

 

235

 

 

Clean Wtr. Fin. Agcy., Poll. Ctrl. Misc. RB, Ser. A, 6.70%, 10/01/10, MBIA

 

04/07 @ 100

 

 

236,748

 

AAA

 

 

 

5,000

3

 

Rhode Island St. & Providence Plantations, Misc. Tax GO, Ser. B, 4.20%, 6/01/10, FGIC

 

ETM

 

 

5,086,000

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

5,322,748

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Tennessee—0.8%

 

 

 

 

 

 

 

 

 

 

 

 

 

Clarksville, Wtr. RB, Wtr., Swr. & Gas Proj.,

 

 

 

 

 

 

AAA

 

 

 

1,005

 

 

4.45%, 2/01/10, FSA

 

No Opt. Call

 

 

1,029,381

 

AAA

 

 

 

1,100

 

 

4.65%, 2/01/11, FSA

 

No Opt. Call

 

 

1,141,734

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

2,171,115

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Texas—15.9%

 

 

 

 

 

 

 

 

 

 

 

 

 

Bexar Met. Wtr. Dist., Wtr. RB,

 

 

 

 

 

 

AAA

 

 

 

315

3

 

3.70%, 5/01/10, FSA

 

ETM

 

 

314,225

 

AAA

 

 

 

770

 

 

3.70%, 5/01/10, FSA

 

No Opt. Call

 

 

770,239

 

AAA

 

 

 

315

3

 

3.80%, 5/01/11, FSA

 

ETM

 

 

315,488

 

AAA

 

 

 

775

 

 

3.80%, 5/01/11, FSA

 

No Opt. Call

 

 

776,907

 

AAA

 

 

 

1,090

 

 

City of Addison, Ad Valorem Ppty. Tax GO, 3.375%, 2/15/11, FGIC

 

No Opt. Call

 

 

1,072,059

 

 

 

 

 

 

 

 

City of Houston,

 

 

 

 

 

 

AAA

 

 

 

5,000

 

 

Ad Valorem Ppty. Tax GO, Ser. A, 5.00%, 3/01/11, MBIA

 

No Opt. Call

 

 

5,248,300

 

AAA

 

 

 

2,000

 

 

Ad Valorem Ppty. Tax GO, Ser. A1, 5.00%, 3/01/11, MBIA

 

No Opt. Call

 

 

2,099,320

 

AAA

 

 

 

10,440

 

 

Swr. RB, Wtr. & Swr. Sys. Proj., Ser. C, Zero Coupon, 12/01/10, AMBAC

 

No Opt. Call

 

 

9,003,456

 

 

 

 

 

 

 

 

Cnty. of Harris, Ad Valorem Ppty. Tax GO,

 

 

 

 

 

 

AAA

 

 

 

1,500

 

 

Ser. A, 5.00%, 10/01/10, FSA

 

No Opt. Call

 

 

1,568,775

 

AAA

 

 

 

330

3

 

Ser. B, Zero Coupon, 8/15/08, FGIC

 

ETM

 

 

310,982

 

AAA

 

 

 

2,255

 

 

Ser. B, Zero Coupon, 8/15/08, FGIC

 

No Opt. Call

 

 

2,124,864

 

AAA

 

 

 

2,000

 

 

Dallas Area Rapid Trans., Sales Tax RB, 4.30%, 12/01/10, AMBAC

 

No Opt. Call

 

 

2,044,120

 

AAA

 

 

 

2,490

 

 

Houston Area Wtr. Corp., Wtr. RB, Northeast Wtr. Purification Proj., 4.50%, 3/01/11, FGIC

 

No Opt. Call

 

 

2,563,032

 

AAA

 

 

 

5,550

 

 

Katy Indpt. Sch. Dist., Sch. Impvts. Ad Valorem Ppty. Tax GO, Ser. A, Zero Coupon, 2/15/11

 

No Opt. Call

 

 

4,745,527

 

AAA

 

 

 

4,000

 

 

Mun. Pwr. Agcy., Elec., Pwr. & Lt. RB, 5.50%, 9/01/10, MBIA

 

No Opt. Call

 

 

4,246,280

 

AAA

 

 

 

2,245

 

 

Pub. Fin. Auth., Misc. RB, 4.00%, 2/01/11, FGIC

 

No Opt. Call

 

 

2,268,415

 

AAA

 

 

 

1,250

 

 

Texas Tech Univ., Coll. & Univ. RB, Ser. 9, 5.00%, 2/15/11, AMBAC

 

No Opt. Call

 

 

1,311,037

 

AAA

 

 

 

1,500

 

 

Univ. of Houston, Coll. & Univ. RB, Ser. A, 4.00%, 2/15/10, FSA

 

No Opt. Call

 

 

1,513,920

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

42,296,946

 

 

 

 

 

 

 

 

 

 

 

 



 

See Notes to Financial Statements.

20



BlackRock Insured Municipal Term Trust (BMT) (continued)

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Option Call
Provisions2
(Unaudited)

 

Value

 















 

 

 

 

 

 

 

Utah—2.4%

 

 

 

 

 

 

AAA

 

 

$

3,470

 

 

Intermountain Pwr. Agcy., Elec., Pwr. & Lt. RB, Ser. A, 5.25%, 7/01/11, MBIA

 

07/09 @ 101

 

$

3,629,238

 

AAA

 

 

 

3,175

 

 

Salt Lake Cnty. Wtr. Conservancy Dist., Wtr. RB, Ser. A, Zero Coupon, 10/01/10, AMBAC

 

No Opt. Call

 

 

2,760,504

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

6,389,742

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Washington—13.1%

 

 

 

 

 

 

AAA

 

 

 

7,345

 

 

Benton Cnty. Sch. Dist. No. 17, Sch. Impvts. Ad Valorem Ppty. Tax GO, Kennewick Proj., 4.50%, 12/01/10, FSA

 

No Opt. Call

 

 

7,565,644

 

AAA

 

 

 

1,000

 

 

Chelan Cnty. Sch. Dist. No. 246, Sch. Impvts. Ad Valorem Ppty. Tax GO, Wenatchee Proj., 4.50%, 12/01/10, FSA

 

No Opt. Call

 

 

1,030,040

 

AAA

 

 

 

1,010

 

 

City of Tacoma, Pub. Impvts. Ad Valorem Ppty. Tax GO, 4.625%, 12/01/10, FGIC

 

No Opt. Call

 

 

1,044,905

 

AAA

 

 

 

3,000

 

 

Clark Cnty. Pub. Util. Dist. No. 1, Elec., Pwr. & Lt. RB, 4.50%, 1/01/11, AMBAC

 

No Opt. Call

 

 

3,088,590

 

AAA

 

 

 

2,040

 

 

Clark Cnty. Sch. Dist. No. 114, Sch. Impvts. Ad Valorem Ppty. Tax GO, Evergreen Proj., 4.125%, 12/01/10, FSA

 

No Opt. Call

 

 

2,073,578

 

 

 

 

 

 

 

 

Pub. Pwr. Sply. Sys., Elec., Pwr. & Lt. RB,

 

 

 

 

 

 

AAA

 

 

 

1,300

 

 

Ser. B, Zero Coupon, 7/01/10, MBIA

 

No Opt. Call

 

 

1,139,281

 

AAA

 

 

 

9,160

3

 

Nuclear Proj. No. 2, Ser. A, Zero Coupon, 7/01/10, MBIA

 

ETM

 

 

8,041,381

 

AAA

 

 

 

3,745

 

 

Nuclear Proj. No. 2, Ser. A, Zero Coupon, 7/01/10, MBIA

 

No Opt. Call

 

 

3,279,759

 

AAA

 

 

 

5,000

4

 

Washington, Pub. Impvts. GO, Ser. A, 5.50%, 7/01/09, MBIA

 

N/A

 

 

5,229,300

 

AAA

 

 

 

2,280

 

 

Whatcom Cnty. Sch. Dist. No. 503, Ad Valorem Ppty. Tax GO, Blaine Proj., 4.50%, 12/01/10, FSA

 

No Opt. Call

 

 

2,348,491

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

34,840,969

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

West Virginia—3.6%

 

 

 

 

 

 

 

 

 

 

 

 

 

Econ. Dev. Auth., Correctional Fac. Impvts. Lease Appropriation RB, Correctional Juvenile & Pub. Proj.,

 

 

 

 

 

 

AAA

 

 

 

3,705

 

 

Ser. A, 4.50%, 6/01/10, MBIA

 

No Opt. Call

 

 

3,806,814

 

AAA

 

 

 

4,420

 

 

Ser. A, 4.50%, 6/01/11, MBIA

 

No Opt. Call

 

 

4,568,733

 

AAA

 

 

 

1,170

 

 

Sch. Bldg. Auth., Misc. RB, 4.00%, 7/01/11, AMBAC

 

No Opt. Call

 

 

1,185,900

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

9,561,447

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Wisconsin—5.9%

 

 

 

 

 

 

AAA

 

 

 

1,045

 

 

Appleton, Wtr. RB, 4.375%, 1/01/11, FGIC

 

No Opt. Call

 

 

1,072,212

 

 

 

 

 

 

 

 

Wisconsin, Misc. RB, Clean Wtr. Proj.

 

 

 

 

 

 

AAA

 

 

 

4,640

 

 

Ser. 2, 4.00%, 6/01/10, MBIA

 

No Opt. Call

 

 

4,692,014

 

AAA

 

 

 

9,850

 

 

Ser. 2, 4.00%, 6/01/11, MBIA

 

No Opt. Call

 

 

9,978,149

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

15,742,375

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Wyoming—2.2%

 

 

 

 

 

 

 

 

 

 

 

 

 

Albany Cnty. Impvts. Stat Trust, Pub. Impvts. Lease Abatement COP,

 

 

 

 

 

 

AAA

 

 

 

1,325

 

 

4.00%, 1/15/10, MBIA

 

No Opt. Call

 

 

1,335,149

 

AAA

 

 

 

1,450

 

 

4.00%, 7/15/10, MBIA

 

No Opt. Call

 

 

1,462,383

 

AAA

 

 

 

1,480

 

 

4.00%, 1/15/11, MBIA

 

No Opt. Call

 

 

1,493,128

 

AAA

 

 

 

1,510

 

 

4.00%, 7/15/11, MBIA

 

No Opt. Call

 

 

1,524,360

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

5,815,020

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Total Long-Term Investments (cost $331,845,514)

 

 

 

 

342,692,644

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

SHORT-TERM INVESTMENTS—33.9%

 

 

 

 

 

 

 

 

 

 

 

 

 

California—0.9%

 

 

 

 

 

 

A-1+

 

 

 

2,495

5

 

Infrastructure & Econ. Dev. Bank, Misc. Purp. RB, California Indpt. Sys. Operator Corp. Proj., 3.82%, 1/03/07, AMBAC, FRWD

 

N/A

 

 

2,495,000

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

District of Columbia—0.8%

 

 

 

 

 

 

SP-1+

 

 

 

2,000

5

 

Dist. of Columbia, Pub. Impvts. Ad Valorem Ppty Tax GO, 3.89%, 1/03/07, FSA, FRWD

 

N/A

 

 

2,000,000

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Illinois—0.7%

 

 

 

 

 

 

SP-1+

 

 

 

1,935

5

 

Toll Hwy. Auth., Hwy. Tolls RB, 3.89%, 1/03/07, MBIA, FRWD

 

N/A

 

 

1,935,000

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Maryland—1.3%

 

 

 

 

 

 

A-1+

 

 

 

3,553

5

 

Hlth. & Higher Edl. Facs. Auth., Misc. RB, 3.90%, 1/04/07, FRWD

 

N/A

 

 

3,553,000

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Massachusetts—2.5%

 

 

 

 

 

 

 

 

 

 

 

 

 

Hlth. & Edl. Facs. Auth., Coll. & Univ. RB, Harvard Univ. Proj.,

 

 

 

 

 

 

A-1+

 

 

 

5,000

5

 

Ser. BB, 3.90%, 1/04/07, FRWD

 

N/A

 

 

5,000,000

 

A-1+

 

 

 

1,600

5

 

Ser. R, 3.95%, 1/02/07, FRDD

 

N/A

 

 

1,600,000

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

6,600,000

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

New Jersey—1.2%

 

 

 

 

 

 

A-1+

 

 

 

3,280

5

 

Sports & Expo. Auth., Misc. RB, Ser. B-2, 3.83%, 1/03/07, MBIA, FRWD

 

N/A

 

 

3,280,000

 

 

 

 

 

 

 

 

 

 

 

 



 

See Notes to Financial Statements.

21



BlackRock Insured Municipal Term Trust (BMT) (continued)

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Value

 













 

 

 

 

 

 

 

North Carolina—2.6%

 

 

 

 

A-1+

 

 

$

6,845

5

 

Buncombe Cnty. Met. Swr. Dist. Swr. Sys. RB, 3.91%, 1/04/07, XLCA, FRWD

 

$

6,845,000

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Ohio—7.1%

 

 

 

 

VMIG1

 

 

 

10,000

5

 

Columbus Regl. Arpt. Auth., Port, Arpt. & Marina RB, Ser. A, 3.93%, 1/04/07, FRWD

 

 

10,000,000

 

VMIG1

 

 

 

8,900

5

 

Cnty. of Hamilton, Hlth., Hosp. & Nursing Home Impvts. RB, Elizabeth Gamble Deacones Proj., Ser. A, 3.87%, 1/03/07, FRWD

 

 

8,900,000

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

18,900,000

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Pennsylvania—1.0%

 

 

 

 

A-1+

 

 

 

1,500

5

 

Emmaus Gen. Auth., Misc. RB, 3.92%, 1/03/07, FSA, FRWD

 

 

1,500,000

 

A-1+

 

 

 

1,100

5

 

Harrisburg Auth., Misc. RB, Harrisburg Proj., 3.91%, 1/04/07, AMBAC, FRWD

 

 

1,100,000

 

VMIG1

 

 

 

105

5

 

Higher Edl. Facs. Auth., Univ. & Coll. Impvts. RB, St. Sys. Higher Ed. Proj., Ser. AB, 3.91%, 1/04/07, MBIA, FRWD

 

 

105,000

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

2,705,000

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Tennessee—2.5%

 

 

 

 

VMIG1

 

 

 

6,620

5

 

Clarksville Pub. Bldg. Auth., Pub. Impvt. Misc. RB, 4.00%, 1/02/07, FRDD

 

 

6,620,000

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


 

 

 

 

 

 

 

 

Shares
(000)

 

 

 

 

 

 

 

 


 

 

 

 

 

 

 

 

 

 

 

 

 

Money Market Fund—13.3%

 

 

 

 

NR

 

 

 

35,414

 

 

AIM Tax Free Cash Reserve Portfolio—Institutional Class

 

 

35,413,909

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Total Short-Term Investments (cost $90,346,909)

 

 

90,346,909

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Total Investments—162.7% (cost $422,192,4236)

 

$

433,039,553

 

 

 

 

 

 

 

 

Other assets in excess of liabilities—1.4%

 

 

3,605,119

 

 

 

 

 

 

 

 

Preferred shares at redemption value, including dividends payable—(64.1)%

 

 

(170,536,157

)

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Net Assets Applicable to Common Shareholders—100%

 

$

266,108,515

 

 

 

 

 

 

 

 

 

 



 


 

 


1

Using the highest of S&P’s, Moody’s or Fitch’s ratings.

 

 

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 collateralized by Municipal or U.S. Treasury obligations.

 

 

4

This bond is prerefunded. 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.

 

 

5

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. Rate shown is rate as of December 31, 2006.

 

 

6

Cost for federal income tax purposes is $421,867,106. The net unrealized appreciation on a tax basis is $11,172,447, consisting of $11,346,497 gross unrealized appreciation and $174,050 gross unrealized depreciation.

 

 

 

The value (market value plus accrued interest) of securities that are covered by insurance, which ensures the payment of principal and interest, represent approximately 87.0% of the Trust’s managed assets.


 

 

 

 

 

 

AMBAC

 

 

14.0

%

FGIC

 

 

16.4

%

FSA

 

 

16.7

%

MBIA

 

 

30.2

%

XLCA

 

 

1.6

%

Other

 

 

8.1

%


 

 

 

 

 

 

 

 

KEY TO ABBREVIATIONS

 

 

AMBAC

   —   

American Municipal Bond Assurance Corp.

FSA

   —   

Financial Security Assurance

 

COP

   —   

Certificate of Participation

GO

   —   

General Obligation

 

ETM

   —   

Escrowed to Maturity

MBIA

   —   

Municipal Bond Insurance Assoc.

 

FGIC

   —   

Financial Guaranty Insurance Co.

RB

   —   

Revenue Bond

 

FRDD

   —   

Floating Rate Daily Demand

ST

   —   

Special Tax

 

FRWD

   —   

Floating Rate Weekly Demand

XLCA

   —   

XL Capital Assurance

 

 

 

 

 

 

 

See Notes to Financial Statements.

22


PORTFOLIO OF INVESTMENTS
DECEMBER 31, 2006

BlackRock Municipal 2018 Term Trust (BPK)

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Option Call
Provisions2
(Unaudited)

 

Value

 















 

 

 

 

 

 

 

LONG-TERM INVESTMENTS—151.3%

 

 

 

 

 

 

 

 

 

 

 

 

 

Alabama—2.5%

 

 

 

 

 

 

A2

 

 

$

5,845

 

 

Huntsville Hlth. Care Auth., Hlth., Hosp. & Nursing Home RB, Ser. A, 5.625%, 6/01/22

 

06/12 @ 101

 

$

6,282,791

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

California—7.1%

 

 

 

 

 

 

A

 

 

 

1,750

 

 

Agua Caliente Band of Cahuilla Indians, Casino Parimutuel Betting RB, 5.60%, 7/01/13

 

No Opt. Call

 

 

1,821,488

 

NR

 

 

 

1,120

 

 

City of Lincoln, Pub Impvts. ST, 5.90%, 9/01/24

 

09/13 @ 102

 

 

1,165,349

 

AAA

 

 

 

5,425

 

 

Clovis Unified Sch. Dist., Sch. Impvts. Ad Valorem Ppty. Tax GO, Ser. A, Zero Coupon, 8/01/21, FGIC

 

No Opt. Call

 

 

2,908,071

 

 

 

 

 

 

 

 

Poll. Control Fing. Auth., Rec. Recovery Impvts. RB,

 

 

 

 

 

 

BBB

 

 

 

6,500

 

 

Chemical Wst. Mgmt., Inc. Proj., Ser. C, 5.125%, 11/01/23, AMT

 

11/15 @ 101

 

 

6,827,340

 

BBB+

 

 

 

5,000

 

 

Republic Svcs., Inc. Proj., Ser. C, 5.25%, 6/01/23, AMT

 

No Opt. Call

 

 

5,325,050

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

18,047,298

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Colorado—4.3%

 

 

 

 

 

 

BBB

 

 

 

5,000

 

 

Hsg. & Fin. Auth., Rec. Recovery Misc. RB, Wst. Mgmt., Inc. Proj., 5.70%, 7/01/18, AMT

 

No Opt. Call

 

 

5,523,850

 

Baa2

 

 

 

5,010

 

 

Park Creek Met. Dist., Sr. Ltd. Ppty. Tax Misc. RB, 5.25%, 12/01/20

 

12/15 @ 101

 

 

5,294,418

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

10,818,268

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Connecticut—1.5%

 

 

 

 

 

 

Baa3

 

 

 

3,750

3

 

Mashantucket Western Pequot Tribe, Recreational RB, Ser. B, 5.75%, 9/01/18

 

09/07 @ 102

 

 

3,852,225

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Florida—9.9%

 

 

 

 

 

 

NR

 

 

 

670

 

 

Baywinds Cmnty. Dev. Dist., Pub. Impvts. SA, Ser. B, 4.90%, 5/01/12

 

No Opt. Call

 

 

666,791

 

NR

 

 

 

2,000

 

 

CFM Cmnty. Dev. Dist., Pub. Impvt. SA, Ser. B, 5.875%, 5/01/14

 

No Opt. Call

 

 

2,080,100

 

NR4

 

 

 

90

 

 

Live Oak Cmnty. Dev. Dist. No. 1, Pub. Impvts. SA, Ser. B, 5.30%, 5/01/08

 

No Opt. Call

 

 

90,107

 

NR

 

 

 

1,750

 

 

Live Oak Cmnty. Dev. Dist. No. 2, Pub. Impvts. SA, Ser. B, 5.00%, 11/01/09

 

No Opt. Call

 

 

1,739,202

 

BB+

 

 

 

4,515

 

 

Miami Beach Hlth. Facs. Auth., Hlth., Hosp. & Nursing Home Impvts. RB, Mt. Sinai Med. Ctr. Proj., 6.75%, 11/15/21

 

11/14 @ 100

 

 

5,153,331

 

NR

 

 

 

1,465

 

 

Pine Island Cmnty. Dev. Dist., Pub. Impvt. Misc. RB, 5.30%, 11/01/10

 

No Opt. Call

 

 

1,484,162

 

NR

 

 

 

3,380

 

 

Stevens Plantation Cmnty. Dev. Dist., Pub. Impvts. SA, Ser. B, 6.375%, 5/01/13

 

No Opt. Call

 

 

3,415,760

 

NR4

 

 

 

5,410

 

 

Vlg. Ctr. Cmnty. Dev. Dist., Recreational Fac. Impvt. RB, Ser. B, 5.875%, 1/01/15

 

No Opt. Call

 

 

5,652,043

 

NR

 

 

 

3,130

 

 

Vlg. of Westport Cmnty. Dev. Dist., Pub. Impvt. RB, Ser. A, 5.40%, 5/01/20

 

05/13 @ 100

 

 

3,200,488

 

NR

 

 

 

1,450

 

 

Westchester Cmnty. Dev. Dist. No. 1, Pub. Impvts. SA, 6.00%, 5/01/23

 

05/13 @ 101

 

 

1,543,308

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

25,025,292

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Illinois—24.5%

 

 

 

 

 

 

NR

 

 

 

1,825

3

 

Centerpoint Intermodal Ctr. Prog. Trust TA, Ser. A, 8.00%, 6/15/23

 

No Opt. Call

 

 

1,877,578

 

 

 

 

 

 

 

 

Chicago O’Hare Intl. Arpt., Port, Arpt. & Marina RB,

 

 

 

 

 

 

AAA

 

 

 

5,000

 

 

Ser. A, 5.00%, 1/01/19, AMBAC

 

01/16 @ 100

 

 

5,363,250

 

AAA

 

 

 

8,000

 

 

Ser. A, 5.00%, 1/01/20, AMBAC

 

01/16 @ 100

 

 

8,556,240

 

AAA

 

 

 

5,000

 

 

Ser. A, 5.75%, 1/01/18, MBIA, AMT

 

01/12 @ 100

 

 

5,391,000

 

AAA

 

 

 

5,980

5

 

Edl. Facs. Auth., Univ. & Coll. Impvts. RB, Edl. Adv. Fund, Inc. Proj., 6.00%, 5/01/12

 

N/A

 

 

6,701,965

 

 

 

 

 

 

 

 

Fin. Auth.,

 

 

 

 

 

 

A2

 

 

 

12,500

5

 

Cash Flow Mgmt. Hlth., Hosp. & Nursing Home RB, Sunbelt Proj., 5.50%, 11/15/09

 

N/A

 

 

13,257,750

 

Baa2

 

 

 

2,750

 

 

Univ. & Coll. Impvts. RB, MJH Ed. Asst. LLC Proj., Ser. A, 5.50%, 6/01/19

 

06/14 @ 100

 

 

2,939,667

 

A

 

 

 

5,000

 

 

Hlth. Facs. Auth., Hlth., Hosp. & Nursing Home RB, Elmhurst Mem. Hosp. Proj., 5.50%, 1/01/22

 

01/13 @ 100

 

 

5,322,750

 

 

 

 

 

 

 

 

Kane & Du Page Cntys. Cmnty. Unit Sch. Dist. No. 303, Sch. Impvts. Ad Valorem Ppty. Tax GO,

 

 

 

 

 

 

AAA

 

 

 

4,625

5

 

Ser. B, Zero Coupon, 1/01/12, FSA

 

N/A

 

 

2,770,283

 

AAA

 

 

 

4,100

5

 

Ser. B, Zero Coupon, 1/01/12, FSA

 

N/A

 

 

2,303,585

 

AAA

 

 

 

2,950

5

 

Ser. B, Zero Coupon, 1/01/12, FSA

 

N/A

 

 

1,464,764

 

AAA

 

 

 

1,700

5

 

Ser. B, Zero Coupon, 1/01/12, FSA

 

N/A

 

 

793,713

 

 

 

 

 

 

 

 

Sports Facs. Auth., Recreational Fac. Impvts. Misc. Tax RB,

 

 

 

 

 

 

AAA

 

 

 

1,885

 

 

Zero Coupon, 6/15/19, AMBAC

 

06/15 @ 101

 

 

1,733,597

 

AAA

 

 

 

1,985

 

 

Zero Coupon, 6/15/20, AMBAC

 

06/15 @ 101

 

 

1,825,148

 

AAA

 

 

 

2,090

 

 

Zero Coupon, 6/15/21, AMBAC

 

06/15 @ 101

 

 

1,921,253

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

62,222,543

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Indiana—10.4%

 

 

 

 

 

 

AA

 

 

 

13,970

5

 

Hlth. Fac. Fing. Auth., Hlth., Hosp. & Nursing Home Impvts. RB, Sisters of St. Francis Hlth. Proj., 5.75%, 11/01/11

 

N/A

 

 

15,337,943

 

BBB

 

 

 

2,500

 

 

Indianapolis Arpt. Auth., Port, Arpt. & Marina RB, FedEx Corp. Proj., 5.10%, 1/15/17, AMT

 

No Opt. Call

 

 

2,640,375

 

BBB+

 

 

 

4,000

 

 

Petersburg, Indl. RB, Indianapolis Pwr. & Lt. Co. Proj., 5.75%, 8/01/21

 

08/11 @ 102

 

 

4,203,760

 

See Notes to Financial Statements.

23


BlackRock Municipal 2018 Term Trust (BPK) (continued)

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Option Call
Provisions2
(Unaudited)

 

Value

 











 

 

 

 

 

 

 

Indiana—(cont’d)

 

 

 

 

 

 

NR

 

 

$

4,215

 

 

Vincennes, Econ. Dev. RB, Southwest Indiana Regl. Youth Proj., 6.25%, 1/01/24

 

01/09 @ 102

 

$

4,247,413

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

26,429,491

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Louisiana—1.3%

 

 

 

 

 

 

AAA

 

 

 

3,145

 

 

Pub. Facs. Auth., Pub. Impvts. Misc. RB, 5.875%, 6/15/14, MBIA

 

06/10 @ 100

 

 

3,339,109

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Maryland—2.1%

 

 

 

 

 

 

NR

 

 

 

5,170

 

 

Frederick Cnty., Pub. Impvts. Spl. Tax ST, Urbana Cmnty. Dev. Auth. Proj., Ser. A, 5.80%, 7/01/20

 

07/07 @ 102

 

 

5,312,175

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Michigan—3.0%

 

 

 

 

 

 

A1

 

 

 

5,450

5

 

Hosp. Fin. Auth., Hlth., Hosp. & Nursing Home RB, Henry Ford Hlth. Sys. Proj., Ser. A, 6.00%, 11/15/09

 

N/A

 

 

5,854,226

 

 

 

 

 

 

 

 

Pontiac Tax Increment Fin. Auth.,

 

 

 

 

 

 

A

 

 

 

700

 

 

Dev. Area 2, Tax Incr./Alloc. RB, 5.625%, 6/01/22, ACA

 

06/12 @ 101

 

 

745,073

 

A

 

 

 

1,000

 

 

Dev. Area 3, Tax Incr./Alloc. RB, 5.375%, 6/01/17, ACA

 

06/12 @ 101

 

 

1,054,000

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

7,653,299

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Mississippi—4.3%

 

 

 

 

 

 

BBB

 

 

 

9,000

 

 

Lowndes Cnty., Indl. RB, Weyerhaeuser Co. Proj., Ser. A, 6.80%, 4/01/22

 

No Opt. Call

 

 

10,927,080

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Multi-State—10.4%

 

 

 

 

 

 

A3

 

 

 

14,000

3

 

Charter Mac Equity Issuer Trust, Ser. A-3, 6.80%, 10/01/52

 

10/14 @ 100

 

 

15,988,700

 

 

 

 

 

 

 

 

Munimae TE Bond Subsidiary, LLC,

 

 

 

 

 

 

Baa1

 

 

 

6,000

3

 

Ser. B2, 5.20%, 6/30/49

 

09/14 @ 100

 

 

6,207,000

 

Baa3

 

 

 

4,000

3

 

Ser. D, 5.90%, 9/15/49

 

09/15 @ 101

 

 

4,247,520

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

26,443,220

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Nevada—3.0%

 

 

 

 

 

 

BBB+

 

 

 

5,000

 

 

Director of the State of Nevada Dept. of Bus. & Ind., Rec. Recovery Impvts. RB, Republic Svcs., Inc. Proj., 5.625%, 12/01/26, AMT

 

No Opt. Call

 

 

5,516,800

 

NR

 

 

 

1,000

 

 

Henderson Local Impvt. Dists., Pub. Impvts. SA, 5.15%, 9/01/21

 

03/07 @ 103

 

 

1,022,140

 

NR

 

 

 

1,090

 

 

Las Vegas Spl. Dist. 809, Pub. Impvts. RB, Summerlin Area Proj., 5.35%, 6/01/17

 

06/07 @ 103

 

 

1,124,716

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

7,663,656

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

New Hampshire—6.3%

 

 

 

 

 

 

 

 

 

 

 

 

 

Bus. Fin. Auth.,

 

 

 

 

 

 

Aaa

 

 

 

6,000

 

 

Indl. RB, Pub. Svc. Co. Proj., Ser. B, 4.75%, 5/01/21, MBIA, AMT

 

06/13 @ 102

 

 

6,142,920

 

AAA

 

 

 

7,000

 

 

Rec. Recovery RB, Pub. Svc. Co. Proj., Ser. C, 5.45%, 5/01/21, MBIA

 

05/12 @ 101

 

 

7,586,950

 

A+

 

 

 

2,025

 

 

Hlth. & Ed. Facs. Auth., Hlth., Hosp. & Nursing Home RB, Exeter Hosp./Healthcare, Inc. Proj., 6.00%, 10/01/24

 

10/11 @ 101

 

 

2,228,371

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

15,958,241

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

New Jersey—12.6%

 

 

 

 

 

 

 

 

 

 

 

 

 

Econ. Dev. Auth.,

 

 

 

 

 

 

BBB

 

 

 

8,500

 

 

Econ. Impvts Misc. RB, Cigarette Tax Proj., 5.50%, 6/15/24

 

06/12 @ 100

 

 

8,959,085

 

B

 

 

 

4,065

 

 

Port, Arpt. & Marina Impvts. RB, Continental Airlines, Inc. Proj., 7.00%, 11/15/30, AMT

 

11/10 @ 101

 

 

4,349,022

 

B

 

 

 

6,750

 

 

Port, Arpt. & Marina Impvts. RB, Continental Airlines, Inc. Proj., 7.20%, 11/15/30, AMT

 

11/10 @ 101

 

 

7,229,182

 

Baa3

 

 

 

8,410

 

 

SA, Kapkowski Rd. Landfill Proj., 5.50%, 4/01/16

 

No Opt. Call

 

 

8,837,396

 

NR

 

 

 

2,500

 

 

Middlesex Cnty. Impvt. Auth., Pub. Impvts. Hotel Occupancy Tax RB, Heldrich Associates LLC Proj., Ser. B, 6.125%, 1/01/25

 

01/15 @ 100

 

 

2,580,325

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

31,955,010

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

New York—8.0%

 

 

 

 

 

 

AA-

 

 

 

7,500

 

 

City of New York, Pub. Impvts. Ad Valorem Ppty. Tax GO, 5.00%, 9/01/18

 

09/15 @ 100

 

 

8,016,300

 

B

 

 

 

3,460

 

 

New York City Indl. Dev. Agcy., Port, Arpt. & Marina Impvts. RB, American Airlines, Inc. Proj., 7.625%, 8/01/25, AMT

 

08/16 @ 101

 

 

4,239,400

 

AA-

 

 

 

7,500

 

 

Tobacco Settlement Fing., Hsg. Tobacco Settlement Funded SA, Ser. B1, 5.50%, 6/01/20

 

06/13 @ 100

 

 

8,166,825

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

20,422,525

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

North Carolina—1.7%

 

 

 

 

 

 

A-

 

 

 

4,000

 

 

Wake Cnty. Ind. Facs. & Poll. Control Fing. Auth., Indl. RB, Carolina Pwr. & Lt. Co. Proj., 5.375%, 2/01/17

 

02/12 @ 101

 

 

4,239,880

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Ohio—0.2%

 

 

 

 

 

 

NR

 

 

 

500

 

 

Pinnacle Cmnty. Infrastructure Fing. Auth., Hsg. Misc. RB, Ser. A, 6.00%, 12/01/22

 

12/14 @ 101

 

 

527,145

 

 

 

 

 

 

 

 

 

 

 

 



 

See Notes to Financial Statements.

24


BlackRock Municipal 2018 Term Trust (BPK) (continued)

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Option Call
Provisions2
(Unaudited)

 

Value

 















 

 

 

 

 

 

 

Oklahoma—1.2%

 

 

 

 

 

 

B

 

 

$

2,700

 

 

Tulsa Mun. Arpt. Trust, Port, Arpt. & Marina Impvts. RB, AMR Corp. Proj., Ser. A, 7.75%, 6/01/35, AMT

 

No Opt. Call

 

$

3,116,286

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Pennsylvania—7.3%

 

 

 

 

 

 

NR

 

 

 

2,000

 

 

Montgomery Cnty. Indl. Dev. Auth., Hlth., Hosp. & Nursing Home RB, Whitemarsh Continuing Care Proj., 6.00%, 2/01/21

 

02/15 @ 100

 

 

2,123,420

 

 

 

 

 

 

 

 

Philadelphia Auth. for Indl. Dev., Indl. Impvts. RB,

 

 

 

 

 

 

AAA

 

 

 

5,000

 

 

Ser. B, 5.50%, 10/01/18, FSA

 

10/11 @ 101

 

 

5,401,300

 

AAA

 

 

 

5,000

 

 

Ser. B, 5.50%, 10/01/19, FSA

 

10/11 @ 101

 

 

5,401,300

 

 

 

 

 

 

 

 

West Cornwall Twnshp. Mun. Auth., Univ. & Coll. Impvts. RB, Elizabethtown Coll. Proj.,

 

 

 

 

 

 

BBB+

 

 

 

2,500

5

 

5.90%, 12/15/11

 

N/A

 

 

2,743,600

 

BBB+

 

 

 

2,650

5

 

6.00%, 12/15/11

 

N/A

 

 

2,920,114

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

18,589,734

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Puerto Rico—1.1%

 

 

 

 

 

 

BBB

 

 

 

2,665

 

 

Comnwlth., Pub. Impvts. Ad Valorem Ppty. Tax GO, Ser. B, 5.25%, 7/01/17

 

07/16 @ 100

 

 

2,904,264

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

South Carolina—2.2%

 

 

 

 

 

 

BBB+

 

 

 

5,000

 

 

Jobs-Econ. Dev. Auth., Hlth., Hosp. & Nursing Home RB, Palmetto Hlth. Alliance Proj., Ser. A, 6.125%, 8/01/23

 

08/13 @ 100

 

 

5,571,600

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Tennessee—2.6%

 

 

 

 

 

 

AAA

 

 

 

12,000

 

 

Knox Cnty. Hlth. Edl. & Hsg. Facs. Brd., Hlth., Hosp. & Nursing Home RB, Covenant Hlth. Proj., Ser. A, Zero Coupon, 1/01/19, FSA

 

01/13 @ 71.667

 

 

6,633,600

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Texas—11.2%

 

 

 

 

 

 

BBB

 

 

 

2,000

 

 

Alliance Arpt. Auth., Indl. RB, FedEx Corp. Proj., 4.85%, 4/01/21, AMT

 

04/16 @ 100

 

 

2,034,180

 

 

 

 

 

 

 

 

Birdville Indpt. Sch. Dist., Ad Valorem Ppty. Tax GO,

 

 

 

 

 

 

AAA

 

 

 

1,615

 

 

Zero Coupon, 2/15/18, PSF

 

No Opt. Call

 

 

1,015,835

 

AAA

 

 

 

1,815

 

 

Zero Coupon, 2/15/19, PSF

 

No Opt. Call

 

 

1,088,564

 

AAA

 

 

 

2,625

 

 

Zero Coupon, 2/15/20, PSF

 

No Opt. Call

 

 

1,501,658

 

AAA

 

 

 

2,500

 

 

Zero Coupon, 2/15/21, PSF

 

No Opt. Call

 

 

1,363,025

 

BBB

 

 

 

10,010

 

 

Brazos River Auth., Rec. Recovery RB, TXU Energy Co. LLC Proj., Ser. C, 5.75%, 5/01/36, AMT

 

No Opt. Call

 

 

10,614,003

 

AAA

 

 

 

5,000

 

 

Dallas-Fort Worth Intl. Arpt. Facs. Impvt. Corp., Port, Arpt. & Marina RB,

 

11/11 @ 100

 

 

5,408,450

 

 

 

 

 

 

 

 

Ser. A, 5.875%, 11/01/17, FGIC, AMT

 

 

 

 

 

 

AAA

 

 

 

5,000

 

 

Ser. A, 5.875%, 11/01/18, FGIC, AMT

 

11/11 @ 100

 

 

5,408,450

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

28,434,165

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Trust Territories—1.6%

 

 

 

 

 

 

A

 

 

 

4,000

3

 

San Manuel Entertainment Auth. RB, 2004 Gaming Proj., Ser. C, 4.50%, 12/01/16

 

12/13 @ 102

 

 

3,999,880

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Washington—4.5%

 

 

 

 

 

 

 

 

 

 

 

 

 

Energy Northwest, Elec., Pwr. & Lt. RB,

 

 

 

 

 

 

A-

 

 

 

5,000

5

 

Ser. A, 6.00%, 1/01/07

 

N/A

 

 

5,150,600

 

A-

 

 

 

6,175

5

 

Ser. B, 5.875%, 1/01/07

 

N/A

 

 

6,360,929

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

11,511,529

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Wisconsin—6.5%

 

 

 

 

 

 

 

 

 

 

 

 

 

Hlth. & Edl. Facs. Auth., Hlth., Hosp. & Nursing Home RB,

 

 

 

 

 

 

AA-

 

 

 

4,560

5

 

Foredert & Cmnty. Proj., 5.375%, 10/01/11

 

N/A

 

 

4,920,012

 

AA-

 

 

 

440

 

 

Foredert & Cmnty. Proj., 5.375%, 10/01/21

 

10/11 @ 101

 

 

471,360

 

A-

 

 

 

10,000

5

 

Wheaton Franciscan Svcs. Proj., 6.25%, 2/15/12

 

N/A

 

 

11,208,200

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

16,599,572

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Total Long-Term Investments (cost $358,019,335)

 

 

 

 

384,479,878

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

SHORT-TERM INVESTMENTS—1.4%

 

 

 

 

 

 

 

 

 

 

 

 

 

Tennessee—0.6%

 

 

 

 

 

 

VMIG1

 

 

 

1,500

6

 

Montgomery Cnty. Pub. Bldg. Auth., Pub. Impvt. Misc. RB, 4.00%, 1/02/07, FRDD`

 

N/A

 

 

1,500,000

 

 

 

 

 

 

 

 

 

 

 

 



 

See Notes to Financial Statements.

25


BlackRock Municipal 2018 Term Trust (BPK) (continued)

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

Shares
(000)

 

Description

 

Value

 









 

 

 

 

 

 

Money Market Fund—0.8%

 

 

 

 

 

 

 

 

1,900

 

AIM Tax Free Cash Reserve Portfolio— Institutional Class

 

$

1,900,000

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

Total Short-Term Investments (cost $3,400,000)

 

 

3,400,000

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

Total Investments—152.7% (cost $361,419,3357)

 

$

387,879,878

 

 

 

 

 

 

 

Other assets in excess of liabilities—1.5%

 

 

3,889,044

 

 

 

 

 

 

 

Preferred shares at redemption value, including dividends payable—(54.2)%

 

 

(137,651,935

)

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

Net Assets Applicable to Common Shareholders—100%

 

$

254,116,987

 

 

 

 

 

 

 

 

 



 


 

 

1

Using the highest of S&P’s, Moody’s or Fitch’s ratings.

 

 

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, 2006, the Trust held 14.2% of its net assets, with a current market value of $36,172,903, in securities restricted as to resale.

 

 

4

Security is deemed to be of investment grade quality by the investment advisor.

 

 

5

This bond is prerefunded. 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. Rate shown is rate as of December 31, 2006.

 

 

7

Cost for federal income tax purposes is $361,306,464. The net unrealized appreciation on a tax basis is $26,573,414, consisting of $26,586,203 gross unrealized appreciation and $12,789 gross unrealized depreciation.


 

 

 

 

 

 

 

KEY TO ABBREVIATIONS

 

 

 

 

 

 

 

ACA

American Capital Access

 

MBIA

Municipal Bond Insurance Assoc.

AMBAC

American Municipal Bond Assurance Corp.

 

PSF

Public School Fund Guaranteed

AMT

Subject to Alternative Minimum Tax

 

RB

Revenue Bond

FGIC

Financial Guaranty Insurance Co.

 

SA

Special Assessment

FRDD

Floating Rate Daily Demand

 

ST

Special Tax

FSA

Financial Security Assurance

 

TA

Tax Allocation

GO

General Obligation

 

 

 

 

See Notes to Financial Statements.

26


PORTFOLIO OF INVESTMENTS
DECEMBER 31, 2006

BlackRock Municipal 2020 Term Trust (BKK)

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Option Call
Provisions2
(Unaudited)

 

Value

 











 

 

 

 

 

 

 

LONG-TERM INVESTMENTS—152.3%

 

 

 

 

 

 

 

 

 

 

 

 

 

California—22.7%

 

 

 

 

 

 

A+

 

 

$

12,000

 

 

California, Cash Flow Mgmt. Ad Valorem Ppty. Tax GO, 5.00%, 11/01/22

 

11/13 @ 100

 

$

12,674,400

 

 

 

 

 

 

 

 

Foothill/Eastern Transp. Corridor Agcy., Toll Rd. Hwy Tolls RB, Cap. Apprec. Proj.,

 

 

 

 

 

 

BBB

 

 

 

12,500

 

 

Zero Coupon, 1/15/21

 

01/10 @ 53.346

 

 

5,778,500

 

BBB

 

 

 

10,000

 

 

Zero Coupon, 1/15/22

 

01/10 @ 50.177

 

 

4,345,600

 

 

 

 

 

 

 

 

Golden St. Tobacco Sec. Corp., Misc. Purp. Tobacco Settlement Funded RB,

 

 

 

 

 

 

BBB

 

 

 

3,000

 

 

Ser. A-1, 6.625%, 6/01/40

 

06/13 @ 100

 

 

3,410,370

 

BBB

 

 

 

12,010

 

 

Ser. A-1, 6.75%, 6/01/39

 

06/13 @ 100

 

 

13,750,489

 

BBB

 

 

 

975

 

 

Ser. A-3, 7.875%, 6/01/42

 

06/13 @ 100

 

 

1,193,634

 

BBB

 

 

 

1,470

 

 

Ser. A-5, 7.875%, 6/01/42

 

06/13 @ 100

 

 

1,799,633

 

AAA

 

 

 

20,000

3

 

Ser. B, 5.375%, 6/01/10

 

N/A

 

 

21,132,800

 

AAA

 

 

 

6,865

 

 

Riverside Cnty. Asset Leasing Corp., Hlth., Hosp. & Nursing Home Impvts. RB, Riverside Cnty. Hosp. Proj., Zero Coupon, 6/01/25, MBIA

 

No Opt. Call

 

 

3,040,508

 

A+

 

 

 

5,000

 

 

Statewide Cmntys. Dev. Auth., Hlth., Hosp. & Nursing Home Impvts. RB, John Muir Hlth. Proj.,
Ser. A, 5.00%, 8/15/22

 

08/16 @ 100

 

 

5,261,200

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

72,387,134

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Colorado—1.7%

 

 

 

 

 

 

AAA

 

 

 

4,500

 

 

E-470 Pub. Hwy. Auth., Hwy Impvt. Tolls RB, Ser. B, Zero Coupon, 9/01/22, MBIA

 

No Opt. Call

 

 

2,288,970

 

Baa2

 

 

 

3,000

 

 

Park Creek Met. Dist., Misc. RB, 5.25%, 12/01/25

 

12/15 @ 101

 

 

3,159,030

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

5,448,000

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

District of Columbia—5.2%

 

 

 

 

 

 

AAA

 

 

 

5,000

 

 

Met. Washington Arpts. Auth., Port, Arpt. & Marina RB, Ser. C-2, 5.00%, 10/01/24, FSA, AMT

 

10/14 @ 100

 

 

5,218,350

 

 

 

 

 

 

 

 

Misc. RB, Friendship Pub. Charter Sch., Inc. Proj.,

 

 

 

 

 

 

A

 

 

 

3,320

 

 

5.00%, 6/01/23, ACA

 

06/14 @ 100

 

 

3,440,616

 

A

 

 

 

2,680

 

 

5.75%, 6/01/18, ACA

 

06/14 @ 100

 

 

2,935,297

 

BBB

 

 

 

4,215

 

 

Tobacco Settlement Fing. Corp., Tobacco Settlement Funded RB, 6.50%, 5/15/33

 

No Opt. Call

 

 

5,060,360

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

16,654,623

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Florida—14.0%

 

 

 

 

 

 

NR

 

 

 

830

 

 

Baywinds Cmnty. Dev. Dist., Pub. Impvts. SA, Ser. B, 4.90%, 5/01/12

 

No Opt. Call

 

 

826,024

 

NR

 

 

 

4,690

 

 

Bellalago Edl. Facs. Benefit Dist., Sch. Impvts. SA, Ser. A, 5.85%, 5/01/22

 

05/14 @ 100

 

 

4,952,640

 

NR

 

 

 

3,000

 

 

CFM Cmnty. Dev. Dist., Pub. Impvts. SA, Ser. B, 5.875%, 5/01/14

 

No Opt. Call

 

 

3,120,150

 

NR

 

 

 

4,320

 

 

Grand Hampton Cmnty. Dev. Dist., Pub. Impvt. Misc. RB, 6.10%, 5/01/24

 

05/13 @ 101

 

 

4,630,997

 

NR

 

 

 

4,025

 

 

Habitat Cmnty. Dev. Dist., Pub Impvts. SA, 5.80%, 5/01/25

 

05/14 @ 101

 

 

4,211,358

 

BB+

 

 

 

5,475

 

 

Miami Beach Hlth. Facs. Auth., Hlth., Hosp. & Nursing Home Impvts. RB, Mt. Sinai Med. Ctr. Proj., 6.75%, 11/15/21

 

11/14 @ 100

 

 

6,249,055

 

NR

 

 

 

4,525

 

 

Middle Vlg. Cmnty. Dev. Dist., Econ. Impvts. SA, Ser. A, 5.80%, 5/01/22

 

05/13 @ 100

 

 

4,761,884

 

NR

 

 

 

915

 

 

Pine Island Cmnty. Dev. Dist., Pub. Impvt. Misc. RB, 5.30%, 11/01/10

 

No Opt. Call

 

 

926,968

 

NR

 

 

 

5,245

 

 

Stevens Plantation Cmnty. Dev. Dist., Pub. Impvts. SA, Ser. B, 6.375%, 5/01/13

 

No Opt. Call

 

 

5,300,492

 

NR

 

 

 

3,250

 

 

Vlg. Cmnty. Dev. Dist. No. 5, Pub. Impvts. SA, Ser. A, 6.00%, 5/01/22

 

05/13 @ 101

 

 

3,445,293

 

NR

 

 

 

5,810

 

 

Westchester Cmnty. Dev. Dist. No. 1, Pub. Impvts. SA, 6.00%, 5/01/23

 

05/13 @ 101

 

 

6,183,873

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

44,608,734

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Georgia—1.6%

 

 

 

 

 

 

BBB

 

 

 

2,500

 

 

Milledgeville & Baldwin Cnty. Dev. Auth., Univ. & Coll. Impvts. RB, Georgia Coll. & St. Univ. Fndtn. Proj., 5.50%, 9/01/24

 

09/14 @ 101

 

 

2,678,275

 

BBB

 

 

 

2,350

 

 

Richmond Cnty. Dev. Auth., Mult. Util. Impvts. Misc. RB, Intl. Paper Co. Proj., 5.75%, 11/01/27, AMT

 

11/13 @ 100

 

 

2,474,479

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

5,152,754

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Illinois—12.4%

 

 

 

 

 

 

NR

 

 

 

2,155

4

 

Centerpoint Intermodal Ctr. Prog. Trust TA, Ser. A, 8.00%, 6/15/23

 

No Opt. Call

 

 

2,217,086

 

 

 

 

 

 

 

 

Chicago O’Hare Intl. Arpt., Port, Arpt. & Marina RB,

 

 

 

 

 

 

AAA

 

 

 

5,000

 

 

Ser. A, 5.00%, 1/01/21, AMBAC

 

01/16 @ 100

 

 

5,339,900

 

AAA

 

 

 

7,000

 

 

Ser. A, 5.00%, 1/01/22, AMBAC

 

01/16 @ 100

 

 

7,464,940

 

AAA

 

 

 

4,800

 

 

Edl. Fac. Auth., Univ. & Coll. Impvts. RB, Northwestern Univ. Proj., 5.00%, 12/01/21

 

12/13 @ 100

 

 

5,075,712

 

See Notes to Financial Statements.

27



BlackRock Municipal 2020 Term Trust (BKK) (continued)

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Option Call
Provisions2
(Unaudited)

 

Value

 















 

 

 

 

 

 

 

Illinois—(cont’d)

 

 

 

 

 

 

 

 

 

 

 

 

 

Fin. Auth., Univ. & Coll. Impvts. RB,

 

 

 

 

 

 

A-

 

 

$

5,000

 

 

DePaul Univ. Proj., Ser. C, 5.25%, 10/01/24

 

10/14 @ 100

 

$

5,252,900

 

Baa2

 

 

 

2,725

 

 

MJH Ed. Asst. LLC Proj., Ser. A, 5.00%, 6/01/24

 

06/14 @ 100

 

 

2,808,330

 

Baa2

 

 

 

3,250

 

 

MJH Ed. Asst. LLC Proj., Ser. A, 5.50%, 6/01/19

 

06/14 @ 100

 

 

3,474,152

 

Baa3

 

 

 

1,075

 

 

MJH Ed. Asst. LLC Proj., Ser. B, 5.00%, 6/01/24

 

06/14 @ 100

 

 

1,090,932

 

AAA

 

 

 

13,455

 

 

Met. Pier & Expo. Auth., Misc. Tax RB, McCormick Place Expansion Proj., Ser. A, Zero Coupon, 6/15/22, MBIA

 

No Opt. Call

 

 

6,927,576

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

39,651,528

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Indiana—4.9%

 

 

 

 

 

 

BBB

 

 

 

10,000

 

 

Indianapolis Arpt. Auth., Port, Arpt. & Marina RB, FedEx Corp. Proj., 5.10%, 1/15/17, AMT

 

No Opt. Call

 

 

10,561,500

 

NR

 

 

 

4,975

 

 

Vincennes, Econ. Dev. RB, Southwest Indiana Regl. Youth Proj., 6.25%, 1/01/24

 

01/09 @ 102

 

 

5,013,258

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

15,574,758

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Kansas—1.1%

 

 

 

 

 

 

AAA

 

 

 

6,440

 

 

Wyandotte Cnty. Kansas City Unified Gov’t., Recreational Fac. Impvts. Sales Tax RB, Intl. Speedway Proj., Zero Coupon, 12/01/20, MBIA

 

No Opt. Call

 

 

3,431,168

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Louisiana—0.7%

 

 

 

 

 

 

BBB

 

 

 

2,000

 

 

Desoto Parish, Mult. Util. Impvt. Misc. RB, Intl. Paper Co. Proj., Ser. A, 5.85%, 11/01/27, AMT

 

11/13 @ 100

 

 

2,129,920

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Maryland—5.5%

 

 

 

 

 

 

 

 

 

 

 

 

 

Frederick Cnty., Pub. Impvts. ST, Urbana Cmnty. Dev. Auth. Proj.,

 

 

 

 

 

 

NR

 

 

 

3,000

 

 

6.625%, 7/01/25

 

07/07 @ 102

 

 

3,084,450

 

NR

 

 

 

5,171

 

 

Ser. A, 5.80%, 7/01/20

 

07/07 @ 102

 

 

5,313,202

 

BBB+

 

 

 

8,500

 

 

Hlth. & Higher Edl. Facs. Auth., Hlth., Hosp. & Nursing Home RB, Medstar Hlth., Inc. Proj., 5.375%, 8/15/24

 

08/14 @ 100

 

 

9,054,285

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

17,451,937

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Massachusetts—1.5%

 

 

 

 

 

 

BBB

 

 

 

4,500

 

 

Dev. Fin. Agcy., Rec. Recovery Impvts. RB, Wst. Mgmt., Inc. Proj., 5.45%, 6/01/14, AMT

 

No Opt. Call

 

 

4,791,015

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Minnesota—0.4%

 

 

 

 

 

 

A2

 

 

 

1,250

 

 

Higher Ed. Facs. Auth., Univ. & Coll. Impvts. RB, Univ. of St. Thomas Proj., Ser. 5, 5.00%, 10/01/24

 

10/14 @ 100

 

 

1,310,463

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Mississippi—1.0%

 

 

 

 

 

 

BBB

 

 

 

3,000

 

 

Warren Cnty., Mult. Util. Impvts. Misc. RB, Intl. Paper Co. Proj., Ser. A, 5.85%, 11/01/27, AMT

 

11/13 @ 100

 

 

3,176,910

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Missouri—3.5%

 

 

 

 

 

 

BBB+

 

 

 

5,000

 

 

Dev. Fin. Brd., Econ. Impvts. RB, Branson Landing Proj., Ser. A, 5.50%, 12/01/24

 

06/14 @ 100

 

 

5,312,350

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

AA

 

 

 

5,500

 

 

Hlth. & Edl. Facs. Auth., Hlth., Hosp. & Nursing Home RB, BJC Hlth. Sys. Proj., Ser. A, 5.00%, 5/15/20

 

05/15 @ 100

 

 

5,835,720

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

11,148,070

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Multi-State—7.4%

 

 

 

 

 

 

 

 

 

 

 

 

 

Charter Mac Equity Issuer Trust,

 

 

 

 

 

 

A3

 

 

 

1,000

4

 

Ser. A, 5.75%, 4/30/15

 

No Opt. Call

 

 

1,077,940

 

A3

 

 

 

2,500

4

 

Ser. A, 6.00%, 4/30/19

 

No Opt. Call

 

 

2,773,075

 

Baa1

 

 

 

4,000

4

 

Ser. B, 6.00%, 4/30/15

 

No Opt. Call

 

 

4,347,320

 

Baa1

 

 

 

2,500

4

 

Ser. B, 6.30%, 4/30/19

 

No Opt. Call

 

 

2,812,625

 

 

 

 

 

 

 

 

Munimae TE Bond Subsidiary, LLC,

 

 

 

 

 

 

Baa2

 

 

 

5,000

4

 

Ser. C1, 4.40%, 6/29/49

 

09/14 @ 100

 

 

5,204,150

 

Baa2

 

 

 

5,000

4

 

Ser. C2, 5.80%, 6/29/49

 

09/19 @ 100

 

 

5,405,050

 

Baa3

 

 

 

2,000

4

 

Ser. D, 5.90%, 11/29/49

 

09/15 @ 101

 

 

2,123,760

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

23,743,920

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Nevada—2.2%

 

 

 

 

 

 

A+

 

 

 

5,000

 

 

Cnty. of Clark, Private Schs. RB, Alexander Dawson Sch. Rainbow Proj., 5.00%, 5/15/20

 

05/16 @ 100

 

 

5,267,550

 

NR

 

 

 

1,765

 

 

Henderson Local Impvt. Dist., Pub. Impvts. SA, 5.15%, 9/01/21

 

03/07 @ 103

 

 

1,804,077

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

7,071,627

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

New Hampshire—4.9%

 

 

 

 

 

 

Aaa

 

 

 

10,000

 

 

Bus. Fin. Auth., Indl. RB, Pub. Svc. Co. Proj., Ser. B, 4.75%, 5/01/21, MBIA, AMT

 

06/13 @ 102

 

 

10,238,200

 

A-

 

 

 

5,000

 

 

Hlth. & Ed. Facs. Auth., Hlth., Hosp. & Nursing Home RB, Elliot Hosp. Proj., Ser. B, 5.60%, 10/01/22

 

10/13 @ 100

 

 

5,391,200

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

15,629,400

 

 

 

 

 

 

 

 

 

 

 

 



 

See Notes to Financial Statements.

28



BlackRock Municipal 2020 Term Trust (BKK) (continued)

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Option Call
Provisions2
(Unaudited)

 

Value

 















 

 

 

 

 

 

 

New Jersey—11.7%

 

 

 

 

 

 

 

 

 

 

 

 

 

Econ. Dev. Auth.,

 

 

 

 

 

 

BBB

 

 

$

11,500

 

 

Econ. Impvts Misc. RB, Cigarette Tax Proj., 5.50%, 6/15/24

 

06/12 @ 100

 

$

12,121,115

 

Baa3

 

 

 

7,500

 

 

Econ. Impvts. Elec., Pwr. & Lt. RB, Metromall Urban Renewal Proj., 6.50%, 4/01/31, AMT

 

No Opt. Call

 

 

8,934,675

 

BBB-

 

 

 

1,000

 

 

Hlth., Hosp. & Nursing Home RB, Marcus L. Ward Home Proj., Ser. A, 4.80%, 11/01/13

 

No Opt. Call

 

 

1,027,030

 

B

 

 

 

5,000

 

 

Port, Arpt. & Marina Impvts. RB, Continental Airlines, Inc. Proj., 7.00%, 11/15/30, AMT

 

11/10 @ 101

 

 

5,349,350

 

B

 

 

 

1,500

 

 

Port, Arpt. & Marina Impvts. RB, Continental Airlines, Inc. Proj., 9.00%, 6/01/33, AMT

 

06/13 @ 101

 

 

1,856,745

 

Baa1

 

 

 

4,000

 

 

Hlth. Care Facs. Fing. Auth., Hlth., Hosp. & Nursing Home RB, Cap. Hlth. Sys., Inc. Proj., Ser. A, 5.75%, 7/01/23

 

07/13 @ 100

 

 

4,302,600

 

 

 

 

 

 

 

 

Middlesex Cnty. Impvt. Auth.,

 

 

 

 

 

 

NR

 

 

 

2,500

 

 

Pub. Impvts. Hotel Occupancy Tax RB, Heldrich Associates LLC Proj., Ser. B, 6.125%, 1/01/25

 

01/15 @ 100

 

 

2,580,325

 

Baa1

 

 

 

1,000

 

 

Univ. & Coll. Impvts. RB, Student Hsg. Urban Renewal Proj., Ser. A, 5.00%, 8/15/23

 

08/14 @ 100

 

 

1,037,810

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

37,209,650

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

New York—8.5%

 

 

 

 

 

 

AAA

 

 

 

8,500

 

 

Energy Research & Dev. Auth., Natural Gas RB, Brooklyn Union Gas Co. Proj.,
Ser. A, 4.70%, 2/01/24, FGIC, AMT

 

02/16 @ 100

 

 

8,702,470

 

 

 

 

 

 

 

 

New York City Indl. Dev. Agcy., Port, Arpt. & Marina Impvts. RB, American Airlines, Inc. Proj.,

 

 

 

 

 

 

B

 

 

 

5,635

 

 

7.625%, 8/01/25, AMT

 

08/16 @ 101

 

 

6,904,340

 

B

 

 

 

5,000

 

 

7.75%, 8/01/31, AMT

 

8/16 @ 101

 

 

6,132,650

 

AA-

 

 

 

5,000

 

 

Tobacco Settlement Fing. Corp., Hsg. Tobacco Settlement Funded SA, Ser. B1, 5.50%, 6/01/20

 

06/13 @ 100

 

 

5,444,550

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

27,184,010

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Ohio—4.9%

 

 

 

 

 

 

 

 

 

 

 

 

 

Cnty. of Cuyahoga, Hlth., Hosp. & Nursing Home RB, Cleveland Clinic Fndtn. Proj.,

 

 

 

 

 

 

AA-

 

 

 

3,000

 

 

6.00%, 1/01/19

 

07/13 @ 100

 

 

3,342,510

 

AA-

 

 

 

10,000

 

 

6.00%, 1/01/20

 

07/13 @ 100

 

 

11,141,700

 

NR

 

 

 

1,100

 

 

Pinnacle Cmnty. Infrastructure Fing. Auth., Hsg. Misc. RB, Ser. A, 6.00%, 12/01/22

 

12/14 @ 101

 

 

1,159,719

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

15,643,929

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Oklahoma—1.2%

 

 

 

 

 

 

B

 

 

 

3,350

 

 

Tulsa Mun. Arpt. Trust, Port, Arpt. & Marina Impvts. RB, Ser. A, 7.75%, 6/01/35, AMT

 

No Opt. Call

 

 

3,866,503

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Pennsylvania—6.1%

 

 

 

 

 

 

BBB+

 

 

 

6,680

 

 

Higher Edl. Facs. Auth., Univ. & Coll. Impvts. RB, La Salle Univ. Proj., 5.50%, 5/01/26

 

05/13 @ 100

 

 

7,033,105

 

A+

 

 

 

10,000

 

 

Lancaster Cnty. Hosp. Auth., Hlth., Hosp. & Nursing Home Impvts. RB, Lancaster Gen. Hosp. Proj., 5.75%, 3/15/20

 

09/13 @ 100

 

 

10,946,500

 

NR

 

 

 

1,275

 

 

Montgomery Cnty. Indl. Dev. Auth., Hlth., Hosp. & Nursing Home RB, Whitemarsh Continuing Care Proj., 6.00%, 2/01/21

 

02/15 @ 100

 

 

1,353,680

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

19,333,285

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Puerto Rico—4.7%

 

 

 

 

 

 

BBB

 

 

 

3,300

 

 

Comnwlth., Pub. Impvts. Ad Valorem Ppty. Tax GO, Ser. B, 5.25%, 7/01/17

 

07/16 @ 100

 

 

3,596,274

 

A3

 

 

 

10,900

 

 

Elec. Pwr. Auth., Elec., Pwr. & Lt. RB, Ser. NN, 5.125%, 7/01/24

 

07/13 @ 100

 

 

11,570,677

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

15,166,951

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Rhode Island—1.5%

 

 

 

 

 

 

Baa2

 

 

 

4,500

3

 

Hlth. & Edl. Bldg. Corp., Hlth., Hosp. & Nursing Home RB, Ser. A, 5.875%, 9/15/08

 

N/A

 

 

4,660,560

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Tennessee—3.5%

 

 

 

 

 

 

AA-

 

 

 

10,000

 

 

Energy Acquisition Corp., Nat. Gas Util. Impvt. RB, Ser. A, 5.25%, 9/01/20

 

No Opt. Call

 

 

11,149,400

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Texas—5.9%

 

 

 

 

 

 

BBB

 

 

 

1,100

 

 

Brazos River Auth., Elec., Pwr. & Lt. RB, TXU Energy Co. LLC Proj., Ser. A, 6.75%, 4/01/38, AMT

 

No Opt. Call

 

 

1,222,342

 

BBB

 

 

 

3,500

 

 

Port Corpus Christi Indl. Dev. Corp., Indl. RB, Valero Energy Corp. Proj., Ser. C, 5.40%, 4/01/18

 

04/08 @ 102

 

 

3,615,920

 

 

 

 

 

 

 

 

Tpke. Auth., Hwy. Impvts. Tolls RB, Central Texas Tpke. Sys. Proj.,

 

 

 

 

 

 

AAA

 

 

 

7,990

 

 

Ser. A, Zero Coupon, 8/15/21, AMBAC

 

No Opt. Call

 

 

4,263,704

 

AAA

 

 

 

8,450

 

 

Ser. A, Zero Coupon, 8/15/24, AMBAC

 

No Opt. Call

 

 

3,923,419

 

 

 

 

 

 

 

 

Weatherford Indpt. Sch. Dist., Ad Valorem Ppty. Tax GO,

 

 

 

 

 

 

AAA

 

 

 

6,945

 

 

Zero Coupon, 2/15/23, PSF

 

02/11 @ 50.236

 

 

2,932,874

 

AAA

 

 

 

6,945

 

 

Zero Coupon, 2/15/24, PSF

 

02/11 @ 47.435

 

 

2,769,388

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

18,727,647

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Trust Territories—1.2%

 

 

 

 

 

 

A

 

 

 

4,000

4

 

San Manuel Entertainment Auth. RB, 2004 Gaming Proj., Ser. C, 4.50%, 12/01/16

 

12/13 @ 102

 

 

3,999,880

 

 

 

 

 

 

 

 

 

 

 

 



 

See Notes to Financial Statements.

29



BlackRock Municipal 2020 Term Trust (BKK) (continued)

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Option Call
Provisions2
(Unaudited)

 

Value

 











 

 

 

 

 

 

 

U.S. Virgin Islands—0.3%

 

 

 

 

 

 

BBB

 

 

$

1,000

 

 

Pub. Fin. Auth., Swr. Impvts. Swr. RB, Sen. Lien Matching Fund Loan, Ser. A, 5.25%, 10/01/17

 

10/14 @ 100

 

$

1,068,820

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Virginia—7.4%

 

 

 

 

 

 

NR

 

 

 

5,000

 

 

Celebrate North Cmnty. Dev. Auth., Wtr. Util. Impvts. SA, Ser. B, 6.60%, 3/01/25

 

03/14 @ 102

 

 

5,380,350

 

BBB

 

 

 

10,000

 

 

Charles City Cnty. Econ. Dev. Auth., Rec. Recovery Impvts. RB, Waste Mgmt., Inc. Proj., 5.125%, 8/01/27, AMT

 

12/06 @ 100

 

 

10,004,900

 

Baa1

 

 

 

7,500

 

 

Mecklenburg Cnty. Indl. Dev. Auth., Elec., Pwr. & Lt. RB, Dominion Recs., Inc. Proj., 6.50%, 10/15/17, AMT

 

10/12 @ 100

 

 

8,376,450

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

23,761,700

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Washington—2.7%

 

 

 

 

 

 

 

 

 

 

 

 

 

Washington,

 

 

 

 

 

 

AAA

 

 

 

4,630

 

 

Pub. Impvts. Sales Tax GO, Mtr. Veh. Proj., Ser. F, Zero Coupon, 12/01/21, MBIA

 

No Opt. Call

 

 

2,443,205

 

AAA

 

 

 

10,000

 

 

Recreational Fac. Impvts. GO, Ser. S-5, Zero Coupon, 1/01/19, FGIC

 

No Opt. Call

 

 

6,035,700

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

8,478,905

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Wisconsin—2.0%

 

 

 

 

 

 

 

 

 

 

 

 

 

Hlth. & Edl. Fac. Auth., Hlth., Hosp. & Nursing Home RB, Wheaton Franciscan Svcs. Proj.,

 

 

 

 

 

 

A-

 

 

 

2,880

 

 

5.50%, 8/15/17

 

08/13 @ 100

 

 

3,068,957

 

A-

 

 

 

3,190

 

 

5.50%, 8/15/18

 

08/13 @ 100

 

 

3,396,074

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

6,465,031

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Total Long-Term Investments (cost $453,033,715)

 

 

 

 

486,078,232

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

SHORT-TERM INVESTMENTS—2.0%

 

 

 

 

 

 

 

 

 

 

 

 

 

New York—0.1%

 

 

 

 

 

 

A-1+

 

 

 

300

5

 

Triborough Brdg. & Tunl. Auth., Hwy. Tolls RB, 3.93%, 1/04/07, FRWD

 

N/A

 

 

300,000

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Tennessee—0.6%

 

 

 

 

 

 

VMIG1

 

 

 

1,800

5

 

Montgomery Cnty. Pub. Bldg. Auth., Pub. Impvt. Misc. RB, 4.00%, 1/02/07, FRDD

 

N/A

 

 

1,800,000

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


 

 

 

 

 

 

 

 

 

 

Shares
(000)

 

 

 

 

 

 

 

 

 

 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Money Market Fund—1.3%

 

 

 

 

 

 

NR

 

 

 

4,100

 

 

AIM Tax Free Cash Reserve Portfolio—Institutional Class

 

N/A

 

 

4,100,000

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Total Short-Term Investments (cost $6,200,000)

 

 

 

 

6,200,000

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Total Investments—154.3% (cost $459,233,7156)

 

 

 

$

492,278,232

 

 

 

 

 

 

 

 

Other assets in excess of liabilities—1.4%

 

 

 

 

4,551,417

 

 

 

 

 

 

 

 

Preferred shares at redemption value, including dividends payable—(55.7)%

 

 

 

 

(177,698,293

)

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Net Assets Applicable to Common Shareholders—100%

 

 

 

$

319,131,356

 

 

 

 

 

 

 

 

 

 

 

 



 


 

 

 


1

Using the highest of S&P’s, Moody’s or Fitch’s ratings.

 

 

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 prerefunded. 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, 2006, the Trust held 9.4% of its net assets, with a current market value of $29,960,886, in securities restricted as to resale.

 

 

5

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. Rate shown is rate as of December 31, 2006.

 

 

6

Cost for federal income tax purposes is $459,212,252. The net unrealized appreciation on a tax basis is $33,065,980, consisting of $33,070,076 gross unrealized appreciation and $4,096 gross unrealized depreciation.


 

 

 

 

 

 

 

KEY TO ABBREVIATIONS

ACA

American Capital Access

GO

General Obligation

AMBAC

American Municipal Bond Assurance Corp.

MBIA

Municipal Bond Insurance Assoc.

AMT

Subject to Alternative Minimum Tax

PSF

Public School Fund Guaranteed

FGIC

Financial Guaranty Insurance Co.

RB

Revenue Bond

FRDD

Floating Rate Daily Demand

SA

Special Assessment

FRWD

Floating Rate Weekly Demand

ST

Special Tax

FSA

Financial Security Assurance

TA

Tax Allocation

 

 

 

 

 

 

See Notes to Financial Statements.

30


 

PORTFOLIO OF INVESTMENTS

DECEMBER 31, 2006

 

BlackRock Strategic Municipal Trust (BSD)

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Option Call
Provisions2
(Unaudited)

 

Value

 















 

 

 

 

 

 

 

LONG-TERM INVESTMENTS—151.3%

 

 

 

 

 

 

 

 

 

 

 

 

 

Alabama—10.6%

 

 

 

 

 

 

 

 

 

 

 

 

 

Birmingham Spl. Care Facs. Fing. Auth., Hlth., Hosp. & Nursing Home RB, Ascension Hlth. Proj.,

 

 

 

 

 

 

AA+

 

 

$

540

 

 

Ser. C-2, 5.00%, 11/15/36

 

11/16 @ 100

 

$

564,381

 

AA+

 

 

 

540

 

 

Ser. C-2, 5.00%, 11/15/39

 

11/16 @ 100

 

 

562,755

 

AAA

 

 

 

320

 

 

Birmingham Wtr. Wks. & Swr. Brd., Wtr. Util. Impvt. Wtr. RB, Ser. A, 4.50%, 1/01/35, FSA

 

01/16 @ 100

 

 

318,989

 

Baa3

 

 

 

3,000

 

 

Courtland Indl. Dev. Brd., Rec. Recovery RB, Champion Intl. Corp. Proj., Ser. A, 6.70%, 11/01/29, AMT

 

11/09 @ 101

 

 

3,192,840

 

AA

 

 

 

7,000

 

 

Pub. Sch. & Coll. Auth., Sch. Impvt. Misc. Tax RB, Ser. C, 5.75%, 7/01/18

 

07/09 @ 101.5

 

 

7,418,810

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

12,057,775

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Arizona—0.7%

 

 

 

 

 

 

 

 

 

 

 

 

 

San. Luis Fac. Dev. Corp., Correctional Fac. Impvts. Misc. RB, Regl. Detention Ctr. Proj.,

 

 

 

 

 

 

NR

 

 

 

210

 

 

6.25%, 5/01/15

 

05/10 @ 107

 

 

210,546

 

NR

 

 

 

210

 

 

7.00%, 5/01/20

 

05/10 @ 107

 

 

211,306

 

NR

 

 

 

420

 

 

7.25%, 5/01/27

 

05/10 @ 107

 

 

427,518

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

849,370

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

California—11.2%

 

 

 

 

 

 

AAA

 

 

 

5,000

 

 

California, Pub. Impvts. Ad Valorem Ppty. Tax GO, 5.00%, 3/01/33, CIFG

 

03/15 @ 100

 

 

5,284,600

 

 

 

 

 

 

 

 

Cnty. Tobacco Sec. Agcy., Tobacco Settlement Funded RB,

 

 

 

 

 

 

BBB-

 

 

 

585

 

 

Ser. B, Zero Coupon, 6/01/46

 

06/16 @ 17.602

 

 

60,103

 

BB

 

 

 

3,095

 

 

Ser. C, Zero Coupon, 6/01/55

 

06/16 @ 8.9

 

 

145,403

 

NR

 

 

 

3,955

 

 

Stanislaus Cnty. Proj., Ser. D, Zero Coupon, 6/01/55

 

06/16 @ 6.219

 

 

130,554

 

AA-

 

 

 

1,835

 

 

Univ. of California, Univ. & Coll. Impvts. RB, Ser. B, 4.75%, 5/15/38

 

05/13 @ 101

 

 

1,880,820

 

AAA

 

 

 

5,000

 

 

West Valley-Mission Cmnty. Coll. Dist., Univ. & Coll. Impvts. Ad Valorem Ppty. Tax GO, 4.75%, 8/01/30, FSA

 

08/16 @ 100

 

 

5,195,050

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

12,696,530

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Colorado—3.1%

 

 

 

 

 

 

AAA

 

 

 

445

 

 

City of Colorado Springs, Mult. Util. Impvts. RB, Ser. C, 5.00%, 11/15/45, FSA

 

11/15 @ 100

 

 

469,110

 

AAA

 

 

 

10,000

 

 

Northwest Pkwy. Pub. Hwy. Auth., Hwy. Impvts. Tolls RB, Ser. B, Zero Coupon, 6/15/30, FSA

 

06/11 @ 31.387

 

 

2,583,800

 

Baa2

 

 

 

440

 

 

Park Creek Met. Dist., Misc. RB, 5.50%, 12/01/37

 

12/15 @ 101

 

 

465,762

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

3,518,672

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Connecticut—8.6%

 

 

 

 

 

 

 

 

 

 

 

 

 

Mashantucket Western Pequot Tribe,

 

 

 

 

 

 

Baa3

 

 

 

1,500

3

 

Casino RB, Ser. A, 5.50%, 9/01/28

 

09/09 @ 101

 

 

1,540,290

 

Baa3

 

 

 

8,000

3

 

Recreational RB, Ser. B, 5.75%, 9/01/27

 

09/07 @ 102

 

 

8,191,920

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

9,732,210

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Florida—14.4%

 

 

 

 

 

 

NR

 

 

 

1,730

 

 

Arborwood Cmnty. Dev. Dist., Pub. Impvts. SA, Master Infrastructure Proj., Ser. B, 5.10%, 5/01/14

 

No Opt. Call

 

 

1,745,691

 

AAA

 

 

 

5,265

 

 

Cnty. of Orange, Sales Tax RB, 4.75%, 10/01/32, XLCA

 

10/16 @ 100

 

 

5,402,416

 

BBB+

 

 

 

1,050

 

 

Halifax Hosp. Med. Ctr., Hlth., Hosp. & Nursing Home RB, Ser. A, 5.00%, 6/01/38

 

06/16 @ 100

 

 

1,072,922

 

NR

 

 

 

3,300

 

 

Hillsborough Cnty. Indl. Dev. Auth., Exempt Facs. RB, Nat. Gypsum Co. Proj., Ser. A, 7.125%, 4/01/30, AMT

 

10/10 @ 101

 

 

3,621,816

 

AAA

 

 

 

530

 

 

JEA, Wtr. Util. Impvts. RB, Ser. A, 4.75%, 10/01/36, MBIA

 

04/11 @ 100

 

 

540,600

 

BB+

 

 

 

2,045

 

 

Miami Beach Hlth. Facs. Auth., Hlth., Hosp. & Nursing Home Impvts. RB, Mt. Sinai Med. Ctr. Proj., 6.75%, 11/15/21

 

11/14 @ 100

 

 

2,334,122

 

NR

 

 

 

1,625

 

 

Sumter Landing Cmnty. Dev. Dist., Retirement Fac. Misc. RB, Ser B, 5.70%, 10/01/38

 

10/15 @ 100

 

 

1,663,058

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

16,380,625

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Illinois—10.3%

 

 

 

 

 

 

NR

 

 

 

850

3

 

Centerpoint Intermodal Ctr. Prog. Trust TA, Ser. A, 8.00%, 6/15/23

 

No Opt. Call

 

 

874,488

 

AAA

 

 

 

520

4

 

Chicago Brd. of Ed., Sch. Impvts. Ad Valorem Ppty. Tax GO, Sch. Reform Proj., 5.75%, 12/01/07, AMBAC

 

N/A

 

 

540,181

 

AAA

 

 

 

5,000

 

 

Edl. Facs. Auth., Univ. & Coll. Impvts. RB, Northwestern Univ. Proj., 5.00%, 12/01/33

 

12/13 @ 100

 

 

5,237,950

 

See Notes to Financial Statements.

31


BlackRock Strategic Municipal Trust (BSD) (continued)

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Option Call
Provisions2
(Unaudited)

 

Value

 











 

 

 

 

 

 

 

Illinois—(cont’d)

 

 

 

 

 

 

 

 

 

 

 

 

 

Fin. Auth.,

 

 

 

 

 

 

BBB

 

 

$

725

 

 

Edl. Advancement, Univ. & Coll. RB, Ser. B, 5.00%, 5/01/25

 

11/16 @ 100

 

$

748,280

 

BBB

 

 

 

580

 

 

Edl. Advancement, Univ. & Coll. RB, Ser. B, 5.00%, 5/01/30

 

11/16 @ 100

 

 

594,923

 

BB+

 

 

 

295

 

 

Hlth., Hosp. & Nursing Home RB, Evangelical Retirement Homes Proj., Ser. A, 5.625%, 2/15/37

 

02/15 @ 100

 

 

304,387

 

Baa3

 

 

 

300

 

 

Univ. & Coll. Impvts. RB, MJH Ed. Asst. LLC Proj., Ser. B, 5.375%, 6/01/35

 

06/14 @ 100

 

 

308,577

 

Baa2

 

 

 

375

 

 

Univ. & Coll. Impvts. RB, MJH Ed. Asst. LLC Proj., Ser. A, 5.125%, 6/01/35

 

06/14 @ 100

 

 

385,703

 

AAA

 

 

 

1,740

 

 

Mun. Elec. Agcy., Elec., Pwr. & Lt. RB, Pwr. Sply. Proj., 4.50%, 2/01/35, FGIC

 

02/16 @ 100

 

 

1,726,219

 

AAA

 

 

 

1,000

 

 

Vlg. of Bolingbrook, Ad Valorem Ppty. Tax GO, Ser. A, 4.75%, 1/01/38, MBIA

 

01/15 @ 100

 

 

1,024,080

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

11,744,788

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Indiana—1.2%

 

 

 

 

 

 

AAA

 

 

 

1,325

 

 

Mun. Pwr. Agcy., Elec., Pwr. & Lt. Impvts. RB, Ser. A, 4.50%, 1/01/32, AMBAC

 

01/16 @ 100

 

 

1,323,026

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Kansas—0.7%

 

 

 

 

 

 

A

 

 

 

715

 

 

Univ. of Kansas Hosp. Auth., Hlth., Hosp. & Nursing Home RB, Univ. of Kansas Hlth. Sys. Proj., 5.00%, 9/01/36

 

09/16 @ 100

 

 

744,451

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Kentucky—10.6%

 

 

 

 

 

 

AAA

 

 

 

27,780

 

 

Econ. Dev. Fin. Auth., Hlth., Hosp. & Nursing Home RB, Norton Healthcare, Inc. Proj., Ser. B, Zero Coupon, 10/01/24, MBIA

 

No Opt. Call

 

 

12,029,018

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Louisiana—2.3%

 

 

 

 

 

 

AAA

 

 

 

2,500

 

 

Gas & Fuel, Hwy. Impvts. Sales Tax RB, Ser. A, 5.00%, 5/01/35, FGIC

 

05/15 @ 100

 

 

2,639,350

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Maryland—0.9%

 

 

 

 

 

 

NR

 

 

 

1,000

 

 

Hlth. & Higher Ed. Fac. Auth., Hlth., Hosp. & Nursing Home Impvts. RB, King Farm Presbyterian Cmnty. Proj., 5.00%, 1/01/17

 

01/09 @ 100

 

 

1,000,560

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Massachusetts—1.8%

 

 

 

 

 

 

AA

 

 

 

1,980

 

 

Wtr. Recs. Auth., Wtr. RB, Ser. A, 5.00%, 8/01/41

 

08/16 @ 100

 

 

2,089,494

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Michigan—2.5%

 

 

 

 

 

 

 

 

 

 

 

 

 

Hosp. Fin. Auth.,

 

 

 

 

 

 

AAA

 

 

 

2,000

4

 

Hlth., Hosp. & Nursing Home Impvts. RB, Mercy Hlth. Svcs. Grp. Proj., 5.75%, 8/15/09, MBIA.

 

N/A

 

 

2,126,040

 

A1

 

 

 

730

 

 

Hlth., Hosp. & Nursing Home Impvts. RB, Hlth. Alliance Plan Proj., Ser. A, 5.25%, 11/15/46

 

11/16 @ 100

 

 

771,924

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

2,897,964

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Missouri—4.0%

 

 

 

 

 

 

A2

 

 

 

2,000

4

 

Hlth. & Edl. Facs. Auth., Hlth., Hosp. & Nursing Home RB, St. Anthony’s Med. Ctr. Proj., 6.125%, 12/01/10

 

N/A

 

 

2,190,120

 

AAA

 

 

 

2,385

 

 

Joint Mun. Elec. Util. Comm., Elec., Pwr. & Lt. Impvts. RB, Plum Point Proj., 4.60%, 1/01/36, MBIA

 

01/16 @ 100

 

 

2,402,482

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

4,592,602

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Multi-State—5.7%

 

 

 

 

 

 

Baa1

 

 

 

2,000

3

 

Charter Mac Equity Issuer Trust, Ser. B, 7.60%, 11/30/10

 

No Opt. Call

 

 

2,210,920

 

A3

 

 

 

4,000

3

 

MuniMae TE Bond Subsidiary LLC, Ser. A, 6.875%, 6/30/49

 

06/09 @ 100

 

 

4,225,920

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

6,436,840

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Nebraska—1.1%

 

 

 

 

 

 

AA

 

 

 

1,205

 

 

Omaha Pub. Pwr. Dist., Elec., Pwr. & Lt. Impvts. RB, Ser. A, 4.75%, 2/01/44

 

02/14 @ 100

 

 

1,224,533

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Nevada—3.9%

 

 

 

 

 

 

A+

 

 

 

905

 

 

Cnty. of Clark, Private Schs. RB, Alexander Dawson Sch. Rainbow Proj., 5.00%, 5/15/29

 

05/16 @ 100

 

 

944,186

 

AAA

 

 

 

3,400

 

 

Truckee Meadows Wtr. Auth., Wtr. RB, 4.875%, 7/01/34, XLCA

 

07/16 @ 100

 

 

3,508,358

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

4,452,544

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

New Jersey—0.6%

 

 

 

 

 

 

NR

 

 

 

645

 

 

Middlesex Cnty. Impvt. Auth., Pub. Impvts. Hotel Occupancy Tax RB, Heldrich Associates LLC Proj.,
Ser. B, 6.25%, 1/01/37

 

01/15 @ 100

 

 

666,666

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

New York—12.0%

 

 

 

 

 

 

NR

 

 

 

315

 

 

Albany Indl. Dev. Agcy., Sch. Impvts. Lease Appropriation RB, New Covenant Charter Sch. Proj., Ser. A, 7.00%, 5/01/35

 

05/15 @ 102

 

 

310,757

 

A

 

 

 

700

 

 

Hudson Yards Infrastructure Corp., Transit, Pub. & Recreational Impvts. Misc. RB, Ser. A, 5.00%, 2/15/47

 

08/07 @ 100

 

 

739,795

 

AA-

 

 

 

5,275

 

 

Liberty Dev. Corp., Indl. Impvts. Misc. RB, Goldman Sachs Group, Inc. Proj., 5.25%, 10/01/35

 

No Opt. Call

 

 

6,106,762

 

Aa1

 

 

 

1,035

 

 

Mtg. Agcy., St. Single Fam. Hsg. Local or Gtd. Hsg. RB, Ser. 85, 5.70%, 10/01/17

 

09/09 @ 100

 

 

1,077,539

 

See Notes to Financial Statements.

32


BlackRock Strategic Municipal Trust (BSD) (continued)

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Option Call
Provisions2
(Unaudited)

 

Value

 











 

 

 

 

 

 

 

New York—(cont’d)

 

 

 

 

 

 

B

 

 

$

4,395

 

 

New York City Indl. Dev. Agcy., Port, Arpt. & Marina Impvts. RB, American Airlines, Inc. Proj., 7.75%, 8/01/31, AMT

 

08/16 @ 101

 

$

5,390,599

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

13,625,452

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

North Carolina—1.7%

 

 

 

 

 

 

AA-

 

 

 

1,825

 

 

Med. Care Comm., Hlth., Hosp. & Nursing Home RB, Novant Hlth., Inc. Proj., 5.00%, 11/01/39

 

11/16 @ 100

 

 

1,909,060

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Ohio—5.7%

 

 

 

 

 

 

AAA

 

 

 

6,265

 

 

Air Qual. Dev. Auth., Rec. Recovery RB, Dayton Pwr. & Lt. Co. Proj., 4.80%, 1/01/34, FGIC

 

07/15 @ 100

 

 

6,434,030

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Oklahoma—1.2%

 

 

 

 

 

 

B

 

 

 

1,225

 

 

Tulsa Mun. Arpt. Trust, Port, Arpt. & Marina Impvts. RB, AMR Corp. Proj., Ser. A, 7.75%, 6/01/35, AMT

 

No Opt. Call

 

 

1,413,871

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Pennsylvania—6.8%

 

 

 

 

 

 

 

 

 

 

 

 

 

Econ. Dev. Fing. Auth.,

 

 

 

 

 

 

BB-

 

 

 

2,745

 

 

Exempt Facs., Elec., Pwr. & Lt. Impvts. RB, Reliant Energy, Inc. Proj., Ser. A, 6.75%, 12/01/36, AMT

 

06/11 @ 103

 

 

3,014,641

 

NR5

 

 

 

1,000

 

 

Rec. Recovery Impvts. RB, Colver Proj., Ser. G, 5.125%, 12/01/15, AMT

 

No Opt. Call

 

 

1,007,720

 

A3

 

 

 

700

 

 

Trans. Impvts. Lease Renewal RB, Amtrak Proj., Ser. A, 6.125%, 11/01/21, AMT

 

05/11 @ 101

 

 

750,393

 

A3

 

 

 

1,000

 

 

Trans. Impvts. Lease Renewal RB, Amtrak Proj., Ser. A, 6.25%, 11/01/31, AMT

 

05/11 @ 101

 

 

1,071,140

 

A3

 

 

 

1,000

 

 

Trans. Impvts. Lease Renewal RB, Amtrak Proj., Ser. A, 6.50%, 11/01/16, AMT

 

05/11 @ 101

 

 

1,082,510

 

AAA

 

 

 

720

 

 

Washington Cnty. Auth., Misc. RB, Cap. Fdg. & Equip. Proj., 6.15%, 12/01/29, AMBAC

 

No Opt. Call

 

 

772,193

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

7,698,597

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Puerto Rico—1.7%

 

 

 

 

 

 

BBB

 

 

 

1,820

 

 

Comnwlth., Ad Valorem Ppty. Tax GO, Ser. B, 5.00%, 7/01/35

 

07/16 @ 100

 

 

1,908,397

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

South Carolina—2.6%

 

 

 

 

 

 

BBB+

 

 

 

2,500

4

 

Jobs-Econ. Dev. Auth., Hlth., Hosp. & Nursing Home RB, Palmetto Hlth. Proj., Ser. C, 7.00%, 8/01/13

 

N/A

 

 

2,962,171

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Tennessee—1.9%

 

 

 

 

 

 

AAA

 

 

 

2,000

 

 

Memphis-Shelby Cnty. Arpt. Auth., Port, Arpt. & Marina Impvts. RB, Ser. D, 6.00%, 3/01/24, AMBAC, AMT

 

03/10 @ 101

 

 

2,135,560

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Texas—12.8%

 

 

 

 

 

 

BBB

 

 

 

575

 

 

Alliance Arpt. Auth., Indl. RB, FedEx Corp. Proj., 4.85%, 4/01/21, AMT

 

04/16 @ 100

 

 

584,827

 

AAA

 

 

 

4,750

 

 

Harris Cnty.-Houston Sports Auth., Hotel Occupancy Tax RB, Ser. A, Zero Coupon, 11/15/38, MBIA

 

11/30 @ 61.166

 

 

960,212

 

AAA

 

 

 

4,060

 

 

La Joya Indpt. Sch. Dist., Sch. Impvts. Ad Valorem Ppty. Tax GO, 5.00%, 2/15/34, PSF

 

02/14 @ 100

 

 

4,247,897

 

AAA

 

 

 

1,500

 

 

Lower Colorado River Auth., Misc. RB, Ser. A, 5.50%, 5/15/21, AMBAC

 

05/09 @ 101

 

 

1,571,805

 

AAA

 

 

 

295

 

 

Montgomery Cnty. Mun. Util. Dist. No. 46, Pub. Impvts. Ad Valorem Ppty. Tax GO, 4.75%, 3/01/30, MBIA

 

03/14 @ 100

 

 

300,549

 

AAA

 

 

 

1,000

 

 

Pearland, Ad Valorem Ppty. Tax GO, 4.75%, 3/01/29, FGIC

 

03/16 @ 100

 

 

1,028,410

 

AA+

 

 

 

500

 

 

Texas, Wtr. Util. Impvts. GO, 5.75%, 8/01/22

 

08/10 @ 100

 

 

532,750

 

 

 

 

 

 

 

 

Tpke. Auth., Hwy. Impvt. Tolls RB,

 

 

 

 

 

 

AAA

 

 

 

15,000

 

 

Zero Coupon, 8/15/31, AMBAC

 

08/12 @ 32.807

 

 

3,835,050

 

AAA

 

 

 

1,450

 

 

Ser. A, 5.00%, 8/15/42, AMBAC

 

08/12 @ 100

 

 

1,516,410

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

14,577,910

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Utah—3.6%

 

 

 

 

 

 

 

 

 

 

 

 

 

Intermountain Pwr. Agcy., Elec., Pwr. & Lt. RB,

 

 

 

 

 

 

AAA

 

 

 

2,675

 

 

5.75%, 7/01/19, MBIA

 

07/07 @ 102

 

 

2,754,046

 

AAA

 

 

 

1,325

4

 

Ser. B, 5.75%, 7/01/07, MBIA

 

N/A

 

 

1,365,306

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

4,119,352

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Virginia—0.9%

 

 

 

 

 

 

BBB-

 

 

 

1,000

 

 

Henrico Cnty. Econ. Dev. Auth., Econ. Dev. RB, Westminster-Canterbury Mgmt. Proj., 5.00%, 10/01/27

 

10/11 @ 103

 

 

1,028,710

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Washington—1.9%

 

 

 

 

 

 

AAA

 

 

 

620

 

 

Cnty. of King, Swr. RB, 5.00%, 1/01/36, FSA

 

01/16 @ 100

 

 

656,394

 

AAA

 

 

 

1,520

 

 

Hlth. Care Facs. Auth., Hlth., Hosp. & Nursing Home RB, Providence Healthcare Sys. Proj., Ser. A, 4.625%, 10/01/34, FGIC

 

10/16 @ 100

 

 

1,520,486

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

2,176,880

 

 

 

 

 

 

 

 

 

 

 

 



 

See Notes to Financial Statements.

33



BlackRock Strategic Municipal Trust (BSD) (continued)

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Option Call
Provisions2
(Unaudited)

 

Value

 











 

 

 

 

 

 

 

Wisconsin—4.3%

 

 

 

 

 

 

AA+

 

 

$

4,665

 

 

Hlth. & Edl. Facs. Auth., Hlth., Hosp. & Nursing Home RB, Ascension Hlth. Proj., 5.00%, 11/15/31

 

11/16 @ 100

 

$

4,879,450

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Total Long-Term Investments (cost $160,328,734)

 

 

 

 

171,946,458

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

SHORT-TERM INVESTMENTS—2.4%

 

 

 

 

 

 

 

 

 

 

 

 

 

Tennessee—0.1%

 

 

 

 

 

 

VMIG1

 

 

 

90

6

 

Montgomery Cnty. Pub. Bldg. Auth., Pub. Impvt. Misc. RB, 4.00%, 1/02/07, FRDD

 

N/A

 

 

90,000

 

 

 

 

 

 

 

 

 

 

 

 



 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 





 

 

 

 

 

 

 

 

 

 

Shares
(000)

 

 

 

 

 

 

 

 

 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

Money Market Funds—2.3%

 

 

 

 

 

 

NR

 

 

 

2,600

 

 

AIM Tax Free Cash Reserve Portfolio—Institutional Class

 

N/A

 

 

2,600,000

 

NR

 

 

 

50

 

 

SSgA Tax Free Money Mkt. Fund — Class A

 

N/A

 

 

50,000

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

2,650,000

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Total Short-Term Investments (cost $2,740,000)

 

 

 

 

2,740,000

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Total Investments—153.7% (cost $163,068,7347)

 

 

 

$

174,686,458

 

 

 

 

 

 

 

 

Other assets in excess of liabilities—0.9%

 

 

 

 

1,036,172

 

 

 

 

 

 

 

 

Preferred shares at redemption value, including dividends payable—(54.6)%

 

 

 

 

(62,025,479

)

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Net Assets Applicable to Common Shareholders—100%.

 

 

 

$

113,697,151

 

 

 

 

 

 

 

 

 

 

 

 



 


 

 

1

Using the highest of S&P’s, Moody’s or Fitch’s ratings.

 

 

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, 2006, the Trust held 15.0% of its net assets, with a current market value of $17,043,538, in securities restricted as to resale.

 

 

4

This bond is prerefunded. 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.

 

 

5

Security is deemed to be of investment grade quality by the investment advisor.

 

 

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. Rate shown is rate as of December 31, 2006.

 

 

7

Cost for federal income tax purposes is $163,038,962. The net unrealized appreciation on a tax basis is $11,647,496, consisting of $11,736,924 gross unrealized appreciation and $89,428 gross unrealized depreciation.


 

 

 

 

 

 

 

KEY TO ABBREVIATIONS

 

 

 

 

 

 

 

AMBAC

American Municipal Bond Assurance Corp.

 

MBIA    

Municipal Bond Insurance Assoc.

AMT

Subject to Alternative Minimum Tax

 

PSF

Public School Fund Guaranteed

CIFG

CIFG Insurance

 

RB

Revenue Bond

FGIC

Financial Guaranty Insurance Co.

 

SA

Special Assessment

FRDD

Floating Rate Daily Demand

 

TA

Tax Allocation

FSA

Financial Security Assurance

 

XLCA

XL Capital Assurance

GO

General Obligation

 

 

 

 

 

See Notes to Financial Statements.

34


PORTFOLIO OF INVESTMENTS
DECEMBER 31, 2006

BlackRock California Insured Municipal 2008 Term Trust (BFC)

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Option Call
Provisions2
(Unaudited)

 

Value

 


 

 

 

 

 

 

 

 

LONG-TERM INVESTMENTS—93.6%

 

 

 

 

 

 

 

 

 

 

 

 

 

California—83.1%

 

 

 

 

 

 

AAA

 

 

$

1,060

 

 

Anaheim Union High Sch. Dist., Sch. Impvts. Ad Valorem Ppty. Tax GO, Ser. A, 3.50%, 8/01/08, FSA

 

No Opt. Call

 

$

1,060,466

 

 

 

 

 

 

 

 

California,

 

 

 

 

 

 

AAA

 

 

 

3,000

 

 

Pub. Impvts. GO, 5.50%, 2/01/10, MBIA

 

No Opt. Call

 

 

3,167,640

 

AAA

 

 

 

15,000

 

 

Pub. Impvts. Misc. GO, 6.30%, 9/01/08, MBIA

 

No Opt. Call

 

 

15,655,650

 

AAA

 

 

 

2,000

 

 

Recreational Fac. Impvts. Ad Valorem Ppty. Tax GO, 6.25%, 9/01/08, FGIC

 

No Opt. Call

 

 

2,085,800

 

AAA

 

 

 

3,000

 

 

Sch. Impvts. Misc. GO, 5.50%, 4/01/09, MBIA

 

No Opt. Call

 

 

3,126,870

 

AAA

 

 

 

2,600

 

 

Castaic Lake Wtr. Agcy., Lease Non-Terminable COP, Wtr. Sys. Impvt. Proj., Ser. A, 7.25%, 8/01/10, MBIA

 

No Opt. Call

 

 

2,907,892

 

AAA

 

 

 

1,000

 

 

City of Chula Vista, Pub. Impvts. Lease Abatement COP, Police Fac. Proj., 4.00%, 8/01/08, MBIA

 

No Opt. Call

 

 

1,007,020

 

AAA

 

 

 

5,500

3

 

Clovis Unified Sch. Dist., Sch. Impvts. Ad Valorem Ppty. Tax GO, Ser. B, Zero Coupon, 8/01/08, FGIC

 

ETM

 

 

5,198,490

 

AAA

 

 

 

2,635

 

 

Cnty. of Alameda, Lease Appropriation COP, Ser. A, 3.80%, 12/01/08, MBIA

 

No Opt. Call

 

 

2,647,964

 

AAA

 

 

 

11,000

 

 

Cnty. of San Diego, Lease Abatement COP, 5.625%, 9/01/12, AMBAC

 

No Opt. Call

 

 

11,574,090

 

AAA

 

 

 

10,000

 

 

Dept. of Wtr. Recs., Cash Flow Mgmt. Elec., Pwr. & Lt. RB, Ser. A, 3.125%, 5/01/08, FSA

 

No Opt. Call

 

 

9,947,700

 

AAA

 

 

 

1,855

 

 

El Paso De Robles, Pub. Impvts. Ad Valorem Ppty. Tax GO, Ser. A, Zero Coupon, 8/01/09, FGIC

 

No Opt. Call

 

 

1,688,755

 

AAA

 

 

 

4,025

 

 

Elsinore Valley Mun. Wtr. Dist., Lease Non-Terminable COP, Ser. A, 6.00%, 7/01/09, FGIC

 

No Opt. Call

 

 

4,207,493

 

AAA

 

 

 

2,000

 

 

Hlth. Facs. Fing. Auth., Hlth., Hosp. & Nursing Home RB, Sutter Hlth. Care Sys.
Proj., 5.70%, 8/15/09, MBIA

 

01/07 @ 102

 

 

2,043,000

 

AAA

 

 

 

1,245

 

 

Long Beach Bond Fin. Auth., Cash Flow Mgmt. TA, Redev. Proj., 3.50%, 8/01/08, AMBAC

 

No Opt. Call

 

 

1,244,589

 

 

 

 

 

 

 

 

Los Angeles Cnty. Cap. Asset Leasing Corp., Lease Abatement RB,

 

 

 

 

 

 

AAA

 

 

 

2,910

 

 

5.95%, 12/01/07, AMBAC

 

No Opt. Call

 

 

2,971,750

 

AAA

 

 

 

8,090

 

 

6.00%, 12/01/08, AMBAC

 

No Opt. Call

 

 

8,450,248

 

AAA

 

 

 

8,600

 

 

6.05%, 12/01/09, AMBAC

 

No Opt. Call

 

 

9,176,458

 

AAA

 

 

 

4,405

 

 

Los Angeles Cnty. Met. Transp. Auth., Spl. Assessment RB, A1 Proj., 3.75%, 9/01/08, AMBAC

 

No Opt. Call

 

 

4,421,166

 

AAA

 

 

 

2,660

3

 

Los Angeles Unified Sch. Dist., Sch. Impvts. Lease Abatement COP, Ser. B, 3.00%, 10/01/08, FSA

 

ETM

 

 

2,628,107

 

AAA

 

 

 

1,000

 

 

Mount Diablo Unified Sch. Dist., Sch. Impvts. Ad Valorem Ppty. Tax GO, 3.50%, 8/01/08, FSA

 

No Opt. Call

 

 

1,000,440

 

AAA

 

 

 

1,000

 

 

Orange Cnty. Local Transp. Auth., Misc. Sales Tax RB, 6.00%, 2/15/09, MBIA

 

No Opt. Call

 

 

1,049,950

 

AAA

 

 

 

2,495

3

 

Pasadena Unified Sch. Dist., Sch. Impvts. Ad Valorem Ppty. Tax GO, Ser. C, 3.50%, 11/01/08, FSA

 

ETM

 

 

2,493,029

 

AAA

 

 

 

2,100

 

 

Pub. Wks. Brd., Elec., Pwr. & Lt. Impvts. Misc. RB, Energy Efficiency Proj., Ser. A, 5.625%, 10/01/08, AMBAC

 

01/07 @ 101

 

 

2,124,360

 

AAA

 

 

 

3,345

 

 

Sacramento City Fing. Auth., Pub. Impvts. Lease Abatement RB, City Hall & Redev. Projs., Ser. A, 3.50%, 12/01/08, FSA

 

No Opt. Call

 

 

3,342,659

 

 

 

 

 

 

 

 

Sacramento Mun. Util. Dist.,

 

 

 

 

 

 

AAA

 

 

 

3,950

3

 

Elec., Pwr. & Lt. RB, Ser. C, 5.75%, 11/15/09, MBIA

 

ETM

 

 

3,957,070

 

AAA

 

 

 

3,750

3

 

Elec., Pwr. & Lt. RB, Ser. C, 5.75%, 11/15/08, FGIC

 

ETM

 

 

3,785,775

 

AAA

 

 

 

825

3

 

Swr. RB, Ser. C, 5.75%, 11/15/07, MBIA

 

ETM

 

 

826,502

 

AAA

 

 

 

5,000

3

 

San Bernardino Cnty. Transp. Auth., Hwy. Impvts. Sales Tax RB, 6.00%, 3/01/10, FGIC

 

ETM

 

 

5,174,200

 

 

 

 

 

 

 

 

San Diego Cnty. Regl. Transp. Comm., Hwy. Impvts. Sales Tax RB,

 

 

 

 

 

 

AAA

 

 

 

7,830

3

 

Ser. A, 6.00%, 4/01/08, MBIA

 

ETM

 

 

7,947,607

 

AAA

 

 

 

2,500

3

 

Ser. A, 6.00%, 4/01/08, FGIC

 

ETM

 

 

2,537,550

 

AAA

 

 

 

1,000

 

 

San Mateo Cnty. Cmnty. Coll. Dist., Univ. & Coll. Impvts. Ad Valorem Ppty. Tax GO, Ser. A, 3.30%, 9/01/08, FGIC

 

No Opt. Call

 

 

996,970

 

 

 

 

 

 

 

 

Santa Ana Unified Sch. Dist., Sch. Impvts. Ad Valorem Ppty. Tax GO,

 

 

 

 

 

 

AAA

 

 

 

1,000

 

 

Ser. B, Zero Coupon, 8/01/08, FGIC

 

No Opt. Call

 

 

944,990

 

AAA

 

 

 

2,000

 

 

Ser. B, Zero Coupon, 8/01/09, FGIC

 

No Opt. Call

 

 

1,820,760

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

133,213,010

 

 

 

 

 

 

 

 

 

 

 

 



 

See Notes to Financial Statements.

35


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

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Option Call
Provisions2
(Unaudited)

 

Value

 


 

 

 

 

 

 

 

 

Puerto Rico—10.5%

 

 

 

 

 

 

 

 

 

 

 

 

 

Elec. Pwr. Auth., Elec., Pwr. & Lt. Impvts. RB,

 

 

 

 

 

 

AAA

 

 

$

5,280

 

 

Ser. DD, 5.00%, 7/01/09, FSA

 

07/08 @ 101.5

 

$

5,460,682

 

AAA

 

 

 

7,000

 

 

Ser. DD, 5.00%, 7/01/10, FSA

 

07/08 @ 101.5

 

 

7,243,950

 

AAA

 

 

 

4,000

 

 

Mun. Fin. Agcy., Cash Flow Mgmt. Ad Valorem Ppty. Tax GO, Ser. A, 5.625%, 8/01/10, FSA

 

08/09 @ 101

 

 

4,234,840

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

16,939,472

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Total Long-Term Investments (cost $146,029,828)

 

 

 

 

150,152,482

 

 

 

 

 

 

 

 

 

 

 

 



 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


 

 

 

 

 

 

 

 

 

 

Shares
(000)

 

 

 

 

 

 

 

 

 

 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

MONEY MARKET FUNDS—5.3%

 

 

 

 

 

 

NR

 

 

 

8,000

 

 

AIM Tax Free Cash Reserve Portfolio—Institutional Class

 

N/A

 

 

8,000,000

 

NR

 

 

 

500

 

 

SSgA Tax Free Money Mkt. Fund—Class A

 

N/A

 

 

500,000

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Total Short—Term Investments (cost $8,500,000)

 

 

 

 

8,500,000

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Total Investments—98.9% (cost $154,529,8284)

 

 

 

$

158,652,482

 

 

 

 

 

 

 

 

Other assets in excess of liabilities—1.1%

 

 

 

 

1,714,235

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Net Assets Applicable to Common Shareholders—100%

 

 

 

$

160,366,717

 

 

 

 

 

 

 

 

 

 

 

 



 


 

 

1

Using the highest of S&P’s, Moody’s or Fitch’s ratings.

 

 

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 collateralized by Municipal or U.S. Treasury obligations.

 

 

4

Cost for federal income tax purposes is $153,721,889. The net unrealized appreciation on a tax basis is $4,930,593, consisting of $5,040,247 gross unrealized appreciation and $109,654 gross unrealized depreciation.

The value (market value plus accrued interest) of securities that are covered by insurance, which ensures the payment of principal and interest, represent approximately 100.2% of the Trust’s managed assets.

 

 

 

 

 

AMBAC

 

 

25.2%

FGIC

 

 

17.9%

FSA

 

 

23.7%

MBIA

 

 

28.1%

Other

 

 

  5.3%


 

 

 

 

 

 

 

KEY TO ABBREVIATIONS

 

AMBAC

American Municipal Bond Assurance Corp.

 

GO

General Obligation

COP

Certificate of Participation

 

MBIA

Municipal Bond Insurance Assoc.

ETM

Escrowed to Maturity

 

RB

Revenue Bond

FGIC

Financial Guaranty Insurance Co.

 

TA

Tax Allocation

FSA

Financial Security Assurance

 

 

 

 

 

See Notes to Financial Statements.

36


PORTFOLIO OF INVESTMENTS
DECEMBER 31, 2006

BlackRock California Municipal 2018 Term Trust (BJZ)

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Option Call
Provisions2
(Unaudited)

 

Value

 











 

 

 

 

 

 

 

LONG-TERM INVESTMENTS—147.6%

 

 

 

 

 

 

 

 

 

 

 

 

 

California—116.3%

 

 

 

 

 

 

BBB+

 

 

$

2,100

 

 

Abag Fin. Auth. for Nonprofit Corps., Hlth., Hosp. & Nursing Home RB, San Diego Hosp. Assoc. Proj., Ser. C, 5.375%, 3/01/21

 

03/14 @ 100

 

$

2,241,267

 

 

 

 

 

 

 

 

California GO,

 

 

 

 

 

 

A+

 

 

 

5,000

 

 

5.00%, 11/01/20

 

11/11 @ 100

 

 

5,187,200

 

AAA

 

 

 

6,500

 

 

Ser. BZ, 5.35%, 12/01/21, MBIA, AMT

 

06/07 @ 101

 

 

6,577,545

 

AAA

 

 

 

5,000

 

 

City of Long Beach, Port., Arpt. & Marina RB, Harbor Dept. Proj., Ser. A, 5.25%, 5/15/18, FGIC, AMT

 

05/10 @ 101

 

 

5,223,000

 

AAA

 

 

 

7,500

 

 

Clovis Unified Sch. Dist., Sch. Impvts. Ad Valorem Ppty. Tax GO, Ser. A, Zero Coupon, 8/01/21, FGIC

 

No Opt. Call

 

 

4,020,375

 

 

 

 

 

 

 

 

Cnty. of San Bernardino, Pub. Impvts. ST, Cmnty. Facs. Proj.,

 

 

 

 

 

 

NR

 

 

 

105

 

 

5.35%, 9/01/17

 

09/12 @ 102

 

 

109,305

 

NR

 

 

 

245

 

 

5.50%, 9/01/18

 

09/12 @ 102

 

 

257,164

 

NR

 

 

 

500

 

 

5.60%, 9/01/19

 

09/12 @ 102

 

 

527,945

 

NR

 

 

 

355

 

 

5.70%, 9/01/20

 

09/12 @ 102

 

 

376,119

 

AAA

 

 

 

2,980

 

 

Cnty. of San Diego, Lease Abatement COP, 5.25%, 11/01/19, AMBAC

 

11/11 @ 100

 

 

3,166,488

 

Aaa

 

 

 

6,500

3

 

Dept. of Wtr. Recs., Cash Flow Mgmt. Elec., Pwr. & Lt. RB, Pwr. Sply Proj., Ser. A, 5.125%, 5/01/12

 

N/A

 

 

7,047,495

 

AAA

 

 

 

3,395

 

 

Fontana Pub. Fin. Auth., Pub. Impvts. TA, North Fontana Redev. Proj., Ser. A, 5.25%, 9/01/18, FSA

 

09/11 @ 101

 

 

3,641,273

 

BBB

 

 

 

20,000

 

 

Foothill Eastern Transp. Corridor Agcy., Hwy Tolls RB, Cap. Apprec. Proj., Zero Coupon, 1/15/21

 

01/10 @ 53.346

 

 

9,245,600

 

 

 

 

 

 

 

 

Hlth. Facs. Fing. Auth., Hlth., Hosp. & Nursing Home RB, Adventist Hlth. Sys. Proj.,

 

 

 

 

 

 

A

 

 

 

1,075

 

 

Ser. A, 5.00%, 3/01/18

 

03/13 @ 100

 

 

1,120,558

 

A

 

 

 

1,000

 

 

Ser. A, 5.00%, 3/01/19

 

03/13 @ 100

 

 

1,040,280

 

A

 

 

 

2,060

 

 

Ser. A, 5.00%, 3/01/20

 

03/13 @ 100

 

 

2,138,445

 

A

 

 

 

1,355

 

 

Ser. A, 5.00%, 3/01/24

 

03/13 @ 100

 

 

1,402,140

 

 

 

 

 

 

 

 

Infrastructure & Econ. Dev. Bank, Hlth., Hosp. & Nursing Home Impvts. RB,

 

 

 

 

 

 

A+

 

 

 

6,500

 

 

Kaiser Asst. Corp. Proj., Ser. A, 5.55%, 8/01/31

 

08/11 @ 102

 

 

6,907,030

 

A

 

 

 

1,985

 

 

The J. David Gladstone Proj., 5.50%, 10/01/20

 

10/11 @ 101

 

 

2,114,879

 

 

 

 

 

 

 

 

Lathrop Fing. Auth., Wtr. Util. Impvts. Wtr. RB, Wtr. Sply. Proj.,

 

 

 

 

 

 

NR

 

 

 

995

 

 

5.80%, 6/01/21

 

06/13 @ 100

 

 

1,049,387

 

NR

 

 

 

1,040

 

 

5.85%, 6/01/22

 

06/13 @ 100

 

 

1,098,521

 

NR

 

 

 

1,000

 

 

5.90%, 6/01/23

 

06/13 @ 100

 

 

1,057,870

 

 

 

 

 

 

 

 

Los Angeles Cnty. Pub. Wks. Fing. Auth., Recreational Fac. Impvts. Misc. RB, Regl. Park Proj.,

 

 

 

 

 

 

AA

 

 

 

3,220

3

 

Ser. A, 5.00%, 10/01/07

 

N/A

 

 

3,287,395

 

AA

 

 

 

1,780

 

 

Ser. A, 5.00%, 10/01/19

 

10/07 @ 101

 

 

1,813,624

 

AAA

 

 

 

10,025

 

 

Los Angeles Harbor Dept., Port, Arpt. & Marina RB, Ser. B, 5.50%, 8/01/21, AMBAC, AMT

 

08/11 @ 100

 

 

10,666,600

 

 

 

 

 

 

 

 

Poll. Control Fing. Auth.,

 

 

 

 

 

 

A2

 

 

 

3,100

 

 

Indl. RB, San Diego Gas & Elec. Co. Proj., Ser. A, 5.90%, 6/01/14

 

No Opt. Call

 

 

3,451,757

 

BBB+

 

 

 

2,500

 

 

Rec. Recovery RB, Republic Svcs., Inc. Proj., Ser. C, 5.25%, 6/01/23, AMT

 

No Opt. Call

 

 

2,662,525

 

BBB

 

 

 

4,000

 

 

Sld. Wst. Disp. RB, Wst. Mgmt., Inc. Proj., Ser. A, 5.125%, 7/01/31, AMT

 

12/06 @ 100

 

 

4,181,760

 

BBB+

 

 

 

2,500

 

 

Sld. Wst. Disp. Rec. Recovery Impvts. RB, Republic Svcs., Inc. Proj., Ser. B, 5.25%, 6/01/23, AMT

 

No Opt. Call

 

 

2,662,525

 

 

 

 

 

 

 

 

Pub. Wks. Brd., Lease Abatement RB,

 

 

 

 

 

 

A

 

 

 

2,020

 

 

California Cmnty. Coll. Proj., Ser. A, 5.00%, 12/01/17

 

12/08 @ 101

 

 

2,075,752

 

A

 

 

 

2,415

 

 

California St. Univ. Proj., Ser. A, 5.00%, 10/01/17

 

10/08 @ 101

 

 

2,473,371

 

AAA

 

 

 

5,000

 

 

Riverside Unified Sch. Dist., Sch. Impvts. Ad Valorem Ppty. Tax GO, Ser. A, 5.25%, 2/01/23, FGIC

 

02/12 @ 101

 

 

5,378,500

 

AAA

 

 

 

2,135

3

 

Santa Clara Valley Transp. Auth., Trans. Impvts. Sales Tax RB, Ser. A, 5.00%, 6/01/11, MBIA

 

N/A

 

 

2,260,602

 

BBB+

 

 

 

5,000

 

 

Statewide Cmntys. Dev. Auth., Hlth., Hosp. & Nursing Home RB, Daughters of Charity Proj., Ser. A, 5.25%, 7/01/24

 

07/15 @ 100

 

 

5,284,300

 

AAA

 

 

 

4,590

 

 

Stockton-East Wtr. Dist., Lease COP, Ser. B, Zero Coupon, 4/01/19, FGIC

 

04/12 @ 66.427

 

 

2,455,742

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

114,204,339

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Multi-State—9.7%

 

 

 

 

 

 

A3

 

 

 

4,000

4

 

Charter Mac Equity Issuer Trust, Ser. A, 6.625%, 6/30/49

 

06/09 @ 100

 

 

4,195,080

 

A3

 

 

 

5,000

4

 

MuniMae TE Bond Subsidiary LLC, Ser. A, 6.875%, 6/30/49

 

06/09 @ 100

 

 

5,282,400

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

9,477,480

 

 

 

 

 

 

 

 

 

 

 

 



 

See Notes to Financial Statements.

37


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

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Option Call
Provisions2
(Unaudited)

 

Value

 











 

 

 

 

 

 

 

Puerto Rico—14.4%

 

 

 

 

 

 

BBB

 

 

$

1,035

 

 

Comnwlth., Pub. Impvts. Ad Valorem Ppty. Tax GO, Ser. B, 5.25%, 7/01/17

 

07/16 @ 100

 

$

1,127,922

 

BBB

 

 

 

4,410

 

 

Pub. Bldgs. Auth. Gov’t. Facs., Lease RB, Ser. C, 5.75%, 7/01/19

 

No Opt. Call

 

 

5,092,977

 

Aaa

 

 

 

7,500

3

 

Pub. Fin. Corp., Cash Flow Mgmt. Misc. RB, Ser. E, 5.70%, 2/01/10

 

N/A

 

 

7,946,625

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

14,167,524

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Trust Territories—4.1%

 

 

 

 

 

 

A

 

 

 

4,000

4

 

San Manuel Entertainment Auth. RB, 2004 Gaming Proj., Ser. C, 4.50%, 12/01/16

 

12/13 @ 102

 

 

3,999,880

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

U.S. Virgin Islands—3.1%

 

 

 

 

 

 

 

 

 

 

 

 

 

Pub. Fin. Auth., Swr. Impvts. RB, Sen. Lien Matching Fund Loan,

 

 

 

 

 

 

BBB

 

 

 

360

 

 

Ser. A, 5.25%, 10/01/17

 

10/14 @ 100

 

 

384,775

 

BBB

 

 

 

455

 

 

Ser. A, 5.25%, 10/01/19

 

10/14 @ 100

 

 

484,457

 

BBB

 

 

 

460

 

 

Ser. A, 5.25%, 10/01/21

 

10/14 @ 100

 

 

489,468

 

BBB

 

 

 

315

 

 

Ser. A, 5.25%, 10/01/22

 

10/14 @ 100

 

 

334,536

 

BBB

 

 

 

960

 

 

Ser. A, 5.25%, 10/01/23

 

10/14 @ 100

 

 

1,019,539

 

BBB

 

 

 

300

 

 

Ser. A, 5.25%, 10/01/24

 

10/14 @ 100

 

 

318,402

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

3,031,177

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Total Long-Term Investments (cost $138,816,839)

 

 

 

 

144,880,400

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

SHORT-TERM INVESTMENTS—7.2%

 

 

 

 

 

 

 

 

 

 

 

 

 

California—2.9%

 

 

 

 

 

 

A-1+

 

 

 

2,400

5

 

Cnty. of Riverside, Pub. Impvts. Lease Abatement COP, 3.80%, 1/02/07, FRWD

 

N/A

 

 

2,400,000

 

A-1+

 

 

 

400

5

 

Econ. Recovery, Pub. Impvts. Sales Tax RB, Ser. C-4, 3.92%, 1/02/07, FRDD

 

N/A

 

 

400,000

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

2,800,000

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Pennsylvania—1.7%

 

 

 

 

 

 

A-1+

 

 

 

1,700

5

 

Delaware Cnty. Indl. Dev. Auth., Indl. RB, Exelon Generation Co. LLC Proj., 4.00%, 1/02/07, FRDD

 

N/A

 

 

1,700,000

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


 

 

 

 

 

 

 

 

 

 

 

Shares
(000)

 

 

 

 

 

 

 

 

 

 

 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Money Market Fund—2.6%

 

 

 

 

 

 

NR

 

 

 

2,600

 

 

AIM Tax Free Cash Reserve Portfolio—Institutional Class

 

N/A

 

 

2,600,000

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Total Short-Term Investments (cost $7,100,000)

 

 

 

 

7,100,000

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Total Investments—154.8% (cost $145,916,8396)

 

 

 

$

151,980,400

 

 

 

 

 

 

 

 

Other assets in excess of liabilities—1.8%

 

 

 

 

1,743,167

 

 

 

 

 

 

 

 

Preferred shares at redemption value, including dividends payable—(56.6)%

 

 

 

 

(55,558,772

)

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Net Assets Applicable to Common Shareholders—100%

 

 

 

$

98,164,795

 

 

 

 

 

 

 

 

 

 

 

 



 


 

 


1

Using the highest of S&P’s, Moody’s or Fitch’s ratings.

 

 

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 prerefunded. 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, 2006, the Trust held 13.7% of its net assets, with a current market value of $13,477,360, in securities restricted as to resale.

 

 

5

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. Rate shown is rate as of December 31, 2006.

 

 

6

Cost for federal income tax purposes is $145,914,356. The net unrealized appreciation on a tax basis is $6,066,044, consisting of $6,066,164 gross unrealized appreciation and $120 gross unrealized depreciation.


 

 

 

 

 

 

 

KEY TO ABBREVIATIONS

 

AMBAC

American Municipal Bond Assurance Corp.

FSA

Financial Security Assurance

 

AMT

Subject to Alternative Minimum Tax

GO

General Obligation

 

COP

Certificate of Participation

MBIA

Municipal Bond Insurance Assoc.

 

FGIC

Financial Guaranty Insurance Co.

RB

Revenue Bond

 

FRDD

Floating Rate Daily Demand

ST

Special Tax

 

FRWD

Floating Rate Weekly Demand

TA

Tax Allocation

See Notes to Financial Statements.

38


 

PORTFOLIO OF INVESTMENTS

DECEMBER 31, 2006

BlackRock Florida Insured Municipal 2008 Term Trust (BRF)

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Option Call
Provisions2
(Unaudited)

 

Value

 











 

 

 

 

 

 

 

LONG-TERM INVESTMENTS—93.1%

 

 

 

 

 

 

 

 

 

 

 

 

 

Florida—84.1%

 

 

 

 

 

 

AAA

 

 

 

$

1,500

 

Alachua Cnty. Sch. Dist., Ad Valorem Ppty. Tax GO, 4.25%, 1/01/09, FSA

 

No Opt. Call

 

$

1,518,705

 

AAA

 

 

 

 

4,190

 

Brd. of Ed., Sch. Impvts. Misc. RB, Ser. A, 5.00%, 7/01/08, FGIC

 

No Opt. Call

 

 

4,277,068

 

 

 

 

 

 

 

 

City of Jacksonville,

 

 

 

 

 

 

AAA

 

 

 

 

2,000

 

Pub. Impvts. Sales Tax RB, 4.10%, 10/01/08, AMBAC

 

No Opt. Call

 

 

2,017,120

 

AAA

 

 

 

 

1,155

 

Sales Tax RB, 3.125%, 10/01/08, FGIC

 

No Opt. Call

 

 

1,143,773

 

AAA

 

 

 

 

5,895

 

Sales Tax RB, 4.25%, 10/01/08, AMBAC

 

No Opt. Call

 

 

5,960,375

 

AAA

 

 

 

 

2,000

 

City of Lakeland, Elec., Pwr. & Lt. RB, 5.90%, 10/01/08, FSA

 

No Opt. Call

 

 

2,076,900

 

 

 

 

 

 

 

 

City of Orlando, Swr. RB,

 

 

 

 

 

 

AAA

 

 

 

 

1,100

 

Ser. A, 3.25%, 10/01/08, AMBAC

 

No Opt. Call

 

 

1,093,653

 

AAA

 

 

 

 

1,280

 

Ser. A, 3.50%, 10/01/09, AMBAC

 

No Opt. Call

 

 

1,275,955

 

AAA

 

 

 

 

10,000

 

Cnty. of Hillsborough, Wtr. RB, 4.50%, 8/01/08, AMBAC

 

No Opt. Call

 

 

10,139,000

 

 

 

 

 

 

 

 

Cnty. of Miami-Dade, Misc. Taxes RB,

 

 

 

 

 

 

AAA

 

 

 

 

5,000

 

Ser. A, Zero Coupon, 2/01/08, MBIA

 

01/07 @ 98.237

 

 

4,785,900

 

AAA

 

 

 

 

905

3

Ser. B, Zero Coupon, 10/01/08, AMBAC

 

ETM

 

 

849,614

 

AAA

 

 

 

 

1,095

 

Ser. B, Zero Coupon, 10/01/08, AMBAC

 

No Opt. Call

 

 

1,027,274

 

AAA

 

 

 

 

1,535

 

Cnty. of Miami-Dade, Pub. Svc. Tax Pub. Impvt. RB, 3.40%, 4/01/08, AMBAC

 

No Opt. Call

 

 

1,531,239

 

 

 

 

 

 

 

 

Cnty. of Orange,

 

 

 

 

 

 

AAA

 

 

 

 

5,130

 

Misc. Taxes RB, Ser. A, 4.00%, 10/01/08, AMBAC

 

No Opt. Call

 

 

5,166,987

 

AAA

 

 

 

 

5,340

 

Misc. Taxes RB, Ser. A, 4.00%, 10/01/09, AMBAC

 

No Opt. Call

 

 

5,392,546

 

AAA

 

 

 

 

1,005

3

Sales Tax RB, Ser. A, 5.85%, 10/01/08, MBIA

 

ETM

 

 

1,044,115

 

AAA

 

 

 

 

495

 

Sales Tax RB, Ser. A, 5.85%, 10/01/08, MBIA

 

No Opt. Call

 

 

513,840

 

 

 

 

 

 

 

 

Cnty. of Osceola,

 

 

 

 

 

 

AAA

 

 

 

 

640

 

Fuel Sales Tax RB, 3.10%, 4/01/08, FGIC

 

No Opt. Call

 

 

634,938

 

AAA

 

 

 

 

1,810

 

Trans. Impvts. Sales Tax RB, 3.75%, 10/01/08, AMBAC

 

No Opt. Call

 

 

1,814,815

 

AAA

 

 

 

 

2,000

 

Cnty. of Seminole, Wtr. RB, 6.00%, 10/01/09, MBIA

 

No Opt. Call

 

 

2,100,000

 

AAA

 

 

 

 

5,905

 

Dept. of Env. Protection, Recreational Fac. Impvts. Sales Tax RB, Ser. B, 4.00%, 7/01/08, FGIC

 

No Opt. Call

 

 

5,940,194

 

 

 

 

 

 

 

 

Div. of Bond Fin.,

 

 

 

 

 

 

AAA

 

 

 

 

8,000

 

Recreational Fac. Impvts. Misc. Taxes RB, Dept. of Env. Presvtn. Proj., Ser. B, 5.25%, 7/01/10, FSA

 

07/08 @ 101

 

 

8,259,200

 

AAA

 

 

 

 

2,000

 

Recreational Fac. Impvts. Sales Tax RB, Nat. Res. & Presvtn. Proj., Ser. A, 5.00%, 7/01/11, AMBAC

 

07/07 @ 101

 

 

2,033,140

 

AAA

 

 

 

 

1,095

 

Escambia Cnty. Utils. Auth., Mult. Util. RB, Ser. B, 6.125%, 1/01/09, FGIC

 

No Opt. Call

 

 

1,120,689

 

AAA

 

 

 

 

6,000

 

Greater Orlando Aviation Auth., Port, Arpt. & Marina RB, Orlando Arpt. Facs. Proj., Ser. C, 3.50%, 10/01/08, MBIA

 

No Opt. Call

 

 

5,982,600

 

AAA

 

 

 

 

3,000

 

Hillsborough Cnty. Sch. Brd., Sales Tax RB, 4.00%, 10/01/09, AMBAC

 

No Opt. Call

 

 

3,027,930

 

AAA

 

 

 

 

950

 

Indian River Cnty. Sch. Dist., Ad Valorem Ppty. Tax GO, 3.25%, 4/01/08, FSA

 

No Opt. Call

 

 

946,038

 

AAA

 

 

 

 

3,000

 

Lee Cnty., Port, Arpt. & Marina RB, 4.25%, 10/01/09, FSA

 

No Opt. Call

 

 

3,041,130

 

 

 

 

 

 

 

 

Miami, Ad Valorem Ppty. Tax GO,

 

 

 

 

 

 

AAA

 

 

 

 

1,345

 

5.90%, 12/01/08, FGIC

 

No Opt. Call

 

 

1,402,526

 

AAA

 

 

 

 

1,000

 

6.00%, 12/01/09, FGIC

 

No Opt. Call

 

 

1,064,540

 

AAA

 

 

 

 

2,000

 

Miami-Dade Cnty. Edl. Facs. Auth., Univ. & Coll. Impvts. RB, Univ. of Miami Proj., Ser. A, 4.875%, 4/01/09, AMBAC

 

No Opt. Call

 

 

2,052,480

 

AAA

 

 

 

 

4,775

 

Miami-Dade Cnty. Sch. Brd., Lease Appropriation COP, 5.25%, 8/01/11, FSA

 

08/08 @ 101

 

 

4,929,328

 

AAA

 

 

 

 

1,090

 

Mun. Loan Council, Pub. Impvts. Misc. RB, Ser. C, 3.50%, 11/01/08, MBIA

 

No Opt. Call

 

 

1,087,656

 

AAA

 

 

 

 

7,085

 

Pasco Cnty., Rec. Recovery RB, 6.00%, 4/01/09, FGIC

 

01/07 @ 100

 

 

7,098,036

 

AAA

 

 

 

 

2,000

 

Polk Cnty. Sch. Brd., Sch. Impvts. Lease Appropriation COP, Ser. A, 3.20%, 1/01/08, FSA

 

No Opt. Call

 

 

1,990,520

 

AAA

 

 

 

 

500

 

St. Petersburg Hlth. Facs. Auth., Hlth., Hosp. & Nursing Home RB, All Children’s Hosp. Proj., 3.10%, 11/15/08, AMBAC

 

No Opt. Call

 

 

493,255

 

AAA

 

 

 

 

1,370

 

Vlg. Ctr. Cmnty. Dev. Dist. Recreational RB, Ser. A, 5.50%, 11/01/08, MBIA

 

No Opt. Call

 

 

1,416,087

 

AAA

 

 

 

 

2,370

 

Volusia Cnty., Sales Tax RB, Ser. B, 4.00%, 10/01/08, MBIA

 

No Opt. Call

 

 

2,386,282

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

108,635,448

 

 

 

 

 

 

 

 

 

 

 

 

 



See Notes to Financial Statements.

39


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

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Option Call
Provisions2
(Unaudited)

 

Value

 











 

 

 

 

 

 

 

Puerto Rico—9.0%

 

 

 

 

 

 

AAA

 

 

$

1,500

 

 

Mun. Fin. Agcy., Cash Flow Mgmt. Ad Valorem Ppty. Tax GO, Ser. A, 5.625%, 8/01/10, FSA

 

08/09 @ 101

 

$

1,588,066

 

AAA

 

 

 

10,000

 

 

Mun. Fin. Agcy., Pub. Impvts. Misc. RB, Ser. A, 3.50%, 8/01/08, FSA

 

No Opt. Call

 

 

9,986,000

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

11,574,066

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Total Long-Term Investments (cost $118,810,627)

 

 

 

 

120,209,514

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


 

 

 

 

 

 

 

 

 

 

 

Shares
(000)

 

 

 

 

 

 

 

 

 

 

 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

MONEY MARKET FUNDS—5.2%

 

 

 

 

 

 

NR

 

 

 

6,450

 

 

AIM Tax Free Cash Reserve Portfolio—Institutional Class

 

N/A

 

 

6,450,000

 

NR

 

 

 

200

 

 

SSgA Tax Free Money Mkt. Fund—Class A

 

N/A

 

 

200,000

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Total Short-Term Investments (cost $6,650,000)

 

 

 

 

6,650,000

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Total Investments—98.3% (cost $125,460,6274)

 

 

 

$

126,859,514

 

 

 

 

 

 

 

 

Other assets in excess of liabilities—1.7%

 

 

 

 

2,250,628

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Net Assets Applicable to Common Shareholders—100%

 

 

 

$

129,110,142

 

 

 

 

 

 

 

 

 

 

 

 



 


 

 


1

Using the highest of S&P’s, Moody’s or Fitch’s ratings.

 

 

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 collateralized by Municipal or U.S. Treasury obligations.

 

 

4

Cost for federal income tax purposes is $125,430,625. The net unrealized appreciation on a tax basis is $1,428,889, consisting of $1,598,968 gross unrealized appreciation and $170,079 gross unrealized depreciation.

 

 

 

The value (market value plus accrued interest) of securities that are covered by insurance, which ensures the payment of principal and interest, represent approximately 99.7% of the Trust’s managed assets.


 

 

 

 

 

 

AMBAC

 

 

34.4

%

FGIC

 

 

17.9

%

FSA

 

 

27.1

%

MBIA

 

 

15.1

%

Other

 

 

5.2

%


 

 

 

 

 

 

 

KEY TO ABBREVIATIONS

 

AMBAC

American Municipal Bond Assurance Corp.

GO

General Obligation

 

COP

Certificate of Participation

MBIA

Municipal Bond Insurance Assoc.

 

ETM

Escrowed to Maturity

RB

Revenue Bond

 

FGIC

Financial Guaranty Insurance Co.

ST

Special Tax

 

FSA

Financial Security Assurance

 

 

 

See Notes to Financial Statements.

40


 

PORTFOLIO OF INVESTMENTS

DECEMBER 31, 2006

BlackRock Florida Municipal 2020 Term Trust (BFO)

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Option Call
Provisions2
(Unaudited)

 

Value

 


 

 

 

 

 

 

 

LONG-TERM INVESTMENTS—143.8%

 

 

 

 

 

 

 

 

 

 

 

 

 

Florida—123.4%

 

 

 

 

 

 

NR

 

 

$

10

 

 

Brandy Creek Cmnty. Dev. Dist., Pub. Impvts. SA, Ser. B, 5.40%, 5/01/09

 

No Opt. Call

 

$

10,017

 

AAA

 

 

 

6,150

 

 

Brd. of Ed., Sch Impvts. Misc. GO, Ser. J, 5.00%, 6/01/24, AMBAC

 

06/13 @ 101

 

 

6,557,192

 

AAA

 

 

 

1,095

 

 

City of Deltona, Mult. Util. Impvts. RB, 5.00%, 10/01/23, MBIA

 

10/13 @ 100

 

 

1,159,200

 

AA

 

 

 

1,000

 

 

City of Lakeland, Wtr. RB, 5.00%, 10/01/27

 

10/12 @ 100

 

 

1,042,020

 

 

 

 

 

 

 

 

City of Marco Island, Wtr. Util. Impvts. Wtr. RB,

 

 

 

 

 

 

AAA

 

 

 

2,000

 

 

5.00%, 10/01/22, MBIA

 

10/13 @ 100

 

 

2,117,260

 

AAA

 

 

 

1,375

 

 

5.00%, 10/01/23, MBIA

 

10/13 @ 100

 

 

1,455,616

 

AAA

 

 

 

1,000

 

 

5.25%, 10/01/21, MBIA

 

10/13 @ 100

 

 

1,081,290

 

 

 

 

 

 

 

 

City of Palm Coast, Wtr. Util. Impvts. Wtr. RB,

 

 

 

 

 

 

AAA

 

 

 

1,770

 

 

5.00%, 10/01/22, MBIA

 

10/13 @ 100

 

 

1,873,775

 

AAA

 

 

 

1,485

 

 

5.00%, 10/01/23, MBIA

 

10/13 @ 100

 

 

1,572,066

 

AAA

 

 

 

1,500

 

 

5.00%, 10/01/24, MBIA

 

10/13 @ 100

 

 

1,587,945

 

BBB

 

 

 

4,000

 

 

Cnty. of Escambia, Misc. RB, Intl. Paper Co. Proj., 5.75%, 11/01/27, AMT

 

11/13 @ 100

 

 

4,235,760

 

 

 

 

 

 

 

 

Cnty. of Miami-Dade,

 

 

 

 

 

 

AAA

 

 

 

10,000

 

 

Misc. Taxes RB, Ser. A, Zero Coupon, 10/01/20, MBIA

 

04/08 @ 52.398

 

 

4,967,300

 

AAA

 

 

 

5,365

 

 

Misc. Taxes SO, Ser. A, Zero Coupon, 10/01/19, MBIA

 

04/08 @ 55.413

 

 

2,819,361

 

AAA

 

 

 

7,560

 

 

Recreational Fac. Impvts. Misc. Taxes RB, Ser. B, Zero Coupon, 10/01/32, MBIA

 

04/08 @ 26.494

 

 

1,892,041

 

AAA

 

 

 

2,760

 

 

Cnty. of Polk, Wtr. Util. Impvts. Wtr. RB, 5.00%, 10/01/23, FGIC

 

10/13 @ 100

 

 

2,921,819

 

NR

 

 

 

4,665

 

 

Crossings at Fleming Island Cmnty. Dev. Dist., Swr. Impvts. RB, 6.75%, 10/01/25

 

10/09 @ 102

 

 

4,899,370

 

AAA

 

 

 

566

 

 

Escambia Cnty. Hlth. Facs. Auth., Hlth., Hosp. & Nursing Home Impvts. RB, 5.95%, 7/01/20, AMBAC

 

No Opt. Call

 

 

587,535

 

BBB+

 

 

 

1,955

 

 

Hillsborough Cnty. Indl. Dev. Auth., Elec., Pwr. & Lt. RB, Tampa Elec. Co. Proj., 5.50%, 10/01/23

 

10/12 @ 100

 

 

2,039,827

 

AAA

 

 

 

1,000

 

 

Hillsborough Cnty. Sch. Brd., Sch. Impvts. Lease Appropriation COP, 5.00%, 7/01/27, MBIA

 

07/13 @ 100

 

 

1,045,710

 

AAA

 

 

 

3,000

 

 

Lee Cnty., Trans. RB, Ser. B, 5.00%, 10/01/22, AMBAC

 

10/14 @ 100

 

 

3,192,000

 

BB+

 

 

 

2,500

 

 

Miami Beach Hlth. Facs. Auth., Hlth., Hosp. & Nursing Home Impvts. RB, Mt. Sinai Med. Ctr. Proj., 6.75%, 11/15/21

 

11/14 @ 100

 

 

2,853,450

 

AAA

 

 

 

4,695

 

 

Miami-Dade Cnty. Edl. Facs. Auth., Univ. & Coll. RB, Miami Univ. Proj., Ser. A, 5.00%, 4/01/24, AMBAC

 

04/14 @ 100

 

 

4,966,653

 

AAA

 

 

 

4,000

 

 

Mun. Loan Council, Pub. Impvts. RB, Ser. A, Zero Coupon, 4/01/20, MBIA

 

No Opt. Call

 

 

2,284,720

 

NR

 

 

 

3,595

 

 

Northern Palm Beach Cnty. Impvt. Dist., Wtr. Util. Impvts. SA, Wtr. Ctrl. & Impvt. Unit Dev. 43 Proj., 6.10%, 8/01/21

 

08/11 @ 101

 

 

3,792,905

 

A+

 

 

 

4,450

3

 

Orange Cnty. Hlth. Facs. Auth., Hlth., Hosp. & Nursing Home RB, Adventist Hlth. Sys. Proj., 5.625%, 11/15/12

 

N/A

 

 

4,904,701

 

AAA

 

 

 

6,500

 

 

Palm Beach Cnty. Sch. Brd., Lease Renewal COP, Ser. D, 5.00%, 8/01/28, FSA

 

08/12 @ 100

 

 

6,746,545

 

NR

 

 

 

4,615

 

 

Sterling Hill Cmnty. Dev. Dist., SA, 6.10%, 5/01/23

 

05/13 @ 101

 

 

4,918,667

 

NR

 

 

 

2,590

 

 

Stevens Plantation Impvt. Proj. Dependent Spl. Dist., Pub. Impvts. Misc. RB, 6.375%, 5/01/13

 

No Opt. Call

 

 

2,676,247

 

NR

 

 

 

1,205

 

 

Sumter Cnty. Indl. Dev. Auth., Ind. Impvts. RB, North Sumter Util. Co. LLC Proj., 6.80%, 10/01/32, AMT

 

10/09 @ 100

 

 

1,257,984

 

 

 

 

 

 

 

 

Tohopekaliga Wtr. Auth.,

 

 

 

 

 

 

AAA

 

 

 

3,630

 

 

Wtr. RB, Ser. A, 5.00%, 10/01/21, FSA

 

10/13 @ 100

 

 

3,871,577

 

AAA

 

 

 

3,810

 

 

Wtr. RB, Ser. A, 5.00%, 10/01/22, FSA

 

10/13 @ 100

 

 

4,033,380

 

AAA

 

 

 

2,000

 

 

Wtr. RB, Ser. A, 5.00%, 10/01/23, FSA

 

10/13 @ 100

 

 

2,117,260

 

AAA

 

 

 

1,975

 

 

Wtr. Util. Impvts. Wtr. RB, Ser. B, 5.00%, 10/01/22, FSA

 

10/13 @ 100

 

 

2,090,794

 

AAA

 

 

 

1,180

 

 

Wtr. Util. Impvts. Wtr. RB, Ser. B, 5.00%, 10/01/23, FSA

 

10/13 @ 100

 

 

1,249,183

 

NR

 

 

 

1,625

 

 

Vlg. Cmnty. Dev. Dist. No. 5, Pub. Impvts. SA, Ser. A, 6.00%, 5/01/22

 

05/13 @ 101

 

 

1,722,646

 

 

 

 

 

 

 

 

Vlg. Ctr. Cmnty. Dev. Dist.,

 

 

 

 

 

 

NR4

 

 

 

2,000

 

 

Recreational Fac. Impvts. RB, Ser. B, 6.35%, 1/01/18

 

01/14 @ 100

 

 

2,115,580

 

AAA

 

 

 

5,000

 

 

Wtr. Util. Impvts. Wtr. RB, 5.25%, 10/01/23, MBIA

 

10/13 @ 101

 

 

5,398,550

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

104,057,946

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Puerto Rico—20.4%

 

 

 

 

 

 

 

 

 

 

 

 

 

Children’s Trust Fund, Tobacco Settlement Funded RB,

 

 

 

 

 

 

BBB

 

 

 

2,015

 

 

5.50%, 5/15/39

 

05/12 @ 100

 

 

2,110,189

 

BBB

 

 

 

10,500

 

 

5.625%, 5/15/43

 

05/12 @ 100

 

 

11,042,745

 

See Notes to Financial Statements.

41


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

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Value

 


 

 

 

 

 

 

 

Puerto Rico—(cont’d)

 

 

 

Aaa

 

 

$

3,740

3

 

Pub. Fin. Corp., Cash Flow Mgmt. Misc. RB, Ser. E, 5.50%, 2/01/12

 

$

4,060,368

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

17,213,302

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Total Long-Term Investments (cost $114,627,300)

 

 

121,271,248

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

SHORT-TERM INVESTMENTS—12.5%

 

 

 

 

 

 

 

 

 

 

 

Florida—4.9%

 

 

 

 

A-1+

 

 

 

630

5

 

Jacksonville Hlth. Facs. Auth., Hlth., Hosp. & Nursing Home RB, Baptist Med. Ctr. Proj., 3.95%, 1/02/07, FRDD

 

 

630,000

 

A-1+

 

 

 

3,500

5

 

Pinellas Cnty. Hlth. Fac. Auth., Hlth., Hosp. & Nursing Home RB, All Children’s Hosp. Proj., 4.00%, 1/02/07, AMBAC, FRDD

 

 

3,500,000

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

4,130,000

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Puerto Rico—1.1%

 

 

 

 

A-1

 

 

 

950

5

 

Hwy. & Transp. Auth., Fuel Sales Tax RB, Ser. A, 3.93%, 1/03/07, AMBAC. FRWD.

 

 

950,000

 

 

 

 

 

 

 

 

 

 



 


 

 

 

 

 

 

 

 

 

 

 

 

 

 


 

 

 

 

 

 

 

 

Shares
(000)

 

 

 

 

 

 

 

 


 

 

 

 

 

 

 

 

 

 

 

 

 

Money Market Funds—6.5%

 

 

 

 

NR

 

 

 

4,200

 

 

AIM Tax Free Cash Reserve Portfolio—Institutional Class

 

 

4,200,000

 

NR

 

 

 

1,250

 

 

SSgA Tax Free Money Mkt. Fund—Class A

 

 

1,250,000

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

5,450,000

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Total Short-Term Investments (cost $10,530,000)

 

 

10,530,000

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Total Investments—156.3% (cost $125,157,3006)

 

$

131,801,248

 

 

 

 

 

 

 

 

Other assets in excess of liabilities—1.7%

 

 

1,429,057

 

 

 

 

 

 

 

 

Preferred shares at redemption value, including dividends payable—(58.0)%

 

 

(48,930,145)

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Net Assets Applicable to Common Shareholders—100%

 

$

84,300,160

 

 

 

 

 

 

 

 

 

 



 


 

 


1

Using the highest of S&P’s, Moody’s or Fitch’s ratings.

 

 

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 prerefunded. 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 deemed to be of investment grade quality by the investment advisor.

 

 

5

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. Rate shown is rate as of December 31, 2006.

 

 

6

Cost for federal income tax purposes is $125,133,632. The net unrealized appreciation on a tax basis is $6,667,616, consisting of $6,678,656 gross unrealized appreciation and $11,040 gross unrealized depreciation.


 

 

 

 


KEY TO ABBREVIATIONS

 

AMBAC

American Municipal Bond Assurance Corp.

FSA

Financial Security Assurance

AMT

Subject to Alternative Minimum Tax

GO

General Obligation

COP

Certificate of Participation

MBIA

Municipal Bond Insurance Assoc.

FGIC

Financial Guaranty Insurance Co.

RB

Revenue Bond

FRDD

Floating Rate Daily Demand

SA

Special Assessment

FRWD

Floating Rate Weekly Demand

SO

Special Obligation

 

See Notes to Financial Statements.

42


PORTFOLIO OF INVESTMENTS
DECEMBER 31, 2006

BlackRock New York Insured Municipal 2008 Term Trust (BLN)

 

 

(Percentage of Net Assets)


 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Option Call
Provisions2
(Unaudited)

 

Value

 











 

 

 

 

 

 

 

LONG-TERM INVESTMENTS—98.2%

 

 

 

 

 

 

 

 

 

 

 

 

 

New York—98.2%

 

 

 

 

 

 

AAA

 

 

$

1,000

 

 

Bath Central Sch. Dist., Ad Valorem Ppty. Tax GO, 4.00%, 6/15/08, FGIC

 

No Opt. Call

 

$

1,006,480

 

AAA

 

 

 

2,250

 

 

Central Square Central Sch. Dist., Ad Valorem Ppty. Tax GO, 3.75%, 5/15/09, FGIC

 

No Opt. Call

 

 

2,259,090

 

 

 

 

 

 

 

 

City of New York, Ad Valorem Ppty. Tax GO,

 

 

 

 

 

 

AAA

 

 

 

2,455

3

 

4.75%, 8/15/08, XLCA

 

N/A

 

 

2,525,066

 

AAA

 

 

 

2,265

 

 

4.75%, 8/15/09, XLCA

 

08/08 @ 101

 

 

2,327,469

 

AAA

 

 

 

1,000

 

 

Ser. A, 5.20%, 8/01/10, FSA

 

08/08 @ 101

 

 

1,032,560

 

AAA

 

 

 

45

 

 

Ser. C-1, 6.25%, 8/01/10, FSA

 

01/07 @ 100

 

 

45,092

 

AAA

 

 

 

50

 

 

Ser. C-1, 6.375%, 8/01/08, MBIA

 

01/07 @ 100

 

 

50,102

 

AAA

 

 

 

2,000

4

 

Ser. E, 6.20%, 8/01/08, MBIA

 

ETM

 

 

2,081,800

 

AAA

 

 

 

4,895

 

 

Ser. E, 6.20%, 8/01/08, MBIA

 

No Opt. Call

 

 

5,089,429

 

AAA

 

 

 

1,000

 

 

Cnty. of Erie, Pub. Impvt. Ad Valorem Ppty. Tax GO, Ser. A, 3.75%, 10/01/08, FGIC

 

No Opt. Call

 

 

1,003,500

 

 

 

 

 

 

 

 

Cnty. of Monroe, Pub. Impvt. Ad Valorem Ppty. Tax GO,

 

 

 

 

 

 

AAA

 

 

 

455

4

 

4.00%, 3/01/09, FGIC

 

ETM

 

 

459,418

 

AAA

 

 

 

770

 

 

4.00%, 3/01/09, FGIC

 

No Opt. Call

 

 

776,830

 

 

 

 

 

 

 

 

Dorm. Auth.,

 

 

 

 

 

 

AAA

 

 

 

3,500

 

 

Hlth., Hosp. & Nursing Home RB, Bronx-Lebanon Hosp. Ctr. Proj., 5.00%, 2/15/10, MBIA

 

02/08 @ 101.5

 

 

3,600,415

 

AAA

 

 

 

5,000

 

 

Hlth., Hosp. & Nursing Home RB, Bronx-Lebanon Hosp. Ctr. Proj., 5.125%, 2/15/09, ACA, FSA

 

02/08 @ 101.5

 

 

5,140,150

 

AAA

 

 

 

500

 

 

Hlth., Hosp. & Nursing Home RB, W.K. Nursing Home Corp. Proj., 5.65%, 8/01/09

 

01/07 @ 102

 

 

510,750

 

AAA

 

 

 

1,000

 

 

Hlth., Hosp. & Nursing Home RB, Winthrop South Nassau Univ. Proj., Ser. A, 4.125%, 7/01/08, AMBAC

 

No Opt. Call

 

 

1,007,040

 

AAA

 

 

 

1,600

 

 

Misc. RB, St. Univ. Edl. Facs. Proj., Ser. A, 5.50%, 5/15/07, FGIC

 

No Opt. Call

 

 

1,611,552

 

AAA

 

 

 

2,500

 

 

Misc. RB, St. Univ. Edl. Facs. Proj., Ser. A, 5.50%, 5/15/08, AMBAC

 

No Opt. Call

 

 

2,565,225

 

AAA

 

 

 

5,000

 

 

Misc. RB, St. Univ. Edl. Facs. Proj., Ser. A, 5.50%, 5/15/08, FGIC

 

No Opt. Call

 

 

5,130,450

 

AAA

 

 

 

6,000

 

 

Misc. RB, St. Univ. Edl. Facs. Proj., Ser. A, 5.50%, 5/15/08, CONNIE LEE

 

No Opt. Call

 

 

6,151,620

 

AAA

 

 

 

5,000

 

 

Misc. RB, St. Univ. Edl. Facs. Proj., Ser. A, 5.50%, 5/15/09, AMBAC

 

No Opt. Call

 

 

5,217,900

 

AAA

 

 

 

1,960

 

 

East Greenbush Central Sch. Dist., Ad Valorem Ppty. Tax GO, Ser. C, 4.00%, 6/15/09, FSA

 

No Opt. Call

 

 

1,979,659

 

AAA

 

 

 

6,000

 

 

Env. Facs. Corp., Swr. RB, Mun. Wtr. Proj., 4.00%, 6/15/09

 

No Opt. Call

 

 

6,064,440

 

AAA

 

 

 

1,185

 

 

Evans-Brant Central Sch. Dist., Ad Valorem Ppty. Tax GO, Ser. C, 3.75%, 12/15/08, FGIC

 

No Opt. Call

 

 

1,189,657

 

 

 

 

 

 

 

 

Fayetteville-Manlius Central Sch. Dist., Ad Valorem Ppty. Tax GO,

 

 

 

 

 

 

AAA

 

 

 

1,125

 

 

3.75%, 6/15/09, FGIC

 

No Opt. Call

 

 

1,129,714

 

AAA

 

 

 

1,000

 

 

4.00%, 6/15/08, FGIC

 

No Opt. Call

 

 

1,006,480

 

 

 

 

 

 

 

 

Hsg. Fin. Agcy., Local Housing RB,

 

 

 

 

 

 

AAA

 

 

 

790

 

 

Hsg. Mtg. Proj., Ser. A, 5.80%, 5/01/09, FSA

 

01/07 @ 102

 

 

807,001

 

AAA

 

 

 

4,015

 

 

Hsg. Mtg. Proj., Ser. A, 5.80%, 11/01/09, FSA

 

01/07 @ 102

 

 

4,058,041

 

AAA

 

 

 

165

 

 

Multi-Fam. Mtg. Hsg. Proj., Ser. C, 6.30%, 8/15/08

 

01/07 @ 100

 

 

165,241

 

AAA

 

 

 

12,500

 

 

Long Island Pwr. Auth., Cash Flow Mgmt. Elec., Pwr. & Lt. RB, 5.00%, 4/01/08, MBIA

 

No Opt. Call

 

 

12,713,750

 

 

 

 

 

 

 

 

Met. Transp. Auth., Trans. RB,

 

 

 

 

 

 

AAA

 

 

 

2,500

4

 

Ser. A, 6.10%, 7/01/08, MBIA

 

ETM

 

 

2,594,000

 

AAA

 

 

 

26,075

4

 

Ser. K, 6.00%, 7/01/08, MBIA

 

ETM

 

 

27,018,915

 

 

 

 

 

 

 

 

Mt. Sinai Union Free Sch. Dist., Ad Valorem Ppty. Tax GO,

 

 

 

 

 

 

AAA

 

 

 

935

 

 

6.00%, 2/15/08, AMBAC

 

No Opt. Call

 

 

959,852

 

AAA

 

 

 

930

 

 

6.10%, 2/15/09, AMBAC

 

No Opt. Call

 

 

977,170

 

AAA

 

 

 

1,075

 

 

6.10%, 2/15/10, AMBAC

 

No Opt. Call

 

 

1,152,722

 

 

 

 

 

 

 

 

New York City Hlth. & Hosp. Corp., Hlth., Hosp. & Nursing Home RB,

 

 

 

 

 

 

AAA

 

 

 

2,810

 

 

Ser. A, 3.75%, 2/15/09, FSA

 

No Opt. Call

 

 

2,817,896

 

AAA

 

 

 

2,000

 

 

Ser. A, 5.00%, 2/15/08, AMBAC

 

No Opt. Call

 

 

2,030,600

 

 

 

 

 

 

 

 

New York City Mun. Wtr. Fin. Auth., Wtr. RB,

 

 

 

 

 

 

AAA

 

 

 

11,500

 

 

Ser. A, Zero Coupon, 6/15/09, MBIA

 

No Opt. Call

 

 

10,520,545

 

AAA

 

 

 

1,710

4

 

Ser. A, 6.00%, 6/15/08, FGIC

 

ETM

 

 

1,769,850

 

 

 

 

 

 

 

 

New York City Transl. Fin. Auth., Pub. Impvts. Income Tax RB,

 

 

 

 

 

 

AAA

 

 

 

2,605

4

 

4.00%, 5/01/09, MBIA

 

ETM

 

 

2,631,571

 

AAA

 

 

 

1,395

 

 

4.00%, 5/01/09, MBIA

 

No Opt. Call

 

 

1,408,294

 

AAA

 

 

 

7,800

4

 

Ser. B, 5.25%, 5/01/11, MBIA

 

ETM

 

 

8,309,106

 

AAA

 

 

 

250

 

 

Pwr. Auth., Elec., Pwr. & Lt. RB, Ser. CC, 5.125%, 1/01/11

 

No Opt. Call

 

 

264,007

 

AAA

 

 

 

1,030

 

 

Sodus Central Sch. Dist., Ad Valorem Ppty. Tax GO, 4.00%, 6/15/09, FGIC

 

No Opt. Call

 

 

1,040,331

 

See Notes to Financial Statements.

43



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

 

 

(Percentage of Net Assets)


 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Option Call
Provisions2
(Unaudited)

 

Value

 











 

 

 

 

 

 

 

New York—(cont’d)

 

 

 

 

 

 

AAA

 

 

$

1,000

 

 

St. of New York, Gen. Fund GO, Ser. F, 5.50%, 9/15/08, AMBAC

 

No Opt. Call

 

$

1,033,050

 

AAA

 

 

 

5,000

 

 

Suffolk Cnty. Indl. Dev. Agcy., Swr. RB, 6.00%, 2/01/08, FGIC

 

No Opt. Call

 

 

5,128,450

 

AAA

 

 

 

1,675

 

 

Suffolk Cnty. Wtr. Auth., Wtr. Util. Impvts. Wtr. RB, Ser. C, 5.75%, 6/01/08

 

02/07 @ 100

 

 

1,710,878

 

 

 

 

 

 

 

 

Thruway Auth.,

 

 

 

 

 

 

AAA

 

 

 

2,000

 

 

Hwy. Impvts. Hwy. Tolls RB, Hwy. & Brdg. Trust Fund Proj., Ser. A, 3.90%, 4/01/09, FSA

 

No Opt. Call

 

 

2,014,100

 

AAA

 

 

 

3,410

 

 

Hwy. Impvts. Misc. RB, Local Hwy. & Brdg. Proj., Ser. A, 5.375%, 4/01/09, MBIA

 

04/08 @ 101

 

 

3,516,494

 

AAA

 

 

 

2,000

 

 

Hwy. Impvts. Sales Tax RB, Hwy. & Brdg. Trust Fund Proj., Ser. B, 4.00%, 4/01/09, MBIA

 

No Opt. Call

 

 

2,018,400

 

AAA

 

 

 

2,900

 

 

Hwy. Impvts. Sales Tax RB, Hwy. & Brdg. Trust Fund Proj., Ser. B, 5.25%, 4/01/11, MBIA

 

No Opt. Call

 

 

3,082,352

 

AAA

 

 

 

2,265

4

 

Triborough Brdg. & Tunl. Auth., Hwy. Tolls RB, Ser. A, 5.125%, 1/01/11, MBIA

 

ETM

 

 

2,350,096

 

 

 

 

 

 

 

 

Urban Dev. Corp., Correctional Facs. Impvts. Lease Appropriation RB,

 

 

 

 

 

 

AAA

 

 

 

2,000

 

 

Ser. A, 5.50%, 1/01/09, AMBAC

 

No Opt. Call

 

 

2,074,060

 

AAA

 

 

 

5,140

 

 

Ser. B, 5.25%, 1/01/10, AMBAC

 

01/09 @ 101

 

 

5,345,446

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Total Long-Term Investments (cost $166,068,088)

 

 

 

 

170,474,106

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


 

 

 

 

 

 

 

 

 

 

Shares
(000)

 

 

 

 

 

 

 

 

 

 


 

 

 

 

 

 

 

 

NR

 

 

 

 

 

 

MONEY MARKET FUND—0.3%

 

 

 

 

 

 

 

 

 

 

550

 

 

AIM Tax Free Cash Reserve Portfolio—Institutional Class (cost $550,000)

 

N/A

 

 

550,000

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Total Investment—98.5% (cost $166,618,0885)

 

 

 

$

171,024,106

 

 

 

 

 

 

 

 

Other assets in excess of liabilities—1.5%

 

 

 

 

2,529,117

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Net Assets Applicable to Common Shareholders—100%

 

 

 

$

173,553,223

 

 

 

 

 

 

 

 

 

 

 

 



 



 

 

1

Using the highest of S&P’s, Moody’s or Fitch’s ratings.

 

 

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 prerefunded. 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 collateralized by Municipal or U.S. Treasury obligations.

 

 

5

Cost for federal income tax purposes is $166,017,056. The net unrealized appreciation on a tax basis is $5,007,050, consisting of $5,008,655 gross unrealized appreciation and $1,605 gross unrealized depreciation.

 

 

 

The value (market value plus accrued interest) of securities that are covered by insurance, which ensures the payment of principal and interest, represent approximately 94.9% of the Trust’s managed assets.


 

 

 

ACA

3.0%

AMBAC

13.1%

CONNIE LEE

3.6%

FGIC

13.7%

FSA

7.4%

MBIA

51.0%

XLCA

2.8%

Other

0.3%


 

 

 

 

 

 

 

KEY TO ABBREVIATIONS

 

ACA

American Capital Access

FSA

Financial Security Assurance

AMBAC

American Municipal Bond Assurance Corp.

GO

General Obligation

CONNIE LEE

College Construction Loan Insurance Assoc.

MBIA

Municipal Bond Insurance Assoc.

ETM

Escrowed to Maturity

RB

Revenue Bond

FGIC

Financial Guaranty Insurance Co.

XLCA

XL Capital Assurance

 

See Notes to Financial Statements.

44


PORTFOLIO OF INVESTMENTS
DECEMBER 31, 2006

BlackRock New York Municipal 2018 Term Trust (BLH)

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

 

Principal
Amount
(000)

 

 

Description

 

Option Call
Provisions2
(Unaudited)

 

Value

 













 

 

 

 

 

 

 

LONG-TERM INVESTMENTS—151.1%

 

 

 

 

 

 

 

 

 

 

 

 

 

Multi-State—7.1%

 

 

 

 

 

 

A3

 

 

$

4,000

3

 

Charter Mac Equity Issuer Trust, Ser. A, 6.625%, 6/30/49

 

06/09 @ 100

 

$

4,195,080

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

New York—136.0%

 

 

 

 

 

 

NR

 

 

 

450

 

 

Albany Indl. Dev. Agcy., Sch. Impvts. Lease Appropriation RB, New Covenant Charter Sch. Proj., Ser. A, 7.00%, 5/01/25

 

05/15 @ 102

 

 

449,483

 

 

 

 

 

 

 

 

City of New York,

 

 

 

 

 

 

AA-

 

 

 

3,110

 

 

Ad Valorem Ppty. Tax GO, 5.75%, 8/01/18

 

08/12 @ 100

 

 

3,389,776

 

AA-

 

 

 

1,890

4

 

Ad Valorem Ppty. Tax GO, Ser. G, 5.75%, 8/01/12

 

N/A

 

 

2,092,986

 

AA-

 

 

 

4,000

 

 

Pub. Impvts. Ad Valorem Ppty. Tax GO, Ser. B, 5.375%, 12/01/20

 

12/11 @ 100

 

 

4,243,400

 

 

 

 

 

 

 

 

Dorm. Auth.,

 

 

 

 

 

 

AAA

 

 

 

3,455

4

 

Hlth., Hosp. & Nursing Home Impvts. RB, Mental Hlth. Svcs. Proj., Ser. A, 5.00%, 2/15/08

 

N/A

 

 

3,577,342

 

AA-

 

 

 

295

 

 

Hlth., Hosp. & Nursing Home Impvts. RB, Mental Hlth. Svcs. Proj., Ser. A, 5.00%, 2/15/18

 

02/08 @ 102

 

 

303,307

 

AAA

 

 

 

2,510

4

 

Hlth., Hosp. & Nursing Home Impvts. RB, Mental Hlth. Svcs. Proj., Ser. B, 5.50%, 8/15/11, MBIA

 

N/A

 

 

2,710,398

 

AAA

 

 

 

110

 

 

Hlth., Hosp. & Nursing Home Impvts. RB, Mental Hlth. Svcs. Proj., Ser. B, 5.50%, 8/15/20, MBIA

 

08/11 @ 100

 

 

118,055

 

AAA

 

 

 

1,000

 

 

Hlth., Hosp. & Nursing Home RB, Willow Towers, Inc. Proj., 5.25%, 2/01/22

 

08/12 @ 101

 

 

1,070,030

 

AA-

 

 

 

1,800

4

 

Univ. & Coll. Impvts. RB, City Univ. Proj., Ser. A, 5.125%, 7/01/11

 

N/A

 

 

1,912,464

 

AA

 

 

 

1,000

 

 

Univ. & Coll. RB, Brooklyn Law Sch. Proj., Ser. A, 5.50%, 7/01/18, RAA

 

07/13 @ 100

 

 

1,083,090

 

AA-

 

 

 

1,170

4

 

Univ. & Coll. RB, Upstate Cmnty. Proj., Ser. A, 5.00%, 7/01/09

 

N/A

 

 

1,221,328

 

AA-

 

 

 

2,060

 

 

Univ. & Coll. RB, Upstate Cmnty. Proj., Ser. A, 5.00%, 7/01/19

 

07/09 @ 101

 

 

2,123,572

 

Aaa

 

 

 

1,320

 

 

East Rochester Hsg. Auth., Hlth., Hosp. & Nursing Home RB, Genesee Valley Presbyterian Proj., 5.20%, 12/20/24

 

12/11 @ 101

 

 

1,396,494

 

BBB

 

 

 

2,450

 

 

Jefferson Cnty. Indl. Dev. Agcy., Misc. RB, Intl. Paper Co. Proj., 5.20%, 12/01/20, AMT

 

12/13 @ 100

 

 

2,523,917

 

AAA

 

 

 

1,900

 

 

Long Island Pwr. Auth., Cash Flow Mgmt. Elec., Pwr. & Lt. RB, Zero Coupon, 6/01/18, FSA

 

No Opt. Call

 

 

1,204,562

 

AAA

 

 

 

5,000

 

 

Met. Transp. Auth., Trans. RB, Ser. A, 5.125%, 11/15/21, FGIC

 

11/12 @ 100

 

 

5,354,000

 

 

 

 

 

 

 

 

New York City Indl. Dev. Agcy.,

 

 

 

 

 

 

B

 

 

 

1,000

 

 

Port, Arpt. & Marina Impvts. RB, American Airlines, Inc. Proj., 7.50%, 8/01/16, AMT

 

No Opt. Call

 

 

1,194,440

 

A-

 

 

 

4,000

 

 

Recreational Fac. Impvts. Misc. RB, YMCA of Greater New York Proj., 5.25%, 8/01/21

 

02/11 @ 100

 

 

4,150,040

 

 

 

 

 

 

 

 

New York City Transl. Fin. Auth., Pub. Impvts. Income Tax RB,

 

 

 

 

 

 

AAA

 

 

 

1,090

4

 

5.00%, 5/01/09

 

N/A

 

 

1,135,409

 

AAA

 

 

 

805

 

 

5.00%, 5/01/19

 

05/09 @ 101

 

 

834,302

 

AAA

 

 

 

3,000

 

 

Ser. B, 5.00%, 5/01/18

 

11/11 @ 101

 

 

3,188,100

 

B3

 

 

 

525

 

 

New York Liberty Dev. Corp., Recreational Fac. Impvts. RB, Nat. Sports Museum Proj.,
Ser. A, 6.125%, 2/15/19

 

02/16 @ 100

 

 

555,245

 

AA

 

 

 

4,180

 

 

Niagara Cnty. Ind. Dev. Agcy., Indl. RB, Niagara Univ. Proj., Ser. A, 5.35%, 11/01/23, RAA

 

11/11 @ 101

 

 

4,488,191

 

AA

 

 

 

4,130

 

 

Oneida Hlth. Care Corp., Hlth., Hosp. & Nursing Home RB, Oneida Hlth. Sys., Inc. Proj.,
5.30%, 2/01/21, RAA

 

02/11 @ 101

 

 

4,341,993

 

AA

 

 

 

3,875

 

 

Orange Cnty. Indl. Dev. Agcy., Hlth., Hosp. & Nursing Home RB, St. Luke’s Hosp. Proj.,
Ser. A, 5.375%, 12/01/21, RAA

 

12/11 @ 101

 

 

4,117,691

 

 

 

 

 

 

 

 

Port Auth. of New York & New Jersey, Port, Arpt. & Marina Impvts. RB,

 

 

 

 

 

 

AAA

 

 

 

3,885

 

 

Ser. 126, 5.00%, 11/15/18, FGIC, AMT

 

05/12 @ 101

 

 

4,085,194

 

Caa1

 

 

 

2,600

 

 

Contl. Airlines Proj., 9.125%, 12/01/15, AMT

 

01/07 @ 100

 

 

2,709,200

 

BBB

 

 

 

4,000

 

 

Rockland Tobacco Asset Sec. Corp., Misc. Purposes Tobacco Settlement Funded RB, 5.625%, 8/15/35

 

08/12 @ 100

 

 

4,201,040

 

AAA

 

 

 

3,000

4

 

TSASC, Inc., Rec. Recovery Impvts. Tobacco Settlement Funded RB, Ser. 1, 5.75%, 7/15/12

 

N/A

 

 

3,310,410

 

AA-

 

 

 

3,500

 

 

Urban Dev. Corp., Lease Appropriation RB, 5.00%, 1/01/19

 

01/08 @ 102

 

 

3,595,200

 

AAA

 

 

 

3,710

 

 

Westchester Cnty. Indl. Dev. Agcy., Univ. & Coll. Impvts. RB, Purchase Coll. Fndtn. Hsg. Proj.,
Ser. A, 5.125%, 12/01/22, AMBAC

 

12/11 @ 102

 

 

3,978,604

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

80,659,263

 

 

 

 

 

 

 

 

 

 

 

 



 

See Notes to Financial Statements.

45


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

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

 

Principal
Amount
(000)

 

 

Description

 

Option Call
Provisions2
(Unaudited)

 

Value

 















 

 

 

 

 

 

 

Puerto Rico—8.0%

 

 

 

 

 

 

BBB

 

 

 

2,000

 

 

Children’s Trust Fund, Tobacco Settlement Funded RB, 5.625%, 5/15/43

 

05/12 @ 100

 

$

2,103,380

 

Aaa

 

 

 

2,500

4

 

Pub. Fin. Corp., Cash Flow Mgmt. Misc. RB, Ser. E, 5.70%, 2/01/10

 

N/A

 

 

2,648,875

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

4,752,255

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Total Investments—151.1% (cost $83,717,3575)

 

 

 

$

89,606,598

 

 

 

 

 

 

 

 

Other assets in excess of liabilities—1.9%

 

 

 

 

1,123,210

 

 

 

 

 

 

 

 

Preferred shares at redemption value, including dividends payable—(53.0)%

 

 

 

 

(31,416,778

)

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Net Assets Applicable to Common Shareholders—100%

 

 

 

$

59,313,030

 

 

 

 

 

 

 

 

 

 

 

 



 


 

 


1

Using the highest of S&P’s, Moody’s or Fitch’s ratings.

 

 

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, 2006, the Trust held 7.1% of its net assets, with a current market value of $4,195,080, in securities restricted as to resale.

 

 

4

This bond is prerefunded. 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.

 

 

5

Cost for federal income tax purposes is $83,718,289. The net unrealized appreciation on a tax basis is $5,888,309, consisting of $5,888,309 gross unrealized appreciation and $0 gross unrealized depreciation.


 

 

 

 

 

 

KEY TO ABBREVIATIONS

 

AMBAC  

American Municipal Bond Assurance Corp.

GO

General Obligation

AMT

Subject to Alternative Minimum Tax

MBIA  

Municipal Bond Insurance Assoc.

FGIC

Financial Guaranty Insurance Co.

RAA

Radian Asset Assurance

FSA

Financial Security Assurance

RB

Revenue Bond

See Notes to Financial Statements.

46



PORTFOLIO OF INVESTMENTS
DECEMBER 31, 2006

BlackRock Pennsylvania Strategic Municipal Trust (BPS)

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Option Call
Provisions2
(Unaudited)

 

 

Value

 















 

 

 

 

 

 

 

LONG-TERM INVESTMENTS—161.5%

 

 

 

 

 

 

 

 

 

 

 

 

 

Multi-State—14.0%

 

 

 

 

 

 

A3

 

 

$

4,000

3

 

MuniMae TE Bond Subsidiary LLC, Ser. A, 6.875%, 6/30/49

 

06/09 @ 100

 

$

4,225,920

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Pennsylvania—137.8%

 

 

 

 

 

 

AAA

 

 

 

2,150

4

 

Allegheny Cnty. Port Auth., Trans. Impvts. RB, 6.125%, 3/01/09, MBIA

 

N/A

 

 

2,283,386

 

AAA

 

 

 

1,800

4

 

Allegheny Cnty. San. Auth., Swr. Impvts. RB, 5.375%, 12/01/07, MBIA

 

N/A

 

 

1,863,792

 

BBB+

 

 

 

1,400

 

 

Bucks Cnty. Ind. Dev. Auth., Hlth., Hosp. & Nursing Home RB, Pennswood Vlg. Proj.,
Ser. A, 6.00%, 10/01/34

 

10/12 @ 101

 

 

1,507,534

 

 

 

 

 

 

 

 

Bucks Cnty. Wtr. & Swr. Auth., Swr. RB,

 

 

 

 

 

 

AAA

 

 

 

185

 

 

4.75%, 6/01/23, FSA

 

12/16 @ 100

 

 

193,947

 

AAA

 

 

 

190

 

 

4.75%, 6/01/24, FSA

 

12/16 @ 100

 

 

198,717

 

AAA

 

 

 

1,000

 

 

Catasauqua Area Sch. Dist., Ad Valorem Ppty. Tax GO, 5.00%, 2/15/31, FSA

 

02/16 @ 100

 

 

1,064,770

 

AAA

 

 

 

2,000

 

 

Chester Cnty. Indl. Dev. Auth., Wtr. Util. Impvts. Wtr. RB, Aqua, Inc. Proj., Ser. A, 5.00%, 2/01/40, FGIC

 

02/17 @ 100

 

 

2,081,940

 

AAA

 

 

 

1,250

 

 

City of Philadelphia, Port, Arpt. & Marnia Impvts. RB, Ser. B, 5.40%, 6/15/27, FGIC, AMT

 

06/07 @ 102

 

 

1,281,100

 

AAA

 

 

 

2,500

5

 

Delaware Cnty. Auth., Hlth., Hosp. & Nursing Home Impvts. RB, Mercy Hlth. Corp. Southeastern Pennsylvania Proj., 6.00%, 12/15/26

 

ETM

 

 

2,554,750

 

AAA

 

 

 

1,250

 

 

Delaware Cnty. Indl. Dev. Auth., Wtr. Util. Impvts. Indl. RB, Philadelphia Suburban Wtr. Proj., 6.00%, 6/01/29, FGIC, AMT

 

06/09 @ 101

 

 

1,321,750

 

 

 

 

 

 

 

 

Econ. Dev. Fing. Auth.,

 

 

 

 

 

 

NR6

 

 

 

1,000

 

 

Rec. Recovery Impvts. RB, Colver Proj., Ser. G, 5.125%, 12/01/15, AMT

 

No Opt. Call

 

 

1,007,720

 

A3

 

 

 

1,000

 

 

Trans. Impvts. Lease Renewal RB, Amtrak Proj., Ser. A, 6.25%, 11/01/31, AMT

 

05/11 @ 101

 

 

1,071,140

 

A3

 

 

 

1,000

 

 

Trans. Impvts. Lease Renewal RB, Amtrak Proj., Ser. A, 6.375%, 11/01/41, AMT

 

05/11 @ 101

 

 

1,071,320

 

 

 

 

 

 

 

 

Higher Edl. Facs. Auth., Univ. & Coll. Impvts. RB,

 

 

 

 

 

 

AA-

 

 

 

1,250

 

 

Lafayette Coll. Proj., 6.00%, 5/01/30

 

05/10 @ 100

 

 

1,336,612

 

AA

 

 

 

95

 

 

Philadelphia Univ. Proj., 6.10%, 6/01/30, RAA

 

06/10 @ 100

 

 

101,256

 

AA

 

 

 

1,030

 

 

Univ. of Pennsylvania Proj., Ser. C, 4.75%, 7/15/35

 

07/15 @ 100

 

 

1,055,420

 

AA

 

 

 

2,000

 

 

Univ. of the Arts Proj., Ser. A, 5.00%, 9/15/33, RAA

 

09/16 @ 100

 

 

2,105,180

 

Aaa

 

 

 

1,000

 

 

Univ. Pptys., Inc. Proj., Ser. A, 5.00%, 8/01/35, CIFG

 

08/16 @ 100

 

 

1,055,300

 

A+

 

 

 

560

 

 

Lancaster Cnty. Hosp. Auth., Hlth., Hosp. & Nursing Home RB, Masonic Homes of Grand Lodge Proj., 5.00%, 11/01/36

 

11/16 @ 100

 

 

584,293

 

AAA

 

 

 

1,000

 

 

McKeesport Area Sch. Dist., Ad Valorem Ppty. Tax GO, Ser. A, 5.00%, 10/01/24, FSA

 

10/15 @ 100

 

 

1,069,380

 

 

 

 

 

 

 

 

Montgomery Cnty. Ind. Dev. Auth., Hlth., Hosp. & Nursing Home RB, Acts Retirement-Life Cmntys., Inc. Proj.,

 

 

 

 

 

 

BBB+

 

 

 

1,000

 

 

5.00%, 11/15/22

 

11/16 @ 100

 

 

1,050,050

 

A-

 

 

 

1,250

 

 

5.25%, 11/15/28

 

11/08 @ 101

 

 

1,280,625

 

AA

 

 

 

1,000

 

 

Pennsylvania St. Univ., Univ. & Coll. Impvts. RB, 5.00%, 9/01/35

 

09/15 @ 100

 

 

1,060,570

 

AAA

 

 

 

1,250

 

 

Philadelphia Pkg. Auth., Port, Arpt. & Marina Impvts. RB, 5.625%, 9/01/18, FSA

 

09/09 @ 101

 

 

1,316,400

 

 

 

 

 

 

 

 

Philadelphia Sch. Dist., Sch. Impvts. Ad Valorem Ppty. Tax GO,

 

 

 

 

 

 

AAA

 

 

 

1,800

4

 

Ser. C, 5.50%, 3/01/10, MBIA

 

N/A

 

 

1,898,406

 

AAA

 

 

 

3,050

 

 

Ser. C, 5.75%, 3/01/29, MBIA

 

No Opt. Call

 

 

3,239,374

 

AAA

 

 

 

2,000

 

 

Pittsburgh Urban Redev. Auth., Wtr. Util. Impvts. Wtr. RB, 5.00%, 9/01/33, MBIA

 

09/15 @ 100

 

 

2,118,160

 

AAA

 

 

 

1,000

 

 

Pub. Sch. Bldg. Auth., Lease RB, Sch. Dist. Philadelphia Proj., Ser. B, 5.00%, 6/01/24, FSA

 

12/16 @ 100

 

 

1,072,730

 

AAA

 

 

 

2,250

 

 

Southeastern Transp. Auth., Trans. Impvts. RB, 5.375%, 3/01/17, FGIC

 

03/07 @ 102

 

 

2,300,782

 

AAA

 

 

 

150

 

 

Tpke. Comm., Franchise Tax & Bus. License Fees RB, Ser. B, 5.00%, 12/01/23, AMBAC

 

12/16 @ 100

 

 

161,672

 

AAA

 

 

 

840

 

 

Washington Cnty. Auth., Misc. RB, Cap. Fdg. & Equip. Proj., 6.15%, 12/01/29, AMBAC

 

No Opt. Call

 

 

900,892

 

NR

 

 

 

300

 

 

Washington Cnty. Redev. Auth., Pub. Impvts. SA, Victory Centre Proj., Ser. A, 5.45%, 7/01/35

 

07/17 @ 100

 

 

306,987

 

Aaa

 

 

 

725

 

 

Westmoreland Cnty. Mun. Auth., Wtr. Util. Impvts. Misc. RB, Ser. B, Zero Coupon, 8/15/30, FSA

 

No Opt. Call

 

 

250,770

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

41,766,725

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Puerto Rico—9.7%

 

 

 

 

 

 

BBB-

 

 

 

1,250

 

 

Indl. Tourist Edl. Med. & Env. Ctrl. Facs. Fing. Auth., Univ. & Coll. Impvts. RB, Univ. Sys. Proj., Sys, Proj., 5.00%, 3/01/26

 

03/16 @ 100

 

 

1,309,875

 

Aaa

 

 

 

1,495

4

 

Pub. Fin. Corp., Cash Flow Mgmt. Misc. RB, Ser. E, 5.50%, 2/01/12

 

N/A

 

 

1,623,062

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

2,932,937

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Total Long-Term Investments (cost $46,710,853)

 

 

 

 

48,925,582

 

 

 

 

 

 

 

 

 

 

 

 



 

See Notes to Financial Statements.

47



BlackRock Pennsylvania Strategic Municipal Trust (BPS) (continued)

 

(Percentage of Net Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Rating1
(Unaudited)

 

Principal
Amount
(000)

 

Description

 

Value

 









 

 

 

 

 

 

 

SHORT-TERM INVESTMENT—0.3%

 

 

 

 

 

 

 

 

 

 

 

Pennsylvania—0.3%

 

 

 

 

VMIG1

 

 

$

100

7

 

Higher Edl. Facs. Auth., Univ. & Coll. Impvts. RB, St. Sys. Higher Ed. Proj., Ser. AB, 3.91%, 1/04/07, MBIA, FRWD (cost $100,000)

 

$

100,000

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Total Investments—161.8% (cost $46,810,8538)

 

$

49,025,582

 

 

 

 

 

 

 

 

Liabilities in excess of other assets—(4.0)%

 

 

(1,212,339

)

 

 

 

 

 

 

 

Preferred shares at redemption value, including dividends payable—(57.8)%

 

 

(17,507,576

)

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

Net Assets Applicable to Common Shareholders—100%

 

$

30,305,667

 

 

 

 

 

 

 

 

 

 



 


 

 

 


 

1

Using the highest of S&P’s, Moody’s or Fitch’s ratings.

 

 

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, 2006, the Trust held 14.0% of its net assets, with a current market value of $4,225,920, in securities restricted as to resale.

 

 

4

This bond is prerefunded. 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.

 

 

5

Security is collateralized by Municipal or U.S. Treasury obligations.

 

 

6

Security is deemed to be of investment grade quality by the investment advisor.

 

 

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. Rate shown is rate as of December 31, 2006.

 

 

8

Cost for federal income tax purposes is $46,752,651. The net unrealized appreciation on a tax basis is $2,272,931, consisting of $2,309,658 gross unrealized appreciation and $36,727 gross unrealized depreciation.


 

 

 

 

 

 

KEY TO ABBREVIATIONS

 

AMBAC

American Municipal Bond Assurance Corp.

FSA

Financial Security Assurance

AMT

Subject to Alternative Minimum Tax

GO

General Obligation

CIFG

CIFG Insurance

MBIA

Municipal Bond Insurance Assoc.

ETM

Escrowed to Maturity

RAA

Radian Asset Assurance

FGIC

Financial Guaranty Insurance Co.

RB

Revenue Bond

FRWD

Floating Rate Weekly Demand

SA

Special Assessment

See Notes to Financial Statements.

48


 

STATEMENTS OF ASSETS AND LIABILITIES

December 31, 2006



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Insured
Municipal 2008
Term Trust
(BRM)

 

Insured
Municipal
Term Trust
(BMT)

 

Municipal 2018
Term Trust
(BPK)

 

Municipal 2020
Term Trust
(BKK)

 

Strategic
Municipal
Trust
(BSD)

 

 

 


 


 


 


 


 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investments at value1

 

$

497,229,293

 

$

433,039,553

 

$

387,879,878

 

$

492,278,232

 

$

174,686,458

 

Investments in affiliates

 

 

171,329

 

 

123,677

 

 

49,080

 

 

34,155

 

 

34,237

 

Cash

 

 

34,876

 

 

 

 

 

 

530,150

 

 

513,579

 

Receivable from investments sold

 

 

 

 

835,626

 

 

135,000

 

 

165,000

 

 

 

Unrealized appreciation on forward starting swaps

 

 

 

 

 

 

216,078

 

 

267,164

 

 

110,250

 

Interest receivable

 

 

5,708,396

 

 

3,924,695

 

 

4,809,553

 

 

5,744,027

 

 

2,369,567

 

Other assets

 

 

24,080

 

 

14,238

 

 

21,784

 

 

23,277

 

 

16,835

 

 

 



 



 



 



 



 

 

 

 

503,167,974

 

 

437,937,789

 

 

393,111,373

 

 

499,042,005

 

 

177,730,926

 

 

 



 



 



 



 



 

Liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Payable to custodian

 

 

 

 

 

 

662,859

 

 

 

 

 

Payable for investments purchased

 

 

 

 

 

 

 

 

 

 

1,000,910

 

Unrealized depreciation on forward starting swaps

 

 

 

 

 

 

299,138

 

 

391,729

 

 

128,202

 

Collateral received from broker

 

 

 

 

 

 

 

 

93,000

 

 

 

Dividends payable — common shares

 

 

1,802,470

 

 

787,363

 

 

 

 

1,340,677

 

 

665,794

 

Investment advisory fee payable

 

 

148,997

 

 

130,026

 

 

133,428

 

 

211,531

 

 

67,339

 

Administration fee payable

 

 

42,572

 

 

37,159

 

 

 

 

 

 

 

Deferred Trustees’ fees

 

 

171,329

 

 

123,677

 

 

49,080

 

 

34,155

 

 

34,237

 

Payable to affiliates

 

 

57,574

 

 

37,182

 

 

24,035

 

 

19,475

 

 

12,180

 

Other accrued expenses

 

 

254,411

 

 

177,710

 

 

173,911

 

 

121,789

 

 

99,634

 

 

 



 



 



 



 



 

 

 

 

2,477,353

 

 

1,293,117

 

 

1,342,451

 

 

2,212,356

 

 

2,008,296

 

 

 



 



 



 



 



 

Preferred Shares at Redemption Value

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$25,000 liquidation value per share, including dividends payable2

 

 

81,059,180

 

 

170,536,157

 

 

137,651,935

 

 

177,698,293

 

 

62,025,479

 

 

 



 



 



 



 



 

Net Assets Applicable to Common Shareholders

 

$

419,631,441

 

$

266,108,515

 

$

254,116,987

 

$

319,131,356

 

$

113,697,151

 

 

 



 



 



 



 



 

Composition of Net Assets Applicable to Common Shareholders:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Par value3

 

$

272,071

 

$

258,856

 

$

15,908

 

$

20,237

 

$

7,268

 

Paid-in capital in excess of par

 

 

377,589,494

 

 

239,251,319

 

 

225,641,716

 

 

287,166,281

 

 

103,017,675

 

Undistributed net investment income

 

 

34,353,330

 

 

15,760,187

 

 

17,188,985

 

 

1,749,671

 

 

2,733,361

 

Accumulated net realized loss

 

 

(1,545,193

)

 

(8,977

)

 

(15,107,105

)

 

(2,724,785

)

 

(3,660,925

)

Net unrealized appreciation

 

 

8,961,739

 

 

10,847,130

 

 

26,377,483

 

 

32,919,952

 

 

11,599,772

 

 

 



 



 



 



 



 

Net assets applicable to common shareholders, December 31, 2006

 

$

419,631,441

 

$

266,108,515

 

$

254,116,987

 

$

319,131,356

 

$

113,697,151

 

 

 



 



 



 



 



 

Net asset value per common share4

 

$

15.42

 

$

10.28

 

$

15.97

 

$

15.77

 

$

15.64

 

 

 



 



 



 



 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1 Investments at cost

 

$

488,267,554

 

$

422,192,423

 

$

361,419,335

 

$

459,233,715

 

$

163,068,734

 

2 Preferred shares outstanding

 

 

3,240

 

 

6,816

 

 

5,504

 

 

7,104

 

 

2,480

 

3 Par value per share

 

 

0.01

 

 

0.01

 

 

0.001

 

 

0.001

 

 

0.001

 

4 Common shares outstanding

 

 

27,207,093

 

 

25,885,639

 

 

15,908,028

 

 

20,236,628

 

 

7,267,841

 

See Notes to Financial Statements.

49


 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

California
Insured
Municipal 2008
Term Trust
(BFC)

 

California
Municipal 2018
Term Trust
(BJZ)

 

Florida Insured
Municipal 2008
Term Trust
(BRF)

 

Florida
Municipal 2020
Term Trust
(BFO)

 

New York
Insured
Municipal 2008
Term Trust
(BLN)

 

 

New York
Municipal 2018
Term Trust
(BLH)

 

 

Pennsylvania
Strategic
Municipal
Trust
(BPS)

 

 

 


 


 


 


 


 

 


 

 


 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investments at value1

 

$

158,652,482

 

$

151,980,400

 

$

126,859,514

 

$

131,801,248

 

$

171,024,106

 

$

89,606,598

 

$

49,025,582

 

Investments in affiliates

 

 

58,629

 

 

14,252

 

 

46,697

 

 

7,486

 

 

69,334

 

 

12,711

 

 

19,668

 

Cash

 

 

538,114

 

 

517,941

 

 

514,679

 

 

524,556

 

 

23,262

 

 

 

 

543,451

 

Receivable from investments sold

 

 

 

 

 

 

500,000

 

 

 

 

182,233

 

 

 

 

 

Unrealized appreciation on forward starting swaps

 

 

 

 

23,906

 

 

 

 

74,175

 

 

 

 

13,661

 

 

10,921

 

Interest receivable

 

 

2,047,814

 

 

1,860,846

 

 

1,730,816

 

 

1,367,506

 

 

2,528,546

 

 

1,271,112

 

 

584,206

 

Other assets

 

 

21,523

 

 

7,648

 

 

6,307

 

 

6,268

 

 

8,465

 

 

4,717

 

 

10,767

 

 

 



 



 



 



 



 



 



 

 

 

 

161,318,562

 

 

154,404,993

 

 

129,658,013

 

 

133,781,239

 

 

173,835,946

 

 

90,908,799

 

 

50,194,595

 

 

 



 



 



 



 



 



 



 

Liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Payable to custodian

 

 

 

 

 

 

 

 

 

 

 

 

2,106

 

 

 

Payable for investments purchased

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2,091,540

 

Unrealized depreciation on forward starting swaps

 

 

 

 

106,835

 

 

 

 

99,713

 

 

 

 

60,540

 

 

35,612

 

Collateral received from broker

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Dividends payable — common shares

 

 

669,956

 

 

394,023

 

 

326,516

 

 

283,669

 

 

 

 

 

 

152,450

 

Investment advisory fee payable

 

 

46,987

 

 

52,356

 

 

38,397

 

 

56,678

 

 

51,625

 

 

30,882

 

 

18,020

 

Administration fee payable

 

 

14,387

 

 

 

 

10,972

 

 

 

 

14,752

 

 

 

 

 

Deferred Trustees’ fees

 

 

58,629

 

 

14,252

 

 

46,697

 

 

7,486

 

 

69,334

 

 

12,711

 

 

19,668

 

Payable to affiliates

 

 

18,618

 

 

9,335

 

 

15,903

 

 

9,227

 

 

25,376

 

 

4,266

 

 

3,441

 

Other accrued expenses

 

 

143,268

 

 

104,625

 

 

109,386

 

 

94,161

 

 

121,636

 

 

68,486

 

 

60,621

 

 

 



 



 



 



 



 



 



 

 

 

 

951,845

 

 

681,426

 

 

547,871

 

 

550,934

 

 

282,723

 

 

178,991

 

 

2,381,352

 

 

 



 



 



 



 



 



 



 

Preferred Shares at Redemption Value

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$25,000 liquidation value per share, including dividends payable2

 

 

 

 

55,558,772

 

 

 

 

48,930,145

 

 

 

 

31,416,778

 

 

17,507,576

 

 

 



 



 



 



 



 



 



 

Net Assets Applicable to Common Shareholders

 

$

160,366,717

 

$

98,164,795

 

$

129,110,142

 

$

84,300,160

 

$

173,553,223

 

$

59,313,030

 

$

30,305,667

 

 

 



 



 



 



 



 



 



 

Composition of Net Assets Applicable to Common Shareholders:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Par value3

 

$

104,071

 

$

6,433

 

$

87,071

 

$

5,562

 

$

112,571

 

$

3,633

 

$

2,019

 

Paid-in capital in excess of par

 

 

144,174,166

 

 

91,213,865

 

 

120,583,337

 

 

78,885,738

 

 

155,947,555

 

 

51,482,732

 

 

28,424,584

 

Undistributed net investment income

 

 

12,690,032

 

 

4,534,926

 

 

7,259,061

 

 

50,521

 

 

13,301,763

 

 

3,509,674

 

 

471,511

 

Accumulated net realized loss

 

 

(724,206

)

 

(3,571,061

)

 

(218,214

)

 

(1,260,071

)

 

(214,684

)

 

(1,525,371

)

 

(782,485

)

Net unrealized appreciation

 

 

4,122,654

 

 

5,980,632

 

 

1,398,887

 

 

6,618,410

 

 

4,406,018

 

 

5,842,362

 

 

2,190,038

 

 

 



 



 



 



 



 



 



 

Net assets applicable to common shareholders, December 31, 2006

 

$

160,366,717

 

$

98,164,795

 

$

129,110,142

 

$

84,300,160

 

$

173,553,223

 

$

59,313,030

 

$

30,305,667

 

 

 



 



 



 



 



 



 



 

Net asset value per common share4

 

$

15.41

 

$

15.26

 

$

14.83

 

$

15.16

 

$

15.42

 

$

16.33

 

$

15.01

 

 

 



 



 



 



 



 



 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1 Investments at cost

 

$

154,529,828

 

$

145,916,839

 

$

125,460,627

 

$

125,157,300

 

$

166,618,088

 

$

83,717,357

 

$

46,810,853

 

2 Preferred shares outstanding

 

 

 

 

2,221

 

 

 

 

1,956

 

 

 

 

1,256

 

 

700

 

3 Par value per share

 

 

0.01

 

 

0.001

 

 

0.01

 

 

0.001

 

 

0.001

 

 

0.01

 

 

0.001

 

4 Common shares outstanding

 

 

10,407,093

 

 

6,433,028

 

 

8,707,093

 

 

5,562,128

 

 

11,257,093

 

 

3,633,028

 

 

2,019,441

 

50


 

STATEMENTS OF OPERATIONS

For the year ended December 31, 2006



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Insured
Municipal 2008
Term Trust
(BRM)

 

Insured
Municipal
Term Trust
(BMT)

 

Municipal
2018 Term
Trust
(BPK)

 

Municipal
2020 Term
Trust
(BKK)

 

Strategic
Municipal
Trust
(BSD)

 

 

 


 


 


 


 


 

Investment Income

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest income

 

$

27,856,483

 

$

18,586,814

 

$

20,539,523

 

$

25,495,806

 

$

8,992,445

 

Income from affiliates

 

 

7,688

 

 

5,889

 

 

2,958

 

 

2,308

 

 

1,309

 

 

 



 



 



 



 



 

Total investment income

 

 

27,864,171

 

 

18,592,703

 

 

20,542,481

 

 

25,498,114

 

 

8,993,754

 

 

 



 



 



 



 



 

Expenses

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investment advisory

 

 

2,216,800

 

 

1,530,818

 

 

1,555,589

 

 

2,450,726

 

 

1,052,365

 

Administration

 

 

633,372

 

 

437,372

 

 

 

 

 

 

 

Transfer agent

 

 

19,467

 

 

21,985

 

 

14,360

 

 

15,173

 

 

14,533

 

Custodian

 

 

113,858

 

 

88,471

 

 

87,922

 

 

107,027

 

 

73,435

 

Reports to shareholders

 

 

92,395

 

 

62,058

 

 

49,374

 

 

59,106

 

 

31,286

 

Directors/Trustees

 

 

42,135

 

 

27,586

 

 

28,196

 

 

33,344

 

 

15,683

 

Registration

 

 

20,232

 

 

19,990

 

 

19,990

 

 

19,990

 

 

20,019

 

Independent accountants

 

 

42,316

 

 

40,508

 

 

39,116

 

 

39,995

 

 

37,123

 

Legal

 

 

85,764

 

 

53,681

 

 

43,971

 

 

54,816

 

 

30,507

 

Insurance

 

 

41,025

 

 

27,105

 

 

24,105

 

 

30,363

 

 

10,943

 

Auction agent

 

 

523,946

 

 

439,678

 

 

357,862

 

 

465,212

 

 

163,251

 

Deferred Trustees’fees

 

 

7,688

 

 

5,889

 

 

2,958

 

 

2,308

 

 

1,309

 

Miscellaneous

 

 

79,962

 

 

77,134

 

 

43,276

 

 

50,080

 

 

25,223

 

 

 



 



 



 



 



 

Total expenses excluding interest expense

 

 

3,918,960

 

 

2,832,275

 

 

2,266,719

 

 

3,328,140

 

 

1,475,677

 

Interest expense

 

 

 

 

 

 

20,843

 

 

24,365

 

 

4,130

 

 

 



 



 



 



 



 

Total expenses

 

 

3,918,960

 

 

2,832,275

 

 

2,287,562

 

 

3,352,505

 

 

1,479,807

 

Less fees waived by Advisor

 

 

 

 

 

 

 

 

 

 

(263,091

)

Less fees paid indirectly

 

 

(51,521

)

 

(22,966

)

 

(18,823

)

 

(16,777

)

 

(38,645

)

 

 



 



 



 



 



 

Net expenses

 

 

3,867,439

 

 

2,809,309

 

 

2,268,739

 

 

3,335,728

 

 

1,178,071

 

 

 



 



 



 



 



 

Net investment income

 

 

23,996,732

 

 

15,783,394

 

 

18,273,742

 

 

22,162,386

 

 

7,815,683

 

 

 



 



 



 



 



 

Realized and Unrealized Gain (Loss)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net realized gain (loss) on:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investments

 

 

(891,629

)

 

63,327

 

 

(1,332,685

)

 

(1,524,223

)

 

(277,506

)

Futures & swaps

 

 

 

 

 

 

1,186,725

 

 

1,484,199

 

 

507,317

 

 

 



 



 



 



 



 

 

 

 

(891,629

)

 

63,327

 

 

(145,960

)

 

(40,024

)

 

229,811

 

 

 



 



 



 



 



 

Net change in unrealized appreciation/depreciation on:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investments

 

 

(7,380,268

)

 

(4,496,464

)

 

4,587,960

 

 

9,219,971

 

 

1,489,022

 

Futures & swaps

 

 

 

 

 

 

526,039

 

 

641,346

 

 

243,097

 

 

 



 



 



 



 



 

 

 

 

(7,380,268

)

 

(4,496,464

)

 

5,113,999

 

 

9,861,317

 

 

1,732,119

 

 

 



 



 



 



 



 

Net gain (loss)

 

 

(8,271,897

)

 

(4,433,137

)

 

4,968,039

 

 

9,821,293

 

 

1,961,930

 

 

 



 



 



 



 



 

Dividends and Distributions to Preferred Shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(6,504,282

)

 

(5,450,944

)

 

(4,602,574

)

 

(5,910,556

)

 

(2,073,507

)

Net realized gains

 

 

(70,381

)

 

(26,320

)

 

 

 

 

 

 

 

 



 



 



 



 



 

Total dividends and distributions

 

 

(6,574,663

)

 

(5,477,264

)

 

(4,602,574

)

 

(5,910,556

)

 

(2,073,507

)

 

 



 



 



 



 



 

Net Increase in Net Assets Applicaple to Common Shareholders Resulting from Operations

 

$

9,150,172

 

$

5,872,993

 

$

18,639,207

 

$

26,073,123

 

$

7,704,106

 

 

 



 



 



 



 



 

See Notes to Financial Statements.

51


 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

California Insured
Municipal 2008
Term Trust
(BFC)

 

California
Municipal 2018
Term Trust
(BJZ)

 

Florida Insured
Municipal 2008
Term Trust
(BRF)

 

Florida
Municipal 2020
Term Trust
(BFO)

 

New York Insured
Municipal 2008
Term Trust
(BLN)

 

 

New York
Municipal 2018
Term Trust
(BLH)

 

 

Pennsylvania
Strategic
Municipal Trust
(BPS)

 

 

 


 


 


 


 


 

 


 

 


 

Investment Income

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest income

 

$

10,675,506

 

$

7,488,335

 

$

7,497,101

 

$

6,422,942

 

$

11,185,041

 

$

4,638,378

 

$

2,429,080

 

Income from affiliates

 

 

2,462

 

 

793

 

 

1,894

 

 

332

 

 

3,758

 

 

578

 

 

598

 

 

 



 



 



 



 



 



 



 

Total investment income

 

 

10,677,968

 

 

7,489,128

 

 

7,498,995

 

 

6,423,274

 

 

11,188,799

 

 

4,638,956

 

 

2,429,678

 

 

 



 



 



 



 



 



 



 

Expenses

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investment advisory

 

 

872,734

 

 

613,225

 

 

662,012

 

 

660,911

 

 

881,800

 

 

361,263

 

 

288,190

 

Administration

 

 

249,354

 

 

 

 

189,146

 

 

 

 

251,942

 

 

 

 

 

Transfer agent

 

 

16,103

 

 

14,287

 

 

16,456

 

 

14,736

 

 

16,930

 

 

14,280

 

 

14,373

 

Custodian

 

 

154,258

 

 

38,372

 

 

116,778

 

 

45,703

 

 

122,079

 

 

40,711

 

 

22,692

 

Reports to shareholders

 

 

33,640

 

 

20,237

 

 

28,706

 

 

20,304

 

 

37,004

 

 

14,937

 

 

12,076

 

Directors/Trustees

 

 

20,696

 

 

14,666

 

 

18,256

 

 

14,263

 

 

21,442

 

 

13,447

 

 

12,666

 

Registration

 

 

19,990

 

 

19,990

 

 

19,990

 

 

19,990

 

 

19,990

 

 

19,990

 

 

1,204

 

Independent accountants

 

 

37,733

 

 

37,517

 

 

36,981

 

 

37,210

 

 

37,878

 

 

37,016

 

 

26,749

 

Legal

 

 

41,216

 

 

21,061

 

 

31,120

 

 

20,571

 

 

41,574

 

 

10,855

 

 

9,935

 

Insurance

 

 

15,435

 

 

9,513

 

 

12,299

 

 

8,195

 

 

16,389

 

 

5,606

 

 

2,986

 

Auction agent

 

 

232,027

 

 

145,971

 

 

156,517

 

 

130,053

 

 

196,545

 

 

85,585

 

 

51,875

 

Deferred Trustees’fees

 

 

2,462

 

 

793

 

 

1,894

 

 

332

 

 

3,758

 

 

578

 

 

598

 

Miscellaneous

 

 

42,100

 

 

30,901

 

 

35,842

 

 

30,295

 

 

43,379

 

 

25,112

 

 

19,100

 

 

 



 



 



 



 



 



 



 

Total expenses excluding interest expense

 

 

1,737,748

 

 

966,533

 

 

1,325,997

 

 

1,002,563

 

 

1,690,710

 

 

629,380

 

 

462,444

 

Interest expense

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 



 



 



 



 



 



 



 

Total expenses

 

 

1,737,748

 

 

966,533

 

 

1,325,997

 

 

1,002,563

 

 

1,690,710

 

 

629,380

 

 

462,444

 

Less fees waived by Advisor

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(72,047

)

Less fees paid indirectly

 

 

(128,252

)

 

(21,981

)

 

(90,824

)

 

(23,003

)

 

(97,037

)

 

(19,333

)

 

(16,292

)

 

 



 



 



 



 



 



 



 

Net expenses

 

 

1,609,496

 

 

944,552

 

 

1,235,173

 

 

979,560

 

 

1,593,673

 

 

610,047

 

 

374,105

 

 

 



 



 



 



 



 



 



 

Net investment income

 

 

9,068,472

 

 

6,544,576

 

 

6,263,822

 

 

5,443,714

 

 

9,595,126

 

 

4,028,909

 

 

2,055,573

 

 

 



 



 



 



 



 



 



 

Realized and Unrealized Gain (Loss)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net realized gain (loss) on:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investments

 

 

(731,806

)

 

(543,913

)

 

(221,614

)

 

(567,183

)

 

(214,828

)

 

(316,982

)

 

7,113

 

Futures & swaps

 

 

 

 

428,943

 

 

 

 

400,304

 

 

 

 

240,040

 

 

113,050

 

 

 



 



 



 



 



 



 



 

 

 

 

(731,806

)

 

(114,970

)

 

(221,614

)

 

(166,879

)

 

(214,828

)

 

(76,942

)

 

120,163

 

 

 



 



 



 



 



 



 



 

Net change in unrealized appreciation/depreciation on:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investments

 

 

(2,407,786

)

 

193,591

 

 

(1,678,294

)

 

1,290,069

 

 

(3,524,930

)

 

356,918

 

 

(354,031

)

Futures & swaps

 

 

 

 

136,887

 

 

 

 

180,396

 

 

 

 

78,058

 

 

33,293

 

 

 



 



 



 



 



 



 



 

 

 

 

(2,407,786

)

 

330,478

 

 

(1,678,294

)

 

1,470,465

 

 

(3,524,930

)

 

434,976

 

 

(320,738

)

 

 



 



 



 



 



 



 



 

Net gain (loss)

 

 

(3,139,592

)

 

215,508

 

 

(1,899,908

)

 

1,303,586

 

 

(3,739,758

)

 

358,034

 

 

(200,575

)

 

 



 



 



 



 



 



 



 

Dividends and Distributions to Preferred Shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(2,619,751

)

 

(1,690,527

)

 

(1,853,768

)

 

(1,635,635

)

 

(2,294,992

)

 

(929,029

)

 

(565,582

)

Net realized gains

 

 

 

 

 

 

(5,257

)

 

 

 

(5,528

)

 

 

 

 

 

 



 



 



 



 



 



 



 

Total dividends and distributions

 

 

(2,619,751

)

 

(1,690,527

)

 

(1,859,025

)

 

(1,635,635

)

 

(2,300,520

)

 

(929,029

)

 

(565,582

)

 

 



 



 



 



 



 



 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Increase in Net Assets Applicaple to Common Shareholders Resulting from Operations

 

$

3,309,129

 

$

5,069,557

 

$

2,504,889

 

$

5,111,665

 

$

3,554,848

 

$

3,457,914

 

$

1,289,416

 

 

 



 



 



 



 



 



 



 

52


 

STATEMENTS OF CHANGES IN NET ASSETS

For the years ended December 31, 2006 and 2005



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Insured
Municipal 2008 Term Trust
(BRM)

 

Insured
Municipal Term Trust
(BMT)

 

 

 


 


 

 

 

2006

 

2005

 

2006

 

2005

 

 

 


 


 


 


 

Increase (Decrease) in Net Assets Applicable to Common Shareholders

 

 

 

 

 

 

 

 

 

 

 

 

 

Operations:

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

$

23,996,732

 

$

24,641,861

 

$

15,783,394

 

$

15,273,997

 

Net realized gain (loss)

 

 

(891,629

)

 

(2,400

)

 

63,327

 

 

226,726

 

Net change in unrealized appreciation/depreciation

 

 

(7,380,268

)

 

(20,407,431

)

 

(4,496,464

)

 

(10,475,635

)

Dividends and distributions to preferred shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(6,504,282

)

 

(5,856,777

)

 

(5,450,944

)

 

(3,769,757

)

Net realized gains

 

 

(70,381

)

 

 

 

(26,320

)

 

(94,031

)

 

 



 



 



 



 

Net increase (decrease) in net assets applicable to common shareholders resulting from operations

 

 

9,150,172

 

 

(1,624,747

)

 

5,872,993

 

 

1,161,300

 

 

 



 



 



 



 

Dividends and Distributions to Common Shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(21,629,643

)

 

(21,629,646

)

 

(11,713,359

)

 

(14,884,351

)

Net realized gains

 

 

(294,925

)

 

 

 

(65,750

)

 

(391,780

)

 

 



 



 



 



 

Total dividends and distributions

 

 

(21,924,568

)

 

(21,629,646

)

 

(11,779,109

)

 

(15,276,131

)

 

 



 



 



 



 

Capital Share Transactions:

 

 

 

 

 

 

 

 

 

 

 

 

 

Reinvestment of common dividends

 

 

 

 

 

 

 

 

 

 

 



 



 



 



 

Net proceeds from capital share transactions

 

 

 

 

 

 

 

 

 

 

 



 



 



 



 

Total increase (decrease)

 

 

(12,774,396

)

 

(23,254,393

)

 

(5,906,116

)

 

(14,114,831

)

 

 



 



 



 



 

Net Assets Applicable to Common Shareholders

 

 

 

 

 

 

 

 

 

 

 

 

 

Beginning of year

 

 

432,405,837

 

 

455,660,230

 

 

272,014,631

 

 

286,129,462

 

 

 



 



 



 



 

End of year

 

$

419,631,441

 

$

432,405,837

 

$

266,108,515

 

$

272,014,631

 

 

 



 



 



 



 

End of year undistributed net investment income

 

$

34,353,330

 

$

38,497,045

 

$

15,760,187

 

$

17,141,959

 

See Notes to Financial Statements.

53


 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Municipal
2018 Term Trust
(BPK)

 

Municipal
2020 Term Trust
(BKK)

 

Strategic
Municipal Trust
(BSD)

 

California Insured
Municipal 2008 Term Trust
(BFC)

 

 

 


 


 


 


 

 

 

2006

 

2005

 

2006

 

2005

 

2006

 

2005

 

2006

 

2005

 

 

 


 


 


 


 


 


 


 


 

Increase (Decrease) in Net Assets Applicable to Common Shareholders

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operations:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

$

18,273,742

 

$

18,971,183

 

$

22,162,386

 

$

22,369,679

 

$

7,815,683

 

$

8,234,349

 

$

9,068,472

 

$

9,410,731

 

Net realized gain (loss)

 

 

(145,960

)

 

(6,238,370

)

 

(40,024

)

 

234,951

 

 

229,811

 

 

2,599,022

 

 

(731,806

)

 

 

Net change in unrealized appreciation/depreciation

 

 

5,113,999

 

 

2,205,469

 

 

9,861,317

 

 

7,670,839

 

 

1,732,119

 

 

(2,090,681

)

 

(2,407,786

)

 

(8,530,659

)

Dividends and distributions to preferred shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(4,602,574

)

 

(3,197,120

)

 

(5,910,556

)

 

(4,116,677

)

 

(2,073,507

)

 

(1,435,533

)

 

(2,619,751

)

 

(2,084,590

)

Net realized gains

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(12,763

)

 

 



 



 



 



 



 



 



 



 

Net increase (decrease) in net assets applicable to common shareholders resulting from operations

 

 

18,639,207

 

 

11,741,162

 

 

26,073,123

 

 

26,158,792

 

 

7,704,106

 

 

7,307,157

 

 

3,309,129

 

 

(1,217,281

)

 

 



 



 



 



 



 



 



 



 

Dividends and Distributions to Common Shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(14,412,673

)

 

(13,410,468

)

 

(16,088,120

)

 

(17,529,979

)

 

(7,982,317

)

 

(7,442,211

)

 

(8,039,481

)

 

(8,039,481

)

Net realized gains

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(54,533

)

 

 



 



 



 



 



 



 



 



 

Total dividends and distributions

 

 

(14,412,673

)

 

(13,410,468

)

 

(16,088,120

)

 

(17,529,979

)

 

(7,982,317

)

 

(7,442,211

)

 

(8,039,481

)

 

(8,094,014

)

 

 



 



 



 



 



 



 



 



 

Capital Share Transactions:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Reinvestment of common dividends

 

 

 

 

 

 

 

 

 

 

291,502

 

 

132,779

 

 

 

 

 

 

 



 



 



 



 



 



 



 



 

Net proceeds from capital share transactions

 

 

 

 

 

 

 

 

 

 

291,502

 

 

132,779

 

 

 

 

 

 

 



 



 



 



 



 



 



 



 

Total increase (decrease)

 

 

4,226,534

 

 

(1,669,306

)

 

9,985,003

 

 

8,628,813

 

 

13,291

 

 

(2,275

)

 

(4,730,352

)

 

(9,311,295

)

 

 



 



 



 



 



 



 



 



 

Net Assets Applicable to Common Shareholders

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Beginning of year

 

 

249,890,453

 

 

251,559,759

 

 

309,146,353

 

 

300,517,540

 

 

113,683,860

 

 

113,686,135

 

 

165,097,069

 

 

174,408,364

 

 

 



 



 



 



 



 



 



 



 

End of year

 

$

254,116,987

 

$

249,890,453

 

$

319,131,356

 

$

309,146,353

 

$

113,697,151

 

$

113,683,860

 

$

160,366,717

 

$

165,097,069

 

 

 



 



 



 



 



 



 



 



 

End of year undistributed net investment income

 

$

17,188,985

 

$

17,930,493

 

$

1,749,671

 

$

1,594,255

 

$

2,733,361

 

$

4,973,558

 

$

12,690,032

 

$

14,288,392

 

54


 

STATEMENTS OF CHANGES IN NET ASSETS (continued)
For the years ended December 31, 2006 and 2005



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

California
Municipal 2018 Term Trust
(BJZ)

 

Florida Insured
Municipal 2008 Term Trust
(BRF
)

 

 

 


 


 

 

 

2006

 

2005

 

2006

 

2005

 

 

 


 


 


 


 

Increase (Decrease) in Net Assets Applicable to Common Shareholders

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operations:

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

$

6,544,576

 

$

6,249,720

 

$

6,263,822

 

$

6,809,157

 

Net realized gain (loss)

 

 

(114,970

)

 

(196,292

)

 

(221,614

)

 

88,503

 

Net change in unrealized appreciation/depreciation

 

 

330,478

 

 

51,197

 

 

(1,678,294

)

 

(5,953,913

)

Dividends and distributions to preferred shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(1,690,527

)

 

(1,142,679

)

 

(1,853,768

)

 

(1,908,083

)

Net realized gains

 

 

 

 

 

 

(5,257

)

 

(16,356

)

 

 



 



 



 



 

Net increase (decrease) in net assets applicable to common shareholders resulting from operations

 

 

5,069,557

 

 

4,961,946

 

 

2,504,889

 

 

(980,692

)

 

 



 



 



 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Dividends and Distributions to Common Shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(4,728,276

)

 

(4,728,276

)

 

(4,353,542

)

 

(6,530,321

)

Net realized gains

 

 

 

 

 

 

(14,720

)

 

(57,876

)

 

 



 



 



 



 

Total dividends and distributions

 

 

(4,728,276

)

 

(4,728,276

)

 

(4,368,262

)

 

(6,588,197

)

 

 



 



 



 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Capital Share Transactions:

 

 

 

 

 

 

 

 

 

 

 

 

 

Reinvestment of common dividends

 

 

 

 

 

 

 

 

 

 

 



 



 



 



 

Net proceeds from capital share transactions

 

 

 

 

 

 

 

 

 

 

 



 



 



 



 

Total increase (decrease)

 

 

341,281

 

 

233,670

 

 

(1,863,373

)

 

(7,568,889

)

 

 



 



 



 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Assets Applicable to Common Shareholders

 

 

 

 

 

 

 

 

 

 

 

 

 

Beginning of year

 

 

97,823,514

 

 

97,589,844

 

 

130,973,515

 

 

138,542,404

 

 

 



 



 



 



 

End of year

 

$

98,164,795

 

$

97,823,514

 

$

129,110,142

 

$

130,973,515

 

 

 



 



 



 



 

End of period undistributed (distribution in excess of) net investment income

 

$

4,534,926

 

$

4,409,153

 

$

7,259,061

 

$

7,205,925

 

See Notes to Financial Statements.

55


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Florida Municipal
2020 Term Trust
(BFO)

 

New York Insured
Municipal 2008 Term Trust
(BLN)

 

New York
Municipal 2018 Term Trust
(BLH)

 

Pennsylvania
Strategic Municipal Trust
(BPS
)

 

 

 


 


 


 


 

 

 

2006

 

2005

 

2006

 

2005

 

2006

 

2005

 

2006

 

2005

 

 

 


 


 


 


 


 


 


 


 

Increase (Decrease) in Net Assets Applicable to Common Shareholders

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operations:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

$

5,443,714

 

$

5,436,626

 

$

9,595,126

 

$

10,168,052

 

$

4,028,909

 

$

3,930,167

 

$

2,055,573

 

$

1,964,401

 

Net realized gain (loss)

 

 

(166,879

)

 

56,090

 

 

(214,828

)

 

27,602

 

 

(76,942

)

 

171,272

 

 

120,163

 

 

196,363

 

Net change in unrealized appreciation/
depreciation

 

 

1,470,465

 

 

1,629,993

 

 

(3,524,930

)

 

(8,711,114

)

 

434,976

 

 

410,410

 

 

(320,738

)

 

(1,047,091

)

Dividends and distributions to preferred shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(1,635,635

)

 

(1,090,002

)

 

(2,294,992

)

 

(2,262,552

)

 

(929,029

)

 

(619,624

)

 

(565,582

)

 

(380,143

)

Net realized gains

 

 

 

 

(35,017

)

 

(5,528

)

 

(14,078

)

 

 

 

 

 

 

 

 

 

 



 



 



 



 



 



 



 



 

Net increase (decrease) in net assets applicable to common shareholders resulting from operations

 

 

5,111,665

 

 

5,997,690

 

 

3,554,848

 

 

(792,090

)

 

3,457,914

 

 

3,892,225

 

 

1,289,416

 

 

733,530

 

 

 



 



 



 



 



 



 



 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Dividends and Distributions to Common Shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(3,686,996

)

 

(4,192,475

)

 

(7,111,107

)

 

(8,442,822

)

 

(2,670,276

)

 

(2,670,276

)

 

(1,828,436

)

 

(1,807,728

)

Net realized gains

 

 

 

 

(320,969

)

 

(22,064

)

 

(57,749

)

 

 

 

 

 

 

 

 

 

 



 



 



 



 



 



 



 



 

Total dividends and distributions

 

 

(3,686,996

)

 

(4,513,444

)

 

(7,133,171

)

 

(8,500,571

)

 

(2,670,276

)

 

(2,670,276

)

 

(1,828,436

)

 

(1,807,728

)

 

 



 



 



 



 



 



 



 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Capital Share Transactions:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Reinvestment of common dividends

 

 

 

 

 

 

 

 

 

 

 

 

 

 

44,141

 

 

17,613

 

 

 



 



 



 



 



 



 



 



 

Net proceeds from capital share transactions

 

 

 

 

 

 

 

 

 

 

 

 

 

 

44,141

 

 

17,613

 

 

 



 



 



 



 



 



 



 



 

Total increase (decrease)

 

 

1,424,669

 

 

1,484,246

 

 

(3,578,323

)

 

(9,292,661

)

 

787,638

 

 

1,221,949

 

 

(494,879

)

 

(1,056,585

)

 

 



 



 



 



 



 



 



 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Assets Applicable to Common Shareholders

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Beginning of year

 

 

82,875,491

 

 

81,391,245

 

 

177,131,546

 

 

186,424,207

 

 

58,525,392

 

 

57,303,443

 

 

30,800,546

 

 

31,857,131

 

 

 



 



 



 



 



 



 



 



 

End of year

 

$

84,300,160

 

$

82,875,491

 

$

173,553,223

 

$

177,131,546

 

$

59,313,030

 

$

58,525,392

 

$

30,305,667

 

$

30,800,546

 

 

 



 



 



 



 



 



 



 



 

End of period undistributed (distribution in excess of) net investment income

 

$

50,521

 

$

(70,554

)

$

13,301,763

 

$

13,112,870

 

$

3,509,674

 

$

3,080,070

 

$

471,511

 

$

810,116

 

56


 

FINANCIAL HIGHLIGHTS

BlackRock Insured Municipal 2008 Term Trust (BRM)

 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Year Ended December 31,

 

 

 


 

 

 

2006

 

2005

 

2004

 

2003

 

2002

 

 

 


 


 


 


 


 

PER COMMON SHARE OPERATING PERFORMANCE:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net asset value, beginning of year

 

$

15.89

 

$

16.75

 

$

17.38

 

$

17.62

 

$

16.80

 

 

 



 



 



 



 



 

Investment operations:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

0.88

 

 

0.91

 

 

0.97

 

 

1.07

 

 

1.26

 

Net realized and unrealized gain (loss)

 

 

(0.30

)

 

(0.75

)

 

(0.55

)

 

(0.07

)

 

0.53

 

Dividends and distributions to preferred shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(0.24

)

 

(0.22

)

 

(0.10

)

 

(0.08

)

 

(0.13

)

Net realized gains

 

 

1

 

 

 

(0.01

)

 

(0.01

)

 

(0.01

)

 

 



 



 



 



 



 

Net increase (decrease) from investment operations

 

 

0.34

 

 

(0.06

)

 

0.31

 

 

0.91

 

 

1.65

 

 

 



 



 



 



 



 

Dividends and distributions to common shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(0.80

)

 

(0.80

)

 

(0.88

)

 

(1.02

)

 

(0.79

)

Net realized gains

 

 

(0.01

)

 

 

 

(0.06

)

 

(0.13

)

 

(0.04

)

 

 



 



 



 



 



 

Total dividends and distributions

 

 

(0.81

)

 

(0.80

)

 

(0.94

)

 

(1.15

)

 

(0.83

)

 

 



 



 



 



 



 

Net asset value, end of year

 

$

15.42

 

$

15.89

 

$

16.75

 

$

17.38

 

$

17.62

 

 

 



 



 



 



 



 

Market price, end of year

 

$

15.53

 

$

15.30

 

$

16.31

 

$

17.27

 

$

16.58

 

 

 



 



 



 



 



 

TOTAL INVESTMENT RETURN2

 

 

6.91

 

(1.41

)% 

 

(0.09

)% 

 

11.29

 

11.15

%

 

 



 



 



 



 



 

RATIOS TO AVERAGE NET ASSETS OF COMMON SHAREHOLDERS:3

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Expenses after fees waived and paid indirectly

 

 

0.91

%

 

1.03

%

 

0.99

%

 

0.98

%

 

0.98

%

Expenses after fees waived and before fees paid indirectly

 

 

0.92

%

 

1.03

%

 

1.00

%

 

0.98

%

 

0.98

%

Expenses before fees waived and paid indirectly

 

 

0.92

%

 

1.03

%

 

1.00

%

 

0.98

%

 

0.98

%

Net investment income after fees waived and paid indirectly and before preferred share dividends

 

 

5.66

%

 

5.58

%

 

5.66

%

 

6.03

%

 

7.34

%

Preferred share dividends

 

 

1.53

%

 

1.33

%

 

0.57

%

 

0.47

%

 

0.73

%

Net investment income available to common shareholders

 

 

4.13

%

 

4.25

%

 

5.09

%

 

5.56

%

 

6.61

%

SUPPLEMENTAL DATA:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average net assets of common shareholders (000)

 

$

423,862

 

$

441,822

 

$

464,135

 

$

480,887

 

$

468,417

 

Portfolio turnover

 

 

 

 

3

%

 

4

%

 

18

%

 

23

%

Net assets of common shareholders, end of year (000)

 

$

419,631

 

$

432,406

 

$

455,660

 

$

472,785

 

$

479,390

 

Preferred shares value outstanding, end of year (000)

 

$

81,000

 

$

271,000

 

$

271,000

 

$

271,000

 

$

271,000

 

Asset coverage per preferred share, end of year

 

$

154,534

 

$

64,902

 

$

67,041

 

$

68,622

 

$

69,235

 


 

 


1

Amounted to less than $0.01 per common share outstanding.

 

 

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 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. 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 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.

57



 

FINANCIAL HIGHLIGHTS

BlackRock Insured Municipal Term Trust (BMT)

 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Year Ended December 31,

 

 

 


 

 

 

2006

 

2005

 

2004

 

2003

 

2002

 

 

 


 


 


 


 


 

PER COMMON SHARE OPERATING PERFORMANCE:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net asset value, beginning of year

 

$

10.51

 

$

11.05

 

$

11.40

 

$

11.29

 

$

10.85

 

 

 



 



 



 



 



 

Investment operations:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

0.61

 

 

0.59

 

 

0.67

 

 

0.73

 

 

0.81

 

Net realized and unrealized gain (loss)

 

 

(0.18

)

 

(0.38

)

 

(0.34

)

 

0.10

 

 

0.41

 

Dividends and distributions to preferred shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(0.21

)

 

(0.15

)

 

(0.07

)

 

(0.06

)

 

(0.08

)

Net realized gains

 

 

1

 

1

 

1

 

1

 

(0.02

)

 

 



 



 



 



 



 

Net increase from investment operations

 

 

0.22

 

 

0.06

 

 

0.26

 

 

0.77

 

 

1.12

 

 

 



 



 



 



 



 

Dividends and distributions to common shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(0.45

)

 

(0.58

)

 

(0.58

)

 

(0.64

)

 

(0.58

)

Net realized gains

 

 

1

 

(0.02

)

 

(0.03

)

 

(0.02

)

 

(0.10

)

 

 



 



 



 



 



 

Total dividends and distributions

 

 

(0.45

)

 

(0.60

)

 

(0.61

)

 

(0.66

)

 

(0.68

)

 

 



 



 



 



 



 

Net asset value, end of year

 

$

10.28

 

$

10.51

 

$

11.05

 

$

11.40

 

$

11.29

 

 

 



 



 



 



 



 

Market price, end of year

 

$

9.77

 

$

10.36

 

$

11.30

 

$

11.06

 

$

10.94

 

 

 



 



 



 



 



 

TOTAL INVESTMENT RETURN2

 

 

(1.40

)% 

 

(3.26

)% 

 

7.92

 

7.28

 

9.51

%

 

 



 



 



 



 



 

RATIOS TO AVERAGE NET ASSETS OF COMMON SHAREHOLDERS:3

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Expenses after fees waived and paid indirectly

 

 

1.05

%

 

1.04

%

 

1.02

%

 

1.02

%

 

1.05

%

Expenses after fees waived and before fees paid indirectly

 

 

1.06

%

 

1.05

%

 

1.02

%

 

1.02

%

 

1.06

%

Expenses before fees waived and paid indirectly

 

 

1.06

%

 

1.05

%

 

1.02

%

 

1.02

%

 

1.06

%

Net investment income after fees waived and paid indirectly and before preferred share dividends

 

 

5.91

%

 

5.48

%

 

6.04

%

 

6.36

%

 

7.32

%

Preferred share dividends

 

 

2.04

%

 

1.35

%

 

0.66

%

 

0.50

%

 

0.70

%

Net investment income available to common shareholders

 

 

3.87

%

 

4.13

%

 

5.38

%

 

5.86

%

 

6.62

%

SUPPLEMENTAL DATA:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average net assets of common shareholders (000)

 

$

266,976

 

$

278,492

 

$

289,091

 

$

293,334

 

$

287,692

 

Portfolio turnover

 

 

1

%

 

 

 

1

%  

 

11

%  

 

36

%

Net assets of common shareholders, end of year (000)

 

$

266,109

 

$

272,015

 

$

286,129

 

$

295,028

 

$

292,371

 

Preferred shares value outstanding, end of year (000)

 

$

170,400

 

$

170,400

 

$

170,400

 

$

170,400

 

$

170,400

 

Asset coverage per preferred share, end of year

 

$

64,062

 

$

64,924

 

$

66,987

 

$

68,288

 

$

67,895

 


 

 


1

Amounted to less than $0.01 per common share outstanding.

 

 

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 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. 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 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.

58



 

FINANCIAL HIGHLIGHTS

BlackRock Municipal 2018 Term Trust (BPK)

 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Year Ended December 31,

 

 

 


 

 

 

2006

 

2005

 

2004

 

2003

 

2002

 

 

 


 


 


 


 


 

PER COMMON SHARE OPERATING PERFORMANCE:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net asset value, beginning of year

 

$

15.71

 

$

15.81

 

$

15.53

 

$

14.66

 

$

13.66

 

 

 



 



 



 



 



 

Investment operations:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

1.15

 

 

1.19

 

 

1.21

 

 

1.21

 

 

1.17

 

Net realized and unrealized gain (loss)

 

 

0.31

 

 

(0.25

)

 

(0.05

)

 

0.52

 

 

0.73

 

Dividends to preferred shareholders from net investment income

 

 

(0.29

)

 

(0.20

)

 

(0.10

)

 

(0.08

)

 

(0.12

)

 

 



 



 



 



 



 

Net increase from investment operations

 

 

1.17

 

 

0.74

 

 

1.06

 

 

1.65

 

 

1.78

 

 

 



 



 



 



 



 

Dividends to common shareholders from net investment income

 

 

(0.91

)

 

(0.84

)

 

(0.78

)

 

(0.78

)

 

(0.78

)

 

 



 



 



 



 



 

Net asset value, end of year

 

$

15.97

 

$

15.71

 

$

15.81

 

$

15.53

 

$

14.66

 

 

 



 



 



 



 



 

Market price, end of year

 

$

17.01

 

$

15.71

 

$

15.16

 

$

14.36

 

$

13.43

 

 

 



 



 



 



 



 

TOTAL INVESTMENT RETURN1

 

 

14.46

 

9.35

 

11.27

 

12.92

 

8.84

%

 

 



 



 



 



 



 

RATIOS TO AVERAGE NET ASSETS OF COMMON SHAREHOLDERS:2

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Expenses after fees waived and paid indirectly

 

 

0.90

%

 

0.91

%

 

0.91

%

 

0.93

%

 

0.92

%

Expenses after fees waived and before fees paid indirectly

 

 

0.91

%

 

0.91

%

 

0.91

%

 

0.94

%

 

0.94

%

Expenses before fees waived and paid indirectly

 

 

0.91

%

 

0.91

%

 

0.91

%

 

0.94

%

 

0.94

%

Net investment income after fees waived and paid indirectly and before preferred share dividends

 

 

7.27

%

 

7.53

%

 

7.83

%

 

8.21

%

 

8.14

%

Preferred share dividends

 

 

1.83

%

 

1.27

%

 

0.64

%

 

0.57

%

 

0.84

%

Net investment income available to common shareholders

 

 

5.44

%

 

6.26

%

 

7.19

%

 

7.64

%

 

7.30

%

SUPPLEMENTAL DATA:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average net assets of common shareholders (000)

 

$

251,297

 

$

252,013

 

$

246,602

 

$

235,575

 

$

227,674

 

Portfolio turnover

 

 

7

 

15

 

31

 

15

 

53

%

Net assets of common shareholders, end of year (000)

 

$

254,117

 

$

249,890

 

$

251,560

 

$

247,032

 

$

233,233

 

Preferred shares value outstanding, end of year (000)

 

$

137,600

 

$

137,600

 

$

137,600

 

$

137,600

 

$

137,600

 

Asset coverage per preferred share, end of year

 

$

71,179

 

$

70,407

 

$

70,736

 

$

69,887

 

$

67,381

 


 

 


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 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. 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 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 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.

59



 

FINANCIAL HIGHLIGHTS

BlackRock Municipal 2020 Term Trust (BKK)

 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

For the period
September 30, 20031
through
December 31, 2003

 

 

 

Year Ended December 31,

 

 

 

 


 

 

 

 

2006

 

2005

 

2004

 

 

 

 


 


 


 


 

PER COMMON SHARE OPERATING PERFORMANCE:

 

 

 

 

 

 

 

 

 

 

 

 

 

Net asset value, beginning of period

 

$

15.28

 

$

14.85

 

$

14.51

 

$

14.33

2

 

 



 



 



 



 

Investment operations:

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

1.10

 

 

1.11

 

 

1.10

 

 

0.15

 

Net realized and unrealized gain

 

 

0.48

 

 

0.39

 

 

0.28

 

 

0.25

 

Dividends to preferred shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(0.29

)

 

(0.20

)

 

(0.10

)

 

(0.01

)

 

 



 



 



 



 

Net increase from investment operations

 

 

1.29

 

 

1.30

 

 

1.28

 

 

0.39

 

 

 



 



 



 



 

Dividends to common shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(0.80

)

 

(0.87

)

 

(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

 

$

15.77

 

$

15.28

 

$

14.85

 

$

14.51

 

 

 



 



 



 



 

Market price, end of period

 

$

15.77

 

$

14.00

 

$

15.02

 

$

15.00

 

 

 



 



 



 



 

TOTAL INVESTMENT RETURN3

 

 

18.66

 

(1.28

)% 

 

6.63

 

1.05

%

 

 



 



 



 



 

RATIOS TO AVERAGE NET ASSETS OF COMMON SHAREHOLDERS:4

 

 

 

 

 

 

 

 

 

 

 

 

 

Expenses after fees waived and paid indirectly

 

 

1.07

%

 

1.08

%

 

1.09

%

 

0.85

%5

Expenses after fees waived and before fees paid indirectly

 

 

1.07

%

 

1.09

%

 

1.09

%

 

0.87

%5

Expenses before fees waived and paid indirectly

 

 

1.07

%

 

1.09

%

 

1.09

%

 

0.87

%5

Net investment income after fees waived and paid indirectly and before preferred share dividends

 

 

7.09

%

 

7.27

%

 

7.67

%

 

4.25

%5

Preferred share dividends

 

 

1.89

%

 

1.34

%

 

0.72

%

 

0.30

%5

Net investment income available to common shareholders

 

 

5.20

%

 

5.93

%

 

6.95

%

 

3.95

%5

SUPPLEMENTAL DATA:

 

 

 

 

 

 

 

 

 

 

 

 

 

Average net assets of common shareholders (000)

 

$

312,545

 

$

307,487

 

$

290,212

 

$

279,827

 

Portfolio turnover

 

 

12

%

 

14

%

 

51

%

 

17

%

Net assets of common shareholders, end of period (000)

 

$

319,131

 

$

309,146

 

$

300,518

 

$

293,598

 

Preferred shares outstanding, end of period (000)

 

$

177,600

 

$

177,600

 

$

177,600

 

$

177,600

 

Asset coverage per preferred share, end of period

 

$

69,937

 

$

68,527

 

$

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.

60


FINANCIAL HIGHLIGHTS

BlackRock Strategic Municipal Trust (BSD)

 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Year Ended December 31,

 

 

 


 

 

 

2006

 

2005

 

2004

 

2003

 

2002

 

 

 


 


 


 


 


 

PER COMMON SHARE OPERATING PERFORMANCE:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net asset value, beginning of year

 

$

15.68

 

$

15.70

 

$

15.91

 

$

15.01

 

$

14.33

 

 

 



 



 



 



 



 

Investment operations:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

1.07

 

 

1.14

 

 

1.26

 

 

1.23

 

 

1.26

 

Net realized and unrealized gain (loss)

 

 

0.28

 

 

0.07

 

 

(0.41

)

 

0.68

 

 

0.42

 

Dividends to preferred shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(0.29

)

 

(0.20

)

 

(0.10

)

 

(0.08

)

 

(0.12

)

 

 



 



 



 



 



 

Net increase from investment operations

 

 

1.06

 

 

1.01

 

 

0.75

 

 

1.83

 

 

1.56

 

 

 



 



 



 



 



 

Dividends to common shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(1.10

)

 

(1.03

)

 

(0.96

)

 

(0.93

)

 

(0.88

)

 

 



 



 



 



 



 

Net asset value, end of year

 

$

15.64

 

$

15.68

 

$

15.70

 

$

15.91

 

$

15.01

 

 

 



 



 



 



 



 

Market price, end of year

 

$

18.69

 

$

17.14

 

$

14.52

 

$

14.69

 

$

13.78

 

 

 



 



 



 



 



 

TOTAL INVESTMENT RETURN1

 

 

16.29

 

26.08

 

5.59

 

13.75

 

8.03

%

 

 



 



 



 



 



 

RATIOS TO AVERAGE NET ASSETS OF COMMON SHAREHOLDERS:2

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Expenses after fees waived and paid indirectly

 

 

1.04

%

 

0.97

%

 

0.89

%

 

0.91

%

 

0.98

%

Expenses after fees waived and before fees paid indirectly

 

 

1.07

%

 

0.98

%

 

0.90

%

 

0.91

%

 

0.99

%

Expenses before fees waived and paid indirectly

 

 

1.31

%

 

1.29

%

 

1.28

%

 

1.30

%

 

1.39

%

Net investment income after fees waived and paid indirectly and before preferred share dividends

 

 

6.89

%

 

7.23

%

 

8.04

%

 

8.09

%

 

8.54

%

Preferred share dividends

 

 

1.83

%

 

1.26

%

 

0.62

%

 

0.54

%

 

0.78

%

Net investment income available to common shareholders

 

 

5.06

%

 

5.97

%

 

7.42

%

 

7.55

%

 

7.76

%

SUPPLEMENTAL DATA:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average net assets of common shareholders (000)

 

$

113,394

 

$

113,860

 

$

112,298

 

$

110,385

 

$

106,807

 

Portfolio turnover

 

 

71

%

 

96

%

 

23

%

 

8

%

 

13

%

Net assets of common shareholders, end of year (000)

 

$

113,697

 

$

113,684

 

$

113,686

 

$

115,246

 

$

108,721

 

Preferred shares outstanding, end of year (000)

 

$

62,000

 

$

62,000

 

$

62,000

 

$

62,000

 

$

62,000

 

Asset coverage per preferred share, end of year

 

$

78,856

 

$

70,847

 

$

70,844

 

$

71,476

 

$

68,844

 


 

 


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 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.

61


FINANCIAL HIGHLIGHTS

BlackRock California Insured Municipal 2008 Term Trust (BFC)

 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Year Ended December 31,

 

 

 


 

 

 

2006

 

2005

 

2004

 

2003

 

2002

 

 

 


 


 


 


 


 

PER COMMON SHARE OPERATING PERFORMANCE:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net asset value, beginning of year

 

$

15.86

 

$

16.76

 

$

17.19

 

$

17.34

 

$

16.77

 

 

 



 



 



 



 



 

Investment operations:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

0.87

 

 

0.90

 

 

0.91

 

 

0.96

 

 

1.18

 

Net realized and unrealized gain (loss)

 

 

(0.30

)

 

(0.82

)

 

(0.44

)

 

0.06

 

 

0.48

 

Dividends and distributions to preferred shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(0.25

)

 

(0.20

)

 

(0.10

)

 

(0.07

)

 

(0.11

)

Net realized gain

 

 

 

 

3

 

 

 

(0.01

)

 

(0.03

)

 

 



 



 



 



 



 

Net increase (decrease) from investment operations

 

 

0.32

 

 

(0.12

)

 

0.37

 

 

0.94

 

 

1.52

 

 

 



 



 



 



 



 

Dividends and distributions to common shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(0.77

)

 

(0.77

)

 

(0.77

)

 

(1.00

)

 

(0.81

)

Net realized gain

 

 

 

 

(0.01

)

 

(0.03

)

 

(0.09

)

 

(0.14

)

 

 



 



 



 



 



 

Total dividends and distributions

 

 

(0.77

)

 

(0.78

)

 

(0.80

)

 

(1.09

)

 

(0.95

)

 

 



 



 



 



 



 

Net asset value, end of year

 

$

15.41

 

$

15.86

 

$

16.76

 

$

17.19

 

$

17.34

 

 

 



 



 



 



 



 

Market price, end of year

 

$

15.34

 

$

15.31

 

$

16.25

 

$

17.09

 

$

16.44

 

 

 



 



 



 



 



 

TOTAL INVESTMENT RETURN1

 

 

5.34

 

(1.08

)% 

 

(0.20

)% 

 

10.90

 

9.56

%

 

 



 



 



 



 



 

RATIOS TO AVERAGE NET ASSETS OF COMMON SHAREHOLDERS:2

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Expenses after fees waived and paid indirectly

 

 

0.99

%

 

1.07

%

 

1.05

%

 

1.04

%

 

1.05

%

Expenses after fees waived and before fees paid indirectly

 

 

1.07

%

 

1.08

%

 

1.05

%

 

1.04

%

 

1.06

%

Expenses before fees waived and paid indirectly

 

 

1.07

%

 

1.08

%

 

1.05

%

 

1.04

%

 

1.06

%

Net investment income after fees waived and paid indirectly and before preferred share dividends

 

 

5.60

%

 

5.55

%

 

5.37

%

 

5.51

%

 

6.91

%

Preferred share dividends

 

 

1.62

%

 

1.23

%

 

0.58

%

 

0.38

%

 

0.64

%

Net investment income available to common shareholders

 

 

3.98

%

 

4.32

%

 

4.79

%

 

5.13

%

 

6.27

%

SUPPLEMENTAL DATA:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average net assets of common shareholders (000)

 

$

161,925

 

$

169,564

 

$

175,711

 

$

180,408

 

$

177,861

 

Portfolio turnover

 

 

 

 

 

 

 

 

15

%

 

33

%

Net assets of common shareholders, end of year (000)

 

$

160,367

 

$

165,097

 

$

174,408

 

$

178,854

 

$

180,498

 

Preferred shares outstanding, end of year (000)

 

$

 

$

104,550

 

$

104,550

 

$

104,550

 

$

104,550

 

Asset coverage per preferred share, end of year

 

$

 

$

64,497

 

$

66,714

 

$

67,776

 

$

68,161

 


 

 


1

Amounted to less than $0.01 per common share outstanding.

 

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 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. 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 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.

62


FINANCIAL HIGHLIGHTS

BlackRock California Municipal 2018 Term Trust (BJZ)

 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Year Ended December 31,

 

 

 


 

 

 

2006

 

2005

 

2004

 

2003

 

2002

 

 

 


 


 


 


 


 

PER COMMON SHARE OPERATING PERFORMANCE:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net asset value, beginning of year

 

$

15.21

 

$

15.17

 

$

14.77

 

$

14.59

 

$

13.63

 

 

 



 



 



 



 



 

Investment operations:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

1.02

 

 

0.97

 

 

1.00

 

 

1.04

 

 

1.03

 

Net realized and unrealized gain (loss)

 

 

0.03

 

 

(0.01

)

 

0.21

 

 

(0.06

)

 

0.78

 

Dividends to preferred shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(0.26

)

 

(0.18

)

 

(0.08

)

 

(0.07

)

 

(0.11

)

 

 



 



 



 



 



 

Net increase (decrease) from investment operations

 

 

0.79

 

 

0.78

 

 

1.13

 

 

0.91

 

 

1.70

 

 

 



 



 



 



 



 

Dividends to common shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(0.74

)

 

(0.74

)

 

(0.73

)

 

(0.73

)

 

(0.74

)

 

 



 



 



 



 



 

Net asset value, end of year

 

$

15.26

 

$

15.21

 

$

15.17

 

$

14.77

 

$

14.59

 

 

 



 



 



 



 



 

Market price, end of year

 

$

15.94

 

$

15.19

 

$

13.89

 

$

13.42

 

$

13.40

 

 

 



 



 



 



 



 

TOTAL INVESTMENT RETURN1

 

 

10.03

%

 

14.85

%

 

9.04

%

 

5.67

%

 

10.04

%

 

 



 



 



 



 



 

RATIOS TO AVERAGE NET ASSETS OF COMMON SHAREHOLDERS:2

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Expenses after fees waived and paid indirectly

 

 

0.97

%

 

0.99

%

 

1.01

%

 

1.03

%

 

0.99

%

Expenses after fees waived and before fees paid indirectly

 

 

0.99

%

 

1.01

%

 

1.02

%

 

1.03

%

 

1.03

%

Expenses before fees waived and paid indirectly

 

 

0.99

%

 

1.01

%

 

1.02

%

 

1.03

%

 

1.03

%

Net investment income after fees waived and paid indirectly before preferred share dividends

 

 

6.69

%

 

6.39

%

 

6.77

%

 

7.29

%

 

7.33

%

Preferred share dividends

 

 

1.73

%

 

1.17

%

 

0.56

%

 

0.51

%

 

0.81

%

Net investment income available to common shareholders

 

 

4.96

%

 

5.22

%

 

6.21

%

 

6.78

%

 

6.52

%

SUPPLEMENTAL DATA:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average net assets of common shareholders (000)

 

$

97,781

 

$

97,869

 

$

95,091

 

$

92,324

 

$

90,721

 

Portfolio turnover

 

 

 

 

9

%

 

9

%

 

9

%

 

42

%

Net assets of common shareholders, end of year (000)

 

$

98,165

 

$

97,824

 

$

97,590

 

$

95,047

 

$

93,844

 

Preferred shares outstanding, end of year (000)

 

$

55,525

 

$

55,525

 

$

55,525

 

$

55,528

 

$

55,525

 

Asset coverage per preferred share, end of year

 

$

69,214

 

$

69,056

 

$

68,945

 

$

67,796

 

$

67,254

 


 

 


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 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. 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 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 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.

63


FINANCIAL HIGHLIGHTS

BlackRock Florida Insured Municipal 2008 Term Trust (BRF)

 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Year Ended December 31,

 

 

 


 

 

 

2006

 

2005

 

2004

 

2003

 

2002

 

 

 


 


 


 


 


 

PER COMMON SHARE OPERATING PERFORMANCE:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net asset value, beginning of year

 

$

15.04

 

$

15.91

 

$

16.43

 

$

16.41

 

$

16.01

 

 

 



 



 



 



 



 

Investment operations:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

0.72

 

 

0.78

 

 

0.81

 

 

0.88

 

 

1.12

 

Net realized and unrealized gain (loss)

 

 

(0.22

)

 

(0.67

)

 

(0.41

)

 

0.13

 

 

0.36

 

Dividends and distributions to preferred shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(0.21

)

 

(0.22

)

 

(0.09

)

 

(0.06

)

 

(0.11

)

Net realized gain

 

 

1

 

3

 

(0.01

)

 

(0.02

)

 

(0.04

)

 

 



 



 



 



 



 

Net increase (decrease) from investment operations

 

 

0.29

 

 

(0.11

)

 

0.30

 

 

0.93

 

 

1.33

 

 

 



 



 



 



 



 

Dividends and distributions to common shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(0.50

)

 

(0.75

)

 

(0.75

)

 

(0.81

)

 

(0.75

)

Net realized gain

 

 

1

 

(0.01

)

 

(0.07

)

 

(0.10

)

 

(0.18

)

 

 



 



 



 



 



 

Total dividends and distributions

 

 

(0.50

)

 

(0.76

)

 

(0.82

)

 

(0.91

)

 

(0.93

)

 

 



 



 



 



 



 

Net asset value, end of year

 

$

14.83

 

$

15.04

 

$

15.91

 

$

16.43

 

$

16.41

 

 

 



 



 



 



 



 

Market price, end of year

 

$

14.42

 

$

15.11

 

$

15.85

 

$

16.19

 

$

15.91

 

 

 



 



 



 



 



 

TOTAL INVESTMENT RETURN2

 

 

(1.21

)% 

 

0.10

 

3.05

 

7.64

 

9.61

%

 

 



 



 



 



 



 

RATIOS TO AVERAGE NET ASSETS OF COMMON SHAREHOLDERS:3

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Expenses after fees waived and paid indirectly

 

 

0.96

%

 

1.09

%

 

1.07

%

 

1.05

%

 

1.05

%

Expenses after fees waived and before fees paid indirectly

 

 

1.03

%

 

1.10

%

 

1.07

%

 

1.05

%

 

1.05

%

Expenses before fees waived and paid indirectly

 

 

1.03

%

 

1.10

%

 

1.07

%

 

1.05

%

 

1.06

%

Net investment income after fees waived and paid indirectly and before preferred share dividends

 

 

4.85

%

 

5.08

%

 

5.03

%

 

5.34

%

 

6.90

%

Preferred share dividends

 

 

1.43

%

 

1.42

%

 

0.56

%

 

0.39

%

 

0.70

%

Net investment income available to common shareholders

 

 

3.42

%

 

3.66

%

 

4.47

%

 

4.95

%

 

6.20

%

SUPPLEMENTAL DATA:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average net assets of common shareholders (000)

 

$

129,187

 

$

134,104

 

$

140,140

 

$

144,071

 

$

141,064

 

Portfolio turnover

 

 

 

 

 

 

 

 

6

%

 

52

%

Net assets of common shareholders, end of year (000)

 

$

129,110

 

$

130,974

 

$

138,542

 

$

143,082

 

$

142,920

 

Preferred shares outstanding, end of year (000)

 

$

 

$

84,150

 

$

84,150

 

$

84,169

 

$

84,150

 

Asset coverage per preferred share, end of year

 

$

 

$

63,912

 

$

66,159

 

$

67,514

 

$

67,460

 


 

 


1

Amounted to less than $0.01 per common share outstanding.

 

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 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. 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 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.

64


FINANCIAL HIGHLIGHTS

BlackRock Florida Municipal 2020 Term Trust (BFO)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

For the period
September 30, 20031
through
December 31, 2003

 

 

 

Year Ended December 31,

 

 

 

 


 

 

 

 

2006

 

2005

 

2004

 

 

 

 


 


 


 


 

PER COMMON SHARE OPERATING PERFORMANCE:

 

 

 

 

 

 

 

 

 

 

 

 

 

Net asset value, beginning of period

 

$

14.90

 

$

14.63

 

$

14.50

 

 

$

14.33

2

 

 

 



 



 



 

 



 

 

Investment operations:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

0.98

 

 

0.98

 

 

0.99

 

 

 

0.12

 

 

Net realized and unrealized gain

 

 

0.23

 

 

0.31

 

 

0.14

 

 

 

0.26

 

 

Dividends to preferred shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(0.29

)

 

(0.20

)

 

(0.10

)

 

 

(0.01

)

 

Net realized gains

 

 

 

 

(0.01

)

 

 

 

 

 

 

 

 



 



 



 

 



 

 

Net increase from investment operations

 

 

0.92

 

 

1.08

 

 

1.03

 

 

 

0.37

 

 

 

 



 



 



 

 



 

 

Dividends to common shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(0.66

)

 

(0.75

)

 

(0.90

)

 

 

(0.15

)

 

Net realized gains

 

 

 

 

(0.06

)

 

 

 

 

 

 

 

 



 



 



 

 



 

 

Total dividends and distributions

 

 

(0.66

)

 

(0.81

)

 

(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

 

$

15.16

 

$

14.90

 

$

14.63

 

 

$

14.50

 

 

 

 



 



 



 

 



 

 

Market price, end of period

 

$

13.85

 

$

13.35

 

$

15.08

 

 

$

15.39

 

 

 

 



 



 



 

 



 

 

TOTAL INVESTMENT RETURN3

 

 

8.83

%

 

(6.76

)%

 

4.10

%

 

 

3.60

%

 

 

 



 



 



 

 



 

 

RATIOS TO AVERAGE NET ASSETS OF COMMON SHAREHOLDERS:4

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Expenses after fees waived and paid indirectly

 

 

1.18

%

 

1.24

%

 

1.21

%

 

 

1.02

%5

 

Expenses after fees waived and before fees paid indirectly

 

 

1.20

%

 

1.26

%

 

1.21

%

 

 

1.02

%5

 

Expenses before fees waived and paid indirectly

 

 

1.20

%

 

1.26

%

 

1.25

%

 

 

1.05

%5

 

Net investment income after fees waived and paid indirectly and before preferred share dividends

 

 

6.54

%

 

6.57

%

 

6.93

%

 

 

3.45

%5

 

Preferred share dividends

 

 

1.96

%

 

1.32

%

 

0.68

%

 

 

0.30

%5

 

Net investment income available to common shareholders

 

 

4.58

%

 

5.25

%

 

6.25

%

 

 

3.15

%5

 

SUPPLEMENTAL DATA:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average net assets of common shareholders (000)

 

$

83,282

 

$

82,799

 

$

79,810

 

 

$

76,698

 

 

Portfolio turnover

 

 

 

 

 

 

9

%

 

 

 

 

Net assets of common shareholders, end of period (000)

 

$

84,300

 

$

82,875

 

$

81,391

 

 

$

80,655

 

 

Preferred shares outstanding, end of period (000)

 

$

48,900

 

$

48,900

 

$

48,900

 

 

$

48,900

 

 

Asset coverage per preferred share, end of period

 

$

68,114

 

$

67,379

 

$

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.

65


FINANCIAL HIGHLIGHTS

BlackRock New York Insured Municipal 2008 Term Trust (BLN)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Year Ended December 31,

 

 

 


 

 

 

2006

 

2005

 

2004

 

2003

 

2002

 

 

 


 


 


 


 


 

PER COMMON SHARE OPERATING PERFORMANCE:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net asset value, beginning of year

 

$

15.73

 

$

16.56

 

$

17.13

 

$

17.09

 

$

16.22

 

 

 



 



 



 



 



 

Investment operations:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

0.85

 

 

0.90

 

 

0.93

 

 

1.01

 

 

1.13

 

Net realized and unrealized gain (loss)

 

 

(0.33

)

 

(0.77

)

 

(0.53

)

 

(0.05

)

 

0.75

 

Dividends and distributions to preferred shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(0.20

)

 

(0.20

)

 

(0.10

)

 

(0.08

)

 

(0.11

)

Net realized gain

 

 

1

 

3

 

(0.01

)

 

(0.01

)

 

(0.03

)

 

 



 



 



 



 



 

Net increase (decrease) from investment operations

 

 

0.32

 

 

(0.07

)

 

0.29

 

 

0.87

 

 

1.74

 

 

 



 



 



 



 



 

Dividends and distributions to common shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(0.63

)

 

(0.75

)

 

(0.81

)

 

(0.79

)

 

(0.75

)

Net realized gain

 

 

1

 

(0.01

)

 

(0.05

)

 

(0.04

)

 

(0.12

)

 

 



 



 



 



 



 

Total dividends and distributions

 

 

(0.63

)

 

(0.76

)

 

(0.86

)

 

(0.83

)

 

(0.87

)

 

 



 



 



 



 



 

Net asset value, end of year

 

$

15.42

 

$

15.73

 

$

16.56

 

$

17.13

 

$

17.09

 

 

 



 



 



 



 



 

Market price, end of year

 

$

14.90

 

$

15.30

 

$

16.09

 

$

16.96

 

$

16.22

 

 

 



 



 



 



 



 

TOTAL INVESTMENT RETURN2

 

 

1.55

%

 

(0.23

)%

 

0.03

%

 

9.88

%

 

10.47

%

 

 



 



 



 



 



 

RATIOS TO AVERAGE NET ASSETS OF COMMON SHAREHOLDERS:3

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Expenses after fees waived and paid indirectly

 

 

0.91

%

 

1.05

%

 

1.03

%

 

1.03

%

 

1.04

%

Expenses after fees waived and before fees paid indirectly

 

 

0.97

%

 

1.06

%

 

1.03

%

 

1.03

%

 

1.05

%

Expenses before fees waived and paid indirectly

 

 

0.97

%

 

1.06

%

 

1.03

%

 

1.03

%

 

1.05

%

Net investment income after fees waived and paid indirectly and before preferred share dividends

 

 

5.51

%

 

5.62

%

 

5.51

%

 

5.85

%

 

6.75

%

Preferred share dividends

 

 

1.32

%

 

1.25

%

 

0.58

%

 

0.48

%

 

0.68

%

Net investment income available to common shareholders

 

 

4.19

%

 

4.37

%

 

4.93

%

 

5.37

%

 

6.07

%

SUPPLEMENTAL DATA:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average net assets of common shareholders (000)

 

$

174,200

 

$

180,876

 

$

189,322

 

$

192,958

 

$

187,970

 

Portfolio turnover

 

 

4

%

 

7

%

 

 

 

7

%

 

31

%

Net assets of common shareholders, end of year (000)

 

$

173,553

 

$

177,132

 

$

186,424

 

$

192,801

 

$

192,337

 

Preferred shares outstanding, end of year (000)

 

$

 

$

109,550

 

$

109,550

 

$

109,550

 

$

109,550

 

Asset coverage per preferred share, end of year

 

$

 

$

65,433

 

$

67,549

 

$

69,000

 

$

68,893

 


 

 


1

Amounted to less than $0.01 per common share outstanding.

 

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 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. 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 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.

66


 

FINANCIAL HIGHLIGHTS

BlackRock New York Municipal 2018 Term Trust (BLH)

 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Year Ended December 31,

 

 

 


 

 

 

2006

 

2005

 

2004

 

2003

 

2002

 

 

 


 


 


 


 


 

PER COMMON SHARE OPERATING PERFORMANCE:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net asset value, beginning of year

 

$

16.11

 

$

15.77

 

$

15.53

 

$

15.11

 

$

13.58

 

 

 



 



 



 



 



 

Investment operations:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

1.11

 

 

1.08

 

 

1.07

 

 

1.06

 

 

1.01

 

Net realized and unrealized gain (loss)

 

 

0.11

 

 

0.17

 

 

 

 

0.18

 

 

1.37

 

Dividends to preferred shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(0.26

)

 

(0.17

)

 

(0.09

)

 

(0.08

)

 

(0.11

)

 

 



 



 



 



 



 

Net increase (decrease) from investment operations

 

 

0.96

 

 

1.08

 

 

0.98

 

 

1.16

 

 

2.27

 

 

 



 



 



 



 



 

Dividends to common shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(0.74

)

 

(0.74

)

 

(0.74

)

 

(0.74

)

 

(0.74

)

 

 



 



 



 



 



 

Net asset value, end of year

 

$

16.33

 

$

16.11

 

$

15.77

 

$

15.53

 

$

15.11

 

 

 



 



 



 



 



 

Market price, end of year

 

$

15.62

 

$

15.15

 

$

14.82

 

$

14.70

 

$

13.46

 

 

 



 



 



 



 



 

TOTAL INVESTMENT RETURN1

 

 

8.08

%

 

7.28

%

 

5.94

%

 

14.94

%

 

7.96

%

 

 



 



 



 



 



 

RATIOS TO AVERAGE NET ASSETS OF COMMON SHAREHOLDERS:2

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Expenses after fees waived and paid indirectly

 

 

1.04

%

 

1.06

%

 

1.11

%

 

1.12

%

 

1.13

%

Expenses after fees waived and before fees paid indirectly

 

 

1.07

%

 

1.08

%

 

1.12

%

 

1.14

%

 

1.17

%

Expenses before fees waived and paid indirectly

 

 

1.07

%

 

1.08

%

 

1.12

%

 

1.14

%

 

1.17

%

Net investment income after fees waived and paid indirectly and before preferred share dividends

 

 

6.84

%

 

6.73

%

 

6.91

%

 

7.03

%

 

7.03

%

Preferred share dividends

 

 

1.58

%

 

1.06

%

 

0.57

%

 

0.53

%

 

0.80

%

Net investment income available to common shareholders

 

 

5.26

%

 

5.67

%

 

6.34

%

 

6.50

%

 

6.23

%

SUPPLEMENTAL DATA:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average net assets of common shareholders (000)

 

$

58,916

 

$

58,434

 

$

56,270

 

$

54,510

 

$

52,265

 

Portfolio turnover

 

 

6

%

 

12

%

 

 

 

11

%

 

41

%

Net assets of common shareholders, end of year (000)

 

$

59,313

 

$

58,525

 

$

57,303

 

$

56,415

 

$

54,881

 

Preferred shares outstanding, end of year (000)

 

$

31,400

 

$

31,400

 

$

31,400

 

$

31,400

 

$

31,400

 

Asset coverage per preferred share, end of year

 

$

72,237

 

$

71,603

 

$

70,626

 

$

69,917

 

$

68,702

 


 

 


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 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. 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 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 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.

67


 

FINANCIAL HIGHLIGHTS

BlackRock Pennsylvania Strategic Municipal Trust (BPS)

 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Year Ended December 31,

 

 

 


 

 

 

2006

 

2005

 

2004

 

2003

 

2002

 

 

 


 


 


 


 


 

PER COMMON SHARE OPERATING PERFORMANCE:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net asset value, beginning of year

 

$

15.27

 

$

15.81

 

$

16.09

 

$

15.61

 

$

14.65

 

 

 



 



 



 



 



 

Investment operations:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

1.02

 

 

0.97

 

 

1.07

 

 

1.12

 

 

1.17

 

Net realized and unrealized gain (loss)

 

 

(0.09

)

 

(0.42

)

 

(0.37

)

 

0.30

 

 

0.73

 

Dividends to preferred shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(0.28

)

 

(0.19

)

 

(0.09

)

 

(0.07

)

 

(0.11

)

 

 



 



 



 



 



 

Net increase from investment operations

 

 

0.65

 

 

0.36

 

 

0.61

 

 

1.35

 

 

1.79

 

 

 



 



 



 



 



 

Dividends to common shareholders from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

(0.91

)

 

(0.90

)

 

(0.89

)

 

(0.87

)

 

(0.83

)

 

 



 



 



 



 



 

Net asset value, end of year

 

$

15.01

 

$

15.27

 

$

15.81

 

$

16.09

 

$

15.61

 

 

 



 



 



 



 



 

Market price, end of year

 

$

17.43

 

$

15.85

 

$

15.70

 

$

15.12

 

$

14.33

 

 

 



 



 



 



 



 

TOTAL INVESTMENT RETURN1

 

 

16.45

 

7.02

 

10.12

 

11.91

 

8.19

%

 

 



 



 



 



 



 

RATIOS TO AVERAGE NET ASSETS OF COMMON SHAREHOLDERS:2

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Expenses after fees waived and paid indirectly

 

 

1.23

%

 

1.13

%

 

1.03

%

 

1.12

%

 

1.34

%

Expenses after fees waived and before fees paid indirectly

 

 

1.28

%

 

1.21

%

 

1.08

%

 

1.15

%

 

1.36

%

Expenses before fees waived and paid indirectly

 

 

1.51

%

 

1.52

%

 

1.47

%

 

1.54

%

 

1.75

%

Net investment income after fees waived and paid indirectly and before preferred share dividends

 

 

6.73

%

 

6.28

%

 

6.74

%

 

7.09

%

 

7.69

%

Preferred share dividends

 

 

1.85

%

 

1.22

%

 

0.59

%

 

0.46

%

 

0.71

%

Net investment income available to common shareholders

 

 

4.88

%

 

5.06

%

 

6.15

%

 

6.63

%

 

6.98

%

SUPPLEMENTAL DATA:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average net assets of common shareholders (000)

 

$

30,532

 

$

31,283

 

$

31,989

 

$

31,892

 

$

30,545

 

Portfolio turnover

 

 

7

%

 

8

%

 

5

%

 

 

 

7

%

Net assets of common shareholders, end of year (000)

 

$

30,306

 

$

30,801

 

$

31,857

 

$

32,435

 

$

31,454

 

Preferred shares outstanding, end of year (000)

 

$

17,500

 

$

17,500

 

$

17,500

 

$

17,500

 

$

17,500

 

Asset coverage per preferred share, end of year

 

$

68,305

 

$

69,008

 

$

70,513

 

$

71,341

 

$

69,939

 


 

 

 


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 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.

68


 

NOTES TO FINANCIAL STATEMENTS


Note 1. Organization & Accounting Policies

The BlackRock Insured Municipal 2008 Term Trust Inc. (“Insured Municipal 2008”), The BlackRock Insured Municipal Term Trust Inc. (“Insured Municipal”), 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 (“Strategic Municipal”), 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. Insured Municipal 2008, Insured Municipal, Municipal 2018, Municipal 2020 and Strategic Municipal are registered as diversified closed-end management investment companies under the Investment Company Act of 1940, as amended (the “1940 Act”). 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 1940 Act. Insured Municipal 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. Strategic Municipal and Pennsylvania Strategic are herein referred to as the Strategic Trusts.

          On September 29, 2006, BlackRock, Inc., the parent of BlackRock Advisors, LLC (formerly BlackRock Advisors, Inc.) (the “Advisor”), and Merrill Lynch & Co., Inc. (“Merrill Lynch”) combined Merrill Lynch’s investment management business, Merrill Lynch Investment Managers, L.P. (“MLIM”), with BlackRock, Inc. to create a new independent company. Merrill Lynch has a 49.8% economic interest and a 45% voting interest in the new combined company and The PNC Financial Services Group, Inc. (“PNC”), has approximately a 34% economic and voting interest. The new company operates under the BlackRock name and is governed by a board of directors with a majority of independent members.

          Under the Trusts’organizational documents, their officers and Trustees are indemnified against certain liabilities arising out of the performance of their duties to the Trusts. In addition, in the normal course of business, the Trusts enter into contracts with their vendors and others that provide for general indemnifications. The Trusts’ maximum exposure under these arrangements are unknown as this would involve future claims that may be made against the Trusts. However, based on experience, the Trusts consider the risk of loss from such claims to be remote.

          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. Swap quotations are provided by dealers selected under supervision of the Board. 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 which approximates fair value. Investments in open-end investment companies are valued at net asset value per share. 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 the Board.

          When determining the price for a Fair Value Asset, the 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 the advisor and/or sub-advisor deems relevant.

          In September 2006, the Financial Accounting Standards Board (“FASB”) issued Statement of Financial Accounting Standards No. 157, “Fair Value Measurements” (“FAS 157”), which is effective for fiscal years beginning after November 15, 2007. FAS 157 defines fair value, establishes a framework for measuring fair value and expands disclosures about fair value measurements. Management is currently evaluating the implications of FAS 157. At this time, its impact on the Trusts’ financial statements has not been determined.

Investment Transactions and Investment Income: Investment transactions are recorded on trade date. The cost of investments sold and the related gain or loss is determined by use of the specific identification method, generally first-in, first-out, for both financial reporting and Federal income tax purposes. Each Trust also records interest income on an accrual basis and amortizes premium and/or accretes discount on securities purchased using the interest method. Dividend income is recorded on the ex-dividend date.

Financial Futures Contracts: A financial 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 financial futures contracts and can be either cash or securities. During the period the financial 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. Financial futures contracts can be sold to effectively shorten an otherwise longer duration portfolio. In the same sense, financial futures contracts can be purchased to lengthen a portfolio that is shorter than its duration target. Thus, by buying or selling financial 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.

69


Forward Starting Swaps: A forward starting swap is an agreement for an interest rate swap asset or liability to be created or sold in the future. Interest rate swaps are an agreement in which one party pays a floating rate of interest on a notional principal amount and receives a fixed rate of interest on the same notional principal amount for a specified period of time. Alternatively, a party may pay a fixed rate and receive a floating rate. The Trusts generally intend to close each forward starting swap before the accrual date specified in the agreement and therefore avoid entering into the interest rate swap underlying each forward starting swap.

          During the term of the swap, changes in the value of the swap are recognized as unrealized gains or losses by “marking-to-market” daily based upon quotations from market makers to reflect the market value of the swap. When the swap is terminated, a Trust will record 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, if any.

          Entering into these agreements involves, to varying degrees, elements of credit and market risk in excess of the amounts recognized on the Statements of Assets and Liabilities. Such risks involve the possibility that there will be no liquid market for these agreements, that the counterparty to the agreement may default on its obligation to perform and that there may be unfavorable changes in the fluctuation of interest and/or exchange rates. However, the Advisor of the Trusts monitors swaps and does not anticipate non-performance by any counterparty.

Segregation: In cases in which the 1940 Act 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, swap agreements or financial futures contracts), each Trust will, consistent with certain interpretive letters issued by the Commission, designate on its books and records cash or other liquid 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 and net realized capital gains, if any, to shareholders. Therefore, no federal income tax or excise tax provisions have been recorded.

          On July 13, 2006, the Financial Accounting Standards Board (“FASB”) released FASB Interpretation No. 48 (“FIN 48”), “Accounting for Uncertainty in Income Taxes.” FIN 48 provides guidance for how uncertain tax positions should be recognized, measured, presented and disclosed in the financial statements. FIN 48 requires the evaluation of tax positions taken in the course of preparing the Trusts’ tax returns to determine whether the tax positions are “more-likely-than-not” of being sustained by the applicable tax authority. Tax benefits of positions not deemed to meet the more-likely-than-not threshold would be booked as a tax expense in the current year and recognized as: a liability for unrecognized tax benefits; a reduction of an income tax refund receivable; a reduction of deferred tax asset; an increase in deferred tax liability; or a combination thereof. Adoption of FIN 48 is required for the last net asset value calculation in the first required financial statement reporting period for fiscal years beginning after December 15, 2006. At this time, management is evaluating the implications of FIN 48 and its impact on the financial statements has not yet been determined.

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 in accordance with the 1940 Act. 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 5.

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 and such differences may be material.

Deferred Compensation and BlackRock Closed-End Share Equivalent Investment Plan: Under the deferred compensation plan approved by each Trust’s Board, non-interested Trustees/Directors (“Independent 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 Funds selected by the Independent Trustees. These amounts are shown on the Statements of Assets and Liabilities as “Investments in Affiliates.” This has approximately the same economic effect for the Independent Trustees as if the Independent Trustees had invested the deferred amounts directly 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 Independent Trustees in order to match its deferred compensation obligations.

Other: Expenses that are directly related to one of the Trusts are charged directly to that Trust. Other operating expenses are generally prorated to the Trusts on the basis of relative net assets of all the BlackRock Closed-End Funds.

Note 2. Agreements and Other Transactions with Affiliates and Related Parties.

Each Trust has an Investment Management Agreement with Advisor, a wholly owned subsidiary of BlackRock, Inc. BlackRock Financial Management, Inc. (“BFM”), a wholly owned subsidiary of BlackRock, Inc., serves as sub-advisor to the 2018 Trusts, 2020 Trusts and Strategic Trusts. BlackRock, Inc. may be presumed an affiliate of Merrill Lynch and PNC. The Investment Management Agreements for the 2018 Trusts, 2020 Trusts and Strategic Trusts cover both investment advisory and administration services. Each 2008 Trust and Insured Municipal 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 and Insured Municipal 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

70


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 Advisor pays BFM fees for its sub-advisory services.

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

          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, 2006, the Trusts reimbursed the Advisor the following amounts, which are included in miscellaneous expenses in the Statements of Operations:

 

 

 

 

 

 

 

Trust

 

Amount

 

Trust

 

Amount


 


 


 


Insured Municipal 2008

 

$57,574

 

California 2018

 

$9,335

Insured Municipal

 

37,182

 

Florida Insured 2008

 

15,903

Municipal 2018

 

24,035

 

Florida 2020

 

9,227

Municipal 2020

 

19,475

 

New York Insured 2008

 

25,376

Strategic Municipal

 

12,180

 

New York 2018

 

4,266

California Insured 2008

 

18,618

 

Pennsylvania Strategic

 

3,441

          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. These credits are shown on the Statements of Operations as “fees paid indirectly.”

          During the year ended December 31, 2006, Merrill Lynch through its affiliated broker dealer, Merrill Lynch, Pierce, Fenner & Smith Incorporated, earned commissions on transactions of securities as follows:

 

 

 

 

 

 

 

 

Commission

 

Trust

 

 

Amount

 


 

 


 

Municipal 2018

 

 

 

$4,702

  

 

Municipal 2020

 

 

 

5,912

 

 

Strategic Municipal

 

 

 

2,009

 

 

California 2018

 

 

 

1,694

 

 

Florida 2020

 

 

 

1,584

 

 

New York 2018

 

 

 

951

 

 

Pennsylvania Strategic

 

 

 

451

 

 



Note 3. Portfolio Securities

Purchases and sales of investment securities, other than short-term investments and U.S. government securities, for the year ended December 31, 2006, were as follows:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Trust

 

 

Purchases

 

 

Sales

 

 

Trust

 

 

Purchases

 

 

Sales

 


 


 


 

 


 


 


 

Insured Municipal 2008

 

$

 

$

116,442,593

 

 

California 2018

 

$

5,843,444

 

$

 

Insured Municipal

 

 

3,170,829

 

 

9,099,607

 

 

Florida Insured 2008

 

 

 

 

59,601,628

 

Municipal 2018

 

 

37,340,762

 

 

24,732,393

 

 

Florida 2020

 

 

555,080

 

 

2,475,550

 

Municipal 2020

 

 

55,821,172

 

 

58,454,943

 

 

New York Insured 2008

 

 

7,936,886

 

 

71,513,870

 

Strategic Municipal

 

 

126,573,258

 

 

119,903,123

 

 

New York 2018

 

 

5,964,145

 

 

5,122,163

 

California Insured 2008

 

 

 

 

102,190,401

 

 

Pennsylvania Strategic

 

 

15,576,476

 

 

2,790,393

 

          There were no purchases or sales of U.S. government securities for the year ended December 31, 2006.

71


          Details of open forward starting swap agreements at December 31, 2006 were as follows:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Trust

 

Notional
Amount (000)

 

Fixed
Rate(a)

 

Counter
Party

 

Floating Rate

 

Effective
Date

 

Termination
Date

 

Unrealized
Appreciation
(Depreciation)

 


 


 


 


 


 


 


 


 

Municipal 2018

 

$

8,400,000

 

   4.258%

 

Citibank

 

1-week BMA Municipal Swap Index

 

03/20/07

 

03/20/37

 

$

(299,138

)

 

 

 

9,750,000

 

3.867

 

JP Morgan

 

1-week BMA Municipal Swap Index

 

02/06/07

 

02/06/27

 

 

66,596

 

 

 

 

11,300,000

 

3.815

 

Citibank

 

1-week BMA Municipal Swap Index

 

03/14/07

 

03/14/27

 

 

149,482

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

(83,060

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

Municipal 2020

 

$

11,000,000

 

4.258

 

Citibank

 

1-week BMA Municipal Swap Index

 

03/20/07

 

03/20/37

 

$

(391,729

)

 

 

 

12,000,000

 

3.867

 

JP Morgan

 

1-week BMA Municipal Swap Index

 

02/06/07

 

02/06/27

 

 

81,965

 

 

 

 

14,000,000

 

3.815

 

Citibank

 

1-week BMA Municipal Swap Index

 

03/14/07

 

03/14/27

 

 

185,199

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

(124,565

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

Strategic Municipal

 

$

3,600,000

 

4.258

 

Citibank

 

1-week BMA Municipal Swap Index

 

03/20/07

 

03/20/37

 

$

(128,202

)

 

 

 

4,000,000

 

3.867

 

JP Morgan

 

1-week BMA Municipal Swap Index

 

02/06/07

 

02/06/27

 

 

27,322

 

 

 

 

4,800,000

 

3.815

 

Citibank

 

1-week BMA Municipal Swap Index

 

03/14/07

 

03/14/27

 

 

63,497

 

 

 

 

4,750,000

 

3.955

 

Citibank

 

1-week BMA Municipal Swap Index

 

03/21/07

 

03/21/32

 

 

19,431

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

(17,952

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

California 2018

 

$

3,000,000

 

4.258

 

Citibank

 

1-week BMA Municipal Swap Index

 

03/20/07

 

03/20/37

 

$

(106,835

)

 

 

 

3,500,000

 

3.867

 

JP Morgan

 

1-week BMA Municipal Swap Index

 

02/06/07

 

02/06/27

 

 

23,906

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

(82,929

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

Florida 2020

 

$

2,800,000

 

4.258

 

Citibank

 

1-week BMA Municipal Swap Index

 

03/20/07

 

03/20/37

 

$

(99,713

)

 

 

 

3,500,000

 

3.867

 

JP Morgan

 

1-week BMA Municipal Swap Index

 

02/06/07

 

02/06/27

 

 

23,906

 

 

 

 

3,800,000

 

3.815

 

Citibank

 

1-week BMA Municipal Swap Index

 

03/14/07

 

03/14/27

 

 

50,269

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

(25,538

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

New York 2018

 

$

1,700,000

 

4.258

 

Citibank

 

1-week BMA Municipal Swap Index

 

03/20/07

 

03/20/37

 

$

(60,540

)

 

 

 

2,000,000

 

3.867

 

JP Morgan

 

1-week BMA Municipal Swap Index

 

02/06/07

 

02/06/27

 

 

13,661

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

(46,879

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

Pennsylvania Strategic

 

$

1,000,000

 

4.258

 

Citibank

 

1-week BMA Municipal Swap Index

 

03/20/07

 

03/20/37

 

$

(35,612

)

 

 

 

1,000,000

 

3.867

 

JP Morgan

 

1-week BMA Municipal Swap Index

 

02/06/07

 

02/06/27

 

 

6,830

 

 

 

 

1,000,000

 

3.955

 

Citibank

 

1-week BMA Municipal Swap Index

 

03/21/07

 

03/21/32

 

 

4,091

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

(24,691

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 



 


 

 

(a)

Trust will pay fixed interest rate and receive floating interest rate beginning on the effective date.

 

BMA — Bond Market Association.

Note 4. Income Tax Information

The tax character of distributions paid during the years ended December 31, 2006 and 2005 were as follows:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Year ended December 31, 2006

 

 


Distributions Paid From:

 

Tax-exempt
Income

 

Ordinary
Income

 

Long-term
Capital Gains

 

Total
Distributions


 


 


 


 


Insured Municipal 2008

 

 

$

28,133,908

 

 

 

$

11,643

 

 

 

$

353,680

 

 

 

$

28,499,231

 

Insured Municipal

 

 

 

17,164,227

 

 

 

 

 

 

 

 

92,146

 

 

 

 

17,256,373

 

Municipal 2018

 

 

 

19,015,247

 

 

 

 

 

 

 

 

 

 

 

 

19,015,247

 

Municipal 2020

 

 

 

21,988,676

 

 

 

 

 

 

 

 

 

 

 

 

21,988,676

 

Strategic Municipal

 

 

 

10,055,824

 

 

 

 

 

 

 

 

 

 

 

 

10,055,824

 

California Insured 2008

 

 

 

10,659,232

 

 

 

 

 

 

 

 

 

 

 

 

10,659,232

 

California 2018

 

 

 

6,418,803

 

 

 

 

 

 

 

 

 

 

 

 

6,418,803

 

Florida Insured 2008

 

 

 

6,207,286

 

 

 

 

 

 

 

 

20,001

 

 

 

 

6,227,287

 

Florida 2020

 

 

 

5,322,631

 

 

 

 

 

 

 

 

 

 

 

 

5,322,631

 

New York Insured 2008

 

 

 

9,406,089

 

 

 

 

 

 

 

 

27,602

 

 

 

 

9,433,691

 

New York 2018

 

 

 

3,599,305

 

 

 

 

 

 

 

 

 

 

 

 

3,599,305

 

Pennsylvania Strategic

 

 

 

2,394,018

 

 

 

 

 

 

 

 

 

 

 

 

2,394,018

 

72


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Year ended December 31, 2005

 

 


Distributions Paid From:

 

Tax-exempt
Income

 

Ordinary
Income

 

Long-term
Capital Gains

 

Total
Distributions


 


 


 


 


Insured Municipal 2008

 

 

$

27,486,423

 

 

 

$

 

 

 

$

 

 

 

$

27,486,423

 

Insured Municipal

 

 

 

18,654,108

 

 

 

 

 

 

 

 

485,811

 

 

 

 

19,139,919

 

Municipal 2018

 

 

 

16,607,588

 

 

 

 

 

 

 

 

 

 

 

 

16,607,588

 

Municipal 2020

 

 

 

21,646,656

 

 

 

 

 

 

 

 

 

 

 

 

21,646,656

 

Strategic Municipal

 

 

 

8,877,744

 

 

 

 

 

 

 

 

 

 

 

 

8,877,744

 

California Insured 2008

 

 

 

10,124,030

 

 

 

 

 

 

 

 

67,337

 

 

 

 

10,191,367

 

California 2018

 

 

 

5,870,955

 

 

 

 

 

 

 

 

 

 

 

 

5,870,955

 

Florida Insured 2008

 

 

 

8,438,404

 

 

 

 

 

 

 

 

74,232

 

 

 

 

8,512,636

 

Florida 2020

 

 

 

5,282,477

 

 

 

 

183,445

 

 

 

 

172,541

 

 

 

 

5,638,463

 

New York Insured 2008

 

 

 

10,705,322

 

 

 

 

 

 

 

 

71,879

 

 

 

 

10,777,201

 

New York 2018

 

 

 

3,289,900

 

 

 

 

 

 

 

 

 

 

 

 

3,289,900

 

Pennsylvania Strategic

 

 

 

2,187,871

 

 

 

 

 

 

 

 

 

 

 

 

2,187,871

 

          As of December 31, 2006, the components of distributable earnings on a tax basis were as follows:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Trust

 

Undistributed
Tax-exempt
Income

 

Undistributed
Ordinary
Income

 

Undistributed
Long-term
Gains

 

Unrealized
Net
Appreciation


 


 

 


 


 


Insured Municipal 2008

 

 

$

17,847,187

 

 

 

$

 

 

 

$

 

 

 

$

25,174,029

 

Insured Municipal

 

 

 

11,691,228

 

 

 

 

 

 

 

 

 

 

 

 

14,916,089

 

Municipal 2018

 

 

 

16,595,385

 

 

 

 

 

 

 

 

 

 

 

 

25,464,195

 

Municipal 2020

 

 

 

3,201,334

 

 

 

 

 

 

 

 

 

 

 

 

31,052,239

 

Strategic Municipal

 

 

 

3,413,161

 

 

 

 

 

 

 

 

 

 

 

 

11,417,330

 

California Insured 2008

 

 

 

6,322,679

 

 

 

 

 

 

 

 

 

 

 

 

10,490,007

 

California 2018

 

 

 

4,546,695

 

 

 

 

 

 

 

 

 

 

 

 

5,430,776

 

Florida Insured 2008

 

 

 

4,679,240

 

 

 

 

 

 

 

 

 

 

 

 

3,978,708

 

Florida 2020

 

 

 

348,153

 

 

 

 

 

 

 

 

 

 

 

 

6,104,945

 

New York Insured 2008

 

 

 

9,233,289

 

 

 

 

 

 

 

 

 

 

 

 

8,474,492

 

New York 2018

 

 

 

3,515,379

 

 

 

 

 

 

 

 

 

 

 

 

5,842,362

 

Pennsylvania Strategic

 

 

 

593,003

 

 

 

 

 

 

 

 

 

 

 

 

2,181,546

 

          For federal income tax purposes, the following Trusts had capital loss carryforwards at December 31, 2006, the Trust’s 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:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Trust

 

Capital Loss
Carryforward Amount

 

Expires

 

Trust

 

Capital Loss
Carryforward Amount

 

Expires


 


 


 


 


 


Insured Municipal 2008

 

 

$

1,251,338

 

 

2014

 

California 2018

 

 

$

999,612

 

 

2010

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

Insured Municipal

 

 

$

8,977

 

 

2014

 

 

 

 

 

1,444,501

 

 

2012

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

Municipal 2018

 

 

$

6,633,095

 

 

2012

 

 

 

 

 

588,861

 

 

2013

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

6,967,122

 

 

2014

 

 

 

 

$

3,032,974

 

 

 

 

 

 



 

 

 

 

 

 

 



 

 

 

 

 

 

$

13,600,217

 

 

 

 

Florida Insured 2008

 

 

$

218,214

 

 

2014

 

 

 



 

 

 

 

 

 

 



 

 

 

Municipal 2020

 

 

$

345,038

 

 

2013

 

Florida 2020

 

 

$

703,397

 

 

2013

 

 

 



 

 

 

 

 

 

 



 

 

 

Strategic Municipal

 

 

$

1,613,852

 

 

2012

 

New York Insured 2008

 

 

$

214,684

 

 

2014

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

$

1,045,663

 

 

2013

 

New York 2018

 

 

$

193,442

 

 

2010

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

2,659,515

 

 

 

 

 

 

 

 

431,368

 

 

2011

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

California Insured 2008

 

 

$

724,206

 

 

2014

 

 

 

 

 

590,480

 

 

2012

 

 

 



 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

1,215,290

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

Pennsylvania Strategic

 

 

$

728,039

 

 

2013

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

          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.

73


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):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Trust

 

UNII

 

Accumulated
Gain

 

Trust

 

UNII

 

Accumulated
Gain

 


 


 


 


 


 


 

Insured Municipal 2008

 

$

(6,522

)

 

$

6,522

 

 

California Insured 2008

 

$

(7,600

)

 

$

7,600

 

 

Insured Municipal

 

 

(863

)

 

 

863

 

 

Florida Insured 2008

 

 

(3,376

)

 

 

3,376

 

 

Municipal 2018

 

 

(3

)

 

 

3

 

 

Florida 2020

 

 

(8

)

 

 

8

 

 

Municipal 2020

 

 

(8,294

)

 

 

8,294

 

 

New York Insured 2008

 

 

(134

)

 

 

134

 

 

Strategic Municipal

 

 

(56

)

 

 

56

 

 

Pennsylvania Strategic

 

 

(160

)

 

 

160

 

 


Note 5. Capital

There are 200 million of $0.01 par value common shares authorized for each of the 2008 Trusts and Insured Municipal. 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, 2006, the common shares owned by an affiliate of the Advisor of each Trust were as follows:

 

 

 

 

 

 

 

Trust

 

Common
Shares Owned

 


 


 

Municipal 2020

 

 

 

8,028

 

 

Florida 2020

 

 

 

8,028

 

 

          During the years ended December 31, 2006 and 2005, the following Trusts issued additional shares under their respective dividend reinvestment plans:

 

 

 

 

 

 

 

 

 

 

Trust

 

December 31, 2006

 

December 31, 2005

 


 


 


 

Strategic Municipal

 

 

 

17,235

 

 

 

8,345

 

Pennsylvania Strategic

 

 

 

2,809

 

 

 

1,140

 

          As of December 31, 2006, 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

 


 


 


 


 


 


 

Insured Municipal 2008

 

 

 

T7

 

 

 

 

1,180

 

 

Strategic Municipal

 

 

 

W7

 

 

 

 

2,480

 

 

 

 

 

 

R7

 

 

 

 

2,060

 

 

California 2018

 

 

 

M7

 

 

 

 

2,221

 

 

Insured Municpal

 

 

 

M7

 

 

 

 

4,216

 

 

Florida 2020

 

 

 

F7

 

 

 

 

1,956

 

 

 

 

 

 

M28

 

 

 

 

2,600

 

 

New York 2018

 

 

 

T7

 

 

 

 

1,256

 

 

Municipal 2018

 

 

 

W7

 

 

 

 

2,752

 

 

Pennsylvania Strategic

 

 

 

W7

 

 

 

 

700

 

 

 

 

 

 

R7

 

 

 

 

2,752

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Municipal 2020

 

 

 

M7

 

 

 

 

2,368

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

W7

 

 

 

 

2,368

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

F7

 

 

 

 

2,368

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

          Dividends on seven-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 resents every 28 days based on the results of an auction. The dividend ranges and average on the preferred shares for each of the Trusts for the year ended December 31, 2006, were as follows:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Trust

 

Series

 

Low

 

High

 

 

Average

 

Trust

 

Series

 

Low

 

High

 

 

Average

 


 


 


 


 

 


 


 


 


 


 

 


 

Insured Municipal 2008

 

 

 

T7

 

 

 

2.00

 

4.15

 

   3.15%

 

Strategic Municipal

 

 

 

W7

 

 

 

2.92

 

3.97

 

   3.35%

 

 

 

 

 

R7

 

 

 

2.25

 

 

4.00

 

 

3.11

 

California 2018

 

 

 

M7

 

 

 

2.19

 

 

4.00

 

 

3.05

 

Insured Municpal

 

 

 

M7

 

 

 

2.25

 

 

3.75

 

 

3.19

 

Florida 2020

 

 

 

F7

 

 

 

2.78

 

 

3.95

 

 

3.36

 

 

 

 

 

M28

 

 

 

2.57

 

 

3.63

 

 

3.27

 

New York 2018

 

 

 

T7

 

 

 

2.00

 

 

3.90

 

 

2.97

 

Municipal 2018

 

 

 

W7

 

 

 

2.80

 

 

4.00

 

 

3.37

 

Pennsylvania Strategic

 

 

 

W7

 

 

 

2.21

 

 

3.95

 

 

3.24

 

 

 

 

 

R7

 

 

 

2.80

 

 

3.85

 

 

3.34

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Municipal 2020

 

 

 

M7

 

 

 

2.85

 

 

3.90

 

 

3.35

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

W7

 

 

 

2.60

 

 

4.00

 

 

3.33

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

F7

 

 

 

2.75

 

 

3.94

 

 

3.34

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

74


          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 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 Trustees for each Trust. In addition, the 1940 Act 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 subclassification as a closed-end investment company or change its fundamental investment restrictions and (c) change is business so as to cease to be an investment company.

          On June 13, 2006, Insured Municipal 2008 Trust’s Board approved the redemption of all of the 2,060 R28 preferred shares outstanding in preparation for its termination on or about December 31, 2008. The shares were redeemed at a price of $25,000 per share plus any accrued and unpaid dividends through the redemption date on July 14, 2006 (an aggregate price of $51,500,000). On June 23, 2006, Insured Municipal 2008 Trust’s Board approved the redemption of all of the 2,060 T28 preferred shares outstanding in preparation for its termination on or about December 31, 2008. The shares were redeemed at a price of $25,000 per share plus any accrued and unpaid dividends through the redemption date on July 26, 2006 (an aggregate price of $51,500,000). Management believes that the redemption of the R28 and T28 preferred shares will not affect the Insured Municipal 2008 Trust’s ability to satisfy the terms of the remaining preferred shares outstanding.

          On September 21, 2006, Insured Municipal 2008 Trust’s Board approved the redemption of 3,480 T7 preferred shares outstanding in preparation for its termination on or about December 31, 2008. The shares were redeemed at a price of $25,000 per share plus any accrued and unpaid dividends through the redemption date on October 25, 2006 (an aggregate price of $87,000,000). Management believes that the redemption of the T7 preferred shares will not affect the Insured Municipal 2008 Trust’s ability to satisfy the terms of the remaining preferred shares outstanding.

          On September 21, 2006, California Insured 2008 Trust’s Board approved the redemption of all of the 2,622 W7 preferred shares outstanding in preparation for its termination on or about December 31, 2008. The shares were redeemed at a price of $25,000 per share plus any accrued and unpaid dividends through the redemption date on October 26, 2006 (an aggregate price of $65,550,000).

          On September 21, 2006, California Insured 2008 Trust’s Board approved the redemption of all of the 1,560 W28 preferred shares outstanding in preparation for its termination on or about December 31, 2008. The shares were redeemed at a price of $25,000 per share plus any accrued and unpaid dividends through the redemption date on November 9, 2006 (an aggregate price of $39,000,000).

          On June 6, 2006, Florida Insured 2008 Trust’s Board approved the redemption of 1,200 R7 preferred shares outstanding in preparation for its termination on or about December 31, 2008. The shares were redeemed at a price of $25,000 per share plus any accrued and unpaid dividends through the redemption date on July 7, 2006 (an aggregate price of $30,000,000).

          On September 21, 2006, Florida Insured 2008 Trust’s Board approved the redemption of all of the 2,166 R7 preferred shares outstanding in preparation for its termination on or about December 31, 2008. The shares were redeemed at a price of $25,000 per share plus any accrued and unpaid dividends through the redemption date on October 27, 2006 (an aggregate price of $54,150,000).

          On June 9, 2006, New York Insured 2008 Trust’s Board approved the redemption of all of the 1,710 F28 preferred shares outstanding in preparation for its termination on or about December 31, 2008. The shares were redeemed at a price of $25,000 per share plus any accrued and unpaid dividends through the redemption date on July 10, 2006 (an aggregate price of $42,750,000).

          On September 21, 2006, New York Insured 2008 Trust’s Board approved the redemption of all of the 2,672 F7 preferred shares outstanding in preparation for its termination on or about December 31, 2008. The shares were redeemed at a price of $25,000 per share plus any accrued and unpaid dividends through the redemption date on October 23, 2006 (an aggregate price of $66,800,000).

Note 6. Dividends

Subsequent to December 31, 2006, the Board of each Trust declared dividends from undistributed earnings per common share payable February 1, 2007 to shareholders of record on January 17, 2007. The per share common dividends declared were as follows:

 

 

 

 

 

 

 

 

 

 

 

Trust

 

Common Dividend
Per Share

 

 

Trust

 

Common Dividend
Per Share

 


 


 

 


 


 

Insured Municipal 2008

 

 

$

0.066250

 

 

 

California 2018

 

 

$

0.061250

 

 

Insured Municipal

 

 

 

0.030417

 

 

 

Florida Insured 2008

 

 

 

0.037500

 

 

Municipal 2018

 

 

 

0.075500

 

 

 

Florida 2020

 

 

 

0.051000

 

 

Municipal 2020

 

 

 

0.066250

 

 

 

New York Insured 2008

 

 

 

0.045600

 

 

Strategic Municipal

 

 

 

0.091625

 

 

 

New York 2018

 

 

 

0.061250

 

 

California Insured 2008

 

 

 

0.064375

 

 

 

Pennsylvania Strategic

 

 

 

0.075500

 

 

75


          The dividends declared on preferred shares for the period January 1, 2007 to January 31, 2007 for each of the Trusts were as follows:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Trust

 

Series

 

Dividends
Declared

 

 

Trust

 

Series

 

Dividends
Declared

 


 


 


 

 


 


 


 

Insured Municipal 2008

 

 

T7

 

 

$

88,901

 

 

 

Strategic Municipal

 

 

W7

 

 

$

170,401

 

 

 

 

 

R7

 

 

 

124,342

 

 

 

California 2018

 

 

M7

 

 

 

187,630

 

 

Insured Municpal

 

 

M7

 

 

 

328,848

 

 

 

Florida 2020

 

 

F7

 

 

 

164,891

 

 

 

 

 

M28

 

 

 

169,546

 

 

 

New York 2018

 

 

T7

 

 

 

98,659

 

 

Municipal 2018

 

 

W7

 

 

 

189,998

 

 

 

Pennsylvania Strategic

 

 

W7

 

 

 

47,621

 

 

 

 

 

R7

 

 

 

189,338

 

 

 

 

 

 

 

 

 

 

 

 

 

Municipal 2020

 

 

M7

 

 

 

206,632

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

W7

 

 

 

161,450

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

F7

 

 

 

199,741

 

 

 

 

 

 

 

 

 

 

 

 

 

Note 7. Concentration Risk

The Trusts concentrate their investments in securities issued by state agencies, other governmental entities and U.S. Territories. The Trusts are more susceptible to adverse financial, social, environmental, economic, regulatory and political factors that may affect these state agencies, other governmental entities and U.S. Territories, which could seriously affect the ability of these states and their municipal subdivisions to meet continuing obligations for principle and interest payments and therefore could impact the value of the Trusts’ investments and net asset value per share, than if the Trusts were not concentrated in securities issued by state agencies, other governmental entities and U.S. Territories.

          Many municipalities insure repayment for their obligations. Although bond insurance reduces the risk of loss due to default by an issuer, such bonds remain subject to the risk that market value may fluctuate for other reasons and there is no assurance that the insurance company will meet its obligations. These securities have been identified in the Portfolios of Investments.

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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 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 statements of assets and liabilities of the Trusts, including the portfolios of investments, as of December 31, 2006, and the related statements of operations for the year then ended, and 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 Trusts’ 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. The Trusts are not required to have, nor were we engaged to perform audits of their internal control over financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Trusts’ 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, 2006, by correspondence with the custodian and brokers. We believe that our audits provide a reasonable basis for our opinion.

          In our opinion, the financial statements and financial highlights referred to above present fairly, in all material respects, the financial position of the Trusts as of December 31, 2006, 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 their 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

Boston, Massachusetts
February 23, 2007

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DIVIDEND REINVESTMENT PLANS


          Pursuant to each Trust’s Dividend Reinvestment Plan (the “Plan”), common shareholders of the 2008 Trusts and Insured Municipal 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 Computershare Trust Company, N.A. (the “Plan Agent”) in the respective Trust’s shares in accordance with 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 and/or 2020 Trust 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.

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INVESTMENT MANAGEMENT AGREEMENTS


          Under the 1940 Act, the continuation of each Trust’s investment management agreement is required to be approved annually by the Boards, including the Independent Trustees. At a meeting held on May 23, 2006, the Board of each Trust, including the Independent Trustees, met to consider the annual continuation of each management agreement in effect prior to such date (the “Old Management Agreements”). The Boards first considered the annual continuation of each Old Management Agreement without considering the impending acquisition by BlackRock, Inc. of the investment management business of Merrill Lynch & Co. Inc. (the “Transaction”) because the Old Management Agreements needed to be reapproved whether or not the Transaction closes. Accordingly, it was appropriate to review each Old Management Agreement without considering the impending Transaction, and then to separately consider the impact of the transaction on the Old Management Agreements.

          At the meeting on May 23, 2006, the Board of each Trust, including those trustees/directors of each Trust who are not interested persons of the Trusts for purposes of the Investment Company Act of 1940, as amended (the “Independent Trustee”), unanimously approved the continuance of each Old Management Agreement for each Trust with a contract considered for renewal and then approved a new management agreement for each Trust to take effect following the completion of the Transaction (the “New Management Agreements”).

Information Received by the Boards

          To assist each Board in its evaluation of the Old Management Agreements, the Independent Trustees received information from BlackRock on or about April 22, 2006 which detailed, among other things: the organization, business lines and capabilities of BlackRock Advisors, LLC, (formally BlackRock Advisors, Inc., “BlackRock”) the sub-advisors, if any, for each Trust (collectively the “Advisors,”) including the responsibilities of various departments and key personnel and biographical information relating to key personnel; financial statements for BlackRock, PNC and each Trust; the advisory and/or administrative fees paid by each Trust to the Advisors, including comparisons, compiled by an independent third party, with the management fees of funds with similar investment objectives (“Peers”); the profitability of BlackRock and certain industry profitability analyses for advisors to registered investment companies; the expenses of BlackRock in providing the various services; non-investment advisory reimbursements and “fall-out” benefits to BlackRock; the expenses of each Trust, including comparisons of the respective Trust’s expense ratios (both before and after any fee waivers) with the expense ratios of its Peers; and each Trust’s performance for the past one-, three-, five- and ten-year periods, when applicable, and each Trust’s performance compared to its Peers. This information supplemented the information received by each Board throughout the year regarding each Trust’s performance, expense ratios, portfolio composition, trade execution and compliance.

          In addition to the foregoing materials, independent legal counsel to the Independent Trustees provided a legal memorandum outlining, among other things, the duties of each Board under the 1940 Act, as well as the general principles of relevant law in reviewing and approving advisory contracts, the requirements of the 1940 Act in such matters, an advisor’s fiduciary duty with respect to advisory agreements and compensation, and the standards used by courts in determining whether investment company boards of trustees have fulfilled their duties as well as factors to be considered by the boards in voting on advisory agreements.

          The Independent Trustees reviewed this information and discussed it with independent counsel in executive session prior to the Board meeting. At the Board meeting on May 23, 2006, BlackRock made a presentation to and responded to additional questions from the Boards. After the presentations and after additional discussion, each Board considered each Old Management Agreement and, in consultation with independent counsel, reviewed the factors set out in judicial decisions and SEC statements relating to the renewal of the Old Management Agreements.

Matters Considered by the Boards

The Old Management Agreements

          In connection with their deliberations with respect to the Old Management Agreements, the Boards considered all factors they believed relevant with respect to each Trust, including the following: the nature, extent and quality of the services to be provided by the Advisors; the investment performance of each Trust; the costs of the services to be provided and profits to be realized by the Advisors and their affiliates from their relationship with the Trusts; the extent to which economies of scale would be realized as the BlackRock closed-end fund complex grows; and whether BlackRock realizes other benefits from its relationship with the Trusts.

          Nature and Quality of Investment Advisory and Sub-Advisory Services. In evaluating the nature, extent and quality of the Advisors’ services, the Boards reviewed information concerning the types of services that the Advisors provide and are expected to provide to each Trust, narrative and statistical information concerning each Trust’s performance record and how such performance compares to each Trust’s Peers, information describing BlackRock’s organization and its various departments, the experience and responsibilities of key personnel and available resources. The Boards noted the willingness of the personnel of BlackRock to engage in open, candid discussions with the Boards. The Boards further considered the quality of the Advisors’ investment process in making portfolio management decisions. Given the Boards’ experience with BlackRock, the Boards noted that they were familiar with and continue to have a good understanding of the organization, operations and personnel of BlackRock. The Boards also noted that the formation of Portfolio Review Committees and a Compliance Committee had helped the Boards to continue to improve their understanding of BlackRock’s organization, operations and personnel.

          In addition to advisory services, the Independent Trustees considered the quality of the administrative or non-investment advisory services provided to the Trusts. In this regard, the Advisors provide each Trust with such administrative and other services (exclusive of, and in addition to, any such services provided by others for the Trusts) and officers and other personnel as are necessary for the operations of the respective Trust. In addition to investment management services, the Advisors and their affiliates provide each Trust with services such as: preparing shareholder reports and communications, including annual and semi-annual financial statements and Trust websites; communications with analysts to support secondary market trading; assisting with daily accounting and pricing; preparing periodic filings with regulators and stock exchanges; overseeing and coordinating the activities of other service providers; administering and organizing Board meetings and preparing

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the Board materials for such meetings; providing legal and compliance support (such as helping to prepare proxy statements and responding to regulatory inquiries); and performing other Trust administrative tasks necessary for the operation of the respective Trust (such as tax reporting and fulfilling regulatory filing requirements). The Boards considered the Advisors’ policies and procedures for assuring compliance with applicable laws and regulations.

          Investment Performance of the Trusts. As previously noted, the Boards received performance information regarding each Trust and its Peers. Among other things, the Boards received materials reflecting each Trust’s historic performance and each Trust’s performance compared to its Peers. More specifically, each Trust’s one-, three-, five- and ten-year total returns (when applicable) were evaluated relative to its respective Peers (including the performance of individual Peers as well as the Peers’ average performance).

          The Boards reviewed a narrative analysis of the third-party Peer rankings, prepared by BlackRock at the Boards’ request. The summary placed the Peer rankings into context by analyzing various factors that affect these comparisons. In evaluating the performance information, in certain limited instances, the Boards noted that the Peers most similar to a given Trust still would not adequately reflect such Trust’s investment objectives and strategies, thereby limiting the usefulness of the comparisons of such Trust’s performance with that of its Peers. The Boards determined that ten Trusts (BRM, BMT, BPK, BKK, BFC, BJZ, BRF, BFO, BLN and BLH) with finite terms were not comparable to the Peers assigned to them by Lipper because, in accordance with their investment objectives, they manage their duration to reflect their finite lives. Because the portfolios of these ten Trusts have a shorter duration than those of their Peers, they generally will have lower returns than their Peers, all other things being equal, in order to seek to return to investors their initial investment at the end of the life of these Trusts. The Boards also noted that each of these ten Trusts performed at least as well as their benchmark in at least two periods in each of the past one-, three-and five-year periods or in all applicable periods if not all periods were applicable.

          Of the three other Trusts, the Boards noted that BSD had performed better than or equal to the median of its Peers and benchmarks in each of the past one-, three- and five-year periods. The Boards also noted that BPS had performed worse than the median of its Peers in at least one of these periods or worse than its applicable benchmark in more than one of these periods. The Boards considered the following reasons why BPS may have underperformed its Peers or their benchmarks, but also noted that it is often difficult to determine why a Trust underperformed a Peer because it is difficult to obtain perfect information with respect to the Peers.

          The Board of BPS noted that BPS had under-performed its respective Peers or its benchmark for one or more periods. The Board considered that, with respect to a Trust investing primarily in municipal securities, the Advisor generally limits lengthening the duration of such Trust in response to changing interest rate environments because the shorter duration bonds owned by the Trust generally have yields higher than the coupons on longer duration bonds available in the market today. Accordingly, by retaining the short duration bonds currently in the portfolio of BPS, the Advisor believes it is better able to maintain the current dividend levels of BPS, albeit at the expense of a lower total return than they may have otherwise had with a longer duration portfolio. In addition, in a rising interest rate environment where the yield curve is normal, the Advisor believes that BPS portfolio will have less interest rate risk than a portfolio of longer duration bonds.

          After considering this information, the Boards concluded that the performance of each Trust, in light of and after considering the other facts and circumstances applicable to each Trust, supports a conclusion that each Trust’s Current Agreement should be renewed.

          Fees and Expenses. In evaluating the management fees and expenses that a Trust is expected to bear, the Boards considered each Trust’s current management fee structure and the Trust’s expected expense ratios in absolute terms as well as relative to the fees and expense ratios of applicable Peers. In reviewing fees, the Boards, among other things, reviewed comparisons of each Trust’s gross management fees before and after any fee waivers and total expense ratios after any applicable waivers with those of the applicable Peers. The Boards also reviewed a narrative analysis of the Peer rankings that was prepared by an independent third party and summarized by BlackRock at the request of the Boards. This summary placed the rankings into context by analyzing various factors that affect these comparisons.

          The Boards noted that, of the 12 Trusts with investment advisory agreements subject to re-approval at the meeting, eight Trusts pay fees lower than or equal to the median fees paid by their Peers in each of (i) contractual management fees payable by a Trust prior to any fee waivers (“contractual management fees”), (ii) actual management fees paid by a Trust after taking into consideration fee waivers (“actual management fees”) and (c) total expenses. Of the remaining four Trusts: BLH and BFO had contractual management fees and total expenses better than or equal to the median of their Peers, but had actual management fees worse than the median; and BFC and BRM had contractual management fees better than or equal to the median of their Peers, but had actual management fees and total expenses worse than the median. The Board noted the following reasons why these four Trusts actual management fees or total expenses higher than the median of their Peers:

 

 

De minimis. The Boards of BLH, BFO and BRM noted that these Trusts pay actual management fees and/or incur total expenses that are no more than 4 bps (no more than 6%) higher than the median of their respective Peers. Nevertheless, all three of these Trusts have contractual management fees that are lower than or equal to the median of their peers. In addition, BLH and BFO incur total expenses that are lower than or equal to the median.

 

 

Other Factors. The Board noted that BFC has contractual management fees which are better or equal to the median of its peers. The Board of BFC noted that the Trust pays actual management fees and incurs total expenses that are worse than the median of its Peers, which may be attributable to the other funds temporarily waiving fees.

          The Boards also compared the management fees charged to the Trusts and other investment companies by the Advisors to the management fees the Advisors charge other types of clients (such as open-end investment companies and separately managed institutional accounts). With respect to open-end investment companies, the management fees charged to the Trusts generally were higher than those charged to the open-end investment companies. The Boards also noted that the Advisors provide the Trusts with certain services not provided to open-end funds, such as leverage management in connection with the issuance of preferred shares, stock exchange listing compliance requirements, rating agency compliance with respect to the leverage employed by the Trusts and secondary market support and other services not provided to the Trusts, such as monitoring of subscriptions and redemptions. With respect to separately managed institutional accounts, the management fees for such

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accounts were generally lower than those charged to the comparable Trusts. The Boards noted, however, the various services that are provided and the costs incurred by the Advisors in managing and operating the Trusts. For instance, the Advisors and their affiliates provide numerous services to the Trusts that are not provided to institutional accounts including, but not limited to: preparing shareholder reports and communications, including annual and semi-annual financial statements; preparing periodic filings with regulators and stock exchanges; overseeing and coordinating the activities of other service providers; administering and organizing Board meetings and preparing the Board materials for such meetings; income monitoring; expense budgeting; preparing proxy statements; and performing other Trust administrative tasks necessary for the operation of the respective Trust (such as tax reporting and fulfilling regulatory filing requirements). Further, the Boards noted the increased compliance requirements for the Trusts in light of new SEC regulations and other legislations. These services are generally not required to the same extent, if at all, for separate accounts.

          In connection with the Boards’ consideration of this information, the Boards reviewed the considerable investment management experience of the Advisors and considered the high level of investment management, administrative and other services provided by the Advisors. In light of these factors and the other facts and circumstances applicable to each Trust, the Boards concluded that the fees paid and expenses incurred by each Trust under its Old Management Agreements supports a conclusion that each Trust’s Old Management Agreements should be renewed.

          Profitability. The Trustees also considered BlackRock’s profitability in conjunction with their review of fees. The Trustees reviewed BlackRock’s revenues, expenses and profitability margins on a before-and after-tax basis. In reviewing profitability, the Trustees recognized that one of the most difficult issues in determining profitability is establishing a method of allocating expenses. The Trustees also reviewed BlackRock’s assumptions and methodology of allocating expenses, noting the inherent limitations in allocating costs among various advisory products. The Boards also recognized that individual fund or product line profitability of other advisors is generally not publicly available.

          The Boards recognized that profitability may be affected by numerous factors including, among other things, the types of funds managed, expense allocations and business mix, and therefore comparability of profitability is somewhat limited. Nevertheless, to the extent available, the Boards considered BlackRock’s pre-tax profit margin compared to the pre-tax profitability of various publicly-traded investment management companies and/or investment management companies that publicly disclose some or all of their financial results. The comparison indicated that BlackRock’s pre-tax profitability was in the second quartile of the 15 companies compared (including BlackRock), with the most profitable quartile being ranked first and the least profitable quartile being ranked fourth.

          In evaluating the reasonableness of the Advisors’ compensation, the Boards also considered any other revenues paid to the Advisors, including partial reimbursements paid to the Advisors for certain non-investment advisory services. The Boards noted that these payments were less than the Advisors’ costs for providing these services. The Boards also considered indirect benefits that the Advisors and their affiliates are expected to receive that are attributable to their management of the Trusts.

          In reviewing each Trust’s fees and expenses, the Boards examined the potential benefits of economies of scale, and whether any economies of scale should be reflected in the Trusts’ fee structures, for example through the use of breakpoints. In this connection, the Boards reviewed information provided by BlackRock, noting that most closed-end fund complexes do not have fund-level breakpoints, as closed-end funds generally do not experience substantial growth after their initial public offering and each fund is managed independently consistent with its own investment objectives. The information also revealed that only one closed-end fund complex used a complex-level breakpoint structure for advisory fees, and that this complex generally is homogeneous with regard to the types of funds managed and is about three times as large as the Trusts’ complex.

          The Boards concluded that BlackRock’s profitability, in light of all the other facts and circumstances applicable to each Trust, supports a conclusion that each Trust’s Current Agreements should be renewed.

          Other Benefits. In evaluating fees, the Boards also considered indirect benefits or profits the Advisors or their affiliates may receive as a result of their relationships with the Trusts. The Trustees, including the Independent Trustees, considered the intangible benefits that accrue to the Advisors and their affiliates by virtue of their relationships with the Trusts, including potential benefits accruing to the Advisors and their affiliates as a result of participating in offerings of the Trusts’ shares, potentially stronger relationships with members of the broker-dealer community, increased name recognition of the Advisors and their affiliates, enhanced sales of other investment funds and products sponsored by the Advisors and their affiliates and increased assets under management which may increase the benefits realized by the Advisors from soft dollar arrangements with broker-dealers. The Boards also considered the unquantifiable nature of these potential benefits.

          Miscellaneous. During the Boards’ deliberations in connection with the Old Management Agreements, the Boards were aware that the Advisor pays compensation, out of its own assets, to the lead underwriter and to certain qualifying underwriters of many of its closed-end funds, and to employees of the Advisors’ affiliates that participated in the offering of such funds. The Boards considered whether the management fee met applicable standards in light of the services provided by the Advisors, without regard to whether the Advisors ultimately pay any portion of the anticipated compensation to the underwriters.

          Conclusion with respect to the Old Management Agreements. In reviewing the Old Management Agreements without considering the impending Transaction, the Trustees did not identify any single factor discussed above as all-important or controlling. The Trustees, including the Independent Trustees, unanimously determined that each of the factors described above, in light of all the other factors and all of the facts and circumstances applicable to each respective Trust, was acceptable for each Trust and supported the Trustees’ conclusion that the terms of each Old Management Agreement were fair and reasonable, that the respective Trust’s fees are reasonable in light of the services provided to the respective Trust, and that each Old Management Agreement should be approved.

The Transaction

          On September 29, 2006, Merrill Lynch contributed its investment management business, MLIM, to BlackRock, one of the largest publicly traded investment management firms in the United States and the parent company of the Advisor to form a new asset management company

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that is one of the world’s preeminent, diversified global money management organizations with approximately $1 trillion in assets under management. Based in New York, BlackRock manages assets for institutional and individual investors worldwide through a variety of equity, fixed income, cash management and alternative investment products. The new company operates under the BlackRock name and is governed by a board of directors with a majority of independent members. The new company offers a full range of equity, fixed income, cash management and alternative investment products with strong representation in both retail and institutional channels, in the United States and in non-U.S. markets. It will have over 4,500 employees in 18 countries and a major presence in most key markets, including the United States, the United Kingdom, Asia, Australia, the Middle East and Europe. Merrill Lynch owns no more than 49.8% of the total capital stock of the company on a fully diluted basis and it owns no more than 45% of the new company’s voting power, and The PNC Financial Services Group, Inc. (“PNC”), which previously held a majority interest in BlackRock, retains approximately 34% of the new company’s common stock. Each of Merrill Lynch and PNC has agreed that it will vote all of its shares on all matters in accordance with the recommendation of BlackRock’s board of directors.

The New Management Agreements

          Consequences of the Transaction. On February 23, 2006, April 21, 2006 and May 23, 2006, members of BlackRock management made presentations on the Transaction to the Trustee and the Trustees discussed with management and amongst themselves management’s general plans and intentions regarding the Trusts, including the preservation, strengthening and growth of BlackRock’s business and its combination with MLIM’s business. The Boards also inquired about the plans for and anticipated roles and responsibilities of certain BlackRock employees and officers after the Transaction. The Independent Trustees also met in executive session to discuss the Transaction. After these meetings, BlackRock continued to update the Boards with respect to its plans to integrate the operations of BlackRock and MLIM and the potential impact of those plans on the Trusts as those plans were further developed.

          At the Board meeting on May 23, 2006, after considering and approving the Old Management Agreements, the Boards (including the Independent Trustees) then considered the information received at or prior to the meeting and the consequences of the Transaction to each Trust, including, among other things:

 

 

 

          (i) that BlackRock, MLIM and their investment advisory subsidiaries are experienced and respected asset management firms, and that BlackRock advised the Boards that in connection with the closing of the Transaction, it intends to take steps to combine the investment management operations of BlackRock and MLIM, which, among other things, may involve sharing common systems and procedures, employees (including portfolio managers), investment and trading platforms, and other resources. Furthermore, these combination processes will result in changes to portfolio management teams for each of the Trusts;

 

 

 

          (ii) that BlackRock advised the Boards that following the Transaction, there is not expected to be any diminution in the nature, quality and extent of services provided to the Trusts and their shareholders by the Advisors, including compliance services;

 

 

 

          (iii) that BlackRock advised the Boards that it has no present intention to alter the expense waivers and reimbursements currently in effect for certain of the Trusts;

 

 

 

          (iv) the experience, expertise, resources and performance of MLIM that will be contributed to BlackRock after the closing of the Transaction and their anticipated impact on BlackRock’s ability to manage the Trusts;

 

 

 

          (v) that BlackRock and MLIM would derive benefits from the Transaction and that as a result, they have a financial interest in the matters that were being considered;

 

 

 

          (vi) the potential effects of regulatory restrictions on the Trusts as a result of Merrill Lynch’s equity stake in BlackRock after the Transaction;

 

 

 

          (vii) the fact that each Trust’s aggregate investment advisory and sub-advisory fees payable under the New Management Agreements and the Old Management Agreements are identical;

 

 

 

          (viii) the terms of the New Management Agreements, including the differences from the Old Management Agreements (see “Comparison of the Old Management Agreements to the New Management Agreements” above);

 

 

 

          (ix) that the Trusts would not bear the costs of obtaining shareholder approval of the New Agreements; and

 

 

 

          (x) that BlackRock and Merrill Lynch have agreed to conduct their respective businesses (and use reasonable best efforts to cause their respective affiliates to conduct their respective businesses) to enable the conditions of Section 15(f) to be true in relation to any registered investment companies advised by MLIM and registered under the 1940 Act and have agreed to the same conduct in relation to the BlackRock registered investment companies to the extent it is determined the Transaction is an assignment under the 1940 Act.

     Nature and Quality of Investment Advisory and Sub-Advisory Services. The Boards considered the expected impact of the Transaction on the operations, facilities, organization and personnel of the Advisors, the potential implications of regulatory restrictions on the Trusts following the Transaction and the ability of the Advisors to perform their duties after the Transaction. The Boards considered that the services to be provided and the standard of care under the New Agreements are the same as under the Current Agreements. The Boards also considered statements by management of BlackRock that, in connection with integrating the operations of the Advisors and MLIM, the objective was to preserve the best of both organizations in order to enhance BlackRock’s ability to provide investment advisory services following completion of the Transaction.

     The Boards noted that it is impossible to predict with certainty the impact of the Transaction on the nature, quality and extent of the services provided by the Advisors to the Trusts, but concluded based on the information currently available and in light of all of the current facts and circumstances that the Transaction is likely to provide the Advisors with additional resources with which to serve the Trusts and was not expected to adversely affect the nature, quality and extent of the services to be provided to the Trusts and their shareholders by the Advisors and was not expected to materially adversely affect the ability of the Advisors to provide those services.

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          At the May 23rd meetings of the Boards, BlackRock informed the Boards that, following completion of the Transaction, a team primarily comprised of MLIM professionals would manage the portfolios of those Trusts. BlackRock discussed with the Boards the reasons for this proposed change at the August meetings of the Boards for the Boards’ consideration at the time. If the Boards did not object to this change, the following team members generally would oversee investment policies for those Trusts that invest primarily in municipal securities. This team is one of the largest managers of municipal debt with approximately $67.5 billion in assets under management as of March 31, 2006, including 31 closed-end investment companies with $16.2 billion in assets, $8 billion in retail separate accounts and nine open-end mutual funds with $4.1 billion in assets.

 

 

 

 

Robert A. DiMella. Mr. DiMella had been a Managing Director of MLIM since 2004 and was a Director from 2002 to 2004. He had been a portfolio manager with MLIM since 1993.

 

 

 

 

William R. Bock. Mr. Bock had been a Director of MLIM since 2005, and was a Vice President from 1989 to 2005. Mr. Bock had been a portfolio manager with MLIM since 1989.

 

 

 

 

Timothy T. Browse. Mr. Browse had been a Vice President (Municipal Tax-Exempt Fund Management) of and portfolio manager with MLIM since 2004. He was also Vice President, Portfolio Manager and team leader of the Municipal Investments Team with Lord Abbett & Co. from 2000 to 2003.

 

 

 

 

Theodore R. Jaeckel, Jr., CFA. Mr. Jaeckel had been a Director (Municipal Tax-Exempt Fund Management) of MLIM since 1997. Mr. Jaeckel had been a portfolio manager with MLIM since 1991.

 

 

 

 

Walter O’Connor. Mr. O’Connor had been a Managing Director of MLIM since 2003, was a Director of MLIM from 1998 to 2003 and was a Vice President of MLIM from 1992 to 1998. He had been a portfolio manager with MLIM since 1991.

 

 

 

 

Robert D. Sneeden. Mr. Sneeden had been a Vice President of MLIM since 1998 and was an Assistant Vice President from 1994 to1998. Mr. Sneeden had been a portfolio manager with MLIM since 1994.

          Investment Performance of the Trusts. The Boards examined MLIM’s investment performance with respect to its closed-end funds. The Boards noted the Advisors’ and MLIM’s considerable investment management experience and capabilities. The Boards considered this information together with the level of services expected to be provided to the Trusts. Although the Boards noted that it is impossible to predict the effect, if any, that consummation of the Transaction would have on the future performance of the Trusts, the Boards concluded that the information currently available, in light of all of the current facts and circumstances, supported approving the New Management Agreements.

          Fees. The Boards noted that the fees payable by the Trusts under the New Management Agreements are identical to the fees payable under the Old Management Agreements. The Boards also considered the fees paid by the MLIM closed-end funds. In light of (i) the Boards’ approval of the fees paid by each Trust pursuant to the Old Management Agreements earlier at the May 23rd meeting, (ii) the fact that the Transaction would cause no change to the fees paid by any Trust and (iii) the Boards’ earlier conclusion with respect to the services expected to be provided to the Trusts under the New Management Agreements, the Boards concluded that the fee structure under the New Management Agreements was reasonable.

          Profitability. Management of the Advisors stated to the Boards that, following the Transaction, the current intention is to continue to determine profitability and report profitability to the Boards in the same way as they did prior to the Transaction, subject to management’s desire to preserve the best practices of MLIM. Management of the Advisors stated that any changes in the methods used to determine profitability and report profitability to the Boards would be discussed with the Boards. The Boards considered the potential for increased economies of scale as a result of the Transaction and whether any economies of scale should be reflected in the Trusts’ fee structures. The Boards also considered that the process of integrating the operations of the Advisors and MLIM was in the early stages and that considerable expense would be incurred in connection with integrating such operations, all of which made it difficult to conclude that economies of scale would be realized as a result of the Transaction. In light of the foregoing, the Boards concluded that, at this time, no changes were necessary to the fee structure of the Trusts as a result of the Transaction.

          Other Benefits. In evaluating ancillary benefits to be received by the Advisors and their affiliates under the New Management Agreements, the Boards considered whether the Transaction would have an impact on the ancillary benefits received by the Advisors by virtue of the Old Management Agreements. Based on its review of the materials provided, including materials received in connection with its approval of the continuance of each Old Management Agreement earlier at the May 23rd meetings of the Boards and its discussions with the Advisors, the Boards noted that such benefits were difficult to quantify with certainty at this time and indicated that it would continue to evaluate them going forward.

          Conclusion with respect to the New Management Agreements. The Trustees did not identify any single consequence of the Transaction discussed above as all-important or controlling. The Boards determined that all of the factors referred to in their evaluation of the Old Management Agreements described above under “Matters Considered by the Boards – The Old Management Agreements” are applicable to the evaluation of the New Management Agreements and concluded that these factors, in light of all the other factors and all of the facts and circumstances applicable to each Trust, were acceptable for each Trust and supported the Trustees’ conclusion that the terms of each New Management Agreement were fair and reasonable, that the fees in each New Management Agreement are fair and reasonable in light of the services provided to the respective Trust and that each New Management Agreement should be approved.

Shareholder Meeting

          At the shareholder meeting for each Trust held on August 23, 2006, the shareholders of each Trust approved the New Management Agreement for each Trust.

83


 

ADDITIONAL INFORMATION


60 Day Notice

          We are required by the Internal Revenue Code to advise you within 60 days of a Trust’s tax year-end as to the federal tax status of dividends paid by the Trusts during such tax year. All of the net investment income distributions paid by the BlackRock Closed-End Funds (Insured Municipal 2008 Term Trust – BRM, Insured Municipal Term Trust – BMT, Municipal 2018 Term Trust – BPK, Municipal 2020 Term Trust – BKK, Strategic Municipal Trust – BSD, California Insured Municipal 2008 Term Trust – BFC, California Municipal 2018 Term Trust – BJZ, Florida Insured Municipal 2008 Term Trust – BRF, Florida Municipal 2020 Term Trust – BFO, New York Insured Municipal 2008 Term Trust – BLN, New York Municipal 2018 Term Trust – BLH and Pennsylvania Strategic Municipal Trust - BPS) during the taxable year ended December 31, 2006 qualify as tax-exempt interest dividends for Federal income tax purposes.

          Additionally, the following summarizes the taxable per share distributions paid by the Fund during the year:

 

 

 

 

 

 

 

 

 

 

 

 

Payable
Date

 

Long-Term
Capital Gains

 

 

 


 


 

Insured Municipal 2008 Term Trust - BRM

 

 

 

 

 

 

 

Common Shareholders

 

 

10/02/06

 

 

$

0.010840

 

 

Preferred Shareholders

 

 

 

 

 

 

 

 

 

SeriesT7

 

 

09/20/06

 

 

$

10.57

 

 

Series R7

 

 

09/15/06

 

 

$

10.25

 

 

 

Insured Municipal Term Trust - BMT

 

 

 

 

 

 

 

 

 

Common Shareholders

 

 

10/02/06

 

 

$

0.002540

 

 

Preferred Shareholders

 

 

 

 

 

 

 

 

 

Series M7

 

 

09/19/06

 

 

$

3.84

 

 

Series M28

 

 

10/24/06

 

 

$

3.90

 

 

 

Florida Insured Municipal 2008 Term Trust - BRF

 

 

 

 

 

 

 

 

 

Common Shareholders

 

 

10/02/06

 

 

$

0.001690

 

 

Preferred Shareholders

 

 

 

 

 

 

 

 

 

Series R7

 

 

09/15/06

 

 

$

2.43

 

 

 

New York Insured Municipal 2008 Term Trust - BLN

 

 

 

 

 

 

 

 

 

Common Shareholders

 

 

10/02/06

 

 

$

0.001960

 

 

Preferred Shareholders

 

 

 

 

 

 

 

 

 

Series F7

 

 

09/11/06

 

 

$

2.0689

 

 

          In January 2007, a form 1099-DIV was sent to shareholders providing the amount and composition of distributions and information with respect to their appropriate tax treatment.

Shareholder Meeting

          A Special Meeting of Shareholders of the BlackRock Closed-End Funds was held on August 23, 2006 for shareholders of record as of June 5, 2006, to approve a new Investment Management Agreement and Sub-Advisory Agreement for each of the following Trusts:

          Approved the Investment Management Agreement as follows:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Votes For

 

Votes Against

 

Votes Abstain

 

 

 


 


 


 

Insured Municipal 2008

 

 

 

13,267,742

 

 

 

 

633,187

 

 

 

 

766,672

 

 

Insured Municipal

 

 

 

13,086,050

 

 

 

 

757,467

 

 

 

 

775,883

 

 

Municipal 2018

 

 

 

7,966,037

 

 

 

 

360,109

 

 

 

 

428,619

 

 

Municipal 2020

 

 

 

9,683,396

 

 

 

 

609,558

 

 

 

 

629,377

 

 

Strategic Municipal

 

 

 

3,810,454

 

 

 

 

153,809

 

 

 

 

210,041

 

 

California Insured 2008

 

 

 

4,908,924

 

 

 

 

238,329

 

 

 

 

320,864

 

 

California Municipal 2018

 

 

 

3,225,427

 

 

 

 

94,367

 

 

 

 

214,367

 

 

Florida Insured 2008

 

 

 

4,347,904

 

 

 

 

329,501

 

 

 

 

200,953

 

 

Florida Municipal 2020

 

 

 

2,854,763

 

 

 

 

114,926

 

 

 

 

150,442

 

 

New York Insured 2008

 

 

 

5,421,227

 

 

 

 

241,788

 

 

 

 

266,290

 

 

New York Municipal 2018

 

 

 

1,711,159

 

 

 

 

71,601

 

 

 

 

135,944

 

 

Pennsylvania Strategic

 

 

 

1,050,071

 

 

 

 

53,524

 

 

 

 

44,806

 

 

84


          Approved the Sub-Advisory Agreement as follows:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Votes For

 

Votes Against

 

Votes Abstain

 

 

 


 


 


 

Municipal 2018

 

 

7,973,394

 

 

 

362,680

 

 

 

 

418,691

 

 

Municipal 2020

 

 

9,636,247

 

 

 

618,978

 

 

 

 

667,106

 

 

Strategic Municipal

 

 

3,781,859

 

 

 

180,020

 

 

 

 

212,425

 

 

California Municipal 2018

 

 

3,205,421

 

 

 

105,003

 

 

 

 

223,737

 

 

Florida Municipal 2020

 

 

2,849,919

 

 

 

120,748

 

 

 

 

149,464

 

 

New York Municipal 2018

 

 

1,696,466

 

 

 

72,897

 

 

 

 

149,341

 

 

Pennsylvania Strategic

 

 

1,053,331

 

 

 

52,314

 

 

 

 

42,756

 

 

          The Joint Annual Meeting of Shareholders was held on May 23, 2006 for shareholders of record as of February 28, 2006, to elect a certain number of Trustees for each of the following Trusts to three-year terms expiring in 2009:

          Approved the Class I Directors/Trustees as follows:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Richard E. Cavanagh

 

R. Glenn Hubbard

 

 

 


 


 

 

 

Votes For

 

Votes Withheld

 

Votes For

 

Votes Withheld

 

 

 


 


 


 


 

Insured Municipal 2008

 

 

25,295,200

 

 

 

631,931

 

 

 

25,294,335

 

 

632,796

 

Insured Municipal

 

 

24,374,551

 

 

 

223,410

 

 

 

N/A

 

 

N/A

 

Municipal 2018

 

 

15,389,357

 

 

 

200,991

 

 

 

N/A

 

 

N/A

 

Municipal 2020

 

 

19,631,834

 

 

 

243,625

 

 

 

N/A

 

 

N/A

 

Municipal Strategic

 

 

6,993,827

 

 

 

130,358

 

 

 

N/A

 

 

N/A

 

California Insured 2008

 

 

9,452,733

 

 

 

154,576

 

 

 

9,451,133

 

 

156,176

 

California 2018

 

 

5,756,334

 

 

 

45,516

 

 

 

N/A

 

 

N/A

 

Florida Insured 2008

 

 

7,993,400

 

 

 

118,402

 

 

 

7,993,398

 

 

118,404

 

Florida 2020

 

 

4,418,857

 

 

 

29,378

 

 

 

N/A

 

 

N/A

 

New York Insured 2008

 

 

9,608,707

 

 

 

1,259,903

 

 

 

9,605,436

 

 

1,263,174

 

New York 2018

 

 

3,335,905

 

 

 

73,570

 

 

 

N/A

 

 

N/A

 

Pennsylvania Strategic

 

 

1,924,580

 

 

 

40,063

 

 

 

N/A

 

 

N/A

 

          Approved the Class II Directors/Trustees as follows:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Frank J. Fabozzi

 

Kathleen F. Feldstein

 

Ralph L. Schlosstein

 

 

 


 


 


 

 

 

Votes For

 

Votes Withheld

 

Votes For

 

Votes Withheld

 

Votes For

 

Votes Withheld

 

 

 


 


 


 


 


 


 

Insured Municipal 2008

 

 

N/A

 

 

N/A

 

 

10,408

1

 

24

1

 

N/A

 

 

N/A

 

Insured Municipal

 

 

6,612

1

 

67

1

 

6,612

1

 

67

1

 

24,374,685

 

 

223,276

 

Municipal 2018

 

 

5,074

1

 

17

1

 

5,074

1

 

17

1

 

15,388,625

 

 

201,723

 

Municipal 2020

 

 

N/A

 

 

N/A

 

 

6,961

1

 

16

1

 

N/A

 

 

N/A

 

Municipal Target

 

 

38,569,035

 

 

4,230,560

 

 

38,547,029

 

 

4,252,566

 

 

38,565,307

 

 

4,234,288

 

Municipal Strategic

 

 

N/A

 

 

N/A

 

 

2,204

1

 

132

1

 

N/A

 

 

N/A

 

California Insured 2008

 

 

N/A

 

 

N/A

 

 

3,831

1

 

9

1

 

N/A

 

 

N/A

 

California 2018

 

 

1,715

1

 

1

1

 

1,715

1

 

1

1

 

5,756,334

 

 

45,516

 

Florida Insured 2008

 

 

N/A

 

 

N/A

 

 

3,303

1

 

2

1

 

N/A

 

 

N/A

 

Florida 2020

 

 

N/A

 

 

N/A

 

 

1,941

1

 

15

1

 

N/A

 

 

N/A

 

New York Insured 2008

 

 

N/A

 

 

N/A

 

 

4,314

1

 

4

1

 

N/A

 

 

N/A

 

New York 2018

 

 

1,186

1

 

69

1

 

1,186

1

 

69

1

 

3,332,351

 

 

77,124

 

Pennsylvania Strategic

 

 

N/A

 

 

N/A

 

 

669

1

 

27

1

 

N/A

 

 

N/A

 

          Approved the Class III Directors/Trustees as follows:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Andrew F. Brimmer

 

Kent Dixon

 

Robert S. Kapito

 

 

 


 


 


 

 

 

Votes For

 

Votes Withheld

 

Votes For

 

Votes Withheld

 

Votes For

 

Votes Withheld

 

 

 


 


 


 


 


 


 

Municipal 2020

 

 

19,619,488

 

 

 

255,971

 

 

 

19,629,681

 

 

 

245,778

 

 

 

19,636,006

 

 

 

239,453

 

 

Municipal Strategic

 

 

6,993,469

 

 

 

130,716

 

 

 

6,995,402

 

 

 

128,783

 

 

 

6,995,925

 

 

 

128,260

 

 

Florida 2020

 

 

4,416,851

 

 

 

31,384

 

 

 

4,420,507

 

 

 

27,728

 

 

 

4,415,223

 

 

 

33,012

 

 

Pennsylvania Strategic

 

 

1,910,261

 

 

 

54,382

 

 

 

1,914,378

 

 

 

50,265

 

 

 

1,923,680

 

 

 

40,963

 

 

85


          The following Trusts had an additional proposal (Proposal #2) to amend its respective Declaration of Trust to expand the authority of the executive committee of the Board of Trustees:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Votes For

 

Votes Against

 

Votes Withheld

 

 

 


 


 


 

Strategic Municipal

 

 

6,920,390

 

 

 

73,781

 

 

 

 

130,014

 

 

Pennsylvania Strategic

 

 

1,884,092

 

 

 

31,304

 

 

 

 

49,247

 

 

          The following Trusts had an additional proposal (Proposal #3) to amend its respective Certificate of Designation or Statement of Preferences, as appropriate, to revise the language regarding preferred shares to allow the Trusts to follow the most recent guidelines of S&P, Moody’s or Fitch ratings, as appropriate, for credit rating criteria in effect from time to time to maintain a “AAA” rating on preferred shares1:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Votes For

 

Votes Against

 

Votes Withheld

 

 

 


 


 


 

Insured Municipal 2008

 

 

10,334

 

 

 

57

 

 

 

 

40

 

 

Insured Municipal

 

 

6,594

 

 

 

1

 

 

 

 

84

 

 

Strategic Municipal

 

 

2,336

 

 

 

0

 

 

 

 

0

 

 

California Insured 2008

 

 

3,826

 

 

 

10

 

 

 

 

4

 

 

Florida Insured 2008

 

 

3,280

 

 

 

23

 

 

 

 

2

 

 

New York Insured 2008

 

 

4,270

 

 

 

8

 

 

 

 

40

 

 


 

 


1

Voted on by holders of preferred shares only.

          On February 22, 2006, the Board of Insured Municipal 2008, Insured Municipal, California Insured 2008, Florida Insured 2008 and New York Insured 2008 approved a change to each Trusts’ non-fundamental policy to permit each Trust to purchase short-term securities if they have the highest short-term rating assigned by at least one of Moody’s, S&P or Fitch, even if the long-term rating is not AAA.

          Each Trust listed for trading on the New York 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 the AMEX’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.

          The Trusts do not make available copies of their respective Statements of Additional Information because the Trusts’ shares are not continuously offered, which means that the Statement of Additional Information of each Trust has not been updated after completion of such Trust’s offering and the information contained in each Trust’s Statement of Additional Information may have become outdated.

          During the period, there were no material changes in any Trust’s investment objective or policies or to any Trust’s charters or by-laws that were not approved by the shareholders or in the principle risk factors associated with investment in the Trusts.

          Quarterly performance and other information regarding the Trusts may be found on BlackRock’s Web site, which can be accessed at http://www1.blackrock.com. This reference to BlackRock’s Web site 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, Donald Burke, Anne Ackerley, Bartholomew Battista, Vincent Tritto and Brian Kindelan—Managing Directors of the Advisor and the Sub-Advisor, Neal Andrews and James Kong—Managing Directors of the Sub-Advisor.

Important Information Regarding the BlackRock Closed-End Funds Annual Investor Update

          The Annual Investor Update (“Update”) is available on the Internet and may be accessed through BlackRock’s Web site at http://www1.black-rock.com. The Update provides information on the fixed income markets and summaries of BlackRock Closed-End Funds’ investment objectives and strategies. It also contains recent news regarding the BlackRock Closed-End Funds.

          Historically, BlackRock provided this information in materials mailed with the Trusts’ annual report. However, we believe that making this information available through BlackRock’s Web site allows us to communicate more fully and efficiently with the Trusts’ shareholders.

          If you would like to receive a hard copy of the BlackRock Closed-End Funds Annual Investor Update, please call (800) 699-1BFM.

86


 

DIRECTORS/TRUSTEES INFORMATION (Unaudited)



 

 

 

 

 

 

 

 

 

 

 

 

 

Name, address, age

 

Current positions
held with the Trusts

 

Term of office and
length of time
served

 

Principal occupations
during the past five years

 

Number of
portfolios
overseen within
the fund
complex1

 

Other Directorships
held outside the fund
complex1

 

Events or transactions by
reason of which the Trustee
is an interested person as
defined in Section 2(a)
(19) of the 1940 Act


Interested Trustees2


Ralph L. Schlosstein
BlackRock, Inc.
40 East 52nd Street
New York, NY
10022
Age: 55

 

Chairman of the Board3

 

3 years4/since inception

 

Director since 1999 and President of BlackRock, Inc. since its formation in 1998 and of BlackRock, Inc.’s predecessor entities since 1988. Member of the Management Committee and Investment Strategy Group of BlackRock, Inc. Formerly, Managing Director of Lehman Brothers, Inc. and Cohead of its Mortgage and Savings Institutions Group. Chairman and President of the BlackRock Liquidity Funds and Director of several of BlackRock’s alternative investment vehicles.

 

68

 

Member of the Visiting Board of Overseers of the John F. Kennedy School of Government at Harvard University, a member of the board of the Financial Institutions Center of The Wharton School of the University of Pennsylvania, a trustee of the 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 of The Public Theater in New York City and the James Beard Foundation. Formerly, a director of Pulte Corporation, the nation’s largest homebuilder, a Trustee of Denison University and a member of Fannie Mae’s Advisory Council.

 

Director and President of the Advisor.

 


Robert S. Kapito
BlackRock, Inc.
40 East 52nd Street
New York, NY
10022
Age: 49

 

President and Trustee5

 

3 years4/since August 22, 2002

 

Vice Chairman of BlackRock, Inc. Head of the Portfolio Management Group. Also a member of the Executive Committee, the Management Committee and the Global Fixed Income and Global Equity Operating Committees of BlackRock. Responsible for the port- folio management of the Fixed Income, Equity, Liquidity, and Alternative Investment Groups of BlackRock.

 

58

 

Chairman of the Hope and Heroes Children’s Cancer Fund. President of the Board of Directors of the Periwinkle National Theatre for Young Audiences.

 

Director and Vice Chairman of the Advisor.


87


 

DIRECTORS/TRUSTEES INFORMATION (Unaudited) (Continued)



 

 

 

 

 

 

 

 

 

 

 

Name, address, age

 

Current positions
held with the Trusts

 

Term of office and
length of time
served

 

Principal occupations
during the past five years

 

Number of
portfolios
overseen within
the fund
complex1

 

Other Directorships
held outside the fund
complex


Independent Trustees (continued)


Andrew F. Brimmer
P.O. Box 4546
New York, NY
10163-4546
Age: 80

 

Lead Trustee Audit Committee Chairman6,7

 

3 years4/since inception

 

President of Brimmer & Company, Inc., a Washington, D.C.-based economic and financial consulting firm, also Wilmer D. Barrett Professor of Economics, University of Massachusetts – Amherst. Formerly member of the Board of Governors of the Federal Reserve System. Former Chairman, District of Columbia Financial Control Board.

 

58

 

Former Director of CarrAmerica Realty Corporation and Borg- Warner Automotive, Airborne Express, BankAmerica Corporation (Bank of America), BellSouth 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
P.O. Box 4546
New York, NY
10163-4546
Age: 60

 

Trustee Audit Committee Member8

 

3 years4/since inception

 

President and Chief Executive Officer of The Conference Board, Inc., a leading global business research organization, from 1995-present. Former Executive Dean of the John F. Kennedy School of Government at Harvard University from 1988-1995. Acting Director, Harvard Center for Business and Government (1991-1993). 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).

 

58

 

Trustee: Aircraft Finance Trust (AFT) and Chairman of the Board of Trustees, Educational Testing Service (ETS). Director, Arch Chemicals, Fremont Group and The Guardian Life Insurance Company of America.


Kent Dixon
P.O. Box 4546
New York, NY
10163-4546
Age: 69

 

Trustee Audit Committee Member7

 

3 years4/since inception

 

Consultant/Investor. Former President and Chief Executive Officer of Empire Federal Savings Bank of America and Banc PLUS Savings Association, former Chairman of the Board, President and Chief Executive Officer of Northeast Savings.

 

58

 

Former Director of ISFA (the owner of INVEST, a national securities brokerage service designed for banks and thrift institutions).


Frank J. Fabozzi
P.O. Box 4546
New York, NY
10163-4546
Age: 58

 

Trustee Audit Committee Member7

 

3 years4/since inception

 

Consultant. Editor of THE JOURNAL OF PORTFOLIO MANAGEMENT and Adjunct Professor of Finance at the School of Management at Yale University. Author and editor of several books on fixed income portfolio management.

 

58

 

Director, Guardian Mutual Funds Group (18 portfolios).


88


 

DIRECTORS/TRUSTEES INFORMATION (Unaudited) (Continued)



 

 

 

 

 

 

 

 

 

 

 

Name, address, age

 

Current positions
held with the Trusts

 

Term of office and
length of time
served

 

Principal occupations
during the past five years

 

Number of
portfolios
overseen within
the fund
complex1

 

Other Directorships
held outside the fund
complex


Independent Trustees (continued)


Kathleen F. Feldstein
P.O. Box 4546
New York, NY
10163-4546
Age: 65

 

Trustee

 

3 years4/since January 19, 2005

 

President of Economics Studies, Inc., a Belmont, MA-based private economic consulting firm, since 1987; Chair, Board of Trustees, McLean Hospital in Belmont, MA.

 

58

 

Director of The McClatchy Company; Trustee of the Partners Community Healthcare, Inc.; the Museum of Fine Arts, 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
P.O. Box 4546
New York, NY
10163-4546
Age: 48

 

Trustee

 

3 years4/since November 16, 2004

 

Dean of Columbia Business School since July 1, 2004. Columbia faculty member since 1988. Co-director of Columbia Business School’s Entrepreneurship Program 1994–1997. Visiting professor at the John F. Kennedy School of Government at Harvard and the Harvard Business School, as well as the University of Chicago. Visiting scholar at the American Enterprise Institute in Washington and member of International Advisory Board of the MBA Program of Ben-Gurion University. Deputy assistant secretary of the U.S. Treasury Department for Tax Policy 1991–1993. Chairman of the U.S. Council of Economic Advisers under the President of the United States 2001–2003.

 

58

 

Director of ADP, R.H. Donnelly, Duke Realty, KKR Financial Corporation, and Ripplewood Holdings, the Council on Competitiveness, the American Council on Capital Formation, the Tax Foundation and the Center for Addiction and Substance Abuse. Trustee of Fifth Avenue Presbyterian Church of New York.



 

 

1

The Fund Complex means two or more registered investments companies that: (1) hold themselves out to investors as related companies for purposes 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

Resigned effective December 31, 2006.

 

 

6

Retired effective December 31, 2006.

 

 

7

The Board of each Trust has determined that each Trust has three Audit Committee financial experts serving on its Audit Committee, Dr. Brimmer, Mr. Dixon and Mr. Fabozzi, each of whom are independent for the purpose of the definition of Audit Committee financial expert as applicable to the Trusts.

 

 

8

Became lead Trustee and Audit Committee Chairman upon resignation of Dr. Brimmer on December 31, 2006.

89


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BlackRock Closed-End Funds

 

 

Trustees
Ralph L. Schlosstein, Chairman
Andrew F. Brimmer, Lead Trustee1
Richard E. Cavanagh
Kent Dixon
Frank J. Fabozzi
Kathleen F. Feldstein
R. Glenn Hubbard
Robert S. Kapito2

Officers
Robert S. Kapito, President
Donald C. Burke, Treasurer
Bartholomew Battista, Chief Compliance Officer
Anne Ackerley, Vice President
Neal Andrews, Assistant Treasurer
Jay Fife, Assistant Treasurer
Spencer Fleming, Assistant Treasurer
James Kong, Assistant Treasurer
Robert Mahar, Assistant Treasurer
Vincent B. Tritto, Secretary
Brian P. Kindelan, Assistant Secretary

Investment Advisor
BlackRock Advisors, LLC
100 Bellevue Parkway
Wilmington, DE 19809
(800) 227-7BFM

Sub-Advisor
BlackRock Financial Management, Inc.
40 East 52nd Street
New York, NY 10022

Accounting Agent and Custodian
State Street Bank and Trust Company
2 Avenue De Lafayette
Boston, MA 02111

Transfer Agent
Computershare Trust Company, N.A.
250 Royall Street
Canton, MA 02021
(800) 699-1BFM

Auction Agent3
Bank of New York
101 Barclay Street, 7 West
New York, NY 10286

Auction Agent4
Deutsche Bank Trust Company Americas
60 Wall Street, 8th Floor
New York, NY 10286

Independent Registered Public Accounting Firm
Deloitte & Touche LLP
200 Berkeley Street
Boston, MA 02116

Legal Counsel
Skadden, Arps, Slate, Meagher & Flom LLP
Four Times Square
New York, NY 10036

Legal Counsel – Independent Trustees
Debevoise & Plimpton LLP
919 Third Avenue
New York, NY 10022

    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.

BlackRock Closed-End Funds
c/o BlackRock Advisors, LLC
100 Bellevue Parkway
Wilmington, DE 19809
(800) 227-7BFM


 

 

1

Retired December 31, 2006

 

 

2

Resigned December 31, 2006

 

 

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 June 30th is available without charge, 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, 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, may also be obtained upon request without charge by calling (800) 699-1BFM.


[This Page Intentionally Left Blank]



 

 

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.

(BLACKROCK LOGO)

CEF-ANN-4-1206


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 available without charge at www.blackrock.com.

Item 3. Audit Committee Financial Expert.
The Registrant’s Board of Trustees has determined that it has three audit committee financial experts serving on its audit committee, each of whom is an “independent” Trustee: Dr. Andrew F. Brimmer, Kent Dixon and Frank Fabozzi. 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. Dr. Brimmer retired from the Board of Trustees as of December 31, 2006.

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 $26,500 for the fiscal year ended December 31, 2006 and $27,500 for the fiscal year ended December 31, 2005.


(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 $1,975 for the fiscal year ended December 31, 2006 and $2,200 for the fiscal year ended December 31, 2005. The nature of the service includes assurance and related services reasonably related to the performance of the audit of financial statements not included in Audit Fees.

(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 $8,000 for the fiscal year ended December 31, 2006 and $7,700 for the fiscal year ended December 31, 2005. The nature of the 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. The aggregate 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) were $1,900 for the fiscal year ended December 31, 2006 and $1,900 for the fiscal year ended December 31, 2005. The nature of the service includes a review of compliance procedures and provide an attestation regarding such review.

(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 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.

           (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 Registrant’s accountant for services rendered to the Registrant, the Registrant’s investment adviser (except for any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser) and any entity controlling, controlled by, or under common control with the Registrant’s investment adviser that provides ongoing services to the Registrant for each of the last two fiscal years were $286,200 for the fiscal year ended December 31, 2006 and $286,200 for the fiscal year ended December 31, 2005.

(h)      The Registrant’s Audit Committee of the Board of Trustees has considered whether the provision of non-audit services that were rendered to the Registrant’s investment adviser (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser) and any entity controlling, controlled by, or under common control with the investment adviser that provides ongoing services to the Registrant that were not pre-approved pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X is compatible with maintaining the principal accountant’s independence.

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. Dr. Brimmer retired from the Board of Trustees as of December 31, 2006.

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, LLC (the “Adviser”) and its sub-adviser,


BlackRock Financial Management, Inc. (the “Sub-Adviser”). The Proxy Voting Policies and Procedures of the Adviser and Sub-Adviser (the “Proxy Voting Policies”) are attached as an Exhibit 99.PROXYPOL hereto.

Item 8. Portfolio Managers of Closed-End Management Investment Companies
(a)(1) The Registrant is managed by a team of investment professionals comprised of Fred Stuebe, Director at BlackRock, Theodore R. Jaeckel, Jr., CFA, Managing Director at BlackRock and Walter O’Connor, Managing Director at BlackRock. Each is a member of BlackRock’s municipal tax-exempt management group. Messrs. Stuebe, Jaeckel and O’Connor have been members of the Fund’s management team since 2006.

Mr. Stuebe joined BlackRock in 2006. Prior to joining BlackRock, he was a Director (Municipal Tax-Exempt Fund Management) of MLIM since 2000. From 1994 to 2000, he was a Vice President of MLIM. He has been a portfolio manager with BlackRock or MLIM since 1989.

Mr. Jaeckel joined BlackRock in 2006. Prior to joining BlackRock, he was a Managing Director (Municipal Tax-Exempt Fund Management) of Merrill Lynch Investment Managers, L.P. (“MLIM”) from 2005 to 2006 and a Director of MLIM from 1997 to 2005. He has been a portfolio manager with BlackRock or MLIM since 1991.

Mr. O’Connor joined BlackRock in 2006. Prior to joining BlackRock, he was a Managing Director (Municipal Tax-Exempt Fund Management) of MLIM from 2003 to 2006 and was a Director of MLIM from 1997 to 2002. He has been a portfolio manager with BlackRock or MLIM since 1991.

(a)(2) As of December 31, 2006, Fred Stuebe managed or was a member of the management team for the following client accounts:

  Type of Account   Number of   Assets of   Number of   Assets Subject to
    Accounts   Accounts   Accounts Subject   a Performance
        to a Performance   Fee
        Fee  
  Registered   8   3,222,942,248   0   0
  Investment        
  Companies        
  Pooled Investment   0   0   0   0
  Vehicles Other        
  Than Registered        
  Investment        
  Companies        
  Other Accounts   0   0   0   0


As of December 31, 2006, Theodore Jaeckel managed or was a member of the management team for the following client accounts:

  Type of Account   Number of   Assets of   Number of   Assets Subject to
    Accounts   Accounts   Accounts Subject   a Performance
        to a Performance   Fee
        Fee  
  Registered   80   28,527,242,042   0   0
  Investment        
  Companies        
  Pooled Investment   0   0   0   0
  Vehicles Other        
  Than Registered        
  Investment        
  Companies        
  Other Accounts   0   0   0   0

As of December 31, 2006, Walter O’Connor managed or was a member of the management team for the following client accounts:

  Type of Account   Number of   Assets of   Number of   Assets Subject to
    Accounts   Accounts   Accounts Subject   a Performance
        to a Performance   Fee
        Fee  
  Registered   80   28,527,242,042   0   0
  Investment        
  Companies        
  Pooled Investment   0   0   0   0
  Vehicles Other        
  Than Registered        
  Investment        
  Companies        
  Other Accounts   0   0   0   0

          BlackRock has built a professional working environment, firm-wide compliance culture and compliance procedures and systems designed to protect against potential incentives that may favor one account over another. BlackRock has adopted policies and procedures that address the allocation of investment opportunities, execution of portfolio transactions, personal trading by employees and other potential conflicts of interest that are designed to ensure that all client accounts are treated equitably over time. Nevertheless, BlackRock furnishes investment management and advisory services to numerous clients in addition to the Registrant, and BlackRock may, consistent with applicable law, make investment recommendations to other clients or accounts (including accounts which are hedge funds or have performance or higher fees paid to BlackRock, or in which portfolio managers have a personal interest in the receipt of such fees), which may be the same as or different from those made to the Registrant. In addition, BlackRock, its affiliates and any officer, director, stockholder or employee may or may


not have an interest in the securities whose purchase and sale BlackRock recommends to the Registrant. BlackRock, or any of its affiliates, or any officer, director, stockholder, employee or any member of their families may take different actions than those recommended to the Registrant by BlackRock with respect to the same securities. Moreover, BlackRock may refrain from rendering any advice or services concerning securities of companies of which any of BlackRock’s (or its affiliates’) officers, directors or employees are directors or officers, or companies as to which BlackRock or any of its affiliates or the officers, directors and employees of any of them has any substantial economic interest or possesses material non-public information. Each portfolio manager also may manage accounts whose investment strategies may at times be opposed to the strategy utilized for the Registrant. In this connection, it should be noted that the portfolio management team may manage certain accounts that are subject to performance fees. In addition, the portfolio management team may assist in managing certain hedge funds and may be entitled to receive a portion of any incentive fees earned on such funds and a portion of such incentive fees may be voluntarily or involuntarily deferred. Additional portfolio managers may in the future manage other such accounts or funds and may be entitled to receive incentive fees.

          As a fiduciary, BlackRock owes a duty of loyalty to its clients and must treat each client fairly. When BlackRock purchases or sells securities for more than one account, the trades must be allocated in a manner consistent with its fiduciary duties. BlackRock attempts to allocate investments in a fair and equitable manner among client accounts, with no account receiving preferential treatment. To this end, BlackRock has adopted a policy that is intended to ensure that investment opportunities are allocated fairly and equitably among client accounts over time. This policy also seeks to achieve reasonable efficiency in client transactions and provide BlackRock with sufficient flexibility to allocate investments in a manner that is consistent with the particular investment discipline and client base.

(a)(3) The elements of total compensation for portfolio managers on BlackRock’s municipal team include a fixed base salary, annual performance-based cash and stock compensation (cash and stock bonus) and other benefits. BlackRock has balanced these components of pay to provide these portfolio managers with a powerful incentive to achieve consistently superior investment performance. By design, compensation levels for these portfolio managers fluctuate—both up and down—with the relative investment performance of the portfolios that they manage.

          Base compensation. Like that of many asset management firms, base salaries represent a relatively small portion of a portfolio manager’s total compensation. This approach serves to enhance the motivational value of the performance-based (and therefore variable) compensation elements of the compensation program.

          Performance-Based Compensation. BlackRock believes that the best interests of investors are served by recruiting and retaining exceptional asset management talent and managing their compensation within a consistent and disciplined framework that emphasizes pay for performance in the context of an intensely competitive market for


talent. To that end, BlackRock and its affiliates portfolio manager incentive compensation is based on a formulaic compensation program. BlackRock’s formulaic portfolio manager compensation program includes: investment performance relative to a subset of general closed-end, leveraged, municipal debt funds over 1-, 3- and 5-year performance periods and a measure of operational efficiency. Portfolio managers are compensated based on the pre-tax performance of the products they manage. If a portfolio manager’s tenure is less than 5 years, performance periods will reflect time in position. Portfolio managers are compensated based on products they manage. A discretionary element of portfolio manager compensation may include consideration of: financial results, expense control, profit margins, strategic planning and implementation, quality of client service, market share, corporate reputation, capital allocation, compliance and risk control, leadership, workforce diversity, supervision, technology and innovation. All factors are considered collectively by BlackRock management.

          Cash Bonus

          Performance-based compensation is distributed to portfolio managers in a combination of cash and stock. Typically, the cash bonus, when combined with base salary, represents more than 60% of total compensation for portfolio managers.

          Stock Bonus

          A portion of the dollar value of the total annual performance-based bonus is paid in restricted shares of BlackRock stock. Paying a portion of annual bonuses in stock puts compensation earned by a portfolio manager for a given year “at risk” based on the company’s ability to sustain and improve its performance over future periods. The ultimate value of stock bonuses is dependent on future BlackRock stock price performance. As such, the stock bonus aligns each portfolio manager’s financial interests with those of the BlackRock shareholders and encourages a balance between short-term goals and long-term strategic objectives. Management strongly believes that providing a significant portion of competitive performance-based compensation in stock is in the best interests of investors and shareholders. This approach ensures that portfolio managers participate as shareholders in both the “downside risk” and “upside opportunity” of the company’s performance. Portfolio managers therefore have a direct incentive to protect BlackRock’s reputation for integrity.

          Other Compensation Programs

          Portfolio managers who meet relative investment performance and financial management objectives during a performance year are eligible to participate in a deferred cash program. Awards under this program are in the form of deferred cash that may be benchmarked to a menu of BlackRock mutual funds (including their own fund) during a five-year vesting period. The deferred cash program aligns the interests of participating portfolio managers with the investment results of BlackRock products and promotes continuity of successful portfolio management teams.


          Other Benefits

          Portfolio managers are also eligible to participate in broad-based plans offered generally to employees of BlackRock and its affiliates, including broad-based retirement, 401(k), health, and other employee benefit plans.

(a)(4) As of December 31, 2006, the end of the Registrant’s most recently completed fiscal year, the dollar range of securities beneficially owned by each portfolio manager in the Registrant is shown below:

Fred Stuebe: None
Theodore Jaeckel: None
Walter O’Connor: None

(b) 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.
The Registrant’s Governance Committee will consider nominees to the Board of Trustees recommended by shareholders when a vacancy becomes available. Shareholders who wish to recommend a nominee should send nominations which include biographical information and sets forth the qualifications of the proposed nominee to the Registrant’s Secretary. There have been no material changes to these procedures.

Item 11. Controls and Procedures.
(a) The Registrant’s principal executive and principal financial officers have evaluated the Registrant’s disclosure controls and procedures within 90 days of this filing and have concluded, as of that date, that the Registrant’s disclosure controls and procedures were reasonably designed to ensure that information required to be disclosed by the Registrant in this Form N-CSR was recorded, processed, summarized, and reported within the required time periods and that information required to be disclosed by the Registrant in this Form N-CSR was accumulated and communicated to the Registrant’s management, including its principle executive and principle financial officers, as appropriate to allow timely decisions regarding required disclosure.

(b) There were no changes in the Registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act (17 CFR 270.30a -3(d)) that occurred during the Registrant’s last fiscal half-year that have materially affected, or are reasonably likely to materially affect, the Registrant’s internal control over financial reporting.


Item 12. Exhibits.

(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.

(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.


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/ Donald C. Burke                                                                                                    
Name: Donald C. Burke
Title: Treasurer
Date: March 6, 2007

               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: Principal Executive Officer
Date: March 6, 2007

By:      /s/ Donald C. Burke                                                                                                    
Name: Donald C. Burke
Title: Principal Financial Officer
Date: March 6, 2007