Chairman’s Letter to Shareholders
|
4
|
Portfolio Managers’ Comments
|
5
|
Fund Leverage and Other Information
|
10
|
Common Share Dividend and Price Information
|
12
|
Performance Overviews
|
14
|
Shareholder Meeting Report
|
19
|
Portfolios of Investments
|
20
|
Statement of Assets and Liabilities
|
42
|
Statement of Operations
|
43
|
Statement of Changes in Net Assets
|
44
|
Statement of Cash Flows
|
46
|
Financial Highlights
|
48
|
Notes to Financial Statements
|
57
|
Annual Investment Management Agreement Approval Process
|
70
|
Reinvest Automatically, Easily and Conveniently
|
80
|
Glossary of Terms Used in this Report
|
82
|
Additional Fund Information
|
87
|
4
|
Nuveen Investments
|
Nuveen Investments
|
5
|
Average Annual Total Returns on Common Share Net Asset Value*
|
|||||||||||||
For periods ended 8/31/12
|
|||||||||||||
6-Month
|
1-Year
|
5-Year
|
10-Year
|
||||||||||
Arizona Funds
|
|||||||||||||
NAZ
|
5.29
|
%
|
14.80
|
%
|
7.40
|
%
|
6.03
|
%
|
|||||
NFZ
|
5.14
|
%
|
14.72
|
%
|
7.14
|
%
|
5.95
|
%
|
|||||
NKR
|
4.82
|
%
|
13.89
|
%
|
7.26
|
%
|
6.15
|
%
|
|||||
NXE
|
4.32
|
%
|
13.02
|
%
|
7.27
|
%
|
N/A
|
||||||
S&P Arizona Municipal Bond Index**
|
3.39
|
%
|
9.41
|
%
|
6.12
|
%
|
5.29
|
%
|
|||||
S&P Municipal Bond Index**
|
3.24
|
%
|
9.35
|
%
|
6.00
|
%
|
5.28
|
%
|
|||||
Lipper Other States Municipal Debt Funds Classification Average**
|
4.63
|
%
|
14.84
|
%
|
7.25
|
%
|
6.24
|
%
|
|||||
Texas Fund
|
|||||||||||||
NTX
|
4.90
|
%
|
12.85
|
%
|
7.38
|
%
|
6.28
|
%
|
|||||
S&P Texas Municipal Bond Index**
|
3.49
|
%
|
9.06
|
%
|
6.26
|
%
|
5.54
|
%
|
|||||
S&P Municipal Bond Index**
|
3.24
|
%
|
9.35
|
%
|
6.00
|
%
|
5.28
|
%
|
|||||
Lipper Other States Municipal Debt Funds Classification Average**
|
4.63
|
%
|
14.84
|
%
|
7.25
|
%
|
6.24
|
%
|
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 Performance Overview for your Fund in this report.
|
|
*
|
Six-month returns are cumulative; all other returns are annualized.
|
**
|
Refer to Glossary of Terms Used in this Report for definitions. Indexes and Lipper averages are not available for direct investment.
|
6
|
Nuveen Investments
|
Nuveen Investments
|
7
|
•
|
Lower Fund expense ratios (excluding the effects of leverage), as fixed costs are spread over a larger asset base;
|
|
•
|
Enhanced secondary market trading, as larger Funds potentially make it easier for investors to buy and sell Fund shares;
|
|
•
|
Lower per share trading costs through reduced bid/ask spreads due to a larger common share float; and
|
|
•
|
Increased Fund flexibility in managing the structure and cost of leverage over time.
|
8
|
Nuveen Investments
|
Acquired Funds
|
Symbol
|
Acquiring Fund
|
Symbol
|
||||
•
|
Nuveen Arizona Dividend
|
NFZ
|
|||||
Advantage Municipal Fund
|
|||||||
•
|
Nuveen Arizona Dividend
|
NKR
|
Nuveen Arizona Premium
|
NAZ
|
|||
Advantage Municipal Fund 2
|
Income Municipal Fund, Inc.
|
||||||
•
|
Nuveen Arizona Dividend
|
NXE
|
|||||
Advantage Municipal Fund 3
|
Nuveen Investments
|
9
|
MTP Shares Issued |
Annual
|
NYSE
|
|||||||||||
Fund
|
Series
|
at Liquidation Value |
Interest Rate
|
Ticker
|
|||||||||
NFZ
|
2015
|
$
|
11,100,000
|
2.05%
|
NFZ PrC
|
||||||||
NKR
|
2015
|
$
|
18,725,000
|
2.05%
|
NKR PrC
|
||||||||
NXE
|
2016
|
$
|
20,846,000
|
2.90%
|
NXE PrC
|
||||||||
NTX
|
2015
|
$
|
70,920,000
|
2.30%
|
NTX PrC
|
VMTP Shares Issued | |||||||
Fund
|
Series
|
at Liquidation Value | |||||
NAZ
|
2014
|
$
|
28,000,000
|
10
|
Nuveen Investments
|
Nuveen Investments
|
11
|
Common Shares
|
% of Outstanding
|
||||||
Fund
|
Repurchased and Retired
|
Common Shares
|
|||||
NFZ
|
2,500
|
0.2%
|
|||||
NKR
|
800
|
0.0%
|
*
|
||||
NXE
|
1,600
|
0.1%
|
*
|
Rounds to less than 0.1%.
|
12
|
Nuveen Investments
|
8/31/12
|
Six-Month Average
|
||||||
Fund
|
(+)Premium/(-)Discount
|
(+)Premium/(-)Discount
|
|||||
NAZ
|
(+)4.14%
|
(+)0.71
|
%
|
||||
NFZ
|
(-)2.07%
|
(-)3.98
|
%
|
||||
NKR
|
(+)0.38%
|
(-)2.42
|
%
|
||||
NXE
|
(-)2.17%
|
(-)4.33
|
%
|
||||
NTX
|
(+)7.97%
|
(+)6.68
|
%
|
Nuveen Investments
|
13
|
NAZ
|
Nuveen Arizona
|
|
Performance
|
Premium Income
|
|
OVERVIEW
|
Municipal Fund, Inc.
|
|
as of August 31, 2012
|
Fund Snapshot
|
||||
Common Share Price
|
$
|
15.84
|
||
Common Share Net Asset Value (NAV)
|
$
|
15.21
|
||
Premium/(Discount) to NAV
|
4.14
|
%
|
||
Market Yield
|
4.85
|
%
|
||
Taxable-Equivalent Yield1
|
7.06
|
%
|
||
Net Assets Applicable to Common Shares ($000)
|
$
|
68,016
|
Leverage
|
||||
Regulatory Leverage
|
29.16
|
%
|
||
Effective Leverage
|
30.71
|
%
|
Average Annual Total Returns
|
|||||||
(Inception 11/19/92)
|
|||||||
On Share Price
|
On NAV
|
||||||
6-Month (Cumulative)
|
11.22
|
%
|
5.29
|
%
|
|||
1-Year
|
28.63
|
%
|
14.80
|
%
|
|||
5-Year
|
10.01
|
%
|
7.40
|
%
|
|||
10-Year
|
4.73
|
%
|
6.03
|
%
|
Portfolio Composition3
|
||||
(as a % of total investments)
|
||||
Tax Obligation/Limited
|
25.2
|
%
|
||
Utilities
|
18.7
|
%
|
||
Health Care
|
18.1
|
%
|
||
Education and Civic Organizations
|
13.0
|
%
|
||
Tax Obligation/General
|
8.3
|
%
|
||
Water and Sewer
|
7.9
|
%
|
||
U.S. Guaranteed
|
7.7
|
%
|
||
Other
|
1.1
|
%
|
Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this Fund’s Performance Overview page.
|
|
1
|
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 combined federal and state income tax rate of 31.3%. When comparing this Fund to investments that generate qualified dividend income, the Taxable-Equivalent Yield is lower.
|
2
|
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor’s Group, Moody’s Investors Service, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A, and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings.Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by these national rating agencies.
|
3
|
Holdings are subject to change.
|
14
|
Nuveen Investments
|
NFZ
|
Nuveen Arizona
|
|
Performance
|
Dividend Advantage
|
|
OVERVIEW
|
Municipal Fund
|
|
as of August 31, 2012
|
Fund Snapshot
|
||||
Common Share Price
|
$
|
15.15
|
||
Common Share Net Asset Value (NAV)
|
$
|
15.47
|
||
Premium/(Discount) to NAV
|
-2.07
|
%
|
||
Market Yield
|
4.83
|
%
|
||
Taxable-Equivalent Yield1
|
7.03
|
%
|
||
Net Assets Applicable to Common Shares ($000)
|
$
|
23,947
|
Leverage
|
||||
Regulatory Leverage
|
31.67
|
%
|
||
Effective Leverage
|
34.80
|
%
|
Average Annual Total Returns
|
|||||||
(Inception 1/30/01)
|
|||||||
On Share Price
|
On NAV
|
||||||
6-Month (Cumulative)
|
8.00
|
%
|
5.14
|
%
|
|||
1-Year
|
22.86
|
%
|
14.72
|
%
|
|||
5-Year
|
8.45
|
%
|
7.14
|
%
|
|||
10-Year
|
5.70
|
%
|
5.95
|
%
|
Portfolio Composition3
|
||||
(as a % of total investments)
|
||||
Tax Obligation/Limited
|
30.6
|
%
|
||
Health Care
|
17.4
|
%
|
||
Utilities
|
17.2
|
%
|
||
Tax Obligation/General
|
12.3
|
%
|
||
U.S. Guaranteed
|
9.3
|
%
|
||
Education and Civic Organizations
|
9.1
|
%
|
||
Other
|
4.1
|
%
|
Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this Fund’s Performance Overview page.
|
|
1
|
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 combined federal and state income tax rate of 31.3%. When comparing this Fund to investments that generate qualified dividend income, the Taxable-Equivalent Yield is lower.
|
2
|
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor’s Group, Moody’s Investors Service, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A, and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by these national rating agencies.
|
3
|
Holdings are subject to change.
|
Nuveen Investments
|
15
|
NKR
|
Nuveen Arizona
|
|
Performance
|
Dividend Advantage
|
|
OVERVIEW
|
Municipal Fund 2
|
|
as of August 31, 2012
|
Fund Snapshot
|
||||
Common Share Price
|
$
|
15.78
|
||
Common Share Net Asset Value (NAV)
|
$
|
15.72
|
||
Premium/(Discount) to NAV
|
0.38
|
%
|
||
Market Yield
|
5.10
|
%
|
||
Taxable-Equivalent Yield1
|
7.42
|
%
|
||
Net Assets Applicable to Common Shares ($000)
|
$
|
38,359
|
Leverage
|
||||
Regulatory Leverage
|
32.80
|
%
|
||
Effective Leverage
|
34.35
|
%
|
Average Annual Total Returns
|
|||||||
(Inception 3/25/02)
|
|||||||
On Share Price
|
On NAV
|
||||||
6-Month (Cumulative)
|
9.61
|
%
|
4.82
|
%
|
|||
1-Year
|
24.87
|
%
|
13.89
|
%
|
|||
5-Year
|
6.78
|
%
|
7.26
|
%
|
|||
10-Year
|
6.36
|
%
|
6.15
|
%
|
Portfolio Composition3
|
||||
(as a % of total investments)
|
||||
Tax Obligation/Limited
|
31.4
|
%
|
||
Health Care
|
22.7
|
%
|
||
Tax Obligation/General
|
18.0
|
%
|
||
Education and Civic Organizations
|
10.7
|
%
|
||
Utilities
|
7.5
|
%
|
||
Water and Sewer
|
6.6
|
%
|
||
Other
|
3.1
|
%
|
Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this Fund’s Performance Overview page.
|
|
1
|
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 combined federal and state income tax rate of 31.3%. When comparing this Fund to investments that generate qualified dividend income, the Taxable-Equivalent Yield is lower.
|
2
|
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor’s Group, Moody’s Investors Service, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A, and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by these national rating agencies.
|
3
|
Holdings are subject to change.
|
16
|
Nuveen Investments
|
NXE
|
Nuveen Arizona
|
|
Performance
|
Dividend Advantage
|
|
OVERVIEW
|
Municipal Fund 3
|
|
as of August 31, 2012
|
Fund Snapshot
|
||||
Common Share Price
|
$
|
14.91
|
||
Common Share Net Asset Value (NAV)
|
$
|
15.24
|
||
Premium/(Discount) to NAV
|
-2.17
|
%
|
||
Market Yield
|
4.83
|
%
|
||
Taxable-Equivalent Yield1
|
7.03
|
%
|
||
Net Assets Applicable to Common Shares ($000)
|
$
|
46,718
|
Leverage
|
||||
Regulatory Leverage
|
30.85
|
%
|
||
Effective Leverage
|
33.15
|
%
|
Average Annual Total Returns
|
|||||||
(Inception 9/25/02)
|
|||||||
On Share Price
|
On NAV
|
||||||
6-Month (Cumulative)
|
7.10
|
%
|
4.32
|
%
|
|||
1-Year
|
21.84
|
%
|
13.02
|
%
|
|||
5-Year
|
8.18
|
%
|
7.27
|
%
|
|||
Since Inception
|
5.53
|
%
|
5.97
|
%
|
Portfolio Composition3
|
||||
(as a % of total investments)
|
||||
Tax Obligation/Limited
|
31.7
|
%
|
||
Health Care
|
19.9
|
%
|
||
Utilities
|
13.0
|
%
|
||
Education and Civic Organizations
|
11.9
|
%
|
||
Tax Obligation/General
|
9.0
|
%
|
||
Water and Sewer
|
5.9
|
%
|
||
Other
|
8.6
|
%
|
Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this Fund’s Performance Overview page.
|
|
1
|
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 combined federal and state income tax rate of 31.3%. When comparing this Fund to investments that generate qualified dividend income, the Taxable-Equivalent Yield is lower.
|
2
|
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor’s Group, Moody’s Investors Service, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A, and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by these national rating agencies.
|
3
|
Holdings are subject to change.
|
Nuveen Investments
|
17
|
NTX
|
Nuveen Texas
|
|
Performance
|
Quality Income
|
|
OVERVIEW
|
Municipal Fund
|
|
as of August 31, 2012
|
Fund Snapshot
|
||||
Common Share Price
|
$
|
17.07
|
||
Common Share Net Asset Value (NAV)
|
$
|
15.81
|
||
Premium/(Discount) to NAV
|
7.97
|
%
|
||
Market Yield
|
4.50
|
%
|
||
Taxable-Equivalent Yield1
|
6.25
|
%
|
||
Net Assets Applicable to Common Shares ($000)
|
$
|
151,861
|
Leverage
|
||||
Regulatory Leverage
|
31.83
|
%
|
||
Effective Leverage
|
33.02
|
%
|
Average Annual Total Returns
|
|||||||
(Inception 10/17/91)
|
|||||||
On Share Price
|
On NAV
|
||||||
6-Month (Cumulative)
|
7.28
|
%
|
4.90
|
%
|
|||
1-Year
|
12.89
|
%
|
12.85
|
%
|
|||
5-Year
|
10.44
|
%
|
7.38
|
%
|
|||
10-Year
|
7.28
|
%
|
6.28
|
%
|
Portfolio Composition4
|
||||
(as a % of total investments)
|
||||
Tax Obligation/General
|
23.1
|
%
|
||
U.S. Guaranteed
|
11.8
|
%
|
||
Tax Obligation/Limited
|
11.6
|
%
|
||
Utilities
|
10.8
|
%
|
||
Transportation
|
10.3
|
%
|
||
Water and Sewer
|
9.6
|
%
|
||
Health Care
|
9.1
|
%
|
||
Education and Civic Organizations
|
7.7
|
%
|
||
Other
|
6.0
|
%
|
Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this Fund’s Performance Overview page.
|
|
1
|
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 this Fund to investments that generate qualified dividend income, the Taxable-Equivalent Yield is lower.
|
2
|
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor’s Group, Moody’s Investors Service, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A, and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by these national rating agencies.
|
3
|
The Fund paid shareholders a capital gains distribution in December 2011 of $0.0259 per share.
|
4 | Holdings are subject to change. |
18
|
Nuveen Investments
|
NFZ |
Shareholder Meeting Report
|
|
NKR | ||
NXE |
The annual meeting of shareholders for NFZ, NKR and NXE was held in the offices of Nuveen Investments on November 15, 2011; at this meeting the shareholders were asked to vote on the election of Board Members, the elimination of Fundamental Investment Policies and the approval of new Fundamental Investment Policies. The meeting was subsequently adjourned to December 16, 2011. The meeting was additionally adjourned to January 31, 2012 and March 5, 2012. The meeting for NKR was subsequently adjourned to March 14, 2012.
|
NFZ
|
NKR
|
NXE
|
|||||||||||||||||
Common and
|
|
Common and
|
Common and | ||||||||||||||||
Preferred
|
Preferred
|
Preferred
|
Preferred
|
Preferred
|
Preferred
|
||||||||||||||
shares voting
|
shares voting
|
shares voting
|
shares voting
|
shares voting
|
shares voting
|
||||||||||||||
together
|
together
|
together
|
together
|
together
|
together
|
||||||||||||||
as a class
|
as a class
|
as a class
|
as a class
|
as a class
|
as a class
|
||||||||||||||
To approve the elimination of the fundamental policies relating to the Fund’s ability to make loans.
|
|||||||||||||||||||
For
|
1,186,605
|
417,800
|
2,006,923
|
737,175
|
2,407,059
|
736,200
|
|||||||||||||
Against
|
191,784
|
134,900
|
233,141
|
111,478
|
239,195
|
91,800
|
|||||||||||||
Abstain
|
46,123
|
1,000
|
77,985
|
27,000
|
100,908
|
20,000
|
|||||||||||||
Broker Non-Votes
|
212,705
|
20,199
|
348,065
|
79,611
|
489,254
|
197,749
|
|||||||||||||
Total
|
1,637,217
|
573,899
|
2,666,114
|
955,264
|
3,236,416
|
1,045,749
|
|||||||||||||
To approve the new fundamental policy relating to the Fund’s ability to make loans.
|
|||||||||||||||||||
For
|
1,189,255
|
417,800
|
2,001,261
|
737,175
|
2,387,809
|
731,200
|
|||||||||||||
Against
|
193,534
|
134,900
|
237,113
|
111,478
|
255,195
|
96,800
|
|||||||||||||
Abstain
|
41,723
|
1,000
|
79,675
|
27,000
|
104,158
|
20,000
|
|||||||||||||
Broker Non-Votes
|
212,705
|
20,199
|
348,065
|
79,611
|
489,254
|
197,749
|
|||||||||||||
Total
|
1,637,217
|
573,899
|
2,666,114
|
955,264
|
3,236,416
|
1,045,749
|
Nuveen Investments
|
19
|
Nuveen Arizona Premium Income Municipal Fund, Inc.
|
||
NAZ
|
Portfolio of Investments
|
|
August 31, 2012 (Unaudited)
|
Principal
|
Optional Call
|
|||||||
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
||||
Consumer Staples – 1.1% (0.8% of Total Investments)
|
||||||||
$
|
730
|
Puerto Rico, The Children’s Trust Fund, Tobacco Settlement Asset-Backed Refunding Bonds, Series 2002, 5.375%, 5/15/33
|
11/12 at 100.00
|
BBB+
|
$
|
729,985
|
||
Education and Civic Organizations – 18.2% (13.0% of Total Investments)
|
||||||||
2,500
|
Arizona Higher Education Loan Authority, Student Loan Revenue Bonds, Series 2007B, Auction Rate Securities, 0.525%, 11/01/41 (Alternative Minimum Tax) (4)
|
10/12 at 100.00
|
A
|
1,951,904
|
||||
Arizona State University, System Revenue Bonds, Series 2005:
|
||||||||
1,455
|
5.000%, 7/01/20 – AMBAC Insured
|
7/15 at 100.00
|
Aa3
|
1,613,930
|
||||
750
|
5.000%, 7/01/21 – AMBAC Insured
|
7/15 at 100.00
|
Aa3
|
831,923
|
||||
755
|
Glendale Industrial Development Authority, Arizona, Revenue Bonds, Midwestern University, Refunding Series 2007, 5.000%, 5/15/31
|
5/22 at 100.00
|
A–
|
833,407
|
||||
1,600
|
Glendale Industrial Development Authority, Arizona, Revenue Bonds, Midwestern University, Refunding Series 2010, 5.125%, 5/15/40
|
5/20 at 100.00
|
A+
|
1,705,696
|
||||
280
|
Phoenix Industrial Development Authority, Arizona, Education Facility Revenue Bonds, Brighter Choice Foundation Charter Middle Schools Project, Series 2012, 7.500%, 7/01/42
|
7/22 at 100.00
|
BB+
|
291,813
|
||||
220
|
Phoenix Industrial Development Authority, Arizona, Education Revenue Bonds, Great Hearts Academies – Veritas Project, Series 2012, 6.300%, 7/01/42
|
7/21 at 100.00
|
BBB
|
235,275
|
||||
280
|
Phoenix Industrial Development Authority, Arizona, Education Revenue Bonds, Painted Rock Academy Charter School Project, Series 2012A, 7.500%, 7/01/42
|
7/20 at 100.00
|
N/R
|
293,443
|
||||
1,400
|
Phoenix Industrial Development Authority, Arizona, Lease Revenue Bonds, Rowan University Project, Series 2012, 5.000%, 6/01/42 – AGM Insured
|
6/22 at 100.00
|
A+
|
1,510,264
|
||||
280
|
Pima County Industrial Development Authority, Arizona, Education Revenue Bonds, Carden Traditional Schools Project, Series 2012, 7.500%, 1/01/42
|
1/22 at 100.00
|
BBB–
|
300,748
|
||||
Pima County Industrial Development Authority, Arizona, Education Revenue Bonds, Paradise Education Center Project, Series 2010:
|
||||||||
170
|
6.000%, 6/01/40
|
6/19 at 100.00
|
BBB–
|
173,378
|
||||
200
|
6.100%, 6/01/45
|
6/19 at 100.00
|
BBB–
|
204,298
|
||||
1,500
|
Tempe Industrial Development Authority, Arizona, Lease Revenue Bonds, Arizona State University Foundation Project, Series 2003, 5.000%, 7/01/34 – AMBAC Insured
|
7/13 at 100.00
|
N/R
|
1,510,185
|
||||
825
|
Yavapai County Industrial Development Authority, Arizona, Charter School Revenue Bonds, Arizona Agribusiness and Equine Center Charter School, Series 2011, 7.875%, 3/01/42
|
3/21 at 100.00
|
BB+
|
931,112
|
||||
12,215
|
Total Education and Civic Organizations
|
12,387,376
|
||||||
Health Care – 25.3% (18.1% of Total Investments)
|
||||||||
1,430
|
Arizona Health Facilities Authority, Hospital Revenue Bonds, Banner Health Systems, Series 2007A, 5.000%, 1/01/25
|
1/17 at 100.00
|
AA–
|
1,629,843
|
||||
885
|
Arizona Health Facilities Authority, Hospital Revenue Bonds, Banner Health Systems, Series 2007B, 1.120%, 1/02/37
|
1/17 at 100.00
|
AA–
|
669,237
|
||||
3,470
|
Arizona Health Facilities Authority, Hospital Revenue Bonds, Banner Health Systems, Series 2008D, 5.500%, 1/01/38
|
1/18 at 100.00
|
AA–
|
3,859,194
|
||||
2,300
|
Arizona Health Facilities Authority, Hospital System Revenue Bonds, Phoenix Children’s Hospital, Refunding Series 2012, 5.000%, 2/01/42 (WI/DD, Settling 9/06/12)
|
2/22 at 100.00
|
BBB+
|
2,420,773
|
||||
675
|
Glendale Industrial Development Authority, Arizona, Revenue Bonds, John C. Lincoln Health Network, Series 2005B, 5.000%, 12/01/37
|
12/15 at 100.00
|
BBB+
|
689,661
|
||||
1,110
|
Glendale Industrial Development Authority, Arizona, Revenue Bonds, John C. Lincoln Health Network, Series 2007, 5.000%, 12/01/42
|
12/17 at 100.00
|
BBB+
|
1,143,733
|
||||
2,150
|
Maricopa County Industrial Development Authority, Arizona, Health Facility Revenue Bonds, Catholic Healthcare West, Series 2004A, 5.375%, 7/01/23
|
7/14 at 100.00
|
A+
|
2,261,800
|
||||
2,900
|
Maricopa County Industrial Development Authority, Arizona, Health Facility Revenue Bonds, Catholic Healthcare West, Series 2007A, 5.250%, 7/01/32
|
7/17 at 100.00
|
A+
|
3,141,831
|
20
|
Nuveen Investments
|
Principal
|
Optional Call
|
|||||||
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
||||
Health Care (continued)
|
||||||||
$
|
425
|
Puerto Rico Industrial, Tourist, Educational, Medical and Environmental Control Facilities Financing Authority, Hospital Revenue Bonds, Hospital de la Concepcion, Series 2000A, 6.375%, 11/15/15
|
11/12 at 100.00
|
AA+
|
$
|
427,057
|
||
Show Low Industrial Development Authority, Arizona, Hospital Revenue Bonds, Navapache Regional Medical Center, Series 2005:
|
||||||||
525
|
5.000%, 12/01/25 – RAAI Insured
|
12/15 at 100.00
|
BBB+
|
541,448
|
||||
435
|
5.000%, 12/01/30 – RAAI Insured
|
12/15 at 100.00
|
BBB+
|
445,375
|
||||
16,305
|
Total Health Care
|
17,229,952
|
||||||
Long-Term Care – 0.5% (0.3% of Total Investments)
|
||||||||
295
|
Tempe Industrial Development Authority, Arizona, Revenue Bonds, Friendship Village of Tempe Project, Refunding Series 2012A, 6.000%, 12/01/32
|
12/21 at 100.00
|
N/R
|
317,287
|
||||
Tax Obligation/General – 11.6% (8.3% of Total Investments)
|
||||||||
420
|
El Mirage, Arizona, General Obligation Bonds Series 2012, 5.000%, 7/01/42 – AGM Insured
|
7/22 at 100.00
|
AA–
|
467,023
|
||||
1,265
|
Gila County Unified School District 10 Payson, Arizona, School Improvement Bonds, Project 2006, Series 2008B, 5.750%, 7/01/28
|
7/18 at 100.00
|
Aa3
|
1,473,004
|
||||
1,200
|
Maricopa County Unified School District 95 Queen Creek, Arizona, General Obligation Bonds, Series 2008, 5.000%, 7/01/27 – AGM Insured
|
7/18 at 100.00
|
Aa3
|
1,332,600
|
||||
515
|
Pima County Continental Elementary School District 39, Arizona, General Obligation Bonds, Series 2011A, 6.000%, 7/01/30 – AGM Insured
|
7/21 at 100.00
|
AA–
|
646,675
|
||||
3,530
|
Pinal County Unified School District 1, Florence, Arizona, General Obligation Bonds, Series 2008C, 5.250%, 7/01/28
|
7/18 at 100.00
|
A
|
3,957,023
|
||||
6,930
|
Total Tax Obligation/General
|
7,876,325
|
||||||
Tax Obligation/Limited – 35.1% (25.2% of Total Investments)
|
||||||||
990
|
Arizona Sports and Tourism Authority, Senior Revenue Refunding Bonds, Multipurpose Stadium Facility Project, Series 2012A, 5.000%, 7/01/36
|
7/22 at 100.00
|
A1
|
1,093,089
|
||||
275
|
Buckeye, Arizona, Festival Ranch Community Facilities District District General Obligation Bonds, Series 2012, 5.000%, 7/15/31
|
7/22 at 100.00
|
BBB
|
285,959
|
||||
300
|
Estrella Mountain Ranch Community Facilities District, Goodyear, Arizona, Special Assessment Lien Bonds, Series 2001A, 7.875%, 7/01/25
|
1/13 at 100.00
|
N/R
|
300,570
|
||||
3,000
|
Glendale Western Loop 101 Public Facilities Corporation, Arizona, Third Lien Excise Tax Revenue Bonds, Series 2008B, 6.250%, 7/01/38
|
1/14 at 100.00
|
AA
|
3,186,720
|
||||
1,280
|
Greater Arizona Development Authority, Infrastructure Revenue Bonds, Series 2006-1, 5.000%, 8/01/22 – NPFG Insured
|
8/16 at 100.00
|
AA–
|
1,455,744
|
||||
740
|
Greater Arizona Development Authority, Infrastructure Revenue Bonds, Series 2006A, 5.000%, 8/01/23 – NPFG Insured
|
8/16 at 100.00
|
A1
|
824,523
|
||||
1,095
|
Marana Municipal Property Corporation, Arizona, Municipal Facilities Revenue Bonds, Series 2008B, 5.125%, 7/01/28
|
1/13 at 100.00
|
AA
|
1,109,060
|
||||
575
|
Marana Municipal Property Corporation, Arizona, Revenue Bonds, Series 2003, 5.000%, 7/01/28 – AMBAC Insured
|
7/13 at 100.00
|
AA
|
585,396
|
||||
1,342
|
Marana, Arizona, Tangerine Farms Road Improvement District Revenue Bonds, Series 2006, 4.600%, 1/01/26
|
7/16 at 100.00
|
A2
|
1,389,936
|
||||
3,400
|
Mesa, Arizona, Street and Highway User Tax Revenue Bonds, Series 2005, 5.000%, 7/01/24 – AGM Insured
|
7/15 at 100.00
|
AA
|
3,632,934
|
||||
170
|
Phoenix Mesa Gateway Airport Authority, Arizona, Special Facility Revenue Bonds, Mesa Project, Series 2012, 5.000%, 7/01/38 (Alternative Minimum Tax)
|
7/22 at 100.00
|
AA+
|
178,825
|
||||
1,140
|
Pinetop Fire District of Navajo County, Arizona, Certificates of Participation, Series 2008, 7.750%, 6/15/29
|
6/16 at 102.00
|
A3
|
1,223,300
|
||||
135
|
Puerto Rico Public Buildings Authority, Guaranteed Government Facilities Revenue Refunding Bonds, Series 2002D, 5.125%, 7/01/24
|
1/13 at 100.00
|
Baa1
|
135,211
|
Nuveen Investments
|
21
|
Nuveen Arizona Premium Income Municipal Fund, Inc. (continued)
|
||
NAZ
|
Portfolio of Investments
|
|
August 31, 2012 (Unaudited) |
Principal
|
Optional Call
|
|||||||
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
||||
Tax Obligation/Limited (continued)
|
||||||||
$
|
1,525
|
Puerto Rico Sales Tax Financing Corporation, Sales Tax Revenue Bonds, First Subordinate Series 2010A, 0.000%, 8/01/33
|
No Opt. Call
|
A+
|
$
|
492,529
|
||
1,700
|
Puerto Rico Sales Tax Financing Corporation, Sales Tax Revenue Bonds, First Subordinate Series 2010C, 0.000%, 8/01/38
|
No Opt. Call
|
A+
|
391,680
|
||||
1,610
|
San Luis Civic Improvement Corporation, Arizona, Municipal Facilities Excise Tax Revenue Bonds, Series 2005, 5.000%, 7/01/25 – SYNCORA GTY Insured
|
7/15 at 100.00
|
A+
|
1,701,496
|
||||
1,000
|
Scottsdale Municipal Property Corporation, Arizona, Excise Tax Revenue Bonds, Refunding Series 2006, 5.000%, 7/01/24
|
No Opt. Call
|
AAA
|
1,284,870
|
||||
2,000
|
Scottsdale Municipal Property Corporation, Arizona, Excise Tax Revenue Bonds, Water & Sewer Improvements Project, Series 2010, 5.000%, 7/01/36
|
7/20 at 100.00
|
AAA
|
2,272,080
|
||||
500
|
Tempe, Arizona, Transit Excise Tax Revenue Obligation Bonds, Refunding Series 2012, 5.000%, 7/01/37 (WI/DD, Settling 9/12/12)
|
7/22 at 100.00
|
AAA
|
573,805
|
||||
1,000
|
Virgin Islands Public Finance Authority, Matching Fund Loan Notes Revenue Bonds, Senior Lien Series 2010A, 5.000%, 10/01/29
|
10/20 at 100.00
|
BBB+
|
1,092,640
|
||||
645
|
Vistancia Community Facilities District, Peoria, Arizona, General Obligation Bonds, Series 2005, 5.750%, 7/15/24
|
7/15 at 100.00
|
A1
|
687,119
|
||||
24,422
|
Total Tax Obligation/Limited
|
23,897,486
|
||||||
U.S. Guaranteed – 10.7% (7.7% of Total Investments) (5)
|
||||||||
3,500
|
Glendale, Arizona, Water and Sewer Revenue Bonds, Subordinate Lien, Series 2003, 5.000%, 7/01/28 (Pre-refunded 7/01/13) – AMBAC Insured
|
7/13 at 100.00
|
AA (5)
|
3,638,739
|
||||
1,250
|
Maricopa County Industrial Development Authority, Arizona, Hospital Revenue Refunding Bonds, Samaritan Health Services, Series 1990A, 7.000%,
|
No Opt. Call
|
N/R (5)
|
1,461,750
|
||||
12/01/16 – NPFG Insured (ETM) | ||||||||
385
|
Maricopa County, Arizona, Hospital Revenue Bonds, Sun Health Corporation, Series 2005, 5.000%, 4/01/16 (Pre-refunded 4/01/15)
|
4/15 at 100.00
|
N/R (5)
|
430,680
|
||||
500
|
Oro Valley Municipal Property Corporation, Arizona, Senior Lien Water Revenue Bonds, Series 2003, 5.000%, 7/01/23 (Pre-refunded 7/01/13) – NPFG Insured
|
7/13 at 100.00
|
AA (5)
|
519,820
|
||||
1,200
|
Prescott Valley Municipal Property Corporation, Arizona, Municipal Facilities Revenue Bonds, Series 2003, 5.000%, 1/01/27 (Pre-refunded 1/01/13) – FGIC Insured
|
1/13 at 100.00
|
AA– (5)
|
1,219,164
|
||||
6,835
|
Total U.S. Guaranteed
|
7,270,153
|
||||||
Utilities – 26.1% (18.7% of Total Investments)
|
||||||||
470
|
Apache County Industrial Development Authority, Arizona, Pollution Control Revenue Bonds, Tucson Electric Power Company, Series 20102A, 4.500%, 3/01/30
|
3/22 at 100.00
|
BBB–
|
488,838
|
||||
1,000
|
Arizona Power Authority, Special Obligation Power Resource Revenue Refunding Crossover Bonds, Hoover Project, Series 2001, 5.250%, 10/01/15
|
No Opt. Call
|
AA
|
1,141,020
|
||||
1,600
|
Maricopa County Pollution Control Corporation, Arizona, Pollution Control Revenue Refunding Bonds, Southern California Edison Company, Series 2000A, 5.000%, 6/01/35
|
6/20 at 100.00
|
A1
|
1,775,920
|
||||
1,340
|
Pima County Industrial Development Authority, Arizona, Revenue Bonds, Tucson Electric Power Company, Refunding Series 2008, 5.750%, 9/01/29
|
1/15 at 100.00
|
BBB–
|
1,431,509
|
||||
650
|
Pinal County Electrical District 3, Arizona, Electric System Revenue Bonds, Refunding Series 2011, 5.250%, 7/01/36
|
7/21 at 100.00
|
A
|
730,243
|
||||
2,170
|
Puerto Rico Electric Power Authority, Power Revenue Bonds, Series 2005RR, 5.000%, 7/01/27 – SYNCORA GTY Insured
|
7/15 at 100.00
|
BBB+
|
2,324,504
|
||||
715
|
Salt River Project Agricultural Improvement and Power District, Arizona, Electric System Revenue Bonds, Tender Option Bond Trust 09-9W, 17.940%, 1/01/38 (IF) (6)
|
1/18 at 100.00
|
Aa1
|
1,025,339
|
||||
Salt Verde Financial Corporation, Arizona, Senior Gas Revenue Bonds, Citigroup Energy Inc Prepay Contract Obligations, Series 2007:
|
||||||||
4,500
|
5.500%, 12/01/29
|
No Opt. Call
|
A–
|
5,071,228
|
||||
3,500
|
5.000%, 12/01/37
|
No Opt. Call
|
A–
|
3,739,994
|
||||
15,945
|
Total Utilities
|
17,728,595
|
22
|
Nuveen Investments
|
Principal
|
Optional Call
|
|||||||
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
||||
Water and Sewer – 11.0% (7.9% of Total Investments)
|
||||||||
$
|
1,005
|
Cottonwood, Arizona, Senior Lien Water System Revenue Bonds, Municipal Property Corporation, Series 2004, 5.000%, 7/01/24 – SYNCORA GTY Insured
|
7/14 at 100.00
|
A
|
$
|
1,030,869
|
||
1,425
|
Goodyear, Arizona, Water and Sewer Revenue Obligations, Series 2010, 5.625%, 7/01/39
|
7/20 at 100.00
|
A+
|
1,583,873
|
||||
1,000
|
Phoenix Civic Improvement Corporation, Arizona, Junior Lien Wastewater System Revenue Bonds, Series 2004, 5.000%, 7/01/24 – NPFG Insured
|
7/14 at 100.00
|
AA+
|
1,072,190
|
||||
1,250
|
Phoenix Civic Improvement Corporation, Arizona, Junior Lien Water System Revenue Refunding Bonds, Series 2001, 5.500%, 7/01/21 – FGIC Insured
|
No Opt. Call
|
AAA
|
1,610,788
|
||||
Surprise Municipal Property Corporation, Arizona, Wastewater System Revenue Bonds, Series 2007:
|
||||||||
600
|
4.700%, 4/01/22
|
4/14 at 100.00
|
A–
|
610,476
|
||||
810
|
4.900%, 4/01/32
|
4/17 at 100.00
|
A–
|
830,777
|
||||
905
|
Yuma County Industrial Development Authority, Arizona, Exempt Revenue Bonds, Far West Water & Sewer Inc. Refunding, Series 2007A, 6.375%, 12/01/37 (Alternative Minimum Tax)
|
12/17 at 100.00
|
N/R
|
778,210
|
||||
6,995
|
Total Water and Sewer
|
7,517,183
|
||||||
$
|
90,672
|
Total Investments (cost $85,508,780) – 139.6%
|
94,954,342
|
|||||
Variable MuniFund Term Preferred Shares, at Liquidation Value – (41.2)% (7)
|
(28,000,000
|
) | ||||||
Other Assets Less Liabilities – 1.6%
|
1,061,995
|
|||||||
Net Assets Applicable to Common Shares – 100%
|
$
|
68,016,337
|
(1)
|
All percentages shown in the Portfolio of Investments are based on net assets applicable to Common shares unless otherwise noted.
|
|
(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 highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies.
|
|
(4)
|
Investment valued at fair value using methods determined in good faith by, or at the discretion of, the Board of Directors. For fair value measurement disclosure purposes, investment categorized as Level 3. See Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies, Investment Valuation for more information.
|
|
(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. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities.
|
|
(6)
|
Investment, or portion of investment, has been pledged to collateralize the net payment obligations for investments in inverse floating rate transactions.
|
|
(7)
|
Variable MuniFund Term Preferred Shares, at Liquidation Value as a percentage of Total Investments is 29.5%.
|
|
N/R
|
Not rated.
|
|
WI/DD
|
Investment, or portion of investment, purchased on a when-issued or delayed delivery basis.
|
|
(ETM)
|
Escrowed to maturity.
|
|
(IF)
|
Inverse floating rate investment.
|
Nuveen Investments
|
23
|
Nuveen Arizona Dividend Advantage Municipal Fund
|
||
NFZ
|
Portfolio of Investments
|
|
August 31, 2012 (Unaudited)
|
Principal
|
Optional Call
|
|||||||
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
||||
Education and Civic Organizations – 13.1% (9.1% of Total Investments)
|
||||||||
$
|
280
|
Arizona Higher Education Loan Authority, Student Loan Revenue Bonds, Series 2007B, Auction Rate Securities, 0.525%, 11/01/41 (Alternative Minimum Tax) (4)
|
10/12 at 100.00
|
A
|
$
|
218,613
|
||
275
|
Glendale Industrial Development Authority, Arizona, Revenue Bonds, Midwestern University, Refunding Series 2007, 5.000%, 5/15/31
|
5/22 at 100.00
|
A–
|
303,559
|
||||
500
|
Glendale Industrial Development Authority, Arizona, Revenue Bonds, Midwestern University, Refunding Series 2010, 5.125%, 5/15/40
|
5/20 at 100.00
|
A+
|
533,030
|
||||
105
|
Phoenix Industrial Development Authority, Arizona, Education Facility Revenue Bonds, Brighter Choice Foundation Charter Middle Schools Project, Series 2012, 7.500%, 7/01/42
|
7/22 at 100.00
|
BB+
|
109,430
|
||||
80
|
Phoenix Industrial Development Authority, Arizona, Education Revenue Bonds, Great Hearts Academies – Veritas Project, Series 2012, 6.300%, 7/01/42
|
7/21 at 100.00
|
BBB
|
85,554
|
||||
100
|
Phoenix Industrial Development Authority, Arizona, Education Revenue Bonds, Painted Rock Academy Charter School Project, Series 2012A, 7.500%, 7/01/42
|
7/20 at 100.00
|
N/R
|
104,801
|
||||
500
|
Phoenix Industrial Development Authority, Arizona, Lease Revenue Bonds, Rowan University Project, Series 2012, 5.000%, 6/01/42 – AGM Insured
|
6/22 at 100.00
|
A+
|
539,380
|
||||
100
|
Pima County Industrial Development Authority, Arizona, Education Revenue Bonds, Carden Traditional Schools Project, Series 2012, 7.500%, 1/01/42
|
1/22 at 100.00
|
BBB–
|
107,410
|
||||
130
|
Pima County Industrial Development Authority, Arizona, Education Revenue Bonds, Paradise Education Center Project, Series 2010, 6.000%, 6/01/40
|
6/19 at 100.00
|
BBB–
|
132,583
|
||||
165
|
Pima County Industrial Development Authority, Arizona, Educational Revenue Bonds, Paradise Education Center Charter School, Series 2006, 6.000%, 6/01/36
|
6/16 at 100.00
|
BBB–
|
166,688
|
||||
220
|
Pima County Industrial Development Authority, Arizona, Educational Revenue Bonds, Valley Academy Charter School Project, Series 2008, 6.500%, 7/01/38
|
7/18 at 100.00
|
Baa3
|
233,759
|
||||
300
|
Puerto Rico Industrial, Tourist, Educational, Medical and Environmental Control Facilities Financing Authority, Higher Education Revenue Bonds, University of the Sacred Heart, Series 2001, 5.250%, 9/01/21
|
3/13 at 100.00
|
BBB
|
300,438
|
||||
305
|
Tucson Industrial Development Authority, Arizona, Charter School Revenue Bonds, Arizona Agribusiness and Equine Center Charter School, Series 2004A, 6.125%, 9/01/34
|
9/14 at 100.00
|
BB+
|
301,194
|
||||
3,060
|
Total Education and Civic Organizations
|
3,136,439
|
||||||
Health Care – 25.1% (17.4% of Total Investments)
|
||||||||
565
|
Arizona Health Facilities Authority, Hospital Revenue Bonds, Banner Health Systems, Series 2007A, 5.000%, 1/01/25
|
1/17 at 100.00
|
AA–
|
643,959
|
||||
325
|
Arizona Health Facilities Authority, Hospital Revenue Bonds, Banner Health Systems, Series 2007B, 1.120%, 1/02/37
|
1/17 at 100.00
|
AA–
|
245,765
|
||||
720
|
Arizona Health Facilities Authority, Hospital Revenue Bonds, Banner Health Systems, Series 2008D, 5.500%, 1/01/38
|
1/18 at 100.00
|
AA–
|
800,755
|
||||
800
|
Arizona Health Facilities Authority, Hospital System Revenue Bonds, Phoenix Children’s Hospital, Refunding Series 2012, 5.000%, 2/01/42 (WI/DD, Settling 9/06/12)
|
2/22 at 100.00
|
BBB+
|
842,008
|
||||
10
|
California Health Facilities Financing Authority, Health Facility Revenue Bonds, Adventist Health System/West, Series 2003A, 5.000%, 3/01/28
|
3/13 at 100.00
|
A
|
10,062
|
||||
250
|
Glendale Industrial Development Authority, Arizona, Revenue Bonds, John C. Lincoln Health Network, Series 2005B, 5.000%, 12/01/37
|
12/15 at 100.00
|
BBB+
|
255,430
|
||||
415
|
Glendale Industrial Development Authority, Arizona, Revenue Bonds, John C. Lincoln Health Network, Series 2007, 5.000%, 12/01/42
|
12/17 at 100.00
|
BBB+
|
427,612
|
||||
750
|
Maricopa County Industrial Development Authority, Arizona, Health Facility Revenue Bonds, Catholic Healthcare West, Series 2004A, 5.375%, 7/01/23
|
7/14 at 100.00
|
A+
|
789,000
|
||||
1,025
|
Maricopa County Industrial Development Authority, Arizona, Health Facility Revenue Bonds, Catholic Healthcare West, Series 2007A, 5.250%, 7/01/32
|
7/17 at 100.00
|
A+
|
1,110,475
|
24
|
Nuveen Investments
|
Principal
|
Optional Call
|
|||||||
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
||||
Health Care (continued)
|
||||||||
Show Low Industrial Development Authority, Arizona, Hospital Revenue Bonds, Navapache Regional Medical Center, Series 2005:
|
||||||||
$
|
200
|
5.000%, 12/01/25 – RAAI Insured
|
12/15 at 100.00
|
BBB+
|
$
|
206,266
|
||
150
|
5.000%, 12/01/30 – RAAI Insured
|
12/15 at 100.00
|
BBB+
|
153,578
|
||||
450
|
University Medical Center Corporation, Tucson, Arizona, Hospital Revenue Bonds, Series 2011, 6.000%, 7/01/39
|
7/21 at 100.00
|
BBB+
|
520,196
|
||||
5,660
|
Total Health Care
|
6,005,106
|
||||||
Long-Term Care – 0.5% (0.3% of Total Investments)
|
||||||||
105
|
Tempe Industrial Development Authority, Arizona, Revenue Bonds, Friendship Village of Tempe Project, Refunding Series 2012A, 6.000%, 12/01/32
|
12/21 at 100.00
|
N/R
|
112,933
|
||||
Tax Obligation/General – 17.8% (12.3% of Total Investments)
|
||||||||
860
|
El Mirage, Arizona, General Obligation Bonds Series 2012, 5.000%, 7/01/42 – AGM Insured
|
7/22 at 100.00
|
AA–
|
956,286
|
||||
180
|
Pima County Continental Elementary School District 39, Arizona, General Obligation Bonds, Series 2011A, 6.000%, 7/01/30 – AGM Insured
|
7/21 at 100.00
|
AA–
|
226,022
|
||||
1,310
|
Scottsdale, Arizona, General Obligation Bonds, Preserve Acquisition Series 1999, 5.000%, 7/01/32
|
7/21 at 100.00
|
AAA
|
1,564,087
|
||||
1,340
|
Yuma & La Paz Counties Community College District, Arizona, General Obligation Bonds, Series 2006, 5.000%, 7/01/21 – NPFG Insured
|
7/16 at 100.00
|
Aa2
|
1,504,564
|
||||
3,690
|
Total Tax Obligation/General
|
4,250,959
|
||||||
Tax Obligation/Limited – 44.2% (30.6% of Total Investments)
|
||||||||
660
|
Arizona Sports and Tourism Authority, Senior Revenue Refunding Bonds, Multipurpose Stadium Facility Project, Series 2012A, 5.000%, 7/01/36
|
7/22 at 100.00
|
A1
|
728,726
|
||||
440
|
Buckeye, Arizona, Festival Ranch Community Facilities District District General Obligation Bonds, Series 2012, 5.000%, 7/15/31
|
7/22 at 100.00
|
BBB
|
457,534
|
||||
82
|
Centerra Community Facilities District, Goodyear, Arizona, General Obligation Bonds, Series 2005, 5.500%, 7/15/29
|
7/15 at 100.00
|
N/R
|
77,101
|
||||
203
|
Estrella Mountain Ranch Community Facilities District, Arizona, Special Assessment Bonds, Montecito Assessment District, Series 2007, 5.700%, 7/01/27
|
1/17 at 100.00
|
N/R
|
199,793
|
||||
117
|
Estrella Mountain Ranch Community Facilities District, Goodyear, Arizona, Special Assessment Lien Bonds, Series 2001A, 7.875%, 7/01/25
|
1/13 at 100.00
|
N/R
|
117,222
|
||||
1,000
|
Greater Arizona Development Authority, Infrastructure Revenue Bonds, Series 2006-1, 5.000%, 8/01/22 – NPFG Insured
|
8/16 at 100.00
|
AA–
|
1,137,300
|
||||
275
|
Greater Arizona Development Authority, Infrastructure Revenue Bonds, Series 2006A, 5.000%, 8/01/23 – NPFG Insured
|
8/16 at 100.00
|
A1
|
306,411
|
||||
1,180
|
Marana Municipal Property Corporation, Arizona, Revenue Bonds, Series 2003, 5.000%, 7/01/23 – AMBAC Insured
|
7/13 at 100.00
|
AA
|
1,220,261
|
||||
468
|
Marana, Arizona, Tangerine Farms Road Improvement District Revenue Bonds, Series 2006, 4.600%, 1/01/26
|
7/16 at 100.00
|
A2
|
484,717
|
||||
150
|
Marley Park Community Facilities District, City of Surprise, Arizona, Limited Tax General Obligation Bonds, Series 2008 (Bank Qualified), 6.100%, 7/15/32
|
7/17 at 100.00
|
N/R
|
149,816
|
||||
255
|
Merrill Ranch Community Facilities District 1, Florence, Arizona, General Obligation Bonds, Series 2008A, 7.400%, 7/15/33
|
7/18 at 100.00
|
N/R
|
278,024
|
||||
330
|
Palm Valley Community Facility District 3, Goodyear, Arizona, General Obligation Bonds, Series 2006, 5.300%, 7/15/31
|
7/16 at 100.00
|
N/R
|
301,656
|
||||
225
|
Palm Valley Community Facility District 3, Goodyear, Arizona, Limited Tax General Obligation Bonds, Series 2007, 5.800%, 7/15/32
|
7/17 at 100.00
|
N/R
|
217,017
|
||||
100
|
Parkway Community Facilities District 1, Prescott Valley, Arizona, General Obligation Bonds, Series 2006, 5.350%, 7/15/31
|
7/16 at 100.00
|
N/R
|
91,968
|
Nuveen Investments
|
25
|
Nuveen Arizona Dividend Advantage Municipal Fund (continued)
|
||
NFZ
|
Portfolio of Investments
|
Principal
|
Optional Call
|
|||||||
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
||||
Tax Obligation/Limited (continued)
|
||||||||
$
|
725
|
Phoenix Industrial Development Authority, Arizona, Government Bonds, Capitol Mall LLC II, Series 2001, 5.250%, 9/15/16 – AMBAC Insured
|
9/12 at 100.00
|
A1
|
$
|
727,414
|
||
100
|
Phoenix Mesa Gateway Airport Authority, Arizona, Special Facility Revenue Bonds, Mesa Project, Series 2012, 5.000%, 7/01/38 (Alternative Minimum Tax)
|
7/22 at 100.00
|
AA+
|
105,191
|
||||
680
|
Pinal County Industrial Development Authority, Arizona, Correctional Facilities Contract Revenue Bonds, Florence West Prison LLC, Series 2002A, 5.000%, 10/01/18 – ACA Insured
|
10/12 at 100.00
|
BBB–
|
680,660
|
||||
600
|
San Luis Civic Improvement Corporation, Arizona, Municipal Facilities Excise Tax Revenue Bonds, Series 2005, 5.000%, 7/01/25 – SYNCORA GTY Insured
|
7/15 at 100.00
|
A+
|
634,098
|
||||
1,000
|
Scottsdale Municipal Property Corporation, Arizona, Excise Tax Revenue Bonds, Refunding Series 2006, 5.000%, 7/01/24
|
No Opt. Call
|
AAA
|
1,284,869
|
||||
350
|
Tartesso West Community Facility District, Buckeye, Arizona, Limited Tax General Obligation Bonds, Series 2007, 5.900%, 7/15/32
|
7/17 at 100.00
|
N/R
|
337,680
|
||||
500
|
Vistancia Community Facilities District, Peoria, Arizona, General Obligation Bonds, Series 2005, 5.750%, 7/15/24
|
7/15 at 100.00
|
A1
|
532,650
|
||||
337
|
Watson Road Community Facilities District, Arizona, Special Assessment Revenue Bonds, Series 2005, 6.000%, 7/01/30
|
7/16 at 100.00
|
N/R
|
320,005
|
||||
225
|
Westpark Community Facilities District, Buckeye, Arizona, General Obligation Tax Increment Bonds Series 2006, 5.250%, 7/15/31
|
7/16 at 100.00
|
N/R
|
204,422
|
||||
10,002
|
Total Tax Obligation/Limited
|
10,594,535
|
||||||
U.S. Guaranteed – 13.4% (9.3% of Total Investments) (5)
|
||||||||
1,000
|
Arizona Tourism and Sports Authority, Tax Revenue Bonds, Multipurpose Stadium Facility Project, Series 2003A, 5.000%, 7/01/31 (Pre-refunded 7/01/13) – NPFG Insured
|
7/13 at 100.00
|
A1 (5)
|
1,039,640
|
||||
1,000
|
Maricopa County Unified School District 11, Peoria, Arizona, General Obligation Bonds, Second Series 2005, 5.000%, 7/01/20 (Pre-refunded 7/01/15) – FGIC Insured
|
7/15 at 100.00
|
Aa2 (5)
|
1,131,130
|
||||
240
|
Maricopa County Union High School District 210 Phoenix, Arizona, General Obligation Bonds Series 2006C, 5.000%, 7/01/24 (Pre-refunded 7/01/16) – NPFG Insured,
|
7/16 at 100.00
|
AA (5)
|
281,705
|
||||
630
|
Mesa, Arizona, Utility System Revenue Refunding Bonds, Series 2002, 5.250%, 7/01/17 – FGIC Insured (ETM)
|
No Opt. Call
|
Aa2 (5)
|
764,820
|
||||
2,870
|
Total U.S. Guaranteed
|
3,217,295
|
||||||
Utilities – 24.9% (17.2% of Total Investments)
|
||||||||
1,500
|
Arizona Power Authority, Special Obligation Power Resource Revenue Refunding Crossover Bonds, Hoover Project, Series 2001, 5.250%, 10/01/17
|
No Opt. Call
|
AA
|
1,820,744
|
||||
600
|
Maricopa County Pollution Control Corporation, Arizona, Pollution Control Revenue Refunding Bonds, Southern California Edison Company, Series 2000A, 5.000%, 6/01/35
|
6/20 at 100.00
|
A1
|
665,970
|
||||
370
|
Mesa, Arizona, Utility System Revenue Refunding Bonds, Series 2002, 5.250%, 7/01/17 – FGIC Insured
|
No Opt. Call
|
Aa2
|
442,946
|
||||
665
|
Pima County Industrial Development Authority, Arizona, Revenue Bonds, Tucson Electric Power Company, Refunding Series 2008, 5.750%, 9/01/29
|
1/15 at 100.00
|
BBB–
|
710,413
|
||||
400
|
Pinal County Electrical District 3, Arizona, Electric System Revenue Bonds, Refunding Series 2011, 5.250%, 7/01/36
|
7/21 at 100.00
|
A
|
449,380
|
||||
1,000
|
Puerto Rico Electric Power Authority, Power Revenue Bonds, Series 2005RR, 5.000%, 7/01/26 – SYNCORA GTY Insured
|
7/15 at 100.00
|
BBB+
|
1,071,200
|
||||
560
|
Salt River Project Agricultural Improvement and Power District, Arizona, Electric System Revenue Bonds, Tender Option Bond Trust 09-9W, 17.940%, 1/01/38 (IF) (6)
|
1/18 at 100.00
|
Aa1
|
803,062
|
||||
5,095
|
Total Utilities
|
5,963,715
|
26
|
Nuveen Investments
|
Principal
|
Optional Call
|
|||||||
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
||||
Water and Sewer – 5.4% (3.8% of Total Investments)
|
||||||||
$
|
475
|
Goodyear, Arizona, Water and Sewer Revenue Obligations, Series 2010, 5.625%, 7/01/39
|
7/20 at 100.00
|
A+
|
$
|
527,958
|
||
Surprise Municipal Property Corporation, Arizona, Wastewater System Revenue Bonds, Series 2007:
|
||||||||
225
|
4.700%, 4/01/22
|
4/14 at 100.00
|
A–
|
228,929
|
||||
260
|
4.900%, 4/01/32
|
4/17 at 100.00
|
A–
|
266,669
|
||||
325
|
Yuma County Industrial Development Authority, Arizona, Exempt Revenue Bonds, Far West Water & Sewer Inc. Refunding, Series 2007A, 6.375%, 12/01/37 (Alternative Minimum Tax)
|
12/17 at 100.00
|
N/R
|
279,468
|
||||
1,285
|
Total Water and Sewer
|
1,303,024
|
||||||
$
|
31,767
|
Total Investments (cost $31,816,208) – 144.4%
|
34,584,006
|
|||||
MuniFund Term Preferred Shares, at Liquidation Value – (46.4)% (7)
|
(11,100,000
|
) | ||||||
Other Assets Less Liabilities – 2.0%
|
463,409
|
|||||||
Net Assets Applicable to Common Shares – 100%
|
$
|
23,947,415
|
(1)
|
All percentages shown in the Portfolio of Investments are based on net assets applicable to Common shares unless otherwise noted.
|
|
(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 highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies.
|
|
(4)
|
Investment valued at fair value using methods determined in good faith by, or at the discretion of, the Board of Trustees. For fair value measurement disclosure purposes, investment categorized as Level 3. See Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies, Investment Valuation for more information.
|
|
(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. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities.
|
|
(6)
|
Investment, or portion of investment, has been pledged to collateralize the net payment obligations for investments in inverse floating rate transactions.
|
|
(7)
|
MuniFund Term Preferred Shares, at Liquidation Value as a percentage of Total Investments is 32.1%.
|
|
N/R
|
Not rated.
|
|
WI/DD
|
Investment, or portion of investment, purchased on a when-issued or delayed delivery basis.
|
|
(ETM)
|
Escrowed to maturity.
|
|
(IF)
|
Inverse floating rate investment.
|
Nuveen Investments
|
27
|
Nuveen Arizona Dividend Advantage Municipal Fund 2
|
||
NKR
|
Portfolio of Investments
|
|
August 31, 2012 (Unaudited)
|
Principal
|
Optional Call
|
|||||||
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
||||
Education and Civic Organizations – 15.3% (10.7% of Total Investments)
|
||||||||
$
|
1,130
|
Arizona Higher Education Loan Authority, Student Loan Revenue Bonds, Series 2007B, Auction Rate Securities, 0.525%, 11/01/41 (Alternative Minimum Tax) (4)
|
10/12 at 100.00
|
A
|
$
|
882,261
|
||
450
|
Glendale Industrial Development Authority, Arizona, Revenue Bonds, Midwestern University, Refunding Series 2007, 5.000%, 5/15/31
|
5/22 at 100.00
|
A–
|
496,733
|
||||
775
|
Glendale Industrial Development Authority, Arizona, Revenue Bonds, Midwestern University, Refunding Series 2010, 5.125%, 5/15/40
|
5/20 at 100.00
|
A+
|
826,197
|
||||
360
|
Northern Arizona University, System Revenue Bonds, Series 2012, 5.000%, 6/01/41
|
6/21 at 100.00
|
A+
|
396,814
|
||||
170
|
Phoenix Industrial Development Authority, Arizona, Education Facility Revenue Bonds, Brighter Choice Foundation Charter Middle Schools Project, Series 2012, 7.500%, 7/01/42
|
7/22 at 100.00
|
BB+
|
177,172
|
||||
130
|
Phoenix Industrial Development Authority, Arizona, Education Revenue Bonds, Great Hearts Academies – Veritas Project, Series 2012, 6.300%, 7/01/42
|
7/21 at 100.00
|
BBB
|
139,026
|
||||
165
|
Phoenix Industrial Development Authority, Arizona, Education Revenue Bonds, Painted Rock Academy Charter School Project, Series 2012A, 7.500%, 7/01/42
|
7/20 at 100.00
|
N/R
|
172,922
|
||||
810
|
Phoenix Industrial Development Authority, Arizona, Lease Revenue Bonds, Rowan University Project, Series 2012, 5.000%, 6/01/42 – AGM Insured
|
6/22 at 100.00
|
A+
|
873,796
|
||||
485
|
Pima County Industrial Development Authority, Arizona, Charter School Revenue Bonds, Noah Webster Basic Schools Inc., Series 2004, 6.000%, 12/15/24
|
12/14 at 100.00
|
BBB–
|
495,010
|
||||
165
|
Pima County Industrial Development Authority, Arizona, Education Revenue Bonds, Carden Traditional Schools Project, Series 2012, 7.500%, 1/01/42
|
1/22 at 100.00
|
BBB–
|
177,227
|
||||
210
|
Pima County Industrial Development Authority, Arizona, Education Revenue Bonds, Paradise Education Center Project, Series 2010, 6.000%, 6/01/40
|
6/19 at 100.00
|
BBB–
|
214,173
|
||||
175
|
Pima County Industrial Development Authority, Arizona, Educational Revenue Bonds, Paradise Education Center Charter School, Series 2006, 6.000%, 6/01/36
|
6/16 at 100.00
|
BBB–
|
176,790
|
||||
365
|
Pima County Industrial Development Authority, Arizona, Educational Revenue Bonds, Valley Academy Charter School Project, Series 2008, 6.500%, 7/01/38
|
7/18 at 100.00
|
Baa3
|
387,827
|
||||
480
|
Tucson Industrial Development Authority, Arizona, Charter School Revenue Bonds, Arizona Agribusiness and Equine Center Charter School, Series 2004A, 6.125%, 9/01/34
|
9/14 at 100.00
|
BB+
|
474,010
|
||||
5,870
|
Total Education and Civic Organizations
|
5,889,958
|
||||||
Health Care – 32.5% (22.7% of Total Investments)
|
||||||||
845
|
Arizona Health Facilities Authority, Hospital Revenue Bonds, Banner Health Systems, Series 2007A, 5.000%, 1/01/25
|
1/17 at 100.00
|
AA–
|
963,089
|
||||
520
|
Arizona Health Facilities Authority, Hospital Revenue Bonds, Banner Health Systems, Series 2007B, 1.120%, 1/02/37
|
1/17 at 100.00
|
AA–
|
393,224
|
||||
1,150
|
Arizona Health Facilities Authority, Hospital Revenue Bonds, Banner Health Systems, Series 2008D, 5.500%, 1/01/38
|
1/18 at 100.00
|
AA–
|
1,278,984
|
||||
750
|
Arizona Health Facilities Authority, Hospital System Revenue Bonds, Phoenix Children’s Hospital, Refunding Series 2012, 5.000%, 2/01/42 (WI/DD, Settling 9/06/12)
|
2/22 at 100.00
|
BBB+
|
789,383
|
||||
600
|
Arizona Health Facilities Authority, Revenue Bonds, Blood Systems Inc., Series 2004, 5.000%, 4/01/20
|
4/14 at 100.00
|
A
|
625,752
|
||||
400
|
Glendale Industrial Development Authority, Arizona, Revenue Bonds, John C. Lincoln Health Network, Series 2005B, 5.000%, 12/01/37
|
12/15 at 100.00
|
BBB+
|
408,688
|
||||
655
|
Glendale Industrial Development Authority, Arizona, Revenue Bonds, John C. Lincoln Health Network, Series 2007, 5.000%, 12/01/42
|
12/17 at 100.00
|
BBB+
|
674,905
|
||||
1,375
|
Maricopa County Industrial Development Authority, Arizona, Health Facility Revenue Bonds, Catholic Healthcare West, Series 2004A, 5.375%, 7/01/23
|
7/14 at 100.00
|
A+
|
1,446,499
|
||||
1,650
|
Maricopa County Industrial Development Authority, Arizona, Health Facility Revenue Bonds, Catholic Healthcare West, Series 2007A, 5.250%, 7/01/32
|
7/17 at 100.00
|
A+
|
1,787,591
|
||||
1,120
|
Scottsdale Industrial Development Authority, Arizona, Hospital Revenue Bonds, Scottsdale Healthcare, Series 2006C. Re-offering, 5.000%, 9/01/35 – AGC Insured
|
9/20 at 100.00
|
AA–
|
1,239,224
|
28
|
Nuveen Investments
|
Principal
|
Optional Call
|
|||||||
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
||||
Health Care (continued)
|
||||||||
Show Low Industrial Development Authority, Arizona, Hospital Revenue Bonds, Navapache Regional Medical Center, Series 2005:
|
||||||||
$
|
315
|
5.000%, 12/01/25 – RAAI Insured
|
12/15 at 100.00
|
BBB+
|
$
|
324,869
|
||
260
|
5.000%, 12/01/30 – RAAI Insured
|
12/15 at 100.00
|
BBB+
|
266,201
|
||||
1,050
|
University Medical Center Corporation, Tucson, Arizona, Hospital Revenue Bonds, Series 2011, 6.000%, 7/01/39
|
7/21 at 100.00
|
BBB+
|
1,213,790
|
||||
1,000
|
Yavapai County Industrial Development Authority, Arizona, Hospital Revenue Bonds, Yavapai Regional Medical Center, Series 2003A, 6.000%, 8/01/33
|
8/13 at 100.00
|
BBB+
|
1,041,440
|
||||
11,690
|
Total Health Care
|
12,453,639
|
||||||
Long-Term Care – 0.5% (0.3% of Total Investments)
|
||||||||
175
|
Tempe Industrial Development Authority, Arizona, Revenue Bonds, Friendship Village of Tempe Project, Refunding Series 2012A, 6.000%, 12/01/32
|
12/21 at 100.00
|
N/R
|
188,221
|
||||
Tax Obligation/General – 25.7% (18.0% of Total Investments)
|
||||||||
1,000
|
Maricopa County Elementary School District 83 Cartwright, Arizona, General Obligation Bonds, School Improvement, Project 2010, Series 2011A, 5.375%, 7/01/30 – AGM Insured
|
7/21 at 100.00
|
AA–
|
1,149,970
|
||||
1,000
|
Maricopa County School District 6, Arizona, General Obligation Refunding Bonds, Washington Elementary School, Series 2002A, 5.375%, 7/01/16 – AGM Insured
|
No Opt. Call
|
Aa2
|
1,174,230
|
||||
775
|
Maricopa County School District 79 Litchfield Elementary, Arizona, General Obligation Bonds, Series 2011, 5.000%, 7/01/23
|
7/21 at 100.00
|
Aa2
|
945,539
|
||||
1,165
|
Maricopa County Unified School District 69, Paradise Valley, Arizona, General Obligation Refunding Bonds, Series 2002A, 5.250%, 7/01/14 – FGIC Insured
|
No Opt. Call
|
Aa2
|
1,265,971
|
||||
1,405
|
Mesa, Arizona, General Obligation Bonds, Series 2002, 5.375%, 7/01/15 – FGIC Insured
|
No Opt. Call
|
AA
|
1,589,152
|
||||
310
|
Pima County Continental Elementary School District 39, Arizona, General Obligation Bonds, Series 2011A, 6.000%, 7/01/30 – AGM Insured
|
7/21 at 100.00
|
AA–
|
389,261
|
||||
500
|
Pima County Unified School District 08 Flowing Wells, Arizona, General Obligation Bonds, Series 2011B, 5.375%, 7/01/29
|
7/21 at 100.00
|
A+
|
573,750
|
||||
1,000
|
Pima County Unified School District 6, Marana, Arizona, General Obligation Bonds, School Improvement Project 2010 Series 2011A, 5.000%, 7/01/25
|
7/21 at 100.00
|
A+
|
1,142,890
|
||||
1,360
|
Scottsdale, Arizona, General Obligation Bonds, Preserve Acquisition Series 1999, 5.000%, 7/01/33
|
7/21 at 100.00
|
AAA
|
1,615,489
|
||||
8,515
|
Total Tax Obligation/General
|
9,846,252
|
||||||
Tax Obligation/Limited – 44.9% (31.4% of Total Investments)
|
||||||||
Arizona State, Certificates of Participation, Series 2002A:
|
||||||||
750
|
5.000%, 11/01/17 – NPFG Insured
|
11/12 at 100.00
|
A+
|
752,835
|
||||
1,000
|
5.000%, 11/01/18 – NPFG Insured
|
11/12 at 100.00
|
A+
|
1,003,740
|
||||
370
|
Buckeye, Arizona, Festival Ranch Community Facilities District District General Obligation Bonds, Series 2012, 5.000%, 7/15/31
|
7/22 at 100.00
|
BBB
|
384,745
|
||||
116
|
Centerra Community Facilities District, Goodyear, Arizona, General Obligation Bonds, Series 2005, 5.500%, 7/15/29
|
7/15 at 100.00
|
N/R
|
109,070
|
||||
332
|
Estrella Mountain Ranch Community Facilities District, Arizona, Special Assessment Bonds, Montecito Assessment District, Series 2007, 5.800%, 7/01/32
|
1/17 at 100.00
|
N/R
|
320,231
|
||||
184
|
Estrella Mountain Ranch Community Facilities District, Goodyear, Arizona, Special Assessment Lien Bonds, Series 2001A, 7.875%, 7/01/25
|
1/13 at 100.00
|
N/R
|
184,350
|
||||
970
|
Marana Municipal Property Corporation, Arizona, Municipal Facilities Revenue Bonds, Series 2008B, 5.125%, 7/01/28
|
1/13 at 100.00
|
AA
|
982,455
|
||||
784
|
Marana, Arizona, Tangerine Farms Road Improvement District Revenue Bonds, Series 2006, 4.600%, 1/01/26
|
7/16 at 100.00
|
A2
|
812,004
|
||||
240
|
Marley Park Community Facilities District, City of Surprise, Arizona, Limited Tax General Obligation Bonds, Series 2008 (Bank Qualified), 6.100%, 7/15/32
|
7/17 at 100.00
|
N/R
|
239,705
|
||||
415
|
Merrill Ranch Community Facilities District 1, Florence, Arizona, General Obligation Bonds, Series 2008A, 7.400%, 7/15/33
|
7/18 at 100.00
|
N/R
|
452,470
|
Nuveen Investments
|
29
|
Nuveen Arizona Dividend Advantage Municipal Fund 2 (continued)
|
||
NKR
|
Portfolio of Investments
|
Principal
|
Optional Call
|
|||||||
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
||||
Tax Obligation/Limited (continued)
|
||||||||
$
|
530
|
Palm Valley Community Facility District 3, Goodyear, Arizona, General Obligation Bonds, Series 2006, 5.300%, 7/15/31
|
7/16 at 100.00
|
N/R
|
$
|
484,478
|
||
350
|
Palm Valley Community Facility District 3, Goodyear, Arizona, Limited Tax General Obligation Bonds, Series 2007, 5.800%, 7/15/32
|
7/17 at 100.00
|
N/R
|
337,582
|
||||
140
|
Parkway Community Facilities District 1, Prescott Valley, Arizona, General Obligation Bonds, Series 2006, 5.350%, 7/15/31
|
7/16 at 100.00
|
N/R
|
128,755
|
||||
1,000
|
Phoenix Industrial Development Authority, Arizona, Government Bonds, Capitol Mall LLC II, Series 2001, 5.250%, 9/15/16 – AMBAC Insured
|
9/12 at 100.00
|
A1
|
1,003,330
|
||||
140
|
Phoenix Mesa Gateway Airport Authority, Arizona, Special Facility Revenue Bonds, Mesa Project, Series 2012, 5.000%, 7/01/38 (Alternative Minimum Tax)
|
7/22 at 100.00
|
AA+
|
147,267
|
||||
1,070
|
Pinal County Industrial Development Authority, Arizona, Correctional Facilities Contract Revenue Bonds, Florence West Prison LLC, Series 2002A, 5.000%, 10/01/18 – ACA Insured
|
10/12 at 100.00
|
BBB–
|
1,071,038
|
||||
140
|
Puerto Rico Public Buildings Authority, Guaranteed Government Facilities Revenue Refunding Bonds, Series 2002D, 5.125%, 7/01/24
|
1/13 at 100.00
|
Baa1
|
140,218
|
||||
Puerto Rico Sales Tax Financing Corporation, Sales Tax Revenue Bonds, First Subordinate Series 2010A:
|
||||||||
3,055
|
0.000%, 8/01/33
|
No Opt. Call
|
A+
|
986,673
|
||||
250
|
5.375%, 8/01/39
|
2/20 at 100.00
|
A+
|
267,640
|
||||
960
|
San Luis Civic Improvement Corporation, Arizona, Municipal Facilities Excise Tax Revenue Bonds, Series 2005, 5.000%, 7/01/25 – SYNCORA GTY Insured
|
7/15 at 100.00
|
A+
|
1,014,557
|
||||
1,000
|
Scottsdale Municipal Property Corporation, Arizona, Excise Tax Revenue Bonds, Refunding Series 2006, 5.000%, 7/01/24
|
No Opt. Call
|
AAA
|
1,284,870
|
||||
1,000
|
Scottsdale Municipal Property Corporation, Arizona, Excise Tax Revenue Bonds, Water & Sewer Improvements Project, Series 2010, 5.000%, 7/01/36
|
7/20 at 100.00
|
AAA
|
1,136,040
|
||||
555
|
Tartesso West Community Facility District, Buckeye, Arizona, Limited Tax General Obligation Bonds, Series 2007, 5.900%, 7/15/32
|
7/17 at 100.00
|
N/R
|
535,464
|
||||
1,500
|
Tempe, Arizona, Transit Excise Tax Revenue Obligation Bonds, Refunding Series 2012, 5.000%, 7/01/37 (WI/DD, Settling 9/12/12)
|
7/22 at 100.00
|
AAA
|
1,721,414
|
||||
750
|
Vistancia Community Facilities District, Peoria, Arizona, General Obligation Bonds, Series 2005, 5.750%, 7/15/24
|
7/15 at 100.00
|
A1
|
798,975
|
||||
633
|
Watson Road Community Facilities District, Arizona, Special Assessment Revenue Bonds, Series 2005, 6.000%, 7/01/30
|
7/16 at 100.00
|
N/R
|
601,078
|
||||
350
|
Westpark Community Facilities District, Buckeye, Arizona, General Obligation Tax Increment Bonds Series 2006, 5.250%, 7/15/31
|
7/16 at 100.00
|
N/R
|
317,989
|
||||
18,584
|
Total Tax Obligation/Limited
|
17,218,973
|
||||||
Transportation – 2.6% (1.8% of Total Investments)
|
||||||||
1,000
|
Phoenix Civic Improvement Corporation, Arizona, Senior Lien Airport Revenue Bonds, Series 2002B, 5.250%, 7/01/27 – FGIC Insured (Alternative Minimum Tax)
|
1/13 at 100.00
|
AA–
|
1,001,500
|
||||
U.S. Guaranteed – 1.4% (1.0% of Total Investments) (5)
|
||||||||
100
|
Maricopa County Unified School District 89, Dysart, Arizona, General Obligation Bonds, Series 2004B, 5.250%, 7/01/20 (Pre-refunded 7/01/14) – AGM Insured
|
7/14 at 100.00
|
AA– (5)
|
109,072
|
||||
375
|
Maricopa County Union High School District 210 Phoenix, Arizona, General Obligation Bonds, Series 2006C, 5.000%, 7/01/24 (Pre-refunded 7/01/16) – NPFG Insured
|
7/16 at 100.00
|
AA (5)
|
440,164
|
||||
475
|
Total U.S. Guaranteed
|
549,236
|
||||||
Utilities – 10.7% (7.5% of Total Investments)
|
||||||||
400
|
Apache County Industrial Development Authority, Arizona, Pollution Control Revenue Bonds, Tucson Electric Power Company, Series 20102A, 4.500%, 3/01/30
|
3/22 at 100.00
|
BBB–
|
416,032
|
||||
900
|
Maricopa County Pollution Control Corporation, Arizona, Pollution Control Revenue Refunding Bonds, Southern California Edison Company, Series 2000A, 5.000%, 6/01/35
|
6/20 at 100.00
|
A1
|
998,955
|
30
|
Nuveen Investments
|
Principal
|
Optional Call
|
|||||||
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
||||
Utilities (continued)
|
||||||||
$
|
665
|
Pima County Industrial Development Authority, Arizona, Revenue Bonds, Tucson Electric Power Company, Refunding Series 2008, 5.750%, 9/01/29
|
1/15 at 100.00
|
BBB–
|
$
|
710,413
|
||
250
|
Pinal County Electrical District 3, Arizona, Electric System Revenue Bonds, Refunding Series 2011, 5.250%, 7/01/36
|
7/21 at 100.00
|
A
|
280,863
|
||||
450
|
Salt River Project Agricultural Improvement and Power District, Arizona, Electric System Revenue Bonds, Tender Option Bond Trust 09-9W, 17.940%, 1/01/38 (IF) (6)
|
1/18 at 100.00
|
Aa1
|
645,318
|
||||
1,000
|
Salt Verde Financial Corporation, Arizona, Senior Gas Revenue Bonds, Citigroup Energy Inc Prepay Contract Obligations, Series 2007, 5.000%, 12/01/37
|
No Opt. Call
|
A–
|
1,068,570
|
||||
3,665
|
Total Utilities
|
4,120,151
|
||||||
Water and Sewer – 9.4% (6.6% of Total Investments)
|
||||||||
500
|
City of Goodyear, Arizona Subordinate Lien Water and Sewer Revenue Obligations, Series 2011, 5.500%, 7/01/41
|
7/21 at 100.00
|
AA–
|
574,780
|
||||
490
|
Maricopa County Industrial Development Authority, Arizona, Water System Improvement Revenue Bonds, Chaparral City Water Company, Series 1997A, 5.400%, 12/01/22 – AMBAC Insured (Alternative Minimum Tax)
|
12/12 at 100.00
|
N/R
|
490,549
|
||||
1,000
|
Phoenix Civic Improvement Corporation, Arizona, Junior Lien Water System Revenue Refunding Bonds, Series 2001, 5.500%, 7/01/22 – FGIC Insured
|
No Opt. Call
|
AAA
|
1,302,690
|
||||
Surprise Municipal Property Corporation, Arizona, Wastewater System Revenue Bonds, Series 2007:
|
||||||||
350
|
4.700%, 4/01/22
|
4/14 at 100.00
|
A–
|
356,111
|
||||
410
|
4.900%, 4/01/32
|
4/17 at 100.00
|
A–
|
420,517
|
||||
525
|
Yuma County Industrial Development Authority, Arizona, Exempt Revenue Bonds, Far West Water & Sewer Inc. Refunding, Series 2007A, 6.375%, 12/01/37 (Alternative Minimum Tax)
|
12/17 at 100.00
|
N/R
|
451,448
|
||||
3,275
|
Total Water and Sewer
|
3,596,095
|
||||||
$
|
53,249
|
Total Investments (cost $50,800,963) – 143.0%
|
54,864,025
|
|||||
MuniFund Term Preferred Shares, at Liquidation Value – (48.8)% (7)
|
(18,725,000
|
) | ||||||
Other Assets Less Liabilities – 5.8%
|
2,220,398
|
|||||||
Net Assets Applicable to Common Shares – 100%
|
$
|
38,359,423
|
(1)
|
All percentages shown in the Portfolio of Investments are based on net assets applicable to Common shares unless otherwise noted.
|
|
(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 highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies.
|
|
(4)
|
Investment valued at fair value using methods determined in good faith by, or at the discretion of, the Board of Trustees. For fair value measurement disclosure purposes, investment categorized as Level 3. See Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies, Investment Valuation for more information.
|
|
(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. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities.
|
|
(6)
|
Investment, or portion of investment, has been pledged to collateralize the net payment obligations for investments in inverse floating rate transactions.
|
|
(7)
|
MuniFund Term Preferred Shares, at Liquidation Value as a percentage of Total Investments is 34.1%.
|
|
N/R
|
Not rated.
|
|
WI/DD
|
Investment, or portion of investment, purchased on a when-issued or delayed delivery basis.
|
|
(IF)
|
Inverse floating rate investment.
|
Nuveen Investments
|
31
|
Nuveen Arizona Dividend Advantage Municipal Fund 3
|
||
NXE
|
Portfolio of Investments
|
|
August 31, 2012 (Unaudited)
|
Principal
|
Optional Call
|
|||||||
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
||||
Consumer Staples – 1.0% (0.7% of Total Investments)
|
||||||||
$
|
460
|
Puerto Rico, The Children’s Trust Fund, Tobacco Settlement Asset-Backed Refunding Bonds, Series 2002, 5.375%, 5/15/33
|
11/12 at 100.00
|
BBB+
|
$
|
459,991
|
||
Education and Civic Organizations – 16.9% (11.9% of Total Investments)
|
||||||||
690
|
Arizona Higher Education Loan Authority, Student Loan Revenue Bonds, Series 2007B, Auction Rate Securities, 0.525%, 11/01/41 (Alternative Minimum Tax) (4)
|
10/12 at 100.00
|
A
|
538,725
|
||||
1,250
|
Arizona State University, System Revenue Bonds, Series 2005, 5.000%,
|
7/15 at 100.00
|
Aa3
|
1,386,538
|
||||
7/01/20 – AMBAC Insured | ||||||||
520
|
Glendale Industrial Development Authority, Arizona, Revenue Bonds, Midwestern University, Refunding Series 2007, 5.000%, 5/15/31
|
5/22 at 100.00
|
A–
|
574,002
|
||||
900
|
Glendale Industrial Development Authority, Arizona, Revenue Bonds, Midwestern University, Refunding Series 2010, 5.125%, 5/15/40
|
5/20 at 100.00
|
A+
|
959,454
|
||||
430
|
Northern Arizona University, System Revenue Bonds, Series 2012, 5.000%, 6/01/41
|
6/21 at 100.00
|
A+
|
473,972
|
||||
200
|
Phoenix Industrial Development Authority, Arizona, Education Facility Revenue Bonds, Brighter Choice Foundation Charter Middle Schools Project, Series 2012, 7.500%, 7/01/42
|
7/22 at 100.00
|
BB+
|
208,438
|
||||
155
|
Phoenix Industrial Development Authority, Arizona, Education Revenue Bonds, Great Hearts Academies – Veritas Project, Series 2012, 6.300%, 7/01/42
|
7/21 at 100.00
|
BBB
|
165,762
|
||||
200
|
Phoenix Industrial Development Authority, Arizona, Education Revenue Bonds, Painted Rock Academy Charter School Project, Series 2012A, 7.500%, 7/01/42
|
7/20 at 100.00
|
N/R
|
209,602
|
||||
965
|
Phoenix Industrial Development Authority, Arizona, Lease Revenue Bonds, Rowan University Project, Series 2012, 5.000%, 6/01/42 – AGM Insured
|
6/22 at 100.00
|
A+
|
1,041,003
|
||||
560
|
Pima County Industrial Development Authority, Arizona, Charter School Revenue Bonds, Noah Webster Basic Schools Inc., Series 2004, 6.000%, 12/15/24
|
12/14 at 100.00
|
BBB–
|
571,558
|
||||
200
|
Pima County Industrial Development Authority, Arizona, Education Revenue Bonds, Carden Traditional Schools Project, Series 2012, 7.500%, 1/01/42
|
1/22 at 100.00
|
BBB–
|
214,820
|
||||
235
|
Pima County Industrial Development Authority, Arizona, Education Revenue Bonds, Paradise Education Center Project, Series 2010, 6.000%, 6/01/40
|
6/19 at 100.00
|
BBB–
|
239,669
|
||||
315
|
Pima County Industrial Development Authority, Arizona, Educational Revenue Bonds, Paradise Education Center Charter School, Series 2006, 6.000%, 6/01/36
|
6/16 at 100.00
|
BBB–
|
318,222
|
||||
415
|
Pima County Industrial Development Authority, Arizona, Educational Revenue Bonds, Valley Academy Charter School Project, Series 2008, 6.500%, 7/01/38
|
7/18 at 100.00
|
Baa3
|
440,954
|
||||
565
|
Tucson Industrial Development Authority, Arizona, Charter School Revenue Bonds, Arizona Agribusiness and Equine Center Charter School, Series 2004A, 6.125%, 9/01/34
|
9/14 at 100.00
|
BB+
|
557,949
|
||||
7,600
|
Total Education and Civic Organizations
|
7,900,668
|
||||||
Health Care – 28.3% (19.9% of Total Investments)
|
||||||||
1,015
|
Arizona Health Facilities Authority, Hospital Revenue Bonds, Banner Health Systems, Series 2007A, 5.000%, 1/01/25
|
1/17 at 100.00
|
AA–
|
1,156,846
|
||||
620
|
Arizona Health Facilities Authority, Hospital Revenue Bonds, Banner Health Systems, Series 2007B, 1.120%, 1/02/37
|
1/17 at 100.00
|
AA–
|
468,844
|
||||
2,390
|
Arizona Health Facilities Authority, Hospital Revenue Bonds, Banner Health Systems, Series 2008D, 5.500%, 1/01/38
|
1/18 at 100.00
|
AA–
|
2,658,058
|
||||
625
|
Arizona Health Facilities Authority, Revenue Bonds, Blood Systems Inc., Series 2004, 5.000%, 4/01/20
|
4/14 at 100.00
|
A
|
651,825
|
||||
475
|
Glendale Industrial Development Authority, Arizona, Revenue Bonds, John C. Lincoln Health Network, Series 2005B, 5.000%, 12/01/37
|
12/15 at 100.00
|
BBB+
|
485,317
|
||||
785
|
Glendale Industrial Development Authority, Arizona, Revenue Bonds, John C. Lincoln Health Network, Series 2007, 5.000%, 12/01/42
|
12/17 at 100.00
|
BBB+
|
808,856
|
||||
1,825
|
Maricopa County Industrial Development Authority, Arizona, Health Facility Revenue Bonds, Catholic Healthcare West, Series 2004A, 5.375%, 7/01/23
|
7/14 at 100.00
|
A+
|
1,919,900
|
||||
1,985
|
Maricopa County Industrial Development Authority, Arizona, Health Facility Revenue Bonds, Catholic Healthcare West, Series 2007A, 5.250%, 7/01/32
|
7/17 at 100.00
|
A+
|
2,150,529
|
32
|
Nuveen Investments
|
Principal
|
Optional Call
|
|||||||
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
||||
Health Care (continued)
|
||||||||
Show Low Industrial Development Authority, Arizona, Hospital Revenue Bonds, Navapache Regional Medical Center, Series 2005:
|
||||||||
$
|
375
|
5.000%, 12/01/25 – RAAI Insured
|
12/15 at 100.00
|
BBB+
|
$
|
386,749
|
||
315
|
5.000%, 12/01/30 – RAAI Insured
|
12/15 at 100.00
|
BBB+
|
322,513
|
||||
1,000
|
University Medical Center Corporation, Tucson, Arizona, Hospital Revenue Bonds, Series 2011, 6.000%, 7/01/39
|
7/21 at 100.00
|
BBB+
|
1,155,990
|
||||
1,000
|
Yavapai County Industrial Development Authority, Arizona, Hospital Revenue Bonds, Yavapai Regional Medical Center, Series 2003A, 6.000%, 8/01/33
|
8/13 at 100.00
|
BBB+
|
1,041,440
|
||||
12,410
|
Total Health Care
|
13,206,867
|
||||||
Long-Term Care – 0.4% (0.3% of Total Investments)
|
||||||||
205
|
Tempe Industrial Development Authority, Arizona, Revenue Bonds, Friendship Village of Tempe Project, Refunding Series 2012A, 6.000%, 12/01/32
|
12/21 at 100.00
|
N/R
|
220,488
|
||||
Tax Obligation/General – 12.8% (9.0% of Total Investments)
|
||||||||
860
|
El Mirage, Arizona, General Obligation Bonds Series 2012, 5.000%, 7/01/42 – AGM Insured
|
7/22 at 100.00
|
AA–
|
956,286
|
||||
365
|
Pima County Continental Elementary School District 39, Arizona, General Obligation Bonds, Series 2011A, 6.000%, 7/01/30 – AGM Insured
|
7/21 at 100.00
|
AA–
|
458,323
|
||||
500
|
Pima County Unified School District 08 Flowing Wells, Arizona, General Obligation Bonds, Series 2011B, 5.375%, 7/01/29
|
7/21 at 100.00
|
A+
|
573,750
|
||||
750
|
Pima County Unified School District 6, Marana, Arizona, General Obligation Bonds, School Improvement Project 2010 Series 2011A, 5.000%, 7/01/25
|
7/21 at 100.00
|
A+
|
857,168
|
||||
1,000
|
Pinal County Unified School District 1, Florence, Arizona, General Obligation Bonds, Series 2008C, 5.250%, 7/01/28
|
7/18 at 100.00
|
A
|
1,120,970
|
||||
1,705
|
Scottsdale, Arizona, General Obligation Bonds, Preserve Acquisition Series 1999, 5.000%, 7/01/34
|
7/21 at 100.00
|
AAA
|
2,013,503
|
||||
5,180
|
Total Tax Obligation/General
|
5,980,000
|
||||||
Tax Obligation/Limited – 45.0% (31.7% of Total Investments)
|
||||||||
660
|
Arizona Sports and Tourism Authority, Senior Revenue Refunding Bonds, Multipurpose Stadium Facility Project, Series 2012A, 5.000%, 7/01/36
|
7/22 at 100.00
|
A1
|
728,726
|
||||
1,000
|
Arizona State Transportation Board, Highway Revenue Bonds, Subordinate Refunding Series 2011A, 5.000%, 7/01/36
|
7/21 at 100.00
|
AA+
|
1,142,060
|
||||
345
|
Buckeye, Arizona, Festival Ranch Community Facilities District District General Obligation Bonds, Series 2012, 5.000%, 7/15/27
|
7/22 at 100.00
|
BBB
|
363,533
|
||||
133
|
Centerra Community Facilities District, Goodyear, Arizona, General Obligation Bonds, Series 2005, 5.500%, 7/15/29
|
7/15 at 100.00
|
N/R
|
125,055
|
||||
2,000
|
DC Ranch Community Facilities District, Scottsdale, Arizona, General Obligation Bonds, Series 2002, 5.000%, 7/15/27 – AMBAC Insured
|
7/13 at 100.00
|
A1
|
2,029,340
|
||||
Estrella Mountain Ranch Community Facilities District, Arizona, Special Assessment Bonds, Montecito Assessment District, Series 2007:
|
||||||||
245
|
5.700%, 7/01/27
|
1/17 at 100.00
|
N/R
|
241,129
|
||||
152
|
5.800%, 7/01/32
|
1/17 at 100.00
|
N/R
|
146,612
|
||||
217
|
Estrella Mountain Ranch Community Facilities District, Goodyear, Arizona, Special Assessment Lien Bonds, Series 2001A, 7.875%, 7/01/25
|
1/13 at 100.00
|
N/R
|
217,412
|
||||
510
|
Government of Guam, Business Privilege Tax Bonds, Series 2011A, 5.000%, 1/01/31
|
1/22 at 100.00
|
A
|
579,794
|
||||
525
|
Greater Arizona Development Authority, Infrastructure Revenue Bonds, Series 2006A, 5.000%, 8/01/23 – NPFG Insured
|
8/16 at 100.00
|
A1
|
584,966
|
||||
917
|
Marana, Arizona, Tangerine Farms Road Improvement District Revenue Bonds, Series 2006, 4.600%, 1/01/26
|
7/16 at 100.00
|
A2
|
949,755
|
||||
290
|
Marley Park Community Facilities District, City of Surprise, Arizona, Limited Tax General Obligation Bonds, Series 2008 (Bank Qualified), 6.100%, 7/15/32
|
7/17 at 100.00
|
N/R
|
289,643
|
||||
490
|
Merrill Ranch Community Facilities District 1, Florence, Arizona, General Obligation Bonds, Series 2008A, 7.400%, 7/15/33
|
7/18 at 100.00
|
N/R
|
534,242
|
||||
2,175
|
Mohave County, Arizona, Certificates of Participation, Series 2004, 5.250%, 7/01/19 – AMBAC Insured
|
7/14 at 100.00
|
N/R
|
2,263,153
|
Nuveen Investments
|
33
|
Nuveen Arizona Dividend Advantage Municipal Fund 3 (continued)
|
||
NXE
|
Portfolio of Investments
|
Principal
|
Optional Call
|
|||||||
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
||||
Tax Obligation/Limited (continued)
|
||||||||
$
|
300
|
Page, Arizona, Pledged Revenue Bonds, Refunding Series 2011, 5.000%, 7/01/26
|
7/21 at 100.00
|
AA–
|
$
|
349,026
|
||
640
|
Palm Valley Community Facility District 3, Goodyear, Arizona, General Obligation Bonds, Series 2006, 5.300%, 7/15/31
|
7/16 at 100.00
|
N/R
|
585,030
|
||||
425
|
Palm Valley Community Facility District 3, Goodyear, Arizona, Limited Tax General Obligation Bonds, Series 2007, 5.800%, 7/15/32
|
7/17 at 100.00
|
N/R
|
409,921
|
||||
160
|
Parkway Community Facilities District 1, Prescott Valley, Arizona, General Obligation Bonds, Series 2006, 5.350%, 7/15/31
|
7/16 at 100.00
|
N/R
|
147,149
|
||||
170
|
Phoenix Mesa Gateway Airport Authority, Arizona, Special Facility Revenue Bonds, Mesa Project, Series 2012, 5.000%, 7/01/38 (Alternative Minimum Tax)
|
7/22 at 100.00
|
AA+
|
178,825
|
||||
1,250
|
Pinal County Industrial Development Authority, Arizona, Correctional Facilities Contract Revenue Bonds, Florence West Prison LLC, Series 2002A, 5.000%, 10/01/18 – ACA Insured
|
10/12 at 100.00
|
BBB–
|
1,251,213
|
||||
250
|
Puerto Rico Sales Tax Financing Corporation, Sales Tax Revenue Bonds, First Subordinate Series 2010A, 5.375%, 8/01/39
|
2/20 at 100.00
|
A+
|
267,640
|
||||
1,650
|
Puerto Rico Sales Tax Financing Corporation, Sales Tax Revenue Bonds, First Subordinate Series 2010C, 0.000%, 8/01/38
|
No Opt. Call
|
A+
|
380,160
|
||||
1,130
|
San Luis Civic Improvement Corporation, Arizona, Municipal Facilities Excise Tax Revenue Bonds, Series 2005, 5.000%, 7/01/25 – SYNCORA GTY Insured
|
7/15 at 100.00
|
A+
|
1,194,218
|
||||
2,000
|
Scottsdale Municipal Property Corporation, Arizona, Excise Tax Revenue Bonds, Water & Sewer Improvements Project, Series 2010, 5.000%, 7/01/36
|
7/20 at 100.00
|
AAA
|
2,272,080
|
||||
665
|
Tartesso West Community Facility District, Buckeye, Arizona, Limited Tax General Obligation Bonds, Series 2007, 5.900%, 7/15/32
|
7/17 at 100.00
|
N/R
|
641,592
|
||||
750
|
Virgin Islands Public Finance Authority, Matching Fund Loan Notes Revenue Bonds, Senior Lien Series 2010A, 5.000%, 10/01/29
|
10/20 at 100.00
|
BBB+
|
819,480
|
||||
1,250
|
Vistancia Community Facilities District, Peoria, Arizona, General Obligation Bonds, Series 2005, 5.750%, 7/15/24
|
7/15 at 100.00
|
A1
|
1,331,625
|
||||
634
|
Watson Road Community Facilities District, Arizona, Special Assessment Revenue Bonds, Series 2005, 6.000%, 7/01/30
|
7/16 at 100.00
|
N/R
|
602,027
|
||||
425
|
Westpark Community Facilities District, Buckeye, Arizona, General Obligation Tax Increment Bonds Series 2006, 5.250%, 7/15/31
|
7/16 at 100.00
|
N/R
|
386,130
|
||||
21,358
|
Total Tax Obligation/Limited
|
21,011,536
|
||||||
Transportation – 5.6% (3.9% of Total Investments)
|
||||||||
Phoenix Civic Improvement Corporation, Arizona, Senior Lien Airport Revenue Bonds, Series 2002B:
|
||||||||
300
|
5.750%, 7/01/16 – FGIC Insured (Alternative Minimum Tax)
|
1/13 at 100.00
|
AA–
|
301,092
|
||||
2,300
|
5.250%, 7/01/21 – FGIC Insured (Alternative Minimum Tax)
|
1/13 at 100.00
|
AA–
|
2,304,738
|
||||
2,600
|
Total Transportation
|
2,605,830
|
||||||
U.S. Guaranteed – 5.2% (3.7% of Total Investments) (5)
|
||||||||
1,575
|
Maricopa County Union High School District 210, Phoenix, Arizona, General Obligation Bonds, Series 2004A, 5.000%, 7/01/20 (Pre-refunded 7/01/14) – AGM Insured
|
7/14 at 100.00
|
AA (5)
|
1,711,600
|
||||
270
|
Maricopa County, Arizona, Hospital Revenue Bonds, Sun Health Corporation, Series 2005, 5.000%, 4/01/16 (Pre-refunded 4/01/15)
|
4/15 at 100.00
|
N/R (5)
|
302,036
|
||||
405
|
Oro Valley Municipal Property Corporation, Arizona, Senior Lien Water Revenue Bonds, Series 2003, 5.000%, 7/01/23 (Pre-refunded 7/01/13) – NPFG Insured
|
7/13 at 100.00
|
AA (5)
|
421,054
|
||||
2,250
|
Total U.S. Guaranteed
|
2,434,690
|
||||||
Utilities – 18.5% (13.0% of Total Investments)
|
||||||||
625
|
Apache County Industrial Development Authority, Arizona, Pollution Control Revenue Bonds, Tucson Electric Power Company, Series 20102A, 4.500%, 3/01/30
|
3/22 at 100.00
|
BBB–
|
650,050
|
||||
1,200
|
Maricopa County Pollution Control Corporation, Arizona, Pollution Control Revenue Refunding Bonds, Southern California Edison Company, Series 2000A, 5.000%, 6/01/35
|
6/20 at 100.00
|
A1
|
1,331,940
|
||||
1,250
|
Maricopa County Pollution Control Corporation, Arizona, Revenue Bonds, Arizona Public Service Company – Palo Verde Project, Series 2002A, 5.050%,
|
11/12 at 100.00
|
Baa1
|
1,252,925
|
||||
5/01/29 – AMBAC Insured |
34
|
Nuveen Investments
|
Principal
|
Optional Call
|
|||||||
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
||||
Utilities (continued)
|
||||||||
$
|
665
|
Pima County Industrial Development Authority, Arizona, Revenue Bonds, Tucson Electric Power Company, Refunding Series 2008, 5.750%, 9/01/29
|
1/15 at 100.00
|
BBB–
|
$
|
710,413
|
||
500
|
Pinal County Electrical District 3, Arizona, Electric System Revenue Bonds, Refunding Series 2011, 5.250%, 7/01/36
|
7/21 at 100.00
|
A
|
561,725
|
||||
1,660
|
Puerto Rico Electric Power Authority, Power Revenue Bonds, Series 2005RR, 5.000%, 7/01/26 – SYNCORA GTY Insured
|
7/15 at 100.00
|
BBB+
|
1,778,192
|
||||
775
|
Salt River Project Agricultural Improvement and Power District, Arizona, Electric System Revenue Bonds, Tender Option Bond Trust 09-9W, 17.940%, 1/01/38 (IF) (6)
|
1/18 at 100.00
|
Aa1
|
1,111,381
|
||||
1,165
|
Salt Verde Financial Corporation, Arizona, Senior Gas Revenue Bonds, Citigroup Energy Inc Prepay Contract Obligations, Series 2007, 5.000%, 12/01/37
|
No Opt. Call
|
A–
|
1,244,884
|
||||
7,840
|
Total Utilities
|
8,641,510
|
||||||
Water and Sewer – 8.4% (5.9% of Total Investments)
|
||||||||
500
|
Glendale, Arizona, Water and Sewer Revenue Bonds, Refunding Series 2012, 5.000%, 7/01/28
|
7/22 at 100.00
|
AA
|
593,255
|
||||
955
|
Goodyear, Arizona, Water and Sewer Revenue Obligations, Series 2010, 5.625%, 7/01/39
|
7/20 at 100.00
|
A+
|
1,061,473
|
||||
750
|
Puerto Rico Aqueduct and Sewerage Authority, Revenue Bonds, Senior Lien Series 2008A, 6.000%, 7/01/38
|
7/18 at 100.00
|
Baa2
|
799,380
|
||||
Surprise Municipal Property Corporation, Arizona, Wastewater System Revenue Bonds, Series 2007:
|
||||||||
425
|
4.700%, 4/01/22
|
4/14 at 100.00
|
A–
|
432,421
|
||||
490
|
4.900%, 4/01/32
|
4/17 at 100.00
|
A–
|
502,569
|
||||
615
|
Yuma County Industrial Development Authority, Arizona, Exempt Revenue Bonds, Far West Water & Sewer Inc. Refunding, Series 2007A, 6.375%, 12/01/37 (Alternative Minimum Tax)
|
12/17 at 100.00
|
N/R
|
528,839
|
||||
3,735
|
Total Water and Sewer
|
3,917,937
|
||||||
$
|
63,638
|
Total Investments (cost $61,795,261) – 142.1%
|
66,379,517
|
|||||
MuniFund Term Preferred Shares, at Liquidation Value – (44.6)% (7)
|
(20,846,000
|
) | ||||||
Other Assets Less Liabilities – 2.5%
|
1,184,957
|
|||||||
Net Assets Applicable to Common Shares – 100%
|
$
|
46,718,474
|
(1)
|
All percentages shown in the Portfolio of Investments are based on net assets applicable to Common shares unless otherwise noted.
|
|
(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 highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies.
|
|
(4)
|
Investment valued at fair value using methods determined in good faith by, or at the discretion of, the Board of Trustees. For fair value measurement disclosure purposes, investment categorized as Level 3. See Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies, Investment Valuation for more information.
|
|
(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. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities.
|
|
(6)
|
Investment, or portion of investment, has been pledged to collateralize the net payment obligations for investments in inverse floating rate transactions.
|
|
(7)
|
MuniFund Term Preferred Shares, at Liquidation Value as a percentage of Total Investments is 31.4%.
|
|
N/R
|
Not rated.
|
|
(IF)
|
Inverse floating rate investment.
|
Nuveen Investments
|
35
|
Nuveen Texas Quality Income Municipal Fund
|
||
NTX
|
Portfolio of Investments
|
|
August 31, 2012 (Unaudited)
|
Principal
|
Optional Call
|
|||||||
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
||||
Consumer Discretionary – 1.1% (0.7% of Total Investments)
|
||||||||
$
|
1,450
|
Austin Convention Enterprises Inc., Texas, Convention Center Hotel Revenue Bonds, First Tier Series 2006A, 5.250%, 1/01/18 – SYNCORA GTY Insured
|
1/17 at 100.00
|
BB+
|
$
|
1,595,827
|
||
Consumer Staples – 1.4% (1.0% of Total Investments)
|
||||||||
2,185
|
Puerto Rico, The Children’s Trust Fund, Tobacco Settlement Asset-Backed Refunding Bonds, Series 2002, 5.375%, 5/15/33
|
11/12 at 100.00
|
BBB+
|
2,184,956
|
||||
Education and Civic Organizations – 11.3% (7.7% of Total Investments)
|
||||||||
2,000
|
Board of Regents, University of Texas System, Financing System Revenue Bonds, Refunding Series 2012B, 5.000%, 8/15/22
|
No Opt. Call
|
AAA
|
2,569,360
|
||||
1,000
|
Hale Center Education Facilities Corporation, Texas, Revenue Bonds, Wayland Baptist University Project, Improvement and Refunding Series 2010, 5.000%, 3/01/35
|
3/21 at 100.00
|
A–
|
1,085,340
|
||||
2,000
|
Laredo Community College District, Webb County, Texas, Combined Fee Revenue Bonds, Series 2010, 5.250%, 8/01/35 – AGM Insured
|
8/20 at 100.00
|
AA–
|
2,263,020
|
||||
Red River Education Finance Corporation, Texas, Revenue Bonds, Hockaday School, Series 2005:
|
||||||||
1,170
|
5.000%, 5/15/27
|
5/15 at 100.00
|
AA
|
1,281,255
|
||||
1,230
|
5.000%, 5/15/28
|
5/15 at 100.00
|
AA
|
1,335,460
|
||||
1,290
|
5.000%, 5/15/29
|
5/15 at 100.00
|
AA
|
1,400,605
|
||||
Texas Public Finance Authority, Revenue Bonds, Texas Southern University Financing System, Series 2003:
|
||||||||
1,710
|
5.000%, 5/01/18 – FGIC Insured
|
5/13 at 100.00
|
Baa1
|
1,727,579
|
||||
1,795
|
5.000%, 5/01/19 – FGIC Insured
|
5/13 at 100.00
|
Baa1
|
1,812,394
|
||||
1,885
|
5.000%, 5/01/20 – FGIC Insured
|
5/13 at 100.00
|
Baa1
|
1,901,513
|
||||
1,665
|
Texas State University System, Financing Revenue Bonds, Series 2004, 5.000%, 3/15/24 – AGM Insured
|
9/14 at 100.00
|
Aa2
|
1,795,519
|
||||
15,745
|
Total Education and Civic Organizations
|
17,172,045
|
||||||
Health Care – 13.3% (9.1% of Total Investments)
|
||||||||
1,000
|
Harris County Cultural Education Facilities Finance Corporation, Texas, Medical Facilities Revenue Refunding Bonds, Baylor College of Medicine, Series 2012A, 5.000%, 11/15/26 (WI/DD, Settling 9/06/12)
|
11/22 at 100.00
|
A–
|
1,123,180
|
||||
1,350
|
Harrison County Health Facilities Development Corporation, Texas, Hospital Revenue Bonds, Good Shepherd Health System, Refunding Series 2010, 5.250%, 7/01/28
|
7/20 at 100.00
|
BBB+
|
1,435,833
|
||||
2,000
|
North Central Texas Health Facilities Development Corporation, Texas, Revenue Bonds, Children’s Medical Center Dallas Project, Series 2009, 5.750%, 8/15/39
|
8/19 at 100.00
|
AA
|
2,288,260
|
||||
885
|
North Central Texas Health Facilities Development Corporation, Texas, Revenue Bonds, Children’s Medical Center Dallas Project, Series 2012, 5.000%, 8/15/32
|
8/22 at 100.00
|
AA
|
1,009,750
|
||||
Richardson Hospital Authority, Texas, Revenue Bonds, Richardson Regional Medical Center, Series 2004:
|
||||||||
2,000
|
5.875%, 12/01/24
|
12/13 at 100.00
|
A+
|
2,058,300
|
||||
1,000
|
6.000%, 12/01/34
|
12/13 at 100.00
|
A+
|
1,027,960
|
||||
1,250
|
Tarrant County Cultural Education Facilities Finance Corporation, Texas, Hospital Revenue Bonds, Scott & White HealthCare Project, Series 2010, 5.250%, 8/15/40
|
8/20 at 100.00
|
AA–
|
1,371,163
|
||||
2,500
|
Tarrant County Cultural Education Facilities Finance Corporation, Texas, Revenue Bonds, Texas Health Resources, Series 2007B, 5.000%, 11/15/42
|
11/17 at 100.00
|
AA–
|
2,697,275
|
||||
2,000
|
Tarrant County Cultural Education Facilities Finance Corporation, Texas, Revenue Refunding Bonds, Christus Health, Series 2008, 6.500%, 7/01/37 – AGC Insured
|
1/19 at 100.00
|
AA–
|
2,351,100
|
||||
1,720
|
Tyler Health Facilities Development Corporation, Texas, Hospital Revenue Bonds, East Texas Medical Center Regional Healthcare System, Series 2007A, 5.375%, 11/01/37
|
11/17 at 100.00
|
Baa2
|
1,839,420
|
||||
700
|
Tyler Health Facilities Development Corporation, Texas, Hospital Revenue Bonds, Mother Frances Hospital Regional Healthcare Center, Series 2007B, 5.000%, 7/01/37
|
7/17 at 100.00
|
Baa1
|
724,689
|
||||
2,250
|
Tyler Health Facilities Development Corporation, Texas, Hospital Revenue Bonds, Mother Frances Hospital Regional Healthcare Center, Series 2007, 5.000%, 7/01/33
|
7/17 at 100.00
|
Baa1
|
2,340,360
|
||||
18,655
|
Total Health Care
|
20,267,290
|
36
|
Nuveen Investments
|
Principal
|
Optional Call
|
|||||||
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
||||
Housing/Multifamily – 1.8% (1.2% of Total Investments)
|
||||||||
Bexar County Housing Finance Corporation, Texas, Insured Multifamily Housing Revenue Bonds, Waters at Northern Hills Apartments Project, Series 2001A:
|
||||||||
$
|
2,000
|
6.000%, 8/01/31 – NPFG Insured
|
2/13 at 101.00
|
Baa2
|
$
|
1,951,340
|
||
750
|
6.050%, 8/01/36 – NPFG Insured
|
2/13 at 101.00
|
Baa2
|
719,798
|
||||
2,750
|
Total Housing/Multifamily
|
2,671,138
|
||||||
Housing/Single Family – 1.5% (1.0% of Total Investments)
|
||||||||
2,250
|
Texas Department of Housing and Community Affairs, Single Family Mortgage Bonds, Series 2002B, 5.550%, 9/01/33 – NPFG Insured (Alternative Minimum Tax)
|
9/12 at 100.00
|
AA+
|
2,252,745
|
||||
Long-Term Care – 1.0% (0.7% of Total Investments)
|
||||||||
Bexar County, Texas, Health Facilities Development Corporation Revenue Bonds, Army Retirement Residence, Series 2007:
|
||||||||
955
|
5.000%, 7/01/27
|
7/17 at 100.00
|
BBB
|
978,398
|
||||
600
|
5.000%, 7/01/37
|
7/17 at 100.00
|
BBB
|
607,794
|
||||
1,555
|
Total Long-Term Care
|
1,586,192
|
||||||
Materials – 2.0% (1.4% of Total Investments)
|
||||||||
3,000
|
Cass County Industrial Development Corporation, Texas, Environmental Improvement Revenue Bonds, International Paper Company, Series 2000A, 6.600%, 3/15/24 (Alternative Minimum Tax)
|
9/12 at 100.00
|
BBB
|
3,011,640
|
||||
Tax Obligation/General – 34.1% (23.1% of Total Investments)
|
||||||||
650
|
Bexar County, Texas, General Obligation Bonds, Series 2004, 5.000%, 6/15/19
|
6/14 at 100.00
|
Aaa
|
698,978
|
||||
2,000
|
Borger Independent School District, Hutchison County, Texas, General Obligation Bonds, Series 2006, 5.000%, 2/15/36
|
2/16 at 100.00
|
AAA
|
2,234,780
|
||||
400
|
Calallen Independent School District, Nueces County, Texas, General Obligation Bonds, School Building Series 2008, 5.000%, 2/15/38
|
2/18 at 100.00
|
AAA
|
438,816
|
||||
1,620
|
Cameron County, Texas, General Obligation Bonds, State Highway 550 Project, Series 2012, 5.000%, 2/15/32 – AGM Insured
|
2/22 at 100.00
|
AA–
|
1,855,564
|
||||
1,190
|
Canutillo Independent School District, El Paso County, Texas, General Obligation Bonds, Series 2006A, 5.000%, 8/15/22
|
8/15 at 100.00
|
AAA
|
1,332,717
|
||||
1,500
|
College Station, Texas, Certificates of Obligation, Series 2012, 5.000%, 2/15/32
|
2/21 at 100.00
|
AA
|
1,742,625
|
||||
2,305
|
Corpus Christi, Texas, Combination Tax and Municipal Hotel Occupancy Tax Revenue Certificates of Obligation, Series 2002, 5.500%, 9/01/21 – AGM Insured
|
9/12 at 100.00
|
Aa2
|
2,314,635
|
||||
1,750
|
El Paso County, Texas, Certificates of Obligation, Series 2001, 5.000%, 2/15/21 – AGM Insured
|
No Opt. Call
|
AA
|
2,153,935
|
||||
Fort Bend County Municipal Utility District 25, Texas, General Obligation Bonds, Series 2005:
|
||||||||
960
|
5.000%, 10/01/26 – FGIC Insured
|
10/12 at 100.00
|
A–
|
961,469
|
||||
950
|
5.000%, 10/01/27 – FGIC Insured
|
10/12 at 100.00
|
A–
|
951,387
|
||||
3,615
|
Frisco, Texas, General Obligation Bonds, Series 2006, 5.000%, 2/15/26 – FGIC Insured
|
2/16 at 100.00
|
Aa1
|
4,025,266
|
||||
8,500
|
Grand Prairie Independent School District, Dallas County, Texas, General Obligation Bonds, Capital Appreciation Refunding Series 2009, 0.000%, 8/15/39
|
8/18 at 22.64
|
AA
|
1,546,150
|
||||
3,255
|
Hutto Independent School District, Williamson County, Texas, General Obligation Bonds, Refunding Series 2012A, 0.000%, 8/01/45
|
8/21 at 24.48
|
A
|
491,733
|
||||
4,900
|
Leander Independent School District, Williamson and Travis Counties, Texas, General Obligation Bonds, Series 2006, 0.000%, 8/15/45
|
8/14 at 17.78
|
AAA
|
837,263
|
||||
1,000
|
Leander Independent School District, Williamson and Travis Counties, Texas, General Obligation Bonds, Series 2008, 0.000%, 8/15/36
|
8/17 at 33.01
|
AAA
|
288,330
|
||||
365
|
Lone Star College System, Harris and Montgomery Counties, Texas, General Obligation Bonds, Series 2009, 5.000%, 8/15/34
|
8/19 at 100.00
|
AAA
|
433,813
|
||||
1,750
|
Martin County Hospital District, Texas, Combination Limited Tax and Revenue Bonds, Series 2011A, 7.250%, 4/01/36
|
4/21 at 100.00
|
BBB
|
1,952,125
|
||||
1,010
|
Mercedes Independent School District, Hidalgo County, Texas, General Obligation Bonds, Series 2005, 5.000%, 8/15/23
|
8/15 at 100.00
|
AAA
|
1,131,129
|
||||
5,515
|
Midlothian Independent School District, Ellis County, Texas, General Obligation Bonds, Series 2005, 5.000%, 2/15/34
|
2/15 at 100.00
|
Aaa
|
5,989,068
|
Nuveen Investments
|
37
|
Nuveen Texas Quality Income Municipal Fund (continued)
|
||
NTX
|
Portfolio of Investments
|
Principal
|
Optional Call
|
|||||||
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
||||
Tax Obligation/General (continued)
|
||||||||
$
|
1,500
|
Montgomery County, Texas, General Obligation Bonds, Refunding Series 2008B, 5.250%, 3/01/32
|
3/19 at 100.00
|
Aa1
|
$
|
1,746,555
|
||
2,000
|
Plano Independent School District, Collin County, Texas, General Obligation Bonds, Series 2008A, 5.250%, 2/15/34
|
2/18 at 100.00
|
Aaa
|
2,377,020
|
||||
1,425
|
Port of Houston Authority, Harris County, Texas, General Obligation Bonds, Series 2010E, 0.000%, 10/01/35
|
No Opt. Call
|
AAA
|
596,961
|
||||
Roma Independent School District, Texas, General Obligation Bonds, Series 2005:
|
||||||||
1,110
|
5.000%, 8/15/22
|
8/15 at 100.00
|
AAA
|
1,243,122
|
||||
1,165
|
5.000%, 8/15/23 – AGM Insured
|
8/15 at 100.00
|
AAA
|
1,304,718
|
||||
1,250
|
Southside Independent School District, Bexar County, Texas, General Obligation Bonds, Series 2004A, 5.000%, 8/15/22
|
8/14 at 100.00
|
Aaa
|
1,352,550
|
||||
5,000
|
Texas State, General Obligation Bonds, Transportation Commission Mobility Fund, Series 2006A, 5.000%, 4/01/33 (UB)
|
4/17 at 100.00
|
AAA
|
5,737,100
|
||||
1,000
|
Texas State, General Obligation Bonds, Transportation Commission Mobility Fund, Series 2008, 5.000%, 4/01/30 (UB)
|
4/18 at 100.00
|
AAA
|
1,161,050
|
||||
650
|
Texas State, General Obligation Bonds, Water Utility, Series 2001, 5.250%, 8/01/23
|
11/12 at 100.00
|
Aaa
|
650,000
|
||||
3,025
|
Victoria Independent School District, Victoria County, Texas, General Obligation Bonds, Series 2007, 5.000%, 2/15/32
|
2/17 at 100.00
|
AAA
|
3,473,880
|
||||
West Texas Independent School District, McLennan and Hill Counties, General Obligation Refunding Bonds, Series 1998:
|
||||||||
45
|
0.000%, 8/15/22
|
8/13 at 61.20
|
AAA
|
27,274
|
||||
45
|
0.000%, 8/15/24
|
8/13 at 54.88
|
AAA
|
24,429
|
||||
White Settlement Independent School District, Tarrant County, Texas, General Obligation Bonds, Series 2006:
|
||||||||
1,500
|
0.000%, 8/15/43
|
8/15 at 23.12
|
AAA
|
308,535
|
||||
1,500
|
0.000%, 8/15/44
|
8/15 at 21.88
|
AAA
|
291,750
|
||||
425
|
0.000%, 8/15/45
|
8/15 at 20.76
|
AAA
|
78,387
|
||||
64,875
|
Total Tax Obligation/General
|
51,753,114
|
||||||
Tax Obligation/Limited – 17.1% (11.6% of Total Investments)
|
||||||||
1,000
|
Bexar County, Texas, Venue Project Revenue Bonds, Refunding Series 2010, 5.250%, 8/15/38 – AGM Insured
|
8/19 at 100.00
|
AA–
|
1,110,780
|
||||
7,940
|
Dallas Area Rapid Transit, Texas, Sales Tax Revenue Bonds, Senior Lien Refunding Series 2007, 5.000%, 12/01/36 – AMBAC Insured
|
12/16 at 100.00
|
AA+
|
9,040,880
|
||||
1,390
|
Harris County Metropolitan Transit Authority, Texas, Sales and Use Tax Revenue Bonds, Series 2011A, 5.000%, 11/01/41
|
11/21 at 100.00
|
AA
|
1,589,131
|
||||
Harris County-Houston Sports Authority, Texas, Revenue Bonds, Junior Lien Series 2001H:
|
||||||||
1,720
|
0.000%, 11/15/34 – NPFG Insured
|
11/31 at 83.17
|
BBB
|
475,735
|
||||
930
|
0.000%, 11/15/36 – NPFG Insured
|
11/31 at 73.51
|
BBB
|
225,265
|
||||
3,265
|
0.000%, 11/15/38 – NPFG Insured
|
11/31 at 64.91
|
BBB
|
698,286
|
||||
2,000
|
0.000%, 11/15/39 – NPFG Insured
|
11/31 at 60.98
|
BBB
|
401,820
|
||||
Harris County-Houston Sports Authority, Texas, Revenue Bonds, Senior Lien Series 2001G:
|
||||||||
2,250
|
5.250%, 11/15/22 – NPFG Insured
|
11/12 at 100.00
|
BBB
|
2,252,970
|
||||
3,275
|
0.000%, 11/15/41 – NPFG Insured
|
11/31 at 53.78
|
BBB
|
568,540
|
||||
2,000
|
Houston, Texas, Hotel Occupancy Tax and Special Revenue Bonds, Convention and Entertainment Project, Refunding Series 2012, 5.000%, 9/01/33
|
9/13 at 100.00
|
A2
|
2,057,340
|
||||
1,470
|
Houston, Texas, Hotel Occupancy Tax and Special Revenue Bonds, Convention and Entertainment Project, Series 2001B, 0.000%, 9/01/32 – AMBAC Insured
|
No Opt. Call
|
A2
|
542,695
|
||||
3,000
|
North Texas Tollway Authority, Special Projects System Revenue Bonds, Current Interest Series 2011D, 5.000%, 9/01/31
|
9/21 at 100.00
|
AA
|
3,507,570
|
||||
2,000
|
North Texas Tollway Authority, Special Projects System Revenue Bonds, Series 2011A, 5.500%, 9/01/41
|
9/21 at 100.00
|
AA
|
2,378,780
|
||||
1,000
|
Uptown Development Authority, Houston, Texas, Tax Increment Revenue Bonds, Infrastructure Improvement Facilities, Series 2009, 5.500%, 9/01/29
|
9/19 at 100.00
|
BBB
|
1,096,550
|
||||
33,240
|
Total Tax Obligation/Limited
|
25,946,342
|
38
|
Nuveen Investments
|
Principal
|
Optional Call
|
|||||||
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
||||
Transportation – 15.2% (10.3% of Total Investments)
|
||||||||
$
|
1,000
|
Austin, Texas, Airport System Prior Lien Revenue Bonds, Series 2003, 5.250%, 11/15/16 – NPFG Insured
|
11/13 at 100.00
|
A
|
$
|
1,048,940
|
||
Central Texas Regional Mobility Authority, Senior Lien Revenue Bonds, Series 2010:
|
||||||||
2,945
|
0.000%, 1/01/36
|
No Opt. Call
|
BBB–
|
824,335
|
||||
2,205
|
0.000%, 1/01/37
|
No Opt. Call
|
BBB–
|
583,046
|
||||
2,160
|
0.000%, 1/01/38
|
No Opt. Call
|
BBB–
|
539,438
|
||||
1,000
|
0.000%, 1/01/40
|
No Opt. Call
|
BBB–
|
223,240
|
||||
3,260
|
Central Texas Regional Mobility Authority, Travis and Williamson Counties, Toll Road Revenue Bonds, Series 2005, 5.000%, 1/01/22 – FGIC Insured
|
1/15 at 100.00
|
BBB
|
3,333,220
|
||||
1,000
|
Dallas-Fort Worth International Airport, Texas, Joint Revenue Bonds, Refunding Series 2010A, 5.000%, 11/01/42
|
11/20 at 100.00
|
A+
|
1,109,080
|
||||
1,165
|
Dallas-Fort Worth International Airport, Texas, Joint Revenue Bonds, Refunding Series 2012B, 5.000%, 11/01/35
|
11/20 at 100.00
|
A+
|
1,304,392
|
||||
2,000
|
Houston, Texas, Subordinate Lien Airport System Revenue Refunding Bonds, Series Series 2012A, 5.000%, 7/01/31 (Alternative Minimum Tax)
|
7/22 at 100.00
|
A+
|
2,239,720
|
||||
3,000
|
Love Field Airport Modernization Corporation, Texas, Special Facilities Revenue Bonds, Southwest Airlines Company, Series 2010, 5.250%, 11/01/40
|
11/20 at 100.00
|
BBB–
|
3,235,050
|
||||
395
|
North Texas Tollway Authority, First Tier System Revenue Refunding Bonds, Series 2008A, 5.750%, 1/01/40
|
1/18 at 100.00
|
A2
|
443,494
|
||||
North Texas Tollway Authority, First Tier System Revenue Refunding Bonds, Series 2008B:
|
||||||||
325
|
5.750%, 1/01/40
|
1/18 at 100.00
|
A2
|
364,900
|
||||
225
|
5.750%, 1/01/40 – NPFG Insured
|
1/18 at 100.00
|
A2
|
252,623
|
||||
2,500
|
North Texas Tollway Authority, First Tier System Revenue Refunding Bonds, Series 2008D, 0.000%, 1/01/36 – AGC Insured
|
No Opt. Call
|
AA–
|
840,425
|
||||
950
|
North Texas Tollway Authority, Second Tier System Revenue Refunding Bonds, Series 2008F, 5.750%, 1/01/38
|
1/18 at 100.00
|
A3
|
1,042,701
|
||||
North Texas Tollway Authority, System Revenue Bonds, First Tier Series 2009A:
|
||||||||
100
|
6.100%, 1/01/28
|
1/19 at 100.00
|
A2
|
118,547
|
||||
2,000
|
6.250%, 1/01/39
|
1/19 at 100.00
|
A2
|
2,303,140
|
||||
2,500
|
San Antonio, Texas, Airport System Revenue Bonds, Refunding Series 2012, 5.000%, 7/01/27 Alternative Minimum Tax)
|
7/22 at 100.00
|
A+
|
2,845,300
|
||||
1,250
|
Texas Turnpike Authority, Central Texas Turnpike System Revenue Bonds, First Tier Series 2002A, 0.000%, 8/15/29 – AMBAC Insured
|
11/12 at 37.62
|
BBB+
|
463,750
|
||||
29,980
|
Total Transportation
|
23,115,341
|
||||||
U.S. Guaranteed – 17.4% (11.8% of Total Investments) (4)
|
||||||||
610
|
Bexar County, Texas, General Obligation Bonds, Series 2004, 5.000%, 6/15/19 (Pre-refunded 6/15/14)
|
6/14 at 100.00
|
Aaa
|
661,210
|
||||
Brazoria County Health Facilities Development Corporation, Texas, Revenue Bonds, Brazosport Memorial Hospital, Series 2004:
|
||||||||
1,745
|
5.250%, 7/01/20 (Pre-refunded 7/01/14) – RAAI Insured
|
7/14 at 100.00
|
BBB– (4)
|
1,900,270
|
||||
1,835
|
5.250%, 7/01/21 (Pre-refunded 7/01/14) – RAAI Insured
|
7/14 at 100.00
|
BBB– (4)
|
1,998,278
|
||||
295
|
Coppell Independent School District, Dallas County, Texas, Unlimited Tax School Building and Refunding Bonds, Series 1992, 0.000%, 8/15/14 – NPFG Insured (ETM)
|
No Opt. Call
|
Aa3 (4)
|
292,180
|
||||
Houston Community College System, Texas, Limited Tax General Obligation Bonds, Series 2003:
|
||||||||
2,500
|
5.000%, 2/15/20 (Pre-refunded 2/15/13) – AMBAC Insured
|
2/13 at 100.00
|
AA+ (4)
|
2,553,400
|
||||
2,235
|
5.000%, 2/15/21 (Pre-refunded 2/15/13) – AMBAC Insured
|
2/13 at 100.00
|
AA+ (4)
|
2,282,740
|
||||
5,000
|
Houston, Texas, General Obligation Bonds, Series 2005E, 5.000%, 3/01/23 (Pre-refunded 3/01/15) – AMBAC Insured
|
3/15 at 100.00
|
AA (4)
|
5,570,899
|
||||
40
|
Lower Colorado River Authority, Texas, Revenue Bonds, Series 2008, 5.750%, 5/15/37 (Pre-refunded 5/15/15)
|
5/15 at 100.00
|
A1 (4)
|
45,747
|
||||
1,000
|
Mansfield Independent School District, Tarrant County, Texas, General Obligation Bonds, Series 2004, 5.000%, 2/15/20 (Pre-refunded 2/15/14)
|
2/14 at 100.00
|
AAA
|
1,065,070
|
Nuveen Investments
|
39
|
Nuveen Texas Quality Income Municipal Fund (continued)
|
||
NTX
|
Portfolio of Investments
|
Principal
|
Optional Call
|
|||||||
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
||||
U.S. Guaranteed (4) (continued)
|
||||||||
$
|
1,000
|
North Central Texas Health Facilities Development Corporation, Hospital Revenue Bonds, Presbyterian Healthcare System, Series 1996A, 5.750%, 6/01/26 – NPFG Insured (ETM)
|
No Opt. Call
|
Aaa
|
$
|
1,298,970
|
||
2,500
|
Retama Development Corporation, Texas, Special Facilities Revenue Bonds, Retama Park Racetrack, Series 1993, 8.750%, 12/15/18 (Pre-refunded 12/15/17)
|
12/17 at 100.00
|
Aaa
|
3,504,575
|
||||
1,260
|
Rowlett, Rockwall and Dallas Counties, Texas, Waterworks and Sewerage System Revenue Bonds, Series 2004A, 5.000%, 3/01/22 (Pre-refunded
|
3/14 at 100.00
|
AA– (4)
|
1,348,742
|
||||
3/01/14) – NPFG Insured | ||||||||
1,140
|
Sunnyvale School District, Texas, General Obligation Bonds, Series 2004, 5.250%, 2/15/25 (Pre-refunded 2/15/14)
|
2/14 at 100.00
|
AAA
|
1,222,639
|
||||
1,500
|
Texas, General Obligation Refunding Bonds, Public Finance Authority, Series 2002, 5.000%, 10/01/18 (Pre-refunded 10/01/12)
|
10/12 at 100.00
|
Aaa
|
1,506,045
|
||||
West Texas Independent School District, McLennan and Hill Counties, General Obligation Refunding Bonds, Series 1998:
|
||||||||
955
|
0.000%, 8/15/22 (Pre-refunded 8/15/13)
|
8/13 at 61.20
|
Aaa
|
582,378
|
||||
955
|
0.000%, 8/15/24 (Pre-refunded 8/15/13)
|
8/13 at 54.88
|
Aaa
|
522,184
|
||||
24,570
|
Total U.S. Guaranteed
|
26,355,327
|
||||||
Utilities – 15.9% (10.8% of Total Investments)
|
||||||||
2,560
|
Brazos River Authority, Texas, Pollution Control Revenue Refunding Bonds, TXU Electric Company, Series 1999C, 7.700%, 3/01/32 (Alternative Minimum Tax)
|
4/13 at 101.00
|
Ca
|
355,610
|
||||
5,000
|
Brownsville, Texas, Utility System Priority Revenue Bonds, Series 2005A, 5.000%, 9/01/27 – AMBAC Insured
|
9/15 at 100.00
|
A+
|
5,284,099
|
||||
2,000
|
Bryan, Brazos County, Texas, Electric System Revenue Bonds, Series 2009, 5.000%, 7/01/34
|
7/17 at 100.00
|
A+
|
2,161,340
|
||||
3,000
|
Lower Colorado River Authority, Texas, Refunding Revenue Bonds, Series 2010A, 5.000%, 5/15/40
|
5/20 at 100.00
|
A1
|
3,323,910
|
||||
1,960
|
Lower Colorado River Authority, Texas, Revenue Bonds, Series 2008, 5.750%, 5/15/37
|
5/15 at 100.00
|
A1
|
2,150,120
|
||||
1,500
|
Matagorda County Navigation District Number One, Texas, Pollution Control Revenue Refunding Bonds, Central Power and Light Company Project, Series 2009A, 6.300%, 11/01/29
|
7/19 at 102.00
|
BBB
|
1,743,960
|
||||
1,000
|
Sam Rayburn Municipal Power Agency, Texas, Power Supply System Revenue Refunding Bonds, Series 2012, 5.000%, 10/01/20 (WI/DD, Settling 9/19/12)
|
No Opt. Call
|
BBB+
|
1,186,510
|
||||
Texas Municipal Gas Acquisition and Supply Corporation I, Gas Supply Revenue Bonds, Senior Lien Series 2008D:
|
||||||||
1,340
|
5.625%, 12/15/17
|
No Opt. Call
|
A–
|
1,498,710
|
||||
3,000
|
6.250%, 12/15/26
|
No Opt. Call
|
A–
|
3,570,870
|
||||
1,000
|
Texas Municipal Gas Acquisition and Supply Corporation I, Gas Supply Revenue Bonds, Series 2006A, 5.250%, 12/15/20
|
No Opt. Call
|
A–
|
1,085,010
|
||||
Texas Municipal Power Agency, Revenue Bonds, Transmission Refunding Series 2010:
|
||||||||
640
|
5.000%, 9/01/34
|
9/20 at 100.00
|
A+
|
720,026
|
||||
1,000
|
5.000%, 9/01/40
|
9/20 at 100.00
|
A+
|
1,115,330
|
||||
24,000
|
Total Utilities
|
24,195,495
|
||||||
Water and Sewer – 14.2% (9.6% of Total Investments)
|
||||||||
2,500
|
Bexar Metropolitan Water District, Texas, Waterworks System Revenue Bonds, Refunding Series 2010, 5.875%, 5/01/40
|
5/20 at 100.00
|
A1
|
2,873,425
|
||||
2,500
|
Canadian River Municipal Water Authority, Texas, Contract Revenue Bonds, Conjunctive Use Groundwater Supply Project, Subordinate Lien Series 2011, 5.000%, 2/15/31
|
2/21 at 100.00
|
AA
|
2,875,975
|
||||
Coastal Water Authority, Texas, Contract Revenue Bonds, Houston Water Projects, Series 2004:
|
||||||||
1,005
|
5.000%, 12/15/20 – FGIC Insured
|
12/14 at 100.00
|
AA
|
1,061,692
|
||||
1,030
|
5.000%, 12/15/21 – FGIC Insured
|
12/14 at 100.00
|
AA
|
1,084,096
|
||||
1,000
|
El Paso, Texas, Water and Sewer Revenue Bonds, Refunding Series 2008C, 5.375%, 3/01/29
|
3/18 at 100.00
|
AA+
|
1,199,450
|
||||
3,000
|
Houston, Texas, First Lien Combined Utility System Revenue Bonds, Series 2004A, 5.250%, 5/15/23 – FGIC Insured
|
5/14 at 100.00
|
AA
|
3,228,630
|
40
|
Nuveen Investments
|
Principal
|
Optional Call
|
|||||||
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
||||
Water and Sewer (continued)
|
||||||||
Irving, Texas, Subordinate Lien Waterworks and Sewerage Revenue Bonds, Series 2004:
|
||||||||
$
|
1,680
|
5.000%, 8/15/22 – AMBAC Insured
|
8/14 at 100.00
|
Aa1
|
$
|
1,824,010
|
||
1,760
|
5.000%, 8/15/23 – AMBAC Insured
|
8/14 at 100.00
|
Aa1
|
1,910,867
|
||||
4,000
|
Laredo, Webb County, Texas, Waterworks and Sewer System Revenue Bonds, Series 2010, 5.250%, 3/01/40
|
3/20 at 100.00
|
AA–
|
4,666,759
|
||||
710
|
North Fort Bend Water Authority, Texas, Water System Revenue Bonds, Series 2011, 5.000%, 12/15/36 – AGM Insured
|
12/21 at 100.00
|
AA–
|
787,553
|
||||
19,185
|
Total Water and Sewer
|
21,512,457
|
||||||
$
|
243,440
|
Total Investments (cost $205,814,680) – 147.3%
|
223,619,909
|
|||||
Floating Rate Obligations – (2.6)%
|
(3,960,000
|
) | ||||||
MuniFund Term Preferred Shares, at Liquidation Value – (46.7)% (5)
|
(70,920,000
|
) | ||||||
Other Assets Less Liabilities – 2.0%
|
3,120,805
|
|||||||
Net Assets Applicable to Common Shares – 100%
|
$
|
151,860,714
|
(1)
|
All percentages shown in the Portfolio of Investments are based on net assets applicable to Common shares unless otherwise noted.
|
|
(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 highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies.
|
|
(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. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities.
|
|
(5)
|
MuniFund Term Preferred Shares, at Liquidation Value as a percentage of Total Investments is 31.7%.
|
|
WI/DD
|
Investment, or portion of investment, purchased on a when-issued or delayed delivery basis.
|
|
(ETM)
|
Escrowed to maturity.
|
|
(UB)
|
Underlying bond of an inverse floating rate trust reflected as a financing transaction. See Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies, Inverse Floating Rate Securities for more information.
|
Nuveen Investments
|
41
|
Statement of
|
||
Assets & Liabilities
|
||
August 31, 2012 (Unaudited)
|
Arizona
Premium
Income
(NAZ
|
) |
Arizona
Dividend
Advantage
(NFZ
|
) |
Arizona
Dividend
Advantage 2
(NKR
|
) |
Arizona
Dividend
Advantage 3
(NXE
|
) |
Texas
Quality
Income
(NTX
|
) | |||||||
Assets
|
||||||||||||||||
Investments, at value (cost $85,508,780, $31,816,208, $50,800,963, $61,795,261 and $205,814,680, respectively)
|
$
|
94,954,342
|
$
|
34,584,006
|
$
|
54,864,025
|
$
|
66,379,517
|
$
|
223,619,909
|
||||||
Cash
|
—
|
1,095,297
|
695,191
|
762,634
|
1,913,746
|
|||||||||||
Receivables:
|
||||||||||||||||
Interest
|
920,579
|
346,244
|
542,444
|
657,971
|
2,587,915
|
|||||||||||
Investments sold
|
3,447,718
|
—
|
3,533,911
|
—
|
780,000
|
|||||||||||
Deferred assets:
|
||||||||||||||||
Offering costs
|
124,631
|
308,890
|
383,912
|
470,037
|
949,889
|
|||||||||||
Shelf offering costs
|
—
|
—
|
—
|
—
|
125,000
|
|||||||||||
Other assets
|
6,053
|
1,890
|
7,422
|
7,696
|
14,164
|
|||||||||||
Total assets
|
99,453,323
|
36,336,327
|
60,026,905
|
68,277,855
|
229,990,623
|
|||||||||||
Liabilities
|
||||||||||||||||
Cash overdraft
|
8,863
|
—
|
—
|
—
|
—
|
|||||||||||
Floating rate obligations
|
—
|
—
|
—
|
—
|
3,960,000
|
|||||||||||
Payables:
|
||||||||||||||||
Common share dividends
|
271,311
|
92,135
|
159,435
|
182,316
|
554,791
|
|||||||||||
Interest
|
28,168
|
18,963
|
31,989
|
50,377
|
135,928
|
|||||||||||
Investments purchased
|
2,953,781
|
829,675
|
2,483,099
|
—
|
2,279,520
|
|||||||||||
Offering costs
|
—
|
128,412
|
103,038
|
127,933
|
—
|
|||||||||||
MuniFund Term Preferred (MTP) Shares, at liquidation value
|
—
|
11,100,000
|
18,725,000
|
20,846,000
|
70,920,000
|
|||||||||||
Variable Rate MuniFund Term Preferred (VMTP) Shares, at liquidation value
|
28,000,000
|
—
|
—
|
—
|
—
|
|||||||||||
Accrued expenses:
|
||||||||||||||||
Management fees
|
51,594
|
18,508
|
30,778
|
36,906
|
118,117
|
|||||||||||
Directors’/Trustees’ fees
|
411
|
151
|
245
|
291
|
955
|
|||||||||||
Shelf offering costs
|
—
|
—
|
—
|
—
|
80,864
|
|||||||||||
Other
|
122,858
|
201,068
|
133,898
|
315,558
|
79,734
|
|||||||||||
Total liabilities
|
31,436,986
|
12,388,912
|
21,667,482
|
21,559,381
|
78,129,909
|
|||||||||||
Net assets applicable to Common shares
|
$
|
68,016,337
|
$
|
23,947,415
|
$
|
38,359,423
|
$
|
46,718,474
|
$
|
151,860,714
|
||||||
Common shares outstanding
|
4,472,678
|
1,548,312
|
2,439,730
|
3,066,030
|
9,602,535
|
|||||||||||
Net asset value per Common share outstanding (net assets applicable to Common shares, divided by Common shares outstanding)
|
$
|
15.21
|
$
|
15.47
|
$
|
15.72
|
$
|
15.24
|
$
|
15.81
|
||||||
Net assets applicable to Common shares consist of:
|
||||||||||||||||
Common shares, $.01 par value per share
|
$
|
44,727
|
$
|
15,483
|
$
|
24,397
|
$
|
30,660
|
$
|
96,025
|
||||||
Paid-in surplus
|
60,454,674
|
21,781,665
|
34,415,536
|
43,099,258
|
135,888,200
|
|||||||||||
Undistributed (Over-distribution of) net investment income
|
1,200,748
|
(55,852
|
)
|
111,872
|
(76,156
|
)
|
618,510
|
|||||||||
Accumulated net realized gain (loss)
|
(3,129,374
|
)
|
(561,679
|
)
|
(255,444
|
)
|
(919,544
|
)
|
(2,547,250
|
)
|
||||||
Net unrealized appreciation (depreciation)
|
9,445,562
|
2,767,798
|
4,063,062
|
4,584,256
|
17,805,229
|
|||||||||||
Net assets applicable to Common shares
|
$
|
68,016,337
|
$
|
23,947,415
|
$
|
38,359,423
|
$
|
46,718,474
|
$
|
151,860,714
|
||||||
Authorized shares:
|
||||||||||||||||
Common
|
200,000,000
|
Unlimited
|
Unlimited
|
Unlimited
|
Unlimited
|
|||||||||||
Preferred
|
1,000,000
|
Unlimited
|
Unlimited
|
Unlimited
|
Unlimited
|
See accompanying notes to financial statements.
|
||
42
|
Nuveen Investments
|
Statement of
|
|||
Operations
|
|||
Six Months ended August 31, 2012
|
|||
(Unaudited)
|
Arizona
Premium
Income
(NAZ
|
) |
Arizona
Dividend
Advantage
(NFZ
|
) |
Arizona
Dividend
Advantage 2
(NKR
|
) |
Arizona
Dividend
Advantage 3
(NXE
|
) |
Texas
Quality
Income
(NTX
|
) | |||||||
Investment Income
|
$
|
2,294,120
|
$
|
835,151
|
$
|
1,376,742
|
$
|
1,637,036
|
$
|
5,109,820
|
||||||
Expenses
|
||||||||||||||||
Management fees
|
304,127
|
108,930
|
181,304
|
217,553
|
696,696
|
|||||||||||
Shareholders’ servicing agent fees and expenses
|
9,939
|
2,094
|
8,766
|
8,717
|
12,651
|
|||||||||||
Interest expense and amortization of offering costs
|
189,812
|
162,264
|
251,912
|
368,269
|
961,531
|
|||||||||||
Custodian’s fees and expenses
|
10,085
|
6,418
|
8,285
|
9,245
|
22,075
|
|||||||||||
Directors’/Trustees’ fees and expenses
|
1,319
|
483
|
785
|
932
|
3,063
|
|||||||||||
Professional fees
|
15,955
|
14,517
|
15,039
|
16,444
|
19,013
|
|||||||||||
Shareholders’ reports – printing and mailing expenses
|
21,937
|
18,828
|
24,910
|
27,396
|
49,464
|
|||||||||||
Stock exchange listing fees
|
4,172
|
196
|
7,698
|
8,307
|
11,783
|
|||||||||||
Investor relations expense
|
4,432
|
1,855
|
2,958
|
3,359
|
11,225
|
|||||||||||
Reorganization expense
|
80,000
|
170,000
|
95,000
|
275,000
|
—
|
|||||||||||
Other expenses
|
9,778
|
11,715
|
12,442
|
12,404
|
16,290
|
|||||||||||
Total expenses before custodian fee credit and expense reimbursement
|
651,556
|
497,300
|
609,099
|
947,626
|
1,803,791
|
|||||||||||
Custodian fee credit
|
(174
|
)
|
(168
|
)
|
(125
|
)
|
(339
|
)
|
(1,816
|
)
|
||||||
Expense reimbursement
|
—
|
—
|
(2,431
|
)
|
—
|
—
|
||||||||||
Net expenses
|
651,382
|
497,132
|
606,543
|
947,287
|
1,801,975
|
|||||||||||
Net investment income (loss)
|
1,642,738
|
338,019
|
770,199
|
689,749
|
3,307,845
|
|||||||||||
Realized and Unrealized Gain (Loss)
|
||||||||||||||||
Net realized gain (loss) from investments
|
76,507
|
89,149
|
37,026
|
20,602
|
142,840
|
|||||||||||
Change in net unrealized appreciation (depreciation) of investments
|
1,716,447
|
754,153
|
983,594
|
1,235,462
|
3,764,046
|
|||||||||||
Net realized and unrealized gain (loss)
|
1,792,954
|
843,302
|
1,020,620
|
1,256,064
|
3,906,886
|
|||||||||||
Net increase (decrease) in net assets applicable to Common shares from operations
|
$
|
3,435,692
|
$
|
1,181,321
|
$
|
1,790,819
|
$
|
1,945,813
|
$
|
7,214,731
|
See accompanying notes to financial statements.
|
||
Nuveen Investments
|
43
|
Statement of
|
||
Changes in Net Assets (Unaudited)
|
Arizona
Premium Income (NAZ)
|
Arizona
Dividend Advantage (NFZ)
|
Arizona
Dividend Advantage 2 (NKR)
|
|||||||||||||||||
Six Months
Ended
8/31/12
|
Year
Ended
2/29/12
|
Six Months
Ended
8/31/12
|
Year
Ended
2/29/12
|
Six Months
Ended
8/31/12
|
Year
Ended
2/29/12
|
||||||||||||||
Operations
|
|||||||||||||||||||
Net investment income (loss)
|
$
|
1,642,738
|
$
|
3,565,697
|
$
|
338,019
|
$
|
1,008,402
|
$
|
770,199
|
$
|
1,769,263
|
|||||||
Net realized gain (loss) from investments
|
76,507
|
109,602
|
89,149
|
53,319
|
37,026
|
307,097
|
|||||||||||||
Change in net unrealized appreciation (depreciation) of investments
|
1,716,447
|
6,768,696
|
754,153
|
2,855,887
|
983,594
|
3,579,761
|
|||||||||||||
Distributions to Auction Rate Preferred Shareholders from net investment income
|
—
|
(38,807
|
)
|
—
|
—
|
—
|
—
|
||||||||||||
Net increase (decrease) in net assets applicable to Common shares from operations
|
3,435,692
|
10,405,188
|
1,181,321
|
3,917,608
|
1,790,819
|
5,656,121
|
|||||||||||||
Distributions to Common Shareholders
|
|||||||||||||||||||
From net investment income
|
(1,717,089
|
)
|
(3,393,258
|
)
|
(582,939
|
)
|
(1,198,393
|
)
|
(980,711
|
)
|
(1,961,397
|
)
|
|||||||
From accumulated net realized gains
|
—
|
—
|
—
|
—
|
—
|
—
|
|||||||||||||
Decrease in net assets applicable to Common shares from distributions to Common shareholders
|
(1,717,089
|
)
|
(3,393,258
|
)
|
(582,939
|
)
|
(1,198,393
|
)
|
(980,711
|
)
|
(1,961,397
|
)
|
|||||||
Capital Share Transactions
|
|||||||||||||||||||
Net proceeds from Common shares issued to shareholders due to reinvestment of distributions
|
29,710
|
—
|
—
|
—
|
2,836
|
—
|
|||||||||||||
Net increase (decrease) in net assets applicable to Common shares from capital share transactions
|
29,710
|
—
|
—
|
—
|
2,836
|
—
|
|||||||||||||
Net increase (decrease) in net assets applicable to Common shares
|
1,748,313
|
7,011,930
|
598,382
|
2,719,215
|
812,944
|
3,694,724
|
|||||||||||||
Net assets applicable to Common shares at the beginning of period
|
66,268,024
|
59,256,094
|
23,349,033
|
20,629,818
|
37,546,479
|
33,851,755
|
|||||||||||||
Net assets applicable to Common shares at the end of period
|
$
|
68,016,337
|
$
|
66,268,024
|
$
|
23,947,415
|
$
|
23,349,033
|
$
|
38,359,423
|
$
|
37,546,479
|
|||||||
Undistributed (Over-distribution of) net investment income at the end of period
|
$
|
1,200,748
|
$
|
1,275,099
|
$
|
(55,852
|
)
|
$
|
189,068
|
$
|
111,872
|
$
|
322,384
|
See accompanying notes to financial statements.
|
||
44
|
Nuveen Investments
|
Arizona
Dividend Advantage 3 (NXE)
|
Texas
Quality Income (NTX)
|
||||||||||||
Six Months
Ended
8/31/12
|
Year
Ended
2/29/12
|
Six Months
Ended
8/31/12
|
Year
Ended
2/29/12
|
||||||||||
Operations
|
|||||||||||||
Net investment income (loss)
|
$
|
689,749
|
$
|
2,012,239
|
$
|
3,307,845
|
$
|
7,182,013
|
|||||
Net realized gain (loss) from investments
|
20,602
|
136,252
|
142,840
|
(1,681,044
|
)
|
||||||||
Change in net unrealized appreciation (depreciation) of investments
|
1,235,462
|
4,821,432
|
3,764,046
|
15,782,348
|
|||||||||
Distributions to Auction Rate Preferred Shareholders from net investment income
|
—
|
(4,515
|
)
|
—
|
—
|
||||||||
Net increase (decrease) in net assets applicable to Common shares from operations
|
1,945,813
|
6,965,408
|
7,214,731
|
21,283,317
|
|||||||||
Distributions to Common Shareholders
|
|||||||||||||
From net investment income
|
(1,131,365
|
)
|
(2,317,919
|
)
|
(3,814,560
|
)
|
(8,211,637
|
)
|
|||||
From accumulated net realized gains
|
—
|
—
|
—
|
(248,069
|
)
|
||||||||
Decrease in net assets applicable to Common shares from distributions to Common shareholders
|
(1,131,365
|
)
|
(2,317,919
|
)
|
(3,814,560
|
)
|
(8,459,706
|
)
|
|||||
Capital Share Transactions
|
|||||||||||||
Net proceeds from Common shares issued to shareholders due to reinvestment of distributions
|
—
|
—
|
238,106
|
548,918
|
|||||||||
Net increase (decrease) in net assets applicable to Common shares from capital share transactions
|
—
|
—
|
238,106
|
548,918
|
|||||||||
Net increase (decrease) in net assets applicable to Common shares
|
814,448
|
4,647,489
|
3,638,277
|
13,372,529
|
|||||||||
Net assets applicable to Common shares at the beginning of period
|
45,904,026
|
41,256,537
|
148,222,437
|
134,849,908
|
|||||||||
Net assets applicable to Common shares at the end of period
|
$
|
46,718,474
|
$
|
45,904,026
|
$
|
151,860,714
|
$
|
148,222,437
|
|||||
Undistributed (Over-distribution of) net investment income at the end of period
|
$
|
(76,156
|
)
|
$
|
365,460
|
$
|
618,510
|
$
|
1,125,225
|
See accompanying notes to financial statements.
|
||
Nuveen Investments
|
45
|
Statement of
|
||
Cash Flows
|
||
Six Months ended August 31, 2012 (Unaudited)
|
Arizona
Premium
Income
(NAZ
|
) |
Arizona
Dividend
Advantage
(NFZ
|
) |
Arizona
Dividend
Advantage 2
(NKR
|
) | |||||
Cash Flows from Operating Activities:
|
||||||||||
Net Increase (Decrease) In Net Assets Applicable to Common Shares from Operations
|
$
|
3,435,692
|
$
|
1,181,321
|
$
|
1,790,819
|
||||
Adjustments to reconcile the net increase (decrease) in net assets applicable to Common shares from operations to net cash provided by (used in) operating activities:
|
||||||||||
Purchases of investments
|
(7,185,227
|
)
|
(3,636,399
|
)
|
(4,399,126
|
)
|
||||
Proceeds from sales and maturities of investments
|
7,347,973
|
3,753,677
|
6,019,950
|
|||||||
Amortization (Accretion) of premiums and discounts, net
|
9,348
|
24,691
|
(7,238
|
)
|
||||||
(Increase) Decrease in:
|
||||||||||
Receivable for interest
|
21,977
|
2,578
|
35,476
|
|||||||
Receivable for investments sold
|
(3,068,826
|
)
|
—
|
(3,298,384
|
)
|
|||||
Other assets
|
(3,555
|
)
|
(500
|
)
|
(5,797
|
)
|
||||
Increase (Decrease) in:
|
||||||||||
Payable for interest
|
1,813
|
(633
|
)
|
(1,069
|
)
|
|||||
Payable for investments purchased
|
2,953,781
|
829,675
|
2,483,099
|
|||||||
Accrued management fees
|
4,033
|
1,498
|
4,618
|
|||||||
Accrued Directors’/Trustees’ fees
|
(581
|
)
|
(212
|
)
|
(348
|
)
|
||||
Accrued other expenses
|
81,158
|
167,846
|
96,678
|
|||||||
Net realized (gain) loss from investments
|
(76,507
|
)
|
(89,149
|
)
|
(37,026
|
)
|
||||
Change in net unrealized (appreciation) depreciation of investments
|
(1,716,447
|
)
|
(754,153
|
)
|
(983,594
|
)
|
||||
Taxes paid on undistributed capital gains
|
—
|
(103
|
)
|
—
|
||||||
Net cash provided by (used in) operating activities
|
1,804,632
|
1,480,137
|
1,698,058
|
|||||||
Cash Flows from Financing Activities:
|
||||||||||
(Increase) Decrease in:
|
||||||||||
Deferred offering costs
|
(44,341
|
)
|
49,124
|
61,054
|
||||||
Deferred shelf offering costs
|
—
|
—
|
—
|
|||||||
Increase (Decrease) in:
|
||||||||||
Cash overdraft balance
|
(73,011
|
)
|
—
|
(85,698
|
)
|
|||||
Payable for offering costs
|
—
|
24,005
|
(444
|
)
|
||||||
Accrued shelf offering costs
|
—
|
—
|
—
|
|||||||
Cash distributions paid to Common shareholders
|
(1,687,280
|
)
|
(587,903
|
)
|
(977,779
|
)
|
||||
Net cash provided by (used in) financing activities
|
(1,804,632
|
)
|
(514,774
|
)
|
(1,002,867
|
)
|
||||
Net Increase (Decrease) in Cash
|
—
|
965,363
|
695,191
|
|||||||
Cash at the beginning of period
|
—
|
129,934
|
—
|
|||||||
Cash at the End of Period
|
$
|
—
|
$
|
1,095,297
|
$
|
695,191
|
||||
Supplemental Disclosure of Cash Flow Information
|
||||||||||
Non-cash financing activities not included herein consist of reinvestments of Common share distributions as follows:
|
Arizona
|
Arizona
|
Arizona
|
||||||||
Premium
|
Dividend
|
Dividend
|
||||||||
Income
|
Advantage
|
Advantage 2
|
||||||||
(NAZ
|
)
|
(NFZ
|
)
|
(NKR
|
)
|
|||||
$
|
29,710
|
$
|
—
|
$
|
2,836
|
Cash paid for interest (excluding amortization of offering costs) was as follows:
|
||||||||||
Arizona
|
Arizona
|
Arizona
|
||||||||
Premium
|
Dividend
|
Dividend
|
||||||||
Income
|
Advantage
|
Advantage 2
|
||||||||
(NAZ
|
)
|
(NFZ
|
)
|
(NKR
|
)
|
|||||
$
|
170,938
|
$
|
113,772
|
$
|
191,928
|
See accompanying notes to financial statements.
|
46
|
Nuveen Investments
|
Arizona
Dividend
Advantage 3
(NXE
|
) |
Texas
Quality
Income
(NTX
|
) | ||||
Cash Flows from Operating Activities:
|
|||||||
Net Increase (Decrease) In Net Assets Applicable to Common Shares from Operations
|
$
|
1,945,813
|
$
|
7,214,731
|
|||
Adjustments to reconcile the net increase (decrease) in net assets applicable to Common shares from operations to net cash provided by (used in) operating activities:
|
|||||||
Purchases of investments
|
(3,992,272
|
)
|
(16,366,610
|
)
|
|||
Proceeds from sales and maturities of investments
|
4,593,776
|
15,032,759
|
|||||
Amortization (Accretion) of premiums and discounts, net
|
22,589
|
32,820
|
|||||
(Increase) Decrease in:
|
|||||||
Receivable for interest
|
(4,191
|
)
|
115,790
|
||||
Receivable for investments sold
|
614,402
|
1,223,681
|
|||||
Other assets
|
(5,821
|
)
|
(8,738
|
)
|
|||
Increase (Decrease) in:
|
|||||||
Payable for interest
|
(1,676
|
)
|
(4,519
|
)
|
|||
Payable for investments purchased
|
—
|
(1,534,635
|
)
|
||||
Accrued management fees
|
2,815
|
9,016
|
|||||
Accrued Directors’/Trustees’ fees
|
(414
|
)
|
(1,362
|
)
|
|||
Accrued other expenses
|
278,453
|
(1,610
|
)
|
||||
Net realized (gain) loss from investments
|
(20,602
|
)
|
(142,840
|
)
|
|||
Change in net unrealized (appreciation) depreciation of investments
|
(1,235,462
|
)
|
(3,764,046
|
)
|
|||
Taxes paid on undistributed capital gains
|
—
|
(3,626
|
)
|
||||
Net cash provided by (used in) operating activities
|
2,197,410
|
1,800,811
|
|||||
Cash Flows from Financing Activities:
|
|||||||
(Increase) Decrease in:
|
|||||||
Deferred offering costs
|
67,674
|
109,239
|
|||||
Deferred shelf offering costs
|
—
|
(125,000
|
)
|
||||
Increase (Decrease) in:
|
|||||||
Cash overdraft balance
|
(364,407
|
)
|
—
|
||||
Payable for offering costs
|
3,883
|
(39,399
|
)
|
||||
Accrued shelf offering costs
|
—
|
80,864
|
|||||
Cash distributions paid to Common shareholders
|
(1,141,926
|
)
|
(3,637,642
|
)
|
|||
Net cash provided by (used in) financing activities
|
(1,434,776
|
)
|
(3,611,938
|
)
|
|||
Net Increase (Decrease) in Cash
|
762,634
|
(1,811,127
|
)
|
||||
Cash at the beginning of period
|
—
|
3,724,873
|
|||||
Cash at the End of Period
|
$
|
762,634
|
$
|
1,913,746
|
|||
Supplemental Disclosure of Cash Flow Information
|
Non-cash financing activities not included herein consist of reinvestments of Common share distributions as follows:
|
|||||||
Arizona
|
Texas
|
||||||
Dividend
|
Quality
|
||||||
Advantage 3
|
Income
|
||||||
(NXE
|
)
|
(NTX
|
)
|
||||
$
|
—
|
$
|
238,106
|
||||
Cash paid for interest (excluding amortization of offering costs) was as follows:
|
|||||||
Arizona
|
Texas
|
||||||
Dividend
|
Quality
|
||||||
Advantage 3
|
Income
|
||||||
(NXE
|
)
|
(NTX
|
)
|
||||
$
|
302,271
|
$
|
823,822
|
See accompanying notes to financial statements.
|
||
Nuveen Investments
|
47
|
Financial
|
||
Highlights (Unaudited)
|
||
Selected data for a Common share outstanding throughout each period: |
Investment Operations
|
Less Distributions
|
||||||||||||||||||||||||||||||||||||
Beginning
Common
Share
Net Asset
Value
|
Net
Investment
Income
(Loss)
|
Net
Realized/
Unrealized
Gain (Loss)
|
Distributions
from Net
Investment
Income to
Auction Rate
Preferred
Shareholders
|
(a) |
Distributions
from
Capital
Gains to
Auction Rate
Preferred
Shareholders
|
(a) |
Total
|
Net
Investment
Income to
Common
Shareholders
|
Capital
Gains to
Common
Shareholders
|
Total
|
Discount
from
Common
Shares
Repurchased
and
Retired
|
Ending
Common
Share
Net Asset
Value
|
Ending
Market
Value
|
||||||||||||||||||||||||
Arizona Premium Income (NAZ)
|
|||||||||||||||||||||||||||||||||||||
Year Ended 2/28–2/29:
|
|||||||||||||||||||||||||||||||||||||
2013(g)
|
$
|
14.82
|
$
|
.37
|
$
|
.40
|
$
|
—
|
$
|
—
|
$
|
.77
|
$
|
(.38
|
)
|
$
|
—
|
$
|
(.38
|
)
|
$
|
—
|
$
|
15.21
|
$
|
15.84
|
|||||||||||
2012
|
13.25
|
.80
|
1.54
|
(.01
|
)
|
—
|
2.33
|
(.76
|
)
|
—
|
(.76
|
)
|
—
|
14.82
|
14.61
|
||||||||||||||||||||||
2011(f)
|
13.99
|
.49
|
(.77
|
)
|
(.02
|
)
|
—
|
(.30
|
)
|
(.44
|
)
|
—
|
(.44
|
)
|
—
|
13.25
|
12.32
|
||||||||||||||||||||
Year Ended 7/31:
|
|||||||||||||||||||||||||||||||||||||
2010
|
12.92
|
.84
|
.96
|
(.03
|
)
|
—
|
1.77
|
(.70
|
)
|
—
|
(.70
|
)
|
—
|
13.99
|
13.34
|
||||||||||||||||||||||
2009
|
13.00
|
.85
|
(.16
|
)
|
(.13
|
)
|
—
|
.56
|
(.64
|
)
|
—
|
(.64
|
)
|
—
|
12.92
|
12.29
|
|||||||||||||||||||||
2008
|
14.00
|
.88
|
(1.05
|
)
|
(.22
|
)
|
—
|
(.39
|
)
|
(.61
|
)
|
—
|
(.61
|
)
|
—
|
13.00
|
13.35
|
||||||||||||||||||||
2007
|
14.10
|
.83
|
(.10
|
)
|
(.22
|
)
|
—
|
.51
|
(.61
|
)
|
—
|
(.61
|
)
|
—
|
14.00
|
13.07
|
|||||||||||||||||||||
Arizona Dividend Advantage (NFZ)
|
|||||||||||||||||||||||||||||||||||||
Year Ended 2/28–2/29:
|
|||||||||||||||||||||||||||||||||||||
2013(g)
|
15.08
|
.22
|
.55
|
—
|
—
|
.77
|
(.38
|
)
|
—
|
(.38
|
)
|
—
|
15.47
|
15.15
|
|||||||||||||||||||||||
2012
|
13.32
|
.65
|
1.88
|
—
|
—
|
2.53
|
(.77
|
)
|
—
|
(.77
|
)
|
—
|
15.08
|
14.39
|
|||||||||||||||||||||||
2011(f)
|
14.20
|
.44
|
(.86
|
)
|
(.01
|
)
|
—
|
(.43
|
)
|
(.45
|
)
|
—
|
(.45
|
)
|
—
|
13.32
|
12.14
|
||||||||||||||||||||
Year Ended 7/31:
|
|||||||||||||||||||||||||||||||||||||
2010
|
12.66
|
.85
|
1.41
|
(.03
|
)
|
—
|
2.23
|
(.69
|
)
|
—
|
(.69
|
)
|
—
|
14.20
|
14.19
|
||||||||||||||||||||||
2009
|
13.26
|
.84
|
(.67
|
)
|
(.14
|
)
|
—
|
.03
|
(.63
|
)
|
—
|
(.63
|
)
|
—
|
* |
12.66
|
12.14
|
||||||||||||||||||||
2008
|
14.48
|
.91
|
(1.23
|
)
|
(.25
|
)
|
—
|
* |
(.57
|
)
|
(.64
|
)
|
(.01
|
)
|
(.65
|
)
|
—
|
13.26
|
13.70
|
||||||||||||||||||
2007
|
14.77
|
.91
|
(.17
|
)
|
(.24
|
)
|
(.02
|
)
|
.48
|
(.71
|
)
|
(.06
|
)
|
(.77
|
)
|
—
|
14.48
|
13.35
|
(a)
|
The amounts shown are based on Common share equivalents.
|
(b)
|
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 may take 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 Common Share Net Asset Value is the combination of changes in Common share 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.
|
48
|
Nuveen Investments
|
Ratios/Supplemental Data
|
|||||||||||||||||||||||||
Total Returns
|
Ratios to Average Net Assets
Applicable to Common Shares
Before Reimbursement(c)
|
Ratios to Average Net Assets
Applicable to Common Shares
After Reimbursement(c)(d)
|
|||||||||||||||||||||||
Based
on
Market
Value
|
(b) |
Based
on
Common
Share Net
Asset
Value
|
(b) |
Ending
Net
Assets
Applicable
to Common
Shares (000)
|
Expenses
|
(e) |
Net
Investment
Income
(Loss)
|
Expenses
|
(e) |
Net
Investment
Income
(Loss)
|
Portfolio
Turnover
Rate
|
||||||||||||||
11.22
|
%
|
5.29
|
%
|
$
|
68,016
|
1.82
|
%**
|
4.99
|
%**
|
N/A
|
N/A
|
8
|
%
|
||||||||||||
25.48
|
18.08
|
66,268
|
1.52
|
5.73
|
N/A
|
N/A
|
7
|
||||||||||||||||||
(4.55
|
)
|
(2.23
|
)
|
59,256
|
1.19
|
** |
6.11
|
** |
N/A
|
N/A
|
5
|
||||||||||||||
14.47
|
13.94
|
62,549
|
1.21
|
6.13
|
N/A
|
N/A
|
8
|
||||||||||||||||||
(2.61
|
)
|
4.73
|
57,755
|
1.33
|
7.01
|
N/A
|
N/A
|
25
|
|||||||||||||||||
7.10
|
(2.87
|
)
|
58,097
|
1.40
|
6.42
|
N/A
|
N/A
|
21
|
|||||||||||||||||
(.22
|
)
|
3.62
|
62,534
|
1.32
|
5.81
|
N/A
|
N/A
|
13
|
|||||||||||||||||
8.00
|
5.14
|
23,947
|
3.47
|
** |
3.54
|
** |
N/A
|
N/A
|
11
|
||||||||||||||||
25.66
|
19.56
|
23,349
|
2.95
|
4.62
|
N/A
|
N/A
|
8
|
||||||||||||||||||
(11.47
|
)
|
(3.10
|
)
|
20,630
|
2.29
|
** |
5.37
|
** |
2.23
|
%**
|
5.43
|
%**
|
5
|
||||||||||||
23.34
|
17.93
|
21,984
|
1.35
|
6.12
|
1.23
|
6.23
|
3
|
||||||||||||||||||
(6.12
|
)
|
.58
|
19,605
|
1.51
|
6.70
|
1.30
|
6.91
|
6
|
|||||||||||||||||
7.72
|
(4.09
|
)
|
20,552
|
1.58
|
6.14
|
1.31
|
6.42
|
10
|
|||||||||||||||||
(11.63
|
)
|
3.24
|
22,439
|
1.48
|
5.74
|
1.14
|
6.08
|
19
|
(c)
|
Ratios do not reflect the effect of dividend payments to Auction Rate Preferred shareholders, where applicable; Net Investment Income (Loss) ratios reflect income earned and expenses incurred on assets attributable to Auction Rate Preferred Shares (ARPS), MTP Shares and/or VMTP Shares, where applicable.
|
(d)
|
Ratios do not reflect the effect of custodian fee credits earned on the Fund’s net cash on deposit with the custodian bank, where applicable. As of January 31, 2011, the Adviser is no longer reimbursing Arizona Dividend Advantage (NFZ) for any fees and expenses.
|
(e)
|
The expense ratios reflect, among other things, all interest expense and other costs related to MTP Shares, VMTP Shares and/or the interest expense deemed to have been paid by the Fund on the floating rate certificates issued by the special purpose trusts for the self-deposited inverse floaters held by the Fund, where applicable, each as described in Footnote 1 –General Information and Significant Accounting Policies, MuniFund Term Preferred Shares, Variable Rate MuniFund Term Preferred Shares and Inverse Floating Rate Securities, respectively, as follows:
|
Arizona Premium Income (NAZ)
|
||||
Year Ended 2/28–2/29:
|
||||
2013(g)
|
.56
|
%**
|
||
2012
|
.35
|
|||
2011(f)
|
—
|
|||
Year Ended 7/31:
|
||||
2010
|
—
|
|||
2009
|
—
|
|||
2008
|
.14
|
|||
2007
|
.08
|
|||
Arizona Dividend Advantage (NFZ)
|
||||
Year Ended 2/28–2/29:
|
||||
2013(g)
|
1.36
|
%**
|
||
2012
|
1.49
|
|||
2011(f)
|
.96
|
** | ||
Year Ended 7/31:
|
||||
2010
|
—
|
|||
2009
|
—
|
|||
2008
|
.14
|
|||
2007
|
.10
|
(f)
|
For the seven months ended February 28, 2011.
|
(g)
|
For the six months ended August 31, 2012.
|
*
|
Rounds to less than $.01 per share.
|
**
|
Annualized.
|
N/A
|
The Fund did not have, or no longer has, a contractual reimbursement agreement with the Adviser.
|
See accompanying notes to financial statements.
|
||
Nuveen Investments
|
49
|
Financial
|
||
Highlights (Unaudited) (continued)
|
||
Selected data for a Common share outstanding throughout each period: |
Investment Operations
|
Less Distributions
|
||||||||||||||||||||||||||||||||||||
Beginning
Common
Share
Net Asset
Value
|
Net
Investment
Income
(Loss)
|
Net
Realized/
Unrealized
Gain (Loss)
|
Distributions
from Net
Investment
Income to
Auction Rate
Preferred
Shareholders
|
(a) |
Distributions
from
Capital
Gains to
Auction Rate
Preferred
Shareholders
|
(a) |
Total
|
Net
Investment
Income to
Common
Shareholders
|
Capital
Gains to
Common
Shareholders
|
Total
|
Discount
from
Common
Shares
Repurchased
and
Retired
|
Ending
Common
Share
Net Asset
Value
|
Ending
Market
Value
|
||||||||||||||||||||||||
Arizona Dividend Advantage 2 (NKR)
|
|||||||||||||||||||||||||||||||||||||
Year Ended 2/28–2/29:
|
|||||||||||||||||||||||||||||||||||||
2013(g)
|
$
|
15.39
|
$
|
.32
|
$
|
.41
|
$
|
—
|
$
|
—
|
$
|
.73
|
$
|
(.40
|
)
|
$
|
—
|
$
|
(.40
|
)
|
$
|
—
|
$
|
15.72
|
$
|
15.78
|
|||||||||||
2012
|
13.88
|
.72
|
1.59
|
—
|
—
|
2.31
|
(.80
|
)
|
—
|
(.80
|
)
|
—
|
15.39
|
14.78
|
|||||||||||||||||||||||
2011(f)
|
14.65
|
.45
|
(.74
|
)
|
(.01
|
)
|
—
|
(.30
|
)
|
(.47
|
)
|
—
|
(.47
|
)
|
—
|
13.88
|
12.66
|
||||||||||||||||||||
Year Ended 7/31:
|
|||||||||||||||||||||||||||||||||||||
2010
|
13.46
|
.90
|
1.08
|
(.03
|
)
|
—
|
1.95
|
(.76
|
)
|
—
|
(.76
|
)
|
—
|
14.65
|
13.92
|
||||||||||||||||||||||
2009
|
13.66
|
.93
|
(.29
|
)
|
(.14
|
)
|
—
|
.50
|
(.70
|
)
|
—
|
(.70
|
)
|
—
|
* |
13.46
|
12.52
|
||||||||||||||||||||
2008
|
14.76
|
.96
|
(1.03
|
)
|
(.24
|
)
|
(.02
|
)
|
(.33
|
)
|
(.71
|
)
|
(.06
|
)
|
(.77
|
)
|
—
|
13.66
|
14.00
|
||||||||||||||||||
2007
|
15.00
|
.97
|
(.18
|
)
|
(.24
|
)
|
(.01
|
)
|
.54
|
(.74
|
)
|
(.04
|
)
|
(.78
|
)
|
—
|
14.76
|
15.27
|
|||||||||||||||||||
Arizona Dividend Advantage 3 (NXE)
|
|||||||||||||||||||||||||||||||||||||
Year Ended 2/28–2/29:
|
|||||||||||||||||||||||||||||||||||||
2013(g)
|
14.97
|
.22
|
.42
|
—
|
—
|
.64
|
(.37
|
)
|
—
|
(.37
|
)
|
—
|
15.24
|
14.91
|
|||||||||||||||||||||||
2012
|
13.46
|
.66
|
1.61
|
—
|
* |
—
|
2.27
|
(.76
|
)
|
—
|
(.76
|
)
|
—
|
14.97
|
14.28
|
||||||||||||||||||||||
2011(f)
|
14.12
|
.47
|
(.68
|
)
|
(.01
|
)
|
—
|
(.22
|
)
|
(.44
|
)
|
—
|
(.44
|
)
|
—
|
13.46
|
12.24
|
||||||||||||||||||||
Year Ended 7/31:
|
|||||||||||||||||||||||||||||||||||||
2010
|
12.76
|
.86
|
1.26
|
(.03
|
)
|
—
|
2.09
|
(.73
|
)
|
—
|
(.73
|
)
|
—
|
14.12
|
13.14
|
||||||||||||||||||||||
2009
|
13.07
|
.88
|
(.41
|
)
|
(.13
|
)
|
—
|
.34
|
(.65
|
)
|
—
|
(.65
|
)
|
—
|
* |
12.76
|
11.73
|
||||||||||||||||||||
2008
|
14.20
|
.91
|
(1.15
|
)
|
(.24
|
)
|
—
|
(.48
|
)
|
(.65
|
)
|
—
|
(.65
|
)
|
—
|
13.07
|
13.30
|
||||||||||||||||||||
2007
|
14.32
|
.90
|
(.10
|
)
|
(.25
|
)
|
—
|
.55
|
(.67
|
)
|
—
|
(.67
|
)
|
—
|
14.20
|
13.44
|
(a)
|
The amounts shown are based on Common share equivalents.
|
(b)
|
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 may take 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 Common Share Net Asset Value is the combination of changes in Common share 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.
|
50
|
Nuveen Investments
|
Ratios/Supplemental Data
|
|||||||||||||||||||||||
Total Returns
|
Ratios to Average Net Assets
Applicable to Common Shares
Before Reimbursement(c)
|
Ratios to Average Net Assets
Applicable to Common Shares
After Reimbursement(c)(d)
|
|||||||||||||||||||||
Based
on
Market
Value
|
(b) |
Based
on
Common
Share Net
Asset
Value
|
(b) |
Ending
Net
Assets
Applicable
to Common
Shares (000)
|
Expenses
|
(e) |
Net
Investment
Income
(Loss)
|
Expenses
|
(e) |
Net
Investment
Income
(Loss)
|
Portfolio
Turnover
Rate
|
||||||||||||
9.61
|
%
|
4.82
|
%
|
$
|
38,359
|
2.95
|
%**
|
4.28
|
%**
|
2.94
|
%**
|
4.30
|
%**
|
8
|
%
|
||||||||
23.88
|
16.91
|
37,546
|
2.78
|
4.92
|
2.70
|
5.00
|
16
|
||||||||||||||||
(5.84
|
)
|
(1.90
|
)
|
33,852
|
2.22
|
** |
5.18
|
** |
2.06
|
** |
5.34
|
** |
7
|
||||||||||
17.65
|
14.75
|
35,733
|
1.27
|
6.11
|
1.07
|
6.31
|
4
|
||||||||||||||||
(4.99
|
)
|
4.09
|
32,829
|
1.40
|
6.93
|
1.11
|
7.22
|
5
|
|||||||||||||||
(3.16
|
)
|
(2.38
|
)
|
33,311
|
1.49
|
6.32
|
1.13
|
6.68
|
15
|
||||||||||||||
4.52
|
3.59
|
35,976
|
1.39
|
5.92
|
.96
|
6.35
|
14
|
||||||||||||||||
7.10
|
4.32
|
46,718
|
3.48
|
** |
3.55
|
** |
N/A
|
N/A
|
6
|
||||||||||||||
23.63
|
17.30
|
45,904
|
2.87
|
4.64
|
N/A
|
N/A
|
14
|
||||||||||||||||
(3.63
|
)
|
(1.60
|
)
|
41,257
|
1.46
|
** |
5.85
|
** |
1.43
|
** |
5.88
|
** |
6
|
||||||||||
18.58
|
16.66
|
43,280
|
1.22
|
6.15
|
1.08
|
6.29
|
5
|
||||||||||||||||
(6.18
|
)
|
3.08
|
39,129
|
1.37
|
6.97
|
1.09
|
7.25
|
9
|
|||||||||||||||
3.96
|
(3.48
|
)
|
40,081
|
1.46
|
6.17
|
1.08
|
6.55
|
16
|
|||||||||||||||
4.21
|
3.81
|
43,552
|
1.36
|
5.69
|
.88
|
6.16
|
15
|
(c)
|
Ratios do not reflect the effect of dividend payments to Auction Rate Preferred shareholders, where applicable; Net Investment Income (Loss) ratios reflect income earned and expenses incurred on assets attributable to ARPS and/or MTP Shares, where applicable.
|
(d)
|
After expense reimbursement from the Adviser, where applicable. Ratios do not reflect the effect of custodian fee credits earned on the Fund’s net cash on deposit with the custodian bank, where applicable. As of March 31, 2012, the Adviser is no longer reimbursing Arizona Dividend Advantage 2 (NKR) for any fees and expenses. As of September 30, 2010, the Adviser is no longer reimbursing Arizona Dividend Advantage 3 (NXE) for any fees and expenses.
|
(e)
|
The expense ratios reflect, among other things, all interest expense and other costs related to MTP Shares and/or the interest expense deemed to have been paid by the Fund on the floating rate certificates issued by the special purpose trusts for the self-deposited inverse floaters held by the Fund, where applicable, both as described in Footnote 1 – General Information and Significant Accounting Policies, MuniFund Term Preferred Shares and Inverse Floating Rate Securities, respectively, as follows:
|
Arizona Dividend Advantage 2 (NKR)
|
||||
Year Ended 2/28–2/29:
|
||||
2013(g)
|
1.32
|
%**
|
||
2012
|
1.43
|
|||
2011(f)
|
.91
|
** | ||
Year Ended 7/31:
|
||||
2010
|
—
|
|||
2009
|
—
|
|||
2008
|
.15
|
|||
2007
|
.10
|
|||
Arizona Dividend Advantage 3 (NXE)
|
||||
Year Ended 2/28–2/29:
|
||||
2013(g)
|
1.58
|
%**
|
||
2012
|
1.71
|
|||
2011(f)
|
.01
|
** | ||
Year Ended 7/31:
|
||||
2010
|
—
|
|||
2009
|
—
|
|||
2008
|
.16
|
|||
2007
|
.10
|
(f)
|
For the seven months ended February 28, 2011.
|
(g) | For the six months ended August 31, 2012. |
*
|
Rounds to less than $.01 per share.
|
**
|
Annualized.
|
N/A
|
The Fund no longer has a contractual reimbursement agreement with the Adviser.
|
See accompanying notes to financial statements.
|
||
Nuveen Investments
|
51
|
Financial
|
||
Highlights (Unaudited) (continued)
|
||
Selected data for a Common share outstanding throughout each period: |
Investment Operations
|
Less Distributions
|
||||||||||||||||||||||||||||||||||||
Beginning
Common
Share
Net Asset
Value
|
Net
Investment
Income
(Loss)
|
Net
Realized/
Unrealized
Gain (Loss)
|
Distributions
from Net
Investment
Income to
Auction Rate
Preferred
Shareholders
|
(a) |
Distributions
from
Capital
Gains to
Auction Rate
Preferred
Shareholders
|
(a) |
Total
|
Net
Investment
Income to
Common
Shareholders
|
Capital
Gains to
Common
Shareholders
|
Total
|
Discount
from
Common
Shares
Repurchased
and
Retired
|
Ending
Common
Share
Net Asset
Value
|
Ending
Market
Value
|
||||||||||||||||||||||||
Texas Quality Income (NTX)
|
|||||||||||||||||||||||||||||||||||||
Year Ended 2/28–2/29:
|
|||||||||||||||||||||||||||||||||||||
2013(g)
|
$
|
15.46
|
$
|
.34
|
$
|
.41
|
$
|
—
|
$
|
—
|
$
|
.75
|
$
|
(.40
|
)
|
$
|
—
|
$
|
(.40
|
)
|
$
|
—
|
$
|
15.81
|
$
|
17.07
|
|||||||||||
2012
|
14.12
|
.75
|
1.48
|
—
|
—
|
2.23
|
(.86
|
)
|
(.03
|
)
|
(.89
|
)
|
—
|
15.46
|
16.31
|
||||||||||||||||||||||
2011(f)
|
15.01
|
.48
|
(.85
|
)
|
(.01
|
)
|
—
|
(.38
|
)
|
(.50
|
)
|
(.01
|
)
|
(.51
|
)
|
—
|
14.12
|
15.19
|
|||||||||||||||||||
Year Ended 7/31:
|
|||||||||||||||||||||||||||||||||||||
2010
|
13.84
|
.94
|
1.08
|
(.03
|
)
|
—
|
* |
1.99
|
(.81
|
)
|
(.01
|
)
|
(.82
|
)
|
—
|
15.01
|
16.92
|
||||||||||||||||||||
2009
|
13.98
|
.94
|
(.17
|
)
|
(.13
|
)
|
(.02
|
)
|
.62
|
(.71
|
)
|
(.05
|
)
|
(.76
|
)
|
—
|
13.84
|
14.78
|
|||||||||||||||||||
2008
|
14.87
|
.94
|
(.83
|
)
|
(.23
|
)
|
(.02
|
)
|
(.14
|
)
|
(.69
|
)
|
(.06
|
)
|
(.75
|
)
|
—
|
13.98
|
12.46
|
||||||||||||||||||
2007
|
15.06
|
.95
|
(.11
|
)
|
(.25
|
)
|
(.01
|
)
|
.58
|
(.73
|
)
|
(.04
|
)
|
(.77
|
)
|
—
|
14.87
|
13.89
|
(a)
|
The amounts shown are based on Common share equivalents.
|
(b)
|
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 may take 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 Common Share Net Asset Value is the combination of changes in Common share 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.
|
52
|
Nuveen Investments
|
|
Ratios/Supplemental Data
|
||||||||||||||||
Total Returns
|
Ratios to Average Net Assets
Applicable to Common Shares(c)(d)
|
||||||||||||||||
Based
on
Market
Value
|
(b) |
Based
on
Common
Share Net
Asset
Value
|
(b) |
Ending
Net
Assets
Applicable
to Common
Shares (000)
|
Expenses
|
(e) |
Net
Investment
Income
(Loss)
|
Portfolio
Turnover
Rate
|
|||||||||
7.28
|
%
|
4.90
|
%
|
$
|
151,861
|
2.40
|
%**
|
4.39
|
%**
|
7
|
%
|
||||||
13.81
|
16.23
|
148,222
|
2.48
|
5.10
|
9
|
||||||||||||
(7.15
|
)
|
(2.61
|
)
|
134,850
|
1.92
|
** |
5.69
|
** |
10
|
||||||||
20.92
|
14.71
|
143,080
|
1.19
|
6.42
|
6
|
||||||||||||
25.98
|
4.80
|
131,513
|
1.27
|
7.06
|
10
|
||||||||||||
(5.16
|
)
|
(1.04
|
)
|
132,713
|
1.26
|
6.46
|
8
|
||||||||||
(.52
|
)
|
3.82
|
141,238
|
1.24
|
6.24
|
9
|
(c)
|
Ratios do not reflect the effect of dividend payments to Auction Rate Preferred shareholders, where applicable; Net Investment Income (Loss) ratios reflect income earned and expenses incurred on assets attributable to ARPS and/or MTP Shares, where applicable.
|
(d)
|
Ratios do not reflect the effect of custodian fee credits earned on the Fund’s net cash on deposit with the custodian bank, where applicable.
|
(e)
|
The expense ratios reflect, among other things, all interest expense and other costs related to MTP Shares and/or the interest expense deemed to have been paid by the Fund on the floating rate certificates issued by the special purpose trusts for the self-deposited inverse floaters held by the Fund, where applicable, both as described in Footnote 1 – General Information and Significant Accounting Policies, MuniFund Term Preferred Shares and Inverse Floating Rate Securities, respectively, as follows:
|
Texas Quality Income (NTX)
|
||||
Year Ended 2/28–2/29:
|
||||
2013(g)
|
1.28
|
%**
|
||
2012
|
1.37
|
|||
2011(f)
|
.80
|
** | ||
Year Ended 7/31:
|
||||
2010
|
.02
|
|||
2009
|
.01
|
|||
2008
|
.05
|
|||
2007
|
.06
|
(f)
|
For the seven months ended February 28, 2011.
|
(g)
|
For the six months ended August 31, 2012.
|
*
|
Rounds to less than $.01 per share.
|
**
|
Annualized.
|
See accompanying notes to financial statements.
|
||
Nuveen Investments
|
53
|
Financial
|
||
Highlights (Unaudited) (continued)
|
ARPS at the End of Period
|
MTP Shares at the End of Period (h)
|
VMTP Shares at the End of Period
|
||||||||||||||||||||||||||
Aggregate
Amount
Outstanding
(000)
|
Liquidation
Value
Per Share
|
Asset
Coverage
Per Share
|
Aggregate
Amount
Outstanding
(000)
|
Liquidation
Value
Per Share
|
Asset
Coverage
Per Share
|
Aggregate
Amount
Outstanding
(000)
|
Liquidation
Value
Per Share
|
Asset
Coverage
Per Share
|
||||||||||||||||||||
Arizona Premium Income (NAZ)
|
||||||||||||||||||||||||||||
Year Ended 2/28–2/29:
|
||||||||||||||||||||||||||||
2013(g)
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
28,000
|
$
|
100,000
|
$
|
342,915
|
||||||||||
2012
|
—
|
—
|
—
|
—
|
—
|
—
|
28,000
|
100,000
|
336,672
|
|||||||||||||||||||
2011(f)
|
27,875
|
25,000
|
78,144
|
—
|
—
|
—
|
—
|
—
|
—
|
|||||||||||||||||||
Year Ended 7/31:
|
||||||||||||||||||||||||||||
2010
|
27,875
|
25,000
|
81,097
|
—
|
—
|
—
|
—
|
—
|
—
|
|||||||||||||||||||
2009
|
27,875
|
25,000
|
76,798
|
—
|
—
|
—
|
—
|
—
|
—
|
|||||||||||||||||||
2008
|
30,000
|
25,000
|
73,414
|
—
|
—
|
—
|
—
|
—
|
—
|
|||||||||||||||||||
2007
|
30,000
|
25,000
|
77,111
|
—
|
—
|
—
|
—
|
—
|
—
|
|||||||||||||||||||
Arizona Dividend Advantage (NFZ)
|
||||||||||||||||||||||||||||
Year Ended 2/28–2/29:
|
||||||||||||||||||||||||||||
2013(g)
|
—
|
—
|
—
|
11,100
|
10.00
|
31.57
|
—
|
—
|
—
|
|||||||||||||||||||
2012
|
—
|
—
|
—
|
11,100
|
10.00
|
31.04
|
—
|
—
|
—
|
|||||||||||||||||||
2011(f)
|
—
|
—
|
—
|
11,100
|
10.00
|
28.59
|
—
|
—
|
—
|
|||||||||||||||||||
Year Ended 7/31:
|
||||||||||||||||||||||||||||
2010
|
10,600
|
25,000
|
76,850
|
—
|
—
|
—
|
—
|
—
|
—
|
|||||||||||||||||||
2009
|
10,600
|
25,000
|
71,238
|
—
|
—
|
—
|
—
|
—
|
—
|
|||||||||||||||||||
2008
|
12,000
|
25,000
|
67,817
|
—
|
—
|
—
|
—
|
—
|
—
|
|||||||||||||||||||
2007
|
12,000
|
25,000
|
71,748
|
—
|
—
|
—
|
—
|
—
|
—
|
(f)
|
For the seven months ended February 28, 2011.
|
(g)
|
For the six months ended August 31, 2012.
|
(h)
|
The Ending and Average Market Value Per Share for each Series of the Fund’s MTP Shares were as follows:
|
Ending
|
Average
|
|||||||||
Market Value
|
Market Value
|
|||||||||
Series
|
Per Share
|
Per Share
|
||||||||
Arizona Dividend Advantage (NFZ)
|
||||||||||
Year Ended 2/28–2/29:
|
||||||||||
2013(g)
|
2015
|
$
|
10.05
|
$
|
10.05
|
|||||
2012
|
2015
|
10.08
|
9.93
|
|||||||
2011(f)
|
2015
|
9.63
|
9.83
|
^ | ||||||
Year Ended 7/31:
|
||||||||||
2010
|
—
|
—
|
—
|
|||||||
2009
|
—
|
—
|
—
|
|||||||
2008
|
—
|
—
|
—
|
|||||||
2007
|
—
|
—
|
—
|
^
|
For the period October 18, 2010 (first issuance date of shares) through February 28, 2011.
|
54
|
Nuveen Investments
|
ARPS at the End of Period
|
MTP Shares at the End of Period (h)
|
ARPS and
MTP Shares at
the End of Period
|
||||||||||||||||||||
Aggregate
Amount
Outstanding
(000)
|
Liquidation
Value
Per Share
|
Asset
Coverage
Per Share
|
Aggregate
Amount
Outstanding
(000)
|
Liquidation
Value
Per Share
|
Asset
Coverage
Per Share
|
Asset Coverage
Per $1
Liquidation
Preference
|
||||||||||||||||
Arizona Dividend Advantage 2 (NKR)
|
||||||||||||||||||||||
Year Ended 2/28–2/29:
|
||||||||||||||||||||||
2013(g)
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
18,725
|
$
|
10.00
|
$
|
30.49
|
$
|
—
|
||||||||
2012
|
—
|
—
|
—
|
18,725
|
10.00
|
30.05
|
—
|
|||||||||||||||
2011(f)
|
—
|
—
|
—
|
18,725
|
10.00
|
28.08
|
—
|
|||||||||||||||
Year Ended 7/31:
|
||||||||||||||||||||||
2010
|
16,625
|
25,000
|
78,734
|
—
|
—
|
—
|
—
|
|||||||||||||||
2009
|
16,625
|
25,000
|
74,367
|
—
|
—
|
—
|
—
|
|||||||||||||||
2008
|
18,500
|
25,000
|
70,015
|
—
|
—
|
—
|
—
|
|||||||||||||||
2007
|
18,500
|
25,000
|
73,616
|
—
|
—
|
—
|
—
|
|||||||||||||||
Arizona Dividend Advantage 3 (NXE)
|
||||||||||||||||||||||
Year Ended 2/28–2/29:
|
||||||||||||||||||||||
2013(g)
|
—
|
—
|
—
|
20,846
|
10.00
|
32.41
|
—
|
|||||||||||||||
2012
|
—
|
—
|
—
|
20,846
|
10.00
|
32.02
|
—
|
|||||||||||||||
2011(f)
|
18,400
|
25,000
|
52,544
|
19,046
|
10.00
|
21.02
|
2.10
|
|||||||||||||||
Year Ended 7/31:
|
||||||||||||||||||||||
2010
|
18,400
|
25,000
|
83,805
|
—
|
—
|
—
|
—
|
|||||||||||||||
2009
|
18,400
|
25,000
|
78,164
|
—
|
—
|
—
|
—
|
|||||||||||||||
2008
|
22,000
|
25,000
|
70,546
|
—
|
—
|
—
|
—
|
|||||||||||||||
2007
|
22,000
|
25,000
|
74,490
|
—
|
—
|
—
|
—
|
(f)
|
For the seven months ended February 28, 2011.
|
(g)
|
For the six months ended August 31, 2012.
|
(h)
|
The Ending and Average Market Value Per Share for each Series of the Fund’s MTP Shares were as follows:
|
Ending
|
Average
|
|||||||||
Market Value
|
Market Value
|
|||||||||
Series
|
Per Share
|
Per Share
|
||||||||
Arizona Dividend Advantage 2 (NKR)
|
||||||||||
Year Ended 2/28–2/29:
|
||||||||||
2013(g)
|
2015
|
$
|
10.07
|
$
|
10.05
|
|||||
2012
|
2015
|
10.05
|
9.89
|
|||||||
2011(f)
|
2015
|
9.58
|
9.71
|
^ | ||||||
Year Ended 7/31:
|
||||||||||
2010
|
—
|
—
|
—
|
|||||||
2009
|
—
|
—
|
—
|
|||||||
2008
|
—
|
—
|
—
|
|||||||
2007
|
—
|
—
|
—
|
|||||||
Arizona Dividend Advantage 3 (NXE)
|
||||||||||
Year Ended 2/28–2/29:
|
||||||||||
2013(g)
|
2016
|
10.21
|
10.17
|
|||||||
2012
|
2016
|
10.17
|
10.11
|
|||||||
2011(f)
|
2016
|
9.97
|
9.96
|
^^ | ||||||
Year Ended 7/31:
|
||||||||||
2010
|
—
|
—
|
—
|
|||||||
2009
|
—
|
—
|
—
|
|||||||
2008
|
—
|
—
|
—
|
|||||||
2007
|
—
|
—
|
—
|
^
|
For the period October 18, 2010 (first issuance date of shares) through February 28, 2011.
|
^^
|
As of February 28, 2011 (first issuance date of shares).
|
See accompanying notes to financial statements.
|
||
Nuveen Investments
|
55
|
Financial
|
||
Highlights (Unaudited) (continued)
|
ARPS at the End of Period
|
MTP Shares at the End of Period (h)
|
||||||||||||||||||
Aggregate
Amount
Outstanding
(000)
|
Liquidation
Value
Per Share
|
Asset
Coverage
Per Share
|
Aggregate
Amount
Outstanding
(000)
|
Liquidation
Value
Per Share
|
Asset
Coverage
Per Share
|
||||||||||||||
Texas Quality Income (NTX)
|
|||||||||||||||||||
Year Ended 2/28–2/29:
|
|||||||||||||||||||
2013(g)
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
70,920
|
$
|
10.00
|
$
|
31.41
|
|||||||
2012
|
—
|
—
|
—
|
70,920
|
10.00
|
30.90
|
|||||||||||||
2011(f)
|
—
|
—
|
—
|
70,920
|
10.00
|
29.01
|
|||||||||||||
Year Ended 7/31:
|
|||||||||||||||||||
2010
|
65,050
|
25,000
|
79,988
|
—
|
—
|
—
|
|||||||||||||
2009
|
65,050
|
25,000
|
75,543
|
—
|
—
|
—
|
|||||||||||||
2008
|
69,000
|
25,000
|
73,084
|
—
|
—
|
—
|
|||||||||||||
2007
|
69,000
|
25,000
|
76,173
|
—
|
—
|
—
|
(f)
|
For the seven months ended February 28, 2011.
|
(g)
|
For the six months ended August 31, 2012.
|
(h)
|
The Ending and Average Market Value Per Share for each Series of the Fund’s MTP Shares were as follows:
|
Ending
|
Average
|
|||||||||
Market Value
|
Market Value
|
|||||||||
Series
|
Per Share
|
Per Share
|
||||||||
Texas Quality Income (NTX)
|
||||||||||
Year Ended 2/28–2/29:
|
||||||||||
2013(g)
|
2015
|
$
|
10.09
|
$
|
10.07
|
|||||
2012
|
2015
|
10.05
|
9.97
|
|||||||
2011(f)
|
2015
|
9.85
|
9.86
|
^ | ||||||
Year Ended 7/31:
|
||||||||||
2010
|
—
|
—
|
—
|
|||||||
2009
|
—
|
—
|
—
|
|||||||
2008
|
—
|
—
|
—
|
|||||||
2007
|
—
|
—
|
—
|
^
|
For the period November 2, 2010 (first issuance date of shares) through February 28, 2011.
|
See accompanying notes to financial statements.
|
||
56
|
Nuveen Investments
|
Notes to
|
||
Financial Statements (Unaudited)
|
•
|
Lower Fund expense ratios (excluding the effects of leverage), as fixed costs are spread over a larger asset base;
|
|
•
|
Enhanced secondary market trading, as larger Funds potentially make it easier for investors to buy and sell Fund shares;
|
|
•
|
Lower per share trading costs through reduced bid/ask spreads due to a larger common share float; and
|
|
•
|
Increased Fund flexibility in managing the structure and cost of leverage over time.
|
Acquired Funds
|
Acquiring Fund
|
||
Arizona Dividend Advantage (NFZ)
|
Arizona Premium Income (NAZ)
|
||
Arizona Dividend Advantage 2 (NKR)
|
|||
Arizona Dividend Advantage 3 (NXE)
|
Nuveen Investments
|
57
|
Notes to
|
||
Financial Statements (Unaudited) (continued)
|
58
|
Nuveen Investments
|
Arizona Dividend Advantage (NFZ)
|
Arizona Dividend Advantage 2 (NKR)
|
||||||||||||||||||
Shares
Outstanding
|
Annual
Interest Rate
|
NYSE
Ticker
|
Shares
Outstanding
|
Annual
Interest Rate
|
NYSE
Ticker
|
||||||||||||||
Series 2015
|
1,110,000
|
2.05
|
%
|
NFZ Pr C
|
1,872,500
|
2.05
|
%
|
NKR Pr C
|
Arizona Dividend Advantage 3 (NXE)
|
||||||||||
Shares
Outstanding
|
Annual
Interest Rate
|
NYSE
Ticker
|
||||||||
Series 2016
|
2,084,600
|
2.90
|
%
|
NXE Pr C
|
Texas Quality Income (NTX)
|
||||||||||
Shares
Outstanding
|
Annual
Interest Rate
|
NYSE
Ticker
|
||||||||
Series 2015
|
7,092,000
|
2.30
|
%
|
NTX Pr C
|
Arizona
Dividend
Advantage
|
Arizona
Dividend
Advantage 2
|
Arizona
Dividend
Advantage 3
|
Texas
Quality
Income
|
||||||||||
(NFZ
|
)
|
(NKR
|
)
|
(NXE
|
)
|
(NTX
|
)
|
||||||
Series 2015
|
Series 2015
|
Series 2016
|
Series 2015
|
||||||||||
Term Redemption Date
|
November 1, 2015
|
November 1, 2015
|
March 1, 2016
|
December 1, 2015
|
|||||||||
Optional Redemption Date
|
November 1, 2011
|
November 1, 2011
|
March 1, 2012
|
December 1, 2011
|
|||||||||
Premium Expiration Date
|
October 31, 2012
|
October 31, 2012
|
February 28, 2013
|
November 30, 2012
|
Arizona
Dividend
Advantage
|
Arizona
Dividend
Advantage 2
|
Arizona
Dividend
Advantage 3
|
Texas
Quality
Income
|
||||||||||
(NFZ
|
)
|
(NKR
|
)
|
(NXE
|
)
|
(NTX
|
)
|
||||||
Average liquidation value of MTP Shares outstanding
|
$
|
11,100,000
|
$
|
18,725,000
|
$
|
20,846,000
|
$
|
70,920,000
|
Nuveen Investments
|
59
|
Notes to
|
||
Financial Statements (Unaudited) (continued)
|
Arizona
Premium
Income
|
||||
(NAZ
|
)
|
|||
Series 2014
|
$
|
28,000,000
|
Arizona
Premium
Income
|
||||
(NAZ
|
)
|
|||
Term Redemption Date
|
August 1, 2014
|
|||
Optional Redemption Date
|
August 1, 2012
|
|||
Premium Expiration Date
|
July 31, 2012
|
Arizona
Premium
Income
|
||||
(NAZ
|
)
|
|||
Average liquidation value of VMTP Shares outstanding
|
$
|
28,000,000
|
||
Annualized dividend rate
|
1.22
|
%
|
60
|
Nuveen Investments
|
Arizona
Premium
Income
|
Arizona
Dividend
Advantage
|
Arizona
Dividend
Advantage 2
|
Arizona
Dividend
Advantage 3
|
Texas
Quality
Income
|
||||||||||||
(NAZ
|
)
|
(NFZ
|
)
|
(NKR
|
)
|
(NXE
|
)
|
(NTX
|
)
|
|||||||
Maximum exposure to Recourse Trusts
|
$
|
2,145,000
|
$
|
1,680,000
|
$
|
1,350,000
|
$
|
2,325,000
|
$
|
—
|
Texas
Quality
Income
|
||||
(NTX
|
)
|
|||
Average floating rate obligations outstanding
|
$
|
3,960,000
|
||
Average annual interest rate and fees
|
0.41
|
%
|
Nuveen Investments
|
61
|
Notes to
|
||
Financial Statements (Unaudited) (continued)
|
Arizona
Dividend
Advantage
|
Arizona
Dividend
Advantage 2
|
Arizona
Dividend
Advantage 3
|
Texas
Quality
Income
|
||||||||||
(NFZ
|
)
|
(NKR
|
)
|
(NXE
|
)
|
(NTX
|
)
|
||||||
MTP Shares offering costs
|
$
|
491,500
|
$
|
588,375
|
$
|
672,690
|
$
|
1,366,300
|
Arizona
Premium
Income
|
||||
(NAZ
|
)
|
|||
VMTP Shares offering costs
|
$
|
100,000
|
62
|
Nuveen Investments
|
Level 1 –
|
Inputs are unadjusted and prices are determined using quoted prices in active markets for identical securities.
|
|
Level 2 –
|
Prices are determined using other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.).
|
|
Level 3 –
|
Prices are determined using significant unobservable inputs (including management’s assumptions in determining the fair value of investments).
|
Arizona Premium Income (NAZ)
|
Level 1
|
Level 2
|
Level 3
|
Total
|
|||||||||
Long-Term Investments:
|
|||||||||||||
Municipal Bonds
|
$
|
—
|
$
|
93,002,438
|
$
|
1,951,904
|
$
|
94,954,342
|
|||||
Arizona Dividend Advantage (NFZ)
|
Level 1
|
Level 2
|
Level 3
|
Total
|
|||||||||
Long-Term Investments:
|
|||||||||||||
Municipal Bonds
|
$
|
—
|
$
|
34,365,393
|
$
|
218,613
|
$
|
34,584,006
|
|||||
Arizona Dividend Advantage 2 (NKR)
|
Level 1
|
Level 2
|
Level 3
|
Total
|
|||||||||
Long-Term Investments:
|
|||||||||||||
Municipal Bonds
|
$
|
—
|
$
|
53,981,764
|
$
|
882,261
|
$
|
54,864,025
|
|||||
Arizona Dividend Advantage 3 (NXE)
|
Level 1
|
Level 2
|
Level 3
|
Total
|
|||||||||
Long-Term Investments:
|
|||||||||||||
Municipal Bonds
|
$
|
—
|
$
|
65,840,792
|
$
|
538,725
|
$
|
66,379,517
|
|||||
Texas Quality Income (NTX)
|
Level 1
|
Level 2
|
Level 3
|
Total
|
|||||||||
Long-Term Investments:
|
|||||||||||||
Municipal Bonds
|
$
|
—
|
$
|
223,619,909
|
$
|
—
|
$
|
223,619,909
|
Arizona
Premium
Income
|
Arizona
Dividend
Advantage
|
Arizona
Dividend
Advantage 2
|
Arizona
Dividend
Advantage 3
|
||||||||||
(NAZ
|
)
|
(NFZ
|
)
|
(NKR
|
)
|
(NXE
|
)
|
||||||
Level 3
|
Level 3
|
Level 3
|
Level 3
|
||||||||||
Municipal
|
Municipal
|
Municipal
|
Municipal
|
||||||||||
Bonds
|
Bonds
|
Bonds
|
Bonds
|
||||||||||
Balance at the beginning of period
|
$
|
1,959,607
|
$
|
219,476
|
$
|
885,742
|
$
|
540,851
|
|||||
Gains (losses):
|
|||||||||||||
Net realized gains (losses)
|
—
|
—
|
—
|
—
|
|||||||||
Net change in unrealized appreciation (depreciation)
|
(7,703
|
)
|
(863
|
)
|
(3,481
|
)
|
(2,126
|
)
|
|||||
Purchases at cost
|
—
|
—
|
—
|
—
|
|||||||||
Sales at proceeds
|
—
|
—
|
—
|
—
|
|||||||||
Net discounts (premiums)
|
—
|
—
|
—
|
—
|
|||||||||
Transfers in to
|
—
|
—
|
—
|
—
|
|||||||||
Transfers out of
|
—
|
—
|
—
|
—
|
|||||||||
Balance at the end of period
|
$
|
1,951,904
|
$
|
218,613
|
$
|
882,261
|
$
|
538,725
|
|||||
Change in net unrealized appreciation (depreciation) during the period of Level 3 securities held as of August 31, 2012
|
$
|
(7,703
|
)
|
$
|
(863
|
)
|
$
|
(3,481
|
)
|
$
|
(2,126
|
)
|
Nuveen Investments
|
63
|
Notes to
|
||
Financial Statements (Unaudited) (continued)
|
Market
Value
|
Techniques
|
Unobservable
Inputs
|
Range
|
||||||
Arizona Premium Income (NAZ)
|
|||||||||
Municipal Bonds
|
$
|
1,951,904
|
Discounted Cash Flow
|
MMD Spread
|
0-6%
|
||||
AAA - Rated MMD
|
|||||||||
Liquidity Discount
|
0-5%
|
||||||||
Arizona Dividend Advantage (NFZ)
|
|||||||||
Municipal Bonds
|
$
|
218,613
|
Discounted Cash Flow
|
MMD Spread
|
0-6%
|
||||
AAA - Rated MMD
|
|||||||||
Liquidity Discount
|
0-5%
|
||||||||
Arizona Dividend Advantage 2 (NKR)
|
|||||||||
Municipal Bonds
|
$
|
882,261
|
Discounted Cash Flow
|
MMD Spread
|
0-6%
|
||||
AAA - Rated MMD
|
|||||||||
Liquidity Discount
|
0-5%
|
||||||||
Arizona Dividend Advantage 3 (NXE)
|
|||||||||
Municipal Bonds
|
$
|
538,725
|
Discounted Cash Flow
|
MMD Spread
|
0-6%
|
||||
AAA - Rated MMD
|
|||||||||
Liquidity Discount
|
0-5%
|
64
|
Nuveen Investments
|
Arizona Premium
Income (NAZ)
|
Arizona Dividend
Advantage 2 (NKR)
|
||||||||||||
Six
Months
Ended
8/31/12
|
Year
Ended
2/29/12
|
Six
Months
Ended
8/31/12
|
Year
Ended
2/29/12
|
||||||||||
Common shares issued to shareholders due to reinvestment of distributions
|
1,983
|
—
|
179
|
—
|
Texas Quality
Income (NTX)
|
|||||||
Six
Months
Ended
8/31/12
|
Year
Ended
2/29/12
|
||||||
Common shares issued to shareholders due to reinvestment of distributions
|
15,081
|
36,629
|
Arizona Premium Income (NAZ)
|
|||||||||||||
Six Months
Ended
8/31/12
|
Year
Ended
2/29/12
|
||||||||||||
Shares
|
Amount |
Shares
|
Amount | ||||||||||
ARPS redeemed and/or noticed for redemption:
|
|||||||||||||
Series TH
|
N/A
|
N/A
|
1,115
|
$
|
27,875,000
|
Arizona Dividend Advantage 3 (NXE)
|
|||||||||||||
Six Months
Ended
8/31/12
|
Year
Ended
2/29/12
|
||||||||||||
Shares
|
Amount |
Shares
|
Amount | ||||||||||
MTP Shares issued:
|
|||||||||||||
Series 2016
|
—
|
$
|
—
|
180,000
|
$
|
1,800,000
|
Arizona Premium Income (NAZ)
|
|||||||||||||
Six Months
Ended
8/31/12
|
Year
Ended
2/29/12
|
||||||||||||
Shares
|
Amount |
Shares
|
Amount | ||||||||||
VMTP Shares issued:
|
|||||||||||||
Series 2014
|
—
|
$
|
—
|
280
|
$
|
28,000,000
|
Nuveen Investments
|
65
|
Notes to
|
||
Financial Statements (Unaudited) (continued)
|
Arizona
Premium
Income
|
Arizona
Dividend
Advantage
|
Arizona
Dividend
Advantage 2
|
Arizona
Dividend
Advantage 3
|
Texas
Quality
Income
|
||||||||||||
(NAZ
|
)
|
(NFZ
|
)
|
(NKR
|
)
|
(NXE
|
)
|
(NTX
|
)
|
|||||||
Purchases
|
$
|
7,185,227
|
$
|
3,636,399
|
$
|
4,399,126
|
$
|
3,992,272
|
$
|
16,366,610
|
||||||
Sales and maturities
|
7,347,973
|
3,753,677
|
6,019,950
|
4,593,776
|
15,032,759
|
Arizona
Premium
Income
|
Arizona
Dividend
Advantage
|
Arizona
Dividend
Advantage 2
|
Arizona
Dividend
Advantage 3
|
Texas
Quality
Income
|
||||||||||||
(NAZ
|
)
|
(NFZ
|
)
|
(NKR
|
)
|
(NXE
|
)
|
(NTX
|
)
|
|||||||
Cost of investments
|
$
|
87,571,596
|
$
|
31,790,742
|
$
|
50,750,924
|
$
|
61,738,625
|
$
|
202,692,729
|
||||||
Gross unrealized:
|
||||||||||||||||
Appreciation
|
$
|
10,295,951
|
$
|
2,992,358
|
$
|
4,599,685
|
$
|
5,065,605
|
$
|
20,276,618
|
||||||
Depreciation
|
(2,913,205
|
)
|
(199,094
|
)
|
(486,584
|
)
|
(424,713
|
)
|
(3,309,454
|
)
|
||||||
Net unrealized appreciation (depreciation) of investments
|
$
|
7,382,746
|
$
|
2,793,264
|
$
|
4,113,101
|
$
|
4,640,892
|
$
|
16,967,164
|
Arizona
Premium
Income
|
Arizona
Dividend
Advantage
|
Arizona
Dividend
Advantage 2
|
Arizona
Dividend
Advantage 3
|
Texas
Quality
Income
|
||||||||||||
(NAZ
|
)
|
(NFZ
|
)
|
(NKR
|
)
|
(NXE
|
)
|
(NTX
|
)
|
|||||||
Paid-in surplus
|
$
|
(1,463,538
|
)
|
$
|
(96,700
|
)
|
$
|
(120,807
|
)
|
$
|
(133,481
|
)
|
$
|
(256,188
|
)
|
|
Undistributed (Over-distribution of) net investment income
|
19,513
|
96,700
|
119,157
|
131,166
|
263,630
|
|||||||||||
Accumulated net realized gain (loss)
|
1,444,025
|
—
|
1,650
|
2,315
|
(7,442
|
)
|
Arizona
Premium
Income
|
Arizona
Dividend
Advantage
|
Arizona
Dividend
Advantage 2
|
Arizona
Dividend
Advantage 3
|
Texas
Quality
Income
|
||||||||||||
(NAZ
|
)
|
(NFZ
|
)
|
(NKR
|
)
|
(NXE
|
)
|
(NTX
|
)
|
|||||||
Undistributed net tax-exempt income *
|
$
|
1,409,529
|
$
|
279,569
|
$
|
478,398
|
$
|
564,544
|
$
|
1,813,987
|
||||||
Undistributed net ordinary income **
|
—
|
686
|
—
|
—
|
24,171
|
|||||||||||
Undistributed net long-term capital gains
|
—
|
—
|
—
|
—
|
—
|
*
|
Undistributed net tax-exempt income (on a tax basis) has not been reduced for the dividend declared on February 1, 2012, paid on March 1, 2012.
|
**
|
Net ordinary income consists of taxable market discount income and net short-term capital gains, if any.
|
66
|
Nuveen Investments
|
Arizona
Premium
Income
|
Arizona
Dividend
Advantage
|
Arizona
Dividend
Advantage 2
|
Arizona
Dividend
Advantage 3
|
Texas
Quality
Income
|
||||||||||||
(NAZ
|
)
|
(NFZ
|
)
|
(NKR
|
)
|
(NXE
|
)
|
(NTX
|
)
|
|||||||
Distributions from net tax-exempt income
|
$
|
3,597,007
|
$
|
1,425,938
|
$
|
2,345,251
|
$
|
2,882,011
|
$
|
9,840,206
|
||||||
Distributions from net ordinary income**
|
—
|
—
|
—
|
—
|
351
|
|||||||||||
Distributions from net long-term capital gains
|
—
|
—
|
—
|
—
|
247,718
|
** | Net ordinary income consists of taxable market discount income and net short-term capital gains, if any. |
Arizona
Premium
Income
|
Arizona
Dividend
Advantage
|
Arizona
Dividend
Advantage 2
|
Arizona
Dividend
Advantage 3
|
||||||||||
(NAZ
|
)
|
(NFZ
|
)
|
(NKR
|
)
|
(NXE
|
)
|
||||||
Expiration:
|
|||||||||||||
February 28, 2014
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
208,948
|
|||||
February 29, 2016
|
562,384
|
122,620
|
—
|
363,937
|
|||||||||
February 28, 2017
|
323,876
|
210,308
|
68,614
|
258,905
|
|||||||||
February 28, 2018
|
43,720
|
318,004
|
223,857
|
108,356
|
|||||||||
Total
|
$
|
929,980
|
$
|
650,932
|
$
|
292,471
|
$
|
940,146
|
Arizona
Premium
Income
|
Arizona
Dividend
Advantage
|
Arizona
Dividend
Advantage 2
|
Arizona
Dividend
Advantage 3
|
||||||||||
(NAZ
|
)
|
(NFZ
|
)
|
(NKR
|
)
|
(NXE
|
)
|
||||||
Utilized capital loss carryforwards
|
$
|
109,799
|
$
|
53,319
|
$
|
308,747
|
$
|
138,567
|
Texas
|
||||
Quality
|
||||
Income
|
||||
(NTX
|
)
|
|||
Post-October capital losses
|
$
|
1,722,730
|
||
Late-year ordinary losses
|
—
|
Nuveen Investments
|
67
|
Notes to
|
||
Financial Statements (Unaudited) (continued)
|
Arizona Premium Income (NAZ)
|
||||
Texas Quality Income (NTX)
|
||||
Average Daily Managed Assets*
|
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 managed assets over $5 billion
|
.3750
|
Arizona Dividend Advantage (NFZ)
|
||||
Arizona Dividend Advantage 2 (NKR)
|
||||
Arizona Dividend Advantage 3 (NXE)
|
||||
Average Daily Managed Assets*
|
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 managed assets over $2 billion
|
.3750
|
Complex-Level Managed Asset Breakpoint Level*
|
Effective Rate 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
|
*
|
For the fund-level and complex-level fees, managed assets include closed-end fund assets managed by the Adviser that are attributable to financial leverage. For these purposes, financial leverage includes the funds’ use of preferred stock and borrowings and certain 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 a TOB trust that has been effectively financed by the trust’s issuance of floating rate securities, subject to an agreement by the Adviser as to certain funds to limit the amount of such assets for determining managed assets in certain circumstances. The complex-level fee is calculated based upon the aggregate daily managed assets of all Nuveen Funds that constitute “eligible assets.” Eligible assets do not include assets attributable to investments in other Nuveen Funds and assets in excess of $2 billion added to the Nuveen Fund complex in connection with the Adviser’s assumption of the management of the former First American Funds effective January 1, 2011. As of August 31, 2012, the complex-level fee rate for these Funds was .1702%.
|
68
|
Nuveen Investments
|
Year Ending
|
Year Ending
|
|||
March 31,
|
March 31,
|
|||
2002*
|
.30%
|
2008
|
.25
|
%
|
2003
|
.30
|
2009
|
.20
|
|
2004
|
.30
|
2010
|
.15
|
|
2005
|
.30
|
2011
|
.10
|
|
2006
|
.30
|
2012
|
.05
|
|
2007
|
.30
|
*
|
From the commencement of operations.
|
Nuveen Investments
|
69
|
70
|
Nuveen Investments
|
Nuveen Investments
|
71
|
72
|
Nuveen Investments
|
Nuveen Investments
|
73
|
74
|
Nuveen Investments
|
C.
|
Fees, Expenses and Profitability
|
1. Fees and Expenses
The Board evaluated the management fees and expenses of each Fund reviewing, among other things, such Fund’s gross management fees, net management fees and net expense ratios in absolute terms as well as compared to the fee and expenses of a comparable universe of funds provided by an independent fund data provider (the “Peer Universe”) and any expense limitations.
The Independent Board Members further reviewed the methodology regarding the construction of the applicable Peer Universe. In reviewing the comparisons of fee and expense information, the Independent Board Members took into account that in certain instances various factors such as: the limited size and particular composition of the Peer Universe (including the inclusion of other Nuveen funds in the peer set); expense anomalies; changes in the funds comprising the Peer Universe from year to year; levels of reimbursement or fee waivers; the timing of information used; the differences in the type and use of leverage; and differences in the states reflected in the Peer Universe may impact the comparative data, thereby limiting somewhat the ability to make a meaningful comparison with peers.
In reviewing the fee schedule for a Fund, the Independent Board Members also considered the fund-level and complex-wide breakpoint schedules (described in further detail below) and any fee waivers and reimbursements provided by Nuveen (applicable, in particular, for certain closed-end funds launched since 1999). In reviewing fees and expenses (excluding leverage costs and leveraged assets), the Board considered the expenses and fees to be higher if they were over 10 basis points higher, slightly higher if they were approximately 6 to 10 basis points higher, in line if they were within approximately 5 basis points higher than the peer average and below if they were below the peer average of the Peer Universe. In reviewing the reports, the Board noted that the overwhelming majority of the Nuveen funds were at, close to or below their peer set average based on the net total expense ratio.
The Independent Board Members noted that the Nuveen Arizona Dividend Advantage Municipal Fund 3 had a net expense ratio that was slightly higher than its peer average, but a net management fee below its peer average, while the other Funds each had net management fees and net expense ratios (including fee waivers and expense reimbursements) below or in line with their peer averages.
Based on their review of the fee and expense information provided, the Independent Board Members determined that each Fund’s management fees were reasonable in light of the nature, extent and quality of services provided to the Fund.
|
Nuveen Investments
|
75
|
2. Comparisons with the Fees of Other Clients
The Independent Board Members further reviewed information regarding the nature of services and range of fees offered by the Advisor to other clients, including municipal separately managed accounts and passively managed exchange traded funds (ETFs) sub-advised by the Advisor. In evaluating the comparisons of fees, the Independent Board Members noted that the fee rates charged to the Funds and 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 Funds. Accordingly, the Independent Board Members considered the differences in the product types, including, but not limited to, the services provided, the structure and operations, product distribution and costs thereof, portfolio investment policies, investor profiles, account sizes and regulatory requirements. The Independent Board Members noted, in particular, that the range of services provided to the Funds (as discussed above) is much more extensive than that provided to separately managed accounts. Given the inherent differences in the various products, particularly the extensive services provided to the Funds, the Independent Board Members believe such facts justify the different levels of fees.
In considering the fees of the Sub-Advisor, the Independent Board Members also considered the pricing schedule or fees that the Sub-Advisor charges for similar investment management services for other Nuveen funds, funds of other sponsors (if any), and other clients (such as retail and/or institutional managed accounts).
3. Profitability of Fund Advisers
In conjunction with its review of fees, the Independent Board Members also considered the profitability of Nuveen for its advisory activities and its financial condition. The Independent Board Members reviewed the revenues and expenses of Nuveen’s advisory activities for the last two calendar years, the allocation methodology used in preparing the profitability data and an analysis of the key drivers behind the changes in revenues and expenses that impacted profitability in 2011. The Independent Board Members noted this information supplemented the profitability information requested and received during the year to help keep them apprised of developments affecting profitability (such as changes in fee waivers and expense reimbursement commitments). In this regard, the Independent Board Members noted that they have an Independent Board Member serve as a point person to review and keep them apprised of changes to the profitability analysis and/or methodologies during the year. The Independent Board Members also considered Nuveen’s revenues for advisory activities, expenses, and profit margin compared to that of various unaffiliated management firms with comparable assets under management (based on asset size and asset composition).
|
76
|
Nuveen Investments
|
In reviewing profitability, the Independent Board Members recognized the Advisor’s continued investment in its business to enhance its services, including capital improvements to investment technology, updated compliance systems, and additional personnel in compliance, risk management, and product development as well as its ability to allocate resources to various areas of the Advisor as the need arises. In addition, in evaluating profitability, the Independent Board Members also recognized the subjective nature of determining profitability which may be affected by numerous factors including the allocation of expenses. Further, the Independent Board Members 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. Based on their review, the Independent Board Members concluded that the Advisor’s level of profitability for its advisory activities was reasonable in light of the services provided.
With respect to sub-advisers affiliated with Nuveen, including the Sub-Advisor, the Independent Board Members reviewed the sub-adviser’s revenues, expenses and profitability margins (pre- and post-tax) for its advisory activities and the methodology used for allocating expenses among the internal sub-advisers. Based on their review, the Independent Board Members were satisfied that the Sub-Advisor’s level of profitability was reasonable in light of the services provided.
In evaluating the reasonableness of the compensation, the Independent Board Members also considered other amounts paid to a Fund Adviser by the Funds as well as any indirect benefits (such as soft dollar arrangements, if any) the Fund Adviser and its affiliates receive, or are expected to receive, that are directly attributable to the management of the Funds, if any. See Section E below for additional information on indirect benefits a Fund Adviser may receive as a result of its relationship with the Funds. Based on their review of the overall fee arrangements of each Fund, the Independent Board Members determined that the advisory fees and expenses of the respective Fund were reasonable.
|
|
D.
|
Economies of Scale and Whether Fee Levels Reflect These Economies of Scale
|
Nuveen Investments
|
77
|
E. Indirect Benefits |
78
|
Nuveen Investments
|
F. Other Considerations |
Nuveen Investments
|
79
|
80
|
Nuveen Investments
|
Nuveen Investments
|
81
|
■
|
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.
|
■
|
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.
|
■
|
Average Effective Maturity: The market-value-weighted average of the effective maturity dates of the individual securities including cash. In the case of a bond that has been advance-refunded to a call date, the effective maturity is the date on which the bond is scheduled to be redeemed using the proceeds of an escrow account. In most other cases the effective maturity is the stated maturity date of the security.
|
■
|
Effective Leverage: Effective leverage is a Fund’s effective economic leverage, and includes both regulatory leverage (see below) and the leverage effects of certain derivative investments in the Fund’s portfolio. Currently, the leverage effects of Tender Option Bond (TOB) inverse floater holdings are included in effective leverage values, in addition to any regulatory leverage.
|
■
|
Inverse Floating Rate Securities: Inverse floating rate securities, also known as inverse floaters or tender option bonds (TOBs), 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.
|
82
|
Nuveen Investments
|
■
|
Leverage: Using borrowed money to invest in securities or other assets, seeking to increase the return of an investment or portfolio.
|
■
|
Leverage-Adjusted 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. Leverage-adjusted duration takes into account the leveraging process for a Fund and therefore is longer than the duration of the Fund’s portfolio of bonds.
|
■
|
Lipper Other States Municipal Debt Funds Classification Average: Calculated using the returns of all closed-end funds in this category. Lipper returns account for the effects of management fees and assume reinvestment of distributions, but do not reflect any applicable sales charges.
|
■
|
Market Yield (also known as Dividend Yield or Current Yield): An investment’s current annualized dividend divided by its current market price.
|
■
|
Net Asset Value (NAV): The net market value of all securities held in a portfolio.
|
■
|
Net Asset Value (NAV) Per Share: The market value of one share of a mutual fund or closed-end fund. For a Fund, the NAV is calculated daily by taking the Fund’s total assets (securities, cash, and accrued earnings), subtracting the Fund’s liabilities, and dividing by the number of shares outstanding.
|
■
|
Pre-Refunding: Pre-Refunding, also known as advanced refundings or refinancings, is a procedure used by state and local governments to refinance municipal bonds to lower interest expenses. The issuer sells new bonds with a lower yield and uses the proceeds to buy U.S. Treasury securities, the interest from which is used to make payments on the higher-yielding bonds. Because of this collateral, pre-refunding generally raises a bond’s credit rating and thus its value.
|
■
|
Regulatory Leverage: Regulatory leverage consists of preferred shares issued by or borrowings of a Fund. Both of these are part of a Fund’s capital structure. Regulatory leverage is sometimes referred to as “’40 Act Leverage” and is subject to asset coverage limits set in the Investment Company Act of 1940.
|
■
|
S&P Arizona and Texas Municipal Bond Indexes: An unleveraged, market value-weighted indexes designed to measure the performance of the tax-exempt, investment-grade municipal bond markets in Arizona and Texas, respectively. Index returns assume reinvestment of distributions, but do not reflect any applicable sales charges or management fees.
|
■
|
S&P Municipal Bond Index: An unleveraged, market value-weighted index designed to measure the performance of the tax-exempt, investment-grade U.S. municipal bond market. Index returns assume reinvestment of distributions, but do not reflect any applicable sales charges or management fees.
|
■
|
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.
|
Nuveen Investments
|
83
|
■
|
Zero Coupon Bond: A zero coupon bond does not pay a regular interest coupon to its holders during the life of the bond. 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.
|
84
|
Nuveen Investments
|
Nuveen Investments
|
85
|
86
|
Nuveen Investments
|
Common Shares
|
|
Fund
|
Repurchased
|
NAZ
|
—
|
NFZ
|
—
|
NKR
|
—
|
NXE
|
—
|
NTX
|
—
|
Nuveen Investments
|
87
|
(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.
|
(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.
|