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SIGNATURE NEAL J. ANDREWS TITLE CFO |
BlackRock Municipal Income Trust II File No. 811-21126 Item No. 77I (Terms of New or Amended Securities) -- Attachment
A copy of an amendment to the Statement of Preferences of Variable Rate Muni Term Preferred Shares is attached under Sub-Item 77Q1(a).
BlackRock Municipal Income Trust II File No. 811-21126 Item No. 77Q1(a) (Copies of Material Amendments to Registrant's Charter or By-laws) -- Attachment
Exhibit 77Q1(a)
BLACKROCK MUNICIPAL INCOME TRUST II
AMENDMENT TO
STATEMENT OF PREFERENCES OF
VARIABLE RATE MUNI TERM PREFERRED SHARES ("VMTP SHARES")
DATED DECEMBER 15, 2011
(THE "STATEMENT OF PREFERENCES")
The undersigned officer of BlackRock Municipal Income Trust II (the "Trust"), a Delaware statutory trust, hereby certifies as follows:
1. The Board of Trustees of the Trust (with the consent of the Holders (as
defined in the Statement of Preferences) of the VMTP Shares required under
Section 5 of the Statement of Preferences) has adopted resolutions to amend the
Statement of Preferences as follows:
The Statement of Preferences of the Trust is hereby amended by deleting Appendix A to the Statement of Preferences and replacing it with the Appendix A attached hereto.
2. Except as amended hereby, the Statement of Preferences remains in full force and effect.
3. An original copy of this amendment shall be lodged with the records of the Trust and filed in such places as the Trustees deem appropriate.
[SIGNATURE PAGE FOLLOWS]
IN WITNESS WHEREOF, BlackRock Municipal Income Trust II, has caused these presents to be signed as of April 13, 2016 in its name and on its behalf by its Vice President and attested by its Secretary. Said officers of the Trust have executed this amendment as officers and not individually, and the obligations and rights set forth in this amendment are not binding upon any such officers, or the trustees or shareholders of the Trust, individually, but are binding only upon the assets and property of the Trust.
BLACKROCK MUNICIPAL INCOME TRUST II
By: /s/ Jonathan Diorio ------------------------------ Name: Jonathan Diorio Title: Vice President ATTEST: /s/ Janey Ahn -------------------------- Name: Janey Ahn Title: Secretary |
APPENDIX A
ELIGIBLE ASSETS
On the Date of Original Issue and at all times thereafter that the VMTP Preferred Shares are Outstanding:
1. "Eligible Assets" are defined to consist only of assets that conform to the following requirements as of the time of investment:
A. Debt obligations. The following debt obligations which are not in payment default at the time of investment:
i. "Municipal securities," defined as obligations of a State, the District of Columbia, a U.S. territory, or a political subdivision thereof and including general obligations, limited obligation bonds, revenue bonds, and obligations that satisfy the requirements of section 142(b)(1) of the Internal Revenue Code of 1986 issued by or on behalf of any State, the District of Columbia, any U.S. territory or any political subdivision thereof, including any municipal corporate instrumentality of 1 or more States, or any public agency or authority of any State, the District of Columbia, any U.S. territory or any political subdivision thereof. The purchase of any municipal security will be based upon the Investment Adviser's assessment of an asset's relative value in terms of current yield, price, credit quality, and future prospects; and the Investment Adviser will monitor the creditworthiness of the Trust's portfolio investments and analyze economic, political and demographic trends affecting the markets for such assets.
ii. Debt obligations of the United States.
iii. Debt obligations issued, insured, or guaranteed by a department or an agency of the U.S. Government, if the obligation, insurance, or guarantee commits the full faith and credit of the United States for the repayment of the obligation.
iv. Debt obligations of the Washington Metropolitan Area Transit
Authority guaranteed by the Secretary of Transportation under
Section 9 of the National Capital Transportation Act of 1969.
v. Debt obligations of the Federal Home Loan Banks.
vi. Debt obligations, participations or other instruments of or issued by the Federal National Mortgage Association or the Government National Mortgage Association.
vii. Debt obligations which are or ever have been sold by the Federal Home Loan Mortgage Corporation pursuant to sections 305 or 306 of the Federal Home Loan Mortgage Corporation Act.
viii. Debt obligations of any agency named in 12 U.S.C. (S) 24(Seventh) as eligible to issue obligations that a national bank may underwrite, deal in, purchase and sell for the bank's own account, including qualified Canadian government obligations.
ix. Debt obligations of issuers other than those specified in (i) through (viii) above that are rated in one of the three highest rating categories by two or more NRSROs, or by one NRSRO if the security has been rated by only one NRSRO, and which have been determined by the Trust, based on the Trust's internal credit due diligence, to be securities where the issuer has adequate capacity to meet financial commitments under the security for the projected life of the security such that the lack of default on the security such that the risk of default on the security is low, and the full and timely repayment of principal and interest is expected, and that are "marketable". For these purposes, an obligation is "marketable" if:
. it is registered under the Securities Act;
. it is offered and sold pursuant to Securities and Exchange Commission Rule 144A; 17 CFR 230.144A; or
. it can be sold with reasonable promptness at a price that corresponds reasonably to its fair value.
x. Certificates or other securities evidencing ownership interests in a municipal bond trust structure (generally referred to as a tender option bond structure) that invests in (a) debt obligations of the types described in (i) above or (b) depository receipts reflecting ownership interests in accounts holding debt obligations of the types described in (i) above.
An asset shall not fail to qualify as an Eligible Asset solely by virtue of the fact that:
. it provides for repayment of principal and interest in any form including fixed and floating rate, zero interest, capital appreciation, discount, leases, and payment in kind; or
. it is for long-term or short-term financing purposes.
B. Derivatives
i. Interest rate derivatives; or
ii. Swaps, credit default swaps, futures, forwards, structured notes, options and swaptions related to Eligible Assets or on an index related to Eligible Assets.
C. Other Assets
i. (A) Shares of other investment companies registered under Section 8 of the Investment Company Act of 1940 (open- or closed-end funds and ETFs) the assets of which consist entirely of Eligible Assets based on the Investment Adviser's assessment of the assets of each such investment company taking into account the investment company's most recent publicly available schedule of investments and publicly disclosed investment policies.
(B) Notwithstanding Paragraph C.i.(A) above, the Trust shall be permitted, subject to Applicable Law, to invest up to five percent (5%) of the Trust's Managed Assets as of the time of investment in securities issued by a money-market fund (each, an "Eligible Money-Market Fund") that is (a) registered under the Investment Company Act of 1940, and (b) affiliated with the Investment Adviser; provided that if the Investment Advisor represents that the Eligible Money-Market Fund meets the requirements of Paragraph C.i.(A) above, the amount of such Managed Assets invested in any such Eligible Money-Market Fund meeting the requirements of Paragraph C.i.(A) above shall be excluded from the foregoing five percent (5%) limitation.
ii. Cash.
iii. Repurchase agreements on assets described in A above.
iv. Taxable fixed-income securities issued by an issuer described in Paragraph 1(A) (a "Permitted Issuer") that are not in default at the time of acquisition, acquired for the purpose of influencing control over such Permitted Issuer or creditor group of municipal bonds of such Permitted Issuer (a) the Trust already owns and (b) which have deteriorated or are expected shortly to deteriorate, with the expectation that such investment should enable the Trust to better maximize the value of its existing investment in such issuer, provided that the taxable fixed-income securities of such issuer so acquired do not constitute more than 0.5% of the Trust's Managed Assets as of the time of investment.
2. At any time that VMTP Preferred Shares are outstanding, for any investment company the securities of which are held by the Trust, the Trust will provide or make available the following information to the Holders within 10 days after the public quarterly release of such information and on the Date of Original Issue (for the reporting period having ended most recently prior to the closing):
i. the identity of the investment company and the CUSIP Number, the number of shares owned, as of the end of the prior quarter, and the percentage of the investment company's equity represented by the Trust's investment, as of the end of the prior quarter;
ii. other than in the case of an investment in an Eligible Money-Market Fund, a representation that each such investment company invests solely in "Eligible Assets," which representation may be based upon the affirmative representation of the underlying investment company's investment adviser; and
iii. other than in the case of an investment in an Eligible Money-Market Fund, the information contained in the most recently released financial statements of each such underlying investment company relating to the portfolio holdings of each such investment company.
BlackRock Municipal Income Trust II
File No. 811-21126
Item No. 77Q1(d) (Copies of All Constituent Instruments Referred to in Sub-Item
77I) -- Attachment
A copy of an amendment to the Statement of Preferences of Variable Rate Muni Term Preferred Shares is attached under Sub-Item 77Q1(a).
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
TO THE SHAREHOLDERS AND BOARDS OF TRUSTEES OF BLACKROCK MUNICIPAL BOND TRUST, BLACKROCK MUNICIPAL INCOME INVESTMENT QUALITY TRUST, BLACKROCK MUNICIPAL INCOME QUALITY TRUST, BLACKROCK MUNICIPAL INCOME TRUST II, AND BLACKROCK MUNIHOLDINGS INVESTMENT QUALITY FUND, AND TO THE SHAREHOLDERS AND BOARD OF DIRECTORS OF BLACKROCK MUNIVEST FUND, INC.:
In planning and performing our audits of the financial statements of BlackRock Municipal Bond Trust, BlackRock Municipal Income Investment Quality Trust, BlackRock Municipal Income Quality Trust, BlackRock Municipal Income Trust II, BlackRock MuniHoldings Investment Quality Fund, and BlackRock MuniVest Fund, Inc. (collectively, the "Trusts"), as of and for the year ended August 31, 2016, in accordance with the standards of the Public Company Accounting Oversight Board (United States), we considered the Trusts' internal control over financial reporting, including controls over safeguarding securities, as a basis for designing our auditing procedures for the purpose of expressing our opinion on the financial statements and to comply with the requirements of Form N-SAR, but not for the purpose of expressing an opinion on the effectiveness of the Trusts' internal control over financial reporting. Accordingly, we express no such opinion.
The management of the Trusts is responsible for establishing and maintaining effective internal control over financial reporting. In fulfilling this responsibility, estimates and judgments by management are required to assess the expected benefits and related costs of controls. A trust's internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A trust's internal control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the trust; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the trust are being made only in accordance with authorizations of management and directors/trustees of the trust; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of a trust's assets that could have a material effect on the financial statements.
Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions or that the degree of compliance with the policies or procedures may deteriorate.
A deficiency in internal control over financial reporting exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent or detect misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control over financial reporting, such that there is a reasonable possibility that a material misstatement of the trusts' annual or interim financial statements will not be prevented or detected on a timely basis.
Our consideration of the Trusts' internal control over financial reporting was for the limited purpose described in the first paragraph and would not necessarily disclose all deficiencies in internal control that might be material weaknesses under standards established by the Public Company Accounting Oversight Board (United States.) However, we noted no deficiencies in the Trusts' internal control over financial reporting and its operation, including controls for safeguarding securities that we consider to be a material weakness, as defined above, as of August 31, 2016.
This report is intended solely for the information and use of management and the Boards of Trustees of BlackRock Municipal Bond Trust, BlackRock Municipal Income Investment Quality Trust, BlackRock Municipal Income Quality Trust, BlackRock Municipal Income Trust II, and BlackRock MuniHoldings Investment Quality Fund, the management and Board of Directors of BlackRock MuniVest Fund, Inc., and the Securities and Exchange Commission and is not intended to be and should not be used by anyone other than these specified parties.
/s/ Deloitte & Touche LLP Boston, Massachusetts October 25, 2016 |
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
TO THE SHAREHOLDERS AND BOARD OF DIRECTORS OF BLACKROCK MUNIHOLDINGS NEW YORK QUALITY FUND, INC., AND TO THE SHAREHOLDERS AND BOARD OF TRUSTEES OF BLACKROCK MARYLAND MUNICIPAL BOND TRUST, BLACKROCK MASSACHUSETTS TAX-EXEMPT TRUST, BLACKROCK NEW JERSEY MUNICIPAL BOND TRUST, BLACKROCK NEW YORK MUNICIPAL BOND TRUST, BLACKROCK NEW YORK MUNICIPAL INCOME QUALITY TRUST, BLACKROCK NEW YORK MUNICIPAL INCOME TRUST II, AND BLACKROCK VIRGINIA MUNICIPAL BOND TRUST:
In planning and performing our audits of the financial statements of BlackRock MuniHoldings New York Quality Fund, Inc., BlackRock Maryland Municipal Bond Trust, BlackRock Massachusetts Tax-Exempt Trust, BlackRock New Jersey Municipal Bond Trust, BlackRock New York Municipal Bond Trust, BlackRock New York Municipal Income Quality Trust, BlackRock New York Municipal Income Trust II, and BlackRock Virginia Municipal Bond Trust (individually a "Trust" and collectively the "Trusts"), as of and for the year ended August 31, 2016, in accordance with the standards of the Public Company Accounting Oversight Board (United States), we considered the Trusts' internal control over financial reporting, including controls over safeguarding securities, as a basis for designing our auditing procedures for the purpose of expressing our opinion on the financial statements and to comply with the requirements of Form N-SAR, but not for the purpose of expressing an opinion on the effectiveness of the Trusts' internal control over financial reporting. Accordingly, we express no such opinion.
The management of the Trusts is responsible for establishing and maintaining effective internal control over financial reporting. In fulfilling this responsibility, estimates and judgments by management are required to assess the expected benefits and related costs of controls. A trust's internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A trust's internal control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the trust; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the trust are being made only in accordance with authorizations of management and the trustees of the trust; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of a trust's assets that could have a material effect on the financial statements.
Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions or that the degree of compliance with the policies or procedures may deteriorate.
A deficiency in internal control over financial reporting exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent or detect misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control over financial reporting, such that there is a reasonable possibility that a material misstatement of the Trusts' annual or interim financial statements will not be prevented or detected on a timely basis.
Our consideration of the Trusts' internal control over financial reporting was for the limited purpose described in the first paragraph and would not necessarily disclose all deficiencies in internal control that might be material weaknesses under standards established by the Public Company Accounting Oversight Board (United States). However, we noted no deficiencies in the Trusts' internal control over financial reporting and their operation, including controls for safeguarding securities that we consider to be a material weakness, as defined above, as of August 31, 2016.
This report is intended solely for the information and use of management and the Board of Directors of BlackRock MuniHoldings New York Quality Fund, Inc., and the Board of Trustees of BlackRock Maryland Municipal Bond Trust, BlackRock Massachusetts Tax-Exempt Trust, BlackRock New Jersey Municipal Bond Trust, BlackRock New York Municipal Bond Trust, BlackRock New York Municipal Income Quality Trust, BlackRock New York Municipal Income Trust II, and BlackRock Virginia Municipal Bond Trust, and the Securities and Exchange Commission and is not intended to be and should not be used by anyone other than these specified parties.
/s/ Deloitte & Touche LLP Boston, Massachusetts October 25, 2016 |
[LOGO OF BLACKROCK]
Rule 10f-3 Transaction Form
Acquisition of Securities During Affiliated Underwritings
PARTICIPATING FUNDS
. U.S. Registered Funds (Name of Fund, Aladdin Ticker):
ISHARES NATIONAL MUNI BOND ETF (ISHMUNI)
ISHARES NEW YORK MUNI BOND ETF (ISHNY)
BlackRock Municipal Income Investment Quality Trust (BAF)
BlackRock Allocation Target Shares : Series E Portfolio (BATSE)
BlackRock Municipal Income Investment Trust (BBF)
BlackRock Municipal Income Trust (BFK)
BlackRock Municipal Income Trust II (BLE)
BlackRock High Yield Municipal Fund (BR-HYMUNI)
BlackRock National Municipal Fund of Blackrock Municipal Bond Fund, Inc.
(BR-NATL)
BlackRock New York Municipal Opportunities Fund of BlackRock Multi-State Mu
(BR-NYMO)
BlackRock Strategic Municipal Trust (BSD)
BlackRock Long-Term Municipal Advantage Trust (BTA)
BlackRock Municipal Income Quality Trust (BYM)
BlackRock MuniEnhanced Fund, Inc.(MEN)
BlackRock MuniHoldings Investment Quality Fund (MFL)
BlackRock MuniYield Investment Quality Fund (MFT)
BlackRock MuniHoldings Fund, Inc. (MHD)
BlackRock MuniHoldings New York Quality Fund, Inc. (MHN)
BlackRock MuniYield Quality Fund II, Inc. (MQT)
BlackRock MuniYield Quality Fund, Inc. (MQY)
BlackRock MuniHoldings Fund II, Inc. (MUH)
BlackRock MuniVest Fund II, Inc. (MVT)
BlackRock MuniYield Fund, Inc. (MYD)
BlackRock MuniYield Investment Fund (MYF)
BlackRock MuniYield Quality Fund III, Inc. (MYI)
BlackRock MuniYield New York Quality Fund, Inc. (MYN)
THE OFFERING
KEY CHARACTERISTICS (COMPLETE ALL FIELDS)
-------------------------------------- Date of 07-21-2016 Offering Commencement: ------------------------ ------------ Security Type: BND/MUNI -------------------------------------- ------------------------------------------------------------------------------- Issuer Metropolotan Transportation Authority Transportation Revenue Bonds, Series 2016C, Subseries 2016-C-1 (2056) --------------------------- -------------------------------------------------- Selling Underwriter Wells Fargo Securities, LLC --------------------------- -------------------------------------------------- Affiliated Underwriter(s) [X] PNC Capital Markets LLC [_] Other: ------------------------------------------------------------------------------- |
Rule 10f-3 Report - Definitions [LOGO OF BLACKROCK] ------------------------------------------------------------------------------- List of Underwriter(s) Wells Fargo Securities, LLC, Drexel Hamilton, LLC, Estrada Hinojosa & Company, Rice Financial Products Company, BNYMellon Capital Markets, Merrill Lynch, Pierce, Fenner & Smith Incorporated, Citigroup Global Markets Inc, Goldman, Sachs & Co., J.P. Morgan Securities LLC, Jefferies LLC, Loop Capital Markets LLC, Morgan Stanley & Co. LLC, Samuel A. Ramirez & Company, Inc., RBC Capital Markets, LLC, Siebert Brandford Shank & Co, Academy Securities, Barclays Capital Inc., Cabrera Capital Markets, LLC, Duncan-Williams, Inc., Fidelity Capital Markets, Janney Montgomery Scott LL, Keybank Capital Markets Inc, M&T Securities, Inc, Mesirow Financial Inc, Oppenheimer & Co, Piper Jaffray & Co, PNC Capital Markets LLC, Raymond James & Associates, Inc, Roosevelt & Cross, Inc, Stern Brothers & Co., Stifel Nicolaus & Company, Inc, The Williams Capital Group, L.P, TD Securities (USA) LLC, U.S. Bancorp Investments, Inc ------------------------------------------------------------------------------- |
TRANSACTION DETAILS
------------------------------------------------------------------------------- Purchase Price/Share $119.657 (PER SHARE / % OF PAR) $122.685 Total Commission, Spread or Profit 0.463% ------------------------------------------------------------------------------- ------------------------------------------------------------------------------- 1. Aggregate Principal Amount Purchased (a+b) $104,350,000 ----------------------------------------------------------------- ------------ a. US Registered Funds (Appendix attached with individual Fund/Client purchase) $87,500,000 ----------------------------------------------------------------- ------------ b. Other BlackRock Clients $16,850,000 ----------------------------------------------------------------- ------------ 2. Aggregate Principal Amount of Offering $534,200,000 ----------------------------------------------------------------- ------------ FUND RATIO [Divide Sum of #1 by #2] Must be less than 0.25 0.19533 ------------------------------------------------------------------------------- |
Rule 10f-3 Report - Definitions [LOGO OF BLACKROCK]
LEGAL REQUIREMENTS
OFFERING TYPE (CHECK ONE)
The securities fall into one of the following transaction types (see Definitions):
[_] U.S. Registered Public [Issuer must have 3 years of continuous Offering...................... operations] [_] Eligible Rule 144A Offering... [Issuer must have 3 years of continuous operations] [X] Eligible Municipal Securities [_] Eligible Foreign Offering..... [Issuer must have 3 years of continuous operations] [_] Government Securities [Issuer must have 3 years of continuous Offering...................... operations] |
TIMING AND PRICE (CHECK ONE OR BOTH)
[X]The securities were purchased before the end of the first day on which any sales were made, at a price that was not more than the price paid by each other purchaser of securities in that offering or in any concurrent offering of the securities; and
[_]If the securities are offered for subscription upon exercise of rights, the securities were purchased on or before the fourth day before the day on which the rights offering terminated.
FIRM COMMITMENT OFFERING (CHECK ONE)
[X] YES The securities were offered pursuant to an underwriting or similar
[_] NO agreement under which the underwriters were committed to purchase
all of the securities being offered, except those purchased by
others pursuant to a rights offering, if the underwriters purchased
any of the securities.
NO BENEFIT TO AFFILIATED UNDERWRITER (CHECK ONE)
[X] YES No affiliated underwriter was a direct or indirect participant in,
[_] NO or benefited directly or indirectly from, the transaction.
Completed by: Dipankar Banerjee Date: 07-26-2016 --------------------------------------------- Global Syndicate Team Member Approved by: Date: --------------------------------------------- Global Syndicate Team Member |
Rule 10f-3 Report - Definitions [LOGO OF BLACKROCK] DEFINITIONS TERM DEFINITION Fund Ratio Number appearing at the bottom of page 1 of 2 of the Rule 10f-3 Report form. It is the sum of the Funds' participation in the offering by the Funds and other accounts managed by BlackRock divided by the total amount of the offering. Eligible Foreign Offering The securities are sold in a public offering conducted under the laws of a country other than the United States and (a)the offering is subject to regulation in such country by a "foreign financial regulatory authority," as defined in Section 2(a)(50) of the Investment Company Act of 1940; (b)the securities were offered at a fixed price to all purchasers in the offering (except for any rights to purchase securities that are required by law to be granted to existing security holders of the issuer); (c)financial statements, prepared and audited as required or permitted by the appropriate foreign financial regulatory authority in such country, for the two years prior to the offering, were made available to the public and prospective purchasers in connection with the offering; and (d)if the issuer is a "domestic issuer," i.e., other than a foreign government, a national of any foreign country, or a corporation or other organization incorporated or organized under the laws of any foreign country, it (1) has a class of securities registered pursuant to section 12(b) or 12(g) of the Securities Exchange Act of 1934 or is required to file reports pursuant to section 15(d) of that act, and (2) has filed all the material required to be filed pursuant to section 13(a) or 15(d) of that act for a period of at least 12 months immediately preceding the sale of securities (or for such shorter period that the issuer was required to file such material) |
Rule 10f-3 Report - Definitions [LOGO OF BLACKROCK] TERM DEFINITION Eligible Municipal Securities The securities: (a)are direct obligations of, or obligations guaranteed as to principal or interest by, a State or any political subdivision thereof, or any agency or instrumentality of a State or any political subdivision thereof, or any municipal corporate instrumentality of one or more States, or any security which is an industrial development bond (as defined in section 103(c)(2) of Title 26) the interest on which is excludable from gross income under certain provisions of the Internal Revenue Code; (b)are sufficiently liquid that they can be sold at or near their carrying value within a reasonably short period of time; and (c)either (1)are subject to no greater than moderate credit risk; or (2)if the issuer of the municipal securities, or the entity supplying the revenues or other payments from which the issue is to be paid, has been in continuous operation for less than three years, including the operation of any predecessors, the securities are subject to a minimal or low amount of credit risk. Also, purchases of municipal securities may not be designated as group sales or otherwise allocated to the account of any prohibited seller (i.e., an affiliated underwriter). Eligible Rule 144A Offering The securities are sold in an offering where (a)the securities are offered or sold in transactions exempt from registration under Section 4(2) of the Securities Act of 1933, Rule 144A thereunder, or Rules 501-508 thereunder; (b)the securities were sold to persons that the seller and any person acting on behalf of the seller reasonably believe to include qualified institutional buyers, as defined in Rule 144A ("QIBs"); and (c)the seller and any person acting on behalf of the seller reasonably believe that the securities are eligible for resale to other QIBs pursuant to Rule 144A. Government Securities Offering The security is issued or guaranteed as to principal or interest by the United States, or by a person controlled or supervised by and acting as an instrumentality of the Government of the United States pursuant to authority granted by the Congress of the United States; or any certificate of deposit for any of the foregoing. |
Rule 10f-3 Report - Definitions [LOGO OF BLACKROCK] TERM DEFINITION |
U.S. Registered Public Offering. The securities offered are registered under the Securities Act of 1933 that are being offered to the public.