UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM N-Q

 

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED MANAGEMENT INVESTMENT COMPANY

 

Investment Company Act file number 811-10339

 

Name of Fund: BlackRock Municipal Income Trust (BFK)

 

Fund Address: 100 Bellevue Parkway, Wilmington, DE 19809

 

Name and address of agent for service: John M. Perlowski, Chief Executive Officer, BlackRock Municipal Income Trust, 55 East 52nd Street, New York, NY 10055

 

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

 

Date of fiscal year end: 04/30/2012

 

Date of reporting period: 07/31/2011

 

Item 1 – Schedule of Investments

 

 

 

 

 

Schedule of Investments July 31, 2011 (Unaudited)

BlackRock Municipal Income Trust (BFK)
 (Percentages shown are based on Net Assets)

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Alabama — 0.7%

 

 

 

 

 

 

 

Alabama State Docks Department,
Refunding RB, 6.00%, 10/01/40

 

$

4,080

 

$

4,186,610

 

Arizona — 3.7%

 

 

 

 

 

 

 

Salt River Project Agricultural
Improvement & Power District, RB,
Series A, 5.00%, 1/01/38

 

 

3,860

 

 

3,947,043

 

Salt Verde Financial Corp., RB:

 

 

 

 

 

 

 

5.00%, 12/01/32

 

 

10,030

 

 

9,076,949

 

5.00%, 12/01/37

 

 

9,460

 

 

8,467,268

 

 

 

 

 

 

 

21,491,260

 

Arkansas — 0.5%

 

 

 

 

 

 

 

County of Little River Arkansas,
Refunding RB, Georgia-Pacific Corp.
Project, AMT, 5.60%, 10/01/26

 

 

3,255

 

 

3,151,361

 

California — 28.8%

 

 

 

 

 

 

 

Bay Area Toll Authority, Refunding RB,
San Francisco Bay Area, Series F-1,
5.63%, 4/01/44

 

 

4,445

 

 

4,683,563

 

California County Tobacco Securitization
Agency, RB, CAB, Stanislaus, Sub-
Series C, 6.30%, 6/01/55 (a)

 

 

17,855

 

 

179,443

 

California Health Facilities Financing
Authority, Refunding RB, Sutter
Health, Series B, 6.00%, 8/15/42

 

 

6,230

 

 

6,636,694

 

California HFA, RB, AMT, Home
Mortgage, Series G, 5.50%, 8/01/42

 

 

5,260

 

 

5,242,326

 

California State Public Works Board, RB,
Various Capital Projects, Sub-Series 1,
6.38%, 11/01/34

 

 

2,315

 

 

2,457,974

 

California Statewide Communities
Development Authority, RB, Health
Facility Memorial Health Services,
Series A, 5.50%, 10/01/33

 

 

5,000

 

 

5,036,850

 

City of Lincoln California, Special Tax
Bonds, Community Facilities District
No. 2003-1, 6.00%, 9/01/13 (b)

 

 

3,115

 

 

3,512,038

 

Foothill-De Anza Community College
District, GO, Series C, 5.00%,
8/01/40

 

$

7,000

 

$

7,171,710

 

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

California (concluded)

 

 

 

 

 

 

 

Foothill Eastern Transportation Corridor
Agency California, Refunding RB,
CAB (a):

 

 

 

 

 

 

 

6.09%, 1/15/32

 

 

54,635

 

 

13,528,172

 

6.09%, 1/15/38

 

 

75,000

 

 

11,248,500

 

Golden State Tobacco Securitization
Corp. California, RB, Series 2003-A-1,
6.63%, 6/01/13 (b)

 

 

5,000

 

 

5,566,000

 

Los Angeles Department of Airports, RB,
Series A, 5.25%, 5/15/39

 

 

1,560

 

 

1,606,114

 

Los Angeles Department of Airports,
Refunding RB, Senior Los Angeles
International Airport, Series A, 5.00%,
5/15/40

 

 

11,690

 

 

11,855,297

 

Los Angeles Regional Airports
Improvement Corp. California,
Refunding RB, Facilities LAXFUEL
Corp., LA International, AMT (AMBAC),
5.50%, 1/01/32

 

 

13,320

 

 

12,349,239

 

Los Angeles Unified School District
California, GO, Series D:

 

 

 

 

 

 

 

5.25%, 7/01/24

 

 

5,000

 

 

5,520,600

 

5.25%, 7/01/25

 

 

3,490

 

 

3,784,835

 

5.00%, 7/01/26

 

 

1,305

 

 

1,384,631

 

Murrieta Community Facilities District
Special Tax California, Special Tax
Bonds, District No. 2, The Oaks
Improvement Area A, 6.00%, 9/01/34

 

 

5,000

 

 

4,602,300

 

San Francisco City & County Public
Utilities Commission, RB, Series B,
5.00%, 11/01/39

 

 

18,550

 

 

18,786,513

 

State of California, GO, Various Purpose:

 

 

 

 

 

 

 

6.00%, 3/01/33

 

 

4,970

 

 

5,429,377

 

6.50%, 4/01/33

 

 

20,410

 

 

22,849,403

 

University of California, RB, Limited
Project, Series B, 4.75%, 5/15/38

 

 

9,840

 

 

9,311,690

 

West Valley-Mission Community College
District, GO, Election of 2004, Series
A (AGM), 4.75%, 8/01/30

 

 

4,015

 

 

4,023,833

 

 

 

 

 

 

 

166,767,102

 

Colorado — 2.2%

 

 

 

 

 

 

 

City of Colorado Springs Colorado, RB,
Subordinate Lien, Improvement,
Series C (AGM), 5.00%, 11/15/45

 

 

2,115

 

 

2,135,177

 

 

Portfolio Abbreviations

To simplify the listings of portfolio holdings in the Schedule of Investments, the names and descriptions of many of the securities have been abbreviated according to the following list:

 

 

ACA

American Capital Access Corp.

AGC

Assured Guaranty Corp.

AGM

Assured Guaranty Municipal Corp.

AMBAC

American Municipal Bond Assurance Corp.

AMT

Alternative Minimum Tax (subject to)

CAB

Capital Appreciation Bonds

EDA

Economic Development Authority

EDC

Economic Development Corp.

ERB

Education Revenue Bonds

GO

General Obligation Bonds

HDA

Housing Development Authority

HFA

Housing Finance Agency

NPFGC

National Public Finance Guarantee Corp.

RB

Revenue Bonds

SAN

State Aid Notes

 

 

 

 

 

 

 

 

 

BLACKROCK MUNICIPAL INCOME TRUST

JULY 31, 2011

1


 

 

 

 

Schedule of Investments (continued)

BlackRock Municipal Income Trust (BFK)
 (Percentages shown are based on Net Assets)

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Colorado (concluded)

 

 

 

 

 

 

 

Colorado Health Facilities Authority,
Refunding RB:

 

 

 

 

 

 

 

Catholic Health, Series A,
5.50%, 7/01/34

 

$

4,205

 

$

4,338,172

 

Sisters of Leavenworth,
Series A, 5.00%, 1/01/40

 

 

4,310

 

 

4,170,141

 

Park Creek Metropolitan District
Colorado, Refunding RB, Senior,
Limited Tax Property Tax, 5.50%,
12/01/37

 

 

2,530

 

 

2,313,533

 

 

 

 

 

 

 

12,957,023

 

Connecticut — 0.5%

 

 

 

 

 

 

 

Connecticut State Health & Educational
Facility Authority, RB, Ascension
Health Senior Credit, 5.00%,
11/15/40

 

 

2,710

 

 

2,735,447

 

Delaware — 1.6%

 

 

 

 

 

 

 

County of Sussex Delaware, RB, NRG
Energy, Inc., Indian River Project,
6.00%, 10/01/40

 

 

2,225

 

 

2,242,244

 

Delaware State EDA, RB, Exempt
Facilities, Indian River Power, 5.38%,
10/01/45

 

 

7,950

 

 

7,170,661

 

 

 

 

 

 

 

9,412,905

 

District Of Columbia — 4.7%

 

 

 

 

 

 

 

District of Columbia, Refunding RB,
Friendship Public Charter School Inc.
(ACA), 5.25%, 6/01/33

 

 

2,390

 

 

1,948,161

 

District of Columbia Tobacco Settlement
Financing Corp., Refunding RB, Asset-
Backed, 6.75%, 5/15/40

 

 

23,035

 

 

22,405,914

 

Metropolitan Washington Airports
Authority, RB, First Senior Lien,
Series A:

 

 

 

 

 

 

 

5.00%, 10/01/39

 

 

990

 

 

991,911

 

5.25%, 10/01/44

 

 

1,545

 

 

1,553,034

 

 

 

 

 

 

 

26,899,020

 

Florida — 5.2%

 

 

 

 

 

 

 

County of Miami-Dade Florida, RB,
Water & Sewer System, 5.00%,
10/01/34

 

 

6,625

 

 

6,736,697

 

County of Miami-Dade Florida,
Refunding RB, Miami International
Airport, Series A-1, 5.38%, 10/01/41

 

 

2,280

 

 

2,293,771

 

Miami Beach Health Facilities Authority,
RB, Mount Sinai Medical Center of
Florida, 6.75%, 11/15/21

 

 

7,045

 

 

7,244,444

 

Mid-Bay Bridge Authority, RB, Series A,
7.25%, 10/01/40

 

 

4,450

 

 

4,531,302

 

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Florida (concluded)

 

 

 

 

 

 

 

Stevens Plantation Community
Development District, Special
Assessment Bonds, Series A, 7.10%,
5/01/35

 

$

3,650

 

$

2,891,238

 

Village Community Development District
No. 6, Special Assessment Bonds,
5.63%, 5/01/22

 

 

6,215

 

 

6,232,402

 

 

 

 

 

 

 

29,929,854

 

Georgia — 2.4%

 

 

 

 

 

 

 

DeKalb Private Hospital Authority,
Refunding RB, Childrens Healthcare,
5.25%, 11/15/39

 

 

1,650

 

 

1,674,239

 

Metropolitan Atlanta Rapid Transit
Authority, RB, Third Series, 5.00%,
7/01/39

 

 

5,000

 

 

4,992,300

 

Private Colleges & Universities Authority,
Refunding RB, Emory University,
Series C, 5.00%, 9/01/38

 

 

2,990

 

 

3,070,640

 

Richmond County Development
Authority, Refunding RB, International
Paper Co. Project, Series A, AMT,
6.00%, 2/01/25

 

 

4,000

 

 

4,046,920

 

 

 

 

 

 

 

13,784,099

 

Guam — 0.8%

 

 

 

 

 

 

 

Territory of Guam, GO, Series A:

 

 

 

 

 

 

 

6.00%, 11/15/19

 

 

1,245

 

 

1,236,609

 

6.75%, 11/15/29

 

 

1,775

 

 

1,806,293

 

7.00%, 11/15/39

 

 

1,255

 

 

1,294,746

 

 

 

 

 

 

 

4,337,648

 

Hawaii — 0.5%

 

 

 

 

 

 

 

State of Hawaii, Refunding RB, Series A,
5.25%, 7/01/30

 

 

2,660

 

 

2,751,797

 

Illinois — 9.6%

 

 

 

 

 

 

 

City of Chicago Illinois, Refunding RB,
General, Third Lien, Series C, 6.50%,
1/01/41

 

 

11,385

 

 

12,529,306

 

Illinois Finance Authority, RB:

 

 

 

 

 

 

 

Advocate Health Care,
Series C, 5.38%, 4/01/44

 

 

10,630

 

 

10,692,186

 

MJH Education Assistance IV
LLC, Sub-Series B, 5.38%,
6/01/35 (c)(d)

 

 

1,675

 

 

335,067

 

Navistar International
Recovery Zone, 6.50%,
10/15/40

 

 

3,010

 

 

3,093,528

 

Illinois Finance Authority, Refunding RB:

 

 

 

 

 

 

 

Central Dupage Health,
Series B, 5.50%, 11/01/39

 

 

3,160

 

 

3,205,757

 

Elmhurst Memorial
Healthcare, 5.63%, 1/01/28

 

 

3,000

 

 

2,892,450

 

Friendship Village
Schaumburg, Series A, 5.63%,
2/15/37

 

 

845

 

 

670,727

 

Series 05-A, 5.25%, 7/01/41

 

 

760

 

 

769,728

 

 

 

 

 

 

 

 

 

 

BLACKROCK MUNICIPAL INCOME TRUST

JULY 31, 2011

2


 

 

 

 

Schedule of Investments (continued)

BlackRock Municipal Income Trust (BFK)
 (Percentages shown are based on Net Assets)

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Illinois (concluded)

 

 

 

 

 

 

 

Metropolitan Pier & Exposition Authority,
Refunding RB, AGM, McCormick Place
Expansion Project:

 

 

 

 

 

 

 

Series B-2, 5.00%, 6/15/50

 

$

6,155

 

$

5,653,737

 

Series B, 5.00%, 6/15/50

 

 

4,885

 

 

4,487,166

 

Railsplitter Tobacco Settlement
Authority, RB:

 

 

 

 

 

 

 

5.50%, 6/01/23

 

 

2,625

 

 

2,719,631

 

6.00%, 6/01/28

 

 

2,245

 

 

2,312,013

 

State of Illinois, RB, Build Illinois,
Series B, 5.25%, 6/15/34

 

 

1,240

 

 

1,258,290

 

Village of Bolingbrook Illinois, GO,
Refunding, Series B (NPFGC) (a):

 

 

 

 

 

 

 

6.01%, 1/01/33

 

 

6,820

 

 

1,658,692

 

6.01%, 1/01/34

 

 

14,085

 

 

3,199,830

 

 

 

 

 

 

 

55,478,108

 

Indiana — 3.2%

 

 

 

 

 

 

 

City of Vincennes Indiana, Refunding
RB, Southwest Indiana Regional Youth
Village, 6.25%, 1/01/24

 

 

2,030

 

 

1,770,688

 

Indiana Finance Authority, RB, Sisters of
St. Francis Health, 5.25%, 11/01/39

 

 

1,655

 

 

1,662,563

 

Indiana Health Facility Financing
Authority, Refunding RB, Methodist
Hospital Inc., 5.50%, 9/15/31

 

 

9,000

 

 

7,674,030

 

Indiana Municipal Power Agency, RB,
Series B, 6.00%, 1/01/39

 

 

2,150

 

 

2,281,860

 

Petersburg Indiana, RB, Indiana Power
& Light, AMT, 5.90%, 12/01/24

 

 

5,000

 

 

5,103,100

 

 

 

 

 

 

 

18,492,241

 

Kansas — 0.6%

 

 

 

 

 

 

 

Kansas Development Finance Authority,
Refunding RB, Sisters of Leavenworth,
Series A, 5.00%, 1/01/40

 

 

3,275

 

 

3,303,984

 

Kentucky — 0.3%

 

 

 

 

 

 

 

Kentucky Economic Development
Finance Authority, Refunding RB,
Owensboro Medical Health System,
Series A, 6.38%, 6/01/40

 

 

1,490

 

 

1,518,548

 

Louisiana — 1.2%

 

 

 

 

 

 

 

Louisiana Local Government
Environmental Facilities & Community
Development Authority, RB, Westlake
Chemical Corp., Series A-1, 6.50%,
11/01/35

 

 

6,535

 

 

6,763,268

 

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Maryland — 1.8%

 

 

 

 

 

 

 

Maryland Community Development
Administration, Refunding RB,
Residential, Series A, AMT, 4.65%,
9/01/32

 

$

2,465

 

$

2,322,597

 

Maryland EDC, RB, Transportation
Facilities Project, Series A, 5.75%,
6/01/35

 

 

855

 

 

837,874

 

Maryland EDC, Refunding RB, CNX
Marine Terminals, Inc., 5.75%,
9/01/25

 

 

1,760

 

 

1,736,522

 

Maryland Health & Higher Educational
Facilities Authority, Refunding RB,
Charlestown Community, 6.25%,
1/01/41

 

 

4,295

 

 

4,395,975

 

Montgomery County Housing
Opportunities Commission, RB,
Series D, AMT, 5.50%, 1/01/38

 

 

920

 

 

962,734

 

 

 

 

 

 

 

10,255,702

 

Massachusetts — 0.6%

 

 

 

 

 

 

 

Massachusetts Health & Educational
Facilities Authority, Refunding RB,
Partners Healthcare, Series J1,
5.00%, 7/01/39

 

 

3,535

 

 

3,546,312

 

Michigan — 1.7%

 

 

 

 

 

 

 

Kalamazoo Hospital Finance Authority,
Refunding RB, Bronson Methodist
Hospital, 5.50%, 5/15/36

 

 

2,700

 

 

2,692,521

 

Lansing Board of Water & Light, RB,
Series A, 5.50%, 7/01/41

 

 

2,870

 

 

3,040,937

 

Michigan State Hospital Finance
Authority, Refunding RB, Henry Ford
Health System, Series A, 5.25%,
11/15/46

 

 

4,230

 

 

3,793,676

 

 

 

 

 

 

 

9,527,134

 

Mississippi — 2.4%

 

 

 

 

 

 

 

City of Gulfport Mississippi, RB,
Memorial Hospital at Gulfport Project,
Series A, 5.75%, 7/01/31

 

 

14,025

 

 

14,027,384

 

Missouri — 0.3%

 

 

 

 

 

 

 

Missouri State Health & Educational
Facilities Authority, RB, Senior Living
Facilities, Lutheran Senior Home,
5.50%, 2/01/42

 

 

2,035

 

 

1,856,388

 

Multi-State — 3.0%

 

 

 

 

 

 

 

Centerline Equity Issuer Trust, 6.80%,
10/31/52 (e)(f)

 

 

16,000

 

 

17,416,160

 

Nebraska — 0.7%

 

 

 

 

 

 

 

Douglas County Hospital Authority No. 2,
RB, Health Facilities, Immanuel
Obligation Group, 5.63%, 1/01/40

 

 

3,280

 

 

3,315,982

 

Lancaster County Hospital Authority
No. 1, RB, Immanuel Obligation Group,
5.63%, 1/01/40

 

 

600

 

 

596,178

 

 

 

 

 

 

 

3,912,160

 

 

 

 

 

 

 

 

 

 

BLACKROCK MUNICIPAL INCOME TRUST

JULY 31, 2011

3


 

 

 

 

Schedule of Investments (continued)

BlackRock Municipal Income Trust (BFK)
 (Percentages shown are based on Net Assets)

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Nevada — 0.8%

 

 

 

 

 

 

 

County of Clark Nevada, Refunding RB,
Alexander Dawson School Nevada
Project, 5.00%, 5/15/29

 

$

4,550

 

$

4,565,060

 

New Hampshire — 0.6%

 

 

 

 

 

 

 

New Hampshire Health & Education
Facilities Authority, RB, Exeter Project,
5.75%, 10/01/31

 

 

3,500

 

 

3,540,145

 

New Jersey — 9.2%

 

 

 

 

 

 

 

Middlesex County Improvement
Authority, RB, Heldrich Center Hotel,
Series B, 6.25%, 1/01/37 (c)(d)

 

 

3,680

 

 

331,200

 

New Jersey EDA, RB:

 

 

 

 

 

 

 

Cigarette Tax, 5.75%,
6/15/29

 

 

15,500

 

 

15,362,205

 

Continental Airlines Inc.
Project, 6.25%, 9/15/29

 

 

3,000

 

 

2,863,770

 

Continental Airlines Inc.
Project, AMT, 7.00%,
11/15/30 (g)

 

 

15,410

 

 

15,417,859

 

New Jersey EDA, Special Assessment
Bonds, Refunding, Kapkowski Road
Landfill Project, 6.50%, 4/01/28

 

 

8,000

 

 

8,201,040

 

New Jersey Transportation Trust Fund
Authority, RB, Transportation System,
Series A, 5.50%, 6/15/41

 

 

8,000

 

 

8,352,720

 

Tobacco Settlement Financing Corp.
New Jersey, Refunding RB, Series 1A,
4.50%, 6/01/23

 

 

3,135

 

 

2,841,752

 

 

 

 

 

 

 

53,370,546

 

New York — 7.6%

 

 

 

 

 

 

 

Albany Industrial Development Agency,
RB, New Covenant Charter School
Project, Series A, 7.00%, 5/01/35
(c)(d)

 

 

1,820

 

 

455,200

 

Metropolitan Transportation Authority,
Refunding RB, Transportation,
Series D, 5.25%, 11/15/40

 

 

2,375

 

 

2,404,426

 

New York City Industrial Development
Agency, RB, American Airlines Inc.,
JFK International Airport, AMT (g):

 

 

 

 

 

 

 

8.00%, 8/01/28

 

 

5,000

 

 

5,210,300

 

7.75%, 8/01/31

 

 

22,140

 

 

22,841,617

 

New York Liberty Development Corp.,
Refunding RB, Second Priority, Bank
of America Tower at One Bryant Park
Project, 6.38%, 7/15/49

 

 

2,400

 

 

2,468,568

 

New York State Environmental Facilities
Corp., RB, Revolving Funds, New York
City Municipal Water Project, Series B,
5.00%, 6/15/31

 

 

5,375

 

 

5,421,117

 

Port Authority of New York & New Jersey,
RB, JFK International Air Terminal:

 

 

 

 

 

 

 

6.00%, 12/01/36

 

 

2,525

 

 

2,565,526

 

6.00%, 12/01/42

 

 

2,460

 

 

2,488,684

 

 

 

 

 

 

 

43,855,438

 

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

North Carolina — 4.4%

 

 

 

 

 

 

 

Gaston County Industrial Facilities &
Pollution Control Financing Authority
North Carolina, RB, Exempt Facilities
National Gypsum Co. Project, AMT,
5.75%, 8/01/35

 

$

12,130

 

$

9,247,791

 

North Carolina Capital Facilities Finance
Agency, RB, Duke University Project,
Series B, 5.00%, 10/01/38

 

 

10,000

 

 

10,360,100

 

North Carolina Capital Facilities Finance
Agency, Refunding RB, Duke
University Project, Series B, 4.25%,
7/01/42

 

 

3,335

 

 

3,112,088

 

North Carolina Medical Care
Commission, RB, Duke University
Health System, Series A, 5.00%,
6/01/42

 

 

2,750

 

 

2,772,880

 

 

 

 

 

 

 

25,492,859

 

Ohio — 2.5%

 

 

 

 

 

 

 

County of Allen Ohio, Refunding RB,
Catholic Healthcare, Series A, 5.25%,
6/01/38

 

 

6,125

 

 

6,146,009

 

County of Montgomery Ohio, Refunding
RB, Catholic Healthcare, Series A,
5.00%, 5/01/39

 

 

5,450

 

 

5,425,257

 

Pinnacle Community Infrastructure
Financing Authority, RB, Facilities,
Series A, 6.25%, 12/01/36

 

 

3,760

 

 

2,965,474

 

 

 

 

 

 

 

14,536,740

 

Oklahoma — 1.3%

 

 

 

 

 

 

 

Tulsa Airports Improvement Trust, RB,
Series A, Mandatory Put Bonds, AMT,
7.75%, 6/01/35 (g)

 

 

7,175

 

 

7,414,645

 

Pennsylvania — 2.2%

 

 

 

 

 

 

 

Allegheny County Hospital Development
Authority, Refunding RB, Health
System, West Penn, Series A, 5.38%,
11/15/40

 

 

3,000

 

 

2,522,580

 

Pennsylvania Economic Development
Financing Authority, RB:

 

 

 

 

 

 

 

Amtrak Project, Series A, AMT,
6.38%, 11/01/41

 

 

6,500

 

 

6,524,115

 

Aqua Pennsylvania Inc.
Project, 5.00%, 11/15/40

 

 

3,725

 

 

3,782,849

 

 

 

 

 

 

 

12,829,544

 

Puerto Rico — 3.9%

 

 

 

 

 

 

 

Puerto Rico Sales Tax Financing Corp.,
RB, Series A:

 

 

 

 

 

 

 

CAB, 6.66%, 8/01/33 (a)

 

 

12,670

 

 

3,015,967

 

CAB, 6.67%, 8/01/36 (a)

 

 

40,000

 

 

7,514,000

 

First Sub, 6.50%, 8/01/44

 

 

10,900

 

 

11,781,265

 

 

 

 

 

 

 

22,311,232

 

 

 

 

 

 

 

 

 

 

BLACKROCK MUNICIPAL INCOME TRUST

JULY 31, 2011

4


 

 

 

 

Schedule of Investments (continued)

BlackRock Municipal Income Trust (BFK)

 

(Percentages shown are based on Net Assets)

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

South Carolina — 2.0%

 

 

 

 

 

 

 

South Carolina Jobs-EDA, Refunding RB,
Palmetto Health Alliance, Series A,
6.25%, 8/01/31

 

$

5,075

 

$

5,124,329

 

South Carolina State Ports Authority, RB,
5.25%, 7/01/40

 

 

6,455

 

 

6,569,770

 

 

 

 

 

 

 

11,694,099

 

Tennessee — 0.6%

 

 

 

 

 

 

 

Knox County Health Educational &
Housing Facilities Board Tennessee,
Refunding RB, CAB, Series A (AGM),
5.70%, 1/01/20 (a)

 

 

5,055

 

 

3,219,530

 

Texas — 16.0%

 

 

 

 

 

 

 

Brazos River Authority, RB, TXU Electric,
Series A, AMT, 8.25%, 10/01/30

 

 

4,370

 

 

1,661,474

 

Brazos River Authority, Refunding RB,
TXU Electric Co. Project, Series C,
Mandatory Put Bonds, AMT, 5.75%,
5/01/36 (g)

 

 

3,625

 

 

3,568,051

 

Central Texas Regional Mobility
Authority, RB, Senior Lien, 6.25%,
1/01/46

 

 

4,210

 

 

4,194,970

 

City of Dallas Texas, Refunding RB,
5.00%, 10/01/35

 

 

2,970

 

 

3,126,044

 

City of Houston Texas, RB, Senior Lien,
Series A, 5.50%, 7/01/39

 

 

3,000

 

 

3,099,120

 

City of Houston Texas, Refunding RB,
Series A:

 

 

 

 

 

 

 

Combined First Lien, AGC, 6.00%,
11/15/35

 

 

16,425

 

 

18,279,383

 

Refunding Sub Lien, AMT,
5.00%, 7/01/22

 

 

6,020

 

 

6,243,884

 

Harris County-Houston Sports Authority,
Refunding RB (NPFGC) (a):

 

 

 

 

 

 

 

CAB, Junior Lien, Series H,
6.12%, 11/15/35

 

 

5,000

 

 

829,600

 

CAB, Senior Lien, Series A,
5.96%, 11/15/38

 

 

12,580

 

 

1,805,607

 

Third Lien, Series A-3, 5.97%,
11/15/37

 

 

26,120

 

 

3,609,784

 

Lower Colorado River Authority,
Refunding RB:

 

 

 

 

 

 

 

(NPFGC), 5.00%, 5/15/13

 

 

50

 

 

54,062

 

(NPFGC), 5.00%, 5/15/13

 

 

70

 

 

75,621

 

(NPFGC), 5.00%, 5/15/31

 

 

1,150

 

 

1,159,338

 

LCRA Transmission Services Project
(AMBAC), 4.75%, 5/15/34

 

 

140

 

 

137,693

 

Series A (NPFGC), 5.00%, 5/15/13

 

 

5

 

 

5,406

 

North Texas Tollway Authority, RB, Toll
Second Tier, Series F, 6.13%,
1/01/31

 

 

12,180

 

 

12,575,728

 

San Antonio Energy Acquisition Public
Facility Corp., RB, Gas Supply, 5.50%,
8/01/25

 

 

6,540

 

 

6,733,453

 

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Texas (concluded)

 

 

 

 

 

 

 

Tarrant County Cultural Education
Facilities Finance Corp., RB, Scott &
White Healthcare, 6.00%, 8/15/45

 

$

7,930

 

$

8,312,940

 

Texas Private Activity Bond Surface
Transportation Corp., RB, Senior Lien:

 

 

 

 

 

 

 

LBJ Infrastructure Group LLC, LBJ
Freeway Managed Lanes Project,
7.00%, 6/30/40

 

 

7,975

 

 

8,479,499

 

NTE Mobility Partners LLC, North
Tarrant Express Managed Lanes
Project, 6.88%, 12/31/39

 

 

7,590

 

 

7,997,887

 

Texas State Affordable Housing Corp.,
RB, American Opportunity Housing
Portfolio, Junior Series B, 8.00%,
3/01/32 (c)

 

 

4,435

 

 

206,183

 

Texas State Turnpike Authority, RB, First
Tier, Series A (AMBAC), 5.00%,
8/15/42

 

 

640

 

 

585,510

 

 

 

 

 

 

 

92,741,237

 

Utah — 1.2%

 

 

 

 

 

 

 

City of Riverton Utah, RB, IHC Health
Services Inc., 5.00%, 8/15/41

 

 

7,150

 

 

7,154,504

 

Virginia — 1.6%

 

 

 

 

 

 

 

City of Norfolk Virginia, Refunding RB,
Series B (AMBAC), 5.50%, 2/01/31

 

 

2,240

 

 

2,221,475

 

Virginia Commonwealth Transportation
Board, RB, CAB, Contract, Route 28
(NPFGC), 5.30%, 4/01/32 (a)

 

 

8,105

 

 

2,740,949

 

Virginia HDA, RB, Sub-Series H-1
(NPFGC), 5.35%, 7/01/31

 

 

4,520

 

 

4,521,672

 

 

 

 

 

 

 

9,484,096

 

Washington — 0.7%

 

 

 

 

 

 

 

Washington Health Care Facilities
Authority, RB, Swedish Health
Services, Series A, 6.75%, 11/15/41

 

 

3,900

 

 

4,173,468

 

Wisconsin — 2.4%

 

 

 

 

 

 

 

Wisconsin Health & Educational
Facilities Authority, RB:

 

 

 

 

 

 

 

Ascension Health Senior Care
Group, 5.00%, 11/15/30

 

 

3,210

 

 

3,273,077

 

Ascension Health Senior Care
Group, 5.00%, 11/15/33

 

 

1,640

 

 

1,655,400

 

Aurora Health Care, 6.40%,
4/15/33

 

 

7,500

 

 

7,616,550

 

Wisconsin Health & Educational
Facilities Authority, Refunding RB,
Froedtert & Community Health Inc.,
5.38%, 10/01/30

 

 

1,205

 

 

1,212,579

 

 

 

 

 

 

 

13,757,606

 

Total Municipal Bonds – 134.0%

 

 

 

 

 

774,642,264

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

BLACKROCK MUNICIPAL INCOME TRUST

JULY 31, 2011

5


 

 

 

 

Schedule of Investments (continued)

BlackRock Municipal Income Trust (BFK)

 

(Percentages shown are based on Net Assets)

 

 

 

 

 

 

 

 

Municipal Bonds Transferred to Tender
Option Bond (TOB) Trusts (h)

 

Par
(000)

 

Value

 

Alabama — 0.8%

 

 

 

 

 

 

 

Alabama Special Care Facilities
Financing Authority-Birmingham,
Refunding RB, Ascension Health
Senior Credit, Series C-2, 5.00%,
11/15/36

 

$

4,548

 

$

4,573,048

 

California — 3.1%

 

 

 

 

 

 

 

California Educational Facilities
Authority, RB, University of Southern
California, Series B, 5.25%, 10/01/39

 

 

5,115

 

 

5,357,195

 

Los Angeles Community College District
California, GO, Election of 2001,
Series A (AGM), 5.00%, 8/01/32

 

 

4,500

 

 

4,612,500

 

San Diego Community College District
California, GO, Election of 2002,
5.25%, 8/01/33

 

 

3,260

 

 

3,434,474

 

University of California, RB, Series C
(NPFGC), 4.75%, 5/15/37

 

 

5,000

 

 

4,743,250

 

 

 

 

 

 

 

18,147,419

 

Colorado — 2.2%

 

 

 

 

 

 

 

Colorado Health Facilities Authority, RB,
Catholic Health, (AGM):

 

 

 

 

 

 

 

Series C-3, 5.10%, 10/01/41

 

 

7,600

 

 

7,553,108

 

Series C-7, 5.00%, 9/01/36

 

 

4,860

 

 

4,832,249

 

 

 

 

 

 

 

12,385,357

 

Connecticut — 3.4%

 

 

 

 

 

 

 

Connecticut State Health & Educational
Facility Authority, RB, Yale University:

 

 

 

 

 

 

 

Series T-1, 4.70%, 7/01/29

 

 

9,400

 

 

9,895,568

 

Series X-3, 4.85%, 7/01/37

 

 

9,360

 

 

9,520,524

 

 

 

 

 

 

 

19,416,092

 

Massachusetts — 1.2%

 

 

 

 

 

 

 

Massachusetts Water Resources
Authority, Refunding RB, General,
Series A, 5.00%, 8/01/41

 

 

6,770

 

 

6,895,922

 

New Hampshire — 0.7%

 

 

 

 

 

 

 

New Hampshire Health & Education
Facilities Authority, Refunding RB,
Dartmouth College, 5.25%, 6/01/39

 

 

3,988

 

 

4,224,133

 

New York — 6.5%

 

 

 

 

 

 

 

New York City Municipal Water Finance
Authority, RB, Series FF-2, 5.50%,
6/15/40

 

 

3,074

 

 

3,288,659

 

New York City Municipal Water Finance
Authority, Water & Sewer RB, Second
General Resolution, Series HH,
5.00%, 6/15/31

 

 

16,393

 

 

17,402,719

 

New York State Dormitory Authority,
ERB, Series F, 5.00%, 3/15/35

 

 

16,708

 

 

17,028,220

 

 

 

 

 

 

 

37,719,598

 

 

 

 

 

 

 

 

 

Municipal Bonds Transferred to Tender
Option Bond (TOB) Trusts (h)

 

Par
(000)

 

Value

 

Virginia — 1.9%

 

 

 

 

 

 

 

University of Virginia, Refunding RB,
General, 5.00%, 6/01/40

 

$

10,750

 

$

11,158,930

 

Washington — 3.6%

 

 

 

 

 

 

 

Central Puget Sound Regional Transit
Authority, RB, Series A (AGM), 5.00%,
11/01/32

 

 

5,459

 

 

5,651,093

 

State of Washington, GO, Various
Purpose, Series E, 5.00%, 2/01/34

 

 

14,487

 

 

15,103,506

 

 

 

 

 

 

 

20,754,599

 

Total Municipal Bonds Transferred to
Tender Option Bond (TOB) Trusts – 23.4%

 

 

 

 

 

135,275,098

 

Total Long-Term Investments
(Cost – $923,547,489) – 157.4%

 

 

 

 

 

909,917,362

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Short-Term Securities

 

Shares

 

 

 

 

FFI Institutional Tax-Exempt Fund,
0.01% (i)(j)

 

 

189,590

 

 

189,590

 

 

 

 

 

 

 

 

 

 

 

Par
(000)

 

 

 

 

Michigan Finance Authority, RB, SAN,
Detroit Schools, Series A-1,
6.45%, 2/20/12

 

$

6,375

 

 

6,484,331

 

Total Short-Term Securities
(Cost – $6,564,589) – 1.1%

 

 

 

 

 

6,673,921

 

Total Investments
(Cost – $930,112,078*) – 158.5%

 

 

 

 

 

916,591,283

 

Other Assets Less Liabilities – 1.7%

 

 

 

 

 

9,613,347

 

Liability for TOB Trust Certificates, Including Interest
Expense and Fees Payable – (13.3)%

 

 

 

 

 

(77,071,651

)

Preferred Shares, at Redemption Value – (46.9)%

 

 

 

 

 

(270,879,269

)

Net Assets Applicable to Common Shares – 100.0%

 

 

 

 

$

578,253,710

 

 

 

 

*

The cost and unrealized appreciation (depreciation) of investments as of July 31, 2011, as computed for federal income tax purposes, were as follows:


 

 

 

 

 

Aggregate cost

 

$

853,659,791

 

Gross unrealized appreciation

 

$

101,607,135

 

Gross unrealized depreciation

 

 

(38,675,643

)

Net unrealized appreciation

 

$

62,931,492

 

 

 

(a)

Represents a zero-coupon bond. Rate shown reflects the current yield as of report date.

 

 

(b)

US government securities, held in escrow, are used to pay interest on this security as well as to retire the bond in full at the date indicated, typically at a premium to par.

 

 

(c)

Issuer filed for bankruptcy and/or is in default of interest payments.

 

 

(d)

Non-income producing security.


 

 

 

 

 

 

 

 

 

BLACKROCK MUNICIPAL INCOME TRUST

JULY 31, 2011

6


 

 

 

 

Schedule of Investments (continued)

BlackRock Municipal Income Trust (BFK)


 

 

(e)

Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration to qualified institutional investors.

 

 

(f)

Security represents a beneficial interest in a trust. The collateral deposited into the trust is federally tax-exempt revenue binds issued by various state or local governments, or their respective agencies or authorities. The security is subject to remarketing prior to its stated maturity.

 

 

(g)

Variable rate security. Rate shown is as of report date.

 

 

(h)

Securities represent bonds transferred to a TOB trust in exchange for which the Trust acquired residual interest certificates. These securities serve as collateral in a financing transaction.

 

 

(i)

Investments in companies considered to be an affiliate of the Trust during the period, for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:


 

 

 

 

 

 

 

 

 

 

 

 

 

 

Affiliate

 

 

Shares
Held at
April 30, 2011

 

 

Net
Activity

 

 

Shares
Held at
July 31, 2011

 

 

Income

 

FFI Institutional
Tax-Exempt
Fund

 

 

30,616,864

 

 

(30,427,274

)

 

189,590

 

$

4,211

 

 

 

 

(j)

Represents the current yield as of report date.

 

 

 

•

Financial futures contracts sold as of July 31,2011 were as follows:


 

 

 

 

 

 

 

 

 

 

 

 

 

 

Contracts

 

Issue

 

Exchange

 

Expiration

 

Notional
Value

 

Unrealized
Depreciation

 

242

 

10-Year US
Treasury Note

 

Chicago
Board of
Trade

 

September 2011

 

$

30,416,375

 

$

(797,022

)

 

 

 

•

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

 

 

 

 

•

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

 

 

 

 

•

Level 2 — other observable inputs (including, but not limited to: quoted prices for similar assets or liabilities in markets that are active, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the assets or liabilities (such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or other market-corroborated inputs)

 

 

 

 

•

Level 3 — unobservable inputs based on the best information available in the circumstances, to the extent observable inputs are not available (including the Trust’s own assumptions used in determining the fair value of investments and derivative financial instruments)

 

 

 

The categorization of a value determined for investments and derivative financial instruments is based on the pricing transparency of the investment and derivative financial instrument and does not necessarily correspond to the Trust’s perceived risk of investing in those securities. For information about the Trust’s policy regarding valuation of investments and derivative financial instruments and other significant accounting policies, please refer to the Trust’s most recent financial statements as contained in its annual report.


 

 

 

 

 

 

 

 

 

BLACKROCK MUNICIPAL INCOME TRUST

JULY 31, 2011

7


 

 

 

 

Schedule of Investments (concluded)

BlackRock Municipal Income Trust (BFK)

The following tables summarize the inputs used as of July 31, 2011 in determining the fair valuation of the Trust’s investments and derivative financial instruments:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Valuation Inputs

 

Level 1

 

Level 2

 

Level 3

 

Total

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

Investments:

 

 

 

 

 

 

 

 

 

 

 

 

 

Long-Term Investments1

 

 

—

 

$

909,917,362

 

 

—

 

$

909,917,362

 

Short-Term Securities

 

$

189,590

 

 

6,484,331

 

 

—

 

 

6,673,921

 

Total

 

$

189,590

 

$

916,401,693

 

 

—

 

$

916,591,283

 

 

 

 

 

1

See above Schedule of Investments for value in each state or political subdivision.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Valuation Inputs

 

Level 1

 

Level 2

 

Level 3

 

Total

 

Derivative Financial Instruments2

 

 

 

 

 

 

 

 

 

 

 

 

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate contracts

 

$

(797,022

)

 

—

 

 

—

 

$

(797,022

)

 

 

 

 

2

Derivative financial instruments are financial futures contracts, which are valued at the unrealized appreciation/depreciation on the instrument.


 

 

 

 

 

 

 

 

 

BLACKROCK MUNICIPAL INCOME TRUST

JULY 31, 2011

8

Item 2 –

Controls and Procedures

 

 

2(a) –

The registrant’s principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”)) are effective as of a date within 90 days of the filing of this report based on the evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act and Rule 13a-15(b) under the Securities Exchange Act of 1934, as amended.

 

 

2(b) –

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

 

 

Item 3 –

Exhibits

 

 

 

Certifications – Attached hereto

 

 

 

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

 

 

BlackRock Municipal Income Trust

 

 

 

 By: /s/ John M. Perlowski

 

 

 

John M. Perlowski 

 

 

Chief Executive Officer (principal executive officer) of 

 

 

BlackRock Municipal Income Trust 

 

 

 

Date: September 26, 2011 

 

 

 

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated. 

 

 

 

 By: /s/ John M. Perlowski

 

 

 

John M. Perlowski 

 

 

Chief Executive Officer (principal executive officer) of 

 

 

BlackRock Municipal Income Trust 

 

 

 

Date: September 26, 2011 

 

 

 

 By: /s/ Neal J. Andrews

 

 

 

Neal J. Andrews 

 

 

Chief Financial Officer (principal financial officer) of 

 

 

BlackRock Municipal Income Trust 

 

 

 

 

Date: September 26, 2011