-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, CsUnIvrf36Ocfhsoc+q6Y4dJsFTBZqAtfesQG/JHWDg8Goa7sseo1bgf6Vq5dyqQ Xajz03XriONiESlmZ5Rzuw== 0000891804-01-501453.txt : 20010809 0000891804-01-501453.hdr.sgml : 20010809 ACCESSION NUMBER: 0000891804-01-501453 CONFORMED SUBMISSION TYPE: N-30D PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 20010531 FILED AS OF DATE: 20010808 FILER: COMPANY DATA: COMPANY CONFORMED NAME: NUVEEN MASSACHUSETTS PREMIUM INCOME MUNICIPAL FUND CENTRAL INDEX KEY: 0000897419 STANDARD INDUSTRIAL CLASSIFICATION: [] IRS NUMBER: 367032570 STATE OF INCORPORATION: MA FISCAL YEAR END: 0531 FILING VALUES: FORM TYPE: N-30D SEC ACT: 1940 Act SEC FILE NUMBER: 811-07484 FILM NUMBER: 1700405 BUSINESS ADDRESS: STREET 1: 333 WEST WACKER DR CITY: CHICAGO STATE: IL ZIP: 60606 BUSINESS PHONE: 3129178200 MAIL ADDRESS: STREET 1: 333 WEST WACKER DRIVE STREET 2: 333 WEST WACKER DRIVE CITY: CHICAGO STATE: IL ZIP: 60606 N-30D 1 nv24752ee.txt FAN-3-5-01 Annual Report May 31, 2001 Logo: Nuveen Investments Municipal Closed-End Exchange-Traded Funds Dependable, tax-free income to help you keep more of what you earn. CONNECTICUT NTC NFC GEORGIA NPG MASSACHUSETTS NMT NMB MISSOURI NOM Invest well. Look ahead. LEAVE YOUR MARK.(SM) Photo: Ripples on the surface of water. Photo: Girl and and elderly man working on laptop computer. Less Mail, More FREEDOM with online fund reports Photo: Clouds in the sky Photo: Hand on computer mouse There is a new way to receive your Nuveen Fund updates faster than ever. Nuveen now can link you with electronic versions of the important financial information we send you by regular mail. By registering for online access via the Internet, you will be able to view and save the Fund information you currently receive in the mail. This information can be stored on your computer and retrieved any time. In addition, you can select only the specific pages you want to view or print. With this new service, you'll receive an e-mail notice the moment Fund reports are ready. This notice will contain a link to the report - all you have to do is click your computer mouse on the internet address provided. You'll be saving time, as well as saving your Fund paper, printing and distribution expenses. Registering for electronic access is easy and only takes a few minutes. (see box at right) The e-mail address you provide is strictly confidential and will not be used for anything other than notifications of shareholder information. And if you decide you don't like receiving your reports electronically, it's a simple process to go back to regular mail delivery. - -------------------------------------------------------------------------------- SIGN UP TODAY-- Here's what you need to do... - -------------------------------------------------------------------------------- If your Nuveen Fund dividends are PAID TO YOUR BROKERAGE ACCOUNT, follow the steps outlined below: - -------------------------------------------------------------------------------- 1 Go to WWW.INVESTORDELIVERY.COM 2 Look at the address sheet that accompanied this report. Enter the personal 13-CHARACTER ENROLLMENT NUMBER imprinted near your name on the address sheet. 3 You'll be taken to a page with several options. Select the NEW ENROLLMENT-CREATE screen. Once there, enter your e-mail address (e.g. yourID@providerID.com), and a personal, 4-digit PIN of your choice. (Pick a number that's easy to remember.) 4 Click Submit. Confirm the information you just entered is correct, then click Submit again. 5 You should get a confirmation e-mail within 24 hours. If you do not, go back through these steps to make sure all the information is correct. 6 Use this same process if you need to change your registration infor mation or cancel internet viewing. - -------------------------------------------------------------------------------- If your Nuveen Fund dividends COME DIRECTLY TO YOU FROM NUVEEN, follow the steps outlined below: - -------------------------------------------------------------------------------- 1 Go to WWW.NUVEEN.COM 2 Select the Exchange-Traded Funds section, then click on Tools. SELECT E-REPORT Enrollment option. 3 You'll be taken to a screen that asks for your social security number and e-mail address. Fill in this information, then click Submit. 4 Confirm the information you entered is correct, then click Submit again. 5 You should get a confirmation e-mail within 24 hours. If you do not, go back through these steps to make sure all the information is correct. 6 Use this same process if you need to change your registration infor mation or cancel internet viewing. Dear Shareholder Photo: Timothy R. Schwertfeger Timothy R. Schwertfeger Chairman of the Board - -------------------------------------------------------------------------------- Sidebar text: "Your Nuveen Fund also features several characteristics that can help make it an essential part of your overall investment strategy." - -------------------------------------------------------------------------------- I am pleased to have this opportunity to report on the recent performance of your Nuveen Fund. During the period covered by this report, your Fund continued to meet its primary objective of providing you with attractive monthly tax-free income from a portfolio of quality municipal bonds. Detailed information on your Fund can be found in the Portfolio Managers' Comments and Performance Overview sections later in this report. I urge you to take the time to read them. In addition to providing you with steady tax-free income, your Nuveen Fund also features several characteristics that can help make it an essential part of your overall investment strategy. These include careful research, constant surveillance and judi cious trading by Nuveen's seasoned portfolio management team, with every action designed to supplement income, improve Fund structure, better adapt to current market conditions or increase diversification. In turbulent times like these, prudent investors understand the importance of diversification, balance, and risk management, all attributes your Nuveen Fund can bring to your portfolio. With strong long-term performance achieved through consistent, disciplined professional management, your Nuveen Fund also illustrates the power of taking a long-term view toward financial growth and success. - -------------------------------------------------------------------------------- Sidebar text: "Today, perhaps more than ever, investors have the ability to make a lasting impact on their families and their world for generations to come." - -------------------------------------------------------------------------------- Invest Well. Look Ahead. Leave Your Mark. Today, perhaps more than ever, investors have the ability to make a lasting impact on their families and their world for generations to come. For more than 100 years, Nuveen has specialized in offering quality investments, such as the Nuveen Funds, to those seeking to accumulate and preserve wealth to establish a lasting legacy. Our mission continues to be to provide assistance to you and your financial advisor by offering investment services and products that can help you leave your mark. We thank you for continuing to choose Nuveen Investments as your partner as you work toward that goal. Sincerely, /s/ Timothy R. Schwertfeger Timothy R. Schwertfeger Chairman of the Board July 15, 2001 Nuveen Closed-End Exchange-Traded Funds (NTC, NFC, NPG, NMT, NMB, NOM) Portfolio Managers' Comments Portfolio managers Paul Brennan, Tom Futrell, Tom O'Shaughnessy and Mike Davern examine national and state economic condi tions, key investment strategies, and the performance of the Nuveen Closed-End Exchange-Traded Funds. Paul, who has nine years experience as an investment professional, has managed NTC since 1999. Tom Futrell, an 15-year Nuveen veteran, assumed responsibility for NMT in 1998. An 18-year veteran of Nuveen, Tom O'Shaughnessy assumed portfolio management responsibilities for NPG in 1998. Mike, who has served as a portfolio manager since 1992, assumed responsibility for NOM in 1998 as well. In March 2001, Paul and Tom Futrell also added the new Nuveen Dividend Advantage Funds for Connecticut (NFC) and Massachusetts (NMB), respectively. WHAT FACTORS HAD THE GREATEST INFLUENCE ON THE U.S. ECONOMY AND THE MUNICIPAL MARKET DURING THIS REPORTING PERIOD? The first part of this reporting period saw market participants worried about economic growth at too rapid a pace and worry this might lead to a rise in future inflation. However, by the end of 2000 the focus had shifted toward concerns about a slower rate of economic growth. This was one reason the Federal Reserve Board governors cited as they announced five interest rate cuts of 50 basis points each over the first five months of 2001. (The Fed also cut the fed funds rate by another 25 basis points in late June, after the close of the reporting period.) The consensus among many market observers is that the Fed remains ready to continue easing as long as signs of a significant economic slowdown remain. In the municipal market, new issue supply has started to pick up in 2001. During the first five months of this calendar year, new municipal issuance nationwide totaled $102.6 billion, an increase of 41% over January-May 2000. On the demand side, municipal bonds continued to be highly sought after by individual investors looking for diversification, income, and an alternative to a volatile stock market. For the most part, improving supply and continued strong demand has helped keep municipal bond prices higher than they were at this time last year. As a result, municipal bond yields are correspondingly lower. Nevertheless, we believe the municipal market continues to represent good value. As of May 31, 2001, long-term municipal yields were 98% of 30-year Treasury yields, compared with 103% in May 2000. WHAT WERE THE MARKET ENVIRONMENTS LIKE IN CONNECTICUT, GEORGIA, MASSACHUSETTS AND MISSOURI? PAUL: The increase in new supply in Connecticut has been about on par with that of the broader municipal market. During the first five months of 2001, state issuance totaled $1.2 billion, up 39% over the same period in 2000. Connecticut's economy continued to transition from a reliance on defense manufacturing to higher-skilled industries such as financial services, information technology, and biotechnology, which is rapidly becoming one of the state's primary economic drivers. The Connecticut economy also continued to benefit from the increased presence of gaming, with Foxwoods Casino serving as the state's largest employer. As of May 2001, the unemployment rate in Connecticut was 2.4%, down from 2.5% a year ago and well below the current national average of 4.5%. Over the near term, this tight labor market could have a limiting effect on growth in the state. In February 2001, Connecticut's general obligation debt was upgraded to Aa2 from Aa3 by Moody's, which cited the state's well-established trend of financial performance and generally favorable economic conditions. TOM O'SHAUGHNESSY: Mirroring events at the national level, job growth in Georgia began to show signs of slowing, with a significant drop-off in the services sector, declining construction activity, and manufacturing layoffs throughout the state. Despite the diversification of Georgia's economy into new industries - - including technology and tourism - in recent years, a significant portion of the state economy remains reliant on resource-related products such as paper and wood. The overall slowdown in the Georgia economy was reflected in the state's lower level of per sonal income tax collections. In contrast to the general increase in national municipal supply, during the first five months of 2001 new issue supply in Georgia was $841 million, down 56% from the same period in 2000. This was partially due to the fact that 2000's issuance figures included more than $1 billion in transportation bonds for Hartsfield International Airport. TOM FUTRELL: The Massachusetts economy continued to perform well over the past year, helped by its diversification away from manufacturing and a greater emphasis on sectors such as financial services and technology. Although the state's unemployment rate of 3.2% in May 2001 was higher than the 2.4% seen a year ago, it remained significantly lower than the 4.5% national average. Some of the slowdown in employment growth was due to the loss of jobs in the state's high-tech sector, which mirrored events at the national level. However, job growth in financial services, which is less cyclical than many other industries, is expected to fare better. In terms of issuance, new supply in Massachusetts for the first five months of 2001 totaled $3.5 billion, up 24% over 2000, but still trailing the 41% increase seen nationwide. MIKE: New municipal issuance was up in Missouri during the January-May period, as approximately $2.3 billion of new bonds were issued in the state, an increase of 53% over the same period in 2000. Missouri's economic base is diversified, which helps the state remain relatively stable during economic cycles. However, with a manufacturing sector that concentrates on old-economy industries such as textiles, agricultural equipment, and machine tools, the state's economy slowed significantly last year as manufacturing contracted, and other sectors - including trade, transportation, and services - weakened. The auto industry, which had supported Missouri's expansion over the past few years, suffered from stalled sales, inventory buildup, and temporary plant shutdowns. Despite these facts, unem ployment was 3.6% as of May 2001, below the national average, although it increased from last May's 3.2%. HOW DID THESE NUVEEN FUNDS PERFORM OVER THE PAST TWELVE MONTHS? For the year ended May 31, 2001, the four older Nuveen Closed-End Exchange-Traded Funds covered in this report - NTC, NMT, NPG and NOM - produced total returns on net asset value (NAV) as shown in the accompanying table. The annual returns for the Lehman Brothers Municipal Bond Index1 and the Funds' Lipper Peer Group2 are also presented. LEHMAN TOTAL RETURN TOTAL LIPPER MARKET YIELD ON NAV RETURN1 AVERAGE2 - -------------------------------------------------------------- 1 YEAR 1 YEAR 1 YEAR TAXABLE- ENDED ENDED ENDED 5/31/01 EQUIVALENT3 5/31/01 5/31/01 5/31/01 - -------------------------------------------------------------- NTC 5.07% 7.68% 16.57% 12.14% 16.10% - -------------------------------------------------------------- NPG 5.00% 7.69% 16.98% 12.14% 16.10% - -------------------------------------------------------------- NMT 5.32% 8.18% 14.72% 12.14% 16.10% - -------------------------------------------------------------- NOM 5.31% 8.17% 15.48% 12.14% 16.10% - -------------------------------------------------------------- NFC 5.48% 8.30% N/A - -------------------------------------------------------------- NMB 5.92% 9.11% N/A - -------------------------------------------------------------- Past performance is not predictive of future results. For additional information, see the individual Performance Overview for your Fund in this report. In mid-2000, the combination of tight municipal supply, an end to the Fed's tightening cycle, and generally favorable technicals prompted a shift in the outlook for municipal bonds and rallied the municipal market. This boosted many bond prices that had declined during the Fed's prior round of rate hikes. The Funds' participation in this recovery is reflected in the total returns on NAV listed in the previous table. During the 12 months ended May 31, 2001, the yield on the Bond Buyer 25 Revenue Bond Index fell from 6.20% to 5.62%. In this environment of falling yields (and rising bond values), funds with longer durations4 would generally be expected to perform well. As of May 31, 2001, the four older funds' portfolio durations ranged from 9.31 to 11.07, compared with 7.68 for the unleveraged Lehman Brothers Municipal Bond Index. 1 The Funds' performances are compared with that of the Lehman Brothers Municipal Bond Index, an unleveraged index comprising a broad range of investment-grade municipal bonds. Results for the Lehman index do not reflect any expenses. 2 The Funds' total returns are com pared with the average annual ized return of the 19 funds in the Lipper Other States Municipal Debt Funds category. Fund and Lipper returns assume reinvest ment of dividends. 3 The taxable-equivalent yield rep resents the yield that must be earned on a taxable investment in order to equal the yield of the Nuveen Fund on an after-tax basis. The taxable-equivalent yield is based on the Fund's mar ket yield on the indicated date and a federal income tax rate of 31% plus the applicable state income tax rate. The combined federal and state tax rates used in this report are as follows: Connecticut 34%, Massachusetts 35%, Georgia 35% and Missouri 35%. 4 Duration is a measure of a Fund's NAV volatility in reaction to interest rate movements. Fund duration, also known as leverage-adjusted duration, takes into account the leveraging process for a Fund and therefore is gen erally longer than the duration of the actual portfolio of individual bonds that make up the Fund. Unless otherwise noted, refer ences to duration in this com mentary are intended to indicate Fund duration. HOW WERE THE FUNDS' DIVIDENDS AND SHARE PRICES AFFECTED BY THIS ENVIRONMENT? All of these Funds use leverage as a way to potentially enhance the dividends paid to common shareholders. This benefit is tied in part to the short-term rates the Funds pay their MuniPreferred(R) shareholders. In a falling rate environment, this can produce benefits for common shareholders. During the past year, steady or falling short-term rates and good levels of call protection helped to maintain the dividends of NTC, NMT, and NOM. In addition, the lower short-term rates enabled us to increase the dividend of NOM in March 2001. As of May 31, 2001, NTC and NOM had offered shareholders 76 and 12 consecutive months, respectively, of steady or increasing dividends, while NMT had provided 12 consecutive months of steady income. For NPG, however, the relatively higher short-term inter est rate environment of the last half of 2000 ultimately led to a dividend cut. In 1999 and 2000, the Federal Reserve's series of short-term rate hikes increased the cost of pay outs to MuniPreferred shareholders. This was sufficient to cause a decrease in the common share dividend of NPG in December 2000. The two new Connecticut and Massachusetts Dividend Advantage Funds, NFC and NMB, were launched in January 2001 and began paying monthly dividends in April. All are now providing very attractive levels of monthly tax-free income to their shareholders. In coming months, the lower rates offered by municipal securities with shorter maturities could potentially further benefit the dividends of these Funds by reducing the amount the Funds pay their MuniPreferred shareholders. In turn, this could leave more Fund earnings to support common share dividends. However, this trend could be offset by the effect of bond calls on the higher-yielding bonds held by these portfolios. The level of short-term rates, the number of bond calls, and the interest rates at which we can reinvest the proceeds of any calls will all influence the dividends of these Nuveen Funds over the next twelve months. As the stock market remained volatile and the bond market continued to perform well, many investors turned to tax-free fixed-income alternatives as a way to add balance to their portfolios and reduce overall risk. As a result, the share prices of the four older Nuveen Funds improved substantially (see the charts on the individual Performance Overview pages). The share prices of the two newer Funds also performed well since their inception in late January of this year. As investors recognized the opportunity offered by these Funds, robust demand helped maintain the premium prices (share price above NAV) on all six Funds. WHAT KEY STRATEGIES WERE USED TO MANAGE THE NUVEEN FUNDS DURING THE YEAR ENDED MAY 31, 2001? As evidenced by their strong twelve-month total returns on NAV, the three older Nuveen Funds were well structured going into this period. Despite the tight supply of new municipal issuance during 2000, the Funds continued to meet their goal of keeping assets fully invested and working for shareholders. However, lower supply also meant relatively fewer opportunities to make trades that would substantially enhance the Funds' holdings. As issuance did become available in the market, we focused on strengthening long-term dividend-payment capabilities, enhancing call protection, and purchasing bonds with the potential to add value and diversification to the Funds' portfolios. NTC's portfolio turnover was very low, especially over the past six months, due to the Fund's excellent structure as well as the limited supply of the longer-maturity Connecticut bonds that Nuveen typically buys. We did find some opportunities to diversify the Fund with the purchase of bonds from an infrequent issuer, Bradley International Airport, where a major expansion is planned to accommodate passenger growth. In the education sector, we also purchased bonds issued by Greenwich Academy and added to our holdings of Trinity College and The Loomis Chaffee School bonds. In keeping with our strategy of replacing territorial bonds with in-state issues, we sold some of the Fund's Puerto Rico general obligation bonds, as well as some bonds approaching likely calls. This helped us upgrade NTC's call protection. In NPG, our management strategies over the past 12 months were heavily focused on income, and the majority of our purchases for the Fund were concen trated in sectors that offered higher yields. While it is unusual to find bonds rated BBB in a high-quality market such as Georgia, we were able to take advantage of increased issuance in this quality sector during the past year to diversify the Fund and raise its BBB allocation from zero to 7%. Our purchase of these bonds ranged across several sectors, from transportation to hospitals to multifamily housing and industrial development bonds. To finance these purchases, we sold bonds at attractive prices into high demand by individual investors and reduced our exposure to Puerto Rico issues. The market of the past twelve months represented a good time to sell bonds with short calls as well as pre-refunded bonds. All of this also helped us upgrade NPG's call protection. In Massachusetts, the multifamily housing sector offered several interesting opportunities to purchase bonds with the potential to enhance NMT's income stream. One such credit, which was issued by the Massachusetts Development Finance Agency with an AAA rating, carried GNMA collateral and provided a 6.5% yield. Another GNMA-collateralized issue added in the past year was the Haskell House, an assisted liv ing facility in Boston. Additions such as these increased the Fund's multifamily housing allocation to 17% from 12% in May 2000. We also found value in the health care sector, where change has created opportunities in selected hospital issues. One of our purchases in this sector involved bonds issued by the Massachusetts Health and Educational Facilities Authority for Partners Healthcare, an AA- credit with very attractive yields. This is an area where the expertise of Nuveen research analysts has been instrumental in helping us find and understand the credits offering the best upside potential for our Funds. In NOM, we adapted our management strategies as market conditions changed over the past twelve months. While interest rates were relatively high, we took advantage of opportunities to add higher-yielding paper with the potential to enhance the Fund's income stream. To finance these purchases, we sold some bonds at a loss, enabling us to realize capital losses that can be used to offset any realized gains in future years. As interest rates declined, we became somewhat more defensive, watching for securities that would help us lock in the gains achieved during the market rally, man age the Fund's duration, and enhance call protection. NOM also benefited from selective investments in the healthcare sector, especially among hospitals, as credit spreads tightened during the period. One of the recent additions to our portfolio were Texas County Memorial Hospital bonds, an issue that featured high yields and subsequently rose in price, boosting the Fund's total return. All four of these older Nuveen Funds continued to offer excellent credit quality, with between 77% and 92% of their portfolios invested in bonds rated AAA/U.S. guaranteed and AA as of May 31, 2001. These Funds also had allocations of BBB and non-rated bonds that ranged from 7% to 18%, which generally provided higher yields during 2000. In January 2001, we introduced Nuveen Dividend Advantage Municipal Funds for Connecticut (NFC) and Massachusetts (NMB). As of May 31, 2001, both of these Funds were fully invested and paying monthly dividends for shareholders. In structuring NFC's portfolio, our purchases focused on high-grade Connecticut general obligation bonds offering good call protection. While Connecticut supply rose significantly in the first few months of 2001, many of the bonds available in the marketplace offered shorter maturities than we prefer to buy. As a result, we purchased a number of Puerto Rico bonds that we plan to replace with Connecticut issues as we find better opportunities in the market. In NMB, we concentrated on finding issues that would add to the new Fund's diversification and enhance its yield, focusing primarily on education and tax-backed credits. We also made several purchases of lower-rated investment-grade bonds in the healthcare sector, including BBB bonds issued by the University of Massachusetts Medical Center in Worchester, which offered a 6.63% yield. WHAT IS YOUR OUTLOOK FOR THE MUNICIPAL MARKET IN GENERAL AND THESE NUVEEN FUNDS IN PARTICULAR? Overall, our outlook for the fixed-income markets during the next twelve months continues to be positive. Demand for tax-exempt municipal bonds is anticipated to remain strong, as investors look for ways to rebalance their portfolios and reduce potential risk. If interest rates continue to fall and the pace of refundings accelerates, new municipal issuance nationwide in 2001 could exceed $200 billion. Following the relatively small amounts of new municipal supply in both 1999 and 2000, any year-over-year increase in 2001 should still result in supply-and-demand dynamics that support municipal market prices. Looking specifically at these Nuveen Funds, all four of the older Funds provide good call protection during the remainder of 2001, with between 2% and 9% of the Funds' portfolios subject to calls over the next seven months. In 2002, NOM continues to offer excellent protection, with no scheduled calls. As the Funds approach the 10-year anniversary of their inceptions in 2003, NTC and NMT are already seeing a typical increase in call exposure. During 2002, these two Funds could see 7% to 10% of their portfolios affected by bond calls, depending on market interest rates during this time. In general, these positions are very manage able, and we foresee no problems in working through them. In NPG specifically, we are beginning to transition from our strategic focus on income to a balanced approach that considers both total return potential and yield, and the Fund should continue to benefit from this. As newly established funds, NFC and NMB have no scheduled bond calls in 2001 and 2002. While we cannot control the direction of interest rates, we continue to work to reduce the older Funds' call expo sure and to actively manage all of the Funds to mitigate the longer-term effects of the bond call process. In general, we believe that these Nuveen Funds are well positioned for the market environment of the next twelve months. As value-oriented investors, we plan to remain focused on ways we can add value for our shareholders, provide support for the Funds' dividends, and enhance structure. We believe these Nuveen Funds will continue to play an important role in investors' long-range financial programs, providing balance and diversification, dependable tax-free income, and quality investments. NTC Nuveen Connecticut Premium Income Municipal Fund Performance Overview As of May 31, 2001 Pie chart: Credit Quality - --------------------------- AAA/U.S. Guaranteed 72% - --------------------------- AA 20% - --------------------------- A 1% - --------------------------- BBB 5% - --------------------------- NR 2% - --------------------------- PORTFOLIO STATISTICS - -------------------------------------------------- Share Price $16.10 - -------------------------------------------------- Net Asset Value $14.20 - -------------------------------------------------- Market Yield 5.07% - -------------------------------------------------- Taxable-Equivalent Yield (Federal Income Tax Rate)1 7.35% - -------------------------------------------------- Taxable-Equivalent Yield (Federal and State Income Tax Rate)1 7.68% - -------------------------------------------------- Fund Net Assets ($000) $112,942 - -------------------------------------------------- Average Effective Maturity (Years) 17.72 - -------------------------------------------------- Leverage-Adjusted Duration 9.38 ================================================== ANNUALIZED TOTAL RETURN (Inception 5/93) - -------------------------------------------------- ON SHARE PRICE ON NAV - -------------------------------------------------- 1-Year 25.91% 16.57% - -------------------------------------------------- 5-Year 9.05% 7.80% - -------------------------------------------------- Since Inception 6.38% 5.89% ================================================== TOP FIVE SECTORS (as a % of total investments) - -------------------------------------------------- Education and Civic Organizations 18% - -------------------------------------------------- Healthcare 13% - -------------------------------------------------- Tax Obligation/General 13% - -------------------------------------------------- U.S.Guaranteed 10% - -------------------------------------------------- Tax Obligation/Limited 7% ================================================== Bar chart: 2000-2001 MONTHLY TAX-FREE DIVIDENDS PER SHARE(2) - -------------------------------------------------- 0.068 0.068 0.068 0.068 0.068 0.068 Jun Jul Aug Sep Oct Nov - -------------------------------------------------- 0.068 0.068 0.068 0.068 0.068 0.068 Dec Jan Feb Mar Apr May - -------------------------------------------------- Line chart: Share Price Performance Weekly Closing Price 6/2/00 14 14.19 14.13 14.25 14.31 14.69 14.81 15 15.06 15 14.94 14.94 15 15 15 15.06 14.88 14.81 14.5 14.19 14.31 14.31 14.56 14.31 14.31 14.38 14.31 14.56 14.75 14.88 15.5 15.69 15.81 15.81 16.06 16.07 16 16.1 16.11 16.43 15.93 15.71 15.5 15.63 15.75 15.78 15.81 15.85 15.79 16.05 5/31/01 16.03 Past performance is not predictive of future results. 1 Taxable-equivalent yield represents the yield on a taxable investment necessary to equal the yield of the Nuveen Fund on an after-tax basis. It is calculated using the current market yield and a federal income tax rate of 31%. The rate shown for federal and state highlights the added value of owning shares that are also exempt from state income taxes. It is based on a combined federal and state income tax rate of 34%. 2 The Fund also paid shareholders a net ordinary income distribution in December 2000 of $0.0071 per share. NFC Nuveen Connecticut Dividend Advantage Municipal Fund Performance Overview As of May 31, 2001 Pie chart: CREDIT QUALITY - --------------------------- AAA/U.S. Guaranteed 53% - --------------------------- AA 25% - --------------------------- A 13% - --------------------------- BBB 8% - --------------------------- NR 1% - --------------------------- PORTFOLIO STATISTICS - -------------------------------------------------- Share Price $15.34 - -------------------------------------------------- Net Asset Value $13.88 - -------------------------------------------------- Market Yield 5.48% - -------------------------------------------------- Taxable-Equivalent Yield (Federal Income Tax Rate)1 7.94% - -------------------------------------------------- Taxable-Equivalent Yield (Federal and State Income Tax Rate)1 8.30% - -------------------------------------------------- Fund Net Assets ($000) $54,755 - -------------------------------------------------- Average Effective Maturity (Years) 21.75 - -------------------------------------------------- Leverage-Adjusted Duration 16.25 ================================================== TOTAL RETURN (Inception 1/01) - -------------------------------------------------- ON SHARE PRICE ON NAV - -------------------------------------------------- Since Inception 3.71% -1.67% ================================================== TOP FIVE SECTORS (as a % of total investments) - -------------------------------------------------- Tax Obligation/General 26% - -------------------------------------------------- Tax Obligation/Limited 20% - -------------------------------------------------- Education and Civic Organizations 14% - -------------------------------------------------- Utilities 11% - -------------------------------------------------- Housing/Single Family 8% ================================================== Bar chart: 2001 MONTHLY TAX-FREE DIVIDENDS PER SHARE - ----------------------------------------- 0.07 0.07 0.07 May Apr Mar - ----------------------------------------- Line chart: SHARE PRICE PERFORMANCE Weekly Closing Price 1/26/01 15 15.11 15.14 15.16 15.1 15.09 15.04 15.04 15.1 15 14.95 15.05 14.3 14.3 14.9 15.15 15.16 5/31/01 15.26 Past performance is not predictive of future results. 1 Taxable-equivalent yield represents the yield on a taxable investment necessary to equal the yield of the Nuveen Fund on an after-tax basis. It is calculated using the current market yield and a federal income tax rate of 31%. The rate shown for federal and state highlights the added value of owning shares that are also exempt from state income taxes. It is based on a combined federal and state income tax rate of 34%. NPG Nuveen Georgia Premium Income Municipal Fund Performance Overview As of May 31, 2001 Pie Chart: CREDIT QUALITY - --------------------------- AAA/U.S. Guaranteed 62% - --------------------------- AA 15% - --------------------------- A 16% - --------------------------- BBB 7% - --------------------------- PORTFOLIO STATISTICS - -------------------------------------------------- Share Price $15.35 - -------------------------------------------------- Net Asset Value $14.15 - -------------------------------------------------- Market Yield 5.00% - -------------------------------------------------- Taxable-Equivalent Yield (Federal Income Tax Rate)1 7.25% - -------------------------------------------------- Taxable-Equivalent Yield (Federal and State Income Tax Rate)1 7.69% - -------------------------------------------------- Fund Net Assets ($000) $80,968 - -------------------------------------------------- Average Effective Maturity (Years) 20.51 - -------------------------------------------------- Leverage-Adjusted Duration 10.55 ================================================== ANNUALIZED TOTAL RETURN (Inception 5/93) - -------------------------------------------------- ON SHARE PRICE ON NAV - -------------------------------------------------- 1-Year 30.41% 16.98% - -------------------------------------------------- 5-Year 10.53% 7.64% - -------------------------------------------------- Since Inception 5.95% 5.89% ================================================== TOP FIVE SECTORS (as a % of total investments) - -------------------------------------------------- Tax Obligation/Limited 15% - -------------------------------------------------- Housing/Multifamily 14% - -------------------------------------------------- Utilities 12% - -------------------------------------------------- Healthcare 12% - -------------------------------------------------- Education and Civic Organizations 9% ================================================== Bar chart: 2000-2001 MONTHLY TAX-FREE DIVIDENDS PER SHARE(2) - -------------------------------------------------- 0.067 0.067 0.067 0.067 0.067 0.067 Jun Jul Aug Sep Oct Nov - -------------------------------------------------- 0.064 0.064 0.064 0.064 0.064 0.064 Dec Jan Feb Mar Apr May - -------------------------------------------------- Line chart: SHARE PRICE PERFORMANCE Weekly Closing Price 6/2/00 12.75 13 13.13 13.19 13.31 13.44 13.5 13.75 13.75 14.13 14 14.13 14.13 14.13 14.25 14.19 14 13.94 13.94 13.44 13.5 13.56 13.63 13.69 13.75 14 14.06 13.88 14 14.13 14.75 15 15.06 15.13 15.25 15.3 15.21 15.23 15.35 15.48 15.33 15.4 15.32 15.45 15.48 15.46 15.5 15.5 15.45 15.26 5/31/01 15.24 Past performance is not predictive of future results. 1 Taxable-equivalent yield represents the yield on a taxable investment necessary to equal the yield of the Nuveen Fund on an after-tax basis. It is calculated using the current market yield and a federal income tax rate of 31%. The rate shown for federal and state highlights the added value of owning shares that are also exempt from state income taxes. It is based on a combined federal and state income tax rate of 35%. 2 The Fund also paid shareholders a net ordinary income distribution in December 2000 of $0.0104 per share. NMT Nuveen Massachusetts Premium Income Municipal Fund Performance Overview As of May 31, 2001 Pie chart: CREDIT QUALITY - --------------------------- AAA/U.S. Guaranteed 62% - --------------------------- AA 20% - --------------------------- A 11% - --------------------------- BBB 2% - --------------------------- NR 5% - --------------------------- PORTFOLIO STATISTICS - -------------------------------------------------- Share Price $15.33 - -------------------------------------------------- Net Asset Value $14.26 - -------------------------------------------------- Market Yield 5.32% - -------------------------------------------------- Taxable-Equivalent Yield (Federal Income Tax Rate)1 7.71% - -------------------------------------------------- Taxable-Equivalent Yield (Federal and State Income Tax Rate)1 8.18% - -------------------------------------------------- Fund Net Assets ($000) $100,579 - -------------------------------------------------- Average Effective Maturity (Years) 17.57 - -------------------------------------------------- Leverage-Adjusted Duration 9.31 ================================================== ANNUALIZED TOTAL RETURN (Inception 3/93) - -------------------------------------------------- ON SHARE PRICE ON NAV - -------------------------------------------------- 1-Year 15.71% 14.72% - -------------------------------------------------- 5-Year 8.02% 7.09% - -------------------------------------------------- Since Inception 5.93% 6.05% ================================================== TOP FIVE SECTORS (as a % of total investments) - -------------------------------------------------- U.S.Guaranteed 21% - -------------------------------------------------- Housing/Multifamily 17% - -------------------------------------------------- Education and Civic Organizations 17% - -------------------------------------------------- Healthcare 14% - -------------------------------------------------- Tax Obligation/General 13% ================================================== Bar chart: 2000-2001 MONTHLY TAX-FREE DIVIDENDS PER SHARE - -------------------------------------------------- 0.068 0.068 0.068 0.068 0.068 0.068 Jun Jul Aug Sep Oct Nov - -------------------------------------------------- 0.068 0.068 0.068 0.068 0.068 0.068 Dec Jan Feb Mar Apr May - -------------------------------------------------- Line chart: Share Price Performance Weekly Closing Price 1/26/01 15 15 15 15.05 15 15.03 14.64 14.75 14.75 15 14.85 14.99 14.8 14.99 14.99 14.85 14.89 5/31/01 14.77 Past performance is not predictive of future results. 1 Taxable-equivalent yield represents the yield on a taxable investment necessary to equal the yield of the Nuveen Fund on an after-tax basis. It is calculated using the current market yield and a federal income tax rate of 31%. The rate shown for federal and state highlights the added value of owning shares that are also exempt from state income taxes. It is based on a combined federal and state income tax rate of 35%. NMB Nuveen Massachusetts Dividend Advantage Municipal Fund Performance Overview As of May 31, 2001 Pie chart: CREDIT QUALITY - --------------------------- AAA/U.S. Guaranteed 57% - --------------------------- AA 29% - --------------------------- A 5% - --------------------------- BBB 9% - --------------------------- PORTFOLIO STATISTICS - -------------------------------------------------- Share Price $14.80 - -------------------------------------------------- Net Asset Value $13.88 - -------------------------------------------------- Market Yield 5.92% - -------------------------------------------------- Taxable-Equivalent Yield (Federal Income Tax Rate)1 8.58% - -------------------------------------------------- Taxable-Equivalent Yield (Federal and State Income Tax Rate)1 9.11% - -------------------------------------------------- Fund Net Assets ($000) $41,951 - -------------------------------------------------- Average Effective Maturity (Years) 26.94 - -------------------------------------------------- Leverage-Adjusted Duration 16.80 ================================================== TOTAL RETURN (Inception 1/01) - -------------------------------------------------- ON SHARE PRICE ON NAV - -------------------------------------------------- Since Inception 0.13% -1.61% ================================================== TOP FIVE SECTORS (as a % of total investments) - -------------------------------------------------- Education and Civic Organizations 22% - -------------------------------------------------- Tax Obligation/General 19% - -------------------------------------------------- Transportation 10% - -------------------------------------------------- Tax Obligation/Limited 10% - -------------------------------------------------- Water and Sewer 9% ================================================== Bar chart: 2001 MONTHLY TAX-FREE DIVIDENDS PER SHARE - -------------------------------------------------- 0.073 0.073 0.073 Mar Apr May - -------------------------------------------------- Line chart: SHARE PRICE PERFORMANCE Weekly Closing Price 1/26/01 15 15 15 15.05 15 15.03 14.64 14.75 14.75 15 14.85 14.99 14.8 14.99 14.99 14.85 14.89 5/31/01 14.77 Past performance is not predictive of future results. 1 Taxable-equivalent yield represents the yield on a taxable investment necessary to equal the yield of the Nuveen Fund on an after-tax basis. It is calculated using the current market yield and a federal income tax rate of 31%. The rate shown for federal and state highlights the added value of owning shares that are also exempt from state income taxes. It is based on a combined federal and state income tax rate of 35%. NOM Nuveen Missouri Premium Income Municipal Fund Performance Overview As of May 31, 2001 Pie chart: NOM CREDIT QUALITY - --------------------------- AAA/U.S. Guaranteed 63% - --------------------------- AA 16% - --------------------------- A 3% - --------------------------- BBB 6% - --------------------------- NR 12% - --------------------------- PORTFOLIO STATISTICS - -------------------------------------------------- Share Price $14.25 - -------------------------------------------------- Net Asset Value $13.97 - -------------------------------------------------- Market Yield 5.31% - -------------------------------------------------- Taxable-Equivalent Yield (Federal Income Tax Rate)1 7.70% - -------------------------------------------------- Taxable-Equivalent Yield (Federal and State Income Tax Rate)1 8.17% - -------------------------------------------------- Fund Net Assets ($000) $46,508 - -------------------------------------------------- Average Effective Maturity (Years) 18.46 - -------------------------------------------------- Leverage-Adjusted Duration 11.07 ================================================== ANNUALIZED TOTAL RETURN (Inception 5/93) - -------------------------------------------------- ON SHARE PRICE ON NAV - -------------------------------------------------- 1-Year 17.41% 15.48% - -------------------------------------------------- 5-Year 8.39% 6.94% - -------------------------------------------------- Since Inception 4.83% 5.37% ================================================== TOP FIVE SECTORS (as a % of total investments) - -------------------------------------------------- Healthcare 18% - -------------------------------------------------- Tax Obligation/General 18% - -------------------------------------------------- Tax Obligation/Limited 16% - -------------------------------------------------- Education and Civic Organizations 15% - -------------------------------------------------- U.S. Guaranteed 10% ================================================== Bar chart: NOM 2000-2001 Monthly Tax-Free Dividends Per Share - -------------------------------------------------- 0.0615 0.0615 0.0615 0.0615 0.0615 0.0615 Jun Jul Aug Sep Oct Nov - -------------------------------------------------- 0.0615 0.0615 0.0615 0.063 0.063 0.063 Dec Jan Feb Mar Apr May - -------------------------------------------------- Line chart: SHARE PRICE PERFORMANCE Weekly Closing Price 6/2/00 13.19 13.31 13.19 13.25 13.25 13.5 13.56 13.63 13.63 13.63 13.63 13.63 13.5 13.25 13.38 13.31 13.31 13.25 13.31 13.25 13.19 13.13 13.13 13.06 13 13.06 13.06 13 13.19 13.44 14 14.31 14.44 14.44 14.33 14.37 14.22 14.24 14.25 14.25 14.28 14.28 14.19 14.16 13.9 14.05 14.17 14.19 14.11 14.24 5/31/01 14.14 Past performance is not predictive of future results. 1 Taxable-equivalent yield represents the yield on a taxable investment necessary to equal the yield of the Nuveen Fund on an after-tax basis. It is calculated using the current market yield and a federal income tax rate of 31%. The rate shown for federal and state highlights the added value of owning shares that are also exempt from state income taxes. It is based on a combined federal and state income tax rate of 35%. Report of Independent Auditors THE BOARD OF TRUSTEES AND SHAREHOLDERS NUVEEN CONNECTICUT PREMIUM INCOME MUNICIPAL FUND NUVEEN CONNECTICUT DIVIDEND ADVANTAGE MUNICIPAL FUND NUVEEN GEORGIA PREMIUM INCOME MUNICIPAL FUND NUVEEN MASSACHUSETTS PREMIUM INCOME MUNICIPAL FUND NUVEEN MASSACHUSETTS DIVIDEND ADVANTAGE MUNICIPAL FUND NUVEEN MISSOURI PREMIUM INCOME MUNICIPAL FUND We have audited the accompanying statements of net assets, including the portfolios of investments, of Nuveen Connecticut Premium Income Municipal Fund, Nuveen Connecticut Dividend Advantage Municipal Fund, Nuveen Georgia Premium Income Municipal Fund, Nuveen Massachusetts Premium Income Municipal Fund, Nuveen Massachusetts Dividend Advantage Municipal Fund and Nuveen Missouri Premium Income Municipal Fund as of May 31, 2001, and the related statements of operations, changes in net assets and the financial highlights for the periods indicated therein. These financial statements and financial highlights are the responsibility of the Funds' management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits. We conducted our audits in accordance with auditing standards generally accepted in the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. Our procedures included confirmation of investments owned as of May 31, 2001, by correspondence with the custodian and brokers, or alternative procedures for confirmations not received. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements and financial highlights referred to above present fairly, in all material respects, the financial positions of Nuveen Connecticut Premium Income Municipal Fund, Nuveen Connecticut Dividend Advantage Municipal Fund, Nuveen Georgia Premium Income Municipal Fund, Nuveen Massachusetts Premium Income Municipal Fund, Nuveen Massachusetts Dividend Advantage Municipal Fund and Nuveen Missouri Premium Income Municipal Fund at May 31, 2001, and the results of their operations, changes in their net assets and financial highlights for the periods indicated therein in conformity with accounting principles generally accepted in the United States. /s/ Ernst & Young LLP Chicago, Illinois July 13, 2001
Nuveen Connecticut Premium Income Municipal Fund (NTC) Portfolio of Investments May 31, 2001 PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ CONSUMER STAPLES - 1.4% $ 1,500 The Children's Trust Fund, Tobacco Settlement Asset-Backed Bonds, Series 2000, 5.750%, 7/01/20 7/10 at 100 Aa3 $ 1,557,405 - ------------------------------------------------------------------------------------------------------------------------------------ EDUCATION AND CIVIC ORGANIZATIONS - 18.4% Connecticut Higher Education Supplemental Loan Authority, Revenue Bonds (Family Education Loan Program), 1996 Series A: 1,335 5.800%, 11/15/14 (Alternative Minimum Tax) 11/06 at 102 AAA 1,388,120 855 5.875%, 11/15/17 (Alternative Minimum Tax) 11/06 at 102 AAA 881,214 890 Connecticut Higher Education Supplemental Loan Authority, 11/09 at 102 AAA 930,762 Revenue Bonds (Family Education Loan Program), 1999 Series A, 6.000%, 11/15/18 1,540 State of Connecticut, Health and Educational Facilities Authority, 7/03 at 102 BBB- 1,493,230 Revenue Bonds, Quinnipiac College Issue, Series D, 6.000%, 7/01/23 2,000 State of Connecticut, Health and Educational Facilities Authority, 7/06 at 102 AAA 2,084,440 Revenue Bonds, Trinity College Issue, Series E, 5.875%, 7/01/26 1,500 State of Connecticut, Health and Educational Facilities Authority, 7/06 at 102 AAA 1,538,355 Revenue Bonds, The Loomis Chaffee School Issue, Series C, 5.500%, 7/01/16 2,250 State of Connecticut Health and Educational Facilities Authority, 7/08 at 102 AAA 2,204,235 Revenue Bonds, Fairfield University Issue, Series H, 5.000%, 7/01/23 2,920 State of Connecticut Health and Educational Facilities Authority, 7/07 at 102 AAA 2,983,831 Revenue Bonds, Connecticut College Issue, Series C-1, 5.500%, 7/01/20 1,250 State of Connecticut Health and Educational Facilities Authority, 7/09 at 101 AAA 1,254,313 Revenue Bonds, Fairfield University Issue, Series I, 5.250%, 7/01/25 750 State of Connecticut Health and Educational Facilities Authority, 7/09 at 101 Aaa 767,933 Revenue Bonds, The Horace Bushnell Memorial Hall Issue, Series A, 5.625%, 7/01/29 500 State of Connecticut Health and Educational Facilities Authority, 7/11 at 101 AAA 485,965 Revenue Bonds, Trinity College Issue, Series 2001G, 5.000%, 7/01/31 650 State of Connecticut Health and Educational Facilities Authority, 7/11 at 101 A2 661,031 Revenue Bonds, The Loomis Chaffee School Issue, Series D, 5.500%, 7/01/23 450 State of Connecticut Health and Educational Facilities Authority, 3/11 at 101 AAA 437,031 Revenue Bonds, Greenwich Academy Issue, Series 2001B, 5.000%, 3/01/32 (DD, settling 6/01/01) 3,810 The University of Connecticut, Student Fee Revenue Bonds, 1998 11/08 at 101 AAA 3,526,879 Series A, 4.750%, 11/15/27 - ------------------------------------------------------------------------------------------------------------------------------------ HEALTHCARE - 13.3% 1,000 State of Connecticut Health and Educational Facilities Authority, 7/04 at 102 AAA 1,065,880 Revenue Bonds, Newington Children's Hospital Issue, Series A, 6.050%, 7/01/10 500 State of Connecticut Health and Educational Facilities Authority, No Opt. Call AAA 531,445 Revenue Bonds, Hospital of St. Raphael Issue, Series H, 5.200%, 7/01/08 1,625 State of Connecticut Health and Educational Facilities Authority, 7/02 at 102 AAA 1,674,660 Revenue Bonds, St. Francis Hospital and Medical Center Issue, Series B, 6.200%, 7/01/22 2,000 State of Connecticut Health and Educational Facilities Authority, 7/09 at 101 Aaa 1,917,980 Revenue Bonds, Stamford Hospital Issue, Series G, 5.000%, 7/01/24 1,000 State of Connecticut Health and Educational Facilities Authority, 7/07 at 102 AAA 1,030,550 Revenue Bonds, The William W.Backus Hospital Issue, Series D, 5.750%, 7/01/27 3,000 State of Connecticut Health and Educational Facilities Authority, 7/07 at 101 Aaa 2,934,420 Revenue Bonds, Middlesex Health Services Issue, Series H, 5.125%, 7/01/27 2,000 State of Connecticut Health and Educational Facilities Authority, 7/10 at 101 AA 2,077,280 Revenue Bonds, Eastern Connecticut Health Network Issue, Series A, 6.000%, 7/01/25 Nuveen Connecticut Premium Income Municipal Fund (NTC) (continued) Portfolio of Investments May 31, 2001 PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ HEALTHCARE (continued) $ 2,000 Connecticut Development Authority, Solid Waste Disposal Facilities 7/05 at 102 AAA $ 2,239,780 Revenue Bonds (Pfizer Inc. Project), 1994 Series, 7.000%, 7/01/25 (Alternative Minimum Tax) 1,500 Puerto Rico Industrial, Tourist, Educational, Medical and 8/05 at 101 1/2 AAA 1,581,825 Environmental Control Facilities Financing Authority, Hospital Revenue Refunding Bonds, 1995 Series A (FHA-Insured Mortgage Pila Hospital Project), 6.125%, 8/01/25 - ------------------------------------------------------------------------------------------------------------------------------------ HOUSING/MULTIFAMILY - 6.4% 1,000 Connecticut Housing Finance Authority, Housing Mortgage Finance 12/09 at 100 AA 1,029,280 Program Bonds, 1999 Series D2, 6.200%, 11/15/41 (Alternative Minimum Tax) 3,000 Housing Authority of the City of Waterbury (Connecticut), 1/02 at 100 AAA 3,001,080 Mortgage Refunding Revenue Bonds, Series 1998C (FHA-Insured Mortgage Loan - Waterbury NSA-II Section 8 Assisted Project), 5.450%, 7/01/23 1,090 Waterbury Nonprofit Housing Corporation (Connecticut), Taxable 7/02 at 101 AAA 1,117,773 Mortgage Revenue Refunding Bonds (FHA-Insured Mortgage Loan - Fairmont Height Section 8 Assisted Project), Series 1993A, 6.500%, 7/01/07 1,930 Housing Authority of the City of Willimantic, Multifamily Housing 10/05 at 105 AAA 2,134,464 Revenue Bonds, Series 1995A (GNMA Collateralized Mortgage Loan - Village Heights Apartments Project), 8.000%, 10/20/30 - ------------------------------------------------------------------------------------------------------------------------------------ HOUSING/SINGLE FAMILY - 5.6% 3,175 Connecticut Housing Finance Authority, Housing Mortgage Finance 5/03 at 102 AA 3,308,382 Program Bonds, Series B, 6.200%, 5/15/12 2,175 Connecticut Housing Finance Authority, Housing Mortgage Finance 11/06 at 102 AA 2,232,377 Program Bonds, 1996 Subseries E-2, 6.150%, 11/15/27 (Alternative Minimum Tax) 250 Connecticut Housing Finance Authority, Housing Mortgage Finance 5/10 at 100 AA 260,880 Program Bonds, 2000 Series A1, 6.000%, 11/15/28 500 Connecticut Housing Finance Authority, Housing Mortgage Finance 5/10 at 100 AA 496,390 Program Bonds, 2001 Series A-1, 5.250%, 11/15/28 - ------------------------------------------------------------------------------------------------------------------------------------ LONG-TERM CARE - 6.9% 1,300 State of Connecticut Health and Educational Facilities Authority, 8/08 at 102 AAA 1,266,330 Revenue Bonds, Hebrew Home and Hospital Issue, Series B (FHA-Insured Mortgage), 5.200%, 8/01/38 2,000 State of Connecticut Health and Educational Facilities Authority, 11/03 at 102 AAA 2,094,620 Revenue Bonds, Nursing Home Program Issue, Series 1993, Mansfield Center for Nursing and Rehabilitation Project, 5.875%, 11/01/12 615 Connecticut Development Authority, First Mortgage Gross Revenue 9/09 at 102 AA 627,257 Health Care Project Refunding Bonds (Connecticut Baptist Homes, Inc. Project), 1999 Series, 5.500%, 9/01/15 Connecticut Development Authority, Revenue Refunding Bonds (Duncaster Inc. Project), Series 1999A: 1,000 5.250%, 8/01/19 2/10 at 102 AA 987,820 1,000 5.375%, 8/01/24 2/10 at 102 AA 981,730 Connecticut Development Authority, Health Facility Refunding Revenue Bonds (Alzheimers Resource Center of Connecticut, Inc. Project), Series 1994A: 900 6.875%, 8/15/04 No Opt. Call N/R 880,110 1,000 7.000%, 8/15/09 8/04 at 102 N/R 1,005,290 - ------------------------------------------------------------------------------------------------------------------------------------ TAX OBLIGATION/GENERAL - 12.9% 1,500 City of Bridgeport, Connecticut, General Obligation Bonds, 2000 7/10 at 101 AAA 1,614,270 Series A, 6.000%, 7/15/19 Town of Cheshire, Connecticut, General Obligation Bonds, Issue of 1999: 660 5.625%, 10/15/16 10/09 at 101 Aa3 696,663 660 5.625%, 10/15/17 10/09 at 101 Aa3 693,878 1,000 State of Connecticut, General Obligation Bonds (1999 Series B), 11/09 at 101 AA 1,043,720 5.500%, 11/01/18 1,960 State of Connecticut, General Obligation Bonds (1993 Series E), No Opt. Call AA 2,204,490 6.000%, 3/15/12 1,650 Connecticut Development Authority, General Fund Obligation Bonds, 10/04 at 102 AA 1,784,789 1994 Series A, 6.375%, 10/15/14 City of Hartford, Connecticut, General Obligation Bonds: 1,000 5.125%, 6/15/15 6/10 at 102 AAA 1,031,470 1,000 5.500%, 6/15/20 6/10 at 102 AAA 1,043,290 400 Northern Mariana Islands Commonwealth, General Obligation Bonds, 6/10 at 100 A 408,216 Series 2000A, 6.000%, 6/01/20 PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ TAX OBLIGATION/GENERAL (continued) $ 2,000 Commonwealth of Puerto Rico, Public Improvement Bonds of 1998, 7/08 at 101 AAA $ 1,926,580 4.875%, 7/01/23 Regional School District No. 16, Towns of Beacon Falls and Prospect, Connecticut, General Obligation Bonds, Issue of 2000: 350 5.500%, 3/15/18 3/10 at 101 Aaa 368,232 350 5.625%, 3/15/19 3/10 at 101 Aaa 371,053 350 5.700%, 3/15/20 3/10 at 101 Aaa 372,967 965 City of Waterbury, Connecticut, General Obligation Tax Revenue 2/09 at 101 AA 1,002,201 Intercept Bonds, 2000 Issue, 6.000%, 2/01/19 - ------------------------------------------------------------------------------------------------------------------------------------ TAX OBLIGATION/LIMITED - 7.3% 1,900 Capitol Region Education Council Bonds (Connecticut), 10/05 at 102 BBB 2,026,540 6.700%, 10/15/10 2,000 State of Connecticut Health and Educational Facilities Authority, 7/09 at 102 AAA 2,054,100 Revenue Bonds, Child Care Facilities Program, Series C, 5.625%, 7/01/29 1,000 State of Connecticut, Special Tax Obligation Bonds, Transportation 12/09 at 101 AAA 1,048,740 Infrastructure Purposes, 1999 Series A, 5.625%, 12/01/19 1,800 State of Connecticut, Special Tax Obligation Bonds, Transportation No Opt. Call AA- 2,088,900 Infrastructure Purposes, 1991 Series B, 6.500%, 10/01/10 1,000 Virgin Islands Public Finance Authority, Revenue Bonds (Virgin 10/10 at 101 BBB- 1,073,450 Islands Gross Receipts Taxes Loan Notes), Series 1999A, 6.500%, 10/01/24 - ------------------------------------------------------------------------------------------------------------------------------------ TRANSPORTATION - 5.9% 3,000 State of Connecticut, Airport Revenue Refunding Bonds, Bradley 10/04 at 100 AAA 3,349,710 International Airport, Series 1992, 7.650%, 10/01/12 750 State of Connecticut, General Airport Revenue Bonds, Series 4/11 at 101 AAA 725,468 2001A, Bradley International Airport, 5.125%, 10/01/26 (Alternative Minimum Tax) 1,000 City of Hartford, Connecticut, Parking System Revenue Bonds, 7/10 at 100 BBB 1,028,200 2000 Series A, 6.400%, 7/01/20 1,500 City of New Haven, Connecticut, Air Rights Parking Facility 12/01 at 102 AAA 1,552,095 Revenue Bonds, Series 1991, 6.500%, 12/01/15 - ------------------------------------------------------------------------------------------------------------------------------------ U.S. GUARANTEED - 10.4% 40 State of Connecticut, General Obligation Bonds, 1993 Series E, No Opt. Call AA*** 44,953 6.000%, 3/15/12 2,600 State of Connecticut Health and Educational Facilities Authority, 7/03 at 102 Baa3*** 2,779,946 Revenue Bonds, Sacred Heart University Issue, Series B, 5.700%, 7/01/16 (Pre-refunded to 7/01/03) 2,020 State of Connecticut Health and Educational Facilities Authority, 7/02 at 102 AAA 2,128,211 Revenue Bonds, Trinity College Issue, Series C, 6.000%, 7/01/22 (Pre-refunded to 7/01/02) 2,910 State of Connecticut Health and Educational Facilities Authority, 7/03 at 102 BBB-*** 3,128,250 Revenue Bonds, Quinnipiac College Issue, Series D, 6.000%, 7/01/23 (Pre-refunded to 7/01/03) 2,000 State of Connecticut Health and Educational Facilities Authority, 11/04 at 102 AA-*** 2,270,840 Revenue Bonds, Nursing Home Program Issue, Series 1994 (AHF/Hartford, Inc. Project), 7.125%, 11/01/24 (Pre-refunded to 11/01/04) 1,250 State of Connecticut Health and Educational Facilities Authority, 7/04 at 101 AAA 1,391,300 Revenue Bonds, Choate Rosemary Hall Issue, Series A, 7.000%, 7/01/25 (Pre-refunded to 7/01/04) - ------------------------------------------------------------------------------------------------------------------------------------ UTILITIES - 5.7% 3,250 Connecticut Municipal Electric Energy Cooperative, Power Supply 1/04 at 102 AAA 3,206,970 System Revenue Bonds, 1993 Series A, 5.000%, 1/01/18 2,800 Connecticut Resources Recovery Authority, Resource Recovery 11/01 at 102 AAA 2,914,744 Revenue Bonds (American Ref-Fuel Company of Southeastern Connecticut Project), 1989 Series A, 7.700%, 11/15/11 395 Eastern Connecticut Resource Recovery Authority, Solid Waste 1/03 at 102 BBB 371,060 Revenue Bonds (Wheelabrator Lisbon Project), Series 1993A, 5.500%, 1/01/14 (Alternative Minimum Tax) Nuveen Connecticut Premium Income Municipal Fund (NTC) (continued) Portfolio of Investments May 31, 2001 PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ WATER AND SEWER - 6.3% $ 1,400 Connecticut Development Authority, Water Facilities Refunding 6/03 at 102 AAA $ 1,409,170 Revenue Bonds (Bridgeport Hydraulic Company Project), 1993B Series, 5.500%, 6/01/28 2,500 Connecticut Development Authority, Water Facilities Revenue Bonds 9/06 at 102 AAA 2,608,850 Project), 1996 Series, 6.000%, 9/01/36 (Alternative Minimum Tax) (Bridgeport Hydraulic Company 1,000 State of Connecticut, Clean Water Fund Revenue Bonds, Series 2001, 10/11 at 100 AAA 1,037,030 5.500%, 10/01/20 (WI, settling 6/12/01) 2,000 South Central Connecticut Regional Water Authority, Water System 8/03 at 102 AAA 2,082,800 Revenue Bonds, Eleventh Series, 5.750%, 8/01/12 - ------------------------------------------------------------------------------------------------------------------------------------ $ 109,720 Total Investments (cost $109,136,846) - 100.5% 113,555,493 =============----------------------------------------------------------------------------------------------------------------------- Other Assets Less Liabilities - (0.5)% (613,660) -------------------------------------------------------------------------------------------------------------------- Net Assets - 100% $ 112,941,833 ==================================================================================================================== * Optional Call Provisions (not covered by the report of independent auditors): Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. ** Ratings (not covered by the report of independent auditors): Using the higher of Standard & Poor's or Moody's rating. *** Securities are backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities which ensures the timely payment of principal and interest. Securities are normally considered to be equivalent to AAA rated securities. N/R Investment is not rated. (DD) Security purchased on a delayed delivery basis. (WI) Security purchased on a when-issued basis. See accompanying notes to financial statements. Nuveen Connecticut Dividend Advantage Municipal Fund (NFC) Portfolio of Investments May 31, 2001 PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ CONSUMER STAPLES - 5.2% $ 725 The Children's Trust Fund, Tobacco Settlement Asset-Backed Bonds, 7/10 at 100 Aa3 $ 752,746 Series 2000, 5.750%, 7/01/20 Guam Economic Development Authority, Asset-Backed Bonds, Series 2001A: 250 5.000%, 5/15/22 (WI, settling 6/21/01) 5/11 at 100 A2 247,593 500 5.400%, 5/15/31 (WI, settling 6/21/01) 5/11 at 100 A2 500,560 Tobacco Settlement Revenue Management Authority, Tobacco Settlement Asset-Backed Bonds, Series 2001B: 700 6.000%, 5/15/22 5/11 at 101 A1 701,365 625 6.375%, 5/15/28 5/11 at 101 A1 627,419 - ------------------------------------------------------------------------------------------------------------------------------------ EDUCATION AND CIVIC ORGANIZATIONS - 15.0% 50 State of Connecticut Health and Educational Facilities Authority, 7/08 at 101 AA 45,945 Revenue Bonds, Sacred Heart University Issue, Series E, 5.000%, 7/01/28 100 State of Connecticut Health and Educational Facilities Authority, 7/08 at 102 AAA 97,966 Revenue Bonds, Fairfield University Issue, Series H, 5.000%, 7/01/23 2,750 State of Connecticut Health and Educational Facilities Authority, 7/11 at 101 AAA 2,672,808 Revenue Bonds, Trinity College Issue, Series 2001G, 5.000%, 7/01/31 1,000 State of Connecticut Health and Educational Facilities Authority, 7/11 at 101 A2 1,016,970 Revenue Bonds, The Loomis Chaffee School Issue, Series D, 5.500%, 7/01/23 625 State of Connecticut Health and Educational Facilities Authority, 3/11 at 101 AAA 606,988 Revenue Bonds, Greenwich Academy Issue, Series 2001B, 5.000%, 3/01/32 (DD, settling 6/01/01) Puerto Rico Industrial, Tourist, Educational, Medical and Environmental Control Facilities Financing Authority, Higher Education Revenue Bonds, Series 1999 (Ana G. Mendez University System Project): 125 5.375%, 2/01/19 2/09 at 101 BBB 118,570 270 5.375%, 2/01/29 2/09 at 101 BBB 248,524 The University of Connecticut, General Obligation Bonds, 2001 Series A: 500 4.750%, 4/01/19 4/11 at 101 AA 483,780 1,000 5.250%, 4/01/20 4/11 at 101 AA 1,018,550 1,000 4.750%, 4/01/20 4/11 at 101 AA 961,520 1,000 4.750%, 4/01/21 4/11 at 101 AA 957,910 - ------------------------------------------------------------------------------------------------------------------------------------ HEALTHCARE - 0.2% 125 State of Connecticut Health and Educational Facilities Authority, 7/09 at 101 Aaa 119,874 Revenue Bonds, Stamford Hospital Issue, Series G, 5.000%, 7/01/24 - ------------------------------------------------------------------------------------------------------------------------------------ HOUSING/MULTIFAMILY - 3.5% 2,000 Housing Authority of the City of Stamford (Connecticut), Multifamily No Opt. Call A3 1,913,560 Housing Revenue Refunding Bonds (The Fairfield Apartments Project), Series 1998, 4.750%, 12/01/28 (Mandatory put 12/01/08) - ------------------------------------------------------------------------------------------------------------------------------------ HOUSING/SINGLE FAMILY - 8.8% 2,000 Connecticut Housing Finance Authority, Housing Mortgage Finance 11/05 at 102 AA 2,083,400 Program Bonds, 1995 Series F, Subseries F-1, 6.000%, 5/15/17 1,665 Connecticut Housing Finance Authority, Housing Mortgage Finance 5/10 at 100 AA 1,652,979 Program Bonds, 2001 Series A-1, 5.250%, 11/15/28 1,065 Connecticut Housing Finance Authority, Housing Mortgage Finance 5/10 at 100 AA 1,062,125 Program Bonds, 2001 Series A-2, 5.450%, 5/15/32 - ------------------------------------------------------------------------------------------------------------------------------------ LONG-TERM CARE - 0.8% 500 Connecticut Development Authority, Health Facility Refunding 8/04 at 102 N/R 462,180 Revenue Bonds (Alzheimers Resource Center of Connecticut, Inc. Project), Series 1994A, 7.250%, 8/15/21 Nuveen Connecticut Dividend Advantage Municipal Fund (NFC) (continued) Portfolio of Investments May 31, 2001 PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ TAX OBLIGATION/GENERAL - 29.3% State of Connecticut, General Obligation Bonds, 2000 Series C: $ 2,000 5.375%, 12/15/13 12/10 at 100 AA $ 2,119,340 1,760 5.000%, 12/15/16 12/10 at 100 AA 1,775,242 Town of East Lyme, Connecticut, General Obligation Bonds: 150 5.000%, 7/15/18 7/11 at 102 Aaa 150,303 500 5.125%, 7/15/20 7/11 at 102 Aaa 503,565 700 Town of Farmington, Connecticut, General Obligation Bonds, 3/11 at 101 Aa1 685,279 Series 2001, 4.875%, 3/15/20 Town of Hamden, Connecticut, General Obligation Bonds: 640 5.250%, 8/15/18 (WI, settling 6/05/01) 8/11 at 102 AAA 655,910 635 5.000%, 8/15/19 (WI, settling 6/05/01) 8/11 at 102 AAA 633,451 300 5.000%, 8/15/20 (WI, settling 6/05/01) 8/11 at 102 AAA 298,329 1,340 City of Hartford, Connecticut, General Obligation Bonds, 1/08 at 102 AAA 1,322,553 Series 1998, 4.700%, 1/15/15 1,875 City of New Haven, Connecticut, General Obligation Bonds, 2/08 at 101 AAA 1,828,181 Series 1999, 4.700%, 2/01/15 1,000 City of New Haven, Connecticut, General Obligation Bonds, 11/10 at 101 AAA 995,650 Series 2001A, 5.000%, 11/01/20 250 Northern Mariana Islands Commonwealth, General Obligation Bonds, 6/10 at 100 A 255,135 Series 2000A, 6.000%, 6/01/20 Town of Norwich, Connecticut, General Obligation Bonds, Series 2001A: 585 5.000%, 4/01/15 4/09 at 100 Aaa 596,396 245 5.000%, 4/01/16 4/09 at 100 Aaa 247,933 575 5.000%, 4/01/17 4/09 at 100 Aaa 577,777 475 5.000%, 4/01/18 4/09 at 100 Aaa 474,701 575 5.000%, 4/01/19 4/09 at 100 Aaa 571,941 275 5.000%, 4/01/20 4/09 at 100 Aaa 272,498 405 Commonwealth of Puerto Rico, Public Improvement Bonds of 1998, 7/08 at 101 AAA 390,132 4.875%, 7/01/23 270 Commonwealth of Puerto Rico, Public Improvement Refunding Bonds, 7/08 at 101 AAA 266,169 Series 1998B (General Obligation Bonds), 5.000%, 7/01/24 270 Commonwealth of Puerto Rico, Public Improvement Bonds of 1999 7/08 at 101 A 258,074 (General Obligation Bonds), 5.000%, 7/01/28 Town of Windsor, Connecticut, General Obligation Bonds: 390 5.000%, 7/15/18 7/09 at 100 Aa2 391,139 390 5.000%, 7/15/19 7/09 at 100 Aa2 390,105 370 5.000%, 7/15/20 7/09 at 100 Aa2 368,849 - ------------------------------------------------------------------------------------------------------------------------------------ TAX OBLIGATION/LIMITED - 22.5% 1,475 State of Connecticut, Special Tax Obligation Bonds, Transportation No Opt. Call AAA 1,596,584 Infrastructure Purposes, 1998 Series B, 5.500%, 11/01/12 State of Connecticut, Certificates of Participation, Juvenile Training School, Series 2001: 600 5.000%, 12/15/20 12/11 at 101 A+ 586,596 1,000 5.000%, 12/15/30 12/11 at 101 A+ 947,600 Puerto Rico Highway and Transportation Authority, Transportation Revenue Bonds, Series A: 2,325 5.000%, 7/01/28 7/08 at 101 AAA 2,277,593 300 5.000%, 7/01/38 7/08 at 101 AAA 289,452 Puerto Rico Infrastructure Financing Authority, Special Tax Revenue Bonds, Series 1997A: 1,250 5.000%, 7/01/21 1/08 at 101 AAA 1,242,900 810 5.000%, 7/01/28 1/08 at 101 AAA 793,484 3,340 Puerto Rico Public Building Authority, Government Facilities 7/07 at 101 1/2 AAA 3,277,809 Revenue Bonds, Series B, Guaranteed by the Commonwealth of Puerto Rico, 5.000%, 7/01/27 500 Virgin Islands Public Finance Authority, Revenue and Refunding 10/08 at 101 AA 503,405 Bonds (Virgin Islands Matching Fund Loan Notes), Series 1998A (Senior Lien/Refunding), 5.500%, 10/01/18 750 Virgin Islands Public Finance Authority, Revenue Bonds (Virgin 10/10 at 101 BBB- 803,273 Islands Gross Receipts Taxes Loan Notes), Series 1999A, 6.375%, 10/01/19 - ------------------------------------------------------------------------------------------------------------------------------------ TRANSPORTATION - 4.4% 2,500 State of Connecticut, General Airport Revenue Bonds, Series 2001A, 4/11 at 101 AAA 2,418,225 Bradley International Airport, 5.125%, 10/01/26 (Alternative Minimum Tax) PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ U.S. GUARANTEED - 5.5% Puerto Rico Infrastructure Financing Authority, Special Obligation Bonds, 2000 Series A: $ 1,425 5.500%, 10/01/32 10/10 at 101 AAA $ 1,474,049 1,500 5.500%, 10/01/40 10/10 at 101 AAA 1,546,890 - ------------------------------------------------------------------------------------------------------------------------------------ UTILITIES - 12.3% 2,500 Connecticut Development Authority, Pollution Control Revenue 10/08 at 102 BBB 2,482,900 Refunding Bonds, Connecticut Light and Power Company, Series 1993A, 5.850%, 9/01/28 1,000 Eastern Connecticut Resource Recovery Authority, Solid Waste 1/03 at 102 BBB 939,400 Revenue Bonds (Wheelabrator Lisbon Project), Series 1993A, 5.500%, 1/01/14 (Alternative Minimum Tax) 555 Guam Power Authority, Revenue Bonds, 1999 Series A, 10/09 at 101 AAA 548,418 5.125%, 10/01/29 1,975 Puerto Rico Electric Power Authority, Power Revenue Bonds, 7/10 at 101 AAA 1,989,516 Series HH, 5.250%, 7/01/29 790 Puerto Rico Electric Power Authority, Power Revenue Refunding 7/05 at 100 A- 792,114 Bonds, Series Z, 5.250%, 7/01/21 - ------------------------------------------------------------------------------------------------------------------------------------ WATER AND SEWER - 3.8% 2,000 State of Connecticut, Clean Water Fund Revenue Bonds, Series 2001, 10/11 at 100 AAA 2,074,060 5.500%, 10/01/20 (WI, settling 6/12/01) - ------------------------------------------------------------------------------------------------------------------------------------ $ 61,145 Total Investments (cost $61,514,945) - 111.3% 60,966,252 =============----------------------------------------------------------------------------------------------------------------------- Other Assets Less Liabilities - (11.3)% (6,211,749) -------------------------------------------------------------------------------------------------------------------- Net Assets - 100% $ 54,754,503 ==================================================================================================================== * Optional Call Provisions (not covered by the report of independent auditors): Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. ** Ratings (not covered by the report of independent auditors): Using the higher of Standard & Poor's or Moody's rating. N/R Investment is not rated. (DD) Security purchased on a delayed delivery basis. (WI) Security purchased on a when-issued basis. See accompanying notes to financial statements. Nuveen Georgia Premium Income Municipal Fund (NPG) Portfolio of Investments May 31, 2001 PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ BASIC MATERIALS - 6.2% $ 5,000 Development Authority of Richmond County, Georgia, Environmental 2/11 at 101 BBB+ $ 5,055,200 Improvement Revenue Bonds (International Paper Company Project), Series 2001A, 6.250%, 2/01/25 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ CONSUMER STAPLES - 6.1% 3,000 Albany Dougherty Payroll Development Authority (Georgia), Solid 5/08 at 101 AA 2,839,260 Waste Disposal Revenue Bonds (The Procter & Gamble Paper Products Company Project), Series 1998, 5.300%, 5/15/26 (Alternative Minimum Tax) 2,000 Development Authority of Cartersville (Georgia), Sewage Facilities 5/07 at 101 A+ 2,065,320 Refunding Revenue Bonds (Anheuser-Busch Project), Series 1997, 6.125%, 5/01/27 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ EDUCATION AND CIVIC ORGANIZATIONS - 9.7% Urban Residential Finance Authority of the City of Atlanta, Georgia, Dormitory Facility Refunding Revenue Bonds (Morehouse College Project), Series 1995: 1,210 5.750%, 12/01/20 12/05 at 102 AAA 1,254,746 1,375 5.750%, 12/01/25 12/05 at 102 AAA 1,418,931 1,555 Development Authority of DeKalb County, Revenue Bonds (Emory 10/04 at 102 Aa1 1,643,464 University Project), Series 1994-A, 6.000%, 10/01/14 2,150 Private Colleges and Universities Authority (Georgia), Student 6/09 at 102 A 1,946,417 Housing Revenue Bonds (Mercer Housing Corporation Project), Tax-Exempt Series 1999A, 5.375%, 6/01/31 1,550 Private Colleges and Universities Authority (Georgia), Revenue 6/03 at 102 AA 1,573,235 Bonds (Agnes Scott College Project), Series 1993, 5.625%, 6/01/23 - ------------------------------------------------------------------------------------------------------------------------------------ HEALTHCARE - 12.8% 3,000 Hospital Authority of Albany-Dougherty County, Georgia, Revenue 9/03 at 102 AAA 3,097,860 Bonds (Phoebe Putney Memorial Hospital), Series 1993, 5.700%, 9/01/13 2,300 Chatham County Hospital Authority, Savannah, Georgia, Hospital 7/11 at 101 A- 2,330,314 Revenue Improvement Bonds (Memorial Health University Medical Center, Inc.), Series 2001A, 6.125%, 1/01/24 1,765 The Hospital Authority of Hall County and the City of Gainesville, 10/05 at 102 AAA 1,840,701 Revenue Anticipation Certificates (Northeast Georgia Healthcare Project), Series 1995, 6.000%, 10/01/25 3,000 The Glynn-Brunswick Memorial Hospital Authority, Revenue Anticipation 8/06 at 102 AAA 3,085,410 Certificates (Southeast Georgia Health Systems Project), Series 1996, 5.250%, 8/01/13 - ------------------------------------------------------------------------------------------------------------------------------------ HOUSING/MULTIFAMILY - 15.3% 1,145 Housing Authority of Clayton County (Georgia), Multifamily Housing 12/05 at 102 AAA 1,167,190 Revenue Bonds, Series 1995 (The Advantages Project), 5.800%, 12/01/20 3,400 Housing Authority of the County of DeKalb, Georgia, Multifamily 1/05 at 102 AAA 3,633,580 Housing Revenue Bonds (The Lakes at Indian Creek Apartments Project), Series 1994, 7.150%, 1/01/25 (Alternative Minimum Tax) 960 Housing Authority of the City of Decatur, Mortgage Revenue Refunding 7/02 at 102 AAA 983,952 Bonds, Series 1992A (FHA-Insured Mortgage Loan - Park Trace Apartments - Section 8 Assisted Project), 6.450%, 7/01/25 2,000 Housing Authority of the City of Lawrenceville, Georgia, Multifamily 12/10 at 100 AAA 2,030,640 Housing Senior Revenue Bonds (Brisben Greens of Hillcrest II Project), Series 2000A-1, 5.800%, 12/01/33 (Alternative Minimum Tax) 3,000 Macon-Bibb County Urban Development Authority, Multifamily Housing 1/04 at 103 AAA 3,001,470 Refunding Revenue Bonds, Series 1997A, 5.550%, 1/01/24 1,500 Housing Authority of the City of Marietta, Georgia, Multifamily 10/06 at 102 AAA 1,534,680 Housing Revenue Bonds (GNMA Collateralized - Country Oaks Apartments), Series 1996, 6.150%, 10/20/26 (Alternative Minimum Tax) PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ HOUSING/SINGLE FAMILY - 8.5% $ 345 Housing Authority of Fulton County, Georgia, Single Family Mortgage 3/05 at 102 AAA $ 356,268 Revenue Bonds (GNMA Mortgage-Backed Securities Program), Series 1995A, 6.550%, 3/01/18 (Alternative Minimum Tax) 2,995 Georgia Housing and Finance Authority, Single Family Mortgage Bonds, 6/04 at 102 AAA 3,088,803 1994 Series A (FHA-Insured or VA Guaranteed Mortgage Loans), 6.500%, 12/01/17 (Alternative Minimum Tax) 405 Georgia Housing and Finance Authority, Single Family Mortgage Bonds, 6/06 at 102 AAA 417,859 1996 Series A, Subseries A-2, 6.450%, 12/01/27 (Alternative Minimum Tax) 3,000 Georgia Housing and Finance Authority, Single Family Mortgage Bonds, 12/10 at 100 AAA 3,024,510 Series 2001A2, 5.700%, 12/01/31 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ TAX OBLIGATION/GENERAL - 3.3% 2,500 Forsyth County School District (Georgia), General Obligation Bonds, 2/10 at 102 Aa2 2,641,700 Series 1999, 5.750%, 2/01/19 - ------------------------------------------------------------------------------------------------------------------------------------ TAX OBLIGATION/LIMITED - 15.8% 1,000 Downtown Development Authority of the City of Atlanta (Georgia), 10/02 at 102 AA 1,049,240 Refunding Revenue Bonds (Underground Atlanta Project), Series 1992, 6.250%, 10/01/12 3,000 Solid Waste Management Authority of the City of Atlanta, Revenue 12/06 at 100 AA 3,014,910 Bonds (Landfill Closure Project), Series 1996, 5.250%, 12/01/21 2,500 The Hospital Authority of Clarke County, Georgia, Hospital Revenue 1/09 at 101 AAA 2,469,375 Certificates (Athens Regional Medical Center Project), Series 1999, 5.250%, 1/01/29 3,000 Cobb-Marietta Coliseum and Exhibit Hall Authority (Georgia), Revenue 10/19 at 100 AAA 3,189,120 Refunding Bonds, Series 1993, 5.625%, 10/01/26 2,000 The Fulton-DeKalb Hospital Authority (Georgia), Revenue Refunding 7/03 at 102 AAA 2,019,900 Certificates, Series 1993, 5.500%, 1/01/20 1,000 Metropolitan Atlanta Rapid Transit Authority (Georgia), Sales Tax No Opt. Call AAA 1,143,830 Revenue Bonds, Refunding Series P, 6.250%, 7/01/20 - ------------------------------------------------------------------------------------------------------------------------------------ TRANSPORTATION - 2.5% 1,000 City of Atlanta, Georgia, Airport Facilities Revenue Refunding Bonds, No Opt. Call AAA 1,140,690 Series 1994A, 6.500%, 1/01/09 1,000 Development Authority of Fulton County (Georgia), Special Facilities 5/08 at 101 BBB- 915,180 Revenue Bonds (Delta Air Lines, Inc. Project), Series 1998, 5.450%, 5/01/23 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ U.S. GUARANTEED - 7.5% 3,115 City of Albany (Georgia), Sewerage System Revenue Bonds, Series 1992, 7/02 at 102 AAA 3,302,149 6.625%, 7/01/17 (Pre-refunded to 7/01/02) 500 City of Atlanta (Georgia), General Obligation Bonds, Public 12/04 at 102 AA*** 551,945 Improvement Bonds, Series 1994A, 6.100%, 12/01/19 (Pre-refunded to 12/01/04) 2,000 Fulco Hospital Authority, Revenue Anticipation Certificates (Georgia 9/02 at 102 Baa1*** 2,119,020 Baptist Health Care System Project), Series 1992A, 6.375%, 9/01/22 (Pre-refunded to 9/01/02) 85 Municipal Electric Authority of Georgia, Project One Special No Opt. Call A*** 96,791 Obligation Bonds, Fifth Crossover Series, 6.400%, 1/01/09 - ------------------------------------------------------------------------------------------------------------------------------------ UTILITIES - 13.2% 4,000 Development Authority of Burke County (Georgia), Pollution Control 5/04 at 102 A 3,819,400 Revenue Bonds (Georgia Power Company Vogtle Plant Project), Third Series 1999, 5.450%, 5/01/34 (Alternative Minimum Tax) 1,900 Municipal Electric Authority of Georgia, General Power Revenue Bonds, 1/03 at 100 AAA 1,910,317 1992B Series, 5.500%, 1/01/18 1,000 Municipal Electric Authority of Georgia, Power Revenue Bonds, No Opt. Call AAA 1,047,860 Series Z, 5.500%, 1/01/20 1,665 Municipal Electric Authority of Georgia, Project One Special No Opt. Call A 1,869,794 Obligation Bonds, Fifth Crossover Series, 6.400%, 1/01/09 2,000 Development Authority of Monroe County (Georgia), Pollution Control 9/01 at 100 A+ 2,004,740 Revenue Bonds (Gulf Power Company Plant Scherer Project), First Series 1994, 6.300%, 9/01/24 Nuveen Georgia Premium Income Municipal Fund (NPG) (continued) Portfolio of Investments May 31, 2001 PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ WATER AND SEWER - 5.7% $ 3,500 Coweta County Water and Sewer Authority, Georgia, Revenue Bonds, 6/11 at 102 Aaa $ 3,483,130 Series 2001, 5.250%, 6/01/26 (WI, settling 6/05/01) 1,000 City of Milledgeville (Georgia), Water and Sewerage Revenue and No Opt. Call AAA 1,106,180 Refunding Bonds, Series 1996, 6.000%, 12/01/21 - ------------------------------------------------------------------------------------------------------------------------------------ $ 84,420 Total Investments (cost $82,965,030) - 106.6% 86,285,081 =============----------------------------------------------------------------------------------------------------------------------- Other Assets Less Liabilities - (6.6)% (5,317,357 -------------------------------------------------------------------------------------------------------------------- Net Assets - 100% $ 80,967,724 ==================================================================================================================== * Optional Call Provisions (not covered by the report of independent auditors): Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. ** Ratings (not covered by the report of independent auditors): Using the higher of Standard & Poor's or Moody's rating. *** Securities are backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities which ensures the timely payment of principal and interest. Securities are normally considered to be equivalent to AAA rated securities. (WI) Security purchased on a when-issued basis. See accompanying notes to financial statements. Nuveen Massachusetts Premium Income Municipal Fund (NMT) Portfolio of Investments May 31, 2001 PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ EDUCATION AND CIVIC ORGANIZATIONS - 16.1% $ 655 Massachusetts Educational Financing Authority, Education Loan 7/04 at 102 AAA $ 680,198 Revenue Bonds, Issue E, Series 1995, 6.150%, 7/01/10 (Alternative Minimum Tax) 2,090 Massachusetts Development Finance Authority, Revenue Bonds, Series No Opt. Call A3 2,196,674 1999P, Boston University Refunding Issue, 6.000%, 5/15/29 890 Massachusetts Development Finance Agency, Revenue Bonds, Curry 3/09 at 101 A 898,402 College Issue, Series A, 6.000%, 3/01/20 2,645 Massachusetts Industrial Finance Agency, Revenue Bonds, Whitehead 7/03 at 102 Aa1 2,547,320 Institute for Biomedical Research, 1993 Issue, 5.125%, 7/01/26 1,500 Massachusetts Industrial Finance Agency, Revenue Bonds, Phillips 9/08 at 102 AAA 1,512,930 Academy Issue, Series 1993, 5.375%, 9/01/23 2,300 Massachusetts Industrial Finance Agency, Education Revenue Bonds, 9/08 at 101 A 2,155,054 Belmont Hill School Issue, Series 1998, 5.250%, 9/01/28 1,765 The New England Education Loan Marketing Corporation, Student Loan No Opt. Call A3 1,826,916 Revenue Bonds, 1992 Subordinated Issue C, 6.750%, 9/01/02 (Alternative Minimum Tax) 4,000 The New England Loan Marketing Corporation, Student Loan Revenue No Opt. Call AA 4,423,520 Bonds, 1992 Subordinated Issue H, 6.900%, 11/01/09 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ HEALTHCARE - 13.6% 3,000 Massachusetts Health and Educational Facilities Authority, Revenue 7/04 at 102 AAA 2,991,990 Bonds, New England Medical Center Hospitals Issue, Series G-1, 5.375%, 7/01/24 3,000 Massachusetts Health and Educational Facilities Authority, Revenue 7/03 at 102 AAA 3,067,770 Bonds, Lahey Clinic Medical Center Issue, Series B, 5.625%, 7/01/15 Massachusetts Health and Educational Facilities Authority, Revenue Refunding Bonds, Youville Hospital Issue (FHA-Insured Project), Series B: 1,835 6.125%, 2/15/15 2/04 at 102 Aa2 1,910,308 1,000 6.000%, 2/15/25 2/04 at 102 Aa2 1,050,590 2,805 Massachusetts Health and Educational Facilities Authority, Revenue 7/08 at 102 AAA 2,638,495 Bonds, Caregroup Issue, Series A, 5.000%, 7/01/25 2,000 Massachusetts Health and Educational Facilities Authority, Revenue 7/11 at 101 AA- 1,982,720 Bonds, Partners HealthCare System Issue, Series C, 5.750%, 7/01/32 - ------------------------------------------------------------------------------------------------------------------------------------ HOUSING/MULTIFAMILY - 16.4% 3,000 Massachusetts Development Finance Agency, Assisted Living Facility 9/10 at 105 AAA 3,547,380 Revenue Bonds (GNMA Collateralized - The Monastery at West Springfield Project), Series 1999A, 7.625%, 3/20/41 (Alternative Minimum Tax) 2,500 Massachusetts Development Finance Agency, Revenue Bonds, Series 10/11 at 105 AAA 2,842,925 2000A (GNMA Collateralized - VOA Concord Assisted Living, Inc. Project), 6.900%, 10/20/41 (Alternative Minimum Tax) 2,000 Massachusetts Development Finance Agency, Assisted Living Revenue 12/09 at 102 N/R 2,025,180 Bonds (Prospect House Apartments), Series 1999, 7.000%, 12/01/31 (Alternative Minimum Tax) 2,000 Massachusetts Development Finance Authority, Assisted Living Revenue 6/11 at 105 AAA 2,181,160 Bonds (GNMA Collateralized - Haskell House Project), Series 2000A, 6.500%, 12/20/41 (Alternative Minimum Tax) 3,800 Massachusetts Housing Finance Agency, Housing Project Revenue Bonds, 4/03 at 102 A+ 3,974,154 Series 1993A Refunding, 6.300%, 10/01/13 1,890 Massachusetts Housing Finance Agency, Rental Housing Mortgage Revenue 1/05 at 102 AAA 2,014,853 Bonds, 1995 Series A (FHA-Insured Mortgage Loans), 7.350%, 1/01/35 (Alternative Minimum Tax) Nuveen Massachusetts Premium Income Municipal Fund (NMT) (continued) Portfolio of Investments May 31, 2001 PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ LONG-TERM CARE - 5.3% $ 1,270 City of Boston, Massachusetts, Revenue Bonds (Deutsches Altenheim, 10/08 at 105 AAA $ 1,349,426 Inc. Project - FHA-Insured Mortgage), Series 1998A, 6.125%, 10/01/31 1,000 Massachusetts Health and Educational Facilities Authority, Revenue 2/07 at 102 Aa2 1,038,920 Refunding Bonds, Youville Hospital Issue (FHA-Insured Project), Series A, 6.250%, 2/15/41 2,000 Massachusetts Industrial Finance Agency, Health Care Facilities 5/07 at 102 A+ 1,868,700 Revenue Bonds, Series 1997B (Jewish Geriatric Services, Inc. Obligated Group), 5.500%, 5/15/27 1,020 Massachusetts Industrial Financial Agency, Revenue Bonds, Heights 2/06 at 102 AAA 1,040,074 Crossing Limited Partnership Issue (FHA-Insured Project), Series 1995, 6.000%, 2/01/15 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ TAX OBLIGATION/GENERAL - 12.2% Town of Barnstable, Massachusetts, General Obligation Bonds: 1,020 5.750%, 9/15/10 9/04 at 102 AA 1,080,792 1,020 5.750%, 9/15/11 9/04 at 102 AA 1,078,211 4,375 City of Lowell, Massachusetts, General Obligation State Qualified 11/03 at 102 AAA 4,564,788 Bonds, 5.600%, 11/01/12 2,500 Massachusetts Bay Transportation Authority, General Transportation No Opt. Call AAA 3,018,975 System Bonds, 1991 Series A, 7.000%, 3/01/21 1,250 The Commonwealth of Massachusetts, General Obligation Bonds, 2/10 at 101 Aa2 1,370,513 Consolidated Loan, Series 2000A, 6.000%, 2/01/14 1,000 Narragansett Regional School District, Massachusetts, General 6/10 at 101 Aaa 1,129,980 Obligation Bonds, Series 2000, 6.500%, 6/01/16 - ------------------------------------------------------------------------------------------------------------------------------------ TRANSPORTATION - 5.5% 1,300 Massachusetts Development Finance Agency, Revenue Bonds, Worcester 6/09 at 101 AA 1,361,958 Redevelopment Authority Issue, Series 1999, 6.000%, 6/01/24 4,000 Massachusetts Port Authority, Special Facilities Revenue Bonds 9/06 at 102 AAA 4,129,880 (US Air Project), Series 1996-A, 5.750%, 9/01/16 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ U.S. GUARANTEED - 19.9% 2,500 Massachusetts Health and Educational Facilities Authority, Revenue No Opt. Call AAA 2,554,625 Bonds, Malden Hospital Issue (FHA-Insured Project), Series A, 5.000%, 8/01/16 2,000 Massachusetts Health and Educational Facilities Authority, Revenue 7/06 at 100 Aaa 2,169,720 Bonds (Daughters of Charity National Health System - The Carney Hospital), Series D, 6.100%, 7/01/14 (Pre-refunded to 7/01/06) Massachusetts Health and Educational Facilities Authority, Revenue Bonds, New England Deaconess Hospital Issue, Series D: 3,310 6.625%, 4/01/12 (Pre-refunded to 4/01/02) 4/02 at 102 AAA 3,480,200 1,000 6.875%, 4/01/22 (Pre-refunded to 4/01/02) 4/02 at 102 AAA 1,053,470 1,000 Massachusetts Port Authority, Revenue Bonds, Series 1982, 7/01 at 100 AAA 1,561,430 13.000%, 7/01/13 2,500 Massachusetts Industrial Finance Agency, Revenue Refunding Bonds, 11/02 at 102 AA-*** 2,664,650 College of the Holy Cross - 1992 Issue II, 6.375%, 11/01/15 (Pre-refunded to 11/01/02) 1,195 Massachusetts Industrial Finance Agency, Revenue Bonds, Merrimack 7/02 at 102 AAA 1,273,129 College Issue, Series 1992, 7.125%, 7/01/12 (Pre-refunded to 7/01/02) 1,175 Massachusetts Industrial Finance Agency, Revenue Bonds (Brooks 7/03 at 102 A3*** 1,261,750 School Issue), Series 1993, 5.950%, 7/01/23 (Pre-refunded to 7/01/03) 3,000 Massachusetts Water Resources Authority, General Revenue Bonds, 12/01 at 100 Aaa 3,045,360 1991 Series A, 5.750%, 12/01/21 (Pre-refunded to 12/01/01) 1,000 Puerto Rico Electric Power Authority, Power Revenue Bonds, 7/01 at 102 AAA 1,023,350 Series P, 7.000%, 7/01/21 (Pre-refunded to 7/01/01) - ------------------------------------------------------------------------------------------------------------------------------------ UTILITIES - 6.6% 1,000 Massachusetts Municipal Wholesale Electric Company, Power Supply 7/02 at 100 AAA 1,010,840 System Revenue Bonds, 1992 Series A, 6.000%, 7/01/18 3,215 Massachusetts Industrial Finance Agency, Resource Recovery Revenue 7/01 at 103 N/R 3,318,394 Bonds (Semass Project), Series 1991B, 9.250%, 7/01/15 (Alternative Minimum Tax) PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ UTILITIES (continued) $ 2,500 Massachusetts Industrial Finance Agency, Resource Recovery Revenue 12/08 at 102 BBB $ 2,284,925 Refunding Bonds (Ogden Haverhill Project), Series 1998A, 5.600%, 12/01/19 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ WATER AND SEWER - 1.2% 1,250 Massachusetts Water Resources Authority, General Revenue Refunding 3/03 at 100 AA 1,203,800 Bonds, 1993 Series B, 5.000%, 3/01/22 - ------------------------------------------------------------------------------------------------------------------------------------ $ 93,075 Total Investments (cost $92,953,238) - 96.8% 97,406,399 =============----------------------------------------------------------------------------------------------------------------------- SHORT-TERM INVESTMENTS - 2.0% $ 2,000 Massachusetts Health and Education Facilities Authority (Capital VMIG-1 2,000,000 ============= Asset Program), Series B, Variable Rate Demand Bonds, 3.050%, 7/01/05+ -------------------------------------------------------------------------------------------------------------------- Other Assets Less Liabilities - 1.2% 1,172,366 -------------------------------------------------------------------------------------------------------------------- Net Assets - 100% $ 100,578,765 ==================================================================================================================== * Optional Call Provisions (not covered by the report of independent auditors): Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. ** Ratings (not covered by the report of independent auditors): Using the higher of Standard & Poor's or Moody's rating. *** Securities are backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities which ensures the timely payment of principal and interest. Securities are normally considered to be equivalent to AAA rated securities. N/R Investment is not rated. + Security has a maturity of more than one year, but has variable rate and demand features which qualify it as a short-term security. The rate disclosed is that currently in effect. This rate changes periodically based on market conditions or a specified market index. See accompanying notes to financial statements. Nuveen Massachusetts Dividend Advantage Municipal Fund (NMB) Portfolio of Investments May 31, 2001 PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ CONSUMER STAPLES - 5.0% $ 2,000 The Children's Trust Fund, Tobacco Settlement Asset-Backed Bonds, 7/10 at 100 Aa3 $ 2,090,260 Series 2000, 6.000%, 7/01/26 - ------------------------------------------------------------------------------------------------------------------------------------ EDUCATION AND CIVIC ORGANIZATIONS - 22.5% 1,500 Massachusetts Educational Financing Authority, Educational Loan 7/10 at 100 AAA 1,484,925 Revenue Bonds, Issue E, Series 2001, 5.300%, 1/01/16 (Alternative Minimum Tax) 2,000 Massachusetts Development Finance Authority, Revenue Bonds, Series 5/29 at 105 A3 2,118,080 1999P, Boston University Refunding, 6.000%, 5/15/59 1,250 Massachusetts Health and Educational Facilities Authority, Revenue 10/09 at 101 Aaa 1,197,113 Bonds, Brandeis University, Series J, 5.000%, 10/01/26 1,500 Massachusetts Health and Educational Facilities Authority, Revenue 7/09 at 101 AA+ 1,410,840 Bonds, Wellesley College, Series F, 5.125%, 7/01/39 2,000 Massachusetts Health and Educational Facilities Authority, Revenue 2/11 at 100 AA- 2,004,880 Bonds, Tufts University, Series 2001-I, 5.500%, 2/15/36 1,250 University of Massachusetts Building Authority, Project Revenue 11/10 at 100 AAA 1,252,238 Bonds, Senior Series 2000-2, 5.250%, 11/01/20 - ------------------------------------------------------------------------------------------------------------------------------------ HEALTHCARE - 7.6% 1,000 Massachusetts Health and Educational Facilities Authority, Revenue 7/09 at 101 AA- 940,420 Bonds, Partners HealthCare System Issue, Series B, 5.125%, 7/01/19 1,000 Massachusetts Health and Educational Facilities Authority, Revenue 7/11 at 101 AA- 991,360 Bonds, Partners HealthCare System Issue, Series C, 5.750%, 7/01/32 1,250 Massachusetts Health and Educational Facilities Authority, Revenue 7/11 at 100 BBB 1,242,575 Bonds, UMass Memorial Health Care Issue, Series 2001C, 6.625%, 7/01/32 - ------------------------------------------------------------------------------------------------------------------------------------ HOUSING/MULTIFAMILY - 3.0% 1,250 Massachusetts Housing Finance Agency, Rental Housing Mortgage Revenue 1/11 at 100 AAA 1,267,313 Bonds, Series 2001A, 5.850%, 7/01/35 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ HOUSING/SINGLE FAMILY - 7.6% 975 Massachusetts Housing Finance Agency, Single Family Housing Revenue 12/04 at 102 AA 1,014,634 Bonds, Series 36, 6.600%, 12/01/26 (Alternative Minimum Tax) 2,175 Massachusetts Housing Finance Agency, Single Family Housing Revenue 6/10 at 100 AAA 2,163,299 Bonds, Series 82, 5.375%, 12/01/20 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ LONG-TERM CARE - 1.6% 655 Massachusetts Development Finance Agency, First Mortgage Revenue 7/11 at 102 BBB- 655,164 Bonds (Edgecombe Project), Series 2001A, 6.750%, 7/01/21 - ------------------------------------------------------------------------------------------------------------------------------------ TAX OBLIGATION/GENERAL - 20.0% 1,000 City of Boston, Massachusetts, General Obligation Bonds, Series 8/11 at 100 Aa2 980,200 2001A, 5.000%, 2/01/20 2,000 Town of Brookline, Massachusetts, General Obligation Bonds, 4/10 at 101 Aaa 2,064,540 Series 2000, 5.375%, 4/01/17 1,750 City of Lawrence, Massachusetts, General Obligation Bonds, 2/11 at 100 Aaa 1,708,140 Series 2001, 5.000%, 2/01/21 1,020 Massachusetts Bay Transportation Authority, General Transportation 3/07 at 101 AAA 974,712 System Bonds, 1997 Series A, 5.000%, 3/01/27 1,250 The Commonwealth of Massachusetts, General Obligation Bonds, 10/10 at 100 Aa2 1,312,013 Consolidated Loan, Series 2000C, 5.750%, 10/01/19 1,420 Triton Regional School District, Massachusetts, General Obligation 4/11 at 101 Aaa 1,394,497 Bonds, Series 2001, 5.000%, 4/01/21 PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ TAX OBLIGATION/LIMITED - 9.9% $ 1,000 Massachusetts Bay Transportation Authority, Assessment Bonds, 7/10 at 100 AAA $ 986,010 2000 Series A, 5.250%, 7/01/30 1,000 Puerto Rico Municipal Finance Agency, 1999 Series A Bonds, 8/09 at 101 AAA 1,096,590 6.000%, 8/01/16 1,000 Route 3 North Transportation Improvements Association, Commonwealth 6/10 at 100 AAA 1,001,390 of Massachusetts Lease Revenue Bonds, Series 2000, 5.375%, 6/15/33 1,000 Virgin Islands Public Finance Authority, Revenue Bonds (Virgin 10/10 at 101 BBB- 1,071,030 Islands Gross Receipts Taxes Loan Notes), Series 1999A, 6.375%, 10/01/19 - ------------------------------------------------------------------------------------------------------------------------------------ TRANSPORTATION - 10.0% 2,000 Massachusetts Port Authority, Revenue Bonds, Series 1998-D, 7/08 at 101 AAA 1,891,100 5.000%, 7/01/28 2,500 Massachusetts Turnpike Authority, Metropolitan Highway System 1/07 at 102 AAA 2,292,875 Revenue Bonds, 1997 Series A (Senior), 5.000%, 1/01/37 - ------------------------------------------------------------------------------------------------------------------------------------ U.S. GUARANTEED - 2.5% 1,000 Puerto Rico Infrastructure Financing Authority, Special Obligation 10/10 at 101 AAA 1,031,260 Bonds, 2000 Series A, 5.500%, 10/01/40 - ------------------------------------------------------------------------------------------------------------------------------------ UTILITIES - 4.5% 1,000 Massachusetts Industrial Finance Agency, Resource Recovery Revenue 12/08 at 102 BBB 913,970 Refunding Bonds (Ogden Haverhill Project), Series 1998A, 5.600%, 12/01/19 (Alternative Minimum Tax) 1,000 Puerto Rico Electric Power Authority, Power Revenue Bonds, 7/08 at 101 1/2 AAA 979,610 Series DD, 5.000%, 7/01/28 - ------------------------------------------------------------------------------------------------------------------------------------ WATER AND SEWER - 9.6% 2,000 Boston Water and Sewer Commission, Massachusetts, General Revenue 11/08 at 101 AAA 1,899,840 Bonds, Senior Series, 1998 Series D, 5.000%, 11/01/28 1,750 Massachusetts Water Pollution Abatement Trust, Water Pollution 8/09 at 101 AA+ 1,817,393 Abatement Revenue Bonds (MWRA Program), Subordinate Series 1999A, 5.750%, 8/01/29 300 Massachusetts Water Resources Authority, General Revenue Bonds, 8/10 at 101 AAA 312,911 2000 Series A, 5.750%, 8/01/30 - ------------------------------------------------------------------------------------------------------------------------------------ $ 43,795 Total Investments (cost $43,997,117) - 103.8% 43,561,182 =============----------------------------------------------------------------------------------------------------------------------- Other Assets Less Liabilities - (3.8)% (1,610,003) -------------------------------------------------------------------------------------------------------------------- Net Assets - 100% $ 41,951,179 ==================================================================================================================== * Optional Call Provisions (not covered by the report of independent auditors): Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. ** Ratings (not covered by the report of independent auditors): Using the higher of Standard & Poor's or Moody's rating. See accompanying notes to financial statements. Nuveen Missouri Premium Income Municipal Fund (NOM) Portfolio of Investments May 31, 2001 PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ CONSUMER STAPLES - 2.1% $ 1,000 Missouri State Development Finance Board, Solid Waste Disposal No Opt. Call AA $ 971,720 Revenue Bonds (Procter & Gamble Paper Products Company Project), Series 1999, 5.200%, 3/15/29 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ EDUCATION AND CIVIC ORGANIZATIONS - 14.9% 1,875 The Junior College District of Mineral Area, Missouri (Mineral Area 9/10 at 102 N/R 2,004,131 College), Student Housing System Revenue Bonds, Series 2000, 7.200%, 9/01/20 1,165 Health and Educational Facilities Authority of the State of Missouri, 11/08 at 101 AA+ 1,088,413 Educational Facilities Revenue Bonds (The Washington University), Series 1998A, 5.000%, 11/15/37 825 Health and Educational Facilities Authority of the State of Missouri, 3/10 at 101 AA+ 879,780 Educational Facilities Revenue Bonds (The Washington University), Series 2000A, 6.000%, 3/01/30 2,000 Health and Educational Facilities Authority of the State of Missouri, 6/10 at 100 Baa2 2,085,000 Educational Facilities Revenue Bonds (Maryville University of Saint Louis Project), Series 2000, 6.750%, 6/15/30 500 Health and Educational Facilities Authority of the State of Missouri, 2/08 at 101 A3 504,130 Educational Facilities Revenue Bonds (St. Louis Priory School Project), 5.650%, 2/01/25 365 Health and Educational Facilities Authority of the State of Missouri, 4/11 at 100 Aaa 374,023 Educational Facilities Revenue Bonds (Webster University), Series 2001, 5.500%, 4/01/18 - ------------------------------------------------------------------------------------------------------------------------------------ HEALTHCARE - 18.2% 1,800 Johnson County, Missouri, Hospital Revenue Bonds (Western Missouri 6/10 at 100 AA 1,844,604 Medical Center Project), Series 2000, 6.000%, 6/01/20 2,500 Health and Educational Facilities Authority of the State of Missouri, 6/11 at 101 AAA 2,450,850 Revenue Bonds (SSM Health Care), Series 2001A, 5.250%, 6/01/28 425 Health and Educational Facilities Authority of the State of Missouri, 2/06 at 102 BBB+ 428,685 Health Facilities Revenue Bonds (Lake of the Ozarks General Hospital, Inc.), Series 1996, 6.500%, 2/15/21 400 Health and Educational Facilities Authority of the State of Missouri, 5/08 at 101 AA 373,912 Health Facilities Revenue Bonds (BJC Health System), Series 1998, 5.000%, 5/15/28 1,000 Health and Educational Facilities Authority of the State of Missouri, 12/10 at 101 A 1,025,930 Health Facilities Revenue Bonds (St. Anthony's Medical Center), Series 2000, 6.250%, 12/01/30 1,000 Ray County, Missouri, Hospital Revenue Bonds (Ray County Memorial 5/05 at 101 1/2 N/R 930,110 Hospital), Series 1997, 5.750%, 11/15/12 950 Texas County, Missouri, Hospital Revenue Bonds (Texas County 6/10 at 100 N/R 938,258 Memorial Hospital), Series 2000, 7.250%, 6/15/25 500 The Industrial Development Authority of the City of West Plains, 11/07 at 101 N/R 421,860 Missouri, Hospital Facilities Revenue Bonds (Ozark Medical Center), Series 1997, 5.600%, 11/15/17 - ------------------------------------------------------------------------------------------------------------------------------------ HOUSING/MULTIFAMILY - 7.4% 1,000 Missouri Housing Development Commission, Multifamily Housing Revenue 12/11 at 100 AA 1,004,810 Bonds, 2001 Series II, 5.250%, 12/01/16 1,250 The Industrial Development Authority of St. Charles County, Missouri, 4/08 at 102 AAA 1,231,600 Multifamily Housing Revenue Bonds (Ashwood Apartments Project), Series 1998A, 5.600%, 4/01/30 (Alternative Minimum Tax) 545 The Industrial Development Authority of the County of St. Louis, 4/07 at 102 AAA 563,018 Missouri, Multifamily Housing Revenue Refunding Bonds (GNMA Collateralized - South Summit Apartments Project), Series 1997A, 5.950%, 4/20/17 600 The Industrial Development Authority of the County of St. Louis, 4/07 at 102 AAA 622,440 Missouri, Multifamily Housing Revenue Refunding Bonds (GNMA Collateralized - South Summit Apartments Project), Series 1997B, 6.000%, 10/20/15 (Alternative Minimum Tax) PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ HOUSING/SINGLE FAMILY - 5.2% $ 1,245 Missouri Housing Development Commission, Single Family Mortgage 3/06 at 105 AAA $ 1,380,269 Revenue Bonds (Homeownership Loan Program), 1995 Series C, 7.250%, 9/01/26 (Alternative Minimum Tax) 1,000 Missouri Housing Development Commission, Single Family Mortgage 3/10 at 100 AAA 1,046,490 Revenue Bonds (Homeownership Loan Program), 2000 Series B-1, 6.250%, 3/01/31 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ TAX OBLIGATION/GENERAL - 17.6% 2,020 Ritenour School District of St. Louis County, Missouri, General No Opt. Call AAA 2,468,278 Obligation School Bonds, Series 1995, 7.375%, 2/01/12 1,500 Francis Howell School District of St. Charles County, Missouri, No Opt. Call AAA 1,768,515 General Obligation Refunding Bonds, Series 1994A, 7.800%, 3/01/08 1,000 School District of the City of St. Charles, Missouri, General 3/06 at 100 AA+ 1,036,950 Obligation Bonds (Missouri Direct Deposit Program), Series 1996A, 5.625%, 3/01/14 1,000 Pattonville R-3 School District, St. Louis County, Missouri, 3/10 at 101 AAA 1,061,590 General Obligation Bonds, Series 2000, 5.750%, 3/01/17 895 The Board of Education of the City of St. Louis, Missouri, General No Opt. Call AAA 1,098,434 Obligation School Refunding Bonds, Series 1993A, 8.500%, 4/01/07 625 Reorganized School District No. R-IV of Stone County, Reeds Spring, No Opt. Call AAA 769,250 Missouri, General Obligation School Building Refunding and Improvement Bonds, Series 1995, 7.600%, 3/01/10 - ------------------------------------------------------------------------------------------------------------------------------------ TAX OBLIGATION/LIMITED - 16.0% 1,000 Land Clearance for Redevelopment Authority of Kansas City, Missouri, 12/05 at 102 AAA 1,050,440 Lease Revenue Bonds (Municipal Auditorium and Muehlebach Hotel Redevelopment Project), Series 1995A, 5.900%, 12/01/18 2,000 Missouri Development Finance Board, Infrastructure Facilities Revenue 4/10 at 100 AAA 2,089,200 Bonds (City of Kansas City - Midtown Redevelopment Projects), Series 2000A, 5.750%, 4/01/22 450 Monarch-Chesterfield Levee District (St. Louis County, Missouri), 3/10 at 101 AAA 474,512 Levee District Improvement Bonds, Series 1999, 5.750%, 3/01/19 1,600 St. Louis Municipal Finance Corporation, City Justice Center, 2/06 at 102 AAA 1,709,440 Leasehold Revenue Improvement Bonds, Series 1996A (City of St. Louis, Missouri, Lessee), 5.750%, 2/15/11 2,000 The Public Building Corporation of the City of Springfield, Missouri, 6/10 at 100 AAA 2,135,340 Leasehold Revenue Bonds, Series 2000A (Jordan Valley Park Projects), 6.125%, 6/01/21 - ------------------------------------------------------------------------------------------------------------------------------------ TRANSPORTATION - 2.3% 1,000 Land Clearance for Redevelopment Authority of the City of St. Louis 9/09 at 102 N/R 1,052,530 (Missouri), Tax Exempt Parking Facility Revenue Refunding and Improvement Bonds, Series of 1999C (LCRA Parking Facilities Project), 7.000%, 9/01/19 - ------------------------------------------------------------------------------------------------------------------------------------ U.S. GUARANTEED - 9.7% 675 Health and Educational Facilities Authority of the State of Missouri, 2/06 at 102 BBB+*** 758,970 Health Facilities Revenue Bonds (Lake of the Ozarks General Hospital, Inc.), Series 1996, 6.500%, 2/15/21 (Pre-refunded to 2/15/06) 1,290 Health and Educational Facilities Authority of the State of Missouri, 6/01 at 101 AAA 1,326,842 Health Facilities Revenue Bonds (SSM Health Care Obligated Group Projects), Series 1990B, 7.000%, 6/01/15 1,000 Certificates of Receipt, St. Louis County, Missouri, GNMA No Opt. Call AAA 1,041,040 Collateralized Mortgage Revenue Bonds, Series 1993D, 5.650%, 7/01/20 (Alternative Minimum Tax) 1,275 St. Louis Municipal Finance Corporation, Leasehold Revenue 2/05 at 100 AAA 1,388,603 Improvement and Refunding Bonds, Series 1992 (City of St. Louis, Missouri, Lessee), 6.250%, 2/15/12 (Pre-refunded to 2/15/05) Nuveen Missouri Premium Income Municipal Fund (NOM) (continued) Portfolio of Investments May 31, 2001 PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ WATER AND SEWER - 4.8% $ 1,000 State Environmental Improvement and Energy Resources Authority 7/04 at 102 AAA $ 1,051,040 (State of Missouri), Water Pollution Control Revenue Bonds (State Revolving Fund Program - City of Branson Project), Series 1995A, 6.050%, 7/01/16 750 State Environmental Improvement and Energy Resources Authority 1/06 at 101 Aaa 788,661 (State of Missouri), Water Pollution Control Revenue Bonds (State Revolving Fund Program - Multiple Participant Series), Series 1996D, 5.875%, 1/01/15 350 State Environmental Improvement and Energy Resources Authority No Opt. Call Aaa 412,640 (State of Missouri), Water Pollution Control Revenue Bonds (State Revolving Fund Program - City of Kansas City Project), Series 1997C, 6.750%, 1/01/12 - ------------------------------------------------------------------------------------------------------------------------------------ $ 43,375 Total Investments (cost $43,703,153) - 98.2% 45,652,308 =============----------------------------------------------------------------------------------------------------------------------- Other Assets Less Liabilities - 1.8% 856,022 -------------------------------------------------------------------------------------------------------------------- Net Assets - 100% $ 46,508,330 ==================================================================================================================== * Optional Call Provisions (not covered by the report of independent auditors): Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. ** Ratings (not covered by the report of independent auditors): Using the higher of Standard & Poor's or Moody's rating. *** Securities are backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities which ensures the timely payment of principal and interest. Securities are normally considered to be equivalent to AAA rated securities. N/R Investment is not rated. See accompanying notes to financial statements.
Statement of Net Assets May 31, 2001 CONNECTICUT CONNECTICUT GEORGIA MASSACHUSETTS PREMIUM DIVIDEND PREMIUM PREMIUM INCOME ADVANTAGE INCOME INCOME (NTC) (NFC) (NPG) (NMT) - ------------------------------------------------------------------------------------------------------------------------------------ ASSETS Investments in municipal securities, at market value $113,555,493 $60,966,252 $86,285,081 $ 97,406,399 Temporary investments in municipal securities, at amortized cost, which approximates market value -- -- -- 2,000,000 Cash -- -- -- -- Receivables: Interest 1,852,739 811,554 1,528,775 1,708,142 Investments sold -- -- 470,299 10,000 Other assets 19,877 8,777 4,100 17,910 - ------------------------------------------------------------------------------------------------------------------------------------ Total assets 115,428,109 61,786,583 88,288,255 101,142,451 - ------------------------------------------------------------------------------------------------------------------------------------ LIABILITIES Cash overdraft 552,689 1,608,504 3,528,921 136,514 Payable for investments purchased 1,472,162 5,007,365 3,463,577 -- Accrued expenses: Management fees 62,217 16,214 44,567 55,467 Offering costs -- 89,918 -- -- Other 23,531 130,357 29,712 34,721 Preferred share dividends payable 18,369 2,779 13,334 19,557 Common share dividends payable 357,308 176,943 240,420 317,427 - ------------------------------------------------------------------------------------------------------------------------------------ Total liabilities 2,486,276 7,032,080 7,320,531 563,686 - ------------------------------------------------------------------------------------------------------------------------------------ Net assets $112,941,833 $54,754,503 $80,967,724 $100,578,765 ==================================================================================================================================== Preferred shares, at liquidation value $ 38,300,000 $19,500,000 $27,800,000 $ 34,000,000 ==================================================================================================================================== Preferred shares outstanding 1,532 780 1,112 1,360 ==================================================================================================================================== Common shares outstanding 5,255,605 2,540,620 3,758,002 4,668,929 ==================================================================================================================================== Net asset value per Common share outstanding (net assets less Preferred shares at liquidation value, divided by Common shares outstanding) $ 14.20 $ 13.88 $ 14.15 $ 14.26 ====================================================================================================================================
See accompanying notes to financial statements. Statement of Net Assets (continued) MASSACHUSETTS MISSOURI DIVIDEND PREMIUM ADVANTAGE INCOME (NMB) (NOM) - ------------------------------------------------------------------------------------------------------------------------------------ ASSETS Investments in municipal securities, at market value $43,561,182 $45,652,308 Temporary investments in municipal securities, at amortized cost, which approximates market value -- -- Cash -- 190,226 Receivables: Interest 675,224 848,144 Investments sold 25,000 15,272 Other assets 7,983 1,536 - ------------------------------------------------------------------------------------------------------------------------------------ Total assets 44,269,389 46,707,486 - ------------------------------------------------------------------------------------------------------------------------------------ LIABILITIES Cash overdraft 1,963,333 -- Payable for investments purchased -- -- Accrued expenses: Management fees 12,443 25,623 Offering costs 71,963 -- Other 126,281 26,429 Preferred share dividends payable 2,424 9,510 Common share dividends payable 141,766 137,594 - ------------------------------------------------------------------------------------------------------------------------------------ Total liabilities 2,318,210 199,156 - ------------------------------------------------------------------------------------------------------------------------------------ Net assets $41,951,179 $46,508,330 ==================================================================================================================================== Preferred shares, at liquidation value $15,000,000 $16,000,000 ==================================================================================================================================== Preferred shares outstanding 600 640 ==================================================================================================================================== Common shares outstanding 1,942,001 2,183,078 ==================================================================================================================================== Net asset value per Common share outstanding (net assets less Preferred shares at liquidation value, divided by Common shares outstanding) $ 13.88 $ 13.97 ====================================================================================================================================
See accompanying notes to financial statements.
Statement of Operations Year Ended May 31, 2001 CONNECTICUT CONNECTICUT GEORGIA MASSACHUSETTS PREMIUM DIVIDEND PREMIUM PREMIUM INCOME ADVANTAGE INCOME INCOME (NTC) (NFC)* (NPG) (NMT) - ------------------------------------------------------------------------------------------------------------------------------------ INVESTMENT INCOME $ 6,335,461 $ 632,702 $4,713,413 $5,779,853 - ------------------------------------------------------------------------------------------------------------------------------------ EXPENSES Management fees 722,769 103,392 518,261 646,485 Preferred shares - auction fees 95,750 4,099 69,500 85,001 Preferred shares - dividend disbursing agent fees 10,005 849 10,005 10,001 Shareholders' servicing agent fees and expenses 12,518 1,918 6,217 7,583 Custodian's fees and expenses 44,067 9,816 77,168 53,668 Trustees' fees and expenses 1,558 356 966 1,208 Professional fees 11,686 6,294 10,173 11,423 Shareholders' reports - printing and mailing expenses 23,907 15,263 9,851 35,589 Stock exchange listing fees 16,205 417 9,125 18,890 Investor relations expense 16,697 1,904 11,436 15,264 Other expenses 12,141 323 8,781 11,292 - ------------------------------------------------------------------------------------------------------------------------------------ Total expenses before custodian fee credit and expense reimbursement 967,303 144,631 731,483 896,404 Custodian fee credit (15,684) (2,049) (5,289) (10,406) Expense reimbursement -- (47,247) -- -- - ------------------------------------------------------------------------------------------------------------------------------------ Net expenses 951,619 95,335 726,194 885,998 - ------------------------------------------------------------------------------------------------------------------------------------ Net investment income 5,383,842 537,367 3,987,219 4,893,855 - ------------------------------------------------------------------------------------------------------------------------------------ REALIZED AND UNREALIZED GAIN (LOSS) FROM INVESTMENTS Net realized gain (loss) from investment transactions 576 (57,242) 1,111,221 22,543 Change in net unrealized appreciation (depreciation) of investments 6,892,339 (548,693) 3,931,839 5,076,539 - ------------------------------------------------------------------------------------------------------------------------------------ Net gain (loss) from investments 6,892,915 (605,935) 5,043,060 5,099,082 - ------------------------------------------------------------------------------------------------------------------------------------ Net increase (decrease) in net assets from operations $12,276,757 $ (68,568) $9,030,279 $9,992,937 ==================================================================================================================================== * For the period January 26, 2001 (commencement of operations) through May 31, 2001.
See accompanying notes to financial statements.
Statement of Operations Year Ended May 31, 2001 (continued) MASSACHUSETTS MISSOURI DIVIDEND PREMIUM ADVANTAGE INCOME (NMB)* (NOM) - ------------------------------------------------------------------------------------------------------------------------------------ INVESTMENT INCOME $ 547,868 $2,639,228 - ------------------------------------------------------------------------------------------------------------------------------------ EXPENSES Management fees 78,760 297,316 Preferred shares - auction fees 3,153 40,000 Preferred shares - dividend disbursing agent fees 849 10,005 Shareholders' servicing agent fees and expenses 2,154 5,067 Custodian's fees and expenses 11,667 29,007 Trustees' fees and expenses 329 575 Professional fees 6,144 7,659 Shareholders' reports - printing and mailing expenses 8,446 9,803 Stock exchange listing fees 361 2,001 Investor relations expense 1,823 7,334 Other expenses 1,158 5,934 - ------------------------------------------------------------------------------------------------------------------------------------ Total expenses before custodian fee credit and expense reimbursement 114,844 414,701 Custodian fee credit (3,605) (4,778) Expense reimbursement (35,988) -- - ------------------------------------------------------------------------------------------------------------------------------------ Net expenses 75,251 409,923 - ------------------------------------------------------------------------------------------------------------------------------------ Net investment income 472,617 2,229,305 - ------------------------------------------------------------------------------------------------------------------------------------ REALIZED AND UNREALIZED GAIN (LOSS) FROM INVESTMENTS Net realized gain (loss) from investment transactions (25,524) 181,966 Change in net unrealized appreciation (depreciation) of investments (435,935) 2,388,233 Net gain (loss) from investments (461,459) 2,570,199 - ------------------------------------------------------------------------------------------------------------------------------------ Net increase (decrease) in net assets from operations $ 11,158 $4,799,504 ==================================================================================================================================== * For the period January 31, 2001 (commencement of operations) through May 31, 2001.
See accompanying notes to financial statements.
Statement of Changes in Net Assets CONNECTICUT CONNECTICUT DIVIDEND PREMIUM INCOME (NTC) ADVANTAGE (NFC) GEORGIA PREMIUM INCOME (NPG) ----------------------------- --------------- ---------------------------- FOR THE PERIOD 1/26/01 (COMMENCEMENT YEAR ENDED YEAR ENDED OF OPERATIONS) YEAR ENDED YEAR ENDED 5/31/01 5/31/00 THROUGH 5/31/01 5/31/01 5/31/00 - ------------------------------------------------------------------------------------------------------------------------------------ OPERATIONS Net investment income $ 5,383,842 $ 5,505,528 $ 537,367 $ 3,987,219 $ 3,851,574 Net realized gain (loss) from investment transactions 576 (176,786) (57,242) 1,111,221 (106,618) Change in net unrealized appreciation (depreciation) of investments 6,892,339 (7,898,353) (548,693) 3,931,839 (6,042,044) - ------------------------------------------------------------------------------------------------------------------------------------ Net increase (decrease) in net assets from operations 12,276,757 (2,569,611) (68,568) 9,030,279 (2,297,088) - ------------------------------------------------------------------------------------------------------------------------------------ DISTRIBUTIONS TO SHAREHOLDERS From and in excess of net investment income: Common shareholders (4,316,867) (4,258,822) (533,518) (2,989,672) (3,011,682) Preferred shareholders (1,264,121) (1,140,890) (122,470) (981,605) (870,722) - ------------------------------------------------------------------------------------------------------------------------------------ Decrease in net assets from distributions to shareholders (5,580,988) (5,399,712) (655,988) (3,971,277) (3,882,404) - ------------------------------------------------------------------------------------------------------------------------------------ CAPITAL SHARE TRANSACTIONS Common shares: Net proceeds from sale of shares -- -- 36,216,383 -- -- Net proceeds from shares issued to shareholders due to reinvestment of distributions 366,668 383,940 1,776 117,835 148,714 Preferred shares: Net proceeds from sale of shares -- -- 19,160,625 -- -- - ------------------------------------------------------------------------------------------------------------------------------------ Net increase in net assets from capital share transactions 366,668 383,940 55,378,784 117,835 148,714 - ------------------------------------------------------------------------------------------------------------------------------------ Net increase (decrease) in net assets 7,062,437 (7,585,383) 54,654,228 5,176,837 (6,030,778) Net assets at the beginning of period 105,879,396 113,464,779 100,275 75,790,887 81,821,665 - ------------------------------------------------------------------------------------------------------------------------------------ Net assets at the end of period $112,941,833 $105,879,396 $54,754,503 $80,967,724 $75,790,887 ==================================================================================================================================== Undistributed (Over-distribution of) net investment income at the end of period $ 231,595 $ 428,741 $ (118,621) $ 169,607 $ 153,665 ==================================================================================================================================== See accompanying notes to financial statements.
Statement of Changes in Net Assets (continued) MASSACHUSETTS MASSACHUSETTS PREMIUM DIVIDEND MISSOURI PREMIUM INCOME (NMT) ADVANTAGE (NMB) INCOME (NOM) ----------------------------- --------------- -------------------------- FOR THE PERIOD 1/31/01 (COMMENCEMENT YEAR ENDED YEAR ENDED OF OPERATIONS) YEAR ENDED YEAR ENDED 5/31/01 5/31/00 THROUGH 5/31/01 5/31/01 5/31/00 - ------------------------------------------------------------------------------------------------------------------------------------ OPERATIONS Net investment income $ 4,893,855 $ 4,890,353 $ 472,617 $ 2,229,305 $ 2,140,228 Net realized gain (loss) from investment transactions 22,543 (952,042) (25,524) 181,966 (203,419) Change in net unrealized appreciation (depreciation) of investments 5,076,539 (6,202,081) (435,935) 2,388,233 (2,806,168) - ------------------------------------------------------------------------------------------------------------------------------------ Net increase (decrease) in net assets from operations 9,992,937 (2,263,770) 11,158 4,799,504 (869,359) - ------------------------------------------------------------------------------------------------------------------------------------ DISTRIBUTIONS TO SHAREHOLDERS From and in excess of net investment income: Common shareholders (3,804,794) (3,932,098) (425,298) (1,616,505) (1,673,291) Preferred shareholders (1,136,585) (994,318) (102,546) (555,464) (570,470) - ------------------------------------------------------------------------------------------------------------------------------------ Decrease in net assets from distributions to shareholders (4,941,379) (4,926,416) (527,844) (2,171,969) (2,243,761) - ------------------------------------------------------------------------------------------------------------------------------------ CAPITAL SHARE TRANSACTIONS Common shares: Net proceeds from sale of shares -- -- 27,660,825 -- -- Net proceeds from shares issued to shareholders due to reinvestment of distributions 203,930 225,388 15 180,182 211,128 Preferred shares: Net proceeds from sale of shares -- -- 14,706,750 -- -- - ------------------------------------------------------------------------------------------------------------------------------------ Net increase in net assets from capital share transactions 203,930 225,388 42,367,590 180,182 211,128 - ------------------------------------------------------------------------------------------------------------------------------------ Net increase (decrease) in net assets 5,255,488 (6,964,798) 41,850,904 2,807,717 (2,901,992) Net assets at the beginning of period 95,323,277 102,288,075 100,275 43,700,613 46,602,605 - ------------------------------------------------------------------------------------------------------------------------------------ Net assets at the end of period $100,578,765 $ 95,323,277 $41,951,179 $46,508,330 $43,700,613 ==================================================================================================================================== Undistributed (Over-distribution of) net investment income at the end of period $ 30,016 $ 77,540 $ (55,227) $ 88,313 $ 30,977 ==================================================================================================================================== See accompanying notes to financial statements.
Notes to Financial Statements 1. GENERAL INFORMATION AND SIGNIFICANT ACCOUNTING POLICIES The state Funds (the "Funds") covered in this report and their corresponding stock exchange symbols are Nuveen Connecticut Premium Income Municipal Fund (NTC), Nuveen Connecticut Dividend Advantage Municipal Fund (NFC), Nuveen Georgia Premium Income Municipal Fund (NPG), Nuveen Massachusetts Premium Income Municipal Fund (NMT), Nuveen Massachusetts Dividend Advantage Municipal Fund (NMB) and Nuveen Missouri Premium Income Municipal Fund (NOM). Connecticut Premium Income (NTC) and Massachusetts Premium Income (NMT) are traded on the New York Stock Exchange while Connecticut Dividend Advantage (NFC), Georgia Premium Income (NPG), Massachusetts Dividend Advantage (NMB) and Missouri Premium Income (NOM) are traded on the American Stock Exchange. Prior to the commencement of operations of Connecticut Dividend Advantage (NFC) and Massachusetts Dividend Advantage (NMB), each Fund had no operations other than those related to organizational matters, the initial capital contribution of $100,275 by Nuveen Advisory Corp. (the "Adviser"), a wholly owned subsidiary of The John Nuveen Company and the recording of the organizational expenses ($15,000) and their reimbursement by Nuveen Investments, also a wholly owned subsidiary of The John Nuveen Company. Each Fund seeks to provide current income exempt from both regular federal and designated state income taxes by investing primarily in a diversified portfolio of municipal obligations issued by state and local government authorities within a single state. The Funds are registered under the Investment Company Act of 1940 as closed-end management investment companies. The following is a summary of significant accounting policies followed by the Funds in the preparation of their financial statements in accordance with accounting principles generally accepted in the United States. Securities Valuation The prices of municipal bonds in each Fund's investment portfolio are provided by a pricing service approved by the Fund's Board of Trustees. When price quotes are not readily available (which is usually the case for municipal securities), the pricing service establishes fair market value based on yields or prices of municipal bonds of comparable quality, type of issue, coupon, maturity and rating, indications of value from securities dealers and general market conditions. Temporary investments in securities that have variable rate and demand features qualifying them as short-term securities are valued at amortized cost, which approximates market value. Securities Transactions Securities transactions are recorded on a trade date basis. Realized gains and losses from such transactions are determined on the specific identification method. Securities purchased or sold on a when-issued or delayed delivery basis may have extended settlement periods. The securities so purchased are subject to market fluctuation during this period. The Funds have instructed the custodian to segregate assets in a separate account with a current value at least equal to the amount of the when-issued and delayed delivery purchase commitments. At May 31, 2001, Connecticut Premium Income (NTC), Connecticut Dividend Advantage (NFC) and Georgia Premium Income (NPG) had outstanding when-issued and/or delayed delivery purchase commitments of $1,472,162, $5,007,365 and $3,463,577, respectively. There were no such outstanding purchase commitments in any of the other Funds. Investment Income Interest income is determined on the basis of interest accrued, adjusted for amortization of premiums and accretion of discounts on long-term debt securities. Income Taxes Each Fund is a separate taxpayer for federal income tax purposes. Each Fund intends to comply with the requirements of the Internal Revenue Code applicable to regulated investment companies and to distribute all of its net investment income to its shareholders. Therefore, no federal income tax provision is required. Furthermore, each Fund intends to satisfy conditions which will enable interest from municipal securities, which is exempt from regular federal and designated state income taxes, to retain such tax-exempt status when distributed to shareholders of the Funds. All monthly tax-exempt income dividends paid during the fiscal year ended May 31, 2001, have been designated Exempt Interest Dividends. Dividends and Distributions to Shareholders Tax-exempt net investment income is declared monthly as a dividend and payment is made or reinvestment is credited to shareholder accounts on the first business day after month-end. Net realized capital gains and/or market discount from investment Notes to Financial Statements (continued) transactions, if any, are distributed to shareholders not less frequently than annually. Furthermore, capital gains are distributed only to the extent they exceed available capital loss carryforwards. Distributions to shareholders of tax-exempt net investment income, net realized capital gains and/or market discount, if any, are recorded on the ex-dividend date. The amount and timing of distributions are determined in accordance with federal income tax regulations, which may differ from accounting principles generally accepted in the United States. Accordingly, temporary over-distributions as a result of these differences may occur and will be classified as either distributions in excess of net investment income, distributions in excess of net realized gains and/or distributions in excess of net ordinary taxable income from investment transactions, where applicable. Preferred Shares The Funds have issued and outstanding $25,000 stated value Preferred shares. Each Fund's Preferred shares are issued in one Series. The dividend rate on each Series may change every seven days, as set by the auction agent. The number of shares outstanding for each Fund is as follows:
CONNECTICUT CONNECTICUT GEORGIA MASSACHUSETTS MASSACHUSETTS MISSOURI PREMIUM DIVIDEND PREMIUM PREMIUM DIVIDEND PREMIUM INCOME ADVANTAGE INCOME INCOME ADVANTAGE INCOME (NTC) (NFC) (NPG) (NMT) (NMB) (NOM) - ---------------------------------------------------------------------------------------------------------------- Number of Shares: Series T -- 780 -- -- 600 -- Series Th 1,532 -- 1,112 1,360 -- 640 ================================================================================================================
Effective March 16, 2001, Connecticut Dividend Advantage (NFC) and Massachusetts Dividend Advantage (NMB) issued 780 and 600, respectively, Series T $25,000 stated value Preferred shares. Derivative Financial Instruments The Funds may invest in certain derivative financial instruments including futures, forward, swap and option contracts, and other financial instruments with similar characteristics. Although the Funds are authorized to invest in such financial instruments, and may do so in the future, they did not make any such investments during the fiscal year ended May 31, 2001. Custodian Fee Credit Each Fund has an arrangement with the custodian bank whereby certain custodian fees and expenses are reduced by credits earned on each Fund's cash on deposit with the bank. Such deposit arrangements are an alternative to overnight investments. Offering Costs Nuveen Investments has agreed to pay all offering costs (other than the sales load) that exceed $.03 per Common share for Connecticut Dividend Advantage (NFC) and Massachusetts Dividend Advantage (NMB). Connecticut Dividend Advantage's (NFC) and Massachusetts Dividend Advantage's (NMB) share of offering costs ($76,005 and $58,050, respectively) were recorded as a reduction of the proceeds from the sale of common shares. Costs incurred by Connecticut Dividend Advantage (NFC) and Massachusetts Dividend Advantage (NMB) in connection with their offering of Preferred shares ($339,375 and $293,250, respectively) were recorded as a reduction of the proceeds from the sale of the Preferred shares. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results may differ from those estimates. Audit Guide In November 2000, the American Institute of Certified Public Accountants (AICPA) issued a revised version of the AICPA Audit and Accounting Guide for Investment Companies (the "Guide"). The Guide is effective for annual financial statements issued for fiscal years beginning after December 15, 2000. It is not anticipated that the adoption of the Guide will have a significant effect on the financial statements. 2. FUND SHARES Transactions in Common and Preferred shares were as follows:
CONNECTICUT DIVIDEND CONNECTICUT ADVANTAGE GEORGIA PREMIUM INCOME (NTC) (NFC) PREMIUM INCOME (NPG) --------------------- ---------------- ---------------------- FOR THE PERIOD 1/26/01 (COMMENCEMENT YEAR ENDED YEAR ENDED OF OPERATIONS) YEAR ENDED YEAR ENDED 5/31/01 5/31/00 THROUGH 5/31/01 5/31/01 5/31/00 - ----------------------------------------------------------------------------------------------------------------- Common shares Shares sold -- -- 2,533,500 -- -- Shares issued to shareholders due to reinvestment of distributions 24,620 25,420 120 8,153 10,347 - ----------------------------------------------------------------------------------------------------------------- 24,620 25,420 2,533,620 8,153 10,347 ================================================================================================================= Preferred shares sold -- -- 780 -- -- ================================================================================================================= MASSACHUSETTS DIVIDEND MASSACHUSETTS ADVANTAGE MISSOURI PREMIUM INCOME (NMT) (NMB) PREMIUM INCOME (NOM) --------------------- --------------- ------------------------- FOR THE PERIOD 1/31/01 (COMMENCEMENT YEAR ENDED YEAR ENDED OF OPERATIONS) YEAR ENDED YEAR ENDED 5/31/01 5/31/00 THROUGH 5/31/01 5/31/01 5/31/00 - ----------------------------------------------------------------------------------------------------------------- Common shares: Shares sold -- -- 1,935,000 -- -- Shares issued to shareholders due to reinvestment of distributions 13,928 15,214 1 13,147 15,542 - ----------------------------------------------------------------------------------------------------------------- 13,928 15,214 1,935,001 13,147 15,542 ================================================================================================================= Preferred shares sold -- -- 600 -- -- =================================================================================================================
Notes to Financial Statements (continued) 3. DISTRIBUTIONS TO COMMON SHAREHOLDERS The Funds declared Common share dividend distributions from their tax-exempt net investment income which were paid on July 2, 2001, to shareholders of record on June 15, 2001, as follows:
CONNECTICUT CONNECTICUT GEORGIA MASSACHUSETTS MASSACHUSETTS MISSOURI PREMIUM DIVIDEND PREMIUM PREMIUM DIVIDEND PREMIUM INCOME ADVANTAGE INCOME INCOME ADVANTAGE INCOME (NTC) (NFC) (NPG) (NMT) (NMB) (NOM) - ----------------------------------------------------------------------------------------------------------------- Dividend per share $.0680 $.0700 $.0665 $.0680 $.0730 $.0655 =================================================================================================================
4. SECURITIES TRANSACTIONS Purchases and sales (including maturities) of investments in long-term municipal securities and short-term municipal securities for the fiscal year ended May 31, 2001, were as follows:
CONNECTICUT CONNECTICUT GEORGIA MASSACHUSETTS MASSACHUSETTS MISSOURI PREMIUM DIVIDEND PREMIUM PREMIUM DIVIDEND PREMIUM INCOME ADVANTAGE INCOME INCOME ADVANTAGE INCOME (NTC) (NFC) (NPG) (NMT) (NMB)** (NOM) - ------------------------------------------------------------------------------------------------------------------------ Purchases: Long-term municipal securities $11,557,907 $65,953,629 $16,620,444 $13,434,699 $46,001,384 $13,818,432 Short-term municipal securities -- 7,700,000 -- 2,000,000 15,075,000 2,100,000 Sales and maturities: Long-term municipal securities 9,184,076 4,369,824 11,811,244 15,350,363 1,969,088 13,993,122 Short-term municipal securities -- 7,700,000 -- 2,000,000 15,075,000 2,100,000 ======================================================================================================================== * For the period January 26, 2001 (commencement of operations) through May 31, 2001. ** For the period January 31, 2001 (commencement of operations) through May 31, 2001.
At May 31, 2001, the cost of investments owned for federal income tax purposes were as follows:
CONNECTICUT CONNECTICUT GEORGIA MASSACHUSETTS MASSACHUSETTS MISSOURI PREMIUM DIVIDEND PREMIUM PREMIUM DIVIDEND PREMIUM INCOME ADVANTAGE INCOME INCOME ADVANTAGE INCOME (NTC) (NFC) (NPG) (NMT) (NMB) (NOM) - ------------------------------------------------------------------------------------------------------------------------ $109,136,846 $61,514,945 $82,965,030 $94,953,238 $43,997,117 $43,703,153 ========================================================================================================================
At May 31, 2001, the Funds had unused capital loss carryforwards available for federal income tax purposes to be applied against future capital gains, if any. If not applied, the carryforwards will expire as follows:
CONNECTICUT CONNECTICUT GEORGIA MASSACHUSETTS MASSACHUSETTS MISSOURI PREMIUM DIVIDEND PREMIUM PREMIUM DIVIDEND PREMIUM INCOME ADVANTAGE INCOME INCOME ADVANTAGE INCOME (NTC) (NFC) (NPG) (NMT) (NMB) (NOM) - ----------------------------------------------------------------------------------------------------------- Expiration year: 2003 $ 715,734 $ -- $ -- $ 552,942 $ -- $ 768,346 2004 1,105,901 -- 1,837,441 945,779 -- 708,417 2005 847,914 -- 340,685 195,761 -- -- 2006 -- -- -- -- -- -- 2007 -- -- -- -- -- -- 2008 7,281 -- 129,908 210,989 -- 57,432 2009 168,464 57,242 -- 718,509 25,524 -- - ----------------------------------------------------------------------------------------------------------- Total $2,845,294 $57,242 $2,308,034 $2,623,980 $25,524 $1,534,195 ===========================================================================================================
5. UNREALIZED APPRECIATION (DEPRECIATION) Gross unrealized appreciation and gross unrealized depreciation of investments at May 31, 2001, were as follows:
CONNECTICUT CONNECTICUT GEORGIA MASSACHUSETTS MASSACHUSETTS MISSOURI PREMIUM DIVIDEND PREMIUM PREMIUM DIVIDEND PREMIUM INCOME ADVANTAGE INCOME INCOME ADVANTAGE INCOME (NTC) (NFC) (NPG) (NMT) (NMB) (NOM) - ------------------------------------------------------------------------------------------------------------- Gross unrealized: appreciation $4,785,301 $ 113,016 $3,745,079 $4,801,671 $ 102,350 $2,185,763 depreciation (366,654) (661,709) (425,028) (348,510) (538,285) (236,608) - ------------------------------------------------------------------------------------------------------------- Net unrealized appreciation (depreciation) $4,418,647 $(548,693) $3,320,051 $4,453,161 $(435,935) $1,949,155 =============================================================================================================
6. MANAGEMENT FEE AND OTHER TRANSACTIONS WITH AFFILIATES Under the Funds' (excluding Connecticut Dividend Advantage (NFC)and Massachusetts Dividend Advantage (NMB)) investment management agreements with the Adviser, each Fund pays an annual management fee, payable monthly, at the rates set forth below, which are based upon the average daily net assets of each Fund as follows: AVERAGE DAILY NET ASSETS MANAGEMENT FEE - --------------------------------------------------------------- For the first $125 million .6500 of 1% For the next $125 million .6375 of 1 For the next $250 million .6250 of 1 For the next $500 million .6125 of 1 For the next $1 billion .6000 of 1 For the next $3 billion .5875 of 1 For net assets over $5 billion .5750 of 1 =============================================================== Under Connecticut Dividend Advantage's (NFC) and Massachusetts Dividend Advantage's (NMB) investment management agreements with the Adviser, each Fund pays an annual management fee, payable monthly, at the rates set forth below, which are based upon the average daily net assets of each Fund as follows: AVERAGE DAILY NET ASSETS MANAGEMENT FEE - --------------------------------------------------------------- For the first $125 million .6500 of 1% For the next $125 million .6375 of 1 For the next $250 million .6250 of 1 For the next $500 million .6125 of 1 For the next $1 billion .6000 of 1 For net assets over $2 billion .5750 of 1 =============================================================== Notes to Financial Statements (continued) The Adviser has agreed to waive part of its management fees or reimburse certain expenses of Connecticut Dividend Advantage (NFC) and Massachusetts Dividend Advantage (NMB) in an amount equal to .30% of the average daily net assets for the period from each Fund's commencement of operations through January 31, 2006, .25% of the average daily net assets for the year ended January 31, 2007, .20% of the average daily net assets for the year ended January 31, 2008, .15% of the average daily net assets for the year ended January 31, 2009, .10% of the average daily net assets for the year ended January 31, 2010, and .05% of the average daily net assets for the year ended January 31, 2011. The Adviser has not agreed to reimburse Connecticut Dividend Advantage (NFC) and Massachusetts Dividend Advantage (NMB) for any portion of its fees and expenses beyond January 31, 2011. The management fee compensates the Adviser for overall investment advisory and administrative services and general office facilities. The Funds pay no compensation directly to those of its Trustees who are affiliated with the Adviser or to their officers, all of whom receive remuneration for their services to the Funds from the Adviser. 7. COMPOSITION OF NET ASSETS At May 31, 2001, net assets consisted of:
CONNECTICUT CONNECTICUT GEORGIA MASSACHUSETTS MASSACHUSETTS MISSOURI PREMIUM DIVIDEND PREMIUM PREMIUM DIVIDEND PREMIUM INCOME ADVANTAGE INCOME INCOME ADVANTAGE INCOME (NTC) (NFC) (NPG) (NMT) (NMB) (NOM) - -------------------------------------------------------------------------------------------------------------- Preferred shares, $25,000 stated value per share, at liquidation value $38,300,000 $19,500,000 $27,800,000 $34,000,000 $15,000,000 $16,000,000 Common shares, $.01 par value per share 52,556 25,406 37,580 46,689 19,420 21,831 Paid-in surplus 72,784,329 35,953,653 51,948,520 64,672,879 27,448,445 29,983,226 Undistributed (Over-distribution of) net investment income 231,595 (118,621) 169,607 30,016 (55,227) 88,313 Accumulated net realized gain (loss) from investment transactions (2,845,294) (57,242) (2,308,034) (2,623,980) (25,524) (1,534,195) Net unrealized appreciation (depreciation) of investments 4,418,647 (548,693) 3,320,051 4,453,161 (435,935) 1,949,155 - -------------------------------------------------------------------------------------------------------------- Net assets $112,941,833 $54,754,503 $80,967,724 $100,578,765 $41,951,179 $46,508,330 ============================================================================================================== Authorized shares: Common Unlimited Unlimited Unlimited Unlimited Unlimited Unlimited Preferred Unlimited Unlimited Unlimited Unlimited Unlimited Unlimited ==============================================================================================================
INVESTMENT OPERATIONS LESS DISTRIBUTIONS ----------------------------- ---------------------------------------------------------- OFFERING NET NET NET COSTS AND REALIZED/ INVESTMENT INVESTMENT CAPITAL CAPITAL PREFERRED BEGINNING NET UNREALIZED INCOME INCOME GAINS GAINS SHARE NET ASSET INVESTMENT INVESTMENT TO COMMON TO PREFERRED TO COMMON TO PREFERRED UNDERWRITING VALUE INCOME GAIN (LOSS) TOTAL SHAREHOLDERS SHAREHOLDERS+ SHAREHOLDERS SHAREHOLDERS+ TOTAL DISCOUNTS - ------------------------------------------------------------------------------------------------------------------- Connecticut Premium Income (NTC) Year Ended 5/31: 2001 $12.92 $1.02 $ 1.32 $2.34 $(.82) $(.24) $-- $-- $(1.06) $-- 2000 14.44 1.06 (1.54) (.48) (.82) (.22) -- -- (1.04) -- 1999 14.49 1.00 (.05) .95 (.80) (.20) -- -- (1.00) -- 1998 13.63 1.00 .89 1.89 (.80) (.23) -- -- (1.03) -- 1997 12.99 1.00 .60 1.60 (.76) (.20) -- -- (.96) -- Connecticut Dividend Advantage (NFC) Year Ended 5/31: 2001(a) 14.33 .21 (.23) (.02) (.21) (.05) -- -- (.26) (.17) Georgia Premium Income (NPG) Year Ended 5/31: 2001 12.80 1.06 1.35 2.41 (.80) (.26) -- -- (1.06) -- 2000 14.45 1.03 (1.65) (.62) (.80) (.23) -- -- (1.03) -- 1999 14.58 1.01 (.13) .88 (.80) (.21) -- -- (1.01) -- 1998 13.70 1.01 .90 1.91 (.79) (.24) -- -- (1.03) -- 1997 13.00 1.01 .69 1.70 (.77) (.23) -- -- (1.00) -- Massachusetts Premium Income (NMT) Year Ended 5/31: 2001 13.17 1.05 1.10 2.15 (.82) (.24) -- -- (1.06) -- 2000 14.72 1.05 (1.54) (.49) (.85) (.21) -- -- (1.06) -- 1999 14.91 1.02 (.16) .86 (.85) (.20) -- -- (1.05) -- 1998 14.11 1.06 .83 1.89 (.85) (.24) -- -- (1.09) -- 1997 13.58 1.06 .53 1.59 (.84) (.22) -- -- (1.06) -- Massachusetts Dividend Advantage (NMB) Year Ended 5/31: 2001(b) 14.33 .24 (.24) -- (.22) (.05) -- -- (.27) (.18) Missouri Premium Income (NOM) Year Ended 5/31: 2001 12.77 1.02 1.18 2.20 (.74) (.26) -- -- (1.00) -- 2000 14.20 .99 (1.39) (.40) (.77) (.26) -- -- (1.03) -- 1999 14.44 .97 (.22) .75 (.77) (.22) -- -- (.99) -- 1998 13.68 .99 .78 1.77 (.76) (.25) -- -- (1.01) -- 1997 13.11 1.00 .55 1.55 (.73) (.25) -- -- (.98) --
TOTAL RETURNS ---------------- BASED ENDING BASED ON NET ENDING ON NET ASSET MARKET MARKET ASSET VALUE VALUE VALUE** VALUE** ----------------- ---------------- Connecticut Premium Income (NTC) Year Ended 5/31: 2001 $14.20 $16.1000 25.91% 16.57% 2000 12.92 13.5000 (14.85) (4.87) 1999 14.44 16.7500 13.50 5.22 1998 14.49 15.5000 15.61 12.39 1997 13.63 14.1250 9.58 11.01 Connecticut Dividend Advantage (NFC) Year Ended 5/31: 2001(a) 13.88 15.3400 3.71 (1.67) Georgia Premium Income (NPG) Year Ended 5/31: 2001 14.15 15.3500 30.41 16.98 2000 12.80 12.4375 (18.84) (5.87) 1999 14.45 16.2500 13.42 4.64 1998 14.58 15.0625 14.56 12.43 1997 13.70 13.8750 19.95 11.53 Massachusetts Premium Income (NMT) Year Ended 5/31: 2001 14.26 15.3300 15.71 14.72 2000 13.17 14.0000 (7.66) (4.79) 1999 14.72 16.0625 2.48 4.47 1998 14.91 16.5000 18.08 11.91 1997 14.11 14.7500 13.76 10.28 Massachusetts Dividend Advantage (NMB) Year Ended 5/31: 2001(b) 13.88 14.8000 .13 (1.61) Missouri Premium Income (NOM) Year Ended 5/31: 2001 13.97 14.2500 17.41 15.48 2000 12.77 12.8125 (4.35) (4.63) 1999 14.20 14.1875 5.24 3.64 1998 14.44 14.1875 14.53 11.31 1997 13.68 13.0625 10.53 10.09
RATIOS/SUPPLEMENTAL DATA ------------------------------------------------------------------------------------------------------------------- BEFORE CREDIT AFTER CREDIT** ------------------------------------------------- ---------------------------------------------------------- RATIO OF NET RATIO OF NET RATIO OF NET RATIO OF NET RATIO OF INVESTMENT RATIO OF INVESTMENT RATIO OF INVESTMENT RATIO OF INVESTMENT EXPENSES INCOME TO EXPENSES INCOME TO EXPENSES INCOME TO EXPENSES INCOME TO TO AVERAGE AVERAGE TO AVERAGE AVERAGE TO AVERAGE AVERAGE TO AVERAGE AVERAGE ENDING NET ASSETS NET ASSETS TOTAL TOTAL NET ASSETS NET ASSETS TOTAL TOTAL NET APPLICABLE APPLICABLE NET ASSETS NET ASSETS APPLICABLE APPLICABLE NET ASSETS NET ASSETS PORTFOLIO ASSETS TO COMMON TO COMMON INCLUDING INCLUDING TO COMMON TO COMMON INCLUDING INCLUDING TURNOVER (000) SHARES++ SHARES++ PREFERRED++ PREFERRED++ SHARES++ SHARES++ PREFERRED++ PREFERRED++ RATE - ------------------------------------------------------------------------------------------------------------------------------------ Connecticut Premium Income (NTC) Year Ended 5/31: 2001 $112,942 1.33% 7.36% .87% 4.83% 1.31% 7.39% .86% 4.84% 8% 2000 105,879 1.36 7.87 .88 5.08 1.32 7.91 .85 5.10 19 1999 113,465 1.32 6.83 .88 4.54 1.30 6.84 .87 4.55 7 1998 113,384 1.33 7.02 .88 4.61 1.33 7.02 .88 4.61 13 1997 108,524 1.38 7.46 .89 4.79 1.38 7.46 .89 4.79 18 Connecticut Dividend Advantage (NFC) Year Ended 5/31: 2000(a) 54,755 1.22* 4.10* .91* 3.07* .80* 4.52* .60* 3.38* 29 Georgia Premium Income (NPG) Year Ended 5/31: 2001 80,968 1.41 7.67 .92 4.99 1.40 7.68 .91 5.00 15 2000 75,791 1.43 7.73 .91 4.95 1.40 7.76 .90 4.97 17 1999 81,822 1.34 6.87 .89 4.57 1.33 6.88 .89 4.57 14 1998 82,152 1.33 7.10 .87 4.66 1.33 7.10 .87 4.66 17 1997 78,697 1.40 7.52 .90 4.83 1.40 7.52 .90 4.83 30 Massachusetts Premium Income (NMT) Year Ended 5/31: 2001 100,579 1.37 7.46 .90 4.91 1.35 7.48 .89 4.92 14 2000 95,323 1.32 7.71 .86 5.02 1.31 7.73 .85 5.03 11 1999 102,288 1.30 6.87 .88 4.61 1.30 6.88 .87 4.62 11 1998 102,936 1.31 7.22 .88 4.81 1.31 7.22 .88 4.81 17 1997 99,006 1.34 7.63 .88 4.99 1.34 7.63 .88 4.99 22 Massachusetts Dividend Advantage (NMB) Year Ended 5/31: 2000(b) 41,951 1.28* 4.84* .95* 3.57* .84* 5.28* .62* 3.90* 18 Missouri Premium Income (NOM) Year Ended 5/31: 2001 46,508 1.39 7.48 .91 4.86 1.38 7.50 .90 4.87 31 2000 43,701 1.48 7.49 .95 4.80 1.47 7.51 .94 4.81 23 1999 46,603 1.44 6.72 .95 4.44 1.43 6.72 .95 4.44 10 1998 46,935 1.47 7.03 .97 4.60 1.47 7.03 .97 4.60 25 1997 45,224 1.54 7.38 .99 4.74 1.54 7.38 .99 4.74 36
MUNICIPAL AUCTION RATE CUMULATIVE PREFERRED STOCK AT END OF PERIOD - ------------------------------------------------ AGGREGATE LIQUIDATION AMOUNT AND MARKET ASSET OUTSTANDING VALUE COVERAGE (000) PER SHARE PER SHARE - ------------------------------------------------ Connecticut Premium Income (NTC) Year Ended 5/31: 2001 $38,300 $25,000 $73,722 2000 38,300 25,000 69,112 1999 38,300 25,000 74,063 1998 38,300 25,000 74,010 1997 38,300 25,000 70,838 Connecticut Dividend Advantage (NFC) Year Ended 5/31: 2001(a) 19,500 25,000 70,198 Georgia Premium Income (NPG) Year Ended 5/31: 2001 27,800 25,000 72,813 2000 27,800 25,000 68,157 1999 27,800 25,000 73,581 1998 27,800 25,000 73,878 1997 27,800 25,000 70,771 Massachusetts Premium Income (NMT) Year Ended 5/31: 2001 34,000 25,000 73,955 2000 34,000 25,000 70,091 1999 34,000 25,000 75,212 1998 34,000 25,000 75,688 1997 34,000 25,000 72,799 Massachusetts Dividend Advantage (NMB) Year Ended 5/31: 2001(b) 15,000 25,000 69,919 Missouri Premium Income (NOM) Year Ended 5/31: 2001 16,000 25,000 72,669 2000 16,000 25,000 68,282 1999 16,000 25,000 72,817 1998 16,000 25,000 73,336 1997 16,000 25,000 70,663 * Annualized. ** Total Investment Return on Market Value is the combination of reinvested dividend income, reinvested capital gains distributions, if any, and changes in stock price per share. Total Return on Net Asset Value is the combination of reinvested dividend income, reinvested capital gains distributions, if any, and changes in net asset value per share. Total returns are not annualized. *** After custodian fee credit and expense reimbursement, where applicable. + The amounts shown are based on Common share equivalents. ++ Ratios do not reflect the effect of dividend payments to Preferred shareholders; income ratios reflect income earned on assets attributable to Preferred shares. (a) For the period January 26, 2001 (commencement of operations) through May 31, 2001. (b) For the period January 31, 2001 (commencement of operations) through May 31, 2001. Build Your Wealth Automatically Sidebar text: Nuveen makes reinvesting easy. A phone call is all it takes to set up your reinvestment account. Nuveen Exchange-Traded Funds Dividend Reinvestment Plan Your Nuveen Exchange-Traded Fund allows you to conveniently reinvest dividends and/or capital gains distributions in additional fund shares. By choosing to reinvest, you'll be able to invest money regularly and automatically, and watch your investment grow through the power of tax-free compounding. Just like dividends or distributions in cash, there may be times when income or capital gains taxes may be payable on dividends or distrib utions that are reinvested. It is important to note that an automatic reinvest ment plan does not ensure a profit, nor does it protect you against loss in a declining market. Easy and convenient To make recordkeeping easy and convenient, each month you'll receive a statement showing your total dividends and distributions, the date of investment, the shares acquired and the price per share, and the total number of shares you own. How shares are purchased The shares you acquire by reinvesting will either be purchased on the open market or newly issued by the Fund. If the shares are trading at or above net asset value at the time of valuation, the Fund will issue new shares at the then-current market price. If the shares are trading at less than net asset value, shares for your account will be purchased on the open market. Dividends and distributions received to purchase shares in the open market will normally be invested shortly after the dividend payment date. No interest will be paid on dividends and distributions awaiting reinvestment. Because the market price of shares may increase before purchases are completed, the average purchase price per share may exceed the market price at the time of valuation, resulting in the acquisition of fewer shares than if the dividend or distribution had been paid in shares issued by the Fund. A pro rata portion of any applicable brokerage commissions on open market purchases will be paid by Plan participants. These commissions usually will be lower than those charged on individual transactions. Flexibility You may change your distribution option or withdraw from the Plan at any time, should your needs or situation change. Should you withdraw, you can receive a certificate for all whole shares credited to your reinvestment account and cash payment for fractional shares, or cash payment for all reinvestment account shares, less brokerage commissions and a $2.50 service fee. You can reinvest whether your shares are registered in your name, or in the name of a brokerage firm, bank, or other nominee. Ask your investment advisor if his or her firm will participate on your behalf. Participants whose shares are registered in the name of one firm may not be able to transfer the shares to another firm and continue to participate in the Plan. The Fund reserves the right to amend or terminate the Plan at any time. Although the Fund reserves the right to amend the Plan to include a service charge payable by the participants, there is no direct service charge to participants in the Plan at this time. For more information on the Nuveen Automatic Reinvestment Plan or to enroll in or withdraw from the Plan, speak with your financial advisor or call us at (800) 257-8787. Fund Information BOARD OF TRUSTEES Robert P. Bremner Lawrence H. Brown Anne E. Impellizzeri Peter R. Sawers William J. Schneider Timothy R. Schwertfeger Judith M. Stockdale FUND MANAGER Nuveen Advisory Corp. 333 West Wacker Drive Chicago, IL 60606 CUSTODIAN, TRANSFER AGENT AND SHAREHOLDER SERVICES J.P. Morgan Chase &Co. 4 New York Plaza New York, NY 10004-2413 (800) 257-8787 LEGAL COUNSEL Morgan, Lewis & Bockius LLP Washington, D.C. INDEPENDENT AUDITORS Ernst & Young LLP Chicago, IL Each Fund intends to repurchase shares of its own common or preferred stock in the future at such times and in such amounts as is deemed advisable. No shares were repurchased during the twelve-month period ended May 31, 2001. Any future repurchases will be reported to shareholders in the next annual or semiannual report. Serving Investors for Generations photo of: John Nuveen, Sr. John Nuveen, Sr. For over a century, generations of Americans have relied on Nuveen Investments to help them grow and keep the money they've earned. Financial advisors, investors and their families have associated Nuveen Investments with quality, expertise and dependability since 1898. That is why financial advisors have entrusted the assets of more than 1.3 million investors to Nuveen. With the know-how that comes from a century of experience, Nuveen continues to build upon its reputation for quality. Now, financial advisors and investors can count on Nuveen Investments to help them design customized solutions that meet the far-reaching financial goals unique to family wealth strategies - solutions that can translate into legacies. To find out more about how Nuveen Investments' products and services can help you preserve your financial security, talk with your financial advisor, or call us at (800) 257-8787 for more information, including a prospectus where applicable. Please read that information carefully before you invest. Invest well Look ahead. LEAVE YOUR MARK.SM Logo: NUVEEN Investments Nuveen Investments o 333 West Wacker Drive Chicago, IL 60606 o www.nuveen.com FAN-3-5-01 -----END PRIVACY-ENHANCED MESSAGE-----