UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number 811-03205 and 811-21300
Name of Fund: BIF Government Securities Fund and Master Government Securities LLC
Fund Address: 100 Bellevue Parkway, Wilmington, DE 19809
Name and address of agent for service: John M. Perlowski, Chief Executive Officer, BIF Government Securities Fund and Master Government Securities LLC, 55 East 52nd Street, New York, NY 10055
Registrants’ telephone number, including area code: (800) 626-1960
Date of fiscal year end: 03/31/2013
Date of reporting period: 03/31/2013
Item 1 – Report to Stockholders
ANNUAL REPORT | ![]() |
Not FDIC Insured May Lose Value No Bank Guarantee |
Table of Contents
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Annual Report: |
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Fund Financial Statements: |
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14 | ||||||
Master LLC Financial Statements: |
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27 |
2 | ANNUAL REPORT | MARCH 31, 2013 |
Despite continued global headwinds, risk assets (such as equities) have generated strong performance as investors sought meaningful yields in the ongoing low-interest-rate environment. About this time one year ago, concerns about Europes debt crisis dominated the markets as political instability in Greece and severe deficit and liquidity problems in Spain raised the specter of a full-blown euro collapse. Investors were also discouraged by gloomy economic reports from various parts of the world, particularly in China. As the outlook for the global economy worsened, however, investors grew increasingly optimistic that the worlds largest central banks would intervene to stimulate growth. This theme, along with the European Central Banks (ECBs) firm commitment to preserve the euro currency bloc, drove most asset classes higher through the summer of 2012. In early September, the ECB announced it would purchase unlimited amounts of short term sovereign bonds to support the regions debt-laden countries. Days later, the US Federal Reserve announced its own much-anticipated stimulus package.
Although financial markets world-wide were buoyed by these aggressive policy actions, risk assets weakened in the fall of 2012. Global trade began to slow as many European countries fell into recession and growth continued to decelerate in China. In the United States, stocks slid on lackluster corporate earnings and volatility rose in advance of the US Presidential election. In the post-election environment, investors grew increasingly concerned over the fiscal cliff, the automatic tax increases and spending cuts that had been scheduled to take effect at the beginning of 2013. There was widespread fear that the fiscal cliff would push the United States into recession unless politicians could agree upon alternate measures to reduce the nations deficit. Worries that bipartisan gridlock would preclude a timely budget deal triggered high levels of volatility in financial markets around the world in the months leading up to the last day of the year. Ultimately, the worst of the fiscal cliff was averted with a last-minute tax deal, although the postponement of decisions relating to spending cuts and the debt ceiling left some lingering uncertainty.
Investors shook off the nerve-wracking finale to 2012 and the New Year began with a powerful relief rally in risk assets. Money that had been pulled to the sidelines amid year-end tax-rate uncertainty poured back into the markets in January. Key indicators signaling modest but broad-based improvements in the worlds major economies underpinned the rally. Underlying this aura of comfort was the absence of negative headlines out of Europe. Against this backdrop, global equities surged through January while rising US Treasury yields pressured high quality fixed income assets (as prices move in the opposite direction as yields).
However, bond markets regained strength in February when economic momentum slowed and investors toned down their risk appetite. US stocks continued to rise, but at a more moderate pace. Uncertainty about how long the Federal Reserve would maintain its monetary easing bias drove high levels of volatility later in the month, but these fears abated as the budget sequester (automatic spending cuts scheduled to take effect March 1) began to appear imminent and was deemed likely to deter any near-term changes in the central banks policy stance. Improving labor market data and rising home prices pushed US stocks higher at the end of the period, with major indices reaching new all-time highs. Outside the United States, equity prices weakened in the final two months of the period due to a resurgence of macro risk out of Europe. Italys February presidential election ended in a stalemate, further propagating the ongoing theme of political instability in the eurozone. In March, a severe banking crisis in Cyprus underscored the fragility of the broader European banking system.
For the 6- and 12-month periods ended March 31, 2013, US and international stocks and high yield bonds posted strong gains, while emerging market equities lagged as the pace of global growth failed to impress investors. US Treasury yields were highly volatile over the past 12 months. While remaining relatively low from a historical standpoint, yields began inching higher in the later part of the period, pressuring Treasuries and investment-grade bonds. Tax-exempt municipal bonds, however, benefited from favorable supply-and-demand dynamics. Near-zero short term interest rates continued to keep yields on money market securities near their all-time lows.
Markets have always been unpredictable, but that does not mean investors can delay taking action. At BlackRock, we believe its time for a different approach to investing. One that seeks out more opportunities in more places across a broader array of investments in a portfolio designed to move freely as the markets move up and down. People everywhere are asking, So what do I do with my money? Visit www.blackrock.com for answers.
![]() |
“Despite continued global headwinds, risk assets (such as equities) have generated strong performance as investors sought meaningful yields in the ongoing low-interest-rate environment. |
6-month | 12-month | |||||||||
US
large cap equities (S&P 500® Index) |
10.19 | % | 13.96 | % | ||||||
US
small cap equities (Russell 2000® Index) |
14.48 | 16.30 | ||||||||
International equities (MSCI Europe, Australasia, Far East Index) |
12.04 | 11.25 | ||||||||
Emerging market equities (MSCI Emerging Markets Index) |
3.87 | 1.96 | ||||||||
3-month Treasury bill (BofA Merrill Lynch 3-Month US Treasury Bill Index) |
0.06 | 0.12 | ||||||||
US
Treasury securities (BofA Merrill Lynch 10-Year US Treasury Index) |
(0.55 | ) | 6.19 | |||||||
US
investment grade bonds (Barclays US Aggregate Bond Index) |
0.09 | 3.77 | ||||||||
Tax-exempt municipal bonds (S&P Municipal Bond Index) |
1.26 | 5.82 | ||||||||
US
high yield bonds (Barclays US Corporate High Yield 2% Issuer Capped Index) |
6.28 | 13.08 |
THIS PAGE NOT PART OF YOUR FUND REPORT | 3 |
For the 12-Month Period Ended March 31, 2013
4 | ANNUAL REPORT | MARCH 31, 2013 |
BIF Government Securities Fund
|
7-Day SEC Yield |
|
7-Day Yield |
|||||||
BIF Government Securities Fund |
0.00 | % | 0.00 | % |
BIF Treasury Fund
|
7-Day SEC Yield |
|
7-Day Yield |
|||||||
BIF Treasury Fund |
0.00 | % | 0.00 | % |
Disclosure of Expenses | |
Expense Examples
Actual |
Hypothetical2 |
|
||||||||||||||||||||||||||||
|
Beginning Account Value October 1, 2012 |
|
Ending Account Value March 31, 2013 |
|
Expenses Paid During the Period1 |
|
Beginning Account Value October 1, 2012 |
|
Ending Account Value March 31, 2013 |
|
Expenses Paid During the Period1 |
|
Annualized Expense Ratio |
|||||||||||||||||
BIF
Government Securities Fund |
$ | 1,000.00 | $ | 1,000.00 | $ | 0.70 | $ | 1,000.00 | $ | 1,024.23 | $ | 0.71 | 0.14 | % | ||||||||||||||||
BIF Treasury Fund |
$ | 1,000.00 | $ | 1,000.00 | $ | 0.55 | $ | 1,000.00 | $ | 1,024.43 | $ | 0.56 | 0.11 | % |
1 | For each Fund, expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 182/365 (to reflect the one-half year period shown). Because the Funds are feeder funds, the expense example reflects the net expenses of both the Fund and the master fund in which it invests. |
2 | Hypothetical 5% annual return before expenses is calculated by pro rating the number of days in the most recent fiscal half year divided by 365. |
ANNUAL REPORT | MARCH 31, 2013 | 5 |
March 31, 2013 |
BIF Government Securities Fund |
BIF Treasury Fund |
|||||||||
Assets |
|||||||||||
Investments at value Master Government Securities LLC and Master Treasury LLC (individually, Government LLC and Treasury
LLC or collectively, the Master LLCs), respectively1 |
$ | 310,135,190 | $ | 1,580,887,166 | |||||||
Withdrawals receivable from the Master LLCs |
3,028,130 | 3,196,953 | |||||||||
Capital shares sold receivable |
418,105 | | |||||||||
Prepaid expenses |
24,464 | 15,538 | |||||||||
Total assets |
313,605,889 | 1,584,099,657 | |||||||||
Liabilities |
|||||||||||
Capital shares redeemed payable |
3,446,235 | 3,196,953 | |||||||||
Administration fees payable |
10,680 | 46,201 | |||||||||
Officers fees payable |
109 | 427 | |||||||||
Other accrued expenses payable |
30,976 | 55,268 | |||||||||
Total liabilities |
3,488,000 | 3,298,849 | |||||||||
Net Assets |
$ | 310,117,889 | $ | 1,580,800,808 | |||||||
Net Assets Consist of |
|||||||||||
Paid-in capital2 |
$ | 310,108,131 | $ | 1,580,778,546 | |||||||
Undistributed net investment income |
95 | 165 | |||||||||
Accumulated net realized gain allocated from the Master LLCs |
9,663 | 22,097 | |||||||||
Net Assets, $1.00 net asset value per share |
$ | 310,117,889 | $ | 1,580,800,808 | |||||||
1 Investments at cost |
$ | 310,135,190 | $ | 1,580,887,166 | |||||||
2 Shares outstanding, unlimited number of shares authorized, $0.01 par value |
310,108,133 | 1,580,778,548 |
6 | ANNUAL REPORT | MARCH 31, 2013 |
Year Ended March 31,
2013 |
BIF Government Securities Fund |
BIF Treasury Fund |
|||||||||
Investment Income |
|||||||||||
Net investment income allocated from the Master LLCs: |
|||||||||||
Interest |
$ | 435,577 | $ | 1,608,363 | |||||||
Expenses |
(873,129 | ) | (2,811,049 | ) | |||||||
Fees waived |
626,980 | 1,754,744 | |||||||||
Total income |
189,428 | 552,058 | |||||||||
Fund Expenses |
|||||||||||
Administration |
799,754 | 3,990,924 | |||||||||
Distribution |
398,429 | 1,991,540 | |||||||||
Transfer agent |
25,027 | 103,364 | |||||||||
Registration |
75,139 | 27,106 | |||||||||
Professional |
39,299 | 36,319 | |||||||||
Printing |
548 | 10,000 | |||||||||
Officer |
219 | 854 | |||||||||
Miscellaneous |
5,818 | 6,396 | |||||||||
Total expenses |
1,344,233 | 6,166,503 | |||||||||
Less fees waived by administrator |
(756,488 | ) | (3,623,462 | ) | |||||||
Less distribution fees waived |
(398,429 | ) | (1,991,540 | ) | |||||||
Total expenses after fees waived |
189,316 | 551,501 | |||||||||
Net investment income |
112 | 557 | |||||||||
Realized Gain Allocated from the Master LLCs |
|||||||||||
Net realized gain from investments |
24,694 | 69,993 | |||||||||
Net Increase in Net Assets Resulting from Operations |
$ | 24,806 | $ | 70,550 |
ANNUAL REPORT | MARCH 31, 2013 | 7 |
BIF Government Securities Fund |
|
|
BIF Treasury Fund |
|
|||||||||||||||||||
Year Ended March 31, |
|
|
Year Ended March 31, |
|
|||||||||||||||||||
Increase (Decrease) in Net
Assets: |
2013 | 2012 | 2013 | 2012 | |||||||||||||||||||
Operations |
|||||||||||||||||||||||
Net
investment income |
$ | 112 | $ | 182 | $ | 557 | $ | 835 | |||||||||||||||
Net
realized gain |
24,694 | 3,170 | 69,993 | 65,410 | |||||||||||||||||||
Net
increase in net assets resulting from operations |
24,806 | 3,352 | 70,550 | 66,245 | |||||||||||||||||||
Dividends and Distributions to Shareholders
From1 |
|||||||||||||||||||||||
Net
investment income |
(112 | ) | (87 | ) | (557 | ) | (670 | ) | |||||||||||||||
Net
realized gain |
(13,121 | ) | (6,596 | ) | (53,337 | ) | (95,753 | ) | |||||||||||||||
Decrease in net assets resulting from dividends and distributions to shareholders |
(13,233 | ) | (6,683 | ) | (53,894 | ) | (96,423 | ) | |||||||||||||||
Capital Share Transactions |
|||||||||||||||||||||||
Net
proceeds from sale of shares |
1,706,890,026 | 1,723,453,145 | 4,017,699,052 | 5,748,006,947 | |||||||||||||||||||
Reinvestment of dividends and distributions |
13,181 | 6,650 | 53,668 | 96,046 | |||||||||||||||||||
Cost of shares redeemed |
(1,729,540,003 | ) | (1,599,229,944 | ) | (4,323,025,302 | ) | (5,487,734,837 | ) | |||||||||||||||
Net
increase (decrease) in net assets derived from capital share transactions |
(22,636,796 | ) | 124,229,851 | (305,272,582 | ) | 260,368,156 | |||||||||||||||||
Net Assets |
|||||||||||||||||||||||
Total increase (decrease) in net assets |
(22,625,223 | ) | 124,226,520 | (305,255,926 | ) | 260,337,978 | |||||||||||||||||
Beginning of year |
332,743,112 | 208,516,592 | 1,886,056,734 | 1,625,718,756 | |||||||||||||||||||
End
of year |
$ | 310,117,889 | $ | 332,743,112 | $ | 1,580,800,808 | $ | 1,886,056,734 | |||||||||||||||
Undistributed net investment income |
$ | 95 | $ | 95 | $ | 165 | $ | 165 |
1 | Dividends and distributions are determined in accordance with federal income tax regulations. |
8 | ANNUAL REPORT | MARCH 31, 2013 |
Year Ended March 31, |
|
||||||||||||||||||||||
2013 | 2012 | 2011 | 2010 | 2009 | |||||||||||||||||||
Per Share Operating Performance |
|||||||||||||||||||||||
Net
asset value, beginning of year |
$ | 1.00 | $ | 1.00 | $ | 1.00 | $ | 1.00 | $ | 1.00 | |||||||||||||
Net
investment income |
0.0000 | 1 | 0.0000 | 1 | 0.0000 | 1 | 0.0000 | 1 | 0.0070 | ||||||||||||||
Net
realized gain |
0.0000 | 1 | 0.0000 | 1 | 0.0001 | 0.0000 | 1 | 0.0001 | |||||||||||||||
Net
increase from investment operations |
0.0000 | 0.0000 | 0.0001 | 0.0000 | 0.0071 | ||||||||||||||||||
Dividends and distributions from:2 |
|||||||||||||||||||||||
Net investment income |
(0.0000 | )3 | (0.0000 | )3 | (0.0000 | )3 | (0.0002 | ) | (0.0070 | ) | |||||||||||||
Net realized gain |
(0.0000 | )3 | (0.0000 | )3 | (0.0001 | ) | (0.0000 | )3 | | ||||||||||||||
Total dividends and distributions |
(0.0000 | ) | (0.0000 | ) | (0.0001 | ) | (0.0002 | ) | (0.0070 | ) | |||||||||||||
Net
asset value, end of year |
$ | 1.00 | $ | 1.00 | $ | 1.00 | $ | 1.00 | $ | 1.00 | |||||||||||||
Total Investment Return4 |
|||||||||||||||||||||||
Total investment return |
0.00 | % | 0.00 | % | 0.01 | % | 0.03 | % | 0.70 | % | |||||||||||||
Ratios to Average Net Assets5 |
|||||||||||||||||||||||
Total expenses |
0.50% | 6 | 0.47% | 6 | 0.49% | 6 | 0.50 | % | 0.63 | % | |||||||||||||
Total expenses after fees waived |
0.14% | 6 | 0.07% | 6 | 0.18% | 6 | 0.22 | % | 0.55 | % | |||||||||||||
Net
investment income |
0.00% | 6 | 0.00% | 6 | 0.00% | 6 | 0.00 | % | 0.67 | % | |||||||||||||
Supplemental Data |
|||||||||||||||||||||||
Net
assets, end of year (000) |
$ | 310,118 | $ | 332,743 | $ | 208,517 | $ | 320,643 | $ | 668,476 |
1 | Amount is less than $0.00005 per share. |
2 | Dividends and distributions are determined in accordance with federal income tax regulations. |
3 | Amount is greater than $(0.00005) per share. |
4 | Where applicable, total investment returns include the reinvestment of dividends and distributions. |
5 | Includes the Funds share of the Master LLCs allocated expenses and/or net investment income. |
6 | Includes the Funds share of the Master LLCs allocated fees waived of 0.20%, 0.24% and 0.22%, for the years ended March 31, 2013, March 31, 2012 and March 31, 2011, respectively. |
ANNUAL REPORT | MARCH 31, 2013 | 9 |
Financial Highlights | BIF Treasury
Fund |
Year Ended March 31, |
|
||||||||||||||||||||||
2013 | 2012 | 2011 | 2010 | 2009 | |||||||||||||||||||
Per Share Operating Performance |
|||||||||||||||||||||||
Net
asset value, beginning of year |
$ | 1.00 | $ | 1.00 | $ | 1.00 | $ | 1.00 | $ | 1.00 | |||||||||||||
Net
investment income |
0.0000 | 1 | 0.0000 | 1 | 0.0000 | 1 | 0.0002 | 0.0064 | |||||||||||||||
Net
realized gain |
0.0000 | 1 | 0.0000 | 1 | 0.0001 | 0.0001 | 0.0001 | ||||||||||||||||
Net
increase from investment operations |
0.0000 | 0.0000 | 0.0001 | 0.0003 | 0.0065 | ||||||||||||||||||
Dividends and distributions from:2 |
|||||||||||||||||||||||
Net investment income |
(0.0000 | )3 | (0.0000 | )3 | (0.0000 | )3 | (0.0004 | ) | (0.0064 | ) | |||||||||||||
Net realized gain |
(0.0000 | )3 | (0.0000 | )3 | (0.0001 | ) | (0.0000 | )3 | | ||||||||||||||
Total dividends and distributions |
(0.0000 | ) | (0.0000 | ) | (0.0001 | ) | (0.0004 | ) | (0.0064 | ) | |||||||||||||
Net
asset value, end of year |
$ | 1.00 | $ | 1.00 | $ | 1.00 | $ | 1.00 | $ | 1.00 | |||||||||||||
Total Investment Return4 |
|||||||||||||||||||||||
Total investment return |
0.00 | % | 0.00 | % | 0.01 | % | 0.04 | % | 0.64 | % | |||||||||||||
Ratios to Average Net Assets5 |
|||||||||||||||||||||||
Total expenses |
0.45% | 6 | 0.40% | 6 | 0.49% | 6 | 0.53 | % | 0.57 | % | |||||||||||||
Total expenses after fees waived |
0.10% | 6 | 0.05% | 6 | 0.16% | 6 | 0.20 | % | 0.50 | % | |||||||||||||
Net
investment income |
0.00% | 6 | 0.00% | 6 | 0.00% | 6 | 0.02 | % | 0.46 | % | |||||||||||||
Supplemental Data |
|||||||||||||||||||||||
Net
assets, end of year (000) |
$ | 1,580,801 | $ | 1,886,057 | $ | 1,625,719 | $ | 1,677,334 | $ | 4,235,341 |
1 | Amount is less than $0.00005 per share. |
2 | Dividends and distributions are determined in accordance with federal income tax regulations. |
3 | Amount is greater than $(0.00005) per share. |
4 | Where applicable, total investment returns include the reinvestment of dividends and distributions. |
5 | Includes the Funds share of the Master LLCs allocated expenses and/or net investment income. |
6 | Includes the Funds share of the Master LLCs allocated fees waived of 0.11%, 0.15% and 0.08%, for the years ended March 31, 2013, March 31, 2012 and March 31, 2011, respectively. |
10 | ANNUAL REPORT | MARCH 31, 2013 |
ANNUAL REPORT | MARCH 31, 2013 | 11 |
Notes to Financial Statements (concluded) | BIF Government Securities
Fund and BIF Treasury Fund |
|
|
BIF Government Securities Fund |
|
BIF Treasury Fund |
||||||||||
Ordinary income |
3/31/13 | $ | 13,233 | $ | 53,894 | |||||||||
3/31/12 | $ | 6,683 | $ | 96,423 | ||||||||||
|
BIF Government Securities Fund |
|
BIF Treasury Fund |
|||||||
Undistributed ordinary income |
$ | 9,758 | $ | 22,368 | ||||||
Net
unrealized losses1 |
| (106 | ) | |||||||
Total |
$ | 9,758 | $ | 22,262 |
1 | The difference between book-basis and tax-basis unrealized losses is attributable to the tax deferral of losses on wash sales. |
12 | ANNUAL REPORT | MARCH 31, 2013 |
Report of Independent Registered Public Accounting Firm | BIF Government Securities
Fund and BIF Treasury Fund |
Boston, Massachusetts
May 24,
2013
Important Tax Information (Unaudited) |
|
BIF Government Securities Fund |
|
BIF Treasury Fund |
|||||||
Federal Obligation Interest1 |
0.44 | % | 1.04 | % | ||||||
Interest-Related Dividends and Qualified Short-Term Capital Gains for Non-US
Residents2 |
100.00 | % | 100.00 | % |
1 | The law varies in each state as to whether and what percentage of dividend income attributable to federal obligations is exempt from state income tax. We recommend that you consult your tax advisor to determine if any portion of the dividends you received is exempt from state income taxes. |
2 | Represents the portion of the taxable ordinary income dividends eligible for exemption from US withholding tax for nonresident aliens and foreign corporations. |
ANNUAL REPORT | MARCH 31, 2013 | 13 |
Master LLC Portfolio Information as of March 31, 2013 | Master Government
Securities LLC and Master Treasury LLC |
Portfolio Composition
Master Government Securities
LLC |
|
Percent of Net Assets |
||||
US
Treasury Obligations |
64 | % | ||||
Repurchase Agreements |
36 | |||||
Total |
100 | % | ||||
Master Treasury LLC |
|
Percent of Net Assets |
||||
US
Treasury Obligations |
100 | % | ||||
Total |
100 | % |
14 | ANNUAL REPORT | MARCH 31, 2013 |
Schedule of Investments March 31, 2013 | Master
Government Securities LLC (Percentages shown are based on Net Assets) |
US Treasury Obligations |
|
Par (000) |
|
Value |
|||||||
US
Treasury Bills (a): |
|||||||||||
0.09%, 4/04/13 |
$ | 25,000 | $ | 24,999,753 | |||||||
0.11%, 4/15/13 |
22,000 | 21,998,992 | |||||||||
0.15%, 4/18/13 |
8,000 | 7,999,700 | |||||||||
0.15%, 4/25/13 |
10,000 | 9,998,976 | |||||||||
0.16%, 5/02/13 |
15,000 | 14,997,867 | |||||||||
0.15%, 5/09/13 |
20,000 | 19,996,750 | |||||||||
0.15%, 5/16/13 |
5,000 | 4,999,042 | |||||||||
0.12%, 5/23/13 |
15,000 | 14,997,295 | |||||||||
0.09% - 0.19%, 5/30/13 |
25,000 | 24,995,417 | |||||||||
0.14%, 6/06/13 |
10,000 | 9,997,394 | |||||||||
0.09%, 6/13/13 |
21,600 | 21,596,226 | |||||||||
0.09% - 0.10%, 6/20/13 |
30,000 | 29,993,643 | |||||||||
0.08% - 0.13%, 6/27/13 |
27,000 | 26,993,437 | |||||||||
0.13%, 7/05/13 |
10,000 | 9,996,533 | |||||||||
0.12%, 8/15/13 |
10,000 | 9,995,433 | |||||||||
0.11% - 0.13%, 9/05/13 |
17,000 | 16,990,476 | |||||||||
0.11%, 9/19/13 |
5,000 | 4,997,372 | |||||||||
0.11%, 9/26/13 |
20,000 | 19,989,061 | |||||||||
US
Treasury Notes: |
|||||||||||
0.50%, 5/31/13 |
5,000 | 5,002,281 | |||||||||
0.38%, 7/31/13 |
5,000 | 5,004,575 | |||||||||
0.25%, 11/30/13 |
6,000 | 6,003,959 | |||||||||
0.25%, 1/31/14 |
5,000 | 5,003,311 | |||||||||
0.25%, 2/28/14 |
6,000 | 6,003,848 | |||||||||
Total US Treasury Obligations 64.3% |
322,551,341 | ||||||||||
Repurchase Agreements
|
|||||||||||
Barclays Capital, Inc., 0.17%, 4/01/13 (Purchased on 3/28/13 to be repurchased at $11,750,222, collateralized by a US Treasury Note, 0.25% due
9/15/15, par and fair values of $12,000,900 and $11,985,087, respectively) |
11,750 | 11,750,000 | |||||||||
Citigroup Global Markets, Inc., 0.15%, 4/01/13 (Purchased on 3/28/13 to be repurchased at $15,000,250, collateralized by a US Treasury Note,
0.63% due 11/30/17, par and fair values of $15,309,800 and $15,300,095, respectively) |
15,000 | 15,000,000 | |||||||||
Credit Suisse Securities (USA) LLC, 0.18%, 4/01/13 (Purchased on 3/28/13 to be repurchased at $16,000,320, collateralized by a US Treasury Bond,
3.13% due 2/15/42, par and fair values of $16,180,000 and $16,323,224, respectively) |
16,000 | 16,000,000 | |||||||||
Deutsche Bank Securities, Inc., 0.15%, 4/01/13 (Purchased on 3/28/13 to be repurchased at $12,888,215, collateralized by a US Treasury Note,
0.75% due 10/31/17, par and fair values of $13,059,800 and $13,145,816, respectively) |
12,888 | 12,888,000 | |||||||||
Repurchase Agreements |
|
Par (000) |
|
Value |
||||||
Goldman Sachs & Co., 0.11%, 4/02/13 (Purchased on 3/26/13 to be repurchased at $15,500,332, collateralized by a US Treasury Inflation Indexed
Note, 1.88% due 7/15/13, par and fair values of $12,317,600 and $15,810,093, respectively) |
$ | 15,500 | $ | 15,500,000 | ||||||
HSBC Securities (USA), Inc., 0.17%, 4/01/13 (Purchased on 3/28/13 to be repurchased at $15,000,283, collateralized by a US Treasury Inflation
Indexed Note, 0.13% due 4/15/17, par and fair values of $13,990,000 and $15,305,350, respectively) |
15,000 | 15,000,000 | ||||||||
JPMorgan Securities, Inc., 0.17%, 4/01/13 (Purchased on 3/28/13 to be repurchased at $15,000,283, collateralized by a US Treasury Note, 0.38% due
1/15/16, par and fair values of $15,275,000 and $15,303,042, respectively) |
15,000 | 15,000,000 | ||||||||
Merrill Lynch, Pierce, Fenner & Smith, Inc., 0.14%, 4/01/13 (Purchased on 3/28/13 to be repurchased at $20,000,311, collateralized by a US
Treasury Note, 1.75% due 3/31/14, par and fair values of $19,917,400 and $20,403,121, respectively) |
20,000 | 20,000,000 | ||||||||
Mizuho Securities USA LLC, 0.18%, 4/01/13 (Purchased on 3/28/13 to be repurchased at $20,000,400, collateralized by various US Treasury
Securities STRIPS, 0.00% - 3.63% due 5/15/132/15/14, par and fair values of $20,413,485 and $20,400,000, respectively) |
20,000 | 20,000,000 | ||||||||
Morgan Stanley & Co., Inc., 0.17%, 4/01/13 (Purchased on 3/28/13 to be repurchased at $15,000,283, collateralized by a US Treasury Note,
2.50% due 3/31/15, par and fair values of $14,471,000 and $15,300,101, respectively) |
15,000 | 15,000,000 | ||||||||
RBS Securities, Inc., 0.17%, 4/01/13 (Purchased on 3/28/13 to be repurchased at $10,000,189, collateralized by a US Treasury Note, 0.13% due
8/31/13, par and fair values of $10,200,000 and $10,200,970, respectively) |
10,000 | 10,000,000 | ||||||||
UBS Securities LLC, 0.15%, 4/01/13 (Purchased on 3/28/13 to be repurchased at $15,000,250, collateralized
by a US Treasury Note, 1.88% due 4/30/14, par and fair values of $14,910,800 and $15,300,028, respectively) |
15,000 | 15,000,000 | ||||||||
Total Repurchase Agreements 36.1% |
181,138,000 | |||||||||
Total Investments (Cost $503,689,341*) 100.4% |
503,689,341 | |||||||||
Liabilities in Excess of Other Assets (0.4)% |
(2,190,415 | ) | ||||||||
Net Assets 100.0% |
$ | 501,498,926 |
Portfolio Abbreviation
ANNUAL REPORT | MARCH 31, 2013 | 15 |
Schedule of Investments (concluded) | Master Government Securities LLC |
Notes to Schedule of Investments
* | Cost
for federal income tax purposes. |
|||
(a) | Rates shown are discount rates or a range of discount rates paid at the time of purchase. |
|||
| Fair
Value Measurements Various inputs are used in determining the fair value of investments. These inputs to valuation techniques are categorized
into a disclosure hierarchy consisting of three broad levels for financial statement purposes as follows: |
| Level 1 unadjusted price quotations in active markets/exchanges for identical assets and liabilities that the Master LLC has the ability to
access |
|||
| Level 2 other observable inputs (including, but not limited to, quoted prices for similar assets or liabilities in markets that are active,
quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for
the assets or liabilities (such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or
other market-corroborated inputs) |
|||
| Level 3 unobservable inputs based on the best information available in the circumstances, to the extent observable inputs are not available
(including the Master LLCs own assumptions used in determining the fair value of investments) |
The
hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the
lowest priority to unobservable inputs (Level 3 measurements). Accordingly, the degree of judgment exercised in determining fair value is greatest for
instruments categorized in Level 3. The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases,
for disclosure purposes, the level in the fair value hierarchy within which the fair value measurement falls in its entirety is determined based on the
lowest level input that is significant to the fair value measurement in its entirety. |
||||
Changes in valuation techniques may result in transfers into or out of an assigned level within the disclosure hierarchy. In accordance with the
Master LLCs policy, transfers between different levels of the fair value disclosure hierarchy are deemed to have occurred as of the beginning of
the reporting period. The categorization of a value determined for investments is based on the pricing transparency of the investment and is not
necessarily an indication of the risks associated with investing in those securities. For information about the Master LLCs policy regarding
valuation of investments and other significant accounting policies, please refer to Note 1 of the Notes to Financial Statements. |
Level 1 | Level 2 | Level 3 | Total | |||||||||||||||
Assets: |
||||||||||||||||||
Investments: |
||||||||||||||||||
US Treasury Obligations |
| $ | 322,551,341 | | $ | 322,551,341 | ||||||||||||
Repurchase Agreements |
| 181,138,000 | | 181,138,000 | ||||||||||||||
Total |
| $ | 503,689,341 | | $ | 503,689,341 |
Certain of the Master LLCs assets are held at carrying amount, which approximates fair value for financial statement purposes. As of March 31, 2013, cash of $616 is categorized as Level 1 within the disclosure hierarchy.
There were no transfers between levels during the year ended March 31, 2013.
16 | ANNUAL REPORT | MARCH 31, 2013 |
Schedule of Investments March 31, 2013 | Master
Treasury LLC (Percentages shown are based on Net Assets) |
US Treasury
Obligations |
|
Par (000) |
|
Value |
||||||
US
Treasury Bills (a): |
||||||||||
0.09% - 0.14%, 4/04/13 |
$ | 458,900 | $ | 458,895,349 | ||||||
0.10% - 0.15%, 4/11/13 |
222,000 | 221,992,873 | ||||||||
0.06% - 0.15%, 4/18/13 |
343,807 | 343,792,076 | ||||||||
0.08% - 0.15%, 4/25/13 |
194,000 | 193,987,378 | ||||||||
0.08% - 0.15%, 5/09/13 |
142,885 | 142,864,508 | ||||||||
0.08% - 0.15%, 5/16/13 |
112,000 | 111,986,270 | ||||||||
0.12% - 0.14%, 5/23/13 |
65,000 | 64,987,523 | ||||||||
0.08% - 0.15%, 5/30/13 |
106,000 | 105,983,283 | ||||||||
0.11% - 0.14%, 6/06/13 |
175,000 | 174,959,986 | ||||||||
0.10%, 6/13/13 |
100,000 | 99,980,472 | ||||||||
0.09% - 0.10%, 6/20/13 |
89,000 | 88,981,764 | ||||||||
0.08% - 0.13%, 6/27/13 |
162,750 | 162,710,421 | ||||||||
0.13%, 7/05/13 |
25,000 | 24,991,333 | ||||||||
0.12%, 7/11/13 |
30,000 | 29,990,225 | ||||||||
US Treasury
Obligations |
|
Par (000) |
|
Value |
||||||
US
Treasury Bills (a) (concluded): |
||||||||||
0.12%, 8/15/13 |
$ | 50,000 | $ | 49,977,167 | ||||||
0.14%, 8/22/13 |
38,000 | 37,979,480 | ||||||||
0.11%, 9/05/13 |
20,000 | 19,990,344 | ||||||||
0.12%, 9/12/13 |
50,000 | 49,973,646 | ||||||||
0.11%, 9/19/13 |
20,000 | 19,989,489 | ||||||||
0.11%, 9/26/13 |
25,000 | 24,986,326 | ||||||||
US
Treasury Notes: |
||||||||||
0.38%, 7/31/13 |
20,000 | 20,018,300 | ||||||||
0.25%, 1/31/14 |
16,000 | 16,010,594 | ||||||||
0.25%, 2/28/14 |
24,000 | 24,015,392 | ||||||||
Total Investments (Cost $2,489,044,199*) 100.0% |
2,489,044,199 | |||||||||
Liabilities in Excess of Other Assets 0.0% |
(733,775 | ) | ||||||||
Net Assets 100.0% |
$ | 2,488,310,424 |
Notes to Schedule of Investments
* | Cost
for federal income tax purposes. |
|||
(a) | Rates shown are discount rates or a range of discount rates paid at the time of purchase. |
|||
| Fair
Value Measurements Various inputs are used in determining the fair value of investments. These inputs to valuation techniques are categorized
into a disclosure hierarchy consisting of three broad levels for financial statement purposes as follows: |
| Level 1 unadjusted price quotations in active markets/exchanges for identical assets and liabilities that the Master LLC has the ability to
access |
|||
| Level 2 other observable inputs (including, but not limited to, quoted prices for similar assets or liabilities in markets that are active,
quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for
the assets or liabilities (such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or
other market-corroborated inputs) |
|||
| Level 3 unobservable inputs based on the best information available in the circumstances, to the extent observable inputs are not available
(including the Master LLCs own assumptions used in determining the fair value of investments) |
The
hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the
lowest priority to unobservable inputs (Level 3 measurements). Accordingly, the degree of judgment exercised in determining fair value is greatest for
instruments categorized in Level 3. The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases,
for disclosure purposes, the level in the fair value hierarchy within which the fair value measurement falls in its entirety is determined based on the
lowest level input that is significant to the fair value measurement in its entirety. |
||||
Changes in valuation techniques may result in transfers into or out of an assigned level within the disclosure hierarchy. In accordance with the
Master LLCs policy, transfers between different levels of the fair value disclosure hierarchy are deemed to have occurred as of the beginning of
the reporting period. The categorization of a value determined for investments is based on the pricing transparency of the investment and is not
necessarily an indication of the risks associated with investing in those securities. For information about the Master LLCs policy regarding
valuation of investments and other significant accounting policies, please refer to Note 1 of the Notes to Financial Statements. |
The following table summarizes the Master LLCs investments categorized in the disclosure hierarchy as of March 31, 2013:
Level 1 | Level 2 | Level 3 | Total | |||||||||||||||
Assets: |
||||||||||||||||||
Investments: |
||||||||||||||||||
US Treasury Obligations |
| $ | 2,489,044,199 | | $ | 2,489,044,199 |
Certain of the Master LLCs assets are held at carrying amount, which approximates fair value for financial statement purposes. As of March
31, 2013, cash of $29,933 is categorized as Level 1 within the disclosure hierarchy. |
There were no transfers between levels during the year ended March 31, 2013. |
ANNUAL REPORT | MARCH 31, 2013 | 17 |
Statements of Assets and Liabilities |
March 31, 2013 |
Master Government Securities LLC |
Master Treasury LLC |
|||||||||
Assets |
|||||||||||
Investments at value unaffiliated1 |
$ | 322,551,341 | $ | 2,489,044,199 | |||||||
Repurchase agreements, at value unaffiliated2 |
181,138,000 | | |||||||||
Cash |
616 | 29,933 | |||||||||
Contributions receivable from investors |
903,239 | 2,613,248 | |||||||||
Interest receivable |
22,145 | 23,797 | |||||||||
Prepaid expenses |
6,663 | 14,914 | |||||||||
Total assets |
504,622,004 | 2,491,726,091 | |||||||||
Liabilities |
|||||||||||
Withdrawals payable to investors |
3,028,130 | 3,196,953 | |||||||||
Investment advisory fees payable |
7,256 | 96,291 | |||||||||
Directors fees payable |
113 | 15,157 | |||||||||
Other affiliates payable |
3,691 | 15,843 | |||||||||
Other accrued expenses payable |
83,888 | 91,423 | |||||||||
Total liabilities |
3,123,078 | 3,415,667 | |||||||||
Net Assets |
$ | 501,498,926 | $ | 2,488,310,424 | |||||||
Net
Assets Consist
of |
|||||||||||
Investors capital |
$ | 501,498,926 | $ | 2,488,310,424 | |||||||
1 Investments at cost unaffiliated |
$ | 322,551,341 | $ | 2,489,044,199 | |||||||
2 Repurchase agreements at cost unaffiliated |
$ | 181,138,000 | |
18 | ANNUAL REPORT | MARCH 31, 2013 |
Statements of Operations |
Year Ended March 31,
2013 |
Master Government Securities LLC |
Master Treasury LLC |
|||||||||
Investment
Income |
|||||||||||
Interest |
$ | 871,705 | $ | 2,688,407 | |||||||
Expenses |
|||||||||||
Investment advisory |
1,488,911 | 4,214,899 | |||||||||
Accounting services |
67,124 | 193,371 | |||||||||
Professional |
92,281 | 104,213 | |||||||||
Custodian |
55,391 | 69,576 | |||||||||
Directors |
20,179 | 93,032 | |||||||||
Printing |
7,038 | 5,884 | |||||||||
Miscellaneous |
6,095 | 22,282 | |||||||||
Total expenses |
1,737,019 | 4,703,257 | |||||||||
Less fees waived by Manager |
(1,243,823 | ) | (2,941,732 | ) | |||||||
Total expenses after fees waived |
493,196 | 1,761,525 | |||||||||
Net investment income |
378,509 | 926,882 | |||||||||
Realized
Gain |
|||||||||||
Net realized gain from investments |
46,689 | 116,489 | |||||||||
Net Increase in Net Assets Resulting from Operations |
$ | 425,198 | $ | 1,043,371 |
Master Government Securities LLC | Master Treasury LLC | ||||||||||||||||||||||
Year Ended March 31, | Year Ended March 31, | ||||||||||||||||||||||
Increase (Decrease) in Net
Assets: |
2013 | 2012 | 2013 | 2012 | |||||||||||||||||||
Operations |
|||||||||||||||||||||||
Net
investment income |
$ | 378,509 | $ | 219,088 | $ | 926,882 | $ | 948,805 | |||||||||||||||
Net
realized gain |
46,689 | 7,419 | 116,489 | 110,794 | |||||||||||||||||||
Net
increase in net assets resulting from operations |
425,198 | 226,507 | 1,043,371 | 1,059,599 | |||||||||||||||||||
Capital
Transactions |
|||||||||||||||||||||||
Proceeds from contributions |
4,413,995,582 | 5,471,740,795 | 10,935,669,633 | 15,223,561,834 | |||||||||||||||||||
Value of withdrawals |
(4,656,068,634 | ) | (5,225,509,991 | ) | (11,594,978,915 | ) | (14,704,269,540 | ) | |||||||||||||||
Net
increase (decrease) in net assets derived from capital transactions |
(242,073,052 | ) | 246,230,804 | (659,309,282 | ) | 519,292,294 | |||||||||||||||||
Net
Assets |
|||||||||||||||||||||||
Total increase (decrease) in net assets |
(241,647,854 | ) | 246,457,311 | (658,265,911 | ) | 520,351,893 | |||||||||||||||||
Beginning of year |
743,146,780 | 496,689,469 | 3,146,576,335 | 2,626,224,442 | |||||||||||||||||||
End
of year |
$ | 501,498,926 | $ | 743,146,780 | $ | 2,488,310,424 | $ | 3,146,576,335 |
ANNUAL REPORT | MARCH 31, 2013 | 19 |
Financial Highlights | Master Government Securities LLC |
Year Ended March 31, |
|
||||||||||||||||||||||
2013 | 2012 | 2011 | 2010 | 2009 | |||||||||||||||||||
Total
Investment Return |
|||||||||||||||||||||||
Total investment return |
0.06 | % | 0.04 | % | 0.13 | % | 0.18 | % | 1.05 | % | |||||||||||||
Ratios
to Average Net
Assets |
|||||||||||||||||||||||
Total expenses |
0.27 | % | 0.27 | % | 0.27 | % | 0.26 | % | 0.23 | % | |||||||||||||
Total expenses after fees waived and paid indirectly |
0.08 | % | 0.03 | % | 0.06 | % | 0.07 | % | 0.20 | % | |||||||||||||
Net
investment income |
0.06 | % | 0.04 | % | 0.13 | % | 0.14 | % | 1.03 | % | |||||||||||||
Supplemental
Data |
|||||||||||||||||||||||
Net
assets, end of year (000) |
$ | 501,499 | $ | 743,147 | $ | 496,689 | $ | 680,465 | $ | 1,170,448 |
Year Ended March 31, |
|
||||||||||||||||||||||
2013 | 2012 | 2011 | 2010 | 2009 | |||||||||||||||||||
Total
Investment Return |
|||||||||||||||||||||||
Total investment return |
0.03 | % | 0.03 | % | 0.08 | % | 0.10 | % | 0.98 | % | |||||||||||||
Ratios
to Average Net
Assets |
|||||||||||||||||||||||
Total expenses |
0.18 | % | 0.17 | % | 0.18 | % | 0.17 | % | 0.16 | % | |||||||||||||
Total expenses after fees waived and paid indirectly |
0.07 | % | 0.02 | % | 0.09 | % | 0.14 | % | 0.16 | % | |||||||||||||
Net
investment income |
0.03 | % | 0.03 | % | 0.06 | % | 0.08 | % | 0.81 | % | |||||||||||||
Supplemental
Data |
|||||||||||||||||||||||
Net
assets, end of year (000) |
$ | 2,488,310 | $ | 3,146,576 | $ | 2,626,224 | $ | 2,856,229 | $ | 5,718,164 |
20 | ANNUAL REPORT | MARCH 31, 2013 |
ANNUAL REPORT | MARCH 31, 2013 | 21 |
Notes to Financial Statements (concluded) | Master Government Securities LLC and Master Treasury LLC |
Average Daily Net Assets | Investment Advisory Fee |
|||||
First $500 Million |
0.250 | % | ||||
$500 Million $1 Billion |
0.175 | % | ||||
Greater than $1 Billion |
0.125 | % |
Reimbursement to Manager |
||||||
Master Government Securities LLC |
$ | 7,935 | ||||
Master Treasury LLC |
$ | 32,130 |
22 | ANNUAL REPORT | MARCH 31, 2013 |
Report of Independent Registered Public Accounting Firm | Master Government
Securities LLC and Master Treasury LLC |
Boston, Massachusetts
May 24,
2013
ANNUAL REPORT | MARCH 31, 2013 | 23 |
Name, Address and Year of Birth |
Position(s) Held with Funds/ Master LLCs |
Length of Time Served as a Director2 |
Principal Occupation(s) During Past Five Years | Number of BlackRock- Advised Registered Investment Companies (RICs) Consisting of Investment Portfolios (Portfolios) Overseen |
Public Directorships |
|||||||
Independent Directors1 |
||||||||||||
Ronald W. Forbes 55 East 52nd Street New York, NY 10055 1940 |
Co-Chairman of the Board and Director |
Since 1981 (Fund); 2002 (Master LLC) |
Professor Emeritus of Finance, School of Business, State
University
of
New
York
at
Albany
since
2000. |
33 RICs consisting of 107 Portfolios |
None |
|||||||
Rodney D. Johnson 55 East 52nd Street New York, NY 10055 1941 |
Co-Chairman of the Board and Director |
Since 2007 |
President, Fairmount Capital Advisors, Inc. since 1987;
Member
of
the
Archdiocesan
Investment
Committee
of
the
Archdiocese
of
Philadelphia
from
2004
to
2012;
Director,
The
Committee
of
Seventy
(civic)
from
2006
to
2012;
Director,
Fox
Chase
Cancer
Center
from
2004
to
2011. |
33 RICs consisting of 107 Portfolios |
None |
|||||||
David O. Beim 55 East 52nd Street New York, NY 10055 1940 |
Director |
Since 2007 |
Professor of Professional Practice at the Columbia University
Graduate
School
of
Business
since
1991;
Trustee,
Phillips
Exeter
Academy
from
2002
to
2012;
Chairman,
Wave
Hill,
Inc.
(public
garden
and
cultural
center)
from
1990
to
2006. |
33 RICs consisting of 107 Portfolios |
None |
|||||||
Dr. Matina S. Horner 55 East 52nd Street New York, NY 10055 1939 |
Director |
Since 2007 |
Executive Vice President of Teachers Insurance and Annuity
Association
and
College
Retirement
Equities
Fund
from
1989
to
2003. |
33 RICs consisting of 107 Portfolios |
NSTAR (electric and gas utility) |
|||||||
Herbert I. London 55 East 52nd Street New York, NY 10055 1939 |
Director |
Since 2007 |
Professor Emeritus, New York University since 2005; John
M.
Olin
Professor
of
Humanities,
New
York
University
from
1993
to
2005
and
Professor
thereof
from
1980
to
2005;
President
Emeritus,
Hudson
Institute
(policy
research
organization)
from
2011
to
2012,
President
thereof
from
1997
to
2011
and
Trustee
from
1980
to
2012;
Chairman
of
the
Board
of
Trustees
for
Grantham
University
since
2006;
Director,
InnoCentive,
Inc.
since
2005;
Director,
Cerego,
LLC
(educational
software)
since
2005;
Director,
Cybersettle
(online
adjudication)
since
2009;
Director,
AIMS
Worldwide,
Inc.
from
2007
to
2012. |
33 RICs consisting of 107 Portfolios |
None |
|||||||
Ian A. MacKinnon 55 East 52nd Street New York, NY 10055 1948 |
Director |
Since 2012 |
Director, Kennett Capital, Inc. (investments) since 2006;
Director,
Free
Library
of
Philadelphia
from
1999
to
2008. |
33 RICs consisting of 107 Portfolios |
None |
|||||||
Cynthia A. Montgomery 55 East 52nd Street New York, NY 10055 1952 |
Director |
Since 1994 (Fund); 2002 (Master LLC) |
Professor, Harvard Business School since 1989; Director,
McLean
Hospital
from
2005
to
2012;
Director,
Harvard
Business
School
Publishing
from
2005
to
2010. |
33 RICs consisting of 107 Portfolios |
Newell Rubbermaid, Inc. (manufacturing) |
|||||||
Joseph P. Platt 55 East 52nd Street New York, NY 10055 1947 |
Director |
Since 2007 |
Director, Jones and Brown (Canadian insurance broker)
since
1998;
Director,
The
West
Penn
Allegheny
Health
System
(a
not-for-profit
health
system)
since
2008;
General
Partner,
Thorn
Partners,
LP
(private
investments)
since
1998;
Director,
WQED
Multi-Media
(public
broadcasting
not-for-profit)
since
2001;
Partner,
Amarna
Corporation,
LLC
(private
investment
company)
from
2002
to
2008. |
33 RICs consisting of 107 Portfolios |
Greenlight Capital Re, Ltd. (reinsurance company) |
|||||||
Robert C. Robb, Jr. 55 East 52nd Street New York, NY 10055 1945 |
Director |
Since 2007 |
Partner, Lewis, Eckert, Robb and Company (management and
financial
consulting
firm)
since
1981. |
33 RICs consisting of 107 Portfolios |
None |
24 | ANNUAL REPORT | MARCH 31, 2013 |
Officers and Directors (continued) |
Name, Address and Year of Birth |
Position(s) Held with Funds/ Master LLCs |
Length of Time Served as a Director2 |
Principal Occupation(s) During Past Five Years | Number of BlackRock- Advised Registered Investment Companies (RICs) Consisting of Investment Portfolios (Portfolios) Overseen |
Public Directorships | ||||||||||||||||||
Independent
Directors1 (concluded) |
|||||||||||||||||||||||
Toby Rosenblatt 55 East 52nd Street New York, NY 10055 1938 |
Director |
Since 2007 |
President, Founders Investments Ltd. (private investments)
since
1999;
Director,
Forward
Management,
LLC
since
2007;
Director,
College
Access
Foundation
of
California
(philanthropic
foundation)
since
2009;
Director,
A.P.
Pharma,
Inc.
(specialty
pharmaceuticals)
from
1983
to
2011;
Director,
The
James
Irvine
Foundation
(philanthropic
foundation)
from
1998
to
2008. |
33 RICs consisting of 107 Portfolios |
None |
||||||||||||||||||
Kenneth L. Urish 55 East 52nd Street New York, NY 10055 1951 |
Director |
Since 2007 |
Managing Partner, Urish Popeck & Co., LLC (certified
public
accountants
and
consultants)
since
1976;
Chairman
of
the
Professional
Ethics
Committee
of
the
Pennsylvania
Institute
of
Certified
Public
Accountants
since
2010
and
Committee
Member
thereof
since
2007;
Member
of
External
Advisory
Board,
The
Pennsylvania
State
University
Accounting
Department
since
2001;
Trustee,
The
Holy
Family
Institute
from
2001
to
2010;
President
and
Trustee,
Pittsburgh
Catholic
Publishing
Associates
from
2003
to
2008;
Director,
Inter-Tel
from
2006
to
2007. |
33 RICs consisting of 107 Portfolios |
None |
||||||||||||||||||
Frederick W. Winter 55 East 52nd Street New York, NY 10055 1945 |
Director |
Since 2007 |
Professor and Dean Emeritus of the Joseph M. Katz School
of
Business,
University
of
Pittsburgh
since
2005
and
Dean
thereof
from
1997
to
2005;
Director,
Alkon
Corporation
(pneumatics)
since
1992;
Director,
Tippman
Sports
(recreation)
since
2005;
Director,
Indotronix
International
(IT
services)
from
2004
to
2008. |
33 RICs consisting of 107 Portfolios |
None |
||||||||||||||||||
1 Directors serve until their resignation, removal or death, or
until December 31 of the year
in which they turn 72. The Board
has approved one-year extensions
in terms of Directors who turn
72 prior to December 31, 2013. |
|||||||||||||||||||||||
2 Date shown is the earliest date a person has served for the Funds/Master
LLCs
covered
by
this
annual
report.
Following
the
combination
of
Merrill
Lynch
Investment
Managers,
L.P.
(MLIM)
and
BlackRock,
Inc.
(BlackRock)
in
September
2006,
the
various
legacy
MLIM
and
legacy
BlackRock
fund
boards
were
realigned
and
consolidated
into
three
new
fund
boards
in
2007.
As
a
result,
although
the
chart
shows
certain
Directors
as
joining
the
Funds/Master
LLCs
board
in
2007,
those
Directors
first
became
members
of
the
boards
of
other
legacy
MLIM
or
legacy
BlackRock
funds
as
follows:
David
O.
Beim,
1998;
Ronald
W.
Forbes,
1977;
Dr.
Matina
S.
Horner,
2004;
Rodney
D.
Johnson,
1995;
Herbert
I.
London,
1987;
Cynthia
A.
Montgomery,
1994;
Joseph
P.
Platt,
1999;
Robert
C.
Robb,
Jr.,
1998;
Toby
Rosenblatt,
2005;
Kenneth
L.
Urish,
1999;
and
Frederick
W.
Winter,
1999. |
|||||||||||||||||||||||
Interested Directors3 |
|||||||||||||||||||||||
Paul L. Audet 55 East 52nd Street New York, NY 10055 1953 |
Director |
Since 2011 |
Senior Managing Director of BlackRock and Head of U.S.
Mutual
Funds
since
2011;
Chair
of
the
U.S.
Mutual
Funds
Committee
reporting
to
the
Global
Executive
Committee
since
2011;
Head
of
BlackRocks
Real
Estate
business
from
2008
to
2011;
Member
of
BlackRocks
Global
Operating
and
Corporate
Risk
Management
Committees
and
of
the
BlackRock
Alternative
Investors
Executive
Committee
and
Investment
Committee
for
the
Private
Equity
Fund
of
Funds
business
since
2008;
Head
of
BlackRocks
Global
Cash
Management
business
from
2005
to
2010;
Acting
Chief
Financial
Officer
of
BlackRock
from
2007
to
2008;
Chief
Financial
Officer
of
BlackRock
from
1998
to
2005. |
155 RICs consisting of 281 Portfolios |
None |
||||||||||||||||||
Henry Gabbay 55 East 52nd Street New York, NY 10055 1947 |
Director |
Since 2007 |
Consultant, BlackRock from 2007 to 2008; Managing Director,
BlackRock
from
1989
to
2007;
Chief
Administrative
Officer,
BlackRock
Advisors,
LLC
from
1998
to
2007;
President
of
BlackRock
Funds
and
BlackRock
Bond
Allocation
Target
Shares
from
2005
to
2007
and
Treasurer
of
certain
closed-end
funds
in
the
BlackRock
fund
complex
from
1989
to
2006. |
155 RICs consisting of 281 Portfolios |
None |
||||||||||||||||||
3 Mr. Audet is an interested person, as defined in
the 1940 Act, of the Funds/Master
LLCs based on his positions
with BlackRock and its affiliates.
Mr. Gabbay is an interested
person of the Funds/Master
LLCs based on his former positions
with BlackRock and its affiliates
as well as his ownership of
BlackRock and The PNC Financial
Services Group, Inc. securities.
Mr. Audet and Mr. Gabbay are
also Directors of the BlackRock
registered closed-end funds
and Directors of other BlackRock
registered open-end funds. Directors
serve until their resignation,
removal or death, or until December
31 of the year in which they
turn 72. |
ANNUAL REPORT | MARCH 31, 2013 | 25 |
Officers and Directors (concluded) |
Name, Address and Year of Birth |
Position(s) Held with Funds/ Master LLCs |
Length of Time Served |
Principal Occupation(s) During Past Five Years | ||||||||||||
Officers1 |
|||||||||||||||
John M. Perlowski 55 East 52nd Street New York, NY 10055 1964 |
President and Chief Executive Officer |
Since 2010 |
Managing Director of BlackRock since 2009; Global Head
of
BlackRock
Fund
Services
since
2009;
Managing
Director
and
Chief
Operating
Officer
of
the
Global
Product
Group
at
Goldman
Sachs
Asset
Management,
L.P.
from
2003
to
2009;
Treasurer
of
Goldman
Sachs
Mutual
Funds
from
2003
to
2009
and
Senior
Vice
President
thereof
from
2007
to
2009;
Director
of
Goldman
Sachs
Offshore
Funds
from
2002
to
2009;
Director
of
Family
Resource
Network
(charitable
foundation)
since
2009. |
||||||||||||
Richard Hoerner, CFA 55 East 52nd Street New York, NY 10055 1958 |
Vice President |
Since 2009 |
Managing Director of BlackRock since 2000; Head of the
Global
Cash
Group
since
2013;
Co-head
of
the
Global
Cash
and
Securities
Lending
Group
from
2010
to
2013;
Member
of
the
Cash
Management
Group
Executive
Committee
since
2005. |
||||||||||||
Brendan Kyne 55 East 52nd Street New York, NY 10055 1977 |
Vice President |
Since 2009 |
Managing Director of BlackRock since 2010; Director of
BlackRock
from
2008
to
2009;
Head
of
Product
Development
and
Management
for
BlackRocks
U.S.
Retail
Group
since
2009
and
Co-head
thereof
from
2007
to
2009;
Vice
President
of
BlackRock
from
2005
to
2008. |
||||||||||||
Christopher Stavrakos, CFA 55 East 52nd Street New York, NY 10055 1959 |
Vice President |
Since 2009 |
Managing Director of BlackRock since 2006; Co-head of
BlackRocks
Cash
Management
Portfolio
Management
Group
since
2006;
Senior
Vice
President,
CIO,
and
Director
of
Liability
Management
for
the
Securities
Lending
Group
at
Mellon
Bank
from
1999
to
2006. |
||||||||||||
Neal Andrews 55 East 52nd Street New York, NY 10055 1966 |
Chief Financial Officer |
Since 2007 |
Managing Director of BlackRock since 2006; Senior Vice
President
and
Line
of
Business
Head
of
Fund
Accounting
and
Administration
at
PNC
Global
Investment
Servicing
(U.S.)
Inc.
from
1992
to
2006. |
||||||||||||
Jay Fife 55 East 52nd Street New York, NY 10055 1970 |
Treasurer |
Since 2007 |
Managing Director of BlackRock since 2007; Director of
BlackRock
in
2006;
Assistant
Treasurer
of
the
MLIM
and
Fund
Asset
Management,
L.P.
advised
funds
from
2005
to
2006;
Director
of
MLIM
Fund
Services
Group
from
2001
to
2006. |
||||||||||||
Brian Kindelan 55 East 52nd Street New York, NY 10055 1959 |
Chief Compliance Officer and Anti-Money Laundering Officer |
Since 2007 |
Chief Compliance Officer of the BlackRock-advised funds
since
2007;
Managing
Director
and
Senior
Counsel
of
BlackRock
since
2005. |
||||||||||||
Benjamin Archibald 55 East 52nd Street New York, NY 10055 1975 |
Secretary |
Since 2012 |
Director of BlackRock since 2010; Assistant Secretary
to
the
funds
from
2010
to
2012;
General
Counsel
and
Chief
Operating
Officer
of
Uhuru
Capital
Management
from
2009
to
2010;
Executive
Director
and
Counsel
of
Goldman
Sachs
Asset
Management
from
2005
to
2009. |
||||||||||||
1 Officers of the Funds/Master
LLCs serve at the pleasure of the Board. |
|||||||||||||||
Further information about the Officers and Directors
is available in the Funds Statement of Additional Information, which can be obtained without charge by calling (800)
221-7210. |
Investment Advisor and Administrator BlackRock Advisors, LLC Wilmington, DE 19809 |
Custodian and Accounting Agent State Street Bank and Trust Company Boston, MA 02110 |
Legal Counsel Sidley Austin LLP New York, NY 10019 |
Address of the Funds 100 Bellevue Parkway Wilmington, DE 19809 |
|||||||||||
Transfer Agent Financial Data Services, Inc. Jacksonville, FL 32246 |
Distributor BlackRock Investments, LLC New York, NY 10022 |
Independent Registered Public Accounting Firm Deloitte & Touche LLP Boston, MA 02116 |
26 | ANNUAL REPORT | MARCH 31, 2013 |
General Information
BlackRock Privacy Principles
ANNUAL REPORT | MARCH 31, 2013 | 27 |
BIFGOVTR-3/13-AR |
![]() |
Item 2 – Code of Ethics – Each registrant (or “Fund”) has adopted a code of ethics, as of the end of the period covered by this report, applicable to the registrant’s principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions. During the period covered by this report, there have been no amendments to or waivers granted under the code of ethics. A copy of the code of ethics is available without charge at www.blackrock.com.
Item 3 – Audit Committee
Financial Expert – Each registrant’s board of directors (the “board of directors”), has determined that
(i) the registrant has the following audit committee financial expert serving on its audit committee and (ii) each audit committee
financial expert is independent:
Kenneth L. Urish
Under applicable securities laws, a person determined to be an audit committee financial expert will not be deemed an “expert” for any purpose, including without limitation for the purposes of Section 11 of the Securities Act of 1933, as a result of being designated or identified as an audit committee financial expert. The designation or identification of a person as an audit committee financial expert does not impose on such person any duties, obligations, or liabilities greater than the duties, obligations, and liabilities imposed on such person as a member of the audit committee and board of directors in the absence of such designation or identification.
Item 4 – Principal Accountant Fees and Services
The following table presents fees billed by Deloitte & Touche LLP (“D&T”) in each of the last two fiscal years for the services rendered to the Funds:
(a) Audit Fees | (b) Audit-Related Fees1 | (c) Tax Fees2 | (d) All Other Fees3 | |||||
Entity Name | Current Fiscal Year End | Previous Fiscal Year End | Current Fiscal Year End | Previous Fiscal Year End | Current Fiscal Year End | Previous Fiscal Year End | Current Fiscal Year End | Previous Fiscal Year End |
BIF Government Securities Fund | $7,363 | $7,100 | $0 | $0 | $9,600 | $9,100 | $0 | $0 |
Master Government Securities LLC | $25,663 | $25,400 | $0 | $0 | $13,000 | $13,000 | $0 | $0 |
The following table presents fees billed by D&T that were required to be approved by each registrant’s audit committee (each a “Committee”) for services that relate directly to the operations or financial reporting of the Fund and that are rendered on behalf of BlackRock Advisors, LLC (“Investment Adviser” or “BlackRock”) and entities controlling, controlled by, or under common control with BlackRock (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser) that provide ongoing services to the Fund (“Fund Service Providers”):
Current Fiscal Year End | Previous Fiscal Year End | |
(b) Audit-Related Fees1 | $0 | $0 |
(c) Tax Fees2 | $0 | $0 |
(d) All Other Fees3 | $2,865,000 | $2,970,000 |
1 The nature of the services includes assurance and related services reasonably related to the performance of the audit of financial statements not included in Audit Fees.
2 The nature of the services includes tax compliance, tax advice and tax planning.
3 Aggregate fees borne by
BlackRock in connection with the review of compliance procedures and attestation thereto performed by D&T with respect to all
of the registered closed-end funds and some of the registered open-end funds advised by BlackRock.
2 |
(e)(1) Audit Committee Pre-Approval Policies and Procedures:
Each Committee has adopted policies and procedures with regard to the pre-approval of services. Audit, audit-related and tax compliance services provided to the registrants on an annual basis require specific pre-approval by the registrant’s Committee. The Committee also must approve other non-audit services provided to the registrant and those non-audit services provided to the Investment Adviser and Fund Service Providers that relate directly to the operations and the financial reporting of the registrant. Certain of these non-audit services that the Committee believes are (a) consistent with the SEC’s auditor independence rules and (b) routine and recurring services that will not impair the independence of the independent accountants may be approved by the Committee without consideration on a specific case-by-case basis (“general pre-approval”). The term of any general pre-approval is 12 months from the date of the pre-approval, unless the Committee provides for a different period. Tax or other non-audit services provided to a registrant which have a direct impact on the operations or financial reporting of the registrant will only be deemed pre-approved provided that any individual project does not exceed $10,000 attributable to the registrant or $50,000 per project. For this purpose, multiple projects will be aggregated to determine if they exceed the previously mentioned cost levels.
Any proposed services exceeding the pre-approved cost levels will require specific pre-approval by the registrant’s Committee,
as will any other services not subject to general pre-approval (e.g., unanticipated but permissible services). The Committee is
informed of each service approved subject to general pre-approval at the next regularly scheduled in-person board meeting. At this
meeting, an analysis of such services is presented to the Committee for ratification. The Committee may delegate to the Committee
Chairman the authority to approve the provision of and fees for any specific engagement of permitted non-audit services, including
services exceeding pre-approved cost levels. (e)(2) None of the services described in each of Items 4(b) through (d) were approved by either Committee pursuant to the de minimus exception in paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X. (f) Not Applicable (g) The aggregate non-audit fees paid to the accountant for services rendered by the accountant to the registrants, the Investment Adviser and the Fund Service Providers were: |
Entity Name | Current Fiscal Year End | Previous Fiscal Year End |
BIF Government Securities Fund | $9,600 | $9,100 |
Master Government Securities LLC | $13,000 | $13,000 |
Additionally, SSAE 16 Review (Formerly, SAS No. 70) fees for the current and previous fiscal years of $2,865,000 and $2,970,000, respectively, were billed by D&T to the Investment Adviser. |
(h) Each Committee has considered and determined that the provision of non-audit services that were rendered to the Investment Adviser, and the Fund Service Providers that were not pre-approved pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X is compatible with maintaining the principal accountant’s independence. |
3 |
Item 5 – Audit Committee of Listed Registrants – Not Applicable
Item 6 – Investments
(a) The registrants’ Schedules of Investments are included as part of the Report to Stockholders filed under Item 1 of this
Form.
(b) Not Applicable due to no such divestments during the semi-annual period covered since the previous Form N-CSR filing.
Item 7 – Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies – Not Applicable
Item 8 – Portfolio Managers of Closed-End Management Investment Companies – Not Applicable
Item 9 – Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers – Not Applicable
Item 10 – Submission of Matters to a Vote of Security Holders – There have been no material changes to these procedures.
Item 11 – Controls and Procedures
11(a) – The registrants’ principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrants’ disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”)) are effective as of a date within 90 days of the filing of this report based on the evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act and Rule 15d-15(b) under the Securities Exchange Act of 1934, as amended.
11(b) – There were no changes in the registrants’ internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act) that occurred during the second fiscal quarter of the period covered by this report that have materially affected, or are reasonably likely to materially affect, the registrants’ internal control over financial reporting.
Item 12 – Exhibits attached hereto
(a)(1) – Code of Ethics – See Item 2 |
(a)(2) – Certifications – Attached hereto |
(a)(3) – Not Applicable
(b) – Certifications – Attached hereto
4 |
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, each registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
BIF Government Securities Fund and Master Government Securities LLC
By: | /s/ John M. Perlowski | |
John M. Perlowski | ||
Chief Executive Officer (principal executive officer) of | ||
BIF Government Securities Fund and Master Government Securities LLC |
Date: June 3, 2013
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 each registrant and in the capacities and on the dates indicated.
By: | /s/ John M. Perlowski | |
John M. Perlowski | ||
Chief Executive Officer (principal executive officer) of | ||
BIF Government Securities Fund and Master Government Securities LLC |
Date: June 3, 2013
By: | /s/ Neal J. Andrews | |
Neal J. Andrews | ||
Chief Executive Officer (principal executive officer) of | ||
BIF Government Securities Fund and Master Government Securities LLC |
Date: June 3, 2013
5 |
EX-99. CERT
CERTIFICATION PURSUANT TO RULE 30a-2(a) UNDER THE 1940 ACT AND SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002
I, John M. Perlowski, Chief Executive Officer (principal executive officer) of BIF Government Securities Fund and Master Government Securities LLC, certify that:
1. I have reviewed this report on Form N-CSR of BIF Government Securities Fund and Master Government Securities LLC;
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 financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the registrants as of, and for, the periods presented in this report;
4. The registrants' 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 registrants 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 registrants, including their 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 registrants' 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 registrants' internal control over financial reporting that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrants' internal control over financial reporting; and
5. The registrants' other certifying officer(s) and I have disclosed to the registrants' auditors and the audit committees of the registrants' boards 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 registrants' 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 registrants' internal control over financial reporting.
Date: June 3, 2013
/s/ John M. Perlowski
John M. Perlowski
Chief Executive Officer (principal executive
officer) of
BIF Government Securities Fund and Master Government Securities LLC
EX-99. CERT
CERTIFICATION PURSUANT TO RULE 30a-2(a) UNDER THE 1940 ACT AND SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002
I, Neal J. Andrews, Chief Financial Officer (principal financial officer) of BIF Government Securities Fund and Master Government Securities LLC, certify that:
1. I have reviewed this report on Form N-CSR of BIF Government Securities Fund and Master Government Securities LLC;
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 financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the registrants as of, and for, the periods presented in this report;
4. The registrants' 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 registrants 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 registrants, including their 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 registrants' 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 registrants' internal control over financial reporting that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrants' internal control over financial reporting; and
5. The registrants' other certifying officer(s) and I have disclosed to the registrants' auditors and the audit committees of the registrants' 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 registrants' 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 registrants' internal control over financial reporting.
Date: June 3, 2013
/s/ Neal J. Andrews
Neal J. Andrews
Chief Financial Officer (principal financial
officer) of
BIF Government Securities Fund and Master Government Securities LLC
Exhibit 99.906CERT
Certification Pursuant to Rule 30a-2(b)
under the 1940 Act and
Section 906 of the Sarbanes-Oxley Act of 2002
Pursuant to 18 U.S.C. § 1350, the undersigned officer of BIF Government Securities Fund and Master Government Securities LLC (the “registrants”), hereby certifies, to the best of his knowledge, that the registrants' Report on Form N-CSR for the period ended March 31, 2013 (the “Report”) fully complies with the requirements of Section 15(d) of the Securities Exchange Act of 1934, as amended, and that the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the registrants.
Date: June 3, 2013
/s/ John M. Perlowski
John M. Perlowski
Chief Executive Officer (principal executive officer) of
BIF Government Securities Fund and Master Government Securities LLC
Pursuant to 18 U.S.C. § 1350, the undersigned officer of BIF Government Securities Fund and Master Government Securities LLC (the “registrants”), hereby certifies, to the best of his knowledge, that the registrants' Report on Form N-CSR for the period ended March 31, 2013 (the “Report”) fully complies with the requirements of Section 15(d) of the Securities Exchange Act of 1934, as amended, and that the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the registrants.
Date: June 3, 2013
/s/ Neal J. Andrews
Neal J. Andrews
Chief Financial Officer (principal financial officer) of
BIF Government Securities Fund and Master Government Securities LLC
This certification is being furnished pursuant to Rule 30a-2(b) under the Investment Company Act of 1940, as amended, and 18 U.S.C. Section 1350 and is not being filed as part of the Form N-CSR with the Securities and Exchange Commission.
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