-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, LZ2B+OKVz12395ylAh8qpMBOdEqRlEmPNvQIOGz6Zo/daTtf52OoxtScMCr+cGNM ACArMgzmNQOiL1PcfAI6qw== 0000900092-07-000141.txt : 20070530 0000900092-07-000141.hdr.sgml : 20070530 20070530130751 ACCESSION NUMBER: 0000900092-07-000141 CONFORMED SUBMISSION TYPE: N-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20070331 FILED AS OF DATE: 20070530 DATE AS OF CHANGE: 20070530 EFFECTIVENESS DATE: 20070530 FILER: COMPANY DATA: COMPANY CONFORMED NAME: BLACKROCK MUNICIPAL BOND FUND, INC. CENTRAL INDEX KEY: 0000225635 IRS NUMBER: 132896246 STATE OF INCORPORATION: NJ FISCAL YEAR END: 0630 FILING VALUES: FORM TYPE: N-Q SEC ACT: 1940 Act SEC FILE NUMBER: 811-02688 FILM NUMBER: 07886482 BUSINESS ADDRESS: STREET 1: 800 SCUDDERS MILL RD CITY: PLAINSBORO STATE: NJ ZIP: 08536 BUSINESS PHONE: 6092822026 MAIL ADDRESS: STREET 1: P.O. BOX 9011 CITY: PRINCETON STATE: NJ ZIP: 08543 FORMER COMPANY: FORMER CONFORMED NAME: MERRILL LYNCH MUNICIPAL BOND FUND INC DATE OF NAME CHANGE: 19920703 FORMER COMPANY: FORMER CONFORMED NAME: ONE LIBERTY MUNICIPAL BOND FUND INC DATE OF NAME CHANGE: 19780622 0000225635 S000002332 BlackRock Municipal Insured Fund C000006110 Investor A C000006111 Investor B C000006112 Investor C1 C000006113 Institutional C000038032 Investor C 0000225635 S000002334 BlackRock National Municipal Fund C000006118 Investor A C000006119 Investor B C000006120 Investor C1 C000006121 Institutional C000038033 Investor C 0000225635 S000002335 BlackRock Short-Term Municipal Fund C000006122 Investor A1 C000006123 Investor B C000006124 Investor C C000006125 Institutional C000038034 Investor A C000038035 BlackRock C000038044 Service 0000225635 S000011867 BlackRock High Yield Municipal Fund C000032425 Investor A C000032427 Investor C C000032428 Institutional N-Q 1 munibond.txt BLACKROCK MUNICIPAL BOND FUND, INC. UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM N-Q QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED MANAGEMENT INVESTMENT COMPANY Investment Company Act File number 811-2688 Name of Fund: BlackRock Municipal Bond Fund, Inc. BlackRock Municipal Insured Fund BlackRock National Municipal Fund BlackRock Short-Term Municipal Fund BlackRock High Yield Municipal Fund Fund Address: P.O. Box 9011 Princeton, NJ 08543-9011 Name and address of agent for service: Robert C. Doll, Jr., Chief Executive Officer, BlackRock Municipal Bond Fund, Inc., 800 Scudders Mill Road, Plainsboro, NJ, 08536. Mailing address: P.O. Box 9011, Princeton, NJ, 08543-9011 Registrant's telephone number, including area code: (609) 282-2800 Date of fiscal year end: 06/30/2007 Date of reporting period: 01/01/07 - 03/31/07 Item 1 - Schedule of Investments BlackRock Municipal Bond Fund, Inc. - BlackRock Municipal Insured Fund Schedule of Investments as of March 31, 2007 (In Thousands)
Face State Amount Municipal Bonds Value Alabama - 2.7% $ 6,395 Alabama State University, General Tuition and Fee Revenue Bonds, 5% due 8/01/2026 (i) $ 6,776 10,000 Lauderdale County and Florence, Alabama, Health Care Authority Revenue Refunding Bonds (Coffee Health Group), Series A, 6% due 7/01/2029 (b) 10,805 7,000 University of Alabama, University Revenue Bonds (Birmingham), 6% due 10/01/2009 (d)(f) 7,387 Arkansas - 0.5% 4,000 University of Arkansas, University Revenue Bonds (Various Facilities-Fayetteville Campus), 5% due 12/01/2027 (d) 4,195 California - 14.9% 2,800 Arcadia, California, Unified School District, Capital Appreciation, GO (Election of 2006), Series A, 4.96% due 8/01/2039 (c)(j) 581 2,075 California State Department of Veteran Affairs, Home Purchase Revenue Refunding Bonds, Series A, 5.35% due 12/01/2027 (a) 2,211 3,480 East Side Union High School District, California, Santa Clara County, GO (Election of 2002), Series D, 5% due 8/01/2022 (i) 3,699 5,170 Fresno, California, Unified School District, GO (Election of 2001), Series D, 5% due 8/01/2027 (b) 5,483 5,000 Golden State Tobacco Securitization Corporation of California, Tobacco Settlement Revenue Bonds, Series B, 5.50% due 6/01/2013 (d)(f) 5,484 5,000 Los Angeles, California, GO, Series A, 5% due 9/01/2019 (b) 5,261 13,690 Los Angeles, California, Unified School District, GO (Election of 1997), Series F, 5% due 7/01/2013 (d)(f) 14,754 2,000 Los Angeles, California, Unified School District, GO, Series A, 5% due 7/01/2013 (b)(f) 2,155 6,680 Los Angeles County, California, Metropolitan Transportation Authority, Sales Tax Revenue Refunding Bonds, Proposition A, First Tier Senior-Series A, 5% due 7/01/2021 (a) 7,130 8,965 Modesto, California, Schools Infrastructure Financing Agency, Special Tax Bonds, 5.50% due 9/01/2036 (a) 9,785
Portfolio Abbreviations To simplify the listings of BlackRock Municipal Bond Fund, Inc. - BlackRock Municipal Insured Fund's portfolio holdings in the Schedule of Investments, we have abbreviated the names of many of the securities according to the list below. AMT Alternative Minimum Tax (subject to) COP Certificates of Participation EDA Economic Development Authority GO General Obligation Bonds HFA Housing Finance Agency IDA Industrial Development Authority IDR Industrial Development Revenue Bonds PCR Pollution Control Revenue Bonds PILOT Payment in Lieu of Taxes S/F Single-Family BlackRock Municipal Bond Fund, Inc. - BlackRock Municipal Insured Fund Schedule of Investments as of March 31, 2007 (concluded) (In Thousands)
Face State Amount Municipal Bonds Value California $ 12,040 Mount Diablo, California, Unified School District, GO (Election of 2002), 5% (concluded) due 7/01/2027 (d) $ 12,672 6,440 Palm Springs, California, Financing Authority, Lease Revenue Refunding Bonds (Convention Center Project), Series A, 5.50% due 11/01/2035 (b) 7,126 11,685 Rialto, California, Unified School District, GO, Series A, 6.24% due 6/01/2025 (d)(j) 5,271 5,000 Roseville, California, Joint Union High School District, GO (Election of 2004), Series A, 5% due 8/01/2029 (d) 5,263 5,075 Sacramento, California, Unified School District, GO (Election of 1999), Series B, 5% due 7/01/2026 (d) 5,308 2,685 San Diego, California, Community College District, GO (Election of 2002), 5% due 5/01/2030 (c) 2,837 3,495 San Diego County, California, COP (Edgemoor Project and Regional System), Refunding, 5% due 2/01/2027 (a)(j) 3,670 3,700 San Jose, California, GO (Libraries, Parks and Public Safety Projects), 5% due 9/01/2030 (b) 3,878 550 San Mateo, California, Union High School District, COP (Phase One Projects), Series B, 4.758% due 12/15/2043 (a)(j) 309 10,055 Sequoia, California, Unified High School District, GO, Refunding, Series B, 5.50% due 7/01/2035 (c) 11,211 2,755 Tahoe Truckee, California, Unified School District, GO (School Facilities Improvement District Number 2), Series A, 5.25% due 8/01/2029 (b) 2,935 7,980 Tustin, California, Unified School District, Senior Lien Special Tax Bonds (Community Facilities District Number 97-1), Series A, 5% due 9/01/2032 (c) 8,272 9,330 Tustin, California, Unified School District, Senior Lien Special Tax Bonds (Community Facilities District Number 97-1), Series A, 5% due 9/01/2038 (c) 9,656 Colorado - 2.8% 19,250 Aurora, Colorado, COP, 6% due 12/01/2010 (a)(f) 20,755 4,000 Logan County, Colorado, Justice Center Finance Corporation, COP, 5.50% due 12/01/2020 (b) 4,286 Florida - 0.8% 5,500 Dade County, Florida, Water and Sewer System Revenue Bonds, 5.25% due 10/01/2026 (d) 5,589 1,600 West Coast Regional Water Supply Authority, Florida, Capital Improvement Revenue Bonds, 10.40% due 10/01/2010 (a)(f) 1,726 Georgia - 4.1% 20,000 Georgia Municipal Electric Authority, Power Revenue Refunding Bonds, Series EE, 7% due 1/01/2025 (a) 26,987 90 Georgia Municipal Electric Authority, Power Revenue Refunding Bonds, Series Y, 6.40% due 1/01/2011 (a)(f) 99 8,420 Georgia Municipal Electric Authority, Power Revenue Refunding Bonds, Series Y, 6.40% due 1/01/2013 (a) 9,282 490 Georgia Municipal Electric Authority, Power Revenue Refunding Bonds, Series Y, 6.40% due 1/01/2013 (a)(h) 544 Illinois - 4.0% 26,715 Chicago, Illinois, GO, Refunding, Series G, 5% due 12/01/2024 (a) 28,485 7,225 Chicago, Illinois, O'Hare International Airport, Revenue Refunding Bonds, Third Lien, AMT, Series C-2, 5.25% due 1/01/2034 (i) 7,601 Kansas - 0.6% 5,145 Manhattan, Kansas, Hospital Revenue Bonds (Mercy Health Center), 5.50% due 8/15/2020 (c) 5,479 Louisiana - 1.3% 2,500 Louisiana State Citizens Property Insurance Corporation, Assessment Revenue Bonds, Series B, 5% due 6/01/2022 (a) 2,657 5,000 New Orleans, Louisiana, GO (Public Improvements), 5.25% due 12/01/2029 (a) 5,334 3,800 Rapides Financing Authority, Louisiana, Revenue Bonds (Cleco Power LLC Project), AMT, 4.70% due 11/01/2036 (a) 3,807 Maryland - 0.6% 4,400 Maryland State Health and Higher Educational Facilities Authority Revenue Bonds (University of Maryland Medical System), Series B, 7% due 7/01/2022 (d) 5,701 Massachusetts - 4.9% 4,000 Massachusetts State, HFA, Rental Housing Mortgage Revenue Bonds, AMT, Series C, 5.60% due 1/01/2045 (c) 4,239 15,000 Massachusetts State School Building Authority, Dedicated Sales Tax Revenue Bonds, Series A, 5% due 8/15/2030 (c) 15,839 22,250 Massachusetts State Special Obligation Dedicated Tax Revenue Bonds, 5.25% due 1/01/2014 (d)(f) 24,196 Minnesota - 1.7% 5,860 Delano, Minnesota, Independent School District Number 879, GO, Series A, 5.875% due 2/01/2025 (c) 6,301 3,735 Sauk Rapids, Minnesota, Independent School District Number 047, GO, Series A, 5.65% due 2/01/2020 (b) 3,986 4,440 Sauk Rapids, Minnesota, Independent School District Number 047, GO, Series A, 5.70% due 2/01/2021 (b) 4,746 Mississippi - 1.4% 1,320 Harrison County, Mississippi, Wastewater Management District, Revenue Refunding Bonds (Wastewater Treatment Facilities), Series A, 8.50% due 2/01/2013 (d)(h) 1,641 10,000 Mississippi Hospital Equipment and Facilities Authority Revenue Bonds (Forrest County General Hospital Project), 6% due 1/01/2030 (c) 10,733 Missouri - 2.5% 12,990 Kansas City, Missouri, Airport Revenue Refunding and Improvement Bonds, Series A, 5.50% due 9/01/2013 (b) 13,277 9,000 Kansas City, Missouri, Airport Revenue Refunding and Improvement Bonds, Series A, 5.50% due 9/01/2014 (b) 9,199 Nebraska - 1.3% 11,300 Public Power Generation Agency, Nebraska, Revenue Bonds (Whelan Energy Center Unit 2), Series A, 5% due 1/01/2025 (a) 12,054 Nevada - 1.2% 1,300 Clark County, Nevada, IDR (Southwest Gas Corp. Project), AMT, Series A, 4.75% due 9/01/2036 (d) 1,303 8,690 Clark County, Nevada, School District, GO, Series D, 5% due 6/15/2017 (b) 9,291 New Jersey - 9.7% 6,810 Cape May County, New Jersey, Industrial Pollution Control Financing Authority, Revenue Refunding Bonds (Atlantic City Electric Company Project), Series A, 6.80% due 3/01/2021 (b) 8,752 3,125 Garden State Preservation Trust of New Jersey, Open Space and Farmland Preservation Revenue Bonds, Series A, 5.80% due 11/01/2021 (c) 3,555 8,310 Garden State Preservation Trust of New Jersey, Open Space and Farmland Preservation Revenue Bonds, Series A, 5.80% due 11/01/2022 (c) 9,452 4,340 Garden State Preservation Trust of New Jersey, Open Space and Farmland Preservation Revenue Bonds, Series A, 5.80% due 11/01/2023 (c) 4,962 5,000 New Jersey EDA, Motor Vehicle Surcharge Revenue Bonds, Series A, 5% due 7/01/2027 (b) 5,264 23,000 New Jersey EDA, Motor Vehicle Surcharge Revenue Bonds, Series A, 5.25% due 7/01/2033 (b) 24,658 4,240 New Jersey State Transportation Trust Fund Authority, Transportation System Revenue Bonds, Series D, 5% due 6/15/2018 (a) 4,542 11,530 New Jersey State Transportation Trust Fund Authority, Transportation System Revenue Bonds, Series D, 5% due 6/15/2019 (c) 12,309 13,500 New Jersey State Turnpike Authority, Turnpike Revenue Bonds, Series C, 5% due 1/01/2030 (c) 14,244 New Mexico - 1.2% 10,400 New Mexico Finance Authority, Senior Lien State Transportation Revenue Bonds, Series A, 5.125% due 6/15/2018 (b) 11,207 New York - 12.2% 11,495 New York City, New York, GO, Series C, 5.625% due 3/15/2012 (f)(i) 12,527 5 New York City, New York, GO, Series C, 5.625% due 3/15/2018 (i) 5 10,000 New York City, New York, GO, Series E, 5% due 11/01/2017 (c) 10,771 6,155 New York City, New York, GO, Series I, 6% due 4/15/2012 (c) 6,228 16,905 New York City, New York, Sales Tax Asset Receivable Corporation Revenue Bonds, Series A, 5% due 10/15/2020 (b) 18,064 15,650 New York City, New York, Sales Tax Asset Receivable Corporation Revenue Bonds, Series A, 5% due 10/15/2032 (a) 16,535 11,795 New York State Dormitory Authority Revenue Bonds (School Districts Financing Program), Series D, 5.25% due 10/01/2023 (b) 12,649 9,110 New York State Urban Development Corporation, Personal Income Tax Revenue Bonds (State Facilities), Series A-1, 5.25% due 3/15/2034 (d) 9,754 5 Niagara Falls, New York, GO, Public Improvement, 6.90% due 3/01/2024 (b) 5 22,500 Tobacco Settlement Financing Corporation of New York Revenue Bonds, Series A-1, 5.25% due 6/01/2022 (a) 24,086 North Carolina - 0.3% 3,030 North Carolina HFA, Home Ownership Revenue Bonds, AMT, Series 14-A, 5.35% due 1/01/2022 (a) 3,125 North Dakota - 0.3% 2,740 North Dakota State, HFA, Revenue Bonds (Housing Finance Program), Series C, 5.30% due 7/01/2022 (a) 2,818 Ohio - 1.1% 8,000 Ohio State Air Quality, Development Authority Revenue Bonds (Dayton Power and Light Company Project), 4.80% due 9/01/2036 (d) 8,087 2,200 Ohio State Water Development Authority, Pollution Control Facilities, Revenue Refunding Bonds (Dayton Power and Light Company), Series A, 4.80% due 1/01/2034 (d) 2,250 Oklahoma - 0.7% 2,680 Oklahoma State Industries Authority, Health System Revenue Refunding Bonds (Integris Obligated Group), Series A, 6.25% due 8/15/2009 (b)(f) 2,861 3,705 Oklahoma State Industries Authority, Health System Revenue Refunding Bonds (Integris Obligated Group), Series A, 6.25% due 8/15/2016 (b) 3,939 Oregon - 2.5% 5,000 Clackamas County, Oregon, School District Number 12, Convertible Deferred Interest, GO (North Clackamas), Series B, 4.565% due 6/15/2028 (c)(j) 4,318 5,000 Clackamas County, Oregon, School District Number 12, Convertible Deferred Interest, GO (North Clackamas), Series B, 4.565% due 6/15/2029 (c)(j) 4,314 8,700 Oregon State Department, Administrative Services, COP, Series A, 6.25% due 5/01/2010 (a)(f) 9,440 3,865 Port of Portland, Oregon, Airport Revenue Refunding Bonds (Portland International Airport), AMT, Series 7-B, 7.10% due 1/01/2012 (b)(f) 4,387 Pennsylvania - 2.7% 5,765 Philadelphia, Pennsylvania, Gas Works Revenue Bonds, 12th Series B, 7% due 5/15/2020 (b)(h) 6,855 4,420 Philadelphia, Pennsylvania, Redevelopment Authority Revenue Bonds (Neighborhood Transformation), Series A, 5.50% due 4/15/2020 (d) 4,755 12,010 Pittsburgh, Pennsylvania, GO, Series C, 5.25% due 9/01/2018 (c) 13,181 Rhode Island - 0.8% 6,815 Rhode Island State Economic Development Corporation, Airport Revenue Bonds, Series B, 6% due 7/01/2010 (d)(f) 7,362 Texas - 1.4% 3,500 Houston, Texas, Water Conveyance System Contract, COP, Series J, 6.25% due 12/15/2013 (a) 3,988 8,110 Lewisville, Texas, Independent School District, Capital Appreciation and School Building, GO, Refunding, 4.67% due 8/15/2024 (d)(j) 3,589 2,085 Texas State Department of Housing and Community Affairs, S/F Mortgage Revenue Bonds, AMT, Series A, 5.45% due 9/01/2023 (b)(e) 2,160 2,725 Texas State Department of Housing and Community Affairs, S/F Mortgage Revenue Bonds, AMT, Series A, 5.50% due 3/01/2026 (b)(e) 2,822 Utah - 1.8% 9,535 Utah Transit Authority, Sales Tax and Transportation Revenue Bonds (Salt Lake County Light Rail Transit Project), 5.375% due 12/15/2007 (c)(f) 9,742 2,515 Utah Water Finance Agency Revenue Bonds (Pooled Loan Financing Program), Series A, 5.75% due 10/01/2015 (a) 2,680 3,770 Utah Water Finance Agency Revenue Bonds (Pooled Loan Financing Program), Series A, 6% due 10/01/2020 (a) 4,046 Washington - 0.8% 7,225 Chelan County, Washington, Public Utility District Number 001, Consolidated Revenue Bonds (Chelan Hydro System), AMT, Series A, 5.45% due 7/01/2037 (a) 7,662 West Virginia - 1.4% 12,250 Pleasants County, West Virginia, PCR, Refunding (Potomac-Pleasants), Series C, 6.15% due 5/01/2015 (a) 12,618 Wisconsin - 1.4% 9,000 Superior, Wisconsin, Limited Obligation Revenue Refunding Bonds (Midwest Energy Resources), Series E, 6.90% due 8/01/2021 (d) 11,635 670 Wisconsin State, GO, AMT, Series B, 6.50% due 5/01/2025 (b) 670 Total Municipal Bonds (Cost - $716,078) - 83.6% 758,124 Municipal Bonds Held in Trust (l) California - 3.9% 21,360 California Pollution Control Financing Authority, PCR, Refunding (Pacific Gas and Electric), AMT, Series A, 5.35% due 12/01/2016 (b) 22,814 5,000 California State, Veterans, GO, Refunding, AMT, Series BZ, 5.35% due 12/01/2021 (b) 5,050 7,500 San Jose, California, Financing Authority, Lease Revenue Refunding Bonds (Civic Center Project), Series B, 5% due 6/01/2032 (a) 7,751 Illinois - 2.2% 17,690 Chicago, Illinois, O'Hare International Airport Revenue Bonds, Third Lien, AMT, Series B-2, 6% due 1/01/2027 (b)(i) 19,780 Maryland - 2.6% 21,640 Baltimore, Maryland, Convention Center Hotel Revenue Bonds, Senior Series A, 5.25% due 9/01/2039 (i) 23,357 Michigan - 1.6% 13,145 Michigan State Strategic Fund, Limited Obligation Revenue Refunding Bonds (Detroit Edison Company Pollution Control Project), AMT, Series A, 5.50% due 6/01/2030 (i) 14,121 New York - 3.2% 13,925 New York City, New York, Sales Tax Asset Receivable Corporation Revenue Bonds, Series A, 5.25% due 10/15/2027 (a) 15,077 13,500 Syracuse, New York, IDA, PILOT Revenue Bonds (Carousel Center Project), Series A, 5% due 1/01/2036 (i) 14,060 Texas - 10.5% 21,230 Dallas-Fort Worth, Texas, International Airport Joint Revenue Refunding and Improvement Bonds, AMT, Series A, 5% due 11/01/2025 (b) 21,321 35,950 Dallas-Fort Worth, Texas, International Airport Revenue Bonds, AMT, Series A, 6% due 11/01/2028 (d) 37,705 35,050 Harris County, Texas, Toll Road Revenue Refunding Bonds, Senior Lien, Series A, 5.25% due 8/15/2035 (c) 36,506 Total Municipal Bonds Held in Trust (Cost - $214,147) - 24.0% 217,542 Shares Held Mutual Funds (k) 300 BlackRock California Insured Municipal 2008 Term Trust, Inc. 4,572 810 BlackRock Insured Municipal 2008 Term Trust, Inc. 12,409 205 BlackRock Insured Municipal Term Trust, Inc. 2,015 Total Mutual Funds (Cost - $21,127) - 2.1% 18,996 Short-Term Securities 1,817 BlackRock Institutional Tax-Exempt Fund, 3.51% (g)(k) 1,817 Total Short-Term Securities (Cost - $1,817) - 0.2% 1,817 Total Investments (Cost - $953,169*) - 109.9% 996,479 Other Assets Less Liabilities - 2.3% 21,027 Liability for Trust Certificates, Including Interest Expense Payable - (12.2%) (110,878) ----------- Net Assets - 100.0% $ 906,628 =========== * The cost and unrealized appreciation (depreciation) of investments as of March 31, 2007, as computed for federal income tax purposes, were as follows: Aggregate cost $ 844,690 ============= Gross unrealized appreciation $ 44,398 Gross unrealized depreciation (2,621) ------------- Net unrealized appreciation $ 41,777 ============= (a) AMBAC Insured. (b) MBIA Insured. (c) FSA Insured. (d) FGIC Insured. (e) FNMA/GNMA Collateralized. (f) Prerefunded. (g) Represents the current yield as of March 31, 2007. (h) Escrowed to maturity. (i) XL Capital Insured. (j) Represents a zero coupon or step bond; the interest rate shown reflects the effective yield at the time of purchase. (k) Investments in companies considered to be an affiliate of the Fund, for purposes of Section 2(a)(3) of the Investment Company Act of 1940, were as follows: Net Dividend Affiliate Activity Income BlackRock California Insured Municipal 2008 Term Trust, Inc. - $ 171 BlackRock Institutional Tax-Exempt Fund $ 87 $ 231 BlackRock Insured Municipal 2008 Term Trust, Inc. - $ 487 BlackRock Insured Municipal Term Trust, Inc. - $ 57 (l) Securities represent underlying bonds transferred to a separate securitization trust established in a tender option bond transaction in which the Fund may have acquired the residual interest certificates. These securities serve as collateral in a financing transaction. o Forward interest rate swaps outstanding as of March 31, 2007 were as follows: Notional Unrealized Amount Appreciation Pay a fixed rate of 3.627% and receive a floating rate based on 1-week Bond Market Association Rate Broker, JPMorgan Chase Expires June 2017 $ 47,300 $ 139 ---------- Total $ 139 ==========
BlackRock Municipal Bond Fund, Inc. - BlackRock National Municipal Fund Schedule of Investments as of March 31, 2007 (In Thousands)
Face State Amount Municipal Bonds Value Alabama - 0.9% $ 3,820 Alabama Incentives Financing Authority, Special Obligation Revenue Refunding Bonds, Series A, 6% due 10/01/2029 (c) $ 4,086 3,525 Jefferson County, Alabama, Public Building Authority, Lease Revenue Bonds, 5.125% due 4/01/2021 (c) 3,787 500 Mobile, Alabama, Industrial Development Board, Environmental Improvement Revenue Refunding Bonds (International Paper Company Project), AMT, Series A, 6.35% due 5/15/2016 530 2,500 Selma, Alabama, IDB, Environmental Improvement Revenue Refunding Bonds (International Paper Company Project), AMT, Series A, 6.70% due 2/01/2018 2,676 3,400 Tuscaloosa, Alabama, Special Care Facilities Financing Authority, Residential Care Facility Revenue Bonds (Capstone Village, Inc. Project), Series A, 5.875% due 8/01/2036 3,462 Alaska - 0.3% 1,150 Alaska State Housing Financial Corporation, General Mortgage Revenue Refunding, Series A, 6% due 6/01/2027 (f) 1,162 3,860 Anchorage, Alaska, School, GO, Series B, 5.875% due 12/01/2010 (e)(j) 4,152 Arizona - 3.5% 4,000 Arizona Health Facilities Authority Revenue Bonds (Catholic Healthcare West), Series A, 6.625% due 7/01/2010 (j) 4,382 730 Maricopa County, Arizona, Hospital Revenue Refunding Bonds (Sun Health Corporation), 6.125% due 4/01/2007 (j) 745 270 Maricopa County, Arizona, Hospital Revenue Refunding Bonds (Sun Health Corporation), 6.125% due 4/01/2018 276 3,100 Maricopa County, Arizona, IDA, Education Revenue Bonds (Arizona Charter Schools Project 1), Series A, 6.75% due 7/01/2029 3,161 1,625 Maricopa County, Arizona, IDA, Health Facilities Revenue Refunding Bonds (Catholic Healthcare West Project), Series A, 5% due 7/01/2021 1,647 1,000 Maricopa County, Arizona, Pollution Control Corporation, PCR, Refunding (Public Service Company of New Mexico Project), Series A, 6.30% due 12/01/2026 1,023 430 Peoria, Arizona, Improvement District Number 8401, Special Assessment Bonds Number 8802, 7.20% due 1/01/2010 437 510 Peoria, Arizona, Improvement District Number 8401, Special Assessment Bonds Number 8802, 7.20% due 1/01/2013 519 190 Peoria, Arizona, Improvement District, Special Assessment Bonds Number 8801, 7.30% due 1/01/2009 193 395 Peoria, Arizona, Improvement District, Special Assessment Bonds Number 8801, 7.30% due 1/01/2011 402 2,330 Phoenix, Arizona, Civic Improvement Corporation, Municipal Facilities, Excise Tax Revenue Bonds, 5.75% due 7/01/2016 (e) 2,495 3,685 Phoenix, Arizona, IDA, Airport Facility, Revenue Refunding Bonds (America West Airlines Inc. Project), AMT, 6.30% due 4/01/2023 3,751
Portfolio Abbreviations To simplify the listing of BlackRock Municipal Bond Fund, Inc. - BlackRock National Municipal Fund's portfolio holdings in the schedule of investments, we have abbreviated the names of many of the securities according to the list below. AMT Alternative Minimum Tax (subject to) CARS Complementary Auction Rate Securities COP Certificates of Participation DRIVERS Derivative Inverse Tax-Exempt Receipts EDA Economic Development Authority GO General Obligation Bonds HDA Housing Development Authority HFA Housing Finance Agency IDA Industrial Development Authority IDB Industrial Development Board IDR Industrial Development Revenue Bonds M/F Multi-Family PCR Pollution Control Revenue Bonds S/F Single-Family VRDN Variable Rate Demand Notes BlackRock Municipal Bond Fund, Inc. - BlackRock National Municipal Fund Schedule of Investments as of March 31, 2007 (concluded) (In Thousands)
Face State Amount Municipal Bonds Value Arizona $ 5,000 Phoenix and Pima County, Arizona, IDA, S/F Mortgage Revenue Bonds, AMT, (concluded) Series 3-A, 5.25% due 8/01/2038 (i)(l) $ 5,222 7,500 Phoenix and Pima County, Arizona, IDA, S/F Mortgage Revenue Refunding Bonds, AMT, Series 2007-1, 5.25% due 8/01/2038 (i)(l) 7,846 500 Pinal County, Arizona, IDA, Wastewater Revenue Bonds (San Manuel Facilities Project), AMT, 6.25% due 6/01/2026 554 391 Prescott Valley, Arizona, Improvement District, Special Assessment Bonds (Sewer Collection System Roadway Repair), 7.90% due 1/01/2012 402 1,500 Queen Creek Improvement District Number 001, Arizona, Special Assessment Bonds, 5% due 1/01/2032 1,530 6,000 Salt River Project, Arizona, Agriculture Improvement and Power District, Electric System Revenue Refunding Bonds, Series A, 5.125% due 1/01/2023 6,362 3,515 Tucson, Arizona, IDA, Senior Living Facilities Revenue Bonds (Christian Care Tucson Inc. Project), Series A, 6.125% due 7/01/2010 (j)(m) 3,805 3,180 University of Arizona, COP, Refunding, Series A, 5.50% due 6/01/2018 (c) 3,427 1,000 University of Arizona, COP (University of Arizona Parking and Student Housing), 5.75% due 6/01/2009 (c)(j) 1,044 3,000 Vistancia Community Facilities District, Arizona, GO, 6.75% due 7/15/2022 3,337 2,125 Vistancia Community Facilities District, Arizona, GO, 5.75% due 7/15/2024 2,313 Arkansas - 0.1% 30 Arkansas State Development Finance Authority, S/F Mortgage Revenue Bonds (Mortgage-Backed Securities Program), Series H, 6.15% due 7/01/2016 (i) 31 250 Arkansas State Student Loan Authority Revenue Bonds, AMT, Sub-Series B, 7.25% due 6/01/2009 257 200 Jonesboro, Arkansas, Residential Housing and Health Care Facilities Board, Hospital Revenue Refunding Bonds (Saint Bernards Regional Medical Center), Series B, 5.90% due 7/01/2016 (c) 204 250 North Little Rock, Arkansas, Health Facilities Board, Health Care Revenue Bonds (Baptist Health), 5.50% due 7/01/2016 258 500 Pine Bluff, Arkansas, Environmental Improvement Revenue Refunding Bonds (International Paper Company Project), AMT, Series A, 6.70% due 8/01/2020 535 250 University of Central Arkansas, Housing System Revenue Bonds, 6.50% due 1/01/2010 (h)(j) 273 California - 13.3% 2,500 Agua Caliente Band of Cahuilla Indians, California, Casino Revenue Bonds, 6% due 7/01/2018 2,709 23,000 Bay Area Toll Authority, California, Toll Bridge Revenue Refunding Bonds (San Francisco Bay Area), Series F, 5% due 4/01/2031 24,350 5,000 California Pollution Control Financing Authority, Solid Waste Disposal Revenue Refunding Bonds (Waste Management Inc. Project), AMT, Series A, 5% due 1/01/2022 5,129 70 California Rural Home Mortgage Finance Authority, S/F Mortgage Revenue Refunding Bonds (Mortgage-Backed Securities Program), AMT, Series A-2, 7% due 9/01/2029 (i)(l) 71 35 California Rural Home Mortgage Finance Authority, S/F Mortgage Revenue Bonds (Mortgage-Backed Securities Program), AMT, Series D, Class 5, 6.70% due 5/01/2029 (i)(l) 35 5,000 California State, GO, 5.25% due 4/01/2029 5,356 35,200 California State, GO, Refunding, 5% due 12/01/2025 37,272 130 California State, GO, Refunding, 5.75% due 5/01/2030 139 10,000 California State, Various Purpose, GO, 5.25% due 11/01/2027 10,687 14,100 California State, Various Purpose, GO, 5.50% due 11/01/2033 15,348 9,880 California Statewide Communities Development Authority, Health Facility Revenue Bonds (Memorial Health Services), Series A, 6% due 10/01/2023 10,903 1,080 Chula Vista, California, Community Facilities District, Special Tax Bonds (Number 06-1, Eastlake Woods Area), Series A, 6.05% due 9/01/2020 1,157 2,965 Chula Vista, California, Community Facilities District, Special Tax Bonds (Number 06-1, Eastlake Woods Area), Series A, 6.15% due 9/01/2026 3,174 10,000 Chula Vista, California, IDR, Refunding (San Diego Gas & Electric Co.), AMT, Series C, 5.25% due 12/01/2027 10,622 1,585 Contra Costa County, California, Special Tax Bonds (Community Facilities District Number 2001-01), 6% due 9/01/2026 1,689 1,200 Contra Costa County, California, Special Tax Bonds (Community Facilities District Number 2001-01), 6.10% due 9/01/2031 1,279 3,100 Elk Grove, California, Poppy Ridge Community Facilities Number 3 Special Tax, Series 1, 6% due 9/01/2008 (j) 3,220 10,000 Fremont, California, Unified School District, Alameda County, GO (Election of 2002), Series B, 5% due 8/01/2028 (h) 10,593 5,000 Golden State Tobacco Securitization Corporation of California, Tobacco Settlement Revenue Refunding Bonds, Senior Series A-1, 5.75% due 6/01/2047 5,312 12,730 Los Angeles County, California, Metropolitan Transportation Authority, Sales Tax Revenue Refunding Bonds, Proposition A, First Tier Senior-Series A, 5% due 7/01/2035 (c) 13,451 1,100 Poway, California, Unified School District, Special Tax Bonds (Community District Number 6), Series A, 6.05% due 9/01/2025 1,153 2,695 Riverside, California, Improvement Bond Act of 1915, Special Assessment (Riverwalk Assessment District), 6.375% due 9/02/2026 2,900 3,915 Roseville, California, Special Tax Bonds (Fiddyment Ranch Community Facilities Number 1), 5.125% due 9/01/2026 3,993 1,250 Roseville, California, Special Tax (Stoneridge Community Facilities Number 1), 6.20% due 9/01/2021 1,341 1,125 Roseville, California, Special Tax (Stoneridge Community Facilities Number 1), 6% due 9/01/2025 1,197 2,500 Roseville, California, Special Tax (Stoneridge Community Facilities Number 1), 6.30% due 9/01/2031 2,682 2,200 Sacramento, California, Special Tax (North Natomas Community Facilities), Series 01-03, 6% due 9/01/2028 2,323 2,270 Sacramento, California, Special Tax (North Natomas Community Facilities), Series 4-C, 6% due 9/01/2028 2,438 10,000 San Diego, California, Public Facilities Financing Authority, Subordinated Water Revenue Refunding Bonds, 5% due 8/01/2032 (f) 10,361 5,000 San Francisco, California, City and County Redevelopment Agency Revenue Bonds (Community Facilities District Number 6 - Mission), 6% due 8/01/2021 5,227 2,500 San Francisco, California, City and County Redevelopment Agency Revenue Bonds, GO (Community Facilities District Number 6 - Mission), Series A, 6% due 8/01/2025 2,611 1,075 San Francisco, California, Uptown Parking Corporation, Parking Revenue Bonds (Union Square), 6% due 7/01/2020 (f) 1,185 3,680 Santa Margarita, California, Water District, Special Tax Refunding Bonds (Community Facilities District Number 99), Series 1, 6.20% due 9/01/2020 3,915 2,970 Santa Margarita, California, Water District, Special Tax Refunding Bonds (Community Facilities District Number 99), Series 1, 6.25% due 9/01/2029 3,154 Colorado - 2.6% 5,000 Arkansas River Power Authority, Colorado, Power Improvement Revenue Bonds, 5.25% due 10/01/2032 (k) 5,400 500 Boulder County, Colorado, Hospital Development Revenue Bonds (Longmont United Hospital Project), 6% due 12/01/2010 (j)(m) 539 325 Colorado HFA, Revenue Bonds (S/F Program), Series B-3, 6.55% due 10/01/2016 332 4,000 Colorado HFA, Revenue Refunding Bonds (Adventist Health System/Sunbelt Obligor Group), Series D, 5.25% due 11/15/2035 4,235 265 Colorado HFA, Revenue Refunding Bonds (S/F Program), AMT, Senior Series A-2, 7.50% due 4/01/2031 268 115 Colorado HFA, Revenue Refunding Bonds (S/F Program), AMT, Senior Series B-2, 7.10% due 4/01/2017 118 825 Colorado HFA, Revenue Refunding Bonds (S/F Program), AMT, Senior Series B-2, 7.25% due 10/01/2031 829 35 Colorado HFA, Revenue Refunding Bonds (S/F Program), AMT, Senior Series B-3, 6.80% due 11/01/2028 35 310 Colorado HFA, Revenue Refunding Bonds (S/F Program), AMT, Senior Series C-2, 7.25% due 10/01/2031 (b) 319 95 Colorado HFA, Revenue Refunding Bonds (S/F Program), Senior Series A-3, 7.35% due 10/01/2030 96 495 Colorado HFA, Revenue Refunding Bonds (S/F Program), Senior Series C-3, 6.75% due 10/01/2021 (b) 534 125 Colorado HFA, Revenue Refunding Bonds (S/F Program), Senior Series C-3, 7.15% due 10/01/2030 (b) 127 2,500 Colorado Health Facilities Authority, Revenue Refunding Bonds (Catholic Health Initiatives), 5.50% due 9/01/2011 (j) 2,677 1,000 Colorado Health Facilities Authority, Revenue Refunding Bonds (Christian Living Communities Project), Series A, 5.75% due 1/01/2037 1,046 350 Colorado Water Resource and Power Development Authority, Small Water Resources Revenue Bonds, Series A, 5.80% due 11/01/2010 (e)(j) 375 200 Colorado Water Resource and Power Development Authority, Small Water Resources Revenue Bonds, Series A, 5.80% due 11/01/2020 (e) 214 7,560 Elk Valley, Colorado, Public Improvement Revenue Bonds (Public Improvement Fee), Series A, 7.35% due 9/01/2031 8,020 1,100 Elk Valley, Colorado, Public Improvement Revenue Bonds (Public Improvement Fee), Series B, 7.45% due 9/01/2031 1,170 3,685 Larimer County, Colorado, Poudre School District Number R-1, GO, 6% due 12/15/2010 (e)(j) 3,983 7,700 Plaza Metropolitan District Number 1, Colorado, Tax Allocation Revenue Bonds (Public Improvement Fees), 8% due 12/01/2025 8,551 1,910 Plaza Metropolitan District Number 1, Colorado, Tax Allocation Revenue Bonds (Public Improvement Fees), 8.125% due 12/01/2025 1,927 Connecticut - 1.1% 1,000 Connecticut State Development Authority, Governmental Lease Revenue Bonds, 6.60% due 6/15/2014 (f) 1,002 1,250 Connecticut State Development Authority, Water Facility Revenue Bonds (Bridgeport Hydraulic Company), AMT, 6.15% due 4/01/2035 (c) 1,277 960 Connecticut State HFA, Revenue Refunding Bonds (Housing Mortgage Finance Program), Series C-1, 6.30% due 11/15/2017 983 1,000 Connecticut State Health and Educational Facilities Authority Revenue Bonds (Bridgeport Hospital), Series A, 6.625% due 7/01/2018 (f) 1,002 1,500 Connecticut State Health and Educational Facilities Authority Revenue Bonds (Waterbury Hospital Issue), Series C, 5.75% due 7/01/2020 (m) 1,569 1,000 Connecticut State Health and Educational Facilities Authority Revenue Bonds (Westover School), Series A, 5.70% due 7/01/2030 (m) 1,058 3 Connecticut State Health and Educational Facilities Authority, Revenue Refunding Bonds, DRIVERS, Series 215, 9.021% due 6/01/2030 (m)(n)(t) 3 1,885 Connecticut State Health and Educational Facilities Authority, Revenue Refunding Bonds (Eastern Connecticut Health Network), Series A, 6.50% due 7/01/2010 (j)(m) 2,063 115 Connecticut State Health and Educational Facilities Authority, Revenue Refunding Bonds (Eastern Connecticut Health Network), Series A, 6.50% due 7/01/2010 (m) 126 640 Connecticut State Health and Educational Facilities Authority, Revenue Refunding Bonds (Sacred Heart University), 6.625% due 7/01/2026 (m) 654 5,710 Connecticut State Health and Educational Facilities Authority, Revenue Refunding Bonds (University of Hartford), Series E, 5.50% due 7/01/2022 (m) 6,155 680 Connecticut State Higher Education Supplemental Loan Authority, Revenue Bonds (Family Education Loan Program), AMT, Series A, 5.50% due 11/15/2020 (f) 683 860 Waterbury, Connecticut, GO, 6% due 2/01/2009 (j)(m) 904 Delaware - 0.1% 1,685 New Castle County, Delaware, PCR (General Motors Corporation Project), VRDN, 7% due 10/01/2008 (g) 1,685 Florida - 9.1% 1,975 Anthem Park Community Development District, Florida, Capital Improvement Revenue Bonds, 5.80% due 5/01/2036 2,064 2,000 Ave Maria Stewardship Community District, Florida, Capital Improvement Revenue Bonds, Series A, 5.125% due 5/01/2038 2,002 1,500 Ave Maria Stewardship Community District, Florida, Revenue Bonds, 4.80% due 11/01/2012 1,496 1,670 Ballantrae, Florida, Community Development District, Capital Improvement Revenue Bonds, 6% due 5/01/2035 1,763 5,000 Bartram Springs Community Development District, Florida, Special Assessment Refunding Bonds, 4.75% due 5/01/2034 4,815 1,825 Beacon Tradeport Community, Florida, Development District, Special Assessment Revenue Refunding Bonds (Commercial Project), Series A, 5.25% due 5/01/2016 (m) 1,950 4,000 Broward County, Florida, Airport System Revenue Refunding Bonds, AMT, Series E, 5.25% due 10/01/2012 (f) 4,124 2,500 CFM Community Development District, Florida, Capital Improvement Revenue Bonds, Series B, 5.875% due 5/01/2014 2,603 2,725 Duval County, Florida, School Board, COP, 5.75% due 7/01/2017 (h) 2,842 5,350 Fiddlers Creek, Florida, Community Development District Number 2, Special Assessment Revenue Bonds, Series A, 6.375% due 5/01/2035 5,703 1,050 Fiddlers Creek, Florida, Community Development District Number 2, Special Assessment Revenue Bonds, Series B, 5.75% due 5/01/2013 1,083 2,000 Greater Lakes/Sawgrass Bay Community Development District, Florida, Special Assessment Bonds, Series A, 5.50% due 5/01/2038 2,033 7,000 Halifax Hospital Medical Center, Florida, Hospital Revenue Refunding and Improvement Bonds, Series A, 5.25% due 6/01/2026 7,364 1,145 Highland Meadows Community Development District, Florida, Special Assessment Bonds, Series A, 5.50% due 5/01/2036 1,167 21,000 Highlands County, Florida, Health Facilities Authority, Hospital Revenue Refunding Bonds (Adventist Health System), Series G, 5.125% due 11/15/2032 21,898 5,000 Hillsborough County, Florida, IDA, Exempt Facilities Revenue Bonds (National Gypsum Company), AMT, Series A, 7.125% due 4/01/2030 5,427 10,000 Jacksonville, Florida, Economic Development Commission, Health Care Facilities Revenue Bonds (Mayo Clinic-Jacksonville), 5% due 11/15/2036 10,439 2,000 Lee County, Florida, IDA, Health Care Facilities, Revenue Refunding Bonds (Shell Point/Alliance Obligor Group), 5% due 11/15/2029 2,045 1,200 Lexington Oaks, Florida, Community Development District, Special Assessment Revenue Bonds, Series A, 6.70% due 5/01/2033 1,294 1,015 Mediterra, Florida, South Community Development District, Capital Improvement Revenue Bonds, 6.85% due 5/01/2031 1,088 2,500 Middle Village Community Development District, Florida, Special Assessment Bonds, Series A, 6% due 5/01/2035 2,610 6,625 Midtown Miami, Florida, Community Development District, Special Assessment Revenue Bonds, Series A, 6.25% due 5/01/2037 7,200 1,000 New River Community Development District, Florida, Capital Improvement Revenue Bonds, Series B, 5% due 5/01/2013 993 1,715 Old Palm Community Development District, Florida, Special Assessment Bonds (Palm Beach Gardens), Series B, 5.375% due 5/01/2014 1,736 3,500 Orange County, Florida, HFA, M/F Housing Revenue Bonds (Loma Vista Project), Series G, 5.50% due 3/01/2032 3,586 1,000 Orange County, Florida, Health Facilities Authority, Hospital Revenue Bonds (Orlando Regional Healthcare), 5.70% due 7/01/2026 1,030 2,200 Orange County, Florida, Health Facilities Authority, Hospital Revenue Bonds (Orlando Regional Healthcare), Series B, 5.125% due 11/15/2039 2,288 10,000 Orlando, Florida, Greater Orlando Aviation Authority, Airport Facilities Revenue Bonds, AMT, Series A, 5.25% due 10/01/2018 (e) 10,376 5,000 Panther Trace Community Development District II, Florida, Special Assessment Revenue Bonds, 5.125% due 11/01/2013 4,996 5,000 Panther Trace Community Development District II, Florida, Special Assessment Revenue Bonds, Series A, 5.60% due 5/01/2035 5,102 960 Park Place Community Development District, Florida, Special Assessment Revenue Bonds, 6.75% due 5/01/2032 1,021 2,300 Park Place Community Development District, Florida, Special Assessment Revenue Bonds, 6.375% due 5/01/2034 2,469 2,000 Saint Lucie, Florida, West Services District, Utility Revenue Refunding Bonds, Senior Lien, 6% due 10/01/2022 (f) 2,179 2,875 Somerset Community Development District, Florida, Capital Improvement Revenue Bonds, 5% due 5/01/2015 2,837 430 Sterling Hill, Florida, Community Development District, Capital Improvement Revenue Refunding Bonds, Series B, 5.50% due 11/01/2010 430 380 Stoneybrook West, Florida, Community Development District, Special Assessment Revenue Bonds, Series B, 6.45% due 5/01/2010 382 1,190 Tern Bay Community Development District, Florida, Capital Improvement Revenue Refunding Bonds, Series B, 5% due 5/01/2015 1,174 2,185 Tuscany Reserve Community Development District, Florida, Capital Improvement Revenue Bonds, Series B, 5.25% due 5/01/2016 2,188 3,520 University of South Florida Financing Corporation, COP (Master Lease Program), Refunding, Series A, 5.375% due 7/01/2022 (c) 3,834 1,850 Watergrass Community Development District, Florida, Special Assessment Revenue Bonds, Series B, 4.875% due 11/01/2010 1,831 Georgia - 2.0% 5,000 Atlanta, Georgia, Tax Allocation Bonds (Atlantic Station Project), 7.90% due 12/01/2024 5,536 2,285 Brunswick and Glynn County, Georgia, Development Authority, First Mortgage Revenue Bonds (Coastal Community Retirement Corporation Project), Series A, 7.125% due 1/01/2025 2,223 4,555 Brunswick and Glynn County, Georgia, Development Authority, First Mortgage Revenue Bonds (Coastal Community Retirement Corporation Project), Series A, 7.25% due 1/01/2035 4,448 5,210 College Park, Georgia, Business and IDA Revenue Bonds (Civic Center Project), 5.75% due 9/01/2010 (c)(j) 5,645 1,940 Fulton County, Georgia, Development Authority, PCR (General Motors Corporation), Refunding, VRDN, 7.50% due 4/01/2010 (g) 1,940 3,450 Fulton County, Georgia, Development Authority Revenue Bonds (Morehouse College Project), 5.875% due 12/01/2030 (c) 3,720 2,250 Fulton County, Georgia, Residential Care Facilities, Revenue Refunding Bonds (Canterbury Court Project), Series A, 6% due 2/15/2022 2,284 1,350 Gainesville, Georgia, Redevelopment Authority, Educational Facilities Revenue Refunding Bonds (Riverside Military Academy), 5.125% due 3/01/2027 1,388 1,800 Gainesville, Georgia, Redevelopment Authority, Educational Facilities Revenue Refunding Bonds (Riverside Military Academy), 5.125% due 3/01/2037 1,843 1,500 Milledgeville-Baldwin County, Georgia, Development Authority Revenue Bonds (Georgia College and State University Foundation), 6% due 9/01/2033 1,651 Illinois - 7.4% 1,000 Bolingbrook, Illinois, Special Services Area Number 1, Special Tax Bonds (Forest City Project), 5.90% due 9/01/2007 1,031 3 Chicago, Illinois, Board of Education, GO, DRIVERS, Series 199, 7.503% due 12/01/2020 (c)(n)(t) 3 26,800 Chicago, Illinois, O'Hare International Airport Revenue Bonds, Third Lien, AMT, Series B-2, 6% due 1/01/2029 (k) 29,975 6,915 Chicago, Illinois, O'Hare International Airport, Special Facility Revenue Refunding Bonds (American Airlines Inc. Project), 8.20% due 12/01/2024 7,012 350 Chicago, Illinois, Park District, GO, Refunding, Series B, 5.75% due 1/01/2015 (e) 374 230 Chicago, Illinois, Park District, Limited Tax, GO, Series A, 5.75% due 1/01/2016 (e) 246 325 Chicago, Illinois, S/F Mortgage Revenue Bonds, AMT, Series A, 7.15% due 9/01/2031 (i)(l) 334 2,000 Chicago, Illinois, Special Assessment Bonds (Lake Shore East), 6.75% due 12/01/2032 2,166 3,210 Cicero, Illinois, GO, Refunding (Corporate Purpose), 6% due 12/01/2028 (f) 3,438 7,000 Decatur, Illinois, GO, Refunding, 6% due 3/01/2008 (e)(j) 7,149 10,000 Hodgkins, Illinois, Environmental Improvement Revenue Bonds (Metro Biosolids Management LLC Project), AMT, 6% due 11/01/2023 10,356 3,140 Illinois Development Finance Authority Revenue Bonds (Community Rehabilitation Providers Facilities), Series A, 6.50% due 7/01/2022 3,403 1,750 Illinois State Finance Authority Revenue Bonds (Friendship Village of Schaumburg), Series A, 5.625% due 2/15/2037 1,804 2,155 Illinois State Finance Authority Revenue Bonds (Landing At Plymouth Place Project), Series A, 6% due 5/15/2037 2,294 8,890 Illinois State, GO, 1st Series, 5.75% due 12/01/2015 (f) 9,500 3,745 Illinois State, GO, 1st Series, 5.75% due 12/01/2016 (f) 4,005 4,000 Illinois State, GO, 1st Series, 5.75% due 12/01/2017 (f) 4,277 3,000 Illinois State, Sales Tax Revenue Bonds, 6% due 6/15/2020 3,198 3,000 Illinois State, Sales Tax Revenue Refunding Bonds, Series Q, 6% due 6/15/2009 3,064 2,000 Lake County, Illinois, Forest Preservation District, GO (Land Acquisition and Development), 5.75% due 12/15/2016 2,142 16,160 Metropolitan Pier and Exposition Authority, Illinois, Dedicated State Tax Revenue Bonds (McCormick Place Expansion), Series A, 5.25% due 6/15/2042 (f) 17,247 625 Naperville, Illinois, IDR (General Motors Corporation), Refunding, VRDN, 7.50% due 12/01/2012 (g) 625 1,585 Village of Wheeling, Illinois, Revenue Bonds (North Milwaukee/Lake-Cook Tax Increment Financing (TIF) Redevelopment Project), 6% due 1/01/2025 1,614 Indiana - 0.5% 7,350 Indiana Bond Bank, Special Program Revenue Bonds (Town of Westfield and West Central Conservancy District Projects), Series A, 5.125% due 10/01/2022 (f) 7,773 Iowa - 0.4% 1,000 Iowa City, Iowa, Sewer Revenue Bonds, 5.75% due 7/01/2021 (f) 1,002 4,000 Iowa Finance Authority, Health Care Facilities, Revenue Refunding Bonds (Care Initiatives Project), 9.25% due 7/01/2011 (j) 4,879 Kansas - 0.7% 7,000 Sedgwick and Shawnee Counties, Kansas, S/F Mortgage Revenue Bonds (Mortgage-Backed Securities Program), AMT, Series B-2, 5.25% due 12/01/2038 (i)(l) 7,365 1,555 Sedgwick and Shawnee Counties, Kansas, S/F Revenue Bonds, AMT, Series A-1, 6.95% due 6/01/2029 (d) 1,622 2,500 Wichita, Kansas, Hospital Facilities Revenue Refunding and Improvement Bonds, Series III, 6.25% due 11/15/2019 2,731 Louisiana - 1.1% 400 Louisiana HFA, S/F Mortgage Revenue Bonds, AMT, Series D-2, 5.80% due 6/01/2020 (i) 401 7,000 Louisiana Local Government Environmental Facilities and Community Development Authority, Revenue Bonds (Capital Projects and Equipment Acquisition), Series A, 6.30% due 7/01/2030 (c) 8,364 5,000 Louisiana Public Facilities Authority Revenue Bonds (University of New Orleans Research and Technology Foundation, Inc. - Student Housing Project), 5.25% due 3/01/2037 (f) 5,393 365 Louisiana State, HFA, S/F, Revenue Refunding Bonds (Home Ownership Program), Series B-2, AMT, 6.20% due 12/01/2029 (b)(i) 368 2,000 Rapides Finance Authority, Louisiana, Environmental Improvement Revenue Bonds (International Paper Company Project), AMT, Series A, 6.55% due 11/15/2023 2,122 Maine - 0.5% 8,635 Maine Finance Authority, Solid Waste Recycling Facilities Revenue Bonds (Great Northern Paper Project-Bowater), AMT, 7.75% due 10/01/2022 8,700 Maryland - 0.4% 500 Anne Arundel County, Maryland, Special Obligation Revenue Bonds (Arundel Mills Project), 7.10% due 7/01/2009 (j) 545 1,000 Maryland State Community Development Administration, Department of Housing and Community Development, Housing Revenue Bonds, AMT, Series B, 6.15% due 1/01/2021 1,036 1,000 Maryland State Community Development Administration, Department of Housing and Community Development Revenue Bonds (Waters Landing II Apartments), AMT, Series A, 5.875% due 8/01/2033 1,045 1,000 Maryland State Energy Financing Administration, Solid Waste Disposal Revenue Bonds, Limited Obligation (Wheelabrator Water Projects), AMT, 6.45% due 12/01/2016 1,022 3,200 Maryland State Health and Higher Educational Facilities Authority Revenue Bonds (King Farm Presbyterian Community), Series B, 5% due 1/01/2017 3,216 Massachusetts - 0.5% 275 Massachusetts Educational Financing Authority, Education Loan Revenue Refunding Bonds, AMT, Issue E, 5.85% due 7/01/2014 (c) 277 4,450 Massachusetts State Health and Educational Facilities Authority Revenue Bonds (Medical Center of Central Massachusetts), CARS, Series B, 9.747% due 6/23/2022 (c)(n) 4,682 1,000 Massachusetts State Industrial Finance Agency, Higher Education Revenue Refunding Bonds (Hampshire College Project), 5.625% due 10/01/2007 (j) 1,029 130 Massachusetts State Water Pollution Abatement Trust, Water Abatement Revenue Bonds, Series A, 6.375% due 2/01/2015 130 1,600 Montachusett, Massachusetts, Regional Vocational Technical School District, GO, 5.95% due 1/15/2020 (f) 1,709 Michigan - 1.5% 7,500 Delta County, Michigan, Economic Development Corporation, Environmental Improvement Revenue Refunding Bonds (Mead Westvaco-Escanaba), Series A, 6.25% due 4/15/2012 (j) 8,361 500 Dickinson County, Michigan, Economic Development Corporation, Environmental Improvement Revenue Refunding Bonds (International Paper Company Project), Series A, 5.75% due 6/01/2016 533 585 Eastern Michigan University, General Revenue Refunding Bonds, 6% due 6/01/2010 (c)(j) 631 415 Eastern Michigan University, General Revenue Refunding Bonds, 6% due 6/01/2024 (c) 446 3,000 Flint, Michigan, Hospital Building Authority, Revenue Refunding Bonds (Hurley Medical Center), 6% due 7/01/2020 3,151 3,325 Macomb County, Michigan, Hospital Finance Authority, Hospital Revenue Bonds (Mount Clemens General Hospital), Series B, 5.875% due 11/15/2034 3,524 1,500 Michigan State Hospital Finance Authority, Revenue Refunding Bonds (Mercy-Mount Clemens), Series A, 6% due 5/15/2014 (f) 1,577 5,000 Wayne Charter County, Michigan, Airport Revenue Bonds (Detroit Metropolitan Wayne County), AMT, Series A, 5% due 12/01/2019 (f) 5,113 Minnesota - 0.9% 520 Anoka County, Minnesota, Solid Waste Disposal Revenue Bonds (Natural Rural Utilities), AMT, Series A, 6.95% due 12/01/2008 535 1,000 Eden Prairie, Minnesota, M/F Housing Revenue Bonds (Rolling Hills Project), Series A, 6.15% due 8/20/2031 (d) 1,086 470 Minneapolis and Saint Paul, Minnesota, Metropolitan Airports Commission, Airport Revenue Bonds, AMT, Sub-Series D, 5.75% due 1/01/2012 (e) 498 470 Minneapolis and Saint Paul, Minnesota, Metropolitan Airports Commission, Airport Revenue Bonds, AMT, Sub-Series D, 5.75% due 1/01/2014 (e) 497 2,060 Minneapolis and Saint Paul, Minnesota, Metropolitan Airports Commission, Airport Revenue Bonds, AMT, Sub-Series D, 5.75% due 1/01/2015 (e) 2,188 575 Minneapolis, Minnesota, Community Development Agency, Supported Development Revenue Bonds (Common Bond Fund), AMT, Series 2, 6.20% due 6/01/2017 576 1,500 Minneapolis, Minnesota, Health Care System Revenue Bonds (Allina Health System), Series A, 5.70% due 11/15/2022 1,616 2,665 Minneapolis, Minnesota, Health Care System Revenue Bonds (Allina Health System), Series A, 5.75% due 11/15/2032 2,863 1,110 Ramsey County, Minnesota, Housing and Redevelopment Authority, M/F Housing Revenue Bonds (Hanover Townhouses Project), AMT, 6% due 7/01/2031 1,143 1,000 Saint Cloud, Minnesota, Health Care Revenue Refunding Bonds (Saint Cloud Hospital Obligation Group), Series A, 6.25% due 5/01/2020 (h) 1,079 1,500 Waconia, Minnesota, Health Care Facilities Revenue Bonds (Ridgeview Medical Center Project), Series A, 6.125% due 1/01/2029 (m) 1,583 Mississippi - 0.4% 4,000 Mississippi Home Corporation, S/F Mortgage Revenue Bonds, Series A-1, 5.50% due 6/01/2038 (i)(l) 4,299 1,700 Warren County, Mississippi, Environmental Improvement Revenue Refunding Bonds (International Paper Company Project), AMT, Series B, 6.75% due 8/01/2021 1,821 Missouri - 0.6% 1,000 Fenton, Missouri, Tax Increment Revenue Refunding and Improvement Bonds (Gravois Bluffs Redevelopment Project), 5% due 4/01/2014 1,052 1,500 Kansas City, Missouri, IDA, First Mortgage Health Facilities Revenue Bonds (Bishop Spencer Place), Series A, 6.50% due 1/01/2035 1,590 6,500 Missouri State Housing Development Commission, S/F Mortgage Revenue Bonds (Homeownership Loan Program), AMT, Series E-1, 5.60% due 3/01/2037 (i) 7,001 Montana - 0.6% 3,000 Montana State Board of Housing, S/F Mortgage Revenue Refunding Bonds, AMT, Series A-2, 5.50% due 6/01/2037 3,177 6,000 Montana State Higher Education, Student Assistance Corporation, Student Loan Revenue Refunding Bonds, AMT, Sub-Series B, 6.40% due 12/01/2032 6,296 Nevada - 1.7% 3,500 Clark County, Nevada, Airport Revenue Bonds (Jet Aviation Fuel Tax), AMT, Series C, 5.375% due 7/01/2020 (c) 3,712 1,545 Clark County, Nevada, Improvement District Number 142, Special Assessment Bonds, 6.375% due 8/01/2023 1,598 165 Elko, Nevada, GO (Airport Improvement), AMT, Series B, 6.10% due 10/01/2014 (f) 168 245 Elko, Nevada, GO (Airport Improvement), AMT, Series B, 6.30% due 10/01/2019 (f) 250 320 Elko, Nevada, GO (Airport Improvement), AMT, Series B, 6.75% due 10/01/2024 (f) 328 225 Elko, Nevada, GO (Airport Improvement), AMT, Series B, 7% due 10/01/2029 (f) 231 2,535 Henderson, Nevada, Local Improvement Districts, Special Assessment, Series NO T-14, 5.80% due 3/01/2023 2,619 1,740 Las Vegas, Nevada, Local Improvement Bonds, Special Assessment, Special Improvement District Number 808, Summerlin, 5.875% due 6/01/2009 1,788 2,005 Las Vegas, Nevada, Local Improvement Bonds, Special Assessment, Special Improvement District Number 808, Summerlin, 6.125% due 6/01/2012 2,070 2,235 Las Vegas, Nevada, Local Improvement Bonds, Special Assessment, Special Improvement District Number 808, Summerlin, 6.25% due 6/01/2013 2,308 1,905 Reno, Nevada, Special Assessment District Number 4 (Somerset Parkway), 6.625% due 12/01/2022 1,966 3,110 Sparks, Nevada, Redevelopment Agency, Tax Allocation Revenue Refunding Bonds, Series A, 6% due 1/15/2015 (m) 3,297 6,315 Sparks, Nevada, Redevelopment Agency, Tax Allocation Revenue Refunding Bonds, Series A, 6% due 1/15/2023 (m) 6,684 New Hampshire - 0.2% 1,750 New Hampshire Health and Education Facilities Authority, Revenue Refunding Bonds (Elliot Hospital), Series B, 5.60% due 10/01/2022 1,877 590 New Hampshire Health and Education Facilities Authority, Revenue Refunding Bonds (Havenwood-Heritage Heights Retirement Community), Series A, 5% due 1/01/2016 592 1,035 New Hampshire Health and Education Facilities Authority, Revenue Refunding Bonds (Havenwood-Heritage Heights Retirement Community), Series A, 5.35% due 1/01/2026 1,047 New Jersey - 2.2% 310 Camden County, New Jersey, Pollution Control Financing Authority, Solid Waste Resource Recovery, Revenue Refunding Bonds, AMT, Series B, 7.50% due 12/01/2009 314 3,300 New Jersey EDA, Retirement Community Revenue Bonds (Cedar Crest Village Inc. Facility), Series A, 7.25% due 11/15/2011 (j) 3,799 3,680 New Jersey EDA, State Lease Revenue Bonds (State Office Buildings Projects), 6% due 6/15/2010 (c)(j) 3,943 3,130 New Jersey Health Care Facilities Financing Authority Revenue Bonds (South Jersey Hospital), 6% due 7/01/2012 (j) 3,452 2,250 New Jersey Health Care Facilities Financing Authority, Revenue Refunding Bonds (Capital Health System Inc.), Series A, 5.75% due 7/01/2023 2,417 1,090 New Jersey State Housing and Mortgage Finance Agency, M/F Housing Revenue Refunding Bonds, Series B, 6.25% due 11/01/2026 (h) 1,136 7,025 New Jersey State Turnpike Authority, Turnpike Revenue Refunding Bonds, Series A, 5.75% due 1/01/2010 (f)(j) 7,413 2,975 New Jersey State Turnpike Authority, Turnpike Revenue Refunding Bonds, Series A, 5.75% due 1/01/2018 (a)(f) 3,129 7,000 Tobacco Settlement Financing Corporation of New Jersey, Asset-Backed Revenue Bonds, 7% due 6/01/2013 (j) 8,242 New Mexico - 0.8% 8,000 Farmington, New Mexico, PCR, Refunding (Public Service Company of New Mexico - San Juan Project), Series B, 6.30% due 12/01/2016 8,172 75 New Mexico Mortgage Finance Authority, Revenue Refunding Bonds, Mortgage-Backed Securities, Series F, 7% due 1/01/2026 (i) 76 3,835 New Mexico Mortgage Financing Authority, S/F Mortgage Program Revenue Bonds, AMT, Series D, 6.15% due 7/01/2035 (i)(l) 4,085 250 Santa Fe County, New Mexico, Correctional System Revenue Bonds, 6% due 2/01/2027 (h) 300 New York - 5.9% 10,000 Metropolitan Transportation Authority, New York, Transit Facilities Revenue Bonds, Series A, 5.625% due 7/01/2007 (f)(j) 10,197 3,230 New York City, New York, City IDA, Civic Facility Revenue Bonds (Special Needs Facilities Pooled Program), Series C-1, 6% due 7/01/2012 3,357 4,050 New York City, New York, City IDA, Special Facility Revenue Bonds (British Airways Plc Project), AMT, 7.625% due 12/01/2032 4,527 21,800 New York City, New York, City Municipal Financing Authority, Water and Sewer Systems Revenue Bonds, Series A, 4.25% due 6/15/2039 (h) 20,737 6,540 New York City, New York, GO, Refunding, Series A, 6% due 5/15/2010 (j) 7,060 2,205 New York City, New York, GO, Refunding, Series A, 6.25% due 5/15/2010 (j)(k) 2,397 60 New York City, New York, GO, Refunding, Series A, 6% due 5/15/2021 (k) 65 675 New York City, New York, GO, Refunding, Series H, 6% due 8/01/2007 (j)(k) 687 325 New York City, New York, GO, Refunding, Series H, 6% due 8/01/2017 (k) 331 6,640 New York City, New York, GO, Series B, 5.875% due 8/01/2010 (f)(j) 7,172 1,300 New York City, New York, GO, Series B, 5.875% due 8/01/2015 (f) 1,398 590 New York State Dormitory Authority, Non-State Supported Debt, Revenue Refunding Bonds (Mount Sinai-NYU Medical Center Health System), Series A, 6.50% due 7/01/2010 (j) 647 2,410 New York State Dormitory Authority, Non-State Supported Debt, Revenue Refunding Bonds (Mount Sinai-NYU Medical Center Health System), Series A, 6.50% due 7/01/2016 2,583 4,000 New York State Dormitory Authority Revenue Bonds (Saint Barnabas Hospital), Series A, 5.125% due 2/01/2022 (b)(c) 4,228 1,680 New York State Dormitory Authority, Revenue Refunding Bonds (Mount Sinai Health), Series A, 6.50% due 7/01/2025 1,798 3,000 New York State Dormitory Authority, Revenue Refunding Bonds (State University Educational Facilities), Series A, 7.50% due 5/15/2013 3,582 1,360 New York State Environmental Facilities Corporation, State Clean Water and Drinking Revenue Bonds (Revolving Funds), Series B, 5.875% due 1/15/2019 1,441 2,285 Oneida County, New York, IDA Revenue Bonds (Civic Facility-Faxton Hospital), Series C, 6.625% due 1/01/2015 (m) 2,466 3,000 Port Authority of New York and New Jersey, Consolidated Revenue Bonds, AMT, Thirty-Seventh Series, 5.50% due 7/15/2018 (h) 3,273 95 Suffolk County, New York, IDA, Civic Facility Revenue Bonds (Special Needs Facilities Pooled Program), Series D-1, 6% due 7/01/2012 99 5,000 Triborough Bridge and Tunnel Authority, New York, Subordinate Revenue Bonds, 5.125% due 11/15/2026 (c) 5,336 705 Westchester County, New York, IDA, Civic Facilities Revenue Bonds (Special Needs Facilities Pooled Program), Series E-1, 6% due 7/01/2012 732 8,095 Westchester County, New York, IDA, Continuing Care Retirement, Mortgage Revenue Bonds (Kendal on Hudson Project), Series A, 6.50% due 1/01/2034 8,684 North Carolina - 2.6% 920 Brunswick County, North Carolina, COP, 6% due 6/01/2010 (h)(j) 993 4,000 North Carolina Eastern Municipal Power Agency, Power System Revenue Bonds, Series D, 6.75% due 1/01/2026 4,299 4,440 North Carolina Eastern Municipal Power Agency, Power System Revenue Refunding Bonds, Series D, 6.70% due 1/01/2019 (o) 4,778 4,390 North Carolina HFA, Home Ownership Revenue Bonds, AMT, Series 9-A, 5.80% due 1/01/2020 4,544 2,500 North Carolina Medical Care Commission, Health Care Facilities, First Mortgage Revenue Bonds (Presbyterian Homes Project), 6.875% due 10/01/2010 (j) 2,754 3,000 North Carolina Medical Care Commission, Health Care Facilities, First Mortgage Revenue Bonds (Presbyterian Homes Project), 5.50% due 10/01/2031 3,122 2,500 North Carolina Medical Care Commission, Health Care Facilities, First Mortgage Revenue Refunding Bonds (Presbyterian Homes Project), Series B, 5.20% due 10/01/2021 2,571 1,100 North Carolina Medical Care Commission, Health Care Facilities, First Mortgage Revenue Refunding Bonds (Salemtowne Project), 5.10% due 10/01/2030 1,116 1,625 North Carolina Medical Care Commission, Retirement Facilities, First Mortgage Revenue Bonds (Forest at Duke Project), 6.375% due 9/01/2032 1,730 2,500 North Carolina Medical Care Commission, Retirement Facilities, First Mortgage Revenue Bonds (Givens Estates Project), Series A, 6.50% due 7/01/2013 (j) 2,886 500 North Carolina Municipal Power Agency Number 1, Catawba Electric Revenue Refunding Bonds, Series B, 6.375% due 1/01/2013 535 1,080 North Carolina Municipal Power Agency Number 1, Catawba Electric Revenue Refunding Bonds, Series B, 6.375% due 1/01/2013 (o) 1,154 5,000 North Carolina Municipal Power Agency Number 1, Catawba Electric Revenue Refunding Bonds, Series B, 6.50% due 1/01/2020 5,374 2,500 North Carolina Municipal Power Agency Number 1, Catawba Electric Revenue Refunding Bonds, Series B, 6.50% due 1/01/2020 (o) 2,687 1,000 Piedmont Triad Airport Authority, North Carolina, Airport Revenue Refunding Bonds, Series A, 6% due 7/01/2009 (h)(j) 1,060 1,000 Piedmont Triad Airport Authority, North Carolina, Airport Revenue Refunding Bonds, Series A, 6.375% due 7/01/2009 (h)(j) 1,068 Ohio - 1.3% 285 Ohio HFA, Mortgage Revenue Bonds, AMT, Series A-1, 6.15% due 3/01/2029 (d) 293 6,900 Ohio HFA, Mortgage Revenue Refunding Bonds, AMT, Series C, 5.90% due 9/01/2035 (i) 7,181 8,000 Ohio State Air Quality Development Authority Revenue Refunding Bonds (Ohio Power Company), Series C, 5.15% due 5/01/2026 (c) 8,255 1,470 Port of Greater Cincinnati Development Authority, Ohio, Special Assessment Revenue Bonds (Cooperative Public Parking Infrastructure Project), 6.40% due 2/15/2034 1,586 3,005 Toledo-Lucas County, Ohio, Lodging Tax Revenue Refunding Bonds (Convention Center Project), 5.70% due 10/01/2015 (f) 3,070 Oregon - 0.4% 250 Forest Grove, Oregon, Campus Improvement Revenue Refunding Bonds (Pacific University), 6% due 5/01/2010 (j)(m) 267 250 Forest Grove, Oregon, Campus Improvement Revenue Refunding Bonds (Pacific University), 6.20% due 5/01/2010 (j)(m) 269 40 Oregon State Housing and Community Services Department, Mortgage Revenue Refunding Bonds (S/F Mortgage Program), AMT, Series A, 6.20% due 7/01/2027 41 55 Oregon State Housing and Community Services Department, Mortgage Revenue Refunding Bonds (S/F Mortgage Program), Series A, 6.40% due 7/01/2018 56 500 Portland, Oregon, M/F Housing Authority Revenue Bonds (Lovejoy Station Apartments Project), AMT, 5.90% due 7/01/2023 (f) 518 1,000 Portland, Oregon, Urban Renewal and Redevelopment Revenue Refunding Bonds (Downtown Waterfront), Series A, 5.75% due 6/15/2018 (c) 1,070 3,190 Portland, Oregon, Urban Renewal and Redevelopment Revenue Refunding Bonds (South Park Blocks), Series A, 5.75% due 6/15/2018 (c) 3,414 Pennsylvania - 1.8% 3,640 Allegheny County, Pennsylvania, IDA, Environmental Improvement Revenue Refunding Bonds, 5.50% due 11/01/2016 3,856 2,220 Allegheny County, Pennsylvania, Sanitation Authority, Sewer Revenue Bonds, 5.75% due 12/01/2010 (f)(j) 2,393 1,760 Bucks County, Pennsylvania, IDA, Retirement Community Revenue Bonds (Ann's Choice Inc.), Series A, 6.125% due 1/01/2025 1,872 7,750 Delaware County, Pennsylvania, IDA, Revenue Refunding Bonds (Resource Recovery Facility), Series A, 6.10% due 7/01/2013 8,005 1,000 Harrisburg, Pennsylvania, Authority, University Revenue Bonds (Harrisburg University of Science), Series A, 5.40% due 9/01/2016 1,019 4,000 Pennsylvania State Higher Educational Facilities Authority Revenue Bonds (University of Pennsylvania Medical Center Health System), Series A, 6% due 1/15/2031 4,323 1,265 Philadelphia, Pennsylvania, Authority for IDR, Commercial Development, 7.75% due 12/01/2017 1,268 5,000 Sayre, Pennsylvania, Health Care Facilities Authority, Revenue Refunding Bonds (Guthrie Healthcare System), Series A, 5.875% due 12/01/2031 5,388 Rhode Island - 0.5% 6,815 Rhode Island State Economic Development Corporation, Airport Revenue Bonds, Series B, 6% due 7/01/2010 (e)(j) 7,362 1,000 Rhode Island State Economic Development Corporation Revenue Bonds (Providence Place Mall), 6.125% due 7/01/2020 (m) 1,102 South Carolina - 0.9% 2,450 Medical University Hospital Authority, South Carolina, Hospital Facilities Revenue Refunding Bonds, 6.50% due 8/15/2012 (j) 2,783 5,400 Medical University Hospital Authority, South Carolina, Hospital Facilities Revenue Refunding Bonds, Series A, 6.375% due 8/15/2012 (j) 6,101 5,000 South Carolina Jobs EDA, Residential Care Facilities Revenue Bonds (South Carolina Episcopal - Still Hopes Residence Project), Series A, 6.375% due 5/15/2032 5,279 South Dakota - 0.4% 3,750 Pierre, South Dakota, School District Number 32-2, GO, 5.75% due 8/01/2010 (h)(j) 3,995 1,680 South Dakota, HDA, Homeownership Revenue Bonds, AMT, Series C, 5.375% due 5/01/2018 1,720 Tennessee - 1.5% 4,485 Chattanooga, Tennessee, IDB, Lease Rent Revenue Bonds (Southside Redevelopment Corporation), 5.75% due 10/01/2017 (c) 4,783 3,740 Chattanooga, Tennessee, IDB, Lease Rent Revenue Bonds (Southside Redevelopment Corporation), 5.75% due 10/01/2018 (c) 3,978 1,000 Johnson City, Tennessee, Health and Educational Facilities Board, Retirement Facility Revenue Bonds (Appalachian Christian Village Project), Series A, 6.25% due 2/15/2032 1,049 4,950 McMinn County, Tennessee, IDB, Solid Waste Revenue Bonds (Recycling Facility-Calhoun Newsprint), AMT, 7.40% due 12/01/2022 5,018 7,300 Shelby County, Tennessee, Health, Educational and Housing Facility Board, Hospital Revenue Refunding Bonds (Methodist Healthcare), 6.50% due 9/01/2012 (j) 8,299 Texas - 12.6% 4,000 Alliance Airport Authority, Inc., Texas, Special Facilities Revenue Bonds (American Airlines Inc. Project), AMT, 7.50% due 12/01/2029 4,004 5,000 Alliance Airport Authority, Inc., Texas, Special Facilities Revenue Refunding Bonds (American Airlines Inc. Project), AMT, 5.75% due 12/01/2029 5,075 5,300 Austin, Texas, Convention Center Revenue Bonds (Convention Enterprises Inc.), First Tier, Series A, 6.60% due 1/01/2011 (j) 5,826 2,300 Austin, Texas, Convention Center Revenue Bonds (Convention Enterprises Inc.), First Tier, Series A, 6.70% due 1/01/2011 (j) 2,536 10,630 Austin, Texas, Revenue Bonds (Town Lake Community Events Center Venue), 6.20% due 11/15/2009 (e)(j) 11,308 600 Bexar County, Texas, Health Facilities Development Corporation, Revenue Refunding Bonds (Army Retirement Residence Project), 6.125% due 7/01/2012 (j) 671 1,750 Bexar County, Texas, Health Facilities Development Corporation, Revenue Refunding Bonds (Army Retirement Residence Project), 6.30% due 7/01/2012 (j) 1,972 2,280 Brazos River Authority, Texas, PCR, Refunding (TXU Energy Company LLC Project), AMT, Series A, 7.70% due 4/01/2033 2,593 4,250 Brazos River Authority, Texas, Revenue Refunding Bonds (Reliant Energy Inc. Project), Series B, 7.75% due 12/01/2018 4,469 3,700 Brazos River, Texas, Harbor Navigation District, Brazoria County Environmental Revenue Refunding Bonds (Dow Chemical Company Project), AMT, Series A-7, 6.625% due 5/15/2033 4,135 525 Central Texas Housing Finance Corporation, S/F Mortgage Revenue Bonds (GNMA Mortgage Program), AMT, 8.20% due 4/01/2022 (b)(d) 542 3,620 Dallas-Fort Worth, Texas, International Airport Facility Improvement Corporation, Revenue Bonds (Learjet Inc.), AMT, Series A-1, 6.15% due 1/01/2016 3,651 600 Dallas, Texas, Industrial Development Corporation, IDR (CR/PL Inc. Project), VRDN, AMT, 7.50% due 8/01/2017 607 4,825 Dawson County, Texas, Hospital District, GO, 5.125% due 2/15/2031 (c) 5,062 1,260 Fort Bend County, Texas, Municipal Utility District Number 23, GO, 6.625% due 9/01/2007 (j)(m) 1,276 3,500 Gregg County, Texas, Health Facilities Development Corporation, Hospital Revenue Bonds (Good Shepherd Medical Center Project), 6.375% due 10/01/2010 (j)(m) 3,835 1,000 Gregg County, Texas, Health Facilities Development Corporation, Hospital Revenue Bonds (Good Shepherd Medical Center Project), 6.875% due 10/01/2010 (j)(m) 1,112 5,465 Gulf Coast Waste Disposal Authority, Texas, Revenue Refunding Bonds (International Paper Company), AMT, Series A, 6.10% due 8/01/2024 5,854 2,255 HFDC of Central Texas, Inc., Retirement Facilities Revenue Bonds, Series A, 5.75% due 11/01/2036 2,337 1,850 HFDC of Central Texas, Inc., Retirement Facilities Revenue Bonds (Village at Gleannloch Farms), Series A, 5.50% due 2/15/2037 1,897 15,000 Houston, Texas, Airport System Revenue Refunding Bonds, Sub-Lien, AMT, Series A, 5.50% due 7/01/2023 (h) 15,632 6,000 Houston, Texas, Airport System, Special Facilities Revenue Bonds (Continental Airlines), AMT, Series E, 7% due 7/01/2029 6,495 4,000 Kerrville, Texas, Health Facilities Development Corporation, Hospital Revenue Bonds (Sid Peterson Memorial Hospital Project), 5.25% due 8/15/2021 4,173 8,080 Matagorda County, Texas, Navigation District Number 1, Revenue Refunding Bonds (Reliant Energy Inc.), Series C, 8% due 5/01/2029 8,493 7,350 Matagorda County, Texas, Port of Bay City Authority Revenue Bonds (Hoechst Celanese Corp. Project), AMT, 6.50% due 5/01/2026 7,491 4,825 Port Corpus Christi, Texas, Individual Development Corporation, Environmental Facilities Revenue Bonds (Citgo Petroleum Corporation Project), AMT, 8.25% due 11/01/2031 4,934 1,000 Red River, Texas, Education Finance Revenue Bonds (Saint Mark's School-Texas Project), 6% due 8/15/2019 1,056 830 South Plains, Texas, Housing Finance Corporation, S/F Mortgage Revenue Bonds, AMT, Series A, 7.30% due 9/01/2031 (i) 841 85 Southeast Texas Housing Finance Corporation, Revenue Bonds, AMT, Series A, 8% due 11/01/2025 (d)(l) 86 155 Southeast Texas Housing Finance Corporation, Revenue Bonds, AMT, Series B, 8.50% due 11/01/2025 (d)(l) 158 2,200 Tarrant County, Texas, Cultural Education Facilities Financing Corporation, Retirement Facilities Revenue Refunding Bonds (Northwest Senior Housing - Edgemere Project), Series A, 6% due 11/15/2026 2,368 3,000 Tarrant County, Texas, Cultural Education Facilities Financing Corporation, Retirement Facilities Revenue Refunding Bonds (Northwest Senior Housing - Edgemere Project), Series A, 6% due 11/15/2036 3,210 5,000 Texas State Affordable Housing Corporation, S/F Mortgage Revenue Bonds (Fire Fighter and Law Enforcement or Security Officer Home Loan Program), AMT, Series C, 5.45% due 12/01/2039 (i)(l) 5,326 6,250 Texas State Affordable Housing Corporation, S/F Mortgage Revenue Bonds (Professional Educators Program), AMT, Series A-1, 5.50% due 12/01/2039 (i)(l) 6,683 2,100 Texas State Public Finance Authority, Building Revenue Bonds (General Services Commission Project), Series A, 6% due 2/01/2010 (h)(j) 2,231 1,000 Texas State Public Finance Authority, Building Revenue Bonds (State Preservation Project), Series B, 6% due 8/01/2009 (h)(j) 1,053 45,000 Texas State Turnpike Authority, Central Texas Turnpike System Revenue Bonds, First Tier, Series A, 5.75% due 8/15/2038 (c) 48,977 4,930 Upper Trinity Regional Water District, Texas, Water Revenue Bonds (Regional Treated Water Supply System), Series A, 6% due 8/01/2010 (e)(j) 5,289 1,500 Webster, Texas, GO, COP, Series A, 6% due 3/01/2010 (h)(j) 1,596 805 Webster, Texas, GO, COP, Series A, 6% due 3/01/2021 (h) 855 1,250 West Central Texas Regional Housing Finance Corporation, S/F Mortgage Revenue Bonds (Mortgage-Backed Securities Program), AMT, Series A, 5.35% due 12/01/2039 (i)(l) 1,313 Utah - 0.1% 815 Utah State HFA, S/F Mortgage Revenue Refunding Bonds, AMT, Series C, Class III, 5.50% due 1/01/2018 829 Virginia - 0.8% 1,750 Albermarle County, Virginia, IDA, Residential Care Facilities, Mortgage Revenue Refunding Bonds (Westminster-Canterbury), 5% due 1/01/2024 1,765 1,100 Albermarle County, Virginia, IDA, Residential Care Facilities, Mortgage Revenue Refunding Bonds (Westminster-Canterbury), 5% due 1/01/2031 1,107 2,425 Chesterfield County, Virginia, IDA, PCR, Refunding (Virginia Electric and Power Company), Series B, 5.875% due 6/01/2017 2,612 4,590 Montgomery County, Virginia, IDA, Lease Revenue Bonds, Series B, 5.125% due 1/15/2019 (f) 4,782 500 Norfolk, Virginia, Redevelopment and Housing Authority, First Mortgage Revenue Bonds (Retirement Community), Series A, 6% due 1/01/2025 526 1,100 Norfolk, Virginia, Redevelopment and Housing Authority, First Mortgage Revenue Bonds (Retirement Community), Series A, 6.125% due 1/01/2035 1,159 Washington - 1.8% 5,000 Energy Northwest, Washington, Electric Revenue Refunding Bonds (Project Number 3), Series A, 5.50% due 7/01/2017 (h) 5,377 3,000 Port of Seattle, Washington, Special Facilities Revenue Bonds, Series A, 6% due 3/01/2010 (f)(j) 3,220 3,010 Seattle, Washington, Drain and Wastewater Utility Revenue Bonds, 5.75% due 11/01/2009 (f)(j) 3,193 2,750 Seattle, Washington, Housing Authority Revenue Bonds (Newholly Project), AMT, 6.25% due 12/01/2035 2,845 4,710 Seattle, Washington, Housing Authority Revenue Bonds (Replacement Housing Project), 6.125% due 12/01/2032 4,840 7,750 Tacoma, Washington, Electric System Revenue Refunding Bonds, Series A, 5.75% due 1/01/2011 (h)(j) 8,375 Wisconsin - 0.7% 990 Wisconsin Housing and EDA, Home Ownership Revenue Bonds, AMT, Series C, 6% due 9/01/2036 1,050 3,155 Wisconsin State Health and Educational Facilities Authority Revenue Bonds (SynergyHealth Inc.), 6% due 11/15/2023 3,428 3,700 Wisconsin State Health and Educational Facilities Authority Revenue Bonds (SynergyHealth Inc.), 6% due 11/15/2032 4,013 1,960 Wisconsin State, GO, AMT, Series B, 6.20% due 11/01/2026 (f) 1,981 Guam - 0.0% 115 Guam Housing Corporation, S/F Mortgage Revenue Bonds, AMT, Series A, 5.75% due 9/01/2031 (l) 125 Puerto Rico - 2.2% 8,045 Puerto Rico Commonwealth Highway and Transportation Authority, Transportation Revenue Bonds, 5.75% due 7/01/2022 8,821 10,000 Puerto Rico Commonwealth Infrastructure Financing Authority, Special Tax and Capital Appreciation Revenue Bonds, Series A, 4.64% due 7/01/2032 (e)(p) 3,267 785 Puerto Rico Commonwealth, Public Improvement, GO, Refunding, 5.70% due 7/01/2020 (f)(p) 833 5,500 Puerto Rico Commonwealth, Public Improvement, GO, Refunding, Series B, 5.25% due 7/01/2032 5,886 15,000 Puerto Rico Electric Power Authority, Power Revenue Bonds, Series NN, 5.125% due 7/01/2029 15,671 U.S. Virgin 8,000 Virgin Islands Government Refinery Facilities, Revenue Refunding Bonds (Hovensa Islands - 0.6% Coker Project), AMT, 6.50% due 7/01/2021 9,007 Total Municipal Bonds (Cost - $1,307,025) - 87.5% 1,366,093 Municipal Bonds Held in Trust (s) California - 2.0% 28,500 Los Angeles, California, Unified School District, GO, Series A, 5% due 1/01/2028 (f) 30,715 Connecticut - 0.7% 10,045 Connecticut State Health and Educational Facilities Authority Revenue Refunding Bonds (Eastern Connecticut Health Network), Series A, 6.50% due 7/01/2030 (m) 10,994 District of 10,000 District of Columbia, GO, Refunding, Series A, 6% due 6/01/2007 (f)(j) 10,237 Columbia - 0.7% Florida - 2.3% 14,000 Lee County, Florida, Airport Revenue Bonds, AMT, Series A, 6% due 10/01/2029 (h) 15,029 20,115 Port St. Lucie, Florida, Utility Revenue Bonds, 5.125% due 9/01/2036 (f) 21,517 Illinois - 1.4% 21,235 Chicago, Illinois, Board of Education, GO (Chicago School Reform), 5.75% due 12/01/2007 (c)(j) 21,941 Michigan - 0.9% 13,500 Hartland, Michigan, Consolidated School District, GO, Refunding, 5.125% due 5/01/2029 13,981 New Jersey - 2.9% 22,000 New Jersey EDA, School Facilities Construction Revenue Bonds, Series O, 5.25% due 3/01/2024 23,757 20,000 New Jersey State Turnpike Authority, Turnpike Revenue Refunding Bonds, Series A, 5.75% due 1/01/2018 (f) 21,036 Pennsylvania - 2.5% 36,210 Philadelphia, Pennsylvania, Redevelopment Authority Revenue Bonds (Neighborhood Transformation), Series A, 5.30% due 4/15/2026 (e) 38,482 South Carolina - 1.4% 21,215 South Carolina State Ports Authority, Ports Revenue Bonds, AMT, 5.30% due 7/01/2026 (h) 21,692 Texas - 5.0% 36,500 Dallas-Fort Worth, Texas, International Airport Revenue Bonds, AMT, Series A, 6% due 11/01/2024 (e) 38,282 18,860 Houston, Texas, Airport System Revenue Refunding Bonds, Sub Lien, Series B, 5.20% due 7/01/2018 (e) 19,280 20,000 Houston, Texas, Combined Utility System, First Lien Revenue Refunding Bonds, Series A, 5.125% due 5/15/2028 (f) 21,144 Puerto Rico - 0.8% 4,000 Puerto Rico Commonwealth, Public Improvement, GO, Refunding, 5.70% due 7/01/2020 (f) 4,233 4,000 Puerto Rico Industrial Tourist Educational, Medical and Environmental Control Facilities Revenue Bonds (Hospital de la Concepcion), Series A, 6.125% due 11/15/2025 4,320 4,220 Puerto Rico Industrial Tourist Educational, Medical and Environmental Control Facilities Revenue Bonds (Hospital de la Concepcion), Series A, 6.125% due 11/15/2030 4,588 Total Municipal Bonds Held in Trust (Cost - $316,787) - 20.6% 321,228 Shares Held Short-Term Securities 1,123 Merrill Lynch Institutional Tax-Exempt Fund, 3.51% (q)(r) 1,123 Total Short-Term Securities (Cost - $1,123) - 0.1% 1,123 Total Investments (Cost - $1,624,935*) - 108.2% 1,688,444 Other Assets Less Liabilities - 1.9% 30,208 Liability for Trust Certificates, Including Interest Expense Payable - (10.1%) (158,405) ----------- Net Assets - 100.0% $ 1,560,247 =========== * The cost and unrealized appreciation (depreciation) of investments as of March 31, 2007, as computed for federal income tax purposes, were as follows: Aggregate cost $ 1,469,296 ================ Gross unrealized appreciation $ 64,647 Gross unrealized depreciation (2,410) ---------------- Net unrealized appreciation $ 62,237 ================ (a) Escrowed to maturity. (b) FHA Insured. (c) AMBAC Insured. (d) GNMA Collateralized. (e) FGIC Insured. (f) MBIA Insured. (g) Security may have a maturity of more than one year at time of issuance, but has variable rate and demand features that qualify it as a short-term security. The rate disclosed is that currently in effect. This rate changes periodically based upon prevailing market rates. (h) FSA Insured. (i) FNMA/GNMA Collateralized. (j) Prerefunded. (k) XL Capital Insured. (l) FHLMC Collateralized. (m) Radian Insured. (n) The rate disclosed is that currently in effect. This rate changes periodically and inversely based upon prevailing market rates. (o) ACA Insured. (p) Represents a zero coupon bond; the interest rate shown reflects the effective yield at the time of purchase. (q) Represents the current yield as of March 31, 2007. (r) Investments in companies considered to be an affiliate of the Fund, for purposes of Section 2(a)(3) of the Investment Company Act of 1940, were as follows: Net Dividend Affiliate Activity Income Merrill Lynch Institutional Tax-Exempt Fund $ (52,401) $ 1,221 (s) Securities represent underlying bonds transferred to a separate securitization trust established in a tender option bond transaction which the Fund may have acquired the residual interest certificates. These securities serve as collateral in a financing transaction. (t) These securities are short-term floating rate certificates issued by tender option bond trusts and are secured by the underlying municipal bond securities.
BlackRock Short-Term Municipal Fund of BlackRock Municipal Bond Fund, Inc. Schedule of Investments as of March 31, 2007 (In Thousands)
Face State Amount Municipal Bonds Value Alabama - 5.0% $ 6,075 Birmingham, Alabama, Special Care Facilities Financing Authority Revenue Bonds (Ascension Health Subordinate Credit Group), Series A, 5% due 10/01/2008 $ 6,191 8,095 Huntsville, Alabama, GO, Refunding, Series A, 5.25% due 2/01/2009 (j) 8,328 Alaska - 1.0% 1,600 Valdez, Alaska, Marine Terminal Revenue Refunding Bonds (BP Pipelines Inc. Project), VRDN, Series A, 3.67% due 6/01/2037 (b) 1,600 1,250 Valdez, Alaska, Marine Terminal Revenue Refunding Bonds (ConocoPhillips Company Project), VRDN, 3.77% due 5/01/2007 (b) 1,250 Arizona - 2.9% 1,378 Tierra Antigua, Arizona, Revenue Bonds, VRDN, AMT, Series A, 3.76% due 12/01/2034 (b) 1,378 7,000 Yavapai County, Arizona, IDA, Solid Waste Disposal Revenue Bonds (Waste Management Inc. Project), VRDN, AMT, 4% due 6/01/2027 (b) 6,946 California - 1.5% 750 California Pollution Control Financing Authority, Solid Waste Disposal Revenue Bonds (Republic Services, Inc. Project), VRDN, AMT, 4.04% due 3/01/2028 (b) 750 3,650 Contra Costa County, California, M/F Housing Revenue Bonds (Pleasant Hill Bart Transit Station Project), VRDN Series A, 3.95% due 4/15/2046 (b) 3,651 Colorado - 2.6% 7,500 Colorado State, General Fund Revenue Bonds, RAN, 4.50% due 6/27/2007 7,514 Florida - 8.6% 10,000 Florida Hurricane Catastrophe Fund Financing Corporation Revenue Bonds, Series A, 5% due 7/01/2008 10,163 14,195 Orange County, Florida, Tourist Development, Tax Revenue Bonds, 5.50% due 10/01/2009 (a)(c) 14,828 Georgia - 8.2% 5,600 Catoosa County, Georgia, School District, GO, 4.25% due 8/01/2008 (h) 5,645 6,005 Georgia Municipal Electric Authority, Power Revenue Refunding Bonds, Series DD, 7% due 1/01/2008 (h) 6,151 11,905 Georgia State, GO, Series B, 5% due 3/01/2008 12,057 Illinois - 3.6% 5,000 Chicago, Illinois, S/F Mortgage Revenue Refunding Bonds, AMT, Series F, 3.83% due 4/18/2008 5,000 5,390 Du Page County, Illinois, Transportation Revenue Refunding Bonds, 4.50% due 1/01/2009 (j) 5,471
Portfolio Abbreviations To simplify the listings of BlackRock Short-Term Municipal Fund of BlackRock Municipal Bond Fund, Inc.'s portfolio holdings in the Schedule of Investments, we have abbreviated the names of many of the securities according to the list below. AMT Alternative Minimum Tax (subject to) BAN Bond Anticipation Notes COP Certificates of Participation CP Commercial Paper EDR Economic Development Revenue Bonds GO General Obligation Bonds HFA Housing Finance Agency IDA Industrial Development Authority IDR Industrial Development Revenue Bonds M/F Multi-Family RAN Revenue Anticipation Notes S/F Single-Family TRAN Tax Revenue Anticipation Notes VRDN Variable Rate Demand Notes BlackRock Short-Term Municipal Fund of BlackRock Municipal Bond Fund, Inc. Schedule of Investments as of March 31, 2007 (concluded) (In Thousands)
Face State Amount Municipal Bonds Value Indiana - 2.1% $ 4,750 Indiana Bond Bank Revenue Bonds (State Revolving Fund), Series B, 5.30% due 8/01/2010 (c) $ 5,034 1,000 Indiana State Development Finance Authority, IDR (Republic Services, Inc. Project), VRDN, AMT, 4.01% due 11/01/2035 (b) 1,000 Kansas - 0.7% 2,000 Junction City, Kansas, Temporary Notes, GO, Series D, 5% due 8/01/2007 2,006 Louisiana - 1.7% 2,900 Louisiana HFA, S/F Mortgage Revenue Bonds, VRDN, AMT, 4.45% due 11/28/2008 (b) 2,900 2,134 Louisiana HFA, S/F Mortgage Revenue Refunding Bonds, VRDN, AMT, 4.524% due 4/30/2007 (b) 2,134 Massachusetts - 3.0% 8,505 Massachusetts State Consolidated Loan, GO, Series C, 5% due 5/01/2008 (f) 8,629 Michigan - 0.5% 280 Michigan State Strategic Fund, Limited Obligation Revenue Bonds (Kay Screen Printing, Inc. Project), VRDN, AMT, 4% due 5/01/2020 (b) 280 1,100 Royal Oak, Michigan, Hospital Finance Authority, Hospital Revenue Refunding Bonds (William Beaumont Hospital), VRDN, Series T, 3.67% due 1/01/2020 (a)(b) 1,100 Minnesota - 3.5% 2,620 Minneapolis and Saint Paul, Minnesota, Metropolitan Airports Commission, Airport Revenue Bonds, AMT, Series B, 5.50% due 1/01/2010 (g) 2,723 7,385 Minnesota State, GO, Refunding, 5% due 8/01/2007 7,418 Nebraska - 0.9% 2,500 Central Plains Energy Project, Nebraska (Gas Project Number 1), Revenue Bonds, VRDN, 3.908% due 12/01/2010 (b) 2,500 Nevada - 5.0% 6,500 Clark County, Nevada, Airport System Subordinate Lien Revenue Bonds, AMT, Series B-1, 5% due 7/01/2008 6,592 7,500 Clark County, Nevada, EDR (Alexander Dawson School of Nevada Project), 5.50% due 5/15/2009 (c) 7,844 New Jersey - 0.7% 2,000 Bayonne, New Jersey, GO, BAN, 4.75% due 10/26/2007 2,006 New Mexico - 2.0% 5,685 New Mexico State, Severance Tax Bonds, Series A, 5% due 7/01/2008 (h) 5,781 Ohio - 2.8% 4,400 Ohio State Building Authority, State Facilities Revenue Bonds (Administrative Building Fund Projects), Series A, 5.375% due 10/01/2008 (c) 4,554 3,505 Ohio State Infrastructure Improvement, GO, Refunding, Series A, 5% due 8/01/2010 3,656 Oklahoma - 2.8% 500 Oklahoma State Capitol Improvement Authority, State Facilities Revenue Bonds (Higher Education Projects), VRDN, Series D-4, 3.66% due 7/01/2034 (b)(f) 500 4,150 Tulsa County, Oklahoma, Industrial Authority, Capital Improvements Revenue Bonds, Series D, 5% due 7/01/2009 (j) 4,273 3,300 Tulsa Oklahoma, Public Facilities Authority, Capital Improvement Revenue Bonds, Series A, 4.375% due 6/01/2008 (a) 3,328 Pennsylvania - 3.8% 4,750 Allegheny County, Pennsylvania, Port Authority, Special Revenue Transportation Bonds, 6.375% due 3/01/2009 (c)(h) 5,034 5,000 Pennsylvania State, GO, Refunding, Third Series, 5% due 7/01/2009 5,150 1,000 Pennsylvania State Higher Educational Facilities Authority, Revenue Refunding Bonds (University of Scranton Project), VRDN, Series C, 3.50% due 5/01/2007 (b)(i) 1,000 South Carolina - 3.2% 4,590 Aiken County, South Carolina, Consolidated School District, GO, Refunding, 5% due 3/01/2009 4,710 2,160 Hilton Head Island, South Carolina, Public Facility Corporation, COP (Beach Preservation Fee Pledge), 5% due 8/01/2008 (h) 2,198 2,240 Hilton Head Island, South Carolina, Public Facility Corporation, COP (Beach Preservation Fee Pledge), 5% due 8/01/2009 (h) 2,309 Tennessee - 7.1% 11,500 Metropolitan Government of Nashville and Davidson County, Tennessee, Health and Education Facilities Board, Revenue Refunding Bonds (Ascension Health Credit), VRDN, Series B-1, 3.72% due 11/15/2031 (b) 11,499 4,000 Tennessee Energy Acquisition Corporation, Gas Revenue Bonds, Series A, 5% due 9/01/2009 4,112 5,000 Tennessee State Local Development Authority Revenue Bonds (Student Loan Programs), BAN, Series A, 5% due 5/17/2007 5,008 Texas - 10.5% 7,000 Brazos River, Texas, Harbor Navigation District, Brazoria County Environmental Revenue Refunding Bonds (Dow Chemical Company Project), VRDN, AMT, Series A-4, 5.20% due 5/15/2033 (b) 7,092 5,000 Harris County, Texas, Toll Road Revenue Refunding Bonds, VRDN Series B-2, 5% due 8/15/2021 (b)(g) 5,134 5,120 Houston, Texas, Public Improvement, GO, Refunding, Series A, 5% due 3/01/2010 (h) 5,311 2,200 Montgomery County, Texas, Unlimited Tax Adjustable Rate Road, GO, VRDN, Series B, 5% due 3/01/2028 (b)(j) 2,240 2,790 North Texas Thruway Authority, Dallas North Thruway System, Revenue Refunding Bonds, VRDN, Series B, 5% due 1/01/2038 (a)(b) 2,834 2,500 San Antonio, Texas, Electric and Gas System, Junior Lien Revenue Bonds, VRDN, 3.55% due 12/01/2027 (b) 2,498 5,455 Texas State Transportation Commission, First Tier Revenue Bonds, 5% due 4/01/2008 5,528 Virginia - 4.2% 7,050 Virginia State Public Building Authority, Public Facilities Revenue Bonds, Series A, 5% due 8/01/2009 7,269 4,885 Virginia State Public School Authority, School Financing Revenue Bonds, Series B, 5% due 8/01/2008 (c) 5,020 Washington - 8.0% 9,940 Energy Northwest, Washington, Electric Revenue Refunding Bonds (Columbia Generating Station), Series A, 5.25% due 7/01/2009 (a) 10,289 5,000 Washington State Public Power Supply System, Revenue Refunding Bonds (Nuclear Project Number 1), Series C, 6% due 7/01/2009 (a) 5,253 7,500 Washington State Various Purpose, GO, Refunding, Series R-A, 5% due 1/01/2009 (a) 7,676 West Virginia - 0.3% 1,000 West Virginia State Housing Development Fund, Housing Finance Revenue Bonds, VRDN, AMT, Series B, 3.67% due 4/09/2007 (b) 1,000 Wisconsin - 2.2% 6,500 Madison, Wisconsin, Metropolitan School District, TRAN, 4% due 9/07/2007 6,512 Puerto Rico - 1.9% 5,500 Government Development Bank of Puerto Rico, CP, 4.05% due 4/12/2007 5,500 Total Municipal Bonds (Cost - $291,213) - 100.3% 291,357 Shares Held Short-Term Securities 10,300 Merrill Lynch Institutional Tax-Exempt Fund, 3.51% (d)(e) 10,300 Total Short-Term Securities (Cost - $10,300) - 3.5% 10,300 Total Investments (Cost - $301,513*) - 103.8% 301,657 Liabilities in Excess of Other Assets - (3.8%) (11,089) ----------- Net Assets - 100.0% $ 290,568 =========== * The cost and unrealized appreciation (depreciation) of investments as of March 31, 2007, as computed for federal income tax purposes, were as follows: Aggregate cost $ 301,513 ============ Gross unrealized appreciation $ 249 Gross unrealized depreciation (105) ------------ Net unrealized appreciation $ 144 ============ (a) AMBAC Insured. (b) Security may have a maturity of more than one year at time of issuance, but has variable rate and demand features that qualify it as a short-term security. The rate disclosed is that currently in effect. This rate changes periodically based upon prevailing market rates. (c) Prerefunded. (d) Investments in companies considered to be an affiliate of the Fund, for purposes of Section 2(a)(3) of the Investment Company Act of 1940, were as follows: Net Dividend Affiliate Activity Income Merrill Lynch Institutional Tax-Exempt Fund (14,344) $270 (e) Represents the current yield as of March 31, 2007. (f) CIFG Insured. (g) FGIC Insured. (h) MBIA Insured. (i) XL Capital Insured. (j) FSA Insured.
BlackRock Municipal Bond Fund, Inc. - BlackRock High Yield Municipal Fund Schedule of Investments as of March 31, 2007 (In Thousands)
Face State Amount Municipal Bonds Value Alabama - 0.8% $ 500 Tuscaloosa, Alabama, Special Care Facilities Financing Authority, Residential Care Facility Revenue Bonds (Capstone Village, Inc. Project), Series A, 5.875% due 8/01/2036 $ 509 Arizona - 4.9% 300 Maricopa County, Arizona, IDA, Education Revenue Bonds (Arizona Charter Schools Project 1), Series A, 6.75% due 7/01/2029 306 1,000 Phoenix, Arizona, IDA, Airport Facility, Revenue Refunding Bonds (America West Airlines Inc. Project), AMT, 6.30% due 4/01/2023 1,018 285 Pima County, Arizona, IDA, Education Revenue Refunding Bonds (Arizona Charter Schools Project), Series O, 5.25% due 7/01/2031 293 1,000 Pima County, Arizona, IDA, S/F Mortgage Revenue Refunding Bonds, VRDN, AMT, 4.89% due 4/25/2008 (j) 1,000 500 Queen Creek Improvement District Number 001, Arizona, Special Assessment Bonds, 5% due 1/01/2032 510 California - 5.6% 1,500 Golden State Tobacco Securitization Corporation of California, Tobacco Settlement Revenue Refunding Bonds, Senior Series A-1, 5.125% due 6/01/2047 1,486 500 Lammersville, California, School District, Special Tax Bonds (Community Facilities District Number 2002 - Mountain House), 5.125% due 9/01/2035 512 500 Roseville, California, Special Tax Bonds (Fiddyment Ranch Community Facilities Number 1), 5.25% due 9/01/2036 513 500 Temecula, California, Public Financing Authority, Community Facilities District Number 01-2, Special Tax Refunding Bonds, Sub-Series B, 5.10% due 9/01/2036 508 565 Temecula Valley, California, Unified School District, Community Facilities District Number 2005-1, Special Tax Bonds, 5% due 9/01/2036 569 Colorado - 4.4% 750 Aspen Valley Hospital District, Colorado, Revenue Refunding Bonds, 5% due 10/15/2026 771 1,000 Colorado HFA, Revenue Refunding Bonds (Adventist Health System/Sunbelt Obligor Group), Series D, 5.25% due 11/15/2035 1,059 450 Colorado Health Facilities Authority, Revenue Refunding Bonds (Christian Living Communities Project), Series A, 5.75% due 1/01/2037 471 500 Sorrel Ranch Metropolitan District, Colorado, Limited Tax, GO, 5.75% due 12/01/2036 514 Connecticut - 1.7% 1,000 Connecticut State Health and Educational Facilities Authority Revenue Bonds (University of Hartford), Series G, 5.25% due 7/01/2036 (h) 1,071 Florida - 10.0% 605 Easton Park Community Development District, Florida, Capital Improvement Revenue Bonds, 5.20% due 5/01/2037 599 500 Greater Lakes/Sawgrass Bay Community Development District, Florida, Special Assessment Bonds, Series A, 5.50% due 5/01/2038 508
Portfolio Abbreviations To simplify the listings of BlackRock Municipal Bond Fund, Inc. - BlackRock High Yield Municipal Fund's portfolio holdings in the Schedule of Investments, we have abbreviated the names of many of the securities according to the list below. AMT Alternative Minimum Tax (subject to) EDA Economic Development Authority GO General Obligation Bonds HDA Housing Development Authority HFA Housing Finance Agency IDA Industrial Development Authority IDR Industrial Development Revenue Bonds PCR Pollution Control Revenue Bonds PILOT Payment in Lieu of Taxes S/F Single-Family VRDN Variable Rate Demand Notes BlackRock Municipal Bond Fund, Inc. - BlackRock High Yield Municipal Fund Schedule of Investments as of March 31, 2007 (concluded) (In Thousands)
Face State Amount Municipal Bonds Value Florida $ 500 Highland Meadows Community Development District, Florida, Special Assessment (concluded) Bonds, Series A, 5.50% due 5/01/2036 $ 510 1,000 Hillsborough County, Florida, IDA, Hospital Revenue Bonds (Tampa General Hospital Project), 5.25% due 10/01/2041 1,055 500 Lee County, Florida, IDA, Health Care Facilities, Revenue Refunding Bonds (Shell Point/Alliance Obligor Group), 5% due 11/15/2029 511 600 Lee County, Florida, IDA, Health Care Facilities, Revenue Refunding Bonds (Shell Point/Alliance Obligor Group), 5% due 11/15/2032 607 570 Lee County, Florida, IDA, IDR (Lee Charter Foundation), Series A, 5.375% due 6/15/2037 577 500 New River Community Development District, Florida, Capital Improvement Revenue Bonds, Series B, 5% due 5/01/2013 496 1,000 Pine Ridge Plantation Community Development District, Florida, Capital Improvement and Special Assessment Bonds, Series B, 5% due 5/01/2011 995 500 Santa Rosa Bay Bridge Authority, Florida, Revenue Bonds, 6.25% due 7/01/2028 508 Georgia - 3.5% 500 Brunswick and Glynn County, Georgia, Development Authority, First Mortgage Revenue Bonds (Coastal Community Retirement Corporation Project), Series A, 7.25% due 1/01/2035 488 180 Gainesville, Georgia, Redevelopment Authority, Educational Facilities Revenue Refunding Bonds (Riverside Military Academy), 5.125% due 3/01/2027 185 1,000 Richmond County, Georgia, Development Authority, Environmental Improvement Revenue Bonds (International Paper Co. Projects), AMT, Series A, 5% due 8/01/2030 1,007 555 Savannah, Georgia, EDA, First Mortgage Revenue Bonds (Marshes of Skidaway), Series B, 6% due 1/01/2034 549 Illinois - 2.4% 1,000 Illinois Development Finance Authority, Solid Waste Disposal Revenue Bonds (Waste Management Inc. Project), VRDN, AMT, 5.05% due 1/01/2010 (j) 1,019 500 Illinois State Finance Authority Revenue Bonds (Three Crowns Park Plaza), Series A, 5.875% due 2/15/2038 525 Indiana - 1.1% 185 Indiana Health Facilities Financing Authority, Hospital Revenue Refunding Bonds (Methodist Hospital, Inc.), 5.375% due 9/15/2022 187 525 Indiana Health Facilities Financing Authority, Hospital Revenue Refunding Bonds (Methodist Hospital, Inc.), 5.50% due 9/15/2031 532 Iowa - 0.8% 500 Iowa Financing Authority, Health Facilities Revenue Refunding Bonds (Care Initiatives Project), Series A, 5% due 7/01/2019 506 Kansas - 2.4% 1,000 Sedgwick and Shawnee Counties, Kansas, S/F Mortgage Revenue Bonds (Mortgage-Backed Securities Program), AMT, Series B-2, 5.25% due 12/01/2038 (b)(c) 1,052 450 Wyandotte County, Kansas, Kansas City Unified Government Revenue Refunding Bonds (General Motors Corporation Project), 6% due 6/01/2025 457 Maryland - 6.1% 540 Baltimore, Maryland, Convention Center Hotel Revenue Bonds, Sub-Series B, 5.875% due 9/01/2039 573 500 Howard County, Maryland, Retirement Community Revenue Refunding Bonds (Columbia Vantage House Corporation), Series A, 5.25% due 4/01/2033 512 1,000 Maryland State Community Development Administration, Department of Housing and Community Development, Residential Revenue Refunding Bonds, AMT, Series L, 4.80% due 9/01/2021 1,014 1,000 Maryland State Energy Financing Administration, Limited Obligation Revenue Bonds (Cogeneration-AES Warrior Run), AMT, 7.40% due 9/01/2019 999 500 Maryland State Health and Higher Educational Facilities Authority Revenue Bonds (King Farm Presbyterian Community), Series A, 5.30% due 1/01/2037 513 250 Maryland State Health and Higher Educational Facilities Authority Revenue Bonds (Washington Christian Academy), 5.25% due 7/01/2018 255 Massachusetts - 1.7% 390 Massachusetts State Development Finance Agency Revenue Bonds (Curry College), Series A, 5.25% due 3/01/2026 (e) 415 645 Massachusetts State Health and Educational Facilities Authority, Revenue Refunding Bonds (Bay Cove Human Services Issue), Series A, 5.90% due 4/01/2028 657 Michigan - 0.5% 310 Garden City, Michigan, Hospital Finance Authority, Hospital Revenue Refunding Bonds (Garden City Hospital Obligation), Series A, 5% due 8/15/2038 307 Nevada - 1.6% 1,000 Clark County, Nevada, IDR (Southwest Gas Corp. Project), AMT, Series A, 4.75% due 9/01/2036 (f) 1,002 New Hampshire - 4.2% 950 New Hampshire Health and Education Facilities Authority, Revenue Refunding Bonds (Havenwood-Heritage Heights Retirement Community), Series A, 5.40% due 1/01/2030 960 1,015 New Hampshire Health and Education Facilities Authority, Revenue Refunding Bonds (Southern New Hampshire University), 5% due 1/01/2027 (e) 1,057 650 New Hampshire State Business Financing Authority, Solid Waste Disposal Revenue Bonds (Waste Management Inc. Project), AMT, 5.20% due 5/01/2027 674 New Jersey - 7.9% 1,000 New Jersey EDA, Retirement Community Revenue Refunding Bonds (Seabrook Village, Inc.), 5.25% due 11/15/2036 1,008 490 New Jersey EDA, Special Facility Revenue Bonds (Continental Airlines Inc. Project), AMT, 6.625% due 9/15/2012 525 650 New Jersey Health Care Facilities Financing Authority Revenue Bonds (Pascack Valley Hospital Association), 6.625% due 7/01/2036 676 1,000 New Jersey Health Care Facilities Financing Authority, Revenue Refunding Bonds (South Jersey Hospital System), 5% due 7/01/2046 1,028 1,395 New Jersey State Housing and Mortgage Finance Agency, S/F Revenue Refunding Bonds, AMT, Series M, 4.875% due 10/01/2026 1,421 385 Tobacco Settlement Financing Corporation of New Jersey, Revenue Refunding Bonds, Series 1A, 5% due 6/01/2041 375 New York - 8.5% 500 Erie County, New York, IDA, Revenue Bonds (Orchard Park CCRC, Inc. Project), Series A, 6% due 11/15/2036 533 1,000 Nassau County, New York, Tobacco Settlement Corporation, Senior Asset-Backed Revenue Refunding Bonds, Series A-3, 5% due 6/01/2035 1,009 500 New York City, New York, City IDA, PILOT Revenue Bonds (Queens Baseball Stadium Project), 5% due 1/01/2036 (a) 530 750 New York City, New York, City IDA, Special Facility Revenue Bonds (JetBlue Airways Corporation Project), AMT, 5.125% due 5/15/2030 744 1,000 New York Liberty Development Corporation Revenue Bonds (National Sports Museum Project), Series A, 6.125% due 2/15/2019 1,052 1,000 New York State Dormitory Authority, Non-State Supported Debt, Revenue Refunding Bonds (New York University Hospital Center), Series A, 5% due 7/01/2026 1,019 500 Onondaga County, New York, IDA, PCR (Anheuser-Busch Companies, Inc. Project), Refunding, Series A, 4.875% due 7/01/2041 508 North Carolina - 0.8% 500 North Carolina Medical Care Commission, Health Care Facilities, First Mortgage Revenue Refunding Bonds (Salemtowne Project), 5.10% due 10/01/2030 507 North Dakota - 1.6% 1,000 Ward County, North Dakota, Health Care Facility Revenue Refunding Bonds (Trinity Health Obligated Group), 5.125% due 7/01/2029 1,039 Ohio - 1.4% 875 Richland County, Ohio, Hospital Facilities Revenue Refunding Bonds (MedCentral Health System), 5.25% due 11/15/2036 922 Pennsylvania - 0.8% 500 Harrisburg, Pennsylvania, Authority, University Revenue Bonds (Harrisburg University of Science), Series B, 6% due 9/01/2036 520 Rhode Island - 1.6% 1,000 Rhode Island Housing and Mortgage Finance Corporation, Homeownership Opportunity Revenue Bonds, AMT, Series 53-B, 5% due 10/01/2046 1,013 South Carolina - 1.7% 1,000 Connector 2000 Association, Inc., South Carolina, Toll Road and Capital Appreciation Revenue Bonds, Senior-Series B, 7.97% due 1/01/2015 (k) 550 500 Myrtle Beach, South Carolina, Tax Increment Revenue Bonds (Myrtle Beach Air Force Base), Series A, 5.25% due 11/01/2026 512 Tennessee - 1.1% 700 Sullivan County, Tennessee, Health, Educational & Housing Facilities Board, Hospital Revenue Bonds (Wellmont Health System Project), Series C, 5.25% due 9/01/2036 733 Texas - 10.6% 1,000 Alliance Airport Authority, Inc., Texas, Special Facilities Revenue Bonds (American Airlines Inc. Project), AMT, 7.50% due 12/01/2029 1,001 1,000 Alliance Airport Authority, Inc., Texas, Special Facilities Revenue Refunding Bonds (American Airlines Inc. Project), AMT, 5.75% due 12/01/2029 1,015 500 Alliance Airport Authority, Inc., Texas, Special Facilities Revenue Refunding Bonds (FedEx Corp. Project), AMT, 4.85% due 4/01/2021 510 500 Brazos River Authority, Texas, PCR (TXU Energy Company LLC Project), AMT, 5% due 3/01/2041 483 500 Dallas, Texas, Industrial Development Corporation, IDR (CR/PL Inc. Project), VRDN, AMT, 7.50% due 8/01/2017 (j) 506 655 HFDC of Central Texas, Inc., Retirement Facilities Revenue Bonds, Series A, 5.75% due 11/01/2036 679 1,000 Harlandale, Texas, Independent School District, School Building, GO, 4.75% due 8/15/2040 1,017 500 Houston, Texas, Airport System, Special Facilities Revenue Bonds (Continental Airlines), AMT, Series E, 7.375% due 7/01/2022 548 1,000 Texas State Public Financing Authority, Charter School Financing Corporation, Revenue Refunding Bonds (KIPP, Inc.), Series A, 5% due 2/15/2036 (e) 1,023 Utah - 2.6% 1,640 Utah Housing Corporation, S/F Mortgage Revenue Bonds, AMT, Series A-1, Class I, 5% due 7/01/2037 1,668 Virginia - 6.9% 1,150 Albermarle County, Virginia, IDA, Residential Care Facilities, Mortgage Revenue Refunding Bonds (Westminster-Canterbury), 5% due 1/01/2031 1,157 500 Fairfax County, Virginia, EDA, Retirement Revenue Refunding Bonds (Greenspring Village Inc.), Series A, 4.875% due 10/01/2036 507 500 Farms of New Kent, Virginia, Community Development Authority, Special Assessment Bonds, Series C, 5.80% due 3/01/2036 504 450 Henrico County, Virginia, EDA, Residential Care Facility, Mortgage Revenue Refunding Bonds (Westminster-Canterbury Of Winchester, Inc.), 5% due 10/01/2027 462 750 Lynchburg, Virginia, IDA, Residential Care Facility, Mortgage Revenue Refunding Bonds (Westminster-Canterbury), 5% due 7/01/2031 757 1,000 Virginia State, HDA, Commonwealth Mortgage Revenue Bonds, Series H, Sub-Series H-1, 5.35% due 7/01/2031 (g) 1,035 Washington - 0.9% 550 Washington State Housing Financing Commission, Nonprofit Revenue Bonds (Skyline at First Hill Project), Series A, 5.625% due 1/01/2038 564 Puerto Rico - 1.3% 800 Puerto Rico Commonwealth Highway and Transportation Authority, Transportation Revenue Refunding Bonds, Series M, 5% due 7/01/2046 833 U.S. Virgin 750 Virgin Islands Public Finance Authority, Refinery Facilities Revenue Bonds (Hovensa Islands - 1.2% Refinery), AMT, 4.70% due 7/01/2022 752 Total Municipal Bonds (Cost - $63,596) - 100.6% 64,166 Shares Held Short-Term Securities 2,100 Merrill Lynch Institutional Tax-Exempt Fund, 3.51% (d)(i) 2,100 Total Short-Term Securities (Cost - $2,100) - 3.3% 2,100 Total Investments (Cost - $65,696*) - 103.9% 66,266 Liabilities in Excess of Other Assets - (3.9%) (2,498) ----------- Net Assets - 100.0% $ 63,768 =========== * The cost and unrealized appreciation (depreciation) of investments as of March 31, 2007, as computed for federal income tax purposes, were as follows: Aggregate cost $ 65,696 ============ Gross unrealized appreciation $ 659 Gross unrealized depreciation (89) ------------ Net unrealized appreciation $ 570 ============ (a) AMBAC Insured. (b) FHLMC Collateralized. (c) FNMA/GNMA Collateralized. (d) Investments in companies considered to be an affiliate of the Fund, for purposes of Section 2(a)(3) of the Investment Company Act of 1940, were as follows: Net Dividend Affiliate Activity Income Merrill Lynch Institutional Tax-Exempt Fund $ 2,100 $ 51 (e) ACA Insured. (f) FGIC Insured. (g) MBIA Insured. (h) Radian Insured. (i) Represents the current yield as of March 31, 2007. (j) Security may have a maturity of more than one year at time of issuance, but has variable rate and demand features that qualify it as a short-term security. The rate disclosed is that currently in effect. This rate changes periodically based upon prevailing market rates. (k) Represents a zero coupon or step bond; the interest rate shown reflects the effective yield at the time of purchase. o Forward interest rate swaps outstanding as of March 31, 2007 were as follows: Notional Unrealized Amount Appreciation Pay a fixed rate of 3.636% and receive a floating rate Based on 1-week Bond Market Association rate Broker, JPMorgan Chase Expires June 2017 $ 4,000 $ 10 o Financial futures contracts sold as of March 31, 2007 were as follows: Number of Expiration Face Unrealized Contracts Issue Date Value Appreciation 75 U.S. Treasury Bonds June 2007 $ 8,126 $ 17
Item 2 - Controls and Procedures 2(a) - The Registrant's principal executive and principal financial officers have evaluated the Registrant's disclosure controls and procedures, including internal control over financial reporting, within 90 days of this filing. Such principal officers have concluded that as of January 23, 2007 the Registrant's disclosure controls and procedures were effective in design and operation to reasonably ensure that information required to be disclosed by the Registrant in this Form N-Q was recorded, processed, summarized, and reported within the required time periods, and were sufficient to form the basis of the certifications required by Rule 30a-2 of the Investment Company Act of 1940, as amended. Prior to reaching that conclusion, such principal officers had become aware of matters relating to the Registrant's participation in certain inverse floater structures that necessitated adjustments to financial information included in the Registrant's annual report to shareholders on Form N-CSR. As a result, management of the Registrant had reevaluated certain disclosure controls and procedures determined not to be effective, as discussed more fully below. Management of the Registrant is responsible for establishing and maintaining effective internal control over financial reporting. In fulfilling this responsibility, estimates and judgments by management are required to assess the expected benefits and related costs of controls. The Registrant's internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with U.S. generally accepted accounting principles. Such internal control includes policies and procedures that provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of a registrant's assets that could have a material effect on the financial statements. Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate. A control deficiency exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent or detect misstatements on a timely basis. A significant deficiency is a control deficiency, or combination of control deficiencies, that adversely affects the Registrant's ability to initiate, authorize, record, process or report financial data reliably in accordance with generally accepted accounting principles such that there is more than a remote likelihood that a misstatement of the Registrant's annual or interim financial statements that is more than inconsequential will not be prevented or detected. A material weakness is a significant deficiency, or combination of significant deficiencies, that results in more than a remote likelihood that a material misstatement of the annual or interim financial statements will not be prevented or detected. The Registrant identified the following control deficiency, that was determined to be a material weakness, as defined above, in the Registrant's internal control over financial reporting at October 31, 2006. The Registrant's controls related to the review and analysis of relevant terms and conditions of transfers of certain assets pertaining to inverse floater structures were not operating effectively to appropriately determine whether the transfers of assets qualified for sale accounting under the provisions of Statement of Financial Accounting Standards No. 140, "Accounting for Transfers and Servicing of Financial Assets and Extinguishments of Liabilities" ("SFAS 140"). As a result, these controls did not detect that certain transfers were not appropriately recorded as borrowings. Accordingly, the Registrant's schedule of investments as of and for the period ended October 31, 2006, were restated to appropriately reflect transfers of such securities as secured borrowings. These adjustments had no impact on net assets, net asset value per share or total return. Subsequent to October 31, 2006, but prior to the evaluation of the design and operation of the Registrant's disclosure controls and procedures at January 23, 2007, the Registrant's disclosure controls and procedures were modified to enhance the review and analysis of the relevant terms and conditions of transfers of securities in connection with inverse floater structures in light of SFAS 140. 2(b) - There have been no changes in the registrant's internal control over financial reporting (as defined in Rule 30a-3(d) under the Act (17 CFR 270.30a-3(d)) that occurred during the last fiscal quarter of the period covered by this report that has materially affected, or are reasonably likely to materially affect, the registrant's internal control over financial reporting. However, as discussed above, subsequent to October 31, 2006, the Registrant has enhanced controls related to the application of SFAS 140. Item 3 - Exhibits Certifications - Attached hereto 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. BlackRock Municipal Bond Fund, Inc. By: /s/ Robert C. Doll, Jr. ----------------------- Robert C. Doll, Jr. Chief Executive Officer BlackRock Municipal Bond Fund, Inc. Date: May 21, 2007 Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated. By: /s/ Robert C. Doll, Jr. ----------------------- Robert C. Doll, Jr. Chief Executive Officer BlackRock Municipal Bond Fund, Inc. Date: May 21, 2007 By: /s/ Donald C. Burke ------------------- Donald C. Burke Chief Financial Officer BlackRock Municipal Bond Fund, Inc. Date: May 21, 2007 EX-99.CERT 2 section302.txt SECTION 302 EX-99. CERT CERTIFICATION PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002 I, Robert C. Doll, Jr., Chief Executive Officer of BlackRock Municipal Bond Fund, Inc. including BlackRock High Yield Municipal Fund, BlackRock Municipal Insured Fund, BlackRock National Municipal Fund, BlackRock Short-Term Municipal Fund, certify that: 1. I have reviewed this report on Form N-Q of BlackRock Municipal Bond Fund, Inc.; 2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; 3. Based on my knowledge, the schedule of investments included in this report fairly present in all material respects the investments of the registrant as of the end of the fiscal quarter for which the report is filed; 4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have: a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; c) evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and d) disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and 5. The registrant's other certifying officer(s) and I have disclosed to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions): a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize, and report financial information; and b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting. Date: May 21, 2007 /s/ Robert C. Doll, Jr. ----------------------- Robert C. Doll, Jr. Chief Executive Officer BlackRock Municipal Bond Fund, Inc. EX-99. CERT CERTIFICATION PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002 I, Donald C. Burke, Chief Financial Officer of BlackRock BlackRock Municipal Bond Fund, Inc. including BlackRock High Yield Municipal Fund, BlackRock Municipal Insured Fund, BlackRock National Municipal Fund, BlackRock Short-Term Municipal Fund, certify that: 1. I have reviewed this report on Form N-Q of BlackRock Municipal Bond Fund, Inc.; 2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; 3. Based on my knowledge, the schedule of investments included in this report fairly present in all material respects the investments of the registrant as of the end of the fiscal quarter for which the report is filed; 4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have: a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; c) evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and d) disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and 5. The registrant's other certifying officer(s) and I have disclosed to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions): a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize, and report financial information; and b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting. Date: May 21, 2007 /s/ Donald C. Burke -------------------- Donald C. Burke Chief Financial Officer BlackRock Municipal Bond Fund, Inc. -----END PRIVACY-ENHANCED MESSAGE-----