UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number 811-22253
Nuveen Municipal Value Fund 2
(Exact name of registrant as specified in charter)
Nuveen Investments
333 West Wacker Drive
Chicago, IL 60606
(Address of principal executive offices) (Zip code)
Kevin J. McCarthy
Nuveen Investments
333 West Wacker Drive
Chicago, IL 60606
(Name and address of agent for service)
Registrant's telephone number, including area code: (312) 917-7700
Date of fiscal year end: October 31
Date of reporting period: April 30, 2009
Form N-CSR is to be used by management investment companies to file reports with
the Commission not later than 10 days after the transmission to stockholders of
any report that is required to be transmitted to stockholders under Rule 30e-1
under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may
use the information provided on Form N-CSR in its regulatory, disclosure review,
inspection, and policymaking roles.
A registrant is required to disclose the information specified by Form N-CSR,
and the Commission will make this information public. A registrant is not
required to respond to the collection of information contained in Form N-CSR
unless the Form displays a currently valid Office of Management and Budget
("OMB") control number. Please direct comments concerning the accuracy of the
information collection burden estimate and any suggestions for reducing the
burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW,
Washington, DC 20549-0609. The OMB has reviewed this collection of information
under the clearance requirements of 44 U.S.C. ss. 3507.
ITEM 1. REPORTS TO STOCKHOLDERS.
LOGO: NUVEEN Investments
Closed-End Funds
Nuveen Investments
Municipal Closed-End Funds
IT'S NOT WHAT YOU EARN, IT'S WHAT YOU KEEP.(R)
Semi-Annual Report
April 30, 2009
--------------------------------------------------------------------------------
----------------- ----------------- -----------------
NUVEEN MUNICIPAL NUVEEN MUNICIPAL NUVEEN MUNICIPAL
VALUE FUND, INC. VALUE FUND 2 INCOME FUND, INC.
NUV NUW NMI
(April 09)
|
LIFE IS COMPLEX.
Nuveen makes things e-simple.
It only takes a minute to sign up for e-Reports. Once enrolled, you'll receive
an e-mail as soon as your Nuveen Investments Fund information is ready. No more
waiting for delivery by regular mail. Just click on the link within the e-mail
to see the report and save it on your computer if you wish.
Free e-Reports right to your e-mail!
www.investordelivery.com
If you receive your Nuveen Fund dividends and statements from your financial
advisor or brokerage account.
OR
www.nuveen.com/accountaccess
If you receive your Nuveen Fund dividends and statements directly from Nuveen.
LOGO: NUVEEN Investments
Chairman's
Letter to Shareholders
[PHOTO OF ROBERT P. BREMNER]
DEAR SHAREHOLDERS,
The problems in the U.S. financial system and the slowdown in global economic
activity continue to create a very difficult environment for the U.S. economy.
The administration, the Federal Reserve System and Congress have initiated a
variety of programs directed at restoring liquidity to the financial markets,
providing financial support for critical financial institutions and stimulating
economic activity. There are encouraging signs that these initiatives are
beginning to have a constructive impact. It is not possible to predict whether
the actions taken to date will be sufficient to restore more normal conditions
in the financial markets or enable the economy to stabilize and set a course
toward recovery. However, the speed and scope of the government's actions are
very encouraging and, more importantly, reflect a commitment to act decisively
to meet the economic challenges we face.
The performance information in the attached report reflects the impact of many
forces at work in the equity and fixed income markets. The comments by the
portfolio managers describe the strategies being used to pursue your Fund's
long-term investment goals. Parts of the financial markets continue to
experience serious dislocations and thorough research and strong investment
disciplines have never been more important in identifying risks and
opportunities. I hope you will read this information carefully.
Your Board is particularly sensitive to our shareholders' concerns in these
uncertain times. We believe that frequent and thorough communication is
essential in this regard and encourage you to visit the Nuveen website:
www.nuveen.com, for recent developments in all Nuveen funds. We also encourage
you to communicate with your financial consultant for answers to your questions
and to seek advice on your long-term investment strategy in the current market
environment.
On behalf of myself and the other members of your Fund's Board, we look forward
to continuing to earn your trust in the months and years ahead.
Sincerely,
/s/ Robert P. Bremner
Robert P. Bremner
Chairman of the Nuveen Fund Board
June 19, 2009
|
Nuveen Investments 3
Portfolio Managers' Comments
Nuveen Investments Municipal Closed-End Funds NUV, NUW, NMI
Portfolio managers Tom Spalding and Johnathan Wilhelm review key investment
strategies and the six-month performance of NUV and NMI, and the initial
investment period for NUW. With 33 years of investment experience at Nuveen, Tom
has managed NUV since its inception in 1987. In February 2009, he added
portfolio management responsibility for the newly introduced Nuveen Municipal
Value Fund 2 (NUW). Johnathan, who came to Nuveen in 2001 with 19 years of
industry experience, has served as co-portfolio manager of NMI since 2007, and
assumed full portfolio management responsibility for this Fund in March 2009.
WHAT KEY STRATEGIES WERE USED TO MANAGE THE FUNDS DURING THE SIX-MONTH PERIOD
ENDED APRIL 30, 2009?
During this time, the municipal market remained under pressure from price
volatility, reduced liquidity, and fundamental economic concerns. After a very
difficult start to the period, market conditions began to show signs of
improvement in mid-December 2008, and municipal bonds were on an improving trend
during the first four months of 2009. In this environment, we continued to focus
on finding bonds that offered relative value while seeking to invest for the
long term.
Much of our investment activity during this period was driven by opportunities
created by market conditions. We sought to capitalize on this environment by
continuing to take a bottom-up approach to finding undervalued sectors and
individual credits with the potential to perform well over the long term. This
was true in both the new issuance and secondary markets. In the new issuance
market, we found bonds with better structures (such as higher coupons or longer
call protection) than we had seen in a long time, as market conditions required
issuers to enhance offerings to make them more attractive to buyers. In the
secondary markets, we were able to purchase bonds, especially lower-rated
issues, at discounted prices as the result of selling by some municipal market
participants, particularly in November and December 2008.
Our focus in both Funds was on bonds issued by essential service providers,
including water and sewer, utilities, local public schools, hospitals and state
and local general obligation and other tax-backed bonds. During the latter part
of this period, NMI took advantage of attractive prices to add bonds that have
been out of favor with the market, but which we believe have good performance
potential over the next few years, such as community development district and
tobacco bonds. In general, we focused our purchases on bonds with longer
maturities. Overall, we kept the portfolio profile of NUV and NMI--in terms of
maturity, credit and sector allocations--relatively unchanged.
CERTAIN STATEMENTS IN THIS REPORT ARE FORWARD-LOOKING STATEMENTS. DISCUSSIONS OF
SPECIFIC INVESTMENTS ARE FOR ILLUSTRATION ONLY AND ARE NOT INTENDED AS
RECOMMENDATIONS OF INDIVIDUAL INVESTMENTS. THE FORWARD-LOOKING STATEMENTS AND
OTHER VIEWS EXPRESSED HEREIN ARE THOSE OF THE PORTFOLIO MANAGERS AS OF THE DATE
OF THIS REPORT. ACTUAL FUTURE RESULTS OR OCCURRENCES MAY DIFFER SIGNIFICANTLY
FROM THOSE ANTICIPATED IN ANY FORWARD-LOOKING STATEMENTS AND THE VIEWS EXPRESSED
HEREIN ARE SUBJECT TO CHANGE AT ANY TIME, DUE TO NUMEROUS MARKET AND OTHER
FACTORS. THE FUNDS DISCLAIM ANY OBLIGATION TO UPDATE PUBLICLY OR REVISE ANY
FORWARD-LOOKING STATEMENTS OR VIEWS EXPRESSED HEREIN.
4 Nuveen Investments
In both NUV and NMI, some of the cash for new purchases was generated by bond
calls and redemptions. In NMI, we also monitored the types of credits and bond
structures that were attractive to the retail market and took advantage of
strong bids to sell selected bonds, including pre-refunded bonds(1) and
utilities issues, into relatively consistent retail demand. The bonds we sold
tended to have shorter maturities, as these generally were in greater demand by
retail buyers.
During this period, we continued to use inverse floating rate securities(2) in
both NUV and NMI. We employed inverse floaters for a variety of reasons,
including duration(3) management and income enhancement. NMI also invested in
additional types of derivatives(4) intended to help manage its duration and net
asset value (NAV) volatility without having a negative impact on its income
stream or dividends over the short term. As of April 30, 2009, the inverse
floaters remained in place in both Funds, while we had removed the derivative
positions from NMI.
In February 2009, we introduced the Nuveen Municipal Value Fund 2 (NUW),
which--like NUV--was established as an unleveraged Fund that invests in a
diversified portfolio of tax-exempt municipal obligations. During the period
between the Fund's inception and April 30, 2009, we focused on the successful
completion of the Fund's initial investment phase. By the period end, NUW was
fully invested and had met and/or exceeded all of its targeted objectives in
terms of individual credit quality, diversification, and yield expectations. Our
purchases during the investment phase primarily focused on bonds that we
believed would achieve the portfolio's objective of providing attractive monthly
income exempt from federal taxes, including the alternative minimum tax (AMT),
and attractive after-tax total returns over the long term. This included bonds
that offered longer maturities, good call protection, and diversification in
terms of credit quality and sector, such as general and limited tax obligations,
health care, transportation, utilities, and other essential services bonds.
HOW DID THE FUNDS PERFORM?
Individual results for these Funds, as well as relevant index and peer group
information, are presented in the accompanying table.
AVERAGE ANNUAL TOTAL RETURNS ON NET ASSET VALUE*
FOR PERIODS ENDED 4/30/09
SIX-MONTH 1-YEAR 5-YEAR 10-YEAR
----------------------------------------------------------------------------------------------
NUV 6.69% -3.61% 3.18% 3.96%
NUW** 3.59% N/A N/A N/A
NMI 7.74% -2.38% 3.48% 3.39%
Lipper General and Insured Unleveraged Municipal Debt
Funds Average(5) 6.51% -1.84% 3.17% 3.77%
Barclays Capital Municipal Bond Index(6) 8.20% 3.11% 4.11% 4.78%
S&P National Municipal Bond Index(7) 7.73% 1.14% 3.84% 4.61%
----------------------------------------------------------------------------------------------
|
* Six-month returns are cumulative; returns for one-year, five-year, and
ten-year are annualized.
** NUW's cumulative return represents the period from its inception on
February 25, 2009, through April 30, 2009.
Past performance is not predictive of future results. Current performance
may be higher or lower than the data shown. Returns do not reflect the
deduction of taxes that shareholders may have to pay on Fund distributions
or upon the sale of Fund shares.
For additional information, see the individual Performance Overview for
your Fund in this report.
(1) Pre-refundings, also known as advance refundings or refinancings, occur
when an issuer sells new bonds and uses the proceeds to fund principal and
interest payments of older existing bonds. This process often results in
lower borrowing costs for bond issuers.
(2) An inverse floating rate security, also known as inverse floaters, is a
financial instrument designed to pay long-term tax-exempt interest at a
rate that varies inversely with a short-term tax-exempt interest rate
index. For the Nuveen Funds, the index typically used is the Securities
Industry and Financial Markets (SIFM) Municipal Swap Index (previously
referred to as the Bond Market Association Index or BMA). Inverse
floaters, including those inverse floating rate securities in which the
Funds invested during the reporting period, are further defined within the
Notes to Financial Statements and Glossary of Terms Used in this Report
sections of this report.
(3) Duration is a measure of a bond's price sensitivity as interest rates
change, with longer duration bonds displaying more sensitivity to these
changes than bonds with shorter durations.
(4) Each Fund may invest in derivative instruments such as forwards, futures,
options and swap transactions. For additional information on the
derivative instruments in which each Fund was invested during and at the
end of the reporting period, see the Portfolio of Investments, Financial
Statements, and Notes to Financial Statements sections of this report.
(5) The Lipper General and Insured Unleveraged Municipal Debt Funds Average is
calculated using the returns of all closed-end funds in this category for
each period as follows: six-months, 8 funds; one-year, 8 funds; five-year,
7 funds; and ten-year, 7 funds. Fund and Lipper returns assume
reinvestment of dividends.
(6) The Barclays Capital (formerly Lehman Brothers) Municipal Bond Index is an
unlever-aged, unmanaged national index comprising a broad range of
investment-grade municipal bonds. Results for the Barclays Capital index
do not reflect any expenses.
(7) The Standard & Poor's (S&P) National Municipal Bond Index is an
unleveraged, market value-weighted index designed to measure the
performance of the U.S. municipal bond market.
Nuveen Investments 5
For the six months ended April 30, 2009, the cumulative returns on net asset
value (NAV) for NUV and NMI outperformed the average return for the Lipper
General and Insured Unleveraged Municipal Debt Funds Average. The six-month
return for NMI slightly exceeded the return on the Standard & Poor's (S&P)
National Municipal Bond Index, while NUV lagged this return. Both Funds
underperformed the Barclays Capital Municipal Bond Index for this period. As
noted previously, NUW's return represents just the two-month period between its
inception and April 30, 2009.
Key management factors that influenced the Funds' returns during this period
included duration and yield curve positioning, the use of derivatives, credit
and sector allocations and individual security selection.
Over this period, the municipal bond yield curve remained steep with longer-term
yields significantly higher than shorter-term yields. Bonds in the Barclays
Capital Municipal Bond Index maturing in ten years or more, especially bonds
with maturities of approximately 15 years and 22 years and longer benefited the
most from this interest rate environment. Both NUM and NMI had good exposure to
the longer parts of the yield curve, which benefited their performances during
this period.
As mentioned earlier, NUV and NMI continued to use inverse floating rate
securities. During this six-month period these instruments generally had a
positive impact on the Funds' performances, while also helping to support their
income streams. In addition, NMI, which had a duration that was shorter than our
strategic target, used derivative positions during part of this period to
synthetically extend its duration closer to the target. These derivative
positions, which boosted the Fund's interest rate sensitivity, performed well
and made a positive contribution to NMI's total return performance.
Credit quality exposure was also an important positive factor, although its
impact was offset to a certain degree by other factors, such as duration and
yield curve positioning, sector allocation, and security selection. During the
six-month period, investors put a priority on higher quality investments. As a
result, bonds with higher credit quality typically performed very well and bonds
rated BBB or below and non-rated bonds generally posted poorer returns.
Sectors of the municipal bond market that generally contributed positively to
the Funds' returns during this period included housing, water and sewer and
education. Holdings in the transportation and utilities sectors were also
helpful. Overall, general obligation bonds tended to outperform the general
municipal market, while health care bonds, which had underperformed for some
time, reversed course and generally performed in line with the market over the
past six months.
6 Nuveen Investments
Holdings that generally detracted from the Funds' performances included
industrial development revenue (IDR) and resource recovery bonds. Zero coupon
bonds did poorly, and pre-refunded bonds, which had been the top-performing
segment of the municipal market for some time, also underperformed. Although
backed by U.S. Treasuries, the shorter effective maturities of pre-refunded
bonds hurt their performances during this period. Lower-rated bonds backed by
the 1998 master tobacco settlement agreement, also performed poorly.
NUV's returns also were negatively impacted by its holdings of Ambac-insured
bonds issued for the Las Vegas monorail project, which links various casinos on
the Las Vegas strip. The project has struggled to build ridership and turn a
profit, and proposals to extend the monorail to McCarran International Airport
remain on hold.
RECENT DEVELOPMENTS REGARDING BOND INSURANCE COMPANIES
Another factor that had an impact on the performance of these Funds was their
positions in bonds backed by municipal bond insurers that experienced downgrades
in their credit ratings. At the time this report was prepared, there were no
bond insurers rated AAA by all three of the major rating agencies (Moody's
Investor Service, S&P and Fitch) and at least one rating agency has placed each
insurer on "negative credit watch," "credit watch evolving," "credit outlook
developing," or "rating withdrawn," which may presage one or more rating
reductions in the future. As concern increased about the balance sheets of
insurers, prices on insured bonds - especially those bonds issued by weaker
underlying credits - declined, detracting from the Funds' performances. By the
end of this reporting period, most insured bonds were being valued according to
their fundamentals as if they were uninsured. On the whole, the holdings of
these Funds continued to be well diversified, and it is important to note that
municipal bonds historically have had a very low rate of default.
Nuveen Investments 7
Dividend and Share Price Information
During the six-month period ended April 30, 2009, NMI had one monthly dividend
increase, while the dividend of NUV remained stable throughout the period. On
April 1, 2009, NUW, which was introduced in February 2009, declared its initial
monthly dividend distribution of $0.0750 per share, payable on May 1, 2009.
Due to normal portfolio activity, common shareholders of NUV received an
ordinary income distribution of $0.0020 per share at the end of December 2008.
The Funds seek to pay stable dividends at rates that reflect each Fund's past
results and projected future performance. During certain periods, each Fund may
pay dividends at a rate that may be more or less than the amount of net
investment income actually earned by the Fund during the period. If a Fund has
cumulatively earned more than it has paid in dividends, it holds the excess in
reserve as undistributed net investment income (UNII) as part of the Fund's NAV.
Conversely, if a Fund has cumulatively paid dividends in excess of its earnings,
the excess constitutes negative UNII that is likewise reflected in the Fund's
NAV. Each Fund will, over time, pay all of its net investment income as
dividends to shareholders. As of April 30, 2009, all of the Funds had positive
UNII balances, based upon our best estimate, for tax purposes. NUV and NMI had
positive UNII balances, while NUW had a negative UNII balance for financial
statement purposes.
COMMON SHARE REPURCHASES AND SHARE PRICE INFORMATION
The Funds' Board of Directors/Trustees approved an open-market share repurchase
program on July 30, 2008, for NUV and NMI under which each Fund may repurchase
an aggregate of up to 10% of its outstanding common shares. Since the inception
of this program, NUV and NMI have not repurchased any of their outstanding
common shares. As noted previously, NUW commenced operations on February 25,
2009.
As of April 30, 2009, the Funds' share prices were trading at premiums or
discounts to their NAVs as shown in the accompanying table:
4/30/09 SIX-MONTH
+PREMIUM/-DISCOUNT AVERAGE PREMIUM
--------------------------------------------------------------------------------
NUV +2.69% 2.97%
NUW -0.27% 3.63%
NMI +4.93% 3.72%
--------------------------------------------------------------------------------
8 Nuveen Investments
|
NUV Performance OVERVIEW | Nuveen Municipal Value Fund, Inc.
as of April 30, 2009
Credit Quality (as a % of total investments)(1)
[PIE CHART]
AAA/U.S.
Guaranteed 39%
AA 28%
A 15%
BBB 11%
BB or Lower 6%
N/R 1%
2008-2009 Monthly Tax-Free Dividends Per Share(3)
[BAR CHART]
May $ 0.039
Jun 0.039
Jul 0.039
Aug 0.039
Sep 0.039
Oct 0.039
Nov 0.039
Dec 0.039
Jan 0.039
Feb 0.039
Mar 0.039
Apr 0.039
Share Price Performance -- Weekly Closing Price
[LINE GRAPH]
5/01/08 $ 10.04
10
10.21
10.21
10.13
10.05
10.05
9.89
9.56
9.5606
9.61
9.67
9.77
9.64
9.79
9.92
9.832
9.59
9.7
9.82
9.78
9.52
9.2
9.11
8.2
8.65
8.84
8.65
9.07
8.62
8.1
8.37
8.43
7.9
8.76
8.64
9.1
9.43
9.39
9.4
9.45
9.46
9.31
8.64
9.09
8.8001
9.0984
8.87
8.914
9.03
9.25
9.07
9.33
4/30/09 9.17
FUND SNAPSHOT
--------------------------------------------------------------------------------
Share Price $ 9.17
--------------------------------------------------------------------------------
Net Asset Value $ 8.93
--------------------------------------------------------------------------------
Premium/(Discount) to NAV 2.69%
--------------------------------------------------------------------------------
Market Yield 5.10%
--------------------------------------------------------------------------------
Taxable-Equivalent Yield(2) 7.08%
--------------------------------------------------------------------------------
Net Assets ($000) $ 1,753,554
--------------------------------------------------------------------------------
Average Effective Maturity on Securities (Years) 17.10
--------------------------------------------------------------------------------
Modified Duration 8.94
--------------------------------------------------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 6/17/87)
--------------------------------------------------------------------------------
ON SHARE PRICE ON NAV
--------------------------------------------------------------------------------
6-Month Cumulative 8.91% 6.69%
--------------------------------------------------------------------------------
1-Year -3.22% -3.61%
--------------------------------------------------------------------------------
5-Year 6.12% 3.18%
--------------------------------------------------------------------------------
10-Year 5.11% 3.96%
--------------------------------------------------------------------------------
STATES
(as a % of total investments)
--------------------------------------------------------------------------------
Illinois 12.9%
--------------------------------------------------------------------------------
California 12.7%
--------------------------------------------------------------------------------
New York 8.1%
--------------------------------------------------------------------------------
Texas 7.4%
--------------------------------------------------------------------------------
New Jersey 5.6%
--------------------------------------------------------------------------------
Massachusetts 4.6%
--------------------------------------------------------------------------------
Colorado 4.1%
--------------------------------------------------------------------------------
Washington 3.8%
--------------------------------------------------------------------------------
Florida 3.7%
--------------------------------------------------------------------------------
Michigan 3.6%
--------------------------------------------------------------------------------
Missouri 3.0%
--------------------------------------------------------------------------------
South Carolina 2.9%
--------------------------------------------------------------------------------
Louisiana 2.4%
--------------------------------------------------------------------------------
Puerto Rico 2.2%
--------------------------------------------------------------------------------
Wisconsin 2.2%
--------------------------------------------------------------------------------
Ohio 2.0%
--------------------------------------------------------------------------------
Other 18.8%
--------------------------------------------------------------------------------
INDUSTRIES
(as a % of total investments)
--------------------------------------------------------------------------------
U.S. Guaranteed 24.8%
--------------------------------------------------------------------------------
Tax Obligation/Limited 17.0%
--------------------------------------------------------------------------------
Health Care 15.1%
--------------------------------------------------------------------------------
Transportation 11.9%
--------------------------------------------------------------------------------
Tax Obligation/General 8.7%
--------------------------------------------------------------------------------
Utilities 7.0%
--------------------------------------------------------------------------------
Consumer Staples 4.4%
--------------------------------------------------------------------------------
Other 11.1%
--------------------------------------------------------------------------------
|
(1) The percentages shown in the foregoing chart may reflect the ratings on
certain bonds whose insurer has experienced downgrades as of the end of
the reporting period. Please see the Portfolio Managers' Commentary for an
expanded discussion of the affect on the Fund of changes to the ratings of
certain bonds in the portfolio resulting from changes to the ratings of
the underlying insurers both during the period and after period end.
(2) Taxable-Equivalent Yield represents the yield that must be earned on a
fully taxable investment in order to equal the yield of the Fund on an
after-tax basis. It is based on a federal income tax rate of 28%. When
comparing the Fund to investments that generate qualified dividend income,
the Taxable-Equivalent Yield is lower.
(3) The Fund paid shareholders a net ordinary income distribution in December
2008 of $0.0020 per share.
Nuveen Investments 9
NUW Performance OVERVIEW | Nuveen Municipal Value Fund 2
as of April 30, 2009
FUND SNAPSHOT
Share Price $ 14.73
--------------------------------------------------------------------------------
Net Asset Value $ 14.77
--------------------------------------------------------------------------------
Premium/(Discount) to NAV -0.27%
--------------------------------------------------------------------------------
Market Yield 6.11%
--------------------------------------------------------------------------------
Taxable-Equivalent Yield(2) 8.49%
--------------------------------------------------------------------------------
Net Assets ($000) $ 186,171
--------------------------------------------------------------------------------
Average Effective Maturity on Securities (Years) 25.77
--------------------------------------------------------------------------------
Modified Duration 9.37
--------------------------------------------------------------------------------
CUMULATIVE TOTAL RETURN
(Inception 2/25/09)
--------------------------------------------------------------------------------
ON SHARE PRICE ON NAV
--------------------------------------------------------------------------------
Since Inception -1.30% 3.59%
--------------------------------------------------------------------------------
STATES
(as a % of total investments)
--------------------------------------------------------------------------------
Florida 16.8%
--------------------------------------------------------------------------------
Illinois 12.6%
--------------------------------------------------------------------------------
California 10.5%
--------------------------------------------------------------------------------
Wisconsin 9.6%
--------------------------------------------------------------------------------
Louisiana 7.4%
--------------------------------------------------------------------------------
Texas 6.2%
--------------------------------------------------------------------------------
Ohio 6.1%
--------------------------------------------------------------------------------
Indiana 5.7%
--------------------------------------------------------------------------------
Nevada 3.3%
--------------------------------------------------------------------------------
Arizona 3.2%
--------------------------------------------------------------------------------
Other 18.6%
--------------------------------------------------------------------------------
INDUSTRIES
(as a % of total investments)
--------------------------------------------------------------------------------
Tax Obligation/Limited 30.1%
--------------------------------------------------------------------------------
Health Care 25.1%
--------------------------------------------------------------------------------
Tax Obligation/General 10.2%
--------------------------------------------------------------------------------
Transportation 9.4%
--------------------------------------------------------------------------------
Utilities 7.3%
--------------------------------------------------------------------------------
Water and Sewer 5.5%
--------------------------------------------------------------------------------
Other 12.4%
--------------------------------------------------------------------------------
|
Credit Quality (as a % of total investments)(1)
[PIE CHART]
AAA/U.S.
Guaranteed 24%
AA 17%
A 34%
BBB 23%
N/R 2%
2009 Monthly Tax-Free Dividends Per Share
[BAR CHART]
Apr $ 0.075
Share Price Performance -- Weekly Closing Price
[LINE GRAPH]
2/27/09 $ 15
15.03
15.15
15
15.02
15
15.08
14.87
14.7614
4/30/09 14.73
|
(1) The percentages shown in the foregoing chart may reflect the ratings on
certain bonds whose insurer has experienced downgrades as of the end of
the reporting period. Please see the Portfolio Managers' Commentary for an
expanded discussion of the affect on the Fund of changes to the ratings of
certain bonds in the portfolio resulting from changes to the ratings of
the underlying insurers both during the period and after period end.
(2) Taxable-Equivalent Yield represents the yield that must be earned on a
fully taxable investment in order to equal the yield of the Fund on an
after-tax basis. It is based on a federal income tax rate of 28%. When
comparing the Fund to investments that generate qualified dividend income,
the Taxable-Equivalent Yield is lower.
10 Nuveen Investments
NMI Performance OVERVIEW | Nuveen Municipal Income Fund, Inc.
as of April 30, 2009
Credit Quality (as a % of total investments)(1)
[PIE CHART]
AAA/U.S.
Guaranteed 30%
AA 15%
A 14%
BBB 27%
BB or Lower 5%
N/R 9%
2008-2009 Monthly Tax-Free Dividends Per Share
[BAR CHART]
May $ 0.042
Jun 0.042
Jul 0.042
Aug 0.042
Sep 0.042
Oct 0.042
Nov 0.042
Dec 0.042
Jan 0.042
Feb 0.042
Mar 0.0445
Apr 0.0445
Share Price Performance -- Weekly Closing Price
[LINE GRAPH]
5/01/08 $ 10.59
10.66
10.76
10.62
10.82
10.88
10.67
10.39
10.42
10.5
10.6
10.59
10.25
10.28
10.37
10.21
10.34
10.34
10.49
10.55
10.33
10.33
9.61
9.86
8.45
9.1
9.91
9.89
10
9.97
9.29
9.46
9.7
8.66
9.06
9.2
9.74
10.16
9.89
9.67
10
10.15
10.03
9.33
9.9299
9.594
10.03
9.69
9.81
9.84
9.98
10.08
9.98
4/30/09 10.21
FUND SNAPSHOT
--------------------------------------------------------------------------------
Share Price $ 10.21
--------------------------------------------------------------------------------
Net Asset Value $ 9.73
--------------------------------------------------------------------------------
Premium/(Discount) to NAV 4.93%
--------------------------------------------------------------------------------
Market Yield 5.23%
--------------------------------------------------------------------------------
Taxable-Equivalent Yield(2) 7.26%
--------------------------------------------------------------------------------
Net Assets ($000) $ 79,349
--------------------------------------------------------------------------------
Average Effective Maturity on Securities (Years) 14.71
--------------------------------------------------------------------------------
Modified Duration 8.49
--------------------------------------------------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 4/20/88)
--------------------------------------------------------------------------------
ON SHARE PRICE ON NAV
--------------------------------------------------------------------------------
6-Month Cumulative 6.05% 7.74%
--------------------------------------------------------------------------------
1-Year 2.41% -2.38%
--------------------------------------------------------------------------------
5-Year 6.15% 3.48%
--------------------------------------------------------------------------------
10-Year 3.93% 3.39%
--------------------------------------------------------------------------------
STATES
(as a % of total investments)
--------------------------------------------------------------------------------
California 17.0%
--------------------------------------------------------------------------------
Texas 9.8%
--------------------------------------------------------------------------------
Illinois 9.5%
--------------------------------------------------------------------------------
South Carolina 6.5%
--------------------------------------------------------------------------------
Colorado 6.2%
--------------------------------------------------------------------------------
New York 6.0%
--------------------------------------------------------------------------------
Missouri 4.3%
--------------------------------------------------------------------------------
Tennessee 3.6%
--------------------------------------------------------------------------------
Ohio 3.6%
--------------------------------------------------------------------------------
Michigan 3.4%
--------------------------------------------------------------------------------
Indiana 3.3%
--------------------------------------------------------------------------------
Virgin Islands 3.0%
--------------------------------------------------------------------------------
Virginia 3.0%
--------------------------------------------------------------------------------
Florida 2.6%
--------------------------------------------------------------------------------
Other 18.2%
--------------------------------------------------------------------------------
INDUSTRIES
(as a % of total investments)
--------------------------------------------------------------------------------
Health Care 22.3%
--------------------------------------------------------------------------------
U.S. Guaranteed 15.9%
--------------------------------------------------------------------------------
Utilities 14.2%
--------------------------------------------------------------------------------
Tax Obligation/Limited 12.7%
--------------------------------------------------------------------------------
Tax Obligation/General 11.4%
--------------------------------------------------------------------------------
Education and Civic Organizations 5.4%
--------------------------------------------------------------------------------
Materials 5.0%
--------------------------------------------------------------------------------
Other 13.1%
--------------------------------------------------------------------------------
|
(1) The percentages shown in the foregoing chart may reflect the ratings on
certain bonds whose insurer has experienced downgrades as of the end of
the reporting period. Please see the Portfolio Managers' Commentary for an
expanded discussion of the affect on the Fund of changes to the ratings of
certain bonds in the portfolio resulting from changes to the ratings of
the underlying insurers both during the period and after period end.
(2) Taxable-Equivalent Yield represents the yield that must be earned on a
fully taxable investment in order to equal the yield of the Fund on an
after-tax basis. It is based on a federal income tax rate of 28%. When
comparing the Fund to investments that generate qualified dividend income,
the Taxable-Equivalent Yield is lower.
Nuveen Investments 11
NUV | Nuveen Municipal Value Fund, Inc.
| Portfolio of INVESTMENTS April 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
ALABAMA - 0.3%
$ 5,000 Courtland Industrial Development Board, Alabama, Solid Waste 11/09 at 101.00 Baa3 $ 4,006,550
Disposal Revenue Bonds, Champion International Paper
Corporation, Series 1999A, 6.700%, 11/01/29 (Alternative
Minimum Tax)
1,750 Huntsville Healthcare Authority, Alabama, Revenue Bonds, 6/11 at 101.00 A2 (4) 1,929,498
Series 2001A, 5.750%, 6/01/31 (Pre-refunded 6/01/11)
------------------------------------------------------------------------------------------------------------------------------------
6,750 Total Alabama 5,936,048
------------------------------------------------------------------------------------------------------------------------------------
ALASKA - 0.5%
3,335 Alaska Housing Finance Corporation, General Housing Purpose 12/14 at 100.00 AA 3,313,089
Bonds, Series 2005A, 5.000%, 12/01/30 - FGIC Insured
3,000 Anchorage, Alaska, General Obligation Bonds, Series 2003B, 9/13 at 100.00 AA (4) 3,422,610
5.000%, 9/01/23 (Pre-refunded 9/01/13) - FGIC Insured
1,840 Northern Tobacco Securitization Corporation, Alaska, Tobacco 6/10 at 100.00 AAA 1,903,480
Settlement Asset-Backed Bonds, Series 2000, 6.200%,
6/01/22 (Pre-refunded 6/01/10)
------------------------------------------------------------------------------------------------------------------------------------
8,175 Total Alaska 8,639,179
------------------------------------------------------------------------------------------------------------------------------------
ARIZONA - 1.7%
13,100 Arizona Health Facilities Authority, Hospital Revenue Bonds, 7/10 at 101.00 N/R (4) 14,018,179
Catholic Healthcare West, Series 1999A, 6.625%, 7/01/20
(Pre-refunded 7/01/10)
4,900 Arizona Health Facilities Authority, Hospital System Revenue 11/09 at 100.00 Baa3 (4) 5,038,180
Bonds, Phoenix Children's Hospital, Series 1999A, 6.250%,
11/15/29 (Pre-refunded 11/15/09)
1,400 Arizona Health Facilities Authority, Hospital System Revenue 2/12 at 101.00 N/R (4) 1,584,618
Bonds, Phoenix Children's Hospital, Series 2002A, 6.250%,
2/15/21 (Pre-refunded 2/15/12)
2,500 Phoenix, Arizona, Civic Improvement Corporation, Senior Lien 7/18 at 100.00 AA- 2,465,825
Airport Revenue Bonds, Series 2008A, 5.000%, 7/01/38
4,000 Quechan Indian Tribe of the Fort Yuma Reservation, Arizona, 12/17 at 102.00 N/R 2,780,480
Government Project Bonds, Series 2007, 7.000%, 12/01/27
5,000 Salt Verde Financial Corporation, Arizona, Senior Gas No Opt. Call A 3,389,450
Revenue Bonds, Series 2007, 5.000%, 12/01/37
1,000 Scottsdale Industrial Development Authority, Arizona, 9/13 at 100.00 A3 886,170
Hospital Revenue Bonds, Scottsdale Healthcare, Series
2008A, 5.250%, 9/01/30
------------------------------------------------------------------------------------------------------------------------------------
31,900 Total Arizona 30,162,902
------------------------------------------------------------------------------------------------------------------------------------
ARKANSAS - 0.2%
2,000 Cabot School District 4, Lonoke County, Arkansas, General 8/09 at 100.00 A1 1,957,280
Obligation Refunding Bonds, Series 2003, 5.000%, 2/01/32
- AMBAC Insured
2,000 University of Arkansas, Fayetteville, Various Facilities 12/12 at 100.00 Aa3 2,010,340
Revenue Bonds, Series 2002, 5.000%, 12/01/32 - FGIC
Insured
------------------------------------------------------------------------------------------------------------------------------------
4,000 Total Arkansas 3,967,620
------------------------------------------------------------------------------------------------------------------------------------
|
12 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 12.7%
California Department of Water Resources, Power Supply
Revenue Bonds, Series 2002A:
$ 10,000 5.125%, 5/01/19 (Pre-refunded 5/01/12) 5/12 at 101.00 Aaa $ 11,236,400
10,000 5.250%, 5/01/20 (Pre-refunded 5/01/12) 5/12 at 101.00 Aaa 11,273,200
7,310 California Educational Facilities Authority, Revenue Bonds, 10/09 at 39.19 Aaa 2,853,970
Loyola Marymount University, Series 2000, 0.000%,
10/01/24 (Pre-refunded 10/01/09) - MBIA Insured
California Health Facilities Financing Authority, Revenue
Bonds, Kaiser Permanante System, Series 2006:
5,000 5.000%, 4/01/37 - BHAC Insured 4/16 at 100.00 AAA 5,023,000
6,000 5.000%, 4/01/37 4/16 at 100.00 A+ 5,056,500
6,830 California Infrastructure Economic Development Bank, Revenue 10/11 at 101.00 A- 6,248,835
Bonds, J. David Gladstone Institutes, Series 2001,
5.250%, 10/01/34
1,500 California Pollution Control Financing Authority, Revenue 6/17 at 100.00 A3 1,338,150
Bonds, Pacific Gas and Electric Company, Series 2004C,
4.750%, 12/01/23 - FGIC Insured (Alternative Minimum Tax)
11,570 California Statewide Community Development Authority, 10/09 at 101.00 BBB 10,460,553
Certificates of Participation, Internext Group, Series
1999, 5.375%, 4/01/17
3,500 California Statewide Community Development Authority, 8/19 at 100.00 AA 3,638,635
Revenue Bonds, Methodist Hospital Project, Series 2009,
6.750%, 2/01/38
3,600 California Statewide Community Development Authority, 7/18 at 100.00 AA- 3,518,100
Revenue Bonds, St. Joseph Health System, Series 2007A,
5.750%, 7/01/47 - FGIC Insured
California, General Obligation Bonds, Series 2003:
14,600 5.250%, 2/01/28 8/13 at 100.00 A 14,547,002
11,250 5.000%, 2/01/33 8/13 at 100.00 A 10,465,988
16,000 California, Various Purpose General Obligation Bonds, Series 6/17 at 100.00 A 14,775,680
2007, 5.000%, 6/01/37
3,000 Capistrano Unified School District, Orange County, 9/09 at 102.00 N/R (4) 3,113,130
California, Special Tax Bonds, Community Facilities
District 98-2 - Ladera, Series 1999, 5.750%, 9/01/29
(Pre-refunded 9/01/09)
5,000 Coast Community College District, Orange County, California, 8/18 at 100.00 AAA 4,031,450
General Obligation Bonds, Series 2006C, 0.000%, 8/01/32 -
FSA Insured
30,000 Foothill/Eastern Transportation Corridor Agency, California, No Opt. Call AAA 18,028,800
Toll Road Revenue Bonds, Series 1995A, 0.000%, 1/01/22
(ETM)
21,150 Golden State Tobacco Securitization Corporation, California, 6/13 at 100.00 AAA 23,321,892
Enhanced Tobacco Settlement Asset-Backed Bonds, Series
2003B, 5.000%, 6/01/38 (Pre-refunded 6/01/13) - AMBAC
Insured
Golden State Tobacco Securitization Corporation, California,
Enhanced Tobacco Settlement Asset-Backed Bonds, Series
2007A-1:
5,525 5.000%, 6/01/33 6/17 at 100.00 BBB 3,531,967
1,500 5.125%, 6/01/47 6/17 at 100.00 BBB 773,565
3,540 Golden State Tobacco Securitization Corporation, California, 6/13 at 100.00 AAA 4,143,535
Tobacco Settlement Asset-Backed Bonds, Series 2003A-1,
6.750%, 6/01/39 (Pre-refunded 6/01/13)
Golden State Tobacco Securitization Corporation, California,
Tobacco Settlement Asset-Backed Revenue Bonds, Series
2005A:
5,000 5.000%, 6/01/38 - FGIC Insured 6/15 at 100.00 A- 4,081,000
10,000 5.000%, 6/01/45 6/15 at 100.00 A 7,852,900
9,000 Los Angeles Department of Water and Power, California, 7/11 at 100.00 AA 8,730,360
Waterworks Revenue Refunding Bonds, Series 2001A, 5.125%,
7/01/41
4,000 Los Angeles Regional Airports Improvement Corporation, 12/12 at 102.00 B- 3,032,680
California, Sublease Revenue Bonds, Los Angeles
International Airport, American Airlines Inc. Terminal 4
Project, Series 2002C, 7.500%, 12/01/24 (Alternative
Minimum Tax)
Merced Union High School District, Merced County,
California, General Obligation Bonds, Series 1999A:
2,500 0.000%, 8/01/23 - FGIC Insured No Opt. Call AA- 1,149,375
2,555 0.000%, 8/01/24 - FGIC Insured No Opt. Call AA- 1,089,631
|
Nuveen Investments 13
NUV | Nuveen Municipal Value Fund, Inc. (continued)
| Portfolio of INVESTMENTS April 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA (continued)
$ 2,365 Montebello Unified School District, Los Angeles County, No Opt. Call AA- $ 786,977
California, General Obligation Bonds, Series 2004,
0.000%, 8/01/27 - FGIC Insured
8,000 Rancho Mirage Joint Powers Financing Authority, California, 7/14 at 100.00 A3 (4) 9,428,080
Revenue Bonds, Eisenhower Medical Center, Series 2004,
5.625%, 7/01/34 (Pre-refunded 7/01/14)
15,155 Riverside Public Financing Authority, California, University 8/17 at 100.00 AA- 11,873,943
Corridor Tax Allocation Bonds, Series 2007C, 5.000%,
8/01/37 - MBIA Insured
San Bruno Park School District, San Mateo County, California,
General Obligation Bonds, Series 2000B:
2,575 0.000%, 8/01/24 - FGIC Insured No Opt. Call AA- 1,098,160
2,660 0.000%, 8/01/25 - FGIC Insured No Opt. Call AA- 1,050,301
7,300 San Diego County, California, Certificates of Participation, 9/09 at 101.00 N/R (4) 7,512,138
Burnham Institute, Series 1999, 6.250%, 9/01/29
(Pre-refunded 9/01/09)
14,605 San Joaquin Hills Transportation Corridor Agency, Orange No Opt. Call AA- 1,918,805
County, California, Toll Road Revenue Refunding Bonds,
Series 1997A, 0.000%, 1/15/35 - MBIA Insured
5,000 San Jose, California, Airport Revenue Bonds, Series 2007A, 3/17 at 100.00 A 4,789,700
6.000%, 3/01/47 - AMBAC Insured (Alternative Minimum Tax)
1,204 Yuba County Water Agency, California, Yuba River Development 9/09 at 100.00 Baa3 1,168,229
Revenue Bonds, Pacific Gas and Electric Company, Series
1966A, 4.000%, 3/01/16
------------------------------------------------------------------------------------------------------------------------------------
268,794 Total California 222,942,631
------------------------------------------------------------------------------------------------------------------------------------
COLORADO - 4.1%
5,000 Arkansas River Power Authority, Colorado, Power Revenue 10/16 at 100.00 BBB 3,937,500
Bonds, Series 2006, 5.250%, 10/01/40 - SYNCORA GTY Insured
1,800 Colorado Educational and Cultural Facilities Authority, 8/11 at 100.00 AAA 2,062,638
Charter School Revenue Bonds, Peak-to-Peak Charter
School, Series 2001, 7.625%, 8/15/31 (Pre-refunded
8/15/11)
5,000 Colorado Health Facilities Authority, Colorado, Revenue 9/16 at 100.00 AA 4,211,850
Bonds, Catholic Health Initiatives, Series 2006A, 4.500%,
9/01/38
2,100 Colorado Health Facilities Authority, Revenue Bonds, 3/12 at 100.00 AA (4) 2,234,736
Catholic Health Initiatives, Series 2002A, 5.500%,
3/01/32 (ETM)
750 Colorado Health Facilities Authority, Revenue Bonds, 12/16 at 100.00 BBB+ 600,143
Longmont United Hospital, Series 2006B, 5.000%, 12/01/23
- RAAI Insured
1,700 Colorado Health Facilities Authority, Revenue Bonds, Poudre 9/18 at 102.00 AAA 1,599,921
Valley Health System, Series 2005C, 5.250%, 3/01/40 - FSA
Insured
500 Colorado Health Facilities Authority, Revenue Bonds, Vail 1/12 at 100.00 BBB+ 486,350
Valley Medical Center, Series 2001, 5.750%, 1/15/22
18,915 Denver, Colorado, Airport System Revenue Refunding Bonds, 11/13 at 100.00 A+ 18,291,562
Series 2003B, 5.000%, 11/15/33 - SYNCORA GTY Insured
5,000 E-470 Public Highway Authority, Colorado, Senior Revenue 9/10 at 102.00 AAA 5,420,150
Bonds, Series 2000A, 5.750%, 9/01/35 (Pre-refunded
9/01/10) - MBIA Insured
E-470 Public Highway Authority, Colorado, Senior Revenue
Bonds, Series 2000B:
24,200 0.000%, 9/01/31 - MBIA Insured No Opt. Call AA- 3,851,430
16,500 0.000%, 9/01/32 - MBIA Insured No Opt. Call AA- 2,418,570
39,700 E-470 Public Highway Authority, Colorado, Senior Revenue 9/10 at 31.42 Aaa 12,262,536
Bonds, Series 2000B, 0.000%, 9/01/28 (Pre-refunded
9/01/10) - MBIA Insured
6,600 E-470 Public Highway Authority, Colorado, Toll Revenue No Opt. Call AA- 509,520
Bonds, Refunding Series 2006B, 0.000%, 9/01/39 - MBIA
Insured
10,000 E-470 Public Highway Authority, Colorado, Toll Revenue No Opt. Call AA- 1,083,500
Bonds, Series 2004B, 0.000%, 3/01/36 - MBIA Insured
5,000 Ebert Metropolitan District, Colorado, Limited Tax General 12/17 at 100.00 BBB- 3,778,550
Obligation Bonds, Series 2007, 5.350%, 12/01/37 - RAAI
Insured
|
14 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
COLORADO (continued)
$ 1,450 Northwest Parkway Public Highway Authority, Colorado, 6/11 at 102.00 A (4) $ 1,597,117
Revenue Bonds, Senior Series 2001A, 5.500%, 6/15/19
(Pre-refunded 6/15/11) - AMBAC Insured
7,000 Northwest Parkway Public Highway Authority, Colorado, 6/16 at 100.00 A (4) 7,520,170
Revenue Bonds, Senior Series 2001C, 0.000%, 6/15/21
(Pre-refunded 6/15/16) - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
151,215 Total Colorado 71,866,243
------------------------------------------------------------------------------------------------------------------------------------
CONNECTICUT - 0.2%
8,670 Mashantucket Western Pequot Tribe, Connecticut, Subordinate 11/17 at 100.00 Baa3 4,329,191
Special Revenue Bonds, Series 2007A, 5.750%, 9/01/34
------------------------------------------------------------------------------------------------------------------------------------
DISTRICT OF COLUMBIA - 0.5%
10,000 Washington Convention Center Authority, District of 10/16 at 100.00 A 8,277,800
Columbia, Senior Lien Dedicated Tax Revenue Bonds, Series
2007A, 4.500%, 10/01/30 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 3.7%
4,000 Escambia County Health Facilities Authority, Florida, 11/12 at 101.00 Aa1 4,076,560
Revenue Bonds, Ascension Health Credit Group, Series
2002C, 5.750%, 11/15/32
10,000 Florida State Board of Education, Public Education Capital 6/15 at 101.00 AAA 9,031,400
Outlay Bonds, Series 2005E, 4.500%, 6/01/35 (UB)
1,750 Hillsborough County Industrial Development Authority, 10/16 at 100.00 A3 1,344,963
Florida, Hospital Revenue Bonds, Tampa General Hospital,
Series 2006, 5.250%, 10/01/41
10,690 Jacksonville, Florida, Better Jacksonville Sales Tax Revenue 10/11 at 100.00 AA- 10,675,569
Bonds, Series 2001, 5.000%, 10/01/30 - AMBAC Insured
3,000 JEA, Florida, Electric System Revenue Bonds, Series 2006-3A, 4/15 at 100.00 AAA 2,935,770
5.000%, 10/01/41 - FSA Insured
4,880 Lee County, Florida, Airport Revenue Bonds, Series 2000A, 10/10 at 101.00 AAA 4,900,350
6.000%, 10/01/32 - FSA Insured (Alternative Minimum Tax)
5,000 Marion County Hospital District, Florida, Revenue Bonds, 10/17 at 100.00 A3 3,683,500
Munroe Regional Medical Center, Series 2007, 5.000%,
10/01/34
4,895 Orange County Health Facilities Authority, Florida, Hospital 10/09 at 101.00 A 4,725,682
Revenue Bonds, Orlando Regional Healthcare System, Series
1999E, 6.000%, 10/01/26
105 Orange County Health Facilities Authority, Florida, Hospital 10/09 at 101.00 A (4) 108,439
Revenue Bonds, Orlando Regional Healthcare System, Series
1999E, 6.000%, 10/01/26 (Pre-refunded 10/01/09)
8,250 Orange County School Board, Florida, Certificates of 8/12 at 100.00 AA- 8,065,860
Participation, Series 2002A, 5.000%, 8/01/27 - MBIA
Insured
9,250 Port Saint Lucie. Florida, Special Assessment Revenue Bonds, 7/17 at 100.00 AA 7,298,990
Southwest Annexation District 1B, Series 2007, 5.000%,
7/01/40 - MBIA Insured
2,500 Seminole Tribe of Florida, Special Obligation Bonds, Series 10/17 at 100.00 BBB 1,731,600
2007A, 5.250%, 10/01/27
8,100 South Miami Health Facilities Authority, Florida, Revenue 8/17 at 100.00 AA- 6,271,668
Bonds, Baptist Health Systems of South Florida, Trust
1025, 8.242%, 8/15/42 (IF)
------------------------------------------------------------------------------------------------------------------------------------
72,420 Total Florida 64,850,351
------------------------------------------------------------------------------------------------------------------------------------
GEORGIA - 1.0%
10,240 Atlanta, Georgia, Water and Wastewater Revenue Bonds, Series 5/09 at 101.00 A 8,971,776
1999A, 5.000%, 11/01/38 - FGIC Insured
2,500 Atlanta, Georgia, Water and Wastewater Revenue Bonds, Series 5/12 at 100.00 AA- 2,231,150
2001A, 5.000%, 11/01/33 - MBIA Insured
4,000 Augusta, Georgia, Water and Sewerage Revenue Bonds, Series 10/14 at 100.00 AAA 4,061,960
2004, 5.250%, 10/01/39 - FSA Insured
2,250 Royston Hospital Authority, Georgia, Revenue Anticipation 7/09 at 102.00 N/R 1,709,280
Certificates, Ty Cobb Healthcare System Inc., Series
1999, 6.500%, 7/01/27
------------------------------------------------------------------------------------------------------------------------------------
18,990 Total Georgia 16,974,166
------------------------------------------------------------------------------------------------------------------------------------
|
Nuveen Investments 15
NUV | Nuveen Municipal Value Fund, Inc. (continued)
| Portfolio of INVESTMENTS April 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
HAWAII - 0.7%
$ 12,325 Honolulu City and County, Hawaii, General Obligation Bonds, 3/13 at 100.00 AA $ 12,529,349
Series 2003A, 5.250%, 3/01/28 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 13.0%
2,060 Aurora, Illinois, Golf Course Revenue Bonds, Series 2000, 1/10 at 100.00 A+ 2,082,310
6.375%, 1/01/20
17,205 Chicago Board of Education, Illinois, Unlimited Tax General No Opt. Call AA- 7,625,944
Obligation Bonds, Dedicated Tax Revenues, Series 1998B-1,
0.000%, 12/01/24 - FGIC Insured
775 Chicago Greater Metropolitan Sanitary District, Illinois, No Opt. Call Aaa 827,041
General Obligation Capital Improvement Bonds, Series
1991, 7.000%, 1/01/11 (ETM)
5,000 Chicago Housing Authority, Illinois, Revenue Bonds, Capital 7/12 at 100.00 Aaa 5,634,700
Fund Program, Series 2001, 5.375%, 7/01/18 (Pre-refunded
7/01/12)
285 Chicago, Illinois, General Obligation Bonds, Series 2002A, 7/12 at 100.00 AA- 289,056
5.625%, 1/01/39 - AMBAC Insured
9,715 Chicago, Illinois, General Obligation Bonds, Series 2002A, 7/12 at 100.00 AA- (4) 11,013,701
5.625%, 1/01/39 (Pre-refunded 7/01/12) - AMBAC Insured
2,575 Chicago, Illinois, Second Lien Passenger Facility Charge 1/11 at 101.00 A1 2,345,362
Revenue Bonds, O'Hare International Airport, Series
2001C, 5.100%, 1/01/26 - AMBAC Insured (Alternative
Minimum Tax)
3,020 Cook County High School District 209, Proviso Township, 12/16 at 100.00 AAA 3,287,330
Illinois, General Obligation Bonds, Series 2004, 5.000%,
12/01/19 - FSA Insured
385 DuPage County Community School District 200, Wheaton, 11/13 at 100.00 Aa3 417,332
Illinois, General Obligation Bonds, Series 2003B, 5.250%,
11/01/20 - FSA Insured
1,615 DuPage County Community School District 200, Wheaton, 11/13 at 100.00 Aa3 (4) 1,855,247
Illinois, General Obligation Bonds, Series 2003B, 5.250%,
11/01/20 (Pre-refunded 11/01/13) - FSA Insured
5,000 Illinois Development Finance Authority, Gas Supply Revenue 11/13 at 101.00 A1 4,450,200
Bonds, Peoples Gas, Light and Coke Company, Series 2003E,
4.875%, 11/01/38 (Mandatory put 11/01/18) - AMBAC Insured
(Alternative Minimum Tax)
28,030 Illinois Development Finance Authority, Local Government No Opt. Call Aa3 18,682,275
Program Revenue Bonds, Kane, Cook and DuPage Counties
School District U46 - Elgin, Series 2002, 0.000%, 1/01/19
- FSA Insured
1,800 Illinois Development Finance Authority, Local Government No Opt. Call Aa3 1,168,560
Program Revenue Bonds, Winnebago and Boone Counties
School District 205 - Rockford, Series 2000, 0.000%,
2/01/19 - FSA Insured
3,180 Illinois Development Finance Authority, Revenue Bonds, 12/12 at 100.00 BBB (4) 3,680,659
Chicago Charter School Foundation, Series 2002A, 6.250%,
12/01/32 (Pre-refunded 12/01/12)
1,450 Illinois Development Finance Authority, Revenue Bonds, 9/11 at 100.00 A 1,426,220
Illinois Wesleyan University, Series 2001, 5.125%,
9/01/35 - AMBAC Insured
6,550 Illinois Development Finance Authority, Revenue Bonds, 9/11 at 100.00 A (4) 7,093,126
Illinois Wesleyan University, Series 2001, 5.125%,
9/01/35 (Pre-refunded 9/01/11) - AMBAC Insured
5,245 Illinois Finance Authority, Revenue Bonds, Loyola University 7/17 at 100.00 AA 5,172,724
of Chicago, Tender Option Bond Trust 1137, 9.118%,
7/01/46 (IF)
5,000 Illinois Finance Authority, Revenue Bonds, Northwestern 8/14 at 100.00 AA+ (4) 5,845,100
Memorial Hospital, Series 2004A, 5.500%, 8/15/43
(Pre-refunded 8/15/14)
3,975 Illinois Finance Authority, Revenue Bonds, Sherman Health 8/17 at 100.00 Baa1 2,709,678
Systems, Series 2007A, 5.500%, 8/01/37
15,000 Illinois Health Facilities Authority, Revenue Bonds, Condell 5/10 at 101.00 Aaa 16,042,050
Medical Center, Series 2000, 6.500%, 5/15/30
(Pre-refunded 5/15/10)
15,000 Illinois Health Facilities Authority, Revenue Bonds, Edward 2/11 at 101.00 AAA 16,112,850
Hospital Obligated Group, Series 2001B, 5.250%, 2/15/34
(Pre-refunded 2/15/11) - FSA Insured
8,145 Illinois Health Facilities Authority, Revenue Bonds, Sherman 8/09 at 100.00 A 7,464,241
Health Systems, Series 1997, 5.250%, 8/01/22 - AMBAC
Insured
4,350 Illinois Health Facilities Authority, Revenue Bonds, South No Opt. Call A (4) 5,292,732
Suburban Hospital, Series 1992, 7.000%, 2/15/18 (ETM)
|
16 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS (continued)
$ 5,000 Illinois Sports Facility Authority, State Tax Supported 6/15 at 101.00 A $ 4,557,750
Bonds, Series 2001, 0.000%, 6/15/30 - AMBAC Insured
5,000 Lombard Public Facilities Corporation, Illinois, First Tier 1/16 at 100.00 BB- 2,839,000
Conference Center and Hotel Revenue Bonds, Series
2005A-2, 5.500%, 1/01/36 - ACA Insured
Metropolitan Pier and Exposition Authority, Illinois,
Revenue Bonds, McCormick Place Expansion Project, Series
1992A:
18,955 0.000%, 6/15/17 - FGIC Insured No Opt. Call AA- 13,597,938
12,830 0.000%, 6/15/18 - FGIC Insured No Opt. Call AA- 8,644,084
Metropolitan Pier and Exposition Authority, Illinois,
Revenue Bonds, McCormick Place Expansion Project, Series
1994B:
7,250 0.000%, 6/15/18 - MBIA Insured No Opt. Call AAA 4,884,615
3,385 0.000%, 6/15/21 - MBIA Insured No Opt. Call AAA 1,858,433
5,190 0.000%, 6/15/28 - MBIA Insured No Opt. Call AAA 1,684,882
11,610 0.000%, 6/15/29 - FGIC Insured No Opt. Call AAA 3,478,124
Metropolitan Pier and Exposition Authority, Illinois,
Revenue Bonds, McCormick Place Expansion Project, Series
2002A:
10,000 0.000%, 6/15/24 - MBIA Insured 6/22 at 101.00 AAA 7,306,000
21,375 0.000%, 6/15/34 - MBIA Insured No Opt. Call AAA 4,498,583
21,000 0.000%, 12/15/35 - MBIA Insured No Opt. Call AAA 4,006,380
21,070 0.000%, 6/15/36 - MBIA Insured No Opt. Call AAA 3,886,362
25,825 0.000%, 6/15/39 - MBIA Insured No Opt. Call AAA 3,927,983
8,460 5.250%, 6/15/42 - MBIA Insured 6/12 at 101.00 AAA 8,490,541
Metropolitan Pier and Exposition Authority, Illinois,
Revenue Refunding Bonds, McCormick Place Expansion
Project, Series 1996A:
16,700 0.000%, 12/15/21 - MBIA Insured No Opt. Call AA- 8,911,621
1,650 5.250%, 6/15/27 - AMBAC Insured 6/09 at 100.00 A 1,650,479
Metropolitan Pier and Exposition Authority, Illinois,
Revenue Refunding Bonds, McCormick Place Expansion
Project, Series 2002B:
3,775 0.000%, 6/15/20 - MBIA Insured 6/17 at 101.00 AAA 3,580,852
5,715 0.000%, 6/15/21 - MBIA Insured 6/17 at 101.00 AAA 5,374,900
1,000 Round Lake, Lake County, Illinois, Special Tax Bonds, 3/17 at 100.00 AAA 924,100
Lakewood Grove Special Service Area 4, Series 2007,
4.700%, 3/01/33 - AGC Insured
1,510 Tri-City Regional Port District, Illinois, Port and Terminal No Opt. Call N/R 1,105,803
Facilities Revenue Refunding Bonds, Delivery Network
Project, Series 2003A, 4.900%, 7/01/14 (Alternative
Minimum Tax)
1,575 Will County Community School District 161, Summit Hill, No Opt. Call N/R 1,034,303
Illinois, Capital Appreciation School Bonds, Series 1999,
0.000%, 1/01/18 - FGIC Insured
720 Will County Community School District 161, Summit Hill, No Opt. Call N/R (4) 535,694
Illinois, Capital Appreciation School Bonds, Series 1999,
0.000%, 1/01/18 - FGIC Insured (ETM)
------------------------------------------------------------------------------------------------------------------------------------
354,955 Total Illinois 227,296,865
------------------------------------------------------------------------------------------------------------------------------------
INDIANA - 1.7%
300 Anderson, Indiana, Economic Development Revenue Bonds, 4/14 at 100.00 N/R 227,043
Anderson University, Series 2007, 5.000%, 10/01/24
10,000 Indiana Bond Bank, State Revolving Fund Program Bonds, 2/13 at 101.00 AAA 10,727,400
Series 2001A, 5.375%, 2/01/19
3,000 Indiana Health Facility Financing Authority, Hospital 3/14 at 100.00 A+ 2,515,560
Revenue Bonds, Deaconess Hospital Inc., Series 2004A,
5.375%, 3/01/34 - AMBAC Insured
4,450 Indiana Municipal Power Agency, Power Supply Revenue Bonds, 1/17 at 100.00 AA- 4,158,481
Series 2007A, 5.000%, 1/01/42 - MBIA Insured
Indianapolis Local Public Improvement Bond Bank, Indiana,
Series 1999E:
12,500 0.000%, 2/01/21 - AMBAC Insured No Opt. Call AA 7,261,625
14,595 0.000%, 2/01/27 - AMBAC Insured No Opt. Call AA 5,667,530
------------------------------------------------------------------------------------------------------------------------------------
44,845 Total Indiana 30,557,639
------------------------------------------------------------------------------------------------------------------------------------
|
Nuveen Investments 17
NUV | Nuveen Municipal Value Fund, Inc. (continued)
| Portfolio of INVESTMENTS April 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
IOWA - 1.2%
$ 7,280 Iowa Finance Authority, Single Family Mortgage Revenue 7/16 at 100.00 AAA $ 6,370,874
Bonds, Series 2007B, 4.800%, 1/01/37 (Alternative Minimum
Tax)
3,500 Iowa Higher Education Loan Authority, Private College 10/12 at 100.00 N/R (4) 3,979,325
Facility Revenue Bonds, Wartburg College, Series 2002,
5.500%, 10/01/33 (Pre-refunded 10/01/12) - ACA Insured
7,000 Iowa Tobacco Settlement Authority, Asset Backed Settlement 6/15 at 100.00 BBB 3,953,950
Revenue Bonds, Series 2005C, 5.625%, 6/01/46
6,160 Iowa Tobacco Settlement Authority, Tobacco Settlement 6/11 at 101.00 AAA 6,709,842
Asset-Backed Revenue Bonds, Series 2001B, 5.600%, 6/01/35
(Pre-refunded 6/01/11)
------------------------------------------------------------------------------------------------------------------------------------
23,940 Total Iowa 21,013,991
------------------------------------------------------------------------------------------------------------------------------------
KANSAS - 0.6%
10,000 Kansas Department of Transportation, Highway Revenue Bonds, 3/14 at 100.00 AAA 10,606,700
Series 2004A, 5.000%, 3/01/22
------------------------------------------------------------------------------------------------------------------------------------
KENTUCKY - 0.1%
1,105 Greater Kentucky Housing Assistance Corporation, FHA-Insured 7/09 at 100.00 AA- 1,105,796
Section 8 Mortgage Revenue Refunding Bonds, Series 1997A,
6.100%, 1/01/24 - MBIA Insured
1,000 Kentucky Economic Development Finance Authority, Louisville 6/18 at 100.00 AAA 1,033,880
Arena Project Revenue Bonds, Louisville Arena Authority,
Inc., Series 2008A-1, 6.000%, 12/01/38 - AGC Insured
------------------------------------------------------------------------------------------------------------------------------------
2,105 Total Kentucky 2,139,676
------------------------------------------------------------------------------------------------------------------------------------
LOUISIANA - 2.4%
1,000 East Baton Rouge Parish, Louisiana, Revenue Refunding Bonds, 3/10 at 100.00 B2 907,470
Georgia Pacific Corporation Project, Series 1998, 5.350%,
9/01/11 (Alternative Minimum Tax)
12,000 Louisiana Local Government Environmental Facilities & 11/17 at 100.00 BB+ 8,412,600
Community Development Authority, Revenue Bonds, Westlake
Chemical Corporation Project, Series 2007, 6.750%,
11/01/32
5,150 Louisiana Public Facilities Authority, Hospital Revenue 8/15 at 100.00 A+ 4,296,182
Bonds, Franciscan Missionaries of Our Lady Health System,
Series 2005A, 5.250%, 8/15/32
8,405 Louisiana Public Facilities Authority, Hospital Revenue 5/09 at 100.00 AAA 9,262,646
Refunding Bonds, Southern Baptist Hospital, Series 1986,
8.000%, 5/15/12 (ETM)
26,505 Tobacco Settlement Financing Corporation, Louisiana, Tobacco 5/11 at 101.00 BBB 18,647,593
Settlement Asset-Backed Bonds, Series 2001B, 5.875%,
5/15/39
------------------------------------------------------------------------------------------------------------------------------------
53,060 Total Louisiana 41,526,491
------------------------------------------------------------------------------------------------------------------------------------
MARYLAND - 0.4%
3,500 Maryland Energy Financing Administration, Revenue Bonds, AES 9/09 at 100.00 N/R 2,670,290
Warrior Run Project, Series 1995, 7.400%, 9/01/19
(Alternative Minimum Tax)
4,600 Maryland Health and Higher Educational Facilities Authority, 8/14 at 100.00 A- 4,375,014
Revenue Bonds, MedStar Health, Series 2004, 5.500%,
8/15/33
------------------------------------------------------------------------------------------------------------------------------------
8,100 Total Maryland 7,045,304
------------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 4.6%
10,000 Massachusetts Bay Transportation Authority, Senior Sales Tax 7/12 at 100.00 AAA 11,136,800
Revenue Refunding Bonds, Series 2002A, 5.000%, 7/01/32
(Pre-refunded 7/01/12)
1,720 Massachusetts Development Finance Agency, Resource Recovery 6/09 at 102.00 BBB 1,573,250
Revenue Bonds, Ogden Haverhill Associates, Series 1998B,
5.100%, 12/01/12 (Alternative Minimum Tax)
4,340 Massachusetts Health and Educational Facilities Authority, 11/11 at 101.00 BBB- 3,137,863
Revenue Bonds, Cape Cod Health Care Inc., Series 2001C,
5.250%, 11/15/31 - RAAI Insured
500 Massachusetts Health and Educational Facilities Authority, 7/18 at 100.00 A3 385,535
Revenue Bonds, CareGroup Inc., Series 2008E-1, 5.125%,
7/01/38
2,000 Massachusetts Health and Educational Facilities Authority, 7/14 at 100.00 BB 1,364,260
Revenue Bonds, Northern Berkshire Community Services
Inc., Series 2004A, 6.375%, 7/01/34
|
18 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS (continued)
Massachusetts Health and Educational Facilities Authority,
Revenue Bonds, Northern Berkshire Community Services
Inc., Series 2004B:
$ 1,340 6.250%, 7/01/24 7/14 at 100.00 BB $ 1,015,881
1,000 6.375%, 7/01/34 7/14 at 100.00 BB 682,130
12,855 Massachusetts Housing Finance Agency, Housing Bonds, Series 12/18 at 100.00 AA- 12,334,758
2009F, 5.700%, 6/01/40
Massachusetts Turnpike Authority, Metropolitan Highway
System Revenue Bonds, Senior Series 1997A:
10,145 5.000%, 1/01/27 - MBIA Insured 7/09 at 100.00 AA- 9,233,472
22,440 5.000%, 1/01/37 - MBIA Insured 7/09 at 100.00 AA- 18,614,429
8,000 Massachusetts Turnpike Authority, Metropolitan Highway 7/09 at 100.00 AA- 6,887,120
System Revenue Bonds, Subordinate Series 1997B, 5.125%,
1/01/37 - MBIA Insured
10,260 Massachusetts Turnpike Authority, Metropolitan Highway 7/09 at 101.00 A 8,360,977
System Revenue Bonds, Subordinate Series 1999A, 5.000%,
1/01/39 - AMBAC Insured
1,750 Massachusetts Water Pollution Abatement Trust, Pooled Loan 8/10 at 101.00 AAA 1,865,920
Program Bonds, Series 2000-6, 5.500%, 8/01/30
(Pre-refunded 8/01/10)
4,250 Massachusetts Water Pollution Abatement Trust, Pooled Loan 8/10 at 101.00 AAA 4,363,603
Program Bonds, Series 2000-6, 5.500%, 8/01/30
------------------------------------------------------------------------------------------------------------------------------------
90,600 Total Massachusetts 80,955,998
------------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 3.7%
12,440 Detroit Local Development Finance Authority, Michigan, Tax 5/09 at 101.00 BB- 5,985,008
Increment Bonds, Series 1998A, 5.500%, 5/01/21
5,000 Detroit Water Supply System, Michigan, Water Supply System 7/16 at 100.00 AAA 4,107,150
Revenue Bonds, Series 2006D, 4.625%, 7/01/32 - FSA Insured
8,000 Detroit, Michigan, Second Lien Sewerage Disposal System 7/15 at 100.00 AA- 6,773,280
Revenue Bonds, Series 2005A, 5.000%, 7/01/35 - MBIA
Insured
5,240 Michigan Municipal Bond Authority, Clean Water Revolving 10/12 at 100.00 AAA 5,594,276
Fund Revenue Refunding Bonds, Series 2002, 5.250%,
10/01/19
Michigan Municipal Bond Authority, Public School Academy
Revenue Bonds, Detroit Academy of Arts and Sciences Charter
School, Series 2001A:
1,100 7.500%, 10/01/12 10/09 at 102.00 Ba1 1,094,203
5,000 7.900%, 10/01/21 10/09 at 102.00 Ba1 4,542,900
3,500 8.000%, 10/01/31 10/09 at 102.00 Ba1 2,941,540
22,235 Michigan State Hospital Finance Authority, Hospital Revenue 8/09 at 100.00 BB 13,074,180
Bonds, Detroit Medical Center Obligated Group, Series
1998A, 5.250%, 8/15/28
Michigan State Hospital Finance Authority, Revenue Refunding
Bonds, Detroit Medical Center Obligated Group, Series
1993A:
1,100 6.250%, 8/15/13 8/09 at 100.00 BB 1,060,477
12,925 6.500%, 8/15/18 8/09 at 100.00 BB 11,029,420
7,200 Michigan Strategic Fund, Limited Obligation Resource 12/12 at 100.00 Baa1 6,505,344
Recovery Revenue Refunding Bonds, Detroit Edison Company,
Series 2002D, 5.250%, 12/15/32 - SYNCORA GTY Insured
1,150 Royal Oak Hospital Finance Authority, Michigan, Hospital 9/18 at 100.00 A1 1,284,780
Revenue Bonds, William Beaumont Hospital, Refunding
Series 2009V, 8.250%, 9/01/39
------------------------------------------------------------------------------------------------------------------------------------
84,890 Total Michigan 63,992,558
------------------------------------------------------------------------------------------------------------------------------------
MINNESOTA - 0.6%
1,750 Breckenridge, Minnesota, Revenue Bonds, Catholic Health 5/14 at 100.00 AA 1,696,888
Initiatives, Series 2004A, 5.000%, 5/01/30
6,375 Minneapolis Health Care System, Minnesota, Revenue Bonds, 11/18 at 100.00 A 6,708,349
Fairview Hospital and Healthcare Services, Series 2008A,
6.625%, 11/15/28
|
Nuveen Investments 19
NUV | Nuveen Municipal Value Fund, Inc. (continued)
| Portfolio of INVESTMENTS April 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
MINNESOTA (continued)
$ 390 Minnesota Housing Finance Agency, Rental Housing Bonds, 8/09 at 100.00 Aa1 $ 391,408
Series 1995D, 5.900%, 8/01/15 - MBIA Insured
2,000 Saint Paul Housing and Redevelopment Authority, Minnesota, 11/16 at 100.00 Baa1 1,561,740
Health Care Facilities Revenue Bonds, HealthPartners
Obligated Group, Series 2006, 5.250%, 5/15/36
------------------------------------------------------------------------------------------------------------------------------------
10,515 Total Minnesota 10,358,385
------------------------------------------------------------------------------------------------------------------------------------
MISSOURI - 3.0%
40,000 Missouri Health and Educational Facilities Authority, 5/13 at 100.00 AA2 38,803,200
Revenue Bonds, BJC Health System, Series 2003, 5.250%,
5/15/32 (UB)
6,000 Missouri-Illinois Metropolitan District Bi-State Development 10/13 at 100.00 AAA 5,958,840
Agency, Mass Transit Sales Tax Appropriation Bonds,
Metrolink Cross County Extension Project, Series 2002B,
5.000%, 10/01/32 - FSA Insured
4,000 Sugar Creek, Missouri, Industrial Development Revenue Bonds, 6/13 at 101.00 BBB- 2,580,960
Lafarge North America Inc., Series 2003A, 5.650%, 6/01/37
(Alternative Minimum Tax)
West Plains Industrial Development Authority, Missouri,
Hospital Facilities Revenue Bonds, Ozark Medical Center,
Series 1997:
1,440 5.500%, 11/15/12 5/09 at 100.50 B+ 1,371,701
1,000 5.600%, 11/15/17 5/09 at 100.50 B+ 833,340
3,075 West Plains Industrial Development Authority, Missouri, 11/09 at 101.00 B+ 2,480,972
Hospital Facilities Revenue Bonds, Ozark Medical Center,
Series 1999, 6.750%, 11/15/24
------------------------------------------------------------------------------------------------------------------------------------
55,515 Total Missouri 52,029,013
------------------------------------------------------------------------------------------------------------------------------------
MONTANA - 0.2%
3,750 Forsyth, Rosebud County, Montana, Pollution Control Revenue 3/13 at 101.00 A 3,090,788
Refunding Bonds, Puget Sound Energy, Series 2003A,
5.000%, 3/01/31 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
NEBRASKA - 0.3%
5,000 Omaha Public Power District, Nebraska, Electric System 2/18 at 100.00 Aa1 5,232,800
Revenue Bonds, Series 2008A, 5.500%, 2/01/39
------------------------------------------------------------------------------------------------------------------------------------
NEVADA - 0.9%
2,500 Carson City, Nevada, Hospital Revenue Bonds, Carson-Tahoe 9/13 at 100.00 BBB 1,769,950
Hospital, Series 2003A, 5.125%, 9/01/29 - RAAI Insured
Director of Nevada State Department of Business and Industry,
Revenue Bonds, Las Vegas Monorail Project, First Tier,
Series 2000:
15,095 0.000%, 1/01/24 - AMBAC Insured No Opt. Call A 1,451,837
11,000 0.000%, 1/01/25 - AMBAC Insured No Opt. Call A 891,330
4,000 5.625%, 1/01/32 - AMBAC Insured 1/10 at 102.00 A 1,203,480
22,010 5.375%, 1/01/40 - AMBAC Insured 1/10 at 100.00 A 6,621,488
2,500 Reno, Nevada, Health Facility Revenue Bonds, Catholic 7/17 at 100.00 AAA 2,370,500
Healthcare West, Trust 2634, 16.017%, 7/01/31 - BHAC
Insured (IF)
1,500 Sparks Tourism Improvement District 1, Legends at Sparks 6/18 at 100.00 Ba2 1,085,700
Marina, Nevada, Senior Sales Tax Revenue Bonds Series
2008A, 6.750%, 6/15/28
------------------------------------------------------------------------------------------------------------------------------------
58,605 Total Nevada 15,394,285
------------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY - 5.6%
23,625 New Jersey Economic Development Authority, Special 9/09 at 101.00 B 15,212,610
Facilities Revenue Bonds, Continental Airlines Inc.,
Series 1999, 6.250%, 9/15/29 (Alternative Minimum Tax)
9,000 New Jersey Economic Development Authority, Special 11/10 at 101.00 B 6,315,930
Facilities Revenue Bonds, Continental Airlines Inc.,
Series 2000, 7.000%, 11/15/30 (Alternative Minimum Tax)
4,740 New Jersey Health Care Facilities Financing Authority, 1/17 at 41.49 Baa2 461,155
Revenue Bonds, Saint Barnabas Health Care System, Series
2006A, 0.000%, 7/01/34
|
20 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY (continued)
$ 11,200 New Jersey Health Care Facilities Financing Authority, 7/10 at 101.00 BBB- (4) $ 12,191,536
Revenue Bonds, Trinitas Hospital Obligated Group, Series
2000, 7.500%, 7/01/30 (Pre-refunded 7/01/10)
7,500 New Jersey Transportation Trust Fund Authority, 6/13 at 100.00 AAA 8,685,375
Transportation System Bonds, Series 2003C, 5.500%,
6/15/24 (Pre-refunded 6/15/13)
New Jersey Transportation Trust Fund Authority,
Transportation System Bonds, Series 2006C:
30,000 0.000%, 12/15/31 - FGIC Insured No Opt. Call AA- 7,576,200
27,000 0.000%, 12/15/32 - FSA Insured No Opt. Call AAA 6,383,880
310 New Jersey Turnpike Authority, Revenue Bonds, Series 1991C, No Opt. Call AA 375,754
6.500%, 1/01/16 - MBIA Insured
New Jersey Turnpike Authority, Revenue Bonds, Series 1991C:
105 6.500%, 1/01/16 - MBIA Insured (ETM) No Opt. Call AA- (4) 132,527
1,490 6.500%, 1/01/16 - MBIA Insured (ETM) No Opt. Call AA- (4) 1,741,393
27,185 Tobacco Settlement Financing Corporation, New Jersey, 6/12 at 100.00 AAA 31,073,265
Tobacco Settlement Asset-Backed Bonds, Series 2002,
6.125%, 6/01/42 (Pre-refunded 6/01/12)
7,165 Tobacco Settlement Financing Corporation, New Jersey, 6/13 at 100.00 AAA 8,475,120
Tobacco Settlement Asset-Backed Bonds, Series 2003,
6.250%, 6/01/43 (Pre-refunded 6/01/13)
------------------------------------------------------------------------------------------------------------------------------------
149,320 Total New Jersey 98,624,745
------------------------------------------------------------------------------------------------------------------------------------
NEW MEXICO - 0.6%
1,500 University of New Mexico, Revenue Refunding Bonds, Series No Opt. Call AA 1,752,405
1992A, 6.000%, 6/01/21
9,600 University of New Mexico, Subordinate Lien Revenue Refunding 6/12 at 100.00 AA 9,534,624
and Improvement Bonds, Series 2002A, 5.000%, 6/01/32
------------------------------------------------------------------------------------------------------------------------------------
11,100 Total New Mexico 11,287,029
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 8.2%
8,500 Dormitory Authority of the State of New York, FHA-Insured 2/14 at 100.00 AAA 8,687,510
Mortgage Revenue Bonds, Kaleida Health, Series 2004,
5.050%, 2/15/25
Dormitory Authority of the State of New York, Improvement
Revenue Bonds, Mental Health Services Facilities, Series
1999D:
245 5.250%, 2/15/29 (Pre-refunded 8/15/09) 8/09 at 101.00 A1 (4) 250,931
200 5.250%, 2/15/29 (Pre-refunded 8/15/09) 8/09 at 101.00 AA- (4) 204,824
65 5.250%, 2/15/29 (Pre-refunded 8/15/09) 8/09 at 101.00 AA- (4) 66,574
6,490 5.250%, 2/15/29 (Pre-refunded 8/15/09) 8/09 at 101.00 AA- (4) 6,644,981
5,200 Dormitory Authority of the State of New York, New York City, 5/10 at 101.00 AA- (4) 5,543,356
Lease Revenue Bonds, Court Facilities, Series 1999,
6.000%, 5/15/39 (Pre-refunded 5/15/10)
2,500 Dormitory Authority of the State of New York, Revenue Bonds, 7/09 at 100.00 A3 2,397,950
Mount Sinai NYU Health Obligated Group, Series 2000A,
5.500%, 7/01/26
2,625 Dormitory Authority of the State of New York, Revenue Bonds, 7/09 at 100.00 A3 2,517,848
Mount Sinai NYU Health, Series 2000C, 5.500%, 7/01/26
4,170 Dormitory Authority of the State of New York, State Personal 8/16 at 100.00 BBB+ 3,210,692
Income Tax Revenue Bonds, Tender Option Bond Trust 2846,
9.957%, 2/15/35 (IF)
15,500 Long Island Power Authority, New York, Electric System 9/11 at 100.00 AAA 17,065,965
General Revenue Bonds, Series 2001A, 5.375%, 9/01/25
(Pre-refunded 9/01/11)
2,000 Long Island Power Authority, New York, Electric System 6/16 at 100.00 A- 1,909,400
General Revenue Bonds, Series 2006B, 5.000%, 12/01/35
1,510 New York City Industrial Development Agency, New York, Civic 12/16 at 100.00 BB+ 900,821
Facility Revenue Bonds, Vaughn College of Aeronautics,
Series 2006B, 5.000%, 12/01/31
10,000 New York City Industrial Development Agency, New York, 8/12 at 101.00 B- 8,234,900
Special Facilities Revenue Bonds, JFK Airport - American
Airlines Inc., Series 2002B, 8.500%, 8/01/28 (Alternative
Minimum Tax)
2,750 New York City Municipal Water Finance Authority, New York, 12/14 at 100.00 AAA 2,741,558
Water and Sewerage System Revenue Bonds, Series 2008,
Trust 1199, 8.606%, 6/15/36 - FSA Insured (IF)
|
Nuveen Investments 21
NUV | Nuveen Municipal Value Fund, Inc. (continued)
| Portfolio of INVESTMENTS April 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK (continued)
$ 5 New York City, New York, General Obligation Bonds, Fiscal 8/09 at 100.00 AA $ 5,019
Series 1997E, 6.000%, 8/01/16
3,880 New York City, New York, General Obligation Bonds, Fiscal 8/09 at 100.00 AA 3,913,096
Series 1998D, 5.500%, 8/01/10
New York City, New York, General Obligation Bonds, Fiscal
Series 2003J:
1,450 5.500%, 6/01/21 6/13 at 100.00 AAA 1,507,246
385 5.500%, 6/01/22 6/13 at 100.00 AAA 398,090
New York City, New York, General Obligation Bonds, Fiscal
Series 2004C:
8,000 5.250%, 8/15/24 8/14 at 100.00 AA 8,191,760
6,000 5.250%, 8/15/25 8/14 at 100.00 AA 6,129,480
New York State Tobacco Settlement Financing Corporation,
Tobacco Settlement Asset-Backed and State Contingency
Contract-Backed Bonds, Series 2003A-1:
10,000 5.500%, 6/01/17 6/11 at 100.00 AA- 10,280,800
11,190 5.500%, 6/01/18 6/12 at 100.00 AA- 11,576,726
28,810 5.500%, 6/01/19 6/13 at 100.00 AA- 29,882,882
2,500 Port Authority of New York and New Jersey, Special Project No Opt. Call AA- 2,591,875
Bonds, JFK International Air Terminal LLC, Sixth Series
1997, 6.250%, 12/01/10 - MBIA Insured (Alternative
Minimum Tax)
8,500 Power Authority of the State of New York, General Revenue 11/10 at 100.00 Aa2 8,527,285
Bonds, Series 2000A, 5.250%, 11/15/40
------------------------------------------------------------------------------------------------------------------------------------
142,475 Total New York 143,381,569
------------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA - 1.2%
1,500 Charlotte, North Carolina, Certificates of Participation, 6/13 at 100.00 AA+ 1,504,875
Governmental Facilities Projects, Series 2003G, 5.000%,
6/01/33
2,500 North Carolina Eastern Municipal Power Agency, Power System 1/13 at 100.00 BBB+ 2,266,400
Revenue Refunding Bonds, Series 2003D, 5.125%, 1/01/26
1,500 North Carolina Infrastructure Finance Corporation, 2/14 at 100.00 AA+ 1,569,075
Certificates of Participation, Correctional Facilities,
Series 2004A, 5.000%, 2/01/20
2,000 North Carolina Medical Care Commission, Health System 10/17 at 100.00 AA 1,705,040
Revenue Bonds, Mission St. Joseph's Health System, Series
2007, 4.500%, 10/01/31
10,000 North Carolina Municipal Power Agency 1, Catawba Electric 1/10 at 101.00 A2 10,222,400
Revenue Bonds, Series 1999B, 6.500%, 1/01/20
3,000 The Charlotte-Mecklenberg Hospital Authority, North 1/18 at 100.00 AA- 2,847,480
Carolina, Doing Business as Carolinas HealthCare System,
Health Care Refunding Revenue Bonds, Series 2008A,
5.000%, 1/15/47
------------------------------------------------------------------------------------------------------------------------------------
20,500 Total North Carolina 20,115,270
------------------------------------------------------------------------------------------------------------------------------------
OHIO - 2.0%
10,000 American Municipal Power Ohio Inc., General Revenue Bonds, 2/18 at 100.00 A1 9,593,600
Series 2008, 5.250%, 2/15/43
Buckeye Tobacco Settlement Financing Authority, Ohio,
Tobacco Settlement Asset-Backed Revenue Bonds, Senior
Lien, Series 2007A-2:
515 5.125%, 6/01/24 6/17 at 100.00 BBB 405,861
3,095 5.375%, 6/01/24 6/17 at 100.00 BBB 2,509,055
5,350 5.875%, 6/01/30 6/17 at 100.00 BBB 3,628,798
15,165 5.750%, 6/01/34 6/17 at 100.00 BBB 9,601,113
11,785 5.875%, 6/01/47 6/17 at 100.00 BBB 6,620,459
5,150 Buckeye Tobacco Settlement Financing Authority, Ohio, 6/22 at 100.00 BBB 2,097,544
Tobacco Settlement Asset-Backed Revenue Bonds, Senior
Lien, Series 2007A-3, 0.000%, 6/01/37
------------------------------------------------------------------------------------------------------------------------------------
51,060 Total Ohio 34,456,430
------------------------------------------------------------------------------------------------------------------------------------
OKLAHOMA - 0.9%
9,955 Oklahoma Development Finance Authority, Revenue Bonds, St. 2/14 at 100.00 A 9,048,796
John Health System, Series 2004, 5.125%, 2/15/31
5,045 Oklahoma Development Finance Authority, Revenue Bonds, St. 2/14 at 100.00 AAA 5,803,667
John Health System, Series 2004, 5.125%, 2/15/31
(Pre-refunded 2/15/14)
------------------------------------------------------------------------------------------------------------------------------------
15,000 Total Oklahoma 14,852,463
------------------------------------------------------------------------------------------------------------------------------------
|
22 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
OREGON - 0.3%
$ 2,600 Clackamas County Hospital Facility Authority, Oregon, 5/11 at 101.00 A+ $ 2,654,704
Revenue Refunding Bonds, Legacy Health System, Series
2001, 5.250%, 5/01/21
2,860 Oregon State Facilities Authority, Revenue Bonds, Willamette 10/17 at 100.00 A 2,558,699
University, Series 2007A, 5.000%, 10/01/32
------------------------------------------------------------------------------------------------------------------------------------
5,460 Total Oregon 5,213,403
------------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 1.9%
10,300 Allegheny County Hospital Development Authority, 11/17 at 100.00 BB 5,669,738
Pennsylvania, Revenue Bonds, West Penn Allegheny Health
System, Series 2007A, 5.000%, 11/15/28
6,500 Pennsylvania Turnpike Commission, Turnpike Revenue Bonds, 12/14 at 100.00 Aa3 6,646,835
Series 2004A, 5.500%, 12/01/31 - AMBAC Insured
8,000 Philadelphia School District, Pennsylvania, General 6/14 at 100.00 Aa3 (4) 9,256,400
Obligation Bonds, Series 2004D, 5.125%, 6/01/34
(Pre-refunded 6/01/14) - FGIC Insured
10,075 State Public School Building Authority, Pennsylvania, Lease 6/13 at 100.00 AAA 11,429,685
Revenue Bonds, Philadelphia School District, Series 2003,
5.000%, 6/01/33 (Pre-refunded 6/01/13) - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
34,875 Total Pennsylvania 33,002,658
------------------------------------------------------------------------------------------------------------------------------------
PUERTO RICO - 2.2%
8,340 Puerto Rico Aqueduct and Sewerage Authority, Revenue Bonds, 7/18 at 100.00 BBB- 8,043,847
Senior Lien Series 2008A, 6.000%, 7/01/44
13,000 Puerto Rico Highway and Transportation Authority, Highway No Opt. Call BBB+ 10,700,040
Revenue Bonds, Series 2007N, 5.250%, 7/01/39 - FGIC
Insured
5,450 Puerto Rico Industrial, Tourist, Educational, Medical and 6/10 at 101.00 Baa3 5,151,940
Environmental Control Facilities Financing Authority,
Co-Generation Facility Revenue Bonds, Series 2000A,
6.625%, 6/01/26 (Alternative Minimum Tax)
7,345 Puerto Rico Infrastructure Financing Authority, Special 10/10 at 101.00 AAA 7,674,791
Obligation Bonds, Series 2000A, 5.500%, 10/01/40
70,300 Puerto Rico Sales Tax Financing Corporation, Sales Tax No Opt. Call A1 2,756,463
Revenue Bonds, Series 2007A, 0.000%, 8/01/54 - AMBAC
Insured
5,000 Puerto Rico, General Obligation Bonds, Series 2000B, 5.625%, 7/10 at 100.00 AA- 4,978,550
7/01/19 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
109,435 Total Puerto Rico 39,305,631
------------------------------------------------------------------------------------------------------------------------------------
RHODE ISLAND - 1.0%
6,250 Rhode Island Health and Educational Building Corporation, 5/09 at 100.00 AA- 5,972,000
Hospital Financing Revenue Bonds, Lifespan Obligated
Group, Series 1996, 5.250%, 5/15/26 - MBIA Insured
16,070 Rhode Island Tobacco Settlement Financing Corporation, 6/12 at 100.00 BBB 11,866,892
Tobacco Settlement Asset-Backed Bonds, Series 2002A,
6.250%, 6/01/42
------------------------------------------------------------------------------------------------------------------------------------
22,320 Total Rhode Island 17,838,892
------------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA - 2.9%
7,000 Dorchester County School District 2, South Carolina, 12/14 at 100.00 AA- 7,023,170
Installment Purchase Revenue Bonds, GROWTH, Series 2004,
5.250%, 12/01/29
3,000 Myrtle Beach, South Carolina, Hospitality and Accommodation 6/14 at 100.00 AA- 2,670,270
Fee Revenue Bonds, Series 2004A, 5.000%, 6/01/36 - FGIC
Insured
8,475 Piedmont Municipal Power Agency, South Carolina, Electric 7/09 at 100.00 Baa1 7,774,372
Revenue Refunding Bonds, Series 1986, 5.000%, 1/01/25
4,320 South Carolina JOBS Economic Development Authority, Economic 11/12 at 100.00 A3 (4) 4,938,797
Development Revenue Bonds, Bon Secours Health System
Inc., Series 2002A, 5.625%, 11/15/30 (Pre-refunded
11/15/12)
16,430 South Carolina JOBS Economic Development Authority, Economic 11/12 at 100.00 A- 14,845,655
Development Revenue Bonds, Bon Secours Health System
Inc., Series 2002B, 5.625%, 11/15/30
|
Nuveen Investments 23
NUV | Nuveen Municipal Value Fund, Inc. (continued)
| Portfolio of INVESTMENTS April 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA (continued)
$ 8,000 South Carolina JOBS Economic Development Authority, Hospital 12/10 at 102.00 Baa2 (4) $ 8,932,240
Revenue Bonds, Palmetto Health Alliance, Series 2000A,
7.375%, 12/15/21 (Pre-refunded 12/15/10)
4,215 Spartanburg Sanitary Sewer District, South Carolina, Sewer 3/14 at 100.00 AA 4,034,893
System Revenue Bonds, Series 2003B, 5.000%, 3/01/38 -
MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
51,440 Total South Carolina 50,219,397
------------------------------------------------------------------------------------------------------------------------------------
TENNESSEE - 1.0%
10,300 Jackson, Tennessee, Hospital Revenue Refunding Bonds, 4/18 at 100.00 A+ 10,233,977
Jackson-Madison County General Hospital Project, Series
2008, 5.625%, 4/01/38
Knox County Health, Educational and Housing Facilities
Board, Tennessee, Hospital Revenue Bonds, Baptist Health
System of East Tennessee Inc., Series 2002:
3,000 6.375%, 4/15/22 4/12 at 101.00 A1 3,049,560
2,605 6.500%, 4/15/31 4/12 at 101.00 A1 2,577,882
3,000 Sullivan County Health Educational and Housing Facilities 9/16 at 100.00 BBB+ 1,834,770
Board, Tennessee, Revenue Bonds, Wellmont Health System,
Series 2006C, 5.250%, 9/01/36
------------------------------------------------------------------------------------------------------------------------------------
18,905 Total Tennessee 17,696,189
------------------------------------------------------------------------------------------------------------------------------------
TEXAS - 7.4%
5,000 Alliance Airport Authority, Texas, Special Facilities 12/12 at 100.00 CCC+ 1,884,150
Revenue Bonds, American Airlines Inc., Series 2007,
5.250%, 12/01/29 (Alternative Minimum Tax)
2,000 Austin Convention Enterprises Inc., Texas, Convention Center 1/17 at 100.00 BB 1,370,780
Hotel Revenue Bonds, First Tier Series 2006B, 5.750%,
1/01/34
5,110 Brazos River Authority, Texas, Pollution Control Revenue 4/13 at 101.00 Caa2 2,104,962
Refunding Bonds, TXU Electric Company, Series 1999C,
7.700%, 3/01/32 (Alternative Minimum Tax)
Central Texas Regional Mobility Authority, Travis and
Williamson Counties, Toll Road Revenue Bonds, Series 2005:
4,000 5.000%, 1/01/35 - FGIC Insured 1/15 at 100.00 AA- 3,071,600
31,550 5.000%, 1/01/45 - FGIC Insured 1/15 at 100.00 AA- 23,179,468
11,000 Harris County-Houston Sports Authority, Texas, Junior Lien No Opt. Call AA- 2,813,690
Revenue Bonds, Series 2001H, 0.000%, 11/15/27 - MBIA
Insured
2,700 Harris County-Houston Sports Authority, Texas, Senior Lien 11/11 at 100.00 AA- 2,254,176
Revenue Bonds, Series 2001G, 5.250%, 11/15/30 - MBIA
Insured
12,470 Harris County-Houston Sports Authority, Texas, Third Lien 11/24 at 59.10 AA- 1,879,977
Revenue Bonds, Series 2004-A3., 0.000%, 11/15/33 - MBIA
Insured
23,875 Houston, Texas, Hotel Occupancy Tax and Special Revenue No Opt. Call A 7,048,616
Bonds, Convention and Entertainment Project, Series
2001B, 0.000%, 9/01/29 - AMBAC Insured
10,045 Houston, Texas, Subordinate Lien Airport System Revenue 7/10 at 100.00 AAA 10,199,291
Bonds, Series 2000A, 5.875%, 7/01/16 - FSA Insured
(Alternative Minimum Tax)
Irving Independent School District, Texas, Unlimited Tax
School Building Bonds, Series 1997:
5,685 0.000%, 2/15/10 No Opt. Call AAA 5,641,623
3,470 0.000%, 2/15/11 No Opt. Call AAA 3,374,436
5,000 Kerrville Health Facilities Development Corporation, Texas, No Opt. Call BBB- 3,953,900
Revenue Bonds, Sid Peterson Memorial Hospital Project,
Series 2005, 5.375%, 8/15/35
22,060 Leander Independent School District, Williamson and Travis 8/09 at 31.45 AAA 6,833,526
Counties, Texas, Unlimited Tax School Building and
Refunding Bonds, Series 2000, 0.000%, 8/15/27
North Texas Thruway Authority, First Tier System Revenue
Refunding Bonds, Capital Appreciation Series 2008I:
30,000 0.000%, 1/01/42 - AGC Insured 1/25 at 100.00 AAA 21,056,398
5,220 0.000%, 1/01/43 1/25 at 100.00 A2 3,383,447
15,450 North Texas Thruway Authority, First Tier System Revenue No Opt. Call AAA 3,095,408
Refunding Bonds, Capital Appreciation Series 2008,
0.000%, 1/01/36 - AGC Insured
|
24 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
TEXAS (continued)
$ 5,000 Port Corpus Christi Industrial Development Corporation, 10/09 at 101.00 BBB $ 4,475,850
Texas, Revenue Refunding Bonds, Valero Refining and
Marketing Company, Series 1997A, 5.400%, 4/01/18
5,000 Richardson Hospital Authority, Texas, Revenue Bonds, 12/13 at 100.00 Baa2 3,605,750
Richardson Regional Medical Center, Series 2004, 6.000%,
12/01/34
2,000 Sabine River Authority, Texas, Pollution Control Revenue 7/13 at 101.00 CCC 785,140
Refunding Bonds, TXU Electric Company, Series 2003A,
5.800%, 7/01/22
3,000 San Antonio, Texas, Water System Revenue Bonds, Series 2005, 5/15 at 100.00 AA 2,891,880
4.750%, 5/15/37 - MBIA Insured
11,585 Tarrant County Cultural & Educational Facilities Financing 2/17 at 100.00 AA- 10,124,132
Corporation, Texas, Revenue Bonds, Series 2008, Trust
1201, 8.974%, 2/15/36 (IF)
5,000 Tarrant County Cultural Education Facilities Finance 1/19 at 100.00 AAA 5,370,600
Corporation, Texas, Revenue Refunding Bonds, Christus
Health, Series 2008, 6.500%, 7/01/37
------------------------------------------------------------------------------------------------------------------------------------
226,220 Total Texas 130,398,800
------------------------------------------------------------------------------------------------------------------------------------
UTAH - 0.4%
3,260 Eagle Mountain, Utah, Gas and Electric Revenue Bonds, Series 6/15 at 100.00 BBB- 2,755,189
2005, 5.000%, 6/01/24 - RAAI Insured
820 Utah Housing Finance Agency, Single Family Mortgage Bonds, 1/10 at 101.50 AAA 777,606
Series 1998G-2, Class I, 5.200%, 7/01/30 (Alternative
Minimum Tax)
3,700 Utah State Board of Regents, Utah State University, Revenue 4/14 at 100.00 AA (4) 4,197,095
Bonds, Series 2004, 5.000%, 4/01/35 (Pre-refunded
4/01/14) - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
7,780 Total Utah 7,729,890
------------------------------------------------------------------------------------------------------------------------------------
VIRGIN ISLANDS - 0.1%
2,500 Virgin Islands Public Finance Authority, Revenue Bonds, 1/14 at 100.00 BBB 1,883,000
Refinery Project - Hovensa LLC, Series 2003, 6.125%,
7/01/22 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
VIRGINIA - 0.4%
3,000 Fairfax County Economic Development Authority, Virginia, 10/17 at 100.00 N/R 2,055,900
Residential Care Facilities Mortgage Revenue Bonds,
Goodwin House, Inc., Series 2007A, 5.125%, 10/01/42
4,125 Metropolitan Washington D.C. Airports Authority, Airport 10/12 at 100.00 AA- 4,292,145
System Revenue Bonds, Series 2002A, 5.750%, 10/01/16 -
FGIC Insured (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
7,125 Total Virginia 6,348,045
------------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 3.8%
6,400 Cowlitz County Public Utilities District 1, Washington, 9/14 at 100.00 AA- 6,194,176
Electric Production Revenue Bonds, Series 2004, 5.000%,
9/01/34 - FGIC Insured
12,500 Energy Northwest, Washington, Electric Revenue Refunding 7/12 at 100.00 Aaa 13,483,625
Bonds, Columbia Generating Station - Nuclear Project 2,
Series 2002B, 6.000%, 7/01/18 - AMBAC Insured
4,000 Energy Northwest, Washington, Electric Revenue Refunding 7/13 at 100.00 AAA 4,332,680
Bonds, Nuclear Project 3, Series 2003A, 5.500%, 7/01/17 -
SYNCORA GTY Insured
8,200 Washington Public Power Supply System, Revenue Refunding No Opt. Call Aaa 7,123,914
Bonds, Nuclear Project 3, Series 1989B, 0.000%, 7/01/14
2,500 Washington State Health Care Facilities Authority, Revenue No Opt. Call N/R 1,588,075
Bonds, Northwest Hospital and Medical Center of Seattle,
Series 2007, 5.700%, 12/01/32
5,000 Washington State Healthcare Facilities Authority, Revenue 10/16 at 100.00 AA 4,300,750
Bonds, Providence Health Care Services, Series 2006A,
4.625%, 10/01/34 - FGIC Insured
7,930 Washington State Housing Finance Commission, Single Family 12/15 at 100.00 Aaa 7,244,689
Program Bonds, 2006 Series 3A, 5.000%, 12/01/37
(Alternative Minimum Tax)
18,260 Washington State Tobacco Settlement Authority, Tobacco 6/13 at 100.00 BBB 14,573,306
Settlement Asset-Backed Revenue Bonds, Series 2002,
6.625%, 6/01/32
|
Nuveen Investments 25
NUV | Nuveen Municipal Value Fund, Inc. (continued)
| Portfolio of INVESTMENTS April 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
WASHINGTON (continued)
Washington State, Motor Vehicle Fuel Tax General Obligation
Bonds, Series 2002-03C:
$ 9,000 0.000%, 6/01/29 - MBIA Insured No Opt. Call AA+ $ 3,131,910
16,195 0.000%, 6/01/30 - MBIA Insured No Opt. Call AA+ 5,252,362
------------------------------------------------------------------------------------------------------------------------------------
89,985 Total Washington 67,225,487
------------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 2.2%
Badger Tobacco Asset Securitization Corporation, Wisconsin,
Tobacco Settlement Asset-Backed Bonds, Series 2002:
6,875 6.125%, 6/01/27 (Pre-refunded 6/01/12) 6/12 at 100.00 AAA 7,376,256
14,750 6.375%, 6/01/32 (Pre-refunded 6/01/12) 6/12 at 100.00 AAA 16,584,310
6,000 Wisconsin Health and Educational Facilities Authority, 9/13 at 100.00 BBB+ (4) 7,012,020
Revenue Bonds, Franciscan Sisters of Christian Charity
Healthcare Ministry, Series 2003A, 5.875%, 9/01/33
(Pre-refunded 9/01/13)
1,000 Wisconsin Health and Educational Facilities Authority, 2/16 at 100.00 BBB+ 904,780
Revenue Bonds, Marshfield Clinic, Series 2006A, 5.000%,
2/15/17
3,750 Wisconsin Health and Educational Facilities Authority, 2/12 at 101.00 AAA 4,234,388
Revenue Bonds, Wheaton Franciscan Services Inc., Series
2002, 5.750%, 8/15/30 (Pre-refunded 2/15/12)
3,100 Wisconsin Housing and Economic Development Authority, Home 9/14 at 100.00 AA 2,719,568
Ownership Revenue Bonds, Series 2005C, 4.875%, 3/01/36
(Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
35,475 Total Wisconsin 38,831,322
------------------------------------------------------------------------------------------------------------------------------------
$ 2,400,094 Total Investments (cost $1,857,978,637) - 100.4% 1,760,126,193
==============----------------------------------------------------------------------------------------------------------------------
Floating Rate Obligations - (1.6)% (28,870,000)
-------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 1.2% 22,298,116
-------------------------------------------------------------------------------------------------------------------
Net Assets - 100% $ 1,753,554,309
===================================================================================================================
|
(1) All percentages shown in the Portfolio of Investments are based on net
assets.
(2) Optional Call Provisions: 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. Certain mortgage-backed securities may
be subject to periodic principal paydowns.
(3) Ratings: Using the higher of Standard & Poor's Group ("Standard & Poor's")
or Moody's Investor Service, Inc. ("Moody's") rating. Ratings below BBB by
Standard & Poor's or Baa by Moody's are considered to be below investment
grade.
The Portfolio of Investments may reflect the ratings on certain bonds
whose insurer has experienced downgrades as of the end of the reporting
period. Please see the Portfolio Managers' Commentary for an expanded
discussion of the affect on the Fund of changes to the ratings of certain
bonds in the portfolio resulting from changes to the ratings of the
underlying insurers both during the period and after the period end.
(4) Backed by an escrow or trust containing sufficient U.S. Government or U.S.
Government agency securities which ensure the timely payment of principal
and interest. Such investments are normally considered to be equivalent to
AAA rated securities.
N/R Not rated.
(ETM) Escrowed to maturity.
(IF) Inverse floating rate investment.
(UB) Underlying bond of an inverse floating rate trust reflected as a financing
transaction pursuant to the provisions of SFAS No. 140. See Notes to
Financial Statements, Footnote 1 - Inverse Floating Rate Securities for
more information.
|
See accompanying notes to financial statements.
26 Nuveen Investments
NUW | Nuveen Municipal Value Fund 2
| Portfolio of INVESTMENTS April 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
ALASKA - 0.0%
$ 155 Northern Tobacco Securitization Corporation, Alaska, Tobacco 6/14 at 100.00 Baa3 $ 81,167
Settlement Asset-Backed Bonds, Series 2006A, 5.000%,
6/01/46
------------------------------------------------------------------------------------------------------------------------------------
ARIZONA - 3.0%
4,000 Maricopa County Pollution Control Corporation, Arizona, 2/19 at 100.00 BBB 4,163,800
Pollution Control Revenue Bonds, El Paso Electric
Company, Refunding Series 2009A, 7.250%, 2/01/40
2,035 Salt Verde Financial Corporation, Arizona, Senior Gas No Opt. Call A 1,379,506
Revenue Bonds, Series 2007, 5.000%, 12/01/37
------------------------------------------------------------------------------------------------------------------------------------
6,035 Total Arizona 5,543,306
------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 9.8%
2,500 California State Public Works Board, Lease Revenue Bonds, 4/19 at 100.00 A- 2,551,125
Department of General Services Buildings 8 & 9, Series
2009A, 6.250%, 4/01/34
Chawanakee Unified School District, Madera County,
California, Certificates of Participation, Series 2009B:
1,000 7.125%, 5/01/34 6/09 at 100.00 A- 999,970
1,720 7.125%, 5/01/39 6/09 at 100.00 A- 1,719,914
1,125 Golden State Tobacco Securitization Corporation, California, 6/17 at 100.00 BBB 719,179
Enhanced Tobacco Settlement Asset-Backed Bonds, Series
2007A-1, 5.000%, 6/01/33
1,800 Golden State Tobacco Securitization Corporation, California, 6/15 at 100.00 A 1,413,522
Tobacco Settlement Asset-Backed Revenue Bonds, Series
2005A, 5.000%, 6/01/45
Palomar Pomerado Health General Obligation Bonds,
California, Election of 2004, Series 2009A:
9,320 0.000%, 8/01/33 - AGC Insured No Opt. Call AAA 1,858,501
10,200 0.000%, 8/01/38 - AGC Insured 8/29 at 100.00 AAA 5,267,178
Poway Unified School District, San Diego County, California,
School Facilities Improvement District 2007-1 General
Obligation Bonds, Series 2009A:
8,000 0.000%, 8/01/32 No Opt. Call AA- 1,934,160
8,000 0.000%, 8/01/33 No Opt. Call AA- 1,819,600
------------------------------------------------------------------------------------------------------------------------------------
43,665 Total California 18,283,149
------------------------------------------------------------------------------------------------------------------------------------
COLORADO - 2.6%
3,605 E-470 Public Highway Authority, Colorado, Toll Revenue 9/20 at 67.94 AA- 805,826
Bonds, Series 2004B, 0.000%, 9/01/27 - MBIA Insured
4,000 Park Creek Metropolitan District, Colorado, Senior Property No Opt. Call AAA 4,090,840
Tax Supported Revenue Bonds, Series 2009, 6.375%,
12/01/37 - AGC Insured
------------------------------------------------------------------------------------------------------------------------------------
7,605 Total Colorado 4,896,666
------------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 9.4%
10,000 Miami-Dade County, Florida, Aviation Revenue Bonds, Miami 10/19 at 100.00 A2 9,550,600
International Airport, Series 2009A, 5.500%, 10/01/41
(WI/DD, Settling 5/07/09)
Miami-Dade County, Florida, General Obligation Bonds, Build
Better Communities Program, Series 2009-B1:
2,000 5.625%, 7/01/38 7/18 at 100.00 AA- 2,017,640
2,500 6.000%, 7/01/38 7/18 at 100.00 AA- 2,599,800
|
Nuveen Investments 27
NUW | Nuveen Municipal Value Fund 2 (continued)
| Portfolio of INVESTMENTS April 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
FLORIDA (continued)
$ 4,500 Tolomato Community Development District, Florida, Special 5/18 at 100.00 N/R $ 3,341,205
Assessment Bonds, Series 2007, 6.450%, 5/01/23
------------------------------------------------------------------------------------------------------------------------------------
19,000 Total Florida 17,509,245
------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 11.9%
5,000 Illinois Finance Authority, Revenue Bonds, Northwestern 8/19 at 100.00 AA+ 5,126,800
Memorial Hospital, Series 2009A, 6.000%, 8/15/39
3,500 Illinois Finance Authority, Revenue Bonds, OSF Healthcare 5/19 at 100.00 A 3,576,545
System, Series 2009A, 7.125%, 11/15/37
5,000 Illinois Finance Authority, Revenue Bonds, Rush University 11/18 at 100.00 A- 5,230,300
Medical Center Obligated Group, Series 2009A and 2009B,
7.250%, 11/01/38
3,995 Illinois Finance Authority, Student Housing Revenue Bonds, 5/17 at 100.00 Baa3 2,829,738
Educational Advancement Fund Inc., Refunding Series
2007A, 5.250%, 5/01/34
28,000 Metropolitan Pier and Exposition Authority, Illinois, No Opt. Call AAA 5,341,840
Revenue Bonds, McCormick Place Expansion Project, Series
2002A, 0.000%, 12/15/35 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
45,495 Total Illinois 22,105,223
------------------------------------------------------------------------------------------------------------------------------------
INDIANA - 5.3%
5,000 Indiana Finance Authority, Hospital Revenue Bonds, Deaconess 3/19 at 100.00 A+ 5,013,600
Hospital Obligated Group, Series 2009A, 6.750%, 3/01/39
3,650 Indiana Health Facility Financing Authority, Revenue Bonds, 3/17 at 100.00 BBB 2,850,541
Community Foundation of Northwest Indiana, Series 2007,
5.500%, 3/01/37
2,000 Indiana Municipal Power Agency, Power Supply System Revenue 1/19 at 100.00 A+ 2,067,980
Bonds, Series 2009B, 6.000%, 1/01/39
------------------------------------------------------------------------------------------------------------------------------------
10,650 Total Indiana 9,932,121
------------------------------------------------------------------------------------------------------------------------------------
IOWA - 0.9%
3,000 Iowa Tobacco Settlement Authority, Asset Backed Settlement 6/15 at 100.00 BBB 1,683,030
Revenue Bonds, Series 2005C, 5.375%, 6/01/38
------------------------------------------------------------------------------------------------------------------------------------
LOUISIANA - 7.0%
5,000 Louisiana Citizens Property Insurance Corporation, 6/18 at 100.00 AAA 5,194,750
Assessment Revenue Bonds, Series 2006C-3, 6.125%, 6/01/25
(WI/DD, Settling 5/06/09)
Louisiana Public Facilities Authority, Revenue Bonds,
Ochsner Clinic Foundation Project, Series 2007A:
7,000 5.375%, 5/15/43 5/17 at 100.00 A3 5,158,230
275 5.500%, 5/15/47 5/17 at 100.00 A3 205,469
3,195 St John Baptist Parish, Louisiana, Revenue Bonds, Marathon 6/17 at 100.00 BBB+ 2,467,722
Oil Corporation, Series 2007A, 5.125%, 6/01/37
------------------------------------------------------------------------------------------------------------------------------------
15,470 Total Louisiana 13,026,171
------------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 1.0%
1,000 Massachusetts Turnpike Authority, Metropolitan Highway 7/09 at 101.00 A 800,800
System Revenue Bonds, Subordinate Series 1999A, 4.750%,
1/01/34 - AMBAC Insured
1,000 Massachusetts Water Pollution Abatement Trust, Pooled Loan 8/19 at 100.00 AAA 1,082,190
Program Bonds, Series 2009-14, 12.598%, 8/01/38 (IF)
------------------------------------------------------------------------------------------------------------------------------------
2,000 Total Massachusetts 1,882,990
------------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 2.3%
5,000 Detroit, Michigan, Second Lien Sewerage Disposal System 7/15 at 100.00 AA- 4,233,300
Revenue Bonds, Series 2005A, 5.000%, 7/01/35 - MBIA
Insured
------------------------------------------------------------------------------------------------------------------------------------
|
28 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
NEVADA - 3.1%
$ 250 Clark County, Nevada, Senior Lien Airport Revenue Bonds, No Opt. Call Aa2 $ 228,945
Series 2005A, 5.000%, 7/01/40 - AMBAC Insured
5,415 Las Vegas Redevelopment Agency, Nevada, Tax Increment 6/19 at 100.00 A 5,553,786
Revenue Bonds, Series 2009A, 8.000%, 6/15/30
------------------------------------------------------------------------------------------------------------------------------------
5,665 Total Nevada 5,782,731
------------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY - 2.9%
New Jersey Educational Facilities Authority Revenue Refunding
Bonds, University of Medicine and Dentistry of New Jersey
Issue, Series 2009 B:
2,135 7.125%, 12/01/23 6/19 at 100.00 Baa2 2,227,616
3,000 7.500%, 12/01/32 6/19 at 100.00 Baa2 3,069,930
------------------------------------------------------------------------------------------------------------------------------------
5,135 Total New Jersey 5,297,546
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 1.5%
3,000 Liberty Development Corporation, New York, Goldman Sachs No Opt. Call A1 2,730,120
Headquarters Revenue Bonds Series 2007, 5.500%, 10/01/37
------------------------------------------------------------------------------------------------------------------------------------
OHIO - 5.7%
5,000 American Municipal Power Ohio INC Prairie State Energy 2/19 at 100.00 AAA 5,172,000
Campus Project Revenue Bonds Series 2009 A, 5.750%,
2/15/39 - AGC Insured
5,500 Buckeye Tobacco Settlement Financing Authority, Ohio, 6/17 at 100.00 BBB 3,410,330
Tobacco Settlement Asset-Backed Revenue Bonds, Senior
Lien, Series 2007A-2, 6.500%, 6/01/47
2,000 Ohio State Higher Educational Facilities Commission, 1/15 at 100.00 A 2,028,020
Hospital Revenue Bonds, University Hospitals Health
System, Series 2009, 6.750%, 1/15/39
------------------------------------------------------------------------------------------------------------------------------------
12,500 Total Ohio 10,610,350
------------------------------------------------------------------------------------------------------------------------------------
PUERTO RICO - 2.3%
4,390 Puerto Rico Aqueduct and Sewerage Authority, Revenue Bonds, 7/18 at 100.00 BBB- 4,234,111
Senior Lien Series 2008A, 6.000%, 7/01/44
------------------------------------------------------------------------------------------------------------------------------------
RHODE ISLAND - 2.9%
3,000 Rhode Island Health and Educational Building Corporation 5/19 at 100.00 A- 3,053,940
Hospital Financing Revenue Bonds, Lifespan Obligated
Group Issue, Series 2009A, 7.000%, 5/15/39
3,220 Rhode Island Tobacco Settlement Financing Corporation, 6/12 at 100.00 BBB 2,372,432
Tobacco Settlement Asset-Backed Bonds, Series 2002A,
6.125%, 6/01/32
------------------------------------------------------------------------------------------------------------------------------------
6,220 Total Rhode Island 5,426,372
------------------------------------------------------------------------------------------------------------------------------------
TEXAS - 5.9%
13,510 Leander Independent School District, Williamson and Travis 8/17 at 27.35 AAA 2,300,213
Counties, Texas, General Obligation Bonds, Series 2008,
0.000%, 8/15/39
5,300 North Texas Thruway Authority, Second Tier System Revenue 1/18 at 100.00 A3 5,008,659
Refunding Bonds, Series 2008, 5.750%, 1/01/38
5,000 Richardson Hospital Authority, Texas, Revenue Bonds, 12/13 at 100.00 Baa2 3,605,750
Richardson Regional Medical Center, Series 2004, 6.000%,
12/01/34
------------------------------------------------------------------------------------------------------------------------------------
23,810 Total Texas 10,914,622
------------------------------------------------------------------------------------------------------------------------------------
VIRGINIA - 1.1%
2,000 Washington County Industrial Development Authority, 1/19 at 100.00 BBB+ 2,047,420
Virginia, Hospital Revenue Bonds, Mountain States Health
Alliance, Series 2009C, 7.750%, 7/01/38
------------------------------------------------------------------------------------------------------------------------------------
|
Nuveen Investments 29
NUW | Nuveen Municipal Value Fund 2 (continued)
| Portfolio of INVESTMENTS April 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 9.0%
$ 250 Badger Tobacco Asset Securitization Corporation, Wisconsin, 6/12 at 100.00 AAA $ 268,228
Tobacco Settlement Asset-Backed Bonds, Series 2002,
6.125%, 6/01/27 (Pre-refunded 6/01/12)
5,000 Wisconsin Health and Educational Facilities Authority, 4/13 at 100.00 BBB+ 4,483,600
Revenue Bonds, Aurora Healthcare Inc., Series 2003,
6.400%, 4/15/33
1,500 Wisconsin Health and Educational Facilities Authority, 2/19 at 100.00 A+ 1,508,925
Revenue Bonds, ProHealth Care, Inc. Obligated Group,
Series 2009, 6.625%, 2/15/39
10,000 Wisconsin State, General Fund Annual Appropriation Revenue 5/19 at 100.00 AA- 10,577,900
Bonds, Series 2009A, 6.000%, 5/01/36
------------------------------------------------------------------------------------------------------------------------------------
16,750 Total Wisconsin 16,838,653
------------------------------------------------------------------------------------------------------------------------------------
$ 237,545 Total Long-Term Investments (cost $156,951,354) - 87.6% 163,058,293
==============----------------------------------------------------------------------------------------------------------------------
SHORT-TERM INVESTMENTS - 6.4%
FLORIDA - 6.4%
$ 11,875 Broward County School Board, Florida, Certificates of 5/09 at 100.00 VMIG-1 11,875,000
Participation, Variable Rate Demand Obligations, Series
2005B, 0.500%, 7/01/21 - FSA Insured (4)
==============----------------------------------------------------------------------------------------------------------------------
Total Short-Term Investments (cost $11,875,000) 11,875,000
-------------------------------------------------------------------------------------------------------------------
Total Investments (cost $168,826,354) - 94.0% 174,933,293
-------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 6.0% 11,237,562
-------------------------------------------------------------------------------------------------------------------
Net Assets - 100% $ 186,170,855
===================================================================================================================
|
(1) All percentages shown in the Portfolio of Investments are based on net
assets.
(2) Optional Call Provisions: 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. Certain mortgage-backed securities may
be subject to periodic principal paydowns.
(3) Ratings: Using the higher of Standard & Poor's Group ("Standard & Poor's")
or Moody's Investor Service, Inc. ("Moody's") rating. Ratings below BBB by
Standard & Poor's or Baa by Moody's are considered to be below investment
grade.
The Portfolio of Investments may reflect the ratings on certain bonds
whose insurer has experienced downgrades as of the end of the reporting
period. Please see the Portfolio Managers' Commentary for an expanded
discussion of the affect on the Fund of changes to the ratings of certain
bonds in the portfolio resulting from changes to the ratings of the
underlying insurers both during the period and after the period end.
(4) Investment has a maturity of more than one year but has variable rate and
demand features which qualify it as a short-term investment. The rate
disclosed is that in effect at the end of the reporting period. This rate
changes periodically based on market conditions or a specified market
index.
N/R Not rated.
WI/DD Purchased on a when-issued or delayed delivery basis.
(IF) Inverse floating rate investment.
See accompanying notes to financial statements.
30 Nuveen Investments
NMI | Nuveen Municipal Income Fund, Inc.
| Portfolio of INVESTMENTS April 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
ALABAMA - 1.6%
$ 1,000 Courtland Industrial Development Board, Alabama, Solid Waste 6/15 at 100.00 BBB $ 712,270
Revenue Bonds, International
Paper Company Project, Series 2005A, 5.200%, 6/01/25
(Alternative Minimum Tax)
690 Phenix City Industrial Development Board, Alabama, 5/12 at 100.00 BBB 528,726
Environmental Improvement Revenue Bonds, MeadWestvaco
Corporation, Series 2002A, 6.350%, 5/15/35 (Alternative
Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
1,690 Total Alabama 1,240,996
------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 17.4%
5,530 Adelanto School District, San Bernardino County, California, No Opt. Call AA- 2,953,020
General Obligation Bonds, Series 1997A, 0.000%, 9/01/22 -
MBIA Insured
Brea Olinda Unified School District, California, General
Obligation Bonds, Series 1999A:
2,000 0.000%, 8/01/21 - FGIC Insured No Opt. Call AA- 1,072,000
2,070 0.000%, 8/01/22 - FGIC Insured No Opt. Call AA- 1,035,952
2,120 0.000%, 8/01/23 - FGIC Insured No Opt. Call AA- 974,670
1,000 California Health Facilities Financing Authority, Revenue 4/16 at 100.00 A+ 873,820
Bonds, Kaiser Permanante System, Series 2006, 5.250%,
4/01/39
250 California Housing Finance Agency, California, Home Mortgage 2/17 at 100.00 Aa2 187,513
Revenue Bonds, Series 2007E, 4.800%, 8/01/37 (Alternative
Minimum Tax)
3,000 California State Public Works Board, Lease Revenue Bonds, 6/14 at 100.00 A- 2,764,560
Department of Mental Health, Coalinga State Hospital,
Series 2004A, 5.000%, 6/01/25
1,000 California Statewide Community Development Authority, 7/15 at 100.00 BBB 628,940
Revenue Bonds, Daughters of Charity Health System, Series
2005A, 5.000%, 7/01/39
1,000 Golden State Tobacco Securitization Corporation, California, 6/17 at 100.00 BBB 575,800
Enhanced Tobacco Settlement Asset-Backed Bonds, Series
2007A-1, 5.750%, 6/01/47
2,000 Golden State Tobacco Securitization Corporation, California, 6/13 at 100.00 AAA 2,340,980
Tobacco Settlement Asset-Backed Bonds, Series 2003A-1,
6.750%, 6/01/39 (Pre-refunded 6/01/13) (4)
500 Lake Elsinore Public Finance Authority, California, Local 10/13 at 102.00 N/R 399,255
Agency Revenue Refunding Bonds, Series 2003H, 6.375%,
10/01/33
------------------------------------------------------------------------------------------------------------------------------------
20,470 Total California 13,806,510
------------------------------------------------------------------------------------------------------------------------------------
COLORADO - 6.3%
760 Colorado Educational and Cultural Facilities Authority, 7/12 at 100.00 BBB 650,864
Charter School Revenue Bonds, Douglas County School
District RE-1 - DCS Montessori School, Series 2002A,
6.000%, 7/15/22
410 Colorado Educational and Cultural Facilities Authority, 8/11 at 100.00 AAA 461,123
Charter School Revenue Bonds, Peak-to-Peak Charter
School, Series 2001, 7.500%, 8/15/21 (Pre-refunded
8/15/11)
1,000 Colorado Educational and Cultural Facilities Authority, 6/11 at 100.00 Ba1 (5) 1,125,300
Charter School Revenue Bonds, Weld County School District
6 - Frontier Academy, Series 2001, 7.375%, 6/01/31
(Pre-refunded 6/01/11)
1,000 Colorado Health Facilities Authority, Revenue Bonds, 6/16 at 100.00 A- 742,660
Evangelical Lutheran Good Samaritan Society, Series 2005,
5.000%, 6/01/35
2,000 Denver City and County, Colorado, Airport System Revenue 11/10 at 100.00 A+ 2,030,720
Refunding Bonds, Series 2000A, 6.000%, 11/15/16 - AMBAC
Insured (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
5,170 Total Colorado 5,010,667
------------------------------------------------------------------------------------------------------------------------------------
|
Nuveen Investments 31
NMI | Nuveen Municipal Income Fund, Inc. (continued)
| Portfolio of INVESTMENTS April 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
CONNECTICUT - 2.3%
$ 1,480 Capitol Region Education Council, Connecticut, Revenue 10/09 at 100.00 BBB $ 1,480,873
Bonds, Series 1995, 6.750%, 10/15/15
395 Eastern Connecticut Resource Recovery Authority, Solid Waste 7/09 at 100.00 BBB 382,550
Revenue Bonds, Wheelabrator Lisbon Project, Series 1993A,
5.500%, 1/01/14 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
1,875 Total Connecticut 1,863,423
------------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 2.6%
155 Dade County Industrial Development Authority, Florida, 6/09 at 100.00 N/R 130,445
Revenue Bonds, Miami Cerebral Palsy Residential Services
Inc., Series 1995, 8.000%, 6/01/22
1,250 Martin County Industrial Development Authority, Florida, 6/09 at 100.00 BB+ 1,065,563
Industrial Development Revenue Bonds, Indiantown
Cogeneration LP, Series 1994A, 7.875%, 12/15/25
(Alternative Minimum Tax)
600 Martin County Industrial Development Authority, Florida, 6/09 at 100.00 BB+ 526,494
Industrial Development Revenue Refunding Bonds,
Indiantown Cogeneration LP, Series 1995B, 8.050%,
12/15/25 (Alternative Minimum Tax)
670 Tolomato Community Development District, Florida, Special 5/14 at 101.00 N/R 379,314
Assessment Bonds, Series 2006, 5.400%, 5/01/37
------------------------------------------------------------------------------------------------------------------------------------
2,675 Total Florida 2,101,816
------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 9.8%
1,060 Chicago, Illinois, Tax Increment Allocation Bonds, 7/09 at 100.00 N/R 1,059,852
Irving/Cicero Redevelopment Project, Series 1998, 7.000%,
1/01/14
1,500 Illinois Development Finance Authority, Pollution Control 6/09 at 100.00 BBB- 1,300,710
Revenue Refunding Bonds - CIPS Debt, Series 1993C-2,
5.950%, 8/15/26
500 Illinois Development Finance Authority, Revenue Bonds, 12/12 at 100.00 BBB (5) 576,555
Chicago Charter School Foundation, Series 2002A, 6.125%,
12/01/22 (Pre-refunded 12/01/12)
2,000 Illinois Finance Authority, Revenue Bonds, Children's 8/18 at 100.00 AAA 1,764,540
Memorial Hospital, Tender Option Bond Trust 2008-1098,
9.324%, 8/15/33 - AGC Insured (IF)
1,550 Illinois Health Facilities Authority, Revenue Bonds, Condell 5/12 at 100.00 Aaa 1,714,874
Medical Center, Series 2002, 5.500%, 5/15/32
(Pre-refunded 5/15/12)
1,305 North Chicago, Illinois, General Obligation Bonds, Series 11/15 at 100.00 AA- 1,322,343
2005B, 5.000%, 11/01/25 - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
7,915 Total Illinois 7,738,874
------------------------------------------------------------------------------------------------------------------------------------
INDIANA - 3.4%
2,000 Indiana Health Facility Financing Authority, Hospital 8/12 at 101.00 Baa1 1,637,640
Revenue Bonds, Riverview Hospital, Series 2002, 6.125%,
8/01/31
1,150 Whitley County, Indiana, Solid Waste and Sewerage Disposal 11/10 at 102.00 N/R 1,037,139
Revenue Bonds, Steel Dynamics Inc., Series 1998, 7.250%,
11/01/18 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
3,150 Total Indiana 2,674,779
------------------------------------------------------------------------------------------------------------------------------------
KENTUCKY - 1.9%
1,500 Louisville-Jefferson County Metropolitan Government, 2/18 at 100.00 A+ 1,502,340
Kentucky, Health Facilities Revenue Bonds, Jewish
Hospital & Saint Mary's HealthCare Inc. Project, Series
2008, 6.125%, 2/01/37
------------------------------------------------------------------------------------------------------------------------------------
LOUISIANA - 2.6%
500 Louisiana Local Government Environmental Facilities and 1/19 at 100.00 AAA 502,900
Community Development Authority, Revenue Refunding Bonds,
City of Shreveport Airport System Project, Series 2008A,
5.750%, 1/01/28 - FSA Insured
Louisiana Public Facilities Authority, Extended Care
Facilities Revenue Bonds, Comm-Care Corporation Project,
Series 1994:
125 11.000%, 2/01/14 (ETM) No Opt. Call N/R (5) 154,616
1,130 11.000%, 2/01/14 (ETM) No Opt. Call N/R (5) 1,397,516
------------------------------------------------------------------------------------------------------------------------------------
1,755 Total Louisiana 2,055,032
------------------------------------------------------------------------------------------------------------------------------------
|
32 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
MARYLAND - 1.0%
$ 1,000 Maryland Energy Financing Administration, Revenue Bonds, AES 9/09 at 100.00 N/R $ 762,940
Warrior Run Project, Series 1995, 7.400%, 9/01/19
(Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 1.8%
335 Massachusetts Development Finance Agency, Resource Recovery 12/09 at 102.00 BBB 313,868
Revenue Bonds, Ogden Haverhill Associates, Series 1999A,
6.700%, 12/01/14 (Alternative Minimum Tax)
1,500 Massachusetts Development Finance Agency, Revenue Bonds, 1/17 at 100.00 N/R 858,090
Boston Architectural College, Series 2006, 5.000%,
1/01/37 - ACA Insured
270 Massachusetts Industrial Finance Agency, Resource Recovery 6/09 at 102.00 BBB 249,863
Revenue Refunding Bonds, Ogden Haverhill Project, Series
1998A, 5.450%, 12/01/12 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
2,105 Total Massachusetts 1,421,821
------------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 3.5%
1,000 Delta County Economic Development Corporation, Michigan, 4/12 at 100.00 AAA 1,143,800
Environmental Improvement Revenue Refunding Bonds,
MeadWestvaco Corporation - Escanaba Paper Company, Series
2002B, 6.450%, 4/15/23 (Pre-refunded 4/15/12)
(Alternative Minimum Tax)
1,880 Michigan State Hospital Finance Authority, Hospital Revenue 7/09 at 100.00 BB 1,652,858
Refunding Bonds, Sinai Hospital, Series 1995, 6.625%,
1/01/16
------------------------------------------------------------------------------------------------------------------------------------
2,880 Total Michigan 2,796,658
------------------------------------------------------------------------------------------------------------------------------------
MISSOURI - 4.4%
4,450 Missouri Environmental Improvement and Energy Resources 12/16 at 100.00 AAA 3,489,690
Authority, Water Facility Revenue Bonds,
Missouri-American Water Company, Series 2006, 4.600%,
12/01/36 - AMBAC Insured (Alternative Minimum Tax) (UB)
------------------------------------------------------------------------------------------------------------------------------------
MONTANA - 1.0%
1,200 Montana Board of Investments, Exempt Facility Revenue Bonds, 7/10 at 101.00 B- 825,384
Stillwater Mining Company, Series 2000, 8.000%, 7/01/20
(Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
NEBRASKA - 1.2%
1,000 Washington County, Nebraska, Wastewater Facilities Revenue 11/12 at 101.00 A 982,340
Bonds, Cargill Inc., Series 2002, 5.900%, 11/01/27
(Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 6.2%
1,000 Dormitory Authority of the State of New York, Revenue Bonds, 7/13 at 100.00 BBB+ 1,003,980
Brooklyn Law School, Series 2003A, 5.500%, 7/01/15 - RAAI
Insured
3,650 Yates County Industrial Development Agency, New York, 2/11 at 101.00 AAA 3,909,005
FHA-Insured Civic Facility Mortgage Revenue Bonds,
Soldiers and Sailors Memorial Hospital, Series 2000A,
6.000%, 2/01/41
------------------------------------------------------------------------------------------------------------------------------------
4,650 Total New York 4,912,985
------------------------------------------------------------------------------------------------------------------------------------
OHIO - 3.7%
520 Buckeye Tobacco Settlement Financing Authority, Ohio, 6/17 at 100.00 BBB 292,120
Tobacco Settlement Asset-Backed Revenue Bonds, Senior
Lien, Series 2007A-2, 5.875%, 6/01/47
1,000 Erie County, Ohio, Hospital Facilities Revenue Bonds, 8/16 at 100.00 A 737,850
Firelands Regional Medical Center Project, Series 2006,
5.250%, 8/15/46
2,200 Ohio Water Development Authority, Solid Waste Disposal 9/09 at 102.00 N/R 1,869,846
Revenue Bonds, Bay Shore Power, Series 1998B, 6.625%,
9/01/20 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
3,720 Total Ohio 2,899,816
------------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 1.9%
1,080 Allegheny County Hospital Development Authority, 11/10 at 102.00 AAA 1,237,507
Pennsylvania, Revenue Bonds, West Penn Allegheny Health
System, Series 2000B, 9.250%, 11/15/30 (Pre-refunded
11/15/10)
|
Nuveen Investments 33
NMI | Nuveen Municipal Income Fund, Inc. (continued)
| Portfolio of INVESTMENTS April 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA (continued)
$ 305 Carbon County Industrial Development Authority, No Opt. Call BBB- $ 306,122
Pennsylvania, Resource Recovery Revenue Refunding Bonds,
Panther Creek Partners Project, Series 2000, 6.650%,
5/01/10 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
1,385 Total Pennsylvania 1,543,629
------------------------------------------------------------------------------------------------------------------------------------
RHODE ISLAND - 0.9%
1,000 Rhode Island Tobacco Settlement Financing Corporation, 6/12 at 100.00 BBB 738,450
Tobacco Settlement Asset-Backed Bonds, Series 2002A,
6.250%, 6/01/42
------------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA - 6.7%
2,500 Greenville County School District, South Carolina, 12/12 at 101.00 AA 2,736,175
Installment Purchase Revenue Bonds, Series 2002, 5.500%,
12/01/13
475 Piedmont Municipal Power Agency, South Carolina, Electric No Opt. Call Baa1 (5) 627,508
Revenue Bonds, Series 1991, 6.750%, 1/01/19 - FGIC
Insured (ETM)
1,105 South Carolina JOBS Economic Development Authority, Economic 11/12 at 100.00 A- 998,445
Development Revenue Bonds, Bon Secours Health System
Inc., Series 2002B, 5.625%, 11/15/30
895 Tobacco Settlement Revenue Management Authority, South 5/12 at 100.00 BBB (5) 939,616
Carolina, Tobacco Settlement Asset-Backed Bonds, Series
2001B, 6.000%, 5/15/22 (Pre-refunded 5/15/12)
------------------------------------------------------------------------------------------------------------------------------------
4,975 Total South Carolina 5,301,744
------------------------------------------------------------------------------------------------------------------------------------
TENNESSEE - 3.7%
1,000 Knox County Health, Educational and Housing Facilities 4/12 at 101.00 A1 1,016,520
Board, Tennessee, Hospital Revenue Bonds, Baptist Health
System of East Tennessee Inc., Series 2002, 6.375%,
4/15/22
Shelby County Health, Educational and Housing Facilities
Board, Tennessee, Hospital Revenue Bonds, Methodist
Healthcare, Series 2002:
375 6.500%, 9/01/26 (Pre-refunded 9/01/12) 9/12 at 100.00 AAA 436,515
625 6.500%, 9/01/26 (Pre-refunded 9/01/12) 9/12 at 100.00 AAA 727,525
1,500 Sumner County Health, Educational, and Housing Facilities 11/17 at 100.00 N/R 761,865
Board, Tennessee, Revenue Refunding Bonds, Sumner
Regional Health System Inc., Series 2007, 5.500%, 11/01/37
------------------------------------------------------------------------------------------------------------------------------------
3,500 Total Tennessee 2,942,425
------------------------------------------------------------------------------------------------------------------------------------
TEXAS - 10.0%
1,500 Cameron Education Finance Corporation, Texas, Charter School 8/16 at 100.00 BBB- 876,870
Revenue Bonds, Faith Family Academy Charter School,
Series 2006A, 5.250%, 8/15/36 - ACA Insured
2,000 Gulf Coast Waste Disposal Authority, Texas, Sewerage and 4/12 at 100.00 BBB+ 1,659,800
Solid Waste Disposal Revenue Bonds, Anheuser Busch
Company, Series 2002, 5.900%, 4/01/36 (Alternative
Minimum Tax)
2,000 Matagorda County Navigation District 1, Texas, 10/13 at 101.00 AA- 1,774,080
Collateralized Revenue Refunding Bonds, Houston Light and
Power Company, Series 1995, 4.000%, 10/15/15 - MBIA
Insured
1,000 North Texas Thruway Authority, Second Tier System Revenue 1/18 at 100.00 A3 888,845
Refunding Bonds, Tender Option Bond Trust 2903, 17.140%,
1/01/38 (IF)
Weslaco Health Facilities Development Corporation, Texas,
Hospital Revenue Bonds, Knapp Medical Center, Series 2002:
2,000 6.250%, 6/01/25 6/12 at 100.00 BBB+ 2,252,160
50 6.250%, 6/01/32 6/12 at 100.00 BBB+ 56,304
1,000 West Texas Independent School District, McLennan and Hill 8/13 at 51.84 AAA 417,150
Counties, General Obligation Refunding Bonds, Series
1998, 0.000%, 8/15/25
------------------------------------------------------------------------------------------------------------------------------------
9,550 Total Texas 7,925,209
------------------------------------------------------------------------------------------------------------------------------------
VIRGIN ISLANDS - 3.1%
2,545 Virgin Islands Public Finance Authority, Senior Lien 10/14 at 100.00 BBB 2,448,086
Matching Fund Loan Note, Series 2004A, 5.250%, 10/01/19
------------------------------------------------------------------------------------------------------------------------------------
|
34 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
VIRGINIA - 3.1%
$ 1,000 Chesterfield County Industrial Development Authority, 11/10 at 102.00 Baa1 $ 1,035,390
Virginia, Pollution Control Revenue Bonds, Virginia
Electric and Power Company, Series 1987A, 5.875%, 6/01/17
1,500 Mecklenburg County Industrial Development Authority, 10/12 at 100.00 Baa1 1,395,255
Virginia, Revenue Bonds, UAE Mecklenburg Cogeneration LP,
Series 2002, 6.500%, 10/15/17 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
2,500 Total Virginia 2,430,645
------------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 0.4%
500 Washington State Health Care Facilities Authority, Revenue No Opt. Call N/R 317,615
Bonds, Northwest Hospital and Medical Center of Seattle,
Series 2007, 5.700%, 12/01/32
------------------------------------------------------------------------------------------------------------------------------------
WEST VIRGINIA - 0.7%
550 Mason County, West Virginia, Pollution Control Revenue 10/11 at 100.00 BBB 533,236
Bonds, Appalachian Power Company, Series 2003L, 5.500%,
10/01/22
------------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 1.2%
1,000 Wisconsin Health and Educational Facilities Authority, 10/11 at 100.00 BBB 977,190
Revenue Bonds, Carroll College Inc., Series 2001, 6.250%,
10/01/21
------------------------------------------------------------------------------------------------------------------------------------
$ 94,710 Total Investments (cost $86,083,700) - 102.4% 81,244,300
==============----------------------------------------------------------------------------------------------------------------------
Floating Rate Obligations - (4.2)% (3,335,000)
-------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 1.8% 1,439,926
-------------------------------------------------------------------------------------------------------------------
Net Assets - 100% $ 79,349,226
===================================================================================================================
|
(1) All percentages shown in the Portfolio of Investments are based on net
assets.
(2) Optional Call Provisions: 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. Certain mortgage-backed securities may
be subject to periodic principal paydowns.
(3) Ratings: Using the higher of Standard & Poor's Group ("Standard & Poor's")
or Moody's Investor Service, Inc. ("Moody's") rating. Ratings below BBB by
Standard & Poor's or Baa by Moody's are considered to be below investment
grade.
The Portfolio of Investments may reflect the ratings on certain bonds
whose insurer has experienced downgrades as of the end of the reporting
period. Please see the Portfolio Managers' Commentary for an expanded
discussion of the affect on the Fund of changes to the ratings of certain
bonds in the portfolio resulting from changes to the ratings of the
underlying insurers both during the period and after the period end.
(4) Portion of investment has been pledged as collateral for Recourse Trusts.
(5) Backed by an escrow or trust containing sufficient U.S. Government or U.S.
Government agency securities which ensure the timely payment of principal
and interest. Such investments are normally considered to be equivalent to
AAA rated securities.
N/R Not rated.
(ETM) Escrowed to maturity.
(IF) Inverse floating rate investment.
(UB) Underlying bond on an inverse floating rate trust reflected as a financing
transaction pursuant to the provisions of SFAS No. 140. See Notes to
Financial Statements, Footnote 1 - Inverse Floating Rate Securities for
more information.
|
See accompanying notes to financial statements.
Nuveen Investments 35
| Statement of ASSETS & LIABILITIES April 30, 2009 (Unaudited)
MUNICIPAL VALUE MUNICIPAL VALUE 2 MUNICIPAL INCOME
(NUV) (NUW) (NMI)
-----------------------------------------------------------------------------------------------------------------------
ASSETS
Investments, at value (cost $1,857,978,637, $168,826,354 and
$86,083,700, respectively) $ 1,760,126,193 $ 174,933,293 $ 81,244,300
Cash -- 24,862,665 325,262
Receivables:
Interest 29,373,153 1,807,020 1,548,783
Investments sold 3,402,450 5,000 310,000
Other assets 172,147 -- 6,477
-----------------------------------------------------------------------------------------------------------------------
Total assets 1,793,073,943 201,607,978 83,434,822
-----------------------------------------------------------------------------------------------------------------------
LIABILITIES
Floating rate obligations 28,870,000 -- 3,335,000
Cash overdraft 2,841,222 -- --
Payables:
Investments purchased -- 14,633,646 368,878
Dividends 6,312,435 300,362 305,238
Accrued expenses:
Management fees 818,078 87,680 41,757
Organization and offering costs -- 385,000 --
Other 677,899 30,435 34,723
-----------------------------------------------------------------------------------------------------------------------
Total liabilities 39,519,634 15,437,123 4,085,596
-----------------------------------------------------------------------------------------------------------------------
Net assets $ 1,753,554,309 $ 186,170,855 $ 79,349,226
=======================================================================================================================
Shares outstanding 196,332,013 12,607,000 8,157,632
=======================================================================================================================
Net asset value per share outstanding $ 8.93 $ 14.77 $ 9.73
=======================================================================================================================
NET ASSETS CONSIST OF:
-----------------------------------------------------------------------------------------------------------------------
Shares, $.01 par value per share $ 1,963,320 $ 126,070 $ 81,576
Paid-in surplus 1,850,341,804 180,091,205 91,263,733
Undistributed (Over-distribution of) net investment income 3,858,197 (154,898) 697,119
Accumulated net realized gain (loss) from investments and
derivative transactions (4,756,568) 1,539 (7,853,802)
Net unrealized appreciation (depreciation) of investments (97,852,444) 6,106,939 (4,839,400)
-----------------------------------------------------------------------------------------------------------------------
Net assets $ 1,753,554,309 $ 186,170,855 $ 79,349,226
=======================================================================================================================
Authorized shares 350,000,000 Unlimited 200,000,000
=======================================================================================================================
|
See accompanying notes to financial statements.
36 Nuveen Investments
| Statement of OPERATIONS Six Months Ended April 30, 2009 (Unaudited)
MUNICIPAL VALUE MUNICIPAL VALUE 2 MUNICIPAL INCOME
(NUV) (NUW)* (NMI)
-----------------------------------------------------------------------------------------------------------------------
INVESTMENT INCOME $ 52,909,429 $ 926,346 $ 2,609,309
-----------------------------------------------------------------------------------------------------------------------
EXPENSES
Management fees 4,817,313 177,623 246,710
Shareholders' servicing agent fees and expenses 185,141 915 9,666
Interest expense on floating rate obligations 144,531 -- 15,717
Custodian's fees and expenses 136,671 6,852 11,316
Directors'/Trustees' fees and expenses 32,875 1,662 1,517
Professional fees 57,661 4,204 6,033
Shareholders' reports - printing and mailing expenses 237,432 14,006 16,756
Stock exchange listing fees 34,336 -- 4,601
Investor relations expense 30,196 3,682 1,969
Other expenses 29,653 846 3,977
-----------------------------------------------------------------------------------------------------------------------
Total expenses before custodian fee credit 5,705,809 209,790 318,262
Custodian fee credit (8,722) (946) (1,773)
-----------------------------------------------------------------------------------------------------------------------
Net expenses 5,697,087 208,844 316,489
-----------------------------------------------------------------------------------------------------------------------
Net investment income 47,212,342 717,502 2,292,820
-----------------------------------------------------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) from:
Investments (1,216,758) 1,539 (39,338)
Futures -- -- 196,281
Change in net unrealized appreciation (depreciation) of:
Investments 64,439,649 6,106,939 3,157,647
Futures -- -- 100,144
-----------------------------------------------------------------------------------------------------------------------
Net realized and unrealized gain (loss) 63,222,891 6,108,478 3,414,734
-----------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets from operations $ 110,435,233 $ 6,825,980 $ 5,707,554
=======================================================================================================================
|
*For the period February 25, 2009 (commencement of operations) through April 30,
2009.
See accompanying notes to financial statements.
Nuveen Investments 37
| Statement of CHANGES in NET ASSETS(Unaudited)
MUNICIPAL VALUE (NUV) MUNICIPAL VALUE 2 (NUW) MUNICIPAL INCOME (NMI)
---------------------------------- ----------------------- -----------------------------
FOR THE PERIOD 2/25/09
SIX MONTHS (COMMENCEMENT SIX MONTHS
ENDED YEAR ENDED OF OPERATIONS) ENDED YEAR ENDED
4/30/09 10/31/08 THROUGH 4/30/09 4/30/09 10/31/08
----------------------------------------------------------------------------------------------------------------------------------
OPERATIONS
Net investment income $ 47,212,342 $ 92,078,698 $ 717,502 $ 2,292,820 $ 4,315,417
Net realized gain (loss) from:
Investments (1,216,758) (3,904,828) 1,539 (39,338) (120,921)
Futures -- -- -- 196,281 56,305
Change in net unrealized
appreciation (depreciation) of:
Investments 64,439,649 (287,804,822) 6,106,939 3,157,647 (12,150,685)
Futures -- -- -- 100,144 (100,144)
----------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net
assets from operations 110,435,233 (199,630,952) 6,825,980 5,707,554 (8,000,028)
----------------------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO SHAREHOLDERS
From net investment income (46,278,230) (91,737,819) (872,400) (2,094,469) (4,095,547)
From accumulated net realized gains -- (5,519,843) -- -- --
----------------------------------------------------------------------------------------------------------------------------------
Decrease in net assets from
distributions to shareholders (46,278,230) (97,257,662) (872,400) (2,094,469) (4,095,547)
----------------------------------------------------------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS
Proceeds from sale at shares,
net of offering costs -- -- 180,117,000 -- --
Net proceeds from shares issued
to shareholders due to
reinvestment of distributions 4,979,624 6,771,749 -- 183,041 224,555
----------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets
from capital share transactions 4,979,624 6,771,749 180,117,000 183,041 224,555
----------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets 69,136,627 (290,116,865) 186,070,580 3,796,126 (11,871,020)
----------------------------------------------------------------------------------------------------------------------------------
Net assets at the beginning of period 1,684,417,682 1,974,534,547 100,275 75,553,100 87,424,120
----------------------------------------------------------------------------------------------------------------------------------
Net assets at the end of period $ 1,753,554,309 $ 1,684,417,682 $ 186,170,855 $ 79,349,226 $ 75,553,100
==================================================================================================================================
Undistributed (Over-distribution of)
net investment income at
the end of period $ 3,858,197 $ 2,924,085 $ (154,898) $ 697,119 $ 498,768
==================================================================================================================================
|
See accompanying notes to financial statements.
38 Nuveen Investments
| Notes to FINANCIAL STATEMENTS (Unaudited)
1. GENERAL INFORMATION AND SIGNIFICANT ACCOUNTING POLICIES
The funds covered in this report and their corresponding New York Stock Exchange
symbols are Nuveen Municipal Value Fund, Inc. (NUV), Nuveen Municipal Value Fund
2 (NUW) and Nuveen Municipal Income Fund, Inc. (NMI) (collectively, the
"Funds"). The Funds are registered under the Investment Company Act of 1940, as
amended, as closed-end, diversified management investment companies.
Prior to the commencement of operations, Municipal Value Fund 2 (NUW) had no
operations other than those related to organizational matters, the initial
capital contribution of $100,275 by Nuveen Asset Management (the "Advisor"), a
wholly owned subsidiary of Nuveen Investments, Inc. ("Nuveen"), and the
recording of the organization expense ($15,000) and their reimbursement by
Nuveen Investments, LLC, also a wholly owned subsidiary of Nuveen.
Each Fund's primary investment objective is to provide current income exempt
from regular federal income tax by investing primarily in a portfolio of
municipal obligations issued by state and local government authorities or
certain US territories.
The following is a summary of significant accounting policies followed by the
Funds in the preparation of their financial statements in accordance with US
generally accepted accounting principles.
Investment 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 Directors/Trustees. Futures
contracts are valued using the closing settlement price, or in the absence of
such a price, at the mean of the bid and asked prices. When market price quotes
are not readily available (which is usually the case for municipal securities),
the pricing service or, in absence of a pricing service for a particular
investment, the Board of Directors/Trustees of the Fund, or its designee, may
establish fair value using a wide variety of market data including yields or
prices of investments of comparable quality, type of issue, coupon, maturity and
rating, market quotes or indications of value from securities dealers,
evaluations of anticipated cash flows or collateral, general market conditions
and other information analysis, including the obligor's credit characteristics
considered relevant. Temporary investments in securities that have variable rate
and demand features qualifying them as short-term investments are valued at
amortized cost, which approximates value.
Investment Transactions
Investment transactions are recorded on a trade date basis. Realized gains and
losses from transactions are determined on the specific identification method.
Investments purchased on a when-issued/delayed delivery basis may have extended
settlement periods. Any investments so purchased are subject to market
fluctuation during this period. The Funds have instructed the custodian to
segregate assets with a current value at least equal to the amount of the
when-issued/delayed delivery purchase commitments. At April 30, 2009, Municipal
Value 2 (NUW) had outstanding when issued/delayed delivery purchase commitments
of $14,559,550. There were no such outstanding purchase commitments in either of
the other Funds.
Investment Income
Interest income, which includes the amortization of premiums and accretion of
discounts for financial reporting purposes, is recorded on an accrual basis.
Investment income also includes paydown gains and losses, if any.
Income Taxes
Each Fund is a separate taxpayer for federal income tax purposes. Each Fund
intends to distribute substantially all of its net investment income and net
capital gains to shareholders and to otherwise comply with the requirements of
Subchapter M of the Internal Revenue Code applicable to regulated investment
companies. Therefore, no federal income tax provision is required.
Nuveen Investments 39
| Notes to FINANCIAL STATEMENTS (continued) (Unaudited)
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. Net realized capital gains and ordinary income
distributions paid by the Funds are subject to federal taxation.
For all open tax years and all major taxing jurisdictions, management of the
Funds has concluded that there are no significant uncertain tax positions that
would require recognition in the financial statements. Open tax years are those
that are open for examination by taxing authorities (i.e., generally the last
four tax year ends and the interim tax period since then). Furthermore,
management of the Funds is also not aware of any tax positions for which it is
reasonably possible that the total amounts of unrecognized tax benefits will
significantly change in the next twelve months.
Dividends and Distributions to Shareholders
Dividends from tax-exempt net investment income are declared monthly. Net
realized capital gains and/or market discount from investment transactions, if
any, are distributed to shareholders at least 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 US generally accepted
accounting principles.
Inverse Floating Rate Securities
Each Fund is authorized to invest in inverse floating rate securities. An
inverse floating rate security is created by depositing a municipal bond,
typically with a fixed interest rate, into a special purpose trust created by a
broker-dealer. In turn, this trust (a) issues floating rate certificates, in
face amounts equal to some fraction of the deposited bond's par amount or market
value, that typically pay short-term tax-exempt interest rates to third parties,
and (b) issues to a long-term investor (such as one of the Funds) an inverse
floating rate certificate (sometimes referred to as an "inverse floater") that
represents all remaining or residual interest in the trust. The income received
by the inverse floater holder varies inversely with the short-term rate paid to
the floating rate certificates' holders, and in most circumstances the inverse
floater holder bears substantially all of the underlying bond's downside
investment risk and also benefits disproportionately from any potential
appreciation of the underlying bond's value. The price of an inverse floating
rate security will be more volatile than that of the underlying bond because the
interest rate is dependent on not only the fixed coupon rate of the underlying
bond but also on the short-term interest paid on the floating rate certificates,
and because the inverse floating rate security essentially bears the risk of
loss of the greater face value of the underlying bond.
A Fund may purchase an inverse floating rate security in a secondary market
transaction without first owning the underlying bond (referred to as an
"externally-deposited inverse floater"), or instead by first selling a
fixed-rate bond to a broker-dealer for deposit into the special purpose trust
and receiving in turn the residual interest in the trust (referred to as a
"self-deposited inverse floater"). The inverse floater held by a Fund gives the
Fund the right (a) to cause the holders of the floating rate certificates to
tender their notes at par, and (b) to have the broker transfer the fixed-rate
bond held by the trust to the Fund, thereby collapsing the trust. An investment
in an externally-deposited inverse floater is identified in the Portfolio of
Investments as "(IF) - Inverse floating rate investment." An investment in a
self-deposited inverse floater is accounted for as a financing transaction in
accordance with Statement of Financial Accounting Standards No. 140 (SFAS No.
140) "Accounting for Transfers and Servicing of Financial Assets and
Extinguishment of Liabilities." In such instances, a fixed-rate bond deposited
into a special purpose trust is identified in the Portfolio of Investments as
"(UB) - Underlying bond of an inverse floating rate trust," with the Fund
accounting for the short-term floating rate certificates issued by the trust as
"Floating rate obligations" on the Statement of Assets and Liabilities. In
addition, the Fund reflects in Investment Income the entire earnings of the
underlying bond and the related interest paid to the holders of the short-term
floating rate certificates is recognized as "Interest expense on floating rate
obligations" on the Statement of Operations.
During the six months ended April 30, 2009, Municipal Value (NUV) and Municipal
Income (NMI) invested in externally-deposited inverse floaters and/or
self-deposited inverse floaters. During the period February 25, 2009
(commencement of operations) through April 30, 2009, Municipal Value 2 (NUW)
invested in externally-deposited inverse floaters.
40 Nuveen Investments
Each Fund may also enter into shortfall and forbearance agreements (sometimes
referred to as a "recourse trust" or "credit recovery swap") (such agreements
referred to herein as "Recourse Trusts") with a broker-dealer by which a Fund
agrees to reimburse the broker-dealer, in certain circumstances, for the
difference between the liquidation value of the fixed-rate bond held by the
trust and the liquidation value of the floating rate certificates issued by the
trust plus any shortfalls in interest cash flows. Under these agreements, a
Fund's potential exposure to losses related to or on inverse floaters may
increase beyond the value of a Fund's inverse floater investments as a Fund may
potentially be liable to fulfill all amounts owed to holders of the floating
rate certificates. At period end, any such shortfall is included as "Unrealized
depreciation on Recourse Trusts" on the Statement of Assets and Liabilities.
At April 30, 2009, each Fund's maximum exposure to externally-deposited Recourse
Trusts is as follows:
MUNICIPAL MUNICIPAL MUNICIPAL
VALUE (NUV) VALUE 2 (NUW) INCOME (NMI)
--------------------------------------------------------------------------------
Maximum exposure $ 7,500,000 $ 2,000,000 $ 3,005,000
================================================================================
|
The average floating rate obligations outstanding and average annual interest
rate and fees related to self-deposited inverse floaters during the six months
ended April 30, 2009, were as follows:
MUNICIPAL MUNICIPAL
VALUE (NUV) INCOME (NMI)
--------------------------------------------------------------------------------
Average floating rate obligations $ 28,870,000 $ 3,335,000
Average annual interest rate and fees 1.01% 0.95%
================================================================================
|
Futures Contracts
Each Fund is authorized to invest in futures contracts. Upon entering into a
futures contract, a Fund is required to deposit with the broker an amount of
cash or liquid securities equal to a specified percentage of the contract
amount. This is known as the "initial margin." Subsequent payments ("variation
margin") are made or received by a Fund each day, depending on the daily
fluctuation of the value of the contract.
During the period the futures contract is open, changes in the value of the
contract are recognized as an unrealized gain or loss by "marking-to-market" on
a daily basis to reflect the changes in market value of the contract. When the
contract is closed or expired, a Fund records a realized gain or loss equal to
the difference between the value of the contract on the closing date and value
of the contract when originally entered into. Cash held by the broker to cover
initial margin requirements on open futures contracts, if any, is recognized on
the Statement of Assets and Liabilities. Additionally, the Statement of Assets
and Liabilities reflects a receivable or payable for the variation margin, when
applicable. Municipal Income (NMI) invested in futures contracts during the six
months ended April 30, 2009.
Risks of investments in futures contracts include the possible adverse movement
of the securities or indices underlying the contracts, the possibility that
there may not be a liquid secondary market for the contracts and/or that a
change in the value of the contract may not correlate with a change in the value
of the underlying securities or indices.
Zero Coupon Securities
Each Fund is authorized to invest in zero coupon securities. A zero coupon
security does not pay a regular interest coupon to its holders during the life
of the security. Tax-exempt income to the holder of the security comes from
accretion of the difference between the original purchase price of the security
at issuance and the par value of the security at maturity and is effectively
paid at maturity. Such securities are included in the Portfolios of Investments
with a 0.000% coupon rate in their description. The market prices of zero coupon
securities generally are more volatile than the market prices of securities that
pay interest periodically.
Organization and Offering Costs
Nuveen Investments, LLC has agreed to reimburse all organization expenses
($15,000) and pay all offering costs (other than the sales load) that exceed
$.03 per share of Municipal Value 2 (NUW) share. Municipal Value 2's (NUW) share
of offering costs ($378,000) were recorded as reductions of the proceeds from
the sale of shares.
Custodian Fee Credit
Each Fund has an arrangement with the custodian bank whereby certain custodian
fees and expenses are reduced by net credits earned on each Fund's cash on
deposit with the bank. Such deposit arrangements are an alternative to overnight
investments. Credits for cash balances may be offset by charges for any days on
which a Fund overdraws its account at the custodian bank.
Indemnifications
Under the Funds' organizational documents, their Officers and Directors/Trustees
are indemnified against certain liabilities arising out of the performance of
their duties to the Funds. In addition, in the normal course of business, the
Funds enter into contracts that provide general indemnifications to other
parties. The Funds' maximum exposure under these arrangements is unknown as this
would involve future claims that may be made against the Funds that have not yet
occurred. However, the Funds have not had prior claims or losses pursuant to
these contracts and expect the risk of loss to be remote.
Nuveen Investments 41
| Notes to FINANCIAL STATEMENTS (continued) (Unaudited)
Use of Estimates
The preparation of financial statements in conformity with US generally accepted
accounting principles 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.
2. FAIR VALUE MEASUREMENTS
During the current fiscal period, the Funds adopted the provisions of Statement
of Financial Accounting Standards No. 157 (SFAS No. 157) "Fair Value
Measurements." SFAS No. 157 defines fair value, establishes a framework for
measuring fair value in generally accepted accounting principles, and expands
disclosure about fair value measurements. In determining the value of each
Fund's investments various inputs are used. These inputs are summarized in the
three broad levels listed below:
Level 1 - Quoted prices in active markets for identical securities.
Level 2 - Other significant observable inputs (including quoted prices for
similar securities, interest rates, prepayment speeds, credit risk,
etc.).
Level 3 - Significant unobservable inputs (including management's assumptions
in determining the fair value of investments).
The inputs or methodology used for valuing securities are not an indication of
the risk associated with investing in those securities. The following is a
summary of each Fund's fair value measurements as of April 30, 2009:
MUNICIPAL VALUE (NUV) LEVEL 1 LEVEL 2 LEVEL 3 TOTAL
--------------------------------------------------------------------------------
Investments $ -- $ 1,760,126,193 $ -- $ 1,760,126,193
================================================================================
MUNICIPAL VALUE 2 (NUW) LEVEL 1 LEVEL 2 LEVEL 3 TOTAL
--------------------------------------------------------------------------------
Investments $ -- $ 174,933,293 $ -- $ 174,933,293
================================================================================
MUNICIPAL INCOME (NMI) LEVEL 1 LEVEL 2 LEVEL 3 TOTAL
--------------------------------------------------------------------------------
Investments $ -- $ 81,244,300 $ -- $ 81,244,300
================================================================================
|
3. FUND SHARES
On July 30, 2008, Municipal Value's (NUV) and Municipal Income's (NMI) Board of
Directors approved a program under which each Fund may repurchase an aggregate
of up to approximately 10% of its outstanding shares. Municipal Value (NUV) and
Municipal Income (NMI) did not repurchase any of their shares during the six
months ended April 30, 2009, or the fiscal year ended October 31, 2008.
Transactions in shares were as follows:
MUNICIPAL VALUE (NUV) MUNICIPAL VALUE 2 (NUW) MUNICIPAL INCOME (NMI)
--------------------- --------------------------- ----------------------
SIX MONTHS YEAR FOR THE PERIOD 2/25/09 SIX MONTHS YEAR
ENDED ENDED (COMMENCEMENT OF OPERATIONS) ENDED ENDED
4/30/09 10/31/08 THROUGH 4/30/09 4/30/09 10/31/08
---------------------------------------------------------------------------------------------------------------------------
Shares sold -- -- 12,600,000 -- --
Shares issued to shareholders
due to reinvestment of distributions 575,571 709,000 -- 19,503 21,474
===========================================================================================================================
|
42 Nuveen Investments
4. INVESTMENT TRANSACTIONS
Purchases and sales (including maturities but excluding short-term investments
and derivative transactions) during the six months ended April 30, 2009, were as
follows:
MUNICIPAL MUNICIPAL MUNICIPAL
VALUE (NUV) VALUE 2 (NUW)* INCOME (NMI)
--------------------------------------------------------------------------------
Purchases $ 65,614,492 $ 156,774,187 $ 4,661,629
Sales and maturities 35,834,760 5,000 4,301,570
================================================================================
|
* For the period February 25, 2009 (commencement of operations) through April
30, 2009.
5. INCOME TAX INFORMATION
The following information is presented on an income tax basis. Differences
between amounts for financial statement and federal income tax purposes are
primarily due to timing differences in recognizing taxable market discount,
timing differences in recognizing certain gains and losses on investments
transactions and the treatment of investments in inverse floating rate
transactions subject to SFAS No. 140, if any. To the extent that differences
arise that are permanent in nature, such amounts are reclassified within the
capital accounts on the Statement of Assets and Liabilities presented in the
annual report, based on their federal tax basis treatment; temporary differences
do not require reclassification. Temporary and permanent differences do not
impact the net asset values of the Funds.
At April 30, 2009, the cost of investments was as follows:
MUNICIPAL MUNICIPAL MUNICIPAL
VALUE (NUV) VALUE 2 (NUW) INCOME (NMI)
--------------------------------------------------------------------------------
Cost of investments $ 1,825,540,903 $ 168,741,438 $ 82,625,454
================================================================================
|
Gross unrealized appreciation and gross unrealized depreciation of investments
at April 30, 2009, were as follows:
MUNICIPAL MUNICIPAL MUNICIPAL
VALUE (NUV) VALUE 2 (NUW) INCOME (NMI)
--------------------------------------------------------------------------------
Gross unrealized:
Appreciation $ 91,324,135 $ 6,673,784 $ 3,547,550
Depreciation (185,608,084) (481,929) (8,265,884)
--------------------------------------------------------------------------------
Net unrealized appreciation
(depreciation) of investments $ (94,283,949) $ 6,191,855 $ (4,718,334)
================================================================================
|
The tax components of undistributed net tax-exempt income, net ordinary income
and net long-term capital gains at October 31, 2008, the Funds' last tax year
end, were as follows:
MUNICIPAL MUNICIPAL
VALUE (NUV) INCOME (NMI)
--------------------------------------------------------------------------------
Undistributed net tax-exempt income * $ 6,114,417 $ 730,247
Undistributed net ordinary income ** 394,292 3,695
Undistributed net long-term capital gains -- --
================================================================================
|
* Undistributed net tax-exempt income (on a tax basis) has not been reduced
for the dividend declared on October 1, 2008, paid on November 3, 2008.
** Net ordinary income consists of taxable market discount income and net
short-term capital gains, if any.
The tax character of distributions paid during the Funds' last tax year ended
October 31, 2008, was designated for purposes of the dividends paid deduction as
follows:
MUNICIPAL MUNICIPAL
VALUE (NUV) INCOME (NMI)
--------------------------------------------------------------------------------
Distributions from net tax-exempt income $ 91,392,283 $ 4,094,646
Distributions from net ordinary income ** 333,473 --
Distributions from net long-term capital gains 5,504,256 --
================================================================================
** Net ordinary income consists of taxable market discount income and net
short-term capital gains, if any.
|
Nuveen Investments 43
| Notes to FINANCIAL STATEMENTS (continued) (Unaudited)
At October 31, 2008, the Funds' last tax year end, 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:
MUNICIPAL MUNICIPAL
VALUE (NUV) INCOME (NMI)
--------------------------------------------------------------------------------
Expiration:
October 31, 2011 $ -- $ 6,864,744
October 31, 2012 -- 916,759
October 31, 2013 -- 165,764
October 31, 2016 2,828,731 164,175
--------------------------------------------------------------------------------
Total $ 2,828,731 $ 8,111,442
================================================================================
|
6. MANAGEMENT FEES AND OTHER TRANSACTIONS WITH AFFILIATES
Each Fund's management fee is separated into components - a complex-level
component, based on the aggregate amount of all fund assets managed by the
Adviser and a specific fund-level component, based only on the amount of assets
within each individual Fund, and for Municipal Value (NUV) a gross interest
income component. This pricing structure enables Nuveen fund shareholders to
benefit from growth in the assets within each individual fund as well as from
growth in the amount of complex-wide assets managed by the Adviser.
Municipal Value's (NUV) annual fund-level fee, payable monthly, at the rates set
forth below, are based upon the average daily net assets of the Fund as follows:
MUNICIPAL VALUE (NUV)
AVERAGE DAILY NET ASSETS (1) FUND-LEVEL FEE RATE
--------------------------------------------------------------------------------
For the first $500 million .1500%
For the next $500 million .1250
For net assets over $1 billion .1000
================================================================================
|
In addition, Municipal Value (NUV) pays an annual management fee, payable
monthly, based on gross interest income (excluding interest on bonds underlying
a "self-deposited inverse floater" trust that is attributed to the Fund over and
above the net interest earned on the inverse floater itself) as follows:
MUNICIPAL VALUE (NUV)
GROSS INTEREST INCOME GROSS INCOME FEE RATE
--------------------------------------------------------------------------------
For the first $50 million 4.125%
For the next $50 million 4.000
For gross income over $100 million 3.875
================================================================================
44 Nuveen Investments
|
Municipal Value 2's (NUW) annual fund-level fee, payable monthly, at the rates
set forth below, are based upon the average daily managed assets of the Fund as
follows:
MUNICIPAL VALUE 2 (NUW)
AVERAGE DAILY MANAGED NET ASSETS (1) FUND-LEVEL FEE RATE
--------------------------------------------------------------------------------
For the first $125 million .4000%
For the next $125 million .3875
For the next $250 million .3750
For the next $500 million .3625
For the next $1 billion .3500
For net assets over $2 billion .3375
================================================================================
|
Municipal Income's (NMI) annual fund-level fee, payable monthly, at the rates
set forth below, are based upon the average daily net assets of the Fund as
follows:
MUNICIPAL INCOME (NMI)
AVERAGE DAILY NET ASSETS (1) FUND-LEVEL FEE RATE
--------------------------------------------------------------------------------
For the first $125 million .4500%
For the next $125 million .4375
For the next $250 million .4250
For the next $500 million .4125
For the next $1 billion .4000
For the next $3 billion .3875
For net assets over $5 billion .3750
================================================================================
|
The annual complex-level fee, payable monthly, which is additive to the
fund-level fee and Municipal Value's (NUV) gross interest income fee, for all
Nuveen sponsored funds in the U.S., is based on the aggregate amount of total
fund assets managed as stated in the following table. As of April 30, 2009, the
complex-level fee rate was .1998%.
The complex-level fee schedule is as follows:
EFFECTIVE RATE
COMPLEX-LEVEL NET ASSET BREAKPOINT LEVEL (1) AT BREAKPOINT LEVEL
--------------------------------------------------------------------------------
$55 billion .2000%
$56 billion .1996
$57 billion .1989
$60 billion .1961
$63 billion .1931
$66 billion .1900
$71 billion .1851
$76 billion .1806
$80 billion .1773
$91 billion .1691
$125 billion .1599
$200 billion .1505
$250 billion .1469
$300 billion .1445
================================================================================
|
(1) The complex-level fee component of the management fee for the funds is
calculated based upon the aggregate daily managed net assets of all Nuveen
funds, with such daily managed net assets defined separately for each fund
in its management agreement, but excluding assets attributable to
investments in other Nuveen funds. For the complex-level and fund-level
fee components, daily managed net assets includes assets managed by the
Adviser that are attributable to each fund's use of financial leverage.
For these purposes, financial leverage includes the funds' use of
preferred stock and borrowings and investments in the residual interest
certificates (also called inverse floating rate securities) in tender
option bond (TOB) trusts, including the portion of assets held by the TOB
trust that has been effectively financed by the trust's issuance of
floating rate securities, subject to an agreement by the Adviser to limit
the amount of such assets for determining managed net assets in certain
circumstances.
Nuveen Investments 45
| Notes to FINANCIAL STATEMENTS (continued) (Unaudited)
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 Directors/Trustees who are affiliated with
the Adviser or to its Officers, all of whom receive remuneration for their
services to the Funds from the Adviser or its affiliates. The Board of
Directors/Trustees has adopted a deferred compensation plan for independent
Directors/Trustees that enables Directors/Trustees to elect to defer receipt of
all or a portion of the annual compensation they are entitled to receive from
certain Nuveen advised funds. Under the plan, deferred amounts are treated as
though equal dollar amounts had been invested in shares of select Nuveen advised
funds.
7. NEW ACCOUNTING PRONOUNCEMENTS
Financial Accounting Standards Board Statement of Financial Accounting Standards
No. 161 (SFAS No. 161) In March 2008, the FASB issued SFAS No. 161, "Disclosures
about Derivative Instruments and Hedging Activities." This standard is intended
to enhance financial statement disclosures for derivative instruments and
hedging activities and enable investors to understand: a) how and why a fund
uses derivative instruments, b) how derivative instruments and related hedge
items are accounted for, and c) how derivative instruments and related hedge
items affect a fund's financial position, results of operations and cash flows.
SFAS No. 161 is effective for financial statements issued for fiscal years and
interim periods beginning after November 15, 2008. As of October 31, 2008,
management does not believe the adoption of SFAS No. 161 will impact the
financial statement amounts; however, additional footnote disclosures may be
required about the use of derivative instruments and hedging items.
Financial Accounting Standards Board Staff Position No. 157-4 (FSP No. 157-4)
On April 9, 2009, the Financial Accounting Standards Board issued FSP No. 157-4,
"Determining Fair Value When the Volume and Level of Activity for the Asset or
Liability Have Significantly Decreased and Identifying Transactions That Are Not
Orderly." FSP No. 157-4 provides additional guidance for estimating fair value
in accordance with SFAS No. 157, "Fair Value Measurements," when the volume and
level of activity for the asset or liability have significantly decreased. FSP
No. 157-4 also requires additional disaggregation of the current SFAS No. 157
required disclosures. FSP No. 157-4 is effective for interim and annual
reporting periods ending after June 15, 2009, and shall be applied
prospectively. At this time, management is evaluating the implications of FSP
No. 157-4 and the impact it will have on the financial statement disclosures.
8. SUBSEQUENT EVENTS
Distributions to Shareholders
The Funds declared dividend distributions from their tax-exempt net investment
income which were paid on June 1, 2009, to shareholders of record on May 15,
2009, as follows:
MUNICIPAL MUNICIPAL MUNICIPAL
VALUE (NUV) VALUE 2 (NUW) INCOME (NMI)
--------------------------------------------------------------------------------
Dividend per share $ .0390 $ .0750 $ .0445
================================================================================
46 Nuveen Investments
|
| Financial HIGHLIGHTS (Unaudited)
Nuveen Investments 47
| Financial HIGHLIGHTS (Unaudited)
Selected data for a share outstanding throughout each period:
Investment Operations Less Distributions
-------------------------------- ---------------------------
Net Ending
Beginning Net Realized/ Net Net Ending
Net Asset Investment Unrealized Investment Capital Offering Asset Market
Value Income Gain (Loss) Total Income Gains Total Costs Value Value
-----------------------------------------------------------------------------------------------------------------------------
MUNICIPAL VALUE (NUV)
-----------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2009(b) $ 8.60 $ .24 $ .33 $ .57 $ (.24) $ -- $ (.24) $ -- $ 8.93 $ 9.17
2008 10.12 .47 (1.49) (1.02) (.47) (.03) (.50) -- 8.60 8.65
2007 10.39 .46 (.23) .23 (.47) (.03) (.50) -- 10.12 9.49
2006 10.15 .47 .26 .73 (.47) (.02) (.49) -- 10.39 10.16
2005 10.11 .47 .10 .57 (.47) (.06) (.53) -- 10.15 9.58
2004 9.92 .48 .26 .74 (.49) (.06) (.55) -- 10.11 9.36
MUNICIPAL VALUE 2 (NUW)
-----------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2009(c) 14.33 .06 .48 .54 (.07) -- (.07) (.03) 14.77 14.73
MUNICIPAL INCOME (NMI)
-----------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2009(b) 9.28 .28 .43 .71 (.26) -- (.26) -- 9.73 10.21
2008 10.77 .53 (1.52) (.99) (.50) -- (.50) -- 9.28 9.89
2007 11.04 .52 (.28) .24 (.51) -- (.51) -- 10.77 10.49
2006 10.86 .53 .16 .69 (.51) -- (.51) -- 11.04 10.50
2005 10.76 .54 .09 .63 (.53) -- (.53) -- 10.86 10.56
2004 10.41 .56 .32 .88 (.53) -- (.53) -- 10.76 10.08
=============================================================================================================================
|
Nuveen Investments 48
Ratios/Supplemental Data
--------------------------------------------------------
Ratios to Average Net Assets
Total Returns Before Credit/Refund
------------------ ----------------------------------------
Based on Ending
Based on Net Net Expenses Expenses Net
Market Asset Assets Including Excluding Investment
Value* Value* (000) Interest(a) Interest(a) Income
-----------------------------------------------------------------------------------------------------
MUNICIPAL VALUE (NUV)
-----------------------------------------------------------------------------------------------------
Year Ended 10/31:
2009(b) 8.91% 6.69% $1,753,554 .68%*** .66%*** 5.61%***
2008 (3.93) (10.51) 1,684,418 .65 .61 4.86
2007 (1.90) 2.22 1,974,535 .62 .59 4.53
2006 11.51 7.40 2,025,964 .59 .59 4.60
2005 8.25 5.73 1,979,396 .60 .60 4.64
2004 9.01 7.77 1,971,925 .62 .62 4.83
MUNICIPAL VALUE 2 (NUW)
-----------------------------------------------------------------------------------------------------
Year Ended 10/31:
2009(c) (1.30) 3.59 186,171 .69*** .69*** 2.35***
MUNICIPAL INCOME (NMI)
-----------------------------------------------------------------------------------------------------
Year Ended 10/31:
2009(b) 6.05 7.74 79,349 .84*** .80*** 6.03***
2008 (1.01) (9.53) 75,553 .86 .76 5.08
2007 4.78 2.23 87,424 .86 .75 4.76
2006 4.42 6.50 89,605 .76 .76 4.83
2005 10.21 5.93 88,147 .78 .78 4.99
2004 10.34 8.69 87,324 .82 .82 5.28
=====================================================================================================
Ratios/Supplemental Data
-------------------------------------------------------
Ratios to Average Net Assets
After Credit/Refund**
----------------------------------------
Expenses Expenses Net Portfolio
Including Excluding Investment Turnover
Interest(a) Interest(a) Income Rate
-------------------------------------------------------------------------------------------------------
MUNICIPAL VALUE (NUV)
-------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2009(b) .68%*** .66%*** 5.61%*** 2%
2008 .65 .60 4.87 16
2007 .61 .58 4.54 10
2006 .59 .59 4.61 6
2005 .60 .60 4.65 8
2004 .61 .61 4.84 13
MUNICIPAL VALUE 2 (NUW)
-------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2009(c) .69*** .69*** 2.35*** --
MUNICIPAL INCOME (NMI)
-------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2009(b) .83*** .79*** 6.04*** 5
2008 .85 .74 5.10 8
2007 .84 .73 4.79 6
2006 .73 .73 4.86 6
2005 .77 .77 5.00 7
2004 .81 .81 5.28 14
=======================================================================================================
|
* Total Return Based on Market Value is the combination of changes in the
market price per share and the effect of reinvested dividend income and
reinvested capital gains distributions, if any, at the average price paid
per share at the time of reinvestment. The last dividend declared in the
period, which is typically paid on the first business day of the following
month, is assumed to be reinvested at the ending market price. The actual
reinvestment for the last dividend declared in the period takes place over
several days, and in some instances may not be based on the market price,
so the actual reinvestment price may be different from the price used in
the calculation. Total returns are not annualized.
Total Return Based on Net Asset Value is the combination of changes in net
asset value, reinvested dividend income at net asset value and reinvested
capital gains distributions at net asset value, if any. The last dividend
declared in the period, which is typically paid on the first business day
of the following month, is assumed to be reinvested at the ending net
asset value. The actual reinvest price for the last dividend declared in
the period may often be based on the Fund's market price (and not its net
asset value), and therefore may be different from the price used in the
calculation. Total returns are not annualized.
** After custodian fee credit and legal fee refund, where applicable.
*** Annualized.
(a) Interest expense arises from the application of SFAS No. 140 to certain
inverse floating rate transactions entered into by the Fund as more fully
described in Footnote 1 - Inverse Floating Rate Securities.
(b) For the six months ended April 30, 2009.
(c) For the period February 25, 2009 (commencement of operations) through
April 30, 2009.
See accompanying notes to financial statements.
Nuveen Investments 49
Annual Investment Management Agreement Approval Process
The Board of Trustees (the "Board," and each Trustee, a "Board Member") of the
Nuveen Municipal Value Fund 2 (the "Fund") is responsible for approving the
Fund's advisory arrangements and, at a meeting held on January 27, 2009 (the
"Meeting"), the Board Members, including the Board Members who are not parties
to the investment management agreement or "interested persons" of any such party
(the "Independent Board Members") considered and approved the investment
management agreement (the "Investment Management Agreement") between the Fund
and Nuveen Asset Management ("NAM").
To assist the Board in its evaluation of the Investment Management Agreement at
the Meeting, the Independent Board Members had received, in adequate time in
advance of the Meeting or at prior meetings, materials which outlined, among
other things:
o the nature, extent and quality of services expected to be provided by NAM;
o the organization of NAM, including the responsibilities of various
departments and key personnel;
o the expertise and background of NAM with respect to the Fund's investment
strategy;
o the performance records of NAM and of a similar Nuveen fund (as described
below);
o the profitability of Nuveen Investments, Inc. ("Nuveen") (which
incorporated Nuveen's wholly-owned affiliated sub-advisers);
o the proposed management fees of NAM, including comparisons of such fees
with the management fees of comparable, unaffiliated funds, as well as
comparable, affiliated funds;
o the advisory fees NAM assesses to other types of investment products or
clients;
o the expected expenses of the Fund, including comparisons of the Fund's
expected expense ratio with the expense ratios of comparable, unaffiliated
funds, as well as comparable, affiliated funds; and
o the soft dollar practices of NAM, if any.
At the Meeting, NAM made a presentation to and responded to questions from the
Board. During the Meeting, the Independent Board Members also met privately with
their legal counsel to review the Board's duties under the Investment Company
Act of 1940 (the "1940 Act"), the general principles of state law in reviewing
and approving advisory contracts, the standards used by courts in determining
whether investment company boards of directors have fulfilled their duties,
factors to be considered in voting on advisory contracts and an adviser's
fiduciary duty with respect to advisory agreements and compensation. It is with
this background that the Independent Board Members considered the advisory
agreement with NAM for the Fund. As outlined in
50 NUVEEN INVESTMENTS
more detail below, the Independent Board Members considered all factors they
believed relevant with respect to the Fund, including the following: (a) the
nature, extent and quality of the services to be provided by NAM; (b) investment
performance, as described below; (c) the profitability of Nuveen and its
affiliates; (d) the extent to which economies of scale would be realized; and
(e) whether fee levels reflect these economies of scale for the benefit of Fund
investors.
A. NATURE, EXTENT AND QUALITY OF SERVICES
The Independent Board Members considered the nature, extent and quality of NAM's
services, including advisory services and administrative services. As NAM
already serves as adviser to other Nuveen funds overseen by the Board Members,
the Board has a good understanding of NAM's organization, operations and
personnel. As the Independent Board Members meet regularly throughout the year
to oversee the Nuveen funds, including funds currently advised by NAM, the
Independent Board Members have relied upon their knowledge from their meetings
and any other interactions throughout the year of NAM and its services in
evaluating the Investment Management Agreement.
At the Meeting and at prior meetings, the Independent Board Members reviewed
materials outlining, among other things, Nuveen's organization and business; the
types of services that NAM or its affiliates provide to the Nuveen funds and are
expected to provide to the Fund; and NAM's experience with applicable investment
strategies. The Independent Board Members further evaluated the professional
experience, qualifications and credentials of NAM's investment personnel. In
addition to advisory services, the Independent Board Members considered the
quality of any administrative or non-advisory services to be provided. In this
regard, NAM is expected to provide the Fund with such administrative and other
services (exclusive of, and in addition to, any such services provided by others
for the Fund) and officers and other personnel as are necessary for the
operations of the Fund. In addition to investment management services, NAM and
its affiliates will provide the Fund with a wide range of services, including,
among other things, product management, fund administration, oversight of
service providers, shareholder services, administration of Board relations,
regulatory and portfolio compliance and legal support.
In addition to the foregoing services, the Independent Board Members also noted
the additional services that NAM or its affiliates provide to closed-end funds,
including, in particular, its secondary market support activities and the costs
of such activities. The Independent Board Members have recognized Nuveen's
continued commitment to supporting the secondary market for the common shares of
its closed-end funds through a variety of programs designed to raise investor
and analyst awareness and understanding of closed-end funds. These efforts
include maintaining an investor relations program to timely provide information
and education to financial advisers and investors; providing advertising and
marketing for the closed-end funds; maintaining its closed-end fund website; and
providing educational seminars.
NUVEEN INVESTMENTS 51
Annual Investment Management Agreement
Approval Process (continued)
Based on their review, the Independent Board Members found that, overall, the
nature, extent and quality of services expected to be provided to the Fund under
the Investment Management Agreement were satisfactory.
B. INVESTMENT PERFORMANCE
The Fund is new and therefore does not have its own performance history.
However, the Independent Board Members are familiar with NAM's performance
record on other Nuveen funds. The Fund is expected to be similar to another
national municipal closed-end fund launched by Nuveen in 1987. The Board Members
had previously been provided with certain performance information for such fund,
including net asset value (NAV) performance information for the quarter,
year-to-date, one-year, three-year and five-year periods ending September 30,
2008.
C. FEES, EXPENSES AND PROFITABILITY
1. FEES AND EXPENSES
In evaluating the management fees and expenses that the Fund was expected
to bear, the Independent Board Members considered, among other things, the
Fund's proposed management fee structure and its expected expense ratios in
absolute terms as well as compared with the fees and expense ratios of
comparable, unaffiliated funds and comparable, affiliated funds. In this
regard, the Independent Board Members noted that there are very few
comparable, unaffiliated funds.
In addition, the Fund was not expected to issue preferred shares; however,
the Board Members noted that it may make investments in inverse floating
rate securities (including inverse floating rate securities representing
interests in so-called "tender option bond trusts" formed by third-party
sponsors for the purpose of holding municipal bonds). The Independent Board
Members recognized that assets financed through the creation of tender
option bond trusts in which the Fund may invest would be included in the
amount of assets upon which the advisory fee is calculated. In this regard,
the Independent Board Members noted that the advisory fee is based on a
percentage of average daily "Managed Assets." "Managed Assets" generally
means the total assets of the Fund (including proceeds from the Fund's use
of financial leverage such as, but not limited to, proceeds from tender
option bond trusts) minus the sum of accrued liabilities (other than Fund
liabilities incurred for the express purpose of creating financial
leverage). Accordingly, the advisory fees paid to NAM for investment
advisory services will be higher if the Fund uses financial leverage, which
may create a conflict of interest between NAM and Fund shareholders. This
methodology is consistent with that used on Nuveen taxable leveraged funds.
The Independent Board Members also considered the fund-level breakpoint
schedule and the complex-wide breakpoint schedule (described in further
detail below) and any applicable expense reimbursements to be provided.
Based on their review of the fee and expense information provided, the
Independent Board Members determined that the Fund's management fees and
net total expense ratio were reasonable in light of the nature, extent and
quality of services to be provided to the Fund.
52 NUVEEN INVESTMENTS
2. COMPARISONS WITH THE FEES OF OTHER CLIENTS
Due to their experience with other Nuveen funds, the Board Members were
familiar with the fees NAM assesses to other clients of Nuveen or its
affiliates, including NAM's municipal separately managed accounts. In
evaluating the comparisons of fees, the Independent Board Members have
noted, at the Meeting or at prior meetings, that the fee rates charged to a
fund (such as the Fund) and charged to other clients vary, among other
things, because of the different services involved and the additional
regulatory and compliance requirements associated with registered
investment companies, such as the Fund. Accordingly, the Independent Board
Members have considered the differences in the product types, including,
but not limited to, the services to be provided, the structure and
operations, product distribution and costs thereof, portfolio investment
policies, investor profiles, account sizes and regulatory requirements. The
Independent Board Members have noted, in particular, that the range of
services as described above to be provided to a fund (such as the Fund) is
much more extensive than that provided to separately managed accounts.
Given the inherent differences in the products, particularly the extensive
services to be provided to a fund, the Independent Board Members believe
such facts justify the different levels of fees.
3. PROFITABILITY OF NUVEEN
In conjunction with its review of fees at prior meetings, the Independent
Board Members have considered the profitability of Nuveen for its advisory
activities (which incorporated Nuveen's wholly-owned affiliated
sub-advisers) and its financial condition. At the Meeting or prior
meetings, the Independent Board Members reviewed the revenues and expenses
of Nuveen's advisory activities and the allocation methodology used in
preparing the profitability data. The Independent Board Members have also
considered, at the Meeting or at prior meetings, Nuveen's profitability
compared with other fund sponsors prepared by two independent third party
service providers as well as comparisons of the revenues, expenses and
profit margins of various unaffiliated management firms with similar
amounts of assets under management prepared by Nuveen.
In reviewing profitability, the Independent Board Members have recognized
the subjective nature of determining profitability, which may be affected
by numerous factors, including the allocation of expenses. Further, the
Independent Board Members have recognized the difficulties in making
comparisons as the profitability of other advisers generally is not
publicly available and the profitability information that is available for
certain advisers or management firms may not be representative of the
industry and may be affected by, among other things, the adviser's
particular business mix, capital costs, types of funds managed and expense
allocations. Notwithstanding the foregoing, the Independent Board Members
reviewed Nuveen's methodology and assumptions for allocating expenses
across product lines to determine profitability. In reviewing
profitability, the Independent Board Members recognized Nuveen's investment
in its fund business. The Independent Board Members further received the
Form 8-K of Nuveen for the quarter ending September 30, 2008. Based on its
review, the Independent Board Members
NUVEEN INVESTMENTS 53
Annual Investment Management Agreement
Approval Process (continued)
concluded that Nuveen's level of profitability for its advisory activities
was reasonable in light of the services to be provided.
In evaluating the reasonableness of the compensation, the Independent Board
Members also considered any other amounts expected to be paid to NAM as
well as any indirect benefits (such as soft dollar arrangements, if any)
NAM and its affiliates are expected to receive that are directly
attributable to their management of the Fund, if any. See Section E below
for additional information on indirect benefits NAM may receive as a result
of its relationship with the Fund. Based on their review of the overall fee
arrangements of the Fund, the Independent Board Members determined that the
advisory fees and expected expenses of the Fund were reasonable.
D. ECONOMIES OF SCALE AND WHETHER FEE LEVELS REFLECT THESE ECONOMIES OF SCALE
With respect to economies of scale, the Independent Board Members recognized the
potential benefits resulting from the costs of the Fund being spread over a
larger asset base. The Independent Board Members therefore considered whether
the Fund could be expected to benefit from any economies of scale. In
considering economies of scale, the Independent Board Members have recognized
that economies of scale are difficult to measure and predict with precision.
Notwithstanding the foregoing, one method to help ensure that shareholders share
in these benefits is to include breakpoints in the advisory fee schedule.
Accordingly, the Independent Board Members received and reviewed the schedule of
proposed advisory fees for the Fund, including fund-level breakpoints thereto.
In this regard, given that the Fund is a closed-end fund, the Independent Board
Members recognized that although the Fund may from time to time make additional
share offerings, the growth in its assets will occur primarily through
appreciation of its investment portfolio.
In addition to fund-level advisory fee breakpoints, the Board also considered
the Fund's complex-wide fee arrangement. Pursuant to the complex-wide fee
arrangement, the fees of the funds in the Nuveen complex, including the Fund,
are reduced as the assets in the fund complex reach certain levels. In
evaluating the complex-wide fee arrangement, the Independent Board Members have
considered that the complex-wide fee arrangement seeks to provide the benefits
of economies of scale to fund shareholders when total fund complex assets
increase, even if assets of a particular fund are unchanged or have decreased.
The approach reflects the notion that some of Nuveen's costs are attributable to
services provided to all its funds in the complex and therefore all funds
benefit if these costs are spread over a larger asset base. Based on their
review, the Independent Board Members concluded that the breakpoint schedule and
complex-wide fee arrangement were acceptable and desirable in providing benefits
from economies of scale to shareholders of the Fund.
54 NUVEEN INVESTMENTS
E. INDIRECT BENEFITS
In evaluating fees, the Independent Board Members also considered information
regarding potential "fall out" or ancillary benefits NAM or its affiliates may
receive as a result of its relationship with the Fund. In this regard, the
Independent Board Members considered the revenues received by affiliates of NAM
for serving as agent at Nuveen's preferred trading desk and for serving as a
co-manager in the initial public offering of new closed-end exchange traded
funds.
In addition to the above, the Independent Board Members considered whether NAM
will receive any benefits from soft dollar arrangements whereby a portion of the
commissions paid by the Fund for brokerage may be used to acquire research that
may be useful to NAM in managing the assets of the Fund and other clients. The
Independent Board Members noted that NAM does not currently have any soft dollar
arrangements; however, to the extent certain bona fide agency transactions that
occur on markets that traditionally trade on a principal basis and riskless
principal transactions are considered as generating "commissions," NAM intends
to comply with the applicable safe harbor provisions.
Based on their review, the Independent Board Members concluded that any indirect
benefits received by NAM as a result of its relationship with the Fund were
reasonable and within acceptable parameters.
F. APPROVAL
The Independent Board Members did not identify any single factor discussed
previously as all-important or controlling. The Board Members, including a
majority of the Independent Board Members, concluded that the terms of the
Investment Management Agreement were fair and reasonable, that NAM's fees are
reasonable in light of the services to be provided to the Fund and that the
Investment Management Agreement should be and was approved on behalf of the
Fund.
NUVEEN INVESTMENTS 55
Reinvest Automatically
Easily and Conveniently
Nuveen makes reinvesting easy. A phone call is all it takes to set up your
reinvestment account.
NUVEEN CLOSED-END FUNDS DIVIDEND REINVESTMENT PLAN
Your Nuveen Closed-End 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 distributions
that are reinvested.
It is important to note that an automatic reinvestment 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
greater of the net asset value or 95% of 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. If the Plan Agent begins purchasing Fund shares on
the open market while shares are trading below net asset value, but the Fund's
shares subsequently trade at or above their net asset value before the Plan
Agent is able to complete its purchases, the Plan Agent may cease open-market
purchases and may invest the uninvested portion of the distribution in
newly-issued Fund shares at a price equal to the greater of the shares' net
asset value or 95% of the shares' market value on the last business day
immediately prior to the purchase date. Dividends and distributions received to
purchase shares in the open market will normally be invested shortly after the
dividend payment date. No interest will
56 Nuveen Investments
be paid on dividends and distributions awaiting reinvestment. Because the market
price of the 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.
FLEXIBLE
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.
CALL TODAY TO START REINVESTING DIVIDENDS AND/OR DISTRIBUTIONS
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.
NUVEEN INVESTMENTS 57
Glossary of
Terms Used in this Report
o AUCTION RATE BOND: An auction rate bond is a security whose interest
payments are adjusted periodically through an auction process, which
process typically also serves as a means for buying and selling the bond.
Auctions that fail to attract enough buyers for all the shares offered for
sale are deemed to have "failed", with current holders receiving a
formula-based interest rate until the next scheduled auction.
o AVERAGE ANNUAL TOTAL RETURN: This is a commonly used method to express an
investment's performance over a particular, usually multi-year time
period. It expresses the return that would have been necessary each year
to equal the investment's actual cumulative performance (including change
in NAV or market price and reinvested dividends and capital gains
distributions, if any) over the time period being considered.
o AVERAGE EFFECTIVE MATURITY: The average of the number of years to maturity
of the bonds in a Fund's portfolio, computed by weighting each bond's time
to maturity (the date the security comes due) by the market value of the
security. This figure does not account for the likelihood of prepayments
or the exercise of call provisions unless an escrow account has been
established to redeem the bond before maturity. The market value weighting
for an investment in an inverse floating rate security is the value of the
portfolio's residual interest in the inverse floating rate trust, and does
not include the value of the floating rate securities issued by the trust.
o INVERSE FLOATERS: Inverse floating rate securities are created by
depositing a municipal bond, typically with a fixed interest rate, into a
special purpose trust created by a broker-dealer. This trust, in turn, (a)
issues floating rate certificates typically paying short-term tax-exempt
interest rates to third parties in amounts equal to some fraction of the
deposited bond's par amount or market value, and (b) issues an inverse
floating rate certificate (sometimes referred to as an "inverse floater")
to an investor (such as a Fund) interested in gaining investment exposure
to a long-term municipal bond. The income received by the holder of the
inverse floater varies inversely with the short-term rate paid to the
floating rate certificates' holders, and in most circumstances the holder
of the inverse floater bears substantially all of the underlying bond's
downside investment risk. The holder of the inverse floater typically also
benefits disproportionately from any potential appreciation of the
underlying bond's value. Hence, an inverse floater essentially represents
an investment in the underlying bond on a leveraged basis.
o DURATION: Duration is a measure of the expected period over which a bond's
principal and interest will be paid, and consequently is a measure of the
sensitivity of a bond's or bond Fund's value to changes when market
interest rates change. Generally, the longer a bond's or Fund's duration,
the more the price of the bond or Fund will change as interest rates
change.
58 Nuveen Investments
o MARKET YIELD (ALSO KNOWN AS DIVIDEND YIELD OR CURRENT YIELD): An
investment's current annualized dividend divided by its current market
price.
o NET ASSET VALUE (NAV): A Fund's NAV per share is calculated by subtracting
the liabilities of the Fund from its total assets and then dividing the
remainder by the number of common shares outstanding. Fund NAVs are
calculated at the end of each business day.
o TAXABLE-EQUIVALENT YIELD: The yield necessary from a fully taxable
investment to equal, on an after-tax basis, the yield of a municipal bond
investment.
o ZERO COUPON BOND: A zero coupon bond does not pay a regular interest
coupon to its holders during the life of the bond. Tax-exempt income to
the holder of the bond comes from accretion of the difference between the
original purchase price of the bond at issuance and the par value of the
bond at maturity and is effectively paid at maturity. The market prices of
zero coupon bonds generally are more volatile than the market prices of
bonds that pay interest periodically.
Nuveen Investments 59
Notes
60 Nuveen Investments
Notes
Nuveen Investments 61
Notes
62 Nuveen Investments
Other Useful Information
BOARD OF DIRECTORS/TRUSTEES
John P. Amboian
Robert P. Bremner
Jack B. Evans
William C. Hunter
David J. Kundert
William J. Schneider
Judith M. Stockdale
Carole E. Stone
Terence J. Toth
FUND MANAGER
Nuveen Asset Management
333 West Wacker Drive
Chicago, IL 60606
CUSTODIAN
State Street Bank & Trust Company
Boston, MA
TRANSFER AGENT AND
SHAREHOLDER SERVICES
State Street Bank & Trust Company
Nuveen Funds
P.O. Box 43071
Providence, RI 02940-3071
(800) 257-8787
LEGAL COUNSEL
Chapman and Cutler LLP
Chicago, IL
INDEPENDENT REGISTERED
PUBLIC ACCOUNTING FIRM
Ernst & Young LLP
Chicago, IL
NUVEEN FUNDS' QUARTERLY PORTFOLIO OF INVESTMENTS AND PROXY VOTING INFORMATION
You may obtain (i) each Fund's quarterly portfolio of investments, (ii)
information regarding how the Funds voted proxies relating to portfolio
securities held during the twelve-month period ended June 30, 2008, and (iii) a
description of the policies and procedures that the Funds used to determine how
to vote proxies relating to portfolio securities without charge, upon request,
by calling Nuveen Investments toll-free at (800) 257-8787 or on Nuveen's website
at www.nuveen.com.
You may also obtain this and other Fund information directly from the Securities
and Exchange Commission ("SEC"). The SEC may charge a copying fee for this
information. Visit the SEC on-line at http://www.sec.gov or in person at the
SEC's Public Reference Room in Washington, D.C. Call the SEC at (202) 942-8090
for room hours and operation. You may also request Fund information by sending
an e-mail request to publicinfo@sec.gov or by writing to the SEC's Public
References Section at 100 F Street NE, Washington, D.C. 20549.
CEO CERTIFICATION DISCLOSURE
Each Fund's Chief Executive Officer has submitted to the New York Stock Exchange
(NYSE) the annual CEO certification as required by Section 303A.12(a) of the
NYSE Listed Company Manual.
Each Fund has filed with the SEC the certification of its Chief Executive
Officer and Chief Financial Officer required by Section 302 of the
Sarbanes-Oxley Act.
SHARE INFORMATION
Each Fund intends to repurchase shares of its own common stock in the future at
such times and in such amounts as is deemed advisable. During the period covered
by this report, the Funds did not repurchase any of their common shares.
Any future repurchases will be reported to shareholders in the next annual or
semi-annual report.
Nuveen Investments 63
Nuveen Investments:
Serving Investors for Generations
Since 1898, financial advisors and their clients have relied on Nuveen
Investments to provide dependable investment solutions. For the past century,
Nuveen Investments has adhered to the belief that the best approach to investing
is to apply conservative risk-management principles to help minimize volatility.
Building on this tradition, we today offer a range of high quality equity and
fixed-income solutions that are integral to a well-diversified core portfolio.
Our clients have come to appreciate this diversity, as well as our continued
adherence to proven, long-term investing principles.
WE OFFER MANY DIFFERENT INVESTING SOLUTIONS FOR OUR CLIENTS' DIFFERENT NEEDS.
Nuveen Investments is a global investment management firm that seeks to help
secure the long-term goals of institutions and high net worth investors as well
as the consultants and financial advisors who serve them. Nuveen Investments
markets its growing range of specialized investment solutions under the
high-quality brands of HydePark, NWQ, Nuveen, Santa Barbara, Symphony,
Tradewinds and Winslow Capital. In total, the Company managed $115 billion of
assets on March 31, 2009.
FIND OUT HOW WE CAN HELP YOU REACH YOUR FINANCIAL GOALS.
To learn more about the products and services Nuveen Investments offers, talk to
your financial advisor, or call us at (800) 257-8787. Please read the
information provided carefully before you invest. Be sure to obtain a
prospectus, where applicable. Investors should consider the investment objective
and policies, risk considerations, charges and expenses of the Fund carefully
before investing. The prospectus contains this and other information relevant to
an investment in the Fund. For a prospectus, please contact your securities
representative or NUVEEN INVESTMENTS, 333 W. WACKER DR., CHICAGO, IL 60606.
Please read the prospectus carefully before you invest or send money.
Learn more about Nuveen Funds at: WWW.NUVEEN.COM/CEF
o Share prices
o Fund details
o Daily financial news
o Investor education
o Interactive planning tools
It's not what you earn,
it's what you keep.(R)
Distributed by
Nuveen Investments, LLC
333 West Wacker Drive
Chicago, IL 60606
www.nuveen.com
ESA-A-0409D
ITEM 2. CODE OF ETHICS.
Not applicable to this filing.
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.
Not applicable to this filing.
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.
Not applicable to this filing.
ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.
Not applicable to this filing.
ITEM 6. SCHEDULE OF INVESTMENTS.
See Portfolio of Investments in Item 1.
ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END
MANAGEMENT INVESTMENT COMPANIES.
Not applicable to this filing.
ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.
Not applicable to this filing.
ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT
COMPANY AND AFFILIATED PURCHASERS.
Not applicable.
ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.
There have been no material changes to the procedures by which shareholders may
recommend nominees to the registrant's Board of Directors or Trustees
implemented after the registrant last provided disclosure in response to
this Item.
ITEM 11. CONTROLS AND PROCEDURES.
(a) The registrant's principal executive and principal financial officers,
or persons performing similar functions, have concluded that the
registrant's disclosure controls and procedures (as defined in Rule
30a-3(c) under the Investment Company Act of 1940, as amended (the
"1940 Act") (17 CFR 270.30a-3(c))) are effective, as of a date within
90 days of the filing date of this report that includes the disclosure
required by this paragraph, based on their evaluation of the controls
and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR
270.30a-3(b)) and Rules 13a-15(b) or 15d-15(b) under the Securities
Exchange Act of 1934, as amended (the "Exchange Act")(17 CFR
240.13a-15(b) or 240.15d-15(b)).
(b) There were no changes in the registrant's internal control over
financial reporting (as defined in Rule 30a-3(d) under the 1940 Act
(17 CFR 270.30a-3(d)) that occurred during the second fiscal quarter
of the period covered by this report that has materially affected, or
is reasonably likely to materially affect, the registrant's internal
control over financial reporting.
ITEM 12. EXHIBITS.
File the exhibits listed below as part of this Form.
(a)(1) Any code of ethics, or amendment thereto, that is the subject of the
disclosure required by Item 2, to the extent that the registrant intends to
satisfy the Item 2 requirements through filing of an exhibit: Not applicable to
this filing.
(a)(2) A separate certification for each principal executive officer and
principal financial officer of the registrant as required by Rule 30a-2(a) under
the 1940 Act (17 CFR 270.30a-2(a)) in the exact form set forth below: See
Ex-99.CERT attached hereto.
(a)(3) Any written solicitation to purchase securities under Rule 23c-1 under
the 1940 Act (17 CFR 270.23c-1) sent or given during the period covered by the
report by or on behalf of the registrant to 10 or more persons: Not applicable.
(b) If the report is filed under Section 13(a) or 15(d) of the Exchange Act,
provide the certifications required by Rule 30a-2(b) under the 1940 Act (17 CFR
270.30a-2(b)); Rule 13a-14(b) or Rule 15d-14(b) under the Exchange Act (17 CFR
240.13a-14(b) or 240.15d-14(b)), and Section 1350 of Chapter 63 of Title 18 of
the United States Code (18 U.S.C. 1350) as an exhibit. A certification furnished
pursuant to this paragraph will not be deemed "filed" for purposes of Section 18
of the Exchange Act (15 U.S.C. 78r), or otherwise subject to the liability of
that section. Such certification will not be deemed to be incorporated by
reference into any filing under the Securities Act of 1933 or the Exchange Act,
except to the extent that the registrant specifically incorporates it by
reference: See Ex-99.906 CERT attached hereto.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, the registrant has duly caused this report to be
signed on its behalf by the undersigned, thereunto duly authorized.
(Registrant) Nuveen Municipal Value Fund 2
By (Signature and Title) /s/ Kevin J. McCarthy
----------------------------------------------
Kevin J. McCarthy
(Vice President and Secretary)
Date: July 8, 2009
-------------------------------------------------------------------
|
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, this report has been signed below by the
following persons on behalf of the registrant and in the capacities and on the
dates indicated.
By (Signature and Title) /s/ Gifford R. Zimmerman
----------------------------------------------
Gifford R. Zimmerman
Chief Administrative Officer
(principal executive officer)
Date: July 8, 2009
-------------------------------------------------------------------
By (Signature and Title) /s/ Stephen D. Foy
----------------------------------------------
Stephen D. Foy
Vice President and Controller
(principal financial officer)
Date: July 8, 2009
-------------------------------------------------------------------
|
Nuveen AMT Free Municipa... (NYSE:NUW)
Historical Stock Chart
From Oct 2024 to Nov 2024
Nuveen AMT Free Municipa... (NYSE:NUW)
Historical Stock Chart
From Nov 2023 to Nov 2024
