0000900092-11-000292.txt : 20110627 0000900092-11-000292.hdr.sgml : 20110627 20110627111903 ACCESSION NUMBER: 0000900092-11-000292 CONFORMED SUBMISSION TYPE: N-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20110430 FILED AS OF DATE: 20110627 DATE AS OF CHANGE: 20110627 EFFECTIVENESS DATE: 20110627 FILER: COMPANY DATA: COMPANY CONFORMED NAME: BLACKROCK MUNIYIELD MICHIGAN QUALITY FUND, INC. CENTRAL INDEX KEY: 0000890393 IRS NUMBER: 223196060 STATE OF INCORPORATION: NJ FISCAL YEAR END: 0930 FILING VALUES: FORM TYPE: N-Q SEC ACT: 1940 Act SEC FILE NUMBER: 811-07080 FILM NUMBER: 11932184 BUSINESS ADDRESS: STREET 1: 800 SCUDDERS MILL RD CITY: PLAINSBORO STATE: NJ ZIP: 08536 BUSINESS PHONE: 6092825284 MAIL ADDRESS: STREET 1: 800 SCUDDERS MILL RD CITY: PLAINSBORO STATE: NJ ZIP: 08536 FORMER COMPANY: FORMER CONFORMED NAME: BLACKROCK MUNIYIELD MICHIGAN INSURED FUND, INC. DATE OF NAME CHANGE: 20070611 FORMER COMPANY: FORMER CONFORMED NAME: MUNIYIELD MICHIGAN INSURED FUND INC DATE OF NAME CHANGE: 20020620 FORMER COMPANY: FORMER CONFORMED NAME: MUNIYIELD MICHIGAN INSURED FUND II INC DATE OF NAME CHANGE: 20020620 N-Q 1 miyfinal.htm BR MUNIYIELD MICHIGAN QUALITY FUND, INC. miyfinal.htm - Generated by SEC Publisher for SEC Filing

UNITEDSTATES
SECURITIESANDEXCHANGECOMMISSION
Washington,D.C.20549

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED
MANAGEMENT INVESTMENT COMPANY

Investment Company Act file number 811-07080

Name of Fund: BlackRock MuniYield Michigan Quality Fund, Inc. (MIY)

Fund Address: 100 Bellevue Parkway, Wilmington, DE 19809

Name and address of agent for service: John M. Perlowski, Chief Executive Officer, BlackRock
MuniYield Michigan Quality Fund, Inc., 55 East 52nd Street, New York, NY 10055

Registrant’s telephone number, including area code: (800) 882-0052, Option 4

Date of fiscal year end: 07/31/2011

Date of reporting period: 04/30/2011

Item 1 – Schedule of Investments


BlackRock MuniYield Michigan Quality Fund, Inc. (MIY)
Schedule of Investments April 30, 2011 (Unaudited)
(Percentages shown are based on Net Assets)

    Par   
Municipal Bonds    (000)  Value 
Michigan — 139.2%       
Corporate — 11.1%       
Delta County EDC, Refunding RB, Mead     
Westvaco-Escanaba, Series B, AMT,     
6.45%, 4/15/12 (a)  $ 1,500  $ 1,585,500 
Dickinson County EDC Michigan,       
Refunding RB, International Paper Co.     
Project, Series A, 5.75%, 6/01/16    3,900  3,944,499 
Michigan Strategic Fund, Refunding RB,     
Detroit Edison Co. Project, Series A,     
AMT (NPFGC), 5.55%, 9/01/29    10,250  10,251,025 
Monroe County EDC Michigan,       
Refunding RB, Detroit Edison Co.       
Project, Series AA (NPFGC), 6.95%,     
9/01/22    10,695  12,921,806 
      28,702,830 
County/City/Special District/School District — 45.8%   
Adrian City School District Michigan, GO     
(AGM) (a):       
5.00%, 5/01/14    2,000  2,240,080 
5.00%, 5/01/14    1,600  1,792,064 
Avondale School District Michigan, GO     
(AGC):       
4.00%, 5/01/20    1,000  990,820 
4.30%, 5/01/22    400  400,348 
Bay City School District Michigan, GO,     
School Building & Site (AGM), 5.00%,     
5/01/36    6,735  6,621,717 
Birmingham City School District       
Michigan, GO, School Building & Site     
(AGM), 5.00%, 11/01/33    1,000  1,003,180 
Charter Township of Canton Michigan,     
GO, Capital Improvement (AGM):       
5.00%, 4/01/25    1,840  1,892,882 
5.00%, 4/01/26    2,000  2,044,100 
5.00%, 4/01/27    500  513,375 
City of Oak Park Michigan, GO, Street     
Improvement (NPFGC), 5.00%,       
5/01/30    500  505,955 
County of Genesee Michigan, GO,       
Refunding, Series A (NPFGC), 5.00%,     
5/01/19    600  631,140 
County of Genesee Michigan, GO, Water     
Supply System (NPFGC), 5.13%,       
11/01/33    1,000  984,900 

 

  Par   
Municipal Bonds  (000)  Value 
Michigan (continued)     
County/City/Special District/School     
District (continued)     
County of Wayne Michigan, GO (NPFGC):     
Airport Hotel, Detroit Metropolitan     
Airport, Series A, 5.00%, 12/01/30   $1,750  $ 1,559,092 
Building Authority, Capital     
Improvement, Series A, 5.25%,     
6/01/16  1,000  1,003,620 
Dearborn Brownfield Redevelopment     
Authority, GO, Limited Tax,     
Redevelopment, Series A (AGC),     
5.50%, 5/01/39  3,300  3,334,023 
Detroit City School District Michigan, GO,     
Refunding, School Building & Site     
Improvement, Series A (AGM), 5.00%,     
5/01/21  3,000  3,014,790 
Detroit City School District Michigan, GO,     
School Building & Site Improvement     
(FGIC):     
Series A, 5.38%, 5/01/13 (a)  1,300  1,420,471 
Series B, 5.00%, 5/01/28  3,100  2,956,532 
Eaton Rapids Public Schools Michigan,     
GO, School Building & Site (AGM):     
5.25%, 5/01/20  1,325  1,423,288 
5.25%, 5/01/21  1,675  1,776,287 
Gibraltar School District Michigan, GO,     
School Building & Site:     
(FGIC), 5.00%, 5/01/14 (a)  2,940  3,292,918 
(NPFGC), 5.00%, 5/01/28  710  715,708 
Grand Blanc Community Schools     
Michigan, GO (NPFGC), 5.63%,     
5/01/20  1,100  1,121,472 
Grand Rapids Building Authority     
Michigan, RB, Series A (AMBAC) (a):     
5.50%, 10/01/12  435  466,042 
5.50%, 10/01/12  600  642,816 
Grand Rapids Public Schools Michigan,     
GO, School Building & Site (AGM),     
4.13%, 5/01/11  500  500,100 
Gull Lake Community School District,     
GO, Refunding (AGM), 4.00%,     
5/01/26  995  933,887 

 

Portfolio Abbreviations     
To simplify the listings of portfolio holdings in the Schedule of Investments, the names and descriptions of many of the securities have been abbreviated 
according to the following list:     
ACA  ACA Financial Guaranty Corp.  FGIC  Financial Guaranty Insurance Co. 
AGC  Assured Guaranty Corp.  GAN  Grant Anticipation Notes 
AGM  Assured Guaranty Municipal Corp.  GO  General Obligation Bonds 
AMBAC  American Municipal Bond Assurance Corp.  HDA  Housing Development Authority 
AMT  Alternative Minimum Tax (subject to)  NPFGC  National Public Finance Guarantee Corp. 
CAB  Capital Appreciation Bonds  Q-SBLF  Qualified School Bond Loan Fund 
COP  Certificates of Participation  RB  Revenue Bonds 
EDC  Economic Development Corp.     

 

BLACKROCK MUNIYIELD MICHIGAN QUALITY FUND, INC.  APRIL 30, 2011  1 

 


BlackRock MuniYield Michigan Quality Fund, Inc. (MIY)
Schedule of Investments (continued)
(Percentages shown are based on Net Assets)

    Par   
Municipal Bonds    (000)  Value 
Michigan (continued)       
County/City/Special District/School       
District (continued)       
Gull Lake Community School District       
Michigan, GO, School Building & Site     
(AGM) (a):       
5.00%, 5/01/14  $ 2,000  $ 2,244,520 
5.00%, 5/01/14    3,625  4,068,192 
Harper Creek Community School District     
Michigan, GO, Refunding (AGM),       
5.00%, 5/01/22    1,125  1,187,404 
Harper Woods School District Michigan,     
GO, Refunding, School Building & Site:     
(FGIC), 5.00%, 5/01/14 (a)    4,345  4,859,709 
(NPFGC), 5.00%, 5/01/34    430  427,093 
Jenison Public Schools Michigan, GO,     
Building and Site (NPFGC), 5.50%,       
5/01/12 (a)    1,575  1,656,254 
L'Anse Creuse Public Schools Michigan,     
GO, School Building & Site (AGM):       
5.00%, 5/01/12    650  678,275 
5.00%, 5/01/24    1,000  1,040,810 
5.00%, 5/01/25    1,525  1,571,558 
5.00%, 5/01/26    1,600  1,609,792 
5.00%, 5/01/35    3,000  2,962,830 
Lansing Building Authority Michigan, GO,     
Series A (NPFGC), 5.38%, 6/01/13 (a)  1,510  1,659,007 
Lincoln Consolidated School District       
Michigan, GO, Refunding (NPFGC),       
4.63%, 5/01/28    5,500  5,357,770 
Livonia Public Schools School District     
Michigan, GO, Refunding, Series A       
(NPFGC), 5.00%, 5/01/24    1,000  1,008,870 
Michigan State Building Authority,       
Facilities, Series I:       
5.50%, 10/15/11 (a)    145  148,386 
5.50%, 10/15/18    2,355  2,393,646 
Michigan State Building Authority, RB,     
Facilities Program, Series H (AGM),     
5.00%, 10/15/26    4,500  4,552,515 
Michigan State Building Authority,       
Refunding RB, Facilities Program,       
Series I (AGM), 5.50%, 10/15/11    12,175  12,433,719 
Montrose Community Schools, GO       
(NPFGC), 6.20%, 5/01/17    1,000  1,176,590 
New Haven Community Schools       
Michigan, GO, Refunding, School       
Building & Site (AGM), 5.00%,       
5/01/23    1,500  1,555,305 
Orchard View Schools Michigan, GO,       
School Building & Site (NPFGC),       
5.00%, 11/01/13 (a)    5,320  5,889,985 
Pennfield School District Michigan, GO,     
School Building & Site (a):       
(FGIC), 5.00%, 5/01/14    765  855,622 
(NPFGC), 5.00%, 5/01/14    605  676,668 
Reed City Public Schools Michigan, GO,     
School Building & Site (AGM), 5.00%,     
5/01/14 (a)    1,425  1,599,220 
Rochester Community School District,     
GO (NPFGC), 5.00%, 5/01/19    435  474,072 

 

    Par   
Municipal Bonds    (000)  Value 
Michigan (continued)       
County/City/Special District/School       
District (concluded)       
Southfield Public Schools Michigan, GO,     
School Building & Site, Series B       
(AGM), 5.00%, 5/01/14 (a)  $ 3,500  $ 3,923,465 
Thornapple Kellogg School District       
Michigan, GO, School Building & Site     
(NPFGC), 5.00%, 5/01/32    2,500  2,493,550 
Van Dyke Public Schools Michigan, GO,     
School Building & Site (AGM), 5.00%,     
5/01/28    1,250  1,271,413 
West Bloomfield School District       
Michigan, GO, Refunding (NPFGC):       
5.50%, 5/01/17    1,710  1,762,753 
5.50%, 5/01/18    1,225  1,257,230 
Zeeland Public Schools Michigan, GO,     
School Building & Site (NPFGC),       
5.00%, 5/01/29    1,600  1,611,520 
      118,189,350 
Education — 8.6%       
Eastern Michigan University, Refunding     
RB, General (AMBAC), 6.00%,       
6/01/20    435  436,653 
Fraser Public School District, GO, School     
Building & Site (AGM), 5.00%,       
5/01/25    2,000  2,042,500 
Goodrich Area School District, GO,       
School Building & Site (Q-SBLF) (b):     
5.50%, 5/01/32    600  613,434 
5.50%, 5/01/36    1,200  1,201,824 
5.50%, 5/01/41    1,575  1,582,214 
Grand Valley State University Michigan,     
RB, General (NPFGC), 5.50%,       
2/01/18    2,070  2,268,099 
Michigan Higher Education Facilities       
Authority, RB, Limited Obligation,       
Hillsdale College Project, 5.00%,       
3/01/35    1,875  1,669,125 
Michigan Higher Education Facilities       
Authority, Refunding RB, Limited       
Obligation, Creative Studies (a):       
5.85%, 6/01/12    1,235  1,305,617 
5.90%, 6/01/12    1,145  1,211,089 
Michigan Higher Education Student       
Loan Authority, RB, Student Loan,       
Series XVII-Q, AMT (AMBAC), 5.00%,     
3/01/31    3,000  2,973,720 
Michigan State University, Refunding     
RB, General, Series C, 5.00%,       
2/15/40    4,700  4,699,671 
Saginaw Valley State University       
Michigan, Refunding RB, General       
(NPFGC), 5.00%, 7/01/24    2,100  2,109,324 
      22,113,270 
Health — 19.5%       
Dickinson County Healthcare System,     
Refunding RB, Series A (ACA), 5.80%,     
11/01/24    3,100  3,119,840 

 

2 BLACKROCK MUNIYIELD MICHIGAN QUALITY FUND, INC.  APRIL 30, 2011 

 


BlackRock MuniYield Michigan Quality Fund, Inc. (MIY)
Schedule of Investments (continued)
(Percentages shown are based on Net Assets)

    Par   
Municipal Bonds    (000)  Value 
Michigan (continued)       
Health (concluded)       
Flint Hospital Building Authority       
Michigan, Refunding RB, Hurley       
Medical Center (ACA):       
6.00%, 7/01/20  $ 1,205  $ 1,136,737 
Series A, 5.38%, 7/01/20    615  555,031 
Kalamazoo Hospital Finance Authority,     
RB, Bronson Methodist Hospital       
(AGM), 5.25%, 5/15/36    4,750  4,424,767 
Kent Hospital Finance Authority       
Michigan, RB, Spectrum Health,       
Series A (NPFGC), 5.50%, 7/15/11 (a)  3,000  3,062,340 
Kent Hospital Finance Authority       
Michigan, Refunding RB, Butterworth,     
Series A (NPFGC), 7.25%, 1/15/13 (c)  1,170  1,235,391 
Michigan State Hospital Finance       
Authority, RB:       
Ascension Health Senior Credit       
Group, 5.00%, 11/15/25    3,700  3,753,872 
Hospital, MidMichigan Obligation     
Group, Series A (AMBAC), 5.50%,     
4/15/18    2,530  2,564,206 
McLaren Health Care, Series C,       
5.00%, 8/01/35    1,000  912,190 
MidMichigan Obligation Group,       
Series A, 5.00%, 4/15/36    3,750  3,207,525 
Michigan State Hospital Finance       
Authority, Refunding RB:       
Henry Ford Health System, Series A,     
5.25%, 11/15/46    2,500  2,085,900 
Hospital, Crittenton, Series A,       
5.63%, 3/01/27    2,050  1,986,163 
Hospital, Oakwood Obligation       
Group, Series A, 5.00%, 7/15/21  600  601,830 
Hospital, Oakwood Obligation       
Group, Series A, 5.00%, 7/15/25  3,260  3,084,742 
Hospital, Oakwood Obligation       
Group, Series A, 5.00%, 7/15/37  630  536,943 
Hospital, Sparrow Obligated, 5.00%,     
11/15/31    3,100  2,733,270 
McLaren Health Care, 5.75%,       
5/15/38    4,500  4,510,170 
Trinity Health Credit, Series A,       
6.25%, 12/01/28    930  985,754 
Trinity Health Credit, Series A,       
6.50%, 12/01/33    1,000  1,056,220 
Trinity Health Credit, Series C,       
5.38%, 12/01/23    1,000  1,010,170 
Trinity Health Credit, Series C,       
5.38%, 12/01/30    3,755  3,650,724 
Trinity Health Credit, Series D,       
5.00%, 8/15/34    3,100  2,825,557 
Royal Oak Hospital Finance Authority     
Michigan, Refunding RB, William       
Beaumont Hospital, 8.25%, 9/01/39  1,000  1,133,770 
      50,173,112 
Housing — 7.4%       
Michigan State HDA, RB:       
Deaconess Tower AMT (Ginnie       
Mae), 5.25%, 2/20/48    1,000  945,010 
Series A, 4.75%, 12/01/25    4,400  4,147,528 

 

    Par   
Municipal Bonds    (000)  Value 
Michigan (continued)       
Housing (concluded)       
Michigan State HDA, RB (concluded):     
Series A, 6.00%, 10/01/45  $ 6,990   $7,049,904 
Series A AMT (NPFGC), 5.30%,       
10/01/37    130  126,394 
Williams Pavilion AMT (Ginnie Mae),     
4.75%, 4/20/37    3,850  3,517,668 
Michigan State HDA, Refunding RB,       
Series A, 6.05%, 10/01/41    3,260  3,283,537 
      19,070,041 
State — 10.9%       
Michigan Municipal Bond Authority, RB,     
Local Government Loan Program,       
Group A (AMBAC), 5.50%, 11/01/20  1,065  1,063,285 
Michigan Municipal Bond Authority,       
Refunding RB, Local Government,       
Charter County Wayne, Series B       
(AGC):       
5.00%, 11/01/14    2,400  2,621,544 
5.00%, 11/01/15    1,500  1,642,170 
5.00%, 11/01/16    500  554,980 
5.38%, 11/01/24    125  133,588 
Michigan State Building Authority,       
Refunding RB:       
Facilities Program, Series I, 6.25%,     
10/15/38    3,900  4,118,400 
Facilities Program, Series I (AGC),     
5.25%, 10/15/24    4,000  4,182,160 
Facilities Program, Series I (AGC),     
5.25%, 10/15/25    2,000  2,063,620 
Facilities Program, Series I (AGC),     
5.25%, 10/15/26    600  614,808 
Facilities Program, Series II       
(NPFGC), 5.00%, 10/15/29    3,500  3,500,735 
State of Michigan, COP (AMBAC), 5.54%,     
6/01/22 (c)(d)    3,000  2,004,600 
State of Michigan, RB, GAN (AGM),       
5.25%, 9/15/27    5,250  5,457,060 
      27,956,950 
Transportation — 13.4%       
Sturgis Building Authority, RB, Sturgis     
Hospital Project (NPFGC), 4.75%,       
10/01/34    475  437,774 
Wayne County Airport Authority, RB,       
Detroit Metropolitan Wayne County     
Airport, AMT (NPFGC):       
5.25%, 12/01/25    7,525  7,271,709 
5.25%, 12/01/26    6,300  6,009,381 
5.00%, 12/01/34    9,160  7,716,750 
Wayne County Airport Authority,       
Refunding RB, AMT (AGC):       
5.75%, 12/01/25    4,000  4,038,920 
5.75%, 12/01/26    1,000  1,002,990 
5.38%, 12/01/32    8,700  8,008,698 
      34,486,222 
Utilities — 22.5%       
City of Detroit Michigan, RB:       
Second Lien, Series B (AGM),       
7.00%, 7/01/36    3,000  3,361,890 
Second Lien, Series B (NPFGC),       
5.00%, 7/01/13 (a)    1,550  1,690,244 

 

BLACKROCK MUNIYIELD MICHIGAN QUALITY FUND, INC.  APRIL 30, 2011  3 

 


BlackRock MuniYield Michigan Quality Fund, Inc. (MIY)
Schedule of Investments(continued)
(Percentages shown are based on Net Assets)

    Par   
Municipal Bonds    (000)  Value 
Michigan (concluded)       
Utilities (concluded)       
City of Detroit Michigan, RB (concluded):     
Second Lien, Series B (NPFGC),       
5.00%, 7/01/34  $ 2,420  $ 2,078,466 
Senior Lien, Series A (AGM), 5.00%,     
7/01/25    4,000  3,850,320 
Senior Lien, Series A (FGIC), 5.75%,     
7/01/11 (a)    5,250  5,348,228 
Senior Lien, Series A (NPFGC),       
5.00%, 7/01/34    6,900  5,926,203 
Series B (NPFGC), 5.25%,       
7/01/13 (a)    11,790  12,920,189 
City of Detroit Michigan, Refunding RB:     
Second Lien, Series C (AGM),       
5.00%, 7/01/29    10,570  9,671,444 
(FGIC), 6.25%, 7/01/12 (c)    525  542,740 
City of Grand Rapids Michigan, RB       
(NPFGC), 5.00%, 1/01/34    11,385  11,407,315 
Michigan Municipal Bond Authority, RB,     
Clean Water Revolving-Pooled, 5.00%,     
10/01/27    1,240  1,323,464 
      58,120,503 
Total Municipal Bonds in Michigan      358,812,278 
Guam — 1.1%       
County/City/Special District/School District — 0.5%   
Territory of Guam, RB, Section 30,       
Series A, 5.63%, 12/01/29    1,400  1,359,876 
Utilities — 0.6%       
Guam Power Authority, Refunding RB,     
Series A (AGM), 5.00%, 10/01/37    1,565  1,410,362 
Total Municipal Bonds in Guam      2,770,238 
Puerto Rico — 5.8%       
County/City/Special District/School District — 1.9%   
Puerto Rico Sales Tax Financing Corp.,     
Refunding RB, First Sub-Series C       
(AGM), 5.13%, 8/01/42    5,100  4,830,159 
Housing — 0.8%       
Puerto Rico Housing Finance Authority,     
Refunding RB, Subordinate, Capital     
Fund Modernization, 5.13%,       
12/01/27    2,000  2,008,020 
State — 2.1%       
Puerto Rico Public Buildings Authority,     
Refunding RB, Government Facilities,     
Series M-3 (NPFGC), 6.00%, 7/01/27  2,100  2,145,129 
Puerto Rico Sales Tax Financing Corp.,     
Refunding RB, CAB, Series A       
(NPFGC) (d):       
5.18%, 8/01/43    12,500  1,451,875 
4.99%, 8/01/46    20,000  1,852,200 
      5,449,204 
Transportation — 1.0%       
Puerto Rico Highway & Transportation     
Authority, Refunding RB, Series CC     
(AGC), 5.50%, 7/01/31    2,750  2,733,198 
Total Municipal Bonds in Puerto Rico    15,020,581 
Total Municipal Bonds – 146.1%      376,603,097 

 

Municipal Bonds Transferred to Tender  Par   
Option Bond Trusts (e)  (000)  Value 
Michigan — 12.0%     
Corporate — 4.7%     
Wayne State University, Refunding RB,     
General (AGM), 5.00%, 11/15/35  $ 12,210  $ 12,107,314 
County/City/Special District/School District — 2.6%   
Lakewood Public Schools Michigan, GO,     
School Building & Site (AGM), 5.00%,     
5/01/37  6,470  6,673,611 
Education — 4.7%     
Portage Public Schools Michigan, GO,     
School Building & Site (AGM), 5.00%,     
5/01/31  4,650  4,663,624 
Saginaw Valley State University,     
Refunding RB, General (AGM), 5.00%,     
7/01/31  7,500  7,544,400 
    12,208,024 
Total Municipal Bonds Transferred to     
Tender Option Bond Trusts – 12.0%    30,988,949 
Total Long-Term Investments     
(Cost – $409,308,247) – 158.1%    407,592,046 
Short-Term Securities     
BIF Michigan Municipal Money Fund     
0.00% (f)(g)  7,713,140  7,713,140 
Total Short-Term Securities     
(Cost – $7,713,140) – 3.0%    7,713,140 
Total Investments     
(Cost – $417,021,387*) – 161.1%    415,305,186 
Other Assets Less Liabilities – 1.3%    3,353,596 
Liability for Trust Certificates, Including Interest   
Expense and Fees Payable – (6.3)%    (16,211,291) 
Preferred Shares, at Redemption Value – (56.1)%  (144,612,547) 
Net Assets Applicable to Common Shares – 100.0%  $ 257,834,944 


* The cost and unrealized appreciation (depreciation) of investments as of
April 30, 2011, as computed for federal income tax purposes, were as
follows:

Aggregate cost  $ 401,061,276 
Gross unrealized appreciation  $ 11,432,529 
Gross unrealized depreciation  (13,378,619) 
Net unrealized depreciation  $ (1,946,090) 


(a) US government securities, held in escrow, are used to pay interest on this
security as well as to retire the bond in full at the date indicated, typically
at a premium to par.
(b) When-issued security. Unsettled when-issued transactions were as
follows:

    Unrealized 
Counterparty  Value  Appreciation 
Stifel Nicolaus & Co., Inc.  $ 3,397,472  $ 41,975 


(c) Security is collateralized by Municipal or US Treasury obligations.

4 BLACKROCK MUNIYIELD MICHIGAN QUALITY FUND, INC.  APRIL 30, 2011 

 


BlackRock MuniYield Michigan Quality Fund, Inc. (MIY)
Schedule of Investments (continued)

(d) Represents a zero-coupon bond. Rate shown reflects the current yield as of
report date.
(e) Securities represent bonds transferred to a tender option bond trust in
exchange for which the Fund acquired residual interest certificates. These
securities serve as collateral in a financing transaction.
(f) Investments in companies considered to be an affiliate of the Fund during the
period, for purposes of Section 2(a)(3) of the Investment Company Act of 1940,
as amended, were as follows:

  Shares    Shares   
  Held at    Held at   
  July 31,  Net  April 30,   
Affiliate  2010  Activity  2011  Income 
BIF Michigan         
Municipal         
Money Fund  1,734,583  5,978,557  7,713,140  –

 

(g) Represents the current yield as of report date.

•  Financial futures contracts sold as of April 30, 2011 were as follows:       
          Notional  Unrealized 
  Contracts  Issue  Exchange  Expiration  Value  Depreciation 
  96  10-Year U.S. Treasury Note  Chicago Board of Trade  June 2011  $ 11,377,318  $ (252,182) 

 

• For Fund compliance purposes, the Fund’s sector classifications refer to any one or more of the sector sub-
classifications used by one or more widely recognized market indexes or ratings group indexes, and/or as
defined by Fund management. These definitions may not apply for purposes of this report, which may
combine sector sub-classifications for reporting ease.

• Fair Value Measurements — Various inputs are used in determining the fair value of investments and derivative financial instruments.
These inputs are summarized in three broad levels for financial reporting purposes as follows:

• Level 1 — price quotations in active markets/exchanges for identical assets and liabilities

• 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 Fund’s own assumptions used in determining the fair value of investments and derivative
financial instruments)

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated
with investing in those securities. For information about the Fund’s policy regarding valuation of investments
and derivative financial instruments and other significant accounting policies, please refer to the Fund’s most
recent financial statements as contained in its semi-annual report.

BLACKROCK MUNIYIELD MICHIGAN QUALITY FUND, INC.  APRIL 30, 2011  5 

 


BlackRock MuniYield Michigan Quality Fund, Inc. (MIY)
Schedule of Investments (concluded)

The following tables summarize the inputs used as of April 30, 2011 in determining the fair
valuation of the Fund’s investments and derivative financial instruments:

Valuation Inputs  Level 1  Level 2  Level 3  Total 
Assets:         
Investments:         
Long-Term         
Investments1  — $ 407,592,046   —  $ 407,592,046 
Short-Term         
Securities  $ 7,713,140  —   —  7,713,140 
Total  $ 7,713,140 $ 407,592,046   — $ 415,305,186 
1 See above Schedule of Investments for values in each sector.     

 

Valuation Inputs  Level 1  Level 2  Level 3  Total 
Derivative Financial Instruments2       
Liabilities:         
Interest rate         
contracts  $ (252,182)  —  —  $ (252,182) 
2Derivative financial instruments are financial futures contracts, which are valued at the 
unrealized appreciation/depreciation on the instrument.     

 

6 BLACKROCK MUNIYIELD MICHIGAN QUALITY FUND, INC.  APRIL 30, 2011 

 


Item 2 – Controls and Procedures

2(a) – The registrant's principal executive and principal financial officers or persons performing
similar functions have concluded that the registrant's disclosure controls and procedures (as
defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the
31940 Act3)) areeffective 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 13a-15(b) under the Securities Exchange Act of 1934, as amended.

2(b) – There were no changes in the registrant's internal control over financial reporting (as defined
in Rule 30a-3(d) under the 1940 Act) that occurred during the registrant's last fiscal quarter
that have materially affected, or are reasonably likely to materially affect, the registrant's
internal control over financial reporting.

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 MuniYield Michigan Quality Fund, Inc.

By: /S/ John M. Perlowski
John M. Perlowski
Chief Executive Officer of
BlackRock MuniYield Michigan Quality Fund, Inc.

Date: June 24, 2011

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/ John M. Perlowski
John M. Perlowski
Chief Executive Officer (principal executive officer) of
BlackRock MuniYield Michigan Quality Fund, Inc.

Date: June 24, 2011

By: /S/ Neal J. Andrews
Neal J. Andrews
Chief Financial Officer (principal financial officer) of
BlackRock MuniYield Michigan Quality Fund, Inc.

Date: June 24, 2011

 EX-99 2 miyex99.htm CERTIFICATION miyex99.htm - Generated by SEC Publisher for SEC Filing

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 BlackRock MuniYield Michigan Quality
Fund, Inc., certify that:

1. I have reviewed this report on Form N-Q of BlackRock MuniYield Michigan Quality 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 schedules 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 registrant's 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: June 24, 2011

/S/ John M. Perlowski
John M. Perlowski
Chief Executive Officer (principal executive officer) of
BlackRock MuniYield Michigan Quality Fund, Inc.


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 BlackRock MuniYield Michigan Quality Fund,
Inc., certify that:

1. I have reviewed this report on Form N-Q of BlackRock MuniYield Michigan Quality 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 schedules 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 registrant's 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: June 24, 2011

/S/ Neal J. Andrews
Neal J. Andrews
Chief Financial Officer (principal financial officer) of
BlackRock MuniYield Michigan Quality Fund, Inc.