UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number 811-21449
---------------------
Nuveen Municipal High Income Opportunity Fund
------------------------------------------------------------------------------
(Exact name of registrant as specified in charter)
Nuveen Investments
333 West Wacker Drive
Chicago, IL 60606
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(Address of principal executive offices) (Zip code)
Kevin J. McCarthy
Nuveen Investments
333 West Wacker Drive
Chicago, IL 60606
------------------------------------------------------------------------------
(Name and address of agent for service)
Registrant's telephone number, including area code: (312) 917-7700
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Date of fiscal year end: October 31
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Date of reporting period: April 30, 2007
------------------
Form N-CSR is to be used by management investment companies to file reports with
the Commission not later than 10 days after the transmission to stockholders of
any report that is required to be transmitted to stockholders under Rule 30e-1
under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may
use the information provided on Form N-CSR in its regulatory, disclosure review,
inspection, and policymaking roles.
A registrant is required to disclose the information specified by Form N-CSR,
and the Commission will make this information public. A registrant is not
required to respond to the collection of information contained in Form N-CSR
unless the Form displays a currently valid Office of Management and Budget
("OMB") control number. Please direct comments concerning the accuracy of the
information collection burden estimate and any suggestions for reducing the
burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW,
Washington, DC 20549-0609. The OMB has reviewed this collection of information
under the clearance requirements of 44 U.S.C. ss. 3507.
ITEM 1. REPORTS TO STOCKHOLDERS.
--------------------------------
SEMIANNUAL REPORT April 30, 2007
--------------------------------
Nuveen Investments
Municipal Closed-End Funds
NUVEEN INVESTMENT
QUALITY MUNICIPAL
FUND, INC.
NQM
NUVEEN SELECT
QUALITY MUNICIPAL
FUND, INC.
NQS
NUVEEN QUALITY
INCOME MUNICIPAL Photo of: Older Couple
FUND, INC.
NQU
NUVEEN PREMIER
MUNICIPAL INCOME
FUND, INC.
NPF
NUVEEN MUNICIPAL
HIGH INCOME
OPPORTUNITY FUND
NMZ
Photo of: Young Girl
DEPENDABLE,
TAX-FREE INCOME BECAUSE
IT'S NOT WHAT YOU EARN,
IT'S WHAT YOU KEEP.(R)
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NUVEEN
INVESTMENTS
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NUVEEN
INVESTMENTS
Chairman's
LETTER TO SHAREHOLDERS
Photo of: Timothy R. Schwertfeger
Timothy R. Schwertfeger
Chairman of the Board
Once again, I am pleased to report that over the six-month period covered
by this report your Fund continued to provide you with attractive monthly
tax-free income. For more details about the management strategy and
performance of your Fund, please read the Portfolio Managers' Comments,
the Dividend and Share Price Information, and the Performance Overview
sections of this report.
For some time, I've used these letters to remind you that municipal bonds
can be an important building block in a well-balanced investment
portfolio. In addition to providing attractive tax-free monthly income, a
municipal bond investment like your Fund may help you achieve and benefit
from greater portfolio diversification. Portfolio diversification is a
recognized way to try to reduce some of the risk that comes with
investing. For more information about this important investment strategy,
I encourage you to contact your personal financial advisor.
"IN ADDITION TO PROVIDING ATTRACTIVE TAX-FREE MONTHLY INCOME, A MUNICIPAL BOND
INVESTMENT LIKE YOUR FUND MAY HELP YOU ACHIEVE AND BENEFIT FROM GREATER
PORTFOLIO DIVERSIFICATION."
We also are pleased to be able to offer you a choice concerning how you
receive your shareholder reports and other Fund information. As an
alternative to mailed copies, you can sign up to receive future Fund
reports and other Fund information by e-mail and the internet. The inside
front cover of this report contains information on how you can sign up.
We are grateful that you have chosen us as a partner as you pursue your
financial goals, and we look forward to continuing to earn your trust in
the months and years ahead. At Nuveen Investments, our mission continues
to be to assist you and your financial advisor by offering investment
services and products that can help you to secure your financial
objectives.
Sincerely,
/s/ Timothy R. Schwertfeger
Timothy R. Schwertfeger
CHAIRMAN OF THE BOARD
June 15, 2007
Nuveen Investments Municipal Closed-End Funds
NQM, NQS, NQU, NPF, NMZ
Portfolio Managers'
COMMENTS
PORTFOLIO MANAGERS PAUL BRENNAN, TOM SPALDING, AND JOHN MILLER REVIEW KEY
INVESTMENT STRATEGIES AND THE SIX-MONTH PERFORMANCE OF THESE FIVE NATIONAL
FUNDS. WITH OVER 17 YEARS OF INVESTMENT EXPERIENCE, PAUL ASSUMED PORTFOLIO
MANAGEMENT RESPONSIBILITY FOR NQM AND NPF IN JULY 2006. A 30-YEAR VETERAN OF
NUVEEN, TOM HAS MANAGED NQS AND NQU SINCE 2003. JOHN, WHO HAS 14 YEARS OF
MUNICIPAL MARKET EXPERIENCE, HAS MANAGED NMZ SINCE ITS INCEPTION IN 2003.
WHAT KEY STRATEGIES WERE USED TO MANAGE THESE FUNDS DURING THE SIX-MONTH
REPORTING PERIOD ENDED APRIL 30, 2007?
During this six-month period, we continued to see a further flattening of the
yield curve. In this environment, where the slope of the yield curve remained a
dominant market factor, we continued to emphasize a disciplined approach to
duration 1 management and yield curve positioning. As part of this approach, our
purchases for the Funds' portfolios focused mainly on attractively priced bonds
with longer maturities: 20 years and longer in NQS and NQU, 25 years and longer
in NQM and NPF, and 25 to 30 years in NMZ. We believed that bonds in this range
of the curve generally offered more attractive yields, better value, and reward
opportunities more commensurate with their risk levels.
Our duration management strategies during this period also included the use of
inverse floating rate trusts, 2 a type of derivative financial instrument, in
all five of these Funds. The inverse floaters had the dual benefit of increasing
the Funds' distributable income and bringing their durations closer to our
preferred strategic target. In past shareholder reports, we discussed the use of
forward interest rate swaps and futures contracts (additional types of
derivative instruments) as duration management tools.
We also continued to put emphasis on individual credit selection, using a
long-term relative value approach. During this period, the municipal market saw
steady new money issuance as well as a number of major advance refundings 3 and
debt restructurings, which provided us with an increased number of bonds from
which to choose. For the six months ended April 30, 2007, municipal issuance
nationwide totaled $223.7 billion, up 32% compared with the six-month period
ended April 30, 2006. During the first four months of 2007, supply increased 37%
over that of the first four months of 2006--to $135.4 billion--primarily due to
a 71% increase in refundings during this period.
1 Duration is a measure of a bond's price sensitivity as interest rates
change, with longer duration bonds displaying more sensitivity to these
changes than bonds with shorter durations.
2 An inverse floating rate trust is a financial instrument designed to pay
long-term tax-exempt interest at a rate that varies inversely with a
short-term tax-exempt interest rate index. For the Nuveen Funds, the index
typically used is the Securities Industry and Financial Markets (SIFM)
Municipal Swap Index (previously referred to as the Bond Market
Association Index or BMA). Inverse floaters, including those inverse
floating rate securities in which the Funds invested during the six-month
period, are further defined within the "Notes to Financial Statements" and
"Glossary of Terms Used in This Report" sections of this shareholder
report.
3 Advance refundings, also known as pre-refundings or refinancings, occur
when an issuer sells new bonds and uses the proceeds to fund principal and
interest payments of older existing bonds. This process often results in
lower borrowing costs for bond issuers.
4
Much of the new supply was highly rated and/or insured, and this factor,
combined with enhanced credit quality resulting from a number of advance
refundings, meant that the Funds' allocations of credits rated AAA generally
increased over this period. In NQM, NQS, NQU, and NPF, we also continued to work
to maintain our weightings of lower credit quality bonds because of their strong
performance and support for the Funds' income streams. In NQM and NQU, this
included participating in the new offerings of California and New Jersey tobacco
bonds that were issued as part of the advance refunding of older tobacco bonds
in these two states. However, as credit spreads continued to tighten, these four
Funds generally found fewer attractively structured lower-rated credit
opportunities in the market.
In NQS and NQU, most of the cash we redeployed during this period came from
called holdings, which we used to enhance the Funds' diversification by
investing in a variety of essential services sectors such as water and sewer and
utilities. We also continued to keep these Funds well diversified
geographically, looking to states with stronger issuance, including California,
Texas, New York, Florida, and Illinois, for many of the additions to the
portfolios.
In NQM and NPF, in addition to reinvesting a few bond call proceeds, we
selectively sold some of the Funds' holdings that were nearing redemption in
order to generate cash for purchases. We also took advantage of opportunities to
sell bonds that were purchased when yields were lower and replace them with
newer credits that yielded comparatively more. We continued to redeploy proceeds
to bonds that could help us increase income-generating potential, such as
credits with unusual types of coupons, including zero coupon and discount bonds.
In NMZ, which was established as a high-yield Fund that can invest up to 50% of
its portfolio in subinvestment-grade quality municipal credits, our focus was
primarily on credit-specific analysis and selection, which we believe are
critical in this segment of the market. Fund holdings were analyzed on the basis
of credit quality, credit spreads, and relative value and sold to generate cash
if we determined that we could purchase other bonds that were more attractive in
these areas. During this period, many of these sales involved higher-quality
bonds and pre-refunded bonds with shorter durations. Proceeds were then
reinvested in longer, high-yield bonds that would help to keep NMZ's 50%
investment-grade/50% subinvestment-grade mix in balance.
5
While each of NMZ's purchases was based on the credit's individual merits, three
additions to our portfolio during this period involved lower-rated bonds issued
for convention center hotels in St. Louis, Austin and the Chicago suburbs. In
each case, we believed these bonds offered the potential for future credit
quality improvement.
HOW DID THE FUNDS PERFORM?
Individual results for these Funds, as well as relevant index and peer group
information, are presented in the accompanying table.
TOTAL RETURNS ON NET ASSET VALUE
For periods ended 4/30/07
CUMULATIVE ANNUALIZED
-------------- ------------------------------------------
6-MONTH 1-YEAR 5-YEAR 10-YEAR
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NQM 1.25% 7.31% 6.90% 6.60%
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NQS 1.50% 6.66% 7.30% 6.85%
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NQU 1.24% 6.45% 6.86% 6.48%
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NPF 1.41% 7.87% 6.94% 6.48%
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Lehman Brothers
Municipal
Bond Index 4 1.59% 5.78% 5.16% 5.81%
------------------------------------------------------------------------------
Lipper General
Leveraged
Municipal Debt
Funds Average 5 1.66% 7.42% 7.34% 6.60%
------------------------------------------------------------------------------
NMZ 3.24% 10.41% NA NA
------------------------------------------------------------------------------
Lehman Brothers
High-Yield Municipal
Bond Index 4 3.41% 9.93% -- --
------------------------------------------------------------------------------
Lipper High-Yield
Municipal Debt
Funds Average 5 2.77% 8.70% -- --
------------------------------------------------------------------------------
Past performance is not predictive of future results. Current performance may be
higher or lower than the data shown. Returns do not reflect the deduction of
taxes that shareholders may have to pay on Fund distributions or upon the sale
of Fund shares.
For additional information, see the individual Performance Overview for your
Fund in this report.
For the six months ended April 30, 2007, the cumulative returns on NAV for NPF,
NQM and NQU trailed the Lehman Brothers Municipal Bond Index while NQS performed
inline. These four funds lagged the Lipper peer group average. NMZ's 6-month
return trailed the Lehman Brothers High-Yield Municipal Bond Index but
outperformed the Lipper High-Yield peer group for the period. It is important to
note that the Lehman High-Yield Municipal Bond Index is composed of 100%
high-yield bonds, while NMZ comprises a maximum of 50% subinvestment-grade bonds
offering high yields, with the remainder invested in investment-grade credits.
This difference can play an important role in NMZ's performance
4 The Lehman Brothers Municipal Bond Index is an unleveraged, unmanaged
national index comprising a broad range of investment-grade municipal
bonds. The Lehman Brothers High-Yield Municipal Bond Index is an
unleveraged, unmanaged national index comprising municipal bonds rated
below investment grade (i.e., below Baa by Moody's Investors Service and
below BBB by Standard & Poor's or Fitch Ratings). Results for the Lehman
Brothers Indexes do not reflect any expenses.
5 The Lipper General Leveraged Municipal Debt Funds Average is calculated
using the returns of all closed-end funds in this category for each period
as follows: 6 months, 56; 1 year, 56; 5 years, 45; and 10 years, 39. Fund
and Lipper returns assume reinvestment of dividends. The Lipper High-Yield
Municipal Debt Funds Average is calculated using the returns of all 15
closed-end funds in this category for the six-month and one-year periods.
Fund and Lipper returns assume reinvestment of dividends.
6
relative to the index, especially during periods when the high-yield market
outperforms the municipal market as a whole, as was the case during the six
months ended April 30, 2007.
Factors that influenced the Funds' returns during this period included duration,
individual security selection, exposure to lower-rated credits, sector
allocations, and advance refunding activity.
As the yield curve continued to flatten over the course of this period,
municipal bonds with maturities of 20 years and longer, as measured by the
Lehman Brothers Municipal Bond Index, performed best, generally outpacing
municipal bonds with shorter maturities. As mentioned earlier, one of our
strategies during this period focused on adding longer bonds to our portfolios.
This purchase activity and our duration management strategies helped to extend
the Funds' durations and bring them closer in line with our preferred strategic
range, which was generally beneficial. Overall, however, NQM was not as well
positioned in terms of duration as the other Funds in this report, which
detracted from its performance.
During this period, we continued to employ strategies that we believed could
help strengthen the future income streams of our portfolios. In addition to
income potential, the Funds' holdings of zero coupon bonds, which we continued
to build, also provided a positive impact on performance for this period.
With bonds rated BBB or lower and non-rated bonds generally outperforming other
credit quality sectors during this period, all of these Funds also benefited
from their weightings in lower-quality credits. The outperformance of these
credit sectors was largely the result of investor demand for the higher yields
typically associated with lower-rated bonds, which drove up their value.
Overall, NQU had heavier exposure to lower-rated and non-rated credits than NQM,
NQS and NPF, which helped its return. In addition to its holdings of
approximately 9% in bonds rated BBB, NMZ held 20% in bonds rated BB or lower
(subinvestment-grade) and 35% in non-rated bonds, some of which Nuveen has
determined to be of investment-grade quality. Overall, conditions in the
high-yield market remained positive during this period due to narrowing credit
spreads, low default rates, and strong demand for high-yield paper. This
benefited the performance NMZ's holdings of high-yield credits during this
period.
7
Among the lower-rated holdings making positive contributions to the Funds'
returns for this period were industrial development revenue (IDR) bonds and
healthcare (including hospitals) credits. One of NMZ's higher-yielding hospital
holdings that appreciated significantly during this period was a non-rated bond
Hills and Dales General Hospital in Michigan. Lower-rated bonds backed by the
1998 master tobacco settlement agreement, which comprised approximately 4% of
the portfolios of NQM, NQS, NQU, and NPF as of April 30, 2007, also performed
well. As the result of advance refundings, NMZ's allocation of BBB-rated tobacco
bonds fell to about 1% over this period, although we continued to hold the
pre-refunded tobacco bonds, which were upgraded to AAA. While NMZ did not
participate in the new offerings of California or New Jersey tobacco bonds, we
continued to monitor the secondary market in these names to watch for
opportunities to increase the Fund's lower-rated tobacco exposure.
We continued to see positive contributions from increased advance refunding
activity, which benefited the Funds through price appreciation and enhanced
credit quality. As previously mentioned, two of the more significant advance
refundings during this period involved BBB rated tobacco bonds issued by
California's Golden State Tobacco Securitization Corporation (held by NPF and
NMZ) and by New Jersey's Tobacco Settlement Financing Corporation (held by NQM,
NQS, NQU, and NMZ). In addition to these tobacco bonds, NMZ also benefited from
advance refundings of casino bonds issued by the Lac Courte Oreilles Band of
Lake Superior Chippewa Indians in Wisconsin and IDR credits issued for the
Rockbridge County Horse Center in Virginia.
8
At the same time, holdings of older, previously pre-refunded bonds tended to
underperform the general municipal market during this period, particularly those
with effective maturities between 5 and 10 years. NMZ also held two non-rated
credits that experienced some financial stress during this period, which
resulted in small declines in valuation: Heritage Christian School of Northern
Colorado and the Pickwick Apartments, a multifamily housing project in Kansas
City, Missouri.
9
Dividend and Share Price
INFORMATION
These five Funds use leverage to potentially enhance opportunities for
additional income for common shareholders. Although the extent of this benefit
was reduced during this period due to high short-term interest rates that, in
turn, kept the Funds' borrowing costs high, the Funds' use of leverage continued
to provide incremental income. Consequently, the dividends of NQM, NQS, NQU, and
NMZ remained stable throughout the six-month reporting period ended April 30,
2007. In NPF, our income strategies, including an increased position in inverse
floaters and the use of forward interest rate swaps, resulted in a dividend
increase effective at the beginning of this period (November 2006).
Due to normal portfolio activity, common shareholders of NMZ also received a
capital gains distribution of $0.0045 per share and a net ordinary income
distribution of $0.0002 per share at the end of December 2006.
All of the Funds in this report seek to pay stable dividends at rates that
reflect each Fund's past results and projected future performance. During
certain periods, each Fund may pay dividends at a rate that may be more or less
than the amount of net investment income actually earned by the Fund during the
period. If a Fund has cumulatively earned more than it has paid in dividends, it
holds the excess in reserve as undistributed net investment income (UNII) as
part of the Fund's NAV. Conversely, if a Fund has cumulatively paid dividends in
excess of its earnings, the excess constitutes negative UNII that is likewise
reflected in the Fund's NAV. Each Fund will, over time, pay all of its net
investment income as dividends to shareholders. As of April 30, 2007, NQM, NQS,
NQU and NMZ had positive UNII balances for both financial statement and, based
on our best estimates, tax purposes, while NPF had a positive UNII balance,
based on our best estimates, for tax purposes and a negative UNII balance for
financial statement purposes.
10
As of April 30, 2007, the Funds' share prices were trading at premiums or
discounts to their NAVs as shown in the accompanying chart:
4/30/07 6-MONTH AVERAGE
PREMIUM/DISCOUNT PREMIUM/DISCOUNT
--------------------------------------------------------------------------------
NQM +1.23% -0.20%
--------------------------------------------------------------------------------
NQS +6.22% +3.42%
--------------------------------------------------------------------------------
NQU +1.50% -2.45%
--------------------------------------------------------------------------------
NPF -7.53% -8.67%
--------------------------------------------------------------------------------
NMZ +13.42% +9.48%
--------------------------------------------------------------------------------
11
Nuveen Investment Quality Municipal Fund, Inc.
NQM
Performance
OVERVIEW As of April 30, 2007
FUND SNAPSHOT
--------------------------------------------------------------------------------
Common Share Price $ 15.69
--------------------------------------------------------------------------------
Common Share Net Asset Value $ 15.50
--------------------------------------------------------------------------------
Premium/(Discount) to NAV 1.23%
--------------------------------------------------------------------------------
Market Yield 5.16%
--------------------------------------------------------------------------------
Taxable-Equivalent Yield 1 7.17%
--------------------------------------------------------------------------------
Net Assets Applicable to
Common Shares ($000) $ 554,654
--------------------------------------------------------------------------------
Average Effective Maturity on
Securities (Years) 15.23
--------------------------------------------------------------------------------
Leverage-Adjusted Duration 10.38
--------------------------------------------------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 6/21/90)
-------------------------------------
ON SHARE PRICE ON NAV
-------------------------------------
6-Month
(Cumulative) 3.21% 1.25%
-------------------------------------
1-Year 12.47% 7.31%
-------------------------------------
5-Year 8.52% 6.90%
-------------------------------------
10-Year 7.26% 6.60%
-------------------------------------
STATES
(as a % of total investments)
--------------------------------------------------------------------------------
California 14.2%
--------------------------------------------------------------------------------
New York 11.4%
--------------------------------------------------------------------------------
Texas 9.2%
--------------------------------------------------------------------------------
Illinois 7.4%
--------------------------------------------------------------------------------
Washington 5.4%
--------------------------------------------------------------------------------
Minnesota 4.7%
--------------------------------------------------------------------------------
District of Columbia 4.1%
--------------------------------------------------------------------------------
Rhode Island 3.5%
--------------------------------------------------------------------------------
Colorado 3.2%
--------------------------------------------------------------------------------
Nevada 3.1%
--------------------------------------------------------------------------------
Georgia 2.8%
--------------------------------------------------------------------------------
Michigan 2.3%
--------------------------------------------------------------------------------
Massachusetts 2.2%
--------------------------------------------------------------------------------
Louisiana 2.1%
--------------------------------------------------------------------------------
Wisconsin 2.1%
--------------------------------------------------------------------------------
Indiana 2.0%
--------------------------------------------------------------------------------
Florida 1.9%
--------------------------------------------------------------------------------
Pennsylvania 1.7%
--------------------------------------------------------------------------------
South Carolina 1.6%
--------------------------------------------------------------------------------
Arkansas 1.5%
--------------------------------------------------------------------------------
Other 13.6%
--------------------------------------------------------------------------------
INDUSTRIES
(as a % of total investments)
--------------------------------------------------------------------------------
U.S. Guaranteed 28.4%
--------------------------------------------------------------------------------
Tax Obligation/General 13.2%
--------------------------------------------------------------------------------
Health Care 12.5%
--------------------------------------------------------------------------------
Tax Obligation/Limited 12.0%
--------------------------------------------------------------------------------
Transportation 9.8%
--------------------------------------------------------------------------------
Water and Sewer 6.2%
--------------------------------------------------------------------------------
Consumer Staples 4.0%
--------------------------------------------------------------------------------
Other 13.9%
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
CREDIT QUALITY
(as a % of total investments)
[PIE CHART]
AAA/U.S. Guaranteed 70%
AA 8%
A 9%
BBB 10%
BB or Lower 1%
N/R 2%
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
2006-2007 MONTHLY TAX-FREE DIVIDENDS PER SHARE
[BAR CHART]
$0.0700 $0.0675 $0.0675 $0.0675 $0.0675 $0.0675 $0.0675 $0.0675 $0.0675 $0.0675 $0.0675 $0.0675
---------------------------------------------------------------------------------------------------------
May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
SHARE PRICE PERFORMANCE
[LINE CHART]
Weekly
Date Closing Price
-------- -------------
5/01/06 $14.73
$14.73
$14.72
$14.67
$14.64
$14.73
$14.77
$14.80
$14.68
$14.68
$14.69
$14.72
$14.66
$14.64
$14.63
$14.63
$14.60
$14.62
$14.56
$14.66
$14.63
$14.65
$14.80
$14.79
$14.70
$14.65
$14.68
$14.69
$14.64
$14.58
$14.44
$14.32
$14.25
$14.31
$14.25
$14.10
$14.11
$14.05
$14.02
$14.04
$14.13
$14.07
$14.08
$14.15
$14.25
$14.27
$14.23
$14.30
$14.28
$14.29
$14.30
$14.30
$14.30
$14.30
$14.27
$14.37
$14.38
$14.48
$14.56
$14.63
$14.57
$14.60
$14.80
$14.98
$14.99
$14.94
$14.91
$14.99
$14.92
$14.93
$14.96
$14.98
$14.86
$14.86
$14.89
$14.91
$14.92
$14.92
$14.93
$14.95
$14.92
$15.05
$15.07
$15.06
$15.07
$15.09
$15.10
$15.08
$15.07
$15.05
$15.02
$15.07
$15.04
$15.00
$15.04
$15.05
$15.12
$15.05
$15.08
$15.05
$15.04
$15.06
$15.17
$15.24
$15.29
$15.26
$15.35
$15.35
$15.34
$15.38
$15.46
$15.37
$15.36
$15.38
$15.51
$15.36
$15.48
$15.38
$15.37
$15.37
$15.55
$15.55
$15.49
$15.54
$15.58
$15.55
$15.60
$15.59
$15.59
$15.60
$15.60
$15.59
$15.51
$15.53
$15.48
$15.45
$15.41
$15.38
$15.25
$15.45
$15.40
$15.27
$15.39
$15.39
$15.27
$15.28
$15.31
$15.24
$15.28
$15.34
$15.40
$15.62
$15.63
$15.77
$15.70
$15.80
$15.73
$15.80
$15.82
$15.79
$15.71
$15.58
$15.59
$15.45
$15.39
$15.40
$15.44
$15.48
$15.50
$15.48
$15.47
$15.47
$15.60
$15.58
$15.56
$15.55
$15.68
$15.44
$15.46
$15.53
$15.50
$15.48
$15.45
$15.42
$15.48
$15.60
$15.58
$15.42
$15.55
$15.47
$15.47
$15.60
$15.67
$15.68
$15.80
$15.71
$15.64
$15.63
$15.50
$15.55
$15.49
$15.45
$15.48
$15.51
$15.59
$15.56
$15.52
$15.51
$15.73
$15.71
$15.74
$15.80
$15.73
$15.72
$15.66
$15.80
$15.85
$15.76
$15.85
$15.70
$15.61
$15.55
$15.62
$15.66
$15.59
$15.56
$15.65
$15.68
$15.63
$15.64
$15.65
$15.59
$15.62
$15.62
$15.72
$15.67
$15.67
$15.63
$15.60
$15.59
$15.60
$15.60
$15.55
$15.54
$15.53
$15.52
$15.56
$15.56
$15.62
$15.65
$15.69
$15.73
$15.73
4/30/07 $15.69
PAST PERFORMANCE IS NOT PREDICTIVE OF FUTURE RESULTS.
--------------------------------------------------------------------------------
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.
12
Nuveen Select Quality Municipal Fund, Inc.
NQS
Performance
OVERVIEW As of April 30, 2007
--------------------------------------------------------------------------------
CREDIT QUALITY
(as a % of total investments)
[PIE CHART]
AAA/U.S. Guaranteed 76%
AA 4%
A 5%
BBB 12%
BB or Lower 2%
N/R 1%
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
2006-2007 MONTHLY TAX-FREE DIVIDENDS PER SHARE
[BAR CHART]
$0.0730 $0.0705 $0.0705 $0.0705 $0.0705 $0.0705 $0.0705 $0.0705 $0.0705 $0.0705 $0.0705 $0.0705
---------------------------------------------------------------------------------------------------------
May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
SHARE PRICE PERFORMANCE
[LINE CHART]
Weekly
Date Closing Price
-------- -------------
5/01/06 $15.05
$15.16
$15.04
$15.06
$14.99
$15.03
$15.02
$14.96
$14.85
$14.91
$15.07
$15.07
$15.03
$15.09
$15.05
$14.90
$14.75
$14.84
$14.82
$14.95
$14.90
$14.88
$15.03
$15.14
$15.46
$15.08
$15.09
$14.95
$15.01
$15.00
$14.91
$14.98
$14.96
$14.95
$14.97
$15.01
$14.81
$14.74
$14.79
$14.76
$14.72
$14.69
$14.80
$14.95
$15.05
$15.10
$14.95
$15.05
$15.02
$15.00
$14.90
$14.89
$14.86
$14.90
$14.81
$14.85
$14.90
$14.92
$15.12
$15.03
$15.15
$15.27
$15.29
$15.30
$15.23
$15.23
$15.26
$15.38
$15.34
$15.37
$15.33
$15.58
$15.41
$15.36
$15.37
$15.32
$15.35
$15.34
$15.37
$15.36
$15.28
$15.38
$15.38
$15.38
$15.45
$15.50
$15.54
$15.66
$15.65
$15.60
$15.54
$15.68
$15.63
$15.66
$15.58
$15.45
$15.58
$15.43
$15.41
$15.42
$15.44
$15.63
$15.60
$15.65
$15.74
$15.74
$15.69
$15.69
$15.76
$15.83
$15.75
$15.77
$15.86
$15.82
$15.69
$15.58
$15.55
$15.36
$15.28
$15.25
$15.25
$15.32
$15.33
$15.31
$15.37
$15.39
$15.43
$15.51
$15.54
$15.47
$15.50
$15.59
$15.70
$15.79
$15.68
$15.70
$15.80
$15.87
$15.87
$15.89
$15.82
$15.79
$15.81
$15.86
$15.89
$15.96
$16.00
$15.96
$15.92
$16.02
$16.13
$16.24
$16.30
$16.30
$16.34
$16.35
$16.33
$16.49
$16.35
$16.20
$16.17
$16.11
$16.04
$15.96
$16.01
$15.96
$15.90
$15.99
$16.06
$16.04
$16.20
$16.20
$16.39
$16.28
$16.25
$16.21
$16.27
$16.05
$16.10
$16.08
$16.02
$16.02
$16.00
$16.00
$15.95
$15.92
$15.91
$15.87
$15.94
$15.96
$15.95
$15.96
$15.92
$15.94
$15.99
$15.95
$16.18
$16.13
$16.07
$16.15
$16.12
$16.19
$16.21
$16.20
$16.17
$16.22
$16.21
$16.25
$16.22
$16.19
$16.16
$16.13
$16.21
$16.18
$16.14
$16.21
$16.19
$16.21
$16.25
$16.12
$16.00
$15.92
$15.93
$15.91
$15.87
$15.92
$15.91
$15.88
$15.87
$15.86
$15.75
$15.65
$15.81
$15.81
$15.94
$15.94
$16.05
$16.16
$16.15
$16.24
$16.16
$16.11
$16.19
$16.19
$16.24
$16.25
$16.38
$16.45
$16.43
$16.39
$16.41
$16.37
$16.31
4/30/07 $16.39
PAST PERFORMANCE IS NOT PREDICTIVE OF FUTURE RESULTS.
--------------------------------------------------------------------------------
FUND SNAPSHOT
--------------------------------------------------------------------------------
Common Share Price $ 16.39
--------------------------------------------------------------------------------
Common Share Net Asset Value $ 15.43
--------------------------------------------------------------------------------
Premium/(Discount) to NAV 6.22%
--------------------------------------------------------------------------------
Market Yield 5.16%
--------------------------------------------------------------------------------
Taxable-Equivalent Yield 1 7.17%
--------------------------------------------------------------------------------
Net Assets Applicable to
Common Shares ($000) $ 524,497
--------------------------------------------------------------------------------
Average Effective Maturity on
Securities (Years) 13.71
--------------------------------------------------------------------------------
Leverage-Adjusted Duration 7.08
--------------------------------------------------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 3/21/91)
------------------------------------
ON SHARE PRICE ON NAV
------------------------------------
6-Month
Cumulative 8.79% 1.50%
------------------------------------
1-Year 14.95% 6.66%
------------------------------------
5-Year 9.56% 7.30%
------------------------------------
10-Year 7.57% 6.85%
------------------------------------
STATES
(as a % of total investments)
--------------------------------------------------------------------------------
Illinois 11.2%
--------------------------------------------------------------------------------
Texas 10.1%
--------------------------------------------------------------------------------
New York 8.9%
--------------------------------------------------------------------------------
Colorado 6.9%
--------------------------------------------------------------------------------
South Carolina 6.3%
--------------------------------------------------------------------------------
Nevada 5.5%
--------------------------------------------------------------------------------
Michigan 5.2%
--------------------------------------------------------------------------------
New Jersey 4.7%
--------------------------------------------------------------------------------
Tennessee 4.4%
--------------------------------------------------------------------------------
California 3.0%
--------------------------------------------------------------------------------
New Mexico 3.0%
--------------------------------------------------------------------------------
Alabama 2.5%
--------------------------------------------------------------------------------
Utah 2.5%
--------------------------------------------------------------------------------
North Carolina 2.3%
--------------------------------------------------------------------------------
Washington 2.1%
--------------------------------------------------------------------------------
Wisconsin 2.1%
--------------------------------------------------------------------------------
District of Columbia 2.1%
--------------------------------------------------------------------------------
Oklahoma 1.6%
--------------------------------------------------------------------------------
Ohio 1.4%
--------------------------------------------------------------------------------
South Dakota 1.4%
--------------------------------------------------------------------------------
Other 12.8%
--------------------------------------------------------------------------------
INDUSTRIES
(as a % of total investments)
--------------------------------------------------------------------------------
U.S. Guaranteed 33.6%
--------------------------------------------------------------------------------
Utilities 14.4%
--------------------------------------------------------------------------------
Transportation 13.1%
--------------------------------------------------------------------------------
Health Care 11.1%
--------------------------------------------------------------------------------
Tax Obligation/General 9.4%
--------------------------------------------------------------------------------
Tax Obligation/Limited 5.7%
--------------------------------------------------------------------------------
Other 12.7%
--------------------------------------------------------------------------------
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.
13
Nuveen Quality Income Municipal Fund, Inc.
NQU
Performance
OVERVIEW As of April 30, 2007
FUND SNAPSHOT
--------------------------------------------------------------------------------
Common Share Price $ 15.53
--------------------------------------------------------------------------------
Common Share Net Asset Value $ 15.30
--------------------------------------------------------------------------------
Premium/(Discount) to NAV 1.50%
--------------------------------------------------------------------------------
Market Yield 4.91%
--------------------------------------------------------------------------------
Taxable-Equivalent Yield 1 6.82%
--------------------------------------------------------------------------------
Net Assets Applicable to
Common Shares ($000) $ 829,083
--------------------------------------------------------------------------------
Average Effective Maturity on
Securities (Years) 12.91
--------------------------------------------------------------------------------
Leverage-Adjusted Duration 8.30
--------------------------------------------------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 6/19/91)
-----------------------------------
ON SHARE PRICE ON NAV
-----------------------------------
6-Month
(Cumulative) 8.11% 1.24%
-----------------------------------
1-Year 8.83% 6.45%
-----------------------------------
5-Year 8.60% 6.86%
-----------------------------------
10-Year 6.84% 6.48%
-----------------------------------
STATES
(as a % of total investments)
--------------------------------------------------------------------------------
New York 11.9%
--------------------------------------------------------------------------------
Texas 11.0%
--------------------------------------------------------------------------------
Illinois 10.0%
--------------------------------------------------------------------------------
California 7.4%
--------------------------------------------------------------------------------
Washington 6.4%
--------------------------------------------------------------------------------
South Carolina 5.8%
--------------------------------------------------------------------------------
Massachusetts 5.1%
--------------------------------------------------------------------------------
Nevada 4.5%
--------------------------------------------------------------------------------
Oklahoma 4.4%
--------------------------------------------------------------------------------
New Jersey 3.3%
--------------------------------------------------------------------------------
Colorado 3.2%
--------------------------------------------------------------------------------
Pennsylvania 2.4%
--------------------------------------------------------------------------------
Ohio 2.1%
--------------------------------------------------------------------------------
Alabama 2.0%
--------------------------------------------------------------------------------
North Carolina 1.9%
--------------------------------------------------------------------------------
Louisiana 1.5%
--------------------------------------------------------------------------------
Virginia 1.3%
--------------------------------------------------------------------------------
Michigan 1.3%
--------------------------------------------------------------------------------
Other 14.5%
--------------------------------------------------------------------------------
INDUSTRIES
(as a % of total investments)
--------------------------------------------------------------------------------
U.S. Guaranteed 38.2%
--------------------------------------------------------------------------------
Tax Obligation/General 14.8%
--------------------------------------------------------------------------------
Transportation 14.7%
--------------------------------------------------------------------------------
Utilities 9.5%
--------------------------------------------------------------------------------
Health Care 7.2%
--------------------------------------------------------------------------------
Consumer Staples 3.8%
--------------------------------------------------------------------------------
Other 11.8%
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
CREDIT QUALITY
(as a % of total investments)
[PIE CHART]
AAA/U.S. Guaranteed 80%
AA 6%
A 4%
BBB 6%
BB or Lower 3%
N/R 1%
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
2006-2007 MONTHLY TAX-FREE DIVIDENDS PER SHARE
[BAR CHART]
$0.0700 $0.0665 $0.0665 $0.0665 $0.0635 $0.0635 $0.0635 $0.0635 $0.0635 $0.0635 $0.0635 $0.0635
----------------------------------------------------------------------------------------------------------
May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
SHARE PRICE PERFORMANCE
[LINE CHART]
Weekly
Date Closing Price
-------- -------------
5/01/06 $15.00
$14.96
$14.76
$14.63
$14.68
$14.70
$14.72
$14.73
$14.60
$14.56
$14.56
$14.64
$14.60
$14.54
$14.55
$14.55
$14.48
$14.50
$14.50
$14.65
$14.59
$14.62
$14.72
$14.72
$14.60
$14.48
$14.54
$14.48
$14.56
$14.50
$14.39
$14.30
$14.26
$14.21
$14.18
$14.03
$14.02
$13.90
$13.92
$14.01
$13.90
$13.95
$13.95
$14.04
$14.10
$14.01
$14.03
$14.03
$14.08
$14.08
$14.05
$14.07
$14.06
$14.05
$14.04
$14.18
$14.20
$14.27
$14.47
$14.44
$14.42
$14.56
$14.68
$14.78
$14.82
$14.85
$14.87
$14.94
$14.90
$14.90
$14.92
$14.91
$14.71
$14.76
$14.89
$14.93
$14.87
$14.91
$14.95
$14.99
$14.90
$15.00
$14.96
$14.94
$14.95
$14.94
$14.90
$14.99
$14.92
$14.87
$14.87
$14.84
$14.85
$14.86
$14.83
$14.79
$14.81
$14.85
$14.86
$14.83
$14.84
$14.91
$14.95
$14.92
$14.96
$14.94
$14.94
$14.94
$14.98
$15.05
$14.98
$14.94
$14.91
$14.85
$14.84
$14.69
$14.69
$14.50
$14.45
$14.42
$14.40
$14.44
$14.47
$14.46
$14.52
$14.61
$14.61
$14.65
$14.72
$14.73
$14.75
$14.77
$14.70
$14.76
$14.80
$14.86
$14.88
$14.96
$14.91
$14.95
$15.00
$14.95
$14.94
$15.03
$14.95
$14.95
$14.93
$14.89
$14.90
$14.93
$14.96
$15.09
$15.17
$15.12
$15.14
$15.10
$15.02
$15.06
$15.02
$14.94
$14.87
$14.90
$14.95
$14.90
$14.78
$14.82
$14.82
$14.83
$14.86
$14.90
$14.92
$14.92
$15.02
$14.96
$14.97
$14.96
$15.00
$14.82
$14.85
$14.85
$14.92
$14.90
$14.82
$14.87
$14.84
$14.81
$14.88
$14.78
$14.83
$14.88
$14.85
$14.87
$14.87
$14.94
$14.87
$14.90
$14.94
$14.95
$15.00
$14.94
$14.88
$14.97
$15.07
$15.02
$14.99
$15.00
$14.96
$15.02
$15.10
$15.10
$15.11
$15.12
$15.15
$15.14
$15.17
$15.19
$15.22
$15.19
$15.25
$15.15
$15.14
$15.15
$15.10
$15.08
$15.14
$15.15
$15.12
$15.09
$15.08
$15.05
$15.03
$15.09
$15.10
$15.10
$15.16
$15.12
$15.13
$15.10
$15.03
$15.06
$15.10
$15.16
$15.19
$15.24
$15.21
$15.24
$15.27
$15.30
$15.37
$15.39
$15.45
$15.45
$15.52
4/30/07 $15.53
PAST PERFORMANCE IS NOT PREDICTIVE OF FUTURE RESULTS.
--------------------------------------------------------------------------------
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.
14
Nuveen Premier Municipal Income Fund, Inc.
NPF
Performance
OVERVIEW As of April 30, 2007
--------------------------------------------------------------------------------
CREDIT QUALITY
(as a % of total investments)
[PIE CHART]
AAA/U.S. Guaranteed 64%
AA 13%
A 11%
BBB 11%
N/R 1%
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
2006-2007 MONTHLY TAX-FREE DIVIDENDS PER SHARE
[BAR CHART]
$0.0585 $0.0545 $0.0545 $0.0545 $0.0545 $0.0545 $0.0560 $0.0560 $0.0560 $0.0560 $0.0560 $0.0560
----------------------------------------------------------------------------------------------------------
May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
SHARE PRICE PERFORMANCE
[LINE CHART]
Weekly
Date Closing Price
-------- -------------
5/01/06 $13.27
$13.35
$13.30
$13.20
$13.23
$13.25
$13.29
$13.35
$13.20
$13.22
$13.18
$13.22
$13.18
$13.30
$13.25
$13.29
$13.24
$13.19
$13.18
$13.33
$13.30
$13.30
$13.45
$13.49
$13.49
$13.37
$13.22
$13.17
$13.21
$13.14
$13.12
$13.06
$13.05
$13.06
$13.01
$12.92
$12.92
$12.87
$12.86
$12.84
$12.87
$12.83
$12.83
$12.90
$12.99
$12.94
$12.96
$12.94
$12.99
$13.10
$13.09
$13.08
$12.95
$12.99
$12.96
$13.05
$12.98
$13.00
$13.09
$13.10
$13.08
$13.09
$13.11
$13.17
$13.21
$13.29
$13.25
$13.32
$13.35
$13.35
$13.33
$13.33
$13.31
$13.28
$13.44
$13.40
$13.39
$13.43
$13.42
$13.49
$13.50
$13.48
$13.48
$13.56
$13.50
$13.58
$13.60
$13.64
$13.55
$13.49
$13.47
$13.57
$13.59
$13.63
$13.55
$13.53
$13.48
$13.48
$13.47
$13.49
$13.55
$13.65
$13.63
$13.67
$13.61
$13.60
$13.66
$13.66
$13.66
$13.71
$13.74
$13.72
$13.67
$13.66
$13.52
$13.48
$13.50
$13.50
$13.50
$13.39
$13.44
$13.44
$13.45
$13.49
$13.54
$13.63
$13.61
$13.65
$13.69
$13.65
$13.68
$13.74
$13.75
$13.86
$13.86
$13.84
$13.87
$13.85
$13.82
$13.86
$13.84
$13.85
$13.87
$13.84
$13.88
$13.86
$13.87
$13.80
$13.83
$13.85
$13.99
$14.02
$14.02
$14.03
$14.09
$14.09
$14.06
$14.02
$13.98
$13.80
$13.80
$13.80
$13.85
$13.77
$13.80
$13.75
$13.73
$13.78
$13.74
$13.84
$13.85
$13.85
$13.87
$13.82
$13.85
$13.85
$13.85
$13.81
$13.75
$13.82
$13.88
$13.90
$13.86
$13.94
$13.95
$13.96
$14.00
$13.89
$13.87
$13.90
$13.94
$13.89
$13.93
$13.95
$13.96
$13.99
$14.02
$14.01
$14.01
$14.05
$14.04
$14.09
$14.10
$14.16
$14.18
$14.19
$14.11
$14.14
$14.19
$14.24
$14.27
$14.19
$14.27
$14.30
$14.33
$14.31
$14.24
$14.33
$14.35
$14.26
$14.24
$14.18
$14.21
$14.22
$14.20
$14.20
$14.21
$14.15
$14.20
$14.12
$14.15
$14.10
$14.12
$14.12
$14.20
$14.22
$14.19
$14.20
$14.23
$14.26
$14.23
$14.24
$14.23
$14.18
$14.12
$14.07
$14.15
$14.17
$14.16
$14.12
$14.14
$14.11
$14.13
4/30/07 $14.12
PAST PERFORMANCE IS NOT PREDICTIVE OF FUTURE RESULTS.
--------------------------------------------------------------------------------
FUND SNAPSHOT
--------------------------------------------------------------------------------
Common Share Price $ 14.12
--------------------------------------------------------------------------------
Common Share Net Asset Value $ 15.27
--------------------------------------------------------------------------------
Premium/(Discount) to NAV -7.53%
--------------------------------------------------------------------------------
Market Yield 4.76%
--------------------------------------------------------------------------------
Taxable-Equivalent Yield 1 6.61%
--------------------------------------------------------------------------------
Net Assets Applicable to
Common Shares ($000) $ 306,724
--------------------------------------------------------------------------------
Average Effective Maturity on
Securities (Years) 15.42
--------------------------------------------------------------------------------
Leverage-Adjusted Duration 9.97
--------------------------------------------------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 12/19/91)
-----------------------------------
ON SHARE PRICE ON NAV
-----------------------------------
6-Month
(Cumulative) 5.94% 1.41%
-----------------------------------
1-Year 11.19% 7.87%
-----------------------------------
5-Year 6.41% 6.94%
-----------------------------------
10-Year 5.63% 6.48%
-----------------------------------
STATES
(as a % of total investments)
--------------------------------------------------------------------------------
New York 14.8%
--------------------------------------------------------------------------------
California 13.8%
--------------------------------------------------------------------------------
Illinois 8.6%
--------------------------------------------------------------------------------
Washington 5.1%
--------------------------------------------------------------------------------
South Carolina 4.6%
--------------------------------------------------------------------------------
Colorado 4.1%
--------------------------------------------------------------------------------
New Jersey 4.0%
--------------------------------------------------------------------------------
Wisconsin 3.4%
--------------------------------------------------------------------------------
Texas 3.3%
--------------------------------------------------------------------------------
Louisiana 3.2%
--------------------------------------------------------------------------------
Minnesota 2.9%
--------------------------------------------------------------------------------
Arizona 2.8%
--------------------------------------------------------------------------------
Georgia 2.5%
--------------------------------------------------------------------------------
North Carolina 2.4%
--------------------------------------------------------------------------------
Indiana 2.2%
--------------------------------------------------------------------------------
Michigan 2.2%
--------------------------------------------------------------------------------
Nebraska 1.7%
--------------------------------------------------------------------------------
Florida 1.6%
--------------------------------------------------------------------------------
Rhode Island 1.6%
--------------------------------------------------------------------------------
Alaska 1.3%
--------------------------------------------------------------------------------
Other 13.9%
--------------------------------------------------------------------------------
INDUSTRIES
(as a % of total investments)
--------------------------------------------------------------------------------
Tax Obligation/Limited 16.8%
--------------------------------------------------------------------------------
U.S. Guaranteed 16.1%
--------------------------------------------------------------------------------
Utilities 13.9%
--------------------------------------------------------------------------------
Tax Obligation/General 12.9%
--------------------------------------------------------------------------------
Health Care 10.8%
--------------------------------------------------------------------------------
Transportation 8.5%
--------------------------------------------------------------------------------
Water and Sewer 5.6%
--------------------------------------------------------------------------------
Consumer Staples 3.8%
--------------------------------------------------------------------------------
Other 11.6%
--------------------------------------------------------------------------------
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.
15
Nuveen Municipal High Income Opportunity Fund
NMZ
Performance
OVERVIEW As of April 30, 2007
FUND SNAPSHOT
--------------------------------------------------------------------------------
Common Share Price $ 18.17
--------------------------------------------------------------------------------
Common Share Net Asset Value $ 16.02
--------------------------------------------------------------------------------
Premium/(Discount) to NAV 13.42%
--------------------------------------------------------------------------------
Market Yield 5.38%
--------------------------------------------------------------------------------
Taxable-Equivalent Yield 1 7.47%
--------------------------------------------------------------------------------
Net Assets Applicable to
Common Shares ($000) $ 373,630
--------------------------------------------------------------------------------
Average Effective Maturity on
Securities (Years) 18.59
--------------------------------------------------------------------------------
Leverage-Adjusted Duration 7.99
--------------------------------------------------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 11/19/03)
-----------------------------------
ON SHARE PRICE ON NAV
-----------------------------------
6-Month
Cumulative 8.37% 3.24%
-----------------------------------
1-Year 14.23% 10.41%
-----------------------------------
Since
Inception 12.80% 10.50%
-----------------------------------
STATES
(as a % of total investments)
--------------------------------------------------------------------------------
California 11.5%
--------------------------------------------------------------------------------
Texas 6.8%
--------------------------------------------------------------------------------
Indiana 6.7%
--------------------------------------------------------------------------------
Colorado 6.0%
--------------------------------------------------------------------------------
Florida 5.6%
--------------------------------------------------------------------------------
Illinois 4.9%
--------------------------------------------------------------------------------
Louisiana 4.8%
--------------------------------------------------------------------------------
Wisconsin 4.0%
--------------------------------------------------------------------------------
Arizona 3.7%
--------------------------------------------------------------------------------
Oklahoma 3.4%
--------------------------------------------------------------------------------
New Jersey 3.3%
--------------------------------------------------------------------------------
Pennsylvania 3.3%
--------------------------------------------------------------------------------
Michigan 3.2%
--------------------------------------------------------------------------------
Virginia 3.0%
--------------------------------------------------------------------------------
Ohio 2.8%
--------------------------------------------------------------------------------
Nebraska 2.5%
--------------------------------------------------------------------------------
Washington 2.4%
--------------------------------------------------------------------------------
Maryland 2.3%
--------------------------------------------------------------------------------
Nevada 2.3%
--------------------------------------------------------------------------------
Virgin Islands 2.3%
--------------------------------------------------------------------------------
Minnesota 2.0%
--------------------------------------------------------------------------------
Other 13.2%
--------------------------------------------------------------------------------
INDUSTRIES
(as a % of total investments)
--------------------------------------------------------------------------------
U.S. Guaranteed 18.6%
--------------------------------------------------------------------------------
Tax Obligation/Limited 16.1%
--------------------------------------------------------------------------------
Health Care 15.5%
--------------------------------------------------------------------------------
Housing/Multifamily 10.5%
--------------------------------------------------------------------------------
Utilities 7.8%
--------------------------------------------------------------------------------
Transportation 7.0%
--------------------------------------------------------------------------------
Water and Sewer 5.4%
--------------------------------------------------------------------------------
Education and Civic Organizations 4.8%
--------------------------------------------------------------------------------
Other 14.3%
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
CREDIT QUALITY
(as a % of total investments)
[PIE CHART]
AAA/U.S. Guaranteed 25%
AA 1%
A 10%
BBB 9%
BB or Lower 20%
N/R 35%
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
2006-2007 MONTHLY TAX-FREE DIVIDENDS PER SHARE 2
[BAR CHART]
$0.0890 $0.0850 $0.0850 $0.0850 $0.0815 $0.0815 $0.0815 $0.0815 $0.0815 $0.0815 $0.0815 $0.0815
----------------------------------------------------------------------------------------------------------
May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
SHARE PRICE PERFORMANCE
[LINE CHART]
Weekly
Date Closing Price
-------- -------------
5/01/06 $16.92
$17.05
$16.92
$16.92
$17.04
$17.06
$17.15
$17.16
$16.98
$16.89
$16.82
$17.00
$16.97
$17.09
$17.03
$17.00
$16.97
$17.10
$17.05
$17.13
$17.04
$17.12
$17.19
$17.25
$17.19
$17.01
$17.04
$16.97
$17.12
$16.96
$16.82
$16.76
$16.88
$16.88
$16.76
$16.60
$16.64
$16.53
$16.44
$16.37
$16.33
$16.28
$16.30
$16.36
$16.51
$16.61
$16.49
$16.58
$16.55
$16.49
$16.34
$16.40
$16.50
$16.53
$16.53
$16.46
$16.44
$16.54
$16.65
$16.75
$16.68
$16.70
$16.75
$16.73
$16.79
$16.99
$16.99
$17.04
$17.07
$17.12
$17.11
$17.14
$17.03
$17.04
$17.01
$16.97
$17.08
$17.07
$17.09
$17.19
$17.09
$17.08
$17.09
$17.11
$17.14
$17.05
$17.09
$17.13
$17.10
$17.01
$16.86
$16.82
$16.81
$16.93
$16.79
$16.72
$16.67
$16.60
$16.63
$16.60
$16.69
$16.73
$16.78
$16.76
$16.92
$16.88
$16.83
$16.83
$16.99
$16.93
$17.07
$17.01
$17.08
$17.12
$17.15
$17.10
$17.17
$17.00
$17.10
$17.14
$17.12
$17.23
$17.19
$17.25
$17.16
$17.20
$17.20
$17.20
$17.14
$17.25
$17.23
$17.21
$17.15
$17.26
$17.17
$17.21
$17.25
$17.25
$17.12
$17.18
$17.18
$17.15
$17.10
$17.07
$17.08
$17.10
$17.19
$17.07
$17.05
$16.93
$17.00
$16.93
$16.96
$17.22
$17.28
$17.32
$17.30
$17.30
$17.41
$17.31
$17.16
$17.30
$17.29
$17.38
$17.45
$17.64
$17.71
$17.75
$17.77
$17.78
$17.71
$17.71
$17.39
$17.59
$17.49
$17.50
$17.70
$17.56
$17.58
$17.49
$17.53
$17.50
$17.53
$17.51
$17.60
$17.62
$17.60
$17.51
$17.64
$17.56
$17.55
$17.53
$17.48
$17.55
$17.52
$17.63
$17.65
$17.55
$17.62
$17.68
$17.67
$17.58
$17.58
$17.70
$17.58
$17.60
$17.61
$17.66
$17.75
$17.78
$17.86
$17.82
$17.89
$17.79
$17.89
$17.83
$17.83
$17.82
$17.91
$17.75
$17.82
$17.71
$17.72
$17.81
$17.65
$17.65
$17.69
$17.68
$17.73
$17.64
$17.69
$17.72
$17.75
$17.75
$17.75
$17.74
$17.69
$17.67
$17.81
$17.90
$17.79
$17.92
$18.05
$17.91
$17.91
$17.90
$17.97
$18.06
$18.10
$18.21
$18.12
$18.14
$18.20
4/30/07 $18.17
PAST PERFORMANCE IS NOT PREDICTIVE OF FUTURE RESULTS.
--------------------------------------------------------------------------------
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 The Fund paid shareholders capital gains and net ordinary income
distributions in December 2006 of $0.0047 per share.
16
Nuveen Investment Quality Municipal Fund, Inc. (NQM)
Portfolio of
INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
ALABAMA - 0.6% (0.4% OF TOTAL INVESTMENTS)
Birmingham Special Care Facilities Financing Authority, Alabama,
Revenue Bonds, Baptist Health System Inc., Series 2005A:
$ 1,200 5.250%, 11/15/20 11/15 at 100.00 Baa1 $ 1,257,576
800 5.000%, 11/15/30 11/15 at 100.00 Baa1 816,424
1,250 Courtland Industrial Development Board, Alabama, Pollution 6/15 at 100.00 BBB 1,283,825
Control Revenue Bonds, International Paper Company,
Series 2005A, 5.000%, 6/01/25
------------------------------------------------------------------------------------------------------------------------------------
3,250 Total Alabama 3,357,825
------------------------------------------------------------------------------------------------------------------------------------
ALASKA - 2.3% (1.4% OF TOTAL INVESTMENTS)
4,000 Northern Tobacco Securitization Corporation, Alaska, Tobacco 6/10 at 100.00 AAA 4,319,400
Settlement Asset-Backed Bonds, Series 2000, 6.500%, 6/01/31
(Pre-refunded 6/01/10)
Northern Tobacco Securitization Corporation, Alaska, Tobacco
Settlement Asset-Backed Bonds, Series 2006A:
7,000 5.000%, 6/01/32 6/14 at 100.00 Baa3 6,945,330
1,500 5.000%, 6/01/46 6/14 at 100.00 Baa3 1,475,880
------------------------------------------------------------------------------------------------------------------------------------
12,500 Total Alaska 12,740,610
------------------------------------------------------------------------------------------------------------------------------------
ARIZONA - 0.1% (0.1% OF TOTAL INVESTMENTS)
Glendale Industrial Development Authority, Arizona, Revenue
Bonds, John C. Lincoln Health Network, Series 2005B:
200 5.250%, 12/01/24 12/15 at 100.00 BBB 209,056
265 5.250%, 12/01/25 12/15 at 100.00 BBB 276,999
------------------------------------------------------------------------------------------------------------------------------------
465 Total Arizona 486,055
------------------------------------------------------------------------------------------------------------------------------------
ARKANSAS - 2.3% (1.5% OF TOTAL INVESTMENTS)
1,445 Arkansas Development Finance Authority, Home Mortgage Revenue 7/08 at 101.50 AAA 1,457,326
Bonds, FNMA/GNMA Mortgage-Backed Securities Program,
Series 1998A, 5.150%, 7/01/17
University of Arkansas, Pine Bluff Campus, Revenue Bonds,
Series 2005A:
3,290 5.000%, 12/01/30 - AMBAC Insured 12/15 at 100.00 Aaa 3,488,913
2,000 5.000%, 12/01/35 - AMBAC Insured 12/15 at 100.00 Aaa 2,115,000
Van Buren County, Arkansas, Sales and Use Tax Revenue Refunding
and Construction Bonds, Series 2000:
1,055 5.600%, 12/01/25 - AMBAC Insured 12/10 at 100.00 Aaa 1,115,525
3,600 5.650%, 12/01/31 - AMBAC Insured 12/10 at 100.00 Aaa 3,813,984
1,000 Washington County, Arkansas, Hospital Revenue Bonds, Washington 2/15 at 100.00 BBB 1,021,510
Regional Medical Center, Series 2005B, 5.000%, 2/01/30
------------------------------------------------------------------------------------------------------------------------------------
12,390 Total Arkansas 13,012,258
------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 22.6% (14.2% OF TOTAL INVESTMENTS)
3,000 California Educational Facilities Authority, Revenue Bonds, 10/15 at 100.00 AA+ 3,106,200
University of Southern California, Series 2005, 4.750%,
10/01/28
1,000 California Educational Facilities Authority, Revenue Bonds, 11/15 at 100.00 A2 1,046,870
University of the Pacific, Series 2006, 5.000%, 11/01/30
2,500 California Health Facilities Financing Authority, Revenue Bonds, 11/15 at 100.00 A2 2,582,400
Cedars-Sinai Medical Center, Series 2005, 5.000%, 11/15/27
4,285 California Health Facilities Financing Authority, Revenue Bonds, 4/16 at 100.00 A+ 4,404,337
Kaiser Permanante System, Series 2006, 5.000%, 4/01/37
5,500 California Health Facilities Financing Authority, Revenue Bonds, 11/16 at 100.00 AA- 5,687,605
Sutter Health, Series 2007A, 5.000%, 11/15/42
(WI/DD, Settling 5/01/07)
17
Nuveen Investment Quality Municipal Fund, Inc. (NQM) (continued)
Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA (continued)
$ 5,925 California State Public Works Board, Lease Revenue Refunding 6/07 at 100.00 Aa2 (4) $ 5,934,125
Bonds, Various University of California Projects, Series 1993A,
5.500%, 6/01/21 (Pre-refunded 6/01/07)
California Statewide Community Development Authority, Revenue
Bonds, Daughters of Charity Health System, Series 2005A:
1,000 5.250%, 7/01/30 7/15 at 100.00 BBB+ 1,039,980
1,000 5.000%, 7/01/39 7/15 at 100.00 BBB+ 1,013,660
10,000 California, General Obligation Bonds, Series 2003, 5.250%, 8/13 at 100.00 A+ 10,693,400
2/01/25
1,900 Chula Vista, California, Industrial Development Revenue Bonds, 6/14 at 102.00 A2 2,056,693
San Diego Gas and Electric Company, Series 1996A, 5.300%,
7/01/21
2,675 Commerce Joint Power Financing Authority, California, No Opt. Call AA 2,763,944
Tax Allocation Refunding Bonds, Redevelopment Projects 2 and 3,
Series 2003A, 5.000%, 8/01/28 - RAAI Insured
610 Golden State Tobacco Securitization Corporation, California, 6/17 at 100.00 BBB 611,879
Enhanced Tobacco Settlement Asset-Backed Bonds, Series 2007A-1,
5.125%, 6/01/47
9,740 Huntington Park Redevelopment Agency, California, Single Family No Opt. Call AAA 13,651,876
Residential Mortgage Revenue Refunding Bonds, Series 1986A,
8.000%, 12/01/19 (ETM)
5,730 Los Angeles Unified School District, California, General 7/12 at 100.00 AAA 6,139,924
Obligation Bonds, Series 2002E, 5.125%, 7/01/22
(Pre-refunded 7/01/12) - MBIA Insured
1,030 Natomas Union School District, Sacramento County, California, No Opt. Call AAA 1,214,772
General Obligation Refunding Bonds, Series 1999, 5.950%,
9/01/21 - MBIA Insured
15,770 Ontario Redevelopment Financing Authority, San Bernardino County, No Opt. Call AAA 21,507,124
California, Revenue Refunding Bonds, Redevelopment Project 1,
Series 1995, 7.400%, 8/01/25 - MBIA Insured
13,145 Perris, California, GNMA Mortgage-Backed Securities Program No Opt. Call AAA 18,725,578
Single Family Mortgage Revenue Bonds, Series 1988B, 8.200%,
9/01/23 (Alternative Minimum Tax) (ETM)
3,415 Rancho Mirage Joint Powers Financing Authority, California, 7/14 at 100.00 A3 3,746,904
Revenue Bonds, Eisenhower Medical Center, Series 2004, 5.875%,
7/01/26
5,000 Riverside Unified School District, Riverside County, California, 2/12 at 101.00 AAA 5,217,800
General Obligation Bonds, Series 2002A, 5.000%, 2/01/27 -
FGIC Insured
San Diego County, California, Certificates of Participation,
Burnham Institute, Series 2006:
250 5.000%, 9/01/21 9/15 at 102.00 Baa3 261,068
275 5.000%, 9/01/23 9/15 at 102.00 Baa3 286,943
San Joaquin Hills Transportation Corridor Agency, Orange County,
California, Toll Road Revenue Refunding Bonds, Series 1997A:
6,175 0.000%, 1/15/28 - MBIA Insured No Opt. Call AAA 2,497,170
8,135 0.000%, 1/15/34 - MBIA Insured No Opt. Call AAA 2,517,538
17,195 0.000%, 1/15/35 - MBIA Insured No Opt. Call AAA 5,106,571
3,185 University of California, General Revenue Bonds, Series 2005G, 5/13 at 101.00 AAA 3,274,148
4.750%, 5/15/31 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
128,440 Total California 125,088,509
------------------------------------------------------------------------------------------------------------------------------------
COLORADO - 5.0% (3.2% OF TOTAL INVESTMENTS)
1,000 Colorado Health Facilities Authority, Revenue Bonds, Evangelical 6/16 at 100.00 A- 1,026,030
Lutheran Good Samaritan Society, Series 2005, 5.000%, 6/01/29
400 Colorado Health Facilities Authority, Revenue Bonds, Poudre 3/15 at 100.00 BBB+ 408,948
Valley Health Care, Series 2005F, 5.000%, 3/01/25
35 Colorado Housing Finance Authority, Single Family Program Senior 5/07 at 105.00 Aa2 35,528
Bonds, Series 1996B, 7.450%, 11/01/27
12,450 Denver City and County, Colorado, Airport System Revenue 11/10 at 100.00 AAA 13,258,130
Refunding Bonds, Series 2000A, 6.000%, 11/15/19 - AMBAC Insured
(Alternative Minimum Tax)
3,200 Denver City and County, Colorado, Special Facilities Airport 10/07 at 100.00 N/R 3,246,400
Revenue Bonds, United Air Lines Corporation, Series 1992A,
6.875%, 10/01/32 (Alternative Minimum Tax)
7,865 El Paso County School District 11, Colorado Springs, Colorado, 12/07 at 125.00 AA- (4) 9,942,854
General Obligation Improvement Bonds, Series 1996, 7.125%,
12/01/21 (Pre-refunded 12/01/07)
------------------------------------------------------------------------------------------------------------------------------------
24,950 Total Colorado 27,917,890
------------------------------------------------------------------------------------------------------------------------------------
18
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
DISTRICT OF COLUMBIA - 6.5% (4.1% OF TOTAL INVESTMENTS)
$ 23,745 District of Columbia Water and Sewerage Authority, Public Utility 4/09 at 160.00 AAA $ 27,263,295
Revenue Bonds, Series 1998, 5.500%, 10/01/23 - FSA Insured
3,000 District of Columbia, General Obligation Bonds, Series 1998B, No Opt. Call AAA 3,477,240
6.000%, 6/01/16 - MBIA Insured
15,950 District of Columbia, Revenue Bonds, Georgetown University, 4/11 at 31.03 AAA 4,258,331
Series 2001A, 0.000%, 4/01/31 (Pre-refunded 4/01/11) - MBIA
Insured
900 Washington Convention Center Authority, District of Columbia, 10/16 at 100.00 Aaa 882,522
Senior Lien Dedicated Tax Revenue Bonds, Series 2007, Residuals
1606, 5.462%, 10/01/30 - AMBAC Insured (IF)
------------------------------------------------------------------------------------------------------------------------------------
43,595 Total District of Columbia 35,881,388
------------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 3.0% (1.9% OF TOTAL INVESTMENTS)
1,000 Board of Regents, Florida State University, Housing Facility 5/15 at 101.00 AAA 1,061,380
Revenue Bonds, Series 2005A, 5.000%, 5/01/27 - MBIA Insured
4,230 Brevard County Health Facilities Authority, Florida, Revenue 4/16 at 100.00 A 4,374,412
Bonds, Health First Inc. Project, Series 2005, 5.000%, 4/01/24
1,570 Escambia County Health Facilities Authority, Florida, Health 10/08 at 101.00 BBB+ 1,598,354
Facility Revenue Refunding Bonds, Baptist Hospital and Baptist
Manor, Series 1998, 5.125%, 10/01/19
3,200 Hillsborough County Industrial Development Authority, Florida, 4/10 at 101.00 N/R 3,471,360
Exempt Facilities Remarketed Revenue Bonds, National Gypsum
Company, Apollo Beach Project, Series 2000B, 7.125%, 4/01/30
(Alternative Minimum Tax)
5,895 South Miami Florida Health Facilities Authority, Hospital 8/17 at 100.00 AA- 6,054,519
Revenue, Baptist Health System Obligation Group, Series 2007,
5.000%, 8/15/42 (WI/DD, Settling 5/16/07)
------------------------------------------------------------------------------------------------------------------------------------
15,895 Total Florida 16,560,025
------------------------------------------------------------------------------------------------------------------------------------
GEORGIA - 4.5% (2.8% OF TOTAL INVESTMENTS)
10,000 Atlanta, Georgia, Airport General Revenue Refunding Bonds, 1/10 at 101.00 AAA 10,578,000
Series 2000A, 5.600%, 1/01/30 (Pre-refunded 1/01/10) - FGIC
Insured
2,710 Atlanta, Georgia, Water and Wastewater Revenue Bonds, Series 11/14 at 100.00 AAA 2,867,045
2004, 5.000%, 11/01/23 - FSA Insured
2,000 Dalton Development Authority, Georgia, Revenue Certificates, No Opt. Call AAA 2,331,100
Hamilton Health Care System Inc., Series 1996, 5.500%, 8/15/26
- MBIA Insured
5,980 Fulton County Development Authority, Georgia, Revenue Bonds, 9/11 at 102.00 AAA 6,451,643
Georgia State University - TUFF/Atlanta Housing LLC, Series
2001A, 5.500%, 9/01/22 - AMBAC Insured
2,250 Georgia Municipal Electric Authority, Project One Special No Opt. Call A+ 2,652,075
Obligation Bonds, Fourth Crossover Series 1997E, 6.500%,
1/01/20
------------------------------------------------------------------------------------------------------------------------------------
22,940 Total Georgia 24,879,863
------------------------------------------------------------------------------------------------------------------------------------
IDAHO - 1.0% (0.6% OF TOTAL INVESTMENTS)
4,810 Boise City, Idaho, Revenue Refunding Bonds, Series 2001A, 5.375%, 12/11 at 100.00 Aaa 5,101,005
12/01/31 - MBIA Insured
500 Madison County, Idaho, Hospital Revenue Certificates of 9/16 at 100.00 BBB- 517,310
Participation, Madison Memorial Hospital, Series 2006, 5.250%,
9/01/26
------------------------------------------------------------------------------------------------------------------------------------
5,310 Total Idaho 5,618,315
------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 11.7% (7.4% OF TOTAL INVESTMENTS)
4,705 Bourbonnais, Illinois, Revenue Bonds, Olivet Nazarene University, 3/10 at 101.00 AA 5,020,753
Series 2000, 6.250%, 3/01/20 - RAAI Insured
14,600 Chicago Greater Metropolitan Area Sanitary District, Illinois, 12/16 at 100.00 AAA 15,990,066
General Obligation Bonds, Series 2006, 5.000%, 12/01/35 (UB)
4,775 Chicago Public Building Commission, Illinois, General Obligation 3/13 at 100.00 AAA 5,156,141
Lease Bonds, Chicago Transit Authority, Series 2003, 5.250%,
3/01/23 (Pre-refunded 3/01/13) - AMBAC Insured
2,110 Illinois Development Finance Authority, Local Government Program 1/11 at 100.00 Aaa 2,276,099
Revenue Bonds, DuPage and Cook Counties Community Unit School
District 205 - Elmhurst, Series 2000, 6.000%, 1/01/19
(Pre-refunded 1/01/11) - FSA Insured
19
Nuveen Investment Quality Municipal Fund, Inc. (NQM) (continued)
Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS (continued)
Illinois Finance Authority, Revenue Bonds, OSF Healthcare System,
Series 2004:
$ 2,500 5.250%, 11/15/21 5/14 at 100.00 A $ 2,612,025
1,000 5.250%, 11/15/22 5/14 at 100.00 A 1,043,590
395 Illinois Finance Authority, Revenue Bonds, Proctor Hospital, 1/16 at 100.00 BBB- 404,132
Series 2006, 5.125%, 1/01/25
2,600 Illinois Health Facilities Authority, Revenue Bonds, Condell 5/12 at 100.00 Baa2 2,707,146
Medical Center, Series 2002, 5.500%, 5/15/32
12,725 Kane, Cook and DuPage Counties School District 46, Elgin, No Opt. Call Aaa 14,886,087
Illinois, General Obligation School Bonds, Series 1997, 7.800%,
1/01/12 - FSA Insured
6,300 Madison County Community Unit School District 7, Edwardsville, No Opt. Call AAA 6,880,356
Illinois, School Building Bonds, Series 1994, 5.850%,
2/01/13 - FGIC Insured (ETM)
6,015 Metropolitan Pier and Exposition Authority, Illinois, Revenue No Opt. Call AAA 3,237,875
Refunding Bonds, McCormick Place Expansion Project,
Series 1996A, 0.000%, 12/15/21 - MBIA Insured
Will County High School District 204, Joliet, Illinois,
General Obligation Bonds, Series 2001:
1,145 8.700%, 12/01/13 - FSA Insured No Opt. Call AAA 1,467,982
1,300 8.700%, 12/01/14 - FSA Insured No Opt. Call AAA 1,712,009
1,180 Will County School District 17, Channahon, Illinois, General No Opt. Call Aaa 1,492,405
Obligation School Building Bonds, Series 2001, 8.400%,
12/01/13 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
61,350 Total Illinois 64,886,666
------------------------------------------------------------------------------------------------------------------------------------
INDIANA - 3.2% (2.0% OF TOTAL INVESTMENTS)
5,530 Allen County Jail Building Corporation, Indiana, First Mortgage 4/11 at 101.00 Aa3 (4) 5,995,184
Bonds, Series 2000, 5.750%, 4/01/20 (Pre-refunded 4/01/11)
1,880 Indianapolis, Indiana, GNMA Collateralized Multifamily Housing 7/10 at 102.00 Aaa 1,980,749
Mortgage Revenue Bonds, Cloverleaf Apartments Project Phase I,
Series 2000, 6.000%, 1/20/31
2,495 Shelbyville, Indiana, GNMA Collateralized Multifamily Housing 7/10 at 102.00 Aaa 2,627,784
Revenue Bonds, Blueridge Terrace Project, Series 2000, 6.050%,
1/20/36
St. Joseph County Hospital Authority, Indiana, Revenue Bonds,
Madison Center Inc., Series 2005:
1,550 5.250%, 2/15/23 2/15 at 100.00 BBB 1,593,261
2,500 5.375%, 2/15/34 2/15 at 100.00 BBB 2,585,775
2,765 Wayne County Jail Holding Corporation, Indiana, First Mortgage 1/13 at 101.00 AAA 3,059,085
Bonds, Series 2001, 5.750%, 7/15/14 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
16,720 Total Indiana 17,841,838
------------------------------------------------------------------------------------------------------------------------------------
IOWA - 1.5% (0.9% OF TOTAL INVESTMENTS)
8,000 Iowa Tobacco Settlement Authority, Asset Backed Settlement 6/15 at 100.00 BBB 8,312,080
Revenue Bonds, Series 2005C, 5.500%, 6/01/42
------------------------------------------------------------------------------------------------------------------------------------
KANSAS - 1.1% (0.7% OF TOTAL INVESTMENTS)
1,000 Kansas Development Finance Authority, Health Facilities Revenue 11/15 at 100.00 A2 1,032,960
Bonds, Hays Medical Center Inc., Series 2005L, 5.000%, 11/15/22
670 Sedgwick and Shawnee Counties, Kansas, GNMA Mortgage-Backed No Opt. Call Aaa 699,962
Securities Program Single Family Revenue Bonds, Series 1997A-1,
6.950%, 6/01/29 (Alternative Minimum Tax)
3,630 Topeka, Kansas, Industrial Revenue Refunding Bonds, Sunwest Hotel 8/16 at 100.00 AAA 4,599,972
Corporation, Series 1988, 9.500%, 10/01/16
(Pre-refunded 8/15/16) (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
5,300 Total Kansas 6,332,894
------------------------------------------------------------------------------------------------------------------------------------
KENTUCKY - 0.5% (0.3% OF TOTAL INVESTMENTS)
2,000 Jefferson County, Kentucky, Health Facilities Revenue Refunding 7/07 at 102.00 AAA 2,042,680
Bonds, Jewish Hospital HealthCare Services Inc., Series 1996,
5.700%, 1/01/21 - AMBAC Insured
510 Louisville and Jefferson County Metropolitan Government, 10/16 at 100.00 N/R 522,102
Kentucky, Industrial Building Revenue Bonds, Sisters of Mercy
of the Americas, Series 2006, 5.000%, 10/01/35
------------------------------------------------------------------------------------------------------------------------------------
2,510 Total Kentucky 2,564,782
------------------------------------------------------------------------------------------------------------------------------------
20
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
LOUISIANA - 3.4% (2.1% OF TOTAL INVESTMENTS)
$ 945 East Baton Rouge Mortgage Finance Authority, Louisiana, GNMA/FNMA 10/07 at 102.00 Aaa $ 952,664
Mortgage-Backed Securities Program Family Mortgage Revenue
Refunding Bonds, Series 1997D, 5.900%, 10/01/30 (Alternative
Minimum Tax)
Jefferson Parish Home Mortgage Authority, Louisiana, Single
Family Mortgage Revenue Bonds, Series 2000G-2:
730 5.550%, 6/01/32 (Alternative Minimum Tax) 12/10 at 102.00 Aaa 732,219
1,105 6.300%, 6/01/32 (Alternative Minimum Tax) 12/10 at 102.00 Aaa 1,151,918
475 Jefferson Parish Home Mortgage Authority, Louisiana, Single 12/09 at 103.00 Aaa 496,855
Family Mortgage Revenue Refunding Bonds, Series 2000A-2,
7.500%, 12/01/30 (Alternative Minimum Tax)
3,000 Louisiana Public Facilities Authority, Hospital Revenue Bonds, 8/15 at 100.00 A+ 3,153,000
Franciscan Missionaries of Our Lady Health System,
Series 2005A, 5.250%, 8/15/31
11,545 Orleans Parish School Board, Louisiana, General Obligation No Opt. Call AAA 12,563,846
Refunding Bonds, Series 1987, 9.000%, 2/01/09 - MBIA
Insured (ETM)
------------------------------------------------------------------------------------------------------------------------------------
17,800 Total Louisiana 19,050,502
------------------------------------------------------------------------------------------------------------------------------------
MARYLAND - 0.5% (0.3% OF TOTAL INVESTMENTS)
2,500 Maryland Health and Higher Educational Facilities Authority, 8/14 at 100.00 A3 2,640,875
Revenue Bonds, MedStar Health, Series 2004, 5.375%, 8/15/24
------------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 3.5% (2.2% OF TOTAL INVESTMENTS)
5,010 Massachusetts Development Financing Authority, Assisted Living 12/09 at 102.00 N/R 5,177,585
Revenue Bonds, Prospect House Apartments, Series 1999, 7.000%,
12/01/31
1,105 Massachusetts Health and Educational Facilities Authority, 1/09 at 101.00 BBB 1,135,233
Revenue Bonds, Caritas Christi Obligated Group, Series 1999A,
5.625%, 7/01/20
1,875 Massachusetts Health and Educational Facilities Authority, 7/11 at 100.00 BBB 2,034,881
Revenue Bonds, UMass Memorial Health Care, Series 2001C,
6.500%, 7/01/21
1,325 Massachusetts Health and Educational Facilities Authority, 7/15 at 100.00 BBB 1,345,776
Revenue Bonds, UMass Memorial Health Care, Series 2005D,
5.000%, 7/01/33
2,000 Massachusetts Industrial Finance Agency, Resource Recovery 12/08 at 102.00 BBB 2,073,260
Revenue Refunding Bonds, Ogden Haverhill Project, Series 1998A,
5.600%, 12/01/19 (Alternative Minimum Tax)
5,100 Massachusetts School Building Authority, Dedicated Sales Tax 8/15 at 100.00 AAA 5,428,797
Revenue Bonds, Series 2005A, 5.000%, 8/15/23 - FSA Insured
1,000 Massachusetts Water Resources Authority, General Revenue Bonds, 8/17 at 100.00 AAA 1,101,130
Series 2005A, 5.250%, 8/01/26 - MBIA Insured
900 Massachusetts Water Resources Authority, General Revenue Bonds, 2/17 at 100.00 Aaa 856,791
Series 2007, Residual Trust 7039, 5.140%, 8/01/46 - FSA
Insured (IF)
------------------------------------------------------------------------------------------------------------------------------------
18,315 Total Massachusetts 19,153,453
------------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 3.7% (2.3% OF TOTAL INVESTMENTS)
4,250 Detroit City School District, Wayne County, Michigan, Unlimited 5/12 at 100.00 AAA 4,601,518
Tax School Building and Site Improvement Bonds, Series 2001A,
5.500%, 5/01/20 (Pre-refunded 5/01/12) - FSA Insured
10,215 Detroit, Michigan, Water Supply System Revenue Refunding Bonds, No Opt. Call AAA 11,961,969
Series 1993, 6.500%, 7/01/15 - FGIC Insured
1,800 Kent Hospital Finance Authority, Michigan, Revenue Bonds, 7/15 at 100.00 BBB 1,984,032
Metropolitan Hospital, Series 2005A, 6.000%, 7/01/35
1,350 Michigan State Building Authority, Revenue Bonds, Facilities 10/15 at 100.00 AAA 1,442,151
Program, Series 2005II, 5.000%, 10/15/22 - AMBAC Insured
340 Monroe County Hospital Finance Authority, Michigan, Mercy 6/16 at 100.00 BBB- 359,628
Memorial Hospital Corporation Revenue Bonds, Series 2006,
5.500%, 6/01/35
------------------------------------------------------------------------------------------------------------------------------------
17,955 Total Michigan 20,349,298
------------------------------------------------------------------------------------------------------------------------------------
21
Nuveen Investment Quality Municipal Fund, Inc. (NQM) (continued)
Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
MINNESOTA - 7.4% (4.7% OF TOTAL INVESTMENTS)
$ 8,250 Cohasset, Minnesota, Pollution Control Revenue Bonds, 7/14 at 100.00 A- $ 8,466,728
Allete Inc., Series 2004, 4.950%, 7/01/22
5,000 Dakota and Washington Counties Housing and Redevelopment No Opt. Call AAA 7,096,200
Authority, Minnesota, GNMA Mortgage-Backed Securities Program
Single Family Residential Mortgage Revenue Bonds, Series
1988, 8.450%, 9/01/19 (Alternative Minimum Tax) (ETM)
620 Minnesota Agricultural and Economic Development Board, Healthcare 11/10 at 101.00 A 668,329
System Revenue Bonds, Fairview Hospital and Healthcare
Services, Series 2000A, 6.375%, 11/15/29
19,380 Minnesota Agricultural and Economic Development Board, 11/10 at 101.00 A (4) 21,232,145
Healthcare System Revenue Bonds, Fairview Hospital and
Healthcare Services, Series 2000A, 6.375%, 11/15/29
(Pre-refunded 11/15/10)
700 Minnesota Higher Education Facilities Authority, St. John's 10/15 at 100.00 A2 741,125
University Revenue Bonds, Series 2005-6G, 5.000%, 10/01/22
1,665 Rochester, Minnesota, Health Care Facilities Revenue Bonds, 5/16 at 100.00 AA 1,739,459
Series 2006, 5.000%, 11/15/36
1,000 St. Paul Housing and Redevelopment Authority, Minnesota, 11/15 at 100.00 Baa3 1,106,500
Revenue Bonds, Healtheast Inc., Series 2005, 6.000%, 11/15/25
------------------------------------------------------------------------------------------------------------------------------------
36,615 Total Minnesota 41,050,486
------------------------------------------------------------------------------------------------------------------------------------
MISSISSIPPI - 0.2% (0.1% OF TOTAL INVESTMENTS)
1,275 Mississippi Hospital Equipment and Facilities Authority, Revenue 9/14 at 100.00 N/R 1,316,795
Bonds, Baptist Memorial Healthcare, Series 2004B-1, 5.000%,
9/01/24
------------------------------------------------------------------------------------------------------------------------------------
MISSOURI - 2.0% (1.2% OF TOTAL INVESTMENTS)
200 Hannibal Industrial Development Authority, Missouri, Health 3/16 at 100.00 BBB+ 205,670
Facilities Revenue Bonds, Hannibal Regional Hospital,
Series 2006, 5.000%, 3/01/22
1,000 Jackson County Reorganized School District R-7, Lees Summit, 3/16 at 100.00 Aaa 1,090,270
Missouri, General Obligation Bonds, Series 2006, 5.250%,
3/01/26 - MBIA Insured
7,260 Kansas City Industrial Development Authority, Missouri, FNMA 6/07 at 102.00 AAA 7,413,912
Multifamily Housing Revenue Bonds, Royal Woods Apartments
Project, Series 1997, 5.600%, 1/01/30 (Mandatory put 1/01/10)
(Alternative Minimum Tax)
Missouri Development Finance Board, Infrastructure Facilities
Revenue Bonds, Branson Landing Project, Series 2005A:
780 6.000%, 6/01/20 No Opt. Call BBB+ 897,070
1,225 5.000%, 6/01/35 6/15 at 100.00 BBB+ 1,266,087
10 Missouri Housing Development Commission, GNMA/FNMA Single 9/07 at 105.00 AAA 10,146
Family Mortgage Revenue Bonds, Homeownership Loan Program,
Series 1997A-2, 7.300%, 3/01/28 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
10,475 Total Missouri 10,883,155
------------------------------------------------------------------------------------------------------------------------------------
MONTANA - 0.6% (0.3% OF TOTAL INVESTMENTS)
3,000 Montana Board of Housing, Single Family Program Bonds, 6/14 at 100.00 AA+ 3,038,610
Series 2005-RA-1, 4.750%, 6/01/44
------------------------------------------------------------------------------------------------------------------------------------
NEBRASKA - 0.4% (0.3% OF TOTAL INVESTMENTS)
2,270 NebHelp Inc., Nebraska, Revenue Bonds, Student Loan Program, 9/07 at 100.50 AAA 2,285,436
Series 1993B, 5.875%, 6/01/14 - MBIA Insured
(Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
NEVADA - 4.9% (3.1% OF TOTAL INVESTMENTS)
11,000 Clark County School District, Nevada, General Obligation Bonds, 6/12 at 100.00 AAA 11,924,110
Series 2002C, 5.500%, 6/15/19 (Pre-refunded 6/15/12) - MBIA
Insured
14,530 Director of Nevada State Department of Business and Industry, 1/10 at 102.00 AAA 15,409,356
Revenue Bonds, Las Vegas Monorail Project, First Tier,
Series 2000, 5.625%, 1/01/34 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
25,530 Total Nevada 27,333,466
------------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY - 2.3% (1.5% OF TOTAL INVESTMENTS)
New Jersey Economic Development Authority, School Facilities
Construction Bonds, Series 2005P:
1,325 5.250%, 9/01/24 9/15 at 100.00 AA- 1,435,002
1,000 5.250%, 9/01/26 9/15 at 100.00 AA- 1,080,820
22
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY (continued)
$ 1,080 New Jersey Educational Facilities Authority, Revenue Bonds, 7/17 at 100.00 AAA $ 1,054,415
Rowan College, Series 2007B, 4.250%, 7/01/34 - FGIC Insured
3,425 New Jersey Transportation Trust Fund Authority, Transportation No Opt. Call AA- 3,827,198
System Bonds, Series 2006A, 5.250%, 12/15/20
1,645 Tobacco Settlement Financing Corporation, New Jersey, Tobacco 6/12 at 100.00 AAA 1,758,670
Settlement Asset-Backed Bonds, Series 2002, 5.750%, 6/01/32
(Pre-refunded 6/01/12)
4,000 Tobacco Settlement Financing Corporation, New Jersey, Tobacco 6/17 at 100.00 BBB 3,806,760
Settlement Asset-Backed Bonds, Series 2007-1A, 4.750%, 6/01/34
------------------------------------------------------------------------------------------------------------------------------------
12,475 Total New Jersey 12,962,865
------------------------------------------------------------------------------------------------------------------------------------
NEW MEXICO - 0.4% (0.3% OF TOTAL INVESTMENTS)
Farmington, New Mexico, Hospital Revenue Bonds, San Juan Regional
Medical Center Inc., Series 2004A:
880 5.125%, 6/01/17 6/14 at 100.00 A3 917,629
1,295 5.125%, 6/01/19 6/14 at 100.00 A3 1,343,990
------------------------------------------------------------------------------------------------------------------------------------
2,175 Total New Mexico 2,261,619
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 18.0% (11.4% OF TOTAL INVESTMENTS)
1,665 Dormitory Authority of the State of New York, State Personal 3/15 at 100.00 AAA 1,766,632
Income Tax Revenue Bonds, Series 2005F, 5.000%, 3/15/24 - AMBAC
Insured
Dormitory Authority of the State of New York, State Personal
Income Tax Revenue Bonds, Education, Series 2006C:
1,450 5.000%, 12/15/31 (UB) 12/16 at 100.00 AAA 1,546,324
6,090 5.000%, 12/15/35 (UB) 12/16 at 100.00 AAA 6,479,638
25 Hudson Yards Infrastructure Corporation, New York, Revenue Bonds, 2/17 at 100.00 AAA 23,970
Driver Trust 1649, 2006, 5.313%, 2/15/47 - MBIA Insured (IF)
3,980 Hudson Yards Infrastructure Corporation, New York, Revenue Bonds, 2/17 at 100.00 AAA 3,925,275
Series 2006A, 4.500%, 2/15/47 - MBIA Insured (UB)
3,000 Long Island Power Authority, New York, Electric System Revenue 11/16 at 100.00 AAA 2,905,860
Bonds, Series 2006F, 4.250%, 5/01/33 - MBIA Insured (UB)
2,250 Metropolitan Transportation Authority, New York, Transportation 11/15 at 100.00 AAA 2,388,825
Revenue Bonds, Series 2005B, 5.000%, 11/15/30 - AMBAC Insured
3,200 Metropolitan Transportation Authority, New York, Transportation 11/15 at 100.00 A 3,366,848
Revenue Bonds, Series 2005F, 5.000%, 11/15/30
7,800 New York City Municipal Water Finance Authority, New York, 12/14 at 100.00 AAA 8,252,712
Water and Sewerage System Revenue Bonds, Fiscal Series 2005B,
5.000%, 6/15/28 - AMBAC Insured
5,570 New York City Transitional Finance Authority, New York, Future 2/14 at 100.00 AAA 5,909,993
Tax Secured Bonds, Fiscal Series 2004C, 5.000%, 2/01/22
3,360 New York City, New York, General Obligation Bonds, Fiscal Series 6/13 at 100.00 AA- 3,639,182
2003J, 5.500%, 6/01/20
1,640 New York City, New York, General Obligation Bonds, Fiscal Series 6/13 at 100.00 A1 (4) 1,803,721
2003J, 5.500%, 6/01/20 (Pre-refunded 6/01/13)
5,000 New York City, New York, General Obligation Bonds, Fiscal Series 8/14 at 100.00 AA- 5,373,600
2004C, 5.250%, 8/15/20
4,200 New York City, New York, General Obligation Bonds, Fiscal Series 3/15 at 100.00 AA- 4,417,854
2005J, 5.000%, 3/01/25
7,000 New York City, New York, General Obligation Bonds, Fiscal Series 4/15 at 100.00 AA- 7,376,110
2005M, 5.000%, 4/01/24
5,000 New York State Municipal Bond Bank Agency, Special School Purpose 6/13 at 100.00 A+ 5,369,400
Revenue Bonds, Series 2003C, 5.250%, 12/01/19
3,000 New York State Thruway Authority, General Revenue Bonds, Series 7/15 at 100.00 AAA 3,101,400
2005G, 4.750%, 1/01/29 - FSA Insured
2,030 New York State Thruway Authority, Highway and Bridge Trust 10/15 at 100.00 AAA 2,171,735
Fund Bonds, Second Generation, Series 2005B, 5.000%, 4/01/21 -
AMBAC Insured
5,400 New York State Tobacco Settlement Financing Corporation, Tobacco 6/10 at 100.00 AA- 5,662,332
Settlement Asset-Backed and State Contingency Contract-Backed
Bonds, Series 2003A-1, 5.500%, 6/01/16
23
Nuveen Investment Quality Municipal Fund, Inc. (NQM) (continued)
Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK (continued)
$ 4,205 New York State Urban Development Corporation, State Personal 3/14 at 100.00 AAA $ 4,433,416
Income Tax Revenue Bonds, Series 2004A-1, 5.000%, 3/15/23 -
FGIC Insured
16,445 Port Authority of New York and New Jersey, Special Project Bonds, No Opt. Call AAA 18,929,346
JFK International Air Terminal LLC, Sixth Series 1997, 7.000%,
12/01/12 - MBIA Insured (Alternative Minimum Tax)
1,000 Rensselaer County Industrial Development Agency, New York, Civic 3/16 at 100.00 A 1,059,630
Facility Revenue Bonds,Rensselaer Polytechnic Institute,
Series 2006, 5.000%, 3/01/26
------------------------------------------------------------------------------------------------------------------------------------
93,310 Total New York 99,903,803
------------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA - 1.5% (0.9% OF TOTAL INVESTMENTS)
280 Charlotte, North Carolina, FHA-Insured Mortgage Revenue Bonds, 11/07 at 100.00 AAA 279,500
Double Oaks Apartments, Series 1992, 7.350%, 5/15/26
7,420 North Carolina Medical Care Commission, Health System Revenue 10/11 at 101.00 AA (4) 7,943,110
Bonds, Mission St. Joseph's Health System, Series 2001, 5.250%,
10/01/26 (Pre-refunded 10/01/11)
------------------------------------------------------------------------------------------------------------------------------------
7,700 Total North Carolina 8,222,610
------------------------------------------------------------------------------------------------------------------------------------
OHIO - 1.7% (1.1% OF TOTAL INVESTMENTS)
8,650 Cuyahoga County, Ohio, Hospital Revenue and Improvement Bonds, 2/09 at 101.00 A- (4) 9,096,859
MetroHealth System, Series 1999, 6.150%, 2/15/29
(Pre-refunded 2/15/09)
250 Port of Greater Cincinnati Development Authority, Ohio, Economic 10/16 at 100.00 N/R 257,275
Development Revenue Bonds, Sisters of Mercy of the Americas,
Series 2006, 5.000%, 10/01/25
------------------------------------------------------------------------------------------------------------------------------------
8,900 Total Ohio 9,354,134
------------------------------------------------------------------------------------------------------------------------------------
OKLAHOMA - 0.8% (0.5% OF TOTAL INVESTMENTS)
Norman Regional Hospital Authority, Oklahoma, Hospital Revenue
Bonds, Series 2005:
500 5.375%, 9/01/29 9/16 at 100.00 BBB- 527,750
750 5.375%, 9/01/36 9/16 at 100.00 BBB- 787,853
3,300 Tulsa Municipal Airport Trust, Oklahoma, Revenue Refunding Bonds, 12/08 at 100.00 B 3,364,416
American Airlines Inc., Series 2000B, 6.000%, 6/01/35
(Mandatory put 12/01/08) (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
4,550 Total Oklahoma 4,680,019
------------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 2.7% (1.7% OF TOTAL INVESTMENTS)
500 Bucks County Industrial Development Authority, Pennsylvania, 3/17 at 100.00 BBB 503,655
Charter School Revenue Bonds, School Lane Charter School,
Series 2007A, 5.000%, 3/15/37
3,000 Commonwealth Financing Authority, Pennsylvania, State 6/16 at 100.00 AAA 3,201,810
Appropriation Lease Bonds, Series 2006A, 5.000%, 6/01/26 - FSA
Insured
5,130 Pennsylvania Public School Building Authority, Lease Revenue 12/16 at 100.00 AAA 5,110,711
Bonds, School District of Philadelphia, Series 2006B, 4.500%,
6/01/32 - FSA Insured (UB)
5,000 Philadelphia, Pennsylvania, General Obligation Bonds, 3/11 at 100.00 AAA 5,257,800
Series 2001, 5.250%, 9/15/18 - FSA Insured
1,000 St. Mary Hospital Authority, Pennsylvania, Health System Revenue 11/14 at 100.00 A1 (4) 1,110,410
Bonds, Catholic Health East, Series 2004B, 5.500%, 11/15/24
(Pre-refunded 11/15/14)
------------------------------------------------------------------------------------------------------------------------------------
14,630 Total Pennsylvania 15,184,386
------------------------------------------------------------------------------------------------------------------------------------
PUERTO RICO - 0.7% (0.5% OF TOTAL INVESTMENTS)
1,000 Puerto Rico Electric Power Authority, Power Revenue Bonds, 7/15 at 100.00 AAA 1,058,680
Series 2005RR, 5.000%, 7/01/30 - XLCA Insured
1,500 Puerto Rico Infrastructure Financing Authority, Special 10/10 at 101.00 AAA 1,602,900
Obligation Bonds, Series 2000A, 5.500%, 10/01/40
1,225 Pureto Rico Municipal Finance Agency, Series 2005C, 5.250%, No Opt. Call AAA 1,385,046
8/01/21 - CIFG Insured
------------------------------------------------------------------------------------------------------------------------------------
3,725 Total Puerto Rico 4,046,626
------------------------------------------------------------------------------------------------------------------------------------
24
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
RHODE ISLAND - 5.5% (3.5% OF TOTAL INVESTMENTS)
$ 2,410 Rhode Island Health and Educational Building Corporation, 5/07 at 102.00 AAA $ 2,461,646
Hospital Financing Revenue Bonds, Lifespan Obligated Group,
Series 1996, 5.750%, 5/15/23 - MBIA Insured
21,590 Rhode Island Health and Educational Building Corporation, 5/07 at 102.00 AAA 22,038,422
Hospital Financing Revenue Bonds, Lifespan Obligated Group,
Series 1996, 5.750%, 5/15/23 (Pre-refunded 5/15/07) - MBIA
Insured
5,610 Rhode Island Tobacco Settlement Financing Corporation, Tobacco 6/12 at 100.00 BBB 5,979,867
Settlement Asset-Backed Bonds, Series 2002A, 6.000%, 6/01/23
------------------------------------------------------------------------------------------------------------------------------------
29,610 Total Rhode Island 30,479,935
------------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA - 2.5% (1.6% OF TOTAL INVESTMENTS)
2,000 Berkeley County School District, South Carolina, Installment 12/13 at 100.00 A- 2,105,560
Purchase Revenue Bonds, Securing Assets for Education,
Series 2003, 5.250%, 12/01/24
4,405 Dorchester County School District 2, South Carolina, Installment 12/14 at 100.00 A 4,682,075
Purchase Revenue Bonds, GROWTH, Series 2004, 5.250%, 12/01/23
6,500 South Carolina JOBS Economic Development Authority, Economic 11/12 at 100.00 A- 6,884,410
Development Revenue Bonds, Bon Secours Health System Inc.,
Series 2002A, 5.625%, 11/15/30
------------------------------------------------------------------------------------------------------------------------------------
12,905 Total South Carolina 13,672,045
------------------------------------------------------------------------------------------------------------------------------------
SOUTH DAKOTA - 0.3% (0.2% OF TOTAL INVESTMENTS)
1,750 South Dakota Health and Educational Facilities Authority, 11/14 at 100.00 AA- 1,888,110
Revenue Bonds, Sioux Valley Hospitals, Series 2004A, 5.500%,
11/01/31
------------------------------------------------------------------------------------------------------------------------------------
TENNESSEE - 1.2% (0.7% OF TOTAL INVESTMENTS)
3,200 Johnson City Health and Educational Facilities Board, Tennessee, 7/16 at 100.00 BBB+ 3,409,568
Revenue Bonds, Mountain States Health Alliance, Series 2006A,
5.500%, 7/01/36
3,000 Knox County Health, Educational and Housing Facilities Board, 4/12 at 101.00 Ba2 3,097,110
Tennessee, Hospital Revenue Bonds, Baptist Health System of
East Tennessee Inc., Series 2002, 6.500%, 4/15/31
------------------------------------------------------------------------------------------------------------------------------------
6,200 Total Tennessee 6,506,678
------------------------------------------------------------------------------------------------------------------------------------
TEXAS - 14.6% (9.2% OF TOTAL INVESTMENTS)
3,135 Austin Housing Finance Corporation, Texas, GNMA Collateralized 12/10 at 105.00 Aaa 3,443,265
Mortgage Loan Multifamily Housing Revenue Bonds, Santa Maria
Village Project, Series 2000A, 7.375%, 6/20/35 (Alternative
Minimum Tax)
5,000 Board of Regents, University of Texas System, Financing System 2/17 at 100.00 AAA 4,825,050
Revenue Bonds, Series 2006F, 4.250%, 8/15/36 (UB)
635 Clear Creek Independent School District, Galveston and Harris 2/10 at 100.00 AAA 662,616
Counties, Texas, Unlimited Tax Schoolhouse and Refunding Bonds,
Series 2000, 5.500%, 2/15/22
18,075 Clear Creek Independent School District, Galveston and Harris 2/10 at 100.00 AAA 18,931,753
Counties, Texas, Unlimited Tax Schoolhouse and Refunding Bonds,
Series 2000, 5.500%, 2/15/22 (Pre-refunded 2/15/10)
3,865 Harris County Hospital District, Texas, Revenue Refunding Bonds, No Opt. Call AAA 4,094,001
Series 1990, 7.400%, 2/15/10 - AMBAC Insured
1,310 Harris County Hospital District, Texas, Revenue Refunding Bonds, No Opt. Call AAA 1,374,347
Series 1990, 7.400%, 2/15/10 - AMBAC Insured (ETM)
5,000 Harris County Hospital District, Texas, Revenue Refunding Bonds, 8/10 at 100.00 AAA 5,314,700
Series 2000, 6.000%, 2/15/14 - MBIA Insured
2,256 Heart of Texas Housing Finance Corporation, GNMA Collateralized 6/10 at 105.00 Aaa 2,457,190
Mortgage Loan Revenue Bonds, Robinson Garden Project,
Series 2000A, 7.375%, 6/20/35 (Alternative Minimum Tax)
11,950 Houston, Texas, Junior Lien Water and Sewerage System Revenue No Opt. Call AAA 6,147,917
Refunding Bonds, Series 1998A, 0.000%, 12/01/22 - FSA Insured
(ETM)
4,680 Houston, Texas, Junior Lien Water and Sewerage System Revenue No Opt. Call AAA 2,396,722
Refunding Bonds, Series 1998A, 0.000%, 12/01/22 - FSA Insured
25
Nuveen Investment Quality Municipal Fund, Inc. (NQM) (continued)
Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
TEXAS (continued)
Kerrville Health Facilities Development Corporation, Texas,
Revenue Bonds, Sid Peterson Memorial Hospital Project, Series
2005:
$ 800 5.250%, 8/15/21 No Opt. Call BBB- $ 833,968
1,000 5.125%, 8/15/26 No Opt. Call BBB- 1,029,160
1,000 Sabine River Authority, Texas, Pollution Control Revenue Bonds, 11/15 at 100.00 Baa2 1,016,140
TXU Electric Company, Series 2001C, 5.200%, 5/01/28
3,960 Stafford Economic Development Corporation, Texas, Sales Tax 9/15 at 100.00 AAA 4,375,840
Revenue Bonds, Series 2000, 5.500%, 9/01/30 - FGIC Insured
5,300 Tarrant County Health Facilities Development Corporation, Texas, 12/10 at 105.00 Aaa 5,940,611
GNMA Collateralized Mortgage Loan Revenue Bonds, Eastview
Nursing Home, Ebony Lake Nursing Center, Ft. Stockton Nursing
Center, Lynnhaven Nursing Center and Mission Oaks Manor,
2000A-1, 7.500%, 12/20/22
Texas Turnpike Authority, First Tier Revenue Bonds, Central Texas
Turnpike System, Series 2002A:
10,000 0.000%, 8/15/21 - AMBAC Insured No Opt. Call AAA 5,451,900
12,000 0.000%, 8/15/23 - AMBAC Insured No Opt. Call AAA 5,952,480
2,500 Tomball Hospital Authority, Texas, Hospital Revenue Bonds, 7/15 at 100.00 Baa3 2,529,075
Tomball Regional Hospital, Series 2005, 5.000%, 7/01/20
3,965 Tyler Health Facilities Development Corporation, Texas, Hospital 11/07 at 102.00 AAA 4,074,831
Revenue Bonds, East Texas Medical Center Regional Healthcare
Center, Series 1997C, 5.600%, 11/01/27 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
96,431 Total Texas 80,851,566
------------------------------------------------------------------------------------------------------------------------------------
VIRGINIA - 0.6% (0.4% OF TOTAL INVESTMENTS)
1,000 Amherst Industrial Development Authority, Virginia, Revenue 9/16 at 100.00 BBB 1,051,730
Bonds, Sweet Briar College, Series 2006, 5.000%, 9/01/26
1,920 Virginia Beach Development Authority, Virginia, Multifamily 10/14 at 102.00 N/R 2,176,282
Residential Rental Housing Revenue Bonds, Hamptons and Hampton
Court Apartments, Series 1999, 7.500%, 10/01/39 (Alternative
Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
2,920 Total Virginia 3,228,012
------------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 8.6% (5.4% OF TOTAL INVESTMENTS)
11,345 Chelan County Public Utility District 1, Washington, Columbia No Opt. Call AAA 6,800,193
River-Rock Island Hydro-Electric System Revenue Refunding
Bonds, Series 1997A, 0.000%, 6/01/19 - MBIA Insured
17,075 Port of Seattle, Washington, Limited Tax General Obligation 12/10 at 100.00 AAA 18,031,200
Bonds, Series 2000B, 5.750%, 12/01/25 (Alternative Minimum Tax)
16,750 Port of Seattle, Washington, Revenue Bonds, Series 2000A, 5.625%, 8/10 at 100.00 AAA 17,710,110
2/01/30 (Pre-refunded 8/01/10) - MBIA Insured
5,000 Port of Seattle, Washington, Revenue Bonds, Series 2001B, 5.625%, 10/11 at 100.00 AAA 5,318,700
4/01/17 - FGIC Insured (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
50,170 Total Washington 47,860,203
------------------------------------------------------------------------------------------------------------------------------------
WEST VIRGINIA - 0.9% (0.6% OF TOTAL INVESTMENTS)
5,000 Mason County, West Virginia, Pollution Control Revenue Bonds, 10/11 at 100.00 BBB 5,260,550
Appalachian Power Company, Series 2003L, 5.500%, 10/01/22
------------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 3.3% (2.1% OF TOTAL INVESTMENTS)
7,160 Badger Tobacco Asset Securitization Corporation, Wisconsin, 6/12 at 100.00 BBB 7,675,950
Tobacco Settlement Asset-Backed Bonds, Series 2002, 6.125%,
6/01/27
315 Wisconsin Health and Educational Facilities Authority, 5/16 at 100.00 BBB 320,831
Revenue Bonds, Divine Savior Healthcare, Series 2006, 5.000%,
5/01/32
26
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
WISCONSIN (continued)
Wisconsin Health and Educational Facilities Authority, Revenue
Bonds, Eagle River Memorial Hospital Inc., Series 2000:
$ 1,000 5.750%, 8/15/20 - RAAI Insured 8/10 at 101.00 AA $ 1,059,800
3,000 5.875%, 8/15/30 - RAAI Insured 8/10 at 101.00 AA 3,190,830
1,150 Wisconsin Health and Educational Facilities Authority, 5/14 at 100.00 BBB+ 1,246,658
Revenue Bonds, Fort Healthcare Inc., Series 2004, 5.750%,
5/01/24
4,600 Wisconsin State, General Obligation Bonds, Series 2006A, 4.750%, 5/16 at 100.00 AAA 4,779,308
5/01/25 - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
17,225 Total Wisconsin 18,273,377
------------------------------------------------------------------------------------------------------------------------------------
WYOMING - 0.5% (0.3% OF TOTAL INVESTMENTS)
2,500 Sweetwater County, Wyoming, Solid Waste Disposal Revenue Bonds, 12/15 at 100.00 BBB- 2,656,450
FMC Corporation, Series 2005, 5.600%, 12/01/35
(Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
$ 871,526 Total Investments (cost $823,704,473) - 158.6% 879,876,062
============------------------------------------------------------------------------------------------------------------------------
Floating Rate Obligations - (4.7)% (26,135,000)
---------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 0.4% 1,912,950
---------------------------------------------------------------------------------------------------------------------
Preferred Shares, at Liquidation Value - (54.3)% (301,000,000)
---------------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $ 554,654,012
=====================================================================================================================
(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 higher of Standard & Poor's or Moody's rating.
Ratings below BBB by Standard & Poor's Group or Baa by Moody's Investor
Service, Inc. are considered to be below investment grade.
(4) Backed by an escrow or trust containing sufficient U.S. Government or
U.S. Government agency securities which ensure the timely payment of
principal and interest. Such investments are normally considered to be
equivalent to AAA rated securities.
N/R Not rated.
WI/DD Purchased on a when-issued or delayed delivery basis.
(ETM) Escrowed to maturity.
(IF) Inverse floating rate investment.
(UB) Underlying bond of an inverse floating rate trust reflected as a
financing transaction pursuant to the provisions of SFAS No. 140.
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
27
Nuveen Select Quality Municipal Fund, Inc. (NQS)
Portfolio of
INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
ALABAMA - 3.9% (2.5% OF TOTAL INVESTMENTS)
$ 4,000 Jefferson County, Alabama, Sewer Revenue Capital Improvement 2/09 at 101.00 AAA $ 4,153,080
Warrants, Series 1999A, 5.375%, 2/01/36 (Pre-refunded 2/01/09)
- FGIC Insured
10,000 Lauderdale County and Florence Health Authority, Alabama, 7/10 at 102.00 AAA 10,793,600
Revenue Bonds, Coffee Health Group, Series 2000A, 6.000%,
7/01/29 - MBIA Insured
5,155 Phenix City Industrial Development Board, Alabama, Environmental 5/12 at 100.00 BBB 5,533,222
Improvement Revenue Bonds, MeadWestvaco Corporation,
Series 2002A, 6.350%, 5/15/35 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
19,155 Total Alabama 20,479,902
------------------------------------------------------------------------------------------------------------------------------------
ALASKA - 0.4% (0.2% OF TOTAL INVESTMENTS)
2,000 Kenai Peninsula Borough, Alaska, Revenue Bonds, Central Kenai 8/13 at 100.00 Aaa 2,103,900
Peninsula Hospital Service Area, Series 2003, 5.000%, 8/01/23 -
FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
ARIZONA - 0.8% (0.5% OF TOTAL INVESTMENTS)
3,750 Salt River Project Agricultural Improvement and Power District, 12/13 at 100.00 AAA 3,968,663
Arizona, Electric System Revenue Bonds, Series 2003, 5.000%,
12/01/18 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
ARKANSAS - 1.0% (0.7% OF TOTAL INVESTMENTS)
4,500 Little Rock, Arkansas, Hotel and Restaurant Gross Receipts Tax No Opt. Call A3 5,224,230
Refunding Bonds, Series 1993, 7.375%, 8/01/15
------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 4.6% (3.0% OF TOTAL INVESTMENTS)
Calexico Unified School District, Imperial County, California,
General Obligation Bonds, Series 2005B:
3,685 0.000%, 8/01/31 - FGIC Insured No Opt. Call AAA 1,255,295
4,505 0.000%, 8/01/33 - FGIC Insured No Opt. Call AAA 1,400,605
550 California Pollution Control Financing Authority, Remarketed 4/11 at 102.00 AAA 587,021
Revenue Bonds, Pacific Gas and Electric Company, Series 1996A,
5.350%, 12/01/16 - MBIA Insured (Alternative Minimum Tax)
1,000 Coachella Valley Unified School District, Riverside County, No Opt. Call AAA 356,930
California, General Obligation Bonds, Series 2005A, 0.000%,
8/01/30 - FGIC Insured
Colton Joint Unified School District, San Bernardino County,
California, General Obligation Bonds, Series 2006C:
3,200 0.000%, 2/01/30 - FGIC Insured 2/15 at 45.69 AAA 1,024,640
6,800 0.000%, 2/01/35 - FGIC Insured 2/15 at 34.85 AAA 1,650,768
Cupertino Union School District, Santa Clara County, California,
General Obligation Bonds, Series 2003B:
8,100 0.000%, 8/01/24 - FGIC Insured 8/13 at 58.68 AAA 3,602,880
11,430 0.000%, 8/01/27 - FGIC Insured 8/13 at 49.98 AAA 4,314,939
1,045 Lake Tahoe Unified School District, El Dorado County, California, No Opt. Call Aaa 366,262
General Obligation Bonds, Series 2001B, 0.000%, 8/01/31 - MBIA
Insured
6,000 Placentia-Yorba Linda Unified School District, Orange County, No Opt. Call AAA 1,771,020
California, Certificates of Participation, Series 2006, 0.000%,
10/01/34 - FGIC Insured
5,000 Riverside County Asset Leasing Corporation, California, Leasehold No Opt. Call AAA 2,239,700
Revenue Bonds, Riverside County Hospital Project, Series 1997,
0.000%, 6/01/25 - MBIA Insured
12,615 San Joaquin Hills Transportation Corridor Agency, Orange County, No Opt. Call AAA 3,746,403
California, Toll Road Revenue Refunding Bonds, Series 1997A,
0.000%, 1/15/35 - MBIA Insured
5,000 Santa Monica Community College District, Los Angeles County, No Opt. Call AAA 2,010,000
California, General Obligation Bonds, Series 2005C, 0.000%,
8/01/26 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
68,930 Total California 24,326,463
------------------------------------------------------------------------------------------------------------------------------------
28
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
COLORADO - 10.6% (6.9% OF TOTAL INVESTMENTS)
$ 11,000 Colorado Department of Transportation, Revenue Anticipation 6/10 at 100.50 AAA $ 11,793,760
Bonds, Series 2000, 6.000%, 6/15/15 (Pre-refunded 6/15/10) -
AMBAC Insured
9,250 Colorado Health Facilities Authority, Remarketed Revenue Bonds, 7/07 at 101.50 AAA 9,446,470
Kaiser Permanente System, Series 1994A, 5.350%, 11/01/16 (ETM)
16,995 Denver City and County, Colorado, Airport System Revenue 11/10 at 100.00 AAA 17,849,508
Refunding Bonds, Series 2000A, 5.625%, 11/15/23 - AMBAC Insured
(Alternative Minimum Tax)
1,500 Denver Convention Center Hotel Authority, Colorado, Senior 11/16 at 100.00 AAA 1,511,475
Revenue Bonds, Convention Center Hotel, Series 2006, 4.625%,
12/01/30 - XLCA Insured
E-470 Public Highway Authority, Colorado, Senior Revenue Bonds,
Series 1997B:
1,420 0.000%, 9/01/23 - MBIA Insured No Opt. Call AAA 701,920
8,515 0.000%, 9/01/25 - MBIA Insured No Opt. Call AAA 3,826,641
7,500 E-470 Public Highway Authority, Colorado, Senior Revenue Bonds, No Opt. Call AAA 2,812,350
Series 2000B, 0.000%, 9/01/29 - MBIA Insured
13,000 E-470 Public Highway Authority, Colorado, Toll Revenue Bonds, 9/20 at 45.40 AAA 3,205,800
Series 2004B, 0.000%, 9/01/34 - MBIA Insured
12,355 Northwest Parkway Public Highway Authority, Colorado, Senior Lien 6/11 at 40.52 AAA 4,180,191
Revenue Bonds, Series 2001B, 0.000%, 6/15/26 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
81,535 Total Colorado 55,328,115
------------------------------------------------------------------------------------------------------------------------------------
CONNECTICUT - 1.8% (1.1% OF TOTAL INVESTMENTS)
9,285 Connecticut Development Authority, Health Facilities Revenue 8/07 at 100.00 N/R 9,320,097
Refunding Bonds, Alzheimer's Resource Center of Connecticut
Inc., Series 1994A, 7.250%, 8/15/21
------------------------------------------------------------------------------------------------------------------------------------
DISTRICT OF COLUMBIA - 3.1% (2.1% OF TOTAL INVESTMENTS)
2,865 District of Columbia Tobacco Settlement Corporation, Tobacco 5/11 at 101.00 BBB 3,074,460
Settlement Asset-Backed Bonds, Series 2001, 6.250%, 5/15/24
District of Columbia, General Obligation Bonds, Series 1998B:
5,000 6.000%, 6/01/19 - MBIA Insured No Opt. Call AAA 5,921,750
7,265 5.250%, 6/01/26 - FSA Insured 6/08 at 101.00 AAA 7,432,240
------------------------------------------------------------------------------------------------------------------------------------
15,130 Total District of Columbia 16,428,450
------------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 1.6% (1.1% OF TOTAL INVESTMENTS)
Lee County, Florida, Airport Revenue Bonds, Series 2000A:
3,075 5.875%, 10/01/18 - FSA Insured (Alternative Minimum Tax) 10/10 at 101.00 AAA 3,286,837
4,860 5.875%, 10/01/19 - FSA Insured (Alternative Minimum Tax) 10/10 at 101.00 AAA 5,194,805
------------------------------------------------------------------------------------------------------------------------------------
7,935 Total Florida 8,481,642
------------------------------------------------------------------------------------------------------------------------------------
GEORGIA - 0.8% (0.5% OF TOTAL INVESTMENTS)
3,750 Atlanta, Georgia, Airport General Revenue Bonds, Series 2000B, 1/10 at 101.00 AAA 3,926,138
5.625%, 1/01/30 - FGIC Insured (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 17.0% (11.2% OF TOTAL INVESTMENTS)
7,555 Chicago Board of Education, Illinois, Unlimited Tax General 12/07 at 102.00 AAA 7,756,492
Obligation Bonds, Dedicated Tax Revenues, Series 1997A, 5.250%,
12/01/27 - AMBAC Insured
Chicago Board of Education, Illinois, Unlimited Tax General
Obligation Bonds, Dedicated Tax Revenues, Series 1997:
4,000 5.750%, 12/01/20 (Pre-refunded 12/01/07) - AMBAC Insured 12/07 at 102.00 AAA 4,125,200
9,230 5.750%, 12/01/27 (Pre-refunded 12/01/07) - AMBAC Insured 12/07 at 102.00 AAA 9,518,899
1,070 5.750%, 12/01/27 (Pre-refunded 12/01/07) - AMBAC Insured 12/07 at 102.00 AAA 1,103,491
Chicago Board of Education, Illinois, Unlimited Tax General
Obligation Bonds, Dedicated Tax Revenues, Series 1998B-1:
3,665 0.000%, 12/01/25 - FGIC Insured No Opt. Call AAA 1,641,077
2,925 0.000%, 12/01/31 - FGIC Insured No Opt. Call AAA 993,623
5,865 Chicago, Illinois, General Obligation Bonds, Neighborhoods 7/10 at 101.00 AAA 6,404,639
Alive 21 Program, Series 2000A, 6.500%, 1/01/35
(Pre-refunded 7/01/10) - FGIC Insured
29
Nuveen Select Quality Municipal Fund, Inc. (NQS) (continued)
Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS (continued)
$ 570 Chicago, Illinois, General Obligation Refunding Bonds, 7/07 at 101.00 AAA $ 574,315
Series 1996B, 5.125%, 1/01/25 - FGIC Insured
15,000 Chicago, Illinois, Second Lien Passenger Facility Charge Revenue 1/11 at 101.00 AAA 15,694,799
Bonds, O'Hare International Airport, Series 2001A, 5.375%,
1/01/32 - AMBAC Insured (Alternative Minimum Tax)
Chicago, Illinois, Second Lien Passenger Facility Charge Revenue
Bonds, O'Hare International Airport, Series 2001C:
3,770 5.100%, 1/01/26 - AMBAC Insured (Alternative Minimum Tax) 1/11 at 101.00 AAA 3,877,671
5,460 5.250%, 1/01/32 - AMBAC Insured (Alternative Minimum Tax) 1/11 at 101.00 AAA 5,667,644
10,000 Illinois Health Facilities Authority, Revenue Bonds, Condell 5/12 at 100.00 Baa2 10,560,300
Medical Center, Series 2002, 5.750%, 5/15/22
2,000 Illinois Health Facilities Authority, Revenue Bonds, Midwest Care 2/11 at 102.00 Aaa 2,149,020
Center I Inc., Series 2001, 5.950%, 2/20/36
8,945 Lake and McHenry Counties Community Unit School District 118, 1/15 at 74.44 Aaa 4,744,070
Wauconda, Illinois, General Obligation Bonds, Series 2005B,
0.000%, 1/01/21 - FSA Insured
9,000 McHenry County Community Unit School District 200, Woodstock, No Opt. Call Aaa 4,570,830
Illinois, General Obligation Bonds, Series 2006B, 0.000%,
1/15/23 - FGIC Insured
Metropolitan Pier and Exposition Authority, Illinois, Revenue
Bonds, McCormick Place Expansion Project, Series 2002A:
6,700 0.000%, 12/15/23 - MBIA Insured No Opt. Call AAA 3,286,819
2,920 5.000%, 12/15/28 - MBIA Insured 6/12 at 101.00 AAA 3,050,495
1,100 0.000%, 12/15/35 - MBIA Insured No Opt. Call AAA 311,190
7,500 Valley View Public Schools, Community Unit School District No Opt. Call AAA 3,358,275
365U of Will County, Illinois, General Obligation Bonds,
Series 2005, 0.000%, 11/01/25 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
107,275 Total Illinois 89,388,849
------------------------------------------------------------------------------------------------------------------------------------
INDIANA - 1.7% (1.1% OF TOTAL INVESTMENTS)
765 Indiana Housing Finance Authority, Single Family Mortgage Revenue 1/10 at 100.00 Aaa 779,061
Bonds, Series 2000D-3, 5.950%, 7/01/26
(Alternative Minimum Tax)
7,660 St. Joseph County Hospital Authority, Indiana, Revenue Bonds, 2/11 at 100.00 AAA 8,173,909
Memorial Health System, Series 2000, 5.625%, 8/15/33
(Pre-refunded 2/15/11) - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
8,425 Total Indiana 8,952,970
------------------------------------------------------------------------------------------------------------------------------------
KANSAS - 1.4% (0.9% OF TOTAL INVESTMENTS)
3,500 Burlington, Kansas, Environmental Improvement Revenue Bonds, No Opt. Call A3 3,511,165
Kansas City Power and Light Company Project, Series 1998A,
4.750%, 9/01/15
3,790 Kansas Department of Transportation, Highway Revenue Bonds, No Opt. Call AAA 4,004,097
Series 2004A, 5.000%, 3/01/23
------------------------------------------------------------------------------------------------------------------------------------
7,290 Total Kansas 7,515,262
------------------------------------------------------------------------------------------------------------------------------------
MARYLAND - 1.5% (1.0% OF TOTAL INVESTMENTS)
7,500 Maryland Health and Higher Educational Facilities Authority, 7/09 at 101.00 AA (4) 7,942,200
Revenue Bonds, Johns Hopkins University, Series 1999, 6.000%,
7/01/39 (Pre-refunded 7/01/09)
------------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 0.2% (0.1% OF TOTAL INVESTMENTS)
1,005 Massachusetts Educational Finance Authority, Student Loan Revenue 12/09 at 101.00 AAA 1,026,236
Refunding Bonds, Series 2000G, 5.700%, 12/01/11 - MBIA Insured
(Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 7.9% (5.2% OF TOTAL INVESTMENTS)
10,000 Detroit, Michigan, Sewerage Disposal System Revenue Bonds, Series 1/10 at 101.00 AAA 10,613,200
1999A, 5.750%, 7/01/26 (Pre-refunded 1/01/10) - FGIC Insured
6,475 Michigan State Hospital Finance Authority, Hospital Revenue 11/09 at 101.00 AAA 6,855,471
Bonds, Ascension Health Credit Group, Series 1999A, 5.750%,
11/15/16 (Pre-refunded 11/15/09) - MBIA Insured
3,275 Michigan State Hospital Finance Authority, Revenue Refunding 8/07 at 100.00 BB- 3,277,489
Bonds, Detroit Medical Center Obligated Group, Series 1993A,
6.500%, 8/15/18
30
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
MICHIGAN (continued)
$ 6,000 Michigan Strategic Fund, Collateralized Limited Obligation 9/11 at 100.00 A3 $ 6,328,080
Pollution Control Revenue Refunding Bonds, Fixed Rate
Conversion, Detroit Edison Company, Series 1999C, 5.650%,
9/01/29 (Alternative Minimum Tax)
7,500 Michigan Strategic Fund, Limited Obligation Revenue Refunding 12/12 at 100.00 AAA 7,973,100
Bonds, Detroit Edison Company, Series 2002C, 5.450%, 12/15/32 -
XLCA Insured (Alternative Minimum Tax)
5,900 Royal Oak Hospital Finance Authority, Michigan, Hospital Revenue 11/11 at 100.00 AAA 6,147,446
Bonds, William Beaumont Hospital, Series 2001M, 5.250%, 11/15/35
- MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
39,150 Total Michigan 41,194,786
------------------------------------------------------------------------------------------------------------------------------------
MINNESOTA - 1.9% (1.3% OF TOTAL INVESTMENTS)
7,000 Minneapolis-St. Paul Metropolitan Airports Commission, Minnesota, 1/11 at 100.00 AAA 7,372,400
Airport Revenue Bonds, Series 2001A, 5.250%, 1/01/32
(Pre-refunded 1/01/11) - FGIC Insured
2,720 Minnesota Housing Finance Agency, Single Family Mortgage Revenue 7/09 at 100.00 AA+ 2,812,888
Bonds, Series 2000C, 6.100%, 7/01/30 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
9,720 Total Minnesota 10,185,288
------------------------------------------------------------------------------------------------------------------------------------
MISSISSIPPI - 0.5% (0.3% OF TOTAL INVESTMENTS)
2,475 Mississippi Hospital Equipment and Facilities Authority, Revenue 9/14 at 100.00 N/R 2,556,131
Bonds, Baptist Memorial Healthcare, Series 2004B-1, 5.000%,
9/01/24
------------------------------------------------------------------------------------------------------------------------------------
MISSOURI - 0.7% (0.4% OF TOTAL INVESTMENTS)
5,000 Kansas City Municipal Assistance Corporation, Missouri, Leasehold No Opt. Call AAA 2,008,250
Revenue Bonds, Series 2004B-1, 0.000%, 4/15/28 - AMBAC Insured
1,500 Missouri-Illinois Metropolitan District Bi-State Development 10/13 at 100.00 AAA 1,572,015
Agency, Mass Transit Sales Tax Appropriation Bonds, Metrolink
Cross County Extension Project, Series 2002B, 5.000%, 10/01/32
- FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
6,500 Total Missouri 3,580,265
------------------------------------------------------------------------------------------------------------------------------------
NEVADA - 8.3% (5.5% OF TOTAL INVESTMENTS)
4,885 Clark County, Nevada, Limited Tax General Obligation Bank Bonds, 7/10 at 100.00 AA+ (4) 5,147,666
Series 2000, 5.500%, 7/01/18 (Pre-refunded 7/01/10)
7,500 Clark County, Nevada, Subordinate Lien Airport Revenue Bonds, 7/10 at 101.00 AAA 8,081,250
Series 1999A, 6.000%, 7/01/29 (Pre-refunded 7/01/10) - MBIA
Insured
1,950 Director of Nevada State Department of Business and Industry, 1/10 at 102.00 AAA 2,068,014
Revenue Bonds, Las Vegas Monorail Project, First Tier, Series
2000, 5.625%, 1/01/32 - AMBAC Insured
10,000 Reno, Nevada, Health Facilities Revenue Bonds, Catholic Healthcare 7/17 at 100.00 A 10,547,500
West, Series 2007A, 5.250%, 7/01/31 (UB)
10,750 Truckee Meadows Water Authority, Nevada, Water Revenue Bonds, 7/11 at 100.00 AAA 11,394,140
Series 2001A, 5.250%, 7/01/34 (Pre-refunded 7/01/11) - FSA
Insured
6,000 Washoe County, Nevada, Reno-Sparks Convention and Visitors 1/10 at 100.00 AAA 6,406,380
Authority, Limited Tax General Obligation Bonds, Series 1999A,
6.375%, 7/01/23 (Pre-refunded 1/01/10) - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
41,085 Total Nevada 43,644,950
------------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY - 7.2% (4.7% OF TOTAL INVESTMENTS)
2,400 New Jersey Health Care Facilities Financing Authority, Revenue 7/10 at 101.00 BBB- 2,642,688
Bonds, Trinitas Hospital Obligated Group, Series 2000, 7.500%,
7/01/30
14,865 New Jersey Housing and Mortgage Finance Agency, Home Buyer Program 10/10 at 100.00 AAA 15,411,436
Revenue Bonds, Series 2000CC, 5.850%, 10/01/25 - MBIA Insured
(Alternative Minimum Tax)
3,000 New Jersey Housing and Mortgage Finance Agency, Multifamily 11/07 at 101.50 AAA 3,067,980
Housing Revenue Bonds, Series 1997A, 5.550%, 5/01/27 - AMBAC
Insured (Alternative Minimum Tax)
20,000 New Jersey Transportation Trust Fund Authority, Transportation No Opt. Call AAA 6,228,400
System Bonds, Series 2006C, 0.000%, 12/15/33 - FSA Insured
7,690 Tobacco Settlement Financing Corporation, New Jersey, Tobacco 6/12 at 100.00 AAA 8,221,379
Settlement Asset-Backed Bonds, Series 2002, 5.750%, 6/01/32
(Pre-refunded 6/01/12)
31
Nuveen Select Quality Municipal Fund, Inc. (NQS) (continued)
Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY (continued)
$ 2,000 Tobacco Settlement Financing Corporation, New Jersey, Tobacco 6/17 at 100.00 BBB $ 1,972,200
Settlement Asset-Backed Bonds, Series 2007-1A, 5.000%, 6/01/41
------------------------------------------------------------------------------------------------------------------------------------
49,955 Total New Jersey 37,544,083
------------------------------------------------------------------------------------------------------------------------------------
NEW MEXICO - 4.5% (3.0% OF TOTAL INVESTMENTS)
8,500 Farmington, New Mexico, Pollution Control Revenue Refunding Bonds, 10/07 at 100.50 BBB 8,583,045
Public Service Company of New Mexico - San Juan Project, Series
1997B, 5.800%, 4/01/22
New Mexico Hospital Equipment Loan Council, Hospital Revenue
Bonds, Presbyterian Healthcare Services, Series 2001A:
8,000 5.500%, 8/01/25 (Pre-refunded 8/01/11) 8/11 at 101.00 AA- (4) 8,605,280
6,200 5.500%, 8/01/30 (Pre-refunded 8/01/11) 8/11 at 101.00 AA- (4) 6,669,092
------------------------------------------------------------------------------------------------------------------------------------
22,700 Total New Mexico 23,857,417
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 13.5% (8.9% OF TOTAL INVESTMENTS)
5,650 Dormitory Authority of the State of New York, Improvement Revenue 8/09 at 101.00 AAA 5,889,786
Bonds, Mental Health Services Facilities, Series 1999D, 5.250%,
8/15/24 - FSA Insured
10,000 Dormitory Authority of the State of New York, New York City, Lease 5/10 at 101.00 A+ (4) 10,770,600
Revenue Bonds, Court Facilities, Series 1999, 6.000%, 5/15/39
(Pre-refunded 5/15/10)
7,000 Metropolitan Transportation Authority, New York, State Service 7/12 at 100.00 AA- 7,320,810
Contract Refunding Bonds, Series 2002A, 5.125%, 1/01/29
5,000 New York City Municipal Water Finance Authority, New York, Water 6/09 at 101.00 AAA 5,146,750
and Sewerage System Revenue Bonds, Fiscal Series 1999B, 5.000%,
6/15/29 - FSA Insured
6,000 New York City Municipal Water Finance Authority, New York, Water 6/09 at 101.00 AAA 6,287,220
and Sewerage System Revenue Bonds, Fiscal Series 2000A, 5.500%,
6/15/32 (Pre-refunded 6/15/09) - FGIC Insured
2,255 New York City Transit Authority, New York, Metropolitan 1/10 at 101.00 AAA 2,396,840
Transportation Authority, Triborough Bridge and Tunnel
Authority, Certificates of Participation, Series 2000A, 5.750%,
1/01/20 (Pre-refunded 1/01/10) - AMBAC Insured
9,750 New York City Transitional Finance Authority, New York, Future Tax 5/10 at 101.00 AAA 10,498,410
Secured Bonds, Fiscal Series 2000B, 6.000%, 11/15/29
(Pre-refunded 5/15/10)
9,290 New York City, New York, General Obligation Bonds, Fiscal Series 10/07 at 101.00 Aaa 9,478,030
1997G, 6.000%, 10/15/26 (Pre-refunded 10/15/07)
5,400 New York State Mortgage Agency, Homeowner Mortgage Revenue Bonds, 3/09 at 101.00 Aa1 5,563,674
Series 79, 5.300%, 4/01/29 (Alternative Minimum Tax)
3,055 New York State Urban Development Corporation, Subordinate Lien 7/08 at 100.00 AAA 3,113,320
Corporate Purpose Refunding Bonds, Series 1996, 5.500%, 7/01/26
4,490 New York State Urban Development Corporation, Subordinate Lien 7/08 at 100.00 Aaa 4,586,849
Corporate Purpose Refunding Bonds, Series 1996, 5.500%, 7/01/26
(Pre-refunded 7/01/08)
------------------------------------------------------------------------------------------------------------------------------------
67,890 Total New York 71,052,289
------------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA - 3.6% (2.3% OF TOTAL INVESTMENTS)
18,555 North Carolina Eastern Municipal Power Agency, Power System 7/07 at 100.00 AAA 18,578,748
Revenue Refunding Bonds, Series 1993B, 5.500%, 1/01/17 - FGIC
Insured
------------------------------------------------------------------------------------------------------------------------------------
NORTH DAKOTA - 2.0% (1.3% OF TOTAL INVESTMENTS)
10,490 Grand Forks, North Dakota, Sales Tax Revenue Bonds, Aurora 12/07 at 100.00 AAA 10,613,153
Project, Series 1997A, 5.625%, 12/15/29 (Pre-refunded 12/15/07)
- MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
OHIO - 2.1% (1.4% OF TOTAL INVESTMENTS)
Montgomery County, Ohio, Hospital Facilities Revenue Bonds,
Kettering Medical Center, Series 1999:
5,000 6.750%, 4/01/18 (Pre-refunded 4/01/10) 4/10 at 101.00 A (4) 5,458,000
5,000 6.750%, 4/01/22 (Pre-refunded 4/01/10) 4/10 at 101.00 A (4) 5,458,000
275 Ohio Housing Finance Agency, GNMA Mortgage-Backed Securities 8/10 at 100.00 Aaa 277,338
Program Residential Mortgage Revenue Bonds, Series 2000C,
6.050%, 3/01/32 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
10,275 Total Ohio 11,193,338
------------------------------------------------------------------------------------------------------------------------------------
32
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
OKLAHOMA - 2.4% (1.6% OF TOTAL INVESTMENTS)
$ 2,235 Oklahoma Development Finance Authority, Revenue Bonds, St. John 2/14 at 100.00 AA- $ 2,332,848
Health System, Series 2004, 5.000%, 2/15/24
10,000 Tulsa Municipal Airport Trust, Oklahoma, Revenue Refunding Bonds, 12/08 at 100.00 B 10,104,600
American Airlines Inc., Series 2001B, 5.650%, 12/01/35
(Mandatory put 12/01/08) (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
12,235 Total Oklahoma 12,437,448
------------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 0.0% (0.0% OF TOTAL INVESTMENTS)
95 Delaware River Port Authority, New Jersey and Pennsylvania, 1/10 at 100.00 AAA 99,828
Revenue Bonds, Series 1999, 5.750%, 1/01/15 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
PUERTO RICO - 0.5% (0.3% OF TOTAL INVESTMENTS)
3,000 Puerto Rico Public Buildings Authority, Guaranteed Government 7/17 at 100.00 AAA 2,593,980
Facilities Revenue Refunding Bonds, Series 2002D, 0.000%,
7/01/31 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA - 9.6% (6.3% OF TOTAL INVESTMENTS)
Greenville County School District, South Carolina, Installment
Purchase Revenue Bonds, Series 2002:
5,500 6.000%, 12/01/21 (Pre-refunded 12/01/12) 12/12 at 101.00 AA- (4) 6,170,340
4,500 6.000%, 12/01/21 (Pre-refunded 12/01/12) 12/12 at 101.00 AA- (4) 5,048,460
3,750 Greenwood County, South Carolina, Hospital Revenue Bonds, Self 10/11 at 100.00 A 3,925,388
Memorial Hospital, Series 2001, 5.500%, 10/01/31
2,500 Lexington County Health Service District, South Carolina, Hospital 11/13 at 100.00 A+ 2,699,325
Revenue Refunding and Improvement Bonds, Series 2003, 5.750%,
11/01/28
2,825 Medical University Hospital Authority, South Carolina, FHA-Insured 8/14 at 100.00 AAA 3,023,202
Mortgage Revenue Bonds, Series 2004A, 5.250%, 2/15/22 - MBIA
Insured
21,565 Piedmont Municipal Power Agency, South Carolina, Electric Revenue No Opt. Call AAA 7,933,764
Bonds, Series 2004A-2, 0.000%, 1/01/30 - AMBAC Insured
1,250 South Carolina Housing Finance and Development Authority, Mortgage 6/10 at 100.00 Aaa 1,265,750
Revenue Bonds, Series 2000A-2, 6.000%, 7/01/20 - FSA Insured
(Alternative Minimum Tax)
Tobacco Settlement Revenue Management Authority, South Carolina,
Tobacco Settlement Asset-Backed Bonds, Series 2001B:
11,530 6.000%, 5/15/22 5/11 at 101.00 BBB 12,263,077
4,000 6.375%, 5/15/28 5/11 at 101.00 BBB 4,321,200
3,000 6.375%, 5/15/30 No Opt. Call BBB 3,497,760
------------------------------------------------------------------------------------------------------------------------------------
60,420 Total South Carolina 50,148,266
------------------------------------------------------------------------------------------------------------------------------------
SOUTH DAKOTA - 2.1% (1.4% OF TOTAL INVESTMENTS)
5,550 Sioux Falls, South Dakota, Industrial Revenue Refunding Bonds, 10/14 at 100.00 AAA 6,704,900
Great Plains Hotel Corporation, Series 1989, 8.500%, 11/01/16
(Pre-refunded 10/15/14) (Alternative Minimum Tax)
2,410 South Dakota Education Loans Inc., Revenue Bonds, Subordinate 6/08 at 102.00 A2 2,488,349
Series 1998-1K, 5.600%, 6/01/20 (Alternative Minimum Tax)
1,750 South Dakota Health and Educational Facilities Authority, Revenue 11/14 at 100.00 AA- 1,888,110
Bonds, Sioux Valley Hospitals, Series 2004A, 5.500%, 11/01/31
------------------------------------------------------------------------------------------------------------------------------------
9,710 Total South Dakota 11,081,359
------------------------------------------------------------------------------------------------------------------------------------
TENNESSEE - 6.7% (4.4% OF TOTAL INVESTMENTS)
5,000 Knox County Health, Educational and Housing Facilities Board, 4/12 at 101.00 Ba2 5,161,850
Tennessee, Hospital Revenue Bonds, Baptist Health System of East
Tennessee Inc., Series 2002, 6.500%, 4/15/31
20,060 Knox County Health, Educational and Housing Facilities Board, 1/13 at 80.49 AAA 12,735,292
Tennessee, Hospital Revenue Refunding Bonds, Covenant Health,
Series 2002A, 0.000%, 1/01/17 - FSA Insured
12,500 Metropolitan Government of Nashville-Davidson County Health and 11/09 at 101.00 AAA 13,262,750
Educational Facilities Board, Tennessee, Revenue Bonds,
Ascension Health Credit Group, Series 1999A, 5.875%, 11/15/28
(Pre-refunded 11/15/09) - AMBAC Insured
33
Nuveen Select Quality Municipal Fund, Inc. (NQS) (continued)
Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
TENNESSEE (continued)
Tennessee Housing Development Agency, Homeownership Program Bonds,
Series 2000-1:
$ 1,785 5.750%, 7/01/10 (Alternative Minimum Tax) No Opt. Call AA $ 1,810,026
2,145 6.000%, 7/01/13 - MBIA Insured (Alternative Minimum Tax) 7/10 at 101.00 AAA 2,175,438
------------------------------------------------------------------------------------------------------------------------------------
41,490 Total Tennessee 35,145,356
------------------------------------------------------------------------------------------------------------------------------------
TEXAS - 15.3% (10.1% OF TOTAL INVESTMENTS)
5,110 Brazos River Authority, Texas, Pollution Control Revenue Refunding 4/13 at 101.00 Baa2 5,841,650
Bonds, TXU Electric Company, Series 1999C, 7.700%, 3/01/32
(Alternative Minimum Tax)
7,925 Brazos River Authority, Texas, Pollution Control Revenue Refunding No Opt. Call Baa2 8,168,456
Bonds, TXU Electric Company, Series 2001C, 5.750%, 5/01/36
(Mandatory put 11/01/11) (Alternative Minimum Tax)
4,500 Brazos River Authority, Texas, Revenue Bonds, Reliant Energy Inc., 12/08 at 102.00 BBB- 4,722,210
Series 1999B, 7.750%, 12/01/18
4,080 Central Texas Regional Mobility Authority, Travis and Williamson 1/15 at 100.00 AAA 4,257,888
Counties, Toll Road Revenue Bonds, Series 2005, 5.000%, 1/01/35
- FGIC Insured
5,500 Dallas Area Rapid Transit, Texas, Senior Lien Sales Tax Revenue 12/11 at 100.00 AAA 5,797,715
Bonds, Series 2001, 5.000%, 12/01/31 (Pre-refunded 12/01/11) -
AMBAC Insured
2,000 Ennis Independent School District, Ellis County, Texas, General 8/16 at 54.64 Aaa 707,180
Obligation Bonds, Series 2006, 0.000%, 8/15/28
1,550 Gulf Coast Waste Disposal Authority, Texas, Waste Disposal Revenue 4/11 at 101.00 BBB 1,672,202
Bonds, Valero Energy Corporation, Series 2001, 6.650%, 4/01/32
(Alternative Minimum Tax)
5,000 Houston Community College, Texas, Limited Tax General Obligation 2/13 at 100.00 AAA 5,213,900
Bonds, Series 2003, 5.000%, 2/15/26 - AMBAC Insured
4,590 Houston, Texas, Subordinate Lien Airport System Revenue Bonds, 7/10 at 100.00 AAA 4,806,189
Series 2000A, 5.625%, 7/01/30 - FSA Insured (Alternative Minimum
Tax)
5,000 Katy Independent School District, Harris, Fort Bend and Waller 2/12 at 100.00 AAA 5,279,350
Counties, Texas, General Obligation Bonds, Series 2002A, 5.000%,
2/15/27 (Pre-refunded 2/15/12)
9,000 Matagorda County Navigation District 1, Texas, Collateralized No Opt. Call AAA 9,868,230
Revenue Refunding Bonds, Houston Light and Power Company, Series
1997, 5.125%, 11/01/28 - AMBAC Insured (Alternative Minimum Tax)
775 Panhandle Regional Housing Finance Corporation, Texas, GNMA 5/07 at 100.00 AAA 785,633
Mortgage-Backed Securities Program Single Family Mortgage
Revenue Bonds, Series 1991A, 7.500%, 5/01/24 (Alternative
Minimum Tax)
4,700 Sam Rayburn Municipal Power Agency, Texas, Power Supply System 10/12 at 100.00 Baa2 4,981,060
Revenue Refunding Bonds, Series 2002A, 6.000%, 10/01/21
5,500 Spring Independent School District, Harris County, Texas, 8/11 at 100.00 AAA 5,676,275
Unlimited Tax Schoolhouse Bonds, Series 2001, 5.000%, 8/15/26
4,520 Texas, General Obligation Bonds, Water Financial Assistance, State 8/09 at 100.00 Aa1 4,675,217
Participation Program, Series 1999C, 5.500%, 8/01/35
White Settlement Independent School District, Tarrant County,
Texas, General Obligation Bonds, Series 2006:
9,110 0.000%, 8/15/36 8/15 at 33.75 AAA 2,096,667
9,110 0.000%, 8/15/41 8/15 at 25.73 AAA 1,595,799
7,110 0.000%, 8/15/45 8/15 at 20.76 AAA 1,001,728
2,375 Winter Garden Housing Finance Corporation, Texas, GNMA/FNMA 10/07 at 100.00 AAA 2,403,073
Mortgage-Backed Securities Program Single Family Mortgage
Revenue Bonds, Series 1994, 6.950%, 10/01/27 (Alternative
Minimum Tax)
2,000 Wylie Independent School District, Taylor County, Texas, General 8/15 at 57.10 AAA 783,200
Obligation Bonds, Series 2005, 0.000%, 8/15/26
------------------------------------------------------------------------------------------------------------------------------------
99,455 Total Texas 80,333,622
------------------------------------------------------------------------------------------------------------------------------------
UTAH - 3.8% (2.5% OF TOTAL INVESTMENTS)
3,565 Utah Associated Municipal Power Systems, Revenue Bonds, Payson 4/13 at 100.00 AAA 3,737,724
Power Project, Series 2003A, 5.000%, 4/01/24 - FSA Insured
34
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
UTAH (continued)
$ 16,050 Utah County, Utah, Hospital Revenue Bonds, IHC Health Services 8/07 at 101.00 AAA $ 16,279,193
Inc., Series 1997, 5.250%, 8/15/26 - MBIA Insured (ETM)
------------------------------------------------------------------------------------------------------------------------------------
19,615 Total Utah 20,016,917
------------------------------------------------------------------------------------------------------------------------------------
VERMONT - 1.9% (1.3% OF TOTAL INVESTMENTS)
Vermont Educational and Health Buildings Financing Agency, Revenue
Bonds, Fletcher Allen Health Care Inc., Series 2000A:
3,720 6.125%, 12/01/15 - AMBAC Insured 12/10 at 101.00 AAA 4,048,922
4,265 6.250%, 12/01/16 - AMBAC Insured 12/10 at 101.00 AAA 4,635,842
1,395 Vermont Housing Finance Agency, Single Family Housing Bonds, 11/09 at 100.00 AAA 1,395,865
Series 2000-13A, 5.950%, 11/01/25 - FSA Insured (Alternative
Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
9,380 Total Vermont 10,080,629
------------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 3.3% (2.1% OF TOTAL INVESTMENTS)
8,810 Chelan County Public Utility District 1, Washington, Hydro 7/11 at 101.00 AAA 9,391,548
Consolidated System Revenue Bonds, Series 2001A, 5.600%, 1/01/36
- MBIA Insured (Alternative Minimum Tax)
7,225 Port of Seattle, Washington, Special Facility Revenue Bonds, 3/10 at 101.00 AAA 7,665,942
Terminal 18, Series 1999B, 6.000%, 9/01/20 - MBIA Insured
(Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
16,035 Total Washington 17,057,490
------------------------------------------------------------------------------------------------------------------------------------
WEST VIRGINIA - 1.0% (0.7% OF TOTAL INVESTMENTS)
5,000 Mason County, West Virginia, Pollution Control Revenue Bonds, 10/11 at 100.00 BBB 5,260,550
Appalachian Power Company, Series 2003L, 5.500%, 10/01/22
------------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 3.2% (2.1% OF TOTAL INVESTMENTS)
8,400 Badger Tobacco Asset Securitization Corporation, Wisconsin, 6/12 at 100.00 BBB 9,005,304
Tobacco Settlement Asset-Backed Bonds, Series 2002, 6.125%,
6/01/27
5,000 Madison, Wisconsin, Industrial Development Revenue Refunding 4/12 at 100.00 AA- 5,370,400
Bonds, Madison Gas and Electric Company Projects, Series 2002A,
5.875%, 10/01/34 (Alternative Minimum Tax)
2,100 Wisconsin Health and Educational Facilities Authority, Revenue 8/13 at 100.00 A- 2,148,552
Bonds, Wheaton Franciscan Services Inc., Series 2003A, 5.125%,
8/15/33
------------------------------------------------------------------------------------------------------------------------------------
15,500 Total Wisconsin 16,524,256
------------------------------------------------------------------------------------------------------------------------------------
$ 918,195 Total Investments (cost $746,403,293) - 152.4% 799,193,266
============------------------------------------------------------------------------------------------------------------------------
Floating Rate Obligations - (1.3)% (6,665,000)
---------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 2.1% 10,968,378
---------------------------------------------------------------------------------------------------------------------
Preferred Shares, at Liquidation Value - (53.2)% (279,000,000)
---------------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $ 524,496,644
=====================================================================================================================
(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 higher of Standard & Poor's or Moody's rating.
Ratings below BBB by Standard & Poor's Group or Baa by Moody's Investor
Service, Inc. are considered to be below investment grade.
(4) Backed by an escrow or trust containing sufficient U.S. Government or
U.S. Government agency securities which ensure the timely payment of
principal and interest. Such investments are normally considered to be
equivalent to AAA rated securities.
N/R Not rated.
(ETM) Escrowed to maturity.
(UB) Underlying bond of an inverse floating rate trust reflected as a
financing transaction pursuant to the provisions of SFAS No. 140.
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
35
Nuveen Quality Income Municipal Fund, Inc. (NQU)
Portfolio of
INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
ALABAMA - 3.1% (2.0% OF TOTAL INVESTMENTS)
$ 3,500 Bessemer Governmental Utility Services Corporation, Alabama, Water 6/08 at 102.00 AAA $ 3,615,675
Supply Revenue Bonds, Series 1998, 5.200%, 6/01/24 - MBIA
Insured
Jefferson County, Alabama, Sewer Revenue Capitol Improvement
Warrants, Series 2001A:
7,475 5.500%, 2/01/31 (Pre-refunded 2/01/11) - FGIC Insured 2/11 at 101.00 AAA 8,011,182
6,340 5.500%, 2/01/31 (Pre-refunded 2/01/11) - FGIC Insured 2/11 at 101.00 AAA 6,794,768
6,970 5.500%, 2/01/31 (Pre-refunded 2/01/11) - FGIC Insured 2/11 at 101.00 AAA 7,469,958
------------------------------------------------------------------------------------------------------------------------------------
24,285 Total Alabama 25,891,583
------------------------------------------------------------------------------------------------------------------------------------
ALASKA - 0.9% (0.6% OF TOTAL INVESTMENTS)
6,110 Alaska Housing Finance Corporation, General Housing Purpose Bonds, 12/14 at 100.00 AAA 6,406,335
Series 2005A, 5.000%, 12/01/27 - FGIC Insured
1,500 Northern Tobacco Securitization Corporation, Alaska, Tobacco 6/14 at 100.00 Baa3 1,475,880
Settlement Asset-Backed Bonds, Series 2006A, 5.000%, 6/01/46
------------------------------------------------------------------------------------------------------------------------------------
7,610 Total Alaska 7,882,215
------------------------------------------------------------------------------------------------------------------------------------
ARIZONA - 1.8% (1.2% OF TOTAL INVESTMENTS)
5,350 Arizona Tourism and Sports Authority, Tax Revenue Bonds, 7/13 at 100.00 Aaa 5,587,594
Multipurpose Stadium Facility Project, Series 2003A, 5.000%,
7/01/28 - MBIA Insured
1,000 Mesa, Arizona, Utility System Revenue Refunding Bonds, Series No Opt. Call AAA 1,115,050
2002, 5.250%, 7/01/17 - FGIC Insured
8,010 Salt River Project Agricultural Improvement and Power District, 1/12 at 101.00 Aa1 8,412,903
Arizona, Electric System Revenue Refunding Bonds, Series 2002A,
5.125%, 1/01/27
------------------------------------------------------------------------------------------------------------------------------------
14,360 Total Arizona 15,115,547
------------------------------------------------------------------------------------------------------------------------------------
ARKANSAS - 1.0% (0.6% OF TOTAL INVESTMENTS)
Arkansas Development Finance Authority, Tobacco Settlement Revenue
Bonds, Arkansas Cancer Research Center Project, Series 2006:
2,500 0.000%, 7/01/36 - AMBAC Insured No Opt. Call Aaa 657,800
19,800 0.000%, 7/01/46 - AMBAC Insured No Opt. Call Aaa 3,150,774
4,000 University of Arkansas, Fayetteville, Revenue Bonds, Medical 11/14 at 100.00 Aaa 4,208,080
Sciences Campus, Series 2004B, 5.000%, 11/01/34 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
26,300 Total Arkansas 8,016,654
------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 11.7% (7.4% OF TOTAL INVESTMENTS)
1,000 California Department of Water Resources, Power Supply Revenue 5/12 at 101.00 Aaa 1,106,240
Bonds, Series 2002A, 5.750%, 5/01/17 (Pre-refunded 5/01/12)
6,000 California Health Facilities Financing Authority, Health Facility 3/13 at 100.00 A 6,112,020
Revenue Bonds, Adventist Health System/West, Series 2003A,
5.000%, 3/01/33
3,450 California Infrastructure Economic Development Bank, Revenue 10/11 at 101.00 A- 3,606,837
Bonds, J. David Gladstone Institutes, Series 2001, 5.250%,
10/01/34
1,360 California Statewide Community Development Authority, Revenue 7/15 at 100.00 BBB+ 1,414,373
Bonds, Daughters of Charity Health System, Series 2005A, 5.250%,
7/01/30
14,600 California, General Obligation Bonds, Series 2003, 5.250%, 2/01/28 8/13 at 100.00 A+ 15,595,720
25,000 California, General Obligation Bonds, Series 2005, 4.750%, 3/01/35 3/16 at 100.00 AAA 25,735,000
- MBIA Insured (UB)
10,000 California, Various Purpose General Obligation Bonds, Series 1999, 4/09 at 101.00 AAA 10,123,300
4.750%, 4/01/29 - MBIA Insured
36
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA (continued)
$ 8,500 Foothill/Eastern Transportation Corridor Agency, California, Toll 1/10 at 100.00 AAA $ 8,719,215
Road Revenue Bonds, Series 1995A, 5.000%, 1/01/35 - MBIA Insured
Golden State Tobacco Securitization Corporation, California,
Enhanced Tobacco Settlement Asset-Backed Bonds, Series 2007A-1:
10,000 5.000%, 6/01/33 6/17 at 100.00 BBB 9,977,900
1,500 5.125%, 6/01/47 6/17 at 100.00 BBB 1,504,620
30,000 San Joaquin Hills Transportation Corridor Agency, Orange County, No Opt. Call AAA 8,909,400
California, Toll Road Revenue Refunding Bonds, Series 1997A,
0.000%, 1/15/35 - MBIA Insured
1,500 San Jose Redevelopment Agency, California, Tax Allocation Bonds, 8/10 at 101.00 AAA 1,579,320
Merged Area Redevelopment Project, Series 2002, 5.000%, 8/01/32
(Pre-refunded 8/01/10) - MBIA Insured
3,000 San Mateo County Community College District, California, General No Opt. Call AAA 1,071,720
Obligation Bonds, Series 2006C, 0.000%, 9/01/30 - MBIA Insured
1,500 Tobacco Securitization Authority of Northern California, Tobacco 6/15 at 100.00 BBB 1,547,400
Settlement Asset-Backed Bonds, Series 2005A-1, 5.500%, 6/01/45
------------------------------------------------------------------------------------------------------------------------------------
117,410 Total California 97,003,065
------------------------------------------------------------------------------------------------------------------------------------
COLORADO - 5.1% (3.2% OF TOTAL INVESTMENTS)
10,000 Denver City and County, Colorado, Airport System Revenue Refunding 11/10 at 100.00 AAA 10,502,800
Bonds, Series 2000A, 5.625%, 11/15/23 - AMBAC Insured
(Alternative Minimum Tax)
12,000 E-470 Public Highway Authority, Colorado, Senior Revenue Bonds, 9/07 at 101.00 AAA 12,140,880
Series 1997A, 4.750%, 9/01/23 - MBIA Insured
5,385 E-470 Public Highway Authority, Colorado, Senior Revenue Bonds, No Opt. Call AAA 2,308,011
Series 1997B, 0.000%, 9/01/26 - MBIA Insured
14,400 E-470 Public Highway Authority, Colorado, Senior Revenue Bonds, 9/10 at 65.63 AAA 8,332,272
Series 2000B, 0.000%, 9/01/17 (Pre-refunded 9/01/10) - MBIA
Insured
8,740 Larimer County School District R1, Poudre, Colorado, General 12/10 at 100.00 AAA 9,163,016
Obligation Bonds, Series 2000, 5.125%, 12/15/19 (Pre-refunded
12/15/10) - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
50,525 Total Colorado 42,446,979
------------------------------------------------------------------------------------------------------------------------------------
CONNECTICUT - 0.5% (0.4% OF TOTAL INVESTMENTS)
4,395 Bridgeport, Connecticut, General Obligation Bonds, Series 2001C, 8/11 at 100.00 AAA 4,690,696
5.375%, 8/15/17 (Pre-refunded 8/15/11) - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
DISTRICT OF COLUMBIA - 0.6% (0.4% OF TOTAL INVESTMENTS)
5,000 Washington Convention Center Authority, District of Columbia, 10/08 at 101.00 AAA 5,158,800
Senior Lien Dedicated Tax Revenue Bonds, Series 1998, 5.250%,
10/01/17 (Pre-refunded 10/01/08) - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 0.9% (0.6% OF TOTAL INVESTMENTS)
2,250 Dade County, Florida, Water and Sewerage System Revenue Bonds, 10/07 at 102.00 AAA 2,309,355
Series 1997, 5.375%, 10/01/16 - FGIC Insured
5,000 Orange County Health Facilities Authority, Florida, Hospital 11/10 at 101.00 A+ (4) 5,491,450
Revenue Bonds, Adventist Health System/Sunbelt Obligated Group,
Series 2000, 6.500%, 11/15/30 (Pre-refunded 11/15/10)
------------------------------------------------------------------------------------------------------------------------------------
7,250 Total Florida 7,800,805
------------------------------------------------------------------------------------------------------------------------------------
HAWAII - 1.3% (0.8% OF TOTAL INVESTMENTS)
10,000 Hawaii Department of Transportation, Airport System Revenue 7/10 at 101.00 AAA 10,634,400
Refunding Bonds, Series 2000B, 5.750%, 7/01/21 - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 15.8% (10.0% OF TOTAL INVESTMENTS)
Chicago Board of Education, Illinois, Unlimited Tax General
Obligation Bonds, Dedicated Revenues, Series 2001C:
1,000 5.500%, 12/01/18 (Pre-refunded 12/01/11) - FSA Insured 12/11 at 100.00 AAA 1,075,910
3,690 5.000%, 12/01/19 (Pre-refunded 12/01/11) - FSA Insured 12/11 at 100.00 AAA 3,892,913
3,000 5.000%, 12/01/20 (Pre-refunded 12/01/11) - FSA Insured 12/11 at 100.00 AAA 3,164,970
2,000 5.000%, 12/01/21 (Pre-refunded 12/01/11) - FSA Insured 12/11 at 100.00 AAA 2,109,980
37
Nuveen Quality Income Municipal Fund, Inc. (NQU) (continued)
Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS (continued)
Chicago Board of Education, Illinois, Unlimited Tax General
Obligation Bonds, Dedicated Tax Revenues, Series 1998B-1:
$ 9,400 0.000%, 12/01/14 - FGIC Insured No Opt. Call AAA $ 6,976,116
4,400 0.000%, 12/01/15 - FGIC Insured No Opt. Call AAA 3,126,596
32,670 Chicago, Illinois, General Obligation Bonds, City Colleges, No Opt. Call AAA 11,057,488
Series 1999, 0.000%, 1/01/32 - FGIC Insured
Chicago, Illinois, General Obligation Bonds, Neighborhoods Alive
21 Program, Series 2000A:
680 6.000%, 1/01/28 (Pre-refunded 7/01/10) - FGIC Insured 7/10 at 101.00 AAA 732,489
4,320 6.000%, 1/01/28 (Pre-refunded 7/01/10) - FGIC Insured 7/10 at 101.00 AAA 4,653,461
6,380 Chicago, Illinois, General Obligation Bonds, Series 2002A, 5.000%, 7/12 at 100.00 AAA 6,719,097
1/01/18 - AMBAC Insured
70 Chicago, Illinois, General Obligation Bonds, Series 2002A, 5.000%, 7/12 at 100.00 AAA 74,293
1/01/18 (Pre-refunded 7/01/12) - AMBAC Insured
5,045 Chicago, Illinois, General Obligation Refunding Bonds, Series 1/10 at 101.00 AAA 5,329,891
2000D, 5.750%, 1/01/30 - FGIC Insured
12,935 Chicago, Illinois, Revenue Bonds, Midway Airport, Series 1998A, 1/09 at 101.00 AAA 13,207,799
5.125%, 1/01/35 - MBIA Insured (Alternative Minimum Tax)
Chicago, Illinois, Second Lien Wastewater Transmission Revenue
Bonds, Series 2000:
8,000 5.750%, 1/01/25 (Pre-refunded 1/01/10) - MBIA Insured 1/10 at 101.00 AAA 8,488,480
7,750 6.000%, 1/01/30 (Pre-refunded 1/01/10) - MBIA Insured 1/10 at 101.00 AAA 8,272,040
Illinois Educational Facilities Authority, Student Housing Revenue
Bonds, Educational Advancement Foundation Fund, University Center
Project, Series 2002:
3,000 6.625%, 5/01/17 (Pre-refunded 5/01/12) 5/12 at 101.00 Aaa 3,424,590
1,800 6.000%, 5/01/22 (Pre-refunded 5/01/12) 5/12 at 101.00 Aaa 2,003,796
1,050 Illinois Finance Authority, General Obligation Debt Certificates, 12/14 at 100.00 Aaa 1,112,801
Local Government Program - Kankakee County, Series 2005B,
5.000%, 12/01/20 - AMBAC Insured
15,000 Illinois Finance Authority, Illinois, Northwestern University, 2/15 at 100.00 Aaa 15,697,350
Revenue Bonds, Series 2006, 5.000%, 12/01/42 (UB)
5,000 Illinois Finance Authority, Revenue Bonds, Northwestern Memorial 8/14 at 100.00 AA+ 5,440,300
Hospital, Series 2004A, 5.500%, 8/15/43
10,000 Illinois Health Facilities Authority, Revenue Bonds, Iowa Health 2/10 at 101.00 AAA 10,642,300
System, Series 2000, 5.875%, 2/15/30 - AMBAC Insured (ETM)
2,290 Illinois Housing Development Authority, Section 8 Elderly Housing 6/07 at 100.00 A 2,302,893
Revenue Bonds, Garden House of Maywood Development, Series 1992,
7.000%, 9/01/18
5,000 Illinois, General Obligation Bonds, Illinois FIRST Program, Series 12/10 at 100.00 AAA 5,286,150
2000, 5.450%, 12/01/21 - MBIA Insured
2,975 Joliet Regional Port District, Illinois, Airport Facilities 7/07 at 103.00 N/R (4) 3,068,832
Revenue Bonds, Lewis University Airport, Series 1997A, 7.250%,
7/01/18 (Pre-refunded 7/01/07) (Alternative Minimum Tax)
2,270 Metropolitan Pier and Exposition Authority, Illinois, Revenue 6/12 at 101.00 AAA 2,371,446
Bonds, McCormick Place Expansion Project, Series 2002A, 5.000%,
12/15/28 - MBIA Insured
1,000 Montgomery, Illinois, Lakewood Creek Project Special Assessment 3/16 at 100.00 AA 1,002,310
Bonds, Series 2007, 4.700%, 3/01/30 - RAAI Insured
------------------------------------------------------------------------------------------------------------------------------------
150,725 Total Illinois 131,234,291
------------------------------------------------------------------------------------------------------------------------------------
INDIANA - 1.8% (1.1% OF TOTAL INVESTMENTS)
2,000 Indiana Health Facility Financing Authority, Hospital Revenue 3/14 at 100.00 AAA 2,145,020
Bonds, Deaconess Hospital Inc., Series 2004A, 5.375%, 3/01/34 -
AMBAC Insured
3,240 Indiana Health Facility Financing Authority, Hospital Revenue 7/12 at 100.00 AAA 3,480,343
Bonds, Marion General Hospital, Series 2002, 5.625%, 7/01/19 -
AMBAC Insured
2,400 Indiana Health Facility Financing Authority, Revenue Bonds, 5/15 at 100.00 AAA 2,510,256
Community Hospitals of Indiana, Series 2005A, 5.000%, 5/01/35 -
AMBAC Insured
6,540 St. Joseph County Hospital Authority, Indiana, Revenue Bonds, 2/08 at 101.00 AAA 6,559,947
Memorial Health System, Series 1998A, 4.625%, 8/15/28 - MBIA
Insured
------------------------------------------------------------------------------------------------------------------------------------
14,180 Total Indiana 14,695,566
------------------------------------------------------------------------------------------------------------------------------------
38
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
IOWA - 2.0% (1.2% OF TOTAL INVESTMENTS)
$ 8,585 Iowa Finance Authority, Hospital Facilities Revenue Bonds, Iowa 7/08 at 102.00 AAA $ 8,893,373
Health System, Series 1998A, 5.125%, 1/01/28 (Pre-refunded
7/01/08) - MBIA Insured
7,000 Iowa Tobacco Settlement Authority, Asset Backed Settlement Revenue 6/15 at 100.00 BBB 7,330,890
Bonds, Series 2005C, 5.625%, 6/01/46
------------------------------------------------------------------------------------------------------------------------------------
15,585 Total Iowa 16,224,263
------------------------------------------------------------------------------------------------------------------------------------
KANSAS - 0.8% (0.5% OF TOTAL INVESTMENTS)
4,585 Johnson County Unified School District 232, Kansas, General 9/10 at 100.00 Aaa 4,736,764
Obligation Bonds, Series 2000, 4.750%, 9/01/19 (Pre-refunded
9/01/10) - FSA Insured
1,750 Wamego, Kansas, Pollution Control Revenue Bonds, Kansas Gas and 6/14 at 100.00 AAA 1,875,160
Electric Company, Series 2004, 5.300%, 6/01/31 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
6,335 Total Kansas 6,611,924
------------------------------------------------------------------------------------------------------------------------------------
KENTUCKY - 0.3% (0.2% OF TOTAL INVESTMENTS)
2,500 Kentucky State Property and Buildings Commission, Revenue 2/12 at 100.00 AAA 2,682,525
Refunding Bonds, Project 74, Series 2002, 5.375%, 2/01/18
(Pre-refunded 2/01/12) - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
LOUISIANA - 2.4% (1.5% OF TOTAL INVESTMENTS)
10,000 Louisiana Public Facilities Authority, Hospital Revenue Bonds, No Opt. Call AAA 11,655,500
Franciscan Missionaries of Our Lady Health System, Series 1998A,
5.750%, 7/01/25 - FSA Insured
5,500 Louisiana Public Facilities Authority, Revenue Bonds, Tulane 7/12 at 100.00 AAA 5,677,705
University, Series 2002A, 5.000%, 7/01/32 - AMBAC Insured
2,600 Tobacco Settlement Financing Corporation, Louisiana, Tobacco 5/11 at 101.00 BBB 2,776,670
Settlement Asset-Backed Bonds, Series 2001B, 5.875%, 5/15/39
------------------------------------------------------------------------------------------------------------------------------------
18,100 Total Louisiana 20,109,875
------------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 8.0% (5.1% OF TOTAL INVESTMENTS)
7,405 Massachusetts Health and Educational Facilities Authority, No Opt. Call AAA 8,976,415
Revenue Bonds, Massachusetts Institute of Technology, Series
2002K, 5.500%, 7/01/32
6,000 Massachusetts Industrial Finance Agency, Resource Recovery Revenue 12/08 at 102.00 BBB 6,219,780
Refunding Bonds, Ogden Haverhill Project, Series 1998A, 5.600%,
12/01/19 (Alternative Minimum Tax)
13,500 Massachusetts Turnpike Authority, Metropolitan Highway System 7/07 at 102.00 AAA 13,702,095
Revenue Bonds, Senior Series 1997A, 5.000%, 1/01/37 - MBIA
Insured
13,500 Massachusetts Turnpike Authority, Metropolitan Highway System 1/09 at 101.00 AAA 13,796,595
Revenue Bonds, Subordinate Series 1999A, 5.000%, 1/01/39 - AMBAC
Insured
1,375 Massachusetts Water Pollution Abatement Trust, Revenue Bonds, MWRA 8/09 at 101.00 AAA 1,449,649
Loan Program, Subordinate Series 1999A, 5.750%, 8/01/29
(Pre-refunded 8/01/09)
5,570 Massachusetts Water Pollution Abatement Trust, Revenue Bonds, MWRA 8/09 at 101.00 AAA 5,851,953
Loan Program, Subordinate Series 1999A, 5.750%, 8/01/29
10,000 Massachusetts Water Resources Authority, General Revenue Bonds, 8/10 at 101.00 AAA 10,696,600
Series 2000A, 5.750%, 8/01/39 (Pre-refunded 8/01/10) - FGIC
Insured
5,730 University of Massachusetts Building Authority, Senior Lien 11/10 at 100.00 AAA 6,024,064
Project Revenue Bonds, Series 2000-2, 5.250%, 11/01/20
(Pre-refunded 11/01/10) - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
63,080 Total Massachusetts 66,717,151
------------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 2.1% (1.3% OF TOTAL INVESTMENTS)
5,000 Detroit, Michigan, Second Lien Sewerage Disposal System Revenue 7/15 at 100.00 AAA 5,254,500
Bonds, Series 2005A, 5.000%, 7/01/35 - MBIA Insured
3,790 Michigan Municipal Bond Authority, General Obligation Bonds, 6/15 at 100.00 AAA 4,021,266
Detroit City School District, Series 2005, 5.000%, 6/01/20 - FSA
Insured
7,425 Michigan State Hospital Finance Authority, Hospital Revenue Bonds, 11/09 at 101.00 A1 (4) 7,905,917
Henry Ford Health System, Series 1999A, 6.000%, 11/15/24
(Pre-refunded 11/15/09)
------------------------------------------------------------------------------------------------------------------------------------
16,215 Total Michigan 17,181,683
------------------------------------------------------------------------------------------------------------------------------------
39
Nuveen Quality Income Municipal Fund, Inc. (NQU) (continued)
Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
MINNESOTA - 1.6% (1.0% OF TOTAL INVESTMENTS)
Chaska, Minnesota, Electric Revenue Bonds, Generating Facility
Project, Series 2000A:
$ 1,930 6.000%, 10/01/20 (Pre-refunded 10/01/10) 10/10 at 100.00 A3 (4) $ 2,072,241
2,685 6.000%, 10/01/25 (Pre-refunded 10/01/10) 10/10 at 100.00 A3 (4) 2,882,885
3,655 Dakota and Washington Counties Housing and Redevelopment No Opt. Call AAA 5,187,322
Authority, Minnesota, GNMA Mortgage-Backed Securities Program
Single Family Residential Mortgage Revenue Bonds, Series
1988, 8.450%, 9/01/19 (Alternative Minimum Tax) (ETM)
3,000 Minneapolis-St. Paul Metropolitan Airports Commission, Minnesota, 1/08 at 101.00 AAA 3,056,190
Airport Revenue Bonds, Series 1998A, 5.000%, 1/01/30
(Pre-refunded 1/01/08) - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
11,270 Total Minnesota 13,198,638
------------------------------------------------------------------------------------------------------------------------------------
MISSISSIPPI - 0.5% (0.4% OF TOTAL INVESTMENTS)
1,875 Mississippi Hospital Equipment and Facilities Authority, Revenue 9/14 at 100.00 N/R 1,936,463
Bonds, Baptist Memorial Healthcare, Series 2004B-1, 5.000%,
9/01/24
2,500 Mississippi Hospital Equipment and Facilities Authority, Revenue 1/11 at 101.00 Aaa 2,635,575
Bonds, Forrest County General Hospital, Series 2000, 5.500%,
1/01/27 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
4,375 Total Mississippi 4,572,038
------------------------------------------------------------------------------------------------------------------------------------
MISSOURI - 1.7% (1.0% OF TOTAL INVESTMENTS)
15,000 Kansas City Municipal Assistance Corporation, Missouri, Leasehold No Opt. Call AAA 6,024,750
Revenue Bonds, Series 2004B-1, 0.000%, 4/15/28 - AMBAC Insured
2,400 Missouri-Illinois Metropolitan District Bi-State Development 10/13 at 100.00 AAA 2,527,680
Agency, Mass Transit Sales Tax Appropriation Bonds, Metrolink
Cross County Extension Project, Series 2002B, 5.000%,
10/01/23 - FSA Insured
15,350 Springfield Public Building Corporation, Missouri, Lease Revenue No Opt. Call AAA 5,136,110
Bonds, Jordan Valley Park Projects, Series 2000A, 0.000%,
6/01/30 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
32,750 Total Missouri 13,688,540
------------------------------------------------------------------------------------------------------------------------------------
NEVADA - 7.2% (4.5% OF TOTAL INVESTMENTS)
Clark County School District, Nevada, General Obligation Bonds,
Series 2002C:
34,470 5.000%, 6/15/20 (Pre-refunded 6/15/12) - MBIA Insured 6/12 at 100.00 AAA 36,567,843
10,380 5.000%, 6/15/22 (Pre-refunded 6/15/12) - MBIA Insured 6/12 at 100.00 AAA 11,011,727
1,275 Nevada, General Obligation Refunding Bonds, Municipal Bond Bank 5/08 at 100.00 AAA 1,288,770
Projects 65 and R-6, Series 1998, 5.000%, 5/15/22 - MBIA Insured
10,000 Reno, Nevada, Health Facilities Revenue Bonds, Catholic Healthcare 7/17 at 100.00 A 10,547,500
West, Series 2007A, 5.250%, 7/01/31 (UB)
------------------------------------------------------------------------------------------------------------------------------------
56,125 Total Nevada 59,415,840
------------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY - 5.2% (3.3% OF TOTAL INVESTMENTS)
1,000 New Jersey Building Authority, State Building Revenue Bonds, 12/12 at 100.00 AAA 1,067,790
Series 2002A, 5.000%, 12/15/21 (Pre-refunded 12/15/12) - FSA
Insured
2,150 New Jersey Health Care Facilities Financing Authority, Revenue 7/10 at 101.00 BBB- 2,367,408
Bonds, Trinitas Hospital Obligated Group, Series 2000, 7.500%,
7/01/30
2,025 New Jersey Transportation Trust Fund Authority, Transportation 12/11 at 100.00 AAA 2,225,293
System Bonds, Series 2001B, 6.000%, 12/15/19 (Pre-refunded
12/15/11) - MBIA Insured
3,200 New Jersey Transportation Trust Fund Authority, Transportation 6/13 at 100.00 AAA 3,513,888
System Bonds, Series 2003C, 5.500%, 6/15/22 (Pre-refunded
6/15/13)
New Jersey Transportation Trust Fund Authority, Transportation
System Bonds, Series 2006C:
20,000 0.000%, 12/15/33 - FSA Insured No Opt. Call AAA 6,228,400
20,000 0.000%, 12/15/35 - AMBAC Insured No Opt. Call AAA 5,674,000
20,000 0.000%, 12/15/36 - AMBAC Insured No Opt. Call AAA 5,414,000
Tobacco Settlement Financing Corporation, New Jersey, Tobacco
Settlement Asset-Backed Bonds, Series 2002:
2,340 5.750%, 6/01/32 (Pre-refunded 6/01/12) 6/12 at 100.00 AAA 2,501,694
1,000 6.125%, 6/01/42 (Pre-refunded 6/01/12) 6/12 at 100.00 AAA 1,111,700
40
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY (continued)
Tobacco Settlement Financing Corporation, New Jersey, Tobacco
Settlement Asset-Backed Bonds, Series 2003:
$ 1,850 6.250%, 6/01/43 (Pre-refunded 6/01/13) 6/13 at 100.00 AAA $ 2,101,138
9,420 6.750%, 6/01/39 (Pre-refunded 6/01/13) 6/13 at 100.00 AAA 10,953,011
------------------------------------------------------------------------------------------------------------------------------------
82,985 Total New Jersey 43,158,322
------------------------------------------------------------------------------------------------------------------------------------
NEW MEXICO - 0.8% (0.5% OF TOTAL INVESTMENTS)
5,925 New Mexico Hospital Equipment Loan Council, Hospital Revenue 8/11 at 101.00 AA- (4) 6,373,286
Bonds, Presbyterian Healthcare Services, Series 2001A, 5.500%,
8/01/21 (Pre-refunded 8/01/11)
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 18.8% (11.9% OF TOTAL INVESTMENTS)
Dormitory Authority of the State of New York, Improvement Revenue
Bonds, Mental Health Services Facilities, Series 2000B:
1,005 6.000%, 2/15/30 (Pre-refunded 2/15/10) - MBIA Insured 2/10 at 100.00 AAA 1,068,044
8,830 6.000%, 2/15/30 (Pre-refunded 2/15/10) - MBIA Insured 2/10 at 100.00 AAA 9,383,906
275 Dormitory Authority of the State of New York, Insured Revenue 7/08 at 101.00 AAA 280,943
Bonds, Fordham University, Series 1998, 5.000%, 7/01/28 - MBIA
Insured
2,250 Dormitory Authority of the State of New York, Insured Revenue No Opt. Call AAA 2,495,475
Bonds, Mount Sinai School of Medicine, Series 1994A, 5.150%,
7/01/24 - MBIA Insured
20 Dormitory Authority of the State of New York, Revenue Bonds, 5/07 at 102.00 AA- 20,428
Mental Health Services Facilities Improvements, Series 1997A,
5.750%, 2/15/27
65 Dormitory Authority of the State of New York, Revenue Bonds, 2/10 at 100.00 AAA 68,767
Mental Health Services Facilities Improvements, Series 2000B,
6.000%, 2/15/30 - MBIA Insured
100 Dormitory Authority of the State of New York, Revenue Bonds, 2/10 at 100.00 Aaa 106,273
Mental Health Services Facilities Improvements, Series 2000B,
6.000%, 2/15/30 (Pre-refunded 2/15/10) - MBIA Insured
20,000 Erie County Tobacco Asset Securitization Corporation, New York, 7/10 at 101.00 AAA 21,627,799
Senior Tobacco Settlement Asset-Backed Bonds, Series 2000,
6.125%, 7/15/30 (Pre-refunded 7/15/10)
1,320 Hudson Yards Infrastructure Corporation, New York, Revenue Bonds, 2/17 at 100.00 AAA 1,301,850
Series 2006A, 4.500%, 2/15/47 - MBIA Insured
1,130 Long Island Power Authority, New York, Electric System General 9/11 at 100.00 A- (4) 1,210,038
Revenue Bonds, Series 2001A, 5.375%, 9/01/25 (Pre-refunded
9/01/11)
15,000 Metropolitan Transportation Authority, New York, Dedicated Tax 4/10 at 100.00 AAA 15,982,200
Fund Bonds, Series 2000A, 6.000%, 4/01/30 (Pre-refunded 4/01/10)
- FGIC Insured
90 Metropolitan Transportation Authority, New York, Transportation No Opt. Call Aaa 90,723
Revenue Bonds, Series 2006B, Drivers 1662, 5.313%, 11/15/32 -
FSA Insured (IF)
13,335 Metropolitan Transportation Authority, New York, Transportation 11/16 at 100.00 AAA 13,370,738
Revenue Bonds, Series 2006B, 4.500%, 11/15/32 - FSA Insured (UB)
12,500 Nassau County Tobacco Settlement Corporation, New York, Tobacco 7/09 at 101.00 AAA 13,336,125
Settlement Asset-Backed Bonds, Series 1999A, 6.400%, 7/15/33
(Pre-refunded 7/15/09)
New York City Transitional Finance Authority, New York, Future Tax
Secured Bonds, Fiscal Series 2000B:
8,035 5.750%, 11/15/19 (Pre-refunded 5/15/10) 5/10 at 101.00 AAA 8,599,218
2,065 5.750%, 11/15/19 (Pre-refunded 5/15/10) 5/10 at 101.00 AAA 2,210,004
380 New York City, New York, General Obligation Bonds, Fiscal Series 8/07 at 101.00 AA- 385,822
1997H, 6.125%, 8/01/25
5,620 New York City, New York, General Obligation Bonds, Fiscal Series 8/07 at 101.00 AA- (4) 5,708,965
1997H, 6.125%, 8/01/25 (Pre-refunded 8/01/07)
7,600 New York City, New York, General Obligation Bonds, Fiscal Series 6/07 at 101.00 AAA 7,686,792
1997M, 5.500%, 6/01/17 - AMBAC Insured
New York City, New York, General Obligation Bonds, Fiscal Series
2002G:
950 5.000%, 8/01/17 8/12 at 100.00 AA- 993,406
6,555 5.750%, 8/01/18 8/12 at 100.00 AA- 7,106,079
3,990 New York City, New York, General Obligation Bonds, Fiscal Series 8/12 at 100.00 A1 (4) 4,391,993
2002G, 5.750%, 8/01/18 (Pre-refunded 8/01/12)
5,000 New York City, New York, General Obligation Bonds, Fiscal Series 8/12 at 100.00 AA- 5,456,000
2003A, 5.750%, 8/01/16
41
Nuveen Quality Income Municipal Fund, Inc. (NQU) (continued)
Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK (continued)
New York State Environmental Facilities Corporation, State Clean
Water and Drinking Water Revolving Funds Revenue Bonds, New York
City Municipal Water Finance Authority Projects, Second Resolution
Bonds, Series 2001C:
$ 6,035 5.000%, 6/15/20 6/11 at 100.00 AAA $ 6,340,612
6,575 5.000%, 6/15/22 6/11 at 100.00 AAA 6,870,809
2,730 Penfield-Crown Oak Housing Development Corporation, New York, 8/07 at 100.00 AAA 2,752,987
FHA-Insured Section 8 Assisted Multifamily Mortgage Revenue
Refunding Bonds, Crown Oak Estates, Series 1991A, 7.350%,
8/01/23
13,620 Port Authority of New York and New Jersey, Consolidated Revenue 11/12 at 101.00 AAA 14,566,999
Bonds, One Hundred Twenty-Eighth Series 2002, 5.000%, 11/01/20
- FSA Insured
2,250 United Nations Development Corporation, New York, Senior Lien 1/08 at 100.00 A3 2,268,113
Revenue Bonds, Series 2004A, 5.250%, 7/01/21
------------------------------------------------------------------------------------------------------------------------------------
147,325 Total New York 155,681,108
------------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA - 3.1% (1.9% OF TOTAL INVESTMENTS)
4,000 North Carolina Medical Care Commission, Health System Revenue 10/17 at 100.00 AA 3,961,840
Bonds, Mission St. Joseph's Health System, Series 2007, 4.500%,
10/01/31
665 North Carolina Medical Care Commission, Hospital Revenue Bonds, 12/08 at 101.00 AAA 673,392
Pitt County Memorial Hospital, Series 1998A, 4.750%, 12/01/28 -
MBIA Insured
12,405 North Carolina Medical Care Commission, Hospital Revenue Bonds, 12/08 at 101.00 AAA 12,733,112
Pitt County Memorial Hospital, Series 1998A, 4.750%, 12/01/28
(Pre-refunded 12/01/08) - MBIA Insured
7,500 North Carolina Municipal Power Agency 1, Catawba Electric Revenue 1/13 at 100.00 AAA 8,031,825
Bonds, Series 2003A, 5.250%, 1/01/19 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
24,570 Total North Carolina 25,400,169
------------------------------------------------------------------------------------------------------------------------------------
OHIO - 3.4% (2.1% OF TOTAL INVESTMENTS)
Cincinnati City School District, Hamilton County, Ohio, General
Obligation Bonds, Series 2002:
2,165 5.250%, 6/01/19 - FSA Insured 12/12 at 100.00 AAA 2,323,283
2,600 5.250%, 6/01/21 - FSA Insured 12/12 at 100.00 AAA 2,790,086
2,000 5.000%, 12/01/22 - FSA Insured 12/12 at 100.00 AAA 2,101,220
10,000 Columbus City School District, Franklin County, Ohio, General 12/16 at 100.00 AAA 9,718,400
Obligation Bonds, Series 2006, 4.250%, 12/01/32 - FSA Insured
(UB)
10,750 Ohio Water Development Authority, Solid Waste Disposal Revenue 9/08 at 102.00 N/R 10,929,955
Bonds, Bay Shore Power, Series 1998A, 5.875%, 9/01/20
(Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
27,515 Total Ohio 27,862,944
------------------------------------------------------------------------------------------------------------------------------------
OKLAHOMA - 6.9% (4.4% OF TOTAL INVESTMENTS)
2,000 Oklahoma Municipal Power Authority, Power Supply System Revenue 1/17 at 100.00 AAA 1,974,360
Bonds, Series 2007, 4.500%, 1/01/47 - FGIC Insured
17,510 Pottawatomie County Home Finance Authority, Oklahoma, Single No Opt. Call AAA 19,992,043
Family Mortgage Revenue Bonds, Series 1991A, 8.625%, 7/01/10
(ETM)
11,750 Tulsa Municipal Airport Trust, Oklahoma, Revenue Refunding Bonds, 12/08 at 100.00 B 11,979,360
American Airlines Inc., Series 2000B, 6.000%, 6/01/35 (Mandatory
put 12/01/08) (Alternative Minimum Tax)
23,005 Tulsa Municipal Airport Trust, Oklahoma, Revenue Refunding Bonds, 12/08 at 100.00 B 23,245,631
American Airlines Inc., Series 2001B, 5.650%, 12/01/35
(Mandatory put 12/01/08) (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
54,265 Total Oklahoma 57,191,394
------------------------------------------------------------------------------------------------------------------------------------
OREGON - 0.4% (0.2% OF TOTAL INVESTMENTS)
3,000 Deschutes County School District 1, Bend-La Pine, Oregon, General 6/11 at 100.00 Aaa 3,207,660
Obligation Bonds, Series 2001A, 5.500%, 6/15/18 (Pre-refunded
6/15/11) - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 3.8% (2.4% OF TOTAL INVESTMENTS)
3,985 Carbon County Industrial Development Authority, Pennsylvania, No Opt. Call BBB- 4,142,368
Resource Recovery Revenue Refunding Bonds, Panther Creek
Partners Project, Series 2000, 6.650%, 5/01/10 (Alternative
Minimum Tax)
42
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA (continued)
$ 2,175 Falls Township Hospital Authority, Pennsylvania, FHA-Insured 8/07 at 100.00 AAA $ 2,188,398
Revenue Refunding Bonds, Delaware Valley Medical Center,
Series 1992, 7.000%, 8/01/22
1,500 Pennsylvania Housing Finance Agency, Single Family Mortgage 10/16 at 100.00 AA+ 1,485,900
Revenue Bonds, Series 96A, 4.650%, 10/01/31 (Alternative Minimum
Tax)
2,600 Pennsylvania Turnpike Commission, Turnpike Revenue Bonds, Series 12/14 at 100.00 AAA 2,865,434
2004A, 5.500%, 12/01/31 - AMBAC Insured
7,800 Philadelphia Gas Works, Pennsylvania, Revenue Bonds, General 8/13 at 100.00 AAA 8,111,220
Ordinance, Fourth Series 1998, 5.000%, 8/01/32 - FSA Insured
Philadelphia School District, Pennsylvania, General Obligation
Bonds, Series 2002B:
6,000 5.625%, 8/01/19 (Pre-refunded 8/01/12) - FGIC Insured 8/12 at 100.00 AAA 6,550,920
5,500 5.625%, 8/01/20 (Pre-refunded 8/01/12) - FGIC Insured 8/12 at 100.00 AAA 6,005,010
------------------------------------------------------------------------------------------------------------------------------------
29,560 Total Pennsylvania 31,349,250
------------------------------------------------------------------------------------------------------------------------------------
PUERTO RICO - 1.6% (1.0% OF TOTAL INVESTMENTS)
5,000 Puerto Rico Infrastructure Financing Authority, Special Tax No Opt. Call AAA 1,048,250
Revenue Bonds, Series 2005A, 0.000%, 7/01/42 - FGIC Insured
5,000 Puerto Rico Municipal Finance Agency, Series 2002A, 5.000%, 8/12 at 100.00 AAA 5,210,400
8/01/27 - FSA Insured
1,500 Puerto Rico Public Buildings Authority, Guaranteed Government 7/12 at 100.00 BBB 1,567,680
Facilities Revenue Refunding Bonds, Series 2002D, 5.125%,
7/01/20
1,500 Puerto Rico, General Obligation and Public Improvement Bonds, No Opt. Call AAA 1,744,875
Series 2001A, 5.500%, 7/01/29
3,870 Puerto Rico, The Children's Trust Fund, Tobacco Settlement 5/12 at 100.00 BBB 4,052,780
Asset-Backed Refunding Bonds, Series 2002, 5.375%, 5/15/33
------------------------------------------------------------------------------------------------------------------------------------
16,870 Total Puerto Rico 13,623,985
------------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA - 9.1% (5.8% OF TOTAL INVESTMENTS)
24,725 Greenville County School District, South Carolina, Installment 12/12 at 101.00 AA- (4) 27,120,357
Purchase Revenue Bonds, Series 2002, 5.500%, 12/01/22
(Pre-refunded 12/01/12)
Horry County School District, South Carolina, General Obligation
Bonds, Series 2001A:
5,840 5.000%, 3/01/20 3/12 at 100.00 Aa1 6,142,687
5,140 5.000%, 3/01/21 3/12 at 100.00 Aa1 5,406,406
Medical University Hospital Authority, South Carolina,
FHA-Insured Mortgage Revenue Bonds, Series 2004A:
5,240 5.250%, 8/15/20 - MBIA Insured 8/14 at 100.00 AAA 5,624,721
3,000 5.250%, 2/15/24 - MBIA Insured 8/14 at 100.00 AAA 3,204,630
13,615 South Carolina Transportation Infrastructure Bank, Junior Lien 10/11 at 100.00 Aaa 14,384,656
Revenue Bonds, Series 2001B, 5.125%, 10/01/21 (Pre-refunded
10/01/11) - AMBAC Insured
12,600 Tobacco Settlement Revenue Management Authority, South Carolina, 5/11 at 101.00 BBB 13,611,780
Tobacco Settlement Asset-Backed Bonds, Series 2001B, 6.375%,
5/15/28
------------------------------------------------------------------------------------------------------------------------------------
70,160 Total South Carolina 75,495,237
------------------------------------------------------------------------------------------------------------------------------------
TENNESSEE - 1.4% (0.9% OF TOTAL INVESTMENTS)
3,000 Knox County Health, Educational and Housing Facilities Board, 4/12 at 101.00 Ba2 3,085,770
Tennessee, Hospital Revenue Bonds, Baptist Health System of East
Tennessee Inc., Series 2002, 6.375%, 4/15/22
7,415 Memphis, Tennessee, General Improvement Bonds, Series 2002, 11/10 at 101.00 A1 (4) 7,797,911
5.000%, 11/01/20 (Pre-refunded 11/01/10)
560 Tennessee Housing Development Agency, Homeownership Program Bonds, 7/10 at 100.00 AA 571,502
Series 2000-2B, 6.350%, 1/01/31 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
10,975 Total Tennessee 11,455,183
------------------------------------------------------------------------------------------------------------------------------------
TEXAS - 17.5% (11.0% OF TOTAL INVESTMENTS)
1,000 Alamo Community College District, Bexar County, Texas, Combined 11/11 at 100.00 AAA 1,067,690
Fee Revenue Refunding Bonds, Series 2001, 5.375%, 11/01/16 -
FSA Insured
6,500 Bell County Health Facilities Development Corporation, Texas, 11/08 at 101.00 A- 6,631,885
Retirement Facility Revenue Bonds, Buckner Retirement Services
Inc. Obligated Group, Series 1998, 5.250%, 11/15/19
43
Nuveen Quality Income Municipal Fund, Inc. (NQU) (continued)
Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
TEXAS (continued)
$ 11,255 Brazos River Authority, Texas, Pollution Control Revenue Refunding No Opt. Call Baa2 $ 11,600,754
Bonds, TXU Electric Company, Series 2001C, 5.750%, 5/01/36
(Mandatory put 11/01/11) (Alternative Minimum Tax)
5,500 Central Texas Regional Mobility Authority, Travis and Williamson 1/15 at 100.00 AAA 5,696,240
Counties, Toll Road Revenue Bonds, Series 2005, 5.000%, 1/01/45
- FGIC Insured
5,000 Dallas-Ft. Worth International Airport, Texas, Joint Revenue 11/11 at 100.00 AAA 5,315,900
Refunding and Improvement Bonds, Series 2001A, 5.625%, 11/01/21
- FGIC Insured (Alternative Minimum Tax)
2,500 Harris County Health Facilities Development Corporation, Texas, 11/13 at 100.00 AAA 2,595,200
Thermal Utility Revenue Bonds, TECO Project, Series 2003,
5.000%, 11/15/30 - MBIA Insured
2,700 Harris County-Houston Sports Authority, Texas, Senior Lien Revenue 11/11 at 100.00 AAA 2,845,719
Bonds, Series 2001G, 5.250%, 11/15/30 - MBIA Insured
22,500 Houston, Texas, Junior Lien Water and Sewerage System Revenue 12/10 at 100.00 AAA 23,625,674
Refunding Bonds, Series 2000B, 5.250%, 12/01/30 (Pre-refunded
12/01/10) - FGIC Insured
6,000 Leander Independent School District, Williamson and Travis 8/14 at 33.33 AAA 1,430,160
Counties, Texas, General Obligation Bonds, Series 2006, 0.000%,
8/15/34
Lubbock Health Facilities Development Corporation, Texas, Revenue
Bonds, St. Joseph Health System, Series 1998:
4,900 5.250%, 7/01/15 7/08 at 101.00 AA- 5,022,010
8,495 5.250%, 7/01/16 7/08 at 101.00 AA- 8,702,108
17,655 Matagorda County Navigation District 1, Texas, Revenue Refunding 11/08 at 102.00 AAA 18,264,627
Bonds, Houston Industries Inc., Series 1998B, 5.150%, 11/01/29 -
MBIA Insured
7,650 Port of Corpus Christi Authority, Nueces County, Texas, Revenue 5/07 at 100.00 BBB 7,667,136
Refunding Bonds, Union Pacific Corporation, Series 1992, 5.350%,
11/01/10
2,000 Sam Rayburn Municipal Power Agency, Texas, Power Supply System 10/12 at 100.00 AA 2,171,480
Revenue Refunding Bonds, Series 2002A, 5.750%, 10/01/21 - RAAI
Insured
14,680 San Antonio Independent School District, Bexar County, Texas, 8/09 at 100.00 AAA 15,365,262
General Obligation Bonds, Series 1999, 5.800%, 8/15/29
(Pre-refunded 8/15/09)
11,300 San Antonio, Texas, Electric and Gas System Revenue Refunding No Opt. Call AAA 12,105,351
Bonds, New Series 1992, 5.000%, 2/01/17 (ETM)
3,750 Spring Branch Independent School District, Harris County, Texas, 2/11 at 100.00 AAA 3,934,763
Limited Tax Schoolhouse and Refunding Bonds, Series 2001,
5.125%, 2/01/23 (Pre-refunded 2/01/11)
White Settlement Independent School District, Tarrant County,
Texas, General Obligation Bonds, Series 2006:
9,110 0.000%, 8/15/38 8/15 at 30.30 AAA 1,880,668
9,110 0.000%, 8/15/39 8/15 at 28.63 AAA 1,776,268
6,610 0.000%, 8/15/42 8/15 at 24.42 AAA 1,096,070
7,110 0.000%, 8/15/43 8/15 at 23.11 AAA 1,115,843
5,000 Wichita Falls, Wichita County, Texas, Priority Lien Water and 8/11 at 100.00 AAA 5,252,350
Sewerage System Revenue Bonds,Series 2001, 5.000%, 8/01/22
(Pre-refunded 8/01/11) - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
170,325 Total Texas 145,163,158
------------------------------------------------------------------------------------------------------------------------------------
UTAH - 1.6% (1.0% OF TOTAL INVESTMENTS)
5,800 Carbon County, Utah, Solid Waste Disposal Revenue Refunding Bonds, 8/07 at 100.00 BB- 5,842,340
Laidlaw/ECDC Project, Guaranteed by Allied Waste Industries,
Series 1995, 7.500%, 2/01/10 (Alternative Minimum Tax)
7,155 Utah Associated Municipal Power Systems, Revenue Bonds, Payson 4/13 at 100.00 AAA 7,501,660
Power Project, Series 2003A, 5.000%, 4/01/25 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
12,955 Total Utah 13,344,000
------------------------------------------------------------------------------------------------------------------------------------
VIRGINIA - 2.1% (1.3% OF TOTAL INVESTMENTS)
4,000 Norfolk Airport Authority, Virginia, Airport Revenue Refunding 7/11 at 100.00 AAA 4,118,200
Bonds, Series 2001B, 5.125%,7/01/31 - FGIC Insured (Alternative
Minimum Tax)
11,040 Suffolk Redevelopment and Housing Authority, Virginia, FNMA No Opt. Call Aaa 11,435,122
Multifamily Housing Revenue Refunding Bonds, Windsor at Potomac
Vista L.P. Project, Series 2001, 4.850%, 7/01/31 (Mandatory put
7/01/11)
44
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
VIRGINIA (continued)
$ 665 Virginia Housing Development Authority, Rental Housing Bonds, 5/09 at 101.00 AA+ $ 680,654
Series 1999F, 5.000%, 5/01/15 (Alternative Minimum Tax)
Virginia Resources Authority, Water System Revenue Refunding
Bonds, Series 2002:
500 5.000%, 4/01/18 4/12 at 102.00 AA 534,405
500 5.000%, 4/01/19 4/12 at 102.00 AA 533,890
------------------------------------------------------------------------------------------------------------------------------------
16,705 Total Virginia 17,302,271
------------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 10.2% (6.4% OF TOTAL INVESTMENTS)
6,750 Energy Northwest, Washington, Electric Revenue Refunding Bonds, 7/12 at 100.00 AAA 7,240,725
Columbia Generating Station - Nuclear Project 2, Series 2002B,
5.350%, 7/01/18 - FSA Insured
2,500 Energy Northwest, Washington, Electric Revenue Refunding Bonds, 7/12 at 100.00 AAA 2,729,775
Columbia Generating Station - Nuclear Project 2, Series 2002C,
5.750%, 7/01/17 - MBIA Insured
6,950 Port of Seattle, Washington, Revenue Bonds, Series 2000B, 5.625%, 8/10 at 100.00 AAA 7,285,407
2/01/24 - MBIA Insured (Alternative Minimum Tax)
13,400 Seattle, Washington, Municipal Light and Power Revenue Bonds, 12/10 at 100.00 Aa3 14,006,752
Series 2000, 5.400%, 12/01/25
9,440 Tacoma, Washington, Electric System Revenue Refunding Bonds, 1/11 at 101.00 AAA 10,185,382
Series 2001A, 5.750%, 1/01/18 (Pre-refunded 1/01/11) - FSA
Insured
5,000 Washington State Healthcare Facilities Authority, Revenue Bonds, 0/16 at 100.00 AAA 5,015,000
Providence Health Care Services, Series 2006A, 4.625%, 10/01/34
- FGIC Insured
3,365 Washington State Tobacco Settlement Authority, Tobacco Settlement 6/13 at 100.00 BBB 3,705,740
Asset-Backed Revenue Bonds, Series 2002, 6.500%, 6/01/26
18,145 Washington, General Obligation Bonds, Series 2001-02A, 5.000%, 7/11 at 100.00 AAA 18,876,969
7/01/23 - FSA Insured
Washington, Motor Vehicle Fuel Tax General Obligation Bonds,
Series 2002C:
7,000 5.000%, 1/01/21 - FSA Insured 1/12 at 100.00 AAA 7,348,320
7,960 5.000%, 1/01/22 - FSA Insured 1/12 at 100.00 AAA 8,299,016
------------------------------------------------------------------------------------------------------------------------------------
80,510 Total Washington 84,693,086
------------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 1.4% (0.9% OF TOTAL INVESTMENTS)
190 Badger Tobacco Asset Securitization Corporation, Wisconsin, 6/12 at 100.00 BBB 203,691
Tobacco Settlement Asset-Backed Bonds, Series 2002, 6.125%,
6/01/27
7,545 La Crosse, Wisconsin, Pollution Control Revenue Refunding Bonds, 12/08 at 102.00 AAA 7,872,151
Dairyland Power Cooperative, Series 1997A, 5.450%, 9/01/14 -
AMBAC Insured
3,000 Wisconsin Health and Educational Facilities Authority, 5/14 at 100.00 BBB+ 3,261,570
Revenue Bonds, Fort Healthcare Inc., Series 2004, 5.750%,
5/01/29
------------------------------------------------------------------------------------------------------------------------------------
10,735 Total Wisconsin 11,337,412
------------------------------------------------------------------------------------------------------------------------------------
$ 1,422,755 Total Investments (cost $1,227,602,797) - 158.4% 1,313,611,543
============------------------------------------------------------------------------------------------------------------------------
Floating Rate Obligations - (5.9)% (48,875,000)
---------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 2.0% 16,346,855
---------------------------------------------------------------------------------------------------------------------
Preferred Shares, at Liquidation Value - (54.5)% (452,000,000)
---------------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $ 829,083,398
=====================================================================================================================
(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 higher of Standard & Poor's or Moody's rating.
Ratings below BBB by Standard & Poor's Group or Baa by Moody's Investor
Service, Inc. are considered to be below investment grade.
(4) Backed by an escrow or trust containing sufficient U.S. Government or
U.S. Government agency securities which ensure the timely payment of
principal and interest. Such investments are normally considered to be
equivalent to AAA rated securities.
N/R Not rated.
(ETM) Escrowed to maturity.
(IF) Inverse floating rate investment.
(UB) Underlying bond of an inverse floating rate trust reflected as a
financing transaction pursuant to the provisions of SFAS No. 140.
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
45
Nuveen Premier Municipal Income Fund, Inc. (NPF)
Portfolio of
INVESTMENTS April 30, 2007
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
ALABAMA - 0.9% (0.5% OF TOTAL INVESTMENTS)
Birmingham Special Care Facilities Financing Authority, Alabama,
Revenue Bonds, Baptist Health System Inc., Series 2005A:
$ 1,200 5.250%, 11/15/20 11/15 at 100.00 Baa1 $ 1,257,576
400 5.000%, 11/15/30 11/15 at 100.00 Baa1 408,212
1,000 Montgomery BMC Special Care Facilities Financing Authority, 11/14 at 100.00 A3 (4) 1,090,730
Alabama, Revenue Bonds, Baptist Medical Center, Series 2004C,
5.250%, 11/15/29 (Pre-refunded 11/15/14)
------------------------------------------------------------------------------------------------------------------------------------
2,600 Total Alabama 2,756,518
------------------------------------------------------------------------------------------------------------------------------------
ALASKA - 2.1% (1.3% OF TOTAL INVESTMENTS)
2,000 Alaska Housing Finance Corporation, General Mortgage Revenue 6/09 at 101.00 AAA 2,079,100
Bonds, Series 1999A, 6.000%, 6/01/49 - MBIA Insured
4,500 Northern Tobacco Securitization Corporation, Alaska, Tobacco 6/14 at 100.00 Baa3 4,427,640
Settlement Asset-Backed Bonds, Series 2006A, 5.000%, 6/01/46
------------------------------------------------------------------------------------------------------------------------------------
6,500 Total Alaska 6,506,740
------------------------------------------------------------------------------------------------------------------------------------
ARIZONA - 4.7% (2.8% OF TOTAL INVESTMENTS)
Glendale Industrial Development Authority, Arizona, Revenue Bonds,
John C. Lincoln Health Network, Series 2005B:
100 5.250%, 12/01/24 12/15 at 100.00 BBB 104,528
135 5.250%, 12/01/25 12/15 at 100.00 BBB 141,113
7,500 Salt River Project Agricultural Improvement and Power District, 1/13 at 100.00 Aa1 7,857,300
Arizona, Electric System Revenue Bonds, Series 2002B, 5.000%,
1/01/25
6,000 Salt River Project Agricultural Improvement and Power District, 1/12 at 101.00 Aa1 6,440,340
Arizona, Electric System Revenue Refunding Bonds, Series 2002A,
5.250%, 1/01/15
------------------------------------------------------------------------------------------------------------------------------------
13,735 Total Arizona 14,543,281
------------------------------------------------------------------------------------------------------------------------------------
ARKANSAS - 1.6% (1.0% OF TOTAL INVESTMENTS)
4,655 Arkansas Development Finance Authority, State Facility Revenue 11/15 at 100.00 AAA 4,934,347
Bonds, Department of Correction Special Needs Unit Project,
Series 2005B, 5.000%, 11/01/25 - FSA Insured
4 Drew County Public Facilities Board, Arkansas, FNMA 8/07 at 100.00 Aaa 3,630
Mortgage-Backed Single Family Revenue Refunding Bonds, Series
1993A-2, 7.900%, 8/01/11
24 Stuttgart Public Facilities Board, Arkansas, Single Family 9/07 at 100.00 Aaa 24,059
Mortgage Revenue Refunding Bonds, Series 1993A, 7.900%, 9/01/11
------------------------------------------------------------------------------------------------------------------------------------
4,683 Total Arkansas 4,962,036
------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 23.3% (13.8% OF TOTAL INVESTMENTS)
5,690 California Department of Veterans Affairs, Home Purchase Revenue 6/12 at 101.00 AAA 6,073,449
Bonds, Series 2002A, 5.300%, 12/01/21 - AMBAC Insured
1,800 California Educational Facilities Authority, Revenue Bonds, 10/15 at 100.00 AA+ 1,863,720
University of Southern California, Series 2005, 4.750%, 10/01/28
1,975 California Health Facilities Financing Authority, Health Facility No Opt. Call A 2,082,025
Revenue Bonds, Catholic Healthcare West, Series 2004I, 4.950%,
7/01/26 (Mandatory put 7/01/14)
4,500 California Health Facilities Financing Authority, Revenue Bonds, 11/15 at 100.00 A2 4,648,320
Cedars-Sinai Medical Center, Series 2005, 5.000%, 11/15/27
8,000 California Infrastructure Economic Development Bank, First Lien 1/28 at 100.00 AAA 8,966,880
Revenue Bonds, San Francisco Bay Area Toll Bridge, Series 2003A,
5.000%, 7/01/33 (Pre-refunded 1/01/28) - AMBAC Insured (UB)
46
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA (continued)
$ 500 California Statewide Community Development Authority, Revenue 7/15 at 100.00 BBB+ $ 506,830
Bonds, Daughters of Charity Health System, Series 2005A, 5.000%,
7/01/39
1,600 California Statewide Community Development Authority, Revenue Bonds, 8/16 at 100.00 A+ 1,695,488
Kaiser Permanente System, Series 2001C, 5.250%, 8/01/31
1,000 California, Economic Recovery Revenue Bonds, Series 2004A, 5.250%, No Opt. Call AA+ 1,095,790
7/01/14
California, General Obligation Bonds, Series 2004:
4,000 5.000%, 2/01/23 2/14 at 100.00 A+ 4,223,520
4,900 5.000%, 6/01/23 - AMBAC Insured 12/14 at 100.00 AAA 5,189,786
1,000 Chula Vista, California, Industrial Development Revenue Bonds, San 6/14 at 102.00 A2 1,082,470
Diego Gas and Electric Company, Series 1996A, 5.300%, 7/01/21
28,000 Foothill/Eastern Transportation Corridor Agency, California, Toll No Opt. Call AAA 18,929,397
Road Revenue Bonds, Series 1995A, 0.000%, 1/01/17 (ETM)
450 Golden State Tobacco Securitization Corporation, California, 6/13 at 100.00 AAA 522,437
Tobacco Settlement Asset-Backed Bonds, Series 2003A-1, 6.750%,
6/01/39 (Pre-refunded 6/01/13)
6,005 Los Angeles Unified School District, California, General Obligation 7/15 at 100.00 AAA 6,422,648
Bonds, Series 2005E, 5.000%, 7/01/22 - AMBAC Insured
San Diego County, California, Certificates of Participation,
Burnham Institute, Series 2006:
100 5.000%, 9/01/21 9/15 at 102.00 Baa3 104,427
110 5.000%, 9/01/23 9/15 at 102.00 Baa3 114,777
7,500 San Jose Redevelopment Agency, California, Tax Allocation Bonds, 8/10 at 101.00 Aaa 7,896,600
Merged Area Redevelopment Project, Series 2002, 5.000%, 8/01/17
(Pre-refunded 8/01/10) - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
77,130 Total California 71,418,564
------------------------------------------------------------------------------------------------------------------------------------
COLORADO - 6.9% (4.1% OF TOTAL INVESTMENTS)
1,000 Colorado Health Facilities Authority, Revenue Bonds, Evangelical 6/16 at 100.00 A- 1,026,030
Lutheran Good Samaritan Society, Series 2005, 5.000%, 6/01/29
1,150 Colorado Health Facilities Authority, Revenue Bonds, Parkview 9/14 at 100.00 A3 1,175,277
Medical Center, Series 2004, 5.000%, 9/01/25
400 Colorado Health Facilities Authority, Revenue Bonds, Poudre Valley 3/15 at 100.00 BBB+ 408,948
Health Care, Series 2005F, 5.000%, 3/01/25
1,000 Colorado Health Facilities Authority, Revenue Bonds, Poudre Valley 12/09 at 101.00 Aaa 1,058,790
Healthcare Inc., Series 1999A, 5.750%, 12/01/23 (Pre-refunded
12/01/09) - FSA Insured
750 Colorado Health Facilities Authority, Revenue Bonds, Vail Valley 1/15 at 100.00 BBB+ 780,098
Medical Center, Series 2004, 5.000%, 1/15/17
Denver City and County, Colorado, Airport Revenue Bonds, Series
2006:
8,930 5.000%, 11/15/25 - FGIC Insured (UB) 11/16 at 100.00 AAA 9,504,824
5,950 6.641%, 11/15/25 - FGIC Insured (IF) 11/16 at 100.00 AAA 7,098,767
------------------------------------------------------------------------------------------------------------------------------------
19,180 Total Colorado 21,052,734
------------------------------------------------------------------------------------------------------------------------------------
CONNECTICUT - 0.7% (0.4% OF TOTAL INVESTMENTS)
2,000 Connecticut Development Authority, Pollution Control Revenue 10/08 at 102.00 Baa1 2,090,260
Refunding Bonds, Connecticut Light and Power Company, Series
1993A, 5.850%, 9/01/28
------------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 2.8% (1.6% OF TOTAL INVESTMENTS)
4,000 Dade County, Florida, Aviation Revenue Bonds, Series 1996A, 5.750%, 10/07 at 101.00 AAA 4,085,080
10/01/18 - MBIA Insured (Alternative Minimum Tax)
1,700 Hillsborough County Industrial Development Authority, Florida, 4/10 at 101.00 N/R 1,844,160
Exempt Facilities Remarketed Revenue Bonds, National Gypsum
Company, Apollo Beach Project, Series 2000B, 7.125%, 4/01/30
(Alternative Minimum Tax)
2,500 Hillsborough County Industrial Development Authority, Florida, 10/12 at 100.00 Baa2 2,609,675
Pollution Control Revenue Bonds, Tampa Electric Company Project,
Series 2002, 5.100%, 10/01/13
------------------------------------------------------------------------------------------------------------------------------------
8,200 Total Florida 8,538,915
------------------------------------------------------------------------------------------------------------------------------------
47
Nuveen Quality Income Municipal Fund, Inc. (NPF) (continued)
Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
GEORGIA - 4.2% (2.5% OF TOTAL INVESTMENTS)
$ 8,000 George L. Smith II World Congress Center Authority, Atlanta, 7/10 at 101.00 AAA $ 8,417,840
Georgia, Revenue Refunding Bonds, Domed Stadium Project, Series
2000, 5.500%, 7/01/20 - MBIA Insured (Alternative Minimum Tax)
4,105 Municipal Electric Authority of Georgia, Combustion Turbine Revenue 11/13 at 100.00 AAA 4,396,742
Bonds, Series 2003A, 5.125%, 11/01/17 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
12,105 Total Georgia 12,814,582
------------------------------------------------------------------------------------------------------------------------------------
HAWAII - 0.8% (0.5% OF TOTAL INVESTMENTS)
2,250 Hawaii Department of Budget and Finance, Special Purpose Revenue 1/09 at 101.00 AAA 2,350,553
Bonds, Hawaiian Electric Company Inc., Series 1999D, 6.150%,
1/01/20 - AMBAC Insured (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
IDAHO - 0.2% (0.1% OF TOTAL INVESTMENTS)
105 Idaho Housing and Finance Association, Single Family Mortgage Bonds, 7/07 at 101.00 Aa1 107,111
Series 1996E, 6.350%, 7/01/14 (Alternative Minimum Tax)
500 Madison County, Idaho, Hospital Revenue Certificates of 9/16 at 100.00 BBB- 517,310
Participation, Madison Memorial Hospital, Series 2006, 5.250%,
9/01/26
------------------------------------------------------------------------------------------------------------------------------------
605 Total Idaho 624,421
------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 14.4% (8.6% OF TOTAL INVESTMENTS)
8,300 Chicago Greater Metropolitan Area Sanitary District, Illinois, 12/16 at 100.00 AAA 9,090,243
General Obligation Bonds, Series 2006, 5.000%, 12/01/35 (UB)
725 Chicago Public Building Commission, Illinois, General Obligation No Opt. Call AAA 808,738
Lease Certificates, Chicago Board of Education, Series 1990B,
7.000%, 1/01/15 - MBIA Insured (ETM)
8,670 Chicago, Illinois, General Obligation Bonds, City Colleges, Series No Opt. Call AAA 4,238,243
1999, 0.000%, 1/01/24 - FGIC Insured
8,500 Chicago, Illinois, Senior Lien Water Revenue Bonds, Series 2001, No Opt. Call AAA 10,405,103
5.750%, 11/01/30 - AMBAC Insured
200 Illinois Finance Authority, Revenue Bonds, Proctor Hospital, Series 1/16 at 100.00 BBB- 204,624
2006, 5.125%, 1/01/25
1,000 Illinois Health Facilities Authority, Revenue Bonds, Condell 5/12 at 100.00 Baa2 1,041,210
Medical Center, Series 2002, 5.500%, 5/15/32
3,865 Illinois Housing Development Authority, Section 8 Elderly Housing 6/07 at 100.00 A 3,886,760
Revenue Bonds, Garden House of Maywood Development, Series 1992,
7.000%, 9/01/18
1,500 Illinois, General Obligation Bonds, Illinois FIRST Program, Series 2/12 at 100.00 AAA 1,607,745
2002, 5.500%, 2/01/17 - FGIC Insured
Lombard Public Facilities Corporation, Illinois, Second Tier
Conference Center and Hotel Revenue Bonds, Series 2005B:
850 5.250%, 1/01/25 1/16 at 100.00 AA- 903,134
1,750 5.250%, 1/01/30 1/16 at 100.00 AA- 1,859,393
Metropolitan Pier and Exposition Authority, Illinois, Revenue
Refunding Bonds, McCormick Place Expansion Project, Series 1996A:
10,575 0.000%, 12/15/23 - MBIA Insured No Opt. Call AAA 5,196,238
10,775 0.000%, 12/15/24 - MBIA Insured No Opt. Call AAA 5,055,522
------------------------------------------------------------------------------------------------------------------------------------
56,710 Total Illinois 44,296,953
------------------------------------------------------------------------------------------------------------------------------------
INDIANA - 3.7% (2.2% OF TOTAL INVESTMENTS)
Anderson School Building Corporation, Madison County, Indiana,
First Mortgage Bonds, Series 2003:
1,000 5.500%, 7/15/19 (Pre-refunded 1/15/14) - FSA Insured 1/14 at 100.00 AAA 1,102,570
2,275 5.500%, 7/15/23 (Pre-refunded 1/15/14) - FSA Insured 1/14 at 100.00 AAA 2,508,347
6,180 Crown Point Multi-School Building Corporation, Indiana, First No Opt. Call AAA 3,143,457
Mortgage Bonds, Crown Point Community School Corporation,
Series 2000, 0.000%, 1/15/23 - MBIA Insured
1,250 Portage, Indiana, Revenue Bonds, Series 2006, 5.000%, 7/15/23 7/16 at 100.00 BBB+ 1,284,263
48
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
INDIANA (continued)
$ 1,000 St. Joseph County Hospital Authority, Indiana, Revenue Bonds, 2/15 at 100.00 BBB $ 1,025,950
Madison Center Inc., Series 2005, 5.250%, 2/15/28
2,320 St. Joseph County PHM Elementary/Middle School Building No Opt. Call A 2,374,079
Corporation, Indiana, First Mortgage Bonds, Series 1994, 6.300%,
1/15/09
------------------------------------------------------------------------------------------------------------------------------------
14,025 Total Indiana 11,438,666
------------------------------------------------------------------------------------------------------------------------------------
IOWA - 1.4% (0.8% OF TOTAL INVESTMENTS)
4,000 Iowa Tobacco Settlement Authority, Asset Backed Settlement 6/15 at 100.00 BBB 4,156,040
Revenue Bonds, Series 2005C, 5.500%, 6/01/42
------------------------------------------------------------------------------------------------------------------------------------
KENTUCKY - 0.2% (0.1% OF TOTAL INVESTMENTS)
510 Louisville and Jefferson County Metropolitan Government, 10/16 at 100.00 N/R 522,102
Kentucky, Industrial Building Revenue Bonds, Sisters of Mercy
of the Americas, Series 2006, 5.000%, 10/01/35
------------------------------------------------------------------------------------------------------------------------------------
LOUISIANA - 5.4% (3.2% OF TOTAL INVESTMENTS)
1,310 Louisiana Housing Finance Agency, GNMA Collateralized Mortgage 9/07 at 101.00 AAA 1,338,047
Revenue Bonds, St. Dominic Assisted Care Facility, Series 1995,
6.850%, 9/01/25
825 Louisiana State, Gasoline and Fuels Tax Revenue Bonds, Series 5/16 at 100.00 AAA 845,963
2006, 4.750%, 5/01/39 - FSA Insured (UB)
8,895 Louisiana State, Gasoline and Fuels Tax Revenue Bonds, Series 5/16 at 100.00 AAA 8,750,368
2006, 4.500%, 5/01/41 - FGIC Insured (UB)
3,950 Morehouse Parish, Louisiana, Pollution Control Revenue Bonds, No Opt. Call BBB 4,278,048
International Paper Company, Series 2002A, 5.700%, 4/01/14
1,375 Tobacco Settlement Financing Corporation, Louisiana, Tobacco 5/11 at 101.00 BBB 1,468,431
Settlement Asset-Backed Bonds, Series 2001B, 5.875%, 5/15/39
------------------------------------------------------------------------------------------------------------------------------------
16,355 Total Louisiana 16,680,857
------------------------------------------------------------------------------------------------------------------------------------
MAINE - 1.6% (1.0% OF TOTAL INVESTMENTS)
4,905 Maine State Housing Authority, Single Family Mortgage Purchase 5/13 at 100.00 AA+ 4,986,668
Bonds, Series 2004A-2, 5.000%, 11/15/21 (Alternative Minimum
Tax)
------------------------------------------------------------------------------------------------------------------------------------
MARYLAND - 1.2% (0.7% OF TOTAL INVESTMENTS)
2,000 Maryland Health and Higher Educational Facilities Authority, 8/14 at 100.00 A3 2,112,700
Revenue Bonds, MedStar Health, Series 2004, 5.375%, 8/15/24
1,550 Maryland Health and Higher Educational Facilities Authority, 7/16 at 100.00 AAA 1,591,075
Revenue Bonds, Western Maryland Health, Series 2006A, 4.750%,
7/01/36 - MBIA Insured (UB)
------------------------------------------------------------------------------------------------------------------------------------
3,550 Total Maryland 3,703,775
------------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 2.1% (1.2% OF TOTAL INVESTMENTS)
1,000 Massachusetts Development Finance Authority, Revenue Bonds, 10/14 at 100.00 BBB 1,077,120
Hampshire College, Series 2004, 5.625%, 10/01/24
1,900 Massachusetts, General Obligation Bonds, Series 2003D, 5.250%, 10/13 at 100.00 AA (4) 2,059,505
10/01/20 (Pre-refunded 10/01/13)
3,000 Massachusetts, Special Obligation Dedicated Tax Revenue Bonds, 1/14 at 100.00 AAA 3,260,430
Series 2004, 5.250%, 1/01/24 (Pre-refunded 1/01/14) - FGIC
Insured
------------------------------------------------------------------------------------------------------------------------------------
5,900 Total Massachusetts 6,397,055
------------------------------------------------------------------------------------------------------------------------------------
49
Nuveen Quality Income Municipal Fund, Inc. (NPF) (continued)
Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 3.6% (2.2% OF TOTAL INVESTMENTS)
$ 2,925 Detroit, Michigan, General Obligation Bonds, Series 2003A, 4/13 at 100.00 AAA $ 3,120,683
5.250%, 4/01/17 - XLCA Insured
4,600 Detroit, Michigan, Sewer Disposal System Revenue Bonds, Second 7/16 at 100.00 AAA 4,623,644
Lien, Series 2006B, 4.625%, 7/01/34 - FGIC Insured
170 Monroe County Hospital Finance Authority, Michigan, Mercy 6/16 at 100.00 BBB- 179,814
Memorial Hospital Corporation Revenue Bonds, Series 2006,
5.500%, 6/01/35
3,025 Wayne County, Michigan, Airport Revenue Refunding Bonds, Detroit 12/12 at 100.00 AAA 3,250,847
Metropolitan Airport, Series 2002C, 5.375%, 12/01/19 - FGIC
Insured
------------------------------------------------------------------------------------------------------------------------------------
10,720 Total Michigan 11,174,988
------------------------------------------------------------------------------------------------------------------------------------
MINNESOTA - 4.9% (2.9% OF TOTAL INVESTMENTS)
4,350 Cohasset, Minnesota, Pollution Control Revenue Bonds, Allete 7/14 at 100.00 A- 4,464,275
Inc., Series 2004, 4.950%, 7/01/22
1,000 Duluth Economic Development Authority, Minnesota, Healthcare 2/14 at 100.00 A- 1,041,920
Facilities Revenue Bonds, Benedictine Health System -
St. Mary's Duluth Clinic, Series 2004, 5.250%, 2/15/21
2,290 Minneapolis-St. Paul Housing and Redevelopment Authority, 12/13 at 100.00 Baa1 2,492,642
Minnesota, Revenue Bonds, HealthPartners Inc., Series 2003,
6.000%, 12/01/20
Minnesota Higher Education Facilities Authority, Revenue Bonds,
University of St. Thomas, Series 2004-5Y:
530 5.250%, 10/01/19 10/14 at 100.00 A2 567,164
1,500 5.250%, 10/01/34 10/14 at 100.00 A2 1,593,075
665 Minnesota Higher Education Facilities Authority, Revenue Bonds, 4/16 at 100.00 A2 703,457
University of St. Thomas, Series 2006-6I, 5.000%, 4/01/23
1,000 Minnesota Municipal Power Agency, Electric Revenue Bonds, Series 10/14 at 100.00 A3 1,066,830
2004A, 5.250%, 10/01/19
3,000 St. Paul Port Authority, Minnesota, Lease Revenue Bonds, Office 12/13 at 100.00 AA+ 3,250,350
Building at Cedar Street, Series 2003, 5.250%, 12/01/20
------------------------------------------------------------------------------------------------------------------------------------
14,335 Total Minnesota 15,179,713
------------------------------------------------------------------------------------------------------------------------------------
MISSISSIPPI - 0.5% (0.3% OF TOTAL INVESTMENTS)
1,525 Mississippi Hospital Equipment and Facilities Authority, Revenue 9/14 at 100.00 N/R 1,574,990
Bonds, Baptist Memorial Healthcare, Series 2004B-1, 5.000%,
9/01/24
------------------------------------------------------------------------------------------------------------------------------------
MISSOURI - 1.0% (0.6% OF TOTAL INVESTMENTS)
100 Hannibal Industrial Development Authority, Missouri, Health 3/16 at 100.00 BBB+ 102,835
Facilities Revenue Bonds, Hannibal Regional Hospital, Series
2006, 5.000%, 3/01/22
2,880 Joplin Industrial Development Authority, Missouri, Health 2/15 at 102.00 BBB+ 3,090,499
Facilities Revenue Bonds, Freeman Health System, Series 2004,
5.500%, 2/15/24
------------------------------------------------------------------------------------------------------------------------------------
2,980 Total Missouri 3,193,334
------------------------------------------------------------------------------------------------------------------------------------
NEBRASKA - 2.9% (1.7% OF TOTAL INVESTMENTS)
1,580 Douglas County Hospital Authority 2, Nebraska, Health Facilities No Opt. Call A1 1,670,218
Revenue Bonds, Nebraska Medical Center, Series 2003, 5.000%,
11/15/16
2,055 Grand Island, Nebraska, Electric System Revenue Bonds, Series 7/07 at 100.00 AAA 2,179,492
1977, 6.100%, 9/01/12 (ETM)
2,350 NebHelp Inc., Nebraska, Senior Subordinate Bonds, Student Loan No Opt. Call AAA 2,520,540
Program, Series 1993A-5B, 6.250%, 6/01/18 - MBIA Insured
(Alternative Minimum Tax)
2,300 Omaha Public Power District, Nebraska, Separate Electric System 2/17 at 100.00 AAA 2,428,340
Revenue Bonds, Nebraska City 2, Series 2006A, 5.000%,
2/01/49 - AMBAC Insured (UB)
------------------------------------------------------------------------------------------------------------------------------------
8,285 Total Nebraska 8,798,590
------------------------------------------------------------------------------------------------------------------------------------
50
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
NEW HAMPSHIRE - 1.8% (1.0% OF TOTAL INVESTMENTS)
$ 5,000 New Hampshire Housing Finance Authority, FHLMC Multifamily 7/10 at 101.00 Aaa $ 5,222,200
Housing Remarketed Revenue Bonds, Countryside LP, Series 1994,
6.100%, 7/01/24 (Alternative Minimum Tax)
190 New Hampshire Municipal Bond Bank, Revenue Bonds, Coe-Brown No Opt. Call N/R 195,554
Northwood Academy, Series 1994, 7.250%, 5/01/09
------------------------------------------------------------------------------------------------------------------------------------
5,190 Total New Hampshire 5,417,754
------------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY - 6.7% (4.0% OF TOTAL INVESTMENTS)
1,000 New Jersey Economic Development Authority, School Facilities 9/15 at 100.00 AA- 1,083,020
Construction Bonds, Series 2005P, 5.250%, 9/01/24
New Jersey Transportation Trust Fund Authority, Transportation
System Bonds, Series 2006C:
25,000 0.000%, 12/15/35 - AMBAC Insured (UB) No Opt. Call AAA 7,092,500
10,000 0.000%, 12/15/36 - AMBAC Insured (UB) No Opt. Call AAA 2,707,000
3,000 New Jersey Transportation Trust Fund Authority, Transportation 6/13 at 100.00 AAA 3,294,270
System Bonds, Series 2003C, 5.500%, 6/15/24 (Pre-refunded
6/15/13)
2,000 New Jersey Transportation Trust Fund Authority, Transportation No Opt. Call AAA 2,203,360
System Bonds, Series 2005C, 5.250%, 6/15/15 - MBIA Insured (ETM)
1,500 New Jersey Turnpike Authority, Revenue Bonds, Series 2003A, 7/13 at 100.00 AAA 1,594,275
5.000%, 1/01/19 - FGIC Insured
2,500 New Jersey Turnpike Authority, Revenue Bonds, Series 2005A, 1/15 at 100.00 AAA 2,649,175
5.000%, 1/01/25 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
45,000 Total New Jersey 20,623,600
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 25.1% (14.8% OF TOTAL INVESTMENTS)
10,000 Dormitory Authority of the State of New York, Revenue Bonds, 5/10 at 101.00 AAA 10,627,898
State University Educational Facilities Revenue Bonds, 1999
Resolution, Series 2000B, 5.500%, 5/15/30 (Pre-refunded
5/15/10) - FSA Insured
1,500 Dormitory Authority of the State of New York, State and Local 7/14 at 100.00 AA- 1,612,875
Appropriation Lease Bonds, Upstate Community Colleges, Series
2004B, 5.250%, 7/01/19
Dormitory Authority of the State of New York, State Personal
Income Tax Revenue Bonds, Education, Series 2006C:
1,765 5.000%, 12/15/31 (UB) 12/16 at 100.00 AAA 1,882,249
7,440 5.000%, 12/15/35 (UB) 12/16 at 100.00 AAA 7,916,011
10 Hudson Yards Infrastructure Corporation, New York, Revenue 2/17 at 100.00 AAA 9,588
Bonds, Driver Trust 1649, 2006, 5.313%, 2/15/47 - MBIA Insured
(IF)
2,180 Hudson Yards Infrastructure Corporation, New York, Revenue 2/17 at 100.00 AAA 2,150,025
Bonds, Series 2006A, 4.500%, 2/15/47 - MBIA Insured (UB)
7,500 Long Island Power Authority, New York, Electric System General 6/16 at 100.00 AAA 7,992,825
Revenue Bonds, Series 2006A, 5.000%, 12/01/25 - XLCA Insured
(UB)
3,200 Metropolitan Transportation Authority, New York, Transportation 11/15 at 100.00 A 3,366,848
Revenue Bonds, Series 2005F, 5.000%, 11/15/30
5,000 Metropolitan Transportation Authority, New York, Transportation 11/12 at 100.00 AAA 5,339,750
Revenue Refunding Bonds, Series 2002A, 5.125%, 11/15/21 -
FGIC Insured
4,000 New York City Municipal Water Finance Authority, New York, Water 12/14 at 100.00 AAA 4,248,320
and Sewerage System Revenue Bonds, Fiscal Series 2005B, 5.000%,
6/15/23 - AMBAC Insured
4,265 New York City, New York, General Obligation Bonds, Fiscal Series 10/13 at 100.00 AA- 4,554,466
2003D, 5.250%, 10/15/22
1,200 New York City, New York, General Obligation Bonds, Fiscal Series 8/14 at 100.00 AA- 1,296,840
2004B, 5.250%, 8/01/15
4,000 New York City, New York, General Obligation Bonds, Fiscal Series 8/14 at 100.00 AA- 4,298,880
2004C, 5.250%, 8/15/20
3,650 New York Convention Center Development Corporation, Hotel Unit 11/15 at 100.00 AAA 3,832,573
Fee Revenue Bonds, Series 2005, 5.000%, 11/15/44 - AMBAC
Insured (UB)
565 New York State Medical Care Facilities Finance Agency, 8/07 at 100.00 AAA 568,791
FHA-Insured Mortgage Revenue Bonds, Hospital and Nursing Home
Projects, Series 1992B, 6.200%, 8/15/22
3,250 New York State Municipal Bond Bank Agency, Special School 6/13 at 100.00 A+ 3,456,603
Purpose Revenue Bonds, Series 2003C, 5.250%, 6/01/22
51
Nuveen Quality Income Municipal Fund, Inc. (NPF) (continued)
Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK (continued)
New York State Thruway Authority, General Revenue Bonds, Series
2005G:
$ 6,460 5.000%, 1/01/25 - FSA Insured (UB) 7/15 at 100.00 AAA $ 6,871,308
2,580 5.000%, 1/01/26 - FSA Insured (UB) 7/15 at 100.00 AAA 2,742,437
1,850 New York State Urban Development Corporation, Service Contract 3/15 at 100.00 AAA 1,965,477
Revenue Bonds, Series 2005B, 5.000%, 3/15/24 - FSA Insured
1,000 New York State Urban Development Corporation, Subordinate Lien 7/14 at 100.00 A 1,062,740
Corporate Purpose Bonds, Series 2004A, 5.125%, 1/01/22
1,000 Rensselaer County Industrial Development Agency, New York, Civic 3/16 at 100.00 A 1,059,630
Facility Revenue Bonds, Rensselaer Polytechnic Institute, Series
2006, 5.000%, 3/01/26
------------------------------------------------------------------------------------------------------------------------------------
72,415 Total New York 76,856,134
------------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA - 4.0% (2.4% OF TOTAL INVESTMENTS)
10,300 North Carolina Eastern Municipal Power Agency, Power System No Opt. Call AAA 12,345,887
Revenue Refunding Bonds, Series 1993B, 6.000%, 1/01/22 - CAPMAC
Insured
------------------------------------------------------------------------------------------------------------------------------------
OHIO - 2.1% (1.2% OF TOTAL INVESTMENTS)
2,000 Granville Exempt Village School District, Ohio, General 12/11 at 100.00 Aa2 (4) 2,119,500
Obligation Bonds, Series 2001, 5.000%, 12/01/24 (Pre-refunded
12/01/11)
4,000 Ohio, Solid Waste Revenue Bonds, Republic Services Inc., Series No Opt. Call BBB+ 3,921,200
2004, 4.250%, 4/01/33 (Mandatory put 4/01/14) (Alternative
Minimum Tax)
250 Port of Greater Cincinnati Development Authority, Ohio, Economic 10/16 at 100.00 N/R 257,275
Development Revenue Bonds, Sisters of Mercy of the Americas,
Series 2006, 5.000%, 10/01/25
------------------------------------------------------------------------------------------------------------------------------------
6,250 Total Ohio 6,297,975
------------------------------------------------------------------------------------------------------------------------------------
OKLAHOMA - 0.3% (0.2% OF TOTAL INVESTMENTS)
Norman Regional Hospital Authority, Oklahoma, Hospital Revenue
Bonds, Series 2005:
500 5.375%, 9/01/29 9/16 at 100.00 BBB- 527,750
450 5.375%, 9/01/36 9/16 at 100.00 BBB- 472,712
------------------------------------------------------------------------------------------------------------------------------------
950 Total Oklahoma 1,000,462
------------------------------------------------------------------------------------------------------------------------------------
OREGON - 1.3% (0.8% OF TOTAL INVESTMENTS)
Oregon, General Obligation Bonds, State Board of Higher
Education, Series 2004A:
1,795 5.000%, 8/01/21 8/14 at 100.00 AA- 1,910,419
1,990 5.000%, 8/01/23 8/14 at 100.00 AA- 2,108,306
------------------------------------------------------------------------------------------------------------------------------------
3,785 Total Oregon 4,018,725
------------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 1.5% (0.9% OF TOTAL INVESTMENTS)
3,000 Allegheny County Sanitary Authority, Pennsylvania, Sewerage 12/15 at 100.00 AAA 3,201,480
Revenue Bonds, Series 2005A, 5.000%, 12/01/23 - MBIA Insured
1,455 Falls Township Hospital Authority, Pennsylvania, FHA-Insured 8/07 at 100.00 AAA 1,463,963
Revenue Refunding Bonds, Delaware Valley Medical Center, Series
1992, 7.000%, 8/01/22
------------------------------------------------------------------------------------------------------------------------------------
4,455 Total Pennsylvania 4,665,443
------------------------------------------------------------------------------------------------------------------------------------
RHODE ISLAND - 2.7% (1.6% OF TOTAL INVESTMENTS)
7,655 Rhode Island Tobacco Settlement Financing Corporation, Tobacco 6/12 at 100.00 BBB 8,159,694
Settlement Asset-Backed Bonds, Series 2002A, 6.000%, 6/01/23
------------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA - 7.8% (4.6% OF TOTAL INVESTMENTS)
2,500 Berkeley County School District, South Carolina, Installment 12/13 at 100.00 A- 2,631,950
Purchase Revenue Bonds, Securing Assets for Education, Series
2003, 5.250%, 12/01/24
4,405 Dorchester County School District 2, South Carolina, Installment 12/14 at 100.00 A 4,682,075
Purchase Revenue Bonds, GROWTH, Series 2004, 5.250%, 12/01/23
52
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA (continued)
$ 3,340 Greenville County School District, South Carolina, Installment 12/13 at 100.00 AA- $ 3,556,833
Purchase Revenue Bonds, Series 2003, 5.250%, 12/01/19
3,620 Greenville, South Carolina, Hospital Facilities Revenue Refunding 5/13 at 100.00 AAA 3,848,458
Bonds, Series 2003A, 5.250%, 5/01/21 - AMBAC Insured
1,500 South Carolina JOBS Economic Development Authority, Economic 11/12 at 100.00 A- 1,588,710
Development Revenue Bonds, Bon Secours Health System Inc.,
Series 2002A, 5.625%, 11/15/30
South Carolina JOBS Economic Development Authority, Hospital
Refunding and Improvement Revenue Bonds, Palmetto Health
Alliance, Series 2003C:
4,895 6.375%, 8/01/34 (Pre-refunded 8/01/13) 8/13 at 100.00 BBB+ (4) 5,588,817
605 6.375%, 8/01/34 (Pre-refunded 8/01/13) 8/13 at 100.00 BBB+ (4) 689,131
1,145 Tobacco Settlement Revenue Management Authority, South Carolina, 5/11 at 101.00 BBB 1,217,799
Tobacco Settlement Asset-Backed Bonds, Series 2001B, 6.000%,
5/15/22
------------------------------------------------------------------------------------------------------------------------------------
22,010 Total South Carolina 23,803,773
------------------------------------------------------------------------------------------------------------------------------------
SOUTH DAKOTA - 0.6% (0.4% OF TOTAL INVESTMENTS)
1,750 South Dakota Health and Educational Facilities Authority, Revenue 11/14 at 100.00 AA- 1,888,110
Bonds, Sioux Valley Hospitals, Series 2004A, 5.500%, 11/01/31
------------------------------------------------------------------------------------------------------------------------------------
TENNESSEE - 1.2% (0.7% OF TOTAL INVESTMENTS)
2,060 Johnson City Health and Educational Facilities Board, Tennessee, 7/23 at 100.00 AAA 2,119,266
Hospital Revenue Refunding and Improvement Bonds, Johnson City
Medical Center, Series 1998C, 5.125%, 7/01/25
(Pre-refunded 7/01/23) - MBIA Insured
1,600 Johnson City Health and Educational Facilities Board, Tennessee, 7/16 at 100.00 BBB+ 1,704,784
Revenue Bonds, Mountain States Health Alliance, Series 2006A,
5.500%, 7/01/36
------------------------------------------------------------------------------------------------------------------------------------
3,660 Total Tennessee 3,824,050
------------------------------------------------------------------------------------------------------------------------------------
TEXAS - 5.6% (3.3% OF TOTAL INVESTMENTS)
1,075 Brazos River Authority, Texas, Pollution Control Revenue Bonds, 10/13 at 101.00 Baa2 1,170,729
TXU Energy Company LLC Project, Series 2003C, 6.750%, 10/01/38
(Alternative Minimum Tax)
3,000 Houston, Texas, First Lien Combined Utility System Revenue Bonds, 5/14 at 100.00 AAA 3,237,660
Series 2004A, 5.250%, 5/15/25 - MBIA Insured
Kerrville Health Facilities Development Corporation, Texas,
Revenue Bonds, Sid Peterson Memorial Hospital Project, Series
2005:
400 5.250%, 8/15/21 No Opt. Call BBB- 416,984
500 5.125%, 8/15/26 No Opt. Call BBB- 514,580
2,265 Lower Colorado River Authority, Texas, Contract Revenue Refunding 5/13 at 100.00 AAA 2,411,840
Bonds, Transmission Services Corporation, Series 2003C, 5.250%,
5/15/25 - AMBAC Insured
290 Mansfield Independent School District, Tarrant County, Texas, 2/11 at 100.00 AAA 304,610
General Obligation Bonds, Series 2001, 5.375%, 2/15/26
1,710 Mansfield Independent School District, Tarrant County, Texas, 2/11 at 100.00 Aaa 1,810,052
General Obligation Bonds, Series 2001, 5.375%, 2/15/26
(Pre-refunded 2/15/11)
1,000 Sabine River Authority, Texas, Pollution Control Revenue Bonds, 11/15 at 100.00 Baa2 1,016,140
TXU Electric Company, Series 2001C, 5.200%, 5/01/28
Texas Tech University, Financing System Revenue Bonds, 9th Series
2003:
3,525 5.250%, 2/15/18 - AMBAC Insured 8/13 at 100.00 AAA 3,797,201
2,250 5.250%, 2/15/19 - AMBAC Insured 8/13 at 100.00 AAA 2,423,745
20 Victoria Housing Finance Corporation, Texas, FNMA Single Family No Opt. Call Aaa 20,724
Mortgage Revenue Refunding Bonds, Series 1995, 8.125%, 1/01/11
------------------------------------------------------------------------------------------------------------------------------------
16,035 Total Texas 17,124,265
------------------------------------------------------------------------------------------------------------------------------------
53
Nuveen Quality Income Municipal Fund, Inc. (NPF) (continued)
Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
UTAH - 0.3% (0.1% OF TOTAL INVESTMENTS)
$ 545 Utah Housing Corporation, Single Family Mortgage Bonds, Series 7/11 at 100.00 Aaa $ 558,293
2001D, 5.500%, 1/01/21 (Alternative Minimum Tax)
25 Utah Housing Finance Agency, Single Family Mortgage Bonds, Series 7/07 at 102.00 AA 25,523
1996C, 6.450%, 7/01/14 (Alternative Minimum Tax)
180 Utah Housing Finance Agency, Single Family Mortgage Bonds, Series 7/07 at 101.50 AA 182,497
1997F, 5.750%, 7/01/15 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
750 Total Utah 766,313
------------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 8.6% (5.1% OF TOTAL INVESTMENTS)
2,500 Energy Northwest, Washington, Electric Revenue Refunding Bonds, 7/12 at 100.00 AAA 2,729,775
Columbia Generating Station - Nuclear Project 2, Series 2002C,
5.750%, 7/01/17 - MBIA Insured
7,000 Energy Northwest, Washington, Electric Revenue Refunding Bonds, 7/13 at 100.00 Aaa 7,602,490
Nuclear Project 1, Series2003A, 5.500%, 7/01/16
6,160 King County Public Hospital District 2, Washington, Limited Tax 6/11 at 101.00 AAA 6,474,776
General Obligation Bonds,Evergreen Hospital Medical Center,
Series 2001A, 5.250%, 12/01/24 - AMBAC Insured
1,000 Skagit County Public Hospital District 1, Washington, Revenue No Opt. Call Baa2 1,080,790
Bonds, Skagit Valley Hospital,Series 2003, 6.000%, 12/01/23
8,045 Washington, General Obligation Refunding Bonds, Series 1992A and No Opt. Call Aa1 8,459,961
1992AT-6, 6.250%, 2/01/11
------------------------------------------------------------------------------------------------------------------------------------
24,705 Total Washington 26,347,792
------------------------------------------------------------------------------------------------------------------------------------
WEST VIRGINIA - 1.8% (1.1% OF TOTAL INVESTMENTS)
2,000 West Virginia Water Development Authority, Infrastructure Revenue 10/13 at 101.00 AAA 2,217,960
Bonds, Series 2003A, 5.500%,10/01/23 (Pre-refunded 10/01/13) -
AMBAC Insured
3,150 West Virginia Water Development Authority, Loan Program II 11/13 at 101.00 AAA 3,405,371
Revenue Bonds, Series 2003B,5.250%, 11/01/23 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
5,150 Total West Virginia 5,623,331
------------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 5.8% (3.4% OF TOTAL INVESTMENTS)
5,670 Wisconsin Health and Educational Facilities Authority, Revenue 7/11 at 100.00 A- 6,018,422
Bonds, Agnesian HealthcareInc., Series 2001, 6.000%, 7/01/30
160 Wisconsin Health and Educational Facilities Authority, Revenue 5/16 at 100.00 BBB 162,962
Bonds, Divine Savior Healthcare, Series 2006, 5.000%, 5/01/32
1,000 Wisconsin Health and Educational Facilities Authority, Revenue 5/14 at 100.00 BBB+ 1,054,210
Bonds, Fort Healthcare Inc., Series 2004, 5.375%, 5/01/18
205 Wisconsin Health and Educational Facilities Authority, Revenue 10/11 at 101.00 AA- 217,858
Bonds, Froedtert and CommunityHealth Obligated Group, Series
2001, 5.375%, 10/01/30
2,145 Wisconsin Health and Educational Facilities Authority, Revenue 10/11 at 101.00 N/R (4) 2,301,606
Bonds, Froedtert and Community Health Obligated Group, Series
2001, 5.375%, 10/01/30 (Pre-refunded 10/01/11)
5,000 Wisconsin Health and Educational Facilities Authority, Revenue 2/10 at 101.00 AA 5,331,250
Bonds, Marshfield Clinic,Series 1999, 6.250%, 2/15/18 - RAAI
Insured
2,500 Wisconsin State, General Obligation Bonds, Series 2006A, 4.750%, 5/16 at 100.00 AAA 2,597,450
5/01/25 - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
16,680 Total Wisconsin 17,683,758
------------------------------------------------------------------------------------------------------------------------------------
54
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
WYOMING - 0.5% (0.3% OF TOTAL INVESTMENTS)
$ 1,350 Sweetwater County, Wyoming, Solid Waste Disposal Revenue Bonds, 12/15 at 100.00 BBB- $ 1,434,480
FMC Corporation, Series 2005, 5.600%, 12/01/35 (Alternative
Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
$ 540,878 Total Investments (cost $489,422,156) - 168.8% 517,643,881
============------------------------------------------------------------------------------------------------------------------------
Floating Rate Obligations - (17.4)% (53,364,500)
---------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 2.4% 7,444,144
---------------------------------------------------------------------------------------------------------------------
Preferred Shares, at Liquidation Value - (53.8)% (165,000,000)
---------------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $ 306,723,525
=====================================================================================================================
FORWARD SWAPS OUTSTANDING AT APRIL 30, 2007:
FUND FIXED RATE
NOTIONAL PAY/RECEIVE FLOATING RATE FIXED RATE PAYMENT EFFECTIVE
COUNTERPARTY AMOUNT FLOATING RATE INDEX (ANNUALIZED) FREQUENCY DATE (5)
------------------------------------------------------------------------------------------------------------
Morgan Stanley $28,000,000 Receive SIFM 3.690% Quarterly 11/06/07
Morgan Stanley 14,000,000 Receive 3-Month USD-LIBOR 5.262 Semi-Annually 11/15/07
Morgan Stanley 19,500,000 Receive 3-Month USD-LIBOR 5.470 Semi-Annually 8/22/07
------------------------------------------------------------------------------------------------------------
============================================================================================================
UNREALIZED
TERMINATION APPRECIATION
COUNTERPARTY DATE (DEPRECIATION)
-----------------------------------------------
Morgan Stanley 11/06/17 $ (21,914)
Morgan Stanley 11/15/34 225,264
Morgan Stanley 8/22/24 (305,049)
-----------------------------------------------
$ (101,699)
===============================================
USD-LIBOR (United States Dollar-London Inter-Bank Offered Rate)
SIFM - The daily arithmetic average of the weekly SIFM
(the Securities Industry and Financial Markets) Municipal Swap
Index.
(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 higher of Standard & Poor's or Moody's rating.
Ratings below BBB by Standard & Poor's Group or Baa by Moody's Investor
Service, Inc. are considered to be below investment grade.
(4) Backed by an escrow or trust containing sufficient U.S. Government or
U.S. Government agency securities which ensure the timely payment of
principal and interest. Such investments are normally considered to be
equivalent to AAA rated securities.
(5) Effective date represents the date on which both the Fund and
counterparty commence interest payment accruals on each forward swap
contract.
N/R Not rated.
(ETM) Escrowed to maturity.
(IF) Inverse floating rate investment.
(UB) Underlying bond of an inverse floating rate trust reflected as a
financing transaction pursuant to the provisions of SFAS No. 140.
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
55
Nuveen Municipal High Income Opportunity Fund (NMZ)
Portfolio of
INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
NATIONAL - 2.0% (1.4% OF TOTAL INVESTMENTS)
Charter Mac Equity Issuer Trust, Preferred Shares, Series 2004A-4:
$ 5,000 6.000%, 12/31/45 (Mandatory put 4/30/19) (Alternative Minimum 4/19 at 100.00 A3 $ 5,566,750
Tax)
1,000 5.750%, 12/31/45 (Mandatory put 4/30/15) (Alternative Minimum 4/15 at 100.00 A3 1,076,610
Tax)
1,000 GMAC Municipal Mortgage Trust, Series B-1, 5.600%, 10/31/39 No Opt. Call Baa1 1,061,760
(Mandatory put 10/31/19) (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
7,000 Total National 7,705,120
------------------------------------------------------------------------------------------------------------------------------------
ALABAMA - 2.3% (1.5% OF TOTAL INVESTMENTS)
6,200 Baldwin County Eastern Shore Healthcare Authority, Alabama, 4/08 at 102.00 N/R (4) 6,415,450
Hospital Revenue Bonds, Thomas Hospital, Series 1998, 5.750%,
4/01/27 (Pre-refunded 4/01/08)
2,000 Bessemer, Alabama, General Obligation Warrants, Series 2007, 2/17 at 102.00 N/R 2,003,820
6.500%, 2/01/37
------------------------------------------------------------------------------------------------------------------------------------
8,200 Total Alabama 8,419,270
------------------------------------------------------------------------------------------------------------------------------------
ARIZONA - 5.3% (3.7% OF TOTAL INVESTMENTS)
538 Estrella Mountain Ranch Community Facilities District, Goodyear, 7/10 at 102.00 N/R 592,795
7/01/25
7/01/25
2,000 Maricopa County Industrial Development Authority, Arizona, 11/07 at 103.00 N/R 1,992,480
Multifamily Housing Revenue Bonds, Privado Park Apartments
Project, Series 2006A, 5.250%, 11/01/41 (Mandatory put 11/01/11)
(Alternative Minimum Tax)
6,720 Maricopa County Industrial Development Authority, Arizona, 1/11 at 103.00 BB 7,012,186
Senior Living Facility Revenue Bonds, Christian Care Mesa II
Inc., Series 2004A, 6.625%, 1/01/34 (Alternative Minimum Tax)
Phoenix Industrial Development Authority, Arizona, Educational
Revenue Bonds, Keystone Montessori School, Series 2004A:
315 6.375%, 11/01/13 11/11 at 103.00 N/R 325,124
790 7.250%, 11/01/23 11/11 at 103.00 N/R 855,278
1,715 7.500%, 11/01/33 11/11 at 103.00 N/R 1,856,402
1,000 Pima County Industrial Development Authority, Arizona, Charter 7/16 at 100.00 N/R 1,014,490
School Revenue Bonds, Franklin Phonetic Charter School, Series
2006, 5.750%, 7/01/36
1,645 Pima County Industrial Development Authority, Arizona, Charter 7/14 at 100.00 N/R 1,798,380
School Revenue Bonds, Heritage Elementary School, Series 2004,
7.500%, 7/01/34
550 Pima County Industrial Development Authority, Arizona, Charter 12/14 at 100.00 BBB- 580,767
School Revenue Bonds, Noah Webster Basic Schools Inc., Series
2004, 6.125%, 12/15/34
500 Pima County Industrial Development Authority, Arizona, Charter No Opt. Call AAA 578,085
School Revenue Bonds, Pointe Educational Services Charter
School, Series 2004, 6.250%, 7/01/14 (ETM)
1,000 Pima County Industrial Development Authority, Arizona, Charter 7/14 at 100.00 N/R (4) 1,182,440
School Revenue Bonds, Pointe Educational Services Charter
School, Series 2004, 7.125%, 7/01/24 (Pre-refunded 7/01/14)
1,150 Pinal County Industrial Development Authority, Arizona, 10/12 at 100.00 A 1,199,450
Correctional Facilities Contract Revenue Bonds, Florence West
Prison LLC, Series 2002A, 5.250%, 10/01/22 - ACA Insured
1,000 Tucson Industrial Development Authority, Arizona, Charter School 9/14 at 100.00 BBB- 1,045,840
Revenue Bonds, Arizona Agribusiness and Equine Center Charter
School, Series 2004A, 5.850%, 9/01/24
------------------------------------------------------------------------------------------------------------------------------------
18,923 Total Arizona 20,033,717
------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 16.7% (11.5% OF TOTAL INVESTMENTS)
8,000 Alameda Public Finance Authority, California, Revenue Bond No Opt. Call N/R 8,044,880
Anticipation Notes, Alameda Power and Telecom, Series 2004,
7.000%, 6/01/09
940 California Health Facilities Financing Authority, Hospital 5/07 at 100.00 BB 940,291
Revenue Bonds, Downey Community Hospital, Series 1993, 5.750%,
5/15/15
56
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA (continued)
California State Public Works Board, Lease Revenue Bonds,
Department of General Services, Series 2003D:
$ 1,090 5.000%, 6/01/21 12/13 at 100.00 A $ 1,141,917
1,170 5.100%, 6/01/23 12/13 at 100.00 A 1,230,068
3,000 California State Public Works Board, Lease Revenue Bonds, 6/14 at 100.00 A 3,135,390
Department of Mental Health, Coalinga State Hospital, Series
2004A, 5.000%, 6/01/25
2,925 California Statewide Community Development Authority, Revenue 3/14 at 102.00 N/R 3,113,897
Bonds, Epidaurus Project, Series 2004A, 7.750%, 3/01/34
1,005 California Statewide Community Development Authority, Subordinate 1/14 at 100.00 N/R 1,086,998
Lien Multifamily Housing Revenue Bonds, Corona Park Apartments,
Series 2004I-S, 7.750%, 1/01/34 (Alternative Minimum Tax)
3,360 California, General Obligation Bonds, Series 2003, 5.000%, 11/13 at 100.00 A+ 3,549,739
11/01/21
4,975 Golden State Tobacco Securitization Corporation, California, 6/13 at 100.00 AAA 5,473,943
Enhanced Tobacco Settlement Asset-Backed Bonds, Series 2003B,
5.625%, 6/01/33 (Pre-refunded 6/01/13)
5,500 Golden State Tobacco Securitization Corporation, California, 6/13 at 100.00 AAA 6,385,335
Tobacco Settlement Asset-Backed Bonds, Series 2003A-1, 6.750%,
6/01/39 (Pre-refunded 6/01/13)
1,000 Golden State Tobacco Securitization Corporation, California, 6/13 at 100.00 AAA 1,221,660
Tobacco Settlement Asset-Backed Revenue Bonds, Series 2003A-2,
7.900%, 6/01/42 (Pre-refunded 6/01/13)
Huntington Beach, California, Special Tax Bonds, Community
Facilities District 2003-1, Huntington Center, Series 2004:
500 5.800%, 9/01/23 9/14 at 100.00 N/R 516,365
1,000 5.850%, 9/01/33 9/14 at 100.00 N/R 1,032,590
2,500 Independent Cities Lease Finance Authority, California, Revenue 5/14 at 100.00 N/R 2,776,250
Bonds, El Granada Mobile Home Park, Series 2004A, 6.450%,
5/15/44
1,015 Independent Cities Lease Finance Authority, California, 5/14 at 100.00 N/R 1,083,624
Subordinate Lien Revenue Bonds, El Granada Mobile Home Park,
Series 2004B, 6.500%, 5/15/44
1,200 Lake Elsinore, California, Special Tax Bonds, Community 9/13 at 102.00 N/R 1,289,916
Facilities District 2003-2 Improvement Area A, Canyon Hills,
Series 2004A, 5.950%, 9/01/34
3,400 Lee Lake Water District, Riverside County, California, Special 9/13 at 102.00 N/R 3,654,762
Tax Bonds, Community Facilities District 3, Series 2004, 5.950%,
9/01/34
300 Los Angeles Regional Airports Improvement Corporation, California, 12/12 at 102.00 B 340,617
Sublease Revenue Bonds, Los Angeles International Airport,
American Airlines Inc. Terminal 4 Project, Series 2002B, 7.500%,
12/01/24 (Alternative Minimum Tax)
2,950 Los Angeles Regional Airports Improvement Corporation, California, 12/12 at 102.00 B 3,349,401
Sublease Revenue Bonds, Los Angeles International Airport,
American Airlines Inc. Terminal 4 Project, Series 2002C,
7.500%, 12/01/24 (Alternative Minimum Tax)
Moreno Valley Unified School District, Riverside County,
California, Special Tax Bonds, Community Facilities District,
Series 2004:
800 5.550%, 9/01/29 9/14 at 100.00 N/R 817,696
1,250 5.650%, 9/01/34 9/14 at 100.00 N/R 1,277,750
995 Oceanside, California, Special Tax Revenue Bonds, Community 3/14 at 100.00 N/R 1,046,800
Facilities District - Morro Hills, Series 2004, 5.750%, 9/01/28
Orange County, California, Special Tax Bonds, Community Facilities
District 03-1 of Ladera Ranch, Series 2004A:
500 5.500%, 8/15/23 8/12 at 101.00 N/R 531,965
1,625 5.600%, 8/15/28 8/12 at 101.00 N/R 1,732,364
1,000 5.625%, 8/15/34 8/12 at 101.00 N/R 1,065,380
2,250 San Diego County, California, Certificates of Participation, San 9/12 at 100.00 BBB- 2,335,545
Diego-Imperial Counties Developmental Services Foundation
Project, Series 2002, 5.500%, 9/01/27
3,895 West Patterson Financing Authority, California, Special Tax Bonds, 9/13 at 103.00 N/R 4,251,315
Community Facilities District 2001-1, Series 2004A, 6.125%,
9/01/39
------------------------------------------------------------------------------------------------------------------------------------
58,145 Total California 62,426,458
------------------------------------------------------------------------------------------------------------------------------------
57
Nuveen Municipal High Income Opportunity Fund (NMZ) (continued)
Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
COLORADO - 8.7% (6.0% OF TOTAL INVESTMENTS)
$ 925 Bradburn Metropolitan District 3, Colorado, General Obligation 12/13 at 101.00 N/R $ 1,032,198
Bonds, Series 2003, 7.500%, 12/01/33
5,594 Buffalo Ridge Metropolitan District, Colorado, Limited Obligation 12/13 at 101.00 N/R 6,242,289
Assessment Bonds, Series 2003, 7.500%, 12/01/33
400 Colorado Educational and Cultural Facilities Authority, Charter 12/10 at 101.00 BBB (4) 445,040
School Revenue Bonds, Academy Charter School - Douglas County
School District Re. 1, Series 2000, 6.875%, 12/15/20
(Pre-refunded 12/15/10)
650 Colorado Educational and Cultural Facilities Authority, Charter 9/11 at 100.00 Ba1 (4) 731,341
School Revenue Bonds, Bromley East Charter School, Series 2000A,
7.250%, 9/15/30 (Pre-refunded 9/15/11)
905 Colorado Educational and Cultural Facilities Authority, Charter 7/08 at 100.00 N/R (4) 929,679
School Revenue Bonds, Compass Montessori Elementary Charter
School, Series 2000, 7.750%, 7/15/31 (Pre-refunded 7/15/08)
3,500 Colorado Educational and Cultural Facilities Authority, Charter 5/14 at 101.00 N/R 3,755,885
School Revenue Bonds, Denver Arts and Technology Academy, Series
2003, 8.000%, 5/01/34
Colorado Educational and Cultural Facilities Authority, Charter
School Revenue Bonds, Excel Academy Charter School, Series 2003:
485 7.300%, 12/01/23 (Pre-refunded 12/01/11) 12/11 at 100.00 AAA 557,454
875 7.500%, 12/01/33 (Pre-refunded 12/01/11) 12/11 at 100.00 AAA 1,013,031
1,784 Colorado Educational and Cultural Facilities Authority, Charter 2/10 at 100.00 AAA 1,971,802
School Revenue Bonds, Jefferson County School District R-1 -
Compass Montessori Secondary School, Series 2002, 8.000%,
2/15/32 (Pre-refunded 2/15/10)
1,000 Colorado Educational and Cultural Facilities Authority, Charter 2/16 at 101.00 N/R 1,001,110
School Revenue Bonds, Jefferson County School District R-1 -
Compass Montessori Secondary School, Series 2006, 5.625%,
2/15/36
1,450 Colorado Educational and Cultural Facilities Authority, Charter 6/11 at 100.00 Ba1 (4) 1,603,512
School Revenue Bonds, Weld County School District 6 - Frontier
Academy, Series 2001, 7.250%, 6/01/20 (Pre-refunded 6/01/11)
1,500 Colorado Educational and Cultural Facilities Authority, 6/14 at 100.00 N/R 1,348,395
Independent School Improvement Revenue Bonds, Heritage Christian
School of Northern Colorado, Series 2004A, 7.500%, 6/01/34
900 Colorado Housing and Finance Authority, Multifamily Project Bonds, 10/12 at 100.00 AA 928,530
Class II Series 2002C-6, 5.300%, 10/01/42
4,300 Denver Health and Hospitals Authority, Colorado, Revenue Bonds, 12/14 at 100.00 BBB 4,809,636
Series 2004A, 6.250%, 12/01/33
1,000 Denver, Colorado, FHA-Insured Multifamily Housing Mortgage Loan 7/08 at 102.00 AAA 1,023,780
Revenue Bonds, Garden Court Community Project, Series 1998,
5.400%, 7/01/39
1,250 Mesa County, Colorado, Residential Care Facilities Mortgage 12/11 at 101.00 AA 1,311,850
Revenue Bonds, Hilltop Community Resources Inc. Obligated Group,
Series 2001A, 5.250%, 12/01/21 - RAAI Insured
1,995 Park Creek Metropolitan District, Colorado, Limited Tax Obligation 12/13 at 100.00 N/R 2,249,363
Revenue Bonds, Series 2003CR-2, 7.875%, 12/01/32 (Mandatory put
12/01/13)
Tallyn's Reach Metropolitan District 2, Aurora, Colorado, Limited
Tax General Obligation Bonds, Series 2004:
250 6.000%, 12/01/18 12/13 at 100.00 N/R 268,143
315 6.375%, 12/01/23 12/13 at 100.00 N/R 342,068
Tallyn's Reach Metropolitan District 3, Aurora, Colorado, Limited
Tax General Obligation Bonds, Series 2004:
500 6.625%, 12/01/23 12/13 at 100.00 N/R 549,945
500 6.750%, 12/01/33 12/13 at 100.00 N/R 549,295
------------------------------------------------------------------------------------------------------------------------------------
30,078 Total Colorado 32,664,346
------------------------------------------------------------------------------------------------------------------------------------
CONNECTICUT - 0.5% (0.4% OF TOTAL INVESTMENTS)
1,025 Eastern Connecticut Resource Recovery Authority, Solid Waste 7/07 at 100.00 BBB 1,025,646
Revenue Bonds, Wheelabrator Lisbon Project, Series 1993A,
5.500%, 1/01/20 (Alternative Minimum Tax)
1,000 Mashantucket Western Pequot Tribe, Connecticut, Subordinate 9/16 at 100.00 Baa3 1,057,890
Special Revenue Bonds, Series 2006A, 5.500%, 9/01/36
------------------------------------------------------------------------------------------------------------------------------------
2,025 Total Connecticut 2,083,536
------------------------------------------------------------------------------------------------------------------------------------
58
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 8.1% (5.6% OF TOTAL INVESTMENTS)
$ 4,320 Bartram Springs Community Development District, Duval County, 5/13 at 102.00 N/R (4) $ 4,908,686
Florida, Special Assessment Bonds, Series 2003A, 6.650%, 5/01/34
(Pre-refunded 5/01/13)
700 Broward County, Florida, Airport Facility Revenue Bonds, Learjet 11/14 at 101.00 BBB- 823,242
Inc., Series 2000, 7.500%, 11/01/20 (Alternative Minimum Tax)
1,160 Century Gardens Community Development District, Miami-Dade County, 5/14 at 101.00 N/R 1,223,858
Florida, Special Assessment Revenue Bonds, Series 2004, 5.900%,
5/01/34
Islands at Doral Northeast Community Development District,
Miami-Dade County, Florida, Special Assessment Bonds, Series 2004:
455 6.125%, 5/01/24 5/14 at 101.00 N/R 496,455
450 6.250%, 5/01/34 5/14 at 101.00 N/R 494,321
6,880 Lee County Industrial Development Authority, Florida, Multifamily No Opt. Call Caa3 6,856,264
Housing Revenue Bonds, Legacy at Lehigh Project, Senior Series
2003A, 6.000%, 12/01/43 (5)
620 Lexington Community Development District, Florida, Special 5/14 at 101.00 N/R 663,090
Assessment Revenue Bonds, Series 2004, 6.125%, 5/01/34
3,885 MMA Financial CDD Junior Securitization Trust, Florida, 11/07 at 100.00 N/R 3,902,736
Pass-Through Certificates, Class A, Series 2003I, 8.000%,
11/01/13
3,860 Palm Beach County Housing Finance Authority, Florida, Multifamily 7/09 at 103.00 N/R 4,013,242
Housing Revenue Bonds, Lake Delray Apartments, Series 1999A,
6.400%, 1/01/31 (Alternative Minimum Tax)
1,700 South-Dade Venture Community Development District, Florida, 5/14 at 101.00 N/R 1,818,150
Special Assessment Revenue Bonds, Series 2004, 6.125%, 5/01/34
Stonegate Community Development District, Florida, Special
Assessment Revenue Bonds, Series 2004:
470 6.000%, 5/01/24 5/14 at 101.00 N/R 512,286
500 6.125%, 5/01/34 5/14 at 101.00 N/R 545,555
Westchester Community Development District 1, Florida, Special
Assessment Bonds, Series 2003:
140 6.000%, 5/01/23 5/13 at 101.00 N/R 147,890
3,745 6.125%, 5/01/35 5/13 at 101.00 N/R 3,965,281
------------------------------------------------------------------------------------------------------------------------------------
28,885 Total Florida 30,371,056
------------------------------------------------------------------------------------------------------------------------------------
GEORGIA - 1.0% (0.7% OF TOTAL INVESTMENTS)
500 Effingham County Development Authority, Georgia, Solid Waste 7/08 at 102.00 B1 505,065
Disposal Revenue Bonds, Ft. James Project, Series 1998, 5.625%,
7/01/18 (Alternative Minimum Tax) (6)
900 Fulton County Residential Care Facilities Authority, Georgia, 2/09 at 100.00 N/R 952,488
Revenue Bonds, Canterbury Court, Series 2004A, 6.125%, 2/15/34
1,935 Fulton County Residential Care Facilities Authority, Georgia, 12/13 at 102.00 N/R 2,185,757
Revenue Bonds, St. Anne's Terrace, Series 2003, 7.625%, 12/01/33
------------------------------------------------------------------------------------------------------------------------------------
3,335 Total Georgia 3,643,310
------------------------------------------------------------------------------------------------------------------------------------
HAWAII - 0.3% (0.2% OF TOTAL INVESTMENTS)
1,000 Hawaii State Department of Budget and Finance, Private School 2/17 at 100.00 N/R 1,005,560
Revenue Bonds, Montessori of Maui, Series 2007, 5.500%, 1/01/37
------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 7.1% (4.9% OF TOTAL INVESTMENTS)
2,000 Chicago, Illinois, Certificates of Participation Tax Increment 12/08 at 100.00 N/R 2,062,660
Revenue Notes, Chicago/Kingsbury Redevelopment Project, Series
2004A, 6.570%, 2/15/13
1,000 Chicago, Illinois, Certificates of Participation, Tax Increment 7/11 at 100.00 N/R 1,067,490
Allocation Revenue Bonds, Diversey-Narragansett Project, Series
2006, 7.460%, 2/15/26
2,000 Illinois Finance Authority, Revenue Bonds, Midwest Regional 10/16 at 100.00 N/R 2,000,100
Medical Center Galena-Stauss Hospital, Series 2006, 6.750%,
10/01/46
1,350 Illinois Health Facilities Authority, FHA-Insured Mortgage Revenue 8/13 at 100.00 AAA 1,407,510
Refunding Bonds, Sinai Health System, Series 2003, 5.150%,
2/15/37
1,000 Illinois Health Facilities Authority, Revenue Bonds, Condell 5/12 at 100.00 Baa2 1,041,210
Medical Center, Series 2002, 5.500%, 5/15/32
8,800 Illinois Health Facilities Authority, Revenue Bonds, Lake Forest 7/12 at 100.00 A- 9,387,311
Hospital, Series 2002A, 5.750%, 7/01/29
59
Nuveen Municipal High Income Opportunity Fund (NMZ) (continued)
Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS (continued)
$ 1,400 Illinois Health Facilities Authority, Revenue Bonds, Midwest 11/08 at 102.00 N/R $ 1,408,134
Physicians Group Ltd., Series 1998, 5.500%, 11/15/19
795 Illinois Health Facilities Authority, Revenue Bonds, Victory 8/07 at 101.00 N/R (4) 807,148
Health Services, Series 1997A, 5.750%, 8/15/27 (Pre-refunded
8/15/07)
1,650 Lombard Public Facilities Corporation, Illinois, First Tier 1/16 at 100.00 N/R 1,779,426
Conference Center and Hotel Revenue Bonds, Series 2005A-1,
7.125%, 1/01/36
1,107 Lombard Public Facilities Corporation, Illinois, Third Tier 7/07 at 100.00 N/R 1,108,786
Conference Center and Hotel Revenue Bonds, Series 2005C-3,
4.000%, 1/01/36
2,060 Plano Special Service Area 1, Illinois, Special Tax Bonds, 3/14 at 102.00 N/R 2,209,556
Lakewood Springs Project, Series 2004A, 6.200%, 3/01/34
1,000 Volo Village, Illinois, Special Service Area 3 Special Tax Bonds, 3/16 at 102.00 N/R 1,046,560
Symphony Meadows Project 1, Series 2006, 6.000%, 3/01/36
(Mandatory put 2/29/16)
1,000 Yorkville, Illinois, Special Service Area 2005-108 Assessment 3/16 at 102.00 N/R 1,046,560
Bonds, Autumn Creek Project, Series 2006, 6.000%, 3/01/36
------------------------------------------------------------------------------------------------------------------------------------
25,162 Total Illinois 26,372,451
------------------------------------------------------------------------------------------------------------------------------------
INDIANA - 9.7% (6.7% OF TOTAL INVESTMENTS)
6,360 Carmel Redevelopment District, Indiana, Tax Increment Revenue 7/12 at 103.00 N/R 6,842,597
Bonds, Series 2004A, 6.650%, 1/15/24
22,770 Indiana Finance Authority, Water Facilities Refunding Revenue 10/16 at 100.00 AAA 23,260,921
Bonds, Indiana-American Water Company Inc. Project, Series
2006, 4.875%, 10/01/36 - AMBAC Insured (UB)
Indiana Health Facility Financing Authority, Hospital Revenue
Bonds, Community Foundation of Northwest Indiana, Series 2004A:
500 6.250%, 3/01/25 3/14 at 101.00 BBB- 543,425
2,500 6.000%, 3/01/34 3/14 at 101.00 BBB- 2,690,200
1,000 St. Joseph County, Indiana, Economic Development Revenue Bonds, 7/15 at 103.00 N/R 1,086,290
Chicago Trail Village Apartments, Series 2005A, 7.500%, 7/01/35
1,795 Whitley County, Indiana, Solid Waste and Sewerage Disposal 11/10 at 102.00 N/R 1,938,815
Revenue Bonds, Steel Dynamics Inc., Series 1998, 7.250%,
11/01/18 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
34,925 Total Indiana 36,362,248
------------------------------------------------------------------------------------------------------------------------------------
LOUISIANA - 6.9% (4.8% OF TOTAL INVESTMENTS)
2,100 Carter Plantation Community Development District, Livingston 5/07 at 100.00 N/R 2,108,841
Parish, Louisiana, Special Assessment Bonds, Series 2004,
5.500%, 5/01/16
8,500 Hodge, Louisiana, Combined Utility System Revenue Bonds, No Opt. Call CCC+ 10,770,604
Smurfit-Stone Container Corporation, Series 2003, 7.450%,
3/01/24 (Alternative Minimum Tax)
2,590 Lafourche Parish Housing Authority, Louisiana, GNMA 1/11 at 105.00 AAA 2,824,499
Collateralized Mortgage Loan Multifamily Mortgage Revenue Bonds,
City Place II Apartments, Series 2001, 6.700%, 1/20/40
1,000 Louisiana Local Government Environmental Facilities and Community 9/16 at 100.00 N/R 1,017,700
Development Authority, Carter Plantation Hotel Project Revenue
Bonds, Series 2006A, 6.000%, 9/01/36
1,000 Louisiana Local Government Environmental Facilities and Community 6/16 at 101.00 N/R 1,026,750
Development Authority, Revenue Bonds, CDF Healthcare of
Louisiana LLC, Series 2006A, 7.000%, 6/01/36
Ouachita Parish Industrial Development Authority, Louisiana,
Solid Waste Disposal Revenue Bonds, White Oaks Project, Series
2004A:
865 8.250%, 3/01/19 (Alternative Minimum Tax) 3/10 at 102.00 N/R 913,336
805 8.500%, 3/01/24 (Alternative Minimum Tax) 3/10 at 102.00 N/R 852,962
5,125 St. James Parish, Louisiana, Solid Waste Disposal Revenue Bonds, 10/07 at 100.00 N/R 5,249,281
Freeport McMoran Project, Series 1992, 7.700%, 10/01/22
(Alternative Minimum Tax)
1,000 Tobacco Settlement Financing Corporation, Louisiana, Tobacco 5/11 at 101.00 BBB 1,067,950
Settlement Asset-Backed Bonds, Series 2001B, 5.875%, 5/15/39
------------------------------------------------------------------------------------------------------------------------------------
22,985 Total Louisiana 25,831,923
------------------------------------------------------------------------------------------------------------------------------------
60
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
MAINE - 0.9% (0.6% OF TOTAL INVESTMENTS)
$ 3,155 Portland Housing Development Corporation, Maine, Section 8 2/14 at 102.00 Baa2 $ 3,345,183
Assisted Senior Living Revenue Bonds, Avesta Housing Development
Corporation, Series 2004A, 6.000%, 2/01/34
------------------------------------------------------------------------------------------------------------------------------------
MARYLAND - 3.3% (2.3% OF TOTAL INVESTMENTS)
2,000 Maryland Energy Financing Administration, Revenue Bonds, AES 9/07 at 100.00 N/R 1,997,940
Warrior Run Project, Series 1995, 7.400%, 9/01/19 (Alternative
Minimum Tax)
3,850 Maryland Health and Higher Educational Facilities Authority, 8/14 at 100.00 A3 4,101,559
Revenue Bonds, MedStar Health, Series 2004, 5.500%, 8/15/33
7,435 Prince George's County, Maryland, Revenue Bonds, Dimensions 7/07 at 100.00 B3 6,242,203
Health Corporation, Series 1994, 5.300%, 7/01/24
------------------------------------------------------------------------------------------------------------------------------------
13,285 Total Maryland 12,341,702
------------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 1.0% (0.7% OF TOTAL INVESTMENTS)
635 Massachusetts Development Finance Agency, Pioneer Valley Resource No Opt. Call N/R 646,525
Recovery Revenue Bonds, Eco/Springfield LLC, Series 2006,
5.875%, 7/01/14 (Alternative Minimum Tax)
1,350 Massachusetts Health and Educational Facilities Authority, 7/14 at 100.00 BB- 1,440,639
Revenue Bonds, Northern Berkshire Community Services Inc.,
Series 2004B, 6.375%, 7/01/34
1,445 Massachusetts Housing Finance Agency, Rental Housing Mortgage 7/10 at 100.00 AAA 1,538,333
Revenue Bonds, Series 2000H, 6.650%, 7/01/41 - MBIA Insured
(Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
3,430 Total Massachusetts 3,625,497
------------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 4.6% (3.2% OF TOTAL INVESTMENTS)
1,265 Countryside Charter School, Berrien County, Michigan, Charter 4/09 at 100.00 N/R 1,289,933
School Revenue Bonds, Series 1999, 7.000%, 4/01/29
885 Countryside Charter School, Berrien County, Michigan, Charter 4/09 at 100.00 N/R 920,232
School Revenue Bonds, Series 2000, 8.000%, 4/01/29
1,435 Detroit Local Development Finance Authority, Michigan, Tax 5/09 at 101.00 BB- 1,450,598
Increment Bonds, Series 1998A, 5.500%, 5/01/21
3,580 Michigan State Hospital Finance Authority, Hospital Revenue 8/07 at 100.00 BB- 3,575,847
Refunding Bonds, Detroit Medical Center Obligated Group, Series
1993B, 5.500%, 8/15/23
1,500 Michigan State Hospital Finance Authority, Revenue Bonds, Hills 11/15 at 102.00 N/R 1,606,755
and Dales General Hospital, Series 2005A, 6.750%, 11/15/38
1,200 Midland County Economic Development Corporation, Michigan, 7/07 at 101.00 BB- 1,220,928
Subordinated Pollution Control Limited Obligation Revenue
Refunding Bonds, Midland Cogeneration Project, Series 2000A,
6.875%, 7/23/09 (Alternative Minimum Tax)
2,705 Nataki Talibah Schoolhouse, Wayne County, Michigan, Certificates 6/10 at 102.00 N/R 2,853,586
of Participation, Series 2000, 8.250%, 6/01/30
Pontiac Hospital Finance Authority, Michigan, Hospital Revenue
Refunding Bonds, NOMC Obligated Group, Series 1993:
1,000 6.000%, 8/01/13 8/07 at 100.00 Ba3 1,000,610
1,500 6.000%, 8/01/18 8/07 at 100.00 Ba3 1,493,775
1,800 6.000%, 8/01/23 8/07 at 100.00 Ba3 1,754,280
------------------------------------------------------------------------------------------------------------------------------------
16,870 Total Michigan 17,166,544
------------------------------------------------------------------------------------------------------------------------------------
MINNESOTA - 2.8% (2.0% OF TOTAL INVESTMENTS)
Minneapolis, Minnesota, Student Housing Revenue Bonds, Riverton
Community Housing Project, Series 2000:
100 7.200%, 7/01/14 (Pre-refunded 7/01/10) 7/10 at 100.00 N/R (4) 109,177
100 7.300%, 7/01/15 (Pre-refunded 7/01/10) 7/10 at 100.00 N/R (4) 109,459
1,325 Ramsey, Anoka County, Minnesota, Charter School Lease Revenue 6/14 at 102.00 N/R 1,430,550
Bonds, PACT Charter School, Series 2004A, 6.750%, 12/01/33
5,000 St. Louis Park, Minnesota, Revenue Bonds, Park Nicollet Health 7/14 at 100.00 A 5,214,850
Services, Series 2003B, 5.250%, 7/01/30
61
Nuveen Municipal High Income Opportunity Fund (NMZ) (continued)
Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
MINNESOTA (continued)
$ 1,430 St. Paul Housing and Redevelopment Authority, Minnesota, Charter 6/14 at 102.00 N/R $ 1,534,762
School Revenue Bonds, Higher Ground Academy Charter School,
Series 2004A, 6.625%, 12/01/23
1,100 St. Paul Housing and Redevelopment Authority, Minnesota, Charter 6/14 at 102.00 N/R 1,184,271
School Revenue Bonds, HOPE Community Academy Charter School,
Series 2004A, 6.750%, 12/01/33
1,000 St. Paul Port Authority, Minnesota, Lease Revenue Bonds, 5/15 at 100.00 N/R 1,038,570
HealthEast Midway Campus, Series 2005B, 6.000%, 5/01/30
------------------------------------------------------------------------------------------------------------------------------------
10,055 Total Minnesota 10,621,639
------------------------------------------------------------------------------------------------------------------------------------
MISSISSIPPI - 0.3% (0.2% OF TOTAL INVESTMENTS)
988 Mississippi Home Corporation, Multifamily Housing Revenue Bonds, 10/19 at 101.00 N/R 1,030,793
Tupelo Personal Care Apartments, Series 2004-2, 6.125%, 9/01/34
(Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
MISSOURI - 2.4% (1.6% OF TOTAL INVESTMENTS)
2,330 Kansas City Industrial Development Authority, Missouri, 2/14 at 102.00 N/R 2,042,222
Multifamily Housing Revenue Bonds, Pickwick Apartments Project,
Series 2004, 8.000%, 2/01/34 (Alternative Minimum Tax)
5,935 Missouri Environmental Improvement and Energy Resources Authority, 12/16 at 100.00 AAA 5,904,435
Water Facility Revenue Bonds, Missouri-American Water Company,
Series 2006, 4.600%, 12/01/36 - AMBAC Insured (Alternative
Minimum Tax) (UB)
1,000 Saint Louis Industrial Development Authority, Missouri, Saint 12/10 at 102.00 Caa2 996,170
Louis Convention Center Headquarters Hotel Project, Series
2000A, 7.250%, 12/15/35 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
9,265 Total Missouri 8,942,827
------------------------------------------------------------------------------------------------------------------------------------
MONTANA - 2.0% (1.3% OF TOTAL INVESTMENTS)
5,200 Montana Board of Investments, Exempt Facility Revenue Bonds, 7/10 at 101.00 B2 5,378,360
Stillwater Mining Company, Series 2000, 8.000%, 7/01/20
(Alternative Minimum Tax)
1,965 Montana Board of Investments, Resource Recovery Revenue Bonds, No Opt. Call N/R 1,984,571
Yellowstone Energy LP, Series 1993, 7.000%, 12/31/19
(Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
7,165 Total Montana 7,362,931
------------------------------------------------------------------------------------------------------------------------------------
NEBRASKA - 3.6% (2.5% OF TOTAL INVESTMENTS)
8,670 Omaha Public Power District, Nebraska, Separate Electric System 2/17 at 100.00 AAA 10,121,270
Revenue Bonds, Nebraska City 2, Series 2006A, Residuals 1508-2,
6.746%, 2/01/49 - AMBAC Insured (IF)
3,000 Omaha Public Power District, Nebraska, Separate Electric System 2/17 at 100.00 AAA 3,167,400
Revenue Bonds, Nebraska City 2, Series 2006A, 5.000%, 2/01/49 -
AMBAC Insured (UB)
------------------------------------------------------------------------------------------------------------------------------------
11,670 Total Nebraska 13,288,670
------------------------------------------------------------------------------------------------------------------------------------
NEVADA - 3.3% (2.3% OF TOTAL INVESTMENTS)
3,670 Clark County, Nevada, Industrial Development Revenue Bonds, 7/07 at 100.00 B 3,669,633
Nevada Power Company Project, Series 1995C, 5.500%, 10/01/30
2,000 Clark County, Nevada, Industrial Development Revenue Bonds, 7/07 at 100.00 B 2,012,860
Nevada Power Company, Series 1995A, 5.600%, 10/01/30
(Alternative Minimum Tax)
500 Clark County, Nevada, Industrial Development Revenue Bonds, 5/07 at 100.00 B 500,235
Nevada Power Company, Series 1997A, 5.900%, 11/01/32
(Alternative Minimum Tax)
1,495 Clark County, Nevada, Local Improvement Bonds, Mountain's Edge 8/07 at 103.00 N/R 1,544,679
Special Improvement District 142, Series 2003, 6.375%, 8/01/23
4,350 Director of Nevada State Department of Business and Industry, 1/10 at 102.00 N/R 4,571,502
Revenue Bonds, Las Vegas Monorail Project, Second Tier, Series
2000, 7.375%, 1/01/40
------------------------------------------------------------------------------------------------------------------------------------
12,015 Total Nevada 12,298,909
------------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY - 4.8% (3.3% OF TOTAL INVESTMENTS)
1,000 New Jersey Economic Development Authority, Revenue Bonds, United 1/08 at 102.00 BB+ 992,340
Methodist Homes of New Jersey Obligated Group, Series 1998,
5.125%, 7/01/25
3,510 New Jersey Economic Development Authority, Special Facilities 9/09 at 101.00 B 3,629,726
Revenue Bonds, Continental Airlines Inc., Series 1999, 6.250%,
9/15/29 (Alternative Minimum Tax)
62
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY (continued)
$ 500 New Jersey Economic Development Authority, Special Facilities 11/10 at 101.00 B $ 533,625
Revenue Bonds, Continental Airlines Inc., Series 2000, 7.000%,
11/15/30 (Alternative Minimum Tax)
500 New Jersey Health Care Facilities Financing Authority, Revenue 7/10 at 101.00 BBB- 550,560
Bonds, Trinitas Hospital Obligated Group, Series 2000, 7.500%,
7/01/30
Tobacco Settlement Financing Corporation, New Jersey, Tobacco
Settlement Asset-Backed Bonds, Series 2003:
7,825 6.750%, 6/01/39 (Pre-refunded 6/01/13) 6/13 at 100.00 AAA 9,098,441
2,760 7.000%, 6/01/41 (Pre-refunded 6/01/13) 6/13 at 100.00 AAA 3,244,766
------------------------------------------------------------------------------------------------------------------------------------
16,095 Total New Jersey 18,049,458
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 2.3% (1.6% OF TOTAL INVESTMENTS)
4,000 Dormitory Authority of the State of New York, Revenue Bonds, 7/11 at 101.00 Ba2 4,181,440
Lenox Hill Hospital Obligated Group, Series 2001, 5.500%,
7/01/30
1,000 New York City Industrial Development Agency, New York, American 8/16 at 101.00 B 1,209,270
Airlines-JFK International Airport Special Facility Revenue
Bonds, Series 2005, 7.750%, 8/01/31 (Alternative Minimum Tax)
500 New York City Industrial Development Agency, New York, Liberty 3/09 at 103.00 N/R 530,415
Revenue Bonds, 7 World Trade Center, Series 2005A, 6.250%,
3/01/15
1,700 New York City Industrial Development Agency, New York, Special 7/07 at 100.00 CCC+ 1,734,000
Facilities Revenue Bonds, American Airlines Inc., Series 1994,
6.900%, 8/01/24 (Alternative Minimum Tax)
750 New York City Industrial Development Agency, New York, Special No Opt. Call B 858,458
Facilities Revenue Bonds, JFK Airport - American Airlines Inc.,
Series 2002A, 8.000%, 8/01/12 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
7,950 Total New York 8,513,583
------------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA - 1.5% (1.1% OF TOTAL INVESTMENTS)
5,500 North Carolina Capital Facilities Finance Agency, Solid Waste 7/12 at 106.00 N/R 5,708,175
Facilities Revenue Bonds, Liberty Tire Services of North
Carolina LLC, Series 2004A, 6.750%, 7/01/29
------------------------------------------------------------------------------------------------------------------------------------
OHIO - 4.0% (2.8% OF TOTAL INVESTMENTS)
Belmont County, Ohio, Revenue Bonds, Ohio Valley Health Services
and Education Corporation, Series 1998:
500 5.700%, 1/01/13 1/08 at 102.00 B 493,775
400 5.800%, 1/01/18 1/08 at 102.00 B 392,492
3,375 Cleveland-Cuyahoga County Port Authority, Ohio, Development 5/14 at 102.00 N/R 3,481,515
Revenue Bonds, Bond Fund Program - Garfield Heights Project,
Series 2004D, 5.250%, 5/15/23
7,300 Ohio Water Development Authority, Solid Waste Disposal Revenue 9/08 at 102.00 N/R 7,422,202
Bonds, Bay Shore Power, Series 1998A, 5.875%, 9/01/20
(Alternative Minimum Tax)
1,000 Ohio, Environmental Facilities Revenue Bonds, Ford Motor Company, 4/15 at 100.00 Ba1 1,013,770
Series 2005, 5.750%, 4/01/35 (Alternative Minimum Tax)
800 Toledo-Lucas County Port Authority, Ohio, Port Revenue Bonds, 3/14 at 101.00 A 820,760
Cargill Inc., Series 2004A, 4.800%, 3/01/22
1,275 Trumbull County, Ohio, Sewerage Disposal Revenue Bonds, General No Opt. Call B- 1,345,087
Motors Corporation, Series 1994, 6.750%, 7/01/14 (Alternative
Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
14,650 Total Ohio 14,969,601
------------------------------------------------------------------------------------------------------------------------------------
OKLAHOMA - 5.0% (3.4% OF TOTAL INVESTMENTS)
1,000 Okeene Municipal Hospital and Schallmo Authority, Oklahoma, 1/16 at 101.00 N/R 1,033,260
Revenue Bonds, Series 2006, 7.000%, 1/01/35
Oklahoma Development Finance Authority, Revenue Refunding Bonds,
Hillcrest Healthcare System, Series 1999A:
1,200 5.750%, 8/15/15 (Pre-refunded 8/15/09) 8/09 at 101.00 AAA 1,265,352
11,680 5.625%, 8/15/29 (Pre-refunded 8/15/09) 8/09 at 101.00 AAA 12,284,203
850 Tulsa Industrial Authority, Oklahoma, Student Housing Revenue 10/16 at 100.00 A2 882,972
Bonds, University of Tulsa, Series 2006, 5.000%, 10/01/37
63
Nuveen Municipal High Income Opportunity Fund (NMZ) (continued)
Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
OKLAHOMA (continued)
$ 1,335 Tulsa Municipal Airport Trust, Oklahoma, Revenue Bonds, 6/07 at 100.00 B $ 1,336,215
American Airlines Inc., Series 1995, 6.250%, 6/01/20
1,500 Tulsa Municipal Airport Trust, Oklahoma, Revenue Refunding Bonds, No Opt. Call B- 1,777,980
American Airlines Inc., Series 2004A, 7.750%, 6/01/35 (Mandatory
put 12/01/14)
------------------------------------------------------------------------------------------------------------------------------------
17,565 Total Oklahoma 18,579,982
------------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 4.7% (3.3% OF TOTAL INVESTMENTS)
Allegheny County Hospital Development Authority, Pennsylvania,
Revenue Bonds, West Penn Allegheny Health System, Series 2000B:
695 9.250%, 11/15/22 11/10 at 102.00 Ba3 819,342
6,455 9.250%, 11/15/30 11/10 at 102.00 Ba3 7,622,064
500 Allentown Area Hospital Authority, Pennsylvania, Revenue Bonds, No Opt. Call BB+ 519,370
Sacred Heart Hospital, Series 2005, 6.000%, 11/15/16
2,000 Chester County Health and Education Facilities Authority, 10/15 at 102.00 N/R 2,072,300
Pennsylvania, Revenue Bonds, Immaculata University, Series 2005,
5.750%, 10/15/37
190 Monroeville Hospital Authority, Pennsylvania, Revenue Bonds, 7/07 at 100.00 Ba3 190,310
Forbes Health System, Series 1992, 7.000%, 10/01/13
300 Monroeville Hospital Authority, Pennsylvania, Revenue Bonds, 10/07 at 100.00 Ba3 301,671
Forbes Health System, Series 1995, 6.250%, 10/01/15
500 New Morgan Industrial Development Authority, Pennsylvania, Solid 10/07 at 100.00 BB- 502,530
Waste Disposal Revenue Bonds, New Morgan Landfill Company Inc.,
Series 1994, 6.500%, 4/01/19 (Alternative Minimum Tax)
400 Pennsylvania Economic Development Financing Authority, Exempt 12/09 at 103.00 B2 440,464
Facilities Revenue Bonds, Reliant Energy Inc., Series 2002A,
6.750%, 12/01/36 (Alternative Minimum Tax)
600 Pennsylvania Economic Development Financing Authority, Exempt 12/09 at 103.00 B2 660,696
Facilities Revenue Bonds, Reliant Energy Inc., Series 2003A,
6.750%, 12/01/36 (Alternative Minimum Tax)
4,000 Pennsylvania Economic Development Financing Authority, Revenue 6/12 at 102.00 A 4,328,120
Bonds, Amtrak 30th Street Station Parking Garage, Series 2002,
5.800%, 6/01/23 - ACA Insured (Alternative Minimum Tax)
230 Pennsylvania Higher Educational Facilities Authority, Revenue 7/07 at 100.00 Ba3 230,407
Bonds, Allegheny General Hospital, Series 1991A, 7.250%, 9/01/17
------------------------------------------------------------------------------------------------------------------------------------
15,870 Total Pennsylvania 17,687,274
------------------------------------------------------------------------------------------------------------------------------------
RHODE ISLAND - 1.3% (0.9% OF TOTAL INVESTMENTS)
1,500 Central Falls Detention Facility Corporation, Rhode Island, 7/15 at 103.00 N/R 1,688,985
Detention Facility Revenue Bonds, Series 2005, 7.250%, 7/15/35
3,000 Rhode Island Tobacco Settlement Financing Corporation, Tobacco 6/12 at 100.00 BBB 3,238,560
Settlement Asset-Backed Bonds, Series 2002A, 6.250%, 6/01/42
------------------------------------------------------------------------------------------------------------------------------------
4,500 Total Rhode Island 4,927,545
------------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA - 0.2% (0.1% OF TOTAL INVESTMENTS)
490 Tobacco Settlement Revenue Management Authority, South Carolina, No Opt. Call BBB 571,301
Tobacco Settlement Asset-Backed Bonds, Series 2001B, 6.375%,
5/15/30
------------------------------------------------------------------------------------------------------------------------------------
TENNESSEE - 1.4% (0.9% OF TOTAL INVESTMENTS)
3,500 Knox County Health, Educational and Housing Facilities Board, 4/12 at 101.00 Ba2 3,613,295
Tennessee, Hospital Revenue Bonds, Baptist Health System of
East Tennessee Inc., Series 2002, 6.500%, 4/15/31
1,500 Maury County Industrial Development Board, Tennessee, Multi-Modal 9/07 at 100.00 B- 1,520,985
Interchangeable Rate Pollution Control Revenue Refunding Bonds,
Saturn Corporation, Series 1994, 6.500%, 9/01/24
------------------------------------------------------------------------------------------------------------------------------------
5,000 Total Tennessee 5,134,280
------------------------------------------------------------------------------------------------------------------------------------
TEXAS - 9.9% (6.8% OF TOTAL INVESTMENTS)
2,000 Austin Convention Enterprises Inc., Texas, Convention Center Hotel 1/11 at 100.00 N/R 2,068,100
Revenue Bonds, First Tier Series 2001A, 9.750%, 1/01/26
1,200 Dallas-Ft. Worth International Airport Facility Improvement 5/07 at 100.00 CCC+ 1,201,548
Corporation, Texas, Revenue Bonds, American Airlines Inc.,
Series 1992, 7.250%, 11/01/30 (Alternative Minimum Tax)
64
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
TEXAS (continued)
$ 2,705 Dallas-Ft. Worth International Airport Facility Improvement 11/07 at 100.00 CCC+ $ 2,712,168
Corporation, Texas, Revenue Bonds, American Airlines Inc.,
Series 1995, 6.000%, 11/01/14
Decatur Hospital Authority, Texas, Revenue Bonds, Wise Regional
Health System, Series 2004A:
1,840 7.000%, 9/01/25 9/14 at 100.00 N/R 2,023,209
6,600 7.125%, 9/01/34 9/14 at 100.00 N/R 7,275,180
585 Gulf Coast Industrial Development Authority, Texas, Solid Waste 4/12 at 100.00 Baa3 668,111
Disposal Revenue Bonds, Citgo Petroleum Corporation Project,
Series 1998, 8.000%, 4/01/28 (Alternative Minimum Tax)
1,000 Heart of Texas Education Finance Corporation, Texas, Gateway 8/16 at 100.00 N/R 1,003,310
Charter Academy, Series 2006A, 6.000%, 2/15/36
Houston Health Facilities Development Corporation, Texas, Revenue
Bonds, Buckingham Senior Living Community Inc., Series 2004A:
250 7.000%, 2/15/23 2/14 at 101.00 N/R 279,645
1,400 7.125%, 2/15/34 2/14 at 101.00 N/R 1,565,438
2,020 Houston, Texas, Airport System Special Facilities Revenue Bonds, 7/09 at 101.00 B- 2,054,502
Continental Air Lines Inc., Series 1998B, 5.700%, 7/15/29
(Alternative Minimum Tax)
975 Houston, Texas, Airport System Special Facilities Revenue Bonds, 7/09 at 101.00 B- 991,653
Continental Air Lines Inc., Series 1998C, 5.700%, 7/15/29
(Alternative Minimum Tax)
Houston, Texas, Airport System Special Facilities Revenue Bonds,
Continental Air Lines Inc., Series 2001E:
600 7.375%, 7/01/22 (Alternative Minimum Tax) 7/11 at 101.00 B- 658,098
5,350 6.750%, 7/01/29 (Alternative Minimum Tax) 7/11 at 101.00 B- 5,718,187
500 Mission Economic Development Corporation, Texas, Solid Waste 4/12 at 100.00 B+ 504,575
Disposal Revenue Bonds, Allied Waste Industries, Inc., Series
2007A, 5.200%, 4/01/18 (Alternative Minimum Tax)
2,000 Sea Breeze Public Facility Corporation, Texas, Multifamily 1/21 at 100.00 N/R 2,051,760
Housing Revenue Bonds, Sea Breeze Senior Apartments, Series
2006, 6.500%, 1/01/46 (Alternative Minimum Tax)
5,825 Texas Department of Housing and Community Affairs, Multifamily 7/21 at 100.00 N/R 6,100,872
Housing Revenue Bonds, Humble Parkway Townhomes, Series 2004,
6.600%, 1/01/41 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
34,850 Total Texas 36,876,356
------------------------------------------------------------------------------------------------------------------------------------
VIRGIN ISLANDS - 3.3% (2.3% OF TOTAL INVESTMENTS)
3,000 Virgin Islands Public Finance Authority, Gross Receipts Taxes 10/14 at 100.00 AA 3,152,520
Loan Note, Series 2003, 5.000%, 10/01/26 - RAAI Insured
5,000 Virgin Islands Public Finance Authority, Revenue Bonds, Refinery 1/14 at 100.00 BBB 5,519,300
Project - Hovensa LLC, Series 2003, 6.125%, 7/01/22 (Alternative
Minimum Tax)
3,300 Virgin Islands Public Finance Authority, Senior Secured Lien 7/14 at 100.00 BBB 3,610,068
Revenue Bonds, Refinery Project - Hovensa LLC, Series 2004,
5.875%, 7/01/22
------------------------------------------------------------------------------------------------------------------------------------
11,300 Total Virgin Islands 12,281,888
------------------------------------------------------------------------------------------------------------------------------------
VIRGINIA - 4.4% (3.0% OF TOTAL INVESTMENTS)
Pocahontas Parkway Association, Virginia, Senior Lien Revenue
Bonds, Route 895 Connector Toll Road, Series 1998A:
2,000 0.000%, 8/15/14 (Pre-refunded 8/15/08) 8/08 at 73.23 AAA 1,395,580
4,250 5.500%, 8/15/28 (Pre-refunded 8/15/08) 8/08 at 102.00 AAA 4,432,240
1,850 0.000%, 8/15/30 (Pre-refunded 8/15/08) 8/08 at 28.38 AAA 500,314
Pocahontas Parkway Association, Virginia, Senior Lien Revenue
Bonds, Route 895 Connector Toll Road, Series 1998B:
2,000 0.000%, 8/15/12 (Pre-refunded 8/15/08) 8/08 at 82.10 AAA 1,564,660
3,000 0.000%, 8/15/15 (Pre-refunded 8/15/08) 8/08 at 68.82 AAA 1,967,490
9,000 0.000%, 8/15/19 (Pre-refunded 8/15/08) 8/08 at 54.38 AAA 4,663,890
630 Rockbridge County Industrial Development Authority, Virginia, 7/11 at 105.00 B2 (4) 735,166
Horse Center Revenue Bonds, Series 2001A, 7.400%, 7/15/21
(Pre-refunded 7/15/11)
980 Rockbridge County Industrial Development Authority, Virginia, 7/11 at 105.00 B2 (4) 1,121,561
Horse Center Revenue Refunding Bonds, Series 2001C, 6.850%,
7/15/21 (Pre-refunded 7/15/11)
------------------------------------------------------------------------------------------------------------------------------------
23,710 Total Virginia 16,380,901
------------------------------------------------------------------------------------------------------------------------------------
65
Nuveen Municipal High Income Opportunity Fund (NMZ) (continued)
Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 3.5% (2.4% OF TOTAL INVESTMENTS)
$ 3,000 Skagit County Public Hospital District 1, Washington, Revenue 12/13 at 100.00 Baa2 $ 3,247,680
Bonds, Skagit Valley Hospital, Series 2003, 6.000%, 12/01/18
Vancouver Downtown Redevelopment Authority, Washington, Revenue
Bonds, Conference Center Project, Series 2003A:
1,750 6.000%, 1/01/28 - ACA Insured 1/14 at 100.00 A 1,921,850
4,725 6.000%, 1/01/34 - ACA Insured 1/14 at 100.00 A 5,166,079
2,500 5.250%, 1/01/34 - ACA Insured 1/14 at 100.00 A 2,601,000
------------------------------------------------------------------------------------------------------------------------------------
11,975 Total Washington 12,936,609
------------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 5.8% (4.0% OF TOTAL INVESTMENTS)
550 Lac Courte Oreilles Band of Lake Superior Chippewa Indians, 12/14 at 101.00 N/R (4) 691,438
Wisconsin, Revenue Bonds, Series 2003A, 7.750%, 6/01/16
(Pre-refunded 12/01/14)
Wisconsin Health and Educational Facilities Authority, Revenue
Bonds, Aurora Health Care Inc., Series 1999A:
9,485 5.600%, 2/15/29 2/09 at 101.00 BBB+ 9,772,205
2,300 5.600%, 2/15/29 - ACA Insured 2/09 at 101.00 A 2,367,597
Wisconsin Health and Educational Facilities Authority, Revenue
Bonds, Southwest Health Center Inc., Series 2004A:
875 6.125%, 4/01/24 4/14 at 100.00 N/R 925,654
1,000 6.250%, 4/01/34 4/14 at 100.00 N/R 1,060,490
6,305 Wisconsin Health and Educational Facilities Authority, Revenue 2/12 at 101.00 A- (4) 6,912,991
Bonds, Wheaton Franciscan Services Inc., Series 2002, 5.750%,
8/15/30 (Pre-refunded 2/15/12)
------------------------------------------------------------------------------------------------------------------------------------
20,515 Total Wisconsin 21,730,375
------------------------------------------------------------------------------------------------------------------------------------
$ 518,531 Total Investments (cost $499,434,864) - 144.9% 541,291,018
============------------------------------------------------------------------------------------------------------------------------
Floating Rate Obligations - (5.7)% (21,135,000)
---------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 2.3% 8,473,579
---------------------------------------------------------------------------------------------------------------------
Preferred Shares, at Liquidation Value - (41.5)% (155,000,000)
---------------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $ 373,629,597
=====================================================================================================================
(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 higher of Standard & Poor's or Moody's rating.
Ratings below BBB by Standard & Poor's Group or Baa by Moody's Investor
Service, Inc. are considered to be below investment grade.
(4) Backed by an escrow or trust containing sufficient U.S. Government or
U.S. Government agency securities which ensure the timely payment of
principal and interest. Such investments are normally considered to be
equivalent to AAA rated securities.
(5) Non-income producing security, in the case of a bond, generally denotes
that the issuer has defaulted on the payment of principal or interest or
has filed for bankruptcy.
(6) The issuer has received a formal adverse determination from the Internal
Revenue Service (the "IRS") regarding the tax-exempt status of the
bonds' coupon payments. The Fund will continue to treat coupon payments
as tax-exempt income until such time that it is formally determined that
the interest on the bonds should be treated as taxable.
N/R Not rated.
(ETM) Escrowed to maturity.
(IF) Inverse floating rate investment.
(UB) Underlying bond of an inverse floating rate trust reflected as a
financing transaction pursuant to the provisions of SFAS No. 140.
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
66
Statement of
ASSETS AND LIABILITIES April 30, 2007 (Unaudited)
INVESTMENT SELECT QUALITY
QUALITY QUALITY INCOME
(NQM) (NQS) (NQU)
-----------------------------------------------------------------------------------------------------------------------------
ASSETS
Investments, at value (cost $823,704,473,
$746,403,293, $1,227,602,797, $489,422,156
and $499,434,864, respectively) $ 879,876,062 $ 799,193,266 $ 1,313,611,543
Cash 480,259 -- --
Receivables:
Interest 13,402,500 11,920,026 19,924,678
Investments sold 280,183 4,830,000 1,610,000
Other assets 82,265 66,318 120,148
-----------------------------------------------------------------------------------------------------------------------------
Total assets 894,121,269 816,009,610 1,335,266,369
-----------------------------------------------------------------------------------------------------------------------------
LIABILITIES
Cash overdraft -- 5,158,528 4,194,008
Floating rate obligations 26,135,000 6,665,000 48,875,000
Payable for investments purchased 11,682,836 -- --
Unrealized depreciation on forward swaps -- -- --
Accrued expenses:
Management fees 426,921 401,852 632,478
Other 75,980 158,150 263,665
Preferred share dividends payable 146,520 129,436 217,820
-----------------------------------------------------------------------------------------------------------------------------
Total liabilities 38,476,257 12,512,966 54,182,971
-----------------------------------------------------------------------------------------------------------------------------
Preferred shares, at liquidation value 301,000,000 279,000,000 452,000,000
-----------------------------------------------------------------------------------------------------------------------------
Net assets applicable to Common shares $ 554,654,012 $ 524,496,644 $ 829,083,398
=============================================================================================================================
Common shares outstanding 35,784,487 33,982,580 54,204,488
=============================================================================================================================
Net asset value per Common share outstanding (net assets
applicable to Common shares, divided by Common
shares outstanding) $ 15.50 $ 15.43 $ 15.30
=============================================================================================================================
NET ASSETS APPLICABLE TO COMMON SHARES CONSIST OF:
-----------------------------------------------------------------------------------------------------------------------------
Common shares, $.01 par value per share $ 357,845 $ 339,826 $ 542,045
Paid-in surplus 498,862,819 473,335,780 755,082,993
Undistributed (Over-distribution of) net investment income 1,503,127 985,230 509,201
Accumulated net realized gain (loss) from investments (2,241,368) (2,954,165) (13,059,587)
Net unrealized appreciation (depreciation) of investments
and derivative transactions 56,171,589 52,789,973 86,008,746
-----------------------------------------------------------------------------------------------------------------------------
Net assets applicable to Common shares $ 554,654,012 $ 524,496,644 $ 829,083,398
=============================================================================================================================
Authorized shares:
Common 200,000,000 200,000,000 200,000,000
Preferred 1,000,000 1,000,000 1,000,000
=============================================================================================================================
PREMIER HIGH INCOME
INCOME OPPORTUNITY
(NPF) (NMZ)
------------------------------------------------------------------------------------------------------
ASSETS
Investments, at value (cost $823,704,473,
$746,403,293, $1,227,602,797, $489,422,156
and $499,434,864, respectively) $ 517,643,881 $ 541,291,018
Cash 33,228 --
Receivables:
Interest 7,448,789 9,321,694
Investments sold 465,000 355,000
Other assets 39,492 37,842
------------------------------------------------------------------------------------------------------
Total assets 525,630,390 551,005,554
------------------------------------------------------------------------------------------------------
LIABILITIES
Cash overdraft -- 48,253
Floating rate obligations 53,364,500 21,135,000
Payable for investments purchased -- 862,135
Unrealized depreciation on forward swaps 101,699 --
Accrued expenses:
Management fees 239,073 171,960
Other 111,885 60,176
Preferred share dividends payable 89,708 98,433
------------------------------------------------------------------------------------------------------
Total liabilities 53,906,865 22,375,957
------------------------------------------------------------------------------------------------------
Preferred shares, at liquidation value 165,000,000 155,000,000
------------------------------------------------------------------------------------------------------
Net assets applicable to Common shares $ 306,723,525 $ 373,629,597
======================================================================================================
Common shares outstanding 20,091,018 23,321,099
======================================================================================================
Net asset value per Common share outstanding (net assets
applicable to Common shares, divided by Common
shares outstanding) $ 15.27 $ 16.02
======================================================================================================
NET ASSETS APPLICABLE TO COMMON SHARES CONSIST OF:
------------------------------------------------------------------------------------------------------
Common shares, $.01 par value per share $ 200,910 $ 233,211
Paid-in surplus 279,091,689 330,247,901
Undistributed (Over-distribution of) net investment income (371,713) 272,552
Accumulated net realized gain (loss) from investments (317,387) 1,019,779
Net unrealized appreciation (depreciation) of investments
and derivative transactions 28,120,026 41,856,154
------------------------------------------------------------------------------------------------------
Net assets applicable to Common shares $ 306,723,525 $ 373,629,597
======================================================================================================
Authorized shares:
Common 200,000,000 Unlimited
Preferred 1,000,000 Unlimited
======================================================================================================
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
67
Statement of
OPERATIONS Six Months Ended April 30, 2007 (Unaudited)
INVESTMENT SELECT QUALITY
QUALITY QUALITY INCOME
(NQM) (NQS) (NQU)
-----------------------------------------------------------------------------------------------------------------------------
INVESTMENT INCOME $ 21,982,391 $ 21,163,100 $ 32,854,839
-----------------------------------------------------------------------------------------------------------------------------
EXPENSES
Management fees 2,595,243 2,440,178 3,842,737
Preferred shares - auction fees 373,157 345,884 560,356
Preferred shares - dividend disbursing agent fees 24,795 24,795 29,755
Shareholders' servicing agent fees and expenses 24,489 25,104 39,483
Floating rate obligations interest expense and fees 416,731 3,757 748,711
Custodian's fees and expenses 91,153 84,137 135,917
Directors'/Trustees' fees and expenses 8,683 8,201 11,651
Professional fees 20,881 19,937 26,219
Shareholders' reports - printing and
mailing expenses 43,180 40,246 70,638
Stock exchange listing fees 6,395 6,130 9,697
Investor relations expense 53,706 51,073 81,030
Other expenses 25,337 24,910 32,785
-----------------------------------------------------------------------------------------------------------------------------
Total expenses before custodian fee credit, expense
reimbursement and legal fee refund 3,683,750 3,074,352 5,588,979
Custodian fee credit (63,520) (15,732) (67,834)
Expense reimbursement -- -- --
Legal fee refund -- -- --
-----------------------------------------------------------------------------------------------------------------------------
Net expenses 3,620,230 3,058,620 5,521,145
-----------------------------------------------------------------------------------------------------------------------------
Net investment income 18,362,161 18,104,480 27,333,694
-----------------------------------------------------------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) from investments 97,439 114,392 580,003
Change in net unrealized appreciation (depreciation)
of investments (6,203,589) (5,362,590) (10,125,107)
Change in net unrealized appreciation (depreciation)
of forward swaps -- -- --
-----------------------------------------------------------------------------------------------------------------------------
Net realized and unrealized gain (loss) (6,106,150) (5,248,198) (9,545,104)
-----------------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO PREFERRED SHAREHOLDERS
From net investment income (5,145,244) (4,812,935) (7,804,576)
From accumulated net realized gains -- -- --
-----------------------------------------------------------------------------------------------------------------------------
Decrease in net assets applicable to Common shares
from distributions to Preferred shareholders (5,145,244) (4,812,935) (7,804,576)
-----------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets applicable to
Common shares from operations $ 7,110,767 $ 8,043,347 $ 9,984,014
=============================================================================================================================
PREMIER HIGH INCOME
INCOME OPPORTUNITY
(NPF) (NMZ)
-------------------------------------------------------------------------------------------------------
INVESTMENT INCOME $ 12,350,715 $ 15,886,986
-------------------------------------------------------------------------------------------------------
EXPENSES
Management fees 1,452,885 1,881,841
Preferred shares - auction fees 204,555 142,568
Preferred shares - dividend disbursing agent fees 14,877 13,707
Shareholders' servicing agent fees and expenses 16,038 1,225
Floating rate obligations interest expense and fees 978,105 340,959
Custodian's fees and expenses 43,119 86,953
Directors'/Trustees' fees and expenses 4,375 4,626
Professional fees 8,556 70,472
Shareholders' reports - printing and
mailing expenses 29,614 34,142
Stock exchange listing fees 4,809 982
Investor relations expense 29,751 33,581
Other expenses 15,295 15,211
-------------------------------------------------------------------------------------------------------
Total expenses before custodian fee credit, expense
reimbursement and legal fee refund 2,801,979 2,626,267
Custodian fee credit (30,269) (3,027)
Expense reimbursement -- (839,592)
Legal fee refund (4,321) --
-------------------------------------------------------------------------------------------------------
Net expenses 2,767,389 1,783,648
-------------------------------------------------------------------------------------------------------
Net investment income 9,583,326 14,103,338
-------------------------------------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) from investments 75,662 1,018,093
Change in net unrealized appreciation (depreciation)
of investments (2,868,642) (436,965)
Change in net unrealized appreciation (depreciation)
of forward swaps 405,484 --
-------------------------------------------------------------------------------------------------------
Net realized and unrealized gain (loss) (2,387,496) 581,128
-------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO PREFERRED SHAREHOLDERS
From net investment income (2,861,908) (2,593,194)
From accumulated net realized gains -- (18,121)
-------------------------------------------------------------------------------------------------------
Decrease in net assets applicable to Common shares
from distributions to Preferred shareholders (2,861,908) (2,611,315)
-------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets applicable to
Common shares from operations $ 4,333,922 $ 12,073,151
=======================================================================================================
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
68
Statement of
CHANGES IN NET ASSETS (Unaudited)
INVESTMENT QUALITY (NQM) SELECT QUALITY (NQS)
----------------------------------- -----------------------------------
SIX MONTHS YEAR SIX MONTHS YEAR
ENDED ENDED ENDED ENDED
4/30/07 10/31/06 4/30/07 10/31/06
-------------------------------------------------------------------------------------------------------------------------
OPERATIONS
Net investment income $ 18,362,161 $ 37,550,921 $ 18,104,480 $ 36,194,734
Net realized gain (loss) from investments 97,439 (2,340,524) 114,392 (1,691,751)
Change in net unrealized appreciation
(depreciation) of investments (6,203,589) 17,200,976 (5,362,590) 9,521,291
Change in net unrealized appreciation
(depreciation) of forward swaps -- -- -- --
Distributions to Preferred Shareholders:
From net investment income (5,145,244) (8,562,468) (4,812,935) (8,877,061)
From accumulated net realized gains -- (957,218) -- --
-------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets
applicable to Common shares
from operations 7,110,767 42,891,687 8,043,347 35,147,213
-------------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO COMMON SHAREHOLDERS
From net investment income (14,483,121) (30,152,759) (14,363,570) (29,818,961)
From accumulated net realized gains -- (5,124,321) -- --
-------------------------------------------------------------------------------------------------------------------------
Decrease in net assets applicable to
Common shares from distributions
to Common shareholders (14,483,121) (35,277,080) (14,363,570) (29,818,961)
-------------------------------------------------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS
Common shares:
Offering costs adjustments -- -- -- --
Net proceeds issued
to shareholders due to
reinvestment of distributions 554,938 -- 820,980 673,438
-------------------------------------------------------------------------------------------------------------------------
Net increase in net assets applicable
to Common shares from
capital share transactions 554,938 -- 820,980 673,438
-------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets
applicable to Common shares (6,817,416) 7,614,607 (5,499,243) 6,001,690
Net assets applicable to Common shares
at the beginning of period 561,471,428 553,856,821 529,995,887 523,994,197
-------------------------------------------------------------------------------------------------------------------------
Net assets applicable to Common shares
at the end of period $ 554,654,012 $ 561,471,428 $ 524,496,644 $ 529,995,887
=========================================================================================================================
Undistributed (Over-distribution of)
net investment income
at the end of period $ 1,503,127 $ 2,769,331 $ 985,230 $ 2,057,255
=========================================================================================================================
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
69
Statement of
CHANGES IN NET ASSETS (Unaudited) (continued)
QUALITY INCOME (NQU) PREMIER INCOME (NPF)
----------------------------------- -----------------------------------
SIX MONTHS YEAR SIX MONTHS YEAR
ENDED ENDED ENDED ENDED
4/30/07 10/31/06 4/30/07 10/31/06
-------------------------------------------------------------------------------------------------------------------------
OPERATIONS
Net investment income $ 27,333,694 $ 54,758,299 $ 9,583,326 $ 18,901,380
Net realized gain (loss) from investments 580,003 1,142,647 75,662 197,145
Change in net unrealized appreciation
(depreciation) of investments (10,125,107) 15,255,701 (2,868,642) 10,303,176
Change in net unrealized appreciation
(depreciation) of forward swaps -- -- 405,484 (507,183)
Distributions to Preferred Shareholders:
From net investment income (7,804,576) (14,224,057) (2,861,908) (5,143,710)
From accumulated net realized gains -- -- -- --
-------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets
applicable to Common shares
from operations 9,984,014 56,932,590 4,333,922 23,750,808
-------------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO COMMON SHAREHOLDERS
From net investment income (20,651,915) (44,257,967) (6,750,583) (14,033,577)
From accumulated net realized gains -- -- -- --
-------------------------------------------------------------------------------------------------------------------------
Decrease in net assets applicable to
Common shares from distributions
to Common shareholders (20,651,915) (44,257,967) (6,750,583) (14,033,577)
-------------------------------------------------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS
Common shares:
Offering costs adjustments -- -- -- --
Net proceeds issued
to shareholders due to
reinvestment of distributions -- -- -- --
-------------------------------------------------------------------------------------------------------------------------
Net increase in net assets applicable
to Common shares from
capital share transactions -- -- -- --
-------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets
applicable to Common shares (10,667,901) 12,674,623 (2,416,661) 9,717,231
Net assets applicable to Common shares
at the beginning of period 839,751,299 827,076,676 309,140,186 299,422,955
-------------------------------------------------------------------------------------------------------------------------
Net assets applicable to Common shares
at the end of period $ 829,083,398 $ 839,751,299 $ 306,723,525 $ 309,140,186
=========================================================================================================================
Undistributed (Over-distribution of)
net investment income
at the end of period $ 509,201 $ 1,631,998 $ (371,713) $ (342,548)
=========================================================================================================================
HIGH INCOME
OPPORTUNITY (NMZ)
-----------------------------------
SIX MONTHS YEAR
ENDED ENDED
4/30/07 10/31/06
-----------------------------------------------------------------------------------
OPERATIONS
Net investment income $ 14,103,338 $ 28,131,297
Net realized gain (loss) from investments 1,018,093 538,187
Change in net unrealized appreciation
(depreciation) of investments (436,965) 14,643,108
Change in net unrealized appreciation
(depreciation) of forward swaps -- --
Distributions to Preferred Shareholders:
From net investment income (2,593,194) (4,487,444)
From accumulated net realized gains (18,121) --
-----------------------------------------------------------------------------------
Net increase (decrease) in net assets
applicable to Common shares
from operations 12,073,151 38,825,148
-----------------------------------------------------------------------------------
DISTRIBUTIONS TO COMMON SHAREHOLDERS
From net investment income (11,403,813) (24,231,711)
From accumulated net realized gains (103,371) --
-----------------------------------------------------------------------------------
Decrease in net assets applicable to
Common shares from distributions
to Common shareholders (11,507,184) (24,231,711)
-----------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS
Common shares:
Offering costs adjustments -- 220,368
Net proceeds issued
to shareholders due to
reinvestment of distributions 364,067 860,335
-----------------------------------------------------------------------------------
Net increase in net assets applicable
to Common shares from
capital share transactions 364,067 1,080,703
-----------------------------------------------------------------------------------
Net increase (decrease) in net assets
applicable to Common shares 930,034 15,674,140
Net assets applicable to Common shares
at the beginning of period 372,699,563 357,025,423
-----------------------------------------------------------------------------------
Net assets applicable to Common shares
at the end of period $ 373,629,597 $ 372,699,563
===================================================================================
Undistributed (Over-distribution of)
net investment income
at the end of period $ 272,552 $ 166,221
===================================================================================
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
70
Statement of
CASH FLOWS Six Months Ended April 30, 2007 (Unaudited)
PREMIER
INCOME
(NPF)
--------------------------------------------------------------------------------------------------------------------------------
CASH FLOWS FROM OPERATING ACTIVITIES:
NET INCREASE (DECREASE) IN NET ASSETS APPLICABLE TO COMMON SHARES FROM OPERATIONS $ 4,333,922
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 (26,327,099)
Proceeds from sales and maturities of investments 15,095,653
Amortization/(Accretion) of premiums and discounts, net (288,277)
(Increase) Decrease in receivable for interest (197,720)
(Increase) Decrease in receivable for investments sold 13,525,177
(Increase) Decrease in other assets 9,178
Increase (Decrease) in payable for investments purchased (26,064,647)
Increase (Decrease) in accrued management fees (8,985)
Increase (Decrease) in accrued other liabilities (2,787)
Increase (Decrease) in Preferred shares dividends payable 5,073
Net realized (gain) loss from investments (75,662)
Change in net unrealized (appreciation) depreciation of investments 2,868,642
Change in net unrealized (appreciation) depreciation of forward swaps (405,484)
Taxes paid on undistributed capital gains (443)
--------------------------------------------------------------------------------------------------------------------------------
Net cash provided by (used in) operating activities (17,533,016)
--------------------------------------------------------------------------------------------------------------------------------
CASH FLOWS FROM FINANCING ACTIVITIES:
Increase in floating rate obligations 21,978,000
Cash distributions paid to Common shareholders (6,750,583)
--------------------------------------------------------------------------------------------------------------------------------
Net cash provided by (used in) financing activities 15,227,417
--------------------------------------------------------------------------------------------------------------------------------
NET INCREASE (DECREASE) IN CASH (2,305,599)
Cash at the beginning of period 2,338,827
--------------------------------------------------------------------------------------------------------------------------------
CASH AT THE END OF PERIOD $ 33,228
================================================================================================================================
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
71
Notes to
FINANCIAL STATEMENTS (Unaudited)
1. GENERAL INFORMATION AND SIGNIFICANT ACCOUNTING POLICIES
The funds (the "Funds") covered in this report and their corresponding Common
share stock exchange symbols are Nuveen Investment Quality Municipal Fund, Inc.
(NQM), Nuveen Select Quality Municipal Fund, Inc. (NQS), Nuveen Quality Income
Municipal Fund, Inc. (NQU), Nuveen Premier Municipal Income Fund, Inc. (NPF) and
Nuveen Municipal High Income Opportunity Fund (NMZ). Common shares of Investment
Quality (NQM), Select Quality (NQS), Quality Income (NQU) and Premier Income
(NPF) are traded on the New York Stock Exchange while Common shares of High
Income Opportunity (NMZ) are traded on the American Stock Exchange. The Funds
are registered under the Investment Company Act of 1940, as amended, as
closed-end, diversified management investment companies.
Each Fund seeks to provide current income exempt from regular federal income tax
by investing primarily in a diversified portfolio of municipal obligations
issued by state and local government authorities or certain U.S. territories.
The following is a summary of significant accounting policies followed by the
Funds in the preparation of their financial statements in accordance with U.S.
generally accepted accounting principles.
INVESTMENT VALUATION
The prices of municipal bonds in each Fund's investment portfolio are provided
by a pricing service approved by the Fund's Board of Directors/Trustees. When
market price quotes are not readily available (which is usually the case for
municipal securities), the pricing service may establish fair value based on
yields or prices of municipal bonds of comparable quality, type of issue,
coupon, maturity and rating, indications of value from securities dealers,
evaluations of anticipated cash flows or collateral and general market
conditions. Prices of forward swap contracts are also provided by an independent
pricing service approved by each Fund's Board of Directors/Trustees. If the
pricing service is unable to supply a price for a municipal bond or forward swap
contract, each Fund may use a market price or fair market value quote provided
by a major broker/dealer in such investments. If it is determined that the
market price or fair market value for an investment is unavailable or
inappropriate, the Board of Directors/Trustees of the Funds, or its designee,
may establish a fair value for the investment. Temporary investments in
securities that have variable rate and demand features qualifying them as
short-term investments are valued at amortized cost, which approximates market
value.
INVESTMENT TRANSACTIONS
Investment transactions are recorded on a trade date basis. Realized gains and
losses from transactions are determined on the specific identification method.
Investments purchased on a when-issued/delayed delivery basis may have extended
settlement periods. Any investments so purchased are subject to market
fluctuation during this period. The Funds have instructed the custodian to
segregate assets with a current value at least equal to the amount of the
when-issued/delayed delivery purchase commitments. At April 30, 2007, Investment
Quality (NQM) had outstanding when-issued/delayed delivery purchase commitments
of $11,682,836. There were no such outstanding purchase commitments in any of
the other Funds at April 30, 2007.
INVESTMENT INCOME
Interest income, which includes the amortization of premiums and accretion of
discounts for financial reporting purposes, is recorded on an accrual basis.
Investment income also includes paydown gains and losses, if any.
PROFESSIONAL FEES
Professional fees presented in the Statement of Operations consist of legal fees
incurred in the normal course of operations, audit fees, tax consulting fees
and, in some cases, workout expenditures. Workout expenditures are incurred in
an attempt to protect or enhance an investment, or to pursue other claims or
legal actions on behalf of Fund shareholders. Legal fee refunds presented on the
Statement of Operations for Premier Income (NPF) reflect a refund of workout
expenditures paid in a prior reporting period.
FEDERAL INCOME TAXES
Each Fund is a separate taxpayer for federal income tax purposes. Each Fund
intends to distribute substantially all net investment income and net capital
gains to shareholders and to otherwise comply with the requirements of
Subchapter M of the Internal Revenue Code applicable to regulated investment
companies. Therefore, no federal income tax provision is required. Furthermore,
each Fund intends to satisfy conditions which will enable interest from
municipal securities, which is exempt from regular federal income tax, to retain
such tax-exempt status when distributed to shareholders of the Funds. Net
realized capital gains and ordinary income distributions paid by the Funds are
subject to federal taxation.
72
DIVIDENDS AND DISTRIBUTIONS TO COMMON SHAREHOLDERS
Dividends from tax-exempt net investment income are declared monthly. Net
realized capital gains and/or market discount from investment transactions, if
any, are distributed to shareholders not less frequently than annually.
Furthermore, capital gains are distributed only to the extent they exceed
available capital loss carryforwards.
Distributions to Common shareholders of tax-exempt net investment income, net
realized capital gains and/or market discount, if any, are recorded on the
ex-dividend date. The amount and timing of distributions are determined in
accordance with federal income tax regulations, which may differ from U.S.
generally accepted accounting principles.
PREFERRED SHARES
The Funds have issued and outstanding Preferred shares, $25,000 stated value per
share, as a means of effecting financial leverage. Each Fund's Preferred shares
are issued in more than one Series. The dividend rate paid by the Funds on each
Series is determined every seven days, pursuant to a dutch auction process
overseen by the auction agent, and is payable at the end of each rate period.
Prior to January 31, 2007, the dividend rate for High Income Opportunity's (NMZ)
Series W was payable monthly at a rate which was negotiated at the time of the
Preferred share offering. The number of Preferred shares outstanding, by Series
and in total, for each Fund is as follows:
INVESTMENT SELECT QUALITY PREMIER HIGH INCOME
QUALITY QUALITY INCOME INCOME OPPORTUNITY
(NQM) (NQS) (NQU) (NPF) (NMZ)
--------------------------------------------------------------------------------
Number of shares:
Series M 2,500 2,000 3,000 1,000 3,000
Series T 2,500 2,000 3,000 2,800 1,600
Series W 2,500 2,800 3,000 -- 1,600
Series W2 -- -- 2,080 -- --
Series TH 2,040 1,560 4,000 2,800 --
Series F 2,500 2,800 3,000 -- --
--------------------------------------------------------------------------------
Total 12,040 11,160 18,080 6,600 6,200
================================================================================
INVERSE FLOATING RATE SECURITIES
Each Fund may invest in inverse floating rate securities. An inverse floating
rate security is created by depositing a municipal bond, typically with a fixed
interest rate, into a special purpose trust created by a broker-dealer. In turn,
this trust (a) issues floating rate certificates, in face amounts equal to some
fraction of the deposited bond's par amount or market value, that typically pay
short-term tax-exempt interest rates to third parties, and (b) issues to a
long-term investor (such as one of the Funds) an inverse floating rate
certificate (sometimes referred to as an "inverse floater") that represents all
remaining or residual interest in the trust. The income received by the inverse
floater holder varies inversely with the short-term rate paid to the floating
rate certificates' holders, and in most circumstances the inverse floater holder
bears substantially all of the underlying bond's downside investment risk and
also benefits disproportionately from any potential appreciation of the
underlying bond's value. The price of an inverse floating rate security will be
more volatile than that of the underlying bond because the interest rate is
dependent on not only the fixed coupon rate of the underlying bond but also on
the short-term interest paid on the floating rate certificates, and because the
inverse floating rate security essentially bears the risk of loss of the greater
face value of the underlying bond.
A Fund may purchase an inverse floating rate security in a secondary market
transaction without first owning the underlying bond (referred to as an
"externally-deposited inverse floater"), or instead by first selling a
fixed-rate bond to a broker-dealer for deposit into the special purpose trust
and receiving in turn the residual interest in the trust (referred to as a
"self-deposited inverse floater"). An investment in an externally-deposited
inverse floater is identified in the Portfolio of Investments as an "Inverse
floating rate investment". An investment in a self-deposited inverse floater is
accounted for as a financing transaction in accordance with Statement of
Financial Accounting Standards (SFAS) No. 140 "Accounting for Transfers and
Servicing of Financial Assets and Extinguishment of Liabilities". In such
instances, a fixed-rate bond deposited into a special purpose trust is
identified in the Portfolio of Investments as an "Underlying bond of an inverse
floating rate trust", with the Fund accounting for the short-term floating rate
certificates issued by the trust as "Floating rate obligations" on the Statement
of Assets and Liabilities. In addition, the Fund reflects in Investment Income
the entire earnings of the underlying bond and accounts for the related interest
paid to the holders of the short-term floating rate certificates as "Floating
rate obligations interest expense and fees" in the Statement of Operations.
During the six months ended April 30, 2007, each Fund invested in externally
deposited inverse floaters and/or self-deposited inverse floaters.
73
Notes to
FINANCIAL STATEMENTS (Unaudited) (continued)
The average floating rate obligations outstanding and average annual interest
rate and fees related to self-deposited inverse floaters during the six months
ended April 30, 2007, were as follows:
INVESTMENT SELECT QUALITY PREMIER HIGH INCOME
QUALITY QUALITY INCOME INCOME OPPORTUNITY
(NQM) (NQS) (NQU) (NPF) (NMZ)
--------------------------------------------------------------------------------------------------------------
Average floating fate obligations $21,759,669 $184,116 $39,254,227 $51,264,472 $17,846,961
Average annual interest rate and fees 3.86% 4.11% 3.85% 3.85% 3.85%
==============================================================================================================
FORWARD SWAP TRANSACTIONS
The Funds are authorized to invest in certain derivative financial instruments.
Each Fund's use of forward interest rate swap transactions is intended to help
the Fund manage its overall interest rate sensitivity, either shorter or longer,
generally to more closely align the Fund's interest rate sensitivity with that
of the broader municipal market. Forward interest rate swap transactions involve
each Fund's agreement with a counterparty to pay, in the future, a fixed or
variable rate payment in exchange for the counterparty paying the Fund a
variable or fixed rate payment, the accruals for which would begin at a
specified date in the future (the "effective date"). The amount of the payment
obligation is based on the notional amount of the forward swap contract and the
termination date of the swap (which is akin to a bond's maturity). The value of
the Fund's swap commitment would increase or decrease based primarily on the
extent to which long-term interest rates for bonds having a maturity of the
swap's termination date increases or decreases. The Funds may terminate a swap
contract prior to the effective date, at which point a realized gain or loss is
recognized. When a forward swap is terminated, it ordinarily does not involve
the delivery of securities or other underlying assets or principal, but rather
is settled in cash on a net basis. Each Fund intends, but is not obligated, to
terminate its forward swaps before the effective date. Accordingly, the risk of
loss with respect to the swap counterparty on such transactions is limited to
the credit risk associated with a counterparty failing to honor its commitment
to pay any realized gain to the Fund upon termination. To reduce such credit
risk, all counterparties are required to pledge collateral daily (based on the
daily valuation of each swap) on behalf of each Fund with a value approximately
equal to the amount of any unrealized gain above a pre-determined threshold.
Reciprocally, when any of the Funds have an unrealized loss on a swap contract,
the Funds have instructed the custodian to pledge assets of the Funds as
collateral with a value approximately equal to the amount of the unrealized loss
above a pre-determined threshold. Collateral pledges are monitored and
subsequently adjusted if and when the swap valuations fluctuate, either up or
down, by at least the predetermined threshold amount.
CUSTODIAN FEE CREDIT
Each Fund has an arrangement with the custodian bank whereby certain custodian
fees and expenses are reduced by credits earned on each Fund's cash on deposit
with the bank. Such deposit arrangements are an alternative to overnight
investments.
INDEMNIFICATIONS
Under the Funds' organizational documents, their Officers and Directors/Trustees
are indemnified against certain liabilities arising out of the performance of
their duties to the Funds. In addition, in the normal course of business, the
Funds enter into contracts that provide general indemnifications to other
parties. The Funds' maximum exposure under these arrangements is unknown as this
would involve future claims that may be made against the Funds that have not yet
occurred. However, the Funds have not had prior claims or losses pursuant to
these contracts and expect the risk of loss to be remote.
USE OF ESTIMATES
The preparation of financial statements in conformity with U.S. generally
accepted accounting principles requires management to make estimates and
assumptions that affect the reported amounts of assets and liabilities at the
date of the financial statements and the reported amounts of increases and
decreases in net assets applicable to Common shares from operations during the
reporting period. Actual results may differ from those estimates.
74
2. FUND SHARES
Transactions in Common shares were as follows:
INVESTMENT SELECT QUALITY
QUALITY (NQM) QUALITY (NQS) INCOME (NQU)
------------------------- -------------------------- --------------------------
SIX MONTHS SIX MONTHS SIX MONTHS
ENDED YEAR ENDED ENDED YEAR ENDED ENDED YEAR ENDED
4/30/07 10/31/06 4/30/07 10/31/06 4/30/07 10/31/06
---------------------------------------------------------------------------------------------------------------------------------
Common shares issued to shareholders
due to reinvestment of distributions 35,528 -- 51,724 43,382 -- --
=================================================================================================================================
PREMIER HIGH INCOME
INCOME (NPF) OPPORTUNITY (NMZ)
-------------------------- --------------------------
SIX MONTHS SIX MONTHS
ENDED YEAR ENDED ENDED YEAR ENDED
4/30/07 10/31/06 4/30/07 10/31/06
---------------------------------------------------------------------------------------------------------------------------------
Common shares issued to shareholders
due to reinvestment of distributions -- -- 21,181 51,796
=================================================================================================================================
3. INVESTMENT TRANSACTIONS
Purchases and sales (including maturities but excluding short-term investments
and derivative transactions) during the six months ended April 30, 2007, were as
follows:
INVESTMENT SELECT QUALITY PREMIER HIGH INCOME
QUALITY QUALITY INCOME INCOME OPPORTUNITY
(NQM) (NQS) (NQU) (NPF) (NMZ)
----------------------------------------------------------------------------------------------------------------------------------
Purchases $ 60,664,500 $ 13,217,831 $ 45,675,434 $ 26,327,099 $ 43,882,072
Sales and maturities 22,865,719 10,296,500 32,355,614 15,095,653 24,373,089
==================================================================================================================================
4. INCOME TAX INFORMATION
The following information is presented on an income tax basis. Differences
between amounts for financial statement and federal income tax purposes are
primarily due to the treatment of paydown gains and losses, timing differences
in recognizing taxable market discount, timing differences in recognizing
certain gains and losses on investment transactions and the treatment of
investments in inverse floating rate transactions subject to SFAS No.140. To the
extent that differences arise that are permanent in nature, such amounts are
reclassified within the capital accounts on the Statement of Assets and
Liabilities presented in the annual report, based on their federal tax basis
treatment; temporary differences do not require reclassification. Temporary and
permanent differences do not impact the net asset values of the Funds.
At April 30, 2007, the cost of investments was as follows:
INVESTMENT SELECT QUALITY PREMIER HIGH INCOME
QUALITY QUALITY INCOME INCOME OPPORTUNITY
(NQM) (NQS) (NQU) (NPF) (NMZ)
----------------------------------------------------------------------------------------------------------------------------------
Cost of investments $ 797,139,731 $ 739,177,207 $1,178,323,574 $ 435,987,616 $ 476,877,795
==================================================================================================================================
Gross unrealized appreciation and gross unrealized depreciation of investments
at April 30, 2007, were as follows:
INVESTMENT SELECT QUALITY PREMIER HIGH INCOME
QUALITY QUALITY INCOME INCOME OPPORTUNITY
(NQM) (NQS) (NQU) (NPF) (NMZ)
----------------------------------------------------------------------------------------------------------------------------------
Gross unrealized:
Appreciation $ 57,004,129 $ 53,368,041 $ 86,984,470 $ 28,582,872 $ 44,153,685
Depreciation (299,019) -- (554,594) (296,180) (875,366)
----------------------------------------------------------------------------------------------------------------------------------
Net unrealized appreciation (depreciation)
of investments $ 56,705,110 $ 53,368,041 $ 86,429,876 $ 28,286,692 $ 43,278,319
==================================================================================================================================
The tax components of undistributed net tax-exempt income, net ordinary income
and net long-term capital gains at October 31, 2006, the Funds' last tax year
end, were as follows:
INVESTMENT SELECT QUALITY PREMIER HIGH INCOME
QUALITY QUALITY INCOME INCOME OPPORTUNITY
(NQM) (NQS) (NQU) (NPF) (NMZ)
----------------------------------------------------------------------------------------------------------------------------------
Undistributed net tax-exempt income * $ 4,796,980 $ 4,027,947 $ 4,511,884 $ 768,750 $ 981,474
Undistributed net ordinary income ** 4,975 2,451 -- 2,951 4,938
Undistributed net long-term capital gains -- -- -- -- 123,178
==================================================================================================================================
* Undistributed net tax-exempt income (on a tax basis) has not been reduced
for the dividend declared on October 2, 2006, paid on November 1, 2006.
** Net ordinary income consists of taxable market discount income and net
short-term capital gains, if any.
75
Notes to
FINANCIAL STATEMENTS (Unaudited) (continued)
The tax character of distributions paid during the Funds' last tax year ended
October 31, 2006, was designated for purposes of the dividends paid deduction as
follows:
INVESTMENT SELECT QUALITY PREMIER HIGH INCOME
QUALITY QUALITY INCOME INCOME OPPORTUNITY
(NQM) (NQS) (NQU) (NPF) (NMZ)
--------------------------------------------------------------------------------------------------------------------
Distributions from net tax-exempt income $38,825,191 $38,884,337 $58,786,651 $19,384,184 $28,940,473
Distributions from net ordinary income ** 83,195 -- -- -- --
Distributions from net long-term capital gains 6,081,436 -- -- -- --
====================================================================================================================
** Net ordinary income consists of taxable market discount income and net
short-term capital gains, if any.
At October 31, 2006, the Funds' last tax year end, the following Funds had
unused capital loss carryforwards available for federal income tax purposes to
be applied against future capital gains, if any. If not applied, the
carryforwards will expire as follows:
INVESTMENT SELECT QUALITY PREMIER
QUALITY QUALITY INCOME INCOME
(NQM) (NQS) (NQU) (NPF)
--------------------------------------------------------------------------------------------------------------------
Expiration year:
2011 $ -- $ -- $13,225,290 $ --
2012 -- 1,397,851 -- --
2013 -- -- -- 393,492
2014 2,339,553 1,671,074 -- --
--------------------------------------------------------------------------------------------------------------------
Total $ 2,339,553 $ 3,068,925 $13,225,290 $ 393,492
====================================================================================================================
5. MANAGEMENT FEE AND OTHER TRANSACTIONS WITH AFFILIATES
Each Fund's management fee is separated into two components - a complex-level
component, based on the aggregate amount of all fund assets managed by Nuveen
Asset Management (the "Adviser"), a wholly owned subsidiary of Nuveen
Investments, Inc. ("Nuveen"), and a specific fund-level component, based only on
the amount of assets within each individual fund. This pricing structure enables
Nuveen fund shareholders to benefit from growth in the assets within each
individual fund as well as from growth in the amount of complex-wide assets
managed by the Adviser.
The annual fund-level fee, payable monthly, for each Fund is based upon the
average daily net assets (including net assets attributable to Preferred shares)
of each Fund as follows:
INVESTMENT QUALITY (NQM)
SELECT QUALITY (NQS)
QUALITY INCOME (NQU)
PREMIER INCOME (NPF)
AVERAGE DAILY NET ASSETS (INCLUDING NET ASSETS ATTRIBUTABLE TO PREFERRED SHARES) FUND-LEVEL FEE RATE
--------------------------------------------------------------------------------------------------------------------
For the first $125 million .4500%
For the next $125 million .4375
For the next $250 million .4250
For the next $500 million .4125
For the next $1 billion .4000
For the next $3 billion .3875
For net assets over $5 billion .3750
====================================================================================================================
76
HIGH INCOME OPPORTUNITY (NMZ)
AVERAGE DAILY NET ASSETS (INCLUDING NET ASSETS ATTRIBUTABLE TO PREFERRED SHARES) FUND-LEVEL FEE RATE
--------------------------------------------------------------------------------------------------------------------
For the first $125 million .5500%
For the next $125 million .5375
For the next $250 million .5250
For the next $500 million .5125
For the next $1 billion .5000
For net assets over $2 billion .4750
====================================================================================================================
The annual complex-level fee, payable monthly, which is additive to the
fund-level fee, for all Nuveen sponsored funds in the U.S., is based on the
aggregate amount of total fund assets managed as stated in the table below. As
of April 30, 2007, the complex-level fee rate was .1824%.
COMPLEX-LEVEL ASSETS(1) COMPLEX-LEVEL FEE RATE
--------------------------------------------------------------------------------------------------------------------
For the first $55 billion .2000%
For the next $1 billion .1800
For the next $1 billion .1600
For the next $3 billion .1425
For the next $3 billion .1325
For the next $3 billion .1250
For the next $5 billion .1200
For the next $5 billion .1175
For the next $15 billion .1150
For Managed Assets over $91 billion(2) .1400
====================================================================================================================
(1) The complex-level fee component of the management fee for the funds is
calculated based upon the aggregate Managed Assets ("Managed Assets" means
the average daily net assets of each fund including assets attributable to
preferred stock issued by or borrowings by the Nuveen funds) of
Nuveen-sponsored funds in the U.S.
(2) With respect to the complex-wide Managed Assets over $91 billion, the fee
rate or rates that will apply to such assets will be determined at a later
date. In the unlikely event that complex-wide Managed Assets reach $91
billion prior to a determination of the complex-level fee rate or rates to
be applied to Managed Assets in excess of $91 billion, the complex-level
fee rate for such complex-wide Managed Assets shall be .1400% until such
time as a different rate or rates is determined.
The management fee compensates the Adviser for overall investment advisory and
administrative services and general office facilities. The Funds pay no
compensation directly to those of its Directors/Trustees who are affiliated with
the Adviser or to its Officers, all of whom receive remuneration for their
services to the Funds from the Adviser or its affiliates. The Board of
Directors/Trustees has adopted a deferred compensation plan for independent
Directors/Trustees that enables Directors/Trustees to elect to defer receipt of
all or a portion of the annual compensation they are entitled to receive from
certain Nuveen advised funds. Under the plan, deferred amounts are treated as
though equal dollar amounts had been invested in shares of select Nuveen advised
funds.
For the first eight years of High Income Opportunity's (NMZ) operations, the
Adviser has agreed to reimburse the Fund, as a percentage of average daily net
assets (including net assets attributable to Preferred shares), for fees and
expenses in the amounts, and for the time periods set forth below:
YEAR ENDING YEAR ENDING
NOVEMBER 30, NOVEMBER 30,
--------------------------------------------------------------------------------
2003* .32% 2009 .24%
2004 .32 2010 .16
2005 .32 2011 .08
2006 .32
2007 .32
2008 .32
================================================================================
* From the commencement of operations.
The Adviser has not agreed to reimburse High Income Opportunity (NMZ) for any
portion of its fees and expenses beyond November 30, 2011.
77
Notes to
FINANCIAL STATEMENTS (Unaudited) (continued)
6. NEW ACCOUNTING PRONOUNCEMENTS
FINANCIAL ACCOUNTING STANDARDS BOARD INTERPRETATION NO. 48
On July 13, 2006, the Financial Accounting Standards Board (FASB) released FASB
Interpretation No. 48, "Accounting for Uncertainty in Income Taxes" (FIN 48).
FIN 48 provides guidance for how uncertain tax positions should be recognized,
measured, presented and disclosed in the financial statements. FIN 48 requires
the evaluation of tax positions taken or expected to be taken in the course of
preparing the Funds' tax returns to determine whether the tax positions are
"more-likely-than-not" of being sustained by the applicable tax authority. Tax
positions not deemed to meet the more-likely-than-not threshold would be
recorded as a tax benefit or expense in the current year. Adoption of FIN 48 is
required for fiscal years beginning after December 15, 2006, and is to be
applied to all open tax years as of the effective date. Recent SEC guidance
allows funds to delay implementing FIN 48 into NAV calculations until the fund's
last NAV calculation in the first required financial statement reporting period.
As a result, the Funds must begin to incorporate FIN 48 into their NAV
calculations by October 31, 2007. At this time, management is continuing to
evaluate the implications of FIN 48 and does not expect the adoption of FIN 48
will have a significant impact on the net assets or results of operations of the
Funds.
FINANCIAL ACCOUNTING STANDARDS BOARD STATEMENT OF FINANCIAL ACCOUNTING STANDARDS
NO. 157
In September 2006, the Financial Accounting Standards Board (FASB) issued
Statement of Financial Accounting Standards (SFAS) No. 157, "Fair Value
Measurements." This standard establishes a single authoritative definition of
fair value, sets out a framework for measuring fair value and requires
additional disclosures about fair value measurements. SFAS No. 157 applies to
fair value measurements already required or permitted by existing standards.
SFAS No. 157 is effective for financial statements issued for fiscal years
beginning after November 15, 2007, and interim periods within those fiscal
years. The changes to current generally accepted accounting principles from the
application of this standard relate to the definition of fair value, the methods
used to measure fair value, and the expanded disclosures about fair value
measurements. As of April 30, 2007, the Funds do not believe the adoption of
SFAS No. 157 will impact the financial statement amounts; however, additional
disclosures may be required about the inputs used to develop the measurements
and the effect of certain of the measurements included within the Statement of
Operations for the period.
78
7. SUBSEQUENT EVENTS
DISTRIBUTIONS TO COMMON SHAREHOLDERS
The Funds declared Common share dividend distributions from their tax-exempt net
investment income which were paid on June 1, 2007, to shareholders of record on
May 15, 2007, as follows:
INVESTMENT SELECT QUALITY PREMIER HIGH INCOME
QUALITY QUALITY INCOME INCOME OPPORTUNITY
(NQM) (NQS) (NQU) (NPF) (NMZ)
---------------------------------------------------------------------------
Dividend per share $.0675 $.0705 $.0635 $.0560 $.0815
===========================================================================
AGREEMENT AND PLAN OF MERGER
On June 20, 2007, Nuveen Investments announced that it had entered into a
definitive Agreement and Plan of Merger ("Merger Agreement") with an investor
group majority-led by Madison Dearborn Partners, LLC. Madison Dearborn Partners,
LLC is a private equity investment firm based in Chicago, Illinois. The investor
group includes affiliates of Merrill Lynch, Wachovia, Citigroup, Deutsche Bank
and Morgan Stanley. It is anticipated that Merrill Lynch and its affiliates will
be indirect "affiliated persons" (as that term is defined in the Investment
Company Act of 1940) of the Funds. Under the terms of the merger, each
outstanding share of Nuveen Investments' common stock (other than dissenting
shares) will be converted into the right to receive a specified amount of cash,
without interest. The merger is expected to be completed by the end of the year,
subject to customary conditions, including obtaining the approval of Nuveen
Investments shareholders, obtaining necessary fund and client consents
sufficient to satisfy the terms of the Merger Agreement, and expiration of
certain regulatory waiting periods. The obligations of Madison Dearborn
Partners, LLC to consummate the merger are not conditioned on its obtaining
financing. The Merger Agreement includes a "go shop" provision through July 19,
2007 during which Nuveen Investments may actively solicit and negotiate
competing takeover proposals.
The consummation of the merger will be deemed to be an "assignment" (as defined
in the 1940 Act) of the investment management agreement between each Fund and
the Adviser, and will result in the automatic termination of each Fund's
agreement. Prior to the consummation of the merger, it is anticipated that the
Board of Directors/Trustees of each Fund will consider a new investment
management agreement with the Adviser. If approved by the Board, the new
agreement would be presented to the Fund's shareholders for approval, and, if so
approved by shareholders, would take effect upon consummation of the merger.
There can be no assurance that the merger described above will be consummated as
contemplated or that necessary shareholder approvals will be obtained.
79
Financial
HIGHLIGHTS (Unaudited)
Selected data for a Common share outstanding throughout each period:
Investment Operations Less Distributions
--------------------------------------------------------------- -------------------------------
Distributions Distributions
from Net from Net
Beginning Investment Capital Investment Capital
Common Net Income to Gains to Income to Gains to
Share Net Realized/ Preferred Preferred Common Common
Net Asset Investment Unrealized Share- Share- Share- Share-
Value Income Gain (Loss) holders+ holders+ Total holders holders Total
-----------------------------------------------------------------------------------------------------------------------------------
INVESTMENT QUALITY (NQM)
-----------------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2007(a) $15.71 $ .51 $(.17) $(.14) $ -- $ .20 $ (.41) $ -- $ (.41)
2006 15.49 1.05 .42 (.24) (.03) 1.20 (.84) (.14) (.98)
2005 16.06 1.05 (.39) (.16) (.01) .49 (.96) (.10) (1.06)
2004 15.65 1.07 .43 (.08) -- 1.42 (1.01) -- (1.01)
2003 15.63 1.11 .02 (.08) -- 1.05 (1.01) (.02) (1.03)
2002 15.71 1.15 (.15) (.11) (.01) .88 (.94) (.02) (.96)
SELECT QUALITY (NQS)
-----------------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2007(a) 15.62 .53 (.16) (.14) -- .23 (.42) -- (.42)
2006 15.46 1.07 .23 (.26) -- 1.04 (.88) -- (.88)
2005 15.69 1.06 (.16) (.16) -- .74 (.97) -- (.97)
2004 15.33 1.09 .42 (.07) (.01) 1.43 (1.00) (.07) (1.07)
2003 15.00 1.08 .30 (.07) -- 1.31 (.98) -- (.98)
2002 15.48 1.12 (.38) (.09) (.04) .61 (.94) (.15) (1.09)
===================================================================================================================================
Total Returns
---------------------
Offering Based
Costs and Ending on
Preferred Common Based Common
Share Share Ending on Share Net
Underwriting Net Asset Market Market Asset
Discounts Value Value Value** Value**
----------------------------------------------------------------------------------
INVESTMENT QUALITY (NQM)
----------------------------------------------------------------------------------
Year Ended 10/31:
2007(a) $ -- $15.50 $15.69 3.21% 1.25%
2006 -- 15.71 15.60 15.33 8.09
2005 -- 15.49 14.45 1.17 3.10
2004 -- 16.06 15.33 8.54 9.37
2003 -- 15.65 15.10 7.78 6.88
2002 -- 15.63 14.99 7.71 5.85
SELECT QUALITY (NQS)
----------------------------------------------------------------------------------
Year Ended 10/31:
2007(a) -- 15.43 16.39 8.79 1.50
2006 -- 15.62 15.47 10.47 6.94
2005 -- 15.46 14.83 4.14 4.77
2004 -- 15.69 15.19 10.19 9.64
2003 -- 15.33 14.81 9.91 8.96
2002 -- 15.00 14.40 5.24 4.22
==================================================================================
Ratios/Supplemental Data
-------------------------------------------------------------------------------------------------------------
Ratios to Average Net Assets Ratios to Average Net Assets
Applicable to Common Shares Applicable to Common Shares
Before Credit/Reimbursement/Refund After Credit/Reimbursement/Refund***
--------------------------------------- ----------------------------------------
Ending
Net
Assets
Applicable Expenses Expenses Net Expenses Expenses Net Portfolio
to Common Including Excluding Investment Including Excluding Investment Turnover
Shares (000) Interest++(a) Interest++(a) Income++ Interest++(a) Interest++(a) Income++ Rate
------------------------------------------------------------------------------------------------------------------------------------
INVESTMENT QUALITY (NQM)
------------------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2007(a) $ 554,654 1.33%* 1.18%* 6.61%* 1.31%* 1.16%* 6.64%* 3%
2006 561,471 1.20 1.20 6.79 1.17 1.17 6.82 10
2005 553,857 1.20 1.20 6.59 1.18 1.18 6.61 22
2004 574,164 1.20 1.20 6.78 1.20 1.20 6.79 16
2003 559,644 1.22 1.22 7.05 1.22 1.22 7.05 5
2002 558,604 1.21 1.21 7.48 1.21 1.21 7.49 5
SELECT QUALITY (NQS)
------------------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2007(a) 524,497 1.18* 1.17* 6.92* 1.17* 1.17* 6.92* 1
2006 529,996 1.18 1.18 6.91 1.17 1.17 6.93 5
2005 523,994 1.18 1.18 6.76 1.16 1.16 6.78 4
2004 531,694 1.21 1.21 6.96 1.15 1.15 7.02 4
2003 519,361 1.26 1.26 7.06 1.25 1.25 7.06 9
2002 508,300 1.24 1.24 7.46 1.23 1.23 7.47 19
====================================================================================================================================
Floating Rate Obligations
Preferred Shares at End of Period at End of Period
-------------------------------------- ---------------------------
Aggregate Liquidation Aggregate
Amount and Market Asset Amount Asset
Outstanding Value Coverage Outstanding Coverage
(000) Per Share Per Share (000) Per $1,000
--------------------------------------------------------------------------------------------
INVESTMENT QUALITY (NQM)
--------------------------------------------------------------------------------------------
Year Ended 10/31:
2007(a) $301,000 $25,000 $71,068 $26,135 $ 33,740
2006 301,000 25,000 71,634 -- --
2005 301,000 25,000 71,001 -- --
2004 301,000 25,000 72,688 -- --
2003 301,000 25,000 71,482 -- --
2002 301,000 25,000 71,396 -- --
SELECT QUALITY (NQS)
--------------------------------------------------------------------------------------------
Year Ended 10/31:
2007(a) 279,000 25,000 71,998 6,665 121,555
2006 279,000 25,000 72,491 -- --
2005 279,000 25,000 71,953 -- --
2004 279,000 25,000 72,643 -- --
2003 279,000 25,000 71,538 -- --
2002 279,000 25,000 70,547 -- --
============================================================================================
* Annualized.
** Total Return 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. Total Return 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. Total returns are not
annualized.
*** After custodian fee credit, expense reimbursement and legal fee refund,
where applicable.
+ The amounts shown are based on Common share equivalents.
++ Ratios do not reflect the effect of dividend payments to Preferred
shareholders; income ratios reflect income earned on assets attributable
to Preferred shares.
(a) For the six months ended April 30, 2007.
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
Spread 80-81
FINANCIAL HIGHLIGHTS (Unaudited) (continued)
Selected data for a Common share outstanding throughout each period:
Investment Operations Less Distributions
--------------------------------------------------------------- -------------------------------
Distributions Distributions
from Net from Net
Beginning Investment Capital Investment Capital
Common Net Income to Gains to Income to Gains to
Share Net Realized/ Preferred Preferred Common Common
Net Asset Investment Unrealized Share- Share- Share- Share-
Value Income Gain (Loss) holders+ holders+ Total holders holders Total
-----------------------------------------------------------------------------------------------------------------------------------
QUALITY INCOME (NQU)
-----------------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2007(a) $15.49 $ .50 $(.17) $(.14) $ -- $ .19 $ (.38) $ -- $ (.38)
2006 15.26 1.01 .30 (.26) -- 1.05 (.82) -- (.82)
2005 15.54 1.02 (.22) (.16) -- .64 (.92) -- (.92)
2004 15.04 1.04 .51 (.08) -- 1.47 (.97) -- (.97)
2003 14.70 1.06 .34 (.07) -- 1.33 (.96) (.03) (.99)
2002 15.32 1.12 (.59) (.10) (.03) .40 (.93) (.09) (1.02)
PREMIER INCOME (NPF)
-----------------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2007(a) 15.39 .48 (.12) (.14) -- .22 (.34) -- (.34)
2006 14.90 .94 .51 (.26) -- 1.19 (.70) -- (.70)
2005 15.53 .94 (.39) (.16) (.01) .38 (.88) (.13) (1.01)
2004 15.13 1.00 .47 (.08) -- 1.39 (.99) -- (.99)
2003 15.23 1.06 (.01) (.07) (.01) .97 (.98) (.09) (1.07)
2002 15.31 1.15 (.13) (.11) (.01) .90 (.96) (.02) (.98)
HIGH INCOME OPPORTUNITY (NMZ)
-----------------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2007(a) 16.00 .60 .02 (.11) --** .51 (.49) --** (.49)
2006 15.36 1.21 .65 (.19) -- 1.67 (1.04) -- (1.04)
2005 14.87 1.22 .54 (.13) (.01) 1.62 (1.07) (.06) (1.13)
2004(b) 14.33 .98 .71 (.08) -- 1.61 (.89) -- (.89)
===================================================================================================================================
Total Returns
---------------------
Offering Based
Costs and Ending on
Preferred Common Based Common
Share Share Ending on Share Net
Underwriting Net Asset Market Market Asset
Discounts Value Value Value*** Value***
-----------------------------------------------------------------------------------
QUALITY INCOME (NQU)
-----------------------------------------------------------------------------------
Year Ended 10/31:
2007(a) $ -- $15.30 $15.53 8.11% 1.24%
2006 -- 15.49 14.73 8.55 7.07
2005 -- 15.26 14.34 4.78 4.15
2004 -- 15.54 14.58 8.76 10.07
2003 -- 15.04 14.33 9.31 9.37
2002 -- 14.70 14.04 3.05 2.71
PREMIER INCOME (NPF)
-----------------------------------------------------------------------------------
Year Ended 10/31:
2007(a) -- 15.27 14.12 5.94 1.41
2006 -- 15.39 13.65 5.93 8.20
2005 -- 14.90 13.57 1.05 2.49
2004 -- 15.53 14.43 4.75 9.48
2003 -- 15.13 14.74 9.13 6.57
2002 -- 15.23 14.52 4.57 6.19
HIGH INCOME OPPORTUNITY (NMZ)
-----------------------------------------------------------------------------------
Year Ended 10/31:
2007(a) -- 16.02 18.17 8.37 3.24
2006 .01 16.00 17.25 14.79 11.34
2005 -- 15.36 15.99 14.35 11.20
2004(b) (.18) 14.87 15.04 6.49 10.38
===================================================================================
Ratios/Supplemental Data
-------------------------------------------------------------------------------------------------------------
Ratios to Average Net Assets Ratios to Average Net Assets
Applicable to Common Shares Applicable to Common Shares
Before Credit/Reimbursement/Refund After Credit/Reimbursement/Refund****
-------------------------------------- ----------------------------------------
Ending
Net
Assets
Applicable Expenses Expenses Net Expenses Expenses Net Portfolio
to Common Including Excluding Investment Including Excluding Investment Turnover
Shares (000) Interest++(a) Interest++(a) Income++ Interest++(a) Interest++(a) Income++ Rate
------------------------------------------------------------------------------------------------------------------------------------
QUALITY INCOME (NQU)
------------------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2007(a) $ 829,083 1.35%* 1.17%* 6.59%* 1.33%* 1.15%* 6.60%* 2%
2006 839,751 1.18 1.18 6.62 1.17 1.17 6.63 11
2005 827,077 1.18 1.18 6.57 1.17 1.17 6.57 6
2004 842,093 1.20 1.20 6.83 1.20 1.20 6.83 6
2003 815,270 1.21 1.21 7.12 1.21 1.21 7.13 9
2002 796,591 1.23 1.23 7.50 1.22 1.22 7.51 32
PREMIER INCOME (NPF)
------------------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2007(a) 306,724 1.83* 1.19* 6.25* 1.81* 1.17* 6.27* 3
2006 309,140 1.24 1.24 6.27 1.23 1.23 6.28 35
2005 299,423 1.23 1.23 6.16 1.22 1.22 6.17 20
2004 311,991 1.28 1.28 6.57 1.27 1.27 6.58 22
2003 304,048 1.24 1.24 6.91 1.23 1.23 6.91 19
2002 305,958 1.29 1.29 7.66 1.28 1.28 7.67 25
HIGH INCOME OPPORTUNITY (NMZ)
------------------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2007(a) 373,630 1.42* 1.23* 7.15* .96* .78* 7.60* 5
2006 372,700 1.21 1.21 7.31 .75 .75 7.77 9
2005 357,025 1.20 1.20 7.54 .74 .74 8.00 6
2004(b) 345,023 1.15* 1.15* 6.75* .70* .70* 7.20* 52
====================================================================================================================================
Floating Rate Obligations
Preferred Shares at End of Period at End of Period
-------------------------------------- ---------------------------
Aggregate Liquidation Aggregate
Amount and Market Asset Amount Asset
Outstanding Value Coverage Outstanding Coverage
(000) Per Share Per Share (000) Per $1,000
--------------------------------------------------------------------------------------------
QUALITY INCOME (NQU)
--------------------------------------------------------------------------------------------
Year Ended 10/31:
2007(a) $452,000 $25,000 $70,856 $48,875 $ 27,211
2006 452,000 25,000 71,446 -- --
2005 452,000 25,000 70,745 -- --
2004 452,000 25,000 71,576 -- --
2003 452,000 25,000 70,092 -- --
2002 452,000 25,000 69,059 -- --
PREMIER INCOME (NPF)
--------------------------------------------------------------------------------------------
Year Ended 10/31:
2007(a) 165,000 25,000 71,473 53,365 9,840
2006 165,000 25,000 71,839 -- --
2005 165,000 25,000 70,367 -- --
2004 165,000 25,000 72,271 -- --
2003 165,000 25,000 71,068 -- --
2002 165,000 25,000 71,357 -- --
HIGH INCOME OPPORTUNITY (NMZ)
--------------------------------------------------------------------------------------------
Year Ended 10/31:
2007(a) 155,000 25,000 85,263 21,135 26,012
2006 155,000 25,000 85,113 -- --
2005 155,000 25,000 82,585 -- --
2004(b) 155,000 25,000 80,649 -- --
============================================================================================
* Annualized.
** Per share Distributions from Capital Gains to Preferred Shareholders and
Capital Gains to Common Shareholders rounds to less than $.01 per share.
*** Total Return 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. Total Return 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. Total returns are not
annualized.
**** After custodian fee credit, expense reimbursement and legal fee refund,
where applicable.
+ The amounts shown are based on Common share equivalents.
++ Ratios do not reflect the effect of dividend payments to Preferred
shareholders; income ratios reflect income earned on assets attributable
to Preferred shares.
(a) For the six months ended April 30, 2007.
(b) For the period November 19, 2003 (commencement of operations) through
October 31, 2004.
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
Spread 82-83
Reinvest Automatically
EASILY AND CONVENIENTLY
NUVEEN MAKES REINVESTING EASY. A PHONE CALL IS ALL IT TAKES TO SET UP YOUR
REINVESTMENT ACCOUNT.
NUVEEN CLOSED-END FUNDS
DIVIDEND REINVESTMENT PLAN
Your Nuveen Closed-End Fund allows you to conveniently reinvest dividends and/or
capital gains distributions in additional Fund shares.
By choosing to reinvest, you'll be able to invest money regularly and
automatically, and watch your investment grow through the power of tax-free
compounding. Just like dividends or distributions in cash, there may be times
when income or capital gains taxes may be payable on dividends or distributions
that are reinvested.
It is important to note that an automatic reinvestment plan does not ensure a
profit, nor does it protect you against loss in a declining market.
EASY AND CONVENIENT
To make recordkeeping easy and convenient, each month you'll receive
a statement showing your total dividends and distributions, the date of
investment, the shares acquired and the price per share, and the total number of
shares you own.
HOW SHARES ARE PURCHASED
The shares you acquire by reinvesting will either be purchased on the open
market or newly issued by the Fund. If the shares are trading at or above net
asset value at the time of valuation, the Fund will issue new shares at the
greater of the net asset value or 95% of the then-current market price. If the
shares are trading at less than net asset value, shares for your account will be
purchased on the open market. If the Plan Agent begins purchasing Fund shares on
the open market while shares are trading below net asset value, but the Fund's
shares subsequently trade at or above their net asset value before the Plan
Agent is able to complete its purchases, the Plan Agent may cease open-market
purchases and may invest the uninvested portion of the distribution in
newly-issued Fund shares at a price equal to the greater of the shares' net
asset value or 95% of the shares' market value on the last business day
immediately prior to the purchase date. Dividends and distributions received to
purchase shares in the open market will normally be invested shortly after the
dividend payment date. No interest will be paid on dividends and distributions
awaiting reinvestment. Because the market price of the shares may increase
before purchases are completed, the average purchase price per share may exceed
the market price at the time of valuation, resulting in the acquisition of fewer
shares than if the dividend or distribution had been paid in shares issued by
the Fund. A pro rata portion of any applicable brokerage commissions on open
market purchases will be paid by Plan participants. These commissions usually
will be lower than those charged on individual transactions.
84
FLEXIBLE
You may change your distribution option or withdraw from the Plan at any time,
should your needs or situation change. Should you withdraw, you can receive a
certificate for all whole shares credited to your reinvestment account and cash
payment for fractional shares, or cash payment for all reinvestment account
shares, less brokerage commissions and a $2.50 service fee.
You can reinvest whether your shares are registered in your name, or in the name
of a brokerage firm, bank, or other nominee. Ask your investment advisor if his
or her firm will participate on your behalf. Participants whose shares are
registered in the name of one firm may not be able to transfer the shares to
another firm and continue to participate in the Plan.
The Fund reserves the right to amend or terminate the Plan at any time. Although
the Fund reserves the right to amend the Plan to include a service charge
payable by the participants, there is no direct service charge to participants
in the Plan at this time.
CALL TODAY TO START REINVESTING DIVIDENDS AND/OR DISTRIBUTIONS
For more information on the Nuveen Automatic Reinvestment Plan or to enroll in
or withdraw from the Plan, speak with your financial advisor or call us at (800)
257-8787.
85
Glossary of
TERMS USED IN THIS REPORT
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 average of the number of years to maturity of
the bonds in a Fund's portfolio, computed by weighting each bond's time to
maturity (the date the security comes due) by the market value of the security.
This figure does not account for the likelihood of prepayments or the exercise
of call provisions unless an escrow account has been established to redeem the
bond before maturity. The market value weighting for an investment in an inverse
floating rate security is the value of the portfolio's residual interest in the
inverse floating rate trust, and does not include the value of the floating rate
securities issued by the trust.
INVERSE FLOATERS: Inverse floating rate securities are created by depositing a
municipal bond, typically with a fixed interest rate, into a special purpose
trust created by a broker-dealer. This trust, in turn, (a) issues floating rate
certificates typically paying short-term tax-exempt interest rates to third
parties in amounts equal to some fraction of the deposited bond's par amount or
market value, and (b) issues an inverse floating rate certificate (sometimes
referred to as an "inverse floater") to an investor (such as a Fund) interested
in gaining investment exposure to a long-term municipal bond. The income
received by the holder of the inverse floater varies inversely with the
short-term rate paid to the floating rate certificates' holders, and in most
circumstances the holder of the inverse floater bears substantially all of the
underlying bond's downside investment risk. The holder of the inverse floater
typically also benefits disproportionately from any potential appreciation of
the underlying bond's value. Hence, an inverse floater essentially represents an
investment in the underlying bond on a leveraged basis.
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.
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): A Fund's common share NAV per share is calculated by
subtracting the liabilities of the Fund (including any MuniPreferred shares
issued in order to leverage the Fund) from its total assets and then dividing
the remainder by the number of shares outstanding. Fund NAVs are calculated at
the end of each business day.
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.
86
Other Useful
INFORMATION
QUARTERLY PORTFOLIO OF INVESTMENTS AND PROXY VOTING INFORMATION
Each Fund's (i) quarterly portfolio of investments, (ii) information regarding
how the Funds voted proxies relating to portfolio securities held during the
12-month period ended June 30, 2006, and (iii) a description of the policies and
procedures that the Funds used to determine how to vote proxies relating to
portfolio securities are available without charge, upon request, by calling
Nuveen Investments toll-free at (800) 257-8787 or on Nuveen's website at
www.nuveen.com.
You may also obtain this and other Fund information directly from the Securities
and Exchange Commission ("SEC"). The SEC may charge a copying fee for this
information. Visit the SEC on-line at http://www.sec.gov or in person at the
SEC's Public Reference Room in Washington, D.C. Call the SEC at 1-202-942-8090
for room hours and operation. You may also request Fund information by sending
an e-mail request to publicinfo@sec.gov or by writing to the SEC's Public
References Section at 450 Fifth Street NW, Washington, D.C. 20549.
CEO CERTIFICATION DISCLOSURE
For Funds listed on the New York Stock Exchange, each Fund's Chief Executive
Officer has submitted to the Exchange the annual CEO certification as required
by Section 303A.12(a) of the NYSE Listed Company Manual.
Each Fund has filed with the Securities and Exchange Commission the
certification of its Chief Executive Officer and Chief Financial Officer
required by Section 302 of the Sarbanes-Oxley Act.
BOARD OF DIRECTORS/TRUSTEES
Robert P. Bremner
Lawrence H. Brown
Jack B. Evans
William C. Hunter
David J. Kundert
William J. Schneider
Timothy R. Schwertfeger
Judith M. Stockdale
Carol E. Stone
Eugene S. Sunshine
FUND MANAGER
Nuveen Asset Management
333 West Wacker Drive
Chicago, IL 60606
CUSTODIAN
State Street Bank & Trust Company
Boston, MA
TRANSFER AGENT AND
SHAREHOLDER SERVICES
State Street Bank & Trust Company
Nuveen Funds
P.O. Box 43071
Providence, RI 02940-3071
(800) 257-8787
LEGAL COUNSEL
Chapman and Cutler LLP
Chicago, IL
INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
Ernst & Young LLP
Chicago, IL
EACH FUND INTENDS TO REPURCHASE SHARES OF ITS OWN COMMON STOCK IN THE FUTURE AT
SUCH TIMES AND IN SUCH AMOUNTS AS IS DEEMED ADVISABLE. NO SHARES WERE
REPURCHASED DURING THE PERIOD COVERED BY THIS REPORT. ANY FUTURE REPURCHASES
WILL BE REPORTED TO SHAREHOLDERS IN THE NEXT ANNUAL OR SEMIANNUAL REPORT.
87
Nuveen Investments:
SERVING Investors
For GENERATIONS
Photo of: Mother and Daughter
Since 1898, financial advisors and their clients have relied on Nuveen
Investments to provide dependable investment solutions. For the past century,
Nuveen Investments has adhered to the belief that the best approach to investing
is to apply conservative risk-management principles to help minimize volatility.
Building on this tradition, we today offer a range of high quality equity and
fixed-income solutions that are integral to a well-diversified core portfolio.
Our clients have come to appreciate this diversity, as well as our continued
adherence to proven, long-term investing principles.
WE OFFER MANY DIFFERENT INVESTING SOLUTIONS FOR OUR CLIENTS' DIFFERENT NEEDS.
Managing $166 billion in assets, as of March 31, 2007, Nuveen Investments offers
access to a number of different asset classes and investing solutions through a
variety of products. Nuveen Investments markets its capabilities under six
distinct brands: NWQ, specializing in value-style equities; Nuveen, managing
fixed-income investments; Santa Barbara, committed to growth equities;
Tradewinds, specializing in global value equities; Rittenhouse, focused on
"blue-chip" growth equities; and Symphony, with expertise in alternative
investments as well as equity and income portfolios.
FIND OUT HOW WE CAN HELP YOU REACH YOUR FINANCIAL GOALS.
To learn more about the products and services Nuveen Investments offers, talk to
your financial advisor, or call us at (800) 257-8787. Please read the
information provided carefully before you invest.
BE SURE TO OBTAIN A PROSPECTUS, WHERE APPLICABLE. INVESTORS SHOULD CONSIDER THE
INVESTMENT OBJECTIVE AND POLICIES, RISK CONSIDERATIONS, CHARGES AND EXPENSES OF
THE FUND CAREFULLY BEFORE INVESTING. THE PROSPECTUS CONTAINS THIS AND OTHER
INFORMATION RELEVANT TO AN INVESTMENT IN THE FUND. FOR A PROSPECTUS, PLEASE
CONTACT YOUR SECURITIES REPRESENTATIVE OR NUVEEN INVESTMENTS, 333 W. WACKER DR.,
CHICAGO, IL 60606. PLEASE READ THE PROSPECTUS CAREFULLY BEFORE YOU INVEST OR
SEND MONEY.
o Share prices
Learn more o Fund details
about Nuveen Funds at
WWW.NUVEEN.COM/CEF o Daily financial news
o Investor education
o Interactive planning tools
[LOGO]
NUVEEN
INVESTMENTS
ESA-C-0407D
ITEM 2. CODE OF ETHICS.
Not applicable to this filing.
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.
Not applicable to this filing.
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.
Not applicable to this filing.
ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.
Not applicable to this filing.
ITEM 6. SCHEDULE OF INVESTMENTS.
See Portfolio of Investments in Item 1.
ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END
MANAGEMENT INVESTMENT COMPANIES.
Not applicable to this filing.
ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.
Not applicable to this filing.
ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT
COMPANY AND AFFILIATED PURCHASERS.
Not applicable.
ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.
There have been no material changes to the procedures by which shareholders may
recommend nominees to the registrant's Board implemented after the registrant
last provided disclosure in response to this Item.
ITEM 11. CONTROLS AND PROCEDURES.
(a) The registrant's principal executive and principal financial officers,
or persons performing similar functions, have concluded that the
registrant's disclosure controls and procedures (as defined in Rule
30a-3(c) under the Investment Company Act of 1940, as amended (the
"1940 Act") (17 CFR 270.30a-3(c))) are effective, as of a date within
90 days of the filing date of this report that includes the disclosure
required by this paragraph, based on their evaluation of the controls
and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR
270.30a-3(b)) and Rules 13a-15(b) or 15d-15(b) under the Securities
Exchange Act of 1934, as amended (the "Exchange Act")(17 CFR
240.13a-15(b) or 240.15d-15(b)).
(b) There were no changes in the registrant's internal control over
financial reporting (as defined in Rule 30a-3(d) under the 1940 Act
(17 CFR 270.30a-3(d)) that occurred during the second fiscal quarter
of the period covered by this report that has materially affected, or
is reasonably likely to materially affect, the registrant's internal
control over financial reporting.
ITEM 12. EXHIBITS.
File the exhibits listed below as part of this Form.
(a)(1) Any code of ethics, or amendment thereto, that is the subject of the
disclosure required by Item 2, to the extent that the registrant intends to
satisfy the Item 2 requirements through filing of an exhibit: Not applicable to
this filing.
(a)(2) A separate certification for each principal executive officer and
principal financial officer of the registrant as required by Rule 30a-2(a) under
the 1940 Act (17 CFR 270.30a-2(a)) in the exact form set forth below: 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. Ex-99.906 CERT attached hereto.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, the registrant has duly caused this report to be
signed on its behalf by the undersigned, thereunto duly authorized.
(Registrant) Nuveen Municipal High Income Opportunity Fund
-----------------------------------------------------------
By (Signature and Title)* /s/ Kevin J. McCarthy
----------------------------------------------
Kevin J. McCarthy
Vice President and Secretary
Date: July 9, 2007
-------------------------------------------------------------------
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, this report has been signed below by the
following persons on behalf of the registrant and in the capacities and on the
dates indicated.
By (Signature and Title)* /s/ Gifford R. Zimmerman
----------------------------------------------
Gifford R. Zimmerman
Chief Administrative Officer
(principal executive officer)
Date: July 9, 2007
-------------------------------------------------------------------
By (Signature and Title)* /s/ Stephen D. Foy
----------------------------------------------
Stephen D. Foy
Vice President and Controller
(principal financial officer)
Date: July 9, 2007
-------------------------------------------------------------------
* Print the name and title of each signing officer under his or her signature.